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Communication as the glue that holds family businesses together

 

83% is the percentage of family businesses in France, all sizes combined. That’s a huge number! And just imagine the communication challenges they face (alongside all the others).

 

Let’s encourage dialogue and take action!

Here are a few tips for initiating, building and developing a relevant dialogue in a family business:

  1. Don’t censor yourself! This is the best way to make future communication even more complex, and a vicious circle quickly sets in.
  2. Express your interest and observe the reactions: keep only the positive or constructive ones.
  3. Communicate sympathetically, and put yourself in your interlocutors’ shoes: ask questions and seek clarification, for example.
  4. Try out different ways of communicating, for example by talking to people you trust, if you feel this could give you a boost.
  5. Don’t be afraid of the seriousness of your words.
  6. “One step at a time is enough for me” said Gandhi, so you too can follow this path of small steps and small progress, rather than big, sudden strides!
  7. Instead, focus on the important issues, because you’ve probably already dealt with the urgent ones.
  8. Progress can be measured and understood: measure your progress regularly and share it with those around you.
  9. Keep in mind the personality of each of your contacts.
  10. Put your ego aside and use language that’s accessible to everyone.
  11. Always respect your audience’s level of understanding: it’s better to take them aside and help them make progress, than to confront them and undermine their motivation.
  12. And finally, choose the right subjects and the right level of language in the right places (board, committee, forum…).

 

Three entities, one structure.

A family business evolves within a system that is itself made up of three entities:

  • The company itself,
  • The family and its members,
  • And heritage, property.

These entities intersect, interact and rely on each other to evolve. This system is the very strength and weakness of family businesses, a complexity that is sometimes difficult to manage.

 

Setting up structures to manage complexity.

One idea of “structure” is the family council. It ensures general communication, while allowing each member to express his or her personal/professional aspirations and projects. Such a structure makes it possible to clearly bring up the subjects of heritage and the company’s involvement in each person’s projects, without preconceived ideas or urgency. Such a council builds bridges between the three different entities of business, family and wealth.

Numerous scientific articles and sociological experiments have proven that family councils offer a multitude of advantages:

  • Creating a united family,
  • Development of a sustainable business,
  • Planning everyone’s roles,
  • Better succession planning,
  • And finally, it’s easier to identify, manage and resolve everyday conflicts and challenges.

These “enhanced” conversations are an undeniable factor in family success, but planning and preparing communications remain the first step to a clear and effective result.

 

A few preparation questions, according to Annie Veilleux (Director of Familles en Affaires at HEC Montréal).

What are your objectives in communicating in this way? Do you want to inform, reassure, convince, receive advice, be guided?

What will be the key message of your communication? For example, would you like your mother and father to know that you dream of taking over the company one day? Or would you simply like to hear about the company’s vision?

The old proverb about turning your tongue seven times in your mouth before you speak is truer than ever. That’s why it’s always a good idea to think carefully before discussing business with your family. Is it true? Is it useful? Is it inspiring? Is it necessary? Is it respectful? The answers you give to these five questions will help you to better prepare yourself and establish what you do or don’t want to say.

 

Sources :

  • Veilleux, P. (2020, August 17). The challenge of family communication. Retrieved September 15, 2020, from https://www.revuegestion.ca/le-defi-de-la-communication-en-famille
  • Institut Montaigne. (2017, September 25). Did you know? 83%: The percentage of family businesses in France, all sizes combined. Retrieved September 15, 2020, from https://www.institutmontaigne.org/blog/2014/08/01/Retour-sur-le-rapport-Vive-le-long-terme-%21-Les-entreprises-familiales-au-service-de-la-croissance-et-de-l%E2%80%99emploi-%28septembre-2013%29
  • Legler, S., Shift your family Business – Stop Working in your family Business – Start Working on your Business family, Victoria, BC, Friesen Press, 2014, 64 pages.
  • Beaucage, C. S., and Paré Julien, D., Le Petit Guide de la famille en affaires – Le conseil de famille, Montréal, Familles en affaires HEC Montréal, 2017, 40 pages.