They serve as a family business relationship and management resource for the international firm. In a pure business, the needs of the individual are subordinate to the corporate goal. The typical CEO of a publicly held company stays in his job an average of five to seven years, opening up executive opportunities for younger people. This creates tensions not only on the job, but within the family as well, said the BDO Seidman consultants.
Family members opt for employment versus the business' needs to fill only the positions required.
Younger management wants to take the company in a new direction while the entrenched senior owners want to maintain the status quo. The business should provide career opportunities for family members who are ready and able to take advantage of them. Family members understand that ownership must be purchased at a fair price and a willingness of current owners to sell their interests. Family members agree to develop clear guidelines for family involvement and the business' need to professionalize its employment and management systems. The Hoovers advised potential family business successors that they assume responsibility for their own development as leaders and future owners.