‘Is there any hope for this family business?'
Often asked with hesitation and embarrassment, family businesses rarely have the skills – or patience - to identify and resolve internal conflict themselves. They become adept at hiding their problems from the outside world, living instead with tensions, anxieties and confused loyalties - uncertain as to how to move forward.
Answer: ‘If the whole family are willing to engage with the process, the business could be on a new path within weeks.’
When communication breaks down in any area of family business, uncertainties and doubts emerge, morphing steadily into a state of confusion and apprehension. Over time, as issues intensify, the family can resemble a badly fractured mirror with no measurable way to assess the extent of damage to family relationships, or the serious impacts of lost time, legal fees, reduced productivity and damage to mental and physical health. Sometimes the dispute can end up destroying the business. Strong leadership and good governance are essential to any successful business, but even they can crack and crumble in the face of family dynamics. Effective leaders recognise when external support is needed.
Key Facts about Alternative Dispute Resolution (ADR) in Family Business:
• It takes courage. It takes honesty. All family business members must be willing to contribute constructively to an ADR process.
• ADR is strategic. It works to protect relationships whilst safeguarding the
By WA based Family Business Accredited Advisor
Dr Catherine Bowen (PhD)
