Lorna Collins, Ken McCracken, Barbara Murray and Martin Stepek
This paper is the first in a regular series of articles in JFBM that will share “a conversation with” thought leaders who are active in the family business space. The world of…
Abstract
Purpose
This paper is the first in a regular series of articles in JFBM that will share “a conversation with” thought leaders who are active in the family business space. The world of family business is, like many other arenas, constantly evolving and as the authors learn more about how and why families “do business” the approaches and tools for working with them also evolve. The purpose of this paper is to stimulate further new research in areas that practically affect family businesses and to “open the door” to practical insights that will excite researchers and provide impetus for new and exciting study. The specific purpose of this paper is to explore “what is strong governance.” There has been much interest in governance lately yet there is a tendency to treat governance in a formulaic way such that, at the moment, the notion that every family business must have a family council or a formal structure in order to be considered “effective” and “successful” predominates. The authors’ panel challenges and discusses this notion drawing on the experience and knowledge as family business advisors, consultants and owners.
Design/methodology/approach
The impetus for this particular conversation is a result of a brainstorming conversation that Lorna Collins and Barbara Murray held in February 2014 where they focussed on “how JFBM can encourage and stimulate researchers to engage in aspects of research that makes a difference to the family business in a practical way.” This paper reports a conversation between Barbara Murray (Barbara), Ken McCracken (Ken) and Martin Stepek (Martin), three leading lights in the UK family business advising space, all of whom have been involved in running or advising family businesses for more than three decades, held in August 2015. The conversation was held via telephone and lasted just over 60 minutes. Lorna Collins acted as moderator.
Findings
Strong governance is not just about instituting a “family council” or embedding formal governance mechanisms in a family business. Evolutionary adaption by family members usually prevails such that any mechanism is changed and adapted over time to suit and fit the needs of the family business. Many successful family businesses do not have recognized “formal” governance mechanisms but, it is contended, they are still highly successful and effective. Future areas of research in governance are also suggested.
Originality/value
This paper contributes to the family business discourse because the debate it reports challenges the basic assumptions upon which much consulting and advisory practice is conducted. It also challenges the notion of “best practice” and what is “new best practice” and how is it that any “best practice” is determined to be “best.” Furthermore, the panel provides insights in to the “impact of family dynamics on governance” and “the impact of family dynamics on advisors.” The paper content is original in that it provides an authentic and timely narrative between active family business practitioners who are also scholars and owners.
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Lorna Collins, Claire Seaman, Stuart Graham and Martin Stepek
This practitioner paper aims to question basic assumptions about management education and to argue that a new paradigm is needed for UK business schools which embraces an oft…
Abstract
Purpose
This practitioner paper aims to question basic assumptions about management education and to argue that a new paradigm is needed for UK business schools which embraces an oft neglected, yet economically vital, stakeholder group, namely family businesses. It seeks to pose the question of why we have forgotten to teach about family business management in the management portfolio.
Design/methodology/approach
The paper adopts a stakeholder approach, building on nominal stakeholder theory to justify a change to the teaching paradigm in business schools. It builds on discussions in the extant literature about failures of business schools to address modern needs.
Findings
The authors find that business schools in the UK need to begin to engage with family businesses through embracing the next generation from families in business. Policy needs to be developed that will support the next generation in a positive way by teaching about the family in business.
Originality/value
The paper aims to stimulate discussion about key stakeholders and prompt review of neglect of this key area of business study in the UK.
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The purpose of this paper is to outline issues regarding business support for family businesses in the UK. The paper is a commentary on the state of business support in the UK…
Abstract
Purpose
The purpose of this paper is to outline issues regarding business support for family businesses in the UK. The paper is a commentary on the state of business support in the UK, and also poses questions regarding the provision of education and training for owners, managers and advisors of family businesses.
Design/methodology/approach
This article is a commentary piece from a practitioner view about the business support provision for family businesses in the UK.
Practical implications
This commentary paper suggests that there are a number of gaps in business support provision for family businesses in the UK. It discusses the state of support for family businesses in other countries and highlights the influence that the media has on developments in this area. It also offers a number of recommendations regarding government support for family businesses and the professional development for family business advisors.
Originality/value
The paper provides an informed practitioner view of the state of family business support in the UK and as such is rare. It will be useful for academics, researchers and family business practitioners, policy makers and professional business advisors.
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Lorna Collins and Nicholas O’Regan
This editorial aims to provide an overview of the current state of research in the UK and proposes some future directions for research for family business scholars.
Abstract
Purpose
This editorial aims to provide an overview of the current state of research in the UK and proposes some future directions for research for family business scholars.
Design/methodology/approach
This article is an editorial with commentary about recent developments in understanding research gaps in the field of family business research.
Findings
The paper discusses the areas where future research in family business is required focusing on three levels: the organization; the individual; and the community.
Research implications
The paper suggests that there are many unanswered questions which merit further and future research.
Practical implications
The future of family business research is not in question. The paper posits that there are areas of study in family business which may particularly benefit from taking a cross‐disciplinary approach and suggests that family business researchers might consider exploring theory in the entrepreneurship, small business, sociology, economics and industrial relations areas to gain insights and support for theoretical development in family business.
Originality/value
This article highlights recent UK‐focused discussions regarding the future research directions and gaps in family business research. It suggests there are some emerging areas which require renewed focus particularly related to strategic decision making in family businesses from the organization, individual and social/community perspectives.
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The purpose of this paper is to consider one of the major, under-researched themes in rural studies – the business family. Acting as an economic bedrock and entrepreneurial…
Abstract
Purpose
The purpose of this paper is to consider one of the major, under-researched themes in rural studies – the business family. Acting as an economic bedrock and entrepreneurial business base, families may support one or more businesses over varying time frames (Rouvinez, 2001).
Design/methodology/approach
By reviewing related literature, the paper aims to encapsulate some thoughts on this topic and to consider ways in which future work in this field might be directed.
Findings
Standing at the divide between entrepreneurship research, business research and research which looks at the family in a social paradigm, business families remain one of the under-researched areas which provide a vital function within rural communities (Getz et al., 2004, p. 3). One distinction drawn out within this paper is of the manner whereby a family business – defined here as a business with one or more family members where the owners perceive it to be a family business – stands in parallel to the business family. Difficulties in definition of the term family business (Sharma, 1996) have further complicated this distinction, but the importance of family businesses in a worldwide context is acknowledged (Poutziouris, 2006) alongside the need for further research in a UK context (Fletcher, 2002; Getz et al., 2004, p. 72). If the term family business is difficult to define, simpler definitions of the business family do appear: families with a distinct track record in portfolio or serial entrepreneurship but where the expertise is embedded within more than one individual.
Originality/value
Developing thinking around the interaction between families and the businesses they run is a vital development in regional development and of especial importance where agriculture.