This signifies the conclusion of the Aimee and Allan conflict, a chapter centered purely on business and strategy within AS Corp. W+B Family Business Advisory played a pivotal role in mediating the escalating tension between the siblings, where Aimee’s risk-averse and methodical approach clashed with Allan’s bold and growth-centric style.
Recognizing the potential for a significant conflict post their ailing father’s absence, he sought us to align his children’s expectations. After delving deep and identifying the true cause of the siblings’ conflict, we pinpointed primary drivers—divergent goals, constant personality clashes, informal entry into the business, confusing roles, and an unclear succession process. These issues were at the core of their disagreements. To conclude the last two factors contributing to Aimee and Allan’s discord in managing the business, let’s delve into the reasons.
First, external stresses and pressures in managing the business was a significant factor. External factors, encompassing economic challenges, market competition, and various external pressures, have the potential to exacerbate tensions among siblings in a family business. The added stress strained relationships, adding complexity to intricate dynamics. Finally, the lack of a shared vision for the business. A shared vision is indispensable for any business’s success. Siblings lacking alignment in their vision for the company may encounter difficulties in making cohesive decisions and pursuing common goals. Proactively addressing this divergence is crucial for the family business’s overall success.
The successful resolution of conflicts between Aimee and Allan emphasizes the significance of proactive measures and professional interventions in fostering collaboration among siblings in family businesses. Understanding and addressing the root causes lays the groundwork for sustainable success and harmony within the family enterprise.
But what if the conflict persists?
In instances where collaboration proves exceptionally challenging, families may explore alternative arrangements to address persistent conflicts among siblings in their family business. Options may include hiring professional management, selling the business, or considering structures allowing each sibling independent pursuits. Successfully navigating such challenges necessitates open communication, professional mediation, and a dedicated commitment to conflict resolution, crucial for preserving both familial and business aspects.
Furthermore, there are additional solutions to address and mitigate sibling conflicts in family businesses:
1. Conducting personality assessments for each sibling provides valuable insights, fostering a harmonious working relationship as they appreciate and leverage each other’s strengths.
2. Investing in leadership development training enhances understanding of different leadership styles, equipping siblings with adaptable collaboration skills.
3. Establishing clear rules, roles, rights, responsibilities, and real accountability minimizes confusion, reducing conflicts arising from overlapping responsibilities.
4. Implementing transparent decision-making protocols guides the process, ensuring both siblings have input and feel heard in major business decisions.
5. Involving a family business therapist explores deeper issues and provides strategies for improving communication and resolving conflicts.
6. Scheduling regular family meetings allows ongoing communication, preventing issues from escalating within the family business.
7. Considering an external advisory board provides valuable guidance and mentorship, contributing to conflict resolution within the family business.
8. Bringing in an interim chief executive officer can help rein in the siblings while providing mentorship on leadership, strategy, and vision to navigate and stabilize the family business.
Implementing a combination of these solutions, tailored to the family business dynamics, can effectively alleviate sibling conflicts arising from diverse personalities and leadership styles. Open communication, mutual understanding, and a commitment to collaboration are key elements in fostering a successful working relationship among siblings in the family business. While childhood issues can contribute to sibling rivalry, it is crucial to recognize that they are not always the primary cause. Sibling relationships are complex and can be influenced by a multitude of factors that extend beyond childhood experiences. Even siblings who had harmonious childhoods can face rivalry in the professional realm due to the unique challenges presented by a family business.
In my next article, we will dwell on sibling conflict attributed to childhood issues.
Want to learn more?
Join us on Dec. 2, 2023, for an insightful webinar on navigating the complexities of family, business, and the family business, all at the same time! In W+B’s upcoming webinar, we’ll feature Cebu Landmasters Director, Senior EVP, and COO Jose Franco Soberano, along with family legacy coach and advisor Steve Legler from TSI Heritage in Canada and myself. Secure your spot now and explore strategies to align core values with growth objectives in family businesses. Reserve your seat today through Pat at rplatorre@wbadvisoryasia.com.