Family businesses rely on open communication within the family to learn from the past, sustain the present, and plan for the future. Exploring the family's shared values establishes a foundation for formulating an effective business strategy. Developing a clearly defined, written strategic plan helps create unity within the family business and allows them to effectively address future challenges. Outside consultants can help overwhelmed business owners by identifying strategic information, integrating it into their plans, and monitoring effectiveness. This objective guidance empowers families and businesses through shared responsibility and a focus on long-term goals. The future success of a family business depends on the vision of its leaders, concerted family efforts, and clear advice from trusted advisors.

1. FAMILY BUSINESS
STRATEGIC PLANNING
Family businesses, like the families that constitute them, are comprised of a past
history, present realities and future possibilities. In order to learn from the past,
sustain the present, and plan for the future, it is essential that all family members
cultivate open, direct communications. Family business planning, like family
planning, requires a collective forum, within which, the continuous exploration of
normative values, and beliefs, can take place. Future success with management
strategy, succession planning, sales and marketing strategy and all other issues
that a family business must deal with, is predicated on the ability of the family to
work as a team, and their willingness to allow for objective, professional support.
A family’s character, and values, establishes the foundation upon which their
business strategy is formulated. Thus, exploring these collective values creates a
clear conception of future strategy goals. An established, coordinated business
strategy, in which the family addresses the future of the family business, must
precede the implementation of strategic initiatives geared toward sales and
marketing objectives.
Establishing a clearly thought-out, written business strategy is instrumental in
creating a concerted effort within the family business. This internal solidarity is
essential for implementing focused strategies that re-enforce the long-term goals
of sales and marketing initiatives. From this collective base, the family can
effectively identify future strategic business challenges, and begin to generate
responses to these challenges. The most effective family business strategies
cultivate inter-dependence, which creates stability, critical when dealing with the
capricious nature of the sales and marketing forces in the marketplace.
Concurrent with the daily responsibilities of managing a business, a family
business owner needs to address the future of the business. A long-term strategy
is necessary when addressing such questions as; how to structure a retirement
plan, to sell, merge or liquidate? What are the needs of my family? Are the family
members committed to the future of the business? Is there a prospectus that the
family can agree upon? An owner is deluged with questions that will effect the
future of everyone involved, and, therefore, it is essential that everyone effected
participate in the planning process. The weight and gravity of these questions
can be overwhelming, so it is important for the owner to remain open to the
expertise of trained professionals, who can offer objective viewpoints, and
facilitate a clear decision-making process. Compounding the stress of these
strategic planning processes is the fact that the owner must address concomitant
successor issues, as the net effect of these decisions will have a direct impact on
the future leaders own strategic planning initiatives.

2. Resourceful family business owners realize the importance of securing outside
consultants to explore solutions for their problems. The sheer volume of business
information that they must process from day-to-day overwhelms many owners. In
today’s business world, identifying pertinent information, integrating this
information into an established business strategy and monitoring the
effectiveness of this strategy requires the expertise of professionals outside of
the family business. Initially, owners may perceive this as an affront to their
executive skills, and may balk at the notion of some “outsider” suggesting new,
innovative, business practices; yet, upon rational analysis they realize the
multitude of benefits that precipitate out of these new relationships. In addition,
many of these professional consultants are comprised of the owners business
peer group, and may include his own accountant, lawyer and banker…in
essence, those who have a vested interest in the owners success.
Historically, family business owners have diminished the need for systematic
planning and have not utilized external support. However, in today’s competitive
environment, family businesses find themselves more in need of this type of
support. Objective consultation creates a platform from which family and
business roadblocks can be explored in a supportive environment. A primary
benefit of objective consultation is in identifying the need for the owner to convert
from a day-to-day management style, to a progressive, long-term strategic
business philosophy. In essence, the owner moves from a reactive, to a pro-
active, management posture.
Another benefit of outside help is the appreciable reduction in stress levels for
the owner. The willingness of the owner to share responsibilities with family
members, and accept guidance from outside advisors, proves to be instrumental
in creating an unprecedented balance within the family dynamic, and,
subsequently, the family business. As the owner surrenders control, the family,
and the business are empowered. The mutual support of family and advisors
liberates the owner to focus on long-term strategic planning. As the owner’s
management philosophy evolves into an efficient, progressive style, the family
and the business are infused with a new energy that sustains future business
growth, and re-enforces the values, and integrity upon which the family is
founded.
In essence, the future of a family business is predicated on the personal
dynamics of the family, and the strategies they utilize in order to communicate,
and act, in an integrated manner. These strategies originate from the family
decision-making process, and manifest themselves within the strategic planning
that governs the life of the business. As in family planning, business planning
requires a balance between daily responsibilities and long-term goals. Myriad
business issues obscure the owners focus, and long-term strategic planning is
compromised, as is the business, and the family. Resourceful family business
owners utilize the expertise of outside consultants in order to improve the
effectiveness of strategic planning. These consultants illuminate inefficient

3. business practice, and serve to broaden the scope of the owner’s strategic
thinking. Competent, objective, professional consultants, or a Board of Directors
comprised of trusted peers, prove to be one of the most valuable assets for a
business owner. These on going, supportive relationships create a deeper sense
of interdependence within the business, and serve as a fulcrum from which
continuos strategic planning is initiated. Ultimately, the future of a family business
is contingent on the vision of the owner, the concerted efforts of the family and
the clear, objective guidance of trusted advisors. With this triumvirate in place,
progressive, competitive business strategies can be implemented, allowing for a
sustained presence in the market place and long-term success for the family, and
the family business.