Governance Team Development
Teams can be more than the sum of their parts
In every family enterprise, a variety of formal and informal leadership teams emerge naturally over time — some more focused on operational priorities while others are tasked with strategic oversight or fostering family unity. In order to perform effectively, these teams — Owners Councils, Boards of Directors, Family Councils, and Executive Committees — each require a unique set of leadership skills as well as the capacity to collaborate as a group.
However, many families take for granted how their governance teams function and under-invest in their development. A clear sign this may be happening is when interpersonal and family dynamics begin to manifest within teams in unconstructive ways. Consequently, collaboration is stifled, and governing teams become less effective, leading to poor decision-making.
In our experience, no governance team is immune.
Through decades of research and experience, LGA’s advisors have identified four factors necessary to engage family enterprise leaders and make your governance teams more effective:
- Motivation: Are your leaders intrinsically motivated by their purpose and aware of their developmental potential?
- Contribution: Can your leaders fully and authentically express their contribution to governance, fully realizing their strengths?
- Cohesion: Are your governance teams defined by a collective trust based on common values and empathic communication?
- Performance: Do you have a clear vision of your team’s objectives and goals complemented by an established performance evaluation and monitoring system?
How does it work?
Your LGA advisors will help you strengthen the collaborative capacity of your leadership teams by performing a series of diagnostic assessments to determine what defines and limits your work together. Based on the results of these assessments, your advisor will provide individual and group feedback to the team and recommend a customized action plan to help create or strengthen their Culture of Collaboration and Culture of Accomplishment.
How does it benefit your family?
Armed with this data, your governance teams will emerge with the self-awareness, insights, and tools needed to collaborate effectively in support of your broader family enterprise continuity, as well as an objective baseline to assess improvements in their performance over time.
The second-generation CEO of a large family enterprise was approached by a strategic investor who made a generous and unsolicited offer for their legacy operating business. The CEO had previously never explored a sale — both because of her strong emotional connection to the company and its employees — two of whom were her kids — and because of its attractive cash flow and growth profile.
Three third-generation Family Directors of a large enterprising family were attending a global conference focused on innovation and growth. Their 90-year old family had deep pride and gratitude for the success and leadership of previous generations. However, there were no family members currently working actively in the business, and the family’s only connection to their vast operations — which spanned eight industries and three continents — was limited to these three members of the Board.
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Sarah provides consultation to multi-generation family businesses regarding governance, shareholder development, and leadership development.
Neus has 20 years of expertise in corporate and family business governance specializing in large Latin American and European.
Francisco specializes in research and consulting for complex family enterprises. His duties included doing economic analysis and family business education.
Nathan is an accomplished executive with wide-ranging experience across a variety of private and not-for-profit organizations.