Business families still need succession planning

According to a study of business families across the region by SMU’s Business Family Institute (BFI), with the support of Deloitte Southeast Asia, 82 per cent of the respondents were in favour of employing non-family professionals to help mentor the next generation in critical roles. These outsiders were also viewed by family businesses as critical players in other functions such as the selection of new leaders. "You always need a different set of lenses to see objectively," commented Associate Professor Annie Koh, Academic Director of BFI and SMU Vice President, Business Development and External Relations. "Compared to the family businesses in the US and Europe, those in Asia are still in their infancy. There are also limited research data and resources available in this part of the world. The knowledge that we have been able to gather from this pioneering study is going to be very valuable and insightful to Asian families, and will facilitate openness and learning, knowing that they are not alone in wanting more developmental platforms to facilitate succession," she said.

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The Edge Singapore