PRE-PLANNING
Includes a review of the company's financial strength, strategic position, an analysis
of the business's character, the family, and the owner to gain understanding and determine
what kind of "fit" there is. The business is "marketed" to the family
members.
PLANNING
Planning must be objective, realistic, and strategic. In this phase a succession
planning team is formed and a one or two day planning retreat is held. We develop a vision
for the future, succession goals, action plans, define succession roles and
responsibilities, and estimate succession costs.
TRANSITION
The transfer of ownership is managed. We prepare the next generation by delegating
responsibility, monitoring progress, and ensuring that everyone is playing by the rules
that were set. The succession plan, a living document, is revised from time to time, as
necessary.
MONITORING
Someone must run the business. Selecting and announcing the next leader is an important
step. Financial compensation and incentives are created for the new leader and the senior
owner. Fair provisions must be made for those family members not participating in the
business. Clear succession rules and conditions must be set, and conditions and progress
monitored regularly.
BREAKING CLEANLY
When the next generation is ready we move into the final phase. A new role for the
senior owner must be clearly established. A process for giving and receiving advice is
developed. And finally, a grand "hurrah" celebration is held for the retiring
senior owner.
Succession planning is a complex process of change. I have over fourteen years of
experience in working with family businesses and can help guide you through the process to
help ensure your business's continued success.
For more information:
ORGMETRICS
291 McLeod St, Livermore, CA 94550
Tel: (925) 449-8300
FAX: (925) 449-0945
Internet:
Orgmetrics@orgmet.com
