Family Business on the Couch

The challenge faced by family businesses and their stakeholders, is to recognise the issues that they face, understand how to develop strategies to address them and more importantly, to create narratives, or family stories that explain the emotional dimension of the issues to the family. The most intractable family business issues are not the business problems the organisation faces, but the emotional issues that compound them. Applying psychodynamic concepts will help to explain behaviour and will enable the family to prepare for life cycle transitions and other issues that may arise. Here is a new understanding and a broader perspective on the human dynamics of family firms with two complementary frameworks, psychodynamic and family systematic, to help make sense of family-run organisations. Although this book includes a conceptual section, it is first and foremost a practical book about the real world issues faced by business families. The book begins by demonstrating that many years of achievement through generations can be destroyed by the next, if the family fails to address the psychological issues they face. By exploring cases from famous and less well known family businesses across the world, the authors discuss entrepreneurs, the entrepreneurial family and the lifecycles of the individual and the organisation. They go on to show how companies going through change and transition can avoid the pitfalls that endanger both family and company. The authors then apply tools that will help family businesses in transition and offer their analyses and conclusions. Readers should draw their own conclusions from careful examination of the cases, identifying the problems or dilemmas faced and the options for improved business performance and family relationships. They should ask what they might have done in the given situation and what new insight into individual or family behaviour each case offers. The goal is to avoid a bitter ending.

The challenge faced by family businesses and their stakeholders, isto recognise the issues that they face, understand how to developstrategies to address them and more importantly, to createnarratives, or family stories that explain the emotional dimensionof the issues to the family. The most intractable family businessissues are not the business problems the organisation faces, butthe emotional issues that compound them. Applying psychodynamicconcepts will help to explain behaviour and will enable the familyto prepare for life cycle transitions and other issues that mayarise.Here is a new understanding and a broader perspective on thehuman dynamics of family firms with two complementary frameworkspsychodynamic and family systematic, to help make sense offamily-run organisations. Although this book includes a conceptualsection, it is first and foremost a practical book about the realworld issues faced by business families.The book begins by demonstrating that many years of achievementthrough generations can be destroyed by the next, if the familyfails to address the psychological issues they face. By exploringcases from famous and less well known family businesses across theworld, the authors discuss entrepreneurs, the entrepreneurialfamily and the lifecycles of the individual and the organisation.They go on to show how companies going through change andtransition can avoid the pitfalls that endanger both family andcompany. The authors then apply tools that will help familybusinesses in transition and offer their analyses andconclusions.Readers should draw their own conclusions from carefulexamination of the cases, identifying the problems or dilemmasfaced and the options for improved business performance and familyrelationships. They should ask what they might have done in thegiven situation and what new insight into individual or familybehaviour each case offers. The goal is to avoid a bitterending.

PrefaceAcknowledgementsPART I: QUESTIONS AND OBSERVATIONSIntroductionEndnote1 A Psychological Perspective on Business FamiliesPsychodynamic and family systemic perspectivesKey ideas from the psychodynamic approachThe role of transference and countertransferenceThe family systemic perspectiveA therapeutic allianceA summing-upEndnotes2 The Challenges of Love and WorkConflicting goals in the family businessThe tree-circles modelHow conflict can developEndnotes3 Family Business Practices: Assessing Strengths and WeaknessesThe interface of business and family practicesAssessing the health of a family businessEndnotesPART II: REFLECTION AND LEARNING4 The Life Cycle as an Organizing ConstructThe multiple life cycles of the family businessKey models of human psychological developmentThe family life cycleCarter and McGoldrick's family-based life cycle modelApplying the life cycle in family businessesEndnotes5 Narcissism, Envy, and Myths in Family FirmsPersonality typesManagerial implications of dysfunctional narcissismThe importance of individuationThe family firm as transitional objectThe power of envyGames families play: the role of family mythsThe impact of family myths on the family businessSummaryEndnotes6 The Entrepreneur: Alone at the TopCommon personality characteristics of founder-entrepreneursLarry Ellison and OracleDeciphering the inner theater of the entrepreneurCommon defensive structures in founder-entrepreneursMaintaining the balanceEndnotes7 Leadership Transition: Replacing a Parent as CEOOptions for tackling the succession problemThe inheritancePsychological pressures on new leadersStaying on courseEndnotes8 A Systemic View of the Business FamilyA two-way relationshipThe evolution of systems theoryThe development of family-systems theoryThe family-systems propositionFamily scripts and rulesFamily scripts in the family businessA practical example of family systems thinkingEndnotes9 Diagnosing Family EntanglementsThe family genogramThe Circumplex Model of marriage and family systemsDifferentiation of self from family of originTwo family storiesEndnotesPART III: INTEGRATION AND ACTION10 Addressing Transitions and ChangeLewin's ideas on changeThe Kets de Vries model of individual changeMajor themes in the individual journey toward changeThe process of change within organizationsThe change process in familiesFamily focus or organization focus?Endnotes11 The Vicissitudes of Family BusinessThe Steinbergs: A study in self-destructionThe immigrant dreamHis mother's sonThe entrepreneur's visionSam as a family business leaderThe entrepreneur's dilemma: Passing the batonThe next generationIrving Ludmer: Play it again, SamA family systems perspective on the SteinbergsThe effects of Sam Steinberg's inner world on the family businessThe inner theater of Sam's daughtersWhat if?Endnotes12 Putting Family Business Intervention into PracticeThe Family Action Research ProcessThe succession conundrumThe role of the outside adviserAdvice to families seeking helpThe benefits pf a psychodynamic systems perspectiveFinal wordsEndnotesAppendix 1: Developing a Business Family GenogramCreating the genogramTherapeutic applications of the genogramUsing the genogram to identify family scripts and themesHow genograms improve communicationEndnotesAppendix 2: The Clinical Rating Scales and the Circumplex ModelHow the CRS workEndnotesIndex