Transgenerational wealth creation is the result of a sustained and successful owner strategy. Yet these advantages need a strong engine, to energize their ongoing and sometimes strenuous adaptation. Its fuel is a mixture of familial and entrepreneurial orientation and reflection. The first question here is: is the purpose of your family still fueling distinctive advantages that make you the best owner of all your business assets? While operational involvement in the family business declines in Germany we see an increase of active-ownership roles amongst enterprising families together with the family offices. ‘Better’ owners within a family provide their growing team of non-family executives with a clear set of KPIs and guidelines as to what long-term success looks like for them. Collaboration between owners and leaders is the new normal and will become more established as a new modus-operandi. Below, we explore how a routine for your owner strategy can help your enterprising family continue to be the best owner, or steward, of its business legacy from generation to generation.
From business leadership to active ownership
In the founder model, the daily management of the family business was everything and there was no need for an owner strategy or even formal owner gatherings. Many highly successful “hidden champions” in Germany operate this way.