Most of the family businesses I get to work with appreciate the fact that they don’t have the usual corporate pressure of many of their peers who work for public companies.
I get it. It’s great not to have the pressures of a public company and shareholders.
At the same time, it’s important for the family business to understand the value of quarterly and annual goal setting as one of their strategies for long-term success.
One of the patterns that can undo a family business is a family member’s tendency to get a bit too casual and informal about holding each other accountable to sustainable business results. The family would be well served to create a goal setting process at both the individual and department levels.
Goals can be created around the following types of subject areas:
Business development and sales
Every business needs to continue to look for ways to grow. The business should have goals relative to new areas of business development or simply top line sales. The family should encourage family members to try to develop new areas of business that are complementary to the core business.
Innovation and technology goals
With an ever-changing business landscape, companies are transforming themselves through the use of technology and innovation. The family business needs to continue to evolve in these areas and should set goals specific for technological advances or innovative ways of expanding the business.
Profitability goals
Every business needs a certain level of profit for long-term sustainability. The family business doesn’t have to create an unrealistic urgency for short-term profit goals. It should instill the focus and culture on accountability for profitability at a department and individual level.
Personal development goals
Even though it’s a family business it’s important for every family member to continue to sharpen and develop their professional skills. The family needs to make personal development a priority and hold everyone accountable to coming up with education and personal development goals as an ongoing strategy for long-term success.
Becoming a dynasty family business involves creating discipline and focus around goal setting and delivering high-level business results. Families who want a system to help guide them in every aspect of family business should check out our Family Business Survival System that has over 25 proven exercises to help the family succeed!
You can check out our Family Business Survival System here.
