According to the latest report by the Family Business Institute, 67% of family businesses lack a defined succession plan, a concerning figure that jeopardizes the continuity of these organizations, which are a cornerstone of Spain's business landscape. Even more alarming is the fact that only 33% of family businesses make it to the second generation, and a mere 13% survive to the third.
Often, the lack of succession planning is not solely due to technical or financial challenges but also to family dynamics that hinder decision-making. While generational transitions are inevitable, they are often postponed, opening the door to internal conflicts and threatening long-term viability.
Interim Management: An immediate solution for continuity and professionalization
In this context, Interim Management emerges as a key tool to ensure the continuity of family businesses. By providing experienced executives during transitional periods, Interim Management addresses immediate challenges while laying the groundwork for a more structured and secure transition. Unlike simply filling vacancies, it offers a strategic approach, providing family businesses with the stability and continuity they need in uncertain times.
How can Interim Management secure the future of family businesses?
1. Temporary leadership to prevent business disruptions
Without a clear succession plan, the absence of leadership can paralyze operations in family businesses. An interim manager brings immediate decision-making capabilities and expertise, maintaining operations while the business establishes a succession plan or finds a permanent solution. Their independence allows them to make decisions in the best interest of the company, free from the emotional dynamics that often complicate transitions in family enterprises.
2. Facilitating generational transitions and mediating family conflicts
Succession processes often lead to disputes over who should take control. An interim manager acts as a neutral mediator, establishing a clear succession structure while mentoring and coaching future leaders. This ensures that successors are equipped with the necessary skills to lead effectively, while also managing family dynamics and emotional complexities.
3. Professionalizing the business and strengthening organizational structures
A common risk in family businesses is the lack of professionalization, particularly when leadership is personalist. Interim managers introduce an external and professional perspective, improving operational management and implementing systems that strengthen long-term decision-making processes. With more efficient operations and optimized decision-making, the business is better prepared to face future challenges with a robust organizational structure.
4. Attracting and retaining specialized talent
According to ADEFAM, 70% of family businesses struggle to find and retain specialized talent, threatening their viability. Interim managers design talent retention strategies, implement professional development policies, and enhance organizational culture, making the company a more attractive place to work. This ensures the retention of key talent while attracting new profiles that contribute to the business's success and sustainability.
Planning for long-term success
Interim management addresses immediate leadership needs while laying the foundation for a more stable and prosperous future. Lacking a succession plan poses risks that family businesses can ill afford. By hiring an interim manager, organizations not only ensure operational stability during transitions but also position themselves for sustainable long-term growth.
At Servitalent, we have a team of highly qualified interim managers who understand the unique challenges faced by family businesses. Their expertise in crisis management, restructuring, and generational transitions allows them to provide effective solutions, ensuring the continuity of the family legacy and the competitiveness of the business.
How could interim management help your family business overcome succession challenges?
