Why Values Matter to Family Business Success
26th November 2018
Earlier this month PwC published their Global Family Business Survey, which offers interesting new insights on why, and how, values provide family businesses with a strong competitive advantage. Here's some key takeaways:
- Family businesses who actively pursue their values and purpose show higher growth trends; but in order to be able to pursue your family business values and purpose, it is essential that you make them explicit, measurable and make the part of your strategic plans. Interestingly, whilst the vast majority of family firms have a clear sense of values and purpose, less than half have them written down. But the number percentage increased amongst those firms with higher growth rates.
- When it comes to codifying your values, it is useful to keep it simple. This way more people can understand and remember them better. Values are more effective when they are communicated to customers and suppliers, and they can also help attracting new, motivated talent.
- No matter how strong your values are, they will change over time, as the people in the business and the world around us change. So keep the conversation open to ensure that they remain relevant to everyone, through time.
- Develop business principles and a code of conduct that brings your values to life. This helps to build trust, both internally and externally.
You can access the full report here.