Some Common Issues in Family Business.

Unclear Boundaries of Management Control

More often than not, family members are unable to use different ‘hats’ on different situations, creating blurred boundaries between each role and responsibilities; owner, family, and business (employee).

Lack of Commitment from Family Members

Maintaining future generations’ commitment to the family business will become a challenge as it grows. Without commitment and passion, the family business may struggle to be competitive when faced with competition and innovation hurdles.

Conflict with No Resolution between Family Members

The nature of family business means that family drama, workplace issues, personal likes and dislikes, conflict of interests and issues about the business is run may escalate from dislikes, disagreement, dispute, conflicts to family lawsuits.

Sibling Rivalry and Power Struggles

Conflict between siblings who are active in the company can prove to be particularly damaging for the sustainability of the company. Should it be left unattended, the siblings might end up unable to work together and have a disunited opinion on how the company should move forward. This disunited front will in turn create confusion for the company employee.

Maintaining & Hiring Talent

Be it through a clear career advancement to support professionals’ aspiration, or through a clear-cut boundary to lessen intervention from the family, family business leaders must be able to maintain talent for sustainability of their business.

Succession Planning

Only a few of the family businesses owner have a formal succession planning to ensure the business’ sustainability through generations due to some common issues such as inability / difficulty to make succession choice and an aversion to letting go by the founder.

Failure to plan means planning to fail.

We’re Offering You Our

Honest Service.Tailored Solution.

Establishing Family Constitution

We help the family members crystalize their aspiration, creating a living documents which govern the responsibilities & rights of each family members in the family business.

Through the establishment of family constitution, we help family create a proper mechanism that can be used to settle differences and conflicts between members even for generations to come.

We provide the best practices of GCG through years of real-life experience in various corporation which our partners have accumulated throughout the years.

Passing down the torch to the next generation or entrusting the company to professionals for your eventual exit. Whatever the plan is, we can help you structure it to suit the family’s aspiration.

We help in encapsulating the founder’s vision and values, ensuring they will be passed down and be used as guidance by the next generations.

We help redesign the organization structure within a family business to ensure management and financial control can still be retained even with minimal interaction from the founder or chairman.

For some, the establishment of holding company is one way  to ensure harmony within family members via segregation of authority. We provide our client with best practices in holding company governance.

We help family business to reach their optimum performance via the establishment of relevant KPI.

Retaining talent in family business can be a challenge. We help in creating a proper channel that can bring together the aspirations of both professionals and family members.

“Together with Fidelitas we established a governance structure for Paragon, so that it is now clear when should we act as commissioner, when should we act as shareholders, directors and when should we act as families.”
Harman Subakat – Group CEO of PT Paragon Universa Utama

Our Journey.

Service Company

We assisted the founders of a company resolve their decade long conflict to enable a smooth transition to their second generation.

Our Scope of Work

  • Compensation and benefit plans.

  • Corporate transformation workshop.

  • Fit & Proper test for 2nd generation.

  • Management & financial control.

  • Create accountability mechanism for the board of directors (2nd generation).

Manufacturing

We helped an established Family Owned company to redesign their corporate governance structure to enable their non-family professionals to aspire and achieve higher growth targets for the company.

Our Scope of Work

  • Individual assessment of key persons.

  • Total corporate re-organization.

  • Corporate Governance Design.

  • Compensation and benefit improvement

  • Defining key performance indicators.

  • Design code of conduct.

FMCG

Our services helped a family prepare sustainability for future generations whilst implementing good corporate governance practices.

Our Scope of Work

  • Holding Company Restructuring.

  • Organization Structure Design.

  • Corporate Governance Design.

  • Family Constitution & Family Council

  • Design Code of Conduct

  • Sibling Conflict Resolutions.

Consumable Goods

Through facilitating the formation of a family constitution, we help families with a view for long-term sustainability of their business address their unique and key concerns for passing the torch of leadership and share-ownership to future generations.

Our Scope of Work

  • Corporate & Shareholding Structure

  • Organization and Placement

  • Defining Family’s Business Vision & Values.

  • Organization Structure Design.

  • Conflict Resolutions Mechanism.

Get a personal consultation.

Office

Office 8 Building, 19th Floor Unit K,

SCBD Lot 28, Jl. Jend Sudirman Kav. 52-53 Senayan, Kebayoran Baru, Jakarta Selatan.

Contact

executive.assistant@fidelitas.co.id

Open Hours

Monday – Friday: 9am – 6pm

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