After you have worked in a business for more than 40 years it’s unlikely that the next generation following in your shoes will have your experience. So don’t expect them to.
One of the barriers to a successful succession process is the experience of the next generation coming in to take over. The exiting team often don’t have the confidence in their capability and experience, and, therefore, hesitate.
The new team is probably half your age and may have as little as a quarter of your experience. They’re likely to be as inexperienced as you were when you first started in the business. It’s pretty hard to remember so far back, but can you accurately recall what you were like at the time?
If there is a lack of experience, then it’s a challenge you need to address quickly. But it is not a reason to hesitate.
As you know, you learn about business in business. You learn about:
- How your industry works and the traps for younger players.
- What has traditionally made a business a success in your industry.
- Who the key clients and suppliers are, and how to build strong relationships with them.
- Who your key competitors are and how to out-compete them.
- How to work with financiers, bankers and government regulators.
- Managing your workforce.
- Negotiation, settlement, mediation and litigation etc.
- Yourself and your strengths and weaknesses, and the team you need around you.
- And so the list can go on.
And, of course, there are then the personality traits that are necessary for a person to be successful in your industry. For example, construction and retail are very different industry sectors.
You should sit down now and create a list of the experience that your incoming team needs to gain quickly and then develop a plan to help give them some of that experience. The longer you delay, the less time they may have to learn while you are still able to assist.
And a word of warning: don’t expect the incoming team to do things the same way as you did. They will find their own way.
Active Knowledge Questions:
- What does an experienced and capable person in your industry look like?
- How much does your incoming team need to change and learn?
Act Now
Searching for the world’s best family business succession guide? Buy Transition – Orienteering The Five Lands of Succession.
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All the best in the success of your business,
Richard Shrapnel
