“Nepotism” is taboo. It conjures scenarios of an unqualified family member rising to power, and the business tanking as a result. But, for family enterprises, nepotism is one of the primary ways to preserve the business’s culture and the family’s legacy. How can family enterprises engage in nepotism—without its negative side effects?
It starts by holding family members to the same standards as non-family employees. This requires transparent processes for job entry and promotion. As a result, family members will achieve leadership positions only when they’re qualified for such positions.
There are four additional steps family enterprises should take as they prepare family members for the enterprise. You can read about them in “The Case for Nepotism in Family Businesses.”
Become a Member for Your Expertly Curated Advice
Joining the Family Wealth Library means access to the information the legacy builders need to navigate family dynamics and protect our wealth. We can keep what is ours by managing familial challenges and building trust and transparency.