DEVELOPING FUTURE LEADERS
DEVELOPING FUTURE LEADERS BUILDING GENERATIONS OF BUSINESS SUCCESS 2013 Pork Management Conference June 20, 2013
1
WHO WE ARE Al Bennett • Former owner and President of Bennett Farms, Inc. • Certified Financial Planner™ • MN Rule 114 Mediator • Principal Business Consultant, AgStar Financial Services, ACA • Overall, wonderful brother
2
WHO WE ARE Diane Bennett • Even better all-around sister • President and Owner, Bennett Coaching & Consulting • Professional Leadership Coach • Communication Specialist • Organizational Consultant
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Using our training and life experiences, we help family businesses plan for … and realize … their dreams. 4
HOW WE WORK • We almost never, ever tell childhood stories • We cherish and believe in our clients • We always work from and toward THEIR hopes, plans and desires • We are committed to staying on the cutting edge with tools, resources and strategies
5
Successful Transitions From Generation to Generation
100 90 80 70 60 50 40 30 20 10 0
G1 - Founding Generation
G2 - Successor Generation
G3 - Cousin Consortium
WHAT GOT YOU HERE…. WON’T GET YOU THERE
7
Design a Way Forward
Become Best in Class
Leading Family Businesses to Improve the Odds
Build an A-Team 8
Design a Way Forward
Leading Family Businesses Become Best in Class
Build an ATeam
• Inspiring vision and mission integrated into the strategic plan • Shared core values and code of conduct • Identified successor(s) • Life-long financial security and estate plan for parents • Transition plan including exit strategy for G1 9
Build an ATeam
Leading Family Businesses Design a Way Forward
Become Best in Class
• A plan for transferring: Management, Ownership, and Governance • Professional development plans for family members and team members • Fully empowered and aligned management team • Involvement “in” the business and “on” the business • Coaching, training, mentoring, experiential learning & on-going development opportunities for team members 10
DEVELOPING SUCCESSOR CANDIDATES • Relative educational experience and regular performance evaluation to promote accountability • 2-5 years outside the business • Creative job assignments that develop specific skillset • P and L responsibility with accountability process • Job shadowing, mentoring, formal on-boarding • Outside coaching • Involvement “in” the business • Exposure to financial, legal and logistical company information • Industry connections and professional networks 11
Become Best in Class
Leading Family Businesses Design a Way Forward
Build an ATeam
• Continuously look toward the future - planning, investing, growing, managing risk… • Develop dashboard metrics from which you can manage the business and reward performance • Model, promote, and build trust • Meet, communicate, discuss, debate, ….. agree, align …. and create the next chapter • Capitalize on external expertise • Enjoy the journey 12
1. Cold turkey “I’m out of here”
LEADERSHIP TRANSITION STRATEGIES
2. Delay….. Delay ….. Delay ….. “Some day this will all be yours”
3. The boomerang “Here, gone, here, gone, here…”
4. The handoff “The outside professional”
13
What it takes
THERE IS A BETTER WAY 14
IT STARTS WITH YOU Create the environment for leaders to succeed
15
• Readiness
WHAT IT TAKES
– For change (The business and you)
• Awareness
– Of the business’s strengths and vulnerabilities – Of your strengths and vulnerabilities
• A willingness
– To let go and let others lead
• Ability
– To communicate, coach, direct, transfer your knowledge
• Trust
– In the plan, in the people, and in the business long-term 16
And most importantly SELF AWARENESS 17
18
WHAT else IT TAKES • Courage • Commitment • Openness • Vulnerability • Trust and belief in your team • A professional plan • Lots and lots and lots of communication 19
LEADERSHIP TRANSITION
Where are you today?
• Could you leave the business and trust it is in good hands? • Do you have a crisis management plan in place? • Are you open to new ideas for growing the business? • Are family members getting along? Working well together? Building trust? • Are you ready to step away more and more … and make room for others step in? 20
LEADERSHIP TRANSITION
5 Big Things
1. Invite feedback What’s going well? Where are we getting stuck? What could we do different or better?
2. Bring in expertise to fill in gaps 3. Gradually shift the power balance 4. Design your next chapter 5. Invest time and energy in the most important work you will ever do for your family, your business and your legacy 21
Thank You! Al Bennett, CFP® & Principal Business Consultant Diane Bennett, Leadership Coach AgStar Financial Services, ACA (507) 995-0004 [email protected] 22
1
WHO WE ARE Al Bennett • Former owner and President of Bennett Farms, Inc. • Certified Financial Planner™ • MN Rule 114 Mediator • Principal Business Consultant, AgStar Financial Services, ACA • Overall, wonderful brother
2
WHO WE ARE Diane Bennett • Even better all-around sister • President and Owner, Bennett Coaching & Consulting • Professional Leadership Coach • Communication Specialist • Organizational Consultant
3
Using our training and life experiences, we help family businesses plan for … and realize … their dreams. 4
HOW WE WORK • We almost never, ever tell childhood stories • We cherish and believe in our clients • We always work from and toward THEIR hopes, plans and desires • We are committed to staying on the cutting edge with tools, resources and strategies
5
Successful Transitions From Generation to Generation
100 90 80 70 60 50 40 30 20 10 0
G1 - Founding Generation
G2 - Successor Generation
G3 - Cousin Consortium
WHAT GOT YOU HERE…. WON’T GET YOU THERE
7
Design a Way Forward
Become Best in Class
Leading Family Businesses to Improve the Odds
Build an A-Team 8
Design a Way Forward
Leading Family Businesses Become Best in Class
Build an ATeam
• Inspiring vision and mission integrated into the strategic plan • Shared core values and code of conduct • Identified successor(s) • Life-long financial security and estate plan for parents • Transition plan including exit strategy for G1 9
Build an ATeam
Leading Family Businesses Design a Way Forward
Become Best in Class
• A plan for transferring: Management, Ownership, and Governance • Professional development plans for family members and team members • Fully empowered and aligned management team • Involvement “in” the business and “on” the business • Coaching, training, mentoring, experiential learning & on-going development opportunities for team members 10
DEVELOPING SUCCESSOR CANDIDATES • Relative educational experience and regular performance evaluation to promote accountability • 2-5 years outside the business • Creative job assignments that develop specific skillset • P and L responsibility with accountability process • Job shadowing, mentoring, formal on-boarding • Outside coaching • Involvement “in” the business • Exposure to financial, legal and logistical company information • Industry connections and professional networks 11
Become Best in Class
Leading Family Businesses Design a Way Forward
Build an ATeam
• Continuously look toward the future - planning, investing, growing, managing risk… • Develop dashboard metrics from which you can manage the business and reward performance • Model, promote, and build trust • Meet, communicate, discuss, debate, ….. agree, align …. and create the next chapter • Capitalize on external expertise • Enjoy the journey 12
1. Cold turkey “I’m out of here”
LEADERSHIP TRANSITION STRATEGIES
2. Delay….. Delay ….. Delay ….. “Some day this will all be yours”
3. The boomerang “Here, gone, here, gone, here…”
4. The handoff “The outside professional”
13
What it takes
THERE IS A BETTER WAY 14
IT STARTS WITH YOU Create the environment for leaders to succeed
15
• Readiness
WHAT IT TAKES
– For change (The business and you)
• Awareness
– Of the business’s strengths and vulnerabilities – Of your strengths and vulnerabilities
• A willingness
– To let go and let others lead
• Ability
– To communicate, coach, direct, transfer your knowledge
• Trust
– In the plan, in the people, and in the business long-term 16
And most importantly SELF AWARENESS 17
18
WHAT else IT TAKES • Courage • Commitment • Openness • Vulnerability • Trust and belief in your team • A professional plan • Lots and lots and lots of communication 19
LEADERSHIP TRANSITION
Where are you today?
• Could you leave the business and trust it is in good hands? • Do you have a crisis management plan in place? • Are you open to new ideas for growing the business? • Are family members getting along? Working well together? Building trust? • Are you ready to step away more and more … and make room for others step in? 20
LEADERSHIP TRANSITION
5 Big Things
1. Invite feedback What’s going well? Where are we getting stuck? What could we do different or better?
2. Bring in expertise to fill in gaps 3. Gradually shift the power balance 4. Design your next chapter 5. Invest time and energy in the most important work you will ever do for your family, your business and your legacy 21
Thank You! Al Bennett, CFP® & Principal Business Consultant Diane Bennett, Leadership Coach AgStar Financial Services, ACA (507) 995-0004 [email protected] 22
