Family Business – Letters to my clients – 8 – A Moment of Truth…. SWOT Analysis of a 120 years old Family Business currently managed by the 4th Generation…..

A Moment of Truth…. SWOT Analysis of a 120 years old Family Business currently managed by the 4th Generation…..

Facing a Moment of Truth today, can fuel the Future with new aspirations and competitive energy….and consequent ongoing positives for the present and future generations of the ABC Group Families…

SWOT Analysis

Strengths:

  1. Foundation of  strong Inherited Personal/ Family Financial Security
  2. Internal Integrity
  3. Absence of Conflict
  4. Conservative, Non-ostentatious, Paternal Business Outlook
  5. ‘Running’ Businesses with opportunity and leverage to grow….
  6. Resources to support change…..
  7. Age Potential of the younger generation….

Weaknesses:

  1. Absence of Greed is Strength, but, Absence of Aspiration is a Weakness.
  2. Vision……..Where do we want to go…..for what……when…..why….
  3. Education/ Training…..Inadequate in the 4th Generation by current standards. While the next       Generation must get the best education in the World, to be able to manage Business….the Current Generation must make it up through World-class Entrepreneurial Programs, like in Harvard and Kellogg and IMD….To be competitive strategic thinkers, and also to be able to hire and manage highly qualified Professional Associates/Employees external to the Family.
  4. Competitive Entrepreneurial Energy and Motivation.
  5. Dependence on ‘Fait Accompli’ and Acceptance of Status Quo….lack of Result-orientation
  6. Work as a Ritual and not as a Mission to Achieve……No Goals…..Little Initiative….
  7. Approach to Business as a ‘Benevolent, Secure Landlord with a 9-to-5 job….’
  8. Very Old-fashioned paternalistic concern for people…..
  9. Total absence of Strategic Thinking…..
  10. Away from the business mainstream network, in India and abroad…
  11. S l o w…..Disinterested……Lost….
  12. Absence of a ‘Cash Cow’…..Group Company ’XYL’ could still be a possibility with the right strategy….
  13. Lack of Interest/ Concern for Brand Building……..
  14. Marketing
  15. Excessive Dependence on Single Sector Distribution…….
  16. Accountability

Opportunities:

  1. Infinite….with your resources….
  2. You have to look for them……they won’t come to you….
  3. You have to look at the ‘World’ as your market…..
  4. Create Time for ‘Opportunity’, not for ‘Work’….there will be people who will work for you….

Threats:

  1. Falling Business Growth erodes both wealth and confidence.
  2. Stagnation breeds conflict, breeds distrust….
  3. Conflict tends to multiply rapidly, with and without reason…
  4. Negative Emotions overtake reason, prevent damage control….Everyone loses, now and into the future…..
  5. Time runs out, on you, when action is scarce, and you do not know where you are going….

Wake up, for the World is yours, if you want it…..your forefathers gave you a head start, and you have no excuse to falter….And, you have nothing to lose when you do well….Growth perpetuates, Stagnation kills……

Many thanks for your understanding…..

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