Succession Planning in Family-Owned Businesses in Nigeria

Most family-owned businesses in Nigeria fail to survive to the second generation, and even more fail to survive to the third generation. The problems with sustainability pose issues for individuals and communities but have not been adequately examined by researchers. The purpose of this multiple case study was to explore the strategies that family business owners use to implement succession planning required for business continuity. Succession planning theory was used as the conceptual framework. The participants for the study included leaders of 4 family businesses in Lagos, Nigeria, who have successfully implemented a succession planning strategy required for business continuity. The data were collected through semistructured face-to-face interviews. To enhance the credibility and trustworthiness of the interpretations, methodological triangulation of the data sources and member checking were used. The process of data analysis included word frequency analysis, coding of related phrases, identification of patterns, and generation of themes around the codes. The results of the data analysis revealed five themes: identifying successor leaders, focusing on leadership development, reinforcing knowledge transfer, enhancing longevity of service, and emphasizing mentor and mentee processes. Providing potential successors with valuable skills in the short term becomes valuable for the family business in the long-term, study results show. The findings may raise owners\u27 awareness about how to implement succession planning. The positive social change implications of business longevity include stable employment opportunities and investments in communities