Management Succession in a Two-Family-Owned Business: A Case Study

The purpose of this paper was to examine the impact in a two-family-owned business of the management succession process to the second generation. The research explored the use and makeup of a management team in transferring the leadership of the company. The study looked at the preparation and determination of which members of the family would assume positions formerly held by the two patriarchs and who would assume executive responsibilities as president. The research endeavored to answer the following question: How is succession planning for multiple senior executive positions in a two-family-owned business accomplished in a second-generation family-executive team? The research study used case study methodology to look at a business located in Southern California. The case study focused on the two patriarchs of the business and the nine members of the executive management team. The findings of this research contributes to the body of information on management succession in a family-owned business and the importance of using a management team to facilitate the process of transferring leadership to the next generation