As in 2013, our Family Business Education and Research Group [FBERG] conducted the research for KPMG Australia and Family Business Australia’s biennial Australian Family Business Survey. The 2015 survey report was released last week and can be accessed from our FBERG home page or from KPMG’s website (which contains a short 2.5min video, together with a case study on a highly successful Australian family business, AH Beard, a mattress manufacturer).
Some interesting insights include:
- 78% of FBs are optimistic about future growth prospects
- But, 70% are very/extremely concerned about the rising costs of doing business and the effect on growth
- 51% of FBs believe technological disruption is having a positive effect on their business
- 76% expect to appoint a new CEO in the next 5 years (majority to a family member)
- Of those passing on leadership in the next 2-3 years, 55% believe the likely successor is not ready to take over (needing further development in financial management, leading/managing people, strategic planning)
- 80% of FBs experienced conflict / tension between family members in last 12 months (less likely if they instituted a family forum / council)
- FB performance peaked when their CEOs were in the 50-60 age group and declined as their CEO approached 70 years of age and beyond.
- A formal board of directors only had a significant influence on firm performance when a non-family non-executive director was appointed to the board.
For further insights, feel free to download and read the whole report. Happy reading!