Our treatise provides owner families with numerous recommendations for action and equally relevant and robust performance indicators for the establishment and control of an effective family, resilience (resp. crisis) and company management.
We consider the structures and processes in the owner family, in the company and between the two, which establish and ensure the resilience and future viability of this association in the first place.
With the EE-resilience-cycle, members of owner families, (operationally) active members as well as shareholders and next generation, are provided with a methodology for the optimal positioning of the relationship between owner families and family businesses. Dealing with this also benefits advisory boards, auditors, and tax advisors who, as confidants of the owner family, are frequently involved in conflict and crisis management.
While handling our numerous successful projects over the past several years, one pattern in particular had a negative effect repeatedly:
The interaction of ownership („Eigentum“), influence („Einflussnahme“) and decision-making power („Entscheidungsgewalt“) (EE) was unbalanced or not institutionally managed. Thus, “non-constructive" conflicts were inevitable which, over time, caused or aggravated crisis within the family business.
Therefore we recommend that owner interests, opportunities to exert influence, and holders of (operational) decision-making power
The EE resilience cycle illustrates why a finely balanced equilibrium of power and groups involved allows families and companies to act more effectively and thus become more resilient. Questions of wealth and pension issues are addressed in the same well-balanced manner as those of investment and indebtedness. Questions regarding the right business model approach and the appropriate financing are also clarified.
„Crises create an awareness of vulnerabilities. Therefore, now is the right time to put the resilience of your own company and the owner family to the test. For this purpose, we first recommend separating the sub-systems from one another conceptually. The EE resilience cycle provides concrete benchmarks to measure resilience.”
Konrad Fröhlich, author of the Family Stress Test (2017) and the latest publication (2021)
Struktur Management Partner GmbH has specialised in the turnaround and growth management of companies in challenging situations for almost forty years and has an outstanding reputation among corporate leaders, financiers and specialist lawyers.
As a company with the greatest experience in the market, especially in the German SME sector, we not only guarantee a pragmatically implementable restructuring concept; we also accompany all implementation and turnaround measures and ensure their transparency, effectiveness and sustainability right from the start.
You can take our word for it!