Nextgen Succession
Introduction
Nextgen Succession is perhaps one of the most delicate and challenging aspects of family business strategy. Globally, studies show that while 80% of business owners expect to pass their business on to the next generation, only 30% of businesses successfully make it to the second generation, and even fewer survive to the third. The challenge lies not just in identifying the next leader but also in ensuring that they are equipped with the right skills, mindset, and understanding of the business. Moreover, preparing the next generation requires careful planning around governance, leadership training, and aligning the family’s vision with the future of the company.
Why it’s Important?
Succession planning is vital to the long-term survival of family-owned businesses. Without a structured, well-planned approach, the business risks losing direction, leadership gaps, or family conflict. By investing in a robust nextgen succession strategy, families can ensure that the next generation is prepared to lead effectively, preserving family legacies and ensuring business continuity. Boston Consulting helps families navigate this process smoothly, creating a clear path to the future while maintaining unity and business success.
Our approach
From a consultancy perspective, Boston Consulting works closely with family businesses to design succession plans that ensure a smooth transition of leadership. We focus on identifying potential leaders within the family, preparing them for future responsibilities, and facilitating the necessary training and mentorship. We also provide insights on governance structures, communication strategies, and conflict resolution mechanisms that foster a healthy and collaborative transition to the next generation.