Advising a family Council in the long-term

CONTEXT

An important group of families, composed of more than 200 shareholders, belonging to five different branches from six generations, owns more than one multi-billion industrial company. Their governance is complex, and the need to align the general family shareholders group with the family council and boards of directors of the operating companies, was crucial.

APPROACH

Proper alignment among these governing bodies is important because it affects the success of the families in terms of sustainability, transition to the next generations and togetherness (“affectio societatis”).

OUTCOME

Our advisory role, exercised over a period of three to four years, consisted of reviewing the family council, as well as the boards of the operating companies (in terms of organisation, functionality, behaviours and capabilities), then driving the selection committee for the nomination of family members to be appointed to the boards and finally recruiting external directors. In performing this mission, our contribution helped the family upgrade its “family charter” and improve their internal processes.