“Who’s in charge?” Sound familiar? Recently, a company well into the family business succession process conducted an environmental survey of its employees. Included was the following innocent appearing question, “Who’s in charge of the company?” The survey results showed that neither the family nor the employees agreed. Some chose “the founder,” some chose the “child of the founder,” some chose the “company president,” a few chose the “brother of the founder” and some chose more than one person.

“Who is in charge?” must be clear to all: the family, the employees, the customers, suppliers and the community.

Recognize that the leader sets the tone of the business environment: the way employees are treated by management; the way customers are treated; the work ethic that prevails; the way policies are administered; the way strategy is developed and implemented; and the manner in which decisions are made. The leader also sets the expectations for the standards and ethics of the business, the quality of the products and services and the degree to which community involvement is encouraged, recognized and rewarded.

The family members should know, understand and support the family business leader’s values. Then they can all speak “with one voice,” which is the goal. That is most likely to happen when there is open and full communication.

Here are a few questions and ideas that may help accomplish the necessary “buy in” from the family members and also help them grow. Meet with each family member and review and discuss:

Authority and Responsibility
Do the family member working in the business have as much authority and responsibility in as they can reasonably handle? Offer learning opportunities and increase responsibilities as they demonstrate competence to grow.

Giving Family Members Room to Breathe
Has the senior family member stood back and let the family members do their jobs. “Looking over the shoulder” and “second-guessing,” even though well meant, are an invitation to tension, confrontation and disappointment.

Holding the Family Employees Accountable for What They Do
Nothing is gained by looking the other way and refusing to evaluate the performance of family members. They need to know how they’re doing, when they’re doing well and how they can improve, just as any employee needs this support. When a family member fails, don’t ignore or overlook the situation. That approach undermines the individual and builds stress and tension in the business. Promptly deal with problems.

Frankly Discussing Successes and Failures
Talk about how to avoid future problems: what should be improved and how it will be assessed. Treat any failed situation as a learning experience, as it should be for all employees. This type of communication helps the family member grow and, ultimately, the business to thrive.

Take the Initiative to Find Out
Ask each family member to answer these five questions:

1. Are you satisfied with your decision to come into the family business?
2. How can we best contribute to your success?
3. What additional responsibilities are you ready to accept?
4. Do you really want to be here? Or, does your happiness follow a different path?
5. What should we do to make our family business better?

These explorations and discussions can provide meaningful insight and a basis for constructive dialogue and learning. They will help the “in charge” leader become even more successful. As communications become more open, move ahead by forming a family council to meet regularly and focus only on  how to make the business better and more successful.