I gave this keynote at the BFF Family Matters Forum 2015 in Miami, talking about how family businesses can harness NxG entrepreneurial acting and thinking within the family business.

1. Prof. Dr. Peter Vogel / www.petervogel.org / info@petervogel.org / @pevogel
Engaging the Next Generation of
Intrapreneurs

2. GLOBAL IMPACT OF
FAMILY BUSINESSES

3. Global Impact of Family Businesses
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Image: BFF Infographics
Data sources: FFI & European Family Businesses, 2012

4. 4
Global Impact of Family Businesses
Data source: European Family Businesses, 2012
Family Firm Institute
PWC, 2012
Contribution to Global
GDP
Contribution to Global
Job Creation
Family businesses (FB)
Non-FB
70 – 90% 50 – 80%

5. 5
Global Impact of Family Businesses
Family businesses are…
 … more profitable in the long run & outperform non-family businesses
 … less likely to lay people off despite a potential economic downturn
 … more likely to give to their community & engage in philanthropy
 … more future-oriented with long-term strategic goals
Data source: Family Firm Institute

6. 6
Global Impact of Family Businesses
Family Businesses Matter in Society and the Economy!

7. CHALLENGES FOR
FAMILY BUSINESSES

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Challenges for Family Businesses
Population
dynamics
Speed
of innovation
& economic renewal
Changing
global power
Changing &
more complex family
structures
Succession not
planned early
enough
NxG with different
characteristics &
goals

9. NEXT GENERATION
DEEP DIVE

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NxG Succession Dilemma
 < 5% of NxG in their 30s have intentions to take over family business
 Trend: Succession intentions are decreasing
Data source: BFF Infographics
Zellweger et al., GUESSS, 2015, HBR, 2014

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Characteristics
Source: BFF infographics

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Entrepreneurship as a Desirable Career
0% 10% 20% 30% 40%
Becoming an entrepreneur
Taking over my family's
business
Employee in a large firm
Employee in an SME
5 years after graduation University graduates
Source: GUESSS project

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Conflict between Entrepreneurial Desire & Succession?
Source: BFF Infographic

14. FOSTERING NXG
INTRAPRENEURIAL
ACTING & THINKING

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Why Intrapreneurship Matters for Family Businesses
 Opportunity for generations to collaboratively work on future of firm
 Foster entrepreneurialism of NxG & build emotional ownership
 An overall intrapreneurial setting will trigger employee engagement
 Ensure continued innovativeness of firm to compete on global market

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Fostering NxG Intrapreneurialism – Talent Development
 Involve them early on in the family business
 Let your kids take responsibility and take decisions on their own
 Allow them to be critical about the status quo and create new ideas
 Ask for their opinion on things and let them grow into the firm

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Fostering NxG Intrapreneurialism – Culture of Creativity
 Create a culture of intrapreneurial thinking and acting
 Listen to their ideas and serve as mentor and sounding board
 Turn regular learning into a playful & creative interaction

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Fostering NxG Intrapreneurialism – Market for Capital
 Provide them with financial resources to work on own ideas & learn
 Teach them financial literacy through letting them do things
 Create a family-wide seedfund for NxG entrepreneurial ideas

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 Help them experience and handle risk and their own boundaries
 Allow them to make mistakes and learn from them
“Only those who dare to fail greatly can ever achieve greatly” – Robert Kennedy
Fostering NxG Intrapreneurialism – Risk & Failure

20. Prof. Dr. Peter Vogel
Mail: info@petervogel.org
Web: www.petervogel.org
Thank you for your attention.
“Before the multinational corporation, there was family business.
Before the Industrial Revolution, there was family business. Before
the enlightenment of Greece and the Roman empire, there was
family business.” (William O’Hara)