By Jennifer Blanchard | HRTools.com Business Writer
Conflicts occur in all businesses, that’s a given. But conflicts aren’t always as distracting or as destroying as they are when they occur in a family-owned business.
Conflicts in a family-owned business can cripple the company and the family. That’s why it’s so important for conflicts to be dealt with immediately.
When conflict within a family business is ignored and allowed to fester for days/weeks/months, it will grow into something that could potentially devastate the company.
Here are some suggestions for how to deal with conflicts within a family-owned business:
- Hire a mediator—Mediators are trained to deal with conflicts and help those involved come to a resolution that everyone is OK with. Mediators can suggest solutions, keep the conversation on track and make sure everyone is heard.
- Establish ground rules—Conflict resolution sessions should be constructive and civil. Setting ground rules will ensure there is no name calling, finger pointing or accusatory statements made.
- Allow everyone to share their opinion—Conflicts can’t be resolved if the people involved aren’t allowed to share their opinions and feelings about the situation.
- Be proactive—Address conflicts as soon as they arise and not a minute later.
- Everyone must be in it together—The whole family must be involved and willing to support each other through the conflict resolution process. Without support, the whole thing could easily fall apart.
- Hold family forums or brainstorming sessions frequently—A family forum/brainstorming session is a great place for a family to get together to discuss the business, ideas and suggestions, and it’s also a good place to resolve any disputes immediately.
- Create a documented policy that details each person’s participation in the family business—The details should clearly define roles, specify the decision-making process, contain plans for succession, guidelines for salaries and how conflict resolution will take place.
- Evaluate everyone’s performance—Performance reviews aren’t just for employees, they’re also an excellent tool to keep all the family members in a family-owned business focused on improvement.
And remember, conflicts are only resolved when the solution is agreed upon by all the involved parties.
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