Farm Table says:
Article author, Kerry Ryan, is a NZ-based agribusiness consultant who has been involved in a number of succession processes. He stated that when the first steps in succession management are put in place without a fully thought-out plan to guide the process, it has “resulted in fragile relationships and ownership structures that are not as effectively aligned with the long-term strategy as they could be aligned.”
Shortcuts are dangerous, explains Ryan. High-risk shortcuts include:
- Casual approach to meetings and communication
- Absence of documented sharemilking or employment agreements
- Insufficient consultation to establish a shared vision
- Lack of transparency around management decisions.
Ryan reminds us what is needed to succeed in succession:
- Acknowledgement of the difference between “management succession” and “ownership succession”.
- Confirmation of shared values so that everyone is aware of the behaviours and outcomes that will deliver these is key to a solid foundation.
- Putting time into understanding their respective personality styles and the impact of these on leadership, management, and interpersonal dynamics.