Family owned business vs. professionally run businesses

Professionalism:

1. Lag in commitment with workers than family business.
2. Chances for less co-ordination.
3. Chances for shut-downing without the approval of all people in the organisation.
4. Owner concentrates on profit rather than human.
5. Workers may feel uneasiness.

Family business:

1. Kartha of the family will lead all the members of the family.
2. Forcing of work will not be there.
3. As family members they have responsibility.
4. Easy to control and sometimes it may reverse.
5. Fully committed workers (members).

I would rate professionaly run business over family run businesses. we can argue about the professionals that they will always look for thier growth but let me remind you guys falimly run business are at a very high risk of family's internal politics. Overtime the issues like who will control what and who will be next successor leads to a situation where whole organisation can become a battle field. A classic case from India can of Relaince. Look at the way Mukesh and Anil Ambani fought over control...had this been a prfessionaly run business i m sure the situations would not have developed.we should not professionals as greedy people who just want to earn huge salaries but should look the them highly skilled and exprienced people who run the busineses keeping shareholders interest at top priority.

A family business is what actually lacks professionalism as the management and the ownership are in the hands of family members, where the desires and demands of the family members clash with the company objective and goals which they wish to achieve whereas in a professionally running business the all the work is done under the supervision of professional managers, where professionalism is given utmost priority.

Hello friends I want to initiate the topic "Family owned business Vs. professionally run businesses", The working strategies behind that businesses are entirely different, in my opinion if someone involved in family owned business then his/her primary goal is to improve the reputation of business, making eyes toward Success of business. But, if he is involved in business professionally then the things are entirely different his/her first goal is related to self improvement then the success of business in which he or she is involved. They always tried to gradually succeed in their professionalism.

Getting on a logical conclusion, issue is actually with lack of professionalism in family run business... professional managers should be appointed in family run businesses.. so as to increase the goodwill of the business as it perhaps gives a right path leading to success, such managers provide proper working techniques as he is professioanlly trained... and then aside all these matters,he is master in making the strategies for an effective business..!!!

I think people who have their family owned business have no tension they knew in advance that they have to join their family business they don't have to struggle in life and they don't need to show their intelligence n skill in job interviews in order to earn a job. But those who are professional managers need to fight with the whole world they have to struggle in life they have to update their knowledge improve their skill so that they can get a good job or run and manage their newly start business. So I think professional managers are much more hardworking because he doesn't get a silver spoon to serve him instead he have to make that silver spoon with his hard work and dedication. Thank you.

Family business helps because the next generation leaders get the benefits of foundation and trade repute. Young entrepreneurs can boost up the results of family business by applying strategic policies as driven by Six sigma, lean and D4 theories.

Dear Friends I'm agree with your all opinion. and I affirmatively favour family owned business because of the fact that you are self employed not working under any other business-man. They will have to make strategy to develop their business and have to earn profit as well. More over if you have a quality of a entrepreneur than you can invest a capital amount and start a professional business. So if I say that every Entrepreneur in INDIA has not started their business initially after completing their study.Initially they need a family owned business to judge their quality and strategy so as to invest a huge amount as a capital in any professional business.

Helo friends,

My opinion is different from all of you. According to me, the only difference between family-owned business and professionally run business is the beginning. I agreed in family owned business you don't have to work hard to get that silver spoon which you have to do to get that job but the problem arises after that once you both sit on that chair level of problems are totally diff. In family earned business you have to work hard day and night no working hours no holiday you have to work overtime because whole responsibility is on you now. But in professionally run business you have to do only that work which is assigned to you. No tention before and after that.

Thank you.

Family run business:

More centralization in decision making
Product centered business
Ownership is there
Tightly runned

PROFESSIONALY RUNNED

Decentralization of decision making
Turnover centred business not product specific
Loosely held
Lacks ownership

I belive companies who are successful are family owned companies
professionally runned

1.Ownership is still there
2.Decentralisation of factor based decision making
3.Sector based business model
4.Wisely held