Formal advisors and succession process in family firms

Abstract

Purpose

This study explores the roles of formal advisors (FAs) in the succession process of family firms and the factors that determine them.

Design/methodology/approach

Data for this study were collected through interviews with 38 FAs, including lawyers, tax advisors, financial ad-visors and others.

Findings

FAs play multiple roles simultaneously in succession processes (both internal and external), which the authors call role hybridity. Among them, the authors differentiated roles, such as educators, sherpas, initiators, experts, managers, consiglieres and protectors. Additionally, the authors demonstrated that the critical factors shaping these roles are trust, communication, human capital and willingness to take on the role. To explain the role hybridity phenomenon, the authors used stewardship theory's assumptions and formulated propositions for further research.

Originality/value

This study provides insight into both internal and external succession processes from the perspective of various types of FAs. The authors indicate their roles and the factors that determine them.

Citation

Wojtyra-Perlejewska, M. and Koładkiewicz, I. (2023), "Formal advisors and succession process in family firms", Journal of Family Business Management, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/JFBM-07-2023-0115