Because the parents' generation did not accept the changes that the children's generation planned to make, and the children's generation saw what the parents' generation did as old-fashioned and outdated, and it was time to change!
Some families pass on their business to their children, but the parents forbid any changes. In the end, many children have to retreat and start their own businesses in their own style or just put up with it.
Doing it without happiness will result in negative consequences for the business and it will not be able to develop further.
For example, a classic case that often occurs between the parents and the children is the matter of renovating a restaurant. The children think that restaurants these days need to build branding.
We need to find new selling points and do marketing, but the parents see their children as destroying what they have built.
Or in terms of setting up the store system, using technology in the business, such as POS machines, is something that the customer sees as necessary to help make managing the store easier.
Both in terms of cost management and stock control, but from the parents' perspective, they see that their children look down on the capabilities of what their parents have done and see it as unnecessary and wasteful.
So how should the successors of the business from their parents handle this so that the succession process goes smoothly and conflicts do not arise between generations?
The business has continued to develop without any interruption. There is a conclusion from the children who have succeeded in inheriting the business from their parents by perfectly combining different ideas between the generations, which has allowed the business to continue to develop.
4 tips for continuing your parents' business to success
1. See the value of what the old generation has done.
The most common problem in business succession is the perspective of the new generation who often think that the old things are no good and need to be changed, like the case of Bua Loi Klom Kliao by Mae Kaew , where the children think that a bag of Bua Loi is 20 baht.
The parents' generation had to change if they wanted the Bua Loi By Mae Kaew shop to be well-known and sell well. The children's generation, like Khun Paphasorn Chirananwanit, thought that they had to change from putting it in a bag to putting it in a plastic cup and making the packaging look good.
and increased the price, but my mother and father did not agree, which became a family conflict. Until I came to my senses from my father's words that "Isn't it the bua loy in the bag that supports my child until he finishes school and the family has enough to eat and use ?" This made Ms. Paphasorn
I think that changing the packaging is not the main point of the conflict, but because I have overlooked the value of what my parents have done and am trying to change what they have done for decades immediately.
It is normal for misunderstandings to occur. So, Ms. Paphasorn used the method of finding a location at a flea market to open a small storefront and asked her mother and father to try making it in the form that she had in mind without changing what her mother and father were doing.
The family conflicts ended. What I wanted to do was done to prove whether what I thought of doing would work or not.
2. Prove your intention to do it. Don't be impatient and change everything as you please.
Many children and grandchildren, when they inherit a business, want to change everything, which is difficult to do. Don't forget that in the end, the most important source of funds for any change is your parents.
Especially if you have never had any substantial experience before, do not be hasty in changing anything. Because uncertainty and insecurity are the reasons why parents do not let go completely because they do not know how serious their children will be about running the shop. Especially if their children are just graduating or have not graduated for a long time. Therefore, proving yourself by building credibility in the eyes of your parents by taking care of the shop in the old-fashioned way for a while... is necessary.
To prove to you our determination
Like the case of Mr. Chaiphiphat Thapthiang, who had to inherit the restaurant business “Ko Dam Muen Ram” from his parents. He had the idea to renovate the restaurant to look like a new generation of people, resulting in a restaurant with a unique identity.
In himself, both in terms of image and menu, to be able to compete with other restaurants. But before he could achieve what he had planned, he had to struggle and be very patient in trying to get his family to allow him to renovate the restaurant.
He had to do his homework, find information, and show his parents the advantages of changing the look of the shop. Most importantly, he had to prove to his family that what he was going to do was a significant goal.
How does it affect his future?
3. Don't ignore the experiences of your parents and involve them in every change.
Another point that causes conflict between the parents and children is the idea that children often have of their parents' generation as being outdated, not up to date, and not understanding changes, so they tend to cut their parents off from the business cycle.
They themselves took over the baton, forgetting to think about the invaluable experiences of their parents. Many of the difficult problems that their children encountered were easily solved by their parents’ experiences.
And importantly, in every change that the children's generation makes, the parents should be aware of it and participate in giving advice. Don't forget that this is an enterprise that they created. They know it better than we do and are connected to it.
Trying to cut our parents out of the system is definitely not a good idea. Please remember the important thing is that the business may be ours, but the main source of funding still belongs to our parents.
4. Compromise the core of succession of the business from generation to generation
Finally, the most important thing in business succession is compromise. Don't just focus on your own needs. Don't forget that the business that has been around for our generation is our parents' generation.
They have gone through many hardships, so it is natural for the parents to be anxious about the changes that their children plan to make, and to appreciate what the parents have done.
Making small changes gradually to prove to him how good it is to change. And letting your parents participate in thinking is a compromise that will allow the next generation to develop.
No matter what, every parent wants to see their child succeed. The more success they have in the family business, the happier they will be because parents want their child to take over the business.
And I want to see the business that I pass on to my children flourish even more than what I did. If my children understand the concerns and worries of their parents, the succession of the business will definitely go smoothly without any problems.
