MGF9301

Family business issues III

Lecturer to be advised

6 points · One 3-hour class per week · Caulfield

Objectives On completion of this subject students should: achieve a better understanding of the planning process and its relevance in the family business; be aware of the impact family ownership and involvement have on strategic development; identify the perspectives and dimensions of strategic planning; understand the relationship between strategic business planning and strategic family planning; be aware of planning mistakes and planning euphoria; identify strategic questions; learn analytical skills necessary for developing and implementing strategies in the family business; identify barriers to strategic policy development; and, become acquainted with techniques that assist in innovative problem solving.

Synopsis This subject has been designed to provide graduates who are owners, managers, family business members, family and private business professionals, as well as prospective business owners the means to improve their management skills particularly in the areas of strategic policy, preparation, and development. This subject discusses strategic business planning in relation to strategic family planning as well as issues such as succession, maintaining family harmony, employee care and loyalty, creativity, hoshin planning, and leadership. The subject introduces the notion that family considerations affect the choice of business strategy, since these considerations may make the owner reluctant to embrace formal goal-oriented decisions and limit the strategic aggressiveness of the family firm. Strategic planning is a continuous iterative process aimed at keeping the family business matched to its environment. As the family business grows, planning becomes imperative. Size may reduce the firm's flexibility, trial-and-error decisions become more costly, and the psychological effects of failure may escalate.

Assessment Individual assignment (3000-4000 words): 35% · Individual presentation (20 minutes): 15% · Major case study (5000 words): 50%

Prescribed texts

Corman J and Lussier RN Small business management: A planning approach Irwin, 1996
Gersick KE, Davis J A, McCollom H M and Lansberg I Generation to generation: Life cycles of the family business Harvard Business School Press, 1997
Kuratko D F and Welsch H P Entrepreneurial strategy: Text and cases Dryden, 1994

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