Over 90 per cent of businesses in India are run by families. This is significantly higher than the global average, which rests at 80 per cent. At this scale, you can imagine that family businesses impact nearly every walk of life. In fact, India has the third highest number of family businesses in the world, with the backbone of the nation’s economy being strongly dependent on family-run enterprises.
Traditionally, family business owners held strong emotional ties to their family legacy. If we go back 500 years, one’s destiny was to take up their father’s trade. A weaver’s son was destined to be a weaver, a winemaker’s son a winemaker. Children were bestowed the responsibility of carrying the legacy forward.
Not all family businesses ensure a long-lasting legacy as most tend to falter in their 2nd or 3rd generation. Learn the secret values that helped family enterprises thrive for centuries in an insightful workshop with a highly-acclaimed expert in the field of family business. Denise Kenyon-Rouvinez is The Wild Group Professor at IMD Business School in Switzerland and brings over 30 years of experience working with families around the globe in Europe, Asia, Middle-East, North and South America.
Minds That Matter is a series powered by Machani Group, featuring thought leaders with the core intent of catalyzing growth and creating impact. The series brings together subject matter experts from around the world who have made extraordinary strides in their areas of expertise and wish to share their life's work with other impact-makers.
Stuart Diamond, an American Pulitzer prize-winning author, journalist, professor, attorney and entrepreneur, has been a pioneer in the art of negotiation for more than 20 years.Diamond's widely acclaimed book on negotiation, Getting More, was a 2011 New York Times best-seller. His framework has been used by global giants such as Google, JPMorgan Chase, Citibank, General Electric, to train its employees worldwide leading to billions of dollars in extra revenues.
Entrepreneur India spoke with him to learn the tricks of the trade when he was in India recently to attend the ‘Minds That Matter’ initiative by the family business group Machani Group to celebrate those who have made revolutionary strides in their field.
BENGALURU: With no formal education in business management, Sachin Agarwal, 35, had worked hard alongside his father and elder brother in the family’s battery distribution company in Bengaluru. The 30-year-old business was being traditionally run like a shop. The company, Mittal Batteries, was stuck in a time warp. Much against his father’s wishes, Agarwal hired a business coach a year ago to help them step out of the traditional mindset and scale their business model.
We didn’t know the nuances of strategic hiring, actual business plan and building a company’s vision. We had an annual turnover of Rs 80-100 crore with no margin,” said Agarwal. The business coach handheld them to start manufacturing batteries in-house and scale operations to Tamil Nadu and Kerala.