Cultivating resilient leadership can help a family business to succeed

By Kathy J. Marshack, Ph.D., P.S.

What makes a leader? Is leadership a genetic trait or a learned ability? Are men better leaders than women? Is leadership ability universal or situational? Do leadership skills fade if not used?

These are questions that research has yet to answer. But leadership development is one of the major concerns of American executives. Business owners are frequently faced with the problem of developing leadership skills among executives and managers. These same executives and managers may be highly skilled in their particular specialty, but lack what it takes to lead his or her people to excellence in their industry.

The qualities of a leader are many. And to some extent the type of leadership style that works in one setting may not work in another. What is common to all successful leaders however, is the ability to communicate with his or her subordinates, colleagues and superiors. The confident leader communicates this confidence and encourages the best from others. Over the years I have often been surprised at how many successful and wealthy business owners have such poor communication and leadership skills. Apparently having good interpersonal skills is not a requirement for business success, but it certainly makes things go more smoothly. One wonders how much more could be accomplished by these wealthy and successful people if they had improved interpersonal skills.

When you are the boss you can compensate for poor people skills by firing troubling people. Most entrepreneurs are extremely hard workers, so another way to compensate is to put in more hours to cover for your lack of leadership ability. In family firms, if no family member emerges as a successor to the founder, the business can be sold.

These strategies seem rather primitive when good communication and interpersonal skills can be learned. It may be that some people are just born to lead, but with training in communication skills, a natural leader may be discovered who may otherwise have been overlooked.

The kind of skills that will enhance any leader’s position and that could create a leader from someone with raw talent, come under what I call the “resilience factor.” Within this factor are the qualities of flexibility, the win-win philosophy, quality over quantity, toughness, and foresight.

No matter what surprises lay in store for this leader, he or she is flexible enough to do what works in the moment. He or she can learn from even the lowest employee in the hierarchy. A father can take direction from his son or daughter.

Competition is a waste of time for this leader. A husband and wife who work together learn to appreciate the unique talents that each brings to the business. This leader’s philosophy is that everyone wins.

Doing things fast is replaced by doing things thoroughly, efficiently and with quality. The leader who has mastered good interpersonal skills has a devoted work force, family and clientele. Therefore, taking the time to do it right and to learn from others pays off.

Leaders who win are tough. They don’t give up. Their employees and family members can count on them to come through. They aren’t afraid to speak, nor to speak an unpopular position. And when they speak, they have thoroughly researched their opinion. Winging it was OK in those start up years, but if you want people to follow you, be thorough.

Among family business owners, cultivating leadership is even more difficult. The development of interpersonal skills is often thwarted by the system of primogeniture. That is, the leader of a family business may take leadership solely because he is the eldest son of the founder. He may have little leadership ability, and poor interpersonal skills, but as the son (or eldest son) no one looks further for true leadership.

Leaders of family firms who want the best for their families and their business confront the problem of cultivating leadership openly and honestly. They insist on training the next generation in the development of problem solving skills, communication skills, confrontation skills as well as the skills of the specific product manufactured.

Passing the business on to the next generation requires foresight, another quality of successful leadership. Being wrapped up in ego needs, leaves a business owner with no one to trust the business to when he or she retires or dies. The truly resilient leader is one who has planned ahead and created a resilient business.

Resilient leaders recognize the abilities and talents in others as well as themselves. These leaders realize that their greatest contribution to the business is their ability to lead, to cultivate excellence in others, to create a quality business with longevity. Without developing the interpersonal skills that create trust and confidence in the leader, this is just not possible.