The conflicts between father ans son as seen earlier weakens the family business. No two individuals think alike.
The father, from the old school of management, has his own idiosyncrasies and ideas of management. He might be slow in taking decisions. He would have his own coterie. They would have advised him for long. The growth of the business would have been slow.
The son, in this case an adopted one, would be quick and sharp. He would have had a large exposure, having done his management courses abroad. He wants growth, not a tardy one but an accelerated rise. He hires professionals.They tell him the old managers ae no good. They should be replaced.
His modus operandi is different and fast.
The tussle starts.. Father, princely bred, feels he has been overwhelmed. He is hurt. It is natural, An eighty-three-year-old man, who had his own way of life so long is now trapped by his foster son.
He is removed from the chairmanship of his company by the shareholders. His pain transforms into fury. He cancels the adoption decree and proclaims he has renounced his son.
The son, on the other hand, behaves even harsher. He speaks ill of his father. He cuts the remuneration paid by the company to the father. He revokes all sanctions to the old man. He is now the custodian of the business as per the share holding pattern, He and his wife hold the majority.
To get going and to meet out his expenditure the father sells his house in Hyderabad. He proposes to sell his coffee estate in Coorg. The son seeks the court's permission to stop the sale. The son's case is dismissed. So goes the.story.
Well, this is unbelievable. Fairy tales are more credible, one feels. Now with the police complaints and government intrusions the conflict has turned ugly.
A foster son cannot become an own son whatever it could be and whoever it might be.
Propagation comes through with justifiable means. Progeny is through
the rightful process, not by deceit and malice.
An experiece expressed in its own terms A blog focusing on stock ,commodities ,and finance.It is not financial reporting, not a research, but a perception of an investor.
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Showing posts with label Business.. Show all posts
Showing posts with label Business.. Show all posts
Wednesday, May 27, 2015
Wednesday, May 13, 2015
The Growth Of Intrusions In Family Business
T
he family interference in the business leads to a crash. This has to be collectively restricted. Whoever it might be family interest in the business is permissible. Other than that the other ideas of personal inclinations that of keeping aside a portion of wealth, hiking the bills for the sake of a family, manipulating in the accounts should not be entertained.
if the interruptions are allowed then it would be a complete sweep. The management should be careful with such interceptions. preserving the ethics the definition that long eluded my thoughts, should be the motivation.
I have seen in various organizations that this spirit ids obnoxiously missing. The anomalies are overlooked initially. They are only small abnormalities and could easily be neglected would be the feel of the management. True trivials should not affect the big decisions. But ignoring them would lead to their growth. Once they grow huge it would be not easy to uproot them. Restrict them at the primary stage so they would not turn cancerous .
With this in the mind the family business has to be managed .
he family interference in the business leads to a crash. This has to be collectively restricted. Whoever it might be family interest in the business is permissible. Other than that the other ideas of personal inclinations that of keeping aside a portion of wealth, hiking the bills for the sake of a family, manipulating in the accounts should not be entertained.
if the interruptions are allowed then it would be a complete sweep. The management should be careful with such interceptions. preserving the ethics the definition that long eluded my thoughts, should be the motivation.
I have seen in various organizations that this spirit ids obnoxiously missing. The anomalies are overlooked initially. They are only small abnormalities and could easily be neglected would be the feel of the management. True trivials should not affect the big decisions. But ignoring them would lead to their growth. Once they grow huge it would be not easy to uproot them. Restrict them at the primary stage so they would not turn cancerous .
With this in the mind the family business has to be managed .
Saturday, May 2, 2015
The Business Of Brothers.
It is a series of lapses that had led the business to a disaster. Begun well with ambitions set in the sky the duo Raj and Appu piled success after success. They entered into hospitality. They bought a priced property in the centre of the town which hosted the officers bungalows. It belonged to a composite textile mill which was the pride of the town.
Raj and Appu hired professionals from Sri Lanka to redo the buildings. The architects and interior designers did a good job. Another Sri Lankan hotelier was also brought in to run the hotel for a contract of five years. The going was good and the hotel was one of the best in the town.
As always the two brothers wanted to expand. They are very enterprising and had business acumen so much but they lacked a perseverance. They would jump from one to the other without giving a thought of what would happen and how could they manage the bourses by taking new projects.
This was their strength and weakness. In their aspiration to widen their business,
they forgot the money involved. They borrowed and finally were left in the lurch. Their meticulously configured projects crashed. They were deep in trouble..
Adding woe to the misery Raj and Appu fell apart. it is a usual phenomenon.When things go good friendship lasts. When there is a downward trend the first to go are the friends.
A tale well begun ended up in a calamity.
Raj and Appu hired professionals from Sri Lanka to redo the buildings. The architects and interior designers did a good job. Another Sri Lankan hotelier was also brought in to run the hotel for a contract of five years. The going was good and the hotel was one of the best in the town.
As always the two brothers wanted to expand. They are very enterprising and had business acumen so much but they lacked a perseverance. They would jump from one to the other without giving a thought of what would happen and how could they manage the bourses by taking new projects.
This was their strength and weakness. In their aspiration to widen their business,
they forgot the money involved. They borrowed and finally were left in the lurch. Their meticulously configured projects crashed. They were deep in trouble..
Adding woe to the misery Raj and Appu fell apart. it is a usual phenomenon.When things go good friendship lasts. When there is a downward trend the first to go are the friends.
A tale well begun ended up in a calamity.
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