At a glance
Organisation: A family business managed by its owners for 30 years
Starting point: Operations had doubled in five years, increasing complexity and the number of employees
Outcome: Three new executives, a professional board and a planned transition of the owners to the supervisory board
Context
For three decades, the owners had built and managed the company themselves. Rapid growth changed the scale of operations, but recruitment still relied mainly on referrals and one familiar recruiter.
The business challenge
The company needed to change the composition of its management board. The owners had extensive business knowledge but no previous experience of recruiting executives at board level or designing a transition away from operational management.
What the diagnosis showed
- The formal board had five members, but the three owners made the real decisions; the other two members had limited authority.
- There was no effective board structure, clear set of regulations or regular decision-making cycle. Many decisions were made informally and in the moment.
- The owners were ready for change, but the assessment of competencies, motivation and potential revealed important gaps that the new board would need to cover.
What we did
- We prepared a multi-year transition plan for moving the owners from the management board to the supervisory board.
- We defined the requirements for each board role, linking them to the company’s strategy and the competency gaps identified in the diagnosis.
- We supported the selection of an executive search firm and coordinated cooperation between the owners, the recruiter and our assessment team.
- Candidates for CEO, finance and sales roles completed six to eight psychological tests and structured interviews focused on competence, motivation and role fit.
Results
- Three new board members were recruited.
- The company established a professional management board with clearer responsibilities and decision processes.
- The management structure was adapted to the company’s scale and growth plans.
- The owners moved to the supervisory board close to the agreed timetable.
I was surprised by how efficiently the new board worked. I did not know it was possible to operate in this way.
Client perspective
What this case shows
Succession from an owner-led board succeeds when recruitment, governance and the owners’ own transition are designed as one process. Assessing candidates only against generic executive criteria would not have addressed the company’s specific strategy or family context.
