Happy Family Business Day: we already make up 80% of the system!
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Category:Aljomar Family
Today is World Family Business Day , which is practically like saying World Economy Day, since according to the latest figures, nearly 80% of the business ecosystem is made up of family-owned firms.
Our company, Jamones Aljomar , is one of them. Founded by Mr. Alfonso Sánchez in 1992, the Guijuelo -based company carries its family character even in its name. Aljomar is made up of the first syllables of the founder's children's names: Alfonso, José Luis, and Mari Carmen. Secret revealed :)
But it is also demonstrated by our way of doing things, with honesty as our guiding principle; the constant commitment to quality and respect and dedication to our environment .
Values that characterize the family business, as revealed in his blog by Manuel Bermejor, professor at the Instituto de Empresa , and specialist in this economic field.
We would like to share this article with you because of its interest:
"World Family Business Day, which we celebrate on October 5th, is a particularly opportune moment to recognize the global relevance of family businesses. To begin, let us acknowledge that family businesses represent the majority of organizations worldwide. Various studies indicate that family businesses account for 80% of all businesses globally."
Important. Being a family business does not necessarily mean becoming a small, poorly managed company. Analysis of Fortune 500 data reveals that 30% of that prestigious list are family businesses. A recent report by the renowned consulting firm McKinsey & Company states that 60% of the largest companies in emerging markets are family-owned. According to the Global Family Business Index compiled by the University of St. Gallen, the 500 largest family businesses in the world have a combined revenue of $6.5 trillion and employ 21 million people, making them the third largest economy on the planet, surpassed only by the USA and China. Another study by the Boston Consulting Group estimates that, of all companies with revenues exceeding $1 trillion, 33% are family-owned in the USA, 40% in Germany and France, and more than half in Brazil and Southeast Asia. The IE Business School and Banca March report indicates that, over a ten-year period, European family businesses outperform their non-family counterparts in terms of market capitalization and job creation. The author demonstrated in his doctoral thesis that publicly traded family businesses are also more ethical, using accounting manipulation as a benchmark, based on a comprehensive analysis of over 1,200 cases spanning a decade.
One step further. In the field of entrepreneurship, so highly demanded and celebrated in these contemporary times, business families play an essential role. Few people contribute as much as business families to the goal of helping to build entrepreneurial societies. So, in this post, I would like to once again highlight the enormous contribution that family businesses make to job creation, innovation, wealth, philanthropy, and well-being. Family businesses have enormous potential and a splendid future. They are playing a decisive role in social progress, which is based on building a broad middle class that offers economic and political stability—the foundation of economic growth. Business families are the great entrepreneurs of the world. Now that the entrepreneurial phenomenon is being fortunately and decisively promoted in most countries of the world, society should look favorably upon the business families in its own territory. But what's more, I have found in many business families a reservoir of values that I find sorely lacking in other areas of our society, starting with honesty. Such demands in this world, plagued by scandals in so many spheres, that it needs ethical role models.
It was precisely during those truly critical, prolonged, and difficult periods resulting from the severe economic crisis that family businesses continued to step up with extraordinary generosity and genuine social responsibility. Let me offer some examples. A recent study by the Institute for Family Business (IEF) in Spain reveals some very telling data in this regard. In 2007, for every million euros of revenue, a family business created 4.7 jobs, compared to 3.1 jobs created by non-family businesses. By 2013, the last year of the crisis according to the study's authors, non-family businesses had reduced their job creation capacity from 3.1 to 3. Meanwhile, family businesses had increased it by 0.4 percentage points, reaching 5.1 jobs per million euros in revenue. This means they are practically 60% ahead of non-family businesses. As Juan Corona, CEO of the IEF and lead author of this report, points out: “Family businesses have achieved this through sacrifices, accepting losses in competitiveness and profitability during the worst period in Spain's economic history. This is another important lesson. When things are going well, family businesses contribute significantly to the economy, and when they are going badly, they are the ones that weather the storm.” These words emphasize the truly exemplary leadership style practiced in many business families. As I mentioned, these contributions are beginning to change the image of family businesses in our society. Society must recognize the important role that the many successful family businesses play. Governments, in particular, must become aware of the vital role that family businesses play and their extraordinary contributions in many areas, especially in job creation, as we saw earlier. They must not view them solely in terms of revenue generation, a dangerous perception that strikes at the heart of the continuity of family businesses. A dubious future awaits nations that do not respect and nurture their family businesses.
But I wouldn't want to let this special day pass without urging business families to demonstrate the utmost rigor and sense of responsibility. We are living in a new time. Indeed, a new era. We are beginning to realize that we are facing the Fourth Industrial Revolution. Business families must commit to adapting to a different reality, with different challenges, where many established assumptions and paradigms are being questioned. The business environment is more competitive and dynamic than ever, marked by the convergence of globalization and digitalization in space and time. These phenomena also impact the evolution of family models, which today are filled with more diverse members. Undoubtedly, this presents an extraordinary opportunity for many business families to govern themselves with a transformative vision and positive leadership. Whenever I can, I recommend that business families seek training in positive leadership. Since the studies of Martin Seligman, considered the father of positive psychology, it has been demonstrated that the performance of companies and individuals increases when the focus is on strengths. With my characteristic optimism in this field, I see enormous potential for positive governance within family businesses. Many family businesses have internalized extraordinarily positive values: long-term vision, commitment, honesty, generosity, philanthropy, and an entrepreneurial spirit. These are strengths around which it's easier to generate positive energy, enabling people to thrive, enjoy their work, and live, work, and connect in a positive way.
My appreciation to all the business families on this, their day. Until next time. Never stop striving to be happy, because at the end of the day, that's the most important thing for you and those around you.
