Non-family-members in the family business management team: a multinational investigation

The purpose of this study was to investigate, in a multi-country context, the inclusion of family-member managers and non-family-member managers in family businesses, and the relationship of this variable to certain management activities, styles and characteristics. A large sample (N = 593) of family businesses was generated from six countries (Croatia, Egypt, France, India, Kuwait and the United States), countries with significant differences in cultures, economies, levels of entrepreneurial activity, and family business demographics. Correlation and then Regression results indicate that, as the percentage of non-family-managers in the management team increases, there is an increase in the use of outside assistance, the use of sophisticated financial management, and the consideration of going public; but a decrease in family member conflict, in the original founder’s influence, and in the formulation of succession plans. Implications of these findings, for practitioners, consultants and researchers, are presented.