March 12, 2013. Shanghai – Twenty family business owners today participated in a dynamic discussion of critical issues they face, such as governance and succession, at the first roundtable meeting organized by the CEIBS Kaifeng Centre for Family Heritage (CFH). Director of the Centre and Michelin Chair Professor in Leadership and HR, Professor of Management Jean Lee moderated the discussion and also shared her research findings on family heritage. CEIBS President Prof. Pedro Nueno, Mr. Desmond Shum, Chairman of Great Ocean Group and Founder of the Kaifeng Foundation, and Professor of Finance and Accounting and Co-Director of the CFH Oliver Rui also attended.

In his welcome speech, President Nueno thanked Mr. Shum for Kaifeng Foundation’s generosity in the sponsorship, and explained that the Centre will focus not only on business, but also on family culture and heritage. Mr. Shum, in his welcome address, said that “family businesses are just tools at the service of the families who own them,” and he mentioned that one of the main objectives of the Centre is to rebuild family culture and develop China’s traditional culture of family values.

Established in December last year, the Centre’s three pillars are research, education and outreach.  It aims to attract top international scholars to conduct research on corporate issues such as globalization, as well as issues such as family relationships and succession which are specific to family businesses. It will also offer courses on related topics to the CEIBS community, and facilitate discussions and networking for family business owners.

Escuela de Negocios (ESE) de la Universidad de los Andes Professor of Strategy and Family Business Jon Martinez gave a presentation at the roundtable event on his recent survey, which looks at family businesses in Latin America, North America and Europe. He highlighted one of the most important points of today’s roundtable: “The key roles of the first generation in family businesses are totally different from those of the second and next generations,” he said. During his presentation, Prof. Martinez also reviewed the progress of some of the most globally renowned family businesses, such as Walmart, Samsung, Ford and LG.

Participating business owners, some of whom are CEIBS alumni, included first, second, and third generation family members and all agreed on the importance of transmitting the initial entrepreneurship spirit from one generation to the next. Mr. Shum pointed out that “children should be trained for the family business from an early age.” He added that, “the future owners also need to be taught that money is just a tool to reach their dreams.”

Singapore Management University (SMU) Vice President for Business Development and External Relations Annie Koh stressed the importance of having a family business centre in China. She said: “Family companies working together can get even greater results than governments working together.” Prof. Lee agreed, and added that “the Kaifeng Centre for Family Heritage seeks to spread that idea and create not only a business network but also an emotional network within the families.”

Following a lively discussion among the participants, the event ended with a closing speech from President Nueno.

Writer: Ana Galán Rodellar
Editor: Janine Coughlin
Photo Editor: Ewan Lin