Filippo Ferrari awarded with the Emerald Literati Award 2024

‘The postponed succession An investigation of the obstacles hindering business transmission planning in family firms’: this is the title of the study that earned Filippo Ferrari, professor at the Department of Management of the University of Bologna, the Emerald Literati Award 2024. The price – annually conferred by the English publishing group Emerald – is meant to celebrate scholars that internationally distinguish themselves in the field of social sciences through their research, also in line with ONU’s SDGs (Sustainable Development Goals). Prof. Ferrari’s study, published in the magazine Journal of Family Business Management, investigated the psychological and relational challenges that hinder business succession in small and medium-sized family firms.

‘I’m honoured by the recognition I have received,’ – stated Prof. Ferrari. ‘Research characterised by a psychological approach is rarely recognised in the field of management, especially in the family business field. This award shows the importance of studying family, emotional and relational dynamics, especially through rigorous research methods rooted in clinical, work and organisational psychology’.

Business succession in small and medium-sized family businesses only happens in the minority of cases, less than 30% between the first and second generation. The research indicates that this low rate of success is due to succession planning focusing solely on asset and corporate aspects, without considering, neither directly nor indirectly, the psychological mechanisms involved. This inevitably results in an inefficient succession.

The study highlighted several challenges in the business succession process, such as the systematic postponement of business transmission to an undefined future, as well as the avoidance of intergenerational conflicts for as long as possible, resulting in an exacerbation of the issues. Furthermore, despite a mutual desire to give continuity to the business, a negative role is played by the divergence of views that different generations have regarding the founders’ role after succession, personal aspirations and competences of the following generation. Lastly, when transmission involves women, gender stereotypes also pose an obstacle: it is worth noting that about half of the daughters enter the business without an adequate curriculum, or in a specific ad hoc position.