27/04/2014
To be held Thursday under the auspices of the Minister of Commerce and Industry
The governance in family businesses Forum review the experience of the transition from local to global
The corporate governance in family business forum 2014 discuss the challenges with continuing generations, organized by the Chamber and the Institute of Directors in GCC (Thursday, 1 May 2014) ' display a transport set from the Kingdom of Jordan on the institutionalization of the family business, resulting in its transition from a local to a global group of companies. Deputy Chairman, Naqel Ghassan Naqel group speaking at the Forum which addresses a number of important issues in the process of continuing the family business, in the light of the experience of the group which was founded in 1952 in Jordan as a family trading company, while more than 30 companies, and up to 45 markets in the world.
And transfer of basic subjects belonging to the family business, given that only 30 of these companies in the world to continue the work until the second generation, 20 for third generation, 3 only last until the fourth generation and beyond, light touches to the actions taken by the group to grow and develop and move from frame to frame the regional and global levels, with continued here as a family company. The Group also provides the transfer experience in the creation of a separate Department of the Royal family, and the creation of a separate financial system entirely on the financial affairs of the family, how to define a clear strategy for future investments.
The Chamber's Chairman Abdulrahman bin Saleh Al-otaishan said that the importance of this event, which is held under the patronage of the Minister of Commerce and industry Dr. Tawfig Alrabiah, it deals with a subject as vital local, family business in Saudi Arabia occupies a wide area of the national economy, private sector activity, in particular, the volume of investments in the local market within 350 billion, more than the 12 of GDP, these investments are expected to increase by 4 next year What makes it an important channel for attracting domestic and foreign investment, attracting national workforce, thereby strengthening its position in the national economy.
The importance of family business not only in the local context, and even in regional and global companies run by families in Gulf Cooperation Council countries, constitute 75% of the private economy, employs 70% of the workforce in the region, and that 90% of North American companies are family firms, that approximately 35% of Fortune 500 companies are family firms, in fact, but that family businesses in the United States representing 60% of the Employment, 50% of GDP, 78% of the generator of new jobs. Otaishan said that the Forum seeks to reach additional recommendations, if activated the continuity of family companies facing the risk of downtime due to successive generations, so it will be reviewing its main findings ' poll Center PricewaterhouseCoopers ', with the participation of 1952 is a family of 28 countries in Asia, Europe and Latin America, the Middle East and North Africa.
Otaishan added that the participants in the Forum under the theme 'challenges of continuity of generations ' would discuss ' the challenges of transition of the family business to the next generation, possible solutions, talking about the number of experts and specialists, each representing a well-known family companies were just Haji Hassan (Manager of finance and administration group Haji Hassan), Ahmed Youssef (partner in McKinsey company), Badr Cano (Board member of Yousef Bin Ahmed Kanoo group), Steve Drake (partner in PricewaterhouseCoopers), moderator On this axis Abdulla almajdouie. Chamber President said that the Forum, which is held in the headquarters of the Chamber in Dammam ' will serve to monitor the major obstacles preventing the implementation of the principles of governance, what is meant by separation of ownership from management in family firms. Where he talks about this axis of Ziad khoshim (partner in Allen and Avery, khoshim law firm), Fawaz Al-khodari (Executive Chairman Abdullah bin Abdulmohsen Al-khodary), Ghassan (Deputy Chairman of the Board of Directors, Naqel), and Michael morkos (partner in haidrbek stragls) in a session moderated by Dr. Jassim Alrumaihi.
