Succession Planning Crucial for Family Businesses, Citing Examples Across Generations
Rupert Murdoch and his children reached a deal earlier this year to end the succession battle over the media empire, underscoring the need for robust succession planning in family businesses. In September, Rupert Murdoch announced he would hand over the reins to Lachlan Murdoch.
Walker’s Shortbread in Scotland uses a 'cousins consortium' model inviting extended family to join and help determine leadership roles. The company's revenue now exceeds £200 million annually. Founded in 1898 by Joseph Walker, it is currently managed by Nicky Walker, who became managing director in 2022. To formalise planning, Walker’s engages external experts and is considering forming an executive board with non-family directors.
In Toronto, St James Town Steak and Chops, a 54-year-old family business, is training Mark Michelin’s two sons, Noah and Alex, to take over operations. Similarly, Dr Bronner’s founder Emanuel Bronner did not leave formal succession paperwork, but the family aims to pass leadership with two generations in mind, with son Eli showing interest in the CEO role.
Nicky Walker of Aberlour emphasizes that owning and managing a generational family business is a privilege and underscores the importance of laying foundations to support the next generation.
Despite these examples, a Robert Half survey finds that more than 40% of Canadian business leaders have not identified a successor when planning to step down. A 2025 report warns that a lack of succession planning could lead to business closures, job losses, and economic uncertainty.
