Family-owned businesses | CEE perspectives – The trusted leadership advisor
Family-owned businesses (FOBs) stand as some of the most enduring and human stories in the corporate world, writes Milos Djurkovic, Managing Partner, Amrop Serbia. They embody legacy, identity, and the powerful intertwining of personal and professional lives.
This deeply rooted human dimension makes leadership in such a firm an extraordinary privilege and an extraordinary challenge. And pivotal moments will come — generational transitions, rapid growth, global expansion, or shifts in governance. These forks in the road require careful navigation.
Amrop Partners from CEE present ‘Family-owned Businesses: a Human Story’ – a series from the desk of the global Amrop Partnership. Our investigation concerns growing and globalizing mid-sized FOBs (with a turnover in developed markets of minimum $1-10 billion, and in emerging markets of $250 million to $2 billion). Founders or descendants hold significant share capital and/or voting rights.1
In Chapter 5, we identify 6 characteristics that a family-owned business should seek in a leadership advisor. What 4 pitfalls risk undermining a leadership hire — and what can family-owned businesses do about them?
Is it time for external counsel? 6 reasons why
- Engage the next generation: Engage, develop and provide space for successors in order to prepare them for ownership and management roles.
- Secure succession: Design and implement a process for generational transition: anticipate ownership and management issues, assess the willingness and capabilities of next gen, enable exits.
- Clarify roles and governance: Engineer the optimal corporate and family governance mix, install structures and decision-making processes to assure alignment. Clarify the zones where owners have control.
- Professionalize the board: Create a collaborative culture, defining the hiring criteria for owner-representatives, non-family executives and independent directors.
- Manage differences: Identify risks of conflicts, anticipate challenges and create an environment to prevent them.
- Integrate external talent Attract, evaluate, hire and onboard C-suite executives and independent directors.
The family has decided to seek a leadership advisor. But from whom?
Fortunately, there’s no lack of suitors. Thanks to a 100-year history and low entry barriers, the board, leadership and talent advisory market is densely populated. Family-owned businesses seem spoilt for choice. Unsurprisingly, many consult their trusted entourage before handing an entry pass to an outsider.
But that outsider must be a trusted partner, says Milos Djurkovic, “capable of understanding not just the technical aspects of governance and succession, but also the emotional, cultural, and often invisible threads that bind the family to the business.”
“Working with family-owned businesses has taught me that trust is everything,” confirms Magda Clipaciuc, Partner, Amrop Romania. “What sets this work apart is the emotional depth behind every decision. This is not just a matter of filling roles, but understanding values, dynamics and unspoken expectations. These factors shape a business from the inside-out. I challenge gently, speak honestly, and care — even if it means turning down an assignment. Because, when you work with a family, you don’t only advise them, you become part of their story.”
Marko Mlakar, Managing Partner of Amrop Adria, agrees. “After decades of working closely with family-owned businesses, I’ve learned that leadership decisions carry a unique weight. They are never purely transactional. They are emotional, symbolic, and often entangled with legacy, identity, and long-term vision.
“The advisory landscape is full of capable players. But only a few truly understand the nuances of family dynamics, the unspoken codes, and the delicate balance between continuity and change. For families facing transition, growth, or generational handover, the right advisor can be a quiet force for clarity, cohesion, and lasting impact.”
For Matej Mrak, Partner, Amrop Slovenia, trusted advisorship starts with the right mindset. It’s vital to understand exactly why an FOB is unlike any other business. “Ownership is a life decision and a long-term commitment, especially when it involves the second or third generation. It carries both personal and social responsibility. Anyone advising such an enterprise must be aware of its unique sensitivities. It’s like managing your own money: if you treat it with care and respect, you’ll be rewarded, and you’ll write your own story along the way.”
The FOB leadership advisor | 6 essentials
- A passion for FOBs: Doesn’t just tolerate the demands of FOBs, but thrives on their nuances and differences.
- Purpose-driven: Is guided by a clear mission and values that are in harmony with those of the FOB.
- Caring: Prioritizes the best interests of the FOB, refusing assignments that contradict these.
- Constructively confrontational: Puts honesty before convenience, has the diplomacy and gravitas to give tough input.
- Context-literate: A 3600 perspective of the client’s business: inter-connected insights make sense of complexity.
- A learning organization: An appetite for knowledge that secures FOBs access to fresh intelligence.
Better late than never
Too many family-businesses wait too long to engage an external advisor – even if the need is acute, observes Zeljko Sundov, Principal, Amrop Croatia. The procrastination is understandable. “On one hand, the investment isn’t always easy, especially when financial pressure bites. On the other, the family’s emotions and over-attachment to the firm may play a role. Yet, external expertise brings vital new perspectives and safely guides the family through unfamiliar territory. Many examples illustrate the value: from igniting short-term growth to assuring the long-term development that will support the generations to come.”
“Ultimately, this is a story about leadership as stewardship,” says Milos Djurkovic. “A reminder that in the delicate balance between continuity and change lies the future of the family legacy.
Hiring the new leaders for a family-owned business | 4 attention points
In previous articles we examined the executive hiring process from the perspective of hiring organizations2, 3 and candidates4 alike. We conclude with four considerations for family-owned businesses. These concern their own role in a successful hire. For, no matter how proficient your advisor (and new executive), it is incumbent upon the hiring organization to ensure these conditions are in place.
See the full article for more.
- Be proactive. Set the hire in motion in a timely way
- Set the foundations. Ensure clarity about the purpose of the hire
- Give autonomy. Give the new executive space to perform
- Secure the integration. Draw up a clear and agreed onboarding plan
Sources and further reading
1 Asaf, A., Carvalho, I., Tellechea, J., Leke, A., Malatest, F. (2023). The secrets of outperforming family-owned businesses. McKinsey & Company
2 Family-owned businesses, a human story: Culture. (2025). Amrop
3 Family-owned businesses, a human story: Finding the Leaders for What’s Next. (2025). Amrop
4 Family-owned businesses, a human story: Welcome to the Family. (2025). Amrop