Robert Hanssen is truly an entrepreneurial jetsetter. His family business owns over ten successful companies, and is based in South Africa, with work across the entire continent. But he lives in Denmark and works remotely. And the challenges don’t stop there. Currently, his daughter shows no interest in joining the work started by her dad and grandfather. Still, Robert isn’t worried, and the business is going from strength to strength.
So what’s his secret for family business success? He has a five-part strategy that’s directly responsible for his success.
It’s all about communication and planning. After a two-decade long journey, his answer to solving any problem in a family business is simple. Trust.
It all started with his dad.
“He’s been a serial entrepreneur since I’ve known him”
Robert’s dad worked for many companies, getting a range of experience, and finally starting his own businesses. Soon, his mom joined him, and Robert’s parents became a husband and wife team. But from the start, they had balance.
“The dinner table discussion was never always about work.”
It took a while for Robert to join the family business. Despite a background in engineering, like his father, he started his own career in investment banking. But he soon realized that he absolutely hated it.
The solution was simple.
“I spoke to my dad and my brother, and we just decided to start this business together.”
Even though his dad was semi-retired, he joined his sons to start a new venture.
“We effectively started 20 years ago and here we are. We are going from strength to strength and Cubicol is just one of the companies we now own. We actually have more than 10 companies now.” And those companies employ nearly 2000 people.
What is the secret to family business success?
Robert’s recipe for family business success, like so many other successful enterprises, relies on five key ingredients.
The first is role clarity. Having clear job descriptions and responsibilities ensure that no toes are stepped on, and that everyone works according to their strengths and qualifications.
“My father is more in the procurement side and working with certain suppliers and getting the best deals. My brother is very much hands-on and he runs the factory, and I’m doing sales and basically engineering in the background. So we all took various roles, and nobody really takes any work from anyone else.”
The second is effective communication. This includes a documented procedure for handling and resolving conflicts, to shift focus from bickering and problems, to what really matters: your business.
“Talk. Have discussions. If we disagree, how are we going to resolve things? That was great preparation. We saw the pitfalls ahead of time, but it came with a lot of discussion beforehand. The trust is there, the understanding is there. And that’s actually half the battle won.”
The third component is setting goals. You need clear goals for the family, and for the business, to ensure that everyone is on the same age, and working towards the same result
“We have to obviously set goals. We’ve decided actually as a family unit, not to grow other than organically. So we are not really trying to grow out of our skin.”
Then there’s planning. That includes planning for the future, so that if – like Robert – you need to work out who your successor is, you have a clear roadmap.
“Plan, you know, for the worst that can happen. We’ve planned it out. In fact, now we have to start thinking about succession planning and that type of thing.”
And the final bit of magic for family business success is having a balance between work and family life. You need to know where work stops and family starts, and how to set boundaries between the two.
“When we are together, it’s always about work. So when we get away, we try to actually have family time. We try to have an enjoyable non-working time. I always say, if one can work with one’s family, then it’s actually the best way to work.”
Are You Missing Any of These Ingredients?
With effective communication and boundaries, as well as clear roles and responsibilities, you can ensure that your family business won’t just survive – it will thrive. But it’s not always easy to get that right. So when you’re in doubt, reach out to professionals who can help you to create a winning strategy for your business, and stick to it.
Fusion CPA’s team of experts can help you navigate the complexities of working with family, to ensure your legacy for generations to come.
Watch our full interview with Robert Hanssen to hear more about his journey – and discover practical ways to ensure family business success for generations to come.
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