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Succession Planning: The Caribbean Approach

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Understanding the Caribbean Enterprise

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Abstract

Succession planning in family-owned businesses (FOBs) continues to be a major problem globally, with only 30 % and 15 % surviving to the second and third generations, respectively. Informed by the extant literature and empirical data from three English-speaking Caribbean (ESC) countries, the chapter explores context-specific approaches to the problem with succession planning in FOBs in the Caribbean. Among the findings are that succession planning in the ESC is a function of a when, who, how, where [what], and why decision-making classification, and that the approaches to succession planning vary across the main ethnic groups in the ESC.

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Notes

  1. 1.

    See http://www.caribjournal.com/2013/10/29/ranking-the-caribbean-on-life-expectancy/

  2. 2.

    Based on a 2006 survey of FOBs in Jamaica (Nicholson 2010).

  3. 3.

    Those who indicated that they were the major player or leader of the FOB.

  4. 4.

    Guyana was not included in the LN data set, but input came through information gathered from discussion with owners of family businesses in Guyana.

  5. 5.

    A number of owners were supportive of other family members and restricted to children of the owner/founder/incumbent. Additionally, children and successor were used interchangeably; the assumption being that the successor will most likely come from one of the children involved in the FOB.

  6. 6.

    CSEC is the set of exams done at the secondary level of the education system in the ESC. This is usually done at the Fifth Form level, but final decision on the subject areas (Mathematics, Physics, Accounts, etc.) that will be studied is done at the Fourth Form level. This is usually in the 14–15 age range. Though Fourth Form is mentioned, this can be used as a guide.

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Authors and Affiliations

  1. Mona School of Business and Management, University of the West Indies, Mona Campus, Kingston, Jamaica

    Lawrence A. Nicholson

  2. Sir Arthur Lewis Institute of Social and Economic Studies, University of the West Indies, Cave Hill Campus, Wanstead, Barbados

    Jonathan G. Lashley

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  1. Lawrence A. Nicholson
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  2. Jonathan G. Lashley
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Nicholson, L.A., Lashley, J.G. (2016). Succession Planning: The Caribbean Approach. In: Understanding the Caribbean Enterprise. Palgrave Macmillan, London. https://doi.org/10.1057/978-1-349-94879-6_3

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