Assessing the impact of succession planning on the sustainability of family enterprises: A case study in South African family businesses
Orientation: Succession planning is essential for the continuity and sustainability of family businesses, particularly in South Africa where such firms contribute significantly to economic activity and employment. Research purpose: This study investigates how effective succession planning influences leadership continuity, organisational resilience, and intergenerational sustainability in South African family-owned businesses. Motivation for the study: Many family businesses lack formal succession systems, leading to leadership instability, internal conflict, and business decline. Addressing this gap is crucial for long-term survival and economic contribution. Research approach/design and method: A qualitative multiple case study was conducted using semi-structured interviews with owners, managers, and supervisors from diverse family firms. Data were analysed through thematic analysis supported by NVivo. Main findings: Four themes shaped successful succession: early leadership development, inclusive governance, adaptability and innovation, and clear ownership and legal frameworks. Firms lacking structured plans experienced reactive transitions and operational strain. Practical/managerial implications: Family businesses should embed succession planning into strategic management, formalise governance structures, invest in leadership pipelines, encourage inclusive communication, and utilise external advisors during transitions. Contribution/value-add: The study offers context-specific insights into succession practices in South Africa and provides actionable strategies to strengthen continuity, resilience, and socio-economic impact in family enterprises.
Authors
- Chris Schachtebeck (ORCID: https://orcid.org/0000-0002-9133-2590)
- Victoria Adekomaya (ORCID: https://orcid.org/0000-0002-0786-4851)
Institutions
- University of Johannesburg (ZA)
Publication Details
- Journal
- Acta Commercii
- Published
- 2025-12-18
- DOI
- https://doi.org/10.4102/ac.v25i1.1464
- Primary Topic
- Family Business Performance and Succession
- Type
- article
- Field-Weighted Citation Impact
- 0.00