A family business retreat is often a multiple-day event that brings together key people in the business for an in-depth discussion about topics important to the business’s future. The term “retreat” is appropriate because we want to get away from the business – go to a location that stimulates creativity, encourages input and provides relaxation. Typically, a retreat covers two or three key topics, as well as a time of open comment on anything the participants want to discuss.
Why you should have a family retreat
For those family businesses that have utilized these events in the past and it has been more than two years since your most recent retreat, consider another. There may be big decisions on the horizon that could require a change in direction. Perhaps there are issues that have built up over the last few months or years which need to be resolved. There could be a generational transition coming soon or an anticipated change in management. Many businesses are seeing significant changes in their industry and need to discuss and discern how those changes might be a threat to the business – as well as create new opportunities.
Pick a strategic location
Holding your retreat away from the business should give you more freedom, provide a relaxed atmosphere, stimulate a higher level of creativity and inspiration, reduce distractions and provide time for reflection and open-minded conversation.
Your choice of sites is very important. Returning to a place that has meaning to the family might create a more enjoyable, relaxing and creative environment for problem-solving and long-range planning, especially if you are recasting your vision and mission or creating these for the very first time.
Provide ample time
At a minimum, a retreat should be held over at least two days, perhaps from the middle of one day to the middle of the next. After a significant amount of discussion, participants should be allowed an opportunity to break into small groups, spend time as couples or as a family, or review their thoughts on their own so they can come back the next day with additional ideas after processing the previous day’s discussions. This ensures the topics discussed were covered thoroughly and in enough detail to provide direction.
Ideally, we find three or four days are better. This allows ample time for reflection, building camaraderie and creating a clear implementation strategy. When taking this much time to consider options and develop a path forward, it is essential the last step of the process includes a list of action steps that each participant will take to ensure the ideas are implemented, and that everyone knows what they are personally accountable to do.
It is beneficial to plan a variety of events such as cookouts, going out to a nice restaurant, taking in a recreational activity or something to provide relaxation and stimulate additional conversation. Other options include fishing or hunting trips, recreational activities, touring a local business, hiking, scenic drives or visiting local attractions.
Specific retreat topics
There are a variety of topics to consider deliberating in a retreat setting. They often include business strategies such as doing a SWOT analysis, which stands for Strengths, Weaknesses, Opportunities and Threats. Each of these four areas are discussed in detail, in this order, to do a deep dive into these crucial areas that affect the future of the business. Someone helps facilitate the discussion, so the conversation is comprehensive, and to record everyone’s responses for future reference. We then prioritize the top three or four items on each list and develop action steps to ensure they are implemented.
Other common topics include finalizing decisions on upcoming major purchases, analyzing and adding additional enterprises, reorganizing the business structure and the roles each person performs, establishing accountability, reallocating resources, a review of our core values and major modifications of long-established activities and procedures.
This is also a great time to provide training for participants. Topics could include effective communication, understanding different personalities, improving family business meetings, resolving and preventing family conflicts, enhancing and establishing your workplace culture, crisis management and leadership development.
Any retreat should include a discussion of the company’s vision and mission statements, which are developed based on the core values of the family and key leaders. A vision is defined as “a statement of the long-term, non-specific directional guidance of your business for employees, customers, leadership and the community, stated in general, philosophical terms.” If the company doesn’t have a vision, that should be the first topic discussed at your next retreat.
One of the greatest benefits of developing a vision statement is each person’s input on the core question, “Why does this business exist?” This leads to key phrases that should be included in your final vision statement and creates cohesion around our unifying purpose.
If the company already has a vision statement, it should be reviewed and updated during the retreat.
Potential long-lasting impacts of family retreats
In leading and facilitating family retreats, it is rewarding to break through communication barriers, the negative effects of past conflicts or resolve an impasse over differences of opinion that has existed for far too many years. These types of conversations can be challenging and uncomfortable at times, but overcoming these barriers can be therapeutic and invigorating.
There are also times when good relationships are significantly enhanced. In one recent retreat, a family with three couples was able to take their relationships to an entirely new level of cohesiveness. The elder couple in leadership saw their son get married the previous year and their daughter marry the next year. With a new son-in-law and daughter-in-law joining their family, it was a unique opportunity to build unity among these couples and ensure the core values of previous generations are maintained for future generations.
These strategies apply for non-family-owned businesses or even departments of a company that need similar opportunities for growth.
