Asian family businesses need to do more in formal governance

Singapore

DESPITE exhibiting a strong desire for formal governance, there are gaps in the implementation by the majority of Asian family businesses surveyed.

For instance, 71 per cent of the 102 business families surveyed said there should be a decision-making body comprising representatives of the various branches of the family to decide family matters including the selection of family representatives in leading the business.

In practice, however, only 12 per cent have a working governing body elected by family members whil…