By Linda Mack, Mack International
The Family Office of the future is evolving. Successful family offices recognize the future is now. There is a trend toward being more strategic and proactive while continuing to strengthen their value proposition. Technology is being leveraged for both efficiency and effectiveness. Return on investment and compelling “value-add” services are a key focus for family offices and enterprises intent on growth and stability. Recruiting, retention, and succession strategies are fundamental to the success of every Family Office, and building a culture that will continue to attract and retain is its lifeblood.
But who will lead the family office of the future?
As a consequence of the business model changing, there are implications for the type of leadership required for long term family success. The profile of the most effective family office leaders is evolving both in skill level and personal characteristics. What are some of the attributes of premier candidates for the C-suite?
- The ability to think critically and be more strategic and proactive vs. reactive. Individuals with a strong business and legal background and education will be in increasingly high demand
- A strong business, financial and investment acumen—an “expert generalist” who not only has knowledge across the horizontal spectrum but also understands the interconnectivity inherent in each decision and its implications across multiple disciplines
- A mindset of leading a professional services business providing a clear value proposition that positively resonates with family clients such that family clients “choose” to do business with the family office
- Able to demonstrate technological savvy and use that knowledge for organizational efficiency
- Trusted advisors who provide valuable counsel and advice to individual family members and to the family collectively
- Combines high I.Q. with equally high E.Q. – inspires and motivates high performing teams and a culture of excellence
- Well networked in the market, bringing “best practice” knowledge to their role
Once a family office finds their “ideal” leader, they must consider how they will stimulate and motivate that individual. Compensation is important but factors such as a clear mandate, metrics for success, and apportioning resources and authority commensurate with accountability are crucial to both attracting and retaining talent. Equally important are sound governance, effective succession planning and smooth generational transitions. The majority of offices are looking for someone with the requisite skills and experience to do the job well,, but culture fit and alignment with the family and family office has proven to be the predominant predictor of future success. Most family offices seek long term relationships with their executives spanning 15-20 years. Leaders who align with the family and family office culture are poised to shape and set the stage for future generations.
About Mack International
Mack International, LLC is the premier retained executive search and strategic human capital consulting firm focused on providing solutions to single family offices/family enterprises, multi-client family offices, and the full spectrum of wealth management advisory, investment management and financial services firms that serve the ultra-high net worth private wealth and family markets.
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