More than half of all companies globally are family owned or operated, contributing to 70% of the world’s GDP and accounting for 65% of jobs. And of these family businesses, the 500 largest represent the third-largest global economic contribution and employ more than 24 million people worldwide.
On this episode of the Family Business Voice, Helena Robertsson, EY’s Global Family Enterprise and Family Office Leader, discusses findings and insights from the EY 2021 Family Business Index, which illustrates the importance of the 500 largest family businesses for the global economy.
- The world’s 500 largest family businesses have shown a remarkable degree of resilience during the pandemic, weathering the storm admirably. Due to lockdowns and travel bans, many families had a chance to spend more time together, giving them an opportunity to sit down and discuss sensitive but critical matters such as succession.
- There is an opportunity to engage with the next generation through next-gen programmes and education, which is key to helping younger family members ascend to leadership and board positions, as well as encouraging diversity.
- Family businesses benefit from investment in people, such as philanthropic efforts. The wellbeing of not just employees but also the wider community can strengthen a family business’s position in the market, so they should strive to keep people at the centre of their business model.