I am sure that many of you have watched the Sky TV show Succession. If you haven’t, it revolved around the three children of a billionaire who are all desperately trying to succeed their father as the head of the family business.
Basically, it is the opposite to what goes on in family coach companies, where desperate parents try everything to discourage their offspring from condemning themselves to seven-day working weeks for not fantastic rewards. If you ask most operators if they want their family to continue the firm, you are often met with an answer of “over my dead body!”
Succession planning: Not just in the family
It is something that I have started to think about as my children get older and we continue our recovery. Do I want them involved? Do they want to work here? Would they be better being teachers, plumbers, civil servants, or anything that doesn’t involve wheels and drivers?
Yet this business, built by my grandfather, expanded by my father and modernised and improved (in my humble opinion) by me, has provided a good living for us. Whisper this, but sometimes, despite the frustration, it can be incredibly satisfying and a lot of fun.
Succession planning doesn’t have to be family. Arguably things can be better if it isn’t. My friend has just completed a management buy-out of his business. Done over 12 months, he has watched and been proud as three of his key staff have taken the reigns, and in his late-30s allowed him to walk away.
Remember the 6Ps when considering the future
Succession might mean retirement. Despite the calls I periodically get saying how buoyant the market is for coach companies, I am not convinced that many people are actively trying to buy them unless it is a distressed sale.
You might want to scale back investment and make as much as you can for a couple of years, or maybe do some service work in the hope that one of the big boys will buy you out. Or my preferred route of renting the premises to Costa.
The key to all this though, no matter who you have in mind, is proper planning. Sometimes you see an ill-prepared child of an operator thrown into the top job. I have witnessed some sink, unable to cope. I have also seen a couple really rise to the challenge and make a true success of continuing their father’s legacy.
The ones that did not cut it often had no training and weren’t allowed to learn on the job. Operators can be guilty of attempting to do everything and make every decision themselves. It is almost like they are trying to sacrifice themselves so they can write “I told you I worked harder than you” on their gravestone.
Talk to staff about succession planning
My successful friend told me to identify some of my staff who I think have potential to do more and take on a greater role and more responsibility. Talk to them about where they see themselves going and if they have any ambitions – whether that be transport management, tour planning or even moving from school contracts to more corporate work. It might even save you some work!
