I recently had a conversation with a gentleman who is in the business of turning around distressed country clubs. Between the lingering effects of The Great Recession and demographic changes affecting families, the golf club business is hurting, and this professional’s business is robust. I was fascinated with what he does. In fact, I was a little intimidated! His job seemed overwhelming. My image of country clubs is that they are run by successful, affluent, and supremely confident people – usually older and usually male; think doctor, lawyer, and family business owner. I couldn’t imagine that these types of individuals would be especially enamored of taking the strong medicine necessary to get their clubs turned around. I asked my friend, “With a job this big, where do you even begin?” His answer: “You always start at the top with the Board of Directors. Virtually all the problems a club has can be traced directly back to its leadership.”

An old cliché says that a fish rots from the head down. Some attribute this phrase to a Turkish writer in the 18th century who intended it to mean that if a servant was unruly the cause could be traced back to the master. Jack Stack and Bo Burlingham agree with my friend in the club turnaround business. In their excellent book The Great Game of Business, they write, “Sh** rolls downhill.” What they mean is that change begins at the top, and if it’s true that only 30% of change initiatives come to fruition, the failure can be attributed to the family-owned business leaders.
If you have continual drama and intrigue in your family, business, or both”¦ If you’re stuck on a sales or profitability plateau”¦ If you can’t attract excellent talent to your organization”¦ If family members dread coming to work”¦ If your family business is plagued with high-volume arguments, anger, and regular conflict”¦ If family members and employees complain about a lack of clear direction or continually shifting priorities”¦ If any of these common family-owned business issues keep you awake at night, it might be time to look to yourself and the other leaders in your family business. If virtually all of the problems in a country club can be traced back to its leadership, why wouldn’t the same wisdom apply to a family owned business?