infonet-economy

Family business succession is a complex and challenging process, in which family members often build on the support of trusted advisors. Based on an extensive literature review, this study aims to synthesize prior research on advisors as well as on succession in order to systematically describe and analyze the role of trusted advisors along four phases of the succession planning process. Based on information asymmetry, divergent goals, and arguments from resource based view, we outline benefits and costs associated with the involvement of trusted advisors along the different phases. Subsequently, we discuss four typical constellations of advisor involvement with different levels of bias and efficiency. In a final step, we outline how role adjustment of the advisor over time - from initializer to process planer to task support to coach - can lead to an efficient, unbiased triadic relationship between incumbent, successor, and advisor with minimized costs and maximized benefits.