Asharqia Chamber launches the activities of the second national forum for the sustainability of family enterprises
Al Fozan Holding is participating In the first dialogue session, entitled (National Experiences in the Institutionalization and Governance of Family Enterprises)
His Royal Highness, Prince Saud bin Nayef bin Abdulaziz Al Saud, Governor of the Eastern Region, inaugurated, on Wednesday, December 14, 2022 AD, the activities of the Second National Forum for the Sustainability of Family Enterprises, which the Asharqia Chamber organized in cooperation with the National Center for Family Enterprises, and witnessed a large presence from Family business owners, elite businessmen, local and international academics, experienced specialists and those interested in the field of the family business.
His Royal Highness, Prince of the Eastern Province, affirmed that the economic movement witnessed by the Eastern Region is part of the active movement experienced by the entire Kingdom, noting the generous support of the wise leadership for family businesses that are of great importance to the national economy and open up excellent job prospects for young people of the country.
National experiences in governance
In the first dialogue session, entitled (National Experiences in the Institutionalization and Governance of Family Enterprises), the participants stressed the importance of the developmental and legislative development of these institutions because of the importance they represent to the national economy and given that they occupy more than 60% of the private sector, on which the Kingdom’s vision relies. Therefore, developing the performance of these companies is part of the development of the private sector, which is one of the goals of the vision. Hence, the governance and sustainability of these companies are the governance and sustainability of the private sector, which is one of the goals of the vision.
Participants pointed out that some of the disputes that arise in family businesses may come from the succession or intersection of generations, and they may be financial disputes, but they may often be for psychological and social reasons, which come after the first generation, and may aggravate and later turn into financial disputes. Participants called for the openness of family businesses to entrepreneurs, especially since all family businesses were pioneering companies by the founders who owned ideas and turned them into projects. which gives additional value to the company. In this regard, they stressed the need for the governance process to be gradual, and for companies to continue, they should be transformed into financial companies, and if they are suitable and capable of being offered in the financial market, from here every company must have professional management. New corporate system