PERFORMANCE MANAGEMENT OF FAMILY MEMBERS AS COMPARED TO NON-FAMILY MEMBERS IN A PROFESSIONALLY RUN FAMILY BUSINESS

Abstract

This study investigates the performance management of family members versus non-family members in a professionally managed family business, focusing on the impact of family status and tenure on performance outcomes. Utilizing a sample of 455 employees, including 227 family members and 228 non-family members, the research employed descriptive statistics, t-tests, ANOVA, and regression analysis to evaluate metrics such as task completion, quality of work, innovation, team collaboration, and leadership. The findings indicate that while family members exhibited slightly higher performance scores, these differences were not statistically significant. Conversely, longer tenure was positively associated with improved performance in innovation and team collaboration, suggesting that experience enhances these aspects. The study concludes that professional management practices effectively mitigate the impact of family status on performance, with tenure playing a crucial role in performance outcomes. These insights underscore the importance of experience in driving performance and highlight the effectiveness of objective management practices in balancing personal and professional dynamics.