Exploring Family Businesses Succession in Indonesia: The Knowledge Management Lenses
Keywords:
Succession Planning, Family Business, Intergenerational Knowledge Transfer, Succession Knowledge Transfer Process Model
Abstract
This study aims to formulate knowledge management strategies within the scope of family businesses to achieve succession success. The researchers examined knowledge management practices in family businesses in Indonesia, which have a collectivistic culture and contribute to family business literature. Successor characteristics were measured using an exploratory qualitative case study approach using Likert scales and semi-structured face-to-face interviews to support data. The study's results found that successor characteristics in family businesses positively influence all succession phases, and the average values in all phases meet good criteria. Suggestions for future researchers, this family business study is limited to successful intergenerational transfer cases. It does not examine failed cases, so it needs to expand the sample to a wider range of family businesses undergoing transition.
References
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Brinkerink, J., Rondi, E., Benedetti, C., & Arzubiaga, U. (2020a). Family business or business family? Organizational identity elasticity and strategic responses to disruptive innovation. Journal of Family Business Strategy, 11(4), 100360. https://doi.org/10.1016/J.JFBS.2020.100360
Brinkerink, J., Rondi, E., Benedetti, C., & Arzubiaga, U. (2020b). Family business or business family? Organizational identity elasticity and strategic responses to disruptive innovation. Journal of Family Business Strategy, 11(4), 100360. https://doi.org/10.1016/J.JFBS.2020.100360
Burton, N., Vu, M. C., & Cruz, A. D. (2022). Our social legacy will go on: Understanding outcomes of family SME succession through engaged Buddhism. Journal of Business Research, 143, 105–118. https://doi.org/10.1016/J.JBUSRES.2022.01.034
Canovi, M., Succi, C., Labaki, R., & Calabrò, A. (2022). Motivating Next-generation Family Business Members to Act Entrepreneurially: a Role Identity Perspective. Journal of the Knowledge Economy, 1–28. https://doi.org/10.1007/S13132-022-00919-W/METRICS
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Farnese, M. L., Barbieri, B., Chirumbolo, A., & Patriotta, G. (2019b). Managing knowledge in organizations: A nonaka’s SECI model operationalization. Frontiers in Psychology, 10, 2730. https://doi.org/10.3389/FPSYG.2019.02730/BIBTEX
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Kie, J., Tang, K., & Hussin, W. S. (2020). Next-generation leadership development: a management succession perspective. https://doi.org/10.1108/JFBM-04-2019-0024
Koentjoro, S., & Gunawan, S. (2020). Managing Knowledge, Dynamic Capabilities, Innovative Performance, and Creating Sustainable Competitive Advantage in Family Companies: A Case Study of a Family Company in Indonesia. Journal of Open Innovation: Technology, Market, and Complexity, 6(3), 90. https://doi.org/10.3390/JOITMC6030090
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Letonja, M., Duh, M., & Ženk, Z. (2021a). Knowledge Transfer for Innovativeness in Family Businesses. Serbian Journal of Management, 16(1), 181–199. https://doi.org/10.5937/SJM16-31199
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Magistretti, S., Dell’Era, C., Frattini, F., & Petruzzelli, A. M. (2020). Innovation through tradition in design-intensive family firms. Journal of Knowledge Management, 24(4), 823–839. https://doi.org/10.1108/JKM-07-2019-0399/FULL/PDF
Martínezn, A. arroso, Galván, S. R., & Palacios, B. T. (2014). Study of factors influencing knowledge transfer in family firms | Martínez | Intangible Capital. Intangible Capital. https://www.intangiblecapital.org/index.php/ic/article/view/405/401
Martini, L. K. B., & Dewi, I. G. A. M. (2020a). THE EFFECT OF SUCCESSOR CHARACTERISTICS ON SUCCESSION PLANNING. JURNAL APLIKASI MANAJEMEN, 18(1), 113–121. https://doi.org/10.21776/ub.jam.2020.018.01.11
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Nonaka, I., & Toyama, R. (2003a). The knowledge-creating theory revisited: knowledge creation as a synthesizing process. Knowledge Management Research & Practice, 1(1), 1–10. https://doi.org/10.1057/palgrave.kmrp.8500001
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Bell, R., & Pham, T. T. (2021). Modelling the knowledge transfer process between founder and successor in Vietnamese family businesses succession. Journal of Family Business Management, 11(4), 479–495. https://doi.org/10.1108/JFBM-03-2020-0024/FULL/PDF
Bertolozzi-Caredio, D., Bardaji, I., Coopmans, I., Soriano, B., & Garrido, A. (2020). Key steps and dynamics of family farm succession in marginal extensive livestock farming. Journal of Rural Studies, 76, 131–141. https://doi.org/10.1016/J.JRURSTUD.2020.04.030
Borre, J. R., Romero, G. C., & Padilla, D. M. (2022). Family business: a systematic review framed in the Sustainable Development Model. Procedia Computer Science, 210(C), 345–350. https://doi.org/10.1016/J.PROCS.2022.10.162
Brinkerink, J., Rondi, E., Benedetti, C., & Arzubiaga, U. (2020a). Family business or business family? Organizational identity elasticity and strategic responses to disruptive innovation. Journal of Family Business Strategy, 11(4), 100360. https://doi.org/10.1016/J.JFBS.2020.100360
Brinkerink, J., Rondi, E., Benedetti, C., & Arzubiaga, U. (2020b). Family business or business family? Organizational identity elasticity and strategic responses to disruptive innovation. Journal of Family Business Strategy, 11(4), 100360. https://doi.org/10.1016/J.JFBS.2020.100360
Burton, N., Vu, M. C., & Cruz, A. D. (2022). Our social legacy will go on: Understanding outcomes of family SME succession through engaged Buddhism. Journal of Business Research, 143, 105–118. https://doi.org/10.1016/J.JBUSRES.2022.01.034
Canovi, M., Succi, C., Labaki, R., & Calabrò, A. (2022). Motivating Next-generation Family Business Members to Act Entrepreneurially: a Role Identity Perspective. Journal of the Knowledge Economy, 1–28. https://doi.org/10.1007/S13132-022-00919-W/METRICS
Casprini, E., De Massis, A., Di Minin, A., Frattini, F., & Piccaluga, A. (2017). How family firms execute open innovation strategies: the Loccioni case. Journal of Knowledge Management, 21(6), 1459–1485. https://doi.org/10.1108/JKM-11-2016-0515/FULL/PDF
Chandler, N. (2021). Knowledge Transfer: An Emerging Element of a Learning Organisation in Family Businesses. Knowledge Management and Learning Organizations, 69–84. https://doi.org/10.1007/978-3-030-71079-8_4/COVER
Cooper, P. W. (2014). Survey Bisnis Keluarga 2014 Indonesia (pp. 1–35). www.pwc.com/id
Duh, M. (2014a). Family business succession as knowledge creation process. Kybernetes, 43(5), 699–714. https://doi.org/10.1108/K-08-2013-0172/FULL/PDF
Duh, M. (2014b). Family business succession as knowledge creation process. Kybernetes, 43(5), 699–714. https://doi.org/10.1108/K-08-2013-0172
Farnese, M. L., Barbieri, B., Chirumbolo, A., & Patriotta, G. (2019a). Managing knowledge in organizations: A nonaka’s SECI model operationalization. Frontiers in Psychology, 10, 2730. https://doi.org/10.3389/FPSYG.2019.02730/BIBTEX
Farnese, M. L., Barbieri, B., Chirumbolo, A., & Patriotta, G. (2019b). Managing knowledge in organizations: A nonaka’s SECI model operationalization. Frontiers in Psychology, 10, 2730. https://doi.org/10.3389/FPSYG.2019.02730/BIBTEX
Group, C. A. G. S. (2019). Color gradient or Image placeholder Thought leadership from Credit Suisse and the world’s foremost experts.
Handler, W. C. (2016a). Methodological Issues and Considerations in Studying Family Businesses. Http://Dx.Doi.Org/10.1111/j.1741-6248.1989.00257.x, 2(3), 257–276. https://doi.org/10.1111/J.1741-6248.1989.00257.X
Handler, W. C. (2016b). Methodological Issues and Considerations in Studying Family Businesses. Http://Dx.Doi.Org/10.1111/j.1741-6248.1989.00257.x, 2(3), 257–276. https://doi.org/10.1111/J.1741-6248.1989.00257.X
Handler, W. C. (2016c). Succession in Family Business: A Review of the Research. Http://Dx.Doi.Org/10.1111/j.1741-6248.1994.00133.x, 7(2), 133–157. https://doi.org/10.1111/J.1741-6248.1994.00133.X
Harms, H. (2014). Review of Family Business Definitions: Cluster Approach and Implications of Heterogeneous Application for Family Business Research. International Journal of Financial Studies 2014, Vol. 2, Pages 280-314, 2(3), 280–314. https://doi.org/10.3390/IJFS2030280
John, C. W., & J, C. D. (2018). creswell.
Kie, J., Tang, K., & Hussin, W. S. (2020). Next-generation leadership development: a management succession perspective. https://doi.org/10.1108/JFBM-04-2019-0024
Koentjoro, S., & Gunawan, S. (2020). Managing Knowledge, Dynamic Capabilities, Innovative Performance, and Creating Sustainable Competitive Advantage in Family Companies: A Case Study of a Family Company in Indonesia. Journal of Open Innovation: Technology, Market, and Complexity, 6(3), 90. https://doi.org/10.3390/JOITMC6030090
Kurt, S. (2020). CASE STUDY RESEARCH.
Letonja, M., Duh, M., & Ženk, Z. (2021a). Knowledge Transfer for Innovativeness in Family Businesses. Serbian Journal of Management, 16(1), 181–199. https://doi.org/10.5937/SJM16-31199
Letonja, M., Duh, M., & Ženk, Z. (2021b). Knowledge Transfer for Innovativeness in Family Businesses. Serbian Journal of Management, 16(1), 181–199. https://doi.org/10.5937/SJM16-31199
Ljubotina, P., & Vadnjal, J. (2017). Succeeding a family business in a transition economy: is this the best that can happen to me? Kybernetes, 46(8), 1366–1385. https://doi.org/10.1108/K-06-2016-0148/FULL/PDF
Magistretti, S., Dell’Era, C., Frattini, F., & Petruzzelli, A. M. (2020). Innovation through tradition in design-intensive family firms. Journal of Knowledge Management, 24(4), 823–839. https://doi.org/10.1108/JKM-07-2019-0399/FULL/PDF
Martínezn, A. arroso, Galván, S. R., & Palacios, B. T. (2014). Study of factors influencing knowledge transfer in family firms | Martínez | Intangible Capital. Intangible Capital. https://www.intangiblecapital.org/index.php/ic/article/view/405/401
Martini, L. K. B., & Dewi, I. G. A. M. (2020a). THE EFFECT OF SUCCESSOR CHARACTERISTICS ON SUCCESSION PLANNING. JURNAL APLIKASI MANAJEMEN, 18(1), 113–121. https://doi.org/10.21776/ub.jam.2020.018.01.11
Martini, L. K. B., & Dewi, I. G. A. M. (2020b). THE EFFECT OF SUCCESSOR CHARACTERISTICS ON SUCCESSION PLANNING. JURNAL APLIKASI MANAJEMEN, 18(1), 113–121. https://doi.org/10.21776/ub.jam.2020.018.01.11
Nonaka, I. (2009a). A dynamic theory of organizational knowledge creation. Knowledge, Groupware and the Internet, 1–25. https://doi.org/10.1287/orsc.5.1.14
Nonaka, I. (2009b). A dynamic theory of organizational knowledge creation. Knowledge, Groupware and the Internet, 1–25. https://doi.org/10.1287/orsc.5.1.14
Nonaka, I., & Toyama, R. (2003a). The knowledge-creating theory revisited: knowledge creation as a synthesizing process. Knowledge Management Research & Practice, 1(1), 1–10. https://doi.org/10.1057/palgrave.kmrp.8500001
Nonaka, I., & Toyama, R. (2003b). The knowledge-creating theory revisited: knowledge creation as a synthesizing process. Knowledge Management Research & Practice, 1(1), 2–10. https://doi.org/10.1057/palgrave.kmrp.8500001
Pérez-Pérez, M., & Hernández-Linares, R. (2020a). Commitment to Learning, Knowledge, and Strategic Renewal: Do Family Firms Manage Them Differently? Studies on Entrepreneurship, Structural Change and Industrial Dynamics, 177–203. https://doi.org/10.1007/978-3-030-15526-1_10/COVER
Pérez-Pérez, M., & Hernández-Linares, R. (2020b). Commitment to Learning, Knowledge, and Strategic Renewal: Do Family Firms Manage Them Differently? Studies on Entrepreneurship, Structural Change and Industrial Dynamics, 177–203. https://doi.org/10.1007/978-3-030-15526-1_10/COVER
Pipatanantakurn, K., & Ractham, V. V. (2022). The Role of Knowledge Creation and Transfer in Family Firm Succession. Sustainability (Switzerland), 14(10). https://doi.org/10.3390/su14105845
Plana-Farran, M., Arzubiaga, U., & Blanch, A. (2022). Successors’ Future Training in Family Farms: The Impact of Intrinsic and Extrinsic Factors. Journal of the Knowledge Economy, 1–22. https://doi.org/10.1007/S13132-022-01046-2/TABLES/1
Saldaña, J. (2021). The Coding Manual for Qualitative Researchers. www.sagepublications.com
Saunders, M., Lewis, P., & Thornhill, A. (2012). Research Methods for Business Students (pp. 1–729). www.pearsoned.co.uk/saunders
Schell, S., Hiepler, M., & Moog, P. (2018a). It’s all about who you know: The role of social networks in intra-family succession in small and medium-sized firms. Journal of Family Business Strategy, 9(4), 311–325. https://doi.org/10.1016/j.jfbs.2018.08.003
Schell, S., Hiepler, M., & Moog, P. (2018b). It’s all about who you know: The role of social networks in intra-family succession in small and medium-sized firms. Journal of Family Business Strategy, 9(4), 311–325. https://doi.org/10.1016/j.jfbs.2018.08.003
Schell, S., Hiepler, M., & Moog, P. (2018c). It’s all about who you know: The role of social networks in intra-family succession in small and medium-sized firms. Journal of Family Business Strategy, 9(4), 311–325. https://doi.org/10.1016/J.JFBS.2018.08.003
Schell, S., Hiepler, M., & Moog, P. (2018d). It’s all about who you know: The role of social networks in intra-family succession in small and medium-sized firms. Journal of Family Business Strategy, 9(4), 311–325. https://doi.org/10.1016/j.jfbs.2018.08.003
Silva, R., Coelho, A., Sousa, N., & Quesado, P. (2021). Family Business Management: A Case Study in the Portuguese Footwear Industry. Journal of Open Innovation: Technology, Market, and Complexity, 7(1), 55. https://doi.org/10.3390/JOITMC7010055
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Suhartanto, E. (2022). The mediating effect of family business self-efficacy on parental support and succession intention relationship. Journal of Family Business Management. https://doi.org/10.1108/JFBM-03-2022-0035
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Published
2023-06-03
How to Cite
Pane, Y. Y., & Christanti, R. (2023). Exploring Family Businesses Succession in Indonesia: The Knowledge Management Lenses. Kontigensi : Jurnal Ilmiah Manajemen, 11(1), 52-67. https://doi.org/10.56457/jimk.v11i1.315
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