Women, formerly sidelined in family business, now more embraced

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It can be a unique path for women in Canada’s enterprising families. We profile some of their stories in our Women and Canadian Business Families series.

In writer/creator Jesse Armstrong’s hugely popular HBO series Succession, which the creator of the show has said is based on several real-life families, the story follows the fictional Roy family and their battles – both with each other and outside of the family – to retain control over their news conglomerate.

The only daughter of patriarch Logan Roy is Siobhan “Shiv” Roy, and she is portrayed as fiercely intelligent and politically savvy by actress Sarah Snook. Despite her clear capabilities and shrewd decision making, Shiv is often sidelined and overlooked in favour of her brothers or male counterparts, something Snook says she observed to be true of the women she researched and studied for her role.

For women in family enterprise, the idea of what constitutes their position has historically been defined for them by men, despite the fact that women have become more visible within their respective industries.

Here, three women in leadership roles within their family enterprises discuss how the current of power has ebbed and flowed over the past several decades, and how a radical shift in education and public stigma means the tide might finally be turning in their favour.

Susan St. Amand

Chair of FEC (Family Enterprise Canada) and Executive in Residence of FELI (Family Enterprise Legacy Institute) at the University of Ottawa, Telfer Business School, and a third-generation entrepreneur of 32 years

What would you say has been the traditional role of daughters and wives in successful family enterprises?

“Traditionally, daughters and wives in successful family enterprises have been the quiet supporters behind the scenes. They have had the responsibility to manage the household for the family, to raise the children, to be involved with community service and philanthropic initiatives.

I would describe the role as ‘the invisible hand’ when it came to business. The female voice might be heard at the dinner table or on the pillow, but not in the public domain. The female spouse would be visible at community or philanthropic events on the arm of their spouse, but they were seldom seen in the boardroom or in the office in an executive role. Females were rarely involved in financing deals or seen negotiating with financial institutions or investors.

In the past, daughters were often not thought of as suitable successors. The perception was that, as a daughter became a mother, their priority would be on their children and not on the business. It is with a sense of pride that a family could provide their daughters with the privilege of staying at home with her children and not being burdened with the responsibility of operating a business.

It was often an expectation for males to succeed their fathers, a disappointment if they chose a different path and a sense of weakness or an embarrassment for a man to have a female as a successor.”

How is that role for women in family enterprise changing?

“Just as the business world has embraced the positive impact of female engagement, family enterprises are recognizing the importance of females in executive ranks, the ownership circle and the board room. Females are no longer only visible as the ‘mother, wife, daughter,’ but more and more they are recognized as leaders and as visible contributors to the continuity of the business. Educational programs to support all family members equally are more prevalent, family responsibilities are shared more equitably, and families are embracing the benefits of integrating the diversity of thought and opinion in all three circles.”

What has been the key to that evolution for women, along with any challenges?

“Key contributing factors are:

Continuing Education: There is an increase in females graduating in more male-dominated, traditional professional fields, including business and executive education.

Cultural shifts and visibility in business in general: The stigma about working moms is changing and patriarchs are now taking pride in having all children, regardless of gender, involved in the ownership and in the executive ranks of business.

Visibility: as the media and social norms demand more equitable treatment of women in all business capacities, families, too, are modifying the traditional “eldest male” or “father & sons” of the past. There is a sense of relief, as patriarchs feel pride in developing successors, regardless of their gender. This change in education and in awareness and acceptance has brought families closer together. It has created more resilient and successful businesses.”

Have you observed any change to relations between patriarchs and their daughters in terms of succession planning?

“Publicly and privately, the patriarchs are now expressing the joy and pride they feel in working with their daughters. Transitions are smoother and they tend to maintain more continuity. Families avoid some of the divisiveness created by unnecessary conflict when decisions are made primarily due to gender. Being visible and acknowledging female leadership is now a show of strength and wise decision making, it is no longer a weakness.

This change has been a generational shift and it is still evolving. Communities are benefiting from the resilience and support of strong independent family enterprises, who think and act multi-generationally and sometimes multi-jurisdictionally. Our economies depend on the strength and contributions of all genders.”

Patricia Saputo

Certified Wealth Transition Coach and Financial Coach, and Co-founder, Executive Chairperson of the Board and Strategic Advisor at Crysalia, and part of the dairy giant Saputo Inc. family

What would you say has been the traditional role of daughters and wives in successful family enterprises?

“The answer I share is based on culture and traditions. My family, being of European decent, is very patriarchal, and hence was very male dominated. The women would be in the kitchen, preparing the meals and taking care of the children, while the men went to work in the family business. Once immigrating to North America, there was a shift, as in the new land, women began to enter the work force and, in time, demanded equal pay.”

How is that role for women in family enterprise changing?

“Today, the role of women in the family enterprise is changing significantly. Due to education and credibility, women are showing they are competent to assume the same roles as their male counterparts.”

What has been the key to that evolution for women, along with any challenges?

“As stated, the key to the evolution was education and credibility. Challenges women faced was when their male family members would not give them the ability to shine or not see that they were capable and thought that they should stay home and take care of the children instead. It was the non-family members who would help the female family members, as they saw their capabilities. Many times, the female family member would work elsewhere not to deal with the issues within the family business.”

Have you observed any change to relations between patriarchs and their daughters in terms of succession planning?

“Patriarchs today are proud of their daughters, especially when they are told by their friends how amazing their daughter is and how proud they should be of them. Patriarchs then start to see their daughters differently, as they have proven themselves to the community and the ‘good’ word has returned home.”

Shannon Gorski

Managing director of the Betty Averbach Foundation and daughter of real-estate businessman Gary Averbach

How have you found the role of women in family enterprise to have changed, and how has it evolved for you personally?

“Although it’s often men who start out running a family office, I think that is because it’s an offshoot of the operating company. However, once the family business office turns into a legacy family office, there can be a significant role for any family member, regardless of gender.

I have always felt I would be welcomed into the family business at whatever level I wanted to participate. My father had hoped that one day one of his three children would succeed him. I believe he is thrilled that I have found my place within the family business.

Ultimately the family office encompasses the strategy for all family wealth and business. The oversight of the family business and how the family manages their wealth trajectory comes from within the family office. This is where I felt I could add the most value to our family business. It was through the oversight component of the family office operations that I felt I could be most effective, rather than the day-to-day operations of the business.

I have found my purpose and calling in the family business via the oversight function of the family office. While there may not be a lot of women heading family businesses at the present time, I hope I can be a small part of changing that statistic.”

Responses have been lightly edited for clarity and length.

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