There are various family office governance resources including articles, research studies, book chapters, and industry reports that are relevant to the modern family office. Governance has multiple layers and it is important to understand the differences between 1) corporate governance, 2) family office governance and 3) family governance.
Read chapter 11, "Governance Issues for the Family Office," provides direction on boards, independent directors, advisory boards, responsibility and accountability, involving the next generation, and more. It also explores governance and family, the decision-making process for families, and why involvement and participation are keys to strong family governance. Family governance structures such as family councils, family constitutions, and the Kettering Family Governance Case Study are described. Click here to purchase the book.
Read the "IFC Family Business Governance Handbook" written by the International Finance Corporation in conjunction with the World Bank. This report provides a comprehensive look at family business governance from how family members are involved in the governance of their business, to family governance structures, to the role of a board of directors in a family business.
Read "How to Succeed by Really Trying," an article that discusses common succession pitfalls of family office governance and decision-making. The article provides constructive guidance on four keys to successfully implementing long-lasting governance changes including 1) commitment, 2) communication, 3) champions, and 4) culture change. The succession checklist is a helpful tool to consider the steps and processes for successful succession.
Read the "Single Family Office Governance and Compensation Report" a report written by Morgan Stanely that provides industry research on family office governance and compensation as well as a deeper discussion on family office governance, trustee structure, and a sample family mission statement.
Read "Elements of an Investment Policy Statement for Individual Investor" by the CFA Institute provides practical guidance on the anatomy of an investment policy statement (IPS). This article frames the scope and purpose of an IPS, the governance considerations of an IPS, and more about the investment risk, return, and constraints in an IPS.
Read "Build a Family Business that Lasts" by Josh Baron and Rob Lachenauer and learn about the 4-Room model to consider family governance in the framework of a family business. The Owner Strategy Triangle provides a useful rubric to consider the trade-offs of grown and liquidity, versus growth and control, and liquidity and control.
