The Welsh Wire: Transitioning Leadership in a Family-Owned Business ft. Marlee D’Arco of Safety Services, Inc.
FBA Welcomes Kelly Plawinski to the Board of Directors
GRAND RAPIDS, MI / January 18 – Kelly Plawinski has been elected to serve as a Family Business Alliance Board Member for a three-year term.
Plawinski is currently the Chief Operating Officer and Integrator at Adamy Valuation, a second-generation family business and FBA Member. She is responsible for the organization’s strategy and vision, firm operations, financial and HR oversight, as well as firm leadership. Prior to joining Adamy Valuation, Kelly had a successful and fulfilling corporate finance career at Ford Motor Company. Her background included over a decade of experience in process improvement, financial reporting, and guiding corporate-wide strategies.
Plawinski also serves as President for ACG of Western Michigan and has volunteered at organizations including LeaderWork, a Holland based leadership program, as a teacher for Junior Achievement, and a Candidate Concierge for Hello West Michigan. She received her undergraduate at Purdue University and completed her MBA at Michigan State University – Eli Broad College of Business.
About Family Business Alliance:
Family Business Alliance, West Michigan’s only association of family business organization, seeks to preserve our unique culture of family driven organizations. Established over 15 years ago by local leaders of family businesses, today we represent nearly 200 family run organizations. Together we create connections, elevate leadership, and navigate governance to advance family business in the West Michigan Community.
Written by Robin Burns
FBA Announces the Leadership Class of 2023
Introducing the first class of leaders:
- Brandon Bissell, Imperial Clinical Research Services
- Cameron Young, Behler – Young
- Elizabeth Avra, Apek Holdings LLC
- Geoff Miller, Grand Rapids Chair
- Kelly Slikkers, Tiara Yachts
- Robert Dunn, MountainAire Builders
- Ross Haan, Impact Fab, Inc.
- Steve Kloosterman, Westshore Electronics
- Todd Van Haren, SecurAlarm
About Family Business Alliance:
Family Business Alliance, West Michigan’s only association of family business organization, seeks to preserve our unique culture of family driven organizations. Established over 15 years ago by local leaders of family businesses, today we represent nearly 170 family run organizations with over 450 active representatives. Together we create connections, elevate leadership, and navigate governance to advance family business in the West Michigan Community. For more information about Leading Forward or Family Business Alliance, contact Robin Burns at robin@fbagr.org Written by Robin BurnsThe Welsh Wire: Assimilating Non-Family Executives in the Family Business with Sherri Welsh & Robert Stead
Small Business Week Feature: Ludema’s Floral & Garden
To celebrate small business week, FBA sat down with Allison Ludema from Ludema’s Floral and Garden to understand their small, family business story and what makes them tick. Read on to learn how their business has blossomed over five generations.
Where it All Began
Ludema’s Floral and Garden, a fifth generation, family-owned business, has been on the same land since they opened in 1907. What is now a busy commercial area in Kentwood was once an agricultural area filled with greenhouses and family farms. Allison’s great, great grandparents began the business by selling their extra produce on a road-side stand, and they would drive their products to the East Side Market in Detroit and other local markets. Then, their focus was mostly fruits and vegetables. They eventually evolved into indoor plants and other garden crops.
Over time, subsequent generations began infusing their passions into the business. As Allison explained, the fourth generation, her mother and aunt, started moving the business toward floral sales.
“My mom was the one who developed the department from nothing…It’s grown by leaps and bounds, even in the last 10-20 years.” When Allison was a teenager, they began offering wedding services again and Ludema’s continues to expand and connect within the West Michigan Community.
In addition to weddings, corporate partnerships and events sales have continued to expand as they grow their reputation in this space within the community. For example, Ludema’s partners with the Amway Grand Hotel Downtown Grand Rapids to provide fresh, beautiful floral arrangements throughout their lobby.
“Our quality of work has pushed other people to recommend us,” says Allison. The family business also works with Corewell Health through a concierge service, and Allison’s goal is to continue developing these relationships and community partnerships in coming years.
“A lot of people still don’t know that we do flowers. They associate us with the greenhouse and produce we used to have, rather than a year-round floral business.”
Although the fifth-generation business leader manages the strategic direction of the company, the fourth generation is still involved behind the scenes. “We of course talk to each other about everything that’s going on,” and her parents still reside on the property where she and previous generations grew up. In addition to the strategic direction, Allison manages the retail operations and, like many family business owners, wears many hats. She is thankful to have a great team of managers and coordinators to help her day-to-day. Year round, their team consists of fewer than 20 employees but employs as many as 50 employees during peak seasons.
Allison never anticipated joining the family business even though she grew up on the property that has been in her family for over 100 years. “We always had to help growing up, even as little kids.” From learning how to serve customers, to tying bows for arrangements, she has been involved in the business for as long as she can remember. Wanting to pave her own path, Allison majored in Hospitality & Tourism with an emphasis in Event Planning. Although she didn’t know it at the time, it came in handy for her role today.
Today, it is the legacy and history that makes her most proud. She explains it wasn’t until COVID-19 created so much uncertainty for the business that it dawned on her just how special Ludema’s is to her and the community.
“It lit a fire under me. I did so many things I never thought I would have to do or explore. I’ve always been proud of it and love it, but the fear of losing it heightened it even more.”
Another point of pride is the relationships with her customers. “We have a lot of regulars who know a lot about our business and our family. That we know them by first name, and when they walk in we can greet them that way is a really special thing.” Maintaining that for more than 116 years is no small feat, and they have worked hard to do so. Allison explained that their cohesive team culture is part of creating this customer experience and welcoming atmosphere.
Aside from the customer connections, Allison feels that locally owned business are important “because we understand the community, how it changes and we can evolve with it.” Not to mention the passion and quality of their products, which has been passed down for generations.
“We care about the quality, and we care about what we are sending out the door, and I think that’s the difference with a small business.”
What’s Next For Ludema’s?
When asked what she is most excited about in the future of Ludema’s, Allison expresses, “I am very passionate about continuing to build our floral department and continue to let people know that we are here all year round to get a beautiful floral arrangement or help with an event. We put our hearts into everything that we do and when we do it, we do it well.”
As they continue to move forward, Allison acknowledges that without “that family connection from the beginning” and the foundation it provided, “we wouldn’t have the other unique parts of our business.” Like any family business, Ludema’s has transformed and evolved over the generations yet maintains the shared roots of generational passion and expertise.
Experience with Family Business Alliance
As a small, family business owner, the Family Business Alliance Peer Groups have been valuable for Allison. “Being in a room with people that have the same sort of struggles that I do is very comforting but also mind-blowing.”
“To hear people from corporations that I have known my whole life dealing with similar issues to my own is so comforting. No matter how big or how small, or what the struggles have been within you family company, to know that someone else is experiencing something similar that can provide insight, is what I appreciate.”
This interview has been edited for length and clarity.
Written by Aislinn Teachout
Family Business Alliance strives to help family businesses with the tools, resources, and connections to help businesses succeed. Learn more about our resources including Leading Forward, Succeeding in Succession, and Navigating Governance that help to advance family business in our community.
Small Business Week Feature: GL Resources
Where It All Began
Founded in 1982 by George Snyder, GL Resources is a first-generation family business location in East Grand Rapids. They represent furniture component manufacturers, and sell hardware, including drawer slides, kitchen hardware, hinges, and more. Connecting furniture manufacturers and hardware manufacturers from a variety of industries, GL Resources works with companies of all sizes. George and Joanie Snyder stumbled into owning their own business by chance. Both had previous careers and were originally from Pittsburg. When a friend needed a representative in West Michigan, the high school sweethearts decided to take the leap and relocate East Grand Rapids. Taking this position laid the foundation for what eventually became GL Resources. In 1984, George went completely on his own and they incorporated. “We had no plan,” says George, but they were up for the challenge. “Back in the 80s, there were a lot more furniture manufactures here, and there was quite a base in Western Michigan.” Since the early days, the business has grown in many ways. One progression was adding three additional sales representatives in the early 1990s, all of whom are still with the business today. Together, they cover the Midwest – including Michigan, Indiana, Ohio, Kentucky, Illinois, and Wisconsin.Working Together
Most recently the family welcomed Alan Snyder, their son, into the business in January 2021. Alan’s focus has been on growing the business and expanding into new product types and creating new partnerships throughout the US. His wife, Nicole, has recently joined the business as well, truly making it a family affair. Before joining, Alan worked for a few notable local, family-owned corporations, including Steelcase and Bissel as a financial analyst. “I knew it was time for a new opportunity.” It was at that time that George approached him with a job offer. “We’ve been talking, and we might have a job for you at GL Resources.” Alan notes it was the first time they had discussed him joining the business. “I was very excited about it. Working here was always in the back of my mind, but I wanted to build up other experience and learn from other companies first.” Although the business was not founded on the premise of passing it down, the family expressed that having the second generation involved has given them a transition plan. “It’s a cool little business, and we felt if we could transition the business with Alan, it could go on another 40 years. If you don’t, it ends.” Joanie, who serves as President, has been there since the beginning. After having their first child, she officially began working for the business. Beforehand, she had a career as an accountant, so managing the bookkeeping for GL Resources was a natural progression. Initially a spousal-run family business, George and Joanie’s differences also became their strength as owners and partners. “I came from a very structured business environment,” says Joanie. “So, I tried to bring that structure here, but it took a while for us to figure out how best to do this.” As a “details person,” Joanie is now responsible for many of their organizational processes, formal structures, and general management. Conversely, George is the risk taker, so Joanie’s influence allowed him to focus on sales and vision. Bringing in the second generation has helped professionalize the business in various ways, as is typical transitioning from the founder’s dream stage. “Alan has really opened our eyes to be more forward thinking,” shares Joanie. Navigating generational differences when working together is inevitable in family run organizations, but the Snyder family has thoroughly enjoyed working together.The Importance of Small and Family-Owned Businesses
When asked about the importance of small and family-owned businesses, Alan expressed that statistically, small businesses employ a significant share of the country’s workforce. “I don’t think you realize that coming out of college as a young professional. Not everyone has the opportunity to go work from a family-owned business, but they are everywhere.” While Joanie stated that small businesses are “the backbone of America.” It is no easy feat starting and running a small business, and George explains he is proud that they have remained in business for 42 years. The family takes pride in their business and its history. Decades ago, Joanie would bring her sons into their office with her while she worked, which wouldn’t have been possible at a corporation. “That’s a unique aspect of small businesses, having the flexibility to do both.” This history creates a special atmosphere within the family business. In reflection, Alan shared: “My mom brought me in, and now my wife is bringing our two-month-old in, and that is special.”Community Involvement
For many small and family businesses, community is key. When he was first getting started, Alan leaned on resources like the Chamber Roundtables for support. “I was brand new to the sales role, so being with other sales professionals helped.” Being involved with Family Business Alliance and the Chamber has helped with various professional development areas, networking, and learning about other businesses in the community. The Family Business Alliance forums “are great information sources and it’s also great networking.” “Alan has done a great job branching out, being involved with the Grand Rapids Chamber and Family Business Alliance,” explains George. Alan has also recently joined a Peer Group. He explains, “I like to hear other people’s perspectives on how they are handling challenges within their businesses and grappling within their families.” For example, Alan has two brothers, one of whom may also be interested in joining the business at some point. “Hearing how they are handling it has been helpful for me to navigate how we should approach that in our family.” This interview has been edited for length and clarity. Written by Aislinn Teachout Family Business Alliance strives to help family businesses with the tools, resources, and connections to help businesses succeed. Learn more about our resources including Leading Forward, Succeeding in Succession, and Navigating Governance that help to advance family business in our community.Succession: Why Logan Roy Was Doomed to Fail
If you are a family business leader, don’t be a Logan Roy.
For the last three years, millions of viewers have tuned into HBO’s hit TV show, Succession waiting for Logan Roy to identify a successor for Waystar Royco. The series magnifies all the complex drama which can plague a family run organization, but after 4 seasons, I do agree with Logan – they are all “idiots,” and Waystar Royco should not be succeeded to any of the family members. So, why was Logan doomed to fail in succeeding the business to his children? He ignored crucial components and best practices of family business leadership development. As each character develops through the series, viewers are tasked with evaluating them and trying to fit a square peg in a round hole. We come to understand that Connor has disengaged from the business completely and lives an entitled lifestyle without any sense of obligation to the business or community. He continues to purge his financial resources on an election campaign where he polls at 1%. Kendall, who appears in season one as the “chosen” son, lacks instinct, confidence, and organizational knowledge. When he appoints himself as CEO after his father’s airborne stroke in the opening scene, it is only then that he learns the organization is $3 billion in debt. He is also plagued with addiction and self-destructive behaviors attributed to his relationship with his father. Shiv, a politically savvy and competent political consultant, is filled with insecurity. Even when it comes to her judgement on picking a political candidate – the one area she is most qualified for – her expertise was undermined by Logan. And, finally, Roman, the youngest Roy child, constantly lives up to the “baby of the family” monolith and is enabled by Logan despite being incapable of cultivating relationships, personal or professional. We learn that despite being fired from an entry level role in the family business, he has earned a seat on the board and is eventually hired as Chief Operating Officer. Based on this assessment, Logan Roy was right when he said, “You are not serious people.” The children are not capable of taking over his most prized possession, yet in many ways, he set them up for failure. If you are a family business leader, don’t be a Logan Roy. HBO’s Succession captures many of the stereotypes of family businesses and their heirs, and the series is just one exaggerated example of what not to do. Successful family business leadership transitions take years of careful consideration and planning. They require consistent attention, re-evaluation, communication, and should include a backup plan. Here are a just a few considerations for family business leaders as they seek to identify their own successor:- Define Leadership Needs of the Organization. Establish a leadership profile based on the opportunities, threats, and weaknesses of the organization. Consider the input from outside advisors, board of directors, and senior level management. What are the skills required to move the organization forward and to serve as the next steward of the organization?
- Define and Establish a Path to Leadership. No one starts at the top, even if they share the last name of the Company’s founder. Maybe the family member works through a management training program and experiences various aspects of the business, all these norms can be established through good governance.
- Utilize Leadership Development and Assessments Resources. History has demonstrated that the most effective leaders are self-aware. Assessments provide an objective view of the skills and capabilities of each family member. Once the assessment is completed, you have a professional development roadmap. Support individual development by engaging in leadership conferences that are dedicated to the development of family business leadership skills. Create opportunities for transparent and consistent communication through an annual review. Recognize the “perfect leader” does not exist and begin to develop a senior leadership team to support the next generation leader.
- Develop Professional Skills Outside the Business. A widely accepted best practice for family business organizations is to establish a governance policy which requires all family members to develop professional skills outside the business. This provides the family member an opportunity to build professional networks, gain organizational operational insight, and create diverse perspectives.
- Hire Based on a Job Opening and Alignment. Every Next Generation leader will be scrutinized when they join the business. Family members should be hired based on professional skills and experience to fill a need. Their entry point should be commensurate with the skills and experience they bring to the job and follow employment and market compensation guidelines.
- Identify Development Paths within the Organization to Build Confidence. Find opportunities for development within the organization in either roles or special projects. Many organizations rotate family members through departments to learn integral sections of the business. Others can create opportunities with new product lines, innovation projects, and market expansion opportunities. These roles provide learning opportunities for the next generation to develop confidence while also earning respect and credibility with other organizational stakeholders including other leadership, clients, and employees.