Familiness in Top Management Teams: Commentary on Ensley and Pearson's "an Exploratory Comparison of the Behavioral Dynamics of Top Management Teams in Family and Nonfamily New Ventures: Cohesion, Conflict, Potency, and Consensus."

Abstract

In an article by Ensley and Pearson, it is argued that top management teams (TMTs) with unique dynamics will have higher levels of cohesion, potency, task conflict, and shared strategic consensus than TMTs with less "familiness."This examination seeks to elaborate, on a general level, on the findings of their article. Ensley and Pearson sought to extend the perspective on TMTs by investigating the influence of the homogeneity of family TMTs.The use of social network theory is also discussed, with the researchers suggesting that future articles should focus on factors that foster efficiency among family-dominated teams and on instances when increased outsider heterogeneity is preferred.Next, the concept of familiness is discussed, with Ensley and Pearson presenting evidence of alternative theoretical sources that indicate the advantages among family firms.Areas for future research may utilize these theories--which include group theory and upper-echelon theory--to better understand the meaning of familiness and its impact upon business performance. This study offers three approaches to extend this work, based on top management team perspectives, the concept of familiness and the definition of family business presented herein. The differences that exist between familial and parental TMTs are highlighted.It is suggested that future research regarding the performance of individuals or teams on work tasks may provide further insight into the functioning of family TMTs. (AKP)

Keywords: Group behavior, Families, Conflict management, Management decisions, Social networks, Family firms, Management teams, Firm management, Group behavior, Organizational behavior, Firm performance