asked 128k views
0 votes
What feature is not typically part of a system of effective family governance?

a. Nonfamily managers
b. An organizational structure based on family relationships
c. A board of directors
d. Rules for employment of family members

1 Answer

5 votes

Final answer:

An organizational structure based on family relationships is not typically a part of effective family governance, which more professionally uses nonfamily managers, a board of directors, and defined rules for family members' employment.

Step-by-step explanation:

The feature that is not typically part of a system of effective family governance is b. An organizational structure based on family relationships. Effective family governance should ensure that the family's involvement in the business is structured professionally, and not solely based on relationships. Family governance systems often include nonfamily managers, a board of directors, and rules for the employment of family members to ensure that business operations are conducted effectively and are aligned with best practices.

answered
User Gigisommo
by
8.4k points
Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.