Dubai’s 2nd Family Business Management Program by MBRCLD

Family-owned businesses are not just a part of the UAE’s economic landscape; they are its very foundation. They represent a staggering 90% of all private companies according to the Ministry of Economy (2021), a statistic that underscores their profound impact. These businesses contribute a massive 40% to the UAE’s GDP and are responsible for employing over 70% of the private sector workforce. This dominance highlights their critical role in driving economic growth, innovation, and job creation.

However, the unique dynamics of family businesses—the intertwining of family relationships with business operations—demand a specialized approach to leadership development. This is where a robust Family Business Management Program becomes essential. Ensuring their long-term success, their ability to navigate generational transitions, and their capacity to adapt to evolving market conditions requires more than traditional business training. It requires a deep understanding of the intricacies of family governance, succession planning, and the cultivation of a shared vision that transcends generations.

Enter the Dubai Family Business Management Program (DFBMP), a world-class initiative meticulously designed to address these specific needs. This program is not merely a series of workshops or lectures; it’s a comprehensive, transformative journey designed to empower the next generation of family business leaders. Launched by the Dubai Centre for Family Businesses (DCFB) under the umbrella of Dubai Chambers and in close collaboration with the prestigious International Institute for Management Development (IMD), a globally recognized leader in executive education, the DFBMP transcends conventional leadership training. It provides second-tier family business managers with the essential skills, knowledge, and perspectives needed to navigate the unique complexities of family-owned enterprises and propel them towards sustainable growth and enduring success.

Related: Dubai Reference Point For Islamic Economy

The Family Business Management Program Experience

The DFBMP’s second edition, building upon the remarkable success of its inaugural launch by His Highness Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister and Minister of Finance of the UAE,¹ in October 2023, is a powerful testament to its impactful and forward-thinking approach. The program is carefully structured to provide a rich and multifaceted learning experience. Here’s a detailed look at what sets the DFBMP apart:

• Unparalleled Expertise: A cornerstone of the DFBMP’s success is its strategic partnership with IMD. With a legacy of excellence in family business development dating back to 1990, IMD brings unparalleled expertise to the program. Participants have the exclusive opportunity to learn from distinguished IMD professors—thought leaders and researchers who possess a deep understanding of the specific challenges and unique opportunities that family businesses face. This collaboration ensures that the program’s curriculum is grounded in cutting-edge research and best practices, providing participants with the most relevant and impactful knowledge. This includes topics like family governance, conflict resolution, succession planning, and transgenerational entrepreneurship.

• Interactive Learning: The DFBMP is not confined to traditional lecture settings. It emphasizes interactive and immersive learning experiences that engage participants on multiple levels. The program begins with a three-day intensive training session led by IMD faculty, setting the stage for the learning journey ahead. This intensive session is followed by a series of virtual sessions that allow for ongoing learning and engagement.

To further personalize the learning experience, the program includes personalized one-on-one mentoring sessions, providing participants with tailored guidance and support from experienced professionals. The program culminates in a highly anticipated week-long training session in Switzerland, offering participants invaluable exposure to the inner workings of successful Swiss family businesses, including visits to renowned companies like AP Moller-Maersk.

• Building a Community of Leaders: Recognizing the importance of strong professional networks, the DFBMP actively fosters connections among participants and with prominent figures in the family business community. The program incorporates various networking opportunities, including case study discussions, site visits to leading businesses, and interactive sessions with industry veterans. These interactions provide participants with the chance to learn from the experiences of others, share best practices, and forge valuable partnerships that can extend far beyond the program itself.

• Bridging Theory and Practice: The DFBMP is designed to be highly practical and results-oriented. It provides participants with a robust set of frameworks, tools, and methodologies that they can immediately apply to their family businesses. Participants learn how to develop a compelling strategic vision, enhance operational efficiency, improve financial performance, and address the unique challenges that are inherent in family-owned companies. The program emphasizes practical application through case studies, simulations, and real-world examples, ensuring that participants can translate their learning into tangible results.

• Leadership Development: Effective leadership is the cornerstone of any successful business, but it takes on a particularly nuanced form in family-owned enterprises. The DFBMP places a strong emphasis on developing the essential leadership skills required to navigate the complexities of family dynamics and drive sustainable growth.

• The program focuses on honing vital skills such as strategic communication, emotional intelligence, conflict resolution, and the ability to build consensus among family members. Participants learn how to effectively communicate their vision, inspire and motivate employees, and manage the delicate balance between family relationships and business objectives. The program also addresses the crucial topic of succession planning, equipping participants with the tools and strategies to ensure a smooth and successful transition of leadership from one generation to the next.

Building a Stronger Dubai and a More Resilient Economy

The DFBMP’s impact extends far beyond the individual businesses that participate in the program. It plays a crucial role in strengthening Dubai’s overall economic landscape and contributing to the UAE’s broader development goals. Here’s how the program contributes to the Emirate’s future:

• Aligned with Dubai’s Vision: The program is strategically aligned with Dubai’s ambitious development plans, including the Dubai Economic Agenda (D33) and the Dubai Social Agenda 33. By equipping future leaders with the knowledge, skills, and perspectives needed to succeed in the 21st-century economy, the DFBMP ensures that family businesses continue to play a vital role in achieving the Emirate’s long-term strategic objectives.

• Public-Private Partnerships: The DFBMP serves as a platform for meaningful dialogue and collaboration between family businesses and government officials. By facilitating open communication and fostering mutual understanding, the program helps to strengthen public-private partnerships and empowers family businesses to contribute more effectively to national economic development initiatives.

• Global Benchmarking: Through its collaboration with IMD and its exposure to leading Swiss family businesses, the DFBMP provides participants with invaluable insights into international best practices in family business management. This global perspective allows participants to adopt cutting-edge strategies, enhance their competitiveness, and position their businesses for success in the global marketplace.

Investing in Sustainable Growth

The DFBMP is more than just a training program; it is a strategic investment in the future of Dubai and the UAE. By empowering the next generation of family business leaders, the program ensures the continued growth, prosperity, and resilience of these vital enterprises. As His Excellency Saeed Al Eter, Director General of the Executive Office of His Highness Sheikh Mohammed bin Rashid Al Maktoum, aptly stated, “The Dubai Family Business Management Programme helps enhance the ability of these companies to achieve long-term growth.”

The Dubai Centre for Family Businesses (DCFB):

The Dubai Centre for Family Businesses (DCFB), was established in 2022 by Decree No. (45) of 2022, plays a crucial role in supporting the DFBMP and providing a wide range of resources and services to family businesses in Dubai. The DCFB serves as a central hub for family businesses, offering guidance, support, and expertise in various areas, including:

• Policy Advocacy: The DCFB actively advocates for policies and initiatives that create a more favorable environment for family businesses in Dubai. This includes working with government agencies to address the specific challenges and opportunities faced by family-owned enterprises.

• Support Programs: The DCFB provides a range of incentives and support programs designed to foster the growth, sustainability, and competitiveness of family businesses. These programs may include financial assistance, access to training and development resources, and networking opportunities.

• Knowledge Sharing: The DCFB serves as a valuable resource for family businesses seeking information on best practices in governance, succession planning, conflict resolution, and other key areas. The center provides access to research, publications, templates, and other resources to help family businesses navigate the complexities of their unique business structures.

The Dubai Family Business Management Program stands as a powerful symbol of Dubai’s unwavering commitment to nurturing its economic engine. It empowers future generations of family business leaders to not only preserve their family legacies but also to drive innovation, create jobs, and contribute to the continued success and prosperity of Dubai and the wider UAE economy.

By investing in the development of these crucial businesses, Dubai is laying the foundation for a sustainable and prosperous future for generations to come. The DFBMP is a model for other regions seeking to strengthen their family business sectors and harness their potential for economic growth and social development. It demonstrates that by providing targeted support, fostering collaboration, and promoting best practices, family businesses can continue to thrive and contribute to the global economy for many years to come.