Organizational analysis on two small family-owned businesses using the IIOSS and the Adizes life-cycle concept of organizational development : the case of Godam and FK-Komerc

Abstract

The main reason for conducting this research was to verify what key elements are crucial to ensure that small family-owned business in their growth phases are managed successfully. More precisely, the research aim was to determine the salient attributes required for effective leadership in each stage of the companies' life-cycle development. To achieve that, a qualitative research approach was conducted and data was sourced using in-depth interviews with the founders of the two family-owned businesses; in this case Godam and FK-Komerc. The interviews were based on IIOSS questionnaires and were equally distributed among the CEO's and some previously identified co-workers within the companies. The results were further examined based on combination of two methodologies: the IIOSS and the Adizes methodology of corporate life-cycles, thus it was confirmed that in the growth phases of these companies there are several developmental characteristics that require specific leadership intervention. The results also revealed that that there is a dominant leadership style and specific leadership attributes that are desirable at each growth stage of the business if the two businesses are about o be merged and e effective. Therefore, the obtained consulting insights into how they should properly alter their managerial styles to avert possible business breakdowns.