Tomi Otudeko: 5 Takeaways on the Future of Family Business and its Succession

Building a family business anywhere in the world is tough. Building and sustaining a viable family business in Nigeria is even tougher. With the changing economic climes and uncertainty, it’s smart to build businesses that not only last but can provide avenues to unite and sustain families in the future.

On Tuesday, May 24, 2022, PricewaterhouseCoopers (PwC) Nigeria gathered next-generation members within family businesses at the Radisson Blu Anchorage Hotel, Lagos to share finds from and launch the PwC Nigeria NextGen Survey 2022, and created an opportunity for individuals who play pivotal roles in family businesses to share their experiences and discuss how they have been able to grow within the organization.

L-R: Executive Director, Special Projects, Daily Need Group, Seun Jolayemi; Head of Schools, Greensprings School, OluRanti Bankole; Partner, Private Clients & Family Business Leader, PwC Nigeria, Esiri Agbeyi; Head, Corporate Services, Honeywell Group, Tomi Otudeko, and Executive Director – After Sales, Coscharis Motors, Cosmos Junior Maduka

Tomi Otudeko, Head, Corporate Services at Honeywell Group, sat with Seun Jolayemi, Executive Director, Special Projects, Daily Need Group; OluRanti Bankole, Head of School (Ikoyi Campus), Greensprings School; Cosmos Junior Maduka, Executive Director- After Sales, Coscharis Motors; and Guy Vande Vyvere, Managing Partner, VYBROS Invest BV to dissect and envision the possible future of family business in Nigeria.

During the insightful session, Tomi Otudeko shared five critical factors for the survival of family businesses across the world.

Head, Corporate Services, Honeywell Group, Tomi Otudeko and Executive Director, Special Projects, Daily Need Group, Seun Jolayemi

1. Ease Current Leaders Into The Future

Technology and the COVID-19 pandemic have changed the structure of businesses, and the landscape is rapidly evolving. But how do we bridge this gap that has been created? She explained that the onus lay in the hands of the next generation of family business leaders to aid the current leaders in the changing ways of doing business,

“the next generation while understanding the need for change will have to help the current generation ease into the future and all the brilliant ideas they are bringing into the business.”

2. Respect The Core Values That Drive The Business

Values are an essential part of the culture of a company, and for Tomi, they remind her of why she shows up at work every day. According to her,

“being in a family business teaches you that you work for not just your family but employees who have families as well. This reality gives you a sense of responsibility to the other employees and to the values that the business upholds.”

She added that it was important to appreciate and respect the foresight that went into instilling these business values and why they had brought the business this far. So, while proposing strategies and new templates for the future, it is pertinent to ensure they align.

Executive Director – After Sales, Coscharis Motors, Cosmos Junior Maduka; Head, Corporate Services, Honeywell Group, Tomi Otudeko, and Executive Director, Special Projects, Daily Need Group, Seun Jolayemi

3. Ensure A Robust Corporate Governance Structure

The University of Manchester graduate also shared that in her case,

“The presence of a firm corporate governance has ensured the presence of a neutral body to help balance emotions and create a diversity of opinions.”

It is important that when families embark on business ventures, there is a clear understanding to put sentiment aside and make the best decisions for the business and the stakeholders.  This is what a good corporate governance structure will provide while ensuring that all parties are held accountable.

Honeywell Group’s executive team has a strong female presence, with 60% of the members being women.

4. Earn Your Place Within The Business

She reiterated the need for next-generation members to not only prove their value within the business but to earn their place. 

Tomi explained that after nearly 20 years of experience in various capacities within Africa and the UK, she still had to earn her place at Honeywell Group. Her vast career experience in other organizations has helped her understand the need for creating opportunities to show value. As such, she shares her experience saying,

“When I joined Honeywell Group [HGL], I knew my value, but I needed to ‘re-earn’ that value because when you join an organization as a family member, there is a perspective that comes with working in that organization. You need to re-earn and restate your value and ensure that people understand that you have surpassed all the requirements to have a seat at the table.”

Tomi Otudeko

5. Improve Sustainability And Environmental Impact Activities

There is a need for family businesses to increase investment in sustainability and environmental impact activities. Beyond being a major attraction for international partnerships, it can set the tone for business expansion. The world needs these initiatives to ensure a positive impact on the communities and people. 

Tomi shared that for instance, the Radisson Blu Anchorage Hotel, owned and managed by a  Honeywell Group portfolio company, Anchorage Leisures is deliberate about plastic bottle recycling considering that Nigeria is one of the largest contributors to plastic waste in Africa.

“When you think about it, these factors can apply to any business! There is no better time than now to begin to develop the sustainable structure for that business you have been thinking about.”

The PwC NextGen Survey is a global market survey among next-generation members of family businesses across 68 territories. The survey was conducted online in collaboration with The Family Business Network (FBN). There were 1,036 interviews in 68 territories, between October 8 and December 12, 2021.

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