Family businesses in Australia focus on tech investments

The Family Business Barometer survey report, which was co-released by the Family Business Association together with Pronto Software, was designed to provide insights into the primary concerns and focus areas for the family business sector in Australia.

According to the survey, nearly half (48%) of the respondents identified the future vision of their company, including goals and strategy, as a significant concern, while some 54% prioritised providing financial security for future generations.

Investments in technology appear to be a priority for the sector, the survey found, as 55% of the survey participants reported actively investing in new technological advancements, highlighting the adaptability of family businesses to evolving conditions. Improvements in business efficiencies and navigating succession planning complexities were also noted by 47% and 37% of respondents, respectively, the report showed.

The survey also sheds light on the distinctive experiences, opportunities, and challenges faced by family businesses, which are prevalent among small, medium, and large enterprises in the country. Catherine Sayer, Chief Executive Officer of the Family Business Association, highlighted the sector's substantial footprint in the economy, noting its long-term focus and resilience in the face of economic fluctuations.

"The results reflect current challenges business leaders are facing including external economic factors, cost of labour, and cash flow," said Sayer.

"The report uncovered key factors for family businesses success including strong family values (73%), dedicated team of employees (68%) and customer loyalty (56%)," she said.

Sayer emphasised the sector's ability to withstand challenging conditions by adhering to core values and maintaining purpose, which contributes to consumer trustworthiness and preference.

"With a unique set of needs, the voices of family businesses need to be heard - for their success directly impacts half of Australia's population and the national economy," Sayer stated.

Chad Gates, Managing Director of Pronto Software, noted the leadership role family businesses play in adopting technological solutions to enhance operational efficiency.

"Although the economy has presented challenges, it's positive to see over half of survey respondents investing in new technologies, even during economic downturns," he said.

This is smart business, as it ensures you're ready to accelerate when things turn around," Gates remarked.

Gates acknowledged the ongoing challenge of acquiring talent, suggesting that technology investments can help streamline processes and alleviate pressure on teams. "To successfully implement and integrate technology, it's essential to have a strategic plan that details digital adoption. Businesses that overcome these challenges will reap the rewards," he added.