Enhancement of emotional intelligence-related competencies of successors in family businesses

The following article presents issues related to the enhancement of emotional intelligence-related competencies of family business successors. A particular emphasis was put on emotional intelligence which constitutes an essential element of the successors’ competencies. The author of the article pro...

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Автор: Dźwigoł-Barosz, M.
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Цитувати:Enhancement of emotional intelligence-related competencies of successors in family businesses / M. Dźwigoł-Barosz // Економічний вісник Донбасу. — 2017. — № 3 (50). — С. 172-177. — Бібліогр.: 21 назв. — англ.

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spelling irk-123456789-1309382018-03-09T03:02:37Z Enhancement of emotional intelligence-related competencies of successors in family businesses Dźwigoł-Barosz, M. Management of Labour and Safety The following article presents issues related to the enhancement of emotional intelligence-related competencies of family business successors. A particular emphasis was put on emotional intelligence which constitutes an essential element of the successors’ competencies. The author of the article provided examples of actions and methods to enhance the emotional intelligence-related competencies, on the grounds of studies by other researches as well as her own research. Readers’ attention was drawn to the impact of parents (senior members of the family) on actions and enhancement of emotional competencies of successors. У даній статті представлено питання, пов'язані з посиленням емоційних розумових здібностей сімейних бізнес-наступників. Особливий акцент був зроблений на емоційному інтелекті, який являє собою істотний елемент компетенції наступників. Автор статті навів приклади дій та методів для підвищення компетентності, пов'язаної з емоційним інтелектом, на основі аналізу попередніх досліджень, а також її власних досліджень. Увагу в статті було звернуто на вплив батьків (старших членів сім'ї) на дії і підвищення емоційної компетентності наступників. В данной статье представлены вопросы, связанные с усилением эмоциональных умственных способностей семейных бизнес-преемников. Особый акцент был сделан на эмоциональном интеллекте, который представляет собой существенный элемент компетенции преемников. Автор статьи привел примеры действий и методов для повышения компетентности, связанной с эмоциональным интеллектом, на основе анализа предыдущих исследований, а также ее собственных исследований. Внимание в статье было обращено на влияние родителей (старших членов семьи) на действия и повышение эмоциональной компетентности преемников. 2017 Article Enhancement of emotional intelligence-related competencies of successors in family businesses / M. Dźwigoł-Barosz // Економічний вісник Донбасу. — 2017. — № 3 (50). — С. 172-177. — Бібліогр.: 21 назв. — англ. 1817-3772 http://dspace.nbuv.gov.ua/handle/123456789/130938 364.2:159.942 en Економічний вісник Донбасу Інститут економіки промисловості НАН України
institution Digital Library of Periodicals of National Academy of Sciences of Ukraine
collection DSpace DC
language English
topic Management of Labour and Safety
Management of Labour and Safety
spellingShingle Management of Labour and Safety
Management of Labour and Safety
Dźwigoł-Barosz, M.
Enhancement of emotional intelligence-related competencies of successors in family businesses
Економічний вісник Донбасу
description The following article presents issues related to the enhancement of emotional intelligence-related competencies of family business successors. A particular emphasis was put on emotional intelligence which constitutes an essential element of the successors’ competencies. The author of the article provided examples of actions and methods to enhance the emotional intelligence-related competencies, on the grounds of studies by other researches as well as her own research. Readers’ attention was drawn to the impact of parents (senior members of the family) on actions and enhancement of emotional competencies of successors.
format Article
author Dźwigoł-Barosz, M.
author_facet Dźwigoł-Barosz, M.
author_sort Dźwigoł-Barosz, M.
title Enhancement of emotional intelligence-related competencies of successors in family businesses
title_short Enhancement of emotional intelligence-related competencies of successors in family businesses
title_full Enhancement of emotional intelligence-related competencies of successors in family businesses
title_fullStr Enhancement of emotional intelligence-related competencies of successors in family businesses
title_full_unstemmed Enhancement of emotional intelligence-related competencies of successors in family businesses
title_sort enhancement of emotional intelligence-related competencies of successors in family businesses
publisher Інститут економіки промисловості НАН України
publishDate 2017
topic_facet Management of Labour and Safety
url http://dspace.nbuv.gov.ua/handle/123456789/130938
citation_txt Enhancement of emotional intelligence-related competencies of successors in family businesses / M. Dźwigoł-Barosz // Економічний вісник Донбасу. — 2017. — № 3 (50). — С. 172-177. — Бібліогр.: 21 назв. — англ.
series Економічний вісник Донбасу
work_keys_str_mv AT dzwigołbaroszm enhancementofemotionalintelligencerelatedcompetenciesofsuccessorsinfamilybusinesses
first_indexed 2025-07-09T14:30:28Z
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fulltext M. Dźwigoł – Barosz 172 Економічний вісник Донбасу № 4(50), 2017 UDC 364.2:159.942 M. Dźwigoł – Barosz, PhD (Economics), Faculty of Organization and Management Institute of Management, Administration and Logistics Silesian University of Technology, Zabrze, Poland ENHANCEMENT OF EMOTIONAL INTELLIGENCE-RELATED COMPETENCIES OF SUCCESSORS IN FAMILY BUSINESSES Introduction The concept of management in family businesses requires a different approach to functions executed by contemporary managers and their successors. Moreover, it requires to elaborate new models of education, “tailored” to the needs of family businesses, which, in the larger extent, will take into consideration the follow- ing aspects: development of leadership skills, develop- ment and improvement of employees’ competencies, practical motivation skills. In the family businesses, one can combine business and their family by shaping entre- preneurial values during the upbringing of the genera- tion of successors, the latter regarded as future managers [Więcek – Janka 2014 ps. 139-155]. Owners of family businesses require from their successors to have numerous multi-discipline skills, the acquisition of which is a highly time- and work-consum- ing process. The acquisition and use of the skills are to ensure that the family-run enterprise will continue to de- velop in compliance with a determined strategy. Competencies of successors are subject to studies by numerous members of the scientific community. Elaborating a set of competencies for successors, nece- ssary to run a family business, is a complex and ambig- uous process. Family enterprises which, under the long- term strategy, anticipate succession processes, should take into account the successors’ competence profiles. The studies on the specific character of diagnoses and assessments of the use of successors’ competencies con- firm that the competencies related to emotional intelli- gence are essential for succession processes. The following study particularly focusses on emo- tional intelligence that constitutes a great part of the suc- cessor’s competencies. It is difficult to find, among va- rious papers, the ones which involve studies on emo- tional intelligence competencies of successors. The owners of family businesses more and more frequently seek help from psychologists or employment counsel- lors on “how to raise a successor”. Certainly, there is no ready-to-use recipe on how to mould a potential succes- sor for him/her to take over the family business in the future. However, taking into consideration the signifi- cance of emotional intelligence in the professional life, looking for methods of shaping and developing the com- petencies in question seems to be rightly justified. 1. The importance of successors’ competencies related to emotional intelligence There is not even a single area in life in which emo- tional intelligence would not play an important role. The emotional intelligence acts as a drive for people to de- velop their own potential, it allows them to take hold of bad habits, helps to set interpersonal borders and facili- tates the development of satisfactory relationships, in both private and professional life. Emotional intelligence is people’s personal compe- tencies, understood as their ability to recognize their own and other people’s emotional states, as well as the ability to make use of their own emotions and tackle other people’s emotional states. [Mikołajewska 2013, p. 3; Miśkiewicz 2017, p. 74] It involves one’s ability to control and regulate one’s mood, which, in turn, is help- ful in coping with various situations. The ability to un- derstand emotions and make right use of them plays a key role in the human life. The studies on emotional intelligence were initi- ated by H. Gardner. He distinguished[Gardner, 1989]: – Intrapersonal intelligence involving the capaci- ties of understanding and controlling of one’s own emo- tions (relationship with the self), – Interpersonal intelligence involving the capaci- ties of understanding and coping with interpersonal re- lations (relations with the others). Interpersonal intelligence, also known as social in- telligence, means one’s capacity to get on well with people and be willing to co-operate with them. It also means the empathy, the capacity to enter into deep rela- tionship with the others, understand their needs, and promote desired attitudes and reactions. Moreover, the social intelligence consists on empathising with other people’s emotions and building of trust. The importance of social intelligence in family en- terprises has been confirmed by the findings of the re- port entitled „Competencies of the future in the family businesses 2017” [Report 2017, p. 15]. The analysis of responses by all companies proves that social intelli- gence is the most desired competence of the future. Over ¾ of surveyed businesspeople declare both the willing- ness and need to develop the said competence. Management of Labour and Safety M. Dźwigoł – Barosz 173 Економічний вісник Донбасу № 4(50), 2017 A list of successors’ competencies, needed in the succession process, elaborated on the grounds of a study carried out by E. Więcek-Janka i A. Hadryś-Nowak [Więcek–Janka, Hadryś–Nowak, Łódź – Warszawa 2016, ps. 61 - 72] in 2014, enumerates 20 competencies, out of which eleven refer to emotional intelligence. One can find here: diligence, communication skills, organi- sational skills, accuracy, resourcefulness, commitment, resistance to stress, firmness, ambition, motivation, courage. It was emphasised that the most frequently chosen competencies are, among others, diligence and commitment, whereas the competence of diligence was granted the highest average mark. Furthermore, Polish successors of family businesses stated that the abilities to introduce changes and adapt to the closest and more remote environment of the enterprise are the most useful skills in the succession process. Adaptive skills, i.e. the ability to change and the ability to act and make deci- sions are also regarded as competencies related to emo- tional intelligence. The classification of successor competencies used in the succession process implies their various origins. Providing the family enterprise with multi-generation resources and development, and ensuring that the enter- prise is highly efficient are, to a large extent, dependent on relevant competence potential of successors. Those family enterprises that anticipate succession process should focus on competence profiles of their successors, while taking into consideration the role played by the competencies related to emotional intelligence. The significance of competencies in the area of emotional intelligence was also underlined by L. Weroniczak, who defined the following qualities, i.e. [Weroniczak, 2012, p. 81] : – communication skills, – empathic perception, – ability to solve conflicts through co-operation, – understanding of change processes, – seeing diversity as a resource, – regarding the company and the family as inter- twined systems, – as psychological and social skills, necessary to create space that promotes intergenerational dialogue, existing in the succession process. The managing of the family enterprise is undoubt- edly a test of successors’ competencies. It is of great im- portance for managers to have competencies related to emotional intelligence as the managers shape the culture of the entire organisations, set development trends and motivate the staff to work more effectively. Creating the empathy-based atmosphere being, more often than not, a factor that builds team stability, is one of the key com- petencies of contemporary businesspeople. Those ma- nagers who can act wisely and keep their teams together are able to carry on and expand their family businesses. 2. Emotional education of successors The source literature explicitly defines emotional education as a process of developing essential, emo- tional and social competencies of children [CASEL 2002; Denham, Weissberg, 2003]. The most effective acquisition of emotional and so- cial competencies takes place in supportive, meaningful and challenging person-person relationships (e.g. a mother – a child, a teacher – a student) or person-group relationships (e.g. a tutor – a class team) [Brzezińska, 2000, ps. 224—257; Shapiro 1999]. The development of emotional intelligence should focus on its personal and social aspects. One should bear in mind that emotional intelligence is shaped already in the childhood, for example by observing parents or other people playing important roles in one’s life. That is how people learn to manage their emotions and relationships. Notwithstanding any experiences taken from the child- hood, the improvement of emotional management skills may be effected by other methods of emotional intelli- gence development. W. Machalica – a psychologist and expert for In- stytut Biznesu Rodzinnego, has created a series of pro- grammes and training sessions, including workshops on emotional intelligence as a connector among genera- tions. To that end, she has advocated to use numerous tools [Machalica 2017]: – relationship-building tools, – tools to tackle difficult situations in family-re- lated and work-related groups, – communication without violence tools, – tools to tackle one’s own and other peoples’ emo- tions, – constructive criticism and appraisal tools, tools to deal with criticism, – tools to support employees’ development, – tools to chair meetings effectively, – motivational tools and tools to delegate tasks in a motivating way, – tools to set aims and plans, – tools to access one’s own resources. The author believes that the enhancement of com- petencies related to emotional intelligence, with the ap- plication of the above-mentioned methods, allows to achieve the following benefits. [Machalica 2017] – elaboration of an effective system to manage emotions – one’s own emotions and other people’s emo- tions – in such a way as to turn them into one’s ad- vantages, – development of one’s own initiative and self- driven personality, – – effective building-up and controlling of rela- tionships, to win over and inspire other people, professional and effective team management and co-operation, – benefits derived from the skills of coping with a difficult situation and stress in an effective way, M. Dźwigoł – Barosz 174 Економічний вісник Донбасу № 4(50), 2017 – elaboration of one’s own strategies on how to tackle stress; deliberate use of one’s own resources in the stress management process; enhancement of skills of how to react in a planned and effective way, – significant influence on one’s own emotional states, in order to reduce stress and strengthen motiva- tions, – gathering adequate opinions on oneself and on the others in order to generate a strong internal motiva- tion and motivate other people in a proper way. It is worth using specialised “survival schools for young, future managers”. In Poland, there is still a lack of such institution, which may bring about the situation that Polish family firms would be in worse situations than their counterparts in the countries where succession processes and succession-related social awareness are considerably more developed. There is also a necessity to establish new scientific organisations such as the Young President Organisation, tailored to educate lead- ers and future presidents of the boards. Put into practice, a child or a teenager may be provided with competition workshops, exercises involving riddles, team-building tasks like Outward Bound, divided into segments and designed to teach and enforce such values as: sociabi- lity, analytical skills, foresight, dexterity, astuteness, as well as courage and distance to a given task [Sułkowski, Mariański, 2009, p. 40]. W. Machalica [Machalica 2012, p. 110] put a spe- cial emphasis on the role of self-development, i.e. a sys- tematic work on developing one’s personal competen- cies, which is an indelible element of strategies to sup- port family businesses, since it ensures a qualitative change as to attitudes. The author underlined the fact that the deliberate self-development is a constant work at all three levels of existence of an individual, i.e.: – self-awareness level – the development of the self, which entails the necessity to recognize one’s own advantages, motivations, needs, and also limitations; – interpersonal level – psychological and social level, which entails the necessity to work on relation- ships between an individual and the external world, people who surround the individual, and interactions between the individual and other people at different stages of the former’s life (for owners and managers of family businesses the enhancement of interpersonal competencies, which affects the establishment of satis- factory relationships, is an indelible element of their self-development); – the level of knowledge and competencies related to the enhancement of abilities and acquisition of knowledge on management, strategic planning, market- ing and other areas strictly connected with successful running of a family firm (within the said area, it is extremely important to deliberately implement the acquired knowledge and competencies in the everyday life and conditions under which the family business operates). Upon the analysis of source literature and the author’s own research, the Figure 1 was created to show various methods on how to enhance competencies re- lated to emotional intelligence, which competencies are to be implemented as methods to reduce emotional com- petence gaps of successors. Fig. 1. Methods to enhance competencies related to emotional intelligence Source: Own work. METHODS TO ENHANCE COMPETENCIES RELATED TO EMO- TIONAL INTELLIGENCE  Coaching sessions with a senior member of the family  Sessions with an external coach  Sessions with a psychologist  Internship, on-the-job training  Longer forms of training sessions, university degree, post-graduate studies  Open training sessions  Closed training sessions  Discussions with the senior members  Discussions with experts  Case studies  Self-study, one’s own exercises  Simulating real-life situations  Lectures  Training videos  Professional literature  Delegation of responsibilities by the senior member M. Dźwigoł – Barosz 175 Економічний вісник Донбасу № 4(50), 2017 The survey carried out by the author showed that the discussions with experts and self-study were used as a way to compensate all gaps related to emotional intel- ligence, discovered during the study. Thus, a statement can be drawn that these methods may be regarded as op- timal methods to enhance competencies related to emo- tional intelligence. As far as self-study/own work is concerned, nu- merous researchers confirmed the application of the method, advocating the necessity to self-develop by means of self-awareness and self-knowledge enhance- ment programmes [Stone, Dillehunt, 1978; Miśkiewicz 2017, p. 95]. It is worth becoming familiar with various situations and outcomes of suggested solutions, accom- panied by an analysis of one’s own emotions and way to control them. The development of the knowledge of one’s own emotions is certainly of great importance; however, it is still slightly defective as there is no such element as an expert willing to correct mistakes in expressing, using or understanding given competencies related to emo- tional intelligence. Thus, it is justified that the method of competencies enhancement – discussions with ex- perts, was regarded by the experts as effective as the self-study. It should be underlined that the effectiveness of the education depends on a many-year, integrated effort to develop children’s emotional and social competencies. It is important for the educational offer to be adjusted to the individual’s development stage. Moreover, due to its specific character, the educational offer should focus on skill development in order to become a long-term action with a gradual acquisition of skills. Thus, the develop- ment of the emotional aspects should begin already in the very early years of the childhood and be continued until an individual enters a higher education school [Jasielska, 2009, p. 73]. 3. Roles of senior members of family businesses in the development of successors’ competencies re- lated to emotional intelligence In the studies by E. Więcek–Janka and A. Hadryś– Nowak [Więcek–Janka, Hadryś–Nowak, 2016, ps. 68 - 69] on successors’ competencies, the authors named two problems faced by the successors who were asked to perform self-assessments as to their self-development in the context of succession process. The surveyed as- sessed the following two aspects on the dichotomous scale: 1) the necessity to develop successors competen- cies in the form of individual coaching sessions; 2) the consideration granted by the senior members to their children’s ideas. Up to 58% of the surveyed claimed that their solu- tions had not gained acceptance of the senior members of the family company (Figure 2). The lack of the op- portunity to put their competencies into practice resulted in the lowered self-esteem and ensuing necessity to rec- tify the said situation by means of coaching sessions. As many as 93% of the successors made such a declaration. The development of the successors’ competencies re- lated to adaptive skills is strictly connected with the awareness of usefulness of propositions put forward by successors. Fig. 2. Results related to selected competencies and features Source: [Więcek–Janka, Hadryś–Nowak, 2016, p. 69]. T he c on si de ra tio n gr an te d by th e se ni or m em be rs to th ei r ch il- dr en ’s bu si ne ss de ve lo pm en t id ea s. T he n ec es si ty to d ev el op s uc ce s- so rs c om pe te nc ie s in th e fo rm o f in di vi du al c oa ch in g se ss io ns . M. Dźwigoł – Barosz 176 Економічний вісник Донбасу № 4(50), 2017 The lesser the trust of senior members and families, the greater emphasis is placed on adaptive competen- cies, and the more frequent is the felt necessity to de- velop by means of coaching. An important role in the enhancement of predis- posal of younger generation to take over their families’ businesses is the involvement of a child in the company matters from the child’s earliest years, by developing their interest in the family business and fuelling the willingness to manage it in the future. Within the upbringing process, the senior members of the families can share with the children their knowledge of business activities, tricks of trade or ma- nagement gimmicks. A family firm may also be an edu- cative environment. A successor candidate employed in the company, starting from the simplest tasks and going further as to taking managerial positions, may learn, from co-workers and senior members of the family com- pany, practical skills, including co-operation skills and managerial practices remaining in compliance with values of the family who established the company. By means of a partner-to-partner dialogue, a senior member and a successor can jointly create new development trends, reconciling experience and knowledge of com- pany founders with innovativeness and energy of suc- cessors [Bocheński, 2016, p. 14]. Handing over the direct control over the family firm to the successors is, more often than not, a difficult move for the firm owners. Thus, the parents fail to pro- vide their children with relevant knowledge and rights to take decisions. Consequently, the successors are not properly prepared to run the family business, and thus the bleak scenario of the company’s collapse, triggered by the intergenerational change at the helm of the com- pany, becomes highly probable. Competencies provide a sound basis for people’s activities in the professional area. They are acquired and shaped not only at the very early stage of human deve- lopment, but also during the job seeking process and while carrying out job-related tasks [Więcek–Janka, Hadryś–Nowak, 2016, p. 62]. With reference to the foregoing, the parents who wish their family companies to be taken over by their children need to take care of their proper education, combined with the development, from the early age, of pro-business attitudes, encouragement to take actions and carry out activities, face challenges and gain expe- riences. Conclusion Family firms have been the oldest way of running the business and one of pillars of the world-wide eco- nomy. Their creation, operation and collapse highly in- fluence the development of both national and global economies. A long-term perspective of companies run by future generations, along with the combination of family-related and managerial functions, provide such identities with distinct characteristics [Sułkowski, Mar- jański, 2009, p. 9]. Effective addressing of challenges of contempo- rary companies requires significantly more than just proficient management of tasks. It requires greater inter- personal skills, committed people and a transparent sys- tem of values. In such conditions, one may experience a growing need to find more appropriate predicators of professional successes and life achievements than mere traditional skills. More and more family businesses have been facing a decision to launch a succession process, which is mainly connected with the acceptance of responsibility and management. And to this end the future managers of the said companies are required to possess determined competencies. One should bear in mind that the specific character of the family business management entails a necessity to take into consideration not only economic aspects, but also interpersonal relations in their broad sense. Thus, the process of preparing successors requires an intergenerational co-operation, with a special empha- sis on the role of family seniors in the upbringing of chil- dren from their early childhood, through gradual intro- duction of successors into the family businesses, com- bined with sharing of knowledge, good practice, beha- vioural patterns, applying of competence enhancement methods and encouraging to take actions. The parents who want their businesses to be taken over by next ge- nerations should consistently implement the educational project (including emotional intelligence) for their suc- cessors. Nonetheless, one should bear in mind that the suc- cessors in family firms are not inborn managers, they may become them through comprehensive upbringing by senior family members [Gutkova 2014, ps. 4-5]. Ta- lent and aptitudes recognition and their subsequent channelling into skill development are the key role for parents. References 1. Bocheński A. Zarządzanie wiedzą w firmie rodzinnej, Relacje – magazyn family businesses 4(19), sierpień 2016. 2. Brzezińska A. Psychologia wychowania [w:] Strelau J. (red.), Psychologia. Podręcznik akademicki, GWP, Gdańsk 2000. 3. CA- SEL - Safe and Sound. An Educational Leader’s Guide to Evidence- Based Social and Emotional Learning Pro- grams, The Collaborative for Academic, Social, and Emotional Learning, Pre - Publication Copy, University of Illinois, Chicago 2002. 4. Denham S., Weissberg, R., Social- Emotional Learning in Early Childhood. 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XV, z. 8, cz. II. Джвігол-Барош М. Підвищення компетен- цій, пов'язаних з емоційним інтелектом спадко- ємців сімейного бізнесу У даній статті представлено питання, пов'язані з посиленням емоційних розумових здібностей сі- мейних бізнес-наступників. Особливий акцент був зроблений на емоційному інтелекті, який являє со- бою істотний елемент компетенції наступників. Ав- тор статті навів приклади дій та методів для підви- щення компетентності, пов'язаної з емоційним інте- лектом, на основі аналізу попередніх досліджень, а також її власних досліджень. Увагу в статті було звернуто на вплив батьків (старших членів сім'ї) на дії і підвищення емоційної компетентності наступ- ників. Ключові слова: компетенції, емоційний інте- лект, наступник, сімейний бізнес. Джвигол-Барош М. Повышение компетен- ций, связанных с эмоционального интеллектом приемников семейного бизнеса В данной статье представлены вопросы, связан- ные с усилением эмоциональных умственных спо- собностей семейных бизнес-преемников. Особый акцент был сделан на эмоциональном интеллекте, который представляет собой существенный элемент компетенции преемников. Автор статьи привел при- меры действий и методов для повышения компе- тентности, связанной с эмоциональным интеллек- том, на основе анализа предыдущих исследований, а также ее собственных исследований. Внимание в статье было обращено на влияние родителей (стар- ших членов семьи) на действия и повышение эмоци- ональной компетентности преемников. Ключевые слова: компетенции, эмоциональный интеллект, преемник, семейный бизнес. Dźwigoł – Barosz M. Enhancement of emotional intelligence-related competencies of successors in family businesses The following article presents issues related to the enhancement of emotional intelligence-related compe- tencies of family business successors. A particular em- phasis was put on emotional intelligence which consti- tutes an essential element of the successors’ competen- cies. The author of the article provided examples of ac- tions and methods to enhance the emotional intelli- gence-related competencies, on the grounds of studies by other researches as well as her own research. Read- ers’ attention was drawn to the impact of parents (senior members of the family) on actions and enhancement of emotional competencies of successors. Keywords: competencies, emotional intelligence, successor, family businesses. Received by the editors: 05.12.2017 and final form 22.12.2017