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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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 |
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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 |
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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. |
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Article |
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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 |
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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 |
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Інститут економіки промисловості НАН України |
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2017 |
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Management of Labour and Safety |
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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 |
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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].
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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.
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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
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