Summertime Decisions: Sustaining Change or Maintaining Status Quo? The Ayala Succession Saga (Part 2)
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Ready to step onto a brand new chapter in your leadership journey? Summertime's here, and it's time for you to surrender your reins, strengthening your legacy rather than sitting on the throne.
This isn't just another season; it's the Summer of Abandonment and Reinforcement. Your presence might need to dim, not in influence, but in interference.
It ain't easy. You've played the architect, the construction worker, and the fortress keeper. You know this business like the back of your hand-and every instinct within you will want to correct, adjust, step in when things get shaky.
But heed this warning: "Every time you step in, you step on their growth."
True legacy isn't about your power while you're there, but the strength they'll have when you're no longer in command.
The Zobel de Ayala transition - A multilayered teaching tool
Lessons in deliberate succession and institutional continuity can be found in the leadership evolution at Ayala Corporation, a venerable seventh-generation conglomerate boasting over 190 years of history.
Under the leadership of Jaime Augusto Zobel de Ayala (Jaza) and Fernando Zobel de Ayala, Ayala Group became a shining example of corporate governance, stewardship, and social accountability. Yet what truly sets them apart is their thoughtful preparation for leadership succession beyond themselves.
In 2021, Jaza formally handed over the mantle of CEO to Fernando, creating a clear path for stakeholders. Then, in a strategic move in 2022, the brothers revealed a movement toward professional, non-family leadership, appointing Cezar Consing as the CEO of Ayala Corp. This strategic shift reflects Ayala's long-standing stance: that the most qualified person, regardless of their familial ties, should lead.
But this wasn't a retreat from family involvement. It was a smart transition. Whilst the seventh generation took up stewardship roles, the eighth generation quietly took their places-not through entitlement, but through diligence and proven competence.
Today, Mariana stands as the Executive Director of Ayala Corp. and Senior Vice President at Ayala Land, overseeing critical operations like Ayala Malls, Ayala Land Offices, and Ayala Land Hotels & Resorts. Her leadership has played a vital role in advancing the company's leasing and hospitality sectors.
Her brother, Jaime Alfonso, leads AC Mobility (formerly AC Motors), Ayala Group's mobility platform encompassing automotive distribution, dealership, and electric vehicle infrastructure. He also serves on various boards, including Globe Telecom, ACEN Corp., AC Industrials, Isuzu Philippines, and BPI Capital Corp., among others.
This multilayered transition from Jaza and Fernando to professional leadership, followed by the gradual emergence of the 8th generation, illustrates the principle of relinquishing control while emphasizing continuity.
In Ayala's case, legacy isn't being frozen in place. It's evolving and growing with the future.
Time for the Builder to Exit Stage Left
This summer, it's your turn. It's time to:
- Formalize titles and transitions-not secretly, but openly, with grace and clarity.
- Allow your successors to make tough decisions-even if you'd choose differently.
- Be available for advice, not orders.
Your goal now is to become the voice whispering wisdom in the next room-the one they might seek for guidance but not one they fear will overthrow them. Let your influence become a remarkable presence, not a suffocating grip.
Governance: The Pillar of Values
Without your direct leadership, what safeguards your mission? Governance.
This is the summer to appraise your legacy's foundations:
• Inspect the Board of Directors: Is it functional or symbolic?• Examine the Family Council: Does it mitigate conflicts or aggravate them?• Review the Family Constitution and Shareholder Agreements: Are they implemented or disregarded? Are they still relevant?
Governance isn't a one-time installation. It must adapt alongside new leaders. Personalities might change, but governance ensures shared purpose endures.
The W+B Family Governance Leadership Masterclass: Securing Your Legacy for Generations
In response to the ever-growing demand for direction and clarity within family-owned enterprises, the W+B Family Governance Leadership Masterclass returns for its second edition in May 21 and 24, with graduations in Cebu, Manila, and Iloilo (dates TBD). This three-day, immersive program is designed to help participants discover tailored solutions to their most pressing challenges while equipping them with the essential knowledge and skills for long-term success. Through a combination of virtual sessions and an in-person graduation event, the Masterclass will guide participants in:
• Exploring the fundamentals of family business governance• Developing strategies for cultivating a harmonious family culture• Mastering succession planning and leadership development
Take the first step in securing your family business legacy. Seats are limited, so snag your spot now by calling 09173247216 or email [email protected]. Look for Julia for an introduction!
- The Zobel de Ayala transition serves as a testament to Ayala Corporation's commitment to effective succession planning and institutional continuity.
- The Ayala Group, under the leadership of Jaime Augusto Zobel de Ayala and Fernando Zobel de Ayala, has demonstrated excellence in corporate governance, stewardship, and social accountability.
- The brothers' strategic move in 2022, appointing Cezar Consing as the CEO of Ayala Corp, marks a shift towards professional, non-family leadership while maintaining family involvement.
- Mariana, a member of the 8th generation, has taken on significant roles in Ayala Corp and Ayala Land, contributing to the growth of the leasing and hospitality sectors.
- The transition from Jaza and Fernando to professional leadership and the gradual emergence of the 8th generation demonstrates the importance of relinquishing control for continuity in family-owned businesses.
- In order to secure a family business' legacy, it's crucial to establish strong governance, such as a functional Board of Directors, an effective Family Council, and a relevant Family Constitution and Shareholder Agreements.
- The W+B Family Governance Leadership Masterclass offers solutions to family-owned enterprises' challenges and equips participants with the knowledge and skills for long-term success. This three-day program, held in Cebu, Manila, and Iloilo, covers topics like family business governance, cultivating family culture, and succession planning.
