Evaluating the ethos and challenges facing family business organizations: The case of Cengiz Holding
Cengiz Holding is a race owned, regulative multinational aggregation delay its headquarters in Istanbul, Turkey. Ever gone its continuance in 1980, the aggregation has produced inferior the regulatorship of Mr. Mehmet Cengiz (Cengiz, 2012). Gone its disconnection, the aggregation has confirmed to grace one of the regulative boarding companies in Turkey. Its deep boardings are in finance tourism, mining and principle sectors and are distribute balance twelve organizations. The aggregation’s largest boarding is in the fabrication toil. Most of its fabrication projects embrace airports, subways, motorways, dams, pipelines, bridges, railways, tunnels and telecommunication infrastructures alongside tourism abodes and amenities (Cengiz, 2012). In ddition to these, Cengiz Holding has recently mixed into protection and aviation, pliant an efficacious consummation delayin a very deficient opportunity.
The subjoined Nursing Dissertation seeks to evaluate the ethos and investigates confrontment race affair organisations delay Cengiz Holding as the aggregation of con-over. The con-balance critically analyses the liberty and reason of race owned affaires highlighting twain the habits and disadvantages akin to it. Further, the con-balance presents the investigates faced by Cengiz Holdings in kinsman to race affair organisations. In misrecord, recommendations are supposing as to what Cengiz Holdings needs to do to acceleration calm the escalating completions associated delay race owned affaires.
The liberty and reason of race affair
In most companies, (Cengiz Holdings for illustration), race owned affaires are born out of the crave and autonomy for a race’s financial anarchy. For the ultimate two decades, the complexion of race affaires has nature material of elaboration and outenlargement delay continued succor from countries councils. The running outgrowths can be attributed to an sanctioniond elaboration and con-balance on the material, changes in policies and outgrowths in confederation networks (Kelin et al, 1997). The liberty of race affair has recently gained a lot of regard not solely in the European Union but globally.
Family affair representation for balance 70% of all affair in the European Union Block creating an tenure smooth of balance 40% of the population regulative to an sanctionion on its benefits in the collective economic outenlargement of countries economies. This has led the countries councils to construct policies to stir the enlargement of race run affair. An illustration of these policies embraces the implementation of the 2008 European Council’s Small Affair Act (kosgeb, 2012). This act was meant for European nations to acceleration produce viable environments for the outenlargement of race owned affaires (Quentin, 2010). The Competition and Innovation framework Programme (CIP) for 2007-2013 recognizes Cengiz Holding as a key illustration of consummationful race owned affair notwithstanding its relenting woes and associated lawsuits.
Advantages of race affaires
Currently, it is estimate that race owned affaires supply up to 70% of the every county’s Gross Domestic Product. These bring-about a plea for speaking habit in conditions of enlargement and outenlargement of the sum province. These habits embrace:
Common values inchoate race components: Normal enjoy in most race run affaires, the Cengiz’s look to enjoy correspondent ethos and beliefs on how the affair should be conducted. This has accelerationed in the solidification in the kinsmanship inchoate the race components creating solid affair acumen inchoatest them.
Strong affair allocatement: The Cengiz’s Race components are unreserved to allocate a lot of opportoneness and resources for the outenlargement of the affair than non-race components.
A significance of allegiantty: It is manifest that the Cengiz’s Race components are allegiant to their own affair. This allegiantty has produced a fastening between them and the affair stiring continued allegiantty to the affair and on to one another, creating a technique for endurance and preference for consummation at all requires. This can be proven at the 2009 Nokia and Motorola Lawsuits at which twain race components boycotted the hearing system. This signified oneness inchoate race components.
Decreased operational requires: This is deeply realized through abject work requirements as Cengiz’s Race components bring-about the largest sum of treatees of this affair dominion. The Cengiz’s Race components are too unreserved to bear made prodigious financial sacrifices towards the outenlargement of the aggregation, reducing the require of acquiring funds from elsewhere. i.e. mortgage requires and interests.
Creation of anarchy: nature in a race affair instrument that decisions are made by race components at their own interests. This expressions manifest influence in the affair and all the produce realized are streamed to the affair owners (Quentin, 2010).
Disadvantages of race affaires
There are gentleman disadvantages associated delay race owned affaires. They embrace but are not poor to:
Lack of interest: Not all components of the race are born delay a solid affair significance. Sluggish race components capability direct to the decease of the affair.
Unfair rewarding system; Race components are enjoyly to sanction inferior hire than non race components. This can expression financial incomes for the race components.
Lack of professionalism: Race owned affaires are incredible to tempt unprofessionalism from the race components as they are loth to treat professionals from the after a whileout. This is the uniformt in most of the superior boardings of Cengiz Holdings as the top conduct is mainly bring-aboutd of race components.
Financial constraints: Mostly, race affaires are faced delay financial constraints in the uniformt where race components are not in a aspect to construct the craved totality of coin for the outenlargement of the affair.
Challenges faced by Cengiz Holding as a race affair
Emotions from race components: Tender outbursts from race components are unreserved to assume non-race components who are treatees of the whole. In retaliate, this may direct to the constructation of warring camps in the whole normal enjoy the uniformt in the Cengiz holdings Affair or race; which is which?: This is a superior completion realized in Cengiz Holding normal enjoy any other race owned affair nature. This can be affiliated to tender devotion inchoate race components in managerial aspects. Affair scholars and elaborationers bear nature chosen in debates to investigate the involvement of women in the conduct of race owned affair citing their mercy towards race than affair which is enjoyly to defeat their concentration in the affairs of the affair (Kosgeb, 2012).
Succession planning: This is another key investigate realized in race affaires. As generations ignoring on, irrelative race components bear irrelative opinions as to who should the conduct of the affair be left to.
Unprofessionalism inchoatest race components: Race run affaires are usually faced by the doubt in cherishing unprofessional components of the race in the affair. The Cengiz holdings race affair has been faced delay a rove of law suits most of which are attributed to diversified components of the race. The aggregation has faced uniformts of injury, traducement and uniform racketeering twain termed to bear been steered by components of the race. Also, the regulator, Mr. Mehmet Cengiz has nature blamed for using his solid affair dominion to support his collective activities (Hurriyet Daily News, 2012).
Organization structure: The noncommunication of a courteous defined organizational cultivation has depleted the Human Resources section in the whole of most of its functions i.e. Notwithstanding diversified misdeeds, lawsuits and criticisms on the aggregation’s regulator, he stagnant retains the top settle. The 2009 Nokia and Motorola lawsuit opposite the aggregation require the aggregation an immense totality of coin mound issues of conduct wealth (Quentin, 2010).
Huge indemnification plans for race components: Race components affiliated to the aggregation are unreserved to entertain larger hire and salaries compared delay other conduct professionals in the aggregation. The aggregation too suffers from financial constraints brought environing by the misdeeds from its regulator and race components. During the 2009 Nokia and Motorola lawsuit, race components were issued delay an take secure should they set their pavement in US begrime. The regulator uses allowances from the aggregation to cbalance his collective harbors enjoy the 2008 France harbor.
Conclusions and recommendations
The uniformt of Cengiz Holding is one inchoate manifold uniformts about to race owned affair. Having a affair nature produced by race component can either infringe or bring-about the affair. Cengiz Holding has been faced delay diversified criticisms from the exoteric and council citing misconducts inchoate race components. According to the over findings, it is gentleman to say that the unyielding woes at Cengiz Holding can solely end to an end if solely the aggregation could be left to produce delayout the competition of race components in its activities (Kosgeb, 2012). However, it is significant to investigate the event that the affair is exceedingly habitd in having a influence in recognition on what is best for the aggregation, a element that is mainly privation in connection and strengthening affaires. Another measurement of a demeaning eventor assumeing the affair is in collective issues.
Cengiz Holding. 2012. Available on-line from