Family businesses form the backbone of the global economy and have therefore been the subject of increasing attention in management research. However, one often-underestimated aspect is the founder's persistent influence—a phenomenon we call 'the shadow of the founder'. Supervised by Professor Pedro Neves, my doctoral project explored this concept in depth through three complementary studies demonstrating how a company's founder continues to shape future generations long after their physical presence has faded.
First study: 'The persistence of the shadow'
Our initial qualitative study of 25 Portuguese family businesses revealed that the founder's influence extends beyond the first generation. In fact, their influence can extend for several decades and remain even after the founding family has left. One of the most interesting findings was the active role of employees in maintaining this legacy, showing that keeping the memory of the founder alive is the responsibility of everyone in the organization, not just the family.
Second study – Measuring the intangible
To better understand the nature of the founder's shadow, we developed and validated a measurement scale. Of the 154 potential indicators, we arrived at a final scale comprising 12 items organized into four dimensions. This tool opens up new avenues for research and provides family managers with a practical instrument for reflecting on the importance of legacy in their organization.
Third study: impacts on the present and future
Finally, we tested this scale in two quantitative studies involving 479 participants, thereby confirming its predictive value. The results showed that the founder's shadow is positively associated with fundamental attitudes and behaviors, such as organizational pride, creativity and employees' intention to leave the company.
Overall contribution
Together, these three studies demonstrate that the founder's shadow is a complex phenomenon of significant practical relevance. Rather than fading with time, it can serve as a strategic resource for preserving identity, strengthening cohesion and inspiring innovation within family businesses. However, it also represents a challenge: leaders who do not understand or respect this legacy risk generating resistance and loss of trust among stakeholders.
This research therefore makes a valuable contribution to management literature and family business practice by providing a conceptual framework and analytical tool to help understand how the past influences present decisions and future planning.
Liliana Dinis, Professor at CATÓLICA-LISBON