Succession Planning and Business Sustainability in Family-Owned Businesses: A Case of Ngong Hills Hotel, Nairobi, Kenya
Abstract
Succession planning is a vital driver of business continuity and sustainability, particularly in family-owned hotels where leadership transitions often determine long-term survival. Despite its importance, there is limited empirical evidence from the Kenyan hospitality sector, where family businesses dominate but governance structures remain largely informal. This study examined the relationship between succession planning and business sustainability in Ngong Hills Hotel, a family-owned business in Nairobi. A descriptive case study design was adopted. Data was collected from 34 respondents, including directors, departmental managers, employees, and external stakeholders. Data collection methods included structured questionnaires, interviews, and observations. Findings revealed a strong association between succession planning and business sustainability (Mean = 4.15, SD = 0.52; r = 0.98). Most respondents agreed that succession planning supported continuity, employee morale, and reputation, although gaps were noted in documentation and youth involvement. The study concluded that structured succession planning is critical for sustaining family-owned hotels and recommends mentorship programs, formalised succession policies, and integration of younger family members into leadership pipelines
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Copyright (c) 2025 Peris Wanjiku, Vincent Odhiambo Ongore, PhD, Evans Vidija Sagwa, PhD
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