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Barcelona, September 07th, 2020.- The Catalan Association of Family Businesses (ASCEF) has asked the Spanish government to expand temporary lay-offs (known as ERTEs in Spanish) to all economic sectors, not just those regarded as having been most affected by the pandemic, such as tourism.

In the view of ASCEF’s President, Amadeu Jori, this extension “should include all the companies that require it and continue through 2021 so that activity can be maintained. The problem is not only restrictions on movement or limitations on capacity and schedules, but the slowdown in the economy and the reduction in consumption”. For ASCEF, it is not a good solution for ‘outbreak’ ERTEs to only be applied to companies that operate in a city placed under lockdown or that are subject to restrictions.

Given this situation, it is important for the proposals to be realised and an agreement reached as quickly as possible. “There are many medium or small family businesses that are less resilient, so their survival may depend on their obtaining this extension of aid,” Mr Jori adds. The ASCEF President believes family businesses remain committed to employment and the region “but the situation is reaching breaking point and there is great uncertainty about what will happen in the coming months.“

Family businesses in Catalonia account for 88.3% of all private companies, contribute 69% of the Gross Value Added (GVA) and generate 76% of private jobs. They view it as necessary to maintain the same conditions for ERTEs, together with subsidies for Social Security contributions.

In addition, ASCEF has also called on the government to make large improvements in efficiency when paying workers, avoiding delays and remedying those that currently exist.

The members of the Catalan Association of Family Businesses (ASCEF) are an example of the employers and employees all over Spain who are promoting the #DamosLaCara (We show our resolve) movement. This is an initiative that demonstrates the commitment of family businesses to overcoming the present health and economic crisis, highlighting their contribution to employment and economic recovery. Puig, a century-old fashion and fragrance company, is one.

“One of the characteristics that defines a family business is its time-based approach“, explains Marc Puig, the company’s CEO. “What drives us is: what do we have to do now for this to remain sustainable so we can leave a legacy to the next generation? But not just a sustainable company, but a sustainable world: I don’t want to ruin the territory where it will have to take place”, he adds.

Puig, which is today under its third generation of owners, was one of ASCEF’s members to have collaborated during the pandemic and put itself at the service of society. The company adapted its production line in Vacarisses to make gowns and masks and also launched a hand cleansing gel, as María Teresa Valls, the Manager of the factories in Barcelona and Vacarisses, explains: “We all work together and have contributed with a donation of 500,000 gels to hospitals and care homes”.

“We were really moved by a video made by our colleagues who had to stop working at the Alcalá plant. They referred to those of us who kept working as ‘heroes’. It was also very moving when we saw the first bottles of gels leave the production line,” Ms Valls says. “Just remembering it makes me feel emotional again.”

Mr Puig recalls that “one of the first shipments that my grandfather sent out was sunk by a German submarine, and he started again from scratch; but then came Spanish flu, two world wars and the Spanish Civil War. That’s why when we think that we have a problem with the coronavirus, I remember that he had it much worse and survived; we will do no less.”

“But now we are faced with an economic crisis and we can’t propose a way out without taking the business fabric into account. And the business fabric in Spain involves family businesses”, Mr Puig says. “We have shown our resolve and we will keep doing so to drive this country forward.”

The #DamosLaCara (We show our resolve) platform is a citizens’ movement promoted by employees and employers from all over Spain. It highlights the commitment of employees and employers to society as a whole and publicises the endeavour and important work undertaken by family businesses in the country through their economic and social contributions.

University Chairs in Family Business are aimed at fostering and promoting the creation of businesses and entrepreneurship as well as knowledge management. They also act to bring universities closer to the reality of Catalonia’s business fabric. For this reason, the current situation resulting from the Covid-19 pandemic will have a bearing on the forthcoming 2020-21 academic year.

Fernando Álvarez, the Deputy Director of the Chair in Family Business and Business Creation at the Abat Oliba CEU University, says that “among many other types of content, it will be necessary to explain the new forms of business management, new needs for leadership, changes in the globalisation model and value chains.”

In addition, Mr Álvarez believes that in 2020-21, University Chairs in Family Business should explain “the importance of concepts that have become essential, such as trust, sustainability or responsibility.”

In his opinion, they should also address “the need to master the instruments of public policy assessment that improve their management and efficiency.”

Looking forward, Mr Álvarez says that “family businesses represent most of the values that society requires from the business fabric, which is a very great responsibility but also a challenge that I am sure they will gladly accept“.

“There are many examples of family businesses that have gone out of their way to overcome the unique circumstances we have experienced, generously and selflessly contributing their knowledge and resources and demonstrating their commitment to the environment. We must continue to highlight the distinguishing and necessary elements of family businesses”.

In Catalonia, the Catalan Association of Family Businesses (ASCEF) sponsors five Chairs: at the University of Barcelona, the University of Girona, the University of Lleida, the International University of Catalonia and the Abat Oliba CEU University. More than 25 teachers are involved in these Chairs, the first of which began in 1998, while over 400 students have already received training.

Employees and employers throughout Spain are promoting the #DamosLaCara (We show our resolve) movement, an initiative that demonstrates the commitment of family businesses to overcome the present health and economic crisis on the basis of their contribution to employment and economic recovery. The members of the Catalan Association of Family Businesses (ASCEF) are participating and collaborating with this platform, as is the case of TOUS, a global jewellery brand that boasts a presence in more than 50 countries and has over 700 stores.

Now under its third generation of owners, TOUS is celebrating its centenary this year in the shadow of Covid-19, having collaborated and assisted the health system during the most difficult period of the pandemic: “We adapted the production equipment in our factory where we have laser machines and began to make the small components needed for the ventilators required in hospitals”, explains Rosa Tous, the company’s corporate vice president.

In addition, the company re-routed its Mother’s Day campaign, which was held in full lockdown, “out of consideration for those giving birth at this time.” “What we did was to provide acknowledgement of each of these mothers so that once the pandemic is over they will be able to visit a TOUS shop to collect their gift,” Ms Tous explains. “We registered over 20,000 mothers, who have thanked us very much for this initiative,” she adds.

Looking forward, Ms Tous adds that “My hope is that the reputation of companies at this time has changed. And that society sees employers in a different light”.

TOUS’s corporate vice president says that “we have always been keenly interested in jewellery in our family, even when we were little girls. Perhaps this explains why, when we grew up, we had no hesitation in continuing with the family business”.

“There is a set of values that are very much part of the family: perseverance, endeavour, outside-the-box thinking, passion, teamwork, creativity. These are values that our parents have passed on to us and that we try to convey them to the rest of the company too”, she says.

The #DamosLaCara (We show our resolve) platform is a citizens’ movement promoted by employees and employers from all over Spain. It highlights the commitment of employees and employers to society as a whole and publicises the endeavour and important work undertaken by family businesses in the country through their economic and social contributions.

The member companies of the Catalan Association of Family Businesses (ASCEF) are among the group of employees and employers in Spain promoting the #DamosLaCara (We show our resolve) movement. Simon, a company that has been specialising in lighting technology solutions since 1916, is just one example of this collaboration. Esteban Bretcha, its CEO, and Emili Trunica, Chief Human Resources Officer, explain in a video how they have experienced the situation resulting from the health and economic crisis.

“We have been thinking about making good use of this time by organising ourselves internally. This virus, this crisis, will not last forever and when we emerge from it we will need to be fully ready”, Mr Bretcha explains. “We regarded it as very important to stay calm because this enables us to convey confidence to the whole team in the future.”

The general manager of the century-old family business, which is now under its fourth generation of owners, explains that “at the beginning the management met and decided to make a list of those day-to-day things we had pending and which we never had time for”. “This gave meaning to time, to our people, who understood that they were doing something useful; and now that everything is starting to move again we find that we are better prepared”, Mr Bretcha adds.

Meanwhile, Mr Tunica identifies the issues that affect employees and their day-to-day routines more directly: “The priority has always been to protect everyone’s health as well as to support them in coping with this tough situation. We created an exclusive portal on the coronavirus which, in addition to explaining what was happening, enabled employees to share experiences on support, innovation and training; and this united us even more”.

“We have supported over 400 employees in the production centres who, by showing a high level of commitment, have ensured each day that our products have reached customers and especially the field hospitals that have been created“, Mr Tunica continues.

“I want to highlight all those examples of commitment, solidarity, teamwork and adaptation that our employees have provided over these months.”

The #DamosLaCara (We show our resolve) platform is a citizens’ movement promoted by employees and employers from all over Spain. It demonstrates the commitment of employees and employers to society as a whole and publicises the endeavour and important work undertaken by family businesses in the country through their economic and social contributions.

The Covid-19 pandemic has impacted the hotel sector considerably, not only as a result of having to close during the months of lockdown but also due to the current slowdown in demand. A number of reports have indicated that recovery will depend mainly on domestic tourism and suggested that the choice of hotel by those who can take holidays will be based on their confidence in the establishment’s health and hygiene measures and the quality of its service.

Grup Bonanova is a holding company presided by Mariano Ganduxer and whose brands are City Hotels Hispania (CHH) and Hoteles Atenea. An ASCEF member, it is a good example of how to adapt to such difficult circumstances. “We have developed a rigorous opening protocol that includes the new procedures for guaranteeing the health and safety of employees and customers. This has involved more frequent cleaning and the use of specific approved products; also less textile decoration, the removal of paper (menus, information in rooms etc.), the introduction of new formulas for breakfasts and online check-in and check-out, among other measures”, explains Diana Ganduxer, the co-President of the Group.

This new way of organising hotels counts with the collaboration of customers “as everyone is aware that this is a unique situation that requires exceptional safety and hygiene measures for the benefit of all. This effort on our part gives our customers peace of mind and is the key to being competitive,” Ms Ganduxer explains.

Despite all this and a confidence in the future, the sector’s prospects remain uncertain. “At present, the occupancies forecast for this summer are no greater than 30% and the prices are worse than in the 2008 crisis. However, despite all the uncertainty surrounding us, as a family business and economic driving force we have partially resumed activity because we want to be part of the recovery and convey confidence to our teams”, she adds.

The Covid-19 pandemic has led to a crisis in which family businesses will play a key role given their importance in the economy. They account for 88% of all private companies, contribute 69% of Gross Added Value (GAV) and generate 76% of private jobs.

“The State of Alarm highlighted the importance of empowering, nurturing and supporting responsible companies, which generate environments of trust, are committed to employment and the environment, and are aimed at business continuity,” explains Fernando Álvarez, Deputy Director of the Chair in Family Business and Business Creation at the Abat Oliba CEU University, one of the five University Chairs sponsored by the ASCEF in Catalonia. “It is no coincidence that these are the most common characteristics of family businesses.”

With the State of Alarm having concluded, but with the Covid-19 situation prevailing, Mr Álvarez says that “the key to business continuity will be to address the uncertain future that awaits us, with the ability to convey to stakeholders a sense of confidence and control of the situation”.

Mr Álvarez adds that companies must know how to “generate and communicate experiences to consumers; have committed work teams; and possess sufficient liquidity for the remainder of the year, with reduced borrowing or without the need to generate new borrowing”.

Given the current situation, it will also be essential for companies to possess “the ability to adapt to circumstances and the regulatory changes introduced, through management with a visionary, empathetic leadership.”

In this situation, Mr Álvarez believes that “universities must continue to generate and share knowledge aimed at improving society and train new generations in how to make decisions in uncertain situations.”

“The important role that companies play in job creation and social cohesion should be highlighted; together with the essential role assigned to the public sector in establishing the rules of the game that achieve competitive and inclusive growth of its economy. The public and the private sector need each other and should improve their understanding”.

“The future depends on the need to promote a responsible and sustainable business fabric, which provides answers to an increasingly aware and demanding consumer. We are facing a paradigm shift that needs to receive a response and universities have much to say in this regard”, Mr Álvarez concludes.

Amat Immobiliaris is a family business with a solid footing in the property sector. Backed by over 70 years’ experience and now under its third generation of owners, it is also one of the driving forces behind the #DamosLaCara (We show our resolve) movement. The President of the property group member of the Catalan Association of Family Business (ASCEF), Imma Amat, has used a video to explain the company’s experience of the Covid-19 situation.

“Our strategic plan envisaged that demand would grow for over two years,” Ms Amat says, “and in 24 hours you discover that the market has gone to zero. We decided not to let anyone leave, not to reduce the sales teams; we took risks because we were able to do so and because we thought that this was how we would carve out a better future for ourselves”.

“We should thank the team because they have made a great effort for hours and done so safely too. During this time, we were able to do sixty title deeds; and it’s possible to write a short novel on each one: persuading the bank to come, the clients etc. It has been a real saga”, explains Ms Amat, who acknowledges that the current period in which restrictions are being eased “has surprised us a bit because there is more activity than we imagined“.

The story of Amat Immobiliaris, narrated by its President, is that of a company that has had to overcome adverse situations from the outset, such as having a woman in charge: “My mother was very young, and female. For many years, she renounced her name: she signed as “Amat’s Widow”. We have learned how difficult it is to be a woman in a highly male-dominated sector. For this reason, and to demonstrate that women can succeed in the real estate sector, we decided to hire only women and we implemented a lot of conciliation measures; and just before the Parity Law came into force, and we started to hire men, we had more than 50 women,” she explains to #DamosLaCara.

The #DamosLaCara (We show our resolve) platform is a citizens’ movement promoted by employees and employers from all over Spain. It demonstrates the commitment of employees and employers to society as a whole and publicises the endeavour and important work undertaken by family businesses in the country through their economic and social contributions.

The member companies of the Catalan Association of Family Businesses (ASCEF) are part of the group of employees and employers in Spain promoting the #DamosLaCara (We show our resolve) movement. Ausa is a global manufacturer of compact off-road commercial vehicles for loading and moving materials. Boasting more than 60 years of experience, it is another example of this collaboration. CEO Ramon Carbonell has used a video to explain how the company has been affected by the situation produced by the health and economic crisis.

“We had to close due to force majeure since we were unable to do any production because we did not receive the parts,” Mr Carbonell says. “However, the R&D department has been able to work so that while the factory was closed, work has continued here on new product and that means it will reach the market as soon as possible.” The Ausa CEO has underlined this department’s importance because “a company that exports 80% in international markets, is one that either innovates or dies“.

Mr Carbonell adds that “nobody could have forged ahead alone; we have had to support each other a lot. We all have shortcomings and we are all imperfect but together we are much better.”

“Teleworking, in specific cases, may continue to be a good tool,” he says. “But it’s also true that there is a lot of magic in the corridors, where things come into your head and you see someone and say ‘Hey, I had to tell you about this; how would you do it?’ You get more of this collaboration when you are face to face”.

The Ausa CEO adds that “the best moment of the crisis was the day we started up the factory again because there were signs that the supply chain was about to start and then we witnessed a demonstration of a great capacity for commitment from the people here”. Looking to the immediate future, “we are improving each day; we are exceeding all the forecasts we made”.

The #DamosLaCara (We show our resolve) platform is a citizens’ movement promoted by employees and employers from all over Spain. It demonstrates the commitment of employees and employers to society as a whole and publicises the endeavour and important work undertaken by family businesses in the country through their economic and social contributions.

Xavier Ferràs, Professor of Operations Management, Innovation and Data Sciences at ESADE, gave a virtual lecture on June 26 to the members of the Forum of the Catalan Association of Family Business (ASCEF) under the title “Apocalypse or oasis? Opportunities in an uncertain world. The post-pandemic path”. In this, he discussed industry, innovation and competitiveness in the post-Covid era and also offered advice for family businesses faced with the new reality.

“With COVID-19, nothing new will happen but we will see an acceleration of many trends that were already incubating in the system,” Prof. Ferràs began. He described the pandemic as a “Sputnik moment”, referring to the United States’ response to the launch of the USSR’s satellite in 1958, in which it placed science and technology at the heart.

“Many things are happening in the scientific field that will make a big impact. Some are now highly embryonic but they will open up spectacular business fields,” the ESADE professor added at the conference for the ASCEF Forum.

Prof. Ferràs also stressed the importance of increasing investment in R+D+i, recalling that in the European Union “the target is an investment of 3% of the budget but in Catalonia it is now 1.5%. We have to double our investment, but doing the numbers is not that difficult, because the foundations have already been laid”.

“The future is about technological warfare. We do not have this awareness, but many countries, corporations, are building, guiding, generating around different technologies, such as Artificial Intelligence,” he added before warning that “Europe has no data strategy: our data is now in the hands of American companies”. In a world “where the China-US rivalry will intensify, the EU urgently needs to position itself in this bipolar world.”

Prof. Ferràs said that the COVID-19 pandemic will strengthen the technology industry as we have been placed in an increasingly digitised world: “The pandemic has made us realise how important it is to have some strategic industries, or strategic technologies, such as 3D printing.”

Prof. Ferràs also had a message for young Catalan entrepreneurs: “Your challenge is to ensure that Catalonia is at this ‘high-end’ level of competitiveness. With this, we can contemplate a welfare state that is also ‘high-end’“.

Prof. Ferràs concluded with some pieces of advice for family businesses faced with this new post-pandemic scenario: “It is important to prepare companies; they must be nimble in decision-making, attract and retain talent, and possess a certain innovation process”. He added that “it is important to protect and operate the ‘core business’ with a high level of excellence, but also to devote a small proportion to exploring the ecosystem in the long term, which may now be embryonic of the business model of the future“.

The lecture formed part of the Forum, the group within ASCEF that comprises over 190 members of business families of between 18 and 45 years of age. It aims to bring the Association closer to younger people, paying special attention to the issues that concern them.