The Ties that Bind: Michael and Alvin Tien

Michael Tien (right) is the CEO of Atlas Sound & Vision. He has spent the past 28 years with the firm, which he restarted after the former company founded by his parents suffered. A firm believer of family business as a brand itself, he works alongside his younger brother Alvin (left), who is 16 years his junior.

1. Describe your working relationship with your brother.

Michael: Alvin and I have a great working relationship, even though I’m 16 years older than he is. He works alongside me in running the business, and as a founding member of the company he accords me respect as well. From the onset, it had been established that there would be no glass ceiling for any family member and, indeed non-family members. There is equal opportunity for all who are willing to work, contribute to the company, embody our core values, and deliver results. 

2. What are the pros and cons of working with a family member? 

Michael: Family firms are unique organisations because of the interactions between family members, the family, and the business. “Distinctive familiness” has been used as a notion to encompass these interactions and the consequent systemic synergies that could lead to competitive advantages. On the other hand, these same synergies can become a source of friction that leads to a breakdown in family ties and subsequently the business.

3. How does your working relationship affect your family dynamics? 

Michael: From the start, we agreed that business and family stay separate. For a family business to succeed, it must first be a strong family unit. We make it a point for the family to eat together every Sunday, and during these dinners we try not to bring up any business matters.

4. What’s one thing you found out about Alvin that you never noticed until you began working together?

Michael: It's interesting to see how my brother, who is an engineer by training, presents his plans for the business. He tends to approach business issues in a structured manner.

5. What are the rules for running a successful family business while maintaining a strong family relationship? 

Michael: For us, the first rule is to ensure that we put in effort to spend quality time together as a family. We make it a point to have a family vacation every other year. Our last trip was to Club Med Hokkaido with my mother, Alvin and his wife, and my family.

The next rule is the need to define the roles of family members for both personal and business reasons. In our case we have a family council, and the roles are defined accordingly. Family members who are active and have a stake in the business not only have a say, but also voting rights according to number of shares owned. Those who don't have shares but are working in the business still have a say, but aren't entitled to voting rights (and are treated like employees within the business). Those who own shares but are inactive in the business are seen as minority shareholders who can vote, but don't have a say in the business. 

6. What’s the biggest lesson you picked up from Alvin in the process of working together? 

Michael: I believe there is no end to learning opportunities. Even though I'm a founding partner of Atlas Sound & Vision, I've had the opportunity to pick up a lesson or two from my brother. Being in a family business also means that I've had to sacrifice certain privileges so I could commit to the business and ensure its success.

For me, that trade-off came in the form of forgoing the opportunity to pursue higher education. On hindsight, it was a great move as I managed to stabilise the business and give my brother Alvin the time to complete his Triple E engineering course at NTU. But learning never stops, so in 2009, both my brother and I enrolled into an MBA course. Now, I can say that I've graduated from both the "University of Life" and Manchester Business School.