Dhanvantari Ayurvedic Private Limited: Challenges in Professionalization of a Family Business

Abstract

This case explores the challenges of professionalization for Dhanvantari Ayurvedic Private Limited (DAPL), a multigenerational family business in India striving for growth. DAPL, managed by Nirmal Gupta and his two sons, hired an external sales executive to increase sales. The executive was given complete independence to manage sales operations without any interference from the family. However, some of the executive’s decisions led to conflict with family managers and sales staff. Nirmal wanted the executive to remain with the company to achieve growth objectives, but discontent was brewing within the business regarding the executive’s actions. Nirmal was grappling with how to best deal with this situation, as his sons did not want the executive to stay, but family members did not have the expertise required to grow the business. The case invites students and family owner-managers to consider Nirmal’s dilemma and how they might address the challenge of growing and professionalizing the family business amid family and staff conflicts.