Family business technology transformation 2026
The family business insights series
Family businesses are actively advancing their digital transformation by adopting technologies such as cloud computing, enterprise systems, artificial intelligence (AI), with nearly half developing or implementing technology strategies to enhance operations amid concerns about inadequate technology posing business risks.
The report highlights where adoption is happening, what is holding progress back, and how leaders are managing risk. It also shares real-world executive perspectives and practical takeaways to help family enterprises build digital maturity with a long-term view.
Nearly half (48%) of family businesses are currently either rolling out (41%) or developing (7%) a technology strategy to strengthen their operations. This comes as roughly half report they are only moderately (37%) or insufficiently (11%) invested in the operational technology they need to support their operations now and in the future, and 51% rank inadequate technology adoption as a moderate/high risk to their business.
Family businesses are adopting technology across a wide array of areas, with the most popular being in their operations (to streamline/automate processes), finance and accounting, IT, cybersecurity, and research and development functions. That said, their implementation is often described as “partial” rather than “full,” reflecting a cautious, gradual approach to digital transformation.
With an 86% adoption rate, AI technology is becoming robust and enterprise-wide. At the forefront of in-demand AI applications are process efficiency (40%), risk mitigation (39%), and customer relationship management (CRM) (39%).
The core challenges family businesses face when adopting new technology relates to market conditions (e.g., economic uncertainty, competition pressures), financial constraints, privacy concerns, and trust concerns with external vendors/consultants, with each ranking as a primary challenge among nearly a third of respondents.
Most family businesses report that their investment in technology has delivered value across a variety of fronts, such as improving efficiency (with 96% reporting moderate/significant value creation), productivity (95%), decision-making (95%), risk management (95%), competitiveness (94%), and cost savings (94%).
