Saturday, October 13, 2018

FAMILY BUSINESS SPECIAL .....Why a top boss won’t sugarcoat his mistakes


Why a top boss won’t sugarcoat his mistakes

Stephen Badger, chairman of Mars Inc, learnt more about running a family business after taking over the reins of the $35-billion empire

Stephen Badger is the great-grandson of Franklin Mars, the man who founded the chocolate giant, Mars Inc.
With some $35 billion in annual sales, Mars Inc is one of the biggest family-owned businesses in the world. But the family doesn’t just own the company. Some members play key roles. And one of them is Badger, who currently serves as the company’s chairman.
Badger has also worked as the global director of corporate affairs and served as the president of Seeds of Change, a Mars subsidiary that makes organic food. While all of his positions have come with their own challenges, Badger said that becoming the chairman was by far the most difficult role to move into.

A new dynamic
“The biggest challenge that I’ve had in my career was when the second of my uncles stepped off the board and I stepped into being chairman,” he said. “The difficulty in that is you are moving from a dynamic where you had two individuals who had run the business for over 40 years and were playing governance as well as an operational role in management in terms of running it.”
He added: “So all of a sudden, it was a significant shift in the dynamics of the board and in the dynamics of the family, in terms of really a generational transition.”
Badger said he was able to get through the transition by being open with his family and building a collective vision for what the company was trying to do.
But the experience also taught him one quality that helps a family business run smoothly — equality.
“The most important thing I’ve learned working for a family business is that everybody is equal as an individual,” Badger said. “It doesn’t mean that everybody’s opinion is what’s going to get implemented. But everybody’s opinion counts. And I think that is the way we run Mars.”

Learning from mistakes
During his career at the company, Badger said he has learned a lot about leadership. And when he reflects on his experience so far, he said there are two common business mistakes that he has made and that he cautions others against making.
“I think the biggest mistake classically, and that I certainly would have been guilty of ... is not listening to your gut when you know something isn’t right,” Badger said. “When we first launched into food products, I had a sensibility that the food products weren’t right. And you know what, lo and behold, it turned out to be true. So, I think trusting your gut is critical.”
The other mistake Badger cautioned against was not embracing trends quickly enough. “Somebody said the other day very few businesses fail for moving too quickly,” he said.
Badger said this is especially applicable to larger companies, but it’s also relevant for small businesses. “I think trusting your gut and moving at the right pace would probably be the two things I wish I’d done more of in my career,” he said.
businessinsider.in
ETP 3OCT18

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