Last month I traveled to Ireland to catch-up with cousins I hadn’t seen in four years thanks to pandemic restrictions. We had great reunions, filled with epic evenings of talk and drink. Though I stayed up most nights past 1am chatting away, I didn’t feel worse for wear, I felt enlivened and happy. How could one not, being with people who you care for so deeply, and who return the feeling. Only one thing bothered me. Family kept heaping praise on my father for building something from nothing, rising from the tenements to success, the hero of the first generation born in America. I allow it’s an amazing story. My father started our manufacturing company, diversified into industrial properties and constantly helped those in need of a lift.
What ate at me then? I succeeded my father as CEO of Emerald Packaging in 2002 when myself and my siblings took over, and have run the real estate side since his death. I’ve had to deal with what he didn’t do, including build an estate plan and property development. The estate plan itself is for the ages, designed to build on what he bought as opposed to dissipate it. It was much the same over at the company. He built our family packaging business, used what it generated to invest in real estate, but by the time I took over we were in trouble. Declining sales and profits, poor machinery and alienated bank. I sweated with our team to get it turned around and had it roaring by 2006, growing 5x over the next few years. That took it’s own form of guts.
So I felt diminished as folks extolled my father and didn’t note the next generation as well. It’s a rare story for the second generation to grow what it inherited. Only about 30% of family businesses survive into the second generation according to The Family Firm Institute. And I know he could only take his creations so far, and required others to take them forward. But as the trip rolled along I came to realize he does hold a special place. He’s the immigrant’s child success story, which always holds a place in family lore. He really did create from scratch. And he rightly has a special place, setting an example now lived across the family-tree in succeeding generations, both here and in Ireland.
He also taught good lessons to help take things forward. Dad pulled back from the business when younger blood was willing to take the risks needed. He handed over opportunity, too. In failing to craft an estate plan, he gave me a chance to learn how to do so, and in the process, put a solid foundation under his legacy. It’s an honor in its own way, building upon what he built for the next generations. I’m also faced with many of the same challenges that he confronted at a later age, and his example helps. I passed along more authority in the business by appointing a president, recognizing that my energies are now divided, and my drive a bit diminished. New blood was needed. I left Ireland with a renewed appreciation for my father. And a better understanding of my role in the family story. I couldn’t have built what he did. I’m not wired that way. But I’ve built on it as opposed to destroying it, which many successors fail to do.
By coincidence I saw a wonderful play in London called “The Lehman Trilogy” which told the story of how the family built the investment firm over three generations, which non-family later tanked. It’s a great story of building and renewing, how pace in business increases exponentially with growth, and familial successions done right. I knew the hard work of the second and third generations to grow the company. But you had to bow to the guts of the first, who created something they couldn’t have imagined on the boat across. A reminder that each generation plays a role, building on those who came before.
Kevin, thanks for sharing reflections about your dad and your place in this wonderful immigrant story that continues to unfold and fulfil the American dream. Your dad was a mentor of mine. He, along with your mom, were great friends of Holy Names University. They were also stewards of many other wonderful institutions in the Diocese of Oakland. In him (them) I learned the importance of servant leadership, stewardship, faith and family, fundraising, and paying it forward.
Subsequently, as your and my families worshiped together, and our kids were at times at the same parochial school, I also was able to see and experience these same values in you; working together at Corpus Christi Piedmont and seeing you active in the Diocese. Your servant-leadership and stewardship are among your dad’s lasting legacies in you.
And given the formidable children you’ve launched into the world, I’m confident that your dad’s spirit will continue.
Such a great story & so true. When I first worked at Tharco, it was family owned, I believe in the 2nd generation as well. David Atchinson (son) ran it well and really cared about his employees, just as Emerald has. Then the family decided to sell it to an investment company & the entire soul of the company changed…employees became numbers & moral slumped. I left shortly after to join Emerald, so glad I did! So as you said, family made it successful & non family made it tank – thus Tharco is no more. Decades of hard work and ‘poof’ gone! I for one am so glad to have joined the Emerald family & I agree – your dad is smiling down at all the decisions you’ve made to make Emerald the success it is today. And kudos to Pallavi as well, appointing her President is a smart choice!
Kevin, I love this story. Your dad started an amazing company but you grew it into what it is today. And it will continue to grow with the people you have in place. A job well done to Senior and yourself. And lets not forget the Emerald Family.
Miss you all.
We are where we are because of the Emerald family, no doubt! Thanks Sharon. And you’re missed too….
Interesting take Kevin, I had not known the story of Emerald, but can appreciate it. It would be interesting to know how your father sees it, I’m sure very happy and proud. Cheers to the next generation!
Joe, a day or two before he died he told me that he thought the place had grown beyond what he ever imagined. And job well done. So got that. We were always a little competitive with each other, but always found a way to make sure it never went to far. Thanks for the comment, one son to the other.
Kevin so glad to have read your story about you and the mounds of tasks that were in front of you and your families legacy. I’m honored to knowning all that you have shared here. Glad to be one of your vendor partners in this business. Here’s to many more years of success 🍻.
Stu, thanks for the comment. Sorry I misplaced my reply to Joe! Better to do things on computer than iphone. At least for my hands!
Great story. Over my years I have seen many companies and families struggle with business transition across generations. Your comments synthesize many of the key challenges and you all should be proud of the success of the transition and growth not only for the family but for the work family as well(your employees) thank you for sharing
Key take away- the ability to know when to turn over responsibilities & task to the next generation (level). Setting an example & trusting that their knowledge will move the organization in a potentially new & positive direction. Trust! Acknowledging that you don’t hold all the knowledge/skills & it is time to pass the torch. Leadership requires building the next generation.
Senior was a tough old coot but I loved him dearly. I use to watch you when he would sit in your office and you would have “talks”. You were always pretty quiet but I would see you listening intently. You learned so much from him but applied your own thoughts to running the ship and you did a great job. I know he was so proud of you giving up your dreams and taking over the business. You have done everything right in my opinion and the Company is doing great under your leadership. Your Dad is looking down and smiling. PS. Love your blogs
Thanks, Pat. Miss you and your willingness to speak-up and that sense of humor, too often forgotten as one of the key’s to life 🙂