How to Keep Your Family Business “Green and Growing” Presentation by Jim Gordon, CEO of Gordon Food Service, at the December 2012 Stevens Center for Family Business Meeting

Gordon Food Service is the largest family-owned food distributorship in North America. It is

recognized by Forbes Magazine as one of the best family businesses in the U.S.

115 year old, Michigan-based family business Gordon Food Service has

earned success by using change to drive growth.

Head change agent Jim Gordon, CEO and fourth generation in the family

business, says “we know we are either green and growing, or ripe and rotting.”

From “everyone is important” to “war-room mentality,” GFS builds its business

on its Cornerstone Values, while also encouraging fearless change.

Gordon says his father and uncle, Paul Gordon and John Gordon, did a masterful job of stepping

back and saying it is the next generation’s turn. They wrote a letter of wishes for the next generation,

not rules, but a document of intentions and hopes put in writing that has become a very personal

source of inspiration to the current leading generation.

Here are a few of Jim Gordon’s keys to growth in a family business:

• “We will only grow as a company if we grow individually.” Gordon says the previous leading

generation engrained the importance of personal growth in their culture. Today, GFS has talent

management software to help drive succession planning. If an employee wants to grow within

their company, leadership asks what are they doing about it. People need to drive their own

careers and the company is happy to provide resources to help them. Be leaders, not babysitters.

• “Tip the sacred cow.” GFS has been an organization not afraid of change, so they are used to

new ideas and concepts making it is easier to “tip the cow” when need be.

• “We believe strongly in having outside board members.” Great non-family talent as advisory board

members or employees has helped push their business forward. Gordon says their non-family

board members helped his company become more professional and more disciplined.

• “Have a structure in place.” Having a structure in place makes it especially helpful in running a

family business, Gordon said. Their structure is set up so a non-Gordon can be the company

leader, but it is ready if a next-generation leader comes in. A structure at the least prepares family

for roles as board members, if not as future CEO.

• “This business is not here to benefit the family. . . it’s here to benefit and serve customers.” By

making customer service their priority, it helps keep the company focused on growth.

Today the company has more than 156 Gordon Food Center Marketplace stores and there are

distribution centers from Florida to Canada. Working with the fifth generation in the business and

nearly 10,000 employees, GFS is looking to continued growth and opportunities while staying true to

their family culture and cornerstone values. Please visit gfs.com for more information.

If you are interested in the Stevens Center for Family Business or becoming a member, please visit

svsu.edu/stevenscenterforfamilybusiness or contact Associate Director Rejeana Heinrich at rrheinri@svsu.edu.