After spending 13 years in the consumer packaged goods industry with Proctor & Gamble, Borden Foods and Eagle Family Foods, Richard T. Kiko Jr. struggled a bit when he rejoined the family business.
Russ Kiko Associates Inc. is an auction company that helps individuals and businesses convert property into cash through absolute
auction. When he returned in 2001, Kiko’s attempts to bring fresh
ideas and implement changes was met with resistance.
As the company’s CEO and the oldest son of the oldest son of the
founder — Richard’s grandfather Russell Kiko Sr. — Richard T. Kiko
Jr. was determined to incorporate the business practices he learned
outside into the third-generation company. However, the family was
reluctant to make the changes he proposed — they were content
with the way things had always been done.
Kiko had to convince them otherwise. After explaining the results
of doing things his way, he began to win over his family members.
Now they consider him an outside resource from the inside of the
family.
An example of this was when Kiko authorized the purchase of a
state-of-the-art color copier that enabled the company to produce its
circular materials in-house rather than outsourcing the work. At the
time, many thought the cash outlay was excessive, but Kiko showed
them what the company would save in the long run.
Kiko bases his decision-making on a three-pronged approach: operations, sales and marketing. No decision is made or strategy implemented without considering all three.
In order to improve employee loyalty and retention, Kiko implemented an employee stock ownership program. Keeping employees
happy is a priority.
Prior to Kiko’s rejoining the business, growth was stagnant and outward thinking and relationship building was nearly nonexistent.
Now, with his family’s support, Kiko has shifted the short-term
thinking of the founder’s plan to a long-range business model for
future growth. Under his leadership, the company has reached
record levels in sales and profits.
HOW TO REACH: Russ Kiko Associates Inc., (330) 453-9187 or www.kikoauctions.com
