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Magazine Article

  

Elliot Maras By Elliot Maras
Editor



Swanson Legacy Offers Lessons in Continuing Success
Following the passing of its founders, the Omaha, Neb.-based vending/foodservice leader paid the price of a cost-based management approach. A new owner hopes to restore the founders' entrepreneurial spirit.



Automatic Merchandiser cover 1986
The Swanson Corp. demonstrated leadership in many areas over the years, including foodservice and healthy eating, as shown in these Automatic Merchandiser cover stories in 1986 and 1996.
Automatic Merchandiser cover 1996
The Swanson Corp. newsletter
The Swanson Corp. newsletter, RSVP, includes useful information for accounts and is visually appealing. It supports the company's marketing efforts.
Al Kirkpatrick
Al Kirkpatrick, a 37-year Swanson veteran, says companies must keep striving to grow or risk losing business.
Merle Swanson
Merle Swanson
John Mitchell Jr.
Mitchell

All good things come to an end, but tomorrow brings a new beginning. That summarizes the feelings of many long-time employees of The Swanson Corp., the Omaha, Neb.-based vending, foodservice and OCS provider that serves customers in seven states and enjoys an outstanding reputation for the quality of its service.

In March, Automatic Merchandiser reported that the company, founded in 1952 by the late husband/wife team of Merle and Joy Swanson, was sold to Treat America, based in Overland Park, Kan.

While many veteran Swanson employees believe that the company's best days ended several years ago, the recent acquisition formally marks the end of one of the vending/foodservice industry's greatest success stories.

The Swanson story embodies many of the elements that are characteristic of vending and foodservice. The company was launched by an entrepreneur in the Post World War II era who dedicated himself to excellent service, spared no expense in continually improving his service, and built a team of equally committed professionals.

A model in vending and foodservice leadership

The Swanson Corp. exemplified leadership in every aspect of refreshment services: operations, marketing, accountability, employee motivation, fresh food, and nutrition. In the process, Swanson Corp. grabbed the lion's share of the top accounts in Omaha, despite competition from all of the nationals, and in several other cities.

And like many leading-edge companies, the leadership began at the top. Merle Swanson was liked and respected by everyone around him, and he was able to motivate. His passing in 1995 marked a turning point from which several veterans claim the company never recovered.

Merle and Joy Swanson's legacy nevertheless still motivates many employees, including the new owner.

John Mitchell Jr., president of Treat America Inc., told Automatic Merchandiser he hopes to bring back the entrepreneurial spirit it had lost with the passing of the founders.

The Swanson Corp.'s sales fell from $48 million in 1998 to $35 million in 2005. Some months ago, management announced that it was in the company's best interest to sell the company. The employees had witnessed layoffs with declining sales, and they voted overwhelmingly to accept Treat America's purchase offer.

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