In 1897, a farmer in Orrville, Ohio, named Jerome Monroe Smucker began selling stoneware crocks of apple butter from the back of a horse-drawn wagon. He signed the lid of each one, to vouch for its quality.
The J.M. Smucker Co. still sells apple butter with the family name on the label. It also sells Smucker jams and jellies, Jif peanut butter, Folger’s coffee, Crisco shortening, Pillsbury cake mixes, Eagle condensed milk, Hungry Jack pancakes and R.W. Knudsen juices — 2,100 products in all, which brought in $4.6 billion last year.
This is noteworthy but hardly unprecedented. Some of America’s biggest companies took root in the 19th century as family businesses selling a single product—DuPont with gunpowder in 1802, Procter & Gamble with candles in 1837, General Electric with the electric lamp in 1892.
What makes Smucker unique is that, more than a century later, it remains a family-run business. Still headquartered in rural Orrville (population: 8367), the company has had five chief executives, all named Smucker—J.M. (1897-1947), his son Willard (1948-1960), his son Paul (1961-1987) and, since then, Paul’s sons Timothy and Richard Smucker, who currently share the job of CEO.
Fifth-generation cousins Mark Smucker and Paul Smucker Wagstaff are being groomed to succeed them. “We would like that, but it’s not a fait accompli,” Richard Smucker, the boys’ uncle and their boss, told me when I visited the Smucker Co. last month.
I’ve got a story about J.M. Smucker in the current (Aug. 16) issue of FORTUNE; it’s one of a series of profiles of FORTUNE 500 companies that I’m writing for the magazine. While working on the story, it struck me that the Smucker offers a interesting and little-known case study in sustainability: Why has this company, which for most of its life has focused on the prosaic business of making jellies and jams, lasted for 113 years? [click to continue…]
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