As a kick-off to the Business in Society conference at the University of Virginia Darden School of Business, Kip Tindell, chairman and CEO of The Container Store, revealed what makes his company successful. Tindell's speech was part of the Darden Leadership Speaker Series and was sponsored by the Darden research center of excellence, the Initiative for Business in Society.
For more than 34 years, Tindell has held the position of CEO of The Container Store, a private company based in Dallas that sells storage and organizational products. Tindell is also involved in Conscious Capitalism Inc., a community of business people and academics that emphasizes a conscious approach to business.
Tindell explained that he has always believed in a conscious approach to running a company. His company runs by the seven Foundation Principles which help stores around the world operate with the same values.
The Container Store has long been known for its employee-first philosophy. Tindell emphasized that happy employees are the most productive employees, and that it trickles down to the customers. Fortune magazine has named the company to the list of "100 Best Companies to Work for" 13 years in a row.
Tindell waxed about how he instills management through love rather than fear. On 14 February, the company held "National We Love Our Employees Day." The Container Store works to build emotional connections with its employees and its customers.
"If you myopically only focus on the shareholder, [then] the magic isn't there," said Tindell as he elaborated on the company's stakeholders. Using Stakeholder Theory, developed by Darden Professor R. Edward Freeman, Tindell aims to create more synergies with his vendors and suppliers by "creatively crafting a relationship to do mutually beneficial business."
When asked by a student if his values were ever in conflict with economic decisions, such as the decision to lay off employees during the recession, Texan Tindell replied, "You can't wimp out. It's important to know what you stand for."
About the Darden School of Business
The University of Virginia Darden School of Business is one of the world's leading business schools, offering MBA, Ph.D. and Executive Education programs. The unique Darden experience combines the case study method, the highest-ranked faculty whose research advances global managerial practice and business education, and a tight-knit learning environment to develop principled and complete leaders who are ready to make an impact.
About the Darden Initiative for Business in Society (IBiS)
The Darden Initiative for Business in Society (IBiS) aims to be a leading global catalyst and convener of thought, information and action at the interface of business and society, and to promote the development of leaders to positively impact society through their roles in business.
Sharing via social media? Please consider tagging us:@DardenMBA on Twitter,UVA Darden School of Business on Facebook.