Iowa Multi-Generation Companies are Built to Last

“We are fully invested” with “ripple effects that go beyond the community,” said Mr. Klauer, president and fifth-generation family member. “We don’t view ourselves as free agents to close a plant and move.” 

That kind of stability has wide benefits to workers, service providers and nonprofits in the area. 

Here is a look at three of Iowa’s many multi-generation companies, firms often created by visionaries who bequeathed not only businesses but their values and entrepreneurial savvy to succeeding generations. 

Kemin Industries: Trusting people, turning ideas into businesses 

“The ability to take ideas and turn them into businesses” and “relentlessly giving people more responsibility and control than they ever thought possible” are two essentials at Des Moines-based Kemin Industries. These factors were intentionally “talked about and spread throughout the company” by his parents, founders R.W. and Mary Nelson, said Chris Nelson, president and CEO of the multinational food ingredient maker. 

His parents (who are preparing to celebrate their 96th birthdays) emphasized “finding people you can trust and giving them resources,” Mr. Nelson said. “Mistakes were made, but you don’t walk away from core principles. You continue to remind each other.” 

Sticking to principles paid off. Since its founding in 1961 as “Chemical Industries,” providing feed additives to the Midwest’s agriculture and animal production markets, Kemin Industries has grown steadily. 

The company produces more than 500 specialty ingredients at plants on six continents with thousands of team members serving customers in more than 120 countries. 

Kemin Industries has a defined process for bringing new family members on board. “We have a document called ‘the family constitution,’ that outlines what you have to do to work for the company, how you get hired and how you can be terminated,” Mr. Nelson said. “Generally, you have to be above all the other candidates that would be possible for that position. There are very high expectations.” 

Mr. Nelson’s sister, Elizabeth “Libby” Nelson, serves as chief corporate counsel. His other siblings are not active in the business. 

Mr. Nelson said there are “enormous advantages” to having a strong, multi-generational company like Kemin Industries based in Des Moines and Iowa. 

“We take a very long view on investments, the future of the company and the team members who work for us. It gets to be a really positive thing for the community overall, at least in my view,” he said. 

Kemin Industries’ leaders are involved in many civic and community organizations. Heading up a fundraising campaign for the Science Center of Iowa is just one of Mr. Nelson’s personal projects. 

Kemin Industries has developed an impressive roster of products over the years, from antioxidants for animal feed to natural pigments extracted from marigolds, replacing artificial coloring in egg yolks. 

Many business units such as Kemin Human Nutrition and Health, Kemin Food Technologies, Kemin AquaScience, Kemin Biologics and Kemin Bio Solutions, have grown out of product developments and strategic acquisitions. 

In keeping with the founders’ focus on turning ideas into businesses, Kemin Industries generates 80% of its growth from research and development, with the remaining 20% from acquisitions. 

More than half of Kemin Industries’ revenue is derived from plants, Mr. Nelson noted. “We are the largest farmers of rosemary in the U.S.” 

From rosemary, Kemin Industries extracts carnosic acid, a potent antioxidant that can be put into foods to prevent rancidity. 

What does the future hold for Kemin Industries? 

The company will continue to be “all about chemistry and the application of chemistry to improve people’s lives” Mr. Nelson said. “Because we are a global company, we do business in six of seven continents. We continue to believe our technology has applications across all human and animal feeds. We will remain very active in export as well as international business.” 

McCarthy-Bush Corporation: Fifth generation stepping forward 

McCarthy-Bush Corporation, a Davenport-based, family-owned company, has diversified within the construction realm into mining, steel fabrication and real estate development to weather the ups and downs of the economy over its 125-year-history. 

With retirement not many years off, 66-year-old President and CEO Greg Bush is overseeing efforts of fifth-generation family members, Ben and Mike Bush, to adopt a corporation-wide focus to prepare for their transition to leadership. 

The elder Mr. Bush said he seeks to emulate transition lessons learned when his own father retired. The retired Mr. Bush still came into work and went to meetings but left decisions up to his son and never tried to overrule him. 

The next generation must pay its dues by working hard and earning the respect of employees, with no expectation their family name will help them in the business, Greg Bush said. 

For its part, the fifth generation of the Bush family says they are eager to learn from the previous one. 

“I’m not in a hurry for them to leave. We want to get advice from generation four” and see how they dealt with various challenges, said Michael Bush. 

His cousin Ben said the transition involves “changing the lens through which we view the business. Now it’s more important than ever for us to broaden our perspective across all the businesses and develop a vision for the future.” 

Michael, who recently moved back to the Quad Cities from Minnesota, joined the McCarthy-Bush Corporation’s Board of Directors in December. He is vice president of Linwood Mining & Minerals. Ben Bush also joined the board in December and serves as the commercial 

“We are fully invested” with “ripple effects that go beyond the community,” said Mr. Klauer, president and fifth-generation family member. “We don’t view ourselves as free agents to close a plant and move.” 

That kind of stability has wide benefits to workers, service providers and nonprofits in the area. 

Here is a look at three of Iowa’s many multi-generation companies, firms often created by visionaries who bequeathed not only businesses but their values and entrepreneurial savvy to succeeding generations. 

Kemin Industries: Trusting people, turning ideas into businesses 

“The ability to take ideas and turn them into businesses” and “relentlessly giving people more responsibility and control than they ever thought possible” are two essentials at Des Moines-based Kemin Industries. These factors were intentionally “talked about and spread throughout the company” by his parents, founders R.W. and Mary Nelson, said Chris Nelson, president and CEO of the multinational food ingredient maker. 

His parents (who are preparing to celebrate their 96th birthdays) emphasized “finding people you can trust and giving them resources,” Mr. Nelson said. “Mistakes were made, but you don’t walk away from core principles. You continue to remind each other.” 

Sticking to principles paid off. Since its founding in 1961 as “Chemical Industries,” providing feed additives to the Midwest’s agriculture and animal production markets, Kemin Industries has grown steadily. 

The company produces more than 500 specialty ingredients at plants on six continents with thousands of team members serving customers in more than 120 countries. 

Kemin Industries has a defined process for bringing new family members on board. “We have a document called ‘the family constitution,’ that outlines what you have to do to work for the company, how you get hired and how you can be terminated,” Mr. Nelson said. “Generally, you have to be above all the other candidates that would be possible for that position. There are very high expectations.” 

Mr. Nelson’s sister, Elizabeth “Libby” Nelson, serves as chief corporate counsel. His other siblings are not active in the business. 

Mr. Nelson said there are “enormous advantages” to having a strong, multi-generational company like Kemin Industries based in Des Moines and Iowa. 

“We take a very long view on investments, the future of the company and the team members who work for us. It gets to be a really positive thing for the community overall, at least in my view,” he said. 

Kemin Industries’ leaders are involved in many civic and community organizations. Heading up a fundraising campaign for the Science Center of Iowa is just one of Mr. Nelson’s personal projects. 

Kemin Industries has developed an impressive roster of products over the years, from antioxidants for animal feed to natural pigments extracted from marigolds, replacing artificial coloring in egg yolks. 

Many business units such as Kemin Human Nutrition and Health, Kemin Food Technologies, Kemin AquaScience, Kemin Biologics and Kemin Bio Solutions, have grown out of product developments and strategic acquisitions. 

In keeping with the founders’ focus on turning ideas into businesses, Kemin Industries generates 80% of its growth from research and development, with the remaining 20% from acquisitions. 

More than half of Kemin Industries’ revenue is derived from plants, Mr. Nelson noted. “We are the largest farmers of rosemary in the U.S.” 

From rosemary, Kemin Industries extracts carnosic acid, a potent antioxidant that can be put into foods to prevent rancidity. 

What does the future hold for Kemin Industries? 

The company will continue to be “all about chemistry and the application of chemistry to improve people’s lives” Mr. Nelson said. “Because we are a global company, we do business in six of seven continents. We continue to believe our technology has applications across all human and animal feeds. We will remain very active in export as well as international business.” 

McCarthy-Bush Corporation: Fifth generation stepping forward 

McCarthy-Bush Corporation, a Davenport-based, family-owned company, has diversified within the construction realm into mining, steel fabrication and real estate development to weather the ups and downs of the economy over its 125-year-history. 

With retirement not many years off, 66-year-old President and CEO Greg Bush is overseeing efforts of fifth-generation family members, Ben and Mike Bush, to adopt a corporation-wide focus to prepare for their transition to leadership. 

The elder Mr. Bush said he seeks to emulate transition lessons learned when his own father retired. The retired Mr. Bush still came into work and went to meetings but left decisions up to his son and never tried to overrule him. 

The next generation must pay its dues by working hard and earning the respect of employees, with no expectation their family name will help them in the business, Greg Bush said. 

For its part, the fifth generation of the Bush family says they are eager to learn from the previous one. 

“I’m not in a hurry for them to leave. We want to get advice from generation four” and see how they dealt with various challenges, said Michael Bush. 

His cousin Ben said the transition involves “changing the lens through which we view the business. Now it’s more important than ever for us to broaden our perspective across all the businesses and develop a vision for the future.” 

Michael, who recently moved back to the Quad Cities from Minnesota, joined the McCarthy-Bush Corporation’s Board of Directors in December. He is vice president of Linwood Mining & Minerals. Ben Bush also joined the board in December and serves as the commercial 

“We are fully invested” with “ripple effects that go beyond the community,” said Mr. Klauer, president and fifth-generation family member. “We don’t view ourselves as free agents to close a plant and move.” 

That kind of stability has wide benefits to workers, service providers and nonprofits in the area. 

Here is a look at three of Iowa’s many multi-generation companies, firms often created by visionaries who bequeathed not only businesses but their values and entrepreneurial savvy to succeeding generations. 

Kemin Industries: Trusting people, turning ideas into businesses 

“The ability to take ideas and turn them into businesses” and “relentlessly giving people more responsibility and control than they ever thought possible” are two essentials at Des Moines-based Kemin Industries. These factors were intentionally “talked about and spread throughout the company” by his parents, founders R.W. and Mary Nelson, said Chris Nelson, president and CEO of the multinational food ingredient maker. 

His parents (who are preparing to celebrate their 96th birthdays) emphasized “finding people you can trust and giving them resources,” Mr. Nelson said. “Mistakes were made, but you don’t walk away from core principles. You continue to remind each other.” 

Sticking to principles paid off. Since its founding in 1961 as “Chemical Industries,” providing feed additives to the Midwest’s agriculture and animal production markets, Kemin Industries has grown steadily. 

The company produces more than 500 specialty ingredients at plants on six continents with thousands of team members serving customers in more than 120 countries. 

Kemin Industries has a defined process for bringing new family members on board. “We have a document called ‘the family constitution,’ that outlines what you have to do to work for the company, how you get hired and how you can be terminated,” Mr. Nelson said. “Generally, you have to be above all the other candidates that would be possible for that position. There are very high expectations.” 

Mr. Nelson’s sister, Elizabeth “Libby” Nelson, serves as chief corporate counsel. His other siblings are not active in the business. 

Mr. Nelson said there are “enormous advantages” to having a strong, multi-generational company like Kemin Industries based in Des Moines and Iowa. 

“We take a very long view on investments, the future of the company and the team members who work for us. It gets to be a really positive thing for the community overall, at least in my view,” he said. 

Kemin Industries’ leaders are involved in many civic and community organizations. Heading up a fundraising campaign for the Science Center of Iowa is just one of Mr. Nelson’s personal projects. 

Kemin Industries has developed an impressive roster of products over the years, from antioxidants for animal feed to natural pigments extracted from marigolds, replacing artificial coloring in egg yolks. 

Many business units such as Kemin Human Nutrition and Health, Kemin Food Technologies, Kemin AquaScience, Kemin Biologics and Kemin Bio Solutions, have grown out of product developments and strategic acquisitions. 

In keeping with the founders’ focus on turning ideas into businesses, Kemin Industries generates 80% of its growth from research and development, with the remaining 20% from acquisitions. 

More than half of Kemin Industries’ revenue is derived from plants, Mr. Nelson noted. “We are the largest farmers of rosemary in the U.S.” 

From rosemary, Kemin Industries extracts carnosic acid, a potent antioxidant that can be put into foods to prevent rancidity. 

What does the future hold for Kemin Industries? 

The company will continue to be “all about chemistry and the application of chemistry to improve people’s lives” Mr. Nelson said. “Because we are a global company, we do business in six of seven continents. We continue to believe our technology has applications across all human and animal feeds. We will remain very active in export as well as international business.” 

McCarthy-Bush Corporation: Fifth generation stepping forward 

McCarthy-Bush Corporation, a Davenport-based, family-owned company, has diversified within the construction realm into mining, steel fabrication and real estate development to weather the ups and downs of the economy over its 125-year-history. 

With retirement not many years off, 66-year-old President and CEO Greg Bush is overseeing efforts of fifth-generation family members, Ben and Mike Bush, to adopt a corporation-wide focus to prepare for their transition to leadership. 

The elder Mr. Bush said he seeks to emulate transition lessons learned when his own father retired. The retired Mr. Bush still came into work and went to meetings but left decisions up to his son and never tried to overrule him. 

The next generation must pay its dues by working hard and earning the respect of employees, with no expectation their family name will help them in the business, Greg Bush said. 

For its part, the fifth generation of the Bush family says they are eager to learn from the previous one. 

“I’m not in a hurry for them to leave. We want to get advice from generation four” and see how they dealt with various challenges, said Michael Bush. 

His cousin Ben said the transition involves “changing the lens through which we view the business. Now it’s more important than ever for us to broaden our perspective across all the businesses and develop a vision for the future.” 

Michael, who recently moved back to the Quad Cities from Minnesota, joined the McCarthy-Bush Corporation’s Board of Directors in December. He is vice president of Linwood Mining & Minerals. Ben Bush also joined the board in December and serves as the commercial manager at Linwood.

Founded by Patrick F. McCarthy as McCarthy Improvement Co. in 1897, the company’s original business was concrete paving and heavy highway construction. McCarthy acquired Linwood Stone Products (now Linwood Mining and Minerals) in the mid-1940s and added Howard Steel in the mid-1950.

As McCarthy-Bush Corporation looks toward the future, the focus is on strategic growth within its core competencies, via organic expansion and acquisitions.

In his role as Linwood Mining commercial manager, Ben notes that recent growth at Oertel Metal Works showed opportunities for expanding the MCB manufacturing portfolio. Linwood Mining is also actively working on a new customer partnership for 2023 that could expand business operations. Mike also recently obtained his real estate license to expand future development opportunities and services among all MCB companies.

He said that a business plan means little without the team that supports it, so he’s focused on strategies for attracting and retaining talent.

“Really it’s all about the people — our goal is to provide good-paying jobs with opportunities for growth,” he said. “We want to take care of them so they can go home and take care of their families.”

Despite fears of a recession on the horizon, McCarthy-Bush Corporation is positive about business prospects for the region. “Our team has laid the groundwork for ongoing opportunities and growth, so I’m optimistic we’re positioned well for the future,” said Mike Bush.

Klauer Manufacturing: Bending toward the future

“What we do today we’ve been doing since day one, forming sheet metal,” said Mike Klauer, adding that his family company may be one of ABI’s longest-standing members.

Founded by Peter Klauer as a hardware and tin shop, the firm originally produced stamped metal ceiling panels, cornices and other exterior building components. All of Klauer’s current products are for building exteriors, including residential steel siding and ag building products.

With three manufacturing facilities and a workforce 150 employees strong, Klauer manufactures steel siding, aluminum soffit panels and fascia, guttering and downspouts, flashing and K-Rib products including roofing and siding, ventilators and soffit and metal building trim, with distribution in 40 states.

The common thread since the beginning is “the ability to have a long-term focus. We don’t have third parties that we are reporting to. We focus on building a company to last, not to sell,” said Mike Klauer.

Because of that long-term thinking, “relationships matter.” The emphasis on building strong relationships with employees, customers and vendors creates stability, even though “we may not take every last nickel” from the business, he said.

Company values are transmitted from generation to generation “more by actions than by words,” said Mr. Klauer. An example is a 100-year-old tradition, the Foreman’s Club, a monthly gathering of supervisors and office staff.

“We cook dinner at our cottage and serve them, treat them like family. New hires come away with the sense this is something unique,” he said.

Mr. Klauer’s generation is also represented in the company by his sister, who heads marketing, a brother-in-law who serves as vice president and a cousin who leads transportation. The fourth generation — his father and two uncles still have a presence. 

Mr. Klauer notes that his grandfather, of the third generation, served in his time as president and still came into the office in his 90s. “This is the type of passion you have to have,” he said.

The company has put a formal procedure in place to integrate new family members over the last few years. “We can’t have a group assuming they have a spot. They have to earn it,” Mr. Klauer said. “We want those individuals to come to us and provide us value.”

Klauer Manufacturing has stayed close to its roots.

“Everything is in Dubuque,” Mr. Klauer said.

That includes the three facilities — two owned and one leased — providing 375,000 square feet of manufacturing and warehouse space, 50% more than three years ago. 

The company is putting the finishing touches on a 75,000 square-foot, $14 million expansion.

The project is on-time, on-budget and “going really well,” Mr. Klauer said.

Klauer Manufacturing received a $434,000 state grant to aid its automation efforts last spring. That is a long-term project, the CEO said. “You don’t just plunk down a robot, set it and forget it.” Automation is one of several tools to help solve workforce needs and give employees new skills, he said. “It’s a long road, and we’re just starting.”

His 150-year-old company sees the need “for a makeover to look like today’s business,” Mr. Klauer said. “We can compete at a national level.”

To that end, there is a company-wide focus on training. A large proportion of employees have been with Klauer Manufacturing less than two years, so there is an effort to get processes “that were stored in someone’s head” into documents that can be shared.

Summing up: Multi-generational companies in Iowa have long-term focus

Klauer Manufacturing, Kemin Industries and McCarthy-Bush Corporation are just three examples of deep-rooted family companies with a long-term focus and determination to nurture their communities, care for their employees and intentionally pass down their entrepreneurial values to succeeding generations.