From the Ground Up - McCain Foods Limited
From the Ground Up - McCain Foods Limited
From the Ground Up - McCain Foods Limited
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LEFt: Construction of <strong>the</strong><br />
Scarborough plant begins:<br />
Mac McCarthy at <strong>the</strong> sodbusting.<br />
RIGht: The Scarborough<br />
plant under construction,<br />
as seen from <strong>the</strong> bottom<br />
of Havers Hill.<br />
In October 1965, Mac recruited Hal Kinder to join <strong>McCain</strong>’s new British venture as<br />
accountant. Kinder, with remarkable foresight, could see that <strong>the</strong> fledgling Canadian<br />
company had a good chance at success. It was “in <strong>the</strong> right place at <strong>the</strong> right time,”<br />
he recalled in a 1984 interview in <strong>the</strong> <strong>McCain</strong>’s Star. “The frozen french fry market in<br />
Britain really hadn’t been exploited. The market was absolutely new … We had <strong>the</strong><br />
product and we had a unique way of selling <strong>the</strong> product.”<br />
Good leadership is indispensable to both building a company and inspiring confidence<br />
in employees. In Mac, <strong>McCain</strong> <strong>Foods</strong> had chosen just <strong>the</strong> leader it needed to<br />
build <strong>the</strong> company in <strong>the</strong> United Kingdom. It was his presence that prompted Kinder<br />
to leave a good job as chief accountant in a retail group of companies: “I can remember<br />
meeting Mac for <strong>the</strong> first time. It was really his personality and enthusiasm<br />
that told me <strong>the</strong> company was going to succeed … Mac described <strong>the</strong> operation of<br />
<strong>McCain</strong> <strong>Foods</strong> in Canada to me and said that <strong>the</strong> intentions were to develop a market<br />
from scratch for <strong>McCain</strong> Canadian products, which would lead eventually to an<br />
investment in a manufacturing unit. This might take two years, three years, ten years<br />
– <strong>the</strong>re was no real time frame planned. It depended on <strong>the</strong> success of <strong>the</strong> effort.”<br />
At that time, Kinder was one of only four <strong>McCain</strong> employees based outside<br />
Canada. The o<strong>the</strong>rs were Mac, a secretary, and Harry Harrison, who handled orders<br />
and logistics.<br />
Just as <strong>the</strong> beachhead strategy was first developed for <strong>McCain</strong>’s U.K. and, later, Australian<br />
markets, so was <strong>the</strong> policy of exporting <strong>the</strong> company’s accumulated knowledge<br />
and expertise by sending experienced personnel from an established location to<br />
help get things started at a new one. Shortly after Kinder came aboard, <strong>McCain</strong> sent<br />
four people from Canada to train a British sales force in <strong>the</strong> end-user system.<br />
It worked. “Everybody involved in <strong>the</strong> company in those early days was so enthusiastic<br />
about <strong>the</strong> growing achievements,” said Kinder. “Each week and each month we<br />
saw improvements on <strong>the</strong> previous period.”<br />
The company’s intense focus on producing one product, french fries, for one market<br />
segment, <strong>the</strong> food service industry, enabled it to boost volumes quickly. Before<br />
long, <strong>McCain</strong> had <strong>the</strong> problem every manufacturer wants – it couldn’t keep up with<br />
demand. “We had to import all <strong>the</strong> product from Canada, and this was becoming a<br />
problem in organizing <strong>the</strong> number of shipments that we needed to maintain supplies,<br />
as <strong>the</strong> volumes were growing so quickly,” Kinder said.<br />
And so, just two years after launching <strong>McCain</strong> <strong>Foods</strong> in Britain, <strong>the</strong> company<br />
made <strong>the</strong> decision to build a factory. The plant in Scarborough would become, for<br />
a time, <strong>the</strong> largest french fry plant in <strong>the</strong> world outside North America. Although<br />
<strong>the</strong> $2.6 million <strong>McCain</strong> invested does not seem so large in light of <strong>the</strong> far greater<br />
44 <strong>From</strong> <strong>the</strong> g round up<br />
crossing <strong>the</strong> AtlA ntic 45<br />
<strong>McCain</strong> joins in Scarborough’s<br />
annual carnival in <strong>the</strong><br />
summer of 1968. Its float,<br />
consisting of a tractor and a<br />
Thomas Equipment harvester,<br />
announced <strong>the</strong> company’s<br />
impending arrival.