A kinder, gentler industry; dairy companies answer the call of their social conscience

Dairy Foods, May, 1990 by Ellen Dexheimer, Christine Stube

Gone are the days when "Greed is Good" was an acceptable corporate motto. Today, corporations are broadening their focuses and taking responsibility for the condition of society. "I think there is a certain amount of responsibility for corporations to get involved in social activity beyond the everyday activity of doing business, especially as the government's attitude changes," says John Murphy, executive vice president, Honey Hill Farms, Concord, Calif. Under the Bush Administration's admonitions for the private sector to create a kinder, gentler nation," corporate life is indeed becoming more socially conscious. Also propelling the trend is the aging of the baby boom generation. Rob Michalak, director of public relations, Ben & Jerry's Homemade Inc., says, "I think a lot of people from the baby boom generation who are now in positions of management and leadership grew up with a sense of activism and now they are taking action as they did in the 60s. You may be seeing some of that coming back under the guise of social responsibility," he says. Interestingly, the trend has had such an impact upon the dairy industry that dairy companies throughout the country are working to support charitable organizations, protect the environment and promote employee morale and welfare. And, it looks as if the trend is destined to continue, even beyond the Bush Administration.

Leading the pack Ben & Jerry's, a Waterbury, Vt.based superpremium ice cream marketer, is the dairy industry trailblazer when it comes to social causes. In fact, the company established the Ben & Jerry's Foundation to ensure that a variety of social issues are addressed. The Foundation donates 7.5 percent of Ben & Jerry's pre-tax profits to an ever-changing list of charities.

Meanwhile, as an avid promoter of world peace, the company's Peace Pops novelty ice cream bars are packaged in a box labeled with the message, "Peace throughout

The world is a possible dream that can be achieved in our lifetime." Ben & Jerry's contributes 1 percent of its pre-tax profits to "1% for Peace," a program that advocates using 1 percent of the nation's defense budget for peace-promoting activities.

In its first international move toward promoting peace, Ben & Jerry's this summer plans to open an ice cream mix, manufacturing and freezing plant with an adjacent scoop shop in Petrazovodsk, Karelia, in the Soviet Union. Profits from the scoop shops will be used for cultural student exchanges.

It's really important for the United States to make an effort to work in the Soviet Union. That's what's going to bring things to a cooperative level," says Ben Cohen, chief executive officer and co-founder of the company.

Recycling is another of Ben & Jerry's social efforts. The company participates in the recycling movement through its own internal program which includes receiving its raw ingredients in recyclable high-density polyethylene pails.

In April, Ben & Jerry's celebrated the 20th anniversary of Earth Day with the rollout of Rain Forest Crunch ice cream in pints. The peanut brittle candy used in the ice cream is purchased from a company (CPI), also founded by Cohen. CPI makes the candy with nuts from the Brazilian rain forests. Forty percent of Rain Forest Crunch candy sales go to rain forest-based preservation organizations and international environmental projects.

Emphasis on education

But social conscience can begin in one's own back yard, as exemplified by Rath Manufacturing Co. Inc., maker of stainless steel tubing for the dairy industry.

"I want to share and have a small part in creating a better world," Duane Rath told the Milwaukee Sentinel early this year.

Rath, chairman and chief executive officer of Rath Manufacturing, recently announced that his company-which posts $50 million in annual sales-will pay for the college tuition of all its employees' children. As generous as this may seem, there is no catch. Rath's scholarship program pays for the majority of college expenses equivalent to the level of education at the University of Wisconsin-Madison. In ship, an employee must have worked at Rath for one year.

Aside from providing recognition for Rath Manufacturing in the corporate community, the program has helped the company fill every one of its job openings.

Like Rath, Brigham's Ice Cream also works to educate children. One of Brigham's most successful fund-raising events is the Multiple Sclerosis Readathon. Children solicit sponsors for every book he or she can read within one school year. Brigham's provides ice cream for the top honors.

Darryln Diggins, director of marketing at Arlington, Mass.-based Brigham's, says, "I lean toward educational promotions for children. We don't give cash. That's one thing I won't do. We will provide gift certificates to our restaurants or free ice cream cones to any fundraising organization hosting an event in our area."

Taking care of children Breyers, part of the Glenview, Ill.based Kraft General Foods group, also helps children by participating in annual telethons sponsored by the Children's Miracle Network, an organization that generates funds for children's hospitals. Breyers, which will be featured in a freestanding insert (FSI) to be dropped June 3, will donate to local children's hospitals the value of every yogurt and ice cream coupon redeemed-up to a total of $250,000. Twelve national manufacturers will be hawking 75 to 80 brands on the insert, including International Dairy Queen products, Jell-0 frozen novelties and Hershey's products. The telethon is expected t yield $5.9 million for local hospitals in areas where coupons are redeemed.