Lee Kum Kee’s Charlie Lee, Part 1
In my Sept 22, 2018 piece on sauces company Lee Kum Kee (LKK), I contended that what enabled the company to reach new heights was the establishment of a Family Council.
When I researched on LKK, using reputable business publications such as Forbes Asia, I discovered that the Family Council enabled the current generation to work well together, and even diversify into Chinese health care products, a major source of company earnings.
In the previous piece, I included quotes from Sammy Lee, who heads the health products group. LKK reached out to me and offered a chance for a written interview with Sammy’s older brother Charlie Lee, current chair of the sauces group, as detailed below.
Q: Considering others’ interests is a main philosophy of LKK. How does LKK practice this in real life? For instance, how does LKK treat customers and employees?
A: Considering others’ interests lies at the heart of LKK’s core values, penetrating into every stratum of the Group. LKK adopts a helicopter view by putting ourselves in others’ shoes and caring about others’ feelings when dealing with clients, business partners, consumers and staff.
When it comes to quality and safety, LKK operates with consumers in mind to understand their needs to ensure that they purchase our products with peace of mind.
LKK has worked with many long-term business partners for generations, with mutual trust and strong friendship established. Such caring friendship is extended to employees and the environment. We embrace the green production trend, thus the consumption of renewable energy in our global production bases is over 50 percent.
We believe that employees are our most valuable asset and we place great emphasis on staff well-being.
Q: Many businesses say they promote employee work-life balance, but few actually encourage their people to do this (except for certain tech companies like Google that are known for fantastic perks that millennials appreciate). The Happy Index is one of LKK’s initiatives. Career-Family-Health balance is to be admired. How does LKK practice this?
A: Aside from providing our employees fair employment terms, we create a happy work environment for staff, and promote a “tribalance” concept so staff can find balance among health, family and career.
LKK provides free lunch and free shuttle bus services on work days, as well as festival gifts to our employees. We provide a comprehensive range of activities and plans such as health seminars and assessment, birthday parties, staff competitions, interest groups, nonsmoking campaigns and so on, with the aim to promote a happy and healthy workplace.
Q: The family problems that plagued the earlier generations of the LKK clan are well-known and publicized. How does the current generation avoid the pitfalls that befell their elders?
A: The Lee family adopts the Autopilot Leadership Model and only one member of the family is involved in each business arm, sauce and health products. In 2002, we set up the Family Council, which is in charge of the family business, the family office, family investments, the family foundation, learning and development. Members of the Family Council meet quarterly to discuss family matters.
Q: In the February 2018 issue of Forbes Asia, Sammy is quoted as saying that for LKK to survive 1,000 years, the family is considering a ban on family members to be involved in the business. Would the family ban even qualified family members?
A: The LKK Family Constitution listed the provisions to regulate the basic relationship between the family and the family business. For example, members of the fifth generation of the LKK family who would like to work in the company must have worked for an outside organization for three to five years before they can apply to join, along with other candidates. If they violate any company regulations during their employment, they will be penalized as other general staff.
