Knowlton led Hormel through changing times
Published 9:09 am Wednesday, February 6, 2019
The late Richard Knowlton recalled how he literally knocked Jay C. Hormel flat on the ground in his rush to punch a time clock during one of Knowlton’s first weeks at Hormel Foods.
Knowlton, then 16, helped Hormel — son of founder George A. Hormel and then the company’s leader — back on his feet according to his book, “Points of Difference: Transforming Hormel,” written in 2010. He was sure that Hormel would fire him.
But all Hormel said was, “Why don’t you lift up your head and watch where you’re going, kid?”
“I’ve tried to do that ever since,” Knowlton wrote of the advice.
The comment said a lot about the man who, despite having to lead the company in sometimes-turbulent times, kept his head up and his vision steady.
Knowlton, 86, who lived in Colorado, lost a hard-fought battle from complications of Alzheimer’s disease on Feb. 1, according to family members.
“He was a man of vision, family, community and knew the importance of hard work, honesty and determination to overcome obstacles,” his family said in a statement.
Knowlton, an Austin native, rose through the ranks of Hormel, serving in sales, marketing and production areas until finally being named CEO in 1981. He served at a time when the industry was quickly changing, he said in his book. Red meat consumption was down and demand for packaged, easy to prepare meals was on the rise.
According to Twin Cities Business, who wrote a story about Knowlton when he was named to the Minnesota Business Hall of Fame, “He laid out a strategy for turning (Hormel) into a low-cost producer of packaged food products that met the needs of a changing society … (by) the summer of 1986, Hormel was named New Products Company of the Year by Prepared Foods Magazine for introducing 134 new products in 18 months (and in) 1988, Hormel under his leadership launched an industry first: Top Shelf, a line of shelf-stable microwavable entrees.”
It marked the beginning of the company’s landmark move to broaden its base to become a value-added food company as well as a meatpacker, said former Hormel CEO Jeffrey Ettinger. Ettinger today chairs the Hormel Foundation Board of Directors.
Knowlton’s time as CEO was not always easy; in 1985, Austin workers went on strike on a wage issue. Knowlton said in his book that he “had to show a strong back” during the troubled times. The strike lasted 13 months.
In 1986, Hormel acquired Jennie-O Foods of Willmar; in 1995, the year Knowlton retired, Hormel hit $3 billion in revenues.
Knowlton and his wife, Nancy, continued to be strong voices and volunteers in the Austin community following his retirement. He served on several boards. He raised over $87 million in funding for projects benefitting his hometown. He served as chairman of the Hormel Foundation with a “vision that he could make Austin a better community to live in,” said Gary Ray, who succeeded Knowlton as chairman of the foundation.
“I never in my life met anyone so driven to help his community,” Ray added.
Ray recalled Knowlton’s drive to keep the high school in the Austin downtown — “He felt that was really important,” Ray said — and made sure that any teacher who wanted had the opportunity to obtain their MBA at the University of Minnesota.
“He was always supportive of the best education,” Ray added.
Knowlton was also responsible for keeping a new production plant in Austin, Ray said. There were those, he added, who would have built the plant elsewhere. But it stayed right here, and the new plant opened in 1982.
“He led the charge on that,” Ray said.
Ettinger said Knowlton’s contributions to both the company and the community were broad. He agreed with Ray that Knowlton recognized societal changes — that reflected a more health-conscious and mobile population — that led to the packaged, value-added products for Hormel. Acquiring Jennie-O Turkey was also crucial, as was the establishment of Hormel’s Foodservice — another move, Ettinger said, that has had far-reaching, successful results.
After retirement, Knowlton served as chairman emeritus of the Horatio Alger Association. He also served on boards for Mayo Clinic, American Meat Institute, Grocery Manufacturers of America, United Way of Austin, University of Minnesota Foundation, Salvation Army, National Livestock and Meat Board and the Minnesota Business Partnership, as well as a host of others.
He received numerous awards, including Outstanding Crisis Manager of the Year by Carnegie-Mellon, the William H. Albers Award, the highest honor awarded by the Food Marketing Institute, the Distinguished American Award by the Horatio Alger Association, and the University of Colorado Hall of Honor. Knowlton was a graduate of the university, where he attended on a football scholarship. It is also where he met Nancy, who survives.
Knowlton is also survived by five children, Scott, Kimberly, Claudia, David and Julie.