From Fleeing Apartheid to Building a $13 Billion Fortune: Stanley Bergman's Leadership Lessons

Stanley Bergman, born in Port Elizabeth, South Africa, grew up in an environment marked by the discrimination of apartheid. His parents, Jews who escaped Nazi Germany, instilled in him values of equality, contrasting with the reality of his segregated school. After obtaining his accounting degree, he emigrated to London and then to New York, carrying with him a leadership philosophy that would transform his career. In 1980, he joined Henry Schein as CFO, a company he transformed from a regional dental supplier with $225 million in revenue to a global distributor of dental and medical supplies worth $13.2 billion a year, ranking 333rd on the Fortune 500 list.

Bergman attributes this growth to acquisitions, innovation, and, above all, his values of social impact and philanthropy. His focus on team building and delegation, along with a strong belief in the importance of diverse opinions, were key to the company's success. Bergman always surrounded himself with people with different perspectives, which fostered a collaborative work environment. "The biggest thing is getting the team to work together," he said.

Bergman, upon becoming CEO, followed the advice of an Abbott mentor, prioritizing interpersonal skills over technical experience. He hired people with values and soft skills, knowing they could acquire specific knowledge on the job. This strategy proved effective in a rapidly changing environment, where technical expertise can become outdated.

In addition, Bergman fostered diversity and delegation, delegating responsibilities and promoting collaboration between different departments. This strategy allowed Henry Schein to adapt to market changes and maintain a leadership position in the industry. Bergman firmly believed in the importance of surrounding himself with people with different opinions, which fostered a more dynamic and creative work environment.

To expand globally, Bergman simplified the company's offering and selected a dental software system as a leader. Subsequently, it expanded through joint ventures, establishing agreements with people who knew local markets. This 'partnership' strategy allowed him to acquire expertise and knowledge in different regions.

Bergman also emphasized the importance of defining the business based on who it serves. To succeed in this environment, he focused on the value they provided to health professionals, helping them offer better oral care and operate more efficiently. This involved the constant adaptation of products and services to the changing needs of customers.

Bergman always emphasized the importance of contributing to society. Henry Schein focuses on five key groups: suppliers, customers, the team, investors, and society. The 'Give Kids a Smile' initiative, launched in 2003 in collaboration with the ADA Foundation, is an example of its social commitment, providing free oral health screenings to more than 300,000 children annually.

Bergman also cared about creating an environment where employees could realize their professional dreams and feel part of something bigger. This involved fostering collaboration, innovation, and personal growth within the company. Henry Schein's strategy includes partnering with more than 100 NGOs worldwide in areas such as access, policy, innovation, sustainability and the empowerment of its more than 25,000 employees.

Approximately 18 months before announcing his retirement, Bergman decided to focus on the integration and consolidation of what already existed, rather than continuing with expansion. This allowed his successor, Fred Lowery, who took office on March 2, to have the freedom to implement his own vision. Bergman believed in the importance of an orderly transition and the careful selection of a successor.

The choice of Lowery, with experience in healthcare distribution, was a key factor in ensuring the continuity and growth of the company. Lowery himself, in a 2020 commencement speech, summarized the leadership philosophy he shares with Bergman: 'Whoever helps the most people, wins'.