Hoyer Keynote Speaker at Charles County Third Annual Good Scout Award Dinner
"Most family owned businesses in America fail in the transition from the first generation entrepreneur, to the second generation. The entrepreneur who builds the enterprise wants it to succeed. Some put in place a better succession plan than others and are successful.
"The Marriott Corporation, Campbell Soup Company, Smuckers, and Levi Strauss & Co., are but a few well known examples of family businesses that have successfully survived transition from the entrepreneur to succeeding owners.
"The Wharton Business School opened a center focused on the study of entrepreneurs in 1973 and is recognized as a world leader in studying family businesses. They have studied why it is that more than half of family businesses fail once the founder turns over the reigns of the company. They have concluded that being the recipient who inherits the company brings certain challenges that not everyone is capable of handling, regardless of their preparation.
"Wharton's program teaches that the second generation business operator typically hunkers down and becomes very conservative in running the business in an attempt to preserve what the entrepreneur has built. Unlike the founder, the second generation manager is often not willing to take the same risks, for fear of making the wrong decision and losing everything, causing the enterprise to wilt or even fail.
"In southern Maryland, we have an outstanding exception in Chaney Enterprises. Frank's late brother Dickie successfully took over the business from his father Eugene, Sr., its founder, in 1967. Frank was only 10 at the time and Dickie ran Chaney successfully until Frank returned from college to join him. Together, they laid the foundation for what is today, one of southern Maryland's greatest business success stories. Frank now runs the family business since Dickie's death in 1999.
"Tonight we honor him, not for his success in business, rather, for his equally impressive contributions to our community. Frank Chaney has been honored numerous times for his generosity and dedication to community causes and he would argue that, in reality, that's why his business has been so successful.
"Upon meeting any business person, you quickly sense a strong passion for their business and Frank Chaney is no exception. But you also quickly learn of his equally strong convictions about education and his sense of community spirit and responsibility.
"Here, in his own words, he captures that passion: 'many companies do not recognize their responsibility to the community. We are not and never will be one of those companies. Whenever possible, we must reach out.'
"In this same article, which describes why he was recognized as Aggregate Man of the Year in 2003 by his industry peers, Mr. Chaney talks about his work through the company foundation, the Eugene Chaney Foundation, where he oversees the distribution of 10% of the company's net profits to dozens of organizations.
"Talk to Frank Chaney and he will corner you, not about the difficulties his industry faces -- (although if you ask he will tell you) - rather, you will hear about our schools, our churches, our young people, and our environment.
"When he talks about assets, he's talking about community assets - our young people, our environment and our education programs -- and what he and his company can do to improve each of them for all of us. But it does not end with the talk. I would encourage each of you to look at this man's record of achievement.
"Few leaders ever accomplish what he already has during a lifetime, and he is still young with plenty of drive, commitment and ideas. Tonight, we appropriately join with the boy scouts to recognize Frank Chaney with their Good Scout Award. Last year, he was honored by his peers in the aggregates industry for his work.
"To be recognized by your peers and by the Boy Scouts of America, would satisfy most individuals for a lifetime. Since 1910, Boy Scouts of America has had over 110 million scouts and adult volunteers involved in touching the lives of countless others. To be recognized with their Good Scout Award is an outstanding accomplishment.
"To be honored by an organization that stands for so many positive things in our communities is a great honor to bestow on Frank Chaney and I cannot think of a more deserving individual. Frank, you have led a life that epitomizes the values scouting teaches.
"Your commitment to youth and education - your leadership on conservation issues throughout our region, and so many other reasons make you an excellent choice to receive this prestigious award and I congratulate you for your dedication and commitment.
"Frank, I am proud to join the boy scouts in this salute. We are all enriched by your work, your commitment, and your dedication to making southern Maryland one of America's truly great communities.
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