Employee-focused initiatives unlock value for a company.
Imagine 25% of your workforce were formerly incarcerated or homeless, you grow consistently year over year, and your goodwill adds to the value of your intellectual property — your brand. If you knew that this would work, would you still take the risk? Frontier Co-op’s inspiring journey shows how alternative hiring practices and other employee-focused initiatives can unlock value for a company.
Frontier Co-op is a cooperatively owned wholesale company based in Iowa that has grown to 50,000 member-owners since its founding in 1976. It sells sustainably sourced herbs, spices, teas, supplements, and other ingredients. Cooperatives operate similarly to other businesses as for-profit entities, where member-owners earn dividends from profits, have bylaws, and are governed by a board of directors. However, co-ops are unique in that they are owned and controlled by members who directly participate in the business. This cooperative structure has driven Frontier Co-op’s success by fostering responsible business practices, allowing it to reinvest in its sourcing partners, support causes globally, and break down employment barriers.
In 2018 Frontier Co-op formally established its Breaking Down Barriers to Employment initiative to address systemic barriers to employee success and economic mobility; it provides important support services including second-chance hiring practices, access to subsidized childcare options, transportation, and apprenticeship and skills training programs to ensure employees are successful not only within its co-op, but also in the wider community. “We have to look for our own solutions to these problems,” CEO Tony Bedard tells Real Leaders. “It’s not somebody else’s problem to solve.”
Frontier Co-op partnered with the U.S. Agency for International Development in 2018 to empower smallholder farmers to bring ready-to-eat spices and teas into U.S. markets. As Bedard puts it, “The difference is that it works, that you can tie a straight line tangible benefit to the work that you do along with the intangible.” At the heart of this philosophy is the belief that real impact comes from action, not just words. He emphasizes, “The difference between what people say and what we say is that we actually do it, and we can show you that straight line.”
This sentiment aligns with Frontier Co-op’s approach to business growth. For example, it developed a strong internal talent pipeline. “I want to bring people in,” he notes. “I want them to see a career. I want them to end up being the plant manager … the CEO of the future.” In addition to breaking down barriers to employment with second-chance hiring practices, Frontier offers subsidized onsite childcare. This vision is underpinned by a focus on community locally and globally where it has dug wells, opened schools, and contributed over $1 million annually to causes around the world.
Bedard believes effective leadership involves cultivating an environment where people are empowered to thrive. “A real leader is a person who breaks down the obstacles so that other people who work in the company can be successful,” he says. It’s this combination of action, vision, and empowerment that drives sustainable growth and meaningful change.
LISTEN UP
Hear our full conversation with Frontier Co-op’s Tony Bedard on Episode 488 of the Real Leaders Podcast.
