Passing on Values (and the Business) from One Generation to the Next

What keeps a family farming operation going strong for more than 100 years?

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Passing on Values (and the Business) from One Generation to the Next | Episode 12
(Lori Hays)

What keeps a family farming operation going strong for more than 100 years? Pat Hord, a pig farmer from Bucyrus, Ohio, says it starts with understanding that decisions should be made around what’s best for the business.

In 2023, his son Phil Hord, 32, was named president of Hord Family Farms and his daughter Colleen Hord, 31, was named chief financial officer. In some people’s minds, those were big titles to get at a young age. In Pat’s mind, those were titles his children earned, and a decision made in the best interest of the business.

“Phil and Colleen are the fifth generation in our family farm,” Pat says. “For us to be able to continue handing the family farm over generation by generation is a sustainability story in and of itself.”

Generation to Generation
Pat and his wife, Janel, encouraged all four of their children to go to college. Although there were no expectations placed to come back to the farm, Phil says going off to college and expanding his horizons made him realize coming back to the farm was an opportunity he couldn’t pass up.

“We were in a growing period of our business, so there was an opportunity to come back,” Phil says. “My path back into the business was planned. I started working in the sow farm as an entry-level technician for several months. I worked my way around the business in different areas – human resources, accounting, wean-to-market. I gained a lot of experience in my first few years relearning it from the ground up.”

The Hords intentionally set this plan into place while Phil and Colleen were young. They were each assigned special projects to complete when they came to work for the family business.

“Both Phil and Colleen needed to understand the business well from the ground level. I think those projects gave them the opportunity to do that,” Pat says. “It was all a proving ground.”

The projects allowed them to build trust and understanding with the rest of the team. The landscape was much different than when Pat transitioned into the family farm, he points out. Years ago when he came to work for the family farm, they had one employee. When Phil came back 10 years ago, the farm had grown in size and already had an established management team.

“Phil had to prove his competency, as well as develop communication and build trust,” Pat adds. “It was earned. At times, he had to work harder than everybody else, because he didn’t start at zero. He started at less than zero because everybody knew he was my child.”

At the end of the day, hard work and effort paid off as Phil and Colleen found their place in the business.

“That’s a big piece to us and how we think about generational transfer,” Pat says. “We tried to do a good job in that transition. It has to be led by what’s best for the business. I think that’s what I’m most proud of – their ability to come in, take responsibility and work through that process.”

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It’s OK to Fail
In many family businesses, it’s hard for the patriarch to hand over control, Phil says. He appreciates and admires the approach his parents took in their succession planning process.

“My parents wanted us to be in the trenches with them now,” Phil says. “It allows us all time to figure out how we work alongside each other, how we make mistakes and how we bounce back. Most things I’m getting into in a given week are things I don’t necessarily know how to do. And that’s okay. I believe problem solving and having the tenacity to keep moving forward are necessary to remain in the pork industry today.”

Pat hasn’t hesitated to challenge his kids with responsibility in their new leadership roles. He believes that’s an important piece of succession planning.

“As you work through these things, don’t be afraid. We all learn so much by doing and being a part of it,” Pat says.

He also recommends working with a consultant who can help with some of the blocking and tackling of working through succession planning.

“Some people may all of a sudden end up inheriting assets, but they’ve not been given the tools to be able to manage those,” Pat says. “That just sets them up for failure. That’s been a focus of ours – that transfer of information and wisdom now to be able to handle the growing asset we’ve been blessed to have.”

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Maximize Strengths for the Good of the Farm
In addition to his responsibilities on the farm, Pat serves as a director on the National Pork Producers Council’s board of directors and is well respected for his quiet and thoughtful approach to leadership.

“He considers all information and evaluates topics from a 360-degree perspective. When he speaks, everyone listens, as his tone is calm and direct,” says Cheryl Day, Ohio Pork Council Executive Vice President. “He approaches even the most challenging discussions with industry leaders, congressmen, and the governor with remarkable composure. I have watched Pat deliver the toughest messages with a firm hand without creating drama. I have always appreciated Pat’s dry sense of humor; he can naturally bond with anyone.”

Those are traits that Phil appreciates in his father, too. His dad’s consistency as a leader has had a lasting effect, reminding him that sometimes it’s better to pause before you respond, Phil says.

Day also respects the unique insight Phil provides as a young leader in the pork industry. “While Phil clearly shares the values of his parents, he has a more spirited approach. He pursues his passions but exercises restraint when necessary,” Day says. “Phil is a leader we often turn to for a different perspective that represents the younger generation. He thinks outside of the box to address pork demand, sustainability, and leading the farm team.”

It’s humbling to see people recognize strengths in your children that you’ve seen all along, Pat says. Working closely with his children gives him a front-row seat to watch them grow in their abilities.

“Phil has strengths that I don’t have. It’s like when you start playing basketball with your son and eventually, he starts beating you,” Pat says. “You have to accept that they’re better than you. He’s better at leading and executing in a team environment than me. He’s good at identifying a problem and executing on it.”

Perhaps one of the most important questions Pat asks himself is simple: How do we maximize our strengths for the success of the overall business?

“If something happens to me and I get hit by the proverbial bus, I feel very comfortable that this business is going to continue to move on and thrive,” Pat says. “That’s a great feeling.”

Go watch the entire conversation with Jennifer Shike on YouTube or go listen to The PORK Podcast anywhere podcasts are found to learn what Pat and Phil Hord have to say about how they prioritize health of mind, body and spirit in order to face day-to-day challenges as they arise, how they work with grower partners and ultimately find purpose in things bigger than themselves.

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