S. Truett Cathy
Chick-Fil-A
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by
Dr. Richard E. Hattwick
Professor of Economics (Retired)
Western Illinois University
Truett Cathy's career story belongs in a collection of biographies labeled "Christian Business Leaders," or in the broader category of
"Businesses Built on Religious Principles." In 1967 Cathy founded the Chick-fil-A chain of fast food restaurants. In building the 1,000 store chain, he explicitly relied on his religious principles. The influence of that Christian faith extended beyond the organization and operation of the business. It also included instructive examples of efforts to strike a work-life balance somewhat at odds with the surrounding commercial culture. The most notable example is the fact that Cathy insisted on closing his restaurants on Sundays.
Cathy has authored two autobiographies (1989, 2002) which are the sources of most of the following profile. The Forward to the more recent autobiography was written by Professor Frederick Reichheld, an authority on the effect of loyalty on business performance.
Reichheld has studied Cathy's company and uses it as an example of how loyalty leads to superior performance. As he puts it in the preface (Cathy, 2002, p.vi):
"(The) loyalty effect, the full range of economic and human benefits that accrue to leaders who treat their customers, operators, and employees in a manner worthy of their loyalty, is at the core of most of the truly successful growth companies in the world today. And there is no clearer case study of the loyalty effect than Chick-fil-A"
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American
References: 1. Cathy, S. Truett, It 's Easier to Succeed than Fail. Nashville: Thomas Nelson Publishers, 1988. Press, 2001. 5. "Suit Accuses Atlanta-Based Fast Food Chain Chick-fil-A of Religious Bias," Houston Chronicle, October 22, 2002. scholarships, too," The Rotarian, July, 1997, p.50. grow profitably. See Richard E. Hattwick, "ServiceMaster: 19471983, The Journal of Business Leadership", Volume 3, No. 4 (1990), pp.1-40.