Clay Mathile

Clay Mathile
Born Clayton Lee Mathile
(1941-01-11) January 11, 1941
Residence Brookville, Ohio, US
Nationality American
Alma mater Ohio Northern University
Net worth $3.4 billion (April 2015)[1]
Spouse(s) married
Children 5

Clayton Lee Mathile (pronounced [Muh-til]), born on January 11, 1941,[2] and known as Clay, is an American entrepreneur, investor and philanthropist, best known for leading The Iams Company,[3] to nearly $1 billion in sales before selling it to Procter & Gamble for $2.3 billion in 1999[4] in what was, at the time, the largest cash-only deal in P&G's history.[5] Mathile shared some of the proceeds with 2,000 Iams employees.

In 1970, dissatisfied with corporate life, Mathile accepted a job as sales manager at a small, regional pet food manufacturer: The Iams Food Company in Dayton, Ohio. Over time, he became the company's sole owner, CEO, and chairman. Known for his commitment to developing products that delivered superior nutrition, Mathile also emphasized innovative marketing. He is one of the few entrepreneurs to lead a company with two successful premium brands — Iams and Eukanuba.

Mathile continues to champion entrepreneurs and the free enterprise system. Additionally, he and his family have devoted their extensive charitable efforts to improving low-income children's access to quality education, helping children and their families in need and eradicating world hunger and malnutrition. Mathile elected to concentrate much of his philanthropy in the Dayton region.[2]

Early Life and Education

Mathile was born the oldest child of Wilbert "Bill" Ray Mathile and Helen Good Mathile (married in 1939) in the tiny, northwest Ohio town of Portage, where his parents owned and operated a 40-acre farm.[6] Growing up on the family farm — where everyone worked together to raise crops such as wheat, soybeans, hay, and oats, as well as dairy and beef cattle — instilled Mathile with an abiding respect for the role of the farmer, a keen interest in entrepreneurship, a love of learning and discovery, a strong sense of self-discipline, and an intense work ethic.[2]

Mathile asked to start school at age four and soon reported to the local two-room schoolhouse. By age six, he helped milk and feed the family’s twenty cows, tended extensive vegetable gardens, and participated in family dinner meetings about farm operations. Playing an active role in running the farm and working for successful local entrepreneurs like oil wildcatter Harry Moran sparked his early interest in business. Also at age six, Mathile traveled outside northwestern Ohio for the first time during a family trip to Arkansas, where his great-uncle owned a prosperous farm, sawmill, and cotton gin. Seeing the impact of his great-uncle’s mechanical cotton picker, which was a new invention, demonstrated to Mathile the power of innovation and fostered a lifelong passion for exploring new and better ways to do things.[2]

Mathile graduated at age 16 from Portage High School, ranking first in his small class of 14 students. He also lettered in basketball and earned an honorable mention for the all-state team, feats that helped to earn him a spot on the basketball team at Ohio Northern University in Ada, Ohio. He initially studied mechanical engineering before transferring to the business school.[7] When an expected scholarship fell through, Mathile took a job pumping gas.

The country was in the midst of a recession when Mathile graduated a quarter early in February 1962, with a business degree and an unremarkable 2.5 GPA. On July 7 of that year he married MaryAnn Maas, the girl he had dated since noticing the cheerleader rooting for a rival high school years earlier in Custar, Ohio.[2]

Early career

Mathile began his career as an accountant at a General Motors manufacturing plant in Toledo, Ohio. A year later, he joined the Campbell Soup Company, where he remained for seven years and held a series of positions in cost accounting, inventory control, and purchasing. The experience also taught him the importance of eliminating waste in the manufacturing and purchasing processes, as well as maintaining good vendor relationships.[2]

In 1970, dissatisfied with his stable corporate position despite the responsibility of supporting a young family, Mathile made the decision to accept a leadership role at a small, regional pet food manufacturer: The Iams Food Company in Dayton, Ohio.[6] To raise awareness of Iams’ product, which contained much more protein than competitors’ cereal-based dog foods, Mathile spent weekends at dog shows, handing out samples that his children helped him package in the family’s basement. In 1975, after shortages of the high-quality ingredients almost drove the company under, Mathile purchased half ownership of the company from founder and owner Paul Iams for $100,000.[8] Mathile convinced Paul Iams that the company needed to build its own manufacturing plant.[2]

Corporate Leadership

During his early tenure, Mathile oversaw The Iams Company's rapid growth. With his wife Mary's encouragement, Mathile purchased the remaining ownership shares from Iams in 1982, becoming sole owner and CEO.[8]

From the outset, Mathile focused strongly on product quality, research and development, and customer outreach, including marketing efforts targeting pet owners, high-end breeders, and veterinarians. He offered a 100 percent money-back guarantee to any customer who wasn't satisfied and established a customer support department equipped to answer consumer questions about their pets — even on topics unrelated to pet food, such as handling grief over the loss of a pet. He also established a strong national distributor network. Insisting that vendors be paid within 30 days ensured that The Iams Company had the best supplies available — even during shortages. Mathile also honored Paul Iams' commitment to science by funding a new research and development center,[9] which worked to ensure that dogs and cats received the best nutrition possible from Iams and Eukanuba.

Mathile was known within the company for knowing the names of employees and their spouses, children, and pets, even as the company became an international firm with a staff of nearly 2,000. He often solicited employees' advice and listened to their concerns, but he also enlisted the help of outside experts, such as Tom MacLeod (a former PepsiCo executive), who became president and chief operating officer in 1990.[10] These approaches enabled The Iams Company to achieve a strong position in the premium pet food market and sustain rapid growth both domestically and internationally.[2]

Eventually, Mathile named MacLeod CEO and became chairman of the board. By 1999, Mathile had grown The Iams Company to a 5.7 percent share of the U.S. pet food market[6] and international sales of 100 different products in 75 countries. After a lengthy search, he sold the privately held, family-owned company to international conglomerate Procter & Gamble for $2.3 billion. Mathile based his decision in large part on the belief that Procter & Gamble shared his commitment to product quality, Iams employees and customers, and the Dayton community. He distributed $100 million of the sale proceeds among Iams employees,[11] committed $100 million to fund large-scale, community projects in the Dayton area,[12] and distributed substantial, equal portions to his adult children.[2]

Family and Philanthropy

Family, faith, and service to those in need have been consistent priorities for Mathile throughout his life: he insists that his most important roles are those of husband, father of five, and grandfather of 15.[13] Mathile explains his views by paraphrasing a quote by Johann Wolfgang von Goethe: "Dream no little dreams for they have no power to move the hearts of men." He also chose Dream No Little Dreams as the title of his autobiography.[2]

Driven by a strong sense of stewardship and service, Mathile, Mary Ann, and their family determined to devote a significant portion of their wealth to initiatives to foster hope and inspire change in the Dayton region and around the world.[14] To pursue this vision, the family has launched numerous programs including:

Mathile also serves as a trustee on a select group of nonprofit boards focused on education, medical innovation, and social justice.[2]

Ongoing Entrepreneurial Spirit

Building on a career marked by both failure and success, Mathile and his family continue to invest time and resources to establish and grow promising businesses. These entities operate under the umbrella of Myrian Capital[20] in Dayton, Ohio, founded and chaired by the Mathiles’ youngest son, Mike Mathile.

Honors and Awards

References

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