Breaking political bread
DURING the Nineties, Ivan Yates was one of the rising stars of Irish politics.
Minister of Agriculture while still in his thirties, the Wexford politician appeared destined to become leader of Fine Gael and a possible future Taoiseach. Yates stood down at the last General Election to take over the full time running of the chain of betting shops he had founded.
Few questioned his decision, motivated as it was by a desire to spend more time with his family and escape the endless ground of constituency politics.
Brody Sweeney also rose to prominence during the 1990s. His franchise chain of sandwich shops has spread like a bush fire. Turnover at the 280 store chain is touching the €100m mark. The franchisor's annual income is now close to €10 million.
This week, Sweeney announced that he was joining Fine Gael and that he intended to run for the Dáil in the constituency of Dublin North East, a highly competitive three seat constituency.
Before taking the plunge, he sounded many people out. "Universally, I received two comments 'fair play to you' and 'you're nuts'." But this, it seems, was an itch that just had to be scratched.
"After the last General Election, I felt disillusioned. The government had got back by default because the opposition was weak and directionless."
He discussed the situation with his friends. They shared his view. In his view, Irish business people "just tend to take the money and run" instead of contributing to public life.
Brody decided to get off the ditch. Having grown up in a non political family, he was open to all bar Fianna Fail. "I have a memory of the sleaze and that hasn't gone away for me," he says.
Over an 18-month period, he researched three parties: the PDs, Labour and Fine Gael. He also talked to people such as Superquinn founder, Feargal Quinn, who got himself elected to the Seanad as an Independent. He liked the individuals he met in both the PDs and Labour, but found one a little too right wing, the other a little too left wing. FG was in his comfort zone.
Happily, he still has a lot to learn when it comes to toeing the party line.
He admits to being attracted by Fine Gael's status as "underdog" and to having second thoughts after a trip to the party's 2004 Ard Fheis.
"I got the biggest fright of my life. I almost pulled out. It was so out of date.
"It was like a country rally. It is a big old organisation that got beaten up badly (in the 2002 Elections)."
Political parties need to be shaken up so that the "best and the brightest" and the young are once again attracted. The tallest of orders surely. He cites his own company's annual get together, a kind of corporate sales rally, as an example of what could be done.
"Currently, Ard Feiseanna are built around the Saturday night leader's speech for the TV. You need to bring back controversy and team building so as to achieve buy-in. Young people are used to music, video, lights." More Barnum & Bailey, in other words.
But there must be meat in the party sandwich, too.
"The old values of any Party such as honesty and vision, these are timeless."
With this in mind, Sweeney has produced what he describes as a "Green Ireland Business Development Strategy," a case for the development of the country's indigenous sector, particularly in agriculture, food production and tourism.
He warns that "Ireland's Green image is disappearing fast" and suggests a major drive to promote Irish food with the establishment of a food promotion board along the lines of Bord Bainne.
He argues that we need to stem the current tide of urbanisation and reduce our reliance on foreign inward investment.
Sweeney also emphasises the importance of addressing the needs of the many people just getting by, two income commuting families with heavy childcare costs, John Bruton's "coping classes" if you like.
While few entrepreneurs have touched politics in recent times, there have been notable success stories Albert Reynolds, Peter Barry, Hugh Coveney, to name but a few.
Across the Atlantic, Michael Bloomberg, CEO of the Bloomberg media/information group, got himself elected Mayor of New York City with full time executive responsibilities, succeeding Rudy Giuliani in 2002. Bloomberg even switched parties from Democrat to Republican in the process.
The Reynolds pet food business thrived in family ownership, helped by Albert's canny ability to access various grant aid schemes. But one has to look no further than Barry's Tea for an example of how the oil and water of politics and business can mix.
Peter Barry entered the Dáil in 1969, taking over the seat once occupied by his father, Tony.
In 1973, he stood down as MD to enter the Cabinet as Minister for Transport and Power.
He later served as Minister of Education before becoming Minister for Foreign Affairs in 1982, later playing a critical role in the negotiation of the 1985 Anglo Irish Agreement. Barry's Tea has thrived in his intermittent absence. Profits reached €13.7m in the year to April 2003.
Around seventy people are employed in the business. Barry's now accounts for over one third of all sales in a tea market now approaching 100m in turnover.
In December 2003, Barry's joined forces with Bank of Scotland Ireland to buy Batchelor's from Northern Foods for €95m. Son Tony Barry is now in charge of day-to-day affairs.
100% of Barry's remains in family hands.
Mixing politics and business is no easy trick and the key is to find good managers to take over the business. According to Brody, he has always planned to step back from the business after he reached the age of 40. He is now 44. This is not a midlife crisis.
His involvement in the Special Olympics whetted his appetite for outside activity.
"It allowed us to leverage our brand, but it was also had a benefit in terms of goodwill and keeping the team together."
The O'Brien's CEO is currently working on a plan to set up an international charitable brokerage with the aim of forging links between Ireland and one African country on a much deeper basis than is currently the case.
The idea is that organisations such as the IFA and Chambers of Commerce would twin with counterparts in the developing country. Ethiopia is seen as a possible example
At the same time, O'Brien's itself is undergoing a revival after a period of relative stagnation.
The Company is making money.
Sweeney declines to specify how much "my mother wouldn't even ask me that" before adding that they are "doing well." He expects turnover to rise by about 10%, this year, following the revamp of the O'Brien's stores.
New concept stores are replacing the existing formula which had grown tired after almost a decade. In come new breads, juices, carved hams and free range eggs.
The new, higher priced products will be sold side by side with the existing sandwiches, at least until it is proven that customers will accept somewhat higher prices. The move sounds a touch risky remember Bewleys and its move upmarket? But Sweeney is confident. He also believes that the company is ready to step up its rate of expansion once again, after a period of slower growth.
He once stated that he thought that O'Briens was capable of adding 500 to 1000 outlets a year. He is unapologetic about such predictions, pointing to the example of the US sandwich seller, Subway, which opened more than 2000 stores last year.
It is all about getting the formula right and securing the right franchisees while achieving the sort of density that allows the brand to have real impact.
So by moving into politics is he not taking his eye off the ball at a key time in the game? No, he insists. "Feargal Quinn told me that when he had to take over as CEO at An Post, he thought that Superquinn would lose out." Said Quinn: "In fact, in the year I was out, the business did better than ever as I was not around, second guessing everything."
The question will only arise should Brody secure a Dáil seat and much then will depend on whether Fine Gael will be in Government. Clearly, the sandwich man would like a ministerial car, if not a seat in Cabinet, but is not foolish enough to lead with the chin in that regard.
On FG leader Enda Kenny, his view is that he is "growing into the job" adding, with disarming frankness that "he (Kenny) has a prayer now, though maybe not a huge prayer yet."
He is clear that Fine Gael will regain power as the leading Government party sometime over the next couple of elections.
But what about all that money he might never get to make if he goes into politics full time?
"I have a car, a house, a house in Sligo, a boat. I don't want another car, another boat. I have now ambitions to amass tens of millions."






