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    Xerox. The OriginalXerox. The Original
    14 December 2007


    STANLEY BERGMAN

    A culture of giving back



    By Jacqui Pile


    Despite having left the country in 1975, Stanley Bergman still has an SA accent, albeit with a slight New York drawl.

    For 17 years Bergman has been chairman and CEO of Henry Schein, which provides medical and dental and veterinary supplies, equipment, technology and software to doctors, dentists and vets. Under his watch Henry Schein has grown from a company with an annual turnover of US$220m to $6,5bn, putting it well within the Fortune 500. From 142 employees, the company now has 12 000 across 22 countries.

    Despite a gruelling travel schedule, Bergman happily makes the time to discuss SA, a subject close to his heart.

    He grew up in Port Elizabeth, where he went to Grey High School. His entrepreneurial flair emerged at age 12, when he started his first business, selling stamps - something his school teachers were "not very encouraging about".

    "But I learnt practically everything about doing business not from school, but from working in my parents' small department store on Union Street in South End," he says. "It taught me about working with people of different cultures and that entrepreneurs can make a real difference in their communities."

    But Bergman also saw the worst of apartheid. Under the Group Areas Act, businesses and residents of South End, a thriving multicultural area much like District Six, were forcibly removed and the buildings flattened in 1965; relocations continued until 1975.

    Bergman went on to study accounting at the University of the Witwatersrand (he says the basic training in accounting in SA still beats American courses today) and did his articles at an accounting firm in Johannesburg. His wife, Marion, also a graduate of Wits, was a doctor at what is now Chris Hani Baragwanath hospital.

    "We left in 1975, because it got to the point where we either had to leave or we were going to get too involved in politics," he says. "We thought the system would go on forever and we didn't want to bring up children in that environment."

    After a stint in the UK, Bergman was appointed CFO of Henry Schein in the US in 1980. He later became chairman, CEO and president.

    "We've moved on, but the family is still very connected to Africa," says Bergman.

    He is chairman of the Wits Fund, the New York-based fund-raising organisation for the university, and visits SA and Africa "about once or twice a year". His wife was treasurer of Medical Education for SA Blacks (Mesab), an organisation that provided scholarships for black medical students in SA. She is now involved in organisations providing grassroots medical care in Tanzania. Their sons, Paul and Eddie, are active supporters of organisations fostering the arts, higher education, cultural diversity and health care in African countries. Paul is fluent in Swahili, while Eddie is the executive director of the Africa Travel Association, a company that aims to enhance Africa's image around the globe.

    "I'm also interested in improving relations between Africa and the US by working through the consulates and embassies," says Bergman.

    When it comes to SA today, Bergman says there are three main worries for foreign investors.

    "There are concerns around the upcoming elections," he says.

    "President Thabo Mbeki and finance minister (Trevor) Manuel are perceived to be pro-foreign direct investment and are generally credited with running a stable government. The new president may be well received, but we just don't know who he or she will be and what their approach will be."

    He also thinks SA should spend more money marketing its capabilities and infrastructure, as well as its stable economic environment.

    But it's SA's role in international forums that's a big concern. "SA's position on the UN Security Council makes it far more visible and sometimes it makes curious decisions when it comes to human rights and other issues within the international forum. These may be the correct decisions for SA politically, but they don't always win support from potential international investors."

    Though Henry Schein operates in developed countries, such as Australia, New Zealand, Canada, the US and in parts of Europe, Bergman doesn't rule out expansion into SA.

    "We're in dialogue with potential partners in SA," he says. "We could be there in the not-too-distant future."

    In the US, a generation of affluent and educated baby boomers, with cash to spend on medical care, has led to Henry Schein's top-line growth of 22% last year.

    But worldwide health care is moving out of the hospital and into doctors' rooms and health-care providers are focusing more on preventative care, positioning the company well for global growth. With large segments of SA's population having limited access to health care, Henry Schein's business model could work well in an SA setting.

    "In the US, we have close to 45m people who don't have access to a doctor and 75m people who don't have access to a dentist," he says. "We're committed to helping address the disparity in the delivery and access to care."

    If there's one thing Bergman has learnt from SA, it's a culture of giving back.

    Henry Schein has led its industry in social responsibility for the past three years in Fortune's list of America's Most Admired companies.

    "I think growing up in SA made me more aware of the juxtaposition of wealth v s poverty and privileges vs restrictions," he says. "It left an indelible mark on me."




    Reader's Comments




    Stanley Bergman - Sparking new entrepreneurial flair

    COVER STORIES
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  • Clive Calder

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  • Vincent Mai

  • Mark Weinberg

  • David Potter

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  • Stanley Bergman

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  • CLICK ON STORIES




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