Yesterday I had the pleasure of meeting with Leanne Faulkner – Founder and Director of Billie Goat Soap.
As a parent, Leanne has had great success as a start-up.
Her son suffered significant skin irritation problems. After trying all the products Leanne could find, she tried with creating her own soap using natural products including fresh goats milk.
The results were fantastic and the rest is history - Leanne left her job in corporate HR and Billie Goat Soap has been growing ever since. Check out the video below...
However, the reason we had a chat was not to discuss her success as a startup (and now limited unlisted company).
What was my main interest was Leanne’s approach to responsible leadership and Leanne went on to explain the 7 areas where she believes responsible leadership has been an instrumental element of her business development.
The discussion that ensued was very interesting with implications for businesses of all sizes and I will summarise it here...
Area 1 – Consumers
Leanne believes at the commencement of any business the initial and enduring responsibility must be to customers – who build a belief in your product.
Your business needs to maintain the responsibility of providing what customers expect from your product or service – each and every time. Delivery of consistent high quality is of utmost importance.
In accordance with this belief, Leanne has developed products that only use the best quality Australian goats milk available for production.
Another area has been to make sure that their supply chains and distribution are in place to make sure they can provide delivery to customers nationwide so they can maintain the use of their products once they have tested and become accustomed to their products and their benefits.
Now these are in place – they are considering line extensions and adding depth to their range.
Area 2 - Retailers
In association with the responsibility to customers explained above, it is highly important to maintain responsibility to their distribution channels – their direct client – the retailers.
They must be kept up to date on marketing activities and as the brand gains strength work directly with their retailers to help them build their business – through education and training of their staff.
To this end, they have developed their Billie Goat Baahh series of monthly webinars that are archived online in their retailers section of their website to provide product knowledge and retail sales skills.
Digital communications are seen as very important – given the flexibility they offer for people to access them at their own time and as new staff come on board with the retailers.
This is also complemented with face to face training with casual staff who keep their retailers in the loop with developments and education to help them sell the Billie Goat range.
Area #3 – The Environment
Leanne and the Billie Goat Soap staff see themselves as part of a much bigger puzzle that incorporates our environment and life within our planet.
Packaging is of course presentable – though also recyclable.
The beauty industry predominantly uses palm oil as a major component of soaps. This is mainly because it is one of the cheapest components.
From the massive growth in development of palm oil plantations there is considerable consumer backlash as these plantations are irradicating and replacing rainforests and the environment of creatures like the orangutans – regarded as one of humans closely related species.
Billie Goat Soap use as little palm oil as they can. Though some is needed to make the soap hard.
Sustainable palm oil plantations are an alternative – though much more expensive and if Billie Goat Soap only used palm oil from sustainable plantations for their best selling ranges – they would be priced out of the market – which would be highly irresponsible from a business perspective (see below).
So, instead they let their end customers make the choice and have introduced a new range that uses sustainable palm oil. It comes at a premium price – though then it will be up to customers to decide which they prefer and production will develop accordingly.
Leanne and her staff also support a variety of charities and not for profit community projects – including the Australian Orangutan project.
Also when visitors come to inspect their production and facilities – they are encouraged to support the charities of their choice and make donations and this has worked very well.
The result is staff are much more engaged with Billie Goat Soap as an employer (see below) as they see the positive impact they are making on the environment.
Area #4 - Employees
Coming from an HR background – support of her employees is obviously very close to Leanne’s heart.
Leanne cares about what people do in their workplace and understands that people with families need flexibility at work.
All staff receive the usual annual leave entitlements.
Additionally they get 2 extra days a year fully paid to use as family days (any time within gazetted school holiday periods). Even if they don’t have direct family they can use them to meet with extended family, nieces and nephews, etc.
Also, if their birthday occurs on a work day – they get the day off work as a birthday present.
They also get more than the standard amount of compassionate leave
And every month they have a Bleet and Eat get together of all staff where the full business is overviewed from the previous month including marketing, investment, sales and expenses – a fully transparent business that also asks for contributions from everyone to encourage engagement and creative / innovative ideas.
Staff parties and morning teas are also a common occurrence.
Everyone also comes to work knowing that Billie Goat Soap is a compassionate business that cares about the environment and community and this correspondingly improves staff morale and engagement in their responsible practices.
Area #5 - Suppliers
Leanne believes it is important suppliers are kept in the loop with activities. So they are informed of things like future orders to help with maintenance of supply relative to expected demand.
It is also important to them that they use local suppliers as much as possible, such as their olive oil from Cowra (olive oil makes up 50% of their bars), local goats milk and honey from Ipswich.
Area #6 - Shareholders
It is of course important to be responsible about providing a return on investment to shareholders. Though it is also very important to keep shareholders informed about the business – to ensure accountability.
There will of course be ups and downs with business – though monthly updates – particularly using environmentally friendly digital newsletters is invaluable here.
Area #7 - Self and Family
Leanne admits this is the area where she probably falls down most as she continues to have a very hands on approach in these early stages of their business.
Most importantly as a responsibility to herself and her families sanity, Leanne understands that it is important to understand business and roll with the punches and elations that come along.
We need a healthy attitude to business – taking the good with the bad – and every tough time is followed by a period of celebration
So always be responsible to family and your self included.
I left Leanne with agreement of her thoughts on where responsibility lies in a small business like hers. There are always going to be good and bad times – live with them with the knowledge better times will follow the bad.
It is also a common theme that education and communication are highly important across the whole process of business – from staff to direct clients to the end consumer of your products.
Digital communications are also a very effective form of engagement – from clients to shareholders – when complemented with direct communications the engagement that results develops a confidence that is admired across many service and product brands.
Leanne also sees the benefits of communicating and selling directly to end consumers and the benefits of latest digital communications technologies and social networks in achieving that will be an integral part of their communications into the future.
This is a view shared by Bob Bloom – one of the worlds leaders in PR and author of the new book ‘The New Experts’ that talks about the power of consumers in the modern age of digital communications…
View the interview I did with him here
If you would like a personal introduction to Leanne and the Billie Goat Soap team – Contact Us.
This interview was conducted by Grant Crossley – Director and Founder of Total Executive.
View a story done on Billy Goat Soap on A Current Affair here:
Learn more about Billie Goat Soap Here
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