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17/06/2020

Raul Anselmo Randon Vision, Achievement and Myth

The opinion of the founder of the largest company in Serra Gaúcha about Brazil, about entrepreneurial activity and its legacy in business and life

The small ironshop founded in 1949 by Raul Randon and his brother Hercílio gave the beginning of one of the most important conglomerates of the automotive industry in South America "Young people don"t want to work anymore. You see the Internet issue. They think that overnight they"re going to invent something and they"re going to make a lot of money. But that"s not going to happen to everyone" 
 (Raul Randon) "Honorary Doctor (Doctor Honoris Causa) in Administrative engineering. I"m amazed. I"ve never attended a university... And see where my path has brought me. It"s the work of us! It"s doing the things that need to be done" 
 (Raul Randon)

A sigh before answering, he reflects on each question. Sometimes the answer is heralded by a smile, at other times by a frown. A mixture of nostalgia and perspective, a synchrony between achievement and expectation. Dreaming perspective on the future. Yes, at the age of 88, he is focused on the future. Whatever the pattern of the question, one thing frames all Raul Randon's expressions: simplicity. What to ask him? There are so many curiosities about this name that it became a myth! From the top of his nearly nine decades, he knows how to give his opinion on everything. Interested, insightful and witty, Randon follows all reasoning, understands quickly where he wants to come up with the arguments, and readily opposes. With the wit of one who works in business, he knows how to read body language like no other - a gesture with his hand, a glance at his side, a more intense blink, nothing escapes him. To follow, there is a simple and loose conversation, but profound. Being in front of the founder of the largest company in the Serra Gaúcha (Randon) could intimidate many, but in his goodness, he welcomed us with all the cordiality, making the afternoon fun and memorable. The privilege of recording an exclusive hour of Raul Randon's attention and ideas makes this edition an immeasurably valuable publication. Here is a precious record that can be read now and for many, many years, for this and for many other generations.

"The one who started the company was me andk, my brother. We wouldn't have any of that today not for Hercílio. He was very clever. He looked at a machine project and already knew how it was done, "emphasizes Raul Randon, every time he mentions his brother (died 1989), alongside those who began to undertake in 1949, at the age of 20. While telling his story he makes a point of remembering it, in several moments. By Raul's vivid narrative, you can almost imagine the two, side by side – one creating machines and another opening paths, having new ideas and building a market for the company that would later be a benchmark for any Brazilian entrepreneur.

NOI: What is more important, the industrial or commercial part? What brings the business forward?

Raul Randon: Both. If you don't have a good commercial part in your company, it gets tough and if you don't have a good industrial product it gets even worse. Either the two things go side by side or not.

Have you ever had a moment when you thought about separating society?

No. But I'll tell you... Family, when you fight, you hardly make amends. If you're not related, you can still renew things and start over. But when it comes to brothers, it's very difficult. We have examples here in Caxias do Sul, of companies that have been gone bad because of this. A family feud can make business crumble. That's not the case here, fortunately.

What's the secret fo keeping the business family together?

We did a job in our family, we formed a family holding company. I gave everything to my children. There are five sons and all are members of this holding. But we seek specialized people to help us organize it. There were at least three highly skilled professionals who gave us advice.

Is the life of an entrepreneur more important than talent, academic training or persistence?

Persistence is a fundamental thing, undoubtedly, because business does not always go well, especially in Brazil, where one day is good, the other day is down there! So you always have to be "stuck" in the business. But the study is good. As far as I studied a little, so now I feel a lack of it! And I always recommend it to the youth.

Have you felt a lack of studying?

Yes, I do. I studied at the school until I was 13. I used to work in the daytime, and at night, I had a neighbor who gave private lessons, and I studied with her. I spent from two to three years taking classes with this tutor during the evenings. I couldn't stop working in the daytime. I was lucky. I mean, getting a little vision about doing things. Working in the business you're going to learn. Sometimes it's not just the study that counts. There are people who are "highly studied" but when they do business, they don't know how to do it.

But in what moments did you feel a lack of studying the mosts?

Sometimes in society like this... In the Chamber of Industry and Commerce (CIC), for example. I was in Rio de Janeiro and they called me and said I had to take over the presidency of the Chamber of Commerce and Industry. And I said, "You're crazy, I don't have an education for that." But in the end they insisted and I ended up getting it. That was 1975. I spent four years in the presidency until ‘79. Then I saw how much I lack the studies... When you enter an association and you have to take care of it. Because there you have to deal with trained people. I felt a lot, but as I had courage too, I went forward (laughs)! I worked throughout the period of construction of the Chamber of Industry and Commerce. That's because I was re-elected (I stayed two years and then two more). That was required to say that I didn't have a study, and I said! I've always been frank. But there are many things we have to consider to communicate. As a person speaks, as expressed. And also attended many courses in the Chamber of Industry and Commerce. Many people say "I am not going to participate in that lecture,  as I do not know anything", and I always thought that in these lectures is great that we can acquire great teachings. Sometimes only in a phrase that we absorb! Some important words... Can enforce the entire course.

Today you are Doctor Engineer in administrative management, recognized by the University of Padua as Honorary Doctor (Doctor Honoris Causa) in Administrative engineering. How does it feel to receive such a title awarded by one of the oldest and most important universities in the world, after having felt this difficulty at the beginning of your career path?

The professors from there came to visit the UCS (University of Caxias do Sul) and came to visit me here at the company. But I didn't know they were evaluating me to see if they'd give me the title. So I told them about the social part of Randon and everything. But I didn't expect it. Imagine it! It was approved by the Minister of Education in Rome... I didn't expect it at all   ...

And now do you feel like a Doctor?

I feel myself! But indeed I am very proud to receive a title like that. The only other Brazilian who received this title was Jorge Amado in 1996. We are only two here in Brazil. Him and me. I'm amazed. I've never attended a university... And see where my path has brought me. It's the work of us! It's doing the things that need to be done.

You have been through so many things in life, so many historical moments. How do you evaluate the world market today with the advent of the Internet?

It has to be faster! Today you take two or three phones and talk to a company in Germany, another in Italy, it's a marvel! And if you see it yet! I don't think that's everything, there's still a lot going on. But today, seeing all this technology, it makes it easier to believe in God.

Do you believe that God had anything to do with life path?

I've always believed in God, yes...

And in this country of so roguish culture, so corrupt, how to be a right businessman, who believes in God, and still to do well in business?

It has to be right in the industry and whatever it is. A country will never be completely clean. Because of the crises... There, in these moments, you see the customers, those who always acted honestly. I have always believed that we should not exploit the price issue, even when the company goes well. I never found a good strategy to abuse. We have had many cases of selling trucks and a few months later the owner has accident, taking down the vehicle. So, what to do? He had to eran money and pay for a purchase using the truck. So we would arrange for him this opportunity, so that he could go back to work. So many of them we helped, in this way we built our big company. It's that way...

Do you regret anything in yor life?

A lot of things happened for lack of experience; you know... For example, how to deal with crises. In 1980 the market was up there! Then the oil crisis had come. Our orders had fallen dramatically. And the crisis persisted in ‘81 and ‘82. And we can't stand those two years... In 1983 we had to file for bankruptcy.

And how was it?

It was sad. I never in my life thought that would happen. But, anyway, I had to. I owed 5 and had 12 capital shares (for example). I did it to avoid bankruptcy, because the creditors knew they would receive. After we entered the bankruptcy state, I really learned how to run the company. At that time, we were with 6,000 employees counting with other subsidiaries. I sold them all! We only left with 1,800 employees. That's how we got through that moment.

You basically reeducated yourself financially, huh?

Oh, yes. Then we started producing brakes, came the third axle of the truck, came the tow... of one axle, two axes. It's just that my brother did all this. He was developing things. I came to him and showed "see Hercílio, what do you say we do this here?" And he was the one who said whether he gave it or not. Sometimes he was leaning too long on an axle project, for example. So, I was asking, "What's up, all right?" If he said yes, I'd pull "then close that we're going to the next!" If not, he would continue in that forever! He was so perfectionist that he would never "be ready" (laughs)!

Do you think your marriage was important to your business life?

I'm sure! I've always had an interesting deal with her. I told her "When I get mad you stay quiet. When you're mad, I'm the one who's quiet! We can never both get mad the same time." She asked me to work here at the company, but I asked her to stay home and take care of our kids. I always believed their upbringing was what I had to give, and I always respected her authority Taking care of the kids was more important than taking care of the company. Imagine! It's not like today, they leave everything to the teachers and then they still talk bad about them. Today an education has to leave the house. The teacher teaches other things like reading write, etc. So, we could  take care of ourselves.

How was the succession process in your company?

You have to give the aithority to someone. If he's got conditions and he's smart, you have to let him do it. You have to give the mission, but you also have to give a confidence. You can't always want to be right; you have to listen to their reasons. If a child comes and introduces you to a project, you can't say it's no good. Here my children take care of everything and I am very pleased with them. I'm still attending meetings to find out what's going on. When I passed the presidency to David, I came to them and said I didn't want to be president anymore, but I wouldn't choose any of them. And that they should decide and understand each other. But also that the one who was chosen shold have asupport by other brothers. I advised them to hire qualified people who would actually take care of the company.

Are you satisfied?

I am. Here in Caxias do Sul, many people did not know how to pass the companies to their children. For you to be able to pass the company to your children, it has to be fine. This transition has to be good, correct, fair. Now, it's often when the company starts to decline that the owners pass on to their children. Only then it's no use, because the company is already coming down. There's that stories that "the Old man was good" and his kids are sucks. If the moment of transition "goes from the point", it becomes very difficult for a child afterwards. You have always to pass it  when the business is good.

Why did you want to get involved with the agricultural business?

Because there are two things that will never end: transport and food. And that sis why my company  is great as you can see (laughs)!

What about Brazil today?

It's hard. Very difficult. At 2003, 2004, 2005, 2011, 2012, 2013 the market was up there. You didn't realize the production. That's because the government gave a lot of laons. Everybody used the loan they had on the banks. What happens now? I swear it's up there and no one's buying anymore. If they had financed 6%, 7% a year, at that time, did not give that crazy race! It would not have happened all this ... It was enough to give a more time to pay and that's it.

Why has the Lord always cared so much about the human factor?

The person who works has to be treated well. It's not just salary. The salary is a part. But you also have to take care of family health, studies. We have our SSI which is a health company for all employees. We have Randon Previ too. After a year the employee works here Randon deposits a value on the person's salary and he deposits another part as well. And then it's going to generate a pension for this collaborator. We think about it because people don't usually do economics. Then you think someone who's used to winning eight, 10000 a month. When you retire you're not going to win this... So he can use that money.

Why did you always want to create so many social projects?

I've always liked helping young people.  It all started with a judge who asked me to help with underage offenders. Then, later we ended up creating the flourish project expanding the goals. I think we have to help them. Otherwise, you are seeing what is happening in the country... Young people don't want to work anymore. You see the Internet issue. They think that overnight they're going to invent something and they're going to make a lot of money. But that's not going to happen to everyone.

What's your dream today?

Oh! I keep working. But my dream is to stay active and watch the company keep growing.

While travelling around the world what did dyou find so interesting which would be worth to bring to Serra Gaúcha?

I can't say that because the world has been exploited in all ways. Even here. I couldn't say...

If you were again 15- 16 years old and had to start your professional life from scratch, what would you do?

I'd do everything I did again. If I could, I'd do it all over again!

 

Vision and courage

"I worked for four years with my father. Then I went to the army for a year and, on the turn, in 1949, my brother had assembled a small workshop, so I started to work with him (he had learned the craft of mechanic working seven years in a small, family company). My father made agricultural tools. So my brother had to learn from other family the craft of mechanics. Then a colleague of my brother gave the idea of making machines printers. That's because his uncle had the Rossi bookstore. So we made 12 of those machines. And we sold everything! That was 1950. In 1951 our workshop burned down. Everything burned! We had to start from scratch. Then there was Gianela and De Antoni who hired us as suppliers to work with the engines of their machines. We made a little pavilion, 12x20. A friend of mine had a pottery shop nearby and provided the bricks for us to pay when he did. Segala also helped us, made the project and built it. We started in 1953. In the decade of 70-ies we were already producing 700 trailers a year. Then I took a trip to Italy and saw that they produced 20,000 trailers a year. I was thinking, right... Brazil is a large country, 80% of the national cargo is transported by trucks, the country is full of roads... I'm on the right way! Then I came back and told my brother-we're going to open a factory to make a thousand trailers a month. And he told me – you're crazy! And I replied, rest assured, we started slowly. Thirteen or fourteen years later we had already achieved this production goal "

 

Biography
Descendant of the second generation of Italian immigrants settled in Rio Grande do Sul, Raul Randon was born in Tangará, SC, on August 6, 1929.. Son of Abramo and Elisabetha Randon, Raul Raul received from his parents a rigid education focused on work. Successful self-taught, acquired knowledge in fast courses, lectures and seminars, deepening his knowledge in the administrative, financial, sales, production and, more recently, agriculture, fruit growing and livestock. At age 14, he started tp work at his father's smithy until his 18, when, in 1948, he performed compulsory military service until January 1949. After returning from the army, he joined his brother Hercílio Randon in his small engine workshop. In 1956, at the age of 26, Raul married Nilva Therezinha Randon. They have five children: David, Roseli, Alexandre, Maurien and Daniel. The small metalmechanic business started in 1949 by the brothers Raul and Hercílio Randon became one of the most important conglomerates of the automotive industry in South America, integrated by the subsidiaries, as well as branches and offices on all continents. It has one of the most complete portfolios of solutions for the transportation of road, rail and off-road vehicles by Randon Implementos / Randon Veículos, Randon Argentina, as well as manufacturing Suspensys, Fras-le, Master, JOST and Castertech and work in the area of financial services (Banco Randon and Randon Consórcios). Raul Anselmo Randon established the Florescer Program, one of the actions of social responsibility of Randon Companies, maintained by the Elisabetha Randon Institute. The attendees, aged 6 to 14, are selected according to social vulnerability criterias to attend Florescer for free, in the reverse shift to that of the regular school, in order to promote their integral formation and social inclusion, also provided by transportation and food. In addition to the activities developed with children and youth, Florescer provides lectures to parents and teachers of the communities served, providing information and guidance on aspects related to childhood and adolescence.

 

Read this content in portuguese:

https://www.revistanoi.com.br/editorias/especial/raul-anselmo-randon-visao-realizacao-e-mito_1.html

 

Interview | Caroline Pierosan - Photos | Josué Ferreira