WASHINGTON'S LEADING BUSINESS MAGAZINE

Executive Q & A: Jim Wegner

The president and CEO of Darigold on the complexities of running a cooperative that produces a highly perishable product.
Leslie Helm |   February 2013   |  FROM THE PRINT EDITION
Hayley Young
Jim Wegner, president and CEO of Darigold

Darigold, which has $2.4 billion in annual sales and 1,415 employees, is the marketing and processing subsidiary of the Seattle-based Northwest Dairy Association, a producer cooperative with 542 member families. Jim Wegner, previously senior vice president of operations in charge of the company’s 12 processing plants, was appointed CEO last year. He was photographed in the test kitchen at Darigold headquarters on Rainier Avenue South.

SCOPE: Most people don’t realize how big Darigold is. We handle 8.74 billion pounds of milk a year and only a third of that goes to consumers as milk. We have a huge export business, accounting for nearly a quarter of all United States exports of cheese, butter and powdered milk. In places like Southeast Asia and Mexico that are hot and humid, cows do not thrive and so the countries have to import milk powder. There is also a growing market in North Africa, where Nestlé, one of our biggest customers, sells little sachets of single-serve milk powder, chocolate drinks and infant formula.

EARLY YEARS: I was raised on a wheat and cattle ranch in Reardan, a small town west of Spokane in Lincoln County. The ranch was originally purchased by my immigrant great-grandparents in 1905. Reardan is a community of people with a strong work ethic trying to build a good life for their families under very challenging circumstances. I used to raise and train cattle to exhibit in Eastern Washington livestock shows. I worked side by side with my father to raise animals. People in the city don’t realize that on a farm you can do everything right but still fail due to things out of your control, like weather or prices.

CAREER: I graduated in food science and technology from Washington State University and went to work at a Safeway processing plant. I had to learn every job in the plant, from cleaning up to pasteurizing. I worked all the night shifts. I can relate well to the people who are operating our plants because I have done a lot of their jobs.

MANAGEMENT STYLE: I try to involve people a lot more to get input from them. We’ve put a process in place where every day we shut the line down and talk about what’s going on. We try to identify problems and talk about what we can do to fix them. It’s a way to bring fresh ideas in. We talk about what