Louisville Slugger Museum and Factory (The implication of baseball bats for organizational leadership)
If you’re Number One, a good way to guarantee that you won’t
stay there is to continue doing exactly what you’ve been doing. Even if you do
it even better than you have been, the world around you will change.
That became a key philosophy of mine when I was in positions
of leadership in a couple of exceptionally strong organizations. But while I
was applying it to space science organizations, my favorite example comes from
baseball. Specifically, it’s the story of the Louisville Slugger.
Many baseball fans know some version of the link between the
Pete Browning, nicknamed the Louisville Slugger, and the company in Louisville
that ultimately trademarked that name for what became the dominant bat through
the 20th Century. I’ll explain why that is a perfect illustration of
success in changing times, but the story is more complicated than I had known,
including a classic story than may be more dramatic than what happened, a
somewhat-embarrassing incident of telling a story to a stranger who turned out
to be a great-grandson of the protagonist, and a slightly sad sequel that may
illustrate the same concept.
We toured the Louisville Slugger Museum and Bat Factory
today. I enjoyed the tour, seeing famous bats like one that Babe Ruth had
etched notches into for the first 21 home runs of his record-setting 60 of the
1927 season before it broke, and bats used by famous players from the early
1900s to the present. But it’s the history of the company that I really like.
First, the basic story. Pete Browning was a star in the
1880s, the very early days of major league baseball, playing for his hometown
Louisville entry in the American Association (yes, there was a league called
the American Association that was a major league, and yes, Louisville has had major
league teams for about 20 years, mostly before 1900 and a short stint in the
Negro Leagues in the 1930s). In those days, bats were precious, and Browning
wanted a new one, either because he was in a slump, or because he had broken
his. So he went to John F. Hillerich’s woodworking shop in Louisville, and the
owner’s 17-year-old baseball fan son, Bud Hillerich, made Browning a new bat.
Browning liked the bat, and other players began coming to
the Hillerich shop for bats, but that caused a family problem. The shop made
most of their money on things like butter churn handles, and J.F. didn’t want
to be messing with a fad like the new sport of professional baseball. But Bud
persisted, and when he took over the company in the 1890s, he trademarked the
name Louisville Slugger. A few years later he got an endorsement deal – I’ve
seen it referred to as the first sports endorsement deal – with Honus Wagner,
the best player in baseball in the first decade of the 1900s. Louisville
Slugger achieved such a dominance in the bat market that Hall of Famer Paul
Molitor was quoted
as saying that “part of the excitement of signing your first pro contract was
getting a bat deal with Louisville Slugger." Even today, many major leaguers
use H&B bats – they were making a batch for one of our favorite players,
leading Rookie of the Year candidate Corbin Carroll, while we were there.
Bud Hillerich’s pursuit of the baseball market is
fascinating to me. While the butter churn market was still strong for a few
more decades, I don’t think many are sold now. But H&B has sold 200 million
bats (according to the factory tour), and Louisville Sluggers are still a
significant fraction of the $287M
baseball bat market. Was Bud brilliant, or just lucky? I don’t know, but he
did the right thing, and I can’t stop thinking about it. There aren’t very many
companies from the 19th century that are still in business today.
But part of this story is about how things change, and the
company has continued to change. The company became Hillerich & Bradsby
(H&B) in the early 1900s, recognizing a marketing expert who greatly
expanded the company’s reach, and after Bradsby died and the Hillerich family
bought out his shares from his heirs, they kept the name. H&B expanded into
hockey and golf equipment, and into other aspects of baseball (e.g., batting
gloves). They also made rifle stocks during World War II. The latest episode is
a little sad. In 2015, H&B sold the Louisville Slugger division to Wilson
Sporting Goods (which is a division of a multinational company), so after almost
150 years as a family-owned business, it no longer has full control of its fate.
However, H&B continues to make bats (still marketed as Louisville Slugger,
though through Wilson), and also operates the popular museum. Again, though, I
think it represents recognizing a changing world.
Finally, I feel a small personal connection with H&B.
Besides having owned a few Louisville Slugger baseball and softball bats, I had
a fascinating conversation at a minor league game in Tucson in the mid-2000s.
It was during the era when Kerry was doing the non-sports medicine for the
Colorado Rockies during Spring Training, and could get tickets whenever she
wanted. One sunny March day, I took the afternoon off work, and went to see the
Rockies play. I got there a little late, and there had already been a run or
two scored. My seats were next to a couple of guys who were clearly watching
the game very intently, so I asked them what had happened, and they didn’t
know, which really surprised me. But then I realized that what they were
watching so intently was which player was using what brand of bat. I asked
about that, and they confirmed that they worked for H&B.
One of them asked if I knew the story of H&B, and I told
some version of the Pete Browning story. At the time, I didn’t know much about
how H&B worked, so it wasn’t until an inning or two later than I discovered
that I had just told the story of John A. “Bud” Hillerich to one of his
descendants (today’s museum tour guide said that there are at least five
Hillerichs in the company today). Like many
of the Hillerichs, he’s had many roles in the company. I really enjoyed the conversation, both about baseball bats and about life. For example, he explained that while he loved baseball, he’d never
been particularly good at it. But he was always popular in neighborhood pickup
games, because he had the best bats.
One postscript to all of this. I was curious about the real
story of Pete Browning and Bud Hillerich and the original bat. The
best-researched impartial biography of Browning
that I can find says that there are no contemporary accounts of the story,
which only became popular later as the company grew. So what’s the real story?
I’m not sure it matters, because this is one of those stories that is so good
that it ought to be true, whether it is or not.
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