130 | From Employee to Owner: The Business of Coffee & Culture

Episode Summary In this episode of Building Better Cultures, Scott McInnes sits down with Jonathan Reed, CEO of Paddy and Scott’s Coffee, to discuss the company’s incredible transformation over the past three years. Jonathan shares his journey from employee to owner through a management buyout (MBO) and the challenges he faced in reshaping the organisation’s leadership and culture. With a strong focus on communication, trust, and a people-first approach, Jonathan highlights how visibility, vulnerability, and fun play crucial roles in creating an engaged and motivated workforce. He also delves into the company’s commitment to social impact, ensuring that business success translates into meaningful contributions to coffee-growing communities. This episode is packed with insights on leadership, resilience, and the power of responsible commerce to create real change. Key Takeaways Transitioning from employee to owner is a profound leadership shift. The MBO process is challenging but ultimately rewarding. Clear communication and trust-building are crucial for a successful transition. Leaders must be visible, present, and engaged with their teams. A great workplace culture includes fun as a key performance indicator. People—not just coffee—are at the heart of Paddy and Scott’s business. Strategic planning should involve and empower employees. Vulnerability is a strength, not a weakness, in leadership. Businesses have a responsibility to make a positive social impact. The future of Paddy and Scott’s is built on responsible commerce and community support. Chapters 00:00 Introduction and Background 08:54 Impact of MBO on Leadership and Culture 19:45 Emphasizing People Over Profit 34:52 Future Vision and Social Impact