For over 170 years, Levi Strauss & Co. has been crafting a legacy of commitment to service, quality, durability and style, grounded in our values and philosophy of profits through principles. We have decades of examples of how employees and leaders have brought our approach to life in ways that have had a meaningful impact on the business and our communities. Two, however, stand out: former LS&Co. leaders Daniel Koshland and Robert “Bob” Haas.
Today, we’re learning more about these two men and how they embody the LS&Co. values we still emulate today and continue to inspire some of LS&Co.’s best work.
Embracing Courage and Originality — Daniel Koshland
In 1922, LS&Co. President Walter Haas, Sr. invited his cousin and brother-in-law, Daniel (Dan) Koshland, to join him as LS&Co.’s first vice president. Dan had graduated in commerce from the University of California at Berkeley and was working in the financial sector in New York when Walter convinced him to join LS&Co. and help restore a business on the brink of failure.
Dan got started by studying the company’s accounts. He quickly confirmed Walter’s suspicions — LS&Co. was losing money on a highly marketed product, a one-piece denim suit dubbed Koveralls. But what to do? Dan knew that ending Koveralls production would be viewed as a threat to the current Valencia Street factory manager — but he also knew that stopping the loss was imperative if the company was to survive. So, Dan plucked up his courage and shared the results with leadership. The subsequent changes at the Valencia factory would usher in a new era of growth at LS&Co.
Six years later, at Christmas time, Dan estimated profits for 1928 and sat down with Milton Grunbaum, Valencia’s factory manager, to share the happy news that Milton would be getting a $500 bonus. Although he appreciated the recognition, Milton proposed a different approach. Dan brought the idea to Walter Haas, Sr., who signed off on it. Then, the day before Christmas, Dan and Milton surprised every worker at the factory with $5 — a whole day’s wages. “It was the most moving day of my life,” he recalled 50 years later.
Dan’s legacy continued to grow throughout his tenure. When the economy bottomed-out during the Great Depression, Dan kept the Levi’s® plant open and employees working, continuing to restore profitability at the company for years to come. Dan was also noted for his wide-ranging philanthropy, both in San Francisco and in support of national organizations, including co-founding the San Francisco Foundation in 1948, where he served as its first chairman. The foundation endures today as one of the nation’s largest community foundations.
Dan’s actions, early in LS&Co.’s history, defined the company’s legacy of working toward greater social consciousness in business.
Leading With Empathy and Integrity — Bob Haas
As the son and grandson of two former LS&Co. presidents and great-great grandnephew of Levi Strauss himself, Bob Haas had large shoes to fill when he became LS&Co.’s CEO in 1984. Inspired by his heroes Mahatma Gandhi, Martin Luther King, Jr. and Nelson Mandela, Bob carved an unparalleled career path managing a profitable business while pioneering corporate social responsibility.
Bob’s grounding in service began during his years in the Peace Corps on Africa’s Ivory Coast. He quickly applied his learnings at LS&Co. upon joining the company in 1973, a time of unprecedented growth for the company.
As CEO, Bob took the company private in 1985 through a now-legendary leveraged buyout. At the time, the risky venture was the largest of its kind in American business history. Bob continued to oversee the launch of the Dockers® brand, which transformed workplace apparel habits to create business casual dress. He was also passionate about the company’s history, founding the Levi Strauss & Co. Archives in 1989.
But it was during the AIDS crisis, when the disease ravaged the LGBTQ community, misinformation and stigma was rampant, and little was known about the disease, that Bob demonstrated tremendous empathy and integrity. Bob joined employees to hand out educational pamphlets about AIDS in person, but he didn’t stop there. Under his leadership, LS&Co. pioneered HIV/AIDS awareness and education programs that became a benchmark for other companies — because he knew it was the right thing to do. Bob gave out the first grants from the programs to an AIDS organization and, despite the unknown health costs associated with AIDS, Bob led LS&Co. to becoming the first Fortune 500 company to extend medical benefits to unmarried domestic partners of LS&Co. employees.
Throughout his tenure, Bob also oversaw a global network of LS&Co. factories, examining the environmental and human impacts of their operations with great integrity. In 1991, this review led LS&Co. to publish a manufacturing code of conduct, Global Sourcing Standards (commonly referred to as “Terms of Engagement”), which guaranteed human rights and environmental protections. This has since become an industry-wide norm across apparel manufacturers.
Bob was a beloved leader known for his personal interactions with employees. He joined company skits and donned a Santa hat during the holidays to become “Santa Haas,” visiting employees at their desks to personally thank them their hard work during the year. Bob’s legendary empathy and integrity are summarized in a familiar LS&Co. phrase that he coined, “Profits Through Principles.” His motto is still used today to guide LS&Co.’s business practices.
