Thriving Without Layoffs: Lessons from Silver Queen. Who hasn’t heard of the chocolate brand Silver Queen? Everyone seems to know it. However, not many realize that this legendary chocolate bar is a homegrown product from Garut, West Java.
According to IDN Times, this chocolate company was initially named NV Ceres, owned by a Dutchman. The company was later acquired by Ming Chee Chuang, a Chinese-Myanmarese businessman residing in Bandung. The previous owner sold it at a low price, wanting to leave Indonesia after Japan’s entry in 1942.
Thriving Without Layoffs: Lessons from Silver Queen
Chuang rebranded NV Ceres to PT Perusahaan Industri Ceres in the 1950s, with the first production of Silver Queen happening in Garut. But as demand grew, the factory relocated to Bandung.
Making chocolate bars in a tropical country like Indonesia wasn’t easy—technology back then couldn’t prevent the chocolate from melting quickly. But Chuang got creative. He experimented by mixing chocolate with cashews, and this innovation paid off, giving birth to the distinctive Silver Queen bar, known for being both sturdy and delicious.
With a perfect recipe and a taste on par with foreign chocolates, Silver Queen quickly became a hit. Rumor has it that President Soekarno was a fan. He even served it as an official snack during the Asian-African Conference (KAA) held in Bandung in 1955. The surge in orders from the event prompted Chuang to move the factory from Garut to Bandung.
In 1984, leadership passed to Chuang’s sons, John and Joseph Chuang, who established PT Petra Food, headquartered in Singapore. PT Perusahaan Industri Ceres was renamed PT Ceres and became a subsidiary of Petra Food. The business expanded rapidly, with brands like Silver Queen, Ceres, and Delfi dominating the market, alongside other popular products like Cadbury, Biskuit Selamat, and Top.
The Power of Loyal Employees
One of the secrets behind Silver Queen’s success lies in its loyal workforce. Employees are not just proud of the brand—they truly love it. Chuang never laid off employees, except in cases of misconduct or death. His philosophy? “Treat people like people.” Even in tough times, he kept his employees on board.
Silver Queen’s no-layoff policy is remarkable. Very few companies manage to adopt such an approach, as most prioritize profit over people. This philosophy contrasts with companies that resort to mass layoffs during crises. Quick layoffs may hurt the remaining employees and damage a company’s reputation. For Silver Queen, layoffs were always the last resort because the company believed tough times were temporary.
By retaining its workforce, Silver Queen avoided losing valuable knowledge and skills—assets that often walk out the door when employees are let go. As a result, the company was better positioned to thrive when conditions improved.
Employees as Strategic Partners
Silver Queen treats its employees as strategic partners in achieving its goals. In return, employees often go above and beyond their duties. By fostering a family-like atmosphere (though not necessarily a family-owned business), Silver Queen built long-term loyalty, leading to higher productivity and operational stability.
A Crisis-Proof Strategy
Silver Queen’s commitment to keeping employees, even during challenging times, highlights the importance of motivation through communication and dedication. Companies with a culture that values employees tend to be more resilient during market shifts or economic crises. This was evident during the COVID-19 pandemic.
Benefits of a No-Layoff Approach
The main advantage of this approach is sustainability. Companies that maintain their workforce can endure for generations, thanks to loyal, productive, and innovative employees. This loyalty and productivity result from fair treatment and recognition.
A no-layoff strategy doesn’t just benefit employees—it also enhances the company’s image. Consumers are more likely to support brands that treat their people well. In Silver Queen’s case, its humane treatment of employees boosted the brand’s popularity and strengthened customer loyalty.
Another advantage is long-term efficiency. Without layoffs, the company avoids the high costs of rehiring and training new staff later. While layoffs may provide short-term savings, they can create difficulties when business rebounds and experienced workers are hard to find. Silver Queen’s ability to retain top talent allowed it to quickly adapt and excel when the economy recovered.
Thriving Without Layoffs: Lessons from Silver Queen
Category: Organization & Business Transformation
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