Tradition

Toughness, Leadership, and Trust

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Last week, Dale wrote about Art Costello, former President of Airstream, Inc. He discussed the way Art's leadership continued to move the company forward after the passing of Airstream founder Wally Byam. This week, read about the trust Costello instilled in others.

Wally Byam had many talents. As a leader, he was thoughtful and caring, a master at understanding the strengths and weaknesses of his employees.

When Wally returned from the African Caravan in 1959, he planned to go into retirement. The seas were calling, and he wanted to spend time on the water, sailing under open skies.

So he named a new Chairman of the Board in his trusted protégé, Art Costello, now leading the company. He put my mother, Helen Byam Schwamborn, in charge of leading the Airstream Caravans and supporting the Caravan Club.

Both would go on to perform admirably in their new roles. This was a gift that Wally possessed: he was able to identify potential and ability to lead, a trait that is too often underappreciated.

Art was the perfect heir, and Wally understood that. Art was a natural leader, beloved by owners, and by 1967 he’d earned the respect not just of the whole company but also the entire RV industry.

Here’s an example of how trusted he was: when faced with a manufacturing crisis, he had to ask for help. A handshake agreement with Elmer Hehr meant his company, Hehr International, would lend Airstream their head engineer, Wayne Geiger, for assistance with all training.

This included materials, engineering drawings, equipment, and even directly training Airstream workers. The actual cost to Airstream, you’d think, would be startling, right? In reality, all they owed was compensation for Geiger’s salary while he worked with Airstream.

Only Art Costello could do this, thanks to his relationship with Hehr and his standing in the RV industry.

To close, I’d like to share some words from Costello himself. This is an excerpt from a letter he published in the internal Airstream publication, discussing the company's legacy.

“It was on May 15, 1947 that the Airstream of today actually started. It started with a plant in Van Nuys, Calif. that was in a metal building measuring roughly 40x80 feet.

“In the early days, Airstream had practically no working capital and no money to work with. Many times, employees would dig up $100 to enable me to purchase a refrigerator or a stove to install in a trailer in order to make a sale. This is one of the basic reasons why I say that the Airstream employee has played a very important part in the progress of the company. It's unusual to have employees who are willing to dig down into their own pockets so that the product can get out the door!

Making Airstream survive as a company in those days was quite difficult; sometimes it seemed almost impossible for the company to continue to keep its doors open, and certainly beyond the fondest dream that it would ever achieve the position it has in the industry today.

“It was in August of 1952 that it was decided that Airstream would be the first manufacturer to set up a manufacturing facility in the east as well as in the west, and be able to establish a national dealer organization and have its product sold on lots throughout the country. Prior to this time, travel trailer manufacturers had but one manufacturing facility and was only selling to dealers in their immediate areas. It was Airstream who at this time led the way and established two manufacturing facilities and started building a national sales organization.

“This, again, was Wally Byam’s idea…Byam was the individual most responsible for visualizing the need for a lightweight, completely self-contained, streamlined travel trailer that would appeal to a retired market. Byam knew that if he could build a following amongst retired purchasers that he would have a fairly depression-proof type business that would not be subject to recessions or depressions as much as a business which catered to the needs of people who had to be employed. He felt that retired people would have sufficient money to enable them to purchase a trailer for travel and vacation purposes.”

Costello himself retired in 1971. His times at Airstream were enjoyed, I’m sure, and rewarding too, but hectic and full of hard work. After retirement, he enjoyed time with his family. While he passed in 1972, he’s still remembered today for what he gave to Airstream: toughness, leadership, and love for the work he did (and did well).

by Dale Schwamborn