Founded in 1940s Michigan, Haworth started as an office partition manufacturer and has grown into a commercial giant that did $2.7 billion in sales last year. That success is partly due to Franco Bianchi, who has been president and CEO since 2005 (he arrived at the company in 1992 after its acquisition of the Italian furniture brand Castelli). “When I joined, I thought maybe this helps to not be from here,” the Italian executive tells host Dennis Scully on the latest episode of The Business of Home Podcast. “From day one I thought that Haworth needed to broaden its offer, its knowledge, its way to reach every type of person in every moment of their life. Now we say we design at the intersection of space and people, no matter what the spaces are, and no matter who these people are—and that’s how you explain the evolution of Haworth today.”

Part of this evolution has been acquiring high-end design brands including Poltrona Frau, Cassina, Cappellini, Janus et Cie, and most recently Heller—a process that is slow and steady. “We spend a lot of time with the target before to [determine] what is going to work the day after,” says Bianchi. “In fact, we spend so much time that sometimes the target doesn’t like it, and we end up not buying because the other side says no.” Haworth’s approach may be more time- and labor-intensive, but its leader says it’s effective. “By pre-agreeing on a path, we also de facto measure and align with the leadership team, and everything tends to move more smoothly, more effectively, because we have an alignment from day one, and the target keeps, for the most part, a degree of autonomy,” he explains.

Elsewhere in the episode, Bianchi discusses how Covid reinforced some of Haworth’s prior business decisions, how the leadership of acquired companies is an important factor, and why he appreciates the potential of AI.

Crucial insight: Bianchi believes the American market is missing out on what some of the luxury Italian brands are able to offer. “I can be, with my team, a great bridge to get the best of the content, of the ingenuity, of the craftsmanship, of the originality of thoughts that many of our Italian brands bring, and then to overlay anything that can help us to be as relevant and as in tune with the needs of the American consumer and the American designer,” he says. “The definition of premium and luxury, in my opinion, in this country, is missing a lot by not having—certainly our brand, but probably broadly [all] Italian brands [with the product and potential] to be truly premium and luxury in many more homes, in many more hotels.”

Key quote: “We are very focused on AI. The ability to help our client to successfully navigate change is what fuels, in my opinion, the future growth of Haworth on the commercial interior side. In many ways I see AI as more of an opportunity than a risk, because it’s true that some jobs are going to change. Maybe some job typologies are going to shrink. New job typologies are going to surface. There is going to be a huge, I call it skill or reskilling opportunity and challenge. Every time there is a profound change, I’m of the belief that I tend to look at the glass half full, not the glass half empty. I see it as an opportunity for us to grow more, to engage the client on being an active, positive, successful part of creating the environment for that change to be successful.”

This episode is sponsored by Loloi and Kohler. Listen to the show below. If you like what you hear, subscribe on Apple Podcasts or Spotify.

The Thursday Show

Host Dennis Scully and BOH executive editor Fred Nicolaus discuss the biggest news in the design world, including a tariff update, the International Interior Design Association’s future readiness report, and a look at the biggest stories of the year (so far). Later, Monika McCommon of The Home Influencers joins the show to talk about her new platform.

This episode is sponsored by Joon Loloi. Listen to the show below. If you like what you hear, subscribe on Apple Podcasts or Spotify.