Executives to Know: Steve Caldeira, IFA

Since 2010, those efforts have been led by IFA President & Chief Executive Officer Stephen Caldeira. Caldeira, who holds a degree in political science from Providence College, recently spoke with 1851 Franchise about the changes he’s presided over at IFA, and the future he sees for franchising.

• How did your previous positions at Dunkin’ Brands Inc., The Elliot Leadership Institute, PepsiCo Inc. and (Public Relations Firm) Burson-Marsteller help prepare you for your position at IFA?
• Steve Caldeira: Since my PepsiCo days, I had been very familiar with IFA as we were strong supporters of the organization given the vast array of customers we had across many of the segments within the franchising industry. At Dunkin’ Brands, we ramped up our engagement when I came on board in 2007.

The increasing globalization of the economy has changed franchising in fundamental ways. Many large franchise organizations such as Yum! Brands currently draw more than two-thirds of their revenue from outside the U.S. To put that in perspective, the 200 largest franchisors in the U.S. already have more than one-third of their units overseas and they are adding four units internationally for every domestic unit they open. International franchisors are changing the face of franchising in the U.S.

The franchise business model is adaptable and has succeeded across virtually every culture. The model’s scalability gives it the unique ability to help quickly developing economies. Franchising creates business owners, helping build and sustain a middle class. It also has large indirect benefits for developing countries, such as establishing supply chains, transferring business best practices to new economies and establishing and enforcing quality standards.

Though the franchise industry is expected to grow and create more jobs at a faster pace than the rest of the economy in 2015 for the fifth consecutive year, federal regulatory intervention promulgated by the National Labor Relations Board (NLRB) with the support of the Service Employees International Union (SEIU), could stifle growth projections significantly. The NLRB, at the request of the SEIU, has endangered the entire franchise business model through its proposed new “joint employer” ruling.

Steve Caldeira’s short-term goals for the franchise industry include continuing to aggressively advocate against seemingly unchecked government overreach from the National Labor Relations Board. In terms of long-term goals, the IFA will educate lawmakers and policy makers at the local, state and federal level on the vital role franchising plays in strengthening local economies and communities. The association will also continue its outreach efforts, via IFA’s VetFran initiative, to help veterans find meaningful employment through franchising as they transition to civilian life.

By joining a franchise system, people enjoy the benefits of going into business for themselves without many of the risks of doing it by themselves. IFA is dedicated to promoting, protecting and enhancing the franchise industry through its various advocacy and grassroots initiatives, as well as ensuring its membership has access to a variety of educational programming. IFA Educational Foundation Initiatives such as Franchising Gives Back, which highlights the many charitable works within the industry, and NextGen in Franchising, which brings together young entrepreneurs with leading franchise executives, reflect the dedication within the franchise industry to strengthen their communities and foster growth.