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Inside DSG’s Operating System for Growth in Distribution

Sonia Coleman
November 14, 2025 |
Paul Kennedy, President & CEO of DSG Supply on the Driven By DCKAP podcast

CEO Paul Kennedy shares how the employee-owned distributor turns strategy into results through execution, ESOP strength, and practical tech.

Austin, TX — On a new episode of the Driven by DCKAP podcast, Paul Kennedy, CEO of DSG, opens up about how the independent, employee-owned distributor fuels growth. Kennedy explains how DSG’s operating discipline, ESOP culture, and talent development is converting strategy into measurable results.

Highlights

  • Execution with Intent: How DSG aligns leadership and reviews progress monthly to ensure strategic plans deliver results.
  • Culture of Ownership: Why employee ownership drives accountability, decision-making, and long-term independence.
  • Recruiting the Next Generation: How DSG builds awareness of distribution careers through scholarships, training programs, and local partnerships.

Execution with Intent

When Kennedy joined DSG seven years ago, the company had grown but lacked scalable structure. 

“For the first couple of years… it was really about building a foundation that we could then continue to scale the company,” he explains.

That foundation—technology, field leadership, and clear priorities—has since evolved into a disciplined operating rhythm.

Culture of Ownership

Kennedy credits DSG’s performance and independence to its 100 percent employee-owned structure. This foundation of accountability and shared success has enabled DSG to scale while staying independent.

“Being an ESOP… it has everything to do with our culture and how we show up for each other every day,” he says.

That ownership culture also guides the company’s approach to acquisitions. “You’ll never be able to align strategy if you can’t align on how people treat each other, customers, and suppliers,” Kennedy notes.

Recruiting the Next Generation

As workforce shortages challenge the industry, DSG is investing directly in talent pipelines.

“We’re sponsoring a distribution and transportation track at the Moorhead Career Academy… to give young people exposure to what distribution is all about,” Kennedy says.

The company also provides trade-school scholarships and operates a distribution trainee program for recent graduates.

By opening doors for new entrants, DSG is helping “make distribution cool again” while preparing the workforce for the future.

An Independent Path Forward

Over the past two decades, DSG has expanded through organic growth and culture-fit acquisitions, supported by an ESOP model that continues to attract and develop top talent. Kennedy’s approach connects purpose and performance, ensuring the company continues to grow while empowering its people to lead.

More Information

About the Driven Podcast

The Driven by DCKAP Podcast is an audio and video show that explores B2B leaders’ stories, digital journeys, and insights on trends in distribution and manufacturing. The podcast is hosted by Karthik Chidambaram, Founder & CEO of DCKAP, who grew the company from a startup to a global team of more than 200 employees. Follow Driven by DCKAP Podcast on YouTube or LinkedIn

About DCKAP

DCKAP is a leader in digital solutions that help distributors’ systems talk to each other. Its technology simplifies software integrations, e-commerce, and product information management for B2B companies. DCKAP’s flagship product, DCKAP Integrator, helps distributors and manufacturers automate data between ERP, e-commerce, and CRM systems. Founded in 2005, DCKAP is a global and distributed team headquartered in Austin, TX. Visit dckap.com or follow on LinkedIn.

About DSG

DSG is one of the Midwest’s largest employee-owned distributors, serving electrical, plumbing, HVAC, communications, utility, automation, waterworks, and on-site sewer and well industries. Founded in 1898, DSG provides products and solutions from leading manufacturers with a focus on service, expertise, and building futures for its customers, employee-owners, and communities. DSG operates across Montana to Michigan with corporate headquarters in Plymouth, Minnesota. Learn more at dsgsupply.com.

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Sonia Coleman
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Sonia Coleman

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