Talking pathways to success, entrepreneurship and Access Bursaries with business leaders Sir David Murray and his son, David.
Heriot-Watt Honorary Graduate, Sir David Murray (DEM), is a Scottish entrepreneur and leading businessman, who was knighted in the 2007 New Years Honours List for services to business in Scotland. He set up his first business at the age of 22, and subsequent growth of the Murray Group of companies saw it become one of the UK's most successful privately owned enterprises.
Heriot-Watt alum, David Murray (DDM), Sir David’s eldest son, is a highly experienced managing director who has engaged in lifelong learning to support his enterprising approach to company management. He is responsible for overseeing the Murray Group family businesses and the assets it owns.
In 1986 Heriot-Watt awarded Sir David Edward Murray an Honorary Degree, which, at age 35, made him the youngest person to receive one from the University at that time. What did it mean to him to achieve this recognition?
DEM: “When I left school in the late 60s, only around 4% of Scottish school children went to university. The main industries in Scotland at that time were steel, shipbuilding, and newspapers, and many youngsters went into apprenticeships in those areas. I was attracted to the metal business because my uncle was in this sector, so I took a job as a trainee with Scotmet Alloys at £7 a week.”
Aged just 22, Sir David set up his own company, Murray International Metals (MIM), in 1974, and in a little over 10 years he had created a thriving business. His entrepreneurialism was recognised with a Scottish Business Achievement Award in 1984.
DEM: “When I set up, the offshore oil and gas business was starting to take off, but companies faced very long lead times to getting the structural steel they needed. So, my approach was to buy in stock, which meant I could fulfil orders very quickly once they came in. That led to MIM winning some big contracts and by 1982 we were turning over £18 million, which was a lot of money in those days.
“A year or so after the Scottish Achievement award came the honorary degree from Heriot-Watt, which I actually used to pass by on a daily basis going to work from my home in Edinburgh to our offices in West Edinburgh, so I was delighted to receive it. I was very proud to attend the ceremony with my wife and my two boys. It felt a real privilege to gain acknowledgement from academia, despite not having attended university. Of course, somewhat later, my son David did attend Heriot-Watt as an undergraduate.”
Sir David Murray.
Murray International Metals.
DDM studied a BA in Business Administration and Management, graduating in 1996. Was it inevitable that he would choose Heriot-Watt?
DDM: “Well, I didn't really know what I wanted to do when I was leaving school. I chose business because it felt like the right thing to do, and Heriot-Watt was very well respected for this subject. Also, I did have a strong affinity to the University because of Dad's Honorary Doctorate.
“Also, I wanted to remain in Edinburgh for personal reasons; my mother had cancer. She died in my first year at Heriot-Watt, so it was quite a traumatic time. I re-sat that year because I had taken compassionate leave; it was a tough time.”
Dealing with tough challenges has defined the family; Sir David is renowned for overcoming a formidable array of obstacles. How has he come through adversity?
DEM: “I think we all go through challenging points in our lives, and they can make you stronger. As a schoolboy, my father’s business went bankrupt, which changed everything for me. Then, at age 24, my father passed away and shortly after this I had a very serious car accident.”
Sir David lost both of his legs in the accident. “I lay in hospital thinking about how I could go left or right. I had a young family, with my youngest son, Keith, not long born. I had a successful business. It was a huge point for me where it was either I go forward, or I don't. I guess I had a hunger and desire to be successful, and determination; challenges can make you very, very determined.
“Having allies and friends support you makes it easier. I couldn’t have done what I have without that. I got some of my school pals – guys I played rugby with – to join me in the business; we built it up together. At its peak, MIM was turning over £350 million a year and selling 450,000 tonnes of steel. It was a very big business, but I was only as good as the people around me.”
David Murray.
Charlotte Street, Edinburgh.
After establishing the highly successful MIM, Sir David added to the core business of steel, with interests in surface mining, commercial property development, venture capital and call centres. He also later bought two vineyards in France. The Murray Group has since evolved into a family-run business which David is now responsible for overseeing, while Sir David remains as Chairman. Is it challenging to work together as a family?
DDM: “One thing I've always tried to do is not be the same as my father! This is not to be disrespectful, but rather that I knew I needed to bring a different skill set to things; not compete with him but complement his style and approach.”
After graduating from Heriot-Watt, David worked for IMG in the Far East and Bank of Scotland’s corporate division. He has undertaken a number of further qualifications, studying at Harvard Business School, the London Business School, the London School of Economics (LSE), and Columbia Business School to develop his management skills.
DEM: “We don't mix our drinks or blur lines, as we describe it. It’s important to identify who has ownership of a particular area and not let others cross into it; that just confuses things. Our philosophy has been, ‘Are you running that one?’, and being very clear about where responsibility lies.”
DDM: “My brother, Keith, manages the wine and drinks distribution business; my dad oversees the steel stock-holding business; I manage the family holding company with a primary focus on the property and private capital investment companies.
Throughout the journey we've all asked: ‘Well, do we want to remain in business as a family?’ and we've always answered ‘Yes’ because we feel that we work better as a team. We each have an area of expertise and, as a family holding company, there is flexibility and freedom to pursue our own goals and ambitions within these different business areas. And yes, it's been really important that we don't fall out and we do stick together. That's not always easy in times of challenge!”
Keith Murray.
Chateau Routas, part of the Murray family wine-making business.
And there have been challenging times, not least the global financial crisis of 2008-2010. How do they weather experiences like these and is it different for family businesses?
DDM: “We went through a very difficult time in the global financial crisis, like a lot of businesses. It was a tough time for my dad and for all of us. Looking back, you never want to go through hard times again, but we worked together to reshape the business; the whole model has changed and we’re a tighter business as a result.”
DEM: “We came through it as a leaner business, but as a 100% privately owned family business with little or no debt. And that's how we wanted to go forward.”
DDM: “The advantages of a family business are that you can shape the business around your values. It feels like the DNA of our business, established by my dad, drives us but also gives us freedom to be entrepreneurial, to experiment and be creative, which is important. We can also take a long-term view, and I think that’s when real value creation happens.”
DEM: “We all share the belief that the way we go about our business matters as much as the investments and work we choose to do. As a family business, we never lose sight of the fact that the way we run it reflects on our family name.”
DDM: “The way we do things is a blend of two generations, and all of us are mindful of our responsibility to generations to come; not only in our own family but all those families that have a stake in our portfolio, whether as employees, co-investors, customers or suppliers.”
In 1996 Sir David Murray set up The Murray Foundation to support amputees. Its charitable objects have since expanded, and recently it has supported an Access Bursary at Heriot-Watt. Why does giving back matter to the family?
DEM: “When I left hospital after my accident, I found the support for amputees was limited. So, I set up The Murray Foundation to provide both practical and emotional support. But beyond the Foundation, supporting others has been part of my philosophy all along. For a long time I’ve invested in sport, including hockey, volleyball, basketball and football. I'm a great believer in sport as a catalyst to other things, and I think it’s really good for young people to be involved in.”
DDM: “We actually created a new foundation in 2017 so that we could support a wider range of areas. We branched out into cancer support because this disease has directly impacted our family. Local impact matters to us, and the Foundation seeks to make a difference by supporting local organisations that work to help cancer patients and their families, disadvantaged children, and homeless people, for example. It still supports people whose lives have been affected by traumatic accidents and particularly young people who are amputees. Sport and education are two key areas for us; they are part of our family's DNA.
“We are starting on our second round of supporting an Access Bursary at Heriot-Watt. To me, this is about helping to level the playing field in a small way, because for some students there are real barriers to higher education. As someone for whom education has been critical, supporting others to fulfil their academic aspirations is really important. But across our family, we are all advocates for education and learning.”
Murray Capital – the holding company that encompasses the family group’s diverse range of activities today – has recently marked 50 years in business with a new HQ and revised branding. How do they reflect on the pathway to success, and what matters going forward?
DDM: “I remember coming back from Harvard, showing my dad a paper I’d written while on the programme there, and saying here's what I think we should move towards in terms of a diversified family office. And I think we are there now; although you never stop thinking about growing and developing. Our approach is absolutely rooted in entrepreneurialism, but as a family-run business, we don’t face the same time pressures as some other organisations, so we can take a ‘patient view’ – it’s always about creating long-term value.”
DEM: “When I transferred the business to my sons in 2021, it felt like progress to me. I know it's been difficult for them in many ways; David has demonstrated great strength and resilience to come through it all. I’ve been in business for over 50 years and where we are now is the result of a gradual evolution. A great deal has changed since 1974, but the overall approach and ethos have remained consistent. We all retain a real commitment to growth and a curiosity about the world of business; we believe deeply in our business and care deeply about its legacy. The third generation of the Murray family are coming along and it would be great if the association with Heriot-Watt could be continued…!”
