Episode 24 · S3 CEO Rod McDaniel

Why Community Is Nashville’s Superpower — A Conversation with S3 CEO Rod McDaniel

Parallel Entrepreneur with Mark Cleveland · Episode 24

0:00 / 25:47
Why Community Is Nashville’s Superpower — A Conversation with S3 CEO Rod McDaniel
0:00 / 25:47

Episode notes

In this special Innovation Series episode of Parallel Entrepreneur, hosts Mark Cleveland and Johnny Anderson sit down with Rod McDaniel, CEO of S3 Recycling Solutions and Board Chair of the Greater Nashville Technology Council.

Rod’s journey, from growing up in public housing in Nashville to leading a nationally recognized, mission-driven tech recycling company, is a powerful example of what community, purpose, and leadership can create.

In this episode:
• Why community is Nashville’s greatest strength
• How mobility, transit, and opportunity are deeply connected
• What’s fueling Nashville’s new leadership renaissance
• How to use “dead time”, traffic, commutes, swims, for growth
• Why passion outside of work strengthens culture inside it
• How companies relocating to Nashville are shaking things up
• The surprising role of musicians, artists & creators in tech culture
• The city’s collaborative DNA, and how to protect it

Rod’s story is as grounded as it is extraordinary, and this conversation is filled with the kind of insight that only comes from someone who’s built a life on purpose, service, and second chances.

Chapters:

 00:00:00 Introducing Rod McDaniel: Competitive Drive & Entrepreneurial Roots
 00:01:10 Early Lessons from Sports, Discipline & Team Culture
 00:03:05 Learning to Win Without Burning Out
 00:05:00 First Ventures and the Reality of Risk
 00:07:15 Navigating Failure, Pressure & Self-Doubt
 00:09:40 Building Confidence Through Repetition and Trust
 00:12:05 Leadership Beyond the Title
 00:14:30 Accountability, Standards & Personal Ownership
 00:17:00 What Real Grit Looks Like Over Time
 00:19:20 Building Teams That Actually Work
 00:21:45 The Importance of Culture Before Scale
 00:24:10 Why People Matter More Than Process
 00:26:30 Decision-Making Under Uncertainty
 00:29:00 Growth, Patience & Long-Term Thinking
 00:31:25 Lessons Learned the Hard Way
 00:33:40 Balancing Ambition with Perspective
 00:36:00 Redefining Success at Different Stages
 00:38:30 Community, Connection & Giving Back
 00:41:00 Nashville’s Role in Shaping Leaders
 00:43:20 Creating Impact Beyond Business
 00:45:40 Advice for Founders in the Middle
 00:48:10 Staying Grounded While Scaling
 00:50:30 Final Reflections on Leadership & Legacy

ABOUT OUR GUEST
Rod McDaniel is CEO of S3 Recycling Solutions, a 5x Inc. 5000 company and Best Place to Work honoree. A native Nashvillian and community advocate, Rod has driven more than 3,000% revenue growth, speaks nationally on sustainability and leadership, and serves on major boards including the Nashville Entrepreneur Center and Nashville Technology Council.
Follow Rod on LinkedIn

ABOUT THE HOSTS
Mark A. Cleveland — Managing Director at Kensington Park Capital, entrepreneur, M&A advisor, and host of the Parallel Entrepreneur Network.
Follow Mark on LinkedIn

Johnny Anderson — Nashville tech leader, GNTC board member, Entrepreneur-in-Residence at the EC, and host of The Impodsters™.
Follow Johnnyonbrand on LinkedIn

👉 Join the Parallel Entrepreneur Network: parallelentrepreneur.com
👉 Subscribe for more stories from entrepreneurs who thrive across multiple ventures—and live aligned lives.
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#RodMcDaniel #S3Recycling #NashvilleTech #LeadershipPodcast #MissionDrivenBusiness #CommunityLeadership #EntrepreneurStory #Inc5000 #SustainabilityTech #FaithAndBusiness #PurposeDrivenLeadership

Chapters

  1. Growth, Patience & Long-Term Thinking
  2. Lessons Learned the Hard Way
  3. Balancing Ambition with Perspective
  4. Redefining Success at Different Stages
  5. Community, Connection & Giving Back
  6. Nashville’s Role in Shaping Leaders
  7. Creating Impact Beyond Business
  8. Advice for Founders in the Middle
  9. Staying Grounded While Scaling
  10. Final Reflections on Leadership & LegacyABOUT OUR GUEST
  11. Early Lessons from Sports, Discipline & Team Culture
  12. Learning to Win Without Burning Out
  13. First Ventures and the Reality of Risk
  14. Navigating Failure, Pressure & Self-Doubt
  15. Building Confidence Through Repetition and Trust
  16. Leadership Beyond the Title
  17. Accountability, Standards & Personal Ownership
  18. What Real Grit Looks Like Over Time
  19. Building Teams That Actually Work
  20. The Importance of Culture Before Scale
  21. Why People Matter More Than Process

Full transcript

Well the competitive nature of things in life let's talk a little bit about that Our guest today is someone who embodies what's possible

when purpose meets persistence Rod McDaniel grew up here in public housing in Nashville and today he's the CEO of S3 Recycling Solutions a nationally recognized technology recycling company with locations in Tennessee and as far away as California under Rod's leadership S3 has grown more than 3,000% landed in the ink 5,000 five times he's been named Best Place to work and given nearly 10,000 devices to underserved communities Rod has earned honors like the entrepreneur of the year from Arnstein Young most admired CEO and he currently serves as board chair of the Greater Nashville Technology Council

helping guide the region's technology future Rod has spoken on stages across the country he's mentored founders and poured himself into boards and organizations that lift people up especially right here at home and these titles though they don't they don't tell the whole story what you'll hear today is a man whose leadership is rooted in faith shaped by community and focused on creating opportunity for others Rod is a friend a great leader and he reminds us that success isn't just about scale it's about stewardship let's get into it so there's an inward look at Nashville and what makes Nashville stronger and then there's this relative Nashville to other communities

perspective that we hear different people bring a facet to that conversation when you say what's Nashville strong at and when you look outside of Nashville what do we envy so what is Nashville strong at yeah I think it's a it's one of so S3 has core values one of our core values is community I think Nashville is great at community think about it just just a you know I know my story is widely known but a kid like me able to do what what I'm doing today I don't think you can do that without community and so I think we do a great job in the city at welcoming people and then getting them connected and then supporting them through their journey so I I think

I think we do a great job there now what we can approve on come on I know everybody hates traffic here yeah wow traffic reaching to the choir yeah so I don't know I I this probably a little controversial but maybe that tone will help hahaha dig baby dig ah yeah I mean and I'm probably digging right now um but yeah I I it's not necessarily directly related to technology but I remember the Mario Cano coming to speak to our board and he was talking through how that transit plan had um upgrades for lights and using technology to try to move cars and vehicles throughout the city a lot faster so I think

you know one of the things that we can work on is transportation in general cause at the end of the day like I think about my mom in order to make a really good living you've got to get you've got to be able to get back and forth to work and then on the flip side you know we don't want to spend a whole bunch of time in traffic sitting in our cars when we can be at spending time with people doing community

I love it I just I'm having yeah it's right yeah I'm sorry so you're the expert so I'm not well no I'm just thrilled to hear somebody in your position of leadership and recognizes that our mobility our individual mobility is a direct relationship to our economic success and when we're stuck in traffic we're polluting we're not leveraging technology although I have a theory and the theory might be that Nashville's growing so fast new people come to Nashville and then they sort of look around and listen to us locals complain about traffic but then they go y'all call this traffic yeah and they don't see traffic in Nashville as a problem

because where they came from it was insufferable usually and so I'm I have a theory that probably isn't very popular but I'm gonna explore it real quickly what if the time you spend in your car everybody in this culture in this community got involved in educating themselves while they were there rather than entertaining rather than listening to something that got you riled up about the news and divided us we actually said this is a competitive advantage in Nashville when we're going to work we're employed when we're in a car with somebody else we're building a community in that in that vehicle let's share rides let's listen to something that invests in ourselves

and builds our own inner capability so we arrive at work in a better Zen state we come home and maybe we're ready to be a better family man or or family member right so I wonder if there's a way we can push the idea that we can use that time trapped in traffic to improve our mind traffic university traffic university you're speaking my language now I love it professional development yes sir at dead times man that's man you're speaking my language cause you know it's it's always hard to find time right right and so I so I swim in the mornings and I've got this new device that Bluetooth does not travel underwater and so there's this device that I put on my head

and I can listen to podcast so I'll swim for about 45 minutes but I also it's my chance to to actually listen to a leadership podcast I I love you if you go through my podcast Leadership Leadership Leadership same thing in the car if I'm not taking a call I will try to find some time to to listen to some type of leadership podcast cause to your point whatever we're inputting it's gonna actually come out and so if you know you're listening to something controversial to work you're being triggered and then you're going to work with that with that spirit on you and so yeah I I I really try for for myself when when there's dead times like that to make sure I'm doing that professional development

so you're speaking my language man just imagine it if it's a half an hour or 45 minutes or an hour to work insufferable as it may be wouldn't that be great if we got a couple of hours of intellectual property development and everybody that's going to work in Nashville throughout the entire area may just set this new cultural standard we're gonna educate ourselves while we're stuck in traffic and we no longer feel stuck so much of what we do is around distraction and this is about personal growth so how does the Technology Council help manifest Traffic University let's get this thing going ooh hey we've we've got a Mister Transportation here here you go we gotta

we gotta figure out we gotta figure out something man got a nap yeah well no sign me up we actually sold that company to a couple of really really strong local entrepreneurs AI blockchain geniuses I'm feeling like I'm excited about the idea that good ideas continue to propagate and they take on new life from new leadership back to your point about leadership what what do you think Nashville is really enjoying right now in terms of a a leadership renaissance as I see it what do you see haha man a leadership renaissance now are you are you are you talking specific to government and what fair question you're asking me to narrow it I love what's happening with Vanderbilt

and the innovation cooperation that Freddie O'connell has brought to the table I think the the the the ecosystem of cooperative support organizations I think this fabric is getting tighter I think there's a renaissance I'm seeing it in new leadership I'm also seeing really friends of mine and ours that are leading these organizations today are very open to change yep and it feels like the state of Nashville this Middle Tennessee area is experiencing a renaissance in creative leadership yeah so I'd say this so I mentioned earlier that I think community is a a strong point but I also think it's a weakness because

because sometimes in that community you build a community you sometimes unintentionally shut people out but I think what we're seeing and and just go back to what I said earlier collaboration I I to to that innovation alliance that you're speaking I'm start I feel like I'm starting to see new leaders come in and wanting to collaborate instead of building a wall and saying hey no this is this is this is what we do you're seeing organizations really work with each other now and say hey look it's you know and ultimately it's better life is done better together so why not collaborate so I I think that's kind of what what I'm seeing I think the traffic is a is sort of a side effect of

of the growth that that transplants are bringing and I think it seems like the the wave of of people coming in they're bringing new ideas and new concepts and innovative ideas that maybe aren't as homegrown and as a homegrown kid I like the homegrown stuff but I do think you're right there's a there is an inclusion component that that just happens naturally when everyone hears from somewhere else oh yeah good point yeah as a as a native kid I've I've watched ideas change and and flow tell us a good example of a leader you're currently working with that's from somewhere else that brought some special flair to Nashville a leader that I'm working with

that's from somewhere else you know what I'd say this is probably gonna surprise him for for me saying this Carl Spurls he is he is a leader that I have come to really admire he's got a he's he's very technical he comes uh and he's got a servant leadership heart and I think his um his focus on uh workforce development has has really kind of gotten us to really rethink the way we have always thought about it um and I I I think um yeah they came from I I believe New York um it it's just it's it's always going back to the inclusive part

I think it's always good to have someone from the outside kind of coming in and shaking it up a little bit and saying hey look what about this what about that asking the right questions so that we can all arrive at the place we really wanna be and Carl's a great example CEO of Alliance Bernstein um another transplant is Alliance Bernstein so I'm gonna ask a different question but sort of the same question the companies that are coming to town the people that are that are moving in you know that we're also largely uh landing large uh organizations from other parts in and outs coming in Alliance Bernstein I think a Shereon there's there's all these companies that

that Nashville is now a destination to be uh what are the companies bringing what do you see the the organizations bringing in that same vein you know I I've been really surprised and I think you know we talked about Alliance Bernstein I think they've done an amazing job at uh incorporating themselves into the organization uh to the city from a philanthropic standpoint and like just getting involved um I I am actually I have been more surprised at the organizations that have come in and actually just embedded themselves into the community um you know you hear just a bunch of stories about uh sometimes uh the business community not uh getting uh

much involved in the community but I'm seeing I feel like I'm seeing the opposite of that uh they're wanting at the end of the day their employees live here they're wanting to make this place a better place and they they're they're really investing in it and then getting involved with a non profit organizations that fit their mission yeah you know I I hear people talk about quality of life so you're a native I mean there aren't very many native Nashvillians so we blue blue blood I'm a native as well and you're a native and I my wife is a native we're we're we're a unicorn as a couple this is fantastic this is Noah's Ark here of the natives but what what

I've been here for 25 years so I feel like I came in as a corporate transplant and then sold the company and you couldn't peel me out of here I'm gonna create something new in Nashville and I'm not leaving I I've been driving around the rural areas of Nashville lately it's been a thing that I've just I had a chance to go out and explore more of of Nashville and slow down a little bit and I what I've noticed is that man it's a beautiful countryside it is a beautiful area every single direction that you go in Nashville doesn't matter which direction it's beautiful here and um I guess quality of life has a lot to do with what you do with your little plot

what you do with your your your seeds that you're planting in your company and in your community and I just I've consistently over 25 years seen nothing but better and better and better and better and better quality of life in Nashville I would agree and that that actually segways into a into a good question and maybe our last one for Rod someone asked me the other day Greater National Technology Council that g when did we change that and I think it's been that way for I don't know 10 years that it's been the Greater National Technology Council can you talk a little bit and really about you know picture driving through um Goodlettsville Tennessee Hendersonville

Tennessee Fairview why is Greater Nashville Technology Council why is that G so important yeah the G the G is extremely important and and it's and it's a you know what's funny we've been dropping it a lot you think about it we've always said just the NTC but the G is very important and I um I was telling Mark the uh some time ago and I just like hey my new my new my new theme is ain't nothing but a G thing hahaha we gotta add the G back in ain't nothing but a g thing baby we are the G men hahaha but to your point my business a tech tech business is based in Springfield yeah g that's a g right uh we are I mean we're seeing uh

tens of thousands of devices that go through our facility on a monthly monthly basis uh and we are a part of the greater Nashville area and so I I think going back to the inclusive part we've got we've got some work to do to make sure um the G's are included because it there are a lot of organizations in these rural areas that have technology that that are looking to improve technology that we need to include in and so I like I said ain't nothing but a G thing baby ain't nothing but a G thing thanks for making it so great around here Rod your contributions have been tremendous well thank you thank you thank you you guys as well following

following behind some greats 2 2 exit tears that's where that's where I'm trying to get well we can help you with that yeah and at the same time um that is probably a thing that is also important about Nashville is that the people who exit don't leave yeah they stay and continue to reinvest I I I've heard uh complaints over the years about not having the big exits and the big Silicon Valley compared to what Nashville has great citizens who do manage to create great companies and contribute to the community and then at the same time stay and reinvest in in so many ways I think philanthropically there's a

a tremendous uh philanthropic community here yeah doesn't get enough attention the the culture of of help that Nashville brings to the table when when we've talked to leaders and they um they give feedback we we ask them what's different about Nashville that's always a great question what's different about Nashville what's what's our secret sauce and almost always there's a conversation around um two things one we're a networking town so you're always one degree away from someone but the more important part that I've seen is and there's a willingness to make introductions cause without the second part the first part kind of doesn't matter except for you

but there is a willingness we are here to help and so I I love that we are that community and I love those examples of where not only is it about the connections and your network but it's about the willingness of that network that this town seems to have very uniquely that I'll also introduce you to that one connection I'm willing to help you and that is such a a Nashville thing and I hope we always keep that so what's what's one thing we can do to always keep that huh well I mean it reminds me of company culture um you know I think that that that's a hard one because the mayor

you know uh uh policymakers change those type of things change but they're typically usually um I'll call the anchors in business around here uh that kind of set the tone and I just like business CEO sets a tone for culture and I think the anchor leaders uh in town like HCA um like like any of the major corporations HCA is a a great giver of the community and I think it when you've got organizations that set that tone that that's really the culture of the city and so I I'm really proud of Nashville for uh for keeping that culture but I I think if we as long as we can keep those organizations if they can stay grounded the way they they have been over the years

and HCA as I as I mentioned is is one that does a really good job I think it's hard for other organizations to come in town and not be a part of that culture it's just it's just who we are you get ostracized if you don't yep you really yep yeah well you just don't fit I I suppose might be what what yeah I had an observation as a technology company owner and uh I think Nashville has a widely understood core fabric underlying brand of Music City yep and maybe on top of that is the healthcare city etcetera but I went in my own experiences with my employees as I started to try to learn what what is making them more successful in

in my organization what makes them help each other be successful and I noticed uh that spirit of collaboration which we're talking about yeah but they were all musicians um my database guy was a musician my customer service guy was a musician my gal running the warehouse was a musician and they did this thing during the day in the company and then as I started to get involved in the music business myself I experienced what is collaboration you're the lead guitarist you're the drummer we're riffing everybody is contributing and taking and receiving and offering and improving and they're collaborating in real time like that's the thing that's what you do as a musician is collaborate

and I noticed that some of the greatest people that I have worked with were like secret closet air guitar for sure talented musicians and it became a pattern to me I think that that that the part of the fabric that is making Nashville special is the thing that we don't think about which is the why how we collaborate how we collaborate with each other and we're all good at collaborating with each other and then at night time we go play you know at some secret song circle thing it's just a I'm wondering do you experience that when you look at your employee base do you and your and your and the people that you work with do you see a pattern that they're in one form or

or another an artist or a musician underlying that now that you have pointed out yes haha I've never thought of it but yeah like uh uh I think that is a and we encourage it at work um so as an example one of our account managers um he is a he was a drummer actually he no longer works with us now but um tell the story I have a video it was posted maybe about 2 years ago of him and um as a part of what we do we try to support you externally and so the entire team showed up uh to his uh he he performed downtown and we showed up and he he didn't know we we didn't tell he had told us about it but we

we didn't tell him that we were gonna show up wow and we got it on video uh his response of seeing us um and I think that just goes back to just encouraging people to still follow you know follow your passions uh outside of work cause I mean at the end of the day work is work is work is one thing um you know it it does provide uh a it gives you a living to provide for your family but you know don't lose yourself and uh and and not have fun and and and make a life for yourself so I I I think that's uh I think that's extremely important I mean even for myself I've I've had to go through that stage of myself where I was just busy busy busy business business

business and I stopped and was like you know what uh I'm gonna do something outside of this uh I can add another facet to myself like kickball like I play kickball we were league champions last uh last the this past season that's at that has been fun every Monday go out and play kickball um I officiate football so it's a not necessarily from a music standpoint but right we've got quite a few musicians on on staff that uh that that do that but I think just your passions outside of work in general right and you just described team sports I don't know I I want to have a a formal survey someday where we try to figure out what percentage of our employees are musicians

and how does that translate into a competitive advantage I love that as a topic and I and I've now that I'm thinking through it I I can't unsee it it is a uh it's it's every I t departments are 60% yeah they're math math is music right uh music is liquid architecture and architecture is frozen music maybe that's it the happy people make happy companies and music I dare you to listen to the music and not be happy hmm that's where we call on our closing uh theme song right

Rod thank you so much for joining us we appreciate your time and you sharing your story and some of your insights and this has been a great discussion yeah really appreciate it I'm gonna have to go get one of those underwater earbud things oh yeah yeah when you swim in one day Zygo Zygo Zygo's the name it's pretty cool

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