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Delivering Variety. Creating Unique Spaces.

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Nowy Styl Group ten years later
14.06.2017

We are pleased and proud to present you the latest issue of the popular French magazine for architects Office et Culture. It includes an extensive and very interesting article about our company.

The relationship between Nowy Styl Group and the magazine can be described in one word ‒ historical. Ten years ago, in 2007, Alain Boisson, Publishing Director of Office et Culture, together with Jean-Paul Fournier, Editor-in-chief of the magazine, accepted the invitation to come to Poland from our French subsidiary. The guests visited our production plants and conducted an interview with Adam Krzanowski, President of Nowy Styl Group's Management Board. In December 2007 they published a 7-page article titled: "Nowy Styl ‒ a new furniture industry giant coming from the East, not very noticeable but extremely effective." In the article, the authors painted a glowing picture of our company. They also told readers our history and made an assumption that in ten years we would become one of leading office furniture companies in Europe.

The ten years have already passed and the French magazine sent its representatives to Poland once again to see what has changed in our company during this time. The guests, accompanied by Mikael Nigon ‒ Nowy Styl Group's Director in France and Dariusz Frydrych ‒ Operational Director and Board member at the Group, visited our factories in Jasło. They also conducted a new interview with Adam Krzanowski. Their visit has been described in the article published today. We invite you to read some of its fragments.

"During our first trip from Cracow to Jasło, where Nowy Styl Group's production plants are located, we had to spend many hours to cover the distance of 180 km ‒ almost every 100 metres we encountered some road works. This year, half of the route was a motorway, while the other half was a smooth road with an impeccable surface. We were under a similar impression when we saw the Nowy Styl Group's factories. Ten years ago they were located in non-plastered buildings that were the miserable remains of the socialist industry. Then we also saw the first production hall of new factories that was brand-new, yet empty. It was a sign of the company's future efficiency and the upcoming capitalism. This year the hall turned out to be one of many other halls with all workstations grouped that make up the office furniture factory that is considered the most modern production plant in Europe. Of course, we do not know all furniture factories in Europe, however this one has undoubtedly the most modern equipment and management systems of all the other factories we have visited before. It possesses first-class tools that show clients the company's scale of abilities and production capacity.

More interestingly, the Management Board's headquarters is still located in Cracow, in a modest building. In Adam Krzanowski's office the only thing that has been changed is the furniture" – write Alain Boisson and Jean-Paul Fournier from Office et Culture.

Office et Culture: How would you summarise the last ten years that have passed since our last meeting?

Adam Krzanowski, President of Nowy Styl Group: When I look back over the last ten years, I can say that we have come a really long way. It wouldn't have been possible without our stable internal development and successful external acquisitions (Grammer Office and Rohde & Grahl in Germany, Sitag in Switzerland). We are now a united Group with a long-term strategy and good financial results. Today we are certainly better than we were ten years ago.

What do your sales look like in terms of particular products and markets?

Our main domain is office equipment. In practice, in all of our brands the ratio of the chair sales to the furniture sales is 50:50, while in the market the ratio is usually 70:30. This means that we will potentially develop towards furniture. The two product groups that are most promising, due to the fact that they respond to the main trends in equipping office and public spaces, are table tops with electric height adjustment (65–115 cm) and lockers. Geographically, Germany represents 30% of our sales, Poland ‒ 19%, France ‒ 7% (equal to Benelux), Switzerland ‒ 12%, the rest of Europe ‒ 20%, and the rest of the world ‒ 5%.

When it comes to the sales turnover, in 2007 we reached €292 mln, while in 2016 ‒ €318 mln. This discrepancy is due to the fact that we have separated the business activity of our Russian subsidiary from the Ukrainian one. When we compare our turnover proportionally, we see that in 2011 we reached €242 mln, which makes up average annual growth of 12%.

How can you describe your position in France?

We have been present in the French market for fifteen years now. We realise 7% of our sales there, which wouldn't be possible without our team consisting of 25 people. (...) A few months ago we opened a showroom covering 400 m² that is located at the exclusive Boulevard Haussmann in Paris. We are gaining more markets and winning more tenders for local and international contracts, so this is not huge difficulty. The list of our latest project realisations includes, e.g. offices of the company DS Smith in La Défense, seats at the Parc Olympique Lyonnais stadium in Lyon, offices of the company Sonepar CGED in Montrouge and the company Capgemini in La Défense, as well as the headquarters of Gemalto in Meudon which was awarded the Arseg Gold Trophy.

How do you imagine Nowy Styl Group to be in ten years when we meet once again?

We intend to be indisputably considered the first furniture company in Europe. I think we will be no. 1 in terms of sales turnover, but we also wish to become a privileged international partner in all European markets – not only as a furniture supplier, but also as an expert in the workplace strategy. We already have a team of consultants in Amersfoort for the Dutch market. We have also started offering these services in Poland and we will gradually introduce them in whole Europe. However, we aren't hot-tempered, so we aren't going to develop these activities in haste neglecting their quality. We will also continue to offer product lines adjusted to particular markets and cultures. We see our future in the "medium" and "high" sectors, but we also intend to maintain our influence in the economic product market. We will first of all strengthen our position in Europe, including in particular the Scandinavian countries.

We are aware of our strengths and the directions in which our prospects are the best. We are going to continue the long-term strategy, which we have defined and which has proven to be successful for the last ten years, at our own pace.