Some years are more challenging than others. The financial crisis 2008–2009 originated in USA and was the worst crisis since the great depression in the 1930s. When the American bank Lehman Brothers went bankrupt in September 2008, everything really went downhill. The crisis spread and it was just a matter of time before it reached Europe, Sweden and Nässjö. The demand for goods sank rapidly, unemployment rose, asset values dropped and the industrial production stopped. 

Declining demand

2008 started off well for Industrilas. Budget was set with a 10% increase and we were well on our way to reach the goal. Until the last quarter started. After the Lehman crash, Industrilas experienced something we had never experienced before: orders stopped coming in and the phones stopped ringing. Since demand decreased rapidly, priorities shifted from growth and expansion to making sure the company could survive through the storm. Industrilas Management investigated necessary actions and the decisions where tough. After almost three decades of constant growth, there was no other choice than letting some employees go due to lack of work.

“Industrilas perspective has always been that there is something to do. When we suddenly found ourselves with a low workload and had to let about 30 employees go, times were tough. I vividly remember when we had the meeting about the sad but necessary news with everyone. I knew that the information would have a negative effect on many of us. After the meeting I went to my office, closed the door and cried”, Fredrik says.

Trying measures

2009 was probably even harder than the year before. Industrilas lost a fourth of the turnover and had to let go of all thoughts about long-term development. The most important thing was to make sure that everyone had something to do.

“We visited customers, offered them discounts and started projects with painting and maintenance on every machine in the factory”, Fredrik says.

Niklas Graberg, Director of Global Sales, remembers that it was a trying time for everyone.

“It was not a fun situation, to say to least. We had never experienced anything similar and it shook us all. It was definitely the toughest period in Industrilas’ history whit a lot of lessons learned. Eventually, you learn from setbacks just like you learn from success”, Niklas says.

On the other side of the crisis

Traces of the financial crisis continues to be a part of Industrilas, despite the ten years of growth and expansion. The lessons Fredrik and Management learned means that we are a bit more restricted and cautious than before.

“We have learned to be less naive and to react faster. If the same thing were to happen today, we would have acted immediately with cutting small costs that does not provide anything short-term. You should never be arrogant”, Fredrik says.

With a strong discipline, determination and a close collaboration, Industrilas managed to get back on our feet and made it out of the worst crisis in modern times.

“There is no way to think about long-term development if you are feeling unsafe in the present.  They say good sailors are shaped in rough weather. And since the financial crisis, I feel like we have an incredibly competent crew”, Fredrik finishes.