Occupation Businessman Children Nick Hayek, Jr. Education University of Lyon | Role Entrepreneur Name Nicolas Hayek | |
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Title Swatch Group, Founder/Chairman Died June 28, 2010, Biel/Bienne, Switzerland Similar People Nick Hayek - Jr, Nayla Hayek, Esther Grether, Tony Hawk | ||
Nicolas hayek swatch entrepreneur why we must manufacture products
Nicolas George Hayek (19 February 1928, Beirut – 28 June 2010, Biel/Bienne), was a Swiss-Lebanese entrepreneur, co-founder, CEO and Chairman of the Board of the Swatch Group, with principal headquarters in Biel/Bienne.
Contents
- Nicolas hayek swatch entrepreneur why we must manufacture products
- Nicolas Hayek
- Life and background
- Early career
- Hayek Engineering
- Swatch Group
- Press
- Video
- References
Nicolas Hayek
Life and background
Hayek was born, the second of three children, to a Lebanese mother and a Lebanese-American father, both from Greek Orthodox Christian Lebanese families with roots in Lebanon's Northern Governorate of El-Koura. His father was trained as a dentist at Loyola University Chicago. In 2010, Hayek was ranked the world's 232nd richest person with an estimated net worth of $US3.9 billion.
Hayek died unexpectedly on 28 June 2010 of cardiac arrest during work at the Swatch Group headquarters in Biel.
Early career
Hayek started his business career working as an actuary for Swiss Re. He then assumed briefly the management of the engineering firm owned by his then ailing father-in-law, Eduard Mezger. He soon relinquished this position to search for an opportunity "to learn something new every day".
Hayek Engineering
In 1963, Hayek founded his own management consulting firm, the Zurich-based Hayek Engineering. Hayek made his mark quickly on the Swiss and European business scene by consulting and effecting successful turnarounds at several of the largest European multinationals. One of his management credos was: "The rarest resources are entrepreneurial types in top management." By 1979, Hayek Engineering had over 300 clients in 30 countries. Hayek was Chairman of the Board and CEO of Hayek Engineering from its founding until his death.
Swatch Group
In the early 1980s, Hayek was asked by a group of Swiss bankers to oversee a liquidation of ASUAG and SSIH, two Swiss watch-making firms which were in turmoil due to heavy competition from Japanese watch manufacturers such as Seiko and Citizen Watch. Hayek believed that the Swiss watch manufacturing industry could remain competitive and that ASUAG/SSIH could recover after a restructuring of operations and a repositioning of the different brands.
Hayek identified problems in products, policies and distribution as well as outdated leadership that needed to be changed. "ASUAG for example owned more than 100 separate companies - some big, some small, some modern, some backward. Most of these companies did their own marketing, R&D and assembly. It was crazy."
Hayek invested heavily in automation and the standardization of parts and tooling. This produced economies of scale and improved quality. Production was centralized, and parts were designed to be interchangeable.
The restructuring of the companies coincided with the invention of the Swatch watch which used only 51 parts, as opposed to the nearly 100 parts needed to make a traditional wristwatch without compromising on accuracy or quality and thus was cheaper to manufacture. The Swatch watch helped the Swiss watch industry reconquer a large share of the lower end of the watch market which it had lost to Japanese makers. Although the colorful plastic watch became quickly known for its flamboyant marketing, Hayek always emphasized that the Swatch watch was first and foremost a technological breakthrough.