From the comfort of their own production, warehouse, logistics, and administrative facilities, they had to move after years to rented and temporary premises. For some, this might be seen as a balancing act on the edge of survival, for others, it is an impulse to seek unconventional solutions. “I believe in the advantages and resilience of family businesses. The story of our company, founded by my parents and me, strengthens my optimism,” says Lukáš Klokan, Managing Director of PPS Engineering CZ, a family company based in Most.
“Six years ago, we began operating as a 100% family-owned business, with long-standing know-how in the field, but we were burdened with loans to build our own facilities. We managed to achieve this even during a period of sharp increases in prices of construction materials and we were able to open our new headquarters in 2021 – I see that as proof of the cohesion of our family, the reliability and trust of most of our business partners, as well as the understanding and support of cooperating financial institutions.”
In 2018, the Klokan family were not passing a thriving company, but mainly big challenges—how to build a new business from scratch, stabilize it, and then stand out from the competition. “We are a well-coordinated team in which we have just swapped roles. Now my father, as project manager, handles key projects and clients, my mother continues in her role as economist and accountant, and I have taken on the new position of managing director. My parents brought valuable experience and know-how to the new company, and I brought an innovative approach, energy and a desire to develop it in line with new technological trends while maintaining the spirit of family tradition.”
“Our strategy is based on the belief that every well-planned investment pays off,” says Lukáš Klokan, who does not share the current investment caution of many Czech companies. “We invest primarily in technology and innovation because we see that this area offers the greatest potential and is the right way to tackle competition and the changing market.”
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The company has invested generously in automation and modernization of production, developed new digital services, and successfully delivered them to its demanding customers. It has also improved the quality of its services by purchasing several new infrared welding machines. It is currently developing its own artificial intelligence language model, which should make both internal communication and customer interaction more efficient. In production, PPS Engineering has the most advanced welding machines on the market. At the same time, it is expanding its team of 16 employees with additional skilled workers in manufacturing and sales and plans further investments in research and development.
The company mainly operates in the Czech and Slovak markets. They entered the Slovak market in May this year by acquiring a competitor with nearly 30 years of history. Expanding the company’s Brno branch should also further strengthen its presence in Slovakia. “Changes in global supply chains and rising material and service costs have also forced us to seek new suppliers and markets. We responded to growing energy costs in time by emphasizing the current and future self-sufficiency of our buildings and operations.”
Already in 2022, the company doubled its export revenues, which now account for about 40% of total production. “You can find our technologies in destinations such as Hong Kong, Shanghai, Vietnam, and Arab countries. Additionally, thanks to advanced automation, we operate as an OEM for our main Swiss supplier, which allows us to deliver products back to Switzerland. This cooperation model gives us a strong position in the market and new growth opportunities, particularly in the area of high-quality and innovative product solutions,” emphasizes Lukáš Klokan, referring to an important contract with a Swiss business partner for whom they innovate and manufacture a special component used in membrane processes to produce drinking water from seawater.
Customer interest in PPS Engineering products and services is strengthened by the synergies between the company Georg Fischer (+GF+ Piping Systems) and its proven Czech distributor. “This cooperation allows us to provide top tier solutions. Our products cover segments such as energy, microelectronics and food industry, where, for example, our unique cooling system for fruit and vegetables extends their freshness.”
The IR-400A is an advanced automatic infrared welding machine →
The importance the Klokan family places on personal and professional relationships is evident in the way they pass on their know-how to the next generation. Sophistication and strategic thinking have influenced not only the decisions about the future of the family business, but also the relationship with employees.
“We are a small but efficient team where every single one of the 16 skilled people knows what they are doing and why. I have noticed how every minor discord is immediately visible and impacts performance. Sometimes a little is enough to prevent it in time. As the team expands, taking care of interpersonal relationships will become more complex but also more important. However, as an entrepreneur, I consider it an essential prerequisite for a successful company,” the managing director concludes.
Written by Věra Vortelová
Photo credits: PPS Engineering CZ
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