The aim of most family-run businesses is to stand the test of time, a goal that influences strategy and tends to take the long-term view over short-term gains. Entrepreneur spoke to Kim Pratley and his sons, Andrew and Charles, about growing a business without compromising on quality or price.
IN BOTH B2B and B2C circles, Pratley is a household name. Pratley Putty and Pratley Steel can be found in most home workshops and garages, while cable junction boxes tend to be called ‘Pratley Boxes’ in the electrical world — even if they aren’t Pratley-made.
Building a brand that has cornered the market in many respects is a good foundation for future success, but it does not guarantee it. Sustainable growth takes an ingrained value system that the entire organisation believes and follows, strong cash flow, continuous innovation, an unwavering focus on quality and sacrificing short-term gains for long-term aims.
Pratley has been on a steady growth trajectory over the past 70 years. Many companies reach maturity and stagnate. Pratley has done the opposite. All growth periods are followed by consolidation, but despite numerous challenges and tough market conditions, the line continues to move up.
Here are five key areas that Kim, Andrew and Charles are focusing on to maintain that growth, now and for the future.
1 R&D AS THE CORE, NOT A SMALL SIDE DIVISION
“Research and development has always been our core, and as a result of that, diversification,” explains Kim Pratley, CEO of the business. “We launched with our electrical division in 1948, followed by the adhesives division.” Before their first product of that division, Pratley Putty, was used by NASA on the moon, it was originally developed to stick electrical terminals into an electrical junction box and insulate them. “Once it was developed though, we realised that we could productise it outside the electrical sector for the consumer market, and our adhesives division was born.”
This story is from the September 2018 edition of Entrepreneur Magazine South Africa.
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This story is from the September 2018 edition of Entrepreneur Magazine South Africa.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
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