CARL HANSEN & SON CEO KNUD ERIK HANSEN - INTERVIEW


In the last (for the time being) of our look at heads of family firms, the CEO of Danish furniture manufacturer Carl Hansen & Son, Knud Erik, takes us through his career and explains how he came to be at the helm of the family firm, via shipping and a long stint of living in the Far East.


FX

Words by Emily Martin

I'm sitting with the CEO of Carl Hansen & Son's Clerkenwell showroom. It's early October and in its sliver of late afternoon light creeps into the space through the plastic sheeting that covers the many windows. The building is surrounded with scaffolding and, inside, there's no furniture, no room partitioning - not even lights - and work dust hangs in the air.

I'll be honest: this is not what I expected when invited to be the first person to view the company's new London showroom. 'Actually this is meant to have been completed, but we've had some construction delays,' says Knud Erik Hansen in a tone of excitement rather than apology. 'I love this space, but the planning permission has been tricky. We'll be finished by the spring.'

Designs for Hansen by Hans J Wegner: Wishbone Chair (1950)
Designs for Hansen by Hans J Wegner: Wishbone Chair (1950)

Hansen is the third in our series of feature profile on family-run, design-icon producing businesses and I have had the pleasure of meeting and interviewing each of them, in unique locations, to talk about their respective European-located businesses. Each company head has illustrated different approaches to their business management that, typically, rests on generations of family heritage and a lifetime of involvement.

And Hansen, in that respect, is no different: the third generation of a family-run Danish company; he is the grandson of its carpenter founder Carl Hansen. But unlike the subjects of other two profiles, Hansen didn't join his family's firm straight from education, and only joined the business some 12 years ago after a career in the shipping industry.

'We manufacture all our products in Denmark. It's very daring - it would be much more cost effective to do it in the Far East! - but we have a tradition of making good furniture and it is high quality,' Hansen tells me as we sit on Wegner design chairs that seem to fit the almost derelict-surroundings. 'We compete entirely on quality. Of course we have successful designs, but quality for me is absolutely top - it has to be, otherwise we are out of the market in no time.' Hansen is smiley and has an infectious energy about him; he could be one of the happiest and enthusiastic CEOs I've ever met.

Taking an unconventional route to joining the family business much later on in his working life, Hansen had a successful career in the shipping industry as business executive, which he says helped him gain a better understanding of business management and, crucially, how a business must grow. 'We were the biggest shipping company in Scandinavia in 1969, when I joined,' he explains. 'There were 40,000 people employed all over the world, and it was the reason I was sent out to live in the Far East. But in 1995 there was nothing left. We had no money and were not strong enough financially to run a shipping business.'

Designs for Hansen by Hans J Wegner:  Shell Chair (1963)
Designs for Hansen by Hans J Wegner: Shell Chair (1963)

Having lived for the majority of his working life in the Far East, Hansen then left the shipping company after profitable sell-off in 1994 and returned to Denmark, where he became managing director for a small mattress company, called Tempur. 'It was the fastest growing manufacturing company in Scandinavia,' says Hansen of the now widely known international brand. 'I had some good luck along the way,' he adds modestly of his own achievements. Instructed by the Tempur owners to sell the business, with relocation, to the USA, all that remained in Denmark was the production facilities. Laughing, Hansen says: 'I'm not a production guy, and I'm not going to waste my time pretending that I am!'

For the first time since starting work Hansen turned to the family business and approached his older brother Jørgen Gerner, with whom he had jointly inherited half the business in 1996 after their mother died, and who was leading the business as managing director. 'I went to him and said: "You can buy my shares and I can start out on my own" - then I'd probably buy into a company and build that one up.' To Hansen's surprise, his brother refused and instead invited Hansen to buy his shares so that he could retire. 'He was 58 and I said, "Come on, you're just born!" But he really did retire.'

When Hansen took over the Hansen business in 2002 only 17 people were employed, which provided the business with a small turn over. Hansen then built a new factory in Aarup and internationalised the organisation, which led to more than 50 per cent of goods being exported by 2008. 'I am not from the furniture business, though I'm part of the family of course,' he says.

His mother Ella had run the business following her husband's death, at the age of 50, in 1961 until 1988 when Jørgen Gerner took over. 'My mother ran the business despite never having any formal education,' Hansen. 'But she did it for just short of 30 years, even though she couldn't speak any other languages. She was a very energetic and charming lady and people loved her.'

Describing it now as a fast-growing business, Hansen says the company is growing between 21-25 per cent a year and today employs 250 people. 'It's moving forward all over the world and it's very popular. Ppeople say today, "Well, you're 250 people and you have a nice turnover and a fantastic business." Yes, but we still have to grow. It's still too weak. If you want to be part of the world we need to behave like we are the biggest in the world.'

Designs for Hansen by Hans J Wegner: Wing Chair (1960), here in Big Stripe fabric from Paul Smith
Designs for Hansen by Hans J Wegner: Wing Chair (1960), here in Big Stripe fabric from Paul Smith

With company offices all over the world, Hansen says his intention is to remain an independent business and acquire other businesses as part of the strategy - I suppose a buy-or-be-bought attitude. 'I don't want anyone to say, "We'll take you and you have no choice",' he says. 'I can see that in some of the small companies we buy, which we buy in a friendly way; they have really no chance to help themselves.'

Hansen is, nevertheless, only keen to approach smaller companies that suit the Carl Hansen & Son profile and have similar products. With a catalogue of design icons, such as Hans J Wegner, Hansen says his focus is on designs around the 'golden age' of the Fifties and Sixties. In 2011 Carl Hansen & Son acquired Copenhagen based company Rud Rasmussen, which still hand-makes its products in the city. 'It's the last producing company inside Copenhagen and it has been there since 1869,' adds Hansen. 'It's ridiculous; bought by heart and not by brain. But the furniture is fantastic and sought after; the company has a fantastic soul.'

Hansen talks passionately about the products, the people he works with and the markets he works in. He doesn't fit the hardnosed international businessman stereotype, and it's clear that Hansen's motives involve heart as well as mind. 'I love it,' he says. 'Today I only do what I feel like because we have come so far and I have very good staff. I can concentrate on what I think is necessary and what I want to do.'








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