Any organisation, regardless of size or sector, must be doing something right if it doubles its staff headcount. Which is exactly what contract manufacturer DDZ Technologies recently did, as explains owner Dirk du Preez: “At the beginning of 2015 we received a significant order for goods that needed a bit more hands-on work. The decision was taken to employ enough staff for that specific job, and to have it running as a separate entity.
“All of a sudden all our other work also started picking up, and we kept finding ourselves short of hands somewhere, so I decided to keep employing staff and moving staff around, until we felt comfortable with the workload. We started last year with a staff complement of eight employees, and at this stage we are up to 16, of which only two or three are still temporary. I feel we have a good team now, that works well together, and I am planning to send some of the staff for IPC training early in 2016, to ensure everyone is up to speed with the quality procedures.”
As the company has grown, so has its list of clients, and its work is now diversified across a broad range of industry sectors. “Business from one particular customer in the mining sector started picking up well during 2015,” explains du Preez, “and we also have two other customers in this sector that send work on a continued basis. We also have two clients in the telecommunications industry that have kept us very busy, and then there is also the security industry that provided a good turnover.
“We are also involved in a few projects in the railway sector, which are looking very positive. We received some decent orders out of the military industry, which is very happy with the quality of work and service we are providing. And then of course there are a few more commercial items we are involved in. Finally, we still serve the prototyping market as best we can. I feel it is very important not to neglect our smaller customers.”
DDZ Technologies’ recent growth is in stark contrast to many of its counterparts, particularly when viewed against the backdrop of an iffy economic environment. Du Preez is humble about the fundaments that have given rise to this success, and provides some insight into his business philosophy, which many organisations of varying types and sizes would do well to learn from. “Sometimes I think it is just blessings and grace,” he says, “but of course one has to have the correct outlook towards their business and personnel.
“It is very important to respect all the people working for you, and to make them feel part of the bigger picture. In this way they also take pride in what they are doing, and contribute largely to the success. I can never take the personal credit for a business that is growing – it takes dedication from everyone involved.”
Of course, there’s never any harm in learning from others. “I’ve been privileged enough to get help and advice from some businessmen in different sectors, and I take all advice given very seriously,” explains du Preez. “At the end of the day the most important thing is to give personal customer care, and to respect all customers, big or small, to respect the people working for you, and to remain true to your values.
“If one continues to send out exceptional quality products, and keep meeting deadlines, then a customer will keep coming back and will start to trust you with more and more. And should you have a small failure somewhere along the line, one can usually resolve it without much pain, and continue to grow the business relationship. Another aspect might be that I remain involved in all the operations myself, and try to keep a hand on everything as far as possible. I have placed certain people in responsible positions, and they help me keep a hand and eye on everything.”
For small white-owned businesses without the capital to bring black partnership on board, getting work is often challenging, particularly when it comes to government contracts. “We have been quite lucky thus far to receive orders from many different sectors, and we even do work for a government organisation,” says du Preez. “One just has to be willing to do lots of paperwork, and to keep quoting on all enquiries. There are many we do not get, because our rating might not be what is expected from some organisations. But I think there is enough work for all of us, and as we continue growing, we will get everything in place to become even more competitive.”
With all those extra staff members, it doesn’t come as a surprise that DDZ is giving serious thought to moving into some bigger digs. “At the end of last year I started looking around for bigger premises,” explains du Preez. “There is a specific project that we are really holding thumbs will come through very early this year, in which case we will definitely need a lot more space. Even if this project does not happen, I still feel that the time has come to expand. I have the philosophy if you keep a fish in a small bowl, it will never grow to its full potential. So expansion has to happen soon.”
He is also considering putting in another automated SMD line, which will inevitably require more space than the company currently occupies. “It is always difficult to make the decision of laying out more money towards a goal, but if you do not break an egg, you won’t be able to make an omelette,” he says. “So I am positive that by making bold moves we will get very far in this competitive market.”
DDZ Technologies’ philosophy of fostering strong business relationships not only applies to its customers, but extends in the other direction up the supply chain too. Although timely sourcing of electronic components can be challenging at times, the company has benefited from narrowing down the number of suppliers it sources from.
“All of the suppliers we use are reliable, and go the extra mile to help us reach our deadlines,” du Preez explains. “I am not interested in importing components myself and feel it is more important to make use of the local market, which has the infrastructure in place to get components at competitive pricing.
“We are often out when it comes to costing a specific product, but quality and reliability come against a price, and many of our customers have realised this. I am hoping to keep supporting the local components market, and hope for them to also reap the fruit of our success. I am not interested in jumping from one supplier to the next, just to get the best prices, it is more important to build up good business relationships, and to support each other on the way forward.
Finally, du Preez sums up his positive outlook for the future of DDZ Technologies: “I feel positive with the personnel and systems we currently have in place, we will be able to meet all the demands of this industry, and I do not think there is a job we will not be able to handle.”
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