This is our first story about a company that is part of an international furniture holding. Its name is “Homegroup”, and the name of its Ukrainian division is “Morgan Feniche”, which is located in Kvasyliv, Rivne region.

Another peculiarity of “Morgan Feniche” is that the company works 100% for export, specializing in the production of upholstered furniture. So the contraction of the domestic furniture market that occurred with the start of the war and is still felt in Ukraine, practically did not affect the company, but the situation in international markets had a direct impact on the factory’s capacities.

– This does not mean, – clarifies Natalia Rutkovska, the company’s executive director, – that we are absolutely independent of the realities of the hardship that the country is experiencing. It affects us on the other side: logistics. Both at the beginning and now. The domestic market began to stabilize, but the transportation of products abroad became complicated again. For a company that regularly exports all its manufactured products, the prolonged situation at the border with Poland greatly complicates the work.

As for another problem that is starting to grow – personnel, it is common to us and our colleagues, the same as in all labor collectives in Ukraine. For us, it becomes more acute in the sense that the volume of orders has started to increase, the fulfillment of which would not only bring the company to pre-war levels this year, but possibly even exceed them.

However, the troubles that did not bypass us in some ways did not become critical for the company. First of all, thanks to the fact that they united our numerous team even more. They taught top managers not only to anticipate possible difficulties, but also to effectively confront them.

-The more numerous the team (and before the war, you had about a thousand employees), the less noticeable the personnel losses. But they are still noticeable. Especially when key, most experienced employees are ‘pulled out’. Is it possible to somehow minimize the consequences of this process with the company’s current capabilities?

– For us, all losses are important and noticeable. We see several options for working on this issue. The first is the development of the employer brand. That is, to make the company the most attractive employer in the region.

– It is already quite attractive, considering that you treat your employees to free lunches, provide work clothes, bring them to the factory and take them home by your own transport, and teach newcomers the furniture craft.

– Yes, we do all this even in wartime conditions. In order to retain current employees (of course, this does not apply to mobilization outflow), and to be attractive for recruiting new ones. Because we have set a big and difficult task for ourselves: to grow by three hundred new employees. And this year already. This, in turn, will require expanding production facilities and increasing the machine pool. As you can see, the task is indeed very difficult, but we are not scared of it.

– In addition to what has been discussed, what else can make the company an attractive employer?

– Let’s say, a real opportunity for career growth. In addition to the fact that the company annually reviews salaries upwards, we have also introduced a grade system that motivates employees to grow professionally, and consequently in salary. In turn, this contributes to their innovative initiative. Every reasonable proposal does not go unnoticed by management and is implemented.

Another task is to continue to expand and deepen lean processes in production for greater efficiency and efficiency. And also so that furniture operations are more comfortable for people, including in terms of production culture. This requires additional funds, so we are counting on grant funding, and the company’s owners are ready to invest in this, understanding that this is about the development of its Ukrainian division.

We are aware that the shortage of male labor force, which will become more acute until our victory and will remain noticeably afterwards, will significantly change the domestic labor market. Many ‘male’ vacancies will be taken by women, and people with disabilities will need employment. We are already aimed at being ready for these personnel changes not only morally, but also to prepare production accordingly.

– Is it possible for furniture production to be exclusively female?

– This is entirely possible. In our company, half of the employees are already women. But in general, for a more massive influx of women into the industry, state support is also needed. At least in terms of legislation, in order to change some provisions regarding the working conditions of women in terms of safety. The Furniture Association could initiate such changes.

– The fact that the company has international status, is based on foreign capital, probably allows it to avoid many problems that purely Ukrainian furniture companies are experiencing due to the war?

– This is not the case. “Morgan Feniche” is the largest division of an international holding, which includes four factories in different European countries. Therefore, our success is not only an example for others, but also a guarantee of their support. Because in Europe too, these are not the best times for furniture makers. Therefore, our leading success is a stabilizing factor for the entire holding company. It is not a gift from the holding company, but a result of our independent efficient management.

Our positions were not shaken by the unfortunate fact that at the beginning of the war, the famous “IKEA” stopped being a partner with us, with furniture supplies to them accounting for ten percent of all manufactured products. I know companies that closed down because the Swedes were the only ones who bought their furniture. And although our break with IKEA turned out to be the most noticeable blow we suffered during the war, it did not become critical for the company. And once, when the company was just starting out, and we had IKEA as our only counterparty, we realized the need for client diversification in time, which actually turned out to be a lifesaver for us in wartime conditions.

I can say in conclusion that the long months of the great war have united the large family of the Morgan Feniche factory, whose work is a part of the efforts of the entire people in achieving Ukraine’s victory over the enemy. After such difficult trials, we will become stronger, more efficient and proactive in building the domestic economy and achieving stability in our shared results.