Connecting the World
The story of LEMO is about a small family enterprise that has grown into a group of 25 companies and 1600 employees worldwide.
What is the secret behind this fascinating entrepreneurial and human adventure? The ability to keep changing whilst staying true to its core values. Two former retired employees tell us all about it.
How it all started...
Switzerland, 1946. Sir Winston Churchill makes a speech about the future of Europe at Zurich University. The Geneva- New York commercial airline is proudly inaugurated. The term electronics exists, but is hardly used – people talk about electrotechnics instead.
Léon Mouttet leaves his native Jura, an area known as the birthplace of Swiss watchmaking. He settles down in Morges, by the Lake of Geneva, only a few kilometers from where LEMO’s headquarters are now located. At first, he runs a grocery store, then a photography business, before switching back to his original profession of precision engineer and renting an apartment with a 50 m2 workshop. The site, located in the town centre is called “La Cour des Miracles” (Court of Miracles), which certainly played a role according to an exemployee. “This is LEMO’s secret: miracles happened here, there was indeed magic around.”
The small family enterprise was founded around the sitting room table. At the time, there were three people: Léon Mouttet, his wife Hélène and their daughter Josée. Together, they designed and produced mainly small contacts for the Swiss Post.
The company name is a contraction of the founder’s name: Léon Mouttet. There was another alternative name, “Le Molybdène” , in case LEMO had been already used, but luckily it wasn’t necessary.
Only one small episode occured with regards to the trademark. One day a parcel was delivered with hiking shoes sent for repair! It was addressed to Lemo Shuh, a shoemaker from across the country. As it turned out, LEMO was indeed to become a synonym for connectors all over the world and not for shoes.
"WE NEEDED TO BOOST OUR EXPORT BUSINESS!"
In 1946 Léon Mouttet created LEMO in Morges, a small town in the French-speaking part of Switzerland. The family enterprise produced small contacts manufactured from molybdenum, as well as a measurement instrument patented for the watchmaking industry. It was in 1957 that Léon Mouttet invented the “Push-Pull” latching system. This new type of practical, safe and high quality connector became paramount for LEMO’s future. Its immediate success led to the construction of a first factory in 1963 in Lonay, near Morges. Seventeen years after its creation, the company started its powerful growth which was to position LEMO as a global leader in the connector industry.
LEMO inaugurated its first foreign subsidiary in 1964 in Milan, Italy. When Mr Walter Straessle took up his position as sales director in 1965, he made international expansion his top priority. “We were still in a vulnerable position, he explains. 95% of our production was sold in Switzerland to only three or four key customers. Losing even one of them could have been fatal.”
The company thus decided to boost its export business and opened other subsidiaries in Europe. LEMO is now active over five continents, supplying more than 100,000 customers in 80 countries. LEMO products are still predominantly manufactured in Switzerland, however, the customer balance has shifted and now 95% of products are sold abroad.
As impressive as it is, this massive evolution has come naturally. Fernand Moret, finance director from 1971 to 2013, believes that steady growth, investments as well as reasonably controlled spending have contributed to the solid financial situation of the company. “The founders were very careful with money, he recalls. In the early days, Mrs Mouttet would keep the strings that came with the parcels to reuse them!” Almost everything was recycled, contacts were stored in empty yoghurt cups. “We really had to insist with Mr Mouttet to approve buying appropriate drawers!” remembers Mr Walter Straessle, still bemused.
Even if these anecdotes make us smile, they show the spirit with which the company was run. “LEMO has always been a family company loved by those who led it and those who worked for it.” insists Fernand Moret. We did not throw money down the drain. Léon Mouttet kept the minimum for himself and invested the rest in the company.
This ethical attitude continued to be in force when Mr Mouttet’s son-in-law, Mr Marcello Pesci took over in the late seventies. “The Pesci family continued to reinvest the profits into the company, says Fernand Moret. Thanks to this loyal management, LEMO could always invest in research and in acquiring cutting edge machines.” Austerity and healthy finances not only preserved LEMO during the economic crisis of the 1970’s, but it was also during this period that the company was given a fresh boost.
70 years of success
1946 - 2016
Creation of LEMO in Morges, Switzerland
Manufacturing contacts of noble and / rare metals.
Manufacturing connectors for electronic cables.
Invention of LEMO's Push-Pull self-latching system and introduction of LEMO's standard metal connectors.
LEMO connectors introduced into the US market.
LEMO connectors introduced into the German market.
Standardization of the LEMO 00 NIM-CAMAC Series.
LEMO connectors introduced into the UK market.
LEMO connectors introduced into the Japanese market.
Introduction of REDEL® plastic connectors.
Introduction of LEMO fiber optic connectors.
Increased manufacturing with new factory in Ecublens, Switzerland.
LEMO receives SQS Certification accoring to the ISO 9001/EN 29001 standards.
1992 Acquisition of COELVER in Lonay.
Business expansion with the construction of new factories in Rohnert Park, California and Munich, Germany.
Factory extension in Delemont's manufacturing plant (Switzerland).
New building for LEMO UK in Worthing and for REDEL Kft in Budapest, Hungary.
New building for LEMO Japan in Tokyo and LEMO Benelux in Heemskerk.
LEMO acquires Northwire Inc. in Osceola, Wisconsin. European Distribution Centre (EDC) launch.
LEMO's 70th Anniversary.
THE INVENTION OF THE PUSH-PULL SYSTEM, A GLOBAL CONNECTOR STANDARD
The idea of a new type of connector came to Léon Mouttet during an electronics exhibition in Milan back in 1954. He was not convinced about the standard screw thread or bayonet locking systems exhibited. He could see the industry benefi ts of a quick locking solution, so he set to work. At first, he got his inspiration from car cigarette lighters, before developing the threelatch system which was to become the Push-Pull LEMO connector.
When Léon Mouttet presented his invention to the Swiss Post (Swiss Post and Telecommunications at the time), they showed an immediate interest. The State-owned enterprise had already been using small LEMO contacts and they required thousands of reliable and practical connectors for the telephone exchanges. This is how the Push-Pull adventure started in 1957, with the launch of a coaxial 75 Ohm connector. Later on, LEMO went on to diversify its product for the first time by developing a smaller 50 Ohm Push-Pull connector for the CERN (European Organization for Nuclear Research) in Geneva.
Hence, the Push-Pull connector was launched and numerous industries have since adopted it as a standard, including the medical electronics sector where its inherent safety feature offers customers peace of mind. LEMO’s retired sales director Mr Walter Straessle recalls the absolute confidence he had in his product. One day in Los Angeles a doctor performing knee operations warned him: “If your connector disconnects and we fail the operation, it will be your fault!” Walter Straessle simply answered: “ No problem, it will not disconnect”.
"WE MAINTAINED A FAMILY SPIRIT IN SPITE OF OUR SUCCESS"
In fact, the new CEO decided to acquire new, more modern equipment, but most of all, he no longer wanted to depend on subcontractors. “We had to control costs, lead-times and quality, explains Fernand Moret. The only solution was to produce our own parts.” In 1971 LEMO acquired a screw-machining factory in the Swiss town of Moutier. LEMO could thus take better control of quality and delivery time, but also production volumes. Despite its growth LEMO also continued to supply its small customers, an essential point in the company’s philosophy. “Even today, it is still possible to order one single part from LEMO.” concludes Fernand Moret.
The second LEMO factory, named LEMO 5, was built in 1975 in Delémont, in the Jura region, the birthplace of Léon Mouttet. It has been extended on three occasions, the last one in 2010. After the 1970’s crisis, the company resumed its steady growth. The first robots were introduced as of 1978. REDEL, a sister company specialized in plastic connectors for the medical industry, was created in 1986. Since 1993, the Group has been present on all continents, including China. The acquisition of the US cable manufacturer Northwire in 2014 marked a new step forward: From now on, LEMO can offer not only connectors, but complete cable-connector solutions. Another way for the company to control the quality of its technologies.
“LEMO, concludes Fernand Moret, is the story of visionary people, who have managed to maintain a family spirit in spite of the company’s success”. “Léon Mouttet was a genius. He passed on his vision and ethics to Marcello Pesci, who, with an industrial mindset, was the ideal man to further develop the initial ideas. His grandson Alexandre Pesci took over in 2000 and has continued to lead LEMO towards the future, with the same family and visionary spirit as his grandfather and father.”
How could the two former employees define this company where they spent almost their entire professional career? They quickly agree on the same words: commitment to quality, respect for customers and for employees, discretion. “Even today, they chuckle, many people know the LEMO name, but have no idea about its products!” This is why they always carry a Push-Pull connector in their pocket, ready to tell the story – their story – to those who haven’t heard it yet.