Zenith CEO goes against the grain for greater gain

Zurich

A DUSTY attic at the Zenith watch factory in Switzerland bears witness to the company's near-death experience and rebirth. Four decades ago, a gutsy foreman hid the dies and punches used to shape the myriad tiny parts that make up a mechanical timepiece, defying orders from the US owners to junk them.

The move saved the company when the Swiss industry, after nearly ruining itself with a wholesale embrace of quartz technology, reverted to mechanical movements a few years later for its high-end pieces. Zenith was able to tap its mothballed tools as watchmakers realised that survival depended on updating their heritage of craftsmanship, not jettisoning it entirely.