The strong franc may be the oldest productivity programme in the Swiss economy.
It requires no grant application, no project office and no regard for the annual budget.
In a recent Deloitte survey, 68 per cent of Swiss CFOs identify the strong franc as a burden on margins. Labour costs follow at 58 per cent and energy and raw material prices at 51 per cent. Swiss SME Portal
Swissmem likewise identifies the strong franc, US tariffs and weak export markets as major challenges for Switzerland’s technology industries this year. Swissmem
An export oriented SME has limited influence over any of these forces. It cannot weaken the franc, abolish a US tariff or dictate world market prices.
It can influence its own productivity. How many working hours go into one unit? How much energy? How much scrap, downtime and administration?
That is why investment in automation and modern equipment is not a luxury reserved for good times. It can be a response to structural margin pressure.
Every investment still needs a sound calculation. But the benchmark should not be the purchase price alone. It should include the cost of the existing process.
Swiss companies will rarely win internationally through the lowest wages. They win through quality, innovation and productivity.
The strong franc simply makes that truth more visible.