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Eng
19 August 2019

Electric jerk

As a graduate of a technical university, building a successful business, and after betraying a partner, gathering the company in pieces and moving forward even faster, said Sergey Khadzhili, owner of the electrical systems company Electric Systems

Market Universities

In 2009, Sergey Khadzhili graduated from KPI. Thoughts to develop independently arose immediately, but he decided to first gain experience. And he went to sell electrical equipment to the Contactor company. He studied everything in the fields, showed interest in products and the market, made a name for himself in professional circles. And a year later he was noticed by a competitor, the Kuprum company, new in the market, and invited to work for himself. The company was created right before his eyes. For the future entrepreneur, it was a mega-useful experience. Soon he became the head of the sales department and released a training manual for new employees - how to sell.

There is a stereotype that introverts study mainly in engineering specialties. But this is not about Sergey. His sales led sociability and activity. Moreover, the entrepreneur did not have a deep interest in science. “I understood that a really good engineer wouldn't work out of me. And in sales, I could use my strengths, relying on a technical background, and get priority in companies that worked with electrical engineering. I took apart instruments and machine guns with my hands, watched what they consist of. In this mix, it was interesting to me and I did it, ”Sergey recalls.

Business pendell

At Kuprum, Sergey Hadzhili gradually switched to employee training. By that time he had gained good experience. More and more often there were thoughts that if he were the owner of the company, then in some situations he would act differently. “I have seen more effective solutions and ways. And increasingly, he began to diverge from his leadership in his views. It was a life push, ”he says.

And in 2012, Sergei made a present for his birthday. He opened his own electrical systems company Electric Systems with the only employee in the state — himself. “99% of the clients I have earned for Kuprum I left them for ethical reasons. Only a few clients with whom I had personal connections "switched" to myself. For Kuprum, almost the market leader at the time, this was not significant, ”he says.

But relations with suppliers from last work were very useful. “I honestly told suppliers that I couldn’t show large volumes at once, but I’m ready to develop. They went to meet me and set small plans, ”he recalls. Electric Systems reached its first million turnover in its first year.

Blow under the breath and work on bugs

And then the unexpected happened. Some of the company's employees decided to leave and work independently. They were not as ethical as Sergei at one time, and took away some of the customers.

Turnover fell. “It was a crisis for the company. There was only one option: to get up and go to work further. I can do everything, I know everything, I’ll rebuild everything. And again, I started with the initial steps. But this time, he took into account the bumps and did everything more consciously and quickly, ”he says.

The entrepreneur learned from what happened. “You can’t loop the company on one person, if this person is not you. The first time I recruited a team of friends of one person - my younger partner. These were his fellow students, classmates, childhood friends, neighbors, etc., he taught them everything from scratch. It happened like this: "You will be a purchaser, you will be a logistician, you must do this and that." It seemed to me then that it was better to work with my own. But I didn’t take into account that these mine weren’t mine, ”Sergey recalls.

This led to the fact that when the question arose about the division of the company, almost the entire team took the side of a junior partner and went with him to the “wonderful far away”. There are three people left in the company. “I learned a lesson, and this time I really got my people. I formed a team of people on whom I can rely and entrust any issue, ”says the entrepreneur. It gave a result. The company began to actively develop. Over the next few years, the annual increase in turnover ranged from 50% and higher with slight stagnation during the Maidan period. The situation evened out by 2016, and here Electric Systems rushed, doubling the speed.

Business advice from Sergey Hadzhil

“In our country, it is easy to open a company. But many are afraid because they do not understand what to do with it. What no customers. No suppliers. If you have a real desire, do not be afraid. You have the main thing - you yourself. And the rest falls on its rails in the process. Communicate with those who are one step ahead of you. Listen to their advice. If someone shares experience, absorb.

And I would like to warn against unscrupulous partners and employees. Betrayal is the worst thing that can happen to a business.”

Freedom and personal loyalty

Now Sergey Hadzhiliy is building a dedicated, efficient and free team. “Work not from bell to bell, but efficiently. Need to leave - leave, need to leave - leave. But take care that the work is done. There is subordination, but it is visible only when key decisions are made. And so the employees calmly express their opinion, which may differ from mine, ”he says.

The entrepreneur wants to build a turquoise company. He adopts best practices from European partners, but adapts them to the Ukrainian mentality. “I look at their experience, I take the best. But there is something that I do not like. For example, rigid frameworks and protocols that they cannot change. For our people, this is inefficient. We can’t be clamped into tight frames; more loyalty, room for maneuver are needed. Yes, discipline sometimes suffers. People are relaxing, ”says Sergey.

But this is decided by personal example. “The director is in line with the soldiers. This is such a senior lieutenant in business. I myself go to customers, to suppliers, ship goods in stock. And I do not think this is shameful. The warehouse can’t cope, you need to help load something, the logistics department gets up, the director gets up and we ship. I have my own robe, I put it on and get involved in the work. It is necessary to take the goods - we sit down and drive in a personal car. I do not just send people to the fields, I go there with them. I see everything with my own eyes. It gives a deep understanding of the market and business processes, ”the entrepreneur shares.

Sergey Hadzhili about promises:

“I never say that my company is the best. Even where it is. I admit that this can slow us down in development. But I am realist and prefer to stand firmly on the ground. I say that we are the ones who do their job well. Do you need a good supplier? We will not promise you anything, but when you work with us, you will draw your own conclusions. Because it is very painful to get into a situation when I took on a lot, but could not complete it. ”

What's next?

Now Electric Systems is among the top 10 suppliers in Kiev. And cooperates with more than a thousand customers in different regions of Ukraine. The largest of them are construction developer KAN, InterergalBud, Antonov factory, Mironovsky Khleboproduct. There are also retailers. But the most numerous are the installers, which are fully equipped here - from fasteners to high-voltage transformers.

The company cooperates with European and Ukrainian suppliers. These are large world-famous companies - Schneider, OBO BETTERMANN, Eaton, Lappkabel - and Ukrainian: Zaporizhzhya Non-Ferrous Metals Plant, Odeskabel, Ukrkabel.

Almost all the money, about 90% that the company earns, is invested in development. Over the past year, they bought cars, hired highly qualified specialists. This gives the result. “The more a company develops, the more you want to scale more and more. Now I had to make an effort to stop this race. We used to work on volume, but now we plan to focus on the quality of all processes. This is a better work of the warehouse, more attention to each client, closer ties between people inside the company and outside. Now we will go not in breadth, but in depth, ”says the entrepreneur.

Sales structure of suppliers

60% – Ukrainian

40% – foreign

Cooperation with the bank

I have been working with Raiffeisen Bank Aval since opening my business. I studied the bank's product portfolio, developed a work scheme for myself, opened my first account - and it started. Aval chose, relying on the experience gained in the company in which I had previously been an employee. I liked how the bank as a whole and its managers work, so I did not even consider other options. Now we use a wide range of products. There are deposit packages. While small, but still. There is a pretty substantial overdraft line. Raiffeisen Bank Aval is loyal to us and periodically increases its limits. This money helps me grow my business. Thanks to them, we can give customers deferred payments and timely purchase products at the warehouse. In addition, it is one of the best banks in terms of reliability. I don’t worry that something can happen to my money.