Wilhelm Schauman
Encyclopedia
Berndt Wilhelm Schauman was a Finnish
Finland
Finland , officially the Republic of Finland, is a Nordic country situated in the Fennoscandian region of Northern Europe. It is bordered by Sweden in the west, Norway in the north and Russia in the east, while Estonia lies to its south across the Gulf of Finland.Around 5.4 million people reside...

 industrialist, the most important in Jakobstad
Jakobstad
Jakobstad is a town and municipality in Ostrobothnia, Finland. The town has a population of and covers a land area of . The population density is .- History :...

 at the beginning of the 20th century. He was the older brother of Ossian Schauman
Ossian Schauman
Ossian Schauman was the founder of the Swedish-speaking non-governmental organization Folkhälsan, which provides social welfare and health care services in Finland...

. Wilhelm Schauman's first industrial installation was a small chicory
Chicory
Common chicory, Cichorium intybus, is a somewhat woody, perennial herbaceous plant usually with bright blue flowers, rarely white or pink. Various varieties are cultivated for salad leaves, chicons , or for roots , which are baked, ground, and used as a coffee substitute and additive. It is also...

 (coffee additive/substitute) factory, which he founded in 1883. He was also involved in the local tobacco factory as part of the management. Apart from this, he continuously founded new enterprises such as a sugar refinery
Sugar refinery
A sugar refinery is a factory which refines raw sugar.Many cane sugar mills produce raw sugar, i.e. sugar with more colour and therefore more impurities than the white sugar which is normally consumed in households and used as an ingredient in soft drinks, cookies and so forth...

, a steam powered saw mill and a plywood
Plywood
Plywood is a type of manufactured timber made from thin sheets of wood veneer. It is one of the most widely used wood products. It is flexible, inexpensive, workable, re-usable, and can usually be locally manufactured...

 factory, which was the first of its kind in Finland. His enterprises soon expanded beyond the borders of Jakobstad.

A paper and pulp mill was later built in Jakobstad, and remains today as the largest factory in Jakobstad. It is owned by UPM-Kymmene, as a result of a merger in 1988.

Life

After graduating as a mechanical engineer in 1879, Schauman gained employment at a metal factory in St. Petersburg, Russia
Russia
Russia or , officially known as both Russia and the Russian Federation , is a country in northern Eurasia. It is a federal semi-presidential republic, comprising 83 federal subjects...

. Four years later, his young wife (Mimmi Roos) wanted to return home, and the couple decided to return to their hometown Jakobstad
Jakobstad
Jakobstad is a town and municipality in Ostrobothnia, Finland. The town has a population of and covers a land area of . The population density is .- History :...

 when Schauman was turned down for the post of technical director at the Serlachius Mänttä Mills (despite having received some initial promises). After visiting chicory
Chicory
Common chicory, Cichorium intybus, is a somewhat woody, perennial herbaceous plant usually with bright blue flowers, rarely white or pink. Various varieties are cultivated for salad leaves, chicons , or for roots , which are baked, ground, and used as a coffee substitute and additive. It is also...

 factories in Germany
Germany
Germany , officially the Federal Republic of Germany , is a federal parliamentary republic in Europe. The country consists of 16 states while the capital and largest city is Berlin. Germany covers an area of 357,021 km2 and has a largely temperate seasonal climate...

 and Russia
Russia
Russia or , officially known as both Russia and the Russian Federation , is a country in northern Eurasia. It is a federal semi-presidential republic, comprising 83 federal subjects...

, he started his own chicory factory in Jakobstad in the Thodén bakery in the centre of town, employing 6 or 7 people. Chicory is a coffee
Coffee
Coffee is a brewed beverage with a dark,init brooo acidic flavor prepared from the roasted seeds of the coffee plant, colloquially called coffee beans. The beans are found in coffee cherries, which grow on trees cultivated in over 70 countries, primarily in equatorial Latin America, Southeast Asia,...

 substitute. The factory met with great success and proved to be very profitable, after which Schauman started to build a second production site just outside town in 1884. Within a few years, he was the largest chicory producer in Finland.

After a fire destroyed the second factory in 1892, Schauman built a third close to the harbour. This factory became operational in 1893, and is today a museum, housing the original machinery. Initially, the raw material was supplied from Germany, while later Belgium
Belgium
Belgium , officially the Kingdom of Belgium, is a federal state in Western Europe. It is a founding member of the European Union and hosts the EU's headquarters, and those of several other major international organisations such as NATO.Belgium is also a member of, or affiliated to, many...

 became the most important supplier of chicory root, followed by the Netherlands, Imperial Russia, Estonia
Estonia
Estonia , officially the Republic of Estonia , is a state in the Baltic region of Northern Europe. It is bordered to the north by the Gulf of Finland, to the west by the Baltic Sea, to the south by Latvia , and to the east by Lake Peipsi and the Russian Federation . Across the Baltic Sea lies...

 and Poland
Poland
Poland , officially the Republic of Poland , is a country in Central Europe bordered by Germany to the west; the Czech Republic and Slovakia to the south; Ukraine, Belarus and Lithuania to the east; and the Baltic Sea and Kaliningrad Oblast, a Russian exclave, to the north...

.

The business boomed as Schauman combined a high quality product at competitive prices with successful marketing strategies. Schauman employed his own agents in cities such as Helsinki
Helsinki
Helsinki is the capital and largest city in Finland. It is in the region of Uusimaa, located in southern Finland, on the shore of the Gulf of Finland, an arm of the Baltic Sea. The population of the city of Helsinki is , making it by far the most populous municipality in Finland. Helsinki is...

, Turku
Turku
Turku is a city situated on the southwest coast of Finland at the mouth of the Aura River. It is located in the region of Finland Proper. It is believed that Turku came into existence during the end of the 13th century which makes it the oldest city in Finland...

, Tampere
Tampere
Tampere is a city in southern Finland. It is the most populous inland city in any of the Nordic countries. The city has a population of , growing to approximately 300,000 people in the conurbation and over 340,000 in the metropolitan area. Tampere is the third most-populous municipality in...

 and Viipuri, and was careful to design attractive packaging with Russian type print consisting of medallions and other embellishments. Schauman would himself travel around Finland, inviting shopkeepers to sample his products. At the peak of production in 1903, Schauman employed 60 employees, producing close to 1400 tons of roasted and ground chicory.

After the mid-1890s, Schauman diversified into other business activities such as the export of timber goods, towboat operations, the production of saw goods and he also founded a sugar refinery on the Alholmen peninsula outside Jakobstad. In 1889, Schauman was elected to the board of directors of the Ph. U. Strengberg
Strengberg
Strengberg is a town in the district of Amstetten in Lower Austria in Austria....

 tobacco factory, and seven years later, he was given the post of chairman and CEO. The Strengberg tobaccy factory was at this time the largest producer of cigarettes in the Nordic countries
Nordic countries
The Nordic countries make up a region in Northern Europe and the North Atlantic which consists of Denmark, Finland, Iceland, Norway and Sweden and their associated territories, the Faroe Islands, Greenland and Åland...

, and also the first internal tobacco producer in the Nordic region.

Schauman continued to expand his personal business empire and in 1910 he purchased a steam powered saw mill in Yxpila (near Karleby) and the same year he founded a plywood
Plywood
Plywood is a type of manufactured timber made from thin sheets of wood veneer. It is one of the most widely used wood products. It is flexible, inexpensive, workable, re-usable, and can usually be locally manufactured...

 factory in Jyväskylä
Jyväskylä
Jyväskylä is the capital of Central Finland and the largest city on the Finnish Lakeland, north-east of Tampere and north of Helsinki, on northern coast of lake Päijänne. The city has been continuously one of the most rapidly growing cities in Finland since World War II. The city is surrounded...

. He did not live to see the factory completed, however, as he died suddenly during a business trip to Berlin
Berlin
Berlin is the capital city of Germany and is one of the 16 states of Germany. With a population of 3.45 million people, Berlin is Germany's largest city. It is the second most populous city proper and the seventh most populous urban area in the European Union...

 on 14 November 1911. His fortune at the time of his death was estimated as 2 million Finnish Marks
Finnish mark
The Finnish markka was the currency of Finland from 1860 until 28 February 2002, when it ceased to be legal tender. The markka was replaced by the euro , which had been introduced, in cash form, on 1 January 2002....

.

Industrial expansion

After Wilhelm Schaumans death in 1911, and in accordance with his last will, his business activities were transferred under the ownership of a newly created and publicly traded company Oy Wilhelm Schauman Ab. After divestment of the sugar interests, the company concentrated on its plywood processing plants, eventually becoming the market leader in plywood products. The Jyväskylä plywood mill was a promising and highly profitable new venture, and the mill flourished during the early years of World War I
World War I
World War I , which was predominantly called the World War or the Great War from its occurrence until 1939, and the First World War or World War I thereafter, was a major war centred in Europe that began on 28 July 1914 and lasted until 11 November 1918...

. Plywood production also began in Savonlinna
Savonlinna
Savonlinna is a town and a municipality of inhabitants in the southeast of Finland, in the heart of the Saimaa lake region. The Finnish name of the town means "Castle of Savonia" and the Swedish name means "Newcastle".- History :...

 in 1921, and a plywood mill in Joensuu
Joensuu
Joensuu is a city and municipality in North Karelia in eastern Finland. It is located in the province of Eastern Finland and is part of North Karelia region. It was founded in 1848...

 was acquired in 1924. The mills at Jyväskylä, Savonlinna, and Joensuu were all later merged into the Oy Wilh. Schauman Ab entity.

During World War II
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...

 the proportion of plywood products rose considerably, and in 1958 a chipboard mill was opened in Jyväskylä. A chipboard
Particle board
Particle board, or particleboard , is an engineered wood product manufactured from wood particles, such as wood chips, sawmill shavings, or even saw dust, and a synthetic resin or other suitable binder, which is pressed and extruded...

 mill was purchased from Viiala Oy in 1962, and in 1969 Oy Wilh. Schauman Ab opened a chipboard mill in Joensuu, and by the early 1990s the company had chipboard mills in Joensuu, Ristiina (Pellos chipboard mill), and Kitee (Puhos chipboard mill).

The chicory production in Jakobstad also continued after Schaumans death, and it consistently made a profit every year between 1912 and 1935, although its overall contribution to the company results was relatively modest. However, the demand and production of chicory was in terminal decline, except during the period of World War II, when chicory demand temporarily surged due to the restricted availability of coffee. The Jakobstad factory produced its last batch of chicory in February 1960, and the last shipment from the warehouse was made in September 1964.

The foundation of Schauman's paper-and-pulp operations was laid with the construction of a sulfite
Sulfite
Sulfites are compounds that contain the sulfite ion SO. The sulfite ion is the conjugate base of bisulfite. Although the acid itself is elusive, its salts are widely used.-Structure:...

 pulp mill in Jakobstad in 1934. In the early 1960s, a sulfate
Sulfate
In inorganic chemistry, a sulfate is a salt of sulfuric acid.-Chemical properties:...

 pulp mill, a paper mill, and a paper sack plant were added. During the first half of the 1970s, major investments were made in pulp manufacturing, and this made Schauman the largest producer of market pulp in Finland. The paper sack plant in Jakobstad soon became the largest of its kind in Finland, and in 1969 Schauman purchased the Craf'Sac plant in Rouen
Rouen
Rouen , in northern France on the River Seine, is the capital of the Haute-Normandie region and the historic capital city of Normandy. Once one of the largest and most prosperous cities of medieval Europe , it was the seat of the Exchequer of Normandy in the Middle Ages...

, France
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...

. Schauman had already become a world leader in plywood product development by the beginning of the 1960s, grabbing additional market share through the use of new and innovative production methods for gluing
Glue
This is a list of various types of glue. Historically, the term "glue" only referred to protein colloids prepared from animal flesh. The meaning has been extended to refer to any fluid adhesive....

, coating
Coating
Coating is a covering that is applied to the surface of an object, usually referred to as the substrate. In many cases coatings are applied to improve surface properties of the substrate, such as appearance, adhesion, wetability, corrosion resistance, wear resistance, and scratch resistance...

 and processing of plywood, as well as through the use of spruce
Spruce
A spruce is a tree of the genus Picea , a genus of about 35 species of coniferous evergreen trees in the Family Pinaceae, found in the northern temperate and boreal regions of the earth. Spruces are large trees, from tall when mature, and can be distinguished by their whorled branches and conical...

 as raw material.

Schauman at various points in its history also acquired business activities that did not fit well with its core activities, such as the making of furniture, along with more conventional converted panel products. In 1971, Schauman also became a producer of large sailing yachts
Yacht
A yacht is a recreational boat or ship. The term originated from the Dutch Jacht meaning "hunt". It was originally defined as a light fast sailing vessel used by the Dutch navy to pursue pirates and other transgressors around and into the shallow waters of the Low Countries...

 after having bought Nautor
Nautor's Swan
Oy Nautor AB is a Finnish producer of luxury sailing yachts, based in Jakobstad. It is known for its Swan line of fiberglass yacht. The company was founded in 1966 by Pekka Koskenkylä...

, a boatyard
Shipyard
Shipyards and dockyards are places which repair and build ships. These can be yachts, military vessels, cruise liners or other cargo or passenger ships. Dockyards are sometimes more associated with maintenance and basing activities than shipyards, which are sometimes associated more with initial...

located outside Jakobstad. Eventually, all such non-core businesses were divested.

External links

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