From the first skin blemish to the first wrinkles: With brands like Lubex, Permamed has been a lifelong companion to many people in Switzerland. Managing Director Tobias Lutz discusses the success story of this long-established company.
Proud of the legacy, ready for the future
You took over the management from your father a year and a half ago. What does this transition mean to you?
I am very proud to officially represent such a long-established company and family-owned SME to the outside world and to lead it into the future. I have been with the company for nearly 25 years and have worked in many departments and held various positions, from production to management. I therefore know the company’s strengths, weaknesses, and challenges very well, as well as the market and its changes.
Despite thorough preparation, a generational transition brings new challenges for everyone involved. However, we have a strong management team consisting of new employees as well as seasoned professionals who have already worked with my father. In my view, this is a very good mix, and we are well-positioned.
What would you like to consciously change or introduce differently?
I’m more of a team player than the classic boss who decides everything on his own. Delegating responsibility to department heads is important to me, and I actively encourage it. My motto in life is to generally place trust in people first.
Permamed was honored with the Prix SVC Northern Switzerland last year. Congratulations!
Winning the SVC Award made us truly proud. As a small company with fewer than 100 employees, we were nominated alongside firms that have thousands of employees. For me, this award is a great honor. It also recognizes the life’s work of my father, who first built Permamed as a one-man operation. For me personally, it’s a wonderful affirmation to be following in his footsteps as the new CEO.
Whether it’s the COVID-19 pandemic or a scabies outbreak: Permamed supplies Switzerland
What are Permamed’s strengths?
Everything takes place in our building here in Basel—from development and production to sales. This enables short decision-making processes and a quick response to market changes.
We also deliberately maintain larger inventories of raw materials and products, which proved its worth during the COVID-19 pandemic. We were able to supply the market continuously while many competitors were out of stock. At the time, the Federal Office for National Supply designated us as “essential to supply” ( ). At the same time, however, the FOPH further reduced our drug prices. This is a contradiction that concerns us.
Why doesn’t Permamed, for example, outsource production abroad to produce more cost-effectively?
That does not reflect our values. It is important to us that everything comes together under one roof.
Can you give an example of this?
When scabies broke out in Switzerland during the refugee crisis (2015/2016), dermatologists realized that no suitable product was available on the Swiss market. We reacted within a very short time—licensing, developing, and launching a product. Our development team consists of six people. For a company of our size—with 85 employees—that is exceptional.
Dealing with price pressure from the FOPH
The pharmaceutical market is highly regulated. What strategic priorities is Permamed focusing on to position itself successfully over the next five years?
At Permamed, we navigate two distinct worlds: the highly regulated pharmaceutical sector and the fast-evolving cosmetics industry.Our core expertise lies in topical pharmaceuticals—that is, preparations applied to the skin, not oral tablets. These products serve basic healthcare needs and are always in demand, regardless of trends or crises.
In the pharmaceutical sector, our prices are set by the Federal Office of Public Health. Our primary goal is to maintain these prices at least at the same level in the annual therapeutic cross-comparisons (TQV). We already have low ex-factory prices and require a certain price level to sustain our production in the Basel region. This reflects a fundamental contradiction: concerns are raised about the disappearance of industry in Switzerland, while at the same time continuous pressure is placed on lowering prices.
Strategically, we are therefore expanding our portfolio in the dermocosmetics and medical devices sectors. Prices there are not regulated by the government, which allows for correspondingly higher margins. A concrete example: We have recently launched our Lubex Anti-Age line in retail stores. In Germany and Austria, our cosmetic products are also available through online retailers.
“At our company, nobody is merely a cog in the wheel”
Competition for qualified professionals in the pharmaceutical sector is intense. What makes Permamed an attractive employer today and in the future?
At our company, no one is just a cog in the wheel—everyone is part of the whole. We’re looking for generalists. Our employees help shape the company, gain insights into many areas, and take on responsibility. If you simply want to perform a clearly defined task, you might be better off at a large corporation.
Let’s move on to the final question: How would you describe your leadership style?
As I mentioned earlier, I’m a team player. I place great value on open discussions. Normally, the doors to my office are always open. I see our company as a family. We are 85 people, we all know each other, and most of us are on a first-name basis. It is important to me to maintain and foster this family spirit, regardless of whether someone works in production or in management. When large orders are being prepared for shipment, we in management pitch in as well.
Conclusion
Permamed demonstrates that short decision-making processes, in-house production, and a dedicated team ensure Switzerland’s supply even in times of crisis. Anyone who works at Permamed is part of something big.
