Kuusamo Log Houses was founded in early 1998, but the story behind the company began much earlier. Why did it all begin, and how has a two-man business grown into a reliable and stable log house company employing around 50 people?
The groundwork for the future was actually laid back in the late 1980s. At that time, the Ruka ski resort in Kuusamo was in the midst of a construction boom. The Orjasniemi brothers, Simo and Arto, decided to jump on the construction bandwagon and make the most of their land, which was situated close to the growing ski resort. The first semi-detached house built on the brothers’ plot also turned out to be the only one, as they had to wait a whole year for the municipal utilities to be connected.
– While we were waiting for the water supply, the peak demand in Ruka had already passed, and we were left with a semi-detached house on our hands, recalls Simo Orjasniemi, a member of the Board of Directors and one of the owners of Kuusamo Log Houses.
The recession, which had deepened at the same time as the construction problems, did nothing to ease the situation – the devaluation of the markka increased the debt burden overnight and forced the Orjasniemi brothers to rethink their future plans from a new perspective. To offset the losses caused by the recession, the brothers decided to set up a joint company under whose name they could begin designing and building their own log buildings.
– Arto had already gained experience in the sale and design and planning of holiday homes and sauna buildings, so we decided to start acquiring our own equipment and working under our own names. We had to come up with something in that situation, Simo Orjasniemi sums up.
Six-hour shifts on the shores of Lake Kitkajärvi
The brothers’ business venture began with the construction of holiday cottages and houses on the shores of Lake Kitkajärvi, in the back garden of Simo and his wife Aija Orjasniemi’s home. Aija Orjasniemi has a particularly fond memory of the construction of the first log house, when they were in danger of running out of building materials at a critical moment.
– The last tree was felled in our back garden so that we could finish the cottage and get it ready for use. So, in a very literal sense, the business started right there from the ground up, recalls Aija Orjasniemi.
High-quality log buildings began to sell well, and the business was moved to a hall built near Lake Kitkajärvi the very next summer. Arto designed the range and handled sales, whilst his older brother Simo was responsible for turning the logs. Customers ordering log saunas wanted theirs ready by Midsummer, so the Orjasniemis were in a right rush.
– Back when we started in the early 90s, construction wasn’t as fast-paced as it is today. The work sort of piled up, so during the busiest season in early summer we worked round the clock in six-hour shifts. So we always worked for six hours, and then rested for six hours. Then we’d go back for another six-hour shift and let the other pair rest, the Orjasniemis recall.
Aija and Arto often took one shift, whilst Simo and Taisto Hertteli took the other.
– Looking back, the pace of work sounds gruelling, but we have fond memories of those days. They were difficult and tough times, but having got through them, we can get through anything else, Simo Orjasniemi emphasises.
Two pairs of brothers joining forces
The Orjasniemis used timber supplied by the local Pölkky sawmill in their log buildings. As demand grew, the Orjasniemis and the Virranniemi brothers – Jouko and Antti – who ran the Pölkky sawmill, realised that both companies would benefit from synergies if they combined their operations. At the time, Pölkky had its own small-scale log production, which focused mainly on the manufacture of log frames.
– Pölkky lacked design and planning capabilities, whilst we lacked the raw materials for log construction. Merging our operations into a single company went quite smoothly, and there haven’t been any major difficulties in our collaboration either, says Simo Orjasniemi.
– The investment required has been much lower compared to if we had been a single company. All our timber comes from the Pölkky sawmill, so we have been able to focus solely on developing our log frame production.
Kuusamo Log Houses took off
When Kuusamo Log Houses was founded in early 1998, the Orjasniemis’ work changed considerably. Arto Orjasniemi took the reins of the new company as managing director, whilst the Virranniemi brothers played a role on the Board of Directors.
– Turnover in the first year was around 6 million marks, but after that, the business started to grow rapidly and we took on more staff, says Arto Orjasniemi.
As Production Manager, Simo Orjasniemi’s responsibilities included logistics, production schedules, raw materials and personnel management. Simo stepped down from his day-to-day role in 2021 but continues to serve on the company’s Board of Directors.
Aija Orjasniemi, for her part, has been managing the financial and HR affairs of Kuusamo Log Houses with the support of an accountancy firm practically from the very beginning. Over the years, her role has gradually evolved into a varied position as office manager, which also includes some executive assistant duties.
– You never get bored in this job, and I really like it when the work is varied, says Aija Orjasniemi.
The transition to automated production changed the way things were done
Arto Orjasniemi remembers the older, manual machines used in the early days.
– The plans for the log cabins were drawn up in AutoCAD, the wall diagrams were printed out for the production line, and the machining positions were determined from these paper drawings. Even the machining points were measured with a tape measure, Arto Orjasniemi explains, adding that when things got tight, he himself would draw production drawings in the evenings to help out during busy periods.
At the turn of the millennium, Kuusamo Log Houses made its first major investment decision when the company acquired a Passimo production line.
– It was a huge change for us! At that stage, the designers started using HirsiCad. We moved from manual production to automated production, and the tape measures were left in the corner of the hall, sums up Arto Orjasniemi.
For four years, Kuusamo Log Houses’ production was carried out exclusively on the Passimo line, at times running in up to three shifts. Over the years, the line has been upgraded with additional investments and remains in use today, alongside new lines, utilising the same basic technology as in the early days.
Quality of life for 25 years
Over the years, many things have changed, starting with the raw materials: solid logs have been replaced by non-settling laminated logs, production lines have been developed, the company has grown and the number of staff has increased. However, Kuusamo Log Houses has always stuck to its moderate growth targets; the company has not taken major risks but has focused on developing its own strengths.
– We have gradually built up capital and buffers, which is why we can now face even the most challenging times with confidence, sums up Arto Orjasniemi.
The company, which has grown strongly thanks to Finnish grit and determination, has always been financially strong and stable. One key factor in Kuusamo Log Houses’ journey has indeed been its dedicated staff.
– Staff turnover is actually very low here compared to other similar companies, notes Aija Orjasniemi.
For the next quarter of a century, Kuusamo Log Houses will continue as a family business, with the owners actively involved in the company’s operations. Arto Orjasniemi continues to serve as managing director. The owners, Simo Orjasniemi, Jouko Virranniemi and, following the generational change, Petteri, are involved in the work of the Board of Directors. A representative from Pölkky Oy also sits on the Board of Directors.
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