Business News

Sat Apr 27

Top six ways to save your business money without firing anyone

Written by Emma Rutherford

Leading business management, turnaround and restructuring expert, George Dimitriou, has been helping businesses for years to accelerate their growth and manage their success – a role that has not been without its challenges.

“Many of my clients have achieved great success over the years however it has involved a lot of hard work and a lot of discipline,” George said today.

“What I have learned is that there are some key ways businesses can save money without firing staff or freezing operations and if they are implemented in a timely and diligent way, businesses will do well and prosper.”

As at October 2018, according to the Australian Bureau of Statistics, there were 2.1 million small businesses in Australia. Nearly 55,000 businesses went bust in Australia last financial year, a 12.7 percent increase in the number of failed businesses compared to the previous year. Retail has been hit particularly hard. Retail outlets are 50 percent more likely to fail than businesses in other sectors.

George has put together a list of his top six tips to save money. These tips involve helping businesses to reduce spend and also improve sales:

Second hand equipment

. Be more diligent with your spending. Connect with local auction houses that sell a broad range of products and equipment including business equipment. Chairs, tables and other furniture, printers, photocopiers, phones, fridges, dishwashers and other equipment can all be purchased fairly cheaply from auction houses. Avoid buying brand new equipment but be prepared to costs like photocopier repairs.

Cut the power bills

. Cut back on power. These days businesses consume a lot of power, often unnecessary power, in the course of their operations. Power bills can kill a business. Install motion sensor lighting, cut back on use of the office dishwasher, turn lights off where they are not needed, remove printers and create a printer hub to reduce the use of idle products sitting around chewing up power. Look at solar power options. Speak to businesses around you to see if you can set up a ‘community solar’ plan. Many businesses have done this and completely removed their power bills

Generic brands

. Office consumables cost a lot of money. Recycle paper and use generic ink brands. Recycle anything across the business that can be used again

Be barter friendly

. Managing and maintaining an office can be expensive. Where possible seek out suppliers that are able to enter into a barter arrangement with you. As long as you can both offer each other value and a benefit, negotiate down rates in return for in-kind benefits

Free software

. Take advantage of free software where you can or cloud based subscription software to access the services, tools and support you need to run the business. This is a key area where savings can be made and efficiencies can be gained across the business. Free software is available for accounts, design, communications and a whole range of other activities

Outsourcing

. Focus and hone operations on lead generation and sales. Remove tasks which are time consuming and do not directly lead to new business or revenue generation. Outsource administration and lower level tasks to side giggers and outsource services. Some outsource services are located overseas located overseas, just like this Netherlands outsourcing company, can undertake tasks for a fraction of the cost of doing the work in house. This way you can focus all the attention on growth

“It can be difficult for business owners and managers to realise the scope of the opportunities to cut back on expenses and focus on growth when you are in the thick of the business every day. You get bogged down and you lose your objectivity. This is normal,” George added.

“This is why it is very important for businesses to utilise the services of a mentor or advisor who can provide an independent view of the business and suggest areas where change can happen to improve business outcomes – and make sure they happen.”

George Dimitriou is an experienced and highly trusted business advisor and mentor who assists businesses to grow, overcome operational and expansion challenges and maximise profit outcomes.

www.georgedimitriou.com.au

Thu Apr 25

Laminex Australia takes keys to unlock Gympie manufacturing plant future

Written by Simon Westaway

Laminex Australia has unveiled an innovative business partnership to enable expansion of its South East Queensland manufacturing operations, whilst also securing 42 local jobs in Gympie by taking over the operation of a particleboard plant destined for closure.

A long-standing Australian manufacturer and trusted name in quality products and design, Laminex Australia has assumed control of the former Carter Holt Harvey particleboard plant in Gympie, which in February was confirmed it would close imminently under its prior owners.

A member of the Fletcher Building Group (ASX/NZSX: FBU), Laminex Australia will lease the manufacturing site from the Corbet family, who has taken ownership of the facility including surrounding land adjacent to the plant. Both business decisions will collectively achieve the benefit of ongoing sustainable land use, a continuation of local timber processing in Gympie and keeping dozens of regional manufacturing jobs at the site.

Laminex’s Gympie Monkland Manufacturing Plant which is now operational will conduct continuous timber processing, producing particleboard flooring to specifically support growing demand for this product in Queensland and other markets.

The company has offered 42 positions, many of which were former Carter Holt Harvey employees and contractors at the site, and the ready-to-go workforce has been inducted into Laminex’s operations.

Laminex Australia will undertake new regional manufacturing activity and with support through the Queensland Government’s Jobs and Regional Growth Fund will maintain dozens of direct jobs that would have been lost.

Laminex Australia Executive General Manager, Justin Burgess, welcomed the targeted support provided by the Queensland Department of State Development for its Gympie operations. He said Gympie Monkland, its sixth Australian manufacturing site, would operate alongside Laminex’s Gympie Toolara plant, which processes medium density fibreboards.

He said both sites had a combined workforce of up to 300 people making Laminex Australia a top three employer across the entire Gympie, Wide Bay and Burnett region.

“Today is a great step forward for the Gympie region and an exciting leap for the Laminex team,” Mr Burgess said.

“It also importantly delivers a future expanded manufacturing footprint for us in South East Queensland and is a catalyst to pursue synergies and drive future growth.

“Manufacturing today is a top two industry in the greater Gympie region and we view our decision to take over operating the previous Carter Holt Harvey site, with its skilled local workforce and the ready-made distribution channels, as a strategically sound decision.

“The facts are Australian manufacturers can prosper and partner in growth with the right approach, operational know-how and backing. We continue to invest in manufacturing in Australia and we will work together across our Gympie Toolara and now Gympie Monkland sites to identify growth in sustainable, efficient and safe production outcomes.

“Our decision around Gympie is also customer led for our local clientele want quality Australian-made products at their doorstep to meet market demand. We’re excited around the unique opportunity presented in Gympie to increase production, support a community and work with local stakeholders in a region dedicated to sustainable manufacturing.

“Laminex Australia acknowledges the foresight of the Corbet family, Queensland Rail, Gympie Regional Council and the Queensland Government for working collaboratively with us to make ongoing timber processing activity at the Gympie Monkland site a reality.

“Laminex is committed to retaining efficient operations across Australia’s regions and our historic track record reinforces this. This includes retaining a strong sales and distribution workforce and continuing to invest more in the regional communities where we operate.”

Mr Burgess said Laminex was now driving innovation right across its operations including the recent launch of a major digital B2B sales platform and unveiling its biggest product range update in twenty-five years, seeking to both better integrate and commercialise innovative design ideas around home construction and renovation.