Blundstone, Northern Project Contracting, and cheese-maker La Casa Del Formaggio have all increased their Australian manufacturing operations after consulting with Enterprise Connect over a ‘Business Review’.
NEW research conducted by the Australian Government’s small business assistance service, Enterprise Connect, shows that businesses that adopt a strategic approach to their operations experience significantly better business outcomes.
According to the research, conducted among Enterprise Connect clients, the improvements were equivalent to increasing the labour force by 25% or increasing capital expenditure by 65%.
The research supports the findings of a recent international Management Matters survey which pinpointed strategic planning as a vital component of business success.
Since 2008, Enterprise Connect has been working with small and medium businesses around Australia to review and improve their performance. Each Business Review is conducted by a Business Adviser with years of relevant private sector experience.
A case in point is legendary Tasmanian footwear company, Blundstone. Blundstone has been in business since 1870, but like every business it had to take a strategic view to stay ahead of its competitors.
Blundstone’s chief executive officer, Steve Gunn, was pleased with what was achieved with the support of Enterprise Connect.
"The Business Review application process was easy and the response from Enterprise Connect was swift and I was impressed by the professionalism of our Business Adviser Michael Turner and State Director Keith Calvert," Gunn told Manufacturers’ Monthly.
"One of the valuable insights we gained through the Business Review was that to increase our market growth; we needed to shift our focus from being manufacture-driven to being market-driven.
"The Business Review highlighted that we needed to beef-up our marketing expertise and focus more on our brand positioning and product marketing as well as refresh our sales channel strategies to better target our customers."
Gunn said he welcomed the recommendations of his Business Review, saying the company had already started acting on the advice.
Industry specific
Meanwhile, at the other end of Australia, Enterprise Connect is helping another business in a vastly different industry sector to achieve better outcomes by taking a strategic approach.
Telstra Business Award winner, Northern Project Contracting (NPC), is a unique Queensland-based company that specialises in the civil construction and mining sectors.
The company started life in 2004 as a joint-venture between an indigenous organisation and an experienced mining contracting firm. Its indigenous partners acquired 100% ownership in 2008 and have since rapidly expanded the business.
"Part of the ethos at NPC is that we are not happy to rest on our laurels. We are always looking for ways we can improve and we were happy to invite Enterprise Connect in for a look around," said NPC’s business manager, Michael Rimmer.
Enterprise Connect’s Business Adviser, Hans Pihl, used the latest business diagnostic tools to benchmark NPC against other businesses of similar size.
"Our Business Adviser really understood the industry we work in and his report highlighted areas needing attention. It was good to get that outside perspective on ways we can analyse our systems and improve them," Rimmer said.
No business too small
The emphasis on strategic planning has also made a big difference to Adelaide-based cheese manufacturer, La Casa Del Formaggio. The family-owned business was opened by Gerardo and Rose Cicchiello is 1988 and is now run by their children, Claude and Marisa.
Enterprise Connect Business Adviser, Michael Cain, conducted a top-to-bottom Business Review which pinpointed areas for improvement and growth and again, strategy was underlined.
"The review confirmed we were good at the operational aspects of the business, however, we were lacking the systems and procedures necessary to support company growth," said Claude Cicchiello.
As a result of the Business Review, the company has utilised the Tailored Advisory Service grant to introduce a culture program incorporating systems and procedures. A new management structure and incorporated systems have also been put in place.
"Business growth has never been better. We now feel we are beginning to support our operational strength with systems and procedures. Importantly, we have become more strategic in investing capital into the business as we prepare for even further increases in volume," said Cicchiello.
"Ideally, in five year’s time, La Casa will be run by a management team with my involvement being very much based around overall business strategy and direction."
Small and medium businesses that have traded in Australia for at least three years, are financially solvent, and operate in specific industry sectors, may be eligible for assistance from Enterprise Connect.
Enterprise Connect supports businesses in industries including manufacturing and defence, in both remote and region areas of Australia.
Enterprise Connect 131 791, www.enterpriseconnect.gov.au
Image courtesy of News.com.au
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