“I just wanted to say “thank you” for the service you and your staff provided… it might have appeared a little unusual to other funerals you have performed, but it certainly put me and my family at ease and we loved it…. thank you so much”
2
ESMP 2011-12 ANNUAL REPORT
TABLE OF CONTENTS
Chairman’s Report
4
CEO’s Report
6
Trustees and Governance
12
Management and HR Reports
14
•
Funeral Home
14
•
Customer Service
15
•
Site Operations
16
•
Finance and Administration
16
•
Marketing 17
•
Human Resource Management
ESMP Staff
17-18 19-20
ESMP Organisational Structure
21
ESMP Map
22
2012 ESMP 2011-12 ANNUAL REPORT
3
CHAIRMAN’S REPORT As Chairman, and on behalf of the Board of Trustees, management and staff, I can report that 2011-12 has been another successful year of achievement for the Eastern Suburbs Memorial Park (ESMP). ESMP is a financially independent, publicly-owned entity, which is administered by a Board of Trustees following best-practice governance, with the responsibility of ensuring that the Park meets the diverse and changing needs of the community we serve. The foresight, planning and diligence we have deployed to fulfil this commitment under the direction of our Strategic Plan, have enabled us to progressively prioritise, resource and implement projects that are strategically important to ESMP and to the community we serve, both now, and into the future. We have been successful in obtaining approval from the Randwick City Council for the construction of our Greek Orthodox Chapel and the development of our new Asian Gardens section. With Stage 1 of our Crypts and Vaults development completed, we are now commencing the marketing and development of Stage 2. ESMP’s on-site funeral home, condolence centre, café and florist, combined with our crematorium, cemetery and memorialisation products and services, provides families with innovative, fully integrated, one-stop-shop convenience. With this service portfolio platform, our management and staff have continued to provide families and visitors with a professional and personal service at every level of our business. To this end, we have continued to invest in the ongoing training and skill development of all of our people, in the latest presentation mediums and IT infrastructure, to support them in this process. As of 3rd August 2012, ESMP is entering a new phase of governance and will be consolidated with the Woronora Cemetery and Crematorium Trust in Sutherland to form the Southern Metropolitan Cemeteries Trust. Accordingly, the Botany Cemetery and Eastern Suburbs Crematorium Trusts were officially dissolved and I have been appointed Administrator for a period of 6 months until the new Board of Trustees is appointed. To record this significant change in ESMP’s history, I refer you to the extract from the minutes of the last board meeting of the Eastern Suburbs Memorial Trusts held on 24th July, 2012 which has been reproduced opposite. I would like to reiterate the acknowledgements that were expressed in that meeting, of the excellent contribution of Trust members and their forerunner, the Botany Cemetery Executive Committee Trust, towards making ESMP the success that it is today. A solid foundation of good governance, strategic direction and financial and operational performance has been achieved to underpin ESMP’s ongoing capability to deliver on our community charter, historically and in future years, now under the governance of the Southern Metropolitan Cemeteries Trust. In our last report, I recorded with sadness, the passing of our long serving Trustee, Ron Greenstein. Now, it is also my sad duty to record the recent passing of ESMP Trustees Rod Neville and Jack Walker.
4
ESMP 2011-12 ANNUAL REPORT
Jack Walker suddenly passed away on 20th May, 2012. Jack was appointed to the Board of Trustees in July 1999 and was also a member of the Board’s Planning and Works Committee. Rod Neville passed away on 6th April, 2012 following a long illness. Rod was appointed to the Trusts in July 2007 and became a member and then Chair of the Finance and Audit Committee. Both Jack and Rod shared with the Board in many new initiatives and the Trustees and I have been grateful for both Jack’s and Rod’s services to the continued development and improvement of the Park. I once again acknowledge the outstanding work of our CEO, Mr George Passas who, since taking up the position in 2002, has brought ESMP to the forefront of the industry with his reforms, leadership and management expertise. I also praise the commitment and professionalism of his entire staff to providing our community with exceptional service. In my concluding remarks, I am confident that ESMP, now under the governance of the Southern Metropolitan Cemeteries Trust, will continue to be held in high esteem as an innovative leader in the funeral industry, striving for excellence in all areas of our operations and services, planning for and meeting, the current and future needs of our community.
John Douglas Morrison OAM JP
EXTRACT FROM THE LAST MINUTES OF THE LAST BOARD MEETING OF THE EASTERN SUBURBS MEMORIAL TRUSTS HELD ON 24TH JULY, 2012 2nd August, 2012 The Trusts were officially dissolved on 2nd August, 2012. This Minute was prepared in anticipation of the dissolution of the Eastern Suburbs Memorial Park Trusts, which had been advised prior by the NSW Government. “On this the final meeting of the Trust of the Eastern Suburbs Memorial Park, (incorporating the Botany Cemetery Trust and the Eastern Suburbs Crematorium Trust) the remaining four Trust members wish to place on record the contribution of Trust members and their forerunner the Botany Cemetery Executive Committee Trust since the establishment of the Botany Cemetery by Government gazettal on 10th January, 1888. These community representatives have been responsible over the ensuing years for turning virtual sandhills into the beautiful Eastern Suburbs Memorial Park it is today. Not only is it an expanded cemetery with memorial gardens and water features but also contains a Crematorium with two Chapels which have been extensively renovated and upgraded in recent years. Other innovations and buildings have been:• a modern Administration Complex; • a Condolence Centre, capable of catering for some 200+ people, together with a Café and Florist in 2009; • Establishment in 2009 of the Park’s own Eastern Suburbs Funeral Service, this includes a fully operational Funeral Home on site. This was a first for a Crown Cemetery and will ensure the Park’s future by being able to offer a complete funereal service to the community. The Trustees also give due credit to those community members prior to 1888. They with foresight and energy, diligently worked to have the NSW Government of the time establish the cemetery. The Trustees also recognise the managers and staff over the years for their part in developing the Park to service the needs of the community. In saying that we place on record our appreciation of the work and insight of the present Chief Executive Officer, Mr George Passas, for his leadership, management, initiatives and reforms which have brought the Park to the forefront of the industry since taking up the position in 2002. The current Trustees now wish the new Regional Trust, soon to be established, well to continue the advancement of the Park to and further meet the needs and expectations of the community. For the record the “current Trustees” referred to, appointed in July 2009 for a maximum term of 5 years, are: • John Douglas Morrison OAM JP (Chairman) • Russell Stuart McLay BComm (Deputy Chairman) • Stelios Coudounaris JP • Elizabeth Fitzsimmons JP • Aaron Ron Greenstein Ph.C. JP (deceased May 2011) • Rodney Arthur William Neville (deceased April 2012) • John Francis Walker JP (deceased May 2012)
ESMP 2011-12 ANNUAL REPORT
5
CEO’S REPORT I am pleased to report that 2011-12 has been a year of great achievement for ESMP as we continued our commitment to providing families with a fully integrated cemetery, memorialisation and funereal service. The quality and professionalism of our services have gone from strength to strength as we concentrated on further developing our customer service capabilities with training, planned upgrades and extensions to our infrastructure, gardens and facilities.
The gardens are being designed, in accordance with appropriate religious traditions and Feng Shui principles, by Argo Projects Pty Ltd, in consultation with the leaders and representatives of the Asian communities throughout Sydney. We extend our sincere thanks to each of them for providing their valuable advice to ensure that these new Asian Memorial Gardens are sensitive to their community’s traditions and cultural requirements. With the DA now approved, we will concurrently commence the marketing and construction of the Lotus Spiritual Garden. Our immediate objective is to promote the Lotus Spiritual Gardens to the Asian and broader communities, creating awareness, organising events and coordinating visitations to the site.
Our longer-term focus has been prioritising the planning and implementation of projects which align our services strategically and inclusively, with cultural and religious diversity that characterises our immediate and broader Sydney society. These initiatives are set-out in ESMP’s Strategic Plan and include: 1. The research and development of our proposed Asian Gardens section which seeks to provide for the cultural and religious requirements of peoples of Asian heritage. 2. The approval and construction of the Greek Orthodox Chapel for this prominent community group. 3. The staged construction and marketing of the Crypts and Vaults including the proposed Stage 2 Mausoleum, which has been well-supported by Italian families.
Additional Interment Space The procurement of additional interment space to meet the future burial needs of our community has also been a strategically important goal for ESMP. Disappointingly, despite our ongoing commitment to this objective and the considerable community support, I regret to report that this remains an outcome we are still trying to resolve. At its meeting of the 24th July 2012, the Randwick City Council did not support ESMP’s proposal to be assigned a portion of adjoining Crown Land, currently used as market gardens under permissive occupancy. Our proposal was rejected with an 8/6 vote (with one absentee) and was referred by Council to the Department of Planning. This outcome is particularly disappointing and concerning for ESMP and the many families living within the Eastern Suburbs and surrounding areas, as we are rapidly running out of interment space without any immediate solution to what is becoming an urgent community requirement. We will continue our efforts to resolve this very important matter to bring certainty to the many communities affected.
Lotus Spiritual Garden After extensive community consultation, this new interment area will be named Lotus Spiritual Garden. It will become Sydney’s newest and most significant cremation and burial interment area for peoples of Asian ancestry, religions and cultures. The development will provide high quality and tradition-appropriate interment and bereavement care for families of different traditions and faiths, including Buddhist, Taoist, Christian and non-denominational.
6
ESMP 2011-12 ANNUAL REPORT
Greek Orthodox Chapel The Trust commissioned the erection of a traditional-style structure to provide a central focal point and place where memorial services can be held for the many families of Greek Orthodox faith who live within our community. An additional rotunda will serve as a place where the faithful can sit, rest and contemplate. Construction will be completed in the third quarter of 2012-13.
ESMP 2011-12 ANNUAL REPORT
7
Financial Highlights In 2011-12, ESMP’s overall surplus almost doubled to $1.76m with increased income being achieved in the operating surplus and investment revenues. Notable was the 12.1% increase in operating revenues, boosted by the realisation of Crypts and Vaults pre-sales made in previous years.
2011/12 $000’s
2010/11 $000’s
Change %
Cemetery
7,455
6,095
22.3%
Crematorium
2,626
2,835
-7.4%
Funeral Home
770
747
3.1%
Total
10,851
9,677
12.1%
Operating Expenses
8,838
8,493
4.1%
Operating Surplus
2,013
1,184
70.0%
781
545
43.3%
1,763
884
99.4%
ESMP Profit and Loss
Revenue from Operations
Revenue from Investments Overall Surplus*
* Following transfers to Maintenance Reserves.
ESMP Major Operating Expenses 2011-12 Product 13% Employment 36%
Operating 6%
Development 7%
Administration 20% Maintenance 18%
8
ESMP 2011-12 ANNUAL REPORT
Financial Reserves ESMP’s Retained Infrastructure Reserves were increased by the surplus achieved in 2011-12. These reserves will fund the development projects outlined in ESMP’s Strategic Plan which are prioritised to meet the current and future needs of the Eastern Suburbs and surrounding areas.
ESMP Retained Infrastructure Reserves 2001-12 $16,000,000
$14,000,000
$12,000,000
$10,000,00
$8,000,000
$6,000,000
$4,000,000
$2,000,000
$ 2000-01
2001-02
2002-03
2003-04
2004-05
2005-06
2006-07
2007-08
2008-09
2009-10
2010-11
2011-2012
ESMP’s most significant Capital Expenditures in 2011-12 and in the coming year will be the staged development of the Asian Gardens interment area and the construction of the Greek Orthodox Chapel. The Stage 2 Crypts and Vaults development is expected to commence in 2013-14.
ESMP Accumulated Capital Expenditures 2001-12 $25,000,00
$20,000,000
$15,000,000
$10,000,000
$5,000,000
$ 2000-01
2001-02
2002-03
2003-04
2004-05
2005-06
2006-07
2007-08
2008-09
2009-10
2010-11
2011-2012
ESMP 2011-12 ANNUAL REPORT
9
ESMP Products & Services We are continuing our commitment to researching, monitoring and planning ongoing improvements to, and the alignment of, ESMP’s integrated service offering to the complex and diverse array of cultural and religious preferences of the communities we serve.
Funeral Home Under the stewardship of John Vogel and his experienced team, our Funeral Home has continued to increase with 207 at-need funerals services and over 400 pre-paid funerals provided to families in 2011-12. Throughout the year, ESMP has continued to expand our full-service funeral home capability by: • Launching our dedicated Funeral Home web site which includes an “on-line memorials” service to families. • Researching and aligning our services to the religious and cultural requirements of different community groups within our client areas. • Recruiting experienced funeral consultants with special language skills and cultural backgrounds to improve our ability to service families from those communities. Significantly, our success is being achieved through our ability to provide families with a professional, personal service which is sensitive to their individual needs and preferences, supporting them with the guidance and assistance they need at a sad and emotional time in their lives. This personal commitment is frequently acknowledged by families and is also observed by others in attendance which, in turn, further strengthens our reputation as a competent and trusted provider of funereal services.
Memorial Centre An integral part of the services ESMP provides to families, visitors and Funeral Directors is our café, florist and fully catered condolence rooms for wakes and functions. These services are available from our on-site Memorial Centre which is managed by Pelema Retail Pty Ltd, a valued and experienced partner of ESMP. Families of all cultural and religious backgrounds can utilise the on-site convenience of these services when they arrange a funeral service or wake and visitors can enjoy the hospitality and professionalism of the helpful Memorial Centre staff when they visit the Park.
“We were made to feel so comfortable and relaxed... she showed great patience, respect and empathy and was able to calm us considerably.” Crematorium and Cemetery Increased revenues have been achieved with the realisation of our Stage 1 Crypts and Vaults sales and the provision of at-need interments in our General Lawn areas in particular. The pre-selling of interment products in the new Asian Lotus Spiritual Garden and in the Crypts and Vaults Stage 2 development will commence in the second half 2012-13. Throughout the year we have continued investing in the IT systems and infrastructure deployed by our Customer Service team as they present, explain and market ESMP’s expanding number services to families. This includes television monitors, lap tops and audio visual equipment. In 2011-12, the proportion of cremations to burials has remained constant with the previous year with 63.5% cremations and 36.5% burials. While cremations are the preferred choice of many families, the demand for burials has, and will continue to remain, at significant levels for cultural, religious and personal preference reasons. This fact reinforces the need for ESMP to maintain our resolve to secure additional land to meet the current and future demand for burial space by local communities.
ESMP Burials & Cremations 2011-12 (63.5% cremation and 36.5% burials)
Burials 679 Cremations 1,183
10
ESMP 2011-12 ANNUAL REPORT
Memorialisation Memorialisation is a significant value-add income for ESMP and we continue to invest in new products to present to families. Together with the proposed Asian Gardens area, our memorialisation sales in the coming year will also benefit from upgrades to secular Centenary Park with the installation of a new bridge, additional gardens, paths and seating. The following chart shows the proportion of cremations that convert to memorialisation at Eastern Suburbs Memorial Park.
ESMP Cremations 2011-12 (59.2% not memorialised and 40.8% memorialised)
As I have already mentioned, 2011-12 has been another busy and successful year for ESMP and I commend the unwavering dedication and contributions throughout of my managers, Gavin Mulgrew, Customer Service; John Vogel, Funeral Home; Tony Brown, Operations; and John Cottee (of Step Ahead Business Solutions), Finance and Administration; together with their respective teams. My sincere thanks also goes to all ESMP staff members and to the many other partners of ESMP’s business who have provided professional assistance throughout: Peter Kaye (of Consultgroup), human resource;, Kevin Chester and Robert Eyles (of Grey Matters Pty Ltd), Phoenix customer service system; Discovery Technology Pty Ltd, information systems; Hugh Williams (of Marketstrat Business Advisors Pty Ltd), marketing; and Alexander Bailey (of Living Experience), OH&S/WHS compliance and hazard identification. It is truly a collective of enthusiastic, knowledgeable and outcome-driven people who are jointly committed to assisting ESMP to provide the best possible service to our community.
Memorialised 483
Not Memorialised 700
I also acknowledge and greatly appreciate the excellent effort of my Executive Assistant, Tammy Templeman, who ensures that my office, and that of the Trustees, is able to function smoothly in order to fulfil ESMP’s diverse agenda. Most importantly, I would like to thank all of our customers, families and Funeral Directors alike, who contributed to our success. We welcome, and appreciate, your continued patronage, feedback and support.
Acknowledgements As ESMP transcends into the new Trust structure, it is appropriate that I acknowledge the efforts of, and sincerely thank, the retiring Trustees of the Botany Cemetery and Eastern Suburbs Crematorium Trusts for their years of professional governance and invaluable contribution towards the success of ESMP. These are my Chairman John Morrison, my Deputy Chairman Russell McLay and Board members Stelios Coudounaris, Elizabeth Fitzsimmons and, with sadness, the late Rod Neville and late Jack Walker.
In conclusion, I am looking forward to continuing our ongoing commitment to ESMP’s development program under the governance of the new Southern Metropolitan Cemeteries Trust with John Morrison our Administrator until the new Board of Trustees is appointed.
George H. Passas FAICD FCIS FCPA Chief Executive Officer
They have been a progressive, supportive and communityfocused Board who have presided over ESMP’s Strategic Plan and the very many important initiatives we have successfully planned and implemented throughout their watch. In this period we have embraced a number of major projects including: • Opening ESMP’s on-site funeral home, condolence centre, café and flower shop complexes; the Stage 1 and 2 Crypts and Vaults sections; significant upgrades to the Park’s cemetery, crematorium and gardens; construction of the Greek Orthodox Chapel,; and planning the new Asian Gardens development to be commenced in 2013. • Best practice Governance; introducing new human resources and WHS programs; and integrated database, accounting, IT systems and reporting. • Creating a new marketing platform, branding and websites to promote the integrated one-stop-shop Park and funeral home services to the local community. • Pursuing additional interment space for the community in adjacent Crown Land currently under permissive occupancy.
ESMP 2011-12 ANNUAL REPORT
11
TRUSTEES AND GOVERNANCE Up until the 2nd August 2012, the Botany Cemetery and Eastern Suburbs Crematorium Trusts continued its charter of overseeing the strategic direction of ESMP and reviewing and monitoring its business performance and affairs, including the maintenance of sound corporate governance. This Board had successfully completed its third year of reappointment in its current five year term. It comprised six Trustees who were each appointed by the NSW State Cabinet following nominations by The Hon. Minister responsible for Crown Lands. The Chairman and Committee Chairman were elected by the full Board each year at ESMP’s Annual General Meeting. As outlined earlier in this report, on the 3rd August, the Botany Cemetery and Eastern Suburbs Crematorium Trusts were dissolved and consolidated with the Woronora Cemetery in Sutherland to form the Southern Metropolitan Cemeteries Trust. Mr John Morrison OAM JP was appointed Administrator for a period of 6 months until the new Board of Trustees is appointed. The governance of the Eastern Suburbs Memorial Park has, and will, continue to follow best-practice guidelines, policies and procedures. The Board is responsible for: • Reviewing approved business plans. • Monitoring available resources, major capital expenditures and corporate initiatives. • Approving the half-yearly and annual financial reports. • Ensuring sound Corporate Governance is achieved in accordance with contemporary governance practices. The Chief Executive Officer has the delegated role of: • The day-to-day management of ESMP’s affairs. • Implementing the strategic plan and policy initiatives. • In turn, delegating to senior executives to achieve planned outcomes. An Annual Report of the overall performance of ESMP is prepared by the Board. The Report is also forwarded to the relevant overseeing government department, currently the Crown Lands Division of the Department of Primary Industry; and to all other stakeholders. The continued attainment of professional Governance standards and practices has been achieved with the implementation of the following: • Five year Strategic Plan supported with an annual business plan and operational budget. • Defined set of organisation values with identified verifiable indicators. • Governance policies and governance manual. • Established Code of Conduct which applies to all Trustees and employees. • Community and stakeholder reporting and consultation on major works and projects.
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ESMP 2011-12 ANNUAL REPORT
• A risk management framework customised to ESMP’s operations, risk management and crisis management policies, introduced and implemented. • Board remuneration and expenses policy being applied with a high level of objectivity and transparency. • Director’s education and professional development policy. • An annual performance assessment (both Board and CEO), using a comprehensive set of criteria and being independently assessed and reported. • Succession policy and renewal policy being implemented via the management-business continuity plan. • The procurement, maintenance and use of Trust resources. The Governance of ESMP will continue to adopt best practice guidelines whilst under Administration and into the transition to the Southern Metropolitan Cemeteries Trust until the new Board is appointed. Given their importance, it is anticipated that these guidelines will be adopted by the new Southern Metropolitan Cemeteries Board of Trustees.
Trustees/Board of Directors Stelios Coudounaris, Elizabeth Fitzsimmons, Russell McLay, John Morrison, Rod Neville, Jack Walker
Finance and Audit Committee Russell McLay, John Morrison, Rod Neville
Planning and Works Committee Stelios Coudounaris, Elizabeth Fitzsimmons, John Morrison, Jack Walker
John Morrison
Elizabeth Fitzsimmons
Russell McLay
Rod Neville*
Stelios Coudounaris
Jack Walker*
Meetings Attended During the Year Trustee/Director John Morrison OAM JP Chairman
Russell McLay BComm Deputy Chairman
Stelios Coudounaris Chair, Planning and Works Committee
Elizabeth Fitzsimmons Rod Neville* Chair, Finance and Audit Committee
Jack Walker* JP George Passas FAICD FCIS FCPA Secretary and CEO
Board
Planning & Works Committee
Finance & Audit Committee
Leave of Absence
10 of 11
3 of 3
3 of 3
1
11 of 11
-
3 of 3
-
8 of 11
3 of 3
-
3
10 of 11
3 of 3
-
-
6 of 8
-
3 of 3
-
9 of 9
3 of 3
-
-
11 of 11
3 of 3
3 of 3
-
* Rod Neville, Deceased April 2012 * Jack Walker, Deceased May 2012
ESMP 2011-12 ANNUAL REPORT
13
FUNERAL HOME John Vogel JP Manager, Funeral Home
2011-2012 has been another successful year for the Eastern Suburbs Funeral Services with a significant increase of both at-need funerals and pre-need funerals. I am pleased to report that we achieved a 22% growth in at-need funerals from 170 to 207 yearon-year to June, and that we have more than 400 pre-paid funerals, with a total claims value in excess of $1.3m. These excellent results are a reflection of our developing reputation for providing families with a quality and professional care that is both attentive and respectful of their needs and individual circumstances. This commitment is helping us to expand our referral network and the numbers of families who are returning to us as their preferred Funeral Home. Throughout the year, we have continued to strengthen our brand awareness and relationships with clergy, aged care facilities, RSL clubs, welfare groups, hospitals, professionals and community groups. These are built on trust, mutual respect and our commitment to attending to the specific requirements of each religion and community organisation. Our support and sponsorship of community initiatives and events has also helped us to further our community profile. • We are very proud of having been able to help Madalitso Masache, a youth leader at the Church of the Holy Family Maroubra to attend the 2011 World Youth Day in Madrid. • Our sponsorship of St Spyridons Charity Golf Day directly benefits the Children’s Hospital in Randwick. • We were also present on the Maroubra Fun Run and are proud to be a part of what has become Maroubra’s largest family day. We continued our successful questions and answers segment in the local Southern Courier and Wentworth Courier which generated a great response from people throughout the Eastern Suburbs. We have been able to extend this important community service by including many of the topics in the Q & A section of our new Funeral Home Web site www.esfs.net.au. This site is attracting an increasing number of visitors as families seek assistance with atneed and pre-need funerals and information to help them at a very difficult and emotional time. The following graph illustrates how these strategies have attributed to our ongoing growth and success.
2011-12 SOURCES OF FUNERAL SERVICES 36% Direct Contact to ESFS 24% Referral 17% Advertising 15% Funeral Fund 24% Referral
14
36% Direct Contact to ESFS
17% Advertising 15% Funeral Fund
Eastern Suburbs Funeral Services has special expertise in providing families with the option to repatriate their loved ones, either into our care, or to their place and/or country of origin. This very important service is especially valued by many families with strong and relatively recent ties with overseas countries and cultures. Our ability to provide professional intrastate, interstate and overseas repatriation services is made possible by: • Our funeral consultants’ knowledge of the complexities of repatriations. • Our professional mortuary staff who are able to perform correct preservation process. • Our close proximity to Sydney’s national and international airport. We welcome Vasily Makeev who has joined our team of experienced Funeral Consultants this year, bringing with him his extensive knowledge of religion, culture and community. Vasily is fluent in Russian and he attended St Andrews Greek Orthodox Theological College and graduated in 2009 with a Bachelor of Theology. I would like to particularly thank all our funeral staff for their dedication and commitment to providing families with a caring and professional service, 24 hours a day, 7 days-a-week. It is through their combined efforts, teamwork and attention to detail that we are building our reputation as a leading and preferred funeral home in our community.
CUSTOMER SERVICE Gavin Mulgrew Manager, Customer Service
The Customer Service Team has excelled in 2011-12 cremation and memorialisation sales. This success is attributable to the stability of the team and to the commitment and hard work of all members of the staff. Throughout the year, the Customer Service Team continued their ongoing training in the delivery of outstanding customer service standards. Their professionalism, experience and caring personalities provide excellent guidance and service to families, Funeral Directors and visitors to our Park. I am very pleased to welcome Greg Agius who joined the Customer Service Team on the 31st of May 2012 as fulltime Chapel Concierge/Customer Service Officer. His invaluable assistance in operating and displaying audio visual presentations, as well as attending to the needs of families and friends, ensures that the services run as smoothly as possible. He has a very friendly disposition with excellent communications skills, and takes pride in providing a professional and seamless service to our clients.
Our ongoing commitment to the community was rewarded with our Open Day in November, a gorgeous day attended by approximately 200 people who had the opportunity to explore and discover our Park and all our services and facilities. The service on Mother’s Day was hosted in the South Chapel and had a record attendance, providing comfort and support to families. I have worked very closely with Tony Brown, Manager Site Operations; Will Marcus, Managing Director of Argo Architects; and Hugh Williams, Director of Marketstrat Business Advisors; in planning, developing and marketing the new Asian Garden Section. We are continuing our research and increased engagement with the Asia community to ensure we will provide high quality and tradition-appropriate interment and bereavement care for families of different traditions and faiths, including Buddhist, Taoist, Christian and non-denominational. In conclusion, I would like to acknowledge and thank all the members of the Customer Service Team for their extraordinary work and dedication.
Throughout the year, we have made many improvements to our Customer Service IT infrastructure. These have included: • The installation of television monitors in all consulting rooms, both in the Administration building and the Crematorium, enables us to welcome, advise and support families as they discuss and decide the most appropriate memorial for their loved ones. • New laptops are being used in conjunction with these monitors, saving time and improving our service to families. • We have made further upgrades to the crematorium audio visual system, enabling friends and families to enjoy better presentations and music during services. New curtains in the South Chapel and installation of new granite lecterns outside both the West and South Chapels, have been great improvements to the aesthetics of these buildings. Our Centenary Park gardens now feature a new sandstone bridge to cross the lower level of ponds. The pond walls in this area have been secured and raised to create new memorial areas, including 20 family gardens, additional pedestal gardens and memorial plaques. Following the completion of the Memorial Grove Crypts and Vaults, sales have continued to grow and we will soon be ready to start the pre-sales for phase 2. The design, quality and presentation of these fully furnished crypts and vaults are very popular amongst families. The cremation memorial gardens at the Glade are becoming a key area in our Park as the new planting is now well established.
ESMP 2011-12 ANNUAL REPORT
15
SITE OPERATIONS Tony Brown Manager, Site Operations
In 2011-12, training of our ground staff was a high priority. This included training in machinery and plant use following which, they all received certificates. I am very proud that 17 members of my staff have entered a 3-year Horticultural course, which will be very beneficial for our Park. I am also pleased to report that the new garden maintenance team is working very well towards achieving ESMP’s objectives. Throughout the year we continued our program of progressively refurbishing sections of the cemetery grounds to provide families and visitors with easier access and greater safety when they come to visit us. As a result, significant improvements have been made to the overall ambiance of the Crematorium and Memorial gardens which include: • Over 100 Native trees were planted through out the cemetery and crematorium grounds last year. • We have replaced many older trees on a two-for-one basis, resulting in significant improvements to the look, feel and character of these areas. • 4.5 kilometres of paths have been repaired throughout the old sections of the cemetery to improve access and safety for our visitors and staff. The Centenary Park section has been a significant focus with the completion of a number of projects which has further embellished the watercourse and expanded the adjacent memorial areas. These enhancements include: • Five new memorial gardens and twenty eight family gardens, installed to a high quality standard. • Construction of a new bridge across the ponds, providing increased access and an attractive new feature for the area. • Increasing the height of the pond walls, making the area safer to walk around. • Additional seating around the ponds was installed. At the crematorium, cremator number 2 was re-bricked this year, increasing the size by 150mm and cremator number 3, is now the next upgrade scheduled for a similar re-bricking and expansion. We have also been working on a number of other projects which will come to fruition in the next two years. These include: • Our ongoing refurbishment of Centenary Park will continue with the planned replacement of the wooden bridge, the replacement and installation of new paths and raising the height of the pond walls. • Stage one construction of the Asian burial and memorial section which will commence in the third and fourth quarters of 2012-13. • The Greek Orthodox chapel will be constructed in the second and third quarter of 2012-13. • Construction of the second stage of the Crypts and Vaults, is scheduled for 2013-14 In conclusion I would like to thank and commend the excellent work the grounds and gardens staff have achieved this year, improving operations and working very effectively as a team.
16
ESMP 2011-12 ANNUAL REPORT
FINANCE AND ADMINISTRATION John Cottee, B.Bus CPA Manager, Finance and Administration
A successful year of operations resulted in a stronger income, up 12.1%, and more than offsetting increased expenditure of 4.1%. The strong profit result was further boosted by the completion of the Stage 1 Crypt & Vault construction and the realisation of prior year ‘off-the-plan’ sales of Crypts & Vaults. Interest income grew as a result of a structured investment policy conservative in managing interest rate and investment risk. As market rates fall, the overall yield will also fall but will be supported by the timely placement of investments. The numbers of cremations increased slightly however the crematorium income reduced by approximately 8.9% as the sale of memorialisations declined albeit from a highly successful previous year. As new memorialisation areas are established over the coming year, the income generation is expected to again increase. Funeral Home activity increased and income improved by 7.5% on the previous year. The strong profit enabled a further transfer to the Future Maintenance Fund. The infrastructure reserves continue to grow and provide sufficient funding for the ongoing developments of ESMP. Continuing budget controls and maintaining operating costs assist in managing the financial results of ESMP. The contributions of Karen Messenger (Senior Finance & Administration Officer) and Rex Fung (Finance & Administration Officer) to maintaining the accounting records and controls is greatly appreciated, as is the co-operation and support of the management team and their support staff for the work of the Finance team.
MARKETING
HUMAN RESOURCE MANAGEMENT
Hugh Williams
Peter Kaye
BComm MBA
Director, Marketstrat Business Advisors Pty Ltd
Principal, Consultgroup
2011-12 has been another successful year in promoting ESMP’s “one-stop-shop” services to the community and the implementation of targeted marketing strategies to increase the Funeral Home and Memorialisation revenue streams.
As a responsible employer, ESMP promotes a caring, productive, service focused, safe, team based work culture that recognizes diversity in its workforce and encourages skills development.
Community awareness of ESMP’s on-site Funeral Home services has strengthened with the extension of the Q & A community information program featured in the Wentworth and Southern Couriers. This campaign has been interspersed with the promotion of ESMP’s Open Day, Mother’s Day, Father’s Day and Christmas services. These valued events have been extremely well received with an increasing number of people in attendance, expressing their appreciation and gratitude to our Customer Service and Funeral Home staff. An important marketing initiative in this financial year has been the development and launch of the Funeral Home Web site www.esfs.net.au. This is being promoted with a dedicated Search Engine Optimisation (SEO) and Pay-Per-Click (PPC) campaign to attract visitors to the site. The Funeral Home web site is also being featured in the current Courier newspaper campaign and is linked to a Quick Response (QR) code to provide convenient access to smart phone users. The web site provides a convenient and comprehensive on-line resource to pre-need and at-need families. This includes our extensive Q & A information, helpful checklists and advice, links to emergency and community services, listings of our current services and an “on-line memorials” section. The marketing of memorialisation sales by our customer service team have been supported with the production of new product catalogues. These have been produced in a convenient A5 booklet format and provide families with photographs and explanations of the extensive range of memorialisation product options that are available in each section of the Park. These images have also been formatted into a screen presentation which our customer service team can show to families in our consulting rooms. The forms used by the customer service team have been reformatted into a professional electronic format which they can select and use for each transaction. This has improved the presentation, documentation and administration of ESMP’s services.
Safe and Healthy Work Environment A proactive Workplace Health and Safety program has ensured all staff receive the necessary training, procedures, protective clothing and equipment. Risk assessment is regularly undertaken and preventative and mitigation action is identified and implemented. Only 5 injuries were reported in the 12 month period, 3 of which were very minor. One of the injuries was associated with a preexisting condition. During the year a review of sick/carers leave was completed. It was pleasing that accrued sick/carers leave is increasing, as shown in the following table. Accrued Sick/Carers Leave As at 31 Dec 2011
5,101 hours
As at 31 Dec 2010
4,612 hours
As at 31 Dec 2009
3,667 hours
Note: 1. In 2010, six additional gardens staff were employed which largely explains the greater increase between 2009 & 2010 years. 2. 36 staff (92.3%) used one or more days of sick/carers leave, with 6 staff(15.4%) using 3 or more days and only 7 staff (17.9%) used their available sick/carers leave. Staff turnover remains at a low and stable level of 11% on a total workforce of 39 staff (ex-casuals). ESMP has 5 staff (12.8%) with more than 10 years’ service.
ESMP’s community profile has continued to expand with the ongoing sponsorship of local events such as St Spyridon Charity Golf Day, the Maroubra Fun Run, the Randwick City Business Excellence Awards and membership of the Maroubra Chamber of Commerce. Preparation for marketing the Asian Gardens development has been an important focus. We have liaised with Asian Buddhist and Christian community leaders to promote awareness and seek their advice. Planning has commenced for a pre-sales showroom, a targeted community events program and the production of marketing material to promote the extensive range of specialised memorialisation and interment options available in each section of the gardens. These will evolve as strategically important marketing initiatives for ESMP in 2012-13. ESMP 2011-12 ANNUAL REPORT
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Full Time
Part Time*
Female
Male
Total 2011-12
Total 2010-11
CEO & Management
4
-
-
4
4
4
Operations: Grounds & Gardens
22
2
-
22.9
22.9
22.9
Service & Sales
5
2
4.6
1.6
6.2
7.2
Funeral Home
2
-
-
2
2
2
Administration
1
2
1.65
0.45
2.1
1.7
Total
34
6
6.25
30.95
37.2
37.8
Staff Category
Note: 1 staff member works part time in Operations and Service
Regular Casuals
1
7
Injuries Reported
Staff Resigning/Retiring
3
1
2.65
1
5
5
3.65
5
* Part time includes regular casuals
Recruitment and Appointments The new role of Events and Communications Co-ordinator was created in early 2012. This role brings back in house some of the marketing functions outsourced but also enables ESMP to undertake a monthly event in the Park that engages the local community and families. Maria Vinuela-Soto has been appointed to this role (July 2012). The Chapel Concierge role was extended from a part time role to a full time role incorporating some broader customer service duties. Greg Agius was appointed to this role. During the year we also welcomed Vasily Makeev as Funeral Consultant and Rex Fung Finance & Administration Officer. Dale Farmilow also joined the Grounds and Gardens team during the year.
Performance Management All staff have had their position descriptions updated as necessary as a component of the annual performance appraisal program which was undertaken with all staff. ESMP’s reward and recognition policy complements the performance management policy.
Service Standards Mystery shopping continued to be used to monitor service standards and Park presentation. This has been useful as feedback to staff and continues to provide objective information for both staff and management. The last 5 mystery shopper reports indicate a very consistent level of customer service (phone and face-to-face) with the following ratings being achieved: 92%, 91%, 92%, 89%, 90%.
Training & Development An annual training plan is used to manage both on and off the job training for all staff. In addition, training is incorporated into staff
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ESMP 2011-12 ANNUAL REPORT
meetings. Management has also made greater use of visits to other cemeteries to observe service and operations techniques. The key training development has been the commencement of a Certificate III course in Horticulture (Landscape) by 17 of the Grounds and Gardens staff.
Compliance & Industrial Relations ESMP currently has two Enterprise Agreements that cover all non-management staff, ie. The Grounds and Gardens Staff ES 2010 and the Customer Service and Administration EA 2011. ESMP continues to ensure that obligations are readily met under employment legislation. We are very pleased to report that we have not had any HR compliance matters to attend to and have not had any industrial relations matters or lost time due to staff IR related action. This outcome reinforces the proactive work undertaken by management and supervisors in positively engaging the staff, maintaining open and informed communication and readily engaging in consultation.
Employee Budget Total Actual (Salaries and Related costs): $3,158,421 Staff Full Time (Full Time Equivalent): 34 positions Staff: Actual Full time. Part time and regular casuals: 40 positions ESMP’s HR management services continue to be outsourced to Consultgroup. In addition, ESMP outsourced the following specialist services: Information Technology, marketing, WHS support and Phoenix database management. In 2011-12 our staff arranged 843 chapel services, prepared 483 new memorials, prepared for 679 burials, arranged 207 funeral services and arranged 1,183 cremations. This was in addition to the ongoing work of attending to over 230,000 graves, 157 hectares of grounds, 28 presentation gardens, 110,000 memorials, 54km of paths and 4km of roads, 6 main buildings.
Tony Brown
Gavin Mulgrew
John Vogel
Tammy Templeman
Maria Vinuela
John Cottee
Karen Messenger
Rex Fung
Shannon Cullen
Vasily Makeev
Megan Reisenleiter (Senior CSO)
Cristina Guilherme
Raylene Engert
Toni Hamlin
Jasmyne Brown
Lorraine Aitkin
“What we do today, we strive to improve-on tomorrow”. Connie Pandelis
Greg Agius
ESMP 2011-12 ANNUAL REPORT
19
Darren Williams (Supervisor)
Emerico Kreisz (Leading Hand)
Jeff Damke (Leading Hand)
Ben Slater (Leading Hand)
Daniel Alder
Wally Conforto
Dale Farmilow (Grounds Staff)
Barry Cooley
Steve Edwards
John Gallulo
Paul Larssen
Peter Larssen
Craig Simmons
Patrick Slater
Larry Smith
Michael Smith
Stan Smith
Allan Toomey
David Halliday (Supervisor)
Allan Wrigley (Leading Hand)
Dale Atkinson
Aaron Bradshaw
Jeremy Jennings
Jason Malos
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ESMP 2011-12 ANNUAL REPORT
ESMP 2011-12 ANNUAL REPORT
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Leading Hand Gardens Allan Wrigley
Grounds Staff Garden Dale Atkinson Grounds Staff Gardens Aaron Bradshaw Grounds Staff Gardens Jeremy Jennings Grounds Staff Gardens Jason Malos Asian Gardens Staff Future position
Asian Gardens Staff Future position
Leading Hand Jeff Damke
Grounds Staff Craig Simmons
Grounds Staff Patrick Slater
Grounds Staff Larry Smith
Grounds Staff Michael Smith
Grounds Staff Stan Smith
Grounds Staff Allan Toomey
Grounds Staff Dale Farmilow
Grounds Staff Wally Conforto
Supervisor, Gardens David Halliday
Leading Hand Emerico Kreisz
# Part Time role
Permits Officer # Paul Larssen
Grounds Staff, Crem John Gallulo
Grounds Staff Steve Edwards
Grounds Staff Barry Cooley
Chief Executive Officer George Passas
Trustees/Board of Directors
Peter Larssen
Records & Grounds Officer
Chapel Concierge Greg Agius
CSO-Reception Connie Pandelis
Customer Service Officer Lorraine Aitken
Customer Service Officer Toni Hamlin #
Casual Support Team
Funeral Consultant Vasily Makeev
Customer Service Officer Jasmyne Brown Customer Service Officer Raylene Engert
Funeral Consultant Shannon Cullen
Team Leader, FH (vacant)
Manager, Funeral Home John Vogel
OH&S/WHS Compliance Living Experience
Phoenix Database Management Grey Matter Solutions
Information Technology Discovery Technology Pty Ltd
Marketing Services Marketstrat
HR & Strategy Consultgroup
Finance & Admin Officer Rex Fung #
Karen Messenger #
Snr Finance & Admin Officer
Manager, Finance and Admin # John Cottee
Executive Assistant Tammy Templeman
Customer Service Officer Cristina Guilherme
Senior CSO Megan Reisenleiter
Manager, Customer Services Gavin Mulgrew
Events & Communications Co-ord Maria Vinuela
Leading Hand Ben Slater
Manager, Site Operations Tony Brown
Supervisor Darren Williams
August 2012
Eastern Suburbs Memorial Park Organisation Structure
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ESMP 2011-12 ANNUAL REPORT
ESMP 2011-12 ANNUAL REPORT
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“We want you to know how much we have appreciated your professionalism, kindness and support over the last week. All of the small acts have helped us get through this hard time.�
ESMP 2011-12 ANNUAL REPORT
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Administered by: The Botany Cemetery & Eastern Suburbs Crematorium Trusts (To 02/08/2012) Southern Metropolitian Cemeteries Trust (From 03/08/2012)
Member of: Cemeteries & Crematoria Association of NSW Australasian Cemeteries & Crematoria Association Australian Funeral Directors Association 12 Military Road, Matraville NSW 2036 P | (02) 9661 5655 F | (02) 9311 3654 www.esmp.net.au
e | enquiries@esmp.net.au