Australasia Outlook - Issue 10

AUSTRAL ASIA

ISSUE 10 | WWW.AUSTRALASIAOUTLOOK.COM

AUSTRALIA’S

blues gold medal London 2012 was a huge disappointment

also this issue

QHDC

THE BOOMTOWNS OF WA

QUEENSLAND RAIL

FIGHTING FOR A MANUFACTURING FUTURE

Welcome Editorial Editor Ian Armitage

Editorial Assistant Clare Durrant Writers Robert Burton-Bradley

Business

Advertising Sales Tomas Aras Editorial Researchers Brandon Bloch Production assistant Daniel George

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Financial controller Suzanne Welsh

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Magazine design – Optic Juice Production manager– Jon Cooke Images: Getty News: NZPA, AAP, SAPA

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www.australasiaoutlook.com

London Games come to a close The 2012 London Olympics have come to an end. Let’s be frank from an Australian perspective things didn’t go too well. A shortage of gold has left the athletes licking wounds, the public saddened (after all, what’s better than an Olympic gold?) and the AOC in disbelief.

AOC president John Coates certainly wasn’t happy and took aim at the attitude of sporting administrators - not athletes - for the disappointing medal haul.

“I wouldn’t point the finger at any athletes in terms of attitude. I can’t do that,” Coates said. “But I leave a question mark on whether the attitude or ownership is as good as it could be in the management of some of the sports.”

Some though, rightly or wrongly, have questioned the athletes’ work ethic and commitment.

So what went wrong? We discuss that on page 16.

Away from the Olympics, we look at the boomtowns of Western Australia and some of the recent going ons at Queensland Rail.

We also pay a visit to leading shopping and supermarket trolley manufacturer QHDC which diversified some of its focus and is set for expansion according to business development manager Bruce Atkins.

Of course we continue to bring you all the other things you have come to expect from one of the region’s leading business lifestyle titles.

Enjoy the magazine

Ian Armitage Editor

cOntents

12

L o n D o n 2012 australia’s gold medal blues London 2012 was a huge disappointment…

16

the boomtowns of Wa Western Australia’s southwest is home to lush, largely unknown beaches, wilderness and famous wineries

20

QHDc Leading shopping and supermarket trolley manufacturer opens impressive new showroom

24

a n u n c e r ta i n future?

Fighting for Australian manufacturing

26

M o v i n G f o r Wa r D Queensland Rail is refocusing on frontline services

12 Focus Manufacturing

neWs

Focus travel

04

Cover

Features

20 16 26 3

News London 2012

Pearson takes 100m hurdles gold

Sally Pearson took 100m hurdles gold from reigning champion Dawn Harper with a new Olympic record of 12.35 seconds.

She went one better than her silver in Beijing and celebrated wildly as replays on the stadium’s big screen confirmed that she had held off her American rival by just 0.02 secs.

It was a new personal best for Harper and also for Kellie Wells in bronze with 12.48secs, despite a slight headwind of 0.2ms.

Missile failure? Magnussen wins Olympic silver

Australian swimmer James Magnussen won an Olympic silver medal in the men’s 100m freestyle final after finishing a heart-breaking hundredth of a second behind American Adrian Nathan.

Magnussen admitted earlier that he had to rethink his original cocky attitude in entering the London 2012 Olympics.

After Australia’s 4x100m freestyle relay disaster, Magnussen reportedly suffered a bout of nerves.

“To be honest, I came into these Olympics thinking I couldn’t be beaten,” Magnussen the ‘Missile’ said after his initial hiccup.

“It was probably the reality check I needed.

Everyone tells you to expect that it’s different and it is ... this is the Olympics. I’ve learnt from it.”

The London 2012 Aquatic Centre erupted in shouts of “Aussie, Aussie, Aussie!” as Magnussen was announced Olympic silver medallist.

Anna’s revenge: Meares win Olympic gold Anna Meares won Olympic gold in the women’s sprint with a 2-0 win over old foe Victoria Pendleton in a rivalry that has defined their careers.

“I saw an opportunity where Vicky was just a little slow coming out of turn two on the last lap,” Meares said, of the process leading to her first Olympic sprint gold after bronze in Athens and silver in Beijing (behind Pendleton).

Meares picked her moment and, just as she had rehearsed it, powered off the second bend and rode over the top of Pendleton to grab victory in 4

the second race of a best-ofthree series.

“I went for it. I gave it everything I had, more than I ever have. I pulled on the (handle) bars more than I ever have and I was screaming under my breath. You couldn’t hear it because the crowd was going nuts, but I was screaming as I fought through that bend.”

The first race was somewhat controversial with Meares putting an elbow into Pendleton’s thigh as the British woman briefly moved off her line as they sped through the final banking. Pendleton took

the match before officials ruled against her. That left Pendleton needing two straight wins to take gold.

London 2012

Bolt defends 100m title

Jamaican sprinter Usain Bolt defended his men’s 100m title in stunning style at London 2012, winning the final in a time of 9.63 seconds – an Olympic record.

Fellow Jamaican Yohan Blake and American Justin Gatlin came second and third.

“I was slightly worried about my start,” Bolt told BBC Sport.

“It was not the best reaction in the world, but I stopped worrying about it and executed it and it worked.”

Seven of the eight finalists ran under 10 seconds in what was the fastest Olympic 100m final in history.

Oscar Pistorius makes Olympic history

Oscar Pistorius made history by becoming the first amputee sprinter to compete at the Olympics.

The four-time Paralympic champion, 25, whose legs were amputated below the knee aged eight, finished second in his 400m heat in a time of 45.44 seconds to reach the semi-final.

“I didn’t know if I should cry or be happy. It was such a mix of emotions,” Pistorius told BBC Sport.

Seebohm settles for silver in 100m backstroker

A heartbroken Emily Seebohm had to settle for silver in the 100m backstroke after 17-yearold American schoolgirl Missy Franklin passed the Aussie in the last desperate strokes to the wall.

Franklin’s time was 0.10 seconds slower than the one Seebohm set in her heat swim. If the Queenslander had been able to reproduce that performance in the final she would be the Olympic champion.

Immediately after the race, the disconsolate 20-year-old broke down in tears as she was being interviewed by Grant Hackett.

But as her achievement sank in over the following hours, her outlook gradually changed.

“I’m really happy, not that you can tell, that I got silver,” she said. “In the last Olympics I got ninth, but

ninth is like second in a way, you are just so close but you just missed it.”

Seebohm has since conceded her obsession with social media may have played a role in narrowly missing out on gold.

“I don’t know, I just felt like I didn’t really get off [social media] and get into my own mind,” she said. “I have said a lot that all I need to do is focus on my own race. But when people start telling you are going to win gold, you are going to start believing it. When they tell you a thousand times you are going to get it, somewhere in your mind you are just like, ‘I’ve done it’. But I hadn’t and that was a big learning curve and I obviously need to sign out of Twitter and log out of Facebook a lot sooner than I did.”

5

News B u s i n e s s

Online sales boost Domino’s profit Domino’s Pizza says full-year profits are expected to grow by 15 percent by June 2013 driven by soaring digital sales and demand for more shopfronts.

The Australia-based pizzamaker reported a 26 percent rise in full year net profit of $A26.9 million for the year to June 30, 2012, up from $A21.4 million in the previous year.

Chief executive Don Meij said customers were increasingly buying pizzas online, especially through their smartphones, instead of the conventional ways over the phone or in-person.

He said it’s expected more than 60 percent of Domino’s overall pizza sales will come through via online orders this year.

“We’ve gone from one percent of (online sales)

in 2005 to 50 percent today, and 40 percent of that’s through smartphones,” Mr Meij told AAP. Domino’s says its same store sales will grow by three to five percent by June 2013 and about 75 new stores will open at the same time as a result of that.

“The whole digital exposure means we’re getting more business, and more business means we need more shops to handle all that,” Mr Meij said.

Domino’s expects new product lines and online offerings will drive its sales this year.

The pizzamaker is to launch a new iPad app that allows customers to `create’ their own pizza before it’s handed to them at the door.

“You actually make the pizza with your fingers, so you’re actually pulling the topping on the pizza and building it.”

M o n e y L i f e s t y l e

RBA keeps cash rate on hold

ANZ customers start High Court fee fight A class action representing 38,000 ANZ bank customers has begun with lawyers hoping to overturn a Federal Court judgment limiting which bank penalties are regarded as excessive.

Lawyers say banks are boosting their coffers and punishing customers by charging excessive fees for over-the-limit credit cards, overdrafts and overdrawn accounts.

The case against ANZ is part of Australia’s largest class action on behalf of 170,000 customers from ANZ, Commonwealth, NAB, Westpac, St George, Citibank, Bankwest and Bank SA who are claiming more than $A220 million in excessive fees.

Justin Gleeson, representing the class action, argued the law should focus on whether the fees exceed the cost of any likely damage incurred by the bank and examine the purpose for the fees.

He said if an ANZ customer had an overdrawn account they could be charged a $A45 dishonour fee or a $A29.90 honour fee and have electronic access to their account terminated.

“The bank takes the self-help remedy of dishonour,” Mr Gleeson told the court’s full bench.

“It’s to deter a customer and punish them to the unjust enrichment of the bank.”

Mr Gleeson said the size of the fee was excessive.

6

The Reserve Bank of Australia (RBA) has left the cash rate on hold at 3.5 percent for the second meeting in a row.

At its August meeting, the RBA decided to keep the cash rate steady, after a similar decision in July, and cash rate cuts in May and June.

RBA governor Glenn Stevens said that moderate growth in the domestic economy, plus earlier cash rate cuts had prompted the decision.

“As a result of the sequence of earlier decisions, monetary policy is easier than it was for most of 2011,” he said.

“In Australia, most indicators suggest growth close to trend overall.

“Labour market data show moderate employment growth, even with job shedding in some industries, and the rate of unemployment has thus far remained low.”

B u s i n e s s

Alesco shares enter trading halt Shares in garage door and construction products maker Alesco have been placed in a trading halt as takeover talks with DuluxGroup continue.

“Alesco advises the reason for the trading halt is to allow Alesco to continue its discussions with DuluxGroup in relation to its conditional off-market takeover bid for all of the ordinary shares in Alesco,” a statement said.

Alesco’s board previously has said it was opposed to paint maker Dulux’s $A210 million takeover offer, which includes 2.05 cents a share in cash plus 18 cents in franking credits.

However, Dulux has managed to convince some of Alesco’s largest shareholders to take up its offer and now controls about 41 percent of Alesco’s shares.

l i f e s t y l e

Jobless rate fell in July

s p o r t

Cricket Victoria mourns loss of Ray Jordon Cricket Victoria has paid tribute to former state wicketkeeper Ray Jordon, who has died aged 75.

Nicknamed “Slug”, Jordon was also a prominent figure in the VFL/AFL as a junior coach.

Fondly remembered for his mentoring skills, his sharp tongue and his even sharper wicketkeeping skills to all types of bowlers, Jordon played 79 firstclass matches for Victoria from 1959-60 to 1970-71.

He scored 2237 runs at 26.01 and claimed 260 dismissals, a record later broken by Richie Robinson.

Jordon was Brian Taber’s back-up gloveman on Australia’s tour of Sri Lanka, India and South Africa in 1969-70 and played 11 first-class matches on that tour.

He later served as a Victorian selector.

Cricket Victoria chief Tony Dodemaide said Jordon was a character in every sense.

“He was definitely one of those people for whom records and statistics are only a small part of the story.”

Magpies’ AFL star Swan banned by club There was a small improvement in the unemployment rate in July, data released by the Australian Bureau of Statistics showed.

According to the data, 14,000 more people found jobs in July and the unemployment rate fell 0.1 percent to 5.2 percent in the month.

Full-time employment rose by 9,200 to 8.074 million in July and part-time employment was up 4,800 to 3.439 million.

The July participation rate was 65.2 percent, compared with 65.3 percent in June.

The participation rate was forecast to be 65.3 percent.

Collingwood have suspended star Dane Swan, jeopardising their chances of an AFL top two finish and the midfielder’s hopes of back-to-back Brownlow Medals.

The Magpies backed team rules over star power, banning the in-form 28-year-old for two games for going out drinking.

“The decision was made after the club became aware that Swan had been drinking alcohol… a clear breach of club protocol,” the Magpies said in a statement.

“The suspension followed discussions between a number of parties, including the leadership group.”

The club’s players reportedly made a pledge to refrain from drinking alcohol for the rest of the season.

7

News b u s i n e s s

Carlton & United Breweries to shed 30 Melbourne jobs

Carlton & United Breweries (CUB) is to shed about 30 Melbourne brewing jobs.

CUB told workers at its Abbotsford brewery it will shut one of the site’s seven production lines. 33 jobs will go.

“CUB has announced it will be closing one of the older production lines at Abbotsford, making 33 positions redundant,” the company said in a statement.

The company’s acquisition

by SAB Miller has meant international beers such as Carlsberg and Stella Artois are no longer being brewed under licence at Abbotsford, it said.

“This, combined with the challenging short-term Australian market forecast for beer volumes, has led to the decision to close B2, which is one of the older bottling lines at Abbotsford,” CUB said.

A spokeswoman said the past six months had seen beer sales become “just a bit flatter”.

The company said it expects voluntary redundancies to cover all job losses, which will be finalised by October.

8

p r o p e r t y

Lend Lease led group wins multibillion-dollar Qld deal

A consortium led by construction behemoth Lend Lease Group has been awarded an A$2 billion contract for the Sunshine Coast University Hospital public private sponsorship.

The Exemplar Health consortium comprises Lend Lease and its infrastructure

development business, Capella Capital, and services company Spotless Group.

It will design, construct, maintain and finance a 738bed hospital at Kawana as a public private partnership with Queensland Health.

Construction is scheduled for completion in late 2016.

S p o r t

New AFL player signing rules The AFL has warned clubs they face $A100,000 fines if they breach new rules regarding poaching of players.

The AFL tightened its rules on a player signing with a new club to try to prevent the code going down the same path as the NRL. In the NRL, players can play out a season with their existing team having already signed a deal with a rival club.

Previously the only way an AFL player could sign a deal with a different club while still under contract was in the “off-season window” where offers could be made to players before the start of the final year of their existing deal.

Now, while clubs can still negotiate with players, no binding deals can be agreed outside a three-week “free agency window” at the end of each season.

Clubs who are discovered to have made a binding agreement with a player outside that window face the hefty fine of up to $A100,000.

No players have so far admitted to signing with rival teams in advance, although Phil Davis announced he intended to negotiate with Greater Western Sydney while still playing with Adelaide.

T r av e l P r o p e r t y

SA Govt to fast-track building work The South Australian government is to fast-track building projects worth more than $A20 million to provide a boost to the state’s construction sector.

Premier Jay Weatherill said the projects would be intensively case managed to cut through red tape and bring them on quicker to help the industry through a difficult period.

“This won’t alter our existing planning, environmental and safety approvals system, which is the best in the nation,” he said.

“But there is a sense of urgency about the circumstances of the building and construction sector.

“That’s why we are taking this extraordinary step to ensure that our construction industry is supported.”

Qantas resumes flights to Gold Coast

E u r o z o n e c r i s i s

Qantas is resuming flights to Queensland’s Gold Coast following a four-year absence.

The airline stopped flights to the tourist strip in July 2008 but will resume three flights per day from the end of October.

“We believe the time is now right for Qantas to come back onto this route,” Qantas boss Alan Joyce said.

Germany, Italy vow ‘everything possible’ to protect eurozone

Offshore processing to begin in weeks: PM

German Chancellor Angela Merkel and Italian Prime Minister Mario Monti have pledged to do everything necessary to shield the debt-wracked eurozone from the ongoing crisis gripping the region.

In a telephone talk, they “agreed that Germany and Italy will do everything to protect the eurozone,” said a statement released in Berlin and Rome.

The statement followed a similar pledge by the leaders of France and Germany and remarks by the head of the European Central Bank, Mario Draghi, in which he vowed to “do whatever it takes to preserve the euro”.

Australia could start sending asylum seekers to Nauru and Papua New Guinea within weeks after the opposition agreed to support a tougher version of John Howard’s Pacific Solution.

Parliament has begun debating the government’s new legislation to resurrect offshore processing.

“The time for politics is over, the time for action is here. We want this legislation through,” Prime Minister Julia Gillard told reporters in Canberra shortly before the debate began.

The legislation, modelled on the recommendations of former defence chief Angus Houston’s expert panel, will allow the government to designate any third country for offshore processing of asylum seekers.

But it will also give both houses of parliament the power to veto designations before they come into effect.

That means processing on Nauru and Papua New Guinea will be allowed to proceed with coalition support, but the government’s preferred option of Malaysia appears doomed.

$A plummets amid further European trouble The Australian dollar has fallen one US cent and the euro has hit a record two-year low against the US dollar amid renewed fears about the European government debt crisis.

At 1700 AEST on Monday (July 23), the local unit was trading at 103.12 US cents, down from 104.09 cents on Friday.

The euro went as low as 120.85 US cents on Monday, its lowest point since June 2010.

Over the weekend, Spanish bond yields soared past seven percent, pushing the cost of borrowing for the Spanish government to a level which is considered too high to be sustainable.

9

News B u s i n e s s

James Hardie lifts profit Building products maker James Hardie Industries has posted an improved net profit of $US68.5 million ($A65.02 million) for the three months to June 30.

The company said an increase in sales volumes and home building in the US and Europe had driven the result.

Its Australian operations however made a lower contribution to earnings.

James Hardie forecasts full year earnings excluding asbestos, Australian Securities and Investments Commission (ASIC) expenses and tax adjustments to be in the range of $US140 million to $US160 million ($A133.21 million - A152.24 million).

Crown profits up by 53% Casino operator Crown’s full year profit grew by 53 percent as revenue from its Australian operations increased on the previous year.

Its net profit for the year to June 30 of $A513.3 million was up from $A335.9 million in the previous year.

Revenue in the year to June of $A2.8 billion was an increase of 17 percent from $A2.4 billion in the previous year.

However, gaming revenue growth slowed in the second half of the 2011/12 financial year, in general gaming and also high rollers.

Chief executive Rowen Craigie described the results for Crown in Melbourne and Perth’s Burswood casino as mixed.

“During the year, we saw reasonable revenue growth at both properties, although in some areas this was offset by higher operating costs,” he said.

10

L i f e s t y l e

Fitness club first to get carbon tax fine A fitness club has become the first Australian business to pay a fine for making a false claim about the carbon tax.

GFC Berwick, trading as Genesis Fitness Club, paid $A6600 to the Australian Competition and Consumer Commission (ACCC) as penalty for sending a letter to its

members in April promoting a “rate freeze” offer.

The club said that by taking up the offer, members could avoid a fee increase of nine to 15 percent because of the carbon price.

More than 200 members took up the offer and extended their contracts.

S p o r t

Blease is AFL Rising Star nominee Melbourne’s Sam Blease is the AFL’s Rising Star Award nominee for round 20.

Blease was best-afield for the Demons against St Kilda, gathering 20 possessions and kicking a career-best five goals.

The 21-year-old utility has played 18 AFL games in total.

Blease was also nominated in round 23 last season, but remains eligible this year.

P r o p e r t y

NZ property values extend gains New Zealand property values extended their gains in July as homes in Auckland and Christchurch continue to appreciate amid a shortage of supply, according to government valuer Quotable Value.

National property values rose 2.2 percent in the three months ended July 31 and have increased 4.6 percent over the past year, to be 0.8 percent off the market peak in 2007.

“Across the main centres listings remain relatively tight, leading to less choice for buyers,” research director Jonno Ingerson said.

“In Auckland this has led to a sellers’ market with prices pushing upwards, while Wellington is showing the first signs of heading that way too.”

New Zealand’s property market has been on the up this year after stalling through 2011.

p r o p e r t y

Crown to build new six-star hotel in Perth

Casino operator Crown plans to spend $A568 million building a new six-star hotel at its Burswood complex in Perth.

The James Packer-controlled company said the 500-room Crown Towers Hotel would be the city’s largest, and would create 500 new jobs once completed, plus 700 construction jobs.

Construction of the hotel tower will begin next year, with completion expected in 2016.

The development will be built on a site owned

by Burswood, plus land to be bought from the West Australian government for $A60 million.

As part of the deal with the government, Crown will be allowed to add 500 poker machines and 130 gaming tables at the Burswood casino over the next five years.

Crown said Perth was in desperate need of additional luxury hotel and short-term accommodation to satisfy the demands of business travellers and tourists.

The new hotel would put the city “firmly back on the map for leisure travellers seeking exclusive, resort-style experiences”, Crown said in a statement.

E u r o z o n e c r i s i s

Euro crisis: Moody’s gives Germany ‘negative’ outlook Moody’s credit agency has warned the outlook for Germany’s AAA credit rating is negative, the first step towards a possible downgrade.

It said Germany was at risk from wider eurozone troubles and a possible Greek exit from the euro.

It also put the ratings for the eurozone’s other top-rated economies, the Netherlands and Luxembourg, on negative outlooks.

“Today’s decision to change to negative the outlooks on the AAA ratings of Germany, the Netherlands and Luxembourg is driven by Moody’s view that the level of uncertainty about the outlook for the euro area and the potential impact of plausible scenarios on member states are no longer consistent with stable outlooks,” the agency said in a statement.

11

Australia’s Olympic

gold medal blues

Andrew Grant cant hide his disappointment after the loss to Bulgaria during Men’s Volleyball

London 2012 has been a huge disappointment…

By Ian Armitage

12

L

et’s face it. Australia’s Olympics was pretty poor.

Just where were those gold medals we longed for?

Even James ‘missile’ Magnussen – who just a few weeks ago you would have bet your house on – missed out, winning silver in the 100m freestyle.

For a country with such a sporting prowess, you might have expected a little better than the seven golds we got.

The AOC certainly did – they wanted 15 based on the good performance at the 2011 world championships.

Okay to be fair, Australia did finish a fairly respectable 10th in the overall medals table with 27 medals, but it was an Olympics of mixed fortunes and we really wanted a top five finish. It has left us all feeling a bit flat.

AOC president John Coates certainly wasn’t happy with how things turned out and took aim at the attitude of sporting administrators - not athletes - for the disappointing medal haul.

“I wouldn’t point the finger at any athletes in terms of attitude. I can’t do that,” Coates said. “But I leave a question mark on whether the attitude or ownership is as good as it could be in the management of some of the sports. I haven’t lost the

Australia’s Olympic gold medal blues

“I haven’t lost the hunger for Australia to do well in Rio. Our objective again will be top five. The Australian Olympic Committee hasn’t lost the hunger” - John Coates

hunger for Australia to do well in Rio. Our objective again will be top five. The Australian Olympic Committee hasn’t lost the hunger.

“The sports have to look at themselves rather than look at the funding,” he added.

“I was concerned about 18 months before these Games whether the sports themselves, the presidents and their executives, were taking enough ownership. I know the executives and chairmen in some sports know every result internationally. I get phonecalls and we tick-tack.

“But there are others that are just allowing it to happen, relying on high-performance managers.

I’m not going to be specific here.

But it has to come from the top.

Any corporation is only as good as its CEO or chairman and the direction that is coming from there.

“I got letters back from all but one of (the sports) saying, ‘We think we can Magnussen reacts after he do this’. What I was doing was trying to finished second in the Men’s 100m Freestyle make sure they knew their neck wasn’t on 13

AustrAliA’s Olympic gOld medAl blues

the line but they had to take some ownership. They’re largely being very, very well funded by the Australian Sports Commission. With that comes the responsibility of delivering.”

The likes of former swimmer Susie O’Neill and marathon legend Robert de Castella questioned the work ethic and commitment of the athletes.

As Coates said, funding certainly isn’t an issue.

So what went wrong?

Maybe all the other countries just got better? That certainly seemed to be the case with Team GB in particular, who came third and enjoyed a fantastic games.

Regardless, Coates called on the AIS and high-performance units across all Olympic disciplines to search for an edge between now and the Rio de Janeiro Olympics in 2016.

The athletes need to start turning some of those silvers (we got 16 in London) into gold.

I don’t buy into the commitment factor. You only had to look at ‘missile’ Magnussen’s face after a gold medal was whisked away from him by American Nathan Adrian by less than 0.01 seconds to know just how much he wanted it.

“It hurts,” Magnussen said.

“I did my best tonight and it was not quite good enough. To lose by that amount stings.”

21-year-old Magnussen also had his ego knocked in the men’s 4x100m freestyle relay which Australia were firm favourites to win.

“I guess having such a successful young career, I just felt pretty much bullet proof coming into these Olympics and it’s very humbling,” he said.

Australian Olympic backstroke 100m silver medallist 14

Gold medalist Missy Franklin of the US is congratulated by silver medalist Melanie Schlanger

“I was concerned about 18 months before these Games whether the sports themselves, the presidents and their executives, were taking enough ownership. I know the executives and chairmen in some sports know every result internationally. I get phonecalls and we tick-tack”

Silver medalist Emily Seebohm of Australia celebrates with her medal

Todd Skipworth, Benjamin Cureton, Samuel Beltz and Anthony Edwards react after finishing outside of the medal positions in the Lightweight Men’s Four final

Emily Seebohm, another of the country’s gold medal hopes, burst into tears after losing her race, saying in an interview: “I guess when you swim that fast in the heat, then people put pressure and more pressure on you, saying: ‘Oh, you’re going to get the gold.’ Maybe I just started believing that and just thought I’d already won by the time I had swum and I hadn’t even swum yet.”

Seebohm set an Olympic record in the heats so you can understand her disappointment.

Hopefully they’ll be able to use that as motivation next time (just like Sally Pearson did in this games in the 100m hurdles).

Sports-mad Aussies have a history of sporting success with a ‘never say die attitude’ and perhaps that’s why we’ve been so hard on this crop of athletes.

To put things in perspective, the Aussies won five gold medals in Sydney (2000), seven in Athens (2004) and six in Beijing (2008).

15

The

boomtowns of Western Australia

Just a stone’s throw from Perth, WA’s southwest is home to lush, largely unknown beaches, wilderness and famous wineries.

By Robert Burton-Bradley

16

The boomtowns of Western Australia

I

’m 30 metres up a giant karri tree clinging to a few metal spokes for dear life and paralysed by vertigo. All the while my tour guide is yells up at me to keep climbing. Not exactly what I’d had in mind when told we’d be “seeing” some of the world’s tallest trees. My guide laughs as I begin a shaky descent, telling me this is only one of three such trees used in times past to look out for bushfires and that this is probably one of the “easier” ones. The tree I was foolish enough to climb is known as the Bicentennial Tree and measures a dizzying 75 metres high.

This is not the landscape one expects on their first visit to Western Australia; forests of towering giants as far as the eye can see, shot through with lush, well-watered farmlands and picturesque towns, surprising in a state famous for vast swathes of scrub and desert.

You can climb all of these massive lookout trees that are now just tourist attractions, rather than fire sentries, in Warren National Park just near the town of Pemberton.

Although, as I remark several times after my ordeal, I’m amazed such a rustic and makeshift edifice is kept open to the public in this age of public liability paranoia.

So if you are like me and require something a little less nerve-racking, you can try the tree top canopy walk in the Valley of the Giants where another type of colossal tree called the Tingle grows.

Situated in just one remote pocket of forest in the Walpole Nornalup National Park, an hour’s drive west from Albany, this is the more comfortable way to get to the canopy. The tree top walk involves a series of interconnected swaying suspension bridges that lightly ascend to 40 metres in the air, where you can literally reach out and touch the trees and see birds and animals move right before your eyes. There’s also a walk through the base of several giant trees hollowed out by fire and now resemble giant clawed feet.

through the surrounding wilderness and farmland. With a population of just over 30,000, it provides a variety of accommodation and dining options from the very chic down to affordable and cosy. When you look at some of the more upmarket options, think mains reaching up to A$40 for items as exotic as sous vide duck and beef oyster roulade, it’s easy to see that even in this part of the state the mining boom is having an impact.

Just a little over four-and-a-half hours’ drive west from Albany is Esperance, an excellent base from which to explore the more remote western areas, which include six different national parks. The town itself has a charming waterfront esplanade where a lush strip of green grass meets the sparkling ocean. It’s a pleasant place to sit taking in the sun for an hour or so grazing on a classic Aussie burger as locals stroll past in very little hurry. The reason for Esperance’s existence, a major mineral and agricultural port, looms omnipresent in the background. While the town has a pleasant local flavour to it, it’s the surrounding countryside that you are really here for. The rugged coast is dotted with national parks, and surf beaches where you can wander for hours, get in and under the water, or just laze on the beach.

Top picks include Hellfire Bay in Cape Le Grand National Park and West Beach just outside Esperance, a favourite haunt for surfers. The best way to take it all in is to hire a car or camper and take the Great Ocean Drive from just outside Esperance along the coast to the west.

To the west on the other side of Albany is the upmarket, boutique-filled and European-sounding town of Denmark. It’s a great place to sip coffee, peruse local bookstores and scratch your head over house prices advertised in realtor windows. While there’s little that’s Danish about the town, there is a striking similarity to towns in New South Wales’ Southern Highlands or the Dandenongs in Victoria.

Going upmarket in Albany After I’ve had my fill of death-defying heights I take in the port town of Albany, a delightful, if slightly sleepy seaside centre.

The town centre is about four-and-a-half hours’ drive from Perth and a great place to stop, rest and take stock after travelling 17

the bOOmtOwns Of western AustrAliA

the joys of Esperance Earlier in the trip on a cool, crisp morning as the sun rises over Cape Le Grand, near Esperance, I am greeted by one of the most amazing experiences. A pair of female western grey kangaroos usher their joeys right down to the receding tide’s edge to fossick for washed up seaweed just metres from me. The gentleeyed mothers are completely oblivious to the handful of people from Perth and overseas on the beach staring at the remarkable sight. I’m lucky enough to get close up and hand-feed one of these amazing creatures. But be warned, although they seem placid don’t try and touch the joeys, as I’m told by one mother’s deep guttural growl that has me jumping back a few paces.

For a lot of people, a beach is a beach and one strip of coastline is as good as any and I certainly fit into this category, but even my jaded beachcombing eyes drown in the visual impact of

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the coast along southern Western Australia. Running in a swerve of blue, grey and green from just before Esperance, all the way past Albany to the D’Entrecasteaux National Park, is some of the most untouched and deserted coastline in Australia. Forget the dark, deep blue of the Pacific, this corner where the Southern and Indian oceans meet is pure turquoise and resembles the white sand beach paradises of Southeast Asia.

But if you don’t want to just sit and wallow on the shore, there’s plenty to do, including swimming with dolphins, whale watching and some big surf beaches.

Inland to the north of Albany you’ll find the land rises up to meet the Stirling Ranges where it’s not uncommon to see a dusting of snow during winter, another contrast to Western Australia’s reputation as a hot, dry and arid land. Stirling National Park and the nearby Porongurup National Park are both great for bushwalking but it’s even better if you are a rock-climber.

“Even my jaded beachcombing eyes drown in the visual impact of the coast along southern Western Australia. running in a swerve of blue, grey and green from just before Esperance, all the way past Albany to the d’Entrecasteaux national Park, is some of the most untouched and deserted coastline in Australia”

The bright lights of Perth I’m sitting at a bar with a guy who can’t be more than 25 and is laughing as he tells me how much he makes working in a mine in the northwest of the state. He orders bottles of imported, over-priced beer, which he downs in almost one gulp, before moving on to a bottle of wine I’d buy when making a marriage proposal. Not to share with a random guy I just met in a bar. Yeah, times are tough, bud. I think I’ve just met the nouveau riche of Australia’s newest boomtown.

It reminds me of Sydney a decade ago when the city was still smug and booming after the 2000 Olympics and everyone seemed to be having a good time. I’ve only been in the city a few hours but I am fast realising this is where things are moving economically in this country. I feel somewhat happier when he tells me he has to leave to get to bed at 9pm – he has to get up at 4.30am to return to work. I imagine him travelling back to some remote, hot dust bowl where he digs ore out of the ground for some multinational mining conglomerate. There’s a reason we’re not all flocking to get a cut of this boom.

Later, I wander through downtown Perth by night and I’m impressed by the diversity of the nightlife on offer; bars, clubs, pubs, restaurants – all packed and inviting. Despite the newness of everything, it’s surprisingly seductive and sophisticated for a city of just over 1.6 million people. This is my first trip to Perth and I’m beguiled by the speed and

obvious wealth of the place, but mainly by how everyone seems to be having fun.

By day, the city is even more inviting. The wide streets are clean, although a little empty and underused compared to the crowds and traffic you get in Melbourne’s or Sydney’s CBD. Locals proudly tell you it’s the most isolated city in the world – this makes it seem exotic and lonely at the same time and perhaps a little insecure?

For all its beauty, the city is not a huge place and to make any trip worthwhile you need to get out and about beyond the CBD. My first picks would be a day trip to Rottnest Island where you can walk, enjoy the beach, ride bikes and watch the friendly little quokka marsupials play around tourists, hoping for an easy meal. My second pick would be to head out to Cottesloe Beach before dinner in the very trendy suburb of Subiaco, where you’ll find some fabulous places to eat and drink.

The City is defined and made by the meandering, sparkling blue water of the Swan River. Like Sydney, this is a city made for the waterfront and a stroll along the banks of this waterway on Riverside Drive and through Langley Park does not disappoint, the city’s growing collection of office towers a testament to its new found wealth. It’s a beautiful and dramatic location to end a first trip to this gleaming and isolated jewel on the Indian Ocean.

Robert Burton-Bradley travelled with Nullarbor Traveller, which offers a diverse range of touring experiences through the southwest of Western Australia, the Nullarbor and the Eyre Peninsula. For more information about the The Secrets Of Esperance camping tour, check out thetraveller.net.au.

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Qopens H impressive DC new showroom

Leading shopping and supermarket trolley manufacturer QHDC has diversified some of its focus and is set for expansion says business development manager Bruce Atkins.

By Ian Armitage

20

Qhdc

C

Trading as Industrial Wheels and Castors (IWC), a division of QHDC, the new venture incorporates a large showroom with a huge range of industrial and institutional castors and wheels.

QHDC will continue in protective coatings, shopping trolleys and importing/ distributing wheels and castors throughout Australia and New Zealand, Atkins says.

“We believe we have the biggest range of wheels and castors in South East Queensland. We have sourced many well known brands from around the world to ensure that we have as many applications as possible covered from our large stock holdings.”

Included in the range are specialised scaffolding castors and premium heavyduty wheels and castors with capacities up to 7.5 tons.

There is also an extensive range of castors and wheels for high temperature applications up to 300°C and specially designed polyurethane tyred

“We’re a Gold Coast family-owned business with over 25 years experience in protective coatings and shopping trolleys”

models with highly resilient tyres that are made specifically for road and flight cases.

“It’s a good time to be branching out,” says Atkins.

Looking ahead QHDC sees many opportunities to increase its business.

“We’re a bit of a mixed bag really. Our business is divided roughly into three different activities. We do shopping trolleys and some back of house trolleys, mainly for the retail sector. We do shopping baskets as well. That business has been very patchy due to strong competition in retail - what’s been going on between the major chains has created a pretty tough environment. We had acquired a significant share of that market, and we still do have a reasonable share of it, but when the major retailers are competing so fiercely with each other they’re not spending so much money on shopping trolleys so that makes our life a little bit hard.

“Secondly, we provide a protective coating service for valves and fittings. Mainly this is for water reticulation but sometimes for other products too. A lot of councils and local authorities use our protective coatings on valves and fittings – the bright blue parts that can be seen along the sides of streets.

We apply a nylon coating to those components that provides long-life protection. That business has been going very well so we’ve been very busy and there’s a lot happening in that area. Supporting that, we have burn-off ovens and we have grit and shot blasting facilities to prepare the valves and fittings and other parts. Then we apply the coating, which has been going very well. We also do other things such as grit blasting

Focus Manufacturing

ompanies diversify for a host of different reasons.

Sometimes it’s about survival; sometimes it’s about achieving growth. By extending your range of goods or services you can either sell more products to your existing customers or reach out to new markets.

This can supercharge your growth prospects. The latter is certainly true for the guys at QHDC, a leading shopping and supermarket trolley manufacturer with an experience of 25 years in the field.

The company has diversified some of its focus into wheels, castors, stock trolleys, hand trucks and other materials, handling lines with the opening of a new showroom and retail/ trade outlet at Burleigh on the Qld Gold Coast.

“We’re a Gold Coast familyowned business with over 25 years experience in protective coatings and shopping trolleys and yes, over the past year, we have been working on spreading our wings,” says QHDC business development manager Bruce Atkins. “The diversification came about because the business had to rely too much on a small number of large customers so we moved into the wheel, castor and accessory line business, not forgetting the material handling equipment business as well. Our plan is to extend that business to other types of trolleys, powered materials handling and bin tippers and those sorts of things.

That’s on the drawing board for the future. We’re looking to diversify more into that sector of the market, which will gives us exposure to a much bigger customer base.”

21

parts that have been previously powder coated and we provide that service for other customers as well.

“Thirdly, we’ve moved into the wheels and castors, including the Muvtons range.

We see a lot of potential for that business.”

He says the Muvtons deal was a real coup.

“It’s a bit of a funny story actually. I previously worked for a company that had an agency from India, Muvtons premium heavy-duty wheels and castors.

That company relinquished the agency and joined up with another supplier from USA. Muvtons was there for the taking so I grabbed it. I had a good relationship with their management team in India as I had worked with them previously so I contacted the managing director and said that we’d like to become their distributors in Australia.

That was three years ago. We had plans to start up this diversification at QHDC and we became more serious about it 12 months ago and it has pretty much taken us all that time to get the wider range of products set up, have the catalogues produced and all

that sort of thing. We also had to get the stock in from overseas, hire additional staff and set up the distribution network. We’ve hired three experienced people who know the industry well with the intention of adding more as the business grows.”

It has a bright future.

“It’s a lot of hard work getting them to fly off the shelves! Our sales staff have a lot of combined experience in the wheel and caster industry, in excess of 80 years,” says Atkins. “Three of us have had more than 20 years each. So we’ve got a team of people who’ve been in the game and know the customers around Australia that use the product. Wheels and castors are put on the bottom of things and are often forgotten about. In the heavy duty range; you’re dealing with loads up to say 20 tons or more spread over

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“qHdC will continue in protective coatings, shopping trolleys and importing/distributing wheels and castors throughout Australia and new Zealand”

22

QHDC

four casters, so you don’t want them failing and the load falling on the ground.”

He is keen on getting QHDC’s name out there – the applications for wheels and castors are limitless.

“Just this week we have had some of our guys spend time at the QME Mining and Engineering Exhibition. We’re very serious about becoming a major player in this industry. The major competition is basically two companies who have manufactured in Oz for a few years but have moved more towards importing; and a third company that imports all of it’s range. We’ve decided we’re going take the competition on and we think that because of our experience and how we operate, we’ll do very well. Also it will be down to the product and the brands we have chosen. We’ve been very careful to select globally recognised brands like Muvtons, Haion and Di Candia whose products are ideally suited to our conditions and whose quality can match it with the best.”

“We believe we have the biggest range of wheels and castors in South East Queensland“

To learn more visit www.qhdc.com.au.

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Fighting for an

Australian Manufacturing Future

By Brian Lee B.E. (Hons), MAICD - National Treasure.

24

T

he Age Newspaper recently reported that 33,000 full time manufacturing jobs have been lost in Victoria alone since April 2011.

That is one in 60 manufacturing jobs in the heartland of domestic manufacturing.

The companies that have already shed jobs, or have precursory reviews underway include: Alcoa, Toyota, Caltex Unicharm – to name a few. One common thread is they are all multinationals.

Over the past 40 years a great number of iconic Australian manufacturing companies have disappeared; companies created by entrepreneurs with innovative ideas about producing products that the public needed and wanted. The factories were manned by a predominately migrant workforce that saw hard work as a virtue in a land of opportunity. Those manufacturing companies prospered, grew, and in many cases changed from small private companies to large, share market listed companies. So many of those companies have now disappeared. Why? They disappeared because the world changed and they did not change with it:  Factory workforces developed an expectation that it was their right to “take” rather than “give”;

fighting fOr An AustrAliAn mAnufActuring future

 Multinational companies acquired Australian companies to get access to Australian markets – then closed down the Australian manufacturing operations;  Factory investments moved to markets outside Australia as off-shoring became fashionable;  The global manufacturing industry became much more competitive and only ‘the best” now survive;  Geographic isolation diminished in importance as a defensive barrier in Australia.

manufacturing operations. Some Australian-owned factories will say (rightfully) they are trying hard to understand and apply Lean principles, others are dangerously unaware.

The message in this article is to the readers of Australasian Business Outlook magazine.

The message is to the managers within manufacturing businesses- the people with the ability to drive the business in a new direction. It is imperative that a new breed of Australian SME’s embrace Lean Thinking in manufacturing operations. Senior managers of SME’s must continually expose themselves, and their employees, to examples of Lean Thinking. That could be a costly commitment if the option is to travel overseas to witness Lean Thinking in action. However, there is another option.

The AME in Australia is a not-for-profit organisation that exists to promote best practice operations in Australia by bringing together like-minded people to share knowledge and best practice. Three times each year, the AME stages national Road Shows. In those Road Shows, the AME brings to Australian audiences in each capital city, internationally recognised experts in the application of Lean Thinking at a fraction of the cost of travelling overseas.

So the challenge is there for SME’s who are serious about still being in the ring when the final bell sounds. Immerse yourself in the world of Lean Thinking. Expose yourself and your employees, to the thinking of the gurus on the subject. Participate with other like minded people in the activities of AME.

Foreword

The world won’t revert to “what was”. So manufacturers in Australia need to adapt to the circumstances that exist today and in the future.

Small-to-Medium enterprises (SME’s) are Australia’s manufacturing future.

Large scale manufacturing will be dominated by multinationals. Australia is no longer an attractive location for multinational manufacturing operations for a multitude of reasons, including: the high Australian dollar; a progressively higher taxing government (e.g. the carbon and resources taxes); regressing IR laws and unions pushing for disproportionately higher wages than overseas counterparts. Australian Governments have tried again and again to entice multinationals to enter or stay in Australia, by granting them sizable amounts of taxpayer’s money, but those band-aid measures are merely delaying the inevitable, failing to address the underlying issues that lead to an unpalatable operational environment.

Australia still has entrepreneurs with

innovative product ideas.

Those entrepreneurs will continue to “chance their arm” at establishing viable manufacturing businesses. Such people need to understand prerequisites for success are different today to what they had been. Having innovative product ideas is one thing, but cost effective delivery to market is a necessary ingredient for largescale success.

In the fiercely competitive global manufacturing world, lessons must be learnt from the world’s best manufacturers.

They haven’t become “the best” by chance.

One fundamental point to learn is the need to have absolutely certain conviction that the manufacturing enterprise will be enduring over time.

Believing that there will be longevity in business life leads to a recognition of the essential need to grow and develop assets within the business – and one of the assets is the workforce.

Managing a manufacturing business to maximise short term profits by being stingy on educating and developing people, is a formula for ensuring that the business will only ever have short term profits.

Educating and developing people is about ensuring they understand and have the ability to apply the concepts, processes and ideas employed in “best practice” factories. Currently there are no Australian factories that can legitimately claim to be world’s best practice. The best domestic exponents of best practice principles – commonly regarded as “Lean Thinking”, were multi-nationals such as Autolive and Robert Bosch, but these companies have recently moved to off-shore their

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Moving

forward Queensland

An integral part of the economy and transport of the State, Queensland Rail is refocusing on frontline services and has embarked on a station upgrade and renovation projects aiming to “deliver enhanced levels of safety, security and comfort�.

By Marie Toms

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Queensland Rail

Q

Focus Travel

ueensland Rail, also known as OR and formerly OR Limited before the government selloff of coal and freight, is an integral part of the

Queensland landscape. For 145 years it has kept the State, its people and economy connected. In its own words, “Our State relies on us to do a job… and do it well.”

In 2009, the State Premier Anna Bligh announced the separation of Queensland Rail’s passenger services from the coal and freight businesses (which became OR National).

Queensland Rail remained in Queensland Government ownership.

It has more than 7,000 staff, $A6 billion in assets and more than 7,000 kilometres of track.

It is “a strong and powerful integrated passenger and rail infrastructure business”.

“Altogether we run more than 260,000 scheduled services and earn annual revenue of more than $A1.8 billion,” its website says. “We service the big population centres of the South East, connect the regions of the state , and take domestic and international tourists to some of Queensland’s world famous locations.

“Our major business includes long distance trains, rail holidays and travel centres and management and access to the South East Queensland and regional freight networks.”

As locals will have noticed, QR has been expanding and improving its rail network seeking to meet the increasing demand.

All the recent investments are part of the Queensland Infrastructure Plan designed to tap into the State’s growth potential.

OR is undertaking extensive works to deliver new lines, stations and introduce new trains to the network.

It has a large program of works dedicated to “improving customer experience”.

Its station upgrade and renovation projects are aiming to “deliver enhanced levels of safety, security and comfort” for the 65 million passengers it carries each year.

“At Queensland Rail we strive to set new standards of excellence in safety and customer service; to keep Queensland moving and to deliver our future,” it says.

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QueenslAnd rAil

Brisbane upgrade One of several projects is happening at Queensland Rail’s historic South Brisbane station.

Earlier this month it reached a new milestone in its restoration and renovation journey with the Grey Street plaza reopening to the public.

Chief Project Delivery Officer Kevin Wright said the upgraded plaza gives the station an attractive, pedestrian-friendly frontage on Grey Street.

“It’s been designed to complement not only the appearance of our 120 year old heritage-listed station building but also the surrounding area,” said Mr Wright.

“We’ve planted mature trees and installed signage that incorporates Braille, new lighting to improve safety and highlight the historical building, and the station’s iconic exterior clock that sits over the main entrance is being repaired.

“Finishes such as seating and paving have been selected in consultation with South Bank Corporation to ensure visual harmony in the precinct.”

The plaza is now a dedicated pedestrian zone which means vehicles will no longer have access to the area.

“To ensure a safe, pedestrianfriendly meeting place, we’ve removed the drive-through access,” said Mr Wright.

The plaza reopening is a major milestone in the project with the remaining works expected to wrap up by December.

“The South Brisbane station upgrade has provided some unique challenges, not only because it’s one of our major stations but also due to its iconic status and listing on the state heritage register.”

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QueenslAnd rAil

CSM Transport Equipment CSM was appointed to manufacture and fit the recent Aluminium Canopy Bodies (“FleetPro” range) to the QLD Rail vehicles.

The design team of CSM worked closely with QR to ensure that their requirements were met. The large door openings, flush sills and the unique aluminium floor sections were critical deciding factors in the selection of the “FleetPro Canopy”.

CSM Transport Equipment are specialists in the design and supply of fleet vehicle solutions.

“We’ve planted mature trees and installed signage that incorporates Braille, new lighting to improve safety and highlight the historical building, and the station’s iconic exterior clock that sits over the main entrance is being repaired”

Cleaning up its act Last month the government ordered Queensland Rail to refocus its business on frontline services after significant increases in corporate personnel numbers over the past two years.

According to media reports, the government-owned corporation had 12 senior executives paid above the CEO level.

There were also more than 60 general managers in Queensland Rail.

Queensland Rail bonuses will also only be paid where they are required under contracts set up by Labor the transport minister said.

He said the current payments are not in line with community expectations.

Mr Emerson said with 1337 payments totalling $A4.8 million in 2010/11, the bonuses were out of control.

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“the south Brisbane station upgrade has provided some unique challenges, not only because it’s one of our major stations but also due to its iconic status and listing on the state heritage register”

This was despite promises to link pay to service delivery.

“I accept that there are some circumstances where bonuses are required as part of an employment package,” he said.

“But $A4.8 million is not an acceptable level, particularly when there is declining patronage and reliability reached a three-year low.”

Bonuses will be paid where they are required under contracts set up by Labor.

The Liberal National Party (LNP) government has embarked on a massive costsaving drive, slashing around 5000 government jobs so far. to learn more about Qr and its upgrade and improvements program visit www.queenslandrail.com.au.

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