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Greater Dandenong’s business news   June - September 2011




Preparing your
buSineSS
The Price of Carbon - Page 2
Disaster Management - Page 6
Local wins London bid - Page 11
2. Stakeholder June 2011 - September 2011




City of opportunity

                                                      Focus
Contacts:                                                                                                                             Ron Ghiggino
Ron Ghiggino
Manager Economic Development
Sandra George
Manager South East Business Networks                  What a spectacularly busy few
Enquiries to 9238 1550 Fax 9239 5196                  months we have had. The Melbourne
www.greaterdandenong.com                              Food and Wine Festival; the Greater
Paul Dowling                                          Dandenong Chamber of Commerce’s
South East Melbourne Manufacturers                    Platinum Regional Business Awards,
Alliance (SEMMA) Ph: 9238 1565                        the annual Greater Dandenong Race
www.semma.com.au                                      Day, and commencement of the 2011
                                                      awards program; Manufacturing
Deanne Johnson                                        Week; and the Manufacturing Hall of
Greater Dandenong Chamber
                                                      Fame and the inaugural Melbourne’s
of Commerce Ph: 9794 8881
www.greaterdandenongchamber.org                       South East Business Awards - to                 topical “barbecue stopper” of carbon
                                                      mention just a few activities.                  pricing but also some very positive
Paula Brennan                                                                                         outcomes of responding or working
Stakeholder Editorial                                 The success of the Chamber’s Platinum
                                                                                                      with the environment – about turning
Ph: 9238 1573                                         Regional Business Awards Gala
pbrenn@cgd.vic.gov.au                                                                                 challenges into opportunities ranging
                                                      Evening, with over 700 attendees, has
                                                      set a new benchmark for celebrating             from sustainable building design,
Address:                                              awards for the region. Congratulations          manufactured products, electric vehicles
                                                      to all the winners and runners-up in the        or to responding to major weather events.
Business Development Centre
4th Floor, 329 Thomas Street                          very competitive field.                         Business continuity is something that is
Dandenong, Victoria 3175                                                                              always with us whether it is succession
                                                      The phenomenal success of the ‘Take
                                                      a Swing for Charity Golf Day’ has               planning or responding to a significant
Views expressed by individual contributors in this
publication do not necessarily reflect the views of   made a significant contribution to our          event (or catastrophe) and we hope some
the City of Greater Dandenong.                        community so put 20 February in your            of the articles in this edition are food for
Material from Stakeholder, Greater Dandenong‘s        diary to participate in the 2012 event.         thought for you and your business.
business news may be reproduced for non-
commercial purposes provided the source is            There are still more events to come, so         As always enjoy the read and make
acknowledged, e.g. ‘This material first appeared      join us to celebrate the winter solstice        sure to check the calendar of events.
in the City of Greater Dandenong’s Stakeholder        at the Shortest Lunch on 22 June.
publication, June - September 2011’.                                                                  Ron Ghiggino
                                                      This edition looks not only at the very         Manager Economic Development



WorD froM tHE EXpErt
             Carbon Pricing and Small
             to Medium-Sized businesses:
             Don’t Wait to See What Happens
                                                      Article by turlough Guerin,


                                                      I n recent months the media has been
                                                        whipping up a storm over how a carbon
                                                      tax will send us all into poverty. The view
                                                                                                      The bottom line is that a carbon price
                                                                                                      will be another risk for businesses to
                                                                                                      manage. BUT in some instances, a price
                                                      has been that a carbon tax is yet another       on carbon will provide an opportunity,
                                                      lever for the government to pull to grab        both in forcing businesses to review and
                                                      more revenue and everyone and every             update their operations to become more
                                                      business is going to suffer from a price        efficient, and in providing new industries
                                                      being put on carbon.                            and products to service a new carbon
                                                      Here are some realities:                        regime. How can your business take
                                                      •	Australia has commitments under               advantage of these opportunities?
                                                        the UN to reduce national greenhouse          In this article, I propose that SME leaders
                                                        gas emissions;                                (if they haven’t already) ought to consider
                                                      •	 Australia won’t be leading the world if it   getting a view of how carbon flows
                                                         introduces a carbon tax. Many countries      through their business. This will enable
                                                         have already implemented a tax or            an understanding of how a carbon price
Turlough Guerin, Chairman Access Melbourne,              scheme for putting a price on carbon;        is likely to impact your balance sheet.
Board Advisor Climate Alliance and Former                                                             A carbon price has never been costed in
Environmental Manager at Telstra, Shell and Rio
                                                      •	A critical issue for businesses will be
Tinto. www.au.linkedin.com/in/turloughguerin            keeping a competitive advantage in a          our economy before and the environment,
                                                        new tax regime.                               specifically the atmosphere, has carried the
                                                                                                                                     continued page 3
Greater Dandenong’s business news June 2011 - September 2011 3.




inDuStry StoriES
weight of years and years of greenhouse
gas emissions from our industrial activity.        Case study: A recent carbon footprint assessment for part of a large business
There is no point trying to delay or dodge         yielded some interesting results for the business and its customers1. It showed that
the inevitable. I agree small businesses           the environmental impact of its services was predominantly a result of servers
should voice their view on the potential           and switching devices (routers) which the customer had to purchase to enable the
downside of cheap imports that do not              services to work. When this information was shared with the customer, they were
necessarily properly cost a price of               able to change their own processes to ensure the most energy-efficient routers
carbon, but they should also be preparing          were now used. It also provided a missing piece of information for the customers
themselves for the impact of a carbon price.       undertaking their own carbon emissions inventory.
Energy and fuel prices are likely to be the
main sources of additional costs for your        This is not rocket science but it does             carbon reduction. Funding for business
business. Based on your current annual           require some rigour, attention - detail            process redesign should be offset
energy and fuel bills you can estimate the       and analysis:                                      against the impacts of a carbon price
forecasted increases. By knowing where                                                              on your business if you were to make
the carbon flows are in your business,           1. Prepare a list of the sources of
                                                                                                    no changes in the carbon passed
you can prioritise efforts on where to              greenhouse gas emissions in your
                                                                                                    through your business.
reduce or substitute this flow. For other           business. Look for anything that uses
SMEs that produce large volumes of                  energy, fuel or contributes to landfill.    With knowledge of your carbon
waste for landfill, the costs of disposal           Don’t limit yourself to the boundaries of   footprint you can determine the likely
will increase because of the greenhouse             your own facilities – consider what you     risks you’ll need to manage and plan
impact of methane – a by-product of                 are purchasing in raw materials i.e.        for. The bonus of being proactive is
landfill waste decomposition.                       over and above energy and fuel.             that it will also expose opportunities
                                                                                                for your business to be a low-carbon
But the specifics of estimating a                2. Rank the sources of carbon according        provider in your sector. This may give
financial impact for your business will             to the total tonnage of CO2e (i.e.          your business a competitive edge if
vary according to your own systems,                 equivalent).                                you act on this knowledge.
processes and products. There is no
                                                 3. Identify ways to eliminate or reduce
way to put all the options in this article                                                       See “Measuring our own carbon
                                                    CO2e from the main sources.                 1
for reducing your carbon footprint. In                                                          footprint onto our largest customer”
essence, what will give you a factual            4. Redesign those “carbon-intensive”   2
                                                                                                http://slidesha.re/hFNCAz
basis for evaluating the carbon risks in            parts of the business so that a
your business is to identify and collate            competitive edge is established. This       2
                                                                                                 That is, where the tonnes of CO2e (t CO2e)
these carbon emission sources. This is a            is where it counts. It is highly likely     per unit of production or revenue is high
basic carbon emissions inventory.                   there will be a cost to deliver this        compared to other parts of the business.




Positioning Your business for the Future
W     ith a carbon-constrained world
      inevitable it is up to businesses to
set their own sustainability path, and
                                                 Measures implemented on site included
                                                 •	assessing power use of lights, water
                                                                                                now actively pursuing a similar strategy
                                                                                                for timber waste from inbound shipping.
                                                   boilers and air conditioners;                Another initiative introduced the use of
explore the opportunities that sustainable                                                      more environmentally friendly water-
practices can bring. One business taking         •	installing low-watt lights in office areas
                                                                                                based cutting lubricants, instead of
advantage of these opportunities is Noble        •	putting timers on air conditioners           difficult-dispose-of-oil-based products.
Park company Festo Pty Ltd.
                                                 •	 investing in programmable water boilers     As a company, Festo recognises that its
Festo is one of the world’s largest industrial      which operate only during business hours.   long-term economic success in a world
automation companies, supplying
                                                 Air quality improvements were also             of finite resources and limited carrying
innovations in pneumatic, process and
                                                 made by fitting larger filters on              capacity of ecosystems necessitates
electric drive technology delivering
                                                 compressed air equipment which                 responsible interaction with the
productivity gains for clients.
                                                 improved efficiency and reduced                environment.
Festo have taken advantage of the Local
                                                 energy use.                                    Festo has reinforced its commitment to
Industry Efficiency Program (LIEP), which
                                                 A review of waste materials has also           minimising the environmental impact of
provided an independent review of the
                                                 led to changes at Festo. Compacted             its business and products by joining the
company’s Noble Park site to determine
                                                 cardboard is now sold to a third party         Support 155 Business Program.
the sustainability improvement potential
with water, power and waste savings              recycler and is no longer a cost. Festo is     www.festo.com.au
throughout its production facility.
“Going through the program has re-
educated our business in relation to
energy savings and waste management
on a day-day basis. Incorporating our
company’s strong environmental focus
into our work environment has been easy
to do, and has provided us with ongoing
cost savings,” said Gavin Cocks, Festo
Operations Manager.
4. Stakeholder June 2011 - September 2011




inDuStry StoriES

Jaeger Formulation
is the Farmer’s Friend
A   gricultural crops-such as grapes,
    potatoes and other vegetables,
fruits, cereals and even nuts-are facing
                                               pose any risk to human health. It is
                                               biodegradable and only has a one-day
                                               withholding period, so crops can be
an increasing prevalence of fungi and          sprayed one day and harvested the next.
microbial plant pathogens.                     Most other fungicides have a seven-day
One innovative Noble Park business has         withholding period,” he said.
invented a multi-purpose solution to fight     “Farmers know if it’s working within half                                              Before.
these diseases on greenhouse productions,      an hour as affected leaves start to change
in-field throughout the plant’s development    colour. It’s that immediate. And the beauty of
and also in post-harvest storages.             Peratec is that it not only kills the infection, it
Jaegar Australia, one of Australia’s           also kills the spore or eggs of the infection.”
foremost ‘creative formulators’ of             The savings in using one application
industrial and commercial cleaning             rather than three aren’t just restricted
and sanitation agents, has developed           to the cost of purchasing products. The
a product Peratec Fungicide that               labour and fuel costs involved in having
is gaining widespread recognition              to do three applications at different times
nationally and overseas.                       can be considerable.
Mario Azzopardi, Jaegar’s Managing             Established in 1989, Jaegar remains a
Director, said there several unique features   small operation with less than 10 staff.
of Peratec, which is environmentally           However, with the success of Peratec
friendly and can kill botrytis and other       and other products, including a non-toxic
infections such as powdery and downy           biodegradable graffiti remover, Jaegar’s
mildew in the one application.                 turnover has doubled this year, which
“Peratec utilises per-oxygen chemistry         points to a healthy growth path.
                                                                                                                                      After.
that does not leave toxic residues or          www.jaegaraustralia.com.au




Victoria Leads in Cleantech industry
T   he cleantech industry is growing
    exponentially across the world. In
Australia, Victoria is leading the nation
                                               activities such as site visits. Austrade
                                               auspiced the Indian trade mission and
                                               ensured that participants were matched
                                                                                                     The trade mission to India was the first
                                                                                                     of a number planned by the Victorian
                                                                                                     Government. Eligible companies were
in terms of the number of companies            with suitable Indian organisations.                   also provided a $3000 rebate to assist
involved, the people employed, and                                                                   with airfares and accommodation costs.
industry turnover.                             Three capability presentations were also
                                               organised so each participant could                   The multi-sector trade missions are part
To ensure it stays this way, the Victorian     present to a hand-picked audience of                  of the Victorian Government’s focus
Government and its Department of               about 40 Indian companies.                            on India, which aims to achieve $60
Business and Innovation (DBI) recently
                                                                                                     million of additional exports in the next
organised trade missions to the USA
and India.                                                                                           two years in addition to the existing $2
                                                                                                     billion of Victorian exports to India.
The first mission to the USA was in pursuit                                                          The Trade Mission’s visit in April set the
of approved water projects with the                                                                  tone for larger trade missions, targeted
United Nations and the World Bank. The                                                               missions and industry promotion over
14-delegate mission returned in February
                                                                                                     the next two years.
with significant new business for the
Australian businesses who attended.                                                                  A 2008 ICN report estimated that
The second mission to India in                                                                       19,000 people were employed by more
April highlighted Victoria’s general                                                                 than 300 companies in the cleantech
cleantech industry capabilities with                                                                 industry, which produced revenues of
the aim to maximise export and                                                                       $3.5 billion. This number is expected to
partnership opportunities.                                                                           double by 2020.
Every participant in the Indian trade                                                                To register interest in future cleantech
mission had a tailored program of                                                                    trade missions, contact Peter Hansford at
one-on-one meetings in addition to joint                                                             Peter.Hansford@dbi.vic.gov.au.
Greater Dandenong’s business news June 2011 - September 2011 5.




inDuStry StoriES
Leading the way in industrial Design
S   ustainability has become an essential
    ingredient for any new development.
                                              Australand has been involved in the
                                              development of the Green Star Industrial
                                              tool, working with the Green Building
                                                                                            Beaumont Tiles site
                                                                                            in Abbotts Road
The Beaumont Tiles building in Abbotts
Road Dandenong South, constructed in          Council of Australia (GBCA), the City of
late 2009 by the Pellicano Group, was         Greater Dandenong and the end owner,
a leading example of incorporating            Australand Property Trust.
sustainability into the planning, design      Chris Mackenzie, Australand’s
and construction thus reducing the            commercial and industrial General
environmental impact of the building.         Manager of Development and a member
More recently Australand announced            of the GBCA committee that developed
that one of its latest projects, a            the tool, said Australand was confident
27,200-square-metre office and                about the demand for green industrial
warehouse to be built on The Key estate       buildings. ‘’Tenants and investors are
in Greens Road Dandenong South, is            increasingly recognising the advantages
expected to be one of Australia’s first       of properties with strong environmental
Green Star-rated industrial buildings.        credentials,’’ he said.
The Australand project will aim for a         Implementing the next step is the
four-star Green Star Design, leading          nearby VicUrban LOGIS North estate
the charge for industrial developments        which will set a new standard for entire
to follow standards previously set in the     industrial precincts by incorporating a
commercial marketplace.                                                                    Greater Dandenong is privileged to be
                                              host of cost-effective and future-friendly
                                                                                           the home of these developments which
The company expects the project to have       sustainable design features – including
                                                                                           are clearly setting the standard for
an end value of about $25 million and to      water-sensitive urban design, energy-
                                                                                           others to follow.
be retained within the investment property    efficient street lighting, recycled water
portfolio of the Australand Property Group.   and smart building design.                   www.gbca.org.au


                                                                            Ikea/Harvey    * Skylights deliver a happy balance
                                                                          Norman on-site
                                                                       rainwater storage
                                                                                             between providing natural light and
                                                                                             heat transfer issues. Approximately five
                                                                                             per cent of the roof is translucent glass
                                                                                             with high-UV values.
                                                                                           * Natural car park ventilation. Because
                                                                                             the building is relatively narrow it
                                                                                             can rely on wind pressure to vent
                                                                                             the car parking levels that have an
                                                                                             open facade. Additional ventilation
                                                                                             is provided via fans that activate
                                                                                             when carbon monoxide sensors are
                                                                                             triggered. This eliminates the use
                                                                                             of exhaust ducts and also reduces
                                                                                             energy consumption.
                                                                                           * Insulation. The building is insulated


Green Building Designs
                                                                                             above the recommended level to ensure
                                                                                             the mechanical system works to its peak.
                                                                                           * Windows. All the glazing is shaded,

Adapt to Changing Climate                                                                    providing natural light but preventing
                                                                                             heat transfer by direct sunlight hitting
                                                                                             the glass.

T   he new Ikea and Harvey Norman
    Homemaker Centre in Springvale
is a great example of a sustainable
                                              every bit of water is used throughout
                                              the complex.
                                                                                           * Air cooling. The Ikea store uses an
                                                                                             innovative ‘chilled beam’, water-
                                              “In total, 4.8 million litres of rainwater     based cooling system where a
development.                                  are stored, which is used to flush             ‘beam’ (radiator) suspended from the
With the building nine metres longer          toilets, top-up the air cooling towers         ceiling allows denser cool air to fall
than the Empire State Building is tall,       and irrigate the landscape. It can also        to the floor, replaced by warmer air
this means plenty of roof space —             be used for general non-potable use            moving up from below. The running
approximately 55,000 square metres            such as cleaning the building and              cost is approximately 16 per cent of a
— to capture rainwater.                       loading docks.”                                standard system.
Steve Evans, Director of Leffler Simes        Other sustainable features to conserve       www.ikea.com
Architects, designer of the building, said    energy and materials include:                www.harveynorman.com.au
6. Stakeholder June 2011 - September 2011




DiSAStEr MAnAGEMEnt




                                                                                      Planning
                                                                                      for all
                                                                                      Contingencies
                                                                                      B   usiness continuity management can
                                                                                          be divided into two segments: the
                                                                                      known risk factors that will affect your
                                                                                      business and the more frequent unknown
                                                                                      factors, which can strike at any time.
                                                                                      Perhaps the most well-planned for


Responding to
                                                                                      ‘known’ factor was the Y2K ‘bug’,
                                                                                      with businesses investing resources
                                                                                      to ensure minimal disruption. The
                                                                                      increasing costs of oil and electricity


Major emergencies
                                                                                      also fall into this category.
                                                                                      Fires, floods and earthquakes are
                                                                                      disasters that are beyond our control
                                                                                      and highlight our vulnerability. Add to
                                                                                      this energy disruptions, such as the
D   id you know that each Council has a
    Municipal Emergency Management
Plan (MEMP) - an over-arching document
                                          Council’s Manager Infrastructure
                                          Services. Test exercises are conducted
                                                                                      Longford gas explosion in 1998 when
                                                                                      there was no gas supply for nearly
                                          annually to ensure council’s systems        three weeks.
facilitating council’s total emergency    and procedures detailed in the plan are
management planning response and          up to date. Test exercises also ensure      That’s why it’s important to be prepared.
recovery initiatives?                                                                 You need to identify preventive and
                                          the Municipal Emergency Control
The MEMP is developed and                                                             alternative measures to manage risks
                                          Centre (MECC) is ready to operate in
implemented in partnership with                                                       through a business continuity plan.
                                          the case of a major emergency.
lead emergency agencies to address                                                    Risks need to be identified, assessed,
emergency issues which may occur          We are relieved that the MEMP and           analysed and tested; then monitored
within the municipality. These events     MECC have not often been called upon,       and reviewed regularly.
could include major fire, flood,          but they were invoked recently when         This, along with good financial plans
earthquake or any other emergency         severe flooding occurred in several parts   and comprehensive insurances, should
event which could have a broad impact     of the municipality.                        be in place to protect your business and
on the local community.                                                               reduce the impact on the business and
                                          During the 4 February flooding event
The aim of the MEMP is to detail          the MECC was activated in order to          your employees’ lives.
arrangements to minimise, respond to      guide council’s response and recovery       Do your processes allow you to continue
and recover from emergencies that could   to the event. The MECC consisted of a       to operate the business if such a disaster
occur in the City of Greater Dandenong.                                               occurred? How soon could your
                                          team, including emergency partners
Activating and coordinating emergency     such as the SES and Victoria Police, that   business re-open and operate effectively
resources is an integral part of the      coordinated emergency responses to          after a major disruption? Would your
council’s day-to-day operations.                                                      back-ups really be effective if everything
                                          minimise the impact of the event.
Accordingly, levels of response can be                                                on site was lost? Are you sufficiently
increased or decreased without the need   This included emergency response            insured for such a business disaster?
for formal declaration of an emergency    staff from various services, including      To help business respond to those
or activation of the MEMP.                Council, working night and day to           questions and develop their own
This MEMP is administered and             manage the emergency activities             plan, the Victorian Government Office
maintained by the municipal               including traffic management, road          of Small Business has produced an
emergency management team and             closures, monitoring of stream levels,      information sheet available online at
chaired by the Municipal Emergency        planning for escalation scenarios and       www.business.vic.gov.au by searching
Response Officer (MERO) Oliver Vido,      evacuation of affected residents.           for ‘Emergency Contingency Planner”.
Greater Dandenong’s business news June 2011 - September 2011 7.




inDuStry StoriES
Prepare for the inevitable
A   power failure is one of the worst
    events to occur for any business.
Whether it’s caused by a lightning strike,
                                             usually more frequent than blackouts.
                                             Businesses can be prepared for
                                                                                          “We sit down with the customer and
                                                                                          ascertain what their load is and how
                                                                                          long they need to support that load for.
                                             such events with an uninterruptible          We then design a system to fit, build
a vehicle crash, power grid overload or
earthworks gone wrong, it can happen.        power supply (UPS), which regulates          the system for them, install it and then
                                             the incoming power to acceptable             maintain it.”
The effects of a sudden power failure        parameters and can supply a limited
can be devastating if no preparation has                                                  With UPS costs starting from about $165,
                                             amount of power when mains power fails.      it is a worthwhile investment in “business
been made for a “graceful shutdown” of
computers, point of sale, manufacturing      Dandenong South business Upsonic             continuity management”.
systems and other important equipment.       Power supplies three levels of UPS that      Upsonic Power supply uninterrupted
                                             suit small, medium or large business.        power services to Council across its
Damage can also occur to sensitive
electronics through spikes, surges,          Paul Riva, Upsonic’s Managing Director,      various sites.
brownouts and noise, which are               said every business has a different need.    www.upsonic.com.au

Images courtesy of Keith Pakenham -
CFA Strategic Communications




Diligent Procedures
Save Retailer from $1M+ Loss
W    hen fire engulfed and destroyed the
     Compleat Angler store in Langhorne
Street Dandenong in November last
                                             stock processed ready to ship just waiting
                                             for the new delivery address.”
                                                                                          “The shock of the fire affected all the
                                                                                          staff, but with teamwork the grief was
                                             Knowing that virtually everything            eased as everyone worked towards the
year, it was thanks to diligent business     was covered by insurance provided            common goal of re-opening.”
procedures that it was able to open          valuable security.
three weeks later and capture important                                                   Glenys’ key tips are:
Christmas and holiday trade.                 “Earlier in the year, with our broker,
                                             I had completed a total review of our        * make sure backups are done regularly
Vowing not to let the fire destroy the       insurance, which involved updating and         and test the backup copy
business, the first step co-owner Glenys     amending the policy to ensure that if        * store backups off-site
Cooper Loft took a search for new            there was a total loss, as happened in our
premises.                                    case, the loss would be reduced.             * review insurance policies regularly
“I was confident that once we had a          “We included items such as loss of profit,   * maintain monthly/seasonal buying
new store, we could get stock and start      business interruption, updated inventory       procedures
trading quickly. We had comfort in           values and considered seasonal stock
knowing that we had off-site backups of      adjustments. This process ensured we         * maintain a supplier contact database
all our data,” Glenys said.                  got back on our feet quicker.                * maintain a customer database for
“After buying a new laptop, reloading MYOB   “A flyer mailed to 19,000 customers            quick mailouts
Retail Manager and data from our backups,    announcing the relocation was
                                                                                          * have a disaster management plan
our team went to work creating purchase      out within three weeks and helped
orders. Our suppliers were great. They had   generate business.                           www.compleatangler.com.au
8. Stakeholder June 2011 - September 2011




StAtiStiCS
City of Greater Dandenong Economic Activity Indicators
Property Sales Activity January to March 2011
A   s anticipated, the March 2011 property sales data shows
    improvement in the property market with small rises in median
prices as well as number of sales compared to the December 2010
                                                                             median price from $320,000 during the December 2010 quarter to
                                                                             $640,000 during the March 2011 quarter but limited sales - 7 and 6
                                                                             sales respectively - mean the increase in median price could be
quarter. The sharp slowdown of activity in the property market               an isolated occurrence or simply related to parcel size rather than
observed during the 2010 4th quarter seems to have had very little           price per M². Industrial and commercial property vacant sales
effect on property prices.                                                   showed very little activity with only one vacant industrial property
With 159 properties sold at a median price of $377,000, the capital          sold during the March 2011 quarter.
improved residential properties sales during the first 2011 quarter          As expected, during the March 2011 quarter market prices
showed a slight improvement when compared to the 148 properties              increased especially in terms of capital improved properties,
sold at a median price of $373,750 during the last three months of 2010.     which is the most considerable property sector in the City of
The median residential site value price decreased from $329,000              Greater Dandenong.
in the previous quarter to $275,000 during the first 2011 quarter,           The suburbs with highest median prices during the March
however the number of sites sold increased significantly from six to         2011 quarter were Keysborough and Springvale South with
41. This median price change seems to be the result of a greater             $410, 000 median price followed by Noble Park North and
number of smaller blocks sold during the three months to March
2011 compared to the last 2010 quarter.
Industrial capital improved property sales slightly decreased from
24 in the December 2010 quarter to 21 in the March 2011 quarter with
the median price falling from last year’s peak of $572,500 during the
December 2010 quarter to $470,000 during the March 2011 quarter.
This median is still higher than the $437,500 median recorded during
the 2010 March, June and September quarters.
Remarkably, commercial capital improved property doubled in




                                                                                                                                  *
     *property values not shown for Dec-10 and Mar-11 due to insufficient number of sales to establish a median. Source: City of Greater Dandenong

Median Residential Prices by Suburb City of Greater Dandenong
                                                             December Quarter 2010                                March Quarter 2011
                                                        No. of Sales              Improved                No. of Sales                Improved
Dandenong                                                    45                    $333,500                     32                    $281,500
Noble Park                                                   36                    $340,750                     46                    $346,000
Dandenong North                                              22                    $380,893                     23                    $369,000
Springvale                                                   11                    $490,000                     15                    $395,000
Noble Park North                                              8                    $373,750                     16                    $405,600
Keysborough                                                  13                    $430,000                     17                    $410,000
Springvale South                                             13                    $425,000                     10                    $410,000
Greater Dandenong’s business news June 2011 - September 2011 9.




StAtiStiCS, GrAntS AnD opportunitiES
Springvale with $405,600 and $395,000 respectively. During             December 2010 quarter compared to the September 2010
the same period, the highest demand for housing was in                 quarter. This amounts to over $152 million or 3.32 per cent of all
Noble Park with 46 and Dandenong with 32 properties sold.              building works in the Metropolitan Melbourne area.
When comparing the last 2010 quarter and the first 2011                The value of commercial building work increased by an
quarter, all suburbs exhibit variations in median price.               amazing 40 per cent amounting to over $67 million during the
Most CGD suburbs offer various housing stock available for             same period representing over 41 per cent of all commercial
sale ranging from small units to second and third home-                works in the Melbourne South East (MSE) region and 9 per
buyer family homes. Hence the differences in prices depend             cent in Metropolitan Melbourne.
on the type of stock available at the time.
                                                                       Domestic and Residential (Housing) works were worth over
Building Investment                                                    $56 million with 371 permits issued in the three months to
The total value of all building works in the City of Greater           December. In total, there were 478 permits issued in the City of
Dandenong increased by more than 20 per cent during the                Greater Dandenong during the December 2010 quarter.

building permits City of Greater Dandenong
October to December 2010
                                                           Housing     Commercial      Industrial    Other Non Housing         Total
City of Greater           Value of Building Work $m         $56.87         $67.39         $6.70             $21.20            $152.16
Dandenong




                                                                                                                                            Source: Building Commission, building activity data
                          Number of Permits                   371          68.00           18                 21                478
Metropolitan              Value of Building Work $m        $3,205.96      $790.71        $44.19            $539.37           $4,580.23
Melbourne
                          Number of Permits                  16437          1764           107               646               18954
MSE                       Value of Building Work $m         $364.73       $165.18         $10.74            $87.22            $627.86
                          Number of Permits                  2410           213            34                 80               2737
% of MSE (Melbourne Value of Building Work                   16%            41%           62%                24%               24%
South East)
                          Number of Permits                  15%            32%           53%                26%               17%
% of Melbourne            Value of Building Work              2%            9%             15%               4%                 3%
                          Number of Permits                   2%            3%             17%               3%                 3%




Grants and Opportunities
G   row Me the Money is an online program designed to
    help small-to-medium-sized businesses become more
sustainable and save money. It provides businesses with the
                                                                       deferred activity statement dates and a free electronic calendar
                                                                       to help small businesses meet their tax and superannuation
                                                                       guarantee obligations. Visit www.ato.gov.au or phone 13 72 26
tools, resources and support to use less energy and water,
create less waste and save money.                                      The Australian Government’s Enterprise Connect offices provide
                                                                       a range of services and grants to business. These include:
Grow Me the Money has been designed around the needs
of small-to-medium business, but the program is open to                •	 Free Business Review conducted by skilled industry
all Victorian businesses interested in reducing resource                  business advisers. These reviews will help businesses better
consumption and improving environmental sustainability.                   understand their business strengths and weaknesses and
                                                                          provide them with strategies to achieve their goals.
Contact (03) 8662 5480 or visit www.growmethemoney.com.au
                                                                       •	 Tailored Advisory Services (TAS) grants can help businesses
The Australian Tax Office offers FREE assistance visits to small          follow through on the recommendations of a Business Review.
businesses. These visits are covered by the Commissioner’s                TAS grants reimburse half the cost up to a maximum of
guarantee, are educational in nature, and the information shared is       $20,000 (excluding GST) to engage a consultant/s to make
confidential and will not be used for any other purpose. The service      those changes.
can also be used to help set-up programs such as the Australian        •	 A Researchers in Business (RIB) grant allows businesses
Taxation Office’s (ATO’s) ‘Business Portal’ – a fast, convenient and      to have a researcher from a university or public research
secure way to lodge and view activity statements, request refunds         agency within their business to help develop and implement
and communicate on specific topics.                                       new commercial ideas. RIB grants provide funding for up
The Tax Office also has measures to help small businesses                 to 50 per cent of salary costs, to a maximum of $50,000, for
struggling to manage their tax payment obligations. This                  each placement between two and 12 months.
assistance can incorporate negotiated payment arrangements,               www.enterpriseconnect.gov.au
10. Stakeholder June 2011 - September 2011




nEW tECHnoloGiES

                                            Local Food
                                            Manufacturer Pops
                                            into innovation event
                                            T  he City of Greater Dandenong is
                                               part of the collaborative South
                                            East Melbourne Innovation Precinct
                                                                                        Flagship present on the development
                                                                                        of BARLEYMax™ a new super grain.
                                                                                        Steven Strong from Dandenong South
                                            (SEMIP) project – a unique partnership      food manufacturer, Popina Foods then
                                            between the Victorian Government,           presented on how Popina secured the
                                            CSIRO, Monash University, Australian        rights to commercialise the grain, and
                                            Synchrotron, Small Technologies
                                                                                        market it through a series of products
                                            Cluster, and Greater Dandenong,
                                            Kingston, Knox and Monash councils          readily available on supermarket shelves.
                                            working in consultation with industry.      Andrew Scully from CSIRO’s Future
                                            SEMIP has three key themes:                 Manufacturing Flagship gave an overview
                                                                                        of the CSIRO’s progress on developing
                                            CONNECT businesses and researchers
                                                                                        effective flexible electronics into
                                            ACCELERATE development of new               packaging, which could revolutionise the
                                            innovative businesses                       packaging industry.
                                            EXCITE by creating places to learn, work,   On 16 June SEMIP will be holding its first
                                            live and invest.                            Innovation Showcase, a full day event
                                            Consistent with those themes, SEMIP         providing opportunities for innovative
                                            continues to host a series of innovation    business people to interact with fellow
The new Popina BARLEYMax™ range             workshops aimed at encouraging              innovators, local researchers and
                                            researchers and local businesses to         government partners. Register now at
                                            gather and discover new opportunities for   www.innovation2011.com.au or email
                                            collaboration and innovation.               register@innovation2011.com.au
                                            The latest of these events was ‘Hungry
                                            for Innovation’ a food and packaging
                                            innovation workshop held in April.
                                            The event attracted food and packaging
                                            businesses from across the precinct to
                                            hear Tony Bird from CSIRO’s Food Futures




Leading the way in
new manufacturing
T  he Victorian Direct Manufacturing
   Centre (VDMTC) has been
established in Melbourne by a
                                            Established with the support of the
                                            Victorian Government, the consortium
                                            includes 10 Victorian companies,
                                                                                        products Also called 3D-printing or
                                                                                        additive manufacturing, the technology
                                                                                        can result in savings in labour, time,
consortium led by CSIRO to help make        Swinburne University of Technology,         materials and energy-leading to less
the state’s manufacturing industries more   Deakin University and CSIRO as              impact on the environment. Additionally,
environmentally friendly, productive and    research providers.                         the process allows parts to be produced
globally competitive.                       The centre will strengthen engagement       from difficult-to-fabricate materials such
Direct manufacturing is a revolutionary     between Victorian industries and            as titanium, for advanced applications
concept where components are                research agencies, revitalise key           in the aerospace, defence, mining,
manufactured directly from powder,          manufacturing sectors, create               biomedical and automotive industries.
ribbon or wire in a layered manner.         new highly-skilled jobs and reduce          Sound interesting? Visit www.business.
Direct manufacturing will increase          manufacturing’s environmental impact.       vic.gov.au and search Victorian Direct
flexibility and customer responsiveness –   The technology is particularly suited to    Manufacturing Centre or contact Dr
and significantly reduce time to market,    low-medium volume, higher value and         Mahnaz Jahedi Director of the Centre at
costs, energy consumption and waste.        difficult-to-manufacture materials and      Mahnaz.Jahedi@csiro.au
Greater Dandenong’s business news June 2011 - September 2011 11.




   ConGrAtulAtionS
nissan
Casting turns
over a new
LeAF                                               London Olympics
A   $21 million deal was secured by Nissan
    Casting in Dandenong to manufacture
three components for Nissan’s new all-
electric LEAF vehicle.
                                                   Contract for STi
Manufacturing, Exports and Trade Minister
Richard Dalla-Riva announced the contract
at the plant in March with Victorian State
                                                   O   ne of the first things Jill Long from
                                                       Sports Technology International (STI)
                                                   did when she started with the company
                                                                                                     respect and attention it deserves,” Jill said.
                                                                                                     Once STI had won the tender,
Manager Jayne Facey and Nissan Australia                                                             extensive testing was carried out by
                                                   was open a new project folder on a tender         everyone involved including officials,
CEO Dan Thompson.
                                                   that wasn’t to be issued for five years.          photographers, broadcasters and the
“This contract, which was won against the
                                                   That was back in 2005 when Dandenong              STI/APTA team in London and Australia.
odds of strong global competition, is a terrific
                                                   South businesses, STI and its sister              Large samples were air freighted to
win for Nissan Casting Australia, for our
                                                   company, Advanced Polymer Technology              London with investigations looking at UV
automotive components sector and for local
                                                   Australasia (APTA) heard that London              stability and playability with top hockey
manufacturing,” he said.
                                                   had won the right to host the 2012                players called in to play on it.
The contract secures the jobs of more than         Olympic Games.                                    Testing of the vibrant blue and pink
100 workers at the Dandenong plant and will
                                                   Before STI could tender for the supply and        colours was undertaken for people in
drive exports worth up to $160 million.
                                                   construction of the Olympic hockey pitches        the venue, such as umpires, players and
The plant is currently being upgraded in           it had to pre-qualify, which involved a           the audience, and for broadcasting,
preparation for the contract with production       submission of several hundred pages.              with filming under every possible light
scheduled to start in mid 2012. By 2013 the        From scores of submissions only four were         condition including natural light, half-light
plant is expected to be producing 22,000           invited to tender, including STI.                 and artificial light.
components per month.
                                                   Competing against leading European                “While STI has its name on the tender,
The Federal and State Government have              and North American suppliers, STI was             just as important is Advanced Polymer
contributed to the investment through the          awarded the tender in the latter half of          Technology, which is the manufacturer
Green Car Innovation Fund and the Victorian        2010, but it wasn’t until the end of March        of Poligras.
Government Business Assistance Grant.              this year that it was officially announced.       “Both companies work out of the same
The LEAF vehicle, the world’s first zero-          “LOCOG (London 2012 Organising                    facility and we have a very experienced
emissions five-door family hatch, is already       Committee) and FIH (International                 team on site including engineers,
available in the United States, Japan and          Hockey Federation) had a lot of planning          designers, chemists, scientists, admin
the United Kingdom and will be available in        and testing to do before details could be         people and tech people. We work as a
Australia in mid-2012.                             announced,” Jill said.                            team and that’s what helps us win these
www.nissan.com.au                                                                                    large and prestigious tenders.”
                                                   In a dramatic departure from the
                                                   traditional green hockey surface, the             www.sti-sports.com
                                                   colour of STI’s Poligras Olympia pitches
                                                   for London 2012 Olympics will be the
                                                   striking colour combination of blue pitch
                                                   and pink surrounds.
                                                   “The blue and pink combination was one of
                                                   the suggested layouts by us, so it’s gratifying
                                                   they settled on this colour combination.”
                                                   It’s not STI’s first break with tradition.
                                                   For the Sydney Olympics, the STI/APTA
                                                   team pioneered an alternative colour
                                                   pitch combination when it designed and
                                                   manufactured a rust terracotta colour
                                                   surrounds. And for the Beijing Olympics,
                                                   STI/APTA produced red and gold
                                                   surrounds to the pitches.
                                                   “We respond to every tender with a fresh
                                                   and clean approach; there’s no cutting and
                                                   pasting from other tenders. We give it the
12. Stakeholder June 2011 - September 2011




  SoutH EASt BuSinESS nEtWorKS (SEBn)... bringing people
                                      these pages feature stories from Council’s Business networking Department,
                                      South East Business networks (SEBn), together with the South East Melbourne
                                      Manufacturers’ Alliance (SEMMA inc) highlighting their work with industry and
                                      the diversity and innovation typical of the manufacturing sector in this region.



2011 networks                                                                                                                Craig Spence
                                                                                                                             takes a swing

& Programs
Regular network Groups:
•	General Manufacturing
•	Export
•	OH&S
•	South East Quality Network
•	Manufacturing ‘Xcellence’
•	Women in Business
                                      Take a Swing for
•	‘Manufacturing –
  Beyond 2010’
•	Tomorrow’s Business
                                      Charity Golf Day
  Leaders

Programs:
                                      T   he 2nd City of Greater
                                          Dandenong – Industry
                                      ‘Take a Swing for Charity’
                                                                          Greater Dandenong calendar.
                                                                          The Sandhurst course
                                                                                                             and the community that we
                                                                                                             encourage all to put MONDAY,
                                                                                                             20 FEBRUARY 2012 in their
                                                                          once again provided a
                                      Golf Day held on 21 February        challenge to the players, but      diaries now and if anyone
•	5S Visual Workplace                                                                                        would like to sponsor next
                                      at the Sandhurst Club               professional Craig Spence
•	Lean Leadership Academy             achieved its target $50,000 for     was at hand for all to buy         year’s event – contact Sandra
                                      Wallara Australia.                  ‘tips and tricks’ to help them     George on 9238 1576 or email
•	Lean to Green Academy                                                                                      SEBN@cgd.vic.gov.au
                                      This phenomenal result for          out. A great day was had by
•	‘Generation Next’                                                       all, with many commenting
                                      a local charity event was
  Leadership Forum                                                        on the great atmosphere of
  (partnership with Burke
  Corporate Advisory)
                                      made possible thanks to
                                      the incredible generosity of        the day, certainly helped by
                                                                          Mayor Roz Blades inviting
                                                                                                              Meet the
                                                                                                              Buyer Series
                                      the business community –
                                                                          Wallara client Andrew to help
•	CEO MasterMind Group                especially the major sponsors,
                                                                          read her welcome speech!
  (partnership with                   KPJ Group (Gold); Grenda
  CEO Institute)                      Corporation (Silver); the ARM
                                      Group and Norden Conversion
                                                                          The day concluded with a
                                                                          dinner and auction which
                                                                          raised in excess of $11,000 with
                                                                                                              SEMMA’sof theMeetto raise
                                                                                                                          2011
                                                                                                                series is designed
                                                                                                              awareness
                                                                                                                                   the Buyer

                                                                                                                               procurement
For information on these and          (Bronze). Kia Dandenong
                                      provided the Hole-in-One            auctioneer John Shore’s talents     practices and capability
other SEBN activities, phone                                              raising $400 for ‘nothing’ from     requirements of some of our
                                      opportunity. Many other
Manager Sandra George on                                                  one local company!                  local manufacturing icons
                                      businesses supplied goods
9238 1576 or email                                                                                            and educate members on
                                      and services to make the day a      A great ‘team’ event between
sgeorg@cgd.vic.gov.au                 very special event in the City of   CGD, industry, Wallara              the processes and policies
                                                                                                              required to conduct business
                                                                                                              with them.


  Focus on Export
                                                                          seminar. With the Australian        Companies including Siemens,
                                                                          dollar hitting a record high        Bolwell, Jayco, Volgren and
                                                                          against the US dollar in recent     Toyota have presented at
                                                                          months, Victorian exporters         these forums – all identifying

  S   outh East Business
      Networks (SEBN) is
  continuing its focus on export,
                                      international customers.
                                      Danny Burrows from
                                      TradeWorthy Consulting
                                                                          - particularly those in the
                                                                          manufacturing sector - are
                                                                                                              potential opportunities and the
                                                                                                              series also enables commercial
                                                                          seeing their profit margins         opportunities between
  partnering on a number of           provided participants with                                              members to be identified.
                                                                          decline. The seminar covered
  occasions in 2011 with the          information on the steps                                                More than 80 members
                                                                          key economic factors driving
  Department of Business &            required to comply with an FTA      our currency; what foreign          attended the March forum
  Innovation to deliver a series      and how to use this information     exchange risk means for             with Bombardier which
  that is both relevant and topical   to negotiate improved margins       exporters, and practical            highlighted the global nature
  for local exporters.                with their customer base.           management strategies for           of local procurement and the
  The first seminar in April          Companies wanting to know           exporters to protect against        opportunities that many local
  focused on Free Trade               more about FTAs can find            foreign exchange losses.            manufacturers may have as
  Agreements (FTA) and how            further information at www.         Another seminar on this topic is    global suppliers.
  Victorian companies can             export.business.vic.gov.au
                                                                          being planned so keep               The next forum is scheduled for
  actively use an FTA to drive        Managing Currency was               an eye out for details on the       August and open to SEMMA
  export growth with their            the key issue at the following      next event.                         members only.
Greater Dandenong’s business news June 2011 - September 2011 13.




together to strengthen manufacturing knowledge and capability

Preparing tomorrow’s business leaders.
Where is your company at?
Article by Michael Burke


It is becoming an all too
 common occurrence.
                                    your time in three years
                                    time. Is it travelling, playing
                                    lots of golf, more time with
                                                                           sure it is heading a team of
                                                                           people that will challenge them.
                                                                           In the early days they may
                                                                                                                front of others. In fact, build
                                                                                                                them up in front of others,
                                                                                                                as long as it is not false. You
Picture this - business
                                    the grandchildren, monthly             be vulnerable as a potential         also need to accept that the
owners heading towards
                                    lunch with the mates and so            leader and more likely to make       successor is not you, and nor
their 60s at a rapid rate and
                                    on. Maybe you want to be               mistakes so the first point is to    will they ever be. Accept the
desperately wanting more
                                    working on some high-level             make sure they have mentoring        differences and move on.
work-life balance, but actually
                                    business opportunities two             built into their training program.
working longer hours. With                                                                                      People start to become great
                                    days per week to help the              The mentor should ideally be
question marks over potential       business. Whatever you want            someone who has been through         leaders when they start to
internal successors and no          to do, if you can identify how         a similar experience and seen        build confidence in their
documented plan in place to                                                                                     ability to deal with any issues
address the situation. Sound         Michael Burke and the “Generation Next” group.                             that come their way. The
familiar? If so, read on.            This mentoring program is now accepting new                                early stage of succession is
                                     participants. Contact Sandra George.                                       about building confidence.
Five years ago everyone was
talking about succession                                                                                        Write down a plan
planning and the need for it.                                                                                   Your next steps from this
Not many of us took it seriously.                                                                               article should be to:
Then the GFC came along and
distracted us. As we emerge                                                                                     •	 write down the things that
into the next phase of growth                                                                                      you need to do over the next
(at least according to most                                                                                        30 days to start planning
economists and the OECD),                                                                                          to “hand over the baton”
handing over the business                                                                                          – make sure you put dates
to someone else has now                                                                                            against these actions
become a harsh urgent reality                                                                                   •	 jot down the name of two or
for many. Succession is back                                                                                       three potential successors in
on the agenda but is now an                                                                                        the business
urgent issue.
                                                                                                                •	 write down your plan B if
The key question is, “Is your                                                                                      your preferred successor
business ready to hand over                                                                                        doesn’t work out.
the baton?” There are three         you will spend your time this          the lessons and mistakes of
key things you need to do.          should give you a goal to start        succession with their own eyes.      Michael Burke is a Business
                                    wanting to ease out of the                                                  Improvement Specialist
Get yourself ready                                                         Secondly, organise a                 and accredited facilitator of
                                    business. Unless you want to           training program that covers
When the penny drops that           ease out of the business, then                                              the consulting and senior
you will need to exit your                                                 leadership skills, general           management network,
                                    chances are you won’t!                 commercial training and
business smoothly, the biggest                                                                                  Mindshop. He also leads the
                                    Identify and skill-up successors       people skills. Get them to mix       South East Business Networks
barrier to your exit will be you.
                                    You need to think about                and network with other young         Generation Next program. For
This business has been yours.                                              leaders who are at a similar         more details contact Michael
                                    potential successors. Get your
For many business owners                                                   stage of development.                via email at mburke@bcag.
                                    potential successor leading a
they were there at the start. It                                                                                net.au or at www.bcag.net.au
                                    small part of the business, to         Make sure you back your
is hard to let go.                                                                                              or Sandra George at South
                                    get them understanding the             potential successor every
The starting point is to look at    role of a leader. Maybe it is a        time. Don’t talk behind their        East Business Networks on
how you want to be spending         pilot project. If you can, make        backs; don’t chastise them in        sgeorg@cgd.vic.gov.au.


National Youth Services Week
C   GD Youth Services and
    SEBN teamed up to run a
Youth Mentoring Breakfast as
                                    Two young business leaders
                                    - Daniel Flynn (Thankyou
                                    Water) and Tirren Staaf
part of National Youth Week.        (Obese Records) spoke about
Mayor Roz Blades welcomed           their business experiences,
45 local secondary school           inspiring the young leaders
students who engaged with           of tomorrow to ‘have a go’! A
more than 50 local business         great time was enjoyed by all,
mentors volunteering their time     with additional mentoring and
to enjoy a conversation with        work experience offered and
students on career choices          plenty of new schools-industry
and workforce expectations.         initiatives being discussed.
14. Stakeholder June 2011 - September 2011




inDuStry & inVEStMEnt
                                                                                          A Super New Store
                                                                                          A   mong other significant
                                                                                              investments in the local retail
                                                                                          market, Australia’s largest discount
                                                                                          furniture and bedding retailer,
                                                                                          Super A-Mart has announced that it
                                                                                          is coming to Dandenong.
                                                                                          The company has almost 30
                                                                                          across five states, and has now
                                                                                          signed a 12-year lease for an 8000
                                                                                          square metre facility at 132- 140

Smart Location for                                                                        Frankston Dandenong Road, the
                                                                                          former home of Mercury Marine
                                                                                          which is moving to VicUrban’s

Community Kitchen Gardens                                                                 Logis Industrial Estate in nearby
                                                                                          Greens Road.
                                                                                          CB Richard Ellis Senior Manager

T  he GPT Group’s Parkmore Shopping
   Centre has introduced an innovative
approach to teach children where their
                                            Growers Workshops held during school
                                            holidays.
                                                                                          Chris Parry and Cameron
                                                                                          Industrial Commercial Director,
                                                                                          Ben Cooper negotiated the lease.
                                            “These workshops include seasonal
food comes from.                            cooking demonstrations, hands-on pot          “This lease was one of the largest
The Centre has created two kitchen          decorating and potting a plant, which         single bulk goods deals to be
gardens filled with more than 100           children can then take home.                  completed in the Victorian market
seasonal herb and vegetable plants that     “Our future marketing is themed               for some time,” said Mr Parry.
can also be harvested by shoppers to use    around fresh food. Rather than children       “Despite the challenging
at home.                                    thinking that oranges are grown on the        market conditions, retailers are
A large rooftop garden (12 crates)          supermarket fruit tree, they can learn        committing to longer leases in
and a smaller interior garden in the        what the process is and how enjoyable         the Victorian bulk goods sector,
fresh food hall (5 crates) are part of      fresh food is to eat.”                        underpinned by population growth
GPT’s partnership with the Stephanie                                                      and forecast growth in household
                                            Parkmore’s rooftop garden has been            expenditure,” he added.
Alexander Kitchen Garden Foundation         designed as a community kitchen
and its social investment program           garden with free membership where             According to Mr Cooper the
aimed at enhancing the well-being of the    members look after their garden, sow          State Government’s $290 million
communities in which GPT operates.          new crops and harvest crops according         revitalisation of Dandenong is
                                            to the season. A monthly workshop with        renewing investor and tenant
As part of its partnership, GPT has                                                       confidence in the area. This
introduced The Magic of Growth Program,     a guest presenter and a newsletter
                                            featuring a recipe from Stephanie             lease closely follows two significant
which includes events designed to help                                                    property sales in the main street of
promote the Foundation’s principles of      Alexander are included.
                                                                                          Dandenong for more than $2 million.
pleasurable food education and positively   Community and school groups are invited
influence children’s food choices.          to visit and tend the garden at any time.     The Super A-Mart Homemaker
                                                                                          Centre will employ about 35
Joel Bridgwood, Parkmore’s Marketing        magicofgrowth.gpt.com.au                      people when it opens later this
Manager, said the Magic of Growth           parkmoreshopping.com.au                       year and will be its third Victorian
program of activities includes the Little   kitchengardenfoundation.org.au                store.




Fulfilling local dreams
Investment in Greater Dandenong
 has not been limited to the industrial,
commercial and retail markets, with
another new building about to crop up at
Chisholm TAFE’s Dandenong site.
The DREAM project, a new $9.5
million trade training centre, has
been enabled by a consortium of five        located facility with state-of-the-art      construction, plumbing, engineering
secondary schools in the Dandenong          equipment, providing students a fast-       studies and hairdressing.
area, and funded through a Federal          track into a wide range of careers.         By working in partnership with the
Government initiative.                      Due to launch late this year, the two-      local schools Chisholm is continuing to
The centre will give students of all five   storey centre will offer trade training     be a catalyst for career pathways for
schools access to a single, centrally       programs including building and             people in this region.
Greater Dandenong’s business news June 2011 - September 2011 15.




inVEStMEnt




Rollforming Sets up Own Home
A  ustralian Rollforming has left ‘home’
   and bought new premises in Gaine
Road, Dandenong South.
                                              “However, now that Bombardier has won
                                              contracts to make Melbourne’s new trams,
                                              they need the space back, so we’ve been
                                                                                          projects. Each year more than 270,000
                                                                                          metres of metal are rollformed, shaped,
                                                                                          drilled, punched and cut with precision
                                              thrown out of home!,’’ he laughed.          accuracy for each millimetre.
When the company was established in
2001, its main customer was Bombardier        Australian Rollforming is widely regarded   “We are still a major supplier to Bombardier
from whom it leased factory space.            as Australia’s leading special sections     and our new, larger premises will better
                                              metal rollforming company with more than    position us to serve an increasingly diverse
“Back then it was very convenient,”                                                       customer base,” Henry said.
said Henry Wolfkamp, Australian               1300 different products on its books.
Rollforming’s Managing Director. “We          It provides a world-class metal design,     The company has made a $5 million
took over the factory that was used to        rollforming, fabrication and project        investment in Greater Dandenong through
make Melbourne’s W-class green and            management service to a wide range of       its new property purchase and fitout.
yellow trams.                                 national and international engineering      www.ausrollform.com.au




Top Ten Law Firm Investment
O   ne of Australia’s top 10 law firms has
    opened an office in Dandenong.                                                                                   The new Gadens
                                                                                                                    Dandenong Team
In March this year Gadens lawyers,
which has been providing services
to Victorians since 1845, commenced
business with a full complement of
professional and support staff.
The office will soon have five partners,
two senior associates and a three-
person support team operating from
its Robinson Street office. Some of the
partners studied and undertook their
articles in Greater Dandenong.
Patrick Walsh, Chairman of Gadens
Melbourne, said establishing in
Dandenong was a strategic decision
and one that was supported by the
State Government’s identification of
Dandenong as a growth area and its
$290 million revitalisation investment.       David Stevens, General Manager of           In addition to corporate services,
“The businesses we have met are               Gadens Dandenong said, “We view             Gadens Dandenong provides
inspirational, particularly those at the      Greater Dandenong as a major hub of         private client legal services
Premier Regional Business Awards. It          Victoria’s manufacturing industry, which    including family law, wills and
reinforces our decision to invest here and    makes a very important contribution to      estates, and property law.
further service our Victorian client base.”   the state’s economy”.                       www.gadensdandenong.com.au
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Carbon pricing and small to medium sized businesses

  • 1. Greater Dandenong’s business news June - September 2011 Preparing your buSineSS The Price of Carbon - Page 2 Disaster Management - Page 6 Local wins London bid - Page 11
  • 2. 2. Stakeholder June 2011 - September 2011 City of opportunity Focus Contacts: Ron Ghiggino Ron Ghiggino Manager Economic Development Sandra George Manager South East Business Networks What a spectacularly busy few Enquiries to 9238 1550 Fax 9239 5196 months we have had. The Melbourne www.greaterdandenong.com Food and Wine Festival; the Greater Paul Dowling Dandenong Chamber of Commerce’s South East Melbourne Manufacturers Platinum Regional Business Awards, Alliance (SEMMA) Ph: 9238 1565 the annual Greater Dandenong Race www.semma.com.au Day, and commencement of the 2011 awards program; Manufacturing Deanne Johnson Week; and the Manufacturing Hall of Greater Dandenong Chamber Fame and the inaugural Melbourne’s of Commerce Ph: 9794 8881 www.greaterdandenongchamber.org South East Business Awards - to topical “barbecue stopper” of carbon mention just a few activities. pricing but also some very positive Paula Brennan outcomes of responding or working Stakeholder Editorial The success of the Chamber’s Platinum with the environment – about turning Ph: 9238 1573 Regional Business Awards Gala pbrenn@cgd.vic.gov.au challenges into opportunities ranging Evening, with over 700 attendees, has set a new benchmark for celebrating from sustainable building design, Address: awards for the region. Congratulations manufactured products, electric vehicles to all the winners and runners-up in the or to responding to major weather events. Business Development Centre 4th Floor, 329 Thomas Street very competitive field. Business continuity is something that is Dandenong, Victoria 3175 always with us whether it is succession The phenomenal success of the ‘Take a Swing for Charity Golf Day’ has planning or responding to a significant Views expressed by individual contributors in this publication do not necessarily reflect the views of made a significant contribution to our event (or catastrophe) and we hope some the City of Greater Dandenong. community so put 20 February in your of the articles in this edition are food for Material from Stakeholder, Greater Dandenong‘s diary to participate in the 2012 event. thought for you and your business. business news may be reproduced for non- commercial purposes provided the source is There are still more events to come, so As always enjoy the read and make acknowledged, e.g. ‘This material first appeared join us to celebrate the winter solstice sure to check the calendar of events. in the City of Greater Dandenong’s Stakeholder at the Shortest Lunch on 22 June. publication, June - September 2011’. Ron Ghiggino This edition looks not only at the very Manager Economic Development WorD froM tHE EXpErt Carbon Pricing and Small to Medium-Sized businesses: Don’t Wait to See What Happens Article by turlough Guerin, I n recent months the media has been whipping up a storm over how a carbon tax will send us all into poverty. The view The bottom line is that a carbon price will be another risk for businesses to manage. BUT in some instances, a price has been that a carbon tax is yet another on carbon will provide an opportunity, lever for the government to pull to grab both in forcing businesses to review and more revenue and everyone and every update their operations to become more business is going to suffer from a price efficient, and in providing new industries being put on carbon. and products to service a new carbon Here are some realities: regime. How can your business take • Australia has commitments under advantage of these opportunities? the UN to reduce national greenhouse In this article, I propose that SME leaders gas emissions; (if they haven’t already) ought to consider • Australia won’t be leading the world if it getting a view of how carbon flows introduces a carbon tax. Many countries through their business. This will enable have already implemented a tax or an understanding of how a carbon price Turlough Guerin, Chairman Access Melbourne, scheme for putting a price on carbon; is likely to impact your balance sheet. Board Advisor Climate Alliance and Former A carbon price has never been costed in Environmental Manager at Telstra, Shell and Rio • A critical issue for businesses will be Tinto. www.au.linkedin.com/in/turloughguerin keeping a competitive advantage in a our economy before and the environment, new tax regime. specifically the atmosphere, has carried the continued page 3
  • 3. Greater Dandenong’s business news June 2011 - September 2011 3. inDuStry StoriES weight of years and years of greenhouse gas emissions from our industrial activity. Case study: A recent carbon footprint assessment for part of a large business There is no point trying to delay or dodge yielded some interesting results for the business and its customers1. It showed that the inevitable. I agree small businesses the environmental impact of its services was predominantly a result of servers should voice their view on the potential and switching devices (routers) which the customer had to purchase to enable the downside of cheap imports that do not services to work. When this information was shared with the customer, they were necessarily properly cost a price of able to change their own processes to ensure the most energy-efficient routers carbon, but they should also be preparing were now used. It also provided a missing piece of information for the customers themselves for the impact of a carbon price. undertaking their own carbon emissions inventory. Energy and fuel prices are likely to be the main sources of additional costs for your This is not rocket science but it does carbon reduction. Funding for business business. Based on your current annual require some rigour, attention - detail process redesign should be offset energy and fuel bills you can estimate the and analysis: against the impacts of a carbon price forecasted increases. By knowing where on your business if you were to make the carbon flows are in your business, 1. Prepare a list of the sources of no changes in the carbon passed you can prioritise efforts on where to greenhouse gas emissions in your through your business. reduce or substitute this flow. For other business. Look for anything that uses SMEs that produce large volumes of energy, fuel or contributes to landfill. With knowledge of your carbon waste for landfill, the costs of disposal Don’t limit yourself to the boundaries of footprint you can determine the likely will increase because of the greenhouse your own facilities – consider what you risks you’ll need to manage and plan impact of methane – a by-product of are purchasing in raw materials i.e. for. The bonus of being proactive is landfill waste decomposition. over and above energy and fuel. that it will also expose opportunities for your business to be a low-carbon But the specifics of estimating a 2. Rank the sources of carbon according provider in your sector. This may give financial impact for your business will to the total tonnage of CO2e (i.e. your business a competitive edge if vary according to your own systems, equivalent). you act on this knowledge. processes and products. There is no 3. Identify ways to eliminate or reduce way to put all the options in this article See “Measuring our own carbon CO2e from the main sources. 1 for reducing your carbon footprint. In footprint onto our largest customer” essence, what will give you a factual 4. Redesign those “carbon-intensive” 2 http://slidesha.re/hFNCAz basis for evaluating the carbon risks in parts of the business so that a your business is to identify and collate competitive edge is established. This 2 That is, where the tonnes of CO2e (t CO2e) these carbon emission sources. This is a is where it counts. It is highly likely per unit of production or revenue is high basic carbon emissions inventory. there will be a cost to deliver this compared to other parts of the business. Positioning Your business for the Future W ith a carbon-constrained world inevitable it is up to businesses to set their own sustainability path, and Measures implemented on site included • assessing power use of lights, water now actively pursuing a similar strategy for timber waste from inbound shipping. boilers and air conditioners; Another initiative introduced the use of explore the opportunities that sustainable more environmentally friendly water- practices can bring. One business taking • installing low-watt lights in office areas based cutting lubricants, instead of advantage of these opportunities is Noble • putting timers on air conditioners difficult-dispose-of-oil-based products. Park company Festo Pty Ltd. • investing in programmable water boilers As a company, Festo recognises that its Festo is one of the world’s largest industrial which operate only during business hours. long-term economic success in a world automation companies, supplying Air quality improvements were also of finite resources and limited carrying innovations in pneumatic, process and made by fitting larger filters on capacity of ecosystems necessitates electric drive technology delivering compressed air equipment which responsible interaction with the productivity gains for clients. improved efficiency and reduced environment. Festo have taken advantage of the Local energy use. Festo has reinforced its commitment to Industry Efficiency Program (LIEP), which A review of waste materials has also minimising the environmental impact of provided an independent review of the led to changes at Festo. Compacted its business and products by joining the company’s Noble Park site to determine cardboard is now sold to a third party Support 155 Business Program. the sustainability improvement potential with water, power and waste savings recycler and is no longer a cost. Festo is www.festo.com.au throughout its production facility. “Going through the program has re- educated our business in relation to energy savings and waste management on a day-day basis. Incorporating our company’s strong environmental focus into our work environment has been easy to do, and has provided us with ongoing cost savings,” said Gavin Cocks, Festo Operations Manager.
  • 4. 4. Stakeholder June 2011 - September 2011 inDuStry StoriES Jaeger Formulation is the Farmer’s Friend A gricultural crops-such as grapes, potatoes and other vegetables, fruits, cereals and even nuts-are facing pose any risk to human health. It is biodegradable and only has a one-day withholding period, so crops can be an increasing prevalence of fungi and sprayed one day and harvested the next. microbial plant pathogens. Most other fungicides have a seven-day One innovative Noble Park business has withholding period,” he said. invented a multi-purpose solution to fight “Farmers know if it’s working within half Before. these diseases on greenhouse productions, an hour as affected leaves start to change in-field throughout the plant’s development colour. It’s that immediate. And the beauty of and also in post-harvest storages. Peratec is that it not only kills the infection, it Jaegar Australia, one of Australia’s also kills the spore or eggs of the infection.” foremost ‘creative formulators’ of The savings in using one application industrial and commercial cleaning rather than three aren’t just restricted and sanitation agents, has developed to the cost of purchasing products. The a product Peratec Fungicide that labour and fuel costs involved in having is gaining widespread recognition to do three applications at different times nationally and overseas. can be considerable. Mario Azzopardi, Jaegar’s Managing Established in 1989, Jaegar remains a Director, said there several unique features small operation with less than 10 staff. of Peratec, which is environmentally However, with the success of Peratec friendly and can kill botrytis and other and other products, including a non-toxic infections such as powdery and downy biodegradable graffiti remover, Jaegar’s mildew in the one application. turnover has doubled this year, which “Peratec utilises per-oxygen chemistry points to a healthy growth path. After. that does not leave toxic residues or www.jaegaraustralia.com.au Victoria Leads in Cleantech industry T he cleantech industry is growing exponentially across the world. In Australia, Victoria is leading the nation activities such as site visits. Austrade auspiced the Indian trade mission and ensured that participants were matched The trade mission to India was the first of a number planned by the Victorian Government. Eligible companies were in terms of the number of companies with suitable Indian organisations. also provided a $3000 rebate to assist involved, the people employed, and with airfares and accommodation costs. industry turnover. Three capability presentations were also organised so each participant could The multi-sector trade missions are part To ensure it stays this way, the Victorian present to a hand-picked audience of of the Victorian Government’s focus Government and its Department of about 40 Indian companies. on India, which aims to achieve $60 Business and Innovation (DBI) recently million of additional exports in the next organised trade missions to the USA and India. two years in addition to the existing $2 billion of Victorian exports to India. The first mission to the USA was in pursuit The Trade Mission’s visit in April set the of approved water projects with the tone for larger trade missions, targeted United Nations and the World Bank. The missions and industry promotion over 14-delegate mission returned in February the next two years. with significant new business for the Australian businesses who attended. A 2008 ICN report estimated that The second mission to India in 19,000 people were employed by more April highlighted Victoria’s general than 300 companies in the cleantech cleantech industry capabilities with industry, which produced revenues of the aim to maximise export and $3.5 billion. This number is expected to partnership opportunities. double by 2020. Every participant in the Indian trade To register interest in future cleantech mission had a tailored program of trade missions, contact Peter Hansford at one-on-one meetings in addition to joint Peter.Hansford@dbi.vic.gov.au.
  • 5. Greater Dandenong’s business news June 2011 - September 2011 5. inDuStry StoriES Leading the way in industrial Design S ustainability has become an essential ingredient for any new development. Australand has been involved in the development of the Green Star Industrial tool, working with the Green Building Beaumont Tiles site in Abbotts Road The Beaumont Tiles building in Abbotts Road Dandenong South, constructed in Council of Australia (GBCA), the City of late 2009 by the Pellicano Group, was Greater Dandenong and the end owner, a leading example of incorporating Australand Property Trust. sustainability into the planning, design Chris Mackenzie, Australand’s and construction thus reducing the commercial and industrial General environmental impact of the building. Manager of Development and a member More recently Australand announced of the GBCA committee that developed that one of its latest projects, a the tool, said Australand was confident 27,200-square-metre office and about the demand for green industrial warehouse to be built on The Key estate buildings. ‘’Tenants and investors are in Greens Road Dandenong South, is increasingly recognising the advantages expected to be one of Australia’s first of properties with strong environmental Green Star-rated industrial buildings. credentials,’’ he said. The Australand project will aim for a Implementing the next step is the four-star Green Star Design, leading nearby VicUrban LOGIS North estate the charge for industrial developments which will set a new standard for entire to follow standards previously set in the industrial precincts by incorporating a commercial marketplace. Greater Dandenong is privileged to be host of cost-effective and future-friendly the home of these developments which The company expects the project to have sustainable design features – including are clearly setting the standard for an end value of about $25 million and to water-sensitive urban design, energy- others to follow. be retained within the investment property efficient street lighting, recycled water portfolio of the Australand Property Group. and smart building design. www.gbca.org.au Ikea/Harvey * Skylights deliver a happy balance Norman on-site rainwater storage between providing natural light and heat transfer issues. Approximately five per cent of the roof is translucent glass with high-UV values. * Natural car park ventilation. Because the building is relatively narrow it can rely on wind pressure to vent the car parking levels that have an open facade. Additional ventilation is provided via fans that activate when carbon monoxide sensors are triggered. This eliminates the use of exhaust ducts and also reduces energy consumption. * Insulation. The building is insulated Green Building Designs above the recommended level to ensure the mechanical system works to its peak. * Windows. All the glazing is shaded, Adapt to Changing Climate providing natural light but preventing heat transfer by direct sunlight hitting the glass. T he new Ikea and Harvey Norman Homemaker Centre in Springvale is a great example of a sustainable every bit of water is used throughout the complex. * Air cooling. The Ikea store uses an innovative ‘chilled beam’, water- “In total, 4.8 million litres of rainwater based cooling system where a development. are stored, which is used to flush ‘beam’ (radiator) suspended from the With the building nine metres longer toilets, top-up the air cooling towers ceiling allows denser cool air to fall than the Empire State Building is tall, and irrigate the landscape. It can also to the floor, replaced by warmer air this means plenty of roof space — be used for general non-potable use moving up from below. The running approximately 55,000 square metres such as cleaning the building and cost is approximately 16 per cent of a — to capture rainwater. loading docks.” standard system. Steve Evans, Director of Leffler Simes Other sustainable features to conserve www.ikea.com Architects, designer of the building, said energy and materials include: www.harveynorman.com.au
  • 6. 6. Stakeholder June 2011 - September 2011 DiSAStEr MAnAGEMEnt Planning for all Contingencies B usiness continuity management can be divided into two segments: the known risk factors that will affect your business and the more frequent unknown factors, which can strike at any time. Perhaps the most well-planned for Responding to ‘known’ factor was the Y2K ‘bug’, with businesses investing resources to ensure minimal disruption. The increasing costs of oil and electricity Major emergencies also fall into this category. Fires, floods and earthquakes are disasters that are beyond our control and highlight our vulnerability. Add to this energy disruptions, such as the D id you know that each Council has a Municipal Emergency Management Plan (MEMP) - an over-arching document Council’s Manager Infrastructure Services. Test exercises are conducted Longford gas explosion in 1998 when there was no gas supply for nearly annually to ensure council’s systems three weeks. facilitating council’s total emergency and procedures detailed in the plan are management planning response and up to date. Test exercises also ensure That’s why it’s important to be prepared. recovery initiatives? You need to identify preventive and the Municipal Emergency Control The MEMP is developed and alternative measures to manage risks Centre (MECC) is ready to operate in implemented in partnership with through a business continuity plan. the case of a major emergency. lead emergency agencies to address Risks need to be identified, assessed, emergency issues which may occur We are relieved that the MEMP and analysed and tested; then monitored within the municipality. These events MECC have not often been called upon, and reviewed regularly. could include major fire, flood, but they were invoked recently when This, along with good financial plans earthquake or any other emergency severe flooding occurred in several parts and comprehensive insurances, should event which could have a broad impact of the municipality. be in place to protect your business and on the local community. reduce the impact on the business and During the 4 February flooding event The aim of the MEMP is to detail the MECC was activated in order to your employees’ lives. arrangements to minimise, respond to guide council’s response and recovery Do your processes allow you to continue and recover from emergencies that could to the event. The MECC consisted of a to operate the business if such a disaster occur in the City of Greater Dandenong. occurred? How soon could your team, including emergency partners Activating and coordinating emergency such as the SES and Victoria Police, that business re-open and operate effectively resources is an integral part of the coordinated emergency responses to after a major disruption? Would your council’s day-to-day operations. back-ups really be effective if everything minimise the impact of the event. Accordingly, levels of response can be on site was lost? Are you sufficiently increased or decreased without the need This included emergency response insured for such a business disaster? for formal declaration of an emergency staff from various services, including To help business respond to those or activation of the MEMP. Council, working night and day to questions and develop their own This MEMP is administered and manage the emergency activities plan, the Victorian Government Office maintained by the municipal including traffic management, road of Small Business has produced an emergency management team and closures, monitoring of stream levels, information sheet available online at chaired by the Municipal Emergency planning for escalation scenarios and www.business.vic.gov.au by searching Response Officer (MERO) Oliver Vido, evacuation of affected residents. for ‘Emergency Contingency Planner”.
  • 7. Greater Dandenong’s business news June 2011 - September 2011 7. inDuStry StoriES Prepare for the inevitable A power failure is one of the worst events to occur for any business. Whether it’s caused by a lightning strike, usually more frequent than blackouts. Businesses can be prepared for “We sit down with the customer and ascertain what their load is and how long they need to support that load for. such events with an uninterruptible We then design a system to fit, build a vehicle crash, power grid overload or earthworks gone wrong, it can happen. power supply (UPS), which regulates the system for them, install it and then the incoming power to acceptable maintain it.” The effects of a sudden power failure parameters and can supply a limited can be devastating if no preparation has With UPS costs starting from about $165, amount of power when mains power fails. it is a worthwhile investment in “business been made for a “graceful shutdown” of computers, point of sale, manufacturing Dandenong South business Upsonic continuity management”. systems and other important equipment. Power supplies three levels of UPS that Upsonic Power supply uninterrupted suit small, medium or large business. power services to Council across its Damage can also occur to sensitive electronics through spikes, surges, Paul Riva, Upsonic’s Managing Director, various sites. brownouts and noise, which are said every business has a different need. www.upsonic.com.au Images courtesy of Keith Pakenham - CFA Strategic Communications Diligent Procedures Save Retailer from $1M+ Loss W hen fire engulfed and destroyed the Compleat Angler store in Langhorne Street Dandenong in November last stock processed ready to ship just waiting for the new delivery address.” “The shock of the fire affected all the staff, but with teamwork the grief was Knowing that virtually everything eased as everyone worked towards the year, it was thanks to diligent business was covered by insurance provided common goal of re-opening.” procedures that it was able to open valuable security. three weeks later and capture important Glenys’ key tips are: Christmas and holiday trade. “Earlier in the year, with our broker, I had completed a total review of our * make sure backups are done regularly Vowing not to let the fire destroy the insurance, which involved updating and and test the backup copy business, the first step co-owner Glenys amending the policy to ensure that if * store backups off-site Cooper Loft took a search for new there was a total loss, as happened in our premises. case, the loss would be reduced. * review insurance policies regularly “I was confident that once we had a “We included items such as loss of profit, * maintain monthly/seasonal buying new store, we could get stock and start business interruption, updated inventory procedures trading quickly. We had comfort in values and considered seasonal stock knowing that we had off-site backups of adjustments. This process ensured we * maintain a supplier contact database all our data,” Glenys said. got back on our feet quicker. * maintain a customer database for “After buying a new laptop, reloading MYOB “A flyer mailed to 19,000 customers quick mailouts Retail Manager and data from our backups, announcing the relocation was * have a disaster management plan our team went to work creating purchase out within three weeks and helped orders. Our suppliers were great. They had generate business. www.compleatangler.com.au
  • 8. 8. Stakeholder June 2011 - September 2011 StAtiStiCS City of Greater Dandenong Economic Activity Indicators Property Sales Activity January to March 2011 A s anticipated, the March 2011 property sales data shows improvement in the property market with small rises in median prices as well as number of sales compared to the December 2010 median price from $320,000 during the December 2010 quarter to $640,000 during the March 2011 quarter but limited sales - 7 and 6 sales respectively - mean the increase in median price could be quarter. The sharp slowdown of activity in the property market an isolated occurrence or simply related to parcel size rather than observed during the 2010 4th quarter seems to have had very little price per M². Industrial and commercial property vacant sales effect on property prices. showed very little activity with only one vacant industrial property With 159 properties sold at a median price of $377,000, the capital sold during the March 2011 quarter. improved residential properties sales during the first 2011 quarter As expected, during the March 2011 quarter market prices showed a slight improvement when compared to the 148 properties increased especially in terms of capital improved properties, sold at a median price of $373,750 during the last three months of 2010. which is the most considerable property sector in the City of The median residential site value price decreased from $329,000 Greater Dandenong. in the previous quarter to $275,000 during the first 2011 quarter, The suburbs with highest median prices during the March however the number of sites sold increased significantly from six to 2011 quarter were Keysborough and Springvale South with 41. This median price change seems to be the result of a greater $410, 000 median price followed by Noble Park North and number of smaller blocks sold during the three months to March 2011 compared to the last 2010 quarter. Industrial capital improved property sales slightly decreased from 24 in the December 2010 quarter to 21 in the March 2011 quarter with the median price falling from last year’s peak of $572,500 during the December 2010 quarter to $470,000 during the March 2011 quarter. This median is still higher than the $437,500 median recorded during the 2010 March, June and September quarters. Remarkably, commercial capital improved property doubled in * *property values not shown for Dec-10 and Mar-11 due to insufficient number of sales to establish a median. Source: City of Greater Dandenong Median Residential Prices by Suburb City of Greater Dandenong December Quarter 2010 March Quarter 2011 No. of Sales Improved No. of Sales Improved Dandenong 45 $333,500 32 $281,500 Noble Park 36 $340,750 46 $346,000 Dandenong North 22 $380,893 23 $369,000 Springvale 11 $490,000 15 $395,000 Noble Park North 8 $373,750 16 $405,600 Keysborough 13 $430,000 17 $410,000 Springvale South 13 $425,000 10 $410,000
  • 9. Greater Dandenong’s business news June 2011 - September 2011 9. StAtiStiCS, GrAntS AnD opportunitiES Springvale with $405,600 and $395,000 respectively. During December 2010 quarter compared to the September 2010 the same period, the highest demand for housing was in quarter. This amounts to over $152 million or 3.32 per cent of all Noble Park with 46 and Dandenong with 32 properties sold. building works in the Metropolitan Melbourne area. When comparing the last 2010 quarter and the first 2011 The value of commercial building work increased by an quarter, all suburbs exhibit variations in median price. amazing 40 per cent amounting to over $67 million during the Most CGD suburbs offer various housing stock available for same period representing over 41 per cent of all commercial sale ranging from small units to second and third home- works in the Melbourne South East (MSE) region and 9 per buyer family homes. Hence the differences in prices depend cent in Metropolitan Melbourne. on the type of stock available at the time. Domestic and Residential (Housing) works were worth over Building Investment $56 million with 371 permits issued in the three months to The total value of all building works in the City of Greater December. In total, there were 478 permits issued in the City of Dandenong increased by more than 20 per cent during the Greater Dandenong during the December 2010 quarter. building permits City of Greater Dandenong October to December 2010 Housing Commercial Industrial Other Non Housing Total City of Greater Value of Building Work $m $56.87 $67.39 $6.70 $21.20 $152.16 Dandenong Source: Building Commission, building activity data Number of Permits 371 68.00 18 21 478 Metropolitan Value of Building Work $m $3,205.96 $790.71 $44.19 $539.37 $4,580.23 Melbourne Number of Permits 16437 1764 107 646 18954 MSE Value of Building Work $m $364.73 $165.18 $10.74 $87.22 $627.86 Number of Permits 2410 213 34 80 2737 % of MSE (Melbourne Value of Building Work 16% 41% 62% 24% 24% South East) Number of Permits 15% 32% 53% 26% 17% % of Melbourne Value of Building Work 2% 9% 15% 4% 3% Number of Permits 2% 3% 17% 3% 3% Grants and Opportunities G row Me the Money is an online program designed to help small-to-medium-sized businesses become more sustainable and save money. It provides businesses with the deferred activity statement dates and a free electronic calendar to help small businesses meet their tax and superannuation guarantee obligations. Visit www.ato.gov.au or phone 13 72 26 tools, resources and support to use less energy and water, create less waste and save money. The Australian Government’s Enterprise Connect offices provide a range of services and grants to business. These include: Grow Me the Money has been designed around the needs of small-to-medium business, but the program is open to • Free Business Review conducted by skilled industry all Victorian businesses interested in reducing resource business advisers. These reviews will help businesses better consumption and improving environmental sustainability. understand their business strengths and weaknesses and provide them with strategies to achieve their goals. Contact (03) 8662 5480 or visit www.growmethemoney.com.au • Tailored Advisory Services (TAS) grants can help businesses The Australian Tax Office offers FREE assistance visits to small follow through on the recommendations of a Business Review. businesses. These visits are covered by the Commissioner’s TAS grants reimburse half the cost up to a maximum of guarantee, are educational in nature, and the information shared is $20,000 (excluding GST) to engage a consultant/s to make confidential and will not be used for any other purpose. The service those changes. can also be used to help set-up programs such as the Australian • A Researchers in Business (RIB) grant allows businesses Taxation Office’s (ATO’s) ‘Business Portal’ – a fast, convenient and to have a researcher from a university or public research secure way to lodge and view activity statements, request refunds agency within their business to help develop and implement and communicate on specific topics. new commercial ideas. RIB grants provide funding for up The Tax Office also has measures to help small businesses to 50 per cent of salary costs, to a maximum of $50,000, for struggling to manage their tax payment obligations. This each placement between two and 12 months. assistance can incorporate negotiated payment arrangements, www.enterpriseconnect.gov.au
  • 10. 10. Stakeholder June 2011 - September 2011 nEW tECHnoloGiES Local Food Manufacturer Pops into innovation event T he City of Greater Dandenong is part of the collaborative South East Melbourne Innovation Precinct Flagship present on the development of BARLEYMax™ a new super grain. Steven Strong from Dandenong South (SEMIP) project – a unique partnership food manufacturer, Popina Foods then between the Victorian Government, presented on how Popina secured the CSIRO, Monash University, Australian rights to commercialise the grain, and Synchrotron, Small Technologies market it through a series of products Cluster, and Greater Dandenong, Kingston, Knox and Monash councils readily available on supermarket shelves. working in consultation with industry. Andrew Scully from CSIRO’s Future SEMIP has three key themes: Manufacturing Flagship gave an overview of the CSIRO’s progress on developing CONNECT businesses and researchers effective flexible electronics into ACCELERATE development of new packaging, which could revolutionise the innovative businesses packaging industry. EXCITE by creating places to learn, work, On 16 June SEMIP will be holding its first live and invest. Innovation Showcase, a full day event Consistent with those themes, SEMIP providing opportunities for innovative continues to host a series of innovation business people to interact with fellow The new Popina BARLEYMax™ range workshops aimed at encouraging innovators, local researchers and researchers and local businesses to government partners. Register now at gather and discover new opportunities for www.innovation2011.com.au or email collaboration and innovation. register@innovation2011.com.au The latest of these events was ‘Hungry for Innovation’ a food and packaging innovation workshop held in April. The event attracted food and packaging businesses from across the precinct to hear Tony Bird from CSIRO’s Food Futures Leading the way in new manufacturing T he Victorian Direct Manufacturing Centre (VDMTC) has been established in Melbourne by a Established with the support of the Victorian Government, the consortium includes 10 Victorian companies, products Also called 3D-printing or additive manufacturing, the technology can result in savings in labour, time, consortium led by CSIRO to help make Swinburne University of Technology, materials and energy-leading to less the state’s manufacturing industries more Deakin University and CSIRO as impact on the environment. Additionally, environmentally friendly, productive and research providers. the process allows parts to be produced globally competitive. The centre will strengthen engagement from difficult-to-fabricate materials such Direct manufacturing is a revolutionary between Victorian industries and as titanium, for advanced applications concept where components are research agencies, revitalise key in the aerospace, defence, mining, manufactured directly from powder, manufacturing sectors, create biomedical and automotive industries. ribbon or wire in a layered manner. new highly-skilled jobs and reduce Sound interesting? Visit www.business. Direct manufacturing will increase manufacturing’s environmental impact. vic.gov.au and search Victorian Direct flexibility and customer responsiveness – The technology is particularly suited to Manufacturing Centre or contact Dr and significantly reduce time to market, low-medium volume, higher value and Mahnaz Jahedi Director of the Centre at costs, energy consumption and waste. difficult-to-manufacture materials and Mahnaz.Jahedi@csiro.au
  • 11. Greater Dandenong’s business news June 2011 - September 2011 11. ConGrAtulAtionS nissan Casting turns over a new LeAF London Olympics A $21 million deal was secured by Nissan Casting in Dandenong to manufacture three components for Nissan’s new all- electric LEAF vehicle. Contract for STi Manufacturing, Exports and Trade Minister Richard Dalla-Riva announced the contract at the plant in March with Victorian State O ne of the first things Jill Long from Sports Technology International (STI) did when she started with the company respect and attention it deserves,” Jill said. Once STI had won the tender, Manager Jayne Facey and Nissan Australia extensive testing was carried out by was open a new project folder on a tender everyone involved including officials, CEO Dan Thompson. that wasn’t to be issued for five years. photographers, broadcasters and the “This contract, which was won against the That was back in 2005 when Dandenong STI/APTA team in London and Australia. odds of strong global competition, is a terrific South businesses, STI and its sister Large samples were air freighted to win for Nissan Casting Australia, for our company, Advanced Polymer Technology London with investigations looking at UV automotive components sector and for local Australasia (APTA) heard that London stability and playability with top hockey manufacturing,” he said. had won the right to host the 2012 players called in to play on it. The contract secures the jobs of more than Olympic Games. Testing of the vibrant blue and pink 100 workers at the Dandenong plant and will Before STI could tender for the supply and colours was undertaken for people in drive exports worth up to $160 million. construction of the Olympic hockey pitches the venue, such as umpires, players and The plant is currently being upgraded in it had to pre-qualify, which involved a the audience, and for broadcasting, preparation for the contract with production submission of several hundred pages. with filming under every possible light scheduled to start in mid 2012. By 2013 the From scores of submissions only four were condition including natural light, half-light plant is expected to be producing 22,000 invited to tender, including STI. and artificial light. components per month. Competing against leading European “While STI has its name on the tender, The Federal and State Government have and North American suppliers, STI was just as important is Advanced Polymer contributed to the investment through the awarded the tender in the latter half of Technology, which is the manufacturer Green Car Innovation Fund and the Victorian 2010, but it wasn’t until the end of March of Poligras. Government Business Assistance Grant. this year that it was officially announced. “Both companies work out of the same The LEAF vehicle, the world’s first zero- “LOCOG (London 2012 Organising facility and we have a very experienced emissions five-door family hatch, is already Committee) and FIH (International team on site including engineers, available in the United States, Japan and Hockey Federation) had a lot of planning designers, chemists, scientists, admin the United Kingdom and will be available in and testing to do before details could be people and tech people. We work as a Australia in mid-2012. announced,” Jill said. team and that’s what helps us win these www.nissan.com.au large and prestigious tenders.” In a dramatic departure from the traditional green hockey surface, the www.sti-sports.com colour of STI’s Poligras Olympia pitches for London 2012 Olympics will be the striking colour combination of blue pitch and pink surrounds. “The blue and pink combination was one of the suggested layouts by us, so it’s gratifying they settled on this colour combination.” It’s not STI’s first break with tradition. For the Sydney Olympics, the STI/APTA team pioneered an alternative colour pitch combination when it designed and manufactured a rust terracotta colour surrounds. And for the Beijing Olympics, STI/APTA produced red and gold surrounds to the pitches. “We respond to every tender with a fresh and clean approach; there’s no cutting and pasting from other tenders. We give it the
  • 12. 12. Stakeholder June 2011 - September 2011 SoutH EASt BuSinESS nEtWorKS (SEBn)... bringing people these pages feature stories from Council’s Business networking Department, South East Business networks (SEBn), together with the South East Melbourne Manufacturers’ Alliance (SEMMA inc) highlighting their work with industry and the diversity and innovation typical of the manufacturing sector in this region. 2011 networks Craig Spence takes a swing & Programs Regular network Groups: • General Manufacturing • Export • OH&S • South East Quality Network • Manufacturing ‘Xcellence’ • Women in Business Take a Swing for • ‘Manufacturing – Beyond 2010’ • Tomorrow’s Business Charity Golf Day Leaders Programs: T he 2nd City of Greater Dandenong – Industry ‘Take a Swing for Charity’ Greater Dandenong calendar. The Sandhurst course and the community that we encourage all to put MONDAY, 20 FEBRUARY 2012 in their once again provided a Golf Day held on 21 February challenge to the players, but diaries now and if anyone • 5S Visual Workplace would like to sponsor next at the Sandhurst Club professional Craig Spence • Lean Leadership Academy achieved its target $50,000 for was at hand for all to buy year’s event – contact Sandra Wallara Australia. ‘tips and tricks’ to help them George on 9238 1576 or email • Lean to Green Academy SEBN@cgd.vic.gov.au This phenomenal result for out. A great day was had by • ‘Generation Next’ all, with many commenting a local charity event was Leadership Forum on the great atmosphere of (partnership with Burke Corporate Advisory) made possible thanks to the incredible generosity of the day, certainly helped by Mayor Roz Blades inviting Meet the Buyer Series the business community – Wallara client Andrew to help • CEO MasterMind Group especially the major sponsors, read her welcome speech! (partnership with KPJ Group (Gold); Grenda CEO Institute) Corporation (Silver); the ARM Group and Norden Conversion The day concluded with a dinner and auction which raised in excess of $11,000 with SEMMA’sof theMeetto raise 2011 series is designed awareness the Buyer procurement For information on these and (Bronze). Kia Dandenong provided the Hole-in-One auctioneer John Shore’s talents practices and capability other SEBN activities, phone raising $400 for ‘nothing’ from requirements of some of our opportunity. Many other Manager Sandra George on one local company! local manufacturing icons businesses supplied goods 9238 1576 or email and educate members on and services to make the day a A great ‘team’ event between sgeorg@cgd.vic.gov.au very special event in the City of CGD, industry, Wallara the processes and policies required to conduct business with them. Focus on Export seminar. With the Australian Companies including Siemens, dollar hitting a record high Bolwell, Jayco, Volgren and against the US dollar in recent Toyota have presented at months, Victorian exporters these forums – all identifying S outh East Business Networks (SEBN) is continuing its focus on export, international customers. Danny Burrows from TradeWorthy Consulting - particularly those in the manufacturing sector - are potential opportunities and the series also enables commercial seeing their profit margins opportunities between partnering on a number of provided participants with members to be identified. decline. The seminar covered occasions in 2011 with the information on the steps More than 80 members key economic factors driving Department of Business & required to comply with an FTA our currency; what foreign attended the March forum Innovation to deliver a series and how to use this information exchange risk means for with Bombardier which that is both relevant and topical to negotiate improved margins exporters, and practical highlighted the global nature for local exporters. with their customer base. management strategies for of local procurement and the The first seminar in April Companies wanting to know exporters to protect against opportunities that many local focused on Free Trade more about FTAs can find foreign exchange losses. manufacturers may have as Agreements (FTA) and how further information at www. Another seminar on this topic is global suppliers. Victorian companies can export.business.vic.gov.au being planned so keep The next forum is scheduled for actively use an FTA to drive Managing Currency was an eye out for details on the August and open to SEMMA export growth with their the key issue at the following next event. members only.
  • 13. Greater Dandenong’s business news June 2011 - September 2011 13. together to strengthen manufacturing knowledge and capability Preparing tomorrow’s business leaders. Where is your company at? Article by Michael Burke It is becoming an all too common occurrence. your time in three years time. Is it travelling, playing lots of golf, more time with sure it is heading a team of people that will challenge them. In the early days they may front of others. In fact, build them up in front of others, as long as it is not false. You Picture this - business the grandchildren, monthly be vulnerable as a potential also need to accept that the owners heading towards lunch with the mates and so leader and more likely to make successor is not you, and nor their 60s at a rapid rate and on. Maybe you want to be mistakes so the first point is to will they ever be. Accept the desperately wanting more working on some high-level make sure they have mentoring differences and move on. work-life balance, but actually business opportunities two built into their training program. working longer hours. With People start to become great days per week to help the The mentor should ideally be question marks over potential business. Whatever you want someone who has been through leaders when they start to internal successors and no to do, if you can identify how a similar experience and seen build confidence in their documented plan in place to ability to deal with any issues address the situation. Sound Michael Burke and the “Generation Next” group. that come their way. The familiar? If so, read on. This mentoring program is now accepting new early stage of succession is participants. Contact Sandra George. about building confidence. Five years ago everyone was talking about succession Write down a plan planning and the need for it. Your next steps from this Not many of us took it seriously. article should be to: Then the GFC came along and distracted us. As we emerge • write down the things that into the next phase of growth you need to do over the next (at least according to most 30 days to start planning economists and the OECD), to “hand over the baton” handing over the business – make sure you put dates to someone else has now against these actions become a harsh urgent reality • jot down the name of two or for many. Succession is back three potential successors in on the agenda but is now an the business urgent issue. • write down your plan B if The key question is, “Is your your preferred successor business ready to hand over doesn’t work out. the baton?” There are three you will spend your time this the lessons and mistakes of key things you need to do. should give you a goal to start succession with their own eyes. Michael Burke is a Business wanting to ease out of the Improvement Specialist Get yourself ready Secondly, organise a and accredited facilitator of business. Unless you want to training program that covers When the penny drops that ease out of the business, then the consulting and senior you will need to exit your leadership skills, general management network, chances are you won’t! commercial training and business smoothly, the biggest Mindshop. He also leads the Identify and skill-up successors people skills. Get them to mix South East Business Networks barrier to your exit will be you. You need to think about and network with other young Generation Next program. For This business has been yours. leaders who are at a similar more details contact Michael potential successors. Get your For many business owners stage of development. via email at mburke@bcag. potential successor leading a they were there at the start. It net.au or at www.bcag.net.au small part of the business, to Make sure you back your is hard to let go. or Sandra George at South get them understanding the potential successor every The starting point is to look at role of a leader. Maybe it is a time. Don’t talk behind their East Business Networks on how you want to be spending pilot project. If you can, make backs; don’t chastise them in sgeorg@cgd.vic.gov.au. National Youth Services Week C GD Youth Services and SEBN teamed up to run a Youth Mentoring Breakfast as Two young business leaders - Daniel Flynn (Thankyou Water) and Tirren Staaf part of National Youth Week. (Obese Records) spoke about Mayor Roz Blades welcomed their business experiences, 45 local secondary school inspiring the young leaders students who engaged with of tomorrow to ‘have a go’! A more than 50 local business great time was enjoyed by all, mentors volunteering their time with additional mentoring and to enjoy a conversation with work experience offered and students on career choices plenty of new schools-industry and workforce expectations. initiatives being discussed.
  • 14. 14. Stakeholder June 2011 - September 2011 inDuStry & inVEStMEnt A Super New Store A mong other significant investments in the local retail market, Australia’s largest discount furniture and bedding retailer, Super A-Mart has announced that it is coming to Dandenong. The company has almost 30 across five states, and has now signed a 12-year lease for an 8000 square metre facility at 132- 140 Smart Location for Frankston Dandenong Road, the former home of Mercury Marine which is moving to VicUrban’s Community Kitchen Gardens Logis Industrial Estate in nearby Greens Road. CB Richard Ellis Senior Manager T he GPT Group’s Parkmore Shopping Centre has introduced an innovative approach to teach children where their Growers Workshops held during school holidays. Chris Parry and Cameron Industrial Commercial Director, Ben Cooper negotiated the lease. “These workshops include seasonal food comes from. cooking demonstrations, hands-on pot “This lease was one of the largest The Centre has created two kitchen decorating and potting a plant, which single bulk goods deals to be gardens filled with more than 100 children can then take home. completed in the Victorian market seasonal herb and vegetable plants that “Our future marketing is themed for some time,” said Mr Parry. can also be harvested by shoppers to use around fresh food. Rather than children “Despite the challenging at home. thinking that oranges are grown on the market conditions, retailers are A large rooftop garden (12 crates) supermarket fruit tree, they can learn committing to longer leases in and a smaller interior garden in the what the process is and how enjoyable the Victorian bulk goods sector, fresh food hall (5 crates) are part of fresh food is to eat.” underpinned by population growth GPT’s partnership with the Stephanie and forecast growth in household Parkmore’s rooftop garden has been expenditure,” he added. Alexander Kitchen Garden Foundation designed as a community kitchen and its social investment program garden with free membership where According to Mr Cooper the aimed at enhancing the well-being of the members look after their garden, sow State Government’s $290 million communities in which GPT operates. new crops and harvest crops according revitalisation of Dandenong is to the season. A monthly workshop with renewing investor and tenant As part of its partnership, GPT has confidence in the area. This introduced The Magic of Growth Program, a guest presenter and a newsletter featuring a recipe from Stephanie lease closely follows two significant which includes events designed to help property sales in the main street of promote the Foundation’s principles of Alexander are included. Dandenong for more than $2 million. pleasurable food education and positively Community and school groups are invited influence children’s food choices. to visit and tend the garden at any time. The Super A-Mart Homemaker Centre will employ about 35 Joel Bridgwood, Parkmore’s Marketing magicofgrowth.gpt.com.au people when it opens later this Manager, said the Magic of Growth parkmoreshopping.com.au year and will be its third Victorian program of activities includes the Little kitchengardenfoundation.org.au store. Fulfilling local dreams Investment in Greater Dandenong has not been limited to the industrial, commercial and retail markets, with another new building about to crop up at Chisholm TAFE’s Dandenong site. The DREAM project, a new $9.5 million trade training centre, has been enabled by a consortium of five located facility with state-of-the-art construction, plumbing, engineering secondary schools in the Dandenong equipment, providing students a fast- studies and hairdressing. area, and funded through a Federal track into a wide range of careers. By working in partnership with the Government initiative. Due to launch late this year, the two- local schools Chisholm is continuing to The centre will give students of all five storey centre will offer trade training be a catalyst for career pathways for schools access to a single, centrally programs including building and people in this region.
  • 15. Greater Dandenong’s business news June 2011 - September 2011 15. inVEStMEnt Rollforming Sets up Own Home A ustralian Rollforming has left ‘home’ and bought new premises in Gaine Road, Dandenong South. “However, now that Bombardier has won contracts to make Melbourne’s new trams, they need the space back, so we’ve been projects. Each year more than 270,000 metres of metal are rollformed, shaped, drilled, punched and cut with precision thrown out of home!,’’ he laughed. accuracy for each millimetre. When the company was established in 2001, its main customer was Bombardier Australian Rollforming is widely regarded “We are still a major supplier to Bombardier from whom it leased factory space. as Australia’s leading special sections and our new, larger premises will better metal rollforming company with more than position us to serve an increasingly diverse “Back then it was very convenient,” customer base,” Henry said. said Henry Wolfkamp, Australian 1300 different products on its books. Rollforming’s Managing Director. “We It provides a world-class metal design, The company has made a $5 million took over the factory that was used to rollforming, fabrication and project investment in Greater Dandenong through make Melbourne’s W-class green and management service to a wide range of its new property purchase and fitout. yellow trams. national and international engineering www.ausrollform.com.au Top Ten Law Firm Investment O ne of Australia’s top 10 law firms has opened an office in Dandenong. The new Gadens Dandenong Team In March this year Gadens lawyers, which has been providing services to Victorians since 1845, commenced business with a full complement of professional and support staff. The office will soon have five partners, two senior associates and a three- person support team operating from its Robinson Street office. Some of the partners studied and undertook their articles in Greater Dandenong. Patrick Walsh, Chairman of Gadens Melbourne, said establishing in Dandenong was a strategic decision and one that was supported by the State Government’s identification of Dandenong as a growth area and its $290 million revitalisation investment. David Stevens, General Manager of In addition to corporate services, “The businesses we have met are Gadens Dandenong said, “We view Gadens Dandenong provides inspirational, particularly those at the Greater Dandenong as a major hub of private client legal services Premier Regional Business Awards. It Victoria’s manufacturing industry, which including family law, wills and reinforces our decision to invest here and makes a very important contribution to estates, and property law. further service our Victorian client base.” the state’s economy”. www.gadensdandenong.com.au