2. Healthcare | Business World Australia | 3To reach our editorial staff with questions or comments please write to: email@example.comWelcome to the Healthcare Feature Book!This Feature Book will help you, our informed readers or prospective advertising/featured clients,gain perspective on the different types of companies we’ve written about in the past, and whichcompanies have placed strategic adverts in our publication as a means of appealing to our 70,000+readers across the nation.Our Healthcare readers span from all corners of the country, and stem from key coverage mar-kets such as:• Biotechnology and Pharmaceuticals• Medical Device/Supplies/Equipment Manufacturers and Distributors• Private Hospitals• Aged Care Facility Operators• Retirement Village Operators• Peak Industry Bodies including Government Agencies, Industry/Trade Associations andProfessional Associations/MembershipsThis Feature Book will also provide our prospective advertising clients and featured guests an ideaof our design capabilities, editorial competency, and the various advert sizes available.We hope that you take away the information you need from this material; in order to make asound business decision of working with Business World Australia.Sincerely,Raza MalikPublisher & Head of Editorial ContentBusiness World Magazine Pty LtdLevel 12, 280 George StreetSydney NSW 2000
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4. Healthcare | Business World Australia | 5Business World Magazine Pty LtdLevel 12, 280 George StreetSydney, NSW 2000Phone: (02) 8003-6915Fax: (02) 8252-0812Email: firstname.lastname@example.orgABN: 87 146 751 528ACN: 146 751 528Publisher & Head ofEditorial ContentRaza Malik email@example.comResearch DirectorsSanjeev Amirsamir@bwam.com.auWaqas Khokharwaqas@bwam.com.auJody Andruszkiewiczjody@bwam.com.auAli Siddiquiali@bwam.com.auCreative Art DirectorRick Sandhu firstname.lastname@example.orgEditor-in-ChiefAdam Zarboniazarboni@bwam.com.auAssociate EditorSafa Maliksmalik@bwam.com.auManaging DirectorTaz Maliktmalik@bwam.com.auWith over 70,000 senior executivereaders, Business World Australiais proud to offer an attractive plat-form to share your message with thepeople that matter most - your cus-tomers. Whether your objective is topromote a new product, to attract fi-nancial investment or to build brandrecognition, we stand ready to help.To find out more about being featuredin BWA, please contact our Pub-lisher & Head of Editorial Content,Raza Malik atPh: (02) 8003-6915 or viaEmail at email@example.com
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6. Healthcare | Business World Australia | 7HowardWrightisoneofthoserarethings:Ana-tive New Zealand business that started almostorganically, and one that keeps on growing.Howard Wright started his business in the early1950s in the basement of his house manufac-turing hand wrought iron parts and structures. Hewas asked by a nurse who knew of his engineering andmechanical reputation to see if he could manufacturea more accessible modern hospital bed. She had seensome modern designs while travelling overseas andknew that New Zealand would truly benefit from themodern design ideas that they had implemented intheir mechanical hospital beds. Howard was not oneto shirk from a challenge and he enthusiastically tookon the project. In his research he found that not onlycould he build a bed similar to the ones found overseas,he could markedly improve upon the design and func-tion of the beds.Upon completing his first project, Howard Wright’sdesigns and technical skill began to gain notabilitythroughout the New Zealand medical community. De-mand for his beds grew at such a rate that Mr. Wrightwas forced to abandon his basement business, and in-corporated his operations as Howard Wright Limited;
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8. Healthcare | Business World Australia | 9opening his first dedicated bedmanufacturing factory in 1963.By 1970, Howard Wright Lim-ited was manufacturing almostall of the new hospital beds thatwere in use in New Zealand.However, in 1976 came thebreakthrough that would per-manently cement his companyand its designs internationally.The M4 bed, using the latest inhydraulic technology made themedical bed the easiest, mostmulti-purpose bed in the in-dustry, a design philosophy thatHoward Wright Limited stilluses today. The beds now usethe latest technology available,and moved from hydraulic pow-ered parts to become completelyelectric. This allows for them tobe run off batteries, be less bulkyand over all easier to integrateinto a healthcare environment.The simple recipefor success“A big contribution to our suc-cess is that we try to understandour users and their experiences.What we learn through this pro-cess we impart into the prod-ucts as we develop them,” saysHoward Wright’s CEO, BruceMoller. Moller began workingfor the company in 1991 as theGeneral Manager. In 1997, hebecame the CEO and has main-tained that role ever since.“It’s a simple concept and a pro-cess we really enjoy and with theawards we have gotten in the lastfew years has shown that it isworking very well.” The currentversion of the M8 medical bedhas won several design awards,at home and abroad.Thisisreallynosurprise.TheM8serves a multitude of purposes,and thus reduces hospitals needto purchase more than one bedor transportation system. Withonboard configuration controlsand a backup battery, the M8reduces physical strain on bothpatients and their caretakers.“This is important,” says Moller,“somethingassimpleasreducingthe amount of times a caregiverhas to bend over and lift some-thing reduces the amount of on-the-job injuries, which equalsless down time.” When asked
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11. 12 | Business World Australia | Healthcarethat since the beds they designserve a multitude of functionsand reduce injuries to staff, didthis mean that the bed, after theinitial purchase, eventually paysfor itself?“Oh yes,” replied Moller, “Notjust once but many times over.”The evolution ofdesign: Simple,Smart, and HumanThe M series of beds has evolvedover the years, continually tak-ing advantage of technologicaladvances and design innova-tions from the Howard Wrightdesign team. Howard Wright’sM8 critical care bed has won thetop award at the Australian In-ternational Design Awards, theinternationaliFdesignaward,anaward from the German basedRed Dot awards, and an awardfrom the Designers Institute ofNew Zealand in the Best DesignAwards. “Howard was an inno-vative person, and that spirit hasbeen infused into the companyculture which continues to thisday,” says Moller.About the awards they havebeen recognized for, Moller isextremely grateful. “We knowthat we are a small company, butwe are pretty focused, and obvi-ously we must be getting the mixright.”Part of this spirit of innovationand design was realized whenthe company took a look at it-self and decided that it neededto upgrade some aspects of itsdesign process. “Six years agowe got involved with the NewZealand Government’s ‘BetterBy Design’ program, and thatprogram was about integratingdesign into our processes. At thetime we had very good engineer-ing capabilities, but by bring-ing in industrial design into themix, it has really increased our
12. Healthcare | Business World Australia | 13are proud to be preffered suppliers toHoward Wright“from concept to reality”manufacturers ofthe tow and farm rangewww.towandfarm.com- concept- research- design- prototype- manufacture- test- commercialise- realitytow and collectmanure collector and pasture cleanertow and mowQuad bike (ATV) Toppers / SlashersMetalform (Dannevirke) Ltd, Easton Street, Dannevirke, New Zealand0064 6 374 7043 | firstname.lastname@example.org | www.metalform.co.nz
13. 14 | Business World Australia | HealthcareLift Assist™ Backrest uses a drop-seat designwhich uses the patient’s weight to help raise thehead of the bed while cradling the patient tohelp reduce boosting.Stryker Prime™SeriesMobile. Safe. Efficient.Extraordinarily mobile and user-friendly, the Stryker Prime Series stretchers aredesigned to greatly reduce the physical strain on clinicians while enhancing patientcare and comfort. Advanced mobility options such as the Zoom Motorized DriveSystem or Big Wheel make transporting heavy patients easy, while electric function-ality allows patients to adjust their own position without calling a caregiver forassistance. Fully equipped and highly configurable, the Stryker Prime Series allowsyou to create the ideal solution to meet your specific needs.Electric functionality, including exclusiveChaperone® Stretcher Exit System, gives controlto the patient while helping reduce the riskof patient falls.Zoom Motorized Drive System on theStryker Prime stretcher virtually eliminatesmanual pushing.The Big Wheel can reduce start-up forceup to 50 percent and steering effort up to60 percent.MedicalAdvanced mobility, with optionalBig Wheel®or Zoom®Motorized DriveSystem, helps make transportsafe and efficientNEW electric-powered baseand litter option available on allmobility solutionsIndustry’s first stretcher exitsystem, alerts the nurse to apotential patient fallOptional integrated scalesystem provides accurate,repeatable weighingsPioneer®mattress offerssuperior pressure redistributionand comfortPower-washable design with700 lb capacity
14. Healthcare | Business World Australia | 15designs’ innovative momentum.We have been on this journeyfor 6 years now, and it has reallyhelped the business project itselfnationally and internationally.”Some of the earliest researchthey conducted on design flowgave the company the guidingprinciple behind all of its cre-ations: Simple, Smart, and Hu-man. What this means, explainsMoller, is that customers want-ed “products that were very easyto use, elegant and take into ac-count human factors such as er-gonomics. They didn’t have timefor extensive training on a prod-uct. It has got to be intuitive.That’s our key to addressing thisand everything we design has topass that filter.”A catalogue ofsuccessSome of this success can be seenby how Moller and HowardWright have approached sellingthe products. “The main thingwe aim to do is just to get peopleto try our products. Once theydo, they always seem to find theexperience enjoyable. It’s a bitlike using an iPod, people reallylike using them because they aresimple and nice to use. That’s theexperience that we want our us-erstohave.Gettingpeopletouseour products through an evalu-ation process has been the bestway gain success in this market.”“We really focus on the Austral-asia market, outside of that thereis one product that has donevery well in Japan, Europe andNorth America. It’s our special-ised product for showering andbathing people,” this is calledthe Pacific Shower Bathing Trol-ley. “It’s quite unique in its de-sign, and with its success we arelooking to expand our range ofglobal niche products.”“One of the things we aim for iscreating something that is userfriendly, with the M8 and theBathing Trolley we have foundgreat success in developingsomething that is technologi-cally advanced, but has almostno learning curve. Caregiverscan literally take one look at theproducts and intuitively knowhow to operate them, to me this
15. 16 | Business World Australia | Healthcareis a great success,” says Moller.With the aging population,says Moller, Howard Wrighthas found a few particular-ly important issues that theyhave addressed like no one elsehas. “We are getting more andmore people who are in need ofhealthcare. Their fragility is alsoincreasing. Along with this youhave to consider that the aver-age age of the work force is alsoincreasing, as are the weightsof the patients. You have olderstaff moving heavier patients, orpatients with greater frailness.That creates extra pressure, so ifyou can reduce the amount ofbed transfers, while maintain-ing patient comfort and wellbe-ing which is making patient careeasier. That’s what we define asour business: Making humancare easier. When we do this weare finding people are recoveringmore quickly.” The quicker therecovery, he says, the more bangfor the buck healthcare institu-tions get.Using the M8 as an example,Moller describes only some ofits functions. “You can X-raythe patient on the bed, you canuse an image intensifier on thebed – you don’t have to transferthe patients. The bed also willgo into a full cardiac chair po-sition, and it’s also very easy touse with very little training ofstaff required. That in itself is ahuge savings for hospitals. Allof those things save money, andwe are working on all those ele-ments all the time.”“We realize that the healthcaredollar has come under pressure,so anything that healthcare sup-plierslikeuscandotoeasethat-itis something we do,” he reiteratestheir motto of Simple, Smart andHuman¸ saying that “we want tominimize the amount of timescaregivers have to shift a patient,because that’s time and money.”For the near future, Moller andHoward Wright have plans tocontinue to grow in their homemarkets, and making more spe-cialized products for the restof the world. In five years, saysMoller they have the goal to beat least twice their operating size.“The need for healthcare devicesis not going to disappear, it isnot a discretionary spend,” saysMoller with confidence.
16. Healthcare | Business World Australia | 17Howard wrigHt’sPartNEr iNiNNoVatioNWhangarei • Albany • Penrose • EastTamakiAvondale • Hamilton • Mt Maunganui • NapierNew Plymouth • Palmerston North • WellingtonChristchurch •Timaru • DunedinPh: NZ 0800 304 316www.edlfast.co.nz
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18. Healthcare | Business World Australia | 19“The company’s genesis was the development of a prod-uct that met the specific need of reducing entrapmentinjuriesinlongtermcarepatients,”saysTonyChristmas,CEO of The LiftCare Bed Company. “Conventionalhospital and aged care beds have rails that contain thepatient in the bed. These are necessary to ensure thesafety of the patients but are also the cause of many inju-ries. Many patients, especially elderly patients, becomedisorientated and agitated at night,” says Christmas.“They try to get out of their bed increasing significantlytheir risk of injury. Back in the early 1980s, a Directorof Nursing at one of Melbourne’s nursing homes experi-mented with floor level beds,” he says that this was thegermination of the seed that became LiftCare.A little bit of history“I like to believe that LiftCare is an Australian successstory that not a lot of people know about,” says Christ-mas. “Back in 1983, the Director of Nursing at StAnne’s Nursing Home in Hawthorn, Victoria, SisterElaine Barclay-Abbott, became very concerned aboutthe way confused and elderly patients were restrainedin their beds – especially at night,” he relates. Some pa-tients would try to get out of their high hospital beds atnight and injure themselves. Sr. Barclay-Abbott experi-enced the concerns that LiftCare now addresses with itsproducts.
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20. Healthcare | Business World Australia | 21“One of the patients at Haw-thorn was seen as particularlyproblematic, often throwingthemselves around in the bed atnight. Worrying for the safetyof their patient, the Sister andher colleagues removed the legsfrom the patient’s bed, with thehope that this would change thepatients sleeping habits,” saysChristmas. What they noticedwas the patient was much morecompliant and suffered fewerissues and injuries. Other bedswere modified with similar re-sults and with whole- heartedenthusiasm from the patient’srelatives and doctors. The disad-vantage of these modificationswas the nurses could not get tothe patient as easily. Height ad-justable beds were available onthe market at the time, but noneof the offerings went down tofloor level.“The Sister was introduced toGeorge Winston, the founder ofTechnical Aid for the Disabled(TAD),” says Christmas. TADwas a not-for-profit organisa-tion which lent their expertiseto the disabled in the hopes ofimproving their overall qualityof life. TAD looked at the prob-lem and began to design, whileconcurrently conducting mar-ket research on the feasibility ofa floor-level bed and its applica-tions. “They came to the conclu-sion that there was a need fora bed that allowed a patient tosleep close to the floor at night,but could be raised to a heightduring the day to allow nursingstaff to attend to the patient.”They later were able to success-fully obtain a grant and begandeveloping the first floor levelbed. They then applied for a pat-ent that made sure the idea wassecure.TAD was a design house only,so they had to find a companyqualified to manufacture thebed. “No manufacturers any-where in the world were build-ing floor level beds at the time.So many of the companies thatwere approached said that it wasnot within their capability,” saysChristmas. The one companythat was able to build the work-ing prototype suffered financial-ly and went into receivership.
21. 22 | Business World Australia | Healthcare
22. Healthcare | Business World Australia | 23• • • • •• • • • • • • • • • • 
23. 24 | Business World Australia | HealthcareBarry McCrimon and AllenClarke, two gentlemen that sawthe advantage of the design,were intrigued by the idea andwere able to continue to workon the floor-level bed after buy-ing the design from the originalcompany. In 1994 they formeda company called Gerontic andGeneral Products and producedthe first floor-level bed in 1995.After that they were able to de-velop the idea even further, andin 1997 they launched the MarkIII bed.The company began trading asThe LiftCare Bed Company andwas acquired by Barton Medicalin 2005, and eventually HumanCare in 2008. By 2009 LiftCarewas selling their products allover the world including NewZealand, Canada, the US, Eu-rope and the Middle East.Speciality needs,speciality careSince their humble beginningsLiftCare has gone further thanoffering a single product for asingle niche need, by expand-ing their offerings to meet theneeds of several specialised mar-kets. LiftCare now sells a rangeof floor level beds, patient lifters,ceiling hoists and aids for dailyliving products to help improvethe lives of people in care. Thecompany is also helping Bariat-ric patients and now markets theBarton Bariatric Bed and BartonBariatric Chair in their range.As an addition to Aged Care,the Protean 4 was developedspecifically to break into thehospital market taking the con-cept of floor level nursing to abroader market... This markedan exciting new market for Lift-Care, and it has already provento be very successful. “The Pro-tean 4 is a floor level bed thatcan be used as a general hospi-tal bed. WA Public Hospitals,the Royal Melbourne Hospital,and a number of other hospitalsin Australia and the world havebeen buying the Protean 4s,”says Christmas. A new versionof the bed, called the P 5 Premi-um, was released this Februaryand looks to pick up on the suc-cessful road that the P4 has pre-pared. LiftCare’s P5 PremiumHospital Bed is a complete caremanagement system.“I believe this is something weshould be very proud of,” Christ-
24. Healthcare | Business World Australia | 25mas told his team recently. “Wehave people all over the worldbeing cared for on our beds.It’s not just happening in Mel-bourne or Victoria, it is happen-ing globally. We recently sold alarge number beds into Canada,and then right after the initialsale we won a contract in Can-ada for our P5 Premium Hospi-tal Bed. In January, our WA dis-tributor purchased their 1000thbed.”Christmas believes that everyhospital and aged care facilityshould know at least some of thehistory of LiftCare and the con-tribution that the company hasmade to patient care. He wouldlike the opportunity to showeach facility the LiftCare rangeof products and let them see forthemselves the ease-of-use andthe design of their products. An-other initiative that Christmas isperusing is educating the health-care industry on what exactly afloor level bed can do for boththeir patients and their staff. “Itdoesn’t just protect the patientfrom injury, it is a whole nursingsystem,” he says.The ease of use of their prod-ucts, and little touches- like un-der bed lighting, available onthe new P5 Premium hospitalbed, has made the beds a hitwith many healthcare workers.Christmas says that LiftCare isalways looking at ways to de-velop and introduce new andinnovative products to im-prove patient outcomes andthe working conditions ofour customers. “Austra-lia started the concept offloor-level nursing, we de-veloped it, and LiftCare- through its gen-esis – was thefirst com-pany in themarket andwe are oneof the lead-ers today.We willstay in thism a r k e tand con-tinue todevelopin thismarket,” says Christmas. “Anycustomer who buys one of ourproducts is buying our heritageand our experience. They arealso getting with that the peaceof mind that we at LiftCare aregoing to continue to innovateand develop new products tosuit their specific needs.”
25. 26 | Business World Australia | HealthcareEllex Medical Lasers Limitedis one of the most innova-tive companies that Australiahas ever seen. Laser technologyhas moved a long way, and Ellexhas been there since almost thebeginning. First established in1985 as a division of QuentronOptics, Ellex has grown intoa world player of its own. Op-erating for over 25 years Ellexmanufactures and sells its owncomplete line of photodisrup-tors, photocoagulators, SLT sys-tems and ultrasound systems fordiagnosing and treating cataract,retina and glaucoma conditions.Much of the technology that El-lexusesisbasedondevelopmentsin the defense field; and by locat-ing their operations in Adelaidethey have been able to take “ad-vantage of the state’s reputationas a ‘defense technology hotspot’to develop our products,” says Si-mon Luscombe, Ellex’s CEO.Ellex became a publicly-listedcompany in 2001 and has spentthe past few years concentratingon developing their offerings.“We had a fairly big 25th yearcampaign that focused on allour operations here and aroundthe world. We have a number ofsubsidiaries around the world inplaces like Japan, US, Germanyand Europe,” he says. Their man-ufacturing site is in Australia,but they also have a separate in-
26. Healthcare | Business World Australia | 27ternational sales and marketingoffice located here as well.“We were very early on thescene,” says Luscombe, “we be-gan manufacturing out of thedefense industry, so bits of ourtechnology come from defense.That’s where it all started.” Lus-combe says that Ellex was anearly adopter of ophthalmic lasertechnology, and was one of thefirst companies to start manu-facturing lasers in the mid-1980sfor medical use.With over 120 employees in theAdelaide facility; the Companyalso operates a machine shopwhich produces components foruse in the manufacture of Ellexproducts, as well as for sale tonon-Ellex customers. Operat-ing in markets worldwide, Ellexprides itself in providing the bestand most innovative machinesfor laser eye surgery. In 2006Ellex moved into the ophthal-mic diagnostic arena with theacquisition of US-based Inno-vative Imaging which providedthem the opportunity to furtherexpand their international pres-ence in the ophthalmic diagnos-tics market.One of their greatest successeshas come from a surprising place.Germany has traditionally been
27. 28 | Business World Australia | Healthcareserviced by Zeiss, but Luscombesaysthattheyhavebeendoingre-markably well there. “We are do-ing remarkably well in Germanyand beating Zeiss at their owngame. I think this says some-thing about Australian technol-ogy,” comments Luscombe.With lasers designed for spe-cific purposes, Ellex has createda catalogue of vision solutions.Luscombe says that one of theimportant things that they aredoing is developing treatmentsand machines that will actuallyprevent blindness in adults. Thiscomes in the form of the new
28. Healthcare | Business World Australia | 29generation laser that Luscombesays “doesn’t damage anything,but acts on the retina to rejuve-nate its function. It makes surethat the disease process cannotprogress.” This is the Ellex 2RT(Ellex Retinal RegenerationTherapy); and is a new therapyfor the treatment of Age-RelatedMacular Degeneration (AMD),the leading cause of blindness inthe developed world.In all Ellex has devoted itself tohelp us all see better and lon-ger, and continues to developits product range with the hopethat one day we can all see asclearly as possible.ProductsPhotodisruptionUsed to treat secondary cataracts,and Ellex is the #1 provider of thesein the world. They supply over halfthe market with their Ultra Q™ andSuper Q® models.PhotocoagulationUsed to treat vision loss related todiabetes. This product line includesthe Integre Duo™, Integre® and Soli-taire™.SLT PhotoregenerationUsed in treating glaucoma by trig-gering the body’s natural regenera-tion process. Product line includesthe Tango™ and Solo™ SLT. SLTdoes not harm the eye and has noside effects, which allows earliertreatment.ImagingThe Ellex Eye Cubed™ allows forOphthalmologists to see detailedanatomic structures in both the an-terior and posterior segments of theeye.
29. 30 | Business World Australia | Healthcare
30. Healthcare | Business World Australia | 31The Retirement Village Association of Australia is thenational body that represents national retirement vil-lage developers, owners, operators, managers and industryspecialists. With over 750 members, it has seen a steadyincrease in membership at a rate of 20 per cent in the pasttwo years.Emerging communities“Retirement villages began to appear 1970’s and 80s”,says Andrew Giles, CEO of the RVA. “A retirement vil-lage essentially can be defined as a housing developmentdesigned specifically to cater to the needs and lifestyles ofpeople aged 65 and over,” he says.“Most residents of these villages enter into them in their70s as part of a move to downsize, decrease maintenanceresponsibilities, experience a greater sense of safety and se-curity, or for health and lifestyle reasons,” says Mr Giles,adding that “not only has this lifestyle shift been of ben-efit to residents, but it has also freed up residential hous-ing for younger families, stimulated the local economy andreduced the pressure on aged care, and medical infrastruc-ture.”According to Mr Giles one of the great successes of theindustry is that it reduces demand on local services for se-niors but remains a unique and innovative model with anemphasis on lifestyle.In Australia today the industry represents over 1,850 vil-lages and communities that are supported by both the pri-vate sector and non-profit organisations. These communi-ties house and support more than 160,000 people over theage of 65 who report very high levels of satisfaction withtheir experiences in a village.
31. 32 | Business World Australia | HealthcareAndrew Giles (Chief Executive Officer)Andrew brings with him first-hand knowledge of the retire-ment village industry through his previous roles.Andrew began his career in a consulting firm mainly workingwith local government in planning community infrastructure.He also worked in local government before starting a consult-ing practice, which operated for over six years.In2004hejoinedMacroPlanAustralia,oneofAustralia’slead-ing economics and town planning consultancies, ultimately asthe Victorian State Director. During that time he worked onsome of Australia’s most significant property projects includingdemographic and socio economic profiling of Australia’s ageingpopulationThe stronger the RVA becomesby adding to its membership,the more easily it can representthe industry with a united voice.This has become more impor-tant in the past 10 years becauseAustralia is becoming a moreregulated and legislated environ-ment.Thistransitionhasnothappenedover night, and the resultingstate legislative environments,first designed to protect clientsof retirement villages can, if notcarefully implemented, nega-tively impact the viability of theindustry as a whole. This in turnmay limit future investment inhousing for older people in Aus-tralia. “The industry is highlyregulated, which brings with itgreat security for residents, butoften higher costs for develop-ers,” says Mr Giles.Mr Giles stresses this, sayingthat “returns in the sector areoften lower than other tradi-tional forms of property, andthese returns are achieved overlonger timeframes. As such, anysignificant change to legislationcan have significant cascadingimpacts to the industry. This isoccurring at a time the Govern-ment is committed to cuttingred tape and exploring harmoni-sation across states. For thisreason, a strong industry asso-ciation that can work with andinform Government is critical.This is a fundamental role forthe RVA to show leadership forthe industry.”
32. Healthcare | Business World Australia | 33The returns may not be immedi-ately recognisable, but what canbe said is that through support-ing retirement villages and carefacilities there is quite a positiveeffect on the economy. “The sec-tor is a major contributor to thenational economy and as theindustry grows it will becomemore economically significant,”he says.“The construction and mainte-nance expenditure for the indus-try alone means there is morethan $18 billion of direct andindirect expenditure (NPV over20 years) to Australia’s econo-my. In addition, the industrygenerates some $3 billion ser-vice related [expenditures], withmultipliers into smaller regionaleconomies in many cases,” saysMr Giles, pointing to anotherindisputable positive effect- sim-ply put: the industry createsmuch needed jobs. “Industrygrowth could see the delivery ofsome 35,000 jobs per annum -direct and indirect employment.It is critical for the RVA to con-tinue to reinforce this messageto Government and the broadercommunity.”What the RVA doesfor its membersThe role of the RVA is not onlyto work with the governmentagencies, but to represent theindustry to ensure environmentsthat a consumer would desire tolive in. “The RVA’s core role isto unify and represent the in-dustry to ensure its continuedgrowth and responding to Aus-tralia’s massive future housingneed for older people,” says MrGiles. This goes deeper than itwould appear because the in-dustry has faced new demandsin recent years. The first is theincreased demand for services inan environment where access todebt and equity to fund growthis challenging.A second issue is that retireeshave higher expectations for thelevelofaccommodationandcarethan ever before. This is costlyto deliver, not only because oftheir expectations but due to thehigh standards that the industryholds itself to. This means that
33. 34 | Business World Australia | Healthcarebusinesses that the RVA repre-sents have to manage their costsvery carefully. Affordability, saysMr Giles is a “driver of choice forpeople and retirement villagescontinue to represent choice inliving options for people over65.”So where can they get additionalfunding? “There is also great op-portunity for the private sector,church and charitable groupsand Government to work to fa-cilitate models of choice in re-tirement living, including rentaland/or new financial options tomeet the diverse needs of theconsumer.”Why people areChoosingRetirement Villages“Whatisclearisthatpeopleenjoylivinginretirementvillages. Morethan 95 per cent of residents indi-cate village life meets or exceedstheir expectations,” says Mr Gilespointing out that there are “keyreasons people choose a village”.Choice, he says, is an importantpart of what Retirement Villagesin Australia represent. “Unlike amove into residential aged care,which is usually predicated by asudden decline in health or es-calation of a neurodegenerativedisorder, it is important to notethat consumers choose to live ina retirement village and generallyview this choice as a way of en-hancing their quality of life.”Mr Giles says that among thesefactors are security and support.
34. Healthcare | Business World Australia | 35Australiansarelivinglongerthanever before, and the older the in-dividual the more health issuesthey are likely to experience. “Aspeople age and health needs in-crease, the great lifestyle offer,down-sizing the requirement formaintenance of property andgrounds, being able to ‘lock andleave’ for travelling and social in-teractions with likeminded andsimilar aged people,” becomesvery important.For the present and the future,Mr Giles says that “the RVA iscommitted to informing andeducating Australians aboutwhy retirement villages are greatplaces to live and will seek outopportunities to spread theword.”
35. 36 | Business World Australia | Healthcare
36. Healthcare | Business World Australia | 37Masonry has its origins inthe building trade andis one of the oldest “unions” ofworkers. Masonic Homes has itsroots with the charitable branchof this organization, who havewell known interest and havebeen great supporters of so-cial welfare initiatives. With amarked increase in the numberthe Australian population thatis over the age of 65, retirementand extended care communi-ties have become increasinglyimportant. Doug Strain, CEOof Masonic Homes is very inter-ested in providing the care bestpossible care, improvement ofthe standard of living, and clear-ing up some of the most com-mon misunderstandings thatthe industry currently suffersfrom. Founded in the early 60s,when “aged care” was relatively anew invention, Strain says thatthey have moved much beyondtheir original function integrat-ing new services, and initiatives,but maintaining close ties withroots. These roots are especiallyimportant to Strain, when hisfather, who was a Mason, passedwhen he was a child, the Masonsmade sure that they were welltaken care of.Marketing the oldfashioned waySome of the greatest advocatesthat Masonic Homes has areits own residents. The fact thatthey often provide some of themost compelling accolades forthe retirement community isin itself a great success for Ma-sonic Homes. “Word-of-mouthis critically important to retire-
37. 38 | Business World Australia | HealthcareLumina Apartments - Somerton ParkFeatures:• Designed to maximize light & space• Balcony or courtyard to all units• Reverse Cycle heating/cooling• Corian, desinger-style kitchen bench tops• PayTV & broadband ready• Age-in-place adaptable designInclusions:• Self-cleaning oven• Electric Hot Plates• Rangehood• Fisher & Paykel dishwasher drawer• Laundry Appliances
38. Healthcare | Business World Australia | 39ment villages, who is our great-est advocates? Our own resi-dents. It is some of the best sortof ‘old fashioned’ social mediaout there.” Strain says they don’tactively try to market the vil-lage, instead spreading the wordabout their services though thebest marketers around- theirresidents.Working with theRVA to change howpeople see anindustryA member of the RVA (Retire-ment Village Association) theyare committed to increasing thelevel of awareness of the servicesthat retirement villages pro-vide for, as well as working withstakeholders to improve thelevel of care that they can pro-vide. Working with the RVA,Strain hopes that many of theissues that the retirement vil-lage industry can be addressed,mostly through education. “Wework with the RVA in order toimprove the standing of retire-ment villages. They allow for theintegration and collaborationon the wider issues of retirementvillages. They are widely misun-derstood in the communities,government, and the popula-tion at large. One of the issueswe face is that the industry isstill rather fragmented, whatwe have to do is work on the is-sue of brand retirement villages.We came to work with the RVA
39. 40 | Business World Australia | Healthcare
40. Healthcare | Business World Australia | 41around these core issues, and es-pecially educating the market,”Strain says it is particularly im-portant that while working withthe RVA they educated to pub-lic to what “retirement villagesand what they aren’t.” Collabo-ration, he says, is the key.“I think education is the answerto all things, I think if everyonewas informed that we won’t havesome of the hurt we have goingon right now. I think in the is-sue of advocacy is importantfor older people because rightnow, although many of the babyboomers may look back and beable to say ‘look we changed theworld’ right now they are cre-ating a lot of the impedimentsthat have stopped us from goingforward,” a boomer himself hedoes not pull any punches whendiscussing his generation. Straincredits Gen X and Y as the newagents of change that are hittingthe wall of conservatism pro-duced by the once liberal boom-ers.
41. 42 | Business World Australia | HealthcareFacing an agingpopulationAlthough it is predicted thatmany Western countries willbe faced with a large popula-tion over the age of 65 in thenext 15 years, Strain says theyare more concerned at lookingafter the needs of “the boomer’sparents. I would contend thatthe retirement village product,as it operates under the variousretirement village acts is not at-tractive to a 65 year old. It is asituation that people, who areretiring younger, better off, andin better health- we are lookingat a generation that is expectedto live for another generationahead of them. So right now weare getting two generations inretirement.” The boomer’s par-ents are who they have aimedtheir services to. He character-izes potential clients as about 85years of age, still living in theirown home and still healthy forthe most part. “The huge spikethat we are seeing right now is inolder ages, and that’s the area weare dealing with right now,” hesays. There are people that areyounger, but we are looking atservice integrated housingWhen minor health issues be-gin to arise, the parents oftenfeel like they are putting pres-sure on their children. “It’s notthat the children don’t want tocare for their parents, the par-ents have lived a long time ontheir own and they do not wantto have their kids having to takecare of them- showering them,toileting them. They like theirindependence, and what we aresaying is that retirement villagesare something that they seem tofind very attractive.” Strain saysthat many people move into re-tirement villages, not becausethey find their houses and liveunmanageable, but because theyhave found that their lives havegotten “smaller”. With less toworry about, they often come toMasonic Homes with an eye todown size, and still remain part
42. Healthcare | Business World Australia | 43of a community and mobile.Like many individuals in theindustry, Strain knows that anincrease in the life expectancy,thoughonethatmeansthatpeo-ple are also living longer morefulfilling lives, also means thathealth problems that were oncerare can now become more andmore common place. “Everyoneis saying that by 2020 Alzheim-er’s and dementia will be a majorissue, I think that a lot of thishas to do with people living lon-ger. It’s like prostate cancer, I amsure that there were just as manyincidences of it 20 years ago, butoften people would pass beforethe cancer would become termi-nal.” By employing specialists,and encouraging educationalinstitutions to train healthcareworkers coming out of the sys-tem on how to deal with peopleafflicted with the conditions.“I think that we need to de-velop a defensive approach, it isnot like that everyone will geteither disease, but we have to de-velop preventative methods. Wedo this now by keeping peoplementally and physically active.We focus on using subtle trig-gers that aid with people’s mem-ories. That is what retirementvillages, and Masonic Homes,are about: supporting people,”he says. One trend he has seenis people self-diagnosing them-selves as having dementia, whenin fact they have just becomeforgetful. There are things thathappen to us all when we age.Everyone is treated as an indi-vidual at Masonic Homes, andthey have avoided taking a “onesize fits all” method of organiz-ing programs. In fact they lookat a multiplicity of activates thatresidents can get involved in.One of the options that Strainsays is both a good idea, and anindication of our lengtheninglifespans is the “Man Shed”. Hesays that this is not the cure allfor retirement living, but inter-est in it shows something farmore important. “Some blokes’
43. 44 | Business World Australia | Healthcarelove the idea of the man shed,but what I really think is impor-tant is that we have enough mento run programs like this. Oldblokes are a fairly new inven-tion,” he jokes. “We operate ona diverse offering, each person isan individual, and each villagethat we operate has its own indi-vidual sense about it.”Operations“We operate about 1000 retire-ment units South Australia inthe Northern Territory. 400 bedsin nursing homes, and about300 in-home care packages. Weoperate with something called‘hub-sites’. A retirement villagemight have 200 units on it; wethen look to settle a satellite vil-lage 5 to 8 kilometres away fromthe hub,” he says describing theiroperations. These satellite vil-lages have about 40 residencesin them, and have a connectionto the main hub site. A largernetwork of care expands evenfarther than that, maintainingcare for individuals who chooseto remain in their own homes.“We want to actively grow thesenetworks and are currently look-ing at opportunities to expandinto the other adjoining states.”Strain predicts that in the next 2or 3 years they will be operatingin other states and creating a na-tional footprint. One of the greatfeatures of all their operations isthat they create them within al-ready existing communities. “Wehave found that a lot of peopleare coming back to where theyhad grown up,” says Strain. “Theythen reconnect with the commu-nity that they grew up in.”All of Masonic Homes’ villagesare run like little cities, he jokesthat the operating directories areactually town councils. Whenissues about roads, streetlights,walking paths, and even firehydrants are raised, MasonicHomes administers the solu-tions. “We become the councilservices, so it really is a village,community and township in its
44. Healthcare | Business World Australia | 45own right.”All of the villages are locatedclose to medical faculties, retailshopping, entertainment, andtransport. “The concept of theretirement village as being onthe urban fringe is just not sus-tainable. Just as important toan older person as a medical fa-cility is retail, and commercialoperations. Going to see a movieor being able to walk through amall is a good thing,” says Strain.“We don’t gate our communities,we see them as active part of thelarger community; so we don’tthink that a retirement commu-nity is somewhere where youlock the residents behind a gate,”he says that one of the best thingsthat he can see is that the mem-bers of the villages they manageare involved in their surround-ing communities. “We like to seethem volunteering in the localhospitals, or being involved in aschool or library. We think theseare all fantastic things.” This goesboth ways, says Strain, they alsohope that the communities theyoperate in them see that they area great place to volunteer as well.With 600 staff who are prin-cipally employed in their careoperations, they select their em-ployees carefully. “The issue ofvalues is important; we have tomake sure we have people work-ing with us who empathize witholder people. Among the bestqualifications we look for is theirability to treat our residents withdignity and respect. Creativityand integrity are also somethingwe look for.”“In Darwin we are the only op-erator of retirement villages inthe Northern Territories. “Weare one of the largest of Darwin’snon-Government employers. Infact we are the largest builder ofhousing outside of the govern-ment and the mining industry,”he says try to give a clear pictureof just how large their opera-tions are right now. For the fu-ture, Strain says they are going
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46. Healthcare | Business World Australia | 47to concentrate on expansion ofboth services and geographicspread. Also in the near futurethe plan on developing a greatervariety in their product offer-ings reflect Strain’s belief thatthere is no one cure for all theindividual needs of MasonicHomes’ residents. “For housingwe build one bedroom one levelhouses, to high-rises and every-thing between. We are lookingat building more high-rises,” hesays.He may not think that they areinnovators, but his concern forthe quality of life of the oldergeneration is truly admirable.The growth of Masonic Homesfrom a charity that he person-ally respects is something thatis very marked in the everydayoperations of the villages, andthe way that residents are treat-ed. When any of us are facedwith the choice of moving intoa retirement village, I thinkthat many can take comfort inthe fact that there are peopleout there like Doug Strain, andplaces like Masonic Homes thatwe can count on.
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48. Healthcare | Business World Australia | 49Since 1990, Country ClubVillages has been operatingin Victoria and has now expand-ed into Queensland. They are apremier provider of retirementlifestyle accommodations andprograms in both geographiclocations. Currently, they haveover 700 residents and are op-erating at capacity, and are oneof the leading national managersand developers of retirement liv-ing residences. Right now theirportfolio consists of over 200separate units, and is still con-stantly expanding their offeringsto meet the unprecedented de-mands that are place on this par-ticular industry. They operatewith the idea that each personhas earned the right to a worryfree retirement, and they areworking towards creating thatsaid environment. By offering awide variety of living options invarious locations, Country ClubVillages plans to continue theirexpansion to meet today’s andtomorrow’s needs for the retire-ment industry.“CCV presently has a portfo-lio of 10 Retirement Villages atvarious stages in their life cycle.It provides distinguished qual-ity retirement living for in ex-cess of 700 residents, with itsmature RVs close to fully occu-pied. CCV’s management teamhas a strong track record of op-erational excellence and qualityservice delivery to residents atits villages,” says Stewart Gull,one of the Directors of CountryClub Villages. “Country ClubVillage’s impressive record ofcontinuous RV development isforecast to continue, with thecurrent known developmentpipeline predicted to deliver1,303 new units/apartments,”he says. “Given its attractive mixof mature villages and the size ofits development pipeline, CCVrepresents one of the most sig-nificant and valuable privatelyowned Retirement Village port-folios in Australia.”Stewart Gull laid the first blockthat was to become CountryClub Villages when he foundedRosebank Retirement VillagePty Ltd in 1991. After investi-gating potential sites for retire-ment villages, and then joiningthe Retirement Village Associa-tion of Victoria, he commencedconstruction of the Charlotte
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50. Healthcare | Business World Australia | 51Street site in Sebastopol nearBallarat in 1993. In 1996 Gullbecame aware that the LutheranChurch, who had been experi-encing difficulty over the pre-ceding years to further developtheir Geelong Grove retirementvillage beyond its existing 22units, was interested in selling.After careful analysis of the busi-ness prospects of the property,Gull entered into an agreementto purchase Geelong Grove.“Country Club Villages wasformed at the time of the Gee-long Grove acquisition, I ac-quired the village in partnershipwith interests associated withJim Selkirk. At this time, Rose-bank was retained outside theCountry Club Village partner-ship,” says Gull. Over the follow-ing years, CCV acquired sites atHemsley Park, Noosa Domain,Melba Vale, Bellbrook Gardens,Bellarine Lakes, Meadow Gar-dens and Hampton Views, andcontinued to develop GeelongGrove.Gull is a licensed estate agentand Director of CCV who pro-vides guidance to the business.He also has extensive experiencein the Retirement Village sector,
51. 52 | Business World Australia | Healthcareand has many other successfulbusiness enterprises, includingreal estate, commercial and in-dustrial property, manufactur-ing, land sub-division and asubstantial farm enterprise. Theother directors of Country ClubVillages are Jim Selkirk and PaulBurke. Country Club Villages’portfolio consists over 2000units, with further expansionand acquisitions planned in thenear future.The market for RetirementVillages is extremely strong inAustralia, and the entire world.With the world’s demographicsof individuals looking to grow attwice the rate of the total popu-lation, and “by 2050 it is expect-ed that the proportion of popu-lation aged over 65 will nearlydouble to 25 per cent, with theproportion of people aged over85 expected to nearly quadrupleto 5 per cent,” says Gull. Thatsaid, interest in the industry hasincreased by almost the samefactors. “The Retirement Villagemarket penetration in Australiais expected to increase signifi-cantly, consistent with experi-ences in more mature overseasmarkets,” says Gull. “Followinga period of softening discountrates, the attractive investmentcharacteristics of RV assets pres-ent a particularly strong case forlong term investment,” he re-ports.“CCV has one of the most sig-nificant and valuable RV devel-opment pipelines in Australiawhich, when combined with itsexisting portfolio of completedunits, positions it as one of thelargestprivatelyownedforprofitRV players in Australia and oneof the few remaining privatelyowned RV portfolios of scale,”says Gull, he also says that thedevelopment pipeline has beensignificantly de-risked as a resultof the following factors:•AlltensitesareownedbyCCV
52. Healthcare | Business World Australia | 53• All sites have received all plan-ning and development approv-als;• CCV adopts a staged devel-opment approach with exter-nal fixed cost building arrange-ments;• All community facilities areconstructed during Stage 1; and• Unit construction is eithercompleted or has commencedat eight of the ten villages, withthe remaining two expected tobegin in the 2010 calendar year“With its track record in suc-cessfully developing GeelongGrove, Rosebank and HemsleyPark, CCV’s development pipe-line is forecast to deliver 989new Independent Living Units(ILUs),” and, says Gull, an ad-ditional 314 other units are alsoon the books. “The majority ofunits are expected to be con-structed within the next sevenyears. A significant step up inILU construction is expectedin the 2011/12 year as devel-opment at Bellarine Lakes andHampton Views commences.This step up is also underpinnedby existing deposits and holds.”Country Club Villages hasenjoyed some of its success be-cause it refuses to do anythingsmall. When they are presentedwith a potential site, they go allin. “CCVs focus on larger siteswhere between 150 and 350units and apartments can be de-veloped, this has ensured thatthe portfolio does not containany smaller inefficient villageswhere services fees are insuffi-cient to maintain CCVs supe-rior standards,” says Gull.These standards are implement-ed across the board and comefrom years of experience in themarket. They have standardisedtheir building practices and de-veloped their designs with whatworks best in mind. “CountryClub Villages have taken a stan-dardised approach to develop-
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54. Healthcare | Business World Australia | 55ment, such as similar floor plansacross the board, and similarcommunal facilities,” says Gull.“The construction process ismuch more streamlined in re-cent times with the introductionof concrete panels for ILU’s,” hesays pointing to some of the ad-vantages they have enjoyed inthe current marketplace. “Vil-lages have state of the art irriga-tion systems and communica-tion and media infrastructure.”The irrigation system is some-thing they developed in orderto be more water conscientious,saving the environment andtheir operational costs at thesame time. “Country Club Vil-lages have implemented watersaving measures such as state ofthe art self-watering irrigationsystemsfromstrategicallyplaceddams; also the implementationof artificial lawns has greatly de-creased water usage throughoutthe villages,” he says.Country Club Villages givesresidents the perfect setting tolet them intermingle and enjoyeach other’s similar interests.There are many organized ac-tivities that allow residents toenjoy the full gamut of servicesthat are offered, but at the sametime respecting their wish forprivacy, letting them choosetheir own level of participation.Country Club Villages stronglysupports the over 55’s life styleand endeavours to make it easyfor them to stay healthy and ac-tive in doing so.
55. 56 | Business World Australia | HealthcareMaroba was founded by the Islington Baptist Church when three members of thechurch raised the funds necessary by mortgaging their own homes. The first build-ing was a converted maternity cottage in an industrial suburb of Newcastle that the churchministered to. By the 1960s they required more space and a more modern building. By ob-taining a grant of land – Aged Care Reserve – in Waratah they were able to accomplish this,and continued the momentum by developing their Hostel in 1992 and retirement villagein 1999 by opening their 23 villas. Maroba Living Communities has continued to meet thedemand of the market and exceed the expectations of their residents.“At the moment we care for a hundred residents in our high care facility, which we wouldcall full nursing care. There are 55 residents living in our ‘low care’ or ‘supported living’facility. We also have 23 villas within our community. This is all part of the same campus inWaratah,” says Viv Allanson, CEO of Maroba. Allanson has worked in the health sector herentire career, but moved into the Aged Care in 1992 and to Maroba in 1994. She was ap-pointed to the role of CEO in 2000 and has brought a long list of qualifications and healthrelated insights to Maroba.“Location, Location, Location”The village is situated in a prime location that is close to the city, harbour, hospitals, univer-sity, and train stations. “It’s one of those things that prove how valuable ‘location,’ really is,”
56. Healthcare | Business World Australia | 57
57. 58 | Business World Australia | HealthcareViv AllansonCEO
58. Healthcare | Business World Australia | 59says Allanson. With this idealsituation they are taking ad-vantage of a vacant plot of landmade available by the demoli-tion of the old nursing home.“We are planning to build 47apartments on this land whichwill be devoted to self-care,” shesays. According to Allansonmost of the development in thelast few years in the industryhas been focused on replacingand upgrading older buildings.“There is a mix of developmentgoing on. What I have foundthrough research and keepingan eye on the industry is thatthere just isn’t enough retire-ment living building stock inAustralia. We know the need inour area is very great- right nowwe have 160 people waiting for23 villas. We also have 60 peoplewho have indicated they wouldlike one of the 47 units that weare going to build,” she says, ex-plaining the demand that hasbeen placed on the aged-careindustry.It is clear that the need for theirservices and housing is there,with their proximity to the cityand its amenities they have be-come an extremely attractiveoption for people looking forretirement living housing andcare. Out of all the other co-lo-cated aged-care and retirementvillages in the Newcastle area,says Allanson, Maroba is theclosest to the city’s comforts.“We also have the interestingdynamic of being situated in along established and long stand-ing community,” she points out.
59. 60 | Business World Australia | HealthcareThis means for residents thatthe city’s infrastructure has longbeen in place and that the com-munity is stable. All these fac-tors makes the services and theaccommodations that Marobaoffers begin to feel like a truehome very quickly.It isn’t all about long establishedtraditions, says Allanson, withthe 47 unit apartment complexthat is in the works Marobawill be breaking new groundin the retirement village indus-try for the area. “It will be thefirst vertical retirement villagein Newcastle.” The new build-ing will have 7 levels includingthe basement. “Quite a num-ber of the larger cities alreadyhave these. In Sydney these arequite common, but here wehave mostly traditional 1 and 2story buildings,” she says. Verti-cal is the only way to go for thissite, says Allanson. Many otherretirement villages may be ableto measure their coverage bythe square kilometre because oftheir relative distance from cit-ies, but with Maroba they arevery close to the centre of thepopulation making expansiononly possible in one direction –up. While building these newprojects they are also looking atgreen technologies and ways tokeep the power flowing. Solartechnology could possibly beused to offset some of the ener-gy costs, while generators havealready been installed to guar-antee that energy will powertheir facilities without interrup-tion. With brownouts becom-ing more common, this is par-ticularly important to residents.What makes thisgeneration ofretirees differentExpectations of what retirementliving means to potential resi-dents has changed over the last50-years that Maroba has oper-ated. “The finical situation thatpeople find themselves in uponentering a retirement commu-nity is one of the biggest thingsthat has changed recently. Thishas also changed the dynamicof what we have been able todeliver,” says Allanson. Many ofthe construction projects devel-oped in the industry have usedbonds to maximize the rate ofexpansion. “There are waitinglists across the whole the sector,pushing up demand,” she says.Retirees, coming out of the fi-nancial crisis are in a far betterposition than their parents’ gen-eration had been. “Even thoughtheir savings where knockedaround a fair bit by the finan-cial markets, they are pretty welloff.”Much of the funding for thehigher-care individuals comesfrom the government, but oneof their major concerns is thatwith funding structures in placethat only allow them to chargebelow the market cost of theirservices, demand for their ser-vices might continue to exceedtheir ability to supply it.“Superannuationisthebigthingweareseeingnow,”saysDirectorof Finance and Corporate Ser-vices, Chris Boyce. “That didn’t
60. Healthcare | Business World Australia | 61exist before, but people who arecoming through now might nothave a traditional pension butthey do have a higher level of as-sets. That means they can affordbetter accommodations thanin the past. Back then, therewould have been only a smallpercentage of people who couldhave done that.”“The number one attractionthat we have counted on toentice residents is our reputa-tion,” says Allanson. “The sec-ond would be the quality andcontemporary nature of ourbuildings, and the third - thelocation. We are so well locatedin a city, where most others youhave a 40 minutes’ drive out towhere there are limited servic-es.” Boyce thinks that the moreimportant thing is that “all thelevels of care are provided onthe one site. This means that ifthey need additional care aftermoving into a villa or apartmenton the campus, it is not a hugetransition.”Location and services bothspeak to a common subject: po-tential residents have higher ex-pectations, and are “savvy aboutwhat they should be getting,”says Allanson. She says thatpart of the “Australian dream,”is to remain in a single homefor their entire lives, but whenthis becomes inconvenient, orthey wish to down size, hav-ing a place they can call theirown becomes just as important.“Often parents want to stay athome for a number of reasons,they are comfortable where theyare. However as soon as they seethey might be starting to be-come a burden to their childrenthey begin to look at their op-tions.”Some of the services that bothAllanson and Boyce are ex-cited about are their organizedevents, sport and gaming com-petitions and of course their“Men’s Shed”. They have an an-nual shuffleboard competition,where the winner gets to bringhome an award. “Its’ great seeingthem so focused on winning,”says Allanson. “It is part of hu-man nature to compete and it’sgreat to see that spirit in peoplein this stage of their lives.” The‘Men’s Shed’ she says allowstinkerers and workshop enthu-siasts to continue their projectsand take courses to improvetheir skills, under guidance andsupervision.Historically, and even today, thefounders, and directors have allbeen members of the IslingtonBaptist Church. When askedwhat has guided Maroba LivingCommunities over the years Al-lanson is quick to point to theirmission statement, saying that“Maroba is a dynamic Christfocussed organisation provid-ing an exciting range of accom-modation, care, and services toolder citizens.”According to Allanson the mis-sion that Maroba is trying tofulfil, and the one that they werefounded on comes right fromthe Book of Mark: “Love yourneighbour as yourself: that’swhat Maroba was founded onand that’s what Maroba contin-ues to build on.”
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62. Healthcare | Business World Australia | 63Michael Fallon, the Managing Directorof Live Life, begins his description ofLive Life Villages observing the factthat they are a bit unique, a different flavour, andare very happy to be in that position.To best discuss what they do Michael includedsome of the significant members of their manage-ment team to provide a more robust understand-ing of their operations. He feels that the role thatKaye Smyth has, as Retirement Living Manager,in the running of the day to day business of thevillages offers a unique perspective, equally as theinvolvement of Kent Fallon as the DevelopmentManager and manager for both their Greenfieldand Brownfield sites.“We are a small Queensland based private opera-tor of retirement villages,” says Michael. “Brook-land, the oldest village we operate, is just over 25years old, and in our present form Live Life Vil-lages has only been in place for 5 or 6 years.” Priorto Michael’s involvement the Brookland villagewas operated by the National Seniors Association.“They originally started it in Queensland 25 yearsago and eventually decided that they wanted to fo-cus on broader membership issues rather than con-tinuing an involvement in the Retirement Villagearea. At that time I had been Company Secretaryto the Village operator, and I found the opportu-nity to match some private investment with theirdesire to exit the business,” says Michael.Live Life Villages has adopted the QueenslandBottle Tree for their logo as a symbol of theiruniqueness, and the pride they take in doing thingsdifferently, more efficiently, through both thegood times and bad. “Our choice of logo was de-liberately chosen as it is unique to Queensland andit has an amazing sustainability system containedin it which allows it to resilient through drought
63. 64 | Business World Australia | Healthcareand hard times, and then flour-ish in the good times. It reallydescribes what we are about,”says Michael, but the definitioncomes from the whole team,each voicing what they think isimportant about this symbol.To add to this unique feature,Australian Living Legend DawnFraser AO, MBE is Live LifeVillage Ambassador and a veryactive member of the team whopromotes our philosophy ofthe independent active lifestylewithin both our villages and thewider community.The VillagesBrookland Village as seen to-day was completed in 1994, andboasts 125 units, but now op-erates under the Live Life ban-ner. The Village is located in thesouthern suburbs; a short dis-tance from Brisbane’s CBD andhas the advantage of a generousgreen space within the village.There is ongoing refurbishmentof the units and the village as awhole, in line with a master planestablished in conjunction withleading Queensland architects,Riddle Architecture. Councildevelopment approval is alreadyin place to redevelop the centreof the site with the addition of90 units in a medium heightapartment complex. “The cur-rentdesignisthetraditionalvillatype village, and we are lookingat replacing the central section,including the community centreto provide additional accom-modation and facilities withina multi-level building. This willallow us have more than 200live-in units, without losing thebenefits of the current greenspace” says Michael.Brookland Village was followedby the second village of SamfordGrove located at in Brisbane’souter north-west suburbs, butstill within the city limits. Thisis a relatively new developmentwith 27 units constructed so far.“On the site of the present vil-lage we are looking to expandit to about 106 units, and theremaybe an extension on an ad-joining block that will take thatnumber up to 135 units,” hesays. The goal is to maintain thecharacter of the village, and de-velop the additional residentialproperties as independent livinghousing.Maleny Grove, Live Life’s mostrecently created village, is lo-cated on the Blackall Range inSunshine Coast hinterland andis designed in keeping with theenvironmental features of the
64. Healthcare | Business World Australia | 65area. “We actually have twoparcels of land on which the re-tirement village will ultimatelybe. The first had already beenapproved for retirement villagedevelopment for 45 units, plusa community centre,” he says.The land adjacent to, Live Life’sGreenfield site has been zonedfor a residential subdivision, butapplication has been sought forrezoning to accommodate theirplans for a second stage of theirMaleny Grove development.This will allow them to extendthe scope of the development toapproximately 150 living units.The idea thatbuilt a village“The philosophy of Live LifeVillage’s is probably a bit dif-ferent from other offerings outthere,” says Michael. “Our dif-ference is that we tend to haveslight more land component perunit in our villages. For example,Brookland has the lowest den-sity of units of villages in south-east Queensland providing larg-er green spaces for residents toenjoy.” He says this low popula-tion, large open spaces applies toall of their developments and de-velopment plans. “Maleny, whenfinished, will only have slightlyless than 25 per cent coverage ofthe land, and major preservationefforts will be exercised to main-tain green tracts.” Michael statesthat these are villages that arenot at the connoisseur end, norat the affordable housing retire-ment model, but a very happyplace between the two.“I see that there are three differ-ent segments in the retirementvillage market; one is what Idescribe as concierge type ofvillage, where they offer every-thing, like a piano bar and therest. At the other end is afford-able housing, and we are in themiddle occupying what we callthe boutique type housing,” saysMichael.He says that one of the thingsthat they have to face every dayis the public perception of whataged care is verses the realityof what retirement villages are.“Our villages are not aged carebut rather independent livingunits with supported servicesoptions for active lifestyle re-tirees”. Michael says that thisis where they differ from theNatioNal SeNiorS auStraliaProudly suPPorting the over 50snationalseniors.com.aucall 1300 76 50 50As a member of National Seniors you can add yourvoice to a quarter of a million over 50s striving forpolitical and social change.Membership of National Seniors also provides a uniquecombination of services and benefits, from world classresearch and an award-winning magazine, to connectingwith like-minded members through your local branch.Be a part of the biggest group for the over 50s in thecountry and have your voice heard as well as enjoy theextensive benefits of membership.and Proudly suPPorting live life villages
65. 66 | Business World Australia | Healthcarecommon perception. We pro-vide independent living homesand communities and provideresidents with the opportunityto take advantage of the Com-monwealth funding for Agingin Place. We promote initiativeby providing support services asthe resident may need them,” heexplains.Retirees often enter villages witha desire to unburden themselvesof some of the responsibilitiesof upkeep and maintenancethat living in large family homesoften requires. With these re-sponsibilities removed, this of-ten frees them to pursue a moreactive but relaxed retirementlifestyle and enjoy the benefitsof the facilities provided withinthe village. “It also gives themmore sense of community andopportunities for social inter-action. Those are the main fo-cuses of the early stages.” Later,he points out, concerns for theircontinued health may becomeapparent. The support servic-es available to them can rangefrom unit cleaning, meal cater-ing, personal and medicationadministration support.Supporting ourresidentsKaye Smyth adds that withmedication support they do notdispense the medication; ratherCare Facilitators monitors themedication intake. “Our teamgoes further in general, we pro-vide support for the physical,as well as the personal aspect.Our Care Facilitators monitor,support, and provide these ad-ditional services to residents asrequired to allow them to age inplace; maintaining their inde-pendenceforanextendedperiodof time,” she said. “It is our beliefthat most people will be able toage in place in their retirementvillage home for the remainderof their lives. We do not see thesame degree of need for peopleto move to aged care as was thecase 20 years ago.” She adds thatthere are exceptions for this andsays that advanced Dementia,Alzheimer’s, and extreme mo-bility needs will, of course, re-quire specialised aged care thatthey cannot provide. “Even pal-liative care can co-ordinate byus should our residents’ requirethis service,” she says.
66. Healthcare | Business World Australia | 67“One of the important technologies that they haveimplemented to make sure that their residents cancontact the 24 hour personal emergency servicesthat Live Life provides is the INS LifeGuard sys-tem. This system can alert staff to situations fromfalls to tap left running”, says Kent Fallon.“We have implemented this technology in all ofour new build and villages. We are also lookingat ways to expand this service to include mobilephones and other devices in home, but right now,what INS provides for us is very important of ouroperations,” he says. “The personal emergency callbutton allows us to monitor residents while theyare in their units and at locations around the vil-lage. In time, this will be expanded to when resi-dents are out in the broader community.”Kent says that Live Life are actively working withINS to identify how they can expand this serviceand develop new ones for their residents. He givesone example of how it is already used as a verysmart non-intrusive way in order to passively keep
67. 68 | Business World Australia | Healthcarean eye on their resident’s safety.“Utilising the INS technologythat is built into our Malenyunits, there is a switch on ourhot water tanks that acts as atimer. If the hot water is run-ning for more than 20 minutes,it will send off a signal to theemergency response system anda phone call is placed to the resi-dents to see if they are in needof assistance,” says Kent. He saysthat resident falls are more like-ly in the bathroom, so systemslike this is potentially lifesaving.He also believes this unitive isimportant as it cuts down thepossibility of having to do spotchecks and thus maintains thedignity and privacy of the resi-dents in the villages.The changing faceof retirementMany things have noticeablychangedwiththemake-upoftheageing community, both Kayeand Michael said. While people20 or 30 years could work in oneindustry for their whole work-ing life and then retire at 65,they are now finding two things.Firstly, a couple of decades ago,post retirement, life continuedexpectancy was on average just10 years, but now people couldbe looking at active living foranother 20 or 30 years. The sec-ond change noted is people re-tiring before they really want topreferring to continue to remainin the workforce. Both predictthat the mandatory retirementage will be raised in the near fu-ture. This means that the retire-ment accommodation industrywas developed “for people who
68. Healthcare | Business World Australia | 69lived a few years beyond the av-erage life expectancy,” and wasnot devoted to long term activeliving the way that Live Life Vil-lages is.“The life expectancy and thelife style expectations of peopleover 65 has shifted dramati-cally over recent times. This isan evolution that we celebrate.At Brookland we have a 15 resi-dent who are members of theOver-90’s-Club, and it’s great.”They also point to a study con-ducted in the United States thathas shown that living in a retire-ment village could even possiblyextend the average person’s lifeby an additional five years.In the past men‘s life expectan-cy was not as high as women,but as the general population’shealth improved so did theirlife expectancy improved. Menare now embracing retirementvillage lifestyle in record num-bers and the industry is adapt-ing. Kaye Smyth says that thereare a couple of noticeable trendsappearing. Single men enteringthe retirement communities aredescribing it as “man heaven”because they are still a bit of aminority commodity. The otheris that males sometimes have abit more difficulty participat-ing in group activities. “Men areless adapted to socialising thanwomen, so we cater to their in-terests as well. For example, wehad two gentlemen who werevery interested in aeroplanes,and we were able to link themup together so they could sharetheir common interest. Wefound almost immediately thatthey started more functions andwere more socially engaged,”says Kaye.For the near future, Live LifeVillages plan to grow the busi-ness but maintain its boutiquequalities. “In the next five yearsI can see us operating a num-ber of additional villages withan average of 150 to 200 unitsin each village,” says Michael.“We already have our next vil-lage site in place – and thisagain is strategically positionedas more of a boutique inner cityvillage.” Michael sees that thereare still plenty of opportunitiesto expand in Queensland, andbelieves that Live Life Villageshas a lot to offer the retirementcommunity there. Their mes-sage is certainly appealing. “Ouraim is to respect the dignity ofthe resident by allowing them tomaintain an independent life-style with support where need-ed from us. We do this in anenvironment that promotes anactive, Queensland retirementlifestyle and an opportunity toLive Life.”
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70. Healthcare | Business World Australia | 71TerraNova Homes & Care have one of the most unique aged caregroups in New Zealand. Within the Auckland Region they have res-idential care facilities called West Harbour Gardens, Jervois, Warrengate,and Papatoetoe. In Taupo they operate out of Monte Vista; in Hawke’sBay out of Brittany House; and in Lower Hutt out of Riverleigh. One ofthe advantages if having all these locations under one operation is thatstaff can freely move from one area to the other, and shortages can bequickly rectified. This also allows residents to have mini-vacations to oth-er locations operated under the umbrella of TerraNova Homes & Care.Focusing on CareJanet Cohen, CEO of TerraNova Homes & Care, has worked withinhealth industry in Australia for over 30 years. She has applied her exper-tise and knowledge to developing TerraNova as a leading provider of agedcare in New Zealand. “We like to think of ourselves as a health care pro-vider, we don’t operate villages or independent living accommodations soour core business is aged health care. For us that means making life betterfor older people. Quite often when people come in older age care they re-ally think it’s the end of the line for them, and are often very depressed,”she says. “We like to offer them a new lease on life, so we are very commit-ted to not only optimising their healthcare so that they can enjoy life, butalso providing them activities for them to do to make the most of life.”Individual Care, Individual TastesTheir strategy is two tiered; the first part of it is that they offer special-ized food services. TerraNova has just had all of their menus changed bya well-known national chef that offers not overly complex dinner choicesbut great home style cooking. This required a complete retraining of theirstaff, but it has been received among the residents well.Presentation of food has been an important change in the dining roomas well; Cohen believes that part of what is appetising about a meal ishow it looks on a plate. “It should be presented in a manner that tanta-lizes the taste buds,” she says, but stresses that it should not be over thetop. The reason for this is that the elderly often want to have traditionalhome cooked style meals rather than then something extravagant. Find-ing the exactly right food hasn’t always been easy says Cohen, people have
71. 72 | Business World Australia | Healthcaredifferent tastes. So, finding theright balance between nutritionand taste, and then taking intoaccount the individual tastes oftheir clients they have prepareda menu that should leave every-one happy and looking forwardto dinner.Improving Lives byGranting WishesEnhancing life style is the otherimportant strategy that theyare working very hard on. Oneof the programs that is coveredunder the Life EnhancementProgramme, one Cohen is veryexcited about, is called the Wish-ing Tree. “It was an initiativethat was originally developed byour Hastings facility, BrittanyHouse. The Wishing Tree wonthe New Zealand Health CareProviders Excellence in Care“Innovative Delivery Award” in2007. All our facilities have nowadopted it. It takes dedicationfrom their staff to make this hap-pen,” and Cohen likes to point itout as an example of their dedi-cation. “The Wishing Tree workswhen a resident says that theywould like to go whale watch-ing at Kaikoura, as an example,”says Cohen. “They hang theirwish on the tree, the staff thendo fund raising activities aroundit and when they raise the fundsthey can then send someone offto go whale watching.” They havehad numerous requests, from thesimple ones like sending a coupleback to the place they got en-gaged, to people who want to gotandem sky diving. Cohen saysthat this shows a zeal for life thateven surprises her, but gives hermuch heart. One of the ones sheremembers best is two elderlywomen (75 and 92 years of age)decided they wanted to go sky-diving, something she would al-most certainly does not want todo herself. “I get nervous enoughat ground level, I couldn’t imag-ine doing that, but they did!”Cohen chuckles.As stated before, the wishing treeprogram has gained industry rec-ognition and applause with sev-eral other companies have takenTerraNova’s lead and adoptedsimilar programs themselves. In
72. Healthcare | Business World Australia | 73this case imitation is truly thegreatest form of flattery. This hasalso provided staff and volun-teers a great focus for fund rais-ing activities. She sees each wishgrantedasatestamenttotheded-ication of their staff, and finds ithard to even say which wish wasthe most “heart rending”. “Eachwish is equally important, andit’s hard for me to pick one thattouched me more than another,”says Cohen.Listening to TheirResidentConstant feedback from bothresidents and staff has allowedthem to stream line their processand provide the best care pos-sible. Using a balanced score cardsystem they are able to rate risksGet your cleanersinto top gear.Jonmaster™• Ergonomic microfibre daily cleaning system increases productivity• Lightweight dry and damp mops decrease cleaner injuries• Eradicates 99.3%* of bacteria• 26%* faster - clean the most unreachable places• Save energy, save water, save costs*Trial reports available on requestDiversey Australia Pty Limited29 Chifley Street, Smithfield NSW 21641800 647 779www.diversey.comDiversey New Zealand Limited3 Diversey Lane, Manukau, 21550800 803 615Jan Cohen CEO
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74. Healthcare | Business World Australia | 75their residents and react quicklywith a solid process in place. Thisprocess identifies where there istheriskofpotentialadverseeventoccurring through a series of keyperformance indicators. The bal-anced score guides the manage-ment decisions and enables therapid correction of potentiallyunsafe situations from eventuat-ing. “When a facility is deemedto be at risk, we have a pathwaywhich allows quick steps to takethat will mitigate the potential ofan adverse event. For example ifsomeone falls often, a special carepathway and observations will beapplied to that individual,” saysCohen. Her greatest desire is tomaintain every person’s dignityand independence so TerraNovatakes that into account with ev-ery action.Thinking Small andMaking a BigImpactCohen says they maintain themindset of a small corporatewith a big heart, and this, overall, allows them to treat each per-son in their care as an individual.Being treated like an individual isone of the things that TerraNovadoes best, and it is through thispersonalized care that they havecontinued to carve out a nameforthemselvesasthepremiercareprovider for older New Zealand-ers. If everyone had someone likeTerraNova looking out for themin their golden years aging wouldbe something you could lookforward too.
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76. Healthcare | Business World Australia | 77Barossa Village was established in 1963, and has since its creation been devoted tothe aged care of Barossa and the surrounding communities. Their expertise andprofessionalism was recognized in 2008 when they received the National RetirementLiving Organisation of the Year Award. Located in Australia’s most famous wine re-gions, the Barossa Valley, they offer older Australians some real options in quality oflife living and care. Phillip Schmaal, CEO of Barossa Village, took the time to sit downwith us and tell us why this is not only a famous tourist stop over, but a great area inwhich individuals are choosing to spend their golden years.“Barossa village is a public benevolent institution – a charitable organization that wasset up around 50 years ago by the local community,” says Schmaal. The organisation wascreated to fill a need in the community for quality care and housing for older Austra-lians. As the need grew, so did the organisation. “The village is involved in all aspectsof aged care from retirement living through to home care, residential services, and full
77. 78 | Business World Australia | Healthcaretime care,” he says. “We are try-ing to become a one stop shop inorder to cater to all the people’sneeds - from the time they needto downsize, being still indepen-dent, but they need to downsize. Be it from a farm or a fam-ily home to something a littlebit smaller; through to provid-ing them with care within theirown home; through to the pointshould they need to move intoa nursing type home to providethe care they need.” Schmaaldescribes their approach as acomplete solution that is as at-tractive as possible, and one thatmaintains individual’s freedomwhile maximizing their qualityof life.A self-described “Barossa Boy”Schmaal has a particular interestin ensuring that the communityhas continued support fromorganisations like Barossa Vil-lage. He spent much of his lifetravelling across Australia whenhe was involved in the wine in-dustry, eventually becoming in-volved with the not-for-profitindustry. This road eventuallyled him back home, and in a wayreunited him with some of thewines he loves. Schmaal speakswith passion no matter what thetopic is, and is always ready witha good wine suggestion.Regional South Australia, hassome of the highest proportionof aging and older individuals.As such the organisation alreadyplays an important role in thecommunity, but with recordnumbers of people expected toreach ages over 65 in the nextfew years, Barossa will becomeeven more vital to the commu-nity. “As such we are certainlyon the forefront of seeing theimpact of an aging populationon our local community. Wealready have to deal with theincrease in demands and expec-tations for the industry,” saysSchmaal. “We are just startingtom see an impact from the babyboomers who are coming intothat market. Their expectations,of course are very different fromtheir parent’s.” This is a commontheme across the world. With ageneration that has worked hardand is relatively financially in-dependent from their children,
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79. 80 | Business World Australia | Healthcarethey can for almost the first timeafford something that is very im-portant to anyone at any stage oftheir lives – Choice.“Actively Engaged in Ageing” isBarossa Village’s motto, and ofcourse has more than one mean-ing. To the staff it means thatthey are engaged with their resi-dents, providing them with theservices and care they expect.For the residents, it is a promisethat getting old does not meantheir lives will be any less activeor fulfilling. In fact the programsat Barossa Village are meant toreengage them and provide themthe opportunities to lead a moreactive life style than they wouldhave without support or specificservices. “Retirement housing isno longer what we used to call“God’swaitingroom”,whatithasbecome is a place where peoplecan expect and get a full housewith a lock up garage, continuedaccess, the extra bed room wheregrandchildren can stay over,” hesays. Among the other amenitiesare larger rooms garages and carports that provide for the con-tinuing mobility and activity ofseniors.“Something that we are doing,and this was part of the reasonthat we got the National Retire-ment Living Organisation ofthe Year Award for 2008-2009from our peers in the industry,is that traditionally retirementliving has been in large retire-ment villages, but we are seeingsomething of a large sea change.People, we have been seeing, stillwant to be part of a local com-munity, especially when it meansstaying close to friends and fam-ily. They don’t necessarily wantto be fenced off from the com-munity in retirement housing.So what we have been construct-ing and are continuing to buildare cluster style retirement cot-tages. So, these are within thelocal community surrounded byother houses,” Schmaal says thatthey build them in groups of fiveor six, but make sure that exist-ing neighbourhoods. “Over theback fence you can hear childrenplaying, you are still very much apart of the local community. It’sthis great intergenerational con-nectivity that we are promoting.”
80. Healthcare | Business World Australia | 81This also allows them to placethe accommodations within easyreach of local doctors, shoppingand other services. Within theirextend care within their unitsand home care options, Barossahealth professionals as well as lo-cal GPs make the rounds provid-ing personalised care and regu-lar check-ups. Meals and homemaintenance are also provided,and any issues or required sup-port is only a phone call away.Each unit in their retirement vil-lages has a direct line to Barossa’son duty support staff. With over100 full time equivalent staffmembers, including registerednurses, hospitality staff, admin-istration, and even contractorswho are there especially to carefor individuals staying in theirown homes. With in-home sup-port, staff responsibilities canrun the gamut of simply helpingwith the house work, to cleaningthe gutters, to more advancedcare when they require assis-tance in showering and eating.These are regular visits, Schmaalexplains, and they can count onthe staff working there.Activities are an important partof life at Barossa Village, andSchmaal is very excited at theopportunities that they can pro-vide their residents. The Tinker’sShed is one of Schmaal’s favou-rites,buttheyprovideafullrangeof activities catered to the inter-ests of their residents. Being inwine country it would be remissnot to mention that with everymeal residents have the choice toget either their favourite beer, orone of the fine vintages availablein from the Barossa Valley.In all, Schmaal says that theyworkhardtocreateaplacewherethe needs of their residents aremet, and their expectations ex-ceeded. So far, with praise fromtheirpeersandresidentsitwouldseem they are meeting their ownlofty goals.
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82. Healthcare | Business World Australia | 83Arcadia Waters RetirementVillages are not your or-dinary retirement communi-ties. This is because its founderRoger Kwok created these com-munities with his own familyin mind, and the concerns andhopes that only a family can gen-erate. Although they did not liveto see its completion they wouldsurely be proud of the work theirson has done in providing greatlocations and vibrant culturefor retirees. This Perth centricgroup of villages aims to provideits residents with the look, feel,and lifestyles that people wouldexpect from resort living, ratherthan your regular retirementvillage. Although there are noofficial monuments to his par-ents, Roger Kwok, says that ev-ery resident knows the story ofthe formation of Arcadia WatersRetirement Villages. They haveabout 300 residents at their vil-lages, and Kwok makes it a pointto meet and know all of them.He feels it is important if theywant to provide individual careand service.“We used to visit my parents ona fairly regular basis once everytwo or three weeks,” he says.“The occasion arose that bothof my parents became danger-ously sick. My wife and I werenot aware of it, and being olderpeople they didn’t want to tellanyone. So when we went to vis-it them we found out how sickthey were and they were hospi-talized and we nearly lost them,”says Kwok. This was the germi-nationofathought,theveryfirstseed was planted. Kwok beganto look for retirement villagesthat could supply exactly whathe expected from them. To hisdismay, it was a fruitless search.“We realized that we cannot af-ford to leave elderly people ontheir own,” says Kwok. He also
83. 84 | Business World Australia | Healthcaresaw that though people like hisparents might be older, they stillhad a right to enjoy life and be asactive as possible.Kwok approached this askinghimself when do people en-joy life the most? The answerseemed obvious to him: Whenon holidays. “I wanted to createsomething that was much morelike a resort than a retirementvillage,” he says. “So I wantedsomething that people couldfeel like they are on holiday ev-ery day of the year. And that isthe idea that Arcadia Waters wasborn from.”Kwok regrets that the place hebuilt for his parents was notcompleted by the time thatthey passed, but he knows theywould have been very proud ofhis accomplishment, and wouldhave loved to live in the commu-nities Kwok helped form. “Wehave never looked back eversince, because we still run theplace with the same philosophy.Every one of the residents is veryclose to us, and we look at theirwelfare as part of enjoying life.The whole structure is gearedtowards making their stay as en-joyable as we can,” he says.The project that became Ar-cadia Waters was founded in1999, and officially opened thedoors of its first village in 2000.Kwok may have been operatingthe communities for almost 12years, but he still sees himself asthe new guy in the industry. Thismeans that he and Arcadia arelooking at their operations withcompletely new eyes, and takinga completely new approach.Retirement Living -Living the resort lifeSome aspects the business fo-cuses on are still very traditional,says Kwok. They recognize thatpeople who are looking for a re-tirement village are trying to finda way to maximize their enjoy-ment of life, while shedding someof their responsibilities. The bestway that retirees can accomplishthis is by off-loading some of theresponsibilities that they have,one of these responsibilities ishaving a house or living arrange-ment that is just too large fortheir present lifestyles. ArcadiaWaters gives them an alternative.
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86. Healthcare | Business World Australia | 87Kwok knows that home owner-ship is very important, so thatthey still will have a place to calltheir own, but what they gain isthe support of a group of peopleworking for them to make ev-eryday chores and house holdwork a thing of the past.“People that move in here allhave different needs, some wantto be able to lock up their homesand go on holidays, of course,others want the safety and secu-rity that comes with living in thevillages we operate.” This comesback to the individual care andservice that Arcadia Waters of-fers.Arcadia Waters Retirement Vil-lages have been designed specifi-cally to address this, and Kwokis very happy with the results.There are many things that sep-arate them from the rest of theherd and one of them is thattheir managers are not just 9 to 5employees. “Our managers actu-ally all live on the site. They livehere and they work here, andthey enjoy many of the activitiesthat we offer along with the resi-dents,” he says. “Our managersare every bit a part of the com-munity as the residents are.”Three locations,three distinct feelsWith three locations at Mad-dington, Geraldton, and PortDenison, each community is asdistinct as the area it operates in.The Maddington village is locat-ed on the banks of the CanningRiver, only 30 minutes from thecentre of Perth. It has one of thebest shopping plazas in the areajust across the road, and quickaccess to both public transpor-tation and medical facilities.Their Geraldton location is mod-elled after the success they hadwith the first village in Mad-dington on the very popular andaward winning Arcadia WatersRetirement Village in Madding-ton. Opened in 2009, it has easyaccess to many of the attractionsthe Batavia Coast offers, includ-ing beaches and the Marina.The Port Denison community islocated on the Irwin River nearDongara and is about 360kmnorth of Perth and 70km southof Geraldton. It boasts a stunningcostal landscape and has been de-signed around making easy accessto some of the most picturesqueforeshores and fishing boat har-bours in Western Australia.
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88. Healthcare | Business World Australia | 89What RetirementMeansTaking the idea of a resort, ratherthan a retirement village, a stepfurther Kwok and the team atArcadia Waters have turned thecommunity centre into more ofa club house. “About ten yearsago we started this idea of a clubhouse,” he says. The ‘club house’as he describes it has a full com-mercial restaurant, including achef and specialized menus forfunctions that are held up tothree times a week. Inside the‘club house’ there is a café that isfully staffed by volunteering resi-dents. Kwok says that they cankeep prices low because of thiscommunity spirit. “You can comein at any time and order a cap-puccino and a piece of cake, andits only $4,” says Kwok. “There isa community committee runningit, and every year they make a sur-plus, and every year they take thatsurplus and contribute it backinto improving the facilities inthe village.”Expansion intonew marketsArcadia Waters Retirement Vil-lages has also seen some greatpossibilities presenting them-selves in Asia. Having recentlyobserved that the retirees in Asiaare grossly under serviced, Kwoksays that plans are on the tableto expand their services into thismarket. The number of retirees inAsia is much higher than it is inAustralia, he explains, and thusprovides a market waiting to betapped. He thinks that the mod-el that he developed here couldbe transported, and with somechanges be very successful there.“We have built a place wherethe participation of the resi-dents matters a lot. We believethat people do not come to ourretirement villages to vegetate,the come here to enjoy life,” saysKwok. From the smiling faces oftheir residents, it looks like Kwokand Arcadia have succeeded inmaking their version of retire-ment living more than agreeable,it’s a holiday.
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90. Healthcare | Business World Australia | 91Marco De Pasquale co-Director of Oak Tree Group says that every stage of their projecthas been carefully selected. Even their name was arrived at after much debate and care-ful thought. He, himself comes from a marketing and advertising background, which after hestarted his own family, found to be a lifestyle much more suited to the unattached. He beganlooking at other opportunities, and the idea of creating retirement villages that were affordableand appealing was hit upon. “We looked particularly at the affordable end of retirement living,we saw an opportunity in the market. We saw that a lot of the retirement living products werereally targeted to middle class Australia in terms of price point, but De Pasquale says that theydid not want to name it after a particular region, or a family, because they always intended toexpand. And expand they have.
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92. Healthcare | Business World Australia | 93Finding the rightname“We came up with name OakTreeanumberofyearsagowhenwe were first looking at the de-velopment of the company,” heexplains. “It was one of my firstassignments that I got, and com-ing from the advertising busi-ness I looked at what we wantedto offer and thought this idea isvery interesting, but what do wecall it?” Looking at other exam-ples, he noticed that many othercompanies relied on imagery oflife, community living and vital-ity. After doing his research, hecame across the Eden Principles.“The Eden Principles talk aboutsome of the issues that arisewhen you age – namely loneli-ness and helplessness. One ofthe things that they put forwardwas the idea that there shouldbe some connection to a cata-lyst, something that means lifeitself. Things like plants, andanimal life. Something peopleneed to be around,” says DePasquale. Coupling that withthe idea that they were not go-ing to be one of those big insti-tutions, focused on paperwork,he came to the name of the OakTree. De Pasquale sees the OakTree as a symbol of continu-ance, life and wisdom. He be-lieves that this imagery helpspotential residents immediatelyunderstand what they are allabout, and helps them focus ontheir own philosophy of care.“It also lets them know that thisis an institution they can trust,so with the two ideas I thinkit came together well.“ He alsothinks that a lot of what OakTree stands for can be found intheir mission statements, these,he says, are not just clever mar-keting but guiding principlesthat they strive to achieve. “Ascommunity providers, Oak Treeis an innovative team dedicatedto understanding and attendingto the needs of our seniors. Weconsciously endeavour to sup-port and nurture our residentsby providing affordable liv-ing environments and supportstructures which contribute tohappy, healthy and independentretirements.”AffordableretirementDe Pasquale describes that oneof their advantages and one ofthe reasons that they have hadsuch success is that they areAustralia’s leading provider ofaffordable retirement living.He stresses the affordable part.“What you have to understandis that what we offer is moreof a boutique style organisa-Completed villa Oak Tree Goodna
93. 94 | Business World Australia | HealthcareWarwick display villa
94. Healthcare | Business World Australia | 95tion, and this is not about theprice point, but the size. If youlook at an average sized villagethey are about 150 units, ev-eryone markets them in a dif-ferent way.” De Pasquale saysthat their villas are made upof 50-80 separate units, and itis through this fact that OakTree Group is able to maintaina really homey feeling. This hasalso allowed them to expandtheir services into several vil-lages, rather than a few. TheseVillages are located all overAustralia. In Queensland theyare represented by Goodna,Boronia Heights, Cairns, Yep-poon, Park Avenue, and War-wick. Victoria has Skye, andTasmania has Kingston. NewSouth Wales boasts villages inCardiff, Orange Armidale, andInverell.“The size we keep them in letsa real feeling of community beformed as well as letting thembe more cost effective and man-ageable,” the amount of resen-tences they have spread out overa wide area of land presents itsown challenges, he says, “Butwe are pretty well travelled, andhave a great head office struc-ture, people, and technologytoday makes this job easier.” Be-ing able to break down the bar-riers of distance has allowedthem to maintain the size thatthey feel comfortable with. Hedoes not dismiss the possibilityof opening larger villages in thefuture, in fact he says that somewith 100 units are already onthe books. “What we find withthis size is that it really appealsto some people, some of themDirector Marco De Pasquale Director Mark Bindon
95. 96 | Business World Australia | HealthcareCairns Construction stage 2
96. Healthcare | Business World Australia | 97have come from the larger vil-lages, and they want somethingwith just a little bit more of acommunity feel to it,” says DePasquale.Makingcommunities,working withcommunities andlending a handWith the recent flood, they havefirstmadesuretheirresidentsaresafe, and they are also looking atways to reach out to the commu-nity. In the past they were ableto offer temporary housing topeople during the fires in Vic-toria, but this year their abilityto help those in need has beenlimited because of their success.“We just don’t have the availableproduct this year; the last 18months have been very busy forus in terms of sales. We just don’thave the room to offer.” Whatthey have done, is put togetheran appeal to residents, staff andfamily. “What we have doneis create a charitable fund, thisfund has gone to Alzheimer’sand other causes before, and thecompany will match dollar fordollar any funds donated intoit.” Not only do they build com-munities- but they build com-munities within communities.Success in the planOne of the major influences ontheir success has been their ideaof what retirement living meansto those considering one oftheir villages. De Pasquale saysthat maintaining a real com-munity feel is one of the impor-tant features, the other is creat-ing a feeling of independence.Though there may be healthconcerns and issues of safety,Oak Tree Group strives to allowevery individual resident theability and resources to main-tain themselves in the lifestyleof their choosing. It is throughthese aspects that Oak Tree andDe Pasquale have successfullycreated environments that theeveryday Australian can afford,and enjoy living at in their re-tirement years.
97. 98 | Business World Australia | HealthcareSt. Luke’s Care was foundedin 1919 when a small pri-vate hospital opened ina modest home known as Tre-bartha, in Potts Point. This wasorganised by a small communitygroup who raised money locally.“The first hospital had about 10or 12 beds. Several years later,the community group was ableto raise further funds to builda larger hospital adjacent to thefirst”,saysMarkCompton,CEOof St Luke’s Care. “That hospitalwas opened in 1927 and is stilllargely the same building thatstandsonthemaincampusnow.”Although there was an originalalignment with the Church ofEngland, the hospital, aged care,home care and retirement liv-ing activities of St Luke’s Careare now independent from anyreligious organisation. “Thename comes from St Luke, thepatron saint of physicians,” saysCompton. The distinction isimportant to him, and he stress-es that it is a community basednot-for-profit organisation open
98. Healthcare | Business World Australia | 99to all. “It is not a church ownedor operated hospital, it is a com-munity owned and communityrun facility with its own privateboard and committees. In partit is supported by the St Luke’sHospital Foundation, a charita-ble foundation that raises fundsto provide invaluable support toSt Luke’s Care” he says.Integration of methodsand services“St Luke’s Care encompassesacute hospital services, residen-tial aged care, home care andretirement living. Right now wehave about 700 staff members,and we care for about five tosix hundred people a day,” saysCompton. He sees the organ-isation is “somewhat unique”and jokes that there are alwaysdegrees of actual uniqueness,but the mixing of functionalhospital care with aged care andretirement community living isso well integrated it’s not some-thing you come across often.“The hospital here at Potts Point
99. 100 | Business World Australia | HealthcareServices:• General surgery• Ear, nose and throat surgery• Eye surgery• Gynaecological surgery• Orthopaedic surgery• Oral surgery• Hand surgery• Plastic & reconstructive surgery• Urology• General medicine• Spinal surgery• Hydrotherapy• Rehabilitation – outpatient/inpatient• Sleep disorders centre• Surgical short stay centre• Medical care
100. Healthcare | Business World Australia | 101is just fantastic,” says Compton,“it is a very competent surgi-cal, medical and rehabilitationhospital. It has had consider-able funds spent on it in the lastthree to four years – not only onrefurbishment to make it lookgood – which it does, it’s a beau-tiful hospital - but the technol-ogy backbone of the entire hos-pital has also been upgraded.”Digital technology has been aspecial focus in this, includingStryker i-Suites and an invest-ment in the central sterilisationdepartment within the hospitalmaking it state of the art – justto name a few.“On top of all the services weoffer, we also have a large re-habilitation centre,” continuesCompton. Patients who havehad recent joint replacementsurgery or other extensive sur-gery can take advantage of theirexcellent rehabilitation centrewhich includes a state of the arthydrotherapy unit.“But the thing that really makesthe place is the incredible staffhere; it’s a great privilege work-ing with such a caring and pro-fessional group every day.” StLuke’s patients have also attest-ed to this - their glowing recom-mendations for the hospital arewell known among staff and thecommunity at large.“Our home care operation alsoruns from here, and the Trebar-tha apartments are also locatedon our Potts Point/ElizabethBay campus,” says Compton.St Luke’s has a second campusat Little Bay that has 70 retire-ment apartments. “At this timethere are only 10 of those left forsale.” He says demand for themis so high because the area is soappealing. “They’re surroundedby parklands and lovely coastalviews– it’s just beautiful. Andonly 20 mins from the SydneyCBD,” says Compton.St Luke’s Care highly values itscommunity relationships thathave been carefully built over92 years. Its principal objectiveis to meet changing communityneeds in health and aged care.In doing so, St Luke’s contin-ues to offer the best quality carewith the unique personal touchit has become known for.Mark Compton
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102. Healthcare | Business World Australia | 103Bonney Healthcare Group represents three aged care facilities inSouth Australia. The groups motto is “Where people matter.”Paul Bonney, Director of Bonney Healthcare Group, says that thisapplies to both patients and the staff caring for them.A history of careThe company began in 1988 with the purchase of Gloucester Nurs-ing Home under the name of the Endew Pty Ltd., which was latersold in 1993. The next company was the Pakary Pty which actedas the trustee company for The Bonney Family Trust. It is throughthis Trust that the Bonney Healthcare Group was able to make theacquisitions that now make up their corporate holdings. The Fa-cilities they operate are located at Hahndorf, Klemzig and ChristiesBeach in South Australia.On February 22nd, 2007 the Group became registered as the Bon-ney Healthcare Group (BHG). “BHG employs approximately 350staff and has 285 high care beds and enjoys an unblemished trackrecord with The Commonwealth Department of Health and Age-ing and the residents and relatives that we look after. We have alwaysenjoyed a high reputation for providing excellent care to our resi-dents within our community,” says Bonney.Paul Bonney has a long history of professionalism, from GrammarSchool straight through to today. “I finished a law Degree in 1981at The University Of Adelaide, I went on to do my articles in a well-established legal firm in Adelaide, after some time there I decidedto enter into the family business of aged care and from my appoint-ment as Administrator in May 1983, at the family owned Christies
103. 104 | Business World Australia | HealthcareBeach Nursing Home as it wasknown then,” he recounts. Afterentering the industry he says helearned much about the day today operations that are requiredin an aged care facility and hasnow been involved in the indus-try for over 28 years.Over these 28 years, he hasseen many changes in the mar-ket environment, with both itschallenges and improvements.“Some of the industry trendsrevolve around the issues of vi-ability and sustainability withinan environment which restrictsour capacity to raise capital via
104. Healthcare | Business World Australia | 105bonds in high care or uncap-ping of the accommodationcharges to allow for users to payaccording to their means,” hesays. Bonney hopes that law andpolicy will also realise some ofthe changes in population andaged care and adjust legislationaccordingly. “Some of the chal-lenges in operating High CareResidential Facilities revolvearound viability as I have previ-ously mentioned within a fund-ing environment that is toorigid and doesn’t currently allowconsumers the choice to pay fora higher standard of accommo-dation if they so choose,” he ex-plains.Change in the air“We are entering a period of sig-nificant change, the Productiv-ity Commission has just recent-ly released its draft report intoaged care. The most contentiousof which is the deregulation ofbed licences,” Bonney sensesthis trend will continue, giv-ing patients more control overtheir healthcare. “Should theGovernment take up this rec-ommendation it will certainlycreate a much more competitiveenvironment for Providers ofaged care to meet the demandsof their consumers. Other rec-ommendations included theuncapping of accommodationcharges and the possible intro-duction of bonds in high care.These measures would to a largeextent put more control in thehands of the consumer as towhere they would choose tospend their money and wouldincrease their level of choice ofaccommodation.”The technologyof knowingHe also points to the digitisa-tion of medical informationas something that is creating areal sea change in the industry.Before, paper was king, and itoften took more time to receive
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106. Healthcare | Business World Australia | 107medical information. Now,with digital health records, hesees the real opportunity forimprovement in both transmis-sion times and accuracy. Bothof these aspects can play a veryimportant role in patient careand their health. “A couple ofyears ago we went onto Leec-are Solutions, which is an elec-tronic software solution systemfor our resident documenta-tion and care planning require-ments,” Bonney thinks this is animportant innovation becauseit has significantly improvedtheir quality of data manage-ment and time efficiencies fortheir staff members. “Also ourmanagement team use a Vir-tual Primary Network (VPN)system which allows access tosome management team mem-bers to the data of all three sitesfrom any location,” VPNs havebecome a very common prac-tice in many industries for thosewho wish to share sensitive data.Their security prevents sensitiveand confidential information,like medical records, from beingseen by any anyone who they arenot intended for. Technologyhas also allowed them to imple-ment safety measures based oncarefully kept records. “For saf-er systems we use an integratedcall bell management softwaresystem which identifies timeswhen residents are most at riskand provides reports of staff re-sponse times to residents’ needs.We can then follow up on thisreported data.,” he says. Track-ing these results has becomeintegrated into Bonney Health-care Group’s Quality Assurancesystem to identify any risk ar-eas within the sites through thefeedback systems, the results ofwhich are freely available to allstakeholders.Quality serviceis in the detailsThis information is put to gooduse,saysBonney.“Wehavequal-ity systems in place which ongo-ingly identifies continuous im-provement opportunities at ourthree sites which are addressedand actioned on a monthly ba-sis at our Quality AssuranceCommittee meetings, whichincludes all of our DepartmentHeads, Residents and myself asManaging Director.” They alsoconduct bi-annual Manage-ment Review Meetings withtheir senior management teamand Resident representativesto review and evaluate thesequality systems and the busi-ness plan. “We review and seekfeedback of all our continuousimprovements. We have Ac-tion Plans at our Quality As-surance Meetings which ensurenothing escapes our notice. Atthese meetings all the continu-ous improvement opportunitiesare explored in depth and weseek suggestions from all stake-holders such as our residents,staff, relatives, volunteers, alliedhealth professionals and GP’S,”he says.Getting better allthe timePart of their continuous busi-ness strategy is focused on
107. 108 | Business World Australia | Healthcaremaintaining their good rela-tions with staff members. “Weencourage our staff to activelyparticipate in the continuousimprovement processes, we re-spect their input and acknowl-edge their concerns and sug-gestions that can lead to greaterimprovement for the staff them-selves,” he says. Along with this,they also support free vaccina-tions, which are both importantto the staff ’s health, and thehealth of their aged care wards.Often older people are moresusceptible to viruses and infec-tions than younger individualsare. This vaccination process isa very important step in main-taining the health of people un-der Bonney Healthcare’s charge.They also foster an environmentof continuous learning, encour-aging staff to take the next stepin their roles and gain the skillsets they might need. “We re-cently conducted some highperformance training for all ofour staff which helped developteam leaders amongst our staffmembers and also identified forthem educational pursuits thatwere previously undetected andpotentially unrealised. A highperformance organisation fos-ters a passion for outstanding
108. Healthcare | Business World Australia | 109achievement amongst its peopleand this culture of excellence isachieved through a sustainedfocus on empowerment and en-gagement. A high performanceorganisation achieves longterm sustainability measuredby productivity and/or finan-cial performance,” says Bonney.Recognising the importance oftheir staff is also what BonneyHealthcare Group strives tomake apparent. “We have an an-nual Christmas function whichbrings all staff members fromall sites together, and it’s a rec-ognition from the ManagementTeam of their incredible inputthroughout the year,” says Bon-ney.“Our company I feel is uniquebecause we place a high empha-sis on the wellbeing of our staffand our driven customer fo-cus,” says Bonney. “Our motto“where people matter” we dotake very seriously indeed. Westrive for excellence continuous-ly and we have developed ourvision through all stakeholderfeedback.” All of this hard workshows, and Bonney HealthcareGroup is standing at the readyfor anyone who needs their careand support.
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110. Healthcare | Business World Australia | 111Medicines Australia is working hard to represent the needs ofthe pharmaceutical industry within Australia. They accom-plish this by taking the simple stand point that the medicines theirmembers create save and improve lives. The pharmaceutical industryis a key industry within Australia, and Medicines Australia is work-ing to bring the concerns and needs to the forefront of the mindsof policy makers and stakeholders. The Australian medicines indus-try employs 14,000 people. The industry’s exports totalled $4.1 bil-lion in 2009/10, making it Australia’s most valuable hi-technologyexporter. It also attracts more than $1 billion a year to Australia inglobal research and development investment.Representing the best in the industry“We represent the innovators or originators in the Australian med-icines industry. We have about 50 members ranging from largepharmaceutical companies, some of which are Australian owned,through to smaller sized companies and medium sized groups,”
111. 112 | Business World Australia | HealthcareDr Brendan ShawCEO of Medicines Australia.
112. Healthcare | Business World Australia | 113says Dr Brendan Shaw, CEO ofMedicines Australia. “Some ofour members have business inthe off-patent market as well.”The members they representprovide about 86 per cent of theprescription medicines avail-able through the Governmentsubsidised Pharmaceutical Ben-efits Scheme. The Associationin its present form has been inexistence since 2000, officiallychanging its name from the Aus-tralian Pharmaceutical Manu-facturers Association (APMA)in 2002. “We had been operat-ing under that name for a longperiod of time, we had decidedto restructure the organisationand move it from Sydney toCanberra, and at that time wechose to rename it to reflect thefact we now had a broader pur-pose,” says Dr Shaw.Speaking for theindustry andprotecting the bestinterests ofAustraliansOnbehalfoftheirmemberstheytake an active role in communi-cating directly with policy mak-ers, as well as connecting withGovernment departments. “Welook at issues around health pol-icy and industry policy, as wellas working with regulators. Weprovide commentary and advo-cacy to the broader community,”says Dr Shaw. They also makethemselves available to the me-dia in order to ensure that theindustries point of view is wellunderstood.“We have a Medicines AustraliaBoard which is made up of man-aging directors from our mem-ber companies who are electedbyourpeersintheindustry,”saysDr Shaw. “The Board providesstrategic direction on key issuesfor the industry. Through vari-ous channels members can con-nectthoughnetworksandwork-ing groups get involved as well.”Medicines Australia also hostsinformation sessions, meetings,and conferences where they caninterface and engage on the top-ics facing the industry today.One of the important functionsthat Medicines Australia pre-forms is that they help self-regu-late the industry by having theirmembers adhere to a strict Codeof Conduct. This code sets outan industry standard of ethicalbehaviour, in the marketing andselling of their drugs to the pub-lic and health care practitioners.Particularly significant is theirfocus on what promotionalmaterial they can distribute aswell as how they interface withpotential clients. “Our Code isa self-regulated code,” says Dr
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114. Healthcare | Business World Australia | 115Shaw.“Ithinkourcodeisregard-ed as a bench mark and a leader.And not just for our membersbut people outside the sector.We have developed the code toa point where it is universallywell regarded,” he says. “I thinkit’s one of the toughest codes inthe world, and it is certainly thetoughest in Australia. It governsthe interactions between com-panies and health professionals.It covers things such as not pro-viding gifts, or lavish hospitality.Promotion has to be balancedand accurate.” Dr Shaw says thatthe code ensures that all of theirmembers conduct themselves ina very ethical manner, one that isaligned with community expec-tations and government regula-tions.“The industry is a very impor-tant contributor to the econ-omy, both in terms of jobs,exports, and research and devel-opment,” says Dr Shaw. “It alsohas a role in the broader policyissues that Australia is dealingwith. Things like: healthcare re-form, the aging population, andhow the Australian economywill develop post-mining boom,as well as how we will increaseproductivity in the Australianmarketplace. All of these issuesare places the medicines indus-try has a real contribution tomake.” This is a very technicaland knowledge dependant in-dustry, and Medicines Australiais the best voice to represent itsissues and interests, all the whileprotecting the consumer andthe patient.
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116. Healthcare | Business World Australia | 117iNova Pharmaceuticals is an Australian owned and operated company. They pride them-selves in being a premier healthcare supplier in over 15 countries in which they have devel-oped their offerings to meet the demands of a market that is constantly changing. They donot see themselves as a big player, rather as a medium sized institution that has made innova-tion and powerful marketing tools part of their history and future.“We are a private equity owned business that came out of the old 3M Pharmaceuticals busi-ness,” says Andrew Howden, the CEO and Managing Director of iNova. “3M sold theirpharmaceutical interests in 2006, and split the world up into three: Asia Pacific/Africa, US,and Europe and sold them as separate groups. Two private equity companies in Australia,Archer Capital and Ironbridge Capital, purchased the Asia Pacific/Africa business and cre-ated iNova Pharmaceuticals.”What they got with the purchase was a number of well-known brands, a factory facility andestablished businesses across Asia Pacific and South Africa. “We own the rights to all thoseproducts throughout Japan, China, Asia, Africa and Australia,” he says.
117. 118 | Business World Australia | HealthcareMeet the CEOAndrew Howden is celebratinghis 30th year in the pharmaceu-tical industry, where he workedhis way up from sales and mar-keting to his present position asCEO. “A lot of my experiencewas from working with Astraand AstraZeneca,” he says. “Iworked in Australia, but leftAustralia in the early 1990s togo and work in Singapore forAstra as the head of sales andmarketing in South East Asia.”He moved a fair bit, from Eu-rope to work for Quintiles, andthen back to SE Asia for Astra-Zeneca in 2002. “AstraZenecawere investing very heavily inChina, building our field forcesand building a presence there. Itwas very exciting times. In 2006,I left to work for IMS Health- they offer all the data for thepharma industry - and did thatfor a few years.” Howden thengot the call to come back toAustralia and work for iNova asCEO.The offer was appealing to himafter spending so much timeworking for “the big boys” andlearning all he thought he couldfrom them, he thought it wastime to try something new. “Be-ing here and working for a pri-vate equity owned company,running your own business isquite stimulating and challeng-ing every day,” he says.With all the globetrotting thatHowden has done he has man-aged only to pick up some Swed-ish,helamentswithalaugh.“MyAsian languages are a bit want-ing, I can order a beer in a lotof languages, but that is aboutit. I may not have picked up thelanguages but the experiences Ihave gained have truly enrichedmy life.”Making it at home,selling abroad“About 70 per cent of our prod-ucts are manufactured here inSydney and exported to the restof the world, the other 30 percent we in-licence from otherAustralian manufactures or Eu-ropean companies,” says How-den, making it clear that themajority of what iNova manu-factures they make themselves.“Wehaveagoodmixtureofpre-scription and OTC (over thecounter), so we are not totallyreliant one particular part ofthe market. Some of the largerpharmaceutical companies arefocused on prescription, someonly on OTC, where as we arepretty much 50/50 which givesus great balance,” says How-den. For iNova’s prescriptionside they have products forskin cancers, heart conditions,weight loss, asthma, and paincontrol. The product range hasbrands that were carry oversfrom Riker Laboratories and3M Pharmaceuticals catalogue,as well as ones developed in-house as new and successfulproduct lines.CEO Andrew Howden
118. Healthcare | Business World Australia | 119A fertile brand is a healthy brandvisit www.bbk.com.auCommitted to healthy brandsAt BBK Advertising, creating healthcare brands is whatwe do best. We consistently deliver fresh, results-drivencommunications programmes. On time, on budget.So, from conception to birth and the ongoing nurturing ofyour baby,dont settle for anything less than the very best.You really can expect better atADVERTISINGADVERTISINGADVERTISINGExpect Better SolutionsBWA/BBK 4718. Level 5, 456Victoria Road Gladesville NSW 2111. Phone: 9879 8900
119. 120 | Business World Australia | HealthcareiNova is also tackling one of themost important health issuesof our time, obesity and weightmanagement. Most of the preva-lent western diseases can be re-lated to obesity and iNova rec-ognises that by managing bodyweight the overall health of pa-tients can be improved. As suchiNova has concentrated on sup-porting doctors with the mostwidely used prescription weightloss medication and they areabout to launch a new Very LowCalorie Diet which has been de-veloped in-house with the guid-ance of nutritionists and Profes-sors of Nutrition. With addedsupport from websites with dietand exercise programs iNova iscommitted to helping patientsmanage their weight and ulti-mately their health.One of the most interesting of-ferings, and most expensive pershot, is their Dicobalt edetateinjection. This is an antidote forcyanide poisoning. When youthink of cyanide poisoning yourmind might be thrown into spynovels or Cold War intrigues,but the chemical can be foundin everyday things, such as appleseeds, almonds, bacteria, fungi,cigarette smoke and car exhaust(hydrogen cyanide in the lat-ter two cases). This means thatpeople can have casual exposureto the toxin over a long period oftime, and gradually become con-taminated. This leads to bloodtoxicity that manifests itself asweakness, and even paralysis.At higher levels, it can cause thefeeling of coldness in the bloodof the body, blurred vision, andshortness of breath. At lethallevels cyanide completely blocksthe body’s ability to process oxy-gen, with death occurring with-in minutes of exposure.“The product itself comes fromthe US, and very little is manu-factured, but we always have tomake sure we have a few. Whenwe are carrying that sort of prod-uct you have to make sure thereis someone there ready to takean order 24 hours a day 7 days aweek. This is important becausesomeone could want this in themiddle of the night in Perth,and need it very quickly. It is avery unique product,” says How-den.
120. Healthcare | Business World Australia | 121Standard Range and ReferencesDedicated suppliers of speciality packagingProud suppliers to iNova Pharmaceuticals“OntheOTCsidewehaveprod-ucts that originally came out ofthe 3M stable, but were original-ly developed right here in Aus-tralia. The DURO-TUSS coughrange, and the Difflam throatproducts are very well known inthe market. We are particularlyproud of these because they arenumber one in their categories,”he says. “In the cough segmentfor in pharmacy purchases,DURO-TUSS is the numberone selling product. These daysif you go into any pharmacy inAustralia and you have a coughyou will be more likely to be rec-ommended DURO-TUSS thananything else.” This stands intestament to iNova’s marketingstrategy, Howden and his teamhas focused on working closelywith pharmacists and doctors,andmakingsurethattheirbrandis well understood.Brand name powerTo maintain their image as atrue medicine, even an OTCone, they have avoided puttingtheir products in general super-markets and corner stores. “Thisgives us a lot more support at thepharmacy level, but also gives usa different position in the mar-ket as a medicinal, professionalbrand,” says Howden. The Dif-flam products have also main-tained themselves as the premierproduct in their category as well,using much the same strategy.“Even though Strepsils is a bigname, we win in the pharmacy,”he says and this makes iNovavery proud, not only because itis their product, but it is an Aus-tralian one that holds this place.Along with the cough and coldmedications iNova offers al-lergy relief products, urinarytract medications, supplements,and topical pain relief gels andcreams. “Across the board wehave a fairly balanced portfo-lio, with many products in thetop three of their categories.We don’t market products thatare going to be number seven inthe market – we make sure theyare going to be in the top three,”Howden says. He also says that
121. 122 | Business World Australia | HealthcareiNova stays away from some ofthe categories that the “big boysplay in” because he knows thatthey just don’t have the marketclout, money, or resources tocompete against them.Their customer base has beendeveloped through directlyinterfacing with doctors andpharmacists. In Africa, Asia andAustralia they work with theirclients to make sure their prod-ucts meet their needs and areaffordable to them. This alsomeans that their products endup having professional recom-mendations.Getting bigger,staying ahead“Part of our strategy is goingto be geographic expansion.Australia is extremely good forus- it is half of our business, butAsia, as everyone understands isa much larger market and a larg-er opportunity for us. So a lot ofour expansion plans are focusedon Asia.” Since Howden had somuch experience in the region-al markets in Asia, he was theperfect fit for iNova’s businessexpansion plans. “We wouldhave liked to more in Asia sofar, but the opportunities inAustralia and Africa have beenhigh on our agenda and tied upa lot of our resources. What wehave done is tidied up the op-erations of the Asian businessto be more profitable, so a bigplay into China is next on theagenda,” he says. “We have al-ways been pretty focussed indeveloping our marketing pro-cess, and for a current launchin Australia we increased ourfield force size this year. This issomething we do to make surethat our sales and marketingcan compete with the big boysso that we can get our productsout to patients and doctors,”says Howden. “We have prod-ucts we are developing in housewith our own internal R & Dteam,” he says, stressing the im-portance of continuous innova-tion in the product pipeline.“Our scientists are always look-ing at new product develop-ment as well as how to improveour current portfolio. Half ofour products that we launchcome out of our own research,the other half comes from ourin-licence brands,” says How-den.By owning most of their ownmanufacturing process they arealso able to streamline the pro-cess with a minimal amountof bureaucracy, allowing eachindividual to make decisions.“For the last four years we havealso upgraded the factory andput in new machinery to makeus more efficient,” he says. “Thishas changed a lot over the lastfew decades, efficiency in man-ufacturing has moved to be ahigher priority than it was 20 or30 years ago.” This is importantif they want to maintain theirmarket share with the growingtrend of outsourcing.
122. Healthcare | Business World Australia | 123Investing in theiNova name“Globally the industry has beengoing through changes overthe last few years, with a lot ofmedications coming off patentand being genericised, and thatis going to have a big impact onthe market. The industry, how-ever, has proven to be resilientfor hundreds of years and willstill stay there,” says Howden.“As an industry we will continueto provide for patients and thepatients’ needs. The industryhas never been more focused onfinding new ways to treat diseas-es we have not been able to treatfor so long.”Because the patents are expir-ing in major markets, compa-nies, large and small, have newimpetus to innovate. “Sometreatments of cancers that wereperilously neglected have beenre-examined now that the in-dustry has realised that there is agood return to be had, which isgreat news for patients,” he says.Theyarealsorefocusingonheartconditions and weight control,both of which are emerging asvery strong product categories,and ones that iNova already hasstrong contenders in.“Our reaction to the GFC wasto invest more in sales and mar-keting, because our belief wasthat if we did that during thatdifficult period, when the mar-ket turned around again wewould be in a much better po-sition,” says Howden, and theplan worked. “We did not takeour foot off the accelerator, andwe came out the other end witha better market share,” he says.With the present well-in-handHowden says that they look todouble their sales numbers inthe next five years. “This yearalone our objective is to surpass180 million dollars in sales, so inthe next five we hope to doublethat,” he says.They are also looking to expandtheir businesses in China, Koreaand Japan. “So its two things, itsproduct pipeline developmentandgeographicexpansion.”Theyhave also examined how theycan educate to patients, and oneof the methods they are lookingat is mobile technology that willallow patients to track their con-ditions with a mobile app. Oneday iNova will have “an app forthat”, Howden laughs at the sug-gestion, but says that is basicallythe idea. “Diabetics are one ofthe biggest groups that are look-ing for information about theircondition, and if you can havean app for them, and lets themknow if they are under control,they will embrace this sort ofidea,” he says. This not only dem-onstrates the company’s forwardthinking but their grasp of con-sumer technology as a market-ing and educational tool. This ishardly surprising coming from acompany that Howden has de-scribed as excellent marketers,but it may become an unpleas-ant one for their competitors.
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124. Healthcare | Business World Australia | 125Formero, previously ARRK ANZ, has been a leader in proto-type developing for the last two decades. Founder and manag-ing director, Simon Mariott discusses the history of the com-pany. While Simon explains that Formero’s original history had beenin product and medical development, they later “branched out intoprototyping and tooling manufacturing, specifically for the automo-tive industry,” says Simon. Formero is independently owned and is thelargest prototyping and manufacturing services provider in Australiaand New Zealand. Formero offers customers the latest prototypingtechnologies in the market. They offer 3 types of Rapid Prototypingtechnologies: SLA (stereolithography), Objet 3D Printing, and SLS(selective laser sintering). Prototyping is used in several different in-dustries including, but not limited to: medical, architecture, electron-ics, and automotive.
125. 126 | Business World Australia | HealthcareFormero differs from others in the industry basedon their rapid results. Formero is able to providetheir customers with a prototype in as little as oneday. Formero also has diverse technology whichsets them apart from their competitors. They areable to provide their customers with a broad rangeof solutions to meet their needs. “None of ourcompetitors have the type of technology we haveinvested in,” says Simon. “We have 6 technologyplatforms that we can use to provide solutions tocustomers.”Even though they are leaders of the industry,Formero still faces its challenges. Simon sums upFormero’s three major challenges: technologi-cal challenges, the high dollar, and the ability tofind skilled labourers. “Five of our technologicalstaff are from Germany and the UK,” he explains.Formero values their highly skilled employees.In addition to performance goal targets and bo-nuses, Formero also offers a profit sharing pool formanagement, says Simon. Their second tier levelemployees are also given key goals with rewardsagainst them. Such incentives keep both employ-ees and the business happy.A little goes a long wayIn terms of green initiatives, Formero practices‘environmentally friendly’ procedures. “Internal-ly, we recycle paper, plastic, and metals. We havedesignated areas where all our office stuff goes,”says Simon. Additionally, all the paper and card-board within their factory are recycled. Recyclingis one of their major initiatives in reducing waste.Formero also practices a standard policy of “lightsout.” After hours, all lights are to be turned off andall computers are to be shut down. Aside from twosecurity lights, Formero has made a conscious ef-fort to reduce their use of power and electricity.
126. Healthcare | Business World Australia | 127Not allowing the GFC to affecttheir positiveoutlook for the futureOf course Formero has not gone without beingtouched by the current global financial crisis. “TheGFC certainly has affected us,” says Simon. “Wesaw a 20% drop in sales from 2008-2009, howev-er, 2009-2010 saw a complete rebound. We recov-ered our position.” Formero is projecting to growby another 15%, but Simon is slightly pessimisticdue to the current challenges which the economyis facing. In addition to the GFC, there are issuesoccurring worldwide; Japan, the Middle East,and even the floods here in Australia. The globaleconomy is facing so many challenges at once; it isunlike anything we have seen before. “The next six
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128. Healthcare | Business World Australia | 129months will be a challenging time for a lot of busi-nesses,” says Simon. In the face of such challenges,Formero is looking to double their revenue. Theyare predicting an “aggressive growth period” with-in the next five years.In addition to new markets opening up, Formerois also investing in new technology for the fu-ture. “Digital dentistry is a new market with abig growth area,” says Simon. By developing 3Dprinting technologies, they are replacing labourintensive aspects of the dental laboratory. Theyare supporting dental laboratories with a directmanufacturing process to produce study modelsand guides for surgeries.Despite the importance of scientific innovationand research development, Simon explains the un-certainty that the government is placing in theseareas. “While competition has never been stron-ger, the support of the government is vital to a lotof these players,” says Simon. “We need a govern-ment that is active in supporting innovation.” Thediscussion of readjusting tax allowances is impor-tant to Formero. The research sector is definitelynot an area which can be ignored. It is in a senseour future.
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130. Healthcare | Business World Australia | 131MiniFAB was founded in 2002 asa privately owned and operatedmicro and nano manufacturingcompany. Based in Melbourne, they special-ise in design, integration and manufacturingof polymer micro-engineered systems for thebiotech, health, agriculture, food, and envi-ronmental sectors.MiniFAB also has a self-describing name:“Fab of course comes out of the microelec-tronics industry, where you fabricate micro-electronic chips. Australia didn’t and doesn’thave a large microelectronics industry, butmicro-technologies and nanotechnologymore generally were starting to evolve in the1990s into a process that was more main-stream manufacturing,” says Dr Erol Harvey,CEOoftheinnovativecompany.“Thereasonwe put the mini in front of the fab, is that wewere not creating a billion dollar semi-con-ductor plant, we were literally a much moreaffordable manufacturing and engineeringdesign process based around micro and nanotechnologies. The name says exactly what wedo, it’s mini - it’s small.” Together with Mi-chael Wilkinson, Dr Harvey founded Mini-FAB in 2002.Crisis? What crisis?“Most of our business comes from clientsoverseas,” says Dr Harvey indicating thatthese clients make up about 90 per cent oftheir market. “The big area for us is in thedevelopment of diagnostics, such as a ‘Lab-on-a-Chip’ also known as ‘Point-of-Care Di-agnostics’,” he says. “Our business is a servicecompany; we develop our client’s products
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132. Healthcare | Business World Australia | 133“says Dr Harvey. “Often our cli-ents will have a bright idea andneed other bits brought togeth-er to make it work, or have anaspiration to develop a new kindof product.” During the GlobalFinancial Crisis, Dr Harvey saysthat they began to notice thatmany of the larger players in thediagnostic field came to the re-alisation that innovation withintheir product range was very im-portant. “They knew what theirproduct lines looked like goinginto the GFC, and they knewit couldn’t be the same comingout. So, there was, and is, a lotof business available in the areawe are working in- both in termsof new product innovation andproduct development.” He saysthat investment into this type ofexpansion meant that MiniFABhas noticed little or no changein the amount of work available,even during the worst times ofthe financial crisis. “We did havea drop-off in venture capital andstart-up companies coming tous from the US and Europe dur-ing this time, however even theyare re-emerging into the field.”A large sector client of theirs isthe biotech and medical fields.Many people have agreed thatthese two sectors have largelybeen unaffected by the econom-ic situation.The land bridgeThe US and Europe representthe two largest concentrationsof MiniFAB’s clients. The geo-graphical location of MiniFABhas also presented its own op-portunities and challenges, theyare the halfway point betweenmajor markets in Asia and theUS, but are of course operatingin a different time zone. “Thisworks well for us, particularlyin West Coast of the US, ourmorning overlaps with most oftheir afternoons, the other thingthat has changed over the lastfew years is the affordability ofteleconferencing and documentsharing and so on. This makesthe Geographic location be-come less and less important.”According to Dr Harvey thedevelopment staff and projectteams that MiniFAB now usesspans 2 or 3 continents, “This ispretty much the standard way inwhichweworknow,”hesays,butwith the added stipulation thatface-to-face meetings are alsovery important. “They are veryimportant, but what this meansis that between the face-to-facemeetings you can get an awfullot done. The world for this in-dustry is becoming increasinglyflat, so it something we take ad-vantage of,” he says.Doing it right thefirst timeThe product they developed forTearLabTM Corporation is al-most a case study in the adapt-ability and expertise foundwithin MiniFAB. “TearLabTMstarteddevelopmentoftheirdis-posable component using multi-project wafer processes offeredby IBM in the USA. With thistechnology you can, for a fairlyaffordable amount of money,
133. 134 | Business World Australia | HealthcareDr. Erol Harvey
134. Healthcare | Business World Australia | 135piggy-back a number of designsonto a semi-conductor fab run.”The project became complicat-ed, and they sought out a sec-ondary company to help in theproduction, which again turnedsour for them. “In desperationthey were looking around foranother contractor and cameacross us,” Dr Harvey recalls.“We were able to demonstrate,develop, and then deliver theentire polymer-based productthough to CE (European) mar-ket launch within 18 monthswhich in the Biotech industryis record time.” MiniFAB’s rolewas to create a disposable devicecapable of collecting 50 Nanolitres of tear fluid without theuse of complicated secondarymachinery. “We haven’t lookedback since, we are now makingover a million of these devices ayear for them,” he says.Building areputation“A really important part of whatwedoisthatwegorightthroughfrom development process tomanufacturing stage. Many ofour competitors specialise inthe development process, butfor the proof of principle part,if you aren’t using representa-tive materials, or representativemanufacturing processes, thenthe whole process of translat-ing into manufacturing is muchmore expensive, much riskier,and takes much longer.”Designing from early on in theprocess means that MiniFABcan guarantee that the processwill work for the end of lineproduct. “Martials are an im-portant part of what we do,” saysDr Harvey. “If you prototype inthe wrong material, it’s not go-ing to be the one you take intomanufacture and that will createfurther complications.” Mini-FAB spends a lot of its time withits biochemistry clients makingsure that the materials match theneeds of the final product.In the near future, Dr Harveysees that the production areawill continue to be a major areafor their business, as well as ex-panding opportunities for thecompany in Australia itself.Although at the present timemuch of their business is con-ducted with overseas compa-nies, Dr Harvey is really quitekeen on expanding their homemarket. “Our business is aboutthe top-end polymer micro-en-gineering. I think this can be alarge sector for us, as well as con-tinuing in our product develop-ment initiatives.” He sees a fu-ture for MiniFAB in everythingfrom biotech, implants, sensors,food packaging and water qual-ity monitoring. What they do issmall, but the market for the ap-plications is almost limitless.
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136. Healthcare | Business World Australia | 137iZON is a New Zealand basednanotechnology company witha focus on detection, measure-ment and applied research in na-no-particles and nanomedicine.They currently offer a broadrange of measurement and de-tection products aimed at re-searchers in the field. They hopethat by offering their productsat a fraction of the price thatother companies, and are muchmore versatile than other offer-ings, that the promises of nano-technology and nanomedicinewill become a reality. With theirtwo flag ship products qNanoand qViro, iZON is leading theway into nano-medical research.“It’s a great story,” says iZONCEO Hans van der Voorn,“right now we are focusing onhow to sell our product to peo-ple who want to pay for it, thisrequires a lot of market research.This is quite radical for a nano-technology company, becausea lot of them want to becomethe next big thing and a milliondollar enterprise, but they seemto forget that they have to sellsomething to somebody first.So our focus has become to sellmeasurement instruments to re-searchers.” When van der Voornbegan working for iZON, hehad so much faith in the successof the company he came out ofretirement and sold his houseand taking the assets and rein-vesting them into the company.The impetus of the technologythat iZON bases its product linecame from one of the founderswho saw that they could applysome of the same techniquesthey use for making kayaks tonanotechnology.“The main application of ourproducts is medical research; weprovide the tools for that medi-cal research,” says van der Voorn.“We provide a very accuratemeasurement tool to the peoplethat are involved in nano-engi-neering. With these measure-ment tools they can optimisedesign and test their equipmentin a much more efficient way.”The biggest application thatiZON has been applying itstechnology to is the emergingfield of nanomedicine. Usingbeta vehicles in chemotherapytreatment, and the nanomedi-cine loaded into nano-particles,
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138. Healthcare | Business World Australia | 139doctors could more selectivelytarget cancers and tumours.“Chemo is basically a poison,and doctors are always trying tofind the right balance so that themedicine will affect a tumour,but not kill a patient. One of thegoals in nanomedicine is to de-liver the chemotherapy drugs di-rectly to the tumour. This wouldbypass having to put it into therest of the body.” Van der Voornsays that this is all still in the re-search stage, but shows incred-ible promise, and that iZONis just the tool that researcherswould need at this point.“What they want to do is loadup the drugs into nano-parti-cles, and have those particlesfind their way to a tumour,” hesays that with iZON research-ing these possibilities has madethis closer to reality. “Whatthey need at this point is veryprecise control and a very pre-cise understanding about whatthose particle systems are, andwhat we offer is a measurementsystem that lets them do a wholerange of measurements – before,during and after.”Working with the Universityof Melbourne they have imple-mented there technology therewith resounding success. “Theycreate these very complex struc-tures, they have a very smallnanoparticle that they coat withlayers of various proteins, andthen they dissolve the particleout of the middle. This leavesthem with this hollow bas-ket, their goal is to put drugsinside this basket and have itpass through a cell wall into atumour.” In this instance theycouldn’t find an accurate way ofmeasuring the amount of “bas-kets” they had created. This iswhere iZON was able to supplythe much needed measurementtools. This process of countingthe particles is almost instan-taneous. The setup takes only afew minutes the part that takestime, but compared to the timeit would take to do the sameprocess with an electron micro-scope you are looking at a differ-ence of almost 12 hours if not aday. The other problem is witha delay as long as 12 hours, theobjects being observed changetheir position and their proper-ties. With iZON’s technologyyou get an almost instantaneous
139. 140 | Business World Australia | Healthcaresnap shot of how many particlesa researched would be dealingwith.iZON is not the only companyin this space, and van der Voornis quick to point out that theyare the most advanced providerof this technological solution,their major competition is thatof the established technol-ogy. The established technolo-gies, he says, have not movedfast enough with the research.“What we have is a classic dis-ruptive technology, we can doa lot of things that they simplycannot do. Finding the concen-
140. Healthcare | Business World Australia | 141tration of particles is just oneexample of something that theydo not do nearly as well.”Their products are incrediblycompact and because of this,shipping costs and energy con-sumption is kept low. “Ourpower consumption of the de-vices is very light for the enduser, almost trivial. In the pro-duction process each devicerepresents a very small carbonfootprint,” says van der Voorn,pointing to only some of theadvantages. Each device is also100 per cent recyclable when itreaches its end of life.With a small price tag therecomes some great opportunitiesfor research and educational in-stitutions. “First of all, any ofour products will run on anynew laptop, right off the self.We provide our own software,and if there are any updates toit we supply it for free forever.”Another of the advantages tothe product because they arerelatively inexpensive to say, anelectron microscope, profes-sors and researchers will not behesitant in letting graduate orundergraduate students use theequipment.By the middle of next yeariZON has set the goal for itselfto become the world’s #2 com-pany that does nano-particlemeasurement. As van der Voornsays, the world’s number onecompany has been around for30 years, and it is not realisticthat they will overtake them inless than a year. Their market-ing strategy over the durationof their operations has beenfocused on direct sales andpartnerships. “98 per cent ofour sales are done through di-rect sales, but we are looking atbuilding networks and partner-ships across the world.” says vander Voorn. Much of their mar-keting is done through submis-sions to scientific journals andthe production of papers andreports. This is a slower processthan most mainstream technol-ogy companies, but the peerreview process that they mustgo through during submissionadds credence and power totheir brand. With units alreadyat Harvard and Oxford, iZONis targeting its core audiencewith an exciting new product,one that will let them makebreakthroughs with a smallercash spend.
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144. Healthcare | Business World Australia | 145The medical technology in-dustry is growing rapidlyaround the world, with annualrevenues forecast to be over(USD) $288 billion in 2011,driven by the increasing afflu-ence of developed and develop-ing countries, improvements inmedical technologies and theresultant increases in life expec-tancy fuelling demands for ahigher quality of life, regardlessof health conditions.AusMedtech, part of AusBio-tech, is the national industrygroup that represents the medi-cal devices and diagnostics in-dustry sector. AusMedtechworks to a strategic plan to growand support this important andfast-growing industry sector, by:• Providing information to al-low for better decision makingby medical technology business-es - facilitate success in productdevelopment, manufacturingand business;• Representing Australian de-velopers and manufactures andfocus the industry on commer-cialisation and export success –taking Australian medical tech-nology to the world;• Supporting future sustain-ability by encouraging links be-tween industry, research bodiesand government;• Leading advocacy for indus-try issues and to raise commu-nity awareness of the Australianmedical technology industry.The Therapeutic Goods Admin-istration has defined a medicaldevice as any technology, in-cluding devices, software or di-agnostics, intended to be usedby human beings for the preven-tion, monitoring or treatment ofa disease, injury or physiologi-cal process. It includes joint re-placements, artificial hearts andheart stents, as well as implantslike the cochlear implant.Driving the demand in medicaldevices in Australia, is one of theworld’s fastest ageing popula-tions. By 2050, over 30% of thepopulation will be over 65 yearsof age and the ‘85 or older’ agegroup is the fastest-growing seg-ment.Australia has seen its medtechsector advancing vigorously forsome years and now has an es-tablished community of com-panies, particularly in Victoriaand New South Wales (NSW).Industry success stories includeResMed, maker of devices totreat sleep disorders, and bionicearpioneer,Cochlear.Thesetwocompanies have a market capi-talisation of more than (AUD)$5 billion and almost $ 4 billionrespectively.These are the largest amongst,and perhaps best known of theestimated group of more than1,000 companies that make upAustralia’s medtech industry.The majority of companies areat the start-up end of the spec-trum and employ fewer than20 people. Around 10% of thesector now employs over 100people.Industry turnover in Australia isover $6.5 billion annually, withrevenue from local manufactur-ing more than tripling, from$898 million in 2003-04 to $3.2billion in 2010-11. There are atleast 17,500 people employed
145. 146 | Business World Australia | Healthcareby 1,890 enterprises in the sec-tor, generating more than $1.1billion in wages. This reflectsthe strong growth since 2003-04when there were only 710 enter-prises employing 4,800 people.Around80%ofenterprisesareonthe eastern seaboard with manycompanies involved in import-ing, sales, marketing and distri-bution and undertaking a com-plex range of activities includingthe research, development andmanufacture of products. It isan exemplary knowledge-basedindustry with healthy prospects,expected to grow at a compoundannual growth rate (CAGR) of6 – 9% over the next five to tenyears in line with global trends,provided a sufficient skills base isavailable. This strong projectedgrowth in demand is expectedto lead to increased rates of ex-pansion for start-up and mid lifecompanies, with many maturedomestic companies expectingto double their revenues in thenext three years and importingcompanies expanding opera-tions.The industry is strongly export-focused, exporting over 80% ofdomestic production. Trade ismainly with the US, EU, Japanand China. While exportingmost of the medical devices pro-duced, Australia imports morethan 80% of medical devicesconsumed, demonstrating thetruly global nature of this indus-try.
146. Healthcare | Business World Australia | 147The industry is advancing rapid-ly, using research developmentsto facilitate innovations in thebiomedical sphere. An increas-ing convergence of technologyplatforms has resulted in greatercollaboration across the disci-plines of biomedical, electronicand mechanical engineering,nanotechnology, ICT and soft-ware development to developthe next generation of medicalbionics.The Australian industry’s pre-mier medical technology confer-ence, AusMedtech 2011 (www.ausmedtech.com.au)istobeheld23-24 May in Sydney, providingbusiness partnering opportu-nities for decision-makers andnetworking with key industryplayers. The annual event bringstogether key stakeholders of theAustralian and internationalmedical devices and diagnosticssector, to discuss the major issuesin global medtech success with afocus on emerging markets. Thisis a must-attend event for any-one interested in the sector.Special features of AusMedtech2011 include a Medtech Invest-ment Summit and the MedtechTrade Exhibition. This confer-ence will provide informationto help you plot your courseto global success, targeting keycommercial issues such as exportopportunities, finance and in-vestment, hot technologies andupdates in the fields of IP, regu-latory approvals, reimbursementand sales networks.
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148. Healthcare | Business World Australia | 149Mark Watson, CEO ofOrmiston says that thehospital was created to fill aneed, and has quickly movedto not only fulfil that need, buthas exceeded expectations of theproduct. In 2008, ground wasbroken on what is now a gleam-ing and appealing medical facil-ity. Celebrating their first-yearof operations, Ormiston Hospi-tal has nothing but good feelingsabout its staff, patients, and itsfuture.“There was no private hospi-tal facility between Greenlane,Auckland, and Hamilton, thereis quite a big gap, geographicallyspeaking, without a private sur-gical health care options for thepopulation of the South andEast of Auckland. This particu-lar area in Auckland is growingat an extremely rapid rate,” saysWatson, pointing to the needfor an extension of health careoutside of the publically fundedsystem. “Back in 2007 it was rec-ognized that there was an op-portunity for someone to builda hospital in the South andEast Auckland area due to therapid growth that was expectedover the next few years with theplanned execution “of a numberof big projects” being developedby the local authorities. “We sawa need, we chose to fill it.”These projects included a num-ber of housing, commercial andretail developments that Watsondescribed as “right next door tous”. However, these plans wereput on hold due to the globalrecession. Watson knew thatthey are still on the books, anddecided that although somepeople might hesitate in takingon this opportunity. “There isstill a huge growth in popula-tion expected in this area in thenext 10-15 years,” he says, so newhomes or not, south-east Auck-land will still need health careproviders. In fact the popula-tion expected to grow by at least170,000 in the next 15 years. Itis a clear indication that an ex-panded health care system willbe needed in the near future- ifnot already. With more than 50surgeons credentialed to work atthe hospital, the project alreadyseems to be a success. With ajoint venture partnership so-lidified with Southern Cross,they have been able to expandtheir original plans and providemore services. On June 20th2009, Ormiston was opened asAuckland’s first private hospital,the ceremony was propitiatedby Prime Minister John Key.The notability of this achieve-ment was obviously not lost ongovernment officials. This yearmarked the one- year anniversa-ry of the company, one that wascelebrated in local papers andevents. “We also celebrated withour staff taking them out on anice boat trip, we kept it smallbut I think everyone had a goodtime,” he says. “We celebratedwith the staff who really make
149. 150 | Business World Australia | Healthcare[Ormiston] work, to be hon-est and we really wanted themto make them feel appreciated.”The 90 staff members that makeup the economic workforce ofOrmiston are either nursing staffor allied health professionalsworkers. These employees makeup the backbone of Ormiston’splan for success.“Clare McArthur, my predeces-sor, and John Edwards alongwith a few clinicians got to-gether with a couple of localGP practices and went out andsold the idea of building a pri-vate hospital in the area. Thishospital was to be guided by theclinicians and local GP’s, andowned by the clinicians and lo-cal GP’s.” The purpose, he says,was to serve the community ofSouth and East Auckland, andthe community is important tous. The founders saw that trans-portation to a major medicalcentre might present a problemto patients who required minoror cosmetic surgery. “We want-ed to offer a solution that wouldmean that they didn’t have totravel to central Auckland to getMark Watson (Chief Executive Officer)“I am extremely proud of our clinicalreputation in the workplace that wehave at the moment. I am very proudof the level of experience and skillthat we have in our staff.”
150. Healthcare | Business World Australia | 151their medical or surgical proce-dures done,” says Watson. Southand Easte Auckland, specificallythe Counties Manukau regionrepresents about 11 per cent ofNew Zealand’s total population.A “double boost”Planning for the hospital be-gan in late 2006 and carried onthrough 2007. During the finalstage of building the stake hold-ers were approached by South-ern Cross Hospitals Limited.Southern Cross represents NewZealand’s largest private hospitalnetwork, they are a not-for-prof-it group who focus on affordabil-ity in health services and any sur-pluses that they may achieve arereinvested into their group of af-filiates and partners. Part of thisreinvestment into private healthcaretooktheformofaformationof a partnership with Ormiston.“They wanted to invest into thisfacility,” recounts Watson, “theyput a significant investment intoNEW ZEALANDMADE!*smith&nephewCustomised Procedure PacksHealthcare Division, Smith & Nephew LimitedPO Box 442, Shortland St, Auckland 1140, New ZealandHead Office Tel: 09 828 4059 Fax: 09 820 2867Customer Services Tel: 0800 807 663 Fax: 0800 263 222Web Site www.smith-nephew.com/nz® Registered Trademark 1911/12 2010NZ designed andcustomised for your needsSURGI-TEK LIMITEDWorking together to create first class OperatingSuites at Ormiston HospitalKLS Martin marLED Surgical LightsKLS Martin indePENDANT Ceiling SupportUnitsKLS Martin maXium ElectrosurgicalGenerators & Argon Delivery UnitDenyers Operating TablesFor more information please contact Scott Shields ofSurgi-Tek on +64 21350964 or scott.shields@surgi-Tek.comOr Marilyn Thomas of OrthoMedics on +64 95271203 email@example.com
151. 152 | Business World Australia | Healthcarethis building and became a 40per cent shareholder of the or-ganization. By doing so, we be-came another joint venture withSouthern Cross, of which theynow have four all around NewZealand and this means thatthey don’t directly control themanagement of the hospital, butthey have a seats on the board.”Watson says that the investmentand operational support thatSouthern Cross provided gavethem a “double-boost” that letthem expand far beyond whatthey had first planned.“Originally we had plannedfor four operating theatres thatwould deal with mainly daycase medical procedures. WithSouthern Cross we were able toadd two more theatres, and im-prove our facility but allows usto do what we do now, whichis not only day case surgery butmore complex surgery and over-nightstaywardfacilities,”hesays,very enthusiastic about what thismeans to the facility.ChallengesThe building itself was complet-ed in early 2009. Watson laughswhen asked if it still has thatnew hospital smell, “it does,” hechuckles “just like a new car.”The hospital boasts some of themost technologically advancedoperating theatres in New Zea-land, attracting professionals tothe private facility from far andwide. The preference that sur-geons have placed with Orm-iston speaks to the efforts thatWatson and the staff there havemade in providing the best facili-ties and support. “Of course oneof our biggest challenges that wefaced was that we open smack-bang in the middle of the reces-sion,” although New Zealand hasescapedmuchoftheworstofthiseconomic down-turn, peoplewere worried about the possibleeffects. Many down-graded theirhealth insurance policies andput off elective surgeries. “Obvi-ously people thought that theyneeded that money somewhereelse in their household spend-ing,” says Watson, he has alsoseen a reduction in the fundingthe Government has suppliedfor letting public health patientshave access to private hospitals,as well as significant case review
152. Healthcare | Business World Australia | 153processes within ACC .“These are the main areas that have affected ourpatient throughput numbers, but to be honestsince the beginning of this year we have noticed aplateau of patient numbers. This is actually quitepleasing because last year we were seeing dips andspikes, now we are actually levelling off with a reg-ularity in our patient throughput,” Watson says heis very pleased with the progress he and his teamhave made in the last 12 months. On approachingthe community, Watson says they are being quietsuccessful in developing ties with all the local GPpractices and a certain trust in their care. “Becausewe have both a public and a private healthcare sys-tem here, what we have been trying to show themthat we are that ‘comfort blanket’ should they re-quire surgery or medical treatment,” he says.Spreading the wordThe General Practitioners that Ormiston dependson are also its biggest evangelists. By having someServicesWatson says they are constantly expanding their services, and the more specialized options they can providefor, the more they will thrive. One of the new services they have expanded into recently is Bariatric surgery, orweight loss surgery and will soon be adding spinal surgery to their list of services in February 2011. Watson isparticularly excited about this development, as well as the establishment of all their fully available services.w Bariatric surgeryw Ear, nose and throat surgeryw General surgeryw Gastroenterology/Endoscopyw Gynaecologyw Maxillofacial & Oral surgeryw Paediatric surgeryw Plastic Reconstructive and Cosmetic surgeryw Liposuctionw Ophthalmologyw Orthopaedicsw Spinal Surgeryw Urologyw Vascular surgeryw Radiologyw Breast Carew Pharmacy
153. 154 | Business World Australia | Healthcareof them as shareholders in thehospital, they are also motivatedto see the project succeed. “Wealso market to the community,as a service that is available andconvenient to their local area.We really try to push that aspectas part of our overall marketingstrategy,” Watson says. “Certain-ly we have been successful in thisbecause the community is a lotmoreawareofusandourservicesthan they were 12 months ago. Ifthey ever need a private hospital,they know that they have one ontheir doorstep rather than hav-ing to go all the way into Auck-land City, through some terribletraffic at certain times.”One of the goals for OrmistonHospital is to become part ofthe overall health system forCounties Manukau, workingin partnership with the publichealth system in providing qual-ity healthcare to the community.Though situated in CountiesManukau, Ormiston reachesinto the surrounding area, suchas Northern parts of Waikatoand the Coromandel Peninsula.“What’s unique about Ormistonis that if you get your surgeonsto invest in the operations of theorganization by way of share-holding, which then allows thesurgeons to more incentivizedto bring patients to this hospi-tal, which becomes a facility thatthey know and trust.”Another aspect that separatesOrmiston from the rest of theherd is that they are “brand new,chic and contemporary in thedesign and layout of the hospital.We have a significant amount ofstate-of-the-art and cutting-edgemedical equipment that a num-ber of other hospitals have notmoved on to yet,” says Watson.Trust and convenience means alot to the patients that Ormistonserves, with consistently positivefeedback from both patients anddoctors.“We have concentrated on im-proved models of patient flow,
154. Healthcare | Business World Australia | 155high standards of care, and judg-ing from our patient satisfactionsurveys, and from the feedbackwe get from our surgeons we arevery well regarded at the mo-ment, with an outstanding clini-cal reputation,” he says, quitepleased with the results. Healso points out that their clini-cal reputation has also been veryhigh amongst their peers in theindustry. “Certainly, many ofthe doubters we may have had12-months-ago appear to haveall silenced.”For this year Watson says thattheir main focus will be on theconsolidation of services, andgetting the existing facility op-erating to its full potential. Wat-son says that the next year willalso help determine the growthrate of the hospital for the next5, and even 10 years. With theirexpanding reputation, Ormistonsees that the more surgeons thatwant to be part of the hospital,the busier the hospital will get.Is Watson proud of what Orm-iston has accomplished? Simplyput: Very. “I am extremely proudof our clinical reputation in theworkplace that we have at themoment. I am very proud of thelevel of experience and skill thatwe have in our staff, we put a lotof effort in to acquiring the beststaff that came from this area, wehave even attracted a lot of careprofessionals from other hospi-tals to come and work for us. Werelyontheskillsofourspecialiststhat choose to work in our facil-ity, but we also treat them likeour customers.” Watson thinksthey have been particularly suc-cessful in building up their con-fidence in the service they offerand making their staff and physi-cians happy. “I think this makesus unique because this way wereally have two types of custom-ers. The first of course is the pa-tients, the second is our special-ists. If we keep them happy, theywill come back to us and bringtheir patients.” Each set of cus-tomers, says Watson, is equallyimportant to them.
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156. Healthcare | Business World Australia | 157Dr Peter Stephenson, founder and Executive Director, of MontserratDay Hospitals has been in the specialty medical field since 1978.Graduating in 1968, he obtained his first specialty degree in 1972 inGeneral Medicine, and then sub-specialising in Gastroenterology. Hehas a long history in private practice, and is very in tune with the needs ofdoctors, patients and the community at large. This made him one of thebest individuals to start and run his own private hospital.In 1996, he and some colleagues founded the first Montserrat Day Hos-pital in South East Queensland and have continued to expand their offer-ingstoincludeanetworkofthreeDayHospitalsinSpringHill,Indooroo-pilly, and Gaythorne. In 2006, Dr Stephenson became the President ofthe Australian Day Hospital Association, and has held positions on theDepartment of Health’s Aging and Care Committees. His election andappointments to these positions speak to his long and distinguished ca-reer in medicine. In 2008 he retired from clinical practice due to a serioustractor accident. He has remained active and has changed his focus to themanagement of his hospitals, and the future development of the compa-ny and its holdings. Part of this has already shown some great expansionopportunities, with the slated opening of the new North Lakes facilitydue to open in September 2011. This new day hospital will boast state-of-the-art operating theatres, modern décor, and systems that maximizepatient flow.The Montserrat mission“Our mission is to provide exceptional patient centric care in all of ourDay Hospitals, and the strategy we intend to achieve this is to providesuch good care for our patients and such good conditions for our Pro-ceduralists that we can attract both away from overnight hospital care,”says Dr Stephenson. By implementing this tactic they have become wellknown for their quality and above industry standards within their facili-ties. Montserrat’s 15 years of experience in operating Day Surgeries meansthat their patients are provided with exceptional service from the mo-ment they walk through their doors.Patients are also contacted either 14 or 21 days after their surgical proce-dures in order to ensure that they are well and satisfied with their experi-ence at Montserrat. This continuous feedback system ensures that Mont-serrat is able to improve their services and address the concerns of theirpatientsEstablishing a reputationDr Stephenson recognises that their reputation in the area of endoscopy
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158. Healthcare | Business World Australia | 159is already well known, but alsopoints to the fact they haveexpanded their services to in-clude Paediatric Dental, Urol-ogy, Plastic & Cosmetic Sur-gery, IVF, Podiatric Surgery andGeneral Surgery at their facili-ties. “We have expanded on therange of the disciplines that weoffer,” he says.“We started with Gastroenter-ology alone in the first two dayhospitals, but we have expandedour services to include clinicalsurgery in the third, and will aswell in the fourth when it opens.Itwillhaveanexpanded,butstilllimited set of disciplines.” Lim-iting the available disciplineswill not minimize the success ofMontserrat, but will allow themto excel in the services they of-fer. “Our case load has increasedimmeasurably with these ex-panded sites.” To support thisDr Stephenson says they have2 operating rooms and 4 proce-dure rooms in total at this time,and with the opening of thefourth hospital they will have atotal of nine operating rooms intotal.Trends in theindustry“The major trends that I am see-ing in the industry are that thecosts and the adverse outcomerate, especially in the overnighthospitals, are far too high,”says Dr Stephenson. “There isa world-wide recognition thatthe technological advances haveallowed much of which wasdone in overnight hospitals tobe now done in Day Hospitalswith very good outcomes, andconsiderable savings,” he says.Dr Stephenson thinks that thismarket reorientation from over-night to day hospital facilitiescan only improve the health ofthe population at large, ratherthan diminish it. “In the DayHospital we are seeing minimaladverse events and considerablecost of care savings,” he says.“I could point to just one of theadverse out comes, which hasbecome a major problem re-cently. This is hospital acquiredantibiotic resistant infections,”.Day Hospitals have a very lowinfection rate.Dr Stephenson feels there isProud to be suppliers to Montserrat Day HospitalQueensland agents for:For more information on these and products in our extensive range please visitwww.hoylandmedical.com.auUnit 7, 22 Palmer Place, Murarrie QLD 4172 P: 07 3390 7011 F: 07 3390 7955 E:firstname.lastname@example.org Denyer operating tables  Kenmed patient warmers Erbe electro surgical equipment  Coolview surgical head lights Axis health products  Wolf endoscopic instruments Transmotion procedure chairs  Frimed surgical instruments
159. 160 | Business World Australia | Healthcarestrong competition betweenovernight and Day Hospitalsfor Procedural Doctors as wellas patients, and this is healthy.However, there are strong ar-guments, due to outcomes andcosts, that if patients’ surgeriesor procedures, are suitable forDay Hospitals then the surger-ies or procedures should be per-formed there. This is a growingtrend throughout the world,and because of technical ad-vances it is accepted that mostprocedures and surgeries cannow be performed in Day Hos-pitals.Changing ideas,changing mindsThere is a perception that largehospitals with imposing bricksand mortar are better equippedto deal with healthcare needs.The belief that stand-alone DayHospitals are less adequatelyequipped is simply errone-ous. They must be comparablyequipped to overnight facilitiesto manage their case load, to
160. Healthcare | Business World Australia | 161maintain their licensing and ac-creditation. What they do offeris a relatively clean environment(with absence of resident an-tibiotic infections, which nowplague our overnight facilities).In addition, each Day Hospi-tal offers a focused culture andpractice to deal with and spe-cialises in a limited number ofdisciplines.This allows organisations likeMontserrat to be efficient. DrStephenson points out that theoperations and services thatMontserrat does offer is at leastas good as what overnight hos-pitals can offer. “We do provideexcellent services, with excel-lent outcomes, with very lowadverse outcomes and are verycost competitive.”
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162. Healthcare | Business World Australia | 163Waikiki Private Hospital was estab-lished in 1994, and located 50 ki-lometres from the central business districtof Perth in the suburb of Waikiki. Fromhere, the staff at the hospital have dedicatedthemselves to providing care and bolsteringthe area’s healthcare system. During its 16years of operation it has gone through sev-eral different owners. The present owneris Dr Tony Robinson who purchased thehospital in October 2006, at which timethe name was changed to Waikiki PrivateHospital in order to reflect the communityfocused healthcare they hoped to provide.Karen Court came to work for the compa-ny almost a year later in 2007, attracted bythe team that administers Waikiki, she feltthat the environment was perfect for her.She now acts as Waikiki Private Hospital’sQuality & Risk Manager.In the past Waikiki Private Hospital’s pastincarnations have focused mostly on thematernity and midwifery specialities, butunder their new direction they are openingup their services to offer more main streamservices in place of midwifery which wasceased by a previous owner. By expandingtheir services they are filling a vital needin the area. Private health care member-ship has continued to grow over the lastfew years, and Waikiki Private Hospital isthere to serve the individuals in their area.“We have worked with the community and
163. 164 | Business World Australia | Healthcarelooked at the epidemiology andthe results for health related is-sues for this area. We have triedtoimprovethoseresultsbyintro-ducing other services that meetthe needs of the community. Atthe end of the day, if you aren’tmeeting the needs of the com-munity you are not going to pullyour customer base from any-where,” says Court. One of thenew services that they provide,introduced only 18 months ago,is a sleep-studies unit. “Peoplecome in here and have overnightstudies, and we have changedour surgical mix. We now in-clude things like vascular sur-gery, and bariatric surgery. Weare bringing in the services thatthe community wants, as well aswhat the doctors are asking forso they are able to bring their pa-tients in here,” says Court.
164. Healthcare | Business World Australia | 165To attract doctors to their facil-ity, Waikiki Private Hospital ex-amines the needs of the peoplearound them.“We then go out and do a mar-keting process in order to makesurgeons aware of us, encourag-ing them to come and work inour hospital. Quite, often how-ever they come to us lookingto do some private work,” shesays. The challenge, accordingto Court, is influencing the re-ferral patterns of local GeneralPractitioners. “Historically theGPs have referred to a special-ists who are located up in Perth.So it’s not just attracting thosespecialists to us, it going out andmarketing our services to the lo-calGPs,whowillthenrefertheirpatients to us. Another very im-portant thing is that we marketourselves to the local commu-nity so that they are aware of ourservices.”This, says Court, empowers theconsumer, and allows them tomake their own educated choic-es when it comes to their care.“When we go out and tell ourcustomer base about our newservices, and inform them abouthow they can get access to thoseservices that has gone a longway into increasing our patientthroughput.”Their Sleep Studies Unit helpsindividuals with sleep and respi-ratory disorders including ob-structive sleep apnoea (OSA),insomnia, periodic limb move-ments (PLM’s), narcolepsy andhypoventilation syndromes.“The growth we have experi-enced has been quite astound-ing- Enough so that we won aJudge’s Commendation Awardlast year from the RockinghamKwinana Chamber of Com-merce’s Small Business Awards.That Judge’s award was in rec-ognition of the growth that wehave made in the last 3 years.”The community is obviouslyrecognising the vitality and am-bition that is behind WaikikiPrivate Hospital’s new team.In an effort to alleviate some ofthe costs associated with run-ning a private, standalone hos-
165. 166 | Business World Australia | Healthcarepital, Waikiki Private Hospitalis looking at finding other com-panies that are interested in do-ing some of the bulk buying ofmedical supplies. Single and lowpurchase amounts representssignificant costs to the hospital,and they are committed to finda way to reducing this overheadcost. “By being a member of thelocal Chamber of Commerce,and purchasing services fromother members we can keepsome of our costs lower, and thisalso helps build community ties,says Court. “This also shares ourgrowth with other businesses inthe local area.”One of the improvements thatCourt says has shown an incred-ibly positive effect on patientswelfare and diminishes recov-ery time is laparoscopic surgery.Since the incisions are smaller inthis procedure, it reduces manyadverse effects such as infection,and it decreases the amount oftime required to recover fromsurgeries.Theyhaveadoptedthismethod of surgery wherever it isapplicable and invested heavilyin having the right tools for thejob available to their surgeons.“It is much better than great bigsurgical incisions, which causemuch more trauma to the pa-tient,” says Court. A much sort-er stay also reduces the chances
166. Healthcare | Business World Australia | 167that a patient will get hospitalrelated infections, this is a factthat many studies have alreadyconfirmed.They are not without their chal-lenges, one of which, says Court,comes from the public hospitalsystem, “The private health careindustry waxes and wanes de-pending on the politics and pol-icies of the day,” she says. “Wehave seen significant fundingchanges that we receive throughthe tax system as well.”“Industry wide there are issueswith public hospitals holdingonto private patients, insteadof pushing them out to the pri-vate hospitals,” she says this hasa negative effect on both the pri-vate and public systems. Whenthey hold onto patients they areactually creating a backlog forthe access to public beds, andalso hurt the business of the pri-vate hospitals that are designedfor that in-patient flow.“We hope to continue with thepresent growth rate,” says Court.“We want to consolidate ourbusiness and see what otheropportunities are out there.We like to think outside of thesquare and hopefully brining innewer technologies and special-ties as they come to the market.”Medicine – Cardiology, Der-matology, Gastroenterology,Hepatology, General Medicine,Gerontology, Medical Oncol-ogy, Nephrology, Gynaecol-ogy, Ophthalmology, PaediatricMedicine, Palliative medicine,and Rheumatology.Surgery – Colorectal surgery,Dental surgery, ENT surgery,General surgery, gynaecologi-cal surgery, oral/maxillofacialsurgery, major and minor or-thopaedic surgery, ophthalmicsurgery, otolaryngology sur-gery, paediatric surgery, plastic/reconstructive surgery, urologyand vascular surgery.Servicesoffered by WaikikiPrivate Hospital:
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168. Healthcare | Business World Australia | 169With its headquarters 14 km South of Sydney, The Pulse Health Group is an in-tegrated private health care company that encompasses three major divisions:private hospitals and day surgeries, community home care, and recruitment andworkforce services.With control of five hospitals throughout New South Wales and Queensland providing a myr-iad of surgical, medical and rehabilitation services; their hospitals include Bega Valley PrivateHospital, Gympie Private Hospital, South Burnett Private Hospital, Forster Private Hospital,and Westmead Rehabilitation Hospital.Additionally, they also control one community care organisation servicing from Western Syd-ney to the Mid North Coast of NSW and one healthcare recruitment agency.In comparison to two of the largest private healthcare companies currently dominating the in-dustry, Pulse Health may appear small in size, but this will not remain the case forever.Pulse Health is quickly becoming one of Australia’s leading private healthcare operators bydemonstrating values which appeal to the communities in which they operate.
169. 170 | Business World Australia | HealthcareFirst and foremost they value excellence in clinicalservice and high customer satisfaction.With responsible resource management and astrong and respected presence both in regionalAustralia and a leader in rehabilitation medicinein metropolitan Sydney, they understand theneeds of serving their communities and the valu-able relationships of key stakeholders.Pulse Health is currently listed on the AustralianSecurities Exchange at .050. “Keeping sharehold-ers informed is something I believe very strong-ly about,” says Justin Matthews, CEO at PulseHealth. “I speak often with key shareholders andkey brokers that are recommending or have share-holders within their portfolios. Also regularlypublishing newsletters updating the investor rela-tions market with our activities,” says Matthews.Matthews was appointed CEO of Pulse Health inNovember of 2010 and is off to a great start withthe company.With the helpful hand of Wendy Thorne, theCOO of Pulse Health, Matthews, Thorne andother Pulse Health executives within the groupare able to keep on top of issues surrounding theirhospitals.Thorne began her career as a registered nurse sev-eral years ago. In 2004, she joined the Commu-nity Care division of Pulse Health. “Over time Iadvanced within management to the point thatin 2006 I was running the Community Care divi-sion. In 2008 Pulse Health bought that organisa-tion and I was able to stay within the company. Inearly 2010, corporate met with me and identifieda contribution that I could make within a corpo-rate role. I advanced to operations manager of anumber of our business units and ultimately inlate 2010 to COO of the group. In essence, I lookafter the management of group contracts and en-terprise agreements among other key operationalaspects that can impact directly to the running ofthe business,” says Thorne. Wendy Thorne and herposition within Pulse Health is the shining result
170. Healthcare | Business World Australia | 171Services includePrivate Cloud Hosting EnvironmentFixed Price IT SupportDedicated Support Centre AccessWeb Development and Supportwww.microsolve.com.au/pulsePh: 1300 792 492IT Managed Serviceproviders to
171. 172 | Business World Australia | Healthcareof hard work and perseverance. Pulse Health’scorporate governance structure encapsulates aBoard of Directors. “The Board provides theoverall strategic direction for the company. Theyprovide valuable corporate governance and poli-cy. They are responsible for appointing the CEOand monitoring the activities of management as awhole,” says Matthews.While the Board of Directors have a variety ofdifferent functions and responsibilities, some ofthem include: reviewing and approving financialgoals, approving financial plans and annual bud-gets, reviewing the performance of senior man-agement, reporting to shareholders, fulfilling legalrequirements and ensuring the company acts bothresponsible and ethically.Relatively new in the private health care industry,Pulse Health is continually growing in both sizeand recognition from the community. Most of itshospitals are the only private operator in the townand service a growing ageing population. “Thereare definitely positions to capitalise on some ofthe strong demographics and industry data,” saysMatthews. “It is important to support healthcareas a sector. Healthcare itself is a growing contribu-tion of the gross domestic product and hospitalsaccount for the largest share of the service sectorwithin the industry.”ServicesPulse Health prides themselves on providing thecommunities they operate in with dependable,first class health care services. They put their pa-tients’ needs at the core of everything they do –their commitment to this principle is how PulseHealth shapes the way they work, and this prin-ciple is behind their many services.Hospital services are varied and can range fromday surgery procedures in ophthalmology, earnose and throat procedures, dental, gynaecologi-cal, bowel and urology services to name a fewthrough to complex cases such as knee and hip
172. Healthcare | Business World Australia | 173replacements. With a view to provide care fromadmission and after, or to help keep an individual’sindependence as they begin to find challenges inthe home, rehabilitation services across 2 of itshospitals provide excellent outcomes in their pa-tient’s quality of life with valuable allied healthservices including such practices as podiatry, phys-iotherapy, occupational therapy, speech patholo-gy, and dietetics.The community care service across its region ofservice provides community home care for peoplewho would otherwise be prematurely admittedto residential care or hospitals or who after a timein hospital need further clinical or personal extracare and attention in the short term.Looking forwardPulse Health’s vision for the future is to establisha community orientation of management by pro-viding private hospital services throughout Aus-tralia. They aim to become a point of interfacewithin the community, and through that, improvetheir market share.The future is looking bright for Pulse Health. “Wewant to continue to do what we do,” says Mat-thews. “Operate efficient and good quality healthcare services to the community.” Other plans forthe future include acquisitions and consolida-tions. “We will continue to look at acquisitionsthat make sense for Pulse and our current share-holders,” says Matthews. “Another round of con-solidation with us and other health care provid-ers may be in order,” he predicts. At the time ofgoing to print Pulse Health had recently releasedan ASX announcement stating that Pulse HealthLimited has received an unsolicited, conditionalexpression of interest relating to its operations,and those of an interested party. Corporate ad-visors have been appointed. “The attractivenessaround our strategic hospital portfolio and theway in which we are performing as a group is posi-tive demonstration of the expression of interestreceived,” says Matthews.
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174. Healthcare | Business World Australia | 175Business World Australia sat down for a question and answer session withthe Executive Director of Fiona Stanley Hospital, Mr Brad Sebbes. FionaStanley Hospital is in construction in Murdoch and is expected to be openin 2014. The hospital represents a new standard of care for Western Australia andthe community of the South Metropolitan area. The managing contractor on theproject is Brookfield Multiplex FSH Contractor Pty Ltd, and the architect is FionaStanley Hospital Design Collaboration (FSHDC).The latter team is made up of three
175. 176 | Business World Australia | Healthcareof the most prestigious architecturalfirms in Western Australia; HASSELL,Hames Sharley and Silver Thomas Han-ley. Their design will help to make FionaStanley Hospital one of the most cut-ting edge hospitals when it is completed;while at the same time incorporating de-sign ideas to aid the recovery of patientsat the facility. FSHDC was fastidious inmaking sure the final project would beas future proof and energy efficient aspossible, making upgrades to it for theforeseeable future either unnecessary orrelatively easy. Mr Sebbes speaks direct-ly to this point later in the interview.The community, local government, and
176. Healthcare | Business World Australia | 177the directorship at the hospital, alreadysees great potential in the hospital, andmany cannot wait until the ribbon is cutto begin to benefit from its operation.Business World Australia: One of thequestions that we always ask is wherepeople get the names of their projects,so why was Fiona Stanley chosen as thehospital’s name?Mr Brad Sebbes: Fiona Stanley Hospitalis named after Professor Fiona Stanley,an eminent Western Australian clinicianwho was named Australian of the Yearin 2003. Professor Stanley has dedicat-ed her life to researching the causes of
177. 178 | Business World Australia | Healthcaremajor childhood illnesses and birth de-fects, so they can be prevented. Profes-sor Stanley’s name was put forward bymembers of the public in a competitionrun by the Health Department to namethe hospital. She was deemed the ide-al namesake - with over 300 publishedpapers in scientific journals. She is thefounding Director of the Telethon Insti-tute for Child Health Research, Chairof the Australian Research Alliance forChildren and Youth, the UNICEF Aus-tralia Ambassador for Early ChildhoodDevelopment, and a member of thePrime Minister’s Science, Engineeringand Innovation Council.BWA: Why was the location selected, Ican see that there are already medicalservices available in the area is this go-ing to align with those services?Mr Sebbes: When it opens in 2014, FionaStanley Hospital in Murdoch will be themajor tertiary hospital in Western Aus-tralia, offering health care services tocommunities south of Perth and acrossthe State.The site was chosen for its proximity to agrowing south metropolitan populationand to nearby health and learning insti-tutes. It is located adjacent to a majorprivate hospital, St John of God Hospital,maximising the synergies beThe FionaStanley Hospital Design Collaboration
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179. 180 | Business World Australia | HealthcareThe DesignThe Design(FSHDC) is a tripartite group compris-ing of Silver Thomas Hanley, HamesSharley and Hassell. Commissionedin June 2007 as lead designers for thehospital, they provided urban design,master planning, clinical planning, ar-chitecture, landscape architecture, inte-rior design and wayfinding services todeliver the state’s most significant andadvanced tertiary hospital to date.Previously a green-field site, the facility had toprovide a nurturing healthcare environment, apatient-centric service delivering care in the mostuser friendly manner and be a hub for state widetertiary services. Detailed investigations, exten-sive consultation and a shared team vision led tothe creation of an original and exciting develop-ment unique to Western Australia.The building is designed to carefully integratewith existing and proposed neighbouring usesand functions, including the Murdoch ActivityCentre/Transit orientated development, St Johnof God Private Hospital, Murdoch University,and the Challenger Technical and Further Edu-cation facility. At the same time, the master plan-ning of the precinct enables logical expansionand future proofing opportunities to respond to“For the FSHDC it has, and continuesto be, an exciting project to work on.We have been fortunate to work with aClient, project team and Contractor whoall share the vision of taking this hospitaldevelopment beyond the functionaland creating an exciting piece ofarchitecture, one which displays a levelof sensitivity and humanity fundamentalto the successful completion of theFiona Stanley Hospital.”George Raffa – Co-Director FionaStanley Hospital Design Collaboration
180. Healthcare | Business World Australia | 181the evolving healthcare needs of the communityit serves.Inspired by the natural bushland setting, the corehospital is massed into three distinct compo-nents: the podium; central spine; and ward tow-ers reflecting the planning approach. Respondingto the brief for a state wide tertiary health facilityto be linked to world class teaching and researchresources also led to these facilities being posi-tioned close to the main entrance of the hospital.This approach supports the wayfinding strategyand promotes an identity unique to its setting.Floors are penetrated by a network of accessiblelandscaped courtyards and open ended corridorsdefining the building massing, offering externalaccess, views and enhancing wayfinding. Informalgathering spaces, contemplation points and wan-der paths combine with landscape courtyards androof gardens to create a rich sense of place. Build-ings are designed on the basis of sustainable firstprinciples by maximising passive design elementsand combining them with complementary activesystems. Attracting and retaining high qualityclinical personnel is also encouraged by the cre-ation of an environment that enables collabora-tive work practices, flexibility, efficiency and pro-ductivity.The imagery of the existing bushland on the siteand its native flora are reflected in the differingstrata of the elevational treatment to the podium.Exposed concrete columns and shading fins rep-resent the mature and young bushland growth,connecting areas of solid cladding and glazed‘voids’ that represent the canopy. This idea con-tinues through to the interior. The central spineconnects all key facilities and provides access vialifts to the ward towers. Its roof is punctuatedwith apertures designed to provide a filtered dap-pled light to the space echoing the effect of thetree canopy.Evidence based Design (EBD) approaches arebecoming increasingly important in modernhealthcare facilities. Its application to the health-care environment presented an opportunity forthe team to explore innovative concepts and waysof connecting space, light, colour, views and theoutdoor environment to achieve a positive expe-“Connections with nature are central tomany EBD studies and the landscapearchitecture team worked very closelywith the broader design team to maximisemeaningful and sensitive connectionswith the native landscape and its re-interpretation at a precinct level and withinindividual building settings.”Jeff Menkens, Co-Director Fiona StanleyHospital Design Collaboration.“One of the key success factors achieved onthe Fiona Stanley Hospital site has been theclose integration of teaching and researchfacilities with the main hospital building topromote interaction between researchersand clinicians.”Warren Kerr, Co-Director Fiona StanleyHospital Design Collaboration.
181. 182 | Business World Australia | Healthcarerience for users with the goal of improving clini-cal outcomes.tween the private and public health sys-tems and allowing the potential shar-ing of health facilities and services;and is also located near existing educa-tion infrastructure including MurdochUniversity and Challenger Institute ofTechnology, which will help to facilitatepotential education and training part-nerships.The location offers outstanding access –it will be within walking distance of theMurdoch bus and rail interchange andeasily reached via the Kwinana Free-way and other major roads to the northand south of Perth city. Fiona StanleyHospital will certainly be the catalystfor local and regional growth and de-velopment, and will be the nucleus of abroader education, health and activityprecinct commonly referred to as theMurdoch Activity Centre (MAC).The hospital is also just 12km from Jan-dakot Airport. A helipad will be locatedon the roof of the hospital, enabling pa-tients to be transferred quickly to FionaStanley Hospital from the Royal FlyingDoctor Service – who service people in
182. Healthcare | Business World Australia | 183remote areas.BWA: When did the project begin, andwhen is the estimated completion date?What is the total cost of the project?Mr Sebbes: Planning of Fiona StanleyHospital began in 2005. Construction ofthe hospital began in September 2009and it is expected to be finished in late2013, ahead of the hospital’s opening in2014. The $255.7 million Federal Gov-ernment-funded State rehabilitationservice has been incorporated into thescope of Fiona Stanley Hospital, increas-ing the total value of the project from$1.76 billion to $2.02 billion.BWA: What was the selection process forthe contractors, suppliers and the proj-ect manager?Mr Sebbes: Selection of all contractorsand suppliers to the project has beenthrough a Government-led open tenderprocess, with successful applicants cho-sen for the skill and experience they canbring to the project.BWA: What will the final product be ableto boast in the terms of services, beds,and research facilities?Mr Sebbes: When it opens in 2014, the783-bed Fiona Stanley Hospital will be
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184. Healthcare | Business World Australia | 185It will offerComprehensive cancer services including ra-diation oncology, medical oncology, haema-tology including bone marrow transplants,chemotherapy, palliative care, a dedicatedbreast screening service and a related sur-gery services for a range of cancersPaediatric, radiology; renal transplant anddialysis; obstetric and neonatology servicesA mental health unit with a secure wing anda mother and baby unitChild and adolescent servicesA full range of acute medical and surgicalservicesClinical services including coronary care, dayadmissions and endoscopy, hyperbaric medi-cine, intensive care, an operating suite andsleep studiesCtate-of-the-art emergency care, supportingthe major trauma centreCardiothoracic surgery, neurosurgery, ortho-paedics, plastics and general surgeryFacilities for pathology, bio-medical engi-neering and cell tissue manufacturingA modern medical imaging centre, providingfast and accurate information to cliniciansA world-class medical research facility to bebuilt in conjunction with universities and theWestern Australian Institute for Medical Re-search (WAIMR)
185. 186 | Business World Australia | Healthcarehome to a major trauma centre, a Staterehabilitation service and the Stateburns service.BWA: In the terms of the educationalaspect of the project, what special the-atres, and access will the hospital have?Mr Sebbes: Fiona Stanley Hospital in-cludes a dedicated education facilitywhich will offer a comprehensive rangeof training programs to students andstaff across all health disciplines. Thefour-floor building will be located next tothe main hospital and linked via a walk-way.It will include: a major, tiered lecture the-atre; two small, tiered lecture theatres;seminar and meeting rooms with audio-visual and teleconferencing capability; aclinical skills training centre includinga demonstration ward, a medical emer-gency training/simulation centre andsix clinical skills training rooms; a man-agement of aggression training room; aclinical resource and information cen-tre; a computer learning centre; and un-dergraduate and postgraduate medical,nursing and health therapies education.The clinical skills and simulation centrewill enable health staff across all disci-plines to learn and develop skills in arange of techniques including emergen-cy care, advanced life support and com-munication and behavioural skills.BWA: With application of connectivitytechnology like telehealth, how can youbetter service the community?
186. Healthcare | Business World Australia | 187Mr. Sebbes: Staff at Fiona Stanley Hos-pital will be able to access state-of-the-art telehealth facilities which can beused for teaching and research as wellas providing information and advice topatients who are not at the hospital, butare in rural and remote areas.New telehealth equipment and addition-al staff in district health service centreswill provide better and timely emergen-cy care between small hospitals, nurs-ing posts, district and regional healthservices and metropolitan emergencyspecialists. This helps improve accessto emergency health care and reduce pa-tient isolation in rural and remote areas.Because Fiona Stanley Hospital is a newhospital, services like telehealth willbenefit from new building designs thatare compatible with the requirements ofmodern technology and working practic-es, enabling delivery of tangible innova-tions, with new technology at the fore-front of service solutions.BWA: WAIMR has been a leader in adultmedical research, how will the new facil-ity work with them?Mr Sebbes: Fiona Stanley Hospital hasdemonstrated its commitment to beinga high quality centre for research bydedicating $25m to the construction ofthe Western Australia Institute of Medi-cal Research - WAIMR - which is beingbuilt alongside it. The new WAIMR fa-cility will house researchers who will in-
187. 188 | Business World Australia | Healthcarevestigate the genetic and environmentalcauses of a range of diseases. WAIMR isWA’s premier adult medical research in-stitute and since its foundation in 1998,its researchers have identified numer-ous genes associated with diseases in-cluding leukaemia, diabetes, cancer andnerve, muscle and mental health disor-ders. Locating the new WAIMR facilitynext to Fiona Stanley Hospital aims tospeed up the time it takes for patients tobenefit from medical breakthroughs bybreaking down traditional barriers andfostering closer working relationshipsbetween laboratory researchers andfrontline clinical staff.Fiona Stanley Hospital will be in theheart of a new health, research andeducation precinct at Murdoch that in-cludes, in addition to WAIMR, St Johnof God Hospital Murdoch, Murdoch Uni-versity, and the Challenger Institute ofTechnology Murdoch. The precinct ismodelled on international best practiceand aims to foster greater collaborationand potential partnerships for the ben-efit of patients and staff.BWA: How are you addressing staffingissues, what staff capacity are you look-ing at and in what roles?Mr Sebbes: The Department of Healthwill be doing everything it can to re-tain existing staff and attract new staffacross its facilities. A Workforce Plan de-signed to help retain and attract some ofthe finest clinical and non-clinical staffto WA Health is now under development.The Department is encouraging thoseinterested in working at Fiona Stanley
188. Healthcare | Business World Australia | 189Hospital to consider seeking employ-ment in tertiary care services at RoyalPerth Hospital or Fremantle Hospital,from where some services will be trans-ferring to the new hospital.BWA: How has the project been receivedlocally?Mr Sebbes: The project has been verywell received by the local communitythat recognises the economic and socialbenefits it will bring to the area. Apartfrom direct job opportunities, indirectjobs are expected to grow through ser-vice providers (cafes, local suppliers etc).Fiona Stanley Hospital will be part of avibrant community that will be well ser-viced by public transport, retail outlets,cafes and other recreational facilities inthe Murdoch area.BWA: How will the hospital functionwithin this community and the sur-rounding communities, and will it be aprimary care facility?Mr Sebbes: Fiona Stanley Hospital willoffer comprehensive healthcare servicesto communities in the south of Perthand across Western Australia. It will bea major adult trauma centre and willreplace Fremantle Hospital as the 24-hour emergency care provider servicingPerth’s southern suburbs and regionalWestern Australia. Emergency will have70 beds and treatment areas and willinclude a dedicated drop-off area for pa-tients, paediatric and adult short-stayzones and trauma, resuscitation andtreatment areas.
189. 190 | Business World Australia | HealthcareA range of health therapy services willalso be available at Fiona Stanley Hos-pital including clinical psychology, di-etetics and physiotherapy as part of thetreatment process.BWA: The role of technology is alwaysan interesting topic, are there any in-novative processes and systems that thehospital will be instituting in order tostay on the cutting edge? Have you fu-ture proofed the design of the buildingso that it is ready for new innovations?Mr Sebbes: Fiona Stanley Hospital willbe a state-of-the-art facility, setting newbenchmarks in information and commu-nications technology (ICT). Technologywill be integrated into every level of thehospital and include improved access tomedical records and access to all medi-cal library services such as online data-bases and medical journals. Fiona Stan-ley Hospital will rank among the bestin Australia – a leader in clinical care,research and education, supported byan innovative design that harnesses thelatest scientific, technological and medi-cal developments.The final design of Fiona Stanley Hos-pital reflects the Government’s determi-nation to create a hospital environmentto assist patients to get well while theirsurroundings operate in an ecological-ly sustainable way. The architects andplanners of Fiona Stanley Hospital useddesign techniques and elements - suchas lighting, colour, texture, views, natu-ral light and art - that have been shownto have a healing and therapeutic effecton patients, staff, visitors and families.The result is a light-filled design inwhich every patient room and the mainconcourse area have a view to the out-side world, making it a more welcomingenvironment for patients, visitors and
190. Healthcare | Business World Australia | 191staff. Some 83 per cent of the patientrooms will be single rooms, which will al-low for improved infection control, fewerpatient transfers and improved privacyand confidentiality. The landscape de-sign includes a wide range of outdoorgardens and parks for all to use.The design has incorporated air controlsystems that promote the use of fresh airto improve the indoor air quality. Heatrecovery ventilation will be used to pre-heat or pre-cool incoming air and reducethe reliance on air conditioning systems.The passive solar design of the hospi-tal will use the sun and natural light tomaintain comfortable indoor tempera-tures and reduce the use of heating andcooling systems.Bathrooms and other wet areas will fea-ture low-flow fixtures to minimise waterconsumption and rainwater will be col-lected for reuse in irrigation. The FionaStanley Hospital Project has also madea large conservation and environmentcommitment. Some $5 million in envi-ronmental on-site and off-site initiativeswill be undertaken throughout the proj-ect’s development. These include land-scaping, fauna relocation, seed collec-tion, weed control, grass tree relocation,rehabilitation in Beeliar Regional Parkand preservation of conservation areas.BWA: In closing, where do you see thehospital and its reputation in 5 yearstime??Mr Sebbes: The first patients will be re-ceived in mid 2014. Our goal is to oper-ate one of Australia’s, and indeed theworld’s, most advanced medical facilitieswhich achieves its goals across patientcare, research and the advancement ofmedicine and patient care, as well as so-cial and environmental responsibility.o
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192. Healthcare | Business World Australia | 193Rosewood Care has taken a newapproach to the business of be-ing an aged care provider. Ma-rio Zulbreti, the CEO of the group, saysthat it is this approach and their deepunderstanding of the issues and desiresof their clientele that truly sets themapart from the crowd. They have hada long history of providing aged care inthe area, being originally founded un-der the name League of Help for theElderly Inc in 1953. At that point theiroperational goal was to provide housingand facilities for aged people who wereeither chronically ill, or generally frail.In doing this, they helped increase thequality of life for their residents. As abonus, this also benefitted the commu-nity by alleviating some of the pressureon the healthcare system by freeing up
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194. Healthcare | Business World Australia | 195beds in hospitals. By 2002 the Leagueof Help had progressed to a point wherethey saw that a name change was nec-essary in order to better reflect theiroperations, and Rosewood Care GroupInc was born. Along the way Rosewoodbecame a pioneer in many different as-pects of aged care, Zulbreti points out.They were the first to provide domicili-ary care and home help in Perth andbrought Meals on Wheels to the area ona trial basis, a program that was ulti-mately expanded to a full five day ser-vice in 1955. This was not just a first forPerth, explains Zulbreti, but for all ofWestern Australia. By 1957 the League,as it was still called then, also had ahand in creating the first Senior CitizenCentre in Perth, situated on Cleaver StWest, and continued to be supportive ofthe seniors in their community at large.While they expanded their involvement,they also expanded their services. By the1970s they had taken on an opportunitythat presented by the Perth City Coun-cil. This opportunity eventually becamethe Lakeview Lodge, which waslaterrenamed Rosewood Care Leederville in2009.A history of care“The most important thing about Rose-wood Care - to my mind - is that wehave been providing care to Perth’s se-nior citizens for 54 years now in a vari-ety of roles,” says Zulbreti. “We reallypioneered a lot of aspects for the seniorcitizens in Western Australia, but thiswas before the councils stepped in and
195. 196 | Business World Australia | Healthcarestarted to provide these services.” In theface of that takeover of responsibilitiesthey divested themselves of operationsthat were taken on by the communityand government. They then began to fo-cus their attention at expanding theirhome and residential care. “We now havetwo premier sites in the inner city, onein West Perth and one in Leederville,”he says. There are many features thatmake these locations attractive, saysZulberti listing them with enthusiasm.“They are very attractive not just fortheir access – But in the terms of accessit is not just beneficial for the residents,but it is beneficial for their families aswell. If they have relatives that wish tovisit them it’s easy, because they are atthe junction of many arterial roads com-ing in from various directions.” He saysthat the culture that surrounds them isvery cosmopolitan, and one that is stillcoming into its own. “They exist at ahub of social entertainment, as well asgiving them access the cultural flavoursof Perth.” He says that future planning
196. Healthcare | Business World Australia | 197for the area promises to make it a verydynamic centre of activity, to which hethinks that the benefits are enormous.He says that with their Leederville lo-cation they have more than adequatetransportation – but again it is not justabout that one aspect that makes the lo-cation appealing. He thinks that thoseliving in their residences like to see avibrant community around them aswell as one encouraged within the liv-ing spaces themselves. “We are in theprocess of building, or more accuratelyredeveloping, our Leederville into a 120bed residential aged care facility. This isgoing to be a very upmarket accommo-dation,” he says. “With the West PerthSite we are in the process of master plan-ning, and in the near future we’re look-ing for joint venture partners to developsenior apartments and lifestyle accom-modations that will interface with thegeneral community.” This means thatthey will have onsite restaurants, medi-cal centres and other facilities that will
197. 198 | Business World Australia | Healthcaredirectly link to the community that theyare building. At the same time, they arelooking to make sure that they developthe communities so that these servicesare available as in-home service as well.“It is going to be a multi-layered resi-dential and retail/commercial space,” hecomments.Taking a different viewRosewood does not treat their facilitiesas old age housing, nursing homes, oreven retirement villages. Zulbreti seesthese terms as limiting and inaccurate.In their communications and marketingmaterial they refer to hotel services andhead chefs. This is not something you
198. Healthcare | Business World Australia | 199will see anywhere else. “Our head chefcame second in the Seniors Competitionin Hobart last year. We are very focusedon lifestyle. I don’t like using that word,because it tends to be over used. I justlike to think that we are creating livingenvironments. We do not treat it likea place that people come to vegetate,there are many options. But the over-riding thing among all that we offer iscare,” he stresses. “Providing good care– be that supervision or medication orthe whole range of things that go on –is a way of enhancing people’s lives.”He says that this method of care givingcan been seen in a very positive light. “Idon’t think that residential care shouldbe dismissed as some terrible way of liv-ing, in fact it is an opportunity and justanother option rather than a life sen-tence.”Zulbreti stays away from calling theirfacilities retirement villages, again be-cause he feels that the term is over usedand misunderstood. “We aren’t going touse any of those stereotypical terms, itis just accommodations for seniors. Thestyle and nature of the apartments willbe very upmarket,” says Zulbreti, speak-ing about the West Perth site which willhave similar accommodations whencompleted. Zulbreti drives home thepoint that they are facing people withmore options than they historically havehad. It is only through appealing to thisnew group of retirees, who have moredisposable income than ever before, canthey hope to be a viable option for livingtheir golden years. With their long his-tory of pioneering in the industry andthe care that is required, it is no doubtthat they will be successful. o
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201. 202 | Business World Australia | HealthcareTaking initiativeBeginning as a medical doctor, Dr GregRoger, the CEO of Advanced SurgicalDesign and Manufacture (ASDM) re-alised that there were several challeng-es within the field of orthopaedics thathe felt he could address. Dr Roger wentahead and furthered his education bygetting a master’s degree in engineer-ing. “Originally I was thinking to go backto train as a surgeon but it turned out Iwas pretty inventive in terms of design-ing things so I went ahead and designeda few devices, one of which ended up be-ing made in Switzerland, and the othermade locally,” says Dr Roger. It was atthis time that it occurred to Dr Rogerthat there were no medical manufactur-ers in Australia, and he saw this as agreat opportunity. He sold the designwhich he had developed with an Aus-tralian surgeon to a US Company andbegan ASDM with the proceeds of thatsale in 1994. Listed on the AustralianSecurities Exchange (ASX), Dr Rogersays that he chose a descriptor namewith the view that it was important totell people what exactly they did, asopposed to naming the company aftersomething non-descriptive. The origi-nal plan, according to Dr Roger, was tohave a small workshop in which theywould make small devices but the totalknee replacement that he co-designedwas being made in Switzerland and hethought it would be beneficial to bringit home to Australia. ASDM now manu-factures joint replacements and othermedical devices, leading the field withtheir in house designs and innovations.ASDM both designs and manufactures--------------------------------------------------------------------------------------------------------------Greg Roger
202. Healthcare | Business World Australia | 203internally but they also work with exter-nal surgeons to “bring products to life.”They offer consulting services to othercompanies or individuals who want todevelop devices or start biotech com-panies. There are three biotech compa-nies that are actually housed inside ofASDM; by being embedded within thecompany, ASDM is able to provide themwith the most efficient consultant ser-vices ranging from accounting to qual-ity management to manufacturing.“We’ve also done consulting for some ofthe biggest companies in our field,” saysDr Roger with pride.19 years of clinical historyThe Active Total Knee Replacement isASDM’s feature product, and is backedup by 19 years of successful clinical his-tory. “Most of the major competitorshave less than half of that clinical his-tory,” says Dr Roger. Active Knee is atotal knee replacement prosthesis andit is both a cement-less and cemented,metal/polyethylene, cruciate retainingdesign. When surgeons look to ASDM,they are more than comfortable know-ing that the devices have performed fornearly two decades.Another reason surgeons choose ASDMis due to their vast range of patient sizes;so they have a better chance of findinga good fit for their patients with ASDM.“The reason we have a larger range isbecause the whole thing is driven fromthe clinical perspective. I still assist inthe surgeries with the surgeon co-de-signer on Monday mornings and if wewant something we just go ahead andstart making it. It is surgeon driven –and we need to make sure we have the
203. 204 | Business World Australia | Healthcareright solutions for the patients,” says DrRoger.A rewarding industryThe field of medicine has always beenwell respected, however with such re-spect and honour comes the require-ment to maintain the highest stan-dards. “With rewards comes the needto have the highest standards of qual-ity. We do our engineering diligence andpeople in our field need to understandthe risks involved. Your devices may notwork for all patients – so it is both tenseand rewarding,” explains Dr Roger. Hesays it is “a very satisfying field to bein”, but he also emphasises the risks in-volved. Not only will there be times thata device may not work for a patient butthere are also incidents in this field ofproduct recalls in which thousands ofpatients have a device that simply isn’tworking. While this has not happenedto ASDM’s products the risks are realand ASDM continues to look for the bestpossible solutions for patients.ASDM has noticed there has been great-er acceptance and use of joint replace-ment in recent years, and attributes itto a couple of different factors. Firstly,there has been greater participationacross the community in much more de-structive sports. Additionally, the agingpopulation is remaining active, whichhas long term health benefits for thembut also causes other problems. “Peopleare pounding their joints too fast andthus their joints are giving out earlier,”says Dr Roger. “Twenty years ago if ajoint lasted ten years it probably out-lasted you but nowadays with youngerpatients who are going to live longerthere is a need for a joint replacementto last much longer.” Twenty years isthe minimum time that ASDM aims fortheir joint replacements to last beforegoing on to replace it once again.ChallengesWorking to improve the lives of othersis a challenge all in itself, but it is achallenge ASDM is willing to take on.In addition to the obvious challenges ofworking in orthopaedics, ASDM has tocompete with several other major medi-cal device manufacturers. Well fundedcompetitors have introduced new vari-ants within the marketplace that mayor may not have any clinical benefit.Despite competitors, ASDM still has anadvantage in the market due to theirlongstanding clinical history. “Whenev-er our competitors have some sort of in-
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207. 208 | Business World Australia | Healthcarenovation, it takes years before you canactually tell if anything is really good,”explains Dr Roger.In addition to their own company’s stan-dards, regulatory oversight and ruleswithin the industry have been gettingtougher and tougher over the last fewdecades. Dr Roger remarks that he hasalso noticed that the market funding isdecreasing. “The available budget formedical devices is less and less and nowyou’ve got the combination of increas-ing costs of doing business just due tothe regulatory compliance, and govern-ments wanting to cut the amount theyspend on their health budget,” says DrRoger.Giving backASDM contributes to their charity HeartKids, that focuses on providing childrenand their families who have dealt withcongenital heart disease extra supportand care. In addition to this they alsowork with the Salvation Army assist-ing to fund their street kids program.ASDM recognises the importance of giv-ing back, which is why they have takenthe initiative to get involved.In regards to green initiatives, ASDMhas made a major effort towards recy-cling which in their industry is crucial.While they haven’t been able to do awhole lot about the electricity of the ma-chines, they have made a major change
208. Healthcare | Business World Australia | 209in terms of their scrap parts. “The big-gest benefit we’ve been able to choose forthe environment is reducing our scraprate. By tightening up manufacturingcontrol procedures, it means you don’tscrap as many parts – and each scrappart is a carbon footprint in itself,” ex-plains Dr Roger.The future of ASDMWhile ASDM will always be up againstthe multibillion dollar companies, theywelcome the challenge with open arms.“We’re growing significantly year onyear,” says Dr Roger. ASDM is alwayslooking for the latest innovation in med-ical devices. “We would love to see theday when we replace a joint with yourown biological joint,” says Dr Roger. o
209. 210 | Business World Australia | HealthcareVery few jobs can give you the satisfaction of po-tentially saving lives. The people at MedicalDevelopments International (MDI), one of Aus-tralia’s leading specialised healthcare companies, areamong the few who have jobs that do. “A lot of our prod-ucts are life-saving devices, and that gives us a certainamount of pride and satisfaction,” says John Sharman,Chief Executive Officer at MDI. “We’re delivering thingsthat facilitate better patient outcomes; that’s what ourcompany is all about. Everyone is very focused on theend user of our products and we feel good about the factthat we’re helping other people.”MDI was established in 1971, and became a publiclylisted company on the Australian Stock Exchange in2003. Both MDI’s head office and manufacturing fa-
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211. 212 | Business World Australia | Healthcarecilities are located in Victoria, Austra-lia. With an industry leading range ofproducts in the areas of pain manage-ment, asthma and resuscitation, andveterinary equipment, MDI continuallyprovides healthcare professionals andpatients with innovative medical solu-tions. “We’ve got pretty accomplishedteam of individuals that are very fo-cused on capitalizing on our products,delivering appropriate solutions to ourclients and customers, and the productsthat we’ve got have market leader posi-tions,” says Sharman.A superior product“Penthrox in itself is unique. It’s an icon-ic brand; it’s been around for 25 years.It’s well understood and well-liked byusers.And there are many more applica-tions that we are pursuing for Penthroxin Australia and out of state.” Penthrox(methoxyflurane), which MDI manu-factures and markets, is an inhaler forpain relief. It’s MDI’s leadingproduct,one that Sharman says has given themsignificant opportunities to move for-ward and develop new markets, both inAustralia and internationally(includingthe UK, France and Belgium in particu-lar).One of the chief advantages of Penthrox– what separates it from other pain re-lievers – is the fact that it’s non-narcot-ic, and non-addictive. “It’s an amazingplus,” Sharman says. “It can be given tochildren. It can be used in the MiddleEast. It can be used all over the worldPRODUCT POPharmaceuticalAnalgesia Penthrox®MedicalAsthma Space ChambBreath-Alert®pFace masks EZ-ﬁt siliconeOxygen OXI-port ™oxyOXI-sok™oxygOXI-pro™oxygOXI-life™oxygOXI-saver™cloOXI-dive™closOXI-vac™suctRegulators KDK™regulatoAbsorbers KAB™carbon
212. Healthcare | Business World Australia | 213where mind-altering and behavioural-changing drugs and substances aren’tliked or accepted. Penthrox can providesignificant pain relief to whole commu-nities, if not countries, of people.”Anoth-er main advantage: it’s an inhaler,it hasa quick onset and is easy to use. Unlikeseveral other drugs that require a doc-tor to provide full monitoring, Penthroxcan be self-administered. Penthrox isappropriate for patients involved incar accidents, workplace injuries, bro-ken fingers, lacerations, wound dress-ing, burn victims and more. “Anywherethere is pain,” says Sharman, “Penthroxis ideal.”“Other advantages to Penthrox includethe time it takes to recover (15 to 20minutes after being administeredPen-throx, some patients are able to drivea car) personalisation (it is self-admin-istered, so you can determine your ownlevel of use – we all have different painthresholds, one size does not fit all), andcost (there is no need to pay for a profes-sional to administer it, like with mor-phine). “Almost any way you look at it,”Sharman says,“Penthrox is the superiorproduct.”Manufacturing a drug like Penthrox isrewarding in itself, Sharman reiterates.“The fact that we can help better pa-tient outcomes through the managingof pain is an excellent thing, and we’revery proud of that.” He does say thatPenthrox doesn’t save lives, physiciansdo – but there is definitely value in help-ing to manage people’s time in crisis sit-uations. MDI often receives letters andtestimonials from people who’ve usedPenthrox, thanking them for making it.“That’s a weekly occurrence for us andthat makes us feel good.”Penthrox is not MDI’s only product.Their asthmaSpace Chamber rangeis also market-leading. “Around theseproducts we’ve built a suite of othermedical devices and equipment to sup-port delivery better patient care in therespiratory field,” says Sharman.The best kind of challengePeople will always need their medicine,but whether the medical market is re-cession proof or not remains to be seen,says Sharman. Some of the big pharma-ceutical companies have been strugglingORTFOLIOber®aerosol spacerpeak ﬂow meterand disposable face masksygen therapy devicegen therapy devicegen resuscitation devicegen resuscitation deviceosed circuit oxygen resuscitation devicesed circuit oxygen resuscitation devicetion systemor/ﬂow meter with oxygen ﬂushdioxide absorber
213. 214 | Business World Australia | Healthcarein recent years due to cost increasesand distribution challenges. MDI, how-ever, has managed to dodge some of thechallenges that have been facing othercompanies. The challenges they do haveare the best kind. “Our challenges areto capitalize on what is a unique, iconic,well researched product, which has anumber of very significant advantagesto it,” Sharman says. “Even within theindustry there are challenges, but forus the challenges are all capitalizing onthe upsides we’ve got.”MDI currently has about 50 employees,including those on the manufacturingand distribution side of the business.Sales come in at around 9 million dol-lars a year. As Sharman says, they’restill relatively small, but they’ve gotlarge ambitions. And they’ve got every-thing in place to make those ambitionsAnnual Report 2010 9The Company has developeda unique market positionregarding the design,manufacture and supply ofclosed circuit anaestheticmachinesPHARMACEUTICALREVIEW OF OBuilding our BusinessPenthrox sales in FY10 were supstrength of the Australian busineMilitary, Dentistry and Aesthetic MPenthrox continues to be used aproduct for the treatment of painAmbulance Services in all StatesAustralia. MVP continued the prointo the Australian Ambulance sethat the strong positioning of Penmaintained. Moving forward, thestrengthen the association and call Ambulance Services will includcomplete range of products requAmbulance Services, enhanceddirect communication with front lprofessionals and the generationspeciﬁc applications.A NEW WAY FOR DOING BUSSince the beginning of 2010 MVPa number of initiatives relating tobusiness relationships. Our focuBUILDING OUR PRODUCT RANGEMVPs focus in FY11 will be to add to ourestablished product range, to build on the solidfoundation that has been established with ourcurrent partnerships in Australia and overseas andat the same time develop new collaborations forfuture growth. Core to the growth is thedevelopment of new and improved models of:• Asthma Space Chambers;• Penthrox Inhaler;• Masks;• Tourniquets; and• Emergency Medicine consumable equipmentAsthma DevicMVP‘s Asthma dfor many years asales and proﬁt.The success ofhas been due to• The strength owith our partn• The strength oAustralian Hosdistribution pa• Consistent salproducts throucountries arouProduct DevelMVPs Space Chplace as the “Rogreatest opportuAsthma devicesMVP plans to coimproved Spacedifferentiation anpenetration.MVP‘s Asthma devices businesshas been strong for many yearsand continues to provide solidsales and proﬁt.
214. Healthcare | Business World Australia | 215come true. Penthrox and the rest oftheir medical equipment have trulyinternational applications, so MDI isin the process of conducting a clini-cal trial in Europe. Sharman hopesand expects this will open up the Eu-ropean market to them. “We’ve beenexpecting it to be the latter half of2012 when we start to open up thosemarkets,” he says.“So it’s not too faraway and we’re already planning forit.” When they get there, the plan is totarget accident and emergency centresin the UK and France. Their product,Sharman says, is a mature product, andalready approved by the medical fra-ternity. Penthrox is already being soldto dentists, surgeons, doctors, sportsarenas, emergency services, and hospi-tals – anybody looking for better waysto deliver pain relief to their patients.“We’re talking to a lot of people alreadyabout how we can get our products intotheir jurisdiction, and we continue toprovide the solutions that are needed.”A move into Europe isn’t the only thingthey’re planning. MDI already has thecapacity to increase production in theirMelbourne facility, and Sharman saysthat they’re currently looking at ways toachieve three or four times their currentoutput to meet the potential demand go-ing forward. “That part of the businessis looking very good.”“I think in fiveyears’ time, Medical De-velopments International won’t be rec-ognisable,” Sharman says. “We’ll havemarkets in 25 countries. We’ll be fourtimes the size we are today if not larg-er.” He says they have a plethora of ex-pansion opportunities in front of them,and in order to deliver a complete suiteof emergency medicine they are court-ing development partners. They’re alsodeveloping new respiratory devices andequipment that they believe will holdleading positions in the field. The futureis looking bright for MDI.“If you want toput it in numbers, in five years we wantto be a 40 to 50 million dollar sales com-pany.” oOPERATIONSpported by theess in Ambulance,Medicine.as a “ﬁrst line”n in trauma bys and Territories ofomotional focuservices ensuringnthrox ise strategy tocollaboration withde offering a moreuired by thetraining support,line healthcaren of clinical data forSINESSP has undertakeno its existingus is on deliveringNEW AREAS FOR INVESTIGATIONOverseas ActivitiesSales into recently approved countriesNew ZealandNew Zealand sales were slightly lower FY2010 dueto pricing and product mix issues. MVP have nowrenegotiated our agreement with the New Zealanddistributors; henceforth making the price moreattractive to the Ambulance Services and the Militaryin New Zealand. With a strong focus from our salesteam, MVP expects a strong growth in FY11.Eastern EuropeDuring the year MVP made its ﬁrst sales intoAzerbaijan and Georgia, on top of our recent ﬁrstsales to Moldova.MVP expects each of these markets to deliverincreased sales during 2011.Middle EastThe time taken to develop the Middle East markethas not met MVP’s expectations. MVP intends tocontinue to invest resources to establish PenthroxAnnual Report 2010 7cesdevices business has been strongand continues to provide solid.this business over the last 5 yearso three key factors:of our Asthma devices businessner in New Zealand.of the Allersearch brand inspitals and Pharmacies and ourartner.les of our range of Asthmaugh established partners in variousund the world.lopmenthamber is well known in the marketolls Royce” brand and it offers theunity for future growth in thes market. To assist in future growthontinue to develop new ande Chambers to assist withnd local and international
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216. Healthcare | Business World Australia | 217It has often been said by many people, and formany different reasons, that the true measure ofthe greatness of any society is how they treat theirelderly. While the saying’s origins have been lostover time, the consensus is that it holds to be true.Over time, this idiom g has grown to include society’scultural minorities, the sick, and the young. Theidea remains that the goodness of a people, a town,a country, or a civilization can be measured by howit cares for those who cannot care for themselves.In Australia, this role was historically administeredby religious organisations and charities. As the needand requirements for aged care grew, the governmentbegan to take over a portion of that role, with privateenterprise on their heels. Today, those of retiring ageare far better off than they have been in the past,and the industry has changed from one described as“God’s waiting room”, into a real choice for seniors.Aged Care Association Australia (ACAA) stands as aprofessional, national industry association, that catersto providers of residential and community aged careservices. Beginning as an industry association thatincluded private hospitals, the organisation has had anumber of different lives and roles. “In one iterationor another, our history goes back to at least the 1950s,”says Rod Young, CEO of ACAA.“We are an industry employer’s associationrepresenting providers of retirement living, seniorshousing, community care and residential care,” saysYoung. “We represent about a thousand serviceproviders in all Australian jurisdictions, other thanin the Northern Territory.” This means that almostevery aged care provider in their geographicaloperational reach has some involvement withACAA. As the only organisation that represents careproviders from the private and voluntary sectors ona national basis, national and territorial events areof particular importance to ACAA. “This year weare looking at a major review of the industry and itsfuture directions. This has been undertaken by theProductivity Commission.” Young, and the ACAA,have already had a chance to preview the draft reportback in January. “It was made with consultations withthe unions, consumers and providers.” The report,released this August, is being considered in detail andthe ramifications are being discussed. “By Novemberwe hope to have developed a fairly strong focus forour annual conference to look at the likely impact onbusiness sustainability, future business structures, andwhat impacts that the report will have on models ofcare.”Bringing everyone togetherThe ACAA annual conference draws many of theirmembers, and industry experts. This year’s Congressis the Association’s 30th, and will be held between the6th and 8th of November. The tongue in cheek title is
217. 218 | Business World Australia | Healthcare‘Magical Mystery Tour – the long and winding road’,and it speaks to a generation that is serving the agedcommunity as well as those living in it. It promises tobe yet another informative and innovative showcase ofindustry developments and technology. Young jokesthat they have not received any communications fromYoko asking them for a cut – yet. “We’re a federatedorganisation with offices in each state – which arestand-alonelegalentitiesintheirownright.Theyallrunsubstantial education programs, but we run a nationalprogram each year, which is this Congress,” he says.He notes that the Congress attracts over a hundredindependent exhibitors each year. “It has become agreat focal point for our members and those involvedin the industry, providing them great opportunitiesto network and learn. It also has become a bit of anend-of-year celebration opportunity as well.” Part ofthis celebration includes the presentation of ACAA’sawards, in which they have several categoriesincluding Employer of Choice Awards, and BuildingAwards.An industry of changeOne concern that ACAA is looking at right now is theage profile of the workers within the industry. “Theaverage age of a worker in the industry is 52 yearsof age for our registered nurses, and about 47 for ourother workers and care givers,” says Young. This is anolder than average workforce, and one of the thingsthat ACAA is dealing with is how to present the AgedCare industry as an attractive employment and careeropportunity for younger workers. This is especiallyimportant since it is predicted that those that are ofretirement age will outnumber those in the workforce.If this trend continues it is possible that aged caremay be one of the largest growth industries in bothAustralia and the world. “It will almost certainly havea major impact between those receiving care andthose providing it,” says Young.“There are several interlocking issues here. Currentprojections on our industry growth and workforce-
218. Healthcare | Business World Australia | 219demandoverthenext30to35yearssuggestthenumberof people requiring care and services will multiplyby at least double. While the number of workers inthe industry and associated fields will triple.” Youngadmits that these stats make the industry look like astable boom industry. “The demand for services forwhen people reach their 80th year and older, and whenyou look at the growth in demand for the very old agegroup – it will quadruple over the next 30 years.” Thisis a result of people, in the developed world, livinglonger, healthier lives.These are changes that Young sees ACAA preparingthe industry for, but Young also says that they havealready been there to help it achieve the developmentlevel it enjoys now. “30 years ago nursing homeswere used for a whole range of different purposes:rehabilitation, recuperation, long term low level careservicing, chronic disease, people suffering from agerelated disabilities, and of course the frail aged,” hesays. “Today, the nursing home is almost entirelypopulated by the frail aged, and that includes thosewho are suffering from the various dementias. It is avery homogenous group of care recipients, numbering160 thousand plus residents and 50 000 communitycare recipients.” He says that there are at least 5000people in the system that are considered young chronicdisease sufferers, or who have brain acquired injury.He believes that this is an inappropriate setting forboth the recipient and the caregiver, to receive care.“When you are looking at a change in the residentprofile, and the services they demand, you see thisvery rapid shift in the last 20 years, where the averageage at entry has grown by about 8 years.” This meansthat those entering the system now are not the sociallyactive group that the industry of the past were usedto dealing with. They more and more often requirespecialised high-care treatment and attention.For the next five years, Young predicts that theGovernment will largely accept the substantialrecommendations that the Productivity Commission’sreport holds. “It will have a significant impact onhow aged care is delivered in the future. Some of thelikely impacts are going to be in medical services,”he says. After the report, he hopes rebates for medicalservices will improve GP funding. Given the systemsrecommended in the report, Rod Young believes theindustry will generate new methods for providingservices to clients in their care. The ACAA will takea leading role in the education and training of team-members, in order to do what they have been doingfor over 60 years – provide a guiding hand. oRod YoungCEO, ACAA
219. 220 | Business World Australia | HealthcareDynamic duoIn 1984, Padman Health Care established its first residential agedcare facilities in South Australia, not knowing that it would soongrow to be the one of the largest and most respected private opera-tors of aged care services in Australia. PHC offers various accom-modation options with both high and low care service options avail-able. PHC is currently under the management of owners Viv andFlorence Padman. “I studied economics and I was involved in thelinen supply industry and I joined this industry, acquiring our firstfacility in 1984 – and I did so because my wife had a backgroundin nursing. Today, she is our Executive Director of Nursing,” saysViv Padman, the Managing Director at PHC. Viv and his wife eachbring their own knowledge, skills, and personality to the companyand together they have been able to build PHC to what it is to-day. In addition to his background in economics, Viv also serveson the board Aged Care Association at the state level and he alsorepresents the state at the federal level. At this time PHC has 12
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221. 222 | Business World Australia | Healthcarefacilities in South Australia and two inQueensland, as well as 3 additional fa-cilities which are currently on the draw-ing board. “We’ve acquired the land andwe are drawing plans,” says Viv. All fa-cilities offer the same services howeverthey do vary in size; while some arelarge enough to accommodate up to 130residents, some can only accommodate40 beds. Despite size, all PHC facilitieshave one thing in common – quality careat all levels.A luxurious experience“In this industry there are ordinary fa-cilities and what is known as extra ser-vice facilities – these are the categoriesof residential aged care that are permis-sible under the Aged Care Act,” says Viv.The newer facilities that PHC has builtare much more luxurious and includea full range of services for residents.“They’re more like five star hotels thanconventional facilities.” Accommodationlevels vary based on the needs of their
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223. 224 | Business World Australia | Healthcareresidents therefore different clienteleare able to participate at different lev-els, based on their abilities. Many resi-dents are able to take full advantage ofsome of the very interesting activitiesthat PHC offers whereas the more el-derly residents tend to find it beyondtheir ability. Within the PHC facilitiesthere are gyms, theatres, hairdressingsalons, and internet cafes among otherthings. PHC facilities also plan differ-ent types of recreational activities andouting for their residents ranging fromvisits to restaurants and happy hour toyoga, bingo and other board games.Trends and challengesAs the demand for aged care facilitieshas grown over the last few decades,PHC has noticed that both clientele andtheir relatives have become rather se-lective and their expectations have in-creased significantly. In the past, whenPHC first joined the industry it wasrather common to have multi-bed wards,however, nowadays the minimum stan-dard of accommodation is single bed-rooms with en suites. The industry asa whole is leaning much more towardsquality care and comfort for residents,which is definitely a positive changethat PHC has embraced and is in sup-port of. The supply in the industry hasincreased quite a bit which means thatPHC, among other facilities will havelower occupancy, due to the choices thatconsumers now have. “The average oc-cupancy across the country 20 years agowas 99 per cent and it is now down to 93per cent,” says Viv. Incoming residentshave much more choice as to which fa-cility they choose and which one best
224. Healthcare | Business World Australia | 225suits their needs. Additionally, therehave been substantial investments inthe industry, therefore greatly improv-ing the quality of accommodations thatare being offered.In regards to challenges within the in-dustry, many changes will soon be tak-ing place as the Australian Governmenthas commissioned a study into the in-dustry by the Productivity Commis-sion. The Commission is interested inthe current structure of the industry.“It is a much regulated environment,”says Viv. “There are licenses requiredto operate aged care facilities and thefees and charges are all controlled bythe Commonwealth Government. In thedraft proposal of the productivity reportthat has been released, they have rec-ommended significant deregulation ofthe industry and this will be a majorchange.” The final report is currentlywith the Minister for health and agingand will be made public in the monthsto come, with significant changes pro-posed for the industry.Technologically advancedAs technology changes day after dayand year after year, PHC has foundcountless ways of implementing it intotheir everyday practices to improvetheir communication and service toresidents. In comparison to only 5 or 10years back, the communication betweenstaff and residents is much better. “Allof our staff carry decked phones so if aresident rings a bell, the staff membercan speak to them wherever they arelet them know that they’ll be there infive minutes or one minute or what-
225. 226 | Business World Australia | Healthcareever it may be,” says Viv. “We find thatthat has really helped to keep residentscalm.” Most of PHC’s facilities are nowequipped with Skype which allows bothaudio and visual contact with relatives– particularly those that are overseas.Additionally, nursing notes are now alcomputerised whereas they were allhandwritten in the past which is greatfor both organisation and referring backfor any reason. Lastly, PHC has imple-mented a camera monitoring systemwhich is reviewed by head office. Thesecameras ensure that the head office canview what is happening at any facilityat any given time which not only im-proves the security of residents but isuseful in ensuring that the residentsare receiving the care and treatmentthey deserve.PHC currently has 1000 staff members,across a variety of different divisions oftheir facilities. PHC understands theimportance of their care givers to theirindustry which is why it is an area thatthey take continue to invest in. “Wehave a huge investment of skilled staffbased at our head office who are activelyinvolved in two areas – one is educationand the other is monitoring quality andimplementing improvements,” says Viv.PHC has encountered some problemswith attracting suitably trained staff
226. Healthcare | Business World Australia | 227so they met this challenge by develop-ing their own training school of nurs-ing. They are a registered training or-ganisation (RTO) and they train theirown caregivers. PHC has a huge focuson the quality aspect of their facilitieswhich starts with their care givers. “Allof our facilities have received the maxi-mum accreditation period that is avail-able and they have all met the 44 out of44 standards that are required by theaged care standards agency,” says Viv.The future of PHCPHC has been very much focussed onconstruction over the last several yearswhich is why after the completion oftheir next three facilities they will beplacing their attention elsewhere. “Wewould like to focus further on care de-livery and look at adding value to resi-dents’ lives. We would like to do someresearch and explore whether residentscould interact with the community insome more ways than they are doingright now,” says Viv. PHC is definitelydoing their part to make sure residentsare getting the most possible value outof their stays at PHC. o
227. 228 | Business World Australia | HealthcareWith thirteen retirement vil-lages across New Zealand,Summerset RetirementVillages is now the third largest op-erator for retirement living in thecountry. In 2010 it was named bestretirement village operator in bothNew Zealand and Australia, beatingout more than 1100 other operatorsat the Australasian Over-50s Hous-ing Awards.Summerset started in 1994 as a pro-vider of rest home and continuingcare facilities. In 1997 it had built itsfirst 14 retirement village residentialunits, and had begun providing a fullrange of aged care services and liv-ing options for residents. Today Sum-merset has grown in both size and
228. Healthcare | Business World Australia | 229recognition to become a leader in itsfield. And there are no signs of slow-ing down.Innovation in designSummerset has developed some ofthe most innovative retirement hous-ing options. The company has an al-liance with Lifemark, ensuring theycan provide their customers a prod-uct that meets their ever-changingneeds. Using the Lifemark standardof building and design, Summersetensures all homes are easily acces-sible and adaptable. There are 33different design features includingwidened doors and passageways forwheelchair accessibility, flat surfaceshowers and level entry included in
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230. Healthcare | Business World Australia | 231Lifemark’s independent standard.“It’s all about innovation. There aresimple things we can do to make every-day living significantly better than atyour traditional home in the suburbs.The homes that we provide in our vil-lages have various functionalities thatchange as the need of the customerchange,” says Summerset CEO NorahBarlow. But, while Summerset aimsto take precautions and offer residentsaccessibility, they never want to createa design which makes their residents“feel old”. Instead they see it as makingsure the newest stage in their lives isone to be made the most of.Norah has been involved with Sum-merset for ten years and is well-knownto be an incredible leader and asset forthe company. She says there are certainattributes that people are looking forwhen choosing a village and Summer-set’s goal is to not only meet these ex-pectations but rather surpass them.For example, Summerset unlike manyof its competitors allows pets withinits villages – and actually encouragesit knowing the benefits these compan-ions bring to older people. The compa-ny encourages residents to incorporatetheir own personalities and style intotheir homes. “If our residents want topaint their walls bright pink then theyshould! Even though they’re older theyare still the same people they alwayswere,” says Norah. The company hasthe attitude that if it is your home, itneeds to reflect you.
231. 232 | Business World Australia | HealthcareTrends and challengesNo industry is without its challenges,and when working with people and theirhomes it is crucial to be able to adaptto the industry’s changing demands.There has been a definite increase inthe larger providers of aged care in thepast few years, and with this the struc-ture of the industry has changed signifi-cantly. “The customers’ understandingof the retirement village concept versusthe previous perception of a rest homehas dramatically shifted,” Norah says.Summerset residents report a 96 percent satisfaction level in 2010 and thiscan be attributed to a range of differentfactors. Summerset offers several differ-ent types of accommodations for its resi-dents. Residents have a choice betweenthree different types of accommodationwith different levels of care, all encom-passing nothing less than the Summer-set standard of excellence. Residentscan choose to live independently in avilla in which they have complete con-trol over all aspects of their lives. Herethey benefit from being part of a com-munity and can socialise with other in-dividuals living in the same community.Or residents can opt for supported liv-ing in one of Summerset’s apartments.Supported living is great for individu-als who require care within the home.Lastly, Summerset offers care apart-ments and has care centers providingrest home and hospital level care. Theseoffer dedicated, around the clock care tothose who require it. There are alwaysRegistered Nurses and caregivers avail-able. Additionally, medical practitio-ners, podiatrists, and hairdressers visitthe villages on a regular basis. Whatev-er the option, all residents are promisedthe best care, certainty, and a respectfulenvironment to call their home.Treating people as peopleThe reason Summerset villages havebecome such a desirable places to live is
232. Healthcare | Business World Australia | 233due to the company’s simple philosophyof treating people as people. “We under-stand that people can make their owndecisions and choices which is why wedon’t restrict,” says Norah. Summersettakes their residents wants and needsseriously and is always actively listen-ing to ensure they are met. Working inthis industry, caregivers often lose sightof the work they do and the people withwhom they`re dealing with, which iswhy Summerset undergoes a rigorousselection and recruitment process tofind the best employees. Through excel-lent training, support, and by develop-ing a culture within their villages, Sum-merset then works to make employeesfeel valued. “From Norah all the waythrough to our caregivers, the value setthat our staff holds are very similar tothe value set that our customers hold –we get it. When someone is talking tous, we get it and we try our best to un-derstand them. It’s something that peo-ple have actually commented on – thatwe’re people people,” says Tristan Saun-ders, Summerset’s General Manager ofMarketing and Sales. He says the com-pany aims to welcome people and showtheir residents and potential custom-ers the same respect and care that theywould treat people with within theirown homes. “It’s the simple values likemaking new people feel comfortable,welcoming them, offering them a drinkand a seat– all in a genuine and honestway.”The Summerset differenceSummerset aims high and has a long-held goal of separating itself from itscompetitors. “We believe that we can dothis using an inherent accessibility in
233. 234 | Business World Australia | HealthcareFurther to these assurances, Summerset givesyou three absolute promises, to help make yourdecision easier.First promise–to give you a choice of homes sothat you can choose a real home that is purpose-designed for your stage of life.  Second promise–should you need a little extrahelp or care, this can be provided to you in yourown home. We also have care apartments and inmost villages Care Centres should these suit you oryour partner better.Third promise–if you do not love our friendlywelcome, our way of life, the services we offerand most importantly the home you have chosen,within ninety days you are free to move on and wewill refund your money in full.**Some conditions apply, available from your Village Manager.THE RIGHT HOMEChoose a home that’s ideal for your stage of life.THE RIGHT CAREAt the right time, in the place that’s right for you.LOVE IT–OR YOUR MONEY BACK*90 days to be sure your new home is right–or your money back.When you come to one of our villages, you can be sure of many things. Sure that Summerset is a long establishedcompany that is highly regarded in the retirement sector.  Sure that everything we have learned from providing awarm and welcoming home to over 1400 New Zealanders goes into the home we provide for you.ThREE pRoMiSES WE MakE WhEn yoUCoME To livE aT SUMMERSET
234. Healthcare | Business World Australia | 235our design, and using our proven devel-opment ability to deliver the right prod-uct,” says Norah.Summerset is the first village opera-tor in New Zealand to voluntarily placeaccessibility standards on to its newbuilds. “By incorporating accessibility inour design thinking we do not add anymeaningful amount to the cost of buildand we are able to make our offeringappealing to a much wider audience.” Itwas during the time this decision wasmade that Summerset teamed up withindependent design assessor Lifemark.The Lifemark trademark was developedthrough the disabled community andsbased upon the concepts of universal de-sign, meaning homes are designed andbuilt to be more accessible, more adapt-able and work for everyone – regardlessof age, stage or mobility. The Lifemarkstandards are perfect for retirement vil-lage residents who face a range of acces-sibility challenges that change as theygrow olderWhile the Lifemark trademark isn’tmandatory in homes across New Zea-land, it has worked to ensure the needsof the consumers are met as they changeover time. The Lifemark trademark hasbeen positively received by consumerssince it was established in 2009, withmany calling for it to be the standard inevery new home.The future of SummersetSummerset expects to see more peopleand more people choose its villages. Thehigh standard of care provision avail-able in each village, as well as the acces-sibility features which they offer makesthe company an incredibly attractiveoption. Summerset is currently a rela-tively large company in the industry,with 13different villages, but there areno plans to slow down with demand forthe Summerset offering increasing ex-ponentially. The future of Summerset islooking bright. The company currentlyhas enough development to double itssize over the next five years. Summersetis also actively looking to acquire newsites and develop new villages acrossNew Zealand over the next decade. “Thedemand will continue to increase for ouroffering, and I believe our brand will bea household name representing the beston offer in the market in our customersand staff eyes,” says Norah. o
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236. Healthcare | Business World Australia | 237Twilight Aged Care is a not for profit, commu-nity based organisation with a legacy. It wasestablished nearly 100 years ago, in 1912, orig-inally named Twilight House. In 1915, theyopened their first home in Mosman, New SouthWales. “We grew largely by donations,” saysJohn Stuart, CEO. “Our first three homes wereall donations. They were initially residentialhomes, but we developed them into facilities.”Recently, Twilight Aged Care closed the originalhome in Mosman and purchased an establishedhome in Gladesville, and now has 160 residentsbetween all of their locations.Before Twilight Aged Care, Stuart spent about30 years working in the New South Waleshealth system in a variety of roles. “I decidedthat 30 years was enough and I wanted to dosomething else,” he laughs. He got a call froma recruiter and ended up at Twilight in 2004.
237. 238 | Business World Australia | HealthcareToday he runs the business as CEO, andbecause he has a clinical background,he says he has a keen insight into thecare delivery system and process. In hisnew role, Stuart and his chairman havegone to great lengths of modernise andimprove the company.A changing industryStuart has put so much effort into re-inventing his systems because, in thetime he has been there, aged care haschanged quite a bit. One factor behindthat change is the government bring-ing aged care under the federal system,which has resulted in an increase inquality compliance standards. “I thinkthe bar has been lifted in terms of qual-ity of care that is provided to older Aus-tralians over the last 10 years,” says
238. Healthcare | Business World Australia | 239Stuart. “Having said that, it doesn’tcome easy because there are people whomight say aged care is the most regulat-ed industry in Australia, in terms of theframeworks we have to work within.”Managing care requirements and expec-tation with the money received throughgovernment subsidies is difficult, Stu-art says, because those subsidies do notkeep up with inflation. And as the qual-ity of aged care in Australia has goes up,so does the cost. Thus, managing moneyis important. “Twilight, like most otherproviders, has an investment strategy toaugment returns from accumulated sur-pluses and accommodation bonds andwe are fortunate to have JB Were as ourpartners,” says Stuart. “Our investmentcommittee has a strong mandate and JBWere assists us with information on themarket, trends, benchmarking perfor-
239. 240 | Business World Australia | Healthcaremance of our investments against theASX 200 and other indicators. The lastthree years have been very unstable,however our strong management of ourfunds under investment and the strate-gic decisions we have made has main-tained our portfolio in a healthy state.”Still, contending with costs can be achallenge. “The cost of providing a build-ing that meets market expectations isenormous and as providers we’re feelingpressed, because we don’t get the busi-ness until we offer the product – but theeconomics don’t stack up.” The chari-table sector is responsible for deliveringa very large proportion of aged care, sothat means there is a lot of burden onthem to provide the services that peoplerequire. The expectations of familiesseeking care have also changed over re-cent years. Baby boomers making deci-sions on accommodation for their ageingparent has raised the bar in terms of thequality of accommodation available andthe ambiance of the facility. “We haveworked with Quicksew for many yearswhen refurbishing our facilities,” saysStuart. “Their range of hard and soft fur-nishings is wide and keeping with ourdomestic feel in our homes has allowedus to move away from the highly insti-tutional look and feel seen so often en-
240. Healthcare | Business World Australia | 241countered in aged care environments.”However, the increased expectations docome at a cost to providers and placesfurther pressure on their capital expen-diture, where those funds are limited.These are just some of the challenges.The solution, Stuart says, is the govern-ment anteing up. “One of the optionsthat the industry has been lobbying foris accommodation bounds in high care,”he says. In other words, the governmentneeds to free up more capital to accom-modate people coming into the industrywith high care needs. The ProductivityCommission has made recommenda-tions around that, and we’re hoping thegovernment will pick them up.” At theend of the day, he says, if the govern-ment is going to sponsor care deliverythen they’ll have to spend more.Another aspect of the aged care systemthat has changed since Stuart startedhis latest job was the age of people en-tering the industry. New residents arebecoming older and older, because themoney delivered into community basedservices designed to keep people in theirown homes has increased tenfold overthe last 10 years. “Now I think that’s awonderful thing because people want tostay in their own home and stay in theircommunity,” Stuart says. “It does mean,though, that people coming to us areolder and have more advanced healthproblems, which means the burden ofcare on aged care providers is greater.”Only five years ago, the average resi-dent would enter the system with a lowcare classification, whereas today thereis a greater proportion with high careclassifications. Additionally, because of
241. 242 | Business World Australia | Healthcaredelayed entry into residential aged care,the overall length of stay has shortened.“We still have some residents who cameinto care 10 years ago, but the majorityof new residents over the last 5 yearsparticularly have a length of stay of 18months.”These are all challenges and changesthat impact the entire industry, andthat Stuart has had to tackle as CEOof Twilight. One challenge plaguing theindustry that he has not had to contendwith, however, is attracting and retain-ing a staff. “We don’t have difficulty inthat area, which is unusual becausewe’re in the north of Sydney. It’s an ex-pensive area to live in, so people whowork for us generally travel some dis-tance to go to work.” This is a testamentto the strong reputation Twilight AgedCare has as an employer – their staffare even known to refer their friends,and when Stuart put a classified ad on-line for a new administrative assistant,he received over 50 applications. “We’vegot a good network of people who likeworking for us,” Stuart says.Because they are not starving for per-
242. Healthcare | Business World Australia | 243JBWere acknowledges the philosophy and achievements ofTwilight as an outstanding provider of Aged Care.We look forward to continuing our partnership in the future.The JBWere story is one of integrity, innovation and relationships.Our experts are committed to delivering first-class investment advice.CongratulatingTwilight Aged CareTo find out how we can assist you with your financial goals call:Daniel Madhavan, State Manager 02 9321 8986 email@example.comTom Hayward, Executive Director 02 9321 8770 firstname.lastname@example.orgJames Heritage, Adviser 02 9321 8518 email@example.com, Twilight is able to ensure tothat the people they do have are quali-fied. “We made a decision a couple yearsago that we were only going to employcare staff who completed an aged carequalification,” Stuart says. “Prior to mycoming to the organisation there wasan attitude that if you walked up to thedoor and you were breathing, you’d geta job.” After lifting the bar, Stuart saidhe noticed results immediately. “It’s im-proved the overall capacity we’ve hadwith staff in terms of them being able todeliver care.”Ahead of the curveOne thing Stuart has focused on sincejoining Twilight Aged Care is moderni-sation. “Of the things we’ve really gotahead of the curve on is informationtechnology and working smarter,” hesays. “The regulation, the record keep-ing and the requirements on us in termsof information management is enor-mous. We’re not quite paperless yet, butwe will be shortly, and all our systemswere implemented to create productiv-ity efficiencies or to improve our caredelivery. We can spend time focusingon improving our business rather thanmaintaining data.” This is a big changefrom when Stuart first arrived, wheneverything was done manually. “Beingsmart about the way we use technologyto improve care has also been a big focusfor us,” says Stuart. “For example, weimplemented the SIMAVITA continenceassessment program to not only assesscontinence but also ensure that the resi-dent had the right product for their par-ticular needs. Who would have thought
243. 244 | Business World Australia | Healthcarefive years ago that a resident could weara continence aid with an inbuilt trans-mitter to measure the frequency and vol-ume of a residents voiding pattern andsend that information to our computersystems? Not only have we reduced thecost to residents by ensuring they havethe correct product, but we have madethem more comfortable, and we haveimproved our assessment process to en-sure we collect the appropriate fundingfor incontinent residents. It’s a win-winfor everyone.”Also, the shift to a paperless office hasthe dual benefit of being both productiveand good for the environment, which issomething Stuart says he is very focusedon. “The amount of paper that’s usedeverywhere across the industry is enor-mous. As much as we can cut down notonly our consumption of paper products,but our waste as well, it’s not only goodfor the environment but it is good forour balance sheet.” Twilight uses iCareClinical Management Solution for allits resident care documentation. “Ourrecord keeping has improved signifi-cantly because of the simplicity of thissystem and we are capturing so muchmore information on the care plannedand delivered to residents that we didon paper. The system has also resultedin productivity improvements for carestaff as they can invest the extra timegained from reduced documentation ef-fort into care delivery. This system pro-vides the capacity to review resident re-cords from any location in the company,including my office,” says Stuart. “Thisis particularly useful if I am having adiscussion with a relative about a careconcern that they might have, as I canread up to date information on that resi-dent as we speak.”Managing staff information can befraught with difficulty, given the legis-lated requirements that must be met.“We implemented a staff managementsystem, RosterLive, some years ago andachieved a productivity saving of 38
244. Healthcare | Business World Australia | 245hours per fortnight in eliminating re-dundant manual labour processes,” Stu-art says. “All of our time and attendancedata is managed electronically, and aswell as direct efficiency gains, we havereduced our error rate in payroll pro-cessing to zero. This has been of mostbenefit to staff who can feel comfort-able that their pay each fortnight willbe correct. Our managers can also seethe impact directly on the budget fromthe rostering decisions that they makeas they are preparing their rosters, andsince our staff costs are approximately80% of our expenditure this is an areaof management that requires seriousattention. Simplifying the process andhaving accurate up-to-date informationensures that our staffing expendituredoes not become a runaway train.”Because of the work Stuart has done withthe company so far, the opportunities forthe future and bountiful. “I’ve spent thelast seven years focusing on getting thecompany into a robust position,” he says.Now, with that information technologyin place, the competent and caring staff,and strong management team of Twi-light Aged Care can hit the ground run-ning on future developments. That waswhat happened with their latest homein Gladesville, for example. “We will con-tinue to look for opportunities to growand expand, particularly in residentialcare. There may well be a future for us inother community based services as well.”The board and Stuart plan to continue torevisit their corporate strategy and lookforward to expand their legacy another100 years. o
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246. Healthcare | Business World Australia | 247When TLC Aged Care was born in 1991, theacronym stood for something in addition to“Tender Loving Care” – it also stood in placeof The Leaper Corporation. That companywas named after Dr. John Leaper, who found-ed TLC when he purchased two Victorianmansions operating as aged care facilities inGeelong. After realising that those buildingswould not meet future consumer demands, hebuilt TLC’s first modern facility in Wallington,calling it “The Homestead”. The Homesteadset the standard of quality care for which ev-ery TLC home is now renowned. After a pe-riod of planning and preparation, Dr. Leaperand his team developed two new sites in theMelbourne metropolitan area. At that time, itwas decided that a new corporate image wasneeded – one that would better reflect theorganisation’s philosophies and objectives.Thus, the corporate branding of “Tender Lov-ing Aged Care” developed. The ongoing success of TLC Aged Caresaw the addition of even more state-of-the arthomes from 2004 to 2008, making for 9 resi
247. 248 | Business World Australia | Healthcaredences overall. Throughout that periodof growth, TLC Aged Care made main-taining quality in all areas of service apriority. By November 2008, they couldaccommodate over 1,000 residents, andtoday they employ over 1,000 staff. AsTLC Aged Care grew and evolved, so didits management structure, with IngridWilliams eventually taking over the roleof Chief Executive Officer. Williams herself was first em-ployed by TLC Aged Care over sevenyears ago, as the manager of one of theirfacilities. “From that point I moved intoa Regional Manager position, lookingafter four of our homes,” she says. To-day, Ingrid is in her fifth year as CEO,having been appointed at the beginningof 2007. In the seven years she’s beenin the sector at large, she has seen itchange significantly – especially wherethe Government is involved. “Regula-tion is a big focal point,” she says. “Overthe last couple of years, when it comesto diversification of services and tryingto meet the demands of future consum-ers, we’ve seen a shift from residentialservices to community based services.”That shift is the result of evolving cus-tomer needs – people want to stay intheir own homes for as long as possiblebefore they move into residential ser-vices, and the government is investingmoney into helping them. Williams saysthat while that is a positive change forelderly Australians, it does affect the
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249. 250 | Business World Australia | Healthcareaged care business. In response to these changes,TLC Aged Care has to adapt. “One ofour future developments at Donvale,in Melbourne’s South East, is a build-ing in which we want to provide moreflexibility around services and accom-modation,” says Williams. “It’s trying tobridge the gap between community andresidential care services as we knowit today.” As of now, all TLC buildingsprovide a full range of services includ-ing low care, high care, dementia ser-vices, and respite services – and goingforward all existing facilities and futurefacilities will incorporate TLC’s ongo-ing changes. “Future developments willreplicate what we’re doing at our newhome in Donvale, and also we’ll lookat the opportunity to then retrofit thatmodel into our existing facilities for the
250. Healthcare | Business World Australia | 251future. The purpose of the Donvale proj-ect and TLC Aged Care’s next series ofdevelopments is to offer a more hotel orapartment-like living model,” Williamssays. “We’d like to create a place wherepeople can move into our facility andwant to stay there for the rest of theirlives. We want to appeal to couples inwhich one person may require care andthe other doesn’t.” Because residents are enteringaged care older, it is more common forresidents to have already developed cog-nitive impairments. TLC Aged Care en-sures that it has the right staff to dealwith those issues, and that they are al-ways operating on the cutting edge oftreatment options. “Those that work inour dementia units are trained in thatarea, and have a special interest in it,”Williams says. “We are always looking
251. 252 | Business World Australia | Healthcarefor ways in which we can improve whatwe offer that group of residents, and wealways are a centre for innovation andquality. We are constantly looking foropportunities to bring in evidence basedpractice and make sure that what we’redoing is at the forefront of best prac-tice.” One way in which TLC Aged Careseparates itself from other aged careproviders is by focusing on the livingpart of aged care living, and taking theaged care part as a given. “We used tobe moving towards a vision of being aleader in quality aged care,” Williamsexplains. “Now we want to be a leaderin quality aged living. Living activitiesand lifestyle activities are things we’redefinitely focusing our attention on.” Anexample of such an activity is a supperclub TLC Aged Care introduced acrossits nine homes. “One thing that we havenoticed in the past is that very few ac-tivities get offered in the evenings,” Wil-liams says. “So once a month between 6p.m. and 8 p.m. there’s an opportunityfor entertainment, food, wine, familyand friends to come and join the resi-dents.” When it comes to challenges thatTLC Aged Care faces, Williams says thecompany is in good shape to deal withthem as they come. “We have a robustpolicy and procedure system in place,
252. Healthcare | Business World Australia | 253FRESH • FOCUSED • FLEXIBLEWe understand better than anyoneelse the key drivers for catering andsupport services re the Health andSenior Living markets.Our commitment to deliver to you= performance with heart.For more information aboutMedirest please contact RajesMoodley on (03) 9274 9500.a new identity...still the same great! companyAbena Premium RangeChoose the Abena Premium range for the verybest comfort and security.Genuinely breathable material ensures that theskin is protected to the highest possible standard.For more information call 1800 655 152or visit our website www.bunzl.com.auwhich means if there are changes in reg-ulation, we are ready for them and canrespond quickly,” she explains. “What’sprobably more of a challenge – and isfor the industry at large – is workforceplanning and workforce management.”Like many aged care providers, TLCAged Care can encounter difficulty isfinding the right staff for their facilities.“That’s something that we’re constantlyfocusing our attention on and looking atnew and innovative ways of doing thingsaround recruiting and retention.” Theretention side of that equation is par-ticularly important, so ensuring thatthere are good reward and recognitionprograms within their facilities is im-portant to TLC Aged Care. “One of ourtaglines is ‘Great Care and Great Ca-reers™’, so we put a lot of emphasis intomaking sure that we have career pathsfor our staff,” Williams says. When itcomes to the recruitment of staff, shesays it is all about promoting the bene-fits that employees get by working withTLC Aged Care. Additionally, they havea number of strategic partnerships withschools and other organisations; theycan bring in student nurses or traineepersonal care workers, and those peoplewill hopefully walk away with a good ex-perience, and a desire to continue work-ing for them once they are qualified. Over the next few years, TLCAgedCare has a strategic plan in place to re-fine their own performance and developfuture models of aged facilities. Infor-mation technology, too, is somethingthe company is investing a lot of timeand effort into. In general, Williamssays they are embarking on their nextphase of growth – a phase that is sureto be successful whilst TLC Aged Carekeeps living up to its name. o
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254. Healthcare | Business World Australia | 255HelpingPEOPLELIVE LIFE AND FINDA PLACE TO CALL HOMEWhether it is nestling in a quiet valleyby the river, a short way from the bus-tling town centre, or hidden from theroad by native bush land, Belrose Carehas the perfect location for the enjoy-ment of quieter years. With four facili-ties to choose from, Belrose Care is sureto have the right type of care to offer, beit high, low or dementia-specific. Theirprivately-owned and fully-accreditedaged care facilities are spaced across thePerth metropolitan area as far north asJoondalup, as far east as Maddingtonand Kelmscott, and as far south as Co-oloongup. Jeffrey Markoff, the Managing Di-rector of Belrose Care, came to WesternAustralia in 1995 from Victoria. He hastwo degrees in law but says he had toleave the field because he could not keepa straight face while sending legal bills.He is a registered builder and believesthe high standard of his Aged Care fa-cilities is due to the fact he could super-vise the building standard himself. Markoff has had a colourful busi-ness life previous to the development ofBelrose Care, working in the opal and
255. 256 | Business World Australia | Healthcareantique business as well as manufac-turing medical and exercise equipmentfor greyhound racing dogs – not to men-tion the fact that he was nearly theUnited Nations representative in Cam-bodia. That, however, is another storyaltogether, he says. “Aged Care is whatI love and have been happy to make adifference,” Jeffrey says. “This is what Iwas meant to do.” Their first facility, Tanby Hall,was built in Cooloongup in 1996. It wasso well received, that a twelve bed ex-tension was granted to their Tanby Hallfacility and a new permit was grantedfor Grandview Aged Care in Joondalup.This was the only facility in Australia toreceive 100 per cent certification (licens-ing) for this type of building. Grandviewsits on a hill and has wonderful views of
256. Healthcare | Business World Australia | 257the surrounding areas. Belrose Care de-scribes the building as imposing, but intruth it is only imposing in the qualityof its design, aesthetics, and recreation-al space. Of course, one of the notableaspects of their landscape is the inclu-sion of roses in many of their walks andgreenery. These act as a symbol, and alsogive many residents an opportunity toengage in a bit of gardening themselves.The gardens, and especially roses, fea-ture strongly in the Belrose Care group.Some of the residents form gardeninggroups, others work alone, propagating,planting, trimming and enjoying theirwork with a love of gardening. The next facility that Belrose Caredeveloped is their River Gardens, over-looking the Canning River. Presently,the West Australian Planning Authorityhas plans to landscape the area aroundthe facility, as well as land leading downto the river, which will be a value addedproject that will be enjoyed by both theresidents and visiting families. The latest facility, Orange Grove,is dementia specific, and is set in twohectares of lawn and gardens. This is awonderful asset to the people of WesternAustralia with the ever increasing needfor this type of care. The managementand staff at Belrose Care are proud ofthe outcomes they have achieved in theAged Care sector. “Our population is liv-ing longer and needing more and morecare to ensure those extra years arespent to maximise their quality of life,”Jeffrey says. The freedom that residentsexperience is part of their philosophyof offering not just a place to live, buta place to explore, enjoy and grow into.Belrose and Markoff believe in the idea
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258. Healthcare | Business World Australia | 259of aging in place, and have put in place asystem of levelled care that allows theirresidents to maintain a higher qualityof lifestyle and freedom. Belrose offers a range of services,which include physiotherapy, podiatry,a visiting GP, occupational therapy andhairdressing. A variety of activities areoffered to residents, both within the fa-cilities and on excursions to places orevents of interest. From the operational side, theirview is that each one of their residentsis a unique and valued individual, withthe same rights and expectations theyhad before they arrived. With this inmind, facility staff are carefully chosenand nurtured to feel part of the Belrosefamily. The Belrose philosophy is tofoster individuality and independencewhile at the same time offering sup-port where it is needed. Residents areencouraged towards maintaining theiroutside interests, as well as enjoyingthe many activities on offer at the facili-ties. The main areas of the buildingsare air-conditioned and every residenthas a private bedroom and ensuite.Each facility has its own laundry onsite and provides nourishing and tastyhome-cooked meals from its own kitch-en. Belrose has an open visiting policy,inviting relatives and friends to visit atany time. For a small cost, visitors maystay for lunch or dinner. Children arewelcome but must, of course, be super-vised. o
259. 260 | Business World Australia | HealthcareThe idea for National LifestyleVillages came from a simpleobservation: people who spendextended times in parks and resorts ex-perience a unique sense of low stress,security and community. Founding Di-rector John Wood grew up in caravanparks, and his father started FleetwoodCorporation, a company whose opera-tions are based around the sale of car-avans and caravan accessories – so hehad a strong association with the in-dustry. “He thought ‘Well, what if wecould offer a permanent home experi-ence in a holiday or resort type atmo-sphere?’” recounts Mike Hollett, CEOof National Lifestyle Villages. That washow the idea first originated in the late‘90s. Wood funded his first village, LakeJoondalup, soon after in 2000. 11 years
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261. 262 | Business World Australia | Healthcarelater, the company is on village number10. At National Lifestyle Villages,they combine the carefree enjoymentof a vacation with the fulfilment of be-ing part of a community. The ambienceis relaxed and fun, making NationalLifestyle Villages more analogous to aresort then a retirement home. Of theover 2,000 people living in their variousdevelopments, the average age is 63 –a generation younger than the averageresident of a retirement home. A thirdof their residents – alternatively calledLifestylers – still work a job, and havejust downsized out of the suburbs. “Ourresidents are very get-up-and-go,” Hol-lett describes. “They are off to the gym,to the pool, they have their Zumba class-es – they’re very active, and in a lot ofcases they are still fully integrated intothe external community through workand other activities.” Hollett himself started at Nation-al Lifestyle Villages back in 2008, whenhe was approached to be CEO. He wasattracted to the opportunity primarilybecause he thought the land lease mod-el was interesting – since National Life-style Villages is leasing the land they arebuilding on for 60 years, they are able todisconnect the house from the land andtherefore the price points can be signifi-cantly lower. In some cases, their hous-es can even be 40 to 50 per cent cheaperthan average. “We have so much landMal andbeen in b
262. Healthcare | Business World Australia | 263in Australia, and we have this housingaffordability issue. It seems like a crazysituation to be in, when land is so read-ily available,” Hollett says. “It’s not likewe have to fill in land, or create land sowe’ve got more places to live. I think themarket needs to mature and look at dif-ferent models. Owning the land is notthe key.”An expanding villageNational Lifestyle Villages has experi-enced rapid growth and considerablesuccess over the course of its lifetime.They established their first village,Lake Joondalup, in the northern metrosuburb of Ashby in 2000. Lake Joonda-d Jo have neverbetter shape
263. 264 | Business World Australia | Healthcarelup has 315 homes, and sold out withinthree years. After that, they establishedtheir second village of Pineview downthe road – literally, a kilometre and ahalf away. Pineview has over 230 homesand sold out quickly as well. “One vil-lage led to another,” recalls Hollett, andin 2005 they commenced their Bridge-water village in Mandurah, which has384 home sites and is now almost fullysold as well. After Bridgewater, they came upwith their Hillview village in High Wy-combe, which has 266 home sites, andis now sold out as well. Later came theBusselton village, located on the South-ern Coast with 235 homes, of which two-thirds are currently sold. The sixth vil-lage, Vibe in Baldivis, was when Hollettcame on board. Hollett then oversawthe construction of their premium vil-lage, Tuart Lakes, which has 470 homesites and is located over 24 hectares ofland. “That one has premium facilitiesand homes starting from 249,000 up to380,000 dollars,” Hollett says. Hot onthe heels of Tuart was Oyster Harbourin Albany, with 235 home sites. Finally,National Lifestyle crossed the borderinto Victoria with their Lakeside Laravillage. Their display homes for thatsite open in February, and presales arealready looking strong. Early in his tenure at Nation-al Lifestyle Villages, Hollett and themanagement team diversified and de-
264. Healthcare | Business World Australia | 265veloped a building company in EcoFitHomes. “We realised it would be a goodproposition to build the homes we putinto our own villages so we can havegreater control, and at the same timeoffer another service,” he explains. Thatcompany was established in Novemberof 2008, and like National Lifestyle Vil-lages, it has been steadily on the risesince the word go. Last year alone, theybuilt 220 homes – “Which is exciting,”Hollett says, “because it served our ownvillages, and we were also successful inputting a significant number of homesin Karratha in the northwest of West-ern Australia.” As with their core busi-ness, EcoFit built those homes under aBeing Part of aCOMMUNITY
265. 266 | Business World Australia | Healthcareland lease model, so they have also beenproviding affordable homes to serviceworkers in desperate need of accommo-dation.A light footprintBecause National Lifestyle Villages willbe occupying the same space for a mini-mum of 60 years, they are responsiblefor maintaining land they are using.“It’s important to the group and to theemployees because we believe in havinga light footprint on the land,” Hollettsays. It is critical for National LifestyleVillages to be efficient in utilising en-ergy and water, as well as in managingtheir waste streams, because that di-rectly impacts them and their residenc-es. For this reason, they have added re-cycling centres to their grounds, haveimplemented water recycling schemes,and even have their own wastewatertreatment plant. Hollett himself used towork as a senior Executive for the Wa-ter Corporation, where he led key sus-tainability initiatives in water recyclingand efficiency, so he has experience inthis arena. Also, because the company acts asboth the builder and developer, it is ableto exercise a lot of control over how theirhomes are built, and where they are lo-cated. In this way, National LifestyleVillages is able to ensure their homesare optimally placed to harvest solar en-You are inSAFE HANDS
266. Healthcare | Business World Australia | 267ergy, which reduces their residents heat-ing and cooling costs. “We do try to lookat the whole thing,” Hollett says. “Rightnow we’re looking at our supply chainand the impact of the new carbon legis-lation.” With every new village, Hollettsays they take another step forward inbeing more innovative in their sustain-ability practices, and their waste waterand energy management.Quality cultureThe employee count at National Life-style Villages is spread across severalmain departments, such as their vil-lage services, their management, andtheir construction development sector.They also have a business developmentteam, an internal design team, and sev-eral hundred subcontractors who workevery day to build the homes. “We’vegot a lot of disciplines covered becausein very simple terms we’re a developer,we’re a builder, and we’re a manager,”Hollett says. “That’s a simple message,but it’s quite a unique one because youdon’t generally find all three at once.” When recruiting, Hollett has toconsider different qualities for differentdepartments, but in general he is look-ing for people inspired to service the se-nior living market. “They have to havean affinity with providing a service ori-ented culture to that sector,” he says. “Ithink its important people get that. The
267. 268 | Business World Australia | Healthcareother cultural fits are around environ-mental standing – we’re always lookingfor people who innovate along those linesbecause it’s a very important flavour towhat we do.” Finally, their employeesneed to be flexible, as National LifestyleVillages is evolving and changing all thetime and their personnel need to be ableto keep up. Having quality employees is nec-essary to fostering a quality commu-nity – and the quality of the NationalLifestyle Village communities is one oftheir chief selling points. “We have avery strong culture and strong villagepolicies,” Hollett says. “It’s our resi-dents community, but we’re there as amanager.” While the management isfriendly, if a resident does the wrongthing, Hollett says they will always in-tervene and make sure the right thingultimately happens. “I think it’s impor-tant that they know we’ll make surewe’re managing their community at alltimes,” he explains. “Our culture in thevillages is open and friendly – the man-agers always have coffees and morningtea where people can come with enqui-ries, and we have a formal get-togetheronce a month.” Additionally, NationalLifestyle Villages fosters social commu-nity networks, clubs, and hosts events.“People can choose to take as much or aslittle of that as they like.”Spend more timeWITH FAMILY
268. Healthcare | Business World Australia | 269 Another of National Lifestyle Vil-lages’ chief selling points is their facili-ties. Those vary from village to village,but each location always has clubhous-es, open areas for entertaining, lounges,formal seating areas, and A-class kitch-ens to serve large meals and cater forevents. Also, they have gymnasiumsand swimming pools – some outdoor,most indoor. Select villageseven have indoor cinemas,squash courts, tennis courts,bowling facilities, and more.“Generally anything youwould expect to find if youwere joining your local gymor local clubs,” Hollett sum-marises. “We’ve got most of those fa-cilities covered, and you can just walkdown the road and use them when youwant to. The facilities are of a very highstandard, are well maintained, andwe’re very proud of them. They truly of-fer that lifestyle, as well as a wellnesscomponent to living. We know if peopleare fitter and happier they generallylive longer and enjoy life a bit more.” Looking forward, Hollett saysthey will continue to offer a premiumlevel of accommodation at the villagesalready built, as well as continue to ex-pand nationally. He also says that theyhave been asked by some of the majormining companies of Australia to lookat village style accommodation for theiremployees, so he sees a very promisingopportunity in that area. “We see ushaving a strong portfolio in senior livingand an emerging diversification into re-sources,” he says. By 2020, he sees theirresident count growing from the 2,000they have today to as high as 10,000.“I think we can grow quite quickly,” hesays. “I think the next decade will be astrong decade.” o
269. A fertile brand is a healthy brandvisit www.bbk.com.auCommitted to healthy brandsAt BBK Advertising, creating healthcare brands is whatwe do best. We consistently deliver fresh, results-drivencommunications programmes. On time, on budget.So, from conception to birth and the ongoing nurturing ofyour baby,dont settle for anything less than the very best.You really can expect better atADVERTISINGADVERTISINGADVERTISINGExpect Better SolutionsBWA/BBK 4718. Level 5, 456Victoria Road Gladesville NSW 2111. Phone: 9879 8900