Boutique Build Australia

• Quality
• Innovation
• Leadership
• Respect
• Honesty and Reliability

Strategic Priorities

Key strategies:

To be well led, high performing, profitable and accountable

• Ensure that all financial operations, performance indicators and results support the strategic policies
• Identify new, and expand existing, sources of revenue
• Achieve profits of at least 10% per annum.

Build high quality residents to meet customer needs and aspirations

• Increase sales of homes in current Sydney market by 10% per annum over the next three years.
• Establish a presence in Queensland and build at least 100 new homes in Brisbane and the Sunshine Coast during the period of the Strategic Plan.
• Research and plan for the launch of new innovative, environmentally friendly homes

Continue building deeper customer relationships

• Customer-centred practice, with a focus on meeting their total needs for a high-quality home
• Strengthen the skills of our people, to better support customers
• Drive innovation to better meet customer demands

Attract, engage and develop the best staff

• Continuing the drive to a customer centred, high performance workforce and culture
• Strengthening the skills of our people, to better support customer needs
• Empowering innovation and responsiveness to change
• Continuing to enhance the diversity of our workforce.

Operational Objectives

The following table identifies the operational objectives we plan to achieve in pursuit of our strategic objectives.

The Market

Market characteristics & conditions

The construction industry had been facing a stagnant phase in recent times, however experts predict a turnaround, providing real opportunities in the sector. Although much of the construction industry is expected to see real growth in the coming 12 months, the residential building sector should experience the most.

The Housing Industry Association (HIA) recently released their National Outlook and announced that this year would see a new record of homes commenced. According to the statistics, record 195,936 new dwelling commencements are forecast in 2018/19, a 7.7 per cent growth on the previous year.

Although 2017 saw a rise in overall numbers, a significant portion of building approvals never started, sparking further opportunities when these begin in 2018. Project Managers, Structures Forepersons and Commercial Contract Administrators will be at the top of any wish list for construction businesses this year.

Although a number of states are set for an increase, the Sunshine State to experience the most growth. The Queensland Government is providing support by offering first home buyer/builder grants, as well as easier procedures for development application approvals.

Globally it is expected that the construction industry will grow from $7.2 trillion to over $12 trillion. The global construction industry has a number of challenges and opportunities according to a recent report by Global Construction Perspectives and Oxford Economics. A number of factors are expected to affect outcomes:

• Countries’ decisions with respect to carbon reduction, climate change, waste disposal, clean technology and renewables.
• Emerging economies in general are expecting large population increases in the coming decade, creating demand for construction activity. Population growth in developed countries will be flat.
• Relatively speaking, developing countries are expected to grow at 2 to 3% per year and emerging countries at 6 to 7% per year.
• Emerging countries currently represent about 35% of global construction output and this is expected to increase to 55% by 2020.
• The key area of construction growth in emerging countries will be infrastructure: transport, energy, social infrastructure, schools, hospitals, government accommodation, water, defence infrastructure and natural resources. These projects are expected to increase by 130% in developing countries by 2020, but by only 20% in developed countries.
• Amongst developed countries North America is will see the highest growth rate mostly in residential construction which will grow at double digits annually. South and Central America, the Middle East and Africa will grow moderately with Western Europe seeing the lowest growth.
• Eastern Europe and Russia are expected to expand construction by 100%, primarily led by Poland and Russia, by 2020.
• China is expected to become the world’s leading construction market by 2018 with a construction output of $2.5 trillion.

In the future, trends in technology, particularly information technology (IT), may be the greatest driver of change in the building and construction industry. Electronic tendering and documentation, data communication, virtual design, shared project data and databases, construction automation, and energy management will have a significant impact on industry practices. Those parties that are slow to react to these trends will have difficulty in remaining competitive.

Situation Analysis

Marketing Strategies

Our marketing strategies aim to:

• build trust,
• generate leads now,
• help to convert those leads quickly, and
• will form the basis of ongoing relationships and referrals.

We plan to develop our market share by:

• Improving our marketing and advertising
• Continually improving the quality of service given to clients
• Maintaining effective communication channels with all stakeholders to ascertain industry requirements and then develop products and manage services accordingly
• Continually improving communication channels with all our stakeholders, ensuring a flow of timely and accurate information to facilitate effective planning and decision making
• Targeting identified growth markets with planned, market appropriate campaigns employing a variety of promotional strategies and advertising mediums
• Offering attractive fee structures to our clients
• Continually improving the skills, knowledge and effectiveness of Boutique Build Australia through our commitment to training and development
• Regularly reviewing the effectiveness of all our operations and making improvements when and where necessary

Risk Management

The following section identifies the associated risks in pursuit of our strategic objectives and how we will deal with them.

Strategic Objectives