Home / Knowledge / News / Textiles / Review recommends business improvements for AWI
Review recommends business improvements for AWI
01
Sep '09
An independent review of Australian Wool Innovation's performance over the last three years (1 July 2006 to June 2009) has reaffirmed what many Australian woolgrowers already knew: the wool industry's marketing, research and development organisation has room for improvement.

The review is a formal obligation under the Statutory Funding Agreement (SFA) with the Australian Government. It is part of a three-year process in the lead up to WoolPoll, where AWI shareholders decide on the company's future level of funding.

Arche Consulting conducted the review and believes AWI could be more effective in the areas of strategic planning, governance, consultation and the measurement of performance.

After conducting a comprehensive line by line assessment of the company since December last year, current AWI directors have come to many of the same conclusions. The new board and management acknowledge the governance framework of the company and its subsidiaries has been inadequate over the past three years. This has resulted in an inability to set meaningful targets and objectives and to comprehensively assess the company's performance and outcomes against those objectives.

Recognising these deficiencies, present directors have made major changes to the systems within the business this year. In January, the AWI board commissioned experienced business manager and former AWI director Ken Boundy to report on the structure of the company. This was followed by the appointment of Brenda McGahan to increase marketing activities and address the funding shortfall of AWI.

In addition to an increase in marketing activity in key markets, funded by a reduction in overhead costs, on and off farm R+D have been integrated to allow a better flow of market signals.

Under Brenda McGahan's new Strategic and Operational Plan, many of the issues raised in the Review of Performance have been or are being addressed. For example, a six-monthly review of research projects. Tendering of business to increase competition and reduce costs. Project assessments have been improved and the benefits of initiatives such as the Japanese Marketing Program are now clearly outlined. The overall result is a proactive three-year R&D and extension program at AWI which is closely aligned with Australian Government research priorities.

The risk management consultancy, Risk Management Partners, has been contracted to review and revise AWI's Fraud and Risk Plans.

The Board has engaged board performance advisors, Cameron Ralph, to work with it on key issues of corporate governance and to implement an improved governance framework.

The new board and management of AWI acknowledge that over the period of the review there had been inadequate consultation with shareholders and other key industry groups when determining strategy and direction for the company. The board has responded to this by significantly increasing AWI'scommunication with woolgrowers. So far this year the AWI CEO, chairman, directors or executives have attended close to 60 woolgrower and wool industry functions in 6 months. At these field days, shows, expos, conferences and forums AWI has listened to the views of the industry it serves.


Must ReadView All

Japan’s JICA promoting energy-saving devices in Bangladesh

Apparel/Garments | On 21st Feb 2018

Japan’s JICA promoting energy-saving devices in Bangladesh

The Japan International Cooperation Agency (JICA) is promoting use of ...

China’s JD.com announces financing pacts for JD Logistics

Textiles | On 21st Feb 2018

China’s JD.com announces financing pacts for JD Logistics

China’s largest retailer JD.com Inc recently announced it has entered ...

Courtesy: Indorama Ventures

Textiles | On 21st Feb 2018

IVL 2017 revenue up 17% y-o-y to $8,438 million

Indorama Ventures Public Company Limited (IVL) has reported revenue...

Interviews View All

Karan Suratwala
Key Textile Accessories Private Limited

Chinese imports are destroying the supply chain

Priyanka
Studio Priyanka Rajiv

‘To reinvent the age-old tradition of embroidery to suit demographics and...

Yash Maniyar
Rekha Maniyar

Indian fashion market is growing at a staggering rate

Tejas N Patel, Navin D Patel

Founded in 1999 by Navin Patel in the name of Tejas Fabrics with 100...

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

Harsh Shah

Established in 1956 with a small beginning, Embee today manufactures a...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Akta Adani
India Boulevard

India Boulevard is a San Francisco-based curated fashion marketplace that...

Amiben Shroff
Shrujan

From its modest beginning in the late 1960s, Shrujan has grown into a...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

February 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
70.6%
No
12.7%
Skip
16.7%

Total Votes: 102

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.7%
No
29.4%
Skip
6.9%

Total Votes: 102

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
88.2%
No
8.8%
Skip
2.9%

Total Votes: 102

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
83.3%
No
7.8%
Skip
8.8%

Total Votes: 102


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search