Success Story/Case Study:
'Back From the Brink'

The Client Brief

We were approached by a business that operated several sites in Queensland. They had been advised to close their doors. Employee and business issues were so irresolvable that they were sending the Client bankrupt.

Problems included:

• A union threatening 'wild-cat' strikes
• Employee unrest with remuneration and conditions
• Cash flow issues and eroding product margins
• Workplace Health & Safety concerns
• Accounting systems that didn't measure profit and loss by profit centres

Biz Momentum's Solution

Biz Momentum worked with the owner of the business to bring about a swift resolution of union and employee issues. We undertook discussions with the union that resulted in addressing employer and employee concerns.

"Phil’s vast industry experience set him head and shoulders, in my mind, above the advice I was receiving from a well-known Industry Adviser within Queensland."

Certified Agreement

We recommended a Certified Agreement, which was subsequently approved by the Queensland Industrial Relations Commission.

"Within weeks of engaging Phil’s expertise, I had my business from being on the back foot to be assertively on the front foot and, not long after, an EBA was approved by the Industrial Relations Commission, all parties happy with the outcome."

The Certified Agreement provided:

• employer and employee flexibility
• call-out rosters where employees covered for each other when sick, on a swap system, without penalties
• increased pay and conditions linked to measurable key performance indicators
• master contract clauses

Employees were involved in each step of the solution.

Employee Morale

Biz Momentum undertook an employee climate survey to gauge employees' concerns. Joint solutions were recommended for the employer and employees. Employees voted, overwhelmingly approving solutions.

Cash Flow Issues & Eroding Product Margins

Poor cash flow issues were due to diminished productivity and employee unrest. Payment for overtime had escalated in direct proportion to employee dissatisfaction.

By introducing a Certified Agreement, addressing employer and employee needs, productivity increased and cash flow improved.

Workplace Health & Safety Concerns

In consultation with all parties, Biz Momentum attended a forum that allowed the employer and employees to table their workplace health and safety concerns, document the process and facilitate positive change.

Accounting Systems

The owner of the business didn't measure profit and loss by work centre, and felt that one of the divisions was actually incurring a substantial loss. Their accounting system was unable to perform cost centre reporting.

Biz Momentum recommended MYOB Premier Accounting Software. We installed the accounting software, trained the owner and bookkeeper, and analysed the financial records.

We discovered that a particular area of the business was operating at a significant loss. As a result, the business owner made the decision to close that part of their business. This lead to a significant increase in cash flow and profit.

The Outcome

"[Phil's] involvement and advice to my business has been priceless when compared with the previously pre-determined outcome of business closure."
- Paul L, Managing Director

The owner of the business had been looking at financial ruin and the loss of a profitable and sustainable business. Employees were looking at loss of earnings and employment.

By taking a positive and collaborative approach, the parties were able to move through their differences. Today the business is thriving, with the employer looking to put on additional employees.

The business continues to grow and expand, profitability has dramatically increased, employee unrest has disappeared, monitoring systems are in place, and working conditions plus workplace health and safety issues have been resolved.

There IS a solution for YOUR business to move forwards. Act today and speak to Philip Lye of Biz Momentum.