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La Trobe Business School

Tag: strategy

LBS Innovation Series: Building a global business in a period of disruption

The first video of the 2019 LBS Innovation Series is by James Fazzino who gives a presentation on how the company he lead, Incitec Pivot, strategically responded to digital disruption in its core businesses.

About James

James is a La Trobe alumnus, holding a Bachelor of Economics (Honours) from the University, he is an Adjunct Professor in the La Trobe Business School and a Vice Chancellor’s Fellow. James was honoured with the Distinguished Alumni Award in 2018. He is a respected ASX 50 business leader and currently the Chair of Manufacturing Australia.

James has had a successful career in the international chemicals industry after concluding a highly successful eight-year term as Chief Executive Officer and Managing Director of Incitec Pivot Limited. He also served as the Chief Financial Officer and Finance Director at Incitec and had senior finance roles in ICI/Orica including CFO Chemicals Group, Assistant Treasurer and Head of Investor Relations.

Incitec Pivot Limited

Under James’ leadership, Incitec transformed from a fertiliser co-operative, operating in four Australian states with an enterprise value of $400 million, to a Global Diversified Industrial Chemicals company, operating in 13 countries and with an enterprise value of $8 billion. Incitec is now the world’s second largest supplier of commercial explosives and Australia’s largest manufacturer and supplier of fertilisers.

Responding to digital disruption

James provides a case study in management on how the company grew from a southern Australian fertiliser co-op to a global ASX 50 diversified industrial chemicals and fertiliser company over 14 years. Industrial chemicals and fertilisers are key inputs to soil health and nutritional needs, helping food producers maximise productivity and remain globally competitive. James elaborates on Incitec Pivot’s strategic journey and describes how his executive team drove a ‘gap to perfect’ strategy across the business – where any identified gaps (against international best practice) meet with goals and actions to improve daily performance.



This blog is part of the LBS Innovation Series, developed by Dr Mark Cloney, Professor of Practice in Economics in the La Trobe Business School.

More blogs in the LBS Innovation Series:

The “Aldi way”

LBS researcher Dr Angela McCabe and Dr Tom Osegowitsch (University of Melbourne), wrote an article for The Conversation on the secret to Aldi’s success.

Aldi’s strategy

An important element of Aldi’s strategy is a severely limited range of “preselected” products, overwhelmingly private brands. The company’s smaller range (some 1,500 store-keeping units as opposed to 20,000 to 30,000 in a large Coles or Woolworths outlet) has several advantages – in terms of store footprints, warehousing infrastructure and supplier discounts, to name a few.

Strategy has limits

In embracing the “Aldi way”, the company has made hard strategic choices. But it’s turning away shoppers who value things other than what’s on offer at Aldi – larger choice, established brands, more service, plusher stores, in-store bakeries and delis or expanded fresh food sections. As a result, Aldi’s growth in Australia is going to reach its limits.

Read the full article here:

The secret to Aldi’s success is choosing what not to do

 

Angela McCabe is a Lecturer in the Department of Management, Sport and Tourism at La Trobe University. Angela McCabe’s research focuses on the mechanism of knowledge transfer and knowledge co-production in cross-sector collaboration. Her work has contributed to understanding the way in which behavioural and institutional dynamics affect teamwork and the production and dissemination of knowledge within university-industry-government networks.

Does Data Eat Strategy for Breakfast?

Businesses are operating in environments with increasingly large and complex sets of data.  This revolution of data is hitting every industry. Every organisation now has the power to harness large amounts of information that can help inform strategic decisions.

La Trobe University organised a panel discussion among leading industry experts to discuss and explore the synergy between data and strategy, whilst highlighting the importance of developing strategies to become a data-driven organisation.

The panel

  • Phil Bolton: Director at PwC Australia, who also leads the Safety Analytics practice. He has been delivering data analytics projects to businesses across a broad range of industries and countries for over 15 years.
  • Edith Cheng: Head of Digital Marketing & Analytics at Lens10, a digital analytics agency. Starting out in digital marketing, she developed an interest in analytics and specifically custom analytics integrations, which enable organisations to unlock the value of their data in innovative ways.
  • David de Garis: Director in Economics, Markets, Corporate & Institutional Banking at NAB. He is a business and financial markets economist and consults with clients ranging from the Bank’s agribusiness and corporate clients, to institutional clients at home and abroad.
  • James Fazzino: Vice Chancellor’s Fellow at La Trobe University. James is an LBS alumnus and recently concluded a highly successful eight-year term as Chief Executive Officer and Managing Director of Incitec Pivot Limited.

 

Many LBS staff and students as well as people from outside the university attended the insightful event. The evening was opened by Professor Jane Hamilton, Dean and Head of the La Trobe Business School who mentioned that the university is excited to be at the forefront of this data revolution.

Watch the video to see how the panellists discuss questions such as: How do you see data influencing strategic decision making? Which business sectors are ‘doing data’ well? And do you have data influence your strategy, or do you use data for hypothesis testing?

 

LBS alumni event a huge success!

On 25 October, La Trobe Business School welcomed Dr Fiona McKenzie from the Australian Futures Project for the school’s annual Alumni Event.

Dr Fiona McKenzie was welcomed by La Trobe Business School’s Head of School, Professor Paul Mather. Event attendees included LBS alumni, university and industry stakeholders.

In her speech, Dr Fiona McKenzie spoke about how businesses today are influenced by massive digital disruption and are taking the opportunity to expand globally. This trend has often caused businesses process transform and jobs performed by people to be redefined.

La Trobe Business School would like to thank Dr Fiona McKenzie for attending!

Will robots take our jobs?

Find out more about how the digital disruption will affect the future of work at our upcoming La Trobe Business School Alumni Event with Dr McKenzie.

This article was first published on Nest, a haven of new ideas for people who are all kinds of clever. Read the original article.

Technology advances are rapidly changing the world of work as we know it.

PwC predicts 44 per cent (5.1 million) of current Australian jobs are at high risk of being affected by computerisation and technology over the next 20 years. ‘By “high risk”’ the PwC report clarifies ‘we mean there’s a greater than 70 per cent chance the job could be automated by technology’.

La Trobe Futurist Dr Fiona McKenzie discusses the challenges and opportunities of digital disruption in the future workforce, and how we can adapt.

What jobs will become automated?

The 2015 PwC report says jobs most likely to be affected are those where computer learning systems or robotics are able to perform simple and routine tasks faster and more accurately than humans. ‘These typically include unskilled or low-skilled activities in offices, factories and shops,’ it states.

Dr McKenzie says we’re already seeing the seeds of automation in our neighbouring countries. ‘There’s change happening in the manufacturing space with automated robots and co-bots (collaborative robots), which are potentially going to totally change the garment industry and affect employment for millions and millions of people in Asia.’

‘What’s interesting,’ Dr McKenzie further points out, ‘is that people in mid-level jobs are now starting to feel the pinch too.

‘People thought skilled-labour would be safe from automation but in actual fact there are developments where relatively sophisticated tasks can now be automated too.’

Dr McKenzie says ‘I’m hesitant to say whole sectors’ will be automated or safe from automation. Rather, ‘there will be chunks of every sector that will change.’

Roles that require creative thinking, emotional intelligence, intuition and ‘all those things that humans have the advantage on’ will be safe in the near future. As will jobs that require human, face-to-face interactions, such as those in the healthcare sector.

What opportunities can digital disruption offer?

‘We tend to fear that what we don’t know, but automation creates a whole opportunity for something else to be augmented,’ explains Dr McKenzie.

For example, a nurse whose job is to deliver food to patients may find there’s an automated delivery cart that can soon do just that. ‘This can create the opportunity for the nurse to spend more time sitting with the patient, measuring blood pressure and providing better care,’ Dr McKenzie says, ‘and in fact Sydney’s Royal North Shore Hospital introduced automated guided vehicles to move linen and food back in 2012’.

The advent of the internet and the ability to instantly connect with others across the globe has also enabled the rise of ‘digital nomads’ and freelancers to work from anywhere in the world for anyone in the world.

CSIRO’s recent report into ‘Tomorrow’s digitally enabled workforce’ ‘identifies plausible [future] scenarios via which the many – possibly most – Australian workers become portfolio workers and freelancers’.

Dr McKenzie says, ‘There’s a huge cohort that will be highly skilled, in demand and able to shape their future – and they’ll flourish in this environment.

‘There’ll be lots of opportunities in terms of entrepreneurialism, portfolio work, creating your own identity, being able to work around the world and doing work you’re interested in rather than being tied to one job.’

The rise of portfolio work and the gig economy could mean people can choose flexible work like nights, weekends and part-time, which could be particularly beneficial to parents.

It could also open up more doors for rural dwellers to work remotely for urban and international companies.

The dark side of the precariat workforce

The flipside of the rise of the precariat workforce – that is a working class characterised by ‘precarious work’ – could be that lack of job security increases stress and anxiety for some.

‘The precariat, that concept of “the new vulnerable” in the workplace is important to pay attention to because it is potentially a large cohort of people, says Dr McKenzie.

‘People may feel unsafe, they may feel insecure and like the economy is not ticking along. That plays out in all sorts of ways in politics and society and mental health.’

Dr McKenzie also wonders: ‘If we’re all working in a gig economy, what happens if we don’t have employment contracts and super?’ There’s talk of basic universal income, but we’re yet to know how that might play out.

Similarly, for an aging workforce expected to work into their 70s, Dr McKenzie says we might need to challenge assumptions and paradigms around retirement. People in this age-group might work on a semi-retired basis, they could work as business mentors, or perhaps unpaid roles like childcare and volunteering that this cohort regularly partake in will become financially rewarded roles.

The blurring of work boundaries that means we can potentially work remotely for overseas organisations, could also mean a lot of home-grown jobs are taken offshore.

In 2012, every third adult in OECD countries had a tertiary degree reports CSIRO. ‘That’s a massive cohort of young people coming through with higher education degrees worldwide, and what does that mean if work is more mobile?’ asks Dr McKenzie. Answer: competition for work increases.

How can we prepare for the future workplace?

To make the Australian economy and Australian workers competitive in the future, Dr McKenzie says we need to look at ‘how we can be the best in the world at the different industries we have and make sure we are winning jobs as well.’

Ultimately, Dr McKenzie says it’s less about the pace of digital disruption, and more about how quickly we respond to it. Dr McKenzie asks whether governments and others ‘will choose to be leaders on this or wait to react.’

‘The important point is that it’s not small. If you think about the Great Depression, unemployment was only around 25 per cent and here we’re talking about 44 per cent of jobs at risk.

‘We’re at six per cent unemployment and it doesn’t take a big shift in unemployment for people to really feel the impact. I hope we’ll all be proactive on this one.’

Find out more about how the digital disruption will affect the future of work at our upcoming La Trobe Business School Alumni Event with Dr McKenzie.

 

LBS Alumni Event: The changing nature of work

We are living in a time where businesses are influenced by massive digital disruption and are taking the opportunity to expand globally. This often requires entire business process transform and jobs performed by people to be redefined.

Join us as leading expert in the changing nature of work Dr Fiona McKenzie, discusses how business leaders can prepare for the future, and the skills required to take advantage of new opportunities.

About the speaker

Dr Fiona McKenzie, Co-Founder and Director of Strategy, Australian Futures Project: Dr Fiona McKenzie is a human geographer with a PhD on innovation and expertise in both public policy and academic research. At the Australian Futures Project, Fiona has led the design and implementation of a range of unique programs, including social innovation labs.

Panel Event

Date: Wednesday 25 October 2017

Time: 5:45pm – Arrival, 6:00pm – Presentation, followed by Q&As, 7:30pm – 8:30pm Networking, canapes and drinks

Venue: La Trobe University City Campus, Level 20, 360 Collins Street, Melbourne

Cost: Free

Register: Please register via the corresponding event page. Please RSVP by Friday 20 October.

UniSuper’s WIL invaluable for financial planning students

UniSuper La Trobe Business School
One of the key strengths of the Financial Planning program offered by La Trobe Business School is the range of work integrated learning (WIL) experiences that students can participate in.

La Trobe’s Financial Planning program, led by Senior Lecturer Marc Olynyk, has developed strong relationships with the profession and leading industry practitioners. As well as teaching the theoretical knowledge required of a financial planning professional, students are also taught to apply this theory to real-life work issues.

Over the past four years, the annual UniSuper Financial Planning seminar has grown to become a key feature of La Trobe Business School’s Financial Planning program. UniSuper – one of Australia’s leading superannuation funds – hosted this year’s seminar on 25 September at their offices in Melbourne’s CBD.

Led by Mr Graham Eggins, Regional Manager Southern at UniSuper, and supported by various team members, the seminar provides students with the opportunity to experience financial planning in a real-life work environment. It also aims to develop their skills in communication and strategy development.

“UniSuper has been a great supporter of the financial planning program at La Trobe University over a number of years and has a strong commitment towards promoting the education experiences of our students,” said Mr Olynyk.

La Trobe Business School is one of the market leaders in financial planning education in Australia. The Financial Planning program places considerable emphasis on a range of work-based learning experiences, as well as providing work-ready skills to prepare students for entry into the rapidly expanding profession. The Financial Planning Major can be undertaken from within a number of undergraduate business courses on offer from La Trobe Business School.

Interested in enrolling in a Business Degree? See our Business courses page for more information. 

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