Defence as Entrepreneurs and Business Owners

Steve Baxter and Andrew O’Connor Kindly sponsored by

Arrival Networking

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Arrival Networking

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Arrival Networking

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Arrival Networking

5

Opening

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Daniel Smith

Sponsor Share - Introducing the Keynote Speaker

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Ross Patane

Life Lessons and Shark Tank

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Steve Baxter

Keynote Presentation

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Andrew O’Connor

Defence as Entrepreneurs and Business Owners

• Decisions

• Journey

• Roles

• Lessons

Thursday, 5 May 2011 10

Decisions TO START AND BECOME A BUSINESS OWNER

Decision to move into

industry. This may be to

start your own company

or work for another

company.

Exit Defence

Decision to start a

company on your own

or with partners.

Start Company

Decision to take on

employees.

Employees

Commit to your new

company by working

full-time.

Work Full Time

Decision to continue to

grow company size.

Company Size

Decisions

EST COMPANY 1

Three directors

established a

reliability

engineering

company.

FIRST DIRECTOR

LEAVES DEFENCE

Andrew O’Connor

leaves the Army to start

the company full time.

FIRST JOB

Reliability Analysis

for Defence

Communication

OEM.

RESERVE WORK

Andrew O’Connor

fills in work with

Army Reserves

Journey

2009 2013 2012

SECOND

DIRECTOR

LEAVES DEFENCE

Ben Mailler leaves

Defence with no

contracted work and

three tendered jobs.

WIN 12 MONTH

CONTRACT

Win 12 Month

contract providing

integrated logistic

support to Defence.

FIRST YEAR LOSS

Make first year loss.

COMMITMENT ON

CONTRACTS AT

110%

Two fill time

contracts plus ad-

hoc work.

acuitas

COMMITTED TO

180% CAPACITY

Three directors

established a reliability

engineering company.

THIRD DIRECTOR

LEAVES DEFENCE

Third director leaves the Army

to start the company full time.

EST COMPANY 2

Ben and Andrew establish

a second company and

resign from company 1.

FY $1M

TURNOVER

Reach $1M turnover in

Company 1

Journey

2015 2014

6 FULLTIME

STAFF

Employed 6 staff prior to

Christmas.

BUSINESS

MANAGER

Employ full-time Business

Manager

FY $1M

TURNOVER

Reach $1M turnover in

Company 2

12 FULLTIME

STAFF

Employ 12 full-time

staff.

DiB TALK

Here I am!

Decision to move into

industry. This may be to

start your own company

or work for another

company.

Exit Defence

Decision to start a

company on your own

or with partners.

Start Company

Decision to take on

employees.

Employees

Commit to your new

company by working

full-time.

Work Full Time

Decision to continue to

grow company size.

Company Size

Decisions

Audience sight

Decision to Exit Defence

16

9%

29%

4% 41%

16% 1%

Defence?

One person in the audience is still in defence. 43% are ex-defence.

Ex-Army Ex-Air Force Ex-Navy

Non Defence Unknown Serving

Audience sight

Decision to Start Company

17

44%

3%

40%

13%

Company Owner?

Nearly half the audience started a company.

Owner Employee

Unknown Other

Audience sight

Size of Company

18

42%

41%

10% 7%

Company Size

80% of audience’s companies are just the directors.

Under 30

One

Over 30

Under 5

Decision to move into

industry. This may be to

start your own company

or work for another

company.

Exit Defence

Decision to start a

company on your own

or with partners.

Start Company

Decision to take on

employees.

Employees

Commit to your new

company by working

full-time.

Work Full Time

Decision to continue to

grow company size.

Company Size

Decisions

Entrepreneurial? WHAT WILL I BE DOING?

Roles in Starting a Business

21

RUNNING THE COMPANY Determine the structure

and direction of the company. Make

decisions about risk. Execute all the tasks that

no one else will (HR, OPS, IT, BOOK KEEPING)

BUSINESS DEVELOPMENT Generating, identifying

and pursuing opportunities. Includes

networking, partnerships with other companies,

advertising, being visible, social networking,

getting on to panels, writing tenders, writing unsolicited proposals.

WORK EXECUTION

Executing the work which you are paid

by clients to perform. Deliverable focused

but includes the overheads of

managing the specific jobs.

MANAGE EMPLOYEES

Manage the individuals that work

for you to ensure they are productive

within your company and will continue to

be in the future. Manage quality of employee outputs even when you’re

not directly responsible.

Defence as Business Owners

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Existence

Cash Generation

Grow Employees

Consolidation

Commit to the company full time. Generate enough work to employ the directors. Success: Not be worse off than in full time employment.

Work hard to generate sufficient cash to minimise risks and support a growth strategy. Success: Cash to support growth phase

Recruit employees to reach meet growth objectives and reach critical mass. Success: Staff utilised

Focus on creating a sustainable and profitable business. Success: Sustainable company structure

Defence as Business Owners

23

Cash Generation

Grow Employees

Consolidation

Existence

Running the Company

Business Development

Work Execution

Manage Employees

Running a Company OUR LESSONS

RISKS You will be required to take risks

which you may not have been

exposed to previously. Acceptance of

uncertainty. How do you identify

risks? Perceived risk may be high.

STRATEGY Have a strategy to guide you in broad

terms, but your priority is to remain

flexible to act on opportunities.

INVESTMENT Requires significant investment.

Time. Financial. Person. The

success of the company will only be

what you create.

FIND WAYS TO MAKE IT WORK Be really inventive to take

opportunities. Use your network for

assistance.

Running a Company

BUREAUCRACY Resist the temptation to introduce

processes from your previous work

places. What does the process add?

RELATIONSHIPS Partners, employees, clients, support.

Business Development OUR LESSONS

AVENUES OF WORK Value is determined by the

purchaser. Multiple avenues

(especially early) can mitigate

unfavorable business conditions.

RELATIONSHIPS All things being equal, people do

business with friends. All things being

less than equal, people still do

business with friends.

ENTHUSIASTIC There is no substitute for sincere

enthusiasm. Your clients see it, your

staff see it (or not).

BE YOUR IMAGE Personify the vision you have in your

head. Doing it far outweighs seeing it.

Business Development

Avenues for Work

28

Self Generated

Tendered

Referrals

Network

Work Generates Work Do a good job and it’ll speak for you

Tendered Tenders often have low barriers to entry

Network Quality not quantity

Referrals Others speaking for you is more powerful than doing it yourself

Return Work

Joy Mining | XstrataOaky Creek LW31

Root Cause Analysis

JoyGlobal | GlencoreUlan West

Maintenance Strategy

JoyGlobal | GlencoreUlan West Safe Work

Procedures

JoyGlobal | GlencoreOaky Creek LW33

Process Improvment

JoyGlobal | Illawarra CoalDendrobium Root

Cause Analysis

BHP | JoyGlobalAppin Dyke

Hard Rock CutterReport

Peabody | Yancoal | CATGoonyella Longwall Upgrade Facilitation

EDL | PeabodyEDL Methane Power

Station Risk Assessment

EDL | PeabodyEDL Methane Power

Station Risk Assessment

GlencoreOaky Creek North

Maintenance Strategy

GlencoreOaky Creek North

Maintenance Strategy

GlencoreOaky Creek North

Maintenance Strategy

GlencoreOaky Creek Power

Options Quantitative Analysis

85% Return Work

Work Execution OUR LESSONS

DO IT You must produce the outcomes

you are contracted for.

BE CONSULTATIVE You are technically great, but

your constative ability is what will

earn trust and achieve the right

outcome.

Work Execution

EGO FOR GOOD It is not about winning the argument,

it is about the product and the way

you make the client feel.

TRUST Build trust is everything you do. Avoid

trying to be ‘a consultant’.

What Do I Get IS IT WORTH IT….. YES!

Audience Q&A

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Daniel Smith

Final reflections & suggestions

34

Steve Baxter

Next events - 31 Oct 3 Dec

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Business and Employment Opportunities in Ipswich

Defence Year in Review

Networking

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Lucky Door Prize

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Blake Barrett

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