For 170 years Elders has been part and parcel of life on the land…there are those farms and stations that have only ever dealt with the men in red shirts, and there are those who shop around amid a growing number of alternatives for agri-service.
Adding salt to the wound of increasing choice and a dispersal of brand loyalty, in June this year the iconic rural company posted a loss in yearly profit margins, compounded by an already low share price.
With an introduction like that, this story could go either way, but what the company’s new Chief Executive Officer, Malcolm Jackman, wants you to know, is that it will be a tale of redemption. You see the New Zealand born ex-navy seaman is on a mission: he’s here to bring the Elders brand back to the helm, and if you’ll pardon the pun, return it ‘ship-shape’, as the company that serves its clientele on the grass roots level.
“On a corporate level there has not been a lot of strategy over a long period of time; so what we’ve done is collapsed that structure and we’re getting back to basics,” says Jackman.
“Our core business is rural services and we’re not going to get distracted. We’re not going to get distracted by the downstream processor, we don’t want to be an abattoir, we don’t want to be known for our packing sheds; we’re getting back to what we used to do, and what we do well.”
Jackman’s theory is that good business is pretty simple. “We need to get everyone to focus on the core….it’s like we’re running a footy club…first we get the basics right and win the premiership, and then we’ll focus on getting the netball team.
“On the top line we need to get our sales right, have the right people, and get the cash flow.” The priority, he says it to look after customers, and have the right people in the business.”
As we continue our interview in the build-up to the opening of a renovated Elders branch in Broken Hill, an army of men in red shirts buzz around the office. There may be nerves that the ‘big Cohuna’ is in the building…undoubtedly a generation of employees are nervous at the impending ‘c’ word…change.
“Look I may have the reputation as a hard arse, or a toe cutter, but I just want to get everybody to understand my expectations. Let’s just get on and do the things we need to do well.”
