STAR Industries to restructure

Today, Sydney 

A news release was issued yesterday from STAR Industries highlighting the success of their WA operation. Ben Russell, STAR's CEO, stated that their WA operation had generated 50% more revenue for the window and door manufacturer than its NSW operation and that this office provided a model for the rest of the organisation. The combination of quality products, quality service and competitive pricing had been responsible for the excellent growth of their WA operation in less than ideal economic conditions. 

Given talk of a proposed public float of STAR Industries (they are now privately owned by 11 shareholders), the news of a restructure is timely. It is well-known that lack of consistency between State operations has been an impediment to STAR's market growth and profitability.  

Potential shareholders should give the thumbs up to the new arrangements as it is expected that costs will be reduced and profitability increased due to the organisational changes. 

The organisation will shed a number of jobs in the restructuring in an endeavour to streamline operations. Management and staff are now in negotiations regarding redundancy and redeployment. Given the recent reported 'golden handshakes' for executive staff, Ben Russell is keen to ensure that fair but realistic separation arrangements are reached.