Product development drives Air-Cell growth

A RELATIVELY small Western Australian exporter has strengthened its growing position on the global stage with recognition at the recent 2008 National Excellence in Building and Construction Awards.

Malaga-based Air-Cell Insulation, a reflective insulation designer, manufacturer and exporter, won the Building Materials and Product Manufacturers (under $25 million) category at the awards, held at Parliament House in Canberra.

A week earlier, the company won with the silver award at the inaugural Gaia Awards in Dubai, recognising products proven to reduce environmental impact, which are run in conjunction with the world-renowned Big 5 building and construction expo.

Air-Cell managing director Scott Gibson said attending trade shows or expos, building and maintaining personal relationships with business partners locally and overseas, while ensuring a strategic focus across the entire organisation were among the reasons behind the company's success to date.

Mr Gibson the company aimed to be ahead of the pack.

"A key or core objective of this company is to develop a new product or a significant innovation every 12 months," Mr Gibson told WA Business News.

"It's a real core belief within the organisation and it's very much part of our success now, because in a very competitive market we're able to provide new products and new application solutions ahead of our competitors, and in this industry to stand still is to die."

The company has grown significantly in recent years, increasing in staff size from a team of 10 to almost 40 since 2004.

"Our exports account for about 14 per cent of our gross turnover, and the objective is to get 20 per cent of our gross turnover from offshore by 2010," Mr Gibson said.

"And currently our gross turnover is about $25 million, but we're chasing around $27 million."

The company started exporting in 2001 to Indonesia, which remained its largest overseas partner until recently when Dubai and the United Arab Emirates took over the top spot.

Air-Cell exports to a large number of countries including New Zealand, various locations in South-East Asia and the Middle East, and is on the verge of entering the South African market.

"Domestically, last year we grew at around 40 per cent; internationally we grew at 45 per cent and the company has enjoyed compound growth of 48 per cent over the last 10 years," Mr Gibson said.

Mr Gibson cites various reasons for the company's success, including strategic agility and long-term planning.

"We're very strategically focussed and we're constantly looking two years ahead," he said.

"And that sort of focus goes all the way through - we've got a great technical department, a great marketing department, a great senior executive team and they all share the common goal.

"We don't make too many mistakes; we still make some but not too many of them.

"We tend to measure twice and cut once.

"I would recommend companies use Austrade and the WA trade office people, use the services to target the right companies and get your information briefs.

"The worst thing an Australian exporter can have is a preconceived understanding of someone else's culture when they haven't been there.

"And last but not least you've got to recognise the men and women of your organisation."