2020 CEO Survey: Julie Coates, CSR

The residential construction market has proven very resilient during COVID-19, while design is becoming more important, says CSR chief Julie Coates.

What are the three enduring lessons or changes to flow from COVID-19?

Ensuring a “whole of industry” approach to working together. The building and construction sector was able to work together to ensure safety remained the first priority while keeping manufacturing and building sites open across Australia.

The role of government to keep people in jobs during uncertain times which provides critical support to the overall economy.

The importance of home design and performance as more people are spending time there. Key areas such as acoustics, comfort, energy efficiency are increasingly important. Working from home spaces need to be fit for purpose and personal investment in this area will continue to increase.

How would you rate the shape of the Australian economy as we head into the new year?

We have seen growth in third-quarter GDP with increasing business and consumer confidence improving the outlook for the year ahead.

The residential construction market has proven very resilient during COVID-19 and this will be bolstered by the extension of government stimulus into next year. Record detached housing approvals in October will drive further demand across all key markets in Australia.

What three reforms are needed to sustainably grow the economy?

Ensure that the resumption of net overseas migration is managed appropriately to support underlying economic growth.

Significant investment in new construction projects, particularly in social housing, will need to be supported by the approval and rezoning process.

Continue efforts across governments, energy providers and manufacturers to reform the market to deliver long-term, commercially-viable energy prices while continuing to reduce emissions and adopting new technologies.

What are the three best growth opportunities for your company in 2021?

Our efforts to streamline CSR during 2020 ensures we are resilient and can scale for future growth. We have a number of opportunities to increase exposure to new markets — particularly non-residential construction including healthcare, schools and social housing.

Continue development of CSR’s extensive property assets which includes all phases of rezoning, rehabilitation and redevelopment of surplus land holdings.

Increasing adoption of CSR’s full suite of high performance building solutions that drive better acoustics, fire resistance, comfort and design while reducing energy costs in homes and buildings.

What impact will digital transformation have on your company?

Internally, we have a major opportunity to use technology across our supply chain. While we have invested significantly in manufacturing, some of our transport and logistics services will benefit from more digital tools to manage transport and warehouse planning.

Externally, we are looking at more ways to deliver customers with digital tools for design and specification to streamline how our customers work with us, and with their customers, to design and construct new homes and buildings.

How would you rate business, state and federal government performance this year?

CSR has performed well as we maintained our building products earnings and increased our profit margin by responding prudently to the market environment.

Both state and federal government acted quickly to deliver stimulus for the building and construction sector and this has increased underlying demand for housing and improved consumer confidence.