This year has been a big one for all of us at Central Steel Build. It’s been a year focused on tightening up our operations and systems to allow us to push hard in 2018.
But what have we learned throughout the year that will help us get better? Quite a lot!
Our Customers Are Understanding.
We put in a lot of effort to ensure our buildings go up with as few problems as possible. And most of the time, everything goes smoothly. But with so many people and stages involved it does happen from time to time.
What’s most important is that we do everything we can to sort out problems as they arise. Often, the problems are completely out of our hands, but our customers are always understanding. They appreciate our efforts to move their project forward and overcome obstacles.
Looking back on a project, it’s often our ability to respond quickly to problems that keeps people coming back to us – they know that we can navigate challenges.
Our Business Is Built On Relationships
Every month, about 30% of our quote requests come from new clients. The other 70% come from existing customers and referrals. That is a huge number of people who were so satisfied with our product and service that they’ve decided to build with us again.
We put effort into building the relationships we have with clients, and this is going to become an even stronger focus for our strategy in 2018. Great relationships are the foundation of what we do.
Production Lines Work
In 2017 we introduced a simple, traditional tool to our workshop: the production line. We redesigned the value chain of our workshop to ensure that steel was moving through as efficiently as possible without keeping any of our workers idle.
The production line has increased our output by approximately 30%, and our workers feel more engaged for more of the day.
Our Customers Value Communication
At the end of every project, we ask our clients for feedback and one thing came up frequently: communication. Our clients appreciate being kept in the loop throughout the duration of their project. In line with our culture of continuous improvement, this is something we’ll push and develop in 2018.
We want our customers to feel constantly informed on the progress of their project and we want to open up clear channels for them to check in and ask questions.
We Can Build 443 New Projects In A Year (We Became Even More Experienced)
That’s an average of 41.8 new projects each month. We have directed much of our attention and energy towards ensuring we have the systems to handle this kind of output and that we can continue to grow.
This also means we’re continuing to gather experience across our eight industries. We built a helicopter hangar, an equine vet and a showroom for collectable cars. Experience like this increases the value we have to offer to new clients.
Building a Warehouse as an Investment
Buying or building commercial property as an investment can be a great strategy, particularly for those looking for a consistent stream of income.
In the article below, we look at the return of investment of commercial and industrial properties and then take a look at how you can start investing.
One of the strengths of commercial properties as investments is their high rental return. While residential properties return only 3.4% of their overall value per year, industrial properties return about 8.1% of their total value yearly.
That’s a huge difference in a reliable stream of income.
So what’s the catch? There are a few. Let’s go through them:
Rental Income Risks
As always, a greater return indicates a greater risk. In regards to industrial properties & buildings, the high rental return relies on finding a reliable renter.
Residential properties are generally filled by tenants extremely quickly, but it can take months to find an appropriate tenant for a warehouse or factory space.
In any town or city, more space is allocated to residential building than industrial building. Finding a property to build on can be more difficult, and the council will likely hold you to tighter regulations before giving you building approval.
However, there is some goods news here. If you’re working with a trusted and experienced builder, they will understand regulations like the back of their hand. A quick phone call will give you an idea of what you can and cannot do. In these situations, your builder is your most important contact.
More good news: fewer people are building industrial properties than residential properties. This means you can often get industrial land for a better price, particularly if you choose your location strategically.
More Specific Needs
When building an industrial property, you’ll need to consider a number of requirements a tenant is likely to have:
- Access to highways.
- Space for heavy machinery.
- Appropriately large access points.
- Access to industrial utilities.
The location of your building is often extremely important, because location often provides value to the business operating out of it.
You need to make business as easy as possible to conduct from your space, so you will ideally find a place close to suppliers and other important networks.
Industrial properties tend to increase in value slower and steadier than residential properties.
Whilst residential properties have greater potential for capital growth, they also have a greater risk of going backwards.
How Much Does It Cost to Build An Industrial Building?
The average cost to build an industrial building is $166,065 AUD for the engineering, fabrication and installation of the building.
Site preparation, civil works, utilities etc are all additional costs.
For large factories over $400m2, the price can range from $100,000 – $400,000.
Rental return of residential vs. industrial properties: Property Observer)
Shearing Shed Designs
A Shearing shed needs to be carefully designed in order that the jobs needed to be performed during the shearing process are easy to perform in the shed. Other important parts of the design include thinking about entry and exits for the sheep and how easy the shed will be to clean once the job is done. Here are a few different designs of the shearing shed that have been popular over time.
Traditionally shearing sheds have been designed around two different board designs. These are the center-board and the across board.
a center-board shearing shed is designed so the shearer will take the sheep from a pen outside the shed straight onto the board. Once the sheep is shorn, it will be let out through a race or chute. This design offers a range of benefits as the distance the sheep has to be taken from the pen is reduced resulting also in less interference between shearers and shed workers.
Using this design means that the shearer will catch the sheep from a pen opposite the shearing stand and will take the sheep ‘across-the-board’ to the shearing position. The sheep will leave the shed behind the stand, leaving the board on the opposite side to the catching pen. This design results in congestion of workers within the shed as they will be constantly crossing paths.
Raised Shearing Board
This design reduces interference between all the parties in the shearing shed as it simplifies the process. The design allows for safety of the shearer as well as making it easier for workers when picking up fleeces.
There are several variations of this design as it can be built in a straight line or curved design as well as being suited to U or L shapes.
The raised board design allows for the option of whether to make the wool room at ground level. By doing this under-floor storage is lost and bales will need to be lifted when loading them. However a ground level shed can be used for other purposes such as machinery storage through other seasons.
Curved Shearing Board
This design can be used for both conventional and raised board sheds. The curved board makes the catching process easier and there is a reduced walking distance for shed workers carrying shorn fleeces to the wool table or press.
If you are using front fill catching pens, this design is recommended to be the most efficient.
Internal Shearing Shed Systems
Let-go Systems- The aim of this system is to move the shorn sheep off the shearing board quickly without hassles. Most versions of this system will hold the sheep from each shearing stand separate until they are counted out.
Chutes- These are constructed from timber or galvanized steel. Sheep are released underneath the shed through a sliding chute.
By receding the shoot into the shearing board the sheep are more easily dropped out via the chute.
Internal Races are popular in colder places as droughts will become less of an issue. The flow of woolly sheep can be hindered if the race running along the shed behind the filling pens and exit doors are not planned carefully.