INS DER - Has SA scuppered WA's defence sector? - INDIGENOUS ART BUNNINGS' NEXT BATTLE LUNCH WITH DALE ALCOCK - The West Australian
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WESTBUSINESS I N S WA’S BUSINESS MAGAZINE D E R August 2016 Has SA scuppered WA’s defence sector? INDIGENOUS ART • BUNNINGS’ NEXT BATTLE • LUNCH WITH DALE ALCOCK
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WESTBUSINESS WELCOME I N S D E R From the editor Ancient and modern worlds collide A bigger share of defence industry work is There is more to Aboriginal art than dot paintings. Stephen one of the State’s best chances of picking Bevis reports on the indigenous art taking the investment up the slack created by the downturn in world by storm. P8-10 the mining industry. But South Australia continues to win the bulk of manufacturing Mad about Minjee work in this field. WestBusiness Insider Smart, focused and with a natural Aussie charm, Perth golfing considers the high-stakes battle between prodigy Minjee Lee is a marketer’s dream. So why hasn’t she got the two States for tens of billions of dollars an Australian sponsor? Bridget Lacy reports. P12-14 worth of contracts. In this edition, we also look at the P12-14 War games contemporary and traditional Aboriginal art Western Australia and South Australia are battling it out for that is wowing the world and how a change defence industry contracts. Peter Williams reports. P17-20 to the business model of indigenous art centres, and to export laws, could help Building a hardware empire reinvigorate the sector. Perth golfing Homegrown Bunnings is to spread to Britain and Ireland in one prodigy and Olympian Minjee Lee of the boldest moves in corporate history. Kim Macdonald also comes under the spotlight reports. P22-25 and we assess how homegrown Bunnings is likely to fare when it PLUS rolls out the red hammer in Motoring: Kim Ledger tests drives the BMW M2. P29 Britain and Ireland. Kim Ledger test drives a luxury BMW and Wine: Tony Grist, of Albion Capital Partners, opens his cellar. incoming Dockers president P29 Dale Alcock explains how he Lunch: With the next Dockers president Dale Alcock. P30 starts the week as Dale and ends it as gramps. Cover: Premier Colin Barnett faces his SA counterpart across a P8-10 P29 game of Battleships. Digitally altered by John Henderson Kim EDITORIAL Kim Macdonald Editor, WESTBUSINESS INSIDER magazine. 08 9482 3104 kim.macdonald@wanews.com.au Macdonald ADVERTISING Elizabeth Poustie 9482 3254 elizabeth.poustie@wanews.com.au. DESIGN John Henderson john.henderson@wanews.com.au Western Australia's best display home VIEW SEACREST HOMES AWARD WINNING QUALIT Y, ON DISPL AY WINNER MBA WA 2016 OVERALL BEST DISPLAY HOME WINNER HIA PERTH & WA DISPLAY HOME OF THE YEAR WINNER HIA WA 2015 KITCHEN OF THE YEAR WINNER 2016 HIA WA BATHROOM OF THE YEAR FINALIST HIA AUSTRALIA DISPLAY HOME OF THE YEAR FINALIST HIA AUSTR ALIA KITCHEN OF THE YEAR MIRAGE THE 2 MASSON MEWS, MOSMAN PARK Builders Reg. No. 8869 seacresthomes.com.au Distinctive. Individual. World-class. The Mirage by Seacrest Homes is open by appointment - phone : Mary Musuruca : 0411 733 047 email : pmusuruca@seacresthomes.com.au Seacrest Homes are custom design and construction specialists for residential projects upwards of $1m
I N S G H T The art of A day in my working life GOOD CHOCOLATE TERRY AGNEW, CHIEF EXECUTIVE OF RAC T o make good chocolate you need two things. One is to source good quality cacao beans from a single origin, and the other is to take enough time during the production process to develop the optimal flavour of the beans. About 95 per cent of the world’s chocolate comes from bulk cacao beans and has a fairly generic taste. But beans derived from a single origin, when processed for as long as 24 hours, have rich and naturally occurring flavours, which range from citrus to rum and raisin. Most people are not surprised to hear that the wide variety of wine is due partly to the 500 flavinoid components in grapes. But most people don’t know that chocolate varieties can be even more diverse because cacao beans have 1500 different naturally occurring flavours. You don’t even have to add anything to single-origin beans to get these flavours, and they require much less sugar than the bulk variety that is commonly found at supermarkets. There are only a handful of Undercover boss: Terry Agnew in the field with patrol officer April Hames. Picture: Bill Hatto T chocolate makers in Australia who produce this way, and about 200 here is no such thing as a When I go out to our call centre to talk to politicians. In the lead-up worldwide. typical day in my job, but in Joondalup, I talk with our call to elections you will hear us Ruth Myburgh, co-founder Gabriel there are some regular centre staff and occasionally listen talking a lot about congestion. Chocolate, Yallingup and Perth things that I do in my role in to calls to help me stay in touch An independent national G as chief executive of RAC. with that important part of our organisation called Infrastructure ood quality beans, with a About six to eight times a year, I business. Australia predicts that if nothing decent amount of cacao butter, go out with an RAC patrol van to On one of these visits, one of the changes, WA will have the four is key. give me a firsthand experience of new call centre operators asked my most congested roads in Australia Cacao butter is the most the service. One problem with name and what I did at the by 2031, and that seven of the top expensive part of chocolate, so it is executive roles is that they can organisation. Her boss had a bit of 10 on the list will be in this State. sometimes separated from the bean sometimes be isolating and you a chuckle about that. WA gets only one-third of the and sold off separately. can lose touch with how things RAC is unique in that it is a fuel excise returned to its In lower-grade chocolate the butter work at the front line. not-for-profit organisation that transport infrastructure system, is often replaced with cheap Going on patrol allows me to stay also owns several profit-making which is less than the 40¢ the other alternatives like palm oil and other in touch with how the system businesses, ranging from States get in return. Both amounts things that don’t belong in chocolate. works from the patrol officers’ insurance, motoring and travel are too low. Some chocolatiers overcompensate perspective, particularly in regards through to a group of retirement Internally, I meet with key with cacao powder to make up for the to safety and member service. villages called St Ives. executives and senior leaders each absence of cacao butter, but the It also means I get to chat with To fund the education campaigns month to discuss, assess and drive quality is never the same. members about how long they’ve and the advocacy work that we do, the improvement to our culture, I used to be a chef, so I make been with RAC and their we need to make profits in our brand, membership and safety. chocolate the way I cook, which means experience with us, which helps businesses, which means I have to Our goal is to become West I make sure the flavours me better understand the wear many hats. There is no risk of Australians’ most valued complement each other when organisation from their ever getting bored in this job. organisation by 2020. I am mixing chocolate with perspective. One of our education programs About once a month I like to other ingredients. When I go on patrol, I take off is to take 8000 schoolchildren clear my schedule and have a Today I’m adding my tie and put on a high-vis vest, through a re-enactment of a car thinking day. It doesn’t always Westwinds Gin to for safety reasons, over my usual accident which we stage at Arena happen, but I think it’s very Caribbean chocolate, work clobber. The patrol officers stadium each year. The idea is to important to have the time to think which is very gentle and usually tell the members that I’m get them to think about the creatively about the bigger picture. has a slight floral flavour just a new guy from the office who consequences of car accidents. It Sometimes I sit in a coffee shop that won’t overpower the is “learning the ropes”. has a big impact on the viewers. or sometimes it’s on my balcony at gin. I think that relaxes people and The advocacy work requires home. A change in environment Sue Lewis, Sue Lewis encourages them to talk more going up the hill to Parliament helps me see things that I may Chocolatier, Perth freely about RAC. House in Perth or over to Canberra otherwise miss at my desk. 6 SEPTEMBER 2016
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I N D G E N O U S A R T After a GFC-driven downturn, the world is rediscovering traditional and contemporary Aboriginal art. But export laws and art centres need attention, writes Stephen Bevis F Ancient or Daniel Walbidi, the art centre at the Kimberley coastal settlement of Bidyadanga, a two-hour drive south of Broome, is more than a place where people can paint. “It is is a learning place where you also learn about culture the culture and the history,” Walbidi says. “It is a store house for the artists, a safe place to be and it brings in money for the community.” One of Australia’s finest contemporary artists, Walbidi was the scrawny 16-year-old Yulparija kid who sparked an art movement in 1999 when he back in walked into Broome’s Short Street Gallery and asked owner Emily Rohr for painting supplies. His actions inspired his Yulparija elders in their 70s and 80s to start painting the stories of their ancestral desert lands they had left more than 40 years prior. Sadly, many of those artists, acclaimed stars such vogue as Alma Webou, Weaver Jack and Jan Djan Billycan, have since died after a dazzling burst of creativity that mixed colourful desert iconography with bright saltwater hues. “I was fearing for these days,” Walbidi says. “It began with me and it will end with me. Many of the artists have passed on, which is quite sad.” Now 33, Walbidi has exhibited around the world and won major awards, including the Telstra National Aboriginal and Torres Strait Art Award for Kimberley, Top End and into southern urban areas in painting in 2014. the 1980s and 1990s, cutting through as an In May, Walbidi’s large 2013 canvas Kirriwirri set a international force with shows at the Venice Biennale new auction record for the artist when it went under by Rover Thomas, Trevor Nickolls, Emily Kame the hammer for $79,300, more than doubling the Kngwarreye, Judy Watson and Yvonne Koolmatrie. reserve price at Deutscher and Hackett in Melbourne. Now, art museums in Europe and the US are Overall, the prices at the mixed-vendor auction dedicated to showing Aboriginal art, which poet Les suggest an upturn in the Aboriginal art market after Murray described as “Australia’s equivalent of jazz” years in the doldrums, with Deutscher and Hackett and art historian Wally Caruana called the only head of Aboriginal art, Crispin Gutteridge, declaring internationally significant art movement to emerge the auction the best of its kind since the highs of from Australia. 2008. In Paris, the gigantic scales of Warmun artist Lena “It is good for my reputation,” says Walbidi, who Nyadbi’s ancestral Kimberley barramundi adorn the also can expect a 5 per cent resale royalty under a roof of the Musee de Quai Branly for indigenous art. copyright scheme introduced in 2010. “More than a At Holland’s Aboriginal Art Museum in Utrecht, year ago, the art market wasn’t really good and it diverse currents of influences and styles of affected artists and galleries. Hopefully it will recover expression flow through the graphic drawings of to its full glory.” Vernon Ah Kee, the prints of Michael Nelson Yet there is a long way to go, particularly for Jagamarra and the hyperactive patterns of street remote art centres where thousands of artists have artist Reko Rennie. been supplying an over-saturated market for some Derby painter Loongkoonan, who must be years. Australia’s oldest working artist at 105, only took up The Aboriginal art market, said to be worth $400 the brushes in her mid-90s. The complex, jewel-like million a year at its height in 2007, collapsed under paintings of her traditional Nyikina bush tucker the perfect storm of the global financial crisis, the stories have won glowing reviews, art prizes and high Australian dollar, the artist resale royalty high-level international exposure, with works scheme and tighter rules for collecting art through showing this year at the Adelaide Biennial and on personal superannuation funds. tour in the US. Countering that, to some extent, were tax changes At the other end of the spectrum to Loongkoonan last year allowing small businesses to claim an stands Christian Thompson, just the second immediate $20,000 write-off for plant and equipment, Aboriginal to study at Oxford University, whose including art to hang in the office. video, photography and performance art ranges Drawing on 40,000 years as the world’s oldest across pop culture, identity politics, fashion and his artistic tradition, the dynamic Aboriginal indigenous heritage. contemporary art movement began in 1971 when A major exhibition of Aboriginal abstract senior men of Papunya in the Northern Territory paintings, No Boundaries, on loan from Miami Beach were encouraged by schoolteacher Geoffrey Bardon collectors Dennis and Debra Scholl, is touring seven to paint traditional stories with acrylics on boards American art museums over two years. and canvases for the first time. Among the artists included are the late Kimberley The movement flowered across the desert, Gija artists Paddy Bedford and Janangoo Butcher 8 SEPTEMBER 2016
Cherel and Pintupi artist Warlimpirringa “They are our stories, no one else’s stories, so the Tjapaltjarri, the brightest star of the acclaimed people who tell them are the people they belong to as Papunya Tula Artists. the torch-bearers,” Walbidi says. Tjapaltjarri, about 58 and based in Kiwirrkurra in For many remote communities, the art centre is the WA’s Gibson Desert, held a sold-out show last year at only source of earnings so the GFC and the New York’s Salon 94 gallery which attracted prices of regulatory changes had a vicious effect on many of up to $90,000 a pop and enthusiastic coverage in the them, says 40-year industry veteran and Japingka New York Times, Wall Street Journal and New Gallery director Ian Plunkett. Yorker. “The GFC brought some rationality to the market Dennis Scholl says he and his wife collected but it had some dire consequences,” Plunkett says. cutting-edge American art for 40 years before shifting “Over 50 per cent of galleries and art dealers went their focus to certain Aboriginal artists who were at out of business,” he says. “That made it a the vanguard of global contemporary art. concentrated market and the good operators survived “They are simply some of the finest abstract that. painters this planet has ever seen,” he says. “It forced people to look at the quality and the At the Harvard Art Museum, visitors are swooning sources and to try to bring some confidence back into over an even more significant exhibition in one of the market by creating art that is easy to identify by America’s most prestigious galleries. source and produced ethically.” Curated by Stephen Gilchrist, a Yamatji man from One upside was that the collapse of the market, WA, Everywhen features the eloquent, abstract along with more stringent codes of conduct, flushed paintings of Rover Thomas, Emily Kame out the worst of the carpet-baggers who were Kngwarreye, Doreen Reid Nakamarra and Tommy exploiting artists and ripping off buyers with works Watson, alongside multi-media works by Vernon Ah of suspect provenance. Kee and Christian Thompson. “People are more educated and asking the right Gilchrist, on a six-month secondment to Harvard questions, usually, and not just buying something from the University of Sydney, says an exhibition of because it is a bargain or appears to be,” Plunkett such scope has not been seen in the US for more than says. “I wouldn’t want to have a painting on the wall 25 years. if I knew the artist had been ripped off and burnt. It “It has been energising to see how people would be ruined for me.” encounter Aboriginal art for the very first time and In many ways, art expert Tim Klingender created see how they react to it and read it and connect to it,” the international market for Aboriginal art in 1996 Gilchrist says. “I wanted to present people with what when he led a Sotheby’s strategy to show works in I think is the great sophistication, beauty and politics New York and London before their auction in of this art form.” Australia. “The whole show has raised the temperature or Last year, Klingender organised Sotheby’s first contributed to an uplift in visibility of Aboriginal stand-alone auction of Aboriginal art in London, culture. For me, Aboriginal art always has been hot. where the bidding from collectors around the world It is not a trend. It has been going on for 40,000 years.” drove some pieces to world-record prices. Gilchrist, who trained at the University of WA and “Indigenous Australian art isn’t everybody’s cup of the Art Gallery of WA, said more pathways needed to tea but there are enough people spread around the be opened for Aboriginal people to control the destiny world who love to collect it,” Klingender says. of a movement which had been determined largely by “It truly is the one area of art in this country that outsiders. “In some ways the Aboriginal market became a CONTINUES PAGE 10 victim of its own success,” he says. “The market became over-saturated and it is really important to open up other markets. “The art centres need more assistance because they are such important community hubs, particularly in WA when the WA Government wants to shut down some remote communities. These are important sites of cultural practice and transmission of knowledge and some economic security as well.” In comments echoed by Walbidi, Gilchrist says for too long the intermediaries and stewards of the inter-cultural exchange in Aboriginal art have been white dealers, managers, curators, academics and writers. More pathways to education and training need to be opened. Walbidi has been developing his skills as a curator and gallery conservator through Desert River Sea, a partnership between several Kimberley art centres and the Art Gallery of WA, sponsored by Rio Tinto. Wesfarmers Arts and the National Gallery of Australia have been partners since 2009 in an indigenous arts leadership scheme to redress the imbalance by training the next generation of administrators and curators. Main image: Christian Thompson, Scorch the Earth 2013,from his Pagan Sun series of photographs, C-type print. Turner Galleries
FROM PAGE 9 representing almost 4000 artists, produced less than 20 per cent of the sector’s sales, raising concerns has a global following.” Most of the 75 works came about their viability. from the 1000-strong collection of Dutch billionaire The most common split of sales through art Thomas Vroom and could only be sold because they centres is 60 per cent to the artist and 40 per cent to had left Australia in the early 1990s before the advent run the art centre. of laws governing the export of cultural materials. More art centres want to diversify from Klingender is consigning works for another “bread-and-butter” paintings into value-added Sotheby’s auction in London this month but has been products such as fashion, soft furnishings and design waiting for many months for export permits for 16 objects for the commercial market, according to the artworks, ranging from Kimberley and Arnhem Land peak body for more than 25 art centres around WA. bark paintings to large desert acrylic canvases. WA Aboriginal Art Centre Hub co-ordinator “I don’t know if I will be able to get many of them Christine Scoggin says trade fairs such as Revealed in in time for the sale,” he says. Perth, the Darwin Art Fair and Desert Mob in Alice Klingender says the market is being stymied by the Springs are important outlets but many centres are moveable cultural heritage laws under which hamstrung by vast distances, inadequate facilities indigenous artworks over $10,000 and older than 20 and high staff turnover. years must be cleared by an expert panel before they Too many centres relied on a single staff member, can be sold overseas. often a young university-educated woman from the Non-indigenous Australian artworks, by city who might burn out after three or four years. comparison, must be worth more than $250,000 and “Most art centres operate on the smell of an oily be more than 30 years old before they require such rag,” Scoggin says. “It is such an expensive State to clearance. operate in. “I have been trying to nurture and build that “They need investment in human capacity, in market over decades but that is what still holds it Daniel Walbidi, painting category winner of 2014 Telstra trained Aboriginal staff and not have a model with a back,” Klingender says. National Aboriginal and Torres Strait Islander Art Award. salary for one person expected to do everything. Most “It pretty much makes the market unworkable.” art centres we work with are in that situation. Both sides of politics support proposed and agencies reveals that many still are battling for “In no other industry would we expect one person amendments to more efficiently distinguish between survival after losing money over the decade to 2013. to be the business manager, finance manager, HR artworks intended for the fine art market and other The Art Economies Value Chain research, led by manager, the arts marketing expert and the person culturally significant objects. Curtin University analyst Tim Acker, points to signs wrapping up artworks for freight, filling online But changes went on hold because of the Federal of uneven recovery and diminished losses over the orders and keeping the website up to date. election and are unlikely to roll out until later next past two years. “Sometimes things need to be valued outside year. Art centres received $160.3 million in Federal Australia for Australians to sit up and go, ‘Hey, this is A survey of 200 remote art centres, art businesses funding over the decade but half of them, really great what we have’.” Tighter SMSF rules for your art collection Art collections, Aboriginal or otherwise, must now meet stricter rules which govern self-managed super funds. Since July 1, SMSF investments in artwork, jewellery, antiques, vintage cars, rare coins, boats, wine and any other collectables considered personal-use assets must be for genuine retirement purposes and not provide any present-day benefit. The rules have applied since July 1, 2011 for any assets purchased after that date, although possessions held before this time were previously in a five-year grace period. If you haven’t cashed in your art assets, you need to ensure you comply with the Australian Tax Office rules. This means you can’t lease the item to a related party, items can’t be stored or displayed in a private residence of a related party, decisions about storage must be documented and the written record kept, and finally, the items must be insured in the fund’s name within seven days of acquisition. If the item is transferred to a related party, a qualified independent valuation is required and the sale price must reflect its true commercial value. A “related party” includes members of the SMSF, relatives of the members and any business Personal-use assets must be for genuine retirement purposes and not provide any present-day benefit. Picture: R. Leopoldina Torres associates/entities under the member’s control.
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A U S T R A L A N S P O R T Australian business has been slow to get on board with Perth golfing prodigy Minjee Lee, who is feted by brands across the globe. Bridget Lacy reports on the challenge of getting an Australian sponsor. In the line of flight W hen coach Ritchie Smith first came across Perth schoolgirl Minjee Lee on the golf course eight years ago, he not only saw a potential golf champion — he saw the potential for off-course stardom too. She was only 12 years of age back then, but her natural charm, resilience and steadfast focus were already abundantly evident. Though he wouldn't use the words, he saw the beginnings of Brand Minjee. “She’s a good looking girl and she’s very personable,” Smith says. “I have always seen her as having opportunities corporately as well.” Lee was identified as a future talent and added to the senior State squad as a development player before she hit her teens. Pretty soon she was leaving girls far older than her in the shade and breaking Golf WA records that are unlikely to be repeated any time soon. Lee rapidly rose to prominence, becoming the world No.1 amateur and then announcing her graduation to professional ranks in September 2014 with a playful video featuring Fremantle champion Matthew Pavlich at her home club Royal Fremantle. Minjee Lee in Talent management company IMG quickly signed action during round her to their staple of golf stars, which includes Jason 2 of the 2014 World Dufner, Ernie Els, Henrik Stenson, Charl Schwartzel Ladies and women’s world No.1 Lydia Ko. Championship in Since joining the world’s elite women’s tour, the Haikou, China. LPGA, Lee has lived up to the hype, winning twice Picture: Getty already and climbing inside the top 15 in the world Images. Opposite, rankings. at Crown Perth for “Minjee, her talent level speaks for itself,” a a golf dinner in spokesman from IMG explains. 2013. Picture: John “She was the No.1 world amateur. The talent level Koh
was clearly there and we were also pretty impressed “There has been a move away from sponsoring came from Australia... but she is also quite popular in by her maturity in conversations that we had with her individuals. It’s far more competitive because Korea and internationally. and her family. sponsors are demanding standards.” “Week-to-week we start to see a little bit more. “We saw Minjee as the total package. She has got a Lee’s 2016 goals are around pushing into the “She’s learning a little bit what it’s like — her great personality about her. She has got a fun little world’s top 10 and performing well at the majors. weekly routine on the golf side — there has been Australian charm to her. But with golf’s return to the Olympics for the first more on the media side that she has become “She has lived up to all those expectations here in time in more than 100 years, Rio de Janeiro could be accustomed to. her second year on Tour. She has done nothing but a game-changer for her. “If you were to look at her from the week she exceed expectations since turning pro.” Lee won a place as the top-ranked Australian turned pro at Evian (championship) in 2014 to where Lee learnt all about expectation at this year’s woman (world No.17) and has spoken she is now, I think she feels much more comfortable. Women’s Australian Open in Adelaide in February. enthusiastically about the chance to experience the She is much further on than what she was then. As Australia’s No.1 player, Lee was carrying the Olympics, describing it as “special”. “It was certainly something we spoke about.” hopes of a nation on her shoulders and had the “Obviously a major is huge, but everyone is going For a world-class champion, Lee’s team has commitments to go with it. to remember you if you win an Olympic medal,” Lee remained remarkably small. She faced the press in the lead up to the tournament has said. James says the only thing that has changed since and zipped from television interview to television The Olympics is a flash point, because the general she was 13, is having a professional caddie on board. interview as organisers fielded numerous media public who have little interest in golf will jump on Caddy Jeremy Young has been on the bag since her requests for her time. board when an Australian medal is on the line. breakthrough win at Kingsmill Championship in But arguably her biggest moment came in the Hirons says the market will change hugely on the Virginia in May last year. Pro-Am before the tournament when she was teamed back of the Games, when companies will be keen to “I hope that doesn’t change,” James says. “I can’t with representatives from Qantas. It is understood piggyback on the glory of Australia’s best see it changing in the near future.” there was a hope she could make the partnership performers. Smith, though based in Perth, is still her coach. He more permanent if she could impress on the day. “I really think that will be important for her speaks with Lee over the phone for much of the year But an Australian sponsor has remained elusive for career,” Smith, who will join her at the Games, says. and travels to work with her about every six weeks. Lee. But those around her believe she is closing in. “She’s really keen to do well so hopefully she does.” “It’s (her team) exactly the same as it’s always She has a lucrative contract with Korean finance “There’s 60 players playing in the Olympics,” an been,” Smith says. giant Hana Bank, with Srixon her equipment partner, IMG representative says. “It’s unusual for the LPGA possibly, but not the Descente for apparel and shoe brand Ecco. “The reality is that the top 20 are probably PGA Tour. The top three players in the world have Golf Australia also continues to provide significant the ones with the best chance to medal. A their original coaches with them and original financial aid to one of their most exciting exports. good result can do wonders for any of the crew. GA high performance director Brad James said players in the field.” “On the LPGA a lot of them are prone to peer homegrown backing was important. Lee’s parents are Korean, but she and pressure. Some of them change it up and they “We would love an iconic Australian brand on her,” her younger brother Min Woo were born often fail because of it.” he said. “She wants that, it’s something that she and raised in WA. Min Woo, 18, says his As for physio and massage, Lee organises desperately wants. I think she’s extremely sister is proud to represent Australia. herself. marketable. “She was born and bred here so she “We’ve educated Minjee to such a level “She’s not only a top-20 player, Australia’s No.1 always been in the Australian that she knows what to work on and player in the world, she has a fantastic smile and she tradition and she has a lot of pride,” when, pretty much,” Smith says. “She wants to be part of culture of Australian golf going he says. will be more educated than anyone that forward. That’s something that I think is really has gone out there before. attractive for companies.” IMG say they are working hard to secure “blue ‘There are many great “There are masseuses and trainers on tour, so she can go and get loosened up chip” Australian support. Smith says a multinational Australian company athletes out there now in the right areas. Lee’s mother Clara travels with her. would get on board if they were smart. But Sport Business Partners managing director and they are all They have recently rented a property in Dallas as their US base after living out of Martin Hirons warned it would not come easy. Hirons says Lee’s performances on the course, competing for the same hotel rooms for the first 18 months. Min Woo and Minjee’s dad Soo Nam still particularly at the majors, are the key, but she would need to do plenty of work off it too, such as developing dollar. It’s become live at the family’s Winthrop home, where she spends an extended time at Christmas. her social media presence. increasingly difficult. But for much of the year, the men and Twitter is her favourite platform, but she has only women of the family don’t see one another. 6300 followers and has put out only about 200 tweets, Martin Hirons “We talk often, just send messages back which is a low count for a professional sportsperson. and forth,” Min Woo says. “It’s hard at “I’d say she’s outside the top 10 Australian female Lee’s career earnings are already times — we can’t see each other as much athletes in terms of marketability, but she’s on a approaching $US2 million. But her as a normal family. We do Facetime and trajectory,” he said. “She is still only 20 years of age. biggest bang for buck is likely to be messaging.” “The challenge for Minjee will be keeping on top of off the course, where she is currently Min Woo says his sister has always all her commitments with sponsors, media, social believed to be netting close to $A1 been independent and the family knew media. Tournament organisers and sponsors will million annually. very early on she was going to be a want more time the more success she has. To that end, she has had to work superstar. “We’re in a huge transition period with female hard on her Achilles’ heel — her media He said if you drew a line charting his and sport. The new AFL women’s league is going to take a profile. his sister’s lives, his would be squiggly and chunk out of the market. Golf’s reach is not at the Lee has clearly been uncomfortable in hers would be dead straight. same level as some of the other sports yet. interviews since she burst on to the scene “She was always focused,” he says. “She “I’m sure it’s disappointing (not to have an at a young age, but the team around her was always on task. She’s pretty level headed, Australian sponsor) but it’s just the reality of the insist she has vastly improved. she just plays her own game. She has never competing interests and the dynamics around sport “Typically on the LPGA Tour we have been cocky or anything like that. and increasingly, women’s sport. anywhere between 15-20 clients who are in “She was always at the top of the leaderboard “There are many great athletes out there now and the field,” the IMG spokesman says. where ever she played. We always knew she had they are all competing for the same dollar. It’s become “Minjee gets a lot of media requests — it’s increasingly difficult. ramped up. Most of the requests last year CONTINUES PAGE 14
Pictured here in 2011, Lee made a name for herself before graduating from Methodist Ladies College. Picture: Ian Munro FROM PAGE 13 the potential to win tournaments and go as far as she is doing right now.” Min Woo, who wants to follow in his sister’s footsteps and one day join the PGA Tour, says fame has not altered his sibling. She has remained steadfast in the face of Min Woo’s regular requests for her to buy him a car with her growing winnings. He says it’s “pretty cool” to see his sister mobbed by fans at the end of a round, and that the attention has never fazed her. She embraces the support with the same level-headedness she shows in her competitions. “She’s the same old Minjee, she hasn’t changed,” Min Woo says. “She likes reading. I think she spends a lot of time with her friends on Tour. It’s mostly golf, but I think she hangs out with her friends normally. girls talk about Minjee,” he says. Smith says what of the more marketed players on Tour already. I “Sometimes it gets on my nerves that I’m always sets Lee apart is her ability to get over couldn’t tell you how far she’ll go.” called Minjee’s brother. But at the same time I disappointments quickly. But IMG aren’t trying to hide their excitement. wouldn’t be here without her. He says her outstanding proprioceptive sense and “I’ve been nothing but impressed with Minjee,” the “It’s actually pretty cool to have a sister doing what her work ethic were what made her a prodigy, rather spokesman says. “A lot of rookies come on tour and she’s doing. than any innate ability in the sport. are wide-eyed and are playing with people they’ve “She has a lot of fans out there. It was cool to see “The gift is the ability to play, the talent is knowing grown up idolising. Minjee has taken it in her stride. them in Adelaide.” how to use it,” Smith says. “This year she is much more comfortable than she Legendary veteran Karrie Webb, 41, has been one “Minjee is always good for a laugh. She is able to was last year. There’s not an entourage. of the great Australian sporting success stories as a take the mickey out of herself.” “Her mum is with her every week, she’s quite seven-time major winner and hall of famer. But Smith is bullish about how much better Lee can get self-sufficient. James says the next crop of golfers are already listing in a golfing sense, but he is unsure how much her “Honestly it comes down to if she continues to go Lee and rising Victorian Su Oh as their idols. profile can grow. on the same trajectory. The sky is the limit for Minjee “Karrie has had a phenomenal career but now the “It’s pretty big already,” Smith says. “She’d be one and she knows that as well.” Make your next conference an underwater experience AQWA boasts Perth’s most outstanding function venue with spectacular views of the Indian Ocean and Hillarys Boat Harbour. Surround your guests with tropical fish and colourful corals for a truly memorable event where you won’t even need to get wet! 91 Southside Drive, Hillarys 6025 | www. aqwa.com.au/functions | functions@aqwa.com.au | 9203 6622
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Doric awarded contract to manage delivery of $345.2m HMAS Stirling Redevelopment Leading Western Australian design, procurement, construction, of quality developments for the construction company Doric Group has commissioning and handover of the Government.” been awarded the contract to manage project. the delivery of the $345.2 million Over the past five years, Doric has redevelopment of the HMAS Stirling Design activities are expected to be successfully delivered a number of naval base on Garden Island. completed by mid-2017 followed by major State Government projects, Construction, with the works expected including the Acacia Prison expansion The project will see a major upgrade to be complete by January 2020. ($90 million), Busselton Health Campus and refurbishment of key infrastructure The project is expected to see a ($90 million) and The Quarter, Karratha and facilities, with a broad range of peak workforce of approximately 300 ($60m). works to buildings, roads, maritime people, and to deliver sub-contracting structures, mechanical systems, opportunities for local businesses. Doric was also the reserve respondent electrical services, communications for the WA Government’s $428 million systems, water and sewerage Doric Chief Executive Officer Vince New Museum Project and is currently infrastructure and the base entrance. Mulholland said the company was delivering Yagan Square. delighted to have been awarded such a The base, also known as Fleet Base significant contract. Mr Mulholland said Doric had a strong West, is the Royal Australian Navy’s project pipeline in place, but would largest naval establishment nationwide “HMAS Stirling is a key government continue to seek opportunities across and provides operational and logistical facility, and one that plays a crucial role the building and construction sector. support to the RAN’s surface fleet, both at a State and national level,” said submarines and aircraft stationed in Mr Mulholland. “Our State is undergoing a real WA. “We are very happy to have been transformation in both our entrusted with the responsibility of metropolitan and regional areas, and As Managing Contractor, Doric delivering this project, which will we are excited about playing a part in will be responsible for the detailed further add to our growing roster that.” doricgroup.com.au Level 1, 420 Hay Street Subiaco WA 6008 t +61 (8) 9388 2655 f +61 (8) 9388 1484 e doric@doricgroup.com.au
N T E R S T A T E STATES AT WAR Battle for defence dollars rages across the Nullarbor, Peter Williams writes W hen Linda Reynolds went on local radio last offshore patrol vessels (OPVs) priced at about $500 year to talk up WA’s capabilities for defence shipbuilding, the Liberal senator was taken “South Australia’s whole message million. Direct jobs would peak at 6000 in a decade. WA would build 10 OPVs worth about $2.5 billion aback by the response. “We had talkback callers saying I was basically on and their whole attitude is one of and up to 21 Pacific patrol boats contracted to Henderson-based shipbuilder Austal for more than drugs to think that we could even build ships here in WA,” she says. The former Army Reserve strident begging bowl politics. $500 million. The WA build equates to about 9 per cent of the program. brigadier realised there was a lot of work to be WA Senator Linda Reynolds It is argued WA will make tens of billions of dollars done. more over decades on vessel maintenance. But for The Federal Government was headed those wondering why South Australia came out on towards massive spending decisions about So when the Turnbull Government in top of the construction program, a cursory glance at naval shipbuilding. If West Australians were April determined the locations of an Defence SA’s website provides some clues. ignorant about their defence industry, how could unprecedented $89 billion splurge on new Chaired by former military chief Angus Houston, decision makers in Canberra be convinced naval vessels, Liberals were pleased to see the SA Government body’s advisory board includes the State was an alternative to South WA named alongside South the Premier, Defence Industry Minister, retired Royal Australia? Australia as the two hubs of defence Australian Navy brass and senior corporate types. “Having seen what we’re capable of shipbuilding. Chief executive Andy Keough was the RAN doing and what we’re in fact doing, it But not all hubs are created submarine fleet commander and a senior executive at infuriated me no end just listening to equal. Government-owned shipbuilder ASC. the whining — pretty much —of the The plan would see South “Defence South Australia is a smoothly oiled South Australians about how they Australia host the builds of 12 machine,” Australian Strategic Policy Institute deserved all of this because their submarines worth about $50 economy was stuffed,” Senator billion, nine future frigates Reynolds says. valued at $35 billion and two CONTINUES PAGE 18 SEPTEMBER 2016 17
FROM PAGE 17 companies that have been knocking on ministers’ doors in WA over the years and if it didn’t have ‘This has been a deliberate strategy defence and strategy program director Andrew Davies says. “They’ve been very effective lobbyists.” anything to do with mining, people weren’t interested, ” he said. “It’s only very recently when to capitalise on the home-porting WA Labor defence industry spokesman Paul Papalia says: “They’ve got extraordinary firepower that’s all gone south that they’ve all of a sudden got interested in defence.” of naval vessels at HMAS Stirling.’ advocating for South Australian industry, looking for WA Premier Colin Barnett countered by calling Mr WA Commerce Minister Michael Mischin opportunities in Canberra, often frequently in Weatherill “a bit of a dill”. Hundreds of vessels had Canberra conveying the argument to Federal been built in this State, Mr Barnett protested. Mr Mischin says the Barnett Government has had politicians.” Critics say it’s no surprise WA missed out. a continuous focus on the defence industry as a key And on top of that is State industry group the “What WA got compared to what we could have industry sector, and has strongly promoted the Defence Teaming Centre with 230 corporate potentially had is the scraps around the kitchen Australian Marine Complex at Henderson, south of members, including seven of Australia’s eight prime table,” Australian Manufacturing Workers’ Union Perth. shipbuilders. South Australia’s taxpayers also chip in State secretary Steve McCartney says. “This State “The State has positioned itself as a hub for naval — $2.3 million to DTC over five years in the latest government should have done a lot more over here to maintenance,” Mr Mischin says. “This has been a Budget. DTC acting chief executive Kerryn Smith fight for it.” deliberate strategy to capitalise on the home-porting says there has been a dedicated defence strategy in Senator Reynolds believes the State has been given of naval vessels at (Garden Island’s) HMAS Stirling.” SA since 2000. a fair go. “Twelve months ago, we weren’t even on the “In 2013-14 alone, defence contracts managed at the WA on the other hand went into battle with no radar,” she says. “There is billions worth of contracts AMC totalled an estimated $624 million, creating up dedicated defence agency or minister (the industry now to be let. to 3000 jobs,” Mr Mischin says. Financial support was comes under the commerce portfolio), while Senator “It makes sense to have the large combatant vessels being provided to 16 small and medium-size Reynolds co-founded the WA Defence Industry because they’ve got the facilities in South Australia, businesses to upgrade their skills and capabilities. Council at the end of last year. Run out of the and they do have the workforce there now to do On top of the respective lobbying efforts, it is well Chamber of Commerce and Industry WA with State those,” she says. “I’m not an apologist for South documented that the political dice were loaded in government assistance, it has senior industry figures Australia. But I think in the national interest it is the SA’s favour. With car manufacturers shutting down involved but not much funding. right decision to have two national shipbuilding their operations, a looming slump in defence While Defence SA spent $1.2 million on promotion hubs.” shipbuilding spelled trouble for Federal Liberal-held and events alone in 2014-15, WA Commerce Commerce Minister Michael Mischin says the WA seats, among them that of Cabinet heavyweight Department figures showed just over $50,000 was Government is “very pleased” with the hub status. Christopher Pyne. spent last year promoting the industry. Two full-time “This decision is testament to the significant private “The politics of the shipyards in South Australia equivalent staff are devoted to defence matters. and public sector investments in naval shipbuilding, and the so-called valley of death has got in the way of SA Premier Jay Weatherill stuck the boot in last repair and maintenance, upgrade and through-life rational decision-making,” Dr Davies says. year. “I know for a fact that there have been sustainment capability at Henderson.” Senator Reynolds says: “Their whole message and THE AUSTRALIA MANUFACTURING WORKERS’ UNION AMWU IS THE AMWU SHIPBUILDING WORKERS HAVE BEEN CAMPAIGNING TO MAKE SURE THAT OUR NEXT GENERATION OF OFFSHORE PATROL VESSELS ARE BUILT IN AUSTRALIA. SHIPBUILDERS’ THIS MEANS JOB SECURITY UNION. WE HAVE SECURED FOR A GENERATION OF WORKERS AND OUR FAMILIES FOR YEARS TO COME. A COMMITMENT FROM THE We’re proud to be a strong and smart Union that gets things done, and stands up GOVERNMENT TO BUILD 10 IRUZRUNLQJSHRSOHb But we’re only as strong as our members, and there’s OFFSHORE PATROL more work to be done. When we stand together we VESSELS IN WA. have protection, we have a AFTER YEARS OF voice, and we win. Do you want to be one of us? CAMPAIGNING AGAINST THE LIBERAL GOVERNMENT’S ATTACKS ON SHIPBUILDING JOBS, AND FIGHTING FOR A CONTINUOUS LOCAL BUILD, WA SHIPBUILDING Join our fight today Head to: www.amwu.org.au/join WORKERS HAVE WON. Authorised by Paul Bastian, AMWU National Secretary.
SA Premier Jay Weatherill and WA Premier Colin Barnett listen to then prime minister Tony Abbott at a COAG meeting last year. Picture: AAP AAPIMAGE their whole attitude is one of strident begging bowl “The same Government in Canberra made a interstate, while the rest is the sustainment and politics.” decision to base half the navy in Perth and to gift maintenance spread over many decades. SA Defence Industry Minister Martin Western Australia twice the amount of the money Mr Mischin believes the marginal seats were not a Hamilton-Smith points out that WA has enjoyed vast that will be spent on building submarines and factor, instead pointing to the presence of benefits from the resources industries. “We didn’t warships in the way of sustainment. government-owned submarine and shipbuilder ASC have a mining, oil and gas boom in South Australia,” “I know which side of the deal I’d rather be on.” in Adelaide and a common user facility. he says. “One thing that can help to balance the Senator Reynolds agrees that the build accounts for “The location for naval shipbuilding by the books is the way Government chooses to spend its only about 30 to 40 per cent of spending. That Commonwealth is based more on shipbuilding, repair ........................................................................................................................................ capital. includes fabrication which can be performed CONTINUED P20
FROM PAGE 19 and maintenance capability,” he says. Dr Davies argue there’s also a strong financial incentive for the Federal Government to give the work to its own shipyard, considering there are proposals to privatise ASC. Now the big decisions have been made, Mr Pyne as the newly appointed Defence Industry Minister has been keen to appear inclusive, making his first trip under the portfolio to Henderson at the Austal shipyard. He said WA would be the national centre for building “non-combatant” ships. The industry in SA has also been extending the olive branch. “The program will take little heed of State borders,” Ms Smith says. “It’s not about growing South Australia’s piece of the pie, it’s more about growing the pie. We genuinely believe not any one State could undertake this work.” But Mr Papalia has doubts that the OPV program will even get to WA. The Federal Government wants The most recent government contract for WA’s Austal shipyards, tipped as a favourite to win defence contracts, were new it to begin in SA to provide work before the frigate customs vessels delivered earlier this year. Picture: Mogens Johansen program’s targeted start in 2020. “Do you really think anyone will believe the South he would not trust the ASC to build a canoe. He lost Australians will just roll over and relinquish the portfolio a month later. something that they’re already doing in South “Those programs encountered some difficulty Australia?” he says. “I’m just very sceptical that will because of the stop-start nature of our shipbuilding even happen.” industry,” Mr Hamilton-Smith says. “The continuous Mr Hamilton-Smith says the handover is a matter build program that we’re now going to get I think will for the Federal Government, but may depend on the deliver one of the most efficient and effective start time of the frigate build. “Our understanding is shipyards in the world.” that they’ve committed to build OPVs in South Dr Davies say ASC is in better shape these days, but Australia until the frigate work kicks in,” he says. adds that there remain questions about its ability to Dr Davies says start-up costs would be doubled manage a defence program of this magnitude. because of the move. “There’s absolutely no way if In Henderson, Australian Securities you were doing rational workforce planning that Exchange-listed Austal has built patrol boats for both you’d do it that way.” the navy and the Australian Border Force since the So how do the rival hubs stack up? Dr Davies’ late 1990s, and this year delivered two high-speed assessment is clear cut: “You’ve got a thriving support vessels for the navy of Middle East nation commercially viable engineering and shipbuilding Oman. In Alabama, it has been building more than 20 sector over in WA, and you’ve got one in South LCS and troop carriers for the US Navy worth more Australia that relies on government contracts. than $US5 billion. Austal has expressed interest not only in setting up ‘You can change that. There’s a in SA to meet project requirements but in acquiring all or part of the ASC if it is put up for sale. lot of opportunity for WA to Dr Davies says Austal’s main WA competitor for the OPVs could be British company BAE Systems, Prime Minister Malcolm Turnbull tours Austal at Henderson, with Austal chiefDavid Singleton. Picture: Danella Bevis muscle up.’ which is upgrading the RAN’s Anzac frigates in Henderson. biennial Indian Ocean defence expo. “What we WA Labor defence industry spokesman Paul Papalia The other main WA contender for defence projects should be doing now is ramping up an aggressive is Civmec, a heavy engineering firm new to campaign to target this whole suggestion that it’s all “The contrast is pretty stark.” shipbuilding which pitched itself as a submarine bedded down and South Australia has got the lion’s Mr Hamilton-Smith says WA’s industry is vibrant builder. Civmec this year acquired the Newcastle share,” Mr Papalia says. “You can change that. but focused on smaller vessels like catamarans and facilities of shipbuilder Forgacs. There’s a lot of opportunity for WA to muscle up.” pleasure craft. “Only South Australia has actually The rival facilities are Adelaide’s Techport and A common complaint among the companies built a submarine. Only South Australia has built Henderson’s AMC. The SA Government has budgeted wanting to be involved is a lack of coordination and launched an air warfare destroyer.” $6 million over three years to bring defence between government departments. In a recent While Austal has built patrol vessels in Henderson, companies to SA and is spending $1 million to expand example, it took four months for the Government to he says the littoral combat ships it makes in Alabama Techport. make a decision about assisting a commercial project for the US Navy are a different proposition to While saying SA was more proactive and involving Civmec and vessel builder Evolution submarines and frigates. “That’s not in Perth, it’s in supportive than WA, one corporate visitor reported Commercial. The request was declined. the US and it’s a completely different business.” that waterfront space was limited at Techport and “A number of them will talk about projects they No one disputes that Adelaide is long established in deemed the AMC a superior proposition. would have liked to have done but it was just naval shipbuilding. ASC built the Collins Class So what is WA going to do to bring in the potential impossible in terms of the time frames to get State submarines and is approaching the conclusion of the billions of dollars in work and accompanying jobs? Government departments to make decisions,” $9 billion build of three air warfare destroyer vessels. Mr Mischin says his department has been working Senator Reynolds says. “I’d like to see a one-stop shop The AWD program suffered a $1.2 billion budget with the key decision makers of the naval programs. for these industries.” blowout, blamed on an unwieldy project alliance Without giving figures, the Minister says the State is She also wants to see the WA Government provide between ASC, the Department of Defence and planning to increase resources for the defence sovereign guarantee bonding for projects. Raytheon implementing a design by Spanish industry within the Department of Commerce. “WA Mr McCartney demands a bipartisan approach: shipbuilder Navantia. is not looking to replicate the South Australian model “This shouldn’t be about which colour flag they’ve Former defence minister David Johnston, a WA of a dedicated agency or minister.” got whether it’s blue or red, this is about winning senator at the time, infamously claimed in 2014 that Labor has a policy of doing both, and introducing a work for Western Australia.” 20 SEPTEMBER 2016
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