News
NSW State Parliament Mention - The Hon. Kerry Hickey. Member for Cessnock
May 6th, 2009

Arogen is proud to have received State recognition for their continuing success within our community and our State. The Hon. Kerry Hickey, local Member for Cessnock, addressed the NSW Parliament with the following Private Members Statement:


I pay tribute to a company that is doing exceptional work in my electorate of Cessnock. Arogen is continuing to grow and outperform many multinational companies operating in the same field.

The company's strategic plan states, "We know where we stand. Our embodied knowledge and skill is our competitive advantage." The groundwork has been done and Arogen is ready for planned growth and expansion in 2010 and beyond. I met with the chief executive officer, Mr Tony O'Meley, in my electorate office some weeks ago. He is a very young executive officer and is keen to develop a dedicated team to work with him in a positive way. It was astounding to see the strength of this young man. Arogen's leadership in the installation and design of the installation methodology of infrastructure services was further asserted in 2009 as evidenced by its 30.1 per cent revenue growth.

In the years leading up to 2009 Arogen provided services to the telecommunications, energy, water, rail and sewerage sectors. In 2009 the company focused on the rail sector, developed a smart approach to project management and pioneered a two-phase service. Phase one involved the complete design of the infrastructure methodology, which guaranteed that the project objectives were specific, measurable and aligned. Every activity was considered, from locating the existing services to final infrastructure, installation and demobilisation from site. A Gantt chart was used to confirm that project objectives were realistic and timed. Arogen's years of embodied experience and knowledge ensured that no activity was overlooked and that it delivered on its promise of nil cost surprises.

Arogen's long-term success is underpinned by efficiencies at the shopfloor level, its cost culture and sustainable work practices. That was again verified in 2009 with the completion of the work scope spreadsheet model. With a focus on "cost to complete",it highlights the variations by category and recognises the cost of additional works. This approach is new to this type of service. Arogen is aiming to be Australia's and a global first choice for design, supply, installation and maintenance of rail civil infrastructure and surface water, power, sewer, gas and communications projects. It is great to see this company going ahead in leaps and bounds in Kurri Kurri.

Arogen is run by a very energetic and youthful management team who are concerned about the impact of the global meltdown, what it has done in the Hunter and what it will do into the future—and to its workforce in particular. Arogen is keen and has been tendering for a number of contracts, only to be shouldered out by many multinational companies who have also applied for these tenders. I find it astounding that Arogen ends up doing the work by way of subcontract for the company that eventually has won the tender. It misses out on the original tender but the person who wins that tender subcontracts to these people.

I wonder whether the rail authorities have looked at why this company has not been given a chance to perform on its own contracts, considering that it has already been doing a lot of design and subcontract work and that it is extremely competitive. I hope the Minister accepts my request that I will send him in the next few days to meet with the company so that he will understand the problems companies have trying to obtain these contracts in a broad-based way. This company has come from nothing and is really delivering for the benefit of government, yet it cannot break into the multinational companies' tenders. We need to look at why this is occurring.

Further Information:

-    The transcript of Mr Hickey’s Speech in the NSW Parliament can be found here.