VISY INDUSTRIES Essay Example

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Visy Industries

Visy Industries is one of the world’s largest privately owned companies, specializing in paper recycling and packaging. The company is presently situated and headquarters in Australia and came into being in Melbourne, Australia in the year 1948. Visy Industries deals with a whole range of products this range from the packaging of cardboards such as boxes PET plastic drink bottles to packaging of steel plate and aluminum cans (Visy, 2008). The present as formerly known is named after one of the original partners wife, Max Plotka, and the wife name was Ida Visbord and was the who provided the initial capital. The company stated its operation with the partnership of Richard Pratts, his father leon and Engineer Les Feldman, later the Pratt and Plotka families shifted to Melbourne where they ended up buying the first factory.

The 1969 saw Richard Pratt taking over the company taking its management from his dead father. The company rise to high standards in the late 1970s which saw the company making more than 100,000 tons of boxes on a yearly scale (Final report, 2010). It’s during this time also in the 1979 when the company built it first ever paper recycling machine in the Warwick farm, which after saw the company expanding in a tremendous way. The company had more than 2000 employees in the year 1990 and its national market share had grown to more than 40%, the company significantly continued growing which even saw the company penetrating the USA market with the establishment of Paper recycling operation in the city of New York (Final report, 2010).

Visy Industries operates under six divisions, this includes; the main operation of recycling, pulp and paper is also done by the company, packaging, creative print solutions, and automation and sustainability. The company currently has and employee staff of more than 9600 employees and are based in the company’s operation in New Zealand, Australia, Asia and the United States of America and the company is administered in its head office in Melbourne, Australia. Through its operation Visy Industries manages to collect and processes materials from nearly over 2 million households and this equivalently totals to about 40,000 businesses every week (Visy, 2008). The company is dully known for its total commitment in the recycling and environment at large and this has consequently seen the company winning the prestigious Triple Bottom Line Award in Australia and also the company was voted Australia’s leading company for environmental performance.

Visy Industries has faced the challenge of financing, this is eminent in the unique financing of the two specialized logistics assets. The cost is incurred the prepaid maintenance together with the inclusion of the specialized compact unit cost which was being handled and supplied by separate suppliers onto the tracks that the compactor were installed. In the year 2005 the company was faced with the challenge of legal issue where the Australian Competition and Consumer Commission initiated a prosecution against the company alleging that the company was actively involved in cartel operations in the packaging industry and in 2007 the company received the largest fine in the history of Australia where it was fined a A$36 million fine for its involvement in price fixing.

The company has achieved its tremendous success through its very able strategic plans and committed employee’s staff. Its main challenge was even handled with the All easing specialists who managed to develop a bespoke solution, the introduction of All easing was the able to achieve a 100% financing of its asset values and was significantly able to construct the repayment cash flows which met the companies need in terms of recycling.

References

Visy.(2008).TheVisyReport,retrievedon18thMay2013fromhttp://www.visy.com.au/uploads/

VisyReport_2008.pdf.

Final report. (2010). Retrieved on 18th May from

http://www.innovation.gov.au/Industry/PulpandPaper/PPIIC/Documents/PPISG_FinalReportMarch2010.pdf