Industry News

Supply chain leader joins Cleanaway

Cleanaway Waste Management has appointed an independent Non-Executive Director with 20 years of global and regional supply chain and logistics experience.

Jackie McArthur’s appointment in this position will be effective 1 September 2022.

She has held various leadership in supply chain, logistics, operations, distribution and warehousing, manufacturing, procurement, risk management, IT systems and environmental, social, and corporate governance.

In her executive career she was Managing Director ANZ for Martin-Brower, the exclusive Distribution and Supply Chain Services provider to McDonald’s restaurants.

She had previously held various senior executive positions including being responsible for the McDonald’s supply chain across Asia Pacific, Middle East and Africa.

McArthur was the 2016 Telstra NSW Business Woman of the Year and 2016 Telstra Business Women’s Awards – Corporate and Private National Winner.

She has completed the INSEAD International Executive Program, has a Bachelor of Engineering from the University of Sydney and is a member of the Australian Institute of Company Directors. McArthur is also an experienced Non-Executive Director of ASX listed companies.

Currently, McArthur is a Non-Executive Director of Inghams, Tassal and Qube Holdings and has also been a Non-Executive Director of Invocare and Blackmores.

“Jackie is an outstanding candidate to join the Cleanaway Board, given her extensive leadership experience in operational roles and across a diverse range of functions and her experience from other listed companies,” said Cleanaway Chairman, Mark Chellew.

“She will play a key role in contributing to execution of our BluePrint 2030 strategy over the coming years. Jackie’s appointment continues the program of orderly board renewal at Cleanaway, following on from the appointment Michael Kelly and Ingrid Player during 2021.

“I congratulate Jackie on her appointment and look forward to working with her.”

McArthur will seek election as a Director of Cleanaway at the company’s annual general meeting in October.

Today, Cleanaway reported a net profit of $80.6 million for the financial year ended 30 June 2022 which was down 45.4 per cent on the prior corresponding period.

Costs associated with the acquisition and integration of the Sydney Resource Network, new chum landfill rectification post floods, leadership transition and equipment loss in Health Services business impacted the company’s net profits.

Cleanaway CEO and Managing Director, Mark Schubert, said Cleanaway delivered strong financial performance in a year of significant challenges posed by pandemic, natural disasters, supply chain disruption and emerging inflation.

“COVID-19 continued to adversely affect the market and our business throughout the year,” he said. “High volume and low margin customers came with significant inefficiencies in our Health Services business. More generally, lockdowns impacted revenues and efficient operations and widespread community infections reduced labour availability and increased pandemic leave costs.”

As for inflation, Schubert pointed to conflict in Ukraine, supply chain constraints and the wider economic impact of pandemic.

“One of the largest contributors to rising operating costs has been fuel, with the price of oil having risen dramatically over the year,” he said. “While Cleanaway is not immune to inflationary pressures, we do have mechanisms within many of our contracts that allow us to recoup rising costs over time, but there is a time lag on our ability to recover these amounts, which has resulted in a temporary impact on margins.”

Floods in New South Wales and Queensland caused inefficiencies in Cleanaway’s operations – specifically, disruption to services and the availability of vehicles and sites.

“In response, we relocated vehicles from other regions to support local operations, and while we have new fleet vehicles on order, it will take some time to get back to normal operations,” said Schubert. “Constraints on labour availability continue to place pressure on many businesses including ours, impacting our ability to service our customers and operate efficiently. Our team has mitigated the impact by making an extraordinary effort to balance our labour pools and maintain our service levels as we continue to fill job vacancies.”

In other news, Shamrock Civil Engineering has been steadily expanding its operational footprint.

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