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CEO CLUB   11 Questions with Shannon Moyle, Chief Executive of Form Building and Developments

Striving for true excellence

Focus on top-end projects is paying off [writes Graham Skellern, Business Editor, graham.skellern@bopp.co.nz]

Newly merged construction company Form Building and Developments has made a perfect start by cleaning up in this year's Tauranga business awards.

Just a year after its inception, Form won the Westpac Supreme Business of the Year award and it also won the manufacturing and distribution category. It was also finalist in the specialist categories of Community Service, Excellence in Branding, Marketing and Design, and Workplace Safety.

Form also collected three Tauranga Registered Master Builders awards, winning the Retail and Business Project category for it's own architecturally designed head office in Tukorako Drive, Mount Maunganui, and gaining golds for new homes over $1 million and new homes between $650,000 and $1 million.

The awards were the culmination of detailed planning, and plenty of ambition, shown by three young builders who stitched together a successful merger between established companies Formright Construction trading as Eaton Developments and Moyle Construction.

Form came into existence in October last year with a vision of being one of the best building companies in the country, concentrating on high priced luxury homes, commercial projects and remedial work.

Shannon Moyle became chief executive, Andy Dew was the marketing and sales manager, and Matt Sands the construction manager. "We had a clear vision with the merger and we achieved what we set out to do - we are very big on systems and people," said Mr Moyle. "The Kiwi knocking machine can wear you down sometimes; however we will always strive to do better."

 SHANNON MOYLE

Age: 31 
Marital status: Married to Patria; two children Baxter 2 and McKenzie 5 months. 
Title: Chief executive of Form Building and Developments, building and development company focussing on top end residential and commercial, including project management. Three owners - Andy Dew, Matt Sands and myself. 
Staff: 49 including 13 apprentices. Nine in head office at Tukorako Drive, Mount Maunganui, and remainder on site including 8 project managers. 
Qualifications: Trade Qualified as New Zealand Carpenter, from a four-year apprenticeship with my father's business, Moyle Construction. 
How long have you lived in Tauranga: I was born here. 
Memberships: Vice president of Tauranga Registered Master Builders Association, associate member of Tauranga Chamber of Commerce and Priority One, been a member of Mount Maunganui Squash Club and will be joining Bay of Plenty Sustainable Business Network.

Q: How did you become Form’s chief executive?  

A: After attending Mount Maunganui College, I went straight in to an apprenticeship with Moyle Construction, which started in 1985. When I was qualified, I became a leading hand and then one of three foremen. In 2002 I bought a half share in my father Rex's business, and became involved with two big projects _ building 16 apartments on the dunes of Haihei Beach, and a 500 sq m house on the hill at Tairua. 

We mainly operated in the residential sector but we didn't build 60 houses a year. We concentrated on four big jobs a year - million dollar plus homes that took nine to 18 months to build. In 2004 my father decided to set up a dispute resolution company, Constructive Limited, and I took over sole ownership of the construction company. I guess it was a succession plan. Dad was looking to do something different and as my skills and experience grew he was happy to hand over the business. We continued to concentrate on top end houses and ran a team of up to 37 builders. In late 2006 we won the contract to refurbish CuttersCove Resort Apartments, comprising 39 luxury units - a job that took 18 to 24 months to
complete. 

I then reviewed the progress of the company and considered some form of risk management was required so the business didn't just rely on me. I was happy to be running the operation. But what if something happened to me? I wanted to have a family and go to school camps etc, and I was happy to have other people sharing the work load and enjoying the ride. Two of my mates Andy Dew and Matt Sands had been running Formright Construction since 2002 and they then bought Eaton Developments which was started by Wayne Eaton in 1973.  

We met once a month for 10 months at the Papamoa Library to discuss combining our businesses. We went through all the pros and cons about making such a move, and we made a rule that we would bring partnership issues to the table that people don't like talking about. We weren't in any rush, and we wanted our friendship to survive, so any merger had to be well structured. We discussed which hats we would wear.  

In October last year, we merged Moyle Construction and Eaton Developments. My strength was in general business management and having an overview of construction and I became chief executive; Andy took over sales and marketing; and Matt became construction manager. We had a combined team of 59 and we decided we needed a new name. We talked about Formright but decided that was too long and we shortened the name to Form. We had a passion for the industry and we were all committed to the new venture - building was all we had done.  

Formright, which operated out of Marsh St, moved in to the Moyle Construction office in Tawa St but there wasn't enough room. So we built our own office and workshop in Tukorako Drive and shifted there in December last year. We wanted a sustainable building that made a statement in quality and finish, and we put an architectural facade on the front.  


Q: What's the best part of the job?  

A: The people. The clients we meet and being part of a team that's progressive. I love it. We have 13 apprentices who have come straight out of school, and I enjoy seeing them growing into tradesmen. I push the senior team to teach the younger guys - I see that as my responsibility. I was taught on the job and I believe that others should also - it's an important part of the industry.  


Q: What's the hardest part of the job?  

A: Surviving the lows of the market demand. It's important to have continuity of jobs, and we are constantly challenged. We allocate time so we can move from one job to another and keep everyone in work. But often clients won't play all their cards at once, even though we try and pre-empt them. A beautiful house may take a year to build but 11 months in to the job the owners may ask us to do the landscaping which takes another two to three months and we've booked in another job. We work hard to service our clients, make them feel part of our team and to deliver a top level of finish. As an industry, we have been challenged in Tauranga by sub-standard tradesmanship and everyone should step up and be responsible for what they do.  


Q: What are your business leadership qualities?  

A: I lead by example and I'm inclusive. We have regular barbeque breakfasts and this is how I involve everyone with the direction the company is heading. I'm happy to share the load and I make sure I have the right people around me to maintain a strong team. I believe my experience in the industry makes me a good leader for a building company. I started from the bottom and I can relate to people working at all levels of the industry.  


Q: How many hours a week do you work?  

A: I'm happy working 50 hours. I used to work 65 hours and that was hard. I love what I do and I choose to work. The industry has become part of my life and in my role as Master Builders vice-president I get around and meet all sorts of people involved in the industry.  


Q: What do you do in your spare time?  

A: I spend a lot of time with my children and we often go to our bach in Whangamata. I like fishing and diving, and I do have a love for Classic Cars. I've got a 1957 four door Chevy which I drive at the weekends. I had a EH Holden when I was younger.  


Q: How well placed is Form?  

A: We build top-end residential, light commercial, complete maintenance and remedial work. We organise the workload around our eight project managers. At present we are building five $1 million plus houses in Tauranga and Te Puna that will take between nine to 12 months to complete. We also have two major commercial projects - a two-storeyed building on Airport Rd in Hamilton and four coolstores for Trevelyan's in Te Puke.  

We've got two more luxury homes booked in for late next year, and our mission is to secure another three residential projects by that time. We become involved early in projects and work with the plans as they're being drawn so we don't over-budget. It also makes the project flow a lot better. We operate mainly in the Western Bay but we will travel to Coromandel, Hamilton and Taupo if the projects fit our business model.  

Some time ago, we sat down, did a lot of homework about an economic downturn and decided to broaden our base. We became involved with re-building Cutters Cove Resort in Mt Maunganui - leaky homes has become a specialty of ours and is an important string to our bow. It requires a different state of mind and you have to keep your guys motivated. Tradesmen like to build things and it can be disheartening for them ripping walls and ceilings apart. Also, you have to document the work as you go along and collect evidence for a leaky building claim. It requires careful methodology. But now we are
well placed to complete remedial jobs. 

We have put in a lot of work to build strong foundations for Form and we now have the confidence that we have developed a sustainable business platform that will see us handle continued strong growth even in times of low demand. 


Q: What plans do you have for the company?  

A: We want to keep strengthening our marketing systems that will help us sustain a good level of growth through the low demand cycles of the industry. I'm optimistic about our workload because we do not compromise our standards and I believe our top quality shines through. We work closely with architects and engineers to get the result that impresses the owner. We also want a strong platform to keep attracting the best tradespeople and to enable the apprentices to grow with the business and move through the ranks. Form’s aim is to be the best construction company in New Zealand and I feel that we are on track! 


Q: I understand the CuttersCove upgrade cost $8 million - how difficult was the job?  

A: Technically, it wasn't difficult. But the process and logistics were challenging. We were always aware that the apartment owners needed to collect as much evidence as possible to put together a strong leaky building claim. You couldn't just go in there and rip the wall down. You had to take the cladding off and photograph that before moving on to the next step. It's a neat complex now and I'd love to see its stigma disappear. We did things properly and it's not a patch up _ everything is 100 per cent.  


Q: Winning the Tauranga supreme business of the year award - what did that mean to you and the company? 
A: It's a huge confidence booster for me and the team and encouragement to continue to reset and aim for bigger goals. Because winning these awards has shown us that we can do it! The Kiwi knocking machine can wear you down sometimes, however we will always strive to be better. We had a clear vision with the merger and we achieved what we set out to do _ we are very big on systems and people. Those judges go hard out and I guess we would not have won if we hadn't been successful. Winning the overall award was a real stunner. Between Moyle Construction and Eaton Developments, we have won 65 Master Builders house of the year awards, going back 16 years. We have always wanted to do the best job and to exceed our clients’ expectations.  


Q: Do you see any improvement in the state of the building industry?  

A: Yes of course. I'm an optimistic person by nature. There’s enough work out there and you have to be focused on securing it. Our industry has always been cyclical in nature. At the moment it's down but it will come up again, and you have make sure you survive the down. I don't think New Zealand is any worse off than other countries _ but to what extent the world financial situation will affect New Zealand is anybodies guess?  

Tauranga builders, builders in Tauranga, Bay of Plenty builders. Builders in the Bay of Plenty. Waikato Builders. Builders in the Waikato. Coromandel Builders. Builders in the Coromandel. Residential design and build. Commercial design and build. Leaky homes.