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 Welsh out, Brenda in at AWI? 

Welsh out, Brenda in at AWI?

16 Dec, 2008 04:39 PM
Wool's top man is leaving.

Australian Wool Innovation chief executive Craig Welsh has joined the growing list of those packing their boxes.

His departure follows the redundancies of corporate affairs manager Matt Flugge, the manager of ethical production and trade, Dr Norm Blackman, and the manager of industry relations, Danny Pagoda, which were announced last week.

In a very brief statement, AWI said Mr Welsh had left "with the support of the board", but it is unclear whether it was his decision given he still had about a year left in his contract.

His departure leaves open the opportunity to re-employ former Woolmark general manager Brenda McGahan.

New AWI chairman Wal Merriman thanked Mr Welsh for integrating The Woolmark Company into AWI, while Mr Welsh thanked the chairman, the board and AWI staff for the "opportunity to be part of the wool industry through these exciting and challenging times".

Mr Welsh will be remembered for restructuring AWI towards a business focus, having overseen the transition of AWI from principally a research body to a marketing and development organisation.

He was an advocate for "business to business" wool activity through "knowledge, innovation and marketing".

"I have been extremely pleased to have worked in such a dynamic industry and to manage the integration of the Woolmark into a new business model. This has been a very challenging and rewarding experience," he said.

Despite departing AWI and quite probably the wool industry, Mr Welsh said the fibre had a strong future and was optimistic about the company’s role in the wool industry.

WoolProducers Australia executive director Greg Weller said it was not up to his organisation to comment on Mr Welsh as growers elected the board and the board made these decisions.

"What I will say is that we liked the business focus Mr Welsh put in place during his time and the aim to put figures on targets for increased wool sales because we just want to see more wool sold," Mr Weller said.

"I hope the new board don't throw out the old strategic plan and change for changes sake."

Australian Woolgrowers Association president Martin Oppenheimer also praised Mr Welsh.

"He was there to do a job, to transform the company and he has done that," Mr Oppenheimer said.

"He has put in place systems and a strategy to increase the marketing of the product and now it is time to put someone there with real marketing knowledge, someone in touch with consumer and retailer sentiment.

"I and many woolgrowers would love to see Brenda McGahan or someone like her at the top, it would be an enormous boost in confidence.

"She has the ability, skills and passion to turn wool around and being a woman she naturally understands the market segment where we have dropped the ball; womenswear."

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Date: Newest first | Oldest first
Oh it just gets better and better, doesn't it! So now AWI have no CEO, no deputy CEO, few experienced executives, a new and grossly underqualified board, the remaining staff in fear of losing their jobs and a chairman that has managed to re-energise PETA. Can't wait for the next episode of Wally's World!
Posted by Sir George, 16/12/2008 8:33:37 PM
These so-called redundancies and forced exits must be costing a packet, brought about by a Board that aimed to save costs. AWI will be left with a second rate skeleton staff and a couple of favourites who otherwise wouldn't have a comparable job. For all this woolgrowers get no explanation, rational or otherwise. What fun this new Board, elected with a very minority vote, is having with woolgrowers' tax money. What sense of corporate governance and accountability does this motley crowd have? The case for a zero tax next time round is becoming overwhelming.
Posted by observer, 17/12/2008 10:54:08 AM
I do not criticise Craig Welsh in any way, but I hope WoolProducers understand that you can't increase sales if you can't increase supply. In the past WoolProducers appeared not to understand this. Craig Welsh would understand this very well. For nearly seven years now, ever since the manner in which the Howard government dumped the last of the stockpile caused production of wool to fall to a level far below the quantity needed to maintain the trade in wool traders have not been able to make secure plans for trading because they had no security of supply. As we are now seeing a further reduction of 7% forecast for next year's production this problem is very much still with us. We have reached a point where it may be that the only way that the trade in wool can be maintained is with forward contracts to supply. We are in very real danger that the trade in wool may become a closed shop, and that at a low volume of product. As for Old Whisky's reenergising of PETA. Peta don't have to do a thing at the moment. They can just sit back and watch us disappear down the gurgler our own government threw us into.
Posted by Ted O'Brien, 17/12/2008 12:02:08 PM
He's right, by George!
Posted by woolman, 17/12/2008 12:50:19 PM
The heads are rolling, but at what cost? Perhaps this is part of some grand plan of the new AWI board to re-invigorate wool. I hope it is, otherwise it might just be an ill-conceived, knee-jerk reaction by the winners of our most recent popularity contest. Please guys have a plan.
Posted by Michael Craig, 17/12/2008 7:25:14 PM
what sort of a structure do you need to manage a cottage industry?
Posted by wether or not, 17/12/2008 8:26:04 PM

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Outgoing AWI chief executive Craig Welsh.
Outgoing AWI chief executive Craig Welsh.
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