Another major NFP announces restructure, plans to double revenue
The Benevolent Society will “aggressively pursue acquisition opportunities” in the aged care sector, enter into joint ventures, and create new fee-for-service offerings in home care.
The Benevolent Society will “aggressively pursue acquisition opportunities” in the aged care sector, enter into joint ventures, and create new fee-for-service offerings in home care.
Leading aged care provider The Benevolent Society will implement a major organisational restructure as it plans to double its operational revenue in three years by capitalising on the growth in community aged care and disability services.
The organisation said it plans to “aggressively pursue acquisition opportunities” in the sector, enter into joint ventures with both not-for-profit and private organisations, and create new fee-for-service offerings in its home care operations.
In its new three-year strategic plan, the provider also detailed plans to reduce its property assets by 30 per cent by improving the mobility of its workforce, with a focus on the use of mobile devices and assistive technologies.
A new organisational structure, to take effect from June, will see two new executives appointed to oversee two new priorities of business development and consumer engagement at the organisation, which describes itself as “Australia’s first and longest running charity.”
In its strategic plan The Benevolent Society said the organisational restructure was in response to the reforms underway in aged and disability services, as well as increased competition among providers and growth in demand for services.
It is the latest major not-for-profit aged care provider to announce an organisational overhaul in response to the changes unfolding in the sector. Last month Australian Ageing Agenda reported that UnitingCare Queensland was undergoing a major organisational overhaul, to be implemented from July, which would involve a new executive structure.
Currently The Benevolent Society employs 1,000 staff in 55 locations across NSW and Queensland. Its operational revenue was $97.7 million in 2015, which its plans to double by 2019.
CEO of The Benevolent Society Joanne Toohey said the organisation would seek acquisitions that not just helped achieve the revenue goal, but also facilitated partnerships with rural and regional providers to assist them to remain viable in their communities.
“The goal is to move outside metropolitan areas where possible but, with a more consumer driven market from early next year, that doesn’t mean we’re not [also] going to aggressively go into other metropolitan areas,” Ms Toohey told Australian Ageing Agenda.
The Benevolent Society said it planned to “significantly increase its geographic footprint” and Ms Toohey said several roles would be created in other states where new business development opportunities were identified, particularly in rural and remote areas.
Asked about the two new executive appointments, Ms Toohey confirmed recruitment was about to get underway and that she was seeking someone with knowledge of the ageing and disability reforms, but not necessarily from the sector, for the role of executive director of business development, while she wanted someone from outside the sector for the director of consumer engagement role.
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Its a pity the focus is not on service delivery and treating clients with respect. I for one cant wait to see what happens when the focus goes on to the clients choosing their providers. Bet you their bottom line will have nothing to do with services focusing solely on profit and expansion. The Aged Care Industry is about improving the quality of lifestyles, not on profit and expansion. I think these organisations are in for a real eye opener next year where people will be looking for quality organisations that offer real service, know who their clients are, know their circumstances and can actually help instead of putting people on extensive waiting lists. I really think this society has truly lost their way and has forgotten what this system is here for… We are going to see more and more of these organisations loose their way and focus on market share and expansion and they forget that the bottom line is service delivery and the impact they make on people’s lives. Cant wait until February next year when clients use the budgets and choice to give a very clear message.
How do you aggressively pursue acquisition opportunities while simultaneously reducing property assets by 30% ?
Having been asleep at the wheel for so long, it’s Interesting to watch all the NFPs now scurrying to become contemporary and profitable.
At least they’re sticking with that winning formula of hiring executives with no aged care expertise. Corporate, not care.