Jack Truong, CEO of James Hardie Industries

2021-11-24 03:02:11 By : Ms. Echo Han

detail. complex. Aesthetic. The dream house is not built by accident, but on purpose. Not only to look beautiful, but also to behave beautifully. Consider the intentions of the people who will create memories within its four walls; a wall that makes them safe and comfortable in a world that sometimes doesn't feel anything.

James Hardy Industries understands this. As the world's largest manufacturer and marketer of high-performance fiber cement and fiber plaster construction solutions, the company understands the concept of home as a refuge, as a canvas for self-expression, without compromise. This is why it is committed to providing high-quality, high-quality cladding solutions that bring infinite possibilities for design and aesthetics, while also providing the most important thing-peace of mind.

"The uniqueness of our company now, especially in the process of moving forward, we have the technology and ability to provide homeowners with Hardie® products of different appearances, shapes and sizes, whether they want to build or refurbish and Retrofit. In North America, we also provide them with more than 700 different ColorPlus® technical finishes. Not only do we provide this beauty, but the product itself is very durable and low maintenance," Jack said.

"At the same time, our products are non-flammable and waterproof. Therefore, if you take into account all the effects of global warming and global climate change, such as hurricanes in the United States, wildfires in Australia, and floods in Europe and other places, our products are not only in the room The main appearance, but their durability and weather resistance help protect their home and give them peace of mind."

With the rampant global pandemic, it can be said that the concept of the family and what it should be has never been more important. Today's home is not just a place to rest or escape the hustle and bustle of modern life, but also a place to provide shelter, safety, normality and joy. It needs to be beautiful calm in the storm.

This feeling combined with the pandemic-driven global housing prices, many people choose to renovate rather than buy a new home, which is driving a fundamental transformation of families around the world. There is no better position for James Hardie to take advantage of this opportunity. "We feel that we are now in the right place at the right time, and we will help drive change to support this new consumer behavior," he said.

"Your home is your castle. The exterior of the house allows the world to see what your home is like, and it also protects your family. With James Hardie and all the innovations and products we have, homeowners have unlimited possibilities. Designing and building houses they are proud of will help protect their houses and their families."

There are many building material companies in the world, but few global entities. The reason is simple: shipping materials around the world is very expensive. More importantly, the architectural styles of different countries/regions are very different, which makes it more challenging for many companies to enter the market and make profits on a global scale.

"The real estate markets around the world have always been very regional. Even within a country or region, the style of houses will vary from place to place, and of course, from country to country. The taste is very local," Jack said.

"But our company is unique in that we are a global company with deep and extensive operations in North America, Western Europe, Australia, New Zealand and the Philippines. We also have sales and marketing operations, manufacturing, R&D, and The supply chain provides services to our customers. As a global company, having this position enables us to be a leader in design trends around the world."

Jack revealed that the best part of these trends is that they often move from one country to another, which is good news for James Hardie-the company does not have to start from scratch often, wasting time and resources. It already has expertise and deep supply chain integration, enabling it to quickly upgrade and deliver. "We firmly believe that the old things in one field are new in another field," he said.

"For example, the modern and contemporary style of housing trends we see today started in Australia about ten years ago. Then this trend shifted to Northern Europe, mainly in Scandinavia, especially Copenhagen and Sweden. Approximately. Four or five years ago, it spread to the United States, mainly distributed in the west coast from Southern California to Portland, Oregon and Seattle, Washington, and then to the southeast of Atlanta, Georgia. So, we are ready and ready to fit. The product, our Hardie® textured panel, which provides modern textures and clean architectural lines to serve our customers."

Of course, providing the market with products that help build a better home is just the beginning. Through the company's continuous investment in innovation, it is committed to improving its ability to build better houses by introducing future building materials for safer and more resilient houses. To this end, James Hardie recently launched three new products to the global market in May this year, including Hardie® Textured Panels in the United States, HardieTM Fine Texture Cladding in Australia and Hardie® Brand VL Plank in Europe.

"What we are doing here is inventing new world materials and products, which fundamentally changed the way the world is built," Jack said. "We created a material that enables designers, architects, and builders to build houses with different types of mixed-design appearances, distinguishing one house from another and one community from another. This is us Very important things.

"We are trendsetters. We see these trends continue to evolve, and then we develop innovative products in one area, and then introduce them to new locations. Our global vision gives us the opportunity to become a driving force for global design change. As a company For a globally interconnected company, this is a real benefit."

Like other industries around the world, the construction industry contributes to global warming, and every new project emits a lot of carbon dioxide. As infrastructure increases, pollution and waste also increase. As the output of the building continues to increase, its destructive impact will also increase.

Aware of these issues and passionate about change, James Hardie embraces sustainability and integrates it into every step of its energy-efficient operations. The focus of its product manufacturing is to reduce the environmental impact by using cellulose fibers derived from sustainable plantation wood and abundant natural raw materials. Therefore, compared with many other products on the market, James Hardie products have a smaller footprint in the world.

1. Establish an in-depth, strong, coordinated and interconnected leadership team to push your strategy forward. Remember the words of Steve Jobs: "If you want to go fast, go alone. Go as far as you want, go together." 2. Develop a clear and specific vision and mission—perseverely implement it every day . Check the progress frequently and make adjustments and adaptations as needed. 3. Lead by example and give your employees ownership and responsibility for specific aspects of their strategic initiatives-creating a team environment for collaboration and participation.

"Sustainability is deeply ingrained in our operations. This is something that is important to us and something that excites us. For us, it is really about how we build products that help the environment," Jack said. "Our products are durable; we offer up to 30 years of warranty. And their maintenance costs are very low. Therefore, from an environmental point of view, you don’t have to repaint or redesign as frequently as when using other materials Your house.

"At the same time, we provide alternatives to plaster, renderings, bricks and stones. These materials are heavy to build and may take longer to install, thereby increasing costs. In the long run, our products will ultimately be homeowners. It saves money and helps developers and builders build houses faster."

More than just building houses, James Hardie's position is that it is building communities, sustainable communities. Therefore, it attaches great importance to "global thinking, localized action" to ensure local procurement, use and delivery. “This is actually to create employment opportunities in the community—98% of our employees are hired locally near where we operate,” he said.

"And, at the same time, we ship our products in the areas where we operate in order to build houses in the communities where our manufacturing is located. In doing so, we reduce our carbon footprint, reduce emissions, and move faster Build houses to help the environment without the use of labor-intensive and more expensive materials. We are committed to helping create a better world and a happier community through better-looking and better-protected houses. This is very much of us. Something to be proud of."

In addition to focusing on sustainable development, James Hardie is also keen on lean operations. In addition to benefiting the company's bottom line, its world-class manufacturing will naturally reduce waste, increase employee and customer satisfaction, while allowing the company to take advantage of its scale. "We are the world's largest fiber cement producer, but only by taking advantage of our scale and operating to the same standards on a global scale will this benefit us," he said.

"Therefore, we have a unique lean-based operating system, which we call Hardie Manufacturing Operating System, which allows us to connect all of our manufacturing plants around the world and run a standard operating procedure that really promotes based on the following Continuous improvement of customer needs. As these needs change, our manufacturing plants and processes must also change accordingly. Therefore, we focus on customer needs and then reinvest in our operations to ensure that we reduce processes There will be no waste of adding value to customers."

When each factory runs according to the same procedure, it will reduce the difference in product quality and output, and create more value for customers. Moreover, it also reduces waste and saves employees' time and energy. "Lean operations also help to significantly reduce our company's turnover," Jack shared.

"In the first year we implemented Lean, the turnover rate of our manufacturing plant was about 20%. One year later, this rate dropped to about 13%, and now, it tends to 9%. When you reduce wastage, there will be Many benefits. You have already hired employees, and you don’t have to constantly go out to hire new employees. When you perform Lean correctly, you can not only reduce products and materials, but also reduce a lot of waste, so that our manufacturing team can work more efficiently ."

Three years ago, James Hardie entered the European market through the acquisition of Germany-based fermacell® (European market leader in fibrous gypsum and cement-based plywood). Doing so provides an excellent opportunity to give James Hardy the scale required to become an influential player in the region.

"We now have five manufacturing plants here," Jack said. "We market and sell external and internal products. The internal products are based on fibrous plaster material. This is a very high-quality floor and wall product. It has high impact resistance, fire resistance, and is also a noise reduction material. A great product for home interior design."

It is also excellent in the construction of commercial spaces such as schools, hospitals, and galleries, which usually require rapid turnover without sacrificing fascinating design. Take the modern elementary school in Swindon as an example. Its appearance is fresh and interesting, with eye-catching green, blue and white vertical stripes. Because the Hardie® Plank panels, which are easy to cut and install, can be delivered in a short time, the project was completed ahead of schedule despite the challenging project.

JHX stock price (USD) January 1, 2019 – September 30, 2021 Value creation since January 2019

With its brand portfolio, including Hardie®, fermacell® and Aestuver®, it can easily meet the market's demand for modern building materials, which can be efficiently produced in a short period of time, are easy to handle and install, and save time and money. James Hardie It is ready to achieve its ambitious growth targets. The company intends to expand its European footprint and deepen its business in Germany, Switzerland and the Benelux Economic Union.

"Europe is a growing business for us," Jack shared. "But now we have external and internal solutions, and the business has recently achieved double-digit growth. We are very excited about its continued growth potential."

For Jack, what may be even more exciting is that he is fulfilling the arduous task of providing new innovations to the market. These innovations will not only continue to drive future global profit growth, but also bring joy and protection to families around the world. . "Nothing is more important than the fact that we are committed to building the right materials that can truly change and affect humanity. We can help build beautiful homes where people like to go home," he said.

"This is the pride and joy we bring to homeowners because we know they will also be protected. This is something I am very passionate about. For me, as the leader of a company that achieves this goal, I know that I I can directly participate in setting the route for this innovation for many years to come, and I can help build houses and communities and provide local employment opportunities. Well, it makes me want to do better every day. Because what we do is important. It It’s important to all stakeholders: employees, homeowners, communities, customers, suppliers, investors, and the world. Nothing is higher."

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