Strategic Analysis of Hansen Yuncken

Topic: Strategic Analysis Words: 1713 Pages: 6

Introduction to Hansen Yuncken

1968 saw the beginning of Hansen Yuncken, a construction company based in Australia. With annual sales of more than one billion Australian dollars and a workforce of more than three thousand people, the company enjoys a prominent position in the competitive construction market in Australia (Sexton, 2017). Hansen Yuncken’s portfolio of construction projects includes residential, commercial, and industrial work, healthcare and educational facilities, and institutional buildings (Hansen Yuncken, 2020). The company’s superior project management capabilities and ability to deliver projects on time and under budget provide it with a significant advantage over its competitors in the construction business in Australia.

Hansen Yuncken is a dominant player in the Australian construction industry, holding a strong presence in the residential, commercial, industrial, healthcare, and educational construction markets. Due to the outstanding project management capabilities of the company, as well as its capacity to deliver projects on time and under budget, the company has a significant competitive edge in the construction industry in Australia (Sexton, 2017). The construction projects that make up Hansen Yuncken’s portfolio are diverse, and the company has a deep dedication to quality and safety. Hansen Yuncken has been recognized as a member of the Australian Institute of Project Management for its dedication to quality and safety.

Life cycle thinking and sustainable practices are integral to the industry’s dynamics rather than add-ons. The corporation has been at the forefront of making ESD and other Green Star initiatives the norm in the commercial world. This all-encompassing method revitalizes commercial and community projects by paying homage to the country’s most illustrious architecture while erecting vibrant social hubs that promote a lighter carbon footprint and better work-life balance for their inhabitants.

Plenty of other large Australian construction firms compete with Hansen Yuncken. ADCO Constructors Pty Ltd, Hutchinson Builders, Reiman Corp, Sellen Construction Company, York Civil Pty Ltd, and Bowmer & Kirkland Ltd are only a few of the leading rivals in the business. But Hansen has a competitive advantage of strategic positioning in the market, allowing it to stay ahead of its rivals. There has been a solid foundation for the company’s finances and management since the Australian government backed up its establishment.

External Analysis

This part will give a detailed PESTLE analysis of Hansen Yuncken in identifying the external factors that affect the company. Nonetheless, this study aids the industry in recognizing key macroeconomic elements that can help with future calculations and provide them with the opportunity to take greater measures toward increasing their company for the future (Bond, 2019). The PESTLE analysis’s examination of political, economic, social, and technological aspects potentially affects the supply chain. In the process of examining how a corporation grows its business, PESTLE analysis is an extremely important component.

The organization grows and diversifies by applying experience and skill to every challenge. The processes of Hansen Yuncken are implemented and managed with the help of the company’s intranet, known as HYway (Hansen Yuncken, 2020). The organization can build new ways of working and integrate processes at the corporate level with the help of HYway. Compliance and strategic planning are both improved by more in-depth reporting. Hansen Yuncken is the clear victor in the majority of management’s bids.

PESTLE Analysis of Hansen Yuncken

PESTLE Element	Factors to Consider	Trends and Changes	Implications for Hansen Yuncken	Impact
Economic Factors	– Financial risks – Brand Name – Growth rate – Strategic positioning – Markets Capital – Labor market	– The government financed the project with around AUD 3 billion. – Since its founding in 1865, Hansen has become one of the world’s largest privately held firms.	– There will be an investigation of the government’s funding rate. – Hansen is in a strong position, as evidenced by the high demand for its services among various customers.	– Very high: Urgent action – Very high: Urgent action
Social factors	– Accommodating culture – Demography – Income distribution – Cultural norms	– The company continues to be innovative, adaptable, and responsive to shifting conditions and requirements, despite being subject to unstable economic conditions domestically and internationally.	– The ability to accommodate cultural differences is one of the key success elements of Hansen Yuncken and will be investigated.	– Very high: Urgent action
Technological factors	– Delivery of Quality – Transport infrastructure – Communication – Emerging Technology – Data theft risks	– Throughout the project, there has been a constant flow of information among all stakeholders.	– Contractors working for Hansen Yuncken have to ensure that the risk management and mitigation teams they have in place are operational and actively working to lessen the impact of any potential risks.	– Very high: Urgent action
Political factors	– Services – Regulation – Tax Policy	– Exerting influence on businesses through tax policy, tariffs, and regulation. – In some instances, the stability of the government itself can even be a consideration.	The nation’s current political climate is an important consideration for political issues. – In addition, it involved the global political climates that impact the country and the business accordingly.	– Very high: Urgent action – Very high: Urgent action
Legal Factors	– Global Laws – Law enforcement – Court system	– There have been differences in the regional legislation and the effectiveness of law enforcement and the judicial system.	-The regional laws that affect both the import and exports of materials and resources will be examined	– Very high: Urgent action
Environmental factors	– Management of resources – Availability of energy – Climate change – Workforce health Natural calamities	– The personnel on the construction project has been exposed to a great deal of risk to their health through climate change and natural calamities	– There is a possibility that the project will be interrupted due to natural catastrophes and disasters over which the team managing the project has no control. – Work health and safety risks and hazards will be examined	– Very high: Urgent action – Very high: Urgent action

Internal Analysis

VRIN Analysis

A VRIN analysis is a useful method that may be utilized to locate resources and capabilities that have the potential to give a sustained competitive advantage (Bond, 2019). The term “sustainable competitive advantage” refers to a significant competitive edge that can be maintained over a longer time (Power, 2022). As a result of Hansen’s advantageous location, the company has seen an uptick in demand for its offerings. The firm has made a name for itself in the industry by specializing in building intricate structures. It must use the blue ocean strategy to create a growth-ready, uncontested market. Implementing new ideas and implementing cutting-edge technology in the building sector are two of the company’s top priorities. Hansen Yuncken created a hanging scaffold in 1929, so the Melbourne State Library’s domed ceiling could be replastered. In addition, in 1985, it converted an Adelaide train station into a casino while trains still ran below.

VRIN framework to Hansen Yuncken

Resource	Valuable	Rare	Costly to imitate	Non-substitutable	Competitive consequence
Opportunities available inside the technical platform by taking advantage of the available capabilities of information technology	Yes, the technological sector is experiencing rapid expansion; the corporation should take advantage of this.	No, the majority of its rivals are currently investing in the information technology sector.	Yes, it is hard to imitate	Finding a suitable substitute is also challenging because it is tough to imitate.	In the long-term, it will give a competitive advantage that can be maintained.
Opportunities for brand expansion	Yes, there is an increase in the development of innovative positions inside the market.	No, most of those competing for these places likewise level off their play.	No, it is easy for competitors to imitate it.	Yes, it can be substituted; however, a larger advertising expenditure will be necessary.	It offers a temporary advantage that can be considered justified
Market positioning compared to competitors	Yes	No	Yes, it can be imitated, but doing so will be expensive.	Yes, It can be substituted because brands are positioned with the comportment of consumers	Impermanent competitive advantage.
Reachable cheap capital	Yes	No	Yes	Yes, since it is not exploited	Insignificant in terms of the development of a competitive advantage
Company’s Marketing expertise	Yes, companies compete with one another inside the industry by differentiating themselves.	No, the majority of competitors have market information	Yes, competitors frequently copy one another’s pricing policies.	Yes, Capable of being imitated by in-house resources and knowledge at the company	Temporary competitive advantage

Recommendations

Environmental analysis

Hansen Yuncken’s most important strengths are accommodating culture and brand loyalty. Despite being at the whim of unpredictable economic situations at home and abroad, the company continues to develop, adapt, and adjust to changing conditions and demands, as reported in the annual report (Hansen Yuncken, 2020). In the face of challenges, Hansen has been able to persevere because of the adaptability of its workplace culture. The organization’s stability can be attributed partly to the low turnover rate within its ranks.

Working with only specific customers has been the company’s weaknesses and large overhead budget. The majority of the company’s success can be attributed to participation in several government projects. This may reduce the construction company’s finances (Hansen Yuncken, 2020). The organization can potentially increase the size of their clientele by participating in even relatively small initiatives that add to its customer portfolio.

The corporation can generate additional opportunities by expanding the number of companies operating under it to handle various projects and offer more services. If it keeps an eye on the development patterns in the industry, it will be able to spot more chances that, if taken advantage of, might help it increase its portfolio (Hansen Yuncken, 2020). However, the increasing number of construction industry competitors offering more services and increased risks of natural calamities threaten the company’s existence. Hansen has a solid foundation and an enduring brand reputation, which it can leverage to gain an advantage over any rival operating within the business.

Suggestions and Ideas

The company should broaden and diversify its services by applying the experience gained over time and the speed and agility of its issue solvers to all of its endeavors. The engineers and the management of Hansen Yuncken need to ensure that the workplace’s health and safety laws and regulations are followed and that every worker is enthusiastic about them. In addition, the management needs to provide all workers with training on properly following safety protocols and raising awareness about operating various construction equipment.

References

Bond, J. A., (2019). QUT education precinct. issuu. Web.

Hansen Yuncken. (2020). what we do. Hansen Yuncken. Web.

Hansen Yuncken. (2020). ZoomInfo. Web.

Power, J. (2022). Quality assurance: Digital QA ticks all the boxes. Plumbing Connection, 20-22.

Sexton, M., (2017). Australia’s most expensive building: What you need to know. ABC (Australian Broadcasting Corporation). Web.