a city transformed

Shared Services Prospectus ADVANTAGE 2018 advantagewollongong.com.au from Wollongong City Lord Mayor

Wollongong is a city transformed. Wollongong’s economy is diversifying and experiencing strong growth with key sectors driving this change, including Knowledge Services, Traditionally known for its world class Advanced Manufacturing and Defence. Wollongong also boasts a steel making and coal mining industries, number of business advantages including a highly skilled workforce, Wollongong today is an important high staff retention rates and competitive business costs. A recent knowledge services centre, a globally report on Wollongong’s Shared Services Industry by Deloitte found that salary costs are 85% of costs, rental costs are 50% of connected international trade hub and Sydney CBD costs and staff retention rates are 95% compared to 75% home to a world-class university with a in Sydney. focus on encouraging innovation. The continues to expand and grow, with Wollongong lies on the narrow strip between the 32,942 enrolled students studying at 10 locations in 5 countries escarpment and the Pacific Ocean, approximately 80km south of across the world. The University is rated in the top 1% for graduates Sydney. It provides a superb lifestyle between the mountains and the as rated by global employers and the top 2% of world universities. sea, a supportive business environment and access to a highly skilled The University is also home to the Innovation Campus and the workforce. new $16.5 million iAccelerate Centre, which together make up an innovation precinct with strong links between research and industry, The Wollongong City Centre has seen a $1.3 billion investment over helping to create new opportunities for jobs and growth. the past 4 years, with a further $300 million in the pipeline and increasing interest from national and international investors. Major I encourage you all to take a look at what Wollongong has to offer and projects recently completed have included a $200 million upgrade what it can do for your business. of Wollongong Central, the city’s premier shopping precinct; the Wollongong City Lord Mayor new $120 million Wollongong Private Hospital and the $134 million Cr Gordon Bradbery AM expansion of the Wollongong Public Hospital.

Australia’s most Australia connected regional city: Sydney Sydney International Airport Distance 80kms, 1hr by road Wollongong Distance 5kms, 5mins by road Canberra Canberra Distance 240kms, 2.5hrs by road University of Wollongong Location % Economy TOP 1 FOR GRADUATES AS RATED 80KMS BY GLOBAL EMPLOYERS FROM SYDNEY CBD Recent investments $12.3B RATED IN THE GROSS REGIONAL PRODUCT % $200M 1HOUR POPULATION TOP 2 WORLD UNIVERSITIES UPGRADE TO WOLLONGONG SOUTH OF 211,201 SYDNEY INTERNATIONAL FORECAST TO INCREASE CENTRAL AIRPORT BY OVER 20% FIRST IN AUSTRALIA FOR IT NEW $120M BY 2036 LEARNING & TEACHING WOLLONGONG PRIVATE HOSPITAL $1.3B $134M CITY CENTRE INVESTMENT 270GLOBAL ACADEMIC EXPANSION IN THE PAST 4 YEARS Connectivity OF WOLLONGONG $300M IN PIPELINE & RESEARCH COLLABORATIONS HOSPITAL 7.6MW HOUSES & UNITS Property TIER 3 ARE PRICED 80,000 DATA CENTRE $750,000 35-40% SQM OF MEDIAN HOUSE VALUE DA APPROVED NBN LIVE LESS WHICH OFFERS THAN THE GREATER OFFICE SPACE $560,000 SYDNEY AVERAGE IN THE CITY CENTRE <2 MILLISECOND MEDIAN UNIT VALUE (RESIDEX) DATA CONNECTIVITY (CORELOGIC, SEPTEMBER 2017) The Wollongong

1 Globally connected 2 Superb liveability

Wollongong offers a competitive base for Wollongong provides an enviable coastal businesses to benefit from access to domestic lifestyle for people of all ages. and global markets. Affordable living: Houses and apartments across Digital: Most locations in Wollongong offer double Wollongong are currently priced around 35-40% less and triple fibre redundancy options. To complement the than the Greater Sydney average (Residex). Residential already existing high quality broadband technology, NBN is choices range from coastal villages in the north, beachfront currently being rolled out across the city. apartments in the city centre, spacious family homes in leafy suburbs to rural acreages further south. Road: Wollongong is located just one hour south of Sydney International Airport and connected to Sydney Coastal lifestyle: Located just south of the Royal by the M1 motorway, as well as being close to the Hume National Park, Wollongong’s spectacular natural Highway corridor and the proposed Badgery’s Creek environment includes 17 patrolled beaches framed by Airport. the backdrop of the , offering an abundance of recreational activities to enjoy. Port: Situated just 5km south of Wollongong, Port Kembla is NSW’s largest motor vehicle import hub and grain export Bar/café culture: The city has experienced a burst terminal, and second largest coal export port. of activity within its bar and café scene with over 65 new venues opening in the past three years. Rail: Wollongong is part of the Sydney train network which helps to transport the majority of grain and coal coming Quality infrastructure: Wollongong offers relatively into the port. short journey to work times and reduced costs, while also being well-connected to Sydney. Its quality health Air: Quick and easy access to Melbourne and Brisbane infrastructure includes a major teaching hospital and a through daily direct flights offered at the Illawarra number of private hospitals. Regional Airport. 3 City of Innovation 4 Supportive business environment

Home to a sophisticated and well developed Wollongong provides a supportive environment innovation eco-system that supports industry with considerable advantages for businesses collaboration and excellence. located in the area. University of Wollongong: The University of Competitive costs: With competitive rents and Wollongong has earned a place among the top 20 wages compared to Sydney and higher than average modern universities in the world through world-class staff retention rates, Wollongong provides significant research and teaching, and routinely rates among the top cost savings in an increasingly competitive and global Australian universities in key areas including graduate commercial environment. satisfaction and starting salaries. Consistently ranked in the top 2% of universities worldwide, it is also an Industry base: A significant strength is the size international centre of research excellence that ranks in and diversity of the economy with a number of large the top 1% for research quality. national and multi-national companies already part of the business landscape. Supporting these businesses are Innovation Campus: The University of Wollongong’s a range of professional services including leading legal, Innovation Campus is an award-winning research, financial, accounting, human resources, marketing and IT technology and commercial precinct. Set on 33 hectares companies. by the beach, the $600 million site encourages innovative organisations from around the world to co-locate with UOW’s Skills: Wollongong has an experienced and skilled leading research institutes, with 1,500 people currently workforce, with the city’s multicultural population also living, working and studying on the campus. ensuring a broad mix of foreign language skills, making the city an ideal location for companies with international iAccelerate: The iAccelerate Centre, the region’s first connections. Around 20,000 Wollongong residents purpose-built business incubator, provides a permanent commute to Sydney each day for work, providing an home for 280 entrepreneurs across 4,000 square metres. attractive pool of potential employees for any business With the aim to foster the next generation of entrepreneurs operating in the city. and grow new businesses, the centre is the first of its kind in Australia, being both a business incubator and accelerator that are connected to a world-class, research- intensive university. The

in Wollongong

The Shared Services Sector is a significant part A recent Deloitte study on the industry of Wollongong’s growing Knowledge Services in Wollongong revealed compelling industry, with over 85 locations employing benefits when compared to Sydney. 6,000 in this sector. By choosing Wollongong, employers can benefit from a STAFF LEASING SALARY skilled and stable workforce, allowing reduced recruitment RETENTION RATES ARE COSTS ARE and training costs and retention of corporate knowledge. COSTS ARE Wollongong’s multicultural population serves as another potential benefit, with a broad range of language skills 95% available with local employees. IN WOLLONGONG 50% COMPARED TO COMPARED TO 85% SYDNEY COMPARED TO 75% SYDNEY IN SYDNEY CBD SALARY COSTS

image: Stellar BPO Wollongong office ‘The biggest advantage of being a regional contact centre is the ability to attract people who have a strong service ethic and lower than industry attrition. Our local workforce is engaged, community-oriented and loyal. Our employees deliver a positive customer experience, flowing through to better customer retention and client satisfaction’ Jo-Anne Bloch, Leader, Mercer Administration Services

‘We had over 2,000 responses for 100 positions, so we had a really good pool of people to choose from. There was a good balance of senior and junior resources. It was quite easy, it was fantastic.’ Roger Barlow, NSW State Manager, NEC

‘One of the big business benefits of being located in Wollongong is that we can operate at much lower costs than we could in one of the larger metro areas’ Anita Mulrooney, Head of Customer Service and Marketing, Peoplecare

‘We have clients in most major capital cities. We don’t see geography as a limiting factor – technology enables you to work in a place like Wollongong and serve our clients all across the country’ Paul Bartholomew, Chief Operating Officer, Unison Outsourcing

Well-known companies who have Shared Services operations in Wollongong include: Wollongong Success Stories

NEC Australia, a leading international ICT solutions and services firm, established a new corporate office in Wollongong in 2016, employing 180 people. The new office is the centrepiece of a $40 million investment in the region and will support major customers of NEC across Australia. Located at the heart of University of Wollongong’s (UOW’s) 33-hectare Innovation Campus precinct, the corporate office allows NEC Australia to harness new opportunities to collaborate with world-class researchers located at the Innovation Campus specialising in fields that align with NEC’s global focus on technologies and solutions.

Mercer is part of the global Marsh & McLennan Companies with more than 22,000 employees serving more than 110 million people. As one of Australia’s leading service providers for large scale superannuation funds, Mercer is recognised throughout the industry for its customer centric approach and is located across 8 locations in Australia. Mercer Wollongong employs more than 600 people and runs an award winning contact centre. Local employees have expertise in areas such as operations, finance, information technology and project delivery. Mercer is committed to the Illawarra region which is evidenced through partnerships with the University of Wollongong and the Illawarra Business Chamber, and its commitment to local jobs. Stellar is the voice behind some of the world’s most loved brands and is passionate about creating better customer relationships. Named Outsourcer of the Year for the last six years running by Frost & Sullivan, Stellar have centres across Australia, the Philippines and the USA that delivers services for a diverse client base across a broad range of industries. Stellar is proud of its client relationships, with 92.5% of clients viewing Stellar as a valued business partner in our annual client survey. Stellar is a proud employer of people in the Wollongong region, with 350 staff operating out of two large locations. Stellar’s people manage inbound, outbound, back of house and social media customer care for a range of clients including telco, federal and state government, and utilities.

Peoplecare is a Wollongong-based, multi award-winning national private health insurer with a strong focus on delivering high-quality customer service and health fund management. Peoplecare has not only delivered membership growth well above the industry average, but has also grown to include a number of service contracts for other health funds, such as the back-office services on behalf of Allianz Worldwide Partners. ”Other businesses in our industry are keen to benefit from our excellent track record of customer service and health fund management” says Peoplecare CEO Michael Bassingthwaighte. Peoplecare is a three-time winner of the Illawarra Business of the Year, three-time winner of the highest Net Supporters of any open health fund in the Ipsos biannual survey and achieved Aon Best Employer status in 2017.

PeopleCare CEO Michael Bassingthwaighte (front) with Head of Customer Service and Marketing Anita Mulrooney and Deputy CEO Dale Cairney at the health insurance fund’s Wollongong headquarters. Office

Overview

2018 is seeing an increased interest in the Wollongong property market, following record investment levels of $1.3 billion in recent years and price growth in Sydney forcing investors to seek better yields further south. The spotlight on office property means good news for businesses looking to re-locate or establish their shared services operations here in Wollongong. A recent Knight Frank report indicates that 59% of businesses operating in the Wollongong city centre require office space and demand in the Shared Services Industry is expected to continue, with recent developments including the opening of the brand new NSW State Emergency headquarters and the expansion of Stellar Asia Pacific. Demand for office space has increased in the past 12 months, according to the Property Council of Australia’s latest Office Market Report released in February 2018, with the fall in vacancy rates indicating a healthy local economy. While vacancy rates are low, investors have recognised the health of the economy and the potential in the office market space, resulting in around 80,000 sqm of DA approved office space in the Wollongong City Centre, which could be delivered in the next 12-24 months. Innovation Hub of Wollongong

The University of Wollongong produces world- class graduates, facilitates collaboration between Industry collaboration research and business, and fosters new jobs and industries through the region’s business incubator and accelerator. NEC’s decision to establish operations at the University of Wollongong University of Wollongong’s (UOW) Innovation The University of Wollongong is a research intensive university Campus has led to industry collaboration with an outstanding reputation for its learning environments between the pair, bringing benefits to both across a broad range of disciplines. The University’s NEC and Wollongong’s community. commitment to students is evident in its graduates, who are recognised for their capability, quality and success in the The partnership aims to encourage new employment global workplace. Locally, the University is a vital part of the opportunities in the ICT sector in regional NSW and expand Wollongong economy, contributing over $2 billion in gross on NEC’s global ambition to capitalise on technology to economic output and providing highly-skilled graduates for local address pressing societal challenges including ageing businesses. populations, the environment, security, and impacts to industry from next generation technologies. Innovation Campus The partnership with UOW includes NEC Australia’s The University of Wollongong’s Innovation Campus encourages Graduate Program, which offers graduates an opportunity innovative organisations from around the world to co-locate with to kick start a career alongside some of Australia’s leading research institutions in a collaborative environment. top technology executives. ‘We’re particularly excited The Innovation Campus is home to a number of organisations at the possibility for graduates in information and that work alongside research institutes focused on materials, communications technology to be able to work with sustainability, health and maritime. a global leader right here in Wollongong as well as collaborating with NEC in a range of ICT research areas, in iAccelerate particular in cybersecurity’ said Judy Raper, Deputy Vice- Chancellor at UOW. iAccelerate is the region’s first business incubator and accelerator and has so far supported 57 start-up companies. iAccelerate provides bright minds with the infrastructure, mentoring and education programs to help them succeed. Entrepreneurs are connected to a world-class university, potential investors and high-quality business advisors. Looking to invest in Wollongong? Advantage Wollongong is a partnership between the NSW Department of Premier and Cabinet, Wollongong City Council and the University of Wollongong. Since 2008 Advantage Wollongong has focused on promoting Wollongong to attract new business, investment and jobs. If you’re considering doing business in Wollongong, the Advantage Wollongong team can help.

Mark Grimson Economic Development Manager Wollongong City Council Phone 02 4227 7166 Email [email protected] www.wollongong.nsw.gov.au/city/economicdevelopment

Nigel McKinnon Regional Director Illawarra/South East Office of Regional Development NSW Department of Premier and Cabinet Phone 0418 259 055 Email [email protected] www.dpc.gov.au

Canio Fierravanti Director Government Relations University of Wollongong Phone 02 4221 5931 Email [email protected] www.uow.edu.au

Paul Frew Auscontact NSW State Committee Illawarra Representative Email [email protected] www.auscontact.com.au

Acknowledgements

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