Urging unity

10 November 2007


Neil Donaldson, chairman and chief executive of James Donaldson & Sons Ltd and president of the Timber Trade Federation, writes about the challenges facing the timber industry and its need to move forward as one

Insight can come from many varied and sometimes unlikely sources. For me that source was Alastair Campbell, one-time Labour government spin doctor and recent guest speaker at the excellent TTJ Awards.

While Alastair’s description of his years as director of communications was both interesting and insightful, what has stayed with me the most was the conversation that took place between proceedings. Asked by Keith Fryer from T Brewer & Co Ltd what his opinion was of the timber trade, Alastair immediately replied “I don’t have an opinion, as I don’t know anything about it”.

Journeying home I became frustrated every time I thought about this answer. How could this be? We are an industry where the trade in timber and timber products amounted to £7.6bn in 2006, approximately 115,000 people work in our sector and we have a product that has a vital environmental role.

So what are we doing wrong as an industry that one of the most influential political figures of the last 10 years knows nothing about the industry and, worse, has no opinion about it?

Fragmentation

To me the answer is very simple. On numerous occasions the government has made it very clear it wants to speak to one person/organisation that represents the whole industry. It has become a point of frustration that they currently have to deal with around 20 different trade associations that ‘represent’ the industry. That these organisations have dedicated people working very hard for their members is in no doubt. As president of The Timber Trade Federation I have seen first hand the effort and commitment that goes into supporting association members. However, with all this energy I often find myself wondering what could be achieved if we spoke with a unified voice. How many political figures could claim they don’t know anything about us if we came to the table with this kind of strength?

Where once trade associations flourished, times have changed and while some may see change as something to avoid or resist, I see an opportunity. Look no further than the cement industry which has new vigour and coherence and a far stronger political voice since being centralised under the British Cement Association.

Is cement somehow more important to the nation than timber? Certainly not, far from it, in fact. We have an incredible message to put across. At a time when the environmental debate is taking on ever greater significance, we are an industry where our product can be sourced legally from sustainable sources.

When I heard recently at the TTF Conference that a major contractor was being asked to design wood out of buildings it only fuelled my belief that such a ridiculous situation has only come about because we are not getting our own environmental message across strongly enough. To put it in starker terms, the government is responsible for about 40% of construction in the UK and about 20% of timber purchases, however, its influence extends way beyond this – it is simply not a market we can afford to lose or ignore.

As a result, we stand at a crossroads. In one direction lies the status quo, which I believe no longer serves our needs. In the other is a path that is already being trodden by Germany and Sweden where unified, far stronger timber industries have emerged.

Proposal

My proposal is for a body that would represent all facets of our industry. For the sake of argument let us call this The Timber Industry Ltd, which would be headed by a single chief executive. The structure of this organisation could include membership, finance, promotion, product champions, research, education and training, environment and political lobbying. I highlight this as an example – the reality is in fact far better, offering more opportunities. As this would be an industry first, we have the luxury of being able to structure our organisation in whatever way best meets our needs and represents them most effectively.

Tentative steps towards identifying common ground and how we could work closer together were made for the first time this year. Back in July chairmen or past chairmen from eight industry organisations met for a two-day meeting to discuss a wide range of topics and agree action plans.

I believe this venture is vital if our industry is to thrive and have a strong voice. However, I recognise that for all those that were represented there were many who were not and this needs to change. I am urging that collectively we take another step towards a unified industry and to achieve this I pose just one question:

Would you rather the status quo or an exciting unified future? It is your call.

Neil Donaldson: 'what could be achieved if we spoke with a unified voice?' Neil Donaldson: 'what could be achieved if we spoke with a unified voice?'