The draw of running an iconic Australian company that actually “makes things” was the key attraction for former Penske Australia and New Zealand chief Craig Lee joining The Drake Group as Group General Manager.
His appointment, announced last week, sees him take the management reins of a group of companies that have evolved from a small workshop established by the Drake family in Brisbane in 1958 into a multi-faced business comprising trailer manufacturers O’Phee Trailers and Drake Trailers, engineering company Dalzell and Bagley, and premium die-cast model maker Drake Collectibles.
Craig joins the Brisbane-headquartered group after 11 years at Penske Australia and New Zealand, including the past six leading the truck and bus divisions.
“I didn’t want to leave Penske, it was that I wanted to join Drake. I left on extremely good terms, but what I really liked about Drake was that they’re a manufacturer, and a family company that manufactures domestically in Australia. The purpose of that was really important to me – the tangible nature of that, making things that matter for the Australian economy,” he says.
With extensive leadership experience across the transport, earthmoving and heavy equipment sectors, Craig believes he brings a “really strong macro view of the broader market” to the business, as well as good “processes and experience around innovation”.
“I don’t bring expertise in traditional manufacturing, but between [Managing Director] John [Drake] and the wider team, they’re the [manufacturing] experts. I bring an understanding of the macro environment, where it’s at and why, and executing the existing strategy. For example, where is the domestic economy going, where is the money flowing, and how we as a business can align with that?” he says.
“The beauty of this business is the owners and the directors are really flexible to good ideas and opportunities as they present. The strategy of building good quality trailers is clearly set, but how do we pivot into new markets or new segments as opportunities open up?”
And with diverse operations across trailer manufacturing, engineering, servicing and maintenance, and collectibles, Craig believe The Drake Group presents enormous opportunities for growth.
“I think the O’Phee Trailers brand, for example, has got a lot of opportunities in skel-type products; while for the Drake Trailers brand doing more of what it currently does is the biggest opportunity by increasing market share in the areas where it is so good,” he says, adding servicing and maintenance also presents a “big opportunity nationally”.
Conversely, Craig believes the major challenge facing The Drake Group is market conditions. “The market itself … and manufacturing in Australia … is quite difficult at the moment with rising input costs and key the markets we operate in – ports, mining, building and construction – all facing head winds. So, the biggest challenge is what our customers are experiencing,” he says.
“But with that comes opportunities to grow sales with adjacent customers. The business is extremely robust, it has great processes and a great team in place, great products and production capabilities, and is well positioned in the current market to capitalise on opportunities to continue to grow.”