17/05/2022
Project Modular ceased manufacturing bathroom pods due to high risk and low margins on offer to win projects caused by competition bidding to unsustainable prices and also unethical behaviour of some building companies that results in driving contractors to the wall.
Project Modular realised that this business could not be sustained in the long term and having excellent cost control systems we could see that our business (under current market conditions) would ultimately end up being forced to close down had we not taken this decision early.
It is interesting to note that some of these other pod builders that were winning jobs at loss making prices are now in liquidation half way through projects which has a massive effect on the builder as well.
This behaviour affects pod builders like PM that still lost out on those same projects who had sensible pricing but unfortunately this aggressive loss leading pricing still exists today because some manufacturers don't understand well enough the cost of doing business and sadly are delaying the inevitable.
I must admit that I don't have any sympathy for these companies going to the wall as a result of winning a job at any cost, and even less sympathy for builders who screw them down to such an extent. These builders pay a big price when a pod company goes bust on their job and I have been in discussion with another one that is on the verge of liquidation as late as yesterday.
If anyone (contractor or builder) would like to discuss with me anything to do with pods then I am available on a consulting basis. I also have the complete electronic cost and quality control systems available on a subscription purchase that have protected our business from administration as well as an excellent tool for QA management electronically and is used in other manufacturing businesses now which has been designed specifically for Modular Building.
Bryce Hawkins
Previous General Manager
Project Modular
[email protected]
Ph. 0433 130 030