BUSINESS REVIEW
SUSTAINABLE WASTE MANAGEMENT
Greenstar North America, a leading specialist recycling organisation in North America, has weathered an unprecedented level of market turmoil in the past year, including a decline in economic activity and historic reductions in commodity prices. The business has responded to these challenges with a series of decisive actions, while continuing to invest in the build out of its platform in recognition of the long-term opportunities for strong participants in the North American recycling market.
Acting Chief
Executive Officer
Greenstar (North America)
Mike is a seasoned business leader in the waste management sector and since 2001 has been actively involved in the development of all Greenstar Group businesses in Ireland, the United Kingdom and United States.
In response to immediate trading challenges, the business undertook a root and branch review of all operating costs, achieving savings of upwards of 30% year on year while continuing to enjoy volume growth of more than 20%. It also implemented a comprehensive profit protection programme including successful hedging and expansion of its commodity market customer base. These activities have been supported by drives to enhance operational excellence and financial controls, including the integration of operating systems through significant investment in technology across the company, following a period of rapid growth by acquisition.
Greenstar views the year as a challenging year in a market that otherwise has strong fundamental forces for growth. North America’s recycling rates fall more than 50% behind those of Europe, the mid-term commodity market forecasts are for shortages and consequent price rises and the competitive environment is fragmented. It is against this framework that Greenstar North America has continued to complete its investment in its single stream and upgrading facilities and integrate its more recent acquisitions. Significant milestones include the commissioning of the San Antonio, Texas facility, one of the largest single stream facilities in North America, as well as the upcoming development of its facility in Des Moines, Iowa and the fitting out of a glass upgrading plant in Allentown, Pennsylvania.
With a footprint of six strategic large-scale state-of-the-art facilities stretching from Houston to Pittsburgh, supported by a network of a further 10 facilities, the business is in a strong position to continue its rapid organic growth. Its ambitious sales programme has successfully secured a number of city and municipality contracts throughout the year, has grown its customer base to over 4,500 and the business sees further opportunities in leveraging its strength and unique portfolio by partnering with the more traditional waste management providers to offer the highest quality recycling service in the country.
