FROM humble beginnings in 1956 as a backyard machinery repair shop to the internationally-respected business it is today, Allora-based Denny’s Silos and Engineering is a fair dinkum Aussie success story.
At the Ag-Grow field days owner/operator Bob Denny spoke to the North Queensland Register about the most important decision he has made regarding the future direction of the business.
“It would have been close to 18 months ago now when the Japanese Satake Corporation approached me about selling the business,” Bob said.
“I was in between Injune and Roma when I got the call, so I told them I’d think about it and get back to them,” he said.
After discussing the idea with his family, Bob decided to sell.
“The opportunity was too good to pass up, I’d starting thinking about my retirement plans so that played into my thinking as well,” he said.
The 125-year-old Satake Corporation is a global leader in the rice, wheat and maize milling industries with over 2,500 employees and a presence in all major agricultural regions in the world.
The deal provides Satake access to world class bulk handling and storage equipment, further enhancing their capabilities as the leading Asian supplier of rice and grain handling solutions in the world.
And it also gives Denny’s access to a new global and expanded domestic sales network with particular focus on South East Asia and the Pacific Region, providing the perfect growth platform for Denny’s to take advantage of opportunities in the much touted "Asian Century".
Dennys will continue to operate normally with a strong focus from both sides that the nature of the existing business is to be preserved; retaining the elements that made Dennys a successful business over several generations.
“The current staff will continue on in their current roles, which was an important part of the deal, as many of them including my sons have young families and many others have been loyal members of the crew for decades.”
The sale marks the end of a journey that began back in 1956 when Don and Marian Denny started their engineering works in Allora dealing mainly with farm machinery repairs from a shop they constructed behind their house.
The Denny’s created a strong and reliable business which grew steadily to the point that they purchased land two doors up from the house and constructed what was a “fairly big shed for back then” according to Bob.
By the early 60s the business was successful enough that the Denny’s hired another staff member to help with the workload, and then in 1965 a fresh-faced Bob joined the crew as an apprentice fitter and turner.
“My brother John joined the business in 1967 and stayed for 12 months before pursuing a career in the automotive industry as an apprentice mechanic,” Bob said.
In 1968 the business began to shape into what it is today with the construction of their first cone-based silo taking place, they also started manufacturing mobile augers at this time.
Bob remembers that the first person to buy both a silo and an auger from the business was a man named George Bell.
“Initially we built a 50T model, which was closely followed by a 70T variant and by 1978 we were building 100T versions and they continued to increase in scale from there to the point where we can manufacture 5000T silos,” he said.
Around the same time the grain handling equipment arm of the business flourished and the business started manufacturing augers and belt conveyers among other equipment in large quantities to meet the ever growing demand.
“After mum passed away in 1989, dad decided it was his time to retire and he handed the business over to me in the early 1990s.
“He was so passionate about the business that he continued to help out until he was 86, he passed away in 2011.”
In the 1990s Bob’s two sons Greg and Michael joined the fold.
“Greg came on board as a fitter and turner, while Mick started out as a crane operator, rigger and welder.”
Today Greg manages the machinery shop and the robotic welder, and Mick is the manager of the silo shop. Bob’s two daughters Joanne and Rebecca and his wife Marion have also worked in the business at various times.
In 2005 Bob oversaw the construction of a new shop 2km outside of Allora which was designed specifically for silo manufacturing.
Between the machinery and silo shops Denny’s now employ 68 people; the business has certainly come a long way since Don and Marian started out in ’56, but Bob attributes a lot of the businesses success to the strong foundation that his parents laid.
“There have been very few low points throughout the years, we have been fortunate in that regard,” Bob said while reflecting on the five decades he has spent with the business.
“The high points are vast and varied but if I had to narrow it down I’d say the most rewarding aspect of the job has been the wonderful friendships I’ve forged with so many people; from those on the land through to those working within some of the biggest companies in the industry.”
“The employees have been a wonderful group to work with over the years; I don’t think we’ve really ever had a bad apple.
“We have two staff members who have been with Denny’s for 40-plus years, and six who have been here for at least 20 years. It might sound a bit corny but we really are like a big family, with sons and daughters of our longer serving staff also joining the fold over the years.
Bob singled out some of his longest serving staff for special praise.
“I’d especially like to thank Max Bielefeld, Brett Erhardt, Don Crawford, Ann Harragon and Albert Otten for their hard work, patience and mateship through the decades.
Denny’s officially settled the deal with Satake Corporation on July 1, with Bob set to stay on for at least two more years during the changeover period acting as head of sales and special advisor to Satake.
“I’ll act as a sounding board for the Satake people if they need help with any problems or queries that might arise.
“I’m excited to be able to devote more time to the design side of the work, and being able to travel more to talk to clients and attend events where I can raise the profile of Denny’s.
“I’m really looking forward to the challenges that lie ahead.”