February 25, 2020

Building the UK’s Largest Independent Builder’s Merchant

2020 marks the 25th Anniversary of MKM Building Supplies Ltd, the UK’s largest independent builder’s merchant.  Executive Chairman, David Kilburn looks back over the 25 years and shares some of the milestones and memories that have gone into constructing one of the building trade’s best-loved brands, and one of the

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30 Years in Construction Recruitment by Sarah Harvey

Sarah Harvey has thrived for 30 years in construction recruitment. Find out how she achieved this feat and how the industry has changed over the decades. When I took my first construction recruitment job in 1989, I would never have imagined I would still be in the industry 30 years

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Kensa and Together Housing Shortlisted for Award

Kensa and Together Housing Shortlisted for Award

Kensa Contracting and Together Housing are delighted to announce that they have been shortlisted for the H&V News ‘Renewable Project of the Year’ Award for their multi-site renewable heating upgrade programme in social housing across Yorkshire and Lancashire. Now in their 26th year, the prestigious H&V News Awards are an

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Latest Issue
Issue 323 : Dec 2024

February 25, 2020

Building the UK’s Largest Independent Builder’s Merchant

2020 marks the 25th Anniversary of MKM Building Supplies Ltd, the UK’s largest independent builder’s merchant.  Executive Chairman, David Kilburn looks back over the 25 years and shares some of the milestones and memories that have gone into constructing one of the building trade’s best-loved brands, and one of the UK’s fastest growing businesses. “In 1995, my favourite sound was the ring of the fire-bell going off in the warehouse. It meant there was an order!” said David.  “As for any fledging business, in the early days orders are everything. And, after closing our first month with a trading profit and haven taken a healthy £123,000 – I am delighted to say 25 years later, we have never been short of orders and never looked back.” In many ways, the MKM of 2020 is almost unrecognizable from the first branch that opened in Hull in 1995.  For a start the first branch sold caravan supplies rather than building supplies, which MKM is renowned for today. There was a small team of 5 people working from rental premises, which had been secured for 9 months to get the business off the ground. David recalls: “ Ironically, the premises belonged to an MKM competitor William Wilson. We signed up for 9 months but were still there 18 months later, at the time we were just glad not to be chucked out!” Today, MKM Building Supplies employs over 1650 people and last year recorded sales of over £460 million.  Already this year MKM has opened its 70th branch and has ambitious growth plans to be operating 100 branches by 2021/2022. Aside from the phenomenal success story and exponential growth, according to David many things haven’t changed at all over the 25 years. “Since day one, our company culture has always been very people focused, how we treat people has remained exactly the same. Every single person is important no matter what their role … our people are our biggest asset.” David added: “Technology and the digital age have of course altered things, but our teams still do the majority of business either over the trade counter or on the phone. That may change in years to come, but essentially people buy from people.” “Relationships are key, our customers trust us to deliver quality products with great service as their own businesses rely on it – our teams appreciate that and make customers the priority. More so than any other industry, this is a people business and good relationships are the absolute bedrock of that business.” MKM was built on the concept that skilled, local people who understand the needs of local customers should serve the local trade. MKM is differentiated through its unique business model, centered on branch directors owning an equity stake in their branch with opportunity to share in profits. David believes empowering people and supporting their entrepreneurial spirit has been a key driver of growth. By 2005, MKM had opened 15 branches, five years later in 2010 a further 17 branches had been opened and by 2018 MKM Building Supplies had 54 branches throughout England and Scotland – the brand new MKM Grantham marks their 70th branch. David recalls: “Our biggest challenges in the early years were always time and money. If we had more of both earlier we would have grown more quickly, but it is important to keep a level head and not get ahead of yourself. We always prided ourselves on paying suppliers and staff on time, even though both my business partner and myself often took a reduced salary.” Business wasn’t always plain sailing, in 2008 almost every industry in the UK fell victim to what the media dubbed a ‘double dip recession’. The building and construction industry were hit hard, their performance acted as a barometer for the economic downturn and went into meltdown. David commented: “In 2008, we were acutely aware that external factors, beyond or control can take a serious toll on business. It seemed the entire financial world collapsed, our own industry went into a desperate panic with many of our competitors laying off 30 to 40 percent of their people.” “We took the decision not to take action. We decided to back our people and ride out the storm and were confident that business would eventually pick up… which of course it did. While the majority of the industry seemed to lose up to 40 percent revenue, I’m glad to say we did fare better and suffered losses of up to 11 percent, relatively unscathed in comparison.” Looking forward, MKM has an ambitious growth programme to open a further 30 branches in the next two years. David said: “Today, we still face challenges. We have an expansive growth programme but finding good properties in good locations can be a challenge and planning applications can be very slow, which frustrates progress.” “However our mantra, which we instill in all of our teams is to have fun at work. Indeed, some of the most demanding times in business have also been the most enjoyable. Some of our best times were in the early days – negotiating manufacturing deals, securing credit with the banks and often coming up against brick walls, whilst driving a couple of old bangers to collect building materials and grafting to sell. Working hard, but having fun is very much the MKM culture.” While looking forward to the opening of their 100th branch, David also believes there are growth opportunities ahead for MKM with acquisitions, developing new product lines and developing the kitchen and bathroom offering. David concluded; “Our own recipe for success, now fine-tuned over 25 years has been giving customers what they want, employing and retaining the best staff, engaging people in profit generation activities and of course having fun at work – which we certainly do!”

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30 Years in Construction Recruitment by Sarah Harvey

Sarah Harvey has thrived for 30 years in construction recruitment. Find out how she achieved this feat and how the industry has changed over the decades. When I took my first construction recruitment job in 1989, I would never have imagined I would still be in the industry 30 years later. Thriving for three decades in this role is rare, as it’s such a tough, competitive environment to work in. My time in construction recruitment has given me a unique insight on the industry as a whole, and I wanted to discuss the evolution I’ve seen and the changes I still want to see. As we approach the end of an uncertain year, we’re hoping 2020 will be reinvigorated through political clarity. For construction talent, be it permanent or temporary staff, if you do a good job and add value, you win through. Construction An Improved Landscape The industry has undergone a major image transformation over the last 30 years and has emerged as more professional and respectable. The industry we know today is process-led, policy-driven and digitalised. The culture of the late 1980s has been largely overhauled, and as a result, we all work in a more positive sector. Whilst policy is a must in order to mitigate risk, there is a feeling that policy can be more of a tick-box exercise with the clear exception of health and safety. We have seen a complete behavioural overhaul of health and safety, and rightly so. The standards have skyrocketed, meaning workers are happier, more productive and significantly safer in their roles. Equally, 30 years ago, there was no such thing as having records and plans stored digitally. Advancements in technology have enabled plans to be viewed in 3D, making it more efficient to plan and develop construction projects. The concept of construction management software has also revolutionised the industry. It allows different parties to collaborate on projects with more ease, which means they can make necessary changes much faster. We also talk about equality, diversity and inclusion, and wanting to attract more women into construction. Fortunately, how the industry treats its stakeholders is worlds apart from where we were in the late 80s. Industry leaders who are stuck in their old ways still exist, but thankfully, they are now few and far between. They need to be as they actively deter females from the industry and cause good staff members to look for better prospects elsewhere. Where We Need to Build a Better Industry Culturally, the industry has improved, but there are issues that still need to be resolved. I think the way parties interact with each other has remained largely unchanged with confrontation still rife. Because of this, the industry loses talent that doesn’t cope well in harsh cultures. Being overly tough just isn’t the right approach for today’s talent. The industry has been very slow to adjust here, despite claiming otherwise. Staff retention hasn’t improved massively over the years, but if we adapted the same zero tolerance approach to poor management as we do to health and safety, workers will be more inclined to stay in their roles. People often tell us they feel like they’re in a straight-jacket, unable to offer ideas or honest feedback for fear of it putting a black mark against their name. Similarly, there are widespread comments that people feel like their appraisals are rushed and merely part of box-ticking process. Whilst policy is key to compliance and risk mitigation, there needs to be a greater level of sincerity around policies. We have to take them more seriously instead of using them to simply satisfy legislative criteria. I can still remember how fondly professionals spoke about their careers in the late 80s and 90s. Despite how far the construction industry has advanced, it doesn’t feel like workers these days have the same sense of team spirit and respect for each other. There seems to be a worrying sense of disillusionment with how they’re treated, with company politics and what many consider to be overkill on process. Talented professionals feel stifled and that their roles are now less skilled with the growth of automation processes. I knew many site engineers, site managers, quantity surveyors and the like who are now senior industry leaders. It seems the generation of yesteryear had a real appetite to progress, but these workers are now within a few years of retirement. As a general observation, I think those who have come through the industry in the last ten to fifteen years don’t have the same desires. This is concerning as it poses a potential problem for sourcing future leaders and begs the question as to why people don’t want these roles. It’s highly unlikely they don’t want an increase in salary, bonuses and kudos. It’s more than likely they don’t want to deal with the complicated processes, backstage politics and blame culture that many perceive comes with career progression. Towards the end of the 80s, late payment was rife. We still hear about poor payment issues today, which is leading to the same business failures we saw three decades ago. Payment has improved on the whole, but I feel it may have regressed in 2019. We talk about fair treatment and timely payment, but there are still behaviours that fly in the face of these principles. Recruitment: The Success and Failures of the Industry The recruitment industry has also evolved a great deal during my three decades in the business. When I first started out, recruitment was completely paper-based, and sales offices were smoke-filled dens of relentless, high-pressure sales activity. The role was purely phone–based and job boards were unheard of. The way in which jobseekers look for new roles now has certainly changed. Over the last few years, I have witnessed the rise of job boards, applicant tracking systems, portals and social media — LinkedIn in particular. Previously, advertising was mostly confined to industry magazines, and anyone looking for a different job would need to look at

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Kensa and Together Housing Shortlisted for Award

Kensa and Together Housing Shortlisted for Award

Kensa Contracting and Together Housing are delighted to announce that they have been shortlisted for the H&V News ‘Renewable Project of the Year’ Award for their multi-site renewable heating upgrade programme in social housing across Yorkshire and Lancashire. Now in their 26th year, the prestigious H&V News Awards are an annual celebration of excellence, forward thinking and the highest achievements across the HVAC and building services industry. The largest retrofit ground source heat pump programme of its kind to date, this three year, ongoing, project involves the install of 1,000 ground source heat pumps in social housing residences at 12 locations across Lancashire and South and West Yorkshire. Displacing night storage heaters with a Kensa Shoebox ground source heat pumps fitted inside maisonettes, houses and flats, with each of the heat pumps connected to shared ground loop arrays, where two or more properties share a borehole. Kensa’s retrofit work with Together Housing will save tenants on average 45% in heating costs, making a substantial impact on fuel poverty and carbon reduction targets. Using current SAP methodology, the lifetime carbon savings of the project have been calculated as upwards of 44,858tCO2. As the grid further decarbonises with the increased levels of renewable capacity, the carbon impact of the heating will be further reduced. Kensa’s innovative shared ground loop array method allows residents independent heating control and the freedom to switch energy suppliers, whilst also creating access to the Government’s Non Domestic Renewable Heat Incentive (RHI), which will allow Together Housing to fully recover their capital costs and create a regular income stream for 20 years to potentially fund further property improvement measures in the future.  Together Housing resident June Wilson said: “The heating system is amazing. Before it was difficult to heat up more than one room, but now I don’t have to worry about that.” David Broom, Commercial Director of Kensa Contracting, comments: “Kensa Contracting has pioneered the use of ground source heat pumps in social housing, developing the capability to deliver increasingly ambitious market-leading projects; this project is the largest of its kind delivered to date. This scheme has been a true partnership of client and contractor working to achieve a shared goal of decarbonisation, reducing fuel poverty and providing affordable comfortable homes, through the adoption of British-manufactured renewable technology.” Patrick Berry, Managing Director of Together Energy, added: “It is great for this project to be acknowledged for this award because the impact of it has been fantastic for residents’ day to day lives as well as the environment.” “With 14% of the UK’s greenhouse gases coming from households, it is great to be leading on a project which shows that it is possible to reduce existing homes’ carbon footprint.” Winners of H&V News Awards will be announced on the 30th April 2020.

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