Family matters: Paynter Dixon’s purposeful growth
Eroded by financial hardship in the 80s, the flagging company was rejuvenated by the arrival of the Boyd family. Groundbreaking concepts would initially transform the hospitality sector. Inhouse expertise would unlock new markets and partnering. And a son would follow in his father’s footsteps.
The end of an era
The 1980s promised a change of direction for Paynter & Dixon. Global economic recession had reached Australia, cooling the heels of manufacturing and industry.
The company had enjoyed almost 30 years of uninterrupted growth, partnering with industry to deliver factories and warehouses across the nation.
But as industrial work began to dry up, the company adopted a new priority for diversifying revenue streams. In 1982, the company made a small but notable change, removing the ampersand to create ‘Paynter Dixon’.
As a holding company, Paynter Dixon Holdings acquired a range of subsidiary companies to diversify revenue streams beyond design and construction. By the mid-80s, the parent listed 30 subsidiary companies.
Expanded operations included:
Concrete sawing and drilling services. Concut Pty Ltd introduced large-scale diamond tools for sawing and drilling purposes. Harnessed for roadways, airport runways and factory floors.
Cabinet makers and shop fitters. Broadway Shopfitters specialised in fitting out offices, shops and hotels. Up to 100 workers produced joinery on site, with projects including Queen Victoria Building, Sheraton Wentworth Hotel, and Commonwealth Bank at Martin Place.
Air conditioning. Dricon Air manufactured air conditioning equipment in Australia and New Zealand. Open Cycle technology developed in partnership with the CSIRO was patented around the world, and specialist systems were installed in hospital theatres, animal breeding plants, and laboratories.
Glazing. Express Glass was Sydney’s largest 24-hour glass operation. A fleet of 30-plus vehicles sped trade professionals to shops, schools and insurance claimants for urgent repairs.
Property development and management. The company developed shopping centres in Sydney, Mount Gambier, Adelaide and Brisbane. Office building developments followed in Perth, Sydney and Melbourne. Meanwhile, a property trust oversaw building maintenance and repair work.
Stepping up
As fate would have it, two men would set Paynter Dixon on a new course.
Garry and Brian Boyd were experienced business owners and co-founders of Alliance Constructions. The business was recognised as a leader of insurance repair work in Sydney, capturing the attention of Paynter Dixon.
Discussions between parties followed, and in June 1986 the Boyd brothers acquired more than 1.5 million Paynter Dixon shares as part of a cash-and-share deal.
In effect, Alliance Construction joined the Paynter Dixon group, with Garry and Brian in key executive positions alongside Michael Grace – of the renowned ‘Grace Bros’ retail family – as the new Managing Director of the holding company.
A fresh leaf
The management shake-up was timely. Described as “the most difficult year in our company’s history” by then Chairman William J Locke, Paynter Dixon reported its first ever loss – more than $8 million in the financial year. The losses were attributed to unprofitable contracts and joint venture arrangements, including an unspecified ‘major construction project in Victoria’.
Turning over a fresh leaf, the company relocated the Sydney head office from Clarence Street to Liverpool Road in Ashfield. Popular with the staff, the new digs provided easier access to clients and Sydney-based construction sites.
With oversight of operations, Garry Boyd prioritised the core business of design and construction. In essence: going on the ‘journey’ with the client, committing to their long-term goals, and providing a single point of responsibility in service delivery.
The vision
The Australian hospitality sector, widely dependent on ageing and outdated facilities, was poised for change.
Garry saw unrealised potential in the company’s expertise. In his words: “People are your business … and if your people are with you, it’s not that hard to build a business.”
He turned to Greg Howard. The then head of design had started with the company in 1960, studying architecture while learning on the job. In designing large-scale industrial buildings, Greg had an unparalleled grasp of circulation, logistics, and the connectivity of internal spaces – pivotal to efficiency in warehouses and factories.
He now applied these principles to the hospitality sector, designing venue spaces around the flow of services. “In the early days, clubs were typically a collection of siloed rooms,” recalls Greg. “It was common to have a bar in every room, which led to excessive staffing and supervision. By designing various areas which connected to a centralised bar, the club could reduce operational costs.”
Changing the sector
Big ideas and even bigger venues were appearing in the US. Operators were now integrating entertainment, gaming, bars and dining, hotel accommodation and leisure facilities into mega venues which operated 24/7.
Inspired by the US market, Paynter Dixon went on to introduce groundbreaking concepts of service diversification. The company’s pedigree in master planning – honed through decades of industrial clients – was also key to mapping out the future club.
A close partnership with the client was vital to achieving their long-term vision. Multiple stages of capital work projects ran into the years, and eventually decades. Beyond the growing sophistication of venues, club clients called on Paynter Dixon to build hotels, high-rise office towers, car parks, sporting stadiums and fields.
Family-owned
Without fanfare, the design and construction business transitioned to a family-owned company on 1 May 1992 with Garry Boyd as Chairman. In parallel, Brian Boyd carried forward the property investment and development activities in PAYCE Consolidated Limited.
Over the ensuing years, PAYCE has become a leader of urban transformation in Sydney, including landmark developments at Wentworth Point, East Village at Zetland, and the acclaimed urban renewal of Melrose Park.
Diversifying with D and C
Paynter Dixon’s impact on hospitality led to the successful expansion of design and construct services across sectors. Dedicated teams were established for Education, Aged Care, Remedial and Commercial work.
The new Millennium saw further expansion into Health and Community sectors, including crematoria and cemeteries. In 2012, the company relocated the Sydney office to North Ryde and refocused operations on NSW, with regional offices in Coffs Harbour and Canberra.
In the blood
As the youngest son of Garry, James Boyd was drawn to the family business from boyhood: “My luxury as a child was to head out to construction sites with Dad on Saturday. That really gave me a love for building.”
On completing school, James studied a Bachelor Construction Management at UTS while undertaking a cadetship – learning the industry and business from the ground up. Hands on experience spanned every discipline of the business, from design and estimating, to contracts administration and construction.
“My first job was to manage the pigeonholes of staff members, going back and forth from the fax machine,” says James with a smile.
In the following years he forged a career in finance and accounting before choosing to return to the family business in 2014, overseeing cost management and then business development.
From father to son
In 2019 after 32 years at the helm, Garry Boyd made the decision to retire. Humble to a fault: “I was fortunate enough to lead Paynter Dixon through a transition, and the company is here to grow.”
The continuation of leadership from father to son would underpin succession. According to Hospitality Business Development Manager of 30 years, Robert Clarke: “Garry has a knack with people. He can see someone after 10 years and greet them by name and remember details on a personal level. He makes you feel special, and James has this connection as well. It has always been about the relationship.”
As Chairman, James made the decision to relocate the Sydney headquarters to present day Rhodes, fitting out the open plan office to support collaboration. Today, he is taking forward the enduring qualities of Paynter Dixon within a thoroughly modern and diverse business operating throughout NSW, ACT and South Australia.
“Our DNA as a family obviously has a lot of input into this business, but our real goal as a family is to grow the business with our staff.”
Partnering with social purpose
Beyond design and construction, Paynter Dixon has embraced best practice in strategic philanthropy through partnership with PAYCE Foundation. Established in 2020, the Foundation works ‘with’ charities, providing financial and capacity-building support to service providers within the areas of addiction, domestic and family violence, homelessness and youth at risk.
Staff volunteering opportunities are also provided through major philanthropic partners including Thread Together and Clontarf Foundation.
The 110-year anniversary of Paynter Dixon belies a company young in spirit and committed to the long haul.
Stronger together in the future.
Concluding article: How is innovation shaping the current and future company?