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Cameron Aitken and Zarko Milakovic discuss integration, delivery and modular growth.
Three years after acquiring a regional modular construction business, Modular by SHAPE has rapidly expanded its presence in the market while still refining what its long-term modular construction model will look like. Rather than rushing into large scale automation or highly industrialised manufacturing, the business is focused on strengthening delivery, building internal capability and identifying where modular construction can deliver the greatest value within the broader Australian market. (main image: Cameron Aitken, Group Manager – Modular (L) and Zarko Milakovic, General Manager – Modular, Victoria).
For Cameron Aitken, Group Manager – Modular, the first challenge was integration.
“We bought a family-owned business that had been operating for 30 years,” he says. “Then we brought it into a national construction company with established systems, ISO processes and a completely different operating structure. That in itself was a huge challenge.”
The acquisition marked SHAPE’s first move into modular construction manufacturing, requiring the business to reconcile traditional construction management systems with a manufacturing-based workflow.
“Simple things like integrating accounting systems, safety systems and procedures took time,” Aitken says. “You’re trying to align a factory environment and a modular construction business with the way a large national contractor operates.”
For Zarko Milakovic, General Manager – Modular (Victoria), the decision was ultimately about consistency and scalability.
“The question early on was whether we leave the business operating the way it always had, or whether we integrate it into the SHAPE systems and standards,” he says. “Cam and I came from the SHAPE side of the business, so we understood the strength of those systems and what they could bring to the modular operation.”
That integration also gave the modular division access to SHAPE’s broader national network, including internal business development teams, delivery systems and operational processes.
“We wanted to create alignment with the wider SHAPE business,” Milakovic says. “That gave us the ability to tap into the broader company’s national capability, delivery systems and experience while still continuing to strengthen the modular side of the operation.”
Watch SHAPE Australia’s recent handover of Biyani House in Revesby, Sydney, delivered as a modular crisis accommodation project in partnership with Women’s Community Shelters.
Building culture before industrialisation
That integration has reshaped both culture and delivery processes inside the business.
“When I started, there were areas of the business operating quite independently,” Milakovic says. “What we’ve worked towards is creating a much more collaborative environment where lessons are shared and improvements happen collectively as a team.”
Aitken says that shift has been deliberate and central to how the business now operates.
“We openly talk about mistakes and what went wrong,” he says. “No-one loses their job because something failed. The important thing is learning from it and making sure that knowledge gets shared across the business.”
Through trial and error, the business has also reworked its modular systems several times over the past three years as it refined manufacturing and site delivery processes.
“We’ve refined our system multiple times as we continue improving how we deliver modular projects,” Milakovic says. “If someone on the floor suggests a better way of doing something, we’ll adopt it quickly. That continuous improvement mindset has become a real strength of the business.”
That flexibility, he says, remains one of the strengths of the operation.
“We’re still learning what works best for our clients and for the markets we’re operating in, and we continue improving from there.”
That operational reset has also influenced Modular by SHAPE’s broader strategy. While the business is exploring automation, robotics and industrialised manufacturing systems, neither Aitken nor Milakovic believe the Australian market has fully settled on a single scalable modular model.
“We’re not convinced the Australian market has completely cracked a single scalable model yet,” Aitken says. “What we’re focused on is continuing to strengthen our delivery capability while investing in innovation and research that will support the next phase of modular construction.”
Refining delivery and preparing for growth
Instead of immediately pursuing large scale industrialisation, Modular by SHAPE is concentrating on refining its existing delivery model, particularly across education, community facilities and government-backed projects. The team is also exploring how the advantages of volumetric modular construction can be applied across market sectors where there is growing demand.
“Education has been a big sector for us,” Milakovic says. “Community facilities as well. Those sectors have allowed us to refine our systems and continue building repeatability into the business.”
The company has also expanded operations into South Australia as part of its broader national growth strategy, with Milakovic noting that the business does not necessarily see standardisation as requiring every state to operate identically.
“We acknowledge that different states can operate differently,” he says. “They can develop their own methods and improve on those systems. If there’s something worth adopting, we’ll bring it across.”
Aitken says the business is particularly focused on how modular construction can unlock new opportunities in sectors that benefit from repeatable building typologies.
“There’s a real opportunity to apply multi-storey volumetric modular construction in sectors like the living sector and other forms of commercial accommodation, where repeatability, speed and quality can deliver significant advantages,” he says. “Our focus is on developing innovative modular systems to provide a strong alternative for clients in those markets.”
That uncertainty is also tied to how modular projects continue to be procured in Australia.
“A lot of projects are still being tendered as one-off opportunities,” Aitken says. “For modular construction to really scale, there needs to be continuity and volume.”
Despite the evolving market, both Aitken and Milakovic remain confident in the long-term direction of the sector.
“We know what we’re good at,” Aitken says. “The priority now is continuing to strengthen that capability while preparing the business for the next phase of growth.”
Milakovic sees culture as central to that progression.
“Every person here is proud of what they’re delivering,” he says. “That’s what keeps pushing the business forward.”
Company sources said Modular by SHAPE has continued to expand steadily, with revenue exceeding $63 million as at 30 April 2026, more than doubling the FY25 full year result of $30.6 million. The business is also continuing to invest in modular delivery capability nationally alongside research and development into construction systems and manufacturing processes aimed at supporting future scale.
Find Modular by SHAPE HERE
