Indholdsfortegnelse for June 2018 i NZBusiness+Management

If you’re an Auckland business owner, a lot of what you’ll read in this month’s cover story will come as no surprise. Depending on where your business is located, you may have already been experiencing the frustrations and fallout from Auckland’s construction boom – it seems there is a tower crane on almost every commercial corner, and a lane blocked on every street. The purpose of our ‘City of Cones’ story is to acknowledge the all-round difficulties Auckland’s growth is causing businesses; to give the issue some perspective and to provide some practical solutions in order to successfully trade through the disruption. There is help out there if you ask for it. Auckland has never seen growth on the scale it’s witnessing today – construction is happening everywhere you look…

For Robbie Carmichael, the road to opening his own design studio may have been long and winding, but the lessons learnt along the way have put him in a far better place today to serve business brands. As a youngster he always had a love for art and design; his imagination was encouraged from an early age. “Everything was possible, nothing was mere fantasy, and who was anyone to tell me otherwise?” he remembers. When asked what he wanted to be when he grew up, the answer was always “architect”. But life and school curbed his enthusiasm, and when he left school he held a number of different jobs – from filmmaker to personal banker – the latter teaching him to “never treat people as numbers on a sales board”.…

In 2018 Auckland’s fast-growing pressure cooker business environment continues to throw up trials and tribulations for business owners. NZBusiness spoke to several business support agencies to gauge the frustration and suggest ways businesses can work through the disruption. Auckland is a battleground for businesses. Blame unprecedented population growth (between 2011 and 2016 increasing by more than 10.6 percent) coupled with a long history of visionless underspending on infrastructure, and a geography ill-suited for a large metropolis. In 2018 Australasia’s fastest growing city is in catch-up mode – and for business owners, this equates to even more stress and frustration, not least of which the disruption caused by those dreaded orange cones. Of course, the degree of angst for businesses varies greatly – from infrastructure works directly cutting the flow of…

• Get better at situational awareness – Keep your ear to the ground. Make it your business to understand your city’s unitary plan and its consequences for you. • Hire a strategic partner – Somebody who can analyse the numbers (e.g. foot traffic to profit ratio) and coach you in best practise for your business. Someone to keep you accountable. • Plan – Understand your end game and the goals to get there. Include a brainstorm about what might go wrong or what issues could arise. Then you’ll be able to put measures in place when interruption happens. • Consider all alternatives – For example, if you sell coffee and depend on foot-traffic, consider how else you might reach your customers. Through a small website perhaps; delivering coffee by hand; or visiting local offices…

WHEN MY WIFE and I arrived in New Zealand almost 30 years ago, we never intended to stay. We had allowed just six weeks to see the country from Cape Reinga to Bluff, but New Zealand’s beauty, its beaches and its people got into our souls and, after an additional two weeks stay in Golden Bay forced upon us by a ferry strike, we decided to apply for residency. “In many franchise systems some of the most profitable outlets in New Zealand are located in the regions rather than the major centres.” “We can live anywhere but Auckland,” we told ourselves. We’d done enough city living in London. Well, the inevitable happened and I was offered a job in Auckland. But we stuck by what we had said and went…

I WAS POISED to write on another subject for this column until purchasing a newspaper this morning. Spain (where I live) is much like New Zealand in that its population distribution and growth is skewed. In the case of New Zealand, Auckland, Hamilton, Tauranga and Wellington continue to grow as the population in other centres languishes and small towns struggle. It is the same in Spain – Madrid, Barcelona and Valencia (the three largest cities) continue to increase population while all other provincial cities decline. Small towns (pueblos) are diminishing rapidly and a small but growing number have been abandoned. This ‘city drift’ poses real problems for governments the world over as resources get directed to the hot spots, many of which struggle to provide basic infrastructure – hospitals, schools,…

There are plenty of examples of what standing for good environmental, societal or governance practices can do for a business. Just ask Ben Gleisner. He’s an economist, environmentalist, social entrepreneur and CEO and co-founder of Conscious Consumers, a movement with more than 20,000 consumer members, 550 accredited businesses and 150 suppliers in New Zealand, which is about to launch itself into the United Kingdom market. Conscious Consumers is all about connecting consumers who care about the environment and the greater good to businesses that want to make a difference in the world. For businesses it helps show them the return on investment that comes from supporting good environmental, societal and governance issues. Gleisner says it’s also about consumers influencing those businesses through the power of their spending. Under the Conscious…

WHEN DISCUSSIONS AROUND diversity fire up, particularly diversity at senior leadership levels, it doesn’t usually take long for the word “merit” to be uttered. “We appoint on merit”, “we promote on merit” are the phrases trotted out. Gone are the days when your family ties, race, religion or wealth could open up opportunities unavailable to others. Merit is seen as an objective measure where everyone has a chance of getting to the role they aspire to as long as they put in the work. If there’s a lack of diversity then it’s because there aren’t the candidates with the skills for the job. It’s something I’ve talked about in my role as Dean of the AUT Business School. My faculty executive team has flipped the gender balance, but I’m quick…

Sometimes, as a non-CEO, I find it daunting to think of the legion of areas that a CEO must deal with. Not only does he or she have to deal with the juggernaut that is AI and automation and the implications around that, but there’s also rapidly changing employment trends; ongoing growth of the business and its people; increasing sensitivity around customers’ privacy; diversity in all its forms; gender balance and the very big geopolitical strategic picture. There’s also the shift in corporate reporting towards a more holistic style where environmental, societal and governance are seen as part of a company’s ongoing risk management strategy. This is the focus of our lead story this issue where we delve into how one company is hoping to drive real change through consumers…

“The challenge for a designer in a digital world is creating a brand identity that feels authentic, unique, and most importantly, tangible. Rising to that challenge is what Black Slab does so well. “Just as words can elevate and inspire people, design can liberate a business or brand. So when I approach new clients, I say to them, ‘If you have no other point of difference, make your difference great design’. “One of my favourite designers, Paul Rand, once wrote, ‘A special point of view is as important as a special skill in achieving distinguished work’. “I have made those words my studio philosophy. For my point of view, like yours, is different from anyone else’s.”…

JOYN.CO.NZ was born out of a traditional recruitment agency, and last year morphed into a range of technology tools based around the existing human HR expertise already in place. It makes consultants even more efficient and gives clients greater control, transparency and cost savings, says Joyn director Jonathan Rice. Joyn’s unique offering delivers better capability, adds Rice. Eighty consultants nationwide provide expert recruitment or HR support for businesses in most sectors. “Once we understand a client’s business and requirements we match them up to the best-suited consultant, who’ll then partner with them going forward.” Rice says they can typically deliver successful project outcomes for less than half the amount charged by traditional, generalist recruitment agencies. “It’s a more ethical approach,” he says. “Our consultants are not fee-driven or working…

‘Full service’ means everything from product design, marketing strategy and analysis to social media measurement, KOL and celebrity marketing, word-of-mouth marketing, e-commerce strategy and execution, livestreaming and event management – to reach consumers not just the mainland China market, but also the local New Zealand China market. Marketing director and co-founder Rae Ling has more than ten years marketing experience based in New Zealand; while accounts director and co-founder Janet Chen has more than a decade of e-commerce and online experience in China. They fully understand Chinese consumers and the social media/e-commerce landscape in China – therefore eliminating time wastage for Kiwi clients. Rae and Janet’s ‘do’s’ for companies looking to establish their brand in China’s digital marketplace include focusing on: • Search engine optimisation (SEO) – to optimise your…

MORE AND MORE, customer experience is becoming the difference between organisations that win, and organisations that become extinct. Unsurprisingly, this shift in expectation began in the service, hospitality and retail industries. However, the rapid rise in e-commerce means no industry is safe – not even those typically exempt from worrying about the customer experience. The question is, for product-based businesses who don’t always have contact with the client, how can customer experience be enhanced? The answer lies in packaging. Here’s how: “The question is, for product-based businesses who don’t always have contact with the client, how can customer experience be enhanced?” 1. Consider individual needs The reality is, not all your customers will be using your product for the same purpose. That’s why the most straightforward way to ensure a fantastic…

For us diversity and inclusion is key to being a successful business. Flexible roles have made it easier for our people to balance personal priorities, such as family, with the needs of the business in a way that works best for them. We’ve found that happier employees have higher productivity and better focus because they’re able to be their best selves at work. Normalising flexible working for men is key to managing parenting responsibilities and empowering women. Personally, it has allowed me to balance what is the most important role for me, being a father to my three children, and my position as managing director at Unilever. More companies should be investing in similar initiatives, like flexible working, as it helps to build a gender-balanced organisation and empowers men and…

Ethics is also increasingly evident in the investment sphere. At the Institute of Directors annual conference Michelle Edkins, the MD and global head of the investment stewardship team at BlackRock, outlined why her organisation sees ESG considerations (environmental, social and governance) as integral to its investment stewardship activities. Blackrock is the world’s largest institutional investor managing over US$6 trillion in funds and, while Edkins address to the IoD conference was under Chatham House rules, in January this year BlackRock’s CEO and chairman Larry Fink sent an open letter to CEOs calling for corporations to serve a social purpose. He said in the letter (see www. blackrock.com) that society is demanding that companies, both public and private, serve a social purpose. “To prosper over time, every company must not only deliver…

Could your employees be under the influence at work, endangering themselves, other employees and your clients? In the United States and Canada there is reportedly an opioid crisis which has seen a rapid increase in the use of prescription and nonprescription opioid drugs. And the corporate sector is not immune. Kirk Hardy, CEO at The Drug Detection Agency (TDDA), sees this as something New Zealand businesses need to be keeping an eye on, as opioids and other prescription drugs have an impact on someone’s ability to make sound decisions and may affect reaction times. While his company does a lot of work across multiple industry sectors, there is also increasing interest from the corporate sector at a senior level where they are testing for methamphetamine, cocaine, cannabis and prescription medications…

As the climate changes, the complexity and risks of running a business are ever-increasing, but those risks vary from region to region. Here in New Zealand and around the world we’ve seen an increase in seismic activity and the severity of storms and other weather events. As a result, NZI’s Executive General Manager, Garry Taylor says insurers had a record number of natural disaster claims last year, including claims from extreme weather events and residual claims from the Kaikoura and Canterbury earthquakes. But, he says, certain areas of the country are more prone to different types of risks and are therefore claiming more. “Some regions are more susceptible to floods or earthquakes, so it raises the question of how to share the costs associated with the losses from these events?”…

“ People tell me I’ve helped change their life. It’s insane to me that I help inspire people." As careers go, it began rather unremarkably. Invercargill girl Sharna McElligott started out in the travel business, working for an agent in Sydney, before ‘falling in love with’ and studying health and nutritional medicine. But after two years of study Sharna was diagnosed with myalgic encephalomyelitis (ME) – or chronic fatigue syndrome – an illness that has no cure and affects around 20,000 sufferers in New Zealand. ME attacks the nervous and immune system – resulting in extreme tiredness, memory loss, and muscle and nerve pain. Back in New Zealand with her family, aged just 23, she moved to Auckland to study, but soon found herself working for a North Shore café…

Glenn Jones Art is a family-centric, Internet-based business that operates from an office and the kitchen table in the Westmere, Auckland villa of Glenn and wife Julia. Production and shipping are farmed out. The business doesn’t hold stock, has no employees and is self-funding. Glenn and Julia are living the ‘Kiwi Dream’ – and some. The business is extremely successful. Glenn has produced more than 300 art pieces and they’ve sold more than 20,000 prints. And that’s just their local enterprise. His inspiration? Taking the familiar and the quirky from everyday life in New Zealand, adding a touch of humour and “adding his own spin”. Ex-Takapuna Grammar (post-school he studied commercial art at Auckland’s Technical Institute but never completed the course), Glenn’s career took him through the rural press, a…

MYHR DELIVERS a combination of HR software and human support – “providing ‘tailored’ services in much the same way as a consultant on in-house HR team, but without the cost,” says Ennor. “Our ability to scale gives us a rich body of live information to ensure we’re always across, not just employment law, but best-practice, trends, case law and risk areas.” When he founded MyHR in 2013, Ennor says New Zealand’s HR services industry for smaller businesses was “quite stale”. “It offered only high-cost bespoke services or cheap DIY services, neither delivering quality solutions in a cost-effective way. One traded off against the other. “The obvious solution was the use of tech, yet we also found an abundance of HR tech that simply digitised traditional manual processes, rather than transform…

Hip Group is a hospitality goliath turning over $40 million annually from 12 sites across Auckland, and employing nearly 500 people. If they do not grow it, bake it or make it, they source it direct from the farm to the table. Fourteen years ago though, Hip Group was just a neighbourhood nipper, a humble sum of one called Café on Kohi. The dream then is the same now; “to create really great service in a casual café environment”, says co-founder Jackie Grant. It’s clear that the success of Hip Group has been built on values like empathy, courage, curiosity and truth. “Everything has been a learning curve,” she says. Continually asking “What would we like here?” backed up by an uncompromising sustainable food philosophy has been credited by Jackie…

IN THE “good old days” marketing brought in leads and the sales department made quick work of closing a sale – converting those leads into customers. Nowadays, however, it’s safe to say that times have changed. Sales cycles and lead times have grown, and doing deals has become more complex. Add to this, too, the fact that marketing activities are having a more difficult time generating genuine leads – warm leads where customers are even close to ready to buy. So, why is this? My theory is that we – consumers and customers – are sick of it. We’re sick of the snake oil, the trickery, the noise online, the lack of relevance, the lack of understanding, the lack of genuine effort. Businesses everywhere are acting like they are trying…

New Zealand is the least corrupt country in the world, but it needs to learn from larger fintech markets like Australia, Singapore and London and more rapidly adapt to technologies such as blockchain and cryptocurrencies, a Kiwi fintech expert says. While New Zealand is just a very small part of a large global fintech market we have advantages that are enabling the growth, FinTechNZ general manager James Brown says. New Zealand companies have close working relationships with its regulators and a well-connected, vibrant fintech ecosystem that brings the large banks, the startups and the government together, Brown says. “Transparency will be critical and as New Zealand is ranked number one in the world along with Denmark as the most transparent and least corrupt country by Transparency International we are well…

A BOARD COLLEAGUE of mine recently commented that ‘Leadership roles are so much harder these days’ to general agreement around the table. It’s one of those things that everyone knows isn’t it? Afterwards I found myself querying this view and wondering why she thought that was the case. Everything she mentioned to support her view was in existence when I was in ‘corporate’ life and has been the subject of many coaching conversations since I left that world and went out on my own. And that’s been a long time. So nothing was new. Certainly, when I work with leaders around the country I see that many work long hours and have a fair amount of stress in their life. In my first job, an 80-hour week was normal so…