Indholdsfortegnelse for November 2020 i NZBusiness+Management

As I write this (and hopefully as you read it) Auckland is considered back to ‘normal’, having slipped quietly out of Alert Level 2.5 to join the rest of the country at Level 1. The overall mood of the nation has certainly picked up since we published our August edition of the magazine. This latest quarter, culminating with the general election, has seen New Zealand migrate out of pandemic crisis mode into ‘let’s learn to live with it’ mode – and with it has emerged some remarkable business success stories. Tales of true resilience and initiative. This is why success and resilience make up the central theme of this November Quarterly issue – it needs to be acknowledged and celebrated. Success is everywhere you look on these pages – from…

Sam Cotter-Dephoff still has vivid memories of appearing in an episode of Jason Gunn’s What Now? as a five-year-old, filmed at the Avalon television production centre in Lower Hutt’s Percy Cameron Street. Ironically today his business Scale Studios, which he co-owns with Joaquin Loyzaga, is located in Avalon’s old art department room. They can still see the hints of green and purple paint that used to be on the walls and ceiling. “Being a kid back then, I wanted to get ‘gunged’ so badly,” he laughs. “And now being an adult and playing with gunge-like material in our business every day feels kind of poetic.” ‘Playing with gunge-like material’ in a time capsule called Avalon describes the sort of creative space that Scale Studios operates in. Created in February 2018,…

1. Focus on what you can contr ol. Rather than allowing your brain to dwell on all the challenges you face, focus on the things within your control and take action on those. For clarity , draw a big circle and write down the things inside, and outside, of your control. Then focus your time and energy on what’s inside the circle. 2. Monitor w hat you feed your thoughts. Be aware of what you’re listening to and watching. Limit your exposure to media – whether it’ s yet another news repeat (which is mostly negative) or social media. W atch just enough to stay informed. 3. Constantl y ask yourself “is this helpful or harmful?” If you’re up late scrolling, perhaps it’ s better to head to bed. Unable…

Location: University of Waikato campuses in Hamilton and Tauranga. Website: www.waikato.ac.nz/go/mba and www.management.ac.nz/mba Programme: Waikato Master of Business Administration (MBA) Part-time or full-time? Part-time (domestic) or full-time (international). Duration: 2-3 years (domestic students); 18 months (international students). Intake date: March 2021 Strengths and emphasis: The Waikato MBA develops future business leaders and senior managers who are outstanding in their organisations. Through exposure to contemporary thought leadership that challenges your current thinking, you will be equipped to drive innovation and growth, identify emerging opportunities, lead high-performing teams, and confidently manage change. This world-class programme incorporates all aspects of general and specialist management. Participants will gain the knowledge, skills and competencies to continuously adapt, redefine, and transform themselves in changing contexts. Programme vision and strategy: The Waikato MBA provides a suite of 11…

There were two thoughts that came to mind when Greg Kushnir and his company’s wireless power transmission technology was all over the media earlier this year. Is it safe? And, why does it sound so much like science fiction? After spending an hour with Greg in-between lockdowns in Auckland, NZBusiness came away convinced not only of the technology’s safety and viability, but also of its massive potential for reducing the cost of power distribution, avoiding power outages and supporting the planet’s appetite for renewable energy. The idea of wireless power transmission is not new – in fact, its origins date back to the late 19th century. Nikola Tesla is perhaps the most famous early inventor associated with various wireless transmission experiments. Emrod’s technology doesn’t quite go back that far, although…

It’s hard as a writer to know where we will be in the cycle of the Covid-19 pandemic when you read this. As I write, it seems very early. We’re infants taking those first stumbling steps into a new world. However, there is one thing that is obvious in the industry I have worked in for more than 20 years: There will be increasing reliance on digital commerce and digital communications of all kinds. In order to take advantage of this increasing reliance and not be burnt by it I have three fairly straightforward rules that have evolved from past experiences. They are: ALWAYS HAVE BACKUPS Early on in my company NetInsites’ history our ISP provider decided to physically move the server to another data centre – it was very…

It is almost the perennial question with an answer that is both easy and complex. Complex because there are so many variations and so many drivers for why either option may be preferred, many of which are more emotional than numerical. Previous articles on this topic keep rating highly on our websites showing the ongoing interest in this topic. The easy part is that for a typical perk vehicle – in terms of cost for the company – any differences are minor – assuming the aim is for the employee to be in the same position either way (a brave assumption). It gets more complex with vehicles that have moderately high true business use – remembering that driving from home to the office is not business use. Here there can…

Signwriting has become something of an artform and with new materials and techniques, it is getting easier and easier to get your vehicle noticed, which can really boost your business. Just recently, this writer has been very aware of good signwriting and some not so good, with the not so good signwriting prompting thoughts of “really? They thought that was going to work?” Clearly, someone thought the concept was good, but didn’t actually talk to experts who know that the customer may always be right, but a little professional advice would make them um, ‘righter’. Signwriting is a big undertaking. It’s not just getting your brand noticed, it’s making sure the signwriting is appropriate to your business and connects with the potential customers who see it. There is also a…

The leaders of New Zealand’s largest companies called for a new approach to the economy after Covid-19, in the days leading up to the general election. Around 60 CEOs of major companies contributed to recommendations to the incoming Government, a statement from Business NZ says. The CEOs say a new approach is needed for jobs and the economy, and for infrastructure development and border management. Guidance on an Economic Plan for New Zealand contains recommendations for more certainty for investment in major sectors including energy, agriculture, heavy industry, transport and others. Clarity around NZ’s infrastructure pipeline of work is also required, along with more partnerships bringing a broader range of capital to infrastructure development, the CEOs say. The guidance calls for action to save existing jobs as well as create…

Strategic Pay’s report Pay Equity: Analysing the gender pay gap in New Zealand says that the economic impact of the pandemic has the potential to exacerbate the gap, and if employers take their eye off the ball now, nothing will change. The report highlights some key issues in relation to gender pay gap analysis and figures including that the overall gender pay gap only reveals some of the picture and the devil is truly in the detail. It says that a key to the gender pay gap is occupational and vertical segregation – i.e. the type of roles in which women are employed. “From our experience there are several broader human resources and employment practices that employers need to investigate and address if they really want to close the gender…

CATHY PARKER is the owner of Adrenalin Publishing, which publishes Management magazine. She also sits on a number of boards. Governing for purpose beyond profit is one of the defining governance transformations of current times. While there was always an element of this in terms of enhancing a business’ reputation, now customers, governments and the public all expect a business to stand for more than just the bottom line. Last year the US Business Roundtable, which includes CEOs from more than 180 leading US companies, issued an open letter titled Statement of the Purpose of a Corporation, which included the sentence: “Each of our stakeholders is essential. We commit to deliver value to all of them, for the future success of our companies, our communities and our country.” This may,…

JACKIE O’FEE is the owner of personal style consultancy Signature Style. She works with both individuals and organisations.signaturestyle.co.nz As the countdown to the summer months begins, we start to see a shift in the way we dress at work. Summer is by nature quite a tricky style-season to navigate in the business world as the balance of remaining cool while dressing appropriately is harder than adding warmth in winter. While most men simply can eschew their jacket and, in a more casual environment, even opt for a short-sleeved shirt, women find it much harder. This is the season where many of the ‘rules’ for female staff that have been written into your dress code are focused. Think strappy shoes, backless dresses, shoestring straps etc. It is doubtful that there would…

Vippa is a social-powered mobile-marketing platform that directly connects businesses with customers. Founder Danny Yang says it delivers a strong and robust network, with no middleman and no margins or commissions taken from business profits. But Vippa isn’t just an app, it’s a new ecosystem for Kiwis, he adds. “Vippa provides business owners with the tools to communicate special offers and loyalty programmes to their customers – both new and existing. It helps businesses grow a loyal customer base, creating long term stability, sustained customer interactions and ongoing profits that go straight to the business owner.” The idea is simple. Vippa connects merchants with customers by broadcasting special deals, promoting loyalty stamp programs and using flash deals on a map to target customers in the area of the listed businesses.…

For business owners wanting to apply for lending, but without having to collate and submit paperwork and wait days for a decision, Kiwibank’s Fast Capital comes as a disruptive breath of fresh air. Fast Capital is the result of the bank leveraging the technical capabilities of fintechs Ranqx, Xero and MYOB to deliver a better and more efficient way of supporting business customers. “SME owners want to prioritise their time, focusing on improving the profitability and growth of their business, as opposed to doing administrative tasks like applying for a loan,” explains Nicole Pervan, Kiwibank’s GM for Product. “This means that when they do get time to think about their financials, it’s outside of normal business hours. That’s why Fast Capital allows the owner to apply for a loan at…

With his youthful looks and boundless energy, you’d be forgiven for thinking that Dave Rouse is fresh out of university. But for all his 39 years, this entrepreneur has more business mileage under his belt than men or women twice his age. Dave’s resumé includes everything from tech start-ups and software companies to thriving auto repair workshops. His commitment, passion and pride towards his earlier business ventures earned him the supreme gong in the inaugural David Awards in 2008 – the business awards that acknowledge the extraordinary efforts of business owners in overcoming adversity. In more recent years Dave has enjoyed the benefits of more solid financial resources and has channelled his funds and energies into philanthropic and social causes through initiatives such as CarbonClick. He admits to being motivated…

Location: AUCKLAND CBD Website: www.aut.ac.nz/mba Programme: Master of Business Administration Part-time or full-time? Both. Duration: 1-1.5 years full-time, 2-4 years part-time. Intake dates: 22 Feb 2021 3 May 2021 12 July 2021 20 September 2021 Strengths and emphasis: Our classes are small, interactive, and characterised by a participative teaching style which develops an individual’s capability and confidence to lead and manage organisations in a global business environment. The programme is flexible with 4 x 10-week terms each year. The faculty has strong links with business and industry, and this is reflected both in the course content and the experience of the teaching staff. Programme vision and strategy: The AUT Business School vision is to have a positive impact on business thinking and practice and, to complement that, the MBA strategy…

• It speeds the uptake of sustainable energies by deploying transmission infrastructure relatively quickly and cheaply (for example, from offshore windfarms). • Resembling solar panels and consisting of two antennas (transmitter and receiver), it keeps the natural environment intact and untouched. • Users at the edge of the grid, such as farms and small communities which rely on fossil-fuel powered generators, can now be hooked up with minimal impact. As an example, Stewart Island would save around 360,000 litres of diesel and reduce CO2 emissions from diesel and LPG by 820 tons in a single year. • Ships will no longer have to run fossil-fuel powered generators to supply electricity while in port.…

For Kiwi companies planning their short or long-term manufacturing strategy there are two words they probably haven’t factored in, but in their own interests need to. Those words are ‘friendly Fiji’ – but they could just as easily be ‘flexible Fiji’. Peter Rudd, Manager Trade and Investment (NZ) for the Fiji Trade Commission Australia & New Zealand, says it makes sense for New Zealand businesses to outsource manufacturing to Fiji as, aside from cultural ties and a shared language, it is the strongest near source, cost-effective option. Rudd says manufacturing in Fiji offers unique advantages, including tax incentives, and making products stand out in the global marketplace simply by being made there. And while Kiwis understandably love New Zealand-made goods, they also favour products made in Pacific countries over those…

Many businesses still rely on offline transactions. Even in today’s digitised world, it’s not that uncommon at all. Whole industries are built from the ground up around face-to-face interactions. But the novel coronavirus has made that option untenable for many. So what can you do to keep your head above water in such difficult times? Let’s look at how Covid-19 has pushed businesses online, and what you can do about it. HOW HAS BUSINESS CHANGED? IS IT TOO LATE TO CHANGE WITH IT? During the initial outbreak of the virus, businesses that already had digital sales or e-commerce in place suddenly found it incredibly valuable, while those who relied more on conventional strategies for sales and marketing found themselves on the back foot. Is this a permanent shift in the business…

There are two options for FBT – cost price method or tax book value method. Cost price method is the original method and is simpler – it suits vehicles that are regularly replaced, say every three to five years. The taxable value is five percent per quarter of the GST Inclusive cost price (or 20 percent a year if paid annually) taxed at 49.25 percent FBT rate. Tax book value method allows you to use the depreciated tax book value at the start of the tax year (with a minimum value of $8333 ) the tax value is nine percent per quarter or 36 percent pa again times the 49.25 percent tax rate. This means FBT is higher in the early years and there is only a cumulative benefit if…

You have a fleet of vehicles. Your team is ready to hit the streets and hustle some business. But your car is much more than just a mode of transport. Vehicles can be depreciating liabilities – or they can be vital business marketing assets. With some expert, eye-catching signwriting, they can really do the business of promoting your business. With the right advice and years of experience from well established companies with a national footprint – like Speedy Signs – you’re on the right track to a professional signwriting job that shows you mean business. REACH: Think about all those bored people in rush hour traffic, a captive audience! It’s easy to ignore radio advertising. Not so easy to avoid looking at a mobile message on a car, ute or…

Unemployment is the main concern for business executives globally, with fiscal crisis – the top concern in 2019 – coming third, according to the World Economic Forum’s interactive map on Regional Risks for Doing Business 2020. Infectious diseases progressed 28 spots and is the second most recurring risk, appearing in the top 10 in all regions except South Asia. Surveyed regions include East Asia and the Pacific, Eurasia, Europe, Latin America and the Caribbean, Middle East and North Africa, North America, South Asia, sub-Saharan Africa. The survey pulls 30 risks, including terrorist attacks, extreme weather events and state collapse or crisis. A media release from the World Economic Forum says while the top risks are mostly related to economics, climate-related risks are causing greater concern this year, with natural catastrophes…

Anew report by the Institute of Directors (IoD) with Marsh and MinterEllisonRuddWatts, Under Pressure: D&O insurance in a hard market highlights a volatile and restrictive liability insurance market. “Regionally, D&O claims payments have dwarfed the total insurance premium pool as litigation funders become more commonplace and as New Zealand’s regulatory environment, particularly our class action regime, evolves,” says MinterEllisonRuddWatts partner Andrew Horne, in a media release. As a result, Marsh chief client officer Steve Walsh says that insurers are increasingly cautious when considering renewals or applications, often requiring greater access to organisations and their boards. “Premiums and excesses are climbing and some insurers are exiting the market altogether. “Directors should be ready to play an active role in securing the appropriate liability coverage for themselves and the organisations they represent.…

Employers have been put to the test this year, they’ve had to swiftly change the way they work, manage their employees and measure productivity. For years we have been talking about working from home and how it will play a central part in the workplace in years to come. That adoption was accelerated and, within a few days, businesses were forced to move their employees to home offices as we entered lockdown. During that time, managers were learning on their feet how to manage their staff, making sure they had the right tools to do their jobs and ensuring their overall wellbeing while WFH. On the whole, employers across New Zealand are doing an outstanding job looking after their employees during the various Covid-19 alert levels, and Randstad research, The…

“Employees worldwide are looking for their organisations to provide more mental health support and if this help is not provided, it will have a profound impact on global productivity as well as the personal and professional lives of the global workforce.” 2020 has been the most stressful year in history for the global workforce and people want robots to help, according to a new AI@Work study by Oracle and Workplace Intelligence, an HR research and advisory firm. The study of more than 12,000 employees, managers, HR leaders, and C-level executives across 11 countries found that the Covid-19 pandemic has increased workplace stress, anxiety, and burnout for people all around the world, and they prefer robots instead of other people to help. A media release from the two companies says that…

KIRSTEN PATTERSON is the CEO at the Institute of Directors. We live in unusual, almost surreal times. Recently I’ve felt like I was witnessing post-Covid euphoria. People were out and about enjoying the freedom to eat out, have a cocktail, shop freely. Things seemed almost ‘normal’. But I know that they’re not. Global borders are still closed, the economy is uncertain and many organisations are feeling the hard pinch of reality arriving hot on the heels of the end of the wage subsidies. Organisations are cutting spending, downsizing and adjusting to a different version of normal. It is probably not surprising, but it is interesting that I have had many conversations recently with people who have felt the lure of being a director as they consider a career reset. Leading…

Bartercard NZ is celebrating its 28th birthday this year and despite the global pandemic of Covid-19 and the economic challenges the country is facing, the trade exchange continues to prove its worth as an alternative virtual currency. Founded in 1991 on the Gold Coast, Australia, Bartercard is the world’s largest trade exchange, attracting new customers and increasing sales. The concept allows businesses to exchange goods and services without the use of cash. It started in New Zealand in 1992 and today has 10,000 cardholders turning over eight to 10 million trade dollars a month. There are now 13 regional offices and the membership base continues to expand through its referral program, bRewards. bRewards was introduced to the member community in late 2019. It allows members to earn valuable bPoints for…

It was a shopping expedition more than five years ago that fanned the spark of a business idea in Michael Welten’s mind. The idea to create a luxury dog perfume made entirely from natural materials came to him while out shopping for a pet fragrance for Benson, his French bulldog. Pet fragrances are nothing new, they’ve been around for more than 20 years. But what Michael was horrified to discover on product labels was that they all contain a number of rather nasty chemicals. That simply wasn’t good enough for his Benson, who also turned his nose up at the thought of being exposed to chemicals (if only dogs could talk!). That experience triggered a product development journey for the Hamilton-based Michael – who had previously clocked up a 15…

Well here we are at the tail end of 2020. If we hit ‘pause’ and review the past nine months we can be forgiven for thinking “did all that really happen?” Unfortunately we’re surrounded by reminders – the ubiquitous face-masks and sanitisers, the shuttered business premises and ‘closed’ signs, the struggling tourism, hospitality and tertiary education sectors. For business owners there have been countless stories of resilience and reinvention to draw inspiration and lessons from – many featured through NZBusiness. I’m sure you will also extract value from the following four contributors, and use it to help fine-tune your business for summer and on into 2021. GETTING BACK ON THE BIKE When Frank Witowski, owner of Nelson-based Hybrid Bikes1 , first heard that covid had arrived on these shores, he…

The world in 2020 is almost unrecognisable when compared to 1993 when the first Privacy Act was passed. The Privacy Act 2020 significantly modernises New Zealand’s privacy law and recognises the enormous technological advances of the past 27 years. The new Act, like its predecessor, is based on information privacy principles that set broad standards around how organisations can collect, use, store and share people’s personal information. There are new criminal offences and new fines. Some behaviour which has been optional will now become mandatory. The updated Act gives the Privacy Commissioner additional powers including: • The ability to issue compliance notices to compel organisations to do something – or stop doing something. • The power to direct organisations to give individuals access to their personal information. New Zealand’s many…

NZB How does it feel to be back in charge of the organisation you led when it was known as Business In The Community? And what are some of the biggest differences between your job then and now? SARAH: It feels wonderful, like I’ve come home! Business support and business ownership has been at the core of my 30 year career, so it was a logical next move to step up and lead an organisation that is at the heart of a Covid recovery response for businesses. Of course, something that never changes is that great staff make for a great organisation – I’m so thrilled to have joined such an exceptional team. Business Mentors has over 2,000 business mentors, all giving their time for free. I’ve noticed a deep…

Mobility has been a key technology theme for more than a decade. In the past ten years the main action has switched from desktop computers to phones and tablets. We seek tools that keep us working and communicating on the move. Now, thanks to the Covid-19 pandemic, we’re moving less. Lockdowns and an effective ban on international travel mean we stick closer to home. For many, our homes are our workplaces. There could be more lockdowns to come. Even if they don’t, many offices are either empty or emptier than they were. People who can, are working from home more often and employers have fewer objections to the idea. Many business leaders now accept that staff can be just as productive that way. Salespeople are spending less time on the…

I magine that your business was a sports team; and your industry the championships. How are you going to play the game? How will you win customer experience – and therefore win over customers? GET THE BASICS RIGHT Watch any game, and I guarantee the captain of the winning team will say the same thing almost every time: “We just did the basics well.” Yes, they might have a team of talented players and yes, they probably had good tactics, but often winning comes down to doing the basics well. Providing great customer experience is no different. I recently went to a café near my house – one of many in the neighbourhood! I ordered a smoothie, and when the waitress brought it out she dumped it on the table,…

Fellow business leaders, 2020 sure has been a year that tested our mettle. None of us predicted Covid-19’s global impact and the significant change it has brought to our lives. And this is really, really different from the GFC which I remember, unfortunately, only too well. Yes, GDP has plummeted, like the GFC, but it’s not a general slow tightening across the board. This was a bang, crash, hold-onto-your-seats event that had us creating office grab-bags full of cables and monitors so staff could work from home, ordering bulk hand sanitizer, and constantly changing and adapting plans day to day. It was highly stressful and disruptive. In a crisis people look to their leaders. So we’ve had to lead like never before. Our staff, families, suppliers and customers are all…

Motorsport legend Greg Murphy once said that New Zealanders are bad drivers, described as under-trained and over-confident. And to improve the dismal road toll, Murphy said we need to train New Zealanders who get behind the wheel to be safer, more competent drivers. Even more so for people who drive for work. If your company has a fleet of vehicles, focusing on driver safety is an incredibly important part of keeping your employees, and your business, safe. The Health and Safety at Work Act 2015 states that employers must ensure, so far as is reasonably practicable, the health and safety of employees while they are at work. This includes when staff are in, or operating, a vehicle for work purposes. The business must also make sure that all employees are…

Even in the best of times, senior management faces a huge roster of tasks across a wide range of priorities — handling daily operations, tracking progress toward corporate goals, planning for the future, overseeing individuals on their teams, to name a few. The pace of work has grown exponentially within companies in recent years, as has the complexity. With the Covid pandemic bringing new levels of disruption to businesses in New Zealand, they’ve found themselves in unchartered territory and many have been trying to put their hands back onto the wheel in a struggle for business survival, especially after such a strict initial lockdown. The list of tasks senior managers face has now grown even longer. Due to layoffs, absences and new work arrangements, these tasks must often be achieved…

It’s no secret that people are the lifeblood of any organisation, but getting the right people on the bus is a challenge. First, we need to build a strong brand and company that talented people want to work for. Second, we must attract, evaluate and recruit candidates who not only have the right skills, but are also aligned with our organisation’s values and culture, and are satisfied with the compensation we can offer. Third, we must empower them to deliver and create a fulfilling work environment so that they actually stick around. And this is usually where things come undone. The larger an organisation gets, the more likely it is to inadvertently sabotage its people’s ability to make decisions and to get things done, rendering the whole process somewhat redundant.…

DWAYNE ALEXANDER is the global practice leader at Alexander PR. Covid is frequently characterised as a once-in-a-century event, because the last pandemic to spread quickly to seemingly every corner of earth was the influenza outbreak at the end of World War I. Undoubtedly, this is the first health-related crisis in 100 years to instantaneously affect economies and business operations, tossing the best-laid plans into the air and forcing prime ministers and CEOs alike to consider how best to protect people and organisations in the face of an invisible tyrant. So, is it possible to plan ahead for something so momentous, which seemed somehow inconceivable before it happened? Well, yes and no . . . but here is what any business leader can do to give themselves and their teams the…