Indholdsfortegnelse for May 2023 i NZBusiness+Management

FROM THE EDITOR Welcome to the autumn edition of NZBusiness, which we trust you'll find both stimulating and informative. We certainly had fun, and learnt a great deal, compiling it. This issue kicks off with two inspiring case studies. First the story of Brett Band, the industrial designer-turned-watchmaker looking to stamp his mark in what is an incredibly tough niche industry. You can't help but be impressed by his determination to succeed and by his beautiful bespoke handmade watches. Jenni Giblin is another example of a business owner putting in the hard graft to realise a long-held dream. Getting her business off the ground has been a major test of her resolve too. If you're needing a little assistance to get to grips with your social media marketing (SMM), you…

SHORTS Some of the world's top innovators and business minds are descending on Auckland for “Future State” – an event which explores the driving forces behind the next era of tech innovation. Presented by Spark Lab and Semi Permanent, the event is aimed at attracting people from emerging small businesses right through to large enterprises, and has assembled an international calibre of speakers from some of the world's most innovative and successful companies, including adidas, Google, VICE media and more. Spark marketing director, Matt Bain says the one-day event will deliver a series of high-impact business briefings “from amazing leaders who have pushed the boundaries and found themselves at the edge of innovation”. “We are seeing the possibilities for digital technology to enable cross-sector transformation explode – and the speakers…

Tucked away amongst the alleyways of Auckland's Victoria Park Market commercial precinct there is an enthusiastic industrial designer-turned-watchmaker who is adding a technology twist to an age-old traditional handcraft. Brett Band's personal journey behind his watchmaking business Paceracer1 has involved numerous twists and turns, but in 2023 he is well on the way to realising his professional dream. The son of a talented dressmaker and a bridge engineer, Brett has worked with a number of New Zealand's leading industrial brands, including Methven and Blender, and across a variety of sectors. He lectures in industrial design technology, CAD and 3D-modelling at AUT, and has also enjoyed a successful career as a professional skateboarder. While nurturing his appreciation for manufacturing and materials Brett also grew what he admits to being “an odd…

• Look at your activations. How are you making your investment for the charity work for your business? • Think beyond the financial transaction. What can you be doing to collaborate? How can the charity help drive their audience or users back into your business? • Check that there is a strong alignment and a level of of activation around any investment you make. • Ensure you can measure the impact of your investment in the charity. Let your owners and shareholders know that you can account for every dollar spent into the charity.…

1. Define your goals. What do you want to achieve through your social media presence? Do you want to increase brand awareness, drive website traffic, generate leads, or improve customer engagement? Also, think of the journey your audience needs to take to make the purchase. Remember, you wouldn't ask someone to marry you on your first date. You need to build trust, attraction and a kinship before you're on bended knee, and this is the same with your audience on social media. 2. Know your audience. Understand who your target audience is and where they are active on social media. Consider factors such as age, gender, interests, and buying habits to help you determine the platforms most relevant for your business. This will help you choose the right platforms to…

Many SMEs will benefit greatly from the governance of a board, if it is scaled to match the needs and budget of the particular business. It's a short sentence but there is lot to unpick in that statement. So let me back up a little and share a few ideas about what governance is, what is a board's role and what ‘scaled’ means in the SME context. GOVERNANCE You can find many definitions of governance and few good discussions on what should, or should not, be included in the concept. There are also a lot of misconceptions that boards are just for the ‘big operators', risk averse, compliance heavy and stifling entrepreneurial thinking. At the Institute of Directors, we believe that governance can actually help a business to thrive, grow…

EXPORT New Zealand and China retain a strong trade relationship built on mutual respect. In December 2022 political and business leaders from both nations marked 50 years of diplomatic relations. The relationship is complex spanning political, economic, cultural, and security dimensions. However, the two countries have developed a robust bilateral relationship over the years. The April 2022 upgrade of the original 2008 bilateral Free Trade Agreement underscored the commitment of both parties. Whilst there have been some tensions and challenges, the two countries will hopefully continue to navigate the relationship in a way that advances their respective interests. At an enterprise level, there are approximately 300 New Zealand companies targeting China and at various stages of their growth journey. Around 70 percent of these companies are in the food and…

EMPLOYMENT MATTERS According to various commentators, we are again heading into a poor business outlook and talk of recession. Companies are starting to think about retrenchment and this is a global issue. New Zealand businesses can be impacted by the flow-on effect from multi-national decision-making to reduce headcounts. Small businesses will feel the pinch too. They can't always reduce headcount without slashing reserves of talent. Recently we have been through a tight labour market and the challenges have been to secure and keep talent. Restructuring in 2020 in response to the pandemic also left some companies short when things reopened. Will New Zealand businesses need to restructure to reduce costs against strong economic headwinds? Employers may need to ask themselves, is it really wise to reduce numbers given the ongoing…

THE OPTIMISER I believe we are at a pivotal moment in history. In November 2022, OpenAI, funded by Microsoft among others, launched ChatGPT. The uptake was immediate, and adoption was profound. As of January 2023, there were more than 13 million daily visitors and more than 100 million users. Technology like this (and Google's equivalent, Bard) is set to disrupt many industries, including digital marketing. Generative AI (artificial intelligence) can create a blog post based on defined parameters in seconds; the technology can debug code, write a poem, and even create a business plan – and we are only just scratching the surface. Many companies have already started leveraging AI and churning out AI-generated content. In response, Google released the following commentary: “When it comes to automatically generated content, our…

A higher proportion of Māori technology workforces are grown within Māori-owned companies than anywhere else, according to the first Toi Hangarau: A Report on Māori-owned Technology Companies 2023. The 107-page report showcases an ecosystem of start-ups through to mature companies, and their funders and investors who want to grow Māori tech workforces on-the-job. The report's founder and CEO of Pāua Interface, Robyn Kamira (Te Rarawa), says that growing skills inside these companies is working “but the companies need more support from government and funders to scale, and to help the country meet its future workforce and economic goals.” A statement from the company says that Toi Hangarau brings business, financial, workforce, economic, environmental and cultural information into one place, providing detailed benchmark data, analysis and insights on Māori-owned technology companies.…

The countdown to the launch of The David Awards 2023 is almost over, with entries being accepted on the official website from May 1st. The Awards, now proudly supported by Voyager, have been around since 2008 and steadily gaining in popularity. They have also helped lift the profile of some now familiar brands, including Ethique, Pure SEO, Brolly Sheets, CarbonClick, Hybrid Bikes and last year's Supreme Winner The Block Dock. Ryan Burnett, marketing lead at Voyager Internet, expressed his enthusiasm for the partnership, saying, “We are proud to support The David Awards, an event that shines a light on the accomplishments of our small business community. By sponsoring these awards, we want to celebrate the spirit of entrepreneurship and innovation that fuels New Zealand's economy.” Targeting micro, small and homebased…

Kāpiti-based distillery The Bond Store is calling on local and central government to provide better support to small businesses innovating to reduce waste and emissions. It says small businesses like theirs are driving much of the innovation to address climate change with little to no additional support. The Bond Store operates a bottle recycling scheme, collecting its own used bottles from cafes, restaurants and bars, which are then sanitised, refilled and returned to customers. Co-founder Chris Barber says most of the innovation occurring in sustainability is being driven by business owners. “While we don't support the now deferred container recycling scheme, it sent an important signal to consumers and showed commitment to reduce waste. As a small business, we're getting on and doing it ourselves.” The Bond Store is also…

Let's begin with an interesting statistic. In January 2023 there were 4.76 billion social media users worldwide1. That is almost 60 percent of the global population. If you're still making excuses about seriously getting on board with social media marketing – while you hesitate, your business competitors are gaining the advantage. There is a new wave swooping down on all of us, and faster than we all believe, explains Melanie Spencer, Group CEO of Socialites, an Auckland-based full-service social media agency. https://www.statista.com “If you think about the speed at which social media took on a new shape during Covid, we ain't seen anything yet,” she says. “New technologies and trends are poised to have a significant impact on the way people use these platforms. “In the coming years, with AI,…

1. Treating social media as a broadcast, not a relationship. Social media is a two-way street – not just ‘posting’ and expecting a hoard of loyal fans to start showing up. It's important to interact with your audience, follow other accounts and learn about what people want, and show them some love. Often I see people just lurking and wanting the Internet to come to them. 2. Making content that's self-serving and not putting the audience first. You are competing for attention, so make content for social media that's relevant to potential customers who're constantly scrolling through entertaining, educational and interest-based content. If you don't make content that resembles this, your ideal customers will keep scrolling. Simply posting pretty pictures of your products no longer does the trick. 3. Not…

EXPORT« The first quarter of 2023 brought many new challenges and opportunities for New Zealand's exporters. Despite holding an optimistic outlook for the year ahead, the country's trade experts have heralded ‘the end of the golden weather’ for the sector. There are three key things exporters should be keeping their eye on in 2023: • Bringing inflation under control. • Sorting out any issues with our end of the global supply chain. • Ways to make it easier for exporters to recruit the skills and talent they need to operate. TAMING INFLATION I No doubt about it, if you ask consumers how they are feeling financially compared to just 12 months ago, they'll tell you the cost of ‘just getting by’ is getting harder to keep up with. Domestically, inflation…

CUSTOMER EXPERIENCE Every time we go to a business we go with an expectation of certain standards. If it's a café, we expect the coffee and food to taste good, and the employees should be polite, if not friendly. You know that your dentist is qualified and should provide good dental care. Vets need to be good with animals and be qualified to solve pet health problems – at the very least. But here's the problem: “Good” really isn't good enough these days – especially in potentially tough economic times. If you want to retain customers and attract new ones, you need to be great. WHY AIM FOR GREAT? Think of your own experiences. We'll go out of our way to support a business that treats us well – and…

GUEST COLUMN In efficient and antiquated hiring practices are not only preventing New Zealand businesses from attracting the right talent but also causing them to lose top performers at an alarming rate. Many businesses are struggling with too many gatekeepers, long and arduous hiring processes, and an unrealistic set of expectations and requirements for the current job market. As a result, businesses are left with a revolving door of employees, with high turnover rates and low morale. Furthermore, companies often desire top-notch talent, but they are unwilling to pay the high salaries that come with it, leading to a significant talent gap in the industry. This talent gap not only hinders businesses’ ability to grow and innovate but also leaves them vulnerable to competitors who are more agile and able…

One hundred New Zealand businesses are now committed to reporting their pay gaps. MindTheGap launched a business registry just over a year ago for businesses to voluntarily report their pay gaps and campaign cofounder Dellwyn Stuart says a large increase in registrations demonstrates that pay gap reporting is seen as modern business practice. “When we started the campaign in late 2021 we could only find about six organisations that were being transparent and reporting on their pay gaps. Now, a year after launching the Pay Gap Registry, we have 100 committed organisations,” she says in a statement. MindTheGap focuses on employers with more than 50 staff, of which there are about 6,000 in Aotearoa New Zealand. Stuart says she is delighted with the leadership shown by these organisations. “We know…

“As a CEO in a New Zealand-based corporate, you could use ChatGPT in various ways to improve your business operations and decision-making processes. Here are some suggestions: 1. Market research: You could use ChatGPT to conduct market research and gather insights about your target audience, industry trends, and competitive landscape. ChatGPT can analyze vast amounts of data and provide you with valuable insights that you can use to make informed decisions. 2. Customer service: ChatGPT can be integrated into your website or social media channels to provide 24/7 customer support. It can answer common customer queries and provide personalized recommendationsn based on the customer's purchase history or preferences. 3. Employee training: ChatGPT can be used to create interactive training programs for your employees. You can use ChatGPT to create scenarios…

column LEADERSHIP THINKING “When facing uncertain environments and wicked problems, breadth of experience is invaluable. Facing kind problems, narrow specialisation can be remarkably effective. The problem is that we often expect the hyper specialist, because of their experience in a narrow area, to magically extend their skills to wicked problems. The results can be disastrous.*#8230;” This quote from Range by American writer David Epstein, atypically praises generalisation and a breadth of skills when faced with crises of the dimension of Covid. I say “atypically “to find a North American extolling range, from a position of personal experience. I recently spent five years leading a large Canadian corporate where high degrees of technical capability were often deemed more relevant, more valuable, than the ability to cover many disciplines and functions in one…

column GOVERNANCE Another year and another plague on the house of New Zealand! People and businesses seem to just get through one crisis and then there is another. The effects have come, not just from any direct damage due to flooding or wind damage to business premises, but also longer-term issues. Many areas were still cut off a week after Cyclone Gabrielle due to damage to roading and bridges. Or, if there was access, it was often a slow and circuitous route which delayed, or stopped, transport, stifled tourist visits and made life generally difficult. Even in areas that were not directly affected there are shortages of some products which come from the cut-off regions. Some relatively major roads may take a year or more to reopen (State Highway 25A from…

column TECHNOLOGY Techweek23, which kicks off in more than 35 cities and towns around New Zealand on May 13, has grown 12 times in just eight years. As the global thirst for digital knowledge rapidly accelerates, tech is growing exponentially all over New Zealand and Techweek23 is the focal point for learning more about trends in the booming sector. Techweek23 is running in every single region in New Zealand with more than 600 events in hundreds of locations, plus Techweek23 TV is live streaming from many of these places. The week gives New Zealanders a chance to discover the latest tech, for kids to try new things, for businesses to connect and learn and to showcase our best tech success stories to the world. The series of events will showcase the…

If you think running a business is tough, try doing it with a newborn baby. That's exactly what entrepreneur Laura Heynike did and she has written a book about it. The founder of award-winning interior design solutions company Pocketspace, Laura prepped her business to operate for maternity leave without a senior executive team or ability to hire a nanny. Being pregnant and running a business can be a scary and daunting prospect, and for Laura this was compounded by the onset of Covid. The Pumping Entrepreneur is an honest, raw look into how one entrepreneur navigated becoming a mum, dealing with ‘pregism’ and running a business through some of the toughest times our world has ever experienced. Laura describes The Pumping Entrepreneur as an empowering tool that reassures other women…

New Zealand's voluntary charitable sector plays a vital role in keeping the country functioning. It's encouraging to note that since covid there have been more organisations looking to support new, emerging charities. However, Jenni predicts the brakes will go on with the arrival of a recession. Her key tips for fundraisers is to: • Really look after your existing partners. “Demonstrate the impact they're having on your organisation, and inform them of the impact you're having on theirs.” • Have a diversified funding plan. “The days of just relying on a Gaming Trustor local Council are over.” • Be clear on your ‘Why’. “Why should someone invest in you? Have a strong alignment and be clear on what you're delivering on.”…

A multi-channel marketing campaign across Facebook, Instagram, TikTok and LinkedIn for Flight Coffee in 2022 resulted in a biggr customer base and repeat business. For the client it was about starting a long-term relationship wiht customers, says Robbie Lawton (pictured). “Flight Coffee was able to educate its audience on why speciality coffee can improve your work from home and mornings. “This was done by integrating social ads with email, marketing, a great website and remarketing ads that continued to tell the story. “When social media advertising works as part of the whole customer experience you can create a dynamic customer base, rather than just focusing on that first transaction.” Robbie believes the best social media campaigns are ones that are part of a wider ecosystem. “Don't just blast out ads.…

NZB What sort of feedback did you get when you first decided to set up CordBank? JENNI: My Mum asked, “Why would you want to start something new when you already have a successful business?” But I was completely convinced that starting CordBank was something I just had to do. I was so frustrated that I couldn't bank my children's cord blood and no one else would be able to either unless I started one. I was 100 percent supported by my husband, who said “that sounds like a great idea” because he is the most positive person I know. I felt, and still feel, so passionately about establishing CordBank that I wasn't worried that some people didn't understand. I knew they'd get it eventually and now, 20 years later,…

SALES & MARKETING Stay with me a minute as you picture this scene. A marketer throws the door open, storms into the shark pen, and yells, “What happened to the lead we got you yesterday?” The salesperson slides his feet off his desk, sits forward and whispers, “It wasn't warm enough…” The marketer and salesperson eyeball each other across the room in silence. The tension builds, and suddenly the marketer leaps across the desk and tackles the salesperson to the floor, looking desperately for a phone cord to strangle him with – only phones don't have cords anymore and nor do keyboards or mice. Times have changed. ‘Us’ and ‘them’ doesn't work anymore when it comes to sales and marketing. While a human can still specialise and choose a career…

It is a question that plagues us here at Management: Who is really in charge here? Who is ensuring that the technological revolution, that just seems to keep coming and coming, at a faster and faster rate, is actually going to be for the good of humanity and the future of our children and grandchildren? This thought was very much to the fore this month – with the extreme weather being felt all around the world; with the Intergovernmental Panel on Climate Change stressing the urgency with which the world needs to act, and with the phenomenon of ChatGPT (who hasn't had a go yet?). Just as we were going to print, some 1,000 tech leaders were wanting a moratorium on any more development for at least six months. See…

A new legal opinion by Chapman Tripp advises that prudent directors and businesses should be starting on the path to identity, assess and manage nature-related risks, particularly if they depend on the environment for their business model. Chapman Tripp was engaged to provide the legal advisory opinion on director duties to manage nature-related risk by The Aotearoa Circle, a partnership of public and private sector leaders, formed to restore natural resources and ensure sustainable prosperity for future generations. A statement from the law firm says the opinion seeks to highlight current and anticipated regulatory and market trends to all directors on the boards of New Zealand businesses that are particularly reliant on natural capital to stay ‘ahead of the curve’ as new frameworks, regulations and expectations emerge globally and locally.…

column REMUNERATION The beginning of the year often kicks off the budgeting rounds for organisations and for most employers wage bills represent one of the larger costs to account and budget for. Typically, many clients come to us at this time of year looking for advice or projections on wage movements and this year, in spite of slowing economic conditions, we are not seeing any evidence of lower wage increases. We recently conducted a pulse survey to see if organisations had reduced their forecast this year following the Reserve Bank's efforts to slow growth; the results were surprising. Median forecast salary increases for all sectors including the public and not for profit sectors are at an impressive five percent across all levels. Figures this high have not been seen since pre-GFC…

column MANAGING FOR A BETTER WORLD ALLYSHIP IS ABOUT ACKNOWLEDGING AND UNDERSTANDING INEQUITIES AND TAKING ACTION TO HELP LEVEL THE PLAYING FIELD, EXPLAINS KATE KEARINS. Listening to senior business colleagues introduce themselves, I'm hearing less about their specific areas of expertise and more about what they stand for and why they choose to do work they do. There's often a sense of being in a privileged position and a strong current of wanting to make a difference, including for others less privileged. But it can be challenging to effect. Here's where the idea of allyship can be helpful. At its core, allyship is about acknowledging and understanding inequities and taking action to help level the playing field. But before we can be allies to those whose lived experiences differ from our…