London in 2012 by French Chamber of Commerce in Great Britain

I N F O

the magazine for anglo-french business french chamber of commerce in great britain

january / february 2013 www.ccfgb.co.uk

London in 2012 in issue 204 Boris Johnson

Tony Hall

Culture and engagement

Vincent de Rivaz

Message from the Mayor of London

Sir Keith Mills

Annual Gala Dinner

Portland Perspective

Business lessons from London 2012

Sir Martin Sorrell speaks his mind

London 2012 and the power to inspire

For or against a UK referendum on EU membership?

ÂŠ photo credits: MVB, VINCI and subsidiaries photo libraries, Andras Nemeth, Clarence Michel.

Constructing a Sustainable future. At VINCI Construction Grands Projets, we engineer solutions that are not only financially competitive, but work sustainably for the planet. It starts with putting Safety first, always, at all times, on every site. Health & Safety training, policies and guidelines are all in place, but to generate the best possible results, we go further with our innovative (A)live on Site programme. We understand that our people are more reactive to what concerns them directly, we have a team who visit the site, shoot a short movie and then broadcast it to the team. Each scene is analysed with behaviour experts, underlining the good (and less good) actions. (A)live on site has been successfully delivered to more than 2,000 people, in 12 languages, across 14 countries, including the UK. To learn more please visit www.vinci-construction-projects.com/british-isles

ii - info - january / february

YOU’LL NEVER FORGET THE

1AWARD. st

Car shown is Clio GT Line TomTom dCi 88 from £189 per month.††

NEW RENAULT CLIO, WINNER OF THE

GOLDEN STEERING WHEEL, SMALL CARS

CATEGORY. JOURNALISTS, READERS

AND EXPERTS OF 25 EUROPEAN TITLES, INCLUDING AUTO EXPRESS recognise the New Renault Clio for its design, handling, quality and respect for the environment.

YOU’LL NEVER FORGET THE FIRST TIME YOU SAW THE

NEW RENAULT CLIO

DRIVE THE CHANGE

The official fuel consumption figures in mpg (I/100km) for the New Clio range are: Urban 40.4 (7) - 78.5 (3.6); Extra Urban 60.1 (4.7) - 94.2 (3.0); Combined 51.4 (5.5) - 88.3 (3.2). The official CO2 emissions for the range are 127 - 83g/km. Terms and exclusions apply. Warranty 100,000 miles; Service 48,000 miles. For finance, conditions apply. Guarantees and indemnities may be required. You must be at least 18 info and a UK resident (excluding Isle of Man - january / february - and Channel Islands) to apply. Finance subject to status, provided by RCI Financial Services Limited, PO Box 149, Watford WD17 1FJ. Visit renault.co.uk/4plus for details.

- info - january / february

Arnaud Vaissié President, French Chamber of Commerce in Great Britain, and Chairman & CEO, International SOS

editorial

his issue of INFO focuses on London in 2012. Indeed 2012 was an extraordinary year for London and the UK with the Queen’s Diamond Jubilee in June and the Olympic and Paralympic Games over the summer. It was the second Diamond Jubilee in the history of the country and the third Olympics to be held in London after those in 1908 and 1948: both historical landmarks. London and the UK did amazingly well, not only in the staging and perfect organisation of both events but also in the impressive performance of British athletes. Last but not least, let’s not forget that Bradley Wiggins became the first British cyclist to win the Tour de France last July! It is fair to say that London remains a very attractive city in 2012. Since 1990, it has topped all investors’ polls as the most competitive city in Europe to establish operations. Despite high costs compared with some continental competitors, London’s dynamism is undoubtedly the economic engine of the country, generating nearly a quarter of the UK’s GDP. The city attracts businesses and talents especially in services, finance and business support: 85% of the active working population of London is employed in the service sector. Britain’s economic culture is also appealing as it is clearly pro-business, accessible and global. A number of prominent Londoners have contributed to the Focus, which promises to be an interesting and enlightening read. Making its debut in this issue of INFO is a new section focusing on the news and views of a very important component of our membership, and indeed the economy: SMEs and entrepreneurs. With regard to the Chamber’s news, members have recently benefited from hearing some inspirational comments from our distinguished guest speakers at a number of our events. To mention a couple, we are reporting the highly successful ‘Dîner de gala’ with Sir Martin Sorrell, Group Chief Executive and Executive Director of WPP, and the Annual Financial Lunch with Benoît Coeuré, Board Member of the European Central Bank. The Chamber would like to draw members’ attention to a full and exciting programme in the New Year. In these turbulent times, let us remember that we are stronger working together under the auspices of the Chamber. May we all at the Chamber wish you a Happy and Prosperous New Year! I

info - january / february -

- info - january / february

Contents issue 204 / January - February 2013

Tony Hall: culture and engagement

Annual Gala Dinner: Sir Martin Sorrell speaks his mind

A message from the Mayor of London

Vincent de Rivaz: the power to inspire

42 36

Sir Keith Mills: business lessons from London 2012

5 Minutes with...

8 Frédéric Petton, CEO of Ascendia UK

Portland Perspective

22 VINCI Construction Grands Projets – tunnelling for London in 2012

24 UK regional review: AREVA to set up an offshore wind factory in Scotland

10 For or against: the question of a UK

25 Schools

recent news

A comparison of French and UK top income tax rates

France1 2011

UK1

2012

2011/12 %

Proposed

Final

41%

45%

50%

Top rate of ‘contribution exceptionnelle sur les hauts revenus’

‘Prélèvements sociaux (CSG/CRDS)’

Top rate of ‘contribution exceptionelle de solidarité sur les très hauts revenus d’activité’ (on earnings in excess of €1 million)

n/a

18%

Total

53%

75%

57%

50%

Basic National Insurance Contribution (NIC) rate for taxpayers earning €1.5m

2%5

Total including National Insurance Contribution rates for higher earners

56%

78%

60%

52%

Effective rates

48-50%

51-58%

51-53%

47-50%

Top rate of income tax

3 4

Source: BDO analysis 1. French tax year runs to 31 December, the UK tax year ends on 5 April. 2. Following a decision by the Constitutional Council on 29 December 2012 the 18% additional tax was struck down for 2012, Mr Hollande has indicated that he will be reworking the tax for 2013 3. Tiered tax rates are 0%, 5.5%, 14%, 30% and 41% (and 45% from 2012) 4. Tax applicable to any income in excess of €250,000 for single individuals (rate of 3% applies between €250,000 and €500,000, 4% thereafter) 5: 2% applies to annual earnings received in excess of £42,484. The first £7,228 of earnings is not subject to NIC, while a rate of 12% is applied to the next £35,256 earned

rate and a ‘contribution exceptionnelle sur les très hauts revenus’ of 18%, applicable to the portion of earnings in excess of €1 million. While the former increase is still going ahead, the latter was struck down on technical grounds by the Constitutional Council on 29 December 2012. The tax was ruled to be unfair because it was applied to individuals rather than households in accordance with French law. However, in his New Year address to the French people François Hollande said that the tax would be reworked ‘without renouncing its objective’. Given the amount of negative publicity generated by the proposed increase in the headline rate to 75% over the past six months, it is interesting to note that the 18% ‘contribution exceptionnelle sur les très hauts revenus’ was only expected to generate around €210 million per annum, or 0.1% of expected total government income. It was also a temporary measure, due to expire in January 2014, and would have applied to only 1,500 people, or 0.01% of French taxpayers. Top rates versus effective rates

In both countries, the tax systems operate on a tiered basis and therefore individuals will always pay less than the headline top rates. In the UK, some earnings will only be taxed at the basic rate of 20%, with the rest taxed at the current rates of 40% and then 50% above £150,000. Similarly in France, rates vary depending on the level of income earned and taxpayers’ family circumstances. Taking the example of three single individuals earning €500,000, €1 million and €1.5 million, respectively, in 2012 (or 2012/13 in the UK), the effective tax rate payable on their earnings would be 51%, 53% and 53%, respectively, as French tax residents, versus 47%, 50% and 50%,

respectively, as UK tax residents. If Mr Hollande’s 18% additional tax had been implemented as planned, this would have had no impact on the first two individuals and the effective tax rate for the person earning €1.5 million in France would have been 58%. The effective tax rate would therefore have been less than 10 percentage points apart, compared with the 25 percentage point difference (75% versus 50%) indicated by the headline rates. What does this mean for the demographic flow between France and the UK?

We are currently receiving many enquiries from French tax payers looking to potentially relocate to the UK (London in particular). But we have found that the 75% top income tax rate is less of a driver for these enquiries than the recently implemented wealth tax rise and the announced capital gains tax increase. The situation was similar in 2010 when the UK increased its top rate of tax to 50% and there were reports of high earning individuals threatening to leave the UK as a result. In reality, relatively few left the UK. When it came to the crunch most were not prepared to relinquish their family and social ties to Britain, notwithstanding the perceived lower tax regimes of other jurisdictions including Switzerland, Luxembourg and Liechtenstein. It is too early to tell whether French people will indeed relocate in any numbers, driven by tax increases and continued fiscal instability and uncertainty. While the buzz and geographical convenience of London certainly makes it a very attractive place to live, there are many other factors such as the high cost of living, commuting and even the weather, that have to be considered! I info - january / february - 13

CORPORATE & INVESTMENT BANKING

DISCOVER HOW WORLD-CLASS STRUCTURED FINANCE EXPERTISE CAN HELP BRING YOU SMARTER FINANCIAL SOLUTIONS

WITH YOU, AS ONE TEAM sgcib.com

Societe Generale is a credit institution and an investment services provider (entitled to perform any banking activity and/or to provide any investment service under MiFID except the operation of Multilateral Trading Facilities) authorised and regulated by the French Autorité de Contrôle Prudentiel («ACP») (the French Prudential Control Authority) and the Autorité des Marchés Financiers («AMF»). This communication is issued in the UK by the London Branch of Societe Generale. Societe Generale is subject to limited regulation by the Financial Services Authority («FSA») for the conduct of its business in the UK. Details of the extent of its regulation by the Financial Services Authority are available from us on request. Societe Generale benefits from the EC passport authorizing the provision of investment services within the EEA. This material has been prepared solely for information purposes and does not constitute an offer from Societe Generale to buy or sell any security or financial instrument, or participate in any trading strategy. Not all financial instruments offered by Societe Generale are available in all jurisdictions. This communication is not intended or directed at retail clients. It is for professional clients only. Please contact your local office for any further information. 2012 Societe Generale Group and its affiliates. 14 - info for - january / february © GettyImages - FRED & FARID

n e ws i n t h e ci t y

Foreign talent: the Bank of England puts a Canadian in charge In the end, it was not a candidate from the much-debated shortlist that Chancellor George Osborne chose to be the new Governor of the Bank of England, but a complete outsider. For Mark Carney, Sir Mervyn King’s successor in 2013, is not only Canadian, but had also declined to put his hat in the ring

he bold appointment of the first foreign governor in the 318-year history of the Bank of England could have been controversial, but has, instead, been universally acclaimed, as Mark Carney is acknowledged to have the credentials to take on one of the toughest jobs in global finance. Moreover, it sends a clear message that Britain is open to the world. None of the other (British) candidates were deemed to have the gamut of experience necessary to take on the role, which has been significantly broadened under the new regulatory structure designed by George Osborne. Unlike his immediate predecessors who were only responsible for monetary policy, Mark Carney will also undertake the microprudential supervision of financial entities and the macroprudential supervision of the financial system. So who is Mark Carney and what makes him the best man for the job?

Although he studied economics at Harvard and has a PhD in Economics from Oxford, Mark Carney is not a career macroeconomist. Rather, his expertise in finance and markets has been gleaned from a 13-year career at Goldman Sachs, where, starting as an analyst in London, he rose through the ranks, specialising in privatisations and emerging market sovereign debt with stints in Tokyo and New York, and later headed Goldman’s investment banking business in Toronto. Many believe that this private sector experience will give him a better understanding of the City. He has also had a distinguished public sector career in Canada’s Finance Department where he was Senior Associate Deputy Minister of Finance, and when he was appointed Governor of the Bank of Canada in 2008, he was the youngest central bank governor among the G8 and G20 nations. Credited with deft handling of monetary policy which has helped steer Canada away from the worst effects of the financial crisis, Mark Carney has also

won plaudits for his role as Chairman of the Financial Stability Board, established after the G20 Summit in London to coordinate financial regulation and supervision at an international level. He is said to have developed a knack for dealing successfully with politicians while remaining independent of them. However, Mark Carney is stepping from the relative safety of a medium-sized economy with a wellregulated and stable banking system into far choppier seas. He will take the helm of Britain’s central bank at a time when the economy is stagnating, the banking system is fragile and the financial crisis hangover is lingering. He has to steer a new course, integrating the Bank of England with the Financial Services Authority and regulating the banking system. It is a tall order, but as Mark Carney himself has said, ‘I am going where the need is greatest.’ ‘The bank needs a new broom,’ said former Chancellor Alistair Darling, and as Mark Carney is considered to be as the ‘outstanding central banker of his generation’, he will be expected to make a clean sweep of it. I KF

info - january / february - 15

news in the cit y

Profile

Micha Missakian As the French Business Centre Leader at Ernst & Young, a Patron member of the Chamber, Micha Missakian has established French Banking Desks in both New York and London, and has wide expertise in cracking cultural codes and navigating regulatory complexity for his clients

‘I

n our globalised world, I cannot imagine a career with at least one secondment abroad,’ says Micha Missakian, who has been working with global financial institutions for 20 years including three years in New York before being posted to London in 2010. ‘In 2007 I transferred to New York to create a French Banking Desk to assist the subsidiaries and branches of French banks in the Americas during the financial crisis. The proximity of a French partner in such troubled times was appreciated by our clients and the position is now permanent,’ Micha explains. In London he has created the same type of desk and manages a portfolio of global banking institutions. Micha is part of Ernst & Young’s French Business Network (FBN) – a global network of multidisciplinary French business Centres established in 20 countries to provide support, services and advice to the subsidiaries of French companies. The FBN is made up of professionals with extensive experience in international and French business rules and regulations, as well as a deep understanding of the various challenges faced by the subsidiaries of French companies abroad. It provides audit and assurance services, advisory, tax assistance and transaction support. ‘My clients often generate more revenue outside of France than in France. Being able to understand the local regulation and laws and in some instances to crack the cultural codes are definitely a plus,’ Micha observes. ‘The great thing about expatriation is that it gives you the opportunity to take the best of every one: British are talented businessmen with a great sense of governance and pragmatism, Americans have a direct and efficient way of running a business as well as a unique capacity to bounce, and the French have excellent critical thinking, 16 - info - january / february

analytical skills and creativity.’ For Micha’s clients – mostly large multinational companies with a long experience of settling and developing businesses around the world – one of the main challenges is coping with the regulatory environment. ‘The various regulations are more and more stringent, complex and difficult to articulate. They can be different or even contradictory from one country to another,’ he says. ‘It is my job to help my clients navigate through complexity in what are turbulent times for them.’ Micha has seen a marked change in climate – and mood – since arriving in London. ‘In 2010, we were in a recovery mood even though there was concern about a possible double dip recession. Since then the eurozone crisis has worsened, UK economic prospects have been revised down and the outlook is gloomy. In the industry I serve, the city has lost a lot of jobs and is struggling with massive regulatory changes. As an optimist, I trust in the capacity of Europe to reinvent itself and deliver the governance it needs. Even if I don’t underestimate the challenge we collectively face, I’m of the opinion that to some extent the current crisis is more a governance crisis than an economic one.’ But London, like New York, still has a lot going for it as one of the world’s main financial centres, namely ‘talented and well trained people, good infrastructure, top of the range law, accounting, consulting, IT firms, use of the English language, innovation, economic dynamism and attractiveness, common law, etc.’ London’s advantage? A well-established and somewhat better capacity to trade with the entire world, ‘and ... the best position on the globe as far as time difference is concerned,’ says Micha. I KF

news in the cit y

In the bleak midwinter: little to cheer in UK Chancellor’s mini-budget ||| The Autumn Statement was delivered on 5 December and its contents were suitably bleak. Austerity is here to stay, for the next six years at least. The books will not balance in 2016-17 as hoped, implying three more years of spending cuts than Chancellor George Osborne had forecast. It was always going to be tricky hand for the Chancellor to play with lower GDP forecasts, an increasing, rather than reducing, deficit and mounting public debt. His knife has fallen on the very rich with stricter pension tax relief rules, and the very poor with a mere 1% rise in benefit payments over the next three years, although the income tax threshold was bumped up. Business probably got the best on offer with a surprise reduction in Corporation Tax to 21% in 2014, but Her Majesty’s Revenue and Customs will be less flexible in doing deals with business. Some of the other ‘goodies’ included a temporary ten-fold increase

in the annual investment allowance to incentivise capital expenditure in the next two calendar years; £5bn for capital infrastructure investment projects, such as schools and transport links; and a Business Bank with £1 billion to spend on stimulating the longterm capital market and giving finance to SMEs. But is that enough for growth? ‘Despite a number of welcome initiatives… the whole package can hardly be described as a supply-side revolution,’ observes Graeme Leach, the Institute of Director’s Chief Economist and Director of Policy, who believes the overall impact on GDP will be minimal. ‘As long as GDP weakness is at least partially structural, instead of cyclical, the fiscal rules will be difficult to hit, without further spending cuts and/or tax rises. The UK economy needs… lower and simpler taxation, financed by lower current spending, and supported by radical liberalisation of regulation, employment law and planning.’ But these are policies that don’t quite chime with current politics. I KF

The thorny issue of euro trade supremacy eurozone moves towards a banking union, which could sideline the City of London. As EU ministers hammer out a deal to hand the European Central Bank broad supervisory powers over banks, ‘Britain looks in danger of being in an outgunned minority, while a European majority forges a financial bloc around and over it’ (Financial Times, 3 December 2012). Britain is seeking safeguards but if she remains the only non-euro country to reject banking union, it would be tantamount to handing her a veto – and that wouldn’t go down well with the committed players. The banking union and EU rules may yet develop as Mr Noyer imagines, but then it wouldn’t just be the City of London’s future at stake, but Britain’s EU membership itself. I KF © Londononview.com

||| The City of London and its place as Europe’s financial centre is creating some discord between neighbours. France’s central bank governor Christian Noyer said there was ‘no rationale’ for the euro area’s financial hub to be ‘offshore’, alluding to the fact that the UK’s top industry prospers from serving a currency union eschewed by Britain. His words prompted a sharp rejoinder from Mayor of London Boris Johnson, who accused him of ‘a naked attempt to steal London’s financial crown.’ Even Vince Cable, the UK business secretary, was on the defensive, calling Noyer’s analysis incorrect: ‘It is not a zero sum game. We want to be part of a single market in financial services.’ The spat reveals brewing tensions as the

Zombie watch ||| While interest rates remain at near-zero levels, there is nothing to fear, but any rise could cause corporate carnage. The reason is that an estimated 146,000 UK companies are being kept afloat by ultra-low interest rates. Unproductive and generating poor returns these so-called zombie companies continue to exist because banks aren’t willing to take big write-offs that might

require fresh capital, and hope that these companies may yet turn around when the economy improves. The zombie phenomenon could be skewing employment and productivity figures, but the real downside is that it is suffocating the economy: a lot of capital is tied up in unproductive companies while more dynamic businesses are starved of it. I KF info - january / february - 17

news Compiled by Talya Mekki

Now boarding… Eurostar’s new Culinary Director is Michelin-starred Chef Raymond Blanc, OBE

Michelin-starred Chef, Raymond Blanc

||| Eurostar has appointed world-renowned, Michelinstarred chef, Raymond Blanc, OBE, as its Culinary Director. The new gastronomic partnership will see Raymond share his passion for the very best in sustainable and seasonal food with Eurostar’s Business Premier passengers. Raymond Blanc is collaborating closely with Eurostar’s catering suppliers to help transform travellers’ perceptions of on-board catering. His creative input has seen a renewed focus on sustainably produced ingredients of local provenance. The resulting menus combine rustic, traditional dishes with a fresh, modern

element of surprise, and feature some Blanc family recipes such as mackerel salad and chocolate delice with praline custard. ‘As a chef, I’m always searching for the purest ingredients, striving to ensure that everything I use is traceable and responsibly sourced,’ says Raymond. ‘I’m delighted to work with Eurostar which shares these same values.’ Reuben Arnold, Eurostar’s Head of Commercial Development explains: ‘We are committed to offering excellence at every step and continue to invest in our service to ensure it offers the best travel experience possible. Working with one of the world’s most respected chefs we are demonstrating that we are genuinely putting our money where our mouth is… and delicious food on the plates of our Business Premier travellers.’ In 2012, Eurostar became the first transport provider to join the Sustainable Restaurant Association and it will be rated over the coming months on its on-board catering. This commitment to achieving culinary excellence follows a raft of other innovations in its Business Premier class, including the introduction of guaranteed boarding, quiet coaches and a new on-board taxi booking service. I

Beefeater advertising campaign tells the story of real Londoners ||| Beefeater, the only distillery in London still producing London-style gin, is launching a new advertising campaign that highlights the brand’s intrinsic links to the UK’s capital city. The new campaign, entitled ‘This is My London’, introduces consumers to three real Londoners who embody the creative style of contemporary London, with which the Beefeater brand is associated, and brings their stories to life through multiple channels. ‘This is My London’ kicks off with an outdoor 18 - info - january / february

advertising campaign in Spain where the three characters will be introduced through a series of short films, telling the story of what London means to them. The films will be promoted through digital media, accompanied by the hashtag ‘#MyLondon’. The ‘My London’ theme continues with Beefeater reaching out to its creative audience in London, encouraging them to submit their own photos for the design of ‘Beefeater #MyLondon Limited Edition’, a bottle which will be sold globally during 2013.I

news

Emirates and Arsenal agree new £150 million sponsorship deal ||| Emirates, one of the world’s fastest growing international airlines, and Arsenal Football Club have announced a new £150 million deal which grants the airline a five-year extension to their shirt partnership with the Club until the end of the 2018/2019 season. As well as being one of the biggest deals ever struck in the game, the agreement, worth £30 million a year for five years, extends and deepens one of the strongest and most recognisable partnerships in sport. The new agreement was formalised at Emirates Stadium by Arsenal Chief Executive, Ivan Gazidis and Emirates Divisional Senior Vice President, Corporate Communications, Boutros Boutros. As part of the deal, Arsenal’s home will continue to be known as Emirates Stadium up to 2028. The Emirates brand will also continue appearing on the front of Arsenal’s playing and training kits, and the new agreement contains a number of marketing rights, which come into effect immediately, to ensure Emirates can engage with Arsenal fans in the UK and

Ivan Gazidis and Boutros Boutros

abroad. The Arsenal soccer school in Dubai, which launched in 2010, will also continue. Since the school opened, over 4,000 youngsters have trained there and it is often visited during the term by Arsenal’s first team players. Emirates first signed its sponsorship agreement with Arsenal in 2004, providing the airline with naming rights to the stadium until 2021 and a shirt sponsorship that began in the 2006/2007 season. I

England to host 2013 Danone Nations Cup World Final ||| Just as the cheers from the Olympic and Paralympic games have died down, it has been announced that England is to host another global sports contest – the Danone Nations Cup World Final in 2013. Danone Nations Cup is the world’s biggest international football tournament for 10 to 12 year olds. From England to Guatemala, China to Mexico, 40 countries participate each year in making the dreams of some 2.5 million boys and girls come true through a unique and unforgettable experience. The news was announced by Franck Riboud, Danone’s global CEO at the 2012 Danone Nations Cup

World Final at the National Stadium in Warsaw, Poland, which was attended by 40 teams, 40,000 spectators, 250 journalists and the tournament’s global ambassador, Zinedine Zidane. Nicolas Riom, Managing Director of Danone UK said: ‘Danone UK is very proud to host the Danone Nations Cup World Final in 2013. This is a perfect opportunity to keep the spirit of the Olympics alive in the UK and inspire millions more children to get active and believe in their dreams.’ Further news on the location, date and details of 2013’s World Final will be announced in 2013. I info - january / february - 19

news

Van Cleef & Arpels sapphire ring sets world record at Bonhams sale

||| An exquisite sapphire and diamond ring by Van Cleef & Arpels, featuring a rectangular-cut sapphire weighing 43.16 carats, set a new world record, selling for US$1,560,000 (£979,000) on 23 November at the sale

of ‘Eight Exceptional Jewels from a Private Collection’ at Bonhams in Hong Kong. Bidders competed fiercely for the striking ring, which went well over its pre-sale estimate of US$550,000–650,000 (£350,000-420,000) and broke the previous record for a Sri Lankan sapphire. The exceptional 43.16 carat sapphire was bought by Jacques Arpels, who travelled to Ceylon (Sri Lanka) in 1969 to acquire it in person. The perfectly crystalline, flawless stone was subsequently mounted in a ring and flanked by two pear-shaped diamonds. This ring demonstrates the jeweller’s expertise in sourcing stones of extraordinary depth and quality. Van Cleef & Arpels is one of the most innovative and well-established jewellers in the world. Royalty, presidents, film stars and celebrities including Elizabeth Taylor and Grace Kelly have bought some of their finest pieces from the renowned jeweller. I

easyJet: delivering record profits and improved returns for shareholders ||| easyJet has delivered improved returns for shareholders and growth in a challenging economic environment. In light of its continued strong financial performance and confidence in its position within European short-haul aviation, the Board has decided to amend the dividend policy from 2012 to pay out one-third of profit after tax each year, up from the one-fifth payout introduced last year. As a result the recommended ordinary dividend is 21.5 pence per share or £85 million. Earnings per share grew 19% to 62.5 pence per share. Commenting on the results, Carolyn McCall easyJet Chief Executive said: ‘These results demonstrate that easyJet is a structural winner in the European short-haul market against both legacy and low cost competition. The strength of easyJet’s business model and strategy coupled with the hard work and dedication of the easyJet team has delivered record profits as well as a significant increase in returns for shareholders during the year. As evidence of its confidence in

20 - info - january / february

easyJet’s current position and future prospects the Board proposes to increase the dividend from 10.5p to 21.5p for the year ended September 2012 which will see our shareholders benefit from easyJet’s success with £85m of dividends. ‘Whilst there is always the potential for unexpected events to temporarily impact financial results the Board of easyJet is confident that its business model, strategy and people will consistently continue to generate superior returns and growth for shareholders.’ I

news

Renault triumphs at Brighton to London RAC Future Car Challenge ||| Renault collected four awards at the annual Brighton to London RAC Future Car Challenge on 3 November winning categories for the ZOE supermini and Kangoo Van Z.E. as well as scooping the overall prize. The event, sponsored by RAC Motoring Services was first introduced in 2010 to showcase low energy use vehicles. It features competitors driving electric, hybrid, hydrogen and low-emission conventional petrol and diesel cars on a 63-mile route from Brighton to London, using the least amount of energy as possible. The event is a real-world test of current and future vehicle technology. ZOE, Renault’s new 100% electric supermini won the categories of Most Energy Efficient Small Car and the Best Pure Electric Vehicle. Kangoo Van Z.E. won the Most Energy Efficient Light Commercial Vehicle category. Against a wide range of competition including fully electric, hybrid and hydrogen vehicles, ZOE won the overall RAC Future Car Challenge for a production car. Andy Heiron, UK Head of Electric Vehicles Programme, said, ‘I’m delighted to have won four out of 19 categories. We’re the only manufacturer offering such a wide range of fully electric vehicles to cover

the main market sectors and appeal to both retail and business buyers. Our current three-model range has already been attracting a lot of interest, especially the unique Twizy. The proof of the pudding though is trying them out. We’re confident that after experiencing the refined and responsive driving experience of a purely electric vehicle, combined with the financial and environmental benefits of switching to an electric vehicle, potential buyers will be smitten.’ I

||| New European tyre labelling legislation, which requires manufacturers to display their tyre grades, is designed to provide consumers with practical information about three important tyre performance parameters: wet grip, fuel efficiency and external rolling noise. Michelin’s summer tyre ranges marketed since 2010 have achieved the top A rating in wet grip, the safety-related parameter. In its cold weather tyre ranges, the latest generation Alpin tyres have been rated C in wet grip performance and E in fuel efficiency. These cold weather tyres are designed to deliver a safe ride in a variety of road conditions (ice, snow, slush) and in the full range of winter temperatures. They offer both optimal grip in a variety of driving situations and excellent longevity. Among Michelin’s van tyre ranges, scheduled for launch this summer, the new Michelin Agilis + range also demonstrates an excellent performance balance with a B rating in wet grip, a very good fuel efficiency rating of C, two waves in exterior rolling noise and the range’s excellent damage resistance and total mileage.

Michelin tyre performance and the new European labelling regulation

Michelin focuses on designing and manufacturing tyres that combine safety in a variety driving conditions (on dry and wet roads and on straights as well as corners), improved fuel efficiency and high total mileage. The latter’s impact on the total cost of owning a car makes it a key consumer concern, yet one that is not reflected in the new regulation. There is a big difference in longevity between the various tyres that consumers can buy. In fact, tyre life can vary by a factor of two, which can be more than a year’s motoring for the average motorist. I info - january / february - 21

news

VINCI Construction Grands Projets – tunnelling for London in 2012 including the Institution of Civil Engineers (ICE) ‘Infrastructure Award’ and the ‘Greatest Contribution to London Award’ for the excellent quality of its diaphragm walls as well as the Ground Engineering ‘Safety’ and ‘Editor’ Awards.

||| VINCI Construction Grands Projets, a specialist in infrastructure design, engineering and build, has continued to make progress on a number of London projects in 2012.

Lee Tunnel Working as MVB, together with partners Morgan Sindall and sister company Bachy Soletanche, the company is involved in the construction of the Lee Tunnel on behalf of Thames Water. The project involves a 7-kilometre, 7.2metre internal diameter tunnel for storm and wastewater in East London that will help reduce the wastewater discharged annually in the River Thames by collecting it at the source. ‘Busy Lizzie’, a 120-metre-long, 8.85-metre diameter tunnel-boring machine (TBM) was launched a year ago and starting digging in February 2012. Its progress to date is close to 750 metres. Four large shafts have also been constructed with the excavation of the last two completed recently. The project has already received several awards,

Crossrail The company is also involved in the Crossrail project, which will provide London with an express East-West rail connection by 2019. VINCI Construction Grands Projets won three contracts as part of BBMV, together with Balfour Beatty and Morgan Sindall. The first, entailing advance works at Tottenham Court Road, was successfully completed in February 2012. The second, with Alpine Bemo Tunnelling, started in January 2012 and involves the construction of underground tunnels and facilities for the new stations at Whitechapel and Liverpool Street. The third contract for the construction of the Whitechapel Crossrail Station will include the partial demolition of the current station and construction of a new station and ticket hall. Serious work began on this in December 2012. VIE Award To crown a successful year, a VIE on VINCI’s international business volunteer programme was awarded the Conseillers du Commerce Extérieur (CCE) grand prize in the Integration category. Claire Dioszegi, working on Lee Tunnel, received the prize from H.E. Bernard Emié, French Ambassador to the UK. VINCI Construction Grands Projets has been conducting an active pre-recruitment policy for over 10 years through its VIE programme and every year integrates nearly 50 VIE candidates worldwide, of whom 70% become permanent employees. I

VINCI’s sister companies awarded major UK infrastructure contracts ||| VINCI Construction UK, has been awarded a contract by London’s Gatwick Airport to transform Pier 1 in the South Terminal. The new building will house gate-rooms for passengers and will be linked by air-bridges to five new aircraft stands. It will have a new baggage system allowing bags to be processed faster and enabling airlines to offer automated fast-bag drops. The project should also improve passenger circulation in the airport. In September 2012, Island Roads Services, a company equally owned by VINCI Concessions and Meridiam Infrastructure, finalised the financing for the partnership contract to repair and maintain the

22 - info - january / february

roads network in the Isle of Wight. Awarded by the Isle of Wight Council in May, the 25.5-year contract covers the upgrade, repair and maintenance of 821 kilometres of roads and 767 kilometres of footpaths. Construction, operation and maintenance will be assigned to Ringway, a subsidiary of Eurovia, itself a subsidiary of VINCI. This is the second private finance initiative (PFI) contract won by VINCI in the urban roads repair and maintenance sector in the UK, following the London Borough of Hounslow’s 25.5 year contract for the upgrade, repair and maintenance of 432 kilometres of roads and 763 kilometres of pavements. I

news

hello, goodbye... Gino Costa appointed Managing Director of Renault Trucks UK, taking over from Marc Martinez ||| Gino Costa worked within the commercial vehicle industry for 33 years, beginning his career with IVECO, after reading Law at Turin University. During this time he held a number of international management positions, which have seen him located in China, Turkey, the Middle East and Eastern Europe. He then joined Renault Trucks in October 2004, as Managing Director of Renault Trucks Turkey. In September 2009, Gino moved to Renault Trucks Italy, as Managing Director. During this period he also served as President of the truck division of UNRAE (Unione Nazionale Rappresentanti Autoveicoli Esteri), the Italian Importers Gino Costa Association. Gino became Managing Director of Renault Trucks UK on 1 January 2013, replacing Marc Martinez who will be returning to Renault Trucks France as Managing Director. I

John Payne appointed Managing Director at AGS Four Winds UK, taking over from Mario Amato ||| With 31 years’ experience in the industry, John Payne is a highly skilled and wellknown international removals professional. He joined AGS with a broad range of expertise in private and corporate international removals, heavy baggage, fine art shipping, trade shipping and the UK domestic removals market. Prior to his appointment at AGS Four Winds, John had held several positions at the British Association of Removals (BAR) where he has been involved as Chairman of the Overseas Group as well as Director and Board Member for four years and Chairman of the BAR Marketing Committee. He also stood as Chairman of The Movers Trading Club, responsible for ocean freight rates’ negotiation for the UK membership. John was appointed Managing Director at AGS Four Winds UK in October 2012. I

John Payne

Hats off to... Alyne Hansen-Damm promoted to Europe Retail Director at Boucheron Alyne Hansen Damm has been immersed in the world of luxury for many years. In 2005 she was appointed by the Maison Boucheron to manage its launch into Harrods Fine Jewellery room. Alyne’s flare and drive was recognised and she was appointed UK Director, responsible for managing the Bond Street, Harrods and Selfridges stores. Alyne’s natural affinity with Boucheron’s own principles and ethos saw her promoted once again to the position of European Retail Director, managing 10 boutiques in the UK, France and Switzerland. Before Alyne joined the Maison Boucheron, she worked for jewellery house Van Cleef & Arpels. Prior to working in fine jewellery, Alyne spent six years playing an integral part at the world famous Hôtel de Crillon in Paris and The Savoy, London. I

Alyne Hansen-Damm

info - january / february - 23

news

Bob Scott appointed Group Director of Marketing at Capgemini Bob has been with the Capgemini Group for over 20 years, working in numerous parts of the organisation from Consulting to Applications and Outsourcing, in roles such as Head of e-Business and CRM, Head of Offer Development for Outsourcing Services and Head of Public Sector Outsourcing. Bob has also had responsibility for marketing in various roles globally and locally, and came up with the ‘Rightshore®’ concept, Capgemini’s global delivery model. Bob began his career at British Coal, before moving into external consultancy for the NHS. He holds a Bachelor degree in Mining Engineering from the University of Nottingham and an MSc in Operational Research from the London School of Economics and Political Science. Bob’s appointment as Group Director of Marketing was made in November 2012. I

Bob Scott

UK Regional Review

AREVA to set up an offshore wind factory in Scotland ||| Last November, on the occasion of the Scottish First Minister Alex Salmond’s visit to Paris, AREVA and Scottish Enterprise signed a Memorandum of Understanding (MoU) on industrial site development for the manufacture of wind turbines in East Scotland. The MoU is a step towards establishing an AREVA factory in Scotland that will manufacture its 5 MWe turbines for offshore projects in the UK and complete the facilities in Le Havre. The latter will supply France, Belgium and southern UK projects. The Scottish offshore factory is part of the group strategy to establish a manufacturing base that will cover the European market from three main industrial hubs in Germany, France and the UK. AREVA, which is actively tendering with major utilities in the UK offshore wind market, has chosen to locate its future facility in East Scotland to optimise logistics costs for UK projects and to benefit from a growing cluster of offshore supply chain businesses in the area. Its development has the potential to create 750 direct jobs in the manufacture of wind turbines and blades. The group is one of the leading offshore wind suppliers in Europe where the installed base for offshore wind farms is expected to exceed 40,000 24 - info - january / february

MWe by 2030. Thanks to its field-proven M5000 technology and unique experience in the field, AREVA is well positioned for growth in the UK, which is now the world’s largest offshore wind market. Luc Oursel, President and CEO of AREVA, said: ‘This demonstrates the group’s commitment to contribute to the development of an ambitious offshore wind industry in the UK. The Scottish site will complete our industrial plan to supply European offshore wind projects and will strongly position us to grasp opportunities in the extensive UK market.’ Among its other UK activities, AREVA is also involved in both nuclear decommissioning and plans for new build, for which it is actively working to develop a local industrial Delahaye_Ad_82_62 19/1/09supply 17:13chain. PageI 1

Worldwide and local removals, relocations & storage. Serving the French community in London for over 30 years. +44 20 8687 0400 info@delahayemoving.com

news

Schools

Interview: Olivier Oger, Dean of EDHEC Business School EDHEC Business School has been active in London since 1998 and has developed an executive education programme specialised in finance with a new Executive Campus opening in April 2011. Olivier Oger, Dean of EDHEC Business School talks to INFO about it

What is the importance of having a campus in London, and how has EDHEC’s presence evolved over the years?

Today, leading business schools are international, as is the economy. Our ambition is to be present in the world’s major economic capitals, starting with London and Singapore. Our leading position in Finance makes London an obvious entry point to the UK for developing our expertise and educational offer. We have reinforced our presence through major partnership agreements with the best universities, such as the London School of Economics for the past 20 years and Cambridge University more recently. We also have a large, long-established and flourishing alumni community. Over 700 EDHEC Business School alumni currently work in close to 500 companies in the UK. The London campus hosts the EDHEC-Risk Institute Europe. What is this and what does it do?

EDHEC-Risk Institute is a major research facility

Olivier Oger

with a team of 85 permanent professors, engineers and support staff, as well as 45 research associates from the financial industry and affiliate professors. As part of EDHEC’s international growth strategy, it has given us recognition as an academic institution of reference for the finance industry. London is the venue for EDHEC-Risk Institute in Europe because it is the leading financial centre in this region. It is also located in Singapore and Nice with a research team in the United States. EDHEC-Risk Institute has several research chairs and conducts strategic research projects in close partnership with major industry leaders such as UBS Global Asset Management, Morgan Stanley Investment Management and Aberdeen Property Investors. What academic programmes does the London business school offer?

It offers a PhD in Finance and a MSc in Risk and Investment Management. The three-year doctoral programme has an executive track for international corporate executives and a residential track for young graduates planning academic and research careers. It has affiliations with highly prestigious universities such as Princeton, Wharton, Oxford, Chicago and CalTech. The MSc trains participants to appreciate recent and forthcoming paradigm shifts, equips them with the conceptual and practical tools required to optimise risk and investment management, and helps them to design novel investment solutions for institutional, private and retail investors. We also run regular seminars info - january / february - 25

news

for finance professionals on subjects ranging from the European sovereign Credit Default Swap market to the economics of High Frequency Trading. More than 800 finance professionals and decision-makers from Europe attended our EDHEC-Risk Days Europe conference in 2012 and the 2013 edition will take place on 26-27 March 2013 at The Brewery Conference Centre. How do you ensure EDHEC’s programmes fulfil business needs and meet the objective of ‘business relevance’?

EDHEC stands out for the extent of its interaction with the business world as well as the local social and economic environments in which our campuses operate. Since the creation of the School by entrepreneurs in 1906, EDHEC has had the support of an ever-expanding network of partner companies that provide input on programme content and delivery, development, training and research. In addition, our International Advisory Board and International Ethics Board include academic and business personalities who are in charge of orienting EDHEC’s international development strategy and ensuring its relevancy to economic and social needs.

Finance programme (courses are held in London mainly and Nice) and 33 students in the MSc in Risk and Investment Management. The classes are very diverse, with 10 different nationalities represented in the MSc alone. Our PhD students are mostly male with an average age of 34 years with 15 years professional experience. Over half are senior professionals (unit heads, partners or principals, chief executives or chairpersons), 20% are portfolio managers and the rest hold intermediate positions in investment research and risk management. Do you offer any scholarships?

What is the student profile at the London school?

EDHEC holds values of responsibility and humanism. Scholarships are an important component of our diversity and inclusion policy and serve to attract talent, support students during the course of their studies, and foster cultural and social diversity within the various programmes. EDHEC continues to increase its overall allocation for scholarships and subsidised/interest-free loans in order to attract more foreign students, meet rising demand from students in financial difficulty and offer scholarships to MBA students. I KF

We have currently 46 participants in the PhD in

www.edhec-business-school.com

+44 (0)207 871 6740

Sciences Po, London School of Economics and Columbia University build a Transatlantic Consortium on Education and Policy ||| Columbia University, the London School of Economics and the Institut d’Études Politiques de Paris (Sciences Po) are joining together to create the Transatlantic Consortium on Education and Policy. The three schools will utilise the international resources and diverse theoretical perspectives that exist among them to expand current offers, increase exchanges and collaborative research, and deepen co-operation in the field of public policy executive

education. The consortium will focus on undergraduate education, graduate training in global policy as well as the challenges and goals of globalisation in higher education. ‘We live in a challenging world where we are stronger and better when we collaborate, exchange and share ideas and values. The Transatlantic Consortium opens new ways and designs new concepts in education and policy,’ said Hervé Crès, Interim Director of Sciences Po. I

SKEMA and Strathclyde Business School sign strategic partnership ||| SKEMA Business School and the University of Strathclyde Business School (SBS) are both pioneering, internationally renowned academic organisations with a reputation for research excellence. Among the largest institutions in Europe, the two business schools have developed similar business models based on multi-campuses abroad. Now as part of their international development the schools have 26 - info - january / february

announced a strategic partnership, which will allow them to combine their resources, reinforcing their position in Europe and enhancing their visibility world-wide. Areas of collaboration include a launch of common programmes, mutual use of resources, access to their international campuses and programmes for their student bodies, and the long-term creation of a global business school network. I

news Schools

Grenoble Ecole de Management’s new academic chair for wellbeing at work ||| Grenoble Ecole de Management has launched a Chair on ‘Mindfulness, wellbeing at work and economic peace’ in close collaboration with businesses and institutions keen to develop innovative skills and initiatives within these areas. ‘The aim of this Chair is to produce new knowledge

and training on stress management at work, wellbeing, personal development of managers and offer new ways of managing,’ explains Dominique Steiler, Senior Professor and Head of the Chair. The first action will be the creation of an audit book on professional stress. I

ESCP Europe launches two research centres in London

A S no pp 20 ept w f ly e 13 m or in be ta r ke

||| ESCP Europe Business School has set up two new research centres, both based at its London campus. The Research Centre for Energy Management (RCEM) aims to create ties between global energy corporations, government agencies and the academic community, and to co-operate with key decision makers in the energy sector in order to facilitate the integration of managerial and technological skills within its programme. The Creativity Marketing Centre (CMC) gathers

academics, marketers and experts around the role of creativity as a marketing driver through thoughtleadership and knowledge exchange. The platform engages cutting-edge academic research on creativity and its role in strategic rethinking and marketing. Both research centres’ websites offer a wealth of content from article and blog posts to forthcoming events. I For more information visit the respective websites: RCEM: www.rceum.eu CMC: www.creativitymarketing.com

ENERGISE YOUR CAREER

EXECUTIVE MASTER IN ENERGY MANAGEMENT

A 12-month, part-time Specialised Master programme for both executives and managers familiar with the energy industry, and those aspiring to work in the field. Taught in English. ǩ /HDUQ the key energy issues along with analytical, managerial and leadership skills ǩ 7DNH intensive courses in international business studies with a strong emphasis on the changing realities of the energy business ǩ ([SHULHQFH great networking opportunities alongside your studies ǩ %XLOG XS an in-depth knowledge of energy technologies, industries and markets

escpeurope.eu/emem

ǩ %HQHȌW from an international and cross-cultural learning environment ǩ +LJKO\ SUDFWLFDO orientation which allows you to apply in-class theory directly to your daily work

London - Madrid - Berlin - New Delhi

info - january / february - 27 The World’s First Business School (est.1819)

spotlight on s m e s & s ta r t u p s

Figures from the UK Department of Business Innovation and Skills reveal just how significant the contribution of small and medium enterprises (SMEs) is to the UK economy. At the start of 2012, companies with 0-249 employees accounted for 99.8% of all private sector businesses in the UK, 59.1% of private sector employment and 48.8% of private sector turnover. Put into numbers, an estimated 4.8 million UK private sector SMEs employ an estimated 14.1 million people, and have an estimated combined annual turnover of £1,500 billion. SMEs are also a sizeable component of the French

Chamber’s membership, and notably picked up three of the four awards at this year’s Franco British Business Awards (see the report on pages 68-69). In recognition of that, we have launched this new section devoted to our SME, entrepreneur and start-up members, with news as well as articles and interviews as it develops. We encourage all our SME, entrepreneur and startup member companies to keep us abreast of happenings and developments in their businesses by sending their news and views to a new dedicated email address: sme-info@ccfgb.co.uk

Doublet: flying the flag at London 2012 and beyond

||| Olympic glory went to Doublet this summer as supplier of all the flags and a selection of signage for the London 2012 Games. The company produced 12,000

flags in four sizes and six finishings, country flags for 204 nations, totems and sign panels, the foam course protection for the Olympic BMX track competition, plus a selection of branding for a number of test events including foamex boards, signs, flags and race protection. Doublet’s signage and structures can be seen at festivals such as the Goodwood Festival of Speed (inflatable domes), sport events (the Brighton Marathon), charities (Walk the Walk), shops (Nicolas Wine) and museums (Saatchi Gallery). The company has some exciting new projects in the pipeline for 2013, including events with inflatable structures, sport competitions, races, exhibitions, customised temporary structures, tents, signage and branding projects. Watch this space! I

Crefovi to host free webinar on starting a fashion business ||| Start-up law firm Crefovi will be hosting a free ‘webinar’ with Own-it, intellectual property advisor to the creative sector, on ‘Fashion business partnerships and investment: IP as a business asset’, on 13 February 2013 from 12.00 to 13.00 (GMT). Looking at the issue of securing initial funding for creating collections and setting up a business, the ‘webinar’ will cover the different sources of funding available, key considerations for business plans, attracting third party investment and the important role of intellectual property, other types of investment including creative partners, partnerships and equity finance agreements, and next steps after 28 - info - january / february

securing funding. The speaker will be Crefovi’s Annabelle Gauberti, who has extensive experience in practicing the law of luxury goods and fashion as well as media & entertainment, both in UK and France. Annabelle set up Crefovi as a boutique law firm in 2012 to provide tailored legal advice to the creative industries. Her client base includes fashion houses, designers & models, artists, art galleries & museums, musicians, film production companies. I Login in to join the webinar at http://crefovi.com/articles/ fashion-law/free-webinar-fashion-business-partnershipsinvestment-ip-as-a-business-asset/

spotlight on s m e s & s ta r t u p s

Ascenda launches specialist service for rail infrastructure project bids ||| Set up in London in 2007, Ascenda Management Consulting Ltd, along with its Hong Kong subsidiary Ascenda Overseas Limited, provides expert technical, programme and managerial support to a number of wellestablished rail infrastructure construction companies. Having supported the successful delivery of numerous rail projects around the world, Ascenda realised that with its wealth of experience it could do more upfront to help its clients win contracts. As a result, and in response to demand from existing clients, it is launching a dedicated tendering consulting service, called Tenderail™, which will be operational from the beginning of 2013. The

service will be covered by a satisfaction guarantee policy, directly linked to its performance in obtaining a positive result for its clients. This means that if Tenderail™ helps a company submit a bid that is ultimately unsuccessful, it will offer a refund of up to 20% of the cost of its service, subject to qualifying conditions. ‘We are confident that our expertise will help to attract a higher score but we also recognise that putting forward a bid proposal is a costly exercise that does not necessarily lead to a successful award and we accept to take our share of the burden as a result,’ says Director Frederic Sancho. I To arrange for a free consultation email info@ascenda-mcl.com .

Vanguard Intelligence sees rapid growth and development in 2012 ||| Vanguard Intelligence was established in the UK by Eric Lambert to help French defence SMEs establish and develop their businesses in Great Britain, and secure their assets by adopting a strong strategy and business intelligence policy. His small firm has recently recruited four other employees specialised in this particular industry. Two of them are based in Toulouse where Vanguard opened a permanent office in September. As a result of the strong Franco-British collaboration initiated by the Lancaster House Treaty (‘Treaty of London’) signed in 2010, Vanguard has seen its activity

develop rapidly in the last year. Vanguard is also the UK representative of the economic development agency for Britanny, a region with a strong military shipbuilding industry. ‘What could be more natural for the son of a navy officer?’ asks Eric. Thanks to his company’s three-year membership at the Chamber, Eric has been able to develop his professional network and find partners to work with. ‘The French Chamber of Commerce is the best representative for French companies in the UK. Being part of it is a commitment to excellence,’ he says. I

Evolution Coaching helping brain tumour survivors return to work ||| Evolution Coaching, the global executive coaching boutique run by Anne Roques, is supporting The Brain Tumour Charity by providing coaches for the charity’s executive team as well as brain tumour survivors who are being prepared to return to work. The UK-based charity, which generates £5 million a year through fund raising, provides research, education and counselling for adults and children who have brain tumours or have undergone operations. Six British national coaches have volunteered to provide coaching for the charity on a pro bono basis. They accompany people who have survived brain tumour operations and who are trying to get back into the working world after their long-term illness. They also manage issues that arise from having

handicapped people working within a company. Anne herself is supervising the group of coaches who are involved in this charity, and says that this work reinforces her working relationship with them and adds a new dimension to their involvement in other corporate projects. ‘We want to show that this is what Evolution Coaching is about,’ says Anne, ‘which is giving back to humanity within an organisation, and not just giving back but enjoying giving back.’ The UK has made advancements with its integration of disabled people, Anne notes: ‘At the Paralympic Opening and Closing ceremonies you saw how people with all kinds of disabilities were involved in the shows and it made you realise how they can be integrated into communities.’ I info - january / february - 29

s u cc e s s s to ry

Our market is very young and still evolving. We are at the beginning and still have a lot to invent

1000mercis Timing is everything. For 1000mercis, the interactive marketing company created at the start of the new millennium, it was all about an idea whose time had come. Since then innovation and a knack for keeping ahead of the wave, have ensured that it has remained fresh and pioneering, as CEO and co-founder Yseulys Costes explains

he company was formed by two entrepreneurs, Yseulys Costes and Thibaut Munier, who both came from quantitative marketing backgrounds, having studied at Paris Dauphine University and in the United States. At the time, Yseulys was a researcher in interactive marketing and Thibaut was working in relationship marketing and data mining at Air France. Seeing the potential that interactive media offered for advertising and marketing, they pooled their two specialties to develop a new interactive marketing technique called a ‘data collection campaign’, which combines personalisation, data mining and viral marketing. ‘There were no data available at that time,’ says Yseulys, ‘so we developed a wish list and wedding list website to collect data around consumers’ moments of truth (weddings, births, etc). The site was created to enable us to do interactive advertising and marketing based on data collection and analysis.’ 1000mercis’ first interactive marketing campaign

30 - info - january / february

was developed for Voyages-SNCF.com in 2001. Called ‘Vols à gratter’, it was a huge success with 143,528 participants and over 7 million page views, and with it, 1000mercis not only established itself as a market pioneer in Europe but also set a benchmark for interactive marketing. From small beginnings, 1000mercis has grown exponentially. The original team comprised just four – Yseulys, Thibaut and two other people who are still part of the executive committee – but the company now employs 200 marketers, statisticians, developers and designers. 1000mercis has also expanded internationally with offices in Paris, London, New York and Rio de Janeiro, and it operates in more than 30 countries across Europe, America and Asia. When 1000mercis was ready to make its first international move in 2008 it chose the UK. ‘We were already operating campaigns from France and because the UK market is different, we thought it would be more beneficial to our clients if we set up a subsidiary,’ explains Yseulys. ‘The UK market is amazing: very creative with a high rate of innovation!’ she adds. 1000mercis continues to forge into new markets. It opened offices in New York and Rio de Janeiro in early 2012, and according to Yseulys this is just the beginning: ‘With the development of Internet and mobile usage by consumers, new markets require our know-how!’ The company may be young, but it punches well above its weight judging by its stable of big name clients, among them Accor, Avis, BNP Paribas, Dior, easyJet, ebookers, eBay, Nespresso and P&G, to name but a few. Here its advantage has been being ahead of the game, as Yseulys explains: ‘We started 1000mercis at the very beginning of this market, so we partnered at an early stage with today’s Internet leaders. Our

s u cc e s s s to ry

Yseulys Costes

reputation among pure players and the know-how we built with them proved to be a remarkable asset when we approached big name clients.’ Timing is one thing, but the real lifeblood of the company and key to its success is innovation. ‘Our philosophy is innovation mixed with very high quality of realisation,’ says Yseulys. ‘It seems simple but it is a challenge to execute.’ Nevertheless it is a challenge that 1000mercis has risen to. Because it is considered such a fundamental value added to consumers and advertisers, innovation accounts for 20% of the company’s spend, and is an important component of its strategy. ‘Our strategy has three dimensions: innovation, international development and new channels (mobile, social media and display). 1000mercis’ market is very young and still evolving. We are at the beginning and still have a lot to invent!’ The core business of 1000mercis is e-CRM, or electronic customer relationship marketing, which is interactive advertising and marketing that is targeted and efficient through the utilisation of online data. The company designs, develops and implements customer acquisition and loyalty programmes across the web, mobile and social networks. This service is closely integrated with its advertising programme

called Email Attitude, a third party opt-in email database of over 30 million that is made available for highly targeted email campaigns. One example of this was the online game ‘Partez à la découverte de l’Europe’, developed for easyJet in September 2008, which required players to place 18 European cities on a map as precisely as possible. Prizes included free flights on easyJet for one year, Nintendo DS consoles, iPhones and weekend trips to Rome. Over 800,000 people played the game, and out of the 680,000 subscribers, 65% were generated through ‘viral’ processes. More recently, between January and March 2012, 1000mercis deployed a viral marketing campaign for HTC. Based on the concept of a memory game, it aimed to capture prospective customers, requalify existing ones, generate buzz and increase brand awareness. Out of 148,000 visitors, 46,500 became HTC opt-ins, and 92% of them were prospective customers. The campaign led to 800,000 total page views. One of 1000mercis most recent innovations is Retargeting by Email, which combines traditional remarketing technology with the power of its Email Attitude database for the purposes of customer acquisition, allowing advertisers to reach unknown website visitors based on browsing behaviour. Using this method 1000mercis ran a very successful campaign for PriceMinister.com, Rakuten’s French subsidiary, addressing hundreds of thousands of visitors previously unknown to PriceMinister. The results showed clear evidence of efficiency. The average unique open rate was 32%, followed by an exceptional 30% ‘click-to-open’ rate. This resulted in a 10% ‘click-through’ rate, which is a record high for an acquisition email. Indeed, depending on brands and segments, this score is four to eight times better than that usually achieved by a regular acquisition email based on ‘cold data’ such as socio-demographics or purchase history. 1000mercis also continues to host B-to-C websites such as millemercismariage.com, which are used to collect strategic data and roll out innovations. So what is next for 1000mercis? ‘We are investing a lot on RTB (Real Time Bidding), the industry’s latest innovation, to use display as a new relationship channel and do display CRM for our clients,’ says Yseulys. It is a fast-moving and rapidly evolving market, but 1000mercis is poised to surf the next wave. Timing, energy, confidence and talent have all played a part in 1000merci’s success, but there is also a certain attitude that is encapsulated in the company’s name, which translates as ‘thanks a million’. As Yseulys explains, ‘We work in relationship marketing and think that you never say ‘thank you’ enough to your clients.’ I KF info - january / february - 31

focus London in 2012

modelling and forethought, and it gave London back a sense of pride that it is a city with a unique place in the world. Nevertheless, all the celebrations took place against a backdrop of economic hardship, financial fragility and continued uncertainty. The UK economy had tipped back into recession with negative growth in the first two quarters and many sectors such as construction, retail and manufacturing, continued to struggle. Plagued with scandals and a loss of trust, the banking sector has also had to grapple with reform and regulation. While London has confidently set out its stall as the place to do business, to meet for conferences, conventions and shows, to study and to visit, the crux is going to be turning the feel-good factor of 2012 and London’s enhanced reputation into something more tangible – an increase in visitors both tourist and business, the creation of jobs, the attraction of more business and investment, the hosting of more events, and the concomitant boost to the level of economic growth. What London did to prepare for this year, how it delivered and what the impact has been and will be, is the topic of this Focus. But it also looks beyond the obvious ripples of the main events at other perspectives of the year – culture, finance and the economy – all of which are important aspects of the multi-faceted city that London is. What is most apparent as you read the following pages is that where London goes from here and what happens next is going to be the real story of 2012. I

012 was a momentous year for London as it staged first the Diamond Jubilee of Queen Elizabeth II, and then the Olympic & Paralympic Games. For sustained periods it was in the world’s spotlight. International media came to the capital in their thousands to relay news, information and images of London to billions around the globe, and millions of visitors came to see and experience it for themselves, many for the first time. London has always been a global city; a magnate for people from near and far with the capacity to embrace them all – it is home to people of over 270 nationalities who speak 300 different languages. But in this very special year, London was on show like never before. It was a year in which expectations were surpassed and perceptions changed both internally and externally: Londoners’ views of themselves were transformed; and the world saw London in a new light. Its success was down to the best planning, and the right amount of

focus contents 35 Boris Johnson: a message from the Mayor of London

42 Tony Hall: culture and engagement

36 Sir Keith Mills: business lessons to be learnt from London 2012

44 The Creative Jobs Programme

38 The sport undergoing a sea change

45 The Diamond Jubilee

39 Keeping London clean in 2012

46 The business of being London in 2012

41 Vincent de Rivaz, CBE: London 2012 and the power

48 2012 in the City of London

to inspire people

32 - info - january / february

50 The UK economy in 2012

2 012 t i m e l i n e

JANUARY

FEBRUARY

MARCH

1 London’s New Year fireworks mark the beginning of London 2012 10 HS2, the high-speed rail link between London and Birmingham gets the go-ahead from the government

28 The giant Olympic Rings are unveiled on the Thames 28 The Occupy London camp around St Paul’s Cathedral is removed during the night

APRIL

MAY

JUNE

4 Boris Johnson is re-elected as Mayor of London 11 The ArcelorMittal Orbit tower, designed by Anish Kapoor, is unveiled at Olympic Park 23 A revamped Leicester Square is opened by Mayor Boris Johnson

3 Thames Diamond Jubilee Pageant 19 David Cameron says he will ‘roll out the red carpet’ for French companies coming to the UK 28 The London Emirates Air Line (Thames cable car) is officially launched

AUGUST

SEPTEMBER

25 The Queen officially reopens the historic ship Cutty Sark after a £50 million restoration project

JULY 5 London skyscraper, The Shard, is inaugurated and becomes the tallest building in the European Union 11 François Hollande visits the UK as French President 27 The Opening Ceremony of the London 2012 Olympic Games

12 The Closing Ceremony of the London 2012 Olympic Games 29 The Opening Ceremony of the Paralympic Games

OCTOBER

NOVEMBER

26 The UK’s tallest viewing gallery is unveiled in The Shard

20 London-based UBS trader Kweku Adoboli is found guilty and jailed for the biggest fraud in British history

1 The new Royal London Hospital opens 1 French presidential candidate François Hollande visits London 2 Chancellor George Osborne presents the 2012 Budget to parliament

4 Cabinet reshuffle 9 The Closing Ceremony of the Paralympic Games 10 London Olympian and Paralympian Parade 25 Time Out London distributed freely

DECEMBER 3 Official announcement of  the Duchess of Cambridge’s pregnancy

info - january / february - 33

Discover a wider view of the business world. o c u sday. In print and on all your devices,f every A subscription to the FT means you never miss out.

The Financial Times is renowned for its global news, insightful opinion and razorsharp analysis. Business never stops and subscribing to the FT means you wonâ&#x20AC;&#x2122;t miss out on the news, context and intelligence you need to get ahead. Whether you want the FT newspaper delivered to your door each morning or FT.com on your desktop, tablet or mobile, you can choose how you want to experience our award-winning content.

Subscribe today at www.ft.com/subscribe Corporate subscriptions: ftsales.support@ft.com

Scan this QR code with your smartphone 34 - info - january / february

focus

Boris Johnson: a message from the Mayor of London D

o you remember all the gloom and negativity that we heard just before the Olympic and Paralympic Games began last summer? They said the trains weren’t going to run on time and the security guards weren’t going to turn up and the predictions for the weather were absolutely vile and then it all went fantastically right. The transport system went perfectly, Team GB did absolutely brilliantly and a fantastic mood of community seemed to suffuse, percolate, pervade the entire population of London and indeed beyond into the country as a whole. And don’t just remember the triumph of the

Olympics and Paralympics, remember the gloom that came first, because I think people are just as misguided in their pessimism about what we’re going to get from the Games and about 2013. We’re going to make sure that we use the Olympics and the success of London 2012 to deliver more jobs, more homes and regeneration for East London. And we’re going to build on that fantastic sense of togetherness and community and have a real volunteering legacy for Londoners via Team London. It was a wonderful year in 2012. Believe me 2013 is going to every bit as exciting. In the meantime, I hope you have a happy, healthy and prosperous New Year. I

info - january / february - 35

focus

Sir Keith Mills: business lessons to be learnt from London 2012 A successful businessman and entrepreneur himself, Sir Keith Mills was in charge of the company that won the London 2012 bid before becoming Deputy Chairman of LOCOG. He tells INFO what benefits and lessons the Olympics & Paralympics have left us with How would you describe the legacy of the Games at a macro level?

Many of the legacy benefits won’t be realised for some years because they are long-term benefits, but there were clearly some short-term economic benefits for the UK leading up to the Games and through the Games. The most immediate impact is that it provided the UK with much-needed confidence in its ability to tackle ambitious projects successfully. It is very difficult to quantify that economically, but without question, we have already seen an increase in confidence in the UK’s ability to tackle longer projects. The longer term benefits – the regeneration in East London, and far-reaching economic, sport and social benefits – will really only be seen over the next few years. We can already see a few good things happening but realising the outcome can take a bit longer. The Olympics were delivered on time and on budget, and have been held up as a successful example of a privatepublic partnership. How did it work in practice?

The bid was run pretty much as a private sector enterprise. It had some public money with a very light ‘public touch’. In other words, the company that ran

Sir Keith Mills 36 - info - january / february

the London 2012 bid was a limited company of which I was CEO and we worked with government officials, with a lot of co-operation from the Mayor of London and central government. They did not take the lead in running the bid nor the Games. Back in 2005, we set up two organisations: the London Organising Committee of the Olympic Games (LOCOG) and the Olympic Delivery Authority (ODA). LOCOG was chaired by Lord Sebastian Coe and myself, with Paul Deighton, an ex-Goldman Sachs COO as CEO, and was run largely as a private business. It raised about £2.4 billion, largely from the private sector – the sale of tickets, sponsors, broadcasting revenues, merchandise revenues, etc. The ODA was a public organisation which reported to government, and its job was the regeneration of East London and the physical building of the infrastructure. So public money was spent on infrastructure and private money was spent on running the Games. Do you think it is a model for any other large infrastructure projects in the UK?

The challenge in public projects is that when public money is spent, the government, whether it is British or French, likes to feel that it has control because it is answerable to the electorate. The problem with that model is that for some government projects, the line between overseeing a project and managing a project becomes blurred. And as soon as a government tries to manage a project, in my experience, it’s a disaster! In the case of the Olympic Delivery Authority, the government had oversight on what it was doing but it did not interfere. LOCOG and the ODA had a very close relationship. We shared the same office building - I was 50 yards away from the CEO of the ODA. The ODA was allowed to deliver the infrastructure and building projects without too much interference but it was able to provide an overview of how public money was being spent that was sufficient to discharge its obligations to parliament. I think we had a good balance. Is that a good model for the future? Yes, there are some interesting

ÂŠ L ondonon v ie w. com

focus

The Olympic cauldron designed by Thomas Heatherwick

lessons to learn in terms of public-private partnerships. I think because the Olympic public-private partnership has been recognised as very successful internally in the UK by the government, the media and the electorate, we will have more confidence to follow a similar model in the future.

economically damaging for the country as a whole. The Olympics had some big name sponsors. What was the nature of that sponsorship?

The Olympics is not a normal sponsorship proposition. The big difference is that there is no branding at all in the Games. In the VendĂŠe Globe, the sponsors are all What are some of the lessons to be learnt? over the sails, in football they are on the shirts and in The big lesson to be learnt for major regeneration or Formula One on the car. Sponsorship at the Olympic capital projects is the streamlining of planning. This Games is not about brand awareness in the same way has always been a problem for big infrastructure as traditional sponsorship so the commercial agreement projects. For example, the fifth terminal at Heathrow that we had with companies like EDF, BT, British Airport took 10 years to get planning permission. We Airways or VISA was much more at a strategic/business managed to get planning permission for the Olympic partnership level. For most of our corporate partners, Park, which was the largest planning it was a commercial partnership, application filed in UK history, in 14 not a traditional sponsorship. For months. We went through a planning The big lesson to be learnt instance with EDF Energy, a very process that was just as thorough as for major regeneration large part of the relationship was the Terminal 5, but 10 times as fast! To do or capital projects is the contribution they made to building this we created a planning authority and commissioning a heating and streamlining of planning made up of the five London Boroughs cooling plant, and providing the that were going to be affected by the power requirements for this whole Games. They pooled their planning regeneration of East London. In return resources in this new planning authority, which for providing the power infrastructure that we needed, made one planning application that went through the they got marketing rights for the Games. Most of our processes in a very short period of time. contracts were a combination of cash and value in kind, We need to find ways of delivering projects much which means that the partnership that you have with more effectively than we have historically. Take those companies is a much closer and truly integrated London and its need for a new airport. We have been business partnership as opposed to simply buying some talking about a new airport for London for 25 years, sponsorship at armsâ&#x20AC;&#x2122; length. I interview by Alban James, but if it takes another 20 years to build one, it will be Associate at IndigoBlue Consulting info - january / february - 37

focus

The sport undergoing a sea change When Ben Ainslie clinched his fourth successive gold medal at London 2012, he became the most decorated Olympic sailor in history. Rob Andrews, the LOCOG Sport Competition Manager for Sailing, talks to INFO about sailing at the Olympics and its legacy

What makes sailing different from other sports?

The first challenge is that the field of play is on the water while spectators are a distance away on shore. The London 2012 venue was chosen because it overlooked the closest course to the shore with spectators only 150 metres away from the athletes. Giant screens also brought the action closer while sailing specialists provided commentary and examples of the boats could be seen on display. Another challenge was that nobody had ever charged for watching sailing before. Even the America’s Cup did not directly charge spectators. However we were sold out with people paying £55 to watch the races and the feedback from the spectators was that they really enjoyed it. When athletes won their medals, they celebrated in front of a crowd of 4,500, which had never happened before, and this made a massive difference in terms of giving an emotional dimension to the sport of sailing. What is the legacy of the Games for sailing?

Will the Games make sailing more popular in the UK?

Yes. At these Games the BBC took far more feeds than it would have previously, based on its expectations of how popular or successful sailing would be. This meant that there was a lot of sailing coverage available. Our sport is at a big crossroads in terms of interfacing with spectators. We are seeing this at the America’s Cup, where they sail much closer to the shore with a greater emphasis on spectators, and dispatch live coverage of races directly on YouTube. Social media is playing a greater role: athletes are being followed via Twitter and Facebook. Internet-based tracking is another development. Boats are now fitted with GPS devices which track position and speed data, giving commentators live data for television, radio and Internet-based blogs. We are all making headway, but the sport still has to get better and we need to do more to ensure that it is attractive to large audiences, and hence to sponsors. I interview by Alban James, Associate at IndigoBlue Consulting and correspondent at Course au Large / Ocean Racing

The legacy is on all sorts of different levels. We did not want to end up with white elephants so we decided to use existing venues (Weymouth and Portland National Sailing Academy and the Portland Marina), adding specifics to them to make them truly memorable Olympic experiences. The Olympic Delivery Authority’s investment was relatively small at £8-9 million because we used a lot of infrastructure that had been built for the Youth Worlds in 2006 and Sailing World Cup in 2007, but the benefit of the Olympics is that everybody now

knows about them because of their exposure during the Games. These improved facilities are now world class and will form part of the legacy with the usage they offer at a range of different levels from beginner to elite: local children can learn to sail for £5 through a scheme run by the Chesil Trust, while at the top end, world championships are already booked for 2013.

The Olympic Men’s Finn race at Weymouth where British Olympic sailor Ben Ainslie took gold 38 - info - january / february

focus

Keeping London clean in 2012 Veolia Environmental Services collects 1.5 million tonnes of London waste each year and its services are very visible to the public. Communications manager Dan Lester explains how it rose to the logistical challenge of carrying out its operations during the Olympics

eolia Environmental Services collects household waste and recycling in 11 of London’s 33 boroughs and is responsible for street cleansing in eight of these. We also collect waste and recycling from businesses throughout the capital. The Olympic & Paralympic Games had a major impact on our logistics, the volume of waste handled, our staff resource levels and our interaction with the public. We started engaging with Transport for London, the Olympic Delivery Authority, our local authority and commercial clients over 18 months prior to the Opening Ceremony. This allowed us to identify the level of impact the Games could have on our operations. We focused on three priority areas to minimise the Games’ impact on the service levels of our operations. Firstly, we had to increase the size of our fleet and number of collection rounds to avoid vehicles making multiple trips to disposal facilities and reduce the risk of creating and getting caught in traffic. We added 26 rounds to our operations to make sure our collection trucks operated on a ‘one load per day’ strategy. Secondly, we amended our hours of operation to minimise disruption of collection times and avoid traffic. We undertook trials to monitor the impact of making night-time collections in areas where we normally only collect during the day. The results were extremely positive, with no complaints about noise from local residents during the trial period. Thirdly, we recruited 400 additional employees who were trained specifically for the challenges the Games would bring. This included our staff’s role as ambassadors for our local authority clients, for Veolia, and for London. Our street cleansers were deployed at strategic locations and times, armed with maps and tourist information, to ensure that we always presented London in the best light. The safety of the public and our staff is always of critical importance. The Games saw millions of tourists visiting London, many of whom are from countries that drive on the opposite side of the road to us, and so are used to looking the other way when crossing the road.

Veolia cleaning up Carnaby Street

We therefore developed a bespoke training plan to make all our staff aware of this potential hazard. We overcame the challenge of managing and supervising our employees by implementing a GPS-based solution to track them and check their progress against planned schedules. We also prepared Plan B schedules of collection in case of increased traffic and/or security measures. Our managers were equipped with bikes to check their manual sweeping staff, while our plans were continuously monitored by a member of staff placed in the Borough Operational Command Centres. Dedicated Liaison Officers provided daily briefings to our senior managers across all operations throughout the Games period, and shared problems and solutions. While developing our plans all our local authority clients were briefed and engaged. Additionally we worked closely with our suppliers (fuel, spare parts for lorries) to ensure we had a much more robust supply chain during the Games. This included moving from a ‘just in time’ to a ‘just in case’ approach to supplies as well as rescheduling our vehicle maintenance before the Games and investing in mobile maintenance teams. The planning process for the Games was a creative and innovative one, in which we worked closely with all our partners. Because of this, Veolia actively embraced and successfully overcame the immense challenge of keeping London looking at its best as we proudly welcomed the Olympic Games to our incredible city. I info - january / february - 39

focus

Conceived and designed by Mark Barfield Architects

EDF Energy advert

If feels better being powered by 40 - info - january / february Character under licence BeatBots LLC. EDF Energy is a trading name of EDF Energy Customers plc, Reg. No. 02228297 whose Registered Office is at 40 Grosvenor Place, London SW1X 7EN, incorporated in England and Wales.

focus

Vincent de Rivaz, CBE:

London 2012 and the power to inspire people EDF Energy was associated with London 2012 from as far back as 2004 when it backed the bid, and subsequently EDF Group sponsored the Olympic and Paralympic Games. Vincent de Rivaz, CBE, CEO of EDF Energy, tells INFO about its involvement and resonance with the company vision

Can you describe how EDF’s partnership with London 2012 worked and how EDF was involved?

I’m proud to say that we were among those who backed London’s Olympic bid from its earliest stages. It was a project first supported by EDF Energy and then embraced by the whole Group – a clear recognition of the UK’s importance to the Group. We did it because we had a longterm vision that the UK would Vincent de Rivaz become a vital market for the Group, a vision that put sustainability at the heart of our business, and a vision to use education as a way to inspire the younger generation. I have always believed that as we ask what kind of planet we are leaving our children, so we must also ask what kind of children we are leaving our planet. Our London 2012 partnership delivered our vision and nothing exemplified this more than the impact our Olympic journey has had on our own people – our employees. Here lies the true magic of the Games. The power to inspire people.

The Commission for a Sustainable London 2012 has called these Olympics Games the most ‘sustainable’ ever held. What part did EDF play in this?

As the official electricity supplier, EDF Energy was proud to power the main stadium and many other venues with low carbon electricity from a mixture of nuclear and renewable sources. We also helped to create a more sustainable lighting system for London’s iconic Tower Bridge and we supported innovative energy solutions at the Games by installing the latest in real-time energy monitoring technology at sports venues across the Olympic Park, the EDF Energy London Eye and Tower Bridge. The inspiration of the Games embodies our commitment to our customers. Through our Customer Commitments we aim to take our customers on a journey towards feeling better about their energy supplier and living a lower carbon lifestyle. How is EDF Energy helping to create a legacy for London 2012?

Vincent de Rivaz with Lord Sebastian Coe and the athlete ambassadors from Team EDF

We have used the spirit of the Games to inspire our employees, our customers and our communities to reduce their carbon footprint. From the start, as the first commercial partner of the bid in 2004, we wanted to demonstrate our belief in the Games as a vehicle to encourage people to adopt low-carbon lifestyles. Since September 2008, we have engaged with 6 million school children through our schools programme, the Pod, to teach them about using energy sustainably. EDF Energy also installed energy-saving technology in the 12 Olympic borough schools to lower their energy costs and carbon emissions. By the time of the next summer games in Rio, more than 2,000 tonnes of CO2 will have been avoided. I KF info - january / february - 41

focus

Tony Hall: culture and engagement As Chair of the Board for the London 2012 Cultural Olympiad, Tony Hall, Lord Hall of Birkenhead, led the cultural programme in the run up to the Games, culminating in the London 2012 Festival. Currently chief Executive of the Royal Opera House, Tony Hall takes up his appointment as Director General of the BBC in March 2013

What was envisaged for the Cultural Olympiad, its scale, its objectives and its intended reach?

Have Olympic host cities always had a Cultural Olympiad, and was there anything different about London’s?

The Cultural Olympiad was a four-year programme running as part of the build up to the Games. It formed a central part of London’s original Olympic bid, reflecting the strength of the arts and creative industries in Britain and London’s unique status as an international cultural centre. The Olympiad provided opportunities for communities to engage with the idea of the Games and contribute to local projects. We wanted to create a nationwide cultural festival in 2012 celebrating the incredible quality and diversity of the UK’s creativity and providing opportunities for people from all over the country to get involved. The London 2012 Festival was the biggest cultural festival the UK has ever seen – 25,000 artists from 204 nations were involved in more than 13,000 performances and events at 1,270 venues. Attendances reached nearly 20 million, with 80% of these being at free events. Providing so many free events was key to our vision as we didn’t want the Festival to feel exclusive in any way, it was for everyone and the response from the public was amazing.

Bringing together sport and the arts was part of the vision of the founder of the modern Olympic movement, Pierre de Coubertin. He believed the Games should celebrate mind, body and spirit and that culture was a vital ingredient in this. So, culture has always been a part of the Olympics and many host cities have run cultural programmes alongside the Games. What was different about London was that culture was at the heart of the bid and was key to the International Olympic Committee’s decision to award the 2012 Games to the city. Through the Cultural Olympiad and the London 2012 Festival we integrated culture and the arts into the Games, creating a unique and exciting atmosphere both in London and across the country. What were some of its most ambitious and successful events and performances?

One of the brilliant things about the Cultural Olympiad was the enthusiasm and the willingness to make the seemingly impossible happen. There was a sense that because this was the Olympics, because it was a ‘once-in-a-lifetime’ moment, people would go out of their way to say yes to things. A few of the most memorable moments were the BBC creating its biggest ever free festival – the Radio 1 Hackney Weekend – with live music across six stages; Piccadilly Circus Circus involving a French company of aerial artists as angels pillow fighting above our heads and people laughing and throwing feathers in the air and acting like kids do in snow; and Elizabeth Streb and her artists abseiling down the Mayor’s Building and performing in the spokes of the London Eye. Another extraordinary achievement was Yes

Feathers fly at the Piccadilly Circus Circus 42 - info - january / february

focus

Yes No lighting up Hadrian’s Wall with weather balloons along most of its length: 120 separate landowners needed to say yes for this remarkable art-work to take place. What is your assessment of the impact and success of the Cultural Olympiad on London and the UK?

The sheer scale and reach of the Olympiad and Festival were unprecedented. There were nearly 20 million attendances at Festival events and the things we did in partnership with the BBC reached 20.7 million – or 36% of the UK population. The response was overwhelmingly positive with 85% of attendees saying the Festival was a positive addition to the Games. We wanted to encourage people to engage more with the arts and research shows that the London 2012 Festival inspired more than 10 million people to take part in further cultural activities. That will have a real impact on the UK cultural scene. The Games as a whole boosted the image of London and the UK around the world, showing it as an exciting, open, diverse and creative society. Do you think mindsets have been changed and if so, how?

One of the striking things about the build up to the Games was the sense of excitement among the public – the huge crowds that came out to welcome the torch, for example – people really wanted to be involved. On the opening day of the Games, Martin Creed created an artwork which asked everyone to ring a bell – any bell – very loudly and quickly at 08:12 for 3 minutes. I rang my bell with the Speaker of the House of Commons – he’d agreed to let Big Ben bong for three minutes too – the first time it had bonged away from the Quarter hours since George VI’s time. But what amazed me was that 2.9m people joined in! Unlimited was the biggest ever programme of arts and culture by deaf and disabled people – 29 works were commissioned – it’s never been done before on such a scale anywhere in the world. Just as the Paralympics, and Channel 4’s groundbreaking coverage, changed people’s perceptions of disability, this programme too has made a huge difference to the status of disability artists. For the first time, and again because it was 2012, we had homeless people singing in the Royal Opera House. What voices! It was so moving and a very important thing that we will not let drop. Cultural festivals are inspiring, but of the moment. How is the Cultural Olympiad able to deliver a lasting legacy?

By harnessing the enthusiasm and energy that was created – we’ve shown what we can do and showcased the extraordinary creative talent that exists in this country but the challenge now is to make sure this isn’t a one off. That means keeping the networks going.

Tony Hall

Partnerships were key to the success of the Olympiad – like the collaboration between the Arts Council and the BBC to create The Space, a digital platform for the arts where people can watch live events and access works on demand. I’m delighted that The Space is going to continue as a legacy from the Olympiad. The Cultural Olympiad Board brought together funders with major arts organisations and broadcasters – it was a powerful combination and those lasting relationships will, I believe, lead to great things. Ensuring that the government and other sponsors and funders continue to support the arts is a major part of securing an ongoing legacy from the Games. What do you see as the lasting social and economic benefits of the Cultural Olympiad?

The arts in the UK already generate immense benefits, both in contributing to the economy and bringing communities together. By creating enthusiasm and excitement for the arts among a whole new audience, the London 2012 Festival will not only enhance the UK cultural scene, but increase the benefits to the economy and society. In the West Midlands alone, the Cultural Olympiad added an estimated £27.4million to the local economy. There was a discernable impact on the community too, with the 964 projects involving a huge range of people from across the region. The Festival has inspired over 10 million people to take part in further cultural activities, with two thirds of those who attended the Festival saying that they would like to attend more cultural events like it in the future. If we can maintain that budding enthusiasm for the arts, the UK cultural scene will greatly benefit, along with our economy and wider society. I KF info - january / february - 43

focus

The Creative Jobs Programme: developing a skills legacy from the Cultural Olympiad the skills they’ve been building up in their jobs. ‘What Next?’ was the theme of their project, touching on a theme common in London post2012 Olympics and post-2011 riots, as well as asking questions about their own career pathways as young artists and creatives. They created an Art Exhibition which was shown at St Martin in the Fields Gallery in the Crypt, a short video about the London 2012 Olympic and Paralympic games, ran a series of careers workshops for other young people interested in the arts and designed the Creative Jobs Programme website. Every element of the programme was geared towards helping them find employment and develop their skills and networks within the sector. The work experience they gained at some of the world’s best known cultural venues will really stand out on their CVs, and the exposure they’ve had to different staff and organisations through the programme of masterclasses helps them build up their professional network and expand their horizons. Every person on the programme was matched up to a mentor - usually a manager already working in the arts at a different organisation - who helped them get the most out of their experience and assisted them with their career planning and next steps. The Arts Council has seen the evidence of this and the previous programmes led by the Royal Opera House and recently announced the funding for a new Creative Employment Programme. This will be a national programme and not just London-based, giving a huge boost to those organisations across the country that also have a need for skilled young people coming into the industry. It’s also a great step forward in trying to alleviate some of the pain of unemployment among the Aaron Hall, Personnel Team Assistant discussing a dress from La Traviata with young across the country. I the Royal Opera House’s Costume Workroom Manager Mal Barton. by Tony Hall © A n gel a C l a r ke

The Creative Jobs Programme gave 40 unemployed young people aged 18-24 six months’ paid work experience and training within organisations involved in the Cultural Olympiad. It is a legacy programme from the Cultural Olympiad, supported by LOCOG, Arts Council England, Legacy Trust UK and BP. We wanted to give young Londoners a oncein-a-lifetime opportunity to get real experience during the London 2012 Festival at some of the best cultural venues in the world. A real variety of exciting and interesting positions were created to both inspire young people to start a career in the arts and also equip them with the work experience and technical skills they need to succeed. The 40 successful applicants had the chance to experience the breadth of the creative industries as well as learning about their own particular job so they could find out about what else they could do within the sector. It was also a key aim to offer these fantastic opportunities to those facing the biggest challenges getting work in this incredibly tough job market, some of the million young people who are currently unemployed in the UK. The group also ran their own independent ‘creative project’ to develop their own project management skills and put into practice some of

44 - info - january / february

focus

The Diamond Jubilee 6 February 2012 marked the 60th anniversary of Queen Elizabeth II’s accession to the throne of Great Britain and Northern Ireland, and kicked off a series of celebrations for her Diamond Jubilee year, many of them centred on London

here have been two Diamond Jubilees in Britain’s 1000-year history of monarchy, both of which have been celebrated by queens. Queen Victoria marked hers in 1897, and went on to become Great Britain’s longest reigning monarch with a 63-year reign. 115 years later Queen Elizabeth II commemorated her 60 years on the throne in 2012. Neither woman was born to be queen – Victoria inherited the throne from her uncle, William IV, who died without legitimate issue, and Elizabeth unexpectedly became a successor to the throne when her uncle Edward VIII abdicated, making her father King. During Queen Elizabeth II’s reign only three other Diamond Jubilees have been celebrated by Heads of State.* Of those, only King Bhumibol Adulyadei of Thailand is still living and having ascended the throne in 1946 (six years before Elizabeth in 1952), remains the longest reigning monarch in the world. Great Britain is a nation renowned for its sense of history, tradition, pomp and pageantry, and one of the few in the world with a monarchy, so this rare and special occasion was never going to pass unmarked. A series of Royal tours, both regional and overseas, community events and activities, exhibitions and charities formed part of a programme that culminated in the Diamond Jubilee Weekend in June. The centerpiece was the Thames Diamond Jubilee Pageant, when the Queen and members of the Royal family sailed down the Thames on a Royal Barge, accompanied by a 7-mile long flotilla of 1,000 boats of all shapes, sizes and eras, from the UK, the Commonwealth and around the world. The event echoed those grand royal river pageants of the past – most famously depicted by Canaletto in his painting of 1746 – a modern take on the water-borne celebrations that British monarchs have,

through the centuries, lavished on what has been described as ‘London’s grandest street’. It was, said Lord Sainsbury, Chairman of the Thames Diamond Jubilee Foundation, ‘a fitting tribute to 60 years of service.’ Prime Minister David Cameron said the Jubilee celebrations would give the country the bounce it needed in the face of a faltering economy. There were, however, concerns that the extra bank holiday would have a negative effect on GDP, and second quarter figures bore that out, with the Bank of England estimating that the Jubilee had knocked 0.5% off the figure. However, quantifying the overall economic effects of the Jubilee is difficult because it is perceived to have given a boost to other sectors – tourism, hospitality, leisure and retail. Think of all those street parties, the bunting, The Big Lunch, the commemorative souvenirs, not to mention the restaurants, bars and cafés that benefited from the large crowds of visitors flocking to the capital. Moreover, it is impossible to measure its effect on sentiment or perception. Prime Minister David Cameron summed it up: ‘These are moments when we get the chance to show off the best of Britain and that includes the institutions, the past, the history, the pageantry that we have seen today … it also includes the great universities, the music, the arts, the culture, and yes, the economy, and what a great place this is to start a business. I am hoping we can wrap all those things together and really make the most of this year.’ And as he so succinctly put it, the Jubilee may not have been good for the economy, but it was certainly good for the soul. I KF * King Bhumibol Adulyadej of Thailand celebrated 60 years on the throne in 2006; the former Sultan of Johor (now part of Malaysia) celebrated his in 1955; and Emperor Hirohito of Japan celebrated his in 1986.

info - january / february - 45

focus

The business of being London in 2012 With all eyes on London in 2012, it was a unique opportunity to market the city to the world. David Slater, Director for Trade and Investment at London & Partners, tells INFO what it did and how it is building on the success

or London & Partners, the official promotional organisation for London, 2012 was dominated by the run up to, delivery and aftermath of both the Diamond Jubilee and the Olympic & Paralympic Games. Earlier in the year, when Boris Johnson was up for re-election as Mayor of London, he made it very clear in his campaign that his focus would be on the creation of new jobs in London and growth in the London economy, and it is these two goals that have given the impetus to London & Partners initiatives. ‘The Olympics is the best marketing platform any city could have,’ says David Slater, ‘and we wanted to maximise that, but we also had the Jubilee, which was a truly unique occasion. It was all about using these unique events to tell the London story.’

Welcoming the world’s media When the Diamond Jubilee celebrations centred on the River Thames for the pageant, it created ‘a spectacle on which you could draw the world’s attention’, explains David. London & Partners invited journalists from all over the world, hosting them in their offices outside the City Hall and providing them with a pitch at the finish line. ‘We had Chinese bloggers with followers in numbers we can only dream about, whom we helped to understand what London was about, what was happening, and even get the message across that London was a place where they could come and study, given that we’ve got seven of the world’s top 200 universities here, and over 40 overall.’ Making it as easy as possible for the world’s media to understand the city and what was going on was also the thinking behind the London Media Centre, which was set up at 1 Great George Street near the Houses of Parliament for the duration of the Olympics & Paralympics. It gave the 7,000 international journalists who were not accredited for the Olympic Park a base from which to work, providing them with information, content, opportunities for interviews and a programme of things to do. Such was its success that consideration is being given to establishing a permanent media centre. Attracting business and creating jobs The Olympics & Paralympics also provided an exceptional opportunity to promote London as a place to do 46 - info - january / february

business, and the chief initiative set up for this was the Mayor’s Business Hosting Programme, run by London & Partners. Having selected five priority sectors for foreign direct investment in London, namely ICT, creative industries, financial services, life sciences and energy, 200 international companies were identified, and their senior executives personally invited by the Mayor to come to London during the Olympics to see what it had to offer as a place in which to grow their global businesses. Out of the 198 companies that came, 77 have already indicated they intend to expand or set up in London – an excellent result given that business projects tend to take two to three years to come to fruition – and L&P is talking to the others about what they want to do now and in the future. ‘It’s a constant relationship that we want to have with companies,’ explains David. ‘Company priorities change, their views of what they need change and we want to make sure we are alongside them at all times showing them how London can play a role of benefit to them. In return, the obvious benefit to London is the creation of more jobs and economic growth.’ Although David says it is a little too early to give hard figures, he is optimistic. ‘We sought to generate an additional 3,000 jobs in London as a result of all our Olympic programmes, but I am expecting 5,500 jobs to be created based on initial numbers companies have told us. I am forecasting in the region of £100 million net additional benefit to the economy (£750 million gross). That’s how important the Olympics was as a business generator.’ Axis Bank, one of India’s fastest growing financial services companies, is one of the first companies to announce that it will be opening a London office, its first subsidiary outside of Asia, in early 2013, and there are some larger projects in the pipeline too.

Building a legacy on London 2012 So how do you follow and build on 2012? One of the most tangible legacies is the Olympic Park, and London & Partners is involved in securing an anchor tenant in the stadium, and ensuring that the Aquatic Centre will be used and the Copper Box turned into a community leisure centre. It is also working on bringing iconic events into the Park to carry on the Olympic legacy. ‘With the

focus

Olympics you demonstrate to the world what you can do as a city and as a nation; we have shown we can hold major international events so if you are looking for a home for the World Athletics Championship, the UEFA Champions League, or the Rugby World Cup, for example, this is a city that can deliver it,’ explains David. Tourists are also being targeted with the launch of the London Now See It For Yourself campaign. ‘I’m pretty sure London is on everyone’s long list of places to visit at some point in their lives,’ says David, ‘but now is the time to get people to move it to the top of the list. They’ve seen it in the media this year – all the backdrops, all our iconic venues, the Queen sailing up to Tower Bridge, the Olympic Park, and now we want them to come and see it for themselves.’ On the business side, David is confident that ‘if we start bringing in major projects on the back of the Olympics there is nothing like success to breed more success.’ Companies seeing Google’s tech entrepreneur Campus in east London’s Tech City or Telefonica Digital setting up its global headquarters in London will start thinking it is the right place for them to be too. ‘You can’t duplicate the Olympics but you can deliver the legacy and use the enhancement of London’s reputation as a world city to attract people,’ he says. The ICT and creative sectors are seen as priority areas for growth, and London is a place where the convergence between very creative people and very technologically minded people is happening. Tech City is one hotspot but it is actually city-wide. There are even plans to turn the broadcasting centre at the Olympic Park into an

incubator where new technology and new companies can be based and can grow. Another priority growth area is life sciences. London already has the academic and research base with at least three academic health science centres – Imperial, King’s and University College London – where clinical practice takes place alongside research and development, it has the presence of global businesses and pharmaceutical companies, and it has one of the most diverse patient populations in the world. ‘If you can push those things together and facilitate the links more systematically you’ll have the perfect environment to create new, world-beating therapies and products.’

French connections London & Partners has helped 34 French companies set up business in London in the past three years and is expecting more. ‘We know there are brilliant French people and brilliant French companies and we would love them to come to London. The French have creativity, Gallic flair, different ways of thinking, good technology and an excellent science base. And that is what you need to build great companies. We want to get our academics partnering with one another, our businesses talking to one another, we want to help French companies with great products to come and compete here.’ Post 2012, London’s message to the world could not be clearer: ‘We want you to come and experience London and be part of it, whether you are a tourist, a student, a business, or attending a convention. We will welcome you and do our best to make it as easy as possible.’ I KF For more information visit londonandpartners.com/business info - january / february - 47

focus

2012 in the City of London While London has had a year of highs, the City of London has experienced both ups and downs, dominated by issues stemming from banking regulation and misconduct. Patrick Gougeon, UK Director of ESCP Europe Business School looks at the highs and lows

Equity markets The equity market has seen some ups and downs through the year with a rally in the last two months providing an acceptable return for the year 2012 (see graph below). However, compared to 22% in Paris for the CAC40 London’s FTSE100 returned only 10%.

Banking regulation: ambitious plans, but still a long way to go UK politicians and regulatory bodies have started a race to demonstrate they are determined to put a new order in place rapidly – which is important to maintain the reputation of London as a prominent world financial centre. However, appropriate solutions are not that obvious, nor are they simple to implement, so that at the end of 2012 a lot of issues are still pending. Not only is the relevance of Basel III being questioned, but more specific intended measures are also being challenged. In particular, Sir John Vickers’ recommendations on ring-fencing banks’ retail operations are likely to be amended

or abandoned if the full separation proposed by Mr Volker is preferred. The UK has also adopted a tough attitude towards overseas banks that intend to take deposits in the UK, compelling them to open ‘locally regulated subsidiaries with their own access to cash and capital’, but some argue with such a regulation it would be the end of international banking. In any case it will come at a cost: the FSA’s budget has increased by 10% both last year and the year before, and more is to come.

UK banking and the EU: in or out? The prospect of a euro-bloc made of 17 countries ruling and supervising European banks has become a serious concern for the UK government and banking system. UK as the other non-euro member countries want to make sure the European Banking Authority would not be in a position to dictate its rules to all 27 EU countries without their participation. There’ll be more to come in 2013.

CA 40 - FTSE100 (=100 December 2011)

20,00

10,00

-10,00 2012

Mar

48 - info - january / february

Mai

Jul

Sep

Nov

Bonus and executive pay: banks resist Both UK authorities and investors have clearly put forward their willingness to curb bankers’ ability to award themselves generous bonuses and pay packages, particularly in a period when austerity is imposed on others. But so far banks have resisted. As a minimum the Financial Services Authority demands that bonuses be reduced to reflect market

Photo b y DAV I D I L I F F. L icen s e: CC - B Y- S A 3 . 0

focus

Canary Wharf, London’s financial district

manipulations and other scandals that took place in the recent past, but the plan proposed by Business Secretary Vince Cable, for binding shareholder votes on executive pay seems unlikely in its original form.

waiting for their cases to be settled. Even if banks can demonstrate it is the result of individual regrettable behaviours, it casts doubt on their ethics and does not gain them any popularity. Recently, the UK Financial Services Authority ‘The Whale’: the rogue trader of the year unveiled rules on how LIBOR should be determined A trader called Bruno Iksil, known as the ‘London and checked. Thomson Reuters is ready to run the Whale’ among hedge funds for his big position on new system. the market – albeit apparently not The crisis has revealed the ‘too big to fail’ – was responsible for complexity and the weaknesses an estimated $9 billion loss... half of the global financial system the year’s profit of his employer as well as the dominance of A new order... is important JPMorgan. finance over the real economy. to maintain the reputation Few would oppose the idea that of London as a prominent LIBOR: embarrassing radical structural changes ought world financial centre US and UK authorities have fined to be implemented, but in the Barclays $450m for attempting to short term national leaders manipulate LIBOR – the London need to concentrate on getting interbank offered rate, a reference interest rate their economies back on track. In this context, that is used worldwide affecting a large range of national interest comes first and it does not help transactions representing an estimated amount of finding global solutions. A great deal of debate has $360 trillion! It is a reasonable penalty finally due taken place in 2012 about reforms, but there is a lot to early co-operation from the bank. Other banks still pending. Market signals are unclear; ambiguity are also under investigation – some say about 20 – dominates. I info - january / february - 49

focus

The UK economy in 2012 While the UK and London enjoyed a memorable year with the Olympics and the Diamond Jubilee, the same can unfortunately not be said of the broader economy, writes David Tinsley, the Chief UK Economist at BNP Paribas

he UK slid back into recession in 2012 amidst tensions and uncertainty affecting the eurozone and the broader global economy. At home, domestic conditions also remained difficult, with consumers and the public sector continuing a painful but necessary retrenchment. Still, over the third quarter – when the Olympics were taking place – the economy managed to grow by 1.0%, the fastest rate of growth since 2007. For 2012 as a whole we expect the economy to be broadly flat. That is a somewhat better outcome than for the eurozone, though clearly puts the economy as weaker than the US. The fortunes of different sectors have been mixed. The manufacturing sector has clearly struggled, and output has been its weakest since 2009. Exports have suffered from the decline in demand from the eurozone. Elsewhere, the construction sector has also been weak, in part reflecting the fall in public sector infrastructure spending. The service sector, on the other hand, has had more diverse fortunes. Hotels and restaurants have shown a significant rise in output, as a sector most obviously impacted by the Olympics, while financial services have been fairly weak. One ‘success’ in 2012 has been a falling in inflation. It started the year at 3.6%, before falling to 2.7% in October. It has proved stickier than the Bank of England were expecting, but it should continue to fall over 2013. Looking ahead, 2013 should prove a better year than 2012. Some of the sources of global uncertainty look set to moderate next year. In particular, concerns over the US ‘fiscal cliff’ were allayed just before the end of 2012. The Chinese economy, too, looks to have finally bottomed and indicators are suggesting a decent upswing may be in train. The situation remains more complicated in the eurozone, and many of the more structural issues will most likely take a number of years to sort out. But actions by the ECB and eurozone governments seem to have stabilised sentiment and taken away some of the worst-case risks. 50 - info - january / february

The construction sector has been weak in 2012

The UK should benefit from this better global backdrop, with the manufacturing sector and exports showing a modest rebound. At the same time the domestic situation in the UK will remain challenging. But there are some signs that consumer spending should pick-up, as inflation comes down and as the economy continues to generate new employment. Moreover, actions by the Bank of England to support the economy, should bear some fruit – a modest recovery in housing market transactions should also assist recovery. All told, though, the UK recovery in 2013 will remain fairly weak and tentative. There is still a long way to go in public sector consolidation and businesses will continue, understandably, to be cautious about investing. But the UK economy has strengths as well as weaknesses – including a growing population, a flexible labour market and strong institutions – which in time should see stronger growth return. I

The Royal Academy in 2012 – an extraordinary year for culture ||| After much speculation as to what 2012 would hold, it has turned out to be an extraordinary year for culture in London and a remarkable one for the Royal Academy of Arts (RA). The year began with an astonishing 600,000 visitors to the Hockney exhibition and finished just as strongly, with a stunning assembly of over 150 of the finest bronzes brought from across the globe to the heart of London. As we head into 2013, we look back on the achievements of the past year with pride, a sentiment shared across London, gleaming in the spotlight of key events such as the Queen’s Diamond Jubilee and the Olympic & Paralympic Games. Philanthropy remained hot on the arts agenda. Arts & Business reported a decline in corporate investment in the arts, showing potential nervousness in the market. In spite of this, 2012 proved for many national galleries such as the RA to be a boom year for support at both corporate and individual levels. This shows no sign of abating as we travel into 2013, forecasting our most successful sponsorship year in the past decade. Two key milestones in recent months that helped buck the trend: a move into Burlington Gardens (the beginning of a major expansion) and initial support from the Heritage Lottery Fund (highlighting the RA’s plans to reveal its rich heritage through an expanded learning programme). These catalysts for change reinvigorated the RA’s proposition – 19,000 newly recruited Friends agreed, showing that with confidence in the organisation, individuals understand the benefits of philanthropy, as well as the business world. Another buzzword for 2012 was creativity, valued highly here, from creative leadership to creative thinking. Observations suggest real wealth has been increasingly looking for intellectual stimulation as much as glamour and pomp, gathering around the RA Schools as a centre for global emerging talent as much as around the Champagne flutes of main gallery opening receptions. The RA also hosted both the Department of Trade and Industry’s Creative Industries Reception and the Queen’s Diamond Jubilee Celebration of the Arts, positioning itself as a creative hub throughout the Olympic period. This deliberately took advantage of high profile visitors to London, a good insurance policy against the uncertainty of the Olympics period which traditionally sees host cities’ cultural venues suffer

rather than benefit from the influx of tourism. With all eyes on London this year the pressure was certainly on, but our offer as a very British institution open to the world chimed perfectly with the mood of the city – reflected in particular success with international sponsors over the past year. This international outlook also took our work overseas for the first time with Encounter, a tour of works by Royal Academicians and Asian Artists in Singapore. Throughout the year the RA powerfully combined a global vision with a proven track record, making its mark on the international stage. It was just a year ago that our President, Christopher Le Brun, took to the helm; a new man with a new vision to steer us expertly through the challenges of 2012. At this moment we would like to thank all our supporters too, in particular fellow members of the Chamber. The Royal Academy of Arts enters 2013 in a fully buoyant mood, and we are looking forward to exceeding the successes of 2012 with another thriving year! I Angharad Lloyd-Jones, Deputy Director of Development, Royal Academy of Arts info - january / february - 51

w h at ’ s o n lo n d o n t r a n s p o rt m u s e u m

melancholy loner seeking his place in the world, the show accompanies him on his extraordinary journey as he meets motley characters like the King, the Trickster and the Obnoxious Tourist & his Bad Dog. Swinging through a range of emotions, from fear to laughter, Kooza will please and enthrall people of all ages. I 5 January – 14 February. Tickets from £60.00

design museum

United Micro Kingdoms (UmK): A Design Fiction UmK presents a fictional future perspective for the United Kingdom as imagined by designers and educators Dunne & Raby. The exhibition sees England devolved into four self-contained counties, all free to experiment with their own governance, economy and lifestyle. These ‘live laboratories’ interrogate the ethical and cultural impact of existing and new technologies on our way of life. By using elements of industrial design, architecture, politics, science and sociology, they provoke debate around the power and potential of design. I 30 January – 28 April. Open daily 10.00am – 5.45pm Full price: £10

London Underground celebrates its 150th anniversary in 2013

r oya l a l b e r t h a l l

Cirque du Soleil – Kooza This winter, Cirque du Soleil is coming to town with a show never seen in the UK: Kooza. The show is a return to the Cirque’s origins, combining the two circus traditions of acrobatic performance and the art of clowning in a colourful display of physicality and humour. Telling the story of The Innocent, a 52 - info - january / february

t h e q u e e n ’ s g a l l e ry

On 9 January 1863, the world’s first underground train pulled out of Paddington station to make the first passenger journey under the streets of London to Farrington Street. 2013 marks the 150th anniversary of that journey, which is being celebrated by London Underground and the London Transport Museum with a series of heritage vehicle runs, exhibitions and events. The anniversary day itself will be marked with a panel discussion on London Underground: Past, Present and Future at the London Transport Museum. Among the other events planned are two special stream train runs in January, a ‘Poster Art 150’ exhibition of the 150 best London Underground poster designs, both well known and rare, from February to October, and ‘Behind the Scenes’ open weekends at the Museum Depot in Acton. Special gifts and souvenirs have been launched for the anniversary, inspired by London Underground logos and poster archive. I For further information and details, visit the London Transport Museum website: www.ltmuseum.co.uk

The Queen: 60 Photographs for 60 Years A unique portrait of Queen Elizabeth is presented in a series of 60 photographs capturing fleeting moments in her 60-year reign, on official occasions as well as at relaxed family gatherings. The photographs, which include the work of leading press photographers of the past six decades have been brought together in an exhibition at the Queen’s Gallery, Holyroodhouse in Edinburgh. With the advent of photography, the boundaries between the officially approved and the spontaneously captured image of the monarch were irreversibly blurred. Today, through the reach of modern media, the image of Her Majesty is familiar to millions around the world. I Until 24 February. Open daily November to March 9.30am – 4.30pm; April to October 9.30am – 5pm

w h at ’ s o n r oya l o p e r a h o u s e

r oya l a c a d e m y o f a r t s

The Royal Opera House is presenting an exciting revival of John Copley’s traditional 1974 staging of Puccini’s Parisian romance La Bohème featuring the talented Mexican tenor Rolando Villazón as Rodolfo. The opera runs until 12 March. In a mixed programme of performances from the Royal Ballet, two shows stand out: La Valse (12 – 23 February), an atmospheric ballet depicting 19th century Imperial Vienna filled with dancers swirling around the stage to Ravel’s score; and one of the landmark ballets of the 20th century, Apollo (22 February – 14 March), an interpretation of the myth by George Balachine, whose choreography is beautifully in tune with Stravinsky’s music. Associate company Ballet Black is also returning with a dazzling new programme (27 February – 6 March). I For times, dates and details of performances or to book visit www.roh.org.uk

n at i o n a l p o r t r a i t g a l l e ry

Man Ray Portraits This is the first exhibition to focus solely on the highly inventive and unconventional photographic images by the famous American photographer: Man Ray. The collection includes over 150 vintage prints of his career in America and Paris Man Ray Self-Portrait with Camera, 1932 by Man between 1916 and 1968, where Ray The Jewish Museum, New York, Purchase: the artist experimented so Photography Acquisitions Committee Fund, Horace W. Goldsmith Fund, and Judith and Jack Stern Gift, much with the form that 2004-16. Photo by Richard Goodbody, Inc © 2008 Man Ray Trust / Artists Rights Society (ARS), NY / ADAGP, Paris his works became known as 2012 © Photo The Jewish Museum ‘Rayographs’. These reveal the artist’s revolutionary techniques such as solarisation and early experiments with colour and portray a number of his friends, lovers and contemporaries, such as Catherine Deneuve, Pablo Picasso, James Joyce and his muse Lee Miller. The avant garde photographs, many of which have never been seen in the UK before, are on loan to the National Portrait Gallery from private collectors and museums around the world. I 7 February – 27 May. Open daily 10am – 5.15pm, Thursdays & Fridays 10am – 8.15pm Full price: £12.70

La Bohème and a mixed programme of ballet

Manet: Portraying Life In January 2013, the Royal Academy of Arts presents the first major exhibition in the UK of Édouard Manet’s portraiture. The exhibition will examine the relationship between Manet’s portrait painting and his scenes of modern life. By translating portrait sitters into actors in his genre scenes, Manet guarantees the authenticity of the figures that populate his genre paintings and asserts a new, more potent relationship between Realism and Modernity. Manet: Portraying Life includes over 50 paintings spanning the career of this archetypal modern artist together with a selection of pastels and contemporary photographs. It will bring together works from both public and private collections across Europe, Asia and the USA. I 26 January – 14 April. Open daily 10am – 6pm Full price: £15

tat e m o d e r n

A Bigger Splash: Painting after Performance Taking a new look at the dynamic relationship between performance and painting from 1950 to the present day, this exhibition gathers over 40 artists’ key works including Yves Klein, Jackson Pollock and Cindy Sherman. Travelling through 50 years of paintings, videos and pictures from archives and documentary material, the event highlights how the key period of post-war performance art has challenged and energised the medium of painting for successive generations. A Bigger Splash: Painting after Performance shows how ‘action painters’ worked in the 1950s and beyond, through an array of rarely seen films and photographs, revealing the making of their experimental work. I Until 1 April. Open daily 10am – 6pm; Fridays and Saturdays 10am – 10pm. Full price: £10 info - january / february - 53

QSFTFOUT

CONCERT '&#36"3:

4BJOU +PIO T 4NJUI 4RVBSF $IVSDI Ã¦-POEPO Box Office:Â 020 7222 1061 www.sjss.org.uk/whats-on www.frenchradiolondon.com nouvel album

54 - info - january / february

book reviews

The Investigation

The Enigma of the return

by Philippe Claudel, translated by Daniel Hahn Published by MacLehose Press

by Dany Laferrière, translated by David Homel Published by MacLehose Press

||| The Investigator is despatched to a provincial town to investigate a disturbing spate of suicides amongst the employees of The Firm. But from the moment he steps off the train, he finds that everything is against him, from the hostile weather to the town’s bewildering inhabitants. Cold, hungry and humiliated, always one step behind, he finds himself in a recurring nightmare that waking cannot break. And yet his resolve never falters: he remains determined to find the only man he can hold to account – The Firm’s legendary but elusive founder. I

||| Windsor Laferrière is an exiled Haitian writer, forced to flee his homeland as a political dissident. He has lived in Montreal for 33 years and now suffers from writer’s block. His father of the same name has just died in New York, where he himself lived as an émigré for 50 years. Windsor decides to travel to Haiti via New York to attend the funeral and inform his mother of the death. Leaving behind the freezing winter of Montreal – something he has never got used to – for the wet heat of Haiti, Windsor is faced with the grim truth of life in his homeland: the endemic poverty and starvation, the thwarted ambitions and broken dreams. But only here can he become a writer again.... I

The Threads of the Heart by Carole Martinez, translated by Howard Curtis Published by Europa Editions

||| Winner of no less than nine literary prizes, a bestseller in France and Italy, and soon to be made into major film directed by the author herself, this debut novel by Carole Martinez is a bona fide publishing sensation. They say Frasquita knows magic, that she is a healer with occult powers, that perhaps she is a sorcerer. She does indeed possess a remarkable gift, one that has been passed down to the women in her family for generations. From rags, offcuts, and rough fabric she can create gowns and other garments so magnificent, so alive, that they bestow a breathtaking and blinding beauty on whoever wears them; they are also capable of masking any kind of defect or deformity. But Frasquita’s gift incites jealousy. She is hounded and eventually banished from her home, and what follows is an extraordinary adventure as she travels across southern Spain all the way to Africa with her five children in tow. Her exile becomes a quest for a better life, for both herself and her daughters, whom she hopes can escape the fate of her family of sorcerers. The Threads of the Heart possesses the lyric beauty of a prose poem and the narrative power of myth. I

The Ghost Riders of Ordebec by Fred Vargas, translated by Siân Secker Published by Harvill Secker

||| People will die,’ says the panicstricken woman outside police headquarters. She has been standing in blazing sunshine for more than an hour, and refuses to speak to anyone besides Commissaire Adamsberg. Her daughter has seen a vision: ghostly horsemen who target the most nefarious characters in Normandy. Since the middle ages there have been stories of murderers, rapists and those with serious crimes on their conscience, meeting a grizzly end following a visitation by the horsemen. Soon after the young woman’s vision a notoriously cruel man disappears, but the local police dismiss the matter as superstition. Although the case is far outside his jurisdiction, Adamsberg agrees to investigate the strange happenings in a village terrorised by wild rumours and ancient feuds. I

info - january / february - 55

w i n e p r ess

The 152nd wine auction of the Hospices de Beaune In the season of goodwill, thoughts often turn to those less fortunate than ourselves and ways to support them. One charity that has a particular resonance for wine lovers like Thibault Lavergne, is Hospices de beaune, the oldest and largest charity wine auction in the world

t the end of the Hundred Years’ War, Nicolas Rolin, Chancellor of the Duke of Burgundy, Philippe le Bon, was moved by the state of misery in which many Burgundians found themselves, and decided to build a hospital for the sick, the old and the deprived. However, what Nicolas Rolin had in mind was more than a mere hospital; he wanted to create a genuine ‘palace for the poor’ (palais des pôvres). And so, in 1452, the Hôtel-Dieu, with its gothic facades and multicoloured roof tiles, welcomed its first patient. For five centuries, the Sisters of the Hospices de Beaune took care of the sick, elderly, disabled and destitute, right up until the last patient left the Hôtel-Dieu in 1983, and the Hospices’ services were taken over by the, modern Philippe le Bon Hospital. An outstanding example of gothic architecture, the Hôtel-Dieu is now a museum that is intrinsically

56 - info - january / february

linked with the economic and cultural life of the region of Burgundy. Since the fifteenth century, men and women have left possessions, property and wealth to the Hospices de Beaune. In Burgundy, nothing is more precious than vines, and the Domaine of Hospices de Beaune has grown through vineyard donations, reflecting the multitude of great Burgundian terroirs and the generosity of its people. Out of respect for the donors, the Domaine is managed to the highest standards with rigorous cultivation methods that remain faithful to the great diversity of Burgundian soils. The wine auction, organised by Christie’s on the third Sunday of November each year, brings buyers both local and international. Since 2007, a website has allowed online buyers to bid from their personal computers anywhere in the world. A new Grand Cru from the Côte de Nuits joined the Domaine des Hospices recently when a vineyard, located in ‘Les Échézeaux du Dessus’, was donated by Jean-Luc Bissey, whose family has been producing wine in the region for four generations. Échézeaux became the third Côte de Nuits Grand Cru of to be offered for sale by the Hospices, after the MazisChambertin in 1976 and the Clos de la Roche in 1991. In 2012, the crop offer was 512 barrels, called pièces in Burgundy (401 pièces of red wine and 101 pièces of white wine). These pièces represent 44 Cuvées at the wine auction – 31 red and 13 white. The Cuvées are either from single vineyards, or are a blend of grapes from different vineyard plots, creating some special wines that are unique to the Domaine. Each Cuvée is named after an important donor or benefactor of the Hospices de Beaune. Since 1945, the Hospices de Beaune has supported one or more charities by donating the proceeds from one barrel of wine, or pièce, sold especially for that

w ine pr ess

purpose. The ‘Pièce du Président’ is represented by a famous personality, among them Kristin Scott Thomas (1999), Princess Margarita of Romania, Fanny Ardant (2006) and Fabrice Luchini (2010). At the 152nd Hospices de Beaune charity auction, held on 18 November 2012, the ‘Pièce du Président’ was a 350-litre barrel of Corton Grand Cru Cuvée Charlotte Dumay, and Carla Bruni-Sarkozy was the president. Proceeds will go to two associations: Fondation Carla Bruni-Sarkozy, a foundation supporting people who are physically or socially deprived of access to education and culture, and the Fondation Idée, whose patrons are the actor Gérard Depardieu and the retired football manager Guy Roux. The 2012 auction raised €5,909,276 (£4,738,075), a considerable increase on the €5,402,333 raised in 2011. I Thibault Lavergne is the Managing Director of Wine Story Ltd

Wine tourism: Italian regions outrank French regions on Tripadvisor ||| According to the website Tripadvisor, Tuscany is the most visited wine destination in Europe, ahead of France’s Aquitaine and Provence, which rank second and third. The Italian regions of Umbria and Sicily are in fourth and fifth place, followed by three French regions, namely the Languedoc, Burgundy and Champagne. Della Costa Luz (Spain) and the region of Porto (Portugal) are the final two in Europe’s ‘top 10’. Although there is good reason to doubt the reliability of rankings obtained on the Internet, it is a fact that France has long neglected its policies with regard to wine tourism. I In Spring 2013 we will do a special Wine Press on wine tourism (Oenotourisme).

Cheese of the month by La Cave à Fromage: Abondance ||| Situated south of Lake Geneva, Abondance is a small valley, no more than 15 miles in length with just 4,500 inhabitants, that seems barely touched by the modern world. A sense of tranquillity hangs over its four quaint villages, where red geraniums hang from wooden balconies in summer. Even the cows, wearing traditional bells round their necks, seem to share this. They are a special breed called Abondance, distinctive for their white heads and the brown patches round their eyes. From their milk, 60 farmers in the valley produce a delectable hard cheese, also called Abondance, which has a rich colour and delicate flavour that is full of subtlety. First produced by monks in the 12th century, the cheese acquired its reputation when offered at the papal conclave in Avignon in 1381. Abondance A local recipe from Croutes calls for some stale bread, rubbed with garlic and then soaked in white wine before being layered with a few slices of Abondance, seasoned and baked for 5 minutes. Close your eyes and you can hear the cow bells in the tranquil valley of Abondance. I by Eric Charriaux

Your wine with Abondance by Wine Story ||| When trying to match a wine with a particular cheese, it is always best to start by picking wines and cheeses from the same region because after centuries spent working their land and studying its natural characteristics, farmers’ and wine-makers’ creations complement each other very well. So a first suggestion would be to try the Abondance with a white wine from Savoy, made from Chasselas grapes such as Crepy. But the nutty and aromatic characteristics of the cheese would also go well with a nice Chardonnay from the Côtes de Beaune in the south of Burgundy such as a Meursault or a PulignyMontrachet. Good red wine matches would be a light red burgundy such as those of Denis Carré or an easy-drinking Touraine-Amboise from La Grange Tiphaine. I by Thibault Lavergne

Chasselas grapes on the vine

info - january / february - 57

The best way to target French people in London

& !

((( "! # $ "

- !".% ' #

'RVVLHU Q 0D SHWLWH FRORFDWLR S

$FWX 6RFLDO )RUN X VLWH XYHD XQ QR V SRXU IDLUH GHV UHQFRQWUH HQ GpFRXYUDQW OHV UHVWRV ORQGRQLHQV S

!, ) % "!

" "&% !$ ! %"! "!

3DUFRXUV %pQpGLFWH 3DYLRW MRXUQDOLVWH SRXU )UDQFH

z A free monthly magazine

$ 75$25e 52., (FODW GÂˇpEqQH

z 350 distribution points in London

er_15-12-2011_Hires.pdf

AGSFWUK_icilondresBann

PM 2 2011/12/15 05:19:32

Londres issue on Have a look at the last ici w w w.readoz.com

z A website with 55,000 hits per month: www.ici-londres.com

/HW WKH ZKROH )UHQFK FRPPXQLW\ NQRZ DERXW \RXU EXVLQHVV CCFGB members

15% discount on your first booking www.ici-londres.com â&#x20AC;˘ +44(0)20 7581 1666 rachel@ici-londres.com

News @ the Chamber T

he Chinese word for ‘crisis’ is comprised of two characters, one symbolising ‘danger’ and the other ‘opportunity’. It seems an apt metaphor for our times, and is a theme that was touched on at some of the Chamber’s events in the last quarter of 2012. At the Chamber’s Annual Gala Dinner in October, WPP CEO Sir Martin Sorrell spoke about the challenges and opportunities of the current economic and business environment. While his four ‘grey swans’ of grim but not unforeseen economic outcomes are weighing on businesses, he also alluded to the opportunities to be grasped and changes to be made for the better. The dinner itself was a chance to toast the year’s achievements and successes in the company of fellow members and guests, and the Landmark Hotel once again provided an elegant setting for a superb evening of fine food and wine, live entertainment and delicious anticipation for the tombola draw. Companies that had seized opportunities and overcome challenges were also celebrated at the Franco British Business Awards in November, when the Anglo-French business community from both sides of the Channel came to applaud the winners, and indeed all the nominees. Michael Ward, Director of UKTI called it an ‘antidote to the blues’ – business successes that prove all is not doom and gloom out there. Held at the brand new ME Hotel, the event also afforded a privileged preview

of this stylishly modern, Norman Foster-designed hotel, which had not officially opened at the time. Crisis is a word associated with the eurozone at the moment, but Benoît Coeuré, Executive Board Member of the European Central Bank spoke about improvements, progress and solutions when he addressed a packed dining room of members at the Annual Financial Lunch in December, hosted at The Dorchester. True to form, the Forums and Clubs have continued to provide members with excellent speakers who tackled topical issues and provoked interesting discussions. Recent sessions looked at the issues of international mobility (HR Forum) and the role of rating agencies (Finance Forum), while the Climate Change Forum paid a visit to Capgemini’s data research centre to see for themselves how the world’s most sustainable data centre gets its credentials. Topics for 2013 sessions were also proposed and discussed, promising a range of thought-provoking forums to look forward to. But amidst all the seriousness, the Chamber also showed its fun side at its cinema-themed Christmas Party, which went down a treat with all the members who came, in fancy dress or not. With good food, wine and music, the festive spirit prevailed into the small hours. At the conclusion of the year’s full and varied programme, we would like to wish all our members a happy and prosperous New Year replete with opportunities. I info - january / february - 59

new members 3 New patron members:

Danone Ltd Fresh dairy products distribution represented by Nicolas Riom, General Manager | www.danone.co.uk Danone Ltd is the fresh dairy business behind Britain’s famous yoghurt brands Activia and Shape, as well as Britain’s best-loved drinking yoghurt, Actimel, and new luxury Greekstyle yoghurt Oykos. All Danone products can be found in the

chilled yoghurt and chilled aisles of Britain’s main retailers. Our mission is to bring health through food and beverages to as many people in the UK as possible. By providing healthy, nutritious and tasty products, Danone UK is on a mission to encourage UK consumers to eat one yoghurt a day as a smart choice towards a healthy diet.

Pwc Ltd Business services (audit, tax, deals, consulting) represented by Yann Bonduelle, Partner | www.pwc.com/uk PwC helps its clients, both organisations and individuals, people and communities create value in a changing world. We are a network of firms in 158 countries with more than 180,000 people who are committed to delivering quality in assurance, tax and advisory services. In 2012, PwC firms provided services for 422 of the companies in the Fortune Global 500 and 439 of the companies in the FT Global 500. The 2012 IDC MarketScape report named PwC a leader in business consulting services in the worldwide,

Americas, and Europe, Middle East and Africa markets, and PwC was ranked fifth on Diversity Inc’s 2012 Top Companies for Global Diversity list. The International Gay & Lesbian Chamber of Commerce (IGLCC) ranked PwC among the most gay and lesbian friendly employers in the world in 2011. For a record ninth year running, PwC UK was placed first in The Times Top 100 Graduate Employers for 2012, and ranked fifth in the Sunday Times Best Big Companies to Work For in the UK – up from eleventh place in 2011 and the highest of any of the Big Four. Universum ranked PwC seventh of the World’s Most Attractive Employers by business students in 2012.

TomTom Sales UK In-car navigation products and services represented by Frédéric Langin, VP Sales and Marketing UK, ROI, Nordics and India www.tomtom.com Founded in 1991, TomTom is the world’s leading supplier of in-car location and navigation products and services focused on providing all drivers with the world’s best navigation experience.

60 - info - january / february

Headquartered in Amsterdam, TomTom has 3,500 employees and sells its products in over 40 countries. TomTom’s products include portable navigation devices, in-dash infotainment systems, fleet management solutions, maps and real-time services, including the award winning TomTom HD Traffic.

new members 3 new corporate members:

James Cropper Plc | www.cropper.com Makers of specialist papers and advanced materials since 1845. Represented by Phil Wild, CEO

James Cropper PLC is a specialist paper and advanced materials group. The three business units include TFP (Technical Fibre Products), James Cropper Speciality Papers (JCSP) and James Cropper Converting (JCC). This sixth generation global business, with its base in the English Lake District since 1845, operates in the bespoke, high performance non-woven materials for specialist industrial applications, as well as the luxury specialist paper and value-added board market. Clients include the leading automotive, aerospace and also global luxury brands.

Lloyds Banking Group | www.lloydstsb.com Financial institution. Represented by Paul De’Ath, Relationship Manager

As the UK’s largest retail and commercial bank with 25 million customers, we touch nearly every community and household in the UK. The history of our brands, including Lloyds, Halifax, Bank of Scotland and Scottish Widows stretches back to 1695. We have a clear strategy to put customers first - and achieve our vision of becoming the best bank for customers.

Prestige Concierge | www.prestige-concierge.com Premium concierge boutique. Represented by Michele Essam, Managing Director

Just pick up the telephone, text, email and consider it done! VIP corporate hospitality – premium airport service – sophisticated event organising – property maintenance & management – luxury residential cleaning & maid service – luxury shopping, errand running & visa service – special treats for employees/clients... 14 new Active members: Audio Network (A-Music) Internet-based music resource comprising 50,000 music tracks Represented by James Abinger, Managing Director www.audionetwork.com

Crefovi Law firm specialised in providing legal advice to the creative industries (luxury & fashion) Represented by Annabelle Gauberti, Founding Partner www.crefovi.com

CTPartners

HK Finance

Tecumseh Products Company

Strategic advisors for M&A and financial transactions Represented by Nigel Hopkinson, Partner & Director UK www.hkfinance.eu

Compressors and condensing unit manufacturers Represented by Sophie Mérard, HRIS Manager www.tecumseh-europe.fr

Hybrid Consulting

Valpak Limited

Strategic marketing and communication consultancy Represented by Dominique Laroche Brêteau, Partner & Senior Consultant www.hybrid-consulting.fr

The UK’s leading provider of environmental compliance solutions Represented by Adrian Hawkes, Director of Policy www.valpak.co.uk

INSEEC London

VB Capital Conseil

Premier-quality executive search firm Represented by Lilian Poilpot, Partner www.ctnet.com

Consortium of higher education business administration schools Represented by Ron Morris, Director www.inseec.com

ETS L. Rustin

Institut Marc Perrot

Rubber manufacturing Represented by Louis Alain Rustin, Managing Director www.rustin.com

Highscope A business cost reduction company generating significant savings for organisations Represented by David Davis Managing Director / Founder www.highscope.co.uk

Education Represented by Mathieu Roiret, Entrepreneur Relationships www.sainte-marie-lyon.fr

Josephine Home Luxury home accessories Represented by Stéphanie Betts, Creative Director and Founder www.josephinehome.co.uk

French and UK personal taxation, pension advice, personal finance and health insurance Represented by Valérie Batigne, Managing Director www.vbcapitalconseil.com

X-Tremedia Media/ TV sales / own channel / advert sales on TV / video concept sales Represented by Franck Bywalski, Director www.x-tremevideo.com

info - january / february - 61

chamber shorties

easyJet CEO Carolyn McCall, OBE, joins the Board The French Chamber of Commerce future success of this well respected in Great Britain would like to business forum.’ welcome Carolyn McCall, OBE, as a Carolyn has been CEO of easyJet new Member of its Board. since July 2010. Prior to that she was ‘I am truly delighted to be CEO of Guardian Media Group, and joining the Board of the French a Non-executive Director of Lloyds Chamber of Commerce in Great TSB, Tesco and New Look. Britain,’ Carolyn McCall said. ‘The Carolyn was awarded the OBE Chamber’s reputation and success for services to women in business in representing the interests of over in 2008. In the same year she was 600 Franco-British businesses is named Veuve Clicquot Business second to none. This appointment Woman of the Year and in 2012 Carolyn McCall OBE is a true recognition of easyJet’s received the ‘Woman of the Year position as an important business link between Award’ at the Women 1st Shine Awards. She holds a the UK and France, easyJet’s first and second largest BA in History and Politics from Kent University, and markets respectively. I look forward to working with a Masters in Politics from London University. my fellow board members and contributing to the easyJet is a Patron Member of the Chamber.I

Welcome to our new Head of Membership and Patron Relationship Manager, Karine Desplanches Karine Desplanches joined the Chamber in November as Head of Membership and Patron Relationship Manager. Karine grew up in London and attended the Lycée Charles de Gaulle. She went on to study at Reims Karine Desplanches Management School, following the Franco-British programme. Karine subsequently spent 10 years in Paris working in the luxury industry: Paule Ka (Press department), Chanel (Marketing department) and Christian Dior Couture (Commercial and Marketing department). She then joined event agency Profirst, where she spent five years organising events for companies such as L’Oréal DPL (Giorgio Armani Parfums, YSL Parfums, etc.) and LVMH (Veuve Clicquot, Ruinard, etc.). We are delighted to welcome her to the Chamber’s team. I

Hot off the press! Light at the End of the Tunnel/Le Piège de la Ressemblance

Le piège de La ressembLance outil pratique pour comprendre français et britanniques dans la relation de travail publié par le forum des relations interculturelles de la chambre de commerce française de grande bretagne

The new bilingual version of the Cross Cultural booklet is aimed specifically at senior leaders from different backgrounds who share a passion for and experience in cross-cultural management issues and bicultural business environments. This practical and helpful guide is designed to facilitate business dealings between the French and the British. Based on the real-life experiences of Chamber members, its brilliant insights, sometimes laced with humour, shed new light on the way the two cultures relate to each other, in life as well as business, in English as well as French. I Light at the End of the Tunnel / La Piège de la Ressemblance is available to purchase from the Chamber’s website shop for £6.

Member to Member Offers Booklet New Advisory Council Members welcomed The Chamber would like to welcome four new members to its Advisory Council: Bertrand Michaud, Managing Director at Hermès GB Ltd; Estelle Brachlianoff, Chief Executive Officer at Veolia Environment UK; Maxime Holder, Chairman, PAUL UK and Raphaël Fainac, Managing Director at Sagemcom. I 62 - info - january / february

The Member to Member Offers Booklet gives the Chamber’s member companies the opportunity to promote their products and/or services within the UK and beyond by offering discounted rates and services to fellow members. Each member company is allowed to feature an offer for free in this booklet. I If you have an offer to propose or want more information, please contact Aude Reungoat at areungoat@ccfgb.co.uk

chamber shorties

The Chamber signs first recruitment service partnership agreement with Reims Management School At the Reims Management School Annual Conference on 5 December, Florence Gomez, the Chamber’s Managing Director, and François Bonvalet, the School’s Dean, signed a partnership agreement. It aims to develop the relationship between the School, through its graduates and Alumni networks, and the Chamber’s recruitment service. The recruitment service will offer a privileged welcome to Reims Management School alumni who are looking to settle or work in the UK, and provide career advice, both for classic recruitment and its ‘Spouse Mission’. Direct links will be created between the websites of the Chamber and the School, and Reims Management School will advertise the Chamber’s recruitment service vacancies on its website. The objective is to facilitate the job search, integration and mobility of the School’s graduates and alumni, while also giving the Chamber’s member

Florence Gomez and François Bonvalet sign the partnership

companies access to high profile professionals. Similar partnership agreements will soon be signed with other member schools, Grenoble Ecole de Management, Sciences Po Paris and ESCP Europe. I

City Tour 2012 mission The French Chamber of Commerce in Great Britain and Ubifrance (the French Trade Commission) joined forces to organise a sourcing process, which introduced 19 selected suppliers and commercial partners from France to UK-based financial institutions including BNP Paribas, Credit Agricole, Espirito Santo Financial Group, Lloyds and Natixis. The objective was to bring together companies from the financial services sector, which often outsource part of their back-office services (IT-related or not), and a number of French SMEs, which have developed a specific and innovative offering aimed at this industry. This flexible yet qualitative approach led to the confirmation of 13 B-to-B meetings in November and December between French companies and strategic contacts at prominent British financial institutions. I The operation will be renewed in 2013. For more information, please contact Sabrina Mimid, Head of Business Consultancy, smimid@ccfgb.co.uk

Business Consultancy’s roadshows The Business Consultancy team undertook a series of roadshows in France to promote UK business opportunities in various sectors of activity such as biotechnologies, ecommerce, aeronautics and retail. In the last 12 months, 31 events were organised in 24 different towns by local French Chambers of Commerce resulting in a total of 236 B-to-B meetings with French businesses interested in exploring the British market. I 31 events in 24 different towns over the last 12 months

info - january / february - 63

EUROPEAN IDENTITY GLOBAL PERSPECTIVE

Executive MBA Programme

Take your international career to the next level The Executive MBA Programme provides a transformational experience for high-potential, ambitious executives with international career aspirations. Apply now for our January 2013 intake at escpeurope.eu/mba New! Scholarships for female Leaders, NGO/not-for-profits, emerging markets and SMEs. Contact: Emily Centeno ecenteno@escpeurope.eu

T h e Wo r l d â&#x20AC;&#x2122;s F i r s t B u s i n e s s S c h o o l ( e s t . 1 8 1 9 ) PA R I S LO N D O N B E R L I N M A D R I D TO R I N O

64 - info - january / february

recent event w o r k i n g i n g r e at b r i ta i n c o n f e r e n c e

15 n o v e m b e r

‘Working in Great Britain’ Conference fully subscribed with over 200 participants, the conference, which took place on 15 November, was organised by the recruitment service of the French Chamber of Commerce, in partnership with Londres Accueil and supported by Mamans à Londres. Proceedings were led by Véronique Revington, Head of Recruitment at the French Chamber

aking a pragmatic, ‘tool box’ approach, 11 speakers shared experiences and provided advice on two aspects of working in Great Britain: finding a job and setting up a company.

Finding a job The first session focused on the specificities of job hunting in the UK, looking at the job market, CV writing and interview preparation (‘branding yourself’). Among the key points put across were that mastery of the English language and developing a professional project that ‘plays to your strengths’ are crucial, while professional networking and using social networks also play an important role in finding a job in the UK, unlike France. Valérie Ferrand, HR Manager of Bouygues UK, spoke about the UK job market and gave advice to potential candidates. Emmanuelle Ries, Solicitor and Partner at Miller Rosenfalck LLP then focused on employment law and the differences between the two countries. Two candidates from the French Chamber’s ‘Spouse Mission’ gave testimonials: Amandine Boudier, who joined Charmont Investments as Development Manager and Nathalie O’Neill, who is PA Events at Conseillers du Commerce Extérieur (CCE) UK. The indispensible elements for a UK job search were summed up as pragmatism, perseverance, professionalism and mobilisation of resources, but French jobseekers would find that there is openness and flexibility in the UK job market, which is dynamic and receptive to diversity and new working methods. Setting up a company The second session focused on how to set up a company in Great Britain, shedding light on issues and providing necessary information, steps and tools. Irène Régnier, Accounting and Business Support Coordinator at the French Chamber outlined key solutions for the successful launch and development of a small company. Alexandre Terrasse, Solicitor and Partner at Jeffrey Green Russell, then presented the different possible legal structures

from limited companies to partnerships, and compared the advantages and disadvantages of both. Three SMEs shared their experiences and tips: The French Hat Company, Nest Design, created in 2012, and Claire Garden Design, which launched in London 10 years ago. Jeanne Mortarotti, from Mamans Entrepreneuses emphasised the importance of networking and sharing during a process that can be isolating. Armed with a wealth of information on working in Great Britain, participants left with a better knowledge of the four main ingredients for success: work, creativity, curiosity and tenacity. I The conference plan, videos and photos can be accessed on www.recruitment-ccfgb.co.uk in the section ‘Travailler en Grande-Bretagne’.

The Chamber’s recruitment service Dedicated to our member companies, the recruitment service of the CCFGB offers: • A partner for your talent search, aware of your needs and constraints; • Privileged access to a database of more than 1,000 high profile bilingual candidates in a wide range of disciplines; • Tailored services and innovative packages at highly competitive fees. For more information, contact Veronique Revington Tel: +44 (0) 207 092 66 24 Email: vrevington@ccfgb.co.uk

info - january / february - 65

recent event annual gal a dinner

23 oc to b e r

LOGO Nº dossier : 20110049E

100

Annual Gala Dinner: black ties and grey swans Date : 31/05/11

Validation DA/DC : Validation Client

The Annual Gala Dinner is the pinnacle of the Chamber’s social calendar, a lavish evening of socialising, entertainment and networking for members and guests. This year’s occasion was attended by 320 of the most prominent members of the Franco-British community ||| Held at the elegant Landmark Hotel, a member of the Chamber, for the fourth year running, the 2012 event was sponsored by Ernst & Young and International SOS, with Accor, easyJet, EDF Energy and HSBC as supporting sponsors. Guests were welcomed by Arnaud Vaissié, President of the Chamber, who recounted what had made 2012 such an important year for London and the UK, as well as France. After thanking the sponsors, the Tombola prize donors,* Pernod Ricard UK for the Perrier Jouët Champagne, Les Vins du Medoc and Les Vins de Graves – Pessac Leognan for the wines, Jeux d’Images for the photography and video, Doublet for the banners, and Chanel, which had, presented every guest with a gift of perfume, Arnaud Vaissié invited the French Ambassador to say a few words. H.E. Mr Bernard Emié said how delighted he was to be in the company of French and British business women and men who are playing such a full role in developing the economic and human ties that so closely unite the two countries. ‘The strength of our bilateral relationship is largely due to the robust partnerships between our companies in various sectors such as defence, energy, the environment, construction and infrastructure,’ he said, pointing out that there were some 1,500 French companies in the UK

employing 400,000 people, and 2,350 British companies in France employing more than 250,000. He emphasised that the bedrock of the bilateral relationship is the important network of British and French SMEs, and paid tribute to the French Chamber of Commerce in Great Britain for its support of and involvement in the development and efforts of French companies to gain a foothold in the UK. ‘The Chamber is an essential partner for our economic diplomacy in the UK,’ he stated, adding that to achieve the French government’s goal of reaching a zero non-energy trade deficit it was important to seize every opportunity and play an active role in the UK. He concluded by paying tribute to Lord Janvrin for his commitment to the Entente Cordiale Scholarship Trust and encouraged companies with a long-term interest in the relationship between Britain and France to support its educational grant programme. Arnaud Vaissié then introduced the Guest of Honour, Sir Martin Sorrell, CEO of WPP, describing how, at the age of 40 he had left Saatchi & Saatchi, where he was CFO, to become an entrepreneur, acquiring a stake in Wire & Plastic Products, and transforming it into the world’s largest advertising and marketing group, with 158,000 employees, 2,500 offices in 107 countries, and profits of £1 billion in 2011.

Arnaud Vaissié and Sir Martin Sorrell

Tom Meggle, Valérie Hourcade and Laurent Burin des Roziers

66 - info - january / february

recent event annual gal a dinner

Sir Martin began by musing about the connection between WPP and the French Chamber or France. ‘What we share in common with the French is that we both know that you have to expand outside your own boundaries to build a global company,’ he said, noting that on the competitive landscape, France is already in China, Brazil, Russia and India. ‘French companies are superb at developing global capabilities and global organisations. Top 100 French companies often outdistance their British rivals in terms of their penetration in big multinational companies.’ Sir Martin sounded a warning about the four ‘grey swans’ on the political and economic landscape. Unlike the rare, unpredictable factor Nassim Nicholas Taleb called a ‘Black Swan’ in his book of the same name, grey swans are known factors, but of great concern as their effects have yet to play out. He listed them as the euro crisis, the question of whether China and other BRIC countries will have a hard or soft landing, the Middle Eastern situation, and the US deficit. What can be learnt from successful marketing companies is embraced in WPP’s strategy, he noted, and could be summed up as ‘fast-growth markets, digital media, consumer insight and the application of technology and ‘horizontality’. Expanding on that, Sir Martin said that the balance of power in the world is shifting ‘not just to the east, but to the south and the southeast.’ The significance of the digital revolution must also be grasped. ‘It is not just about search, it is about display advertising, video, social networks and mobile,’ he said, explaining that these are areas that hold the key to understanding consumers and the way their habits are changing. Turning to consumer insights, Sir Martin remarked that better use could be made of research and data. The final, critical area is

23 oc to b e r

Sir Martin Sorrell, Founder of WPP

Arnaud Vaissié, Sir Martin Sorrell, H.E. Mr Bernard Emié and Jean-Benoit Berty

Guests at the Ernst & Young table

horizontality. In a business it means getting everyone to work together for a common purpose. Between courses, guests were entertained by rousing renditions of classic and modern hits by the energetic Revelation Gospel Choir, and then waited with bated breath as names were drawn for the fantastic tombola prizes. Ending on a high note, the evening was judged by all to have been a great success. I KF *Accor, Air France, Andaz Liverpool Street Hotel, Cartier, Chivas Brothers, Club Med, Concorde Hotels, Chaumet, Dior, easyJet, Eurostar, Hermès, Josephine Home, The Landmark Hotel, L’Atelier de Joël Robuchon, Le Manoir aux Quat’Saisons, Louis Vuitton, LVMH Watch & Jewellery UK Ltd, Relais & Châteaux, Roger Vivier and Sagemcom

info - january / february - 67

recent event f r a n c o b r i t i s h b u s i n e s s awa r d s

12 n o v e m b e r

Franco British Business Awards: lots of rhythm and an antidote to the blues For the past 12 years, French and British businesses both large and small have gathered alternately in London or Paris to celebrate the expertise, enterprise and success of companies in their number who have been nominated for the Franco British Business Awards ||| In 2012 it was appropriately enough London’s turn to host the Franco British Business Awards, which are co-organised by the French Chamber of Commerce in Great Britain and the Franco-British Chamber of Commerce & Industry in France. The Awards ceremony and dinner took place at the brand new ME London Hotel, designed by Foster + Partners, under the patronage of the French Ambassador to the UK, represented on the night by Laurence Dubois Destrizais, Minister Counsellor for Economic and Financial Affairs, and the British Ambassador to France, represented by Michael Ward, Director of UKTI. The event was sponsored by Barclays, Eurostar and Mazars, with supporting sponsor MIC Hotel. Partners included CCI International, Invest in France and UKTI. The Financial Times, French Radio London, ICI Londres and lepetitjournal.com were media partners. The evening was opened by Brian Gosschalk, VicePresident of the French Chamber of Commerce and Bob Lewis, President of the Franco-British Chamber of

Commerce. Laurence Dubois Destrizais then took to the stage, praising the SMEs that were the main focus of the evening, the ‘young, dynamic, innovative creators’ who made the most of the opportunities to access each other’s markets, and calling for support and financing for them. Michael Ward also spoke about the common challenges faced by France and Britain, in particular getting our economies back to growth, and stressed the importance of trade and investment for that. ‘I like business awards,’ he said, ‘because in the current climate it is difficult to imagine a better antidote to the blues. They are a really good chance to celebrate individual success that bucks the trend simply by being creative, innovative, determined and just damn good businesses.’ Those deemed outstanding in their groups by the jury were Deezer (SME/Entrepreneur category) and A-Music/ Audio Network Plc (Innovation). Pernod Ricard received the Jury’s Special Award, while the ‘Coup de Coeur’ Award went to CdeC. I KF

2012 FBBA winners and sponsors

The Eurostar table

68 - info - january / february

recent event 2 012 f b b a w i n n e r s ’ p r o f i l e s

12 n o v e m b e r

Deezer, www.deezer.com, wins SME and Entrepreneur award ||| Deezer is a music service with 2 million paying subscribers and over 100 million shareable playlists. It provides unlimited access to a catalogue of 20 million tracks, instantly available in enhanced sound quality, on and offline, on any device. Created by Daniel Marhely in 2007, it has secured deals with around 2000 independent and major labels worldwide. Deezer exists as a stand-alone service but also has a large number of telecommunications partners, which help it to reach mass audiences quickly. Deezer UK was

launched in September 2011, as both a stand-alone service and in partnership with Orange UK. Accepting the award, Mark Foster, the UK Managing Director, thanked the French Chamber of Commerce for being ‘hugely helpful’ in getting Deezer set up in the UK, by ‘introducing us to all the right people, and handling the boring things like PAYE.’ He added, ‘Deezer is a great example of co-operation across the Channel. Less than a year ago we were in two territories and now we are available in 160 territories around the world.’ I

A-Music/Audio Network Plc, www.a-music.fr, wins Award for Innovation ||| Audio Network is a music publisher with a library of 53,259 original music tracks that can be used for television, advertising and film production or video editing projects. Its service eliminates the complex and time-consuming process of clearing music rights with multiple rights holders on a track-by-track basis. All Audio Network music has been pre-cleared for synchronisation usage by audiovisual producers worldwide. First launched in the UK in 2001, where it now has over 25% of the market, Audio

Network is rapidly expanding internationally with a new subsidiary in Munich and a sub-publisher appointed in Milan/Rome. Managing Director James Abinger, who received the award, observed that ‘Audio Network is a British music publisher enabling the fast-changing French audio-visual industry to grow internationally.’ He also commented on the appropriateness of receiving such a prestigious award on the exact site where the BBC had broadcast music for the very first time in 1923. I

Pernod Ricard, www.pernod-ricard.com, wins Jury’s Special Award ||| Created in 1975 in France, Pernod Ricard has rapidly expanded over the past decade, through both organic growth and acquisitions. The Group is now the world co-leader of the wine and spirits industry, and Pernod Ricard holds one of the most prestigious brand portfolios in the sector, which includes ABSOLUT Vodka, Chivas Regal, Ballantine’s, Royal Salute and The Glenlivet Scotch whiskies, Havana Club rum, Beefeater gin, Mumm and Perrier-Jouët champagnes, as well Jacob’s Creek and Brancott Estate wines. Pernod Ricard

has a workforce of nearly 18,000 and operates through a decentralised organisation, with six ‘Brand Companies’ and 75 ‘Market Companies’ in each key market. It ranks 15th on the Forbes list of the World’s Most Innovative Companies. Julia Massies, Finance Director of Pernod Ricard UK, accepted the award. ‘For the French, Pernod Ricard is a household name. In the UK however, it is a much less known entity, hence the need for innovation on our part. We try to work differently to access new markets and new ways of doing things,’ she said. I

CdeC by Cordelia de Castellane, www.cordeliadecastellane.com, wins Coup de Cœur Award ||| This children’s clothing brand was conceived in 2006 when Cordelia de Castellane and Segolène Gallienne were unable to find ‘cheap and chic’ clothes for their children and decided to create their own collection. Today Cordelia de Castellane’s network of outlets includes 10 shops (Paris, London, Brussels), six branches (Geneva, Zurich, Madrid and Athens), six franchises and about 150 clothing department stores in 20 countries worldwide. With a €4 million turnover

in 2011 and €5 million forecast for 2012, Cordelia de Castellane intends to develop the brand both in France and abroad. ‘When we decided to expand internationally we arrived in London, and the French Chamber of Commerce were very helpful in providing us with advice. It is thanks to them that we have had such success in England,’ said Cordelia when she accepted the award. I info - january / february - 69

recent event annual financial lunch

3 december

Annual Financial Lunch The 125 places at this year’s Annual Financial Lunch, which took place at the Dorchester Hotel on 3 December, were snapped up early. It was, after all, a rare opportunity to listen to and question an Executive Board Member of the European Central Bank at a time when its role in the eurozone is so pivotal

||| Responsible for Market Operations, Research, Information Systems, and Payments & Market Infrastructure at the ECB since January 2012, Benoît Coeuré had been introduced to the Chamber by Laurence Dubois Destrizais, Minister Counsellor for Economic and Financial Affairs at the French Embassy in London, and he graciously agreed to address the concentration of senior representatives from French and British financial, industrial and commercial enterprises, who gather annually for this flagship event. Société Générale Corporate and Investment reaffirmed its loyalty to the Chamber by sponsoring the event for the sixteenth year running. This year it was honoured with the presence of Didier Valet, CEO of Société Générale Corporate and Investment Banking, who introduced the speaker, remarking on the fact that although they had gone to the same school, their careers had taken quite different paths

Peter Alfandary

70 - info - january / february

in the public and private sectors. The event was placed under Chatham House rules to allow for free discussion and exchange on what are sensitive and topical issues. In broad outline Benoît Coeuré reflected on what had been a momentous year and shared his outlook. He stressed the positives, noting that there had been a lot of improvements in the eurozone situation since the summer, which had created an environment more conducive to reform and investment. However, he did sound a note of caution, namely that necessary adjustments and reforms are being implemented, that the ECB’s policy, within its mandate, is supporting economic recovery and that reform of eurozone governance is taking place. All three of these ‘legs’ are vital to Europe’s recovery. Taking each of those assumptions in turn, he noted the progress that had been made but underlined the difficulties and sometimes painful processes required to see them through. Where countries have been living beyond their means, he said there was no choice but to go through a period of fiscal adjustment and deficit reduction. However, the pace had to be calibrated to ensure that it was politically acceptable and economically sustainable. Acknowledging that fiscal consolidation needs higher growth, he spoke of reallocating public spending to target growth. In addition he stressed the importance of having flexible labour markets. On the role of the ECB, he pointed to the €500 billion it had pumped into the eurozone banking sector to help it overcome funding issues and lend to businesses. Moreover, he mentioned that the announcement of Outright Monetary Transactions (OMTs), a programme

recent event annual financial lunch

of conditional interventions in secondary sovereign bond markets, had had some impact on financial markets. For 2013, he noted that the ECB would be facilitating growth, while remaining vigilant about inflation, especially in an environment where indirect taxes have been increased to help fix fiscal issues. As for governance of the euro area, Benoît Coeuré emphasised that the stability of the currency needs a stable and robust economic environment that is more resilient to shocks and delivers long-term growth. He alluded to the Four Presidents Report, the final version of which was proposed to European leaders in December, and expanded on the financial union project, which is what the ECB is concentrating on, expressing confidence that solutions would be found regarding the involvement of non eurozone countries. The ECB would ensure the process remains balanced, he said. Supervision is not enough, he cautioned, emphasising the need for a bank resolution framework. In conclusion he explained that whatever the ECB builds has to have incentives for the stakeholders and anything it does to improve the government of the eurozone has to be consistent, parsimonious and sustainable. Moreover, whatever is necessary, useful and desirable for the euro area has to be designed in such a way that it does not cause trouble with other countries. For its part, the ECB will continue to help within this mandate. Benoît Coeuré then took questions from the audience, and Peter Alfandary, Deputy President of CCFGB thanked him for his speech and brought the informative and enlightening lunch to a conclusion. I KF

3 december

Benoît Coeuré

Lunch in progress

Ian Fisher, Benoît Coeuré, Didier Valet and Peter Alfandary

info - january / february - 71

recent event c h r i s t m a s c o c k ta i l

11 d e c e m b e r

Christmas Party: lights, camera, action ||| The magic of the movies met the festive spirit at the French Chamber’s Christmas Party on 11 December. Over 100 guests, many in fancy dress, flocked to the French Institute, which had been colourfully decorated by Options and bedecked in pompom artwork by the PomPom Factory to create a party ambiance. The event was sponsored by Renault, which parked a Twizy in Union Jack colours outside the Institute so that guests could try it out. One of the evening’s highlights was a raffle with 60 fantastic prizes,* which meant that half the guests went home with one. Dracula stole the show, winning the fancy dress contest. The two runners up had also entered wholeheartedly into the spirit of the occasion, dressed in Top Gun and The Godfather themes. While Fresne Ducret Champagne and French wines flowed, guests sampled a delicious spread of cheeses provided by La Cave à Fromage, gourmandises from Alain Ducasse, and a beautiful macaroon pyramid created by Ladurée. Then the cinema-themed music was turned up, and guests took to the dancefloor to continue the festive celebrations late into the night. I KF

Guests mingle at the party

* Thanks to the prize donors: Alain Ducasse at the Dorchester, Annick Goutal, Baglioni Hotel, Caudalie, Club Gascon, Dans le Noir, Dior, easyJet, Eurostar, Josephine Home, L’Atelier des Chefs, La Cave à Fromage, Melia White House, The East India Company, The French Institute, The Landmark Hotel and Sagemcom

The winners of the fancy dress contest

Ladurée’s macaroon pyramid 72 - info - january / february

Options’ atmospheric illuminations created a party vibe

forums

clubs

recent finance forum

6 december

Reforming ratings Proposals for reforming the current system of credit ratings abound, but so far no convincing and coherent set of regulations has emerged because their true economic function is misunderstood, writes Michael Troege, Professor of Finance at ESCP Europe who presented this topic at the recent forum session essential part of modern financial markets? Economists have proposed a number of arguments for why ratings are important even if their informational content is weak compared to the information contained in stock and bond prices. One simple explanation for the importance of ratings is their regulatory function. Indeed, ratings played a very minor role in financial markets before the SEC (Securities and Exchange Commission) started using ratings issued by NRSROs (Nationally Recognised Statistical Rating Organisations) in its rules in the 1970s. Similarly ratings until very recently did not play any role in the bank-dominated financial markets of continental Europe. However, there has been a rapid co-evolution of the rating system and ratings-based regulations culminating in the Basel II capital adequacy regulations that gave rating agencies a key role in determining the maximum admissible bank leverage. Since the 2007 crisis, regulators have tried to reduce and even eliminate the reference of ratings but it seems that often no good alternatives for ratings are available. Today credit ratings have become an integrated part of our complex regulatory system that cannot be easily removed. Credit ratings have also other functions beyond regulation. Rating agencies are important as simplifiers and disseminators of information. They aggregate and homogenise information available to different types of investors and thereby reduce the danger of making mistakes for less informed investors. This function is essential for encouraging participation and liquidity in financial markets. Clearly to carry out these functions ratings do not need to be perfect. Obviously it would be good to avoid rating mistakes but a perfect rating system is an utopian idea. Regulators should recognise that even if ratings are sometimes wrong they are still immensely useful. I MT © flickr/LEOL30 (Leo Reynolds)

||| That our current system of credit ratings does not perform correctly has been obvious at least since the wave of accounting scandals in the early 2000s for which Enron and WorldCom have become the symbols. The disastrous performance of highly rated collateralised debt obligations during the last crisis has reinforced this point. It has become clear too that we cannot rely on market forces to solve the problem. Far from having suffered from these repeated blows to their reputation, major credit rating agencies have continued to perform very well and even increased their revenues. No serious competitors seem to be able to challenge what is essentially a worldwide duopoly. Moody’s stock price has continued to perform. Earlier this year, Standard and Poor’s have almost doubled their tariffs in Germany, producing an outcry among the corporate community. Proposals for reforming and regulating the rating agencies abound, but so far the current system has essentially been left untouched. Part of the problem is that the economics of ratings are very badly understood. It is often believed that rating agencies are essentially information producers but we know from academic studies that things are not as simple as they seem. Indeed many studies have demonstrated that stock and bond markets do not react very much to a change in a company’s rating. Indeed, it seems that the markets know better than rating agencies that the risk of a company has changed and anticipate the ratings change. Interestingly also prices seem to react mostly at the time of a rating review rather than at the time of the rating’s publication and on these dates prices seem to react almost exclusively to bad news. However, if ratings do not convey price relevant information to informed investors, what is their economic function and why have ratings become an

info - january / february - 73

forums

recent hr forum

clubs

4 december

International mobility: EDF’s policy framework for managing successful overseas assignments Eve Mathieu, Resourcing, Talent & Development Director at EDF Energy shared how the EDF Group promotes and organises international mobility in order to sustain and support its global business strategy ||| EDF Energy is one of the UK’s largest energy companies and its largest producer of low-carbon electricity. A wholly-owned subsidiary of the EDF Group, EDF Energy generates around one fifth of the UK’s electricity and employs around 15,000 people. The EDF Group employs 160,000 worldwide in Italy, Belgium, Poland, China, USA, Laos, Vietnam, UK, and of course France, where it is based. EDF Energy is EDF’s largest company outside France. In this context, there is a business need for outbound international assignments from the UK to France and vice versa. To ensure a shared vocabulary and a common sense of purpose across such a vast and diverse organisation, it has developed an international mobility policy, which is based on three basic principles, underpinned by 11 commitments. The three principles are transparency, fairness and cost discipline, which together ensure that the upheaval, implications and cost associated with an international move are rationalised and aligned with business strategy and goals. The commitments expand upon and support these principles. In terms of transparency, every international placement has to be justified, and openness and visibility is achieved by advertising all positions on the Group’s internal platform GEO. Fairness is applied by assessing the employee’s ability to move abroad, and includes not only technical skills but also mindset, intercultural intelligence, the ability to share experiences for wider benefit, and the cross-checking of skills before he or she moves to a different part of the business. The international placement also has to be consistent with personal and professional goals and in line with their family needs and core competencies. Contracts for an initial two- or three-year period are systemically used to prevent risks, and there is a fiveyear time limit for each assignment. Preparation of the employee (and their family) prior to departure, as well as for the return home, is deemed essential for the overall success of the assignment. This is part of making the international experience useful and beneficial for both assignee and the business. Cost control is maintained through an upfront awareness of the full costs involved and the fact that the host unit or company bears them, which comes back to the business rationale. 74 - info - january / february

Orchestrating of all this is an HR structure that has been created to manage the careers of internationally mobile staff. Assigned home career managers remain linked with mobile employees to take care of their longer term career trajectories. EDF Energy has also assigned a Mentor to each outbound expatriate to facilitate the business links during the expatriation period. The network of career managers is overseen by the Group International Mobility Co-ordinator, who helps to anticipate the moves between countries and individuals. EDF Energy has two main kinds of mobility assignments: development and critical skills. An international posting is just one of the ways to deliver these. A development assignment is used to stretch or develop an individual in terms of their skills, competencies and experience, in order to prepare them for more senior positions within the company, while a critical skills assignment is used to send or attract a highly skilled individual to a company or business unit to transfer their skills or help resolve business challenges. This is always done when there are specific needs within a certain part of the business and has to be in line with clear strategic goals. In 2011 EDF Group had 544 employees on international assignments. Most of these were deployed from EDF in France to other parts of the Group. The UK features significantly, absorbing 40% of the global outbound expatriate population and 35% of those from EDF. Conversely out of the 105 employees who moved to France, 64, or 60%, came from the UK alone. Since the beginning of 2012, EDF Energy has 103 outbound expatriates and 91 inbounds. Numerous questions were asked by members of the Forum including how many people became localised after their assignments (not many) and how that situation was managed (on a case by case basis); what kind of contracts people were given when they were sent to France and how you would evaluate whether someone has the right mindset to work in another country. EDF Energy, like many of the companies represented at the Forum, is still grappling with these issues, but this international mobility policy framework represents a significant step towards finding consistent solutions. I KF

forums

clubs

r e c e n t c l i m at e c h a n g e f o r u m

forthcoming forums & clubs

30 oc to b e r

Visit to Capgemini Data Centre ||| On 30 October, Climate Change Forum members visited Capgemini’s Merlin Data Centre located in Swindon. The delegation, led by Richard Brown, Chair of the Forum and Chairman of Eurostar International Ltd, were welcomed by Kevin Read, Data Centre Services Director at Capgemini, who presented in great detail the story behind the world’s most sustainable data centre and gave the delegation a privileged tour of this state-of-the-art facility. The consistent growth of information and communication technologies requires the development of new data centres able to satisfy such a demand. From Internet usage to cloud computing, data has become a critical component of any business’s operations. Capgemini’s vision was to create a data centre that met its clients’ needs and was a solid and reliable technical facility as well as being a successful business and environmental model. The challenges were numerous but Capgemini successfully implemented a strategy that relies on innovation, cost effectiveness and an optimal location. From the earliest stages of development to the day-to-day activities of the centre, the company’s commitment to sustainability has been a defining driver in transforming green imperatives into smart, efficient and proven solutions. Hence, Capgemini has created new standards and developed new green technologies such as the ‘near-total fresh air cooling system’ and the modular concept to provide efficient and sufficient power to the data centre. The Chair and members of the Climate Change Forum would like to thank Capgemini for this great opportunity to visit the Merlin Data Centre, which showcases Capgemini’s leadership in action and expertise in the design and operation of this benchmark data centre. I KM

SME & Entrepreneurs Club

When: 23 January, 8.30am – 10.00am Where: The French Chamber of Commerce Co-chaired by Sebastien Delecour, Managing Director at Doublet Uk Ltd and Frédéric Larquetoux, Senior Manager, Financial Accounting Advisory Services, Ernst & Young LLP Theme: Workshop: ‘Win your next big pitch!’ – learn and share the best pitching techniques to approach a large organisation, a new client and a public body. Open to all SMEs and Entrepreneurs

HR Forum

When: 30 January, 8.30am – 10.00am Where: The French Chamber of Commerce Chaired by Rose Gledhill, HR Director, Northern Europe, International SOS. Theme: ‘Managing human capital – resourcing and retention strategies’ Open to HR directors and HR professionals only

Climate Change Forum

When: 5 February, 10.00am – 12.00pm Where: The French Chamber of Commerce Chaired by Richard Brown, Chairman, Eurostar International Ltd. Theme: ‘Making the UK’s Electricity Market Reforms a success’ By application only

Finance Forum

When: 12 February, 8.30am – 10.30am Where: The French Chamber of Commerce Co-chaired by Patrick Gougeon, UK Director ESCP Europe and John Peachey, Managing Director - CFO Global Markets, HSBC Bank Plc Theme: ‘Financial regulations: review and perspectives’ By application only

SME & Entrepreneurs Club

When: 27 February, 8.30am – 10.30am Where: The French Chamber of Commerce Co-Chaired by Sebastien Delecour, Managing Director at Doublet UK Ltd and Frédéric Larquetoux, Senior Manager, Financial Accounting Advisory Services, Ernst & Young LLP Theme: ‘Logistical and operational challenges’ Open to all SMEs and Entrepreneurs

Merlin Data Centre

For more information or to register for these events contact Karim Mijal on +44 (0) 207 092 6638 or kmijal@ccfgb.co.uk info - january / february - 75

f o rt h co m i n g e v e n t s

CEO Breakfast When: 31 January, 8.00am – 10.00am Where: The Andaz Hotel Guest Speaker: Maxime Holder, Chairman, PAUL UK Members: £40 + VAT Sponsored by PAUL UK About Maxime Holder A graduate from Sciences Po, Paris, Maxime began his professional career with the Holder Group in 1995, starting as an apprentice to learn the Group’s base trades: baking and pastry making. He then worked as a baker at PAUL, trained in-house by artisan bakers and learnt pastry making at Ladurée and Lenôtre in Paris. Maxime then decided to gain experience outside the family Group, to develop his management skills. He joined Arthur Andersen (Accenture) as a consultant, looking after some 50 clients in France and abroad. Maxime returned to the Holder Group in 1998, this time working in Operations, firstly as a Shop Manager, then as a trainee Regional Manager before being appointed Regional Manager in charge of 11 shops. In 1999, the Holder Group decided to open a shop in London. This was a formidable challenge but also

a chance for Maxime to retrace the steps of his grandfather, Julien Holder, who was born in London. The first PAUL shop in London opened in Covent Garden in December 2000 and a second followed shortly afterwards. Maxime returned to France in 2002 to become Manager of the shop network, overseeing the operations of 200 branch shops as well as the support functions of the brand such as HR, marketing, finance, quality control and technical operations. In 2004, he was appointed Director of the franchise network of shops and set up the management of the franchise in France and abroad (40 shop openings/ per year). Since 2006, Maxime has held the position of CEO of PAUL and currently heads PAUL International with the intention of developing the company on the international markets.

Business Club Cocktail – Locate Jersey

When: 13 March, 6.30pm – 8.30pm Where: Sofitel Members: £35 + VAT Sponsored by Locate Jersey The French Chamber is pleased to announce its first ‘Business Club Cocktail’ of 2013, sponsored by Locate Jersey. With an enviable culture of safety and privacy; high quality health and leisure facilities; a world class education system; globally renowned professional services with easy access to the UK, Europe and beyond – Jersey is the ideal location for you, your family and your business. Jersey has a long-standing reputation for attracting

successful companies and individuals to its beautiful shores. A location for those who want to work in a thriving, international centre of excellence, but who seek a life of more than just work – in our Island the work/life balance really is achievable. www.locatejersey.com

To register or book for these events contact Cécilia Gonzalez on +44 (0) 207 092 6642 or cgonzalez@ccfgb.co.uk 76 - info - january / february

Protecting your people is

our priority International SOS is the worldâ&#x20AC;&#x2122;s leading medical & travel security risk services company operating from over 700 sites in 76 countries. To our clients we offer medical and travel security advice, preventative programs with in-country expertise and emergency assistance during critical illness, accident or civil unrest on a global scale. Our service also extends to both Governments and Non-Government Organisations whom we help to achieve their Duty of Care responsibilities.

A global infrastructure you can depend on: 27 Assistance Centres PASSION: With local expertise available globally, you can speak to us in any language anytime 24/7/365

1,100 physicians EXPERTISE: Immediate access to experts with extensive experience in all fields of medicine coupled with a thorough knowledge of the local environment & healthcare system

33 Clinics CARE: Access to a vast network of accredited clinics practising international standards of medicine - even in developing countries

73,000 accredited providers RESPECT: A network of accredited healthcare, aviation & security providers, ensuring we provide you with high standards of care in the air and on the ground

Protecting your people is our priority and this is what makes us the worldâ&#x20AC;&#x2122;s leading medical and travel security services company today. See what we can do to help you.

To find out more, please visit www.internationalsos.com

Worldwide reach Human touch info - january / february -

! N O D N ! O L N VE LONDO ON ! D E N V O O ST IN L

h cy c n e F r ultan

's Cons n o d on rty

L rope P

9 2 4 5 221

N O D N O L N O E D LIV E LON NDO V O L EST IN LO INV

k .co.u oulle b @ y ert l prop k u . o le.c .boul www

7 0 2 0

E V N I

December 2012 ..... I strongly recommend that (my company) should reference Boulle International in the preferred list of the relocation agencies provided to our employees moving to London â&#x20AC;Ś Global Chief Operating Officer (large multinational)

LONDRES UN JOUR, LONDRES TOUJOURS CROSS CULTURAL RELOCATION - INTEGRATION SCHOOL SEARCH - ACQUISITION - SALES depui s 1 995 RENTALS - MANAGEMENT II - info - january / february