Scotland
Winter 2014 www.iodscotland.com
Published for members of the Institute of Directors in Scotland
The business case to Smith Commission: We need unity and stability Director development: Details of 2015 courses
We’re taking positive road to prosperity IoD Scotland Conference calls for new, ambitious business culture
Last chance to enter - see pg 21 Awards ceremony - March 26
Chairman’s welcome
Refusing to stay in the box Think an IoD Conference would be an anorak session on corporate governance or a collection of capitalists blue in tooth and claw? You’d be so wrong , says IoD Scotland Chairman Ian McKay
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riving to St Andrews for the IoD Scottish Conference, a remarkable sunset reminded me just what a wonderful setting the Fairmont Hotel has. We decided to experiment with a ‘Director Development’ day before the Conference proper. I had worried that this one would only be for the geeks – with intensive discussions on skill-assessing Board committees. None of that. Great input from Dame Joan Stringer on the discussion panel on leadership; Simon Walker, the Director General of the IoD, who stressed the importance of game changers in modelling our economic future; and from Sir John Elvidge, who emphasised that you had to give people the space to learn to lead, and to make their inevitable mistakes without a culture of blame. Quote of the evening, though, went to the main speaker Alison McGregor, CEO Scotland, HSBC. In the Q & A after a great presentation she agreed that leadership can be learned but warned “remember, there will be a lot of people you will practise on along the way.” The
evening ended with around 50 people quietly chatting about corporate governance and the issues of the day without an anorak in sight… Up the next morning to chair the opening session. Either David Watt is brilliant or dead lucky in getting us great opening speakers. Charles Spinosa was over from the USA and making St Andrews his own. A polymath who started life as a literature professor, then an academic in philosophy and now consulting at Vision for global companies on leadership and culture change, he reckons there are three distinct leadership cultures and politics in companies – Hope and the politics of Trust Building; Admiration and the politics of Celebration; and Zeal and the politics of Discipline. My head wandered off at that point trying to decide which of these the different companies I had worked with were. I zoned in again to hear him talking about ‘catnip for CEOs’ – and loved the phrase so much I missed what it was he was talking about! What do you reckon is ‘catnip’ for your CEO? Katherine Garret-Cox, CEO at Alliance Trust, has had acres of print written about her stellar career. She has settled – surprisingly for some – beside the silvery Tay when she could have been
surveying the Thames or the Hudson from a penthouse office. Certainly Alliance has heritage and history. Last year Katherine celebrated with fifth and sixth generation families of investors. But it is a history of success. Had you invested £100 in Alliance when it was first started that nest egg would now be worth £17.5 million. The performance numbers are stunning and the new ideas in financial services testimony to a marketleading approach. But what struck me most was the sense of community and shared values. She scrutinised her own company’s values and those of her supply chain. She championed programmes for school students coming in to the industry. This is no fat cat banker from Wall Street. She reminded us that prosperity is a mixture of profit and purpose and that what you stand for will very much affect how you stand out. This was a company gearing up to serve its community successfully for another 125 years. Most of all from this conference I am reminded that IoD Scotland reaches well beyond a gathering of capitalists blue in tooth and claw. Katherine Garrett-Cox’s vision for Alliance Trust – a company at the heart of modern finance capitalism – stresses linkages with the issues facing real people in their real world, whether its carbon reduction or cheap labour in sweat shops. This was way beyond the numbers in the annual report. It resonated too with another of our speakers, Sir John Elvidge, and his work as Permanent Secretary at Scottish Government in trying to measure and calibrate the work of Government beyond facts and figures and express it in real-life terms for ordinary people. Both are leaders in their own fields going beyond the numbers to find their community, whether customers or citizens. Refusing to stay in the box. Leading from the front.
Contacts & details
Executive Director: David Watt iod.scotland@iod.com For email enquiries, iod.scotland@iod.com Web: www.iodscotland.com or www.iod.com/scotland Address: 29 Abercromby Place, Edinburgh EH3 6QE Tel: 0131 557 5488 Email: iod.scotland@iod.com
“Leadership is a relationship between consenting people”
IoD Scotland is the official membership magazine of the Institute of Directors and is published on its behalf by: Chamber Media Services, 4 West Park Road, Bramhall, Stockport, Cheshire SK7 3JX Advertising sales: Colin Regan t: 01925 292002 / 07871 444922 e: colinregan001@yahoo.co.uk Production: Rob Beswick t: 0161 426 7957 / 07964 375216 e: rob@chambermediaservices. co.uk
Although every effort is made to ensure the accuracy of material contained within this magazine, neither IoD Scotland nor Chamber Media Services can accept any responsibility for omissions or inaccuracies in its editorial or advertising content. The views expressed in this publication are not necessarily those of the IoD. The carriage of advertisements or editorials in this publication does not constitute an endorsement of the products or services advertised. Cover image: Charles Spinosa calls for a positive outlook to help businesses across Scotland grow at the IoD Conference. See pg 13
IoD Scotland Winter 2014 | 03
Executive Director
The time is right for Scotland David Watt Executive Director, IoD Scotland
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y the time you read this the Smith Commission will have reported and we will have a clearer picture of what further devolution will be granted by Westminster to Scotland, assuming all goes through as per the outlined timetable. It does seem a significant movement has taken place and that even the big dogs – income tax and welfare – will be devolved. Two points of note really stand out to me: Business needs to be vigilant to ensure that there are no unpleasant unintended consequences of the political decisions, such as significantly higher business costs in Scotland. For example, while setting income tax might seem quite attractive to some, many will be concerned that the likely outcome will be an increase in personal and business costs to produce the nirvana of a “Fairer Society” The IoD in Scotland will be on the case and reminding politicians of all parties that
“Be yourself and bring what you bring – not what others might want!”
increased costs or more burdens on business ultimately lead to unemployment and damage the nation’s economy. We need to move cautiously because the one thing that this further devolution will bring is accountability to Holyrood and our MSPs will need to grow up quickly to handle their new responsibilities. The one other fantastic feature of the Commission’s work is that we have had in its process been able to see a fantastic leader at work in Lord Robert Smith. He illustrates charisma and subtlety while driving forward with determination and delivering. A remarkable man and an example to us all on how to achieve significant progress in a short time. The IoD in Scotland is all about directors and leaders and our Director of the Year Awards bring national recognition of achievement in corporate leadership. It was notable that our Chairman’s Award was given to Lord Smith earlier this year – what a great choice! He has had – with the Commonwealth Games – like Scotland, seen an amazing year in 2014, which brought him and our country a fantastic amount of positive attention from all across the world.
I recently returned from a break in the US and was greatly taken by the interest in Scotland – not just for the Ryder Cup, but for our referendum. The democratic way we conducted the debate was a credit to one and all and the turnout was phenomenal – especially for Americans who had only 35 per cent turnout for their mid-term elections. We should be proud of the way we behaved – whether the result suits you or not.
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n my first article of 2014 I said it would be a great year for Scotland and so it has been – we have delivered the Games and the Ryder Cup and so much more – we should be very proud. More importantly, we should be planning to build on this great worldwide image and awareness to gain business advantage going into the New Year. Business must look to capitalise on a year where Scotland was on everyone’s lips around the world – what an opportunity to exploit, from a door-opening perspective for exporting and for tourism businesses looking to bring in people to see this magnificent country, or to attend one of our many events or conferences. We must all strike while the iron is hot!
Loans boost for efficiency pledges The Scottish Government’s Resource Efficient Scotland programme has introduced an interest-free SME loan scheme for businesses looking for help to cut their costs and increase their competitiveness. The scheme funds carbon-reducing measures, such as resource-efficient lighting, glazing and biomass boilers. There are also economic opportunities for those businesses which install
resource efficiency technologies. The loan scheme is just one of a number of initiatives promoted by the programme. Launched earlier this year, the Resource Efficiency Pledge provides businesses with the opportunity to increase their competitiveness and gain recognition for their commitment to resource efficiency. See wwwresourceefficient scotland.com.
IoD Scotland calls for Committee members Can you represent and lead the IoD in n Aberdeen n Edinburgh n Fife n Glasgow & West of Scotland n Highlands & Islands n Tayside
The IoD in Scotland relies on a significant group of volunteer leaders all across Scotland who provide support to the local membership through the branch committee network. We are looking for new committee members specifically in Tayside and Highlands & Islands, however we have Committees in Fife, Edinburgh, Aberdeen and the West of Scotland who look to refresh their members from time to time. We also have six IoD Scotland branch Chairs, some of whom are coming to the end of their term and plan to step down in 2015. If you are interested in playing an active role in our branch network as committee members or taking on the role of Chair, specifically in Highlands & Islands or Glasgow in 2015 then please contact David Watt (details on pg 3). Our strength is our members and the more active, the better.
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SBRC teaches London business resilience An innovative and successful model developed to help protect Scottish businesses against crime – including digital and cyberattacks – is to be recreated in London. Mandy Haeburn-Little, director of the Scottish Business Resilience Centre (SBRC), is working with the Mayor’s Office for Policing and Crime (MOPAC) to set up the new London Centre to help the capital’s businesses tackle the ever increasing threats from digital crime and online fraud. It will open April 2015. The London Centre will support SMEs will mirror the structure of the highly successful SBRC which has secondments from its partners in Police Scotland, The Scottish Government and the Scottish Fire and Rescue Service and which works to deliver a secure Scotland for business. For the next six months, Mandy will spend half her time in London, away from her Scottish headquarters, to set up the Centre which will work with the Metropolitan Police FALCON (Fraud and Linked Crime Online), the National Crime Agency (NCA) and the City of London Police.
Mandy is currently setting up the advisory panel to the new centre, pulling together all the main digital security companies who will feed in to the formulation of the strategy. “The focus for the London Centre will be on cyber and digital resilience for the SME market. We will offer SMEs a full suite of advice on keeping their businesses safe and we will work hand-in-hand with partners to do this. We will also work with academic institutions to provide subsidised services to businesses through ethical hacking and digital forensic students. “This is a fantastic step for the City of London and it shows real leadership on behalf of the Mayor’s Office and I commend them for that. “It’s a huge credit to the work that’s been done in Scotland that the value of our business model has been recognised. Its strength is the way it works with partners; we pull together expertise through secondments from the police, fire services and government.” For more information, contact Mandy on mandy.haeburn-little @mopac.london.gov.uk or see www.sbcc.org.uk
Research team looks for exec’s stories Stirling Management School is conducting research into leadership, and is looking for senior executives to take part by sharing their career journey with them. The question of what managers do, why and how, has been asked many times but requires continual refreshing for new contexts and challenging times. The means by which directors and senior managers shape and achieve in the context of very strong external determining influences needs to be well understood. That’s why the Management School is conducting a study of the contemporary experience of directors and senior managers. The purpose is to document working lives at senior decision-making levels and build insight on the day-to-day challenges they face. The types of questions they are asking include: • What are the pleasures and pains of your current role, and how are these changing? • What are the biggest hurdles and preoccupations currently, and five, 10 and 20 years ahead? • What helps you get the job done? • What has helped you bounce back from adversities? • What lessons have you learnt from crises? The team at Stirling would be delighted if you could get involved with this research. All interviews are face-to-face, engaging with senior academics and in complete confidence. Themes and insights offering a mirror on the contemporary experience will be shared in a report that will be circulated to all participants. If you would like to take part, email Professor Sharon Bolton – who is a member of the IoD – in her role as Head of Stirling Management School via sharon.bolton@stir.ac.uk or on 01786 467370, to arrange a time convenient to you.
IoD Smith Commission submission
Stability, unity and a sense of purpose will delivery prosperity The IoD was asked to make a submission to the Smith Commission on devolution as the body began its deliberations over the shape of a future government in post-referendum Scotland. We publish here an abridged version, with the full paper available on the IoD Scotland website
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he IoD is a non-partisan business organisation whose interests lie in working with all relevant agencies to create conditions for its members, their organisations and the national economy to grow. It is now clear that the people of Scotland have voted against independence and everyone must move on, working together to ensure continued growth in the nation’s prosperity. The key background to growth is stability and unity of purpose and this must be displayed by all parties to maximise Scotland’s enormous potential. Business needs certainty to plan, survive and grow and a durable settlement which produces a sustainable picture of the future Scottish political and economic scene will benefit business and promote investment – from both internal and external sources. There also needs to be a much more positive focus on business growth and increased productivity to realise the genuine benefits they bring which can then be shared by all. The business community in Scotland has always understood the concept of the Scottish Parliament having control of income as well as expenditure and of the levers necessary to improve economic growth locally where that is the best approach. The impact of the changes brought about by the Scotland Act of 2012 have still to be seen including the Scottish rate of income tax and the borrowing powers being given to the Scottish Parliament. In the current situation, while there is considerable public and political clamour to grant more powers to the Scottish Parliament, there needs to be a sense of purpose to such decisions linked to specified outcomes and benefits to the people of Scotland evidenced by taking each step. Political measures, especially those taken in
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haste, can often have unintended consequences – not always beneficial. Additional powers for their own sake may well not improve the economic environment of Scotland as part of a United Kingdom. Each potential power allocated to the Scottish Parliament needs to be tested against its effectiveness and the impact it makes on improving the country’s performance or that of a specific group eg, the workless. In addition there needs to be some clarity over which regulatory powers are clearly better delivered in a pan-UK setting – for instance, eg. over competitions and markets; and financial services. The establishment of additional cumbersome layers of regulation must be avoided as it is often a considerable burden on business. The other key step that the business community would like to see is committed co-operation and joined up working from politicians, civil servants and government agencies. Whatever the settlement all agencies must get behind it and ensure that clear benefits are delivered to the people of Scotland. If we get this right then Scotland could lead the way within the UK and serve as an example for others to follow.
Guiding principles
The IoD focuses on excellence in leadership and governance and these are the principles which are central to the success of any devolved
powers. Strong and decisive leadership is needed to make a real difference and sound governance is required to deliver improvement whatever the constitutional settlement. The IoD wants the Commission to consider devolved powers which have a genuine purpose and which: • Facilitate economic growth, while promoting economic and social fairness • Support economically challenged areas recognising Scotland’s geography • Reduce worklessness and focus on employability and skills • Recognise and address low productivity • Promote “joined-up” working by all agencies across UK • Encourage exploration in the North Sea • Welcome new people • Support and encourage wealth creation
Policy areas for action
Among the specific areas which need to be examined to see what could practically and beneficially be further devolved to the Scottish Parliament are: Taxation The focus here must be on devolving taxes which have localised improvements effects on local control and economic development. APD is a prime example of a tax which has local impact – especially in Scotland as we hub through London, and could usefully be determined in Holyrood. Some variable capital allowances is another suggestion worth investigating to promote localised investment particularly into businesses in challenged areas. R&D tax credits could also be varied to boost Scotland’s poor industrial record in this area. The key issue is poor productivity and taxation levers should be exercised to improve that rather than as simple political measures.
“The establishment of additional cumbersome layers of regulation must be avoided as it is often a considerable burden on business...”
“There is little doubt that current UK immigration policy is not fit for purpose for Scotland, which faces completely different demographic challenges to other parts of the UK...” Petroleum revenue taxes have already been varied and the derogation in this area could be extended as a more local instrument for growth. Levels of oil exploration taxes may not be seen as an easy target for devolution, but whether they are or not, they need to be more closely and realistically aligned to the state of the industry offshore UK. That may suggest a Scottish input to the tax on oil receipts given most such work is in Scottish waters and the dramatic impact on the Scottish economy. Politicians must be wary of taxation levels as they do have a direct impact on investment and can stifle instead of encourage entrepreneurial behaviour. Powers must be given to lower taxes as well as raise them. Crucially, the last thing business needs or wants is more complexity in taxation at a time when we should be driving for tax simplification – so any measures or changes need to be practical and straightforward to implement as well as economically desirable. Energy It is difficult to establish what level of energy taxation or renewable rebates should be devolved if any, but the constant call of everyone involved in the industry and their customers is for clearer and longer term policies which give stability and clarity to suppliers and supplied. Realistic and sustained encouragement of the renewable power industry must be a priority which
both governments focus on. Closer and more positive working between the UK and Holyrood governments and their agencies is essential to deliver clarity on future energy policy and supply. Immigration There is little doubt that the current UK immigration policy is not fit for purpose for Scotland, which faces completely different demographic challenges to other parts of the UK. The previous “Fresh Talent” initiative or something similar would help in some areas but again specific powers which the Scottish Parliament could utilise to boost population growth are vital for the future of the nation’s economy. The provision of some sort of Scottish “green card” is not impossible in the current era of technology. Radical thinking is certainly needed in this area especially if the Eastern European economies were to see a sustained recovery and those workers were to return home.
Lord Smith (back, centre), Commission chair for the Smith Commission in Edinburgh, begins all-party talks aimed at reaching agreement on what new powers should be devolved to Scotland, with (clockwise) Conservatives representatives, former Scottish leader Annabel Goldie and academic Professor Adam Tomkins, Scottish Greens representatives co-leaders Patrick Harvie (hidden) and Maggie Chapman, Labour representatives Holyrood finance spokesman Iain Gray and Westminster shadow pensions minister Gregg McClymont (obscured), Liberal Democrats representatives former Scottish secretary Michael Moore and ex-Scottish leader Tavish Scott and SNP representatives MSP Linda Fabiani and Finance Secretary John Swinney.
Exporting and Internationalisation The exporting record of Scotland at present is poor and needs a significant boost from the latest ‘eight per cent of companies’ figure. Considerable work is done by Scottish Development International and UK Trade and Investment but more co-ordination and joint promotion – along the lines of the Wilson Review – Continued on page 8
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IoD News: Smith Commission submission continued from page 7 needs implemented and perhaps a Scottish lead into a UK process might increase outputs. The continuation and growth of the Scottish Government into European negotiations and discussions should be encouraged – not just in specific areas but to facilitate the necessary trade growth. Scotland must build a more robust and dynamic economy and a large focus for that must be internationalisation and constantly looking outwards. Welfare and benefits This is a massive area of expenditure in Scotland and while there probably is significant agreement on simplification for all concerned, including employers, it is not so clear how much should be devolved in absolute powers terms. Perhaps housing benefit and attendance allowance but not pensions, for example? The key point for business is the focus on work and the requirement for any system of benefits to have work at its core and to do everything possible to get those who can work into work which is appropriate for them. This also links to the demographic challenges mentioned earlier. Devolved or not, there certainly is a case for agencies in this area to work much more closely together to deliver better for the customer. Determined co-operative working for example between DWP, Job Centre Plus and Skills Development Scotland must be of real benefit to the end user. Broadcasting There may well be a case to devolve some of the power over the regulation of public sector broadcasters with accompanying budgetary control. This becomes increasingly necessary as devolution increases and political activity becomes more localised. Transport and Connectivity While many aspects of transport are already devolved there are perhaps other areas such as aviation where more powers for the Scottish Parliament may be helpful in encouraging direct links to other parts of the world and linking with other transport and economic development models locally. Rail provision could also usefully be fully devolved to ensure total control in the hands of a Scottish Government for track and trains. Obviously items like security and air traffic control benefit from a pan-UK perspective but digital connectivity should be decentralised. More localised drives in broadband should continue and be encouraged. There should be a very clear Scottish focus to this eg, server provision and linking directly externally given the geographic challenges. Linking all internet provision through London is constricting.
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“Levels of oil exploration taxes may not be seen as an easy target for devolution, but whether they are or not, they need to be more closely and realistically aligned to the state of the industry offshore UK... that may suggest a Scottish input to the tax on oil receipts, given most such work is in Scottish waters and the dramatic impact it has on the Scottish economy.” Economic Development Scotland has a number of distinctive challenges, eg, demography, but added to these is the geography and there is a need to pull all the economic levers possible to ensure that the economy grows. This may mean further devolution, but certainly means a closer working together of the two governments to co-ordinate the efforts of HIE and SE with those of BIS to ensure that the existing levers are being utilised Beyond that there may be ways of increasing local powers over apprenticeships, skills development, investment funding, SME support, and public procurement.
Summary The IoD does not want to see a substantially increased administrative burden – on public, private or third sector – caused by increased devolution as this would, in fact, be counterproductive.
Allied to that issue is the need to look at power beyond Holyrood. Few believe that 32 local authorities are sustainable for much longer – perhaps we could centralise oversight of more public provision as we have done for police and ambulance, given that we are a nation of just over five million people. The overarching principles of transparency and fairness would be supported by business as it is by many other interests, as would a drive for stability and long-term political planning which would allow businesses to follow suit. We would also be very keen for business to be a key part in the on-going discussions over how any powers increase and are implemented. Business is crucial to the growth of wealth which feeds the country’s prosperity and needs to be centrally involved much more in the future. A “Team Scotland” approach which does not involve the private sector is fundamentally flawed and will not be as effective as it could be.
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IoD Scotland Conference 2014 IoD Scotland’s 2014 Conference – Making Prosperity a Reality - delivered a stunning array of high-profile speakers who helped make this year’s event, held at the Fairmont St Andrews, the best yet. Over the following pages we give you a flavour of the occasion. This year’s pre-conference event was a leadership lecture, delivered by Alison McGregor, CEO Scotland, HSBC Bank plc.
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cotland doesn’t have the leaders it needs to take the country to the next level, at the moment” – that was Alison McGregor’s damning assessment on the current state of leadership in the country. She called for a root and branch rethink about how leaders are developed in Scotland, their role and what the public expects from them. Her own style of leadership had been distilled from the many excellent people she had worked under during her career – “I’ve cherry-picked the best bits” – but she boiled it down to a simple goal: “To get a group of people to do something special without bullying or cajoling – to get them to buy into your strategy.” Great leaders had vision but that was an obvious requirement. Too many modern leaders neglected the softer side of leading, and the need to inspire confidence in others to take key decisions was a crucial part in any successful leaders’ armoury. If she had one piece of advice to pass on to aspiring leaders it would be to remain authentic: “Live and share your values with your people.” “Be inspirational - the best leaders can paint pictures with their words that others can access and follow,” she said, hailing the ability of some of Britain’s greatest business leaders’ ability to build non-hierarchical teams. Positivity is a prevailing trait among great leaders: “You will not find a great leader who is negative. You can’t be ‘glass half empty’, it has to be half full. It’s only through that positive energy and confidence in what you are trying to achieve that you can reach your goals.” Alison suggested a new tack was needed that perhaps took out the concept of ‘leading’ altogether: “Scotland needs people who can create ‘confident followers’ – people who are open to challenge the status quo and look to change how organisations operate. “That’s the way to build a truly flat hierarchy, where your people are confident enough to look after their own self-development. “By instilling a feeling that everyone in the team can drive change you create a more engaged and effective workforce that can deliver a faster implementation of strategy.”
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‘We don’t have the leaders we need to succeed’ Conference hears call for honest, authentic leadership that can transform business and inspire challenge and change Building great teams does have a downside what happens when they are headhunted away from your business: “Revel in it,” was Alison’s advice. “Don’t hold back talent because you are scared they will leave. Instead, rejoice that you are creating people others want.”
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n the conclusion of her lecture Alison was joined on stage by Sir John Elvidge, chairman of Edinburgh Airport and former Permanent Secretary to the Scottish Government, Simon Walker, director general of the IoD, and Professor Dame Joan Stringer, former principal and vice-chancellor of Edinburgh Napier University. Sir John agreed with Alison McGregor’s assessment of how to build leaders: “Draw out their leadership skills by telling people their strengths and giving them the space to make their own mistakes.” The panel wondered whether there was enough space given to those in political and business life for making mistakes from which they can learn - Simon Walker highlighted the case of a former CEO at Unilever who offered to resign after a disastrous product launch had cost the company $450m, but his resignation was refused on the grounds that “we’ve just spent $450m on your personal development and training... learn from the experience.” The hiring and firing culture “doesn’t give people the space they need”, agreed Alison. While mistakes should be allowed, there was no place for leaders who shy away from
accountability. As Professor Dame Joan pointed out, there is low trust in leaders at present as too many have been seen to not be held accountable, or acknowledged their mistakes. There was general agreement with Alison’s opening comments on the current state of leadership in Scotland – as Professor Dame Joan pointed out, “there is too much cynicism surrounding leaders in Scotland today” and her belief that educational institutions had to play their part in bringing forward a new breed of leaders was acknowledged by all. Echoing an earlier point made by Alison McGregor, she called for “less leadership and more ‘followership’. ” But the emphasis had to change as to the type of leader Scotland produced: we have, said Sir John, too much emphasis on heroic leadership without considering the value of consensus leaders. The point that Scotland’s economic performance would continue to be held back by its lack of dynamic, authentic leaders was agreed unanimously: “We don’t value the role of leadership in business and it will impact on our prosperity going forward accordingly.” Simon Walker ended with a call for change: “Modern business is changing, and leaders need to change to meet new demands. We are seeing the rise of the ‘disruptive business model’, with flat hierarchical structures where ideas come from every level of business. It is that creativity in business that will shape our future economy.”
Leadership lecturer Alison McGregor of HSBC discusses some of the issues raised with a delegate
Conference workshops The IoD Pre-Conference session included two workshops: one, delivered by Tom Halpin, chief executive of SACRO and former Deputy Chief Constable of Lothian & Borders Police, and Rachel Gwyon, senior civil service policy and delivery manager, looked at the role of the company director, while the second considered the importance of ensuring that career development continues once you’ve reached the boardroom, a session which was led by Mike Willis, an experienced chairman and company director. During the Conference itself, delegates had a choice of four workshops to attend. Good Times, Bad Times: What Led Zeppelin didn’t tell you, was facilitated by Chase de Vere and looked at building an investment portfolio, the financial risks to businesses if directors die or are taken ill; and the cost and complexities of divorce. IBM led a workshop on The Business Benefits of Mobile; Kynesis Coaching offered directors A Taste of the Boardroom; and Quality Scotland led a session on Achieving Excellence.
How’s Scotland faring? Snapshots from Conference Conference was asked... Has the outcome of the referendum brought certainty to business in Scotland? Yes - 30% No - 52% Don’t know - 18%
Taking questions from the IoD’s Katherine McCudden at the leadership lecture are, from left, Simon Walker, IoD Director-General, Sir John Elvidge, chairman, Edinburgh Airport and former Permanent Secretary to the Scottish Government, Professor Dame Joan Stringer and Alison McGregor
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IoD Scotland Conference 2014 Katherine Garrett-Cox
Chief Executive, Alliance Trust
H
ow can Scotland make prosperity for all a reality? And what does the modern world take as the true meaning of prosperity? Katherine Garrett-Cox, chief executive, Alliance Trust, offered her own assessment of the challenges. Chief among them was defining ‘prosperity’ in the modern age, where ‘millenials’ had a clearly defined view that was at odds with those born before 1981. To those people entering the workplace, ‘prosperity’ wasn’t just linked to profits and wealth – instead they focused on education, social freedom and a host of other soft markers to denote individual and corporate success. The post-digital generation was looking for broader benefits that embraced the rest of society for their own definition of prosperity. Profit was not a dirty word but it had to be with purpose – to build all-round prosperity. As a result Alliance Trust was firmly committed to taking an ethical stance on its investments, Katherine said. It had been shaken by the aftermath of Bangladesh’s Rana Plaza clothing factory collapse in 2013, which killed over 1,100 textiles workers. As a result it had used its share holdings in a number of retailers to drive commitments to safer working conditions throughout the garments industry in the Asian sub-continent. Similarly it had linked with Greenpeace to dissuade companies looking to exploit oil and gas reserves in the Arctic, and was working to track the carbon output of its investment portfolio, investing in ways that would not contribute to climate change. Katherine acknowledged that the financial sector had been badly rocked by scandals arising since 2007, but Alliance Trust was leading the return of public confidence to what had been a beleaguered sector. It had established strong governance over the £12bn in cash it had invested around the world and was seeing good returns from its diverse portfolio. It was also at the forefront of new initiatives to encourage more people to save and invest, and was keen to see more emphasis placed on financial education in schools. Looking forward, Katherine was confident that the financial service sector would play a leading role in returning prosperity to the UK as a whole, and to
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Millenials’ view of prosperity has to be business’s new driving force Scotland in particular. Across the UK over one million people are employed directly in financial services, while the UK managed around a third of all European financial assets. Financial services make up 25 per cent of all Scottish exports to ‘rUK’ so the sector was vital to our long-term prosperity. However, Scotland needed to do more to ensure its top performers stayed in the country. At Alliance Trust, the emphasis was on people development, giving them the training they needed to contribute more to the business, and there were a number of internships and mentoring programmes on offer for school leavers. By developing its people Katherine hoped to encourage Scotland’s best performers to stay in the country, citing her home town of Dundee’s lead in the UK interactive games industry as an example of a high-performing sector which is capable of attracting the very best global talent to what is a relatively small city: “Scotland needs to replicate Dundee’s success”. The recent recession had challenged business leaders like never before. It had shown that transparency was crucial in building trust – and that the old maxim that this key value could be lost in seconds had never been found to be more true. Alliance Trust’s long-term maxim was to tie profit with purpose, and to become the UK’s most trusted investment business. Its growth would be allied to strong environmental and social governance, with the words of Abraham Lincoln ringing in its ears: “You cannot escape the responsibility for tomorrow by ignoring it today.” There was a warning, however: “We cannot take our prosperity for granted; it needs a relentless collective effort to ensure Scotland retains, grows and extends its current levels of wealth.”
‘Be brave, be battles cost Charles Spinosa
Group Director, Vision Consulting
C
ourage and positivity are the secrets to great leadership, Charles Spinosa told conference – and they’re also a surefire way to ensure Scotland has a prosperous future. Charles, group director at US-based VISION Consulting, urged delegates to watch out for negative politics that could develop in the workplace, potentially ripping as much as 20 per cent out of your turnover. He had worked with businesses where every decision was hampered by internal feuding between senior executives or departments, citing examples where strategy was paralysed by inertia as directors fought their own battles without stopping to consider the impact on the business. “I worked with a medical services company in America which had grown on the back of great service driven by dedicated healthcare professionals at senior levels. However, the CEO had declared that mergers and acquisitions would be a swifter path to growth, and in the process had hoovered up businesses that weren’t operating at the same level of service standards as his own.
Session chair Ian McKay (left) with speakers Katherine Garrett-Cox and Charles Spinosa
“We cannot take our prosperity for granted; it needs a relentless collective effort to ensure Scotland retains, grows and extends its current levels of wealth.”
positive and beware: department business 20 per cent of turnover’ “With little hierarchy, associates are members “The result was a boardroom riven with of inter-disciplinary teams and companies factions. A large minority faction on the have no long-standing factions. Managers use board, including the COO, believed that the specific, trust-building processes to resolve CEO was putting the business’s culture at risk with acquisitions that were far-flung, practised disagreements. Leaders emerge according to lower quality medicine, or were otherwise the needs of the team’s particular project.” A simple way of ensuring success was to culturally unsuited. This faction spun every allow a designated leader on any project to decision the CEO made into a self-interested speak first at boardroom level, and then act. As the board faction argued against most acquisitions, the encourage all other stakeholders to CEO jeopardised his growth critique, with the leader Charles’ five speaking last. strategy by making only questions: Does Equally as destructive was the least controversial your business have... a business riven with acquisitions.” appeasement policies. He To replace this n Factions? negativity, Charles likened such a business as n Vague targets and strategy? suggested a culture of to living in a small town n Is attention in one department “where you don’t want to open challenge welcome from another? should be encouraged, make enemies as you have n Do you compromise to live there forever.” in which trust was with everyone? established between all n Do you go along with He told delegates there sections.“Managers look were some simple rules to colleagues? to gain other’s good will remember: “Bad moods in business yield bad profits. When we with frank directness. are resentful or have fear, we blame others Successful organisations work this and bunker down to avoid blame ourselves. way. “Managers disagree directly and meet to see When we are resigned to losing out, we if they can persuade each other.” appease people to avoid confrontation.” Changing these moods into positive ones The secret is to end hierarchical structures.
will transform your business. “Hope and the politics of trust exposes new ideas to the light. It’s the type of culture you often see in start-up bio-tech companies, where all contributors come from a similar standing in a very flat hierarchy. “They shine the spotlight on new ideas and discuss them openly.” Changing fear into admiration, resentment into hope and resignation into zeal takes you into the positive mood of high-performing companies. “Zeal is important – zeal for the best service standards, the best product.” Where bad feelings exist, confront them. Tell people their mistakes – they’ll probably already know what they are – but then tell them when they make a positive contribution. “Get them feeling happy and to remember that feeling.” He returned to a similar theme of other speakers: Courage was important in leadership: “It takes courage to speak the truth and share blame - but people tend to feel hope return afterwards.” And to those aggressive business leaders or managers who are used to a blame culture, a word of warning: it may work short-term... but it creates a horrible atmosphere that in time will kill the business.
IoD Scotland Winter 2014 | 13
IoD Scotland Conference 2014
Tackle the skills shortage or risk losing out, Scotland Mark Logan
Chief Operating Officer, Skyscanner
Maggie Morrison Director, CGI IT UK Ltd
Robin Watson
Chief Executive, Wood Group PSN
A
dearth of female IT workers, a desire to see Scotland emulate the success of Silicon Valley – and why it is entirely feasible it can do so – and an optimistic view of a future full of great opportunities for Scotland were the highlights of the Conference’s closing session. Mark Logan, IoD Scotland Director of the Year, had driven web flight booking service Skyscanner to new heights, with huge increases in site traffic and profitability. It now boasted 30 million visitors monthly and its reach went far beyond Scotland’s shores. In many ways, Mark said, the small nature of Scotland’s home market made overseas expansion not only logical but crucial – even if Skyscanner was to dominate its home market, it would still never be big enough to post the profits it was currently making. Instead, it had adopted a global outlook from birth – and if this kind of ambition was replicated elsewhere, Mark believed Scotland could emulate Silicon Valley as a hot-house for global IT and web-based businesses. Consulting a map of California, he highlighted the close proximity of global giants Apple, Google, Microsoft and Facebook. Each company attracted high performers to the area, with some inevitably leaving to create their own businesses, adding to the number of hi-tech companies based in a small location – attracting further talent into the region. The collaborative nature of Silicon Valley was something Scotland should encourage: Steve Jobs often acknowledged the help he had received from Hewlett Packard as he got Apple off the ground – and was still offering advice to aspiring IT entrepreneurs in his final days. So could such an IT hot house happen in Scotland? Mark used Dundee’s pre-eminence in the digital games industry as an example of how a small area can attract the very best in a sector and become dominant. Half of Skyscanner’s employees weren’t from Scotland, proving that
14 | IoD Scotland Winter 2014
the right companies could attract the right people. Funding would follow talent: if Scotland could eradicate its current skills shortage and train more IT professionals, it had the foundations in place to become a sector world leader. There could be no excuses about geography or population size: the right ideas, the right funding, the right skills and the right leaders could build a Scottish Valley to rival the sunnier one in California. Skyscanner’s success had been built on constantly re-evaluating how its systems functioned. The industry allowed no one to stand still, and an annual audit of systems kept an eye on whether they were still appropriate and matched industry changes. Having the right leaders in place was important: the person who led a team of 20 might not be the right one to lead an expanded team of 100 when growth comes. Make difficult decisions, keep strategy light – the rapid evolution of IT made dense strategy documents a thing of the past. Maggie Morrison shared Mark’s concerns over the skills shortages, with a particular focus on encouraging more females into IT. Her own position as director at CGI IT Ltd had put in stark relief the enormous gender imbalance in the industry – “why are schools
not encouraging girls to consider a career in the fastest-growing sector of employment?” Schools had to focus more on STEM subjects; three-quarters of current jobs require some level of digital skills and digital employment is set to increase by 17 per cent by 2019. Yet fewer people entered the digital sector in Scotland last year than the previous one. Could the country be about to miss out on huge growth through a lack of young talent entering the IT/digital sector? Scotland had a long and proud history of innovation and inventors and in the new era of the digital economy, this tradition must continue. There was hope: 30 per cent of start-ups are tech-based but the way we teach and educate our youngsters had to change to meet the current times. Maggie was a strong advocate of workplace learning and thought the education system had to take inspiration from other countries to see how it could provide work-ready students. As an example, 66 per cent of Swiss youngsters took apprenticeships rather than university places on leaving school – perhaps as a direct result, the country had European-low levels of youth unemployment. Similarly, New Zealand has a programme that puts 30 per cent of its pupils into workbased learning projects. She shared Mark’s views on attracting
How’s Scotland faring? Snapshots from Conference Conference was asked...
Does Conference expect their business to grow over the next 12 months, or contract? Yes - 93% No 5% Don’t know 2%
Skills agenda: Maggie Morrison and Robin Watson Facing page, Mark Logan with session chair, Lesley Clark
companies to set up in Scotland – they would come when they have the talent they need on the doorstep. Scotland must learn from global best practice on training and education and awaken its children to the opportunities that exist in IT - particularly girls. Maggie ended on a positive – though daunting – note: “There’s a tsunami of change coming to the world of work. It could be a great opportunity for Scotland if we prepare for it...” But a tsunami can also be destructive… The success of seven sectors will dictate Scotland’s future prosperity, said Robin Watson of Wood Group PSN: energy, creative industry, financial, life sciences, tourism, food and drink and universities/education. The country’s ability to make itself a world leader in these areas – or not – would be the determining factor behind future prosperity. Robin – the IoD Director of the Year for companies with over £35m turnover – was positive about the future: “Our stakeholder energy is excellent, and the overall spread of Scottish business is good” but the infrastructure on which any great economy was built was shocking in parts. “We have gone backwards since the 1960s; the roads are rubbish, it takes 10 years to build one; we have railways that don’t go to airports; and in places, digital connectivity is poor.”
How’s Scotland faring? Snapshots from Conference Conference was asked...
Are you confident about the future? Very confident - 49% Quite confident - 49% Not confident - 2% He hailed a new era as one where change would be embraced enthusiastically. “Change can be threatening and challenging but it makes us think and be more creative… overall, change is a fabulous opportunity.” On his own sector, the oil and gas industry, he noted the importance given to his industry by the referendum debate. “The North Sea still has 16-24bn barrels of oil to exploit.” But this stream of wealth needed a coherent energy policy to underpin it. “We do not want to become energy deficient… we need a long-term policy in place – and then we need to tell the politicians to keep their hands off!” He acknowledged that prosperity could not simply be measured in terms of wealth. Wood Group was determined to be the best company to work for and had in place core values that set
the tone for how it operated around the globe. There was a consistency in its message that was simple for its global workforce to apply. The fluidity of his sector was highlighted by the shale gas industry. Wood Group’s involvement had gone from nothing two years ago to over $1bn today. To ensure his company could respond quickly to new opportunities, it was a very localised business – the Aberdeen office did not dictate to the Houston office what it needed to do, and vica versa. By staying adaptable Wood Group had rode the waves of higher and lower oil prices successfully since the recession began in 2008. Every movement in global prices offered an opportunity somewhere in the world – and it was that adaptability that Scotland must copy if it was to become more prosperous: “We must stay flexible, optimistic, forward-thinking and passionate about our businesses.”
Conference supporters
IoD Scotland Winter 2014 | 15
IoD Scotland Conference 2014 Future leaders: From left Vanessa Good, David Kellock and Penny Leake
Young entrepreneurs
Young Enterprise Scotland and Prince’s Trust Youth Business Scotland
S
cotland’s future prosperity is in safe hands – that’s if the three presenters to Conference in the young entrepreneurs slot were anything to go by. Chaired by Laura Gordon, this inspiring session – a popular feature of recent conferences – highlighted the growth in the number of young people looking to start their own businesses. Younger business leaders who had been backed by Young Enterprise Scotland and the Prince’s Trust Youth Business Scotland offered an insight into the challenges small start-ups can have in establishing themselves – but also showed a drive and enthusiasm to succeed that was infectious. Penny Leake, a student at Inverurie Academy in Aberdeenshire, wowed conference with the stunning 575% ROI her Young Enterprise Scotland business delivered to shareholders through its manufacture and sale of handcrafted wooden products. The trials of creating an efficient manufacturing process was the biggest challenge her company faced but Penny corralled her team to work harder and learnt valuable business lessons on their way to creating a host of gifts and ornaments for the home, including clocks, candleholders and decorations. An innovative company uniform of traditional lumberjack gear made the team instantly recognisable when they sold their products at local craft fairs, and Penny’s grasp of the importance of teamwork, sales and marketing helped her secure the joint award of
16 | IoD Scotland Winter 2014
Travelling with hope: the future of Scottish business the IoD Young Enterprise Scotland Director of the Year. The Prince’s Trust Youth Business Scotland has a powerful reputation for the support it gives aspiring entrepreneurs as they take their first steps as business owners. Vanessa Good, of the Good Travel Company, and David Kellock, of trtl (Coolside) Ltd, had both turned to the Trust as their fledgling businesses took off – and both were enthusiastic advocates of the role it had played in them getting established. Blessed with a surname that acts as its own advertising slogan, Vanessa Good was
How’s Scotland faring? Snapshots from Conference Conference was asked...
What worries you, from a business point of view? Access to talent - 41% Access to finance - 24% Political uncertainty - 36%
determined to transform the public’s perception of the High Street travel agency. Her inspiration to set up her own business came during a period travelling to Australia during the teeth of the recession. Jobs around Irvine were scarce, and Vanessa decided she would be better off creating her own business rather than relying on others to employ her. Her travels had highlighted deficiencies in the standard travel agency offer, and arriving home from Australia she opened her own agency in Irvine to exploit a gap in the market, backed by the purchasing power of the internet but built on providing outstanding customer service. A loan from the Prince’s Trust and assistance from Hay’s Travel helped her get established, and the Good Travel Agency quickly built itself an outstanding reputation in and around Irvine. The company has branched out to offer everything from family package holidays to luxury travel, and has expanded into Ayr and Dumfries as it continues to use social media to market itself as the place local people want to come for sound travel advice, good prices and the best currency rates. Many of Vanessa’s customers could do well to
Pictured above arriving at the Conference dinner are, from left, Sarah Deas, David Watt, Professor Dame Joan Stringer, Andy Lothian and Maggie Watt
How’s Scotland faring? Snapshots from Conference Conference was asked...
Has banking reformed since the crash? Yes - 6% No - 66% Don’t know - 29%
purchase one of David Kellock’s innovative products - the trtl. Pronounced turtle, on first glance it looks like a traditional scarf – but beneath the smart exterior lies a polymer plastic frame which allows the user to mould the scarf around their neck to provide solid support for the head, allowing you to sleep while sat up/standing up. It’s marketing slogan is simple: goodbye travel pillow, hello trtl. It ends forever the pain caused by slumping asleep on long bus/train/plane journeys, waking with muscle aches and neck ache. David was inspired to start his own business after meeting Sir Tom Farmer while studying mechanical engineering at Strathclyde University. This engineering background allowed him to experiment with a number of designs for the support system, finally arriving at a workable solution in December 2012. An initial production run sold out quickly, and convinced David and his business partner that there was a market for their product. Improvements to the manufacturing process had speeded up production, and extensive use of social media and the internet had promoted the product and ensured trtl was fast becoming
The Big Debate ... live from Conference IoD Scotland Conference again played host to a live broadcast of The Big Debate, the BBC Radio Scotland panel debate which is broadcast every Friday. Conference delegates were joined by local St Andrew’s residents to discuss the most important issues of the day. The panel was chaired by BBC political journalist Gordon Brewer and included Jenny Marra MSP (Labour), Roderick
Campbell MSP (SNP), Lord Jeremy Purvis (Lib Dems), Ruth Wishart (journalist) and IoD Scotland chairman Ian McKay. Issues discussed included the continued problems besetting the Labour Party in Scotland, the gap that is leaving in proper scrutiny of the SNP in Government, concerns over an EU in/out referendum, energy policy and the plans to dual the A9 – and its new set of speed cameras.
a household name. Dixons Travel stores were now stocking the product, as was the Excess Baggage Co at Heathrow Airport. Its sales through Amazon were also excellent. Both presenters stressed the key role played by the Prince’s Trust, both in terms of financial support through loans and, perhaps more importantly, with advice, mentoring and support. Both were looking to return the compliment and support the Trust’s next generation of fledgling entrepreneurs.
How’s Scotland faring? Snapshots from Conference Conference was asked...
Is Scotland entrepreneurial enough? Yes - 30 % No - 64% Don’t know - 6%
IoD Scotland Executive director David Watt, the recently appointed Honorary Colonel of The Royal Marine Reserve (RMR) in Scotland, addresses the Conference dinner.
IoD Scotland Winter 2014 | 17
SDDC
IoD Scotland Director Director Development with IoD takes many forms including committee organised events, IoD Scotland-managed Director Development courses and London-managed Chartered Director programme courses. For updates to this schedule and new courses, go to www.iodscotland.com IoD members Non-members Third sector
The Role of the Trustee/ Board Member in the Third Sector
28/01/15
9-5 The Royal Scots Club, Edinburgh
£125
£125
£75
The Role of the Trustee/ Board Member in the Third Sector
24/02/15
9-5 Inverness SCVO
£125
£125
£75
The Role of the Trustee/ Board Member in the Third Sector
04/03/15
9-5 200 SVS, 200 St Vincent Street, Glasgow £125
£125
£75
Role of the Non-Executive Director (EDIN) – Mike Willis
26/02/15
9-5 The Royal Scots Club, Edinburgh
£325
£350
Family Business Workshop – Mike Willis & Mairi Mickel
05/03/15
9-5 The Royal Scots Club, Edinburgh
£325
£350
The Role of the Trustee/ Board Member in the Third Sector
25/03/15
9-5 Forth Valley College - Falkirk
£125
£125
Role of the Director and the Board
07-08/04/15 9-5 The Royal Scots Club, Edinburgh
£1,695
£2,055
£325
£350
Finance for Non-Financial Directors 27-29/04/15 9-5 The Royal Scots Club, Edinburgh
£1,895
£2,315
Winning Board Behaviours – Mike Willis & Mervyn Jones
30/04/15
9-5 The Royal Scots Club, Edinburgh
£325
£350
Governance Masterclass
07/05/15
9-5 The Royal Scots Club, Edinburgh
£325
£350
Director’s Role in Strategy and Marketing
11-13/05/15
9-5 The Royal Scots Club, Edinburgh
£1,895
£2,315
Role of the Non-Executive Director (EDIN) – Mike Willis
14/05/15
9-5 The Royal Scots Club, Edinburgh
£325
£350
Role of the Chair (EDIN) – Mike Willis & Mervyn Jones
21/05/15
9-5 The Royal Scots Club, Edinburgh
£325
£350
Director’s Role in Leading the Organisation
28-29/05/15 9-5 The Royal Scots Club, Edinburgh
£1,695
£2,055
Role of the Director and the Board
09-10/09/15 9-5 The Royal Scots Club, Edinburgh
£1,695
£2,055
Finance for Non-Financial Directors 15-17/09/14 9-5 The Royal Scots Club, Edinburgh
£1,895
£2,315
Director’s Role in Strategy and Marketing
29-01/10/15 9-5 The Royal Scots Club, Edinburgh
£1,895
£2,315
Director’s Role in Leading the Organisation
06-07/10/15 9-5 The Royal Scots Club, Edinburgh
£1,695
£2,055
Public Sector Non-Executive Directors 09/04/15
9-5 The Royal Scots Club, Edinburgh
£75
Other Director development resources The Directors’ Knowledge Toolkit
This complimentary online toolkit is your starting point to discovering where your current knowledge lies in the key areas of Governance, Finance, Strategy and Leadership. Test your director knowledge at www.iod. com/knowledge
18 | IoD Scotland Winter 2014
The Learning Zone
All Certificate courses are supported via our dynamic e-learning platform, the Learning Zone, where you can continue and consolidate your learning at your own pace.
Webinars
These interactive webinar sessions will give you the opportunity to practise exam style questions against the clock in a simulation of exam conditions to help prepare for the Certificate in Company Direction exam.
“If life gives you a spoon – eat soup!”
Development The Chartered Director Programme (CDP)
Professional Director Series (PDS) and Board Development
Chartered Director (CDir) is the only professional qualification for all directors that demands both knowledge and experience of how to make boards effective and which demands a commitment to continuous Professional Development. Courses can be taken individually if the certificate is not the goal. If an award is preferred the four courses can be spread over two years before sitting the exam. Alternatively, a one-week Accelerated Programme is also offered. Directors can test their current level of knowledge using the Directors’ Knowledge Toolkit. Costs in 2014 for a two-day CDP course held at Edinburgh are £1,695 (members) and £2,035 (non-members). Three-day courses are £1,795 and £2,155. The Developing Board Performance course is currently only run in London at a cost of £2,850 or £3,330.
IoD Scotland runs a selection of day and half-day courses delivered by directors for directors. A key benefit of these courses is the opportunity to meet with directors from other sectors, to share experiences and to uncover different approaches to challenges faced. Our 2014 Portfolio included the following:-
The Certificate in Company Direction
Role of the Non-Executive Director The backbone of our Professional Director Series, this one-day course identifies the various roles of the non-executive director (NXD) in a variety of corporate settings – family company, subsidiaries, Third Sector and Public sector; how their appointment can help balance a board and how they make an effective contribution to a board’s work. It also examines methods for their selection and reviews their motivation, induction and reward.
Master Classes – half day and full day
n Securing an NXD position in the Public Sector Practical guidance on enhancing your application and interview performance. Sheds light on the work of a public NXD, with input from the coal face!
(Chartered Director Stage 1) Any of the Certificate in Company Direction courses can be taken as a stand-alone course
n Governance Masterclass Explores the fundamental issues surrounding Governance and discusses how to apply practical solutions. The aim is to deliver significant benefits through cultural change that is pivotal and long-term.
Role of the Director and the Board 2 days + post-course e-learning support Finance for Non-Financial Directors 3 days + post-course e-learning support The Director’s Role in Strategy & Marketing 3 days + post-course e-learning support The Director’s Role in Leading the Organisation 2 days + post-course e-learning support
n Role of the Chair Explores the pivotal role of the chair. Perhaps the single most important area within which a board can improve its effectiveness is how it is chaired. This requires two things to happen – the chair leads the board and the understanding by the other directors of the rules of engagement. The ability to chair any meeting is an important facet in the development of managers; once appointed to a board there is more than likely to be a requirement to chair board sub-committees or lead the board itself at some time in the future.
The Diploma in Company Direction
n How to influence others & handle challenging people Gain the skills to handle even the most challenging people. Influencing skills are essential for good leadership as the job ceases to be about you and all about those working with you. Learn about the latest research which reveals what persuasion techniques really work.
Developing Board Performance 3 days
n What Kind of Leader are You? There is no template for a leader. All are different as everyone has their own strengths. This workshop explores participants’ preferred leadership styles and how they can make the most of them. Improve how you interact with other styles and cope with that diversity within your boardroom.
(Chartered Director Stage 2) The Diploma in Company Direction can only be attended upon completion of the Certificate in Company Direction
Chartered Director
Both Certificate and Diploma exams must be passed prior to applying for Chartered Director Chartered Director The Chartered Director Qualification assesses the practical experience gained by a director. This is based on five key areas which are central to organisational direction and governance. The interview is based on an exploration or your portfolio of evidence. The interviews are conducted by experienced peer reviewers – who will generally be Chartered Directors
n Leading from the Front A leader requires a vision for the group to move forward and also a focused way to communicate that vision. How do you make that vision memorable and do-able for the rest of the team, department or organisation? Develop your skills of charismas. n Confident Leadership What is confidence and how can you get more of it? Power has acquired a bad name. How can leaders change that perception and use power to make the tough decisions while supporting and caring for staff?
IoD Scotland Winter 2014 | 19
IoD Scotland Events - book online at www.iodscotland.com
Is there time to think? Leadership and stillness – a conversation with Ewan Aitken, former council leader Hosted by: IoD Edinburgh & Lothians Date: December 4 Time: 5:30 pm - 7:00 pm Venue: Tayburn Ltd, 15 Kittle Yards, Edinburgh, EH9 1PJ Member cost: £15 (+ VAT) IoD Edinburgh & Lothians invites you to a conversation with Ewan Aitken to explore how stillness, silence and mindfulness can support leadership and decision-making. In a busy world sometimes it’s best to be still and do nothing. It has been said that the best decisions are the ones when you have time to think; the most important ones are those you have to take in an instant. Creating the inner strength to keep calm
whilst chaos is all around, to draw on experience, advice and previous thinking when what you choose in a moment will have an impact way beyond the decision itself, is something that requires space and time to develop. As leaders, our decisions need to be rooted in values that we do not simply believe in but live. Creating space to think about that connection between what we believe to be true about the world and the decisions we take that affect not just our business but the relationships upon which that business is built, is a crucial part of building the inner resilience that is the hallmark of effective leadership. In an informal setting built round the
experiences and questions of those present, former Council Leader and now Cyrenians CEO Ewan Aitken will help participants think about how best they can grow and nurture their own inner wellbeing and personal resilience in ways that will enhance their leadership and decision-making. This will be achieved through the telling of his own story and exploring how he has developed his tools of stillness, silence and mindfulness to be the basis of his decisionmaking practices. n This event is equal to 1hr 30mins CPD hours
Queensferry Crossing: The new Forth Bridge
Hear latest on a transport project that is vital to Scotland’s future Hosted by IoD Fife Date: December 10 Time: 1:30pm - 3pm Venue: Forth Replacement Crossing, Contact & Education Centre, South Queensferry, EH30 9SF Cost: Member, £15 (+ VAT) Non Member, £20 (+ VAT) Join IoD Scotland and The Forth Replacement Crossing team for an update on the progress of the Queensferry Crossing. The Forth Replacement Crossing (FRC) is a major infrastructure project for Scotland, designed to safeguard a vital connection in the country’s transport network. Despite significant investment and maintenance over its lifetime, the current Forth Road Bridge is showing signs of
deterioration and is not suitable as the long-term main crossing of the Firth of Forth. Construction commenced in Autumn 2011 and is now well underway following the completion of a two-year procurement process that has delivered significant savings on the scheme’s previous expected cost. The IoD Scotland would like to invite you to join them to hear an update from David Climie, project director, Forth Replacement Crossing, on how the new crossing is progressing. During the update presentation you will be provided with an in-depth look at the construction of the Queensferry Crossing with an opportunity to hear from project engineers in detail about various aspects of the construction of the Queensferry Crossing and its connecting roads. A light sandwich lunch will be served.
Save the date...
Raising Finance: How to secure business funding Hosted by IoD Aberdeen Date: February 18, 2015 Time: 8:45 am - 1:00 pm Venue: Hilton Aberdeen Treetops 161 Springfield Gardens, Aberdeen AB15 7AQ
More details to follow on this event for 2015, but make a date now. As raising business finance is labelled as one of the biggest challenges facing Scotland’s businesses today, this is your chance to discover alternative ways to access the funds your business needs to prosper
“To change your mind is to change the world” 20 | IoD Scotland Winter 2014
Submit your nominations NOW for the IoD Scotland Director of the Year Awards IoD Scotland is looking for the best of the best in the business world! Who are the directors whose vision and strong leadership in 2014 have led their organisations to success? Whose efforts deserve national recognition? Why not nominate a colleague or client for one of the following Director Awards: n IoD Scotland Director of the Year n Emerging Director n Female Director n Non-Executive Director n Public Sector Director n Third Sector Director n Director Award for Family Friendly and Flexible Working n Director Award for a Healthy, Carer Positive Workplace Nominations are also sought for our Regional Awards: n Aberdeen & Grampian n Edinburgh, Lothians & the Borders n Fife & Central Scotland n Glasgow & West of Scotland n Highlands & Islands n Tayside
More information about the Awards programme, criteria and guidelines and to enter online at
www.iodscotland.com
From left, Directors of the Year from this year, Robin Watson and Mark Logan, with their awards, presented to them by former IoD Chairman Raymond O’Hare
Enter now Entries close on
Further information
Any queries on the awards? Call Joyce on 07711 432745, Alice on 07749 384032 or email awards@firstcityevents.co.uk
Sponsorship enquiries
For details of sponsorship opportunities with the awards, contact the IoD at katherine.mccudden@iod.com
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Friday, 12 December Go online now at www.iodscotland.com
Finalists announced: Friday, 27 February Awards ceremony: Thursday, 26 March, Crowne Plaza, Glasgow
@IoD_Scotland or #IoDScotlandAwards
IoD Scotland Events - book online at www.iodscotland.com
Relax – it’s Christmas Glasgow Christmas Reception Hosted by IoD Glasgow & West of Scotland, sponsored by The Scottish Credit and Qualifications Framework Date: December 10 Time: 6pm - 8pm Venue: The Apartment, 29 Glasgow Cost: Member, £25; Non Member, £30 (both + VAT) Join the IoD West of Scotland team as they hold an informal
Christmas reception at 29 Glasgow. Branch chairman Laura Gordon will welcome members and guests before we will hear a short presentation by our sponsors, The Scottish Credit and Qualifications Framework (SCQF). Guests will then be served wine and canapés in a convivial and informal setting. The emphasis is on enjoying some downtime with fellow directors as we prepare for the countdown to the Christmas celebrations. A prize draw will be
The economics of reputation – how it matters in the boardroom
held in aid of the Prince and Princess of Wales Hospice About SCQF The Scottish Credit and Qualifications Framework is Scotland’s national qualifications framework and provides a way of recognising, describing and comparing the difficulty and ‘size’ of a whole range of qualifications and learning programmes. The SCQF Partnership promotes lifelong learning for all in Scotland,
A masterclass in leadership as an entrée to the New Year Leading the Way in 2015
Hosted by PRCA and RBS in partnership with IoD Scotland Date: 20 January 2015 Time: 7.30-10.00am Venue: RBS Conference Centre, Gogarburn Cost: Member, £15; Non-members, £20 (both + VAT)
Hosted by IoD Glasgow & West of Scotland, sponsored by Vistage Date: January 6, 2015 Time: 6pm - 8pm Venue: Grand Central Hotel, Glasgow Cost: Members, £25; Non Members, £30 (both + VAT) Venue: Grand Central Hotel, 99 Gordon Street, Glasgow, G1 3SF
The PRCA’s Economics of Reputation workstream is being led from within the PR Council, with the aim of developing understanding about the real value of reputation to all organisations. The PRCA, in conjunction with YouGov, has unveiled research into the importance and value of reputation for UK businesses, called The Economics of Reputation. Following the launch of the Economics of Reputation toolkit, the new results are the latest step in the PRCA’s ongoing campaign to aid understanding and stimulate debate around the contribution reputation makes to all organisations. Managing reputational risk has now become a key priority for many directors of communication and has become a huge issue for the boardroom, where a lack of trust can negatively impact on reputation. The first part of the session will be led by PRCA Scotland Chair, Lesley Clark and Tony Langham, PR Council Vice Chairman. Our panellists will include David Watt, IoD Scotland, and Nora Senior, Chair of UK Regions & Ireland at Weber Shandwick. We are keen to gather participants from Scotland’s Boardrooms and their communications advisors to discuss key points from the YouGov research.
Kickstart your New Year business resolutions at our Leadership Masterclass – sponsored by Vistage. Entrepreneur Giles Miskin will deliver an insightful masterclass that will look at issues surrounding successful leadership. With today’s speed of change, an ever-increasing flow of information and shifting employee expectations, leadership has seemingly never been so demanding. So, what are the key attributes required for success? And, more importantly, can you learn them? In this fascinating and engaging presentation by celebrated business speaker Giles Miskin, managing director of The Colour Works, the answers may well surprise you. Drinks and canapés will be served during the evening. The evening begins at 6pm with registration, networking, drinks and canapés before a welcome and introduction from Laura Gordon, Chair, IoD Glasgow & West of Scotland. Giles’
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and for employers it can help: • recruit the right team with the right skills needed for the job • recognise what further skills your employees need and plan this effectively • avoid costly mistakes in training and recruitment • recognise the formal and informal learning undertaken by your employees and help them to progress further • gain recognition for your in-house training programmes.
masterclass will run for around an hour, with time afterwards for a question and answer session About Giles Miskin Giles set up The Colour Works in 2003, a global company which uses a unique psychology profiling tool, based on colour, to look at an individual’s behaviour and their relationships, particularly in the workplace. Since then he has supported 20,000 people from 300 organisations in the UK and overseas delivering coaching and development workshops in team working; leadership; sales; and recruitment, particularly during times of change. With a degree in social anthropology, Giles has 20 years management and leadership experience working in public, private and voluntary sectors. His experience of leadership during a period as managing director of a plastic injection moulding company led him to set up The Colour Works. About Vistage Vistage is a membership organisation which supports and improves the effectiveness of MDs, CEOs, executives and business owners, with an online community of 17,000 members worldwide. At regular meetings business leaders discuss and share challenges and are supported by one-to-one coaching and have access to leading expert speakers.
Women in Business – Leadership with an entrepreneurial vision Sponsored by Chase de Vere An ACCA event in partnership with CIMA, ICAEW and IoD Scotland Date: 3rd February 2015 Time: 3pm- 8pm Venue: University of Strathclyde Cost: Member, from £18 Non-mem, from £24 (both + VAT) Maximising talent and celebrating diversity in leadership – why this makes commercial sense. Some of our top business leaders will speak about their own path to leadership and the challenges they have faced getting to the top and how they nurture talent within their own organisations.
Who should attend? Managers keen to progress, directors with skills gaps. Financially qualified and struggling to get that board position? Speakers Professor Sara Carter, Hunter Centre for Entrepreneurship (Chair); Alison McGregor, CEO Scotland and Director of Corporate Banking UK, North HSBC; Stella Morse, CFO, Genius Foods; Stewart Hastie, Director, Inclusive consultancy; Caroline Donaldson, Director, Kynesis (IoD lead, on Women on to boardroom). Book at by emailing scotland.events@ accaglabal.com or online at www.accaglobal.com/uk
Save the date...
Alternative Energy Supplies
Hosted by IoD Aberdeen Date: March 24, 2015 Time: 11.30-2pm Venue: Hilton Aberdeen Treetops 161 Springfield Gardens, Aberdeen AB15 7AQ
Oil & Gas exporting
Hosted by IoD Aberdeen Date: April 14, 2015 Time: 11.30-2pm Venue: Hilton Aberdeen Treetops 161 Springfield Gardens, Aberdeen AB15 7AQ Details for both these events will be added to the IoD website at www.iodscotland.com over the coming weeks so keep an eye out for information. Full details will be listed in the Spring issue of this magazine, but in the meantime, save the date!
IoD Scotland Winter 2014 | 23
PR & Marketing
The importance of ethics in public relations Ken McEwen PR & Marketing
M
y first-ever PR textbook, the Manual of Public Relations, wasted no time in getting to the subject of ethics in public relations. It was
section 1.5. In those days, PR was perhaps a more staid profession. Now, we are in an era when public relations is widely seen as “spin” and where hype can often eclipse reality. In these circumstances, you might be forgiven for thinking that the term “ethical public relations” is actually an oxymoron. Some people within the profession have not exactly helped to assert the ethical image. One executive in a top international public relations company apparently reminded his staff that: “We’d represent Satan if he paid”! So, I may not be in tune with everyone in today’s PR world when I assert my belief in the importance of ethics in public relations practice. For me, the reason is fundamental. Public relations is all about building trust and enhancing reputation. When building a client relationship, trust becomes immediately critical. The client has to trust that the PR consultant can do a job of work for them. They have to trust the consultant will provide value for money. They also have to trust that they can share all relevant information when briefing a PR campaign – even information that may be commercially sensitive.
“
My belief is that public relations is at its best when the interface with a client is at the highest level in the organisation and where the PR consultant knows and understands the client’s corporate strategy. At that level there are bound to be many instances of information that must be treated in confidence. In my previous business, as one of the leading independent PR companies in Scotland, we inevitably handled accounts for a number of competing businesses. In these circumstances, our clients had to be very confident that we would not share confidential or commerciallysensitive information. When the PR strategy gets under way the recipients of PR information have to have trust in its veracity. A politician or civil servant must be able to trust the information in a briefing document. The consumer must trust the information in a product information pack, or a blog post. A journalist must know and trust the information in a press release. I always remember the story told to me by a property freelance for one of Scotland’s national dailies. He had filed a story from our press release about people camping out overnight to put their names down for the first homes at a new development. It happened that this story was during a recession, when the housing market was in the doldrums. As the paper was about to go to print, he got a panic call from the sub-editors protesting this story could not be true as people were simply not queuing for new homes at that time. The journalist was able to reassure the sub-editor that he knew and trusted his source and there was no need to call us to doublecheck. The story duly appeared in the next day’s paper. Another important aspect of “ethical public relations” is social responsibility.
Public relations is all about building trust and enhancing reputation. When building a client relationship, trust becomes immediately critical...
“
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In addition to honesty and fair dealing, social responsibility is about not condoning practices that are contrary to the general good. An example could be promoting a product or service that was hazardous or contrary to the public interest. Here, I will admit to past work that still troubles me today. One was working on a cigarette brand sponsorship of a sports event. In my defence, smoking was more acceptable at the time. The second was producing copy for a company of what would probably now be called “loan sharks”. I rationalise this one by saying that we were only producing the words for a leaflet and were working through a third party and not direct with the client. Ethics is also about avoiding misrepresentation. In this era where the word ‘awesome’ is rapidly being downgraded to the point where it effectively means “not bad”, it is important to avoid exaggerated language and claims. The presentation of a product or service should be honest and without deception. Yes, I believe in the importance of ethical public relations. Trust and reputation are both surprisingly fragile commodities. Once lost, they are very difficult to re-establish. An ethical stance should help to safeguard against finding that out the hard way. • Ken McEwen, the past chairman of IoD Aberdeen, is the managing partner of Ken McEwen Public Relations. See www.kenmcewen.com for details
The future of business waste...
I
magine a world with no waste on the streets. That is the vision set out by the City of Edinburgh Council for a new cleaner, greener Edinburgh. The changes mean that businesses will no longer be allowed to keep wheeled containers for waste and recycling on public property; posing a real business headache for those with limited internal storage space. Although an Edinburgh initiative, businesses across Scotland should consider reviewing their waste service with a view to making their customer experience more pleasant. Changeworks Recycling has the solution to
this headache with our in-house collection service! We know that no two businesses are the same, so we design a little and often collection service that is tailored to the business needs of each client. By using our convenient, in-house collection service you can avoid unsightly on-street waste collections and save yourself the effort of taking bags of recycling and waste outside. Changing the way your business manages its waste internally can influence the way it’s collected. Using our capture system, most businesses actually have fewer desk bins than
“The containers Changeworks Recycling provides are perfect, the system is easy to use, the uplift service can be tailored to our varying requirements and there is always help at the other end of the phone if we have any queries” – Ali Hamilton, Emperor Designs
before we started working with them because less waste is produced and some are no longer required. In 2001, Changeworks Recycling recognised that only separate collections from businesses would achieve both the greatest material quality and capture rates. The challenge for Changeworks Recycling was to design a high-quality recycling service that could compete within a cost-efficient waste management industry, while delivering tangible and significant business benefits to our clients: reducing their waste, carbon and costs. We always hear the same reasons as to why separate collections cannot be achieved: it is too expensive, businesses have no space for all the bins and it is too complicated to understand. The reality is the opposite – our clients benefit from significant cost savings, reduce the overall number of bins and find it easy to implement and maintain.
Want to know more?
For more information call 0800 694 0158 or email info@changeworksrecycling.co.uk
REDUCING WASTE, CARBON AND COSTS.
“I am really impressed with the whole service that Changeworks Recycling offers; there is so much communication! It is such a prompt and fantastic service that they provide!’’ Alzheimer Scotland
Over 80% of all waste generated within an office environment can be recycled presenting a huge opportunity for you to reduce your waste costs! Receive a complementary waste audit and see how we can help your business. To book your FREE waste audit call 0800 694 0158 or email INFO@CHANGEWORKSRECYCLING.CO.UK
IoD Scotland Winter 2014 | 25
Education and training
Business needs to be ready for Scotland’s new qualifications A s more young people leave school or college with the Scottish Qualifications Authority’s (SQA) new National Qualifications, they will appear more frequently on CVs and application forms. What are the new National Qualifications and when are they being introduced? For those who are not yet familiar with the new qualifications, the table at the bottom of the page shows what to look out for: National 1 to Higher are being delivered now, and the new Advanced Higher will be available from August 2015. What is different about them? One of the key features of the new qualifications is skills development. Learners studying for the new qualifications will develop Practical skills such as data collection, literacy, numeracy and teamworking; Core skills such as communication, ICT and problem solving; and Skills for Learning, Life and Work, such as employability, independent thinking, and enterprise and citizenship. A fundamental part of this is ensuring that learners not only develop these skills, but can transfer them to real-life settings, such as the workplace. This is encouraged through changes to learning, teaching and assessment; with more assessment through things such as practical activities, performances and research projects,
etc. National 4, for example, does not include any exams. Instead, learners undertake an Added Value Unit assessment at the end of the course, which is internally assessed and enables them to both demonstrate and retain the skills and knowledge they have developed. Why are new qualifications needed? The new qualifications have been introduced to support Curriculum for Excellence (CfE), which aims to prepare young people for life and work in the 21st century. As more young people leave school or college in search of employment, it is becoming increasingly important to ensure that they are
equipped with the skills and know-how they need to succeed. Schools, in particular, are starting to broaden the range of qualifications available from S4 to S6, with a view to preparing young people for the workplace. Over time, employers can expect to see more young people leaving school with a broad range of qualifications, including: SQA’s National Qualifications, Skills for Work Courses, National Progression Awards (NPAs) and National Certificates (NCs). SQA has also developed a number of wider achievement awards that complement both new and existing qualifications, including awards in Personal Development, Enterprise and Employability and Leadership.
SCQF level
Previous/Existing National Qualifications
Grades
New National Qualifications
Grades
7
Advanced Higher
A to D
>
Advanced Higher
A to D
6
Higher
A to D
>
Higher
A to D
5
Intermediate 2 Standard Grade (Credit level)
A to D 1 or 2
> >
National 5
A to D
4
Intermediate 1 Standard Grade (General level)
A to D 3 or 4
> >
National 4
Not graded
3
Standard Grade (Foundation level) Access 3
5 or 6 Not graded
> >
National 3
Not graded
2
Access 2
Not graded
>
National 2
Not graded
1
Access 1
Not graded
>
National 1
Not graded
Further information – www.sqa.org.uk/cfeforemployers For more information on the new National Qualifications, and to download SQA’s handy guide for employers, visit www.sqa.org.uk/cfeforemployers To find out more about SQA awards, visit www.sqa.org.uk/awards
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Employers can look forward to recruiting young people who are used to doing things on a practical level.
Games stories flow at another great influencers’ dinner by Laura Gordon IoD Glasgow & West of Scotland As ever, the weeks and months between summer and the Christmas and New Year break seem to speed by at an alarming rate. 2014 has been an amazing year for Scotland but Glasgow has undoubtedly shone to the outside world, particularly during the Commonwealth Games. An audience of over 40 business leaders heard some of the incredible stories behind the Games’ success first hand from two wonderful speakers at our recent Influencer’s Dinner, with Peter Duthie, CEO of the SECC and the SSE Hydro speaking alongside Lord Smith of Kelvin on the journey to Glasgow 2014. Hosted in grand style by Dominic McVey, IoD West of Scotland Committee member and General Manager of the Crowne Plaza, the sold-out event not only looked at the massive effort and planning behind the Games, but told the story from 2002 when the decision to bid was taken. We were brought
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up to date with the details of the dissolution of Glasgow 2014 as a company in early 2015, as well as the legacy the Games leaves for the future. An enthused audience fired question after question at both speakers and even when we reluctantly had to bring the event to a close, the speakers happily stayed on to chat with the guests. Another enjoyable event was held on Friday, 21st November when we hosted a breakfast masterclass with Stewart Hastie of Inclusive
Scotland and Dr Pete Jones, with the topic focusing delegates on our unconscious biases and how we can better manage them at work to create a more diverse and productive workforce. The event was kindly sponsored by ScotRail, at 200 SVS, and gave us all a huge amount of food-for-thought on how even the most balanced individual can unconciously create teams of people around them that are ‘just like them’. Of course, as we are now in the final run-down to Christmas, it would be remiss of me to not call your attention to our final event of 2014, our annual Christmas reception on Wednesday, 10th December. Sponsored by SCQF at the Apartment in 29 Glasgow it should be a sparkling evening of festive fun, wine, food and prizes and some great networking to ease you gently into the festive period. I look forward to seeing you there, but in case you can’t make it along, have Pictured at the Influencers’ Dinner a wonderful Christmas and New Year are Dominic McVey, Katherine and I look forward to seeing you in McCudden, Peter Duthie, Laura 2015. Gordon and Lord Robert Smith
Inward investment
Maxim Park: An impressive base for any business
Choose Lanarkshire for business Councils pool resources to create perfect location for companies - both established and new
L
anarkshire has played a vital role in helping to shape and develop the economy of Scotland and there are many reasons to be confident that this will continue into the future. With welcome signs of recovery apparent, South Lanarkshire and North Lanarkshire Councils have joined forces to promote the area for inward investment and business through the launch of a website, www.chooselanarkshire.com. The website provides a single point of contact for potential investors seeking information about Lanarkshire and what it offers. The two councils are already involved in a number of partnerships and synergies in their economic strategies have led them to work together to market Lanarkshire as a prime location for businesses to establish themselves and grow.
Central location Chair of South Lanarkshire Council’s Enterprise Services Committee, Councillor Chris Thompson is enthusiastic at what Lanarkshire has to offer. He said: “The area’s central location, industrial tradition and reputation for business excellence, its skilled workforce, high standards of education and modern learning facilities all offer outstanding opportunities for sustainable economic growth. “With the completion of major infrastructure improvements such as the M74 extension and the ongoing commitment to complete other major schemes, Lanarkshire’s already excellent accessibility to the main Scottish and UK markets and to Glasgow, Edinburgh and Prestwick airports has been further enhanced.’’
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Councillors Chris Thompson and David Fagan – enthusiastic about Lanarkshire’s offer to businesses Diversity of commercial properties North Lanarkshire Council’s Convener for Regeneration, Councillor David Fagan added: “Lanarkshire is richly served with available and affordable commercial property space and we will work with strategic site owners to market Lanarkshire.” Some of Lanarkshire’s established locations include Biocity, Eurocentral, Maxim Park, Hamilton International and Strathclyde Business Park. New locations for business are also being developed at Rutherglen Links and the National Business District at Shawfield – a key element of Scotland’s largest urban regeneration project known as Clyde Gateway. The recent announcement of the £1.13 billion ‘City Deal’ by the UK Government means that
Lanarkshire will benefit from more investment in infrastructure – improving road capacity, public transport links and investing in key areas to kick start development. Councillor Thompson said: “This commitment will bring with it thousands of jobs and unlock millions of pounds worth of private sector investment into our area. “It demonstrates the high level of confidence that the public sector has to commit such a large sum of money on this 20-year programme. Lanarkshire expects to reap the rewards in the form of private sector investment, job creation and improved productivity for the area.” Major companies such as AG Barr, Tunnocks, and Capita IT Services are already based in Lanarkshire, along with start ups such as Biogelx which are benefitting from the region’s location along Scotland’s life sciences corridor. ChooseLanarkshire.com seeks to be a one-stop business portal to make the decision to locate or expand a business in Lanarkshire easy. A personal approach is also something that businesses can expect when making enquiries about choosing Lanarkshire as their business base. “We are keen to have a single approach to handling enquiries,” says Councillor Fagan, “so an inward investor will be allocated one contact point – a senior officer – to provide a bespoke response to their needs: planning, building control, financial assistance, skills development, recruitment or anything else. “We will work closely with the main agencies to provide a co-ordinated response’’.
For more information on what Lanarkshire has to offer, visit www.chooselanarkshire.com
Techs and Balances/Charity
Unleash the power of ‘big data’ on your business by Bill Magee Tech Writer
We’ve all been there. That key meeting looms and a single precious e-file that will mean all the difference between success and abject failure just cannot be found. The clock is ticking. What’s to be done? I asked this question at the EMC Forum on Tour, a global Big Data and Cloud Computing roadshow that rolled into Edinburgh’s Murrayfield Stadium, fresh from visits to the likes of Strasbourg, Malmo and Florence. Given that unstructured data is doubling in size every two years, enterprises need higher efficiencies coupled with simplicity. But with a high level of security involving often highly sensitive information. Nowadays, business has to negotiate and manage what has manifested itself as representing a veritable tsunami of computerised business intelligence from innumerable global sources. Hard-pressed executives on the move are under pressure to equip themselves to handle increasingly complex information – around-the-clock – in a faster and more collaborative fashion. This has required a fundamental change in mindset, but the situation has not been made any easier due to the sheer explosion of what has become known as the ‘Big Data’ technology maze that we are all now operating within. Big data has become increasingly relevant as
an all-embracing term, covering any collection of data sets that have become so large and complex to make it difficult for an organisation to process using traditional data-gathering applications. What EMC - the world’s largest manufacturer of storage computers - has come up with, following the acquisition of Isilon Systems for $2.25 billion, is what it terms a “scale-out data lake” to store and manage an organisation’s files. At times they can run into millions in total. That’s a heck of a lot of files to track! EMC’s Scottish country manager Martin Brown says it “enables organisations to store everything, analyse anything and build a solution with the best return on investment.” The solution centres on de-coupling data storage from both the analysis and applications operations. This gives an organisation a vital flexibility without the risk of losing data – including that precious file. The data lake answer enables a firm to simplify its entire IT infrastructure and to tier, secure and protect its information. Plus lay its hand on insights into any particular file faster. Furthermore, an organisation can understand the value locked in its large, and ever growing, datasets in order to make better informed strategic decisions. Storage isn’t something that many people think about, but it has grown in relevance as everyone of us spends increasing amounts of our work time both creating and consuming digital information. Gartner analysts say that big data involves information of extreme size, diversity and complexity that is, literally, everywhere. Such a disruptive phenomenon is destined to help
New Diamond Daisies… A sparkle in the dark! New Diamond Daisies are sparkling in Sheila Fleet’s Orkney jewellery workshop. Pendants, ear rings and rings in yellow, white, rose gold and silver with handset diamonds adorn our jewellers’ benches. New collections are no surprise from Sheila – one of Scotland’s leading designers of precious jewellery. But the Daisies are special. They have been designed for 19-year-old Emily Findlay, whose favourite flower is the daisy. Emily once worked for Sheila in her Kirkwall Boutique Gallery but was forced to give up her job when she
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relapsed with a rare form of childhood cancer. The first Daisies collection appeared in early summer. With their sunshine yellow centres and waving white crystal petals they looked just like nature’s daisies in silver and enamel. As the nights drew in and winter stretched cold fingers across the land, Sheila began designing the new range of Coloured Daisies. In a myriad of hues - Ocean, Champagne, Peacock and Fire to name but a few – they brought a little brightness into gloomy winter days.
organisations drive innovation by gaining new and faster insights into their customers. However, there does remain a problem for organisations to exploit such an opportunity that big data presents and gain competitive advantage. Here, Gartner points to three strategic and operational challenges: • An organisation needs to develop an information strategy, harnessing the power of such data assets, as it is forced to find new ways of leveraging such sources to drive growth • On the data analytics front, an organisation needs to draw more insight from its big data analytics, or large and often complex datasets, to predict future customer behaviours, trends and outcomes • When it comes to enterprise information management: data is everywhere – volume, variety, velocity – and it keeps growing! You need to manage access by growing extreme data management requirements to drive innovation in rapid information processing. EMC’s Martin Brown again: “The power of big data analytics can be jaw-dropping.” He urges organisation, irrespective of size, to really make the most of big data power by ensuring that it achieves a combination of both a deep understanding of the business with a focused analysis of the specific opportunities or challenges that exist. Only then can it measure success through a totally customised, non-disruptive solution that delivers real value. Catch my Daily TechPost (most days!) on Twitter #billamagee and regular tech microblog at www.Kiltr.com/ Now the Diamond Daisies are adding a little sparkle in the dark! With their handset diamonds twinkling like frosted snow the Diamond Daisies illuminate long nights. Sheila hopes the new winter Daisies will continue to support Emily and her family. All the Daisies contribute to Emily’s Fund at the Orkney Charitable Trust. The original summer Daisies have raised an amazing £14,800 for Emily’s Fund and we hope to raise £20,000 by the end of the year. A warm thank you to all who have supported Daisies for Emily. • To see all the Daisies visit www.sheilafleet.com; to read more about Emily’s story see our blog: blog.sheilafleet. com/daisies-for-emily
Motoring
The beautiful big cat ready to pounce on business buyers by ROB BESWICK
I
t seems like an age since Jaguar was hived off from the Ford range, sold, somewhat surprisingly, to Indian manufacturing conglomerate Tata. Yet it was only six years ago that a loss-making part of the global Ford portfolio was sold to a company with no track record of building cars for the global market. You have to wonder today what Ford makes of the deal. It made £1.7b, yet when you see the brand today, was that a good price? Could Ford have turned the corner with Jaguar or had it taken the brand as far as it could? We’ll never know; one thing that is certain is that from a position of loss-making, Jaguar now returns a healthy profit – of around £1bn as part of the Jaguar Land Rover partnership. The profits come from a suite of cars that are staggeringly good – and yet, when you consider the XF range, amazingly affordable. The qualities on display carry all the hallmarks of the classic upmarket Jaguar lines of the 1960s, when ‘big cats’ were the only cars for the wealthy to be seen in, yet today’s price tags come with an altogether more moderate ring to them. Simply put, a Jaguar XF for less than 30k: around £3-4k more than a Ford Mondeo in similar spec. Now ask yourself, which turns more heads? Which has more visual appeal? Which suggests a seat on the board? Case closed. And with the Jaguar XF, it would be a walnut veneer case with striking aluminium piping. For that is the vision that greets you when you first open the doors. In my case, the official description was warm charcoal suedecloth seats with bond grain leather facings, a warm charcoal bond grain upper facia, allied to a dashboard of knurled aluminium with satin American walnut. It conjures up the classic atmosphere of Jaguars of old – of a select country club with an air of understated quality and opulence. But the rest is hi-tech. Slide behind the wheel and press the autostart/stop button - no keys here, literally, and more of that later. The child in me loved the elegantly rising automatic gear selector knob from the central console, and the way the air vents were smoothly exposed. Press the ignition and the 2.2-litre diesel purred – not roared – into life. Easing off, the auto box is nicely grooved, providing an element of delay before providing real pace through the gears. Around town the XF was content to join the rest of the traffic,
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smoothly rolling through the city with a minimum of fuss – the joys of auto boxes. But where autos lose – but the XF wins – is away from the traffic, when you open the beast up to the open road. Motorway driving was a joy: plenty of power for overtaking and ‘get out of trouble’ pace on tap. An efficient and easy to use cruise control with ASL (Automatic Speed Limiter) allowed me to set my preferred speed, sit back and let the XF do the work for me. More fun – if driven carefully – was on rural roads on a lazy Sunday. With good visibility and dry ground under its tyres the XF came into its own, pouring into corners while real grace and pace, coming out the other side with a satisfied smile on its face. Handling is superb: taut, with real feel from the road in the same way you usually only get from a track car or smaller supermini. It comes over all Italian and sporty, shrinking in size to deliver sports car handling and dynamics. So where does all that fun come from? An engine that’s fitted in a longitudinal format, mated to an eight-speed ZF auto gear box. This features Jaguar Sequential Shift™ which allows faster, smoother gear shifts as well as manual control via paddles mounted behind the steering wheel. To suit your driving preferences or the prevailing conditions, two additional modes, Sport and Winter Mode, can also be selected with JaguarDrive Control™. The crucial detail for business users is what this means on the tax band: combined with Jaguar’s Intelligent Stop/Start, it drags the XF 2.2’s emissions to 129g/km CO2, mark, and a return of 57.7 mpg on the combined cycle – that is 21% on the HMRC BIK tables. By way of comparison, it’s better like-for-like than key rivals such as the BMW 520d, Mercedes E-Class and the Audi A6. Other key reasons to buy: the quality of the interior isn’t confined to
smart trim levels and woodwork. This is a seriously comfortable car. Memory seats allow the driver to select the ideal position, and there’s strong support for thighs, back and neck. To the rear, the sloping roof is a tad tight for comfort for six-footers, and the boot, while cavernous, suffers from that lack of practicality that all saloons face, in that there’s plenty of capacity but it isn’t always usable. Other problems? None – though I had a personal trauma with the Smart Key System, which grants keyless entry. It’s very clever. Keyless entry lets you into your XF without pressing a button. Simply unlock and disarm the vehicle by operating the door handle – it senses the key’s presence. But if you still have the keys on you, and try the door handle to check it is locked – as I do, a habit I’ve had for 20 years – the Jag immediately thinks you want to get back in, so conveniently opens the door for you. I was left having to walk away with the keys so they were out of range, then go back to the car to check the door was locked... I know, I know, OCD is my middle name... But boy, is that the only problem I had. This is a great car to drive, is perfectly positioned price and performance-wise, and looks beautiful. Compared to the rivals, its curves and menacing front grille make it stand out from the pack. On looks alone the XF will turn heads, from five years to 80 years old, wherever you drive. Fancy a Mondeo over this? You must be mad! Would I have one? Absolutely! Your finance director might suggest the BMW 520d is a more tax-efficient beast with its lower emissions, but this is a spectacular motor car: beautiful, sleek and stylish If you are looking to change your company vehicle, give it a test drive. Trust me, you won’t be disappointed.
New Qualifications — New Opportunities Shaping your Workforce
New National Qualifications are being introduced across Scotland to support Curriculum for Excellence. The new Nationals, Highers and Advanced Highers will equip young people with the skills, knowledge and understanding they will need to succeed, and prepare them for further learning, training and employment. For more information, visit www.sqa.org.uk/cfeforemployers