The official publication of Greater Manchester Chamber of Commerce
ISSUE 3 w 2018
Dame Nancy Rothwell Creating a lasting legacy
Blazing a trail Swifty Scooters
Force for good
Informed Solutions
Innovation hotbed Ashton Old Baths
Five star
City hotel review
System One is the brand name of Greater Manchester Travelcards Ltd, a company that has been helping people make journeys across Manchester for over 25 years.
Welcome This edition of The Business reflects the strength and diversity of Greater Manchester’s economy. Our latest Quarterly Economic Survey (QES) shows that the local economy continues to power ahead of the rest of the UK, with the Chamber’s unique Manchester Index™ producing its highest score for three years (see pages 8-10). The QES forms a major part of the UK’s largest and most reliable business survey, which is used by the Bank of England and the Treasury. If you didn’t take part in the survey this time, make sure you give us your feedback next time. Our Big Interview is with a leading figure from the world of academia, Professor Dame Nancy Rothwell, President and Vice-Chancellor of the University of Manchester. Behind the scenes Rothwell is one of the most influential figures not just in Manchester but across the wider North West, with strong connections to the very highest level of government. Here she talks candidly about the many opportunities and challenges facing the University as it approaches its 200th anniversary. We also have case studies on three outstanding local companies: Swifty Scooters, which has transformed the way people commute with its innovative foldable scooters for adults and children; Francis Kirk, which is winning orders from around the world; and Informed Solutions, which today works with blue-chip companies and national governments in more than 40 countries.
We offer bus tickets that can be used on almost every bus company in Greater Manchester, meaning you only need one ticket! We also work with train companies, Metrolink trams and Transport for Greater Manchester to provide multi modal tickets too. Along with our tickets on offer to all visitors and residents of Greater Manchester we provide a range of bespoke ticketing options for businesses to help them meet their environmental commitments and of course support employees in their commute. We can help you to understand the travel needs of your employees and provide some discounts off normal pricing for our range of tickets.
The official publication of Greater Manchester Chamber of Commerce
The regional update section (pages 62-71) also shows the strength of the local economy. For instance new developments continue to be announced in Manchester city centre, business investment in Stockport is at an all-time high, and many companies across Greater Manchester are reporting record growth. You can also read more in-depth analysis of our key industries in our sector reports which start on page 36, and cover everything from finance to technology. And if you thought business was just about factories, offices and construction, the arts & culture section and ‘and finally’ column highlight the huge economic contribution made by the arts through film, theatre, literature and music. And last, but not least, if you missed our annual business dinner featuring Mayor of Greater Manchester Andy Burnham as guest speaker, you can read a full report on this prestigious event on page 16. Remember, YOU can be a part of Greater Manchester’s success story by sending your good news stories to communicate@gmchamber.co.uk with ‘The Business’ in the subject line. Simon Cronin Member Communications Manager simon.cronin@gmchamber.co.uk
...if you thought business was just about factories, offices and construction, the arts & culture section and ‘and finally’ column highlight the huge economic contribution made by the arts through film, theatre, literature and music.
ISSUE 3 w 2018
The Business magazine is published on behalf of Greater Manchester Chamber of Commerce by Dame Nancy Rothwell
Although every effort is made to ensure the accuracy of information contained in the magazine, neither the Chamber nor the publisher can accept responsibility for any omissions or inaccuracies it contains.
Creating a lasting legacy
If you are interested in finding out more about how we can help your business with bus, train and tram tickets then please get in touch - pop an email to our General Manager Glenn Hyde on glenn@systemonetravelcards.co.uk or give him a call on 07931 561207. Blazing a trail Swifty Scooters
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Force for good
Informed Solutions
The views expressed in this magazine are not necessarily those of the Chamber. This publication (or any part thereof) may not be reproduced, transmitted or stored in print or electronic format (including, but not limited to, any online service, any database or any part of the internet), or in any other format in any media whatsoever, without the prior written permission of the publisher.
Innovation hotbed Ashton Old Baths
Five star
City hotel review
The Mix Group
Commercial Sales
Unit 2 Abito 85 Greengate Manchester M3 7NA
Gary Williams 0161 946 6262 gary@wearemixgroup.com
Editor Jim Pendrill jim@wearemixgroup.com Design & Artwork John Hope john@wearemixgroup.com Photography Dan Eden Printed by Stephens & George
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QUARTERLY ECONOMIC SURVEY
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OUTLOOK:
Sunny with scattered showers
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CONTENTS
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63 ISSUE 3 w 2018
THE BIG INTERVIEW
Professor Dame Nancy Rothwell, President and Vice-Chancellor of The University of Manchester, talks candidly about Brexit, devolution and globalisation.
QUARTERLY ECONOMIC SURVEY
Key findings from our latest review of the Greater Manchester economy.
CHAMBER NEWS
16
ANNUAL DINNER
24
CASE STUDIES
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55
15
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24 64
32
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Greater Manchester Mayor Andy Burnham was among those who joined us for our annual dinner.
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28 SECTOR REPORTS
In-depth analysis and comment on Greater Manchester’s key industries, as well as discussion of current issues facing business leaders.
w Property, Construction & Development w Manufacturing & Engineering w Finance w Technology w Marketing w People w Arts, Culture & Leisure
Interviews with leading companies from across the region:
w Swifty Scooters
w Francis Kirk & Son w Informed Solutions
All the latest news and information from the country’s largest Chamber.
62 REGIONAL UPDATES 72
A summary of the latest news and views from around the ten boroughs of Greater Manchester.
AND FINALLY
Stella Bowdell, Director of Membership, Greater Manchester Chamber of Commerce.
OUR PATRONS: THANKS FOR YOUR SUPPORT www.gmchamber.co.uk/patrons
Elliot House, 151 Deansgate, Manchester M3 3WD w E: info@gmchamber.co.uk w W: www.gmchamber.co.uk Membership: 0161 393 4322 w Events: 0161 393 4343 w International Trade: 0161 393 4348 Marketing & Campaigns Director: Chris Fletcher: 07966904149 w chris.fletcher@gmchamber.co.uk w Twitter: @gmcc_fletch Member Communications Manager: Simon Cronin: 0161 393 4335 w simon.cronin@gmchamber.co.uk Digital & Social Media Manager: Joanna Preihs: 0161 393 4336 w joanna.preihs@gmchamber.co.uk Marketing & Campaigns Manager: Charlotte Maloney: 0161 393 4337 w charlotte.maloney@gmchamber.co.uk
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Greater Manchester Chamber
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NANCY ROTHWELL
UNFINISHED BUSINESS
BIG INTERVIEW
“There is still a sense that getting girls into science is difficult, but I don’t think it is because it is innate in most kids that they want to discover things. Picasso wrote that every child is an artist, I would say that every child is a scientist.” Professor Dame Nancy Rothwell, Vice-Chancellor of The University of Manchester
Acclaimed scientist, much travelled Manchester ambassador, inspiration to young women. Eight years since becoming the first female President and Vice-Chancellor of The University of Manchester, Professor Dame Nancy Rothwell shows no sign of slowing down. Indeed if you ask Rothwell if she still has unfinished business at the University don’t expect a short reply. Instead she rattles off at least half a dozen priorities, ranging from the continued development of the campus and improving the student experience, through to increasing the quality and recognition of research, and further growing its international profile and business engagement. As if that wasn’t enough to manage, this autumn she is also launching a major exercise reflecting on the University’s future, a fundamental look at what the University stands for and taking account of how the world is changing fast around it, not least digitally. As she remarks: “I was asked once what I thought the University would be like in 30 years and I replied that it could be that instead of having 40,000 students on campus there might be only 4,000. But another 400,000 could be spending part of their time here, partly at work, partly distance learning.” Another reason for the review is that in 2024 the University celebrates its 200th anniversary. “It seems only appropriate that we should look at how this University should be in its third century,” she adds. Will Rothwell, whose contract has just been renewed until 2022, be at the University to see it? “A lot of people are saying you cannot possibly miss the 200th anniversary,” she says with a twinkle in her eye. “Let’s see, it is of course up to the board of governors not me.” We’ll take that as very likely then. Purpose Does this fast changing world not make it difficult to put together a long-term plan though? “There are different parts to it,” she adds. “There is having an underpinning vision which I think you can pretty much stick to. To me, we are here to serve the wider public, to educate the next generation of leaders, to make new discoveries, to have a wider impact on society. I cannot imagine that changing. The details of how you get to that is where we have to be flexible. For instance, will we be able to find
students who don’t want to learn in a classroom or lecture theatre? As of today that hasn’t shifted quite as fast as we expected, but there will need to be adjustments. “To give one example, two years ago I hadn’t envisaged that GCHQ would be opening a major presence in Manchester, creating a huge opportunity around computing, maths, linguistics, cyber security. Something new comes up all the time.” One of the questions that is sure to come up in this future discussion is whether the University is trying to do too much in trying to respond to all these opportunities. Rothwell agrees it’s a valid question. “It’s going to be part of the conversation. We are a very large University, we do lots of things. There is a value in doing lots of things, but on the other hand there is also a value in having focus.” Global Maintaining and enhancing the University’s growing international reputation is undoubtedly a major focus for Rothwell and has become a defining characteristic of her time as President. Since last year the University’s overseas centres and distance learning programmes have moved to being managed at University level under a new organisation University of Manchester Worldwide. This includes offices in Shanghai, Dubai, Singapore, Hong Kong, the US, and Brazil. Is Rothwell thinking about building these up further into campus-style operations? “We are thinking about whether we have a stronger or different presence abroad. We are not talking about closing any existing offices, but in China for example the office is in Shanghai, whereas probably Beijing is somewhere we need to have a presence given the direct flight from Manchester, and the fact that more regulation is done from there and major funding bodies are there.” She adds that India and Africa as a whole also offer strong opportunities. “At present we don’t have people in India which is still a big market for students, research collaborations and companies, so we are thinking about how will that shift with time. A continent I think we also need to be looking at very hard is Africa. There is a growing desire for education in Africa and growing opportunities. We always need to be thinking of what is next.” ´6 www.gmchamber.co.uk
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BIG INTERVIEW
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She doesn’t see “a clear driver” for having an overseas campus now, though that is not to say there won’t be in a few years’ time. “We are certainly open to joint research institutes in other countries where there are significant advantages to doing that.” China China will continue to remain a key focus. The University has almost 5,000 Chinese students and the strong relationship between Manchester and China was crystallised by the visit of President Xi Jinping to the University three years ago. Rothwell has built up contacts at the highest level of Chinese government and earlier this year took part in an official visit to China with Prime Minister Theresa May where Rothwell addressed a group of 500 business leaders, sharing the stage not just with the Prime Minister but two of China’s leading business figures - Jack Ma of Alibaba Group and Li Shufu of Zhejiang Geely Holding Group and Volvo Cars. Rothwell joined the Prime Minister’s visit in recognition of Manchester’s position as a global leader in research and innovation in advanced materials, business studies and health, and also joined the new UK CEO Council while in China. However given the unease that some feel towards having such a close relationship with China, she insists that the relationship “has to be on our own terms”. “Whatever partnerships you set
Development
The University is certainly equipping itself with the infrastructure it needs to respond to the huge global opportunities. Most prominent at the moment on the south Manchester skyline is the construction of the giant Manchester Engineering Campus Development (MECD), one of the largest ever construction projects undertaken by a British university. The University is investing £400m on the project which brings together its four engineering schools into the heart of the Oxford Road campus on one site, with completion expected by 2021. The move will also release a large piece of land in the city centre which the University owns, and is part of the University’s wider plans to relocate all its buildings in the city centre - most of which it inherited from the merger with UMIST in 2004 - to its main campus.
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up you make a judgement about whether this is right for us or not. What are the risks and opportunities, and then balance them up. I would say China has opened up a great deal more in the last five years. They are open to business, open to collaborations. Our own Manchester China Institute is discussing political relations between the two countries openly.” On the flip side Rothwell is also mindful that China is building a lot of universities very quickly. Will that not inevitably lead to less Chinese students coming to Manchester? “There is absolutely no sign of it at the moment, but that is not to say that in five years’ time there won’t be.” Brexit As co-chair of the Prime Minister’s Council for Science and Technology Rothwell is extremely close to Whitehall too, and has been at the heart of discussions since the referendum on the impact of Brexit on the higher education sector and, especially, the future of major EU-led research programmes such as Horizon 2020. The government recently gave a guarantee to underwrite Horizon 2020 funding and Rothwell, who supported Remain, says she feels “somewhat more positive” about how higher education will fare in Brexit than she did six or 12 months ago. “That is not to say I’m reassured as yet as there is a lot of uncertainty. One of the biggest enemies
The MECD development comes hot on the heels of the completion of the National Graphene Institute and Graphene Engineering Innovation Centre, while the UK’s new national institute for materials science research and innovation – the Henry Royce Institute – is being built opposite MECD. Later this year the University’s redeveloped Alliance Manchester Business School also opens its doors, as well as two adjoining new hotels, a Crowne Plaza and a Staybridge Suites. Given the rush of development in recent years Rothwell says the University has now paused several capital projects. “With the exception of MECD just about everything else on site is externally funded at the moment. There is a pause, not least because there is a lot of uncertainty in the UK higher education market.” w
in this has been uncertainty, staff and students just not quite knowing what is going to happen. “There have been some very positive messages for universities, and talking to ministers there is a bit of a sense that universities are the easiest thing to deal with in Brexit. They can see that our universities are an absolute jewel in the crown. Government and opposition recognise that if they mess up with universities on Brexit there is not much hope for other bits. “I do feel more positive, together with the fact that our collaborators in Europe absolutely want the UK to be part of research in Europe because they see the value of that. In the last round of the European Research Council the UK did by far the best which was a measure of our quality. They feel it will downgrade the quality of the research in Europe if the UK cannot be part of it. Everyone is aligned on it, but how it will pan out beside other things which are more political and difficult is very hard to say at this present time. But it feels a better place than we were.” Devolution The significance of a good Brexit deal for higher education cannot be underestimated for Manchester’s universities on which so many of the hopes of not just Greater Manchester but the wider North West region are pinned in terms of its future economic growth.
They (ministers) can see that our universities are an absolute jewel in the crown. Government and opposition recognise that if they mess up with universities on Brexit there is not much hope for other bits. To that end it is no surprise that Rothwell is playing a major role in the devolution debate, not just as a ViceChancellor but as a member of the Greater Manchester Local Enterprise Partnership and Northern Powerhouse Partnership boards. She believes more devolved powers can only be a good thing for the city, not just because a well-run city region like Greater Manchester is best placed to work out its own needs, but also because of the ability to better join up its needs. “The big benefit of health devolution is not really that Manchester controls the money, but it is the opportunity to join up the health and social care, and then join that up with policing, with skills. Once you get healthcare better integrated you can focus more of your resource on preventing people from getting ill, rather than lots of money treating them. There are certain other areas where more powers would definitely be helpful, such as transport and skills too.” History She sees the wider economic, cultural and social positioning of the University within the Manchester offer as increasingly important too. “One of the things we have brought to the fore a bit more is the University and its interplay with the city’s heritage because history tells great stories. People often ask me how to explain ‘Manchesterness’ and I say a good way is through the history of the city - a city of radicalism, innovation, suffragettes, chartists, trade unions. “We have started to pay more attention to our heritage and I have a long list of pages of firsts at this University, whether it’s the first school of nursing or psychology, one of the first to admit women and students irrespective of religious conviction, the first to have a black professor. Telling those stories tells you something about the city.” The reference to women brings us to one of Rothwell’s greatest passions, namely getting more young women interested in science. Why are there still such barriers?
“I think there is still a sense that getting girls into science is difficult, but I don’t think it is because it is innate in most kids that they want to discover things. Picasso wrote that every child is an artist, I would say that every child is a scientist.” When she is touring schools Rothwell says one of the most common questions she is asked by girls is can they be a scientist and ‘be normal’. “There is still this slightly pervasive view that you have got to be a geek and look like Einstein and have lots of pens in your top pocket.” However the most common question she gets is what constraints she has had in her own career. “I answer that I didn’t have any really. There is a danger that you create a glass ceiling so people think it’s going to be more difficult than it is. That is not to deny that many people will face constraints, but actually I didn’t find any. If I go to a meeting of senior people in London and there are 25 people and only three women you get remembered because you are one of the three women and the men are all in grey suits. People do remember you.” And in terms of getting more women in the UK boardroom, does she feel positive? “I think it is getting better, but it does feel like three steps forward and one back. It needs continuous momentum.” w
Research
Nancy Rothwell’s research in the field of neuroscience, which has contributed towards major advances in the understanding and treatment of brain damage in stroke and head injury, marked her out from an early age in higher education. She first joined Manchester University in 1987, becoming Professor of Physiology in 1994 and then Vice-President for Research in 2004. That year she was elected Fellow of the Royal Society and was honoured by the Queen (DBE) the following year in recognition of her services to science. When she became President and ViceChancellor in 2010 she was the first woman to lead the University (or either of its two predecessor institutions). Is she still actively involved in research? “Yes and no. Yes because I am involved in lots of discussions about projects, new ideas, latest results and grants. But no, in that I am very lucky that a significant group of people who trained with me now have University positions. They involve me in everything and do a lot of the hard work.” She reveals that when she steps down as President she would like to return to more research, although it is likely to be in a part-time capacity. “I would like to go back to doing more research but once you’ve had leadership roles it’s hard not to want to stay at the coalface. When I get on a train I always ask myself ‘shall I read some documents ahead of the meeting I am going to or can I read some research papers’. The latter is always more relaxing but I usually end up doing the former.” w
Vision of the future - MECD
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QUARTERLY ECONOMIC SURVEY
Q2 - 2018
Greater Manchester’s economy continues to power ahead of the rest of the UK with the Chamber’s unique Manchester Index™ producing its highest score for three years.
The Manchester Index – made up of seven key indicators taken from the influential Greater Manchester Chamber of Commerce Quarterly Economic Survey improved to 31.2 (28.2 in the previous quarter) - the highest it has been since the third quarter of 2015. With over 350 Chamber member companies responding this last quarter (who between them employ over 48,000 staff) the QES continues to be the leading business confidence survey in Greater Manchester. Whilst at a national level the British Chambers of Commerce revised down its economic forecast for the UK from 1.4% to 1.3% for 2018 and from 1.5% to 1.4% for 2019, the latest results of the QES haven’t dented the Chamber’s forecasts of 2.5% - 2.75% economic growth for Greater Manchester over the coming 12 months. The downgrades have been largely driven by a more lacklustre outlook for consumer spending, business investment and trade. However, growth in Greater Manchester has recently been better than national GDP growth and the latest QES forecast confirms that. The worst effects of the slowdown towards the end of 2017 and early 2018 may have been safely navigated but challenges do remain. Results this quarter indicate some volatility in certain sectors and the impact of some of that business hesitation that we hear so much about when it comes to making important decisions. It is fair to say that sustained growth may not be achieved unless there is sufficient clarity in Brexit negotiations and firm measures to address issues in the domestic business environment such as skills shortages and low productivity. Our concern is that with Brexit dominant, government has taken its eye off the ball with its domestic responsibilities. More detail can be found in the summary points (see right) where we have focused on the seven QES components that make up The Manchester Index™ along with our new at-a-glance indicators showing the results of what our Construction, Manufacturing or Service members have told us in the survey. The next QES opens in August and as we inch ever nearer to a decision (or not) on what our future trade deals look like this could be the most important survey ever, so please take part. Chris Fletcher
Marketing & Campaigns Director
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Since April, there has been a prolonged period of good weather. That combined with the excitement around the Royal Wedding seems to have given a boost to the economy. Subrahmaniam Krishnan-Harihara the Chamber’s Head of Research outlines the domestic QES indicators used in the Manchester Index. DOMESTIC SALES
DOMESTIC ORDERS
Outlook: Sunny
Outlook: Sunny
Construction Up
Construction Up
Services Up In Q1, we reported that domestic sales were down in both manufacturing and construction and a flatlining in the services sector. There has been an upturn in the second quarter. UK sales have grown in all three sectors with construction showing the sharpest upturn. Since April, there has been a prolonged period of good weather. That combined with the excitement around the Royal Wedding seems to have given a boost to the economy. Inflation has continued to ease since the beginning of the year and that might be encouraging more consumer spending. If there is continued growth across the board, domestic demand in all three sectors could quickly reach the pre-EU referendum levels of 2016. w
Services Up Advance orders or bookings in all three sectors have also rebounded in the second quarter. The picture in the first quarter was slightly pessimistic but that seems to have changed. Services make up the bulk of UK GDP and the recovery in this dominant sector is particularly encouraging given the uncertainty around how the Brexit negotiations might affect services exports. Quarter on quarter growth in domestic orders in all three sectors has been the highest since the EU referendum, which may be an indication that businesses have again started focusing on domestic consumption through competitive pricing strategies and business development. The recovery is very welcome but could be at risk if inflation goes up in the current quarter. w
Manufacturing Up
Manufacturing Up
TURNOVER CONFIDENCE
CAPACITY UTILISATION
PROFITABILITY CONFIDENCE
Outlook: Slight chance of rain
Outlook: Slight chance of rain
Outlook: Fair
Construction Up Manufacturing Down Services Up
Business confidence in turnover is split by sector with services and construction both reporting a slight increase but manufacturing reporting a decrease. This is also quite different from the picture last quarter. For the services sector, the recovery in domestic sales and domestic orders combined with the continued increase in international sales and international orders is giving businesses confidence about their turnover projections for the quarter. Sales receipts in the manufacturing sector were being buoyed by the weakness of sterling. Despite some volatility in exchange rates, sterling has continued to gain value in the last few months. That may be translating to some lack of confidence about turnover in manufacturing despite businesses in the sector reporting higher sales and orders in both the domestic and export markets. The rebound in confidence in the construction sector is also positive for the overall economy. The higher confidence levels match investment intentions with all three sectors reporting an intention to invest in plant and machinery. w
Construction Up Manufacturing Up
Construction Up Manufacturing Up
In both the manufacturing and construction sectors, capacity utilisation has improved in the quarter. Service sector capacity utilisation, which showed an increase in the first quarter, has gone down slightly. Construction in Greater Manchester continues to do well with many projects ongoing. ONS data shows that the construction sector faces recruitment challenges and wage inflation. That matches QES data which shows that nearly 60% of Greater Manchester construction businesses are operating at full capacity. Whilst this is good news for the businesses concerned, it is indicative of the pressures on the sector in being able to attract skilled labour. Around 30% of manufacturing businesses have reported operating at or near full capacity. Thus, capacity utilisation in the manufacturing sector has reversed the downward trend of the last two quarters but more data will be needed to assess whether this will be a sustained improvement. Although the services sector has recorded a slight decrease compared to the previous quarter, the long-term trend is stable. w
Business confidence in profitability also continues to be high, with a slight increase from Q1 for manufacturing and construction although services continues to be flat. Nationally, construction has suffered a slowdown and factors such as wage inflation presents risks to faster growth in the sector. In Q1, construction companies reported a decrease in confidence over profitability. Against that backdrop, it is positive that construction businesses have now reported an improvement in their profitability expectations. It is likely that manufacturing businesses are adjusting prices to take advantage of the increase in demand over the quarter and hence are optimistic about profitability. The flatlining in services could be indicative of discounting and competitive pricing adopted to push stock quickly. Further, sustained growth in demand would be necessary for service sector profitability projections to reach the post-recession peak achieved in mid-2014. w
Services Down
Services Same
Chamber Research Analyst Alex Davies takes a look at the international indicators for the Manchester Index.
Construction Down
Manufacturing Down
INTERNATIONAL SALES Outlook: Unsettled
Services Up In terms of international sales, the manufacturing sector suffered a fall back to 2017 Q4 levels, but remains broadly in line with the highestever export sales it has been experiencing since the end of 2016. Services saw a slight upturn in Q2, but again has not experienced any significant change in export sales since the post-depreciation boost felt following the EU referendum. The story is quite different for the construction industry however, which took a big swing from positive to negative export sales growth in the last quarter. The cause of this fall is not easy to pin down given the continued overall success of the sector within Greater Manchester, but a number of factors may be contributing such as higher fuel prices, a number of large projects across the North West focusing minds on the domestic market, or decisions on the client side being delayed by the uncertain economic and political climate. w
Construction Down
Manufacturing Same
INTERNATIONAL ORDERS Outlook: Chance of rain
Services Up The picture for international advanced orders tells a very similar story with the indicators for all three sectors moving in the same direction as for export sales, although services and manufacturing are on a slightly more positive trend in this regard. Construction again moves from positive to negative growth albeit with not as extreme a shift, giving weight to the argument that this is a matter of decisions or deliveries being delayed rather than cancelled altogether. Next quarter’s data will be vital in determining if this is just a short-term shock. w
In summary…
Greater Manchester businesses continue to report growth and confidence levels exceeding national level indicators. Domestic sales and orders all show positive growth, however construction has seen a slowdown in overseas sales and orders. Brexit talks rumble on adding uncertainty to the economic picture reflected in lower growth forecasts for the UK as a whole. Inflation has softened but talks of an autumn interest rate rise continue. And finally …. all forecasts are assuming a smooth Brexit transition – the clock is ticking!
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QUARTERLY ECONOMIC SURVEY
Q2 - 2018
CAREERS GUIDANCE
77% Future of Skills 2028
Our additional questions this quarter focused on the Chamber’s Future of Skills 2028 campaign – led by Chamber President Jane Boardman of Deloitte. The questions focused on the current issues that beset the whole journey of young people through schools and education into employment - the starting point for our campaign. We received over 200 responses for each question including some fantastic ideas and comments about how we can start to tackle the issues.
77% of businesses think careers guidance and advice within schools does not adequately prepare young people for the world of work. n The narrative responses highlighted a clear problem with the system rather
than with individuals, suggesting that there is a large variation in the quality of business engagement and quality of careers guidance between schools.
UCAS STYLE SYSTEM
60%
60% of businesses would like to see a UCAS style system for apprenticeships in Greater Manchester.
n Overall, businesses were most positive about the idea of a single point
of entry, but many questioned if it would replace existing comparable platforms or just sit alongside them.
APPRENTICESHIPS
67%
Two thirds of businesses think that apprenticeships are in a better place than they were a decade ago. n Businesses were positive about the overall image, variety and awareness
of apprenticeships, stating that they are more accessible and attractive to young people, but that more work needs to be done.
SUBSIDISED TRAVEL
45%
45% of businesses support the idea of subsidised travel for 16-17 year-olds to access training and employment opportunities. n Despite there being support for the idea of helping young people find
work, businesses expressed quite a few concerns about how best to achieve this.
QUALITY OF EDUCATION
48%
Quality of education up to the age of 18 is the biggest area of concern for businesses, as identified by 48% of respondents.
n Upskilling of the existing workforce is a problem for 42% of respondents,
availability of suitable apprenticeships for 39%, and suitability of training providers for 31%.
We will now be producing further work on the campaign aimed at taking practical short-term steps. We will also continue working on a longer term plan addressing what needs doing to prepare this region for the world of work in 2028.
The QES is big, comprehensive, authoritative and timely …
As part of the national British Chambers of Commerce (BCC) survey, we poll approximately 5,000 members every quarter with over 30 questions on the state of business. The results of the BCC national survey are closely watched by both HM Treasury and the Bank of England’s Monetary Policy Committee. The great advantage of our Greater Manchester survey is that it is immediate. The GM QES is the first to be published in each quarter. w
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CHAMBER NEWS
Manchester Airport Celebrates 80 YEARS With Manchester Airport celebrating its 80th birthday this year, treasured tales of travel spanning eight decades have inspired a special short film created by the Airport and worldrenowned poet Tony Walsh. Called ‘Time Flies’ the film tells the story of Manchester Airport’s evolution from a single wooden hut in 1938 to the UK’s third largest airport and a key driver of global trade and tourism for the whole of the North. It features poignant memories from passengers, businesses and airport workers past and present, with the words used to narrate the footage penned by famous Mancunian wordsmith Tony. The collaboration comes as the Airport continues with its £1bn transformation programme, with the film featuring stunning aerial footage of the construction site, showcasing the scale and significance of the project. Andrew Cowan, CEO of Manchester Airport, said: “Looking back over the past 80 years has made us appreciate more than ever the important role Manchester Airport has played in the lives of so many people across the North. We have unearthed so many stories, from people’s first time on board an aircraft, special holidays and family reunions, to husbands meeting their wives, and rock stars passing through our terminals. “There really was no better person to work with on this special project than Tony, whose words capture the sense of pride we all feel about Manchester, and the wider North, and celebrate the things we are famous for around
the world. And there is no better time to be celebrating how the airport has developed over the years, as we look forward to creating the world-class gateway the North deserves through the largest investment in our history.” As part of the celebrations the Airport will also be planting 80 oak trees (the official gift for an 80th anniversary) and opening up its archives, as well as hosting tea parties for the local community. Manchester was the first city in Great Britain to establish a municipal aerodrome when an Air Ministry licence was granted to the Corporation
on April 22nd 1929. In January 1934, an airline’s senior pilot claimed that the existing Barton site for Manchester was unsuitable and by July 1934 the city council had chosen Ringway, as Manchester Airport used to be known, as the new home. The original 1938 route network included destinations in the UK such as WestonSuper-Mare, Croydon and Doncaster. Today Manchester Airport serves more than 220 international destinations including Beijing, Houston, Mumbai, San Francisco, Singapore and Boston. w
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Last year, our members received almost
Our International Trade Team has delivered
of marketing support from GMCC’s marketing team, with access to
of value to members in the form of discounted training courses, events, Partner searches and much more.
£333,000
£170,000+ WORTH
40K FOLLOWERS on social media
Our Expert Documentation team process a document once
EVERY 12 MINS
6,500 SUBSCRIBERS
with our members saving up to
on our mailing list
£630,000 P/YEAR on discounted documents
10,000 READERS of our quarterly magazine
Each year, we see over Our Chamber Protect service delivered
£55,000
worth of HR, Legal and Health & Safety support to our members in the past year - that’s a saving of
Manchester Airport in its early days
Chamber works with FILM DIRECTOR
Amidst a deadly pandemic that has seen half the country quarantined, a squad of eight Special Forces soldiers are assigned to rescue a scientist who is believed to hold the cure. Their mission sees them travelling into the heart of the quarantine zone and, in the process, uncover a secret that threatens not only their survival, but that of mankind itself… Such is the setting for a film where Greater Manchester Chamber has been working with
MEMBERSHIP FACTS
critically acclaimed director Chee Keong Cheung. Cheung said of Redcon-1, a fusion of zombie, war and martial arts: “The film allows the opportunity for some amazing and memorable cinematic moments, and it is my intention to have audiences on the edge of their seats, breathless, constantly guessing and always excited.” The film was shot at several locations across the UK and the North, including Greater Manchester, using a cast of 1,500 extras, many from the Manchester area. The film has attracted support from some of the world’s most acclaimed and commercially successful creative producers in Hollywood including Carlos Gallardo (producer of the ‘El Mariachi’ trilogy), Kevin Eastman (co-creator of ‘Teenage Mutant Ninja Turtles’), and Stephen L’Heureux (producer of Frank Miller’s ‘Sin City: A Dame to Kill For’). The film is finished and ready for release this autumn but there’s still time to get involved.
£200 P/MEMBER
8,000 DELEGATES attending our Chamber Events, saving our members
OVER £150,000 on preferential ticket rates
using the service
Our members have saved
Our members are saving
in discounted room hire from Chamber Space and the use of the Members’ Lounge which sees
£40,000 P/YEAR
with the AA using Chamber Roadside Assist, with one member saving £9,000 a year on their �eet
OVER £44,000 C.1,400 PEOPLE through each month
Pictures show scenes from Redcon-1
Chee and his producing partner Mark Strange, along with their team, are offering Greater Manchester based businesses exclusive opportunities to get involved, from the premiere night with celebrities from film and TV in attendance, to zombie walks across the city. w email: lucy.mulligan@gmchamber.co.uk to find out how you can get involved.
Great networking, courses, lunches and a place to hang out and work in Manchester with wifi and coffee on tap! Mark, PCSG
Members rate the Chamber Team’s quality of service
5/5 OUTSTANDING
CHAMBER NEWS
Building of the Year SHORTLIST ANNOUNCED
Greater Manchester Chamber has announced the six developments shortlisted for the 2018 Building of the Year Award.
The following construction projects have been shortlisted: n
Mackie Mayor
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Ordsall Chord
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No 1 Spinningfields The Christie, Proton Beam Therapy Centre The Pavilion, The Field (Spinningfields) Timekeepers Square
Diane Elebert Morgan, Property & Construction Group Manager at Greater Manchester Chamber, said: “We had lots of great entries this year, which reflects the strength of Greater Manchester’s construction sector. “The shortlisted developments show the huge range of major projects that are taking place across our region and choosing a winner will be tough.” Previous winners of the Building of the Year Award include Oldham Town Hall and Maggie’s
Manchester at The Christie Hospital. The Building of the Year Award will be presented at the Chamber’s Property & Construction Annual Dinner on 4th October. The Apprentice of the Year Award will also be presented during the event. Last year over 400 delegates attended this celebration of the industry. w
For more information on the dinner, email events@gmchamber.co.uk.
Chamber Hosts FIRST ROUNDTABLE ON DIGITAL ECONOMY
A passion for the details, every step of the way. Central to who we are. Be it a meeting for 10 or a conference for 3,000, you can expect the same outstanding experience. Welcome to the venue that’s ready to deliver your best event yet. To find out more, call 0161 834 2700 or visit manchestercentral.co.uk
Greater Manchester Chamber has hosted the first in a national series of roundtable events on the digital economy organised by British Chambers of Commerce and Yorkshire Bank. Opening the discussion, Chris Fletcher, Marketing & Campaigns Director at the Chamber, stressed the importance of the sector which employs 80,000 people. Richard Gregory, Honorary Chair of Yorkshire Bank, which supported the event, then highlighted the way technology is transforming the world of banking. “The digital winds of change are
revolutionising the banking sector and changing the way things are done. I find it invigorating. There are challenges but also great opportunities,” he said. He explained how Yorkshire Bank was leading the way in applying new technology and was the first bank to use cheque imaging. He also stressed the bank’s commitment to the region, saying it “wanted to be seen as the SME bank for the North of England”. There then followed a lively and wide-ranging discussion about key economic issues. Attendees were first asked how the Northern
Powerhouse could be used to unlock potential growth and productivity across the North. Most delegates felt people were not sure what the Northern Powerhouse meant or what it had achieved since it was first launched four years ago by former Chancellor George Osborne. Some said they identified more with Manchester than the Northern Powerhouse and thought the term was a political soundbite. To make the Northern Powerhouse a reality would, they said, require action on transport, skills and poverty. Richard Gregory added: “The Northern Powerhouse has to be about more than Manchester and Leeds. It has to be for the whole of the North.” When asked how easy it was to expand businesses and recruit staff, attendees said transport was a major issue as congestion made it hard to bring staff in from outside Greater Manchester. There was consensus that more needed to be done to tackle congestion and improve public transport. Finding suitable premises was also an issue for smaller companies, particularly in the city centre, and the complexity
of the immigration system made it difficult to bring in skilled staff from other countries Some said that getting finance to set up new ventures was difficult as investors were conservative about where they would put their money and had unrealistic expectations of the return they would get on their investment. Asked about the impact of devolution and having an elected mayor, many supported what Andy Burnham had achieved so far but said more needed to be done, particularly around transport. There was also a call for the mayor to follow the example of France by offering business incentives to move to Manchester. Many felt that while technology had transformed the way businesses communicate, face to face meetings were still crucial. Most said they were more likely to do businesses with other companies based in the North West. Many also did business with London companies because of the good train link with Manchester, but said fares were too high. More roundtable events will be held across the country in the coming months. w www.gmchamber.co.uk
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CHAMBER NEWS There were also speeches by Andrew Cowan, Chief Executive of Manchester Airport, and Stella Bowdell, Director of Membership at Greater Manchester Chamber. The dinner, held at Victoria Warehouse, was hosted by comedian Andrew Ryan. Music was provided by Twisted Tubes and Manchester Camerata. Julia Goulding from RADA Business gave a rendition of a famous speech by suffragette leader Emmeline Pankhurst, and the after-dinner party was hosted by Craig Charles (below). The whole event raised £3,500 for local charities MASH and the Steve Burne Rooms, Ronald McDonald House, Manchester. w Skills campaign Chamber President Jane Boardman (pictured above) also focused on skills in her speech, talking about the launch of the Future of Skills 2028 campaign, which aims to equip young people with the right skills for the workplace of the future. She said: “Skills, endeavour, the right opportunities and clear guidance are the things that need to come together to ensure our young people succeed. These are the things that will secure the UK’s success on the global stage, and in turn secure the future growth and productivity of our local economy here in Greater Manchester.” She explained that many employers were concerned about how unprepared young people are when entering the world of work. “We see these ‘oven ready’ young people, products of the education system with fantastic grades but who are poorly equipped for the workplace,” she said. “We also see bright young people who have average grades and the aspiration and motivation to achieve more, but no idea where to start. “And then we see those that have no working role models, no grades, and frankly right now, no hope of changing their situation. We need mechanisms to help all of these people achieve their potential, whatever their background and wherever in Greater Manchester they are from.”
Annual dinner celebrates THE BEST OF BUSINESS Mayor of Greater Manchester, Andy Burnham, was once again the guest speaker at Greater Manchester Chamber’s Annual Business Dinner. Burnham (left) first spoke at the Annual Dinner in May last year, soon after his election as Mayor. In this year’s speech, he looked back on his first year in office and praised the way the business community had pulled together in the wake of the attack at the Manchester Arena. “For me, that’s the character of Greater Manchester businesses, commerce with a conscience. Pursuing individual success, but always with an eye to the wider good. True corporate citizens providing good jobs and more.” Looking to the future, he said: “By this time next year I want us to have an ambitious and powerful new Industrial Strategy for Greater Manchester that we’ve all helped create and that we’re all behind. But we need to be honest that it will only succeed if backed by a plan for productivity, a plan for skills, and a plan for transport.”
He highlighted transport improvements including the setting up a 24/7 operational control room to monitor the transport system, the ordering of 27 more trams, plans for a zonal system like the London Underground, and contactless payment. But he stressed that congestion couldn’t be tackled with public money alone and businesses need to do their bit by offering employees flexible start times. On the subject of skills, he added: “We need to deliver a clear message to government. We can’t have a strong local industrial strategy without a strong local plan for skills. We will not build a talent pipeline into the priority sectors of our economy unless we can work much more closely with our colleges, schools and employers. Next year, the adult education budget will be devolved. But we need control of the post-16 skills budget and, crucially, flexibility over the apprenticeship levy.”
Andy Burnham, Mayor of Greater Manchester
We can’t have a strong local industrial strategy without a strong local plan for skills.
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The Chamber would like to thank the following organisations for their support Sponsors:
Supporters
Charity Prize Donations
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Manchester Airport Group Westfield Health l Esprit Warehousing l Salford Business School l Manchester Camerata l Join the Dots
Victoria Warehouse MSP Global l Saturn Communications l BellyFlop TV l Neon Creative l Eden Photography
Virgin Atlantic Airways Manchester Jazz Festival l Lancashire County Cricket Club l Eclectic Hotels l Victoria Warehouse l The Principal Manchester l Gusto Bar & Restaurant (Living Ventures) l Princess Street Hotel l Randall & Aubin l Venus Flowers l Hilton Deansgate Manchester l Royal Exchange Theatre
www.gmchamber.co.uk
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A NEW EXPERIENCE FROM THIS AUTUMN, BE PREPARED TO R EC E I V E A N E W E X P E R I E N C E . Over the past 12 months we’ve been on an exciting renovation journey, one which is almost complete. The final touches this summer will transition the hotel from a place of convenience into a destination to explore. All 215 bedrooms have been renovated with modern décor, features and technology. Our new Executive Lounge now offers guests a spacious and modern place to relax whilst staying productive. But what’s really exciting is that guests can now enjoy two premium dining experiences by Brasserie Blancand San Carlo, which can be served al fresco in our brand new courtyard and terrace. With everything else complete, this summer is all about our conference and banqueting suites. We’re modernising the space, technology and service that you utilise for monthly board meetings, multi-day training events and those Christmas and Summer social celebrations.
WANT TO KNOW MORE? Get in touch on 0161 904 5007 manchesterairport.events@marriotthotels.co.uk
INTERNATIONAL NEWS
INTERNATIONAL TRADE FORUM Dates Announced
The Chamber’s International Trade Team runs over 60 international trade events each year, bringing together more than 1,000 delegates. The events calendar includes our International Trade Forums, which run three to four times a year, bringing together exporters and importers, as well as those who are looking to start their international trade journey. The forums provide a platform for businesses to meet to share best practice, network, discuss topical issues and learn from each other’s experience. In the past we have covered topics such as connectivity, customs and tariffs, and Brexit (pre and post referendum). The forums have also looked at topics such as how to grow your business internationally, highlighting successful members who are already exporting such as Francis Kirk which supported our forum in March and shared experiences of trading in the Middle East (see page 28).
The two remaining Trade Forums of 2018: l
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18th September - 8.30am -11am at Expeditors Trafford Park, with the focus on UK compliance for exporters and importers 28th November - 8am -10.30am at Elliot House, with a focus on managing exchange rates when exporting and importing
The Trade Forum on 18th September will cover compliance, which is an incredibly important topic for companies trading internationally, as they must be aware of export and import regulations. Unfortunately, some companies only find out about these requirements when it is too late. Failure to comply with regulations can lead to costly
delays and penalties, even resulting in some companies having to destroy goods, in addition to duty relief and VAT zero-rating being disallowed. The forum on 28th November, sponsored by Strategic Partners AFEX, will focus on currency and the impact of fluctuating exchange rates on exporters and importers. AFEX offers an
exclusive free rate review to Greater Manchester Chamber members who are looking to protect their business against adverse rate fluctuations. For more details about these events, sponsorship opportunities, or to book your place, email our Trade Team at exportbritain@gmchamber.co.uk.
AMY CAWLEY GRADUATES from the Institute of Export & International Trade
Amy Cawley receiving her diploma from the Institute of Export
Amy Cawley, International Trade Coordinator at Greater Manchester Chamber, has graduated from the Institute of Export with a Level 4 Diploma in International Trade. The Diploma in International Trade is the core operational qualification for international trade professionals. Modules include: Business Environment; International Physical Distribution; and International Marketing and Finance in International Trade.
Amy also received an award for the highest mark in the Business Environment module, achieving a mark of 91%. Susana Cordoba, Head of International Trade at the Chamber, said: “We are absolutely delighted with Amy’s achievement. Her increased knowledge and confidence in matters of international trade have translated into providing enhanced specialised advice and support to our members
and clients. Investing in our staff’s development is key to the Chamber’s success and keeping our organisation relevant in an everchanging and challenging business support services landscape.” w If you are interested in learning more about training from the Institute of Export & International Trade, please email exportbritain@gmchamber.co.uk.
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FORTHCOMING EVENTS
CHAMBER NEWS
GOLF & BUSINESS together
2 A4B BOLTON Holiday Inn Bolton Centre 8.00am - 10.00am 8 GMCC TRAFFORD EXPO (A4B TRAFFORD) Emirates Old Trafford 12noon - 2.00pm
All the ‘Action for Business’ events or ‘A4Bs’ are free to attend for Chamber members.
Plus, if you’re interested in event sponsorship or raising your profile, you’ll receive a discounted rate.
15 A4B MANCHESTER Cloud 23 Hilton Deansgate Manchester 8.00am - 10.00am
Email events@gmchamber.co.uk for more information.
September 7 ENGINEERING & MANUFACTURING FORUM Elliot House 11.30am - 1.30pm 11 A4B ROCHDALE Mercure Norton Grange Hotel 12noon - 2.00pm 14 A4B SALFORD Robins & Day Manchester 8.00am - 10.00am 20 PURE NETWORKING Elliot House 5.30pm - 7.30pm 21 PROPERTY & CONSTRUCTION LUNCH The Lowry Theatre, Salford Quays 12noon - 2.30pm 25 SALFORD CONSTRUCTION CLUB The Lowry Theatre, Salford Quays 8.00am - 10.00am
16 A4B WIGAN Leigh Sports Village 12noon - 2.00pm
4 PROPERTY & CONSTRUCTION ANNUAL DINNER & AWARDS Emirates Old Trafford 7.00pm - 11.00pm
17 TASTY NETWORKING Venue tbc - for confirmation visit: www.gmchamber.co.uk/events 3.00pm - 5.00pm
9 TRAFFORD CONSTRUCTION CLUB Venue tbc - for confirmation visit: www.gmchamber.co.uk/events 8.00am - 10.00am
24 A4B MANCHESTER Manchester 235 8.00am - 10.00am
11 STOCKPORT BREAKFAST CLUB Alma Lodge Hotel 7.15am - 9.30am
We would just like to say a huge thanks to our members and guests for supporting us and well done to all our winners.
We have an extensive selection from 200 sq ft to 7,000 sq ft
• Wide range of Office suites from 200 sq ft to 7,000 sq ft • Allocated parking spaces and excellent public transport • CCTV and 24 hour onsite security Choose your ideal offices 2 miles from Manchester airport and within 1 mile of the M56. These quality offices are fully fitted with carpets, blinds and trunking and are accessed via high quality entrances. There is tram, train and bus access to the offices and staff will benefit from a full range of retail and leisure outlets on the doorstep.
For more information please email: mark.brown@gbtevents.co.uk or visit our website: www. gbtevents.co.uk
W CO O
30 A4B BURY Village Hotel Bury 8.00am - 10.00am
GH
HI
28 QES BREAKFAST Elliot House 8.00am - 10.00am
3 BUSINESS WOMEN’S NETWORK Manchester 235 12noon - 2.30pm
Worsley Park Marriott (GMCC Day) Formby Hall Caldy Golf Club Tour Final Barcelona
Looking for offices in Wythenshawe Centre?
ST
26 A4B TAMESIDE Curzon Ashton FC 12noon - 2.00pm
October
August 1st September 7th September 27th October (date tbc)
the winner receiving a £50 drinks voucher. In April we were at Hesketh Golf Club where it was a return to the winner’s podium for David Griffin from Release my Equity. His prize was a £250 bag of Luke Sport prizes and a bed & breakfast voucher for the Worsley Park Marriott. In May we took the tour to Celtic Manor Golf Resort, home of the 2010 Ryder Cup. The twoday event was a real hit with our members and the weather smiled upon us again. The winner on both days was Steve Sewell from M4 Electrical. June saw our first event at Vale Royal Abbey Golf Club in Northwich. Its spectacularly designed course was a true test of golf, especially with the high winds and slick greens. A great score by Paul Barlow from i2Gether won the event. If you want to discover more about the GBT experience, it’s not too late to book on one of our future events: w
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9 STOCKPORT BREAKFAST CLUB Alma Lodge Hotel 7.15am - 9.30am
The Golf and Business Together tour (GBT), sponsored by Catax (Tax Relief Uncovered) and Adsertor (Discover the Undiscoverable), is now in full swing and proving to be our most successful year yet. When we formed GBT back in 2015 our goal was to bring together golfers who are in business and this has proved extremely successful. Our members have told us they find our events a great way to make reliable connections and find business compatibility. We have also discovered that our after-dinner speeches, by the guest sponsor of each event, are a great way to promote a business to a captive audience. Our sponsors inform us they have made new clients just by explaining to our members and guests the services their business provides. A new feature for this year’s tour is also a sponsored nearest the pin hole, by Riki from Alston Bar & Beef, with
12 WIGAN BOLTON BURY CONSTRUCTION CLUB Holiday Inn Bolton Centre 8.00am - 10.00am
C
August
SPE
01925 825950
www.wythenshaweoffices.co.uk Please note all events are subject to change either date, venue or time - please check the website: www.gmchamber.co.uk for full and correct details To book on any event, if you have not used the website before, go to: https://www.gmchamber.co.uk/register/ and follow the process
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Celtic Manor trip was a real hit with members
www.gmchamber.co.uk
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CHAMBER NEWS
Siemens Leads FOURTH INDUSTRIAL REVOLUTION
IMPROVED SUPPORT for apprentices UK and European businesses will benefit from improved support and access to apprentices thanks to a partnership led by Manchester Metropolitan University. The Growing Apprenticeship Partnerships for SMEs (SME GAP) project sees Manchester Metropolitan working in partnership with Greater Manchester Chamber of Commerce and agencies in the Austrian capital Vienna and Cordoba in Spain, to better target the needs of SMEs and increase the number of businesses hiring apprentices. The project, which is co-funded by the European Union’s Erasmus+ programme, will address issues that apprenticeship deliverers and policymakers face while ensuring greater numbers of SMEs are aware of the opportunities available to them.
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Russell Yates, Enterprise Development Fellow at Manchester Metropolitan, said: “While apprenticeship systems vary between countries, all businesses have the same needs and face confusion about the systems available. This is compounded by a lack of understanding of the benefits of hiring an apprentice, with many businesses often noticing only the ‘cost’. “Businesses across the partnership have told us about the very positive experiences they have had when hiring an apprentice. We have been encouraging businesses to talk to each other about their experiences while helping the SME community by removing the barriers in their involvement.” As a result of the project Greater Manchester will have directly involved over 650 SMEs in discussions about apprenticeships by the end of August
It predicts that there will be: • £455bn positive impact on UK manufacturing through the fast innovation and adoption of IDTs over 10 years • Net gain of 175,000 jobs across the economy • More than 25% industrial productivity gain by 2025 • Reduction in carbon emissions by 4.5% In order to benefit from the Fourth Industrial Revolution, Phillips says the UK must have a workforce with the right skills. The Made Smarter Review recommends up-skilling a million industrial workers to enable digital technologies to be successfully exploited. Siemens is doing its bit by promoting STEM (Science, Technology, Engineering and Maths) subjects in schools and giving staff the time to mentor young people. Looking to the future, Phillips believes the outlook is positive for engineering in the UK. While the sector has for many years not enjoyed the same status as a profession that it has in Germany, he feels this is changing as young people realise what a rewarding career it can be. He also says the industry is becoming less male-dominated as more young women join the sector. w Siemens – facts and figures n Siemens employs about 15,000 people in the UK and has office and manufacturing operations throughout the country. n The company is active around the globe, focusing on the areas of electrification, automation and digitalisation. n It is one of the world’s largest producers of energy-efficient, resource-saving technologies. n The company is also a leading provider of medical imaging equipment and a leader in laboratory diagnostics as well as clinical IT. n At the end of September 2017, the company had around 377,000 employees worldwide.
2018. Meanwhile more than 70 delegates recently came together at the King Street Townhouse in Manchester to listen to the achievements made since the project was first launched in January 2017. Delegates from the University of Cordoba have already visited Manchester Metropolitan to learn more about degree apprenticeships, with a view to developing the first of its kind in Spain, while a Manchester team visiting Vienna reached an agreement with the Austrian Ministries to implement more provision in the digital sector. The SME GAP project builds on Manchester Metropolitan’s work in apprenticeship provision and enterprise. The University was one of the first institutions in the UK to introduce degree apprenticeships and has supported more than 12,000 businesses through its Centre for Enterprise since 2012. w
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D O YO U N E E D O F F I C E S PA C E ? O N E O F T H E O N LY B U S I N E S S C E N T R E S W I T H
1 GB
OVER
The gleaming white Siemens building on Princess Parkway has long been a Manchester landmark, symbolising the company’s long association with the city. Now there are exciting plans to further develop the site to make it a hub for new technologies and a key player in the so-called Fourth Industrial Revolution. The original plans for the Parkway site had to be put on hold when recession hit back in the early 1990s. The Siemens HQ was built but the rest of the site remained undeveloped awaiting better economic times. Robin Phillips, Senior Director at Siemens Manchester and Vice President of Greater Manchester Chamber of Commerce, explains: “The recession put a stop to the plans and they’ve been on hold ever since. The City Council had always earmarked this site as a centre for high-tech businesses and now plans are underway to fully realise that original vision.” As the first part of the development, a new £65m Spire Hospital opened next to the Siemens HQ last year. Visitors to the hospital can see some of the products made by Siemens in action, including scanners and heating and ventilation equipment. Siemens is now working with other local businesses to develop the rest of the site. Bruntwood has planning approval for a
three-storey office building, PP O’Connor has created 500 car parking spaces, and the PJ Livesey Group will build 92 new homes. The mixed-use development will be aimed at professional services, life sciences and technology companies. The overall aim is that the whole site will be a showcase for the sort of high-tech products made by Siemens and other leading companies. Future plans for the site include becoming a charging point for electric buses as transport bosses switch to greener technologies to help reduce pollution. When Siemens was established in the UK back in 1843, Manchester was the beating heart of the first industrial revolution. Now Phillips believes the Fourth Industrial Revolution offers huge opportunities for the city as digitalisation makes it economically viable to have localised manufacturing, closer to the market. “In the past UK manufacturing lost out as other countries were able to mass produce goods more cheaply,” he says. “The Fourth Industrial revolution is all about customisation and personalising the product to the consumer at a local level. There are great opportunities for us in areas such as pharmaceuticals and food and drink.” As a world leader in engineering and manufacturing, Siemens contributed to the Made Smarter Review 2017, which looks at the opportunities offered by the Fourth Industrial Revolution. The review makes a set of recommendations to government and industry that will boost manufacturing through the application of leading technologies. The review states that Industrial Digital Technologies (IDTs) offer the promise of recapturing the UK’s industrial spirit as a nation of ‘creators and thinkers’.
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SCOOT CASE STUDY
SWIFTY SCOOTERS
AWAY
From a quiet corner of Salford Swifty Scooters founders Jason and Camilla Iftakhar are planning a mobility revolution. Taking a test drive on a Swifty scooter is certainly an experience. Thanks to a slight downhill as I turn out of Swifty’s Salford depot I quickly find myself careering at a surprisingly fast lick along the deserted towpath of the neighbouring River Irwell. Ahead of me Jason Iftakhar is already gliding along the river bank at an even faster speed as he teaches me a trick or two. “If you wiggle around you can generate a lot more forward momentum. With a good surface you can easily get up to 25mph.” Behind me his wife Camilla is adopting a slightly more sedate pace as we continue our journey out towards Salford Quays for our photoshoot, though she is still faster than the water taxi floating alongside us. The setting is all rather surreal. Earlier in the afternoon I had considerable trouble even finding the firm’s offices behind a graffiti-strewn wall in a semideserted Salford trading estate. The only clue that I was in the right place was a very small plaque on a trade entrance door, jealously guarded by a rather aggressive dog. “To be honest it’s all pretty deliberate, we have kept what we do here rather low key,” admits Jason. The sense of mystique was only accentuated when I was ushered into the couple’s tiny wood-panelled 70s-style office tucked away in corner of said warehouse which is owned by Jason’s father. Secret How much longer this intriguing business remains such a secret time will tell. The Swifty story goes back 10 years when the couple, having first met at London’s Royal College of Art, went into business together. At the time they had both started out in careers in the design industry only to both become very quickly disillusioned. “We both got tired of designing products for other companies that never saw the light of day,” says Jason. “The design process gets so diluted by the time the product reaches the customer. That competitive corporate world was not what we were about. I found myself
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designing luxury watches and hated it. So we set up our own design studio.” A kick scooter was one of the very first ideas they had. Camilla picks up the story. “We both love the outdoors and living in the heart of London we had had a number of near misses on our bikes which started to give us the idea. We were really interested in the whole urban mobility concept and in designing something that would be suited to the urban environment and which people could easily fold up and store in their city centre flat. We became drawn to the idea of a kick scooter but at the time the only ones in the market were all for children. So we started working on a couple of prototypes.” The prototype was an immediate hit, generating considerable PR interest at a London design show. Buoyed by the strong interest they set about turning the scooter into more than just a design concept. Adds Jason: “We knew that we had to create a brand that really stood for quality design and engineering. We ended up making 25 scooters back up here in Salford and then took them to London Design Week. Again we had great coverage and feedback, and it was then that we knew we were on to something and needed to look seriously at how we scaled up.” Bike model Given that so many of its 400 or so components are used in bike production, and struck by the quality of its frame, the Swifty scooter instantly reminds me of a folding bike. So much so that I keep inadvertently referring to the scooter as a bike during the interview. “Honestly, it’s ok to call it a bike,” insists Jason. “It used to annoy me a little when people referred to it as a bike but I’m cool with it now. At the end of the day the Swifty isn’t far off a folding bike without a saddle. The wheels are pretty much the same size too.”
We both got tired of designing products for other companies that never saw the light of day. As such, in order to ramp up production the couple began importing bike stems, handlebars and wheels from Taiwan, the centre of the global bike industry, before then assembling the scooter with Britishmade forks and frames, initially at a factory in Oldham and then in Salford. But as the couple tried to increase production they got trapped in the classic start-up cycle. As Jason explains: “People mistakenly thought we had lots of resources behind us but we were just a start-up and there was no way anyone was just going to come in and pump £5m into the business. We got stuck in that scenario of having strong orders but not enough stock or time to deliver them. The great PR we had been receiving suddenly wasn’t quite such a blessing for us after all and we reached the point where we didn’t really want to publicise things too much. To get out of the cycle the key was to really focus on the big wins.” The couple admit that there were times when they considered calling the business a day, especially once they started a young family. “I think what kept us going was all the great feedback we were getting from customers,” says Camilla. “We had to keep saying to ourselves ‘we’ve really got something here’.” To prove the point Jason gets out a stack of customer feedback cards from beside his desk, most expressing in great detail the benefits the scooter had brought to their owners.
Another market was the junior one. As Jason adds: “Our own daughter gave us the idea for a child version of the Swifty because she was always trying to ride an adult scooter and wanted her own one.” Meanwhile they also realised that trying to assemble the scooter in the UK was simply unsustainable. Adds Jason: “Trying to assemble and complete manufacture here in the UK was crippling our margin, while at the same time we were increasingly exporting finished scooters back out to the Far East which was crazy given that so many parts were being made out there. It made no sense.” He defends the subsequent move to transfer all production to Taiwan. “The bike industry is huge over there and their knowledge of bikes is second to none with different manufacturers being specialists in different components, but being close enough together so that if something goes wrong in the supply chain they can quickly sort out the problem. It’s almost a case of why wouldn’t you manufacture there? For us it is also a fantastic base to reach the Asian and US markets. “Some people might attack us for moving production there, but at the end of the day we are still a British brand bringing overseas money back into the UK. The key for us is that the innovation and design process is still happening right here in Salford.”
Different models At the same time the couple realised that they needed to bring out a range of models as they discovered that customers were using the scooter for different activities. For instance it wasn’t just proving popular to urban commuters, but also with fitness enthusiasts who were taking them to the park, and with ‘adventure’ customers who were seeking thrills from the scooter at skate parks or on off-road mountain trails.
Plans Last year the business manufactured 1000 units and is looking to double that figure this year. Adds Jason: “Three years ago we were only doing 200 scooters a year, so we now have a nice trajectory of growth. But that has not happened overnight. It’s happened because of our hard work over the last couple of years in really securing our supply chain, and sorting out our products and processes. I really think we could reach 30,000 or 40,000 in time, we know that the global demand is there. I can see exports growing for us too. Around half our products are already exported and this could rise further in the future.” ´26 www.gmchamber.co.uk
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CASE STUDY
SWIFTY SCOOTERS
The company hasn’t been afraid to pitch itself high up the value chain either, with the scooters typically priced from around £350 up to £600 for more advanced folding models. Meanwhile for the couple the next big thing is electric. However at the moment electric scooters cannot be driven on pavements in this country and can only be used on private land for private use. Adds Jason: “Our Highways Act is hopelessly out of date, especially if you consider that we are seeing a wider global push towards electrification of vehicles. An electric scooter is actually a great opportunity, a clean form of transport that can be an advocate for change. Why shouldn’t Manchester offer its own solution by promoting electric scooters?” Swifty already offers owners a conversion kit which provides a battery which can then be fitted near the back wheel. In time Jason wants to develop a siton electric scooter once the electric battery market is more advanced, while he also has plans to bring out the first fully carbon Swifty model next year. In the meantime the company continues to get great PR, often for free.
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Infrastructure
Swifty admit that much of the growth in demand for their products will depend on infrastructure, and Jason says it is time for a “wider conversation” about how we use our pavements and roads. At the moment kick scooters such as a Swifty are classed as kids scooters, which means it is perfectly legal for them to be ridden on a pavement. Says Jason: “Around 80% of pavements are unused in this country and I can literally scoot from here to home along empty pavements. That tells you something and other countries are already really latching on to this, making their
For instance short track ice speed skater Charlotte Gilmartin is one of the company’s brand ambassadors, and it was through that link that the company picked up coverage at this year’s Winter Olympics in South Korea when snowboarder Billy Morgan filmed a video performing stunts on a Swifty around the Olympic Village. “The phones went crazy after the BBC showed a clip of the film and after Billy said live on TV how good the scooters were.” Raising the wider profile of the kick scooter market is important too, says Camilla. “Competition is actually good for us because this is an emerging market
and we need competition to build up the category.” But Jason adds that the ultimate ambition is not to turn Swifty into some corporate colossus. “We want to stay lean and small and be smart with the systems we use and the partnerships we set up. Most of all we want to have fun along the way, that is a big part for us. We want to create something lasting here. We want our scooters to one day be down the road in the Manchester Science and Industry Museum where people can say yes, they made a real difference.” w
We got stuck in that scenario of having strong orders but not enough stock or time to deliver them. The great PR we had been receiving suddenly wasn’t quite such a blessing for us after all.
pavements a little wider and then opening them up to scooters and other forms of transport. Ultimately we are just another form of wheeled travel. We are no different to rollerskates, rollerblades or skateboards. Why cannot we all share this space?” Are there not safety issues though, especially if scooters can reach quite high speeds? Adds Jason: “Rather than the 25mph maximum the usual speed of a scooter on the flat is more comparable to a runner. So 8 to 12mph is normal, while the front and rear brakes make it easy to make an emergency stop. We always say that pedestrians come first.” w
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CASE STUDY
DOING A DEAL FRANCIS KIRK
Tom Kirk has global ambitions as he further expands the Francis Kirk Group.
There’s a passion and pride running through the heart of the Francis Kirk engineering and fastening business. Take the day a few years back when retailer Morrisons wanted to acquire the company’s original premises in Saxon Street, Denton, for its own development. Tom Kirk, the young heir and MD of the business today, picks up the story. “There was a famous public meeting where my dad Francis stood up and said words to the effect ‘we’ve been here 140 years, you cannot just move us out after all we have done for Denton’. To settle the dispute, no less than Sir Ken Morrison himself rocked up and ended up doing a deal with my dad which saw us move to our current premises off Denton Hall Farm Road.” Fast forward to 2018 and the 32-year-old Tom has certainly inherited his father’s eye for a deal. “Am I a wheeler and dealer? I suppose you could say I am, through I’m not some kind of Del Boy Trotter you know,” he jokes.
I didn’t get a desk for nine months, and only then it was a tiny desk against a bare wall. I thought to myself, why on earth am I doing this?
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Globetrotter Kirk has certainly not been afraid to do deals wherever he sees an opportunity. For instance the company recently appointed a distribution partner in the Middle East, most notably in Iran where Francis Kirk’s Philidas nut is widely used in the automotive industry. “Yes, Iran does business differently and we have had to learn how to manage that,” admits Tom. “But we have been patient, invested a lot of time meeting people face to face, and the opportunities to quote have come in. We’ve landed some sizeable orders.” He adds that British goods come with their own credentials in terms of standards. “Manufacturing companies in Iran aspire to buy from British firms and we take advantage of that. The Middle East as a whole offers us huge potential in terms of size, scope, wealth, workforce capability and the desire to work with the West.” However the week we meet President Trump has just torn up the Iranian nuclear deal and I ask Kirk whether he is worried. “As of now nothing has changed and this is where having someone on the ground working for you is invaluable. But yes, Western manufacturers in Iran will now be looking at their options and whether they have to move operations out of the country. Put simply, wherever they go we would then have to follow them if it came to that.” Disruption Kirk seems remarkably unphased by the potential disruption, but says there is plenty of political instability both in the UK with Brexit and in the US under Trump
too. “I would argue that the US market, which we have been trying to tap into for a few years, is actually as politically unstable as anywhere. Do we really want to be going there right now? “Meanwhile Europe remains a big market for us and our exports to the EU have actually doubled in the last two years since the Brexit vote. With Brexit no one knows the impact at the moment, so in the meantime I will focus on these four walls. But if something drastic happens I will be ready to react to it.” Perhaps given such uncertainty all around us it is a good thing that Kirk is unphased. “I’m not like my dad at all, he is a worrier,” he reveals. Francis remains chairman of his namesake company but is, gradually at least, taking a backseat from the business. The day we meet Tom, Francis is to be found working the phones in the office. “Dad is 64 now and I don’t want him doing 12 hour days anymore. But he enjoys coming in and putting in the sales calls.” Succession In recent years Tom has certainly been putting his own stamp on the business, which today turns over nearly £7m, as he assumes greater day-to-day control of the company. Was it always his destiny to assume control? “I guess looking back it was to some degree, but I could never take anything for granted. From an early age I decided I wanted to be involved in the business and after graduating assumed I would just fit straight into the company, but that wasn’t what dad had planned. ´30
www.gmchamber.co.uk
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CASE STUDY
FRANCIS KIRK
“He said to me I had to go and learn somewhere else, so I got a graduate trainee job lined up at Johnson & Johnson. Then just as I was about to take up that job dad said turn it down. He told me I had proved that I could get a job elsewhere but now I was needed here.” So aged 22 Kirk literally went into the business through the back door. “I started with goods inward, then packing, then delivering. I didn’t get a desk for nine months, and only then it was a tiny desk against a bare wall. I thought to myself ‘why on earth am I doing this?’” He admits his frustration led to him becoming too cocksure of himself. “I’ll never forget when things came to a head at a Midlands trade show. I was told in no uncertain times that I had to step up or I was out. Frankly I was enjoying life too much and people in the business rightly thought I was too cocky. I realised that respect is earned not granted, and that there were people working here who had not just worked for my father but my grandfather too.”
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Manchester role
Tom Kirk is keen to play his part in helping shape the wider economic future of Greater Manchester and sits on Mayor Andy Burnham’s Business Advisory Panel which advises him on actions the city region should be taking on issues affecting business. The Mayor has asked the panel to not only draw on their own personal experiences, but also look beyond it to consider what actions and policies can make Greater Manchester as a whole the best place to do business.
Philidas nut Determined to make his mark on the business, Kirk had long harboured bringing in a new product range as well as venturing into manufacturing. The answer was to be found in Philidas, the Yorkshire company famous for manufacturing the self-locking nut, which went into administration in 2013. As well as being used in the automotive industry the nut has wide-ranging applications across many other industries. As Kirk explains: “I could see the opportunities with this product so we acquired the business from the administrators and kept the factory going. Looking back it was the best decision I ever made. We put the company back on a stable footing and stripped it right back to its core product range.” Kirk recounts how he then received an approach from India-based Simmonds Marshall which was interested in setting up a joint venture with Francis Kirk. “They were keen to manufacture the nut in India but said we could keep rights to the name and own and distribute it. After looking
What does Kirk think so far of the initiative? “To be honest it is early days and a little scattergun at the moment as we are still building the structure and direction of the panel. However what I have realised is that there are a lot of people on the panel that could do a lot of work in good areas with the right direction. Andy is building a very good network around him and is trying to get honest answers from people. He is not scared to have honest conversations which is pretty rare in politicians these days.” w
Company history
One of Kirk’s earliest memories is of spending time at the factory during the school holidays. “Dad used to make me empty boxes of 100 or 200 screws for no other reason than to make me just sit there counting them all as I put them back in.” Turn the clock back 150 years and the business started life as a tool shop manufacturing quality tools for workmen. Second generation Thomas developed the company’s offering to include stocking the tools as well as making them, while third generation James expanded the company’s offering to supply fasteners.
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The US market, which we have been trying to tap into for a few years, is actually as politically unstable as anywhere.
at all the numbers we came sadly to the conclusion that for the Philidas business to survive it needed to move out of the UK so did the deal. “It wasn’t a decision we took lightly for one second. Standing up and telling those staff that their jobs were going was one of the hardest things I have ever had to do and I understand the upset that was felt. But in our defence we had prevented the factory from closing the year before and had given it a stay of execution.” Tom says the subsequent move of Philidas production to Pune, near Mumbai, has been a game-changer for the whole business. “It has opened up new markets for us, while we have also been able to leverage the subsequent growth in the Philidas business to open up more options for our other core products that we distribute here in the UK. Philidas opens up incredible opportunities outside the UK, just as we have seen in the Middle East. Exports has always been a core part of this business and now accounts for almost 40% of turnover.” w
Fourth generation Francis – Tom’s dad - joined the business as the metric system was being introduced and the company became the first to stock both imperial and metric socket screws. In 1989 he also oversaw a company restructure which saw Francis Kirk & Son Ltd incorporated into the Francis Kirk Group. Meanwhile don’t rule out a sixth generation. Tom cheekily admits that he already has plans for his young son Raphael - which may or may not involve counting screws. w
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FORCEFOR GOOD CASE STUDY
INFORMED SOLUTIONS
Informed Solutions is at the forefront of delivering data solutions for government and business. CEO Elizabeth Vega tells us how data will continue to transform our lives. Having recently stepped off a flight from Australia, Elizabeth Vega apologises in advance for her jetlag as we meet in the boardroom of her company’s Altrincham head office. Busy catching up on emails, since her flight she’s not had lunch either and cannot resist snacking on the chocolate biscuits provided. Still, she’s certainly brought the Aussie weather back with her. Outside it’s a beautiful cloudless day, so much so that after the interview we insist she joins us for a photoshoot amid the glorious colours of nearby Altrincham markets. We soon discover that Vega spends her life shuttling between Australia and the UK, spending around three weeks in one country before returning to the other. Although Vega has lived in the UK since setting up Informed Solutions back in 1992 - and calls the UK home – she opened up a string of offices in her native Australia four years ago. Isn’t such a schedule rather exhausting, to put it mildly? “I’m very used to doing it now, but I guess I wouldn’t be human if it didn’t take me a day or two to recover,” she accepts. Big tech Vega has returned to the UK in the midst of a media storm around the handling of data by big tech, a subject close to her heart and one she feels passionate about. As she remarks unprompted: “It’s becoming very clear, and in my view essential, that the ethics of technology must be subject to far greater scrutiny. This is our wake-up call and we should welcome it. As tech companies, we all have a duty to reinvigorate our social mission while championing technology as a force for good.” She adds that one must remember that technology is still finding its feet
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in this whole regard. “We all want to do good business but do it in the right way. For tech companies, we all have to be part of the conversation. A few years back I remember being told ‘if you are not paying for a service you are the product’, and that couldn’t be more true today. Let’s be honest, tech companies are using your data and insights about your behaviour and preferences for commercial gain. Otherwise how do they make their money?” Vega says a “serious and nuanced” conversation is now developing around balancing ethical considerations and technological progress. For instance, here in the UK she points to the Parliamentary Commission on Technology Ethics and also to the formation of a new Data and Artificial Intelligence Ethics Unit.
upskilling millions of workers that are likely to be displaced by technological progress. Artificial Intelligence (AI) and automation represent both incredible technological progress but also the most disruptive change to our way of life since the Industrial Revolution.” She says it is critical that industry works with government to develop the right skills infrastructure. “We need a framework that combines the abilities of humans and complements these with the efficient, tireless repetitive processing of machines. In this way we can increase the quality of the human experience and lives, improve economic productivity, and harness the vast potential of the digital revolution.” However, Vega says there is a need to go “further and faster” in terms of the digital skills agenda. “There are three
It’s becoming very clear, and in my view essential, that the ethics of technology must be subject to far greater scrutiny. This is our wake-up call and we should welcome it. She adds that the recent GDPR data regulations are also part of the equation. “What GDPR does is draw a strong boundary around intent, about your rights to how your online data is used and the fact that it needs to benefit you. It gives you a moral imperative.” Future of work Vega says the tech industry will rightly be judged very harshly if seen to economically benefit from technology whilst displacing millions of jobs. “The backlash against big tech threatens to drive a wedge between people, government and industry, precisely at a time when we need greater trust and smarter collaboration to prepare for the future of work. There is a need to show a deeper commitment to reskilling and
Expansion
The company’s recent expansion Down Under was in many ways an obvious move for Elizabeth Vega. After an early career in Australia with blue-chips such as Unilever and Oracle, she set up technology consultancy InfoTechnics with a business partner before branching out on her own. She says that business was very technical and she always had her eye on setting up a more business-oriented company in the UK which used IT for business improvement. A strong work ethic clearly runs through the blood of Vega. “I have always been extremely competitive. I grew up playing squash, running, sailed for the Sydney University team. But it was always about being competitive in a healthy way.” She adds that the pervasive culture one sees today where children cannot somehow be allowed to compete and learn to accept losing acts as a barrier to entrepreneurship. “It is good to both be a good winner and a good loser. If children are brought up to think that everyone is a winner then everyone is actually a loser. It doesn’t reflect the real world or prepare them for it.” w
clear stages to technology. In the first instance it is a disruptor, then as people become comfortable with it and are able to both control and derive benefit from it, it becomes an enabler. Finally, it becomes a leveller when people who might otherwise never have access to these services can be given access to them because it’s easier and cheaper to do so. In general, there is still a big gap between the enabler and leveller stage, and much of that is down to the current critical digital skills shortage.” Skills deficit So where do you start in trying to tackle the deficit? “It starts in schools. We are not just talking about people being able to use social media in a smart way. It is about giving children those digital skills which make them employable. ´34 www.gmchamber.co.uk
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CASE STUDY
INFORMED SOLUTIONS
It is good to both be a good winner and a good loser. If children are brought up to think that everyone is a winner then everyone is actually a loser. ³ In just five years, every job will have a
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reliance on technological skills. Every job is going to be transformed.” Reskilling those whose current jobs are likely to be affected is just as important. “Yes there will be a displacement of jobs, but people will also be able to perform in newly created jobs because of the skills they have built up in their working lives. So investment in reskilling is absolutely crucial to help them transition and perform new roles.” These have been issues close to Vega’s heart for many years. Indeed back in 2010 she wrote an open letter to then Prime Minister David Cameron bemoaning that the government had a “love affair” with big corporations and weren’t listening to the SME voice in the marketplace. The government subsequently called her in “for a chat” and Vega has sat on the Cabinet Office SME Advisory Panel ever since. Does she think she has had an influence on policy since? “I don’t know if I can answer that but I would like to think I have had some impact after persisting for what is now some eight years. Having influence is about saying things the right way. Saying to government, I understand you have a tough job, and appreciating that it has a very big turning circle when it wants to change direction. It is about getting the right tone, recognising good intention and progress rather than playing devil’s advocate, and putting good practical ideas on the table.” One subject that galvanised Vega to write that initial letter was the government’s procurement bias towards large companies. “I called for more engagement with SMEs and procurement reform to level the playing field. We have had good success towards proper, published targets but there is still a way to go.” Recession Meanwhile Vega has also had to restructure her own business over the past decade in response to the recession. She admits that like a lot of companies, Informed Solutions emerged “battered and bruised” from the downturn. “Our response was to question everything that our business did and how we did it.
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The result was we developed a new operating model that was agile, elastic and better able to respond to uncertain market conditions and evolving opportunities.” In particular, the company – which was the only North West tech company among this year’s Queen’s Awards for Innovation winners - has developed deep expertise in location intelligence, cyber security and digital platforms specialising in moving complex services online and making them more secure and resilient. Just one example of their digital transformation work has been making it easier for innocent victims of violent crime and acts of terrorism to obtain compensation. For instance, the company is working with the Ministry of Justice to help the victims of last year’s Manchester bomb through an online compensation scheme for those who suffered trauma from the attack. Manchester offer Informed was originally based in Stockport purely because, as Vega concedes, it was on the main rail line North. “Having a large office in London is really expensive and keeping staff there is difficult. I knew there were fantastic universities here in
AI solutions
Manchester and the access to talent was great. We also have Manchester Airport, a major international gateway to the rest of the world very close by. People used to think I was mad basing the company here but there is a great work ethic in the North. I would go as far as to say that Northerners are very similar to Aussies in that regard!” Meanwhile, the restructure has now laid the foundations for scaling up the company globally from the UK and Australia where it has offices in Sydney, Melbourne and Canberra. “You look at the path of least resistance and Australia shares very similar regulations to the UK and we share many common cultural references. And because our offices are on the other side of the planet it allows us to provide true ‘follow the sun’ operations, which means we can service any client globally.” However, Vega says she remains focused on growing the business at the rate that she can grow it sustainably. “It is not about boom and bust for us. We are growing at 25 to 30% year on year and scaling up. We have been approached about setting up operations in other countries such as India and the Far East but for the time being we are happy with where we are. We will grow this business at our own pace and will control how quickly we accelerate. We want to enjoy the journey of growing the business because staff and client relationships matter, as does maintaining our standards and profitability.” w
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Informed Solutions is at the vanguard of delivering resilient, high-performing big data and AI solutions for government and business. For instance Elizabeth Vega cites the example of how the firm manages NHS patient incident data. “There are 70 million incidents on file, growing at a rate of two million a year, and we are using big data, AI and machine learning to learn and improve health services, patient experiences and clinical outcomes. AI looks for insights and patterns and can
very quickly identify problems such as where flu outbreaks are occurring. Data will become a very powerful tool in the health service, used to catch problems much earlier.” Informed customises everything that it does, in some instances building bespoke algorithmic programmes, in other cases using off-the-shelf products. “There is no point reinventing the wheel if a suitable product exists,” adds Vega. w
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GLOBAL AMBITION SECTOR REPORT
PROPERTY, CONSTRUCTION & DEVELOPMENT
Manchester has seen huge growth in its hotel stock in recent years while an array of new developments, including many five-star, are also planned. So where will the new demand come from?
Demand Manchester’s increasingly global offer is mirrored in demand at The Lowry. Ellis says that his big markets in terms of international growth are China and the Middle East, and the hotel has doubled the number of visitors from these two regions over the last three years. He reveals that quite a few Chinese visitors come to follow in the footsteps of their President Xi Jinping who stayed at The Lowry when he visited Manchester three years ago, but adds that Manchester also has great historical appeal for the Chinese, as well as being home to a huge Chinese student market. “The Chinese actually study industrial England at school and we find that generates a lot of interest. A lot come for shopping and football too, while many are also on their way to tour the Lake District or Yorkshire.” He says similar drivers are pushing demand from Middle East customers, as well as people from those countries looking to escape the summer heat. Could demand keep doubling every three years from these regions? “Absolutely yes,” he adds. “Since the new direct Manchester flights to China from Hainan Airlines we have seen a clear spike in guests from China. We can continue growing this market fairly sizeably for the
ICCA rankings
Having recently returned to Manchester after 15 years away running hotels across Europe and Asia, Adrian Ellis is well-placed to comment on Manchester’s transformation in recent years. The General Manager of The Lowry Hotel says the city he left back in the late 1990s is almost unrecognisable to the one he sees today. “The development of the city’s infrastructure has been a huge change, as well as the whole retail and leisure offer, and the development of areas such as Spinningfields. You only have to see from the number of festivals across the city that the culture and entertainment offer has vastly improved too.” But Ellis says it isn’t just about bricks and mortar. “There is a good vibe here. The city is becoming more
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cosmopolitan and global, with an increasing number of international visitors thanks to new flights and destinations from the Airport too. It is putting itself on the map in the international arena for sport, festivals and cultural activities. Football has had that pitch for a long time, but with events such as the Manchester International Festival (MIF) we are seeing a change.” Another significant development has been the fact that more and more businesses are also prepared to relocate out of the South East and set up operations in Manchester. “One of the key things here, which can be overlooked, is that many of these companies also have international arms which only further helps put Manchester on the international map.”
Barcelona was recently ranked the top global city for meetings and events, according to the International Congress and Convention Association (ICCA). Their latest report showed strong growth in the meetings and events industry in 2017, with a record number of 12,558 rotating international association meetings taking place across the world. The cities in the top five have remained the same since 2015, but this year Barcelona overtook Paris and Vienna to claim top spot. London is the only UK city that makes the top 20, ranked fifth, while Dublin is 14th. Although European cities dominate the top 20, locations such as Singapore, Seoul, Buenos Aires, Hong Kong and Montreal also make the top 20. The only other UK city to make the top 50 is Edinburgh. This year Manchester was ranked 84th, a rise of 10 places on the year before. w
Adrian Ellis, General Manager, Lowry Hotel
Manchester needs one or two major international events that it really becomes famous for.
next 10 years for as long as the Chinese are free to travel and have the cash resources.” Investment The strength of the city’s hotel market has been mirrored financially with investment in Manchester’s hotel stock higher than in any other UK city outside of London in 2017, according to real estate advisor Savills. Overseas investors accounted for £146m of investment, with Singaporean and US investors leading the way. The Lowry was itself subject to one of those deals, after Singaporean City Developments Ltd (SDL) acquired the hotel for £52.5m from Westmont Hospitality. SDL now plan a £4m investment in the hotel over the next 12 to 18 months including a refurbishment of the presidential suite, lobby area, bar, restaurants and spa. Ellis says investment in Manchester’s
wider hotel offering is in part a reflection of growth in new supply, but also because its hotels typically average around 80% occupancy. “An 80% figure is a strong figure outside London, and investors have been watching that.” Too much supply? However given the projected growth of Manchester’s hotel stock in coming years the city will need every Chinese or Middle East visitor it can get. At last count some 26 new hotels are planned for the city, many of them five star, and for those hotels to survive the city will have to look for new sources of demand, especially from overseas. Shaun Hinds, Chief Executive of exhibition and conference centre Manchester Central, says it is just one reason why now is a perfect opportunity for the city to really up its game in terms of promoting its international offer, as much to business travellers as leisure travellers. ´38
If there was a league table of ambition I am sure Manchester would be above Barcelona. Shaun Hinds, Chief Executive, Manchester Central
Top 10 cities ranked by number of meetings organised in 2017: 1: Barcelona
6: Singapore
3: Vienna
8: Prague
2: Paris
4: Berlin
5: London
7: Madrid 9: Lisbon
10: Seoul
BARCE
LONA
Performance of UK cities: 32: Edinburgh
101: Oxford
84: Manchester
141: Cambridge
72: Glasgow
119: Birmingham
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www.gmchamber.co.uk
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SECTOR REPORT
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PROPERTY, CONSTRUCTION & DEVELOPMENT
He says Manchester’s current standing in the International Congress and Convention Association (ICCA) rankings for top global cities for meetings and events is a good indicator of where the city is at in comparison to global peers, and shows the potential. In the latest ranking (see previous page) Manchester came 84th, hosting 27 major events. This compares with Barcelona, which came top, hosting 195 events. Says Hinds: “As a city we are underperforming compared to cities of similar size, population and size of airport, and as an industry we need to do more to persuade people of the benefits of investing in business tourism which can be a real catalyst for investment. If there was a league table of ambition I am sure Manchester would be above Barcelona.” Hinds says although the leisure tourist market is bigger across Manchester than the business tourist market, the latter brings in five to six times as much income per head. “Any really successful city needs a good mix of business and leisure tourism. To take just one example we recently hosted the annual conference for BIBA, the British Insurance Brokers’ Association. For a few days that made Manchester the headquarters of the whole British insurance industry, everyone was here. As well as all the delegates, exhibitors and contractors, there were also a lot of people having informal meetings in
Every Last Drop
It isn’t just the centre of Manchester which is seeing investment in its hotel stock. Following its acquisition two years ago by the Emerson Group, the iconic Last Drop Village Hotel & Spa near Bolton has seen a major £3.5m investment in its facilities.
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bars and restaurants. It adds a whole industry into the city. If Manchester is to meet its ambition it needs more business event capability.” Signature event Hinds is one of many in the city who feels the time has come for Manchester to really nail its colours to its mast and identify itself with a few standout events which will firmly put it on the global map. “What is our thing? Is it graphene and science, have we fully exploited that? Is it music and creativity? Could MIF become an annual event up there with the likes of the Edinburgh Festival? What should be our signature event?” He believes the Factory, the new £110m theatre and arts venue being developed on the former site of Granada Studios, represents a massive
opportunity in this regard. “It will be one of the largest dedicated arts venues in Europe and a permanent home for MIF. The question I ask is what other things could that spawn? Factory will be great for the city and we have a job to do to maximise its potential.” Ellis agrees. “There is a need for one big thing in a city that everyone knows, just like an Edinburgh Festival. Manchester needs one or two major international events that it really becomes famous for. Music and culture is an obvious one given that the city has been home to so many fantastic bands over the years, so a really strong music festival with an international cache is one idea. Or what about a fashion show? A Manchester fashion week would be a great pull. I really believe the ambition is there in the city, it is about pulling the different strands together.” w
Chamber hospitality network
Last year the Chamber began putting on regular networking events for anyone working in the hospitality sector, ranging from hotels, restaurants and bars through to those operating in the supply chain. In a short space of time our ‘Tasty Networking’ events have created a real sense of community and the events regularly attract up to 100 people. We have had some great guest speakers too, such as Adam Reid, head chef at The French in Manchester’s Midland Hotel. w
Manchester hotel news n
n
n
The £200m St Michael’s city centre development, spearheaded by Gary Neville and Ryan Giggs, has been given the go-ahead after the government decided not to call in the plans. The scheme between Bootle Street and Jackson’s Row will be led by a five-star hotel featuring 216 bedrooms and 189 high-end apartments in a 39-storey tower. A public square will also be built in front of the refurbished Sir Ralph Abercromby pub w. Bardsley Construction is building a Staycity aparthotel in central Manchester. The family-owned firm has secured the £17m contract to build the eight-storey aparthotel located on Mason Street, New Cross. The development will provide a total of 224 rooms and completion is due in December 2019. This is the third Staycity aparthotel in Manchester alongside its other properties at Laystall Street and Manchester Piccadilly. w Manchester Marriott Victoria & Albert Hotel has completed a refurbishment of its lobby, reception and lounge areas. Among the new features, the hotel’s fixed reception desk has been replaced with reception podiums where guests can check-in. w Plans have been approved for a 17-storey hotel at 55 Portland Street. The building on the corner of Sackville Street will be replaced with a four-star, 329-bed venue operated by Dalata Hotel Group under its Clayton Hotel brand. It will include a ground-floor bar with restaurant at mezzanine level, as well as a business centre with meeting rooms. Construction is expected to start in November this year and complete by 2021. w
For further details about the network contact philip.murphy@gmchamber.co.uk
Business Development Manager Samantha O’Shaughnessy says the hotel is a “location for any occasion” and is as popular with weddings as with large conferences, the latter being a particularly strong target market at the moment. “We are really looking to grow the conference trade. We have 400 car spaces, a gym, and great grounds for teambuilding activities and are popular for away days and residential conferences.” She adds that the wider ‘village’ is popular with delegates too. “Staff can have a night in the pub which gets them away from the traditional conference room surroundings. We find that attractive to guests too. Often people may come for a personal visit or wedding, and then return with their company because they realise it’s such a great spot for away days.” O’Shaughnessy says being away from the bright lights of Manchester city centre means “going above and beyond”
in terms of getting the whole offer right. “Some people will always want to be in the city centre. But I would argue that you can really give a personal touch here, whereas in the city centre the danger is that you can get overlooked.” She adds that having a strong relationship with agents is key. “Agents book the venues and arrange the site visits for corporate customers. In particular they really like the fact that the hotel has been refurbished, has beautiful grounds, and has a large car park. It ticks all the boxes.” w
0800 849 97 47 / info@airportcity.co.uk / www.airportcity.co.uk
COMMERCIAL PROPERTY John McHugh, Head of Strategic & Commercial Marketing, MAG Property
BRINGING NEW PROPERTY DEVELOPMENT TO LIFE
The North West continues to benefit from the creativity of property developers who are taking a proactive approach to creating a sense of community. Instead of simply waiting for occupiers to arrive, they’re connecting with people in a way they can easily understand and generating an appetite for their vision. From community gardens and social clubs, to harnessing the UK’s £2.3 billion pop-up industry, companies like Bruntwood, Allied London and U+I to Urban Splash and Capital&Centric are taking a very deliberate approach to creating a sense of community before they’ve even started building.
BRINGING LIFE TO PLACE City centres offer the ideal conditions for this type of approach, but not every location provides their raw ingredients. Peel’s dramatic transformation of 200 acres of Salford wasteland into a home for Media and a place where the BBC, ITV and many others are happy to call home, proves placemaking can happen in the most of difficult of environments. Airport City Manchester is not entirely different, where the ambition to create a world-class business destination on 160 acres of vacant land is gathering pace. Of course, Airport City benefits from the impressive backdrop the airport provides, but generating a sense of
place for a 5 million sq ft business destination requires a considered approach. Leveraging the airport’s benefits and scale of available land has been critical from day one; fuelling the success of Global Logistics where 810,000 sq ft of industrial space has already been created. Now we’re building our narrative for the next phase of development where 90 acres is primed to become home to at least 1.4 million sq ft of offices and 2,400 hotel beds. CONNECTIONS ARE KEY TO SUCCESS This involves a long-term strategy for the Airport City brand that’s informed by placemaking, marketing and CSR activity; one that’s all about accelerating a sense of place through activation and inspiration to help create connections with our target market and the wider community. Activity like this helps create relationships and connections to shape people’s positive perceptions of the place to come; particularly when backed up with the credible delivery of planning, infrastructure and deals. Construction of the £15 million Enterprise Way, announcement of four new hotel deals and confirmation of a £6 million foot and cycle bridge provide yet more proof points from which we can continue to build Airport City’s reputation.
0800 849 97 47 www.airportcity.co.uk
www.gmchamber.co.uk
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SECTOR REPORT
MANUFACTURING & ENGINEERING
SOLVING THE PUZZLE
across a complex range of issues. “One of these, which we fully support, is the Mayor’s vision of a UCAS-style system. Through this system, young people, from the age of 15, will apply for education, training and apprenticeship opportunities,” she says. “Clearly this is a good idea. As employers, we need to be involved in the design and delivery of careers advice, employability training, and quality work experience for our young people. Giving a young person a clear progression route for their career is essential. And providing them with a system to help them achieve their potential is critical. Our focus must be on getting the policies right to support this system, not on the politics which surround it.” Boardman says that by working collaboratively, the Chamber wants to create a system in Greater Manchester that helps businesses to define and access the skills they require in a simple and transparent manner. “Attracting young people to good careers, with pay progression and top class training is absolutely where the future of skills must sit. We must deliver the step changes that industry needs to drive productivity, and that our young people need to improve their life chances.”
The drive to give Greater Manchester a greater say over training and skills development is gathering pace. As Greater Manchester Mayor Andy Burnham recently told a Financial Times business conference in the city, for as long as he’s been in politics there has been “an obsession” with the university route which has relegated technical education to “second class status”. As he told delegates: “That cannot carry on any longer. The urgency of Brexit means that we need to develop here in this city region a talent pipeline that feeds all emerging industries that
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will deliver the future prosperity of Greater Manchester, and which will give businesses big and small more ability to drive the education system and work with colleges and schools to develop the skills infrastructure.” Burnham said achieving this goal would then allow him as Mayor to convince companies from around the world to invest in Manchester. “It is increasingly talent that companies want and that means having the right skills system.”
At the conference he renewed his call for full devolution of the post-16 skills budget and the adoption of a UCAS-style system for apprenticeships, a move which is gaining increasing traction nationally and regionally. One big supporter is Jane Boardman, President of Manchester Chamber of Commerce, who is working closely with the Mayor to help shape a realistic and achievable ‘Good Employer Charter’ for Greater Manchester
Jane Boardman, President, Greater Manchester Chamber
This lose, lose, lose result is another example where well-meant policy is badly implemented and causes huge disruption.
Greater Manchester is in a unique position to really take the lead across the Northern Powerhouse in terms of the skills agenda. Raam Shanker, Equitus Engineering
Long-running debate This heated debate around skills training has been going on for a decade or more. Indeed, at a recent manufacturing summit hosted by the Chamber in Oldham, it was the subject of a particularly frank discussion among delegates, many of whom bemoaned the lack of joined-up thinking when it comes to skills. Added Boardman: “It is often said that we are still having the same discussions today around the issue of effectively linking education, the skills system and businesses, that we were having ten or more years ago.” She says that whether the conversation has moved on or not is open for debate, but what is becoming increasingly clear is that in the meantime the world of work is changing rapidly around us. “It’s not just jobs that are changing but the demand for, and value placed on, certain skills is altering too, and in a way which will take too long to feed through to the current education system. There is a very pressing and urgent need for public and private investment to ensure we have the right people, with the right skills, to do the jobs we need.” Boardman admits that we are in the midst of the biggest set of political reforms affecting the skills system that the UK has ever faced. But as she adds: “With 29 major skills reforms in the last 30 years, six skills ministers in the last decade alone, and countless government departments with responsibility for the administration and implementation of these reforms, the system is incoherent and often ineffective.” Puzzle The point is picked up by Raam Shanker, founder and CEO of Equitus Engineering consultancy, who as a STEM ambassador for Manchester is working closely with the city’s Local Enterprise Partnership on their skills strategy, aligning it to a regional industrial strategy. Given that across Greater Manchester around 15,000
young people aged 16 to 24 are not in education, employment or training, the urgency of finding solutions is clear. Shanker believes devolution can provide exactly the answer needed to many of these long-running challenges. “If you look at the industrial strategy for the North West then the skills and training requirements of this region are inevitably different to those in the rest of the country. Our sector strengths are different, so the starting point has to be to ask what skills this city region needs in the first place. Devolution makes so much sense in this regard and I believe Greater Manchester is in a unique position to really take the lead across the Northern Powerhouse in terms of the skills agenda.” Shanker approaches the problem just as he would approach any challenge on the industry shopfloor. “You hear some people say that the skills challenge can never be resolved but I disagree. I see it as a puzzle that can be solved. All the pieces are there, we just need to put them together. Yes, a lot of people leave school and simply don’t know where to go and that represents a big challenge. But it cannot be beyond our combined wit to match these people up with the jobs that are out there.” Apprenticeships One of the government’s big efforts to address these challenges has been through its apprenticeship levy which was introduced last year (see overleaf). However Boardman says the government is likely to fall far short of its target of achieving three million apprenticeships by 2020, with the number likely to be nearer 1.7 million, and says many companies remain unclear about the overall policy. ´42 www.gmchamber.co.uk
41
“Nearly a quarter of levy payers have told us they don’t understand what the apprenticeship levy is all about. And 15% don’t expect to spend any of the funds they have paid into the system. The catastrophic dip in apprenticeship starts and the huge levy underspend has damaged apprenticeships. They are becoming devalued as a viable route to quality employment, not just in the minds of our young people, but also in the minds of parents and business leaders. This lose, lose, lose result is another example where well-meant policy is badly implemented and causes huge disruption. “The real question we need to ask ourselves now is: what do we want apprenticeships to be? Are they a vehicle to upskill our existing workforce, at any age, at any level? Or are they by their very definition a way of training a new generation of young people, providing them with a trade or profession?”
Apprenticeship levy The levy was introduced in April 2017 with the target of helping to fund three million new apprenticeships by 2020. Organisations with wage bills of more than £3m a year pay a 0.5% tax on salaries and this money is then held in an online account. It has to be spent by the firm on apprenticeship training within the next two years or else the business loses any unspent funds. Companies with smaller payrolls are exempt but must contribute 10 per cent towards the cost of training employees under the age of 24. Latest government figures show that there were 290,500 apprenticeship starts reported between August 2017 and April 2018 for the 2017/18 academic year.
Visit us on stand B530
Manufacturing hub One of the biggest debates surrounds the extent to which companies should drive this agenda rather than government. For instance Siemens is one example of a major Manchester employer which runs its own scheme for up to 700 apprentices across the full range of apprenticeship levels. Of this number around 100 apprentices from other manufacturing companies are managed by Siemens as the main provider. As Training Solutions Business Manager Jason Phin explains: “For us, taking ownership of our skills is key. But companies are also coming to us and spending their levy with us which means we have become something of a hub. “We are actually uniquely placed to be a hub for skills training because we cover so many different industrial sectors. If you are a BAE Systems you only cover defence, if you are a Jaguar Land Rover you only cover the automotive industry. But we interface
many different sectors and have a broad exposure to industries across the UK. Our view is very much ‘let’s take our expertise and share it with others’. What can we contribute to the UK economy?” However Phin adds that the levy is only of benefit to companies if they know how to use it. “I broadly support the principle of the levy but industry has to take responsibility to ensure it works too.” Further to Boardman’s point about the changing world of work, Phin believes the step change required may not be quite as large as people think. “Whatever skills we face in the future will ultimately be based on skills we have learnt in the past. So when we talk about industry 4.0, we are building on 2.0, 3.0. That said, the lifecycles of innovation are getting shorter and shorter, and we need to be agile enough to meet those demands which means integrating new skills and new programmes to develop them."w
This compares to 440,300 and 384,500 starts reported in the equivalent period in 2016/17 and 2015/16 respectively. As the chart below shows, the number of new apprenticeship starts has dropped off significantly since the levy was introduced, making the three million target look increasingly ambitious. The figures also provide plenty of fuel for critics of the levy who say it
has actually exacerbated the training situation. One criticism is that larger companies are prevented from spending their levy on apprenticeships in smaller companies in their supply chain. The reform has also been complicated by separate efforts to improve training standards for apprenticeships which must now be approved by the Institute for Apprenticeships. w
200 –
n First reported data n Final reported data 3 million target introduced
Apprenticeship levy introduced
Cumulative starts since May 2015
160 –
0 –
– 1.4
– 1.0
120 –
– 0.8 – 0.6 – 0.4
40 –
– 0.2 Q1
Q2 Q3 2016/17
Q4
Q1
Q2 2017/18
Q3
Source: Department for Education, Apprenticeship and levy statistics: July 2018
– 0.0
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w 2018
INNOVATIVE EXTRUDED STRUCTURE
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SIMPLE. FAST. UNIQUE.
Quarterly apprenticeship starts
Cumulative starts since May 2015 (millions)
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MANUFACTURING & ENGINEERING
Apprenticeship starts (thousands)
SECTOR REPORT
CONFORMS TO
BS 6180:2011
GENERAL CONSTRUCTION SUPERVISION CERTIFICATE
SECTOR REPORT
FINANCE
What is Open Banking?
ALL AREAS
ACCESS
Could the march of fintech finally solve long-running issues over access to finance for SMEs? SMEs across the North West are continuing to lose out due to a reliance on traditional banks leaving them short of funds. That’s the claim of a recent survey commissioned by alternative finance provider Growth Street which surveyed more than 1,100 SMEs nationally, and found that a majority in the North West have only considered their bank when thinking about accessing cash to fuel growth. Responses to the survey on exports and finance also revealed a lack of awareness of alternative finance providers, with some 71% of survey respondents claiming they weren’t confident about knowing what funding is available. For Greg Carter, CEO of Growth Street, tackling such inertia is not only key to growing thousands of SMEs across our region, but to the success of his own
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business. “These figures should be a wake-up call for government and financial advisers. SMEs are struggling to access finance through traditional avenues, as a result of bank closures and the continued restraints on lending to small businesses, which contributes to the stark fact that around half of small businesses fail by year five.” Carter says a typical client of his turns over £2m, is growing 15% a year, and may have uneven seasonal trading patterns. As such the company tends to need cash throughout the year and finds a flexible overdraft-style facility really useful. “These kinds of businesses really value having access to a line of credit which allows them to cover unexpected shortfalls. That’s precisely why we ourselves have built a non-bank loan product which gives flexible access when needed.”
Brexit impact In Growth Street’s survey some 73% of respondents in the North West didn’t export, below the UK-wide average of 66%, but Carter says Brexit is affecting everyone. “We come across some businesses which have taken advantage of the lower pound and who therefore need capital to fund export growth. But also we come across businesses who operate in supply chains where customers are facing a lot of uncertainty because of Brexit. In some cases this has led to the slowing down of payments and businesses having to find additional cash to cover late payments. It’s another reason why so many companies crave access to flexible capital. “At the end of the day business craves certainty and will be happy with any Brexit
outcome as long as it is a clear outcome. What is hurting most at the moment is uncertainty. For as long as Brexit is unresolved businesses will hold back investment and look for ways to protect themselves, and for UK business that is a frustrating position. With the Brexit process ongoing I believe exports will be crucial for businesses looking to grow and succeed in the coming years.” Alternative options Peter Treadwell is Operations Director at GC Business Finance, a part of the Manchester-based Growth Company which offers business support, as well as finance, to SMEs, typically granting loans to businesses with up to £4m turnover. He has also seen a Brexit effect of late. “In the wake of Brexit we are seeing an increasing number of businesses looking for alternative finance options.” ´46
Greg Carter, Growth Street
SMEs are struggling to access finance through traditional avenues, as a result of bank closures and the continued restraints on lending to small businesses…
Open Banking is an initiative led by the Competition and Markets Authority aimed at creating more competition in the banking industry. The idea is that it will provide a way for new entrants to access bank accounts so that they can offer a range of online services. In recent times banks have been building Application Programming Interfaces (APIs) which make it possible to share bank account information and allow third party developers of mobile and web applications to create more personalised services. All third party providers (TPPs) have to be approved by the Financial Conduct Authority (FCA) and cannot access information without consent. A report last year from PwC* predicted that the banking landscape is set to change fundamentally. It says the market will become increasingly diverse and modularised, with new companies specialising to offer very specific components of banking services or products. Their research showed that as many as 39% of bank customers would share their financial data with other banks and third parties if in return they received benefits such as an overall view of their accounts in a single app, or were able to compare tailored product offers from third parties. It says the advent of Open Banking is particularly influential in this sense as banks will be required to share more customer information than ever before via technologies such as APIs. Making infrastructure available through standardised interfaces will be a major trigger for new competition from many different sources. It adds that a large number of fintech start-ups are working hard to establish themselves as platform providers for services such as payments, investment, and lending. But it adds that many CEOs believe that ultimately companies such as Google, Amazon, Apple and Facebook will drive the real change and disruption in the banking industry, by positioning themselves between the customer and the bank. w *Who are you calling a challenger? How competition is improving customer choice and driving innovation in the UK banking market
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SECTOR REPORT
FINANCE
He says the majority of GC Business Finance services are for businesses which have been declined by high street banks. But he stresses that he works with banks wherever possible. “Around 40% of our business comes through banks. Sometimes an idea is simply too early for a bank to take on so our objective in that scenario is to help customers get into the mainstream and help them on the ladder. Often it can just be all about understanding the risk profile. Today we have 26,000 loans across the country, the bulk of which are start-ups.” However Carter says the feedback he gets from business time and again is that they are not understood by banks. “I think one of the reasons for this is that we have seen such a decline in the number of relationship management teams operating within banks. Companies feel discouraged from applying for finance, and for those that do apply it can take a long time to get to a ‘no’. “In their defence banks will say that businesses are not applying and there is some truth in that, but you have to ask yourself why they are not applying in the first place. Our challenge as a new lender is to make companies aware that there are other options out there.”
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Business marketplace
Peter Treadwell, GC Business Finance
In the wake of Brexit we are seeing increasing number of businesses looking for alternative finance options.
Open for banking? Both Carter and Treadwell believe that the arrival of Open Banking (see previous page) could have a potentially huge impact on long-running issues over access to finance, especially given the fast-moving developments in fintech (financial technology). Adds Treadwell: “Providers like peer to peer lender Funding Circle have already made quite an impact on the technological side, and the feeling is that banks are very much now catching up
TSB recently partnered with Funding Options to launch Business Marketplace, a one-stop shop which will give small businesses the means to compare financing options in one place. Small business banking is dominated by the big banks that control over 90% of the market. Echoing the research from Growth Street, TSB say many small businesses only approach the largest banks when seeking finance, and they are then often met by complex and time consuming application processes. To compound the problem, a large number of these applications are rejected – in the case of first time start-up borrowers the rejection rate is around 50%*. Business Marketplace enables SMEs to scan the market in minutes, opening up the range of loans and types of finance on offer to them. While small businesses can apply for a loan with TSB they will also be free to shop around and compare options from a wide range of other lenders. TSB’s Commercial Banking Director Richard Davies said: “There is a huge funding gap for small businesses that exists in the UK today, and it is stunting the growth of these firms and stopping them from investing to grow. Business Marketplace will allow a small business owner to easily compare what’s available in the market. We believe customers must be given choice, and that competition will drive us to create the best solutions for customers. This will help unlock the true potential of small businesses and address the stagnation of productivity in the UK.” TSB also plans to introduce a new digital lending platform which will allow small businesses to apply and receive instant credit checks and approvals online.
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with fintech. We ourselves are setting up our own fintech system, and our research has shown that businesses and organisations are using fintech more and more. Crowdfunding is also now an established model with proven returns, and people love the fact that they can access funds quickly.” Carter believes open banking will lead to significant change in the market over the next two to three years. “Because we have opened up banking data to third parties, banks are now starting to think about how they can work with third parties to provide new services to customers. Good examples are TSB and Starling Bank which allow third party lenders to be put in direct contact with customers. In that situation the bank becomes effectively a facilitator as services start to be delivered by third parties. And behind it all fintech is the glue that holds all these new systems together.” How fast does he think this change will happen? “As is the way, one or two early adopters will take the risk and then provide guidance to others,” adds Carter. “It will be the classic S curve adoption. Alternative finance is really starting to take off now and open banking will only accelerate this further as it puts every lender on a level playing field.” w
Conrad Ford, Chief Executive of Funding Options, added: “The future for banks is to offer not just their own products to customers, but also the best the market has to offer. This is especially true in SME finance, where not every small business is right for bank lending, yet a thriving market of alternative lenders stands ready to deliver much-needed funding. Business banking is a sector ripe for fresh thinking.” Starling Bank, one of the first banking challengers to offer a mobileonly current account, has launched an app that allows small business owners to open an account in just a few minutes, direct from their smartphone. The bank says there are no fees for having an account, no fees for making a payment to another bank account, and no fees for withdrawing cash. Starling intends to bring on-board at least 25 third party providers throughout the coming year. w *British Business Bank: Small Business Finance Markets
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ALG Finance is a privately owned finance company in Stockport, Cheshire. We are an independent lender and broker, and with our ‘can do’ approach and service focussed attitude we offer finance that supports your business. In our 18 years trading we have helped hundreds of businesses by providing: • Finance Lease • Hire Purchase • Refinance • Factoring and Invoice Discounting • Commercial Mortgages • Business Loans
Working better together Benefits of asset finance • Cost effective – by financing assets over a set period, cashflow is preserved • Diverse – a wide variety of assets can be financed or refinanced • Certainty – with fixed costs and terms, financing helps businesses plan for the future Why use ALG? • We provide finance that is flexible to the needs of your business • Great customer service with rapid response times • Business lending with the personal touch
ALG Finance – for business lending with the personal touch www.algfinance.co.uk
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SECTOR REPORT
TECHNOLOGY “Virtualisation has already proven itself as a great tool for accelerating innovation cycles, the ultimate vision being zero physical prototyping. In other words, all the prototyping is completed in the virtual world. Any changes can then be quickly made, modelled and tested in the virtual world before producing the physical equivalent ‘digital twin’.” He says big data, if filtered and managed in the right way, will be key to optimising customised manufacturing processes, increasing quality and reducing downtime. “Big data from the manufacturing process could ultimately be fed back into the virtual model to ensure any changes to the product design can be accommodated in the manufacturing process.”
DEMANDDRIVEN Artificial Intelligence (AI) and automation have the potential to revolutionise many aspects of industry. But the speed of take-up will ultimately be driven by the consumer.
For Alan Norbury, Central Technology Officer at Siemens, the prognosis is simple. “Digitalisation will completely change the way we manufacture products and change business models. The pace of innovation and the ability to disrupt are becoming key success factors in global competition.” However just as digitalisation puts increasing pressures on manufacturers, he says there’s now an expectation from consumers for products to be designed and manufactured to individual requirements. And it is this demand for customisation across all sectors -
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from electronics to food & beverage to construction to pharmaceuticals - that will determine the speed of change. As he adds: “The challenge for manufacturers is how to mass customise at the same speed and quality as mass production of the past. What technologies and processes will be key to enabling mass customisation? And will mass customisation have an impact on productivity?” Productivity Norbury says there’s a general perception that increasing productivity is all about making more products with less people. “That’s not necessarily the case. Increased productivity can also be achieved by increasing product value, and customisation to meet individual consumer demands is a way of increasing value.
“Mass customisation requires the product to define its own destiny and inform the machine/process what is to be done to it, as opposed to the traditional way of manufacturing where the machines take control of the product. It means that raw materials will need to have a form of identification such that the manufacturing process/ machines know which product they are dealing with. To achieve mass customisation the processes and machinery need to be very flexible and adaptable to work with the expectation of the product.” Norbury adds that adapting machines and environment to suit the product will require accelerated innovation cycles, such that a change in customer demand can be accommodated throughout the manufacturing process without delay.
Vision Many SMEs will look at such a vision and simply ask ‘how do we get there?’ Dr Carl Diver is a Reader in Industrial Digitisation at Manchester Metropolitan University, and studies various aspects of Industry 4.0, the term coined to describe increasing automation and data exchange in manufacturing processes. He says although we are seeing more use of AI and robotics in industry, it is a slow process. “In certain instances SMEs are probably unaware of 4.0 technology and what AI possibly is and how it can potentially support them, and the same is true with robotics. But what we are seeing now is quite a change with robots coming out of cages with collaborative and assisted robots working alongside operators on the shopfloor.”
Diver says for SMEs there is a real challenge in terms of how they implement Industry 4.0, where exactly they start. “Traditionally they will have design engineers, manufacturing engineers, process planners, quality engineers. When we start moving into industry 4.0 there are new challenges and new terminology that they need to get to know. Some of the challenges they have are simply trying to understand what skillsets they need to try and implement industry 4.0, and what industry 4.0 is. “Like every industrial revolution before, the purpose is to try and improve efficiency and outputs and use resources effectively. This revolution is no different in that sense in that we have to try and understand how we achieve that, but using connectivity and data and information to help us do that.”
Like every industrial revolution before, the purpose is to try and improve efficiency and outputs and use resources effectively.
Impact of automation on the North A recent report by independent think tank Centre for Cities says all UK cities will benefit from jobs growth brought about by automation and globalisation, but in the North and Midlands these jobs will largely be in low skilled occupations, while southern cities are more likely to attract high skilled roles. Among the key findings in its Cities Outlook 2018, it says successful cities in the south are better placed to secure more high skilled, high paying jobs in future. The cities least exposed to losing jobs are also home to larger shares of high skilled private sector occupations which are expected to grow by 2030. For example, nearly 50% of jobs predicted to increase in Cambridge – and a third of those in Oxford and Aldershot – are in high skilled private sector occupations. By contrast, struggling towns and cities in the North and Midlands are more likely to see growth in low skilled private sector jobs, and so could fall further behind. Only one in ten jobs predicted
to grow by 2030 in locations such as Mansfield, Blackburn and Sunderland are in high skilled private sector occupations, while three out of ten are in low skilled private sector occupations. This growing reliance on low skilled private sector jobs means that the gulf in living standards and wages between struggling Northern and Midlands cities, and wealthier places in the South, will continue to widen in the coming decades. Time to act Andrew Carter, Chief Executive of Centre for Cities, said: “Automation and globalisation will bring huge opportunities to increase prosperity and jobs, but there is also a real risk that many people and places will lose out. The time to act is now. National and local leaders need to ensure that people in cities across the North and Midlands can share in the benefits these changes could offer.
Dr Carl Diver, Manchester Metropolitan University
Diver believes that for SMEs there is a misconception that this is all about automation and robotics. “We can still use technology from a simple point of view, implementing simple traffic light systems and augmented reality for instance. SMEs need educating about ´50
“That means reforming the education system to give young people the cognitive and interpersonal skills they need to thrive in the future, and improving school standards, especially in places where jobs are most at risk. We also need greater investment in lifelong learning and technical education to help adults adapt to the changing labour market, and better retraining for people who lose their jobs because of these changes.” He adds that in an ever more divided country, it’s increasingly clear that a one-sizefits-all approach from central government is inadequate to address the myriad issues that different places face. “The challenges and opportunities ahead for Blackburn are very different to those for Brighton. The government needs to give cities more powers and resources to tackle the issues that automation and globalisation will present, and to make the most of the benefits they will bring.” w www.gmchamber.co.uk
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TECHNOLOGY
³ what is involved and that it is not about
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huge investments. Small steps can be made to try and harness data to allow better decision-making.”
Efficiency Norbury says one of the issues is that many companies think they have to digitalise straight away. “What they should be doing is ensuring that their processes are efficient first. If you digitalise an inefficient process it’ll still be inefficient. “One of the major challenges mass customisation brings is stock control. If every product being manufactured is unique, the cost of stock and workin-progress would inevitably increase. However if you go right back to the raw material, is there for instance a way of taking mass customisation down into the supply chain such that the supply chain can deliver individual components justin-time? True seamless connectivity into the supply chain will become an essential part of manufacturing in the future.” He admits that such huge changes will not happen overnight. “The point here is that mass customisation becomes more and more important and needs to start happening. Developing the infrastructure for effective communications is the first
The challenge for manufacturers is how to mass customise at the same speed and quality as mass production of the past. Alan Norbury, Siemens
step. However there are challenges to consider as well. For instance, extending such systems into your supply chain does not come without its own risks such as cyber security.” For UK plc Norbury says the challenge right now is that although many organisations are pushing the boundaries of innovation, as a nation we tend to keep things to ourselves. “If companies were prepared to share best practice, then as a collective UK plc could be leading the fourth Industrial Revolution, as we did the first. In my mind the government ought to be looking to incentivise companies to share best practice. Knowledge and experience can be shared without giving secrets away, it is about thinking differently.”
Policy report
Policy@Manchester, the University of Manchester’s policy engagement unit, recently produced a major report* on AI and robotics designed to help employers, regulators and policymakers understand the potential nature of these effects. It reviewed a variety of application areas in which AI and robots are deployed, both individually and together. The report concluded that the more that is known about how different fields or industries might be disrupted, the better prepared institutions, companies and systems will be. However it adds that although the challenges that companies and policymakers face with respect to AI and robotic systems are similar in many ways, these are two entirely separate technologies. “Though they can be combined in advanced systems, stakeholders should be careful not to conflate them when developing policies for the future,” it concludes.
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Made Smarter Such issues are already high up the government agenda. Earlier this year the government’s Made Smarter Review called for a national Industry 4.0 strategy and has since agreed to create a national Made Smarter Commission, pledging £20m to support a digital technologies pilot in the North West. Adds Dr Diver: “The Made Smarter review highlights the challenges and there is a great opportunity for the UK as a whole to benefit from Industry 4.0. We need to ensure we implement that and have specific goals that we are trying to achieve so that we are striving towards something and that it is done in a cohesive way, and not fragmented.” w
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So what exactly is AI? The report describes AI as the name given to a collection of programming and computing techniques that attempt to simulate, and in many cases exceed, aspects of humanlevel perception, learning and analysis. AI technologies are fundamentally computer programmes and perform in the same manner whether utilising real data or running simulations. Unlike robots, they do not require interaction with the real-world. AI involves techniques that cover a range of different areas including: n Visual perception – identification of specific objects or patterns from unprocessed image data, such as those used in facial recognition systems n Neural networks – models of brain function, with applications in learning and analysis n Speech and natural language processing (NLP) – discerning meaning from written or spoken text, used in some translation applications n Machine learning (ML) and deep learning – training computer systems to improve their ability to perform certain tasks based on examples n Expert systems – tools that provide specialist information, in context, from existing databases and repositories for use by human operators
*
On AI and Robotics – Developing policy for the fourth industrial revolution, Policy@Manchester
www.gmchamber.co.uk
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PERSONAL TOUCH SECTOR REPORT
MARKETING
Making b2b more human
As the GDPR regulations settle in, companies are realising that they provide an opportunity to build deeper and more trusting relationships with customers.
His target market is young professionals up to the age of around 35, and Bingham says his sporting background has a particular appeal to this cohort too. “For instance in the autumn we are running one of our Jimbag ‘boot camps’ in La Manga, Spain, and are looking at having a competition around that too. We can generate a lot of interest around that.�
It doesn’t seem that long ago that companies were scrambling to get consent from customers to keep them on databases for news, products and services. But now that the dust is beginning to settle on GDPR (General Data Protection Regulation) businesses are realising that the whole nature of their relationship with customers, and how they market to them, is changing for the good. Take the example of Manchester sports bag manufacturer Jimbag founded by international rugby player and personal trainer Anthony Bingham. Bingham, who first came up with the idea for his fashion sports bag while playing rugby in Australia, says GDPR has without doubt led to a stronger relationship with customers. As he says: “Like everyone else, when GDPR came in it was seen as something of a headache, something that we just had to get on and sort out. But now that we have really cleaned up our database we’ve realised that it is something that is actually having tangible benefits.� Different approach Bingham says the cleaner customer database means that all leads are now “warm� and the firm can develop a much deeper relationship with customers. “People aren’t just interested in getting emails. They are coming to our website because they are genuinely interested in the brand and what we stand for.
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“We’ve actually changed our whole marketing approach. Previously we tended to just do offers on bags. But because a lot of people coming to us may already have a bag we have got to give them more. So we tell them much more about how the bag is made, allow them to access videos which take them on a factory tour, tell them about my personal sporting background, tell them what’s coming up across the business. It’s all about brand profile rather than just sell, sell, sell. Thinking about how we can make customers return.� Bingham says the company has also run some really successful marketing campaigns in recent weeks. “If our customers opt in to the website we can then target them with social media campaigns, and we’ve already noticed that the ROI of our paid social advertising campaigns is getting stronger too.�
Opportunity Matt Haigh, content lead at Manchester marketing agency Wilson Cooke, agrees that companies are increasingly seeing GDPR as a real opportunity. “I think when GDPR first came into place there was a split between those who thought the regulations were too restrictive and those who were perhaps a little more forward thinking and saw it as an opportunity. “It’s not only an opportunity to have a cleaner database, but a more engaged database. Rather than sell one thing to 100 people, companies are saying why don’t we sell 10 things to 10 people who are really engaged with the business. Clients become much more personal. The relationship is clear and explicit because these are customers who have opted back in to sign up to your services.� Haigh believes in terms of marketing campaigns we could also see more emphasis on face to face relationships, echoing Bingham’s point about customers getting to know who is running a business too. “As a result of GDPR there is more emphasis on face to face,� says Haigh. “With your clean database you can get 50 people in a room and talk to them in a way that perhaps you could not have done before. You have a far more targeted customer base to go at.� Advantage Digital Marketing Association Director Skip Fidura believes that GDPR offers an opportunity for marketers to use GDPR to their advantage. As he recently told ITPro: “What brands have done is to take a step back and examine their data, working out how much of their lists they can
Time to invest in your brand to drive growth?
E
very business owner I’ve met (including myself) is engaged in the pursuit of proďŹ table growth. It’s a demanding, sometimes frustrating, but ultimately rewarding vocation to see your business grow as the result of a focused business strategy.
People aren’t just interested in getting emails. They are coming to our website because they are genuinely interested in the brand and what we stand for. Anthony Bingham, Jimbag
continue to market to under GDPR’s ‘legitimate interests’ provisos, which customers they need to approach to ask for new permissions, and which customers should be culled from their lists entirely. “We know that consumers are more comfortable about giving
GDPR ready?
Only 21% of UK organisations consider themselves to be GDPR-ready, according to research by security firm TrustArc* which surveyed 600 IT and legal professionals with a role in data protection policy in the UK, US and EU. The study was carried out a month after GDPR came into force. Although the majority of UK organisations expect to be fully compliant by the end of 2018, a quarter anticipate not being compliant until 2019 or beyond. “While the amount of effort was immense for the deadline of 25 May, there is substantive work yet to complete to achieve initial compliance as well as monitor and maintain compliance on a repeatable and efficient ongoing basis,� said TrustArc’s CEO Chris Babel. The report adds that the prospect of fines haven’t played as prominent a role as the press coverage has warranted, with only 38% of UK organisations saying financial penalties comprised
up data when they know how the data’s going to be used. I think the opportunity for all marketers is to start talking about GDPR, start telling people about what’s in the GDPR, what their rights are, how the business is implementing that, so that they start to rebuild trust.� w
one of the key motivators for investing in compliance. Rather, the biggest motivators included meeting customer expectations, true for 58% of UK companies. Supporting company values (47%) and meeting partner or third-party expectations (41%) comprised the other main drivers. Most respondents saw the new data protection laws as having a positive impact on business, compared to 15% claiming GDPR will affect them negatively. Medium-sized companies were most likely to see GDPR as a benefit, with 71% receiving the data protection laws positively. “There is a lot work yet to be done in order for all companies to achieve full GDPR compliance, as well as for them to monitor, maintain and demonstrate ongoing compliance in a repeatable and efficient manner,� Babel added. “The good news is that companies realise that the effort and expense will have a positive effect on their businesses and is well worth the investment.� w
*TrustArc: GDPR Compliance Status – A comparison of US, UK and EU companies
As an agency, Upp B2B specialises in helping companies in the businessto-business (b2b) space to look beyond perceived brand and marketing limitations and overcome obstacles to drive commercial growth. It’s great to see companies achieve this following a renewed focus on their market position, proposition and purpose. We appreciate, however, that the relationship between brand and growth - most importantly the former’s potential to drive the latter - remains unclear for many b2b business owners. When you look at existing research on the subject, it’s not hard to see why. From a brand theory perspective, b2b brand success stories receive relatively little air time alongside more mainstream consumer brands. Evidence of brand-driven growth in b2b tends to be anecdotal or incomplete. This often means companies must take a leap of faith when setting out to engineer growth through strategic brand investment, while so many other areas of the business are demanding attention. Against this backdrop, Upp B2B recently collaborated with Manchester Metropolitan University on an exclusive research study - Exploring brand evolution and growth in B2B services businesses. Even more exciting was the opportunity to launch the report during the ďŹ rst Business Marketing Club North West event at the Lowry Theatre last month. The study breaks new ground in linking investment in b2b brandbuilding to successful business growth. It explores the experiences of ďŹ ve high-growth b2b businesses in the north-west. Information shared by their CEOs and marketing heads was used to produce a series of insights about how brand focus can inuence almost every aspect of business growth strategy and produce remarkable results. We hope the report will give b2b business owners and marketers some food for thought and help move brand investment higher up the boardroom agenda. We have 100 free printed copies of the research report available if you would like to reserve a copy, email hello@uppb2b.co.uk quoting code CCA18.
Max Clark, Co-founder & Director of Strategy, Upp B2B +44 (0)161 786 8040 www.uppb2b.co.uk hello@uppb2b.co.uk +
We create, build and grow transformational b2b brands that people want to work for and with.
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10:45
SWIM SINK SECTOR REPORT
PEOPLE
OR
SALFORD BUSINESS SCHOOL
IN PARTNERSHIP WITH INDUSTRY We develop graduates who mean business.
Since the start of the year aspiring creative and digital businesses have been given the chance to base and develop their ventures at the reinvented Ashton Old Baths. We caught up with them to hear their stories.
“This is not just about creating workspace, it is about creating a community of like-minded entrepreneurs, all collaborating together to reach their potential.” The comments from Claire Kellett, Centre Manager at Ashton Old Baths, sum up the ethos at the famous grade II listed building which, after laying empty for 40 years, has now been transformed into a hotbed of digital innovation and industry. Working with Placefirst, Tameside Council secured funding from the European Regional Development Fund and Heritage Lottery Fund to restore and renovate the building. Over three years the centre underwent a sympathetic yet innovative renovation, and has been reinvented as a state-ofthe-art digital and tech hub. The iconic building has been designed around an “upside down wooden arc” as Kellett refers to it, containing a range of office space and co-working on its lower floors and an open-air meeting area on the top floor. Kellett works for Oxford Innovation, a leading operator of innovation centres with 24 sites across the UK, which runs the centre in partnership with Tameside Council. She says interest in the building since it opened its doors 12 months ago has been enormous. “It is probably one of the most
Claire Kellett, Centre Manager at Ashton Old Baths
We have been inundated with people wanting to come on tours and they are simply blown away when they walk in the building famous landmarks in Ashton and people remember coming here when it was a baths house. We have been inundated with people wanting to come on tours, and they are simply blown away when they walk in the building.” ´56
Find out more about our business-informed, industry-relevant Business, Finance and Law programmes
www.salford.ac.uk/business-school +44 (0)161 295 2222 sbs-admin@salford.ac.uk
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SECTOR REPORT
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The tradition among Indian couples is that the family travels all the way to India to choose their wedding outfits and associated wedding requirements such as stationery. In this digital age I thought why are people travelling all that way for items such as stationery?
Dan Howarth, 35 Company: Orbery Sector: Design
The real commercial opportunity is in hyperpersonalising content to help people make better decisions.
At home you do not see anyone and it can be really isolating if you’re not careful. It is so much better to be around other creative types.
Tayjal Mistry, 32 Company: Mani-s Creative Sector: Wedding stationery
Brianna Harvey, 32 Company: Digital Flamingo Sector: Digital marketing
Three of the aspiring ‘Digital Dozen’ entrepreneurs share their stories
³ Entrepreneurs
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As well as being home to more established businesses, it was important that the new building also served aspiring entrepreneurs. As such late last year Oxford Innovation, in partnership with Tameside Council, launched its ‘Digital Dozen’ competition offering start-ups in the digital and creative industry the chance to base themselves within the coworking space of the hub, free of charge. As part of the competition they would also receive tailored support, including oneon-one mentoring and access to a range of workshops aimed to help kick-start their business ideas. Adds Kellett: “This whole wider project has been about supporting the local community and creating jobs to put investment back into Ashton. So encouraging the next generation of entrepreneurs to base themselves here for a few months as they get their businesses off the ground was a really important part of that. “The idea isn’t that they stay here forever. The aim is to help give them a step up as they start out and give them the confidence to move on to the next stage.” ISSUE 3
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Mentoring Nigel Gilmore, Director at Business Driver, has been spending one day a week offering tailored business support to the start-ups. As he explains: “Before joining the programme they needed to have a business plan whose core idea had legs. My role has been to help them get their business plans right, help with ideas, and also help them avoid the bear traps. The aim has been very much for them to interact with me as much as they need me.” Gilmore says translating business ideas which “often come in the shower” into viable propositions is inevitably a big challenge. “Often they may not have considered the hard questions. Moving from start-up phase to getting an investment is a big and difficult step. But working out of your back room is lonely. Being here makes a massive impact for them, especially when they can bring clients to this fantastic building. Both Oxford Innovation and Tameside Council need real credit for backing such a project.” w
History
Ashton Baths was opened in 1870 but the large pool was strictly for men only, with a small pool in an adjoining annex for women. In the early days the water was only replaced once a week and a chlorinator wasn’t installed until 1937. The baths have been used for many functions over the years. It was once used as a concert venue after a large wooden platform was placed over the bath pit, while it has also been turned into an indoor tennis court. In 2013 Tameside Council developed a vision to transform the building and bring it back into use. The main pool building opened last year, while the next stage of the project is to redevelop the annex. Plans have already been approved for more offices, a café and extra conference space in the annex, with work due to start later this year. w
After graduating Tayjal Mistry began her career in London as a freelance digital graphic designer before deciding to move back to her home town of Ashton. As she explains: “Both my parents were here in Ashton and it was simply too expensive to buy a house in London, so we decided to make the move back up North.” At the same time as the move Mistry decided to take the plunge with her business which specialises in wedding stationery for Indian couples. Her business, Mani-s Creative, is named after her grandfather who was a carpenter and a “very creative man”, and she got the original idea for the start-up from planning her own wedding. “The tradition among Indian couples is that the family travels all the way to India to choose their wedding outfits and associated wedding requirements such as stationery. In this digital age I thought why are people travelling all that way for items such as stationery? So the idea came to me to start creating modern, yet still traditional, wedding invitations.” Mistry says by choosing her, couples can stay much closer to the whole process. “I am here in the UK, they can see the proofs beforehand, and have the option to change things if need be. It’s a bespoke service.” She adds that a lot of her business is coming through social media and although a lot of clients are Londonbased, she is starting to get orders from all over the world. “I’ve recently been getting orders from the likes of California, Germany and Australia.” Her family has a special affiliation with Ashton Old Baths as both her parents remember swimming there, and she says being based in the new-look building is fantastic. “Before coming here I was literally at home with a desk in my bedroom. Being here has given me a real grounding, and it’s been really nice to be able to come in and interact with people who are in a similar situation and bounce ideas off each other, as well as get great support from Nigel Gilmore. Just having this space meant there was a place where I could come in and really focus, while it has also been great to bring clients into such a professional-looking building.” She says the next step is to find bigger offices which will help with the collecting and sorting of deliveries. “I am also looking to employ an assistant to help me take the business to the next stage. I need to maintain the growth now.” w
After graduating from Newcastle University, Dan Howarth began his career in in-house publishing. He increasingly found himself working on digital marketing contracts and turned freelance, basing himself in Manchester. Two years ago he decided to up his game further, setting up his own business Orbery offering copywriting and content design solutions. “The aim of Orbery is to apply lean principles to build integrated, intuitive systems that maximise user experience.” In addition to bespoke projects, the business is currently building a web application for producing responsive digital publications that fill the void between print and web. “The real commercial opportunity is in hyper-personalising content to help people make better decisions. Moving from a service business into a product business is a challenge but I think it’s important to be ready to diversify in order to solve problems that you encounter.” Howarth says collaborative working is the key to getting ahead in the digital sector, and as such being based at Ashton Old Baths has been perfect. “There is a real melting pot of ideas here and you get to rub shoulders with others in the building. It’s a really diverse community which helps when starting up your own business because it gives you lots of potential leads and new clients.” He adds that he has particularly enjoyed working with Nigel Gilmore. “Nigel has a lot of experience and brings a different perspective which is exactly what someone in my position needs. He has helped me refine my business strategy and manage my workload as I aim to build a successful company with a sustainable business model. One of the things I have really found is that you have to be willing to adapt.” w
Brianna Harvey is originally from Florida and first came to the UK to study Media Studies at Liverpool Hope University where she could also get to see her beloved Liverpool FC. “I love football and am a big Liverpool fan, while I was also very interested in the business side of football and media, so it was the perfect place to do the course.” After graduating she stayed in the UK with her British husband and started out as a freelance proof reader and copywriter. “I then began to realise there was a real opportunity to help businesses with their social media presence in order to be able to compete and reach prospective customers, so set up a digital marketing agency. It might sound surprising to some, but not all businesses are using social media to anything like its full potential yet.” She says copywriting continues to play an important part in her business, as well as social media training. “My company is all about creating engaging content for business websites which then helps search engines find that business.” Harvey says she has simply loved being based at Ashton Old Baths. “Even on bad snow days I walked here. I think for any start-up having somewhere to come like this building and engage with like-minded people is almost essential, and really important for your mental health too. At home you do not see anyone and it can be really isolating if you’re not careful. It is so much better to be around other creative types. We are all in the same boat, and I feel like part of the family here. In the morning when my husband goes to work, I go to work. I am more focused working here.” In the future Harvey is looking to offer even more digital services, offering a one-stop shop for digital marketing needs. “I want to build up a business with a complete solution including web design with a whole creative team under me. To get there I need more clients but there is definitely a market for what I do.” w www.gmchamber.co.uk
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Rising demand has led to the redevelopment of two famous Manchester theatres.
As we speak Roddy Gauld, Chief Executive of Bolton’s Octagon theatre, is surrounded by boxes about to be despatched to various corners of the town. The reason is that as the theatre undergoes a major £10m makeover, Gauld is taking arts out to the people, putting on a season of dramas, musicals and family shows across locations around Bolton. For instance next month the theatre is bringing together the town’s young people and community choirs together for an open-air production of Gulliver’s Travels at Queens Park, the theatre’s first ever show in a park. Another production ‘And Did Those Feet’ – Les Smith and Martin Thomasson’s story of Bolton Wanderers at the 1923 FA Cup Final – will be held at the Macron Stadium, the home of the Wanderers today. Following the World Cup drama we experienced this summer, the story has much resonance to today
as it follows the story of how a group of Boltonians find their lives transformed by eleven men in white shirts. Gauld admits that overseeing the redevelopment, while also organising these external events, has been “double the workload” of late, but says it has been worth it. “It’s a fantastic opportunity to extend our theatre’s reach in Bolton and to continue building strong relationships within our community. It’s also a great way to connect with different people in entirely new ways.” Development The theatre first started planning its redevelopment, which will complete in early 2020, in 2014. Gauld says the overhaul was driven by a number of drivers including the need to make the building fully accessible, especially backstage for performers, and because the theatre had simply outgrown its existing premises.
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Roddy Gauld, Chief Executive , Octagon theatre
When complete the new home will increase capacity by 25%, while also freeing up capacity elsewhere in the building. “It also gives us a new learning space and studio theatre, more space for our youth and community work, and a new events space for companies to hire.” The development is being chiefly funded by Arts Council England and Bolton Council, and Gauld says the Council’s commitment from day one has been critical. “It helped us unlock that support from the Arts Council, and on the back of that we have been able to secure other charitable donations.” He adds that unlike many local authorities during the prolonged era of austerity, Bolton Council has been prepared to maintain its level of support year on year for the Octagon, 40% of whose visitors come from the town. “The council really sees culture as part of its broader appeal,” he adds. ´60
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ARTS, CULTURE & LEISURE
³ Another theatre redevelopment
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currently taking place is of Manchester’s Contact. The theatre lies in the heart of the University of Manchester campus on Oxford Road, but is an independent public theatre, funded by a combination of the City Council, Arts Council England and Greater Manchester Combined Authority (GMCA) and the University. Like the Octagon, its £6.5m redevelopment, which began in March, is also being driven by a need to update facilities. As Artistic Director and Chief Executive Matt Fenton says: “We have outgrown the building, dealing with increased demand from young participants and audiences.” The theatre plans to reopen in autumn 2019 complete with new and improved performance spaces, a purpose-built
Wigan archives
By supporting us you are engaging with young people who are your future workforce. Matt Fenton, Contact theatre
A major funding boost has been secured from the National Lottery to develop Wigan Borough’s archives collection and create an enhanced cultural offer for residents and visitors. Wigan Council’s Archives and Local Studies service has secured a grant of £1,320,700 from the Heritage Lottery Fund (HLF). Along with a new public search room, three vacant Leigh Town Hall shop units will be converted into new
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In particular Contact has its own in-house drama company for people aged under 25 which gives them an alternative training route to drama school. Youth participation has even extended into the new building with a team of young people, Con:Struct, fully involved in all aspects of the building project since 2014. Fenton says one of the reasons for the spike in demand that Contact is seeing is that creative arts is increasingly being squeezed out of the new national curriculum, making what Contact does even more invaluable to communities. As he adds: “It is a patchy picture which varies around the country because some schools have a stronger commitment than others to their cultural provision. But from what we have seen the rise of the EBacc (English Baccalaureate) is in particular leading to a reduction in the take-up of arts subjects as opposed to STEM subjects.”
recording studio for young people’s music projects, an arts and health development space, new offices for artists and cultural organisations to hire, and a new café/bar. As part of the project the 1960s rear of the building has been completely demolished. Diversity Contact is recognised nationally and internationally as a centre for excellence in the promotion of youth leadership and creativity, working with young people from a range of different backgrounds. “Seventy per cent of our audience are under 35, while 40% are Black, Asian or Minority Ethnic. That completely bucks the national trend,” says Fenton. “We have a national reputation for what we do, especially in terms of engaging young people in decision-making. Young people are at the heart of everything and over the last five years our participant numbers have doubled.”
exhibition space for archives, and additional shop units will be used as specialist storage to protect the collection. The plans also include a café space in Leigh Town Hall and conservation facilities to catalogue and digitise collections making them more readily accessible. The HLF grant also includes a two-year temporary exhibition programme, with content
Funding Meanwhile Fenton describes raising the funding for the new development as “challenging”. Although the Arts Council committed £3.85m to the project, Contact had to raise the remainder itself. Looking ahead he would now like to see more businesses get involved with its wider programme of activities. “Our strong message to business would be that Contact is engaging with the future creative people of Manchester. So by supporting us you are engaging with young people who are your future workforce. “Whenever we engage with companies they always get very excited about the benefits it brings. For instance one thing we do is ‘reverse mentoring’ where rather than a young person being mentored by an executive, an executive comes to us and learns from that young person, and then uses that experience to benefit their own business. It all goes much deeper than a tick box CSR exercise.” w
shaped by community contributions and in partnership with the Museum of Wigan Life. As well as more outreach and engagement activities there will be a learning programme with schools led by an education and engagement coordinator, and an enhanced volunteering programme will be delivered with various volunteer roles for residents to get involved with. w
Chamber Announces ARTS PRIZE WINNER
Contemporary artists
Jo Clements receiving her award from Andrew Ryan at the Chamber’s Annual Business Dinner
Jo Clements has been announced as the winner of this year’s Greater Manchester Arts Prize for her video ‘Unit for’. Said Clements: “It’s overwhelming to be awarded the prize in a year with such a strong shortlist and in a city with so many talented artists. “The recognition, affirmation and exposure of winning the award has enthused and inspired me to consider
A still from Jo Clements’ winning video ‘Unit for’
my future artwork and career in bigger, broader and bolder ways.” ‘Unit For’ comprises of a series of images, text and accompanying soundtrack that describes the experience of Clements and artist Sara Bradbury. The pair spent three weeks in an industrial space made available for artists to develop, show and produce work in, and the film explores their developing relationship with a homeless woman sleeping in the doorway. w The runners up were: n Richard Weston for ‘Between Two Worlds’ and ‘Portrait of my Son’ n Peter Davis for ‘Bored lol wuut’ and ‘Son of Zelda’ n Omid Asadi for ‘Paradox’
Now in its third year, the Arts Prize was created to connect contemporary visual artists to the region’s business community, providing opportunities for artists to be recognised on a national/international scale, as well as to retain artistic talent in this area. The winner and runners-up received vouchers from Fred Aldous and paper products from G.F.Smith. The works that were shortlisted for the prize were on display at Stockport War Memorial Art Gallery from May to June. w
BUSINESS SUPPORT FROM BURY COUNCIL • Join our Bury Means Business database today and receive useful updates. • Business support delivered with our partners: • Start Smart / Start up • Access to finance • Growth support • Digital support • Skills / Training • Receive tailored support to improve the health and wellbeing of your workforce. • Help to get the answers you need for your business from various council departments through one contact. • Business Rate Relief Scheme for new commercial development (criteria applies). • Recruitment support / Apprenticeship recruitment advice. To register on the Bury Means Business database and to receive tailored support please contact us on: 0161 253 6535 or investin@bury.gov.uk
www.gmchamber.co.uk
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REGIONAL UPDATE
BOLTON
Security company celebrates 20 YEARS IN BUSINESS
REGIONAL UPDATE
‘ENERGY BITCOIN’ CREATOR partners with Network Rail
Omar Rahmin
Phil Thompson
A Bolton security company is celebrating 20 years in business. Key Control Services Limited, based at Sunset Business Park, is staging a number of events this year to celebrate its anniversary. Managing Director Phil Thompson said: “For a security company of this size to stay in business for 20 years is really quite an achievement. Many security companies do not last 20 years as this is a very competitive industry, so we are delighted to have reached this milestone. Furthermore, we have big plans to grow even further over the next few years.” The company employs more than 20 staff and provides a range of security services to clients, both commercial and domestic, in Greater Manchester and
across the North West. Clients include KIA Motors, Brother UK, Howdens Joinery and Williams BMW. Thompson, who was a police officer for 27 years prior to starting the business, added: “The security industry is a growth industry. Sadly, this is partly driven by people’s concerns about rising crime and even terrorism. More owners of businesses are beginning to realise that sending out lone members of staff at night time or weekends to respond to their business’ alarm going off can pose huge risks not only to that employee, but to the business’ legal obligations to that employee. In addition, employees that have been up part of the night generally don’t make productive employees the day after.” w
Bolton-based agency Relative Marketing has launched a new website designed by a 21-year-old who only joined the agency as an apprentice a little over two years ago. After just a year’s apprenticeship with Relative, Joe Swarbrick became a full-time employee and Relative invested in him by sending him to conferences and funding training to complete his Adobe InDesign qualifications. Swarbrick, from
Darwen, has since progressed from digital apprentice to graphic designer at the agency, and is now designing Relative’s new website. Said Swarbrick: “I can’t believe how much I have progressed in a short space of time. I have always had an interest in graphic design, but never thought I would be doing it as a career. I was very proud when I was told I was going to be responsible for designing the new site. I’m very happy with the design and the team certainly seems pleased.” Managing Director Robert Barlow, added: “Because we’re a marketing agency our website can’t be just ‘good enough’, it has to really show prospective clients what we can do. We gave this project to Joe as he is an exceptional talent and we knew he would do a fantastic job. It really shows how much creative agencies such as ours can benefit by taking on apprentices and giving them the right training and support.” w
New website designed by TALENTED 21-YEAR-OLD
Joe Swarbrick
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Bolton-based Energi Mine, which has developed a bitcoin-like currency allowing organisations to reward energy saving behaviour, is set to trial its platform with Network Rail employees. Its Energi Token digital currency tokens have a cash value so they can be sold by the owner online like bitcoin, but crucially they can also be used directly for energy services such as paying bills or using electric vehicle charge points.
After successfully raising £12m in an initial pre-sale of the tokens, Energi Mine has now partnered with the Energy Managers Association (EMA) and Network Rail for a proof of concept trial. The three-month pilot will see Network Rail employees rewarded for actions such as taking low carbon transport to work, saving energy in the workplace, and buying energy efficient appliances. Employees will automatically receive their tokens via energy saving data from smart meters or transport software. Omar Rahmin, Chief Executive of Energi Mine, said: “Until now there has been no incentive to save energy. Ultimately we want to change the behaviour of individuals for the long term.” w
£12M AWARD for Rivington Chase Bolton Council has been awarded £12m to create a new road across the £262m Rivington Chase development which will enable much needed homes to be built more quickly. The road will provide the main access and will link the planned 1,700 home site with Middlebrook retail park, Horwich Parkway railway station, and junction 6 of the M61. The government funding is to support local infrastructure to make housing developments viable and accelerate housing delivery. Bolton’s award is the joint seventh largest in the country and the largest award in the North West among the 133 council-led projects to be given money. Acting Leader of Bolton Council, Cllr Linda Thomas, said: “This is great news. We always promised we would address local residents’ concerns about access to the site and how any extra vehicles in the area would be catered for. We understood that the
local community had concerns about highways infrastructure, and we said this would have to be in place before any houses are built. “The level of investment proposed in the whole scheme will result in major direct financial investment into Horwich, which will benefit both the town and the whole borough. Work on the site will also bring hundreds of new jobs for the community.” Rivington Chase is being delivered by the Council and landowners including Bluemantle, Homes England (formerly the Homes and Communities Agency) and Network Rail. The site has outline planning permission for 1,700 new homes and last November Bellway Homes received permission for 112 new homes at the entrance to the site, phase one of the masterplan. Other applications will be submitted over the coming months for different phases of the scheme. w
BURY
PREMISES REOPENING at expanding Bury firm
Molygran staff celebrate the extension’s opening with Bury Council leader Cllr Rishi Shori
More jobs and increased turnover are expected at Radcliffe company Molygran following the completion of a new extension to its Bury Road factory. Council leader Rishi Shori officially opened the facilities which include a revamped shopfloor and new offices. Molygran believes increased production of its polystyrene goods will now push turnover up by 30 to 50% in the next 12 months, fuelled partly by increased export demand. This export potential has been backed by the Greater Manchester Export Fund, which made a 20% contribution to
the company investment in the refurbishment and extension. Founded in 1979, Molygran makes innovative polystyrene packaging, design and merchandising materials, as well as specialist pieces for the civil engineering sector. Turnover grew by 50% from 2014 to 2016, but by then it was clear the company had outgrown its premises, which were also in need of modernisation. Following support from GC Business Growth Hub, Molygran decided to reinvest in the company and keep it at its present location in Bury. w
Trio secure EMPLOYMENT OPPORTUNITIES at Bury Business
Do you want to set up your own business, go self-employed, or have you been trading for less than three years? Bury Council and GC Business Growth Hub have launched the Start Smart programme, providing support through workshops, events and one-to-one specialist advice. The programme is fully funded, and support is tailored to individuals. Examples could include analysing your business idea, advice about your personal circumstances, legalities, financial advice and management. Janine Richardson, Start Smart Project Manager, GC Business Growth Hub, said: “Start Smart is there to help anyone in Bury who wants to find out more about becoming self-employed, or is seeking support to grow their new business. Through our work across Greater Manchester we know that there are lots of entrepreneurial thinkers with great ideas in the region and we hope Start Smart will be the helping hand needed to transform great ideas into reality.” Cllr Rishi Shori, leader of Bury Council, said: “Helping to create a thriving local economy is one of our top priorities, doing whatever we can to support our business community to grow and prosper. Setting up a new business can be both exciting and daunting but there is a strong entrepreneurial spirit here. I’m certain that Bury residents and companies will benefit from the programme’s expertise, advice and guidance.” w
For more information or to get involved with Start Smart, contact the GC Business Growth Hub on 0161 359 3050 or email BGH@growthco.uk. For information about the wider support Bury Council and partners can provide, contact Bury Means Business on 0161 253 6535 or investin@bury.gov.uk
(L-R) Chris Nott, Matthew Collinge and Jack Mason
An enthusiastic Bury apprentice is the latest individual to secure a career-ready apprenticeship at a local business committed to supporting and investing in young people. Jack Mason has secured a full-time permanent contract at The Vacuum Pouch Company after completing his Level 2 Bury College warehousing apprenticeship. The knowledge, skills and experience the 19-year-old has gained has allowed Mason to take his first steps into a growing industry. Mason said: “I am very happy to have completed and now have a full-time job. The apprenticeship
New businesses urged to START SMART
has been great for me, I have achieved my forklift truck licence and developed my skills in teamwork and self-motivation. I now have a full-time job and my wage has increased which has meant a big weight has been lifted off my shoulders as I can buy a car!” Mason joins other apprentices who are pursuing their careers at The Vacuum Pouch Company. Chris Nott, 19, completed his Level 2 warehousing apprenticeship in 2016 and was offered a fulltime permanent contract. Matthew Collinge, 26, is looking forward to progressing his career after completing his Level 2 sales qualification. w
PRESTWICH estate agents join forces
Summermere and Michael Herwald & Co are familiar names on Prestwich high street. Now, the two estate agents have joined forces within the Longden & Cook Real Estate group to become Herwald Sales & Lettings. By combining its expertise with Michael Herwald & Co under a new brand, Summermere will strengthen its position in the buoyant North Manchester property market. w www.gmchamber.co.uk
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MANCHESTER
£400K BOOST for property management firm
A property management business operating across the North West has secured a £400,000 investment from Northern Powerhouse Investment Fund (NPIF) - FW Capital Debt Finance to support its expansion plans. Urbanbubble provides a range of residential property management services. It was set up by Michael Howard in 2008 and now manages more than 8,000 properties across 90 residential schemes predominantly in the Manchester and Liverpool areas. Group turnover last year topped £3m and is on target to reach about £4m in 2018, with headcount set to increase from
120 to 250 over the next two years. The company has recently secured a key contract with Legal & General to support the growth of its build to rent residential portfolio, which will involve Urbanbubble expanding into regions outside the North West. Said Howard: “The funding from FW Capital will be used to invest in people, systems and processes to ensure that strong operational structures are in place to support this next phase of development. We’re really pleased to have received investment from the Northern Powerhouse Investment Fund with FW Capital providing a quick and efficient service.” w
The landmark Manchester city centre mixed-use redevelopment project, St Michael’s, will go-ahead after the Secretary of State confirmed that the application will not be called in. On behalf of the St Michael’s Partnership, Gary Neville said he was ‘excited’ to have received the green light. ’It’s been more than a decade since the idea to regenerate a strategic city centre location was first considered.” The £200m St Michael’s development lies just off Deansgate on Jackson’s Row, close to Manchester Town Hall. St Michael’s will include a 216-
bed five-star hotel and 189 apartments in a tower reaching 39 storeys. In addition, 148,000 sq ft of office space and 33,000 sq ft of leisure space will be included. The former Bootle Street police station will retain its frontage. St Michael’s architect, Stephen Hodder MBE, Chairman of Hodder + Partners, said: ‘This development will regenerate a pivotal city block adjacent to the city’s civic core, and I applaud the evident passion, ambition and vision of all those behind St Michael’s. That’s why I’m delighted that this significant project has been given the goahead.’ w
REGIONAL UPDATE
Manchester’s JOB MARKET FLOURISHES in first quarter of 2018 It’s been a strong start to the year for Manchester’s labour market, with job vacancies, application rates and advertised salaries all seeing an increase last quarter, according to the latest job market data from CV-Library. Job vacancies rose by 16% in Q1 when compared with data from Q4 2017, while application rates across the city soared by 36% between the two quarters, the second highest growth in the country behind Edinburgh and ahead of Birmingham and Liverpool. Lee Biggins, founder and managing director of CV-Library,
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BUSINESS IS BOOMING for new Chamber member
Hill’s Panel Products (HPP) is experiencing a Shaun Nolan strong period of growth and investment both nationally and regionally. HPP has enjoyed a number of successes in the past 12 months including significantly increased turnover, a £2m investment programme in manufacturing facilities, the recruitment of extra staff, and strong business growth in
A vision to guide the transformation of a famous Manchester hotel which borders the city’s medieval quarter is to go out to public consultation. The Ramada complex on Deansgate is a 1.4 hectare site including a prominent but unloved 1970s hotel, a car park, and derelict offices. At present it detracts from Deansgate and nearby historic buildings including Manchester Cathedral, Chethams School of Music and the Corn Exchange. Now developers Urban and Civic are proposing to demolish all the buildings on the Ramada complex site to bring forward a landmark
mixed use scheme including high quality riverside public spaces, up to 600 homes, a five-star hotel and retail. The scheme also includes improved pedestrian connections with the surrounding area. The vision for the site has four main objectives: to create an active and vibrant place and new destination within the city centre; reveal the river Irwell and improve links to it; reconnect the site to its historic setting, better linking it with the medieval quarter; and to create a high quality development that complements its surroundings and the city’s skyline. w
Manchester city centre and across the UK. The family-owned company has its head office and manufacturing site in Oldham with a second distribution centre in Sheffield. It has over 2,000 UK trade customers and 200 staff. The company serves the national kitchen and bedroom fitting industry, manufacturing its own products and additionally distributing others from major brands across the world. The company is currently providing furniture products for
hundreds of new apartments in Manchester city centre. It is also supplying and manufacturing furniture and fittings to Beech Design & Build, a landlord and developer of apartments for young professionals, students and visitors. The work, worth hundreds of thousands of pounds, began in late 2016 and is ongoing, with HPP potentially providing products for contracts covering between 1,500 and 1,700 apartments. Kitchen and bedroom furniture and fittings have also been supplied for a variety of
LLK hits RECORD GROWTH Oldham-based catering supplier, Linda Lewis Kitchens (LLK), has reported record growth for the 2017/18 financial year, increasing sales by 53.7% and smashing its £2.3m turnover target. The growth comes at an exciting time for the pizza equipment specialist which has been shortlisted once again for an Oldham Business Award, this year in the Business of the Year £1-5m category. In 2017 LLK won the Oldham Business Award for
Supporting Young People. In the last 12 months, LLK has developed a service and spares department, headed by Ryan King. This department has been assisting many businesses in the local area, and since King’s appointment a year ago it has shown a 60% increase in sales. In 2016 LLK launched a fully operational demonstration kitchen at its headquarters in Oldham, which has proved to be extremely beneficial to dealers
Accountants worked alongside Oldham-based PMD Business Finance to secure the funding for four new packaging machines. PMD is one of the biggest independent brokers in the UK offering alternative finance solutions to high street banks. Pictured (left to right) Tom Brown, Head of Direct Finance at PMD Business Finance, Gerard Pessagno, Managing Director of M&A Pharmachem Ltd, and Peter Dobson, Managing Director of PMD Business Finance. w
as they have gained a greater understanding of LLK’s portfolio, which in turn has helped to secure long-term distribution deals. The following year LLK also recruited a development chef to advise customers. Managing Director Linda Lewis, said: “The demonstration kitchen has been instrumental in being able to support our dealers not only with sales training but also with securing long-term distribution deals. We have found that by opening
EUROPEAN BUSINESS LEADERS welcomed to Oldham Oldham has welcomed business leaders from across Europe as part of an EU-wide project designed to support the growth of start-up businesses. Representatives from as far and wide as Estonia, Malta and Slovenia were among the visitors from six different locations who met Oldham Council’s strategic investment team
redeveloped properties in key city centre locations including Portland Street, Princess Street and Cross Street. Shaun Nolan, HPP’s national contracts manager, said: “Now as a member of Greater Manchester Chamber, we are keen to find out more about the Chamber’s range of services and raise our profile further with regional businesses including property developers, construction firms, interior specifiers, architects and housing providers.” w
PMD Business Finance helps secure £4.7M FUNDING DEAL One of the UK’s largest manufacturers of paracetamol-based products is set to significantly increase productivity after securing a £4.7m funding deal. M&A Pharmachem manufactures pharmaceuticals and medical devices for medical staff around the globe to prescribe and use across the healthcare sector. The business was established 40 years ago and now employs 150 staff. The company’s advisors Barlow Andrews Chartered
Vision to transform city centre RAMADA COMPLEX
NEVILLE SCORES for Manchester
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commented on the findings: “It’s great to see that the job market in Manchester has performed so well in the first quarter, with businesses in the city remaining resilient as we move through 2018. It’s also clear that this confidence is catching on, with candidate appetite picking back up and jobhunters remaining active across Manchester. If you’re looking to expand your workforce, now could be the perfect time to ramp up your recruitment efforts.” Advertised salaries in Manchester also saw an increase in Q1, rising by 1.7% quarter-onquarter and 7% year-on-year. w
OLDHAM
and the Growth Company (GC) Business Growth Hub. They were all members of an EU-funded project entitled Innova Foster which aims to help high potential start-up companies through spreading knowledge about innovative processes which are being used to support growth. Oldham Council and the GC
Business Growth Hub now plan to put the knowledge they have gained to good use through their work with local companies. As well as meeting at the Civic Centre, the Innova Foster members also met with a number of people from Oldham’s business community including Dave Benstead of Diodes Inc
our kitchen up to customers to effectively ‘try before they buy’ customers feel more confident to make a fully informed buying decision.” w
and representatives of Oldham Enterprise Fund and the Manchester Metropolitan University and the GC Business Growth Hub. Funded by the EU, Innova Foster’s members include Cork in the Republic of Ireland and Tartu in Estonia, as well as regional development agencies from Poland, Malta and Slovenia. w
www.gmchamber.co.uk
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REGIONAL UPDATE
ROCHDALE
Secretary of state gives GREEN LIGHT FOR MAJOR REGENERATION SCHEME
REGIONAL UPDATE
Rochdale recycling plant owner wins ENTREPRENEUR AWARD
SALFORD
INDIAN IT GIANT opens ‘HQ for North’ in Salford
AFFORDABLE HOUSING prayers answered
Artist’s impression of Melody Gardens
Artist’s impression of some of the houses planned as part of the development
Plans for a new link road just off the M62, which will help to create thousands of new jobs and homes, have moved up a gear following the decision by the Secretary of State not to call in the planning application. The proposals, which involve 1000 new homes, 1.5million sq.ft of employment space, and a new primary school, were referred to the Secretary after Rochdale Council’s planning committee approved the application by Russell Homes in March 2018. The decision by Whitehall will bring
millions of pounds of investment into the borough of Rochdale, including funding already allocated to the new link road. The scheme is estimated to be worth £175m per annum to the local economy once complete, and is set to bring around 2800 jobs to the borough, including 2300 located at a new business park plus a further 180 temporary construction jobs each year during the build. Around 100 jobs could be supported by small scale retail uses on the site, and the scheme
could support a further 450 gross jobs across the borough. Steve Rumbelow, Chief Executive of Rochdale Council, said: “This decision will unlock millions of pounds of government funding, which will directly benefit our residents by creating thousands of new jobs, high quality homes, transport links and community facilities.” The link road is expected to be complete by 2020, with the business park and homes due to follow. Full site completion is expected in 2036.w
Rochdale’s greatest heritage asset gets NATIONAL LOTTERY BOOST Plans to transform Rochdale town hall, one of the best examples of Victorian architecture in the country, have been given a boost after the Heritage Lottery Fund approved the first stage of an £8.9m bid. The £688,000 initial award means the Council can now progress plans to restore and redevelop the Grade I listed building, which was
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opened in 1871. The proposals include a fullscale restoration of large sections of the building and its historic rooms and features, including the Great Hall’s Magna Carta mural, ceiling tiles and extensive stained glass windows. The outside of the building would also be restored, cleaned and better lit. Sections of the building which are usually off limits to the public would be opened up
for the first time to create a major visitor attraction which tells the story of Rochdale’s great history from the co-operative movement and cotton boom to the rich and diverse borough of today. Other major plans include the redevelopment of the old library on the second floor into the ‘Bright Hall’, a new space which would be used for small functions, as well as community and educational events. Two new lifts and a new entrance would also be installed to make the whole building more accessible and welcoming. The second stage bid for the town hall will be submitted in December 2019, with a final decision expected in April 2020. If funding is approved, the project is expected to be complete in summer 2023. w
A Rochdale businesswoman has been named Entrepreneur of the Year at the English Women’s Awards 2018 after launching a business from her spare bedroom. Maxine Brown, Managing Director of MB Recycling Ltd, took home the award at the ceremony in Manchester which was attended by hundreds of influential businesswomen. Brown said: “Finding out I was nominated was already an incredible surprise, so when they announced my name I was completely taken aback. I launched my business five years ago from my spare bedroom, and since then it has grown from just myself using my laptop to a recycling plant with a team of three staff. To be named Entrepreneur of the Year is fantastic recognition for the hard work and determination it has taken to grow the business to where it is now.” Brown launched her company in 2013. Last year, she opened her own 6,500 sq.ft plant in Rochdale, which has the capacity to recycle 300 tonnes per month and 4,000 tonnes annually. She now has plans for further recruitment as the plant expands. The English Women’s Awards 2018 celebrates the achievements of British women, including female entrepreneurs, civil servants and charity founders. w
(L-R) Ashish Pandey, VP and client executive at Tech Mahindra Salford, Salford City Mayor Paul Dennett, Tech Mahindra’s President for Europe Middle East & Africa Vikram Nair, and Bhushan Patil from Tech Mahindra UK & Ireland
Tech Mahindra, the $4.7bn Indian IT services giant, has opened its new headquarters for the North in Salford Quays, creating 60 jobs. Ashish Pandey, Vice President and Client Executive at Tech Mahindra Salford, said: “Greater Manchester is flourishing and is an ideal location to establish our Northern operations centre. In addition, Manchester is a technology hub and is ranked in the top 20 European digital cities, with an excellent talent pool to draw from, being home to four universities and 99,000 students. The opening dovetails with Greater Manchester’s investment in tech from Google’s
digital garage to Manchester Airport’s new £1bn super terminal.” Tech Mahindra (formerly Mahindra British Telecom) has been operating in the UK since 1986. The new Salford office will build on Tech Mahindra’s track record of working in Britain with clients including Vodafone, Nationwide, Yorkshire Building Society, Carphone Warehouse and Virgin Media. Pandey added: “Additionally, we want to partner with local universities offering internships and graduate jobs. This is a long-term investment and we plan to train local people to help futureproof our operations in the North and UK.” w
Affordable homes are to be built on the former site of a Catholic church in Salford. All Souls RC church, on the corner of Liverpool Street and Weaste Lane, closed in 2010 and was demolished in 2011. The site has remained undeveloped ever since, but Salford City Council has now granted
planning permission for Investar Developments and Places for People to build 58 affordable homes. The new homes will include a four-storey block of 48 one and two-bedroom apartments, nine two-storey houses which will range from three to four bedrooms, and one two bedroom bungalow. w
RECOM WINS PLACE on major public sector framework A Salford Quays-based company has won a place on a major new framework which will see it provide project management consultancy services to the public sector over the next four years. Recom Solutions has been appointed to the Construction Consultancy Services Framework launched by NHS Shared Business Services. The framework is expected to save
the public sector around £16m over its duration and will run until the end of March 2022. Recom director Jason McKnight said: “We are delighted to win a place on the new framework. This supports our business focus on developing our public sector contracts and provides a platform from which clients can procure services from us.” w
PARTNERS NEEDED for Salford Crescent Masterplan Salford City Council has launched its search for partners to help deliver the first phase of The Crescent – an ambitious joint masterplan with the University of Salford to create a new enterprise, education and arts neighbourhood. The first phase will include both low-rise and high density housing, a new hotel and conference facilities, new school, multi-storey car parks and the opportunity to repurpose existing heritage buildings to provide social and cultural spaces. Speaking at the MIPIM property conference in France, Salford City Mayor Paul Dennett said: “Turning this masterplan into a reality on the ground will require significant capital
investment and partnership working. We are determined that it will not be done piecemeal with the best plots picked off but delivered as a whole with culture and placemaking at its heart. This will ensure the benefits of growth have the widest inclusive impact across the city.” The partnership approach will see the University consolidate development to the north of The Crescent on its campus, allowing the City Council and University owned land and property to be designed and planned in a comprehensive way. It will open up sites for a modern, residential environment surrounded by up to 25 hectares of historic park land, riverside and jewels of history such as Peel Hall, the old fire station, and Salford Museum and Art Gallery.
Model of the area surrounding Salford Crescent
The masterplan, by 5plus Architects, creates a high quality cultural gateway connecting these historic assets to new development,
thereby enhancing the visitor draw to the area. w For more information, visit: www.salfordcrescent.com www.gmchamber.co.uk
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STOCKPORT
REGIONAL UPDATE
BUSINESS INVESTMENT in Stockport at all time high Business investment in Stockport is at an all-time high, with deals on over one million sq.ft of commercial space completed during the past 12 months. Creating 2,060 new jobs and ensuring another 952 stay in Stockport, the news comes as the town continues to undergo an exciting £1bn transformation. Companies choosing Stockport include LSH Auto which is investing £60m in a new
Mercedes-Benz dealership and regional hub. Stockport’s strong investment performance has also seen the town placed in the top 10 locations nationally for office occupier investment by CoStar 50, as well as judged the fastest growing economy in the North West in the recent UK Powerhouse report.
Pam Smith, Chief Executive at Stockport Council, said: “Stockport is undergoing an exciting transformation that is building on all of the town’s strengths making it a great place to live, work play and connect. “Stockport is arguably one of the UK’s prime and bestconnected business locations, and I’m delighted that so many businesses have chosen to
take advantage of this and the opportunities our transformation is creating by investing in our town over the past year, with many more looking to move here over the coming months.” w
TAMESIDE
BARDSLEY CONSTRUCTION increases turnover
To find out more visit www.stockport.gov.uk/business.
(L-R) Paul Strutt, Managing Director of Bardsley Construction and Roly Bardsley, Chairman
Artist’s impression of the new LSH Auto development
Stockport businesses UP FOR THE CHALLENGE in 2018 Stockport businesses are cautiously optimistic about the 12 months ahead, with almost a quarter anticipating increasing their employment numbers. Taking part in the annual Greater Manchester Business Survey, companies from across Stockport of different sizes and sectors took part in research looking at business performance and their outlook for the year ahead. The Greater Manchester Business Survey reveals that within Stockport: l Nearly half of companies are expecting their turnover to increase this year l A majority of firms that are planning to increase their workforce in the next 12 months are planning to do so by up to 20%
More than three-quarters of businesses (77%) are involved in innovation of some form, whether developing products or processes l Over half of businesses (59%) are investing in their staff having provided training for them during the last year l The high level of skills found in Stockport means that 86% of businesses do not have vacancies they are finding hard to fill l Finance remains the greatest barrier to growth that was highlighted by firms locally and across Greater Manchester l
The research was conducted on behalf of the Business Growth Hub. The findings will now be used to address areas that are believed to be hindering growth for businesses. w
HURST FLIES FLAG for the North West A delegation from accounting firm Hurst declared Manchester Simon Brownbill ‘open for business’ when it flew the flag for the region at a corporate Brexit event in the Netherlands. Hurst chief executive Tim Potter and partners Paul Brown and Simon Brownbill said the region offers the best alternative to London for European companies looking to mitigate the effects of Brexit on their operations. The trio were invited to
speak at a summit for Dutch firms held at the Rotterdam offices of global bank ING Group. Representatives from around 30 Dutch firms attended, including IT, tourism and leisure companies, manufacturers and exporters. Its aim was to provide insights into doing business in the UK against the backdrop of Brexit. Simon Brownbill said: “There seems to be a strong appetite among Dutch firms to invest in the UK, and they understand that it may be beneficial to accelerate their plans to set up a branch here as Brexit nears.” w
THE TRANSLATION PEOPLE opens second German office
David Nichols and Steve Wilde
The Translation People has launched a second German office
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in response to growing demand and is planning further openings in the country over the next couple of years. The translation and language services provider, which has had an office in Bonn since 2011, is to establish a presence in Munich as it seeks to expand its client base across Germany. Cities under consideration for further office locations also include Frankfurt and Berlin.
With Munich close to both Austria and Switzerland, the new offices also give the company scope to develop its business in those countries too. Germany is The Translation People’s second largest market after Britain and sales there grew 60% in 2017. David Nichols, Managing Director of the company’s German business, said: “We have grown our German operation yearon-year since we established the
office in Bonn and the opening of a second base is the next logical step. Germany has a thriving economy with a firm international focus, and companies there increasingly need translation services.” Nichols founded The Translation People with Steve Wilde in 2007 and the company has its headquarters in Cheadle Hulme. Its expansion in Germany follows a record year in 2017, which saw revenues surge from £4.5m to £5.1m. w
Bardsley Construction achieved a 33 per cent increase in turnover in 2017 as it continued to benefit from a strategic decision to diversify its workload, including the delivery of prime city centre developments. In the year ending 31 December 2017, the family-owned provider of building services to the public and private sectors with headquarters in Dukinfield, Tameside, and a regional office for Yorkshire in Leeds, increased annual turnover by 33 per cent to £68.3m from £51.4m in 2016. Bardsley generated a pre-tax profit of £1.1m in 2017 (2016: £0.8m), operating profit of £1.17m (2016: £0.86m) and gross profit of £4.2m, up from £3.6m in
the previous financial year. The company says it is on course for a “healthy” 2018 with a pipeline of secured contracts worth more than £60m and a further £12m due to convert to secured status. Managing Director Paul Strutt said: “The business is now regularly competing for projects in the mid-rise market and for contracts of £20m or more, and this is evidenced with us currently having a number of major projects in the heart of Manchester and Liverpool city centres. Private developers react quicker than the public sector, but strategically as a business we will remain minded to keep the balance of public and private sector in the right proportion.” w
SUCCESSFUL DAY in the Lakes
Following an extensive pre-consultation process with South Lakeland District Council, JDA - along with Bowsall, Housing & Care21, DEP Landscape, and Topping engineers - has secured planning approval on a 104 unit ExtraCare village in Oxenholme. The project will deliver much-needed independent living for the over 55 community by providing a combination of
apartment and bungalow units. It will also offer features such as a bistro, salon, spa, lounges and activity areas. In addition to the 80 unit ExtraCare apartments, the site also includes 24 independent living bungalows, which offer residents more accommodation choices. The ExtraCare Charitable Trust provides modern alternatives to care homes and nursing homes. w
The development in Oxenholme
Willow Wood nominated for PRESTIGIOUS AWARD
Willow Wood Hospice has been shortlisted for the first ever Greater Manchester Health and Care Champion Awards. The nomination, in the category ‘People’s Champion’, is for outstanding commitment to improving the health and wellbeing of others. Chief Executive Karen Houlston said: “Our staff and volunteers are our biggest asset, and I feel so proud that they have been recognised in this way by our community. They really do go that extra mile to provide outstanding care.” w
Karen Vallantine (centre, back) with members from the clinical team
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REGIONAL UPDATE
TRAFFORD
REGIONAL UPDATE
Lancashire Cricket announce Sale Sports Club appoints accountancy 92% INCREASE IN OPERATING PROFIT firm MITCHELL CHARLESWORTH
Lancashire Cricket Club has announced an operating profit of £2,347,000 for the year ended 31 December 2017, which represents an increase of 92% on the previous year. In addition, for the first time since 2014, the club is also able to report a net surplus after interest of £971,000, which after the 2013 Ashes year, is the second highest reported profit in the last 20 years. Test match returns significantly improved compared with 2016 despite the game starting on a Friday. Total attendance for the visit of South Africa exceeded 60,000 which was nearly 10,000 up on the previous year when England entertained Pakistan. In addition, the Roses T20 match generated a record attendance for
the fixture of nearly 20,000. Off the field, 2017 saw the completion of the new four-star 150-bedroom Hilton Garden Inn which opened for business last August. The hotel exceeded expectations in its first four months of trading, achieving more than £1m of room revenue, an average occupancy of 61%, and an average daily room rate of £92. Finance Director Lee Morgan said: “With the completion of the new hotel bringing the lengthy development period to a conclusion, the club is now able to fully focus on maximising the return on its investment by growing its business activities for the future benefit of cricket at both elite and recreational level.” w
CRESTA BUSINESS TRAVEL launches new website ahead of 50th anniversary
Cresta Business Travel has unveiled a new website and package of services to ensure it is still at the leading-edge of its sector after nearly 50 years in business. A radical overhaul of the company’s internal management structure, a partnership with Traveldoo, and a new website are just some of the changes at the Altrincham-based business that looks after the global travel arrangements of some of the region’s largest companies and SMEs. Clients of Cresta who prefer to book online or via their mobile device, will
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now be able to take advantage of the award-winning Traveldoo app to book all components of their journey, 24 hours a day. Featuring an expense management function, the app will also save business travellers the hassle of completing timeconsuming expense forms. Denise Fraser, Director of Cresta Business Travel, said: “Ours is a hugely competitive sector and we must continually invest in our technology to ensure we maintain our position as one of the UK’s leading business travel agencies.” w
Community sports hub and charity Sale Sports Club has selected accountancy firm Mitchell Charlesworth to provide a range of financial and business advice services. Following a tender process, Mitchell Charlesworth was chosen to support the club with a range of specialist advice, including charity advice, accounting, payroll, tax and VAT services. Founded in 1854, Sale Sports Club has long been an important sporting and community facility in the Trafford area. Recently, plans to redevelop the club were
unanimously approved by Trafford Council. The scheme, developed with the support of Sport England, the England & Wales Cricket Board and the Lawn Tennis Association, will see the construction of a twostorey community clubhouse and pavilion on the site of the existing sports pavilion, together with improvements to the club’s tennis facilities. Mitchell Charlesworth has a strong track record and reputation in the charity and not-for-profit sector, advising more than 50 registered charities across the North West. w
Merger of Stockport and Trafford colleges Stockport College and Trafford College have announced the completion of their merger, which will create a single, larger and more sustainable college. The Trafford College Group will support over 14,000 students and apprentices and have a combined turnover of around £37m. Lesley Davies OBE, Principal and Chief Executive of the newly formed Trafford College Group, said: “Our aim is for our learners to be ahead of the competition in terms of successfully securing meaningful employment and progression to higher level study.”
Both Stockport College and Trafford College will retain their existing names and campus sites. w
WIGAN
NEW HOME FOR TRAINS PROVIDES JOBS BOOST for Greater Manchester A new £46m train depot is to be built in Wigan as part of the Great North Rail Project. With the number of passengers set to double in the North over the next 25 years, more depots are needed to enable the more frequent services and additional trains planned. At Springs Branch railway sidings in Ince-in-Makerfield, Network Rail is adapting an existing freight yard to stable and maintain 24 electric and eight diesel trains. The location provides easy access to the electrified rail network and the state-of-the-art depot will provide more
flexibility for Northern Rail to move trains across the North overnight in preparation for services the next day. The depot will be brought into use from December 2019. Lauren Jones, scheme project manager at Network Rail said: “At Springs Branch sidings, we’re investing £46m to enhance an existing site by the West Coast main line by building brand new train maintenance facilities for Northern. This brand-new depot not only delivers a jobs boost for Greater Manchester, but the facilities it will provide will help transform passenger journeys across the North.” w
Leigh is up for the MAYOR’S CHALLENGE
A radical approach to transform Leigh town centre with more residential and leisure development should be embraced, according to Greater Manchester Mayor Andy Burnham.
Andy Burnham, who was MP for Leigh before becoming Mayor, chaired a highpowered meeting in Leigh as part of his trailblazing Town Centre Challenge project. A key focus of the meeting was unlocking sites for new residential development, particularly aimed at younger people, to create new vibrancy in the town centre. Burnham said: “I know how much people care about Leigh town centre and as Mayor I have new powers to bring to the table to help
Wigan Council realise its ambitious vision.” The meeting discussed plans to deliver over 1,000 new homes, extra commercial space, and a better-connected town centre including infrastructure for walking and cycling. Delegates also heard about plans for potential further residential development at Hilton Park, Turnpike House, Leigh Spinners Mill, Westleigh waterfront and the former BICC site on West Bridgewater canal. w
– such as the move towards online shopping and popularity of out-of-town centres contributing to its difficulties. The Council fears if this decline is allowed to continue it will have far-reaching knock-on effects for the wider town centre and that The Galleries could possibly close altogether, creating a huge
mothballed site in the town centre. Real estate specialists CBRE have now been commissioned by the Council to create a future plan for the centre with a masterplan to identify more diverse uses to match current and future trends and the modern economy. w
New future for Wigan town centre as COUNCIL ACQUIRES SHOPPING CENTRE
Wigan Council has unveiled a new era for its town centre with the acquisition of one of its largest shopping centres in order to drive forward far-reaching regeneration plans. The Council has acquired The Galleries shopping centre to deliver the regeneration of the centre after years of stagnation and decline. New diverse uses for The Galleries will be identified by the Council and new retailers will be sought to breathe new life into the centre, alongside retention of its most popular stores. The move by the Council follows years of decline for The Galleries, which covers a huge site of six acres in the middle of Wigan. It was built in the late 1980s and was very popular in its heyday, but is now more than half empty with a dated design and changing modern shopping habits
LEADER OF WIGAN COUNCIL steps down after 27 years
One of the longest serving council leaders in the UK, Lord Peter Smith, is stepping down after 27 years as leader of Wigan Council. Lord Smith has gained a reputation as one of the most influential council leaders in the UK. His leadership over many years on a regional stage through the Greater Manchester Combined Authority was key to delivering the devolution deal which saw Greater Manchester take control of powers and budgets from Whitehall in 2014. Sir Richard Leese, leader of Manchester City Council, said: “Peter Smith is an exceptional local government leader. In his period of office Wigan has been a consistently high performing council, and through the Wigan Deal it has built a relationship with its citizens that is the envy of the local government world. “Beyond that, for almost two decades he was the glue that held Greater Manchester together and without his leadership we would not have achieved a devolution deal with more decisions now being taken locally than anywhere else in England.” w
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AND FINALLY
Lights, camera, ACTION
Imagine you’re a young film director, making a film backed by two famous Hollywood producers, but in need of financial and physical investment. Where do you go for help?
Two years ago Chee Keong Cheung approached us. Chee was making a film that combined his trademark genre martial arts - with military and zombie action. And no, that doesn’t sound like the kind of thing people associate their local Chamber with. But Chee needed access to tanks, ambulances, helicopters, indoor and outdoor venues for full scale battles, financial support and hundreds of people as extras. He came to the right place. We facilitated introductions, advice, events to showcase the proposition, and even had our team trained to look, shuffle and act as zombies (it’s harder than you think – there is such a fine line between looking frightening and looking ridiculous!). As always, our GMCC members came through, with the tanks, ambulances, venues, financial investment, and of course the 300+ extras. So many great film projects are planned and fall by the wayside, usually because of a lack of backing. Chee’s determination, and the talent that has earned him the respect of other film makers in the industry, were no guarantee that this project would not go the same way. So we were delighted when Chee called to say that the finished film, Redcon-1, will premiere this year – in
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Manchester, of course. We’re incredibly proud to have been involved and this month hosted an event where exclusive footage from the finished film was shown and members were able to get involved with the premiere and other elements. Redcon-1 demonstrates how as a Chamber we connect the community, the arts and business, to benefit everyone involved. And it isn’t new to us – Greater Manchester is one of the most creative, culturally rich regions in the UK. We work hard to shout about and support that, and have several arts and culture partners. One is Manchester Jazz Festival, the award-winning, outstanding July festival, which brings together a diverse range of artists to celebrate, entertain and attract new audiences, as well as jazz lovers. Another is Manchester Literature Festival which curates one of the best festivals of its kind in the UK. It’s a hub for international, cultural exchange, offering something for everyone. The Festival attracts authors, poets and broadcasters: Jeanette Winterson, Margaret Attwood, Michael Morpurgo, Nigella Lawson, Harriet Harman, Sarah Milican, Vivienne Westwood and Graham Norton to name but a few. With fringe events in the summer, and the Festival launch in October, the events sell out quickly, but you can register now to get ahead of the game. And then there is Manchester Camerata, creator of The Hacienda Classics, and billed as ‘probably the UK’s most adventurous orchestra’. And they played Glastonbury last year, and absolutely smashed it. Alongside their UK and worldwide success, Manchester Camerata works with Greater Manchester partners to deliver groundbreaking dementia projects in our region. We’ll be introducing our newest Arts & Culture Partners, the Royal Exchange Theatre, in the next issue, and we’re excited about the range of performances and events that this will open up, with some great opportunities for members to get more involved.
Redcon-1 demonstrates how as a Chamber we connect the community, the arts and business, to benefit everyone involved. And it isn’t new to us – Greater Manchester is one of the most creative, culturally rich regions in the UK.
If you‘d like to know more about any of our Arts & Culture partners, or RedCon 1, please drop me a line. stella.bowdell@gmchamber.co.uk PS - Next time you wonder if we can help with something that doesn’t seem very ‘Chamber-like’, let us know, you might be surprised! w
Following the merger of Stockport College and Trafford College to form The Trafford College group, we can now offer you more flexibility, choice and opportunity to improve your business through training programmes tailored to meet your business objectives and employee needs. Call us today to find out more.
Stella Bowdell, Director of Membership & Events, Greater Manchester Chamber
Nik Walker Director of Commercial, International and Partnerships T: 0161 296 5815 M: 07803454570 E: nik.walker@stockport.ac.uk
Jane Keys Director of Aprenticeships & Business Development T: 0161 886 7044 M: 07966185115 E: jane.keys@trafford.ac.uk
SOME CHEFS COOK THEIR BEST AT 3 0 , 0 0 0 F E E T Our Flying Chefs prepare your special and delicious meals just the way you like it, right on board. Enjoy your meal.
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