Future of Business & Industry - Q1 2024

Ethical AI solutions allow charities to help more people with fewer resources

Artificial intelligence can offer major benefits to charities, driving efficiencies in services delivered and enabling an enhanced, personable experience.

Artificial Intelligence (AI) offers incredible opportunities to those engaged in charitable work; at the same time, implementation poses practical and ethical challenges. Matt Haworth, co-founder of Reason Digital, stresses the need for an ambitious but thoughtful approach to best benefit service users, donors and volunteers.

AI solutions for social impact

Reason Digital is a social enterprise that works exclusively with organisations doing social good. “We work with charities and other pro-social organisations to support them in developing digital strategies and solutions with one goal: to improve the lives of the people they serve,” Haworth explains.

Harnessing AI can enable charities to help more people with fewer resources. It can, for example, mean services previously aiding hundreds can now scale to support tens or hundreds of thousands. “That is the kind of dramatic difference that AI can make,” insists Haworth.

Longer-term impacts

More broadly, AI is set to have a transformative impact on charities’ ‘traditional’ digital operations, including websites, apps and backend systems. This has profound implications for how people will engage with charities digitally and take part in critical activities such as digital fundraising, information dissemination and digital connections between volunteers and service recipients.

Nevertheless, the primary focus should be on leveraging AI ethically. “We are talking to charity CEOs about how we can do more good with AI but what the risks and inbound threats are from adoption of AI,” Haworth continues.

Enabling human interactions

Critically, the approach should not be about replacing a warm human service with a robotic interface. Rather, by utilising AI to streamline administrative tasks, charities can scale their efforts while spending more valuable time providing personalised support.

Haworth points to the example of AI allowing a national charity to scale up safeguarding of volunteer befriending calls, with calls being transcribed and analysed using AI, meaning more interactions can be monitored.

“It enables them to spend more time doing activities that only humans can — being attuned and empathetic for another human in need,” says Haworth. By enhancing people-centric experiences for both beneficiaries and volunteers, charities can foster more meaningful connections in the support they offer.

WRITTEN BY Mark Nicholls

How we are embracing modern technology to secure your business future

Technological advancement is accelerating, blending our digital and physical worlds and offering unparalleled opportunities for economic growth. Are we ready to harness this potential to its fullest?

The Prime Minister’s creation of a Department for Science, Innovation and Technology underscores our commitment to seizing this opportunity. However, without British businesses embracing technology, we will not realise its full potential.

Busting analogue attitudes by adopting modern tech

If your business has yet to adopt digital transformation, it’s now time to reconsider your analogue attitude. Letting go of outdated methods and adopting new practices will be essential for your business to compete and thrive.

As a business owner myself, I understand the challenge of adopting new technology amid day-to-day pressures. Yet, embracing digital tools today paves the way for harnessing AI and future advancements. That’s why the Government is making the transition as easy as possible for businesses.

Investing in and fostering trust in tech That’s not all. We’re unlocking billions of pounds of investment for high-growth companies through the Chancellor’s Mansion House Reforms. Our Digital Markets, Competition and Consumers Bill will grow the UK’s thriving tech sector, so it can provide our whole economy with the cuttingedge solutions it needs to innovate.

Whopping investments in the UK data centres by tech giants like Google and Microsoft, together exceeding £3 billion, represent a huge vote of confidence in our nation’s future and will help ensure businesses have access to the digital infrastructure essential for this growth. However, for businesses and consumers alike, trust remains a critical factor in embracing technology. All too often, the internet is perceived as a ‘Wild West’ of scams and deceiving ads. That is why our Online Safety Act steps ahead of the rest of the world, holding the largest social media and search companies accountable for tackling fraudulent adverts and empowering regulators to impose significant fines if these duties are not met.

Guiding AI regulation

Just as we’ve been world leaders in tackling online harms, we are determined to lead the way in AI. We’re taking an agile, context-based approach to regulation, by gripping the risks while supporting innovation, ensuring businesses and consumers have the confidence to use this technology safely.

Equipped with the technology they can trust, secured by regulators committed to helping innovation and backed by a home-grown tech sector offering some of the best solutions in the world, British businesses are set with everything they need to seize what technology has to offer. The rest is down to them.

The key is to make data easier to gather, share and analyse within an ecosystem that can also drive real-world action.

How reality technology is bridging the gap from data to action

Reality technology captures physical reality, creates immersive digitalisation and actively changes the real world to improve outcomes.

WRITTEN BY Paolo Guglielmini President and CEO, Hexagon

Hexagon operates in over 50 countries with a global workforce of 25,000, serving industries from manufacturing and construction to mining and agriculture.

Reality technology turns data into value Industries worldwide face a tough balancing act. They must continue to innovate and deliver economic growth while also increasing responsibility. They must improve efficiency, productivity and quality while reducing waste, pollution and carbon footprint. The stakes are high, and the clock keeps ticking.

Although today’s businesses have more data than ever before, there isn’t a playbook for transforming it into tangible, real-world value. Inefficiency, skill shortages and sustainability pressures persist.

Despite these challenges, we are optimistic. Industries can unlock substantial gains when they can put the right data to work in the right context. At Hexagon, we can help them do that.

Transforming data into real-world outcomes

Paid for by Hexagon

The key is to make data easier to gather, share and analyse within an ecosystem that can also drive realworld action. Until now, that kind of physical-digital ecosystem required mixing and matching many different technology partners.

We offer a more integrated approach through open platforms.

These facilitate collaboration, foster new ways of thinking, drive positive transformation and increase the value of customers’ data over time.

It starts with high-end sensors that capture everything from micron-sized product parts to entire landscapes like mines, farms and even the surface of Mars. It turns data from these complex physical places into high-fidelity 3D models.

Our company then breathes life into the data with human expertise and AI, adding context and insights to make it smarter and more valuable for improved design, simulation and testing. The next step is to share that digital intelligence across devices and platforms, so specialists can collaborate in immersive visual environments that speed up problemsolving and decision-making.

The approach comes full circle with solutions that steer, control and autonomise technologies and processes back in the real world. When data flows freely, anything is possible. Our reality technology is already trusted in 95% of all car manufacturing, 75% of all smartphones and 90% of all aeroplanes. The impact is wide-ranging: increasing transparency, reducing error and informing decision-making.

Reality technology in action

When an ecological crisis hit the Mar Menor, one of Europe’s largest saltwater lagoons in Campo de Cartagena, Spain, reality technology was put to work. The region faced environmental damage due to a

2016 algae bloom. Restoring it was complicated because of the complex agricultural, livestock and mining runoff affecting the lagoon.

Using reality technology, Spain’s government created a 3D replica of the 1,600 sq. km. area from 51,000 nadiral and 200,000 oblique images and over four terabytes of LiDAR data, rivalling the Hubble Telescope in terms of data collection. With it, local authorities could accurately simulate environmental threats and collaborate on restoration strategies to actively improve the lagoon’s condition.

Today, the water is clearing and people are returning to its beaches. Isabel Quiles, a spatial data analyst on the project, says: “It is much more than a 3D visualisation tool — it’s a platform that can simulate the future and facilitate powerful decision-making.”

Shaping a responsible future

Hexagon’s advanced technologies allow stakeholders to balance economic growth with environmental responsibility. We are committed to collaborating with customers to solve shared challenges and shape a responsible future.

Our solutions help optimise supply chains, monitor environmental impact, ensure safety compliance and inform decision-making across dozens of industries. Ultimately, our role is pivotal in creating a future where businesses and humanity can thrive.

INTERVIEW WITH Chris Dimitriadis Chief Global Strategy Officer, ISACA

WRITTEN BY Tony Greenway

Why staff training and transparent policies are crucial in the AI era

Organisations are increasingly using generative AI to enhance productivity. To mitigate AI-associated risks, they must have the right policies and staff training in place.

Organisations are ramping up the use of generative AI — a transformative type of artificial intelligence that can create written and visual content and other media — to increase productivity, automate repetitive tasks and improve decision-making.

AI optimism and addressing policy gaps

A recent pulse poll from ISACA, the global professional association helping individuals and organisations in their pursuit of digital trust, found that many poll respondents were upbeat about AI, feeling that it will have a positive impact on their industry (60%), their organisation (54%) and their career (46%) over the next five years. “They see the potential for AI to make them more innovative, creative and competitive,” explains Chris Dimitriadis, Chief Global Strategy Officer at ISACA.

However, the poll highlighted some troubling gaps in AI policy awareness and enforcement. “Just 10% of organisations have formal comprehensive policies in place, governing the use of AI,” reveals Dimitriadis. In a way, this isn’t surprising because organisations have traditionally been faster at technology adoption than policy design and enforcement.

Nevertheless, generative AI poses risks and ethical challenges, demanding serious attention. Balanced regulations, conscious corporate governance and enhanced staff training are essential. Together, they can harness AI benefits while mitigating associated risks.

Training staff to use AI safely and responsibly

Yet, only 7% of organisations said they provide training to all staff, and a significant 60% offer no AI training at all. “That’s a problem because you cannot effectively use what you don’t understand,” says Dimitriadis. “There’s also a ‘digital trust’ aspect to consider because company assets, information, reputation and even customer data are all potentially vulnerable through AI use.” To enjoy the benefits of AI, staff must be taught to use it safely, responsibly and in a risk-controlled way.

Additionally, training is important because technology will undoubtedly impact job roles, but it will create new jobs, too — so upskilling will be needed for staff to adapt to AI-related functions.

To help organisations navigate this new and complex landscape, ISACA is releasing several courses focusing on AI essentials, ethics, governance and more. These will join their existing content resources, which help organisations leverage AI more securely and strategically. “AI can create an enormous amount of value,” says Dimitriadis. “Since value is such an important driver for corporations, I’m optimistic that it will ultimately encourage more of them to establish effective AI policies and staff training.”

The UK’s strategy for AI regulation and responsible development

BY

WRITTEN

Sue Daley Director, Technology and Innovation, techUK Paid

The UK Government recently unveiled its highly anticipated AI White Paper consultation response, marking a pivotal moment for the future of UK AI governance.

In 2024, AI is increasingly mainstream, reshaping our world. Governments face critical challenges in managing the opportunities and risks posed by these transformative technologies.

AI regulation and investment initiative

At its core, the UK Government has adopted a principlesbased and context-specific approach to AI regulation, empowering sector-specific regulators to navigate the fastevolving and complex landscape of AI with agility, flexibility and precision.

By prioritising principles such as safety, transparency and accountability, the UK aims to lay a comprehensive foundation for responsible AI development and adoption across diverse industries. However, principles alone are not enough.

Recognising the need for practical support, the Government has earmarked significant funding of £10 million to bolster regulator capabilities and awarded £80 million to nine new AI research hubs located across the country.

Overcoming AI adoption challenges

As the capabilities and opportunities of AI grow, we cannot ignore the complexities and challenges it may also bring. While AI technologies push the boundaries of what we thought possible, they may also require additional layers of regulation and oversight in the future.

The UK Government’s approach demonstrates its ambition to implement a proactive yet flexible approach to mitigating such potential risks. The journey toward responsible AI governance is not without its obstacles.

As we confront short-term risks such as deepfakes and bias, we must also grapple with the broader implications of AI on

A healthcare company we work with is using AI during the scanning process to alert radiologists of any serious issues that need immediate attention.

How digitalisation and edge computing can drive business innovation and results

WRITTEN BY Tony Greenway

What is driving digitalisation across enterprises?

There are four driving factors.

The first is the need for enterprises to be agile. For example, to achieve operational agility, retailers are transforming siloed appliances such as point-of-sale terminals with video security and automated checkout.

The second is lower TCO (total cost of ownership). Cost is a pressure point for enterprises, so they are always looking to reduce costs and manage infrastructure more easily with the push of a button.

Third is the requirement to improve customer experience and engagement. Data has been called ‘the new currency’ because, by intelligently leveraging personalised customer insights, enterprises can enhance service delivery.

The fourth and last driver is automation. Increased automation in businesses yields more real-time insights and enhanced efficiency.

How is digitalisation changing the customer experience?

Take retail. There’s online grocery shopping — but even in physical stores, automated checkouts mean we don’t have to stand in queues. Also, the personal recommendations we receive when shopping online revolutionise the buying experience. Plus, we buy tickets online, plan vacations online and bank via apps.

Another example is healthcare, where around 90% of patient data is generated by medical imaging.

However, the sheer volume of data creates a backlog, leading to longer

assessment and diagnosis times. A healthcare company we work with is using AI during the scanning process to alert radiologists of issues requiring immediate attention.

Is AI a game-changer for businesses?

I would say so. AI is powering in-the-moment intelligence, and a lot of enterprises — Intel included — are adopting genAI for internal productivity and efficiency purposes.

Now, some employees are worried that AI will take their jobs. However, AI isn’t about eliminating jobs; it’s about creating better products, better time to market and better customer experiences. Automation boosts efficiency, equipping workers with fresh skills and time for additional projects.

Does edge technology offer a new era of enterprise opportunity?

Yes. Gartner® predicts: ‘By 2025, over 50% of enterprise-managed data will be created and processed outside the data centre or cloud.’1 For example, many industrial enterprises are embracing the trend for smart manufacturing and adopting edge computing (processing, analysing and storing of data closer to where it’s generated) with IoT (Internet of Things) devices and digital twins, etc. Rather than sending data to the cloud, edge computing allows it to be consumed and analysed more quickly — for time-sensitive insights.

Can you give an example of edge computing in action?

A car company we work with is using

AI and edge computing with the goal of finding welding defects for 100% of their production line. Before this, finding defects was a manual, labourintensive, error-prone process. By moving things to the edge, the company has been significantly reducing labour costs. However, again, this isn’t about replacing workers — it’s about creating new opportunities for them.

Is this an exciting future for the technology sector?

There’s a lot happening! We’re currently experiencing an impactful transformation with the rise of edge computing and AI.

Gartner® predicts: ‘By 2026, at least 50% of edge computing deployments will involve AI or machine learning, compared to just 5% in 2022.’2

It’s exciting to think that AI isn’t only available to people running supercomputers — it’s now accessible at the edge on last-mile devices. If we can use it to solve everyday problems, then my job is even more satisfying.

Pallavi Mahajan, CVP and GM of the Network and Edge Group at Intel, reveals the key drivers of digitalisation transforming enterprises, from agility to AI adoption, unlocking opportunities in customer experience and efficiency.

INTERVIEW

Future of Property Pages 06 -

You can’t manage what you can’t measure: hitting carbon reduction goals

WRITTEN BY Bill Hughes Chair, Property Industry Alliance

The property industry is at an inflexion point: why its role in society is crucial today

From boosting productivity to ensuring sustainability, the country faces a range of challenges. The built environment has a crucial role in confronting these issues.

The year 2023 saw the climate crisis intensify, and our energy dependency was questioned amid geopolitical conflict. The UK faced crippling pinch points due to the cost of living crisis, coupled with an enduring need for housing.

Pension capital for economic growth

Meaningful public and private partnerships are key, enabled by their capital working hand in glove. Pension capital plays a vital role. The Mansion House Compact, for example, will catalyse further investment in high-growth sectors such as science and technology — offering opportunities to boost the UK economy and drive greater prosperity while creating value for millions who are saving for retirement.

Education to drive prosperity

Investment in education, such as universities, is crucial to improving the UK’s growth trajectory. Tertiary education requires extensive networks of facilities, including lecture theatres, laboratories, affordable accommodation and social infrastructure.

If we take a strategic, integrated and place-based approach to these investments, they act as nuclei for innovation and incubate the companies of tomorrow. As a result, we attract, nurture and retain talent, spurring social and economic growth.

Housing provision and decarbonisation

Housing provision across the UK is another top priority. The need for a multi-tenure approach is greater than ever and will not be met without proactive partnerships. Everyone in the UK should have access to goodquality, sustainable and affordable housing.

Finally, decarbonisation must lie at the heart of any long-term economic plan. The Green Property Alliance of the Property Industry Alliance has much to contribute here, and the influence of the Net Zero Carbon Buildings Standard project will be key.

Collaboration to future-proof real estate

The real estate industry must position itself at the forefront of effecting positive change — by bringing existing buildings on the journey to net zero, selectively adding new buildings that will stand the test of time, harnessing technology and encouraging sustainable behaviours from all stakeholders.

In a year marked by elections, the foundational role of property remains a constant in our society, irrespective of the political landscape. We must foster radical collaboration across the property industry, the public sector and the communities in which we reside.

Such collaborations may critically revolve around funding but will also lead to better dialogue and engagement. Ultimately, we need to see relationships between the public sector, investors and society flourish in the long term for the UK to thrive in the decades ahead.

WRITTEN BY Tina Paillet President, Royal Institute of Chartered Surveyors

The United Nations estimates that the global built environment generates 40% of energy-related carbon emissions, urging significant reductions to mitigate climate crisis effects.

The world population is predicted to reach almost 10 billion by 2050, and we’re constructing building floorspace equivalent to the whole of Paris every week.

Reducing built environment carbon output

With any goals, you need the proper tools to measure progress and make informed plans and, for this aim, the means to measure and comprehensively count carbon. As a leading body representing the global built environment, the Royal Institution of Chartered Surveyors (RICS) developed the Whole Life Carbon Assessment for the Built Environment (WLCA).

Initially launched in 2017, WLCA’s first edition was a groundbreaking standard for the built environment, taking a holistic and long-term approach to measuring carbon output in building projects.

Assessing carbon emissions does not end with constructors completing their projects and downing tools, as this only produces a fraction of a building’s total environmental impact. The second edition of WLCA, launched in late 2023 and promoted at COP28, was extended to cover all buildings and infrastructure throughout the built environment life cycle. It is a global standard tackling a global problem.

We need to decarbonise, across the life cycle, at pace and in an equitable way, ensuring a just transition.

Commitment to decarbonisation and guidance

In March, RICS presented WLCA to the ministers of the 70 countries at the inaugural Buildings and Climate Global Forum (BCGF) in Paris. Arranged by the French Government and the UNEP/Global Alliance for Buildings and Construction, the forum continued much-needed momentum on decarbonising buildings with a series of shared commitments on standards and regulations.

There was unanimous agreement that the mission is clear: we need to decarbonise, across the life cycle, at pace and in an equitable way, ensuring a just transition.

RICS was proud to be part of the week and to have joined the whole life carbon policy coalition led by the Department for Energy Security and Net Zero. To coincide with it, we launched a suite of supporting guidance for governments and investors on implementing WLCA.

We will continue to work with industry and coalition members to get to a unifying framework for consistent measurements of whole life carbon across the built environment and to highlight the role of our members being the trusted professionals who can help clients — be they businesses or governments — measure and reduce carbon emissions across the life cycle of their portfolios.

Real assets with real impact: how property investments are shaping our future

Property investors are contemplating their role in society, making intentional investment decisions to make a positive difference to society and the environment while delivering attractive financial returns.

The real estate landscape and its impact on society is undergoing profound transformation. As we navigate through an era marked by technological advancements, shifting demographics and evolving societal values, the property industry touches many aspects of our society, not merely confined to physical structures and land boundaries. Instead, it is intertwined with broader notions of social responsibility and collective wellbeing, encompassing a dynamic interplay between individual rights, community interests and global sustainability.

WRITTEN BY Bethany Cooper

Social impact and property investment

The real estate sector is uniquely placed to consider the impact of investments on society. Investors are prioritising environmental and social criteria, while the physical presence of real estate within communities can directly influence employment opportunities, community development and environmental sustainability.

Bill Hughes, Global Head of Real Assets, Legal & General Investment Management (LGIM), considers their own social impact as “the intentional, additional and attributable economic benefits to communities,” he says.

“The real estate sector is, bar none, the most socially relevant investment sector; its capacity to directly influence society in terms of the built environment itself, consequences for the natural environment and contribution to social equality, is unparalleled.”

Investing in our economy

Poole’s Kingland Crescent was completely revamped as part of LGIM’s strategy to re-invent and re-position its retail offering, with 10 startup and independent Dorset-based businesses offered the opportunity to occupy one of the street’s retail units, free of rent and business rates for two years.

Hughes highlights its impact on the local community.

housing with significant investments in student accommodation, urban and suburban build-to-rent, build-to-sell, residential housing and affordable housing options — creating a range of affordable housing across tenures, including for low-income families and individuals throughout the UK.

Net zero collaboration

Hughes emphasises the importance of reaching net zero carbon emissions. “One of the key considerations, which has changed the game here, is the recognition of businesses having an obligation to do the right thing for the environment, working together to step towards a net zero, carbon-built environment.”

Also Chair of the Property Industry Alliance, an organisation which is deliberately coordinating the efforts of the real estate industry, Hughes is currently setting the agenda to ensure that the real estate industry is prioritising social and environmental considerations throughout.

The best way to maximise long-term financial results is to create and own assets that are socially relevant.

“We wanted to provide an opportunity for local businesses to grow. We now have a thriving street made up of individual businesses, creating around 30 new jobs and increasing footfall into the adjacent Dolphin shopping centre. We have turned this location into a much more relevant real estate investment by making sure that we considered what it is doing for the people who live there.”

Working towards a better future

Approximately 10 years ago, the company seized the opportunity to diversify its investment holdings, incorporating social infrastructure. This strategic move has notably enhanced their performance compared to industry peers in recent years.

One of the main issues within the UK is the scarcity of good-quality housing for all. Across its business, Legal & General continues to create additional

Return on investment

Not only does the consideration of social impact have positive repercussions for the economy, environmental sustainability, community wellbeing and the promotion of social equity; it also enhances return on investment. Hughes identifies: “The best way to maximise long-term financial results is to create and own assets that are socially relevant.”

Backed by their four key principles, each investment is carefully considered: (1) relevance to the community; (2) commercial considerations; (3) characterised by collaboration; and (4) catalytic of good societal impact.

By integrating social impact, investing principles and sustainable property management practices into investment and management approaches, property owners, developers and managers can seek to create positive social and environmental outcomes while continuing to generate attractive financial returns.

Build to rent housing: how customer centricity is reshaping renting

Find out how renting has changed: from stopgap to preferred choice. Explore customer-centric build to rent homes reshaping the UK’s rental landscape.

WRITTEN BY Brendan Geraghty CEO, UK Apartment Association (UKAA)

The role of renting as a second-rate stopgap between the family home and property ownership is shifting. Professionally managed, institutionally backed, customer-centric rental schemes are turning old perceptions on their head and changing renting into something new: a choice.

Customer-centric ‘build to rent’ sector

At the heart of this shift is the customer — the renter — someone who deserves more than a roof and four walls and has the right to professional service and customer care, just as when they buy from retailers. The residential property sector is slowly catching on to the importance of the customer and the value of customercentric thinking. Leading the way is the burgeoning ‘build to rent’ sector.

Build to rent growth and appeal

rent is not just for the professional; a range of houses and apartments are springing up, with homes for families and often with discounted rents that are attracting key workers. At the heart of the build to rent sector’s success — and the resulting paradigm shift in how we view renting — is the concept of customer-centricity.

At the heart of the build to rent sector’s success — and the resulting paradigm shift in how we view renting — is the concept of customer-centricity.

Build to rent is not new. The sector has been growing rapidly across all four corners of the UK for over a decade and has just passed the landmark of 100,000 completed, operational build to rent homes with the number of complete, under construction or in planning standing at nearly 267,000 (Savills/British Property Federation, Q4 2023).

What’s new is the appreciation of why build to rent is enjoying such success. Part of this is down to the on-site amenities and social opportunities. However, build to

Property management company addresses widespread need for mid-market investment

Amid the cost of living crisis, the UK requires a more affordable middle-ground housing solution, with property management companies instrumental in rental home delivery.

Rising interest rates and house prices are highlighting an affordability gap, particularly between social housing and the high end private-rented sector whilst creating an opportunity for a solution known as middle-ground housing.

WRITTEN BY Bethany Cooper

Providing an option for a proportion of the population who will not qualify for social housing nor afford the premium rents of Build-toRent, middle-ground housing has investment potential. Property management firms are now observing a surge in demand for single-family homes to balance supply and demand.

Driving housing affordability

Touchstone Property Management plays a crucial role in facilitating access to affordable, middle-ground housing options within the rental market, contributing to housing

Why customer focus drives build to rent success

Customer focus isn’t an add-on in the build to rent sector. It’s a core part of the offering, built into home design long before the first brick is laid. For build to rent to work, investors and operators must attract and retain customers. That means putting customers first throughout the decision-making process while providing high-quality, professionally managed, institutionally backed homes.

Savills reports that 2023 saw £4.5 billion invested into UK build to rent — the second-highest year on record despite challenging macroeconomic circumstances. At the heart of it all are the experiences of individual renters. Both customers and investors are keen to be part of the future of renting — and be part of build to rent.

affordability, stability and inclusivity in the communities they serve.

Jon Clark, Sales Director, highlights the services they provide when it comes to managing homes.

“Touchstone specialises in managing rental homes. We provide a full letting and management service across a wide range of sectors, managing around 19,000 homes across all UK postcodes.”

Addressing housing demand

“Delivery of new social housing is not keeping up with demand for the lower end of the affordability market, with the pressures of interest rates and supply pushing people into the middle housing rental bracket,” Clark explains.

“We are managing new Build-toRent stock, single-family homes portfolios, affordable rentals and shared ownership units — this is a huge growth area, not only in terms of

managing affordability but in relation to business growth.”

Long-term, sustainable investment

Demand for affordable housing boosts long-term investment opportunities.

Asset managers are considering single-family homes as an investment, which aligns with their ESG policies, reinforcing sustainable business practices and societal impact.

“We are working on a growing number of portfolios for UK and global investors, who make a longterm commitment to owning and providing affordable rental homes,” says Clark. “If your model allows you to hold properties for 20–40 years, then making the numbers stack up against lower rent is more sustainable.”

Adaptation and optimising property management

Post-Covid-19, shifting work patterns offer people greater flexibility in choosing long-term living locations.

“People are more likely to stay in one location, choosing to extend their tenancy in neighbourhoods they know and love, providing the perception of a safer, longer-term investment,” Clark explains.

However, with the Renters Reform Bill looming, effective property management is crucial. Companies like Touchstone excel in navigating regulations and optimising property performance, aiding landlords to maximise potential while ensuring compliance with evolving regulations.

The UKAA has established itself as the leading presence within the rapidly growing UK urban and suburban build to rent sector. Membership currently stands at 330 organisations reaching 4,500 professionals operating in build to rent and beyond. Learn more: ukaa.org.uk

INTERVIEW WITH Jon Clark

Sales Director, Touchstone Property Management

Paid for by Touchstone Property Management

Retrofitting revolution: how real estate can drive 2050 net zero goals

The 2050 vision: buildings drive carbon neutrality. Explore retrofitting’s economic shift, investment opportunities and the path to net zero.

Imagine it’s early 2050, not 2024. The net zero target is already upon us. Let’s imagine the offices, schools, homes and factories that once emitted 37% of the world’s carbon1 are now playing a full role in carbon neutrality. How did we get here?

Energy-efficient retrofitting

Public and private actors rapidly realised the importance of retrofitting existing buildings. This meant sustainable energy generation from solar panels to heat pumps, converting from gas to electricity — and effective insulation.

In 2023, Historic England calculated that Manchester required around 5,000 workers to retrofit the city region’s 311,000 buildings, and London needed 16,300 workers generating £3.1 billion.2 Huge numbers matched huge opportunities.

Retrofitting boosts value

Retrofitting buildings made not just environmental and economic sense — they were also a sound investment opportunity.

After all, back in 2024, investors used a building’s energy efficiency rating to help them price it. A retrofitted building with an energy performance certificate rating of ‘A’ was a far

more attractive proposition than an untouched building labelled ‘G’ for inefficient.

Declining funds hinder retrofitting progress

Large institutional investors — including pension funds, insurance and private investor money — primarily funded retrofitting. However, the current reality shows a decline in funds supporting Britain’s buildings and net zero.

Once, huge defined benefit pension funds — common in the 70s to 90s — made huge investments in real estate, providing steady returns tied to economic growth. They still have around £1.7 trillion in assets,3 but they are in runoff and investing less capital in growth assets like real estate — and therefore net zero and retrofitting.

Opportunity in real estate

Defined contribution pensions

— where the worker assumes the investment risk — doubled to £600 billion from 2015–2021. Real estate is a natural investment for them, helping workers aim for retirement savings.

However, defined contribution savers have very limited access to real estate funds. Regulators drag their feet. Legislators struggle to see beyond technical difficulties. Opening UK real estate to more UK investors gives us all a better chance of achieving our 2050 goals. It’s a huge opportunity.

WRITTEN BY Paul Richards Managing Director, The Association of Real Estate Funds

References

1.https://www.unep. org/resources/ publication/2022-globalstatus-report-buildingsand-construction 2.https://historicengland. org.uk/advice/ climate-change/ delivering-net-zerolocal-data-demand-forretrofitting-skills/ 3.https://www.mckinsey. com/industries/financialservices/our-insights/ capturing-growth-in-theevolving-uk-savings-andretirement-market

Retrofitting listed buildings: preserving the past while working towards the future

Learn why retrofitting is crucial to ensure historic properties succeed alongside changing environmental and societal demands.

INTERVIEW WITH

Simon Tranter Head of Sustainability, The Howard de Walden Estate

WRITTEN BY

Bethany Cooper

Listed and historic building owners face the challenge of balancing architectural preservation with modern energy efficiency standards, navigating strict regulations, preservation guidelines, structural limitations and high costs.

Retrofitting listed buildings

Simon Tranter, Head of Sustainability at The Howard de Walden Estate, and Andrea Merrington, Director of Planning and Engagement, highlight the work underway to retrofit all buildings within the estate.

“The Estate manages 95 acres in Marylebone; a diverse property portfolio of healthcare, office, retail & leisure, residential and education,” says Tranter.

as a catalyst for change and lead the way. “We have a responsibility to take a long-term view. It is a challenge, but it is also a really exciting opportunity to see where these buildings can go and what can be achieved,” she says.

Tranter considers two of the biggest opportunities as reducing the environmental impact of buildings, alongside retrofitting to promote decarbonisation. Going a step beyond compliance, they are committed to measuring and reducing their embodied carbon across all projects. “We are always looking to maximise every opportunity to promote sustainability,” he adds.

Driving sustainable partnerships for net zero

INTERVIEW WITH

Andrea Merrington Director, Planning and Engagement, The Howard de Walden Estate

Paid for by The Howard de Walden Estate

Merrington considers the challenge between celebrating and preserving the heritage of buildings while also making them energy efficient. “We are looking to decarbonise all properties, removing all gas and improving energy-efficient. We have over 285 different listed buildings, meaning we are working through them one by one; opportunities for standardisation are limited,” she says.

We are always looking to maximise every opportunity to promote sustainability.

“Our Harley Street Medical Area is one example where we’ve achieved great success in retrofitting and repurposing historic buildings. One Harley Street, for example, is a retained façade project that will see the building completely rebuilt in the most sustainable way possible.”

Long-term decarbonisation

goals

Merrington believes that Howard de Walden can act

While the introduction of green clauses ensures occupiers are adopting responsible building practices, Tranter stresses the importance of working in partnership with other businesses that have a similar level of commitment towards net zero carbon emissions.

As part of the Sustainable City Charter, in partnership with Westminster City Council, Howard de Walden has the opportunity to report on projects and share knowledge.

“We are introducing assessments predicting in-use whole building energy performance, which not only demonstrates improvement but verifies the processes being used behind the scenes, informing future projects,” Tranter explains.

Merrington concludes: “The framework to deliver our strategy encourages extensive involvement, with people throughout the estate team stepping up to support delivery of sustainability.”

Highlighting property careers for young people to help shape our spaces

Break stereotypes in the property space. Recognise the rewarding careers, empower young minds and shape a diverse industry for the future of property.

WRITTEN BY Jennifer Winyard National Chair, Women in Property

Discussing the future of property requires addressing the key drivers, particularly the persistent skills shortages across various disciplines, including traditional construction trades. A common theme is a lack of interest in, or understanding of, what the industry offers. Changing mindsets and unlocking this potential is critical to achieving our housing aspirations, building our commercial centres and moving forward with infrastructure programmes.

Misguided property careers guidance

Women in Property (WiP) has heard anecdotal evidence from female undergraduates — the lucky ones who got through GCSEs and A levels — that the message at school was that jobs in property meant bricklaying for the boys and estate agency for the girls. While they are fundamentally important, the guidance falls woefully short of the opportunity. Young people are missing out on the wealth of careers in which they could thrive and help the industry benefit enormously.

Organisations engaging young people

Some great organisations are tackling this head-on. Manchester-based not-for-profit Regeneration Brainery works across the country, running hands-on workshops for

14 to 21-year-olds, to give them an insight into the industry and careers they didn’t know existed.

Charity MOBIE connects industry, education and government with young people to get them thinking about and working in the housing sector. Barratt Homes is working with schools and colleges to attract more young people to construction and other STEM industries, with an ambitious target to reach 1 million students over the next three years.

Youth outreach initiatives

Our own WiP members, all volunteers and all industry professionals, spend valuable time engaging with schools through our outreach programme, talking to children from 11 years old about what it means to be an engineer, a surveyor, an architect, a project manager and more. These initiatives have included competitions, careers fairs and, notably, an eight-week development series. It shows how maths can be fun and is integral to the building they are sitting in and designing.

We run our own National Student Awards programme to bring together the brightest female, built environment students with potential employers to encourage diversity across the industry spectrum. All of these projects are important, all demand commitment, longevity and investment and all are critical to the future of property.

A guide to choosing the right property agent in today’s market

Moving house is one of the biggest financial decisions many people make within their lifetime. For most, moving home tends to happen rarely.

Even if you have recently moved, you might notice changes in the process due to evolving background laws. No matter how many times you move, it never quite feels familiar, and it can be stressful, daunting, and complicated. How can you approach it best?

Property agent requirements in the UK

Whether you are buying, selling or

To have peace of mind in your property journey, choose an agent with unrivalled professionalism, high standards and a comprehensive code of conduct.

renting, invest time in researching the best professionals to work with to ensure a seamless process. Your chosen agent may come highly recommended or may have excellent reviews online, but what if you are starting from scratch, knowing little about your preferred agency before signing on the dotted line? You might assume everything is regulated and everyone holds a qualification. In the UK, property agents must adhere to certain legal requirements. However, unlike doctors or solicitors, they do not operate within an overall regulatory framework, nor

do they need official qualifications to complete their job.

Regulation of property agents

Although the regulation of property agents is in discussion at the Government level, there is no precise timeframe regarding when — or even if — this will become mandatory.

Propertymark has been campaigning passionately about this issue. As a professional membership body representing almost 18,000 property agents across the UK, there has been a long-standing heritage and ambition to ensure the highest standards from all members.

Propertymark is keen to see far-reaching regulation across the industry, helping to ensure there is universal confidence that any agent you choose to work with would be fully qualified, knowledgeable and legally bound by a comprehensive code of conduct aimed at protecting consumers.

Finding a property agent with security Member agents are committed to a comprehensive code of conduct surpassing legal standards, quality pledges and assurances required within the law. Choosing a Propertymark agent ensures an unrivalled commitment to utmost professionalism and peace of mind. It also provides added assurance through access to various protections and recourses in case of concerns.

WRITTEN BY Nathan Emerson CEO, Propertymark

Beyond virtual tours: why digital twins are the future of real estate marketing

WRITTEN BY Natalie Lamb Managing Director International, Matterport

While the past two decades have witnessed profound technological disruptions that have reshaped virtually every industry, the real estate sector has largely preserved its traditional approach to property marketing that’s riddled with inefficiencies and hidden costs.

Digital twins transform property marketing

Digital twins capture and replicate a space in immersive 3D. These photorealistic, dimensionally accurate digital renderings help serve as comprehensive marketing tools for real estate agents, offering a competitive edge to attract more qualified buyers, expedite transactions and increase rental bookings — but they go well beyond a virtual tour.

Digital twins can also provide agents with critical details that traditionally require several site visits and tedious manual work — from measuring every room to manually entering MLS data and even producing high-quality 2D photos.

All of this can be done from a single digital twin, vastly reducing the time spent preparing a home for the market while making it even easier to stand out.

Data is the new currency

Amid affordability issues and inventory shortages in real estate, agents seek digital solutions to streamline processes and cut costs. The ‘digital twin’ can save time and money in this dynamic market.

understanding of a property. This data can enable things like side-by-side property comparisons to better evaluate homes, such as examining square footage of popular living spaces, comparing ceiling heights or even evaluating more complex subjects, such as the brightness inside a home.

With a wealth of information just seconds away, buyers can make decisions with confidence while providing sellers with an effective way to attract more qualified buyers to their property.

AI revolutionising property management

Today, AI is already revolutionising property management with instantly accessible measurements and layouts of a space to help property managers quickly identify cost requirements for renovations, make space planning more efficient, as well as import data into other tools for analytics.

Beyond the virtual tour, digital twins collect billions of data points that can be leveraged to inform greater understanding of a property.

In the past, real estate decisions were largely based on intuition and experience. Today, comprehensive datasets on property prices, demographics and market trends are now at the fingertips of realtors; and digital twin technology is the next frontier, offering detail into properties that were never previously accessible.

Beyond the virtual tour, digital twins collect billions of data points that can be leveraged to inform greater

In the future, generative AI will transform how people envision a home, helping homeowners, designers and property managers reimagine a physical space with automated virtual interior design and staging, including making recommendations for how to optimise the use of these spaces.

Better property viewing and transaction experience

Digital twin technology is an easy way to take property marketing efforts to new heights. As younger buyers continue to enter the market, expectations for a seamless and immersive online experience will continue to grow.

Given the tremendous technology advancements available today, the real estate industry is ripe for broad disruption that will transform how people buy, sell, rent and manage their properties online and from anywhere in the world.

Future of Retail & Ecommerce

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12 - 16

WRITTEN BY Tina McKenzie Policy Chair, Federation of Small Businesses

Making the VAT threshold fit for growth in modern small businesses

Navigate VAT thresholds and tax challenges for UK small businesses. Find strategies for financial and economic success today.

Watching your business thrive brings personal and financial fulfilment, motivating further growth. However, in the tax system, there’s a crucial juncture where the journey can become tough: the VAT threshold. Beyond this threshold are additional costs and administrative burdens.

Raising the VAT threshold

In the Spring Budget, the Chancellor raised the level at which VAT kicks in for the first time in seven years, taking the threshold from £85,000 turnover to £90,000. This is welcomed, resulting from extensive campaigning by the Federation of Small Businesses to get the threshold increased, given that inflation has brought increasing numbers of small firms and selfemployed people to the brink of the VAT precipice.

However, many small firms have surpassed that and had to accept the additional 20% tax they need to charge their customers and the average one week per year of additional paperwork for the tax authorities. In fact, 2.7 million businesses are registered for VAT in the UK.

How VAT threshold negatively impacts businesses

For those coming close to the threshold, many are tempted to pull in and consider holding back

their business a bit to avoid getting dragged into the VAT system. At a time when growth is much-needed in the economy, an element of the tax system, which disincentivises thousands of small firms from growing, requires greater change.

It cannot be right that a family-run fish and chip shop is staying shut two days a week for fear of revenues crossing into VAT territory and having to charge customers 20% more for their haddock and chips, nor that the owner of a small B&B should have to refuse bookings towards the end of the financial year as they stare at their annual revenue teetering towards the threshold. These are real-life examples.

Incentivising small firms with VAT adjustment

To make it less daunting, there should be some phasing when your revenue first reaches the VAT starting point — a discount or rebate for those whose revenue is within the first £20,000 beyond the threshold, for example. The threshold should also be linked to inflation so that firms aren’t caught in its net simply because costs are going up.

Small firms will be the key to the UK coming out of recession and a return to economic growth. The tax system should encourage that. It’s time to get VAT moving forward.

Redefining local economies by adapting to new ecommerce and retail realities

Learn how local economies evolve amid ecommerce growth. Explore solutions and opportunities for businesses in the ‘Future of the Local Economy’ report.

Local economies play a powerful role in our daily lives. They impact how we live, work and spend our money. Crucially, they create a sense of community. As retail is transforming in response to consumer habits, local economies are changing. The impact of the ecommerce revolution is being felt in your villages, towns and cities. Act now to help businesses facing challenges and harness abundant opportunities.

Rethinking urban space beyond retail shops

High streets were traditionally the beating heart of local economies where retailers had to be. However, that’s no longer the case, as ecommerce grows. In reality, there is too much retail space in many towns and cities; research by retail body Revo indicates that 40% of shops require repurposing in the next five years. Shops are no longer the primary reason for people visiting our urban centres. Instead, food and drink, culture and housing are as important.

Adapting local economies to digital retail Alongside the high street challenge, retail digitisation has also provided opportunities for local economies. Some of the biggest beneficiaries of the growth of online shopping and business transactions have been SMEs and microbusinesses.

The ability of a one-person microbusiness operating from somebody’s dining room to sell and transact with customers both nationally and globally should be celebrated and appreciated. From an economic perspective, these are irreversible changes. The crucial question is: how do local economies adapt to these changes?

How to empower modern local economies

At the British Chambers of Commerce, we’ve recently published our ‘Future of the Local Economy’ report, which identifies some practical ways forward. Among the report’s recommendations are: devolving more power to regional and local government; accelerating the rollout of digital infrastructure; improving the planning process; and expanding bank hubs.

The future of business taxes in a digital age is clearly an ongoing debate. At the BCC, we’ve consistently said that the current business rates system needs reforming. Over a quarter of companies (26%) told our latest survey that they had changed investment plans because of business rates.

Our communities will look very different in the coming decades; it’s crucial that businesses lead that local transformation. Our high streets may be changing, but retail and, now, ecommerce have vital roles to play in that transformation.

WRITTEN BY Jonny Haseldine Policy Manager at the British Chambers of Commerce

WRITTEN BY Mauro Carobene Head of Customer Interactions Suite, Tata Communications

Revolutionise retail with CPaaS to boost loyalty and customer engagement

Learn how CPaaS solutions are revolutionising the retail and ecommerce sectors, offering businesses effective tools to bolster customer loyalty while reducing cart abandonment rates.

Paid for by Kaleyra

In today’s crowded retail landscape, sending customers the right message at the right moment is a critical differentiator. CPaaS (Communication Platform as a Service) is cloud-based communication technology that allows retailers to engage with their customers in real-time across multiple channels like email, SMS, WhatsApp and more. By reaching customers on their preferred channels, retailers can improve the customer experience, enhance loyalty and reduce cart abandonment.

Unlocking customer engagement with CPaaS

Incorporating a CPaaS solution into retail and ecommerce strategies opens up a realm of possibilities for enhancing customer engagement. Modern communication platforms give customers the ability to interact with the brand in real time. Engaging communication makes a critical difference when customers are shopping online, choosing between limitless options.

Customers can choose their preferred language and communication platform for easy interaction with a business, offering complete flexibility. Notifications such as shipping updates, which were once a ‘nice to have,’ are now expected among customers.

Streamlining communication channels

interactive buttons, file sharing and more, it has emerged as the preferred platform for many shoppers.

Personalised experiences drive loyalty

By leveraging CPaaS capabilities, retailers can deliver personalised experiences tailored to individual customer preferences, fostering long-term loyalty. Customers can opt-in to receive deals, loyalty programmes and product demonstrations or even leave feedback or reviews. Simply including a customer’s name or celebrating them on their birthday makes a huge difference in how attached someone feels to their favourite brand.

Combatting cart abandonment

Businesses can customise their communication channels based on their budget, target audience, marketing strategy and more.

CPaaS empowers businesses to streamline communication channels, allowing for seamless interactions across various touchpoints; and they can connect with a diverse, global audience. This not only improves the customer journey but also improves efficiency in internal communication.

Businesses can customise their communication channels based on their budget, target audience, marketing strategy and more. By conducting tests of their customer base, they can understand which channels are most effective for different demographic groups. For example, some generations may still prefer to receive discounts via email while others are engrossed in WhatsApp for their day-to-day communication.

Businesses can harness the WhatsApp Business Platform’s capabilities for more engaging customer interactions. With

CPaaS tools are invaluable in combatting cart abandonment. From offering realtime help via Chatbot to sending an SMS reminder or discount when a cart is left with items, sending the right message at the right time makes a massive difference. The average cart abandonment rate across all industries is 69.57%, and this is even higher among mobile shoppers.1 Abandoned cart reminders can reduce lost sales by 14%2 with some clients seeing results as high as 50%.

The results are even stronger when you consider platforms that can send shoppers directly back to their cart with a link. Digital communication makes it easy for shoppers to keep their items top of mind and return to their cart, and adding a discount makes the offer even more enticing.

Easy way to connect with customers

With CPaaS, businesses can build real-time communication strategies and features without having to develop them from scratch. It’s a simple way to personalise interactions for ease and speed. It’s suitable for businesses of any size, saving them time and resources while keeping customers updated and happy.

References 1. Sleeknote 2. Shopify

Find out more at kaleyra.com/ contact-us/

WRITTEN BY Hannah Munden Marketing Manager, LINK Mobility

Clicks and mortar: how to boost customer engagement with mobile messaging

Personalisation, conversion and affordability — why AI is worth the buzz

WRITTEN BY Andy Mulcahy Strategy & Insight Director, IMRG

Unlock the power of mobile messaging for your retail brand. Engage customers where they are and enjoy ROI-boosting results.

Beyond just buzzword status, the world of retail is facing blurred lines between physical and digital experiences that both engage customers and attract ROIs for brands. However, there’s no reason why success can’t be enjoyed in one, or both, where needed.

Impressive engagement with convenient mobile marketing

Success simply revolves around one concept: convenience. Make yourself accessible to customers, and they’ll find it easy to engage with you. Better yet, make it personal and compelling, and they’ll keep coming back.

As a marketer working in business messaging, I see just how impressive mobile messaging can be. Gone are the days of plateauing email read rates. Brands are speaking directly into the hands(sets) of consumers on their mobiles and through apps they already know and love.

Take the popularity of WhatsApp, for example. Used by over 2 billion people worldwide, the accessibility of verified business accounts, videos, images, gif sharing and much more has brands revelling in its possibilities. We’re also seeing Rich Communication Services (RCS) messaging — great technology only Android users currently enjoy — gain momentum, with Apple hinting they’ll be jumping on the RCS bandwagon soon, too.

How can messaging solve engagement problems?

You’ve jumped your first hurdle when you reach customers in ‘their space.’ Think how often you check your messages per day, maybe double that number to be realistic. The immediacy of text messaging is mind-boggling. Statistics show that messages are likely to be read within just three minutes of receipt.

So, you’re in front of your customer, you’ve got rich media capabilities to entice desired CTA clicks; the possibilities are truly endless. What’s next? We’ve seen brands send humble sales promotions with store location details, right up to original influencer campaigns — not to mention ROIs of 9:1 with 80%+ engagement.

How to use impressive tech and get noticed

There’s no need to reinvent the wheel, your messaging simply needs to reflect your brand’s existing strategy. New tech shouldn’t be daunting. Solutions backed by service-first teams, like ours, effortlessly integrate with your CRM or operate as standalone browsers for uploading, designing and sending; just as you’re likely familiar with already.

AI in ecommerce may avoid the fate of past tech trends due to its potential for clear customer utility, which distinguishes it from previous innovations.

Ecommerce, once hailed as retail’s future, now faces turbulence amid macro events. Following the pandemic boom in online sales, revenue declined in both 2022 and 2023, with IMRG forecasting 0% growth for 2024. What’s more, January started with -7% year-on-year, so growth could turn out far worse overall.

Turning towards AI tech

Ecommerce soared in popularity until 2019. Customers became highly dependent on the convenience of doorstep delivery for nearly all their needs. The pandemic turbocharged this growth to unsustainable levels. Coupled with rising living costs, buyer hesitancy surged, leading to two years of consistent industry decline.

In recent years, various tech has been touted as the answer to these declines including voice activation, the metaverse and AR, to name a few. Each of these has merit, though none have made any notable headway.

However, with AI, the end goal is clearer. Retailers have talked about offering hyper-personalised experiences for years; AI integrated into the platforms they use promises to make it a reality.

Demand for personalisation

In recent IMRG research1 that surveyed the opinions of 1,000 UK respondents, personalised experiences were considered ‘important’ by over 86% of respondents. There are numerous ways to infuse personalised experiences on websites.

However, among the most important are live search, which automatically filters and ranks products (42%), automated product recommendations (35.7%) and an automated live chat to answer queries immediately (32.8%).

Furthermore, 75% felt personalisation made them feel more loyal to brands. By personalising content to reflect customer preferences and making them feel valued, AI offers genuine promise in enhancing revenue metrics including conversion rates, spend and purchase frequency.

Getting around the expense of AI

Knowing the turbulent state of the online market, highly intelligent and complicated forms of AI on retailers’ websites may be too expensive to implement. Promisingly, there are plenty of affordable ways to personalise the online experience. One core element of personalisation is creating human-like interactions. Effective ways to offer this cheaply include making language more direct and personable across all channels, implementing a loyalty programme to establish a community and experimenting with an array of free/ cheap AI tools.

Retailers can also optimise customer data and segment their customers based on shopping behaviour and purchasing patterns. Subsequently, they can send more targeted emails and personalised campaigns, helping boost conversion. AI may well prove worth the buzz.

References

Smart spend management software also equips finance teams to automate or semi-automate part of their workload using machine learning and artificial intelligence.

How smart spend management elevates SMEs

During economic downturns, businesses must enforce discipline in all areas, particularly finance.

Over the past couple of years, this has translated into intense scrutiny of spend and budgeting.

WRITTEN BY Sam Hewes UK General Manager, Moss

Paid for by Moss

Anew wave of smart spend management tools provides cross-functional capabilities that allow SMEs to control their costs more effectively. This provides an exciting opportunity to streamline a range of internal financial processes while saving precious time and money.

Gaining control over spend

As companies have become increasingly complex, so too have their costs. Finance teams are faced with a web of transactions, spread across different departments, projects, timeframes and accounts. This raises all sorts of issues for budgeting, reconciliation and monthend closing.

Spend management tools tackle this on multiple fronts. Smart corporate cards can be issued for specific departments, projects or even employees. Each card can be set with custom budgets, spending rules and expense approval flows. Companies get direct control over exactly how

money is spent, and where it is going, eliminating a huge amount of uncertainty in business planning processes.

The wealth of data provided by smart spend management tools is essential for developing better financial insights.

Automated finance is a partner, not a threat

Smart spend management software also equips finance teams to automate or semi-automate part of their workload using machine learning and artificial intelligence. This saves time and money by effectively outsourcing work to the software itself.

This has naturally driven fears about data security and finance jobs becoming obsolete. However, automated finance tools are perfectly

poised to enhance finance roles — not replace them. For example, Pay.UK estimates that SMEs spend, on average, 3.4 hours a week manually reconciling payments. It is precisely these repetitive tasks where automation excels; not only are automated systems more accurate but they’re also much quicker.

Better decision-making

The wealth of data provided by smart spend management tools is essential for developing better financial insights. Expenditure can be tracked by card, project or individual budget item, and then fed to accounting software via direct integration. This is a step change over conventional payment methods that lack real-time, granular spend data.

At Moss, we’ve developed a suite of spend management and accounting tools specifically to help SMEs and their finance teams work more effectively. We help businesses reduce their finance workloads, improve their financial decision-making and free up time for more valuable work.

A smart ordering platform helps FMCG brands reach thousands of new trade outlets

An innovative app brings together brands, wholesalers and traditional trade outlets to grow sales and profits through increased data visibility all along the distribution layers.

INTERVIEW WITH Bertrand Bastien New Business Ventures Director - EB2B, Pernod Ricard

WRITTEN BY Mark Nicholls

More than half of fast-moving consumer goods (FMCG) businesses rely on sales generated by traditional trade outlets. Pernod Ricard decided to build a new venture, helping brands from any company to increase their reach in this universe while helping wholesalers and traditional trade outlets grow.

Data unlocking additional sales and profit Easy24 uses the order process between traditional trade outlets (mom-and-pop, pubs, restaurants, etc.) and their favourite distributor to offer data-driven insights and visibility options to FMCG brands.

Figures show a +3% to +7% profit increase for brands, a +25% increase in purchase frequency and a +10% increase in average baskets from wholesalers to trade outlets. From optimising pricing through real-time tests or automating personalised recommendations, the app turns the ordering process into business benefits for all. Transactions worth over 200 million euros have gone through the platform in just the last 12 months.

Smart ordering app open to all brands

Pernod Ricard created this onestop-shop ordering app, aiming to help the different layers of the FMCG distribution industry to better leverage data and AI.

Bertrand Bastien, New Business Ventures Director, explains that the Easy24 app is available to all. “It allows wholesalers and trade outlets, such as mom-and-pop or pubs, to automate low added-value tasks while benefiting from data-driven recommendations.

to wait for the call centre to open or the distributor sales rep to visit,” adds Bastien. “Now, they can place the order right away, make fewer mistakes and get AI-powered recommendations on assortment.”

Trade outlets can also be made aware of available promotions and place their order however they prefer (voice message, written note, app order, etc.). Meanwhile, it goes instantly to their distributor.

Now, they can place the order right away, make fewer mistakes and get AI-powered recommendations on assortment.

“Let’s take the example of a bar owner. When they close the bar, say, at 3 am, they can see what they are missing in their stock; but to re-order, they need

Big ambition to go further

Launched in Mexico in 2020, and expanding into four more countries, Easy24 received hundreds of favourable reviews, following consultations with the trade.

“They all mention the added value, business creation, plus the ability to reach more customers and better serve their customers while leveraging and managing data,” adds Bastien. The user-centric app is live in Mexico, Colombia, South Africa, Spain and Singapore, with plans to extend its footprint.

Find out more at easy24.app

Paid for by Pernod Ricard