BiziNet Magazine Issue #81 - Sep-Oct 2016

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SYDNEY - ISSUE 81 | SEPTEMBER - OCTOBER 2016

TRADING PLACES – DOES IT REALLY WORK WHEN A COMPANY IS INSOLVENT?

Protect Your IP

Page 20

How to Create a Happy Productive Workplace Page 22

Page 24

Robbert Rietbroek-

Reaching for Greatness BiziNet Magazine

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BiziNet Magazine Distribution Key locations for a free pickup MACQUARIE BUSINESS PARK Avenida Cafe Westpac Bank Cafe Pinnacle Glasshouse Just Catering Ellate Coffee Bar Presse Cafe

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Editor and Publisher: Dmitry Greku Cover Story A. Charles Smith Contributing Writers: Steven Brown Bruce Gleeson Rebecca Cushway Steve Sebbes George Mavros Bruce Mott Eric Tjoeng John Glover Farrukh Mirza Art Director: Svetlana Greku Cover Design Elvira Cherry Executive Officer: Daniel Moisyeyev Associate Editor: Craig Hingston

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BiziNet Magazine is published by GWP Media® ABN: 82 096 352 064 www.bizinet.com.au

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Copyright GWP Media® 2016.

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The opinions expressed in this journal do not necessarily reflect and are not to be regarded as the official opinion of the editor, publisher or their agents. All information contained within this journal is provided for general information purposes only and on the understanding that none of the content herein constitutes professional advice. The editor, publisher or their agents accept no responsibility for any claim, loss or damages arising out of or in connection with any materials contained in this journal. Readers should not rely on the publications in the journal and seek appropriate professional advice in respect of their own circumstances.


Contents Cover Story

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Robbert Rietbroek Reaching for Greatness A. Charles Smith

Regulars

08

EDITOR’S LETTER

Networks of Business Champions Dmitry Greku

21

BUSINESS SNAPSHOTS

20

BUSINESS ADVICE

Trading Places – Does It Really Work When a Company is Insolvent?

22

How to Create a Happy Productive Workplace

24 28

Protect Your IP

Rebecca Cushway

Steven Brown

BLOCKCHAIN

A Smart Business of Today and Tomorrow - Business Growth and Exit by Design Eric Tjoeng

Live Long and Prosper: Is Your Business Ready for ‘The New World of Work’ John Glover

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SELECT OZ

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How to Make Outsourcing a Strategic Pillar of Your Business Success

Mindset - It’s Where We All Start to Succeed or Fail George Mavros

Delta - Delight in Flight

Steve Sebbes

Craig Hingston

Bruce Gleeson

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10 Simple Ways to Dress for Success

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Sports, Business, Community...

Farrukh Mirza

Bruce Mott

Features

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The Eagle Has Landed

30 35

Blockchain Smart Cities and You

Craig Hingston

George Mavros

Top Western Sydney Businesses Announced for 2016

Watch More @ bizinettv.com.au

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Introducing Our Contributors

Bruce Gleeson

Eric Tjoeng

George Mavros

Bruce Gleeson is a Registered Liquidator and Registered Bankruptcy Trustee with approximately 20 years experience in assisting SMEs and individuals in financial crisis. He is a Director of Jones Partners Chartered Accountants. As an Insolvency Practitioner he believes it is vital that stakeholders (particularly directors and individuals) get the right advice from qualified professionals on the options available to them. Bruce is passionate to ensure that directors / individuals throughout the Greater Western Sydney area have access to quality advice and solutions.

As an MBA qualified leading Business Strategist, Business Acquisition, Business Growth and Exit Specialist, Eric’s passion is to help businesses achieve their goals by being part of the team and bringing in independent views and expertise to complement the SME team to produce exceptional outcomes cost-effectively. Eric has an enviable track record in helping businesses to achieve outstanding results through a unique combination of skills, knowledge, experiences, insights and creativity in fine tuning the Business Strategy, providing Financial Road Map, improving the Target Marketing and Sales, Financial control, Human Resources and Operation Management.

George Mavros – Has been in Sales Marketing and Business consulting for more than 35 years. He has helped many organisations take commercial advantage of new and developing technologies or market trends, whilst at the same time saving them from spending money on market segments that were in the process of disappearing. George started looking seriously at Smart City developments in 2006 due to his involvement in the patent and technology segments of the market place. He is one of the founding members of the ParraConnect committee established by Parramatta City Council.

jonespartners.bizinet.com.au

Bruce Gleeson p | 02 9894 9966 www.jonespartners.net.au

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bges.bizinet.com.au

BGES Pty Ltd p | 1300 87 78 78 www.BGES.co

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georgemavros.bizinet.com.au

ETSI Consulting p | 0408 621 736 e | george@etsi.com.au www.etsi.com.au

Rebecca Cushway Rebecca Cushway is a Registered Organisational Psychologist and the Managing Director of Careers Excelled since 2005. Being about to support individuals, teams and organisations to create engagement, positive culture, develop their leaders and people is not only a passion for Rebecca but a privilege. Rebecca has 20 years experience as a psychologist, consultant and manager. Rebecca has worked with corporate and government clients, SMEs along with individuals and EAP programs over her working career.

careersexcelled.bizinet.com.au

Rebecca Cushway p | 02 9899 9674 e | Rebecca@CareersExcelled.com.au www.careersexcelled.com.au


Bella Vista Business Alliance BAF When:

7 September 2016

5:30 - 7:30pm Where:

The Hills Lodge

BVBA Coffee Morning

When:

AmCham GWS Breakfast

20 September 2016

When:

10:00 - 11:30am Where:

21 September 2016

7:30 - 9.30am

Telstra Business

Where:

Novotel Parramatta

Castle Hill

Centre - Bella Vista

Cost: $105

Cost: $50

Cost: Free for first visit

Contact: 02 8031 9000

Contact: 1300 889 132

Contact: 1300 889 132

amcham.com.au

bellavistabusinessalliance.com.au

bellavistabusinessalliance.com.au

BVBA CEO Lunch

When:

5 October 2016

10:00 - 11:30am Where:

The Hills Lodge

Parramatta Chamber Breakfast

Ryde Forum Business After Hours When:

10 October 2016

When:

5:30 - 7:00pm Where:

17 November 2016

7:00 - 8:45am

Optus Auditorium,

Where:

University of New

Castle Hill

1 Lyonpark Road, North Ryde

England Future Campus

Cost: $115

Cost: $40

Parramatta

Contact: 1300 889 132

Contact: 02 9952 8498

Cost: $25

bellavistabusinessalliance.com.au

www.rydebusiness.com.au

parramattachamber.com.au

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EDITOR’S LETTER

Networks of Business Champions

Dmitry Greku, M. Sc., Editor and Publisher - BiziNet Magazine

I would like to share my personal experiences and possibly help you to make the right choice. Recently, I was invited to commission and run the AmCham (American Chamber of Commerce in Australia) GWS Chapter. My experience with AmCham couldn’t be better. We have registered a brace of new GWS Members. Guest speakers have filled our functions with an impressive array of people and company executives. What I am seeing is exceptional for the region. AmCham members are very supportive and our Bella Vista Business Alliance membership is making a seamless transition to the stronger and more influential combined unit. The dynamism in these developments comes in large measure from the personalities. In the embryonic days of my business, I remember suggestions from coaches – Do it like PepsiCo! Well, we have the man at the helm of that billiondollar company, one of the largest in the world, CEO for Australia and New Zealand, Robbert Reitbroek, who was speaking about marketing at the AmCham GWS inaugural event. Making Robbert especially impressive is his uncanny ability to discuss PepsiCo and the challenges of running the operation as if it's an everyday business. That's what makes him so successful. Yet this is not a man who

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has put his cue in the rack, luxuriating on past achievements of PepsiCo. Rather, he has to think, as we always do, about product improvement, innovative market badging, re-badging, garnering strong teamwork and business issues so close to us all day-to-day. On the topical ‘innovation front’, we have just developed a new segment in BiziNet – AmCham's Select Oz. This Section will promote AmCham Members especially the most proactive part of the Membership. AmCham's Select Oz is for companies doing business internationally, planning to do business internationally and ready to service those two categories providing products and services.

products and services, some of which you haven't even contemplated. Don't wait, talk to us and make the right decision. You should treat your networking and marketing dollar right, spend it wisely and on imminent business growth that can actually provide and deliver. Have a great day and take care of yourselves and your clients. G

We are talking about a one trillion dollar exchange annually between the USA and Australia, including some substantial extra which doesn't belong to the international trade and consumed locally. This Section brought us to another idea. That was to start sending quantities of BiziNet to all Australian trade representations in the US, all US trade representations in Australia and some American and Australian Chambers of Commerce. These will allow us to place our Members on the frontline of Australia-US trade. We have more outstanding news and developments to come in Bella Vista Business Alliance and the AmCham GWS. I know the membership of both will provide your business opportunities to grow, will connect you to the right people and create new markets for your

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e | editor@gwpmedia.com.au


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PROUDLY PRESENTED BY

GWP MEDIA

by A. Charles Smith

I am listening to a man who would make anyone preparing for the biggest audition in his career forget what he was doing in the chair outside the studio, such is his capacity to put a stranger at ease. Can anybody be such a charming conversationalist and yet still carry his burden of responsibility every day of each week? Apparently ‘yes’ as Robbert Rietbroek, Chief Executive Officer at PepsiCo Australia & New Zealand tells of his life in that role and many others leading to it. Persuasion is not the love-child of indoctrination. Nor does education instil wisdom for the ages, as we were once reminded by the great English polemicist, G.K. Chesterton, Quis docebit ipsum doctorem? Who teaches the teacher?

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BUILDING INTERNATIONAL CONNECTIONS

Robbert Rietbroek-

Reaching for Greatness BiziNet Magazine

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PROUDLY PRESENTED BY

GWP MEDIA

PepsiCo Australia & New Zealand Executive Leadership team That is not to dismiss Robbert’s Master’s degree from the Maastricht University School of Business and Economics in 1996. Undoubtedly, it gave him a start. Academia apart,

the signs were manifesting themselves. At university, he was President of a student association. Leadership potential there, thought one of the talent scouts from the great Anglo/Dutch Corporation Unilever, who spotted him early and offered an internship. But it was Procter and Gamble (P&G), realising that this guy had the sort of potential to blend comfortably with their ethos, who took him into their world. “They invested time in me, coached, uplifted and guided me. Leaders in industry must do that. It was unbelievable, the people were phenomenal, the professionalism, the ethics, the morality.”

Robbert Rietbroek and Kubica Guevara Koo at AmCham’s 4th of July celebration

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In sixteen years at P&G, he worked in Brussels, Belgium; Rotterdam, The Netherlands; Geneva, Switzerland; Caracas, Venezuela; and on three separate occasions in Cincinnati, Ohio, United States. Each time in roles of increasing responsibility and complexity. So, did this intellectual pedigree derive

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solely from parents who gave him a solid middle-class upbringing in Holland? That a stable background helps is irrefutable. Yet from the cradle to school and beyond, intellectual development does not evolve solely by the application of the parental radar and in his progression through adulthood he has made his own mark. “Before University, I attended a public school. My father, a brilliant athlete, went on to an academic career attaining professorial status in psychology and physical education. My mother taught English to high school pupils and Dutch to adult immigrants.” He was at P&G for nearly five years inculcated into leadership development, a prime focus of that corporation. Robbert worked in the Belgium, the Netherlands, Luxembourg section focussed on laundry detergents and baby care based in Rotterdam. Then along came the offer of an expatriate assignment. Three destinations were offered. Ahead of Geneva and Cincinnati, of all places, Robbert chose Caracas, Venezuela. He saw the assignment as no one else did. It


BUILDING INTERNATIONAL CONNECTIONS was a smart move. “This experience shaped me more than any other to that time and in the years ahead. It was tough and uncompromising but rewarding because of the challenges the situation presented” There his management skills were tested, his mettle honed. A military coup, instability, personal risk, volatility, currency fluctuations were meat for the grinder. This was a business that had to be managed under crisis conditions. During his assignment responsible for the ‘Andean’ region,, Peru brand market share doubled on his business and it was the entrée for a summons to Cincinnati, P&G’s corporate headquarters. “All I can say is, what an experience for a Dutch guy and what an honour for me.” There he ran a brand franchise for emerging markets. He was charged with the responsibility of building the business. “It was a job where I was always travelling and so I became known as the ‘Flying Dutchman’, constantly on the go to locations such as Egypt, Russia, Thailand, Brazil and China.” In China he toured the provinces to ascertain what it would take to make the brand accessible to lower income Chinese families. Robbert was in Cincinnati for two years, his efforts earning a promotion to business unit director, for Baby, Feminine, and Family Care in the Benelux region, in late 2004 and based in Brussels. During this time in Europe, Robbert was instrumental in developing a partnership with UNICEF in Belgium, starting in 2004. By this joint undertaking, for every pack of nappies sold, a free Vaccination was given to a child in need. It was considered the biggest commercial innovation of its time and it leads him to reflect on the company’s progression parameters.. “P&G operated on a code whereby if executives delivered (up), advancement became the concomitant return.

“We needed to connect the pipes with P&G,” Robbert offers matter-of-factly, the corporate metaphor beguiling this novice. It was a merger that resulted in successfully bringing together the oral care brands of both companies. “This was an efficacious product, combining a great toothpaste with the best toothbrush,” he says in understated tones. Oral health was and remains a challenge all over the world.” He adds that the most satisfying aspect of the oral care success was an absolute conviction that lives were being touched and improved by the product. In 2008 he moved to Geneva with his wife and two daughters. From there, he ran the P&G Oral Care operation in the CEEMEA region, which included countries such as Russia, Poland, Turkey, Kazakhstan, and the Middle East including Lebanon and Egypt. “We had the architecture in place. There were seven brands, and seven product forms, including toothpaste, brushes, floss and power brushing. The relocation coincided with the global financial crisis which in turn imposed its own challenges.

Robbe r in Mos t Rietbroek cow

“This situation first and foremost required restoring healthy structural economics. Quite simply, bills had to be paid, amidst currency devaluations and market chaos.” Robbert credits the Caracas experience as serving him well at a fractured period, underpinning decisions. There was much travel during this

Consistent with that tenet, in 2006 Robbert went back to Cincinnati where he helped enable the P&G merger with Gillette’s oral care business. It was then the largest consumer products acquisition in history.

Robbert Rie tbroek

g k in Beijin Rietbroe t r e b b o R

Robbert Rie tbroek

in Texas

Egypt tbroek in ie R t r e b Rob

in Paris

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GWP MEDIA In July 2012, a senior position at KimberlyClark (K-C) beckoned. K-C is one of the largest corporations in the world producing and marketing baby care, hygiene and paper products.

Robbert and his family moved back to the USA where he subsequently became a Director in the global franchise unit for oral care at P&G, by then a world leader in brand building. At the end of this assignment he’d had sixteen years in the corporation and he decided it was the right time to move on.

“I’ve always grabbed at opportunities, often without a full picture of where they would take me.” They moved to Dallas, Texas in 2012.

Robbert Rie tb Sydney 2015 roek at the UNSW inn ovation Sum mit,

time and then came short assignment where he helped lead the due diligence on the creation of a joint venture with Teva, an Israeli company, involving over-the-counter health products.

He became a company officer of K-C, and held the role of Global Sector Leader and Vice President of K-C’s baby & child care sector, being responsible for leading brands including Huggies, Pull-Ups, Goodnites, Little Swimmers, and DryNites both in the US and around the world. It was August 2013 when the family moved to Sydney, Australia and Rietbroek was appointed CEO and Managing Director at K-C Australia and New Zealand. He had already helped K-C articulate the strategic ‘choices for global Baby & Child Care, identifying the right markets, product forms, technologies and channels to bet against. “We had put together the plan after which I then made a lateral move to the ANZ Managing Director role.” Overseeing K-C’s operations in Australia, Rietbroek had over 1200 employees including those at the Millicent paper mill in South Australia and the Ingleburn baby care factory in Sydney. “I was heading up marketing, manufacturing, sales and finance. K-C’s team became a top tier supplier of Australian and New Zealand retail partners during my time there, as measured independently by The Advantage Group. Market share grew on the majority of brands in 2015.” Growth aside, one crowning achievement for his team in his two and a half years with K-C ANZ was the local operating company winning the inaugural Award for a Cleaner Environment awarded by, Federal

Robbe (Peps rt Rietbroe iCo A grono k with Bret tP mist), Bathu emperton rst, N SW

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Environment Minister, Greg Hunt, and the “Love Your Forest” campaign in partnership with WWF Then another shift when the PepsiCo Corporation recruited Robbert across in November 2015. With a worldwide presence and over 250,000 employees, it is an exciting challenge. He became CEO for Australia and New Zealand steering a team across four manufacturing sites making, selling and distributing a diverse portfolio of food and beverage products. “The ANZ business is an incredible mix of consumers’ most loved global and local snack and beverage brands, highly developed agricultural and R&D expertise, customer-centric sales and marketing capability, local manufacturing capability and an efficient distribution system.” Successful brands include Pepsi, Pepsi Max, Gatorade, Mountain Dew, Smith’s, Red Rock Deli, Doritos, Twisties, Nobby’s, Cheetos, Sakata, Bluebird Snacks in New Zealand, and various other local and global brands. Smith’s, the iconic Australian brand continues to be the ‘original and the best’ potato chip on the market for the past 85 years. While maintaining the legacy of the local business one of the focuses of his stewardship has been amplifying external partnerships. “We have partnerships with the Australian Football League with both Gatorade and Smith’s. In 2016, Gatorade became the official “Hydration Partner” for the legendary NZ’s All Blacks rugby team. More recently the team also partnered with the Perisher ski resort, Gloria Jean’s Coffee and P&O Cruise Ships in Australia and New Zealand who now exclusively pour Pepsi.” PepsiCo has made great strides in improving nutritional outcomes on their products, delivering more better-for-you choices such as sugar-free beverages and reducing sodium content across its snack portfolio. PepsiCo prides itself in providing a wide range of snacks and beverages from treats to healthier eats. It’s all part of what PepsiCo calls Performance with Purpose – delivering top tier financial performance while creating sustainable value for all stakeholders. It’s this philosophy that attracted Robbert to PepsiCo. He had always aspired to have an international career and in Rietbroek’s world as it enveloped him, experience taught more profoundly than any theoretical construct. He particularly lauds the influence others have afforded him.


BUILDING INTERNATIONAL CONNECTIONS “The skill-sets of people I’ve met and have had the chance of working with have been truly amazing. Talent tends to rub off on you and you are who you know.” Giving back becomes his repertoire too. He is never short of a word on how to teach leadership and dynamism. “Very simple, really, just follow five basic steps – Envision, Enable, Energise and Inspire, Engage your stakeholders and Execute with excellence.” I pause to take in the catchy, ring but he is irrepressible on this topic. “Knowing what defines leadership, you appreciate what you have to do when going to work each day. Leadership is a journey, not a destination. Be a force for good, not a detractor. Every day one has to aspire to be better than the previous one.” He speaks enthusiastically about using digital platforms and even old-fashioned town halls to get the message across. “You have to communicate. There’s a power in communication. We need to overcommunicate, taking our stakeholders and our customers on a journey. It’s an example of ‘reaching for greatness’ by being the best we can be, taking big and bold decisions, making a difference.” Being a Senior Vice President of the PepsiCo corporation and part of the global top management of one of the largest foodand-beverage companies in the world is an enormous responsibility. Its global status did not happen by accident. “We don’t like mediocrity. When you join PepsiCo, you want the best. There must be a sense of duty, service to the company. If you think it’s all about you, then you won’t get very far. People quickly notice that.” “Our role as a manufacturer is simple. We need to deliver the strongest brands, superior consumer preferred innovation, and exceptional customer service.” He speaks of the company’s aims to build stronger brands utilising commercial associations with celebrities and sporting teams.

for the American Chamber of Commerce (AmCham) in Australia, as well as a Director on the board of the Australian Food and Grocery Council, where he chairs Australia’s Health, Nutrition, and Scientific Affairs committee. He is especially enthusiastic about the Greater Western Sydney (GWS) initiative in partnership with the American Chamber of Commerce, reminding us that AmCham is one of oldest international chambers of commerce and the biggest in Australia. Robbert sees AmCham as an incredible mission, garnering people, leadership and governance, an outstanding multi-industry group delivering the very best educative programs. “GWS is the nation’s fastest economic growth area. We need to utilise this area’s potential, as well as attract younger members so as to bring dynamism and exuberance to AmCham. “I am proud to be part of AmCham. The future is bright for GWS with former US Ambassador and Consul General Niels Marquardt and Dmitry Greku combining to bring about this initiative. With its links to the US embassy, the Consulate-General in Sydney, the credentialing and widespread respect, AmCham will deliver to business in the area.” The slight accent reveals an American twang mingled with his Dutch heritage. He is fluent in five languages: English, Dutch, French, German and Spanish and has a wide appreciation of culture and diversity. “You learn so much from diversity across the board. One always gets further with a diverse group of people. That’s team-building, diversity of thought and the pathway to success.” Coming from Robbert Rietbroek, these are the vital ingredients of a life studded with success and it all bodes well for the future of Greater Western Sydney. G

“With regards to innovation there are no limits on innovation, we look at innovating our products, delivering cost innovation, domain expansion, as well as channel solutions,” he says with a visionary perspective. “And customer service to our customers must be the very best, delivering in full and on time, all year long.” Aside from his duties with the company, Robbert serves as a Director on the Board

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SELECT OZ

Delta - Delight in Flight Travel between Australia and the USA has become much simpler and more comfortable with a carrier dedicated to catering for the needs of time-poor business people. For nearly 9 years, Delta Air Lines has been connecting Australia to America. Now with joint venture partner Virgin Australia, the alliance offers 21 flights from Sydney and Brisbane to Los Angeles and on to the rest of the USA every week. With the ability to seamlessly connect from Melbourne and other domestic cities, flying to the United States becomes efficacious for all Australians. Experience has honed the Delta model to such a fine degree that you can step on a Delta Boeing 777 in Sydney, then move into a luxury experience that will prepare you to face any corporate challenge. Once on board the Delta aircraft from Sydney – LA, your encounter with luxury is limitless. Where does one start? It’s a visual feast that leaves you thinking, ‘Does it get any better?’ ‘Well, yes actually, now that you ask, it does’. Within the Delta One™ cabin, you are taken to a world of 5 Course dining, with international cuisine and classic wine accompaniments second to none, to say nothing of Delta professionalism. Flight Attendants are trained to make your comfort, needs and well-being their priority. They simply love what they do. Also welcoming you is an exquisitely appointed and sumptuous forward facing, direct aisle access, 180° full flat-bed seat adorned with Westin Heavenly bedding and accompanied with Delta’s new loungewear (pyjamas) and slippers. Delta understands the imposts on its business travellers. Guests have important meetings to attend, frequently within hours of arrival. That is why the service continues on the ground with access to the airline’s impressive Delta Sky Club®, providing shower facilities and recently improved menu options. Delta Sky Club® lounges are found in all major cities in the US. If you have a connection, the transition is uncomplicated and once in LA you can reach out to more cities in the United States than with any other airline.

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The loyalty guest programs are Delta SkyMiles and Virgin Velocity. There, travellers can earn or burn points, and acquire status on either program. Flying Delta and/or Virgin Australia earns you more points, including status points than on any other airline. On your return, a complimentary stopover awaits in Sydney or Brisbane on all corporate fares. The Delta and Virgin Australia Trans-Pacific experience once flown, is never forgotten. G

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PROUDLY PRESENTED BY FEATURE

GWP MEDIA

by Craig Hingston Photography Eden Connell

The Eagle Has Landed August 23 2016 will be remembered as an historic day when the eagle AmCham (the American Chamber of Commerce in Australia) landed in Greater Western Sydney. AmCham GWS was officially launched to a capacity filled room of excited guests from a wide variety of businesses and organisations at Waterview at Bicentennial Park. The AmCham’s CEO Niels Marquardt extended a warm welcome and commented on their desire to pro-actively connect with the business community of the Greater West. In an indication that AmCham GWS has definitely hit the ground running a number of functions were immediately announced which are to be held over coming weeks at Parramatta. The topics? Is your pitch attracting the clients you deserve? And, stimulating trade to the US. The latter would no doubt be a topic of interest for businesses in the Greater West seeking to engage in an easier form of export other than the Asian market. In addition to these and other AmCham calendar events planned for the West, a growing number of Chamber members have already committed themselves to supporting networking functions staged by our own network initiative, the Bella Vista Business Alliance. The highlight of the launch luncheon was a practical and highly informative multimedia presentation delivered by keynote speaker Robbert Rietbroek, the CEO of Pepsico Australia and New Zealand. Robbert managed global brands at Proctor & Gamble and Kimberley-Clark prior to joining the world’s second largest food company, and he is the author of the ‘Building Billion Dollar Brands’ course. He took his audience through the 7 keys to building a billion dollar brand. 1. A Highly Compelling Brand Promise For half a century BMW has promoted the same brand promise: The Ultimate Driving Experience. As Robbert noted, they are not a company making cars they are a company creating experiences for their customers. He added that the product or service must always deliver on the promise. It has to delight the consumer. 2. A Powerful Insight Billion dollar brands capture attention by

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Dragster provided by Sports BC Jenna Weber, Shangri-La Sydney

Robbert Rietbroek, CEO, Pepsico Australia and New Zealand

unlocking our minds and our hearts. They unlock the barriers that people use to prevent them making a purchase. An example of this was an American TVC for Subaru which showed a caring father offering driving advice to his daughter before she drove away. It was touching. Full of emotion. 3. Closure Power Making a compelling claim helps to close the sale. Two examples of brands making strong claims to their markets are L’Oreal and Tropicana. L’Oreal launched a new lipstick with the powerful claim that its 10hour colour grabs hold and doesn’t let go.

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They reinforced the closure by making use of celebrities to endorse their products. Tropicana, which is the #1 selling brand in the U.S., states that there are 16 oranges in each pack and they do not use concentrate. It is 100% juice. 4. Consistent Brand Promise Inconsistency is a brand’s worst enemy. Global brands which have demonstrated amazing consistency over decades include Volvo - it has continually expounded its virtues in passenger protection to the point that it is renowned as being a world leader in safety by consumers of all ages. Robbert


European, American and Asian markets who are all seeking thicker, shinier hair.

also pointed to Pepsico brand Gatorade which has been using the same message for over 30 years. The product has consistently been associated with a handpicked group of elite athletes from a variety of sports (one of which is the New Zealand All Blacks – is that how the won in Sydney?!).

7. Commitment To A Higher Purpose Express ways in which the product improves…enhances…the life experience of the customer. Be a ‘force for good’. Gatorade, noted Robbert, has been scientifically proven to increase athletes’ performance. It gives them that 101% gain over their competitors. Google helps people by making it easy to store and organise their information (photos,

5. A Contemporary Feel – Always On Trend Pepsi and Mountain Dew are two examples of brands which have successfully tapped

into the culture of their customers. Pepsi the cans have been re-designed to feature emoji characters as used by Generation Y texters, thus giving the packaging a ‘personality’. Mountain Dew is a favourite of young males who like extreme sports so it is no surprise that its TVC focuses on BMX-riding males racing through a forest drone hunting.

Niels Marquardt, CEO AmCham Australia

videos, etc.) and to retrieve it. Our thanks to Robbert for an incredibly informative message. With the bar set so high, AmCham GWS members are guaranteed of future keynote presentations being of the highest calibre. G

6. Culturally Relevant Ensure that your brand message to one country also works in another. The example shown was Pantene shampoo and their tag line ‘Hair So Healthy It Shines.’ This is a phrase that appeals to their customers across

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BUSINESS ADVICE

Bruce Gleeson, FCA, RITP Principal, Jones Partners Insolvency & Business Recovery

Trading Places – Does It Really Work When a Company is Insolvent? A talking point that I find is often raised by a director when their company is in financial difficulty and liquidation may be imminent is whether they should change directors. Let me be clear in explaining that the reason the current director is contemplating putting in their spouse or finding someone else as a director (both of whom may know very little about the business or importantly the financial position of the company) is about self preservation. Whilst it is not an unreasonable question to be posed, it is one that I find typically carries with it a lot of mis-information around the supposed benefits. Indeed, the 80’s movie (if you’re that old!) called “Trading Places” springs to mind when I hear this talking point. The reasons for the current director seeking such change in my experience are generally centred on the following concerns: 1. It will make it less difficult for them to get finance in the future; 2. They won’t be personally liable for ATO debts such as PAYG [Pay-As-You-Go] and SGC [Superannuation Guarantee Charge]; 3. They won’t be personally liable for insolvent trading; and 4. The placement of the company into liquidation won’t count as a “strike” against them for the purposes of a Section 206F director banning order. If only it was that easy! The balance of this article will debunk all of the above commonly held views. Also relevant is that some directors believe that by backdating the effective date of the replacement that this will further enhance their position. Regrettably this also very rarely is the case. So let’s get into some debunking. 1. It will it make obtaining finance less difficult for me in the future The bottom line is that most finance applications have declarations/acknowledgement along the lines of “have you or the other co applicant, ever been a shareholder or an officer of any company of which a manager, receiver, and/or liquidator has been appointed”. We can see that there is no timeframe around the above question and thus even if they had resigned as a director shortly before the company was placed into liquidation (for example) the individual would still have

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to answer Yes. I note many credit providers conduct a variety of checks and a simple ASIC director name search will show such details. So in this sense there appears little utility in considering such a change, particularly in an environment where Banks and Financial Institutions continue to more heavily scrutinise applications for business and investment property loans.

became insolvent or was already insolvent. As such, even if any individual has subsequently removed themselves as a director, if a liquidator forms the view that the company was insolvent at the time a debt was incurred during their tenure as a director then they are still on the hook. So such belief that this possible liability will always be avoided is also incorrect and misguided.

2. I won’t be personally liable for ATO debts such as PAYG and SGC incurred by the company Again this is unlikely to be the case and depending on the specifics of the matter, it could result in both individuals being liable. The ATO’s ability to seek recovery against a director and his/her assets for PAYG and SGC was further enhanced in 2012 where now if these taxes remain unreported and unpaid for more than three (3) months after the due date, the director at that time and successive directors who have been appointed for more than thirty (30) days will be automatically personally liable. Such liability occurs under what is known as the “lockdown provisions”. There are other ways in which the ATO can also seek recovery of these taxes which may potentially enable them to be quarantined in an administration or liquidation scenario, however this is on the basis that pre-emptive action is taken by the company’s director/s at that time. So in short this wouldn’t seem to provide an overly successful outcome either. The area of the ATO and director penalty notices continues to be a complex area and one where specialist advice is required – don’t simply rely on the internet.

4. Director banning – Section 206F of the Corporations Act This Section states: “ASIC may disqualify a person from managing corporations for up to 5 years if: (a) Within 7 years immediately before ASIC gives a notice under paragraph (b)(i): (i) the person has been an officer of 2 or more corporations; and (ii) while the person was an officer; or within 12 months after the person ceased to be an officer of those corporations, each of the corporations was wound up and a liquidator lodged a report under subsection 533 (1)… about the corporation’s inability to pay its debts… (b) ASIC is satisfied that the disqualification is justified”.

3. I won’t be personally liable for insolvent trading as a former director Section 588G of the Corporations Act is framed in terms of who the directors were at the time that the company incurred a debt and whether as a result of incurring such debt the company

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So even under this scenario unless you had resigned more than twelve (12) months before the date of liquidation, each such instance will still be counted as a strike. This area is a little more complex than what some individuals believe. The personal risk to directors can be legitimately mitigated if certain actions are taken at critical times. Clearly the sooner such action is taken, the better for all stakeholders involved. Directors quite naturally are going to be curious about what measures can be taken to preserve their position – but it is important they get access to the right advice. Jones Partners is here to assist in this area. G


Business Snapshots with Craig Hingston, Associate Editor

Sydney has slipped from the Top 10 of The World’s Most Liveable City list due to a “heightened perceived threat of terrorism” whilst Melbourne won again for the 6th time in a row, Adelaide came 5th and Perth 7th. The ACCC has decided not to grant approval to the Commonwealth Bank, NAB and Westpac to collectively bargain with Apple over its mobile payment service, Apple Pay. Federal Treasurer Scott Morrison confirmed that he has blocked the sale of the NSW energy provider, Ausgrid, forcing the Baird government to move to a Plan B.

Moodys’ affirmed Australia’s AAA credit rating saying it expects Australia’s economic resilience to endure in an uncertain global environment. The price of gas to industrial customers has almost doubled and could go higher whilst it is being exported at much cheaper prices to Asian customers, according to ABC’s The Business. Exports of manufactured goods are on the rise according to the ABS with 9,306 manufacturers sending their products overseas, an increase of almost 300. Every category of exported goods has increased.

Despite the NBN offering a top speed of 100 megabits per second, 82% of premises with a fixed line connection to the network have download speeds of 25 mbps. The NSW Government has awarded a $2.3Bn contract for the construction of 500 intercity train carriages to a multinational consortium incurring a strong backlash from industry groups and unions. The NBN has experienced a dramatic turnaround over the past year by doubling the number of premises connected to the network - 2.9 million.

The Australian business community’s ability to embrace new digital technology as core parts of its operations has fallen to 18th place in the world, below that of Iceland and New Zealand. We were ranked 9th in 2004. Uber is launching selfdriving cars equipped with cameras, lasers and GPS systems in the US which it plans will eventually take over from its fleet of 1,000,000 drivers around the world. A temporary tattoo that controls electronic devices and changes colour with your mood – DuoSkin - has been developed by Microsoft and MIT.

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BUSINESS ADVICE

Rebecca Cushway, Organisational Psychologist and Managing Director of Careers Excelled

How to Create a Happy Productive Workplace There are all sorts of claims about how to create happy, productive workplaces. Many top tier organisations offer sleek work spaces, that look like Star Trek sets, Nespresso coffee stations and free fruit every Friday. Although these perks are a gesture of appreciation, the underlying relationship employees have with the organisation and its leaders delivers the real productivity difference! Organisational Psychologists have reported the strong links between positive employee engagement (the tendency for employees to want to stay in a work place, say positive things about a workplace and strive to over achieve), and its impact on productivity. Getting extra effort without having to push, bribe and negotiate constantly, comes down to how you structure work and how you lead! The great news is that it doesn’t have to be expensive or time consuming; it just means shifting our efforts to focus on: 1. Take Care of the Basics When employees start a new job, they hold secret unwritten expectations not found in employment contracts. So do employers! This psychological contract is crucial in upholding and maintaining healthy productive relationships. Key ways to break a psychological contract include: • Not paying employees correctly or on time • Continuing to shift meeting times because you are too busy • Not keeping them in the loop • Not giving opportunities to try new and interesting things that were promised; then not explaining why • Continually expecting people to work beyond normal hours because it is the culture • Not honouring sick or carer days and tolerating office gossip around these issues • Behaviour that sends a message that maybe “they are not up to scratch” without direct feedback. 2. Structure Work Smartly Work is often set up in small businesses to take care of all the things the boss does not have time or doesn’t like doing. As the business grows, work tends to align with star employees who get the interesting work as they are more likely efficient and dependable. Poor and inequitable work structure tends to create rifts in workplaces, bottlenecks in workflow and

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burn out in star performers over time. To avoid this ensure: • Every role has a clear purpose, outcomes and task that can be measured • Everyone can see how their part contributes to the whole • People have some influence over how the work can be tackled and can contribute ideas • The work is not too broad or too narrow in variety • There are clearly defined agreements between different staff contributors, hand over requirements and deadlines • Align tasks to people’s strengths but don’t make this a permanent arrangement, share opportunities and evaluate staff progress when given a new task to tackle • Create both team and individual goals to foster cooperation and contribution. 3. Lead More than Manage Many Australian workers are over managed and under lead! This becomes obvious when employees stop making suggestions because they are scared, or say “we have always done it this way”, and stop asking “why” or “what difference do we need to make here?”. When leaders and staff are focusing more on justifying the status quo rather than the improving their impact on customers, poor management or leadership is becoming entrenched. Ideally we need to lead about 80% and manage about 20% of the time. Management is taking direct action to ensure tasks get delivered to meet goals. If we “Take Care of Basics” and “Structure Work Smartly”, we are in a better position to deliver this balance. Leadership is how we relate and inspire, challenge followers to deliver sustained performance and create an environment of striving. “Push, Push, Push” does not deliver this. Leading Transformationally enables

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greater staff satisfaction, engagement and productivity requiring simple shifts in leader behaviour: • Build Trust by being consistent, honest, keeping confidences and being fair • Acting with Integrity by operating consistently with values and role model • Inspire and Motivate staff by showing each person how they make a difference and how their part contributes, offer challenges and share your journey, even failures • Allow staff to innovate and come up with ideas, rather than answer questions for them. Ask questions that make them think and challenge their assumptions • Show genuine gratitude and give positive, constructive meaningful feedback regularly • Coach individuals and build their confidence giving direct, compassionate feedback. 4. Create Connected Cohesive Teams Often employers unwittingly create competition rather than collaboration in teams, then wonder why staff are not working together. Setting your team up for success and collaboration requires leaders to: • Create a purpose that impacts customers not just the business results • Have the team understand what success and failure looks like and how this impacts customers • Build or improve processes • Set team standards for communication and problem resolution • Validate different strengths and styles in the team to understand different perspectives • Share tasks around and continue to set new challenges to avoid the team stagnating, giving them a bigger purpose and more responsibility when they achieve goals. G Careers Excelled p | 02 9899 9674 e | Rebecca@CareersExcelled.com.au www.CareersExcelled.com.au


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BUSINESS ADVICE

Steven Brown, Etienne Lawyers

Protect Your IP IP rights can be a businesses most valuable asset. While Disneys’ 2013 hit Frozen grossed US$1.3 billion at the box office, Forbes reported 1 that the licensing of the IP rights accumulated US$107.2 billion in retail sales. Another example is that of Lucasfilm’s astute decision to retain the IP licensing rights for consumer products for the first six Star Wars films, that aided George Lucas become a billionaire. IP rights being valuable need protection from pirates and counterfeiters. Under common law notions, each distinct form of IP, is an artificial construct. IP is made up of a number of distinctive categories, each statute defining the particulars of the property and limits to the rights. Accordingly, the categories need to be understood as discrete legal and political constructs. Being discrete constructs, each form of IP is a creature of statute. The traditional and internationally recognised forms being: • Copyright; • Trade Marks; • Designs; and • Patents. Besides the international recognised forms in Australia the following rights are also protected: • Circuit Layouts; • Plant Breeders rights; • Olympic insignia; and • Particular major sporting events. Various acts provide for IP protection through search and seizure orders at the point of importation into Australia. This is achieved by the Notice of Objection regimes under various acts. Enforced by Border Force; an arm of the Department of Immigration and Border Protection. Here, Border Force is the actor that conducts the search and seizure. Once in Australia pirated or counterfeit goods can be sought out and seized. The purpose of such search orders is to preserve evidence

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needed to prove the IP right owner’s claim that its goods are being counterfeited or pirated, and their IP rights infringed. Each of the statutes that create the distinct form of IP contains rights for pirated goods to be searched for and seized. Who can search and seize the counterfeit goods depends on who is taking the action. For instance, under the Copyright Act 1968 and Trade Marks Act 1995, the Federal or State Police have rights to criminally prosecute infringers of IP rights owners copyright and or trade marks. Besides criminal sanctions, IP rights owners have private or civil rights to search for and seize infringing goods. Search orders are a species of discovery of the most extreme kind, which lie at the very limit of a court’s civil jurisdiction. To protect the competiting rights of the IP rights owner and the (alleged) pirate a Court ordering the (alleged) pirate or counterfeiter to permit an IP rights owner’s representatives to search and seize goods must do so under supervision of an independent solicitor. This solicitors role is to supervise the enter, search, copying of documents and removal of property from the (alleged) pirate or counterfeiter’s premises for safekeeping and evidence gathering purposes. In addition to the specific protections from the acts that create the distinct forms of IP, in Australia we have the unique form of remedy of misleading and deceptive conduct. Where an IP rights owner can establish that it has a reputation in its trade mark or even get-up such that the get-up has become distinctive of the IP rights owners business or goods, and the use of the trade mark or get-up by a counterfeiter can if consumers are misled or deceived into believing that the counterfeiter’s business or goods are those of the IP rights owner then the IP rights owner can successfully injunct the counterfeiter from engaging in such conduct. In

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protecting such rights the IP rights owner can, in certain and usually extreme circumstances, prior to seeking final relief obtain search and seizure orders against the counterfeiter In deed in cases of involving cross border matters, or when many consumers have been caught by the misleading and or deceptive conduct, the ACCC may even step in. The first instance of this occurred in ACCC v Bindert (Ben) Kloosterman & Ors NSD1391/2008. On 5 September 2008, the ACCC initiated legal proceedings against www. designerbrandoutlet.com (Designer Brand Outlet “DBO”), alleging contraventions of the misleading and deceptive conduct provisions. The ACCC took action due to representations on DBO’s website that items for sale were genuine designer label women’s clothing when in fact these items were counterfeit copies. The brands which were the subject of the alleged counterfeiting including Chloe, Marc Jacobs and Diane von Furstenberg. This matter was brought to the ACCC’s attention by the United States Federal Trade Commission (FTC). The FTC provided the ACCC with a number of consumer complaints. In addition to the complaints received from the FTC, the ACCC also received complaints from consumers in the United Kingdom and a number of Australian states. The complaints variously related to Designer Brand Outlet (DBO) accepting payment and not delivering the goods, goods received not matching the goods ordered (including issues relating to authenticity), refunds not being provided and consumers being unable to contact the company. The ACCC obtained a number of interim interlocutory orders against DBO. In addition, the ACCC appears to have obtained orders suspending the DBO website, for the time being.


The Federal Court, by consent confirmed the interlocutory injunctions and the defendants, Kloosterman and Shi, settled a claim for compensation to be paid to the misled consumers. In deciding which act to rely upon to protect IP rights, care must be taken in weight the advantages and disadvantages of the protections in the various acts. The area of IP protection will only become more important as the economies of the world are driven more and more by IP than physical forms of assets. Consequently, in competing against well known brands be careful. If you are an IP rights owner note the protective weapons you have in your arsenal. G (1) The 'Frozen' Effect: When Disney's Movie Merchandising Is Too Much at www.forbes.com (i) Final orders available on the Federal Court of Australia website at: www.comcourts.gov.au

Etienne Lawyers p | 02 8845 2400 www.etiennelawyers.com

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25


SELECT OZ

Steve Sebbes, Director, PBO Global

How to Make Outsourcing a Strategic Pillar of Your Business Success Many business owners dream of achieving seamless process support that will drive their vision for revenue growth, profit and process improvement, but feel frustrated by how to resource and fund the investment in time and people this requires. In recent research by Bain and Co of 2,000 companies over 10 years found that only one in ten companies achieved sustained, profitable growth. One activity that sets such winners apart is that they often use capability sourcing in more innovative ways than their competitors. Outsourcing and offshoring began as costcutting measures, but companies that create real sustained value routinely use them for far more strategic ends–to gain capabilities that they don’t have in-house, or to strengthen capabilities they do have. Outsourcing of a process or function feels like something only big companies can do. This article will give you the tips and tricks you can access this game changing strategy now. 1. Be clear on your outsourcing objective "Efficiency is doing things right; effectiveness is doing the right things." - Peter Drucker For any outsourcing venture to be successful, you must have a clear measurable objective for the initial process or project outsourcing. Make it measurable, communicate it to everyone involved and measure how you go in simple steps. This will ensure your current staff are clear about what needs to be achieved and work together with your new resource to help make the project successful. It is critical you bring your current staff on the journey as they will be vital in: • Training your new offsite resource • Supporting the transition 2. Know your company culture and communicate it "A company’s culture and a company’s brand are really just two sides of the same coin. What goes around the office comes around to the customer.” - Zappos The biggest asset in your current business is your staff, and your culture. Well executed, your investment in outsourcing will mirror the culture and values of your current business,

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providing seamless support to your current team to achieve more with less. However, this will not be achieved without an investment of time to: • Communicate your business purpose, company culture and values • Integrate the new off-site function into the business culture.

off!) before you know it with the right support, patience and practice they are off on their own and you can’t keep up with them!

Everyone works at their best when they buy into the “why” of a business, if you can engage your new resource into the why of your business you will be amazed at the new energy and support they will give your local team energy.

In any new venture, there are going to be mistakes and thus learning opportunities. As you build your outsourcing venture, there will be learning for you the business owner and your outsourcing partner company. Business owners and outsourcing companies learn about each other's needs and are able to negotiate better contracts focusing on value creation over time. Companies with greater experience have greater success implementing more-complicated models and face fewer problems in their outsourced and offshored activities.

3. Operate with a simple commercial agreement you can live with Too much legal wrangling on the details of the agreement will bog you down in unnecessary cost and time. Not enough detail and you may find yourself left high and dry when things do not go as planned. Make sure your legal agreement covers what you need to have protected if it all falls apart (your service levels, IP, customer contracts), but don’t get too bogged down in the detail. A good contract will enable the business owner and outsourcing company to understand the risks, rewards and interests for both sides. 4. Clearly define your process "If you can't describe what you are doing as a process, you don't know what you're doing." W. Edwards Deming Being able to define and train the process you are outsourcing is critical to the success of the venture. The business needs to be able to train the process, define clearly who is responsible for each step and make sure that this can be carefully managed and checked in the early days of the project. Think of it like you are teaching someone to ride a bicycle for the first time. Initially you make sure you help them by holding the back of the bike, then they take small rides on their own (sometimes they fall

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5. Start small, build and learn “Its fine to celebrate success, but it’s more important to learn the lessons of failure, it’s the path to success.” - Bill Gates

In today’s challenging business environment, the need to find new and flexible solutions to business resourcing and process improvements requires new ways of looking at problems. Well managed outsourcing gives you the opportunity to flex up your resource to power you to achieve those business dreams. Like all new projects it requires time, planning and management to get the most out of your investment. G We have experience and we love guiding businesses through the process. Our passion is ensuring your business reality lives up to your dreams! PBO Global p | 02 8765 5980 e | steve.sebbes@pboglobal.com.au www.pboglobal.com.au


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BLOCKCHAIN

Eric Tjoeng, CEO Business Growth and Exit Specialists Pty Ltd

A Smart Business of Today and Tomorrow - Business Growth and Exit by Design With the rapid changes in technology, global economy, government regulations, social trends and politics, the new business paradigm is “Adapt or Perish”. If you are not aware of new and disruptive technologies, including internet of things, blockchain, smart cities, driverless cars, drones, robotic development, artificial intelligence, cloud computing, 3D printing and other external changes, your business future could be at risk. However, if you anticipate and adapt, they might turn into great opportunities. Due to accelerated changes and disruption, in the World Economic Summit in Davos early this year, some leading experts predicted that 40 % of the American top 500 S&P Companies will not exist in 5 year time. Isn’t that alarming. Failing to understand the implications and planning for the future of your business could compare to ‘Buying a VHS factory the day before CDs and DVDs came onto the market'. The impact of these emerging concepts also has the potential to affect your business as much as Kodak ignoring the opportunities and threats of the digital camera. Businesses need to have the methodology and process to be engaged and inspired to have one eye looking at present and one eye looking into the future for a Smart, Successful and Sustainable Business. Design thinking is a great method for practical, creative resolution to business challenges under rapid changes and uncertainty, with the intent of an improved future result and sustainability. By considering both present and future conditions and parameters of the business challenges, alternative solutions may be explored simultaneously for business growth and exit. Thus “fine tuning the business strategy and business model” to be a Smart Business of Today and Tomorrow is the most important first step. In order to provide visibility regarding the possible financial outcomes of the best alternatives and to come up with an informed decision making for the best solution, “show

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me the money” step using scenario analysis financial modelling is a must have second step.

producing exceptional results for business growth and exit.

Lastly, as most business owners will agree, success comes from the successful “implementation/execution” of the selected new business model and actions required to grow and/or exit your business profitably and sustainably. Focusing on low hanging fruits and executing the required actions pragmatically and within the business means, measuring the results and taking the necessary corrective actions moving forward will be the key to success. G

We would like to offer you a complimentary meeting for your success. Email us: erict@ bges.co or call us on 1300 87 78 78 for this free offer.

Are you a Smart Business of Today and Tomorrow? At BGES, we assist our clients to be a Smart, Successful and Sustainable Business of today and tomorrow with our proven future proofing methodology and an enviable track record in

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Business Growth and Exit Specialists p | 1300 87 78 78 e | erict@BGES.co www.BGES.co


John Glover, Managing Director, Pendragon

Live Long and Prosper: Is Your Business Ready for ‘The New World of Work’ After my recent support for the very enlightening and fascinating Blockchain Smart Cities seminar in Parramatta I believe that… Blockchain Technology is part of our ‘New World of Work’, it is just one aspect of how the world continues to grow and how technology is paving the path forward. Employment and how people are employed has already changed, and will continue to change, even in the near future. Workplaces are becoming more diverse, human capital is moving across borders and workers are picking up new skills in a time of intense change. Businesses need to start thinking about workforce issues on a global scale, and deciding how they are going to deal with the sea change that awaits. How will people want to be employed/remunerated in the not too distant future? Blockchain Technology is revolutionising amongst other things - the concept of time sheets, contracts and payroll. Imagine that you’ve just interviewed a prospective client and you decide that you want to hire them. One click of a button and suddenly the contract is signed, the person is employed and you have their bank and tax details automatically in your system to sort out their payment no double handling. It’s almost like an Uber concept, you’ve electronically entered into a contract with a driver to get you from point A to point B, and when the driver completes their requirements, payment is transferred and the contract is complete, completely electronically. The contingent workforce is one aspect which will become more central to the future of employment. Contingent workers are persons who are not on the company payroll, but still provide services to the organisation, including contractors, consultants, temps and advisors. The Future, it’s here now… Solar panels, Tesla electric cars and power walls - here now. Selfdrive trucks and self-drive cars, UBER - here now. Ford has just announced it will have selfdrive cars on the roads within 4 years.

The world is changing at the fastest pace ever and it will only get faster not slower. Do you really think the world of business will not change as fast, or perhaps even faster? How we work, are employed, remunerated is all changing and it’s changing now.

and Star Trek – ‘To boldly go where no one has gone before’ – is almost a mantra for us.

As a company how would you like a ‘Cash flow button’ or ‘contractor/employee payment button’… We are in the process of looking at all of this and are in fact developing systems within all the known technologies of today to help your business be prepared and ready for the future now…

Our core aim for all our clients is to Maximise their income and Minimise their stress.

pic. Dalek Courtesy of Dr Who tv

Contractor/Contingent workforce management We are at the forefront of our industry but we still take our beliefs and values from the past… Our name Pendragon derives from King Arthur – Arthur Pendragon. It is stated that there were over 400 years of peace and tranquillity within the realm whilst the Pendragon family were at the head… King Arthur followed some good old fashioned principles: Honesty, Ethics, Integrity, Wisdom, Courage and Chivalry. Here at Pendragon we pride ourselves in following these principles hence providing the best individual service using old values in a future world to all our clients.

We are always looking to the future to keep an eye on what our clients want for their future service from us.

Our core business is ‘Salary Management’ which encompasses contractor management, contingent workforce management, payroll and financial back office services… with 18 years of experience in managing contractors for companies, removing the burdens of the individuals ABN and PSI constraints we can say that we are at the forefront of the ‘Salary Management’ world. Whilst the future is changing around us, Pendragon is celebrating its eighteenth birthday. That’s eighteen years of being at the forefront of thought when it comes to understanding salary management. As part of our celebrations we will be hosting ‘The New World of Work’ evenings with special guests Paralympian Ellie Cole and Futurist Craig Rispin plus, in keeping with the future, our first event, toward the end of October, will feature a surprise city venue. Further details of our evenings follow shortly. G Good luck with your future. Put your business into the hands of people who care, talk to us… p | 02 9407 8700 e | the-future@pendragon.net.au www.pendragon.net.au

Having been brought up on Dr Who, Daleks

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FEATURE

Blockchain Smart Cities and You There has been a lot of hype in recent times about Smart Cities – Block Chain and Sustainable Cities. A lot of seminars and events costing hundreds and in some cases thousands of dollars for people to attend in the hope that they will get further understanding of these areas. GWP Media was pleased to be part of a consortium that brought to Parramatta a, half day presentation on 20th July. Paul Garrard Smart Cities –Blockchain – The New Frontier ex Lord Mayor of Parramatta City Council, and recognised instigator of the initiative to make “Parramatta Australia’s next Smart City” back in 2009 opened the day with an overview of some of his thoughts and beliefs on how business and society as a whole has to embrace New technology to gain the maximum benefits in the future. Paul shared with the attendees some of the achievements of PCC over the past few years in relation to Smart City Initiatives; ParraSync card development and eParra initiatives, installation of CCTV cameras to assist in reducing safety concerns in the LGA, WIFI and Smart Pole trials and last but by no means the least being that they were the first Council in Australia to appoint a Smart City Officer. He strongly reinforced his opinion that governments at all levels along with private enterprise and the community at large must work collaboratively to achieve the best outcomes for all. Paul closed his presentation with the following thought: We should learn what we need to know to gain the greatest successes from a new frontier – forewarned is forearmed. “I believe Blockchain and Smart City technology and initiatives may well be the new frontier of the Global Economy of today.” George Mavros from ETSI Consulting doubled as MC as well as being one of the presenters for the day. In his presentation following Paul he shared some thoughts with the audience on business and the importance of mindset. In particular how one should approach listening to new and emerging concepts.

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He did this by sharing some of his, as he refers to them, funny sayings. The hands can only create what the mind can see George explained that if we are at a seminar or listening, or researching in general, to new concepts or ideas and we spend all our time in our mind challenging or debating the information we are receiving, then we run the risk of not being able to take in the key points and develop our strategy. He went on to say that “until we can imagine or see it, whatever it is for us, in our mind we can not possibly create the future reality.”

Paul Garrard

The example given was President John F Kennedy declaring “we choose to go to the moon this decade” in September 1962 and the landing happening in July 1969. It was once Kennedy focussed the nation on the vision that all the physical aspects required to realise the dream were put into lace. A man’s got to know his limitations (Clint Eastwood – Dirty harry) – once you do the exciting thing is you then know your true potential – and that’s what you should focus on (George Mavros).

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Eric Tjoeng, BGES, Event Host


The example given was Dr Stephen Hawking did not allow the limitations of his motor neuron disease prevent him from realising his potential as a scientist. What he did was understand his limitations and then developed strategies and systems to minimise their impact on his success. If you have the courage to fail you have the right to succeed George put forward that, Dr Martin Luther King, Mother Teresa, Steven Bradbury and Dick Smith have all provided extraordinary examples of those who in their own way, have had the courage to fail at taking on

Mark covered many topics of disruptive technology, with specific examples of certain areas such as Robot Receptionist development, Driverless cars, Digital cash and Smart Contracts. One of the headlines he shared was “New Zealand Institute of Economic Research (NZIER) has found that 46 per cent of current jobs are at "high risk" of disappearing in the next decade or two. Mark also covered topics regarding National Sovereignty and how this needs to be considered when the world gets excited about Blockchain and globalisation of business using technologies such as

but related the various aspects of these emerging developments to how they could and will impact on individual businesses and people. One example he provided was the flow on effect of the anticipated reduction in accounting and auditing staff through the Blockchain and Smart contract technologies. In a simplistic but realistic analysis of the possible reduction of staff in a major technology/business park – George provided a scenario where there could easily be a loss of trade to local coffee shop of over $250,000. He raised the question for the audience to consider if this was true for the local coffee establishment – what would be the impact when one considers the local Hairdresser, Dry Cleaner, shoe repairer – all of who depend on staffing levels when located near predominantly business commercial centres. In another example he pointed out that one City council has already taken steps to develop strategies for replacing current income, as they have determined that the introduction of Driverless vehicles may reduce their revenue by some 10%. He provided information on the advancement through the use of Blockchain technology that is and will be coming in the fight against Product counterfeiting. Through the extrapolating of one article regarding counterfeiting in Australia, he advised that Australia could well see the recovery of lost Tax revenues of $34M per annum.

(l-r) George Mavros, ETSI Consulting and Mark Toohey, Adroit Lawyers

what at the time, may have seemed an insurmountable challenge. For each of them in their own quest, because they had the courage to fail the gained the right and indeed history has shown they did succeed. Mark Toohey from Adroit Lawyers was next to present after the morning tea networking session. His presentation was on Blockchain Technology and Blockchain Basics. Mark quickly gained the attention of the audience when he started to share the rapid growth and advancements that have occurred in both the Artificial Intelligence and Blockchain segments.

Rob Field Director, UNE Parramatta – provided a case study on UNE as an indication of how the Uni had developed over the generations from a traditional Bricks and Mortar education provider based in Armidale, a country town 5 hours away from Sydney to a highly developed virtual campus provider of education that now sees 80% of its students complete their courses without the need to visit the main Campus.

Blockchain and The Internet Of Things. Whilst a lot of what Mark shared was very confronting for the audience, they were grateful for the explanation and greater understanding his presentation provided for them.

The take away from the day was that the potential flow on effects of these and other emerging disruptive technologies, as in most cases of technology development, will deliver opportunities for those that win and those that lose.

Mark concluded his presentation with examples of where this technology can and already is being of assistance to broad segments of society.

All the speakers maintained the theme that the impact will be driven in large by people’s and organisation's approach – those that understand and adapt have a far brighter future than those that ignore.

George Mavros delivered his second presentation titled as the day was Blockchain Smart Cities and You. George’s presentation carried through from what Mark had delivered

The day was proudly hosted by BGES and supported by Event Partners - Adroit Lawyers, Pendragon, ETSI Consulting and GWP Media. G

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George Mavros, ETSI Consulting

BLOCKCHAIN

Mindset - It’s Where We All Start to Succeed or Fail I am a strong believer of mindset being the starting point in most cases for our failure or success in most things we do. I do not say just because you have a positive mindset everything will be fine or those that are often negative in their mindset will always fail. I do believe though that those with a positive and confident approach have a far greater chance of success than those that don’t. I did a personal development course based on the teachings of Bob Proctor – “You were Born Rich” and read his book of the same title. I gained many things from the course and the book but without a doubt the most valuable lesson I took from Bob’s teachings was “I may not be able to control the circumstance in which I find my self but I am responsible for my reaction to it” What this one statement does, if you truly understand and embrace it, is to give you the power to deal with any situation that you are faced with in any part of your life. It does not mean that you will be able to solve every challenge that is put to you; it does not mean that you will win every time you try to but it does mean that you will own your reaction to any situation. No longer will you feel I was forced to do this or I did this because, or it was and is out of my control. In many circumstances the outcome may well be out of your control but if you accept this statement as your mantra then, your response/reaction will always be your decision. Nelson Mandela could not control the circumstances when he was imprisoned. He could not control the circumstances of the rage and hatred that had built up over the years in his people through his imprisonment. But by being responsible for his reactions to it all, he survived and on his release was actually able to unite a nation to head down the right track together instead of as opposed to one another. So what are some of my saying that I live by? The hands can only create what the mind can see – There is nothing original made in this world If you don’t believe it, if you can’t imagine it in your head then how can you possibly take

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action for it to become a reality? There isn’t a song, a painting, a product or a book for that matter that has been created in this world that is the original. Before it was made, it was imagined and seen in the creators mind. I say that it was Kennedy that took us to the moon – he had the vision and then the US amassed all those that were required to make that the reality. A man’s got to know his limitations – Clint Eastwood – Dirty Harry The exciting thing is when you really know them you actually learn your true potential and that’s what you should go for – George Mavros – ETSI Again, this is all about mindset. Dr Hawkins – well before he became famous and well before he had come up with many of his incredible findings and theories for the world, was told of his potentially life threatening illness, that was going to be so limiting to him in his future. Once he understood his limitations he then set about to put in place strategies and plans to maximise his potential, given those limitations. Don’t pray for rain if you don’t have the dam built you’ll just get flooded! I am amazed at the number of business people that I meet that are planning a significant and often expensive sales and marketing campaign but do not have in place the infrastructure to deal with the prayed for growth. It saddens me the number of times I have seen companies generate lead after lead but not close the business because they lack the staff or skills to deal with the clients and in number of cases they do not have the stock to supply the demand. If you have the courage to fail you are entitled to the right to succeed!

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I assure you I do not have the right to succeed at Bungy Jumping! This is because whenever I think about it, my mind creates an image of the rope snapping or my legs separating at the knees. (I have two reconstructed knees but still play soccer) So because I don’t have the courage to fail at it, I will never succeed at it – and I am happy with my decision!! Many people say Stephen Bradbury was lucky to win the gold medal at the Olympics. I say he earned the right to succeed because despite all the odds against him he was courageous enough to turn up and have a go. If all those people had not fallen over he would most likely not have won. If they had fallen over but he had not turned up – he also would not have won!! If people can’t or won’t pay you back, don’t stop doing favours - The universe will deliver! This is the law of reciprocity – givers gain!! Over the years I have done many people favours and tried to help charities and community programs where I can. In many cases those I assisted could not pay me back and in some sad cases would not pay me back. The amazing thing is the number of times I have needed help and it just seems to be delivered by the universe or from someone that I have no expectation of. So don’t run your life on a debit credit basis for giving – just do favours and I promise in some way the universe will deliver if the people won’t. Never stop dreaming today - it’s where tomorrow’s reality comes from! This is a bit like the Mind and the Hands saying but it is more about forward planning and strategic thinking and thinking about where you want to be in three, five, ten years time.


BLOCKCHAIN

I think Richard Branson is and Steve Jobs and Johnny Warren were some of the great dreamers we have seen. I told a guy six months after he employed me at 19 that one day I would run his business, at 32 I became managing director of Artline marking pens NSW. I had great joy in ringing a few people that had been telling me for 13 years “you are dreaming!!” At the age of 42, my left knee was destroyed in a soccer tackle, the Specialist said that if he didn’t know better he would have thought I had been hit by a car. I told him to rebuild it because I was playing soccer for a few more years. He said I was dreaming and he could not see it happening! Twelve months later I took the field and I continue to play now 17 seasons since. ( I could see it and I dreamt it could be!) To succeed in business you need the skills to achieve what you set out to do, the courage to fail and learn and keep getting up. But more importantly you need to be able to dream of what could be in the future and see in your mind what you need to create for your success. As your business coach and advisor I can help you with all of that – if you have the courage to contact me. G

ETSI Consulting p | 0408 621 736 e | george@etsi.com.au www.etsi.com.au

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SELECT OZ

Farrukh Mirza, Azrim Pty Ltd

10 Simple Ways to Dress for Success It’s 8.15am and you’re just about to enter your office building, when you run into that cute co-worker, and she offers to buy you a cup of coffee, before you start work. Whilst choosing between flat white and mocha, she complements you on your well-matched belt and shoes; and admires your lapel pin. On the way up the lift, she casually asks you, why don’t we connect on Facebook and walks away with a really beautiful smile. How cool does that sound? Well, that’s where we come in – we sell confidence to men through clothing. Here’s my top 10 tips for those that are sartorially (yeah look up the word on Dictionary.com) challenged to get them from zero to number one, starting from the toe upwards. Shoes: Invest in quality leather shoes in black and brown – lace ups, not rounded on the front, and without the thick rubber soles. Suede in monk and slip-ons are options for those who already own a few pairs of the classics. Socks: Whilst pattern socks sound like a cool funky idea, it is smarter to start with subtle colours in classic patterns in a Cotton-Poly mix which can be worn all year round. Stay away from the white trainer socks please if you have a shred of self-respect. Underwear: Don’t wear your granddad boxers or your mankini briefs. The most popular brands like Bonds or Calvin Klein will do the trick – briefs in summer and boxers in winter in black or navy is the way to go. Trousers: Stay away from the Polyester cloth as they may be crease-resistant but they can heat up quickly, and will make you sweat like hell. Besides, they’re not good for sensitive skin. Preferably go for Super Merino Wool (110 – 150) so they’re breathable, durable and can be work through the year. In summer, go for a light weight cotton or linen as it's cool and comfy. We have recently launched a Stretch Wool Line Super 150 (98% Merino 2% Lycra) which is both practical and elegant, and seems to be the favourite for working travelling professionals. Make sure the length is long enough to have a half break on the front of the shoe, and it doesn’t touch the ground when you’re without shoes.

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Belts: Find matching belts to the shoes (see 10) and if you’re on a tight budget, get areversible belt that allows you to wear both black and brown leather. Also, the right length belt will fit the middle notch hole and sit perfectly on the front of the trousers. Shirts: Common problem I’m told is that the neck is too small or when I got for a well fitted neck, the shirts too baggy. A good shirt should hug the shoulders perfectly without any excess fabrics hanging on the sides. The sleeve length need to be such that they don’t go beyond the wrist when the arms are stretched, and the fit should be not too tight or too loose. Again a good fabric is most important as it’s the closest thing to your skin, and if you shirt collar is crooked or damaged, then throw that shirt away and go get a new one, or better still, get one made to measure. Decent shirt makers will be able to offer shirts ranging from $100 to $350 depending on the fabric, quality and time taken to service. Choose non-iron for travel and Egyptian 2Ply Cotton for luxury. Jacket (Suit or Blazer): Getting the perfect jacket is all about the shoulders and the chest which needs to be clean and crisp. Too much fabric means it’s not shaped well around you and too little means it’s restrictive and uncomfortable. Having a fun lining adds personality to your garment, if you’re up for it. Based on current style trends, 2 Button Single Breasted with a Classic Notch Lapel is the way to go. Ideal colours are Black, Navy and Charcoal in a textured weave self-pattern. For those that want to kick it up a level, get working buttons so you can show off your cool new watch or sharp little cuff link on your shirt. Cuff Links are not for everyone but they do

#81 Sept/Oct’16

add a lot of personality to your outfit. Apart from the clown and skull designs, it’s best to start with steel ones and move up to sterling silver with onyx or mother of pearl once you’ve decided it’s your thing. Only wannabes wear the name branded items so stay away from those, as it's too try hard. Watches: Please don’t wear your digital or sports watch to work. Instead get a classic design with leather straps (black or brown) so you can match it to the belt and shoes your wearing. Once you’ve got some cash in your pocket, invest in quality time pieces like Tissot, Longines, Tag Heuer, Raymond Weil, Omega or even Rolex as per your spending capacity. And if you're really into watches then don't look past IWC, Panerai, or Patek Philippe, amongst other elite Swiss brands. Certainly good watches are noticed first, and seen as a reflection of the person in terms of their financial capacity and taste. Women notice watches in men first, just how they notice shoes on other women. Accessories: Learning to accessorize is a skill in itself – and it includes items like cuff links, watches, tie or bow ties, pocket silks and lapel pins. Each of which might be a bit too much together, but you can certainly decide what’s working for you and what’s not practical. G Start Here: The fastest way to get the best ideas is to engage the services of a professional stylist who can advise you on what works best to match your skin tone, personality, profile and lifestyle. For those wanting more tips, please feel free to reach out to me directly or follow my Facebook page www.facebook.com/azrim. man where I post articles and tips on clothing and fashion for my Azrim:Az Designer Az You made-to-measure service for men and women.


Top Western Sydney Businesses Announced for 2016 The 26th Annual Western Sydney Awards for Business Excellence (WSABE) are pleased to reveal their talented pool of winners across their sixteen categories. Winner achievements were honoured at a gala awards ceremony at WaterView Bi-Centennial Park on Friday 19 August. With almost 500 guests in attendance, it was an exceptional night of celebrating success stories of the Western Sydney business community. Master of Ceremonies Ricardo Goncalves, SBS World News kicked off the evening to a brilliant start with prize giveaways followed by a great overview of Western Sydney as a key business hub and a positive economic overview of the region by NSW Treasurer The Hon Gladys Berejiklian MP. The Hon Luke Foley MP, Leader of the Opposition and Shadow Minister for Western Sydney, shared his insights of small business and the importance of innovation before we revealed winners of our first round of awards. The Commonwealth Bank Business of the Year award for overall excellence, selected by the independent judging committee from the winners of each category was awarded to Sparks+Partners Consulting Engineers by Anne Kollegger, Executive Manager for Business Banking SME Western Sydney, Commonwealth Bank. Congratulations to all WSABE Winners for 2016: We wish all our winners the very best on their business journey and would like to extend thanks and appreciation to all supporting chambers, councils and their representatives and of course to our sponsors, partners and supporters. G For further information please email wsabe2016@gandhicreations.com.au or the Chamber office on 9635 0022. p | 02 9635 0022 www.wsabe.com.au

pic: Bruno Lara-Alvarez, Miriam Alexander Leon Dimino and Morgan Walter from Sparks+Partners Consulting Engineers with Julie Newton-Werro, SBS

BiziNet Magazine

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SELECT OZ

Bruce Mott, Managing Director, Sports BC Pty Ltd

Sports, Business, Community... So when I realised I had the opportunity to write this article, and it would be read by many successful dignitaries, I thought “what do I write about Sports BC?” Yes, it's a start-up with a unique business model. Yes, I work to bring together diverse Sports, Businesses and Community to achieve great results. Yes, at its core it has an Australia/USA connection; and yes I love to tell people all about it, face to face that is. I've never written about Sports BC before, so what do you need to know? In the end it became clear, to truly grasp the business, its drivers, its potential; you will need to know about me and the journey to understand how it all came together. I was born in Western Australia at a time when surfing became popular and people spend more time on the beach than in the offices or on their jobs. It was more common than not to break for lunch and go surfing or take a nap with your mates under a shady tree while the flies and crickets filled the air during those long, hot summer days. Kangaroos were also never far off sharing the shade. I’m not college educated, this is typical of 1970 Australia with its middle class values of get a good job, get married, build a house and have kids, the typical Australian dream. Hence at the age of 15 I followed my father and joined Telecom Australia, the one and only telecommunications company which was government owned and went on to become Telstra, Australia’s leading Telco. Loyalty is important, Dad worked for Telecom for 40 years and I worked there for 13. In the first years I’d hang wires from poles and dig trenches for underground cables, which then was the newest advance in technology. I have always been interested in all aspects of a business and I tried my hand at most things within my reach in the organisation. I became a Technician, which today would be termed “Senior Unified Communications Engineer” and quickly learned that installing telephone systems in offices was better than digging holes. I then discovered “Sales”, which meant sitting in a call center, taking inbound calls to a company which held a monopoly on telecommunications. The slow pace gave me an opportunity to become inventive. I

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designed what I called my “junction box” with this revolutionary ‘switching device’ I could now plug my phone and headset into a box connected to my transistor radio and switch between music and the odd call I would receive. I then ventured into the role of salesperson for “Car Phones” which started off being the size of bricks but as everything else was getting bigger such as TVs, cars and hair styles, the mobile phone, on the other hand, quickly got smaller and smaller. The inventive part kicked in again and I modified my junction box idea and developed a ‘headset’ to be used with a mobile phone. To date I believe the very first in Australia if not the world. I have always had a passion for sport, playing or spectating cricket, football (Aussie Rules), soccer, golf and motorsport. Likewise, I have a passion for helping those that are less fortunate Being a sports fanatic, lady luck had an eye on me as indoor cricket had just been invented in Australia and Telecom built its own pitch (court) complete with electronic scoreboard. Now my work mates and I spent more time indoors playing cricket. It taught me the value of sport and the development of lifetime friendships that support you as you find new adventures and when times change support you as part of a unique community. I had formed many friendships and mateships in the company. After 13 years with Telecom, Australia was weathering a miserable recession, the worst in Australia’s history. In the face of the recession, my eyes were firmly fixed on the exit door and the day where I could pick up my swag and go walk-about to see what was out there in the world. Walk-about, of course, is the Australian Aborigine way of going for a journey of any length of time to discover what is around them and to connect with their surroundings. ‘Walk-

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abouts’ can last an hour, a day, a year, or as in my case, 15 years. Leaving Perth, over the next 15 years I lived in some of the most exotic cities in Australia, including Cairns, Gold Coast, Melbourne and Sydney. I started a company providing professional services to many of Australia’s largest companies, managing million dollar projects through the full lifecycle from sales to delivery to operations. I also worked with startup’s that were trying to grow themselves and compete against the ‘big guns’. In my professional experiences I found the mantra of businesses large and small of “survival of the fittest” irked me and from this the philosophy of Sports BC was born as my passions for business, sport and charity grew. There needed to be a different way to build relationships with business and charity to provide a benefit to both parties. I didn’t want charity or just plain ‘community spirit’ to be secondary to business, I wanted it to be an equal partner. I believed the special synergies created through local sports to help each other could be replicated and grown within business and the community. The model needed to achieve a business benefit through the cross promotion of all parties. I added my passion of sport to the business /charity model and trialed it over the next 18 months. Bringing together Sports, Business and the Community worked. So that brings me to where I am today. Proud to be the foundation member of The American Chamber of Commerce’s GWS chapter. Proud to be finding new and unique opportunities to bring Sport, Business and Communities together to cross promote and make a difference. G


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