ULSTER BUSINESS
SEPTEMBER 2013 Price £2.30 (23.75)
POWER PLAY: Budget Energy’s big ambitions SOURCE CODE: ENTERING THE Coder Dojo ZERO HOUR: The truth about zero hours contracts
A growing
footprint
SEPTEMBER 2013
Abbey Bond Lovis on the growth of its business in Belfast and the revamp of its regional offices.
ISSN 1363-2507
9 771363 250005
09
CONTENTS
What’s inside... 14 Volume 25 No.9
SEPTEMBER 2013
features
44
64
14 - Cover Story – Abbey Bond Lovis 18 - David Meade 20 - John Simpson 26 - NI Connections 54 - Profile – Maldron Hotel 70 - Business in the Community
ICT QUARTERLY 28 - Coder Dojo 30 - Digital Summit 34 - Interview – Automated Intelligence 36 - Matrix
ENERGY, WASTE & ENVIRONMENT 44 - analysis – Energy Policy 50 - Interview – Budget Energy 52 - Phoenix Gas
EMPLOYMENT LAW 58 - Zero Hours Contracts 60 - Arthur Cox 64 - Randox Health 66 - Edward & Co. 68 - Tughans
70
RECRUITMENT & TRAINING 74 - CV etiquette 76 - Interview – Open University 76 - Profile – 4C
REGULARS
54
76
6 - News 83 - Motoring 90 - Appointments 92 - Photocall 100 - Gadget Guide 102 - Business Traveller 103 - Travel 106 - People In Business
SEPTEMBER 2013 3
EDITOR’S COMMENT
Moving up a gear?
A
ll of a sudden it seems that economic indicators suggesting a recovery in the Northern Ireland economy are coming in thick and fast. From improving unemployment figures to rising house prices there has been a definite shift towards more positive sentiment that is perhaps all the more noticeable after so long hearing nothing but doom and gloom. The latest Ulster Bank PMI report signalled further growth in private sector activity in August, with the rate of expansion accelerating at its fastest since 2007, new business increasing again, a rise in backlogs of work and further improvements in employment. That outcome led the bank’s chief economist, Richard Ramsey, to comment that it was a “refreshing change” to be describing business output growth at a six year high rather than multi-year lows as he has become accustomed to in recent times. What has given economy watchers – including the new Finance Minister Simon
Hamilton – a real sense of hope is that the recovery seems to be broad based, across most sectors of the economy, with the service industry – Northern Ireland’s largest employer – seeing a particularly encouraging rate of growth. The optimism also reflects a growing confidence globally, with Danske Bank predicting the world economy is set to benefit from the US and Europe picking up speed in late 2013 and during 2014. After two and a half years of very subdued growth in the Western world, the analysts at Danske expect the global recovery to gather pace in 2014 and 2015. All this bodes well and while most business people in Northern Ireland will probably roll their eyes at any talk of green shoots, everyone will be hoping the new sense of positivity really translates into growth that breeds confidence and flows through to spending. As ever the Northern Ireland economy will continue to remain sensitive to the strength of the recovery in both the UK and the Republic
of Ireland, but the stronger their recoveries the more secure the province’s bounce back. There will of course be headwinds out there for all of our businesses to contend with, no matter their industry or sector of the economy. The old saying goes that one swallow doesn’t make a summer. But if our good summer is followed by a strong autumn and a solid winter, then why shouldn’t we be a little more optimistic. Having run out of adjectives to describe the long, drawn out downturn in Ulster Business, it would certainly be refreshing to get the chance to be upbeat for a change!
Editor: Symon Ross Manager: Sonia Armstrong Deputy Manager: Sylvie Brando Advertising Executive: Stuart Hackney Art Editor: Stuart Gray Production Manager: Stuart Gray Cover Photography: Richard Trainor Publisher: James & Gladys Greer
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SEPTEMBER 2013 5
NEWS
New offices planned for Titanic Quarter
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lans have been submitted for a major new office development in Titanic Quarter, a further indication of increased confidence in the economic recovery. Titanic Quarter has lodged a full planning application for 190,000 sq ft of business space which includes office accommodation and supporting facilities. The building, which will cost £20m to develop, is believed to be the largest new commercial development proposed for Belfast since the banking crisis began in 2007. Located beside Belfast Metropolitan College’s Titanic Quarter Campus, the site will be marketed primarily at companies providing hi-tech support to the Financial Services industry. Titanic Quarter is already home to a number of high-profile firms in the sector, such as banking giant Citi, and the new £20m building will complement plans already in the works to develop a 600,000 sq ft Financial Services Centre. Pending the granting of planning permission, it’s anticipated that the building will open in autumn 2015 and could see a further 2,000 people coming to work in the area. A long term development project, the 185-acre Titanic Quarter site in the Belfast Harbour estate is also home to the Northern Ireland Science Park, ECIT, the Titanic Film Studios and the Titanic Belfast visitor attraction. David Gavaghan, Titanic Quarter’s CEO, said: “As we see the first tangible signs that we are moving out of one of the longest economic recessions in the last century, it is time to ensure
that Belfast can continue to offer potential investors flexible, modern, high-end business accommodation. “Titanic Quarter is confident that this new development will fill a clear gap in the market, enabling Belfast to meet the requirements of the global knowledge economy, as well as offering indigenous firms the opportunity to expand in a dynamic area which is already home to over 100 successful and innovative businesses. “We are already working hard to market the building and the city as we continue to develop Titanic Quarter as one of the world’s most exciting waterfront locations. “Belfast is establishing a strong reputation in financial services, with the Financial Times recently listing the city as the number one destination globally for financial technology
R&D investments and among the top destination cities globally for financial services technology investments.” The CBI Northern Ireland Director, Nigel Smyth, said he hopes the planning application would be processed promptly. “It is vitally important for the health of the city that we create the necessary infrastructure to support job growth. The Titanic Quarter has been a great success to date and offers exciting opportunities in the future.” The new facility will comprise two blocks of six and seven storeys respectively. Located on the site of a former engineering works, the building when completed will occupy a 0.85-acre site fronting the Queen’s Road between Belfast Metropolitan’s Titanic Quarter Campus and the Public Record Office of Northern Ireland. BE A DRAGON: One of Northern Ireland’s most exciting tech companies is giving members of the public a chance to buy into its business as part of a crowdfunding financing round. Until the end of September, Belfast-based company GoPrezzo – which also has offices in New York and San Francisco – will be offering £50,000 of equity to ordinary investors through crowdfunding platform Investingzone.com. Goprezzo provides a marketing integration platform which connects brands to mobile gamers, allowing people to win real-world prizes, rewards and discounts. Since launching it has received over £570,000 from venture capitalists and business angels. Pictured are CTO Dr Martin Scott, CEO Aaron Taylor, and developers Phil Kane and Herman Chan.
6 SEPTEMBER 2013
NEWS
INNOVATOR AWARD: Dr Peter Fitzgerald, Managing Director of medical diagnostic company Randox Laboratories Ltd, has been announced as the 2013 winner of the Innovation Founder of the Year Award. Innovation Founder of the Year, part of the 25k Awards made by NISP CONNECT, recognises the efforts of entrepreneurs whose unique ideas and positive contribution to the community have helped put Northern Ireland innovation on the map.The award, made following public nominations and a subsequent judging panel of previous Award winners, salutes Dr Fitzgerald’s contribution to biochemical research and the local economy. Dr Fitzgerald was congratulated on his award by Ciaran McGivern, Head of Business Banking at Bank of Ireland, sponsors of the 25k Awards.
SEPTEMBER 2013 7
NEWS
BANKERS CHALLENGED
Finance Minister Simon Hamilton has begun a series of meetings with senior bank executives intended to intensify the focus on addressing the challenges facing the Northern Ireland financial sector. The Minister said: “Too many businesses are still having difficulties in accessing finance. This is restricting their ability to access working capital or the finance needed to exploit new business opportunities and jeopardising economic recovery in Northern Ireland.” LAWYER SWITCHES FIRM
One of Northern Ireland’s most respected corporate lawyers, Richard Gray, is set to join top tier commercial law firm Carson McDowell within a few months. Gray, a partner at Pinsents Belfast, will jointly head up the corporate team alongside Neasa Quigley. The firm’s Managing Partner, Michael Johnston, said: “Richard will make an enormous contribution to reaffirming our top tier position in the legal sector.” DENROY WINS DEAL
Denroy Plastics, the Bangor-based plastic moulding manufacturing company has won a major new contract with GKN, one of the world’s foremost aircraft manufacturing integrator companies. The five year contract, worth over £3.5m, involves the supply of various moulded parts for the single aisle range of Airbus aircraft currently being built at a rate of 42 per month.
Rainbow boss criticises ‘4G snub’
M
obile network operators O2 and Vodafone have been criticised by one of Northern Ireland’s best known telecoms entrepreneurs for excluding the province from their recently announced 4G plans. Eric Carson, director of independently owned Rainbow Communications, accused O2 and Vodafone of treating Northern Ireland businesses with “a level of disrespect” by not including the region in their initial commitments to roll-out 4G in the UK. “I find it incredulous that two of the biggest players in the mobile industry have failed to include Northern Ireland in their 4G roll-out plans,” he said. 4G is seen as having the potential to transform how businesses operate, providing superfast access to the Internet from mobile devices no matter where the user is located. Rainbow is already working in partnership with EE – a rival to Vodafone and O2 – to deliver 4G services for organisations in Northern Ireland. “Currently, 4G is only available via the provider EE, which has committed to further roll-out of the network in Northern Ireland,” said Carson. “There are thousands of customers on O2 and Vodafone business packages across the province and I am certain many of them will share my great disappointment in this decision. “Over the decades I’ve witnessed many multi-national telecoms providers over-promise to Northern Ireland businesses, only to leave them high and dry,” continued Mr Carson who celebrates 50 years in the telecoms sector this year. “The future of mobile lies with 4G and I commend EE for its continued investment in the Northern Ireland network and its commitment to ensure businesses are properly equipped to exploit the opportunities that 4G currently offers.”
UTV PROFITS DIP
UTV has reported a drop in profits for the first half of the year after what it said was a challenging six months. The media company reported half-year profits of £6.1m on turnover of £55.2m, down from £10.7m in the same period a year ago. The company, which owns talkSPORT radio, said lower advertising revenues had hit profits, but reported an improved outlook for the second half of 2013. FOYLE TRADE BOOST
Shipping trade through Foyle Port increased by 27% in the past year, according to the Londonderry Port and Harbour Commissioners. The increase in tonnages handled saw the port report an “everimproving operational performance” with turnover of £6.4m leading to pre-tax profits of £1.2m, said the port’s chief executive Brian McGrath.
8 SEPTEMBER 2013
QUICK START:Young Enterprise NI have received support from Ulster Bank to continue the QuickStart programme which enables 14 to 16 year olds to set up and run a business over 10 weeks. Celebrating the news are students from Monkstown Community School, who are QuickStart project winners, pictured with Ian Jordan, Ulster Bank Director of Corporate Banking Division and Jan Gilliland, interim CEO,Young Enterprise NI.
NEWS
PASSING THE BATON: John D’Arcy, Director of the Open University in Northern Ireland, has been announced as the new chairman of Enterprise Northern Ireland, the membership organisation for Local Enterprise Agencies. He succeeds Sandy Smith, who has been chair of ENI since 2011. D’Arcy is currently Vice Chair of Sport Northern Ireland and recently retired as founding Chair of the Oh Yeah Music Centre. Gordon Gough, chief executive of ENI, welcomed the appointment: “John D’Arcy is the right man to take ENI forward. He is exceptionally wellpositioned to create new opportunities for ENI and ensure that our members’ interests and the needs of small businesses in Northern Ireland are well served. Pictured handing over the baton to John D’Arcy are Sandy Smith, outgoing chairman of Enterprise Northern Ireland and CEO Gordon Gough.
SEPTEMBER 2013 9
NEWS
The BIG Numbers
£630m
Player transfer spending by Premier League clubs in the summer 2013 transfer window was a record £630m according to Deloitte, up 29% on the 2012 figure.
€5.4bn
The sum that Microsoft spent to buy the mobile phone business of former market leader Nokia and gains access to its patents and mapping services
£6,000
The undeclared sum of money which led to the resignation of MLA Conall McDevitt. He failed to declare the fee Weber Shandwick paid for his help mentoring the team that replaced him.
80%
The estimated level of reduction in the use of single use carrier bags in the first quarter of the year following the introduction of the 5p carrier bag levy.
Dale Farm delivers record sales
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orthern Ireland’s largest dairy business, Dale Farm, recorded a record level of sales in the last year. In announcing its results for 2012/13, United Dairy Farmers Co-op, the parent Group of Dale Farm, revealed a solid set of results in what was a difficult year for the dairy industry, hit by weak international markets in the first half of the year and adverse weather and high feed costs in the second half. Despite the difficult trading environment overall Group Operating Profit in United, at £5.25m, was 5% ahead on the previous year, whilst overall Group turnover saw a slight decrease (4.3%) to £418.4m, mainly due to lower market returns in the first half of the year. United’s two main subsidiaries, Dale Farm and United Feeds, both posted record sales with Dale Farm sales up 7.5% to £228m and United Feeds sales up 27% to £48.4m. United Group Chief Executive, David Dobbin, said: “Despite the very difficult trading environment, our major investment programme in Dale Farm’s Northern Ireland’s manufacturing plants helped to significantly improve our competitiveness and processing capability driving strong sales growth. Dale Farm turnover increased by 7.4% to a record £228m, with consumer sales up 8.6% to £146m, food ingredient sales up 4.2% to £54.6m and commodity sales up 7.8% to £27m.” He added: “Global dairy markets have seen a strong recovery in 2013 with supply tightening following the adverse global weather conditions in 2012 and the very late Northern Hemisphere spring in 2013. Having now completed our major £39m investment programme, Dale Farm has been well positioned to take advantage of these more favourable markets and has already seen very strong growth in the first half of 2013.”
£3.1bn
The UK trade deficit doubled in July from the previous month, according to the Office for National Statistics as exports to the eurozone fell sharply.
400
The number of temporary jobs that Royal Mail is creating to help sort post over the Christmas period. The shift work will be on offer between November 2013 and January 2014.
6
The Ulster Bank PMI report showed business activity in August accelerated at its fastest rate in six years with new business levels continuing to increase.
10 SEPTEMBER 2013
SHOWCASING SUCCESS: David Watters of RSM McClure Watters is joined by James Carson from Shredbank, Paul Kelly of Sepha and Brendan McGurgan from CDE Global, the companies from Northern Ireland who have been shortlisted in the European Business Awards. Sponsored by RSM McClure Watters, the European Business Awards recognise best practice and innovation in companies across Europe.The awards will be judged in January 2014.
Almac invests £13m in cancer research
Pictured at Queen’s Centre for Cancer Research and Cell Biology (CCRCB) on the Belfast City Hospital campus are Prof David Waugh, Director, Centre for Cancer Research and Cell Biology, Alan Armstrong, CEO Almac and Enterprise Minister Arlene Foster.
C
raigavon pharmaceuticals company Almac is to invest a total of £13m in two research and development projects in collaboration with Queen’s University Belfast. One project will evaluate the clinical performance of the first novel cancer drug fully developed in Northern Ireland. The second project will see the creation of a new drug discovery unit within CCRCB, that will integrate academic and industrial excellence to facilitate the development of further new anticancer drugs. Almac Discovery is focused on the discovery and development of novel and innovative approaches to the treatment of cancer and associated conditions. The projects will both be based at Queen’s Centre for Cancer Research and Cell Biology (CCRCB) on the Belfast City Hospital campus. The investment includes a £7m offer of support from Invest NI, part funded by the European Regional Development Fund. Alan Armstrong, CEO of Almac, said: “By integrating academic and clinical researchers with experienced industrial scientists we have the means to accelerate cancer focused drug discovery towards the ultimate goal of improving patient care. “A team of 17 Almac scientists will be seconded to Queen’s CCRCB for three years and the combined unit will create a coordinated drug discovery and development pipeline.” Known as ALM201, the prototype for the novel cancer drug was initially discovered by Professor Tracy Robson in the School of Pharmacy at Queen’s University. Through the work of Almac Discovery, this prototype has now been developed into a drug that is being taken forward into a new clinical trial for ovarian cancer. Led by Dr Richard Wilson, Director of the Northern Ireland Clinical Trials Unit at Queen’s, it will involve up to 60 patients.
Changes ahead for Chinese trade By Ruth Graham, Head of Trade Finance Sales, Danske Bank
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hen exporting, there are a number of internal considerations that firms have to carefully weigh up in order to achieve success – for example, how they choose to adapt their products or how they will plan the marketing. Yet there are also a number of macro factors that can have a major impact on firms’ access to markets. One such factor is the different regulations that international governments place on trade with local companies. This is something that has particularly impacted on Northern Ireland businesses looking to break into the market in China. The buying and selling of renminbi, the Chinese currency, used to be very strictly controlled. However, in recent years the Chinese government has focused more on long-term structural reforms, putting aside the short-term relief of a controlled currency for the economic benefits of a floating rate and a more easily traded international currency. Reform could be put to one side if there is a slowdown in the Chinese economy. Yet the foreign exchange system and international payments system are expected to be liberalised over the coming years. The government is expected to publish a blueprint for achieving a convertible currency and a floating exchange rate as early as 2015. Although this is an ambitious target that may be missed, it does indicate that there is a will to allow market forces greater influence on the exchange rate. This is borne out by the fact that the Chinese central bank has allowed the renminbi to appreciate faster than the US dollar in recent months, making Chinese products more expensive to buy abroad. This change would have real benefits for companies seeking to trade with China. Not only would there be fewer restrictions on the use of renminbi, the documentation requirements for payments would be reduced when the currency became convertible. Businesses would also be better able to manage their risks as liquidity in the renminbi market improves. If you are thinking of exporting to new markets make sure you get expert advice. Danske Bank already has experience in dealing with Documentary Credits issued in Chinese currency and can help you keep up to speed on your financing options.
To talk to us about how we might support your exporting ambitions, you can email me on ruth.graham@danskebank.co.uk or telephone 028 9004 8683
SEPTEMBER 2013 11
NEWS
Global growth moves up a gear – Danske
T
he global economy is set to benefit from the US and Europe picking up speed in late 2013 and during 2014, according to a new report published by Danske Bank. In its latest global report The Big Picture, Danske Bank says the euro area recession has ended and forecasts global growth of 2.9 per cent in 2013 and 3.9 per cent in 2014. After two and a half years of very subdued growth in the Western world, a gradual recovery in developed economies is now emerging and is expected to gather pace in 2014 and 2015. Danske Bank Chief Economist Angela McGowan (pictured) said: “When it comes to the global economy developed economies are seeing a good recovery. The US is performing really well and the euro area has largely managed to put the debt crisis behind it and slowly move out of recession. The risk to global growth has now shifted from the Euro area to emerging market turmoil. Although emerging markets are currently lagging, they are expected to benefit from rising exports to the developed world and recover in 2014”. The biggest change to Danske Bank’s global forecast is a revision of their Euro area outlook. After six quarters of contraction the recession in
the Euro area has finally ended and the economy grew by 0.3% in Quarter 2. Ms McGowan said: “Uncertainty has been reduced considerably after the ECB tamed the euro crisis with the famous ‘whatever it takes’ comment. As confidence rises for households and the corporate sector, money is likely to be spent and invested, therefore pushing up economic growth. Fiscal policy tightening in the US and Europe is at its peak this year and the effects will start to ease in coming quarters
creating room for economies to grow faster. Low inflation will also support growth as the cost of living is only rising very slowly and leaves scope for central banks to keep interest rates extremely low for a very long time.” Their report also said the developed market recovery will soon give support to Emerging Economies. It notes that the Chinese economy appears to be stabilising but will remain subdued. Overall growth in China is forecast at 7.4 per cent this year and 7.7 per cent next year.
UK recovery accelerates leaving NI behind
C
ompanies in Northern Ireland are more likely to be facing critical financial distress than their equivalents in the rest of the UK, according to a survey for business rescue and recovery specialist Begbies Traynor. The latest Begbies Traynor Red Flag Alert, which monitors the financial health of “Corporate UK”, shows a four per cent increase in the number of Northern Ireland companies in critical distress. The research for the second quarter of this year shows the rest of the UK has seen a decrease in the number of companies facing financial problems. The Begbies Traynor Red Flag Alert reports that 48 Northern Ireland companies faced critical problems in Quarter 1 and that this had risen in Q2 to 50 companies. However, Joan Houston (pictured), partner at the Northern Ireland office of Begbies Traynor, who focuses on the mid-market and SMEs, believes there is room for optimism. “While the rest of the UK appears to be showing signs of stability and in some sectors and regional areas, strong signs of recovery, we
12 SEPTEMBER 2013
should not lose heart in Northern Ireland,” she said. Leading the recovery in Northern Ireland with significant reductions in ‘critical’ financial distress when compared with the same period last year, is Leisure (-39%), Travel & Tourism (-27%), Sports and Recreation (-29%) and
Financial Services (-29%). The sectors most dependent on consumers’ disposable income including hotels, bars & restaurants and general retail were the industries that saw some of the largest increases in ‘Critical’ distress in Northern Ireland, rising 39 per cent, 27 per cent and 7 per cent respectively. Ms Houston said there Begbies had “real fears” that many SMEs will have serious financial difficulties at the times they least expect – during a recovery. “Our experience has shown time and time again that many SMEs run out of cash during the recovery phase as there is real temptation to overtrade. “Many of these companies at risk have been labelled as “Zombies” in the past but, with the majority having survived the worst of the recession, they are now chronically underfunded; benefitting from low interest rates and improving confidence but in desperate need of finance and, crucially, guidance to help them take advantage of the dawning economic recovery in an unfamiliar post-crisis market.”
COVER STORY Abbey Bond Lovis directors Gary Crabbe, Maurice Boyd, Andrew Stevenson and Stephen Carlisle photographed at The Terrace restaurant at Robinson & Cleaver in Belfast.
A growing
footprint Photography by Richard Trainor
14 SEPTEMBER 2013
COVER STORY
Commercial insurance brokers and risk advisors Abbey Bond Lovis are ramping up their coverage of the regions in Northern Ireland while also winning more large corporate customers. Ulster Business found out about the firm’s plans for the future from Managing Director Maurice Boyd.
W
hen a company reveals plans to move to a bigger office, you can normally take it as read that business is going well. That’s certainly the case for Abbey Bond Lovis, the independent commercial insurance broker, which has been steadily gaining a larger share of the corporate market over the past few years. The growth in business enjoyed by the firm has seen its staff numbers rise to 114, giving it the largest on-the-ground workforce of any commercial insurance broker in Northern Ireland. That growth has led to the need for further physical expansion and the company has taken the bold step of committing to move from its current Head Office to new premises, the former NSPCC building in Jennymount Business Park in Belfast. >>>
SEPTEMBER 2013 15
COVER STORY
Abbey Bond Lovis directors (left to right) Paul Hanna, Maurice Boyd, Gary Crabbe, Gary Martin, Andrew Stevenson and Stephen Carlisle photographed at The Terrace restaurant at Robinson & Cleaver in Belfast.
Maurice Boyd, Managing Director of Abbey Bond Lovis, says staff will move into the new site in around six months after an extensive refurbishment of the offices. “The move will give us double the space we have currently, allowing room for growth. It is a bit of a statement of intent from us, to show that we’re here for the long term and that we intend to remain serious players in this market,” he told Ulster Business. The new glass fronted offices will give the company its own reception to greet clients, meeting rooms for client reviews and, by remaining outside the city centre, will also have the added benefit of providing them with free parking. Abbey Bond Lovis has enjoyed success since being founded in 2004, working with many high profile clients. Boyd says the broker remains focused on winning business from more of Northern Ireland’s top companies. “We continue to look for growth in the corporate sector. In addition, we remain strong in terms of clientele in the SME sector and are equally committed to this important area of our business. But we see more rapid growth in the corporate sector, those top 100 or 200 companies who might traditionally have gone with a national broker,” he said. REGIONAL REACH One of the key selling points which Abbey Bond Lovis believes sets it apart from its
competitors in the commercial broking sector is the availability of its services in key regional hubs. As well as its head office in Belfast, the firm is investing in its offices in Mid Ulster and the North West to ensure all the resources it has centrally are on offer to clients around the province who want to speak with their broker closer to home. The decision to invest in these regional offices came about after the senior leadership team undertook a strategic review and analysed the market to see if it could improve its service offering. “We don’t believe a centralised approach is the way forward so what we have done is put a director in these offices to ensure there’s a senior presence to drive the business forward. It is a strong commitment to the local area and it means that whether you are a large corporate business or a smaller regional customer, you’ll get the same service from each office” said Maurice. “It is a big change and a big challenge but it is another area that sets us apart from our competitors. We can do all we need to from the regional offices without someone having to come to Belfast. We’re offering a corporate and SME service but with local representation.” Abbey Bond Lovis intends to double the size of its Coleraine office and is already recruiting new staff under the direction of director Gary Crabbe.
“we see more rapid growth in the corporate sector, those top 100 or 200 companies who might traditionally have gone with a national broker.” 16 SEPTEMBER 2013
The Armagh office, headed up by fellow director Stephen Carlisle, has just undergone a similar review and will be adopting the same approach to linking regional and local business. Showing how confident he is in the strategy, Maurice says the company plans to look at the possibility of expanding to other regional centres in the near future. “I wouldn’t rule out an office in another location as we believe this approach will really work for us,” he said. SERVICE SKILLS Maurice Boyd is hopeful that Abbey Bond Lovis’ investment in its offices will show both the wider business community and its own staff that the directors are committed to driving the business forward. It’s a company that also invests in its staff, with bespoke individual training plans in place for every staff member, from receptionist to Managing Director. The MD says a lot of the training revolves around the softer skills needed to make sure the company is looking after its customers. “As a business grows it is easy to take your eye off the ball. We’re determined not to do that,” he said. “You have to work hard to build relationships with clients and potential clients. Northern Ireland business people are cautious by nature so we’re focused on developing deeper relationships with people across the province.” Boyd stresses the company’s independence, which means that unlike rival brokers owned by big parent companies, it doesn’t have to get decisions approved through London or Dublin or further afield. “That’s important because we can make quick decisions for our clients’ business and our own. We’re very fast moving and clients like that,” said Maurice. “When it comes to insurance, yes, price is important, but clients equally demand quality service. We’re committed to delivering that quality.”
BUSINESS PSYCHOLOGY
Don’t forget to smile As energy prices soar and fossil fuels dwindle, the case for making our businesses more sustainable has never been more relevant. In this month’s article, David Meade explores how organisations can motivate their teams and even their entire community to behave in ways that are more sustainable.
D
ecades of research have been dedicated to understanding better how we can persuade teams and individuals to behave in the way we’d like, to get the results that we want or need for ourselves or our organisation. I’ve looked at a lot of these scientific principles over the last year in this column, and I know they can create measurable and meaningful change in organisations of all types and size. As useful as these techniques are, though, they are not specifically designed to be used with large groups of people. But could an organisation use a simple psychological technique to change the behavior of an entire street, or community, or even a city? THINK BIG In one recent project, researchers set out with a very grand objective – to use inexpensive but effective techniques to change the energy consumption patterns of an entire community. Permission was sought from 300 ordinary domestic residences on the west coast of the US to monitor accurately their day to day energy usage. An average figure was accorded to their usage to act as a baseline on which to compare any changes that might come from researcher intervention. Once all of the averages had been collated, researchers placed a small card on the front door of every house in the study which indicated how much energy that respective home had used, compared to the overall average of all the houses – some consumed more than the average, and some used less. Two powerful things are at play in this study. First, people were for the first time being compared to their neighbours and had a tangible means of appreciating whether their energy consumption was considered to be more or less excessive than those around them. Secondly, and perhaps more powerfully, each homeowner could now SEE each other’s card on the front doors, thereby demonstrating publicly which of their neighbours were also over or under consuming. Monitoring continued over a period of weeks to establish if these interventions had any impact on usage. The results appeared very positive, and researchers found that those households who
18 SEPTEMBER 2013
had higher energy consumption actually reduced their usage by nearly 6%. While only a small change, it would seem that the study created an incremental positive change in behavior that meant both their bank balances and their environment would be a little healthier as a result of the study. There were some far more interesting findings though. The evidence also showed that those households that had been underconsuming – that is to say they were using less than the average – actually increased their energy draining activities by nearly 10%. But why? MIND THE MIDDLE The research suggest that it’s most likely down to the fact that we, as humans, are essentially herd animals. We want to behave in a way that’s consistent with everyone else, and will do everything we can to fall into a consistent pattern of behavior with them. We don’t even realise we wish to, or that our behavior changes to fall in to the crowd. The researchers’ report that individuals who fall outside the perceived average are compelled to modify their actions to fit the larger groups, even if our original behavior had been the ‘better’ one. TURN THAT FROWN So while it had fairly admirable aims, there’s a chance that the study might have actually increased consumption in the sample group. Researchers needed to find a way to maintain all the positive effects without changing the behavior of the already sustainably minded households. They decided to test a very simple idea. To clearly signify to participants that they were doing the right thing they placed a ‘smiley face’ on those that were already behaving in a sustainable manner, and a frowning face on those that were guzzling electricity. This was a way of saying ‘well done’ to those who were already in the good books, and a ‘could do better’ to those that warranted it. The results were clear. Those households that received a frowning face continued to reduce their energy consumption by around 5% whether the feedback featured the face or not. The smiley face, though, was much more impactful; while the ‘good’ households
in the previous study actually increased their consumption, this time those that received smiley faces continued to remain just as ‘good’ as before by not changing their pattern of consumption in any way. BACK IN THE OFFICE So what do these results mean for your business? There are a number of very clear messages that have wide reaching application in organisations of all sizes. Firstly, beware of pointing out ‘average’ performance in any reporting. Sales people might be more likely to work towards achieving that average level of yield in a given quarter than aiming for the top of the leader board because they perceive that most people are performing at that level so if I achieve that I’ll be okay. Managers should also make performance feedback as clear as possible. Where your individuals are underperforming - in any aspect of their work – communicate this with clarity and precision, and be prepared to support them towards achievement. Similarly though, high flyers should be rewarded and recognised for their achievements by pointing out how they are excelling and what a difference it’s making to their team and the overall organisation. Never EVER frame their achievement as ‘overperforming’ unless of course you want their energy and effort to gravitate back down towards the average. And remember, don’t forget to smile. About David David is a researcher and lecturer in international business with one of Irelands leading Universities, whose personal interests have always focused on aspects of popular psychology, consumer behaviour, and choice. He’s driven by a passion for understanding how and why we think the way we do. David has become a sought after international speaker and corporate advisor in the USA and Europe with a reputation for an innovative style that forces audiences to think critically about the challenges around them. In this series of articles for Ulster Business, he cultivates a wide range of cutting edge research in management and leadership to help you achieve peak performance. Find out more about David’s work on www.davidmeade.co.uk and follow him on twitter @davidmeadelive
BUSINESS PSYCHOLOGY
SEPTEMBER 2013 19
ANALYSIS
House building kick start is now urgently needed After taking an analytical look at the recently published strategy for new housing in Northern Ireland, economist John Simpson finds many questions left unanswered.
S
ocial Development minister Nelson McCausland has published a new strategy which he says will ‘deliver decent, affordable and sustainable homes’ for people who live in Northern Ireland. The rhetoric of his ambitions laid out in Facing the Future: Housing Strategy for 201217 is absolutely necessary. There is a seriously disrupted housing market and a worrying degree of uncertainty about the delivery of effective coherent policy changes. The housing strategy addresses some of the problem areas but leaves others vulnerable to uncertain market forces. Perhaps significantly, the new strategy avoids a documented programme for the number of new housing units that are needed. The housing market has bottomed out. Average house prices have steadied and any price variations are now more likely to reflect variations in supply and demand in different
20 SEPTEMBER 2013
parts of Northern Ireland rather than the distortions of the boom and slump of the past decade. The most critical questions are whether the response of the housing market, the response of housing developers and the response of the building industry can be influenced to allow housing to be a positive critical feature of the recovery of the local economy. The housing market in the later months of
2013 is still a long way from what might be termed normal: • The market is constrained by an inherited 69,000 houses where the owners or purchasers face negative equity. • The assumptions of a decade ago about the availability of funds for house purchase have been changed: higher minimum deposits are expected by lenders, although interest rates are
“By setting out a wide ranging and detailed multi-layered matrix of housing issues, the Minister has set an over-ambitious agenda.”
ANALYSIS
lower and expected to be more stable. • The low levels of house building and the smaller number of housing moves in the last five years has created a potential pent-up demand which has yet to be assessed for its scale or likely impact. In addition, the housing market will be affected by a number of decisions by Ministers, particularly Nelson McCausland as Minister for Social Development, on future policies on the provision of social housing (and its financing) and the restructuring of the Housing Executive. Into this agenda of issues affected by Government, there must also be added the impact of welfare reform, particularly as manifested in changed regulations on entitlement to housing benefit (or the scale and impact of subsidies on rental charges to tenants). There is no easy way to guarantee that a more stable housing market will lead to the building of an adequate supply of new housing. Understandably, the Minister would acknowledge that new housing will be provided from a range of organisations but, particularly, private sector developers and the providers of social housing. Government’s ability to influence private sector developers is constrained and indirect but not inconsiderable. The Government’s ability to influence the amount of new social housing is clear cut both in terms of the financial and institutional arrangements. The Minister is vulnerable to criticism that his housing strategy is too passive about the likely response of the private sector and too complacent about the reform of the arrangements to increase the scale of social housing and also fails to inject a short-term increase in the amount of new social housing which would partly compensate for the current lack of activity in the private sector. The Minister estimates from the Regional Development Strategy that Northern Ireland needs around 11,000 new housing units each year. Currently, the annual average is nearer to 7,000. Given the demographic trends in Northern Ireland, there is little dispute that there is a considerable shortfall. Even with more ambitious plans for the social housing programme, over 70% of the possible 11,000 new housing units would be expected to come from the private sector. This deficiency points to questions about restoring and strengthening the private sector response, or even temporarily, for 2-3 years, increasing the scale of social housing to support the recovery. The motivation of private sector developers may need to be encouraged. Would there be a number of developers or builders ready and willing to build more houses in today’s market conditions? The profit margins per housing unit have been squeezed but, nevertheless, many builders would be ready to compete for work. Would planning permission be facilitated? Any attempt to impose ‘brown field’ quotas could be frustrating. Also, any decision to introduce
Nelson McCausland (left and above) recognises the need for new housing.
“There is no easy way to guarantee that a more stable housing market will lead to the building of an adequate supply of new housing.” ‘developer contributions’ that tightened profit margins could be unwelcome. With the transfer of planning decision making to the new local authorities in 2015, some reassurance on the scope for planning delays or changes needs to be on offer. The Minister has greater scope to influence the scale of social housing provision in the immediate future. The annual target, usually less than 2,000 units each year, and the role of the housing associations needs to be clearly stated. The largest single issue in securing the programme for social housing rests with the future role of the Housing Executive, or its successor(s). Because of the rules on public sector finance ordained by the Treasury, the Housing Executive currently is financed by borrowing from the Treasury. This borrowing then impacts on the recurrent financing of the Executive. There are various plans that would free the Executive from the financial restrictions of the link with the Treasury. Either the Housing Executive could be effectively transferred into a free standing not-for-profit institution which could borrow on the commercial markets or, on a phased basis, the housing stock owned by the Executive could be transferred to a number of housing associations which might borrow any capital needed. Both mechanisms might call for a proportionate capital write-off by agreement with the NI Executive. There is a compelling logical need to adopt and implement an expeditious reform programme for the Housing Executive.
Worryingly, the Minister’s action plan gives little detail on the transfer of properties from the NIHE. 500 of the worst NIHE stock are due to transfer to housing associations in 2013-14 and 2,000 in 2014-15. Some of the remaining 86,000 might transfer in 2015-16. Even if the transfer to housing associations has Assembly support, the need for agreed transfer mechanisms, financial hand-over details, and specific governance arrangements, all point to a complex piece of administration that will cause some delays. There is a danger that the social housing programme, far from being used to supplement local house building, may deliver a small programme. Nelson McCausland has committed to a complex action plan for his housing strategy. Whilst the plan is comprehensive, the danger is that some of the key ‘building blocks’ are somewhat insecure in delivery. The Minister would be advised first to focus on the big questions of securing enough housing at affordable rents. Some of his other priorities on private sector rents, the application of housing benefit rules, fitness standards, private sector repairs, social housing allocations policy, innovative funding mechanisms, and wider questions of urban regeneration and integrated housing policies would follow in a timely fashion. By setting out a wide ranging and detailed multi-layered matrix of housing issues, the Minister has set an over-ambitious agenda. It is so wide ranging that the weakness is that delivery will lack sufficient coherence.
SEPTEMBER 2013 21
ANNIVERSARY EVENT
25 years
of the Top
U
lster Business marked the release of the 25th anniversary edition of our Northern Ireland’s Top 100 Companies issue with a drinks reception at one of Belfast’s most popular new eateries. More than 150 invited guests enjoyed champagne and canapés at The Terrace at Robinson & Cleaver, a fantastic venue on Donegall Square overlooking Belfast City Hall. Part of the department store of the same name until the mid-1980s, the new Robinson & Cleaver restaurant opened at the end of July after extensive investment to transform the space from a neglected retail store room into a stylish restaurant. Guests also heard from Robin Johnston, Enterprise and Commercial manager for Blackberry – which sponsored this year’s Top 100 listing – who outlined the company’s plans for the future and how it intends to keep helping business.
RIGHT: Robin Johnston of BlackBerry with Stuart Hackney, Sonia Armstrong and Symon Ross of Ulster Business magazine.
Matthew McGreevy, Thomas Osborne and Robert Montgomery of Osborne King.
Ann McGregor, NI Chamber of Commerce; Linda Brown, IOD; Marie McGuckin, NSPCC and Frances Hill, Bank of England.
Eva Adams of WIBNI; Donna Rice, Nigel Harra and Laura Jackson, BDO and Roseann Kelly, WIBNI.
Bill Manson of Podiem, Neal Lucas, Neal Lucas Rescruitment and Alastair Keith of A&L Goodbody.
24 SEPTEMBER 2013
ANNIVERSARY EVENT
Alastair Hamilton of Invest NI with Noel Brady.
Glyn Roberts of NIIRTA; Bronagh Luke, Hendersons; Ralph McGuckin, Bloomfield Corporate Consultancy; Simon Hamilton MLA and Paddy Doody, Hendersons.
Holly and John Lyons with Hanna Greer.
Marian Mawhinney of El Divino, Chris Love of Chris Love PR and Eve Wallace of The Albany.
James and Gladys Greer of Greer Publications with NI Assembly Finance Minister Simon Hamilton.
Kathryn Thompson of the NITB and Mandy Patrick of Park Avenue Hotel.
John Moore of Hays with John Price and Gareth Clarke of NI Jobs.
Sylvie Brando of Ulster Business with David Wilson of Worthingtons Solicitors.
SEPTEMBER 2013 25
MEET THE DIASPORA
Working in frontier markets In the first of a monthly series in which Ulster Business will be meeting members of the Northern Ireland diaspora and finding out about what they are doing to help promote the region, we talk to international investor and consultant Simon Bell. they are the best ways to create jobs in those countries. Where is home for you? Home and my HQ is technically London but only because of connectivity. I only spend about a quarter of my time there and the rest is split between Sri Lanka, Uruguay and Tanzania. What are your links to Northern Ireland? My grandparents on my mother’s side are from the North and my mother was born in Banbridge but they emigrated to Africa when she was eight years old. I was born in Sri Lanka and my brothers were born in Africa and we’ve all moved around the world through our lives, but we still have relatives in the Belfast area and have always stayed in contact.
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imon Bell is an international investor and consultant, specialising in emerging markets investment strategies. He advises companies, governments and industry associations on strategies to accelerate investment and growth in key sectors of the economy. Simon is the founder of Armillary Ventures, a boutique investment firm focused on launching sustainable tourism and agribusiness ventures in promising frontier markets. With family roots in Zambia and raised in Ethiopia, Simon has long been a proponent of private sector investment in Africa. He served as an advisor to the Commission for Africa and helped with the early design of the Investment Climate Facility for Africa. Tell us a little about your business? I always wanted to focus on addressing poverty in developing countries through private sector investment. I did that through consulting for 20 years but wanted to put my money where my mouth is so I started a micro fund to focus on sustainable community based enterprises in frontier markets. So far all four businesses under development are based on tourism or agricultural exports, which make sense as
26 SEPTEMBER 2013
Do you feel a strong connection to Northern Ireland? There is this intangible, sometimes irrational connection. I’ve never lived in Northern Ireland, I haven’t spent lots of time there. But I noticed recently, in starting a the venture in Sri Lanka, a small tea and coffee exporting business, when we were looking for generator equipment I was drawn to the Northern Ireland names. When it comes to business you will always choose the best supplier, but there
is always that little extra link and an element of trust that makes you think, they’re from Northern Ireland, they must be good. There’s still a very positive view or British and Irish engineering and entrepreneurship. How do you hope to help NI Connections? A lot of the consulting work I do around the world is with governments on attracting trade and being more competitive. So I want to help Northern Ireland with the lessons I’ve learned in places like Chile and Sri Lanka, to at least informally give input to NI Connections and Invest NI about successful campaigns that have worked elsewhere. There was a delegation going on a trade mission to South Africa and so I reached out to a couple of Northern Irish diaspora connections I have in South Africa to get them involved in that. I left full time consulting to focus on my own investments in community based enterprises around the world, which are up and running in Sri Lanka and at the early stages in Tanzania and Latin America. I hope to be able to offer internships and take students from Northern Ireland to get some of the advantages I had from being exposed to an international environment at an early age. Where globally should NI companies be looking for business? I was formerly with US consulting firm AT Kearney and set up offices for them in Russia, South Africa and India. I also worked a lot in China. The big emerging markets are obvious to everyone but my own businesses are focusing on slightly lesser known places like Sri Lanka, Uruguay, Nicaragua, Tanzania. They are growing incredibly fast and there is massive opportunity and yet because they are smaller economies they haven’t crossed most people’s radars. For an exporter of manufactured goods, or agricultural machinery, they represent a big opportunity. But also for the export of services. Being a small place I think there is an advantage of focusing on the lesser known markets where you are not going to be swamped by an American or Chinese competitor.
ICT Quarterly
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ICT QUARTERLY
With the CoderDojo movement gaining in popularity, Amanda Ferguson visited Belfast Metropolitan College to find out if an adult with no coding skills could learn the basics of computer programming.
S
O, what is CoderDojo I hear you cry? Well, I have to admit, until I read about it on Twitter earlier this year I didn’t have a clue. It’s not a new cafe, religion, or yoga technique, but a free computer code training club for school children to learn how to write computer code, develop websites, apps, programmes, games and more. It’s a free global collaboration founded in Co Cork, Ireland, in 2011 by Bill Liao and James Whelton. CoderDojo now operates across 22 countries, teaching around 10,000 children to write computer code and programmes each week. CoderDojo projects have been popping up across Northern Ireland, including in Armagh, Ballycastle, Ballymena, Belfast, Coleraine, Dungannon, Londonderry, Newry and Omagh. Dr Jonathan Heggarty, head of school
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for electrical, electronics and computing technologies at Belfast Metropolitan College, gave me a crash course earlier this month and I was pleasantly surpised by how easy it was to pick up. I have (very) basic computer skills and I am definitely not technology minded (as my husband will confirm) but I was able to start creating a basic computer game using some simple drag and drop techniques. I was given a taster of what young people learn over a five week introductory course at BMC and can see how it would be appealing to IT-minded kids, in fact, to all kids. Learning about Raspberry Pi computers, Android Apps, website creation and Mindcraft modifications of a Saturday morning sounds like fun enough, but add in the social element, not to forget the free healthy snacks and the progression from white belt onwards (that’s the
dojo bit) and it’s easy to see why boys and girls are keen to get involved. Dr Heggarty, said: “Around a dozen mentors from industry help out every week and parents will also help. As the young people are creating their games or app and need any assistance the volunteers are there. “One of the key ideas is that it is a free programming club for young people. It’s a loose movement rather than a formal organisation.” Children learn scripting through the game Mindcraft and how to create computer games using software such as Game Maker, something I am reliably informed you could live off the proceeds from if you sold your work and it was successful. They explore App Inventor, an online visual way of programming, a bit like a jigsaw puzzle, that’s a lot easier than typing in raw code. It’s used by the University of Ulster as part of their
ICT QUARTERLY
undergraduate course, so the skills the young people are learning at CoderDojo, even though they are maybe in their early teens or younger, are relevant. As Dr Heggarty put it, it’s “serious technology”. “At this age if they can create an app or a game or a website without a tremendous amount of effort and it’s accessible then hopefully they will think IT is a good career,” he added. “Even if they don’t think about that, it will still improve their IT skills.” Dr Heggarty said Momentum, the trade association representing Northern Ireland’s information, communications and technology (ICT) industry, has been of great assistance to the college in relation to CoderDojo, as have business sponsors, including Citi. “The kids created really clever games as part of the Citi competition to promote financial awareness in young people,” Dr Heggarty explained. “They really work well and Citi are now going to use those games when they go out and speak to young people about software, programming and working within their sector.” To date over 220 children aged 6-16 have been involved in CoderDojo Belfast with over 150 belts awarded to acknowledge the achievement of learning new skills and assisting others in various technologies. Dr Heggarty told Ulster Business he sees CoderDojo as part of the college engaging with society to encourage life-long learning. “We are doing that at this young level, 5-yearolds getting involved, 8 to 16-year-olds getting involved, and engagement with the schools sector through Bring It On and the Code Camp,” he added. “We’ve then got our main programmes which are 16+ and those would be level two and three diplomas, HNDs and foundation degrees. At the upper end we also do bespoke training for companies, we also do a lot of certifications such as Microsoft and Adobe. “We see it as vital to be involved across a broad range of areas and our work means our courses are always industry relevant.” Joanne Stuart, of Attrus Ltd, is a non executive director at the Northern Ireland Science Park and a champion for Science, Technology, Engineering and Maths (STEM). She has attended three CoderDojo courses with her nieces and nephews. Two were run by BMC – CoderDojo and LEGO Mindstorm Robotics - and one run by University of Ulster, based on Blender 3D design software. “Business is crying out for these type of skills,” she said. “There is so much resource online, it’s really amazing what the kids can achieve. In less then
six months my nephew was developing games, phone apps and a website.” Joanne added: “Technology underpins everything we do and we are using it every day for everything, yet we’re not really getting underneath how it all works. “Kids are so curious, take in so much and are so comfortable with technology, so CoderDojo is a fun way to learn and hopefully it inspires them to take it further and understand why maths and physics is so important. It gives them more of an interest in those subjects.” Joanne said the collaborative approach of Coder Dojo helps develop young people’s confidence and team building skills, and she praised the efforts of the volunteers who run the clubs. “It’s all done on a voluntary basis. We need mentors to work with the kids on a one-to-one basis. The success of it is really down to the mentors prepared to give up three hours on a Saturday morning. Parents coming along are learning as well.” A great supporter of Coder Dojo is IT employer Citi, which has been operational in Belfast since 2005, with staff working across technology, operations, legal and compliance. John Healy, Citi IT senior group manager, said: “CoderDojo is a very interesting programme, particularly in the way it gets kids interested in technology from a very early age. “An important part of Citi’s strategy is to attract and retain talent from universities and schools which is essential for the future of banking.” This year, as part of the CoderDojo programme Citi helped young people learn how to code, write applications and develop games.
“Citi ran a competition for students from the Belfast Metropolitan College and the standard of entries was incredible. We intend to have some of the games developed for our outreach work to secondary schools,” said John. “It’s vital to get more school kids excited and enthused about technology. As a major employer in Belfast, it’s important for us to support projects such as CoderDojo, and also the STEM agenda which is helping develop the skills base in Northern Ireland.” On my visit to BMC I also watched videos of children being interviewed about their CoderDojo experience. The general consensus was “CoderDojo rules!” and I have to say I agree. For more information see @CoderDojoBMC and visit www.coderdojobelfast.com
CoderDojo is a movement orientated around running free not-for-profit coding clubs which teach young people to learn how to write computer code, develop websites, apps, programs, games and more. CoderDojo Belfast was founded by Belfast Metropolitan College in association with Momentum in April 2012 to make development and coding fun, as well as a sociable and rewarding experience which will hopefully encourage young people to pursue a career in ICT.
SEPTEMBER 2013 29
ICT QUARTERLY
Momentum’s Rob McConnell with Summit sponsor Ellvena Graham of Ulster Bank
Reaching the Digital Summit Ahead of the first Digital Summit organised by ICT federation Momentum, the organisation’s chairman, Rob McConnell, Citi’s John Healy and entrepreneur Aaron Gibson outline some of the key issues facing the sector.
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omentum has long been the voice of the Digital sector in Northern Ireland, but about 18 months ago we decided to up our profile, and to push harder for a more integrated government policy towards the growth of the sector. The Digital Summit, sponsored by the Ulster Bank, which is due to take place on September 25, is the outworking of that decision, and if we get it right it will lead to the creation of 20,000 new jobs over the next five to ten years. The Summit is an ambitious attempt to bring all of the main stakeholders in the digital sector, in government, in education and in the wider business community to discuss working together to create thousands of new and sustainable jobs in the near future. That involves looking at the three main issues which Momentum has outlined as key throughout this initiative: • Access to skills • Access to funding • Access to markets
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Since the publication of our manifesto in January, which outlined a series of proposals to take these issues forward, we have met with a range of stakeholders, including leading FDIs, smaller indigenous companies, educational stakeholders, government departmental representatives and others to gauge their reaction to the manifesto and to take its work forward. We are in the process of a series of proposals which are cognisant of the excellent work already going on across all departments in Northern Ireland, and to bring them together into a new strategy proposition. Some of the elements of that proposition were presented to representatives of all relevant departments recently, and will now be further developed as a result of feedback from that engagement. We will also have input from international IT consultants Gartner, all of which will then be presented as a ‘Proto strategy paper’ on the morning of the summit for discussion, feedback and refinement throughout the day.
A representative of each of the government departments present will be given the opportunity to speak at the plenary session, to react to the paper presented by the Momentum team, and to outline their approach to tackling the issues as they see them. Further to that we will have a series of speeches from various Ministers who have kindly given us their time on the day, and a range of break-out sessions which will look at the areas of skills, funding and markets. At the end of it all we hope to have a series of proposals which will lead to a new partnership between the Digital sector, government, and education which will drive forward a period of unprecedented growth in Northern Ireland. The Momentum Digital Summit is a major event in the business calendar, with the potential to yield a new dawn for the sector, for our society and >>> for all our people.” Rob McConnell is Chairman of Momentum
ICT QUARTERLY
Big employers support skills agenda
“C
iti have had tremendous success in Northern Ireland. Our technology centre opened here in 2005 and has grown over those eight years to the point where we now have over 1,200 employees. Citi Belfast is predominantly a technology delivery centre. In Belfast we write, test and support the software that drives the capital markets business of Citi and we also support the technology infrastructure on which it all runs. Skills and the availability of talent is one of the pillars of the upcoming Digital Summit and Citi’s success in Belfast has been primarily built on the availability of that talent. We have been really successful in attracting, developing and retaining some of the best talent, and if we had access to more skilled technologists we could do even more. There is a global shortage of IT skills, and Northern Ireland is no different in that
respect. Where we are different is that with the leadership of Momentum as the voice of the digital sector we are in a position to make a difference. A lot has been done already, but there is a lot still to do, and that is why this Digital Summit is so timely and so important. There is a lot of goodwill from the sector for Momentum and the Digital Summit. It is not all about Skills, with Funding and Access to Market two other key pillars of the Momentum manifesto. With technology placed at the centre of the programme for government as a priority sector for the economy there is every reason to be hopeful that the Summit will deliver real results.” John Healy is IT Senior Group Manager at Citi in Belfast.
Entrepreneurs ‘need a route to market’
“A
s a 20 year old entrepreneur with various diplomas and awards in business and investments I have obviously always had an interest in the business world. But YumPod is my first major project. Over the past two years we have been raising funds in order to create our online gaming platform. It will – we hope – revolutionise both how we perceive gaming and teaching at home and in the classroom. With a blend of information and gaming technologies, we have created ‘You vs. The World’ a futuristic immersive game which allows you to impart knowledge by keeping the concentration level of the user to a level where they enjoy learning and gaming all at the same time. As a young entrepreneur my next challenge is gaining a route to the market. Selling to public schools is no easy task, however, we have been in the process of putting a plan in place to access the market. YumPod will be attending the Digital Summit with the aim of gaining contacts in the private and public sector. Coming out of the Digital Summit we would
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like to see a mechanism put in place that would help private sector businesses sell into the public sector. During our time carrying out market research we found it very difficult to get in touch with the right person, we would go as far as to say this was one of our biggest challenges when developing the business. If young entrepreneurs like me, who have the energy and the know-how to put ourselves out there had just a little more help getting to market, we could go a long way further, and faster. I’m delighted to see Momentum organise this summit which is really looking to help represent people like me, and to drive this agenda forward. I’m looking forward to it.” Aaron Gibson is an app developer and founder of YumPod.
The IRP – an ecommerce platform for a connected world The IRP is a cloud-based platform that helps retailers, distributors and manufacturers implement a proven ecommerce strategy. Companies using the software will see a positive impact on revenue; improved efficiency and a sustained growth in domestic and international sales.
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any markets have seen a major shift in selling. There now is a greater reliance on technology in almost every area – from stock markets, travel, houses to banks as well as retail and distribution. This technology impacts heavily on how things are bought – now it is often machines, as well as people, that are making the decisions. The consequence of this change means, we now must adapt to using this technology in order to succeed in business. Technologies change quickly in the initial phase and there have been many changes in the world of ecommerce. However despite these changes, the formula for success is essentially the same for any company regardless of the market sector they operate in. The potential for growth when selling online is huge, providing you have the right products. Most markets have strong competition, but the right strategy combined with the right technology will help achieve success. For the last 10 years, the IRP – International Retail Platform has identified and maximised the sales potential for many companies in a range of sectors including cycling, sports, vehicle parts, health, beauty and fashion. It is an international ecommerce software platform that combines traffic generation with conversion, by handling the languages, currencies and localised markets in a systematic and successful way. Through the provision of this world class technology and a two-
way client relationship, the IRP team has helped companies understand and act decisively in the world of ecommerce. This combination has meant the IRP has converted customers in more than 150 countries across the world and has transacted almost £1 billion of ecommerce sales for Northern Ireland companies. The IRP platform is open to those who have a serious desire to make money through selling online. It is an enterprise level system for companies to grow on the ecommerce world stage. Key features include fully integrated Web, Mobile, Telesales, Epos & Till, Stock Control, B2B and Multichannel Marketing – all of which combined will maximise sales potential and help businesses stay in control of their operation at all times. IRP customers become part of an expert Knowledge Network, giving them access to key contacts, critical information and consultancy to help their business reach its potential. The IRP has the highest level of security
standard – PCI Level 1 Accreditation – which provides a gold standard in data security and business continuity. The combination of these features and benefits means the IRP platform works – our customers’ successes have proven it. Technology however evolves through time – the IRP SAAS model ensures that updates and new features are added seamlessly to improve the ongoing usability for the customer. Next month will see the launch of the 2nd Generation of the IRP software. This will include all the key features and benefits of the current software and the new updates will create and maximise opportunities for our customers. It is very simple to use and is a leading platform to help businesses grow online.
For more information on how the IRP ecommerce platform can help your business log onto www.irpcommerce.com
ICT QUARTERLY
Intelligent design Ulster Business talks to Mark Godfrey and Simon Cole, the co-founders of software company Automated Intelligence about its innovative products and their plans for continued expansion.
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ne of Northern Ireland’s fastest growing technology companies has doubled the size of its offices at the Northern Ireland Science Park to prepare for a push into new markets. Automated Intelligence, founded by Mark Godfrey and Simon Cole, has taken 4,000 sq ft of office space in NISP’s Innovation Centre with the option of 2,000 more after outgrowing the 2,000 sq ft office it moved into in 2011. The company, which currently employs 30 people, specialises in information management software that helps companies simplify and manage their unstructured data – such as documents, presentations, spreadsheets,
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emails, video, communication, audio files – reducing their costs and increasing efficiency. It has attracted £3m in revenue in less than two years’ trading and signed up 40 large customers, predominantly in the public sector, including HM Treasury, the Department for Education, Department of Health, the British Red Cross and several local councils. It is also working in Northern Europe and the Nordic region with private sector customers such as Statoil. Mark, whose background is in sales, and Simon, who specialises in product development and management, expect the rapid growth to continue. “I think we are going to have three years of huge growth,” said Mark. “We’ve just launched a new product that has taken us into the financial services industry, building on the existing technology and tailoring that to the vast amounts of data held by banks and insurance companies. In terms of scale I think financial services is going to be eight to 12 times bigger for us in the UK than public sector is. It is a massive growth opportunity for us.” The need for AI’s solutions arises from the fact that large organisations today have millions and millions of documents to manage. “We were with a customer the other day that if you were to print off all of their documents it would cover the whole island of Ireland. That’s how much data we’re talking about and the scale of
problem we’re talking about solving,” explained Mark. “Instead of people searching around billions of documents for the needle in the haystack we take the needle to them and make sure it is where they need it to be when they need it.” AI was born when, working at a large software firm, Mark and Simon spotted a gap in the market to create technology that would help organisations sift out the data of value and make sure it is available for the right people to use in performing their day to day tasks. “We could see the industry was in a race against itself, producing more and more complicated software to differentiate itself from the competition. What it wasn’t doing was developing software that was going to enhance the life of the user. We decided there was a better way of doing it,” said Mark. “When we’re up against big companies we tend to sell on solving the problem, on the impact our technology will have for the companies rather than our name. Customers at the moment, with the state of the economy, they’re looking for dynamic and better value answers to their problems. They can’t sign over the big cheques to the big companies any more,” he added. “You have to have the ability to deliver projects within 90 days, not three years. People have not got the budgets or the patience to do a five year IT project. The challenge is making sure those customers know about us.” As well as focusing on financial services, AI’s leadership team see further potential to tailor its technology to other industries including oil and gas and pharmaceuticals. And having already moved into Northern Europe it is making preliminary plans to open an office in New York within the next 12 months. The company’s development centre will remain in Belfast and the founders of AI are confident it will further expand its workforce over the next three years, making the most of the tech talent that exists here. “Hiring has been a challenge in some respects but we’ve benefited from the fact that we are a bit different,” said Simon. “There are some large companies in Belfast looking for people but the work they are doing is not that exciting. What we have is a really compelling product, new technology, so we’re getting some of the best guys in Northern Ireland working for us. They see something different, we’ve got a great atmosphere and everyone is really motivated because they can see the opportunity for success.” Automated Intelligence are finalists in the Ernst & Young Entrepreneur of the Year programme.
ICT QUARTERLY
Deloitte – bridging the skills gap By Danny McConnell, Partner, Deloitte Insight Studio
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arlier this year, we announced plans to significantly expand our Belfast Technology Studio, creating 177 new jobs over the next three years. The Studio will supplement our existing Technology Consulting offering with three new distinct but interrelated service areas; Deloitte Analytics, Deloitte Digital and Deloitte Testing Services. Our growth has been reflected in the wider IT sector in Northern Ireland with international and indigenous businesses announcing expansions and investments on a regular basis. This is evident in the fantastic growth highlighted by the Deloitte Technology Fast 50 Awards, recognising the fastest growing IT companies across the island of Ireland. Fifteen Northern Ireland companies were included in the list last year with Belfast-based Rehabstudio achieving 5th place overall based on a growth rate of 1,187%. This year the awards will return to Northern Ireland, taking place in Titanic Belfast on Friday 8th November, and again we’re expecting a strong representation from local companies.
This is great news for the sector. However there is some concern that the rate of growth is unsustainable, specifically when related to the skills required of the workforce here to fill the roles. At Deloitte we are tackling this issue head on, spreading our job creation plans over several years and looking at ways to engage with people from non-IT backgrounds or indeed those young people who wish to begin a career straight from school. Specifically, we run a graduate programme which takes people straight from university through a two year course designed to provide them with the real-world skills needed to manage high-level IT projects. In addition, our Brightstart programme allows for school leavers to join the firm under a five year training programme, giving them a headstart in a longlasting influential business career. This year we also launched our Deloitte Analytics Training Academy with the Department for Employment and Learning, a nine week training programme that provides
graduates with an opportunity to gain skills in an area of high demand in the market. Roles within the IT sector require constant training and through initiatives like these we hope to engage with our employees early in their careers introducing them to the wide range of routes open to them.
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Creativity is alive and kicking MATRIX panel member Clare Passmore believes Northern Ireland’s growing technology sector can be a key driver of the economy of the future if it is nurtured in the right way.
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ollowing an absence of a few years, I made a return visit to this year’s Ulster University Summer Exhibition to see the work produced by our future design leaders. I was struck by the exceptional quality of the students’ digital media exhibits and the ambition of these young people to get out and sell their designs. Creativity is most definitely alive and kicking amongst our students and they are excelling in subjects that are the cornerstone of industries creating wealth in our economy. Financial Services is one such industry that is creating employment and wealth. It is an industry that has its own nuances – to most, Financial Services are services and products provided by banking organisations but in Northern Ireland it means something quite different. Here it is renowned for the exceptional development of innovative technologies and ICT specialisations that enables the financial centres of the world to run efficiently and effectively. So lucrative is this Capital Markets sector locally with indigenous and international companies based in Northern Ireland developing a substantial amount of the software used in Wall Street. Understanding how this was achieved will be key to ensuring it is sustained. In the Health and Life Sciences sector, Northern Ireland is home to some of the
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leading global companies in Pharmaceuticals, Diagnostics and Devices – among them are Lecky Design, Eakin, Randox, Almac, Norbrook, InteleSens, Warner Chilcott and so on. However, the drive towards connected healthcare means that healthcare communication and healthcare management are now growing economic drivers. This has been confirmed by the publication of the Connected Health and Prosperity Strategic Action Plan by the Ministers for Health and Enterprise, and the establishment of the specialist Task and Finish Group to identify potential opportunities for business development from health and social care through greater innovation and exportled growth. Their report highlights specific recommendations which provide the basis for strengthening links between the economy and the health and life sciences sector. In 2012, the Executive’s Economic Strategy highlighted energy sustainability and the green (environmental) economy sectors as key areas of growth for rebalancing the Northern Ireland economy. Some indigenous Northern Ireland companies, such as B9 Energy, are already successful and their continuing growth demonstrates the size of the wind energy sector. Our land-base has also the potential to provide a significant contribution to energy
supply, complementing income generated by our healthy agri-food industries. The recently published MATRIX Sustainable Energy Horizon Report identified the mechanism to manage complex energy sources and energy efficiency as both a challenge and opportunity for companies to capitalise on smart energy systems that require exceptional connectivity and control systems. All of these diverse sectors have the potential to generate highly skilled jobs in Northern Ireland. While a good foundation in STEM subjects will be fundamental, underpinning all will be excellent IT skills. Thousands of people are already employed in Northern Ireland’s computing industry, but a skills shortage in ICT would have a real impact on local businesses’ ability to expand. The recent announcement of additional 1200 university places and extra 70 MSc in STEM-focused subjects is welcome. Since it was established MATRIX has identified opportunities in the knowledge– based economy which build on the science, technology and engineering excellence in our SMEs, international companies and our academic/research base. The actions needed to grasp these opportunities require a concerted effort by the three estates of business, academia and public sector to work together, not only on projects but also in developing capability. Developing capability and skills needs to start early and so it is encouraging to see the actions taken by young technologists to pass on their skills and knowledge. The schemes run over this summer to introduce our young people to computing skills by some of our colleges, universities and businesses are typical of what we can do and how we can ensure that we have the workforce capable of bringing Northern Ireland out of this cycle of economic underperformance and realise a sustainable, green, clean, safe and connected future. So after my visit to the University of Ulster’s York Street campus in June, I am confident the future is bright for these students, and it’s a bright 3D digital future. MATRIX member Clare Passmore is a Business Angel, mentor and entrepreneur in residence at NISP. She is founder of smart technologies clothing label Attune Womenswear.
ICT QUARTERLY
Novosco enters NI broadband market
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elfast-based IT services company Novosco has launched its own broadband service to the wider market after convincing several leading companies to make the switch from other providers. Novosco, which provides IT services to public and private sector organisations across the UK and Ireland from offices in Belfast, Dublin and Birmingham, said it has invested significantly to be able to provide the new ‘Cloudstream’ offering. Firms including Mivan, Tayto Group Ltd, sportswear company O’Neill’s, and Gordon’s Chemists, which has over 50 sites, have already switched to the service, which has now been launched to the wider market. It benefits from investment by Novosco in its own fibre-optic ring in Belfast, and the company’s strategic alliance with Hibernia Atlantic, the organisation responsible for the deployment of Project Kelvin. Novosco also provides customers with a back-up connection as standard with the service, and an iPhone app to monitor their connection. Novosco director John Lennon said its service will provide significant competition and choice in the market by offering businesses a better service at a lower cost. “Internet connectivity is the lifeblood of many businesses, particularly the growing number of companies who are using cloud computing, as well as those who transfer a lot of data and those with multiple sites. A fast, robust, reliable connection that won’t let them down is absolutely essential,” he said. “We have been providing a business connectivity service to a select group of leading businesses, and we are very pleased to be able to now launch the offering to the market as a whole,” he added. In the areas of the eleven main Belfast exchanges, Novosco has guaranteed to provide the lowest priced fibre Ethernet service to businesses, which it said it can deliver due to the investment the company has made in its own fibre optic ring.
New cloud Academy is aiming high E mployment and Learning Minister Dr Stephen Farry has launched Cloud Academy, a new IT training scheme that will be designed and delivered by Belfast Metropolitan College. The Cloud Academy aims to provide graduates with the skills and experience required to take up exciting new ICT opportunities in Cloud computing. The Minister said: “Cloud Technology is an exciting new area of development identified by employers. Northern Ireland’s advanced telecoms network means it is an excellent location for the deployment and use of Cloud technologies. “The Academy provides training for graduates with industry recognised qualifications and work experience in preparation for job opportunities in this vibrant growth area.” Targeting degree or equivalent graduates from any discipline, the Academy will offer an intensive 21 week training programme, which includes a six week work placement, to 14 successful applicants. Starting in November, participants will gain an industry recognised qualification and a potential offer of employment. Minister Farry added: “As chair of the ICT Working Group, I have worked closely with other Government Departments, employers and our local further education colleges and universities, to develop and implement an ICT Skills Action Plan. The Plan has already produced a number of positive results in support of the ICT sector since its launch in summer 2012. The Cloud Academy addresses one of the key areas of growth within the ICT and other sectors.” Pictured at the launch of the Cloud Academy are Helena Woodward from NYSE Euronext, Justin Edwards of Belfast Met, Employment Minister Stephen Farry, Ken Roulston from CMI and Niall McGinn of Liberty IT.
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In the recovery position For the first time in five years economists are acknowledging that the economy really is in recovery and not merely a temporary blip buoyed by hope or wishful thinking, writes Paul Terrington.
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he most recent Northern Ireland data confirms that the private sector is experiencing increased demand – orders and exports are up, claimant count unemployment has fallen and redundancies appear to be slowing. Business activity in all sectors – manufacturing, services, agriculture and even the beleaguered construction industry – is finally in positive territory, while June’s claimant count jobless total fell for the fifth month in a row, down by 800 on the previous month and is now 1,900 below the post-crash peak. Good news indeed, but let’s not get too excited. The latest PwC Northern Ireland Economic Outlook suggests that the region’s economy should enjoy growth of around 0.5% in 2013, possibly rising to 1.5% in 2014, assuming continued steady recovery in the UK and the Republic of Ireland. Given the performance of the past few years that’s pretty good; indeed, if the Global, Eurozone and UK/Irish recovery continues unchallenged, we could see those levels of growth rise even higher. However, relative to the rest of the UK and measured in terms of job creation, exports and forecast economic growth, Northern Ireland is last amongst the 12 UK regions and well behind London and the South East, which are expected to grow in 2013 alone, by at least 1.2% and 1.5%, respectively. But lagged recovery or not, as the region emerges from recession there are new opportunities to revisit, old strategies to rethink and the need to look hard at what will attract new inward investment, retain graduates, improve skills and rejuvenate the indigenous private sector to become internationally competitive. Productivity is the Holy Grail of growth – and inward investment delivers it One of the issues slowing recovery and competitiveness is productivity, regarded by economists as the key indicator of economic health. For generations it has been accepted that productivity is the Holy Grail of economic growth with successive Northern Ireland administrations searching for its whereabouts, but mostly searching in vain. What has been recognised however is that high levels of productivity tend to come from that group of foreign direct investment (FDI)
that is most active in exploiting technology and process efficiency. Collectively, these advanced manufacturing and business service organisations have a multiplier effect on labour productivity, accelerating economic growth, wealth creation, sustainable employment and wages. Hence, the campaign to devolve the power to set and vary the level of corporation tax in Northern Ireland. Low corporation tax is one of the factors that can help attract mobile FDI and the more FDI we attract, the more technology and process efficiency emerges to boost local productivity. So, in that sense we know where the Holy Grail of productivity lies, we’ve just got to get our hands on more of it. Actually, in that regard, we are not doing too badly. Despite the recession, FDI continues to perform relatively well, with a recent report from UK Trade and Investment (UKTI) showing that Northern Ireland remains one of the most successful regions in the UK and Europe for inward investment.
more aggressive pursuit of FDI in the future. FDI creates more than just jobs; it delivers access to new export markets, innovation and R&D and downstream growth in the investors’ supply-chain, directly benefiting indigenous business and stimulating the entrepreneurial micro business sector. But attracting FDI is not simply about tax incentives and a business friendly environment – if we can’t deliver the apprentices, graduates and experienced hires that mobile FDI demands – and in the number they need, all the incentives in the world, won’t deliver investment. Young people can’t find work and the brain drain continues Despite some successful job creation from inward investment, we should be particularly concerned at the shifting pattern in the labour market. One of the manifestations of the downturn has been that, while young people are increasingly unable to find work, older workers are benefitting from new, part-time
“Despite the recession, FDI (Foreign Direct Investment) continues to perform relatively well, with a recent report from UK Trade and Investment (UKTI) showing that Northern Ireland remains one of the most successful regions in the UK and Europe for inward investment.” In 2012/13, Northern Ireland managed a 41% increase in FDI, with the number of investment projects rising from 27 in 2011/12 to 38 for 2012/13, substantially ahead of the 11% increase into UK overall, with projects including legal services, financial services and ICT promising almost 2,800 FDI jobs in the region. Admittedly the Northern Ireland increase comes off a relatively low base but it still serves to demonstrate that the region remains remarkably attractive to overseas investors. What many people haven’t fully grasped is the range of highly attractive tax incentives for investors – from tax incentives for patents and R&D tax to an 8% cut in the headline rate of corporation tax – the government has introduced. These, combined with available skilled labour, a relatively low cost base and a business-friendly environment, demonstrate just how much potential exists for an even
opportunities, while there has been a steady erosion of hourly wages over the past decade. PwC’s economists recently analysed over a decade of data from the Office of National Statistics (ONS) to discover that, since 2009, UK average, real hourly earnings have fallen by 8.5%, but by 9.75% in Northern Ireland. That means that, allowing for inflation, Northern Ireland average hourly earnings at the start of 2013 were only around 2 pence more than they were in 2003. The hourly measure of real income is a useful indicator as it corrects for shifts between full-time and part-time work, thus allowing insight into real changes in national incomes. Northern Ireland’s employment profile has also changed quite markedly over the past few years, with employment amongst 16-24 year olds having fallen by 15.8% between the first three months of 2010 and the same quarter in 2013. That was almost twice the rate of
Paul Terrington, PwC
decline in the North East – the next worsthit region for youth employment – where the number of young people in employment fell by 8% over the same period. At the other end of the scale, in the three years to Q1 2013, Northern Ireland saw the UK’s highest growth in employment for the over 50s and particularly for females, where the over-50 female employment rate jumped by 19.8%. In addition, levels of economic inactivity remain particularly worrying. Whereas claimant count unemployment only counts those who are looking for work, economic inactivity measures everyone out of work including students, the retired and the longterm disabled. Adjusting to show only those between 16 and 64, gives a better picture of the utilisation of the potential workforce. Since 2007, 16-64 inactivity has been, on average, 23% in the UK, compared with 29% locally. More worrying is the 18-24 year old group where Northern Ireland inactivity is 35%, as compared to the UK average of 28%. Students count as economically inactive and notwithstanding our higher participation rate in higher education, relative to the UK average, much of this gap is symptomatic of a lack of jobs in Northern Ireland. Which takes us to the brain drain, where just one-in-three of Northern Ireland students who study and graduate outside the region; actually return home – a situation that is gradually worsening year-on-year. As the pace of GB recovery accelerates, an increasing number of graduate opportunities and higher average salaries in England – particularly London – and Scotland make a compelling argument to new and recent graduates whose stay-at-home contemporaries in Northern
Ireland Tweet and post Facebook messages of a lack of employment opportunities, poor pay and real fears for job security. And as Northern Ireland’s biggest graduate recruiter – we expect to hire around 150 this year – PwC has first-hand experience of fishing in that vast pool of non-returners; over the past year we have increased our use of social media and students’ union recruitment to persuade local graduates of Scottish and English universities, that there are real jobs back here. It’s all very well aggressively seeking FDI and promoting the skills agenda, but if we are educating more graduates than there are graduate jobs and struggling to boost FDI levels to drive up productivity, then we need to do more and that means stimulating the local business community. More than half a century of research suggests a direct correlation between R&D and innovation, exports and international competitiveness, wealth creation and highly-paid, sustainable employment and the export and employment performance of a number of local companies are testimony to the certainty of this policy. Incentives that attract FDI are equally effective for local companies The UK now has the lowest corporate tax level amongst the G7 and the joint lowest of G20, with the impact of the Patent Box and similar tax and R&D incentives putting the UK into the top 20 of tax-friendly countries, according to the findings of the latest PwC Paying Taxes survey. But those incentives are as beneficial to indigenous family-owned and owner-managed businesses as they are to our largest FDI undertakings.
Taking those incentives and using them to grow our local companies should be the priority for the local private sector and a focus for public sector support. Our own survey amongst clients suggests that, where these incentives are available and used as part of an export and development strategy, there are distinct and tangible benefits. Indeed, such is our confidence in the recovery and potential for local business growth that PwC in Northern Ireland is already well advanced in recruiting 150 graduates and has made a number of new partner and director appointments in anticipation of recovery and growth. The future will be challenging, but it will reward the courageous and even those businesses that have never looked beyond Northern Ireland will face opportunities to grow and prosper. As recovery emerges, doing nothing is not an option. Paul Terrington is regional chairman of PwC in Northern Ireland. He can be contacted at 028 9041 5717 or by email at: paul.a.terrington@uk.pwc.com
PROFILE
Trend setter Angela McGowan, Chief Economist at Danske Bank, is the sixth of the alumni to be profiled in our “Ulster Business School – Leaders In Business” series.
Angela McGowan, Chief Economist, Danske Bank; MBA, Ulster Business School.
What is your current role and why does it appeal to you? I am Chief Economist at Danske Bank, a position I have held for the last five years. The role requires me to provide analysis and commentary on Northern Irish, UK and global economic trends, in particular those elements of economic performance which impact the Bank’s personal and business customers. I provide economic data and reports for internal use to various departments within the bank both here in Northern Ireland and across the Danske Bank Group. I also speak at events and provide commentary for the media on the local and global economy. The job has been an amazing experience and a fascinating one, as I took up my post just as the global recession took hold. The ever-changing economic landscape and variety in my role means that every day is different.
“I AM FORTUNATE TO WORK IN AN AREA I LOVE - IT DOESN’T SEEM LIKE WORK.” How did you choose this career field and what has been your path? I studied A-Level economics and had a fantastic teacher who sparked my interest in the subject. I knew at school that I wanted to study economics at university, even though at that stage I was not sure about my career plan. My economics career really started a few months after graduating when I got a job as a university-based Research Assistant. After nearly three years working on funded projects for the European Commission, I moved on to work as an Economist and then Senior Economist at the former NI Economic Council. I then worked at the Economic Research Institute for Northern Ireland before moving to what was then Northern Bank. What is the most rewarding part of your job? I really enjoy the external relations element of my job, meeting lots of different people at
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seminars, conferences, schools or meetings with our own business customers. I particularly enjoy interacting with the business community in Northern Ireland. I have met many of our best entrepreneurs and get to discuss with them about the challenges they face and their plans for the future. It is also very rewarding to work for a good company – from day one Danske has been a very good employer for me. They provide all the support necessary to do this job well and the flexibility to shape this role around the areas of expertise that I enjoy most. I am also really fortunate to work in an area I love – I find economics so interesting that it often doesn’t seem like work! What is your own educational background? I studied economics for my primary degree and then went on to the University of Ulster where I undertook a Post Graduate Diploma and a Masters Degree in Business Administration (MBA). The Masters course at the Ulster Business School was pretty gruelling but I have to say that my time there was really enjoyable too. The craic in the class of 1994 was great and the teaching staff were so supportive. I managed to get a distinction in my finals and was also awarded the Sir Charles Harvey Award for “outstanding performance in Post-Graduate management studies”. Even today nearly twenty years later, I still come across fellow students from my Ulster Business School days and it is great to have that connection.
Energy, Waste & Environment
ENERGY, WASTE & ENVIRONMENT
ARE WE HEADED FOR AN ENERGY CRISIS? As the recent protests over “fracking” test wells in England have shown, tensions run high when it comes to new sources of energy. But have we reached a point in Northern Ireland where we can’t afford not to take the risk of developng them? Stephen McVey reports.
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s concerns over future supplies of energy grow, there is divided opinion on whether we need to get real about energy policy and accept the need for unpopular new power sources, or if by doing so we would do irreparable harm to our environment? Proposals for fracking in Fermanagh, bigger on-shore wind farms and the outlandish prospect of recovering oil off Rathlin Island have all given local people the cause to protest. This has been offset by fears that the security of our electricity supply could be under threat as early as 2016. There are three compounding factors giving rise to the security of supply risk: • The delay in delivering a planned second North-South Interconnector, for which a planning application was initially submitted in December 2009. • The requirement to comply with EU Emissions Directives from 2016, which is expected to result in the withdrawal of some generation capacity at Ballylumford and place restrictions on generation at the Kilroot plant. • A fault on the Moyle Interconnector whose capacity has been halved and is unlikely to be permanently restored to full capacity using additional cables until 2017.( An interim reconfiguration of the Moyle may allow restoration to full capacity using the existing cables in advance of 2016.) Garrett Blaney from the Commission for Energy Regulation (CER) is involved in the All-Island Project’s Single Electrity Market (SEM). He says CER still has concerns over the security of supply tightening and puts a key part
of the risk down to delays in the North-South interconnector. “This development was always envisaged from the initial stage of the SEM to be a key enabler to get full benefit from the market but there is some level of frustration from a regulation point of view that the interconnector is not yet in place or even started. We are keen to see that move forward as quickly as possible. “I don’t want to be alarmist, but there is the possibility of blackouts. It’s a question of risk and there does seem to be a measurable increase in risk beyond 2016 in Northern Ireland and obviously the North-South interconnector would mitigate that and alleviate those concerns,” he said. The North-South Interconnector, which would run from Tyrone to Cavan, is a major infrastructure project being jointly undertaken by Northern Ireland Electricity and EirGrid. The project is seen to be vital to ensure the effective operation of an efficient ‘all island’ electricity market, to support the realisation of strategic renewable energy targets and to exert downward pressure on electricity prices for customers in Northern Ireland. In a recent Enterprise Committee meeting, DETI Minister Arlene Foster gave an update on the existing Moyle Interconnector, which connects to the rest of the UK, and the delays with the North-South Interconnector: “I have been very clear in saying that we need to have a North-South Interconnector because I don’t think people realise that it’s actually costing consumers money not to have it in place and therefore that needs to progress. Then of course we have difficulties with the Moyle Interconnector as well. We really do consider it
“I don’t want to be alarmist, but there is the possibility of blackouts. There’s a measurable increase in risk beyond 2016 in Northern Ireland.” 44 SEPTEMBER 2013
very important to have that connector restored to its full operating capacity as soon as possible. Currently it’s providing 250 mega watts transfer capacity so that’s about half of its capacity at present. We need to get that operational again and back up to 500 mega watts. Those are the two constraints if you like on the grid at present and they need to be sorted.” Marian Cree, Head of Energy at the Consumer Council agrees that consumers will be the ones who have to pay for this continued planning delay. “There are a number of key issues that will potentially have a significant impact on ‘security of supply’ which may ultimately have a considerable cost implication on NI energy pricing structures going forward. “It will cost at least £60m to fix the Moyle Interconnector and the North-South Interconnector is currently estimated to cost £89m – but will the costs escalate over time and how much will the consumer have to pay for it? In the absence of the North South Interconnector and the capacity issue with Moyle Interconnector there may be a need to secure short term new generation capacity to keep the lights on in 2016. It will be consumers who will have to pay for this,” she said. IS FRACKING THE ANSWER? Hydraulic fracturing, or fracking, is the controversial technique designed to recover gas and oil from shale rock. Mike Young, Director of the Geological Survey of Northern Ireland, has emphasised the economic potential of shale gas in Northern Ireland. He has referred to the exploratory activity of Australian company Tamboran, which holds a five-year Petroleum Licence to investigate fracking potential. “We do not yet know exactly what the resources are, but Tamboran have made some estimates on the amount of gas that might be recoverable in Fermanagh, which is 1.8 trillion cubic feet of gas. Broadly speaking that’s equivalent to something in the same order of one year’s gas supply for the whole of the UK or about 50 year’s supply for Northern Ireland,” he said.
Plans for fracing in Fermanagh have attracted protests
ENERGY, WASTE & ENVIRONMENT
PHOTO BY PRESSEYE
But James Orr, Director of Friends of the Earth NI believes fracking is simply distracting energy firms and the government from investing in renewable sources of energy and is concerned that a political agenda is encouraging a continued reliance on fossil fuels. Prime Minister David Cameron recently came out strongly in favour of fracking during the protests at a site in Sussex where energy firm Cuadrilla proposed to test for oil and gas deposits. “David Cameron at the same time as making it easier to get fracking approved is making it much more difficult for communities to embrace wind power. Clearly there is an agenda there of the oil and gas industry and he’s being lobbied very seriously and that’s what Conservative parties do – they are representatives of the oil and gas industry. But I think the risks in Northern Ireland are far too serious, the implications are far too great here,” said Orr. “The evidence is that a regulator can’t regulate what is on top of the ground never mind what is a mile deep. So the question is can you have good fracking? Is there such a thing? I don’t think there is. Some of the many concerns include the greenhouse gases from fracking that are quite similar to the greenhouse gas emissions from a coal fired power station. There is also inevitable water contamination issues and Ireland is a very wet country, so if you frack Fermanagh you can
pollute the Shannon, you could cause significant pollution,” he added. Mike Young has explained the reasons behind the UK government’s support for shale gas exploration and suggested some urban myths and scaremongering has tarnished the fragile reputation of fracking. “It is the media to some extent and the environmental activists who have latched on to the problems in the US and Canada that have been associated with hydraulic fracturing because it was a poorly regulated process in those instances. In the UK we have a much more centralised and informed regulatory process,” he said. “The reported concerns about hydraulic fracturing have been examined in the UK by a joint committee of the Royal Society and the Royal Academy of Engineering. This is absolutely key because UK policy is very much at the moment based on this report, which came out in 2012. The report was compiled independently by the UK’s premier science and engineering bodies. They made a review and their conclusion was that high volume hydraulic fracking can be managed acceptably given the right engineering protocols. That is, if the standards are acceptable and in place and if they are regulated properly, this is a process that can be managed safely,” added Young.
Whilst speaking to the Enterprise committee, DETI minister Arlene Foster also argued that we should at least try to explore new energy sources. “Often I’m asked questions in relation to fuel poverty and I’m asked questions about the cost of electricity and I do think it’s wrong that we don’t at least look at different sources of energy and whether that’s renewable energy, whether that’s oil and gas that may be conventional or unconventional means I think we have a duty to look at those because people are concerned about the price of their energy. It would be very foolish if we cut off anything that would bring down the cost of electricity and the cost of energy for our consumers,” the Minister said. Mike Young accepts there are some valid concerns about fracking and has stressed that the amenity of local people is paramount. But he points to the superseding necessity to solve what could be a national energy crisis. “I don’t want to be cynical about this but look at it this way – there may be thousands of people protesting in Northern Ireland, we are getting hundreds of letters about this; there have been questions in the assembly and coverage in the media and so on. Well there are 1.8 million people who need energy and it is the responsibility of government to make the right decisions on behalf of everybody in the country,” he said. >>>
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ENERGY, WASTE & ENVIRONMENT
The central issue in regards to energy use is that we still need fossil fuels until renewable sources have been developed further and can replace them. However that’s not going to happen overnight. James Orr accepts this but wants a long term investment in our future energy resources. “I think we do need tough decisions but we also need to take decisions that are based on evidence, not decisions that are presented to us by the oil and gas industry. We are not saying stop using oil and gas now, that wouldn’t be appropriate, but to make this fantastic transition we really need to scale up our ambition and scale up our investment in alternatives. So yes let’s make tough decisions but we’ll have to weigh up the pros and cons of each option and I think if you look at the evidence the only future is renewable,” he said. Some of these tough decisions will be in the hands of the new Department for the Environment minister, Mark H Durkan. He has stood by renewable energy but accepts the complexities in any energy decisions that are made by the assembly. In a statement the Minister said: “Whilst oil and gas will continue to have a very significant role to play in helping meet our energy requirements, the longer term goal must be to decarbonise our electricity supply by increasing the proportion of energy derived from renewable sources. “In exercising its functions in relation to development, my Department has the important
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Energy exploration company Providence Resources believes its prospects in the Rathlin Basin have the potential for 500 million barrels of oil.
“The question is can you have good fracking? Is there such a thing? I don’t think there is.” task of integrating a variety of complex economic, social, environmental and other factors. The important task that my Department has is to take account of all material planning considerations before arriving at a balanced decision. This is a key public interest test. The preservation of the environment and its protection from the effects of pollution are clearly matters of public interest. So too is sustainable economic growth and job creation.” In addition to his initial response to David Cameron’s comments on fracking, the Environment Minister told Ulster Business. “At present there is no planning application for hydraulic fracturing in Northern Ireland. If and when any application comes in, it will be for me to decide. I am on record as saying that there are important questions that need to be asked about fracking I am not going to make any decision until all the facts and scientific evidence are established and until there are satisfactory answers to these questions. Until they are I do not believe it is possible to conclude that we are ‘missing out’,” he said
Mike Young concludes that alternative techniques and sources of energy are not as ‘ground-breaking’ as some may think. “It’s worth saying that the whole business of petroleum exploration has been managed very successfully in the UK since the mid 1960s. We are the world’s leader really in petroleum production in very difficult circumstances. Look at the North Sea on which UK prosperity is based for example. “I also like to remind people about the oil and gas field called Wytch farm in Dorset, this is the largest, on-shore oil and gas field in Western Europe and has 100 oil wells that carry out horizontal drilling. “It actually extends right underneath areas of outstanding natural beauty and is right next to a UNESCO world heritage site. It’s an extraordinary achievement and most people are completely unaware of it,” he added. Ignorance is not always blissful and the challenge for policy makers will be finding the best way to develop our short-term energy resources without blowing the chances for a renewable future.
Alan Egner, Commercial Sales & Marketing Manager, Power NI
Power NI is still No. 1 for customer service A
fter ten years of competition, Power NI continues to be Northern Ireland’s number one electricity supplier with over 35,000 business and farm customers. Since the beginning of this year, their commercial sector has seen eight months of steady growth with over 700 customers returning from other suppliers. Customers are assured of a friendly, local service and the latest figures released this summer by the Consumer Council NI showed that Power NI received the lowest number of formal complaints per 100,000 customers than any other electricity supplier in NI, for the second year running. Alan Egner, Commercial Sales and Marketing Manager at Power NI comments: “Power NI is very proud to be supporting all sizes of business in Northern Ireland. Whether you use electricity for lighting, heating, hot water or refrigeration, we are actively contributing to the success of local businesses by providing a competitively priced, reliable supply with various added value services including advice, financial support and special offers for energy
saving. Peter Johnston, Group Operations Director at Wilsons Auctions, recently told us: “We switched back to Power NI due to the competitive tender they were able to offer us as well as supplying us with renewable ‘green’ energy, helping us to reduce our carbon footprint. Power NI has a great reputation for customer service and we are happy to be back.” Alan continues: “At Power NI, we pride ourselves on our great value ways to save energy and money and from listening to our customers we know that this is more important than ever. For example, we have recently launched a new discount for our paperless billing service, Energy Online. Small business and farm customers who pay their bills by Direct Debit can get an additional 1% discount by activating their Energy Online account, on top of the 4% discount they are already getting for paying by Direct Debit. Energy Online gives customers 24/7 access to their account where they can view bills and payments, monitor usage and more. Energy Online also means that customers no longer receive paper bills, helping reduce their carbon footprint and do their
To find out more on how Power NI can better your business, visit www.powerni.co.uk/business.
bit for the environment. “Over 19,000 Power NI customers have activated their Energy Online account and we are getting great feedback. Local shop and forecourt Creightons of Finaghy recently told us: “We activated our Energy Online account because it’s a much more convenient way of managing our bills. It was really easy to set up and we would definitely recommend it to other businesses.” Power NI also works with industry experts to bring customers a range of grants and offers for the latest energy saving and renewable technologies including lighting, heating, insulation and solar PV. If your premises has lots of refrigeration equipment, Power NI can also offer a grant for a variable speed drive, helping you make big energy savings. Alan concludes: “Our competitive prices, great value and friendly, local service all add up to happier customers. With 100s of customers switching back, stick with value and service from Northern Ireland’s number one energy company.”
ENERGY, WASTE & ENVIRONMENT
New owner for Phoenix Gas The change of ownership at Phoenix Gas won’t affect customers but could help accelerate its ambitions to extend its gas network beyond the Greater Belfast area.
Peter Dixon
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he operator of Northern Ireland’s largest natural gas distribution network has been sold in a multi-million pound deal to a specialist utilities investor. Private equity firm Terra Firma Capital Partners agreed to sell 100 per cent of Phoenix Natural Gas to funds managed by Hastings Funds Management on behalf of Utilities Trust of Australia and The Royal Bank of Scotland Group Pension Fund. Hastings is a specialist fund manager of infrastructure assets comprising utilities, airports, toll roads and seaports. The sale is believed to be one of the biggest corporate deals in Northern Ireland’s history. While the value was not officially disclosed, sources told newswire Bloomberg that Hastings
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was expected to pay around £700m. Formed in 1996, Phoenix is Northern Ireland’s largest natural gas distribution and energy services company, operating the 3,100 km natural gas network in the Greater Belfast area. Since Terra Firma bought the company in 2005, Phoenix has doubled in size and has increased gas availability to 300,000 properties, of which 165,000 have connected to the network. Phoenix is adding over 8,000 homes and businesses to the network each year and said it is on target to surpass its original business plan of connecting 60% of properties in its licence area by 2016. Peter Dixon, Group Chief Executive at Phoenix Energy Holdings, said that under Terra
Firma’s ownership Phoenix has invested over £100m locally and with Hastings now on board it would be seeking to accelerate its plans to increase gas availability. “The key ambition for Phoenix in the years ahead is to continue to grow significantly the distribution business, and attracting an investor such as Hastings into the local Northern Ireland economy will help us to meet this ambition,” he said. “Hastings sees great opportunities for growth here in Northern Ireland and in particular was attracted by Phoenix’s ambitions to continue to increase gas availability in its existing licence area, as well as to target opportunities for growth in areas that are new to Phoenix.” Phoenix has publicly registered its interest in the long-discussed proposals to extend the natural gas network to the west of the province (from Mid-Ulster to Fermanagh) as well as to South and East Down (Downpatrick, Saintfield, Ballynahinch, Ballygowan, Crossgar). However, it has clashed with the Utility Regulator on its proposed price controls for gas distribution over the 2014-2016 period, which would see lower operating expenditure allowances, keep its rate of return at 7.5% and raise targets for new connections. The regulator believes the price controls will result in lower bills for consumers but Phoenix has argued that the limits will curb potential investment in extending its network. It is not yet clear what the change of ownership means for the Phoenix’s chances of acquiring Firmus Energy, which is being marketed for sale alongside its Irish owner Bord Gàis Energy. Phoenix has publicly registered its interest in acquiring the Firmus network business responsible for providing natural gas to the ten towns licence area, which covers Londonderry, Armagh, Ballymena, Craigavon, Portadown, Banbridge, Antrim, Coleraine, Bushmills and Newry. Phoenix currently has around 200 direct employees, all based at its offices on Airport Road West, Belfast, with a further 150 alliance staff working on the construction side of the business. Peter Dixon stressed in a letter to customers that the change in ownership of Phoenix should in no way affect Phoenix’s every day operations nor will it have a direct effect on gas users’ bills. “This positive development for Phoenix will secure further growth and investment in the local gas industry for the years ahead,” he said.
Belfast Harbour Green Teacher Awards 2013 Environment Minister Mark H Durkan launches the Green Teacher Awards at Belfast Harbour
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he Belfast Harbour Green Teacher of the Year awards is being launched in September. This is the fifth year Belfast Harbour has sponsored this successful competition. Organised by Belfast Harbour and Action Renewables this unique competition aims to reward primary school teachers for taking responsibility for the environment and eco issues. The competition fits with Belfast Harbour’s Corporate Social Responsibility strategy – caring for the environment, leadership and education. The competition is open to thousands of pupils who are being given the opportunity to nominate their teacher, by telling Action Renewables, in no more than 100 words, about the hard work their teacher does to look after the environment and educate children about green issues. In previous years entries have taken the form of a cartoon strip, DVD, YouTube video, poem, rap as well as collages. Six finalist teachers and their classes are invited to take part in an all-expenses paid fun Challenge Day at W5, where they will meet Webster, Belfast Harbour’s environmental Port Monster, take part in a game show, identify birds from all over Northern Ireland and find out more about looking after the environment. The day concludes with one teacher being crowned “Belfast Harbour Green Teacher of the Year 2013”. The winning class also receive RSPB membership for one year as well as a large hamper for the teacher. The second and third prize winners win a day out at W5 with their class as well as hampers. All six finalists will get goodie bags to take home with them. The competition has an important role to play in communicating to young people the need to protect our environment now and in the future, it rewards teachers who are going above and beyond the general curriculum and working with the community to increase knowledge and understanding of this.
ENERGY, WASTE & ENVIRONMENT
Budget Energy has big ambitions Budget Energy’s founder and Managing Director Eleanor McEvoy describes her company as the Ryanair of the energy business, minus the bad manners. Symon Ross met her to find out more about the business.
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leanor McEvoy is a breath of fresh air in a sector not known for interesting characters who speak their minds. A serial entrepreneur, she founded electricity supplier Budget Energy in 2011 with the ambition of shaking up the energy market and offering more choice to consumers and businesses. The company already has about 34,000 mostly domestic customers, around 4 per cent of the market, but, with a 25 year licence to sell electricity, the MD’s sights are set much higher. “I want 50% of the market here, I know that’s very ambitious. I’d like something similar in Southern Ireland and I would like to look across the water (to GB) as well. There’s no reason why we shouldn’t,” she said. Budget’s fresh approach to an old industry is, she says, based on providing straightforward tariffs with no hidden charges, and offering pre-pay cheaper than bill-pay. Northern Ireland has the most developed pre-payment market in Europe, with 350,000 pre-paid customers and McEvoy believes that in an age where people are dispensing with landline phones and paying for TV on demand, the numbers will keep growing.
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“To explain what we do I call us the Ryanair of the energy business without the bad manners. It makes it clear what we are doing that’s different. We have one tariff for pre-paid and one tariff for bill paid. We don’t make you sign a contract,” she said. “We also don’t penalise people for staying with us, we don’t put up their tariff after two years. Everybody gets mate’s rates,” she added. “We’ve always been cheaper since we came into the market and we intend to keep it that way.” It’s a bold statement and one which has meant Budget Energy shouldering the cost of fluctuations in wholesale energy prices that have led competitors Power NI and Airtricity to increase their charges by 18 per cent recently. “People keep asking where’s the catch? There is no catch. It is exactly what it says. We didn’t move on price when wholesale gas went up earlier in the year,” said McEvoy. “We can do that because we’re not weighed down by massive offices, massive workforces, directors in Mercedes. We run it small and tight, we keep our overheads low because we always need to be competitive. The clue is in the name.”
McEvoy has successfully built and sold two previous businesses - Pembroke Distributors, a food distribution and vending company which she sold in 2001, then Phonecard Warehouse, a successful reseller of mobile phone top ups which was sold in 2006. This is the first time her end customer has been the consumer but she says she’s a quick learner and, having run other businesses, was not intimidated by the bureaucracy of the energy market. “There’s this whole idea that electricity is a big mystery but in reality we buy electricity and we retail it to the consumer. We’re in the service industry. We all buy electricity from the same pool,” she said. “We took a decision not to employ anyone from the industry. It meant a slow beginning because we had to learn everything from scratch, but it also meant that we didn’t bring in any of the baggage associated with people who are in the industry long-term. We are customer servicedriven, our whole emphasis is on making it easy for people to be our customer.” All of Budget’s call centre staff – around a third of whom have joined via the governmentsponsored Strive to Work programme - are trained to deal with any query, meaning customers aren’t transferred around. The company has also successfully used Twitter as a support tool, creating a community of customers loyal to the brand. McEvoy says keypad meters make it easy for someone to judge how much they spend a week on electricity and top up for the month ahead. But Budget also makes sure they don’t get caught out. By law if a household has someone under 18 and over 65 in it, electricity providers have to keep their meter going over the weekend until 8am on Monday morning even if it is out of credit. Budget applies that guarantee to all customers and has extended the top up time to 11am on a Monday to give them a chance to top up online, on the phone or in a shop. Having proved the keypad is a viable product in Northern Ireland the next stop for Budget Energy is expansion into the Republic of Ireland. “We want as much of the market here as we can get and plan to be in the South next year. The pre-paid market in the South is only just starting to open up. It’s a big opportunity.” Eleanor McEvoy is a finalist in this year’s Ernst & Young Entrepreneur of the Year competition.
More than just an airport hotel Six months after opening its first site in Northern Ireland, the Maldron Hotel’s director of operations in Belfast tells Ulster Business about the company’s plans to increase business in the future.
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t is about getting that extra ten minutes in bed, about being able to hit the snooze button three or four times before you have to think about getting up.” Stephen Redden, director of operations and business development at the Maldron Hotel is giving me a run down of the reasons to stay at the hotel, which is located a stone’s throw from Belfast International Airport. The 104 bedroom hotel was re-branded as the Maldron Hotel Belfast in March when the Maldron Group’s parent company, Dalata Hotel Group, took over the management of what was the Park Plaza Hotel. Dalata is Ireland’s largest hotel operator, currently operating 33 three, four and five star hotels in Ireland and Wales, with over 4,500 bedrooms and 2,500 employees. The group now comprises twelve Maldron Hotels and twenty one sister hotels. Although it is the first Northern Irish hotel for the group, CEO Pat McCann and Deputy CEO Stephen McNally were part of the team who opened Jury’s Inn Belfast, so it is very familiar with the market. Redden, who joined the group from another leading hotel group in Northern Ireland, acknowledges that running a site which is primarily seen as an airport hotel poses unique challenges compared to a standard city centre property, but says ultimately it all comes down to focusing on what the customer wants and making the most of the site’s advantages. “What we want to do is make it easy for our guests and help take the stress out of travelling. That’s very much the Maldron ethos,” he says. “The group is interested in challenging the status quo, reinvigorating the thinking of the hotel sector and instilling that in our staff. We know that people don’t just buy what you do, they buy why you do it. It’s not just about providing a bedroom and a price.” As well as protecting existing business, the hotel has already boosted business using the well-developed Dalata and Maldron distribution and sales channels and its international marketing campaigns. At the same time, Redden and his team have spent the last six months evaluating how the hotel’s offer stands up to its peers and introducing new features and little details designed to enhance the customer experience. “Maldron and our parent company Dalata Group are always keeping an eye on what competing hotels are doing. I have come in with a fresh pair of eyes to take stock of what we have and what we need to improve. We have to
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ensure we have the right offer and that we are keeping up to speed with everyone else and then we will take the next step up,” Stephen explains. “We’re currently focusing on the small things that make a real difference to the person’s experience. For example, having a good steam iron and iPod docking systems in our executive rooms and then rolling that out to the rest of the hotel,” he adds. “We’re moving to completely free wifi anywhere in the hotel. A lot of places these days make a big deal about having wifi available in their lobby but most people would prefer to use it in their bedroom. One of the biggest complaints about Belfast hotels is that there is very little free wifi.” Stephen is not just looking at the experience of rivals in Northern Ireland, he is also undertaking market research trips to similarly styled airport hotels in Newcastle and Cork to see what he can learn from their success. “We are doing a lot of research into the trends out there to understand what sort of passenger wants to stay here; what flights are busiest and most popular with business travellers; what days are most popular,” he continues. “Internally, we’re looking at where the sockets in the rooms are and whether they are convenient in the age of mobiles, tablets and laptops. Also, is the lighting right for use with screens? We have put together an exciting refurbishment plan, which is going to kick off next year.” BUSINESS OR PLEASURE The Maldron brand is already attractive to corporate customers but while it wants to bring in more business travellers, the hotel is also focusing on how it can improve service for the leisure customers who make up more than half of its business. Particularly during summer, many of the holidays flights leaving Belfast International Airport take off very early in the morning and, while the airport is within two hours of anywhere in Northern Ireland, check in times can mean families leaving home in the middle of the night to arrive on time. To address that, the hotel is making affordable family rooms available and looking at bunk bed option for some rooms so families can all stay together. “People don’t normally budget for being in a hotel the night before a holiday, so the prices have to be affordable,” says Redden. Maldron has signed a tie up deal with airport shuttle service Airporter that means anyone who
comes down from Derry the night before their flight gets a better deal. It is also working to introduce a package with Thomson Holidays whereby people staying the night before their holiday begins would be able to check luggage in the night before in a secure baggage area. “We’re also looking at what other experiences can we offer. A big part of that is the food and ensuring we have a quality offering at a price that’s affordable to everyone. For example, a lot of travellers arrive quite late and just want simple food rather than a full meal, so we offer a range of options.” The company is also getting involved in lobbying, both at the airport and government, to ensure its opinions are heard by decision makers when decisions are being made on the routes they are looking to attract. He notes that since 2008 passenger traffic at Belfast International has fallen from 8 million to 4.5 million, and is keen to offer assistance as the airport addresses those challenges. The Maldron has features that put it in line with other airport hotels – for instance, its rooms feature black-out blinds and extra sound-proofing so that cabin crew can sleep during the day. But its director of operations wants it to be seen as more than just another airport hotel. He notes that by not being in the centre of Belfast it is ideally located for travel throughout Northern Ireland and as such it is aiming to attract more golf parties over the next year. The hotel has already benefited from the spill over from big events held in and around Belfast such as the Balmoral Show and Tennent’s Vital, and as a member of the Northern Ireland Hotels Federation is encouraging the Tourist Board to maintain its push to attract big international events. With secure parking and ten conference rooms, including a main hall and break out rooms, Redden also believes The Maldron is the ideal place for a conference for 100 to 150 people and hopes to increase this side of the business by, again, focusing on what the customer wants. “The modern conference has changed because what people want has changed. So you have to be flexible and creative and provide packages to suit different budgets, not just one standard option,” he says. “It all comes back to being in tune with what our customer wants and ensuring we are delivering on customer service and giving guests a positive experience when they stay with us. That’s very much the Maldron approach.”
PROFILE
SEPTEMBER 2013 55
Employment Law
Sponsored by
Back to Zero Zero hours contracts have become increasingly popular among employers in some sectors and equally controversial among employee groups concerned staff can be left with no guaranteed work. Lucy Gollogly asks who really benefits from these contracts.
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ecord numbers of people are working under zero hours contracts, which offer no guaranteed work or income. A study by the Chartered Institute of Personnel and Development (CIPD) found that around 34,000 people (5 per cent) are working under such contracts in Northern Ireland. In the UK as a whole, the figure is one million people, or 4 per cent of workers. The Business Secretary Vince Cable is leading a review into the controversial hiring practice, which he said could lead to exploitation. The CIPD study of 1,000 businesses across the UK suggests that almost one in five (19 per cent) employers use the contracts. They are more common in the voluntary and public sectors and just 17 per cent of private sector employers employ staff in this way. However, zero hours contracts are prevalent in the hotel, catering and
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leisure industry where nearly half (48 per cent) of businesses have used them. Fourteen per cent of staff employed on these conditions said they do not receive enough work to provide a decent standard of living. In theory the arrangement offers flexibility for the employer, who is under no obligation to offer work, and the employee, who is under no
obligation to accept it. People working under the contracts are entitled to rights as a worker, including holiday pay. However, sick pay is often not included, and they have no entitlement to employee benefits such as redundancy pay, maternity and paternity pay and parental leave. Some business organisations, including the CBI, argue that a flexible labour market is
“A lot of the employees are actively required to be on standby at any time and TO be able to attend work at a moment’s notice.�
EMPLOYMENT LAW
“Let us not make the mistake of removing a tool in the armoury of small businesses to respond to opportunities that create work.”
crucial for the economic recovery. They say that zero hours contracts suit some workers, such as students or those with caring commitments. Dr Neil Bentley, CBI deputy director-general, said: “Used appropriately, zero hours contracts can benefit both employers and employees by enabling businesses to create work where a full-time post can’t be justified, and allowing individuals to work flexibly. They can help reduce unemployment and have an important role to play in our labour market.” The practise is relatively rare among small businesses, with a recent FSB survey finding that only 8 per cent of small firms in the UK use zero hours contracts. However, Wilfred Mitchell OBE, FSB policy chairman in Northern Ireland, said the contracts sometimes suit small businesses running on tight margins. “With 95 per cent of firms in Northern
Ireland being micro-businesses employing fewer than ten people, taking on employees is a real responsibility and not entered into lightly. It is often easier not to take the risk, or to get existing staff to do overtime, yet this is not what the economy needs,” he said. “If zero hour contracts provide an appropriate mechanism for small firms to respond to fluctuating demand and hopefully use this as a foundation for more permanent expansion, then why would government even consider interfering with them? “They are used in a small number of businesses, for a small number of staff, and then only when appropriate. Let us not make the mistake of removing a tool in the armoury of small businesses to respond to market opportunities that help to create work, often for those sectors such as 18 to 24 year olds who might otherwise not get opportunities to get into work.” Although many businesses use the contracts in limited circumstances, others, including McDonald’s and JD Wetherspoon, recruit the vast majority of their staff under these conditions. Sports Direct, which has 90 per cent of its 23,000 workforce on zero hours, is facing an employment tribunal into its use of the contracts. Lawyers for Zahera Gabriel-Abraham claim that as her contract prevented her doing other work, she should have got the same benefits as full-time workers, including sick pay and holiday pay. Although the law is complex in this area, Paul Gillen, senior associate at Pinsent Masons in Belfast, said it was his view that zero hour contracts should not be subject to legal challenge if used appropriately. He said employers should bear certain factors in mind when using the contracts. “I think one is to understand why they are using zero hours contracts and to ensure that there is a business reason for that. And secondly, that they operate them fairly – use it as a list for flexible labour so that they can call people in when required,” he said. “However, there should be no detriment to those people if they can’t come in for the hours
that are offered to them and when they do come in they should be receiving any rights they are entitled to as a worker.” Many trade unions want zero hours contracts banned. They say any flexibility they give is weighted in favour of the employer, and that they are being used simply to avoid giving workers the rights of an employee. Joe McCusker is the Northern Ireland regional organiser for Unison, which represents 1.3 million public and private sector workers across the UK. He said zero hours contracts are further disadvantaging low-paid workers. “Individuals who are on zero hours contracts don’t have any certainty of hours, of what they’re going to work in a particular week or a particular day. They have insecurity of income and so they are unable to apply for mortgages, loans and so on,” he said. He said Unison receives calls every day from workers who feel under pressure from their employers to take any work offered, regardless of family and other commitments, for fear they will be denied further work if they refuse. “A lot of the employees are actively required to be on standby at any time and be able to attend work at a moment’s notice. They’re effectively on call.” He also said many workers on the contracts are not aware of their basic entitlements. “Typically, particularly within the private sector and the independent sector, they have very little entitlement to annual leave, sick pay and so on. There is the Working Time Directive, which does provide some holiday entitlement for workers, but the workers themselves are often not really aware of their entitlement to annual leave.” Gillian Guy, chief executive of Citizens Advice, has said those on zero hours contracts find it difficult to access benefits such as tax credits since their income fluctuates from week to week. She added: “We would like to see flexible contracts come with minimum hours or minimum pay agreements. Clarity around redundancy and holiday pay would be a first step towards stopping this out-dated exploitation that has no place in the 21st century.”
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EMPLOYMENT LAW
Meeting the challenges of unpredictable market conditions Rosemary Lundy and Kevin McIvor from Arthur Cox outline why employers should pay close attention to the developing debate around zero hours contracts.
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he use of zero hours contracts has been well publicised recently in the media with the Business Secretary Vince Cable warning about the exploitation of staff on such contracts which give no guarantees of shifts or work patterns. The Chartered Institute of Personnel and Development has found that up to 4% of the UK workforce are on such contracts, this equates to around 250,000 workers in the UK. What are zero hours contracts? A zero hours contract is one under which the employer is not obliged to provide a minimum amount of work, but the worker is obliged to be available for any work when offered. Zero hours workers are extremely effective for employers in businesses that are seasonal (such as agriculture, where periodic bursts of intense activity are dictated by the nature of the work itself ), or businesses where work flow is variable, such as tourism or construction (where it is impossible to predict demand because of external factors such as the economy) or in sectors where there is a sporadic requirement for workers, such as in the arts. Who do they benefit? The main advantage of zero hours contracts is the flexibility they provide. Employers argue that this can be beneficial to both the employer and the employee, for instance, by providing employees with the flexibility to juggle family commitments. However, it is perceived that the advantages of these types of contracts lie firmly with employers who have a proportion of their workforce on permanent standby,
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ready to provide services if and when they are needed. This arrangement can result in the worker being unable to commit to any other kind of employment because they are not sure whether they will be called upon under the zero-hours contracts or not. As well as the costs savings presented by not having to pay workers when they are not working, employers can also benefit from having less obligations, where the arrangement is such that the individual is genuinely a worker and does not acquire employment status and the associated employment rights (such as the right to claim unfair dismissal, the right to receive statutory maternity or paternity leave pay, statutory redundancy pay or statutory sick pay). Workers working under zero hours contracts are clearly disadvantaged in this respect and this presents an area where the use of such
Kevin McIvor, Associate, Employment and Pensions. Rosemary Lundy, Partner in Employment.
contracts can be abused by employers. A clear disadvantage for individuals working under a zero hours contract, therefore, is the level of insecurity it leaves the worker with. This would obviously have an impact on the workers’ lives in respect to making financial plans and the ability to plan for the future without knowing the number of working hours available round the corner. The use of zero hour contracts will remain a contentious subject and whether they can be classified as beneficial or detrimental will largely depend on both the employer’s and employee’s circumstances. However, the Government has suggested that it intends to conduct a review of zero hours contracts. Employers with a large amount of zero hours contracts should therefore watch this space for any reforms coming down the line.
EMPLOYMENT LAW
Unions lodge Agency Workers complaint
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he TUC has lodged a formal complaint with the European Commission against the UK government for what it believes is a failure to implement the Temporary Agency Workers Directive properly. The trade unions body believes tens of thousands of agency workers are being paid less than permanent staff despite doing the same job because of the way the regulations have been introduced. Its complaint says that the UK government’s “flawed implementation” of the EU Directive has allowed the abuse of the so-called Swedish derogation – where employment agencies can pay agency workers far less than permanent staff doing the same job. The TUC said it had gathered evidence from workplaces where agency staff are paid up to £135 a week less than permanent staff, despite working in the same place and doing the same job. Under the UK’s regulations, agency workers are entitled to the same pay and conditions as permanent staff doing the same job after 12 weeks. However, a Swedish derogation contract exempts the agency from having to pay the worker the same rate of pay, as long as the agency directly employs individuals and guarantees to pay them for at least four weeks during the times they can’t find them work. The TUC said that in Sweden, where these contracts originate, workers still receive equal pay once in post and 90 per cent of normal pay between assignments. However, it said that in the UK workers have no equal pay rights and are paid half as much as they received in their last assignment, or minimum wage rates, between assignments. The TUC said its evidence shows that Swedish derogation contracts are used regularly in call centres, food production, logistics firms (lorry drivers working out of retail warehouses), and parts of manufacturing. The Temporary Agency Workers Directive was implemented in the UK in 2011 as part of Europe-wide legislation to give equal treatment to agency workers. At the time, business lobby groups warned that the legislation would lead to heavy job losses but the TUC said that in fact the number of agency workers has increased by an estimated 15 per cent. The Directive said that countries must prevent the misuse of Swedish derogation contracts. The TUC believes it has evidence that the UK government has failed to provide adequate protection for agency workers and that the right to equal pay is being widely flouted. It now contests that Swedish derogation contracts should therefore be banned. The number of workers on Swedish derogation contracts has grown rapidly since 2011. Around one in six agency workers are now on these contracts, according to a report from the Recruitment and Employment Confederation. The TUC believes that the growing exploitation of agency workers on Swedish derogation contracts, along with the rise of zero hours contracts and involuntary temporary work, show that behind improving employment statistics lies an increasingly insecure and vulnerable workforce. Unless the government acts to protect workers, the jobs market will continue to be dogged by low-wage, insecure jobs, it said. TUC General Secretary Frances O’Grady said: “The recent agency worker regulations have improved working conditions for many agency workers without causing job losses. Yet again business organisations have been proved completely wrong in claiming that decent rights at work cost jobs. “However, the regulations are being undermined by a growing number of employers who are putting staff on contracts that deny them equal pay. Most people would be appalled if the person working next to them
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Frances O’Grady
was paid more for doing the same job, and yet agency workers on these contracts can still be treated unfairly. “When even Conservative MPs complain about the ‘Swedish derogation’ you know it is time for the government to toughen the law. That’s why we are calling on the European Commission to investigate the problem and take steps to prevent the abuse of agency workers in the UK.” Business organisations were not impressed by the TUC’s decision to lodge a complaint with the European Commission over the Directive. Katja Hall, Chief Policy Director at business organisation CBI, said: “The TUC appears to have conveniently forgotten that it signed up to the Swedish derogation as part of the deal that brought in the Agency Workers Directive. “While businesses find the directive a nightmare to administer, the final deal carefully balanced the needs of businesses and employees – and the Swedish derogation is a key part. “Many firms prefer to pay an agency to provide temps using the Swedish derogation rather than face the bureaucracy involved with complying with the directive. This is perfectly understandable and entirely within EU law.”
Misuse of employers’ information can prove to be a costly mistake Maxine Orr from Worthingtons Commercial Solicitors uses a recent case to illustrate the risk that the nuisance of employer-owned information poses for departing staff and their new employers.
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nformation gained during an employee’s employment is normally information that belongs to the employer. Unfortunately a familiar scenario occurs when an employee terminates their employment or has their employment terminated and they commence work for a new employer who is a competitor of their previous employer and wrongfully take information that belonged to the business or indeed use that information for the benefit of the new employer. A recent case in the County Court in England considered the liability of an employee and its new employer in these circumstances. Mr Nasser Keyvanfar was employed by Pintorex Limited, a company that specialised in the resourcing, purchasing and sale of stationery items. Mr Keyvanfar gave notice of his intention to leave Pintorex Limited in early September 2010 and carried on in the workplace working out his notice until his employment ended on 27th September 2010. On 1st October 2010 he commenced employed with Parax Office Limited. Pintorex had suspected that Mr Keyvanfar had been taking away its information and that its customers had been contacted by Mr Keyvanfar even whilst he was employed by Pintorex Limited, in particular during the notice period. A solicitor’s letter was sent to the employee, his new employer and a director within that company advising of this breach of contract and threatening proceedings. Pintorex then issued proceedings alleging misuse of confidential information against not only the employee but against his new employer. The Court heard that its Sage database had been copied by Mr Keyvanfar twice and that he had retained at least one copy, however there was no evidence of a wholesale circulation of that customer
list. Nonetheless it was clear that he had taken the database and downloaded and copied it to a laptop belonging to the new employer. The Court stated that in taking the information and downloading it neither of those activities led to actual damage to Pintorex Limited and that the question before the Court was whether any business had resulted from a misuse of the confidential information. The Court had no hesitation in holding that there was a clear breach of the employee’s duty of good faith to be setting up trades with new contacts for the benefit of his new employer whilst he was still employed by his old employer. The Court held that while he remained employed by Pintorex Limited he was to do everything he could to get business for his employer and he could not effectively perform that duty if he was at the same time picking up business for Parax Office
Limited for delivery during the period of his employment with Pintorex Limited. The Court held him liable. Furthermore despite Parax Office Limited submitting that it was not liable for the activities for Mr Keyvanfar prior to starting his employment, the Court held that Parax was jointly liable with Mr Keyvanfar for the misuse of the confidential information committed by him including those pre-dating Mr Keyvanfar’s employment, on the basis that he was acting to further Parax’s interests as Parax’s agent, and that Parax had sufficient knowledge of what was going on to be jointly liable. The Third Defendant, the sole Director of Parax, could also have been jointly liable for the breaches had he had a ‘common design’ to commit them, or ‘dishonestly’ ignored what was going on, but it was held he did not know and so could not be jointly liable The business secured by Parax and as a result of the misuse of the information amounted to £1,813.32 of the gross profit. Employers should also take relevant professional legal advice in relation to the actions of ex-employees. Maxine Orr is a Partner in Worthingtons Commercial Solicitors specialising in Employment Law.
EMPLOYMENT LAW
Don’t stress about stress I
f I were to ask you what the primary cause of sickness absence is within the UK workforce each year, what would you guess? Colds and Flu? Back pain? In fact, the Health and Safety Executive found a staggering 10 million working days were lost due to stress in 2011/12. Each individual case of stress related ill health leads to around 27 days off work and more often than not, it is up to the HR manager to resolve – investigating potential causes, seeking solutions, dealing with the unfortunate employee, the paperwork and the disrupted rota. Some of Northern Ireland’s employers aim to relieve staff of tension through a range of innovative solutions. Desk massage sessions, lunchtime yoga and at the far end of the spectrum, American inspired courses involving mood monitoring, encouraging workers to ‘create their own oasis’. These initiatives tend to be implemented in a one-size-fits-all manner, but people aren’t like that. Within firms different roles bring different pressures, indeed different personalities bring different pressures and abilities to cope. In these straitened economic times companies can ill afford to waste resources, so what is the solution? If they could operate an early-warning system that flagged up those showing signs of stress, then they would be able to target resources in a more focussed and effective way. Pioneering health profiling company Randox Health has developed a unique test for evaluating chronic stress. Collaborating with the world renowned Karolinska Institute in Sweden, Randox Health has discovered specific markers in the blood, directly linked to stress-related illness. Through ground-breaking research, Randox Health has discerned that levels of certain proteins and hormones were significantly higher in the
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blood of workers on long term sick leave, due to stress, than those tested as part of a control group, who were healthy full-time employees. As a result of this scientific innovation Randox Health has created a dedicated screening package for stress. With just one simple blood test Randox Health delves into the body at a molecular level, searching for specific hormones and proteins which are potential indicators of stress. Based on the results Randox Health’s medics provide the individual with a complete picture of how they are presently coping with stress as well as alerting them to warnings in their body of possible stress-related illnesses which could occur in the future. Dr. Peter Fitzgerald, Managing Director of Randox Health, is encouraging Human Resource Managers to screen their employees for these early indicators of stress. “The Health and Safety Executive’s figures shine a light on the substantial burden stress has not only on the health of the individual, but the impact it has on the employer and the economy. Randox Health Stress Tests can help combat this,” he said. “Through our unique technology we can test employees to see if their bodies are showing any signs of stress, find and treat any emerging stressrelated illness and of course search for the all-important markers which mean that a person may succumb to stress in the future. Prevention is the key, our medical advisors can help the individual make some positive changes and by ultimately improving their health we can reduce incidents of stress related sick leave.”
Further advice is available by contacting Randox Health’s GP, Dr Gary Smyth at @ RandoxHealthDoc. Telephone +44 (0)870 0100 010 or visit www.randoxhealth.com
Mediation Works By Dorcas Crawford, Senior Partner, Edwards & Co. Solicitors
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or many businesses in Northern Ireland, the key to securing new contracts and creating sustainable growth is focusing on innovation and product development. So far, so intuitive – but what do businesses do when the wheels come off and ‘other things’ get in the way? Disputes happen in the course of doing business but without careful management they can spiral. Pressed for time and responding to the demands of customers can mean that problems aren’t tackled until they have already escalated to the stage of legal action. Mediation, as offered by Edwards & Co., is a way around this. Using an impartial adjudicator and taking confrontation out of the equation, mediation is capable of producing legally-binding agreements around seemingly intractable situations. Nor is it sector-specific. The principles apply just as much to disputes in the service sector as they do in manufacturing. There are substantial cost savings to be had – traditional litigation, especially at High Court level, can cost well into five figures. There are few disputes that have that much financial value at stake. Smaller businesses can often find mediation to be much more affordable, as well as being better adapted to their needs. The simple fact is that the court system in Northern Ireland is backlogged and judges will frequently ask if mediation has been tried. One of the other advantages
of mediation over traditional forms of litigation is that it can preserve or enhance trading relationships that are often ended by litigation. In the current environment, chopping and changing suppliers isn’t ideal. Individuals and businesses taking part in mediation have full control over how the process progresses – ranging not just from the settlement options, but also the pace at which it proceeds. I’ve dealt in seemingly intractable cases that have been resolved in a matter of days. And local firms can benefit from access to a widerange of professional Centre for Effective Dispute Resolution Accredited (CEDR) mediators. Going to court can be a value-destroying process – we’ve run a series of seminars to help businesses understand the options that mediation gives them, and the ways in which it can apply to them. A senior executive from the financial services sector who attended one of the sessions recently told me of the benefits he felt this approach could bring: “Alternative forms of dispute resolution have tended to be something that are considered only as a last resort, but seeing them in action I feel that there are real opportunities for businesses and financial institutions to make use of them. Rather than a
“One of the advantages of mediation over traditional forms of litigation is that it can preserve or enhance trading relationships that are often ended by litigation.” ‘stalling tactic’, mediation can produce clear, costeffective and quick results. “Hearing about how favourably they are looked on by the judiciary was also beneficial. It gives the parties involved another tool in their toolkit when it comes to dealing with disputes, including litigation. “It’s certainly something we’re looking at more in our own cases. Where suitable, we’ll be looking at a proactive approach to mediation that can work for all parties involved,” he said. At Edwards & Co., we’re leading the way in developing professional mediation solutions. While the Courts are always there as a backstop for certain situations, we’re working with companies across Northern Ireland to show that mediation works.
For more information about legal mediation visit www.edwardsandcompany.co.uk or phone 028 9032 1863
EMPLOYMENT LAW
Employment Law – navigating the changes requires expert help cases have highlighted the fact that companies now run the real risk of being accused of discriminating against employees on grounds of age unless they can objectively justify their retirement age.
Anna Beggan
Social Media – The use of social media by employees both in and outside the workplace has become a hot topic in employment law in recent years. Employers will welcome decisions by tribunals that accept that damage caused by an employee’s indelicate comments on social networking sites can lead to a fair dismissal. Pensions – A major employment law change has been the phased introduction of automatic enrolment for employees into pension schemes. The scheme has commenced with very large employers, but will be phased in for all companies of any size over the next four to five years. In essence, every employer in Northern Ireland will have to enrol most of its workers into a qualifying workplace pension scheme. Increased Parental Leave – Employee parental leave entitlement increased from 13 to 18 weeks in March 2013.
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mployment law is a constantly changing area, says one of Northern Ireland’s leading employment lawyers, Anna Beggan, Partner at Belfast law firm Tughans. Acknowledged as a leading authority in the field, Anna heads up the employment law department at Tughans, one of Northern Ireland’s largest law firms with a 100-year history, more than 110 staff and 22 partners. “Most employers have some idea of what their key responsibilities are, but changes are being introduced all the time, and as a result it is all too easy to get caught out,” says Anna. “Every year seems to bring important changes in employment law here in Northern Ireland – employers can’t be expected to keep abreast of every change as it comes into force and that’s where we come in as specialist lawyers working on behalf of our clients.” Anna and her team have advised many of Northern Ireland’s large corporates, institutions and government clients on all aspects of employment law. The team also advises and represents clients appearing before Industrial Tribunals, the Fair Employment Tribunal and in the High Court.
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Recent changes in the area of employment law include the following: Additional Paternity Leave & Pay – Fathers of babies born after 6th April, 2011, can now take up to 26 weeks of additional paternity leave, although this is under further review as part of a new consultation on parental leave recently carried out by DEL. The Bribery Act (2010) – The first person has now been convicted for an offence under this new legislation. In September 2012, new guidance was issued by the Serious Fraud Office on its approach to dealing with corporate hospitality, etc, and a stricter, less tolerant approach looks likely. Agency Worker Regulations (NI) 2011 – These require employers to ensure that agency workers receive the same pay and basic terms and conditions of employment as they would have received if recruited directly. Age Discrimination – Following the abolition of the normal retirement age a number of court
DEL Consultation on Employment Law Review – In July 2013 the Northern Ireland Employment Law Review Consultation was issued which is the most far-reaching review of employment law that has been undertaken by the Northern Ireland Executive. The aim of the consultation is to strike a balance between building employer confidence through better regulation and maintaining employee entitlements. The consultation closes in November 2013. “We’re here to help and advise local employers in responding to the many legislative changes that they have to face,” says Anna Beggan. A full service business law firm, Tughans’ lawyers are recognised as market leaders across a series of different specialist sectors, including employment, corporate, finance, mergers and acquisitions, property law, dispute resolution and energy. Specialist partner led teams are at the core of the law firm which has established a strong reputation for providing pragmatic, commercially focused solutions.
For further information please contact Anna Beggan on 028 9055 3300.
CORPORATE RESPONSIBILITY
A new era of responsible business The new management team at Business in the Community plans to return the organisation to its campaigning roots and keep pushing companies to put corporate responsibility at the heart of their business.
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orporate responsibility. Nice if you have the time. Good for a bit of positive PR. Not exactly core to a business. Right? Don’t believe a word of it! The new management team at Business in the Community are laying down a challenge to companies in Northern Ireland to do more to realise the benefits of acting responsibly. Earlier this year Kieran Harding assumed the role of Managing Director, while Gillian McKee and Lisa McIlvenna stepped up to the roles of joint Deputy Managing Directors. While the organisation’s overall agenda of People, Planet and Place has not changed, the team intend to urge their members to think big in the next three years. “We are still about challenging companies to do the right thing and be responsible. But we want them to do more,” said Kieran. “One of the things we felt we needed to do was increase our campaigning role and really put a challenge out to business to do more and to do things differently. There are elements of our soon to be finalised strategy for the next three years that will take us back to our roots, because we were a campaigning organisation, campaigning to change behaviour. We’re now at
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an age where we should do more of that.” First established in 1989, Business in the Community NI is the only one of the regions to have increased its membership through the recession. Its 262 members represent over a third of the province’s total workforce and the team put the growth down to remaining relevant to persuade companies they should still be responsible even in tough times. “Corporate responsibility has changed. 20 years ago it was about nominating a charity of the year, that was as sophisticated as it got. Now we are talking more about how corporate responsibility can be integrated, not just a nice add on that they kick to the side when things get tighter,” said Lisa. “You’ll always get someone who’ll say CR is for the birds, it’s good PR or greenwash. You can understand why those arguments are there because some organisations have treated it that way. But in the main, a lot of people are coming to us to ask how to do it properly because they are starting to see others in their industry benefiting from being responsible. The public want to know companies are acting responsibly.” Gillian notes that companies are now
looking for Business in the Community to provide them with creative ideas. “Companies are looking for something different that’s relevant to them not just something off the shelf. They are asking what could we do that comes back to benefit the business. They want to get people involved in volunteer programmes and schemes that help them really build their team and make them the sort of company people want to come and work for,” she said. The organisation tailors programmes for each member and make sure their initiatives don’t just work for large companies. “We’ll go into a lot of smaller businesses and they are doing corporate responsibility but they just haven’t shaped it or structured it or called it corporate responsibility,” notes Lisa. Kieran further elaborates: “If you are a small business in a more rural area, you are often a focal point of the community. SMEs get this stuff and we’ve been able to build on that and attract small companies to go beyond community involvement and look at the environment or how they develop their people.” Business in the Community’s new three year strategy will focus on current key issues including youth unemployment, helping firms move towards zero waste and increasing the uptake of volunteering to develop staff. It is also set to launch a brand new standard for responsible business called Core, which is currently being piloted by a number of companies and will go live at the end of October. “This is something our members have been asking for. Awards are effective in looking at specific issues, but firms want to know how they can take a wider picture, like Investors in People would for people development. It is a big step and it will really shift the gear for a lot of organisations who need a new challenge and want an in depth insight into how good they are,” explained Lisa. “We have organisations who consider themselves best in class and have perhaps been recognised as best in class in a number of areas, but whenever they look across the board and they are being challenged to take a real strategic, meaningful approach to all the issues they may fall down in other places. It is a good stocktake for them.” Core will also feed into the Business in the Community awards, adds Gillian. “Starting next year the responsible company of the year will have had to complete Core and excelled in it. That adds a bit more robustness to it. It will be a real challenge.”
CORPORATE RESPONSIBILITY
For the Henderson Group, tomorrow matters Being the biggest food and grocery distribution group in Northern Ireland, the family-owned Henderson Group is carrying a lot of responsibility on its corporate shoulders. Here, we look at how their Corporate Social Responsibility scheme gives back to communities in Northern Ireland, what changes are being made from the inside-out, and how SPAR is setting an environmental example for the convenience sector.
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omorrow Matters is the name of Henderson Group’s Corporate Social Responsibility programme. It focuses on three main themes – People, Place and Planet – with the belief that strong reinvestment and development of the business will benefit its customers, employees, environment and society as a whole. It is a practice that is working, with the Group currently in Quintile 1 of the stringent ARENA Network testing. The Group is invested in many aspects of its surrounding communities. Just recently, as part of its Business in the Community partnership with Monkstown Community School, Belfast, the Group and school welcomed The Apprentice finalist Jim Eastwood to talk to the pupils about the importance of career aspirations and building educational foundations to get there. The Group also sets out a variety of charitable partnerships and initiatives throughout each year, most recently contributing to over £3m raised for NSPCC Childline since 2006, and £250,000 for NI Cancer Fund for Children in the past two years. This month will see the launch of the annual ‘Milk It’ campaign for Tearfund, where Henderson Wholesale will donate 5p from every 2 litres of milk sold in all SPAR, EUROSPAR and VIVO brand stores to the worldwide Christian aid charity for a fresh water project in Uganda. Short dated goods are also donated to FareShare, who then distribute to the homeless across Northern Ireland. So, that’s the places and people covered. What about the planet? “Henderson Group is constantly investing
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in ways that mean we carry out our business in a way that is as environmentally friendly and efficient as possible. This ranges from everyday procedures in our head offices, such as introducing a paperless invoice system and the installation of solar panels on all warehouses, right through to the continuous development of our retail chains of SPAR, EUROSPAR and ViVO brand stores,” explains Mark Adrain, Group Property Director at Henderson Group. The Group’s Facilities team regularly participate in environmental volunteering initiatives through the partnership with Business in the Community, while Environmental wardens have been appointed and trained to carry out audits, tasked with establishing costcutting CSR actions in their departments. Also within the Group’s headquarters, small actions
which have a big impact are being generated such as a sticker campaign, Mr Adrain explains: “We have to remember that our small actions will amount to great environmental results, which is why we have implemented the sticker campaign, a simple basis whereby a sticker to remind the user to switch a machine off, or lights – anything that could be left on, is placed on it.” Henderson Retail is currently going through a retrofit of stores, investing in LED lighting and energy efficient refrigeration equipment. These are the two largest energy using items within the stores. “26 stores have had new shop floor LED lights installed this year alone. The fittings consume over 60% less energy than those previously employed, showing a like for like reduction in energy of 25% over our installations of three years ago,” continues Mr Adrain. “All food waste is also converted to compost and sold in our stores, demonstrating an efficient environmental cycle.” Such development can be seen particularly in the all-new SPAR Shandon store, on the Knock Dual Carriageway, which recently opened with state of the art, environmentally sustainable fittings. “The store boasts intelligent chilling systems that are energy saving and sustainable. It has solar sensitive glazing that both reduces the reliance on artificial lighting in store and helps maintain a comfortable ambient temperature, thereby helping reduce energy costs associated with heating and cooling,” says Adrain. “The Shandon store was built with our stringent CSR strategies in mind, and we’re proud with how it has turned out. Since opening, we have seen great energy savings and less waste, which is not just beneficial to us, but for our customers too.” Mr Adrain concluded: “We would very much like to model future stores on SPAR Shandon – we see it as the future of convenience retail, why shouldn’t we be taking on the multiples with this level of responsibility? Our convenience stores are on a par with larger supermarkets in terms of the CSR and Tomorrow Matters programme that we run, which is something to be very proud of. In fact, we achieved ISO 14001 last year – a framework developed for effective environmental management. We will continue to build and advance this in the years to come through effective practices and internal communications with staff.”
Recruitment & Training
RECRUITMENT & TRAINING
What does a perfect CV look like and does this change depending on whether you are straight out of university or aiming to become a CEO? Amanda Ferguson spoke to employment experts for their views on what graduates, middle managers and executives should be thinking about when searching for their dream job.
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hen it comes to your Curriculum Vitae it’s clear that honesty is always the best policy. It can be tempting to jazz up the work experience, qualifications and skills sections of your CV, but as The Apprentice candidate Jordan Poulton’s experience revealed, any exaggerated claim is a definite no. Viewers of the BBC show cringed as the
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young businessman failed miserably when one of Lord Sugar’s aides presented him with a Rubik’s cube to solve in under three minutes. It was on his CV, but he couldn’t do it. Awkward. At the time of publication Jordan hadn’t replied to Ulster Business’ request for a chat about what he had learned from the Rubik’s cube experience, but in an earlier interview he
said nerves had got the better of him on the day and he was still waiting for “the chance to show them I can do it”. The thing is Jordan won’t have another chance, that’s not how job interviews work. You’ve got one shot to make a good impression and that starts with your CV. HR and recruitment experts told Ulster Business inaccurate claims and omissions will
RECRUITMENT & TRAINING
“Many CEOs regard a lot of achievements as ‘just their job’ so it can be hard for them to articulate what their real achievements are.” GERRY GILPIN
catch people out in the end and it’s best to leave any outrageous and/or irrelevant skills out. Maria Curran, head of Employability at the University of Ulster, says graduates should use a CV to explain to recruiters what they can do and what they have done. “Their CV should present their knowledge, learning, skills and competencies in a positive, honest way,” she said. “The information should be accurate and truthful. Graduates are expected to put a positive spin on their CV, to play up their experiences by using positive, strong language, but they are advised not to include anything which is blatantly untrue as they will be found out.” UU provides students with PACE, a custom built interactive tool to help them develop and record employability skills and build CVs from specialised templates. Maria said it is important to tailor a CV to the needs of the recruiter and the particular job. “It’s best to show how they are a good fit by giving examples of how their experience, knowledge and skills fits the requirements of the job, paying particular attention to the ones marked ‘essential’,” Maria said. “Demonstrate all relevant skills, both transferable and subject related. The three most commonly requested skills across a broad section of graduate jobs are currently teamwork, communication skills and organisational skills,” she added. “Spelling and grammar is important and a CV should fit on two pages, making sure it’s clear, easy to read and pleasing to the eye. “The language used by graduates in their CV will determine how easily their message is conveyed to the reader, so it’s important to avoid
jargon, flowery language and text speak.” Beth McMaw, divisional manager at Grafton Recruitment, said middle managers overselling soft skills can be a turn off for prospective employers and arriving late for an interview must be avoided at all costs. “Other turn offs include casual dress and not knowing anything about the job or company because they haven’t read the job description or person specification,” she added. Beth said detailing achievements on a CV is important but stressed they “must be specific, tangible and true”. “If you are a Production Manager you should be in a position to say you have reduced wastage by a certain percentage. If you are an HR Manager you might say you have reduced attrition from 15% to 2%,” she said. “Achievements should be in bullet point format and if there aren’t lots of them they should sit underneath your profile in your CV or broken down under each job before responsibilities.” Beth also said with the ever increasing development of technology and social media it is vital job candidates ensure their public profiles are accurate, up to date and easy to find. Grafton has recently updated their CV & Interview Guidance booklet and insist on one to one interview preparation for specific jobs. In her 16 years in the recruitment business Beth has seen and heard it all, including candidates attempting to interview the interviewers and people turning up wearing jeans, to eyes wandering around the room and on occasion being winked at. “Something people should be mindful of is the appropriateness of photographs, so posing – unless you are applying for a modelling job – is out,” she said. “Poor grammar and spelling also makes me cringe and people shouldn’t be tempted to imply they have a degree when they did a year or two years but never completed it,” she added.
“Saying you like to socialise as a hobby should be avoided. If you feel you must put something down under hobbies make it something real.”
“Saying you like to socialise as a hobby should be avoided. If you feel you must put something down under hobbies make it something real like playing sport or being a member of a drama society.” Meanwhile, Gerry Gilpin, of Gilpin Executive Recruitment said chief executives are one of the hardest sort of candidates to advise on how to fill in a CV. “They regard a lot of achievements as ‘just their job’ so it can be hard for them to articulate what their real achievements are,” Gerry said. “Lots of people think they can write a CV in half an hour and send off a cover letter, but if it’s generic and not tailored that is a problem in today’s market.” Gerry said conveying your experience, skills, knowledge and attributes is vital and that hesitation and failure to prepare adequately for interviews trips people up. “Nowadays lead questions are followed up with Who, What, When, Where and How questions and that’s when people get caught out,” Gerry said. “An example is saying ‘I increased profit by 20% in three months’ but then not having all the answers when probed further on the who, what, when, where and how. “Give specific examples of X,Y and Z. These have to be thought of in advance, there’s no point trying to fool a professional panel.” Gerry said another trap people fall into is stating the obvious, as employers will not be interested in what an executive does, but rather, what they have achieved. “I’m an accountant, so a group accountant doesn’t have to tell me they do monthly and yearly accounts,” he said. “It’s in the title. It’s about getting into achievements, that’s what employers are interested in, how you’ve improved efficiency. I find the more senior you are the harder it is to get a really good and succinct CV. I spend a lot of time getting senior executives to explain achievements.” Gerry says he “discourages lies” as “you’ll get caught out sooner or later”. “If a lie is serious enough you are liable to be dismissed,” he said. “I encourage people to be totally honest.” It might only be a television show, but in this case The Apprentice experience is relevant in the real world. If you can’t solve a Rubik’s Cube, don’t say you can!
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RECRUITMENT & TRAINING
A future vision of learning The Open University’s John D’Arcy tells Ulster Business how the institution is using new technology to make tangible learning available to all and why businesses are among its biggest supporters.
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echnology is set to play an increasingly important role in the delivery of education and training, according to the director of the Open University in Ireland. John D’Arcy believes that while future provision of higher education learning will remain mixed, the balance is moving online. “We’ve been doing a lot of work in the university in the last couple of years to plug into mobiles more easily, so a lot of our recent developments are compatible with smart phones, iPads, Kindle fires, Blackberry, Android – we’re trying to cover all platforms – meaning that people can take their course-work reading materials on the bus, on the train, on holidays,” he said. “The internet is a real boon for us. We are one of the biggest providers of materials on iTunes - it is all free and one of the best ways to encourage people to take a dip into a piece of learning.” It is 50 years this month since Harold Wilson gave his famous speech about creating a ‘university of the air’ to offer higher education to all. Formed in 1969 the OU is now the largest academic institution in the world and in Northern Ireland has around 4,500 part-time students studying over 5,000 modules covering
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everything from art to social care, business to IT. As part of the celebration of Wilson’s formative speech, OU is commissioning art pieces for Milton Keynes, Cardiff, Edinburgh and Belfast. The theme in Belfast is creative writing and a three day installation between City Hall and Victoria Street will be staged at the end of October. It will serve as an important reminder of the OU, which in the minds of many still equates to those late night BBC2 programmes featuring archetypal bearded lecturers. With 63 million downloads on iTunes since 2010 – second only to Stanford in the US – it is clear the OU has evolved and is more relevant than ever. It has also launched Futurelearn, a project that will bring together a range of free, open, online courses from leading universities, including Queen’s and Trinity College Dublin. It is part of the move towards MOOCs (Massive Open Online Courses) that aims to make teaching materials from the world’s leading universities available to all. “There was a gap in the market here so we took a leap of faith and established Futurelearn in December last year. We will be launching a Futurelearn provision in September this year in London and in terms of Northern Ireland we’re
working with Queen’s to ensure there is QUB material on Futurelearn. Anyone across the globe can access it and I think the attraction for institutions like Queen’s, which has an international profile, is that its learning and expertise can be showcased to a much wider audience,” said D’Arcy. “We’re very much a social justice inspired university. Our mission statement is to be open to people, places, methods and ideas. A lot of our students wouldn’t have the typical 3 A-levels.” The average age of learner in Northern Ireland around 30-31 years of age, with most studying to further their careers. “Our students are a very rich range of people. They are people who are balancing busy family lives and jobs, maybe people who are trying to get back into work,” he said. “But we are also getting quite a lot of calls from 18 year olds who are trying to build for themselves a learn while you earn model, working part time and taking up part time learning.” It is perhaps surprising to learn that 80% of FTSE 100 companies have sponsored employees on industry-validated OU courses, and this statistic translates to Northern Ireland. “We have a lot of private sector companies who see this as a manageable form of learning for their staff because they don’t necessarily need to regularly go out of the workplace to a lecture theatre. With a lot of materials being online people can learn as part of their work time,” said D’Arcy. “All university learning will benefit people in their career. Critical thinking is really at the core of what we do, whether you’re doing an arts course or an MBA.” OU is the top ranking university in Northern Ireland in terms of student satisfaction, with a 93% approval rating and also ranks in the top third of UK universities for research excellence. Last year 28% of local students were on STEM courses. “A lot of businesses get it. They understand that for a lot of their staff it could be a pocket of learning that needs to take place. The good thing about ourselves is that they can take that learning in chunks and set it towards a qualification. You really want the learner to not only pick up the skills but to have something they can take on to a promotion in their current job or to a different job, so accreditation is very important for employers and employees.”
RECRUITMENT & TRAINING
Belfast Met joins the 157 Group B elfast Metropolitan College, the largest further and higher education college in Northern Ireland and the sixth largest in the UK, has become the first college from outside England to join the influential 157 Group. The 157 Group represents 29 of the most influential colleges in the Further Education sector. Its members are strategic leaders committed to leading on policy development and improving the quality and reputation of further education. It was formed in 2006 in response to paragraph 157 of Sir Andrew Foster’s report on the future of further education colleges, in which he argued that principals of large, successful colleges should play a greater role in policymaking. Lynne Sedgmore, executive director of the 157 Group, said: “We are pleased to welcome our first college outside England to membership of the 157 Group. Belfast Metropolitan College has played an important role in shaping the social, economic and industrial history of the city of Belfast and, in doing so, has had an enormous impact on local communities and on the lives of individuals. Its strong focus on enhancing learners’ employability and workreadiness is underpinned by close collaboration with industry to keep abreast of needs and developments, and we look forward to Belfast Met’s contributions to the 157 Group’s discourse about employer engagement and the value of local partnerships.” Marie-Thérèse McGivern, (pictured) principal and chief executive of Belfast Metropolitan College, added: “We aspire to be a college that has a significant impact on the people and communities we serve, with the learner at the centre of everything we do. As a new member of the 157 Group, we look forward to sharing our experience of and commitment to excellent teaching, learning and support, aiming to ensuring that our learners fulfill their potential.”
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RECRUITMENT & TRAINING
The search begins
and ends here
Having established and grown one of Northern Ireland’s most successful recruitment groups over the past 25 years, Gary Irvine will be well-known to CEOs, managing directors and HR directors alike right across the province, associated with the appointment of thousands of full-time, part-time and agency staff every year. He talks to Ulster Business about his natural progression into a new role in Diamond Recruitment Group and the launch of his new venture, 4C Executive Search.
“G
ood people can be extremely hard to find at any level, be it administrative staff, middle management or director-level roles,” says Gary Irvine. “But successful recruitment – especially in the more senior, business-critical roles – isn’t just about finding good people, it’s about finding the best people, and getting it wrong can be hugely damaging for an organisation. “It is imperative, therefore, that an organisation makes the right choices about how to recruit the individual it is seeking. Placing an advert in the newspaper or on a job board will work in some instances and going down the traditional agency recruitment route could provide the best solution. In certain cases, however, a much more specialised, researchdriven service is required, and that’s where search and selection – often referred to as ‘real recruitment’ – comes in.” With an increasing market for this type of specialist recruitment in Northern Ireland, Irvine has established 4C Executive Search – a search and selection firm which will officially launch on 1st October this year. “4C Executive will arguably be the only true search and selection firm in Northern Ireland,” he says. “We won’t be dabbling in the contingency type recruitment offered by a traditional recruitment agency as is often the case with similar firms. 4C is only interested in obtaining what Irvine describes as genuine class A search assignments, roles that require a full-scale recruitment effort. If we can’t help at 4C or believe search is not what the client truly needs or wants, we will be upfront and honest about that and instead refer potential clients to Diamond Recruitment if we believe it can cater better for their needs, rather than diluting our service by trying to be ‘all things to all men’.” He explains how search and selection differs
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from the traditional agency form of recruitment offered by Diamond: “When we talk about search and selection, people automatically think of head hunting and presume that it’s all about a little black book of who’s who and a discreet phone call here and there. But, in reality, executive search and selection is a very in-depth, methodical and strategic process. We are effectively doing what the client can’t do for themselves, in contrast to other forms of recruitment. “Whilst agency recruitment is often associated with speed and efficiency – offering a very fast, affordable solution for companies seeking to recruit across all levels of their organisation – search and selection is about taking a very strategic, research-driven approach to finding the best person for what tends to be a very senior role within an organisation.” Over the past 25 years Irvine has grown Diamond Recruitment Group to a turnover of over £35 million, employing over 2,000 temporary workers across Northern Ireland every day and placing hundreds of full-time workers each year. Diamond is now Northern Ireland’s largest recruitment organisation and features as one of the top 20 largest employers here. He says that the move towards 4C Executive is a natural progression for him. “I have gained invaluable industry experience over the years at Diamond, working alongside most of the Top 200 companies at one stage or another, as well as hundreds of Northern Ireland’s SMEs. Just because I will now be focusing my attention on 4C Executive going forward doesn’t mean I am leaving Diamond behind me by any means. “I have assumed the role of Chairman of Diamond Recruitment Group and will always be involved to some degree. However, having recruited Rick Butterworth as group managing
director in 2010, I know that the organisation is in very capable hands and will continue to grow and prosper under his leadership, ably assisted by regional managers Donna Parker and Eunice Campbell, both of whom have been at Diamond for almost 20 years now.” Irvine held the Chairmanship for two years of the official trade body for the £25bn recruitment industry in the UK, the Recruitment and Employment Confederation (REC) – an organisation with which he has been involved with for over 20 years, holding the positions of NI Director and UK board member before becoming Chairman in 2006. He remains a director of the REC today. “In my various roles with REC I have gained an excellent insight into the recruitment industry, working with hundreds of recruitment agencies and search firms of all sizes right across the UK. I am confident that this unrivalled experience, when combined with the knowledge and skill I have gained at Diamond puts me in a very strong position as principal search consultant at 4C Executive. “However, I also recognise the importance of underpinning any new venture with depth and breadth of skills and experience, and have recently appointed Emma Kieran as Business Support Executive – formerly a senior service advisor to Ferrari, Maserati and Bentley before moving into recruitment as a senior consultant last year. “In addition to Emma, I have also appointed one of the UK’s most senior, experienced recruitment veterans, David Winterburn, as a senior search consultant who will be based in London.” With 23 years’ experience in the recruitment industry, Winterburn is also a former Chairman of the REC, a former Chair of the Association of >>> Executive Recruiters (AER) and a past
RECRUITMENT & TRAINING
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RECRUITMENT & TRAINING
4C’s Emma Kieran, Gary Irvine and David Winterburn
President of Europe for the European Confederation of Search and Selection Associations (ECSSA). He remains a board member of ECSSA and has been recognised by the REC for his Outstanding Contribution to the UK Recruitment Industry. Winterburn comments: “I have been involved in search and selection for a long time now and have seen many changes over the years. Having been involved in both traditional agency recruitment and search and selection, I can advocate for both. They will both deliver results in terms of recruiting the right person for an organisation, but search is a much more methodical, scientific process and, in my opinion, is the better of the two when recruiting someone at senior managerial or director level. “If we look at how people in very senior roles move across various organisations, we see that these roles are very rarely advertised – perhaps because there is an element of confidentiality and privacy involved, with the best executives feeling that they shouldn’t have to reply to an ad, or because an organisation doesn’t want to promote the fact that it is making significant changes to its leadership until someone is appointed. So it is generally expected that these people will have been head hunted or ‘searched’ in some way.” He explains the importance of getting it right when engaging the services of a search consultant, saying: “What you must remember is that, as well as fulfilling an operational function, a search consultant also plays an
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important ambassadorial role, since he or she will be generally be the first contact a potential candidate will have with an organisation. “So it’s absolutely essential that you enlist the services of someone genuine and credible – someone with integrity and with whom you can place your trust to truly represent your organisation in an accurate light – and, with Gary, you have that. “Essentially you are investing in one of the UK’s most experienced consultants – someone who has been behind the wheel of the industry through the REC – and, as the principal search consultant, you are investing in the most senior possible person at 4C Executive to conduct this business-critical process for you.” Irvine believes that the time is right to launch 4C Executive in Northern Ireland. “There has never been a greater need for search and selection in Northern Ireland than now,” he says. “We are seeing tentative signs of economic uplift and what we need now is excellent leadership in our indigenous firms. “More and more we are seeing our indigenous companies compete on a global stage, which is fantastic. If we are to continue in the same vein, though, we need to attract new talent to drive this success, and this is where many of our companies are struggling. “We have to accept that, while we are lucky to have a strong pool of talent in Northern Ireland, finding the best person for the job can entail looking further afield, to GB, Europe or the States, for example and a search consultant
is best placed to go out and find potential candidates in these markets. This internalisation of Northern Ireland business by bringing in executives from foreign markets will play an important part in developing our place on the world stage. “Our 4C Executive motto is ‘local knowledge, global reach’ and that is exactly the case. Whilst we have local expertise on the ground in Northern Ireland and in London, our reach will extend internationally through our team of partner researchers based around the globe and this means that we are well-placed to find that best person, no matter where they are in the world. “Executive search, when done correctly, should pay for itself ten times over. The opposite is often the case, however, when an organisation choses a more traditional, less methodical process to fill a business critical role.” He says that in order to find the right person, however, the process must be right as well: “Search is a very exact science – from the identification of the role and agreeing the assignment brief in collaboration with the client to the initial approach to potential candidates through the team of researchers, the initial meeting with 4C Executive and then psychometric assessments – all before the interview stage. “In launching 4C Executive I am committing to getting it right from the start, ensuring that our clients experience the best, and find the best. The search begins and ends here.”
Shorlist of finalists
Achieving Excellence in Partnering Award Gilbert-Ash Giant’s Causeway Visitors Centre Graham Construction Torbank Special School Lagan Construction A2 Bangor to Belfast Watermain Rehabilitation Scheme QMAC Construction Ashleywood House Housing Social Housing Award T & A Kernoghan/Collen Construction INBEV Regeneration Project, Caffrey Hill TAL Rathcoole Gardens QMAC Construction Ashleywood House Donaghmore Construction Church Bay, Rathlin Island Private Housing Award (6+ Units) DB Building Contracts Ballantine Garden Village Phase II Graham Construction QUB Postgraduate Accommodation Elms Village Phase II McGinnis Developments Coopers Mill Beshouse Residential Properties Corran Mews Infrastructure Health Infrastructure Award Cunningham Contracts The Heathers Care Home Fireglass Direct Ireland Isolation & Critical Care Suites Royal Victoria Hospital Belfast Maurice Flynn & Sons SESHCT Bangor Community Hospital Utilities Infrastructure Award Farrans Construction Newcastle Hydro Scheme Lagan Construction A2 Bangor to Belfast Watermain Rehabilitation Scheme Lagan Construction Keady Wastewater Treatment Works Lowry Brothers Milltown Street Sewer Replacement
John Armstrong, CEF Managing Director; Derek Martin, CEF President; and Stephen Peover, Permanent Secretary of the Department of Finance and Personnel at the Showcase of Finalists for the Construction Excellence Awards 2013 at The MAC in the centre of Belfast. The world class arts venue, built by Mascott Construction, was the winner of the Overall Award in 2012.
Showtime at THE MAC
T
he very best new building and civil engineering projects completed in Northern Ireland over the last year were recently celebrated at the Showcase of Finalists for the Construction Excellence Awards 2013. The Awards, which are run by the Construction Employers Federation (CEF) with the support of SPECIFY magazine and in association with Ulster Business, are now in their 14th year and continue to go from strength to strength. Speaking at the event, John Armstrong, CEF Managing Director said, “The MAC, as the winning project from 2012, provided the perfect setting for this Showcase of Finalists. The world class arts venue, at the heart of Belfast’s Cathedral Quarter, is a prime example of how excellence in construction can help to transform an area and inject it with new life.” “This year’s competition has attracted over 100 entries and the distinguished panel of independent judges have once again had some very tough shortlisting decisions to make. The quality of the works on show today is all the more impressive considering the extremely challenging economic environment in which the construction has taken place.” “A very broad array of construction and civil engineering companies have made this year’s shortlist. Some companies have featured in the shortlist for many years in a row but there are others appearing for the first time. Farrans Construction stands out for having six entries making it through to the final stages with Maurice Flynn and Sons not far behind with four.” The Showcase of Finalists event was also addressed by Stephen Peover, Permanent Secretary of the Department of Finance and Personnel, who congratulated the finalists and expressed his hope that conditions for industry would start to improve over the next year. The winners of the Construction Excellence Awards will be revealed at a Gala Dinner on the 26 September 2013 in the Culloden hotel. For further information contact Joelene Poole on jpoole@cefni.co.uk
PRINCIPAL SPONSOR
SPONSORS
Transport Infrastructure Award McCann Bam JV Coleraine to Derry~Londonderry Track Renewal Project Farrans Construction D1 Belfast Harbour Graham Construction New Trains 2 - Adelaide Maintenance Depot McLaughlin & Harvey Ballymoney Railway Station Footbridge Education Infrastructure Award Glasgiven Contracts Magherafelt Primary School Dixons Contractors Bloomfield Primary School Farrans Construction Bangor Grammar School Graham Construction Torbank Special School Quality Performance Exporting Award Alternative Heat Lagan Construction McAleer & Rushe Windell Environmental Sustainability Award Farrans Construction H & J Martin Donaghmore Construction Newtownstewart Construction Health & Safety Award Adman Civil Projects Deane Public Works Henry Bros (Magherafelt) Maurice Flynn & Sons Training Award David Jameson Roofing Services H & J Martin Maurice Flynn & Sons McLaughlin & Harvey/W H Alexander JV (Gael Force Renewables) General Construction Social/Community Construction Award Farrans Construction Skainos Maurice Flynn & Sons PSNI Memorial Garden MSM Contracts Lurgan YMCA Youth Centre Gilbert-Ash Giant’s Causeway Visitors Centre Restoration Award Tracey Brothers McGarel Town Hall, Larne John McAleenan Building Contractor Tullymurry House O’Hare & McGovern Downpatrick Civic Centre QMAC Construction Dromore Town Hall H & J Martin Guildhall Phase II Commercial Construction Award Farrans Construction Bangor Aurora Aquatics & Leisure Complex John Sisk & Son (Holdings) Bombardier C Series Manufacturing Facility Martin & Hamilton Ballyrashane A/D Plant Henry Bros (Magherafelt) HMP Maghaberry
Executive Motoring By Pat Burns
Sponsored by
www.fleetfinancial.co.uk Extra comes as standard
MOTORING
TV star David Meade takes on his best role yet
T
V star, illusionist, mentalist and international speaker David Meade has landed one of his best roles yet – as a brand ambassador for luxury car brand Lexus. In an exciting new twist to his career, the popular BBC entertainer has agreed to become the public face of the high-end hybrid car brand with Charles Hurst, Northern Ireland’s biggest car retailer. Lexus has already been linked to a range of popular and influential role models, including global brand ambassadors Kylie Minogue, Ireland and British and Irish Lions rugby star Brian O’Driscoll, and former Formula One world champion Alan Jones. A keen car enthusiast, supporter of sustainable energy and lover of luxury brands; the one-year deal will see Meade become the public face of Lexus Belfast as it rolls out the all-new Lexus IS range, which includes the new, innovative, carbon-saving, fuel-efficient hybrid models. Meade, who took our screens by storm with previous BBC shows Make Believe and David Meade Project, and who is shortly about to star in a new TV show on BBC 1, said he was thrilled to be involved with Charles Hurst in promoting Lexus, which he described as a “quality, cutting-edge and ground-breaking” brand. “I’m often asked to take on many new roles in my career, but few are as attractive or exciting as becoming a brand ambassador for Lexus Belfast!” David said. “For a car lover like me, I’ve always admired Lexus. The cars, while slick, super-efficient and affordable, are also kinder to the environment. I’m certainly looking forward to getting behind the wheel and experiencing the hybrid technology for myself!” Adrian Devitt, General Manager of the Lexus dealership at Charles Hurst, said Meade was already proving to be a great ambassador for the brand. “People connect with David because he’s smart, charismatic, stylish and clever. You can also tell he’s an eye for something that little bit different. David has been a customer of Charles Hurst for years, so we know he loves cars. It was an easy match to make and we’re delighted to have him on board the Lexus team in Northern Ireland.”
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MOTORING
R
enault’s all new crossover model, the Captur, combines the latest in the French manufacturers chic styling with the greatly improved build quality that is a feature of the latest Megane and Clio models. The Captur is the latest expression of Renault’s pre-eminence in small car design, a stylish and contemporary urban crossover that brings versatility, fun-to-drive character and no-nonsense practicality to one of the fastest growing areas of the new car market. Its appeal starts at first glance: a compact but high-riding five-door car that sets itself apart from the pack with its distinctively fluid and muscular bodywork – that latest expression of Renault’s new design language. It’s built on the same underpinnings as the fourth-generation Clio, but the platform has been rendered longer to create a more spacious cabin and load space, and with wider tracks to ensure stable handling given Captur’s 200mm ground clearance and larger (16” and 17”) wheels. The cabin is designed to seat five adults, with the generous leg room in the rear supported by a 60/40 split rear bench that can be slid fore and aft, or folded flat when more load space is needed. Intelligent packaging allows Captur to offer a maximum 1,235 litres, with seats flat and loaded to the roof, while in “seatsup” configuration it is among the best in its class with up to 455 litres available, including handy (and hidden) space beneath the boot floor. Factor in a plethora of storage around the cabin, among them (according to trim level) bottle-holding door pockets, seatback nets and a capacious 1.6-litre bin between the rear seats, and you have a car perfectly kitted out for life on the move. Captur is available here in four trims, built around a typically generous core specification. On the entry level Expression grade that includes 16” alloy wheels, cruise control, a 60/40 split-folding and sliding rear bench seat, body coloured bumpers, Electronic Stability Control (ESC) and Traction Control (ETC), electric windows front and rear, electrically adjustable door mirrors, Hill Start Assist (HSA), trip computer and Renault’s ECO system for maximising fuel and emissions efficiency. Expression+ trim adds air conditioning, Renault’s hands-free key card with push button start, front fog lights and a handy reversible boot floor panel – carpeted one side and finished in easy-clean rubber on the other. Dynamique MediaNav models come with Renault’s integrated, tablet-style seven-inch touchscreen display. As well as the Navteq Nav’n’Go satellite navigation system, it enables access to on-board connectivity and a growing range of apps for information, entertainment
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Renault set to Captur the crossover market
and easier journeys. A four-speaker Arkamys audio system, Bluetooth and a USB port are included in the specification, along with 17” alloys and a cornering function in the front fog lights. Seat covers that can be unzipped and machine washed at home are also featured, another of Captur’s useful innovations that families are sure to appreciate. At the top of the range the Dynamique S MediaNav provides all these elements, with the addition of rear parking sensors, a folding function on the door mirrors and extra-tinted rear window and tailgate glass. The choice of powertrains features new and latest-generation Renault engines. All are turbocharged and deliver an exceptional balance of performance and fuel and emissions efficiency. The line-up includes the light and compact three-cylinder TCe 90 petrol turbo unit and the latest version of Renault’s renowned 1.5 dCi 90 diesel, securing sub-100g/km CO2 emissions for Captur together with official combined cycle fuel economy of 76.4mpg. Matched to a five-speed manual gearbox, both engines benefit from Renault’s Stop&Start technology and brake energy recovery.
Completing the initial engine choice is Renault’s brand new 1.2 TCe 120 engine, only recently introduced on the Clio GT-Line. This comes as standard with Renault’s smooth and efficient EDC electronic dual clutch six-speed automatic transmission. Later in the year, customers will also be able to select the first pairing of the 1.5 dCi 90 diesel with the EDC transmission. Captur extends Renault’s exceptional record on securing the highest levels of safety protection – for those on board and for pedestrians. The crossover became the 15th model wearing the diamond badge to secure a maximum five-star rating in independent Euro NCAP crash testing, under the tougher requirements of the 2013 test programme. Renault has tailored Captur to deliver strong, ongoing cost of ownership benefits, underpinned by its low emissions and high fuel economy across the board and by modest routine servicing and maintenance requirements. Customer peace of mind is further reinforced by Renault’s comprehensive 4+ package with four years/100,000 miles warranty, four years roadside cover, four years routine servicing and finance packages.
MOTORING
Six Appeal
B
uilt to feel like an extension of its driver, the all-new Mazda6 brings together Mazda’s sustainable Zoom-Zoom driving and ‘Kodo – Soul of Motion’ styling. The combination of highly efficient Skyactiv technology and the striking design will ensure the Mazda6 is well equipped to take on the established business market. The Mazda6 – now in its third generation – is the first Mazda to be equipped with i-ELOOP, the Japanese company’s unique brake energy regeneration system. Fitted as standard to the majority of Mazda6 models, this system can boost economy by up to 10 per cent, depending on driving conditions. i-ELOOP joins the ‘i-stop’ start-stop system and Skyactiv powertrains, chassis and body – first introduced on the Mazda CX-5 – and positions the Mazda6 as a class leader for fuel economy and CO2.. With combined fuel economy as high as 67.3mpg and emissions as low as 108g/km – without any sacrifice in performance – the new model could prove to be a great success. Mazda’s range of high-efficiency Skyactiv powertrains includes two petrol engines and
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two diesels paired to six-speed automatic or manual transmissions. Petrol engines include the 2.0-litre 145ps and the 2.0-litre 165ps both producing 210Nm at 4,000rpm, while diesel engines include the 2.2-litre 150ps producing 380Nm at 1,800rpm to 2,600rpm and the 2.2-litre 175ps producing 420Nm at 2,000rpm. Chassis and body structures are stiffer in this new model, benefiting from greater proportions of high and ultra-high tensile steels. To help the driver avoid accidents, the Mazda6 features an impressive array of advanced active safety technologies such as radar-based Rear Vehicle Monitoring, Smart City Brake Support (SCSB) and Lane Departure Warning System. Even when a collision is unavoidable, passive safety technologies work to diminish its severity for occupants and pedestrians – and even the vehicle itself. Inside, form meets function in an ergonomic cockpit designed to make driving as enjoyable and engaging as possible. Everything is exactly where it should be: even the repositioned A-pillars, moved rearwards by a full 100mm relative to the previous model, contribute to a
stress-free experience by widening the driver’s field of view. Passengers will appreciate the relaxing atmosphere in the cabin, which features segment-leading passenger space on the saloon models, accompanied by the latest infotainment technology, including an 11-speaker Bose surround sound audio system, available on Sport models. The key model in the all-new Mazda6 range is the 2.2-litre SKYACTIV-D 150ps diesel, which with a CO2 figure of 108g/km has one of the lowest emissions of any model in the upper medium sector. That means low benefit-in-kind tax bills for company car drivers and corporate taxes for businesses as well as 67.3mpg on the combined fuel cycle. On-the-road prices for diesel variants start at £21,795 on-the-road (OTR) for the 108g/km 2.2-litre 150ps Saloon SE through to £28,045 for the 129g/km 2.2-litre 175ps Tourer Sport Nav Auto. Prices for petrol models start at £19,595 OTR for the 129g/km 2.0-litre 145ps Saloon SE, rising to £24,865 for the 136g/km 2.0-litre 165ps Tourer Sport Nav.
APPOINTMENTS
PHILIP STEELE
EMMA FILMER
PAUL STANLEY
Denman International has announced the appointment of Philip Steele as Managing Director. Philip has been with Denman for 23 years including a year spent working at the company’s US subsidiary in Boston and two years in Japan working with Torico Industries, Denman’s Japanese distributor. Argento Jewellery has appointed Emma Filmer as Managing Director. Emma has worked in Argento for six years overseeing all retail operations of Argento’s 38 stores. Emma will focus on using her experience to continue the company’s growth. Ulster Bank has appointed Paul Stanley to the position of Chief Financial Officer. Reporting to the Chief Executive, Jim Brown, he will also take up a position on the Ulster Bank Board. Paul has over 30 years experience in the financial services industry and most recently served as acting Chief Financial Officer for AIB.
JOHN DICKEY
PAUL LONGSTAFF
IAN CUMMINGS
John Dickey has joined Moy Park as Operations Manager of the company’s Ballymena site. He joins Moy Park from Dale Farm, where he was Site Manager of Dromona Creamery. John will oversee the operations for both chicken and turkey. Paul Longstaff has joined Moy Park as Supply Chain Operations Manager. Paul joins the Moy Park team from Microsoft where he was Channel Operations Director for two years. Paul will be based at the company’s Craigavon site and will bring over 17 years of supply chain experience within the food industry to his new role. RSA NI has appointed Ian Cummings as Head of Personal Lines Operations. Ian has 26 years’ insurance industry experience and is an ACII Chartered Insurer. He was previously the Lead Trader within the UK Mid Market division in Belfast.
NEAL BROWN
CELINE GILLEN
DES DOHERTY
RSA NI has appointed Neal Brown as Head of Commercial Lines Underwriting. Neal has over 30 years experience with RSA as a commercial underwriter having worked in various roles throughout his career. RSA NI has appointed Celine Gillen as Head of Claims. Celine was the previous Claims Manager for Europa General and has 32 years industry experience in operational claims and claims management. RSA NI has appointed Des Doherty as Head of Finance & Enterprise Support. Des was the Europa General Finance & Facilities Manager. As Head of Finance & Enterprise Support Des will also be responsible for the HR, IT and Facilities functions for RSA Northern Ireland.
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APPOINTMENTS
Select Management and Security Ltd have appointed Nigel Monteith as their Events Division Operations Manager. Nigel will take responsibility for all aspects of Crowd Management and Event Security at the events Select works with throughout the year.
NIGEL MONLEITH
DANIEL HUGHES
CIARAN McLAUGHLIN
PHILLIP HAMILL
MARK IRWIN
ROBERT BLYTHE
DOMINIC MONTAGUE
EMMA ARMER
PAULA DALY
Daniel Hughes has been appointed as business acquisition manager at Danske Bank. Based between Danske Bank’s Newry and Portadown Finance Centres, also encompassing Armagh, Lurgan, Kilkeel and Downpatrick, Daniel is responsible for developing new to bank relationships and acquiring new business customers. Ciaran McLaughlin has been appointed as corporate banking development manager at Danske Bank. In his new role, Ciaran will be managing a portfolio of Danske Bank’s corporate customers with a primary focus on developing new to bank relationships.
Phillip Hamill has been appointed to the position of Telematics Sales Executive at CRASH Services. He previously worked for AutoGlass where he was business manager for Scotland and Northern Ireland. Mark Irwin, media director at Ardmore Advertising, has been appointed to the board of directors with immediate effect. Mark, who heads up Ardmore’s media department, joined the company in 2005 and he has been instrumental in its success, working with a range of clients, including Stena Line and Visit Belfast. Robert Blythe has been appointed Head of Marketing for Ireland, Scotland and Craft Beer at Molson Coors (UK) Ltd. Robert, who joins from the Kerry Group, will drive all marketing activity for Molson Coors in Northern Ireland and the Republic of Ireland, as well as the Scottish market.
Dominic Montague has joined Belfast Waterfront and The Ulster Hall as an Exhibition and Business Sales Executive. Joining from the Lyric Theatre, he will be responsible for generating new business for corporate meeting suites and developing exhibitions portfolio at both Belfast Waterfront and The Ulster Hall. Emma Armer has been appointed as Public Relations and Communications Officer for the Henderson Group. Within her role, she is responsible for analysing communication requirements, developing and delivering bespoke communication plans to improve the positive profile of the Henderson Group. Paula Daly has joined the Henderson Group marketing team to develop and execute digital marketing campaigns across all retail brands. Paula previously completed the BWG graduate programme in Dublin and was subsequently employed as a Marketing and Trading Executive by BWG Foods.
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PHOTOCALL
1. Robin Johnston, Enterprise and Commercial Manager for Blackberry Ireland, presents a new Blackberry Q10 to Paul Millar, Chief Investment Officer of Whiterock Capital Partner, the winner of a prize draw held at the Ulster Business Top 100 Companies launch.
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2. Frances McKee, Marketing Director; Siobhan Marley, Business Development Director; and Ken Montgomery, Chairman of Pinnacle celebrate Pinnacle’s 20th year in business. Pinnacle has now become the largest and most successful supplier of Sage software across the UK and Ireland.
3. Leading global diagnostics company Randox Laboratories has welcomed over 60 new staff members in September. This builds on the 200 new staff they have employed so far in 2013.
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4. Christine McClune from CLIC Sargent joins Whitla Fire Station Crew Commander and WPFG ‘Stair Climb’ Silver medallist Gareth Lowry to launch the charity’s ‘Power up the Tower’ challenge. The event which is a first for the NI charity sector, will give participants the opportunity to race up all 28 floors of the Obel Tower on 19 October. To find out more email christine.mcclune@ clicsargent.org
5 5. Barclay Communications has pledged its support to local charities and the community with the launch of Think Local, a new mobile package that guarantees large savings and donations to local charities. Pictured are Joanne McSeveney head of Public Sector Development at Barclay Communications, Nicola Cowan, Rachel McCann and Margaret Haddock, Deputy Chief Executive of The Orchardville Society.
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PHOTOCALL
6. Northern Ireland’s largest independent tyre retailer, Modern Tyres, has announced the expansion of its operations following an investment of £1m with the support of First Trust Bank. Rory Byrne and Larry Murphy from First Trust Bank are pictured with Modern Tyre Services’ Jimmy Byrne and Conor Byrne.
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7. Tughans solicitors recently swapped the court room for the kitchen and held the ‘Great Tughans Bake Off’ at their Belfast office. Pretty ‘N’ Pink patron Katie Larmour was on hand to judge the competition with Phyllis Agnew, Senior Partner at Tughans and Julie Lynch from Malmaison.
8. A Co Antrim clothing company has secured a £200,000 loan from the Growth Loan Fund which has enabled it to create six new jobs providing innovative web shops to schools and sports clubs. Pictured are Chris Leitch, Managing Director, Reach EPS and David McCurley, Senior Investment Manager, WhiteRock Capital Partners.
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9. Paul Stewart from www.unibaggage. com is pictured with student Katy Press from Downpatrick who is studying at Northumbria University and is planning to use the service. Uni Baggage has seen huge demand for the courier service it offers for students wishing to transport belongings to university in the UK and beyond.
10. BIFM Ireland Region Chairperson, Stephen Welch and committee member Jacqueline Byrne launch the BIFM Ireland Region Facilities Management Recognition Awards 2013. Visit irelandawards for more information. Deadline for entries is 11 October with winners announced on 15 November.
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11. Six local financial professionals will undertake an extraordinary challenge, on bike and on foot, to scale 16 peaks across the Lake District within 16 hours to raise money for children’s charity, The Youth Adventure Trust. Pictured from the team are Conall Reilly, Jonathan Simpson and Michael Beattie, from Johnston Campbell.
12. Portadown cleaning company Craigmore have secured an order with the National Trust Giant’s Causeway Centre to supply new equipment to clean the basalt walkways outside the centre. Geoff Baird, Managing Director of Craigmore, is pictured with Brendan Kelly, Building Service Manager at the Giant’s Causeway centre.
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13. Finance Minister Simon Hamilton MLA has officially opened new offices at Rainbow Communications, which represented a £250,000 private investment. Pictured at the unveiling is Simon Hamilton MLA with Directors of Rainbow Communications, Eric Carson and Martin Hamill, and Director of Sales and Marketing, Stuart Carson.
14. Carson McDowell has raised a staggering £16,500 for Macmillan Cancer Support. Celebrating the fundraising achievement are Victoria O’Hara, Chris Philips, Joanne Young from Macmillan Cancer Support, Leona Rankin, Michael Johnston, Managing Partner of Carson McDowell and Rosemary Carson.
15. Belfast Lord Mayor Máirtín Ó Muilleoir is pictured on the rooftop of Belfast Harbour Commissioners Office with Chairman Dr Len O’Hagan and Chief Executive, Roy Adair. The visit was part of the Lord Mayor`s `Future Belfast Fridays` initiative.
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16. Diageo Northern Ireland has teamed up with Belfast Street Pastors, a Christian voluntary organisation that is providing help and assistance to people on a night out in Belfast, to support its drive to recruit much needed volunteers and grow the scheme’s expansion in Belfast. Diageo’s Gemma Bell joined street pastor Trevor Betts to announce the partnership.
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17. The Chartered Institute of Marketing’s Ireland chair Christine Watson launches the Ireland Marketing Excellence Awards 2013 with Dr Vicky Kell, Trade Director of Invest NI and principal sponsor of this year’s awards. Closing date for entries is 27 September. Entries can be submitted at.
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18. BT is encouraging its staff to take part in the first ever Deep RiverRock Belfast City Half Marathon on September 22 for the event’s official charity partner, Cancer Focus Northern Ireland. Pictured are Peter Morris, BT Director of Corporate Services, Cancer Focus mascot, Genevieve the Healthy Goat and Kirsty Thompson, Cancer Focus.
19. United Wine Merchants has become the one stop shop for premium Port wine in Ireland with the announcement that the company has been appointed with the distribution of Taylor’s Port for the Republic of Ireland. Toasting the deal are Martin McAuley, Managing Director for UWM and Chris Forbes, Sales and Marketing Manager for Taylor’s Port.
20. An Armagh-based cider company has secured a loan from the Growth Loan Fund which it says will enable expansion through investment in new plant and machinery. Helen and Philip Troughton, owners of Armagh Cider Company are pictured with Neil McCabe, Senior Investment Manager at WhiteRock Capital Partners.
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21. Victoria Square, Northern Ireland’s premier retail, residential and leisure complex, has appointed Michelle Jackson to the role of centre manager. Michelle will lead the centre management team and takes responsibility for the overall strategic growth and direction of the business in conjunction with BTWShiells.
22. Jim Eastwood visited Sixth Form pupils at Monkstown Community School, Belfast to impart wisdom on tackling any hurdles that may stand in the way of their chosen careers as part of the Henderson Group and Business in the Community’s Business Class initiative.
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23. Theresa Villiers MP, Secretary of State for Northern Ireland joined Michael Wilson, Managing Director of UTV Television on a recent visit to the UTV Archive.
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24. Pictured launching Moy Park’s new partnership with Tyrone GAA are Hugh McAleer (Chairman, Club Tyrone), Mickey Harte (Manager, Tyrone Senior Team), Tony O’Neill (Moy Park Director), Ciaran McLaughlain (Chairman, Tyrone County Board) and Andrew Nethercott (Moy Park Director of Brand Marketing).
25. Shane Molloy, Director of Molloy’s Fish Market, Martin Geraghty, Tesco Enniskillen Manager and Maurice Kettyle, MD of Kettyle Irish Foods showcase some of the fresh, locally sourced produce they are making available in-store as part of a new deal.
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SPORT & HEALTH
Kingsbridge trials innovative new telemedical system
Pictured are Mark Regan, Chief Executive at Kingsbridge Private Hospital, supporter Elisabeth Lunde from Trondeheim in Norway, Paul Prentice, Physio with Team NI and Dr Raj Shah, Cardiologist from Langhorne, Pennsylvania.
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ingsbridge Private Hospital has successfully trialled an innovative new telemedical system at the World Police and Fire Games in Belfast and now plans to make it available around the world. During the course of the games Kingsbridge worked in collaboration with Dr Raj Shah, a Cardiologist from Langhorne, Pennsylvania to trial the innovative new Telemedicine
TIME FOR KICK-OFF: Tourism Minister Arlene Foster hailed Northern Ireland’s growing reputation for staging world class sporting events at the official launch of this season’s Rabo Direct Pro12 at Titanic Belfast, where she was pictured with the team captains. Comprising teams from Ireland, Scotland, Wales and Italy, the competition is one of only three professional leagues in Europe. The Minister said: “Ulster Rugby is one of our iconic symbols, with the team and fans playing an important role as ambassadors for Northern Ireland, both at home and abroad. I look forward to seeing visiting fans from places as far apart as Glasgow and Treviso at the newly redeveloped Ravenhill, where they can be assured of the very best in hospitality and facilities.”
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programme, Smart Care Doc, an internet-based doctor service. The new Smart Care Doc system is the first of its kind to be deployed in the UK and Ireland to a large scale sporting event and allowed athletes to undergo an on-line doctor’s appointment live from the Athletes Village in Custom House Square. Through Smart Care Doc, athletes were
connected with medical professionals at Kingsbridge’s Private Casualty, where the attending doctor could remotely read vital signs such as monitoring the heart rate and blood pressure and as well as receiving images of the body such as the throat and inner ear. Until now the doctor usually had to be physically present to obtain these images. Smart Care Doc also boasted peripheral devices, which informed the doctor as to how much oxygen was in the athlete’s blood (pulse oximetry) or how the air inside an athlete’s lungs sounded; all of which could give a valuable insight into any underlying medical problems. Treatment could then be advised, with prescriptions faxed directly to a pharmacy if this was part of the GP advised treatment. If the doctor needed to see the patient for any reason, they could be taken directly to Kingsbridge Private Hospital, which is located at the top of the Lisburn Road. Like the Games themselves, this new technology could affect countries all over the world, as Mark Regan, CEO of Kingsbridge Private Hospital explained. “We installed the system here in Belfast to save the athletes a journey of a few miles to hospital but we know the system could also be used from remote regions such as North Africa or the Middle East where medical expertise is often difficult to access. The availability of this innovative technology means that patients anywhere in the world can now access highly trained doctors round the clock. All we require is an internet connection.”
TECHNOLOGY
The Gadget
Guide
Technology journalist Adam Maguire reviews some recently released and soon to be available gadgets. REVIEW: UE BOOM
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ltimate Ears prides itself on being the brand-of-choice for music professionals its owner Logitech hopes a dash of Beats-inspired-style will help make it the first choice for consumers too. Beginning life - as any self-respecting company should - at a Van Halen tour, Ultimate Ears has become the leading provider of in-ear monitors for gigging musicians. In recent years the company has made a push towards the consumer space and part of its latest product range is the Boom - a compact Bluetooth speaker designed to work primarily with smartphones. Its small, cylindrical shape gives it an unconventional look, but even with minimal buttons users should have no trouble in connecting their phone to it. If all else fails, though, it also has a standard headphone input for more old-fashioned connection types. The sound output it gives is impressive - even when it is playing mp3s over a wireless connection. It also boasts a 15 hour battery life, so can be just as mobile as the smartphone it’s synced to. For more adventurous users, UE offers an app that allows you to link two Boom speakers together to create an even bigger sound - the device is also dirt and water resistant so it should take some abuse even if used outdoors. The UE Boom retails for £169 and can be bought from UltimateEars.com
REVIEW: TOSHIBA PORTEGE Z10t
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oshiba hopes its new tablet-laptop hybrid can bridge the yawning divide between the old and new worlds of mobile computing. On first impressions, there is something not-quite-right about the layout of the Toshiba Portege Z10t - namely that the majority of the device’s bulk is in its screen rather than its keyboard. This is because the Portege Z10t screen - which is actually a detactchable tablet - houses all of the necessary computing power, with the keyboard merely acting as an extension. Its operating system - Windows 8 - is designed with this kind of flexibilty in mind, meaning that software runs seemlessly even as you switch from tablet to laptop modes. But like most of the hybrids made to date, the Z10t proves to be a master of neither domain. As a laptop, its top-heavy design has forced some odd limitations, for example the amount you can tilt the screen back. Ironically this makes it hard to use comfortably on a lap. As a tablet the device does better, though it feels a bit too bulky and laden with switches, ports and buttons. An iPad or Android tablet with a cheap bluetooth keyboard is a perfectly servicable way to get laptop-like functionality out of a high quality tablet. With that in mind you wonder who would want a device that does less for more. The Toshiba Protege Z10t costs £969 exclusive of VAT.
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TECHNOLOGY
PREVIEW: amazon kindle paperwhite
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mazon is trying to hammer home its dominance in the ebook market with a refreshed version of its marquee ereader. Despite the explosion in tablet ownership the dedicated ereader has remained a fairly popular option for bookworms ditching the printed form, and it is not hard to see why. For a start the devices tend to be cheaper, they also last much longer between charges and their eink displays are easier on the eye than sharp LCDs. Of course a bright screen has its advantages and Amazon is not one to miss a trick, hence the arrival of its backlit Kindle Paperwhite last October. The new version of the device will build on its success, offering an improved display with carefully-placed lighting designed to give readers the best experience with minimal glare. It also boasts a faster processor and an improved user interface to make browsing catalogues a less laborious affair. The Amazon Kindle Paperwhite gets a US release on 30 September.
PREVIEW: nintendo 2ds
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aving made a big gamble on 3D gaming with its handheld console, Nintendo has now taken a step back to try to widen its appeal once more. The touch-based Nintendo DS was a massive hit for the firm that brought the world Mario. It was always going to be a hard act to follow, though, and while the 3DS has done well Nintendo clearly thinks it could do better. With that in mind the gaming giant has announced a somewhat stripped-down version of the device, setting aside the 3D as well as its iconic clamshell design. By making these changes Nintendo has managed to shave almost ÂŁ40 off the price, making it a far more attractive proposition to younger gamers (and just in time for the launch of the latest Pokemon games). Nintendo also assures users that all 3DS and DS games will work just fine with the new model - while the various smaller features remain in place. Nintendo insists it is not turning its back on 3D, of course, though this does all but cement the option as a gimmick rather than a core function. If that means a boost in sales over the Christmas period, it is likely considered a small price to pay. The Nintendo 2DS launches on 12 October for ÂŁ110.
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Terry Canning, FarmWizard How often do you travel, where to and why? Since launching our cloud based livestock management service in 2004, FarmWizard has established an international network of resellers and customers. As well as travelling to England quite a bit I also do the odd long haul trip to some of our more distant partners in the US, South Africa and New Zealand. What are the three things you couldn’t do without when travelling on business? I never leave home without my laptop. Travelling in a plane is always easier if you have a good book to help pass the time. I tend to alternate between heavy books that I might learn something from like Andrew Marr’s history book, and something light and escapist like a John Grisham novel. Lastly I always take my running shoes. Having completed my first marathon this year I find running to be a great way to sight see and take in the atmosphere of a place. What would be your top tips for anyone embarking on a job that involves a lot of travel? I would recommend that wherever you go make the effort to see a bit of the place even a quick visit to a tourist attraction can be quite rewarding and give you a sense that you have experienced something new. What do you enjoy most about working internationally? It’s great to meet new people and experience different cultures. Interacting with people from different countries is fascinating, from the abrupt Afrikaans to the polite Chinese - the contrast can be both challenging and rewarding. What’s your favourite place in the world and where has disappointed you? My favourite place in the world is Rio de Janeiro, it’s a beautiful city with a sharp edge to it which means you are always finding out something new whenever you visit it. I was a little disappointed working and living for a few months in Silicon Valley which seems to be just a mesh of motorways and shopping malls, although San Francisco made up for it. What’s the best airline you’ve flown with and best hotel you’ve stayed in? Back in the heady days of the dot com boom I used to work for a telecommunications company and we always flew 1st class on long haul. So I had the chance to fly first class with Virgin to San Francisco which was quite an experience. The best hotel I think I stayed in was in India at the Lake Palace Hotel. Where in the world would you most love to work? I have been to Australia before a few times on business and pleasure but only for a few weeks at a time. I would love to live there for maybe six months as I think the Aussies have a great lifestyle. Where are you off to next? South Africa in mid September on an Invest NI trade mission
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Business Books Life’s A Pitch by Philip Delves Broughton (Penguin) Few of us have the chance to meet let alone work with the best. But to get on, we need to learn their secrets of success. Here, Philip Delves Broughton, author of the bestselling What They Teach You At Harvard Business School, journeys around the world meeting business legends from all walks of life. Their stories are insightful, hilarious and compelling. Revealing their secrets and tips, Life’s a Pitch also shows how mastering the art of selling will help you master the art of life. What the Most Successful People Do Before Breakfast by Laura Vanderkam (Penguin) In this brilliant accessible book, Laura Vanderkam inspires you to rethink your morning routine and jumpstart your day. If you use your mornings wisely, you can build habits that will lead to a happier, more productive life. She also helps you to rethink your weekends. She explains why doing nothing can be more exhausting than doing something, how to balance work and play, and why Sunday nights are crucial. Finally she challenges you to make the most of your time at the office. Focusing on matching your to-do list to your body clock, she shows you how to maximize your productivity so you can accomplish more in less time. Promote Yourself by Dan Schawbel (Little Brown) How people perceive you at work has always been vital to a successful career. Now with the internet, social media, and the unrelenting hum of 24/7 business, the ability to brand and promote yourself is more crucial than ever. In Promote Yourself, Dan Schawbel shows readers how to navigate this new environment as an employee and lays out what managers are really looking for. Unveiling exclusive new research on the modern workplace, Schawbel breaks down the outdated mores of getting ahead and lays out a practical guide for building an outstanding career in an age of economic uncertainty and constant adaptation to new technologies.
All titles are available at easons. To win copies of the featured books go the Ulster Business facebook page.
TRAVEL
Aer Lingus sticks with Ulster Rugby
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LSTER Rugby players, Tommy Bowe, Paddy Wallace and Paddy Jackson were on hand at George Best Belfast City Airport today to help Aer Lingus unveil their new Ulster Rugby decals (stickers) on both their London Heathrow and London Gatwick planes. To demonstrate its commitment as Official Airline Sponsor of Ulster Rugby and support for the team, Aer Lingus will carry the proud sponsor logo for the upcoming season. The airline will continue to provide Ulster Rugby with air travel as well as supporting the development of travel and accommodation packages for Ulster supporters to away matches. Valerie Abbott, Commercial Manager of Aer Lingus NI said: “We are delighted with the success of our sponsorship deal so far and wanted to express our appreciation and support to the club and their fans, by carrying Ulster Rugby branding on our planes. “Last season provided excitement and entertainment for Ulster Rugby supporters including everyone here at our Belfast City base. “Being part of the Ulster Rugby machine and following their major redevelopment to provide state of the art facilities for Ulster players and fans at Ravenhill, has only added to the belief that great things can be achieved this season. “We plan to push our sponsorship by deploying interactive marketing
initiatives throughout the season, including flight and holiday giveaways for Ulster fans at fixtures in the RaboDirect PRO12 League season as well as the Heineken Cup campaign.”
Hat-trick of awards for City Airport
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eorge Best Belfast City Airport is celebrating after receiving three prominent awards in a matter of weeks for its hugely successful community and employee initiatives. The airport was named winner of the ‘Local Community Impact’ award at the annual Business in the Community ‘Impact Awards’, the winner of the ‘Employer of the Year’ award at the WorkForce Annual Training Awards and was Highly Commended in ‘The Right Place to Work’ at the Irish News Workplace and Employment Awards. The success comes just months after the launch of the ‘George Best Belfast City Airport High Fliers Apprenticeship Scheme’, which offers young people in the greater Belfast area the chance to gain expertise and skills in a vast range of disciplines. Michelle Hatfield, Director of HR and Corporate Responsibility at the airport, said the awards are testament to their outstanding Corporate Social Responsibility strategy. “It was an honour to be recognised by three prestigious organisations as a local business that is doing the right thing with, not only our employees, but also within the community in which we operate. “We are fully committed to supporting the local community with an emphasis on young people and schools, and have embedded corporate responsibility into mainstream business practices across the organisation. “Employees, from all levels of our business, regularly offer their time to fulfil commitments made to the community and maintain our strong relationships with local groups and schools in the area. Airport employees have invested over 2,000 salaried hours annually into community initiatives such as the Community Fund which offers community groups and projects the chance to apply for funding and has supported over 60 local initiatives since its inception in 2009. The George Best Belfast City Airport Community Fund has donated almost £100,000 to local projects and groups since it was developed in 2009.
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CLASSIFIEDS
TO PLACE A CLASSIFIED ADVERT CONTACT ULSTER BUSINESS ON 028 9078 3200
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TOTAL FLEET MANAGEMENT ANY VEHICLE, ANY MANUFACTURER
Business Diary October 2013 For more information and to book visit date event www.womeninbusinessni.com/events
venue
CONTACT
27 September 11.45 - 14.30
CBI Northern Ireland Annual Launch 2013. Organiser: CBI Northern Ireland
Titanic Belfast
For more information contact Anthea Savage on email: anthea.savage@cbi.org.uk
2 October 9.00 - 11.00
Can Public Procurement be Innovative and SME Friendly? Organiser: IoD NI
Waterfoot Hotel, Derry-Londonderry Cost: Free of charge/breakfast provided
To reserve a place email: linda.brown@iod.com with your name and company
8 October 12.00 - 14.00
Niche Networking Event Organiser: Arts & Business NI
Crescent Arts Centre, The Studio Room, 2-4 University Road, Belfast BT7 1NH
tom.bamford@artsandbusinessni.org.uk or 028 9073 5151
10 October 12.00 - 14.00
Niche Networking Event Organiser: Arts & Business NI
Millennium Forum, The Danske Bank Studio, 3 Newmarket Street, Derry-Londonderry BT48 6EB
tom.bamford@artsandbusinessni.org.uk or 028 9073 5151
15 October 09.15 - 13.45
Thrive: For everyone involved in the Creative Industries in Northern Ireland Organiser: Arts Council of NI
Lyric Theatre, Belfast
Beverly Coomber on 028 9038 5271 or email: bcoomber@artscouncil-ni.org
17 October 09.30 - 12.00
Growing your Business for Success Masterclass Organiser: Women In Business NI
Malone Lodge Hotel, Belfast Cost: FREE for Members £30 +VAT Non-Members
For more information and to book visit www.womeninbusinessni.com/events
23 October 11.30 - 14.00
Public Procurement Masterclass Organiser: Women In Business NI
25 October 12.15 - 14.30
Northern Ireland Annual Launch Organiser: IoD NI
Malone Lodge Hotel, Belfast Cost: FREE for Members £30 +VAT Non Members
Cost: Member £40.00 +VAT Cost: Non-Member £40.00 +VAT
For more information and to book visit www.womeninbusinessni.com/events
To book call 028 9068 3224 or visit www.iodni.com
If you would like to promote an event or conference please contact Stuart Hackney (stuarthackney@greerpublications.com)
People in Business Who or what has been your biggest influence or inspiration?
Joe Whelan, my first boss many years ago, was a major lasting inspiration and influence.
Do you have any “golden rules” in life or work? To try to be as truthful as possible and not be accused of misleading people.
What would you regard as a “cardinal sin” for anyone doing business with you?
People not telling you the whole truth as to why they’re selling a property or business.
What is your most hated business expression or cliché? “24/7”.
If you hadn’t been in business what would you have liked to have done? To have been a professional golfer.
How important is money to you?
It’s very important – hard to live without it.
What’s the most treasured possession in your office? Mobile phone.
What are you currently reading?
I am an avid reader of the daily papers and at weekends, The Telegraph on Saturdays and The Sunday Times.
factfile NAME & job title: John Martin, Director, Licensed Premises, Osborne King
What has been your toughest challenge?
EDUCATION: Belfast Royal Academy
Selling property in the most difficult recession that I’ve ever experienced during thirty five years of working within property consultancy.
CAREER: Chartered Surveyor and Property Consultant
What do you worry about?
BORN: Belfast
FAMILY: Wife and two grown-up children INTERESTS: Golf, rugby and socialising What was your first paying job?
My first paying job was as a trainee quantity surveyor with a local building company.
What’s the worst job you’ve ever done?
A summer job in a meat-packing factory in Hayes, Middlesex.
Are you switched on 24 hours or is there a time when you switch your phone off? I switch off after 6.00pm but am available from 7.00am and I am in the office by 7.30am each day.
Has your personal life suffered because of your career? No, it hasn’t suffered.
What do you like most and least about your current role?
Being able to give advice which people rely on for the most part; least is operating in a very difficult market with so many businesses going under.
What do you consider your best business decision or idea? Joining Osborne King eleven years ago having been a partner in another firm of agents at the time.
There’s no point in worrying – it doesn’t help.
What advice would you give to the 18-year-old you?
Never believe all that people tell you!
Which person, living or dead, would you like to have met, and why?
Warren Buffet, global business magnate and investor. I’d like to ask him what shares I should be investing in.
What do you think you’ll be doing in ten years time? Retired and travelling around Europe.
How do you want to be remembered? As someone who was honest and straightforward.