Waikato Business News Jun/Jul 2015 by Waikato Business News

Business News www.wbn.co.nz

June/July 2015 Volume 23: issue 6

Passing the baton at Stafford Engineering Waikato engineering industry stalwart Roger Evans marked a career milestone recently, passing the baton of the operations side of the business to managing director Kaleb James, sales and engineering manager Dave Stuart and workshop manager Julian Ford.

Royal reward for Margaret Page 3

Building Momentum in Waikato Page 4

Anne Aitken returns to the fold

he team (pictured from ing in our business over the last left, Roger, Dave, Julian few years. Just to clarify, I do and Kaleb) marked have a long bucket list but I this milestone with a special will be around for some time function at The Verandah in yet in a different role,” Roger Hamilton with more than 140 said. “It’s now time for Kaleb, guests from throughout the world including clients, for- Dave and Julian to stamp their mer and current staff mem- own mark on our business, bers, suppliers, colleagues, allowing me to step away from the day-to-day operation, to friends and family. Roger, a keen skier, was take up a governance role.” Roger started his career as presented with a Graham Brinsley painting of Arthur’s a plastics engineering cadet Point, near Queenstown. at Trigon Plastics, a “wonder“This is a milestone which rec- ful training programme” that ognises what has been happen- quickly led to management

INSIDE

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The Stafford team, from left, Roger Evans, Dave Stuart, Julian Ford and Kaleb James. roles. This training model led him to being closely involved in establishing Waikato Engineering Careers Association in 2002 and Smart Waikato Trust in 2009, organi-

sations helping young people to transition from education to employment. Roger together with his brother Don started Stafford Industries in 1986, specialising in engineering for the food pro-

cessing, packaging and materials handling industries. Don inspired his leap into the world of business ownership. “He came to me with the Continued on page 6

Bold Kiwi engineer turns dream into multi-million dollar reality

Elite Team now covers Auckland Page 13

New faces in business Pages 17-19

Fieldays Finale Pages 20 – 23

By Mike Blake One man and his passion for engineering, has turned a true Kiwi dream into reality, growing a fledgling ‘backyard’ business into one with a multi-million dollar portfolio. Structural engineer Blair Currie, who claims Hamilton as his home since primary school years, began solo in 2010 covering predominately commercial and industrial projects.

Rising star hosts Deloitte Fast 50 launch

With a forward-thinking philosophy and knowing the strengths within the Waikato economy, he grew BCD Group, on the tail of the Global Financial Crisis.

Pictured right are BCD Group director Jonathan Brown and founding director Blair Currie.

Page 24

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WAIKATO BUSINESS NEWS

June/July 2015

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LOCATED IN ROTOTUNA, DRS DAVE BLOM AND BASHAR HUMADI DELIVER THEIR SERVICES IN MODERN COMFORT AND STYLE. THE ENGAGING DUO RACK UP THE NUMBERS WHEN IT COMES TO DENTISTRY EXPERIENCE – WHAT THEY DON’T RACK UP IS THE BILL. Comfortable in their new surroundings Dave and Bashar excel in turning anxious patients into a smiling ones. Professional yet warm and genuine the pair spend a ½ hour in their initial exam, getting to know you, having a laugh and taking the time to listen to your needs. At the same time they take care to make sure you are empowered to be able to make informed decisions about your treatment options using simple non-technical language. Here the phrase “painless technique” is not just a catchy word thrown around the clinic, with the techniques used even allowing the dentists, to offer treatment such as some fillings without the need for injection; where it is needed, for most patients your numb before you know it! Experience with wisdom teeth removals mean that most extractions can be undertaken at the clinic and costs are kept low. Patients can also feel comforted knowing that the advanced digital diagnostic x-rays taken at the clinic reduce exposure by 80% compared to traditional x-rays. Cracked tooth or gappy smile? Crowns and bridges made with state of the art in house Cad/Cam equipment means that you can walk out of their surgery with a

new tooth coloured smile in as little as 1 and a ½ hours in the chair, now there’s no need to wait two weeks or more to get going again. Keeping it in house also means that it’s easier on the wallet too. Offering a full range of dental services from cosmetic dentistry such as whitening and gum sculpturing through to implants and orthodontics the team at Hamilton Dental Centre can assist you on your journey to a healthier happier smile. If you would like to try a dentist with a difference, give the team a call, you’ll be glad you did. Open 8-6pm Monday to Friday, if you ring in the morning the guys can usually accommodate you on

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Hamilton Dental Centre 3/111 Thomas Road, Rototuna, Hamilton 3210 Tel: 07 854 8905 • Fax: 07 854 8906 www.thehamiltondentist.co.nz

the same day so that you can get out of pain and on with life. Saturday appointments are also available as are late nights if you can’t get in during business hours. Easy parking in the rear of the building means no panicking trying to find a park if you’re coming from across town and running to a tight schedule. Mention the Waikato Business News when you call and recieve a handy travel oral care pack at your first appointment.

WAIKATO BUSINESS NEWS

Expansion will inject $38.5m into economy Economic Development Minister Steven Joyce recently opened the $5m expansion of Waikato Innovation Park’s FoodWaikato plant.

he expansion is expected to inject an extra $38.5m per year in export revenue back into the New Zealand economy from the sale of new, value-added consumer products directly produced there. The first stage of the plant, a spray dryer facility, was opened in May 2012 and was funded by Innovation Waikato Ltd. and a Government grant of $3.95m and cost $12.8m to complete. The second stage was largely funded by a $3m equity injection from Callaghan Innovation and allows specialty ingredients such as vitamins, minerals and oils to be wet blended with milk or fruit juice before being spray dried in the facility. “The functional and regulatory constraint of the plant as it was, meant we were limited to processing liquids in the form they arrived in at the site, which created significant challenges for many of the target firms FoodWaikato was created to assist,” said Waikato Innovation Park chief executive Stuart Gordon. “Higher value products like infant formula and aged care formula tend to involve mix-

tures of ingredients, but mixing offsite and transporting to FoodWaikato created regulatory, product integrity and processing challenges. “So we have added ‘wetside’ processing capability that now allows the mixing process to be done onsite, meaning FoodWaikato can now provide a greater level of development and innovation capability to dairy companies – cow, goat and sheep – as well as fruit and vegetable producers. “We’re moving from helping our customers manufacture ingredients that sell for around $US4700 per tonne to $US25,000 per tonne. At full capacity, we will produce around 2500 tonnes of new, value-added products each year” And demand will very quickly see us operating at 85 per cent capacity with new customers including goat milk suppliers Fresco Nutrition, sheep milk suppliers Spring Dairy and Maui Milk, and Australian micro-encapsulated Omega 6 powders producer Nu Mega. Stuart said expanding the facility is all about helping more companies take their innovations to new export markets by offering the open

FoodWaikato plant manager Dave Shute gives Economic Development Minister Steven Joyce a tour through the plant. access facilities. It will also see employment numbers grow from eight staff to 20. “There’s no other open access facility of its kind in Australasia where companies can manufacture smaller runs of their first commercial batch of a new product,” said Stuart. “The only option for them is to build their own plant, which is cost-prohibitive for most companies – especially new market entrants. FoodWaikato offers a unique solution to eliminate this major innovation barrier.” The expansion involved installing wet blending, separation and injection equipment within the footprint of

the existing plant. Construction started in September 2014 and was completed last month. At the opening attendees were invited to tour the new ‘wetside’ of the plant, as well as a tour of the original spray drying facilities. Future plans for plant management include investigation into additional processing solutions for vegetable and fruit high value markets. FoodWaikato is a subsidiary of Hamilton City Councilowned Waikato Innovation Park subsidiary and is the Waikato component of the Government-sponsored New Zealand Food Innovation Network.

June/July 2015

Royal reward recognises Margaret’s philanthropy Much justified reward has arrived for Gallagher Group corporate services executive, Margaret Comer in the latest Queen’s Birthday honours. Having been involved in philanthropic projects for more than 25 years through her work managing Gallagher’s sponsorship initiatives, receiving a New Zealand Order of Merit for services to philanthropy is great recognition of Margaret’s work building enduring partnerships with the global communities in which we work and play. Gallagher has become a name synonymous with community projects around the world, and it is a brand with which Margaret is proud to be associated. Most recently Margaret lit up students’ lives of all ages by giving away 500 tickets to the Fifa U-20 World Cup in New Zealand. “One of the best pleasures I get is knowing the Gallagher family and staff are pleased with the work we do in the community,” she said. “I think very carefully about where we put our money to get the best results for the company, the people

Margaret Comer that work here, and the people to whom we provide funding.” Sir William Gallagher, chairman and chief executive officer commented: “This honour is a wonderful and much deserved recognition of Margaret’s work through which she very capably handles the philanthropic side of our contribution to society.” Gallagher Group has celebrated more than 75 years of providing innovative solutions to agricultural, security and fuel partners around the world. The group has more than 1000 people employed worldwide, and partnerships with customers in more than 100 countries.

Introducing your local ANZ Deal Team Dave Barnett Trade Specialist david.barnett@anz.com T. 07 837 8767 M. 021 310 481

Kylie Jury Agri Specialist kylie.jury@anz.com T. 07 837 8567 M. 027 224 6709

Scott Neeley Senior Agri Specialist scott.neeley@anz.com T. 07 837 8635 M. 027 475 4684

Guy McLean Senior Commercial Specialist guy.mclean@anz.com T. 07 837 8790 M. 027 451 2916

Chelsey Hawthorn Commercial Specialist chelsey.hawthorn@anz.com T. 07 837 8288 M. 021 838 414

Karen Kiernan Transaction Banking Specialist karen.kiernan@anz.com T. 07 837 8638 M. 027 274 9445

Roger Middleton Property Specialist roger.middleton@anz.com T. 07 837 8052 M. 021 344 691

You may know ANZ is the market leader for access to specialist expertise, but did you know those specialists are located right here in the Waikato? Our commitment to giving you more means we have local specialists, on the ground, ready to share our knowledge, insights and connections to help your business grow. So when you’re planning your next business deal, be sure to give us a call.

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WAIKATO BUSINESS NEWS

June/July 2015

Building Momentum for Waikato More than 100 years ago, the respected US banker, attorney and philanthropist, Frederick Goff, had a brilliant idea to pool a number of charitable gifts held in separate trust funds into a single, permanent trust to be administered forever for the benefit of his local community.

he Cleveland Foundation was born, and it now holds in trust a pooled endowment of more than $US2billion. Frederick Goff’s excellent idea spread and it has turned into a major global movement, with community foundations now numbering almost 1700 around the world. Community foundations are simple vehicles for effective charitable giving. They are grantmaking public charities dedicated to improving the quality of life in the local areas they serve. Community foundations work with individuals, families, trusts and businesses to design tailor-made grantmaking solutions for their donors that target particular issues. As a trusted independent community voice, they also convene and connect the people and resources needed to make a profound difference in local communities, and work with donors who want to establish their own permanent named charitable fund designed to meet the challenges of changing times. In 2013, with the gift of a $10million loan that will be repaid in 60 years, WEL Energy Trust provided the vision and impetus for establishing Momentum Waikato Community Foundation, knowing that our region would benefit from having an enduring, independent grantmaking foundation with the ability to support major transformational projects across all sectors for the benefit of current and future generations. Momentum Waikato is now one of the newest and largest of 14 community foundations that have been established throughout New Zealand in recent years. Cheryl Reynolds sits at the helm of Momentum Waikato as its first employee, and has worked hard over the past year with the foundation’s high calibre board of trustees to set in place solid foundations and the long-term strategic direction of this charitable institution.

No stranger to successfully leading start-up organisations, Cheryl has big dreams for Waikato. She speaks passionately about this new anchor institution being part of a transformational giving movement in the region. “Momentum Waikato is able to provide our donors and our community with the research and tools to actively find solutions to changing local problems. “We are Waikato’s centre for smart strategic giving, ensuring our donors’ generosity will have the greatest impact because of the way we can collectively pool and grow funds to target the greatest needs. This enables donors to become high-impact grant-makers in perpetuity,” Cheryl explains. What are the goals of this community foundation? As an independent, permanent vehicle for high impact philanthropic giving within the Waikato region, Momentum’s role is to link generous donors to strategic charitable investment opportunities, building on existing resources and creating transformational change for the benefit of generations to come. Momentum Waikato is introducing a globally recognised community research tool, Vital Signs, in partnership with other major philanthropic funders and regional institutions. Waikato Vital Signs will identify the region’s greatest needs and aspirations across 12 sectors. This research report is a regular “community health checkup” that will provide critical information to help set priorities and identify opportunities for action. The foundation will then offer funding opportunities for charities to solve some of the most pressing community issues, awarding grants to undertake new projects that will lead to transformational change; sometimes working alongside projects to ensure success together. The impact and outcomes of each project will be evaluated

Cheryl Reynolds over time and reported back to donors, creating a seamless system of grantmaking never before attempted in this way for Waikato. Who is behind Momentum? The foundation is governed by an independent Board of Trustees that are, in turn, appointed by an independent appointments panel. The Trustees provide their valuable expertise and time on a completely voluntary basis. It is also important to note that Momentum Waikato is entirely apolitical, and is not in any way hampered by agendas of those in elected office. The Board of Trustees includes Ken Williamson (Chair), Annabel Cotton, Leonard Gardner, Neil Richardson and Jon Tanner. Momentum Waikato has the added complement of independent investment fund portfolio managers Craigs Investment Partners and Forsyth Barr, providing strategic investment fund management to ensure solid growth returns for future distribution throughout the community. An Investment Committee oversees the recommendations of its professional fund portfolio managers. The Fundraising Cabinet, made up of Waikato leaders, is tasked with driving donor engagement. The distribution committees, made up of independent experts from the community, will assess project proposals, undertake due dilligence, and make recommendations to the board of

Chairman Ken Williamson

cation and foundation management has given Peter absolute certainty about the makeup of We can make our a successful community foundation, and he confirmed that patch, the place “Momentum Waikato is a fine we call home, new community foundation.” In his view, the key role even better for of Momentum Waikato is in convening people and organiour children, their sations to instigate change. children, and the This enables the foundation to bring together those with generations to the resources, energy and commitment to initiate problemfollow solving within the region on a trustees on funding high-impact transformative scale. community projects targetted Momentum Waikato proat significantly improving and vides a catalyst for change, enhancing our community, now encouraging a giving commuand forever. nity. Chairman Ken Williamson Cheryl says: “Momentum says: “These elements all con- Waikato connects people who tribute to a robust, efficient care with others who care to governing process, ensuring projects that matter. Momentum Waikato maintains “The foundation is workbalance in its leadership and ing hard to develop a strong continues its strategic direction sense of trust with donors, and unimpeded.” will provide them with solid What Silicon Valley’s Peter research as a neutral independHero said about Momentum ent third party that can help Waikato inform their giving choices for Speaking to a Waikato audi- a better Waikato.” ence at the Novotel Tainui in While in Hamilton, Peter Hamilton in April, internation- also enjoyed dinner with a al philanthropic expert, Peter select group of Waikato philanHero, identified three goals thropists before his breakfast for high-impact community session with a wide range of foundations like Momentum community leaders. Waikato: to convene, connect Chairman Ken Williamson and endow. spoke briefly at both functions, Peter has been credited by explaining to guests his beliefs Fortune Magazine as being ‘The about Momentum’s important man who taught Silicon Valley community role. how to give.’ “Through the work of our More than 30 years of expe- donors, trustees and staff, in rience in non-profit, higher edu- collaboration with other com-

munity charities and groups, businesses and our councils, we can create a powerful force for change,” he said. “We can make our patch, the place we call home, even better for our children, their children, and the generations to follow.” Want to learn more? For donors, Momentum Waikato provides an efficient and effective tool for generous giving that can bring about major change that results in powerful impact in the local community. The foundation offers strategic philanthropic advice along with a range of charitable giving options that provide tax benefits. Donors have the flexibility to exercise full control over their giving choices, enjoying regular reports on fund performance and impact from their grantmaking to vital community projects. Cheryl says: “We cater to the needs and aspirations of all our donors who want to affect the future of Waikato, giving them impartial professional advice to make informed decisions about their giving choices.” Choosing to direct philanthropic giving through Momentum Waikato enables donors to become champions of strategic local giving, transforming Waikato into a better place for everyone, forever. Cheryl Reynolds can be contacted on 07 834 0404 or cheryl@momentumwaikato.nz

Waikato Branch – Upcoming events/courses The Institute of Directors in New Zealand (IoD) promotes excellence in corporate governance, represents directors’ interests and facilitates their professional development through education and training.

9 July

Workshop: "Kiwi Businesses tackling bribery and corruption exposure" 4.00 - 6.00pm, Radio Sport Lounge, Waikato Stadium CPD: 2 points

23 July

Breakfast Function with guest speaker Sir Henry van der Heyden

Topic: "Managing the dreaded crisis" 7.00 - 9.00am, Radio Sport Lounge, Waikato Stadium CPD: 2 points Waikato branch is kindly sponsored by:

To register, please contact: Megan Beveridge, Branch Manager Waikato.branch@iod.org.nz, 021 358772 or www.iod.org.nz

WAIKATO BUSINESS NEWS

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June/July 2015

WAIKATO BUSINESS NEWS June/July 2015

Roger passes the baton at Stafford engineering From page 1 idea and opportunity to establish a business together. “Being self-employed wasn’t even on my radar but once he painted the picture I was committed,” said Don. “His experience at managing a business was invaluable and later his entrepreneurial

flair provided opportunity for building scale. “I willingly admit that my biggest business regret is we didn’t stay together,” he said. “The 1987 share market crash was a challenging time for business, though we hardly noticed and it brought the opportunity to purchase good used equipment and employ

a couple of skilled tradesman that became the core of our team”. Many others contributed to Stafford’s success and Roger thanked them all for their skill, innovation, commitment and hard work. “Looking back over nearly three decades, there were a few clients critical to our suc-

From left, David Hood, education consultant; Lindsay Cumberpatch, DV Bryant Trust; Mary Jensen, Smart Waikato Trust; Roger Evans, Stafford Engineering.

cess. “It started with Trigon, now Sealed Air, and later Colby Powder Systems out of Sydney. “Some of our systems and processes were developed specifically to manage their work. “In 1999 we helped Tip Top develop a world first ice cream processing technology. “From there we were introduced to WCB, a global equipment supplier to the ice cream industry, based in New Jersey.” With the early establishment of a model for succession from within, Roger’s focus was to drive future prosperity and longevity for the business. In 2006 he started selling shares to Kaleb, later Dave and, more recently, Julian. “I am very fortunate that they are willing and motivated to take on this challenge and responsibility and I’m

pleased to pass the baton on to them,” Roger said. “My greatest hope is that when it’s their time to move

on they have in place a succession plan that ensures Stafford Engineering continues to prosper.”

Former Stafford employee Tony Jelaca and Roger Evans.

Paula and Dave Stuart, Stafford Engineering.

Excellence means access to the latest technology

In Association with the Waikato branch of the

2015 Official Launch

To be inspired by excellent business and to witness the Waikato region’s best, the WWBEA Launch is where you need to be.

Wednesday 24 June Claudelands 5.30pm (6pm start)

The WWBEA identifies and celebrates excellent local businesses who have the qualities to make a major impact on the national and global business scale. The launch will include 2015 categories, entry and nomination processes, and the benefits to being an entrant. Register to attend or to find out more email events@waikatochamber.co.nz Please RSVP by Thursday 18 June

It’s reassuring to know that because Braemar is owned by a charitable trust, we reinvest any surplus to stay at the forefront of surgical innovation. This means that when you choose Braemar, you are choosing state-of-the-art digital operating theatres, innovative procedures, and in some cases drugs that may not be available at public hospitals. Talk to us about how you can receive the very best care.

www.beawards.co.nz www.braemarhospital.co.nz 24 Ohaupo Road, Hamilton Phone 07 843 1899 All health insurers accepted.

Excellence means Braemar

WAIKATO BUSINESS NEWS

June/July 2015

Quality dentistry to suit busy business diaries Old Villa Dental is now open

7am-8pm

Monday to Friday (24/7 emergency phone available) A demand from busy business and corporate patients has prompted Old Villa Dental to extend its hours to make their quality dentistry available on a same day basis outside normal business hours. “There has been an ever-growing demand from clients asking for early and late appointments that do not interfere with their busy work schedules,” said practice manager Annette Eksteen. “Old Villa Dental respects the pressure on time and has increased its staff and hours to meet the demand for early and late appointments that do not interfere with people’s busy work schedules. “We’re now open from 7am to 8pm Mon to Fri with 24/7 emergency phone available. “Since increasing our hours in early May, many of our patients, who simply cannot afford the time away during normal business hours, love the fact that they can come in before or after their busy day starts. “Old Villa’s handy location has plenty of parking available in Grey Street close to busy Cobham Drive and allows for patients, often stuck in traffic, to pop in to see us,” said Annette. “Old Villa Dental offers same day dentistry so you don’t have to wait for days to

come in and see us.

“We can schedule your appointment on the same day if you phone us in the morning,” she said. Old Villa Dental has increased its staff by adding a new dentist and hygienist to be available 24/7 for dental emergencies. “We have staff available on call around the clock to ensure our clients don’t end up suffering any pain,” said a sympathetic Annette. “Simply call our EMERGENCY phone at 021-771-827 and we’ll be there for you with our quality, affordable dentistry and payment options and plans.” Our latest technology that has made this possible includes: • The latest 3D crown milling technology on site (CEREC CAD/CAM), which saves patients having to wait for long periods for their crowns and bridges. • WaterLase assisted treatment.

$60

Exam, X-rays and Polish This includes free low radiation digital x-rays (valued at $42) and polish. Present this voucher to take advantage of the offer. EXPirEs July 31, 2015

• Low radiation digital x-ray equipment.

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www.oldvilladental.co.nz 24 Grey st • Hamilton • facebook.com/oldvilladental 0800 399 096 • www.oldvilladental.co.nz

WAIKATO BUSINESS NEWS June/July 2015

Bill English drops in for lunch with improving news from Wellington A

large crowd of interested business people filled one of the conference rooms at Hamilton’s Tainui Novotel Hotel when Deputy Prime Minister Bill English dropped in to address a luncheon hosted by the Waikato Chamber of Commerce and local branch of the Institute of Directors. Naturally Bill’s message from Wellington was full of positives, most of which found favour with those attending the lunch. The weakening dollar had the many exporters smiling and hoping for more.

1. Tania van Loon and Sir Patrick Hogan 2. Alister Jones, Neil Quigley and Mayor Julie Hardaker 3. Waikato Institute of Directors - branch chair, Margaret Devlin, Deputy Prime Minister Bill English, Brent Goldsack,PwC and Chamber CEO William Durning

4. Les Roa and Kaleb James 5. Paula Southgate and Allan Sanson 6. John Proudfoot, Jon Tanner and Steve Atkinson

7. Jo Goodwin, Louise Upston, Connie Short and Angela Davidson

Waikato businesses welcome visiting diplomats

any Waikato businesses engaged with the recent visiting Diplomatic Corp, under the umbrella of the Chamber of Commerce. “The purpose of the Chamber cocktail function evening was for businesses to mix and mingle and to discuss with these visiting diplomats just why our region is at the heart of New Zealand Inc. in terms of commerce and industry,” said Chamber CEO

William Durning. “They are all aware of our proud history in protein, that is a major factor in our region’s contribution to the nation’s success,” said William. “And it was to impart this dynamic story with other exciting themes; research, logistics, education, tourism, manufacturing, health, infrastructure, to name but a few, that the Chamber brought them all together. “My hope was that by tell-

ing our guests of the amazing businesses that they have or work for, will inspire them to not only come back to discover more about what we do, but more importantly, get their business communities realising that omitting our region from their New Zealand plans is a major mistake. “We want them to think of us first and foremost when planning for success in New Zealand,” said William.

USA Ambassador, Mark David Gilbert with Hamilton City Mayor, Julie Hardaker and Waikato Chamber CEO, William Durning

Representing Laos, Khanhxay Pholsena and Ambassador Phomma Khammanichanh with Waikato Chamber Life Member, John Gallagher

NZTA Paul Vaughan; immediate past president to the NZ National Fieldays Society, Lloyd Downing and chairman elect, Rml Engineering, Ross Townshend

The Duke of Edinburgh’s Hillary Award appoints new trustees The Duke of Edinburgh’s Hillary Award recently announced the appointment of two new trustees to its board...Vicki Lee Wihongi of Hamilton and Mike Chunn CNZM of Auckland. Vicki is very engaged in education and has recently completed her Master’s in Education with 1st Class

Honours and is currently working toward her PhD at the University of Waikato. Vicki has been a past director of Habitat for Humanity and is a regular contributor to the bi-monthly Mana Magazine. She has a modelling background and has represented New Zealand with distinction at international fashion

events. Mike created the ‘Play it Strange Trust’ in 2003 which encourages young New Zealanders to develop interests and skills in song writing and musical performance. He has also published several books, including the Split Enz story ‘Stranger than Fiction’ and is a well-known

New Zealand musician. Chris Luoni, chairman of The Duke of Edinburgh’s Hillary Award states that “both Vicki and Mike are very involved with young people and they will bring a quality and committed perspective to the existing board.” The Duke of Edinburgh’s Hillary Award is regarded as

New Zealand’s non-formal education youth achievement award for young people. It brings together practical experience and life skills which ensures the development of well-rounded citizens. Each year more than 8500 young New Zealanders register at the Bronze, Silver and

Gold levels of the Award and commit to learning new skills, from contributing to their community through voluntary service, to being involved in physical recreation and being trained in a range of practical outdoor skills and plan and prepare for adventurous journeys in the New Zealand outdoors environment.

WAIKATO BUSINESS NEWS

June/July 2015

To put it simply – safe and hygienic with Viking Conveyor It is vital that food manufacturers take all necessary precautions to avoid contamination, from the preparatory stage of raw food through to the production process and packing. As conveyor belts come into direct contact with food as part of the processing operation, their safety and hygiene are essential in ensuring food safety. So would you like to like to talk to a local conveyor belt expert? Dave Lazarus from Viking Conveyor is your man. Waikato born and bred, Dave has a broad depth of knowledge, understanding and experience in the region’s food processing industry. Having spent 23 years in the manufacturing industry, Dave has had a big interface with a number of industries and has seen numerous technological advancements in the processing industry over the last 25 years. “Food processing is a big growth industry in the Waikato region, and hygiene requirements for this industry are only going to get higher” said Dave, “With Viking Conveyor’s extensive range of belts and experience, we are confident in our ability to match customers’ requirements and expectations with our solutions and expertise” “We provide customers with a range of solutions and

Dave Lazarus Regional sales manager Email: dave.lazarus@ vikingconveyor.co.nz Mobile: 027 836 5081 options that are tailored to meet exact needs. Because of this, we often provide the customer with two solutions - the ultimate solution that will solve their problem for the longer-term, or a back-stop that will solve their problem for the shorter-term. “Regardless of which option they choose, we provide customers with a solution that moves them forward in terms of their processing requirements.” So what sort of service can you expect from Dave? “If a processor has a problem with their conveyor belt, they will give me a call and I will visit the facility to inspect and assess the situation. From

here on I provide a consultative process, where I work with the key stakeholders in the decision process in order to provide the best solution possible. These stakeholders include operations/manufacturing representatives from the area undertaking the changes, as well as engineers and the finance department . “I establish what is going on and figure out the best course of action for their operation. For example, I recently visited a plant where there were cleaning issues in a critical hygiene area. “The product being processed, in conjunction with the conveyor belt being used, meant that in order to achieve a satisfactory clean of the belt, the chemicals and cleaning frequency that were being used at that time were too harsh for the belt. These factors led to the belt failing.” “Upon hearing these issues, I was able to match them to a Viking Conveyor solution that would require less-harsh chemicals to be used. In this case, as I usually do, I provided the plant owners with two options; the lower-cost, short-term solution, or the higher-cost, longterm solution (which would eventually be lower-cost over the life of the belt). “As part of this process, I outlined the various product features and benefits to ensure the customer knew exactly

what to expect from the different belting solutions. “I also discuss any possible changes that may come-about in the processing system as a result of the adoption of a specific belting solution” “In this instance, the plant owners chose the long-term solution, and with this came the installation of a Volta DualDrive (SP) belt, which will solve their hygiene and cleaning issues over the long term.” The DualDrive Small Pulley (DDSP) positive drive belt offers easy installation on site, easy to sanitise, reduced costs

Superior Food Safety from one end to the other In today’s world high standards of food hygiene are vital, so it’s worth taking a very close look at your conveyor belting. That’s because even with careful cleaning, harmful bacteria can be trapped in minute crevices. Volta Belting is very smooth, with no crevices, specifically designed to repel bacteria and free from fraying threads or fragments that can cause food contamination – and major nightmares. To avoid any nightmares call us today to chat about an end to end Volta belting solution for your plant.

0800 845 464 vikingconveyor.co.nz

of ownership and a cost-effective alternative. It often saves water and chemical consumption, reduces downtime to a minimum, lowers bacteria counts and improves conveyor belt hygiene and shelf life. Material features • Smooth, homogenous belt surfaces and textures • No fraying edges or delamination, compared with coated plied belts • No fragmenting or chipping, compared with modular belts • No crevices or links to harbour bacteria

• Easily, effectively cleaned Mechanical benefits

Volta DualDrive (SP) is designed for conveying applications that demand product transfer using a small pulley diameter. The belting has teeth with a pitch of 20mm/0.8" extruded across the entire width. • For small pulleys: 50mm/2" (8 teeth) and 62mm/2.44" (10 teeth) • Lighter conveyor construction • Tight transfer of products between conveyors • Minimal product loss and lower conveying costs

WAIKATO BUSINESS NEWS June/July 2015

What is a suspension and when can an employee be Employment Law Focus suspended? There are two types of suspensions most often used by an employer.

he most common of these is a requirement that the employee does not attend work for a specified period of time. Another is a requirement that an employee perform parts of their role only. When can an employee be suspended? There is no general right to suspend an employee from work. The right to suspend must be stated in the employee’s employment agreement. If you are considering suspending an employee the first step is to check that the employee’s employment agreement gives you that right. If there is no suspension clause in the employment agreement, it is unlikely that you can consider a suspension but not impossible and legal advice should be sought. Suspension in itself is not a disciplinary action, however it can have a detrimental effect on the employee and create a potential personal grievance for disadvantage if it is not implemented properly. These steps must be followed: Justification: The employer must have a valid reason for wanting the employee to remain away from work. A suspension is most common during the course of a disciplinary investigation, when the employer is concerned that

by gillian spry

Partner, leads the Employment and Litigation Team at Norris Ward McKinnon. Email: gillian.spry@nwm.co.nz | www.nwm.co.nz

having the employee remain at work will be detrimental to a proper investigation of the allegation(s) against the employee. Just because an allegation of a serious nature has been made is not enough to justify suspension. You must have a valid operational reason why it is not appropriate for the employee to be at work while you investigate. Fair process: We refer to a suspension as initially being “proposed”. This is because you have a duty to consult with the employee about the suspension before you make a decision whether suspension is suitable and justifiable. An employer cannot make a predetermined decision to suspend, and must go through a good faith consultation process before a decision is made. Legal advice should be sought about this as it is difficult to get right. What is the impact on the employee? Suspensions are usually on pay, and circumstances in which an employer could justify suspension without pay are infrequent. A suspension without pay will create a clear disadvantage to the employee for which they may raise a personal grievance. Even a suspension on pay can cause disadvantage the loss of the right to work. Some employees may claim

St Peter’s

reputational damage, stress and humiliation as the result of a suspension, as a suspension can send the message to other staff that the employee is “guilty” of something. It is important that you are mindful of the employee’s right to privacy, and to a fair hearing. It is because of the risk of disadvantage that it is so important that the employer has a clear right to suspend, a valid

reason for the suspension, and has followed a fair and reasonable process in making the decision to suspend. Examples where suspension may be appropriate A valid decision to suspend is very fact specific and it is difficult to create hard and fast rules about when it will be justified. For our clients, we recom-

District Health Board chief executive Dr Nigel Murray has acknowledged eight years’ commitment to health provided by communications director Mary Anne Gill who has resigned. “When Mary Anne arrived in health in early 2007, she had no knowledge of the sector. She will leave us having built up a remarkable amount of knowledge and been an inspiration and support to hundreds of people during that time. “I know that whatever she does now, she will do it with the same passion and loyalty as she did here.” Under an executive restructure announced last month, Dr Murray recommended the creation of a new role, that of executive direc-

tor of public and organisational affairs. The role would build on what Mary Anne did as director of communications. “I had the opportunity to apply for the position but at this stage in my life I was looking for other challenges,” she said. “I do support the role – Waikato DHB is the region’s biggest employer and largest business. ‘On any one day thousands of people access our services and receive the very best care from a variety of people – from doctors and nurses, to physios and technicians, attendants, administrators, managers and of course communications people. “I’ve enjoyed my time at the DHB and it’s because of

Cambridge

10.15am

Wednesday, 12 August l

Examples of possible situations include: • An employee with unfettered access to stock who has been accused of theft; • An employee who has had an allegation of sexual harassment made against him/her; • Any situation where there is a genuine risk to the company, other employees or the public.

Mary Anne bids farewell to DHB

OPEN DAY Years 7 – 13

mend considering suspension particularly when there are allegations of dishonesty or where there is a risk to the safety of property or another person. The test of justification is whether the employer’s actions, and how the employer acted, were what a fair and reasonable employer could have done in all the circumstances at the time of the suspension.

Boys & Girls

Day & Boarding

www.stpeters.school.nz 1716 SH1, Cambridge

those people who every day make a difference in other people’s lives. It has been a privilege to work alongside them.” Kathryn Jenkin, currently

programme manager communications, will fill in as communications director reporting to the chief executive until a new appointment has been made.

IT business solutions = smarter business

WAIKATO BUSINESS NEWS

June/July 2015

Tech Talk

Grow revenue, attract new customers, and reduce long-term it cost with “the Cloud” by kristy darbyshire CodeBlue Business Analyst Phone: 021 810 949 Email: Kristy.Darbyshire@codeblue.co.nz Cloud computing sat at the bottom of Gartner’s Hype Cycle Maturity curve in 2014, labelled in the “trough of disillusionment” predicted to take 2-5 years to move up the maturity cycle into the “plateau of productivity.” it is important to note that the hype cycle does not reflect the transformative power of a technology, but rather how the industry views that technology. Cloud computing may be in the trough when it comes to the Gartner Hype Cycle, but Gartner pointed out in another report that by 2016, 60 percent of businesses will not consider the cloud as a significant factor when investing because they will consider it the expected norm. For midsize businesses — many of which have leveraged the cloud to close the information gap between themselves and enterprises — the importance of the hype cycle comes in the form of managing expectations. the trough that the cloud is going through comes from a combination of

overinflated expectations from early evangelists and marketing strategies.

expectations

small to medium enterprise should be looking at how cloud can fit into their business. Cloud solutions are tailor-made to help midsize businesses compete with the budgets of larger businesses and the agility of smaller ones. Cloud in 2015 for sMe’s is reaching the “Plateau of Productivity”. Cloud models are delivering on the promise to help businesses work smarter by providing flexible, costeffective access to technology and information. the cloud is helping small business compete by enabling the quick provision and deployment of it services when entering new markets, acquiring new business lines or new companies. increasing agility helps with rapid time to market and as a result attracts new customers in a timely fashion reducing competitors becoming stronger and enhancing the sMe’s strength. Being nimble with the illusion of unlimited capacity, shifting Capex to opex, not investing in it assets anymore but instead renting them from the cloud provider and being able to turn off and on services when needed giving you instant scalability.

tiMe Technology trigger

Peak of inflated expectations

Trough of disillusionment

Cloud also offers the advantage of mobility by having access to information from anywhere via the internet. CodeBlue are helping our clients uncover what a cloud strategy looks like for them. Microsoft office 356 is transforming the

First we understand your business... We have spent more than 10 years getting to the top of our business. Now let us help you get to the top of yours. Jason trower Codeblue Managing director

13148

CodeBlue Hamilton 07 838 9390 | 848 Victoria Street | www.codeblue.co.nz

Slope of enlightenment

Plateau of productivity

way our clients operate by enabling collaboration, mobility and anywhere access to business information. 365 is a good start to the cloud journey for sMe’s. Let us show you the advantage of cloud for your business by contacting us today.

IT business solutions = smarter business

WAIKATO BUSINESS NEWS June/July 2015

Engaging learning and training solutions that grow outstanding people LearningWorks provides a range of services to businesses and organisations focused on the development and delivery of learning and training solutions.

The Learning Works team – from left to right)- Sandra Hutton, Matt Smith, Geoff Day, Donna Cunniffe and Peter Shergold

s a subsidiary of the Waikato Institute of Technology (Wintec), the LearningWorks team use technology, business awareness, sound educational principles and modern design to plan, implement and evaluate a solution that works for learners and organisations. Whether it is upskilling customers through flexible accredited qualification-based courses, creating educational

Simplifying IT is the business at Computer Aid Technology support for small and medium Waikato businesses just got easier to manage thanks to Computer Aid. The Te Awamutu-based business offers a streamlined service to commercial and residential clients with data, infrastructure and IT needs rolled into one package within a manageable budget. Directors Rob Stewart and Wes Meyer recently partnered with My Republic so customers can enjoy ultrafast fibre broadband and all IT and technology support from one easyto-manage account. Computer Aid is also a Microsoft certified cloud services provider, offering increasingly popular Office 365 services alongside com-

plete technology support from voice over IP sales and support, computer service and sales and repair, onsite setup, data transfer and recovery. “We have excellent relationships with businesses in the commercial rural sector and have clients with farms throughout New Zealand. We work hard to take the hassle out of IT for all business and residential clients,” Rob says. Computer Aid provides all levels of support, advising and implementing the most suitable infrastructure for individual business needs. Technology support is provided by a combination of onsite visits, secure remote access and via the telephone.

“All these types of support can be bundled together into a tailored managed service, where the monthly fee is determined by the size and complexity of the site and the level of support the client requires.” Computer Aid Managed Service is a priority business service giving clients through central Waikato and beyond peace of mind while keeping costs within a manageable budget. From a purpose-built workshop in Te Awamutu, the business offers repairs and advice including software and hardware upgrades, virus checks and removal, rebuilds, email configuration and set-up, cloud services setup, printer connection

setup, computer refurbishment and almost any other technology challenge. As well as a full range of branded computers, Computer Aid builds its own brand of desktop PC, custom built to client specifications, competitively priced and with full two-year return to base warranty for parts and labour. The Computer Aid brand has been in Te Awamutu since 1992, now based at 407 Sloane Street, Te Awamutu. Growth has mainly been from repeat and referral business which reflects the high level of customer service that has been provided over the years. For more information www. computeraid.co.nz

resources for businesses, or providing eLearning platforms that drive success within organisations, our experienced team ensures our clients are part of the journey from first inception to the end result. Our Training Team provides flexible training programmes that work for the employer and learners. As a Category One Private Training Establishment (PTE), we provide qualification and non-qualification specific training including Business Management, Adult Education and Project Management. Our training programmes meet the needs of learners by tailoring content and assessment options that best suit employer and learner requirements and align with our client’s organisational strategy. We also provide Continuous Professional Development (CPD) and support the delivery of Wintec Short Courses across a range of industries such as hospitality, electrical, design and midwifery. Our Online team is dedicated to finding the best online solution that transforms the user experience to learning. We give learning platforms through Learning Management Systems (LMS), applications (Apps), web development, and

hosting and support. Our Learning and Design Team, consisting of instructional and graphic designers, creates engaging learnerfocused resources by collaborating with employers and organisations. We create workbooks, blended learning and eLearning solutions that deliver results. Receptive to the needs of our clients, we strive to provide innovative learning solutions in a competitive marketplace. We work closely and collaboratively with our clients to ensure their learning outcomes are met. The expertise of our team transforms the needs of our clients into a solution that adds value to their business. We align with industry to ensure we continue to nurture business awareness within our communities. We continue to foster partnerships with businesses that make a difference in supporting economic growth nationally and internationally. A hub of innovative thinkers, our experienced team is dedicated to exploring new ideas, pushing boundaries and improving the way our clients learn. Contact us for more information on how we can assist your business to create the right learning outcome for you. Peter Shergold Sales & Marketing Manager 021 372 343 Peter.Shergold@learningworks.co.nz

Computer Aid is proud to provide IT service and support to local businesses The wide range of technology support and solutions we offer include: – – – – –

Service Consultation Solutions Support Networks

– – – – –

Infrastructure Cloud Services Data Recovery Hardware Software Deployment

– – – –

Office 365 Repairs Upgrades Sales

Come in and see us at 407 Sloane St, Te Awamutu, 3800

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Or phone 07 871 3837 to speak with one of our friendly team www.computeraid.co.nz | sales@computeraid.co.nz LearningWorks_200x128_WBN_17.04 paths.indd 1

16/04/15 1:10 PM

IT business solutions = smarter business

WAIKATO BUSINESS NEWS

June/July 2015

Elite team of experts now cover Waikato, Tauranga and Auckland This month Elite is very happy to celebrate 28 years of being in business servicing firstly Waikato, then expanding to Tauranga and now making the move to the Auckland market.

As technology has developed and progressed over the last 28 years so too have the needs of each of our customers.” either a branch or their head office in Auckland this transition has enabled us to service them seamlessly. Our new team members have added extra specialist dimensions to Elite’s business,

received an award recognising Elite’s performance during the last financial year. The conference, as always, was a very worthwhile event and in addition to hearing about innovations being released in the coming months by Toshiba, it was also a great time to compare notes with dealers from all around Australasia about the ways to use the Toshiba machines in more inventive ways. The ‘smarts’ that are available with the Toshiba MFDs are amazing and have the ability to streamline the paper trail in

Internet and phones: YOU are paying TOO much!

vice (event tickets, receipts, inspection labels/tags etc). These little machines have superior performance and yet are very affordable. As technology has developed and progressed over the last 28 years so too have the needs of each of our customers. Businesses rely almost totally on technology and it is crucial to perform at an optimum level and to keep pace with innovation to enable strategy and agility to work together and enhance each business that we work alongside

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internet connection prices are roughly the same price as what you would currently be paying for your older, slower internet service. Don’t get stuck in the mentality of, “If it’s not broken, don’t fix it.” Sometimes things don’t necessarily need to be broken in order for you to take a step back and assess what your business is doing. Is your business operating as efficiently as possible? Are you making the correct choices for your business and is your business armed with all the best tools available? Hopefully we will see you at our next informational evening and you will leave feeling empowered that you now are aware of all the options, tools, pros and cons, that are at your disposal. Register your interest to join us for our next free informational evening

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Doug Beall

doug@b2bsolutions.co.nz 07 958 4422

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tions companies were holding us ransom over. It was definitely cheaper, but we weren’t quite ready for it. New Zealand internet connections were nowhere near up to the task of transferring the amount of data required but now that has all completely changed. Thankfully with Dial Up and ADSL now a thing of the past for most businesses and households, VDSL2 and Fibre internet are paving the way for some dramatic business improvements. Everyone remembers when ADSL first became available and a lot of people were slow to adopt the change. Do you remember hearing or perhaps even mention phrases such as: “Dial up is fine for me” and, “I don’t use much internet” or, “I just can’t justify the cost increase right now”. However it may be surprising to learn that the faster

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B2B Solutions is very pleased to announce this month’s free exclusive IT event:

Access

B2B Solutions is very pleased to be providing business owners with free, helpful advice in IT Management and Network Systems. The informational evenings have proven to be fun and educational, covering topics that are often challenging and complicated. We live in a fast paced world where we are forever becoming more reliant on technology. We have a growing need for data, and how we access it and how we protect ourselves has become critical in ensuring that we don’t put our assets at risk from unwanted threats and attacks. Our last informational evening centred on Network Security, this month’s topic of discussion is the world of VoIP and Internet solutions. There may be some of you out there who potentially think of VoIP like a dirty word and may have had a bad experience with it in the past. Kiwis love to be at the forefront of everything and this doesn’t have to relate directly to just technology. If something is new, we want to reach out with both hands and grab it so that we can be the first to trial it, play with it, pull it apart and see how it works. This is precisely what happened a few years back with Voice over Internet Protocol (VoIP). This new technology came out filled with huge promises to lower our phone call charges, allow us to get rid of the big monthly charges that the giant telecommunica-

any organisation, at the same time as reducing costs. Also recently some of the product managers from Toshiba Australia visited Elite for training around the Toshiba Bar-code Printers and Identification Equiment. They are widely renowned for reliability, versatility and ease-of-use, and have a reputation as a leading choice around the world for professional, inhouse labelling across many types of organisations - industrial/manufacturing, transportation/logistics, retail, healthcare and commercial ser-

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lite has a great team of experts across all fields of the business. It is a pleasure to work alongside our team and also the customers who we have been associated with for many years. The first half of 2015 has been eventful at Elite with the acquisition of Tiger Networks Ltd in Auckland. With the addition of the Tiger team we have doubled our size and now have a strong, robust group of 12 working out of Elite’s Auckland office. This brings our total team to almost 60 across the three branches. With many of our Hamilton and Tauranga customers having

which can only mean a winwin for everyone. One of Elite’s strengths is the ability to offer a complete suite of business technology solutions - IT Network Solutions, Panasonic Business Communication Systems, Toshiba Photocopier & Barcode Printing Solutions, Vodafone Business Services and the ‘Tiger team’ have added a stronger depth of knowledge to these services. Elite’s Vodafone team has been busy with the recent release of the iPhone 6 Plus and the iPhone 6, and more recently the Samsung Galaxy S6 and the Samsung Galaxy S6 Edge, combined with the increased benefits in the diverse Red Business plans that Vodafone provides – along with the $5 a day roaming which is a fantastic benefit while travelling. We have recently returned from the Toshiba 100 Club Conference for Toshiba Dealers (this year held at Laguna Beach, California) where we

Contact B2B today for all your IT and communication needs. 11838

WAIKATO BUSINESS NEWS June/July 2015

Waikato designer takes out three architecture awards Waikato Architectural Designers competed last night (20 June 2015) to take out regional titles at the 2015 ADNZ | Resene Architectural Design Awards, with only one very talented designer walking away with the prestigious honour. Held annually, these eminent awards celebrate the most innovative, creative and aesthetic architectural designs in the country. Presented to architects and architectural designers in both residential and commercial sectors, the awards identify stand-out designs categorised as new homes, interiors, alterations and additions and industrial design. This year three regional awards were given to one winning Waikato designer – Aaron Guerin of LAD Architecture for his work on three different projects.

Architectural Designers New Zealand CEO, Astrid Andersen, said Aaron Guerin had proved himself as a stand-out designer amongst compelling competition. “Last year a designer from the Waikato took out the Supreme title at the national awards and so we always expect a great deal from this talented region. To have one individual designer win on three separate occasions for three very different designs is a testament to Aaron Guerin’s strong work ethic and his reputation in this competitive industry – well done Aaron.” The winners of regional awards, which are currently being awarded across the country, are now eligible for national titles including the Supreme Design Award. The national awards will be announced on 30 October 2015.

Bond Home by Aaron Guerin of LAD Architecture Location: Cambridge Award: Resene Colour in Design Award and a Commended award for a Residential New Home Between 150m2 and 300m2. Description: This home was created for a young, high achieving couple on a difficult site in Cambridge. Their brief was to create a contemporary and easy care

home that captured and maximized the beautiful views to the north and south of the property. The small sloping site of approximately 470m2 posed many challenges and restrictions which required some creative and innovative design solutions. Judge’s comments: Striking shades of grey are in good company with a bold, double sided red feature door. Compelling spatial relationships and connections are established vertically and horizontally, inside and out.

Cambridge Medical Centre by Aaron Guerin of LAD Architecture Location: Cambridge Award: Commercial / Industrial Architectural Design Award Description: The brief was to transform a tired and dated 1970’s medical centre into a crisp and contemporary building, with the use of low maintenance materials and clean lines. The staging of this project was given careful consideration and completed in three stages over 12 months. Of paramount importance was minimising disruption to patients and healthcare professionals, while maintaining public safety. Judges’ comments: The building has been rejuvenated through a complete reanalysis of its functions. Its formal modulation positions it more successfully in its domestic context.

Gardner Home by Aaron Guerin of LAD Architecture Location: Cambridge Award: Residential Alterations and Additions Architectural Design Award Description: A small, rundown historical Cambridge villa was crying out for restoration. The brief called for the villa to be renovated in a way that was sympathetic to the original

home’s character while injecting all the luxuries of modern day living. The villa and its site posed numerous challenges such as relocating the original home and a protected tree on site. Judges’ comments: The designer has maintained the integrity and consistency of the existing building to greatly enhance it as a home. The alterations reinvigorate its relationship to the site.

To chat about how LAD can help you with all of your architectural & interior design requirements, call or e-mail us today. Alternatively, call in & see us for a coffee & catch up at our Cambridge (Waikato) based office...we’d love to hear from you.

LAD Architecture | 13 - 15 Empire Street, Cambridge, Waikato Phone: 07 827 8510 | e-mail: info@lad.co.nz | www.lad.co.nz

WAIKATO BUSINESS NEWS

June/July 2015

Working through an interpreter puts a different slant on things Zhang v GL Futures Development Limited Multiculturalism brings with it many different things including different approaches to employment and employee rights. With the increasing ethnic diversity in our employers we are seeing an increasing number of cases in the Employment Relations Authority where the employers lack understanding of employee rights in this country. This is one such case and it is a tidy reminder of some of the basic rights employees have here. GL Futures operates an online gaming business in Asian markets and has a customer call centre in Auckland, employing 25 staff, with the parent company being in Hong Kong. Ms Zhang was a customer centre operator. (We tend to think of call centres being outsourced to other countries, not outsourced from other countries to New Zealand.) One day Ms Zhang, her supervisor and another staff member took 45 minutes for their meal break instead to the permitted 30 minutes. A colleague complained and the following day each of the trio were called to a meeting. The other two both admitted they were back late and apologised. The colleague was issued with a first warning and disqualified from the company’s bonus scheme for

three months, while the supervisor was given a written warning and disqualified from the scheme for six months. Ms Zhang was accused both of being late back from lunch and hanging up on customers. Zhang admitted the actions and said that sometimes she and other staff hung up on calls. During the discussion Zhang did what most Kiwis would do, and asked for clarification of some issues. As a consequence, the managers looked more closely into Zhang’s performance and she was called to another meeting. At the second meeting Zhang said she did not intentionally exceed her break and she would pay more attention to how she handled calls in future. This was followed, on the prompting of the NZ-based manager, with a written admission and apology. This situation was discussed with the company director and his assistant (mysteriously known as 003) in Hong Kong and it was concluded that they had lost trust and confidence in her and decided to dismiss her. The company justified its action by saying that she ‘made no admissions until she was presented with overwhelming evidence and even then was unapologetic for her actions’. During this time Zhang was experiencing medical problems that required hospital treatment. The test for whether the dismissal was justified is “what a fair and reasonable employer could have done in all the circumstances at the time”. This lifts the perspective from what

HR and the Law > by anne aitken Anne Aitken, HR Professional Email: anne@anneaitken.co.nz the particular employer considers to be fair and reasonable, to what an objective New Zealand observer would consider fair and reasonable. An objective New Zealand observer may well have a different perspective than an objective observer in Hong Kong. The starting point was whether Ms Zhang was treated in the same way or differently from other staff who had broken the same rules. Ms Zhang suffered a harsher penalty, even though one of her cooffenders was more senior. The Authority found the process followed was subject to multiple failures, particularly as Ms Zhang was not advised of the possible consequences of the investigations and did not have the opportunity to get advice before attending the meetings that ultimately resulted in the decision to dismiss her. In addition she should have been provided with the actual information the managers gathered in their investigation including the recordings of the phone calls, but instead was provided with a summary of their findings. It is a fundamental right for an employee facing sanction to speak to the person making the decision directly. In this

case, the decision was made by managers in Hong Kong, after discussion with the New Zealand-based managers. At no point did Ms Zhang have the opportunity to put her case to the decision makers.

Health & Safety Reform Are you managing your Drug & Alcohol risks?

The Health and Safety Reform Bill is scheduled to take effect this year. Directors and those in governance roles will have a due diligence duty to proactively manage Health & Safety. Drugs and alcohol will be specifically stated as a hazard within the new Act. The Drug Detection Agency (TDDA) is Australasia’s complete solution provider for all workplace drug policy, education and testing needs. Our end-to-end services provide you with a high level of comfort in relation to achieving a safer workplace.

Falling in love is easy… but staying in love is the hard part it can be hard to keep your other half as the most important thing in your life. The Two-Minute Marriage Project explores the little things that couples think, say, and do to stay in love for the long haul. Sharing the simple secrets that will keep love alive in your marriage. This book is a practical, sensible and accessible resource that will create an enduring intimacy in every marriage. Supported by expert studies, interviews with happily married couples, and years of personal experience, author Heidi Poelman shares the simple secrets that keep love alive. At

the end of each chapter Heidi asks you to stop and reflect, with two-minute action steps. About the author: Heidi Poelman has a master’s degree in communication. In graduate school she had a particular interest in marriage dynamics. This curiosity moved her to write The Two-Minute Marriage Project: Simple Secrets for Staying in Love, in which she was able to more fully explore the significance of seemingly simple thoughts, words, and deeds. The 2 Minute Marriage Project is available from www.exislepublishing.co.nz and wherever good books are sold. RRP$24.99

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A third of New Zealand marriages end in divorce, it turns out that the happily ever after isn’t quite like the fairy tales that we all know and love. The reality is a marriage isn’t a piece of cake; it takes time, effort and a lot of hard work to make it succeed Marriage isn’t as simple as it sounds; falling in love is fun, easy, and exciting yet staying in love can be tedious, worrying, and tiring. A healthy marriage needs to be worked on continuously which can be difficult in a world full of constant distractions, emails, phone calls and different people vying for your attention

Taking into account all the circumstances, the Authority concluded that Ms Zhang’s behaviour did not amount to serious misconduct and therefore dismissal was not a sanction available to the employer.

The penalty must fit the crime, and this did not. The employer was found to have unjustifiably dismissed Ms Zhang and she was awarded around $18,000 in lost wages and hurt and humiliation, which was discounted by 10 percent for contribution on her part. A final interesting aspect to the investigation is that it was conducted in Mandarin and the Authority member had to work through an interpreter which must have made the process more complex for everyone.

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WAIKATO BUSINESS NEWS June/July 2015

Bold Kiwi engineer turns dream into multi-million dollar reality From page one When the Christchurch earthquake struck, Blair had already built BCD Group to a five person business and along with others responded by providing assistance to the stricken city in its emergency situation and eventual rebuild process. About this time, longtime friend from the Raglan countryside, Jonathan Brown, returned home from plying his trade as a planner in London. Jonathan then joined Blair as a director of BCD Group and their talks from many years earlier to grow a multidisciplinary consultancy together came to fruition. “We had built a reputation of pragmatism, creativity and innovation with each of the projects we had tackled to date and with those clients applauding us for costeffective delivery and great customer service; we began to grow exponentially. Jonathan said: “A spin-off from being local lads with a strong local focus has seen many people touching base by word-of-mouth. “One satisfied client tells another and we’re in business. “We owe a huge deal of thanks to those clients that took the punt and pushed to use us from the outset, when we were still viewed as a ‘one man band operation.’ It was those early projects that set the ball rolling.” Blair said: “We realise one size does not fit all so we adapt. It could be that one day a client may be discussing the construction of a multi-storey office block and when that’s up-and-running he tells us he

Kmart, Te Rapa.

address

wants us to look at the new home he has planned. “We have had success with major builds for Tainui Group Holdings; we engineered the new home for Torpedo 7 at the airport and also the Mystery Creek new headquarters building,” he said. Today the Hamilton ownedand-operated BCD Group has a team of 34 - covering the spectrum of structural, civil and geotechnical engineering and planning - and continues to grow steadily. It helps that the company’s directors and shareholders are long-standing Waikato residents, proud to call Waikato home. More than 85 percent of staff have their roots in the Waikato region. BCD Group prides itself on supporting the local community and economy including a significant amount of financial sponsorship to numerous sports and community groups including Waikato Rugby, Hamilton Marist Rugby, Northern District Cricket and the Hamilton Rowing Club. 2015 saw BCD Group open an office in New Plymouth, again with a local entity, David Hutchinson, who shares the company’s vision and philosophy. The similarities between Hamilton and New Plymouth made it a logical step in terms of business growth for BCD Group. BCD Group will formally celebrate its fifth birthday next month where they will reflect on success to date and discuss their next steps in terms of growth. One thing is for certain, the future looks very bright for this Waikato success story.

National Agricultural Fieldays headquarters at Mystery Creek.

408 Anglesea Street.

Torpedo 7 near Hamilton Airport.

WAIKATO BUSINESS NEWS

June/July 2015

Biowaste key to growing profits New research at Lincoln University suggests biowaste can be utilised on former pine plantations to generate big economic returns.

our years of research in a greenhouse environment found the waste, which might include sewage and dairy shed effluent, can be used to rapidly establish native vegetation on former pine forest soils. Early estimates suggest the natives could produce a financial return of more than $200 million annually. “The signs from our greenhouse trials are extremely positive,” Associate Professor Brett Robinson says. He says the research team has focused primarily on growing native species such as manuka and kanuka, which can be used to produce valuable products such as honey and essential oils.

“Not only is this a great way of rapidly kick-starting lowfertility soil and a productive use of unavoidable waste which is currently disposed of either inappropriately or expensively, but in focusing on manuka and kanuka, we can grow the market in products not easily adopted by overseas competitors.” Currently, around 1.8 million hectares of New Zealand soil is under pine plantations. This figure is decreasing, however, as there is little economic incentive to replant timber crops. Historically, pine forestry was an effective means of providing an economic return for low fertility soils, but this is no longer the case.

Growing pine trees followed by logging also often results in depleted, nutrient-poor soils. Converting this soil into productive farm land requires the constant application of high rates of fertiliser. Associate Professor Robinson says his research challenges this approach. He says initial findings suggest the use of biowaste can significantly accelerate the growing capability of these soils by increasing the water and nutrient holding capacity, and providing essential elements. It has also been found that, when used alongside pine waste and some charcoals, the leaching of nitrates is dramatically reduced. These species have the added advantage of positively affecting the soil by producing antiseptic chemicals which kill off pathogens in biowaste-amended soils, he says. Field trials are expected to commence soon.

The greenhouse research plants.

in its third year, the Rabobank Emerging Leader Award, recognises up-and-coming young leaders in the sector. In 2014, this award went to Bryce Camm from the Camm Agricultural Group. Both peer-nominated awards are open to nominations from individuals in the agribusiness sector, with judges seeking nominees who create sustainable growth and prosperity at both a corporate and industry level, while demonstrating a wider commitment to society. Announcing the opening of the nominations, Rabobank

Australia & New Zealand Group managing director Thos Gieskes is calling on leaders of the Australasian agribusiness sector to come forward and recognise significant achievers within the industry. “We recognise the importance of acknowledging those individuals who have gone above and beyond to make a profound and positive difference to the Australian and/or New Zealand food and agricultural industries,” Mr Gieskes said. “Without clear and innovative leaders, the global food and agribusiness sector will not realise

its future potential – and with the demands placed on the sector to do more with less, we must recognise those who have made a significant contribution to position our industry to rise to the challenges ahead.” Judging criteria for the Rabobank Leadership Award includes: • significant achievements as a senior leader in building, rejuvenating or expanding a business in the food, agribusiness or beverage sectors; • developed and communicated a clear vision and direction for sustainable growth and pros-

perity at both a corporate and industry level and; • regarded as a good corporate citizen and demonstrates social commitment. Other past winners of the Rabobank Leadership Award include Sir George Fistonich, founder of Villa Maria Estate in Auckland, Bega Cheese executive chairman Barry Irvin, and Australian pastoralist and company director Nick Burton-Taylor. Judging criteria for the Rabobank Emerging Leader Award includes: • up and coming leader, with an industry tenure of ten

years or less and; • significant contribution to the New Zealand and/or Australian food, beverage and agribusiness sectors. Nominations for both awards can be made via the Rabobank Leadership Awards website at: https://rabobankleadershipawards.com/about-nomination, with nominations closing on Tuesday June 30. The award winners will be announced at the annual Rabobank Leadership Dinner, to be held in Melbourne at The Peak, Flemington Racecourse on Thursday October 22.

A different business approach Business can change the world, according to new Professor of Strategic Management, Kathryn Pavlovich. Professor Pavlovich gave her Inaugural Professorial Lecture at the University of Waikato recently and said while recent generations have caused massive damage to the planet, we also have the best knowledge and capacity to effect dramatic change for the better. First, there has to be a shift in our styles of leadership and management and a move away from profiteering at all or any cost, she said. The professor believes people and businesses can work collaboratively to make change and improve the lives

of others. In her lecture, she gave examples where that is already happening, in New Zealand and overseas. “Leaders need to think about their purpose, their legend, what they want to be known for,” she said. “It’s more than self-awareness … it’s about self and other.” Professor Pavlovich says before we can lead effectively, we have to understand ourselves; what she calls noetic wisdom, which involves inner wisdom, direct knowing and understanding of ourselves, “a combination of science, spirituality and consciousness”. Such a perspective activates the parasympathetic system that enhances our immune system and well-

being, which she says makes us more resilient – a combination of mindfulness, reflexivity and empathy. She teaches her students this, and while it may sound soft, she had testimonies from students who were successfully practising in their day-to-day work what they had learnt in her lectures. Professor Pavlovich advocates meditation and yoga, “it helps mediate emotion”, she gets her students to keep reflective journals – to examine situations and their responses and subsequent actions, “which leads to better decision making”, and she has them creating art as a form of expression. Alongside her teaching and research, Professor

Pavlovich is currently chairelect of the Academy of Management, a US-based global network of management scholars. The Academy has about 20,000 members from 100 countries. The Management, Spirituality and Religion Interest Group has been one of the fastest growing in the Academy, she says. She has also written widely about her research. Her book, Organising through Empathy is published by Routledge New York, and she has published numerous articles on her subject. Inaugural professorial lectures are the University of Waikato’s way of introducing new professors and their research to the wider community.

Professor of Strategic Management, Kathryn Pavlovich

Hamilton benefiting from Auckland’s property boom

Lodge Real Estate’s managing director, Jeremy O’Rourke.

Hamilton is seeing greater numbers of Auckland investors jumping into the city’s property market according to Lodge Real Estate’s managing director, Jeremy O’Rourke. “With house prices at an all-time-high in Auckland, owners have a larger asset base to borrow against. We’re seeing them take advantage of this new-found wealth and using borrowed funds to get into property investments here in Hamilton. “On one hand, this ‘Auckland Wealth Effect’ is beneficial for local sellers because Auckland investors are often willing to pay more for Hamilton properties. They perceive them to be a ‘good deal,’ relative to similar properties in Auckland city. “However, first home buyers are taking a hiding. It’s that lower end of the market where Auckland investors are competing. And in most cases, they are in a much stronger financial position than first home

buyers who typically have limited extra funds to draw upon, which means they can’t be as competitive in an auction or situation where there are multiple offers on the table,” Jeremy explained. There were 335 homes sold in Hamilton during the month of May, with 59 percent of those in the less than $400,000 price range. “In Hamilton’s suburbs where there are traditionally a high percentage of first-home buyers, stock are down dramatically. If we look at the number of homes available for sale at the end of April as compared to May: Fairfield stocks were down 25 percent, Forest Lake stocks were down 50 percent, Hillcrest stocks were down 33 percent% and Nawton stocks were down 20 percent,” said Jeremy. Demand for Hamilton homes continues to outstrip supply. The average number of days a home was on the market in May was 33 days. This compares to 35 days in May 2014. There were 750 homes available for sale in

Hamilton at the end of April, compared with only 642 at the end of May. “This dip in the number of homes available for sale happened despite more homes being listed in May, as compared with April. This level of buying is unprecedented,” said Jeremy. “Quality properties are being snapped up very quickly in Hamilton. Buyers are finding they need to act fast when they find a home they want. “We are recommending buyers get their finances settled with their bank. That way they can make decisions quickly and aren’t disappointed.” Hamilton’s median dipped to $370,000 for the month of May, compared with $375,000 in April. Hamilton’s median in May 2014 was $366,500. Lodge Real Estate is Hamilton city’s largest real estate agency by volume with more than 34 percent of residential market share. For the latest REINZ market data, visit www.reinz.co.nz.

New faces in business

WAIKATO BUSINESS NEWS June/July 2015

Andy Collins

Hayley Boud

Hamilton taXiS

James Carter Law

After spending 30 years in Hamilton, many of those in the taxi business Andy Collins reckons he’s pretty much a local. As a man who has grown up with the city, knows every street, from his years on the cabs and directing them from a managerial position, Andy is back leading the largest fleet in Hamilton City. He spent more than nine and a half years with Hamilton Taxis before receiving the call from the Alert Group ( Red Cabs as we know them) to manage their small but growing fleet in the city. He did this for five years as regional manager which placed a group of Tauranga taxis under his managerial umbrella. Just recently the head hunters were out and nabbed our Andy, bringing him back into the Blue Bubble fold as general manager of Hamilton Taxis.

James Carter Law welcomes Hayley Boud to the firm. Hayley moved from Tauranga to Hamilton in 1992 to study Biology at Wintec where she gained the Lab Pierce Supply Ltd Award for top science student. Hayley worked in the field of science for 14 years gaining international accreditation while studying at the University of Waikato where she obtained a Science degree majoring in Biology. After a very fulfilling career as a veterinary pathology technician specialising in haematology, Hayley decided it was time for a career change. Wanting to work with people and to support those in the community, Hayley felt led to study law. Hayley completed a Law degree at the University of Waikato in 2014 gaining an A average. She has recently completed the requirements for a Masters in Law with Distinction, focusing on

Before taking on taxis part-time back in 2000, Andy worked for Printpac where he developed a strength in health and safety and went on to become the Waikato regional chairman of NZ Institute of Safety Management. About then, the Hamilton taxi board offered Andy the manager’s position and he stayed in the job for nine-

and-a-half years. He enjoys the challenge of returning to the popular growing company with 65 cabs on the go. Andy firmly believes the brand, which has been flourishing in Hamilton for the past 59 years, is getting stronger and he is confident he has much to offer in the years ahead.

Phone 0800 GPS GPS 0800 477 477 or 07 8477 477

Civil Litigation and Human Rights. While studying, Hayley worked for two years at Community Law Waikato as a volunteer case-worker and was later employed as their evening receptionist. Hayley began working for James Carter Law in May 2015 and has recently been admitted to the High Court of New Zealand as a barrister and solicitor. Hayley chose to work for James Carter Law because the company ethos aligned with her desire to serve the community by providing accessible legal assistance. Hayley understands that many people are afraid to go to a lawyer because they know it is expensive. James Carter Law provides the first initial consultation absolutely free. This allows ordinary New Zealanders the opportunity to be heard and given

sound legal advice. James Carter Law also offers capped fees so those requiring further legal assistance can be assured the amount billed doesn’t exceed what they can afford. There is also opportunity to pay by affordable instalments. James Carter Law provides a friendly and warm environment with specialist legal assistance delivering tailored solutions. James Carter Law supplies legal assistance in employment, building, resource management, local government and criminal matters. Hayley particularly enjoys dispute resolution through negotiations and mediation especially in the area of employment law. She looks forward to working on local government issues, specifically with development contributions and is excited at the prospect of helping clients attain the most cost effective development. Because James Carter is an expert in resource management and building law, Hayley also looks forward to learning about the planning process within a local authority and how to assist clients with any legal issues involving planning and building.

Phone 07 391 2445 Email jcarter@jamescarterlaw.co.nz www.jamescarterlaw.co.nz

www.hamiltontaxis.co.nz Email: info@hamiltontaxis.co.nz Hamilton Office phone: 07 846 0061

Kahl Betham Global General manaGer

GallaGher Leading Gallagher Group’s Security division is a career highlight for Hamilton’s Kahl Betham who is on a mission to ensure Gallagher’s security solutions deliver more business efficiency and value than any other global security company. As the global leader of the iconic group’s security business, Kahl’s focus is on creating enduring partnerships with customers and gaining insight into their greatest challenges. “This gives us the opportunity to solve those problems in a way our customers never dreamed was possible. This is how Gallagher redefines what’s possible for customers,” Kahl said. Since joining Gallagher in 1997, Kahl has held various roles, working his way from software engineer, business analyst, product manager, through to senior executive. In his new role Kahl leads the strategic direction for the 200-strong global security team, including 65 research and development experts and a sales team with its finger on the pulse of market trends. “Our key focus is to be the world leading provider

of integrated security management solutions. Kahl’s key career successes include overseeing the market definition, development and commercialisation of multiple generations of award winning, globally successful security solutions. His broad array of experience provides a well-balanced technical and commercial base from which to deliver business relevant, high performing solutions that solve real world problems. Gallagher’s security customers span more than 12 vertical markets, including commercial, government, correctional facilities, healthcare, education, transport and logistics, finance, telecommunications and utilities. Kahl also has a message for up-and-coming business stars living in Waikato. “You don’t have to leave New Zealand, or even the Waikato to work for a

world-leading company. “We have many excellent businesses at the cutting edge of technology and serving customers on the global stage.”

Kahl is pleased to be part of a company with a proud history of delivering innovative solutions to customers and a drive to become the leading choice for global

security solutions. “It’s exciting to have the opportunity to lead our team in developing the next generation of technology and taking it to the world

market. “We have huge ambitions and the next step will be increasing the push into Asia and the United States. Watch this space.”

www.gallagher.com

New faces in business

WAIKATO BUSINESS NEWS

Mark Edmondson

Heather Whyte

Harcourts Hillcrest

Lugton’s

After a successful career in banking, Mark Edmondson has found himself a natural in the Real Estate world. His enthusiasm and charisma make Mark the perfect fit for the Harcourts brand and since joining the team, he has built many great relationships and is already showing success with sellers and buyers alike. The customer service skills he has refined throughout his previous roles has given Mark the ability to relate to many clients in all different walks of life. Mark’s success was built from providing an outstanding customer service experience to his clients, and a dedication to following up and following through. Professionalism has seen him create a vast network of contacts across Hamilton and the wider North Island and his engaging personality and interest in people gives him the understanding to match your needs with your dream home.

If you’re ready to sell or are looking to buy contact Mark today.

Heather’s commitment to you: • Communication and listening are of paramount importance. Heather appreciates every client is unique in their requirements and will cater her approach, so that sometimes what can be a very stressful process is an experience you will look back at favourably. Heather understands long-term relationships are the key to success and trust. • An unbridled passion for

He has all the tools to make your experience one to remember.

property – Heather understands what you are going through as she has spent years renovating, buying and selling property. • Results orientated – Heather will negotiate to get the best possible price when buying or selling. Sales and marketing skills have been honed by her experience in the corporate world. If you are thinking of selling or buying, give Heather a call – she would love to exceed your expectations. What Heather’s clients say about her: “Heather was an absolute pleasure to deal with. She really listened to us and asked questions to find out what we were looking for. She clearly understood our requirements. Her commu-

“When I first contacted Heather she stood out among other real estate agents. I saw that she actually listened to what I was looking for in a house and emailed me listings accordingly. She took time to meet with my fiancée and I throughout the process. She went well beyond our expectations of real estate agents in general. I was impressed with her diligence in finding various properties and inspection reports that I was after preceding the sale. She volunteered herself to be our representative at the auction and competently finished the auction while I was on speaker phone. In addition, she did a preliminary walk through of our house until such time as I was able to do a formal walk through. I am thoroughly impressed with the dealings we’ve had with Heather and wish for her to continue acting as our real estate agent in future pursuits.” – Sean Liddle

Heather Whyte

M. 027 239 2751 P. 07 855 7500 E. heather.whyte@lugtons.co.nz Cnr Horsham Downs & Thomas Roads, Rototuna, Hamilton 3210

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Phone Mark 027 307 1976 Email mark.edmondson@harcourts.co.nz

David Watson Lodge ReaL estate Hard work, integrity, and honesty. But actions speak louder than words. And as a former soldier, policeman, and business manager, I believe I’ve got the kind of track record that speaks volumes. My results in my eightyear-old real estate career back these values up: a highlight to date includes the successful marketing and sale of 20 sections in Cambridge’s Homestead Lane subdivision, but I get just as much, if not more joy in selling residential properties to individuals. When it comes to results, you don’t have to take my word for it – check out below what a few of my clients have recently said: David is a hard working agent... I have trusted

him with 42 of my listings; our company develops more than 400 housing units throughout Auckland and Hamilton and there are few sales people I trust to get the job done – David is one of those few. – John K. Clarke, Du Val Group chief executive.

I purchased my first house in New Zealand from David and I have repeated and utilised his services to buy/sell my properties for either personal or rental purposes…(he’s) extremely professional. – Andrina Romano-Whitworth, QE Health general manager. Our last home, now sold, was the third David has been our realtor for. We found David to be courteous, dependable, professional, and honest. He

always respected our cultural values and privacy and met all our market requirements. – Ajantha Chamindi Mudannayake. I operate with a view to securing ‘clients for life’, meaning if you appoint me to market your property I’ll do my utmost to never let you down – my goal is to meet, if not exceed, expectations. I love real estate, and feel privileged to work in this industry. I’m a good communicator and I have particular empathy for people selling and buying – I understand all the stresses and emotions that can come into play. But my job is to help you achieve happiness. Give me a call today – I can guarantee first-class service with a smile.

LODGE REAL ESTATE Shop 28b, Rototuna Shopping Centre www.lodge.co.nz | Email: davidw@lodge.co.nz Phone business: 07 854 9961 | Phone A/H: 07 282 0277 | Mobile: 021 644 189

nication is great, she keeps in contact with you and calls when promised. She spent a lot of time with us and we feel she went above and beyond. We would happily recommend her to anyone without hesitation.” – Emma & Sam

Rookie of the YeaR 2014/2015 Heather joined Lugton’s Real Estate in July 2014. She has a background of Sales and Hospitality Management. During the last ten years Heather has had a very successful sales career working with Blue Chip corporates such as Lion Nathan and Coca-Cola Amatil. The training, high expectations and success she experienced at these two market leaders allow her to be on the front foot when it comes to selling, marketing and assisting in your next property move...

June/July 2015

lugtons.co.nz

REAA 2008

fieldays 2015 wrap-up

WAIKATO BUSINESS NEWS June/July 2015

Gallagher Group experiences four great days at the National Fieldays F

ieldays for the Gallagher Group was one of the best on record and certainly sales were the best in the last three years, according to managing director, Sir William Gallagher. “We were pleasantly surprised as it looked as though

things may have been a bit depressed,” he said. “We hit a peak in 2007 but sales this Fieldays were certainly the best since 2011. With Gallagher launching new products and having a team of dealer staff at the show, selling as part of their training,

Busy as usual at the Fieldays is Waikato’s Queen’s Birthday honoured lady, Margaret Comer, MNZM

helped push the figures up. “There were good prizes for the sales staff to win and anything they did sell was credited back to their home town outlet,” said Sir William. “It was a pleasure to see very strong crowds taking part,” he said. “It’s also very good to see the continuing investment the Fieldays organisation puts into the Mystery Creek site. The improvements are certainly helpful and assist with drawing at least 1000 exhibitors to the four day show. “It’s good for Waikato and New Zealand,” said Sir William. “And we were very conscious of a strong contingent of visitors from Latin America.

Sir William Gallagher chats with Joan and Geoff Bell

Relaxing in the Gallagher ‘café’ (from left); Alison and John Candy, Darrell Jones, John Thomassen and Peter Nation

fieldays 2015 wrap-up

WAIKATO BUSINESS NEWS

June/July 2015

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fieldays 2015 wrap-up

WAIKATO BUSINESS NEWS June/July 2015

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Fieldays’ consistency pays off for Hill Laboratories This year marks the 16th consecutive year that New Zealand’s largest privately owned testing laboratory, Hill Laboratories, has exhibited at Fieldays.

nd according to marketing manager, Martin Brock, the company’s consistent presence at the largest agricultural event in the Southern Hemisphere was this year well-rewarded. “After considerably more than a decade of exhibiting at Fieldays, we experienced this year, anecdotally, the best brand-recognition to date,” Mr Brock said. “Compared with past years, noticeably more people came through our stall who recognised Hill Laboratories and the services we provide”. Mr Brock said this improved brand-recognition is partly due to a consistent presence at Fieldays; but also due to the company’s steady growth and success over the years. “In the past, Hill Laboratories has been bestrecognised for its soil testing. This was the company’s key specialty when it started out three decades ago. “However, 30 years after inception, we are well-known nationally for agricultural testing, environmental testing and food residue testing.

“A good understanding of our wider scope of services was evident from people’s comments at Fieldays. “We are seen as a truly national, and international, company. As marketing manager this is very pleasing.” This year, Hill Laboratories' exhibition broadly promoted three of its most popular testing areas - soil, feed and water testing - to a wide variety of visitors.

Hon Steven Joyce spoke to our general manager Matt Glenn about Research Development (R&D) grants for science and innovation.” “Over the four days we spoke to suppliers, customers, potential customers, students, present and former staff as well as family and friends. “We also had visits from some of the winners from this year’s Ballance Farm Environment Awards, of which Hill Laboratories is one of the national sponsors,” he said. One of the most recog-

nisable visitors to the Hill Laboratories site was Minister Steven Joyce. “Hon Steven Joyce spoke to our general manager Matt Glenn about Research Development (R&D) grants for science and innovation,” Mr Brock said. “We’re pleased that the Government will invest another $80 million into New Zealand companies over four years in R&D growth grants to encourage more private sector R&D.” Mr Brock said news of the lower dairy payout had caused many of this year’s attendees to question Fieldays turnout before the event. “Despite the dairy downturn, more than 126,000 visitors attended over the four days, which was substantially up on the past two years. “Essentially, while dairy farmers have had a tougher year, it has been a good year for horticulture, especially kiwifruit. Beef and lamb farmers, grain growers, and the wine industry have had a very good year too. “We are, once again, pleased to have had a presence at the largest agricultural event in the Southern Hemisphere, and look forward to meeting-and-greeting Fieldays attendees in years to come,” Mr Brock said. Hill Laboratories is headquartered in Hamilton and has a total of four sites in the North Island and two in the South Island.

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NetValue launches JobFlow at Fieldays “People loved the simplicity and ease at which you can reschedule staff and equipment, its just drag and drop, and the pre-populated job cards will reduce the stress levels of the office staff!” said Roz from Finch. Always keen to improve their product, the team hoped to get as much feedback as possible from contractors during Fieldays. “We wanted to get a good sense of what contractors really did and didn’t need from their software so we could deliver a product of real business value.” Currently JobFlow includes features such as drag-and-drop job scheduling, easy job creation, synchronised stock management and Xero integration, and the potential for more features seems inevitable as interest grows. “We have a few features in the works already such as job e-cards. We will also be releasing mobile support soon which will make job management on the go, much easier.” From the feedback already received, it seems JobFlow’s whiteboard-free job management system could be an industry-game changer. Want to know more about Jobflow? Head to jobflow.co.nz. Or contact Simon on +64 21 230 3585 for a demonstration.

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This year saw the launch of local web development company Netvalue’s new product JobFlow, in association with Finch Contracting. A software platform designed to get farm contractors away from the whiteboard and onto a web-based platform, JobFlow attracted a lot of interest over the exhibition weekend to the delight of everyone involved. Initially the team was keen to gauge general interest in the product but was soon overwhelmed by enquiries from contractors wanting to know more about how JobFlow could help their business. That’s when they knew they were on to something. Simon Potter, GM of Sales and Marketing at NetValue said, “We were surprised at the level of interest from both the Agricultural Sector which the software was aimed at, but also other businesses that could see the potential for their operations.” Armed with an illustrated video explaining how the software works, a live demonstration, and Roz Lever from Finch Contracting on hand to explain how JobFlow is set to transform their operations, the team had no trouble convincing contractors of the value of the product once they saw it in action.

CLEAN wATER

fieldays 2015 wrap-up

WAIKATO BUSINESS NEWS

June/July 2015

Centrus 84 rotary platform wins International Innovation Award at Agricultural Fieldays Waikato Milking Systems has taken out the International Innovation Award with its Centrus 84 Rotary Platform at Fieldays® 2015.

Nathan Guy (left) presenting Waikato Milking Systems Executive, Dave Cassells (right), with the International Innovation Award at Fieldays 2015

The Centrus 84 is the first fully-composite rotary platform and is 80 percent lighter than previous platforms and five times stronger. “Sometimes you get a feel for something,” says executive manager Dave Cassells. “When I saw the concept drawings for this one, I knew we had something unique. “I’ve been in the business for 40 years, and I’ve seen rotary milking systems evolve from the old steel ones to what we have now – your gut tells you that it’s a unique idea.” The innovation has spent four years in development and is designed to milk several thousand cows a day.

The Centrus 84 Rotary Platform has already been sold into the US, China and South African markets.”

last night, it was just incredible.” In conjunction with the Centrus 84 Rotary Platform comes a new innovation in pivot rollers, made to manage the endurance roller in 24/7 dairy operations. The Centrus 84 Rotary Platform has already been sold into the US, China and South African markets. It also has a global patent making it an exclusive product to Waikato Milking Systems. “In a nutshell it’s moved

It also offers bigger bails and more cow space to make farmers’ lives a lot easier. “I thought it was deserving of a Fieldays Innovation Awards entry because it was so one-of-a-kind, and winning was a great bonus,” Dave says. “I was speechless

More than 30,000 attend final day of Fieldays 2015 The final day of Fieldays 2015 wrapped up four days of successful activity for visitors, exhibitors and organisers alike. On the fourth day, 30,188 visitors poured through the gates at Mystery Creek, braving the up-and-down weather to take advantage of fantastic deals and exciting competitions. The final day’s highlights saw the Rural Bachelor of the Year awards announced, the winners from the Tractor Pull events and names of Fieldays Innovations Vodafone People’s Choice Awards were also released. This year’s Rural Bachelor of the Year winner, brought to you by Sovereign, is Toby How – highly competitive and a feisty character best describes his participation in this year’s competition. On winning the prestigious Golden Boot Trophy, Toby says the moment was “surreal”. “The whole week’s been amazing, going back to work on Monday will be a shock to the system. We’ve been wined and dined and entertained and there is not one moment that

surpasses all the others – it’s just been brilliant,” Toby says. “All throughout the competition he always injected a bit of humour and crowd interaction. He was having fun the whole time, which is really important in a competition like this, and he did really well in every heat,” Fieldays Rural Bachelor Judge and last year’s runner-up Fraser Laird says. After a captivating four days at NZ National Agricultural Fieldays 2015, the winners for this year’s Tractor Pull competition were also announced. Winners competed in three categories – Weight Adjusted, Weight Transfer and Modified. Waikato River and Tractor Pull Coordinator Andrew Reymer says: “We are rapt. The wins went to older guys who had more experience, had been around for a while and knew how to handle it. It was a real hard track to win on and it shows through that the guys who put more effort into it had a bit more experience.” Innovations were applauded and named for the Vodafone

People’s choice. In first place with more than 1000 votes was Easy-Use Feed Bin Wires for its simple solution to control feeding. In second place was Safety Buddy for its Bluetooth enabled safety device, and in third place was Fence Detective for its smartphone app for testing if fences are live. Exhibitors on the whole had an extremely positive experience at Fieldays this year, with a consistent flow of business through their sites. Fieldays Strategic Partner ANZ’s marketing manager Grant Andrews says, “We have been pleasantly surprised with how busy it is and how positive the mood is.” This was shown in numbers today and throughout the last few days with visitor numbers reaching a total of 126,063 over the four days. “We are thrilled with this year’s event,” says Lee Picken, Fieldays head of events. “The vibe has been fantastic and the four days have been seamless. We’re very happy with visitor turnout and feedback we’ve been receiving has been really positive.”

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the bar higher, it’s cuttingedge technology,” says Dave. NZ National Fieldays Society CEO Jon Calder says the Fieldays Innovation Awards were a great success. “The innovations we see at Fieldays continue to impress and amaze – there is always something new. “The passion for creating something that will solve real problems for farmers and our ag-industry is exciting and encouraging for the future of New Zealand agritech. “Fieldays was built around

innovation and every year it just gets better and better. The level of ingenuity and creativity shown in the awards every year is inspiring,” said Jon. The Fieldays Innovation Centre attracts thousands of visitors a year, and “is the perfect platform to launch and grow agri- innovation,” says NZ National Fieldays Society president Warwick Roberts. For a full list of winners, visit www.fieldays.co.nz/ winners

WAIKATO BUSINESS NEWS June/July 2015

Rising star Good George Brewery hosts Deloitte Fast 50 2015 programme launch Waikato business people were recently given the opportunity to celebrate past successes in the DeloitteFast 50 and the launch of the 2015 programme at an evening hosted by local rising star success story, Good George Brewery at their premises Good Neighbour in Rototuna, Hamilton. Well known entrepreneurs Jason Macklow leader of the Phoenix Group and Bruce Trevarthen from LayerX shared their messages, ably prompted by Deloitte private partner Doug Wilson.

6 1 - Niall Fuller, Hunter Filling Systems and Doug Wilson, Deloitte Private Partner 2 - Jason Macklow, Phoenix Group and Hilton Joll Deloitte 3 - Bruce Trevarthen, LayerX; Yatin Mehra, Deloitte and Paul Roycroft, BNZ 4 - Rene Swindley, Frank Risk Management and Dale Vink, Quotient 5 - John O’Donoghue and Julie Kelly, Ultra Fast Fibre, either side of Mike Frew, BNZ 6 - Stefan Davies, Deloitte; Rik Flowerday, ZB Homes and Zane Beckett

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Carpentry apprentices go head-to-head in national competition Entries for the Registered Master Builders Carters 2015 Apprentice of the Year competition have now closed, with 145 apprentices from up and down New Zealand set to compete for the coveted title and a share of more than $100,000 worth of prizes. RMBA chief executive David Kelly is pleased to note that entry numbers are rising year on year, as construction activity is on the rise in some areas of the country. Entries are particularly strong in the Central North Island, with numbers up 66 percent from last year. “It’s fantastic to see more and more apprentices step forward to compete in Apprentice of the Year,” Dave says. “The competition opens doors for many of the entrants. It is an opportunity to prove themselves alongside their peers, and the building and construction community.” The Building and Construction Industry Training Organisation (BCITO) saw a record number of apprentice sign ups in 2014, reflecting a real commitment from the construction industry. BCITO chief executive Ruma Karaitiana says he is proud to support an event which showcases the best of the best in New Zealand car-

pentry apprentices. “Apprentice of the Year is an excellent way to recognise and celebrate the talent and passion in the construction industry. Any event that challenges apprentices and encourages them to be the best that they can be is one we are more than happy to support,” he says. “With the increase of apprentices signing up to BCITO, we are excited to see the talent at Apprentice of the Year 2015.” Regional judging began this month. Written entries were judged and entrants interviewed as the judging panel works to find a top apprentice in each of the ten regions. The winning apprentice from each region will then go on to compete for the national title of Registered Master Builders Carters 2015 Apprentice of the Year. Each winner will receive $2000 to spend at Carters, a spot at an Outward Bound course and a range of products and tools. Winners from each region will be come together at the Apprentice of the Year national competition in Auckland in October which includes a practical element of a build for charity. These results will be celebrated at a national awards gala dinner at The Cloud.

Apprentices, employers and young people aspiring to be a part of the construction industry are encouraged to join the Facebook page: www. facebook.com/apprenticeoftheyear and for more information visit www.apprenticeoftheyear. co.nz. Owned by the Registered Master Builders Association, the Apprentice of the Year competition is made possible thanks to principal sponsor Carters, the Building and Construction Industry Training Organisation (BCITO), and supporting sponsor the Ministry of Business, Innovation and Employment (MBIE). Regional event dates are: Central South Island – Christchurch, Thursday 20 August Central North Island – New Plymouth, Friday 21 August Wellington/Wairarapa – Wellington, Friday 21 August Auckland – Auckland, Thursday 27 August Northern – Auckland, Friday 28 September Upper South Island – Nelson, Saturday 29 August Bay of Plenty – Tauranga, Thursday 3 September Southern – Dunedin, Friday 4 September Hawke’s Bay/ East Coast – Gisborne, Friday 11 September Waikato – Hamilton, Friday 11 September

WAIKATO BUSINESS NEWS

June/July 2015

Largest ever avocado crop with seven million trays sold this year ity,” Jen explains. This season also marks the first year of the avocado industry’s visionary Primary Growth Partnership (PGP) programme with the Ministry for Primary Industries (MPI). The programme, called “New Zealand Avocados Go Global”, aims to triple productivity and increase avocado sales to $280m by 2023. “NZ Avocados Go Global is a five year programme and based on this year’s results we believe this forecast is achievable,” said Jen. “We have an extensive R&D programme now in place. We have a strong partnership with Plant & Food Research, and have secured additional research funding through MBIE. “Through these programmes we are analysing a number of factors such as irrigation, canopy management and tree health to develop and implement best practice to increase productivity.” Jen says scientific trials are now underway in the Far North, mid-North and Bay of Plenty, and valuable data is being gathered and disseminated. New Zealand avocados are marketed overseas as a premium, safe, and healthy fruit, and for the first time exporters of New Zealand avocados were invited to apply to

a new contestable promotions fund. Communications manager Midge Munro says NZ Avocado made $150,000 available which resulted in $350,000 worth of promotional activity being carried out. “Exporters are making good use of the New Zealand avocado category story collateral, from use of the beautiful imagery for in-store tastings to the innovative wrapping of a van which drove through the streets of Tokyo and offered avocado smoothies and samples to consumers at farmers markets and other busy weekend spots,” Midge says. Australia was once again the industry’s biggest export market, taking 3.2 million trays this season. But Jen says Asia remains the future focus. The region bought 1.3 million trays this season – almost double the previous record set in 2011-12. “We showcased New Zealand avocados at Asia’s largest fresh produce trade show, Asia Fruit Logistica, in Hong Kong last September and had a terrific response. “Our marketing collateral is being used successfully by exporters and at industry events in Singapore, Japan, Korea, Thailand and India and we’ve had lots of positive feedback from current and potential

in-market partners.” Gaining access to the Chinese market remains a top priority. Ashby Whitehead, chair of New Zealand Avocado Growers’ Association and Avocado Industry Council, attended the iFresh Produce Fair with Jen in Shanghai last month. “Avocados are the top priority for horticultural product access to China being negotiated by MPI. We are putting plans in place on the basis we can meet the protocols required by 2016 so we’re working closely with MPI to get all the technical information that China requires to progress our application,” Ashby says. Here at home, New Zealanders consumed a record 1.8 million trays of avocados this season, up from 1.2 million trays the year before. Jen says local retailers and consumers are learning to recognise the amazing health benefits and great taste that avocados offer. “Our public relations programme across print and social media has played a big role in promoting and sharing recipes and health information about avocados. We introduced television commercials for the first time this season and received great support from food writers about avocados.

“There has been a noticeable rise in consumption and interest in avocados which bodes well for our industry’s future success,” she says. NZ Avocado also invested more into the New Zealand market with new collateral, retail education tool kits and development of new avocado recipes. “Avocado nurseries are experiencing huge demand, and have sold out now for the next 18 months. Orders for future seasons are strong, and the outlook is very bright for increased investment in this exciting industry. “We are seeing real investment in new and existing orchards, and as an industry are committed to turning avocados into a major export earner for New Zealand.” About New Zealand Avocado The New Zealand avocado industry is the third largest fresh fruit export from New Zealand. NZ Avocado Growers’ Association Inc. (NZAGA) and Avocado Industry Council Ltd (AIC) work with the New Zealand industry to set export standards, facilitate market access, promote New Zealand avocados and provide technical information to all New Zealand growers of which there are more than 1450 based mainly in the Bay of Plenty and Northland. For more information visit www.nzavocado.co.nz

Should you invest now or wait?

big question on everyone’s lips is: Should I invest in the residential property market in Hamilton right now, or should I wait in the hope the market will cool off? Currently real estate agents in Hamilton are seeing increased activity from Auckland buyers, especially for investment properties. Auckland properties have gone through big capital gains recently and it doesn’t look like slowing. But rents have not seen the same growth which means the rental returns on investment are dropping. Recently;Property Ponsonby Blockhoure Bay Hillcrest Deanwell

Sale Price $ 1,180,000 $ 1,100,000 $ 445,000 $ 235,000

Rental (pw) $ 895 $ 600 $ 450 $ 350

Return 3.94% 2.83% 5.25% 7.74%

In the case of the Auckland properties, investors will find that the rental income is insufficient to cover mortgage interest as well as other outgoings such as; • property management fees, insurance,rates and maintenance. This makes them both very costly long term investments. However in Hamilton, the properties can be cash flow positive investments. In a bid to ensure stability in the Auckland Market the RBNZ will introduce a maximum LVR on Auckland residential investment loans of 70%, so investors will be faced with the following equations when considering where to invest. Assuming an investor has $ 300,000 equity to invest the options are;Auckland Deposit Maximum Bank Loan Total Spend Number of dwellings Average Value Average Gross Return Income Less OPEX* Less Interest Cost** Surplus / Deficit

Business News

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ew Zealand’s largest ever avocado crop has been successfully harvested, packed and marketed with a massive seven million trays sold during the 2014-15 season. NZ Avocado chief executive Jen Scoular announced the new record volume which was 43 percent higher than last season, up from a previous industry high of 6.1 million trays sold in 2011-12, a great industry return. “Growth in the consumption of avocados in our key markets continues to be very impressive. “The Australian market performed very well for us, with strong matching of supply and demand by our exporters. “Demand for our premium produce is growing in emerging Asian markets like Singapore, Thailand and Malaysia,” said Jen. “The New Zealand market performed well, with new collateral and increased engagement within the sector. “To have achieved sales of $135m in our largest season to date, is a fantastic result and a credit to the hard work across the industry.” Avocado trees bear fruit irregularly so crop volumes vary

each year. When high volumes are produced, sales returns have historically decreased. But the industry has almost matched last season’s record sales of $136m thanks to strong consumer demand, a collaborative strategy across exporters and New Zealand marketers and efforts to manage volumes and develop new markets. “The New Zealand avocado industry is in great shape. We are working well together, jointly developing collateral and new markets, collaborating with resources and information and seeing real value being created across the industry,” Jen says. “Growers, packers, marketers and exporters are collaborating and sharing information which is helping improve orchard performance and drive sales growth. We’re very pleased with this season’s return.” A new orchard performance benchmarking system has been developed over the past two years to help measure R&D initiatives and motivate growers to produce higher and more consistent yields. “People are motivated by other people’s success and this system gives growers an incentive to improve their own orchard’s productiv-

300,000 700,000 1,000,000 1 1,000,000 3.34% 33,400 8,350 25,050 40,250 - 15,200

Hamilton 300,000 1,200,000 1,500,000 4 375,000 6.50% 97,425 24,356 73,069 69,000 4,069

By Greg Petrin Rototuna branch manager October is not far away and if the restriction is put in place then even more investors could come flooding into the Hamilton market which will swell prices and put downward pressure on rental returns. (Buy a house in Hillcrest for $445,000 returning 5.25 percent and the capital values increase to match Auckland returns of say 4 percent per annum and the value of the house would become $ 585,000) If a buyer was to invest now and these changes take place then not only would they get short term capital gains but their rental returns from their investments would stay solid. Don’t let Aucklanders take advantage of your market, invest in Hamilton now and enjoy a prosperous future. NB OPEX* costed at 25% of gross income, and Interest Cost** based on 5.75% fixed rate loan. The information in this publication is of a general nature only and is no substitute for personalised advice. If you would like advice that takes into account your particular financial situation or goals, please contact your Financial Adviser. The information has been published in good faith and has been obtained from sources believed to be reliable and accurate at the time of publication (June 2015). The opinions contained in this document reflect a judgment at the date of publication by the writer and are subject to change without notice. Past performance is not indicative of future performance and is not guaranteed by any party.

P 07 834 9570 M 027 801 9962 F 07 854 3837 VISIT www.eves.co.nz

WAIKATO BUSINESS NEWS June/July 2015

Tauranga CBD campus a step closer with signing of Heads of Agreement A tertiary campus in the centre of Tauranga is a step closer following the approval of a Heads of Agreement document.

he University of Waikato-led campus will be shared with the three other parties in the Bay of Plenty Tertiary Education Partnership: Bay of Plenty Polytechnic, Te Wananga o Awanuiarangi, and Waiariki Institute of Technology. The University of Waikato Council endorsed the Heads of Agreement between the university, the Bay of Plenty Regional

Council, Tauranga City Council, and the Tauranga Energy Consumer Trust. The parties have agreed on the conditions under which the regional contributions towards the project - land from Tauranga City Council; $15 million from the Bay of Plenty Regional Council; the $15 million from the Tauranga Energy Consumer Trust - are to be provided. The Tauranga CBD campus will be

Bay of Plenty Regional Council chairman Doug Leeder

developed by the University of Waikato on behalf of the Bay of Plenty Tertiary Education Partnership to enhance the existing network of tertiary campuses in the region. The university-led facility will provide purpose-built space for leading academics and researchers, postgraduate and undergraduate students, and for industry and community collaborations and commercialisation activities. The new campus in Durham St is expected to open to students in 2020. It will focus on programmes that relate to areas of regional activity, including marine, ICT and logistics. Further courses will be developed over time to support areas of economic and industry need in the Bay of Plenty. While formal signing of the Heads of Agreement will take place soon, work has begun on finalising funding agreements, appointing design and project teams, and appointing representatives to the trust that will oversee the project. University of Waikato vicechancellor Professor Neil Quigley says it’s an exciting milestone for the Bay of Plenty community, the university and the tertiary partners. “It’s important for the region that we can attract or retain young people who will make the Bay of Plenty even stronger,” he said. “This campus, which will be one of the most significant developments in the region in many years, will do that for the region.” Bay of Plenty Regional

University of Waikato vice chancellor Professor Neil Quigley Council chairman Doug Leeder is excited at the prospects of more students staying, or being attracted to, the Bay of Plenty and the business focused research and development opportunities. “The agreement on the Tertiary Campus shows the strength of our regional partnerships, and what can be achieved through vision and collaboration,” he said. “This campus will deliver improved educational and economic opportunities, and is a major part of our commitment to economic development through our Regional Infrastructure Fund.” TECT chairperson Bill

TECT chairman Bill Holland

Holland says: “TECT is extremely pleased that there has been agreement by all parties on the future direction of this project. “We have always believed that the university campus is an important and exciting project for the city and although there is still plenty of work ahead, this is a significant milestone.” Tauranga Mayor Stuart Crosby says having a worldclass university campus will play a major role in supporting the growth of the city by providing jobs and education that attract people and businesses from all over the world. “The campus will contribute

to the city’s culture and economy through research, reputation and building, and make our city more competitive. It simply can’t be built fast enough.” It’s expected that following the development of the campus, 8000 tertiary students will study in the Bay of Plenty over a 17-year period. It’s hoped that during its two stages of construction, the tertiary shared campus will provide more than $49 million in direct construction expenditures, $47 million in flow-on effects for suppliers and households, an estimated 427 construction jobs, and 272 tertiary operations jobs.

Two of Waikato’s future business entrepreneurs awarded MBA scholarships Two students at the University of Waikato’s Management School have been awarded scholarships that will give them a head start in their future careers as technology entrepreneurs.

ahl Lawrence, a civil engineer and former project development manager for Hamilton City Council, has been awarded the Corporate & Executive Education MBA Scholarship, worth $10,000, after achieving top marks in his class while completing Waikato’s Postgraduate Diploma in Management Studies (PGDip(MgtSt) last year. Tahl is now studying parttime for a Master in Business Administration (MBA) while working as general manager for The Startup Factory, a Waikatobased business incubation hub focused on e-commerce ventures,

established by the founders of torpedo7.co.nz and 1-day.co.nz. “Our mission is to develop business models utilising technology to disrupt and revolutionise the way that financial products and services are accessed by people and businesses,” says Tahl. When he first applied for the MBA, Tahl says he was: “Itching to continue learning and expanding my horizons. I was very keen to see how I could apply my skills in the entrepreneurial startup space.” A major highlight of Waikato’s MBA programme is that you get to work with some amazing people from a diverse

range of backgrounds and industries, which really brings classroom discussions alive, he says. “The majority of lecturers are also business consultants who are well-known in their field of expertise, meaning the content is very credible and relevant to today’s world. It can be put straight into practise in the real world,” says Tahl. “Coming from a background in engineering, I already had a fairly well-rounded skillset, and the MBA has complemented this brilliantly, building on my transferable skills. I’m pretty excited about the future.” Richard Kingsford, an electrical engineer and associate project manager for Beca, has been awarded the Waikato Chamber of Commerce Business Scholarship, valued at $7800, which covers half his course fees to study for part one of the Waikato MBA. He attends classes on Fridays and Saturdays, every second week. Richard won the scholarship based on his leadership potential, academic performance, and pre-

Waikato Chamber of Commerce Business Scholarship winner Richard Kingsford (right) receives his award from Chamber CEO, William Durning.

Corporate & Executive Education MBA Scholarship winner Tahl Lawrence (right) receives his award from Associate Professor Ed Weymes, the University of Waikato’s Associate Dean of Enterprise. vious management experience, which includes being part of the project team at CLM that helped to deliver the London 2012 Olympic Games. Richard says he’s hugely enjoying the coursework for the MBA so far, and believes it will significantly enhance his leadership skills and ability to lead large projects. “I thought it would be a hard slog, but I can honestly say that I’m reinvigorated and bouncing off the walls after classes. What you’re learning is so practical and relevant that it inspires all of your work, because you realise you’ve been given tools that you can apply straight away. I’m always working in teams, and our first paper was focused on how to develop and retain high-performance teams, so that was incredibly useful.” “By learning the language of business, I hope to create knowledge-based export opportunities for New Zealand by translating some of the great ideas that engineers have into environmentally-friendly, hightech market commodities, and

selling them to the world,” says Richard. “For example, photovoltaic cells and electric vehicles have the potential to significantly reduce New Zealand’s carbon dioxide emissions, but the market to fund a distributed charging system for electric vehicles is yet to be developed. There is the opportunity for a business and engineering-literate leader to create positive, sustainable change for the community and the environment.” The Corporate & Executive Education MBA Scholarship and the Waikato Chamber of Commerce Business Scholarship are both offered every year, with applications closing in late March. Dr Colleen Rigby, director of Waikato’s MBA programme, says the two-part MBA is suitable for managers who wish to step up into more senior leadership roles or directorships, as well as business entrepreneurs looking to add best practice management skills to enhance the performance of their business. “The style of learning is

highly interactive and draws on participants’ own business experiences, so they can apply the latest research and ideas directly to their own workplace situation.” Topics covered in MBA classes include the global business environment; financial markets and investment decision-making; strategic planning; organisational behaviour; effective communication; designing integrated marketing campaigns; human resource management; developing high-performing teams; managerial accounting; global logistics and operations management; and commercial and employment law in New Zealand. The two scholarships were formally presented to Richard and Tahl by Waikato Chamber of Commerce CEO William Durning, and Associate Professor Ed Weymes, the University’s Associate Dean of Enterprise (Corporate and Executive Education), respectively. For more information about Waikato’s PGDipMgtSt and MBA programmes, see www. management.ac.nz/exceed

marketing, signage and branding

WAIKATO BUSINESS NEWS

June/July 2015

Alexandra Images scores an important gold medal for design excellence at 2015 awards Success knocked loudly on the door of Alexandra Imaging in Te Awamutu after an impressive rebranding project spilled from their design department.

t led to Alexandra Images being the only gold medal winners in the Corporate Brand (Interpretation and Delivery) category at the 2015 New Zealand Sign & Display Awards in Rotorua. While owner Ange Mason was recognised for her work in creating a new corporate image for local company, Fuel Storage, and receiving the gold medal for corporate branding as well as a bronze for in-house design, she was quick to explain it was very much a team effort. She congratulated her

designer Elliot Norton who played a big part in the artwork and production man Blair Shaw who made sure the final processes all happened on time and to a high standard. Ange said: “The whole team of signwriters and designers at Alexandra Images are qualified.” The winning design was produced on behalf of Te Awamutu company Fuel Storage whose principals headed to Alexandra Images for a rebrand. “Ange and the team having the ability to produce all of

this work in-house was fundamental in keeping up with the high demand as well as ensuring a high quality consistency across all branding elements,” said Regan from the company’s Bond Road site. The McFall family was thrilled when they heard the news of Alexandra Images’ win. They realised that Ange and her team had put in the long hard yards to make Fuel Storage stand out and the effort had paid dividends for both companies. Alexandra Images signwriter Blair Shaw was also awarded a bronze medal for his work creating a vehicle wrap for the A La Cart food truck. For more information on this winning imaging company, based at 439 Sloane Street, go to www.alexandraimages.co.nz or phone 07 870 2243.

Alexandra Images team, from left to right: Elliot Norton, Toni Taylor, Ange Mason, Blair Shaw and James Pilkington.

Congratulations all round…Lucin (left) and Regan McFall from Fuel Storage with Ange and the gold medal her company Alexandra Images won at the 2015 awards.

Signwriter Blair Shaw and Ange in the process of wrapping a vehicle.

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WAIKATO BUSINESS NEWS June/July 2015

marketing, signage and branding

WAIKATO BUSINESS NEWS

Metro Marketing – ticks the right boxes for clients At Metro Marketing not only do we produce great creative, we do it based on smart thinking. For us it isn’t about winning awards. It’s about sharing the results of our marketing with our clients and seeing and sharing their excitement. We feel strongly about making a real difference to the businesses we work with. And we think first and act second. Metro Marketing provides a complete marketing solution so that every piece of the puzzle fits together perfectly to create the best results. That means becoming a part of our client’s team. It is about data and best practice which is why our Google partnership means so much to us. Google has watched our performance over a period of time and given us

their stamp of approval. We also bring our five Es to every client – energy, enthusiasm, expertise, experience and entrepreneurship. Marketing has changed dramatically over the last 10 years and not only has Metro Marketing seen those changes, it has embraced them. The company is excited about where marketing has come and the new opportunities it presents. And while many NZ businesses struggle to keep up with these changes Metro Marketing ensures the right marketing boxes are ticked for their business. Because marketing has become so multidisciplinary it is impossible for one person to be able to cover all marketing areas effectively.

This is why Metro is your out-sourced marketing department. Metro Marketing has skill sets across all areas of marketing – consultancy, strategy, creative, digital, public relations and event management allowing us to piece together the puzzle from a big picture point of view (think first), and then get in and do the ‘doing’ work (act second). If you’re not sure if your marketing is working for you we would like to offer you up to one hour of our time for free. Rachel is our Hamilton marketing consultant and can meet with you to review your marketing and provide her feedback. Check out the advertisement below for our contact details.

June/July 2015

Half year profit up UDC Finance has lifted net profit after tax to $28.4 million for the six months to March 31, an increase of 10 percent on the corresponding half last year. Increases in investments and lending, a low cost-to-income ratio and low provisions were key contributors to the result, which was a record for UDC. The business has grown customer investments by six percent, to $1.63 billion, and lifted loans and advances by seven percent compared with last year’s first half. UDC CEO, Tessa Price said: “These record results are a credit to the UDC team whose hard work, productivity and sound cost management have seen us build further on our achievements. “By growing investments and loans we’re playing a valuable part in the New Zealand success story – supporting vital business purchases of vehicles, plant and equipment while enabling Kiwis to invest in the growth of New Zealand firms and the economy.” UDC’s diversified portfolio continues to drive lending growth, with particularly strong performance in road freight (lending up 15 percent on the same period last year) and car loans (up 13 percent, with loans for new cars up 23 percent). “Through our lending to sectors such as road freight we’re helping businesses deliver to strong demand from consumers whose confidence, supported by low interest rates and a high dollar, is also feeding sales of big-ticket items such as cars,” Tessa said.

Joanne Poole Waikato Business neWs There are new faces everywhere in a growing city. We even have one at our place. Meet Joanne Poole who joined the Business News advertising sales team just recently and is busy making a hit with her sizeable raft of contacts. Joanne knows that every successful advertising business is built on great teamwork with the number one focus being on clients. The same applies to all areas of her work and family life. While living in Te Kuiti, she has been working in Hamilton for the past 10 years and finds the commute an easy one. Hamilton is a growing city, says Joanne who spent time at the local Waitomo News before stepping out into the larger world of selling Yellow Pages advertising then progressing to Grab One sales.

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“I feel I have come a complete circle…back in print media (we have email editions as well which are very well received and rapidly growing readership) and looking forward to building long relationships within the Waikato business community.

Joanne takes her role seriously and claims to be a people person whose primary focus is on providing excellent service. “I am passionate about my job and love what I do,” she said. So touch base soonest at joanne@wbn.co.nz

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Business News

Phone 07 838 1333 Mobile 021 507 991 email joanne@wbn.co.nz www.wbn.co.nz

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WAIKATO BUSINESS NEWS June/July 2015

Consumer law reform – what does this mean Law Matters for your business? > Recent changes to consumer law are now in effect and designed to strengthen the rights of consumers and simplify business compliance.

he changes impact on the way you do business with your customers, and potentially require some changes to your current business practices and documentation. Below summarises some of the key changes to the Consumer Guarantees Act and the Fair Trading Act to help you consider whether your business needs to update some of its practices or documents. Consumer Guarantees Act 1993 Delivery guarantee: If your business delivers goods to customers, a delivery guarantee (goods arriving in acceptable condition and on time) applies. Your business will need to provide a remedy if the goods arrive damaged or late. “Late” meaning the goods don’t arrive on time or within an agreed period. If no agreed period, the goods must arrive within a reasonable time. Online transactions: Online transactions, including goods sold at auction, or by competitive tender, are now covered by the CGA. Even if your business sells its goods or services via smart phones or other devices, it’s bound by the CGA. Fair Trading Act 1986 Contracting out: In some instances, parties in a business

to business transaction may contract out of the FTA, but only where it is fair and reasonable to do so. Unsubstantiated representations: A business cannot make claims about its goods or services that it cannot substantiate with evidence and have reasonable grounds on which to make them. Extended warranties: Any warranties your business sells in addition to those under the FTA must be explained to customers. Customers then have five working days in which to cancel the warranty purchase if they choose. Uninvited direct sales: A customer has five working days to cancel any uninvited direct sale if approached by your business at home, work, in person or by telephone. Unsolicited goods and services: Your business cannot demand payment for goods or services a customer hasn’t requested. Selling online: If your business sells goods and services online, it must identify itself as a trader. This must be clear on your website, or in any advertisements or online auction listings. Layby sales: There is new information that you must provide to customers about the terms of laybys and

cancellation rights. Unfair contract terms: Inclusion of unfair contract terms in standard form consumer contracts is now prohibited. This applies to contracts entered into on or after March 17, 2015 and to existing standard form consumer contracts renewed or varied after that date. The Commerce Commission has the power to determine certain clauses are unfair and unenforceable.

by Shelly Slade-Gully

Associate in the Commercial Corporate team Email: shelley.sladegully@nwm.co.nz / www.nwm.co.nz NEXT STEPS? If you are concerned about any of the above, consider the following steps: Review your standard form consumer contracts to ensure they do not include unfair contract terms. Introduce business processes to retain documentary evidence to substantiate repre-

Laroma Espresso Bar may be the newest kid on the café block in Hamilton right now, but owner Mark Hawes certainly is not. In fact, it’s a block he’s lapped a few times, since he started roasting coffee in Hamilton nearly 15 years ago. While he’s been away from the café scene for a few years, Mark has kept himself busy roasting and supplying many of the best cafes in Waikato with fresh, locally roasted beans.

But now he is back and better than ever, setting up the Frankton espresso bar complete with the new ‘Spirit Triplette’ espresso machine, hand built in the Netherlands by Kees Van Der Westen. “As far as we know we are working the only machine of its kind in Hamilton. There are only a small number of these being used in New Zealand, and around 200 in the world,” said Mark. It’s a considerable invest-

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sentations made in trade, and to provide layby documentation. Review contracts to ensure any extended warranties, laybys and sales terms comply with the new laws. Where appropriate, contract out of the FTA in business to business contracts.

ment, but one the passionate coffee roaster says is worth it. The Spirit is the pinnacle of coffee machines. It gives the barista complete control over the brewing parameters; its multiple boilers allow the barista to control the temperature of each group independently, vital for getting optimal extraction from the various single origin coffees Laroma offers. “Aside from all that, it’s simply a beautifully crafted machine and a stunning focal point in this modest space,” he said. After closing Laroma Café in Somerset St in 2010, Mark wasn’t initially looking to set up shop elsewhere in a hurry, but business continued to grow and he found the ideal space that fitted the bill for a funky bar. Both Mark and barista Rob are passionate about coffee, offering only the highest quality premium blends as well as their specialty single-origins. “We plan to always offer a

choice of beans and a changing selection of fresh crop single origin and estate coffees for the more discerning amongst Hamilton’s coffee lovers.” The pair also plans to offer manual pour-over filter coffee prepared with Chemex and V60, as well as their 16-hour process ‘cold brew’. “This allows customers to really get the full experience of the interesting flavour profiles of specialty coffees. We also offer a selection of tasty treats, and are expanding the food selection, but are also happy for customers who want a specialty coffee to come in and enjoy that over lunch that they’ve picked up from somewhere else.” Laroma Espresso also sells beans and ground coffee for take home use, as well as a variety of coffee accessories from their Lake Road Espresso Bar. Check out their Facebook page to find out more.

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WAIKATO BUSINESS NEWS

June/July 2015

The Privacy Act and protecting children – what CAN you share? The word ‘risk’ has in recent years become a familiar word in management models that is impossible to avoid. By Summer Reid

ven the very origins of the word denote this derived from a Greek navigation term ‘rhizikon’ as a metaphor for ‘something that is difficult to avoid in the sea’. The most effective way we can avoid risk entirely is to not do anything. However sometimes we have to act, and that entails risk. Privacy and information risks are a very real challenge faced by most businesses. Our customers trust us to use, manage and dispose of their personal information appropriately. When businesses misuse or manage this information poorly it can result in financial loss to the business, not to mention the significant damage to consumer confidence, reputation and credibility. For vulnerable children however, the outcomes of ineffective or mismanaged information sharing can be much more serious, possibly resulting in the harm or death of a child. The need for multi-disciplinary sharing of information has been highlighted in many inquiries and reports, and most recently the Government-led Children’s Action Plan. When it comes to the safety and wellbeing of a child, very often a team of people from different agencies and disciplines must share information to provide all the services

the child needs. However the most common perceived barrier to information sharing is around the Privacy Act. When the subject of privacy and information sharing is a child, what information is ok to share? Section 6 of the Children, Young Persons and their Families Act 1989 states that ‘the welfare of the child is paramount.’ While multi-agency teams (MATs) will always work with the interest of the child at the forefront, they must also make decisions about whether sharing information is appropriate, ethical and legal. While there are often complex circumstances involved, we must always consider: is this child better protected by the sharing of this information? The offices of the Privacy Commissioner and the Children’s Commissioner have co-developed a simple-to-use tool, called the ‘Escalation Ladder’. This tool provides the guiding rules to help practitioners decide which laws apply when sharing information about a child, and help ensure that they only provide as much information that is reasonably necessary. The first step of the Escalation Ladder is around anonymity. Disclosing information is always ok if you are not naming names. However when it

comes to the safety and wellbeing of a child this is not always helpful. For social service agencies and their employees to do that job effectively, they often have to consult with each other to ensure that the right kind of intervention is made. Many of these agencies may hold a vital piece of the puzzle, and so they can’t afford to be too cagey with their own pieces. If anonymity is not possible, the next step requires us to try to obtain consent from the client to share information, if it is in the

Child Matters speaking up for children

Child Matters, New Zealand’s specialist child abuse prevention organisation best interest of the child. This is not only a legal requirement, but it is ethical and often results in a better outcome when clients are made aware of the information being shared about them. In some cases it will be impossible or too risky to gain consent. This is where we really assess the element of risk for

the child. If there are clear signs of serious risk or threat to a child’s safety and wellbeing, the Privacy Act 1993 states that “disclosure of the information is necessary to prevent or lessen a serious threat.” When we feel there is a need to share serious information

about a child, there is always a reason for it. Sharing our concerns is a critical part of ensuring children can flourish in environments safe from all abuse. With the right understanding of the Privacy act and what information we can share, we can break down some of our barriers to speaking up for a child.

Nominations open for 2015 agribusiness leadership awards Nominations have opened for this year’s prestigious Rabobank Leadership Awards – recognising the contribution of outstanding leaders in New Zealand and Australia’s food and agribusiness industries. The annual awards, which are now in their tenth year, acknowledge the important role played by senior leaders in New Zealand and Australia’s agribusiness and agri-related industries with the Rabobank Leadership Award, which was last year won by the Australian Farm Institute’s Mick Keogh. A second award category now in its third year, the Rabobank Emerging Leader Award, recognises up-andcoming young leaders in the sector. In 2014, this award went to Bryce Camm from the Camm Agricultural Group. Both peer-nominated awards are open to nominations from individuals in the agribusiness

sector, with judges seeking nominees who create sustainable growth and prosperity at both a corporate and industry level, while demonstrating a wider commitment to society. Announcing the opening of the nominations, Rabobank Australia & New Zealand Group managing director Thos Gieskes is calling on leaders of the Australasian agribusiness sector to come forward and recognise significant achievers within the industry. “We recognise the importance of acknowledging those individuals who have gone above and beyond to make a profound and positive difference to the Australian and/or New Zealand food and agricultural industries,” Mr Gieskes said. “Without clear and innovative leaders, the global food and agribusiness sector will not realise its future potential – and

with the demands placed on the sector to do more with less, we must recognise those who have made a significant contribution to position our industry to rise to the challenges ahead.” Judging criteria for the Rabobank Leadership Award includes: • significant achievements as a senior leader in building, rejuvenating or expanding a business in the food, agribusiness or beverage sectors; • developed and communicated a clear vision and direction for sustainable growth and prosperity at both a corporate and industry level and; • as a good corporate citizen and demonstrates social commitment. Other past winners of the Rabobank Leadership Award include Sir George Fistonich, founder of Villa Maria Estate

in Auckland, Bega Cheese executive chairman Barry Irvin, and Australian pastoralist and company director Nick BurtonTaylor. Judging criteria for the Rabobank Emerging Leader Award includes: • up and coming leader, with an industry tenure of ten years or less and; • significant contribution to the New Zealand and/or Australian food, beverage and agribusiness sectors. Nominations for both awards can be made via the Rabobank Leadership Awards website at: https://rabobankleadershipawards.com/about-nomination, with nominations closing on Tuesday June 30. The award winners will be announced at the annual Rabobank Leadership Dinner, to be held in Melbourne at The Peak, Flemington Racecourse on Thursday October 22.

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WAIKATO BUSINESS NEWS June/July 2015

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1. New Hamilton Taxis general manager Andy Collins (centre) had his card drawn for a prize in the regular BA5 business card draw. With Andy is Chamber CEO William Durning (left) and Wayne Green, Doc (right) 2. Tahi Rangiawha, DoC and Julian Williams, Waikato Tainui 3. Kerry James, DoC and Andrew Buchanan-Smart, Chamber board 4. Mike Paviour and Lucy Roberts, DoC 5. Wayne Green, DoC (left) and William Durning (right) congratulate the ‘man in the middle’ Bill Smith who has achieved so much through his Avian Rehabilitation Trust. 6. Danielle Hart, Whaingaroa Environmental Centre; Dr Janelle Ward, Wildlife Health Solutions; Carisse Enderwick, DoC and Andy Benge, Once Upon a Time

Business After Five with NZMA 1. Leilani Lutui, NZMA; Heather Wickham, Wintec and Kristine Witehira, NZMA 2. Igor Maksimov, NZMA deputy campus manager, Chamber CEO William Durning and Campus manager Leanda Bekker 3. “Just a sip,” says Fiona

4. Grant Yercovich and Tania Hansen, In-Work NZ; Wendy Gallaher, Interface Financial Group and Lisa Anderson, Everest Group Ltd

WAIKATO BUSINESS NEWS

June/July 2015

Boutique Lodge Sarnia Park has the ‘magnificent’ label In the United Kingdom where large family homes are often steeped in history and because of their age may even play host to a ghost or two, here in New Zealand a boutique lodge like Sarnia Park near Cambridge would come under the banner of magnificent. By Mike Blake

uilt only 13 years ago in 2002 as a family home, Sarnia Park’s main building houses seven large bedrooms all with ensuite above the well thought out

entertainment rooms. The large home was masterfully planned, in the Georgian manor house style, by the original owner, Bob Atkinson, designed by Chibnall & Swan and built by Graeme Memberry. Bob immediately set about developing a wonderful garden

Sarnia Park boutique lodge…all style

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which today is recognised by the New Zealand Garden Trust as “A Garden of Significance”. At the northern side of the garden stands a chapel. It was once St Joseph’s church residing in the Mamaku Ranges. Before the move to Sarnia Park the church was deconsecrated and now holds the title of chapel. A skilled artisan reconstructed new leadlight windows using, as a model, beautiful scenes of native birds in their natural habitat. Rich in colour these are masterpieces in their own right. This is another option, within the boundary that is Sarnia Park, where a young bride and her groom can hold their wedding ceremony. For the past seven years Roy and Bev Gower and her family have been running the well-patronised Sarnia Park operation through its many offering from corporate events to weddings, dinner parties, private parties and simple weekends away. Special events like rowing at Lake Karapiro, the National Agricultural Fieldays at Mystery Creek and cycling at the Avantidrome see Sarnia Park full of contented guests. The two full-time chefs produce mouth-watering hors d’oeuvres for up to 200 guests in the function centre while seated dinner parties can dine in the Lodge on delicious local fare for a mere $75 for a three course meal. Sarnia Park is fully licensed. For those staying at Sarnia

FitnessJournal

Park, rooms are accessed by an elegant sweeping staircase as well as a lift and special wheelchair access. Full breakfast is included in the room rates. Events and marketing manager Holly Gower-Rudman says ‘The Park’ is always busy. “We have wedding bookings for 2017. The weddings keep us very busy through the summer months of January, February and March and it is steady through from September to May.” she said. For a wonderful stay, a dinner party with friends, or simply a delicious Devonshire Tea on a Sunday drive, consider Sarnia Park which is a Five star, Qualmark rated property a short distance from Cambridge. Check out Sarnia Park’s, website at www.sarniapark.co.nz. I believe you’ll be impressed.

At play in the Sarnia Park gardens

The rotunda on an island, a wonderful place for the wedding vows

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Sarnia Park is a gracious Georgian-style manor house set in 11 hectares of beautiful grounds. Functions are held in the Lodge, the Function Centre or the lovely grounds.

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ENquIRIES to: 151 Maungatautari Road, PO Box 1136, Cambridge Telephone: (07) 823 3421 • Email: info@sarniapark.co.nz • Web: www.sarniapark.co.nz

WAIKATO BUSINESS NEWS June/July 2015

New test for taxing capital gains on residential investment property Thinking of buying a residential investment property?

new ‘bright line test’ announced as part of the Government’s 2015 Budget will apply to tax gains from residential investment property sold within two years of purchase and will apply for properties bought on or after October 1 this year. Taxpayers will be taxed on the gains at their individual marginal rates and the gain will be included in their

Publisher

Alan Neben Ph: (07) 838 1333 Mob: 021 733 536 Email: alan@wbn.co.nz Sales director Deidre Morris Ph: (07) 838 1333 Mob: 027 228 8442 Email: deidre@wbn.co.nz

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Electronic Forwarding Editorial: News releases/Photos/Letters: mike@wbn.co.nz Production: Copy/Proofs: production@wbn.co.nz Subscriptions: kim@wbn.co.nz Waikato Business Publications Ltd specialises in business publishing, advertising, design and print media services. Waikato Business News has a circulation of 11,000, distributed throughout the Waikato between Tuakau and Turangi, and to a subscription base.

income tax return in the year in which the property is sold. The vendor’s main home, property transferred in a relationship property settlement or received from an inheritance, are excluded from the tax. It is not expected this tax will significantly increase Government revenue. Rather the purpose of this ‘preventative tax’ is to change the behaviours of property market investors, and ideally, ease the current pressure in the Auckland property market. The wider discussion around whether the tax is a capital gains tax by stealth, land tax or otherwise, is largely an academic one. No matter how you cut it, the tax is aimed at taxing the full economic income derived on the sale. The concept of taxing capital gains is nothing new. While

New Zealand does not have a comprehensive capital gains tax, capital gains are still taxed under current tax legislation in certain circumstances. Currently, gains derived from the sale of land acquired with the intention or purpose of resale are taxed. The intention at the time of acquisition is relevant so therefore any gains made from the sale of land held for more than two years may still be subject to tax under existing law. The new test will make the Inland Revenue’s (IRD) job easier when it comes to making an assessment of whether a taxpayer should be taxed on the sale of land. Currently, it can be difficult for IRD to find evidence of a taxpayer’s intention, particularly if they are a foreign investor for which the IRD does not have readily accessible information. Under the new test, the outcome is that the gain is taxable regardless of the taxpayer’s

Taxation and the law >

by Grant Neagle

Grant Neagle is a director in the Tax Team at PwC. Email: grant.t.neagle@nz.pwc.com intention when they acquired the property (unless it falls within the exemptions). Imposing a time frame to determine the taxability of a land or property transaction is nothing new. For example, the current rules tax any gains derived by a developer or dealer, if they sell a residential investment property within 10 years of acquiring it. This presupposes that they were carrying on their business of developing or dealing when the property was acquired. The current rules tax gains derived by a person disposing of land within 10 years

of acquiring it if they were associated with a developer or dealer at the time the property was acquired. Additional measures to bolster the enforcement of tax on property transactions include: Both New Zealand residents and non-residents buying and selling property (other than their main home) will be required to provide the IRD with their IRD number. Non-residents will be required to have a New Zealand bank account when registering for an IRD number. The Government is investigating a withholding tax for non-residents selling residen-

tial property. An extra $29 million will be spent over the next five years to enforce property tax compliance These measures and the proposed bright line test are a step towards ensuring both New Zealand and foreign property speculators pay their fair share of tax. The IRD intends to release a consultation document in July inviting feedback on the new proposals. The comments in this article of a general nature and should not be relied on for specific cases. Taxpayers should seek specific advice.

Using technology for recruitment Video screening tools Most employers are familiar with the benefits of using “two-way” video tools, such as Skype, to interview candidates who live overseas, or in another part of the country. However, there are now an increasing number of “one-way” video tools that support the recruitment process in the earlier pre-interview screening stages, while also offering a number of additional benefits. How do they work? For the most part, a one-way video interview tool provides candidates with an individualised login, gives them training to build their understanding of what to expect during the interview, then proceeds to ask them a number pre-set questions, and records their responses.

WaikatoBusiness P U B L IC AT I O N S

12 Mill Street, Hamilton PO Box 1425, Hamilton, 3240. Ph: (07) 838 1333 Fax: (07) 838 2807

Management and HR >

by lisa anderson

Human Resource Specialist, Everest Group Ltd Waikato HR Specialists | www.everestgroup.co.nz To be able to undertake the interview, the candidate will require a device with internet, camera and microphone capability. Candidates will be required to respond to each question within a given timeframe, to ensure the process remains succinct. Once completed, the system records their interview and the employer is invited to log in and view the recording. It is as easy as that.

What are the benefits? One-way video interview tools effectively replace phone screening within the recruitment process, but offer so much more in terms of; efficiency, accuracy, convenience (for both the candidate and employer), record-ability, share-ability and candidate insight. While the more traditional phone screening process provides the interviewer a taste of the candidate’s phone manner and communication style, adding a video component is much more revealing in terms of how the candidates present themselves, as well giving evidence of their non-verbal communication cues. Because video screening tools are more time efficient, this can also translate directly into cost efficiencies when compared with traditional phone screening. With video screening tools there is no time wasted chasing

candidates to set up interview times, or typing up interview notes at the end of the process. Instead, the candidate logs in at a time that is convenient to them, with multiple candidates logging in at the same time if required. Furthermore, recordings can be shared among the wider recruitment team and therefore vastly enhances the process of short-listing for face-to-face interview. Finally, video tools effectively level the playing field between candidates, by

asking exactly the same questions, and removes the chance of a “slick operator” building rapport with the interviewer and manipulating the outcome.Each candidate will have exactly the same opportunity to present themselves. When would you use it? While video screening tools are helpful when recruiting any role, at Everest Group, we have found that using these tools has provided an additional and very useful benefit, by giving us insight into how a candidate reacts when faced with a situation over which they have little control. Dealing with uncertainty, communicating when under pressure, IT capability, flexibility and adaptability are very important competencies for a large number of roles and the process of video screening tests specifically for these.

Autumn arrivals positive Continued growth in holiday arrivals from Tourism New Zealand’s target markets has resulted in a record-setting autumn, with total holiday arrivals up 16.5 percent for May. Statistics New Zealand data, shows total visitor arrivals for the

year up 6.9 percent and holiday arrivals up 9.8 percent. Tourism New Zealand chief executive Kevin Bowler says: “It is fantastic to see such strong visitor growth extending well past the traditional holiday season. The US and Germany were outstanding performers over summer."

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