Bay of Plenty Business News June/July 2018

production3

From mid-2016 Bay of Plenty businesses have a new voice, Bay of Plenty Business News. This new publication reflects the region’s growth and importance as part of the wider central North Island economy.

Bay of plenty

JUNE/JULY 2018 VOLUME 3: ISSUE 6 WWW.BOPBUSINESSNEWS.CO.NZ FACEBOOK.COM/BOPBUSINESSNEWS

The evolving

employment

environment

We examine the challenges faced by

educationalists and employers in meeting

the demands of the fast-growing BOP job

market.

By DAVID PORTER

Much has been made of

the contribution the

University of Waikato

(UoW) campus will make in

revitalising Tauranga’s CBD

when it opens, ahead of schedule,

early next year.

But it will above all play a

crucial role in helping the Bay

educate and retain the young

talent needed to support and

build on the economic growth

that has been a feature of the

region in recent years.

The downtown campus

expects to open with at least

700 students enrolled, says vice

chancellor Alister Jones. As he

points out, there are already

close to 600 UoW students

being educated in the city.

However, the campus is just

the most visible recent example

of what has been a multifaceted

effort by the region’s unique

Tertiary Education Partnership

(TEP) to collaborate closely

on meeting the Bay’s tertiary

needs. The three key partners

- the UoW, Te Whare

Wananga o Awanuiarangi, and

the Toi Ohomai Institute of

Technology - recently signed

a renewed agreement to continue

what has been several

years of productive cooperation

aimed at responding to a

changing job market.

“The current generation is

really going to be looking at

multiple jobs over their careers,

so the notion that there’s now a

straight line career path, as

with their parents, is no longer

going to apply,” said Jones.

Wiremu Doherty, chief executive

of Te Whare Wananga o

Awanuiarangi, said in a recent

statement that it was exciting

and unique to have a university,

a polytechnic and a whare

wananga working together

to provide a broad-spectrum

approach for students seeking

tertiary education.

“Greater flexibility and

seamless movement for students

between organisations is

key,” he said.

Grappling with change

The tertiary partners, along

M.Bovis

Learning from the Psa

experience.

P12

The University of Waikato campus: On schedule for 2019 opening. Photo/UoW.

Leon Fourie.

Photo/Toi Ohomai.

with private training organisations

and groups, recruiters

and employers across the

Bay’s wide range of companies,

have all been grappling

with how they will meet the

increasing need for enough

flexible and skilled workers to

service current growth projections

in the region.

Priority One chief operating

officer Greg Simmonds,

the long time TEP lead for

Alister Jones. Photo/UoW.

the Bay of Connections, says

accessing talent is probably the

area’s biggest challenge and

biggest constraint on productivity

growth.

“Just in the Western Bay

of Plenty, Smart Growth’s

projections show the region

will generate 40,000 new jobs

over the next 30 years,” said

Simmonds.

“We are producing more

jobs than we have people to fill

New Faces

Bay business people

making an impact.

P13

them. Broadly speaking, for

every 10 people that leave the

local workforce, there are only

eight people to replace them.”

The Bay has had high population

growth, he said, but also

high job growth.

“The total net migration of

working age is less than the

increase in jobs.”

Bernadette Ryan-Hopkins,

director of Ryan and

Alexander, which focuses on

management-level recruitment,

said the firm had seen

a big shift.

“When we first launched

two years ago, we had a very

heavy flow of high quality

candidates and a huge amount

of enquiries, particularly from

Auckland, but also other parts,

looking to move here, “ she

said. “That flow has really

ebbed and we believe the core

reason is rising housing costs.”

That said, Tauranga and the

Bay were still more attractive

than many areas of New

Zealand, especially for people

with young families, she

added.

There are mixed views on

how well the region’s educators

and trainers are doing at

providing employers with a

flow of the right kind of staff.

Traditional models

under threat

Tauranga Chamber of

Commerce chief executive

Stan Gregec says the traditional

model of tertiary education

is under huge pressure.

“The whole qualifications-based

approach that

universities and polytechs are

wedded to, is no longer fit for

purpose to cater for the needs

Continues page 3

Commercial property

The BOP market is

still buoyant.

P16


2 BAY OF PLENTY BUSINESS NEWS June/July 2018


The evolving employment environment

From page 1

of a rapidly moving labour

market in the digital age,”

he said.

Businesses want workready

employees, which

doesn’t just mean they have

the right skills on paper to do

the job. It also means having

the right attitudes and aptitudes.

And not all of this can

be easily taught in a university

or polytech environment.

“Our local institutions are

well aware of these pressures.

I think they are moving as fast

as they can to respond, but it

is not easy turning a very long

ship around.”

Mark Wynne, chief executive

of major regional employer

Ballance Agri-Nutrients, says it

can still be a challenge to attract

middle and senior management

talent as there are limited career

When more people

enter the workforce

by leap-frogging

tertiary training, the

responsibility for

that training falls

on the employer.

This is where close

collaboration between

industry and education

is required.

– Leon Fourie

COVER STORY

options in the Bay outside the

handful of large corporates.

However, it was relatively easy

to recruit junior professional

management with a few years

experience.

“We also have roles that may

benefit from [new] graduates,

but we are focused on ability,

competencies, critical thinking

skills and potential leadership.

We will teach the rest.”

As a general rule, all institutions

could focus more on

four areas, said Wynne. These

are: 1) critical thinking / problem-solving

skills, 2) Finance

for non-finance managers, 3)

Communication skills, and 4)

Information Technology skills,

as these are now core in all roles.

Multiple response needed

Toi Ohomai chief executive

Leon Fourie says providing

relevant tertiary education in a

changing job market requires

responding at multiple different

levels.

The portfolio of qualifications

has to be continually

reviewed to meet the future

needs of the region and to

reflect the region’s key industries,

vocations and skill set

requirements, and demography,

said Fourie.

“While we have some ability

to alter the specifics of programmes

to meet employers’

changing technical requirements,

what we most often

hear is that employers are able

to manage that kind of training

on the job. It is more important

for us to be providing the fundamentals

of an area and a set

of ‘soft skills’ that the modern

workforce requires.” (see box

on page 5)

Fourie said that where Toi

Ohomai had existing programmes,

it was analysing

enrolment and graduation

trends to determine whether

the pipeline of potential

employees matched forecast

demand.

“A good example of how

this can work is the construction

industry where, as we all

know, employment forecasts

show huge growth in demand,”

he said.

“Of our existing construction

programmes, carpentry

has been consistently full and

seemed to be meeting local

demand. Deeper investigation

revealed that a significant

proportion of the additional

demand will be in allied trades

such as plumbing, which we

did not offer, and electrical,

which was not as well subscribed.

We are now developing

a plumbing programme and

looking at ways to strengthen

the electrical pipeline.”

However, Fourie said

despite working to ensure there

were relevant programmes,

that would not matter if Toi

Ohomai failed to get the enrolments.

“This is perhaps the thing

most overlooked when discussing

the issue of meeting

the demands of the employment

market,” he said.

“When more people enter

the workforce by leap-frogging

tertiary training, the

responsibility for that training

falls on the employer. This

is where close collaboration

between industry and education

is required. Current

examples include the Action

Greg Simmonds

We are really seeing

a huge effort to

understand regional

dynamics, industry

drivers and future

demand, and at

quite a localised

level are seeing

quite successful

programmes being

developed.

– Greg Simmonds

Groups for Freight & Logistics

and Forestry & Wood, which

are making excellent progress

on building the workforce

pipeline and providing new

delivery models.” (see story

on page 5).

Alister Jones emphasised

that while the tertiary partners

collaborate closely, they are

focused on different parts of

the market, with the university

focused on ensuring that

BAY OF PLENTY BUSINESS NEWS June/July 2018 3

students were well educated

to work in a global system,

with critical thinking, domain

knowledge as a broader cultural

awareness, which was important

given the number of Bay companies

involved in exporting.

“We’re also seeing is a lot

of students doing a first degree

and then really specialising in

a masters level,” he said. “The

employment outcome for people

with an degree has better social

health and economic outcomes.”

The chamber’s Stan Gregec

said the stories about the coming

wave of automation were

scary for people hanging their

hopes on traditional education.

“But there’s a disconnect

between what employers want

now and what they are likely to

need in the future, say in five

or 10 years. Tertiary providers

are caught between a rock and

a hard place because of this.

Do they focus on today’s needs

or prepare students for tomorrow

– and beyond?

“We somehow need to find

ways to give people faster,

more responsive training for

current opportunities, as well

as preparing them - maybe

quite differently - for facing

future challenges. It’s all about

laying the foundations for lifelong

learning, not front-loading

people with degrees and

qualifications that will not necessarily

stay the course.”

Alister Jones says the university

looks at its role both

globally and nationally.

“We talk to our stakeholders,

employers, parents

- we take all their interests

into account,” he said. “The

engagement with employers is

very important. But we need to

look at not just what employers

need today, it’s what they

will need tomorrow - a 20-to30

year timeline.”

Priority One’s Greg

Simmonds said the TEP had

been aware of the changes

and challenges for some time,

which was a major component

in why the partners had

been working so constructively

together.

“It’s also a big part of why

the university is developing its

campus here, because we need

to be able to not only retain

people, but also attract them

to the region, including young

people,” he said.

“We also need to be able to

ensure that the largely youthful

Maori population is able

to engage effectively with the

education system at both the

compulsory and tertiary level.

We are really seeing a huge

effort to understand regional

dynamics, industry drivers and

future demand, and at quite

a localised level are seeing

successful programmes being

developed.

“The other key element of

the job market is an increasing

demand from employers

for “stackable” or shorter tertiary

programmes that enabled

workers to remain in their jobs

continuing to upskill. And also

for micro credentials to recognise

specific work experience,”

said Simmonds.

“I think we are seeing the

education system evolve. It is

responding to what a number

of employers have been asking

for. Employers can train for

technical skills - what they

need are job seekers with good

soft skills.”


4 BAY OF PLENTY BUSINESS NEWS June/July 2018

CONTACT

INFORMATION

PUBLISHER

Alan Neben

Ph: (07) 838 1333 Mob: 021 733 536

Email: alan@nmmedia.co.nz

SALES DIRECTOR

Deidre Morris

Ph: (07) 838 1333 Mob: 027 228 8442

Email: deidre@nmmedia.co.nz

EDITOR

David Porter

Mob: 021 884 858

Email: david@nmmedia.co.nz

STUDIO MANAGER

Tania Hogg

Ph: (07) 838 1333

Email: production@nmmedia.co.nz

GRAPHIC DESIGNER

Kelly Milne

Ph: (07) 838 1333

Email: kelly@nmmedia.co.nz

ADVERTISING

INQUIRIES

Please contact:

ACCOUNT DIRECTOR

Vanessa Lee

Mob: 021 715 225

Email: vanessa@nmmedia.co.nz

BUSINESS DIRECTOR

Pete Wales

Mob: 022 495 9248

Email: pete@nmmedia.co.nz

ELECTRONIC

FORWARDING

EDITORIAL:

News releases/Photos/Letters:

david@nmmedia.co.nz

PRODUCTION:

Copy/Proofs:

production@nmmedia.co.nz

SUBSCRIPTIONS:

info@nmmedia.co.nz

Neben Morris Media specialises

in business publishing,

advertising, design and print

media services.

Bay of Plenty Business News has

a circulation of 8000, distributed

throughout Bay of Plenty between

Waihi and Opotiki including

Rotorua and Taupo, and to a

subscription base.

Bay of Plenty Business News

Suite 4, 117 Willow Street

Tauranga, 3110

Bay of Plenty

www.bopbusinessnews.co.nz

12 Mill Street, Hamilton

PO Box 1425, Hamilton, 3240

Ph: (07) 838 1333

Fax: (07) 838 2807

www.nmmedia.co.nz

From the editor

This month Bay of Plenty

Business News takes an

in-depth look at what

Priority One’s Greg Simmonds

says could the Bay’s biggest

challenge and constraint on

productivity growth - accessing

the right talent to keep

up with what has been a consistent

pattern of economic

growth across the region.

We talked to a wide range

of tertiary educators, training

organisations, recruitment specialists

and business people

to get a clearer picture of the

challenges the region faces.

There has been a multifaceted

effort by the region’s

unique Tertiary Education

Partnership (TEP) to collaborate

closely on meeting the

Bay’s tertiary needs.

The three key partners -

the University of Waikato,

Toi Ohomai Institute of

Technology, and Te Whare

Wananga o Awanuiarangi

- recently signed a renewed

agreement to continue what

has been several years of pro-

ductive cooperation aimed at

responding to a changing job

market.

As university vice chancellor

Alister Jones observes:

“The current generation is really

going to be looking at multiple

jobs over their careers,

so the notion that there’s now

a straight line career path, as

with their parents, is no longer

going to apply.”

Despite reservations by

some as to whether the education

sector is achieving its

objectives, there is clear evidence

that educators are working

closely with business to

try and produce well-educated,

adaptable employees with the

skills to succeed in the workplace.

The Mycoplasma Bovis

has yet to drastically hit the

Bay. Some local farm leaders

feel the Ministry of Primary

Industries is on the right pathway

to potentially eradicate

the cattle disease. And some

of the lessons learned from the

Bay’s success in dealing with

University of Waikato campus on track for opening next year.

David Porter

the Psa outbreak may offer

promising scientific leads.

In the meantime, as BOP

Federated Farmers president

Darryl Jensen warns, local

farmers will be well advised

to treat their farms “like a

fortress.”

The current estimated cost

of eradicating the debilitating

cattle disease has a price tag

of about $800 million. But this

pales against the cost of trying

to contain and live with the

disease, which could be $1

billion-plus.

Join the Ingham Mora team

and guest speaker Mark Jenkins for:

7 WAYS TO

GROW YOUR

BUSINESS

The many faces of Ingham Mora

In business the best advice comes from experience. What’s more,

the depth of that experience profoundly influences the quality of the

advice. At Ingham Mora we believe the unrivalled experience of our

senior partners combined with our innovative, energetic and forwardthinking

new directors delivers our clients, quite simply, more.

And who doesn’t want that?

What does better business advice look like?

You’re looking at it.

• Learn how to set a roadmap and

dashboard for your business

• Discover how to measure and

maximise business efficiency

• Learn how the 7 ways impact

your profit and cashflow

When: 29 August 2018

Where: Tauranga Yacht Club

Cost: Early bird $30 - after 13 July $35

Register: eventspronto.co.nz/7ways

Experience. The difference adds up.

All seminar proceeds will go to Graeme Dingle Foundation BOP

07 927 1200 | 60 Durham St, Tauranga | www.inghammora.co.nz


Planning for workforce development

One of the key issues facing Bay employers is how they will meet

the workforce demands created not only by the expected growth

in booming horticultural sectors such as kiwifruit, but also for

major new infrastructure developments.

John Galbraith, the

chairman of the Bay of

Connections Freight

Logistics Action Group

(FLAG) pointed to some of

the challenges in the Eastern

Bay of Plenty.

“There’s been significant

development by economic

development agencies, Toi

Ohomai and others in drawing

up workforce development

plans in Opotiki and Kawerau

to match emerging demands

from growth industries there,”

said Galbraith.

“We’ve been aware for

some years now that workforce

demands would be a really big

part in the success of some of

the big projects in places like

Opotiki aquaculture and the

new mills in Kawerau.”

Galbraith said the workforce

development plans

looked at matching up expected

work and potential employees,

ideally locally.

“The link is the training and

pathways,” he said.

“In some cases there is a

simple education pathway. In

others there are [social] challenges,

with issues of drugs,

lack of driver licensings etc,

which is quite an important

sub set of the workforce plan.”

Galbraith said in his experience

great work was being

done in the regions in drawing

on local employees who might

have otherwise been written

off, and who had become very

successful operators.

“I don’t think we’ll ever

get a 100 percent match up

between local needs and suitable

local workers [in some of

these areas], but at any level,

we have enough evidence that

it is absolutely achievable.”

We’ve been aware

for some years

now that workforce

demands would be

a really big part in

the success of some

of the big projects in

places like Opotiki

aquaculture and

the new mills in

Kawerau.

– John Galbraith

FLAG is also working

closely with Toi Ohomai on

such fundamental issues as

ensuring school leavers get

driver’s licences and can

access training pathways to

heavy vehicle work.

Toi Ohomai chief executive

Leon Fourie cited the

example of the Road Transport

Cadetship programme being

rolled out in semester 2.

“This provides a 15 month

training programme from

which students will exit with

truck driving qualifications,

driver licences including forklift

and Class 3, 4 and 5 licences,

health and safety qualifications

and computing skills,”

he said.

“These graduates will be

able to move into management

roles in the transport industry

or further develop their skills

in specialist distribution.”

Kiwifruit Growers Inc. NZ

has also been working closely

with Toi Ohomai and the

Primary ITO to create a more

sustainable workforce.

KGI chief executive Nikki

Johnson said training wasn’t as

much of an issue for seasonal

workers, though the organisation

was working to get more

flexibility in the education

system to recognise micro credentials

based largely on workplace

experience.

“On the permanent employee

side, we’re just completing

an industry analysis, so we

understand better what jobs

we’ll have available over the

next 10 years, how many people

will leave the industry, how

many people we need to bring

on, and what kind of training

we need in place to do that,”

WiFi Calling is coming

to an iPhone near you

Following the successful

launch of WiFi Calling

on Android devices late

last year, 2degrees is pleased

to offer WiFi Calling on

iPhones, starting immediately.

This brings the total number

of customers on 2degrees who

can take advantage of WiFi

Calling to over 350,000 and

growing.

Compatible devices

WiFi Calling allows

customers who are outside

mobile coverage areas to make

calls and send and receive

text messages over the WiFi

connection, without missing a

beat.

iPhone customers on

2degrees can initiate highquality

calls over WiFi using

their own phone number when

Currently, WiFi Calling is available for any 2degrees customer with a:

Samsung Galaxy S9 and S9+*

Samsung Galaxy Note 8*

Samsung Galaxy S8 and S8+*

Samsung Galaxy S7 and S7 edge*

Samsung Galaxy A8 and A8+*

Samsung Galaxy J7 Pro*

Samsung Galaxy J5 Pro*

Samsung Galaxy J3 Pro*

Samsung Galaxy J7 Prime*

Samsung Galaxy J5 Prime*

Samsung Galaxy A7 (2017)*

Samsung Galaxy A5 (2017)*

Samsung Galaxy A5 (2016)*

COVER STORY

Phone X

iPhone 8 and 8 Plus

iPhone 7 and 7 Plus

iPhone 6s and 6s Plus

iPhone 6 and 6 Plus

iPhone SE

iPhone 5s

Huawei P20

Huawei P20 Pro

a strong cellular signal is

unavailable.

Chief Marketing Officer

Roy Ong says as New Zealand’s

only mobile carrier offering

WiFi Calling, 2degrees sees it

as a major point of difference

from the other carriers.

“Building materials

can interfere with cellsite

transmission resulting in

patchy coverage inside your

home or office and the nature

of New Zealand’s topography

means we will always have

pockets where coverage

doesn’t quite meet customer

expectations. With WiFi

Calling customers can continue

calling and texting regardless

of their mobile coverage.”

While 2degrees’ network

covers 98.5% of places

Kiwis live and work, and

the huge level of investment

in telecommunications

infrastructure in New Zealand,

all networks will have isolated

coverage challenges, but Wifi

Calling helps address that.

“It’s also ideal for customers

roaming overseas who want

to manage their phone bill.

Using Wifi Calling means the

customer can make calls using

WiFi networks. It’s a safe, cost

effective alternative for those

on a budget as customers are

charged as if they were in New

Zealand.”

2degrees launched WiFi

Calling on the Samsung S8

and S8+ phones and has now

BAY OF PLENTY BUSINESS NEWS June/July 2018 5

John Galbraith/Photo/Supplied.

Nikki Johnson, Photo/Supplied.

assumption on the basis you

can’t grow without qualified

people. All of New Zealand’s

horticultural industries need

new people.”

– By DAVID PORTER

Ready to work aspirations

said Johnson.

of our education providers are

KGI had a long relationship

with tertiary providers and needs in the future.

providing us what the industry

training organisations, she said. “We don’t have any data to

“But we now have more of suggest we risk facing a shortfall,

but that would be a logical

a focus on making sure that all

We do

Toi Ohomai has developed a graduate

profile that sets out its aims for graduates

that meet employer needs. These

include being:

• Work ready – Skilled and safe practitioners

with high levels of honesty, reliability and

integrity, and be able to manage their time,

work safely, respond positively to instruc-

• Technologically aware – Able to use

relevant technologies and will have a future

broadband,

focus understanding and adapting to changes

in technologies within their industry.

• Culturally aware – Able to work respectfully

and empathetically with people from a

wide range of cultural backgrounds and form

professional relationships with a diverse

tions and feedback and be good team players. range of people.

They will be effective problem solvers and

business

those from technician and professional programmes

will be able to operate effectively professional practice. They will demonstrate

• Positive – Valued for their ethical and

and independently.

initiative and respond positively to change.

• Adaptable - With the skills to transfer • Prepared for further learning – Theywill

their knowledge and skills to different workplace

contexts and be able to work regionally, and be able to personalise their learning from

have the skills to engage lifelong learning

nationally and internationally.

experience and others.

and mobile

Because

you do too

To find out how 2degrees can help

your business contact Andy Bell

on 022 200 0256

extended that to include the

S9 and S9+, as well as iPhone

5s and all later iPhone models

running the latest iOS 11.3

software.

2degreesbusiness.co.nz

MC8864A BUS total telco FP BOP vertical ad V3.indd 1

“Customers don’t need to

subscribe to any new service -

they simply download the latest

iPhone software update from

Apple along with an update to

Service Provider settings and

Wifi Calling is automatically

included. They then enable it

whenever they want to use it in

their Phone settings.”


6 BAY OF PLENTY BUSINESS NEWS June/July 2018

COVER STORY

The importance of innovation

One of the key issues facing employers is

the importance of encouraging innovation

and entrepreneurship in the workforce.

Bill Murphy, executive

director of Enterprise

Angels, the country’s

biggest early stage funding

membership group, says tertiary

providers and other Bay groups

are increasingly involved in

fostering innovation.

“The University of Waikato

now has people involved in

programmes who are actually

reaching out to the commercial

sector in Tauranga around

the type of innovation programmes

we want to run here,”

said Murphy. “That’s a very

positive sign.”

Murphy said that hadn’t

always been the case in the

past. It wasn’t always clear

how much people were actually

learning when they were

taught innovation in a theoretical

setting.

“We find that [the university]

is now reaching out much

Ageing’s impact on the workplace

The following comments are an edited extract from a recent article by

Val Hayes, Public Affairs & Communications Manager, Employers and

Manufacturers Association.

We are facing a perfect storm

in the combination of an

ageing population, a low

birth rate, a labour shortage, a skills

deficit and the changing nature of

work.

The ageing population is a growing

trend around the globe, in particular

for first world economies.

However, by focusing on the workforce,

we are able to weave together

the strands of government, employers

and workers. EMA is leading a

working group targeting the ageing

workforce because we want to build

a cohesive approach that enables our

members to be ahead of the curve.

Here are some key facts. Across

Asia, the over-65 age group is set

to grow from 365 million in 2017

to more than 520 million by 2027.

For New Zealand, we will see our

over-65 age group double in about

20 years, from 650,000 now to 1.3

million by 2039. The under-14 age

group shows no signs of growth over

the same time period. Add to this

the deepening skills shortage New

Zealand is experiencing, combined

with a birth rate of 1.81.

This will manifest itself in several

of different ways:

• Proportionally, we will have a

declining cohort of younger workers

coming through the ranks (due to our

low birth rate)

• NZ will be competing for its

workforce on the global stage (ie

more to talk to companies,”

he said. “We’ve always been

happy to engage with the university

to provide mentors, real

life examples, and curriculum

content so they can actually

engage with the reality of

operating in an innovative

environment.”

Murphy said it was important

for young people to assess

for themselves where they sat

along the entrepreneurial spectrum.

Bernadette Ryan-Hopkins,

director of management

recruitment firm Ryan and

Alexander, says there has

been a shift towards companies

requiring more innovative

thinking.

“People need to be able to

adapt,” she said.

Lyn Parlane runs Priority

One’s InStep programme,

established back in 2002 to

match individual students with

local businesses to local career

opportunities through work

experience.

“The Instep programme

has since evolved to meet

the changing local and global

demand for a highly skilled

worked force,” said Parlane.

Innovation is a key focus

for InStep, along with with

collaboration and leadership,

in initiatives such as the Young

Innovators Awards (YiA) and

the Instep Young Leaders

Forum. Both initiatives have

increased in both student and

business participation.

“I believe this success is

due to a willingness from both

the region’s secondary schools

and wider community to collaborate

so that young people

understand the relevance

and importance of skills such

as critical thinking, effective

communication, creative problem

solving and citizenship

immigrants will decide where they

want to live and work)

• We will be competing with other

countries for NZ workers, (ie Kiwis

will be in demand and NZ will have

to be a desirable place for them to

live and work)

We are starting to see the impact

of an ageing workforce on some sectors

here. For example, with almost

24 percent of New Zealand’s workforce

aged 55-plus years, there are

only four to five teachers/nurses to

replace every 10 that will retire.

Similarly, a 2016 workforce

survey by the Royal New Zealand

College of General Practitioners

found 44 percent of all GPs plan to

retire within 10 years (up from 36

percent two years prior).

We need to find a way to unlock

the potential of older workers

and explore how public and private

employers are preparing for

an increasingly older workforce. In

the most recent EMA Employers

Survey, most employers (83 percent)

said they had no plans to address the

challenge this demographic change

will present.

As a nation we are comfortable

investing in the early stages of a

person’s training and career to set

them up for their working life. Yet,

we are relatively unsophisticated in

how we maintain this throughout a

person’s career.

We know that an increasing proportion

of mature workers are now

actively participating in the workforce.

The ageing workforce presents

opportunities for government,

for employers and for workers.We

argue that the ageing workforce is

an untapped resource that is underinvested

in and often overlooked.

within a real world context,”

said Parlane.

The Venture Centre is

another local organisation that

is playing a key role in fostering

innovation. It is currently

implementing the Digital

Enablement Project (DEP)

pilot, aimed at providing

access across the wider business

community to the right

tools to take advantage of the

opportunities provided by the

internet and digital technology.

The DEP has been developed

and implemented by

Venture Centre on contract to

Tauranga City and Western Bay

of Plenty District Councils.

Venture Centre co-founder

Jo Allum said the eagerness

and willingness of local people

to step forward to help others

succeed has been evident.

Since the pilot’s launch, nearly

100 local business owners

have contributed sponsorship,

pro-bono support and services

to help other locals succeed.

“Our business owners

struggle to know what the best

options for their circumstances

are,” said Allum.

“Our youth are not provided

with sufficient or appropriate

skills or understanding of

business goals to be of value to

owners. The benefits of having

different generations interact

are emerging. Young people

are being encouraged and supported

to become entrepreneurial,

and learn from established

business owners’ stories and

experiences. And it is people

with an entrepreneurial mindset

who will gain the most

from digital technologies.”

– By DAVID PORTER

Demand soars for new apprentices

The business and housing boom that is

helping push growth in the Bay of Plenty

offers unparalleled opportunities for those

keen to enter the trades.

By VIV POSSELT

Between 2015 and 2018,

Tauranga’s growth curve

was rated the steepest

in New Zealand, and predictions

are for that to hold steady

through to at least 2020. The

employment environment for

tradespeople in the Bay is the

most buoyant in years, particularly

in construction.

And yet the demand for

apprentices and qualified

tradespeople continues to

outstrip supply. Although the

housing shortfall in main centres

has put building industry

shortages in the spotlight, skills

gaps are also being felt across

numerous sectors, including

agriculture and forestry, metal

fabrication and machinists, and

the automotive industry. All

are on the government “wanted”

list for the Bay area.

Building and Construction

Industry Training Organisation

(BCITO) chief executive,

Warwick Quinn, said that there

was never a better time to consider

a career in construction.

“Right now, we just don’t

have enough skilled people

to build houses at the pace

required to meet demand,” said

Quinn.

Last year, BCITO reached

a record 11,000 apprentices

working towards their qualification

across the country.

But that’s still nowhere near

enough. Quinn said 65,000

new people will be needed

nationally over the next five

years to meet the demand in

construction, with a little under

a half of them needing to be

trade qualified.

“The opportunity to earn

while you learn and having the

first two years of eligible programmes

free of fees, makes

an apprenticeship even easier

and is an excellent choice

for school leavers,” he said.

“Currently, only 2.4 percent of

high school kids move directly

into an apprenticeship with

BCITO straight after leaving

school. We’re acting to change

that.”

Shortages in the sector

are attributed principally to a

“boom and bust” cycle that

sees construction fall off in

tight times, resulting in too few

tradespeople being available

when business picks up.

Recent Tertiary Education

Commission (TEC) investment

has prioritised funding

for apprenticeships in support

of moves by many industry

training organisations (ITOs)

to address the shortages. There

are now pre-approved “growth

facilities” available to prepare

for periods of demand, project-based

funding for specific

industries, and regionally

based initiatives are in place.

Other linkages are aimed at

better promoting trades careers

to secondary school students.

Winning tradies: Tauranga-based Jessica Liggett-Bowring (far right) at the Smith’s Electrical Awards. With her, from

left, are outgoing Waikato Chamber of Commerce CEO William Durning, Auckland-based apprentices Ian Barnes and

Caroline Edwards, and Smiths Electrical co-founder Cecile Smith.Photo/Supplied.

Quinn described last year’s

NZQA approval of the delivery

of qualifications based on

specifications rather than unit

standards as “a ground-breaking

new approach for the

industry”, that represented the

most significant modernisation

of our qualifications in

25 years.

Thriving construction in the

Tauranga area has seen the

industry increase its resources

and capacity, says Johnny

Calley, director of award-winning

family business Calley

Homes, and Registered Master

Builders’ Association (RMBA)

representative in the region.

He says while membership

to RMBA has enjoyed strong

growth over the past three

years – noticeably during the

first half of 2018 – the ability

to keep up with demand

for tradespeople will centre on

getting careers advisers and

education facilities to encourage

school leavers into a trades

career.

One of the BOP-based tertiary

institutions training the

largest number of tradespeople

in the region, Toi Ohomai

Institute of Technology, has

seen its numbers of trainees

grow over the past five years.

“Most of that is across construction,

of course,” says Toi

Ohomai Faculty Leader Trades

and Logistics, Brian Dillon.

“But there has also been a

marked increase across the

automotive sector in the past

two to three years.”

The tertiary institution

is about to become what is

believed to be the first in

the country to offer a Road

Transport cadetship, essentially

an apprenticeship for the

road transport industry.

“They are noticeably short

of drivers – about 10,000

nationwide is a figure I have.

And regardless of future road

haulage requirements, we need

those numbers now. We expect

to have the first students in

within weeks.”

The Skills Organisation

describes the BOP as its

fastest-growing region for

apprenticeship training over

the past four years, citing a

20 percent increase annually

since the introduction of New

Zealand Apprenticeships in

2014. Of its 470 apprentices

across the BOP, 304 are based

in Tauranga – a 10 percent

increase on last year. Most are

in the electrical trade.

A shift towards specialisation

within the electrical

trade sector was referenced at

a recent Waikato event where

three apprentices were awarded

Smiths Electrical Scholarships.

One of them, Jessica Liggett-

Bowring of Tauranga’s

Energised Electrical – was presented

with the Female leadership

award by Smith’s director

Amie Amosa.

Company co-founder

Cecile Smith said the skills

shortage had seriously impacted

the sector. The landscape

for electricians was changing

faster and more significantly

than for many other trades,

she said, and those in the

trade needed to be prepared to

upskill continuously to keep

up with the changes.


Bay of plenty

TAURANGA

MAGAZINE

Rotorua

Hamilton

newsletter

news

COVER STORY

BAY OF PLENTY BUSINESS NEWS June/July 2018

7

Upskilling needed to

fill vacancy holes

We are currently experiencing strong employment conditions New

Zealand wide with employment rising 1.2 percent across NZ in

2017, and 2.9 percent per year future growth forecasted. Almost

half of 2017’s employment growth was driven by Auckland.

However, the Bay of Plenty region is certainly holding its own. This

is obviously very positive in many ways, however many employers

are struggling to fill critical roles within their organisations.

By KELLIE HAMLETT,

TALENTID

It’s certainly very topical at

present – how do we fill

roles that have been vacant

for months, what alternatives

are there, and are employers

having to reconsider their priorities

and ‘must have’s’ in

order to ensure business productivity

is at the fore.

In reality this is not a new

issue for employers, however

in such positive economic

times, employers are feeling

the pain across a variety of sectors,

with difficulty in employing

the right skill being cited as

a one of the major prohibitors

to business growth.

It’s right to wonder why

we are experiencing such hard

times in terms of finding people

to fill key roles. Clearly

supply doesn’t equal demand.

There are several factors

that we can attribute this to,

one being that so many of

those who are unemployed

lack the range of skills or

the skill-set that many of the

vacancies currently require.

And many candidates lack

the adaptability to keep up with

businesses evolving needs.

During times of high-unemployment,

more people

choose study and up-skilling

as an option and possibly look

at changing career direction.

But again, this up-skilling does

not always occur in the areas

of the greatest need.

With immigration numbers

also being very topical at

present with the Labour government,

and changes ahead,

numbers are certainly going to

be squeezed.

As employers we certainly

hope that with the changes

made, there will be more focus

on immigrants adding value to

the greatest areas of business

need – so ticking the boxes

in terms of the most needed

sectors. But with restrictions

on numbers, will this simply

starve the regions?

We do need to look at the

skills that we currently have –

our youth education, how we

can encourage more students

into career paths that are most

needed, and are we training

those that we have so that

these gaps can be addressed.

Also, are we enticing enough

women back into the workforce,

into meaningful careers

after they have had breaks in

their career?

There is a huge wealth of

skills and knowledge that we

often lose when women leave

the workforce to raise their

families.

I don’t necessarily think

that attracting those skills offshore

is always the answer.

But it is absolutely necessary

in some sectors and something

that smaller employers

are going to have to be more

open-minded about.

However, I also feel that

our candidate pool needs to

be up-skilled and developed

further in the right areas, and

utilised more - as one example,

by allowing flexible work

hours for mothers returning

to work.

Up-skilling our own workforce

with relevant skills will

surely assist with the candidate

shortage, in the short-term at

least.

JOIN

NOW!

Be a recognised and respected member

of the Tauranga business community by

joining the Chamber.

Join Tauranga Chamber members Lyn and Brent Trail

from Surveying Services, Tauranga.

Chamber members benefit from business support and

connections, networking and training events, business profiling

opportunities, plus regular member deals and promotions.

For more details & to sign up visit www.tauranga.org.nz

Bay of plenty


The Voice of Business in the Bay

Bay of plenty


The Voice of Business in the Bay



Engaged regional

papers provide

advertisers with

extra value.

PRINT


PRINT

Build your business


with the regions

most trusted form of

media, Print.


Business News for


New Zealand’s most

vibrant economic

region.

The written word gives your business:


Recognition | Credibility | Influence

Business News

HOME SHOW

The written word gives your business:

Recognition / Credibility / Influence / Results

www.bopbusinessnews.co.nz


8 BAY OF PLENTY BUSINESS NEWS June/July 2018

Just doing it for the money isn’t enough

Vincent van Gogh, one of the world’s greatest artists, sold just

one painting and made the equivalent of approximately US$1800

from his art during his lifetime.

CREDIT MANAGEMENT

> BY NICK KERR

Nick Kerr is Area Manager BOP for EC Credit Control NZ Ltd.

He can be reached at nick.kerr@eccreditcontrol.co.nz

He painted from a place

of passion, not profit.

He would have been

financially better off shoveling

dung or selling turnips. But

the world would be a bleaker

place without his paintings. As

the artist once said, “Paintings

have a life of their own that

derives from the painter’s

soul.”

In our fast-paced, commercialised

world, it seems that

the first thing to go is artistry.

Just look at the latest drab,

box-like commercial building

in your town, compared to the

ornate art deco buildings of

the 1930s But artistry doesn’t

have to be a formal work of art

- it occurs when someone does

something they are passionate

about to the best of their ability

for reasons that are not purely

financial.

When we see a great lawyer

at the top of their game

deliver a mic drop moment

in a courtroom and watch the

transfixed faces of the jury, we

are witnessing artistry at work.

Witnessing a master of their

craft operating at peak performance

is something to behold

and these are the moments

that make a career. When we

observe it, we instinctively

know these people are not just

good - they are great.

The great performers in

every industry are the people

that would be back at work the

day after they won the lottery.

They are driven by the feeling

they get from achieving greatness

at what they do, and not

the money.

I believe there is greatness

in every industry and the secret

to unlocking it, is to discover

why what you do is an essential

part of who you are.

My passion is for small

business credit management.

“What a bore,” some might

say. I will tell you what first

lit my fire for my profession,

and why I will do what I do, as

long as I can, no matter what is

in my bank account.

In 2008, one year after I

started in the business, I met a

builder who I will call Brian.

He was owed $60,000 from a

major construction company,

did not know what to do, and

was getting desperate. Brian

assumed, as many people do,

that if he did a good job and

followed the instructions of the

head contractor, then he would

be paid in full and on time.

The major construction

company turned over around

$100 million a year - Brian

and his five staff turned over

around $500,000. When he

asked the construction company

why they wouldn’t pay

up, he was told that they had

under-quoted the project. And

in order to balance the books,

no variations would be paid,

even though they had been

signed off by the site manager.

Brian had signed the construction

company’s subcontract

agreement that stated “all

variations must be signed off

by the major company’s management”.

Unfortunately for

Brian, the site manager was

an independent contractor, and

in the eyes of the major construction

company, this meant

that the claims were invalid.

Vincent van Gogh’s The Starry Night. Photograph/bgEuwDxel93-Pg at Google Cultural Institute

He had no contract or terms to

protect him.

When Brian threatened to

pursue legal action, he was

told that he would be tied up

in courts for years and the

costs would cripple him. When

he insisted, the company went

ahead with a threat to report

him to the Inland Revenue

Department for trading while

insolvent.

Unfortunately, by the time

he contacted us, it had gone

beyond the stage where we

could help him because the

debt had been already disputed

in writing, and it was well over

the Disputes Tribunal limit. It

had gone beyond the stage

where we could help Brian

and we suggested he contacted

a lawyer.

Three months later, Brian

had lost his house, his company,

and his family. Most tragically,

he took his own life. All

so that a multi-million dollar

company could make an extra

$60,000 because of a loophole

that they created. On the day I

learned this, I swore it would

never happen to any of my

clients.

So now I work to equip

small to medium-sized businesses

with the tools they need

to avoid these situations and I

love what I do. I’ve seen the

cost of not having them in

place.

I appreciate that not everyone

is fortunate enough to

have a job they love. If you

aren’t lucky enough to work

for reasons other than just getting

paid, I’d recommend you

consider a career change.

Strong local economy

equates to business opportunities

ng local economy

ates to business opportunities

The Tauranga region continues to top the country on all key measures of economic

growth and coupled with the population surge over recent years, has resulted in

Local business increased brokerage, demand Tabak for Business businesses. Sales, encourages owners who are thinking of selling, to speak

rokerage, strategy. Tabak Business Sales, encourages owners who are thinking of selling, to speak

Local business brokerage, Tabak Business Sales, encourages owners who are thinking of

selling, to speak with an experienced business broker, as it may be an opportune time

to consider implementing an exit strategy.

Tauranga is widely recognised as a growing area; people flock here - drawn not only to

the enviable lifestyle, but also to seek business and employment opportunities.

Along with the influx of Aucklanders in search of a slower pace to life, international

migrants too, are attracted by the business opportunities available. The local economy

Tabak

has

Director

seen an

Paul

interesting

Brljevich

move

says buyers

from those

like these,

in the

along

corporate

with already

sector, now

established

confident

owners,

enough

are approaching

to explore business ownership for the first time.

ul Brljevich says Tabak buyers Director like Paul these, Brljevich along says with buyers already like established these, along owners, with already are approaching

established

owners, are approaching Tabak on a regular basis. “The last couple of years produced

good results for businesses financially. Baby boomers who had put off selling their

business when the GFC hit, are now finding themselves in a position where values are

back up - that’s always a good time to sell.”

Tabak Business Sales has an established reputation, specialising in the sale and

purchase of quality businesses. Their experienced team of brokers can offer a full

market appraisal, expose your business to an extensive database of qualified buyers,

and they’ll do it while maintaining complete confidence.

07 578 6329 | tauranga@tabak.co.nz

TABAK DIRECTORS, KEVIN KERR AND PAUL BRLJEVICH

www.tabak.co.nz

LICENSED REA 2008

TABAK DIRECTORS, KEVIN KERR AND PAUL BRLJEVICH

www.tabak.co.nz

LICENSED REA 2008

P5715Y


BAY OF PLENTY BUSINESS NEWS June/July 2018

9

Digital dominates

Technology has been the best-performing sharemarket sector in

the US over the past few years, having increased just over +50

percent since the end of 2016, while the broader US market has

risen by a more modest +28 percent.

WHAT TO DO WITH YOUR MONEY

> BY BRETT BELL-BOOTH

Investment Adviser with Forsyth Barr Limited in Tauranga.

Phone: (07) 577 5725 or email brett.bell-booth@forsythbarr.co.nz

In this column, I’m going to

look at three upcoming technology

leaders that can give

investors exposure to four new

areas: Artificial Intelligence

(AI), Automation, Big Data

and Gaming and Content.

They are NVIDIA, Salesforce.

com and Flex.

NVIDIA

NVIDIA is a market leader in

the development of graphics

processing units (GPUs) that

crunch a lot of data while consuming

minimal power.

This positions NVIDIA

well to transition from its past

focus on PC components to

providing diverse gaming, data

centre, and automotive software

platforms.

NVIDIA has established

a significant head-start in the

race to capture market share as

new technologies revolutionise

a number of end-markets, such

as Level 5 autonomous vehicles,

virtual reality, gaming-

as-a-service, blockchain, and

smart cities.

Many of NVIDIA’s

end-markets may have the

potential to become very large:

• Gaming-as-a-service,

“total addressable market”

(or TAM) of US$30 billion

by 2020

Virtual reality, TAM of

US$16 billion by 2020

• Data-centre deep learning

silicon, TAM of US$10.5

billion by 2021

• Smart cities and

surveillance, TAM of $2

billion by 2021

• Blockchain, TAM of

US$18 billion by 2025

• Level 4/5 autonomous

vehicles, TAM of US$5

billion by 2025

In the near-term, NVIDIA’s

earnings may be bolstered by

strong momentum in its gaming

and data-centre segments.

The company will be supplying

its AI-focused GPU

(graphics processing unit)

hardware to several of China’s

largest cloud-computing providers

and server-hardware

manufacturers, including

Alibaba Group, Baidu and

Tencent.

Automotive and smart-cities

are longer-term opportunities.

NVIDIA has signed

automotive partnerships with

Tesla, Volvo, Audi, Mercedes,

Bosch, and Toyota.

Salesforce.com

What do Amazon.com,

Google, Cisco and IBM all

have in common?

They have strategic partnerships

with Salesforce.com,

the largest pure-play vendor in

the front-office Software as a

Service (SaaS) space.

Given the need for many

businesses to implement digital

transformations, Salesforce

is well positioned thanks to its

easy to use platform, which

enables customers to develop

their own unique “in-house”

applications.

Salesforce has solidified its

dominance in the Customer

Relationship Management

(CRM) space, having been

voted the number one CRM

provider for five consecutive

years.

It is one of the top five fastest-growing

enterprise software

companies, delivering

+25 percent revenue growth

in FY18.

The company has more

than doubled its operating cash

flow over the past three years

from US$1.2 billion in FY15,

to US$2.7 billion in FY18.

In the same time revenue has

almost doubled from US$5.4

billion to US$10.5 billion.

A number of industry leaders

rely on the platform, and

Salesforce leads the sales automation

market with a 45 percent

share.

But a 17 percent and 22

percent share in Marketing and

Service Clouds respectively,

suggests more room to sell

product into the installed base.

Flex

Flex is a US-based multinational

technology manufacturer

that designs, builds, ships

and services packaged consumer

electronics and industrial

products for original equipment

manufacturers (OEMs).

It has around 200,000

employees across more than

100 sites in 30 countries. Flex

is transitioning its business

towards offering clients its

“Sketch-to-Scale” integrated

product design and automated

manufacturing process.

Three years ago Flex

moved towards design-led

interaction with clients and

shifted its customer base away

from lower-margin electronics

manufacturers towards more

profitable industrial, automotive

and medical industry

customers.

By way of example, Flex

has co-invested with Nike to

invent a new, fully automated

process to manufacture Nike’s

shoes in Mexico.

This new plant can potentially

reduce Nike’s “design-tomarket”

period from the present

18 months (with shoes being

hand-made in Vietnam and

China), to less than one month.

If Flex’s new automated

manufacturing process is successful

for Nike, then it may

be able to emulate this success

across other sectors.

This column is general in

nature and is not personalised

investment advice. This

column has been prepared

in good faith based on information

obtained from sources

believed to be reliable

and accurate. Disclosure

Statements for Forsyth Barr

Authorised Financial Advisers

are available on request and

free of charge.

TERMS

OF TRADE

CREDIT

CHECKING /

MONITORING

DEBT

COLLECTION

Nick from

EC Credit Control

is the Bay of

Plentys leading

debt prevention

expert.

CREDIT

MANAGEMENT

TRAINING

FOR A NO OBLIGATION MEETING CALL OR EMAIL NICK TODAY

nick.kerr@eccreditcontrol.co.nz | P: 027 713 2128

0800 EC GROUP | www.eccreditcontrol.co.nz


10 BAY OF PLENTY BUSINESS NEWS June/July 2018

Strong interest in latest

TECT trustee elections

The latest Tauranga Energy Consumer

Trust (TECT) elections have attracted

a strong lineup of contenders with 19

candidates putting their hand up for the

three trustee positions available.

The region’s biggest charitable

trust, TECT is

administered by six trustees,

three of whom retire by

rotation this year.

Current trustees Paul Tustin

and Ron Scott have chosen

not to stand, but well-known

former policeman and charity

fundraiser Pete Blackwell is

putting himself forward again.

The 19 candidate total

equals the number that stood

for the recent Tauranga

City Council by-election.

Independent Returning Officer

Warwick Lamp, said that this

year there had been strong

interest in the election. There

were 11 candidates in 2016,

19 candidates in 2014, and 23

in 2012.

Interest in this year’s elections

is thought to have been

boosted by TECT’s proposal

earlier in the year to phase out

the annual TECT cheque over

a period of years and create a

new charitable trust structure

that would see it commit more

funds to local charities.

The trust’s major stake is

in Trustpower, which opposed

the proposed change.

The proposal was withdrawn

after a majority of

TECT consumers indicated

they were unhappy with it.

Candidates have adopted

positions both for and against

change to the TECT structure

and retention of the annual

consumer cheque.

The election is being carried

out by both internet and

postal voting, with voter packs

sent out on 25 June to eligible

Trustpower consumers.

This is the seventh election

for TECT that has used online

voting, but consumers can only

vote using one method.

Each consumer is entitled

to one vote irrespective of how

many power connections they

may have. Voting closes at

midday on Friday, 20 July,

with results announced at 4pm.

Bill Holland, TECT.

Vince Hawksworth, Trustpower.

TAURANGA ENERGY CONSUMER TRUST

(TECT) ELECTIONS

The candidate lineup is as follows:

(full details are available on the TECT website).

Mark Arundel

Pete Blackwell

John (JC) Cameron

Ron Chamberlain

Bev Edlin

Pamela Lewis

Willem Jonkers

Tina Jennen

Alex Miln

Sheldon Nesdale

Graeme Purches

Frank Neilson

Hylton Rhodes

Valerie Rowe-Mitchell

Karen Summerhays

Phillip Trappitt

Stephen Wheeler

Peter White

Kim Williams

TICK 4 TECT

Bev Edlin

DBA, MBA, BBS, FICS, C.MinstD

P Business Expertise

P Board Experience

P Common Sense

P Supporting your

Community

V7007L

Authorised by Bev Edlin, 11 Windover Rise, Tauranga


Award-winning PR agency

expands into the Bay of Plenty

Internationally acclaimed

and award-winning Waikato

public relations agency

HMC Communications is now

operating in the Bay of Plenty.

Papamoa-based Suzi

Luff, the former Trustpower

Community Relations

Coordinator, along with HMC

Communications Director

Heather Claycomb, are leading

the move.

Claycomb says HMC

Communications’ expansion

into the Bay of Plenty is a logical

next step in the growth of

the agency, which has assisted

companies and not-for-profit

organisations across the

Waikato for 14 years.

“We’ll now have a local

presence in the Bay, with a

full-service PR team available,”

says Claycomb.

“We provide a range of

PR services, from outsourcing

100% of an organisation’s

communications requirements,

to helping with small writing

projects or events.”

Luff has more than a decade

of PR and communications

experience across sectors

including conservation, tertiary

education, the community

and voluntary sector and the

utilities industry.

“The Bay is jam-packed

with a huge range of businesses.

Some are well-established,

while others are relocating or

just starting up here.

“What each has in common

is the vital need to build and

protect their reputations, during

business as usual and in

times of crisis.”

HMC Communications’

move comes on the heels of

the agency’s recent win of

the Small PR Consultancy of

the Year category at the 44th

Public Relations Institute of

New Zealand (PRINZ) annual

industry awards in May.

Additionally, the agency

won the Sustainable PR

Award for their work with

King Country Energy over

the past five years, and was

awarded Highly Commended

in the Short-Term Campaign

category for the launch of

CRV Ambreed’s LowN Sires,

a genetics game-changer for

breeding greener cows.

These accolades follow four

previous PRINZ Award category

wins and being named

as a Global Alliance COMM

PRIX Award finalist in 2016

in Toronto for its Buddy Day

campaign for Child Matters

as one of the 10 best PR campaigns

in the world.

BAY OF PLENTY BUSINESS NEWS June/July 2018

11


12 BAY OF PLENTY BUSINESS NEWS June/July 2018

Mycoplasma Bovis has a long reach

It is still early days in trying to eradicate

Mycoplasma Bovis, but a Bay of Plenty

farm leader is cautiously optimistic it is

possible. And some of the lessons learned

from the Bay’s success in dealing with the

Psa outbreak in kiwifruit, may offer some

promising scientific leads.

By RICHARD RENNIE

However, BoP Federated

Farmers president

Darryl Jensen said that

in the meantime, farmers in

the Bay would be well advised

to treat their farms “like a

fortress,” ensuring they had a

clear knowledge of where the

stock they received was coming

from.

Jensen said that the Ministry

for Primary Industries had

taken the right pathway. The

current estimated cost of eradicating

the debilitating cattle

disease has a price tag of about

$800 million. But even this

pales against the cost of trying

to contain and live with the

disease.

“We are looking at a cost

there of about $1.3 billion,”

he said. “Federated Farmers

believes that the country has

this opportunity to get rid of

it, so let’s give it a good shot.”

Jensen acknowledged the

nature of the disease, which

does not always present with

the clinical signs of mastitis

and lameness, can make it a

particularly difficult one to

detect.

The cattle industry was

in need of a more effective,

simple and rapid blood test,

he said.

“If we were to have something

like what we have for Tb,

that would be good.”

Science may yet deliver

a Tb test type solution.

Collaboration between

AgResearch scientists and

disease control managers at

OSPRI-TBFree means as scientists

race towards making

New Zealand Tb free by 2026,

the technologies developed

there could potentially also be

adapted for M.bovis detection.

These include highly sensitive

blood-based diagnostic

tests that virtually eliminate

the risk of false negative tests,

which is a problem with the

herd bulk milk tests being carried

out now with M.bovis.

AgResearch scientist Dr

Neil Wedlock said other tests

using sophisticated magnetised

micro beads coated in antibodies

binding to a specific

disease organism are another

avenue for researchers to

explore in coming years.

It was scientists working

in Plant and Food in the Bay

of Plenty and Auckland who

managed to develop a rapid

diagnostic test to determine

the strain of Psa that affected

kiwifruit, identifying it as a

Chinese variety.

Ideally an M.bovis test

would provide similar insights

to the disease, enabling farmers

to accurately identify infected

individual animals rather than

face whole herd culling.

Jensen said that on his own

farm near Maketu, he intended

to maintain a self-contained

operation, only bringing in

some bulls each year at the

end of artificial mating period.

He is also discussing his

youngstock grazing options

with his grazier, who has

undertaken to ensure any

other stock he receives will

also be clear of any M.bovis

contact risk.

Jensen agrees the pressure

on farmers to up their property’s

bio-security may result

in heightened demand for

farm run-offs to run youngstock,

rather than graze them

out on contract and risk mixing

them in with animals from

other farms that may have

been exposed.

He said Federated Farmers’

representatives in regions not

hit with the disease, including

the Bay of Plenty, intended

to spend some time deciding

how they might be able to best

help colleagues who have been

identified with the disease in

their herds.

This may include rearing

some additional replacement

female heifer calves to give to

farmers who have the prospect

of having to rebuild completely

culled herds.

As of early June 70 farms

were under a “restricted place”

notice, but 15 of those have

since been revoked, while 36

farms were seen as infected

properties, with eight being

revoked.

To date 24,500 animals

have been slaughtered, with

expectations that more than

150,000 will be processed.

Farmers on alert; Darryl Jensen (below) Photos/Supplied.

MYCOPLASMA BOVIS

– WHY THE WORRY?

1. Worse than Psa

When it hit in 2010, Psa was the country’s worst disease

incursion, with total estimated losses of $300 million, and

an aid package of $50 million provided by government

and industry. M.bovis is estimated to cost $850 million to

eradicate, and $1.3 billion if only managed.

2. Animal and human welfare

As far as diseases go, M.bovis is nasty - its clinical signs are

untreatable mastitis and inexplicable lameness and joint pain

in cows. It is endemic in every other country in the world

except (until now) NZ and Norway. It is largely spread through

animal to animal contact and there is no vaccine. However,

eating meat from M.bovis-infected cattle is not a food safety

risk.

3. Pathway to arrival

This has not yet been determined, with an earlier report

highlighting seven possible pathways, all still being

investigated.

4. Everyone pays

In a major funding announcement, government has agreed to

foot a bill of $600 million over the next 10 years in an effort to

eradicate M.bovis, with farmers also paying $278 million, 80

percent borne by the dairy sector.

Baypark’s Winter events will warm you up

It maybe Winter, but things

are heating up at Baypark.

With the cooler weather settling

in around the Bay of

Plenty there’s no reason to

bunker down at home with the

heater.

Head on down to Baypark

where there’s plenty to keep

you and the family entertained.

After the 2016 sell-out tour

Larks in Transit, the UK’s very

own straggle-haired polymath

Bill Bailey returns to New

Zealand with his new comedy

and music extravaganza, Earl

of Whimsy.

This is the first time that

Bill has made the trip to the

Bay of Plenty, so tickets are

sure to be in hot demand.

The show has Bill Bailey’s

trademark blend of satire and

surrealism, stories and dismantled

jokes, crowd sing-alongs,

weird instruments and musical

showstoppers.

But there’s a distinctly historical

feel to this show.

With its tales of Britain’s

fortunes past and present,

of ancient Viking battles, of

Shakespeare’s contribution to

comedy, and Bill’s own ances-

try, this is both a mockery

and a celebration of national

identity.

Tickets can be purchased at

Ticketek $89.90 + BF.

The Tauranga Gala Dinner

2018, on 21 September, is your

chance to get together your

friends or clients and spend a

night listening to New Zealand

sporting legends discuss their

careers.

Enjoy the entertainment

while eating and drinking

fine wine and food prepared

by Anthony Lawler

Executive Chef from Bay

Catering, who was recently

a finalist at the Silver Farms

National awards.

Providing entertainment

will be double rugby world cup

champion, Keven Mealamu,

2011 RWC winner Cory Jane,

and the Bay’s double women’s

Rugby World Cup winner and

now Commonwealth Games

gold medalist, Kelly Brazier.

Keeping them all in line

will be renowned commentator

and long-standing broadcaster,

Tony Johnson.

Featuring exclusive interview

discussion with the panel,

Bill Bayley

audience Q&A, guest performers,

charity auctions and more,

this is Tauranga’s premium

night out for corporate hospitality

and entertainment!

Tickets from $1390 for

a table of 10 available from

www.taurangagaladinner.co.nz

It’s that time of year again

when thoughts turn to good

food, wine and the Seriously

Good Food Show 2018.

With more than 130 exhibits

showcasing the latest in

innovative products and delectable

food and wine tastings,

the Seriously Good Food

Show 2018, from 30 June – 1

July, is a must for foodies.

Visit the Live Cooking

Theatre to see our special

guest cooks and chefs pair off

and do battle. Be there to see

who comes out on top. Tickets

available on the door.

Bayvenues Ltd Mount

Maunganui is delighted

to announce “Brickman

– Wonders of the World

Exhibition” will be at Baypark

Stadium Lounge from 30 June

– 22 July.

Brickman Wonders of the

World is an interactive exhibition

featuring some of the

world’s most iconic landmarks

built entirely from LEGO®.

Created by Ryan “The

Brickman” McNaught, one of

only fourteen LEGO Certified

Professionals in the world, the

exhibition is the culmination

of 4,944 hours of work.

50 LEGO models will be

on display, including recreations

of the Taj Mahal,

Michelangelo’s Statue of

David, The Great Wall of

China, the Empire State

Building (featuring King

Kong), the Leaning Tower of

Pisa and the Arc de Triomphe.

Visitors will be taken on

a historical, journey through

time, with the opportunity

to discover more about

each attraction – real life and

LEGO life!

Ryan will also be enlisting

the building skills of the public

to help with some of the

model making, lending to a

truly interactive and imaginative

experience.

Tickets Adult from $15.00

Child from $12.50 at www.

ticketek.co.nz/brickman

For more information

on any events, enquires for

Baypark venues, BayStation

and other activities or services

on/off site from BayCatering,

Bay Audio Visual visit

www.asbbaypark.co.nz, email

events@bayvenues.co.nz or

call 07 577 8560.


NEW FACES

BRENT SHERMAN

Barrantes Limited

Brent has been in business management for more than

30 years. He ran several of his own companies and was

a business consultant in the UK for three years, before

emigrating to Tauranga with his family a decade ago.

An experienced business broker, Brent

has set up Barrantes to provide bespoke

solutions to clients’ unique

needs. These are designed specifically to

support people in preparing their companies

for sale, or to help them acquire new

businesses. We help our clients with business

sales and acquisition, be that locally,

nationally, or internationally, on a highly

confidential basis.

Our innovative approach is handled by

highly trained professionals who have a

wide network of contacts and are committed

to helping clients make the best-informed

decision possible.

We live in a truly global society where

the world of business and commerce is rapidly

changing.

Buying or selling your business is one

of the most important decisions you’ll ever

make. We work diligently with clients to

provide all the guidance they will need

throughout the whole process.

My business and management background

has given me great experience in

many different fields in various countries

including the UK, Europe and the Middle

East. My substantive experience includes

roles in Accounting, Computer Systems,

Brent Sherman

O 07 213 0052 | M 027 340 2621

E brent@barrantes.co.nz

Sports Management, Hospitality and as a

Business Consultant advising and re-structuring

businesses over the years.

We have a number of businesses for sale.

To find out more and to see whether any

of these would be suitable, please contact

sales@barrantes.co.nz or call 07-213-0052

and a dedicated Barrantes Business Broker

will be in touch.

BARRANTES

AnthemNZ Ltd Licensed REAA 2008

WWW.BARRANTES.CO.NZ

P1049Y

BAY OF PLENTY BUSINESS NEWS June/July 2018 13

Christine Parker

Accounting Zero Plus - a personalised

accounting service with a difference

Tauranga born and bred, Christine

Parker started Accounting Zero Plus

in 2017 to support, guide and work

alongside business owners to help them

have better visibility of their business finances

using Xero for their bookkeeping,

accounts and financial administration.

Christine’s father always said, you

never stop learning and it’s always good

to learn something new, which influenced

Christine to obtain qualifications in

accounting and business.

Accounting Zero Plus works with

businesses and their business partners of

all shapes and sizes offering services in

accounts, bookkeeping, annual accounts,

tax agency, financial systems training and

office administration.

Christine offers businesses the personal

touch by being flexible, mobile and

collaborative, working alongside other

business service providers to provide the

best possible outcome for her clients.

And business owners like working

with Christine as they feel they get the

support they need when they need it,

working with someone they like who is

a trusted and very important part of their

business.

Working across Mount, Papamoa and

Tauranga, business owners can save time,

money and achieve the best results by

engaging Christine and Accounting Zero

Plus services, giving businesses control

of their finances whilst enjoying the flexibility

of a mobile service that Christine

offers.

If you feel that you would benefit from

a more personal and hands-on support for

the financial running of your business,

get in touch with Christine at Accounting

Zero Plus today.

Christine Parker

Give me a call to talk about what you

need and how we can help

Christine Parker on 027 224 1712

Email: chris.parker@accountingzeroplus.co.nz

P8085Y

Kinetic hitting new highs

Ryan Phillips

Smart Fire is raising the

bar for building fire safety

Local fire safety design and consultancy, Smart Fire, continues

to go from strength to strength in its first year of operation.

Ryan Phillips, director and driving force

behind Smart Fire, brings a wealth of

experience with a unique perspective

on the industry. As a former professional firefighter,

Building Review Officer (Council),

lead Fire Safety Consultant, and with experience

in the construction industry Ryan has an

exceptional set of skills. He understands the

Building Act, what is required for compliance

and has an appreciation for the Architect and

Designer’s perspective.

Ryan decided to start the company alongside

his wife Ashleigh after recognising there

was a growing gap in the market for quick

turn-around without sacrificing quality. “With

building development in the Waikato and Bay

of Plenty continuing to grow our strategy is

simple, making fire design easy.”

Asked why he loves what he does, it

comes back to looking after people. “We are

committed to protecting people and property

with fire safe buildings. We do this by providing

services that allow our contractors to not

only meet New Zealand Building Code compliance

with Fire, but we aim to raise the bar”.

Smart Fire’s approach is refreshing and

innovative, “We pride ourselves on providing

clients with a personal approach and working

collaboratively to deliver the best outcome for

their project. We understand the importance of

time in these projects, after all time is money.

Thinking innovatively and efficiently is the

combination that’s proving to make our mark

on the industry.”

RYAN PHILLIPS

hello@smartfire.nz | 021 535 498

www.smartfire.nz

V2284L

Ewa and Terri

Kinetic Tauranga has evolved exponentially over the past

three years since opening our doors in 2015, now staffed by

three Consultants with Terri Wright and Ewa Bell joining Senior

Consultant Cherie Hill in 2018.

Terri most recently worked as a Business

Development Manager and after

realising her passion for people, decided

to embark into the Recruitment world

taking on a Consultant position. Terri is a

Mum to two young children and has settled

in Tauranga after moving from South Africa,

to enjoy the quiet life of the Bay.

Ewa joined the team in May and has

previously worked in HR and Account

Management positions.

With seven years’ experience in recruitment,

Ewa has been a valuable addition to

the team. Originally from the UK, outside

of work Ewa enjoys spending time with

Kinetic Recruitment

Phone: 07 281 2509

Level 1, 39 Spring Street

Tauranga, Bay of Plenty 3110

her young family and adventure racing.

If you are wanting to know more about

the recruitment market or are looking to

fill a vacancy, Kinetic are able to assist

with temporary, permanent and fixed term

contract roles. We find and place the

right candidates in the right roles. Having

been in business for 21 years, Kate Ross;

Founder and CEO understands the importance

of a seamless delivery for our Clients

and Candidates alike. This is something

she has instilled in all her employees,

ensuring the business is able to provide

a full range of services, now across five

locations in NZ.

www.kinetic.co.nz

P2546Y


14 BAY OF PLENTY BUSINESS NEWS June/July 2018

Bay of Plenty leads enablement

of digital democracy

Rates Rebate

Trial - only in

Tauranga

A recent success of the

Tauranga City Council’s

Innovation Lab (now closed)

was a trial of an online rates

rebate application.

The project, chosen to

demonstrate the value of

using digital applications

to streamline government

processes, was undertaken

locally, along with software

developers working at central

government’s Department of

Internal Affairs (DIA) Service

Innovation Lab.

It was designed to make the

rebate process easier for its customers

– citizens in Tauranga.

Former TCC Innovation

Lab manager Pip Loader said

the DIA collaborated with

Tauranga City Council’s innovation

team to learn whether

allowing residents to apply for

Imagine our world when technology

is used to improve voter participation

rates, streamline government processes

helping businesses operate efficiently

and meet all their obligations in a secure

online environment. Some Bay of Plenty

residents are already working on making

this future happen, one example of which

could be rolled out nationwide following

its development and trial in Tauranga.

rebates online would simplify

the process, saving administration

costs for Council and

encourage more people to

check eligibility.

Rates rebates provide

low-income homeowners to

get discounts or partial refunds

of up to $620 on property rates.

Any homeowner may receive a

rebate for the property they

live in, as long as they meet

the criteria.

Pip said while the team

won’t know the full benefits

of the pilot until later this year,

early feedback indicates the

process is simpler to understand

and straightforward to finish.

“The pilot has meant that

it is easier for people to determine

if they are eligible thanks

to a simple calculator included

as part of the process.”

The digital calculator is

based on policies and legislation

that have been turned into

code to determine who can

receive the rebate.

The DIA is now working

to get changes made to legislation

so homeowners won’t

have to visit council offices at

all - everything could be filled in

and signed off online on the app.

Siobhan McCarthy, with

DIA’s Service Innovation Lab

in Wellington, said Tauranga

was the only community to

take part in the development

and roll out of the online rates

rebate trial.

Before starting, the team

spent a month researching the

issue, mapping out the service

and speaking with people who

had sought a rebate in the past.

McCarthy wrote on her blog,

“We found users that had gone

through days of effort to apply,

only to discover they were

entitled to 30 cents... It is a real

pain point for users, Council

and Central Government.”

McCarthy said the DIA is

hoping the Tauranga pilot project

will enable government to

activate online rates rebates

nationally.

Tauranga was the

only community

to take part in the

development.

Participants hack democracy at the Better Rules Hack Part 1 held in Wellington during

Techweek 2018, some of which will join Part 2 being held in Tauranga at end of July.

“Positive feedback included

‘that was easier than I

thought!’ and, signalling the

desire from the community

for digital solutions, ‘I didn’t

know government things could

be simple like this.’

The TCC rates rebate project

and its app will be available

until June 30th for people

to check their eligibility

to apply for a rebate for this

financial year. Go to http://

clik.vc/ratesrebate to check for

yourself.

Blockchain for

Business

Another way digital tools are

being used to improve democracy

is through something

called blockchain.

For the uninitiated, Forbes

magazine describes blockchain

as a public register where

transactions between two users

belonging to the same network

are stored in a secure, verifiable

and permanent way.

Data relating to exchanges

are saved inside an endless

chain of data blocks allowing

users to trace and verify transactions.

One of the advantages of

blockchain is its degree of

security.

Experts say once a transaction

is certified and saved

within one of the chain blocks,

it can no longer be modified or

tampered with.

Nimo Namaani, co-founder

of Horizon State, will visit

Tauranga on the 29th of June

to explain how blockchains are

being used to improve democratic

processes around the

world at the Blockchain for

Business meetup.

Horizon State uses blockchain

technology to redesign the

way opinion is solicited from

communities (including business

communities), how votes

are cast, and decisions are made.

They’ve created a digital

ballot box which cannot be

hacked, ensuring fair representation,

and it is many

multiples cheaper to run than

traditional voting processes.

Horizon State’s technology

underpins the world’s first

public blockchain-based voting

system in wide use.

Come to the Blockchain

for Business meetup on June

29th hosted by Venture Centre

hear and talk with Nimo from

Horizon State about how your

business interests may be fairly

represented in the future

by adopting digital technology.

Book your place at http://clik.

vc/digitaldemocracy

Better Rules Hack

Attending the Horizon State

get-together is a great launchpad

for getting involved in

an event where you can get

hands-on and create digital

technology to improve the

democratic processes which

affect you – as business owners

and community leaders.

Venture Centre will host

an event at TheBasement@

Basestation called Better Rules

Hack happening Saturday the

28th until Sunday the 29th of

July.

The ‘hack’ is a two-day

learn-by-doing workshop style

event giving people a chance

to apply government policy

and legislation which affects

them as reusable code in order

to reduce the time, cost and

complication involved in dealing

with government today.

All skill levels are welcome

- if you can turn on a computer,

you can take part.

If you are a developer or

programmer who is interested

in applying your skills to

improve the way society functions

you are welcome.

Better Rules Hack is

coming to Tauranga thanks

to the partnership created

between central governments

DIA Service Innovation Lab,

LegalHackersNZ and Venture

Centre.

All three organisations

share an open, community-led

approach – making the opportunity

to design digital tools

and services to improve how

government, councils, business

and communities work

available to everyone who

wants to learn-by-doing and

have an input.

The event links Wellington’s

open government innovation

experts with the Bay’s digital

enablement project implementation

team based in Tauranga.

Participate in the hands-on

hackathon to build technology

for your sector, industry or

community using digital rules.

You can be part of creating

machine-consumable code

which can be reused and integrated

across domains to benefit

businesses, individuals and

communities.

Beyond the satisfaction of

learning, collaborating and

problem-solving among fellow

entrepreneurs, curious

souls, youth, business owners,

not-for-profit and local government

staff, designers and

techies you can win prizes.

Participation is free, though

registration is required.

Hackathon participants of

all ages will build a working

demonstrator using digital

rules from more than one

source such as legislation from

multiple agencies or trade

agreements (links to examples

will be supplied).

Teams will showcase their

digital rules and explain how

they made them consumable

to everyone.

Find more details

here http://clik.vc/

aboutbetterrules and

register to take part by

going to http://clik.vc/

betterruleshacktga


BAY OF PLENTY BUSINESS NEWS June/July 2018 15

MADVentures – events for youth

Kayla Sycamore, Gabriel Heays, Sean Pfennig, Joel Stanaway,

Ben Robertson “Our product is a lost person behaviour predictive

geospatial map for use in Search and Rescue using API’s coding,

Geographic Information System and artificial intelligence.”

Young entrepreneurs

born at Bay of Plenty

Mashup 2018

When 10 teams of

young entrepreneurs

give up their weekend

to bring an idea and their passionate

desire to make change

happen to an event where they

can work with support from

business owners, entrepreneurs

(and the odd councillor)

amazing things happen.

Add to that a supportive

ecosystem with resources,

facilitated learn-by-doing and

a passionate crew to help them

think beyond the norm, and

you’ve got IMPACT.

Check out this year’s innovative

products (and entrepreneurs!)

born from Mashup 2018

made possible with support

from Tauranga City Council

and Western Bay District

Council through the Digital

Enablement Project pilot, and

sponsorship from Bay of Plenty

Regional Council.

Alex Hilton, Reeve O’Leary, Torben Oxenham “A smart

digital house lock with many, many features eg. being

able to unlock your house from a distance using

Microbit, Fingerprint scanning, camera/microphone,

LED lights.”

Skye Lunson-Storey, Abbey Crawford “A

gender neutral clothing brand that is made

sustainably from waste textile off cut

fabric, using Social media, Storbie, sewing

machine/overlocker and camera.”

Nathan Hyland, Paige Taylor, [Ricky Doran,

Kayla Dawson, Maddie Lewis not in picture]

“An all-natural healthy fruit snack for kids,

using ovens, heat sealers, food technology,

dehumidifiers, business tools like

spreadsheets, google and social media”

Ian Bennett, Shakeel Roa, [Jayden McClintock not

in picture] “A system that changes tire pressure

to your choosing while you are driving and can be

controlled from within your farm vehicle, using 3D

Printers, wireless transmitters/receivers, valves”

Codebrite Lite Katikati

17 July 2018, 1:00pm to 3:00pm

Codebrite is back again!

19 July 2018, 10:00am to 3:30pm

PoweringON – events for

business owners

Xero Users Group

26 June 2018, 9:30am to 10:30am

Office Hours Financials with Crowe

Horwath

9 July 2018, 11:00am to 12:00pm

Office Hours Intellectual Property with

James & Wells

11 July 2018, 11:00am to 1:00pm

Office Hours Xero Tips and Tricks with

Ingham Mora

11 July 2018, 11:00am to 1:00pm

Office Hours Marketing Strategy and

Planning with Marketing on Demand

12 July 2018, 3:00pm to 5:00pm

Office Hours Legal with Mackenzie Elvin

16 July 2018, 11:00am to 1:00pm

Digital Marketing Channels 101

17 July 2018, 12:00pm to 1:00pm

Office Hours Sales and Marketing with

Bravesight

19 July 2018, 10:30am to 12:30pm

Unlock the Power of Facebook

Messenger Marketing

24 July 2018, 2:00pm to 4:00pm

Xero Users Group

24 July 2018, 9:30am to 10:30am

Theo Larkin “Hiring youngsters

to clean windows to improve

their work ethic for later in life

using social media.”

Ethan Kruze, Cooper Keenan

“A river filtration system that

takes plastic out.”

Oliver Annan, Alex Freeman, Cesar Varfas-Tuerlings, Alex Annan. “Our product is an electric chromatic

film that darkens car windows for security, preventing glare and sun strike while driving using

Electrochromic film, potentiometers, photoresistors.”

Instigator – events for founders

Democratic tools, powered by blockchain

technology

29 June 2018, 5:00pm to 7:00pm

Entrepreneurs Everywhere – What is

Startup Weekend?

18 July 2018, 5:30pm to 7:30pm

Better Rules Hack

28 July – 29 July 2018

Workshops/Events in our wider

community

Tauranga Social Enterprise Meetup

17 July 2018

Caitlin Richardson, Matthew Karton, Elise Oxenham “An app that allows you,

QrtHori_BOPBN_Basestation_Oct17.pdf 1 17/10/17 10:37 AM

using virtual reality, to travel the world and be in those places in real time,

using Virtual reality, 360 degree cameras, software development.”

Sydney Grace, Rio Manson-Hay, Grace Green, Levi Preece “A drivers license scanner that

controls whether you can use your car based on meeting legal requirements, using coding/

programming, electronic chips/scanner, interlock system.”

Plug-in & power up

C

M

Y

CM

MY

CY

CMY

K

Coworking – way

more than a desk!

Be our guest, take

a tour & enjoy a

coffee on the house

• Desks, secure offices, team spaces

• Flexible terms - come for a day,

a week, month or year

• Event and Meeting rooms free

with residency or book as needed

• Uncapped internet

• Tech support and award

winning barista onsite

Designed, managed and run by

Get in touch 0800 000557

info@basestation.co.nz

148 Durham Street, Tauranga

The Communication & Technology Space

join us!


16 BAY OF PLENTY BUSINESS NEWS June/July 2018

COMMERCIAL AND INDUSTRIAL PROPERTY

Bay commercial property

investors remain confident

Investor confidence remains positive in

the Bay of Plenty, according to Colliers

International’s recently released June

quarter survey.

Tauranga / Mt Maunganui

and Queenstown took

the top two spots for the

eighth consecutive quarter.

Queenstown led the way on 65

percent, with the two key Bay

areas on 55 percent.

Rotorua was net positive

seven percent, compared with

negative one percent in the

previous quarter.

Hamilton beat Auckland

and Wellington for the third

spot. Across the country

overall net confidence (i.e.,

optimists minus pessimists)

decreased to net positive 23

percent from net positive 25

percent three months ago.

The report says the main

concern voiced by survey

respondents remains a level of

uncertainty around new government

policies.

The buoyancy in Tauranga

in particular is no surprise,

especially given the number

of major projects under way,

including high profile developments

such as the new Farmers

building and University of

Waikato campus, as well

as Quest Apartments and 2

Devonport Road.

The past few months have

also seen multimillion dollar

consents issued for the

Tauranga Crossing and Bayfair

retail developments.

Overall, nine out of 12

regions recorded a net positive

score in the latest Colliers

International survey. In

the main centres, retail and

office confidence increased

in Wellington, while both

Auckland and Christchurch

saw a decrease. Christchurch

and Wellington both recorded

an increase for industrial, but

Auckland decreased.

The Farmers’ corner redevelopment

looks set to pump millions

of dollars into the Western

Bay economy, with an estimated

400 local subcontractors and

businesses expected to be working

on the landmark new retail

and residential complex.

Elizabeth Properties Ltd

- part of the James Pascoe

Group, which owns Farmers

- will spend more than $100

million on the redevelopment.

The local branch of construction

firm Hawkins, Taurangabased

Jensen Steel Fabricators,

and many other Western Bay

contractors will be involved in

the project.

Company representative

Brett Nicholls says Elizabeth

Properties will be using local

contractors where possible.

“Farmers opened its first

store in Tauranga in 1921 and,

as part of our long-term commitment

to the region, we feel

it is only fitting that we should

involve as many local companies

as possible in the project.”

Hawkins Central Regional

Manager Pete McCawe says

the company is really pleased

to be working on the project.

Hawkins is also working on

the Stage 2 retail component of

The Crossing, the University of

Waikato’s new Tauranga CBD

tertiary campus and Zespri’s

new head office in Mount

Maunganui, all of which are

due for completion next year.

Hawkins also worked

on Stage 1 of the Tauranga

Crossing retail component,

which won a Silver award in

the retail category at the New

Zealand Commercial Project

Awards in May.

Nicholls said that the aim

was to reopen Farmers within

two years to provide certainty to

staff and customers and to help

reinvigorate Tauranga’s CBD.

“That’s an accelerated

timeframe, but Western Bay

contractors and workers have

proven that they have the drive

and talent to deliver.”

Wellington’s ‘Waikoukou’ takes out Property Industry Awards

The former Dominion Post

building has taken out

the Supreme Award at

this year’s Property Council

New Zealand Rider Levett

Bucknall Property Industry

Awards.

Waikoukou at 22 Boulcott

Street, home to Transpower’s

Wellington office, also took

out Best in Category for the

Artist’s impression of the new Farmers complex: Helping boost

Tauranga’s CBD revitalisation. Graphic/Ignite Architects.

RCP Commercial Office

Property Award.

Property Council chief

executive officer Connal

Townsend said that in order to

win, the building had to stack

up economically.

“That’s difficult with a

commercial building.

“The Supreme Winner this

evening is efficient, it’s also

very beautiful, and is a landmark

that will help transform

the capital.”

Awards judges credited the

project team, saying the significant

redevelopment, refurbishment

and addition of a

new office structure on top

of the existing Dominion Post

newspaper complex has rejuvenated

what was a largely

vacant and obsolete collection

of buildings.

“Not only does the building’s

superior structural resilience

ensure Transpower

uninterrupted operations in the

event of an earthquake, the

project team have transformed

the property into a modern,

seismically-upgraded office

environment.”

306 Cameron Road

Harrington Street Transport Hub

under construction

Papamoa Plaza

For a professional, no obligation

discussion please contact Mark Gutry

07 547 4074 | markg@wattsgroup.co.nz

27 Owens Place, Mount Maunganui

www.whconstruction.co.nz

Melrose Retirement Village

under construction


COMMERCIAL AND INDUSTRIAL PROPERTY

BAY OF PLENTY BUSINESS NEWS June/July 2018 17

5 Warehouse tenancy myths:

what you should focus on instead

The thing about being in the market for a new warehouse is: when

you’re looking for something so big, it’s hard to think small. But

when it comes to signing a years-long commercial lease, the little

things are often more important than the large, obvious ones. And

sometimes those obvious things should be crossed off your list all

together…

MYTH 1: I need to find

the cheapest warehouse

Of course the cost of your

tenancy should be of primary

concern.

But make sure you’re looking

at the total cost over your

whole lease term, not just the

number beside the dollar sign

in the listing.

Warehouse tenancies are

generally the longest commercial

leases, and when you’re

signing on for 10 years, there

are many other factors to consider

besides how much your

monthly rent will be.

To start: is the lease Gross

or Net? The former includes

operating expenses, the latter

means you’re responsible for

costs such as washing the exterior

of the building, landscaping,

repairs and maintenance

(R&M) and management fees

on top of the rental.

When comparing leases,

add up the value of your clauses

and concessions carefully to

see which tenancy truly makes

the best financial sense.

Takeaway tip: Look at the

total occupancy cost over the

term of your lease, rather than

just the listing price.

MYTH 2: It’s all about

securing maximum height

While office and retail tenants

are all about those square

metres, warehouse tenants can

get obsessed over how many

metres of clearance they have

above them – and all the things

they can stack within it.

But while extra stud height

is great to have, cubic capacity

is affected by what you’re storing,

and whether the building

has sprinklers to meet regulatory

requirements – which are

changing all the time.

Looking skyward and estimating

pallet heights with a

“she’ll be right approach” is

not the way to go.

Takeaway tip: Invest in

getting a racking specialist to

overlay a racking plan over

the building footprint to ensure

you know how many pallet

spaces you can realistically fit

in. Then investigate the sprinkler

system.

MYTH 3: It’s what’s on

the inside that counts,

isn’t it?

Not unless you pass the right

parking lot and loading dock

on the way in, it’s not.

While you probably walk

straight inside when viewing

a house or a shop, viewing a

warehouse should always start

with assessing access to the

site.

Yard access and turning

areas are of paramount

importance, because any hindrance

to product distribution

will add costs right down the

production line.

This is the business end

of your warehouse, so good

business practice demands that

it be your first priority.

Takeaway tip: Don’t be

embarrassed to pull out a

measuring tape if you need

to ensure those precious few

extra inches in the docking

bay exist in more than your

imagination.

MYTH 4: Health and

safety starts inside

Yes, you probably have fallible

humans operating heavy

machinery to concern yourself

with inside, but there are also

dangers to look for outside

your new warehouse door.

On your inspection, check

the orientation of the buildings,

ensuring that they and

their yards aren’t going to be

overly affected by the weather

– high winds, in particular.

Will your vehicles be able to

access the loading bay without

being aversely affected?

And are car and truck accesses

separated for health and safety

purposes?

Takeaway tip: Ensure your

potential yard has safe container

set-down and truck manoevering

areas.

MYTH 5: I can find a great

warehouse by myself

Even if you could locate every

warehouse listing on the market

(hint: you can’t, as many

are gone before they’re even

listed), using the services of an

agent is still an excellent idea.

Getting through the door

via a registered agent not only

gives you the pick of the crop,

it makes the signing process a

lot less stressful.

As we mentioned earlier,

commercial warehouse leases

are usually the longest type

– so negotiating the best deal

upfront is worth doing and

worth doing well.

Takeaway tip: Negotiating

a warehouse lease is a tricky

business. Find the commercial

leasing expert who will help

you do it right at Bayleys.

www.bayleys.co.nz/workplace/articles/insights

Commercial

Property

Management

At Bayleys, we believe relationships are

what businesses are built on and how

they succeed.

We understand that to maximise the

return on your property you need:

Professional property management

A business partner that understands

your views and goals

Speak to your Bayleys team today

SUCCESS REALTY LTD, BAYLEYS,

LICENSED UNDER THE REA ACT 2008

Jan Cooney

Senior Commercial Property Manager

P 07 579 0609 M 027 408 9339

jan.cooney@bayleys.co.nz

Brodie Thomas

Commercial Property Manager

P 07 579 0608 M 027 746 9218

brodie.thomas@bayleys.co.nz


18 BAY OF PLENTY BUSINESS NEWS June/July 2018


COMMERCIAL AND INDUSTRIAL PROPERTY

BAY OF PLENTY BUSINESS NEWS June/July 2018 19

Focus on Property - A trusted name in

commercial property

Focus on Property is a leading Bay of

Plenty commercial property investment &

management company based in Tauranga

with a portfolio of 80-plus buildings. The

majority are in Tauranga, but the company

also manages buildings in Whakatane,

Rotorua and Hamilton, as well as in

Auckland and Queenstown.

Founded in 2001 by

Director Greg Robison,

Focus on Property has

since grown significantly to

become one of the most trusted

firms in the commercial real

estate sector, managing over

$250 million of property value.

“We are not run of the mill

managers,” says Greg’s fellow

Director Kevin Baker, the company’s

Property Development

Manager.

“Our specialist team has a

proven track record in searching

for and securing quality

property investments. We take

on properties that we know

have the potential for us to

help our clients create higher

value buildings and maximise

tenancy performance.”

The firm is exclusively

focused on commercial property,

with a weighting towards

the office and industrial sector.

The firm also has some clients

invested in hospitality and

retail properties. Kevin says

Focus on Property understands

all of the moving parts of a

commercial property investment.

“Supporting our purchasers,

we offer a comprehensive

property management service,

but we also put a high priority

on facilitating our clients’

investment strategies,” says

Kevin.

“The buildings we secure

are long-term wealth-holding

investments for the individuals,

companies and family

trusts we represent.”

David Baker, who is

involved with managing daily

operations and implementing

strategy and policy for

the firm, notes the increasing

importance of compliance for

commercial property owners.

“There are now a lot more

compliance requirements in

terms of building code regulations,

health and safety

obligations, fire systems,

asbestos control and earthquake-strengthening

requirements

that owners need to be

aware of,” says David.

“There can be serious consequences

for owners if anything

goes wrong. We can

navigate our way through the

regulatory process, which is

just one way we can transform

properties and add value

for our clients. High-quality

end user tenants will pay higher

rental rates for compliant,

well-presented properties to

minimize any risk to staff safety.”

Kevin says revitalisation

of the Tauranga city centre

is encouraging for the market,

with major projects like

the new Farmers development,

Quest Apartments,

2 Devonport Road and the

University of Waikato, increasing

intensification of the CBD.

This will give the hospitality

sector a much-needed boost,

with the service industry needing

to supply to this increased

population.

Greg and Kevin are

involved in property personally,

with interests in commercial

buildings throughout the

region, which allows them to

relate to other investors on a

level playing field.

Focus on Property has

recently managed the refurbishment

and earthquake

strengthening of 104 Spring

Street and upon completion,

relocated the office into the

CBD to be part of the growing

action.

“We are very confident

about the future of the Bay of

Plenty’s commercial property

sector,” says Kevin.

THE BAY OF PLENTY’S TRUSTED NAME FOR SECURING AND MANAGING QUALITY

PROPERTY INVESTMENTS THAT CREATE VALUE AND MAXIMISE PERFORMANCE

Operating in the Bay of Plenty for over 17

years, Focus on Property is a full service

team of commercial property investment and

management specialists offering robust financial

due diligence on property with a proven track

record in searching for and securing quality

property investments.

SERVICES

• Property Management

• Project Management

• Feasibility

• Investment

• Syndication

• Development

P1512Y

104 Spring Street, Tauranga

Call us today: 07 572 1310

WWW.FOCUSONPROPERTY.CO.NZ


20 BAY OF PLENTY BUSINESS NEWS June/July 2018

COMMERCIAL AND INDUSTRIAL PROPERTY

Exciting new

Rotorua Residential

Development

In 2017 Cheal Consultants was engaged by Marguerita

Developments Limited to assist with a comprehensive residential

development of fourteen homes at 14 - 22 Marguerita Street,

Rotorua. Glencoe Construction and 7d Architecture Ltd designed

several standard dwellings for the site with a consistent design

theme, minimal fencing and central shared accessways.

The resource consent provided

flexibility with

two, three and four bedroom

options available for purchasers

to choose from. They

are being sold as house and

land packages with flexibility

in their design and collaboration

for fitout to suit individual

purchasers.

The District Plan encourag-

es Comprehensive Residential

Developments by allowing

smaller lot sizes than are otherwise

provided for – 150sqm

instead of 350sqm in the Residential

2 Zone. This allows

for innovative design solutions

that incorporate efficient

use of land with shared access

and reduced yards along with

a design to provide passive

solar heating and natural light

for dwellings. The subdivision

resulted in 275 to 375sqm lots

with a shared Right of Way

generally in groups of 4 lots.

Cheal undertook the geotechnical

testing and assessment,

ground improvement

design, civil engineering, surveying

and prepared the resource

consent application for

the dwellings and subsequent

subdivision.

The site hasn’t been used

for much in recent times. The

research undertaken during

the consent phase highlighted

that it was historically a rehabilitation

camp for servicemen

during war time. On the eastern

boundary is a geothermal area

that once housed a geothermal

theme park. This area is currently

active with hot and cold

pools, steam vents – it has almost

every type of geothermal

hazard except for a geyser. The

geotechnical testing undertaken

on site showed that it was

remarkably devoid of effects

from the geothermal resource,

in fact just slightly elevated

temperatures were measured

at depth near the eastern end of

the site. This was encouraging

as the building costs for both

underground infrastructure and

houses are significant when

there is a need to mitigate effects

from concentrated sulphur

dioxide and carbon dioxide.

Nevertheless precautions

have been taken to mitigate the

potential for the underground

resource to grow or migrate.

These predominantly take the

form of the underground drainage

network being upgraded

to geothermally resistant materials

and consideration of alternate

methods of stormwater

disposal. It was determined that

stormwater discharge via soakage

could create pathways for

the below ground geothermal

gases to escape near the houses

and become a nuisance. Whilst

some of the sites have soakage

as the primary method, the sites

closer to the geothermal area

have a discharge directly to the

existing Council stormwater

network albeit via underground

detention tanks to offset the

additional runoff effects of the

development on the existing

built environment. The houses

all have a gas proof membrane

installed underneath their foundations

along with the geotechnically

improved ground which

will provide a greater degree of

earthquake resilience should a

disaster occur.

Resource consents were

granted in May 2017 and the

issue of titles is on-going. In

order to gain new titles the

cadastral surveying had to be

completed along with all new

service connections installed

and the driveway formed. At

the same time, construction of

the new dwellings was underway

and these are being undertaken

in stages with some now

completed and landscaping established.

New freehold titles

have been obtained in stages

for those parcels that also contain

completed buildings.

The development has been

very successful as the Developer

has brought the subdivision

to the market at a time

when there are very few other

subdivisions with lots available.

The creation of standalone,

modern, warm homes

are much sought after and there

are not many left in this quality

development.

engineers | surveyors | planners

Ph: +64 7 349 8470


COMMERCIAL AND INDUSTRIAL PROPERTY

BAY OF PLENTY BUSINESS NEWS June/July 2018 21

Renting vs owning your business premises

To own or to rent your business premises?

That is the question.

There are advantages to

owning your business

premises over renting,

but also potential disadvantages.

On the upside, there’s the

obvious benefit of paying an

amount you would have otherwise

spent on rent off against

a mortgage used to fund the

building - a compulsory savings

scheme for you and your

business.

The equity built up can be

used as collateral for additional

borrowings used to fund future

business growth, or possibly

to fund the return of invested

funds to the business owner.

If the business is struggling

and cashflow does not look

good, then what’s the harm in

delaying or perhaps skipping

a rent payment? After all the

business is its own landlord.

Another compelling reason

is the ability to make additions

or improvements to the premises

without being put through

the ringer by an overbearing

landlord.

And don’t forget the tax

benefits. If the property is sold

down the track it will not be

subject to tax on any capital

gain derived, provided it

was genuinely purchased for

business purposes and not for

speculation.

Furthermore, there is no

need to worry about the new

five-year bright line tax rule

that seeks to tax the capital

gains derived on property if

sold within five years of acquisition.

This rule only applies

to residential property, and in

most cases business premises

will be commercial in nature.

Then, down the track when

you ultimately sell the business,

you will have a standalone

asset that you could

retain to derive passive income

in your retirement years.

Make sure there’s a

business case

But before you rush off and

buy a building, you need to

make sure there is a sound

business case for doing so.

The business should be able

to not only afford the servicing

of any borrowing used to fund

the purchase, but also factor in

the ongoing upkeep and operating

costs.

The building should also be

a sound investment on its own

merits as it may be leased to a

third party or ultimately sold

in future. Due diligence should

be undertaken on all aspects,

including whether it is earthquake-prone,

and the potential

ramifications if it is.

Note also that specialised

buildings designed and built to

a business’ unique needs may

have a reduced appeal to a

future tenant. These could be

include buildings with significant

leasehold improvements,

such as cool stores, refrigeration

units, or ventilation/extraction

systems, that could be costly

to retrofit or make good.

Mixed-use property options

that combine residential and

commercial use, while gaining

in popularity and appealing to

some, may still have limited

appeal. On the other hand,

premises such as high-grade

office spaces will usually

appeal to a wider market and

so be easier to tenant.

Similarly, consideration

should be given to what an

exit could look like. How

attractive would the building

be to a potential purchaser? Is

there a quality tenant in place,

is it easily accessible and is

there ample carparking? Is it

in a location where there could

be a future glut of properties,

for example due to changing

trends in consumer shopping

behaviour?

Holding structures

Finally, thought should be

given to how the building is

held. It is common for a related

entity to own the building and

lease it to the trading business.

This is good practice from

a risk perspective as keeps

the property separate from the

trading activity and the other

business assets.

In such cases it is best practice

to have a lease agreement

in place between the entities

on commercial terms with a

REGULATORY MATTERS

> BY GRANT NEAGLE

Grant Neagle, a director at Ingham Mora Chartered Accountants

in Tauranga, is a business advisor and tax specialist. He can be

contacted on 07- 927- 1225 or grant@inghammora.co.nz

market lease charged. Often

banks will require this from

a lending perspective. It also

safeguards the tenancy relationship

in the event the business

is sold, and you wanted to

continue letting the building to

the new business owner.

That said, it may be more

advantageous from a tax perspective

for an entity in the

business of building or developing/dealing

in property (or

that is associated with a person

or entity that is), to own the

premises in the same entity as

the trading business. This is

particularly so if the premises

may be held for less than ten

years. If it’s held in the trading

business, gains on the sale may

not be subject to tax, whereas

if held in a separate entity they

may be.

The comments in this article

are of a general nature and

should not be relied on for

specific cases, where readers

should seek professional advice.

Put your property

business in the most

trusted hands.

Like Craig McMichael, Senior Project Manager.

Craig’s the guy whose ability to quickly map out and lead

complex projects to successful outcomes set him apart.

His recent project successes include IRD’s new 4000sqm

Tauranga premises, Ministry of Education’s new Tauranga

premises, and the $20M Hill Laboratories in Hamilton.

Now that’s some experience! It’s the sort of experience

that creates and adds value to your property business.

With Craig and the Veros team, you’re in the right hands.

Our specialist suite of property and development services includes:

Located in Tauranga, Hamilton & Rotorua

info@veros.co.nz | www.veros.co.nz

Property

Advisory

Investment

and Property

Acquisitions

Site Identification

and Tenancy

Management

Development

Management

Project

Management

Asset

Management


22 BAY OF PLENTY BUSINESS NEWS June/July 2018

COMMERCIAL AND INDUSTRIAL PROPERTY

COLLIERS INTERNATIONAL

THE TAURIKO BUSINESS

ESTATE EXPERTS

We find and create value.

Call us for your leasing, land acquisitions

and land sale needs.

We know how to get outstanding results!

Rachel Emerson

021 502 877

r.emerson@colliers.com

Simon Clark

021 959 710

Simon.clark@colliers.com

Rob Schoeser

021 490 425

Rob.schoeser@colliers.com

Rich Davidson

027 860 9338

Richard.davidson@colliers.com

P9921Y

CPS Partnership Limited trading as Colliers International Tauranga Licensed under the REAA 2008

Accelerating success.


WOMEN IN FINANCE

Money Metrics

- taking care of business

Kelly Lelieveld B Bus, CA has been the face of Money Metrics in

Rotorua for the past two and a half years & is enjoying the

work life balance that this business model offers. The virtual

operation means that Kelly can work from anywhere and

her work hours can be flexible so that she doesn’t miss any

important family time.

The streamlined operation means that

Kelly gets to work with happy clients

who are enjoying the benefits of

cost-efficient, professional Chartered Accounting

expertise combining sharp business

acumen with ‘out of the box’ thinking.

Kelly joined Money Metrics in January

2016 and in the same year became qualified

as a Chartered Accountant. Kelly has

gained her work experience through positions

at BDO, Timberlands and Mercury

(all Rotorua based companies) and has dealt

with a wide variety of industries including

farming, forestry, tourism, electricity and

businesses of all sizes.

Spending most of her life in Rotorua

Kelly has a real passion for helping people

in business locally which was one of the

main reasons for her choice to return to public

practice. Kelly, along with her husband

& two children, lives on a lifestyle block

close to Rotorua so they make the most of

the many outdoor activities that Rotorua

has to offer including motorbike riding,

boating, cycling & walking.

Kelly Lelieveld

BAY OF PLENTY BUSINESS NEWS June/July 2018 23

MICHELLE HILL

– PARTNER/DIRECTOR

BDO Rotorua

Michelle joined BDO Rotorua

as a Partner in March 2014.

Prior to this, she founded

and built from scratch her

own successful accountancy

practice in 1992.

With more than 30 years’ experience

as a Chartered Accountant,

Michelle has specialised skills

in Business Advisory, Strategic Planning,

Business Structuring and Management Reporting.

As BDO Rotorua’s Advisory Partner,

Michelle provides services to a broad range

of small to medium-size businesses and

has a special interest in the professional

sector. Michelle’s practical, down-to-earth

approach allows her to build strong, lasting

relationships with clients. This often

involves one-on-one coaching to enable

clients to grow their business, and create

opportunities to meet both business and

personal goals.

Michelle has been extensively involved

with the New Zealand Institute of Chartered

Accountants at both local and national

levels and was honoured with a Fellowship

early in her career. She has a genuine interest

in helping others to achieve excellence

and sets a standard that others wish to

emulate.

An experienced presenter, Michelle regularly

shares her insight and experience

through speaking events – from a small

group of clients to national events and

workshops.

info@moneymetrics.co.nz

0800 METRICS

www.moneymetrics.co.nz

P1049Y

BDO Rotorua - Michelle Hill

Tel: +64 7 347 9087

Fax: +64 7 348 6685

michelle.hill@bdo.co.nz

Level 1, 1130 Pukaki Street, Rotorua 3010

www.bdo.co.nz

P2546Y

Michelle Oldfield

Newly appointed Associate at Bennetts

Proactive Chartered Accountants

Anyone who thinks that success is all about grit and steely-edged

determination clearly hasn’t met Michelle Oldfield. Unassuming and

relaxed, she’s more likely to hand you a coffee and sit down for a chat

than hit you with business theory.

Michelle is already a

familiar face to many,

having fulfilled a senior

accountancy role with the firm

since September 2016. With 17

years’ experience in the Bay,

Michelle brings a wealth of

knowledge and expertise across a

range of industries. Her promotion

to Associate has allowed her to

bring even more value to clients

as well as playing an active role in

practice growth and development.

The success of those she

supports is clear evidence that her

approach works.

What is the most interesting part

of your day/business?

I love the variety - no two

businesses or clients are the same

and there is no cookie cutter

solution to assisting clients in

achieving growth and success.

Each client has different needs,

expectations and personal things

happening so we adapt our services

to suit. We also need to have

knowledge of varying industries.

Even clients within the same or

similar industries can be at varying

stages of their business and have

different levels of operation.

Did you have any mentors

throughout your career and how

did they influence your decision?

Yes certainly. I have been

fortunate enough to work for

practices throughout my career

that have provided me with the

high professional standards and

ethics that form my work style

today.

I have also learnt a lot from

my clients - they all have valuable

skills and knowledge which have

contributed to their own success as

business owners. This combined

knowledge often shapes what we

do and ensures the best possible

outcome.

What drives you?

Seeing the success of my clients.

Most clients work extremely

hard to achieve a goal and build

wealth, and for some it’s a 24/7

commitment. Over time a work

life balance is achievable for most

clients and working with them

to allow that to happen is hugely

rewarding.

What other interests/hobbies do

you have?

Squash and drag racing!

Over winter I enjoy a game

or two of Squash. I’ve grown

into the sport playing at a social

level, in a club that has fantastic

facilities and success at all levels.

Over the years I’ve been able to

contribute my time, experience

and professional skills to this

community organisation and this

year I’ve taken up the role of club

president.

Summers are committed to a

family sport of drag racing. It’s a

full on day at the track, usually

running around under a bit of

pressure, but there’s generally a

lot laughter as well. We’re usually

at our local track in Meremere

but we have travelled as far as

Christchurch.

Michelle Oldfield

Bennetts Proactive Chartered Accountants

michelle@bennettsproactive.co.nz

Ph 07 573 8446 | Fax 07 573 8597

www.bennettsproactive.co.nz

8 Queen Street, Te Puke

PO Box 32, Te Puke 3153

V8738L


24 BAY OF PLENTY BUSINESS NEWS June/July 2018

Know your critical success factors

The performance of a business depends on the quality of

decisions that are made. These, in turn, depend on the quality of

information available to the people who make the decisions.

An accounting system

generally only provides

information that arises

from financial transitions. In

essence, it summarises the

financial consequences of the

variety of processes that are

involved in doing business.

It is an excellent system for

monitoring how well or how

poorly a business is performing

in the aggregate.

However, because it focuses

on the outcome, rather than

the process, it does not provide

information in sufficient

enough detail to monitor the

performance of the activities

critical to the success of the

business.

Critical success factors

(CSF)

The CSFs of every business

are ultimately determined by

its strategy - that is, by the way

in which management decides

to compete.

It is worth noting that

unless the firm’s strategy is

based on being the lowest-cost

producer, it is unlikely that

cost would be very high on the

list of critical success factors.

Despite this, the vast majority

of people in business see

the road to success as being

cost control, and therefore,

their management information

system focuses on aggregated

cost and revenue reporting.

Clearly, costs are important,

but they should not be the primary

point of focus. What is

important is a thorough understanding

of customers’ needs

and wants.

From this, the business

can get a clear understanding

of what it must do to meet

those needs.

Far and away the biggest

problem facing most businesses

today is their failure to

understand this point.

For a business to identify

its CSFs, all that needs to be

done is to look at the various

dimensions of quality and

determine specifically what it

needs to do to meet those

dimensions in the eyes of its

customers.

Having done that, measures

of actual performance must be

selected that will reveal how

the business is doing. These

are the Key Performance

Indicators.

Clearly, costs are

important, but they

should not be the

primary point of focus.

What is important

is a thorough

understanding of

customers’ needs and

wants.

Key Performance

Indicators (KPIs)

A KPI is a financial or non-financial

measure of activity,

which indicates on its own

or in association with another

measure, how a business or

process within a business is

performing.

KPI measures take the

form of time, size, dollars,

numbers, percentages, etc.

For example, net profit is a

KPI that stands on its own. It

is a CSF for the survival of a

business.

Return on investment is

another KPI. The solvency of

a business depends in part on

its credit policy. Therefore, a

CSF is a strong credit control

programme. This can be measured

by receivables turnover

and, therefore, receivables

turnover is a KPI.

There are also a number of

non-financial measures of performance

and/or productivity

that are critically important.

For example, the number

MONEY MATTERS

> BY MICHELLE HILL

Director and Partner at BDO Rotorua, Chartered Accountants

and Advisers. To find out more visit bdorotorua.co.nz or email

rotorua@bdo.co.nz

of sales transactions generated

from marketing efforts, the

number of sales made as compared

to the customers that have

made inquiries for your products

or services. Customer satisfaction

levels may be another

relevant KPI for your business.

The point is, if you don’t

know what is critical to the

success of your business and

have KPI’s wrapped around

those success factors, then it is

time that you did.

It’s time to review

your goals

GROWING YOUR BUSINESS

> BY DARREN MCGARVIE

Darren McGarvie is co-founder and Chief Coach of the

Firestation, the Bay’s only business growth centre. To find out

more go to www.thefirestation.nz or email grow@thefirestation.nz

Business owners are

renowned for setting

pretty ambitious goals at

the start of the year. While it’s

hard to believe, 2018 is already

half over. With the year flying

by at lightening speed, it is

important to take stock of your

goals and see how you are

tracking.

So, grab that goal list you

created at the beginning of

the year, dust it off and get

ready to be honest about your

progress.

First you need to evaluate

the status of each goal. If

you have achieved any, give

yourself a pat on the back and

reward yourself.

Now focus on the goals that

you have not achieved (or if

you’re being completely honest

with yourself, the goals you haven’t

really started working on).

It’s time to reassess all the

goals still left on your list. Do

they still matter and are they

things you want to achieve?

There is no point working

towards a goal simply to tick

it off a list.

Let’s face it, life circumstances

and the business world

is constantly evolving. It is

quite possible that some goals

you set at the start of the year

are no longer relevant to you.

Goals are living and breathing

things and are not set in

stone. It’s okay to change

them. Take the time for a goal

reset and make sure they are

still meaningful for you personally

or professionally.

This will ensure that your

goals are still things that you

want and need to achieve. Now

get ready for the hard work.

Look at each goal and think

about what actions are needed

to kick-start results. Write the

to-do list to accomplish each

of them.

We tell our clients that a

goal is a dream with a deadline.

Don’t just write the list,

go one step further and put

a deadline date next to each

action.

For the remainder of the

year, focus on accomplishing

each step, not the goals.

Also commit to reviewing

your progress regularly for the

rest of the year. Don’t just say

you will do it, schedule reviews

in your calendar. By doing this,

you will remain committed to

accomplishing your business

and personal goals.

If you need help to stay on

track, consider using a professional

coach.

They are there to help you

understand your strengths and

weaknesses and learn new

ways of thinking and applying

yourself.

However, the primary benefit

of a coach is accountability.

They can offer encouragement

and the enforced discipline to

help you achieve your goals.


Bay of plenty

25

First on the scene

Photos from the recent BA-5 Vodafone held in the company’s Tauranga offices.

Photos / Helen Chapman Photography

CONNECTING

BUYERS AND

SELLERS OF

QUALITY

BUSINESSES

When is the right time to sell

your business? Right now.

1 2

1 Sarah Oemcke, 16th Avenue Theatre and Andrew Hitchfield, Vodafone. 2 Mike Rogers, Pearce, BOP Rugby Union

At TABAK, we promise to guide

you through the sales process

with focus, integrity and

complete confidentiality.

3 4

3 Geoff and Janine Williamson, Superior Shelving Systems (NZ). 4 Andrew Ranapia, Rural WiFi and Security and

Sean Cordery, Bethlehem First National Real Estate.

FOCUS • INTEGRITY

CONFIDENTIALITY

WHY TABAK

INDUSTRY EXPERIENCE

5 6

5 Stan Gregec, Tauranga Chamber of Commerce and Colin Bower, Driveline. 6 Andrew Hitchfield, Vodafone and

David Altena, Vo2 BOP.

REALISTIC APPRAISALS

TEAM APPROACH

PRE-QUALIFIED BUYERS

P5177Y

7 8

7 Lyn and Brent Trail, Surveying Services. 8 Angela Gillespie, 16th Avenue Theatre and Heather Hoskins, Vodafone.

9 Maria and Philipp Wilkens, Computastyle Signs.

9

147 Cameron Road

p. 07 578 6329

e. tauranga@tabak.co.nz

w. tabak.co.nz


26 BAY OF PLENTY BUSINESS NEWS June/July 2018

Small businesses can do

video marketing too

Who can remember McDonald’s “Make it Click” advertisements?

What about Toyota’s “Bugger” ad? The use of video as a

marketing medium has long been popular, but it wasn’t until the

advent of social media that its use became widespread among

small businesses.

TELLING YOUR STORY

> BY JAMES HEFFIELD

Director of Bay of Plenty communications consultancy Last Word

Writing Services. To find out more visit lastwordwriting.co.nz or

email james@lastwordwriting.co.nz

But creating an engaging

video that adds value

to your business takes a

degree of skill.

Before you pick up the

video camera (or your smartphone),

consider how the

video will be used and what

you are aiming to achieve.

Knowing the ways your

video will be used and the contexts

people will experience it

in will help you determine its

ideal length, format and how

it’s produced. Not to mention

how much you want to invest

in creating it.

For example, if your video

is for social media, you may

want to keep it short and consider

adding captions as most

social media platforms play

videos on mute, by default.

If it’s for your website,

think about file size and for-

mat so it doesn’t slow down

loading times.

If it’s for a television commercial,

consider the time of

day it will screen and the programme

people will be watching

when your advertising

appears in front of them.

Make sure you have a

strong hook. You only

have a few seconds

to grab a viewer’s

attention.

One component that holds

true across all channels is

storytelling.

If you can create a narrative

around your business or

a product you are selling, it

will help you connect with

your viewer and make them

more likely to pay attention

and remember your message.

If you’re selling tramping

boots, you might create a

story about the role shoes have

played in a character’s childhood,

and the role shoes may

continue to play in adventures

yet to come.

Make sure you have a

strong hook. You only have a

few seconds to grab a viewer’s

attention. A good hook

might involve posing a question

that makes people think,

or using a strong visual, such

as a dramatic landscape or a

facial expression that invokes

an emotional response.

You will also want to

think about the static image

displayed at the start of your

video before it begins playing.

This is often called a preview

or hero image, and it’s

particularly important on

social media when your video

is competing against a whole

lot of other imagery to gain

viewers’ attention.

Using a preview image with

a logo on it and nothing else

gives the viewer no idea what

your video is about and little

reason to click play.

It’s often better to select an

engaging frame from the video

and to use that as the preview

image.

Other elements that give a

video a good chance of success

include expert cinematography,

good “talent” – the people who

appear in video – and an engaging,

well-paced voiceover.

The length of your video

is important too. While many

successful videos used on

social media are less than 60

seconds long, you shouldn’t

feel constrained by this. Your

video’s length should be dictated

by the strength of the

story you are trying to tell.

If you need two or three

minutes, do that, but make sure

you keep the story as tight as

possible, avoiding waffle or

segments that might lose the

viewer.

Lastly, while video can be

highly effective, it does have

its limitations. Sometimes written

content can be more useful

because it’s easy for people to

scan for a particular piece of

information; they don’t have to

watch a full video to find what

they are looking for.

Written content is also easy

to re-purpose for use in different

channels allowing it reach

people in more places than

video, which is predominantly

viewed on televisions, computers

and smartphones.

Video can be a powerful

way to promote your brand or

sell your products. But like all

things marketing, it’s critical to

keep your business objectives

and users front of mind when

producing it.

Meet The Law Shop’s

newest family lawyer

A

bright young lawyer has

joined the no-nonsense team

of legal experts at The Law

Shop in Tauranga. She thrives on

making the daunting family justice

system seem less scary and confusing

for people and with a friendly yet

professional approach, she’s an

advocate for people throughout the

often challenging and emotionally

charged Family Court proceedings.

We’ve asked Samantha Allen (26) a

few questions.

Tell us a little about yourself,

like where are you from?

I’m from up and down the East

Coast. Briefly, I grew up in

Gisborne. Then I went to boarding

school in Dunedin when my family

was living in Oamaru. I did my

law degree in Wellington, and I

am currently living in beautiful

Tauranga. My family now lives in

Hawke’s Bay.

What made you decide to

become a lawyer?

When it was time to go to Uni, I

chose Gender Studies and Sociology

which I studied at the University of

Otago. I wanted to work in a field

where I could help people. I picked

up law in my last year at Otago, and

carried on with it at the Victoria

University of Wellington.

What is a typical day at the

office like for you, if there’s

such a thing?

First things first, I make a nice

cup of earl grey tea. Then I check

my calendar, emails, and get stuck

into seeing clients and drafting

applications or response documents

which are usually for domestic

violence and/or care of children

proceedings. Never a dull moment

here.

What would you say is the

best thing about working at

The Law Shop?

I feel extremely lucky to have such

incredible bosses. It feels like I

am working with colleagues rather

than Directors, and I always feel so

welcome. I also love that we are an

all-female firm. We do, however,

work with clients of all genders

and all walks of life. The team at

The Law Shop as a whole is down

to earth, relatable, empathetic and

extremely hard working.

What do you enjoy most about

your job?

That I get to use my privilege of

being a lawyer to help people in

extremely difficult situations and to

help them get their voice heard.

What do you like doing

outside of work?

Painting, going to the theatre,

re-watching Brooklyn nine-nine (I

love Charles), road trips, riding my

brother’s horses in Ruatoria in the

Waiapu Valley, and spending time

with friends and family.

If you weren’t a lawyer, what

would you be?

I would probably be working for

a community organisation but if I

could be anything I wanted, I’d be

on TV with comedian Miranda Hart.

Could you share some great

advice you’ve been given?

Notice and be grateful of the small

things in life.

Keen to meet Samantha, or

the other members of The Law

Shop team, in person? Call 07

572 5272 (Tauranga) or 07 349

2924 (Rotorua), email team@

thelawshop.co.nz, or check out their

website thelawshop.co.nz for more

information.

The Law Shop

team@thelawshop.co.nz

1268 Arawa Street, Rotorua 3010

1239 Cameron Road, Greerton, Tauranga 3112


BAY OF PLENTY BUSINESS NEWS June/July 2018 27

Managing your

assets in a Trust

Establishing a trust can be an effective

way to protect your property and assets

from business risk. In a nutshell, it means

transferring legal ownership of your assets

to trustees while you can continue to use

and enjoy them for as long as the trustees

permit.

A

trust is a legally binding

arrangement when a person

(the settlor) transfers

legal ownership of assets to

certain chosen persons (trustees)

to be held for the benefit

of other persons named by the

settlor (the beneficiaries). If

your family home is in a trust,

for example, you no longer

personally own the house, but

you can still live in it if that’s

what the trust deed states and

the trustees allow.

Paula Lines, Commercial Lawyer at The Law Shop.

“There are different types

of trusts, with different purposes.

Asset protection, the

preservation of wealth, and

asset consolidation and management

are some of the more

common reasons for forming a

trust,” says Paula Lines from

The Law Shop.

“A trust is not a “legal entity”

as such but can pretty

much do all that an individual

can. It can trade or run a

business, invest, hold property,

or lend and borrow money. A

trust can protect selected assets

against claims and creditors.

For example, it can protect

the family home from the

potential failure of a business

venture,” she explains.

“Historically trusts were

used so people would be able

to get rest home subsidies but

those gaps have long been

closed. It is far more common

now to have a trust to provide

asset protection or succession

of an asset through the generations.”

The creation of trusts is a

rather complex area of the law

and at the moment, there are a

good few changes underway to

the Act around trusts. The aim

of these changes is to clarify

and simplify the process and to

make it easier for people to use

trusts to manage their affairs.

“Everybody’s needs are

different, and our team can

take you through issues and

clarify potential difficulties.

We’ll explain everything to

you and ensure that a trust

really is the best structure for

you. We speak in everyday

terms so you’ll understand

what a trust is and why you

have a trust. It’s all part of

The Law Shop’s service, and

we can meet in person or via

Skype,” Paula says.

If you’re thinking about

setting up a trust or need legal

advice around your existing

trust, or if you have questions

or would like more information

on the impact the expected

changes to this area of law

may have on your affairs, contact

The Law Shop any time.

The Law Shop team is

highly experienced in establishing

and maintaining trusts.

The first thing they’ll do is

check whether a trust is the

best option for you and your

situation, and they offer a free

initial half hour meeting. Just

call 0800 LAW SHOP (0800

529 7467) or email team@

thelawshop.co.nz to find out

more.

STEPHANIE NORTHEY

LL.B | Director

PAULA LINES

LL.B | Director

SARSHA TYRRELL

LL.B | Director

ROTORUA

1268 Arawa St

Rotorua

TAURANGA

1239 Cameron Rd

Greerton


A

Recruitment

lignzProviding Staffing Solutions

OFFICIAL OPENING

9th JULY 2018

FAST

COST-EFFECTIVE

RESULTS BASED FEE

CUSTOMISED

More magazines by this user
Similar magazines