Business leaders in the Midlands are voting with their feet and declining to work with clients because of their ESG credentials, according to new research from accountancy and business advisory firm, BDO. BDO’s ‘Rethinking the Economy’ survey found that 42% of businesses in the region are declining or discontinuing to work with clients or customers as a direct result of their ESG performance. When asked which factors business leaders considered most important when selecting or renewing contracts with customers or suppliers, 33% selected ED&I performance. The second most important consideration from 23% of businesses is the reputation of potential customers or suppliers with external stakeholders, including the media. Personal relationships ranked as the third most important, which was cited by 20% of companies. In regard to diversity and inclusion, improving social mobility and socio-economic diversity is a key priority for more than a quarter of businesses. The same proportion are focusing on diversity and inclusion relating to ethnicity and 28% are focused on gender diversity and inclusion. This mirrors the 27% of companies that are focusing on environmental commitments. Tim Foster, partner at BDO, said: “Business leaders are facing pressure from every angle at the moment, whether it’s the cost-of-living crisis, the lingering effects of a global pandemic, or geopolitical uncertainty. Despite this, businesses are clearly voting with their feet when it comes to weighing up commercial relationships and the ESG agenda. “With almost half of businesses revealing that they are already declining to work with clients due to poor ESG performance, all businesses will need to be prioritising ESG no matter what their size or sector.” He added: “It is positive to see such a high percentage prioritising diversity and inclusion around social mobility and ethnicity within their leadership teams and workforces. Improving social mobility in the Midlands is key to the future success of the region, and businesses will play a vital role in driving that agenda forward to create more equal opportunities across the board.”

For the first time, Lincoln law firm Shakespeare Martineau is to offer damages-based agreements (DBAs) as part of its portfolio of litigation funding options called ‘FeeManage’. DBAs – a fairly new addition to English law – are contingency-based agreements where legal fees are payable as a percentage out of the damages received in the event a case is successful. Shakespeare Martineau is proud to be in a position to offer DBAs as part of its FeeManage proposition. If a DBA is entered into and the pre-determined success criteria is achieved but the recovery from the losing party is relatively low, the DBA percentage fee from recovered monies may be a sum significantly less than that which would have been payable by the client on a normal retainer basis or pursuant to a conditional fee arrangement (CFA) – meaning an increased shared risk between client and legal advisors. In addition to DBAs, the firm is working with a variety of funders to offer third-party funding (TPF) and after the event (ATE) insurance in combination with CFAs as potential options. Unlike competitors, Shakespeare Martineau is not tied to a single funding provider in order to flex requirements and offer full or part funding for litigation claims. Barry Jervis, partner and litigation expert at Shakespeare Martineau, said: “Too often businesses are put off from pursuing debts and assets that are rightfully theirs due to the associated costs, impact on the balance sheet and risk. “Litigation was buoyant across the country before the pandemic and, as we emerge into a post-pandemic economy, we can expect disputes to increase further. However, the costs of litigation are climbing sharply, alongside increasing numbers of businesses experiencing cash flow issues as a fall out from the pandemic. “Our new ‘FeeManage’ service helps to reduce the financial risk of litigation. Every individual and every business is unique and while traditional CFAs might work for one client, third party funding might be more appropriate for another. Whatever the size or complexity of the litigation, we have an option that will suit. “We’re really proud to be taking a different approach to litigation funding. We’re not fixed to a single provider and we’re giving our clients every option available for funding their claim.”

Fiona Duncan-Steer, founder of RSViP Business Networking Agency, explains the importance of being ‘people’ focused instead of ‘customer’ focused.  Being customer focused isn’t always a good thing. I’ll explain. Wearing your sales hat and providing what you may class as top-notch customer service can and often will go against what you are setting out to achieve in the first place – from the perspective of the customer. Yes as a consumer we expect professionalism, honesty, a delivery on promises etc etc. That is standard for what we as business owners would like to think we provide consistently through our products and services, but as a customer, we also crave personability, personality and a bespoke service that makes us feel…well, exclusive and a little bit special. Not just another ring in the till, another tally on the chart and another invoice to process, because let’s face it, nobody likes to be ‘sold’ to. In fact, the best salespeople are those who sell to you without you even realising you are being sold to. This is why networking has become the new cold-calling – think about it. We as a customer want to feel valued, like the hard-earned money we are spending is appreciated. Some of the best experiences I have had when staying at hotels, dining at restaurants or even getting my car washed, are when I have had actual conversations and a bit of a laugh with the waiter/receptionist/bar tender, when they have taken the time to ask me questions, get to know me and make my experience just that little bit extra, going above and beyond the call of duty. That understandably overused cliché of ‘people buy people’ really comes into play here, as we wouldn’t spend our money with someone we didn’t like that much and if we did, it is likely we would feel regretful and unhappy about it, we’d wish we had gone with their competitor down the road who may not have been offering exactly what we were after, but who certainly would have made up for it with enthusiasm and appreciation. Sometimes this is all that it takes to bag the deal with me, in fact most of the time. As humans, we are continually on the quest for connection – even on a subconscious level, so the answer is simple – connect with your audience. We as businesses cannot afford to get it wrong anymore. With so many competitors out there doing what we do, most markets are saturated, so what stops someone walking a few yards down the road to give their money to your competitor who offers virtually the same thing as you, but just does it with a smile? Mistakes happen yes, no one is perfect, but as a business you cannot afford to be consistently complacent, blindly proceeding with lack of care in anyone or anything besides what they can do for you – particularly in a post pandemic world. ‘Service with a smile’ as they say is most certainly the way forward to capturing the attention of your audience and you’re seventy five percent of the way there in securing business if you have taken the time to get to know what it is your customer wants and needs. Most of the time people don’t even know what it is they need, that’s your job to work that out, so communicating effectively, in order to establish whether what they need is something you can offer them is ultimately very clever business. Granted you won’t be able to help everyone and again should you accept and admit this early on, it will save a lot of time, will not go unnoticed and will in fact be appreciated and you will be remembered for your honesty – instead of trying to manage expectations and not quite delivering on your promises, resulting in the opposite intention of business self-sabotage. Being people focused within your business and putting relationship building at the forefront of everything you do is a sure-fire way to laying a healthy and solid foundation for your business, which in turn will only grow and thrive from there. You will be remembered and recommended for your efforts, you will see longevity and higher customer retention and you will build a reputable brand with strong values with people at the core – something that many businesses don’t do because their tunnel vision for ‘bagging the sale’ overtakes everything else. So, ask yourself, instead of being ‘customer’ focused, could you be a little more ‘people’ focused instead? Fiona Duncan-Steer, RSViP www.rsvipnetwork.co.uk  www.fionaduncansteer.com   See this column in the May edition of East Midlands Business Link Magazine.

Architects and construction consultants, YMD Boon, have opened a new, larger office in Lincoln as part of growth plans to expand its business further across the Midlands. In the past 18 months, the company has expanded into new sectors, broadened its client-base and increased its employee headcount by approximately 35%. With offices in Market Harborough and Nottingham, the expanding firm will be replicating the success it has had in these areas with a new focus on Lincolnshire and surrounding regions. Shari Setayesh, director, said: “YMD Boon have established relationships with many clients in Lincolnshire, including Boston College, Boston Borough Council and several local schools, so a natural step for us was to open a larger premises here for our growing team.” Jonathan Warren, director, also said: “We are excited at the prospect of working with more organisations in and around Lincolnshire. The move to larger office space strengthens our capabilities within Lincolnshire at a time when the region is booming.” YMD Boon are now looking for talented individuals to join them at this exciting time. Are you looking for a new role? Get in touch today or visit their Careers page here.

As part of the city’s recovery from the COVID-19 pandemic, and to meet the challenges of the 21st century, Derby City Council has created a new ambition document which outlines ideas for a bold, transformational vision for Derby city centre. The new document sets out ideas and ambitions for the city centre to inspire a conversation with the people of Derby to share their own ideas. These conversations will be the basis for a new city centre consultation, if approved by Cabinet members at May’s special Cabinet. The proposed conversations will initially run for 12 weeks. The vision will focus on longer-term ideas and interventions that will transform the city centre and secure its future as a vibrant place that people can feel proud of and want to visit. It will recognise the challenges facing all city centres, not just Derby, and provide an over-arching ‘direction-of-travel’ that will inform future plans and actions. Officers have spent some time engaging with key stakeholders and seeking to learn from best practice from across the UK. This has included visiting comparable cities where regeneration activity has led to successful transformation and speaking to those responsible for both planning and delivery. Cllr Steve Hassall, Cabinet member for regeneration, decarbonisation, strategic planning and transport, said: “We want to have a conversation with Derby residents, businesses and stakeholders about what they want Derby to be in the future. Our aim is to produce an exciting vision for the future of Derby city centre, supported by a robust delivery plan. “Whilst we need to take urgent action now to deal with the immediate challenges and the impact of the COVID-19 pandemic, we also need a longer-term plan that addresses the structural issues that face the city centre, of which can’t be solved overnight. This ambition document is unique and outlines possible ways we can transform Derby and create a successful city vision. “We aim to achieve this by working closely with our Team Derby partners and to get a greater understanding of what our residents and businesses would like and need to see in their city centre. These conversations will be the first step towards creating a new vision which will restore its position as the heart and soul of Derby.” This is the first time a city-wide future regeneration conversation has taken place since the creation of the City Centre Masterplan in 2016, which has brought about exciting developments including the Our City Our River project and the Becketwell development. However, the vision will be distinctly different to previous masterplans, setting out overarching principles and a framework within which more detailed plans and strategies can be developed. Conversations around the ambition will inform the development of the new City Centre vision, which is due to be published in 2023. The report will be discussed at Cabinet next Wednesday. If approved, the consultation will commence at the end of the month on the Let’s Talk Derby website. The conversation will initially last for 12 weeks over the summer for residents to share their ideas and give feedback.

The latest Federation of Small Businesses (FSB) Small Business Index is out, and despite a challenging economic environment, business confidence in the East Midlands remains stable, indicating that the stark dips of 2021 caused by changes in lockdown restrictions are finally settling. Confidence amongst small business owners in the region has remained stable in Q1 at 17 per cent, a slight increase from 15 per cent in Q4 of 2021. However, growth and investment intentions have declined, signalling that for many small businesses their focus is still very much on recovery. Despite tough trading conditions in which East Midlands small business owners have seen decreases in their net profit, just over half (52%) increased average salaries demonstrating they are doing all they can to retain staff during these challenging times, where interest rate increases, inflation, and rising costs of doing business are taking a toll. Other key headlines from the report are:

• Although sentiment appears to have stabilised this quarter, compared with a year to date, confidence is much lower.
• With a net balance of 9% across the East Midlands for Q1 2022, the region has reported a decline in terms of net revenue (16% at Q3 2021).
• The employment picture amongst FSB members in Q1 2022 showed that 11% had decreased staff numbers, with the same proportion also increasing staffing levels – leaving an overall net score of 0% for employment in the region.
• In the East Midlands, 52 per cent of small businesses increased the average salary awarded across the business over the last 12 months; with 49 per cent doing so by two per cent or more.

In the East Midlands, the domestic economy (56%), utility costs (41%), and consumer demand (37%) are the greatest perceived barriers to growth over the coming twelve months. Rav Panesar, FSB East Midlands policy representative, said: “Times are clearly still tough for small firms. Business growth aspirations have declined and investment intentions have dropped, indicating that much more needs to be done to signal a stable economy for small businesses to aid planning and future proofing. It is positive though that business confidence seems to have stabilised and that there are anticipated revenue increases coming over the next three months, which I hope will bolster confidence further. “FSB will continue to work with and lobby local policymakers and partners on the necessary levers for positive change. As the new East Midlands Policy Representative for the FSB East Midlands, I am committed to working with FSB’s members of staff and volunteer network to understand in more detail what is required to drive confidence and build aspirations across our region.”

The latest KPMG and REC, UK Report on Jobs: Midlands survey highlighted a softer, yet still marked increase in the number of permanent staff appointments at the start of the second quarter of 2022. The rate of increase in permanent placements was at a seven-month low, while the rise in temporary billings also eased. In contrast, growth in demand for candidates picked up, with vacancies for temporary staff rising at the fastest pace in 24 years. Inflationary pressures meanwhile displayed signs of easing in the Midlands, as both permanent salaries and temporary pay rates rose at marked, albeit softer rates. The KPMG and REC, UK Report on Jobs: Midlands is compiled by S&P Global from responses to questionnaires sent to around 100 recruitment and employment consultancies in the Midlands. Slowest rise in permanent placements for seven months The number of permanent staff appointments across the Midlands continued to increase at a marked rate in April. That said, the rate of increase softened sharply from March and was the slowest recorded since last September. Panel members often linked hiring to increased demand for permanent staff, though recruiters commented on a lack of suitable skilled candidates. At the regional level, the uptick in permanent placements in the Midlands was the fastest of all monitored English regions. Temporary billings in the Midlands rose for the twenty-second time in as many months during April. The rate of increase eased slightly from the previous survey period yet remained robust overall. Anecdotal evidence suggested that higher demand led clients to take on temporary staff where permanent roles could not be filled. Temp billings also increased at the national level, with the upturn in the Midlands the strongest of the four monitored regions. April data highlighted a sustained increase in the number of permanent vacancies across the Midlands. The rate of increase accelerated to a six-month high, though was the softest of all the monitored regions. Demand for temporary staff continued to expand markedly. The rate of increase accelerated from March and was the third-quickest in the survey history. Moreover, the rise in the Midlands was the strongest of the four monitored English regions. Permanent staff availability falls for thirteenth month running Recruiters in the Midlands signalled a further reduction in the availability of permanent staff at the start of the second quarter. A lack of experienced candidates and uncertainty regarding changing roles amid cost of living pressures made staff more unwilling to move between roles, according to panellists. While the rate of reduction was still marked, it was the softest recorded for 11 months. Temp staff availability across the Midlands fell for the fourteenth consecutive month during April. The rate of decline eased for the second month in a row to reach the softest since March 2021. According to anecdotal evidence, there were widespread candidate shortages due to a lack of skilled workers looking for temporary work. The reduction in the Midlands was the second-softest of the four monitored regions, behind the North of England. Further rise in permanent starting salaries Salaries awarded to permanent new staff increased for the fourteenth month in a row in the latest survey period. The rate of salary inflation eased for the third month running to reach the softest since last September, though remained marked overall. Panellists attributed higher salaries to efforts to attract staff amid high demand for experienced candidates. Of the monitored regions, the Midlands recorded the slowest increase. Recruiters across the Midlands reported a rise in average hourly pay rates for short-term staff for the seventeenth straight month in April. The rate of temp wage inflation eased from that seen in March and was the second-weakest recorded in the year to date, but was still robust overall. The rise in temporary pay rates was the second-weakest of the monitored regions, and slower than the national average. The seasonally adjusted Temporary Wages Index continued to indicate that the rate of hourly wage inflation remained rapid. That said, the rate of increase eased to a three-month low in April. Temporary wage inflation was broad-based across the four monitored English regions, led by the South of England which was the sole region to report an acceleration. Commenting on the latest survey results, Kate Holt, people consulting partner at KPMG UK, said: “The gears of the Midlands jobs market are locking up. Employers have more and more vacancies, but the quality candidates they need are relatively few and far between. With roles being left unfilled, job seekers hold greater influence on pay. “All this means that businesses in the region will continue to face upward cost pressures and a capacity cap on their growth ambitions. Long-term skill development strategies at a corporate, regional and national level will be the only sustainable fix that can get the engine running smoothly again.” Neil Carberry, Chief Executive of the REC, said: “The labour market has been tightening for months on end, driving near-record growth in starting salaries for new staff. With vacancy numbers also historically high, this is a great time to be looking for a job – and a pay rise to help meet the rising cost of living. “The number of permanent job placements being made is still growing, but at a more stable rate. Growth is now at its lowest level for seven months. This is no surprise, given how hot the market has been. Employers need to get their offer to candidates right if they are going to succeed in this market. Enhancing diversity and inclusion, and effective early career hiring are also important elements of a winning approach – consulting a recruitment expert can help with all of this.”

Greg Simpson, founder of Press for Attention PR and the PR and Communications Ambassador for the IoD in Nottinghamshire and Derbyshire, shares award-winning tips. I was discussing the Bricks Awards with Tess from editorial and the wider commercial team at Business Link Magazine this week. I have sponsored them since way back and they are now a fixture in the business calendar. The guys mentioned that there were hundreds of entries last year – not bad considering the pandemic factor! Hundreds! Trust me, this is NOT usual. Why? Well, most small businesses are REALLY BAD at awards and by that I mean they simply do not include them in their planning. Or sometimes, they don’t feel they deserve one. So, there are often not actually that many entries in “proper” awards – the ones you earn… Well, trust me, if you’ve been through this pandemic, there is an award out there for you! However, it became apparent chatting with other businesses this last month that another BIG problem is that businesses simply don’t have time or the resources to write them properly. So they either don’t bother or they do it very, VERY late, which invariably leads to stress and frankly, pretty average award submissions. Well, I sit on three awards panels (not including The Bricks) and I write lots of them. I know I read well over 100 entries last year of frankly varying quality. Harsh? Fair? To give you plenty of time this year, I thought I’d share some top tips on how I help my clients to win awards. I hope it is useful for you. For starters, why bother? Well, how about industry recognition? Local, regional, and sometimes national profile? How about a motivated workforce that is proud to be a part of your success? Nevermind the major leverage an award win can give to the rest of your marketing – if you harness the dark arts of PR! So why don’t more people enter awards? I suspect the main reason is time. However, you need to consider these as a major part of your marketing and PR campaign, not an afterthought. Sure, there is a bit of science to it and some art (the creative bit) but basically it comes down to reading the criteria CAREFULLY and then making it as easy as possible for the judges to consider your case. Now is NOT the time for florid prose! Although…there is a place for this… (warning, secret sauce alert). Ssssshhhh…it is right at the start… This is the bit the judges read first and tends to be the part they will read out IF you get to the final and you are waiting there, glass of wine in hand, as the names are read out. So, if yours sounds like this: “We were established in 2002 to provide added value services to the Widget industry. Our commitment to SOMETHING or OTHER bland and jargon heavy issue and our inevitable PASSION (because nobody is going to say ‘APATHY’) for innovation is what lies at the heart of our success…” Stop. It. Right. NOW! Can you imagine a judge reading that and thinking “whoa, we’ve got a live one! Let me get a coffee and settle in, there’s gold dust here.” You want this bit to sound like they are about to announce the best thing since sliced bread! Try this: “20 years ago we discovered a problem. Not just a wrinkle. Not an inconvenience. We had unearthed one of the biggest issues to ever face our industry. If it could be overcome (and we thought it could), it would save Widget manufacturers across the globe millions in costs, whilst also massively reducing the impact on our environment. So, we got to work. Two decades on…we did what follows below and it changed EVERYTHING!” Do you see the difference? You’d at least read the next para or two! You actually WANT to know what they did. Like all good marketing, awards are all about storytelling. Our clients see entering awards as part of their wider marketing strategy – they see the ROI. It is a fantastic way to gain objective third-party endorsement (a major goal of PR), great coverage and one of the best ways to foster employee and company relationships. People proudly point to articles in the press and say: “I work there.” Other highly-skilled people start thinking “maybe I should work there?” So, ahead of the Bricks Awards launch, start to think about what other awards you might enter in 2022. They might be local, regional, national or industry based but you can bet that once you integrate them into your marketing, the effects can really make a difference. Start now or get in touch with me and we’ll help you get cracking because I am launching something pretty darn cool this Spring which I think might help a lot of businesses. There’s even an offer! Will I find them for you? Will I write them for you? Well…yes. That’s exactly what I will do and more, so much MORE! Here’s to your success!   A former business journalist, Greg Simpson is the author of The Small Business Guide to PR and has been recognised as one of the UK’s top 5 PR consultants, having set up Press for Attention PR in 2008. He has worked for FTSE 100 firms, charities and start-ups and conducted press conferences with Sir Richard Branson and James Caan. His background ensures a deep understanding of every facet of a successful PR campaign – from a journalist’s, client’s, and consultant’s perspective.   See this column in the May edition of East Midlands Business Link Magazine.