< Previous20 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk TAX Workforce shortages - employers no longer have the upper hand or call the shots By James Pinchbeck, partner at Streets Chartered Accountants It looks like workforce shortages are here to stay and are going to affect more and more businesses, not just those looking for lorry drivers or those to work in care, hospitality, food and agriculture sectors. Signs are that the professions and those in the tech sector, along with others, are seeing not just short-term labour shortages but what looks like longer term shortfalls. With job vacancies hitting an all-time high in 2021, labour shortages are in part put down to Brexit and the withdrawal of EU workers from the UK labour force and the pandemic. Other reasons may include improved education and increased participation in higher education leading to increased demand for higher skilled work, along with a growth in self- employment, as well as shifting attitudes to work. So, what can employers and those seeking to fill vacancies do to address the situation in the short term? Perhaps the most common approach or forced of hand response when labour is scarce is to pay more. However, this depends on affordability and the impact on the financial performance of the business as well as the implications on the pay of existing staff. Other approaches to consider might include: * Increasing overtime - it might be career opportunities, have a sense of purpose and are aware and concerned with environmental matters and corporate social responsibility as well as good corporate governance. So in looking to address the longer- term issue of workforce shortages it might be worth considering the following: * Take time out to determine your future workforce needs in terms of the work to be done, the skills required and the nature of those you need to do such work. * With changing attitudes to work, with employees increasingly concerned about what is provided around employment conditions, training, career prospects, mental health and wellbeing, it might be a good time to look at the benefits in kind offered to ensure they are aligned to what is deemed a benefit. * It might be worth looking at your approach to remuneration, along with bonuses offered as well as the possible use of employee share schemes to incentivise and retain key personnel. * Seek to upskill and re-train existing staff, whilst at the same looking to provide recognition of this with career, promotion and development opportunities. On-going training and development is here to stay in a fast moving and rapidly changing world. * Re-evaluate your employment offer possible to address labour shortages through offering temporary extra hours to existing staff. * Reaching out to those who may have recently retired to see if they might like to return on a temporary basis for perhaps reduced hours. * If not already offered, looking at rewarding existing staff for introducing new team members. * Outsourcing for key skills or shortages perhaps on temporary contracts. It might also be worthwhile looking at taking on student placements. * Looking further afield, the pandemic has served to highlight it is not necessary for us to be at the employer’s place of work to undertake our work. A good digital connection and perhaps a blend of occasional at place of work contact might be a workable model. * Checking the current status and satisfaction of your existing staff to safeguard retention. Whilst such approaches might help to alleviate the situation, much more needs to be done in the medium to longer term. Perhaps one of the key aspects is to recognise that we have and continue to experience changing attitudes to work and the world of work. Employees seek much more than just pay, they seek to engage with employers who support them, offer flexible working, provide 20-21.qxp_Layout 1 03/11/2021 11:38 Page 1www.eastmidlandsbusinesslink.co.uk East Midlands Business Link 21 TAX and benefits – why would someone want to work for you? Be self-critical and not delusional in such an approach. It is very easy for us all to think we are an employer of choice when that might not be the case. It might be a useful exercise to commission an external review of your employer status/positioning. It might also be good to reflect on why people leave your organisation. * Review the effectiveness of your recruitment process including how you promote vacancies and perhaps use or don’t use recruitment consultants etc. Some still only post vacancies on their website and perhaps LinkedIn and hope they might get applicants! * Seek to improve productivity, especially through digital transformation, investment in technology and re-imagining the way tasks and roles are undertaken. * Look to ‘grow your own’ through recruiting staff to train and develop perhaps as an apprentice or through the government’s Kickstart scheme. * Look to work with your local Further Education and Higher Education provider to support your training/skills needs as well as to gain access to potential employees. * For some sectors, it would not be unrealistic to think labour shortages are not going to go away. In such sectors and jobs, serious consideration has to be given to how to replace or reduce reliance on labour through mechanisation, artificial intelligence etc. Overall, it would appear business leaders and their HR teams are set to have some challenging times ahead. The real danger is too many seek to bury their heads in the sand, whilst their competitors seek to capitalise on the situation. There is also a risk, ironically, that there could be a shortage of HR professionals to support those seeking to deal with the challenge of not just the here and now, but also the future. 20-21.qxp_Layout 1 03/11/2021 11:38 Page 222 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk ANTALIS PACKAGING Q&A What are your best-known products/solutions/services? Experts across the spectrum of packaging Antalis Packaging offers packaging solutions to a wide range of challenges, whether it is a bespoke pack design, new packaging, or new machinery. We are also known for our range of specialist packaging products - from boxes and boards, void fill, tapes, shrink and stretch films to strapping and automated equipment. Machinery solutions Antalis’ machinery team and specialist engineers advise customers on a range of machinery to increase quality and efficiency of output, including machines from Lantech and our own brand Master’in. Antalis offers free, and independent, analysis of clients packaging use, operations and distribution set up, and gives recommendations to help make improvements to their operation. By adding the right machinery or automation, businesses can speed up packaging times, manage resource shortages, improve efficiency and save on the cost of materials by the introduction of, for instance, efficient pallet wrappers, case erectors and strapping equipment. Clever packaging and box designs Antalis’ Smart Packaging Centre (SPC) is a ‘state-of-the art’ lab based in the midlands. Here, Antalis helps customers resolve packaging-related issues by coming up with designs and solutions to their packaging challenges, whether this is a bespoke pack design or using a new packaging material. Our pack designs have helped with issues such as damage in transit, storage and pallet optimisation, reduction of packaging materials (including plastic) and reducing the overall cost of packaging. Which industry sectors are your customers in, and which ones are growing fastest? We can work with anyone who wants help with packing, protecting, storing, dispatching or transporting goods. The surge in online sales means that businesses need to put measures in place to make sure they are ready for what’s coming next. The answer lies in maximising efficiency, making every part of your operation work hard. One of the most efficient ways to increase efficiency is automation. At Antalis we can recommend and provide machinery. What are your most recent products and innovations? Our Smart Packaging Centre (SPC) has recently relocated to maximise efficiency. We’ve been supporting customers with COVID related challenges and helping them improve efficiencies, become more sustainable and prepare for the forthcoming peak season. Antalis Packaging has recently strengthened its environmental portfolio with the introduction of new airspeed renew air bags. This addition to its range of air cushion film comes ahead of the 2022 Plastic Packaging Tax, designed to encourage use of recycled plastics. Airspeed Renew air bags are made from film containing 50% post-consumer recycled content and are 100% recyclable. Further products added this year include bubble mailers, loose Q&A ANTALIS PACKAGING Antalis Packaging is Europe’s’ leading packaging expert. This expertise helps businesses to optimise their packaging process and space, reduce costs, minimise transit damage and enhance the customer experience, be that in packing, protecting, storing, dispatching or transporting. Business Link had a chance to speak with Sam Colgan, Regional Packaging Sales Manager at Antalis Packaging, this month to see how Antalis can help companies in the Midlands. Sam Colgan, Regional Packaging Sales Manager for the Midlands Solutions for the Midlands 22-23.qxp_Layout 1 03/11/2021 11:40 Page 1www.eastmidlandsbusinesslink.co.uk East Midlands Business Link 23 ANTALIS PACKAGING Q&A fill, poly mailing bags, bubble lined mailers and hand stretch film all available at a minimum of 30% post-consumer waste. Can you tell us about sustainability trends in packaging and how you can help? We recently conducted a survey which showed that 66% of companies are willing to pay more for environmentally friendly packaging products. As a result, we have launched our packaging initiative, ‘Protect the Future’, which covers our whole value chain, from sourcing through to recycling, to make sustainable packaging possible, and support customers with their environmental challenges. Sustainable products and carbon offsetting - We are expanding our range of ‘green’ packaging essentials and our environmental services such as carbon offsetting and waste management. For example, ALL packaging materials purchased through Antalis can now be carbon offset. Using the services of our Smart Packaging Centre we can carry out a review of any packaging operation and create solutions to improve sustainability. The environmental impact of a pack is an essential consideration of the design process and is primarily decided at this crucial stage. Can you tell us about any recent customers you have helped to meet their challenges? Our client Ansell Lighting needed to make improvements to cope with an increase in distribution. Antalis conducted an audit and our recommendations helped them achieve benefits including saving approximately 30% on materials. We introduced new machines, environmentally friendly packaging, customised packing benches, improved workstation efficiency and freed up warehouse space. Antalis Packaging’s team helped a bicycle retailer fulfil the soaring demand for online sales. Finding a supplier for packaging that was easy to assemble and handle, or that could cater for a variety of bicycle sizes proved difficult, so the owner of the shop asked us to help. The result is a bespoke box design in three different sizes to accommodate small, medium and large sized bicycles. Another client was distributing components for the manufacture of construction equipment – however the packaging was not protecting the goods. It also contained plastic, was labour intensive to construct and was wasteful with materials. By collaborating with Antalis, this client achieved sustainable benefits (removing a plastic bag and reducing board) - and overall cost and efficiency savings were achieved. A new Business Card box solution was designed by Antalis to reduce the use of plastic. The new recyclable box is made from FSC-certified board and has eliminated the use of plastic and secondary packaging materials. How can you specifically support customers based in the midlands? We offer local support from a national company - within the growing midlands team, we have experts that can provide packaging support over the phone and on the road. So, whether it is converting, improving efficiency, reducing costs, creating safe operations, finding answers to environmental or waste issues, or help with finding the right automation or machinery, Antalis is available in the Midlands, and across the UK, with an experienced team that can provide local support. For more information, or to contact Antalis directly, visit www.antalis.co.uk 22-23.qxp_Layout 1 03/11/2021 11:40 Page 224 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk BUSINESS SERVICES As uncertainty over demand weighs on investment, sentiment about the general business situation continues to improve amongst business and professional services, according to the latest quarterly Service Sector Survey from the CBI. Business and professional services witnessed strong volumes growth in the quarter to August, with similar expectations looking forwards, seeing profitability expand at its fastest pace in six years. Selling prices have increased too, as well as headcount (at an above average rate), though concerns about labour shortages are building. This is unsurprising with a recent report from the Professional & Business Services Council and the Financial Services Skills Commission finding that on average 32% of UK firms are affected by shortages in financial, professional, and business services skills, resulting in vacancies. This has left thousands of roles unfilled while skills challenges are reportedly increasing operating costs, staff workload, and have seen 20% of firms struggle to meet quality standards or lose business to competitors. The report further highlights that the sector’s annual output could be 12% higher if skills gaps were reduced (worth £38 billion annually). Skills shortages in business services have been enhanced during the pandemic, while automation, digitisation, globalisation and changing workforce demographics also contribute to the challenge, and create new skills needs, incorporating technology, data, interpersonal skills and industry knowledge. Analysis from PwC and BEIS on the impact of automation indicates that the sector will be influenced more than any other over the next 20 years, with some roles disappearing entirely, particularly those that are repetitive or heavily administrative, and new roles created, in areas like artificial intelligence (AI) and machine learning, with almost all roles changing in some way. To combat this, the report ‘Skills for Future Success’ calls on employers, government, and education providers to seize new opportunities for the upskilling and reskilling of the UK workforce, and to ensure the sector is prepared for the future, specifies a need to build a lifelong learning culture in business services. Investing in upskilling comes with key benefits, including increasing Significant challenges and new opportunities The pandemic has brought key challenges in the business services sector into clearer view, but also pushed firms to take advantage of new opportunities. 24-26.qxp_Layout 1 03/11/2021 11:41 Page 1www.eastmidlandsbusinesslink.co.uk East Midlands Business Link 25 BUSINESS SERVICES productivity, attracting and retaining talent, and forming a resilient, diverse workforce, but strong, strategic collaborations are also necessary between employers, local government, and education providers to take on acute skills challenges - and bolster availability of skills - which are felt more intensely by regional firms. As business services firms bounce back from COVID, and are potentially boosted as companies consider divesting non- core operations, numerous other challenges remain, with targets to meet and operational changes on the horizon. Businesses are answering to calls for reducing organisational complexity, more flexible and scalable operating models that can respond rapidly to new opportunities, and a need for innovative methods of delivering services to meet shifting client demands and expectations for greater efficiency and constant improvements, utilising technology for success and efficient management, as well as to protect against cyberattacks. Automation, AI, and machine learning are commonly talked about, making up part of the next wave of change for business services. Despite this, full use of these is rare. Those who take advantage of this technology early however can quickly see the chance to speed up manual work and remove unnecessary processes, and pass on repetitive tasks to bots so human workers can excel in more 26 Á © Shutterstock /everything possible 24-26.qxp_Layout 1 03/11/2021 11:41 Page 226 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk BUSINESS SERVICES creative and fulfilling tasks. Automatic invoicing is a simple example of how this tech can be used, alongside bots to fill in time sheets more rapidly and accurately than humans are capable of, and AI can be employed for intelligent self-service, to identify candidates when recruiting to ease the interviewing process, on top of helping with onboarding and satisfaction tracking, while further advanced opportunities are coming forth with the adoption of advanced analytics, smart workflows et al. With this more firms are joining the cloud migration, moving over document management, time and expense management systems, and taking advantage of end-to-end solutions for instance, recognising the need to digitise to achieve efficiency gains across the workforce, to react to evolving customer trends, and provide clients with the best experience. Firms are additionally being pushed to modernise technology platforms and data storage to facilitate big data solutions like AI-supported digital customer support assistants. Data of course represents an important opportunity to business services firms and is crucial to uncovering and sharing insights. AI and automation are being wielded alongside effective project management solutions for data mining and reporting to remove the requirement for manual entry and validation, and transmitting data into dashboards, offering advanced insights, project status visibility, and allowing informed real time decisions. Digital adoption is accelerating, spurred on by the pandemic which has encouraged firms to embrace hybrid working. These forced remote working pivots present business services firms with the consideration of establishing a new normal when it comes to how they work, with the incorporation of more work from home arrangements providing attractive benefits. After having effectively scaled up remote delivery models without harming client experience during COVID for example, there is the chance to utilise remote working to optimise cost, resilience and gain access to a larger talent pool. More widely, digitisation offers new ways of delivering services and digital solutions give a speedy alternative to manual strategic planning and forecasting, helping firms anticipate and react to shifting workloads, allowing resources to be distributed optimally. In these fast-moving times, there are many challenges for business services, and the pandemic has only brought these issues into clearer focus, however there are also clear opportunities for firms to position themselves ahead of competitors. © Shutterstock /Stokkete 24-26.qxp_Layout 1 03/11/2021 11:41 Page 3www.eastmidlandsbusinesslink.co.uk East Midlands Business Link 27 CAMPAIGNER Campaigner is a powerful email marketing platform that is now readily available in the UK market. Campaigner offers UK customers a multi-channel marketing platform that combines email marketing with hyper-personalised and targeted SMS messaging. Both offer intuitive, streamlined and cost-effective options for small, medium-sized, and large businesses throughout the UK market. Start your free trial today Most Email Service Providers (ESPs) in the UK typically offer email drip campaigns, Campaigner goes a step further than this by combining email marketing with the power of SMS. 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Features of the Campaigner platform include: • Dynamic content, advanced segmentation and purchase behaviour to improve customer engagement and turn more prospects into buyers. • Advanced marketing automation, intuitive reporting and powerful personalisation through email and SMS marketing. • Native integrations including Zapier, Shopify, Magento and Dynamics CRM. • API integrations including SOAP and REST. • Transactional bulk sending and an SMTP integration. • Ensure your deliverability and inbox placement with Reputation Defender Check out Campaigner's features here To find out more, visit www.campaigner.com/uk or call one of our dedicated sales reps on +44-800-0664450 Introducing Campaigner to the UK 27 campaigner digital.qxp_Layout 1 03/11/2021 15:45 Page 1Ifelt it apt to this month write about my experiences since the events and hospitality industry have reopened their doors and having been fully immersed in this industry for the best part of fifteen years, I can safely say that now I have seen it all. No one could have foreseen the pandemic and the effects it has had on us all as both individuals and as businesses, and whilst we have all had to navigate our way through it in different ways, the events industry is one that has sadly been most effected. Yes, live events from March 2020 were put on hold indefinitely with no real indication of when they would return and many of us were left with no choice but to adapt our event models to fit through the screen, creating new formats, taking on new roles and adjusting to tech we had never had to encounter before. I was no different in that I donned a new hat as an interviewer, relaunched my events as ‘virtual’ and completely turned the format I had consistently rolled out for the last ten plus years on its head. Thankfully my creative decision paid off and, if anything, those who participated in the digital events were grateful for the platform of connection and I too learnt a lot, however come July 2021 it was time to get back to it - time to get back in the room. Even though events are my forte, I won’t pretend it wasn’t daunting re-adjusting our events back from virtual to live again. Re-igniting new conversations, reconnecting with those who had gone quiet during lockdown and generally rebecoming an event’s organiser. It felt good to be liaising with venues again and having real and raw conversations with the staff about how challenging this period had been for them. My favourite element of my job is the people, learning about their businesses, what their aims and objectives are and looking at creative ways of how I can help them By Fiona Duncan-Steer, founder of RSViP Business Networking Agency 28 East Midlands Business Link www.eastmidlandsbusinesslink.co.uk NETWORKING Back in the room For more details of Fiona’s RSViP events, see her website – www.rsvipnetwork.co.uk Fiona Duncan-Steer, RSViP – www.fionaduncansteer.com to achieve their vision, and collaboration has and always will be one of the strongest ways to achieve this. Bringing back my first live event in September was both a nerve wracking and exciting experience. It was time. Thankfully we had a full house with almost one hundred and fifty business professionals in attendance, all eager to see one another again, with slightly apprehensive smiles on their faces as they approached the entrance. We operated a traffic light system for our name badges which gave our guests the option to select one of three colours to wear as a name sticker dependent upon how comfortable they were with physical human contact – green being ‘happy to handshake’ and red being ‘please keep at a distance’. Interestingly, ninety five percent of attendees opted for a green badge, no one selected red and the remaining five percent selected amber to represent elbow bumps! This for us was a very useful social experiment to gauge how people are currently feeling about the situation overall, and whilst it’s not completely accurate to a specially conducted survey, given that those who attended were there because they are to some extent happy to be in a room with other humans again, it’s worth taking into account the many others who no doubt chose to stay silent in their continuing anxiety about leaving their homes to network. Despite this, it was still a positive reaction to what we see as the world slowly re-awakening. My prediction for events going forward is that gradually, month by month, people will gain more confidence to interact in the room again and as more events and opportunities arise, so will the attendance numbers. To summarise, my experience has been one of positivity so far and thank goodness, we have to get back to business at some point, right? 28-29.qxp_Layout 1 03/11/2021 11:44 Page 1www.eastmidlandsbusinesslink.co.uk East Midlands Business Link 29 NETWORKING photo courtesy of Steve Edwards Photography 28-29.qxp_Layout 1 03/11/2021 11:45 Page 2Next >