In this final 2022 edition we wrap-up by reaching out to industry leaders across the Bay of Plenty and asking them how they feel businesses have coped with the challenges of 2022. They outline their expectations for the new year ahead – the prospects and the challenges – and in this issue they also talk about how they expect businesses to be performing a year from now. Their comments feature in Thought Leaders 2022, pages 10-34.
1. Andrew Wilson, Rotorua NZ. 2. Kellie Hamlett, Talent ID. 3. Brett O’Riley, EMA. 4. Dr Julian Elder, Scion. 5. Mark Wassung, Design Engine Architects. 6. Ron Hooper, Whakatane Mill. 7. Mike Ranstead, Lexus of Tauranga.
8. Rachel Woods, +MORE. 9. Wiremu Matthews, Kānuka Wellbeing & Leadership. 10. Nick Kerr, Debt Free NZ. 11. Michael Shaw, Dale Carnegie BOP Waikato. 12. Kate Ashcroft, Copeland Ashcroft. 13. Peter Hawes, Milford Tauranga. 14. Mike Bell, Stratus Blue. 15. Dan Mathieson, Zespri. 16. Greg Stringer, Cooney Lees Morgan. 17. Michael Sievwright, Trimax Mowing Systems. 18. Andrea Scatchard, Deloitte. 19. Steven Matthews, LINK Business Brokers. 20. Scott McKenzie, PMG. 21. Bridget Snelling, Xero. 22. Simon Short, Property Brokers. 23. Sam Uffindell, MP for Tauranga. 24. Chad Hooker, Bay Venues. 25. Stewart Vaughan, Winstone Wallboards.
Life member induction – David Foster
David Foster has been a long-standing and respected lawyer involved in franchising for over 25 years.
Initially working with clients on franchising back in 1995, David’s franchising specialty grew in 2000 when he moved to Tauranga and became involved in the Bay of Plenty chapter of the Franchise Association of New Zealand (FANZ).
Over the course of the next 20 years, David was actively involved in setting up and running FANZ events in the Bay of Plenty region.
He has long been a strong advocate for franchising best practices and was a key influencer in the development of the FANZ pre-entry training programme for prospective franchisees.
David has always given time to support FANZ; This includes serving on the board for nine years, initially as a board member, Vice Chairperson, and then Chairperson.
He also stepped into the role of FANZ International Representative, attending both World Franchise Council and Asia Pacific regional meetings.
He is well-known for attending most FANZ Conferences, award ceremonies and functions in Auckland from 2000 to 2020, despite living in Tauranga most of that time.
David was also involved in organising, facilitating, and making a number of presentations, both at FANZ and international conferences.
He worked with numerous franchisors and franchisees over the years.
David is well respected as a solicitor and is known for his passion for franchising by clients and peers alike.
In October David Foster received a life membership induction to the Franchise Association of New Zealand.
David Foster receives his FANZ Life Membership award.
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. www.bopbusinessnews.co.nz
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THE PORTER REPORT
Leading the party
Iworked for many years in Hong Kong, adjacent to China’s sprawling masses. I come from a country that has a comparatively minute population, with a transparent polity, and felt privileged to visit and try to understand what was happening in China.
I had always been fascinated by how a country so vast, with a population of more than a billion people, went about choosing a leader. Or rather, how a Chinese leader won and maintained power in such circumstances.
I do recall a senior Chinese-born journalist working for a British news agency in Hong Kong telling me many years ago that the biggest threat China’s leadership would always have to deal with was that it could never ignore its need to satisfy its vast population.
smaller components and had no intention of following the same path.
By contrast, it has been almost comic to observe the recent mid-term elections in the US. And to observe that, despite the proliferation of a free-speaking media, a much smaller population base, and its role as a global power, the US remains clearly politically at odds with itself.
It has also been a revelation to watch how media pundits so convincingly got the outcome of these elections wrong. So not everyone voting loved ex-president Trump’s endorsees? What a surprise.
Communication on the side-lines
seems. And I suspect that Russia’s experience in the Ukraine has caused China to quietly revise the timing of its policies on Taiwan.
The recent Communist Party Congress enshrined President Xi for an unprecedented third five-year term.
Xi is clearly a capable leader. He is the son of a Chinese Communist veteran, with well-maintained links to other influential “princelings”, and has survived his own Cultural Revolution and other political setbacks.
But the country is grappling with a slowing economy and an increasingly fractious population, which is clearly showing irritation at the leadership’s hard-line handling of Covid-19.
In case you missed last month’s edition Scan to subscribe
He tended to believe that given the country’s long historical experience of unrest, a potential revolution was always at some point imminent if the vast population became too dissatisfied. Hence China’s generally authoritarian approach to governing over the decades and the violent crushing of protests such as in Tiananmen Square. The reason for the latter was clear: China had closely monitored the Soviet Union’s then splintering into
It was of some international comfort to note that US President Joe Biden and Chinese President Xi Jinping were able to meet cordially for talks on the side-lines of the recent G20 meeting in Indonesia.
The discussions included current hot points: Taiwan and North Korea. North Korea remains a problem, but it is my belief that Taiwan will never become a source of global conflict, although it will remain a useful stick for China to beat outsiders with. I believe Taiwan is much lower on China’s priorities list than it sometimes
What was interesting to many outside observers was Xi’s overt display of personal authority during October’s Congress. Having been re-elected, by a small group of political dignitaries, Xi then had retired Chinese president Hu Jintao ushered unceremoniously out at the end of the meeting.
Widely televised on foreign media, it is understood that this scene was not seen on any Chinese state media, which was left with the impression Hu was one of those dignitaries wholeheartedly supporting Xi.
ICONS NEVER REST
That did not appear to be the case. Rather, it came across as an external assertion of Xi’s newly enhanced authority. We obviously cannot ignore the importance of major New Zealand trading partners such as China and the US. According to late 2021 figures, China absorbed some $21.45 billion in New Zealand exports and services, especially dairy, meat and wood, and sent us $16.26 billion of its own exports and services.
We must continue to make every effort to understand China and its governance.
We are delighted in this issue of Bay of Plenty Business News to bring you our special focus December Thought Leaders feature (see pages 10-34). We have talked to the Bay’s leading businesspeople to get their thoughts on business as 2022 draws to a close.
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O’CONNOR WARREN INSURANCE BROKERS
O’Connor Warren Insurance Brokers recently hosted guests at their new Willow Street, Tauranga offices as they celebrated 10 years in business. This award-winning business has grown since its inception to a team of 12 and is now one of New Zealand’s largest locally owned broking operations. Photos by Rachael Stanway
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7. The OWIB Team. 8. Celebration cake.
1. Lloyd Rakaupai (TMBA), Rick & Jane Leach (Mt Engineering). 2. Emma Talbot, Al Talbot, David Bell (Orien Capital). 3. Frank Vosper (Vosper Reality).
4. Jared Robins (Ando) Megan Gilbert (OWIB) Haley Walker-Smith (NZI). 5. Jason Hofmann (Sign Logistics), Scott Adams (Carrus). 6. Eric Tait (Tait Group), Damian & Catherine Fleming (Bayride) Matt Cowley (Chamber).
Spotlight shines on Rotorua businesses
It was a truly unforgettable night as over 820 guests arrived at the Energy Events Centre, Rotorua, to celebrate the Tompkins Wake Rotorua Business Awards 2022 – making it one of the biggest award ceremonies in New Zealand!
Run by the Rotorua Business Chamber for more than 20 years, the awards celebrate innovation, creativity and best practice across the local business sector.
With 51 finalists competing for the win – and superb entertainment – the evening was definitely one for the books!
2022 BUSINESS AWARD WINNERS
EXCELLENCE CATEGORIES
Toi Ohomai/Te Pūkenga: Creative
Arts & Design – Wawata Creative
Scion: Innovation & Technology –
Local Gecko Productions
Deloitte: Hospitality and Retail –Pullman Rotorua
The Shine Collective: Manaakitanga Tourism – Skyline
Luge Rotorua
Pukeroa Oruawhata Holdings:
Primary Manufacturing and Building – Patchell Group of Companies
Holland Beckett Law: Professional
Services – Chemwash Rotorua
Rotorua Business Chamber: Commendation Award – Jasco Distributing
Timberlands: Workplace Safety –Redwoods Treewalk & Altitude Ministry of Social Development: Employer of the Year – Index Engineering Ltd
Osbornes Funeral Directors: Not for Profit & Social Enterprise –Rotorua Community Hospice Trust
BNZ: Bilingual Business – Wawata
Creative
NZME: People’s Choice – Zorb Rotorua
Rotorua Lakes Council: Outstanding Contribution to Rotorua – Rotorua Community Hospice Trust
Redstag: Business Person of the Year –Glenn Hawkins Tompkins Wake: Supreme Winner – Patchell Group of Companies
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TompkinsWake SupremeWinner – Patchell Group of Companies
1. Pukeroa Oruawhata Holdings: Primary Manufacturing and Building Award – Patchell Group of Companies. 2. Timberlands: Workplace Safety Award – Redwoods Treewalk & Altitude.
3. Rotorua Lakes Council: Outstanding Contribution to Rotorua – Rotorua Community Hospice Trust. 4. Deloitte: Hospitality and Retail Award – Pullman Rotorua.
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Photos from Tompkins Wake Rotorua Business Awards 2022, held at the Energy Events Centre, Rotorua.
Photos by Michelle Cutelli Photography
10. Scion: Innovation & Technology Award – Local Gecko Productions. 11. BNZ: Bilingual Business Award – Wawata Creative. 12. Toi Ohomai/Te Pūkenga: Creative Arts & Design Award – Wawata Creative.
5. Rotorua Business Chamber: Commendation Award – Jasco Distributing. 6. Osbornes Funeral Directors: Not for Profit & Social Enterprise Award – Rotorua Community Hospice Trust.
7. The Shine Collective: Manaakitanga Tourism Award – Skyline Luge Rotorua. 8. Ministry of Social Development: Employer of the Year Award – Index Engineering Ltd. 9. NZME: People’s Choice Award – Zorb Rotorua.
13. RotoruaNZ: Kaitiakitanga Environmental Sustainability & Climate Change Award – Rotorua Rafting Ltd. 14. Holland Beckett Law: Professional Services Award – Chemwash Rotorua. 15. Redstag: Business Person of the Year Award – Glenn Hawkins.
2022: A YEAR IN REVIEW
As 2022 draws to a close there are sighs of relief in many quarters. Yet despite the on-going challenges of rising inflation, falling property prices, labour shortages, global political instability and supply chain uncertainty, generally Bay of Plenty businesses maintain a positive outlook; They have adapted to meet the challenges head-on and many are thriving despite the difficult conditions. Over the last 12 months we have provided readers with on-going analysis of the performance of the local business economy, reporting the facts, and providing expert opinion. For every challenge that 2022 has thrown at us, the local business community has come up with strategies to not only survive, but to thrive. In this BBN 2022 Year in Review, we step through the highlights of the last 12 months of Bay of Plenty Business News and hopefully take heart that we are well positioned to face 2023.
– Alan Neben, publisher
January 2022
When the gradual progress in construction of a massive new building has dominated the horizon of the region’s biggest city for more than a year, the population generally want to know what’s happening behind the ‘shrink-wrap’. The January 2022 issue went behind the scenes to give readers a fascinating update on Farmers Elizabeth Towers project. Hand in hand with the Farmers lead, BBN also picked up on Tauranga City Commissioner Anne Tolley’s announcement that the civic precinct transformation was on the way, “… restoring the heart and soul of the city centre.”
March 2022
In March BBN journalist Richard Rennie examined key issues contributing to New Zealand’s supply problems. With the exporting season in full swing, Rennie suggested the grief experienced with shipping delays and capacity constraints in 2021 was unlikely to ease much in 2022. By December 2022 we can safely say, “he wasn’t far off the mark.” We also updated progress on the Whakatane harbour development. With housing being a ‘hot topic’, the issue also sought the opinions of industry experts in a feature article titled ‘BOP Apartment Developments: When is enough enough?’
May 2022
While it sometimes feels like the bigger business centres of Tauranga and Rotorua steal the limelight, there is a buoyant business economy in the regional areas outside those centres. In May Business News zeroed-in on just one such area, The Eastern Bay of Plenty. The Eastern Bay has made steady economic progress in recent years with GDP up over 10% in Whakatane in the last year, the new Whakatane Marina plan started and a new harbour underway in Opotiki. David Porter explored an exciting new initiative in the area which sees the region embark on funding and development of the Te Kaha mussel spat project – a project described as “massive.” May also featured a profile on Rachel Woods, principal of the new +MORE Bay of Plenty office.
June 2022
February 2022
While gender pay equity issues were particularly topical in 2022, BBN’s February edition led with an investigative feature entitled, ‘Bay Women emerge as key business leaders.’ The feature, focused on the Bay’s leading businesswomen and led off with an inspiring cover story on the success of maritime startup Tidal Yachting. But not everything moves fast in the Bay – the February 2022 Business News feature story predicting that ‘delays in consenting could see the port face container constraints’ was prophetic –consenting delays was still a hot topic nine months later when we focused on Port of Tauranga in the November 2022 issue.
April 2022
While the editorial team at BBN try to focus on the many positive and inspirational business stories in the region, we will never shy away from spotlighting the challenges and the difficulties businesses encounter. In April we shone the spotlight on the looming rates rebalancing for Tauranga businesses –we anticipated significant rate increases for local businesses as the recently reappointed city commissioners worked to rebalance the city’s rating structure. This issue also hailed the sailing of Zespri’s first charter vessel for Japan and editor David Porter investigated the significance of Tauranga MP Simon Bridges announced retirement from parliament.
June 2022
“We’re not about politics, we’re about business.” But sometimes politics and business necessarily overlap. In June we chose to drill-down on the surprise Tauranga by-election which triggered a cavalcade of candidates. Our business readers wanted to know a bit more about the candidates and the election – we obliged. June also saw the introduction of BBN’s new ‘Mining Business Wealth’ column by superstar columnist Freddie Bennett – a world record holder and real dynamo.
You have to be doing something right when you have foreword endorsements from the Prime Minister, the Chairman of ANZ Bank and the champion America’s Cup Skipper … yes, this year’s issue of Year Book was a goodie.” – Alan Neben, Publisher
BBN online services ‘explode’ in 2022
While Covid-19 saw many businesses pivot to online digital channels, BOP Business News was already well imbedded in that space when Covid arrived. In the last year BBN has experienced an ‘explosion’ in online subscriber numbers. According to Bay of Plenty Business News Digital Services manager Petrina Wilson, “We have quality content, and the numbers show me that’s what our users demand. The growth in our Business News subscriber base, our social channels engagement and our web traffic has been extraordinary. Our subscribers sure let us know our EDM newsletters are in demand – readers want to be connected, and our exceptionally high open rates prove it,” she says proudly.
July 2022
Education featured prominently in the July edition, with a particular focus on the University of Waikato’s jump in global university rankings. With the opening of its central Tauranga campus in 2019, the university cover story complemented the other lead piece in July, the announcement that Tauranga City Council’s new headquarters could be the largest mass timber office building in New Zealand. David Porter’s July interview with Sam Uffindell gave no hint of the stormy waters ahead for the newly elected Tauranga MP.
September 2022
Across the Bay of Plenty whenever we talk to businesspeople one topic inevitably comes into the conversation: traffic … I’m sure you can all relate. BBN journalist Richard Rennie decided to take an in-depth look at one of the region’s most significant new roading projects in the September issue. His first of two significant recent roading articles looked at progress on Tauranga’s Takitimu North Link*. In the story Rennie spoke to Waka Kotahi’s Jo Wilton about the challenges in a project of this scale. Complimenting the transport story, the issue also featured coverage of local EV developer UBCO’s national hi-tech awards win.
August 2022
We had often spoken in our BBN team meetings in 2022 about the wealth of young talent in BOP businesses. In July we decided to stop talking about it and write about it instead. In the August issue we published a feature entitled “Business Under 40’s” where we profiled 16 individuals making exceptional contributions. The volume of feedback when we hit the streets was amazing; The breadth of young talent across BOP industries we highlighted is exciting – our future would appear to be in good hands.
October 2022
Building and development featured prominently again in the October edition, although this month the focus was on the impediments facing the construction industry rather than a celebration of new building milestones. BBN looked at the wide-ranging problems confronting the industry, and ultimately impacting on us, the buyers and end-users of new buildings. Richard Rennie also investigated a second major roading project in his transport series –the Baypark to Bayfair Link*. The project is not due to be fully completed until Dec 2023.
* To view a flyover video of the finished roading projects, go to the stories at bopbusinessnews.co.nz
December 2022
November 2022
Bay of Plenty Business News November 2022 featured informative coverage of developments and progress at the Port of Tauranga. Port of Tauranga is New Zealand’s largest, fastest growing and most efficient port. It is an international freight gateway for the country’s imports and exports, and the only New Zealand port able to accommodate the largest container vessels to visit here. The November issue also introduced new Quayside Holdings CEO, Lyndon Settle.
As you will probably have noticed, the Thought Leaders issue is back again this month. We’ve changed things up again this year for the December issue. We’ve said to our regular columnists, “take a break this month”, and we’ve focused the issue almost exclusively on what we term Thought Leaders. As 2022 comes to a close Bay of Plenty Business News has focused on industry sector leaders and their thoughts on where they see their industry, their business and the Bay of Plenty business community going in 2023 in addition to reflecting on the year that’s been 2022. I hope you find their comments useful. (Don’t worry, the columnists will be back in January)
As you read this, our 12th and final issue of 2022, I’d like to thank all our advertisers, without who we could not produce Bay of Plenty Business News every month. Ngā mihi nui. And to you our loyal business readers, have a safe Christmas and enjoy a break. We look forward to again bringing you more BOP business news in 2023.
100 People Behind Bay Business – that’s the name of Bay of Plenty Business News’ newest magazine, due to hit the market in 2023. The new magazine is profiling the people behind Bay business in an intelligent, insightful and inspiring way so that readers can learn more about them, their expertise, their experience and their business. Look out for 100 People Behind Bay Business, coming your way soon.
Creating global solutions to decarbonisation
ANDREW WILSON, Chief Executive, Rotorua Economic Development
Rotorua and the wider Bay of Plenty region is hard to beat when it comes to forestry. It would be fair to say it’s in our genes, and part of our identity. With a strong history and legacy in forestry and wood processing, it’s no surprise that Rotorua, alongside our neighbouring districts will be at the heart of New Zealand’s emerging circular bioeconomy. We are in a great starting position. Besides being centrally located in the North Island, extensive transportation infrastructure and robust support services have given Rotorua a sustainable competitive advantage. Not to mention we are also home to the largest forest plantation in the southern hemisphere. The strong ties maintained through working partnerships with Scion, Red Stag Timber, and New Zealand Institute of Skills and Technology subsidiary Toi Ohomai Institute of Technology (Toi Ohomai) have helped to strengthen the city’s establishment as an industry leader.
So, what is a circular bioeconomy, and why is it important?
From a global perspective, we know that our dependency on oil and gas is going to transform over the next decade and the replacement of oil and gas with biological alternatives will be at the centre of this transformation.
A circular bioeconomy is essentially an
economy that is powered by nature. It is a new economic model that emphasises the use of renewable natural capital and focuses on minimising waste, replacing the wide range of non-renewable, fossil-based products currently in use. An economy that relies on renewable natural resources to produce food, energy, products, and services.
The bioeconomy and the bio-innovation that drives it, are highly placed-based phenomena and relevant to our regions. This provides a significant future opportunity for regional development and for Māori. Key regions having significant competitive advantages such as the Bay of Plenty in woody biomass, and Māori who own over 40% of the forests in New Zealand, are positioned to reap the benefits of the circular bio-economy, with benefits flowing through to whānau, iwi and hapū through investment, and higher wage skilled jobs.
There is also a large and growing global addressable market for bio-innovation usecases across many segments. Fibres and materials, fuels, energy, bioplastics are all growing in demand both here in New Zealand and across the globe.
What are the opportunities? What we are trying to achieve?
Despite a lack of data on feedstock end use product demand in New Zealand, there is clear consumer intent around bio/green/sustainable products. New Zealand has traditionally focused on primary production outputs but with a circular bioeconomy there is significant opportunities for ‘new industry secondary processing’ for both domestic (replacing carbon/ petro intensive industrial inputs) and export markets.
The Bay of Plenty region is blessed with a LOT of biomass. We are fortunate to have not only extensive forestry resources but growing horticulture and aquaculture sectors that will generate increasing biomass quantities over the coming decade.
In addition to biomass, we also have the expertise to understand what the critical ingredients are to unlock value for NZ Inc., whilst also providing global solutions to decarbonisation. Over the past twelve months we’ve worked alongside Scion and Te Uru Rākau New Zealand Forestry Service to look at how we can create new industries across Rotorua and neighbouring regions that will support the production of bioplastics, liquid biofuels and biochemicals.
The outcomes of a circular bio-economy for New Zealand include GDP growth, productivity, decarbonisation across industry and energy,
A circular bioeconomy is essentially an economy that is powered by nature. It is a new economic model that emphasises the use of renewable natural capital and focuses on minimising waste, replacing the wide range of nonrenewable, fossil-based products currently in use.
lower ‘green premiums’, specialised exports at scale and increased innovation outputs. For the regions it will mean an increase in skills and jobs and support for Māori economic aspirations. Re-industrialising our regions is a very real possibility and Rotorua and the wider Bay of Plenty is well positioned to be at the forefront of this transformation.
What can we do and what gap are we trying to fill?
Our bioeconomy will require the development of new products, operating models and services, driven by continued research and innovation across both the public and private sectors. Additional investment in establishing a strong bio-innovation network will be critical and will bring together circular bio-innovation focused people, institutes and companies, with appropriate feedstocks, capabilities and infrastructure (in some places shared).
Looking across New Zealand, it is realistic to imagine individual regional clusters (forestry, aquaculture, agriculture, horticulture, waste, etc.) being established. These would involve a collaboration of key stakeholders (customers, R&D, feedstock owners, Māori, investors, funders) to address and deliver end to end opportunities of the feedstock value.
It is no secret that New Zealand has strong research and development capabilities in the bio-innovation domain. Unfortunately, there is a major gap in scale up facilities and commercialisation causing a disconnect between research push and market pull. Because we have limited facilities in NZ, scale up often needs to occur offshore or in multiple subscale facilities, which means much of our cutting-edge research never progresses to market at scale.
The gap at the scale-up and commercialisation stage is not new for New Zealand’s innovation system, but is one that must be overcome if we are committed to increasing value-added manufacturing within our shores. Fortunately, it is a challenge New Zealand has previously addressed, the New Zealand Food Innovation Network being a prime example. Across the networks five open access food and beverage production facilities, businesses can scale up and commercialise new products. From research and development, through to manufacturing, the government funded network provides a unique level of expertise and access to a diverse suite of manufacturing equipment. A similar Government investment in scale-up and commercialisation facilities for the bioeconomy is required to capitalise on the enormous opportunity that is presented to us. Investment not only will contribute our transition to a low carbon economy, but has the potential to unlock jobs and Māori economic aspirations.
Unique employer brand key to attracting talent in 2023
How to attract and retain talent in a post-Covid climate is one of the biggest questions businesses are contemplating right now, says Bay of Plenty-based recruitment specialist Talent ID.
The past 12 months have been particularly challenging for businesses looking to build the capacity of their team, with the ‘great resignation’, record-low unemployment and brain drain reducing the pool of potential candidates to a puddle.
But Talent ID Director, Kellie Hamlett, says there are a number of small changes a business can make to grow its employer brand and become the preferred workplace for talented employees.
“There is no disputing that 2022 has been a challenging year for businesses as they’ve navigated rapidly rising remuneration costs, sickness, logistics delays for products, staff with heightened stress and burnout, and not being able to fill vacant positions.
“But these challenges also offer a fantastic opportunity for businesses to take a good look at what sets them apart from other employers, and consider what they could offer to attract and retain talent in this economic environment,” says Kellie.
Talent ID is a boutique recruitment and HR consultancy that has been supporting the growth of businesses in the Bay of Plenty and beyond for more than 15 years.
Established in 2007, Talent ID’s core business is all about people, offering tailored solutions in both recruitment and human resources.
With clients nationwide, and recruiting roles from entry-level to senior executive level, Kellie and her team get a birds-eye view of the business landscape across the country.
“While there are signs that we have an economic downturn coming and that may see the market loosen, we are unlikely to see those effects until the second or third quarter of 2023. We anticipate the first quarter of 2023 will continue to be a buoyant, candidate-driven market.
“In this kind of market, employers need to consider what makes their business a great and unique place to work, their ‘EVP’ Employee Value Proposition. Nowadays, candidates are looking to join companies who provide meaningful work, with a purpose that aligns with their own personal values. Knowing and effectively communicating your business’ ‘why’ is a must.
“It’s easy for businesses, particularly SMEs, who are already feeling the pressure of high work-loads to become overwhelmed at the thought of building on their employer brand. But like your business strategy, your “people strategy” can be built upon over time.
“The market is rapidly changing and we are needing to turn the traditional approaches upside down, and use innovative and tailored solutions.”
Kellie recommends considering:
• Where do we want to be in 5-10 years’ time and how are we going to get there?
• What will make our company stand out as an employer of choice?
How do our employees like to work, how are they most productive and how can we help them to achieve that.
If your ‘why’ is around the community, it could be that you give your employees time off to volunteer at a community event. If your purpose is family, it could be providing flexibility for school events or topping up parental leave entitlements. If health and wellness is your ‘why’, it might be offering a gym membership, Pilates class, or paid mental health days.
Candidates are also seeking development opportunities and progression, and these are
Nowadays, candidates are looking to join companies who provide meaningful work, with a purpose that aligns with their own personal values. Knowing and effectively communicating your business’ ‘why’ is a must.
key aspects which should also underpin your strategy.
“The possibilities are endless and these things all help create an environment people want to be part of.”
Looking beyond basic remuneration towards a total package approach which can include non-financial perks.
Kellie feels the HR sector is on the cusp of some fundamental changes as society moves towards a more people-centric approach to business.
“There’s some great technology coming through that can help us to streamline systems
Talent ID are strong advocates of the Bay of Plenty region and all that is on offer. We combine extensive local knowledge and expertise with national reach and connections. Partnering with quality clients with an array of diverse roles, candidates will not only find a career they love, but scope to enjoy a balanced lifestyle rich in leisure, fun, friends and family.
and make recruitment and HR a much more candidate-focused and friendly process. Adopting psychometric testing and workplace trials are just two tools we have in our arsenal to help get the right candidates into the right teams.
“Recruitment shouldn’t be a chore that businesses must endure. Supported by Talent ID’s holistic advice and oversight, businesses can build the team that will take them into the future.”
0800 850 080
kellie@talentid.co.nz or holly@talentid.co.nz www.talentid.co.nz
KELLIE HAMLETT Director, Talent ID
PRIMARY INDUSTRY – FORESTRY
Growing our economy from trees
Research and new technologies are enabling forestry to be the engine of a circular bioeconomy for New Zealand.
The Forestry and Wood Processing Industry Transformation Plan (ITP), recently launched at Fieldays, has created opportunities for Scion to lead the way with research that will drive the development of new manufacturing sectors and low-carbon products. These efforts will help New Zealand meet its net-zero emissions targets by 2050.
Forestry is already recognised as a vital means of tackling climate change. It plays its part in two ways: removing CO2 from the atmosphere and reducing greenhouse gas emissions by substituting products, fuels and energy made from fossil fuels with renewable wood and fibre-based alternatives.
For 75 years, Scion’s research has created healthier and more resilient planted forests and productive timber industries. Evolving technology is making forestry science more precise than ever, offering researchers the chance to unlock the forestry and wood processing sectors’ true potential.
Scion chief executive Dr Julian Elder says the Government’s plan for forestry reinforces the relevance of Scion’s Strategy for 2030: Right tree, right place, right purpose. This formula will support New Zealand’s transition to a circular bioeconomy and stimulate its recovery in regions hardest hit from the effects of Covid-19.
“The ITP has underlined the opportunities for industry, iwi and New Zealand when we all work together to harness the power of trees. We can create a carbon-neutral future and grow the economy.
“Our bio-based research is challenging everyone to re-think how we make better use of our woody biomass. It’s a future where every inch of a tree can be used to create high-value products, offering an alternative to products made from fossil fuels. This will deliver true prosperity for the regions.”
Benefits of a circular bioeconomy
Elder cares deeply about ensuring that the “take, make, waste” linear economic model is replaced by one where the word ‘waste’ is redundant.
Scion is among the global leaders in this
DR JULIAN ELDER, Chief Executive, Scion
circular bioeconomy approach – a model where waste from one process becomes feedstock for another. The concept aims to design out waste, keep materials in use for longer and regenerate ecosystems.
As well as helping New Zealand and the world meet its climate change targets, a circular bioeconomy is a $30 billion economic opportunity, says Elder.
“It’s this environment that provides a mosaic of activity for regional New Zealand to thrive, through emerging bio-based manufacturing and the creation of new high-value products from what we currently consider waste.”
Growth through distributed manufacturing
Scion’s research and technical support has underpinned the wood processing sector that New Zealand has today. More than 60% of harvested wood is exported as logs for other countries to process and add value. In addition, about 4 million tonnes of woody material is left
The ITP has underlined the opportunities for industry, iwi and New Zealand when we all work together to harness the power of trees. We can create a carbonneutral future and grow the economy.”
behind in forests following harvesting and forest growing operations.
Scientists are now finding new ways to use these residual woody resources, including forestry slash, to increase exports, create jobs, drive innovation and adapt to climate change. Key to this will be lowering the extraction and transport costs of harvesting residues, says Elder.
To deliver on this, Scion is leading the development of a technique called ‘Distributed manufacturing’ which involves placing small processing units, or mini factories, on or near forestry harvest sites.
Distributed manufacturing is one solution to increase on-shore manufacturing and can play
a major role in the forest-based value chain. Essentially, these mini factories can be tailored to process biomass such as forest wood waste, horticultural and farm shelterbelt thinnings or crop residues into high-value wood-based products, biochemicals or pharmaceuticals.
“Imagine a factory that fits in a shipping container – compact and mobile,” he says. “These can be strategically positioned within a forest, orchard or farm where the waste is created. These factories can perform novel scalable processes such as biochemical conversion, pyrolysis and pulping. The choice of process depends on inputs and the product being made.”
Creating value-add products
Scion scientists are already investigating the feasibility of a bark biorefinery that could extract tannins from bark stripped from pine trees after they’re felled for export. This follows a proof-of-concept study that showed how hides can be successfully tanned using pine bark tannins. These could replace imported tannins that are less environmentally friendly and be used to create other high-value chemicals for industry.
“This is just one example of how woody waste can be used to accelerate our economic growth and mitigate climate change. It’s an exciting time to be in forestry.”
It took just 35 minutes to regrow this building
That’s the amount of time needed for New Zealand radiata pine forests to regrow the timber used in Scion’s Te Whare Nui o Tuteata building.
Scion is helping New Zealand to transition to a better future through growing healthy and resilient forests, creating high-value timber products and developing bio-based products to replace materials derived from fossil-fuel carbon.
www.scionresearch.com
Scion organic chemist Hilary Corkran with leather shoes tanned using radiata pine bark tannins.
The future is bright at the Whakatane Mill
RON HOOPER, Chief Executive, Whakatane Mill Limited
In 2021, the community of Whakatane was devasted to learn that the mill – one of the town’s biggest and long standing employers – was proposing to shut down at short notice. Along came the Smurfit Consortium, which signed a purchase agreement at the eleventh hour and the Whakatane Mill, WML, continued to produce folding box board and are proudly the only producer of this type of board in Oceania.
The consortium was led by Ian Halliday, a longstanding business expert in the Pulp and Paper sector who was able to travel to NZ in April 2021 amidst the Covid disruption and identify what an asset the mill was. Ian understood that if the mill focused on what it was built for, producing folding box board rather than liquid packaging board, that the mill would be a profitable business.
To produce board, paper mills run 365 days of a year, 24hrs a day. Water, pulp and energy are the key resources required along with a paper machine that can be up to 150m in length and 10m wide.
At WML, a team of 180 is employed across paper making, technical, engineering, supply chain, finance, HR and sales. A minimum of 15 loads per day leave the mill to take product to either Auckland based customers or Tauranga Port to ship rolls of board all over the world. Ian, the Executive Chairman of the mill today recently appointed Ron Hooper to the role of Chief Executive in June this year.
Ron is a highly experienced and well-regarded business leader from the food and packaging sectors, having work previously for major multinational brands such as Griffins,
Nestle and Mars. An Australian by birth, Ron has lived the past 12 years in Auckland and for the new role at the mill, has relocated to the region to immerse himself in the business and local community.
“Being part of this community is a key focus for my wife and I,” says Ron, “The mill has a tremendous legacy in the Bay of Plenty area. It’s touched the lives of so many families and provided employment and income for generations. Going forward we want to make the mill a destination employer in the region, to really create an environment where people come to work to contribute and be valued and then to push that goodwill and benefit further into the community so more in the region can benefit”.
The mill is now embarking on a major expansion project as it invests $60million to increase capacity from 150,000T to over 200,000T of folding box board which is to be led by Ron.
Nothing is ever done on the small scale at WML and by July 2023 when the project is in full swing, the mill will require a 28 day closure to allow the 400+ contractors access to
We want to make the mill a destination employer in the region, to really create an environment where people come to work to contribute and be valued and then to push that goodwill and benefit further into the community so more in the region can benefit.”
the machine with specialised equipment being sourced from countries such as Germany, Italy, the US and Finland.
The project is now well into the planning phase, machinery has already started to arrive onsite and Ron is excited by the challenge of the new era the mill is entering.
“We work in a sustainable, renewable industry, with forward momentum being driven by consumers to have recyclable packaging and the removal of single use plastic from the environment and the products produced by our mill fit that brief”
With over 80% of the volume produced at the mill destined for overseas markets including Australia, Italy, Columbia, the US and the Philip-
pines, the mill works hard in not only promoting itself when selling but also the aspect of being from NZ and the core raw material, trees, being sourced from within 120km radius of the site.
Trees are the only truly renewable resource and in NZ the forestry industry and related wood processing industries (including WML) provide tens of thousands of jobs. 1.7 million hectares in NZ is planted in plantation forests
and the future for the resource is strong as the world moves towards more sustainable and biological-based economy.
Hence Ron and his team are extremely upbeat about the mill investment as well as the healthy future ahead for the business. “together we want to create a responsible, sustainable business that will benefit the community and the mill family for decades to come”
Proud of our people,
At Whakatāne Mill, we pride ourselves on our history as one of the Eastern Bay’s strongest employers of local people. Still going strong after 83 years.
ACCOUNTING AND ADVISORY
Is your accountant working for you?
Having an accountant who can adapt to your changing business needs is essential as we head into 2023.
Closing out 2022
We can all agree the past two years have significantly impacted how businesses operate today, with the global pandemic forcing many to pivot to remain functional.
During 2022 businesses have had to contend with many more challenges than just a global pandemic; the ongoing impacts of the war in Ukraine, rising interest rates on the back of the highest inflation seen in 32 years, and the expectation of a recession.
The Consumer Confidence Index (CCI) measures consumers’ attitudes toward their financial circumstances, the national economy, and making major purchases. In the second quarter of 2022, CCI reached a record low, with economists describing the mood in the country as “grim.”
No wonder we are all feeling fatigued!
We have seen many successful business owners here in the Bay of Plenty and across New Zealand decide enough is enough and have either sold or closed doors for the chance of a different lifestyle. For professional services and many other businesses & industries, this has meant an opportunity for mergers and acquisitions as a means of growth, diversification, or exit strategy. For others, this
may have meant not being able to realise the true value of their business.
Staff shortages are still being felt across all industries and are driven by the slowing of population growth and immigration. The accounting industry has also felt the strain from the domestic market with record-low accounting graduates from New Zealand Universities. A recent survey showed that Gen Z viewed Accounting as the second most boring job (we were as surprised as you), so the future for the industry and accessing talent is a challenging one.
But is it all doom and gloom?
What’s on the horizon for 2023
2022 has taught us that times are changing, and as accountants, we need to too.
Business owners’ priorities now often have life fulfilment, freedom of mind and time, and sustainability as being as important or more important than financial gains. Your accountant should know your version of success, be working with you to achieve it, and tailor their approach to get you there.
The industry is in dire need to start looking at clients as customers. Some have adopted this mentality, but others are still very reliant on the mindset that their clients need them
"+MORE are much more than just an accountant. They are strategic business partners who are just as invested in my business as I am."
more than they need their clients. With consumer confidence expected to remain well below average in 2023, it won’t be long until consumers start questioning whether the price they are paying for accounting services is fair for the value they are receiving.
But value is subjective, so what is fair value?
Does your accountant engage with you about your cashflow? Are they keeping provisional tax payments at a level that reflects your profitability? Is your accountant ensuring you are paying as little tax as legitimately possible? Are they offering solutions to improve your cashflow and profitability? Does your accountant hold you to account? Do you have rapport with your accountant? Is your accountant a visionary?
If your answer to most of these questions is no, then you would hope that you are with a low-cost provider, as the value you are getting is just to comply with filing and tax requirements.
Technology remains a critical part of business development, and those that continue to invest in it will stay ahead. With most SMEs now using cloud accounting software, your accountant should have adopted the same approach. More so, your accountant should be able to review your financial tech stack to
RACHEL WOODS leads +MORE Bay of Plenty
ensure you have scalability, saleability, and sustainability.
Change is inevitable. 2023 will undoubtedly bring its own challenges and wonders for us to adapt and then come accustomed to. In the words of Albert Einstein, “Insanity is doing the same thing over and over again but expecting different results.”
So, is your accountant prepared to grow and change with you, or will they continue doing the same thing over and over again? www.plusmore.co.nz
rachel.woods@plusmore.co.nz
Design Engine Architects
Mark Wassung has always been driven by innovation: innovation in architecture, innovation in urban design, and innovation in intergenerational thinking.
“Design should have aesthetic qualities that engage people easily on an emotional level –like an art gallery does. I’m really interested in blurring the lines between architecture and art.”
There is always a delight in Mark’s designs, as though he wants to push boundaries, to provoke, to encourage people to engage and to entertain, as well as to serve the public. He insists passion and delight are essential for every design.
“I’m excited about blending form, function and emotion. We have to create spaces built with a care that makes people feel uplifted and more social for being in them,” he says.
Hardly surprising then that his current workload includes a design featuring grand scale chandeliers that invoke powerful emotions for people.
“That’s part of the delight”, he grins.
He is excited at the prospect of a ‘mature’ Tauranga, “where all people take public transport by choice.”
Mark believes in reclaiming public spaces with pedestrianisation. He is adamant we should be thinking of how to cherish the city as a new kind of space, as a room, as a meaningful gathering place.
He points out that architecture bookshelves are full of ingenious concepts that never got built – the hard part is often persuading the right people to buy into your vision.
Although a self-confessed blue-sky thinker, his feet are firmly on the ground. “I have vision, but I also make sure I deliver tangible results
and project successes,” he insists.
Take for example the 10,000m2 Modern Transport Engineers (MTE) self-sustainable super workshop and testing station in Hamilton (pictured); Mark is the architect for long-standing client Robin Ratcliffe, CEO of MTE Hamilton. That structure will have the biggest solar array in the Waikato, rainwater harvesting from the roof to fill water tanks and trucks for lease. All rainwater on concrete surfaces is treated on site.
Some of his other current projects include the Kopurererua Valley Forest Lake Park (with 100 thousand trees), and Waka Hiko, new 23-seat electric urban commuter buses for Tauranga –all easy-access, fast, frequent, and nimble.
“Architecture today is critically important as the complexity of our modern world places pressure on our built environment,” he says. “To deal with issues such as the climate crisis, energy scarcity, population density, social inequality, housing shortages, fast-moving urbanization, diminished local identity, and a lack of diversity, architecture needs to open itself.”
The Design Engine Studio Maungatapu on the Water is a place of innovation.
The team is exploring new technologies for 3D printed structures, mass timber and prefabricated lightweight aluminium and high impact acrylic structures. They collaborate with artists, sculptors and fabricators. An illustration is this
collaborative new technology focus: Design Engine’s current work on ‘smart solar’ bus shelters (pictured) with Tauranga City Council. Exciting stuff.
They have also actively embraced carbon sequestration in designs with engineered timber for efficient prefabricated mass timber construction. They are currently working with combinations of steel & concrete with XLam mass timber CLT panels to enhance sustainability, increase construction speed, improve site safety and improving triple bottom line – profit, people and planet.
There are some fundamental concepts that drive Design Engine’s design projects and encourage the exciting blue-sky thinking –Ngākau me te wairua is one of those underpinning concepts. Culture is an integral part of Design Engine’s methodology – putting your heart and soul into the work.
Demonstrating Design Engine’s bold approach is the team’s development of a live 3D model simulating traffic and alternative ‘people movement’ flows across Tauranga City.
Another huge influence in Design Engine’s evolution has been the team’s focus on ‘Multimodal’ – an innovative conceptual design approach to the challenges of Tauranga’s travel infrastructure.
Mark introduced Multimodal to the Tauranga City Council and Bay of Plenty Regional Council in 2016 (Tauranga Connect Multi-
modal Transport Network 2020-30 Vision for the Future and the Green Net Safe and Separate Cycleways Network).
Design Engine are also currently the architects for Papamoa and Waihi Beach houses, both of which are challenging the norms of traditional design thinking. The beach houses each incorporate unique design aspects that reflect our focus on quality and innovation.
Perhaps nothing better sums up Mark Wassung’s approach to innovative thinking better than his embracing of the possibilities offered by the new Medium Density Residential Standards (MDRS). The new standards allow 11m height (three storeys), three houses per site, one metre side setbacks and four metre and 60 degree height allowances in relation to boundaries.
While critics continue to focus on the downsides of the new legislative changes – on what can’t be done and what problems they foresee – Mark is excited by the possibilities the new regime offers.
He sees huge opportunities for intensification in Tauranga – specifically Te Papa Peninsula, Maungatapu, Brookfield and Tauriko where his team are currently working.
For a visionary whose passions are innovation in architecture, urban design, and intergenerational thinking, this celebration of new standards as ‘an opportunity’ bodes well for the future design of our region.
DESIGN ENGINE is a Tauranga based group of architects, urbanists, and inventors working on transformational projects throughout Aotearoa. We can assist you with concept designs and ideas that can prepare you and your business to achieve maximum sustainable growth, future proofing and creating an environment that people want to live, work and play in. We want to be associated with companies that are making positive change.
COMMERCIAL | TOURISM CULTURAL | INFRASTRUCTURE MEDICAL | 3D PRINTING DESIGNER HOMES
MARK WASSUNG, Architect
The future of NZ automotive trends
The Lexus of Tauranga store has now been trading for 19 months, and during that period we have launched two new models to the Lexus range, initially the UX300e (BEV) and then the all-new NX350H (HEV) and NX450H Plug-in (PHEV). The advancement in the technology and safety features of the new NX range has given us a prequel to what the future holds for the next model change, which is the iconic RX range.
Lexus NZ plan to launch the new RX range early in 2023, with a choice of three key variations, including a single turbocharged petrol hybrid version and a choice of two hybrids. These new variations will replace previous models but will offer more powerful and fuel-efficient powertrains across all their ranges. With the option of an RX 350H or RX 350H Limited, however the new RX 500h, (Turbocharged Hybrid) which is the hero
Sales of EVs are projected to reach 10.6 million worldwide in 2022, a 57% increase over 2021, with BEVs expected to reach 8 million units and PHEVs to reach 2.6 million.”
in the lineup, is only available in the recently launched F-Sport Performance grade. These new models will stimulate the Luxury Hybrid SUV Market in a significant manner.
We have enjoyed excellent growth in the Luxury Sector over the past 12 months, primarily because of the experience the customers receive when they visit the dealership, and naturally, the quality of the product reinforces why they should move to the Lexus brand. This is despite significant challenges with supply due to component shortages in various models. Thankfully our Lexus customers are willing to wait patiently for the arrival of their new vehicles.
The automotive industry is going through an evolution of change, and in the 30 years I have been in the industry, this is one of the most significant changes I have seen. With the
world focused on emission reduction, this has led to many countries offering incentives for the general population to move towards adopting EV vehicles.
EV-volumes says, sales of EVs are projected to reach 10.6 million worldwide in 2022, a 57% increase over 2021, with BEVs expected to reach 8 million units and PHEVs to reach 2.6 million. “By the end of 2022 we expect nearly 27 million EVs in operation, counting light vehicles, 70% are BEVs and 30% PHEVs.” These are significant increases across a significant number of countries.
Now the other consideration is with the introduction of EV vehicles to New Zealand roads, and with a view to recouping what will be an inevitable decline in fuel excise duties which amounted to $2.1 billion last year, the Ministry of Transport (MOT) is proposing changes to the road user charges (RUC) system. That could see EV owners start paying when the exemption for EVs ends in two years’ time.
Under the current system, RUC applies to vehicles using fuels other than petrol or larger than 3.5 tonnes. Last year, there were an estimated 800,000 light vehicles which contributed $800 million in RUC fees, while another 190,000 heavy vehicles contributed about $1.1b under the system, according to MOT figures. Under current settings, light EVs will remain exempt until Mar 31, 2024, which will save their owners an average of about $800 annually.
In its consultation proposals, MOT is suggesting the possibility of applying RUC to light EVs and electric motorbikes, based on distance travelled. Naturally, there is also a race to have EV chargers installed throughout the country to support this growing trend, and with that will come additional charges in the future to sustain the energy cost being delivered. Someone has to pay the “ferryman” as they say.
The Clean Car Standard (CCS) is one of a range of government initiatives to tackle the overall transport sector’s CO2 emission levels as part of the effort to address climate change.
The Clean Car Standard is a government target that regulates importers to reduce CO2 emissions to specific targets by encouraging a greater supply of low and no-emission vehicle imports to New Zealand.
Vehicles with a high CO2 emission rating will incur a charge, the higher the CO2 rating
the greater the charge. For vehicles that are below a set standard, the importer receives a credit that can be used to offset charges. So as of January 1st, 2023, each vehicle importer must account for their total fleet emissions, so some of these importers will be significantly impacted as their bias is diesel light commercial, with very few hybrid or EV vehicles in their fleet to offset this.
The impact to Lexus New Zealand will be minimal given that 83% of its vehicle fleet sales in 2022 were either hybrid or fully electric, which will assist Toyota New Zealand to offset the diesel variants in their range.
Given the upcoming changes, supply restrictions, and rising fuel prices, as well as the possibility of a change in the government,
which could also see a change in the EV Rebate System, the automotive industry will prove to be very interesting over the course of the next 12 months. Therefore, before making a purchase, make sure you thoroughly research your options.
MIKE RANSTEAD, Lexus of Tauranga Branch Manager
Business sales –busy times ahead
There has been an enormous amount of media coverage and focus over the last five years about a potential tsunami of New Zealand businesses being put up for sale, due to a wave of baby boomers looking to sell up and enjoy their well-earned retirement. Many have challenged this theory and stated that it’s going to be more of a ripple than a tsunami as the health and motivation of these owners remains strong with no immediate desire to hang up their boots just yet.
LINK is the largest specialised business brokerage company operating in Australasia and has been in the market for just under 30 years. From LINK’s perspective, based on our results over the last year and looking at the current activity in the market, we would comment that the actual truth is probably that it is a “surfable wave” rather than a ripple or tsunami. Despite this, for the financial year ending 2022, LINK enjoyed its strongest trading year in history and the first half year results for the 23 financial year are also very strong.
The local LINK Bay of Plenty office which operates with a team of 17 industry specialist brokers, has enjoyed a very busy and successful year with a record number of business sale transactions. So, what is driving increased transactional activity in the market right now?
There is no question that we are seeing an increase in the number of baby boomers putting their businesses on the market ready to enjoy retirement. If you are a business owner out there considering a possible exit through a sale, I would strongly recommend that you:
• Start the process of preparing the business for sale
• Engage your professional advisors
• Maximise the business profitability
• Identify and mitigate or minimise risk
• Engage an industry specialised business broker
Selling a business takes time and business owners are encouraged to engage with an expert such as business broker well before they want to sell. A business broker can help in preparing a business for sale and guide the owner through the whole process which can sometimes be rather complicated.
The emphasis and importance on business owners “grooming” their businesses for sale are ever increasing.
As a result of the anticipated influx of businesses coming to the market in the years ahead, this could possibly have a significant dampening impact on business values due to oversupply. Nearly 60% of small to medium-sized businesses are owned by people aged over 50 and 23% are currently owned by people over 60.
cially from those baby boomer business owners retiring).
Business ownership is one of the best ways to build equity, and there is a noticeable generational shift in younger people aspiring to own their own business, rather than relying on climbing the career ladder within an existing company to help secure their future.
There is a real appetite out there for the younger generation to get involved in business which can provide the following benefits.
• A better work life balance
• Increased earning capacity
• Opportunity to build equity and wealth (free from Capital Gains Tax)
• Tax advantages • Independence (being your own boss and controlling your own destiny)
Whether you are considering selling or buying a business, don’t miss out on the potential opportunity to change your life through the successful sale or purchase of a great business.”
As such many owners considering retirement could achieve a much better result by achieving a sale sooner rather than later. It is a sad fact that many owners will miss this window of opportunity and end up winding down a lease only to achieve minimal cents on the dollar for their tangible assets, running a closing down sale to shift stock and making long serving loyal staff redundant.
It’s a fact of life that every single business
owner will at some time exit their business. At LINK, we encourage owners to take control of this process and achieve a desirable chunk of tax-free cash through a successful sale.
In addition to more businesses coming to market, much of the increased activity we are experiencing is coming from a strong demand of buyers in the market. Many existing businesses are recognising a good opportunity for growth through a strategic acquisition (espe-
Many aspiring business owners out there could consider avoiding paying intangible (goodwill) and starting up a business. However, the statistics of failed starts ups is as high as 80% in the first year. Buying an established business as a going concern hugely reduces risk and the revenue is instant.
Whether you are considering selling or buying a business, don’t miss out on the potential opportunity to change your life through the successful sale or purchase of a great business.
Our team of business brokers located here at LINK Bay of Plenty have been operating for over a decade and have successfully transacted well over a thousand business sales.
When considering the sale or purchase of a business we encourage you to reach out to us for a friendly, no obligation, confidential chat.
Wiremu Matthews and Steve Hersey with their specialist team
Kānuka kōrero: people & purpose
Kānuka Wellbeing & Leadership has operated in the Bay for eight years and supported business leaders and teams through the disruption of Covid-19 and its ripple effects over the last two years.
Wiremu and Steve co-direct Kānuka and bring their knowledge and expertise in toiora wellbeing, maximising team performance, and performing under pressure to a number of sectors across the North Island.
Building Upon Bi-Cultural Practice
Kānuka is the only consultancy service, within the Bay, to provide a full range of individual and organisational development programmes that are all underpinned by, and actively integrate, Te Ao Māori principles. As social norms embrace the learning of Te Reo and Tikanga Māori, demand for services has grown.
“We have worked alongside the health sector for a number of years where kaupapa māori awareness and practice has been a common theme for some time; however, it is only more recently that this same demand has grown from the private and commercial sector. It’s an exciting opportunity for us to share te ao Māori principles and see them effectively applied in business practice.”
In Wiremu’s experience, the sharing of te ao Māori is a logical and effective method of building relationships and improving communication within the professional environs.
“Māori custom is strongly committed to building whanaungatanga (nurturing and upholding relationships) and this method –
applied to professional relationships – brings clearer understandings and stronger commitments between parties.”
Prioritising the Value of Relationship
Steve and Wiremu’s common personal philosophies have shaped their approach to working with their clients.
Steve comments, “Other than as keynote speakers or conference presenters, we won’t provide ‘one-off’ workshops or presentations. Our desire is to build deep connections and long-term commitment to help our clients grow and prosper. This requires authentic drivers, investment in people and process; and engagement with a clear vision.”
Working alongside clients, Kānuka has recognised that an unintentional focus upon symptoms often leads to short-term results and investment in the ‘problem’ that isn’t the ‘real problem’.
“This isn’t just an issue for organisations, it’s also a common issue for individuals that we coach. Our clients reach a point of recognition that their behaviour or output is incongruent with their desired persona.
“We take them through a robust process that dives beneath the surface and explores unconscious paradigms. To engage in this process demands high levels of manaakitanga, (generosity, kindness, uplifting and strengthening another), tangata whenuatanga (place-based, socio-cultural awareness and knowledge) and wānanga (communication and problem solving).”
Health as Integral to Performance
As development consultants to high performing organisations and highly driven individuals, we look upon Covid-19 as an excellent teacher of the importance of wellbeing.
Wiremu shares, “As a health professional wellbeing has been a consistent point of personal practice and from the very beginning we have always shared wellbeing strategies within our programmes and services.
“Post Covid-19 we have witnessed a deeper resolve and pledge by clients to adopt these strategies more fully.”
This approach to health is underpinned by Te Whare Tapa Wha (Durie, 1984), which represents a Māori worldview of health that considers individuals as multi-faceted and requiring balance between wairua (spirit/energy), hinengaro (mental/emotional), tinana (physical) and whānau (family/social connections).
It’s an approach that has resonated with many clients and is now reaching beyond New Zealand’s borders.
Looking Forward with Purpose
Kānuka’s goals for 2023 include bringing new team members aboard the journey and expanding digital programme platforms.
Steve explains “We have the benefit of positioning ourselves as boutique consultants. We are a small team fully committed to our practice philosophy and excellent outcomes for those we work with. As we work through the process of onboarding new team members, we
Living life with purpose is highly empowering for business leaders and team members alike; knowing purpose defines boundaries and priorities – motivation and relationships are also rejuvenated. When we reach this space with our clients, a whole new outlook emerges.”
do so with careful deliberation, and we apply this same deliberation when meeting with prospective clients.
“It’s highly important to us that we present ourselves authentically and with integrity. We do not commit to a service provider relationship until we have worked through our initial process of whanaungatanga and understanding. By investing in these steps, both we and the potential client have the opportunity to identify our mutual ‘fit’.”
Commenting on digital expansion plans, Wiremu notes “We’ve worked with a number of organisations and have created bespoke internal digital platforms to sit alongside our workshops and individual coaching.
Facilitating deep team connection
“As we look toward 2023, our educational specialists are excited to develop a highly responsive platform that will take our unique New Zealand model to an international audience.”
The Covid ridden butterfly effect in credit management
What a couple of years it has been for business! We can now meet clients, friends and family face-to-face rather than via the far more impersonal video conferencing methods we have become accustomed to during the Covid restrictions. So one would think it should be business as usual, however the restrictions appear to have had some effects that will only be truly evident in the coming months and years.
Travel around the town centres of New Zealand you could be forgiven for thinking that the pandemic is far from over – staff shortages are everywhere, and many businesses are changing opening times and the products they provide, and a few unfortunate ones have closed for good due to these very problems. The feeling of relief that we as business owners have been eagerly awaiting seems to be ‘late to the party’.
So what does this look like in terms of data?
According to the CENTRIX October 2022 NZ Credit market update report:
• Consumer credit demand has climbed to pre-pandemic levels, with new unsecured lending up 18% year-on-year. This reflects the expectation that Kiwis are increasingly turning to credit to support their spending.
• Mortgage arrears have crept up to a sixmonth high while consumer arrears appear to be levelling out month-on-month. Mort-
gage applications are down 11% on last year while new lending is down 37%.
• Nearly 2.1m consumers have credit cards, however holders of multiple cards are down 33% since 2019 as many chose to close their accounts.
• Despite showing signs of improved activity the construction sector has seen an upswing in defaults. Hospitality also experienced rising defaults and is now the sector facing the most challenges as labour issues and cost pressures persist.
So what does that look like from a real world credit management perspective ?
Well, at Debt Free we are starting to get calls from long established, normally debtor free businesses experiencing unprecedented levels of indebtedness.
Businesses appear to be running pre-Covid credit management systems while trading in a post-Covid world. I liken this to wearing a tee shirt in the dead of winter simply because it used to be warm. Employed people are being
paid more than ever based on the hourly figure alone but once cost of living is calculated it’s clear to see that the picture is far from rosy. I have good friends earning over $100k pa finding it difficult to keep up with the $50k a year mortgage payments, childcare and other basic necessities of life. For many self employed people the lending that they accessed to keep their businesses afloat during lockdowns now threatens to make post-lockdown life very difficult for the foreseeable future.
So what, as business owners, can we do?
In my opinion we need to accept that the world we stepped back into is not the same one we left before. Many formerly cashflow-rich businesses have reached the bottom of their reserves and with institutional lenders tightening lending procedures some see creditor derived financing (not paying people on time) as the only option which, as you can expect, has a massive flow-on effect that travels all the way up the supply chain with the ripple effect being increased each time.
This gets worse if you cannot charge interest or late fees as you are effectively a free bank that just happens to do other things too.
It is absolutely imperative that a businesses credit management system is fully assessed by an expert in the field if it was set up before the market changed or if your business has experienced changes in established client’s payments occur – there are tools available that can literally save your business, but you can’t use something that you don’t know exists.
In my career I have seen countless business save hundreds of thousands of dollars of potential loss after a free 30 minute meeting simply because they then knew what was sitting there waiting to be used properly.
I have seen this work and if it costs me half an hour of unpaid time to save a business owner a whole bunch of pain, then that is something I am more than prepared to do (as will any other professional advisor worth your time).
Just a thought.
NICK KERR, Debt Free
Employee engagement drivers in today’s workplace
Dale Carnegie’s business in 90 countries has bounced back with an average increase of over 40% in the last year due to the heightened needs of clients.
Companies are struggling to adapt to the new ways of working and needs of employees. Our CEO Joe Hart said that Dale Carnegie himself lived through the Spanish Flu, armed conflict and two major technological changes in his lifetime and we have done the same in just the last 3 years!
Because of this the old ways of organising business and doing things no longer work. Hierarchical top-down organisation doesn’t fit today’s business reality as people need to work together in a matrix across departments and external networks to be effective.
The pandemic has taught us that collaborating online allows us to learn who we really need to meet with in person, saving hours. We have learnt that rather than telling a new employee what times and places they will work, we first learn what their personal commitments are to enable them to give their best.
Recently Dale Carnegie conducted an employee engagement study across 20 countries including New Zealand. What we learned was surprising.
In our previous study in 2016 the emotional needs of employees included feeling valued and empowered.
Those needs are no longer featured as employees now know their value to the market-
Exploring Employee Engagement Drivers
place and are empowered to leave an employer. The organisational drivers of engagement haven’t changed. Employees want a good relationship with their immediate manager, to believe in senior leadership and for their company to have a purpose and direction they align with.
In addition, younger employees want balance with their personal life and an enjoyable work environment. This is a far cry from the good old days where if you weren’t happy you were told to take a concrete pill and harden up!
In addition, these organisational drivers must align with the heightened emotional needs of employees after almost 3 years of pandemic and change. The emotions are:
• Confidence – employees are set up for success and understand that the work they do contributes to the success of the organisation.
• Secure – employees feel psychologically safe, that diversity among associates is embraced and have the support of their leader. With the higher cost of living employees are sensitive to news or rumors that may affect their income.
• Hopeful – employees are encouraged to grow, develop new skills, and have the opportunity for personal and professional development.
I would say that the Black Ferns ticked all those boxes and made it obvious that emotions matter in today’s world.
“One of the surest ways of making a friend and influencing the opinion of another is to give consideration to their opinion, to let them sustain their feeling of importance” –
An organization has a successful employee engagement program when its KEY DRIVERS connect emotionally with its workforce.
The interpersonal skill of the immediate manager is a key factor in staff feeling secure, confident, and hopeful. This is perhaps why many businesses and organisation’s today are focusing on providing more opportunities for leadership development.
However, with staff shortages it can be challenging releasing staff for training.
Businesses acknowledge that building leadership and resilience skills are important,
When dealing with people, remember you are not dealing with creatures of logic, but with creatures of emotion.”
– Dale Carnegie dalecarnegie.com
but this can only be put off so long before the important becomes urgent. Urgent is usually when burn out kicks in, mistakes are made, or a competitor offers to meet our employee’s needs.
There has been a real eagerness to return to in-person training. Where this has changed is in the use of technology incorporating learning management systems that provide pre and post training resources through a personalized
Take Command
learning portal. Participants access resources via their mobile device when and where they need them and can customize their learning plan and collaborate with their learning peers. This makes training more agile and responsive to participant needs.
As a training provider, we have become more flexible to meet changing client needs by introducing a rolling schedule so if a day of training is missed due to sickness, staff shortage or an urgent order, that day can be made up or attended later.
Dale Carnegie is also going back to the old, publishing revised and new books. There is something about reading a book that slows down the mind, enabling deep thinking, contemplation, and a shift in mindset.
The future of work and of training is evolving, each situation is different, and we are all still working it out. One thing I am sure of is that we all need the support of a partner, mentor, immediate manager to help us through the constant change ahead. I have been fortunate to have had great support from Dale Carnegie and my business partner Andrea over the last 25years to work through challenging times and to make the necessary changes.
To be agile and resilient going forward your people need emotionally intelligent leaders who help them feel confident, secure, and hopeful. With that mindset we can view problems as opportunities and can look forward to many positive achievements in 2023!
Leadership Development Framework
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Dale Carnegie
MICHAEL SHAW is the Managing Director of Dale Carnegie BOP Waikato
Workplace law update
KATE ASHCROFT AND CHRISTIE MCGREGOR, Partners, Copeland Ashcroft
Kate and Christie act for employers across a wide range of industries nationwide, giving advice and providing representation in disputes.
As we close out 2022, employers face pressure of labour shortages, high inflation and increased employee expectations (including of pay and conditions, culture and wellbeing measures).
Significant workplace law changes are on the horizon as we head into 2023. Key issues for employers are:
Immigration changes – Median wage continues to rise
This year, Government implemented an accreditation system for employers seeking to employ migrant employees. It has also recently announced that the median wage ($27.76) is going to increase to $29.66 in February 2023. While migrant workers are in short supply across most industries, positively Immigration New Zealand processing times are remarkably speedy at present, providing some relief.
Fair Pay Agreements
The new law on fair pay agreements has been passed into law, with the new bargaining system commencing 1 December 2022.
Fair pay agreements will establish an “award” system similar to Australia’s ‘modern awards’, setting minimum terms and conditions for workers across an industry or occupation.
Employers in affected industries/occupations should ensure they are informed of and have their voices heard in bargaining, and ensure minimum terms are met. The challenge will be how to stand out when universal standards apply.
Employee or Contractor?
Scrutiny of independent contractor arrangements will continue, following several Employment Court decisions recently, the latest of which involved Uber drivers. In that case contractor drivers successfully argued they were employees. Other affected industries for scrutiny include construction and couriers, which have primarily operated using contrac-
tors until now.
Additionally, the Tripartite Working Group of New Zealand continues to make recommendations to Government, urging it to provide more clarity around the definition of ‘employee’, on the back of recent employee classification disputes.
Health and Safety – WorkSafe’s focus
Recently we have seen WorkSafe’s prosecution approach shift, including by focusing on small business owners and expanding the reach of health and safety obligations to previously unlikely parties. Common themes among officer prosecutions illustrate:
• Inadequate training of workers, including on how to mitigate or eliminate hazards and risks;
• Lack of knowledge of and departure from industry standards;
• Failure to learn from previous health and safety incidents; and
• Failure to identify hazards and implement controls adequately.
Given the expanding interest and reach of WorkSafe, it is increasingly important that employers/officers are aware of and compliant with health and safety obligations.
The issue of wellbeing in the workplace, and expectation that employers will manage psychosocial risks in the same way as other hazards is also high on the agenda, with WorkSafe releasing new resources to support businesses here.
To address these issues, we recommend:
Checking workplace policies and documentation are fit for purpose. If the way you work has changed, do these reflect your “new normal”? For example, if you have employees
Specialists in employment, immigration and health and safety law
Copeland Ashcroft Workplace Lawyers provide specialist advice, representation and support across employment, immigration and health and safety law, to businesses throughout New Zealand.
Why us? Put simply, as specialists in employment, immigration and health and safety law, we know our stuff. That means we efficiently assist you with pragmatic and specific advice, to suit your needs. We know what works, and we partner with you to achieve the results you want so you can get on with business.
Scrutiny of independent contractor arrangements will continue, following several Employment Court decisions recently, the latest of which involved Uber drivers. In that case contractor drivers successfully argued they were employees.”
regularly working from home, have you completed a health and safety risk assessment of their home workplace? Do your policies clearly set out expectations when working from home?
Ensuring mental health and wellbeing are proactively supported and managed, including through policy and wellbeing measures.
Making workplace culture a top priority. This is essential to support retention and recruitment of staff.
Consider what makes you an employer of choice, how you communicate this to the market, as well as how to secure your MVPs to keep them committed to you. Keeping this focus is almost always more effective (and often cheaper) than having to counter a potential new employer’s offer.
Review contracting arrangements, to make sure these are fit for purpose. If not, consider alternatives and any associated transition strategy.
If you will hire migrant workers, get ready by securing accreditation early. This is essential to a smooth path, securing migrant candidates at offer stage.
Other law changes
There are also possible law changes coming around:
• restraint of trades, with a Bill progressing through the legislative process to prohibit use of these except for senior employees;
• sexual harassment claims, with a Bill progressing too on extension of the timeframe for raising these; and
• income insurance protection for employees who are exited due to redundancy or medical incapacity, which is not yet at Bill stage but under consideration by Government, which would add to the cost of employment in that it would operate as a levy dependent on earnings, similar to the ACC scheme.
Clear workplace strategy key
Being prepared with a clear workplace strategy, with the right advice and documentation to support this, is essential to ensuring your workplace can compete in the current market and amidst the headwinds that business faces.
EVENTS AND VENUES
A sense of place
When you talk about Tauranga with friends, family and colleagues who live elsewhere, what do you say?
No doubt our golden sand beaches get a mention. Mauao, too. The harbour. The climate. The lifestyle.
Maybe you have also started talking about the growing tech scene here, or the big industry players providing good career opportunities. There’s the kiwifruit sector. The Port.
All of these things, together, paint an appealing picture that continues to attract thousands more people to Tauranga each year. The population has boomed, and then some.
I’m new myself, having come over the Kaimais from Hamilton last year, and I very quickly realised when I arrived that there is something else special about Tauranga that you only discover when you stay a while.
There is a certain energy here that you only get in places where people are genuinely happy to be present. Tauranga is a city where people not only want to work and reside, but live.
You notice it most in the spaces and places that our communities congregate. At the beach, for example, or a local market on a Saturday. I have seen it up close at the 24 venues we run across the city.
This energy, I believe, is a sense of place – a relationship and connection that people have to their surroundings, to their home suburb or city, that goes beyond the practical. You don’t find it everywhere, but you do find it in Tauranga.
Take, for example, 90-year-old Iris who has been swimming at the same community pool in Greerton for more than 50 years, since it first opened in 1971, and how she continues to swim there three mornings a week. Just look at the way she is greeted by the young squad swimmers and lifeguards when she arrives.
And then there are people like James Patea. He and many of his Baypark colleagues knock off work and immediately jump on court to referee basketball, or play social netball – all in their own time, for their own leisure.
When I came on board as the new chief executive of Bay Venues, I was determined that we would protect – and enhance – that sense of place. Each one of our venues has its own special character that people connect with. We want to celebrate that character and allow it to thrive.
Bay Venues launched a new strategy and set of values earlier this year to help do that, with community the main focus and a new vision
to be The Best Venues for the Bay. We want to host as many events and activities as possible and create exceptional experiences that will help connect people to their local communities.
We also want to look after and improve all 24 of our facilities, as kaitiaki of the whole network.
The population of Tauranga has grown rapidly in the past decade and in that time no new aquatic centres, indoor sports facilities, or community centres have been built. The demand has grown exponentially, but the space available has not.
We are now entering an exciting catch-up phase where we are firmly focused on the future and what this city will need going forward.
Working alongside Tauranga City Council, we have a series of big projects coming up that will transform and, in some cases, completely rebuild some of our ageing community facilities.
That includes our community halls and centres spread right across the city, from Pāpāmoa in the east, to Tauriko in the south, across to Bethlehem and everywhere in between.
There is also the council’s active reserve masterplans project involving Trustpower Baypark, which could see the Te Maunga site become a community sports and recreation hub for Tauranga, hosting everything from athletics and gymnastics to court sports and beach sports.
The vision is for a multi-use sporting precinct, a place where both residents and visitors can play and compete at all levels, and the preliminary plans include a new athletics facility, outdoor courts, a new gymnastics facility, sand courts, as well as dedicated green spaces, a playground, and walkways.
On the other side of town, at Memorial Park, a major development is in the works that will cater to the residential intensification planned for the Te Papa peninsula.
There will be a brand new modern indoor aquatic centre offering all the water-based activities and attractions similar to Baywave, and more. This will sit alongside an indoor four-court sports facility, a cafe, and a new gym. We also want to connect this Memorial Park complex with the central city and all the development happening there. I can see people biking and walking to work or school and stopping off at the pool or gym on their way home.
Of course, all of this will take time and there
will be some disruptions and growing pains along the way.
We will need to find a balance between what we need to do now to have the best possible customer experience at our facilities, which host near two million visits a year, while at the same time planning for and building what our communities are going to need in 10 to 20 years’ time.
This requires us to be ambitious and bold, but we are not alone. Partnership is key.
For 11 years I was the director of opera tions at H3, Hamilton City Council’s event and venue division. Before that, I managed shop ping centres for more than a decade.
It is that mix of community and commer cial experience that has taught me the value of partnership.
Bay Venues and Tauranga City Council are going to work closely every step of the way with key people and organisations in our communities.
We will work with mana whenua, Sport Bay of Plenty, Tourism Bay of Plenty, Priority One, the business community, as well as the people and groups that use our venues every single day.
I am the first to admit that we don’t know everything about every activity or event that happens in our facilities, so we are going to be in regular contact with the people who do and will be getting constant feedback on what’s important. Because, at the end of the day, we can’t do this without people.
Our buildings are big, expensive assets that make all this community activity possible but, even though those assets are being improved and modernised and redeveloped, they are merely bricks and mortar.
You don’t maintain and enhance a sense of place with just buildings, it’s about what happens in them.
It’s about the passionate, committed staff working there, of whom I am in constant awe, and it’s about the regulars who turn up once, twice, three (or more!) times a week, who have made friends and formed a community with the familiar faces around them.
If you ask some of those people about Tauranga, I think there’s a chance they might mention the community facil ity they visit each week.
They might talk about why they go
Working alongside Tauranga City Council, we have a series of big projects coming up that will transform and, in some cases, completely rebuild some of our ageing community facilities.”
there, who they see there, or why that venue is important to them.
My hope is that in the coming months and years more of our residents will build a similar connection, and that the city’s community
Chief Executive Bay Venues
Artist impression of the potential future Trustpower Baypark. Supplied by Boffa Miskell & Visitor Solutions.
CHAD HOOKER
Personal service wins plaudits
“Our clients tell us they really appreciate our personal service. That’s why we have the Milford Tauranga office, because we know our clients want to deal with advisers who know them, who know the area and who are part of the community – a community with its own challenges and its own unique relationships.”
That’s the message from Milford’s Bay of Plenty lead adviser Peter Hawes.
“For some, that personal contact advantage can be as simple as our team here helping a client fill out the occasional obligatory paper form.
“For others in our Private Wealth service, it’s the personal adviser conversations,” says Peter. “But it’s not just the personal service,” he says with a smile: “The after-fee returns are important to clients too of course.”
The Milford KiwiSaver Plan for example has been a solid choice for investors with pleasing comparative after-fee return levels for clients. “Our clients are looking for optimum return, after fees, from the funds they are invested in; Milford has a proven track record of providing them,” says Peter.
Milford was formed in 2003 by an experienced group of individuals who recognised the need for an investment company to provide New Zealanders a world-class investment partner they could trust.
Milford currently has more than $16 billion of funds under management.
The company’s founding principles include an active management investment philosophy, employees investing alongside clients and long-term staff ownership.
The company has regional offices throughout the country.
Rapid expansion in the Bay of Plenty region in recent years led to the opening of Milford’s Tauranga office in 2021.
Peter Hawes and Milford Tauranga team
Peter joined Milford in 2021 bringing more than 30 years’ experience in financial services. He has an extensive knowledge of investment management in NZ. He specialises in providing advice to high-net-worth individuals, families, and trustees of family trusts.
Peter says that while he probably spends about 70 percent of his time in the office, he enjoys the 30 percent he spends out on the road with clients – those clients are spread from Gisborne in the south to Waihi Beach in the north.
The private wealth clients range from longterm Bay of Plenty residents to those who have recently chosen to move or retire to the Bay.
His colleague, adviser Donna Stewart, who joined the team in 2021, has spent 24 years in
the financial services industry in New Zealand and Australia and brings a wealth of experience in the farming and agriculture sector.
The team is very well supported by the most recent member, associate Kim Bell. Kim also has vast experience and focuses on delivering exceptional client service.
Walking the talk
“When it comes to community and looking after our client’s interests, we walk the talk,” says Peter.
Milford’s Tauranga team members support numerous local community initiatives and business groups – Donna is involved in businesswomen’s networking and the Tauranga Business Chamber and Peter with professional accounting and legal partnerships and mentoring programs. The team has a strong community ethos.
As well as supporting local charities, the Milford Foundation, set up by Milford in 2020, has also recently launched two tertiary scholarships for Bay of Plenty school leavers.
According to Peter, this is a way for the Milford Foundation to offer significant opportunities to young people who may not have otherwise been able to pursue tertiary study.
“We hope this may help change lives, and in these difficult times we think that’s incredibly important.”
2022: a year of challenges
Peter admits 2022 has been a challenging year for everyone.
“Our key focus in 2022 has been to keep in touch with our clients and to keep them well informed. We aim to keep our investors well-informed every step of the way. This is particularly pertinent in tough times, which are part of investing. Investing in markets is rewarding over the long-term though the experience isn’t without highs and lows.
“Milford are active fund managers, and we always aim to work with our clients on setting financial goals and providing sound advice to help achieve them.”
The digital advice tools on the Milford website are free and available to everyone wanting to invest with Milford.
Personal wealth clients can tailor their contact with the team to what they feel suits them best.
“While markets and returns have been challenging in 2022, my message has remained unchanged throughout: Typically markets rebound, so be patient.”
2023: Stay informed and be patient
With current inflation volatility, rising interest rates, economic uncertainties and international political turmoil, we risk becoming too focused on the short-term impacts of these factors. To a degree, markets are usually forward looking and will commonly also reflect longer-term expectations.
“There may be continued pressures in 2023 – taking a long-range view may be useful.
His advice for the year ahead: stay well-informed and take sound advice from trusted advisers.
We have
Local, and invested in you
We know the value of being involved
connection with our
Please don’t hesitate to get in touch to discuss
Our Team: Donna Stewart and Peter Hawes
Milford
PETER HAWES, Milford Tauranga
Our objective is not to sell unnecessary IT on the ‘bleeding edge’, or to prop up outdated technology with dusty old manuals, but rather enable companies to work from what we call the ‘inside edge’ of what is relevant tech today.”
Creating an enviable workplace with the right IT
Stratus Blue CEO MIKE BELL talks about how the team is working intuitively with clients, rather than providing businesses with endless IT fixes so they can focus on their vision and retaining top talent.
Stratus Blue is an IT Managed Service Provider (MSP) and for the past six years we have been equipping companies in the Bay of Plenty and beyond with the support, security, and technology infrastructure they need to remove the overwhelm and future-proof their IT.
Our objective is not to sell unnecessary IT on the ‘bleeding edge’, or to prop up outdated technology with dusty old manuals, but rather enable companies to work from what we call the ‘inside edge’ of what is relevant tech today.
This is especially true since Covid-19 changed the way businesses operate indefinitely.
One thing Covid has taught us all, is how interdependent we all are, and I believe we are all still catching up with how much the last three years has radically changed the way we do life and work.
Rethinking what the workplace looks like in a post-Covid world has become vital for businesses to attract and retain top talent, and that has had a huge impact on businesses’ IT infrastructure.
This is most evident in the way employees are wanting to work. Even though things are open again and people can come back to the office, organisations are experiencing team members and new hires wanting to retain the flexibility of working from home that the pandemic introduced.
For the IT industry, this has required businesses like Stratus Blue to change emphasis and really focus on our response to three key areas: remote work competency, communica-
tion capability and security.
Organisations need remote solutions where Company IP is protected, and where staff can work securely from anywhere yet stay connected. Businesses cannot afford to maintain the same attitudes towards IT security that they had three years ago.
We are seeing a huge jump in security breaches to businesses of all sizes in New Zealand, with forecasts predicting that this is going to become an ever-increasing issue year
One thing Covid has taught us all, is how interdependent we all are, and I believe we are all still catching up with how much the last three years has radically changed the way we do life and work.”
after year. Security measures like Multi-Factor Authentication (MFA) and Endpoint Detection and Response (EDR) tended to be adopted by the more vigilant and risk-averse organisations but are now industry standard essentials.
Our team have been working hard to remove the ‘guesswork’ for our customers and provide quality and clarity to make this shift in IT strat-
ABOUT MIKE
Six years ago, I moved from London to Pāpāmoa with my family and haven’t looked back, falling in love with all the Bay of Plenty has to offer regarding work, play and raising a family. In 2019, I joined the Stratus Blue team as General Manager, and in 2022, stepped into serving the Stratus Blue team and customers as CEO.
Whether working in local Government or large tech companies in the UK, I have always enjoyed managing many variables and aiming them towards a better future.
As a leader, I’m not driven by prestige or status, but by potential being realised in the people I serve and what we are trying to create together. I believe relevancy to culture is not optional, it’s a must, and due to the times we have been facing, work culture has significantly changed, and we must be agile and act accordingly.
egy as simple as possible, enabling our clients to offer the culture and security that top talent are searching for.
In 2023, we will launch an end-user package we call “Essentials”. This package will include everything you need for everyday work and communication, industry-standard security mitigation and remote support from our team of experts. With a predictable per-user monthly price – it’s everything you need and nothing you don’t.
For our team, we are embracing the shift that Covid-19 brought to our lives, and our ongoing focus is creating a culture where people grow and want to stay. We strongly invest in our peo-
ple by providing each team member with individual coaching and mentoring from our Culture Coach in their innate talents using Gallup’s tool, CliftonStrengths (StrengthsFinder), and help them set goals for work and life. We also provide team workshops to better understand each other’s unique work styles and give the team opportunities to increase their skills and knowledge in IT.
The challenges businesses are facing are real and complex. However, the ingenuity and ‘can do’ attitude I have experienced in the Bay of Plenty have led me to think the best years are ahead of us, and I’m excited to be part of a team of forward thinkers wanting to take it head-on.
“Rising to the challenge”
DAN MATHIESON, Zespri CEO
Zespri and the New Zealand kiwifruit industry have faced a particularly challenging 2022 season.
The ongoing impact of Covid-19 across the global supply chain, the shortage of people, rising costs and poorer fruit quality have presented significant headwinds for our industry.
Some of these are expected to remain in front of us for the 2023 season, where we anticipate having smaller than expected crop volumes following the significant frost event across the Waikato and Bay of Plenty and relatively poor budbreak.
While this is a challenging environment for
growers and our industry, what continues to give us confidence is the fact that more and more people around the world continue to see value in and want more of the great quality and healthy kiwifruit our growers produce.
After a very tough couple of seasons, our industry is doubling down its focus on finding solutions to our immediate and longer term challenges, and looking to come out stronger as we go into 2023 and the years ahead.
We have some of the most innovative and passionate growers in the world – many of whom are based here in the Bay, strong partnerships throughout our global supply chain, a globally-recognised brand which consumers trust, and a group of resilient people committed to providing customers and consumers with the world’s best kiwifruit.
It’s these attributes that will continue to allow us to address the challenges we’re facing, and bring value back to our growers and our communities in 2023 and in the years ahead.
As much as we’re focused on looking to address our short-term headwinds, we’re also making sure that we’re considering how we best achieve our long-term growth potential.
We know that consumers today are not just making purchasing decisions based on a product, but on how it is produced and the impact it has on the environment.
There is an increasing expectation from stakeholders that businesses have to look at climate change with the same focus as they look at financial forecasts, and a very clear expectation from customers and consumers that more sustainable practice should be built into how a company grows and obtains value for its products.
Our work in this space continues, and we’ve
already made steady progress towards the goals and long-term sustainability commitments we’ve set. We’ve set out our Climate Change Strategy, identified our key Climate Change Risks and Opportunities, invested in innovation to explore new cultivars that may thrive in a warmer climate and continued our research to better understand how we can best mitigate the impact of climate change.
And this week, we’ve released a Climate Change Adaptation Plan – Adapting to Thrive in a Changing Climate – which outlines how our
Our industry faces a bright future if we continue to make positive decisions and grow in a way which is good for our communities and the environment.”
industry intends to adapt to a changing climate both here in New Zealand and in our offshore growing locations so that we can transition to a low-carbon, climate-resilient future.
We’re an industry that is already experiencing and responding to climate change, with growers adjusting their growing practices and post-harvest facilities adjusting the packing of fruit, in light of warmer temperatures.
Our plan considers the impact of climate change not just from a physical perspective, but
also the changes we’re likely to see at a regulatory level, along with the heightened expectation from our customers and consumers that we are adapting our approach.
It includes more than 40 actions Zespri and the wider industry will build on over time to future-proof the growing and breeding of kiwifruit, maintain fruit quality and manage supply, and protect the industry’s financial future.
This includes supporting growers to adopt climate resilient practices like efficient water use, investing in climate-resilient cultivars with the Kiwifruit Breeding Centre, developing a future-focused climate research programme which assesses the effects of climate change on productivity and profitability, and lessening our exposure to carbon costs by reducing emissions.
We know there’s a lot of work to do, but by co-ordinating our efforts as an industry we’ll be more effective, putting us in the best position to continue to deliver sustainable returns to our growers and industry as the climate continues to change.
Our industry faces a bright future if we continue to make positive decisions and grow in a way which is good for our communities and the environment.
With kiwifruit representing less than 1 percent of the global fruit bowl, and demand growing quickly as the world focuses on health and wellbeing and plant-based diets, it’s critical we continue to look ahead to strengthen our industry’s future and be ready for the opportunities and challenges in front of us.
We’re committed to doing that by growing in a sustainable and purposeful way that adds value for growers and our communities right here in the Bay.
Why more top lawyers are moving to Cooney Lees Morgan
A growing desire to combine career and lifestyle opportunities means Bay residents and businesses now have access to some of New Zealand’s sharpest legal minds and courtroom operators.
Our region’s enviable weather and lifestyle, combined with the hefty and challenging legal work on offer at Cooney Lees Morgan, is attracting an increasing number of highly-skilled lawyers to Tauranga from a variety of backgrounds.
The firm continues to recruit top talent and now employs well over 100 staff who handle significant deals and clients on a nationwide scale.
CLM recently spearheaded a $300m property partnership between Tauranga-based Classic Group and the New Zealand Super Fund; administered Zespri’s $350m annual grower licensing project; advised multiple Councils and private employers on how to implement mandatory Covid-19 vaccination policies; and appeared before the Court of Appeal to represent clients regarding Resource Management case law of national significance.
It’s that reputation and capability that caught the eye of Greg Stringer who is a former partner of a prominent Auckland law firm. He has spent his entire 30 year career working in South Auckland, going head-to-head with renowned KCs and senior lawyers in the High Court and Court of Appeal – and has now relocated to Tauranga to work at CLM.
As a child, Greg spent a year living in Ohope, near Whakatane, and has always loved the Bay of Plenty. “Tauranga just really appealed because it’s a growing place. It’s a vibrant city that has some really good work, but also has the outdoor lifestyle aspects like the beach and tramping which I love. Cooneys has a good culture, good systems and is a modern firm.
“I always use the analogy that a good law firm is like a good pub quiz team – you have to have a range of experience and ages to get a good mix. They also have a great range of high quality work which was important to me as well. I want to continue to be challenged and keep growing as a lawyer.”
As Special Counsel at Cooney Lees Morgan, Greg is now working across the firm’s
family law, civil litigation and local government teams, collaborating with his new colleagues and mentoring younger lawyers.
“I’m able to react quickly and can cover anything because I’ve worked across so many different areas. I’m a safe pair of hands and can add value, and it’s a good symbiotic relationship – I can do the sort of work I want to without the pressures of being a Partner, and can enjoy being part of a great team as well.”
The chance to enjoy the Bay of Plenty lifestyle is also what drew Robbie Bennett to Cooneys in April this year, leaving behind a role at a top tier law firm in Auckland where he spent the previous five years.
He is now a Senior Associate in Cooney’s Property & Development Team and advises clients on a range of property and commercial matters including large-scale property sales, acquisitions, leasing arrangements, developments and syndications. During his eight year career, Robbie has acted for a number of clients in deals worth well in excess of $100m, and Cooneys continues to provide him with high-quality, challenging work.
“There is definitely the opportunity to become involved in complex legal work and large transactions here. I’ve also enjoyed the challenge of becoming a more well-rounded lawyer and advising clients on a wider range of legal matters, such as funding and corporate structural aspects rather than just pure property work. I’ve become more involved in clients’ whole end-to-end business rather than just one aspect of it which is very satisfying.”
Greater lifestyle opportunities and Auckland’s high house prices also contributed to Robbie’s decision to relocate to Tauranga with his partner, Becky. But ultimately, the opportunity to work at Cooneys was too good to pass up.
“Cooneys has a really good reputation and it’s a good opportunity to build my practice and my career. There’s a supportive and collegial atmosphere and everyone gets on well.”
Having grown up in Hamilton, Robbie is
GREG STRINGER, Special Counsel and ROBBIE BENNETT, Senior Associate, Cooney Lees Morgan
excited to now live in the Bay of Plenty and is looking forward to his first summer as a local.
“I’m definitely enjoying the region’s lifestyle opportunities and a more relaxed pace of life. A round of golf or a morning walk with our dog are my ideal ways to unwind.”
CLM’s CEO Cecilia Burgess says the arrival of Greg and Robbie are just two exam-
ples of the depth of legal talent now available at the firm to support growing Bay businesses and private clients. “Cooneys has been pivotal to the growth of Tauranga for more than a century. We’re proud to continue providing that vital legal support and have all the expertise on hand to help our clients thrive and achieve their goals.”
Tyler Buckley Ocean Swimmer + Associate Lawyer
Opportunities in manufacturing
The traditional perceptions of manufacturing as an industry primarily focused on mass production have become outdated. While materials and assembly – bashing steel, fitting parts – is still the crucial function of a manufacturing company, to prosper in a modern business environment requires a wider scope of work characterised by a commitment to innovation within each major business function.
MICHAEL SIEVWRIGHT CEO Trimax Mowing Systems
Today’s manufacturing landscape contains a multitude of diverse roles – and with them, a wider range of opportunities for employee development and retention. Trimax Mowing Systems in Greerton, Tauranga has adopted such a holistic view in their company structure, incorporating design, engineering, sales, service, marketing, business development, and distribution along with their production capabilities.
Michael Sievwright, CEO of Trimax Mowing Systems, summarises: “Trimax is a customer-driven company that manufactures, not only a manufacturer.” Here Michael outlines three key strategies that set Trimax apart from their manufacturing contemporaries.
Embracing process and technology
“In the New Zealand manufacturing environment, we have to invest in effective process and automation. Developing thorough standard operating procedures, designing for manufacture, and incorporating automation are essential for us to advance in the competitive global market.”
Driving acceptance for new processes, especially in a company like Trimax that has been actively in production for over 40 years, can sometimes pose a challenge.
Working with the operations team to communicate the reasoning behind the changes and the benefits that they bring to the company, as well as encouraging active collaboration from team members throughout the integration process, has allowed Trimax to successfully inte-
With the introduction of our welding robots, we’ve been able to transition a valuable skill set into a role with less physical demand and increased longevity. Our welders can train, develop, and extend their careers, and Trimax can provide more opportunities for a wider workforce.”
grate new systems with eager cooperation from experienced staff.
Trimax emphasises automation as a tool and an investment not only for production but for staff development. The recent incorporation of welding robots in the New Zealand factory has been successfully implemented with this longterm upskilling approach.
“Welding is quite physical. With the introduction of our welding robots, we’ve been able to transition a valuable skill set into a role with less physical demand and increased longevity. Our welders can train, develop, and extend their careers, and Trimax can provide more opportunities for a wider workforce.”
The addition of some automated work functions has also allowed Trimax to increase their productivity. “The robots are allowing our team to achieve two to three times the output that we could achieve with traditional welding alone, and the machinery isn’t even running at full capacity.”
Applying globally learned lessons
Trimax’s target customer bases are closely connected to their land, placing inherent value on the ability to be physically close to their markets. The focus on relationship building and collaborative problem solving throughout the Trimax sales process also necessitates a fixed local presence in the locations where the company plans to grow and expand their business.
Since the mid-1980s, Trimax has established a global infrastructure that includes local staff and facilities not only in New Zealand but
also in Australia, the United Kingdom, and the United States.
“We have facilities in those countries. We manufacture in those countries. But New Zealand is still a core part of our business and operation. Through our internal knowledge sharing we’re able to bring value from our experiences in other markets back to our operations in the Bay of Plenty, and vice versa.”
The Bay of Plenty has a surprisingly high concentration of high-value manufacturing businesses. We can grow our region’s capability by coming together as a community to share our knowledge and best practices.”
Trimax hosts their engineering team and knowledge base here in New Zealand, serving as a centralised hub for their global operations. Steady communication with their international facilities enables Trimax to centrally incorporate beneficial developments across all their locations and promotes a consistent customer experience no matter where in the world a customer is based.
This global consistency is especially
important due to Trimax’s high global export volumes. With manufacturing facilities firmly established in three out of four of their major markets, product can be moved around the world to meet global demand without concern over differing manufacturing methodologies or quality between mowers produced in different factories.
Planning for continuous development
The outlook for New Zealand’s manufacturing sector is constantly evolving as new technological and procedural developments gain traction. Staying at the forefront of the industry entails a high level of vigilance to up-and-coming trends and the foresight to understand how new technologies might be applied within the framework of Trimax’s business. In such situations, the development of a community of practice can be mutually beneficial to all those involved. “The Bay of Plenty has a surprisingly high concentration of highvalue manufacturing businesses. We can grow our region’s capability by coming together as a community to share our knowledge and best practices.”
Most important is maintaining the right mindset. Recognising that there is always room for improvement and remaining open to the possibility of finding a better way prevents companies like Trimax from getting stagnant and increases the agility of the overall business. Trimax underscores this tenant through one of their main pillars of culture: Stay curious and humble.
MEMBER ORGANISATION
A post-pandemic future for businesses
As we reflect on a challenging year of rebuilding for businesses, we share our Bay of Plenty members’ cautious optimism around what 2023 will look like for business, the economy, our people and communities. The export sector continues to carry New Zealand’s prosperity “on its shoulders” and the Bay of Plenty is the vanguard of that activity, in every sense.
While we remain wary of the presence of Covid-19, we consider the impacts, both mentally and financially, that this has had on EMA members across all regions.
During our recent regional Bay of Plenty briefings, members voiced their concerns around skill shortages and access to people during the kiwifruit season, roading projects and infrastructure frustrations, including lengthy delays of the Tauriko Network Plan and Port of Tauranga expansion.
Extracting more for these large-scale projects, or at least an equal per capita share of central Government spending, is critical as is revitalising struggling town centres. Funding is one element and that means acknowledging and using other tools to help fund infrastructure and redevelopment. Speed remains the most critical element lacking across the region. The issues are known, but the answers are taking too long.
We are pleased to be part of a business group working with the Commissioners and Council on these issues.
Where have the people gone?
Across the Bay of Plenty business community, skill shortages and wellbeing in the modern workplace are common areas of concern. We recently undertook a Skills Shortage Survey which returned over 330 responses from 50 sectors. Over 40 per cent of respondents men
Members voiced their concerns around skill shortages and access to people during the kiwifruit season, roading projects and infrastructure frustrations, including lengthy delays of the Tauriko Network Plan and Port of Tauranga expansion.
tioned an inability to secure staff, even with some roles having been advertised for a year.
There exists a huge demand for goods and services from businesses in the Bay of Plenty, but the skill shortage is impacting capacity and placing pressure on existing staff. Our members have expressed their need for more assistance interacting with the new immigration system, and our partners, Malcolm Pacific Immigration, have been invaluable in that area.
We launched our People Experience Practice in February. This aims to support businesses to become great employers and people leaders by helping them invest in and retain their people. The programme provides access to an extensive resource library (co-designed by Deloitte) and delivers on-tap expertise for
By BRETT O’RILEY, Chief Executive, Employers & Manufacturers Association (EMA)
businesses on their talent management plans and designed tailored business programmes.
With almost 4,000 learners participating in our courses this year, learning has become one of the essential ways to fight the war on talent.
Wellbeing in the modern workplace
Alongside Auckland Business Chamber, we’ve co-developed First Steps (www.firststeps.nz).
This Government-funded programme, which is now available across New Zealand, encourages business owners, managers and employees to
Our nib / EMA Workplace Wellbeing Survey also underlined the importance of workplace wellbeing. The results were staggering – over 1,200 people completed the survey, and one in four reported a desire to change jobs in the next 12 months.
This sends a warning bell that businesses need to pay attention to their employees’ wellbeing or risk their own productivity and sustainability. According to many respondents, the primary cause of workplace stress was understaffing, which leads to unmanageable workloads, poor work-life balance and pressure to
We’ll continue navigating this post-pandemic environment with you, so we can all flourish and contribute to our country and communities. We wish everyone in the Bay of Plenty the best for the festive season, and we look forward to being in your corner in 2023.
Sam Uffindell and National delivering for Tauranga
Sam Uffindell has been MP for Tauranga since June 2022 and has been working incredibly hard to set Tauranga up to be the best city to live, work and enjoy in New Zealand.
Tauranga’s new MP, Sam Uffindell, was elected to Parliament following a by-election brought on by the retirement of Simon Bridges.
Since coming into his role, Uffindell has experienced a baptism of fire. He rode through the challenge with resilience and the significant support of his electorate. He has come out the other side a much more battle hardened member and a highly visible leader within the Tauranga community.
What’s clear from watching Uffindell is his calm and easy nature with constituents, relent-
less work ethic and long term vision for Tauranga and New Zealand.
All those that have met Uffindell will notice that he’s genuinely friendly, open, laid back and interested in people. He has an easy way about him and makes others feel comfortable. He has all the hallmarks of a successful long term electorate MP. One gets the feeling he really wants to help those living in Tauranga and has hired an extremely open and hard working set of staff to run his electorate office in Third Avenue.
During the by-election campaign, Uffindell was easily the most visible of all candidates. He and his volunteers knocked on a significant majority of all the residential doors in Tauranga. Uffindell personally visited many businesses throughout Tauranga, whether they be in our CBD, Tauriko Business Estate, the retail shops along Maunganui Road or businesses through the Mount industrial area.
He was there to meet with businesses, to let them know that their local MP cared for them and was genuinely interested in addressing their concerns.
The major areas of feedback given to Uffindell from Tauranga businesses is the labour crisis, congestion and regulation. He is taking those concerns and driving for change locally and from Wellington. Since returning to duty
in September, Uffindell has been visible at an endless list of events across Tauranga. He is clearly putting in the hard yards to assure voters that in him they have an incredibly hard working MP that is dedicated to delivering for the people of Tauranga.
Uffindell has been quite clear about his vision for Tauranga: to make it the best city to live, work and enjoy in New Zealand. He also envisions Tauranga becoming a tech hub, ideally, the tech capital of New Zealand.
The National Party has given Uffindell portfolio roles that could help bring this vision to life. He is National’s Associate Spokesperson for Economic and Regional Development and Research, Science, AI, Innovation and Technology. The Economic and Regional Development role gives him considerable scope to help shape the future of Tauranga and the wider Bay of Plenty.
He is an incredibly strong advocate for dramatically improving the infrastructure feeding Tauranga. This includes extensions of SH29 to allow the development of tens of thousands of new homes and a four lane, grade separated SH29 all the way over the Kaimai’s to SH1.
The upgrade of Hewletts/Hull/Totara is also critical to Tauranga as a key artery connecting Tauranga to the Mount and to the Port. He would like for some serious long term strate-
gic planning and infrastructure development to take place to see that when SH29 and Hewletts/ Hull/Totara are upgraded they are developed with 2050 in mind, not yesterday.
Uffindell has publicly advocated for the Port of Tauranga to expand and develop a third birth. This is critical for the Port to be able to manage exporting our goods. Uffindell believes it would be a travesty if local businesses and growers were denied the ability to grow because the government has not held up their end and limited growth through a lack of suitable infrastructure.
Technology is something that Uffindell is very passionate about. He cites Tauranga’s proximity to the kiwifruit capital of New Zealand, location within the golden triangle, expansion of Waikato University and amazing climate as key factors to draw in young people. He wants Tauranga to lead the country for agri-tech and hort-tech; services in which New Zealand could lead the world. There is huge potential in these industries and Uffindell is highly driven to support their development here in Tauranga.
With the rapid development of our city, and passionate local advocates like Sam Uffindell, there is a real sense that Tauranga will achieve its ambitions and become the best city to live, work and enjoy in New Zealand.
SAM UFFINDELL, MP for Tauranga
Photo / Martin Cowan
Investing in your future
PMG Funds has an enviable 30-year track record of supporting investors through economic cycles. The Tauranga-headquartered business has grown from a small group of investors’ money in 1992 to a portfolio of 40 properties managed through five investment funds valued at over $900 million. Chief Executive Officer Scott McKenzie, who recently celebrated 10-years at the helm of PMG, shares his thoughts on keeping calm through times of economic turbulence and what opportunities exist for astute investors.
The road ahead
From a geopolitical and economic perspective, the road ahead is more unclear than ever.
We don’t know what’s around the corner –but it’s likely to be a bumpy ride. Over the next year, rising inflation, high interest rates and issues with supply will reduce discretionary incomes to levels well below what we’re used to. This will add a further sense of jeopardy and complexity to investors’ decision making and will call for cool heads.
The economy is propelled in cycles, which means the market naturally rises and falls. The speed with which it does this may change, but ultimately it keeps moving forward. By having a clear and well-advised investment strategy and maintaining a long-term investment horizon with a focus on regular cashflow, these short-term market movements should be nothing to fear.
Focus on getting the most out of what you have
At PMG, we’re big believers in controlling what we can control. Careful stewardship and smart strategy allow us to keep building scale and income resilience irrespective of the economic climate. And I think this guiding philosophy is sound whether you’re managing $900 million of assets or a handful of investments. Over the last year we’ve focused on ensuring
SCOTT MCKENZIE. Chief Executive Officer, PMG
each of our funds is well-positioned, through decreasing levels of debt, to take advantage of opportunities to grow their portfolios that may arise. In uncertain times, it’s important to have the agility to take proactive steps and not remain passive.
Equally, our fund managers talk about increasing exposure to defensive income resilient properties, sectors or companies that are positioned to survive and thrive through difficult periods, for example through uninterrupted demand or Government backing.
Our long-term view on wealth creation is underpinned by risk management through diversification. Diversification can be achieved through geography and/or exposure to multiple sectors – and it’s a philosophy that we apply to all our Funds.
Don’t invest it all at once
This probably sounds a little counter-intuitive coming from an investment fund manager, but liquidity is an essential component of successful investment, allowing you to react swiftly to better buying opportunities as they arise.
Successful investors often say, you make your money when you buy. With market volatility, what that looks like in real terms is acquiring assets that have the potential for higher returns later down the track.
This could be a property that has some vacancy and is currently undervalued but well positioned to achieve long-term market value, or one that needs development, but the cost and programme variables of carrying out that development has increased risk. Whilst no one can pick the bottom of a market, buying at the right time at good value means potentially enhancing returns when markets recover again.
Consider the bigger picture
Success is very rarely an overnight phenomenon and there are no shortcuts for investments, so make sure you do your own research and seek input from qualified people before picking your investment path.
At PMG, we don’t view all opportunities purely through the prism of growing wealth. Rather we acknowledge the need to consider the impact on the planet and our communities.
This year we published our Sustainability Report – a first for the unlisted managed funds sector in New Zealand.
Just as we have led the charge in establishing the property funds management industry over this last decade, we also want to play a leadership role in encouraging the sector to actively respond to the need for action around building environmental performance.
We’re equally passionate about improving financial literacy.
It’s unacceptable that New Zealand is below the OECD average in this regard, so we continue to support this through growing financial literacy for our young people through Life Education Trust’s SMART$. With investment, it’s important to consider the bigger picture – not just for us but for the legacy we leave for our future generations.
For more information on PMG, visit pmgfunds.co.nz/invest.
RESIDENTIAL REAL ESTATE
Where is the real estate industry headed in 2023?
2023
marks an interesting point in the New Zealand real estate market cycle, especially compared to the previous decade.
According to Property Brokers’ regional manager, Simon Short, “We have experienced a bull market of sorts over an extended period where demand from buyers has simply outstretched the supply of listings.
“Prices across the real estate market have continued to increase quarter on quarter, year on year.”
He points out that off the back of Covid-19, where government assistance and financial aid were thrust into the economy, we now, like the rest of the world, find ourselves in an ‘over-inflated’ state. “With interest rates now elevating, as expected, to offset inflation, I sense, like many, next year will be a year of further pricing correction and calibration.”
Simon has identified a maturity amongst sellers currently looking to sell (and leading into 2023) – they understand 2021 prices are no longer likely and therefore expect values to come back somewhat from where they have been.
He believes interest rates will have the largest bearing on buyer confidence – affordability is now a significant factor, with capital gains no longer as prevalent.
“There will be an increase in stock levels in 2023 as more homeowners come off fixedterm rates and affordability becomes a factor; For some, selling may be their only option.
“Average days to sale are extending, so we have existing stock and new stock all congesting the market at once.
“A softening of property prices is expected.
“On the other hand, buyers who have strong equity and are cash-ready will be in a strong position to negotiate, and choice in the market will be plentiful”, he predicts
Property Brokers 2023 outlook
Property Brokers has grown rapidly from humble provincial beginnings to now be New Zealand’s largest, fastest-growing regional real estate brand.
They list and sell more provincial property, be it residential, rural, lifestyle, commercial or industrial, than any other brand across heartland New Zealand and look after the largest provincial Property Management rent roll.
“Our growth has never been about strategy. Rather it has been about a philosophy: “If it feels right and the people who join us share common business values, then we will make it happen.”
SIMON SHORT, Regional Manager, Property Brokers
Our growth has never been about strategy. Rather it has been about a philosophy: “If it feels right and the people who join us share common business values, then we will make it happen.”
The business is in a strong position to continue expanding when and if the opportunity presents itself.
“We are receiving frequent requests from real estate business owners and independent agents who identify with our family-focused, well-resourced business model. “We are an ambitious and uniquely Kiwi business, with more than 900 people from the top of the North Island to the bottom of the South. We connect heartland New Zealanders to one another simply by being in more than 90 locations.
Anticipated Bay of Plenty trends in 2023
Property Brokers now has offices across the Bay of Plenty in Whakatane, Rotorua, Te Puke, Papamoa, Tauranga, Tauriko, and Te Puna.
The company has established seven offices across the Bay of Plenty region in the last three-and-a-half years. Growth in all facets of business is strong.
“We have great people who care about adding as much value as possible for our clients.
“We are all part of the local community –schooling, sports clubs, charities and fundraising organisations – you name it, we’re into it. We do what we can when we can to give back and provide support.
“Our number one objective is giving all Bay of Plenty property owners the best service we have to offer.”
Simon believes there is a real awareness of Property Brokers across the Bay of Plenty now
“We envisage that will continue as more people come to appreciate the strength we offer right across the nation.
“Because we are not franchised, our emphasis is always on connection and adding as much value as possible to benefit those around us.
Reflecting on 2022
“It’s certainly been a year of continued growth for us. We are proud of what the team has achieved in 2022”.
Staff numbers have grown dramatically, and Simon envisages that will continue in 2023.
“More agents are connecting with our business – they are impressed by the level of support and resource we offer our team,” he says.
Each Property Brokers agent, administrator, personal assistant, property manager, tradesperson, manager, or cadet – anyone affiliated with the Property Brokers Group – is adding value to their community daily.
“It’s been hugely rewarding for me, and the team around me, to see that what we are doing really matters.
“We are always looking ahead and asking what more we can do to continue the Property Brokers success story.”
Taking stock of Aotearoa’s small business economy
Small businesses in the Bay of Plenty and across Aotearoa have had a difficult year in 2022, forced to grapple with the impact of economic unrest, inflation and falling consumer confidence.
And while the last few months have seen small business sales continue to grow, the pressure felt by Kiwi households nationwide is likely to continue impacting bottoms lines for the foreseeable future.
Embracing digital tools
There has been a silver lining to these turbulent times. The last few years have seen small businesses embrace digital tools to remain operational and viable during the pandemic and subsequent lockdowns. The use of these tools have continued long after the last lockdown.
As we look towards the future, we want to continue empowering small business owners to digitise to unlock further productivity gains.
After all, we know a 20 percent increase in the uptake of cloud computing could increase New Zealand’s GDP by between $3.5 billion and $6.2 billion through labour savings, productivity improvements and increased wages and standards of living.
We have to find ways to help SMEs overcome barriers by incentivising technology uptake to unlock productivity and pass on benefits like higher wages, increased spending, and more free time.
BRIDGET SNELLING, Country Manager for Xero New Zealand
Ultimately, it’s about working smarter, not harder – using technology to automate and ensuring every hour spent working is doing something only a human can do, especially considering the ongoing labour shortage. It’s not just about meeting the needs of now. Kiwi small businesses need to digitise to thrive
and keep up with a rapidly developing global market with Open Banking and e-invoicing.
Improving cashflow
Alongside continued small business digitisation, 2023 needs to be the year we tackle our
systemic cashflow problems.
Getting paid on time is crucial for small business operations. We know late payments cost the NZ small business economy $456 million per year in additional time and lost opportunities.
And unlike large businesses, Kiwi small businesses often don’t have the capital available to manage the time difference between paying the required expenditure to complete a job, and receiving payment when it’s done.
When a business isn’t paid, it compromises their cash flow. They often can’t afford to pay their own suppliers and company debt, which creates this ripple effect through the supply chain.
The Government recently announced plans to develop legislation forcing large companies to disclose their payment times, something to help encourage prompter invoice repayments.
We are thrilled with this announcement, but it doesn’t come into effect until 2024. Xero implores all big businesses and other organisations to make a commitment to improving their repayment times as soon as possible, we know our small business community needs this right now.
Positive cashflow has a significant impact on small businesses, improving confidence to put them in better positions to plan for the future, focus on staff wellbeing, and take calculated risks to grow their businesses.
Taxing times – what you need to know
As we gear up for the festive season, with well deserved work and social functions on the agenda, you can probably expect tax to feature in the chatter beside the BBQ or the bar.
This year it seems like there has hardly been a week go by without tax being fairly prominent in the media, and with an election coming up next year we should expect this to intensify.
There have been many polarising issues in our community over the last year, and tax, as the way we fund the Government’s priorities, touches in some way on many of these. If we want to train and employ more teachers and nurses, if we want to take action on climate issues, and deal with the cost of living and housing affordability crises as we recover from the economic effects of Covid-19, whether we like it or not tax has a role to play in providing funding or incentivising behaviour.
We are starting to see the tax policies of the various political parties be announced in the lead up to next year’s election. Depending on who ends up holding the power next year we could see measures ranging from the reversal of the 39% tax rate, the full or partial removal of the brightline and interest limitation rules, and indexing of the personal tax thresholds period for residential property sales through an excess profits tax and capital gains tax.
Themes from the past year
There have been some key overriding themes that are apparent in the policy and operational
developments in the past year.
At a micro level, there has been a lot of scrutiny by Inland Revenue on where to draw the line between private and business expenditure. Some of the decisions in this area have some possibly unexpected outcomes and may significantly affect self-employed business owners in particular, as well as employers looking to pay for travel, accommodation and meal costs for employees.
Inland Revenue is becoming increasingly sophisticated in analysing the large volume of data that it collects from third party sources and in using this to ensure we are all paying the taxes we should. While you can’t really argue with this approach from a tax integrity perspective, the collection of the data can impose a significant compliance cost on the third parties. The proposed digital platform reporting rules are an example of this, as are the new trust reporting requirements that we have to comply with this year.
The global recognition of the climate crisis has highlighted the need for all countries to act now to speed up emissions reductions. The New Zealand government has a number of existing or planned measures to help us reach these targets, but could tax settings be used to do more?
The clean car discount programme may not be the best tool to encourage corporates look-
ANDREA
SCATCHARD
Tax Partner, Deloitte
Deloitte played a big part in highlighting the tax issues around the bank of Mum and Dad which led to a more sensible application of the brightline rules.”
ing to speed up the change to non-ICE fleets. The Government has to date shied away from providing meaningful tax incentives to encourage this behaviour – but things like enhanced depreciation deductions, or the removal or reduction of FBT on non-ICE vehicles would go a long way to making real change happen. The Government has shown a willingness to use tax as a lever to make change in other areas so why not here?
What has Deloitte been doing?
We have been very busy behind the scenes, and sometimes front and centre, in reviewing tax changes (from legislative proposals to Inland Revenue operational statements, and anything in between) to make sure that taxpayers are getting the best possible outcome in the circumstances.
While we don’t always agree with the changes, we always go to bat for our clients and the business community to try and ensure changes are made in a fair and reasonable way with the least possible compliance costs.
Sometimes though we can help effect directional change with tax proposals. The recent plan to impose GST on Kiwisaver fund management fees was an example of this – the public outcry following this change being announced and the resulting media frenzy led to a fast reversal of the plan. Deloitte also played a big part in highlighting the tax issues around the bank of Mum and Dad which led to a more sensible application of the brightline rules.
We are always happy to chat about how current or proposed tax rules affect your business so feel free to get in touch.
Trusted Transformation Together
Tax rules are complex and constantly changing. Our team of tax specialists can help you navigate the tax space working side-by-side to connect you to expertise, capabilities, technologies and innovative ideas to help you lead your business through complexity with confidence. www.deloitte.com/nz/tax
Community approach key
Winstone Wallboards, makers of GIB® plasterboard will open their new state-of-the-art manufacturing and distribution centre in Tauriko in mid-2023. Project Lead Stewart Vaughan talks about the project and what it means for the region.
The project team are mere months away from completing Australasia’s largest plasterboard manufacturing and distribution facility right here in Tauranga, a development that’s been several years in the making and on a scale never seen in New Zealand before.
With over 67,000sqm of buildings, which is more than seven rugby fields, spread across 12.8 hectares of land – the new facility will have 50% more capacity than our current Auckland site with room for further expansion.
It’s much more than purely putting up bricks and mortar though, one of the most gratifying parts of leading the project is seeing the benefits the new facility will bring to the region; new job opportunities, partnerships with local organisations as well as supporting career development for so many talented, enthusiastic, and hard-working people we’ve met from the Bay of Plenty.
We’re still recruiting for roles now, from electricians through to team leaders, so we encourage anyone interested in joining Winstone Wallboards to put their name forward, even if they don’t have the qualifications needed. The team are big on supporting people to get where they want to be.
There have been a few challenges along the way; the initial proposed site spanned across two district councils which would have posed a number of consenting complexities. Fortunately, the developer of Tauriko Business Park was able to reconfigure parts of their subdivision including shifting a roundabout, a road closer and relocating the Tauranga gas line to accommodate the entire Winstone Wallboards site within the Tauranga City Council boundary. I must pay tribute to Bryce Donne from Element IMF, Nigel Tutt from Priority One, the
the community and have a positive impact, not just in terms of recruitment but wider support as well.
A big focus of the project has been setting up our manufacturing and distribution to have the capacity to support us for many years to come, as well as having sustainability integrated throughout the buildings. One example is the installation of a waste recycling facility that enables GIB® plasterboard to include recycled gypsum.
One part of the project I’m particularly proud of has been developing community partnerships and relationships, working alongside councils, Iwi and hapū we’ve really been able to see the impact this project will have on the region.
Early on, we began engagement with mana whenua which has been a really rewarding experience and at our first meeting we stood together with mana whenua representatives on a hill right in the middle of where the site is now and expressed our genuine desire to come into
Since then, the team has worked hand-inhand with hapū. A dawn blessing with representatives from Ngai Tamarawaho and Ngati Hangarau took place early in the development and nearby Taumata School is Kaitiaki (guardian) of the soil.
We’re continuing to find more opportunities to work with the community, to maximise employment opportunities for local iwi.
We’ve built relationships around trust and followed through with the things we said we’d do, taking community feedback seriously, respecting the environment and working hard to minimise our environmental footprint. All the passionate people we’ve worked with have come to understand that we’re more than just a manufacturing and distribution business – we’re looking forward to having a positive impact in this community.
Tauranga City Council and the Bay of Plenty Regional Council who have all been instrumental in supporting us with our project.
STEWART VAUGHAN Project Lead
WinstoneWallboards facility atTauriko Business Estate.
Celebrate the festive season at Baypark!
The festive season is here and the calendar is jam-packed with events. From Battle of the Trades charity fight night to explosive speedway action, there is something for everyone. A mouth-watering line-up of festivals featuring international and local acts will be followed by contentious UK comedian Jimmy Carr performing his brand-new material. A big thank you from all the teams at Baypark for the great community support to the variety of events we have on offer. We wish you a happy and safe festive season!
Battle of the Trades IV 10 December 2022
Bay Box fit brings you the Bay’s biggest charity boxing fight night, showcasing professional and corporate bouts. Base Up Battle of the Trades is a popular boxing event in which tradespeople compete against each other in three “two-minute” rounds.
It’s an action-packed entertaining night out. Secure your spot today, and dress to impress on December 10th, as this is a black-tie event! https:// embed.ticketbooth.co.nz/event/battle-of-the-trades-ii2odkohsqdv7cu5moCC6IZ
North Island Sprintcar Championships 10 December 2022
Come on down to Baypark Speedway for the CB Caravan’s and RV Centre North Island Sprint car Championship at Mount Maunganui’s fiercest battleground.
Featuring the North Island Sprint car Championship, Super-Saloons, Superstocks, and Youth Ministocks. Gates open at 4:30pm, The Fan Zone is open from 4:30pm to 5:15pm and the green flag drops at 6pm. https:// bayparkspeedway.flicket.co.nz/ Bay International Superstars 40 28 December 2022
The best midget car drivers in the world will race against the best in New Zealand at Baypark Speedway before the New Year.
The international midget series has proven to be the most popular meeting in Auckland for many years, and for one night only fans from the Bay of Plenty will now get front-row seats to the biggest show on clay.
The night will end in a 40 Lap feature race where only one can stand above the rest, as the best in the world.
Famous Last Words New Year’s Eve Festival 31 December 2022
Famous Last Words takes over Mount Maunganui this NYE! Finally, a boutique, quality festival will call this NZ hotspot home. No more waiting hours to get into the bars down main street. Just as the countdown begins, you realise you haven’t made your New Year’s resolutions yet. You go with the obvious… a gym membership! Soon after you find yourself at Plane Sailing front row, zero bulking, but no sulking. You’ve made the right choice. Those were just Famous Last Words. https://trademark.flicket. co.nz/events/1e04fcce-d14b-43399f97-8a30cdb8f45c
Bay Dreams Festival 3 January 2023
Festival favourite ‘Bay Dreams’ is back with a fresh look and a new purpose. A monster-sized line-up of international and local superstars has been announced for Bay Dreams 2023, happening at Trustpower Baypark on 3rd January. Returning to summer hotspot Mount Maunganui, Bay Dreams 2023 features a diverse line-up of long awaited international and local talent.
Headlined by ten-time Grammy nominated production powerhouse Diplo, alongside such global heavyweights as US rap giants Denzel Curry (touring new album Melt My Eyez See Your Future), Yung Lean and Freddie Gibbs, British drum & bass figureheads Hybrid Minds bringing their Outline show down under with singer Charlotte Haining, Australian drill crew OneFour, English electronic pop songwriter SG Lewis, UK dubstep producer Flux Pavilion and a whole lot more. Set to be one of the highlight festivals of the summer, Bay Dreams is a must-do for all music lovers. www.baydreams.co.nz
UB 40 Jefferson Starship & Dragon 4 January 2023
Held at the height of summer, UB40 with special guests Jef ferson Starship and Dragon promises to put on a show like no other. With back-to-back hits; the perfect concert settings and summer in full swing; this is an event not to be missed. Achieving over 40 top 40 hits in their native Britain, and international sales over 100 million records, UB40 are one of the biggest UK music acts of all time. Today Jefferson Starship remains dedicated to breathing new life into the living catalogue of the Jeffersonian legacy. Meanwhile, representing homegrown talent is the one and only Dragon who remain one of New Zealand’s most popular live acts. www.trademark. flicket.co.nz/events/
Juicy Fest
always proved to be a fan favourite and this season Baypark Speedway brings you all the smash and crash right in the heart of summer! This will be very popular with kids and families enjoying the school holidays so it would be best to get your tickets and seats early.
NZ Saloon Car Championship & F2 Bay of Twenty Title 13 & 14 January 2023
his humour that verges on the side of awkward and inappropriate. Jimmy will be telling jokes to an adult paying audience who’ve got a good idea what’s in store. And there’s no point to the show, save for to make the audience laugh.
Having political correctness at a comedy show is like having health and safety at a rodeo. Now you’ve been warned, enjoy the laughs. Jimmy Carr has been a comedian for over a decade and a half. He’s performed 10 sell-out tours, playing over 2,500 shows to more than 2.5 million people. He’s won the British Comedy Award for Best Live Stand-Up Tour and been nominated for the Perrier Award.
6 January 2023
Don’t miss out on NZ’s biggest R&B Hip Hop Festival Juicy Fest 2023! This line-up includes some of the biggest R&B and hip-hop stars from the 1990s and 2000s, including headliners Nelly, Ne-Yo and Ja Rule. Other acts include Mya, Chingy, Lloyd, Bow Wow, Xzibit, Pretty Ricky and Twista. Juicy Festival, or Juicy Fest as it’s colloquially named, is a R18 one-day festival scheduled for eight shows across Australia and New Zealand this summer. For more info and tickets head to www.juicyfest.co or follow us on Instagram.
Scrapman Demo Der-Bay
7 January 2023
The Demolition Derby meeting has
To be the best, you need to beat the best, the ultimate race to win is any Speedway New Zealand Championship. For two nights back-to-back Baypark Speedway will host the running of the SNZ Saloon Car Championship with drivers entering from all over NZ to win the ultimate prize and take home the winner’s part of the 10,000-prize pool.
The F2 Midgets will also run along the championship with the first running of the Bay of Twenty title for their class. This promises to be another huge week of Speedway action not to be missed by any motorsport fan in the Bay of Plenty.
Jimmy Carr: Terribly Funny – NZ Tour 26 January 2023
Contentious comedian Jimmy Carr is returning to New Zealand with brand new material for 2023 with his Terribly Funny tour. The British comedian is known for
His most recent stand-up comedy special was the most streamed on Netflix in the UK in 2021. The Terribly Funny tour kicked off in May 2019 and will visit every corner of the UK and Ireland before heading off to Australia and New Zealand. www. premier.ticketek.co.nz/shows/
Stadium Corporate Boxes
Enjoy Stadium events in comfort from our corporate Boxes. There are still several excellent boxes available for either an annual lease or casual bookings during the summer season. Quality hospitality is served to your box with an exclusive balcony and relaxed environment to entertain your guests. For more information events@bayvenues.co.nz
Tauranga’s Premier Venue
Trustpower Baypark is Tauranga’s Premier Venue for conferences, meetings, entertainment, and exhibitions. Offering a complete package in one convenient location that features state of the art meeting rooms, in-house catering, audio visual services, marketing/promotional services.
The goal of understanding the deep history of carbon cycling on Earth and how – and if – we can make that work for us in the fight against climate change has secured University of Waikato researcher Dr Terry Isson a prestigious Rutherford Discovery Fellowship.
Terry’s research to date looks to piece together a picture of climate regulation on Earth over its multi-billion-year history, by investigating intricate processes within the global carbon cycle. This involves examination of changes to Earth’s climate state across both broad time scales and also during more specific climatic and mass extinction events.
The Rutherford Fellowship means this research on the role that silicate minerals play in regulating the natural carbon cycle, can grow.
Foremost, Terry aims to reconstruct the multi-billion years of history of what natural carbon capture and release looks like.
“The fellowship will allow me to investigate further how the Earth’s coupled carbon-silicon cycle works – how effective it is, how it responds to climate change and what role biology plays in returning carbon back to the atmosphere,”
One other aspect of Terry’s research looks at how silicate minerals can help absorb carbon directly from the atmosphere. A partnership with Tauranga iwi Ngāti Pūkenga has been looking at how dunite can be used on farmland to capture carbon and reduce emissions.
“I’ll be able to look at harnessing other natural processes for large scale carbon capture as well as scale up my research into rock weathering,” Terry says.
Terry’s two-pronged approach will understand and unpack the potential of silicate minerals to help tip Earth’s climate back into balance. The weathering of silicate minerals, like olivine,
draws carbon dioxide out of the atmosphere while silicate mineral formation re-releases that carbon back into the air.
“It is time for us to radically reimagine the way we live life on this planet,” Terry says.
“By coupling field studies with new geochemical models and machine learning techniques, we can better understand how silicate
minerals naturally regulate our climate, and then see what we can do to enhance that process to tackle climate change.
“This project will test the idea that we might be able to harness the power of silicate minerals to curb the escalating planetary fever and potentially take us one step closer to achieving carbon neutrality.”
Print company Kale Print purchases Whitianga-based Endeavour Print
Bay of Plenty print company Kale Print has purchased Whitianga-based Endeavour Print.
Kevin Coughey, former owner of Endeavour Print, says, “Endeavour Print and Kale Print are iconic family businesses. Merging the technologies and talent of both teams will result in more products and services for our clients.
Kale Print has an outstanding reputation in the print industry, the highest level of professionalism and of course a passion for print. Endeavour Print has been a leading print provider for clients both local and across the region for more than 13 years, providing high quality digital printing.
“It has been an absolute privilege to be part
of and contribute to the vibrant Coromandel community over the years. Now it is the right time for a change for me personally, and I am very excited to see what the future holds. “Kale Print’s values align directly with Endeavour Print. Coupled with our long-standing working relationship, made Kale Print the perfect fit to best support our customers into the future.”
The company’s point out that it will be business as usual for Endeavour Print customers. Peter Lloyd, general manager of Kale Print, says, “We are thrilled to be able to continue serving Endeavour’s customers locally and through the region.”
This deal follows Kale Print’s acquisition of Advocate Print last November.
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:
A business partner that understands your views and goals
Contact the Bayleys Tauranga Commercial Property Management team today.
University ofWaikato researcher DrTerry Isson doing field work on a recent trip to Svalbard.
DrTerry Isson
Robotic match made in heaven
The pairing of two cutting edge robotic technologies is set to slash labour requirements in post-harvest facilities across the globe, and the happy couple debuted in Bolzano, Italy on 17 November. Global Pac Technologies displayed a working demonstration of the Aporo™ II robotic apple packer and just released Carton Optimization Robot (COR) at the world leading apple trade event, Interpoma.
The Aporo™ produce packer, designed and manufactured in New Zealand by Robotics Plus, was launched back in 2018 with the mission of reducing the labour required to place fruit into trays.
This then focused the customers attention on their next challenge – getting the full trays into cartons. US head-quartered Van Doren Sales Inc took up the challenge and after several iterations, the COR was heavily tested in both hemispheres, and is now ready to launch.
While Aporo™ and COR are modular pieces of equipment, both have been designed to integrate up and downstream in the packhouse. Inte-
grated together, they remove the need for labour to place fruit in trays and get trays into cartons.
“This means that pack house operators can redeploy their labour to value adding activities, rather than the repetitive or mundane ones,” says Cameron McInness, director of Global Pac Technologies who distribute both robots globally. Coupled together, the two technologies can pack a minimum of one carton per minute per belt, or two cartons per double belt, without any manual labour.
“Our business is customer led. We listen to their pain points, and we look for solutions,” adds Cameron. “Depending on the nature of the produce and the packhouse configuration, the combination of these two technologies can see a reduction of up to six employees per double belt which is a huge win for the customer.”
The post-harvest industry has been grappling with labour challenges globally. Whether it be rising costs or access to labour, the potential negative outcome is the same – a risk that a crop cannot be packed and shipped.
New Tauranga scholarships look to the future
A new scholarship for first year engineering and environmental science students in Tauranga aims to create new connections between students and industry in the Bay.
The Tauranga Moana Futures scholarships are funded by Tauranga City Council and focus on areas of study that employers are hungry for and will have a real, practical impact on the city.
“The University of Waikato’s Work Integrated Learning is key to the effectiveness and practical application of study,” says Senior Deputy Vice-Chancellor Professor Alister Jones.
“We offer a unique connection to local stakeholders and our engagement with industry means we’re teaching and turning out students who are ready and able to hit the ground running the minute they graduate.”
The two scholarships both come with guaranteed paid summer internships or summer research scholarships within the chosen area of study.
Tauranga City Council Commissioner Stephen Selwood says the council’s investment in the future of the region’s workforce is a “no-brainer”.
“This city and region will undergo significant change over the next decade. We are crying out for engineers and environmental scientists – and people who know the landscape, are familiar with the structures of our industry and can contribute right from their first year of study are going to be invaluable,” he says.
“Tauranga is fast becoming a tertiary destination, and we’re excited about the life and
energy that students bring to the city. We’re pleased to be backing the future of Tauranga Moana with these scholarships and look forward to more similar local government and industry partnerships in the future.”
Professor Jones says the new scholarships are part of a larger aim to position the Bay of Plenty as a hub for the skills and capabilities industry will be looking for in the future.
“Studying at Waikato University is like nowhere else – our ability to collaborate and bring disciplines together is unique. We’re proud to be bringing that to the Bay next year and look forward to growing and developing our offerings to students, industry and council in the future.”
Tauranga Moana Futures Scholarships
VALUE: Up to $40,000 over the course of a student’s undergraduate degree STUDY LEVEL: Entrance/School Leaver, Undergraduate SUBJECT AREA: Engineering, Science CLOSING DATE: 10 December 2022
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TheAporo™ II and COR on display at Interpoma.
Scientists explore biogas potential of partly digested grass from cows
Converting partly digested grass from the stomachs of slaughtered cattle into biogas that could be used to sustainably heat commercial greenhouses is the focus of a new 14-month study at Scion.
It’s hoped the partly digested grass can one day be blended with food waste to develop a powerful new recipe to enhance bioenergy production for industry – making it less reliant on fossil fuels, saving money and benefiting the environment.
Senior scientist and project leader Dr Suren Wijeyekoon says it is well known that cows produce a lot of methane gas when they belch after grass is digested by enzymes in their stomachs.
Taking the same grass, known as ‘paunch grass’, from slaughtered animal stomachs and using it to produce methane-rich biogas is a research opportunity worth exploring for future bioenergy production replacing natural gas, he adds.
“Each cow has about 10-15kg of partly digested grass in their first stomach when they arrive in an abattoir; that grass normally is disposed of by meat processing companies, which comes at a cost. Our research is looking at the potential to use that waste product to produce biogas at scale, taking it from a small batch to a large pilot study. If successful, it’s research that can be commercially adopted by Ecogas.”
The research involving Ecogas, AgResearch and the Bioresource Processing Alliance (BPA) builds on 2017- 2018 Scion, Plant and Food Research and BPA research that piloted and de-risked the technology being used in New Zealand’s first large-scale food waste-to-bioenergy facility at Reporoa. Scion provided bioenergy expertise to the facility’s early planning and development.
Once up and running by January 2023, the $30 million stateof-the-art facility will turn 75,000
tonnes of organic waste from businesses and kerbside food scrap collections throughout the North Island into sustainable and renewable clean energy. Owned and operated by Ecogas, the new anaerobic digestion plant sits on 2 hectares of farmland.
After commissioning, food waste will be converted into biogas, which can be used to heat nearby greenhouses, with carbon dioxide pumped in to enhance plant growth. Biofertiliser produced at the site can also be applied onto more than 1500 hectares of productive farmland, replacing imported and manufactured synthetic fertilisers.
Dr Wijeyekoon says the paunch grass biogas study started in July and will be carried out at three different scales. It will evaluate how much gas can be produced from paunch, and how scientists can enhance that production through various grass ‘pre-treatment’ methods. Successful methods will be scaled up from batch to contin-
uous pilot scale.
Silver Fern Farms provides the fresh paunch grass for the study. Scion scientists are then deploying Scion’s new ‘biomethane potential test kit’ to assess the biogas production, which is made up of about 60 percent methane, and 40 percent carbon dioxide.
Testing will be complete in October 2023. If successful, it’s hoped the project will be commercially adopted.
Dr Wijeyekoon says a longterm goal is to blend the paunch grass with food waste to maximise biogas generation.
“Grass is made up of mostly cellulose and is metabolised slowly. Food waste is fast digesting; together you will improve the digestion of grass.”
“Ideally, you need the right cocktail to get the bugs working optimally – that’s the end game.”
The $385,000 study has been jointly funded by Ecogas and the Bioresource Processing Alliance which works with New
Zealand’s primary sector and science partners, including Scion, to get better value out of biological by-products.
AgResearch is also involved in the study by exploring the potential of ‘paunch liquor’ to be used as a pet food ingredient. The liquor is considered a valuable source of proteins, minerals and vitamins for cats and dogs.
In another part of the project, Scion scientists will also test the digestate, the material left over after the paunch grass is digested in the bioreactors, for its potential as a biofertiliser. The team and Ecogas will partner with a company to carry out field trials to assess pasture growth after digestate is applied.
Dr Wijeyekoon says the study is a great example of Scion’s research exploring the benefits of a circular bioeconomy.
“There are waste management costs for the disposal of paunch grass currently. Using that one feedstock or waste stream, we can
explore a number of new opportunities: bioenergy production, bioCO2 for photosynthesis in greenhouses, digestate for biofertiliser and pet food ingredient production.”
The benefits to the environment and industry are wide ranging. As well as reducing costs and climate change emissions from meat processing companies by diverting waste from landfill or composting, the biogas produced could also satisfy the heat demands of abattoirs in the future, he adds.
Ecogas General Manager Alzbeta Bouskova says the company is excited to partner with Scion in the study and explore the potential of paunch grass as a new clean energy feedstock and, in the process, assist the meat industry with transition to sustainable and circular principles.
“Ecogas is pleased with the opportunity to continue to build commercially desired technical knowledge,” Bouskova says.
Tauranga Art Gallery was delighted to announce the opening of Tōku ora, tōku ara, an exhibition by renowned Te Whanganui-a-Tara based artist Shannon Te Ao (Ngāti Tūwharetoa) in October. Spanning moving image, photography and performance, Te Ao creates work that responds to Māori paradigms, testing the implications of alternative creative, social and linguistic models in relation to the moving image and other performative practices.
Te Ao is creating a major new photographic commission for Tauranga Art Gallery’s atrium which departs from his predominantly black and white palette, translating these concerns into monumental full colour. Spread across two spaces, the exhibition also includes Te Ao’s notable 2020 moving image work Ka Mua, Ka Muri, which was originally co-commissioned by Remai Modern and Oakville Galleries, Canada.
The title of the work is derived
from a whakatauki (proverb) often cited as a guiding principle within Māori ideology. Meaning “to walk backwards into the future,” it suggests that time exists on a continuum where past, present and future co-exist and are tied together through ancestry and action.
Tauranga Art Gallery Director Stephen Cleland says: “Te Ao’s practice occupies a fascinating intersection of moving image, photography, language, and sound. His new exhibition, devised especially for Tauranga Art Gallery, ups the ante for his investment in photography, through the production of large-scale prints which more than before approximate the scale and ambition of his renowned video installations. We’re thrilled to be enabling the artist to achieve a new scale in his practice for Tauranga audiences.”
Shannon Te Ao is an artist, writer and curator whose current research
interests include performance and video art practices. His work has been presented at several important exhibitions globally, including The 10th Asia Pacific Triennial of Contemporary Art
Two-channel
Duration 5m 30s
Cinematography: Adam Luxton
Installation view: Oakville
(APT10), QAGOMA, Brisbane (2021-22); The 13th
Gwangju Biennale – Minds Rising Spirits Turning (2021); With the sun aglow, I have my pensive moods, The Edinburgh Art Festival (2017); The 11th Gwangju Biennale: The Eighth Climate (What Does Art Do?) (2016); and The 19th Biennale of Sydney:
You Imagine What You Desire, curated by Juliana Engberg (2014). He was the 2016 winner of Aotearoa’s prestigious Walters Prize, and is currently Senior Lecturer, Whiti o Rehua School of Art at Massey University, Pōneke Wellington.
Shannon Te Ao Ka mua, ka muri, 2020
video with sound
Galleries, Toronto
Photo:Laura Findlay. Image courtesy of Oakville Galleries.
Scion scientist Dr SurenWijeyekoon.
AT SPRING PAPAMOA
Fosters are proud to be delivering Spring Papamoa, a new commercial complex featuring 10 new high-end commercial units at 27 Toorea Street, in mid-2023.
Spring Papamoa is located within Papamoa Junction, Papamoa’s newest and most signicant commercial development currently underway. The plan for the wider Papamoa Junction is a multitude of uses including retail, ofce, hospitality, medical, trade supply and residential.
Focused on health and wellness, Spring Papamoa already has four medical businesses signed up, including an eye clinic, skin doctor and a dental practice.
Fosters Development Manager Andrew Vincent says “We’re looking to ll the remaining units with similarly high-calibre tenants. For businesses looking to relocate, Spring Papamoa also offers great brand exposure on a busy main road.”
