Opi app dec jan 275 b

BIG INTERVIEW

Connecting the

business products world

Prentis Wilson, Amazon Business December 2017/January 2018

INSIDE THIS ISSUE EOPA shortlist revealed l All change at Office Depot l OfficeMax merger gets green light in Oz l AI and robotics in the workplace l The importance of ergonomics l Paperworld preview

Special Issue HEALTH & WELL-BEING Special Issue

CONTENTS 16 Big Interview Amazon Business in the spotlight 20 Hot Topic AI and robotics: what do they mean for office life?

34 Research A look at the 2017/18 State of the OP Industry report 37 Vendor Profile Pilot Corporation celebrates 100 years in business 40 Preview: Paperworld Creating new impulses to stay relevant 42 Review: Big Buyer The Italian show still pulls in the crowds 44 Review: Climb of Life New fundraising record for the Climb of Life 2017

Big Interview: Prentis Wilson, Amazon Business

Ever since Amazon Business first appeared on the horizon, it’s been the talk of the town and the OP industry is no exception. Now with a presence inSpecial five Issue diverse countries HEALTH & around the world, customers of allWELL-BEING manner of business supplies are waking up to the call of Amazon Business HOT TOPIC: TERMINATED

24 Category Overview Well-being in the workplace is a hot topic right now. But what are the opportunities for OP players?

Special Issue HEALTH & WELL-BEING

28 Feature Ergonomics and office furniture design: part of a healthy workplace

Special Issue

32 Research The benefits of happy staff

VENDOR SPECIAL

REGULARS 5 Comment 6 News

Special Issue

VENDOR SPECIAL

46 Generation Game Henry Wisbey-Broom

Special Issue

VENDOR SPECIAL

December 2017/January 2018

Increasingly, AI is seeping into our everyday lives, much of it integrated behind the scenes to the point where the majority of people don’t even realise it is enabling their interactions through applications such as Apple’s Siri, Microsoft’s Cortana, Amazon’s Echo and Google Assistant.

Even the office products industry is jumping on the bandwagon.

Australian office supplies reseller Officeworks recently announced that it has integrated Google Assistant, giving customers the option to shop and engage with the brand through voice activation.

Special Issue HEALTH & WELL-BEING

48 5 minutes with...

Tricia Burke 50 Final Word Bryan Croft

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COMMENT The OPI team EDITORIAL Editor Heike Dieckmann +44 (0)20 7841 2950 heike.dieckmann@opi.net Deputy Editor Michelle Sturman +44 (0)20 7841 2942 michelle.sturman@opi.net Reporter Joshua Allsopp +44 (0)20 7841 2952 joshua.allsopp@opi.net OPI Special Correspondent Andy Braithwaite +33 4 32 62 71 07 andy.braithwaite@opi.net Freelance Contributor David Holes david.holes@opi.net

SALES & MARKETING VP – Continental Europe, Middle East and Africa Ewan Dickson +44 (0)20 7841 2954 ewan.dickson@opi.net VP – North America and UK Chris Turness +44 (0)20 7841 2953 chris.turness@opi.net Director of Growth Services Jeremy Hughes +44 (0)7807 810617 jeremy.hughes@opi.net Digital Marketing Manager Aurora Enghis +44 (0)20 7841 2959 aurora.enghis@opi.net

EVENTS Events Manager Lisa Haywood +44 (0)20 7841 2941 events@opi.net

PRODUCTION & FINANCE Studio Joel Mitchell +44 (0)20 7841 2943 joel.mitchell@opi.net Operations & Production Eda Sismanoglu +44 (0)20 7841 2950 eda@opi.net Finance Kelly Hilleard +44 (0)20 7841 2956 kelly.hilleard@opi.net

PUBLISHERS

here are two big themes in this final OPI edition of the year: Amazon Business – or simply Amazon – and the growing importance of health and well-being in the workplace.

Let’s start with Amazon Business. I’m delighted that we’ve been able to secure a rare interview with the company’s VP Prentis Wilson for this issue (see page 16). If I didn’t know already, it’s been made abundantly clear to me that customer service and convenience is what Amazon Business is all about – it’s quite simply at the heart of the company.

That said, customer service can be interpreted in many different ways.

If you are after desktop delivery and a handshake, a bespoke experience and being able to speak to someone in person to resolve any issues, this is not Amazon Business (or indeed Amazon).

Everybody by now knows about the dangers of a sedentary lifestyle – in and out of the office Unfortunately, in this increasingly PR-dominated and vetted world, more probing questions as to the extent to which Amazon Business is geared up – now or in the longer term – to provide help and advice to customers or about the fear of marketplace sellers of having their data used by the online giant, were roundly dismissed.

Many of the marketplace sellers are, of course, independent dealers, and while Wilson refers to the opportunities that this generates, it also brings plenty of challenges. And for those not selling via Amazon, they could soon be missing out on billions of dollars, as our news analysis about the ‘Amazon Bill’ shows (page 6). The US independent dealer community has certainly leapt into action over HR2511.

Back to theme two: health and well-being in the office. Everybody by now knows about the dangers of a sedentary lifestyle – in and out of the office. But with the exception of furniture and ergonomics where considerable progress has been made already (see page 28), I’d argue that the opportunities for resellers are only just emerging. There’s plenty to explore in this issue.

So here are my New Year’s resolutions: eat fewer biscuits and more fruit, try our sit-stand desk in the office, and use my fitness tracker during proper lunch breaks walking the streets of London.

Have a wonderful festive holiday season (with lots of ‘naughty’ food and drink – there’s a HEIKE DIECKMANN, EDITOR time for exceptions). Until 2018!

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December 2017/January 2018

CEO Steve Hilleard +44 (0)20 7841 2940 steve.hilleard@opi.net Director Janet Bell +44 (0)20 7841 2941 janet.bell@opi.net Executive Assistant Debbie Garrand +44 (7718) 660249 debbie.garrand@opi.net

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Here’s to a happy & healthy 2018

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NEWS

Analysis:

All hands to the pump

‘Amazon Bill’ threatens to revolutionise federal procurement in the US

You would be forgiven for wondering what the connection is between the approval of the 2018 National Defense Authorization Act (NDAA) – the $700 billion budget for the US Department of Defense’s (DoD) spending on things such as aircraft carriers and jet fighters – and the provision of office supplies to the US federal government.

The answer lies in a bill – the Defense Acquisition Streamlining and Transparency Act (HR2511) – that aims to change how the DoD and other federal agencies purchase commercial off-the-shelf (COTS) products. These COTS range from basic office supplies to forklift trucks and the bill was included in the 2018 NDAA. DoD spending of these items is not to be sniffed at, being worth more than $50 billion (yes, billion!) per year.

HR2511 was introduced back in May by Republican Congressman Mac Thornberry who is the Chairman of the House Armed Services Committee.

The idea is for the DoD to be able to purchase products online using commercially-available marketplaces. This is something that, according to Thornberry, would simplify federal procurement and lower the prices the government pays for goods.

This new proposal is not only untested, but includes zero input from stakeholders When interviewed by journalists after announcing the bill, Thornberry said: “If you’re buying office supplies, you ought to be able to go on Amazon and do it.” HR2511 soon became known as the ‘Amazon Bill’ and it was even reported that the e-commerce giant had worked with Thornberry’s staff in drafting the wording of the bill.

action to its members to lobby their local Congress representatives and express their concerns over the proposals. The response from dealers to these calls to action was better than usual, which is proof of the potential impact that dealers fear.

“The House version of this bill includes language [... that] turns over the DoD procurement ordering platform to Amazon,” said NOPA in a letter. “That may sound great, but the reality is the government market is not the private sector, and this new proposal is not only untested, but includes zero input from stakeholders.

“Any business will tell you that before you implement a programme this big, you understand it and what it will do; you seek out input. None of this was done in this case. Instead, Congress simply sticks a major programme change like this into a massive DoD spending bill and hopes that it either goes unnoticed or you get the votes because of the impact this legislation has on other national security issues.”

Small business groups such as NOPA and the Coalition for Government Procurement were able to engage with policy makers during an October meeting with the Senate Armed Services Committee.

The result was a Senate amendment to HR2511, and this version is now expected to pass into law. Key points include: l

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NOPA ISSUES CALLS TO ACTION None of this went unnoticed by the independent dealer community (IDC). Trade association NOPA called the DoD online marketplace a “multibillion dollar handout to Amazon” and issued two calls to

The solution will include more than one commercial online marketplace.

There will be a “phased approach” to allow the General Services Administration (GSA) to uncover “all of the potential implications”, including compliance with existing law and regulations.

The GSA will be encouraged not to make changes to the existing features, terms and conditions, and business models of available e-commerce portals, and to demonstrate the government’s willingness to adapt the way it does business.

The GSA is expected to place particular emphasis on preventing suspended and debarred contractors from participation, and ensure the appropriate participation of small and disadvantaged businesses as required under current law and regulation.

THE VIEW OF THE GOVERNMENT In November, an NDAA conference summarised the reasons for the DoD to use online marketplaces for purchasing. “Today, the Department has two options for purchases: through the DoD contracting process or from the General Services Administration at prices set by that agency.

“The bottom line is that the [DoD] is rarely able to buy off-the-shelf items quickly and at a reasonable price. The solution is obvious to most consumers – allow the government to use online commercial sites like Amazon, Grainger, Staples or Walmart just as businesses do.

“These portals function like mini-marketplaces, ensuring that the buyer gets the best price without a lot of red tape.

Using these portals has the added benefit of allowing the DoD to track and analyse procurement data.

“Any business will tell you that this ‘spend analysis’ is critical to efficient operations. For the government, that kind of transparency and accountability would be revolutionary.”

Integra launches workwear web store UK dealer group Integra Business Solutions has launched its own dedicated workwear web store, featuring over 30,000 SKUs with plans to extend the range further through selected partners.

Members can also access a full suite of marketing collateral which incorporates email campaigns, social media and website banners to target specific industry sectors.

Xerox buys Carolinas dealer Xerox is continuing the expansion of its sales channel after snapping up a multi-brand office technology dealer.

Global Imaging Systems (GIS) – a subsidiary of Xerox – has acquired G-Five, an office equipment and print services reseller operating in North and South Carolina, USA. Ingram Micro expands tech offering Technology wholesaler Ingram Micro has bought out US-based specialist distributor The Phoenix Group, thereby expanding its point-of-sale offering and opening up new channels in the North American electronic payments market.

Financial details of the transaction were not disclosed.

Changes at the top for Trodat UK Ian Bradbeer, Managing Director of stamp vendor Trodat UK – who has headed the company since 2001 – has left to join UK-based promotional products supplier Badgemaster.

Avery UK Sales Director Stuart Login has been appointed as his replacement and is expected to assume the role at the beginning of 2018.

Toshiba America buys MPS dealer EOS vendor Toshiba America Business Solutions (TABS) has bought California-based MPS company Electro Imaging Systems which does not currently sell Toshiba products. It is the first dealer acquisition by TABS in almost ten years.

December 2017/January 2018

US DEALER GROUPS’ CONCERNS At the two main US dealer groups, Charles Forman of Independent Stationers (IS) and TriMega’s Grady Taylor issued a joint response to OPI under the Epic Business Essentials flag. “The stated goal of GSA [...] is to support small business,” they said. “These online marketplaces represent among the largest retailers in the world – Amazon.

Secondly, Amazon does not hold prices: how can traditional contract holders under GSA schedules be forced to hold to a different standard? There are also potential implications pertaining to the block and substitute requirement of traditional schedule holders to use the AbilityOne product versus the commercial equivalent, as well as product that is Trade Agreement-compliant. Thinking outside of just office products, do we really want our soldiers wearing gear or using equipment made in countries that are not compliant?”

Forman and Taylor also voiced concerns about the financial and legal implications of shifting government procurement to commercial online marketplaces.

“Online marketplaces are an amalgamation of resellers or third parties, with transactions processed by the marketplace coordinator. At this time, Amazon is taking double-digit points from the third parties for the privilege of participating. We believe this layer between the federal government and the resellers is not the most competitive venue for what is the largest office supply customer in the world – the US federal government. Also, if it were to come to pass, there are many concerns pertaining to ensuring these marketplaces stay in compliance with the many rules and regulations that traditional schedule holders have adhered to for years.”

It’s an issue that new NOPA CEO Mike Tucker will be focusing on in the coming months. Tucker told OPI that his appointment wasn’t directly related to the NDAA, but it appears to be a timely move by NOPA given his many years of experience in dealing with the government procurement channel at dealer George W Allen and during his time as a former NOPA Chairman.

Tucker confirmed that he will be looking to galvanise the IDC during the phase-in period and work with other industries that would also be affected by the procurement changes in order to give the IDC as much clout as possible in Washington. That will still be a challenge given the influence that Amazon appears to be able to exert – Amazon has former GSA Chief Acquisition Officer Anne Rung heading its government business, remember.

While it seems unlikely that this move to online marketplaces will be derailed, the goal for NOPA will surely be to ensure that small businesses are still able to compete in the federal government space on a level playing field.

The Stationers’ Company opens new archive centre The Stationers’ Company has officially opened its new archive facility. The new complex includes a climate-controlled storage room and dedicated reading space. It has been named the Tokefield Centre in honour of 17th century clerk George Tokefield, who is credited with saving the archives from the Great Fire of London in 1666 by carting them away in a wheelbarrow.

NEWS

IN BRIEF

While recognising that the amendments are an improvement on the original draft, NOPA’s Director of Public Affairs Paul Miller told OPI that including these procurement changes in the NDAA was “disappointing” and that the bill still favoured Amazon.

Other representatives of the IDC in the US have also voiced their concerns over the NDAA. “This move could absolutely have a major impact to AOPD members and any IDC dealers that do business with the federal government,” AOPD Executive Director Mark Leazer said. “Some will argue for the ‘privatisation’ of those federal marketplaces, but to put control of that in the hands of Amazon would be a devastating blow to small businesses.”

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NEWS

Analysis:

The changing face of Office Depot Office Depot CEO Gerry Smith took advantage of its November Q3 conference call to provide further details of the reseller’s shift to a more services-oriented company There’s been plenty of talk of the need for change in the office products industry. Office Depot’s recent CompuCom acquisition (see OPI November 2017, page 7) and Smith’s plans to combine the IT services company’s offering with Office Depot’s products, store base and distribution infrastructure, certainly mark a turning point in the company’s strategic direction.

Underlining this need to try something new, Depot’s Q3 results were a familiar tale of decreasing sales – both in delivery and retail – while profits also came under pressure from lower gross margins, supplier and distribution-related consolidation issues and stiff competition. While some of these profitability issues are shorter term, the negative sales trends are expected to continue, although the rate of decline in delivery should improve as Depot’s contract pipeline and win/loss ratio returns to a degree of normality.

Here are the most fundamental takeaways from the earnings call:

www.opi.net

CompuCom combination Depot will immediately begin to incorporate service aspects from CompuCom into the Office Depot offering now that the transaction has closed. The first of these are the BizBox small business platform and

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the Tech-Zone IT services area which will be combined to form a new services area located near the entrance of Office Depot stores. Almost 30 of these zones are expected to be up and running in test markets in Texas and Florida by the end of the year, with Smith promising an “aggressive” roll-out in 2018.

The customer overlap between CompuCom and Office Depot’s Business Solutions Division contract unit was revealed to be just 25%, so there are clearly opportunities to be had from cross-selling products and services. How that will pan out in terms of sales team structure remains to be seen, but it appears that Depot is not planning a full integration of CompuCom in order to minimise the chances of disruption.

Staff training and fostering a new team spirit/identity – both in stores and with the field-sales teams – will be crucial. For example, Smith referred to “excess capacity” within the network of technicians; whether this means using current store associates to staff the Tech-Zone and BizBox areas, or that CompuCom employees will be seconded to retail outlets is not clear – either way, there will need to be a rigorous training programme.

A component of the services sales model will be through third-party, value-added reseller partners, which is something new for Depot. Smith said that Janet Schijns, who recently joined the company from Verizon, will be leading these efforts.

Keeping the core Smith was at pains to underline that Office Depot is not abandoning its core business products offering; in fact, he vowed to expand the customer reach and add more adjacent categories and services. He also

Smith is giving himself and his team 2-3 years to get the job done revealed that Office Depot has acquired four small independent resellers in the past few months to expand the company’s mid-market presence as well as its cleaning and breakroom penetration.

As we reported recently when Office Depot acquired leading independent dealer Complete, the strategy here would appear to be to let these acquired businesses operate by and large as before, keeping management and sales teams intact. Judging by Smith’s comments, we can expect to see more of these types of acquisitions in the coming months.

Conclusion On paper, the combination of CompuCom and Office Depot is one of these ‘new box’ strategies needed by the traditional office products reseller channel.

However, as Smith said at the end of the conference call: “Now, we have to prove it to you guys”. That will not happen overnight, of course, and Smith is giving himself and his team 2-3 years to get the job done. In the meantime, there will no doubt be a few choppy waters to navigate to bring these services and product offerings together.

ACCC clears bids for OfficeMax

After months of uncertainty, the Australian Competition and Consumer Commission (ACCC) has cleared both the proposed acquisition of OfficeMax Australia by Platinum Equity and the rival bid by Complete Office Solutions (COS).

The ACCC’s decision in mid-November principally allowed COS to buy OfficeMax. COS made a surprise counter offer for the reseller in July 2017 after Platinum Equity first put itself in the running back in March. But by the end of the month, the consumer watchdog also said it would not be opposing Platinum Equity’s proposed acquisition of OfficeMax either.

The latter decision paves the way for Platinum-owned Winc (formerly Staples Australia and New Zealand) to merge with Office Depot-owned OfficeMax Australia. The two firms are currently the number one and two resellers in Australia to large corporate and public-sector customers. Bringing them together would create an entity that is significantly larger than its nearest rivals COS and Lyreco.

Despite preliminary concerns about the transaction, an informal review by the ACCC – initiated back in May – concluded that the deal would still leave room for effective competition in the corporate and government channels.

“Following extensive market enquiries and analysis of documents and data, the ACCC has decided not to oppose this transaction. [It] believes the transaction will

lessen competition but doesn’t reach the threshold of causing a substantial lessening of competition,” ACCC Chairman Rod Sims said in a statement.

That said, it appears that the ACCC decision not to oppose the transaction was not a unanimous one. “Any deal that sees the largest supplier acquiring the second largest in a market will require very close scrutiny,” Sims added.

“However, in a finely-balanced decision, the ACCC found that a combined Winc-OfficeMax would continue to face competition from the remaining key suppliers, COS and Lyreco.”

Unless COS now enters into a bidding war with Platinum to buy OfficeMax – something that OPI views as unlikely – the acquisition of OfficeMax should close fairly soon, in Australia, at least. But while Platinum now has the go-ahead to acquire OfficeMax Australia and combine it with Winc, the situation in New Zealand is not so clear cut.

At the beginning of November, the New Zealand Commerce Commission filed a High Court injunction to block Platinum’s move to acquire the OfficeMax business in the country, saying that the transaction there “would be likely to have the effect of substantially lessening competition in the supply of stationery to large corporate and government customers”.

The Commerce Commission is consolidating its proceedings with those initiated by COS, and a High Court hearing is slated to take place early next year.

NEWS

IN BRIEF

EOPA 2018

shortlist revealed At the beginning of December, a group of senior executives from all channels in the business supplies industry came together in Amsterdam, the Netherlands, for this year’s European Office Products Awards (EOPA) judges meeting.

Now in their 17th year, the EOPA are firmly established as the ultimate accolade for businesses operating in Europe. And like every year, the panel of independent industry experts had a difficult – and highly interesting – day condensing a record number of nominations into the shortlist below.

The number of categories has been tweaked and slightly shortened, in line with the ever-evolving nature of our industry and the judges’ consensus.

The winners of the 11 categories will be announced during a Gala Dinner on 6 March 2018 at the Hotel Okura in Amsterdam during OPI’s Partnership event.

For more information and to book your place at this special celebration dinner – open to anyone, not just attendees of Partnership – please visit www.opi.net/EOPA2018.

EOPA SHORTLIST:

Product of the Year • ACCO Brands – Leitz MyBox • COLOP – ARSI Motivational Stamps • Fellowes Europe – Lotus Sit-Stand Workstation • Floortex Europe – AFS-TEX 5000 Anti-Fatigue System • Logitech – Spotlight Video of the Year • Dams – 50th Anniversary • Krug & Priester – IDEAL Shredders: Quality • Krug & Priester – IDEAL Shredders: Simplicity • Newell Brands – InkJoy Gel TV Campaign • VOW Europe – ‘It’s on the Way’ Wholesaler of the Year • Exertis Supplies • JGBM • Quantore • VOW Europe

Marketing Campaign • BIC – BIC 4 Colours Campaign #BICtemptations • Fellowes – Actively Working Well with the Sit-Stand Movement • Newell Brands – Sharpie Campaign in France • Pilot Pen France – Pilot Lens on Snapchat • WPC – Obłędne Dyktando Initiative of the Year • Integra – Education Essentials Campaign • Integra – The Local Community Initiative • International Paper – HP Office ‘Pink Ream’ • VOW Europe – Reviva Vendor of the Year • 3M • Bi-silque • Fellowes Europe • Newell Brands • Safescan

www.opi.net

Wiles Greenworld rebrands

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Reseller of the Year – Sales under €100 million • Codex • Commercial • Gerdmans • Officeday Reseller of the Year – Sales over €100 million • Amazon • Bureau Vallée • Büromarkt Böttcher • Lyreco Young Executive of the Year • Haley-mae Benton, Channel Sales Manager, Avery UK • Abdul Khamkar, EU Merchandising Manager, Office Depot • Steve Weston, Product Manager, Lyreco UK & Ireland Professional of the Year & Industry Achievement No shortlist – winners announced on the night

UK-based sustainable office supplies reseller Wiles Greenworld is changing its name. The London-headquartered company, which was acquired by Commercial in 2016, will adopt the Commercial branding from 1 January 2018. Wiles said the new identity reflects its continued convergence with Commercial’s business.

Unique aspects of Wiles Greenworld’s service, including white glove deliveries and closed-loop recycling will remain. Parts of its offering that are currently London-only may also be rolled out to other parts of the UK where feasible.

For more information on both companies, see From left: Wiles Greenworld’s Ian Ezzard the Big Interview with Commercial co-founding with Commercial’s Simone Hindmarch-Bye Director Simone Hindmarch-Bye in OPI’s recent and Arthur Hindmarch Green Thinking supplement (page 22).

BPGI announces new board International buying group BPGI has made Integra Business Solutions CEO Aidan McDonough Chairman of the board for a further two years.

David Cabezon, Director of Spain-based Makro Group, was appointed Vice Chairman while Tim Beaumont, Managing Director of UK-based Nemo Group, was voted Treasurer.

C-Line appoints Difiglio Office products and education market storage and organisation manufacturer C-Line Products has appointed Sam Difiglio as National Key Accounts Manager. He joins C-Line after five years at FireKing and more than 30 years with Buddy Products.

M2 opens Manchester HQ European managed print services specialist M2 has officially opened the doors to its new headquarters. The grand opening featured exhibitions from HP, Ricoh and Canon.

Workplace films win award Before the Bridge by Lewis Wilcox (US) and Turtle Shells

by Tuna Kaptan (Germany) were announced joint winners of the Healthy Workplaces Film Award 2017 at the 60th Leipzig Festival for Documentary and Animated Film in Germany.

The award is supported by the European Agency for Safety and Health at Work.

Speed Infotech expands China-based inkjet remanufacturer Speed Infotech has opened a European subsidiary.The new facility, based in Moravský Písek in the Czech Republic, was launched in response to an expanding market and client demand.

Limitless wins school contract US reseller Limitless Office Products has signed a major contract to print all non-curriculum instructional supplies for the Dallas Independent School District, which is the second-biggest in Texas and the 14th largest in the country.

ISSA denies RAI Amsterdam termination claims

In November, cleaning industry association ISSA publicly refuted claims by trade show partner RAI Amsterdam that its alliance had been terminated.

Reacting to a series of reports that emerged in the trade press at the time, ISSA released a comment in which it “unambiguously rejected” assertions made by the venue.

RAI Amsterdam was quick to publish a post on its website entitled ‘ISSA/INTERCLEAN Amsterdam becomes INTERCLEAN Amsterdam’. It read: “This follows the recent announcement that RAI Amsterdam and ISSA have come to the decision to end their alliance and pursue separate ventures.”

According to ISSA, it had received a letter from RAI indicating the group’s desire to end their long-standing agreement. ISSA alleges that RAI immediately began contacting ISSA members and exhibitors announcing the termination and demanded that they work directly with RAI to book booths for the up-coming ‘INTERCLEAN Amsterdam’ trade show (previously ISSA/INTERCLEAN Amsterdam).

“This behaviour is unacceptable,” said ISSA Executive Director John Barrett. “I want to stress that these allegations regarding ISSA’s partnership are not only unprofessional, but absolutely untrue.

We do not in any way support RAI’s unilateral departure from its obligations or its decision to communicate directly to members of the association with misinformation.”

Barrett said that it was “business as usual” for ISSA, but asked exhibitors to refrain from contacting the association while it worked out the details. He added: “I promise we will do everything in our power to ensure a positive experience going forward. I know for [exhibitors], they bought into the show under the brand name ISSA/ INTERCLEAN, not INTERCLEAN. That’s a big difference.”

Speaking to OPI, Hilke de Vries, Marketing and Communications Manager of INTERCLEAN for RAI Amsterdam, said: “A recent chain of events showed that the current business strategies are in fact incompatible. We will continue our activities separately in both our areas of expertise; ISSA being a trade association and RAI being the INTERCLEAN exhibitions organiser.”

At the time of going to press, de Vries confirmed that the partnership remained terminated, but both parties were still in the process of negotiating the future of the Latin America and Turkish trade shows.

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2O% O

MILLION

of office mugs are infected with faecal bacteria

Workdays are lost to sickness each year

Number of work days lost to sickness

NEWS

Staples reports rise of the remote worker

Cenveo sells Quality Park

Staples’ latest Workplace Survey, which looks at trends among office-based staff, has found that remote working is the new normal. According to a poll of full-time employees in the US and Canada, just 32% spent all of their time in the office in 2017, while 43% of respondents said that flexibility to carry out duties at home was a ‘must have’.

But employers are yet to keep up with the trend, with just 38% of managers surveyed explicitly offering this expected benefit.

Staples said that while the office itself remained the base, remote working was now an essential part of the workplace, affecting everything from talent recruitment to productivity.

The rise of offices with open floorplans has been blamed for this desire to occasionally get away from it all. Once thought to foster collaboration and creativity, open work spaces also correlate with increased distractions and may even be driving more people away from the traditional office, the survey revealed. In fact, 57% of respondents said working remotely removed distractions, with those working in an open office spending 11% less time at their desks than those in a closed environment.

Distractions in open spaces also have the potential to hinder productivity, increase stress, and drive employees away from the same offices that were designed with the opposite in mind. (Editor’s note: see, for example, details of Steelcase’s new European centre in Germany, right – there are clearly differing views out there as to what works best.)

As opposed to only remote working, Staples recommended alternatives such as agile seating or hot-desking and 71% concurred. This practice is thought to make employees feel more engaged and connected, without the stresses associated with open plan spaces.

US envelope manufacturer Cenveo has sold its Quality Park Products business to Esselte North America and TOPS owner LSC Communications.

Cenveo CEO Robert Burton said the divestiture allows the company to focus on its core operations, including labels, direct envelopes, print and content management, and move away from a continually tough big-box retail market.

The sale involves two of Cenveo’s US-based envelopes facilities and comes during a climate of increased consolidation within the OP industry.

The company expects to make about $39 million from the deal. It had expected the segment to generate approximately $120 million in sales, with adjusted EBITDA of $9 million for FY2017.

Fellowes Brands acquires office wellness vendor

www.opi.net

Fellowes Brands has taken another major step into the workplace well-being category and is expanding its portfolio. The vendor has acquired ESI Ergonomic Solutions, a manufacturer of monitor arms, height-adjustable tables, sit-stand workstations, lighting, and other ergonomic and health-related items.

Fellowes said the acquisition represents its commitment to further strengthen its position in the growing office wellness space. ESI will continue to operate from Phoenix, Arizona, under the leadership of Mark Rhoades.

See page 31 for an interview with Fellowes’ Jeff Dryfhout about the acquisition and the company’s continued foray into the wellness category.

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1OO,OOO The estimated number of calories one person consumes each year by snacking at their desk

Steelcase opens European innovation centre Office furniture manufacturer Steelcase has announced the opening of its new European Learning and Innovation Centre in the heart of Munich, Germany.

The 14,400 sq m (144,000 sq ft) facility brings together over 230 employees representing 25 different nationalities from groups previously dispersed throughout Europe, the Middle East and Africa.

As organisations recognise the importance of face-to-face interactions and shift back to centrally-located business hubs, Steelcase said it opened this location to propel growth within its own organisation – and to give customers a first-hand look at how space can impact work.

The three-building campus includes a WorkCafé that is spread over two levels and is designed as a place for people to interact, work or take time to socialise and rejuvenate.

Steelcase’s executive team is located near the WorkCafé in an open plan space where people constantly pass through and meet. This particular location and the informal design make executives more visible, encouraging frequent interactions with employees and visitors, and helping leaders stay closely connected to the business.

Alibaba’s $25 billion in a day Chinese e-commerce giant Alibaba has reported its 11.11 Global Shopping Festival generated $25.3 billion of gross merchandise volume (GMV).

This represents an increase of 39% compared to 2016 for the annual 24-hour shopping event. The company said mobile GMV settled through Alipay accounted for 90% of the total. Alipay processed 256,000 orders per second at its peak for 1.48 billion overall payment transactions, up 41% on last year. Meanwhile, Alibaba Cloud processed 325,000 orders per second at its height.

According to Alibaba, 11.11 recorded 225 countries and regions with completed transactions, while six merchants surpassed $150 million in sales and 17 passed the $75 million mark. The top countries selling to China included Japan, the US, Australia, Germany and South Korea.

Askul sells Tokyo blaze site Japanese business supplies reseller Askul has agreed to sell two of its logistics centres. The deal comes as the group embarks on cost-saving efforts in order to recover from the blaze that hit its Tokyo warehouse back in February.

The divestiture includes the site of the fire – Askul Logi Park Tokyo Metropolitan – for ¥9.8 billion ($86 million) alongside the currently operational Askul Logi Park Fukuoka for ¥10.6 billion.

Under the guidance of the public authority, the Tokyo building will be dismantled and rebuilt to conform to stringent safety and disaster-prevention standards. Both centres will then be leased back to the company.

Askul now expects to achieve profitability for the logistics business and expand sales in the coming years by returning to an “asset-light business model” and establishing a consolidated subsidiary – eco Properties Corporation – to manage its logistics facilities.

Peter Heath passes away OPI is saddened to report the passing of respected industry figure Peter Heath who died peacefully on 5 November, aged 71, following a long battle with Alzheimer’s disease.

Peter led UK-based Arkle Office Supplies for many years from its fomation in 1972, developing a much-admired dealership alongside wholesale partner Spicers. He was also a former Chairman of the OSTA buying group.

Having retired in 2000, he enjoyed watching the growth of his son Mark’s business – OP dealer Bluefish – while pursuing his hobbies of horse racing and golf with many of his industry friends.

Peter is survived by Rosemary, his wife of 51 years, sons Ian and Mark, and six grandchildren.

Master

BIG INTERVIEW

OF THE

JUNGLE

Now with a presence in five diverse countries around the world, customers of all manner of business supplies are waking up to the call of Amazon Business

E

ver since Amazon Business first appeared on the horizon, it’s been the talk of the town, and the office products industry and all that it entails today has been affected by the e-commerce giant’s foray into the world of B2B. The company’s expansion has been fast and highly impressive – it launched in the US in April of 2015 and now serves more than one million business customers in the country. This was followed by the launch in Germany in December of 2016, the UK in April of 2017, and Japan and India in September of 2017.

The acceleration of Amazon Business has been phenomenal, with a variety of studies assessing its impact – now and in the future – on the more traditional business supplies companies in our industry.

OPI’s Heike Dieckmann speaks to VP Prentis Wilson about all things Amazon Business.

www.opi.net

OPI: How would you broadly describe Amazon Business from a customer perspective?

Prentis Wilson: Amazon Business is a marketplace that combines the selection, convenience and value customers have come to know and love from Amazon with new features and unique benefits tailored to the needs of businesses. It provides easy access to everything from office supplies and lab equipment to education and foodservice supplies.

Amazon Business customers enjoy a variety of benefits, including business-only pricing and selection, a multi-seller marketplace, single- or multi-user business accounts, Business Prime Shipping, approval workflows, purchasing system integrations, payment solutions, tax exemptions, dedicated customer support, and more.

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OPI: What about the marketplace sellers – how do they fit in?

PW: Business sellers on Amazon have the opportunity to grow their business and reach new customers throughout the US and around the world. There are over 85,000 business sellers in the US on Amazon Business now, which range from SBA-credentialed small businesses to large enterprise organisations.

Prentis Wilson Through Amazon Business, sellers benefit from Amazon’s e-commerce expertise, visibility for their full product catalogue on an established online marketplace and greater access to business customer decision-makers. They can also offer features such as business-only pricing and quantity discounts for customers.

OPI: How have you approached the five countries where Amazon Business is now a reality?

PW: In each country, Amazon Business helps customers meet a wide range of procurement needs. We are serving business customers by leveraging everything that’s been built by Amazon in the first place: the marketplace, fulfilment operations, customer service – everything. But we’re serving a different customer. Instead of consumer customers, we are serving businesses of all types and sizes – some are at-home businesses, while others are companies with thousands of users on a single account. They’re buying everything from office supplies to snowploughs, you name it.

One example of how Amazon Business meets country-specific customer needs, is the visibility to taxes which affect our business customers: in Japan, businesses can view consumption-tax exclusive pricing on invoices and receipts, while in India, they can take advantage of Goods and Services Tax (GST)-compliant invoicing and claim GST credit that can range from 5-28%. In the UK, customers can also

OPI: What is the correlation between Amazon Business customers and Amazon Prime members? What percentage of business customers are already Prime members?

PW: While I can’t confirm how many Amazon Prime members also use Amazon Business at work, I can tell you that we are seeing overlap. People love the convenience of shopping online and want an experience at work that is similar to how they shop at home.

We recently launched Business Prime Shipping for Amazon Business customers in the US and Germany, which offers multi-user organisations that sign up for the membership programme access to unlimited, fast and free shipping for all users on their business account.

OPI: How do you approach all the different customer segments?

PW: We serve businesses of all sizes and across industries including hospitals, educational institutions, labs, day care centres, government agencies, restaurants, Fortune 50 companies and sole proprietors. Across Amazon Business, we have leaders in the commercial, education, government and healthcare verticals to help us better serve our customers by understanding their specific needs.

OPI: Does Amazon Business have a focus on any specific type of customer, meaning is there a particular customer sweet spot in any of the Amazon Business markets?

PW: We believe Amazon Business can help all customers. We are working across various regions and with a wide range of companies to make the purchasing of business supplies easier and more convenient for them. Naturally, there are different features that customers in specific locales and professions require, but there are also general features that they all need and want. In addition, we are discovering that we can offer some features that are tailored for more specific use-cases.

For example, customers have told us that they have been able to simplify their purchasing process by shopping our Amazon Business multi-seller marketplace and using our built-in approval workflows to enable better spend controls. They’ve also been able to increase visibility into their spend with the Amazon Business analytics dashboard and glean insights into their firm’s purchasing behaviour.

[Customers] have also been able to increase visibility into spend with the Amazon Business analytics dashboard OPI: Who do you regard as your competition?

PW: We aren’t focused on other companies, we are laser-focused on customers. One unique aspect of Amazon Business is the multi-seller marketplace, where business customers can view multiple offers on a single product page for easy price comparisons, as well as shop sellers that consistently meet the performance and service requirements that businesses expect.

We are always listening to feedback from customers so we can continue to innovate and deliver new features and benefits tailored to the needs of businesses. Customers tell us they enjoy having the ability to shop at work the same way they shop at home – they get the selection, convenience and value they have come to know from Amazon. Sellers have also said that they like the trusted e-commerce service, as well as the ability to reach registered business customers on the Amazon Business marketplace.

OPI: Recent OPI research among Amazon Business customers suggests that a primary concern for them is the difficulty in speaking to a human being should they have a problem or a question. What would you say to that?

PW: Amazon Business offers dedicated customer support and a wide range of product content – everything from technical specifications, CAD drawings and high-resolution images of products to manufacturer how-to videos. For manufacturers, this product content, and the ability to consistently communicate to every one of their customers about exactly how each product is intended to be used, adds value. It is only the beginning, of course, and we will continue to build out features in areas such as technical support.

OPI: To what extent is it important for Amazon Business to be seen as the lowest cost supplier by your customers?

PW: As a company, our goal is to provide customers with the widest selection of products, available at the lowest prices and the most convenient shopping

December 2017/January 2018

OPI: What specific procurement tools, services or marketing efforts have you developed for your diverse range of customers?

PW: A few notable innovations include: an expanded marketplace dedicated to business customers and sellers featuring hundreds of millions of products, as well as features and tools to help businesses

manage their spend. Business customers have access to Amazon Business analytics, for example, which provides visibility into purchasing activity at the individual, purchasing group or type of spend level.

In addition, customers can meet particular sourcing requirements by refining their search for sellers with specific quality and diversity credentials, such as ISO 9001, SBA, women-owned, or veteran-owned businesses.

As I mentioned, we recently launched Business Prime Shipping for multi-user organisations in the US and Germany where they can get unlimited fast, free shipping for all users on their business account.

BIG INTERVIEW Prentis Wilson

view prices with and without Value Added Tax (VAT) and benefit from VAT invoicing.

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Prentis Wilson BIG INTERVIEW

experience, with lots of fast, free shipping options.

Amazon Business is no different.

With our multi-seller marketplace, business customers can view multiple offers on a single product page for easy price comparisons.

OPI: How is the US Communities contract performing for you?

PW: The Amazon Business contract was awarded by Prince William County Public Schools and is available through the US Communities programme. The competitively-solicited contract makes it easier and faster for educational and public sector organisations to get the supplies they need on Amazon Business.

More than 90,000 public sector organisations, including individual schools, school districts and higher education institutions nationwide, can now access multiple purchasing categories in an online marketplace, as well as be confident that they’re receiving dynamic and competitive pricing.

Today, educational organisations, government agencies, and non-profits have registered for an Amazon Business account through the US Communities programme and the contract with Prince William County Public Schools. Educational organisations, for example, range from small rural districts to large urban systems, including several

Some of the most popular product categories on Amazon Business include office supplies, breakroom supplies and IT accessories districts with over 100,000 students. Additionally, many colleges and universities ranging from community colleges to tier one research universities have also registered for an Amazon Business account through the programme – we have seen great progress to date and look forward to continuing to work with Prince William County Public Schools and US Communities.

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OPI: It’s been suggested that the US Communities contract was drawn up specifically for Amazon...

PW: The request for proposals (RFP) issued by the Lead Public Agency was subject to full and open competition. Specifically, on 14 September 2016, Prince William County Public Schools issued a formal, competitive RFP for an online marketplace covering ten purchase categories. Amazon Business was one of 14 suppliers that responded and after formal evaluation, which included performance and cost criteria, we were awarded the contract.

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As a result, in early 2017 we announced a multi-year contract whereby US Communities-participating agencies can now take advantage of Amazon Business’ dynamic marketplace pricing, which would help ensure competitiveness and best-value pricing for educational and public sector organisations.

OPI: What is your sales model for US Communities? How many external sales reps do you have in the US for the contract, for example?

PW: As a company policy, we don’t share that type of information.

OPI: What are the most important product categories on Amazon Business in dollar volume?

PW: We don’t share that kind of information. However, some of the most popular product categories on Amazon Business include office supplies, breakroom supplies and IT accessories.

OPI: What has been the development of Marketplace sellers on Amazon Business? Are there any product categories in which Marketplace sellers are particularly strongly represented?

PW: As I’ve mentioned, we now have more than 85,000 business sellers on Amazon Business, which has grown from 45,000 last year. We are excited by this growth, as we believe it shows that sellers really value the opportunity that Amazon Business provides to grow their business. It also allows us to bring a vast selection of different products to business customers, all through one marketplace.

Amazon Business sellers provide a unique selection across many categories, including IT and office equipment, laboratory equipment, and furniture.

OPI: Certain product categories require product knowledge and perhaps more of a solution-selling rather than transactional-selling approach. To what extent is Amazon Business geared up to provide help and advice to clients?

PW: Like I said, we offer dedicated customer support and a wide range of product content and we continue to build out features in areas such as technical support. We provide customers with a vast selection of products in one marketplace so they can view multiple offers on a single product page and choose the best product for their needs.

OPI: What are your plans for Amazon Business?

PW: I can’t discuss future plans, but I can tell you that we are always looking for ways to innovate on behalf of customers. This is an experience that businesses love and a great opportunity for manufacturers and sellers to reach registered business customers. And it’s still just the beginning.

HOT TOPIC

Terminated The era of Skynet may finally be upon us. There is daily news regarding artificial intelligence, robots and machine learning, and recently the focus has been on their potentially devastating impact on the workplace and employees. But is it really that apocalyptic?

– by Michelle Sturman

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A

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utomation and robots in manufacturing – think car production – have been slowly eating away at the number of blue-collar workers for years. The International Federation of Robotics (IFR) estimates that an annual growth of 14% between 2018 and 2020 will result in a worldwide stock of operational industrial robots of just over three million. In the US, for example, robot installations increased 14% in 2016, driven by the desire to strengthen its competitiveness overseas while aiming to keep manufacturing at home.

Globally, the use of robots is only going to increase with the advent of Industry 4.0 – connecting manufacturing with virtual reality – and analysts predict a rapidly growing market for robots that are connected to the cloud. Apple and Samsung producer FoxConn, based in China, replaced 60,000 factory workers with industrial robots in 2016.

Research from the World Bank provides some stark predictions on the proportion of jobs threatened by automation: 77% in China, 69% in India, and as high as 85% in Ethiopia.

On the other hand, Japanese business supplies reseller Askul has embarked on a programme with robot manufacturer Mujin to introduce the latest robot technology in its distribution centres to combat a labour force in the country that is declining.

The Internet of Things (IoT) is helping to drive innovation for the use of robots in commercial, manufacturing as well as home settings. A study undertaken by Navigant Research reveals that devices, software and services for the Industrial Internet of Things (IIoT) – which offers businesses the opportunity to leverage technology platforms – will exceed $1 trillion over the next decade.

Navigant Principal Research Analyst Neil Strother says: “IIoT technologies support broad digital

transformation initiatives within a business, enabling them to offer enhanced services and improved experiences to customers.”

The transformation is accelerating due to the pervasive nature of digital technology, and the growth in research in machine learning, along with the work being undertaken with artificial intelligence (AI). An important advancement is the increased collaboration between universities and some of the world’s biggest companies.

NOTHING ARTIFICIAL ABOUT IT IBM has announced a ten-year, $240 million investment in a new lab with MIT to advance AI hardware, software and algorithms. The partnership aims to push scientific breakthroughs to unlock the potential of AI, especially related to areas such as deep learning, and to heighten AI’s impact on industries.

Many tasks that require human judgement will be replaced by machine learning-based AI. Will office workers be able to upskill and find other jobs?

A major focus of the partnership is to encourage students to launch companies for the purpose of commercialising AI inventions and applications. IBM SVP Dr John Kelly says: “Today’s AI systems, as remarkable as they are, will require new innovations to tackle increasingly difficult real-world problems to improve our work and lives.”

Technically-speaking Definition: Artificial intelligence The theory and development of computer systems able to perform tasks normally requiring human intelligence, such as visual perception, speech recognition, decision-making and translation between languages.

Definition: Machine learning The capacity of a computer to learn from experience, ie to modify its processing on the basis of newly-acquired information.

Definition: Deep learning Deep learning is a subset of machine learning in artificial intelligence that has networks which are capable of learning unsupervised from data that is unstructured or unlabelled.

Definition: Intelligent automation The combination of artificial intelligence and automation.

December 2017/January 2018

EVERYDAY INTELLIGENCE Increasingly, AI is seeping into our everyday lives, much of it integrated behind the scenes to the point where the majority of people don’t even realise it is enabling their interactions through applications such as Apple’s Siri, Microsoft’s Cortana, Amazon’s Echo and Google Assistant.

Even the office products industry is jumping on the bandwagon. Australian office supplies reseller Officeworks recently announced that it has integrated Google Assistant, giving customers the option to shop and engage with the brand through voice activation.

Intelligent automation is becoming ubiquitous in most industrial and manufacturing sectors, whereas in areas such as banking and retail, huge opportunities are being created through the use of AI in the form of chatbots and virtual assistants, virtual checkouts and tellers. Embedded into specific applications, virtual assistants use AI engines and machine-learning technology to respond to queries.

NPD Group VP and Technology Analyst Stephen Baker says: “AI is already transforming offices and making workers smarter and more efficient. It is in a smartphone, email and in many of the products used at work today to help correct errors and understand the tasks at hand. But, like all technologies, the transformation will be slow and gradual as more tasks are improved and made more efficient by AI.” A recent survey by Dimension Data on the digital workplace revealed that 53% of organisations say smart meeting rooms are central to improving business processes. 62% expect virtual advisors to

have a place in their companies within the next two years, while 58% expect to start actively investing in technology that powers virtual assistants.

With the advent of AI, the consensus is that no market sector is immune. Rice University Professor and computer scientist expert Moshe Vardi told OPI that, so far, the main impact of automation has been in manufacturing, but that machine learning has been making dramatic advances over the past five years with serious implications for white-collar workers. “What the impact will be is anyone’s guess.

Manufacturing workers have not adapted well. Many tasks that require human judgement will be replaced by machine learning-based AI. Will office workers be able to upskill and find other jobs?” he says.

The middle market such as travel agents have already been reduced substantially by the use of digital technologies, and now professional service sectors, including the financial, legal and accountancy professions are expected to be affected

by AI and machines. In the future, this will likely expand to ‘cognitive’ jobs. We’re already seeing humanoid robots as receptionists; earlier this year, Saudi Arabia became the first country in the world to grant a robot citizenship.

In the workplace, automation, AI, machine learning, Big Data and the IIoT and IoT are expected to enhance productivity. According to Accenture’s Technology Vision 2016 report, while intelligent automation is enabling businesses to put more processes into smarter machines, it’s not just about

HOT TOPIC Artificial Intelligence

In October, Chinese e-commerce giant Alibaba said it will invest $15 billion in research and development over the next three years. This includes the creation of an academy and open research laboratories in seven cities around the globe. Its research areas will cover data intelligence, IoT, human-machine interaction and quantum computing.

Alibaba CEO Jack Ma explained that the focus will be on real-world applications such as machine learning, visual computing and natural language processing.

To demonstrate just how far AI has come, an algorithm for imperfect information, named DeepStack, has become the first AI to beat professional poker players. It uses ‘intuition’ formed through deep learning to reassess its strategy.

According to a research paper published in Science magazine in May this year, “DeepStack allows computation to be focused on specific situations that arise when making decisions and the use of automatically trained value functions”.

Google acquired UK-based AI research company DeepMind in 2014, which also focuses on developing programs that can learn to solve complex problems without being taught. The recently opened lab in Edmonton, Canada, meanwhile, concentrates on reinforcement learning which functions similar to the way humans learn, trying to replicate good outcomes and avoid bad outcomes based on learned experiences.

In addition, major traditional tech manufacturers such as Samsung, HP and Panasonic, are busy acquiring AI and robotics businesses and investing heavily in this area to launch AI-based products.

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Artificial Intelligence HOT TOPIC www.opi.net 22

making the same tasks more efficient – although the forecast is 30-40% employee productivity gains over the next few years. It can also fast forward the creation of new products and services on a scale not thought possible. However, Accenture points out that innovative companies using automation are creating a different and more productive relationship between machines and people.

The expected outcome is for mundane tasks to be automated, freeing up employees to be more creative, innovative and productive, skills that will be in high demand in the years to come. “In the long term, AI will help office workers to be more efficient in their roles by allowing them to concentrate on the hard people tasks ahead and divest the more mundane tasks that AI can handle without human intervention.

But robots won’t be writing reports, analysing data or selling a client a new product anytime in the near future,” says NPD’s Baker.

Stanford University’s One Hundred Year Study on Artificial Intelligence, looks at AI and its influences on people, their communities and society. The study reveals that while AI is almost certainly poised to replace humans in certain kinds of jobs such as taxi driving, it is more likely that it will replace tasks rather than jobs – at least in the near term – and will also create new types of jobs. Additionally, AI is expected to lower the cost of goods and services.

IMPACT ON THE WORKPLACE What this potentially means is that fewer workers will be found in the workplace. In fact, 37% of people are worried about automation putting jobs at risk, according to a PwC Workforce of the Future survey, although 73% believe technology can never replace the human mind. Meanwhile, although 52% of CEOs responding to the PwC 20th Annual Global CEO Survey stated they were already exploring the benefits of machines working in conjunction with humans, and 39% are considering the impact of AI and future skills needs, 52% were also planning to increase headcount in the coming year.

The jan/san industry has seen some action in the way of the emergence of robots and AI, but it is not currently widespread. Talking about the main impact of this technology in the workplace, ISSA Director of Market Research & Analytics Jon Adkins told OPI: “While the technology is in a nascent stage today, its potential could be significant in terms of efficiency and productivity gains for cleaning organisations. AI developers and robotics manufacturers must focus on ensuring safety for both cleaning workers and building occupants, particularly as this technology is employed in K-12 schools, industrial settings and sensitive environments such as health care.

“Change always brings about insecurity no matter the industry, but it can also create opportunities. For example, it’s entirely possible that if a robot takes care of a tough or dangerous job, it could free up cleaning staff to concentrate on tasks that are safer and potentially higher paying.”

There is likely to be severe disruption in the coming years to many industry sectors and consumer markets through the increased use of AI and its impact on research areas that include: deep learning, robotics, machine learning, computer vision, natural language

Robots won’t be writing reports, analysing data or selling a client a new product anytime in the near future processing, crowdsourcing and human computation; and IoT. At the same time, there are issues to deal with in terms of law and ethics, in particular privacy issues.

DeepMind, for example, has launched an Ethics & Society research unit, and many governments are creating taskforces to investigate the potential risks.

The Stanford study further says that most AI applications are highly tailored to specific tasks, but expects future uses of these technologies to include self-driving cars, delivery options in the form of drones and robots, healthcare diagnostics and physical assistance for the elderly. The combination of AI and robotics will be used in areas struggling to attract a younger generation, such as agriculture, factories and fulfilment centres.

Despite the apocalyptic views held by Stephen Hawking, Elon Musk et al, reassuringly, Stanford found no imminent threat to humankind from AI as no “machines with sustaining long-term goals and intent have been developed, nor are they likely to be developed in the near future”. However, the report did acknowledge that there will be disruptions in how human labour is enhanced or replaced by AI, creating challenges for the economy and society in general.

This is a topic that OPI will keep a close eye on and in the words of perhaps the most famous robot, “I’ll be back” with future updates.

AMAZON MEANS BUSINESS At the sixth annual re:invent Amazon Web Services (AWS) conference in late November/early December, the online giant unveiled a number of initiatives to boost its artificial intelligence and machine learning progress. The biggest announcement was Alexa for Business, a service that provides employees with an ‘intelligent assistant’ designed to help automate tasks such as conference calls, controlling equipment and reordering supplies.

For the US market, AWS has teamed up with AT&T for the LTE-M Button which uses the AWS IoT 1-Click service. Basically, it’s a Dash button for the workplace that allows businesses to order office supplies or submit service requests, for instance.

AWS also released five new machine learning services and a deep learning-enabled wireless video camera for developers, as well as a number of IoT services designed to manage, secure and analyse the data generated by large fleets of devices. A new AWS Greengrass feature, meanwhile, lets application developers add machine learning to devices without the need for special skills.

CATEGORY OVERVIEW

Well-being in the Special Issue WORKPLACE HEALTH & The drive for a healthier workspace with a sharper focus on employee well-being is rising up the news agenda. But is it truly a zeitgeist with momentum or just a passing fad? – by David Holes

WELL-BEING

Special Issue HEALTH & WELL-BEING

Special Issue T VENDOR

he provision of a workplace environment that’s conducive to health and employee happiness is a complex issue. There’s no doubt that the frontrunners in this field are taking a holistic approach, with an emphasis on a wide range of different aspects. These usually begin with the office building itself and its furniture, fixtures and fittings, and then move on to encompass other facets, such as offering healthy breakroom products, a focus on physical and mental health and the encouragement of movement and active working.

SPECIAL

Special Issue

Wellness is not yet a mainstream VENDOR category for either the reseller or SPECIAL vendor communities that we deal with on a day-to-day basis

www.opi.net

But is this really the direction that most conventional businesses are taking, or just virtue-signalling from the richest firms that can afford to make the politically correct gestures of the day?

And what are the opportunities for companies in the business supplies industry?

24

REAL DEMAND This is certainly a sector on the rise as those providing products that service this category are experiencing burgeoning demand.

At UK dealer group NEMO, for example, Merchandising Manager William Lavender reports that its dealers are witnessing significant growth in health and well-being-related items: “What’s

particularly interesting is how quickly sales have accelerated for our members – the interest suddenly sparked into life,” he says. “Also intriguing for us as a dealer group is the fact that some members are performing better than others in this category.

We have yet to analyse this and see whether it’s a regional, city-based or larger-company phenomenon. Or is it simply that some companies have a more proactive approach to obtaining new business and are the ones asking the right questions? We believe it’s the latter.”

UK wholesaler VOW is seeing businesses investing more into health and well-being and its dealers are benefitting from that. “This is not just in products,” says Product Marketing Director Helen Wade, “but in policies like flexible working, discounted gym membership, healthy eating in staff canteens and health accessories. We are also seeing growth in the sale of air purifiers for the office space and an increased emphasis on staff relaxation zones.”

On the other side of the Atlantic Sean Macey, President of Canadian dealer group Basics Office Products, is more cautious: “Wellness is not yet a mainstream category for either the reseller or vendor communities that we deal with on a day-to-day basis. A few are beginning to experiment with bits and pieces, but it’s difficult to put together a wide-ranging plan.

Part of the problem is that there doesn’t seem to be any hard data on how big the opportunity is in Canada.”

Feedback suggests that the main forces propelling this trend forward are a potent combination of increasingly tough legislation and the need to drive up productivity, coupled with a genuine desire to do what’s best for the workforce.

ACTIVE WORKING Anecdotal evidence suggests that it’s the newest entrants to the workforce who are pushing the hardest for this change in office culture and environment.

“The younger generation of gym-goers and those who enjoy sport, exercise and nutrition are having a massive impact on well-being in the workplace,” explains Lavender. “Sitting still at a desk for eight hours is not an attractive proposition for these people, so it is

3 OUT OF 5 PEOPLE SAY THEY WISH THEIR WORKPLACE HAD A PET-FRIENDLY POLICY AND WOULD SPEARHEAD EFFORTS TO MAKE IT HAPPEN

1 IN 3

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December 2017/January 2018

Rik Mistry, Head of Business Development at UK retailer Sit-Stand.com, explains that health and well-being initiatives are now necessary to both attract high-calibre recruits and ensure their retention.

“Unsurprisingly, a workplace that’s conducive to good health also makes for happier staff.”

Betsey Banker, Wellness Market Manager at ergonomic product manufacturer Ergotron, adds: “Companies increasingly understand that treating their employees well has a direct impact on productivity and on reducing absenteeism. People who feel healthy are more engaged, more creative and more focused. In addition, businesses that are known to take good care of their employees will find it easier to attract and retain the best staff.”

At US office design specialist Knoll, Director of Workplace Strategy Kylie Roth concurs: “Of course organisations want to provide a healthy and safe place for their employees to do their best work. But, that withstanding, it’s cost reduction – especially in the US where businesses pay for a large portion of employee healthcare – that’s a significant driving factor for the increased focus on workplace well-being and ergonomics.”

Research has found that employees who bring their pets to work tend to have lower stress levels at the end of the day. Pets also help lower blood pressure, decrease loneliness, reduce cholesterol levels and encourage physical activity.

The Pets at Work report from pet nutrition experts Purina emphasises the positive impact animals can have in a professional environment and encourages companies to open their doors to employees’ furry friends.

“Animals bring a wealth of benefits – both physical and emotional – to owners and their families at home,” comments Dr Kurt Venator, Purina’s Chief Veterinary Officer. “So it’s no surprise those same benefits also apply in the workplace – perhaps providing a calming influence during a challenging situation or just encouraging employees to take a walk during their lunch break.”

The report found that pet-friendly work environments are viewed as both exciting and innovative. It revealed that more than half of dog owners in these workplaces bring their dog to the office at least once a week and include them in lunch meetings, work parties and meetings with their boss. Furthermore, it showed that employees at such organisations ranked being able to have pets at work as second in terms of most valuable work benefits.

Venator adds: “Our hope is that the report will continue to raise awareness and arm employees and employers with insight that can help facilitate pet-friendly environments within companies.”

CATEGORY OVERVIEW Health & Well-being

PET POWER

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Health & Well-being CATEGORY OVERVIEW

in the interest of employers to create an environment where staff feel they have the freedom to stand up, move around and have access to healthy food.

“A recent straw poll of my friends and acquaintances revealed that 70% work in an office environment and more than half have written formally to their line manager to request access to healthy snacks, a sit-stand workstation or new social spacing for a breakout area. One even asked for a weightlifting machine and that’s not a stretch of the imagination today as many businesses are starting to incorporate gym equipment in their buildings. As more people try to live a healthier lifestyle, those influences are not stopping in the gym or at home, but are also travelling to work with them.”

Companies increasingly understand that treating their employees well has a direct impact on productivity and on reducing absenteeism

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An interesting concept that’s making a resurgence is mentioned by Macey – it’s Management by Walking Around (MBWA). This idea popularised in the 1980s which encouraged senior staff to wander the floors checking on staff, equipment and ongoing work, is now being seen as having wellness benefits too. “People need to move while at work,” he says. “The best idea anyone ever came up with is MBWA and should be adopted even if you aren’t a manager. Get up and go for a walk. Do some work standing up. Do some work sitting down. Hell, do some work on a treadmill if you’re coordinated enough! The goal is to just get everyone moving and at Basics we are focused on finding as many active office options as possible.”

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GREENING THE OFFICE Future-gazing research from renowned German think tank Zukunftsinstitut (which translates into ‘Institute of the Future’) envisages office evolution and the drive for mobility leading to a completely chairless workspace. It also sees the naturalisation of the office environment through biophilic-design techniques as becoming increasingly mainstream.

At its core this involves incorporating greenery – plants, grass and even trees – within the indoor fabric of the building and relying on natural light to illuminate the office space. The idea is to put workers in touch with nature to reduce stress and trigger creative thought patterns.

Zukunftsinstitut’s Associate Director Jeanette Huber points to a mountain of evidence showing the benefits of biophilic design, with employees reporting a 15% higher level of well-being and creativity and

a 6% increase in productivity. Research in Norway has additionally found that natural elements within an office space can also prevent fatigue when completing tasks that demand high concentration levels. “There’s a tonne of data showing employees are happier and work better when exposed to a natural environment,” says Huber, “so organisations are going to increasingly incorporate these aspects into office design.”

These design elements don’t necessarily have to be ‘real’. In the healthcare profession, for example, murals in patient waiting rooms depicting natural scenes such as mountains, sunsets and grassy areas cause patients to feel significantly calmer and less tense than when sitting in rooms with plain white walls.

Other studies have shown that even an image of greenery placed on or over things like walls, furniture and flooring can have positive effects.

Basics such as a view from a window can also be important. Staff with sight of natural elements including trees, water or the countryside report greater levels of well-being than those with views of buildings, roads and construction sites. But even having an urbanised view was found to be more beneficial than having no view at all.

MAXIMISING HEALTH While health and well-being issues might not yet be mainstream across all businesses, there’s clear evidence to suggest that this isn’t just a passing fad either – for all the compelling reasons mentioned.

Please visit the Magazine section on opi.net for two case studies that highlight how health and well-being in the workplace can be improved in a number of areas. Both Zumtobel Group in Austria and SAP in the Netherlands are awarded and commended entries from The Healthy Workplaces Good Practice Awards, organised by the European Agency for Safety and Health at Work (EU-OSHA) as part of its Europe-wide Healthy Workplaces Campaigns. The 2016-2017 campaign promotes sustainable work and healthy ageing right from the start of people’s working lives.

It raises awareness of good occupational safety and health management, the importance of risk prevention throughout the working life, and tailoring work to individual needs.

SMELLS LIKE SUCCESS Paul Wonnacott is Managing Director and President of Vectair Systems, a global hygiene company that specialises in washroom and air-care systems. He is also on the advisory board for the ISSA/INTERCLEAN Exhibition Committee and has served on the board of directors for the Cleaning and Hygiene Suppliers’ Association.

OPI speaks to Wonnacott about the importance of scent in the workplace and the perception of cleanliness that this can impart.

OPI: Why is office cleanliness important to staff well-being?

Paul Wonnacott: Cleaning isn’t necessarily glamorous, but it is imperative for a healthy workplace environment. The average office desk can be 100 times less hygienic than your kitchen table, and 400 times dirtier than the average toilet seat. In the hospitality industry it’s long been recognised that cleanliness is a key factor that drives positive guest reviews and this is a trend we now see taking hold in the workplace. But cleanliness doesn’t just mean the facility being clean – the perception of overall freshness is equally important.

OPI: How can scent affect this perception of cleanliness?

PW: 75% of the emotions we experience are affected by smell.

People are generally happier when exposed to certain scents, because aromas can be powerful triggers that reawaken latent memories.

Organisations are now beginning to exploit this effect and are using fragrance to create corporate identities and signature scents.

We are on the brink of a scent revolution. Advances in scent technology are being used to deliver an improved user experience and it’s becoming an instrumental part of office design. To date, we’ve focused primarily on what people see, whereas we should be appealing to all their senses – this is where scent come in.

the building. As an industry, this means we’re now looking at a different range of ‘non-washroom’ fragrances and the technology necessary to cater for these additional environments.

OPI: Can you be more specific here?

PW: The main challenge facing the air-care industry has been finding a suitable delivery system that can be successfully used in these new areas.

Traditional techniques such as aerosols are not safe for continuous exposure, while other methods like candles or reed diffusers are inconsistent or a hassle to service.

The focus is now on reducing the size of fragrance particles.

Conventional aerosol systems use particle sizes of around 80 microns, but newer delivery technologies have reduced this to under 10 microns.

These smaller sizes mean the fragrance is lighter, travels further, lasts longer and is safer for continuous exposure.

Vectair Systems has developed a number of such systems that are free from any propellants, solvents or volatile organic compounds. These are being used by firms who are waking up to the power of using scent to connect with our deepest emotions.

December 2017/January 2018

OPI: How does this new approach differ from the traditional use of fragrances?

PW: Historically, organisations would simply choose to fragrance their washrooms as a way of masking unpleasant smells. But today it’s common to see companies wanting to fragrance areas both inside and outside of these facilities.

It’s no longer just about the perception of clean and fresh toilet facilities, but about providing a whole scent experience around

Paul Wonnacott

CATEGORY OVERVIEW Health & Well-being

Holistic approaches aside, economic pressures are forcing companies to trim back their workforce to the bare minimum and recruit and retain the best group of personnel they can afford. But this paring down of staff numbers is leaving them increasingly vulnerable to absenteeism, as there simply isn’t the slack in the system for others to take up the strain. “If one of those key employees gets sick, this now has a tremendous impact on the remaining staff,” says NEMO’s Lavender. “Businesses must be thinking about all the things they can do to keep their staff as healthy as possible. We can’t do much about their non-work hours, but we can and should take steps to ensure their work environment is the very best one possible.”

Take-up may still be patchy at the moment, but the health and well-being category clearly offers significant opportunities for suppliers and resellers in the business supplies industry going forward.

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FEATURE

An increased focus on health and well-being in the workplace is raising awareness of the importance of good ergonomics and, by extension, office furniture design – by David Holes

www.opi.net

T

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he generic dictionary definition of ergonomics is “the scientific study of people and their working conditions”.

Ergonomic design within the office specifically, meanwhile, tends to focus on the furniture and equipment that staff use, with the aim to maximise their comfort and well-being.

As Eddie Baird, Director of Furniture Sales at US wholesaler SP Richards, explains: “Too often, the employee’s body has been forced to fit the office furniture provided, rather than the opposite.

However, furniture is changing to make the working environment more comfortable, as well as more productive and inviting.

“Innovative products abound – from height-adjustable desks and risers, chairs you lean or ‘perch’ against, wobble boards that you swivel on while working to treadmills with work surfaces so you can walk while you work. It’s no longer just about the product, but the way that product works in cohesion with its user and the environment.”

New design standards such as WELL Building and Fitwel (Facility Innovations Toward Wellness Environment Leadership) are now gaining acceptance and aim to ensure that organisations focus on meeting an individual’s needs in the workplace with wellness-oriented solutions. A variety of new products are being designed to meet these certification standards, with measureable aspects specifically geared towards addressing the health and comfort of the user.

“These standards will shape the furniture sector over the next 12-18 months and beyond,” says Josh Kerst, Principal Ergonomist at US manufacturer Safco, “much like LEED certification shaped it a decade ago.”

Special Issue HEALTH & WELL-BEING

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KEEP MOVING In recent years, a plethora of major regional and international research has produced compelling evidence that sitting for more than four hours each day leads to enzymes responsible for burning harmful blood fats shutting down, reduced calorie burning, disrupted blood sugar levels and higher blood pressure. These in turn lead to increased risks of heart disease, diabetes, obesity, cancer, depression, musculoskeletal disorders and even dementia.

The case for raising activity levels is overwhelming and companies are now encouraging their employees to exercise more frequently, even offering incentives for walking 6,000 steps per day or going to the gym on a regular basis. Staff are being asked to stand, lean or perch rather than sit as this keeps the body active, with firms providing sit-stand workstations, adjustable desk risers and specialised seating to facilitate this.

Too often, the employee’s body has been forced to fit the office furniture provided, rather than the opposite As Kerst explains: “For many years, ergonomics research was all about eliminating discomfort in the workplace and to a very large extent this was achieved.

Unfortunately, people became so comfortable they rarely moved at all. Today, we know better and furniture solutions are all about helping you stay active, burn more calories and keep you healthy while you work.”

SIT, STAND OR BOTH? The average person sits for more than 12 hours a day and lower back pain associated with sedentary behaviour is the number one cause of job-related disability and a top risk factor for absenteeism.

Standing desks are fast gaining popularity and experiencing double-digit growth, with studies predicting the US market alone will grow to $2.8 billion by 2025. However, prolonged standing comes with its own list of detriments and can itself induce lower back pain in some people. Height-adjustable workstations are proving a popular middle ground.

A study conducted by Stanford University found that 78% of workers with chronic lower back problems reported a pain-free day after just 15 days of using a sit-stand workstation.

As Rik Mistry, Head of Business Development at UK retailer Sit-Stand.com, explains: “Web traffic to our websites has grown 300% in the past 12 months and Google reports suggest that the search results for ‘standing desk’ have quadrupled over the past five years. Furthermore, the wave of interest at shows and industry events for products like our Yo-Yo desk continues to escalate.

“It’s no longer just the person with the bad back who wants an adjustable workstation, it’s now increasingly a ‘must have’ for the whole team. And when people move companies they are taking their standing-desk habit with them.”

But some studies are indicating that, once installed, these solutions are actually often grossly underused, with only 20% of staff continuing to use the standing function after eight weeks.

As Betsey Banker, Wellness Market Manager at ergonomic product manufacturer Ergotron, says: “Ease of use plays a huge part in their adoption. People often love their new desks initially, but if it takes too long to change desk positions, human behaviour dictates that people will revert to old practices and sit down too long.

Instant adjustment is essential to encourage users to change posture frequently (we recommend every 30 minutes) throughout the work day.”

Kerst suggests that a more nuanced approach is required to encourage activity: “Safco’s Active Collection provides a more complete solution, with a

FEATURE Ergonomics & Furniture

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Special Issue HEALTH & WELL-BEING

The layout of offices is also encouraging movement, says Baird: “Shared printers not only save companies money on printing supplies and reduce waste, but they also require users to get up and walk to the printer instead of spinning around in their chair to reach it. Chair spinning does not qualify as exercise.”

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VENDOR SPECIAL Source: Safco

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Safco’s Active Collection

variety of active seats that support more movement at traditional desk heights, but which can work with programmable sit-stand desks as well. There’s also an innovative line of new, semi-standing seats and stand-biased workstations that offer the benefits of standing with all the comforts of sitting. Plus, options exist to accessorise the adjustable workstation with active products such as standing footrests, anti-fatigue mats and stand-up wobble boards.”

For companies that don’t want to or cannot afford to purchase entirely new desks for their employees, the adjustable desk riser that sits atop your existing workstation allows staff to stand at a regular desk.

“These are in high demand,” says Banker. “They are very easy for facilities teams to install, allow for a flexible office design and give employees ultimate autonomy in managing their sitting and standing postures throughout the day. Mobile standing desks are also gaining in popularity as businesses can use them for collaborative workspaces, or as temporary workstations for remote workers and visitors.”

December 2017/January 2018

TAKE A SEAT When our parents and teachers told us to “sit up straight” it seems like they were giving us good advice. Actually, today’s updated guidance is that we should both sit up and recline back slightly.

As Paul Hurty, Director of Contract Sales at the Raynor Group, manufacturers of Eurotech seating, explains: “Traditionally, we’ve been asked to sit at a 90-degree angle, but this is unrealistic and encourages slouching as your head naturally moves forward towards the task at hand. And, as mobile devices have become more prevalent, looking down at a screen is causing even more slouching and office furniture design needs to adjust.

“A chair, for example, should allow for a slight recline and come with a head rest, a flexible back frame, seat-depth adjustment and provide flexible lower lumbar support,” he adds. “The benefits of being able to sit comfortably in this position are significant, including expanded breathing capacity which increases blood flow and oxygen throughout the body. A positive impact can be felt immediately by decreasing the fatigue people feel after sitting for even a short time in the wrong position.”

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MUST TRY HARDER Of course, ergonomic design is not limited to office desks and chairs. Items such as adjustable task lighting that reduces eyestrain and soft-surface flooring solutions that lessen fatigue are common in wellness-focused packages today.

Sit-Stand.com’s Yo-Yo desk

There is much better use of equipment such as monitor arms, risers and ergonomic mice and keyboards now, but there are still far too many products that are poorly designed But as President of Canadian dealer group Basics Office Products Sean Macey reports, many businesses need to go further in their efforts to provide well-designed solutions. “There is much better use of equipment such as monitor arms, risers and ergonomic mice and keyboards now, but there are still far too many products that are poorly

designed and simply bought because they are cheap and cheerful. The number of unhealthy chairs sold is considerable, with firms buying based on price rather than consideration of the fact that someone has to sit in them for eight hours a day.”

However, Kerst believes the momentum is now unstoppable: “Change is happening at a rapid pace and firms require new ways of thinking and new skills for success. As an industry, we need better tools to help clients plan and envision how their office space is being used. Increasingly intelligent systems will use workplace analytics to assess a range of metrics such as meeting space utilisation and ergonomic workstation adjustments. This will allow them to gauge the way employees interact with their workspace environment.

“These artificial intelligence, data-driven systems will help furniture manufacturers provide multi-use products so their clients can stay active, productive and healthy in today’s flexible work environment. It’s an exciting time to be in this dynamic industry and the future looks bright for those willing to embrace change.”

FEATURE Ergonomics & Furniture

Perch seating is another option – it allows employees to keep an upright posture and helps to relieve pressure on the back and legs, while creating an open hip angle that is similar to the form the human body naturally adopts when weightless in space.

This ergonomically-correct posture helps keep staff focused and engaged.

FELLOWES EXPANDS IN WELLNESS In November 2017, Fellowes Brands announced the acquisition of ESI Ergonomic Solutions, a Phoenix, Arizona-based provider of ergonomic solutions that promote a healthy working environment. OPI speaks to Jeff Dryfhout, VP of Global Branding and Air Treatment at Fellowes, about the strategy behind this acquisition and the company’s involvement in the wellness sector in general.

OPI: What does the ESI acquisition bring to Fellowes that you didn’t have before?

JD: It further establishes Fellowes as an emerging player in workspace wellness.

ESI principally serves the contract furniture market which nicely complements Fellowes’ strength in the business products channel.

Both companies share the same business values, entrepreneurial spirit and focus on people which gives us great confidence about our future together.

OPI: What, in your opinion, is the motivation for firms’ increasing focus on the ergonomic aspects of their workplace?

JD: Organisations are strongly focused on a healthy work environment today, specifically the ergonomic aspects, primarily because of

its benefits to both company and employee. The provision of wellness solutions helps workers achieve their best at work, while demonstrating in a tangible way that the company values and cares for them.

Additionally, these solutions help employees stay healthier and enhance recruitment and retention. All of this saves the business money.

OPI: Is further expansion in this sector now a major part of Fellowes’ strategic plan moving forward?

JD: Fellowes has always been about helping people to be their best. And yes, as an emerging player in the workspace wellness movement, expansion of well-being solutions in both the business products channel and contract furniture market will continue to be a strategic focus of ours.

Above: Jeff Dryfhout Below: ESI Ergonomic Solutions’ Titan Edge computer station

December 2017/January 2018

OPI: What’s the history of Fellowes’ connection with workspace wellness?

Jeff Dryfhout: Fellowes started off in the ergonomic accessories business, but then entered the indoor air quality market with our AeraMax air purifiers where we have experienced strong growth.

The growth of workspace wellness is a movement that isn’t limited to one particular sector. It now crosses into other categories such as furniture, where the focus is

on sit-stand workstations and adjustable-height desks.

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RESEARCH

WORKING

Special Issue HEALTH & WELL-BEING

Well?

Happy employees not only create a healthier, more productive workforce, they also make a difference to a company’s bottom line – that’s the idea. Michelle Sturman takes a look at different research studies that back up these statements

GLOBAL WELLNESS AND THE ECONOMY Research undertaken by the Global Wellness Institute (GWI), a research and education resource for the international wellness industry, estimates that the global wellness economy in 2015 was worth $3.7 trillion. Of this, workplace wellness makes up $43 billion, which includes employer incentives to address employee health risk behaviours such as smoking, stress, lack of exercise etc. Increasingly, GWI says, employee well-being is also becoming linked to fitness & mind-body (worth $542 billion) and healthy eating, nutrition and weight loss (worth $648 billion).

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SCOPE FOR WELLNESS PLANS The current workplace wellness market is centred on the wealthiest nations and multinational corporations, and is concentrated in North America and Europe.

It means that in these geographies there is plenty of scope for business opportunities in terms of providing workplace wellness programmes and services, designing and constructing healthy work environments, offering ergonomic furniture, etc.

And there certainly appears to be a need for all of these. The Global Wellness Economy Monitor January 2017 report warns, for example, that, as the workforce ages, workers will suffer more chronic diseases. When disengagement at work, medical costs and productivity losses are factored in, costs to the global economy reach 10-15% in output.

The report includes some sobering other statistics:

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• 18% of the labour force will be over the age of 55 by 2030 • 52% of adults are overweight/obese • 76% of people are struggling/suffering with physical well-being • 24% of staff are actively disengaged in the workplace

Unsurprisingly, North America leads the way in the number of employees with access to workplace wellness programmes and services (52%), followed by Europe (24%). The rest of the world is significantly behind with Middle East and North Africa (7%), and Latin America and Asia-Pacific (both 5%), while sub-Saharan Africa offers just 1% of workers access to wellness programmes and services. Overall, GWI estimates that only around 9.5% of today’s global workforce is covered by any kind of workplace well-being provision.

In terms of expenditure, the US spends the most by a wide margin ($14.43 billion), followed by Japan ($3.37 billion), Germany ($3.13 billion), the UK ($2.34 billion) and France ($2.03 billion).

The figures for the US are high compared to other countries due to medical care, which is primarily paid for by

employers through health insurance. This has led to the US developing innovative wellness services to mitigate the costs to business, with progressive companies expanding employee well-being to include mental health, unlimited holiday, sponsored community service, flexible working, work-life balance, etc.

The good news is that wellness at work is gaining serious traction, particularly as businesses seek to stem the increasing costs of unwell staff. Eventually, GWI expects wellness programmes to be replaced by a more holistic approach to health and well-being that will become standard within companies.

Accordingly, the projected annual growth rate of the workplace wellness industry is 5%, with an estimated market value of $55.1 billion by 2020.

For more information and the full report visit: www.globalwellnessinstitute.org.

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New information from the European Agency for Safety and Health at Work states that health and safety in the workplace is becoming increasingly important as work-related accidents and illnesses cost the European Union (EU) a minimum of €476 billion ($564 billion) on an annual basis. On a global basis, this rises to a staggering €2.7 trillion, or just under 4% of worldwide GDP. The main factors responsible for almost 80% of fatalities caused by work-related illnesses and accidents across all EU countries are: cancers (25%), muscular and skeletal illnesses (15%), circulatory diseases (12%) and injuries (12%).

For more details visit: https://osha.europa.eu.

Workplace Well-being

According to the 18th annual Employee Health Benefits 2016 survey by the Kaiser Family Foundation and the Health Research & Educational Trust, which provides current details of employer-sponsored health benefits in the US, there is continued interest in encouraging employees to improve their health.

Research found that many – mostly large – businesses now offer health screening programmes, including health risk assessments, along with incentive schemes. Biometric screening is offered by 20% of small firms and 53% of large firms. The survey also discovered that 14% of large employers tied financial incentives to employees meeting certain outcomes, such as a target cholesterol level.

The majority of large firms (83%) and almost half (46%) of small companies offer a programme in at least one of the following areas to promote well-being: weight management, smoking cessation and behavioural or lifestyle coaching.

Additionally, companies are looking at new avenues such as retail health clinics and telemedicine to cover well-being options in the workplace.

For more information and the full report visit: www.kff.org.

THE COST OF WORK-RELATED ACCIDENTS AND ILLNESSES

RESEARCH

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Special Issue INCENTIVISING HEALTHY LIVING HEALTH & WELL-BEING

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The good news is that wellness at work is gaining serious traction, particularly as businesses seek to stem the increasing costs of unwell staff

WORK-LIFE BALANCE: AN INDICATOR OF HAPPINESS

December 2017/January 2018

The fifth World Happiness Report 2017, written by a group of independent experts, is a landmark survey of the state of global happiness. It ranks 155 countries by their happiness levels – Norway came out on top, incidentally – and was released at a United Nations event in March that celebrated the International Day of Happiness.

As people around the world spend so much of their life at work, it is important to understand the role employment and the workplace plays.

As would be expected, those in well-paying jobs are happier with their lives and work, but there are other aspects at stake as well.

Work-life balance is a strong predictor of happiness, as well as job variety, learning new things, job security and social capital.

Conversely, health and safety risks and feeling disengaged at work were linked to lower levels of happiness.

For more information and the full report visit: http://worldhappiness.report.

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RESEARCH

I

PREVIEW: THE STATE OF THE OP INDUSTRY 2017-18

www.opi.net

t’s been another turbulent year in the global business supplies industry. Despite economic recovery in most markets, overall demand for traditional office supplies is steady at best, and in decline in many countries. Instead, distributors are reporting increasing sales of alternative product categories and services, particularly facilities supplies and business gifts. Managed print services (MPS) is also back on the agenda for many OP distributors. Overall, while margins continue to be under pressure, there are certainly those that have managed to buck the trend.

So what is the current estimated value of the core OP market, how has this changed in 2017 and what’s the forecast for 2018? Which of the various sub-categories that resellers are now selling are faring the worst and the best? What share of sales does MPS now account for and who are these distributors that continue to do well among all the pressures they are facing?

And what about Amazon Business which is now a force in several countries? What share of the core OP market does it have and where is the online giant most successful? Also, and with the more established players in our industry in mind, what effect has the disposal of Staples’ and Office Depot’s international business had on the market?

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PROVIDING THE ANSWERS There are so many questions in today’s fast-changing market that senior industry executives need an authoritative source that gives them the necessary information and allows them to evaluate and then drive their businesses forward against an ever-evolving competition.

Martin Wilde Associates (MWA) and OPI will be exploring all these issues and provide some answers in the forthcoming report, The State of the OP Industry 2017-18, the fifth edition of this annual research study and ‘must-have’ sourcebook for our industry.

The report investigates the OP markets in the US, Canada, Benelux, France, Germany, the UK and

Australia in detail and is based on insights and data collected from in-depth and online interviews with senior OP industry executives in those countries. It also comprises the 2017 financial performance of the key 15 OP distributors in the US and Europe, as well as highlights the main industry events of 2017.

Aside from the aforementioned issues, the data collected from the industry executives aims to answer these questions for each country market covered:

Senior industry executives need an authoritative source that gives them the necessary information and allows them to evaluate and then drive their businesses forward against an ever-evolving competition l l l

l l l

What was the value of the addressable facilities supplies market in 2017?

What are respondents’ overall revenue and margin trends in 2017/2018?

What share of respondents’ sales are accounted for by jan/san supplies, breakroom/catering supplies, workwear/PPE, business gifts/ promotional products, MPS and well-being/ ergonomic products in 2017/2018?

Which product categories are growing or declining overall in 2017/2018?

Which distribution channels won or lost share in 2017/2018?

What are the shares of respondents’ sales in e-commerce and own label products in 2017/2018?

The State of the OP Industry 2017-18, published in March 2018 by MWA and OPI, is available for £599 ($800) if ordered before 31 January 2017 and for £850 thereafter. To order your copy, please visit www.opi.net/soti2018.

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Winners of the 17th annual European Office Products Awards will be announced at a glittering industry dinner on 6th March 2018 at the Hotel Okura, Amsterdam

Presentation Dinner 6TH MARCH 2018

BOOK NOW

To book your seats at this unmissable networking event or for more details,

visit www.opi.net/eopa2018 or email awards@opi.net

VENDOR PROFILE

Pilot, SINCE 1918

with merchandise from the West, but leaving its harbours empty. As proud Japanese, they probably felt disappointed: didnâ&#x20AC;&#x2122;t Japan have anything to offer the world?

Spending many months a year aboard boats, the budding entrepreneurs were also disheartened by how quickly the nibs from their fountain pens rusted while at sea.

It was probably these two frustrations that were the main reasons which sparked the creation of the company: the desire to make a high-quality product fully made in Japan, and the quest to overcome a technological challenge.

The first prototype, equipped with a nib from a new alloy, was completed in 1916. Two years later, in January 1918, the Namiki Manufacturing Company was born. As early as 1926, the company had showrooms in London, New York and Shanghai, making it one of the first Japanese companies to venture abroad with determination and ambition.

DRIVING FORCE To this day, Pilot continues to be driven by its initial goals to bring high-quality and technologicallyadvanced writing instruments to the rest of the world.

Its geographical expansion has never stopped and Pilot is now present in more than 100 countries through a dense network of subsidiaries and distributors.

Marine values still run deep in Pilotâ&#x20AC;&#x2122;s DNA. Sailors never rest, always look at the horizon, are curious, bold and daring dreamers. It is probably these character traits in Pilotâ&#x20AC;&#x2122;s founders that has made the company one of the innovators in the writing instruments sector over the past century.

The desire to overcome technical challenges and create new writing sensations through best-inclass technology has been a trademark of Pilot since its creation in Japan in 1918, as this potted history shows

Ryosuke Namiki

Masao Wada

To this day, Pilot continues to be driven by its initial goals to bring high-quality and technologicallyadvanced writing instruments to the rest of the world

December 2017/January 2018

I

n January 2018, it will be exactly 100 years since two Japanese entrepreneurs founded the Namiki Manufacturing Company and launched the first fountain pen fully made in Japan: the Pilot. 20 years after that launch, in 1938, Pilot would be promoted from product name to company name.

Ryosuke Namiki and Masao Wada were both engineers in the merchant marine. Since the Meiji restoration of 1868, Japan was still modernising and working hard to catch up with Western powers. In a country that was still developing, Namiki and Wada witnessed merchant ships coming into Japan loaded

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VENDOR PROFILE Pilot Corporation of Europe

Celebrating WITH A SPLASH – AND A CELEBRITY OPI speaks to Ken Schoellhammer, European Brand Manager at Pilot Corporation of Europe about how the company is marking its anniversary in 2018

OPI: 100 years in business is a very special occasion. How are you planning to celebrate the event in Europe specifically in 2018?

Ken Schoellhammer: It is indeed a very special occasion for our company. Marketing-wise, it is a great opportunity for an outstanding campaign. Awareness of the Pilot brand is generally good already in Europe, although it needs boosting in some countries.

One of our key priorities was to use this anniversary opportunity to highlight Pilot’s leading products. Of course we want to throw a big party to celebrate, but the aim of the party is also to raise our brand and product profile in the minds of our distributors as well as consumers. We wanted to come up with something very special and unique for this 100th anniversary.

Ken Schoellhammer

Of course we want to throw a big party to celebrate, but the aim of the party is also to raise our brand and product profile

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Typically, you would launch a new range of products that embodies the special occasion. This would then be followed up with top-notch advertising material, a dedicated website, plenty of brand content, etc.

But we felt there was still something missing, a kind of special ‘wow’ factor that would make the campaign really stand out and be seen. Because, let’s face it: in our particular sector we don’t have the financial resources of industries such as automotive or high-tech. Pilot is probably the writing instruments’ brand that invests the most in media and advertising, but our share of voice still remains tiny in the universe of advertisers.

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OPI: So how can you be more visible with a limited budget – what did you come up with?

KS: We explored the concept of a celebrity endorsement. This type of campaign can build brand equity and awareness. You have to be careful though as there can be pitfalls. It could be the celebrity overshadowing the brand, so even if the ad recall is good but brand attribution weak, the campaign overall cannot be considered a success.

When we started on this path, we set ourselves a list of objective criteria: the international character of the celebrity, because the playground for this particular campaign is Europe; his/her cross-generational appeal; and perhaps most importantly how he/she resonates with the type of product we manufacture.

As a marketer, I see myself as a constant gardener – my approach is perennial and I’m not looking for one-shots that provoke a big spike in noise and activity that cannot be sustained over time.

My belief is that there has to be a connection at a deeper level. Obviously, Nike and Michael Jordan come to mind as the most successful endorsement ever, but very often it is about piggy-backing on a famous celebrity just because he/she is famous.

Mika, the celebrity we chose to partner with and who accepted our proposal, ticked many of our criteria boxes. He is best known as a singer obviously.

But first and foremost, he is an artist. An artist who has chosen music as his preferred way of expressing a unique worldview. But that’s not it. His tailor-made, unique outfits he wears on stage – the design of which he is very much involved in – and past collaborations with Coca Cola and Swatch designing limited-edition products all show that he has expressed his creative side outside of the music industry.

He has had tremendous success as a TV personality and has appeared on The Voice in France and The X-Factor in the UK. In September 2017, Mika won the prestigious Rose d’Or international television award for best entertainment programme for his variety show Stasera Casa Mika in Italy. All of this speaks volumes about his creative mind.

Pilot Corporation of Europe, meanwhile, began work on its communication platform #happywriting in 2014. This ongoing campaign celebrates the emotional aspects of physically holding a writing instrument and explores issues such as creativity, self-expression, relaxation, learning and connecting with others.

*

In

OPI: Tell me a bit more about these limited editions that Mika Pilot has been a part created with you?

KS: The limited of my life since I was a small editions by Mika child. encompass the four bestselling ranges and of the Pilot rollerball my mother’s V7. I learned family, each in six Pilot has been a part to write draw colours: G2, V5, FriXion of my life sinceand I was a small Ball and Clicker. That’s with these pens. child.

24 designs overall. These et will be on the market only in and gs during Pilot’s 2018 anniversary myvidmother’s V7. I learned eo year. The idea is that Mika’s world t o P and draw to write is reflected on each of these 24 pens – ilo t , A pens. r il 2 0 1 7 colourful, weird, fun, unique, full of energywith and life.these p The 24 writing instruments form ean eclectic mix and tin are based on a number of themes: pop g sculture, Pilot’s v idinspiration maritime origins and candy stores. Another e came from the popularity of collectable cards,osot oeach P il of the four ranges is like a family of unique pens that o t , A p ril 2 0 17 consumers can collect and enjoy together.

Apart from these limited editions that represent the core of our anniversary campaign, we’re supplementing and underpinning this with a whole range of marketing and advertising collateral. This includes an exciting new television commercial directed by the very talented Lukas Zanotto and production company TroubleMakers; a dedicated website, and of course a whole array of POS for the Pilot has been a part mass market, retailers, superstores, etc. Overall,of I’mmy life since I was a small confident that we have covered all bases. child. I remember stealing

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own

n e M e gr ik gr a ’s o h is h is m wn w m o rd s, fro w o rd s, fro *

I

I remember stealing my father’s V5

Pilot Corporation of Europe

OPI: Your celebration year is obviously only just kicking off, but what is your view now – almost in hindsight – on collaboration with non-industry personalities and celebrities?

KS: I believe that collaboration with external talent is definitely something we should be looking at again in the future. It’s positive to expose our company to new energies, inspiration and influences from outside our industry. I will never forget my favourite-ever brand campaign of Absolut Vodka which started with the successful collaboration of musicians and artists – including Andy Warhol – in New York in the 1980s.

The collaboration with artists fits in well with Pilot’s ethos and what we do, and it can be a very powerful combination. We also, for example, began work with artists for the Pilot Pintor, our new paint marker range in 2017, producing videos of their creations.

VENDOR PROFILE

Mika, as part of our anniversary campaign and with #happywriting in mind, was thrilled to have the opportunity to redecorate a number of pens that have been a part of his life since childhood.

Overall, we felt there was a real fit and a real connection between Pilot, its products and Mika.

I remember stealing my father’s V5

*

In

M

ik a

’s o wn

m w o rd s, fro

my father’s V5 and

h is

OPI: What has been the reaction from your my mother’s V7. I learned distribution partners? to write and draw KS: Reactions from our distribution partners across with these pens.

Europe have been excellent. In those countries where et in Mika is best known, such as southern Europe or the g s v id eo UK, the response has been particularly enthusiastic. to P ilo t , But even in nations like Germany where Mika doesn’t A p r il 2 0 17 enjoy the same celebrity status, reactions have been very positive because of the sheer attraction, energy and momentum of the limited editions as well as the marketing assets and tools that we have produced.

Everyone has been complimentary about our 100th anniversary and how we’ve chosen to celebrate it in our own unique style. On a more pragmatic note, I believe there’s a real sense among our partners that the whole campaign has enough gravitas and attraction to actually increase sales – and that is, very bluntly-speaking, what ultimately matters the most to them! gr

e

December 2017/January 2018 39

Creating

EVENT

PAPERWORLD 2018 PREVIEW

NEW

IMPULSES

At a time when tradeshow fatigue is not uncommon, Paperworld organiser Messe Frankfurt is trying hard to inject new impulses and creativity into the event – by Joshua Allsopp

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aperworld returns to Frankfurt, Germany, from 27-30 January 2018. It’s a non-Plaza year this time, meaning that both exhibitor and visitor numbers are likely to be lower than during Plaza years. However, event organiser Messe Frankfurt is confident that, with its wide-ranging complementary programme, Paperworld will remain the go-to event for the global stationery industry.

As Paperworld Director Michael Reichhold says: “We are investing in a very varied, high-quality supplementary programme in order to establish Paperworld’s position as a networking and training platform, and to give the sector new impulses and bring supply and demand even closer together.”

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EASY NAVIGATION Like last year, the fair has been divided into two main broad areas – the B2B-focused ‘visionary office’ which encompasses commercial supplies and equipment, and ‘stationery trends’ with more of a B2C emphasis and products in the area of school, giving, writing and lifestyle. This set-up, Messe Frankfurt says, will make it easier for trade visitors to navigate their way around the 1,500+ expected exhibitors across the fair’s eight halls.

The visionary office, which includes the Future Office (see ‘Back to the Future’, right), broadly-speaking showcases categories that make up the workplace of tomorrow. Here, visitors can find a selection of cutting-edge products and innovations, including appliances and furniture, organisational resources and presentation aids, stationery, writing and drawing tools, computer and printer accessories, and recycled printer supplies.

On that latter point, during the four-day Remcon seminars in Hall 6.0 which form part of Remanexpo, visitors can also find out about the latest developments in the area of recycled printer supplies and hardcopy components.

For fresh ideas and a few more unconventional products, visitors can check out the BMWi promotional area in Hall 6.1 where young start-up companies will be showcasing what’s new and innovative in the paper, office supplies and stationery sector.

The annual Trend Show – which has become a major platform for the exchange of ideas, information and style among Paperworld visitors – will also showcase some of the top trends in the world of stationery, divided into three key approaches to common lifestyle and workplace designs that are ‘hot’ in the sector right now. Exhibitors will be able to use the space’s interactive area to show off their latest innovations and guided tours will allow attendees to fully experience what’s on offer.

SUSTAINABLE OFFICE DAY The last day of Paperworld 2018 marks Sustainable Office Day during which the organisers are hosting a series of lectures and discussion panels, with experts providing insights into the latest developments of workplace sustainability and environmentally-friendly procurement.

As always, Paperworld features a number of award ceremonies, highlighting the Product of the Year, Industry Personality of the Year, Specialist Retailer of the Year, and the ISPA Award (organised by the International Stationery Press Association). As part of the Sustainable Office Day, there will also be an Office & Environment awards ceremony, while the Recycler Awards will be presented to chosen industry representatives following the Remcon seminars.

For an interview with Paperworld Director Michael Reichhold, look out for the February issue of OPI.

THE FUTURE V isitors to Paperworld 2018 can look forward to finding out more about the healthy workplace as its special exhibition Future Office returns.

After the popularity of last year, the organisers have once again dedicated Hall 3.0 to the exploration of the trends and technologies that are expected to shape the world of work. This time round, the Future Office will take an in-depth look specifically at health and well-being in the office, a hot topic right now, with many employers increasingly realising the benefits of looking after their employees.

The design [of the Future Office] is based on the idea that you only become aware of the negative factors when you use the office on an everyday basis BIG CONCEPTS According to the German Federal Institute for Occupational Health and Safety, employees take around 15 days a year off sick on average– and the figure is rising. Research has found that a healthy, safe workplace with opportunities for personalisation and the ability to withdraw to a quiet space are crucially important in order to maintain motivation and productivity among staff, and reduce absences.

“It is an area where companies need to act,” comments Reichhold. “That is why employers are increasingly investing in the management of employee well-being. But often these are big concepts that seem difficult and daunting to apply.

By way of helping with this, Paperworld’s Future Office imagines what all these innovations and trends might look like when put into practice in a real-world scenario.”

He adds: “We are putting emphasis on this important topic and will be presenting some solutions.

There will certainly be lots of new discoveries for visitors, be it in the special show itself or in the expert lectures and guided tours.”

On arrival to the Future Office, visitors will first walk through the ‘bad office’, an example of a typical, crowded, noisy and uncomfortable workplace.

Following a pathway, they will then be led through the six areas that represent solutions to this ‘bad’ environment: space, furniture, catering, working practices, staff, and tasks.

EVENT Paperworld 2018

Back to

Special Issue HEALTH & WELL-BEING

HANDS-ON EXPERIENCE Visitors will have the opportunity try out ergonomic seating arrangements and find information about biorhythms and the quality of meals; they can also experience the tranquil atmosphere of the quiet areas.

After that, they can discuss their new impressions in the so-called café display. Each individual section in the Future Office will feature acoustic and lighting effects to simulate the space in action.

New for 2018 is an exhibition area within the space to allow brand manufacturers to showcase the latest in health-conscious, user-friendly furniture and accessories. Delegates can experience the designs first hand and see them in a simulated office environment. Exhibiting manufacturers for 2018 include: Active Office, Agoraphil, Archyi, Casio, Durable Hunke & Jochheim, Fellowes, Ideal, Legamaster, Magnetoplan, Jakob Maul, Novus Dahle, Pelikan, Sigel, tesa and Wilkhahn.

The concept for the Future Office is once again in the hands of architect André Schmidt who says: “The design [of the Future Office] is based on the idea that you only become aware of the negative factors when you use the office on an everyday basis. That is why the central point is the ‘Bad Office’, where life is loud, crowded, hectic and uncomfortable.”

Special Issue

VENDOR SPECIAL

December 2017/January 2018 41

EVENT

Still PULLING

BIG BUYER REVIEW

in the CROWDS

Big Buyer continues to be the annual focal point for the Italian stationery and office supplies market, with great attendance again at this year’s show – by Andy Braithwaite

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t the end of November, about 7,000 visitors congregated in Bologna, Italy, to see what 280 exhibitors from across Europe had to offer in terms of innovative new products and services.

Big Buyer General Director Simonetta Pfeiffer said: “This year’s show offered a complete experience that was perfectly in line with market developments and changing end-user demands. The most important international manufacturers exhibited at Big Buyer, generating considerable attention from global buyers.”

She added: “We always strive to make Big Buyer a truly international and multi-targeted event, and this year we had considerable interest from foreign

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NEXT YEAR The next Big Buyer will take place in Bologna, Italy, from 21-23 November 2018.

buyers, particularly from the Balkans and countries in Eastern Europe.”

The timing of the show so late in the year may seem strange to some, but as Paul Phelan, SVP of Sales and Marketing at Pilot Europe, told OPI, product selection for 2018 catalogues in Italy is still taking place. As such, Big Buyer remains an important launch pad for new products – as highlighted by Pilot’s introduction to the Italian market of a range of limited edition pens co-designed by pop star Mika to mark the company’s 100th anniversary in 2018.

For Stuart Seymour, European Sales and Marketing Director of Hopax Europe, this year’s Big Buyer was an opportunity to re-connect with the sales agents of Siam, the company’s distributor in Italy. The go-to-market sales model in Italy is still dominated by independent agents, so Seymour recognises the importance of presenting new products and pointing out product attributes and selling points in person to agents who are also representing other brands.

GAINING TRACTION It was a similar story for Ken Trenberth, Group Trading Director at desktop office supplies manufacturer Rapesco. The company only entered the Italian market about a year ago in partnership with distributor Tecnoteam, but is already seeing traction with a listing in the local ADVEO catalogue for 2018, while other agreements are in the pipeline.

The proliferation of paperbased stationery exhibitors at Big Buyer underlines the resilience of traditional categories in Italy OPI also bumped into several members of Bureau Vallée’s senior management in the Big Buyer aisles. Founder Bruno Peyroles and his team were there mainly to finalise vendor programmes for the franchise group’s entry into the Italian market which is scheduled for the first half of 2018. The company’s master franchiser in Malta, Marc Frasson-Botton, was also at the show to explore ways of increasing the presence of Italian brands in his stores, given the proximity of Malta to Italy.

The proliferation of paper-based stationery exhibitors at Big Buyer underlines the resilience of traditional categories in Italy, with many visitors from local retailers in attendance at the event.

Recognising this trend, Bi-silque’s Business Development Director for Italy, Danny Berendsen, had tailored the company’s booth towards school and educational buyers as opposed to office and workplace purchasers.

This year’s Big Buyer was a time of celebration for some companies, but was also tinged with sadness after the recent passing of some emblematic figures in the Italian office products industry.

Industry trailblazers Paolo Prati of Nykor Pilot Italia, Giorgio Balma of Balma & Capoduri and Renato Testa of Favorit have sadly passed away in 2017, and OPI extends its belated condolences to their families, friends and colleagues.

On a happier note, Fellowes Italy Directors Paolo and Monica Leonardi hosted a wonderful cocktail evening to celebrate the 100th anniversary of Fellowes, while Stefano di Veroli and his team held a party to mark the 25th anniversary of franchise chain C’ART.

MORE INFORMATION...

For more exclusive content from Big Buyer 2017, including interviews with Adriano Alessio, Francesco Villa of leading retailer Buffetti and Andrea Ghidini and Franco Grossi of wholesaler Office Distribution, visit the Magazine section on opi.net.

December 2017/January 2018

Having said that, the B2B sector was also well represented at Big Buyer thanks to the efforts of trade association AIFU, whose members include the leading players in the Italian market. In what has become a Big Buyer tradition, AIFU President Adriano Alessio gave his annual overview of the Italian OP delivery channel, providing details of the latest sales and category trends. While there have been low single-digit fluctuations during the year, the value of the market overall for the nine months to the end of September was flat compared with the same period in 2016, Alessio revealed.

This stability was largely due to price increases.

And with volumes falling, the underlying trend is still downwards, something that was seen most clearly in the ink and toner category which was down in the double digits. Together, the ink/toner and paper categories still account for almost 50% of sales by the biggest B2B resellers in Italy, and the reliance on these declining categories is obviously a concern.

Unsurprisingly, the growth categories that Alessio referred to include jan/san, safety and breakroom, although they still account for a relatively small part of the overall mix. Safety was the fastest-growing category, up almost 50% year on year. While the AIFU figures didn’t refer to specific resellers, this jump in the safety category was arguably largely down to Lyreco which has been investing in this area for the past few years.

Also at Big Buyer was Anita Singh-Gunther of European trade association SOFEA who spoke about the organisation’s environmental product labelling initiative and the SOFEA online platform which is about to be launched.

At the end of a successful show, Mariella Nasi Pfeiffer, Big Buyer founder and President, concluded: “Given the positive results and feedback, we have already started work on the 2018 event, with the aim of organising another multi-faceted, well-targeted fair for an international audience.”

EVENT Big Buyer 2017

CELEBRATION AND SADNESS

43

EVENT

o t g n i b Clim CLIMB OF LIFE REVIEW

SAVE LIVES

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t the beginning of November 2017, over 100 members of the UK business supplies sector came together in the Lake District for the Climb of Life (COL).

The reason? To raise money for the Institute of Cancer Research (ICR), the largest cancer centre in Europe, which works with many international medical and research organisations with the ultimate aim of completely defeating the disease.

COL, celebrating its 30th anniversary this year, has for the past 11 years been fundraising for the ICR. This year’s climbers tackled 30 of England’s most challenging peaks and in the process raised more than £103,000 ($135,000) – another record-breaking amount. Long-standing COL organiser Graeme Chapman MBE said: “To have a dry – albeit very windy – day for the first time in many years was a real bonus for our trekkers. Many had travelled from all over the UK and one – Michael Morris – all the way from Chicago in the US.

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To reach over £100,000 for the fourth year in succession is staggering and we achieved this thanks to the many enthusiastic climbers and fundraisers.

One of these fundraisers is OPI which, again, took top spot this year for its very significant contribution.

“I feel honoured and humbled that COL is now known as the top charity event in the UK business supplies calendar. Thanks to the support from virtually every corner of the country, we have been able to up the monies raised for the 22nd year in a row.”

The funds generated

by COL really make a big difference in our mission at the ICR to discover the medical advances that can defeat cancer While it’s a UK initiative, COL now goes far beyond just the country’s OP community, as OPI CEO Steve Hilleard points out: “I am delighted that OPI was again the lead corporate fundraiser, contributing £27,614 towards the overall total. I am hugely proud of my team’s efforts, but also immensely grateful for the extraordinary and generous support that we have received from quite literally every corner of the world for this wonderful initiative.”

MAKING A DIFFERENCE Hilleard’s words are echoed by Professor Paul Workman, CEO of the ICR, who took part in the climb with his wife Liz and received the coveted cheque at the end of a very long day for all the climbers: “On behalf of the ICR, I would like to thank all the Climb of Lifers for their support and for raising a record amount this year. What a great group!

“The funds generated by COL really make a big difference in our mission at the ICR to discover the medical advances that can defeat cancer, especially to meet our big challenge of overcoming the ability of cancers to adapt, evolve to nastier forms and become resistant to treatment. Thanks again to everyone involved. You are inspiring.”

GENERATION GAME

Social media:

Specia HEAL WELL

Special Issue HEALTH & WELL-BEING

HELP OR HINDRANCE IN THE OFFICE?

A

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ccording to a recent UK study conducted

by Free Office Finder on the use of social media at work, 51% of employees claim that social networking makes them less productive at work, with 9% saying that it reduces the amount of work they get done by around a third.

These are scary numbers.

It’s long been evident that social media is having a transformational effect on our day-to-day lives, from allowing us to check up on old school friends we haven’t spoken to in years to enabling us to have conversations across oceans and time zones in an instant. However, one aspect of the impact of social media that hasn’t received that much attention is its effect on how we work. Though companies are beginning to adapt to the new connected reality of the 21st century, it’s proving to be a slow process founded on much trial and a lot of error.

A key question for any business looking to get the most out of its staff has to be how to manage social media use in the workplace and point it in positive directions. The first stage of achieving that is understanding just what its effects are now.

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SPANNING GENERATIONS It’s worth noting that – contrary to popular belief – this isn’t merely a millennial issue. Although Pew research found that it was less prevalent among older respondents, social media use in the office very much transcends and cuts across generational divides.

Though 34% of respondents to our own survey said that social media had a positive effect on their productivity – with a 6% slice even saying they achieved 30% more because of it – a majority see it as a drag on, rather than a boost to, their ability to get things done in the office. As mentioned before, 9% of employees in fact claimed that it negatively impacted their performance to the tune of over 30% – that’s a significant loss of productivity and ultimately a big hit on a company’s bottom line.

Of course, there are many types of social media and some have the capacity to change entire industries as we know them, and indeed change them for the better – making them more productive, efficient and valuable. Look no further than the effect LinkedIn has had on the recruitment industry to prove this point.

That said, it also has the capacity to be supremely ‘disruptive’, but not in a good way.

It’s evident that there is often a disparity between company policy and what actually happens. Only 23% of survey respondents had been disciplined for social media use despite over half acknowledging that their work had suffered because of it.

Unsurprisingly, social media has social implications for the office as well. In this digital era, our private

Specia

VEN SPE

lives are more open to scrutiny than ever before, not just to old school friends, but also to our managers and colleagues. In days past, what you did in your free time was your own business – oversight ended at the office doors.

LACK OF PRIVACY However, in an era of relaxed privacy policy settings, the ability of managers and workmates to monitor our lives through digital means is almost boundless.

And as the study shows, this is exactly what they’re doing. Worryingly, 84% of people surveyed admitted to having ‘stalked’ a colleague, while 68% of them acknowledged thinking less of a colleague due to something they saw on social media.

These social effects can also have implications for office productivity. Especially in companies that rely heavily on teamwork, social media can disrupt relationships between team members and foster negative opinions of colleagues, ultimately working to bring down productivity.

Special Issue

VENDOR SPECIAL

Henry WisbeyBroom, Head of Public Relations, Free Office Finder

A key challenge for businesses going forward will be to figure out how to get the best out of [social media] and eliminate the negative realities as well as perceptions One simple fix may be to update or implement regular training for staff and managers alike on how to manage their social media accounts in the professional environment. Similarly, having clear policies and boundaries regarding social media use at work may help to reduce some of its negative effects on productivity.

It’s still too early to fully assess how social media is really changing our working lives. After all, Facebook, for example, was only founded 13 years ago – two years after LinkedIn first made an appearance – while Twitter is younger still. However, what is clear is that a key challenge for businesses going forward will be to figure out how to get the best out of these new technologies and forums, and eliminate the negative realities as well as perceptions.

Henry Wisbey-Broom is Head of Public Relations at London, UK-based commercial property brokerage Free Office Finder. He frequently writes about office space and workplace culture.

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5 MINUTES WITH...

Tricia Burke

CAREER Q&A Describe your current job.

As President of Office Environment Company in Louisville (KY) in the US, I am a client connector who helps with new business development in both the office supply and furniture areas of our company.

What special skill do you possess?

I am an excellent poster maker. It dates back to my high school days. Need a poster? Call me!

What scares you?

I have an unusual fear of water towers. I am not sure why... I just have.

What are you most proud of?

Having introduced many people to the art of ‘porching’. It’s simply spending time together, coming together on the front porch and usually enjoying an adult beverage. It is purely sharing the gift of presence with another person.

What was your last online search?

Confirming who wrote the song Celebration.

Yes, Kool & The Gang.

What would be a good theme song for you?

Celebration by Kool & The Gang.

Your pet hate?

Possums. Not that I have ever had one as a pet, of course.

Your favourite gadget?

My Samsung Galaxy S7 smartphone.

What’s your favourite cuisine?

It is a toss-up between my Mum’s spaghetti and meatballs or her fried chicken.

If you were President, what would be the first law you pass?

Healthcare for all.

What’s your guilty pleasure?

Woodford Reserve bourbon on the rocks.

www.opi.net

Favourite time of the year?

Summer, August in particular. It is a special time for our family – being in the sun, swimming, kayaking, porching, cycling and simply enjoying the outdoors. We love the time at our lake house and sitting on the dock.

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What words do you use the most?

“Here’s a thought.” I realised I use this phrase frequently when there was a big sign with those words on it at a surprise party for my 30th birthday. When I asked my friends if I said that a lot, they told me “all the time”!

What was the last gift you gave someone?

A wallet from River Island for my friend Cindy’s birthday.

What’s your favourite place to visit in your homeland?

Truro, Massachusetts – Cape Cod area. It is where we had our honeymoon. Love it.

If you could have the answer to any question, what would you ask?

What does one experience in life after death?

If you could change one thing about the industry, what would it be?

It would be the full inclusion and development of women leaders. I would make sure their voices are heard and they are participating in the boardrooms.

Best moment in your career so far?

The best moment of my career was when the time and effort we put into developing a trusted vendor relationship with a client paid off and they utilised Office Environment Company for a significant portion of their office renovation. I’m sure it didn’t hurt that there was bourbon involved.

What do you like the most about the business supplies industry?

It has to be the people.

It truly is a relationship business. We all have our stories about how we started, what generation we are in our respective companies, our favourite products and the various ways in which we take care of our customers. It is fun.

What personal item do you have on your desk?

A gold miniature kaleidoscope. This reminds me that there are always a myriad of ways of looking at a situation – depending on your perspective. It is important to be open to different viewpoints.

FINAL WORD

S H W

Special Issue HEALTH & WELL-BEING

HAPPY STAFF = successful company

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ll the research – and all of my experience – shows that happy employees make for more productive employees which in turn results in a more successful company.

Not rocket science and just common sense you might say. Perhaps, but it’s not always easy to know where and how to start.

I am very passionate about the culture of the company I work for and about the people in it, and I firmly believe everybody who runs a business should feel that way. Two years ago, I put together a spreadsheet with all our employees’ names, their spouses’ and their children’s names and I set out to memorise them. I determined that Holmes Custom – the company I lead – is responsible for the livelihood and well-being of all its employees and their families, so I should know every single one of them. At the time, we had 189 staff. Today, that number is more than double, so it’s a lot to take on.

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TAKING THE OFFICE AWAY FROM THE OFFICE Often, enjoying your work becomes a lot easier when you spend a bit of time outside of work with the people you see on a daily basis. As such, we are always mindful to provide opportunities for team-building events. Bowling nights, a trip to a Jumbo Shrimp game in Jacksonville, our annual Memorial Day picnic and Olympics – team-bonding at its best. We also get involved in the local (and wider) community and try to give back with beach clean-up days, Red Cross blood drives, McKenzie’s Run and Haiti 180.

In 2017, for example, I travelled with two other employees to Haiti for the sixth year in a row to deliver supplies to schools and people in need. The experience for us as a team is one that we will never forget. We also bring back a healthy perspective on life when sharing our adventures with the rest of the team upon our return. Quit complaining that the vending machine is out of Red Bull is what I’m saying – some people don’t have clean water to drink!

During the December holiday period, we push for gross revenues of $1 million or more in a month, and we reward our employees at various sales levels because it’s hard work to make that figure happen.

At various thresholds, staff earn prizes – starting with smaller ones like doughnuts in the breakroom, all the way up to $100 bills and free time-off days.

We even brand this month internally to get everyone on board and rallying behind the cause.

Last year we called it ‘The Holmes Stretch’, the year before it was ‘The Million-Dollar Month’. In 2017, we are calling it ‘The Holmie Hustle’ (cue Van McCoy’s 1975 song The Hustle). The team even created a video featuring employees answering “What does

the word hustle mean to you?” to build excitement.

Rewarding employees is not always done with prizes or money, however, and I think that’s important because otherwise you are on a slippery as well as expensive slope. Praise and public recognition for a job well done can be just as – even more – impactful and greatly improves company culture. In 2014, we started a Ninja award system whereby employees can give other staff a Ninja for a particular action that pertains to one of our core values.

Special Issue

VENDOR SPECIAL

S

S Bryan Croft, President/CEO, Holmes Custom

When employees are truly valued, they are happy and a positive company culture naturally builds The Ninjas are handed out on certificates and many staff display them proudly on their wall. At our monthly ‘All Hands’ meeting, our HR manager highlights some of the most notable Ninjas in any particular department or area. It causes a ripple effect that is exciting to see as a CEO. People step up, they want to become better and they want to be recognised. Once that type of culture and attitude is in place, it becomes engrained and it drives a company forward.

Culturally, we are a diverse company. We have employees at Holmes Custom who have been with us for over 40 years and they work right next to the recent college graduate – always an interesting learning experience both up and down the generations.

PRAISE AND RECOGNITION Being the CEO of a company is not just about developing the business plan and monitoring the finances, but investing time in the people who will ultimately contribute to those decisions anyway.

I make a point of knowing everyone’s name, taking new employees to lunch, appreciating each and every one of the people who work in my company. When employees are truly valued, they are happy and a positive company culture naturally builds, with or without the bowling, the picnics and the financial incentives.

Holmes Custom was founded in 1954. It makes customised and personalised signage and stamping products in Jacksonville, US.

NEXT ISSUE Big Interview Steve Haworth, Group CEO, EVO Group Hot Topic Mobile commerce Category Updates l Writing instruments l Office technology Events l Interview with Paperworld’s Michael Reichhold l OPI Partnership preview l EOPA preview