It’s that time of year, when Business Link Magazine invites the region’s business leaders to offer up their predictions for the year ahead.  It has become something of a tradition, given that we’ve been doing this now for over 30 years. Here we speak to Heath Roberts, Operations Director at Denby-based Axess Systems, who shares his thoughts on remote working in 2022. One of the best things about our industry is it gives us a real insight into how the world of work is evolving, through the demands of our clients. Before Covid, our order book showed us that staff coming into the office on their daily commute and sitting at a desk was still set to be the norm for the vast majority of companies. This meant their IT needs were, by and large, focussed on the technology being consumed on their premises. However, so much has changed over the past year and with the PM advising us to work from home again – if we can – remote working or, once restrictions ease, hybrid working, will continue in 2022. There has been a huge rise in businesses implementing the remote working solutions we supply at Axess Systems, working with Citrix, Microsoft and Dell Technologies, to deliver a digital workspace which allows staff to securely work from anywhere, on any device and any network. And these enquiries will, I predict, increase further in 2022. While initially we saw large organisations implement remote working systems, SMEs are now getting on board, finding that there are cost-effective options available for them too and, rather than spending thousands of pounds upfront on servers and storage, the company can pay for what it uses monthly. This will be a big deal in 2022 and beyond. This is the future of work, whether or not the virus stays around, and we all need to start prepping now. Whatever the eventuality.

The Government has given the green light for a new £13m East Midlands Institute of Technology (IoT). The University of Derby, Loughborough College, Loughborough University and the Derby College Group (DCG) will work together on the new Institute, which will create the highly advanced workforce needed to lead the digital revolution – otherwise known as Industry 4.0. The East Midlands IoT will focus on levelling up the critical engineering, manufacturing and digital skills needed by employers to address the grand engineering challenges of clean growth by embracing the advanced skills required for AI and a data-driven economy. Its pioneering graduates will be part of a net zero carbon workforce needed to lead the UK’s green and digital revolution and support the UK’s post-pandemic recovery and journey to net zero greenhouse gas emissions by 2050. Based in the heart of the East Midlands, the IoT will specialise in programmes such as Engineering and Manufacturing Technologies; Information and Communication Technology; Science and Mathematics and Construction, Planning and the built environment. The IoT will be working closely with global powerhouse employers, including Rolls-Royce, Toyota, National Grid ESO, Alstom, Fujitsu, Uniper and Bloc Digital, to ensure programmes level up the workforce with the right skills. Students will have access to a new IoT centre in Loughborough, as well as partner sites, including world class training environments in Derby at the University of Derby’s Enterprise Centre and DCG’s Roundhouse technical and professional skills college. Speaking about the announcement, Professor Kathryn Mitchell DL, Vice-Chancellor of the University of Derby, said: “We are delighted that our application for an Institute of Technology in the heart of the region has been selected. “Through our strong industry links, business experience and experience offering placements and apprenticeships in the engineering and technology sector, we understand the importance of ensuring graduates are ready to meet the region’s skills needs. “As an applied university, with specialisms in areas such as data science, advanced manufacturing, architectural technology and low carbon business support, we are well equipped to help deliver the Institute alongside our further and higher education partners from Derby and Loughborough, and within industry.” Jo Maher, Principal and CEO at Loughborough College, said: “We are absolutely thrilled to have been successful in our bid to create the East Midlands Institute of Technology. “This presents us with an exciting and inspiring opportunity to deliver world class programmes which will lead the UK’s green and digital revolution and form the beating heart of the country’s post-pandemic recovery. “It is a privilege to collaborate with such exceptional partners and anchor employers to create a pathway which will accelerate the UK’s journey to a net zero carbon economy, whilst providing incredible training and employment opportunities for people throughout the region.” Professor Rachel Thomson FREng, Pro Vice-Chancellor for Teaching at Loughborough University, said: “We are truly delighted that our bid has been successful and look forward to continuing to work with our Further and Higher Education and employer partners to deliver an outstanding Institute of Technology. This will provide much-needed digital and engineering skills for industry and business across the region, supporting our local community to access the right training and skills development at the point of need.” Mandie Stravino, CEO of Derby College Group (DCG), said: “By working together across the FE and HE sectors, the development of the IoT will broaden opportunities for both young people entering the world of work and adults looking to re-train or upskill mid-career. “It will also open up more accessible routes to higher education for students who may not have previously considered this route to expand their immediate and future career options.” The IoT will work in close partnership with its anchor employers to develop the right skills and programmes, from T-Levels through to postgraduate degrees, required for those industries. Read more about the Institute of Technology announcement.

For further information contact the Corporate Communications team at pressoffice@derby.ac.uk or call 01332 593953.

The confidence and resilience of East Midlands businesses that held up well during the roller-coaster journey through 2021 is facing another dip over the impact of Covid this winter. Grant Thornton UK LLP’s Business Outlook Tracker surveyed c.600 mid-market businesses every other month during a year that began in full lockdown and was followed by a gradual exit from restrictions up to ‘Freedom Day’ in July. Optimism in the East Midlands about the country’s economic prospects averaged 72% over the year, matching the national average. One of the biggest dents in confidence was recorded in the penultimate survey, conducted in late September and early October, with 16% of businesses in the region describing themselves as ‘pessimistic’ about the future of the UK economy. September’s panic buying and resulting fuel shortages also led to the year’s most marked setback in regional confidence, with 18% of businesses in the East Midlands saying they were ‘pessimistic’ about their ability to grow revenues. The latest round of views were gathered during the initial outbreak of the Omicron variant, just prior to the announcement of the Government’s Plan B measures. Pessimism in the nation’s business landscape was evident, with more than a quarter (26%) of firms in the East Midlands being unwilling to express optimism in the UK economy. Across the UK, confidence around revenue growth within businesses peaked in the summer, (with 83% expressing optimism) before plunging 17 percentage points to 66% by December. The East Midlands ended the year above the national average for the same metric at 82%, resurging from only 66% of businesses expressing optimism in the autumn. Dave Hillan, partner and practice leader at Grant Thornton UK LLP in the Midlands, said: “It’s not an over exaggeration to say that 2021 has been a year like no other, and the twists and turns we’ve seen in our survey are testament to the rapidly changing landscape that businesses in the East Midlands have had to cope with. “Unfortunately there’s still more on the horizon to be dealt with, ranging from COVID-19 restrictions, higher inflation levels and interest rates, supply chain shortages, labour concerns and rising costs. “Many, especially in the tourism, retail and hospitality sectors, will be wondering what more can be thrown at them! However, we know that the East Midlands’ business leaders have proven themselves to be exceptionally resilient, agile and innovative since the first lockdown began and they will have a lot of valuable experience to draw on as they face the challenges of 2021. “With the right government support and by leaning into the region’s many strengths we know that it won’t be long before businesses in the East Midlands are feeling optimistic again.”

Employer call to action to support innovative new skills research with new pilot being launched along side the East Midlands Chamber of Commerce. For the purpose of this pilot we are seeking businesses in the following sectors to participate: Are you a manufacturing, logistics or sport & physical activity, employer based in #Leicester or #Leicestershire? We want to hear from a range of people including frontline staff, operations and support staff, team leaders, managers, HR departments or learning and development professionals. Working across the Leicester and Leicestershire area, the East Midlands Chamber and other partners are looking for employers of all sizes to support a data gathering project to help to share the future of skills training in the region. This is part of the government funded Local Skills Improvement Plan – one of just eight pilot projects taking place around the UK, putting local employers at the centre of skills provision, building stronger links with local colleges and training providers. The success of this initiative is dependent on the willingness of employers to engage and participate in the completion of data gathering and workshop activity. It will just take a couple of minutes of your time each day to take part, and you’ll be helping to make technical skills training more responsive to the needs of employers in our area. If you’re interested in finding out more then we’d love to hear from you – please email lsip@emc-dnl.co.uk for more details! Chamber website link: Leicestershire Local Skills Improvement Plan (LSIP) – East Midlands Chamber (Derbyshire, Nottinghamshire, Leicestershire) (emc-dnl.co.uk)

Purpose Media Managing Director, Matt Wheatcroft, reflects on the impact of the interest rate rise and looks ahead with some useful insights for 2022.

When asked what they think about the current economic and political landscape there are no doubt plenty of business owners saying “it’s tough” – except most are probably using a much stronger expletive instead of ‘tough!’ The rise in mortgage interest rates is already leading to a more cautious approach from banks towards borrowing and credit limits which in turn will impact both commercial and personal customer spending. Couple this with the stresses of the employment market and the clouds of perfect storm are already forming. Problems getting staff for roles in retail, logistics, food and drink and healthcare have been repeatedly highlighted, but the same issues are happening within the marketing profession as businesses battle to retain customers and market share. The demand for people with specialist digital marketing skills and experience and the salaries being offered has gone sky high – in fact, it’s gone to another galaxy! Companies which had already embraced digital marketing strategies within their marketing toolkit wanted more – and those who previously thought them unnecessary realised that lockdowns, store closures and people working from home required radical changes to their marketing approach. Businesses have been forced to make changes in order to counteract the loss of in-store and face to face interactions and the brand profile lost from traditional sponsorship or advertising at empty venues. Those affected have simply had to embrace the use of websites to sell online or offer click and collect services, as well as use email marketing, social media and digital PR in order to communicate with customers. Consequently, the battle for talent to meet this demand means that not a day goes by when marketing agency bosses don’t hear reports of a team member getting a call from a head hunter. If the combination of these dynamics adds to the likelihood of inflation (which I think it will), I fear there is a risk is that employees who jumped ship for inflated salaries might find themselves the first casualty when their new employer looks to rationalise their overheads – regardless of industry sector. So my advice to those looking to jump ship is to really consider if the grass really is greener on the other side? Would it be a better long term option to show a little bit of loyalty and stand by your current employer – particularly if they’ve treated you fairly over two of the worse years you will probably ever have experienced. As a business our saving grace has been the fact Purpose Media did everything to protect the financial and mental well-being of our staff has strengthened employee and client relationships. Also, a key part of our recruitment strategy has been to develop and nurture a good proportion of our talent by offering apprenticeships. The fact we can offer a structured career path has helped create a great place to work and lots of loyalty and many apprentices progress to be part of the senior management team. Offering these opportunities also gives me a lot of personal satisfaction as it is this generation of learners who has been most impacted by the last two years.