Just what is networking?

Ring any bells?

"Just what is networking?"

This is a question I am often asked as a business person and also as someone who is involved with numerous committees and organisations. There is of course no one answer fits all to this questions and you must find what appropriate forms of networking are suitable for your business, your voluntary committees, your social scene etc.

But if you are in business it is something that you need to build as part of your own personal make-up and as part of your business structure. Failure for any business to network is a failure to cement the very foundations around what your business stands for. Networking is a statement of branding and as such it is the real face of any business and the visible tangible part of a business’s profile.

Therefore it is essential to understand just what all this networking entails.

Some people might advocate that “Half the money I spend on advertising is wasted, but the trouble is I do not know which half!” And with this in mind we know that the marketing landscape has changed inextricable in the last number of years.

Gone are the days when we could literally just stand and shout “Come and buy my products and services!” This type of sales and marketing has once and for all been destroyed as the ever fading Celtic Tiger ran off to find a new home.

A singular emphasis on advertising as part of your marketing mix will lead to ever increasing diminishing returns. We are bombarded with advertisements literally every second and minute of our day. And with our addiction to smart phones and social media we could see between 1,000 and 3,000 adverts a day! With so much information to absorb is it really any wonder that a business needs to find new ways to connect with customers and clients.

TRUST drives our business environment and here are some interesting statistics:

·       66% of the economy influenced by personal recommendations

·       88% of people will buy from companies they TRUST

·       85% of people will not buy from companies they DISTRUST

It is therefore essential for businesses to build TRUST with their customers and clients by being visible and tangible. And the most effective way to do that is by networking with customers and clients.

Cool business card.

So having established that networking is about building TRUST with existing and potential customers and clients we need to set out a few ground rules.

1.     Networking is NEVER about simply collecting business cards

2.     Networking is NEVER about just handing out dozens of business cards

3.     Networking is about converting contacts into word of mouth referrals

In addition to the above we need to be very clear that at any networking opportunity it is never about YOU it is ALWAYS about the other person. You must take steps to communicate effectively with the person you are speaking to and that involves listening, understand and not simply hearing what they are saying to you. Communication is always a two-way street and the very best networkers understand that they have to be an active listener.

At any networking event it is essential that you constantly ask yourself “What is YOUR brand?” Because to be in business today our most important job is to be head marketer for a brand that is called YOU! We need to understand that brand ME communicates our personal story, demonstrates what attributes that sets ME apart, states how YOU want to be positioned in the market place, defines your company/business and clearly distinguishes YOU from other competitors. Brand ME is not about bragging it is about defining YOU as a person other people can TRUST and as a person that people would want to do business with.

An early establishment of goals for any networking event is fundamental. Who are you trying to meet – customers, strategic partners or referral sources? I am here to generate new business over what timeframe? How much time will I allocate to networking? Where can I get the best value for my time?

We have all experienced this!

Once you have established the goals we need to network effectively and to do this we must remember that we are NOT selling the event. We need to start a conversation and therefore you need to be able to introduce yourself. We need to get to know the person, ask open ended questions and we must build trust. One of the most important aspects that people often miss is that you need to have a firm, strong and dry handshake and also carry good quality business cards and not the ones often advertised on TV, that feel like they are made of recycled cardboard. After shaking hands you more often than not give a person a business card and these two actions alone could define whether or not you have found a new customer.

Asking the right questions is also essential as it;

·       Separates the professionals from the amateurs.

·       Shows that you are concerned with helping them achieve success

·       Gets them to tell you how to sell to them

Follow up is essential.

Finally, one of the most important parts of networking that is often forgotten is the post event evaluation and follow up. You must be able to assess the success of an event, should you go back to a similar type of event, prioritise who to contact, decide who to contact within 24-48 hours, who to contact within one week and who never to contact.

Enjoy your networking ad we are all social animals and in general we are hardwired to interact and meet people. There are of course a few exceptions and these people need to be avoided at all costs.

“A brand is no longer what we tell the customer it is – it is what customers tell each other it is.” – Scott Cook.

Keep the cash here & just watch us grow!

Just who has their finger on the pulse?

This week IBEC predicated extremely strong economy growth for Ireland Inc over the course of 2015 and figures that are well ahead of Government and EU estimates. In fact IBEC are predicting a growth in the Irish economy of 5.4% and they are also indicating that by the end of 2015 unemployment will be fall below 9%.

These are really some very strong headline figures, if they are in fact to be delivered, and if IBEC are able to predict with such accuracy we have to ask why then that ISME’s are less confident about an Ireland Inc recovery.

A recent survey by ISME’s to its own membership resulted in a press statement that business confidence is actually waning and that SME’s are increasingly pessimistic about the economy. The ISME survey polled some circa 930 businesses and stated that there was “a reduction in 11 of the 12 indicators used to gauge confidence among small and medium-sized enterprises” (source Irish Times.com 10^th April 2015). According to the study, business confidence fell by 50 per cent to 39 per cent in the quarter under review while expectations were down 65 per cent to 57 per cent. The declines come after steady increases over the past 12 months.

In addition to the above business bodies both stating their case we also have Government stating that recovery is also well on the way and that they are also targeting reductions in unemployment and strong growth in the domestic economy.

With everyone saying one thing and another just who are we to believe and just how do these predictions and forecasts actually affect Waterford and the South East region?

Ireland Inc is currently witnessing a three tier recovery with Dublin way out in front and heading the Championship Table, followed in close second by the south west/Cork/Limerick/Galway, and propping up the table we find the North West region and the South East region. There have been various Action Plans for Jobs and various recovery plans tabled and printed over the last three to four years but to date we are still to see and witness accelerated growth in the very regions that need most of the help on offer.

Unfortunately, we will continue to see an unbalanced approach to any recovery because you need to have real heavyweight political clout in order to fight the investment case for both FDI and domestic growth. To complicate matters Government and the political system are now on election footing and gearing up for a general election this time next year. You only have to look across the Irish Sea to see the political manoeuvrings currently going with manifestos promising this and manifestos promising that. All would seem rosy when elections are just around the corner but reality bites when we look at just how much ground the South East has to make up.

There is no doubt that there is some business confidence across the South East and yet we know that many businesses are having to find and secure business outside the South East region as the rate of economic growth here is slower than the rest of the country.

That in itself is not a bad thing and encouraging businesses to chase and secure contracts in non-traditional geographical areas is in general good for a business as they are spreading their risk. However, we do need to see stimulus packages in place to make doing business closer to home the real game breaker for everyone. This will help keep the cost of being in business low and will help to keep local incomes be spent locally and keep local commercial business rates and taxes coming in to the purses of local councils, to be once again spent locally. We do need to create a culture of generating money locally to be spent locally.

So which business organisations are we to believe when it comes to predicting the strength and recovery across Ireland Inc and in particular the South East?

We have to judge our own local economy’s recovery on a few key facts that our unemployment rate is still circa 3 to 4 percent above the national average (which of course is unacceptable no matter what spin is put on this figure), our youth unemployment is also considerably higher than the national average, third level educational attainment is lower than the national average and our disposable income per household is much lower than the national average! These few stark statements show that we need South East solutions to a South East regional problem of a much weaker recovery than the rest of Ireland Inc.

But what can be done?

The simplest and easiest way to start any local recovery is a commitment to shop local and on the ground the Waterford Business Group have always championed this approach and this commitment. We can see from the recent public relations that this Group have even engaged with Waterford ex-pats to push the “keep it local message”.

In fact the group have gone much further than that in recent weeks and months. The Waterford Business Group have been instrumental in the award of the Purple Flag accreditation, are an integral part of the City Centre Management Group, have recently provided free customer care courses to some 60 plus staff of Waterford Businesses, are about to pilot a scheme with Waterford Library Services and are doing so much more than they will ever be credited for. Yet because this highly organised and driven Group are not seen as a “pillar organisation” like IBEC, ISME, Chambers etc they perhaps will never get the credit for the volume of voluntary work they do on behalf of Waterford’s many businesses and the people of Waterford.

To sum up there is an organisation with its finger on the pulse in terms of where Waterford and the South East are in terms of an economic recovery, they work with the vast majority of businesses across the City and they making a significant difference to the City, County and region.

So the next time you want a commentary on just where our recovery is across the South East is just ask the right people, in the right organisation, that are doing far more for the jersey than can ever be put into print.

“Progress is impossible without change, and those who cannot change their minds cannot change anything.” George Bernard Shaw.

Unity equals strength: my tip from Table 16!

Who can remember this?

There can be absolutely no doubt that Waterford City, Waterford County and the greater South East Region (SER) need a unique holistic approach to getting us back on track and in line with the rest of the Republic’s economic recovery.

There is a three tier recovery taking place across Ireland no matter what spin Government put on it. With Dublin and its own greater region running well ahead of the rest of Ireland, then coming along hotfoot close behind is the West/Cork/Shannon/Galway areas and taking the rear is the South East Region (SER) and the North West Region (NWR). If we are really to spread the vast majority of industry investment, outside of Dublin, then we must do it now just as Ireland Inc is beginning to show a better shock market price, when compared to our competitive countries across the rest of Europe.

Accelerated investment outside of Greater Dublin must happen sooner rather than later. I read a report last week that stated there is a very real possibility that 60%-70% of jobs, and therefore the population, could migrate to the Greater Dublin Region in the next number of years if there are not investment policies put in place to make areas such as the SER more attractive to business and therefore investment.

It consequently follows that to make the SER more attractive for jobs and job creation we must be in a position to make the SER the most attractive place in Ireland to invest in.

But how do we do this?

For a start we need to make the cost of doing business in the City, County and SER as cost efficient as possible. A simple starting point would be to reduce the huge burden placed on businesses through the local payment of commercial rates. Commercial rates are needed and are quite rightly a local tax that pays for local services. However, the collection of commercial rates takes absolutely NO account of how a business and or local economy is performing. And therein lies the huge problem. Our local businesses that are struggling to generate turnover and cannot employ additional staff because the fundamental cost of being in business is crippling in terms of the commercial rates contribution.

I have for a long time now advocated that a commercial rates system similar to that operated for VAT payments should be introduced, and we know that the VAT collection for 2014 and at the start of 2015 is now well ahead of budget estimates. As a business becomes more profitable then the commercial rates income can increase but when times are harder this imposed burden placed on businesses must be consequently lessened. This in turn will go some way to ensuring unemployment is kept to lower levels as businesses can afford to retain staff members.

Following on from lessening the cost of being in business in the SER we had a visit last week from The Minister for Jobs, Enterprise and Innovation, Richard Bruton TD, and supported by Enterprise Ireland with a road show in the Tower Hotel that focused on the SE Jobs Action Plan. I had attended two previous meetings and expected much of the same.

However, this was to be a very different event with circa 160 people from around the SER sitting at tables of 8-10 with each table or “Innovation Cafe” (as it was termed) specifically tasked with investigating and exploring a specific theme. Our table, Table 16, was looking at the “branding” of the SER and how we could make a difference to the current perceived representation. Other tables were looking at education, clustering, innovation etc.

Table 16 was made up of people from right across the SER – Waterford, Kilkenny, Wexford and we even had guest from neighbouring tables visit us who included people from Tramore and Limerick. Our “branding” table were to look at the current image of the SER and what a future image should look like.

We all agreed that the SER is not only a great place to work, there are good educational establishments, pockets of significant engineering and manufacturing companies, terrific scenery, superb beaches, many important ports, an excellent road network, magnificent rivers, great hotels, great food, brilliant restaurant etc etc.

My notes from Table 16

In fact Table 16 could not see any reasons for investing anywhere else!

And yet we lag so far behind in terms of inward investment, job creation, and third level attainment and so on. We need to find the fundamental reasons as to why we are not competing with other areas of Ireland and why we are not landing many more multi-national companies or FDI.

It became clear to Table 16 that the branding of the SER is all wrong with too much reliance and emphasis on the tourism industry and not enough focus on industry, education, manufacturing, access, infrastructure etc etc. We do very, very well with the indigenous Irish tourist but appallingly badly at attracting the International Tourist. And it is the same with trying to attract more businesses into the SER – we are doing ok but could be doing so much better.

I also had the opportunity to speak on behalf of Table 16 to share our views and findings with the wider audience in the room and this was done with my usual gusto, delight and hopefully positivity. In fact the facilitator in his final summary came back to reference Table 16 and what we said to the wider audience.

The challenge will now be to ensure that the circa 160 people in the room now go away from the “Innovation Cafe” and actually make a difference and go that extra mile to put the SER on the investment map, so to speak.

All of us at Table 16 know the next step in our journey is going to be the hardest as the main population areas across the SER need to work together as a region. And like it or not Waterford City has to be at the very heart of that region. That is not to say that the City should have a monopoly on the jobs and investment but rather the City must be the main economic driver if the SER is to see substantial investment over the next few years.

Real South East Regional teamwork is now required and old sporting boundaries do need to be put aside for the betterment of all the 500,000 who live and work across the SER of this Island. We should ALL be prepared to work together and at the right time come together to relax and enjoy each other’s company.

And remember “Never doubt that a small group of thoughtful and committed citizens can change the world. Indeed it is the only thing that ever has.”

There's rays of hope as City gets its place in the Sun!

My Grandpa always told me to very, very conscious of how you speak to people outside of your place of work and also championed the mantra that you must never judge a book by its cover.

These are two extremely important points to bear in mind if you own and run your own business as you must always remember that you are really never off duty and you are perpetually having to fly the flag for your own business. YOU are your business’s most important brand ambassador and therefore when you communicate with people face to face, on the mobile phone, by email, by letter or via social media remember that you will continually be judged in relation to your own business. And I will come back to this towards the end of this week’s article.

Waterford City retained its recent run of positive news stories this week when on Wednesday 25^th March Sun Life moved into their new premises, and these new premises were officially opened by Tánaiste and Minister for Social Protection Joan Burton, Mayor of Waterford Cllr James Tobin, Sun Life’s Senior Vice President for Client and Technology Services David Healy, and Sun Life’s General Manager Karen Burns. All these speakers spoke of the drive and determination to make the Waterford arm of Sun Life’s global network one of the jewels in the business’s portfolio crown.

Sun Life in Waterford employs circa 300 staff members and the expansion into new premises gives a potential to employ many, many more and VP David Healy spoke of the team ethic of Waterford’s employees and their hard work and dedication that has made the Waterford facility as important as any other of Sun Life’s worldwide locations. In fact Minister Joan Burton also highlighted the fact that on a recent visit to the Group’s HQ the Waterford operation was talked about at Board Room level as one of the business’s best brand ambassadors. It is hoped that in future years Sun Life will take on several new staff members and this new premises is ready and suitable for any future expansion.

The opening of Sun Life’s new premises was much more than just another IDA backed expansion of an existing global business in Ireland. This was really a local team effort on many fronts and a huge amount of credit must go to Sun Life’s senior staff members for making sure that where ever possible contractors for the new premises were sourced locally. This commitment to source locally shows how it can be done, shows how it should be done and perhaps many other organisations should take note and copy this model. We need to see more large orga

nisations make a commitment to source locally as we all know that this makes commercial, financial and social sense.

There were a number of senior contractors engaged in the Sun Life project and these included; CJ Falconer and Associates Architects, Nevin Construction and Fieldmaster (Office Design and Service). There were also a number of smaller local contractors who were involved in the supply and fit out of IT, audio visual and so on. In total over 100 local people were involved in the project and that is a significant number of wage packets being invested directly back into our local economy.

Sun Life could easily have championed “a company sourcing or tendering policy from HQ” to use one particular supplier for this project. But they did exactly the opposite and credit must be given to them for making a commitment to source as much as possible from local Waterford businesses. The challenge is now to get other multi-nationals, government departments, and local authorities etc to look closer to home when seeking to find new suppliers. If there is a commitment to copy the Sun Life model then everyone will benefit. After all what is the sense in seeing wages being spent in Dublin, Limerick or Galway? We need a holistic approach to sourcing and engaging with local companies but above all we need leadership to make that commitment to try “by hook or by crook” to use local companies and therefore engage with local employees.

In addition to good news from Sun Life on Thursday 26^th March the Waterford Mail launched its first every annual golf charity competition in Waterford Castle Hotel and Golf Club. A poignant moment for me to return to my first ever place of employment in Waterford City. The event will raise money for three local beneficiaries and I do hope that this event will be supported by local businesses as the causes do need the additional support that the money raised will bring.

Whilst at the launch I had the opportunity to meet with the new owner, Seamus Walsh (and his team), of Waterford Castle Hotel and Golf Club and I have to say that I would be extremely encouraged that we will finally see this iconic island realise some of its latent potential. I believe that the new owner will not only make a significant difference to the Castle but he will also be an integral part of a resurgent Waterford and I am sure that he will be an important voice who will champion the need to connect with the people of Waterford City and County and the wider region. We wish you the very best of luck in your new venture.

 

So the above ultimately brings me back to my opening paragraph. I spent last week meeting with some wonderful business people who were to a man and women consummate professionals and ultimate brand ambassadors for their own businesses. And yet my week ended on a sad and bitter note that can ultimately be attributed to poor customer service.

On Sunday 29^th March, having competed a gruelling 100 kilometre charity cycle for Mount Sion Secondary School in aid of new Astroturf pitches, in hurricane like conditions, with a number of fellow The Biscuit Club members, I was met by a business owner who told me “Not to park that piece of s***e (my bicycle)” next to his apparently expensive bike. Initially shocked by this verbal attack I obviously had to retort in my usual Scottish manner. But this “business ambassador”, and I use this phrase loosely, has now lost a customer and a potential significant customer, as I will ultimately upgrade my “piece of s***e” at some time possibly later this year, but unfortunately not with him.

In business you must at all times take care how you speak to people as you can never be sure just where your next customer might come from!

“Loyal customers, they don’t just come back, they don’t simply recommend you, they insist that their friends do business with you.” Food for thought.