Pulse
From the heart of the business world North East
Dec / Jan 2024/25
Finance Edition FEATURE Bankr uptcy and bouncing back How imposter syndr ome and a lack of self confidence can hold small businesses back How the Tr ump pr esidency might change the global economy 1
2 2
Welcome
6
How the Trump presidency might change the global economy
10
5 expert tips UK businesses should implement to enhance security
12
Behavioural finance: Understanding the psychology behind investment decisions
17
How imposter syndrome and a lack of self confidence can hold small businesses back
Contents 22 26 32 38
Four ways to optimise your supply chain and help minimise business disruption
FEATURE Losing it all : Bankruptcy and bouncing back
C-Suite burnout : Is your business encouraging sabbaticals?
Four ways businesses can attract and retain a multi-generational workforce
2 3
Weight loss jabs pose potential risk in the workplace: expert reveals Personal injury expert s at Claims.co.uk reveal t he potent ial risks t hat weight loss
The National Institute for Health and Care
jabs pose to t he workplace:
Excellence (NICE) final draft guidance on the weight loss jab Mounjaro has recommended
?While the proposal of weight loss jabs to get
it being given from March, however, it could
people living with obesity back to work
take 12 years for everyone to receive it, the
seems like the ideal solution, it is important
NHS drugs advisory body says.
to acknowledge the potential risks of this both to employees and employers.
In October, Health Secretary Wes Streeting
?With the rise in the use of Ozempic in the
announced that trials of the weight loss
U.S., there have been many lawsuits against
jabMounjarowill take place in Greater
the drug, with some patients allegedly
Manchester to reduce worklessness.Streeting
suffering from gastroparesis, which is
shared that people with illnesses caused by
stomach paralysis, sudden vision loss and an
obesity are taking an extra four sick days off
oesophageal injury requiring surgery.
a year or are simply being forced out of
Furthermore, common side effects of the
work.
weight loss drug include muscle loss and
Mounjaro is the brand name of the drug
nausea.
Tirzepatide, which is approved to treat type 2
?These long and short-term impacts of the
diabetes and can also trigger insulin
weight loss jab could not only lead to sick
creation and feelings of fullness.
days from the workplace but also necessary
Ozempic is the brand name of the drug
adjustments, such as shorter hours. The
Semaglutide, which is also approved to treat
common side effects could also significantly
type 2 diabetes. However, Wegovy is the only
hinder the efficiency of work or limit workers
Semaglutide drug that is approved for use in
to very specific industries.
weight management. Mounjaro and Ozempic
?It is therefore crucial to recognise that
are different drugs but work in a similar way.
weight loss jabs need to be met with caution and not as a ?quick fix?to get people living with obesity back to work, as this may have
Credit to source: Claims.co.uk 4
4
the opposite effect?.
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How the Trump presidency might change the global economy Donald Trump?s victory in the 2024 election ?
US has been on a mostly inward-looking
and his threat to impose tariffs on all
quest of maintaining technological
imports to the United States ? highlights an
supremacy while ending the offshoring of
important problem for the global economy.
industrial jobs.
The US is a technological powerhouse,
One of the major choices Trump made in his
spending more than any other country on
first term was to accept higher prices for US
research and development and winning
consumers in order to protect national
more Nobel prizes in the last five years than
producers by slapping high tariffs on almost
every other country combined. Its inventions
every trading partner.
and economic successes are the envy of the globe. But the rest of the world needs to do everything in its power to avoid being too dependent on it. And this situation would not have been much different had Harris won.
For instance, Trump?s 2018 tariffs on washing machines from all over the world mean US consumers have been paying 12% more for these products. President Joe Biden ? in certainly a more polite way ? then increased some of the
The ?America first? approach of Donald
Trump tariffs: up to 100% on electric
Trump has actually been a bipartisan policy.
vehicles, 50% on solar cells and 25% on
At least since previous president Barack
batteries from China.
Obama?s policy of energy independence, the
Renaud Foucart Senior Lecturer in Economics, 6 Lancaster University Management School, Lancaster University 6
Focus
At a time of climate emergency, this was a
The country is now trying to encourage more
clear choice to slow down the energy
domestic consumption and to diversify its
transition in order to protect US
trading partners.
manufacturing.
Europe, despite a very tight budget
While Biden signed a truce with Europe on
constraint, spends a lot of money in the
tariffs, it started a perhaps even more
subsidy race. Germany, a country facing
damaging battle by launching a subsidy race.
sluggish growth and big doubts on its industrial model, is committed to matching
The US Inflation Reduction Act for instance
US subsidies, offering for instance ?900
contains US$369 billion (£286 billion) of
million(£750 million) to Swedish battery
subsidies in areas such as electric vehicles
makers Northvolt to continue producing in
or renewable energy. And the Chips Act
the country.
committed US$52 billion to subsidise the production of semiconductors and computer
All those subsidies are hurting the world
chips.
economy and could have easily financed urgent needs such as the electrification of
China, Europe and t he rest of t he world
the entire African continent with solar
This US industrial policy might have been
panels and batteries. Meanwhile, China has
inward-looking, but it has clear
replaced the US and Europe as the largest
consequences for the rest of the world.
investor in Africa, following its own interest
China, after decades of mostly export-based
for natural resources.
growth, must now deal with massive problems of industrial overcapacity.
6 7
8 8
Focus The incoming Trump mandate might be a chance to fix ideas. One might, for instance, argue that the full-scale invasion of Ukraine, and the thousands of deaths and the energy crisis that followed, could have been avoided had the Biden administration been clearer to Russian president Vladimir Putin about the consequences of an invasion, and provided modern weapons to Kyiv before the war. The number of people facing hunger is But the blame is mostly on Europe. Credit
increasing, taking us back to the levels of
where it?s due, the strategic problem of
2008-9. War is raging in Gaza, Sudan,
becoming too dependent on Russian gas is
Myanmar, Syria, and now Lebanon. The world
something Trump had clearly warned
had not seen as many civilian casualties
Germany about during his first mandate.
since 2010.
There is a clear path forward: Europe could
For better or worse, it is unlikely that a
help China fix its overcapacity problems by
Trump administration will reverse the path
negotiating an end to its own tariff war on
of lower US interventionism. It is also
Chinese technology such a solar panels and
unlikely to lead any major initiative on
electric cars.
peace, climate change or on the liberalisation of trade.
In exchange, Europe would regain some sovereignty by producing more of its own
The world is alone, and America will not
clean energy instead of importing record
come to save it.
amounts of liquid gas from the US. It could We do not know what will happen to the US.
also learn a few things from producing with
Maybe the return of Trump will mostly be a
Chinese companies, and China could use its
continuation of the last ten years. Maybe
immense leverage on Russia to end the
prohibitive tariffs or destroying the
invasion of Ukraine.
institutions that made the US such an The European Union could also work harder
economic powerhouse will make the US
on what it does best: signing trade deals,
economy less relevant. But this is something
and using them as a way to reduce carbon
Americans have chosen, and something the
emissions around the world.
rest of the world simply has to live with.
This is not only about Europe and China.
In the meantime, the only thing the world
After decades of continuous improvement on
can do is learn how to better work together,
all major dimensions of human life, the
without becoming too dependent on each
world is moving backwards.
8
other. 9
5 Expert Tips UK B Should Implement Security Credit to source: Hypernode
The 2024 UK Government Cybersecurity
malicious programs that can compromise
Breaches Survey revealed that 50% of
data. Viruses and malware are constantly
businesses had suffered a cyber-attack or
evolving, so it is crucial to also keep this
security breach in the previous 12 months.
protective software up to date.
This cybersecurity awareness month, cyber
Be caut ious of phishing- Phishing is a
protection experts from e-commerce hosting
common cyber-attack in which criminals use
provider Hypernode have highlighted the
deceptive emails, messages, or websites to
importance of cyber hygiene for UK
trick individuals into providing sensitive
businesses and revealed their key practices
information. It is by far the most common
for staying safe online as a business.
type of cybercrime, with 90% of businesses
What is cyber hygiene?
that have experienced at least one type of cybercrime falling victim to phishing.
Cyber hygiene can be explained as a set of
Awareness and caution around possible
practices to maintain system health and
phishing scams is crucial within all
security in relation to a business's online
businesses.
activities. Like physical hygiene, maintaining cyber hygiene entails a set of regular
Back up and encrypt data- Backing up
preventative measures.
important data and storing it securely will be helpful in the event of a data loss or
5 Key pract ices
ransomware attack. Particularly sensitive
Ant ivirus and ant imalware soft ware-
data, meanwhile, ought to be encrypted to
Installing antivirus and
ensure it can only be accessed by authorised
antimalware is an
parties.
obvious place to start for protecting against cyber 10
threats. These tools help detect
10
Businesses t to Enhance Secure Wi-Fi, st rong passwords, and MFA-
Milan Bosman, Commercial Director of
While seemingly obvious, these three simple
Hypernode, spoke regarding the tips:
steps, which are often neglected, are
?Warnings from experts, who have predicted
absolutely key to good cyber hygiene.
the rise in cybercrime in the UK, have
Unsecured Wi-Fi networks are vulnerable to
certainly been proven valid. Globally,
attack from cybercriminals who may
cybercrime is expected to surge 15%
intercept data or gain access to internal
throughout 2024, and 2023 government
systems. Similarly, weak passwords are
statistics already state that 32% of UK
susceptible to being hacked. Strong, unique
businesses experienced cyber-attacks at
passwords that are different for each online
least once a week. With this, the importance
account should be used. MFA (Multi-factor
of maintaining cyber hygiene continues to
authentication) adds a layer of security to
grow.
data and internal systems, keeping out anyone who should not be able to access
?With October being cybersecurity awareness
them.
month, it?s certainly a good time for businesses whose regulations are not up to
Educat ing all employees- Perhaps the most
date to review them and to ensure all staff
important point is that a business?s security
are adequately educated around threats to
is only as strong as its weakest link, and a
avoid breaches in security.?
cyber-attack can target any employee. Providing cybersecurity training to all employees is crucial to ensuring the security of a business as a whole. 10
11
££
££ £
£ £ £
12 12
Behavioral Finance: Understanding the Psychology Behind Investment Decisions Behavioral finance, a rapidly growing field
One of the key concepts in behavioral
within finance, examines the psychological
finance is loss aversion. This principle,
influences that shape investors?decisions,
identified by psychologists Daniel Kahneman
often leading to irrational financial choices.
and Amos Tversky, suggests that people feel
Traditional finance theories, such as the
ia acutely Th e Robotthan the the pain of losses Soph more
Efficient Market Hypothesis, assume that
pleasure of equivalent gains. For example,
investors are rational and markets are
losing £100 feels more painful than the
efficient. However, behavioral finance
pleasure derived from gaining £100. This
challenges this notion by highlighting
aversion to loss can lead investors to hold
cognitive biases and emotional influences
onto losing stocks longer than advisable,
that often drive investors?behavior away
hoping they will rebound, instead of cutting
from rationality.
losses and reallocating their funds. This behavior, known as the disposit ion effect , often results in significant financial setbacks 12
as investors wait for an unrealistic recovery. 13
"The best investment you can make is an investment in yourself. The more you learn, the more you earn." Warren Buffett
Another crucial bias in behavioral finance is
actions are not aligned with their individual
overconfidence. Many investors believe they
analysis or goals. For example, during market
can consistently beat the market due to their
bubbles, such as the dot-com bubble or the
research, intuition, or skill, even though
more recent cryptocurrency surge, investors
evidence suggests that consistently
tend to follow the crowd, assuming that if
outperforming the market is extremely
everyone else is investing, they must be
difficult. This overconfidence often leads
making a sound decision. However, this herd
investors to make overly risky bets, engage
mentality often leads to overpriced assets
in excessive trading, or ignore diversification
and significant losses when the bubble
principles, ultimately exposing them to
bursts. Herding can be highly detrimental as
significant losses. Overconfident investors
it leads to volatile markets and can cause
may also downplay the risks associated with
individuals to invest based on hype rather
volatile assets, leading to a portfolio that is
than fundamentals.
more fragile during market downturns.
In addition to these biases, anchoring plays
Herd behavior is another phenomenon in
a significant role in shaping financial
behavioral finance where investors follow
decisions. Anchoring occurs when investors
the actions of the majority, even if those
fixate on an arbitrary reference point, such 14
14
as a stock?s historical high price, and make
decisions more objectively. Many financial
decisions based on that reference rather
advisors now incorporate principles of
than the current market context. For
behavioral finance to help clients avoid
instance, if an investor sees a stock that was
these pitfalls, encouraging strategies like
once valued at £100 but has since dropped
diversification, long-term planning, and
to £50, they may view the lower price as a
regular portfolio reviews.
"bargain," even if the stock?s fundamentals
Understanding behavioral finance can
do not justify a recovery. This reliance on an
empower investors to make better financial
arbitrary anchor often clouds objective
decisions by acknowledging and managing
analysis, leading to misguided investments.
their psychological influences. Awareness of
Behavioral finance not only helps explain
these biases allows investors to recognize
why investors sometimes make irrational
emotional triggers and, ideally, make more
decisions but also provides tools and
rational, informed decisions aligned with
strategies to counter these tendencies. By
their financial goals, reducing the likelihood
becoming aware of biases like loss aversion,
of costly mistakes.
overconfidence, herd behavior, and anchoring, investors can approach their 14 15
16 16
How imposter syndrome and a lack of self- confidence can hold small businesses back It might come as a surprise that most of the
engines of the UK private sector, driving
UK?s income and employment is provided
growth and employing 16 million people.
not by the big national or multinational
As such, they?re vital to the economy. So it is
companies we all recognise but by what are
crucial that they are supported to survive
known as small and medium-sized
and grow with easy access to finance ? and
enterprises (SMEs).
this is even more important when there is
These organisations are businesses with
economic uncertainty. These businesses are
fewer than 250 employees and less than £36
often closely aligned with their founders ?
million in revenue. And for a business to
and the boundaries between the enterprise
specifically be considered ?small?, it will
and its people are usually more blurred than
often have 50 employees or fewer. These
in larger firms.
small businesses have been called the
Valery Emeson Lecturer in Business Management, Anglia Ruskin University 16 17
"... experts argue that human decision-making is often not rational but emotional."
Since the 2008/ 2009 financial crisis, the UK
In other words, finance is the backbone of
economy has been struggling to grow
business operations. So it is important that
continuously, creating uncertainty within the
small businesses get the finance they need
UK. Brexit and the COVID pandemic have also
so they can play their part in boosting
exacerbated the uncertainty many people
economic growth.
and businesses feel. And the recent budget
The good news is there are various routes to
hasn?t made things any easier for
finance. The government spends billions of
businesses, as many wonder how to deal
pounds supporting small businesses, and
with the coming tax changes.
the British Business Bank, set up to support
My ongoing doctoral research captures how
UK businesses, promotes various finance
Brexit uncertainty affected small businesses
options suitable for small enterprises. On
and sparked financial concerns. Being
top of that, some of the big UK banks like
financially constrained is not good for small
NatWest and HSBC also have products for
businesses for several reasons. When they
small businesses.
don?t have enough money, they don?t invest
As such, there appears to be a lot of funding
in staff or equipment, or they hold off on
available. However, my research found that
other investment plans. And with increased
many small businesses still don?t receive the
costs brought by rises in the national
finance they need. So what?s going wrong?
minimum wage and employers?national insurance contributions announced in the
Previous studies have found that small
budget, businesses may hold off pay rises or
business owners worry about the cost of
even recruitment.
borrowing, even from banks. The interest 18
18
rates can often be high due to uncertainty
influence business decisions. One
over the business?s profitability ? and to
participant in my research, for example, said
combat this banks can also ask for collateral
they were unsure how new Brexit restrictions
such as a home and valuable possessions.
would affect their business and so chose not
This clearly can be emotionally challenging
to apply for a loan.
for small business owners.
This interesting finding was also reflected in
And other experts argue that human
their finance mix (that is, the different
decision-making is often not rational but
sources of finance they seek). It?s not
emotional. It is these emotions I saw play
surprising then, that where a small business
out in my research.
owner feels borrowing is not a good thing, they will be more hesitant to apply for a
I observed that small business owners are
bank loan. They might, for example, try to
often driven by personal attitudes towards
secure government grants, which are far
finance rather than needs or circumstances.
harder to come by, or simply go without the money that could help them expand.
For instance, during the Brexit referendum, business owners?personal stances on the
The reasons for reluctance
issue interfered with some business decisions. This is partly because, for many
This reluctance to borrow is often linked to a
small businesses, the owner is not
phenomenon known as "discouragement?.
completely separate from the business.
This refers to situations where a business
Although they may be separate legal entities,
owner who could benefit from borrowing
the owner?s beliefs and attitudes tend to
refuses to borrow or even make a loan 18 19
application for fear of rejection. It is
expressed some level of discouragement.
common when the business owner has a bad
This reinforces how influential a person?s
credit history but it also affects those with
psychology is in their business
good credit ratings.
decision-making.
Previous studies have highlighted
So what?s the solution?
discouragement as a hindrance to the growth
One recommendation is for business owners
of small businesses, yet it continues to
to forge a better relationship with their bank.
present itself in today?s small business
This will move their relationship away from
owners.
one that is purely transactional. As banking
My doctoral study showed that imposter
expert Yongsheng Guo suggested, banks can
syndrome (where an owner might feel
see establishing a relationship as a way to
ill-equipped to apply for a loan, perhaps
improve their value to the customer. Bank
because of a lack of sufficient financial
managers should engage more with their
records) contributes to feelings of
small business clients to build trust and
discouragement with regard to loan
familiarity. Government can also implement
applications. Other factors that can feed in
targeted policies for small business to
include perceived discrimination (when
ensure that funds get to them.
someone feels discriminated against, even
This could lead to more bank loan
when there may be no discrimination), levels
applications and so more funding to small
of trust and familiarity, and limited financial
businesses. With more targeted support to
literacy. The challenge for small business
educate and signpost small businesses to
owners is that these psychological barriers
the financial support that is available to
can be difficult to pinpoint and address.
them, these vital businesses can play their
Interestingly, 70% of the small business owners that I interviewed for my research 20
full role in supporting the UK?s economic 20
growth.
0 12 4 8 2 0 8 8 4 5 s t e r it e c h e n g in e e r in g @g m a il .c o m
0 79 6 7 8 3 7 3 74 20 21
Four Ways to Optimise Your Supply Chain and Help Minimise Business Disruption credit to source: Cleveland Containers
From global shortages of materials to transport delays and lack of personnel, supply chains in the UK have experienced several issues in recent years, with at least 20% of businesses experiencing some sort of disruption. 93% of companies expect the pressure on supply chains in our country to persist throughout 2024, meaning their operations might suffer as a result. But the good news is
Plan carefully First things first, planning ahead and carefully is arguably one of the most critical segments to ensure a smooth supply chain process. Hayley Hedley, Head of Commercial at Cleveland Containers, said: ?Planning in a timely fashion is crucial, especially when it comes to order fulfilment.
that, even if most organisations have made
?This is because it will allow you to prevent
necessary adaptions to limit problems with
potential issues with your logistics chain and
their supply chain, further steps can be
avoid delays that could leave you without
taken to enhance and refine the process.
the raw materials and products you need to
Cleveland Containers, a leading supplier of
seamlessly carry out your operations.
40 ft shipping containers in the UK, offers
"What?s more, if you fail to plan your orders
expert insight on the best ways to optimise
early, you may end up in a situation where
your supply chain, from investing in the right
you?ll have to ask for urgent deliveries ? and
technology to fostering collaboration. 22
22 added costs can rack up pretty quickly.
Focus
?Planning carefully includes looking at any
is important to extend a culture of open
potential process change, evaluating how it
communication with your suppliers and
might impact the flow of your supply chain
logistics providers. In fact, this can promote
and whether it might affect your bottom-line
a stronger sense of trust, improve
gains.
responsiveness to changes, eliminate
?This gives you the opportunity to prepare and account for worst-case contingencies.
confusion, and lead to a more fruitful relationship overall.
Hopefully, they will never happen ? but if
If you are using more than one supplier,
they do, you will have a plan of action to
communication and collaboration become
tackle them effectively and with confidence.?
even more essential. By staying in constant
Promote communicat ion and collaborat ion Communication and collaboration are the lifeblood of any organisation, as they create an environment where expectations are clear and everyone rows in the same direction. In addition to fostering cooperation among various departments within your business, it
touch with all your suppliers, you can keep everything ticking as it should without the risk of delays or misunderstandings. Take advantage of analyt ics tools Harnessing the power of data analytics is another great way to optimise your supply chain and give your business a competitive 22 edge. 23
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Focus
In a world where everything is connected, supply chains are the lifeblood of businesses. For example, analytical tools allow you to
However, embracing innovations can have a
evaluate your sales figures, understand
wide range of benefits when it comes to
customer preferences, and predict future
improving speed and accuracy. For example,
demands.
blockchain technology can automate repetitive and physically draining processes,
Based on the data, you can then make more
increase visibility, and enhance
conscious and confident business decisions,
decision-making within the supply chain.
such as forecasting demand and recalculating inventory levels to suit both
What?s more, implementing specific software
your business and customers?needs.
can aid inventory management, allowing to track locations in real-time and facilitate
In short, analytics tools allow you to monitor
operations within the warehouse.
customer behaviour, keep your stock at appropriate levels, and contact your supplier
From planning in advance to promoting
with more accurate orders and requests.
collaboration, there are many steps you can take to optimise your supply chain and
Embrace technology
ensure your business is operating constantly at its best.
Technology can act as a much-loved friend in terms of streamlining processes and
So, despite the challenges of recent times,
optimising supply chains.
having a few handy tips can make the
Interestingly, almost half of UK businesses
all-important difference between struggling
(46%) are not yet relying on modern tech,
with disruptions and maintaining efficiency
such as AI, robotics, machine learning, and
at prime levels.
augmented reality, in their day-to-day activities. 24 25
Losin g it all Bankruptcy and bouncing back Facing bankruptcy can feel like t he end of t he road, but for many, it?s t he beginning of a powerful comeback story. In t his feat ure art icle, Craig Sergeant of Advance Copy Ltd, dives into bankruptcy, t he st igma, overcoming t he 'failure' of your business and bouncing back. 26 26
Feat ure
It can feel like a slow, steady suffocation.
The business had staked everything on that product, and now there wasn?t enough cash
Sales may start to dwindle. Debts might
flowing in. Lowe hoped her bank would help
surge. A global market crash could happen.
her find the way out, but it was too soon
A whole host of factors can converge, leaving
after the 2008 crisis, so they refused all
you looking deep into the void of business
support.
and financial oblivion.
The administrators were called in, Lowe was
Everything you?ve worked hard for,
bankrupt, and her house was taken away.
everything you care about, it slowly slips away... then it?s gone.
Looking back, Lowe tells the Guardian it was her ?lowest point.? She believed that her
And that might seem like the end of your
career was over with her ?reputation
business career. But is that really the case?
irreversibly damaged.?
Fr om h igh t o Low e
While it wouldn?t be the last the business
Way back in the first series of Dragon's Den,
world would see of Lowe, her reflections
there was a contestant called Rachel Lowe.
reveal two interesting aspects of
Though she had no joy on the show, Lowe?s
entrepreneurialism in the UK.
first venture, a board game series that
The first is how British society itself views
included Destination London, became a
failure (more on that shortly), and the
roaring success.
second is its devastating psychological effect.
At least, that was until a new product missed its launch date ahead of a vital Christmas period.
26 27
Celebrities who have filed bankruptcy during their careers. L - R : Chris Eubank, Katie Price, Christopher Biggins, Walt Disney, Lady Gaga, Mike Tyson, Kim Basinger, Will Smith, Donald Trump
Healt h im pact Research by Mental Health UK reveals that 80% of small business owners report symptoms of poor mental health. Split by gender, that?s 77% of male entrepreneurs And combined with this country?s social
and 86% female.
pressures and taboos around failure, it?s But the most concerning part is that despite
understandable that people in business feel
most active business owners admitting that
the strain.
they suffer, less than half of them (44%) have Fear an d st igm a
tried to get any sort of mental health support.
In the UK, there are around 5.5 million small businesses, most of which have the owner
Could this be a result of the insidious ?grind
as the sole employee.
culture? we see in films and on social media? Is it even possible to work to excessive levels
The cold fact is that 20% of SMEs fail in the
while displaying constant positivity,
first year, with 60% doing so within three
resilience, and perfectionism? Especially
years. That means that at any given
when success is never a guarantee?
moment, millions bear the extreme stresses 28
28
of struggling finances. Take
Well, there might be some lessons to learn
ex-bookkeeping business owner
from our cousins across the Atlantic.
Victoria Pullen, for example.
Th e Am er ican w ay
Writing on her blog, Pullen recalls when her
There?s anecdotal evidence that people in
small business finally hit the wall.
the US are more likely than Brits to view
She?d spent the previous eighteen months
failed ventures as valuable learning
besieged by at least thirty calls a day from
experiences.
debt collectors. She was also too terrified to
On the surface, it seems a reasonable
open her front door in case bailiffs were
assumption, perhaps as a by-product of the
there, ready to recoup her debts of £45,000
concept of the American Dream ? the idea
by any means necessary.
that anyone can make it.
While declaring herself bankrupt helped
For example, the phrase "Fail fast, fail often,"
move her beyond such immediate fears,
generally attributed to the tech unicorn
Pullen admits that it ?felt like the end? and
companies of Silicon Valley in California,
like ?I?d be getting a massive ?You are a
promotes experimentation and risk-taking to
failure?sign tattooed on my forehead.?
drive innovation.
Pullen paints a picture that perfectly
Basically, make mistakes, learn from them,
encapsulates the UK?s stigma around failure.
go again, and repeat until you reach your
And it highlights that change needs to
goal.
happen. But where can we start? 28
29
"Success is not final, failure is not fatal: it is the courage to continue that counts." Winston Churchill
As the billionaire founder of Amazon, Jeff
history of failure, recognising the value of
Bezos, says: "Failure and invention are
hard-earned experience. Needless to say, on
inseparable twins. To invent, you have to
these shores, that would be more likely to
experiment, and if you know in advance that
set alarm bells ringing.
it's going to work, it's not an experiment." Granted, American bankruptcy laws allow ailing businesses to reorganise and continue operating, so failure as an option is ingrained in their system. That?s in stark contrast to the more punishment-led approach of the UK?s corporate laws. So, it?s no wonder that Rami Cassis, founder and CEO of Parabellum Investments, recognises that British investors tend to be cautious, aiming to minimise risk. Meanwhile, Americans typically enter negotiations with optimism, eager to find reasons to do a deal. Cassis also says that US investors are also more willing to back entrepreneurs with a
30
St ar t again Bankruptcy has affected some of the biggest names in the world. But their public financial fiascos can be useful for business owners to observe and draw lessons from. Here in the UK and Ireland, people as different as George Best (footballer), Christopher Biggins (actor) and Peter Stringfellow (?nightclub? owner) ran up exorbitant debts ? whether through overspending, bad investments or trusting the wrong people. But the important point is that they all managed to rebuild. In fact, Stringfellow?s empire was reportedly worth £30 million at 30 the time of his death.
Feat ure
Plus, those lenient US bankruptcy laws have
They learned from their mistakes and
been used by none other than the actual
channelled their experiences into innovation
current President of the United States of
and reinvention.
America, Donald Trump. Not only that, but
Just like Rachel Lowe from earlier, the former
he?s also done it a whopping six times.
Dragon's Den contestant. After her board
?I do play with the bankruptcy laws,? says
game business collapsed, she returned with
Trump. ?They're very good for me.?
a lifestyle company, She Who Dares, followed by another games company. She was even
Like him or not, there?s something to take
awarded an MBE.
from that.
So, what?s Lowe?s advice on bouncing back?
Bou n ce back
?Giving up completely is where you'd be
To fail in business isn?t fatal. Yes, it hurts. And
failing,? she says. ?Be realistic about the
while it?s happening, it may seem impossible
situation [...] try to ride the wave and don't
to come out of it on the other side. But it?s
expect recovery to come overnight. Also,
not the end.
keep sight of what's most important in life.?
Most entrepreneurs who?ve been through a
Business is business, and bankruptcy is not a
business failure and bankruptcy will admit
reflection of you and your personal worth.
that it was terrible to experience. But they
So, if you face a setback, remember that a
tend to look back on it as one of the best
fall isn?t a failure so long as you rise again.
things that happened to them. 30
31
C- Suite Burnout: Is Your Business Encouraging Sabbaticals? In today?s fast-paced corporate world, the
David Banaghan, Interim CEO at recruitment
wellbeing of C-Suite employees is
software experts: Occupop said: ?With 20% to
increasingly under threat.
50% of employee turnover a result of burnout, burnout is a pressing concern for
According to a landmark study by Deloitte,
businesses and HR departments in
70% of C-Suite executives interviewed were
particular.
at risk of burnout and considered moving to organisations that offer better workplace
?One option to combat this could be the use
cultures.
of sabbaticals which can have restorative health benefits while improving your
This alarming statistic raises fresh questions
internal staff retention statistics.?
about how businesses can improve their wellbeing support to help retain staff and
We explore how businesses can enhance
precent burnout.
their wellbeing initiatives, with a particular focus on the benefits of sabbaticals.
David Banaghan 32
Co-Founder and Interim CEO at Occupop 32
The importance of C-Suite wellbeing
Can sabbat icals be a powerful tool?
As the highest management level in any
One of the most effective ways to support
given organisation, C-Suite executives are
the wellbeing of C-Suite executives is
often the driving force behind a company?s
through sabbaticals. A reported 90,000 UK
strategic vision and long-term success.
professionals are estimated to take a career break each year with a further 62% saying
Despite this, C-Suite wellbeing can often be
they?d take one if it were an option.
overlooked with 73% of C-Suite reporting they don?t feel able to take time off work
Historically, sabbaticals have been rare
and fully disconnect.
outside of academic professions, yet businesses are starting to embrace their
While 20% of UK workers experience
benefits: affording executives the
burnout, it can be particularly detrimental at
opportunity to recharge and return with
executive level because it affects not just the
renewed energy and a greater sense of
individual, but also the entire organisation.
perspective.
Stressed and overworked leaders may
The benefits of sabbaticals are
consequently struggle to make clear
well-documented. In the UK, 50% of
decisions, foster innovation and effectively
respondents who took sabbaticals did so
guide their teams. Over time, this can erode
relieve stress: 43% of which reported
company culture and employee morale,
improved mental health as a result.
leading to higher turnover rates and a decrease in overall performance.
For executives, a sabbatical offers a rare chance to reflect on their personal and
To mitigate these risks, businesses need to
professional goals, explore new ideas and
take proactive steps to support the
gain fresh perspectives. This period of
wellbeing of their executives. By doing so,
reflection can lead to greater clarity in
they can retain top talent, ensure long-term
decision-making, improved leadership skills
leadership stability and create a more resilient organisation.
32
and a deeper commitment to their role. 33
"...burnout at executive level affects not just the individual but also the entire organisation." Encouraging sabbat ical uptake
The policy should outline the eligibility criteria, duration of the sabbatical, and any
Despite some clear benefits, many
expectations around communication and
executives may ? understandably ? be
workload management during the break.
hesitant to take sabbaticals. When asked why C-Suite executives were reluctant to take
By providing a structured framework,
time off, 24% reported having too much work
companies can make it easier for executives
to do while 22% questioned whether others
to plan their sabbatical and feel confident
would be able to cover for them while away.
that their absence will not negatively impact the business.
Businesses can play a crucial role in encouraging sabbatical uptake by addressing
Promote t he benefit s
these concerns and fostering a culture that
Businesses can promote the mental and
values and supports employee wellbeing at
physical health benefits of taking an
all levels.
extended break through internal
Here are some practical tips to encourage
communications, wellness programs and
uptake:
workshops.
Create a sabbat ical policy
By highlighting the positive impact that a sabbatical can have on stress levels,
If you are considering employing a
companies can make a case for why
sabbatical policy, be clear around what
executives (who may be silently suffering)
expectations are. Having a clear and
should open-up and prioritise their
well-communicated sabbatical policy is the
wellbeing.
first step in encouraging executives to take time off. 34 34
Provide support for roles in t ransit ion
companies can help alleviate the anxiety around taking a sabbatical.
Clearly, not all businesses will be set up to allow for sabbaticals and this may only be
Conclusion
done in exceptional circumstances. One of
In an era where nearly 70% of C-suite
the main concerns around sabbaticals will
executives are considering leaving their
be how responsibilities are managed in an
organisations for better wellbeing support,
employee?s absence.
businesses cannot afford to ignore the
To address this, businesses can provide
importance of executive health.
support in the form of succession planning,
A sabbatical may be an effective means of
cross-training or interim leadership
addressing this and is not just beneficial for
appointments.
the individual ? but your organisation as a
By ensuring that there is a clear plan in
whole.
place for managing the executive?s duties,
34 35
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37
Four Ways Businesses Can Attract and Retain a Multi-Generational Workforce
Credit to source: Leisure Lake Bikes
Today?s workforce is the mostage-diverse
Tailored Recruit ment St rategies
ever witnessed, with four, sometimes five,
When it comes to attracting talent,
generations working side by side, ranging
businesses need to adopt targeted
from Baby Boomers to Gen Z. While the
recruitment strategies that appeal to
diversity in people's backgrounds and skills
different generations.
can be really valuable, it also presents challenges for businesses looking to attract,
For younger generations, job searching starts
engage, and retain talent across different
online, and they often rely on platforms like
age groups.
LinkedIn, Glassdoor, and even TikTok. Companies should invest in a strong online
In an era of ongoing talent shortages,
presence, highlighting their culture and
companies that effectively foster an
values through social media, employee
inclusive environment for employees at all
testimonials, and videos that show what life
stages of their careers will thrive. But how do
is like inside the company.
you create an employee experience that works for everyone?
To engage Gen Z, emphasise career growth and development opportunities. Highlight
Here, we?ll look at ways businesses can
mentorship programmes, training and
attract and retain multi-generational
development, and lateral career paths that
workforce.
offer variety and challenge. 38
38
For older generations, focus on job stability,
fresh perspectives can foster a more
retirement benefits, and opportunities to
cohesive workplace.
mentor younger employees. Many Baby
By offering flexibility, businesses can attract
Boomers want to stay active in the
and retain a broader talent pool. Gen Z and
workforce, but they may be more selective
Millennials might want remote work options
about where they choose to work based on
or non-traditional hours, while Baby
the company?s culture and respect for their
Boomers might value phased retirement
expertise.
plans or reduced hours.
Creat ing a Cult ure of Inclusion
While Millennials and Gen Z value
Inclusivity is a fundamental part of retaining
continuous feedback and recognition, older
a multi-generational workforce, with
generations appreciate structured
employees being more engaged and
performance reviews. Having a blend of
satisfied when they feel seen and valued.
informal check-ins and more formal evaluation methods ensures everyone feels
By encouraging collaboration between
supported.
generations businesses can break down stereotypes and allow employees to learn
Wellness St rategies for Everyone
from each other. Initiatives like
Employees expect companies to care about
cross-generational mentorship programmes
their mental, physical, and emotional health.
or project teams that mix experience with 38
However, different generations have 39
"Different generations have different strengths. By combining them, we can achieve more than we ever could alone." Anne Mulcahy
different wellness needs, so companies need
Millennials and Gen Z are eager to learn and
to offer a range of wellness programmes that
advance in their careers.
cater to this.
Also, mentorship programmes, pairing
Ben Mercer of Leisure Lakes Bikes, the UK's
younger employees with seasoned
leading mountain bike supplier, says: ?One
professionals, can create a culture of learning
great way to promote wellness for employees
and knowledge transfer. Younger generations
of all ages is the Cycle to Work scheme. Not
benefit from the wisdom of experience, while
only does it encourage people to stay active
older employees stay connected to the
but also helps the environment and allows for
fast-changing work landscape.
tax-free savings on bikes and accessories,
In today?s talent-short market, it?s not just
meaning younger employees can save money
about hiring people? it?s about creating an
and help the environment, while older
environment where everyone can thrive, no
employees can benefit from staying active.?
matter what stage of life they?re in. By
Invest ing in Cont inuous Learning
offering tailored recruitment strategies, cross-generational collaboration, wellness
Continuous learning is essential to keeping
initiatives, and continuous learning
employees engaged and motivated,
opportunities, businesses can engage
regardless of age. Baby Boomers and Gen X,
employees at every stage of their careers.
for example, may want to keep their skills relevant as the workforce evolves, while
40 40
40 41
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