With confusing signals on the economy we all need to be both dealing with current challenges and preparing for better times ahead. Recent OECD figures suggest a pause in the economic slowdown in the UK, France and Italy. There are some signs that the world economy is picking up. Demand for oil is increasing (an important signal of economic activity) - the price of oil has almost doubled since December (a double-edged sword as we all end up paying more!). Payroll layoffs in the US have slowed to the lowest level since October 2008 – although employment prospects in the UK remain fragile. The Governor of the Bank of England struck a note of caution recently about the UK economy.
To deal with current challenges and to prepare for the better times ahead, all UK companies need to make sure that their staff have the right skills mix. The UK government has made a commitment to provide extra training support to small and medium sized businesses. There is now more flexibility about the training that can be funded and bite size programmes are now eligible. These short programmes are particularly popular with SMEs because they are fitted to workplace demands and responsive to business conditions. However, as People Management magazine highlighted, it can be a challenge for SMEs to find their way through the maze of government-funded training. As a small business ourselves, we have become expert at helping our clients access funding for their programmes. Alternatively, a new centralised resource should help companies find out exactly what money is available to them.
Another `people’ factor that has been identified as key to staying competitive is innovation and creativity. The May edition of Kent Business proposed that “during periods of consolidation, market contraction or economic downturn…innovation and creativity is the only way to stay competitive”.
Here in Kent we have companies that are truly innovative in addressing the challenges that we all face. I am particularly inspired by the work going on at the University of Kent’s enterprise hub here in Canterbury. Lots of UK companies are looking for novel solutions to the challenges we all face, including SEA clients Selwyn Electronics, based in Sevenoaks.
In a future blog we will be considering employment opportunities for young people, with a review of issues in education and the hot topic of apprenticeships