|
|
| Chris Buxton Chief Executive of the PPMA | |
| Review of the year at the PPMA AGM 15 Dec 2005 |
Thank you Mike and a very good afternoon to you all.
Over the past two or three years, for various reasons, I have attended something in the order of about six annual general meetings with various organisations. As I listened to each of the various addresses that were undertaken. there were certain common themes running throughout what was being said.
The most popular opening line was;
“The past twelve months has been a period of significant change…”
Most speakers then went on to describe how the current business environment was a very challenging one and much was made of the impact of globalisation, competition from overseas, erosion of margins, under utilisation and of-course the all too familiar phrases of “consolidation” and “a refocus on core business.”
Now I don’t want to sound unsympathetic – after twenty years in business I am painfully aware of the impact that tough trading conditions can have on a company and there were times when I heard myself using some of those phrases - but I couldn’t help noticing that what was being said was actually preparing the audience for a disappointing message regarding the performance of the organisation and a promise of better things to come!
When it comes to the PPMA, I recognise all of these themes; but with a major caveat –
despite all of these issues - the PPMA has had an excellent year and your organisation is, (as we have seen from Ian’s summary) – in ‘great-shape’ and is very well placed to build on this strength and move into the next phase of the PPMA’s evolution. But more of that later…
Before we look forward to 2006, let’s take a brief look back on 2005.
At the risk of using the cliché - there is no doubt that 2005 was indeed;
“..a year of significant change for the PPMA.”
This time last year you were listening to Andrew Manly standing here giving the general AGM address and there is no doubt that Andrew is a tough act to follow! Those of you who knew him will know that his flamboyant style, enthusiasm and commitment were largely responsible for making the PPMA what it is today.
In recognition of his contribution, when he left in February of this year, the PPMA held an open day at our premises in Wallington and each of the teams within the Secretariat put on a display for the visitors. Not surprisingly, the event was very well attended by around 100 guests from across the industry and a good time was had by all. Andrew will clearly be missed and I wish him (as I am sure we all do), every success in his new role with the MTA.
Which leads us onto the next most obvious change, which is of-course, my own arrival! As you know I joined the PPMA on the 6th of September and since then I can honestly say that my feet haven’t touched the ground! I come to the PPMA having spent twenty five years working first for a short period in scientific research and then with a variety of blue chip companies, primarily in Sales and Strategic marketing. As many of you now know, I spent the last two years on secondment to the Cabinet Office Better Regulation Executive working with industry and trade associations not unlike the PPMA, trying to reduce the all too familiar burden of inappropriate regulation on the private sector.
But whilst I arrived in September of this year, Andrew left in February which left the PPMA Secretariat, potentially leaderless for six months!
The cavalry that came over the hill during this interim period was of-course our very own Company secretary – Ian Jardine, and whilst it is a credit to the team at Wallington that they (with the support of the Directors and our President Mike Randall), continued to maintain momentum throughout this period, it was under the leadership and steady hand of Ian Jardine that they managed to continue delivering the quality of service that our members have come to expect. I should also add that Ian has been an enormous support to me during my first couple of months with the team and I would like to thank him personally. He describes himself as a ‘back-room boy’ and like so many folk working behind the scenes, his contribution has been absolutely critical to the success of the PPMA. From my point of view it is a pleasure to work with him and long may his involvement continue.
There have also been other staff changes within the team at Wallington. This year saw the arrival of Dawn Fletcher and Emma Corney within the areas of admin support and domestic events whilst in the Publishing team we have Miriam Naisbett who will be supporting Bill Lake in developing our printed literature, data bases and issues relating to the press and media. The all-important post room at Wallington has also seen its fare share of staff turbulence but I am pleased to say that a normal service has been ‘maintained throughout!’
As you can see from this slide, other members of staff remain essentially as they were – David Harrison continues to fulfil the Commercial role and indeed all of the other hats that happen to fit, Julie supports Ian in ensuring that all of the numbers add-up, Rob Brown continues to look after our IT issues and Angela remains ever successful in media sales. John Cowdrey is a very familiar face to many of you as our man looking after technical and over seas events along with support from Janette Fagg whilst Margaret and Cheryl continue to very effectively, share responsibility for keeping the first point of contact for PPMA callers at its usual professional standard. The consultants, Martin, Mike, and Ian continue to support us in just about all aspects of our work. So much so, I have to say, that they are now as much a part of the team as everyone else! My thanks go to all of them for the sterling work that they have done over the year and for the support that they have given me since my arrival.
But last and certainly not, least - no discussion of the staff at the PPMA would be complete without mention of the one name that will be at the forefront of many of our minds at the moment. I refer of-course, to Beryl Nasse. As most of us know, this year has been a tough one for Beryl. Much of the past few months have seen her on long-term sick leave and I have to say that Beryl’s absence has been sorely felt by everyone both at Wallington and amongst the members. Her energy and enthusiasm are legendary and I continue to encounter echoes where ever I go, of her activities prior to her absence. As you would expect, she approached her treatment with the same defiance and enthusiasm with which she approaches every other aspect of life and I am pleased to be able to report that she has come through the first phase with flying colours. If the second and final phase of treatment is as successful as the first, we would hope to have her back amongst us during the latter part of March 2006.
With all of these staff changes, (and I haven’t yet mentioned those amongst the directors), you would be forgiven for wondering how the day to day business at the PPMA continued so smoothly - but continue it did!
One of the areas where Beryl’s influence was very much in evidence was at the PPMA Show 2005 held in September of this year. We are all aware of the current difficulties being experienced by the industrial and business to business show market but I am pleased to report that our own show appears to be ‘bucking’ this trend with members and other exhibitors over-whelmingly reporting a good and profitable three days. Like any event, there were some learning points. The early start on day two was very unpopular with most exhibitors and it is fare to say that the style of some of the marketing was not to everyone’s taste. However, none of these issues took away from the fact that the show was a great success. The PI Show – which was run in tandem, provided added interest and there was a significant number of ‘cross-over’ visitors between the two shows. The integrated Business Centre on the PPMA stand was also well received and was heavily used by show visitors and members alike. The exhibitor party, held on the second evening at the NEC was a little low on numbers although there is no doubt that those who did attend certainly enjoyed themselves!
This year, the PPMA Awards of Excellence were run as an integral part of the show by a roving band comprising of myself, Mike Randall and a celebrity in the form of the snooker player Dennis Taylor whom I have to say did a sterling job in engaging with the winners and their colleagues. I should also mention of-course, Mozart, who, dressed in ‘Romantic Red’, announced our arrival at each of the winners stands with a selection of fanfares and a medley of impromptu improvisations! As you can see from this slide, there were five main categories of award and I am pleased to say that we were very well received at every port of call. Congratulations again to all of those who won and special congratulations to both David Kay of Krones UK and Dick South of Cermex UK who each won lifetime achievement awards.
I am also pleased, if a little surprised, to report a remarkable appetite amongst members and visitors for the ‘blue’ ice cream that was being handed out from the on-stand ice cream van. This novel idea was one of Beryl’s brainchildren and was an enormous success!
For the show in 2006, these learning points, along with others will be addressed (from the Reeds perspective) under the new leadership of Ian Crawford who was previously occupied running the Interplas show. Ian’s appointment as the new Reeds Show Director heralds a new chapter in the good working relationship enjoyed by the PPMA and Reed Exhibitions and we are now working to ensure that the positive trends evident in this years show form the springboard for an even more successful PPMA 2006.
I can’t leave the subject of the Show without making special mention of John Cowdrey from the Wallington team who in Beryl’s understandable absence, took the reigns in managing the PPMA stand and rose to the occasion in what were very challenging circumstances. Nor should we forget the support that he received from the rest of the team from Wallington.
Going back to April of 2005 but still on the subject of exhibitions, albeit in the form of overseas initiatives, John and Beryl also managed the PPMA pavilion at the Interpack exhibition this year. As many of you will know, Interpack is the worlds largest packaging machinery exhibition and is held every third year at Düsseldorf. Forty three UK exhibitors took part in our pavilion and over 1000 business enquiries were generated every day with prospects from the event being in excess of £10 million! So successful was the PPMA pavilion in fact, that we won the TAF Award for Export and were subsequently runners up in the Nexus International Business awards 2005 held at the Royal Lancaster Hotel in November this year. (This was in spite incidentally, of having a daily delivery of ‘Spitfire’ beer via the German show services company!)
Other shows that we attended this year included Propak China in Shanghai, and Taropak in Poznan, Poland. Our attendance at these events (as always), was carefully planned to help our members respond to the much discussed growing impact of globalisation and to play a part in both the Chinese phenomenon and the more modest though rapid growth in Eastern Europe. Attendees to both events reported very favourable experiences and a good enquiry level.
John and the team are now busy putting together the program of overseas events for 2006 so I would encourage you to make your bookings now if you haven’t already done so!
(I should mention that recent changes in the structure and funding of the UKTI and SESA teams out of Glasgow will mean that government funding for some of these overseas activities will now be at best, harder to come by and at worst non-existent but we shall continue to make every effort to provide a cost effective service to our members wishing to take part. Clearly export business, (and this is born out by the PPMA members survey this year), continues to be growing very fast and members should continue to exploit every export opportunity offered – even if it carries a slightly higher price tag.)
On the Publishing ‘front’, activities go from strength to strength. This year saw the introduction of a new publication– the Review of the Year. This proved to be very popular with members and we received a large number of relevant and welcome contributions whilst Machinery Update remains amongst the best if not the best publication of its kind and still contains more information on relevant machinery than all of the other publications in the market.
Bill and the team also did their usual excellent job in supporting PPMA 2005 with production of a very high quality show catalogue. One of the changes that we shall introduce at future PPMA shows is a more proactive approach to selling this publication which to date has been fairly passive.
Angela Rosenburg continues to be the lady responsible for sales of advertising space in the PPMA publications and I am assured by members that she is doing an excellent job! Certainly the figures reflect this view and our prices continue to be amongst the most competitive in the market – especially when you see the quality of the database which is widely regarded as still being the best in the industry.
One area where we might improve is in our publication of the budget-product, PPMA News. Popular as it has been, frequency has been patchy and we are currently considering a revamp of this item to better reflect the professionalism and credibility now enjoyed by the Association.
In the area of Technical Services we continue to provide a wide range of different products. The Health & safety Passport schemes remain strong and we have now trained over 800 engineers. This year will see efforts to build upon this experience and acquire the same levels of support in the Pharmaceuticals sector through the PPMA Pharmachem members sub-group.
2005 saw the Technical team continue developing seminars to help members deal with the inexorable flow of legislation out of Brussels and we are currently in discussions designed to develop a new series of seminars which seek to address new technological trends and developments such as robotics and servo-based technology.
As you know, each year the technical team runs a business confidence survey. 2005 was no different and those that took part will now be in possession of the results. Now is not the time to discuss those results but it is worth noting that whilst the pressures on both profit and turn-over remain, there is a definite optimism amongst our membership with almost half of those responding reporting an increase in both orders and enquiry levels over the last six month period. Well over half remain optimistic that both orders and enquiries will increase into 2006 which also bodes well for the PPMA.
The work undertaken with the Research community continues. Earlier this year I visited the Bath University Mechanical Engineering Department to review the work which we are currently helping to support. The group has now achieved a 5**A rating. I won’t go into detail as to exactly what that means suffice to say that in Research Council terms, it doesn’t come any better! No doubt this performance was a factor in their having recently been awarded a significant sum of extra government funding to continue with the work that we helped to initiate and 2006 will see the PPMA establish a workshop with interested members in which they can help to determine the most effective and useful way in which to develop the project and spend the money for the benefit of their industry.
One of the most significant events of the year occurred very shortly after I had joined - namely the PPMA Strategy Day.
The PPMA is clearly at a crossroads. As Mike pointed out in his earlier address, the Association has now matured well beyond the days when it was essentially a vehicle for the PPMA Show. We now offer a whole host of added value services from technical consultancy, through publications to self-help export initiatives. However, Membership, although strong, is essentially static and if we are to realise growth we need to look to other means of generating revenue – new means of expanding the membership and a strategy which will take the PPMA into a the next phase in its evolution.
The Strategy day at Sopwell House in October of this year did much to help establish a mechanism for this process. Attended by the PPMA Board along with key members of the team at Wallington, the day began with a review of the current market position from both inside and outside the PPMA. The assembled group then essentially undertook a complete SWOT analysis of the PPMA business and with the time remaining, began to develop strategies which essentially built on the identified strengths, mitigated for the weaknesses, exploited the Opportunities and sought to try and defend against the perceived threats. In the time available, it wasn’t possible to address all of the issues spawned from the SWOT analysis but every item was captured and I am currently in the closing stages of writing a 2006 Strategic Plan for the association which was based upon, amongst other things, the excellent work done at Sopwell House. This document, once ratified – will not only capture and implement the work of the strategy day but will also provide a road map for the PPMA Secretariat over the coming year.
I very deliberately used the term ‘evolution’ earlier when describing the development of the PPMA. This was quite intentional and recognises the fact that in moving forwards with the PPMA we are going to be very careful not to alienate the existing core members – the very bedrock upon which the PPMA was founded. Nevertheless, an open mind and a willingness to embrace new ideas will be important and those with a fundamental dislike of any change irrespective of the benefits, may find the coming period a little more challenging.
One of the key issues that came out of the Strategy analysis was the need to address better, the Process market and those relevant members within the PPMA. This issue is not of-course, new. In my address to the press at the PPMA Show this year I stated that a survey by Pira in 2002 showed that in 74 per cent of end-user companies processing and packaging functions had either merged or were in the process of doing so. This is an important message - not only for our exhibition – where over 60 per cent of visitors now have responsibility for both processing and packaging – but also for every other service provided by the PPMA. Over 2006, this commitment will become apparent in all aspects of what we do whether in the selection of topics for the new seminar program, the content of export initiatives or the marketing messages embedded in the new show material. As part of this commitment, a new Director responsible for Processing has been appointed in the form of Mike Warren and I would like to thank him for taking up the baton in this respect. Again - for the pure packaging companies amongst the membership I would reiterate the fact that this thrust will not be undertaken at their expense but in tandem with the packaging related initiatives in order that all members may benefit.
Another initiative arising from the strategy day will involve a complete review and consolidation of the current published material so that there is a strong theme and consistency across the whole suite. –What the marketing pundits like to call a re-enforcement of the Brand. I should emphasise that this will not be complete re-branding exercise – more of a polishing process designed to raise the consistency and clarity of our message whilst raising the professionalism of our communications.
This ‘polishing’ exercise will also include the non-paper based media such as our e-mail and the all important PPMA Website for which a dedicated working group involving members of the Board has been established and is currently working to develop a new and much improved product.
One of the more innovative ideas to come out of the PPMA over the past few years, has been to establish an office in China. Given the much discussed growth in the Asia region this is now all the more significant and this fact was recognised during the Strategy work undertaken at Sopwell House. 2006 will see a greater emphasis upon developing this opportunity and I am pleased to say that I returned only three days ago from a recent visit to Shanghai where we have recently signed another contract with a British company wishing to use the office as a ‘springboard’ into the Chinese market. Such arrangements do much to raise the image of the PPMA and have the added benefit of generating additional revenue for members as well as providing a ‘helping hand’ for those wishing to develop their own export strategy. My thanks also to Barry Tucker for all the excellent work that he has put in on the China office initiative both recently and prior to my arrival.
Finally on the subject of PPMA activities, a word about engagement with other stakeholders and especially the Government regulators. Many of you will have already heard me say that Governments do not listen to individuals – they don’t even listen to companies! But when a whole industry begins to speak coherently with one professional, consolidated voice they see their ‘voting-base’ under threat and then they do listen. If Trade Associations like ourselves have any purpose in life, it must be to provide a voice for the industry. This subject was discussed at the strategy day and it was recognized that whilst the PPMA has done some good work in this area; (we are active members of EAMA, COPAMA, EUCHEMAP and Europama), it is an area where we need to do more. Hopefully my own experience and background will be of help in this respect and we have already undertaken some significant initiatives regarding so-called ‘family-friendly’ employment policy. October saw a meeting with Alun Michael the SoS for Industry and in November I attended a luncheon meeting for Margaret Hodge, the SoS for employment. 2005 also saw us elected to the Steering Group of the Trade Association Forum which will provide, amongst many other things, further opportunities to engage with government.
The continued participation in the writing of industry standards by the technical team at Wallington also remains another good way to engage with a host of different stakeholders including the DTI, the Health & Safety Executive, major equipment users and equivalent trade associations in other countries such as the VDMA in Germany, the UCIMA in Italy and the PMMI in the States.
One last point on stakeholder engagement - I am pleased to say that Ian Pruchniewicz has kindly agreed to become director responsible for what we have termed ‘influencing other stakeholders’ so we now have Board level support and sponsorship for these activities.
And so to the Board. The staff changes with which I began this address are not confined to the Executive. We have several changes within the PPMA Board of Directors some of which have already been mentioned.
I have spoken of Mike Warren and Ian Pruchniewicz looking after Process and Stakeholder engagement whilst Mike Randall of-course, continues as our President. John Clayton of Newman Labeling and a past President has kindly agreed to take over from Ivan Reeve of Europack sponsoring our Technical Services. Karen Cobbitt of Spring Vale Equipment has picked up the Publishing baton, whilst Jerry Marden of Marden Edwards who was previously involved in Publishing has now taken on the ever growing Export remit. Chris Williams of Selo Bolands and Alan Yates of Endoline Machinery respectively continue with Finance and Membership and I am very pleased to welcome Peter Binns of Heuft, who joins the team for the first time.
Which only leaves Barry Tucker of Aetna. As most of us know, Barry is, I believe the longest standing member of the PPMA Board and has looked after both the PPMA Show from a position on the Reeds Executive, the China office and of-course, is a past President. As a new comer to the Association I have had all too little time to spend with Barry and I am sad to say that last night saw us gather for Barry’s farewell dinner. He is, sadly, finally retiring from the PPMA Board and I know from the numerous comments that I have received on the subject, that the PPMA will be all the poorer for Barry’s absence. We wish you only the very best of luck in your retirement Barry.
At this point I would like to thank all of the directors, not just for the enormous support that they voluntarily give to the Secretariat and the PPMA membership but also on a personal note for making me feel so welcome in taking up my new post. Although it has only been a couple of months – they have already made me feel very much at home and I look forward to working with all of them.
But I would like to save my last few words for Mike Randall. As our current President, he does, of-course, merit special mention. Many of you will have met Mike at one of the many PPMA events that he has supported since coming into post or perhaps at one of the excellent Presidents lunches that he has hosted throughout the year. Those of us that know him well are eternally impressed and grateful for the enormous commitment that he shows to our association - and he has been especially supportive of me since my arrival. I shall certainly seek to repay the confidence that Mike has shown in the secretariat and indeed myself, by working to ensure that the decision that he led in ‘taking-me-on’ - was a good one. Our sincere thanks to you Mike.
So, in closing, my last thanks go to you, the members, who have supported our events during 2005 and without whose contribution we would cease to exist. Please continue with your support – it is, to say the very least, greatly appreciated - and I trust that I have left you with a good impression of the excellent work that the team has undertaken over the past year; - a taste of the new era into which we are now moving - and perhaps most importantly of all, - the confidence that we have the right team in place to do the job.
Thank you - have a very good Christmas and a profitable New Year!
If you would like the PowerPoint presentation which accompanies this script, please contact David.Harrison@ppma.co.uk