< PreviousAVAILABLE NOW 278,852 SQ FT TO LET UP TO 606,000 SQ FT gazeley.com NEW, HIGHLY-SPECIFIED DISTRIBUTION WAREHOUSE PLUS AN ADDITIONAL OPPORTUNITY TO CREATE A BESPOKE BUILDING FOR ALL ENQUIRIES: Adrienne Howells Development Director adrienne.howells@gazeley.com +44 (0)20 7901 4452 James Atkinson Development Manager james.atkinson@gazeley.com +44 (0)20 7901 4452 G-PARK DONCASTER – UNIT 1 WEST MOOR PARK, M18/J4 10-13.qxp_Layout 1 19/12/2019 09:18 Page 1www.blmforum.net Business Link 11 PROPERTY Sign of things to come To get the measure of the year ahead, Business Link has invited commercial property industry experts to share their insight and explore what the next twelve months entail in the market here in Yorkshire and Lincolnshire. Keith Hardman, Head of Cushman & Wakefield’s Leeds office The decisive outcome of the General Election has removed the uncertainty over leave/remain, and the scale of the Parliamentary majority will lend confidence to investor and occupier markets alike across the region. Attention will now focus on the ‘devil in the detail’ of what leave will mean in practice. Having secured seats in areas where Labour have traditionally dominated for decades, not just in Yorkshire but also in other parts of the north of England, 2020 will bring: * Renewed emphasis on rebalancing the geo-economy with Government increasing investment through a further empowered Northern Powerhouse. This will manifest with much needed priority commitments to deliver Northern Powerhouse Rail and interim ‘quick win’ transport infrastructure improvements. * Additional funding measures to address the decline of town and city centres and to expedite the changes required to reverse this. These will go beyond the £3.6 billion of funding already committed through the Towns Fund. The socio-economic importance of repurposing and reinvigorating town centres will be overlaid with a political imperative to reverse the all too many areas of visible decline. This could include the creation of new Enterprise Zones with an emphasis on town centre locations and extensions to the LEP funding regime where this beyond the current cut-off date ted by the end of March 2021. * The introduction of a sales tax with a Business Rates offset targeted at Online retailers, where the tax revenues will be directly invested in transforming town centres. Richard Lumley, Chairman of Castlehouse Construction As a regional construction firm, we are well placed to monitor industry activity levels and are delighted to report that the uncertainty brought about by the political situation dominating the year hasn’t unduly impacted our business. In 2019, as we celebrated a decade in business, we have had a record year with a 125 per cent order book increase, a strong project pipeline and we also announced our expansion into the North West with the opening of our Manchester office. Looking ahead to 2020 with more political and economic certainty, we are incredibly positive about the year ahead. Much of our focus in the last half of 2019 was on regeneration and we are part of several key regional projects which are injecting major investment into Yorkshire’s towns and cities. The commitment by the industry to breathe new life into areas identified as ripe for regeneration is an incredibly positive sign and we are excited to be playing a role in these transformational developments. We anticipate that 2020 will see the commitment to more investment and development activity which will have a positive impact on the wider property market. 10-13.qxp_Layout 1 19/12/2019 09:18 Page 2Armstrong house Offering a prime position in Grimsby, Armstrong House on Armstrong Street is ideally located. Close to the ports of Grimsby and Immingham, motorway links and the town centre, off-street parking is also available for all staff and visitors, meaning it’s convenient too. Our spacious, welcoming offices are located on the ground floor and are both secure and CCTV-monitored, giving you the ultimate peace of mind. At Armstrong House, the flexible in/out terms of contract mean confidence when it comes to affordability and with a range of office sizes there are opportunities for all types of business. If you require virtual office services, prices start from just £15 per month. For more information, or to discuss your office requirements, give Scotts Property a call today on 01472 267000 and ask about Armstrong House. Last remaining office suites Prime location in Grimsby Superb Location - - Close to the ports of Grimsby & Immingham - Great motorway links - Close to the town centre Secure off street parking High speed internet availability Easy in/out terms A range of affordable office sizes 3 3 3 3 3 Armstrong House, Armstrong Street, Grimsby DN31 2QE Tel: (01472) 310301 • Email: s.fisher@blmgroup.co.uk www.shutterstock.com/terekhov igor www.shutterstock.com/Yentafern 10-13.qxp_Layout 1 19/12/2019 09:18 Page 3www.shutterstock.com/Yentafern www.blmforum.net Business Link 13 PROPERTY Cameron Sanderson, Development Surveyor at Keyland Developments The next twelve months look overwhelmingly positive for the region’s property market. With a withdrawal from the EU expected early in the new year, Brexit uncertainty will soon be behind us which will heighten investment into property across the regions. Well-located offices will be major targets for investors and the industrial and logistics sector will continue to perform well driven by increases in e-commerce and demand for larger units in locations close to labour availability. With increasing amounts of capital chasing few opportunities, investors with higher risk appetites will have to look to retail and alternative uses. In respect of housing, Yorkshire has greater capacity for house price growth relative to incomes than southern regions and will continue to see strong growth next year. An increase in interest rates is likely to creep in over the next twelve months although increments will be moderate, rental growth will likely be in line with wage inflation across the region. 240,000 properties were added to the country’s housing stock in 2018-19, the highest level in almost thirty years. Yorkshire and the Humber will continue to contribute to the government’s ambitious 300,000 a year target. Expect to see growth in SME builders, specialist providers and MMC over the next twelve months. As we edge closer to the target of the UK being carbon neutral by 2050, expect to see sustainability at the top of people’s agenda in 2020 with the Yorkshire region playing a leading role in driving the change within industry. Guy Hurwood, Senior Director of Capital Markets at CBRE Overall, we expect UK total returns to be relatively attractive, with the low interest rate environment offering investors a robust alternative to fixed income. The office market is likely to continue to perform relatively well despite ongoing political background noise. The lack of stock in key regional markets has been a driver of growth for second-hand stock in 2019 and we expect the same in 2020. The retail sector will continue to face challenges, and there will be further pressure on values during 2020. This will be driven by further tenant events (CVAs / insolvencies) as well as some retailers who have undertaken CVAs requiring further rent cuts to continue trading. We expect secondary and tertiary shopping centres to require repositioning for alternative uses and to focus on engaging with their customers to drive footfall. The logistics market across the North of England has been a stellar performer for some time. The evidence suggests this will continue into 2020; in the short term we forecast rental growth and strong levels of investment. We forecast substantial growth in the residential market in 2020 – particularly in Leeds. 2020 will be a watershed for the purpose-built residential market, with notable investment sales and further developments being delivered on this side of the Pennines. Similarly, we predict a strong year for student accommodation and operational real estate as more funds turn their attention to the alternatives sector. Climate responsibility and technology are increasingly big industry issues which will rise further up the agenda for investors and developers – those who take action now could well benefit from first mover advantage. Generally, development schemes will continue to be driven by pre-let activity in office and industrial sectors. We predict further growth of public sector participation in development and regeneration projects across the region, enabling development in schemes which would otherwise be unviable. Edward Ziff, Chairman & Chief Executive, Town Centre Securities I hope the euphoria of the recent General Election will follow through with a revival in the property sector. It feels as though the retail market should be bottoming out – or at least as owners of large retail schemes we hope so! The general economy is set fair for the foreseeable, and we welcome what the new team in London will bring. 10-13.qxp_Layout 1 19/12/2019 09:18 Page 414 Business Link www.blmforum.net Japan’s post-war ‘economic miracle’ ushered in a period of record economic growth that lasted until the early nineties. During this era, the nation became a leader in the financial services and technology industries and defined the model of modern businesses with the idea of the so-called ‘salary man’ still prevalent in Japan to this day. For decades, Japanese businesses set the high-bench mark for corporate efficiency and productivity with concepts that have been adopted and folded into companies in the UK. Although many of these have fallen out of fashion in more recent years, often relegated to motivational posters on the boardroom or meeting room wall, there’s still plenty that can be learned from these business concepts for companies looking to usher in productivity and efficiency gains in their workplaces. One such concept is 5S. Doubtless many readers will have come across this concept at some point in their career, but for those that haven’t, or require a refresher, it’s a form of visual management used to maximise efficiency and profit. This organisational framework emphasises the use of a specific mindset and offers tools to create efficiency and value. It involves observing, analysing, collaborating and searching for waste and inefficiencies in order to create a leaner, more efficient operation. Simpler still, the mantra of this methodology is “A place for everything, and everything in its place”. It’s named after five Japanese terms used to describe the steps involved – Seiri, Seiton, Seiso, Seiketsu, and Shitsuke. In English, these translate into: Sort, Set in order, Shine, Standardise and Sustain. A simple example of these five terms in action involves removing items that are no longer needed (sort); organising the items to optimise efficiency and flow (straighten); cleaning the area in order to more easily identify problems (shine); implementing colour coding and labels to stay consistent with other areas (standardise); and developing behaviours to keep the workplace organised in the long-term (sustain). Readers might have seen this concept with the additions of safety and security, sometimes referred to as 6S, but this shouldn’t be confused with Six Sigma, which is often stylised as 6S. However, this statistical-based data- driven approach and continuous improvement methodology for eliminating effects in a product or service was developed in the US in the early eighties. It’s important to understand that whatever business improvement strategy a company is looking to implement is doomed from the start if they don’t have a clearly defined idea of where they want to end up. It would be like manufacturing a product without any idea about how that product was going to be used, by whom and where. As in all cases, having a clearly defined business strategy in place is critical. That might simply be greater 16 Á targets, but rather a continuous improvement programme, and the organisational framework of 5S provides the first fundamental steps for a company to take when implementing lean manufacturing. We explore this concept, what it means for manufacturers, and how they can implement it. Implementing 14-17.qxp_Layout 1 19/12/2019 09:20 Page 1www.blmforum.net Business Link 15 PRODUCTIVITY & EFFICIENCY IN MANUFACTURING © Shutterstock /Wright Studio 14-17.qxp_Layout 1 19/12/2019 09:20 Page 216 Business Link www.blmforum.net PRODUCTIVITY & EFFICIENCY IN MANUFACTURING operational efficiency; cleaner, more organised facilities, or an emphasis on lowering cost. While smaller businesses can implement a 5S strategy across their entire operations in one go, it’s unwise for larger – or even medium-sized – business to do so, and should instead prioritise one area at a time. It should go without saying that everyone needs to be on the same page in understanding the business strategy and the company’s aim so that everyone is working towards that same goal rather than against it. Staff should also be trained in the ins and outs of 5S, exactly how they can use it to improve operation efficiency, reduce wastage and lower costs, and how to implement it. Though articles such as these are a great introduction, they’re no replacement for training courses and expert advice. With all that in mind, how exactly can manufacturers take their clearly defined business strategy and utilise 5S to implement it. Sort Companies should begin by removing all items from the work area and inspect and identify those that are critical to the success of the function performed at the workstation. From here, companies are advised to remove any duplicates, unnecessary equipment, infrequently used items and rubbish. Businesses should also categorise the non-essential items into two categories – either as waste or as valuable but not critical. The latter should be stored outside the workstation area which should save time, space and labour costs whilst boosting productivity. Set in order Having separated the waste and non- essentials, the equipment critical to a company’s operation now needs to be organised. It’s advised that positions are assigned for all equipment, work in progress and raw materials, keeping in mind ease of reach, proximity to work surface and identification. The idea is to maximise the efficiency of the workstation layout by putting the most frequently used tools within closest reach and thereby minimising wasted time from excess motion and searching. It might seem obvious, but it’s commonplace in manufacturing facilities and, as they say, wasted time is worse than wasted money. Shine Essentially, this stage means companies should keep everything clean, every day. As well as ensuring that the floors, walls and equipment are cleaned daily, companies should also ensure that all items are returned to their designated places. The important thing to remember here is to make this thorough routine part of the daily tasks instead of putting it off. Standardise This is an area which manufacturers might already have implemented, especially in the food industry where different coloured cleaning products are being used for health and safety reasons. Following on from the previous stage, this one sees companies ensuring that the conditions of their work area do not return to how they were before © Shutterstock /Zambri Zakaria 14-17.qxp_Layout 1 19/12/2019 09:20 Page 3www.blmforum.net Business Link 17 PRODUCTIVITY & EFFICIENCY IN MANUFACTURING Units 4b & 4c, Harpings Road, National Avenue, Kingston-upon-Hull, East Riding of Yorkshire HU5 4JF Tel: +44 (0)1482 440222 Email: esales@eyh.co.uk Web: www.ehy.co.uk eyh .co.uk EAST YORKSHIRE HYDRAULICS Hydraulic engineering - design, build, installation and service. • Complete hydraulic systems • Installation and commissioning • Hydro-pneumatic accumulators • Hydraulic equipment • Cylinders Single Source Hydraulic Solutions Design, build, installation and service of hydraulic systems, cylinders, accumulators and equipment. implementing 5S. In order to do so, staff should understand their responsibilities and be empowered to perform all their tasks daily. Sustain Naturally, the last stage sees companies making a habit of properly maintaining correct procedures to avoid slipping back into how their operations were beforehand. Key to the success of this concept is understanding that it’s not a one-time deal, but rather a continuous process. Again, implementing 5S or any other business improvement strategy isn’t something a company should rush into without first understanding their business aims, making sure their staff and senior team are all working towards the same shared aim, and then training everyone appropriately in order to implement those aims. By its very definition, manufacturing is all about productivity and efficiency. These aren’t static but are in constant flux and that’s exactly the attitudes that companies must take. Improvement must never be static but constantly evolved and with this framework, companies can do just that. © Shutterstock /industryviews 14-17.qxp_Layout 1 19/12/2019 09:20 Page 418 Business Link www.blmforum.net IT AND COMMUNICATIONS A different kind of data centre A different kind of data centre 18-21.qxp_Layout 1 19/12/2019 09:23 Page 1www.blmforum.net Business Link 19 IT AND COMMUNICATIONS Business have evolved so far beyond the pen and paper boardrooms of the twentieth century, where fax machines and Filofaxes were the height of corporate sophistication, to the point where it is almost unrecognisable in the modern age. Over the last two decades, there has been a massive evolution in digital technologies, many of which are now commonplace in offices across the country. Today, business continuity is inseparable from IT operations and, subsequently, data centres have become not only necessary for businesses, but indispensable. As digital technologies continue to transform the workplace and blur the borders between corporate and social lives, the need for more greater data infrastructure will only increase. We’ve explored at length the digital community that has emerged in Leeds, cementing the city as a rival to London and Cambridge. However, less has been said about the digital sector in Lincolnshire which, according to a report commissioned by Business Lincolnshire, is now worth almost £1 billion. The report found that the sector has grown by an additional £213 million in just two years and now employs well in excess of 8,000 people. Together with Leeds, and other digitally innovative areas across Yorkshire, and it’s clear that our area is at the forefront of the sector – something that would be impossible without the use of data centres. Simply put, a data centre is a repository that houses computing facilities such as servers, routers, switches and firewalls, as well as supporting facilities such as back up equipment. Just as with the businesses that depend on them, data centres vary in size from a complex, dedicated building utilised by big firms, or an area or room housing only a few servers as is often the case for SMEs. Data centres can also be private or shared but, big or small, they all generate heat. Generally, the temperatures recorded in the hot aisles of a data centre fluctuate between twenty-six and forty-six digress Celsius. Yet this is merely the tip of the iceberg when it comes to the environmental impact. Imagine your company’s data traffic As the demand for digital increases and global data traffic rises, the footprint of data centres will continue to grow. The industry standard is not only energy intensive but results in excessive carbon emissions, but that looks set to change with the launch of a new kind of data centre. 20 Á © Shutterstock /Vasin Lee 18-21.qxp_Layout 1 19/12/2019 09:23 Page 2Next >