IPA reacts to ICAEW business confidence monitor results
The ICAEW has today released its Q4 Business Confidence Monitor (BCM); taking in views from 1,000 Chartered Accountants who as client CFOs and CEOs represent some of the key purseholders for our industry, the BCM remains roundly positive, albeit showing a fall from last quarter’s +22.4 to +15.6.
Says Tom Lewis, IPA Finance Director, "Today's results reveal something of a “glass half-full” scenario – on the plus side, as evidenced in the latest Bellwether and to prior quarters of the BCM, confidence is firmly positive and 2015 looks to be turning out as a solid year with a positive outlook for 2016 and “no-flation” giving consumers increased spending power.
"However, the trend of positivity is declining and higher employment levels mean that staff turnover is starting to become more of an issue.
"Additionally, it is disappointing to see that, despite the availability of management skills becoming a bigger issue, the growth in staff development budgets is expected to decline.
"Unsurprisingly, confidence remains highest in the South East, and in London in particular.
"The message for IPA agencies remains consistent – make the best of the currently-benign climate and do not forget to plan ahead, ensuring that you have the right staff and service offerings. Reduced levels of hiring during the depths of the recessions suggest that investing in skills development for mid-level staff (with appropriate safeguards) could yield the best returns."
Read the full results here.
Tom Lewis, aka the IPA’s ‘Commercial Acuman' is on hand to answer any profit-and-loss-related questions you may have in his monthly advice column. So, from remuneration models to payment terms, scope creep to procurement, if you have any questions about how to enhance your commercial performance, email firstname.lastname@example.org. All questions will appear anonymously and responses will feature in a monthly column in AdUpdate, the IPA’s popular industry newsletter.
Last updated 02/11/2015