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Moira Grassick shares her essential tips to help you maintain professionalism at your holiday party without being a party pooper Office holiday parties are a great way to celebrate achievements and strengthen bonds between staff. Despite careful planning and clear guidelines, these festive gatherings can sometimes lead to unexpected issues, however, posing potential challenges for leadership. From inappropriate gifts to workplace conflicts, holiday gatherings require a thoughtful approach to ensure they are inclusive, respectful and enjoyable for all.   Set clear expectations  The Christmas party might take place outside the office, but workplace policies still apply. It is essential to communicate a code of conduct in advance, reminding employees that they represent the company and should act accordingly. Disciplinary action can still apply for misconduct. Harassment and discrimination  Recognise that not everyone celebrates Christmas; some employees may hold different cultural/religious beliefs. Failing to acknowledge this can lead to feelings of exclusion or even discrimination claims. Use inclusive language, such as "end-of-year celebration", and strive to create an environment that welcomes everyone.  It’s important to remember that victims of harassment can raise complaints against employers in circumstances where the employer has failed to take all reasonable steps to prevent harassment from occurring, even at the annual holiday party.  Plan Secret Santa thoughtfully  Secret Santa exchanges can be fun, but it is essential to approach them with care and professionalism. Remind employees to choose gifts with dignity at work principles in mind to reduce the chances of an employee being offended by another’s attempt at fun.  Alcohol and substance usage  Office parties can be a fun way to unwind, but they also come with the potential for risks related to alcohol and drugs. Excessive drinking or substance abuse often leads to unprofessional behaviour or misunderstandings. To mitigate such risks, consider limiting complimentary drinks, providing non-alcoholic alternatives, banning substance use and appointing supervisors to oversee the event.  Prevent social media chaos  When your Christmas party is in full swing, it’s likely employees will snap pictures or videos. If your business is tagged on social media, it’s there for the world to see. If an inappropriate incident is captured online, your reputation is at risk.  To prevent the sharing of risky content, remind employees of your social media policy to clarify expectations.   Plan for the morning after  Should your Christmas party fall on a ‘school night’, it’s important to plan for the morning after. Let employees know ahead of time if they are expected to start work at the normal time or if you’re giving them some leeway. Remember your health and safety responsibilities. If employees drive or operate machinery for work, take appropriate precautions. This includes employees who commute by car. Anyone planning on having a heavy night should make alternative arrangements for the morning.   Remind employees not to report for work under the influence of alcohol or drugs. If they do, you will most likely need to take further disciplinary action.  Be prepared to address issues  Despite your best efforts, issues may still arise. Ensure employees know how to report inappropriate behaviour and that managers are trained to handle complaints fairly. Don’t forget your health and safety obligations outside working hours as well as having a review of your existing policies. Include any relevant policies from your employee handbook, such as codes of conduct, alcohol consumption, anti-harassment, absence, health and safety, disciplinary/grievance and social media. Swift action and proper investigation are crucial to maintaining trust and demonstrating a commitment to a respectful workplace.  A well-planned office holiday celebration can boost team spirit and acknowledge the year's achievements. By setting clear expectations, respecting diversity and managing risks, you can ensure the event is memorable for the right reasons.  Moira Grassick is COO at Peninsula Ireland

  Mergers and acquisitions often set out with grand strategies to gain competitive advantage but real success hinges on the ability to create value, writes Byron Smith While financial considerations are crucial, the best outcomes in mergers and acquisitions (M&As) often come from performing value identification due diligence, ensuring optimal resource utilisation post-deal, and leveraging the strengths each party brings to the table. The importance of synergies Successful M&As typically begin with a common goal, such as growth or market consolidation. The key to success lies in identifying and leveraging synergies, optimising operations and enhancing the market position of the combined entity. In Ireland, where the business environment includes both indigenous companies and multinational corporations (MNCs), creating value is essential for maintaining competitive advantage and achieving long-term success. While M&As are more common between indigenous companies and MNCs, we have effectively used value-creation methodologies to enable smaller enterprises to secure an equal "seat at the table" post-deal, despite their lower financial clout. Challenges in achieving synergies Synergies achieved through mergers and acquisitions can be operational, financial or strategic. Ideally, a successful outcome will include all three: Operational synergies involve cost savings, improved efficiencies and enhanced productivity. Financial synergies provide better access to capital, improved cash flow and tax benefits. Strategic synergies expand market reach, enhance product offerings and boost innovation.  In Ireland, leveraging these synergies in sectors like technology, pharmaceuticals and financial services can significantly enhance performance. However, achieving these synergies is challenging. Globally, our firm has found that around 70 percent of M&As fail to meet their anticipated value, underscoring the need for meticulous planning and execution. To fully realise the potential of an M&A, companies in Ireland must navigate regulatory frameworks, market dynamics and cultural fit, and identify inherent weaknesses early in the negotiation cycle. Innovation as a driver of value creation We have seen that synergies are not just about matching capabilities; some of the most successful M&As involve an innovative company with limited capital partnering with a capital-rich company with minimal R&D. Simply put – SMEs have the ideas and the MNCs have the financial resources. Such collaborations provide the necessary resources and capabilities for research and development, leading to new products, services and technologies. This innovation-driven approach helps companies stay ahead of the curve and maintain a competitive edge in the market. Effective governance and risk management Aligning governance and risk management in Irish businesses post-M&A is often challenging. The question of "What is my role now?" is typically a decision for the acquirer. The larger entity's risk and quality processes are often assumed to be superior. If not properly aligned, however, this assumption can lead to value erosion. Larger stakeholders frequently cite agility and innovation as reasons for carve-off and merger, or for acquiring a smaller, efficient and innovative bolt-on entity. Often, the acquired entity can feel disadvantaged by the deal experience. This can be potentially fatal, as key management may become disenchanted and line workers may feel their lifetime's work is being disregarded, often unwisely. It is crucial to evaluate the approaches and capabilities of both parties, use peer benchmarking and develop the best strategy without power plays. This type of analysis is essential for a successful value creation-driven M&A strategy. Peer benchmarking: looking outside to avoid mistakes Frequently, dealmakers overlook lessons from previous market M&A when approaching a deal. Therefore, peer benchmarking is a crucial value-creation tool. By comparing performance metrics with industry peers, companies can identify best practices, set realistic targets and uncover areas for improvement. This benchmarking goes beyond initial due diligence, setting early expectations for the financial, commercial and operational performance of the post-deal entity. It ensures that the newly formed, theoretically less lean, entity remains focused on becoming more efficient and competitive to achieve its value creation goals. Byron Smith is Associate Director of Strategy at KPMG

The VAT in the Digital Age proposal promises a major overhaul of the VAT regime in operation across the EU. Janette Maxwell and Fadi BouKaram delve into the details On 5 November 2024, EU Finance Ministers at the Economic and Financial Affairs Council (ECOFIN) unanimously agreed on the VAT in the Digital Age (ViDA) proposal. Although some formal procedures will need to be completed before the proposal is fully implemented, this agreement is expected to pave the way for significant changes to the VAT system across the European Union. The ViDA initiative comprises a series of significant reforms to the common VAT rules in the EU. Its goal is to enhance VAT compliance, combat tax fraud and modernise VAT regulations to better align with the demands of the digital age. The latest ViDA package has three pillars: E-invoicing and digital reporting Platform economy Single VAT registration E-invoicing and digital reporting For the supplier, electronic invoicing will be established as the standard method for issuing invoices and possessing a valid e-invoice will ultimately be a key requirement for VAT recovery. Invoices should generally comply with the European Standard (EN16931) and its specified syntaxes, but Member States may allow other formats under certain conditions. Electronic invoices for cross-border transactions must be issued no later than 10 days following the chargeable event. The e-invoice must be digitally reported to the relevant tax authorities by the supplier directly after the e-invoice has been issued (or within five days if the customer issues the e-invoice under a “self-billing” arrangement). The customer, however, is required to digitally report information from the e-invoice within five days of receiving it from the supplier. Member States may waive this digital reporting requirement for customers. The requirements above will apply from 1 July 2030. Platform economy From 1 July 2028, a taxable person who uses an electronic platform to facilitate short-term accommodation rentals (max 30 nights) – and/or passenger transport by road – will be regarded as the supplier of those services for VAT purposes and will therefore be liable to account for VAT, unless:  The underlying supplier provides its VAT identification number to the platform operator; or The underlying supplier informs the operator that they will charge the VAT due on that supply. Member States may decide not to designate the platform as a deemed supplier if the underlying supplier qualifies for and chooses the small and medium-sized enterprise (SME) VAT regime. Member States must implement the rules by 1 January 2030 at the latest. Single VAT registration The Single VAT Registration (SVR) pillar aims to minimise the requirement for non-established traders to register for VAT in an EU Member State where they are not established. The One-Stop-Shop (OSS) has been expanded to include additional types of supplies, such as domestic business-to-consumer transactions including the supply of electricity and natural gas, supply and installation contracts, as well as domestic supplies of goods and services. A new OSS module will allow businesses to report the movement of their own goods between EU Member States. Currently, moving goods usually requires VAT reporting and registration in both the country of dispatch and the country of arrival, with some exceptions. From 1 July 2028, businesses can choose to report these movements through the OSS, which means they will not be required to report acquisition VAT in the destination country. Time to prepare The time to prepare for these changes is now. Businesses need to review their IT systems and start thinking ahead as to how these changes will impact their day-to-day operations and related invoicing processes. Janette Maxwell is International Indirect Tax Director at Grant Thornton Ireland Fadi BouKaram is Director of Tax at Grant Thornton

David Codd delves into strategies for effectively integrating AI into the workplace, ensuring both technological advantage and operational safety   Artificial intelligence (AI) systems offer immense potential, but they can also introduce new and significant risks.   When considering integrating AI into the workplace, there will be elements that do not typically feature in other IT investment proposals.   Equally, commercial realities may be obscured by the excitement arising from the eye-catching power of this technology and its potential to cut out so much work.   Due diligence and risk management should be to the fore, especially when considering new AI technologies.   So, what should those in governance and finance teams look out for?   Should we move faster and invest more right now? The cost reductions that AI can enable in many situations are transformative. So, if the business is efficient and can handle change effectively, pushing the pace could stretch that lead.   Many proposals will envisage cautious, phased roll-out because AI represents unknown territory and it is expensive.    The key questions to consider is whether you should take on more risk to achieve a quicker roll-out, and whether there is a chance to grow and take advantage of significant cost savings by doing so.   Will customer service improvements result in increased market share? AI systems can improve service quality speed in the short- to medium-term. However, while your proprietary data is your own, the technology itself is widely available to those who can afford it, meaning it is unlikely to underpin a unique long-term competitive advantage.   Recent business cases claiming increased market share increase arising from the roll-out of an AI solution should be treated with scepticism. They may really be “me too” projects.   Nevertheless, AI investment might still be needed just to keep pace and retain share. How much change does our operating model need and is the cost understood? Most business cases will include the obvious costs arising from a technology-enabled process change. However, other substantial and costly business changes may be necessary – mature data classification and quality control, for example.  Expertise will be needed to carry out tasks, such as message auditing and defining and implementing guardrails on an ongoing basis to prevent bias creeping in through “data drift”.   This expertise can be expensive, and the associated costs should be built into project planning. Do we understand the risks and when will we be ready to mitigate and control them? Responsible AI is not simply a question of steering away from the deployment of high-risk systems as defined by the European Union’s Artificial Intelligence Act.    AI brings privacy, explainability and bias risks which are exacerbated by the plausibility of the output of large language models.   Risk governance is not merely an extension of current practices. Early use cases can present challenges while risk governance is recalibrated.    This can slow projects down and the timing of realising benefits in proposals should take account of this risk. Understanding all the risks Business cases should reflect the fact that AI is different to previous technologies in terms of potential, risk and operational impact.   Those in governance and finance teams can make a valuable contribution by ensuring the full implications are reflected in investment proposals.   David Codd is an Independent Non-executive Director and Transformation Advisor

Ireland’s economic future hinges on sustaining FDI, reforming regulations and tackling infrastructure issues to secure continued growth. Brendan Murphy explains why “It’s FDI, stupid” to paraphrase a 1990s US election slogan. We are a relatively small country – we need foreign direct investment to keep flowing in whether it is from the US or other parts of the world, including China. Over 80 percent of our corporation tax receipts and over 50 percent of our payroll tax receipts are generated by these companies. That money benefits all of us – consumers, savers and workers. We must not lose the golden goose.  This will require a long hard look at our infrastructure challenges in the coming decades, including some of the well-documented planning restrictions that can frustrate international businesses planning to set up in Ireland. The recent Government Budget missed an opportunity to champion Ireland’s businesses and entrepreneurs, featuring very few improvements to capital gains tax rules to encourage either. The cost of establishing and running a business continues to spiral. We would strongly support calls for improvements to entrepreneur relief to reward business owners and an easy-to-use share-based remuneration scheme that would allow those businesses to retain and reward key talent. Budget 2025 referred to four major issues that could make a real difference: share-based remuneration, the R&D tax credit, interest deductibility and the tax climate for the funds sector. In all four cases, however, the Government opted only to reference new and ongoing reviews rather than introduce any new tax policies. We think these should be top priorities for any incoming government to show some real tangible decisions from these reviews. Airport cap The airport cap has highlighted a key issue with planning laws and regulations in Ireland. This 17-year-old rule was introduced when Terminal 2 was built during a very different era. With a growing population and improvements to airport infrastructure, this cap should have been lifted years ago. We understand the need to manage this from an environmental perspective, but there is also a need to be mindful of the business travel that is crucial to maintaining our FDI levels and ensuring we support our hospitality sector, which felt forgotten and overlooked in the recent Budget.  We need to boost our tourist and investor numbers – not potentially put them off with higher air fares and fewer flights. Housing deficit There is no doubt housing will be a key battleground during this election and a key focus for the new government of whatever political makeup. In the recent Budget, the government outlined a roadmap for how current and future considerations from bank share sales will be allocated, emphasising a strong commitment to infrastructure spending. This investment is critical for achieving Ireland’s ambitious housing targets, with all agencies and commentators signalling that 60,000 new housing units will need to be completed annually to address the chronic undersupply. Despite these good intentions, however, planning delays and higher building costs continue to be significant constraints to meeting these targets. Some builders are unable to commence building unless they know they can deliver houses and apartments people can afford to buy. In addition to the generous budget allocations, planning regulations need to be closely examined and overhauled. Tangible policies over reviews To maintain Ireland’s status as an attractive FDI destination, decisive action is required. Infrastructure challenges, regulatory reform and thoughtful incentives for both entrepreneurs and international companies must be prioritised by any incoming government. Ireland’s economic future relies on supporting FDI, addressing the housing crisis and creating a business-friendly environment. If we are serious about growth, it’s time to replace reviews with real policy changes that meet the needs of today’s global economy. Brendan Murphy is Head of Tax at Baker Tilly Ireland 

Ruth McNamee explores how GenAI is transforming finance, automating tasks, enhancing decision-making and providing insights to deliver better business results The landscape of Generative Artificial Intelligence (GenAI) is changing at an unprecedented pace, offering companies a unique opportunity to drive innovation and secure competitive advantages. Among the various business functions poised to benefit from this technological revolution, the finance function stands out as ideal candidates for early adoption. The power of GenAI in finance GenAI has the potential to revolutionise finance functions by automating routine tasks, enhancing decision-making processes and uncovering valuable insights from vast datasets. From virtual assistants that facilitate chatting with data and documents through automated document processing, to automating financial reporting, the potential applications of GenAI are vast and varied. By implementing a structured and systematic approach, finance functions can improve efficiency and drive strategic growth. Initial steps: ‘TOM Light’ and enablement For organisations eager to start their GenAI journey, adopting a streamlined target operating model (TOM), or ‘TOM Light’, is an excellent first step. This can help organisations to quickly realise the benefits of GenAI without extensive initial investments or complex restructuring. By focusing on a few high-impact use cases, supported with a preliminary governance and technology set-up, finance teams can demonstrate the value of GenAI and build momentum for broader adoption. The GenAI revolution requires companies to actively support employees during the transition, convincing them of the benefits and initiating a cultural shift. New skill sets are in demand, and employees need to learn to use new GenAI systems effectively in a corporate context. To expand the pipeline with additional use cases and support the successful roll out of high-impact use cases, it can be beneficial to start by training an initial group of employees and then extend training step-by-step. A role-based upskilling initiative typically includes foundational and technical AI knowledge, complemented by practical use case ideation sessions — from small daily benefits to large-scale GenAI use cases. For example, knowing how to effectively create prompts and recognise potential applications for GenAI can create efficiencies in an accountant’s or controller’s daily tasks. Long-term vision: a comprehensive target operating model While ‘TOM Light’ offers a quick and effective entry point, long-term success with GenAI requires a more comprehensive TOM. This model should be designed to handle GenAI effectively and responsibly, ensuring the technology is integrated seamlessly into the organisation’s processes and culture. Key components of a comprehensive TOM include: Governance framework: establish clear guidelines for the responsible use of GenAI, including data privacy and security measures. Talent and skills development: invest in larger-scale enablement, building on the experience with the initial group to equip finance teams with the skills needed to leverage GenAI effectively. Technology infrastructure: build a robust and scalable technology infrastructure that can support the deployment and ongoing maintenance of GenAI solutions. Creating a roadmap for success With a TOM in place, organisations can develop a detailed roadmap outlining the steps needed to implement GenAI across the finance function.  The transformative potential of GenAI is undeniable, and finance functions are uniquely positioned to lead the way. By taking immediate action and adopting a structured approach, finance teams could drive innovation, enhance efficiency and create sustainable competitive advantage for their organisation. The time to embrace GenAI is now — don’t just observe the revolution, be a part of it. Ruth McNamee is Finance Transformation Director at PwC