Feeling uninspired after the summer? Ed Heffernan explores internal moves, smarter job transitions, and fresh opportunities without sacrificing long-term growth Turning off your out-of-office message after the holidays is simply depressing! The first day back is always difficult, but if the first week and the first month aren’t much better, then maybe a salary increase, a new job, or a new career might help. Most industries have their intensely busy times, and it’s unsurprising to learn that post-holidays – namely the New Year and Back-to-School September – are the hot spots for recruitment firms. It could be the downtime we have to think about our career choices, or the difficulty getting back into a work routine. Either way, the desire to do something different, more rewarding or better paid, is certainly an itch worth scratching. So, where to start? A complete career change is absolutely a possibility. There are some things you need to think about first, however. Career status The earlier you are in your career, the easier it is to change. An undergrad in science working in a lab, who wants to get into marketing, or a sales manager who likes the look of logistics – those career moves are relatively easy to make. Further up the chain, however, a complete change of direction will likely mean sacrificing some salary. If you are changing careers, there's an element of starting again, so you are probably going to get paid less. If you are 20 years into a role as a Chief Financial Officer, for example, and want to move into a creative area, you will need to make a financial sacrifice, certainly in the short term. You must be realistic, but it is also important to remember that the more value you create, the more you get compensated for the value of your time. No big bang Good advice is that a career change doesn't have to be a ‘big bang.’ Internal moves within organisations, or different functions, are more doable than external moves. And, if a business has multiple sites, a transfer to a new location will test whether the grass is actually greener on the other side! Take someone working as head of a supply chain in a big business or multinational who wants to transfer to the sales and marketing side of the business. This represents a more feasible move for both employer and employee. To start, take on some responsibilities linked to the side of the business you are interested in, or work on cross-functional projects that put you in closer proximity to those teams. Look for an internal secondment to a new team so your career change can be subtle. This will also help preserve income. Plus, if opportunities or experience within the new function are not all that great, there is scope for a return to your original department, bringing an even broader understanding back with you. Most employers these days don’t want to lose talent, so will generally work with employees on training or evolving their role. Job hunt homework Something as important as a career change demands homework. Don’t just take job descriptions as read. Job titles mean nothing without context and, at times, company recruitment ads are a list of duties and some company details. The context of the markets the business is in, the degree of activity around each duty demanded by the role, and the supports in place, are crucial to an accurate job representation. Do your own job interview. Ask yourself exactly what it is you think will be better and more rewarding about a new or different role, or even a new sector. If it does come to interviewing for a new job, this type of preparation will stand to you. For a hiring organisation, someone advanced in a long-term career who suddenly wants to shift gears must have some good reasons, and they must be able to demonstrate a real commitment and reasonable preparation. Ed Heffernan is Managing Partner at Barden

We don’t need more purpose statements, we need more purposeful leadership, writes Fiona English In a world awash with purpose statements, how can you ensure you or your organisation have the impact you desire? Many leaders and organisations begin with the wrong question when it comes to purpose. They focus on "what" they will do rather than "who" they will become. Purpose is an expression of identity, derived from who we are rather than simply what we do. It is not a thing you find. It is about the person you choose to become. A purposeful leader asks themselves how they will use their position, power and the resources available to have a greater impact on others and society. Purpose is uniquely human When it comes to purpose, we are often cynical. We believe ‘purpose’ is esoteric or a nice statement to have. But what makes purpose real is you. It cannot be outsourced to the organisation you lead or work for by simply crafting a ‘purpose statement.’ While any business can have a purpose statement, it is only leaders and employees who can breathe life into that statement through their choices. Purpose is real clarity on what the team members, team and organisation has committed to and the choices made as a result. Purpose is a choice Purpose, at its core, is about choice. It asks us what matters to us – as people, as citizens of our world, as leaders and employees of organisations. Being a purposeful leader asks you to clarify what drives your choices and how they reflect who you are, your belief system, what matters to you. It is those choices that have the power to amplify the impact you or your organisation can have in the world. Purpose is disruptive One of the least glorified aspects of purpose is that it is challenging. To have greater purpose in your life and work or to lead in a purposeful way in your business, you must first be willing to disrupt yourself and change how you are currently showing up in the world. To have purpose, leadership and organisations must stop talking about it and start embodying it. Take the statement you have crafted around the purpose of your organisation and ground it into reality through your choices. Purpose requires courage Purpose cannot exist without courage. Often, when we struggle with our purpose in life or work, it is not because we don’t know how to be more purposeful. We just don’t always like the consequences that come with being so. We say we want more authenticity, greater equality in the world or solutions to the climate crisis. However, what we really want is all these things without sacrifice. When it comes to many of the changes we need to see in the world today, our problem is not an absence of ideas or intellect but an absence of courage. We make purpose real It takes real leadership to define and execute purpose in life, work or business with integrity. We have to invest the time to get clear on who we are, who we wish to become, the impact we wish to have and the choices we are willing to make as a result. Only then can any purpose statement become reality. Purpose is not real until we choose it to be. Fiona English is a keynote speaker, thought leader and coach. www.fiona-english.com

Ethical conduct is not a “nice to have” for accountants, but a crucial professional competence, writes Professor Patricia Barker  Global Ethics Day will be celebrated on 16 October 2024. This initiative, founded by the Carnegie Council for International Affairs, is now in its eleventh year. This year’s theme is “Ethics Empowered”. The Consultative Committee of Accountancy Bodies (CCAB) Ethics Group believes it is important to reflect on the significance of ethics for the accountancy profession and to emphasise three key messages: 1. Empower through education and self-reflection Ethics should be viewed as a professional competence. This requires accountants to undertake regular CPD on ethics, self-reflection activity, and to familiarise themselves with frameworks to guide their ethical decision-making. 2. Be true to ethical values and model ethical behaviour Compliance should not be confused with ethical behaviour. 3. Follow your North Star Accountants should always use the five fundamental ethics principles, as set out by organisations such as Chartered Accountants Ireland, as well as the duty to act in the public interest as their constant navigation tool when facing an ethical dilemma. Ethics vs compliance In every sphere of professional activity, accountants, and the clients they work for, must deal with an ever-increasing tide of regulation. In addition to financial reporting and auditing standards – and alongside legislation governing taxation, anti-money laundering and sanctions – the profession is expected to be familiar with legislation, standards and regulations ranging from those relating to employment, competition and procurement to sustainability, data protection and corporate governance. This is the price to pay for being a trusted advisor. So great is the volume and weight of regulation today, however, that it pervades much of the profession’s decision-making and innovation.  More than just compliance It is important that accountants do not become complacent and that they remember that professional ethics is about much more than mere compliance. Indeed, they may be so preoccupied with gathering evidence of compliance, that they fail to reflect properly on the reality of the rightness and wrongness of actions and the decisions they take.  Dilemmas facing accountants can be regarded, broadly, as either regulatory or judgemental in nature.  Law and regulation provide the framework for ensuring compliance with regulatory issues.  As the body of rules and regulations grows unevenly across different jurisdictions, however, opportunities for regulatory arbitrage increase, potentially distorting markets. More importantly, not all dilemmas can be dealt with directly by a clear regulation. Ethical issues that fall outside clear rules must be judged in the context of the value framework the individual professional believes in.  This framework is provided by the ethical education and self-awareness of the accountant, supported by a Professional Code of Ethics and experiential/reflective learning.  The role of personal values In determining how to deal with any ethical dilemma, the accountant will be strongly influenced by their individual moral perspective. When considering whether a particular action is potentially good or bad, some accountants may prefer to emphasise the ultimate outcome, taking the view that the end will justify the means.  Others may believe that the action itself must be judged, rather than its consequences. Still others may believe that humans are inherently self-centred and competitive, and will make decisions in their own interests, albeit complying with the law.  Ethical behaviour, therefore, requires that each professional accountant undertakes detailed self-reflection to fully understand how their values influence their approach to decision-making and how they are likely to react under pressure. When there is a conflict between our conscience, our ethical reasoning, the requirements of our workplace and our limited ability to influence outcomes, cognitive dissonance is inevitable. Ethical self-reflection and close scrutiny of the guidance provided by the Code of Ethics for Professional Accountants can help the professional accountant forge a trajectory to ethical decision-making when under pressure. Importance of Code of Ethics for professional accountants Professional accountants who are members of one of the bodies comprising the CCAB must adhere to the Code of Ethics for Professional Accountants. This includes the International Independence Standards issued by the International Ethics Standards Board for Accountants (the Code). Perhaps inevitably, to accommodate the increase in regulation and standards, the Code has expanded exponentially in recent years. However, it is important to remember that the application material and more detailed sections of the Code are simply an expansion of the five fundamental ethics principles. Professional accountants should be guided not merely by the terms but also by the spirit of the Code. These principles, together with the overarching professional duty to act in the public interest set out in the Code, are broad enough to deal with most of the challenges accountants face in their daily professional lives – particularly when combined with informed ethical self-reflection. This article was written by Professor Patricia Barker, FCA, Lecturer of Business Ethics at Dublin City University, on behalf of the Consultative Committee of Accountancy Bodies

Budget 2025 needs to tackle rising business costs, tax complexity and housing shortages to enhance Ireland’s global competitiveness and support domestic and foreign enterprises, writes Tom Woods On 1 October, Budget 2025 should prioritise addressing key competitive challenges in the Irish economy, such as attracting, supporting and scaling Irish and foreign businesses, as well as tackling rising employment costs, international talent competition, and affordable housing availability. Tax simplification Ireland is facing a rapidly changing global tax environment, and the outcome of the US elections could significantly impact this environment and Ireland's attractiveness as an investment location. US tax measures designed to lower the US corporate tax rate to one more comparable with OECD peers and to protect the US tax base are scheduled to expire at the end of 2025. Despite this uncertainty, Ireland has a unique chance to present itself as a stable and secure destination for FDI. It is vital the opportunity is taken in Budget 2025 to introduce measures that will strengthen Ireland's competitive edge and attractiveness for inward investment. Ireland needs a broad and flexible participation regime that will support it as an international holding company location. We have called for introducing a participation exemption for foreign dividends to complement the participation exemption in place for capital gains. A branch exemption should also be introduced. Simplification of the tax code needs to be a priority in Budget 2025 to support enterprise and entrepreneurship. According to the KPMG Enterprise Barometer 2024, six in ten domestic businesses and entrepreneurs are concerned about the administrative complexity associated with the Irish tax system, particularly for smaller enterprises and entrepreneurs. Our pre-budget submission calls for the establishment of an Office for Tax Simplification to review the tax code, remove duplication, and simplify the system. By doing so, we can drive reform of overly complex tax rules that are adding to the cost of doing business and compromising competitiveness. This is particularly important now that the 12.5 percent corporation tax rate is less of a competitive advantage. SME investment SMEs employ more than 1.2 million people and are critical to our economic success, so they need access to capital and talent to develop and grow their businesses. Enhancements to the Key Employee Engagement Programme (KEEP) and the Special Assignee Relief Programme (SARP), as well as introducing a super deduction for payroll costs of highly skilled technology workers would help level the playing field for SMEs competing with multinational corporations in a tight labour market. Budget 2025 could also incentivise investment in SMEs by simplifying the Employment Investment Incentive Scheme (EIIS) and enhancing Capital Gains Tax (CGT) Entrepreneur's Relief. It is also critical to reverse the changes made to the CGT Retirement Relief in the last Finance Act. The availability of CGT retirement relief is vital to the development of multi-generational family-owned businesses and farms. These businesses and farms are the bedrock of the Irish economy, employing millions. Last year's changes will operate as a barrier to the transfer of Irish businesses and farms to the next generation. Employment cost reduction Ireland's high cost of employment has become a real concern for domestic businesses and foreign investors. Budget 2025 should introduce measures to reduce the cost of employment. Ireland needs a personal tax regime that attracts and retains skilled individuals. This is important for Irish and foreign-owned companies assessing Ireland as an investment location. The entry point to Ireland's marginal income tax rate is uncompetitive compared to many other jurisdictions, making it difficult to attract talent and highly skilled workers. We recommend raising the point at which the marginal rate applies to €50,000. We also recommend the introduction of an earnings cap of €75,000 on Employee PRSI and €100,000 on Employer PRSI, similar to social security caps in other countries, increasing workers' take-home pay, helping employers manage employment costs and supporting businesses growing and developing talent. Housing crisis The housing crisis is adversely impacting Ireland's attractiveness for investment. According to new data from the Central Statistics Office, 69,000 people emigrated from the Republic of Ireland in the 12 months to April 2024, the highest level of emigration since 2015. There were also significant inflows, but this is a missed opportunity to keep talented people in the Irish labour market. Several budgetary measures could be introduced to increase the housing supply, including incentivising employers to build and provide residential accommodation to employees with a corresponding benefit-in-kind (BIK) exemption for employees earning less than €50,000. Reintroducing a targeted and controlled form of Section 23 relief could also encourage the conversion of properties above retail units to residential use and encourage individuals to finance the development of new residential units for letting. Green technology Our ambitious climate goals will undoubtedly present challenges and opportunities for individuals, communities, and businesses. Tax policy could be used as an effective tool to encourage innovation in green technologies to help us meet these targets. The Government has several challenges to address, but strong exchequer returns should put the Government in a good position to deliver on a budgetary package of €1.8 billion in additional spending and €1.4 billion in tax measures as set out in the Summer Economic Statement.  Tom Woods is head of tax at KPMG in Ireland

Selling a business is a complex process and accountants have a crucial role to play in ensuring their clients achieve the optimal financial outcome. Niall Gaughan explains how As the financial landscape continues to evolve, accountants in Ireland are finding themselves at the forefront in helping to guide clients through the intricate process of selling a business. Beyond the immediate considerations of the sale itself, the post-sale period is critical to ensuring optimal financial outcomes. In this article, we explore the key elements accountants should consider when advising clients on selling a business, focusing on the importance of securing future financial stability, fostering strategic partnerships and succession planning. Anticipating the post-sale landscape Accountants must highlight the importance of proactive planning before a sale. Understanding the details of the financial landscape post-sale allows business owners to make informed choices that can have a significant impact on tax responsibilities, wealth preservation and overall financial health. This can help to ensure that clients are well-equipped to navigate any complexities that may emerge after the deal closure. Securing future financial stability Securing future financial stability post-sale is a critical consideration for both business owners and their advisors. Central to this endeavour is expert tax advice. Accountants play a pivotal role in guiding clients towards understanding the tax implications associated with a business sale. By carefully examining available reliefs, exemptions and allowances, accountants can help maximise after-tax returns, providing a solid foundation for the future. For instance, a comprehensive understanding of various reliefs can lead to substantial tax savings, laying the groundwork for securing the financial future of both the seller and the business. Fostering strategic partnerships When navigating the complexities of a business sale, fostering strategic partnerships is crucial. Accountants must pay careful attention to the strategic structuring of the sale, assessing alternatives such as selling shares or assets with a keen eye on the potential implications for both buyers and sellers. By leveraging their expertise and collaborating closely with other advisors, accountants can help clients select a structure that not only aligns with their financial goals but also fosters long-term strategic partnerships. These partnerships are crucial because they can provide significant tax advantages and facilitate a seamless transition process. Moreover, by aligning the interests of all parties involved, strategic partnerships lay a strong foundation for ongoing collaboration, which is essential for future growth and success. Securing the future beyond the sale Post-sale success is not solely contingent on immediate financial gains. Accountants should advocate for robust succession planning, especially within family businesses, considering factors such as family dynamics, business continuity and long-term financial objectives. By engaging in proactive succession planning, clients can safeguard their wealth, ensuring its sustained growth and the realisation of personal and family goals. This approach not only secures the financial future of the business but also aligns with the long-term vision and values of the family, setting the stage for continued success across generations. A strategic partnership for wealth management In the post-sale phase, a private banker with specialised competencies can support the unique requirements of handling the proceeds from a business sale. The business owner’s accountant can play a key role in selecting a private banker suited to their unique needs. Their competencies should include: Wealth preservation expertise: A private banker who understands wealth preservation strategies can help the client build a lasting legacy. Investment strategy: Competent private bankers should be adept at devising investment strategies aligned with the client's risk tolerance and financial goals, ensuring the continued growth of their wealth. Diversification and risk management: A private banker should be able to assist clients in diversifying their investment portfolio, mitigating risks associated with concentrated assets and optimising long-term returns. Personalised service: The ability to craft personalised financial plans that encompass the client's lifestyle, philanthropic aspirations and intergenerational wealth transfer, is a key competency for a private banker in this context. Clients are now keen to understand more about philanthropic options and sustainability. A good private banker should be able to facilitate access to deep knowledge and subject matter experts in these areas. Clients need a secure financial institution with a strong credit rating that offers immediate returns on their funds post-sale. Confidentiality and direct access to a private banker can help, as they will have access to expertise in financial markets and the ability to educate clients who are often experts in their fields – but not necessarily in financial management. Ensuring post-sale success The role of the accountant supporting a client through a business sale extends beyond the realms of financial statements and tax calculations. By proactively addressing the considerations outlined – expert tax advice, strategic structuring, succession planning and selecting the right private banker – accountants can guide their clients towards post-sale financial triumph. Niall Gaughan is a Director with Barclays Wealth in Dublin

Northern Ireland's economy faces a pressing skills gap, impacting productivity and growth. Collaborative efforts between business, government, and education are crucial to addressing this workforce challenge, writes Christine Patton Despite the good news stories of a strong jobs market and low unemployment rate across the Northern Ireland economy, attention has turned to skills and the skills gap challenge faced by many sectors and employers across the region. Skills are generally broken down into three categories: Basic skills – those that everyone needs, including literacy, numeracy and basic digital skills. Essential skills – those which are transferable and applicable to almost any job, such as communication and teamwork. Technical skills – those which are specific to a sector or role and are not easily transferred.   But how important are skills to Northern Ireland’s economy? Arguably, there is nothing more important for our economic success.  For an economy to thrive, it needs a sufficiently skilled workforce across all three of the above categories. It also needs a high level of productivity – something Northern Ireland has struggled with, consistently falling behind that of its UK counterparts. Education and skills development are key drivers of productivity. Increased well-being also contributes to local economic development, with skills significantly correlated with life outcomes.   However, there are challenges to achieving a sufficiently skilled workforce. Given the rate of acceleration of new technologies, sustainability targets, an ageing population, and the growing emphasis on placemaking, developing the skills pipeline and closing the skills gap will not be an easy task. For employers specifically, it can be a struggle to attract the right people with the skill sets required. The 2024 Business Barometer report published by Open University in partnership with the British Chambers of Commerce, has found that nearly half (44%) of organisations in Northern Ireland are still reporting worrying skills shortages. In recognition of the skills imbalance and the challenges employers face, the Institute of Directors, in partnership with Grant Thornton, MCS Group and SONI, established a Skills and Workplace Forum to identify key skills issues. To promote prosperity and flexibility to respond to future opportunities, the report made five recommendations: Reduce economic inactivity – Northern Ireland must widen our labour market, increasing our talent pool to better support employers to build diverse, more successful teams. Greater engagement with schools – Northern Ireland needs to improve the targeting, timeliness, effectiveness and efficiency of all age career guidance. We need new ways of informing and motivating young people and adults about careers and skills for a lifetime of work. Improve access and widen participation – We need to change how we think about learning and skills and be responsive to all young people’s circumstances as well as new and emerging technologies and trends. Make childcare work for everyone – The Northern Ireland Executive needs to provide specific support to community-based social enterprises (such as women’s centres) to scale up sustainably, enabling them to provide affordable childcare solutions to parents in Northern Ireland. Change access to the apprenticeship levy – We need to change how the apprenticeship levy operates locally so it’s ringfenced for labour market partnerships, skills and lifelong learning (similar to Skillnet). As we look towards the future of the Northern Ireland economy, skills shortages must remain to the fore. To make progress in closing the skills gap, there must be a genuine partnership between business, government, education, and training providers. All parties must play a key role in stimulating the local skills system through strong collaboration and engagement to work towards a better future and, as the Skills Workforce Forum report put it, ‘realise the full potential of our workforce, which is our greatest asset’. Christine Patton is Manager of Economic Advisory at Grant Thornton NI

The Charities (Amendment) Act 2024 modernises Ireland's charity regulations, enhancing trustee accountability, financial transparency, and regulatory oversight, ensuring a more trustworthy, well-governed sector, writes Keith Doyle The Charities (Amendment) Act 2024 brings in a variety of changes aimed at modernising the regulatory framework for charities in Ireland. These updates place a strong focus on improving governance, transparency, and accountability across the sector. Key reforms for charity trustees One of the most notable changes introduced by the Act relates to the responsibilities and obligations of charity trustees. Trustees are seen as central figures within any charity, and the new regulations place greater emphasis on ensuring they understand their duties. The Act formalises the expectations for trustees, including the requirement to act in the best interest of the charity, maintain proper oversight of the charity's activities, and avoid conflicts of interest. Additionally, trustees are required to have a clear understanding of their charity’s financial situation, ensuring funds are used appropriately to achieve the charity's objectives. To support this, the Charities Regulator will now have expanded powers to investigate trustee conduct and hold them accountable if they fail to meet their obligations. In cases of serious misconduct, trustees may face removal from their position, fines, or even prosecution. This shift is aimed at protecting the reputation of the sector by ensuring all charities are managed to a high standard. Financial reporting and thresholds The Act also updates the financial thresholds for charities. Smaller charities will now have less stringent reporting requirements, while larger organisations will need to meet more comprehensive financial reporting standards. The purpose of these changes is to balance the regulatory burden between smaller and larger charities while still maintaining transparency. Under these new guidelines, all charities must ensure they keep accurate financial records and submit annual reports to the Charities Regulator. In line with this, there will be greater scrutiny of how charities use their funds, particularly for larger organisations. The goal is to ensure that funds raised from the public are spent appropriately and in accordance with the charity's objectives. Mismanagement of funds, even in smaller charities, will be subject to investigation and penalties. Charities should review the amended requirements for financial reporting and determine where they fall on the new thresholds for reporting. For instance, the Amendment Act has raised the threshold requiring that the accounts of a charitable organisation be audited from €500,000 to €1,000,000. On the other hand, while the previous Act exempted a charitable organisation that is a company from this audit requirement, this exemption has now been removed. Enhanced role of the Charities Regulator The Charities Regulator plays a central role in overseeing the charitable sector, and the new Act significantly enhances its powers. The regulator will now have broader authority to conduct investigations, inspect records, and take enforcement actions where necessary. This includes the ability to freeze bank accounts, remove trustees, and impose sanctions on charities that fail to comply with the new regulations. The Act also introduces provisions for the regulator to provide more guidance and support to charities, helping them navigate the new compliance landscape. These new powers and supports are intended to strengthen the sector by encouraging best practices and ensuring public confidence in how charities operate. Streamlining administrative processes Another focus of the Act is to simplify the administrative burden on charities with the aim to make it easier for organisations to comply with regulations without being overwhelmed by paperwork or unnecessary procedures. For example, the Act introduces measures to simplify the registration process for new charities, as well as changes to how charities can update their details or amend their governing documents. By streamlining these processes, the hope is that charities can focus more on their core mission of providing services and less on administrative tasks. However, these simplified processes are balanced by the increased expectations for accountability and governance. Will there be guidance for charities to assist with good governance? The Charities Regulatory Authority (the Authority) has welcomed the introduction of the new legislation and has announced plans to develop guidance for charity trustees and those involved in managing or advising charities as the changes being introduced under the Act are commenced. While any such guidelines or codes of conduct developed by the Authority will not have the same effect as legislation, the Act provides that charities and charity trustees shall have regard to them. It is, therefore, clear that it will be expected of charities that any such guidelines or codes of conduct will be taken into account and adhered to by charity trustees and this is something which they must bear in mind when ensuring that they meet their annual governance code compliance requirements. Trustworthy charitable sector Overall, the Charities (Amendment) Act 2024 introduces a range of reforms that will have a significant impact on how charities operate in Ireland. By strengthening governance, enhancing transparency, and expanding the powers of the Charities Regulator, the Act aims to foster a more accountable and trustworthy charitable sector. These changes will ultimately benefit the public, donors, and the charities themselves by ensuring that charitable organisations are held to the highest standards of governance and compliance. Keith Doyle is Audit & Assurance Partner at Azets

Blurred lines between WhatsApp use for personal communication, interaction with colleagues and business purposes can create serious risk for organisations and employers. TerriSue Cosgrove explains why Of late, WhatsApp has had a starring role in dismissals that end up in the Labour Court, official enquiries across public and private sectors and even criminal proceedings. From communication deemed unprofessional or unfortunate that damages reputations, to comments or disclosures that merit court or employment law proceedings, many are unaware of the extent to which WhatsApp messages can be risky in the workplace. From an employment law perspective, employers should be aware that they may be found vicariously liable for a claim where an employee says something problematic – for example, discriminatory or defamatory -- in a WhatsApp message. Lately, we have seen many cases coming before the Workplace Relations Commission (WRC) involving inappropriate messaging, with serious consequences, including job loss. In these cases, businesses are typically held responsible and may face WRC fines. Privacy Often when employees use WhatsApp, either on their personal phone or a business device, they are unaware their messages can be accessed and may be disclosed to judge their conduct at work.  Any message in connection with work duties, or within a WhatsApp group – even one only sometimes used for legitimate work purposes – may create liability for either party. There is some ambiguity, and employees can reasonably expect privacy, but where WhatsApp is commonly used for work purposes, not all messages will be deemed private if contentious issues arise. While messages may be encrypted, employees must remember that all written, video and audio communication can be recorded and shared. We have a misplaced belief that instant messaging disappears without a paper trail. With any work gossip shared digitally, however, it takes only a second for someone to take a screenshot to send to a line manager. And, if you use WhatsApp on a company phone, your employer can legitimately access files you send, via device management software, network monitoring or company wi-fi. Policy The practical importance of having a social media and/or electronic communications policy in the workplace cannot be underestimated. Controls to manage the online security risks of a Bring Your Own Device (BYOD) situation are also important. The company’s privacy or IT policy should inform employees about the extent to which their company devices are monitored, and that all monitoring is undertaken in line with internal policy and data protection principles.  It should also ask staff not to use private communication channels for work purposes, both to protect sensitive company data and employees themselves. A code of practice on the Right to Disconnect policy legislation should be adhered to. Continuous messaging on platforms like WhatsApp, especially outside of working hours, can prevent employees from fully disconnecting, leading to stress and burnout. Using personal WhatsApp for business, especially on public wi-fi, makes companies vulnerable to loss of business-related data on employee-owned devices. Phones must be appropriately protected with encryption, security updates, auto-screen lock and password protection.  Staff might also make unauthorised disclosures of confidential company or client information. Whether deliberately or inadvertently, this can damage the business directly, or allow client claims for breach of confidence or data. Again, this highlights the need for a strong communication policy. It is essential to not only have a policy but also train employees regularly on its use. Clear policies, robust procedures and staff training on appropriate communication and behaviour will minimise risks. This should include notifying employees that WhatsApp groups, and their use, can be monitored on work phones and that misuse can result in disciplinary action – even if the use is not specifically created or sanctioned by the employer. Own it If an employer actively encourages or allows employees to use social media as a mechanism to store business contacts, they must ensure they have control over how this information is used, especially if the employee quits work. Where an app or site is used primarily for business purposes, the employer has a stronger case in arguing ownership of it. Policy documents can make clear statements that the employer owns a social media account, and/or the data or intellectual content on it, as well as the monitoring in place to protect the legitimate interests of the business, such as client confidentiality and reputation. Companies rarely have an idea of the WhatsApp groups in operation in their organisation, or who has access to them, and 'profiles' are often just a mobile phone number. It is likely that former employees, contractors or customers may have ongoing access to business information that they shouldn’t. Employers must realise they cannot revoke access to business information once it is on WhatsApp, as data is stored on individual phones, rather than centrally. And, if employees leave, they still have company information, including potentially sensitive data, and there’s little an employer can do about it. Michael O'Connor of NexGen Cyber says it is essential that companies regularly review digital assets, assess their security controls and implement measures to protect them. This not only safeguards their assets, but also demonstrates the security protocols in place to employees, and reassures clients and business associates. Such processes ensure data is protected and clearly illustrates its value and the potential repercussions in the event that a complaint is made. TerriSue Cosgrove is Managing Director at The HR Head

As a new Labour government takes shape in Britain, Irish businesses are bracing for the potential ripple effects across key sectors, writes Vivian Nathan As Britain transitions to a new Labour government, Irish businesses will closely monitor the potential impacts, as we are its closest neighbour. Sectors such as construction, hospitality and retail may feel the ripple effects of Labour’s policies, especially regarding employment rights and consumer spending power, which are closely linked to broader economic conditions. Construction sector The construction sector in Ireland is paying close attention to developments in Britain, given the number of Irish construction companies operating in both jurisdictions. Baker Tilly is currently working with several UK companies interested in Irish infrastructure spend, particularly in the rail sector. Additionally, we have seen increased inquiries from UK labour companies looking to serve the Irish market, demonstrating a growing interest in cross-border opportunities. The UK has been hampered by delays in decision-making before the General Election and the collapse of several construction contractors. The cancellation of large parts of the High Speed 2 railway project has further motivated UK contractors to seek opportunities in Ireland, especially with the Irish Government’s commitment to significant infrastructure spending. Meanwhile, the Irish housing market remains strong, with demand continuing to outstrip supply. Nevertheless, local issues around capacity and planning present ongoing challenges for the construction sector in Ireland. Irish-origin construction businesses are actively tendering for work across the island, further highlighting the cross-border interest. Hospitality and retail sectors Ireland’s hospitality and retail sectors have faced significant challenges since the COVID-19 pandemic. Despite seeing increased demand, the hospitality industry has recently been rocked by rising costs, such as those experienced by Dylan McGrath and the Press Up Group. These sectors are particularly sensitive to broader economic factors like inflation and interest rates, both of which are influenced by the economic situation in Britain. Labour’s focus on enhancing employment rights in Britain, including potential increases in the National Minimum Wage and National Living Wage, could indirectly affect Irish businesses, especially those operating in both jurisdictions. The proposed Employment Rights Bill, which aims to ‘make work pay’, may introduce measures such as banning zero-hour contracts and extending parental and sick leave. These changes could increase operational costs for businesses, potentially leading to higher consumer prices, particularly in the North of Ireland, where the border economy is acutely sensitive to changes in British policy. Adapting for the future The change in government in Britain brings with it a level of economic uncertainty that is of particular concern to Ireland, given our close ties, shared border, and the fact that some Irish and UK businesses operate in both jurisdictions. While it remains to be seen if the UK Labour government will adopt a ‘tax and spend’ approach, particularly in changes to the non-domiciled regime that could make Ireland a more attractive base, the full implications of Labour’s policies remain unclear. What is clear is that key sectors in Ireland – particularly construction, hospitality, and retail – will need to stay informed and be prepared. The changes in Britain could have significant consequences for Ireland, making it essential for Irish businesses to monitor developments and adapt accordingly. Vivian Nathan is Chief Operating Officer at Baker Tilly

New technologies will play an essential role in supporting finance functions to become value-adding business partners for organisations, writes Vickie Wall The application of technology to automate routine and low-value tasks has been a priority for CFOs for quite some time. Many finance leaders looking beyond automation are considering the implementation of autonomous systems that can carry out tasks but make or at least suggest decisions without the necessity for human intervention. However, among the more surprising findings of the EY Ireland CFO Survey 2024, 47 percent of respondents cited manual processes and controls as an area where time is used least efficiently in the finance function. This suggests that a sizeable number of Irish organisations still have some way to go in their automation efforts and that autonomous finance is probably not even on the horizon for them. No organisation, however, wilfully persists with inefficient and costly systems that are readily amenable to automation. The reality is that organisations face numerous obstacles when it comes to automation processes, not least of them skills deficits and costs. Eye on saving time and cost The Irish business landscape is extremely varied, ranging from Irish PLCs overseeing vast global operations and subsidiaries of global multinationals that are carrying out a range of finance and business services in Global Business Service centres, to both large and mid-sized private organisations with often relatively small finance teams and scarce technology resources. It is, therefore, quite probable that organisations at the smaller end of that spectrum will be those with the most significant automation challenges. Interestingly, recent advances in technology mean that autonomous finance may offer a means of leapfrogging obstacles. Autonomous finance systems use advanced technologies such as machine learning, artificial intelligence (AI) and big data analytics to continuously learn, adapt, predict, and have the capability to operate on their own. Up until quite recently, those technologies have been prohibitively expensive for most organisations and the skills to use them effectively have been rare and in high demand. The advent of generative AI (GenAI) and the near-simultaneous retrenchment in the tech sector has brought both the technology and the ability to use it within reach of just about all organisations, regardless of size. Very importantly, low-cost and no-cost GenAI tools can help to fill skills gaps in finance functions and accelerate automation efforts or restart stalled projects. Their natural language capabilities allow them to write the code for programmes and tools to carry out tasks and execute processes based on simple instructions from a human with little or no technology expertise. This can be applied immediately to time-consuming, recurring processes like month- and year-end close. In most cases, these are highly manual processes that deal with huge numbers of journal postings and have a high potential for human error. Automating them will both save time and effort and reduce costly errors. Seven-step roadmap to adoption Finance automation is no longer an option; it is a necessity. That will also be the case for autonomous finance in the not-too-distant future. The pressure on finance functions will simply be too great to sustain without the support of automated and autonomous processes. The only remaining question is how to progress the adoption and implementation journey. There are seven steps to successfully embrace automated and autonomous finance. Understand the current process Identify those tasks and processes that take the most time for the least reward, document them and establish if they make good automation use cases. Set clear goals Decide what you hope to achieve from automation; reduced manual errors, faster processes, reduced costs, improved reporting or better resource allocation. Choose the right tools Evaluate different finance automation tools available in the market. Some off-the-shelf tools from established providers offer clear benefits. Avail of free trials where possible to assess the claims made by the provider. Work with the IT function to ensure activities and strategies align with one another. Use intelligent bots The concept of AI as an assistant to augment human capability should be embraced. Rather than focusing solely on areas where human activity can be replaced by machines, the exploration of the use of technology to assist humans in their work should be given at least equal priority. Start small It is best to automate small parts of the accounting cycle at the beginning to build confidence in the new tools and solutions. This will help gain buy-in from within the finance function as well as the C-suite level to generate savings to fund future projects. Encourage innovation If finance teams are encouraged to dabble in the technology and experiment with automation in small projects, it could help build confidence and accelerate adoption. Allowing individuals to experiment can uncover new use cases and unlock additional value. Train the team While GenAI-powered tools will make up for many existing skills gaps, finance teams will still need to be trained on how to use the new tools to optimise their value. This will support the change management process required for the adoption of any new technology. Accelerate the journey Finance functions need to accelerate their automation journeys in the face of a rapidly increasing burden brought about by a combination of new regulations and increased demands from the business. GenAI and other new technologies have the power to support automation as well as assist in the adoption of high-value-adding autonomous finance processes. Vickie Wall is Financial Accounting Advisory Services Leader at EY

The EU’s Nature Restoration Law mandates the restoration of 20 percent of land and sea by 2030. Irish businesses must assess their reliance on nature for resilience, writes David McGee The formal adoption of the European Union (EU) Nature Restoration Law (NRL) by the EU Council in June 2024 marks another victory for nature. Importantly, it urges Irish businesses to understand their reliance on and impact on nature and biodiversity. Understanding what legislation like this could mean for long-term business resilience is essential. What is the importance of the Nature Restoration Law? The NRL is the first continent-wide, comprehensive law of its kind. Under the NRL, EU countries must implement measures to restore at least 20 percent of the EU’s land and sea areas by 2030 and all ecosystems in need of restoration by 2050. It sets specific legally binding targets and obligations for nature restoration across various ecosystems – from terrestrial to marine, freshwater and urban environments. Member states must submit national restoration plans to the European Commission by 2026, detailing how they will achieve these targets and how they will monitor and report on their progress. New business opportunities for ecosystem resilience Businesses often struggle to connect their operations directly with nature and biodiversity. However, a thorough understanding of value and supply chains reveals that reliance and impact  on nature and biodiversity are relevant for every business. The NRL may affect companies’ suppliers, customers or individual holdings directly or indirectly. The NRL and existing biodiversity reporting requirements under the Corporate Sustainability Reporting Directive (CSRD) signal to the business world that nature and biodiversity are paramount. Understanding and investing in nature and biodiversity can also open up new opportunities. The NRL aims to support the EU’s overarching climate mitigation and adaptation objectives while enhancing food security. Restoration efforts contribute to ecosystem resilience, which can lead to more sustainable long-term business models – especially for those heavily dependent on natural resources. Creating long-term sustainability Here are four steps ESG leaders can take to understand your company’s reliance on nature and biodiversity and ensure long-term sustainability.  1. Undertake value chain mapping: Value chain mapping is a crucial tool for understanding the ecosystem of your product or business operations. Gaining visibility of your value chain will assist in identifying where nature and biodiversity intersect and how they are integrated or relied upon throughout the value chain.  2. Evaluate and assess: Once you identify nature and biodiversity throughout the value chain, dependencies and impacts should be evaluated and assessed. Assess how natural resources (land, water, air) are utilised or relied on and how this relates to the locality of the resource. Nature and biodiversity can be highly local and unique. Where are the vulnerabilities and risks to nature from using resources in the value chain? What is the impact, and what can you do to mitigate it? Equally, where are the opportunities, or where can gains be made? 3. Data and technology: Relevant data and technology will give more certainty and enable informed decision-making by providing more accurate evaluations and assessments of the impacts and opportunities of business operations on nature and biodiversity. Leveraging non-financial sustainability reporting data, public datasets and geospatial tools will help build a comprehensive and accurate understanding of the interface between businesses, nature and biodiversity. Importantly, this will inform adequate action to reduce impact and dependencies while maximising opportunities. 4. Business strategy and risk management integration: Embed identified nature and biodiversity risks and actions into your broader business strategy and risk management. Increasingly, businesses are integrating sustainability into their wider business strategy, leading to sustained value, enabling strategic decision-making, driving accountability, maintaining compliance, and setting out how the cost to the business versus the contribution to society is managed. David McGee is ESG Leader at PwC Ireland

In 2025, DORA will impose rigorous risk management standards on EU financial entities. Shane O’Neill offers five practical steps for compliance readiness From 17 January 2025, the Digital Operational Resilience Act (DORA) applies to all financial entities operating within the European Union. This wide-reaching legislation aims to strengthen the digital operational resilience of the financial services sector. Built upon five pillars, it contains rigorous requirements for information and communication technology (ICT) risk management, incident reporting, testing, third-party risk management and information sharing. Implementing DORA’s requirements can be overwhelming, and knowing where to begin can be difficult. Below are five practical steps that firms can take to become DORA-ready. Understand the principle of proportionality Because of the diverse nature of the financial services sector, DORA employs the principle of proportionality. This challenging but critical aspect of compliance means that entities’ regulatory requirements will differ depending on their size and risk profile and the scale, nature and complexity of their business. For example, large institutions providing multiple services, such as Ireland’s three-pillar banks, must establish a fully-fledged ICT risk management framework that addresses all appropriate areas from DORA’s Level 1 and Level 2 texts. However, smaller entities, such as boutique trading firms, can avail of a simplified ICT risk management framework covering only the areas relevant to their function, services and industry. Testing requirements also differ depending on proportionality. All entities must set up a general testing programme and comply with digital testing requirements, but through industry engagement with the Central Bank of Ireland (CBI) in recent months, the indication is that only about 10–15 institutions in Ireland will initially fall within scope of the advanced threat-led penetration testing requirements laid out in Articles 26 and 27. The application of proportionality seeks to create a high standard for the sector as a whole while protecting smaller organisations from unnecessary regulatory encumbrances. Since DORA does not take a one-size-fits-all approach to compliance, institutions should begin their compliance journey with a scoping exercise to confirm the right-sized approach to meet the requirements without taking on needless regulatory burdens. Perform a holistic gap assessment DORA’s five pillars touch many components of business operations, so organisations should analyse their entire operating model to determine which groups and business functions the legislation affects. They should bring together the stakeholders from each affected area to ensure that everyone understands their role in the compliance journey. Business as usual will continue throughout the implementation timeline, and having a collaborative approach to the planning stage helps stakeholders align on DORA-related priorities and responsibilities from the get-go. When conducting the business-wide gap assessment, entities should also inspect existing processes to determine if they can be used for DORA compliance. All firms practise digital operational resilience to some extent, and with a comprehensive review, in many instances, they’ll discover that they can enhance some of their existing procedures to satisfy DORA requirements. Leveraging and improving existing procedures saves time and allows entities to focus their effort and resourcing on the areas where they’ll need to start from scratch to build practices that achieve compliance. Be strategic about remediation activities When building a remediation roadmap, entities should address the compliance areas that need the most work first. Drafting new frameworks, evaluating them against the legislation and scrutinising their effectiveness will take time. Areas with significant compliance gaps must be addressed thoroughly, and an imminent implementation deadline can create unnecessary pressure on employees. Whenever possible, businesses should align their remediation plans with existing transformation roadmaps. To remain competitive, many organisations are already executing transformation roadmaps –digital, operational, environmental, etc. These businesses should ground DORA changes within their existing plans. For instance, if a current transformation roadmap has a timeframe for updating contracts with third-party suppliers, the business should incorporate the additional contractual changes required by DORA as part of that review cycle. Document decision-making While the CBI expects firms to be as compliant as possible by 17 January 2025, it has also recognised that “the regulation of digital operational resilience is not a once-and-done exercise and that is optimal to adopt a multi-year, multifaceted perspective”. When implementing large-scale change programmes, certain business realities, such as the lengthy process for updating third-party contracts, may prevent organisations from implementing all required changes within the timeframe in place. The CBI will take such issues into account when evaluating compliance, but it has firm expectations that all entities will have established and begun work on an agreed implementation roadmap by the January deadline. Firms should, therefore, be prepared to give an account of their DORA decision-making process. Ensuring oversight and alignment through risk and compliance functions and objective review and challenge from internal audit will show the application of a holistic delivery model to meet DORA requirements. Plan to test digital operational resilience regularly DORA requires that firms test digital operational resilience regularly (with the principle of proportionality determining the frequency of the review cycle), so DORA frameworks need to stay top of mind within organisations even after implementation projects stand down next year. By increasing entity-wide awareness about maintaining digital operational resilience, businesses can help all employees understand that DORA frameworks shouldn’t exist in silos; they need to evolve alongside business practices. Any large-scale change – restructuring, operational changes, systems updates, etc. – should prompt an evaluation of the existing framework. For instance, if a firm decides to overhaul its technology systems in 2026, then the DORA framework – despite only being a year old – may need updating to ensure continued compliance and meet the evolving business model of today. Shane O'Neill is Partner in Consulting at Grant Thornton

Irish businesses in beef and forestry face challenges as new EU deforestation rules demand ‘deforestation-free’ certification, with severe penalties for non-compliance, writes Vivian Nathan Irish businesses, particularly those in the beef and forestry sectors, are set to encounter significant regulatory hurdles due to the new EU deforestation regulations. With the potential for severe penalties, the stakes have never been higher for Irish exporters. The EU Deforestation Regulation (EUDR), which will take effect on 30 December 2024, is designed to combat forest degradation by imposing strict compliance obligations on businesses trading in specific goods with the EU.   For Ireland, this means that companies exporting beef products, wood, and other related commodities will need to demonstrate that their products are ‘deforestation-free’. This regulation imposes stringent requirements on Irish businesses, particularly those in the beef and forestry sectors. Products such as  beef and processed beef items, and wood products must be certified as ‘deforestation-free’. This certification means they must not have been produced on land deforested after 31 December  2020. Failure to comply could result in severe penalties, including fines, confiscation of goods, and exclusion from public procurement opportunities. The impact on Ireland is significant due to its strong agricultural and forestry sectors. Farmers and businesses involved in beef production, wood processing, and other related industries will need to undertake rigorous due diligence to meet these new standards. This includes gathering geolocation data and other documentation to prove compliance. The new regulations represent a significant shift for Irish exporters, especially those in the beef and forestry industries. The penalties for non-compliance could severely impact businesses that do not take immediate action. Beef and processed beef products Items such as steaks, minced beef, liver, and canned luncheon meat must now be proven to come from sources that are not contributing to deforestation. Given Ireland’s significant beef export market, this regulation could place additional pressure on farmers and processors to ensure compliance. Forestry and wood products Products such as building materials (sheets of wood, laminated wood, wood flooring), wooden packaging (crates, pallets), and wooden household items (tableware, ornaments) must meet the stringent ‘deforestation-free’ criteria. The forestry sector, a cornerstone of rural Irish economies, will need to adapt quickly to avoid penalties. Other goods Chocolate products, coffee, printed materials (books, brochures, newspapers), and wooden furniture will also fall under the scope of the EUDR. For businesses exporting these goods, the compliance burden will be significant. Regulatory penalties The EUDR outlines a range of penalties for non-compliance, including: fines proportional to the environmental damage and value of the commodities, with escalating penalties for repeated offences; confiscation of non-compliant products and revenues from their sale; temporary exclusion from public procurement processes and access to public funding for up to 12 months; and prohibition from placing products on the market or exporting them in the event of serious or repeated infringements. Action required Businesses must start preparing now. The first step is understanding the EUDR’s impact on your operations and gathering the necessary data for the due diligence system (DDS). This includes verifying the geolocation of raw materials against the EUDR Map to confirm compliance. The EUDR is more than just a regulatory hurdle; it’s a transformative challenge for Irish exporters. By taking proactive steps, maintaining clear communication within supply chains, and ensuring all products meet the ‘deforestation-free’ criteria, businesses can safeguard their operations and continue to thrive in the European market. With the December 2024 deadline fast approaching, Irish businesses must adapt swiftly to the new regulations or face severe consequences in the EU market. Vivian Nathan is Chief Operating Officer at Baker Tilly Ireland

With the EU AI Act now in effect, businesses must navigate its regulatory challenges while unlocking AI's potential. Keith Power outlines three key strategies to ensure compliance and drive innovation With the introduction of the EU Artificial Intelligence Act, exactly three years after its first draft, organisations now face the challenge of understanding the business impact of this new regulation and determining appropriate measures to take. What contributes to this dynamic is, for the majority of organisations, thinking about the risk and compliance implications of AI while exploring its business potential. Here are three so-called steps to deal with both of these challenges. Step 1: Map your landscape of current and expected AI applications Top-down: Define current and foreseeable business opportunities and issues and compare these with the potential that generative AI technology offers. Bottom-up: Do a brainstorming session with appropriate representation of relevant business functions to identify potential AI use cases. The success factor in brainstorming is not overthinking it. Combine both categories of AI use cases and plot these against two dimensions:  overall business impact; and implementation effort required.  Highlight your ‘quick wins’ (high business impact, low implementation effort) and ‘high potentials’ (high business impact, high implementation effort) to get a strategic landscape of AI applications. Create an inventory of your current AI applications, in use and development, and add them to the strategic landscape of AI applications. Don’t forget third-party applications. The inventory should at least capture: the purpose and intended use of each AI system; the data it uses; its core functionality/workings; the processes, functions and (in)direct stakeholders it affects; and risk categorisation that is consistent with the EU AI Act. Result: A robust starting point for an AI strategy and a regulatory impact analysis. Step 2: Raise awareness and upskill employees For every job, function or role out there, the question is not if AI will change it, but when. Not having an AI strategy is not a sufficient reason to wait to offer employees upskilling opportunities or create a safe learning environment in which they can build skills in using AI and dealing with the risks of the technology. The latter is especially important because employees can start working with generative AI on their own initiative. Agile is the keyword here. Applying the latest generation of AI technology is like learning to work with a new colleague –  you have to spend time together to get attuned to each other.  What upskilling should focus on for now: Introduction to generative AI and its principles: This topic provides an overview of generative AI and explains its fundamental principles and applications. Employees will learn to understand the potential benefits and challenges associated with using generative AI. Responsible use of generative AI: This topic highlights the importance of responsible and ethical AI use. Employees will learn about risk considerations, including human impact, ethics, bias, fairness, privacy, and transparency, in the context of AI applications and the consequence(s) of their use. They will gain an understanding of the need to ensure that AI systems are developed and deployed in a responsible and accountable manner, in accordance with new legal requirements under the AI Act. Prompt engineering: This topic focuses on the concept of prompt engineering, which involves designing effective prompts or instructions to direct the behaviour of a generative AI model. Employees will learn how to craft prompts that produce desired outputs while avoiding unintended biases or undesirable outcomes. They will gain an understanding of the significance of prompt engineering for achieving reliable and ethical AI results. By covering these three key topics, organisations can provide employees with a comprehensive understanding of generative AI, responsible AI use, and the importance of prompt engineering for effective and ethical AI application. Result: An equipped workforce to execute the (future) AI strategy, to handle AI responsibly, and to shape, implement and comply with legal requirements. Step 3: Implement responsible use guidelines Responsible use of AI revolves around desired business conduct. First, it requires awareness and clarity about what that is and second, the ability to recognise the associated risks in practice and to respond effectively to them. Organisations should establish simple but clear and workable responsible use guidelines. These guidelines address what should always be done and/or what should never happen (i.e. the ‘non-negotiables’) when it comes to the use of AI and data.  To determine the working principles for daily use, organisations can draw inspiration from ethical AI principles, such as transparency, accountability, human oversight, and social and ecological well-being, as formulated in 2019 by the High-Level Expert Group of the European Commission. These principles provide broad guidance and usually need to be further operationalised to be workable in daily practice. When developing these guidelines for responsible use for the organisation, it is important to find an appropriate balance between setting boundaries and offering freedom for innovation within the organisation. Result: Clear criteria to guide the AI strategy and its execution, end-to-end through the organisational AI lifecycle. Keith Power is Partner at PwC

In an era of digital surveillance, employees resort to performative tactics like "mouse shuffling." True productivity thrives on trust, communication, and effective people management—not monitoring, writes Moira Dunne Have you heard of the ‘mouse shuffle’ or coffee badging’ or ‘productivity theatre’ yet? These terms refer to tactics used by employees to show that they are working hard. Why? Because they work in companies where surveillance tools are used to monitor performance. Where working visibility is valued more than actual productivity. Monitoring our employees A recent Forbes survey found that 43 percent of American employees say their online activity is being monitored in 2024. What are we doing? Why are we monitoring people and using surveillance tools? Where did it all go wrong? As a Productivity Consultant passionate about helping businesses improve by achieving productivity through employee motivation, engagement and empowerment, reading about performative tactics, surveillance and mistrust sadden me greatly. When and, perhaps more importantly, why did employers revert to such old-school thinking –  that being seen equals working hard? Of course, the shift to remote working since the pandemic has changed how we work, but matching that with intelligent thinking and planning will help us understand the implications of that change. Leaders should consider adopting an ‘old-school’ strategy to boost productivity – good old-fashioned people management! This involves communication, building one-to-one relationships, providing clear goals and direction, setting weekly targets, empowering people, and providing constructive feedback and training. Productivity tools Managers and team leaders have a key role in enabling productivity. Many of the barriers can be reduced or removed by good communication, clarity and allowing people to protect time for their priority work. Empowering employees is key to their productivity and well-being, and by providing tools to aid their productivity, you show your team that you’re all in this together, trusting them to achieve the organisation’s goals. Here are five ways to help employees feel empowered and productive: Reduce meetings and improve decisions, actions and follow-up; Put a smart email practice in place so less time is spent on email each day; Agree on team and individual priorities and plans every week; Identify distractions within the team (such as other departments taking resources, etc) and work to reduce them; and Minimise time spent on low-value activities. You need to work with your team to identify any productivity barriers and stress factors. Good people management We don’t need heavy-handed monitoring tools to manage our employees. We need human connection, leadership and to learn to trust our employees when they aren’t in our immediate eyeline. In his Forbes article about mouse shuffling, organisational consultant David Campbell stresses that only when companies start trusting employees more and focus on the work they produce—not on how much they seem to be working—will trends like the ‘mouse shuffle’ fade away. He predicts that better work-life balance and happier employees would be the result. “Businesses should measure success by results, not by how much time someone seems to be working,” Campbell advises. “They should trust employees to manage their time and focus on achieving their goals, rather than simply being online all the time.” Moira Dunne is Founder of beproductive.ie

As the global economy faces constrained growth, high inflation, and regulatory pressures, the food industry must adapt to rising costs, technological disruptions, and geopolitical volatility, says Brian MacSweeney The 2024 economic outlook paints a mixed picture. Constrained growth across the leading economies, stubbornly high inflation, and slowness to ease the tightened monetary policy cycle mean industries are facing challenging operating environments. The food industry is no different and its relationship with these macro-economic factors is complex. For many years, the developed world has generally had a stable supply of cheap high-quality food. Recently, the status quo has been challenged. Brexit, war, labour shortages, supply chain disruption, regulation and climate change mean that the complex interlinkage will continue, but it will be more volatile than stable. Here are some of the global micro-trends and the impact they are having on the food and beverage sector. Labour availability and cost The current global labour trend is marked by shortages and increased costs. This has a ripple effect, slowing food production and distribution, and ultimately increasing the price of food. An example is the recent minimum wage increase in California for fast-food workers. This was an important step towards better living standards for workers, but the corollary is higher food prices. Fast food prices across chains in California are increasing. At a time of higher inflation, this disproportionately affects cohorts from socially disadvantaged backgrounds which is a key trend globally in the industry.  Commodity prices and inflation The FAO Food Price Index (FFPI) for June 2024 stood at 120.6 points. To put this into perspective, the FFPI averaged 125.7 points in 2021, which was a 28.1 percent increase over 2020. Therefore, the current FFPI is lower than the average for 2021, but it is still relatively high compared to historical standards. This is driven by various macroeconomic factors including climate. The poor cocoa harvest in Ghana and Ivory Coast has caused cocoa prices to spike. Coffee, too, has experienced a similar fate, with futures of coffee spiking due to heatwaves affecting major producers in South-East Asia. While we await general inflation to subside due to continuing government interest rate intervention, events like climate keep food prices elevated.  Policy and regulation Europe leads the way when it comes to the regulation of food where labelling, nitrate levels, flavour use, and unfair trade practices all have been legislated over the last number of years. The introduction of the Corporate Sustainability Reporting Directive (CSRD) in the EU is having a transformative effect. While regulation means well, it can impact food yield and cost. In terms of price, not every government is explicitly regulating food prices, but because the cost of food is one of the clear ways the population sees inflation impacting their wallets, governments are intervening because they want the price of food kept flat or even reduced. Recently, the Canadian Prime Minister summoned CEOs of Canada’s five largest retailers and gave them a deadline to reduce the price of food, warning they would be subject to heavier regulation if they didn’t comply. Similar conversations are happening in various jurisdictions around the world, putting real pressure on the margins and cash flow.  Geo-politics Geopolitical instability, particularly war, has a profound impact on consumers and producers alike. For example, the impact of Brexit on food availability in the UK and the effect of the war in Ukraine on grain prices are well documented. The simple diversion of shipping from the Strait of Hormuz because of Houthi attacks that disrupt vital shipping routes to around the Horn of Africa has added days to supply chains and cost increases for consumers. These events are becoming more frequent making outlooks more unpredictable.  Disruption and technological advancement The pace of technological advancement is a significant challenge but also an enormous opportunity. AI and weight suppressing medications are key emerging disruptors. AI can significantly impact the value chain right from crop yield monitoring to customer experience. Weight loss drugs, such as Wegovy and Ozempic are not widely available in Ireland, but the pipeline of new alternatives including orally ingested drugs may alter consumer eating habits and food preferences, leading to a decrease in the consumption of high-calorie snacks and fast food. This disruption is a prominent agenda item for the boards considering their product offerings and strategies.  Optimism and opportunity Despite the challenging macro environment, we are beginning to see an easing of inflationary pressures due to the tight monetary policies pursued by central banks around the world. As inflation calms, monetary policy and interest rates will fall. This will drive a renewed consumer demand which will stimulate economic growth. The food industry is well-versed in managing economic cycles and has always been resilient and adaptable. It has consistently demonstrated its ability to evolve through challenges and changes over the years. During this period, there is huge opportunity for the Irish food industry. Already, Ireland is leading the way in sustainability. The acquisition profile of our companies is strategic and niche in sectors like food preservation, for example. The integration between food and energy companies is becoming more pronounced, with solar farms emerging alongside food plants and ongoing trials for bio-methane production – this is to solve the emissions problem. Moreover, our universities are spearheading cutting-edge research and fostering strong industry collaborations. While the landscape presents its challenges, it also offers great opportunities. As always, the future holds promise and potential for those ready to adapt.  Brian MacSweeney is a Audit Partner at KPMG

Despite severe economic challenges, Northern Ireland has avoided the wave of corporate failures seen in England and Wales, though future risks remain uncertain, writes Gareth Latimer Since the onset of the global pandemic in March 2020, assessing the restructuring market has become increasingly important. This is evident by the recent publication of The Northern Ireland Labour Market Report and The Company Insolvency Statistics for Northern Ireland, which gives a detailed analysis of redundancies and insolvencies in Northern Ireland. Below, we discuss what this trend could mean. Redundancies and insolvencies in Northern Ireland Published in July this year, The Northern Ireland Labour Market Report has put the annual number of confirmed redundancies in Northern Ireland up to June 2024 at 2,560 – almost double the figure for the previous year (1,340). Similarly, The Company Insolvency Statistics for Northern Ireland for June 2024 highlighted 17 corporate insolvencies in June 2024, which was 13 percent higher than in June 2023. Understanding the statistics As with any statistics, we must delve beyond the headlines to see their impact on the Northern Ireland market. The raw numbers tell one story, but the underlying trends and their broader implications reveal much more about our economic landscape. Initial predictions and government intervention When the COVID-19 pandemic hit the UK in March 2020, some commentators predicted a ‘tsunami of corporate failures and mass redundancies’. Thanks to the introduction of the Coronavirus Job Retention Scheme, commonly known as the Furlough Scheme, the predicted large number of redundancies did not occur. Additional liquidity measures Several other liquidity measures, including the Bounce Back Loan Scheme (BBLS) and the Coronavirus Business Interruption Loan Scheme (CBILS) also played their part in staving off the large number of corporate failures many had predicted. Financial lifelines, in the form of loans and grants, were available to allow companies to survive the various lockdowns and the unprecedented drop in GDP in April and June 2020. However, having recovered from the economic effects of the pandemic, we then had the Russia-Ukraine war and the subsequent energy crisis. High inflation and interest rates followed. It is no wonder, then, that companies have been struggling. New insolvency procedures To help companies facing insolvency, two new procedures were created when The Corporate Insolvency and Governance Act 2020, which also applied to Northern Ireland, was implemented. Company moratorium: Designed to give struggling businesses formal breathing space in which to explore rescue and restructuring options, free from creditor and other legal action. Except in certain circumstances, insolvency proceedings cannot be instigated against a company during the moratorium period. Restructuring plans: Introduced to support viable companies struggling with unmanageable debt obligations. These plans allow the court to sanction a plan that binds creditors to a structuring plan if it is deemed fair and equitable. Creditors vote on the plan, but the court can impose it on dissenting classes of creditors (cram down) if the necessary conditions are met. However, despite the introduction of these new procedures, between 26 June 2020 and 30 June 2024, there was only one moratorium in Northern Ireland and no restructuring plans. The figures suggest that these options may hold less relevance for the Northern Ireland market compared to more traditional restructuring options. Labour market report insights One might have expected the Northern Ireland Labour Market Report to paint a bleak picture. The UK economy slipped into a mild recession in 2023, and the cost of living crisis continues. However, the anticipated surge in redundancies due to corporate failures has not materialised.  In fact, the unemployment rate in Northern Ireland for March to May 2024 fell over the quarter and the year to 2 percent. It is useful here to analyse and compare the June 2024 insolvency statistics. Northern Ireland saw 17 company insolvencies. And while each of these cases demonstrates financial distress for the company and employees involved, considering the economic backdrop, one might have anticipated a higher number of corporate failures. Indeed, this picture contrasts sharply with the headline insolvency statistics from England and Wales, where registered company insolvencies in June 2024 reached 2,361 – 16 percent higher than in May 2024 and 17 percent higher June 2023. The number of company insolvencies in England and Wales have remained much higher than those seen both during the COVID-19 pandemic and between 2014 and 2019. The disparity suggests that Northern Ireland’s insolvency rate is proportionately lower than that of England and Wales. Whether this resilience will hold, or if the rising tide of corporate failures in England and Wales will eventually reach these shores, remains to be seen. Future outlook with new government Given the recent Labour Party landslide victory in the UK, many are wondering how this shift will impact corporate failures and job redundancies. The new Chancellor, Rachel Reeves, is poised to play a crucial role. A former Bank of England employee, Reeves has continually stressed the importance of fiscal discipline, and given the current state of public finances, she may have no choice. It appears that the economic strategy is to grow the economy, and this will improve the Treasury coffers; easy to say but harder to deliver. The future It seems that in 2024, Northern Ireland has been somewhat insulated from the wave of corporate failures sweeping through England and Wales. While specific factors contribute to this relative calm, the recent reports suggest that, despite ongoing economic pressures, we’ve seen more of a ripple than a tsunami of insolvencies. Thankfully, the anticipated surge in corporate failures has not materialised. Clearly, this is positive news for the economy. Yet, with the recent economic headwinds, one can’t help but wonder if we are simply delaying the inevitable. Will 2025 finally bring the wave of corporate failures some have been expecting? Only time will tell. Gareth Latimer is a Director at Grant Thornton NI

Fractional executives can bring genuine value to business leaders, offering specialised knowledge and niche experience on a flexible basis, writes Tony Dignam The business landscape has undergone significant transformation in recent years, driven by advances in technology, economic shifts and evolving work patterns.  One notable trend that has emerged is the rise of the fractional executive. These seasoned professionals offer their expertise to multiple companies on a part-time or “fractional” basis, providing strategic leadership without the commitment of a full-time role.  What is a fractional executive?  A fractional executive is an experienced leader who offer their services to businesses on a flexible basis as and when needed.  They can occupy various roles such as Chief Finance Officer, Chief Marketing Officer, Chief Technology Officer, and more.  These professionals can bring a wealth of experience and specialised skills to the table, helping companies navigate complex challenges and phases of growth or change.  Benefits of the fractional executive The concept of a fractional executive is not entirely new, but it has gained significant traction in recent years.  Economic uncertainties and the need for cost-effective solutions have driven many businesses to reconsider traditional employment models.  Hiring a full-time executive can mean a substantial overhead, especially for small and medium-sized enterprises that may not have the budget for high salaries and benefits packages.   Fractional executives offer a more affordable alternative, potentially allowing companies to access top-tier talent “on demand”.  The gig economy has revolutionised the way people work, with a particular emphasis on flexibility and project-based engagements.  Fractional executives fit perfectly into this model, offering their expertise for specific projects, limited periods or ongoing for an agreed number of days per week or per month.  This flexibility benefits both the executive, who enjoys diverse work experiences, and the company they work with, which can tap into specialised skills as needed.   Access to specialised expertise  Fractional executives often have broad subject matter expertise and plenty of relevant experience they can bring to the table and fast. Many will have held senior positions in their field and possess a deep understanding of best practices in their industry.  This knowledge can be invaluable for businesses looking to implement strategic initiatives or navigate complex change or growth.  Flexibility and scalability  One of the main advantages of fractional executives is their flexibility. Companies can engage them for specific projects, short-term needs, or on an ongoing fractional basis.  This scalability can give businesses more scope to adjust their executive resources according to their existing needs without long-term commitments.  Cost-effective leadership  Hiring a full-time executive can be a significant financial burden, especially for smaller companies. Fractional executives can offer a cost-effective alternative, potentially providing access to top-tier leadership at a lower cost.  This financial efficiency can be crucial for start-ups and SMEs operating on tight budgets, or for employers for whom long-term senior executive needs are harder to forecast.  Fresh perspectives  Fractional executives often work with multiple companies across different industries. This diverse experience means they can bring fresh and innovative perspectives to the businesses they serve.  Their ability to think outside the box can help companies to overcome challenges and seize new opportunities.  These executives sometimes also bring the benefit of fresh contacts and networks to senior teams, which can add value to scaling businesses. This means that the fractional executives can support and enhance business leadership by offering specialised expertise on a flexible, cost-effective basis.  Tony Dignam, FCA, is Managing Director of The Agile Executive

Embracing failure as a learning opportunity can drive innovation, turning business setbacks into strengths and fostering growth, writes Joanne Powell One of the challenges of innovation, advancement and continuous improvement is that sometimes getting it wrong is inevitable. No one likes to fail. We’re naturally predisposed to want to achieve and do better. Whether in life or in business, innovation, advancement and achievement are key markers of success. Traditionally, failure is either not an option or it is perceived as a sign of weakness. There is a growing body of thought that challenges traditional perspectives on failure, however. Business leadership author Simon Sinek talks about “falling” rather than “failure” – i.e. because you can get up from a fall and move forward. Amy Edmondson, Professor of Leadership at Harvard Business School, has written extensively on the notion that it “…doesn’t matter if you fail. It matters how you fail”. New York Times bestselling author, John C Maxwell, has noted that, “the difference between average people and achieving people is their perception of and response to failure.” There are any number of articles from Forbes, HBR and other notable journals in a similar vein. The key message is that failure can be a very positive catalyst for success – but only if done well. Doing failure ‘well’ means seeing it as a key part of the process: a chance to learn, to reflect and to move forward. It can also help to see lessons learned from failure as part of the inevitable tapestry of life. One of the ways I practice this myself is through inspiration from Mary Wallace, the Irish artist. Her popular Precious Bowls series is inspired by two Japanese concepts: Kintsugi: using gold or other precious metal to repair broken pottery. Wabi-sabi: seeing beauty in imperfection. For me, ideas around learning from failure really come together with the concept of wabi-sabi and the idea of “beauty in imperfection”. Some sources translate the concept of wabi-sabi as “nothing is perfect”, which is considered to be inherently positive as it suggests that there is always potential for 'more'. Kintsugi is an equally wonderful tradition, as it treats flaws and imperfections as part of the history of an object rather than something to be disguised or hidden. In the context of business, this can provide a constructive lens through which to process “failure” and to see the final product (or latest iteration) as being stronger and even more precious because of the journey it has travelled. I keep one of the Mary Wallace ‘Precious Bowls’ prints over my office desk. Every time I look at it, I’m reminded of three key principles: Every project or strategy has potential – The ethos behind any project or strategy should be one of continuous improvement. You must recognise that nothing is perfect and, instead, optimise the potential available. The ability to innovate and remain agile and open to change is key. Innovation requires us to take calculated risks and be open to the prospect of failure. It is knowing and understanding that sometimes we get it “wrong”, that strategies and innovations don't always produce the desired impacts. Wabi-sabi reminds me to take time to reflect and learn from “failure”, and to produce something better. Create and encourage strong, trust-filled and (psychologically) safe organisations. By creating a culture where stakeholders are encouraged to reflect and to find ways to improve, we are, in a way, creating our own version of kintsugi, where failure is recognised as an inevitable side-effect of any organisation that values innovation and progress. It is how we respond to these “failures” that matters most. Joanne Powell is Head of Advisor Services at QED: The Accreditation Experts

Advocating for yourself at work is vital, especially if you're a neurodivergent person. Antje Derks explains how to navigate workplace challenges and secure the support you need Advocating for yourself in the workplace can be challenging for anyone, but it can be especially daunting for those who are neurodivergent. Neurodivergence encompasses a range of conditions, including autism, attention-deficit/hyperactivity disorder (ADHD), dyslexia and other cognitive differences that affect how individuals think, learn and interact with the world. While these differences can bring unique strengths to the workplace, they can also create specific needs and challenges. Understanding how to ask for reasonable accommodations and advocate for yourself is crucial for thriving in your professional environment. Neurodivergent individuals often have distinct ways of processing information, communicating and completing tasks. These differences can be assets, bringing innovative perspectives and problem-solving skills to a team. The traditional workplace environment may not always be conducive to neurodivergent work styles, however, leading to potential misunderstandings and obstacles. Workplace challenges Neurodivergent individuals often face specific challenges in the workplace. Sensory sensitivities, such as noise, lighting or office layouts, can overwhelm a neurodivergent brain, leading to overstimulation. Organisational and time management difficulties can also arise, as can challenges with social interactions and communication. Many neurodivergent colleagues appreciate clear, explicit instructions and feedback. The more precise and direct the language, the better. While this approach works well for many, it's important to remember that neurodivergence varies greatly from person to person. There is no one-size-fits-all solution. Self-advocacy Self-advocacy involves understanding your own needs and communicating them effectively to others. For neurodivergent individuals, self-advocacy is essential for creating a work environment that supports their success. Here are key steps to advocate for yourself effectively. Familiarise yourself with workplace policies and legal protections related to disabilities In many countries, laws provide the right to reasonable accommodations. Take time to reflect on your specific needs and how certain accommodations can help you perform your job better. This might include flexible work hours, noise-cancelling headphones or written instructions for tasks. Schedule a meeting with your manager or HR representative to discuss your needs. Prepare to explain your neurodivergence in a way that highlights both your strengths and the challenges you face. Remember to use clear and specific language when requesting accommodations. For example, instead of saying, "I need a quieter workspace," you might say, "I need a desk in a quieter area of the office to help me concentrate better." It is important to try and frame your requests in a way that shows you are looking for solutions that benefit both you and the company. Emphasise how the adjustments will help you to be more productive and contribute effectively to the team by suggesting reasonable accommodations that are specific and actionable. For example, "Can I have a standing desk to help me stay focused?" or "Can we have a weekly check-in meeting to ensure I am on track with my projects?" will show your manager that you are actively seeking to take responsibility for yourself rather than shifting all the expectation on to them. Make reasonable adjustments depending on your needs Reasonable adjustments vary depending on individual needs and job requirements. Flexible work arrangements, such as remote work, flexible hours or modified schedules, can help manage sensory overload and align work with peak productivity times. Assistive technology, including speech-to-text software, organisational apps or noise-cancelling headphones, can aid concentration and efficiency. Physical workspace adjustments, like a quieter workspace, a standing desk or specific lighting, can create a more comfortable and productive environment. Structured communication, with clear, written instructions and regular feedback, ensures understanding and proper task execution, while regular check-ins can provide ongoing support and clarification. Additionally, access to a mentor or job coach who understands neurodiversity can offer valuable support and guidance. Monitor the effectiveness of the adjustments Communicate with your manager or HR about how well (or not) the adjustments are working for you. If things need tweaking slightly, don't hesitate to request them. Keep records Keep a record of your communications and any agreements made. This documentation can be helpful if you need to revisit the discussion or if there are any disputes. Promoting an inclusive workplace culture Advocating for yourself is an important step, but fostering a more inclusive workplace culture requires broader efforts from the whole organisation. Employers and colleagues can contribute by promoting awareness and understanding of neurodiversity through training and education, as well as encouraging open dialogue about individual needs and adjustments. But most importantly, it is about helping to create a supportive environment where all employees feel valued and included – whether they’re neurodivergent or not. By advocating for yourself and working towards a more inclusive workplace, you can not only enhance your own job satisfaction and performance but also contribute to a diverse and dynamic work environment where everyone's unique strengths are recognised and valued. Antje Derks is a Marketing Executive with Chartered Accountants Worldwide

Julia Rowan answers your management, leadership and team development questions A long-standing member of my team works to a good standard, but does the bare minimum. She is retiring soon. She takes no part in social outings and at team meetings, both in person and online, she works on her computer, only lifting her head to respond to direct questions. I have new people joining the team soon and I don’t want her muddying the water. I’m afraid if I tackle this, she will ‘go sick’. She has done this before. My team is under huge and growing pressure. A. It is so easy to feel undermined by one person, so pay close attention to where your energy goes. It’s essential to prioritise creating a positive experience for your new joiners as well as the rest of the team.  During interviews, induction and early reviews with your new team members, communicate this by organising a team lunch, bringing treats to meetings or refreshing the team meeting format. Also, take a look at the agenda: What is discussed? Who gets to talk, present, discuss or consult?  If you decide to deal directly with the issue, remember her behaviour has evolved for a reason and, in her head, makes perfect sense. Whether it’s discomfort, disrespect, payback or self-protection, there is a message in her behaviour. It could be interesting to find out why she seems disinterested in engaging with the team.  You need to be genuinely curious – this can be hard when you feel undermined and anxious. It’s possible the team member may need help getting back into the group. Consider pairing her up with someone on a project, asking her to train a new team member, or finding ways to acknowledge her long service and experience. If you decide to discuss this with her, start with the context (which you have outlined in your question): she is retiring soon, new people are starting and pressure is growing.  For those reasons, you need everyone to be fully present to onboard new joiners, deal with important issues and prepare for the future. This means putting the work away for a while.  You can be firm, gentle and respectful in this conversation. She may give you a range of reasons for her behaviour – for example, she’s too busy, the meeting takes too long, it’s not interesting, it doesn’t concern her or she knows all this stuff already.  Don’t argue with her. Agree and go back to your request: “I know you are busy but I need you there. So, how can we make it a more useful meeting?”   Be sure to have an exit strategy ready to avoid going round in circles.  The request you are making to this long-serving team member is reasonable. If you receive an outright refusal, the stakes get very high (and we are firmly in ‘going sick’ territory).  Consider your options: Do you stick with the status quo? Insist she engages with the team? Ask her not to attend team meetings if she can’t pay attention?   Telling her, “I’d rather have you there than not there, but I’d really appreciate it if you were fully present,” might be the safest option and keeps the door open. Julia Rowan is Principal Consultant with Performance Matters Ltd, a leadership and  team development consultancy. To send a question to Julia, email julia@performancematters.ie