Positioning for growth: all-island business awards test Irish mettle

With the end in sight to the restrictions of the global pandemic, there are opportunities for growth for those companies that have been brave, insightful and adaptive.

The 2021 Ireland’s Best Managed Companies Awards led by Deloitte, found not just a record number of entrants, but a high quality that impressed judges and made for a tight competition.

Anya Cummins, head of Deloitte Private at Deloitte Ireland, recalls last year’s awards when the country was still very much in the depths of the pandemic and “very much in the shock adjustment phase”.

“We were still in a very stringent lockdown, so businesses were really grappling with very challenging employment conditions, particularly those that require people to be onsite, in manufacturing or other face to face type businesses. It was a very uncertain time,” Cummins said.

The high quality and number of entrants, Cummins said, can be attributed to a number of factors. “I believe the main drive for applications last year stemmed from business owners and management teams looking to recognise the extraordinary efforts of management teams and people in coping with that economic backdrop.”

The entrants were characterised by data-driven businesses that had robust strategies, but yet were able to adapt with bravery and insight, Cummins said.

For 2022, with a greater scope for optimism, the expectation is to see businesses that are set for growth through new opportunities and expansion.

“Last year, the focus was around best in class management to cope with a huge amount of volatility and uncertainty in the market and adapting to the massive market shock,” Cummins said. “This year, leaders will take those skillsets, the data-driven approach, and the breadth and capability of the management team, how they adapted their strategies fluidly, quickly, bravely, and reposition themselves for future success. I'm excited to see how that sets them up for the next stage of their evolution and positions them to grow and capitalise on opportunities past the pandemic, as we look into 2022.”

The Best Managed Companies Awards Programme is unique in that it is not geared to CEOs. Now in its 14th year here, the programme instead caters to the whole management team, and provides individualised feedback for businesses, as well as mentoring and education opportunities.

The awards programme recognises excellence in Irish/Northern Irish-owned and managed companies and is the only awards scheme on the island of Ireland to consider a business’s performance from every perspective. Entrants compete in a rigorous process to evaluate the calibre of management abilities and practices, while also considering strategy, capability, innovation, culture and the financial performance of companies.

“The programme is an independent evaluation of your business plan,” Cummins said. “It helps businesses really think about the platform for growth.”

Cummins identified a number of strong characteristics that are common across the best managed companies. They are able to leverage technology and data to inform and drive decision making, while having strong relationships with financial providers.

“Across Ireland’s best managed companies, we see that they are very data-driven, with robust systems and they can pull data and KPIs quickly from their businesses. That data-driven approach allows them to have their finger on the pulse as to what was happening across the organisation.”

“We also see a strong presence of private equities in the best managed companies cohort,” Cummins said. “A number of these companies have raised equity capital and have equity capital backers who are very supportive. As we look to this year, we fully anticipate, looking across the mix of companies and the mix of sectors, and how we see them positioned for growth, that we will have a number of our existing best managed companies thinking about capital raising as they position themselves to fund growth and capitalise, particularly if they see strong new market opportunity to scale. Again, we anticipate that a number of the new winners coming into the programme will have raised capital.”

Challenges remain though, despite the optimism emerging from the prospect of an end to the major pandemic impacts.

“There are practical challenges at the moment,” Cummins said. “We are seeing lots of businesses dealing with Covid outbreaks, and real challenges around operations where there are lots of absences.”

“Travel is clearly still a challenge, say for businesses that are internationalising, or have facilities in different geographies. People management for all of us in large organisations is a challenge. Keeping people connected, reinforcing culture and attracting and retaining top talent in a highly competitive market – whether that feeds through to wage inflation, is definitely a challenge.”

“The last one is supply chain, where we have seen a lot of challenges within the last 18 months and that continues to persist in some sectors.”

Judges will be looking for businesses that have not just adapted to the new market conditions, but those that have evolved a strategy to go beyond the pandemic and are poised to grow, expand and take advantage of meeting opportunities, or forge new ones.

“The Best Managed Companies programme is a robust and comprehensive process. It reviews management’s practices against strategy and identifies areas where they might need to increase focus,” Cummins said. “It looks at the strategy of the business; is it comprehensive, has it been infiltrated to the organisation, does it make sense, is it well considered; and benchmarks and evaluates it.”

“It looks at the capability to deliver against that strategy: does it have a management team in place; is the business using innovation and technology in the way in which they should be; are they attracting and developing people; is the next layer of management within the business; and how are they managing attrition and retention. Then looking at their commitment, which is everything from their sustainability and their Environmental, Social and Governance (ESG) strategy, which is hugely important, and the way in which the organisation is set up to deliver against strategy. Then it looks at their balance sheet, their liquidity and the appropriateness of their funding strategy – are they investor-ready.”

The Irish awards programme, in association with Bank of Ireland, provides networking and sharing opportunities, through briefings, dinners, symposiums and other events, to bring entrants and winners together to share experiences and develop connections to promote cooperation, partnerships and synergies. The programme is supported by the Irish Management Institute, the Business Post, the Family Business Network and Salesforce.

“There are a whole series of events and opportunities for winning companies to connect and share, and they are very supportive of each other on their growth journeys, which is hugely valuable,” Cummins said.

“We think that the Best Managed Companies programme can add value to a whole range of types of Irish private companies, from high-growth tech businesses on their way to unicorn status, to mature family businesses considering their growth strategy, particularly in light of the pandemic and the level of disruption in the market.”

In terms of advice for those companies that might be considering an entry, Cummins references the broad scope of the programme.

“I would say for any business thinking about it, it is hugely valuable to a whole range of types of business. If you are an ambitious management team that wants an independent perspective on your strategy and the opportunity to engage in the programme, with the networking and learning opportunities and everything else, my advice would be to just get in touch and have a conversation with us and we can share more information.”

“Participating in the Best Managed Companies programme is like holding up a mirror to your business and your strategy, and there is huge value in that.”

About Ireland’s Best Managed Companies Awards

The Best Managed Companies Awards programme, in association with Bank of Ireland, promotes and recognises excellence in Irish/Northern Irish-owned and managed companies. It is the only awards scheme on the island of Ireland that considers a business’s performance from every perspective. Entrants to the programme will compete for this designation in a rigorous process that evaluates the calibre of their management abilities and practices.

The programme sponsor is Bank of Ireland, the academic partner is the Irish Management Institute (IMI) and the media partner is the Business Post. The Family Business Award is in association with the Family Business Network. The Best of Innovation Award is in association with Salesforce.

Applications open on Monday 31 January. For further information and to apply now visit deloitte.ie/bestmanaged

Bank of Ireland works with Deloitte to mentor and guide Irish companies

This is the fifth year of Bank of Ireland’s involvement in the Ireland’s Best Managed Companies Awards programme led by Deloitte, and each year we are impressed by the talent, innovation and dedication on display. Bank of Ireland’s sponsorship of the programme allows us the opportunity to work alongside Deloitte to mentor and guide many exciting, ambitious and progressive Irish companies.

It also enables Bank of Ireland to support participating companies to ensure that they come through the programme as more rounded, stronger organisations better equipped to deal with future challenges.

All successful companies must look to the future, with change a constant. Any organisation that is slow to react to changes in market conditions risks being overtaken by a leaner and more efficient competitor. As part of the 2021 programme, Bank of Ireland’s team of coaches worked alongside Deloitte coaches with companies across a wide range of sectors, from hospitality to retail, technology to agriculture.

Many were impacted during the pandemic, but each displayed resilience in overcoming the host of challenges the pandemic presented, with many remodelling their business practices to adapt to shifting consumer trends and needs in order to grow their bottom lines.

Post-pandemic workplaces will look much different, with scaled back office spaces complemented by remote working sites and hybrid working models. Rethinking the traditional office has been a key part of our vision for the future of work at Bank of Ireland, with our network of remote working hubs providing a real alternative to daily long commutes for our staff, while preserving the benefits of colleague collaboration and sense of team.

Many Best Managed Companies have taken this dramatic ‘workplace’ evolution on board too – recognising that employee wellbeing is not just something you bolt on to your corporate model, but rather it’s something that needs to be intrinsic to the operations of a successful business.

At Bank of Ireland, our mission is to help our customers, communities and the businesses that sustain them to thrive. We hope that the pandemic becomes something we reflect upon, rather than continuing to live through, but other challenges such as the uncertainties related to Brexit still remain. Progressive businesses like those within the Best Managed Companies network maintain a clear focus on their short and long-term objectives, taking expert advice from the Bank of Ireland’s Sectors team for example, and adjusting their business strategies accordingly.

I am very much looking forward to the opportunity to review the 2022 applicants and would encourage management teams that are considering the value that this prestigious programme can bring to their companies to apply. The programme boasts rich and diverse alumni, and I am sure that my fellow judges and I will have our work cut out for us once more!

Nikki Canavan is a member of the judging panel for the Best Managed Companies programme

Company profile: Modular Automation

Celebrating 35 years in business recently and doubling its team size in the last five years, Modular Automation competes in a highly competitive, fast-moving market where skilled talent is critical and trust in its solutions is vital.

“One of our greatest challenges in scaling our business is growing our team and attracting the very best talent, especially in areas of high demand, such as engineering and technology,” said Vivian Farrell, chief executive, Modular Automation. “The BMC award gives candidates the confidence that they are choosing a professional, well-run business and helps us win in the war for talent.”

Externally, the same applies, said Farrell. The recognition “instils confidence with our customers to be partnered with a best managed company. We work with the multinational manufacturing sector and they have high expectations. Our being a BMC gives them the confidence that they are in safe hands and that choosing Modular as their automation partner is a good and safe choice.”

As a long term participant in the programme, Farrell is cognisant of the broader benefits. “Being a participant in the Best Managed Companies Awards Programme gives us access to all of the other BMC businesses, we have become a community and a powerful group where knowledge can be shared and accessed. We support each other and are delighted to see each other succeed — it’s like having a network of cheerleaders!”

Company profile: Welltel

For the fast-growing communications business WellTel, which has made a number of significant acquisitions over the last two years, the value of an external perspective across the entire organisation was compelling.

“As an organisation grows in scale and across markets, the offer becomes increasingly complex and diverse, making it easy to lose sight of what matters to the end customer,” said Murray. The programme “allows you to clearly define and evaluate how your strategy was decided or improved upon, or how evaluation will inform strategy. It allows you that time to focus.”

“By being execution-oriented and focused on productivity for the client, it has allowed Welltel to grow by over 300% over the last 2 years. We now have over 200 employees, which translates to strong balance sheets and business strategies that reflect the best interests of all stakeholders.”

The multi-faceted evaluation also led to important insights beyond the commercials.

“The BMC programme also serves a larger purpose than immediate business interests,” said Murray. “It allowed for an in-depth evaluation of both corporate culture and the employee brand, ensuring that we are heading in the right direction in ensuring that we have a company that clients are passionate about working with and employees are proud to work for.”

“It is amazing when the various people involved are brought together to discuss the BMC programme – what interesting information flows, what experiences are shared and, for many, it becomes a new and valuable learning process,” Murray said.

Company profile: Totalmobile

As a first-time winner in 2021, the field service and mobile workforce management technologist, Totalmobile, was key in supporting many frontline services during the pandemic period. The company has been on the acquisition trail too, completing its biggest ever acquisition in March last year, having also secured investment from Bowmark capital. Choosing such a challenging time to engage in the rigorous best managed process was no small task.

“We received great advice in an incredibly participative forum,” said Darragh, “real experts asking incisive and informed questions and making us really think about how we define our strategy and our strategic objectives, along with the individual initiatives that drive our success. It really made us, as a management team, reflect on how we can do things and apply best practice.”

“Our core company strategy was redefined, and our objectives given much more clarity and relaunched in the business,” said Darragh, “along with some positive restructuring and lots of communications to our people. The programmes we built, clarified or improved, in the process are now in full deployment in the business. It fundamentally improved the very core of what we do. I can’t imagine anything more valuable.”

Darragh is unequivocal about the benefits of entering. “I would say that everyone should make the time and take the effort to expose themselves to the thought process, the advice, and coaching that is available in such a programme, it’s invaluable, and it yields tangible outcomes.”