Reflecting on the Year...

Message from the MD

After A Summer of Content, one of some Concern!
(July 2008)

I doubt if two successive columns could be so different in theme.

The last twelve months has not been easy for anyone supplying to general levels of Business and Industry here in the UK and now Business Gurus such as the CBI and Major Banks are forecasting that the current economic downturn is unlikely to reverse for up to another two years irrespective of Government! Nine months ago I was convinced that UK Plc was in for a short but deep 'blip' but I have to admit to totally underestimating the situation on this cycle.

We saw first indications that the economy may be sickening when the return to normal rates of trading appeared delayed after last summers main holiday season. This was evident in our own lower tier sales and in many of our Dealers Sales; there was then nothing to alert us to a major change and I was tending to blame and believe we may have been seeing a significant shift to Internet trading.

Now nearly one year on from the first indications of a downturn in the UK we can see that sales into Government sectors remains unaffected, sales in major 'Blue Chip' organisations remain mainly unaffected unless they are closely allied to Transport or one of the other ailing and sadly affected activities but that the general run of the mill businesses are, in the main, struggling as their operating costs are escalating rapidly and their plea's for help are ignored.

For the foreseeable future, we like many other long term businesses, need to make changes to the 'Masterplan' in order to accept reality. Yes, we have had all vehicles converted to on-site LPG but I mean more than that; I would have used the word 'Vision' but I was tempted to substitute 'Hallucination' Gordon! I believe my 30 years experience is vital to the wellbeing of the business so to that end I have informed my wife I am cancelling the much promised ‘Retirement Cruises' and in lieu of all the promised round the world air tickets I have loaded Google Earth and Google Images on to her laptop and bought her a higher capacity battery.

Other than myself, just for the moment, I feel that the business must now really be built and developed around a small core of enthusiastic employees (the new management team) who are all, thankfully a few generations younger than myself. Over the past three years, after a period of famine, I am overjoyed that our natural recruitment has resulted in a handful of real gems appearing in this respect.

It is not all grim news. The Wireless W3Z Broadband we developed 5 years ago goes from strength to strength. There is no more competitive field than Broadband, as everyone is aware. We are far from being the cheapest but every week we take a good number of customers from our wired competitors - Why? Quality of service and real local 24 hour support. Nothing has changed - don't underestimate your customer's intelligence and their real needs.

It is always sad when we have to say farewell to long serving staff but it has to happen from time to time. After 25 years of service and after doing a year extra after our normal retirement age Herbert Fryer has decided the Crown Green and the Fairway now deserve much more of his attention. Herbert will retire at the end of July 2008 and I know many of our Dealers will miss his overwhelming assistance and personal attention.

Jack Cresswell has now handed to Chris Bridge the task of heading up Dealer Sales and Jack will continue to support Chris until he follows Herbert's lead.

In the next six months we have the opportunity of some superb business, as a result of exceptional and specific effort over the past six months. This has only been possible as result of 'thinking outside the normal loop' and this is an approach I would recommend to everyone of our business associates.

Ian Sneap

Managing Director
Zycomm Electronics Limited
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