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The services sector continued to show healthy expansion for February, according to the BNZ – BusinessNZ Performance of Services Index (PSI).  The PSI for February was 55.6.  Although this was 2.2 points lower than January, it represents ongoing growth in the sector (A PSI reading above 50.0 indicates that the service sector is generally expanding; below 50.0 that it is declining). BusinessNZ chief executive Phil O’Reilly said that the positive economic climate at present has assisted many businesses in ensuring steady income flows, as well as new opportunities for expansion. “Comments from respondents point to customers and clients remaining confident as they continue to have money in their pockets to spend.  In addition, a number of service sector businesses continue to adapt by way of new products and opportunities to expand their sales base, including offshore”. BNZ senior economist Doug Steel said, “The PSI reading shows that the service sector expansion remains fit and healthy. It bodes well for overall ongoing economic growth.”  All five main sub-indices were again in expansion, with activity/sales (62.1) leading the way for the first time since November.  New orders/business (58.1) dipped 2.9 points during February, while supplier deliveries (51.4) dropped 3.6 points.  Both stocks/inventories (52.8) and employment (52.7) were at similar levels of expansion, with the latter back to levels of expansion seen towards the end of last year. Activity remained positive and healthy throughout the country.  In the North Island, the Northern region (55.4) was up 2.9 points from January, while the Central region (59.0) experienced very similar levels of expansion compared with the previous month.  In the South Island, the Canterbury/Westland region (59.1) recorded its highest level of expansion since April 2014, while the Otago/Southland region (60.9) remained above the 60 point mark. The seasonally adjusted BNZ – BusinessNZ Performance of Composite […]

The manufacturing sector experienced improved levels of expansion during February, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI). The seasonally adjusted PMI for February was 55.9 (a PMI reading above 50.0 indicates that manufacturing is generally expanding; below 50.0 that it is declining).  This was 5.2 points higher than the previous month, and similar to the level of expansion seen in November last year. BusinessNZ’s executive director for manufacturing Catherine Beard said that the pick-up in expansion levels for the sector was pleasing to see. “After the January results that showed lacklustre expansion, the increase in February was more in line with what we’ve seen over the last two years.  Although all sub-indexes were positive, the fact that new orders recovered to show its highest value for over a year should flow through into PMI results in the coming months”. BNZ senior economist Craig Ebert said, “It’s a relief to see the PMI rebound from last month’s oddly low result. Both production and new orders jumped back up to healthy expansion territory. These were the main culprits for bringing the overall index down in January.” All five seasonally adjusted main diffusion indices were in expansion during February.  New orders (61.5) led the way with its highest result since November 2013, while deliveries (58.2) experienced its highest value since September 2014.  Finished stocks (54.3) dropped two points from January, while both employment (52.5) and production (51.8) improved from the previous month.  All four regions went back into expansion during February, with similar results across most parts of the country.  In the North Island, the Northern region (54.9) experienced similar levels of expansion to the Central region (55.4).  In the South Island, the Canterbury/Westland region (55.8) improved 7.5 points from January, while the Otago-Southland region (60.7) recovered from […]

A public lecture in Wellington by a visiting Professor of Marketing will focus on corporate social responsibility (CSR) and whether it matters to stakeholders. There is worldwide consensus that a company’s commitment to maximising long-term societal and environmental well-being through its business practices is a strategic imperative, says Professor Sankar Sen, Professor of Marketing at Baruch College, City University of New York. This is because of its ability to not only do good, but also elicit company-favouring responses from important stakeholder groups. However, polls reveal that most companies are still struggling to optimise their CSR efforts. Professor Sen will draw on his own research and that of many others in this area to focus on three questions that all managers engaging, or hoping to engage, in CSR must answer: 1. What is CSR? 2. Why do, or should, companies engage in CSR? 3. How can a company optimise its CSR efforts to create value for both itself and society? About Professor Sankar Sen Professor Sankar Sen has held positions at Temple University, New York University, Boston University, and the Sasin Institute of Management at Chulalongkorn University. His research interests lie in the areas of consumer decision making and corporate social responsibility. In particular, he investigates when, how and why consumers and employees respond to companies’ corporate social responsibility/sustainability endeavours. He has lectured extensively on this topic in academic, company, and industry forums in North and South America, Europe and Asia, and his book, Leveraging Corporate Responsibility: The Stakeholder Route to Maximizing Business and Social Value, was published by Cambridge University Press. His research has appeared in both academic and practitioner-directed journals and been cited in leading media outlets, and he has consulted with various companies. Professor Sen teaches marketing classes at undergraduate, MBA/MS, Executive MBA/MS and PhD levels, and has […]

Rex Bionics Plc, the New Zealand company listed on the London Stock Exchange’s AIM market, said higher costs to commercialise its robotic exoskeletons widened its full year loss to 3.56 million pounds from 480,000 pounds a year earlier. The London based company, whose exoskeletons allows wheelchair bound people to walk, has changed its reporting date to March 31 from Nov. 30 but has released unaudited results for the 12 months ended Nov. 30 that include, for the first time, the results of its two subsidiaries in New Zealand and Australia. It will release final, audited results for the 16 months ending March 31 in May. Rex Bionic’s shares recently traded at 67.5 pounds, having almost halved in value in December after the company warned that commercial sales would take longer than expected to eventuate. In a market update with the release of its results, the company reiterated that it expects only nominal sales this financial year, with some improvement in the first half of the 2016 financial year, and “a stronger growth trajectory” towards the end of that period. Chief executive Crispin Simon said the company was making good progress with plans to accumulate compelling clinical evidence rather than just user feedback on the health benefits of its robotic exoskeletons. Preliminary data from a study of 11 wheelchair dependent patients showed all were able to complete the prescribed exercises and competently use the Rex joystick, with no adverse events. Further details on the trial will be presented at medical conferences in the next few months. The company’s main focus is on a 100 patient clinical trial to convince the rehabilitation community of Rex’s benefits with ethics committee approval expected this month and the first patient recruited soon after. It is also bringing forward a US clinical trial to secure FDA […]