Deloitte: UK business overlooking Olympic opportunities and risks
22/10/2010
One in four businesses is already assessing opportunities and risks from the Games.


Fuente:  http://www.consultant-news.com   Fecha: 22.10.2010

Deloitte: UK business overlooking Olympic opportunities and risks

Over two-thirds of large companies in the UK expect the London 2012 Olympic and Paralympic Games to have virtually no impact on their ability to operate “business as usual”, according to new research from Deloitte, the business advisory firm. Even in London the figure remains very high with 60% believing the Games, which will last for a combined 29 days over a six-week period, will have minimal impact on their business. 24% of London companies expect a medium level of disruption with just 16% planning for a high level of impact during the Games.

However, a sizeable proportion of businesses have recognised the need to plan for the Games. Around a quarter of large businesses in the UK have appointed an individual or group to manage the potential risks to their business and assess the opportunities on offer as a result of the Games.

Heather Hancock, London 2012 Partner at Deloitte, said: “The London 2012 Games will be a great sporting, spectator and viewer event – it will set the capital and the whole country alight. It’s a good start that, with just under two years to go, 25% of the businesses we surveyed are already thinking about the impact and the opportunities of London 2012. These companies stand to be best placed to benefit from the business boost the Games can deliver.

“However, an event of this scale, with sites across London and throughout the country, will present some serious challenges to those companies who operate in and around venues for the Games if they fail to understand and plan ahead. This makes some of our findings really surprising.”

70% of retailers currently expect virtually no impact on their business, while over half of businesses in the Tourism, Hospitality and Leisure industries feel the same. Over half of all companies surveyed do not intend to allocate a member of staff to be responsible for managing the potential opportunities or risks arising from the London 2012 Games.

Rick Cudworth, Head of the Business Continuity & Resilience team at Deloitte, said: “Many of these businesses need a wake-up call. They operate in service industries where people are vital, where the supply chain is time critical and where having products on the shelf or food to serve in restaurants is essential to their daily business. Thinking through the impacts that an Olympic-scale event could have on logistics, the supply of goods and the movement of staff is essential. We believe that - with insight and planning - businesses can maximise the opportunities to benefit commercially from London 2012. The clock is ticking and the planning needs to start now.”

Other key findings from the report include:
• 12% of companies (15% in London) admit their preparations for London 2012 aren’t on track;
• 36% of UK companies think transport will present most disruption to their business; 23% are concerned about the potential for staff to be unavailable;
• Very few businesses are concerned about the potential risks from supply disruption (8%), resource scarcity, such as hotel availability (7%) or security incidents (6%).


Cudworth added: “The responses from our survey suggest that many companies are either underestimating the impact the Games will have on their business or they haven’t conducted accurate assessments. Most businesses will have business continuity plans in place, but they will typically plan for short-term disruption. The Olympic and Paralympic Games last for a combined 29 days over a six week period and complacency around planning assumptions could have repercussions at Games-time.

“We know there will be scarcity of resource in some areas such as hotel rooms, catering services or even crowd control barriers or security guards. Businesses need to go back to their strategic and tactical plans to reassess if they have robust plans in place and that where necessary, they have been tested.”

A similar approach is required if businesses want to take advantage of the potential opportunities arising from the Olympic and Paralympic Games. Over half of the companies surveyed felt the Games would deliver an increase in demand for their services, with almost 20% expecting a strong increase.

Hancock concluded: “There is a disconnect here in that many businesses are expecting to see an increase in demand for their services but are not planning or thinking about what they need to do in order to secure that extra business. They should recognise that their competitors will be, and in some cases already are planning for this upturn. Relying on an assumption that demand will increase automatically could leave them out in the cold come 2012.”