With less than nine months to go to the start of London 2012, over half of small and medium sized businesses expect no disruption to their operations as a result of the Olympic and Paralympic Games, according to a new report from Deloitte, the official professional services provider to London 2012.
Over half of small and medium sized businesses expect no disruption from London 2012
Entrepreneurship UK surveyed owners of private businesses, of which 80% generate revenues of £50m or less, and found that 59% of respondents across the country believed the Games will have no impact on their business as usual operations.
Transport is the biggest concern with 15% of small and medium sized enterprises in the Cambridge area citing it as an issue ahead of next summer. Staff unavailability was the next highest worry with 8% of respondents from Cambridge concerned.
Rick Cudworth, head of the Business Continuity & Resilience team at Deloitte, said: “The level of awareness of the impact of London 2012 among small businesses appears to be low. With less than a year to go to the Games, the clock is ticking and planning needs to start now. For small businesses, supplies, transport, travel, and staff availability will be critical considerations.
“There will be three million additional journeys on the busiest days of the Games, whilst transport and logistics restrictions will be in place throughout the Games period, which extends for several weeks.
“In our research with larger companies we have seen the levels of understanding about the potential impact of the Games significantly increase in the past 12 months. 95% of larger companies will assess the impact the Games could have on their operations. One point larger companies will need to consider is how well prepared the smaller businesses they rely on for supplies are for the Games as the indications at present suggest there is work to be done.”
The research also discovered that the vast majority of small and medium sized businesses do not feel that London 2012 will lead to an increase in demand for their products or services. 74% of companies across the country believe the Games will have a neutral impact on sales, whilst this figure was 72% in London.
However, just under a quarter (24%) of small and medium sized businesses in London do believe the Games will provide a revenue boost with just 4% fearing a negative effect.
Richard Crane, Head of Entrepreneurial Business at Deloitte in Cambridge, said: “We know from Sydney, Beijing and Vancouver that businesses tend to underestimate the sheer breadth and scale of the impact of the Olympic and Paralympic Games, and this survey suggests it could happen again in London – despite the huge opportunity. Companies large and small should be planning now to take advantage of increased demand and new customers.”
Deloitte is the official professional services provider to the London Organising Committee of the Olympic and Paralympic Games, including the provision of tax, human capital, management consulting, and financial support services. So far Deloitte has provided more than 130 high calibre secondees to LOCOG and has delivered in excess of 170 advisory projects. In all, Deloitte has delivered more than 400,000 hours of expertise in supporting the delivery of the London 2012 Olympic and Paralympic Games.
In this press release references to Deloitte are references to Deloitte LLP, which is among the country's leading professional services firms.
Deloitte LLP is the United Kingdom member firm of Deloitte Touche Tohmatsu Limited (“DTTL”), a UK private company limited by guarantee, whose member firms are legally separate and independent entities. Please see www.deloitte.co.uk/about for a detailed description of the legal structure of DTTL and its member firms.
The information contained in this press release is correct at the time of going to press.
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Team 2012 and SMEs
Team 2012 is the Official support programme for British athletes striving to be selected for Team GB and ParalympicsGB in 2012. Presented by Visa, it helps to raise funds to support over 1,200 athletes who are in training to be selected for the Olympic and Paralympic teams which will represent Great Britain & Northern Ireland at the London 2012 Games. Together, Team 2012, The National Lottery and Exchequer funding contribute to the World Class Performance Programme. The programme ensures that athletes get the support, delivered through their sport’s national governing body, which they need to win medals at international level.
A programme called ‘Our Team 2012′ is designed for medium and smaller sized businesses with annual turnover under £100m. It’s an opportunity to share in the excitement at the coming of the London Games and to benefit by celebrating an involvement with clients and staff. Companies receive an exclusive status and logo, tickets to private events and prestigious venues, a hospitality package for the Olympic Games in 2012, appearances from Team 2012 athletes, training seminars and more. To join requires a subscription fee of £7,500 in each of two fiscal years. More information is at http://team-2012.com/support-us/support-us-team2012/
The Deloitte Cambridge office comprises 8 Partners and over 250 staff who deliver a full range of professional services to the East Anglian region. As well as focussing on the life sciences and technology sectors for which the region has become so renowned, the office has long standing specialisms in other sectors including the professions, consumer business, food and agribusiness.