21 August 2012: While higher operational costs are the biggest challenge currently facing Australia’s best small and medium businesses, a majority are optimistic about business conditions next financial year.  

A poll of 111 state and territory finalists and winners of the 2012 Telstra Business Awards found 44 per cent are concerned about higher costs while 40 per cent listed shortage of skilled labour and 37 per cent managing cash flow as among their biggest challenges.

The businesses participated in the poll ahead of the national finals of the 20th Telstra Australian Business Awards in Sydney on 29 August.

Asked about expectations for next year, 64 per cent felt business conditions would be better, 16 per cent said they’d stay the same and only two per cent said they’d be worse. However, reflecting on the the current financial year, 39 per cent felt they expected to be better off than in 2011-12, 37 per cent predicting the same and 16 per cent saying they’d be worse off.

The poll also shows:

• Fifty-three per cent of the TBA finalists and winners started their businesses when the owner was under 35 with half of those taking the plunge between 30 and 34.
• To keep connected, 89 per cent use smartphones, 70 per cent are using tablets and 66 per cent use cloud computing.
• Sixty-three per cent of the businesses have a succession plan in place.
• Ninety-four per cent donated to a charity or not-for-profit or engaged in corporate social responsibility activities in the past year. Almost two-thirds said tax deductibility did not affect their decision.

The businesses reported a wide range of activities when asked to nominate their most innovative recent staff engagement. They included creating a company blog, offering onsite childcare, introducing career management and up-skilling plans for all staff, conducting company think-tanks and staff perception surveys, team retreats to wine districts or beaches and outdoor team-building such as go-cart racing and laser games.

One business that runs quarterly engagement activities has an Olympics-themed 'Bound for Glory' program underway that will deliver all staff an Apple iPad if the objective of generating 150 new client leads is achieved.

Telstra Business Group Managing Director and Telstra Business Awards Ambassador Will Irving said this year’s finalists and winners are among the cream of the crop from a range of industries and sectors. "They show that strong businesses are embracing the latest technology and taking staff engagement and their contribution to their local community seriously," he said.

The national finalists will compete for Awards for start-up businesses (operating for one to three years), micro-businesses (up to five employees), small businesses (up to 20 employees), medium businesses (up to 200 employees), regional businesses and the title of Telstra Australian Business of the Year.  They are:

For more information about the Telstra Australian Business Awards, visit telstrabusinessawards.com.

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