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January 2022 ACETA Newsletter

​Dear Colleagues           
Whilst January signifies a new year, this time around we enter a third consecutive year impacted by a global pandemic. Aside from navigating an all-consuming and shifting coronavirus landscape, we have endured divisive, inconsistent, self-serving governance, and divisive, alarmist media. This month we consider some pandemic realities, along with their impact on our future, and let’s confirm, reality is the cornerstone of effective strategic cornerstone of effective strategic planning, but first –
 
Membership News
For many, ACETA membership is an important part of strategic planning, supporting development and sustainability. ACETA membership operates on a calendar year format and this week, annual general and associate membership renewals went out to established constituents. For those wishing to belong, now is the ideal time to apply for membership and the application form can be found on the web site www.aceta.org.au  or phone (03) 9481 7706 or e-mail [email protected].
 This year, membership also includes free admission to the June 2022 industry convention for those who qualify, and industry accreditation opportunity across general and associate member sectors.
 
A Two-Year Retrospective in Brief
In terms of the national economy and employment, the pandemic has not had the dire impact initially feared. The aggregate price increase paid by consumers last year was 3.5%, primarily resulting from pandemic related disruption, inflation is currently running at 3.5% which will be hard to contain. Interest rates will inevitably rise in 2022, many suggest this is a corrective necessity. There is more to play out with the economy, including ongoing supply chain shortages and price hikes on essential commodities. Unemployment peaked at 7.4% in 2020, easing to 5.2% in October 2021. However, the employment landscape has experienced significant dislocation, including chronic labour shortages in key sectors. Many individuals swapped industries seeking employment security, and the vital itinerant and casual work force all but disappeared. The pandemic also magnified festering skills shortages evolving from both a commodified education system, and non-existent forward planning in many industries. In economic terms, nothing is currently out of control, but this is a cavalier generalisation.
 
The real national economic picture needs to be understood industry-by-industry, because once disruption subsides, there will be a re-adjustment to a more natural balance, and all industries will need to be prepared. In calamitous times some sectors prosper, others are decimated. An important barometer is the hospitality industry which is currently experiencing a 60% downturn, whilst the homewares sector example has prospered. Now to our industry.
 
Our Industry Experience to Date
Throughout the pandemic, commercial activity in the musical instrument market increased substantially, for many a godsend, whilst all other sectors experienced a downturn in varying degrees. The most negatively impacted being those whose business activity centres on the supply of goods and services to the large and vital live events markets, some reporting a 95% decline in commercial activity at times. Whilst our industry experienced a general trading downturn, it correlated to a significant reduction in operational cost expenditure, albeit, small comfort for some. Whilst economic impact is commensurate with a company’s sector focus, it is also contingent on where you are on the curve, and in that regard the degree of damage is a more individual experience. So, where to from here?
 
Considerations Moving Forward
We will recover, and there will be opportunity aplenty, but it will be different and we will need to lift our game. Following are a few observations to consider as we plot our future.
 
Corporate Commodification whilst not a new trend, is becoming more obvious in our industry. Corporate commodification in our case, usually follows the general IT and Communication industry engagement model, where systems (technology) control the business. Few of us have escaped the frustration, chronic time wastage and lack of outcome experienced when dealing with our service providers, the onus often rests with you. Corporate commodification signifies a breakdown in human interaction that sabotages understanding, efficiency and standards. This model rarely satisfies our industry’s clientele, who work with a multitude of complex technology streams in a real-time artistic environment, and benefit from a personal engagement that often develops into lifelong patronage.
 
Skills Shortage has been exacerbated by the pandemic, and recent history suggest our commodified education systems won’t solve our skill requirements moving forward. Only an industry will understand its strengths and weaknesses, and their peak body is best placed to address lifeblood issues such as skills shortage. ACETA is acutely aware of the industrywide challenge, one that will negatively impact all industry participants if left unattended. It is unreasonable to leave its resolution to a few, join ACETA and help increase its size, influence and resourcing capability to address a deepening problem.
 
Communication or lack of it during the pandemic has been identified as a trend. Common reporting relates to phones not being answered, messages not being returned and much the same with e-mails. Sociologists and psychologists suggest some of this behaviour relates to mental health issues, whilst the reduced expectations of isolated consumers probably facilitate poor habits. Some suggest bad manners and a lack of professionalism, regardless, communication and its quality, are the foundation of human relationship at all levels. Poor communication standards will not deliver a viable business model, furthermore, you will be judged by your communication attitude and capability.
 
Acquirer Awareness of ACETA increased over the last two years, no surprise given most consumers, will seek guidance, compliance assurance and security in their purchasing decisions. ACETA will reinforce this two-way benefit with member Accreditation moving forward.
 
These and many other issues will be presented and discussed by members at the June 2022 Industry Convention.
 
Let’s look out for each other
Frank Hinton
President
ACETA
 
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