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Confidence survey highlights room for growth

Published 18th August 2015

It is fair to say that business confidence plays an important role in both growth and development. Without the confidence to make key corporate decisions, it’s easy for businesses to fall away from the competition.

At the same time, too much confidence can lead to decisions made without proper research and the right technology in place.

With these thoughts in mind, it is pleasing to report on the latest figures from Roy Morgan Research’s Business Confidence survey. In June, this value grew 9.6 points to 114.7 points – an increase of 9.1 per cent on the previous month (May).

However, due to the number of domestic and international issues at the moment, this figure is still well below the five-year average and the peak after the 2013 federal election. 

Norman Morris, Industry Communications Director at Roy Morgan Research, gave the example of lower interest rates in Australia and the budget announcement that writes off up to $20,000 worth of investment.

“However, these June results were taken prior to the deteriorating position and impasse in Greece, the dramatic downturn in the Chinese share market, and the resultant further drop in the iron ore price,” he said.

“Other major economic headwinds also continue to blow, with a worsening budget deficit and the fact that over two million Australians are either unemployed or underemployed.”

Thinking of investing in growth?

In addition to the confidence results, Roy Morgan Research offered insight into how many businesses think the next 12 months will be a positive time for investment. According to June figures, this figure improved to 59 per cent of enterprises.

It is important to note that this is highest rate of businesses with this mind-set since November 2014 and the statistic is well above the five-year average.

Focus on IT contractors

For recruiters and businesses that are working with IT contractors, the focus of this growth potential might come in the form of software and technology.

According to the Information Technology Contract and Recruitment Association’s (ITCRA) ICT Employment Trends Report for Q1 2015, recruiters are finding it hard to locate the right candidates amongst the increased demand.

As such, working alongside Oncore Services could be one answer. With our expertise ranging from contractor management software to risk mitigation and expense processing, establishing these quality process could be the best option in the months to come.

We are in the business of improving efficiency, so talk to our expert team about how we can help.

Confidence survey highlights room for growth