ceo
celebrating excellence in organisations Vol 15 No 6 - 2016
Personal Branding Isn't Entirely About You
Illicit Financial Flows Severely Impacting Developing Countries
Volvo XC90 T5 Welcome To Modern Excellence
Partner
The Client as a
Jaresh Maharaj, CEO, Indra Technology South Africa
REWORKING ORGANISATIONS
CUSTOMER EXPERIENCE
PERFORMANCE ENERGY USB delivers well matched speaker solutions that are aligned to the conference outcome.
EXPERIENCE
KEY STRATEGIES
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BEHAVIOURAL DYNAMICS
FIT FOR PURPOSE
CUSTOMER EXPERIENCE
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DISRUPTIVE
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GLOBAL TRENDS FUTURE FIT
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POLITICAL LANDSCAPE
CODE
PERFORMANCE
DIFFERENTIATOR
NEW WORKPLACE
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Child Abuse in SA
“
[A better society] will and must be measured by the happiness and welfare of the children, at once the most vulnerable citizens in any society and the greatest of our treasures - Nelson Mandela
”
Factors associated with increased risk of child abuse include family violence, living in a neighbourhood with high unemployment, and a high density of places that sell alcohol, according to the Centres for Disease Control in the United States.
1 out of 3 girls and 1 out of 5 boys
will be sexually abused before they reach age 18.
a child is raped in
South Africa
30,000
The number of children reportedly trafficked into the sex trade in South Africa
every three minutes, but almost nine out of ten cases of child rape are never reported. Around one third of rape victims are raped by a close relation
About two-thirds of non family abductions victims are girls with an average age of 11 years±
A child goes missing in South Africa every five hours, Of reported missing children cases, 13.1% involved children between the ages of 0 and 6; 18.2% were children between 7 and 12; and 68.6% involved children between
13 and 17.
Approximately
5 children die
every day because of child abuse.
71%
of non family abductions happen in outside places such as parks, woods, streets, playgrounds and few happen in schools and shopping areas (although these do occur).
EDITOR’S
note Reality
Check
I
think there is hardly a business executive in any medium sized and bigger company who will deny that their business operates in complex and interconnected environments. In some cases, the ongoing functioning of a business is premised on this very complexity and the fact that people keep believing in it. It is, I suppose, as it should be. The complexity feels real for the people that need to wrestle with it on a daily basis and the economic effects of performance or nonperformance are also very real. Very often all of this is amorphous and one is unable to reach out and touch or even effectively manage this complexity.
However, you can be sure it is real and it can hurt if you underestimate its potential impact. One only has to consider what has happened to our local currency since the departure of Minister Nene. The economic impacts have been far reaching and real, but they happened because of what we think to be real, or expect to be real in the future. Clearly, there is no time like now, for the powers that be to get real and address the challenges to ensure all South Africans have a real chance at building a future in our country.
Valdi Pereira
2
CEO 2016 Vol 15.6
The economic impacts have been far reaching and real, but they happened because of what we think to be real, or expect to be real in the future.
INSIGHTS
Gysbert Kappers
Gysbert Kappers, Chief Executive Officer of Wyzetalk
He elaborates that social business can be the key driver in ensuring that the African market becomes more competitive. Says Kappers: “The global growth of enterprise collaboration platforms has allowed companies to see and accept the benefits of having such platforms for business purposes. Internationally, we have seen this approach being adopted with many success stories that have positively impacted competitiveness, but Africa’s adoption has been at a much slower pace. The challenge now is getting industry buy-in; it will take time, but it’s not impossible.” Kappers submits that the collaborative process results in the innovation required to steer Africa’s competitiveness into the future. He sheds more light on the topic: “Businesses, today, operate within a dynamic environment shaped by variables such as evolving legislation, globalisation, and economic volatility. Disruptive new technologies create new competitors overnight and the only way to get, and stay, in front is to constantly innovate. Creativity can, and should, be cultivated as a habit – by everyone – because it’s better when it draws on a collaboration of ideas from people with a common purpose.” Social collaboration platforms offer business a wide array of benefits. The global growth and effect of enterprise social networking platforms and the rising number of Generation Y’ers in the workplace have prompted businesses across industries to look at ways of introducing a more social way of engaging. Companies are always looking at ways to better communicate with employees and customers, and Social Business Software has substantially changed how this interaction takes place. Social business is simply the ability to empower and mobilise the
Social Platforms working for Africa Open source (OS) software is no longer the exclusive domain of back-end IT systems. It is permeating every facet of business in the competitive rush to embrace digital. However, the shift to a more OS-centric environment needs to have clear focus if it is to be effective.
V
ery often, the sharing of ideas and ‘the way forward’ for an organisation are left to a select few decision makers and exclude the rest of the workforce. “More than ever, it has become critical for decision makers to involve all employees in the collaborative and innovation process – especially if we consider that the only constant in business is change and that the reality is that it’s adapt or die,” observes Kappers.
Focus on Gysbert Kappers
collective brainpower of the entire organisation in a meaningful and transparent way so as to collaborate, increase productivity, manage data and intelligence, improve responsiveness, streamline operations, connect and communicate, limit the impact of crises, increase customer advocacy, drive innovation, and increase revenue potential. It’s not just about accumulating content, ideas and chatter, concludes Kappers. Rather, it is about using a rich multiplay platform (desktop and mobile) in a meaningful way to gain intelligence, insights and sentiment in a way that helps businesses make more informed decisions faster – at the same time keeping communication transparent and all members of the company’s ecosystem better informed and proactively engaged.
CEO 2016 Vol 15.6
03
CONSULTANCY AND TECHNOLOGY AND WORLDWIDE CONSULTANCY TECHNOLOGY WORLDWIDE
Indra is one of the main global consulting and technology companies and the technology partner for core business operations of its clients businesses throughout the world. It offers a comprehensive range of proprietary solutions and cutting edge services with a high added value in technology, which adds to a unique is main reliable, flexible and adaptable to its clients’ needs.and In 2015 it reportedpartner revenues Indraculture is one that of the global consulting and technology companies the technology forof €2.850m, had a workforce of 37,000 professionals, a local presence in 46 countries, and delivered projects core business operations of its clients businesses throughout the world. It offers a comprehensive range of in moresolutions than 140and countries. proprietary cutting edge services with a high added value in technology, which adds to a unique culture that is reliable, flexible and adaptable to its clients’ needs. In 2015 it reported revenues of €2.850m, companyofhas been professionals, operating in Africa 1995in and offices and in Morocco, Kenya, Senegal, had aThe workforce 37,000 a localsince presence 46has countries, delivered projects Mozambique, Africa and Algeria. in more than 140 South countries. is anhas outstanding leaderin inAfrica the implementation ofhas energy solutions for electrical power The Indra company been operating since 1995 and offices in Morocco, Kenya, Senegal, companies in Africa, where it has been involved in some of the most important modernization processes Mozambique, South Africa and Algeria. undertaken in the last 15 years all over the continent. Indra is an outstanding leader in the implementation of energy solutions for electrical power Furthermore, thewhere company has a strong position in Africa a provider of air traffic management and companies in Africa, it has been involved in some of theasmost important modernization processes airport systems in 15 more thanall20 African countries including ASECNA. undertaken in the last years over the continent. It also hasthe important references in the sectors of Transport, Public of Administrations & Healthcare, Furthermore, company has a strong position in Africa as a provider air traffic management and Industry, andinDefense & Security. airport systems more than 20 African countries including ASECNA. Indra in 2012 in South Africa and has its headquarters located in Johannesburg. Our main activity It also hasstarted important references in the sectors of Transport, Public Administrations & Healthcare, is focused on Security & Defense, Transport, Air Traffic Management, Public Administration and Energy. Industry, and Defense & Security. Indra South Africa is proudly a level 3 contributor in BEE compliance, showing our commitment to the African culture. IndraSouth started in 2012 in South Africa and has its headquarters located in Johannesburg. Our main activity is focused on Security & Defense, Transport, Air Traffic Management, Public Administration and Energy. Indra South Africa is proudly a level 3 contributor in BEE compliance, showing our commitment to the South African culture.
indracompany.com
LEADING SOLUTIONS LEADING SOLUTIONS
Indra is leader in offering management solutions for top organizations in sectors such as:
• Defense & Security, with leadership in air surveillance, simulation, maritime surveillance, electronic defense satellite communications. Indraand is leader in offering management solutions for top organizations in sectors such as: • Transport & Traffic, system in air traffic management, and surveillance systems; • Defense & Security, withwith leadership insolutions air surveillance, simulation, maritimenavigation surveillance, electronic defense railwayscommunications. and airport management, urban traffic and traffic control systems. and satellite • Energy Industry, generation, distribution and customer management. • Transport && Traffic, withcovering system solutions in air traffic management, navigation and surveillance systems; railways and airport management, urban traffic and traffic control systems. • Telecommunications & Media, specially operations and business support solutions. • Energy & Industry, covering generation, distribution and customer management. • Financial Services, with a leading supply in key banking and insurance systems. • Telecommunications & Media, specially operations and business support solutions. • Public Administration & Healthcare, with examples at the forefront in health, education, justice management, smart cities andwith electoral processes. • Financial Services, a leading supply in key banking and insurance systems. • Public Administration & Healthcare, with examples at the forefront in health, education, justice management, smart cities and electoral processes.
CONTENTS 10 68 REGULARS
1 Your World Unravelled
LEADINGedge
His organisation is a fairly new player in the fast evolving technological sector of South Africa. Yet Jaresh Maharaj, Chief Executive Officer, Indra Technology South Africa says that, to all intents and purposes, they are already a strategic business and technology partner for a select few key clients. He discusses his first few months at the helm and how he sees South Africa as his company’s springboard into emerging markets.
2 Editor’s Note 3 Insight 8 Flip Side 16 On Point
35 What’s Hot or Not 72 In Conversation With
A Driver on All Fronts
70 Stefan Joselowitz The Makings of a Serial Entrepreneur
36 Ethically Diverse
24 CG Consulting
Diverse firms are perceived as more ethical — and less deserving of punishment when they do commit transgressions.
Advantage, Africa
25 J2 Software
38 Tech Networked Economy Megatrends that are Transforming the African Economy
The Challenge of Illegitimate Mails
26 Top Employers Institute Burnout Is Best Stopped Before It Starts
28 CGF Institute Absenteeism: Eroding Company Profits
30 WorldCom Nobody likes a Whistle-blower
32 Economist Intelligence Unit The Data-Driven Business Era
38 16 16 On Point
58 CEO 2016 Vol 15.6
68 Dr Elmi Muller
INtheKNOW
SUPPLYworx
06
Focus on Excellence
To stand out above the clutter as an individual, you need a newer, far reaching approach to building your personal influence and equity.
Organisations are now inextricably tied into a networked economy, as they are connected more than ever before to digital communities of existing - as well as potential - sellers, buyers and suppliers.
40 How to Get the Best from Your Workplace Talent Winning organisations in the future will be those who embrace four principles to attract and retain this diverse talent.
42 Mind The Gap How to use mentorship programmes to bridge the generational gap in the workplace.
GLOBAL Expand your business Horizon
LIFEstyle
Publisher CEO Global (Pty) Ltd Tel: 0861 CEO MAG Fax: (012) 667 6624 Tel: 012 667 6623 info@ceomag.co.za www.ceomag.co.za
58 Volvo XC90 T5 AWD R-Design Geartronic
Chief Executive Annelize Wepener annelizew@ceomag.co.za
Salute to a Legend
Director: Strategic Development & Editor in Chief Valdi Pereira valdip@ceomag.co.za
60 Land Rover Defender
Director: Corporate & Financial Services Carl Wepener carlw@ceomag.co.za
Innovative & Sophistication
Manager: Office of the Chief Executive Nadine Aylward nadinea@ceomag.co.za
62 Badgerleur Bush Lodge
46
The Perfect Hunting Ground
General Manager: Global Services George Wepener georgew@ceomag.co.za
64 Heritage Le Telfair Golf & Spa Resort
General Manager: Global Media Services/ Head of Production Channette Raath channetter@ceomag.co.za
Living out the Charms of Yesteryear…
Junior Designer Niel Viljoen nielv@gmail.com Manager: Business Development – SADC South Neville Mukoma nevillem@ceomag.co.za Danny Kabongo dannyk@ceomag.co.za
44 Mindfulness about Meetings
Journalist Andrew Ngozo andrewn@ceomag.co.za
Much has been written and researched about mindfulness in the workplace – much of which is about the skills and disciplines linked to quietening the mind in the noise and bustle of organisational life.
Team Leader: Continental Programmes Pule Mahodi pulem@ceomag.co.za Continental Project Administrators Sylvia Houinsou sylviah@ceomag.co.za Rumbi Chanda rumbic@ceomag.co.za
46 Time is Money The reality of today’s world is that time has become a hinder for most of us due to the demand to do more in less time.
48 Africa’s Future in Energy A number of progressive initiatives around the world are creating new opportunities and technologies to allow for the efficient use of alternative energy sources.
Manager: Corporate Support Raymond Mauelele raymondm@ceomag.co.za
64
Client Development Administrators Winston Williams winstonw@ceomag.co.za Client Liaison Officer Cobus Kramer cobusk@ceomag.co.za Receptionist Wilheminah Nchwe wilheminahn@ceomag.co.za Office Assistant Minah Mahlangu minahm@ceomag.co.za Security Guard George Mbana
52 Whistle while You Work We explore some of the ways that South African companies are stepping outside the office cubicle to incentivise employees.
60
* No article or part of an article may be reproduced or transmitted in any form without the prior written permission of the publisher. The information provided and opinions expressed in this publication are provided in good faith but do not necessarily represent the opinions of the publisher or editor. All reasonable efforts have been made to ensure the accuracy of the information contained in this publication. However, neither the publisher nor the editor can be held legally liable in any way for damages of any kind whatsoever arising directly or indirectly from any facts or information provided or omitted in these pages, or from any statements made in or withheld by this publication.
CEO 2016 Vol 15.6
07
FLIPSIDE
Way back in 1975 Japanese scientists discovered a strain of Flavobacterium living in ponds containing waste water from a nylon factory. This bacteria, later commonly known as nylonase, proved capable of digesting certain by products of Nylon 6 manufacture. There is agreement in the scientific community that this is a single step mutation. No doubt there are already bio-tech start ups pondering the potential of bacteria to deal with fresh and marine water pollution.
Something Fishy
Bacteria
to the rescue?
The Ellen Macarthur Foundation reports that by 2050 there will be more waste in the sea (by tons) than fish. Levels of pollution can presently be equated to the contents of one garbage truck being dumped in the sea per minute. At present levels of pollution this will have risen to four trucks per minute by 2050. In the wake of all of these revelations we can’t but help to wonder how healthy fish dishes really are…
330+ Years and still in Demand The humble French fry was apparently first served and gobbled up, way back in 1680. Most people don’t know that Belgium lays claim to the development of this widely accepted fast food staple. Their claim is disputed by the French (nous nous opposons) and is bit of a hot potato (pardon the pun) between the two countries. With about 30% of the USA’s potato crop used to make fries and 80% of UK households buying frozen fries at least twice a year, it’s clearly not small fry.
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CEO 2016 Vol 15.6
A Numbers Game The centre for the Study of Global Christianity suggest that in 2012 there were some 43 000 Christian denominations. It is estimated that two-thirds to three-quarters of these independent churches are to be found in Africa. We don’t know whether this is good or bad – at the very least it shows Christianity allows debate and interrogation of its core beleifs.
Mad World We have always figured you have to be slightly Machiavellian to be a good politician – especially in British politics. The unfolding drama around Brexit, the subsequent roiling of the Labour and Conservative party leadership, worldwide economic reverberations and growing rumbles of discontent within the EU are but the start of crazy period that will last, we fear, for a long time.
A Tech
Game If you have ever doubted the growing importance of technology in sport, you need to look no further than next month’s Rio Olympics. The top expense is rated as administrative and commercial at 26%. The second highest is technology at 19%. The question is has technology grown to contribute to enjoyment of the spectators and television viewers or deal with potential cheats? Answers on a post card.
Jaresh Maharaj, Chief Executive Officer, Indra Technology South Africa
South Africa is an important market for Indra both as an emerging market and as a springboard initially for SADC and for the rest of the sub-Saharan African continent.
LEADINGEDGE - Indra Technology South Africa
The Client as a
Partner by Valdi Pereira
His organisation is a fairly new player in the fast evolving technological sector of South Africa. Yet Jaresh Maharaj, Chief Executive Officer, Indra Technology South Africa says that, to all intents and purposes they are already a strategic business and technology partner for a select few key clients. He discusses his first few months at the helm and how he sees South Africa as his company’s springboard into emerging markets. Maharaj believes a national skills development strategy coupled with a robust youth entrepreneurship programme will yield some significant results when dealing with the unemployment crisis in South Africa.
How is your company the technological partner for the key operations of its clients? It has been Indra’s long held belief that technology should be a strategic tool for advancing the objectives, and supporting the key operations of a business. Because of our depth in technological and domain knowledge and expertise we have found that our clients treat us as partners in their business. Our key clients understand that our role is to intimately engage with them to solve their real business problems. In the vertical markets where we operate we tend to dominate because of the subject matter expertise we bring as well as the professional business relationships we cultivate with our clients.
Indra also develops a range of proprietary solutions and advanced services and of high value-added technology, which allow clients to solve their most critical issues and improve their processes, efficiency, profitability and differentiation. We have, a differentiated business model, based on a balanced portfolio of own solutions, high reliability and diversification, offering it in a unique way to leading customers in key industries and geographies. Adding to this a unique culture of flexibility and adaptation to the needs of its clients. Based on its deep knowledge of key business processes, Indra maintains very long term relations with its clients. When you were appointed as the CEO in June 2015, one of your focus areas was to consolidate the company as a referent for innovation in South Africa, developing proprietary services and solutions across the different sectors in which the company operates and that are key for the economy. How far along are you towards realising these objectives? My objectives are on the trajectory chosen within a stipulated long term strategic plan. The South African economy has taken a tough transitioning and Indra is also adapting to those changes. Ultimately we are also being very specific to the technological solutions for the various sectors that we are investing into South Africa. Areas of current applications of this innovative development include secure communications and advanced solutions for airlines and renewable energy utilities. Indra South Africa is less than five years old. What do you hope to look back on as achievements when it reaches five years old or a decade? We want to be a strategic business and technology partner for a select few key clients within the next years. We
Coupled with our deep domain expertise in our vertical industries we believe that our clients will derive more value from a long-term partnership with Indra, as is the case in the markets where we operate. CEO 2016 Vol 15.6
11
LEADINGEDGE - Indra Technology South Africa
Our key clients understand that our role is to intimately engage with them to solve their real business problems. have a world-class and proven suite of technology solutions which give us the edge in this regard. Coupled with our deep domain expertise in our vertical industries we believe that our clients will derive more value from a long-term partnership with Indra, as is the case in the markets where we operate. Can you please explain how South Africa is key to your company’s plans to consolidate its presence in emerging regions such as Africa and Asia? South Africa is an important market for Indra both as an emerging market and as a springboard initially for SADC and for the rest of the sub-Saharan African continent. The maturity of the business sector and a fairly robust infrastructure in terms of systems and the economy are all factors that position South Africa as a good starting point for an emerging market strategy. A partnership is a two-way learning exercise because while we impart knowledge and expertise to our clients we also gain a lot of invaluable understanding and experience of the environment and the issues. The knowledge we will gain in this market will stand us in good stead in other developing economies One of the main challenges of the consolidation stage is to continue expanding Indra’s presence in sectors that are relevant to the corporate and economic activities of South Africa, contributing innovation and adapting its solutions and services to the South African market. What progress has been made in this regard since your appointment to the helm? Being a South African has made me very adaptive and versatile in the diversity of a multicultural population. I am very prudently assessing and researching the reactions of the South African market to the international solutions and services of Indra, I feel that we have made significant progress towards this goal. What have been the company’s major highlights/achievements and challenges since its presence in Africa in 1995? Apart from integrating the local corporate resources into the global corporate systems policies and processes,
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CEO 2016 Vol 15.6
LEADINGEDGE - Indra Technology South Africa
adapted to the South African specifics when needed, the development of partnership and collaboration relations with national industry in our core technological fields has been a major driving factor for first subsidiary consolidation. The challenge of increasing our BEE rate has also been a guiding factor for our local corporate structuring and for the providers’ network establishment. Areas of successful application of our innovative developments to the country during these years include secure voice and data communications, advanced solutions for airlines and renewable energy utilities systems management. Decentralisation, offshoring of work share and knowledge transfer has been also a priority developed along these years. Your company is one of the main players in Europe and Latin America. Do you think the African continent is at a level where it can be on par or compete with those markets on a technological level? It is a well-established fact that Africa as a continent is on a steep developmental curve. How far up the curve is, perhaps, a matter of opinion. But developmental experts are in agreement that technological innovation is going to be an important catalyst in leveraging this growth. Many parts of Africa where technology is only at infancy do not have to follow the technological development path of mature economies; they can easily leap-frog the analogue path straight into the digital world, for instance, and reap the immediate benefits of a digital economy. We have seen examples of this in the banking and telecommunications sectors already. So, it is not a question of Africa competing with the rest of the world per se, but rather (for Indra at any rate) how technology providers can take advantage of this opportunity by providing relevant solutions to solve real and immediate problems of the continent. Are there any other thoughts that you would like to share with stakeholders/readers? One of the economic imperatives of government is to address the dire situation of unemployment. Over the years government has embarked upon many job-creation strategies and initiatives. It is my belief that a concerted joint effort between government and the private sector, especially in the information and communication technology industry, is of paramount importance. I believe that a national skills development strategy coupled with a robust youth entrepreneurship programme will yield some significant results. I believe that the private sector would be keen to participate in such an endeavour. The concept of SMME development and the various other private sector Corporate Social Investment initiatives can be greatly enhanced.
Because of our depth in technological and domain knowledge and expertise we have found that our clients treat us as partners in their business. CEO 2016 Vol 15.6
13
Joburg is carrying forward the legacy of 1976 Forty years in the history of a nation is a short period. This is especially true when the events you recollect after four decades had such a profound, irreversible impact on the course of history. In South Africa there were a number of such seminal events in the past 11 decades. •
The decision by the newly formed Union of South Africa not to include the black African majority in its political settlement with Britain
•
The subsequent formation of the African National Congress.
•
The adoption of the Freedom Charter in 1955.
•
The Treason Trials and Rivonia Trial that sent our top leadership to prison or into exile.
•
The eventual democratic transition of 1994 and the introduction of democratic local governance over the next decade.
But few events could rival the 1976 Soweto Uprising in its magnitude and impact on the direction of an entire country. What was perceived by the government of the day to be localised resistance against the use of Afrikaans as a medium of instruction in schools – turned out to be the expression of a much wider, more fundamental resistance against an entire system that denied the majority of South Africans the right to be free and equal citizens in the land of their birth. 1976 was a pivotal year in our history. It galvanised the youth of that time to demonstrate their rejection of the regime in the most public way possible at the time – by taking to the streets of Soweto. It inspired the next generation – and the following one – to never retreat against oppression and to continue the fight till the entire country and all its citizens were liberated. This generation currently find itself in leadership positions – not only in national and local government, but also as CEOs or senior executives in business, as thought-leaders in the media, as the standard bearers of civil society in churches and community organisations. In that sense we are all children of 1976. Soweto – and greater Johannesburg – are the two geographical places most closely associated with the events of 1976. We carry this historical identification with pride. But we are equally conscious of our responsibility to continue this legacy in our actions and our initiatives.
CITY OF FIRSTS
As a municipality, we have taken conscious decisions that we can best honour this legacy by investing in the future of the current generation. Unlike many doomsayers the City of Johannesburg does not see its youth as part of “a lost generation.” Where others see “problems” – Joburg sees “opportunities.” Where others voice concern – Joburg raises its voice to mobilise the youth. Where others step back – we step forward and take action. An example of our pro-active approach can be found in the Vulindlel’ eJozi programme. As the name indicates it is opening doors to opportunity for many young Joburgers who find themselves exiting the secondary education system without the requisite skills to either continue their studies or find meaningful employment. So we are offering young people the necessary training and support to re-write their matric and get higher marks in critical subjects that are required for entering the job market. We focus on vocational training and the acquisition of skills in the ICT environment. And we then partner with the private sector to identify job opportunities and match their skills needs with the young people who have been placed on the Joburg database. Within the first year after its launch Vulindlel’ eJozi has already registered close on 130 000 young people and is the fastest-growing youth development programme of its kind in South Africa. Closely connected to this is our partnership with some of the world’s top tech giants to make educational material available online through the system of Massive Online Open Universities – or MOOVs. Joburg’s prudent investment in high-speed broadband fibre has, thus, not only brought material benefits to large and small business who have access to fast e-connections – but also to thousands of young people who can now walk into public libraries and community centres to listen to lectures, download study material and acquire internationally-recognised qualifications in a growing number of fields. These – and other Joburg initiatives – are especially close to our hearts because they offer us a direct link back to June 1976 and our fortieth commemoration of these events. Access to the digital environment has become as much a fundamental human right in 2016, as access to proper high school education was 40 years ago – a reality now also recognised by the United
JOBURG - A WORLD CLASS AFRICAN CITY
Nations. Education remains at the front and centre of our struggle and the children of 1976 now have the opportunity to pass this legacy to a next generation. In recent months two of the most prominent ratings agencies – Moody’s and Fitch – announced their decisions to maintain and upgrade the City of Johannesburg’s investment ratings. The decisions were, no doubt, made in recognition of our record of prudent financial management and the high standards of corporate governance we apply. But, their reasoning goes beyond the here and the now. It looks at Johannesburg and it sees a City that is truly investing in its future. This is evidenced - In new infrastructure through the R100-billion allocation over a ten year period; - In new ways of delivering basic services through
Jozi@Work which sees communities as partners rather than recipients of services; - In the Corridors of Freedom which seek to create a more cohesive Jozi through inclusive spatial development; - In the city’s record budget of close on R55-billion – double the size of the allocations when the current administration took office five years ago; - In investment in skills development and training through programmes such as Vulindlel’ eJozi and MOOVs that offer hope and opportunity for the next generation. There is a new economic democracy on the rise in Johannesburg. We are well and truly on our way to become the ‘world-class African City of the future. The legacy of Soweto 1976 is carried forward in a united and growing Johannesburg of 2016.
CITY OF FIRSTS
Yet Another Upgrade This time from Moody’s Ratings Agency Moody's has upgraded Joburg both on the Global Scale Rating and the National Scale Rating by four notches. We moved from Ba3 to Baa2 and from A2 to Aa1 respectively. This great move follows a recent upgrade by Fitch Ratings Agency. From a City known for its prudent financial management, Joburg municipality was adjudged worthy of an upgrade in this latest fiscal management reviews by Moody's. We achieved this despite an economic slowdown in the last three years. We are a City least dependent on national government grants. Yet, last year, we pushed ourselves to become the largest per capita infrastructure spender in government, after national government itself. "The City maintained its good liquidity position despite funding 30% of (its R100 billion) capital expenditure from own sources".
Well, it's not us. It's Moody's! Executive Mayor Parks Tau www.joburg.org.za @CityofJoburgZA CityofJohannesburg
Why
personal branding
isn’t entirely all about YOU by Vanessa Bluen, Managing Director of The Consultant Powerhouse
In the digitally enabled economy of today, connected and intelligent individuals face a world rife with competition when it comes to career advancement or even business survival. To stand out above the clutter as an individual, you need a newer, far reaching approach to building your personal influence and equity.
ONPOINT
A
ccording to the 2014 Edelman Trust Barometer, only 17.5% of people around the globe said they trust their business and government leaders to solve social issues, correct issues within industries that are experiencing problems, make ethical and moral decisions, and tell the truth regardless of complexity or unpopularity. This is indicative of a worldwide trust dilemma, and coupled with a pressurised society demanding immediate value from us - we need to map a new way of standing out by offering additional value. How do you set yourself apart and authentically connect with key stakeholders, whether it is a potential employer, client or investor? In order to connect with distracted audiences, we need to challenge our thinking. We need to identify different kinds of value that will be relevant to others. We have to discover ways that we can add value through insights into our stakeholders businesses and industries. Here are some fresh insights to consider when redesigning your personal brand as a sustainable platform for building trust and long-term connections: 1. Be the ignition, not the engine To make a sustainable impact in business – and in life – start thinking about how you can connect and add value to others. It might seem counterintuitive, but to build your personal brand as a dynamic, successful, go-to kind of person, your value needs to outshine your ego. But connecting isn’t about numbers, such as how many thousands of friends or followers you have on Facebook. It’s the quality of your relationships that count and your ability to add value during each and every interaction. How can you be the ignition key to accelerate value and possibilities for others, rather than the big engine noisily seeking attention for yourself? Although we think our power and influence comes from our professional knowledge and skill, like being a good lawyer, engineer or accountant, that’s no longer enough. In this ultra-connected global economy, those skills can be found anywhere, and probably at a lower price. Instead, our personal brands should embody our ability to engage with others and help them to succeed by understanding what they need and having a network of contacts to introduce to them. 2. Curiosity never killed the cat Develop an appetite for curiosity. Expose yourself to international news – especially current and cutting edge articles within the field most relevant to your stakeholders. This creates a powerful foundation for adapting and connecting into others’ agendas. To be a person of insight with the ability to have relevant business conversations and bring an alternative perspective to the table, is about making their agenda more important than yours!
It’s the quality of your relationships that count and your ability to add value during each and every interaction. Building global cultural fluency has become a critical skill to embody within our personal branding as we increasingly need to interact in more diverse contexts. This embodies understanding your own world view and appreciating and connecting into other people’s cultural and social frameworks. On a more micro, personal level – we need to build flexibility to adapt and connect with others on a personal level i.e. if a person talks quickly, that is an indicator to swiftly get to the point. Ask questions that indicate you want to understand what they are trying to achieve at a personal, project and organisational level. When writing to prospective stakeholders, clearly show how they will get value from meeting you by indicating the ideas you can contribute, which are focused on their issues rather than your own abilities. This can be expanded on by providing contacts with reports and research that will be useful in their world and may have little or even nothing to do with your professional skills. 3. While a first impression sparks; a powerful perception lasts 55% of a first impression is visual, 38% is based on what you sound like and only 7% is built on what you actually say! Never underestimate the power of visual perception and ensure that the physical representation of your personal brand is consistent with your value offering. The ability to present an impactful business case and to hold your ground when faced with challenging responses is an important step to building a credible perception. Self-confidence is a crucial component to connecting with others. Research has indicated that the degree to which others are able to connect with us is directly proportionate to how we feel about ourselves. And positive perceptions are primarily driven by our ability to be relevant and connect with others. Perhaps ask yourself – how much value have I left behind in the mind of the other person? Going forward Today’s business and economic climate has propelled the evolution and advancement of personal branding. As a result, a new and fresh approach to building personal impact and influence will have more shelf life and longevity than the traditional, self-orientated approaches to personal branding. Personal brands, if built with insight and bundled with far reaching value and authentic communication, will transcend many of the challenges that businesses and individuals face in a tough economic climate.
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ONPOINT
Resilience: the flipside of
corporate sustainability
The focus of boards, their executive teams and auditors is—quite rightly—on corporate sustainability. But are they paying enough attention to the question of what happens when sustainability measures fail?
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n the popular imagination, “sustainability” tends to be equated with environment-friendly practices and climate change. In business, the concept is broader and refers to the ability of the business to prosper over extended periods of time. Confusingly enough, environmental sustainability has now been identified, by progressive companies at least, as one of the factors influencing corporate sustainability. The environment, and a company’s influence and dependence on it, now joins a host of other risks that a company must recognise and prepare to surmount. To put it crudely, corporate concern for environmental sustainability is almost, wholly, a factor of its broader focus on its own long-term sustainability. Other risks to corporate sustainability include labour relations and politics, to name just two. There is growing evidence that in order to continue with their primary goal of making money, many companies will need to change their strategies to accommodate new understandings about how natural resources should be used, how communities should be engaged and how labour relations should be practised. But changing corporate behaviour is a slow process and many of today’s risks are anyway beyond a business’s ability to control, at least in the short term. In other words, companies and their auditors need to make sure that adequate measures have been taken to ensure that the organisation has sufficient resilience to cope with events that impact the company, the industry or even
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the economy as a whole. Let’s just remind ourselves of the risk environment that prompted the focus on corporate sustainability in the first place. Understanding the risks… and their possible impacts The first set of risks is natural. Corporate activity has been, it seems, a major contributor to the degradation of the natural environment—the common capital on which all life and commerce ultimately depends. Regulation and self-interest combined are forcing a rethink of the way corporates interact with the environment but it appears as if substantial changes in climate patterns are already occurring, and that some resources are under threat. Both extreme weather and water scarcity, to name two, have become significant risks to business. Then there’s political risk. At a global level, we are living in a post-9/11 world but here in South Africa there are clear and present dangers from social and political unrest, as well as increasingly violent strikes. Economic risks include rand and petrol price volatility, reduced foreign direct investment and the impact of the continuing global recession. Today’s long and complex supply chains also create vulnerability. One final category of risk must be included: information and communication technology (ICT) risk. ICT has become a critical enabler of business and so any non-or underperformance in this area has negative implications. The list of risks is long, perhaps endless, so the first thing a company needs to do is assess what risks particularly affect it
ONPOINT
Ensuring that the company can bounce back when any of the identified risks materialises is becoming more and more the province of the formal discipline of business continuity management. and then make plans for dealing with the consequences when each one materialises. Only when these plans are in place, have been tested for efficacy and are constantly renewed can the company be sure it is resilient; that is, has the “positive ability…[to] adapt itself to the consequences of a catastrophic failure caused by a power outage, a fire, a bomb or similar event”, to quote Wikipedia. Maintaining resilience Ensuring that the company can bounce back when any of the identified risks materialises is becoming more and more the province of the formal discipline of business continuity management. Business continuity management essentially provides a governance framework to ensure that risks are identified and assessed, and contingency plans for each of them put in place. It also builds a process of regular testing— plans are just pieces of paper until they work—and annual reassessments. In short, business continuity management is needed to ensure that the company is resilient in the face of
disaster—and thus plays a role in ensuring it is sustainable over the long term. Business continuity management is a complex process but luckily international standards and best practices are now available to help companies get it right. These standards include ISO22301(International Standards Organisation), GPG2013 (Good Practice Guidelines) and BS25999 (British Standards). Business continuity management also helps a company balance the acuteness of each risk and how many resources to commit to making itself resilient to it. To be successful, it requires buy-in from the board and top management and that proper tests regarding the resilience and business continuity are performed. Only then will sufficient resources be provided and a culture of risk management take hold. Board members and executives, who jointly bear responsibility for ensuring the company’s sustainability need to see creating organisational resilience as part of their central mandate—and their auditors should be making sure they are doing just that.
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ONPOINT
Illicit financial flows by Andrew Ngozo
severely impact developing countries
Illicit financial flows are a massive problem impacting developing countries in general and in particular South Africa, and requires urgent attention.
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his became clear during a roundtable meeting convened by three well-known international civil society organisations (CSOs) - African Monitor, Economic Justice Network and Oxfam - in South Africa. The organisations noted that illicit financial flows also impacted developed countries, and was such a huge and complex field that it would be best solved by a wide range of organisations working together to address the challenges caused by such flows. In the case of South Africa, a Working Group was established during the roundtable to work with South African CSOs, the government and the private sector. The Working Group will ensure that there is purposeful cooperation to address the issue among South African CSOs. The group will liaise with other like-minded groups and task forces involved in addressing the issue. Such flows involve money that is illegally earned, transferred or utilised. Illicit financial flows range from trade in drugs, trade mis-invoicing, corporate malpractices, use of tax havens and aggressive transfer pricing, among others. According to estimates from Global Financial Integrity (GFI), South Africa is heavily affected by such illicit financial outflows, having lost R1,007-Billion to illicit outflows in the decade 2002 to 2011. Of this amount, over 80% was lost through transfer pricing, pointing to the role of the private sector in perpetuating this illicit practice. The statement said that the roundtable had heard a presentation by Dev Kar of Global Financial Integrity, who said that since the publication of the illicit financial flows report and figures in 2013, the GFI had been commended by national governments as well as international bodies such as the IMF, World Bank, OECD, African Development Bank, The UN Economic Commission for Africa and the United Nations itself, among others.
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ONPOINT
Kar noted that such illicit flows is not just a problem for developing countries but also for developed countries as illustrated by the Eurozone crisis. Numerous attempts have been made to resolve this problem, such as the President Thabo Mbeki led High Level Panel on Illicit Financial Flows from Africa. In spite of this, there is still serious resistance from governments and the private sectors with vested interests and who are benefitting from illicit financial flows. To illustrate how entrenched these vested interests are, the meeting cited the dominance of business voices at the recent OECD Annual Meetings in Paris and a subsequent G20 tax symposium held in Japan during May 8 & 9 hosted by the Australian Presidency. At this meeting, Mr Kojo Parris (with a strong private sector background), reiterated the importance for CSOs to closely engage private sector and government on this issue and not treat them as enemies. Hassan Lorgat of the Bench Marks Foundation emphasised the importance of understanding that illicit financial flows is part of a bigger struggle of capital versus workers. Therefore, the need to connect the struggles through engaging grassroots groups is of paramount importance. It was accepted that while there was already a good basic understanding of the problem as well as estimates of how much was involved, there needed to be an understanding of the nature and types of underlying mechanisms used to generate the outflows as an important step in addressing illicit financial flows. Tendai Murisa of Trust Africa, urged civil society organisations to also focus on investment treaties the government has entered and is entering into as an important step in addressing illicit financial flows. The meeting also highlighted the inadequacy of the South African regulatory system in terms of its excessive focus on anti-money laundering at the expense of other dominant forms of illicit financial flows such as trade mispricing. As a way of curbing dominant forms of illicit financial flows in South Africa, the roundtable identified the urgent need to bring together all stakeholders and economic agents participating in and monitoring developments in the production value chain.
It was further noted that transparency and an improved reporting standards would be central in ensuring that the agencies are able to monitor developments, calling on government to immediately adopt legislative changes to put in place comprehensive country by country reporting; implement automatic exchange of tax information between competent authorities; implement public beneficial ownership registers; address harmful tax competition; and for South Africa to use its position in the G20 to advocate for an inclusive Base erosion and Profit Shifting (BEPS) process that fully integrates developing countries in rewriting the rules on global corporate taxation.
Illicit financial flows range from trade in drugs, trade mis-invoicing, corporate malpractices, use of tax havens and aggressive transfer pricing, among others. Media was also noted as an important player in highlighting the issue. The roundtable also said that there is a need to look into intra-Africa illicit financial flows, with particular attention to the role played by South African companies in Africa. During the meeting, participating CSOs and partners shared the work they are doing in the following areas: tax justice covering issues of tax evasion and other tax loopholes; corporate income tax disparities; input and advocacy around the Davis Tax Commission; information provision and availability; voluntary disclosure and mandatory reporting; grassroots engagement in terms of poor public service delivery and provision; research and understanding of South Africa’s regulatory framework that perpetuates illicit financial flows; Base Erosion and Profit Shifting (BEPs); accessing policy makers on illicit financial flows issues; Transnational Corporations and tax impunity especially within mining and the extractives sector; and value chain analysis and how the shadow economy impacts on illicit financial flows.
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Investment Advantage, Africa of Things Internet The Data-Driven Business Era
Burnout
Best Stopped Before It Starts
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Africa dvantage
Africa is finally taking centre stage as more and more international organisations are opening offices on the continent. More banks are viewing Africa with interest, and stock markets are showing strong performances.
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ouise Robinson, Sales Director at CG Consulting says investing in Africa is a must for all enterprises wishing to succeed in the future. “Africa is already showing one of the highest returns on investment. African banks did not take the same knocks as their US and European counterparts during the recession, and the interest in Africa remains strong.” She acknowledges that Africa is not without its problems, particularly in terms of infrastructure, poor transport, low electricity penetration and so on. “However, investment in the continent can fix this. Africa is so resource rich, that investors will put infrastructure in place to be able to tap into them.” The African Economist cited figures from the African Development Bank that revealed that by 2030, the majority of African countries will have attained lower-middle to middle-class majorities, and that consumer spending will explode to about USD2.2 trillion. Robinson points out that the burgeoning world population, estimated to reach 8.3 billion by 2030, will also offer Africa some enormous opportunities, as the demand for resources will reach previously undreamed of levels. “By 2035 it is estimated that more of the global workforce will be
African, overtaking even superpowers such as China. Africa is also set to enjoy a major role in meeting consumer needs across the globe.” The next ten years will be an out of the ordinary time for Africa. The global economic axis is shifting, and Africa is set to shine. “There will be swings and roundabouts, but those who do not see the changes afoot, and refuse to view Africa as the next place to be will be missing a giant business opportunity.” Robinson indicates that projected economic growth is just one of the reasons why foreigners should consider starting up or expanding their existing businesses into Africa – especially in the ICT sector. “The nascent technology scene is starting to grow. While Internet usage remains fairly low across the region, mobile penetration is high, with even the poorer African countries boasting mobile rates of around 85%.” She points out that the most important consideration for any business looking to invest in an African business is that they have to walk a fine line between accepting local business customs and following good business practices. “What is appropriate in Lagos may not be in Nairobi, or Johannesburg. Similarly, Africa has a bad reputation for corruption, so an investor must have a good enough understanding of where the two meet in order to evaluate the potential success of any African business. Having a local advisory or consulting firm on board can make or break any deal, and can mean the difference between investing in the next Mark Zuckerberg or in a 419 scam.”
SUPPLYWORX
The Challenge of
illegitimate
emails
When the Web was in its infancy, spam was a minor annoyance and not much more. However, as with all other aspects of the Web, spam has evolved into something far more dangerous that is costing business enormously in terms of bandwidth, productivity and downtime.
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o get a handle on the size of the spam problem, we need to look at the tidal wave of unsolicited emails that is drowning an enterprise,” says John Mc Loughlin, MD of J2 Software. “Reports estimate that as much as 80% of the billions of emails sent on a daily basis are spam. These illegitimate mails clog up and waste expensive bandwidth, put strain on servers, and waste time and money delivering these emails to the intended mailboxes, and even more in sifting through them.” He says J2 conducted an investigation across its email user base to see if the research was correct in an African context. “When we looked at J2 Software’s customers using Mimecast, we saw that email rejections of SPAM, dangerous attachments and other illegitimate emails blocked in the cloud totalled an average of 1 905 459 a week, adding up to some 7.6 million emails being rejected monthly just on the J2 Software customer base. These emails were rejected and never filtered down to our clients, saving them enormously in terms of both bandwidth and time spent sorting the wheat from the chaff.” Mc Loughlin cites research done by the Radicati Group as showing the average size of an email without an attachment to be 26KB. “This translates into savings in excess of 47GB for our client base.”
He says over and above losses of bandwidth and productivity, spam can be dangerous in other ways. “Spam emails will also often try to trick the recipient into following links to malicious websites or to download dangerous applications which can then be used to target the business or individual by stealing sensitive information. By blocking and therefore preventing these mails form reaching our clients we have helped ensure that there is no chance of human error in infecting the corporate network.” He adds that email is also still the most common vector for spreading malware, and that in addition to distributing dangerous applications, this sort of spam could crash your system and in turn the systems of people you email, or log your keystrokes to steal your financial login details.”
These illegitimate mails clog up and waste expensive bandwidth, put strain on servers, and waste time and money. Phishing is another tactic that spammers use. “The cyber criminal will send out an email that is so close in appearance to the genuine article that it would fool all but the closest scrutiny. Phishing mails attempt to trick the recipient into clicking on a link and filling in their private financial information. Not only are bank accounts cleaned out in this way, but the cost of identity theft resulting from phishing can also run into the millions.” The risks associated with spam and other illegitimate mail grows daily – spammers are continually adapting to try and bypass new methods of detection. This can cost not only money, but customers and reputation.
SUPPLYWORX
Burnout stopped
is best
before it
starts
Managing stress and burnout in employees lowers absenteeism rates, increases productivity and decreases the costs associated with high staff turnover.
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ccording to the latest study from the Top Employers Institute, certified Top Employers in South Africa have a lower than average absenteeism rate, with the five lowest averaging at just 1.5%. This is on a completely different scale to the rest of the country. HR Future magazine reports that in the average company, approximately 4,5% of the workforce is absent on any given day and in some companies this figure is as high as 18%. The magazine’s independent research estimates that the rise in absenteeism in South Africa is costing the economy as much as R12 billion per year. Not surprisingly, dealing with this challenge is high on the agenda of most HR managers and the good ones are getting it right. According to Samantha Crous, the Top Employers Institute’s regional director for Africa & Benelux, nearly 50% of certified Top Employers in South Africa have a burnout recovery programme in place, and 79% have a stress management programme. “Furthermore, Top Employers comfortably exceed the legal minimum of leave days (15 annually), with the majority offering between 21 – 26 days on a sliding scale from support staff to executives, which allow employees ample recovery time to recharge,” points out Crous. Other tactics include flexible work arrangements where employees can either work reduced hours or plan their days appropriately to balance work and life, a perk that is offered to Microsoft employees, says Microsoft’s HR Business Partner Hellen Mabasa. Microsoft is one of the top ten employers in the country and is also certified as a Top Employer in Africa.
SUPPLYWORX
According to Elizabeth Scott, M.S., periods of intensely demanding work need not lead to burnout, but can in fact do the opposite if managed correctly.
“We also offer sabbatical and personal leave of absence for those who need to take extended leave from work. We encourage our employees to take leave regularly to recharge their batteries,” says Mabasa. At Nestlé, another Top Employer, the emphasis on employee wellness is paramount. “Our employment and working conditions support our ambitions of being a leading Nutrition Health and Wellness company,” says Employee Wellness Manager Vicky Jowitt. “Nestlé employees in Bryanston work in a building that is environmentally friendly with natural light, indigenous vegetation and pause areas to take regular breaks. “Our crèche with baby feeding facilities allows for Nestlé mums to nourish their babies whilst at work, and work-life balance is supported by flexible working conditions.” In addition to more broad-spectrum wellness and work-life balance programmes, many of the top employers actively focus on ensuring that immune systems remain strong and that employees do not reach a stage where they cannot cope with their workloads. At Accenture, there’s an even more creative approach to managing loss of productivity by ensuring employees don’t waste company time on life admin – and that they don’t use precious downtime on it, either. Spokesperson for the company’s Total Rewards programme Kathy Pillay explains that the company has in place “a concierge driver service that will pick up and deliver dry cleaning, documents, post, et cetera for all employees, and an on-call PA 24-hours a day that will help source various products and services including travel packages, appliance prices, plumbers, et cetera.” There is also homework support for the children of employees. In terms of health, there are free wellness checks at least once a year and various disease management programmes are in place. Crous says that the success of these interventions can be measured by the lowered rate of absenteeism. “There are limited means of measuring the return on investment in an organisation’s work-life balance or wellness programme. But
while productivity can be difficult to measure, absenteeism is difficult to overlook - it’s in black and white and it can be costly to companies,” she says. According to Forbes.com, the total annual cost of lost productivity due to absenteeism in the US is close to $84 billion. In South Africa, 3.96 million workers took sick leave during 2013, according to Moneyweb. This is up from 0.7 million in 2000, representing an increase of 466%. “In this business environment, companies need to act to ensure lower absenteeism rates. Introducing wellness and work-life balance programmes is an obvious solution,” says Crous. “One study cited in Taylor & Francis Online notes that employees taking part in a fitness and wellness pilot programmes reduced absenteeism by 22%, while improving their attitude towards their work environment. Staff turnover was reduced and productivity increased – and this only during a six-month trial.” Nestlé certainly makes use of this principle. “Our gym and fitness activities, combined with our nutritional communication and healthy staff restaurant, all help to ensure that employees get an opportunity to take care of their personal wellness,” says Jowitt. According to Elizabeth Scott, M.S., periods of intensely demanding work need not lead to burnout, but can in fact do the opposite if managed correctly – these “crunch times” can be invigorating and lead to increased energy and focus, provided there is a recovery period afterwards and sufficient compensation and recognition. Companies can therefore use stress to their advantage. Scott recommends “sprints”, where employees work hard and intensely on stimulating projects, alternating with periods of recognition and recovery. “The emphasis should be on maximising employees’ drive and focus with a mixture of stimulation, recovery, recognition and health,” says Crous. “We need to remember that quality is infinitely better than quantity when it comes to working hours.”
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absenteeism:
Eroding Company Profits by CGF Institute
As the world economy struggles to regain its former pace and growth since the onset of the financial crisis in 2008, companies and their leadership may have overlooked a growing area of risk which could be costing them dearly. In almost all cases companies are able to count their losses in, for example, a line item which has an attached tangible value on their balance sheet from one period to the next. And these losses − or profits as the case may be − are invariably linked to a known risk which has been, or is still in the process of being managed.
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he point being that whether such a loss (or profit) is made, is normally directly linked, defined and clearly understood by the people responsible for ensuring the financial health of a company. Indeed, these people – who comprise the chief executive officer, the financial director and even the internal auditors − are generally considered the core leadership team who are responsible for the proper governance of the company’s daily operations, which entails both the financial and non-financial aspects of the company. Whilst there have been numerous corporate governance recommendations documented across the world, notably those such as the King Report on Governance for South Africa 2009 (King III) which emphasises the need for integrated reporting amongst other issues; one can’t help but wonder whether or not the company’s leadership have sufficiently applied their minds and reported the costs attached to their Human Capital, especially when employees are absent from their workstations and without proper permission? In many companies, Human Capital has been considered a ‘soft issue’ and not much attention is allocated to this
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critical ‘asset’, unless of course there is a blatant problem, say for example a looming strike or a contagious health outbreak amongst employees or worse, the death of an employee. Clearly these types of examples pose tremendous risks to a company and its sustainability, and they are not such ‘soft issues’ especially when the business’ continuity is negatively affected. On the contrary, whilst these risks – which are quite obvious and visible – can also have significant impact upon a company’s productivity and its profits, there is yet a further risk which is much greater than these already mentioned, namely absenteeism. At the face of it, absenteeism may initially be completely undetected, and in fact not known about, or completely misunderstood and not managed. In many respects, absenteeism can be likened to a ‘silent cancer’ that slowly erodes the company’s profits, productivity, morale and even its culture. In the workplace, absenteeism is one of the most common problems facing South African (‘SA’) companies and it is estimated to be costing the South African economy – according to the South African Chamber of Commerce (SACOB)
SUPPLYWORX
the past decade. Considering these facts, companies need – between R12bn to R20bn each year. In its most common to not only address their management and policy processes, form, employees will claim to be ‘sick’ and then stay away from but they may also need to consider the reasons behind their workplace to maximise their days for annual sick leave, absenteeism and which appear to be escalating this trend. and even exceed their benefits well beyond reason. Expectedly, Some of the reasons cited by employees that exacerbate an unsuspecting company may not at first easily detect such absenteeism include: abuse against the company (especially in larger companies and poor income levels of employees, state owned entities), mainly because the stay-away may have poor communications and relations between appeared legitimate as the employee may have produced a management and employees, doctor’s certificate to validate their ‘illness’. poorly managed workplace disciplinary procedures, But absenteeism need not necessarily mean that an unincentivised employer productivity programmes, employee has to physically be away from their employer’s poor working conditions and/or the boring or repetitive premises without their employer’s permission. Absenteeism nature of work, and also covers instances where employees are physically away unfavourable geographic location of the workplace and/or from their work stations and are therefore unable to fulfill workstation. their obligations to their employer. Such circumstances Finally, caution must be exercised by companies who include the employee habitually arriving late or leaving may choose a more draconian approach to stamp out work early; taking extended tea, lunch or toilet breaks; absenteeism. Remember of course that an employee has taking excessive and unreasonable time to complete work many rights (as does the company) and these are essentially assignments and attending to personal issues such as found in our constitution, our common law, the Basic shopping during working hours. Conditions of Employment Act 75 of 1997 and the Labour The average absenteeism rate amongst SA companies Relations Act 66 of 1995 amongst other legislation. No matter is conservatively estimated between 3.5 and 6 per cent per how your company may wish to address this escalating annum, and with its increasing trends, suggests it may be a problem, sadly, research suggests that notwithstanding the growing crisis within companies and the economy. And with most noble sickness-management systems and programmes the recent Reserve Bank announcement that South Africa being implemented, few companies have effectively managed was unable to attain a full one per cent (1%) GDP in the first to solve this problem which is eroding the company’s profits. quarter of this year; it’s clear that an unhealthy, lethargic Perhaps companies should be involving their employees workforce is not going to assist to rapidly improve this dire more fully into the company’s strategy and explain to situation. Companies who are plagued with this scourge, them how they will personally stand to benefit from the and more particularly those who do not take proactive action to remedy the situation, will most certainly feel the direct and indirect effects on their bottom Let us also not be tempted to believing line earnings. Some of the expenses linked directly with absenteeism include payments for employees that absenteeism occurs only amongst the who are not at work, increased insurance premiums, lower-level workers; it also happens amongst additional salary compensations, benefit payouts, or paying for employees who are at work but who are professional employees. ‘disengaged’ and therefore not adding to the overall company’s overall performance? This may change the profits of the company (presenteeism). employee’s attitude toward the company and hopefully Let us also not be tempted to believing that absenteeism they will be more willing to support the company with occurs only amongst the lower-level workers; it also happens better workplace attendance and personal performance amongst professional employees, and is sometimes worse within a shared stakeholder governance model. Of course at the higher levels compared to what is recorded at the there’s no telling what the outcome will be if the company is lower ranks. Whilst there is limited research published in SA continually posting losses, or if the employee is also going to regarding the management or control of ‘sickness’ absence, be held responsible with management when productivity is according to the Adcorp Employment Index (April 2012), down? But then again, the company also has its rights, and there has been a four-fold increase in absenteeism due to employees who are caught defrauding the company of time sickness since 2007. Moreover, in 2001, whilst 0.7 percent through this malicious practice could find themselves facing of SA employees were absent from work due to sickness, disciplinary action, being placed on terms, or simply fired this percentage increased to 3.4 percent in 2011 despite no once they have been proved guilty. notable increase in the number of people employed over
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SUPPLYWORX
Nobody likes a By Ernesto Reuben
In 2002, Cynthia Cooper, then a vice president at WorldCom, presented evidence of massive fraud that she had uncovered to the audit committee of her firm’s board of directors. Executives, she found, had improperly inflated the company’s profits by billions of dollars. For having the “exceptional guts” to speak up, Time magazine named Cooper, along with Enron whistleblower Sherron Watkins, among its Persons of the Year.
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et whistleblowers are not always celebrated. Reporting another’s lies can also arouse a negative response, including demotions and harassment. Even a whistleblower like Cooper, lauded by some, may face blowback from others. “Some people who used to smile and chat with Cooper and her team by the coffee maker,” wrote Time in 2002, “don’t do that anymore.” So under what circumstances is someone likely to risk the wrath and expose a coworker’s deception? For businesses to protect their bottom lines, it’s an important question. “It’s expensive for firms to monitor all of their
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employees for corruption,” Professor Ernesto Reuben says. As an alternative, a company can create a work environment in which employees are more likely to report a dishonest colleague. Then, the threat of getting caught may prove enough of a deterrent to prevent fraud. Reuben, along with doctoral candidate Matthew Stephenson, set up an experiment designed to better understand the circumstances that lead people to lie or report others for lying. In particular, the researchers were interested in understanding how individuals behave when they know their actions will be public and that their peers may hold their activities against them. For the experiment, each participant was given a number representing her true income and asked to declare it publicly. She then received a payout based on her reported income. A player seeking a higher payout could simply lie by overstating the number she had been given. The only real check was her peers. Each participant had also been assigned to a small group, within which all members knew each other’s incomes. If one of them reported her for lying, she would be heavily sanctioned.
After three rounds, one member was randomly removed from the group. In some cases, as they had been told would happen, these participants were randomly reassigned to other groups. In others, the experimenters asked the remaining players to select whom to let in. To make the choice, they were given information about the candidates, including whether those participants had blown the whistle on anyone in their previous groups. For the researchers, some of the results were not surprising. When there was random reassignment, 32 percent of the lies were reported, making it a risky gamble to overstate one’s earnings. Yet in groups in which participants knew they might have to rely on their fellow players to get back in the game, the amount of reporting dropped to 17 percent. As those games wore on, deceptive teams formed in which lying was prevalent and no one was reported for it. What surprised Reuben was the extent of the price the rare whistleblowers paid in the selection stage, where even honest participants who hadn’t overstated their incomes tended to block whistleblowers from joining their group. There are a few possible reasons for this, the researchers say. It could be that even people who told the truth about their own salaries understood that they might be tempted to lie under the right circumstances and, in that case, they would rather not have a whistleblower around. It’s also possible that they resented those who reported on their peers as being too self-righteous. Either way, it may help explain why actual whistleblowers have faced difficulties, even when management is supportive of their actions. “There are certain social interactions that firms can’t control,” says Reuben, “like whether or not someone feels comfortable or is accepted by his colleagues.” Reuben’s research underscores that businesses must consider the barriers whistleblowers may face and be prepared to help manage them. Specifically, says Reuben, companies may want to mimic his experiment to discourage employees from lying in the first place. “Firms can try to replicate the random reassignment by moving people around from one group or department to another,” Reuben says. “Some government agencies already do this to prevent corruption. While it may have a small impact on productivity, this technique is useful in preventing the high costs of fostering an environment where deception is permissible behaviour.”
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SUPPLYWORX
data-driven
the
business era
Since the turn of the century, the rise of social media, increasingly ubiquitous mobile devices, cloud computing, and a plethora of sensors that are linking physical objects to the ‘internet of things’, have all added an exponentially increasing volume of data that is available to business.
T
his data includes a mixture of structured internal data and typically unstructured external data, encompassing voice recordings, pricing data, images, social media posts, geo-location information, and far more. According to the Economist Intelligence Unit, at least six in ten companies now capture contact-centre data, including recorded conversations, staff messaging, syndicated third party data, such as weather or market information, and government data. Just over half of those companies also collect machinegenerated data. This so-called ‘big data’ all adds to the accounting and business information that companies already collect and analyse. Although data scientists and IT experts have particular definitions for big data, we simply use this term as shorthand for the massive increase in the volume of data now being used to garner new insights into business performance, opportunities and risks (see Big data defined). When people talk about the latest trends in big data, a lot of the excitement focuses on new forms of unstructured data. Management accountants certainly need to be alert to developments in this area. However, for most business there is still vast untapped potential in the structured data captured on their systems (enterprise data). Both these areas are important, but usually it makes sense for management accountants to start by getting to grips with enterprise data first. According to McKinsey & Company, the growth in big data will spark a new wave of “innovation, competition, and productivity” within business. As two prominent academics
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put it, “Using big data enables managers to decide on the basis of evidence rather than intuition. For that reason it has the potential to revolutionise management”. Technology continues to change the rules of business. Building on the increased computerisation of the workplace that has been occurring since the late 1980s, companies are now in a digital age of business. The widespread adoption of enterprise resource planning (ERP ) systems, electronic point of sale (EPOS ), e-commerce and other internet-based systems has allowed more and more organisational data to be captured digitally. Procter & Gamble (P&G) is one example of this trend in action, where the firm’s ongoing digitisation increasingly acts as ‘a source of competitive advantage’ – helping improve everything from product innovation by analysing real-time social media comments from clients, through to using tracking data to optimise retail store layouts. P&G’s experience is borne out by broader research. Research from the Sloan School of Management shows that companies that use ‘data-directed decision-making’ achieve a 5-6% boost in productivity. These case studies show that the opportunities arising from big data are substantial. Against this backdrop, IT vendors are developing an evergrowing array of big data tools, ranging from new data analytics applications and executive dashboards to predictive analytics (see Jargon buster). Big data is now at the peak of Gartner’s hype cycle for emerging technologies. The hype cycle illustrates the stage of maturity in the adoption of new
SUPPLYWORX
Jargon buster Recent technology developments are transforming the way leading companies manage and analyse their data. Management accountants should be familiar with the following terms in particular:
technologies. The pattern is for initial excitement about a new innovation to inflate expectations above its true potential, before a period of disillusionment when expectations aren’t met. Later, typically over a five to 10 year period, the technology’s real potential becomes clear as users achieve tangible benefits. This suggests big data technology may be entering a period of disillusionment before its true value is fully understood. Advances in technology, along with simpler and cheaper analytics and data visualisation tools, are opening up data opportunities for firms of all sizes. But, for most businesses, adapting to a data-driven business environment remains a work in progress. One report suggests that one in four companies has yet to tap most of their organisational data, while another 53% estimate they use only half of their valuable data. Growing attention is being paid to new analytics techniques and tools, aimed at drawing new insights from data. However, few companies have the range of complementary skills required to translate these analytical insights into true commercial impact. This is where management accountants hold a clear opportunity to deliver value. The advanced analytical techniques necessary to mine data, identify new correlations and developalgorithms to predict behaviours are in the domain of data scientists. But management accountants’ roles in producing financial accounts, and in the processes of budgeting, forecasting and performance management, put them in contact with every aspect of a business. Contributing such information provides management accountants with an excellent overview of the business. They can therefore play an important role in ensuring that the analytical insights gained.
Data analytics Data analytics refers to advanced forms of analysis that can be used to explore large volumes of data and communicate insights. These can be used to identify correlations and develop algorithms to predict behaviours. Data analytics with regard to structured or enterprise data is well established. It is used by many companies and organisations to help make better business decisions, and to test and validate models or theories. There are now high expectations of data analytics with regard to new forms of unstructured data. Cloud computing Cloud computing refers to the provision of various services, such as software applications, development platforms, servers, processing power and storage, via remote servers over the internet, as opposed to on a local server. Typically referred to as the ‘cloud’, it often entails users paying for IT services as needed, while the back-end application or infrastructure is managed by a third party vendor. Dashboards A data dashboard is a user interface that organises and presents corporate information in a way that is easy to read and interpret. It can be used to aggregate a range of data and KPIs, often visually, for managers to monitor business performance. Data mining A set of techniques used to sift through very large amounts of data. Data mining uses artificial intelligence techniques and advanced statistical tools (such as cluster analysis and regressions) to reveal trends, patterns and relationships.
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Data scientist A data scientist is someone who performs statistical analysis and data mining on large volumes of data, typically to identify trends, figures and other relevant information. Makes use of advanced modelling, statistics, analytics and mathematics techniques. Data visualisation Data visualisation is a general term used to describe technology that enables business managers to see trends and data patterns. These tools often go beyond the standard charts and graphs used in Excel spreadsheets, using more intuitive dials and gauges, geographic maps, time-series charts, heat maps and so on. Patterns, trends and correlations that may otherwise be missed can be spotted more easily with data visualisation software. Hadoop Hadoop is a Java-based programming framework that supports the processing of large data sets in a distributed computing environment. It is available as open source software from Apache, and is commonly used to handle huge data volumes, spanning thousands of servers. In-memory processing In-memory processing enables businesses to analyse large data sets significantly faster than before, by allowing data to be processed in the system’s memory instead of the slower, traditional processing taking place in the hard drive. ‘Internet of things’ The ‘internet of things’ describes the connecting of everyday physical objects to the internet, allowing them to provide information or alerts as a node on the network. This provides organisations with a vast new source of information on every aspect of their business, by connecting and monitoring machinery, vehicles, equipment, stock items and much more. MapReduce MapReduce is a software framework that allows developers to write programmes that process massive
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amounts of unstructured data in parallel across a distributed cluster of processors or stand-alone computers. Metadata Metadata is data that describes other data. It provides a valuable reference to help organise and locate particular types of data. Examples of metadata on a simple document would include metadata on the date the document was created, date modified and file. Metadata is also used for images, videos, spreadsheets and web pages. OLAP Short for online analytical processing, a category of software tools that provides analysis of data stored in a database. OLAP tools enable users to analyse different dimensions of multidimensional data. For example, it provides time series and trend analysis views. Predictive analytics Predictive analytics is the branch of data mining concerned with forecasting probabilities. It uses variables that can be measured to predict the future behaviour of a person or other entity. Predictive analytics leverages an organisation’s business knowledge by applying sophisticated analysis techniques to enterprise data. In business, predictive analytics are often used to answer questions about customer behaviour and offer suggestions on how best to target resources for maximum return. Social media Social media is the umbrella term for software tools and platforms that allow groups to generate content and engage in peer-to-peer conversations. Facebook and Twitter are merely the two most high profile examples of such platforms. Unstructured data The term ‘unstructured data’ refers to any data that has no pre-defined structure, and thus cannot be easily stored within standard relational databases. Examples include email, text-based documents, images, videos and callcentre recordings.
As our a alw ys ld hou views s nder nu be take ent advisem
what’sHOTorNOT We share brief perspectives with you on items that we think are worthy of your consideration.
Mod it
Yikes! Microsoft estimate that some 30 million PowerPoint presentations are made a day. This probably doesn’t include some of the new-fangled presentation platforms that can be used for presentation purposes. Short and on point is all we are going to say.
Keep it Short
Finally, modular power systems that allow you to ‘build’ your own multi-plug systems seem to be become a reality. We have seen some slick products from suppliers like YOUMO and have no doubt more will follow.
2.5 Years That is how long you can expect to hold onto your current smartphone according to Gartner. Technology has reached the point where there are only incremental gains to be made in new models of smartphones. While we love tech as much as the next person, the days of exponential growth in the market seem to be slowing – hopefully network operators will look to increasingly differentiate themselves based on customer service in the period ahead.
Office Shenanigans In recent years a surfeit of office rental space has hit the market. Industry specialists: Lightstone, Ryan Joffe and Cube Workspace all suggest doing your homework before signing on the dotted line. Things to look out for include: functional amenities such as parking facilities and access to transport. In addition add-ons that as a conventional lessee you couldn’t normally afford, for instance, an onsite IT specialist or conference facilities with high-tech facilities are a useful bonus. As a last step remember to haggle over the price.
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EthicallyDiverse By Katherine Phillips - Professor of Leadership and Ethics in the Management Division at Columbia Business School.
Diverse firms are perceived as more ethical — and less deserving of punishment when they do commit transgressions. Four years into the financial crisis, amidst the many questions about regulation, bailouts and executive compensation, one question has received less attention than is perhaps warranted: Would a more diverse Wall Street — which remains largely white and male — make for a more ethical Wall Street?
T
he assumption built into that question — that with greater diversity comes more ethical behaviour — is ripe for investigation. There is no direct evidence that diverse firms are more moral than their homogeneous counterparts, although there is some research suggesting links between diversity, fairness, and equality. And other research suggests that homogeneous groups experience more conformity than diverse groups —that people in a homogeneous group are more likely to try “getting along and going along” as a way to remain part of the group and are less likely to counter questionable behaviour. Recognizing a dearth of research about
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diversity and ethics, Professor Katherine Phillips and Sun Young (Sunny) Kim of Northwestern University conducted two simply designed experiments to look more closely at how diversity is perceived with relevance to ethics. In one study, the researchers told participants that a 217-person firm had about 40 percent women in its ranks, and that 47 percent of its staff were black, Asian, or Latino. Researchers told a second set of participants about the same firm, but described the firm as having only about 5 percent minorities and women on staff. Next, researchers told participants that the firm was the subject of some recent media scrutiny suggesting as-yet unproven but questionable events that negatively impacted investors and cast doubt on the firm’s ethicality. The researchers then asked participants to rate the company on a scale of one to seven for a series of questions. For example: How much do you think this company acted in its own self-interest? How much do you think this company would regret its decisions? How much do you think this company values ethics? How harshly do you think this company should be penalised? Overwhelmingly, the more diverse company was perceived as the more ethical company. Participants were far less likely to perceive that the firm was acting in its own
self-interest and were more likely to believe the firm was less at fault than a homogeneous company facing the same rumours of wrong doing. “Participants felt that the firm was in fact more ethical, that it valued ethics more, and that it regretted its decisions more, and it should be penalised less for the behaviour,” Phillips says. To see how diversity impacted the perception of how companies combat unethical behaviour, the researchers introduced a twist in their second study. Once more, they randomly assigned participants to two groups, describing a very diverse firm to one group and a homogeneous firm to the other group. In each group some participants were told that a task force made up of diverse members was charged with fixing the firm’s ethical problems, while some were told that a task force of homogeneous members would be on the case. “But we found that companies can’t really patch up an ethical lapse by slapping on a diversity Band-Aid,” Phillips says. “Homogeneous companies did get a small boost if they used a diverse task force rather than homogeneous one, but people were far more likely to perceive that a diverse firm with a diverse task force was truly interested in rooting out bad behaviour.”
That suggests to Phillips that firms need to give careful consideration to their composition — making sure they have a balanced workforce and communicating that they value diversity is central to instilling confidence in consumers. What is it about diversity that contributes to the perception of ethicality? One possibility is that diversity creates a halo effect. “People may see a firm that they perceive has gone out of its way to hire a diverse workforce and assume that it must be concerned with fairness and equality, and therefore it must be a moral company,” Phillips says. “You can say ‘oh, diversity is important, our ethics are important.’ But a company can’t control people’s perceptions if people see that the company is really homogeneous.” There are compelling practical arguments for diversification. “When companies are too homogeneous they create environments where people are more concerned about conforming than solving problems. Consequently, people may be more likely to fall prey to unethical behaviours,” Phillips notes. “Think about what happens if the House of Representatives swings too far left or right — we start to see actions and behaviour left unchecked with no counterbalance. Businesses also need the checks and balances that diversity provides.”
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INTHEKNOW
Tech Networked
Economy MEGATRENDS by Derek Kudsee, COO of SAP
We live in a networked world in which, like it or not, we are all connected to communities that keep us informed and can help us learn, share and consume more efficiently. Organisations are now inextricably tied into a networked economy, as they are connected more than ever before to digital communities of existing - as well as potential - sellers, buyers and suppliers.
T
he unrelenting march towards this connected, interenterprise operating model is being enabled and perpetuated by specific technology megatrends which include mobility, the convergence of user-friendly enterprise applications, the burgeoning presence and reach of social media channels and cloud computing. The latter is particularly pertinent in Africa as the connected business community in the cloud is able to drive down the cost of doing business, expose local business to global customers and enable small business and entrepreneurship by removing traditional barriers to customer acquisition (no marketing costs; cheap procurement and order fulfillment as well as possibilities for social brand development that can compete with the largest brands). During 2014 and beyond, megatrends such as these will clearly have a transformative impact on the global economy in general as well as Africa’s economy in particular.
Youth playing pivotal role in Africa’s future The youth of the African continent is playing a key role in the economy of the region as half of Africa’s population will be under 24 years old by 2050. Young people are the engine
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that are Transforming the
AFRICAN ECONOMY
driving society’s adoption of technology and today’s youth is the most connected generation in humanity’s history. A vast amount of the modern technologies and communication tools that have become commonplace today, the likes of Facebook (started life on the Harvard University campus), Mxit, BBM and file-sharing websites (made popular by sites such as Napster) are the results of innumerable social interactions between young people. Along with the injection of huge numbers of youthful workers into the regional economy, comes the growth and gradual stabilisation of Africa’s middle class. By 2030, Africa’s new middle class will number more than 300 million people, translating into huge spending potential, as well big potential for business ideas that. Effectively leveraged this can shape the continent’s future according to Kudsee. The power of ever-increasing mobility and social networking Also destined for yet another boom on the continent is mobile business, since there will be an estimated one billion mobile devices in Africa by 2016. This steep rise in mobility adoption (there are more mobile devices than toothbrushes
INTHEKNOW
unbanked individuals through platforms such as the mobile money solution M-Pesa. Simply put, technology will be a key determining factor in how society will be organised in future. The power of technology was showcased by unstoppable social networks in the Arab Spring last year. Thanks to the mass outreach abilities and speed of communication networks, social activists gained a larger degree of agility during their demonstrations and other street operations. They were also able to organise, debate, plan, broadcast and collaborate online at levels that were impossible a few years previously.
The fact that we are three times oversubscribed is an indication that our vision and strategy resonates with the investor community.
on the continent with many Africans owning two to three devices) also has a marked effect on the adoption rates of social networking sites. The clear majority of Twitter users on the African continent (68%) will be relying on the popular microblog platform as their primary source of national news, for instance. Popular networks such as Twitter and Facebook, which many people use to run their personal and social lives, have a number of things in common: They are all built on a shared cloud-based technology infrastructure, meaning that there is no need to download software or worry about upgrades, as users simply require a web-enabled device to access a shared experience from anywhere where there is connectivity. In addition, these networks are all generating powerful communities of peers, merchants, financial institutions and experts with whom people can efficiently connect, learn and engage. Lastly, these networks all deliver unique capabilities that take the form of best practices or classleading experiences such as Amazon’s one-click shopping experience or Google search. These technologies are reshaping the world we live in, changing the manner in which we collaborate, work, educate ourselves (Regenesys Business School), make purchases (Kalahari.com) and transfer money, especially to
Businesses need to adapt to capitalise on new business opportunities Enterprising, forward-thinking businesses are moving adroitly to capitalise upon these opportunities enabled by network dynamics, because they recognise they can no longer be competitive on their own. For instance, the arrival of inmemory technology systems such as SAP’s HANA® platform dramatically slashes the time and cost of data processing. Furthermore, technologies like this have made it possible to perform predictive analysis on ever-increasing data volumes in real time, allowing companies to identify new business opportunities or illuminate previously hidden risks. This trend is very much playing out on the African continent. As a result, these organisations are leaning out their inventories, reducing costly infrastructure, outsourcing processes such as Mobile Business Intelligence and predictive analytics and have also stretched their supply chains. These factors contribute to making these organisations increasingly dependent upon their external partners. In this context, the sharing of information and co-coordinating processes with these partners has become more critical than ever. There’s no getting away from the networked economy. A business cannot achieve its cost, revenue and cash flow goals in isolation without being able to efficiently engage with customers and collaborate with their supply chain. Many companies are beginning to recognise that they can gain powerful new insights and enable new processes by being connected to a community of their partners and peers. Benefits like these are unattainable with isolated on-premise applications and low-scale point-to-point integration models.
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How to get the best from your
workplace Talent by Natalie Maroun, Managing Director for LRMG
One of the most urgent issues for organisations in 2014 will be how leaders can effectively target, nurture and advance top talent in their organisations. Note however the crucial shift in emphasis from a broad-based need for all top talent to an increasing demand for the right kind of talent.
I
n a recent article by Sylvia Ann Hewlett in Harvard Business Review, she points out that while leaders have long recognised that an inherently diverse workforce confers a competitive edge in selling products or services to diverse end users, recent research by the global Centre for Talent Innovation (CTI) has now shown that on top of that, an inherently diverse workforce can be a potent source of innovation. The reason being that diverse individuals seem to be better attuned to the unmet needs of consumers or clients like themselves. The question is how can leaders leverage and develop diverse talent in 2014? Natalie Maroun, Managing Director for LRMG, a leading Performance Agency, says it is important to first qualify the meaning of talent. “Talent is what makes an organisation succeed, yet there’s often confusion about the definition of talent. ‘Talent’ is not necessarily an individual with a list of all the right qualifications. Talent refers rather to people who bring a unique configuration of 10 000 hours of experience; who subscribe and align to the company culture and who are able to make a quick conversion of their 10 000 hours to add value to the organisation”. Winning organisations in the future will be those who embrace the following four principles to attract and retain this diverse talent:
INTHEKNOW
Inclusivity: Understanding a diverse workforce is key to a successful business. However, diversity only works if it is managed by leaders who are inclusive of difference. The CTI research says that to continually drive growth and innovation, one needs a diverse workforce managed by leaders who cherish difference, embrace disruption and foster a speak-up culture. Maroun agrees, saying that promoting a culture of inclusivity means being inclusive across the board. “It should not be limited to a particular group asking to be included. In fact, an organisation should be inclusive of all constituents who have a vested interest in the organisation. This includes your shareholders, customers, the broader community, the public, the employees and leaders. Different groups of people, including multi-generational, as well as multicultural groups, like to engage in dialogue and be included in different ways - and leaders need to figure out ways to embrace this inclusively,” she says. Sponsorship: Another interesting development, sponsorship, refers to a strategic workplace partnership between those with power and those with the potential to become powerful. Sponsors are essentially people in positions of power who work on behalf of their protégé’s to clear obstacles for them, foster connections, assign higherprofile work to ease the move up the ranks and provide support in case of stumbles. “Sponsorship, like mentorship, is the basis of developing and keeping talent,” says Maroun. “Some people may not need mentoring, but sponsorship on the other hand can help to fast-track them through the ranks of an organisation. The reality is that talented people who aren’t sponsored will get frustrated with all the obstacles experienced in organisations today and ultimately leave. We also believe internal training has a ceiling, while sponsorship takes talent development to the next level. “The CTI research also shows that by building a dedicated team of talent, sponsors see a measurable benefit to their own careers too and show much higher levels of satisfaction than those who have not built the support base. It is important to realise that the rewards of the sponsor-protégé relationship don’t end with a big promotion - they last throughout a career.
Visibility: Visibility of a leader is possibly one of the most important factors in leadership. CTI research shows that performance, hard work and sponsors get top talent recognised and promoted, but that ‘leadership potential’ isn’t enough to leverage men and women into the executive suite. Leadership roles are given to those who also look and act the part - who manifest ‘executive presence’, which is done by people watching and modelling the behaviour of their leaders. “Yet paradoxically,” says Maroun, “in South Africa the system conspires against itself because our top executives and leaders are generally hidden away on the top floor of a building or behind a private elevator. How do you model what you can’t see? It is time for leaders to come out from behind those closed doors and be seen – become the role models that are so essential for talent and leadership development.” Create ecstatic employees: For over 20 years, the taught and accepted business model for both employee satisfaction and customer satisfaction was based on a bell curve. The traditional thinking was that in any company, at least a small group, say 20% of people, are unhappy at work, the majority of people are happy but not ecstatic and the balance of the group, again approximately 20%, are ecstatic. “If one ran a similar curve based on customer satisfaction it would reflect the same profile and until recently, this was the accepted norm for both customer and employee engagement and loyalty,” says Maroun. “But how can this be healthy?” “Within the traditional bell curve model, an organisation runs the risk of at least 80% (20 % unhappy + 60% happy-ish) of employees or customers defecting as soon as they find a better alternative. Only the small 20% are genuine advocates of the brand or the company. Surely a better distribution would be to have 80% of your people fully engaged and passionate about their work or 80% of customers who are avid fans to your brand. In 2014 this is definitely what we need to work towards. We want to create more active company or brand allies and build a reciprocal ‘I’ve got your back’ culture in an organisation where all workers, regardless of their religious denomination, sexual preference, race and culture and gender difference, feel accepted, valued and comfortable being who they are,” she says.“ Leaders who are active allies, are far more likely to retain diverse talent. The CTI research further shows that the majority of workers fail to realise their full potential because their leadership lacks the inclusive behaviour needed to effectively unlock the innovative potential of an inherently diverse workforce. “Leaders who decide to inculcate behaviour and disseminate practices that endorse, encourage and empower all people within an organisation, are far more likely to both retain a broader spectrum of top talent as well as tap into an ever-replenishing well of innovation,” concludes Maroun.
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INTHEKNOW
Mind
the
How to use mentorship programmes to bridge the generational gap in the workplace.
The complexities and challenges punctuating any cross-generational relationship are not new. Whether in the workplace or home, communicating, relating to and respecting one another, despite vast age differences, requires life skills such as patience, compromise, communication, trust and commitment.
“T
he workplace is a microcosm of the society we live in. Here we are forced into each other’s space and expected to work together to achieve common goals, often without thought and guidance on how to bridge the generational gap,” says Kay Vittee, CEO of Quest Staffing Solutions. Vittee recommends job shadowing and reverse mentoring as ideal ways to meet this challenge. She explains that job shadowing enables new staff members to experience the workplace and positional responsibilities hereby observing and learning, asking questions as he or she go about his or her day. It is also an opportunity for him or her to get a sense of the values and atmosphere of the working environment, while developing valuable relationships with existing staff.
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It also provides older staff an opportunity to use their vast knowledge and experience in a way that keeps them relevant and engaged in the workplace. Blending tradition and the tried-and-tested way of doing things with the innovation and new thinking that new staff injects into an organisation. ‘Reverse mentoring’ was first popularised by chief executive of General Electric, Jack Welch. More than a decade ago, Welch instructed his top executives to identify a younger employee below them in order to teach them how to use the Internet. Welch, himself, partnered with a young woman in her twenties. Although today the Internet is not as new and intimidating as it was in 1999, there is plenty of new technology that is. Technology that is second nature to the younger generations such as Generation Y & Z to whom social media platforms such as Twitter, Facebook and LinkedIn, mobile applications and cloud computing are the norm. “Knowing how to identify and use the unique strengths of each generation in your workforce in a way to benefit the business as a whole is critical in today’s competitive everchanging business landscape. Not only to ensure effective seamless internal relationships to power teams and in turn make a positive impact on your business performance, but also to understand your customer base better and in so doing know how to service them,” says Vittee.
Gap In a recent Ernst & Young survey, conducted in America, which asked professionals from the three ‘working’ generations what their perceptions were of the other generations they worked with, some interesting and notable differences were discovered. In summary these are: Baby boomers (people born between mid 1940’s and mid 1960’s) were found to be the most cost-effective and hard working, yet the least entrepreneurial. Generation X (people born between mid 1960’s and early 1980’s) were found to be great team players with strong entrepreneurial and problem solving skills, but poorly represented at executive level. Generation Y (people born between early 1980’s and mid 1990’s) were found to be the most tech-savvy, but the most difficult to work with. Although the results may be perceived to show unfavourably to the youngest generation in light of traditional business thinking, it is important to note that their very unique attitude and preferred way of work is not yet accommodated for in most businesses.
INTHEKNOW
Generation Y prioritises work/life balance, flexibility and transparency, ideas contradicting the workplace norm that Baby Boomers for example are accustomed to. This then further explains the global concern that Generation Yers ‘jobhopping’ makes training investment risky. The reality is that Generation Y is our future workforce and leadership. It is unlikely that they will change to the current norms, but rather redefine them. Businesses need to keep the values of the previous generations alive by instilling their hard-working, loyal culture in the younger generation through mentorship and coaching programmes and keep the business future-focused, agile and relevant through the use of reverse mentoring. This is of particular importance when one considers that Generation Z is now coming of working age and whilst not much is known of their working behaviour as yet, all signs suggest that they will be even more technologically sophisticated and Internet enabled than their Generation Y forerunners. “Successfully bridging the generation gap will no doubt have a positive effect on performance and productivity,” concludes Vittee.
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Mindfulness
about
MEETINGS by Belinda Davies, Leadership Solutions
Much has been written and researched about mindfulness in the workplace – much of which is about the skills and disciplines linked to quietening the mind in the noise and bustle of organisational life. In this article, I am using ‘mindfulness’ to refer to the act of being thoughtful in your decisions, as opposed to acting on automatic pilot.
O
ver time, all organisations develop habits and norms that its people take on without thinking – and we only notice when it has become too much. It’s a bit like the boiled frog analogy – if you put a frog into hot water, it will jump straight out; but if you put it into cold water and slowly heat the water to boiling point, the frog will die because by the time it realises how hot the water is, it’s too late! The time we spend in meetings is a classic case in point. I don’t have a single client who does not complain about spending an intolerable amount of time in meetings. When I ask for more information about the types of meetings they go to, it turns out that in very many instances: They have been invited because the meeting host did not want to offend
They have been invited because they have always attended those kinds of meetings They were invited to ‘back up’ a less confident or less senior colleague The meetings are for the purposes of sharing information; They did not know the purpose of the meeting and did not have an agenda in advance of the meeting They left the meeting to go to their next meeting having gained no benefit and having made no contribution It seems that the only thing we check before clicking ‘Accept’ on our meeting invitations is that there isn’t a clash. This isn’t nearly mindful enough. In fact, this is bordering on the positively mindless!
Let’s start by considering the purpose of meetings. I can think of only three important reasons to call a meeting. The first is to bring together multiple minds so that they can be collectively applied to a matter (or matters) of consequence to the business, in order to take decisions that are in the best interests of the business. In pursuit of this we Consider information so that we can answer pertinent questions Generate options for action Make decisions on action to be taken The second important reason to call a meeting is so that meeting participants can account to each other. This means reporting on progress against objectives, identification of problems and the actions taken to solve them, brainstorming of more intractable problems in order to find solutions, and agreement on a way forward (this is your classic monthly review meeting). The third reason why calling a meeting might be relevant is to explain complex information to interested stakeholders so that they can ask questions that address their concerns and put their minds at rest. Can you think of any other reasons to call a meeting that do not somehow fit with the three conditions I’ve provided? So if there are only three legitimate reasons to call a meeting, what are the legitimate reasons for you to attend a meeting? The only reasons to attend a meeting are: 1. You can make a contribution: a. Either this contribution will be to the discussion and will have the effect of moving the matter forward in a meaningful way b. Or this contribution will be to the growth and development of some or all of the meeting participants 2. You will gain useful information and insight that you can use in the course of your work. So how can you be more mindful about the meetings you call and attend?
want to share information and discussion is unnecessary, send an email, or record and upload an intranet podcast or videoclip. What is my agenda? Avoid writing your agenda as bullet points (e.g. HR; Finance; Marketing; etc.). Even if you will move through your meeting by division or department, phrase each agenda item as questions to be answered. For example: HR: What progress has been made on the wage negotiations? What recommendations do you have for finalising this by the end of the quarter? What support do you need to be able to do this? Marketing: Which advertising agency do you wish to appoint and how have you selected them? What are the results of the market research into customer responses to the Pelagro product? What does this mean for the launch of the product? Discussion to agree on the launch project plan. Allocate times to your agenda items to ensure that you can finish on time. Put lower priority items lower down the agenda so that you can hold them over to a later meeting if you run late. Who can make a contribution to the meeting? This is the people who will contribute to the thinking and the discussion. Invite them with the agenda. Make sure they have all background documents and that they know what they need to prepare. Who can benefit from attending the meeting – because they will learn something that will be useful in their work or their development? Invite them to the meeting with the agenda, and tell them why you have invited them.
Before you call a meeting, ask yourself: What is the purpose of the meeting? Do I wish to: Solve problems and make decisions? Share information? Open up a discussion / clarify any concerns? Create an opportunity for colleagues to account to one another and move a project forward?
Before accepting a meeting invitation, ask yourself: What is the agenda? No agenda, no accept! Can I contribute to the discussion? Can I benefit from attending? Will I learn something useful? No contribution/ no benefit? No accept! Do I need to be there the whole time? If not, just be available for the relevant time and advise the meeting host. Did I have something else planned for that time slot? (e.g. were you planning to write a project proposal at that time? Or some other appointment with yourself?) Reschedule it! Don’t just double book and bump the appointment with yourself.
Can this purpose be achieved without calling multiple people into the same room (or virtual meeting)? If you just
So step one in being more mindful at work is to think about what meetings you call, attend and accept.
INTHEKNOW
M E Ti is MONEY
The reality of today’s world is that time has become a hin der for most of us due to the demand to do more in less time. This can easily con sume us on a daily basis especially if our job req uires us to meet continuous deadlines given that there are only a cer tain am ount of hours in a day to get everything done.
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e live in a fast paced world where everything needs to be done immediately and if our time is not managed correctly we can easily run into problems with the boss or clients. “Time, quality and cost are constantly competing against each other especially during hard economic times,” says Neville De Lucia, New Business Development Director at Dale Carnegie Training. “What often happens is one or two of these factors take priority and end up playing a prominent role when planning, setting priorities, decision-making, and other time management issues. Managing your time correctly creates an equal balance between these factors.” There are no short-cuts when it comes to managing your time effectively. It’s all about investing your time in the most productive way possible and in order to do this efficiently here are just a few tips:
1. Record All Activities: Write down everything that needs to be done for the day and week. Mapping out everything allows you to prioritise each task and to easily see what needs to be done. This also helps you to remember to do everything, when tasks are not written down it’s easy to forget to do something that may actually be very important.
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2. Determine Primary Goals: What do you want to achieve that day or in the week? By making sure your goals are at the top of your list you can easy knock them off first, one at a time and then get stuck into the next items. 3. Consider 80/20 Rule: Also known as the Pareto principle, the 80/20 rule is determining which 20% of the tasks will yield 80% of the results. Instead of starting with the small and quick tasks tackle first the ones you know will result in the best outcome. 4. Evaluate Important vs. Urgent: Importance and urgency are two different factors that need to be considered equally also taking into account which of your activities have an effect on others. If someone is waiting for you to complete something before they are able to do their job you will need to determine the importance and urgency of that particular task. 5. Rank Tasks: Ranking tasks will also help to determine their importance and urgency. You can come up with your own system or you can simply rank each task using A,B or C, for example: ‘A’ tasks have high priority and must be completed immediately ‘B’ tasks are moderately important but can be done after the ‘A’ tasks ‘C’ tasks are of low-level importance and can be tackled in your spare time 6. Create a Schedule: Once you have determined which tasks need to be completed first using the above tips you can create a schedule outlining which tasks need to be completed by which date, in essence setting deadlines for yourself to help keep you on top of everything. At this stage you can also evaluate which tasks can be paired together, for example pairing a high ranked with a quick low ranked task to get maximum efficiency out of your day and time. 7. Revisit Goals and Adjust: After working on each task and knocking off a few, revisit your schedule to see if your goals and deadlines are realistic and adjust accordingly. Tasks that weren’t urgent before may suddenly become urgent and need to be bumped up to the top of your list. 8. Purge: Time will tell which tasks may never be completed so use your initiative and cross out those items at the bottom of your list that seem to be lingering for a quite a while. These eight simple steps can be applied to almost anyone in any profession. These are just a guideline which can easily be adapted to suite individual needs. “Time management has become a key aspect to any business ensuring everything gets done within the correct timeframe. Time is money and ensuring your employees’ time is being utilised appropriately is in the best interest of any organisation,” concludes De Lucia.
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Africa’s Future in
Energy Andrew Ngozo
Alternative energy sources, such as wind or sunlight, derive their energy without expending natural resources or harming the environment. This is in contrast to energy obtained from fossil fuels – still the most widely used nonrenewable source of energy in the world. The world has become more aware of the nonrenewable nature of fossil fuels and of the negative by-products of business-as-usual combustion. As a result, a number of progressive initiatives around the world are creating new opportunities and technologies to allow for the efficient use of alternative energy sources.
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here is a growing need for energy in Africa. Consequently, there is potential for investment in alternative energy sources on the continent, says Wayne Brazier of Consultancy Africa Intelligence. “What is the status quo in Africa and how is the continent faring against the rest of the world?”, he asks. Wayne admits that “a considerable number of impoverished and developing countries, which need high energy-consumption levels to sustain growth, are found in Africa”. Frequently, the necessary infrastructure is not in place for this increased demand – a problem which is evidenced in the number of power outages in many African countries. “A constant demand for cheap, reliable energy has thus become imperative. Currently, the cheapest short-term energy source remains fossil fuels because they are abundant and easily accessible, but they are also nonrenewable, and, as a result, this resource will eventually be depleted,” he says. Before this happens, cautions Wayne, there is an urgent need to consider other viable sources of energy to promote development in a sustainable manner. Approximately one-third of the world’s population living without electricity is situated in Africa, and a number of African countries are only able to supply, on average, 15% of their populace with electricity. There are, however, exceptions to this – Kenya, Libya and South Africa are considered substantially more electrified. “Owing to the lack of energy infrastructure in developing countries, these are prime strategic locations for the implementation of natural and renewable energy sources. Since fossil fuels are rapidly depleting, it is more worthwhile to develop and construct new energy technology as opposed to investing in fossil fuels,” suggests Wayne. This is an area that the rest of Africa, and the world, can get involved in, as investing in renewable energy sources will be financially and environmentally beneficial in the long term. Unfortunately, there is a lack of financial capacity to introduce new renewable energy technologies in most developing countries. Slow but Sure Birth The first alternative energy sources to be introduced were in the form of windmills that used the power of the wind to grind wheat into flour or to pump water from wells. The more modern alternative energy sources are based on the concept of these earlier windmills, in that they harness the natural environment to create emission-free and sustainable energy. The most important examples of these energy sources include solar, wind, hydroelectric, tide, geothermal, biofuel and nuclear power. Biofuel is not strictly emission-free, although it requires minimal preparation compared with current fossil fuels,
Approximately one-third of the world’s population living without electricity is situated in Africa, and a number of African countries are only able to supply, on average, 15% of their populace with electricity. and therefore the energy balance is relatively equal. These alternative energy sources are, in general, expensive to build but cheap to maintain, with large returns on costs – thus the long-term benefits are economically viable. A pivotal point in promoting the use of renewable energy sources occurred when the Kyoto Protocol came into effect. This Protocol requires signatory states to record the levels of greenhouse gasses (GHGs) in their countries and to report these figures to the United Nations Framework Convention on Climate Change (UNFCCC). Information on these GHG levels is freely available and provides benchmarks to improve on. Further, the Protocol provides support for signatories. Renewable energies are laudable for their minimal impacts on the environment. The implications on the physical environment and on human health of both fossil fuels and renewables are indicated below. The Pros and Cons of Renewable Energy Sources In the past, energy was relatively accessible and abundant. Only now, with the rapidly increasing population size and the dwindling oil reserves, has energy become limited. The amplified burning of fossil fuels for energy has led to more pronounced indications of climate change – an increase in average global temperatures, together with increased occurrences of extreme weather events such as floods and droughts due to the increased release of GHGs into the atmosphere. Carbon dioxide is one of the leading GHGs released through fossil-fuel combustion. Further implications of climate change include changes in animal physiology, geographical range shifts, increased occurrence and spread of diseases, and reduced crop security, indicates Wayne. With regard to human health, respiratory diseases such as asthma and lung cancer have also been linked to airborne pollutants which originate from fossil-fuel power plants. He points out: “Renewable energy sources are generally emission-free and therefore are the better option in terms of having less of a negative impact on the environment and human health. There
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are, however, unavoidable negative effects associated with using alternative energies.� Nuclear reactors are one example of a potentially dangerous alternative energy source. These reactors use highly radioactive substances, like uranium, to create energy and the physical risk of these power plants is high. However, modern technology and safety precautions reduce the probability of meltdowns from occurring, although they cannot always be prevented. “For example, during the earthquake and subsequent tsunami in Tokyo on 11 March 2011, the Fukushima nuclear power plant sustained damage leading to a meltdown. This is an indication that nuclear reactors are never entirely
The most important examples of these energy sources include solar, wind, hydroelectric, tide, geothermal, biofuel and nuclear power. fail-safe and that detailed consideration of their placement and use is required. If used appropriately and if adequate safety techniques are followed, nuclear power is very safe and efficient. Though this source produces radioactive material, it is considered highly effective and safe if associated waste is disposed of correctly.� However, there is also always a chance that radioactive material may leak from the power plant, as was the case at the Fukushima power plant in Tokyo. Natural disasters are devastating and uncontrollable and they inevitably compromise the safety of a nuclear power plant.
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Wind turbines, which are considered one of the most environmentally friendly energy sources, also have their own impact. For example, wind turbines are considered detrimental to human health owing to the infrasound emitted from the rotating blades. In addition, there is the added mortality of bats and birds and the apparent aesthetic burden on the landscape. Furthermore, wind farms have been discovered to alter meteorological patterns because of the large turbulence given off as the blades of the turbine rotate. Different alternative energy technologies have varying pros and cons. Excluding the manufacturing process, solar power, which uses the energy from the sun to harness electricity, is generally emission-free. This type of energy source is, however, expensive to produce, requires sunlight to generate electricity and requires regular cleaning. Wind energy, which has been the focus of much investigation, has on the one hand resulted in a number of negative effects in respect of humans and the environment and requires a good amount of wind to produce electricity. On the other hand, a favourable factor regarding wind farms is that they can be situated in croplands or livestock-foraging areas, therefore making the land suitable for a dual purpose. Hydroelectric energy disrupts natural water movements in rivers and dams, as it requires the storage of large volumes of water in expensive dams. The negative environmental effects of changing the natural flow of rivers and estuaries are evident and recognised around the world. These effects include fish migrations and resultant unhealthy ecosystems and damaged habitats.
INTHEKNOW
A pivotal point in promoting the use of renewable energy sources occurred when the Kyoto Protocol came into effect.
The benefits of tidal energy tend to be sporadic – with, on average, two tides a day, little energy is produced by the switching of the two tides. “This intermittent energy supply will be similar to that of solar and wind turbines and similar alterations of flow dynamics may be exhibited, as is the case on wind farms,” he explains. Geothermal energy is accessed by drilling wells into hot rocks in the ground where water can be heated to produce steam to turn a turbine. “Unfortunately, the distance to hot rocks is usually too far to be financially feasible and therefore geothermal power plants are limited to areas where geological faults occur and heated rocks are closer to the surface of the earth,” he notes. These power plants are relatively cheap, depending on the depth required, and, as long as they are operated correctly, they are practically free of emissions. Biofuel is mainly used to power motor vehicles. Regrettably, the majority of biofuels originate from crops, and, because of our increasing global population, food security is lower and, increasingly, more land is required for food. However, new techniques such as using algae as a biofuel source are becoming more popular to assist in reducing the dependence on land
for biofuels. Biofuels are convenient because they are useable in many modern vehicles, providing their own infrastructure with minimal to zero adjustments. There are, however, still many controversies regarding the actual environmental impacts of this source of energy and, as such, they have not been as widely implemented or accepted as they should have been. Overall, it appears that Africa, as a continent, is lagging behind the rest of the world in terms of renewable energy production. This does not, however, suggest that Africa is not progressing. The leading, more developed African countries have policies and incentives in place which promote the construction and use of renewable energy. But, the lesser developed countries are lacking in this respect as a result of inadequate funding for these projects. There is also a need to reconsider the perception that renewables cannot deliver sufficient power. The main consideration, from an environmental point of view, is taking into account the benefits and ill-effects of renewable energies in relation to the use of fossil fuels. Additional source: www.consultancyafrica.com
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Whistle by Samantha Barnes
while You Work
Every year, a report is released on the top 10 companies to work for in South Africa. Useful information is to be found there for sure. Companies make themselves attractive places to work for in all sorts of ways, besides the obvious one (that being moolah). Accounting companies boast onsite masseurs, IT companies have ‘chill lounges’, and a pet food supply company allows employees to bring their pets to work. We explore some of the ways that South African companies are stepping outside the office cubicle to incentivise employees.
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mployers are doing this for several reasons, but the one that stands out is: make it worthwhile and attractive enough to work at your company, and the more likely your employees are to stay.
Bring Your Pooch to Work Cube Route is the exclusive distributor of Iams, Eukanuba and Eukanuba Veterinary Diets pet food in South Africa and owner of the popular pet e-retail site, ePetstore.co.za. The company decided to offer an incentive to its employees that is very special and outside the norm. It decided to invite its staff to bring their pets to work. “Committed to the veterinary industry, our staff members have all either worked in veterinary clinics or retailers in the industry or are also just responsible and loving pet owners. Given that our business is focused on pets and pet nutrition, it’s a natural progression for our animals to share our work lives with us. And, of course, we also have a ready stash of Eukanuba and Iams treats for furry visitors to the office,” says Carla Goedeke, Customer Care Department head at Cube Route. “Cube Route also supplies Iams and Eukanuba to all staff for our pets, as part of our employee benefit package. This has always been, and continues to be, a huge perk for our team.” No Barking Please, We Are Working The animals need to be vetted, well socialised and calm. “They don’t bark when people are on the phone or behave in ways that are disruptive to the daily business,” says Goedeke. “Staff may bring their pets to work only if they’re sure they are suitable office pets. If there is conflict, we discuss and resolve it.” Don’t assume that it is the antisocial person in accounts or the vets who are the keenest to bring their best friend to work.
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“Over the years, there have been too many pets to mention who have visited us,” says Goedeke. “We have hosted hand-raised kittens, where staff took turns taking them home because they needed to be syringefed every few hours, even through the night; a cat that came to work by car every day for two years (and thoroughly loved the ride); and a Jack Russell puppy, Fagan, that was so adored and such a rascal that he inspired a mascot logo, still used today, 10 years later.” Cube Route vet, Frans Pretorius, brings his Jack Russell, Bakkies, or his Great Dane puppy, Sussie, for a visit every few months. Medical equipment consultant, Darren Gomersall, brought his red setter, Jamison, to work daily, throughout his puppyhood, to socialise him and to avoid his bored, destructive tendencies when left alone at home. Brighter Days at Work “Having animals around is guaranteed to brighten the day,” says Goedeke. “There is nothing nicer than whiling away the hours with a purring cat or Jack Russell on your lap having a good snuggle. What’s more, we really can see just what a difference feeding our brands makes. Not everyone gets to experience this in their line of work and it’s inspiring to see glossy coats, shiny eyes and great body condition.” Felines and canines get a well-deserved break at an outdoor garden area, with poop scoops and packets mandatory and the responsibility of their master or mistress. Cube Route employees are regularly visited by Oscar and the JOY Dogs, a group of therapy animals (Old English sheepdogs) sponsored by Cube Route/ Eukanuba-Iams SA. Dog handler, Sue Green, visits care facilities, retailers and offices with her dogs for the express purpose of providing staff with the opportunity to interact with animals during their working hours.
Rewarding Performance It is not just corporate executives whose performance is being rewarded. Volkswagen employees below the level of supervisor are incentivised via a programme called MyBucs. This includes employees involved with the production
of cars in Uitenhage and support areas, as well as sales and marketing in Sandton, Johannesburg. “Production employees are measured and rewarded on schedule, quality, safety and cost. Sales and marketing employees are measured on market share, sales, service and ‘fixed right first time’ customer satisfaction scores. Each of the four elements accounts for 4%, meaning that employees can earn up to an additional 16% of their monthly salary every month. Employees in our Group parts warehouse are measured on turnover, procurement, distribution and returns,” says Matt Gennrich, general manager: Group Communication, Volkswagen Group South Africa. Absenteeism affects payout in the relevant month. Supervisors and above receive an annual bonus based on the company’s and their personal performance. Out-of-the-Box Incentives Encentivize is an employee rewards, recognition and loyalty platform that utilises behavioural science to create high-performance organisations and manages the rewards for clients. Employees select from an online store and Encentivize facilitates the purchase and distribution of these rewards. “Encentivize believes in offering real rewards instead of a set of benefits that offer lower perceived value. These rewards are funded through true return on investment on improvements in staff behaviour,” says Martin Naude. “This can be combined with a set of internal rewards such as leave, lunch with the CEO, charities or other prizes.” These unique incentives are supplied by third parties, including the following: retail (Woolworths, Makro, Shoprite), transport (Uber, Tiger Wheel), health and wellness (healthspas.co.za), gifts (gifts.co.za), travel and accommodation (flights and cruises), entertainment (movies, dinners), and airtime. RMB Private Bank has been using the programme for the past year. It uses a combination of points, rewards and leader boards to motivate staff and drive behaviour. Harmony Gold is running a programme to drive health and wellness. If miners go for regular check-ups and answer health-related questions, Encentivize sends them airtime as a reward. This programme helps the miners and helps Harmony understand their needs better. Encentivize is rolling out a more extensive programme focused on performance and is improving health and wellness initiatives. Human beings are complex beings (don’t we know it). So, it stands to reason that pay is not the only motivator. Rewards acknowledge good performance – which makes both rand and sense.
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FLIPSIDE
Way back in 1975 Japanese scientists discovered a strain of Flavobacterium living in ponds containing waste water from a nylon factory. This bacteria, later commonly known as nylonase, proved capable of digesting certain by products of Nylon 6 manufacture. There is agreement in the scientific community that this is a single step mutation. No doubt there are already bio-tech start ups pondering the potential of bacteria to deal with fresh and marine water pollution.
Something Fishy
Bacteria
to the rescue?
The Ellen Macarthur Foundation reports that by 2050 there will be more waste in the sea (by tons) than fish. Levels of pollution can presently be equated to the contents of one garbage truck being dumped in the sea per minute. At present levels of pollution this will have risen to four trucks per minute by 2050. In the wake of all of these revelations we can’t but help to wonder how healthy fish dishes really are…
330+ Years and still in Demand The humble French fry was apparently first served and gobbled up, way back in 1680. Most people don’t know that Belgium lays claim to the development of this widely accepted fast food staple. Their claim is disputed by the French (nous nous opposons) and is bit of a hot potato (pardon the pun) between the two countries. With about 30% of the USA’s potato crop used to make fries and 80% of UK households buying frozen fries at least twice a year, it’s clearly not small fry.
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A Numbers Game The centre for the Study of Global Christianity suggest that in 2012 there were some 43 000 Christian denominations. It is estimated that two-thirds to three-quarters of these independent churches are to be found in Africa. We don’t know whether this is good or bad – at the very least it shows Christianity allows debate and interrogation of its core beleifs.
Mad World We have always figured you have to be slightly Machiavellian to be a good politician – especially in British politics. The unfolding drama around Brexit, the subsequent roiling of the Labour and Conservative party leadership, worldwide economic reverberations and growing rumbles of discontent within the EU are but the start of crazy period that will last, we fear, for a long time.
A Tech
Game If you have ever doubted the growing importance of technology in sport, you need to look no further than next month’s Rio Olympics. The top expense is rated as administrative and commercial at 26%. The second highest is technology at 19%. The question is has technology grown to contribute to enjoyment of the spectators and television viewers or deal with potential cheats? Answers on a post card.
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Woodhill Residential Estate & Country Club
“ My preferred Golf Course” Situated in the eastern suburbs of Pretoria, Woodhill occupies prime position with stunning scenery and dramatic natural features with beautiful vistas over the city. The Estate houses more than 800 upmarket residences and is considered to be among the finest golf estates in the country. The 18-hole championship golf course was designed by Peter Matkovich. The Estate and the golf course are now 16 years old and very well established. Woodhill is ranked in the top 100 courses in South Africa and prides itself on being the golfing destination of choice for corporate membership. The fairways are generously shaped, the rough is kept at a manageable length and the greens, although quite quick, are receptive. Peter Matkovich said: “Golf is not just about scoring, especially on an estate. It is a walk in the park; the environment and character of the course should create a natural and tranquil enjoyment of its own. The animals, insects and birds, plus the growth of the trees should score as much as birdies and pars.” This philosophy is clearly evident as Woodhill was recently awarded the GOLD – SPECIAL MENTION AWARD in the John Collier 2015 Environmental and Governance Awards. The new Nike Pro Shop at Woodhill is one of the finest in the country. Woodhill is proud to announce that Wanna Be A Champion was recently appointed to manage the Woodhill Driving Range Academy and they will also provide the services of PGA teaching professionals to assist in all aspects of golf coaching. Security is high priority on the Estate, with controlled entrances and guards patrolling on a 24 hour basis. Visitors should familiarise themselves with the access procedures.
Specials ENQUIRIES: 012 998 0011 marketing@woodhill.co.za corporate@woodhill.co.za
Under 35 Golf Membership Includes: • Free coaching lesson • Invitation to Club events • Discounted rates for Venue hire, Banqueting & Conferences • Use of Driving Range • Ladies Clinic once a month
R300 per month excluding Handicap Card
Corporate Membership Option 1:
Corporate Membership Option 2:
• • •
• • •
• • • • • •
4 x Midweek Corporate Roving Memberships 4 x Free coaching lessons 80 x Player corporate golf day (Monday- Thursday) Carts and Catering excluded 80 x Golf rounds (Monday- Friday only), Competition fees excluded 20 x Driving Range practice buckets 1 Week advanced bookings Logo on Corporate Board Conference and Function facilities at 10% discount Invitation to the Corporate Golf Day Challenge
• • • • • •
4 x Full Corporate Roving Memberships 8 x Free coaching lessons 80 x Player corporate golf day (Monday- Thursday) Carts and Catering excluded 80 x Golf rounds (Weekdays and Weekends), Competition fees excluded 40 x Driving Range practice buckets 1 Week advanced bookings Logo on Corporate Board Conference and Function facilities at 10% discount Invitation to the Corporate Golf Day Challenge
R56 200 excluding VAT
R41 900 excluding VAT Corporate Membership Option 3:
Corporate Membership Option 4:
• • • • •
• • • •
• • • • • • • •
1 x Gold Membership (Handicap card included) 1 x Nike branded shirt 3 x Free coaching lessons 30 x Free rounds of golf 4 x Full Corporate Roving Memberships (Monday to Sunday) 120 x Player corporate golf day (Monday - Thursday) Carts and Catering excluded. Venue for function included 120 x Golf rounds - Weekdays and Weekends included (Competition fees excluded) 60 x Free Driving Range practice buckets Logo on Corporate Board 4 x Lockers with Company Logo 2 Weeks advanced bookings allowed Conference and Function facilities at 10% discount Invitation to the Corporate Golf Day Challenge
R75 500 excluding VAT
• • • • • • •
4 x Corporate Gold Members (Handicap cards included) 4 x Nike branded shirts 12 x Free coaching lessons Full corporate golf day (Monday - Thursday) Carts and Catering excluded. Venue function included 120 x Golf rounds - Weekdays and weekends (Competition fees excluded) 80 x Free Driving Range practice buckets Logo on Corporate Board 4 x Lockers with Company Logo 2 Weeks advanced bookings allowed Conference and Function facilities at 10% discount Invitation to the Corporate Golf Day Challenge
R90 200 excluding VAT www.woodhillestate.co.za
LIFESTYLE
by Carl Wepener
Worldwide the new Volvo XC90 has made waves, not only with its revolutionised new engine but also with its bold boxy statement and minimalist approach in the interior. I was pleasantly surprised to find the control centre so clean of gadgets and also very easy to read and to operate. The clean lines and panels were really welcome as lately most vehicles are completely saturated with gadgets and knobs and levers leaving you totally dumbstruck. Not only did I welcome the cleanliness of the XC90 but also the ease of use of the different systems and also how well they worked. Style for me is great, quality is excellent and materials used are of the best.
Options fitted to this vehicle R-Design Pack (R54 000) Heated front seats Head Up Display Keyless entry and starting Blind Spot Information System (BLIS) with Cross Traffic Alert (CTA) Premium 19-speaker Bowers & Wilkins sound system Visual Park Assist with front fisheye camera and 360-degree camera system Metallic Paint (R3 350)
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lthough the list price is R926 900 the price as tested is R984 250, which is not cheap but it is in line with most of the other SUV’s in its class. What you get for your money as standard is a well-developed car that is one of the safest in the World with leading edge technology that works for you and in this case the R-Design sports body kit, R-Design steering wheel, gear lever and gearshift paddles, the sports pedals, key in perforated leather and the LED Active bending headlights with Active High Beam and of course “Thors” Hammer signature. Add to that all the other features as the auto dimming side mirrors, park pilot assist with front and rear parking sensors, Drive mode selector, 4 zone automatic climate control and Navigation and you have a really well equipped 7 Seater SUV that is not only capable but economic powerful and a really great vehicle to drive. Our Volvo XC90 came in the loveliest red which set of its bulky yet sporty looking contours. Driving the XC90 is a real pleasure as it is a cruiser but through its Drive mode selector it becomes very capable on off road and in sand as long as you don’t want to do serious off road excursions. The new power units of Volvo is ground breaking for the future of Volvo and the performance of the powertrain is
very good. I did feel that the sound of the engine could be changed as it sounded very diesel like. The XC 90 is one of the few vehicles that allows you to work the touch screen infotainment system without losing your concentration on the road. All of the important selectors to ensure safe driving is exactly where it should be and again is much easier to use than in any other Volvo model. Having travelled long distances with golf clubs and family on board the XC90 again proofed that it is a functional family car and over long distances occupants in the second row of seats is as comfortable as the front seat occupants. On uneven roads the ride becomes a bit harsh but I do believe this is because of the 20 inch R-Design rims with its low profile tyres. Noise while driving is minimal and most of it is generated by the tyres. Road holding through corners are excellent with minimal body roll. Volvo’s XC90 has brought another contender into the field of the luxury premium brand SUV’s and will make the choice much harder to choose. In my opinion the Volvo is an excellent choice and must be considered along with all the other brands as mentioned.
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LIFESTYLE
Salute to a Legend by Carl Wepener
Defender We are all acquainted with the Land Rover Defender and as in my case it was the first ever off roader that I was aware of as it served in different formats in our family. My uncle decided to fit a Studebaker V8 into it for towing his boat. My brother used a Defender for his construction Company.
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had the privilege to be in control of two Series 2 Land Rover Defenders during my years in the Air Force. We also used the Defenders for towing missile units and these were fitted with tented canopies. We would take the front part down, select the speed on the lever control then sit on the back part of the roof steering the Land Rovers with our feet at 30kph while catching a tan.
The Defender has become many things to many people over the years and as with Toyota a Land Rover owner will swear by their Land Rovers. When I was young vehicles were there to get me where I wanted to be and then also to attract girls. The Defender never played a part in that thus I never got into the habit of getting to know a vehicle and to discuss its good or bad points. Except of course for being either a Ford or a Chevrolet fan in the seventies. When I started to test vehicles for doing articles the Defender always eluded me so I only had my early childhood and young adult references and ideas. When the chance came now to test the legendary Defender I jumped at it. A number of my colleagues also wanted in and I did allow some of them and again the outcome of what they said differs like the East from the West. What they did agree upon was that the Defender is a magnificent offroader that can go anywhere. My son loved the Defender and could not believe that they have stopped to manufacture the Defender. My son in law could not believe the lack of space. Me, well everybody know that I love Land Rovers but I did not enjoy the Defender as I thought I would. I came to the conclusion it must be a love at first sight relationship that sold so many of these legends. We joked that we know why this Land Rover is called the “Defender.� It is because the owner that does not use it for off road purposes will have to defend the reason why he or she has bought it. Why am I saying that? Well to sit behind the steering you have to turn your legs to the side. The seat does not move back far enough for a tall person to fit himself behind the steering. There is no leg space behind the back seats. The ride is harsh but the view is excellent. If it was not for legislation I do believe the Defender would still have been with us for many years as it just grabs hold of your heart and you will be true to the Defender till you die. Whether you are in a love or hate relationship with the Land Rover Defender, one thing is for sure you do respect the Defender. I for one will miss that boxy look. I salute the Land Rover Defender, a Legend indeed. CEO 2016 Vol 15.6
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The Perfect
Hunting Ground by Ilse Ferreira
Badgerleur Bush Lodge offers four-star accommodation to guests who want to enjoy the tranquillity of the bush in luxury – and not from behind the flaps of a tent. Badgerleur has much to offer both local and international guests in terms of game-watching, relaxation and, of course, game hunting.
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he Lodge showcases a large variety of African game, including rhino, hippo and giraffe, as well as smaller species of buck, warthogs and other wild animals. For those who simply want to enjoy the bush at their leisure, game walks, game drives and horseback safaris, as well as fishing expeditions, are arranged. For sport hunters, the Lodge has much to offer, from bow hunting from blinds, walk-and-stalk hunting, rifle and bow hunting, to black-powder hunting. “Bow hunting from blinds – where the hunter is hidden in some form of protected enclosure – has become increasingly popular over the past few years,” says part owner and manager of the Lodge, Gordon Pullen. Badgerleur offers the same services for both local and international game hunters, but with the addition of a professional hunter to accompany non-South African hunters, as the law prescribes.
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“At Badgerleur Bush Lodge, we have a unique and specific hunting policy, namely ethical, professional hunting by dedicated hunters who believe in the sustainability and integrity of hunting as a sport and as a responsible part of wildlife conservation and management. “We have a number of joint ventures with professional outfitters and all hunters, no matter who they are or where they hail from, are first put through rigorous screening, testing and vetting before they can avail themselves of our hunting facilities,” Pullen emphasises. Pullen believes that trophy hunting is one of the important elements of a sustainable supply of venison or game in general. The majority of trophies hunted are bulls having already reached sexual maturity; in other words, they have already bred for more than four years as a stud bull. These bulls fetch the highest prices as hunting trophies, he explains. “By hunting these animals in particular, we are ensuring continuous change in the gene pool and allowing young and new bulls to become stud bulls. This, of course, also prevents inbreeding among our game stock, as we are game farmers and not game reserves with huge stock pools. Since the game is limited by the land and biodiversity of the farm, we as game farmers utilise funds earned from trophy hunting to sustain our lands and our game by bringing in new genetics. This allows for healthy breeding practices,” Pullen says. Badgerleur Bush Lodge sports a large variety of game, all of which are indigenous breeds adapted to sourgrass biomes.
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Pullen is empathic that only ethical hunting takes place at Badgerleur. “All game is equally sought after for hunting. We have a strictly applied philosophy: we only allow breeds selected by our professional hunters and farm management to be hunted. In addition, we closely monitor breeding statistics and feed conditions.” He cites the example of the white-tailed gnu and says it will only be harvested (hunted) if numbers exceed the Lodge’s carrying capacity for their specialist diet of short, fine grass. He stresses that hunting is essential to the survival of our natural heritage and that game farming should be encouraged, provided that this is done according to scientific principles that attempt to balance the needs of wildlife with those of the biosphere and humans sharing the space. In some instances, the hunting of predators also protects the species they prey on, for it restores and maintains the balance in numbers. “If we fail in our task, we will suffer the fate of some of our African neighbours on our northern borders, where hunting is allowed only in national parks. This leads to a gross imbalance, creates a multiplicity of problems, and, ultimately, results in the destruction of our natural wildlife assets,” Pullen says. He points out that the hunting industry in South Africa and also on game farms has successfully increased the number of animals in the wild, at the same time managing to maintain the diversity of natural species.
He further points to the fact that hunting techniques can differ quite substantially, but again stresses that only ethical hunting practices are allowed at Badgerleur. Hunting techniques can differ from hunter to hunter. Modern regulations and legislation are often at play and will determine where, when and how hunts may be conducted and which techniques may be employed. Furthermore, says Pullen, individuals differ. For some, what may be ethical, others may frown upon. In many instances, an individual could use a combination of hunting techniques in a hunt. Badgerleur offers walk-and-stalk, rifle, bow, and blackpowder hunting, but considers other techniques such as driving (where animals are driven in the direction of hunters), beating (a technique which flushes out game and drives them into position where hunters can easily kill the animals) and trapping as highly unethical. Because of its highly ethical values regarding hunting, which have become known among hunters around the world, Badgerleur Bush Lodge has become a sought-after venue for hunters of a certain calibre. Hunting offers a successful and sustainable business model for those who are passionate about conservation and wildlife management. Its contribution to the South African economy is sizeable and is considered very valuable.
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by Carl Wepener
Golf & Spa R esort -Living out the Charms of Yesteryear…
‘Heritage’ makes me think of something left behind by a father or another family member. In the case of Heritage Le Telfair resorts, it is about much more than just heritage. It is about the best of the past being the essence of enjoyment today and, for those who have not yet experienced it, something substantial to look forward to.
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he famous naturalist, Charles Telfair, gave his name to the Domaine de Bel Ombre Heritage resort that is situated on the Indian Ocean and nestled against the pristine and unspoilt beaches of Bel Ombre. I do believe it was like a vision for him when he set eyes on Bel Ombre, whether looking from the sea or from the land. It is really paradise. Add some creativity to the vision and you have what one now experiences at the Heritage Le Telfair Golf & Spa Resort. The mission of the Heritage resorts is to create authentic moments, and that is exactly what we experienced. Throughout our stay, respect and integrity were the order of the day. Each and every one of the 1 450 employees went out of their way to ensure we were satisfied. What Did We Experience? Perhaps I should take a step back and say that our accommodation was never ‘confirmed’, probably due to the ‘blue-yonder traffic’ out there. So, the day before we were to arrive, I called to find out what time we might book in and where exactly we would be staying. Our reservation for six people could not be found. Since my motto is, ‘If there’s a problem, it needs to be solved’, I got in touch with Geraldine, who was off duty at the time, and told her of our problem. To cut a long story short, our reservation had indeed never been confirmed and they were fully booked. Geraldine, however, made the problem go away and we were accommodated in one of the luxury villas on the golf course with our own butler to boot. Is that not what excellent service and going the extra mile means?
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Heritage resorts are really an attack on all of the senses, especially the sense of seeing the beauty of the turquoise-blue sea with its breakers at some distance from the lovely unspoilt beaches with their palm trees, lagoons, lush green vegetation and forests. In between you will find the loveliest architectural flow of typical Mauritian buildings that embody yesteryear as well as the present. You cannot help but want to bask in the sun, with a light tropical breeze lightly cooling you while sipping on yet other interesting and tasty cocktails. Cavendish Bar & Lounge is the ideal venue to enjoy an aperitif, local rum or a tasty treat in a relaxed piano-bar atmosphere with an excellent selection of cigars and a wide variety of teas. While there, try your hand at the snooker table in the adjoining library. A stroll on the beaches is a must in order to take in the splendour of the sea, the aroma of the island and the peacefulness of the resort. Even when you are in your ocean-facing room, you have a lovely unspoilt view of this unique paradise. Not one for the sand and sea? Don’t worry; you can relax at one of the two swimming pools, one of which is heated, while being pampered by the staff. But who can relax while being pampered with the kids still around? Well that, too, is catered for. Too much of the delicious cuisine and drinks can leave you, well, how shall I say this, a bit on the heavy side! So, even if you have overindulged in one of the 11 exotic restaurants – which is very easy since you can interact with those in the open teppanyaki kitchens – you can participate in the range of free land and water-sport activities for both young and old. Try your skills at the 18- hole, par 72 golf course nestled on the slopes with the 50 beautiful, luxury and fully equipped villas spread throughout the golf estate. No, don’t worry, you have an exclusive golf cart to take you anywhere within the 2 500-hectare estate. Too much of an effort? Then I suggest you and your partner get pampered by visiting a spa or wellness lounge at any one of the 11 hotels where the professional staff awaits you in order to serve and to pamper. There is also a vitality hydrotherapy pool; just to ensure you have not neglected any other health issues before your return home.
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Speaking of spas, Seven Colours is an original Mauritian brand of spas and cosmetics based on a personalised approach where the energy of colours form the essence and tap into the richness of nature, while essential oils form the basis of these unique creations. At the Timomo & Friends Kids Club, which is open from 08:30 until 23:30, they really look after the health and wellbeing of all kids between the ages of 2 and 11. Under the close supervision of a specialist member of the staff, they go on tours, hunt for crabs, play in the club pool, create their first works of art, and much more. Teenagers are also entertained by way of special programmes and activities. They have a choice of excursions and a multitude of activities appropriate for their age. Talking to management gave us an insight into not only what the resort’s values are, but also what it takes to be a responsible employer: seeing to the wellbeing of employees and their families. Since 2007, the resort has partnered with Reef Conservation in its projects to protect marine life and the environment using three schools that support vulnerable children. A self-sufficient vegetable garden feeding 30 needy families has also been added to these projects. Empowerment is close to the heart of Heritage Resorts and has been ongoing for several years now. Two major projects under way are Plankton, the first community waste-recycling unit on the island, and Coquille Bonheur, a nursery for families suffering hardships.
Let’s Talk Accommodation Heritage Le Telfair Golf & Spa Resort offers a great variety of luxury accommodation in a discreet village-design with 20 different villas of 6 or 8 rooms. There are 158 rooms and suites with beautiful sea or river views, floor-to-ceiling French windows, and private balconies or verandas. Each room is equipped with individually controlled air conditioning, an electronic safe, interactive flat-screen TV with satellite channels, a data port, a mini-bar with tea- and coffeemaking facilities, and a dressing table. There is a spacious bathroom en suite with a bathtub and the bathroom is equipped with a hairdryer, electric-shaver plugs, a walk-in shower, a separate toilet, spacious dressing facilities, and bathrobes.
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A butler service, an iPod docking station and an espresso machine are also available for the residents of a suite. The Restaurants My only problem with all of the 11 restaurants and bars was that I could not get to them all in the very limited time we spent at the resort. That said, it was an experience and a delight to visit those that we did, and they were truly a culinary experience. I believe the other restaurants would have been of equal quality and enjoyment. Gin’ja is set on a lovely stretch of white, sandy beach overlooking the lagoon with its bird life and the lovely sounds of nature. This restaurant is open for dinner and serves Pan-Asian-inspired cuisine, and, if you so wish, there is a teppanyaki experience as well. Annabella’s is the main restaurant and the ideal place to meet in a convivial atmosphere inspired by ‘the kitchen of the great house’ of Bel Ombre, and the charm of being received by Annabella, the lady of the house and the wife of Charles Telfair. Divided into four distinct spaces around an open kitchen, it has a creative, chic brasserie menu which is constantly renewed. Le Palmier overlooks the pool and the ocean and this ‘feet in the sand’ pool, beach and restaurant bar is the ideal place for those who want uninterrupted enjoyment of the sea. It offers light lunches, snacks, salads, ice creams and refreshments. C Beach Club, located on the beachfront adjacent to the Heritage Le Telfair, brings together tropical accents and cool, chic relaxation by day and night. This club includes two restaurants, a bar, a swimming pool, a boat house, an icecream corner, and a kids’ and a teens’ area. Le Château de Bel Ombre was built in the late 19th century and is set amidst the elegant 100-year-old gardens, the golf course and the villas. This colonial-style mansion was the heart of the Domaine de Bel Ombre. In this timeless setting, residents can enjoy breakfast and an exceptional, truly Mauritian dinner made with local products. Le Château de Bel Ombre is also ideal for weddings and other special occasions. The Heritage Golf Club House offers light meals throughout the day. The Club House is the perfect place to refuel after a round of golf or simply as a substitute for the beach! Sports and Leisure Activities Sports and leisure activities are plentiful and most are free for guests. Swimming, wind surfing, Hobie Cats, canoeing and water skiing, kite-surfing, or stand up paddle are but some of the water sports in which guests can indulge.
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Not into water sports? Then try golfing, tennis – even in the evening, table tennis, badminton, volleyball or mountain biking. There is also a fully equipped gym, aerobic sessions, Thai Chi and yoga sessions to calm the inner being. The Heritage Golf Club golf nestles between rolling hills and a lagoon, and this spectacular championship 18-hole golf course (par 72) and the level of technique it demands make it a memorable experience for golfers, whatever their level. This course is one of the most beautiful on the island and offers a unique, panoramic view from every hole! Beginners can try the 9-hole short course as well. At the heart of the Domaine de Bel Ombre, adjacent to the Black River Gorges is the Frédérica Nature Reserve, the natural habitat of many plants, indigenous birds and animals unique to Mauritius. Visitors can observe true natural wonders in this reserve which covers more than 1 300 hectares. To explore, you have the choice of hiking, day and night safaris, VTT excursions, kids’ discovery tours and excursions on quad bikes or in SUVs (with payment of a supplementary charge). Boutique, Weddings and Conferences The Blue Earth Boutique, has numerous souvenirs, beach accessories and a varied range of products to satisfy guests’ every wish. Whether for a wedding or to renew your marriage vows, Heritage Le Telfair Golf & Spa Resort is the most romantic place to say “Yes”! The team will offer you a tailor-made programme, which may include a religious or civil ceremony, for your wedding . Whether on the beach or in the gardens of Le Château de Bel Ombre, the team is entirely at your disposal to organise a personalised ceremony. This was duly tried and tested by George and Candy who got engaged on the beach, where they were specifically catered for in a very romantic setting with candles, champagne and, of course, the love between them. Heritage Le Telfair is also ideal for small or medium groups and incentive trips requiring a high level of service. The Chantoiseau suite (94m2) is fully equipped for meetings and conferences. It can accommodate up to 70 people in a theatre-type layout. Well, as I have said, we did experience the most wonderful, unique and authentic moments throughout our stay, but I suggest that 10 days be set aside to really enjoy what is being lavished upon you by this great team at Heritage Le Telfair. If you want to experience this excellent and friendly resort, where the charms of yesteryear are still relevant, please do contact the Holiday Factory, as they are the exclusive sellers of the packages for Heritage Le Telfair Golf & Spa Resort.
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For an individual who, growing up, had no inclination to enter the medical field, Dr Elmi Muller’s foray into medicine and her subsequent exploits in the field in South Africa and internationally make for enthralling reading. Now a general surgeon and senior specialist at Groote Schuur Hospital in Cape Town, Dr Muller was always fascinated by medicine, although she had no predisposition to follow a medical career path. “For me, the decision to follow this route was made towards the end of my school career based on the fact that I wanted to work with people and thought medicine looked interesting and a hospital environment looked attractive,” says the 2013 winner in the Healthcare Sector of South Africa’s Most Influential Women in Business and Government Awards.
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by Andrew Ngozo
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General Surgeon and Senior Specialist at Groote Schuur Hospital in Cape Town
ince then, Dr Muller has been surrounded by ‘medicine people’, as her younger sister qualified as a doctor and is married to a dentist. Thus there are now more medical practitioners in a family that originally had a number of musicians. She elaborates on her early years: “I was in Hoërskool Drie Riviere and spent most of my childhood years in Vereeniging in Gauteng. I like to do my work in detail, and, during my school years, I was conscientious, worked hard and paid a lot of attention to detail. For this reason, I did well academically,” she says. Later on, there was a stage in the first few years of practising medicine when she struggled to maintain her drive and was unsure about medicine as a career. Driven by the Desire to Help That, however, was soon to change. “It was only later, when I discovered surgery and the more creative side of being
2015/2016 a surgeon, that I became interested in a way that made quite a task and entails a hectic schedule and a lot of travelling on difference. I suppose individual stories drive me – I see a patient the continent, but there are many success stories. In 2013, with a specific problem in front of me and I want to help that she organised a big workshop for African countries wanting person. This is certainly what motivated me when I started the HIV to start off in the field of transplantation. She elaborates: “The transplants. I hope my legacy will be a functional transplant unit idea was to try to help them to do this in countries where at Groote Schuur Hospital where clinicians think out of the box transplantation did not yet exist. I drive certain projects on and where there is a great team spirit,” she indicates. behalf of TTS, organise educational activities, and so on. I will be taking over as treasurer of the society in August 2014 and Dr Muller started an HIV-positive-to-positive transplant hope that my continuous involvement within the society will programme at Groote Schuur. “It is my desire to try to utilise help me to continue my projects on the African continent.” all possible potential donors for transplantation. I realised Ever a people’s surgeon, Dr Muller is humble about her in 2007 that HIV-positive patients were being discriminated recognition as South Africa’s Most Influential Woman in the against. They did not qualify for dialysis based on the Healthcare Sector in 2013. “It is wonderful to be recognised presumption that they were poor transplant candidates. I at such forums, for it grows one’s confidence. I perceive this then started researching the questions related to transplants as a call for me to be even more active as a mentor for young for these patients. In the process, I also recognised that we women working in my field. Increasingly, there are a lot of were often losing the opportunity to use a brain-dead donor issues that we have to face as women in the industry. These because he or she was HIV-positive. I decided to try to match are becoming clearer as I mature. With such recognition, I am these two groups of patients,” she shares. best placed to offer support and advice to women where and Many female doctors shy away from surgery and opt for when needed,” she explains. a more lucrative private practice. Dr Muller is not a general practitioner, and she does not have a fancy practice in some plush suburb Many female doctors shy away from surgery and opt for a in the city of Cape Town. She is a surgeon and in a big hospital. For her, more lucrative private practice. Dr Muller is not a general it is not about the money, she says. “I practitioner, and she does not have a fancy practice in only do transplantation and vascular some plush suburb in the city of Cape Town. She is a access for dialysis and enjoy having control over the type of surgery I surgeon and in a big hospital. offer. I also feel safe that way, as it means I am seldom in a situation where I feel out of my depth as a It is essential for a person doing such human-critical work as surgeon. For me, this is the right choice. I can drive things on Dr Muller does to have all the support she can get. For her, this a national and international level from an academic position, support begins at home. She is a married mother of two sons, which would be impossible from the private sector. I also Willem and Johan. Her supportive husband, Stephanus, is an work in a team, so private practice would be more lonely.” academic who works in the Department of Music at Stellenbosch University. “Through hours of discussion and lengthy debates he Recognition Grows Confidence has shaped many aspects of my career. The most important thing Having a career in such a specialised field means that Dr is that he is a true PARTNER. We have always shared responsibility Muller has numerous additional responsibilities in ensuring at home and for the kids. This makes a huge difference. He has improved health care and improving the lives of others in been supportive beyond the normal – he really helped me to general. She is a councillor for Middle East/Africa for the plan my career and I don’t think I would have been here today if International Transplantation Society (TTS). This is no easy it were not for him,” she concludes.
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2015/16
Stefan Joselowitz, Chief Executive Officer of MiX Telematics
Growing up as a young adult Stefan Joselowitz, like many young people, had a vision of owning his own business one day. Little did he know that his dream was to be realised much sooner than expected. Even more interesting is that it is not his initial business venture that propelled him into international business circles. From an inexperienced 23-year old young man who made his debut as a restaurant owner, Joselowitz, Chief Executive Officer (CEO) of MiX Telematics has grown a reputation for building successful technology companies wherever he goes.
The Makings of a
Serial Entrepreneur by Andrew Ngozo
H
e does not regret his early entry into the business world and regards it as one of the most important learning curves in his life. “At that age I had no capital of my own, but luckily the banks were throwing money around. I was inexperienced from a business management perspective and I made a lot of basic mistakes resulting in debt that took years to dig myself out of,” he reveals. The experience may not have been a pleasant one, but it was wrought with, “many valuable lessons that have moulded me as a businessman and enabled me to build the successful organisation I head up today”. One is then left to ask: What lessons are these? According to Joselowitz, there are four primary lessons: Know what you don’t
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know, do what you are good at, capitalise the business correctly and lastly, (but not least), have fun for it is much easier to be successful if you are passionate about the products and services you are providing. Along the way, Joselowitz says he found the target customer limitations in the restaurant business frustrating. “I wanted to get into a business with a limitless market opportunity and innovating ‘cool’ electronic products. This would mean we could take our products to the customers rather than rely on wooing them into our store.” Pioneering Technology Today MiX Telematics is a market leading technology company, named as one of the best performing on the Johannesburg Stock Exchange (JSE). Building a technology company from scratch
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was no easy task in an era where many much-needed technological building blocks did not exist. “We had to invent a lot of things and convincing early investors of the viability of the concept was no easy feat. But through it all I learnt that perseverance is the mainstay.” He says that when faced with challenges, the secret is to push forward and find solutions to the challenges. These will be viable solutions in the best interest of the business. Born and bred in South Africa, MiX Telematics has grown into a multi-national corporation with 12 offices in seven countries, employing over 1 000 people worldwide. A short history lesson shows that in 1995, Joselowitz developed a business plan for a unique telematics concept and raised capital from an investment consortium for what was to become Matrix Vehicle Tracking - the seed that ultimately
don’t understand. I believe that this gives us an edge when competing on the world stage.” It is not surprising therefore, that MiX Telematics, under Joselowitz, is at the forefront of the telematics industry, leading the way in innovative solutions. Because MiX Telematics was one of the first providers of telematics, they are undisputed leaders in terms of intellectual property, market understanding and technology development. Through his business successes, Joselowitz has earned the title ‘serial entrepreneur’. It follows then that he has a bag full of advice for those who aspire to reach the levels of success he has attained. “Success is relative and built over time, thus patience is the key. It is critical to look adversity in the face to overcome challenges by never giving up. I encourage young entrepreneurs to speak to other experienced individuals and to take advice and listen to people with credibility in the
Building a technology company from scratch was no easy task in an era where many much-needed technological building blocks did not exist. grew into MiX Telematics. Says Joselowitz of the company’s success: “We have thrived in our field because we jumped onto a concept not yet thought of and evolved the offering over time to meet the growing needs of the industryaddressing specific needs of our global market.” It is estimated that there are over 300 million commercial vehicles in the world, with only 4% with any form of telematics device or service and this is likely to triple over the next three to four years. “Through this, it is evident that even with our large customer base, there is a strong need for our services something which we identified years ago,” Joselowitz says. Failure is Not a Bad Thing As a South African born CEO of a global company, Joselowitz believes that success at home has set the tone for success abroad. MiX Telematics is now listed on the New York Stock Exchange (NYSE), but it is still a South African company at heart. “We provide a service that was dreamt of and developed in SA using South African skills. South African business leaders are exposed to challenges many of our first-world counterparts
area(s) they would like to pursue,” he advises. The cardinal sin for anyone - business person or not - is not learning from one’s mistakes. “If you make a mistake once, it is forgivable but you need to learn and grow from these mistakes, as well as find ways in which to ensure you don’t make the same mistakes twice. It is absolutely important for young business people to realise that failure is not a bad thing as one can learn a lot through failure. In fact, when raising capital, sometimes prior failure is a pre-requisite and investors are often more willing to back someone who has experienced business failure as they understand the pressures. In addition, building a contact network can go a long way in assisting one to gain traction in a specific market. Never burn your bridges for you never know when you will need a helping hand.” Since his ‘accidental’ expedition into the business world, Joselowitz has never rested on his laurels. He never relaxed after the first successful product, but constantly innovated to stay ahead of the competition, rightfully earning a place among other stellar titans who continue to propel South Africa into the technological future.
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InConversationWith Favourite food? Dessert. Favourite music? A mixture of pop, rock and classics, it all depends on my mood and surroundings. What was your dream job as a child? I’ve never had a specific job in mind, perhaps owning and managing my own business would be the closest to that dream job as a kid.
NB
Nick Brown Aramex is a leading global provider of comprehensive logistics and transportation solutions, employing people in over 353 locations across 60 countries.Nick Brown is Country Manager, Aramex South Africa.
What led you to your current career path? The vast majority of my family are in the mining/oil & gas industry, therefore probably in the line of oil & gas logistics. If I ever retired early, lecturing at a University could be a great way to pass some time. What three things would you take to a deserted island? Water, knife and a flint stone, everything else you can do without. What are you reading? Business Day and Bloomberg are firm favourites during the week, while at night a good book is always worth some time. Five people you’d invite to dinner? Bear Grylls, Richard Branson, and my best mates. Spending time with close friends and family far outweighs having dinner with strangers, but I am sure these two adventurers could add a few great tales to the dinner time conversation. Three words to describe your leadership style? Democratic. Affiliative. Mentoring
What is the number of employees in your organisation? Currently just under 1,000 in South Africa and just over 13,000 globally. What does a typical working day entail? Any day starts with a good cup of coffee! I believe a key aspect of leadership involves engaging with people face to face, this requires involvement in many of the meetings taking place on a daily basis. What occupies your time outside work? I try and make the most of this beautiful country we live and enjoy a variety of sports and activities with my family. At the moment though, nothing beats refreshing the mind and soul with some time on the mountain bike or a weekend out on the water enjoying some sailing or wakeboarding.
What led you to your current career path? The logistics and supply chain industry is a multifaceted industry continuously evolving and providing unique and dynamic challenges. This is what I enjoy most about the industry and what first sparked my interest in the field at University. What advice would you give to someone aspiring to your position? The key values to success in any business environment revolve around consistent performance and being able to align your objectives with the greater vision of the company. In addition, building relationships across your company is key to gaining the support necessary to become the leader in your business.
Capturing the Light Browsing through a portfolio of professional photographer Brenda Biddulph’s work, makes me want to grab a camera and take a photo. Attempting to create a visual moment like the many she has created is not easy.
Brenda established her own photographic business four years after graduating from the National School of Photography in Pretoria. She had gained experience in advertising, corporate photography, weddings, school photography and publications. Today her business, Monsoon Photography, has a faithful following of diverse clients who entrust Brenda and her team with repeat business. Putting a person at ease is an accomplished skill. Even the most senior executive can be a reluctant subject when a camera is pointed in their direction. Monsoon Photography has become a popular name to call among organisations needing photos for annual reports and events. The Monsoon Photography team has the ability to charm a smile out of the most world-weary executive. “We ignite with a jovial professional approach,” says Brenda. Brenda’s special love is vibrant fusion photography and experimenting with her “fascination for light”. The recipe for success behind Monsoon Photography is simple. “Our enjoyment of the profession
and passion for people attract clients to call on our services again and again,” she says. Monsoon Photography works on site and in studio, depending on the client’s requirements. Their studio, situated in the eastern suburbs of Pretoria, is perfect for family portraits and for shooting music videos. The experienced studio and on-line photographers that comprise Monsoon Photography share two things in common: a fascination for light and an eye for detail. With clients as diverse as Deloitte, Sasol and The Land Bank, Monsoon Photography adds a creative and professional touch to whatever the occasion.
Contact 083 452 4530 www.monsoonphotography.co.za