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Arend du Preez, Managing Director, Crossroads
Crossroads
Cross Over to World Class Solutions The company has weathered the cyclical adversities of the logistics sector through the commitment of its people, the quality of its service and the high standard it maintains in its operations.
against cybercrime Protection In many instances, cyber-attacks and security breaches arise because of human error or interaction.
Chain Infrastructure solutions Supply Along with economic growth in Africa comes increased pressure on supply chain infrastructure, creating difficulty in matching supply with demand.
Recall & Contamination Insurance Product Product recall and contamination insurance is relatively commonplace among most large commercial and multinational operators.
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CONTENTS 32
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4
Logistics
24
16 Warehousing
4 Crossroads
The company operates in a number of niches markets in which safety aspects are a non-negotiable.
20 Supply Chain Infrastructure solutions for Africa Safety, Health & Environment
Technology
8 How many jobs will be lost to technology? 24 Remote IT Support Services – the next big thing
22 Workplace Safety: The Good, the Bad, the Annoying…?
24 Remote IT Support Services – the next big thing.
26 Forsaking your privacy for ‘free’ social media apps 26 Forsaking your privacy for ‘free’ social media apps Fleet
10 How to promote good driver fleet management relationships
Loss control
28 Undercover investigator – manage risk from the inside out
Risk
12 Why Risk Managers Are Suddenly Interested in Flexible Working
Outsourcing
30 The evolving role of the ICT outsourcer Recycling
Insurance
14 Product Recall and Contamination Insurance
32 Putting Plastic to good use
16 Infrastructure Maintenance and the Digital Method
30
Cybercrime
18 Five critical elements to protect your business against cybercrime
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From the Editor
The LAST WORD
“Without technology you are not going to be able to add value or improve your client’s experience,” shares Managing Director, Arend du Preez from Crossroads.
Technology:
the good, the bad & the not so necessary
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echnology is a wonderful thing. It has changed our lives beyond what we ever could’ve imagined, and it continues to do so. Take for example what can be done with a cellphone. You can receive and write emails, take and receive photos and videos, you can live chat with anyone anywhere in the world i.e. you can run your entire business literally with the click of a button. In this issue we discuss how IT professionals can log on to your computer from anywhere in the world to fix technical issues. However, with the good comes the bad, and as much as technology has positively influenced our lives, it can also have a negative impact on us and the way we run our businesses. In this issue we also discuss how jobs can be lost to technology, and how we are forsaking our privacy using social media; completely oblivious to the service agreements that allows certain data to be utilised. We need to become more responsible when making use of any type of technology and take ownership when things go wrong. We have no choice but to embrace technology since it is everywhere around us. But perhaps it is a good idea to have a technology free day at least once a week. Close your laptop, leave your phone and only respond to calls, and free yourself from the chains of social media. Just as much as we all need a holiday at the end of the year, in the same manner we need a holiday from the technology that has infiltrated our lives. And before purchasing the latest technological product, ask yourself, “do I really need this?” Lift your head and look forward – there is more to life than gadgets and the latest technology.
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Arend du Preez, Managing Director, Crossroads
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Cross Over
to World Class Solutions Crossroads is not only one of South Africa’s most experienced logistics and supply chain providers it is also a proven innovator and resilient operator that is focused on adding value to its clients.
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ccording to Managing Director, Arend du Preez, the company has weathered the cyclical adversities of the logistics sector through the commitment of its people, the quality of its service and the high standard it maintains in its operations. “Crossroads was established in the 1930s and a company won’t last this long without getting the basics right,” du Preez observes. “Presently we are using the established strengths of the company as a basis from which to transform from a traditional transport company to a supply chain and value add business partner.” Despite the economic rigors currently being experienced in South Africa and other parts of the SADC region, the company is well positioned to adapt to what it believes the marketplace will be demanding from logistics providers in the future.
Du Preez is adamant that companies need to look beyond the rate they are being offered and assess the quality of the solution on offer. “Just comparing rates can sometimes be a deceptive exercise. The service offering that is included in the rate is really the key determinant that companies should be considering – it is often the main element in assessing what type of impact a logistics provider is really going to have on a company’s bottom line.” Crossroads has developed significant expertise in packaging comprehensive solutions for customers. It is now servicing its mining customers as a fully transformed logistics and supply chain provider – a significant shift away from the standard transporter services it started with in this sector. The company is also attuned to the fact that there is a lot more it can do in terms value adding and what it terms ‘cradle to grave solutions’.
The company operates in a number of niches markets in which safety aspects are a nonnegotiable. “In the fuel transportation field we like to believe that we are a market leader, not only in terms of safety, but also the service that we provide,” reveals du Preez.
While the company is not dismissing standard services (in fact it believes that in some markets it will remain a transporter) it is definitely gearing up for a future where customers will be seeking strong business partnerships from its logistics providers.
Offering value The team at Crossroads is acutely aware of the fact that supply chain and logistics offerings are often viewed as a cost and that the expenses associated with this service are often the first issue to be tabled at negotiations.
“One has to be realistic and acknowledge that transport represents a cost to the customer,” du Preez notes. “Not only is it difficult to sell a cost, there is also very little appetite for it – this situation changes dramatically when you are offering a solution that not only adds value but Supply Worx 2018
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Despite the economic rigors currently being experienced in South Africa and other parts of the SADC region, the company is well positioned to adapt to what it believes the marketplace will be demanding from logistics providers in the future.
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creates an extension of their business, which they might not have easily achieved themselves.” Crossroads is using its reputation as a safe and reliable provider as a platform from which its customers can enhance or support their own safety and reputation management. Du Preez explains that international organisations are seeking logistics providers who share their focus on environmentally friendly and safe business solutions. “We have many years’ experience in this field and our commitment to high standards and safe operations is a critical element that responsible companies can use to further benefit their reputation.” Technology The technological revolution that has swept across industries during the past few years has also aided the rapid business transformation of this sector. Crossroads’ philosophy is that business should not drive technology but that technology should drive the business.
The biggest advantage of technology for the company is the transparency it affords them and their customers. a simple philosophy that Crossroads has in this regard: “We would like our families to return home at the end of the day unharmed.” The company applies this same principle to the wider public, not only because it is important to be seen as a law abiding and safety conscious company. It is also important because it is a principle that resonates with its staff and customers on a personal level.
Du Preez says it is important for the wider public to understand that there are responsible and less responsible operators using the country’s roads. “We know that heavy vehicles on the roads The biggest advantage of technology for the create frustrations. However, as a result of our company is the transparency it affords them and their rail infrastructure not possessing the necessary capacity it is needed for economic growth. customers. In particular it provides customers with access to information with respect to their goods and As a responsible operator we will, along with the where it is located in the distribution network. Road Freight Association, continue to push for “Without technology you are not going to be able safety and operation within the legal limits, which includes avoidance of overloading – because this to add value or improve your client’s experience,” aspect specifically has a negative impact on our shares du Preez. “South Africa in terms of the global supply chain is highly advanced – we are in road infrastructure.” the top quarter of the world and the technology revolution and the benefits it will bring to With close to 400 vehicles and staff of over 800, customers is going to continue unabated.” Crossroads is more than well equipped to deliver on any supply chain or logistics need in its Responsible Approach operating markets. Du Preez points out that the company is a versatile and responsive organisation Despite the benefits of technology, value added cost structures and the benefits of comprehensive that values all its customers. services, du Preez is attentive to the contribution “We offer a comprehensive solution and can of the most important business asset of all – the literally offer this from China to Kuruman because people staffing Crossroads. we can manage the solution, possess the knowHe encourages companies to ensure that they are how, have the network and the necessary working with a responsible operator and shares infrastructure,” he concludes. Supply Worx 2018
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How many jobs will be lost to
TECHNO Digital transformation is a reality, and is having a major impact on organisations of every size, and across all industries. The benefits of innovation and agility are numerous, but many fear that this transformation is threatening jobs.
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he rise of disruptive technologies is seeing total transformation within the job market. Automation of manual tasks is the most obvious change, but AI, big data, the Internet of Things (IoT), blockchains and crowd funding are also highly disruptive, allowing established players and new incumbents to circumvent current infrastructures, and even replace man with machine. Many technology pundits are even predicting that AI will ravage some of the most sought-after jobs, such as doctors and lawyers. Any profession or skill where some form of repetition in decision making or work process is mandated or required will be in the direct cross hairs of AI, or at a minimum, augmented intelligence.
OLOGY? “Jobs could be affected in two ways. Either because digital transformation and automation means that people are being replaced by machines, or because companies failing to keep up and remain relevant and competitive will close down as they can no longer compete,” says Richard Firth, CEO of MIP Holdings. According to Firth, digitisation, automation, machine learning, artificial intelligence and selfservice technologies will naturally have an impact on the skills needed to run a particular business. “The pace of technological change, together with growing competition, is seeing certain skills become obsolete, while the demand for new skills rises at an unprecedented pace.” Moreover, the World Economic Forum’s (WEF) Future of Jobs Report predicts that in around three years from now, the workforce will be needing vastly different skills than today, saying: “Current trends could lead to a net employment impact of more than 5.1 million jobs lost to disruptive labour market changes over the period 2015–2020”. In addition, the report estimates that a whopping 7.1-million jobs will be lost as a direct result of digital transformation and innovation, with two-thirds of these jobs being office and admin oriented. “This will undoubtedly affect the financial services industry, which employs more white collar office and admin staff than any other industry – more than most,” says Firth. “Other industries, where machines are already entrenched, such as mining, manufacturing and production, are already seeing more machine substitution. However, there is always the potential to upskill and redeploy people, to enhance productivity, rather than just substituting them with machines.”
He says this is why training and “upskilling” will be vital for individuals looking to hang on to their jobs, or find new work over the next few years. “Not only are machines competing for the jobs out there, population growth and a less than ideal job market are making competition even fiercer. Labour unions will also have to pay particular attention to this facet of technology transformation. The labour unions would put their membership at very real risk if they continue to employ the current ‘slow change’ strategy. On the plus side, although there are a slew of examples of how machines and automation are affecting jobs - such as the advent of the ATM, which many naysayers said would herald the demise of the bank teller – they help drive efficiencies to the point where more actual branches could be opened. “Instead of taking jobs away, ATMs allowed bank staff to focus away from routine and mundane tasks, to other, more important areas of the business that couldn’t be handled by machines.” The lesson here, says Firth, is that automation doesn’t necessarily take jobs away, it just redefines them, and at the same time, saves money, increases efficiencies, and forces employees to learn new skills.
“Businesses and labour unions looking to the future need to think carefully what skills they will need to promote to remain competitive in years to come, and start preparing their staff or membership for the transitions associated with transformation and automation” concludes Firth. “People are still most organisations’ biggest asset. Companies need to plan and anticipate which skills they will need to conduct business in the future, and give their people the opportunity to learn and upskill to meet future challenges.” Supply Worx 2018
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HOW TO PROMOTE
GOOD DRIVER
FLEET MANAGER RELATIONSHIPS
The lives of long-haul truck drivers are often romanticised – every day is different, they are out on the open road, they get to drive through spectacular landscapes, they manoeuvre beasts of machines, they command the respect of all other drivers on the road - they are the kings of the road.
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hile these assertions may be true to some extent, driving long-haul is not an easy job. Long hours of negotiating traffic, roadworks and bad roads, as well as fending off fatigue and boredom, can take their toll. If drivers have poor relationships with their fleet managers, their job can get even more difficult and stressful. Innovative Staffing Solutions Managing Director, Arnoux Maré, says it is important to ensure drivers are not unduly stressed. “Stress leads to a lack
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of concentration, which could, in turn, lead to driver error and even accidents. That’s why it is important for fleet managers to create a balance between keeping drivers motivated and happy while remaining firm about deadlines and work schedules.” Harness the facts to build trust Drivers need to know their fleet managers have their best interests at heart. “Obviously, logistics companies need to keep their vehicles on the road and want their drivers to be as productive as possible, but this should not be at the cost of their health or safety,” says Maré. He points out that a good fleet technology monitoring system can help fleet managers manage driver schedules more effectively. “A good monitoring system allows vehicles to be tracked and provides driver statistics, maintenance records and fuel consumption figures that can be
Fleet managers need to give drivers the chance to voice their issues and fleet managers, equally, need to communicate the challenges they face
harnessed by fleet managers to be more objective when assigning work or rewarding excellent performance. “The better the reporting, the easier it is to make well informed decisions,” adds Maré. “When fleet managers make fair decisions based on the facts, they build trust amongst their drivers, which is a critical component of a successful driver/fleet manager relationship.” Keep communication channels open While most employees in South Africa are expected to work a maximum of nine hours a day, six days a week, South Africa’s Bargaining Council allows drivers to work a maximum of 30 hours overtime per week. Maré says high productivity pressure in the logistics industry can put a strain on the relationship between drivers and fleet managers, resulting in absenteeism or a general lack of commitment.
issues and fleet managers, equally, need to communicate the challenges they face. Effective communication is another way to build trust with drivers – something every good fleet manager should be adept at,” says Maré. Get the basics right The most effective fleet managers are good team leaders. In addition to being able to connect with their drivers and understand their challenges, they need to be able to provide them with the support and tools they need to do their jobs properly. Maré says fleet managers need to provide a combination of regular driver evaluation and corrective training. “At Innovative Staffing Solutions, we invested in a truck that is specifically used for training and evaluation. This means our clients don’t have to lose money by taking their trucks off the road to train drivers.” In addition, all Innovative Staffing Solutions clients have on-site driver trainers. They are expected to reinforce the importance of safety regulations and accompany drivers on trips from time-to-time to observe their driving and make sure they conform to the various regulations.
Maré says while meeting delivery deadlines is important, it is equally important that fleet managers put themselves in their drivers’ shoes. “They need to have an intimate understanding of what is required of their drivers and the challenges Another critical component of the fleet manager’s they face. toolbox is ensuring drivers have the know-how and time to conduct pre-route checks of tyres, “All the clients we outsource more than 5 500 brakes, leaks and lights – in addition to the truck drivers to employ controllers to oversee an average having been through the truck depot for fuel topups, tyre checks, mechanical checks and washing. of 40 trucks and their drivers,” says Maré. The contollers are expected to confirm routes with drivers as well as collection and drop-off points. Ultimately, fleet manager and driver relationships Importantly, they must communicate with drivers are enhanced when both parties understand and on a regular basis to check on their wellbeing and respect their respective challenges. “It is important levels of fatigue. for both parties to find solutions that do not compromise the safety of drivers and road users In fact, communication is critical. “Fleet managers on the one hand or undermine the success of the need to give drivers the chance to voice their business on the other,” concludes Maré. Supply Worx 2018
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Why Risk Managers Are Suddenly Interested in
Flexible Working Risk managers have a new weapon in their arsenals – flexible working. The use of flexible working, and a connected property strategy, as tools for risk management is a relatively new trend, and one expected to grow significantly as more businesses understand the new workspace strategies available to them.
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e are entering a workspace revolution, powered by digitalisation and increased connectivity. IWG, the parent company of workspace companies such as Regus and Spaces, recently surveyed 19,000 business people from around the world (96 countries to be precise). The results were astonishing: Most relevant for risk managers, 73% of respondents said that flexible working helped them to mitigate against risk. How? Perhaps some of the other results may provide insight: • 89% believe it helps their business grow and optimise costs • 87% believe it helps their business stay competitive • 83% believe it helps their business maximise profits • 82% believe it helps them create a presence in new markets • 80% stated that enabling their company’s employees to work from anywhere helped them recruit and retain top talent This revolution means that businesses are increasingly studying how flexible working can help them to grow. As part of that, they are also discovering how it can help them manage different types of risk. First, financial risk. Research by real estate company JLL recently estimated that by 2030, 30% of corporate real estate will be flexible. That’s three out of every ten buildings. Why are companies using so much flexible workspace? One big reason is cost. Companies can save significant costs on real estate that they outsource, sometimes as much as 50% or more. Clearly, reducing long leases, capital expenditure and overall costs providers a financial boost that helps financial risk.
commitment, but it can be challenging to understand what level of commitment is required. Do you want to sign a long-lease on an office only to discover that the opportunity didn’t materialise? And then find yourself tied to that office, with the overheads it requires, while you identify a fresh opportunity in another market? Again, a flexible workspace strategy negates this risk. Flexible working is not simply about personal employee productivity (although this is undoubtedly a key advantage) – it is also about ensuring that businesses of all sizes have the agility to seize an opportunity. Third, talent retention. In a connected, extremely competitive world, business success is determined by talent. It’s clear that the expectations and demands of employees are changing and indeed, that the demands of top talent are changing. A recent study found that 87 per cent of workers would like the option to work flexibly. And by that – they don’t mean working from home one day a week. They mean the chance to work on the move, explore new locations, and fit their work commitments around their life commitments. If you can deliver that, your appeal as an employer will rocket. Finally, flexible workspace strategies can give risk managers peace of mind that they have a plan in place for those unforeseen events that can play havoc with business continuity from a physical and digital perspective. Having a flexible workspace provider as your recovery partner means you are not tied down to any one location and can adopt a location recovery strategy at any time. Best of all, you can test the business when and where you want - because workspace providers like nothing better than showing people their great workspaces.
Incoming new regulation IFRS 16 – which will put leased assets onto a business’s balance sheet - will be a trigger for more businesses to recognise this advantage The workspace revolution has transformed how individuals view office life. Now business leaders are and to take advantage of the broader advantages of recognising the specific strategic and financial benefits flexible workspaces. that it will bring to organisations of all sizes. Central to Second, and linked, is strategic risk. Global businesses that is how it will help them to mitigate against threats and seize opportunities. That’s why the smartest risk need to expand and move into new territories. They managers are paying close attention to their property do this to be closer to customers, employees and suppliers. To do this successfully often demands portfolios and flexible working. Supply Worx 2018
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Product Recall
and Contamination Insurance Recent high-profile product recalls have focused an uncomfortable spotlight on failures of product safety and contamination prevention processes, highlighting the need for comprehensive risk management and insurance to manage the onerous reputational, financial and legal repercussions of a large-scale product recall.
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e a“Product recall and contamination insurance is relatively commonplace among most large commercial and multinational operators,” says Tony Webster of insurance brokerage and risk advisors, Aon South Africa. “However, most small to medium-sized commercial businesses have not kept pace with the need for this essential cover, and are at huge
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financial and legal risk if a product they have supplied – or even a component of a final product – is the subject of a product recall due to material risks posed to consumer health and safety. In particular, the risks in the food processing industry are marked, and here every operator in the supply chain – from farm to fork - must take
Product recall and contamination insurance is relatively commonplace among most large commercial and multinational operators due care of the products and ingredients within their care – from growers, processers to logistics providers, wholesalers, distributors and retailers. “A thorough risk identification process is at the heart of establishing exactly where the risks are and what your business is liable for. This is a task best undertaken with the aid of a professional insurance broker by your side in order to formulate a holistic view of all the risks that your business is exposed to, what measures to put in place to manage and mitigate the potential exposures, and then having an appropriate insurance plan in place that will respond favourably in any given situation,” Webster recommends.
Product recall insurance on its own is also not sufficient to address the multifaceted risks in the food supply chain, as there are also liability aspects to consider, including the potential for legal class action in severe cases. An all-encompassing liability insurance programme is essential. “If the product causes harm to a person, there are two additional scenarios that come into play from a liability point of view,” explains Webster. “Product liability cover would provide a solution to any injury or damage that the product may cause, for example a product that is incorrectly labelled, like not listing nuts as an allergen. Directors and Officers (D&O) Insurance would also come into play where a person in a supervisory position did not practice due diligence in their role, and faces being held liable in their personal capacity for any legal claim that may arise.”
It is crucial for all role players in the supply chain – large and small - to fully interrogate the extent of their exposure and all potential sources of risk. The legal defence costs alone have the potential to bankrupt smaller operators, hence the imperative to have comprehensive insurance to Product recall and contamination insurance provides protect the business from those risks that simply cannot be mitigated or foreseen.” cover for unforeseen and accidental events that can jeopardise product integrity and safety. “The “Having an experienced team of professionals insurance policy will cover the cost of withdrawing and recovering the stock from the shelves, transport versed in the intricacies of product liability and recall insurance is essential, as is a customised costs, staff overtime, the costs to repair, replace or insurance programme that addresses your unique destroy the product, the subsequent loss of profits risks and risk-bearing capacity. Product recall costs and the crisis communication efforts needed to can run into millions of Rands and quickly spiral keep the brand integrity in check and to advise out of control unless properly managed. The most consumers of the product recall,” says Webster. important consideration is the ‘total cost of risk’, where the costs of recall insurance are dwarfed The biggest impact associated with a product by the potential catastrophic consequences for a recall is reputational damage. “Social media can rapidly exacerbate and escalate any product recall business of a recall that threatens human life or situation,” Webster adds, “unless handled properly. limb,” concludes Webster. It is therefore crucial to respond rapidly in an emergency and to take particular care with the message being communicated to your customers, The biggest impact associated with a as it may ultimately influence the severity of the product recall is reputational damage. loss and the consumer sentiment post recall.” Supply Worx 2018
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Infrastructure Maintenance
and the Digital Dethod All local public sector agencies face a common set of challenges. They need to ascertain the condition of organisational assets to monitor and maintain performance, make intelligent capital investment decisions regarding aging assets, and secure necessary funds for re-investment from city council. Ultimately, condition assessment allows public sector agencies to guarantee the delivery of safe, reliable, and efficient service to their constituents.
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aintenance and operations teams of public agencies aim to maintain a high level of asset reliability, provide a clean and attractive plant with efficient services, and create safe working conditions for employees. Additionally, they seek to manage facility assets through infrastructure stabilisation and manage the design, implementation, and construction of capital projects and physical improvements along with all maintenance programs. The CSIR notes that condition assessments “should be the basis for management and maintenance decisions in the built environment towards sustainable construction.” According to Barry Diedericks - Enterprise Asset Management (EAM) Subject Matter Expert at Softworx, Infor’s Master Partner in Africa - there are three essential elements to condition assessment. The first is inspection. “A physical and visual examination of the asset is necessary to begin.
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When an agency has thousands of assets, this can present a significant challenge in both time and labour,” says Diedericks. The second is assessment. “Using a condition rating scale for transit agencies, for example, a numeric rating scale from one to five is used. Five is excellent and one is poor. An asset is in a state of good repair when its physical condition is at or above two and a half. Based on the inspection, agencies can create their own assessment approach, but must be able to justify the rationale.” The third is estimation. “Evaluating the investment requirement to rehabilitate or replace assets in less than good repair is the final step. This is considered the most difficult part of the process. To begin, it is important to determine why condition assessment is valuable. This helps agencies make decisions on resources, time, and energy. For some organisations, this question is not answered by
Diedericks confirms that assets should be assessed based on: physicality; performance; probability; and productivity. An assessment of physical condition entails looking for oil leaks, rust, water leaks, cracking/fractures, and deterioration. “This means walking the grounds, locating the equipment, and performing a visual inspection using the mobile checklist. While drone technology allows the agent to view and record the state of assets, mobile devices make processes more efficient and less time-consuming. Condition ratings are then input for each asset on the mobile checklist, which automatically feeds the scores into the EAM system,” he adds. Evaluating performance requires the assessment of the characteristics inherent in the organisation’s unique set of assets. “This includes: current and future capacity; mechanical efficiency; retention time; adequacy of mixing; process stability; control; and level of storage. Answers to these performance metrics are based on operational systems data combined with maintenance history stored in the EAM system.” regulatory and compliance requirements, but by goals of migrating to a condition-based monitoring and predictive maintenance strategy rather than a reactive maintenance strategy.” The next step is to establish who will participate on the project. Creating a balanced team ensures the condition assessment process will benefit from different skills and points of view and avoid preferential treatment. Teams should consist of individuals with a strong working knowledge of their domain and the entirety of plant operations. Following the creation of the team, public sector agencies must determine what needs to be assessed and how. Identify what assets will be assessed initially. Phase one of the assessment should include the most critical assets and determine the actual assessment method. This is done by configuring mobile checklists and designing reports that will be used to provide rationale behind investment requests.
Determining probability involves scoring the asset based on its frequency of failure, or mean time between failures (MTBF), based on a systematic review of equipment maintenance history stored in the EAM system. When evaluating productivity, the agent must ask: If this asset goes down, how will it impact our plant productivity? Service? Safety? Financial position? “The answer to these productivity questions should be based on each asset’s criticality, risk, and historical performance,” says Diedericks. The collection of the assessment data is only half of the equation. “The goal is to use the combinations of ratings to prioritise reinvestment in the rehabilitation or replacement of assets. Completing the analysis also involves gathering other types of data such as life cycle attributes and maintenance history,” concludes Diedericks. “Having this data available in a single repository helps agencies to formulate algorithms and report output in a meaningful way that is easy to explain.” Supply Worx 2018
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5
critical elements to protect your business against cybercrime
In the wake of last year’s surge of debilitating ransomware attacks, many businesses are investing heavily in cybersecurity technology, with Gartner predicting that worldwide security spending will reach unprecedented highs at an estimated $96 Billion this year alone.
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owever, according to Edward Carbutt, Executive Director at Marval Africa, technology is only one of the components that make up a strong defence against cyberattack. “Even with the right technology in place, organisations are still vulnerable to attack, and should protect themselves in other areas, too,” says Carbutt. “For optimal cybersecurity, organisations can look towards addressing five key elements: people, processes, technology, change and culture.”
People, Processes and Technology have long been the cornerstones of Information Technology Infrastructure Library (ITIL) frameworks, often referred to as the “golden triangle” for successful project implementations and change management. Carbutt says that the ability to implement change and an organisation’s culture are just as critical to security and play an important role in today’s rapidly evolving digital world.
security protocols, but that it be enforced through frequent training, knowledge sharing and updates about those policies. Training should be part of any plan for security, risk management, business continuity and compliance. Knowledge sharing in the form of frequent reminders, updates on new malware and safety tips are great way to reinforce training and policies, Carbutt says. “People who are aware of what security risks are out there, and how they are able to protect themselves from those risks are better equipped to prevent cyberattacks through accidental or unwitting actions. Processes A fundamental element of success, according to ITIL, is not only having the right processes in place, but ensuring they are adhered to.
“When organisations establish and reinforce processes for every action, things are done properly according to the prescribed steps,” Carbutt states. People “In security, if every member of a business follows “People form the basis of any organisation. How the approved processes for securing, accessing and they interact with customers, each other and the sharing data based on the parameters laid out for technology they use is important for business success,” that type of data, the window for a security breach says Carbutt. “In many instances, cyber-attacks and closes considerably. As soon as there are deviations, security breaches arise because of human error there is room for errors to be made.” or interaction. Whether a user downloaded a file containing malware or accessed and unwittingly Technology shared data that they were not authorised to, data can Carbutt reminds us that we are living in a be disseminated and infiltrated through sheer lack of technology driven world and cybercriminals knowledge of security principles.” are developing smarter technologies to carry out attacks every day. To combat cybercrime, Carbutt stresses the importance of not only providing organisations needs to stay a step ahead, and this an organisation’s people with clear cut policies on means investing in the right security technology.
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It’s about more than just having the right firewalls and malware protection in place, says Carbutt and continues, “By automating tasks and software updates, not only do we save time, but we also make sure that no critical task is forgotten or ignored, therefore compromising safety. Feature-rich tools, like IT Service Management Software, help identify potential risks, recognise security alerts, prioritise tasks and escalate incidents to the team experts easily and quickly. Risk and incident management becomes far more effective and businesses are then capable of responding faster to threats.” Change Continual improvement forms the basis of ITIL. According to Carbutt, businesses should to be prepared to refresh and update their systems, processes, policies and security often, to keep apace of changing security demands.
“Organisations who are dependent on dated technology - or who do not even know what technology they have in their businesses - are at risk of cybercrime. Organisations who rely on processes and policies which are designed around old cybercriminal behaviour are at risk of cybercrime. Updating infrastructure, policies and processes keeps everything current while minimising complexity and eliminating potential blind spots,” says Carbutt. Culture Maintaining a safe business environment is the responsibility off every member of the organisation, from senior management to end user. “Where a culture of safe, secure practices is engendered, and security is prioritised, the other elements - people, processes, technology and changes - will automatically follow,” concludes Carbutt. Supply Worx 2018
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Supply Chain Infrastructure
solutions for Africa
Along with economic growth in Africa comes increased pressure on supply chain infrastructure, creating challenging business conditions and difficulty in matching supply with demand, particularly in the healthcare arena.
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any African countries have experienced a surge in the volumes of medicines and healthcare products moving through their public health facilities, putting strain on existing infrastructure, and affecting supply chain efficiencies, creating a demand for creative and flexible solutions.
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From warehousing to clinics, surgical units to laboratories, unique solutions are required to overcome the challenges experienced by ministries of health, aid organisations and other healthcare providers, if their targets of bringing healthcare to even the remotest of areas are to be met. Resolve Solution Partners, a division of Imperial Logistics, has developed a unique answer to this supply chain challenge in Africa. Tagged “In-a-Box� solutions, these modular infrastructure designs enable the rapid commission and installation of prefabricated warehouses, clinics, laboratories, and storage units with all the componentry required to deliver a pharmaceutical compliant, validated, total solution, packed and ready for delivery in 40ft containers.
Tagged “In-a-Box” solutions, these modular infrastructure designs enable the rapid commission and installation of prefabricated warehouses, clinics, laboratories, and storage units with all the componentry required to deliver a pharmaceutical compliant, validated, total solution, packed and ready for delivery in 40ft containers.
These solutions address a country’s chronic lack of supply chain infrastructure, limited storage space and lack of quality storage facilities, as well as the need for clinics in remote areas. Suitable for both urban and rural settings, the standards and operational benchmarks are aligned with international good warehousing practices, supply chain and design principles. The materials used in producing “In-a-Box” facilities are significantly cheaper than traditional building methods, and boast a 30-year plus lifespan. Focus is also placed on sustainability – each one can be built to green building standards, and designed with water, HVAC condensate and solar harvesting, as well as water and waste treatment options. Cooling and energy costs are also reduced due to energy-efficient panels, doors and lighting design. “One of our flagship solutions in the modular infrastructure range is Warehouse-in-a-Box,” says Arno Haigh, Managing Executive for Resolve’s Capacity. “Pharmaceutical warehouses are largely invisible to patients, but they are essential to ensuring that health commodities are available and maintained in good quality. Poorly constructed, maintained or managed storage facilities put products at risk of damage, diversion or expiry – all of which put health programmes and patient health in jeopardy.” Warehouse-in-a-Box has been deployed in Rwanda, Tanzania, Nigeria, Côte d’Ivoire and Ghana, with another in progress in Mali. Clinic-in-a-Box is another innovative design
produced by Resolve Capacity, and has been deployed all over Africa, including in Tanzania, Ivory Coast, Mozambique, Kenya, Nigeria and Rwanda, as well as South Africa. Two years ago, the solution won Resolve the Corporate Innovation Award at the 2015 SA Innovation Awards. Storagein-a-Box is another successful design, with over 200 deployed in Malawi for the country’s Ministry of Health. The configurations available for modular solutions are almost endless, and Resolve Capacity has designed Cold-Storage-in-a-Box, which offers pharmaceutical compliant cold storage solutions for healthcare providers, as well as various Community-in-a-Box options, such as school classrooms, libraries, community centres, and mortuary solutions. Staff living quarters can even be added to clinic and dispensary configurations. Containerised solutions are also part of the offering, and to date, Resolve has produced containerised clinics in South Africa, and laboratories in Namibia. In addition to job creation and local business development during construction, Resolve’s projects have made a significant positive impact on distribution networks in the regions where the units are deployed. They have also proven how the implementation of innovative thoughts turned into tangible products can have a significant and lasting impact on others. Once again it has been proven that dreams sparked by passion soon become a reality for all. Supply Worx 2018
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Workplace Safety: The Good, the Bad, the Annoying‌?
What is the first thing that comes to mind when you think of safety in the workplace? If you work in an industrial environment you probably thought of signs, rules and paperwork‌lots of paperwork.
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n the service sector, you may have thought of the dangers of incorrect posture, staring at a screen for too many hours or sitting at your desk. It has been proven that sitting is the new smoking. Regardless of the industry, this is not a topic that typically gets people excited. According to Jacob de Coning, Senior Consultant at JvR Safety, many companies do take safety seriously and this focus has indeed paid off. From mining to manufacturing, fatalities have mostly been dropping since 1994. However, many companies lament the fact that they are seeing a diminishing return from their safety efforts.
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“This leaves us with a fundamental question,” Jacob continues. “If companies are investing so heavily in this area, why are incidents still happening? This is a surely a question worth answering and most of us can agree that companies should be able to pursue their goal without harming people. Yet the curious case remains that people are often disengaged and, quite frankly, annoyed with the topic.” Somewhere, through all the efforts to improve safety, it has been forgotten that the very thing we are trying to protect is the person. “We attempt to engineer and regulate every possible interaction a person may have with risks in their environment, Jacob explains. “ While important, this approach has had an unintended consequence in that people have become so used to risks they are lulled into a false sense of security.” Reducing the need to think Through our over-emphasis on engineering and regulatory approaches to safety, we have reduced the need for a person to think about what they are doing. More frightening still, some companies seem to prefer it this way. As some employees may put it, “We get paid to work, not to think”. However, once an incident happens you are almost guaranteed to hear the ubiquitous “Why didn’t you think?!!” response. Possibly because that is exactly what we are training people to do. “It makes sense to control and remove risks where possible - hence the critical role of safety engineering,” Jacob states. “ It also makes sense to learn from best practice and entrench these as guidelines that different companies can follow. On top of this, it REALLY makes sense not to disregard a tool, that has been refined over several million years to efficiently handle input, adjust to its surroundings and which conveniently has a selfpreservation drive built right in – the brain.”
into machines to better enable them to deal with their environments; we are suppressing those same qualities in human beings. Jacob provides a few simple ways to promote safe behaviour among your team: 1. Allow people to think and make decisions. We have found that employees understand that they cannot be involved in every minute part of the business, however, they do want to have an input into the work they are doing. 2. Involve individuals in planning their tasks. Individuals like to know that what they are doing contributes to a larger whole. Involving a team in planning their work greatly improves the odds of them being committed to the goal. On a practical note, proper planning can assist workers to complete their tasks in a more efficient manner
Through using questions employees are immediately more engaged and it improves the chances of them thinking through their tasks, rather than just listening passively. 3. Use questions more than “telling”. Most safety conversations involve telling adults how to do their work, or what not to do. Moving from a “telling” mindset to using questions not only involves the person more, but ties into the structure of their brain to keep their attention. Through using questions employees are immediately more engaged and it improves the chances of them thinking through their tasks, rather than just listening passively.
“People want to do great work, to perform well on difficult challenges” Jacob concludes. Perhaps it is time to involve them in one of the most difficult challenges faced by the industrial world. Reaching our goals; continuing the march of progress It is quite ironic that at the time when we are placing ever more sensors and learning algorithms without losing people along the way. Supply Worx 2018
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Remote IT Support Services – the next big thing.
We’ve all heard about remote working – but what is remote support, and what does it mean for your business? “Put simply, remote technology support means having an IT professional log on to your computer from anywhere in the world to fix technical issues,” explains Colin Thornton, Managing Director of Turrito Networks and Dial a Nerd. “These professionals can also provide remote training in the same way.”
N
aturally, business owners might feel uncomfortable about trusting a stranger – who they may never have met – with their valuable technology and data. However, remote support provides a quick and costeffective way to address stubborn IT issues that are sometimes easy to solve. In addition, most remote support tools value data privacy and integrity as the most important aspect of their product.
By way of example, an IT firm in Finland had 90 percent of its technical issues solved remotely last year. More telling was the fact that 83 percent of the cases were solved within the hour, five percent within two hours and only two percent after a longer period than that. A service engineer had to visit the job site in only 10 percent of support cases.
Widely accessible Today, remote support is available and suitable for most business - from the nimble SME all the way through to the large multinational. Indeed, it is especially valuable for small to medium sized enterprises that cannot afford to have an internal IT team on hand 24/7.
More than just simple troubleshooting In addition to troubleshooting your standard computer problems, remote support can even address some printer and wireless issues. For example, if they are connected to a computer that already receives remote support, then these systems can be fixed as well.
“For the growing and time strapped SME, staying online is critical,” says Colin. “Remote support addresses this need by providing the business owner with immediate access to highly qualified IT professionals at all times, and at affordable rates.” Furthermore, by using a remote help desk, a savvy business is effectively tapping into the collective knowledge of all the technicians - as the call or link to your computer can easily be transferred to someone who has experience with the issues you are facing.
“In short, what might seem like a big problem at first can be solved either over the phone or through your Internet connection,” Colin enthuses. “A sound rule of thumb to follow is that unless there is a physical problem, usually involving smoke, fried electronics, or anything that needs replacing, most IT issues can be solved remotely!”
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What the Cloud means for you Given the proliferation of Cloud-based support today,
remote technicians can easily update software or install pro-active approach is a valuable preventative new versions on the computers of employees. Notably, measure - especially with technology lying at the this can be done at a time suitable for the business to core of business operations today. minimise the impact on business continuity. “Another major trend that is being embraced by Moreover, with so much scary press around larger organisations is to outsource their remote cybercrime and ransomware, business owners can support to a different country altogether,” adds Colin. rest easy knowing that these challenges can also be addressed remotely. An anti-virus or security IT support companies in countries like India and solution can be installed remotely, for example, the United States offer remote packages at very so there is no need to get expensive on-site low prices. Unfortunately, this could happen at technicians. the cost of quality and communication. The other challenge with this approach is that if you do need “Another key benefit of going the remote support a technician to come out and replace a part, these route is that you do not have to book an appointment overseas companies will in all likelihood not be with a technician,” says Colin. “It really is just a case of able to assist. This then results in you having to phoning or connecting to the help desk directly and find a support company in South Africa to come getting immediate access to a technician.” and do the actual on-site repairs, leading to more time lost and additional expenses. Proactive approach It is important to note that technicians can also “Remote IT support is something that every remotely monitor network usage and identify any business owner should consider,” Colin expresses. potential issues before they occur. A technician “There are significant times and cost savings to be can flag the problem and discuss any steps that had, in addition to efficiency and all round peace needs to be taken before disaster occurs. This of mind!” Supply Worx 2018
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privacy
Forsaking your
for ‘free’ social media apps
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Facebook, Twitter, Snapchat, Instagram… Chances are that most people are a user of at least one of these social media sites. However, when signing up for a social media account, most users are more concerned about which profile picture to choose, than about reading the seemingly endless terms of service document. And what they fail to realise is that by accepting the terms of service, they are effectively forming a legal contract between themselves and the social network in question.
Similarly, Facebook’s terms of service clearly state: “We collect the content and other information you provide when you use our Services, including when you sign up for an account, create or share, and message or communicate with others. This can include information in or about the content you provide, such as the location of a photo or the date a file was created. We also collect information about how you use our Services, such as the types of content you view or engage with or the frequency and duration of your activities.”
All social media sites will have similar terms of service, essentially giving them the right to use all the users’ shared and posted content, with zero t’s interesting how people are so concerned about liability to the network. “The average person would their privacy, but are essentially giving it away for be dismayed to discover that all these policies are free,” says Robert Brown, CEO of DRS, a Cognosec AB the same in essence, and they are giving the full company. “And once you are in the cycle of exchanging license to all the information you put into their your privacy for ‘free’ services, there is no getting out. service. You are effectively giving up ownership and People need to realise that there is no free lunch.” control of your personal data, messages, posts and He says unless the user is a lawyer, or a privacy pictures, to a company that will use that data for their own benefit,” says Brown. advocate, they will most likely just click the ‘agree’ button. “A few might give the terms a cursory scroll through, but almost no-one reads the fine print when Moreover, he says social media networks continually they register for these sites.” use your data in order for advertisers to become more effective target users. “Have you ever wondered why Originally privacy policies were aimed at protecting an advert for something you were recently looking the users, but this is no longer the case. “These days, for online suddenly pops up in your Facebook ads?” these policies, while not giving direct ownership of questions Brown. “Wonder no more. When you look the user’s data to the social network, effectively give at the permissions you granted Facebook when them a broad licence to use any of the data, be it installing the mobile app, you might be astonished to posts or pictures.” see you have given them the right to collect data from all devices on which you have the application, and Take Instagram for example. Under the ‘Rights’ are allowing it to collect data on the location of your section of its terms of service, it states: device, language, time zone and suchlike.” “Instagram does not claim ownership of any Content that you post on or through the Service. Instead, Ultimately, he says people need to be far more you hereby grant to Instagram a non-exclusive, fully circumspect about the permissions they give, the paid and royalty-free, transferable, sub-licensable, terms and services they accept, and most importantly, worldwide license to use the Content that you post the information they share online. “These sites track on or through the Service, subject to the Service’s your every move as a means to promote goods and Privacy Policy, available here http://instagram.com/ services in a very targeted way, concludes Brown. “ Solegal/privacy/, including but not limited to sections called ‘free’ services can only exist by monetising their 3 (“Sharing of Your Information”), 4 (“How We Store data, and selling advertising. They are not free. People Your Information”), and 5 (“Your Choices About Your are paying for these services with their personal Information”). You can choose who can view your data, and ultimately their privacy. Personal data has Content and activities, including your photos, as become the de facto product, and alongside it, the described in the Privacy Policy.” privacy itself.”
“I
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UNDERCOVER INVESTIGATOR
?
manage risk from the inside out
?
Many businesses focus their loss control strategies on preventing unwanted elements from getting in from the outside. While this is certainly an important step in securing assets and minimising risk, what if the truly dangerous element has already made itself comfortable within the operations of the organisation?
I
n financial management, internal audits play an integral role in ensuring the financial stability and integrity of the organisation. Similarly, savvy businesses should expose themselves to an internal auditor of a different kind – the undercover investigator.
“If conducted correctly, these investigations become the cornerstone of the loss control
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portfolio,” advises Kyle Condon, Managing Director of D&K Management Consultants. “The successful deployment of well-trained and experienced undercover agents is the single most effective company security tactic.” To Condon, the undercover investigator serves to manage risk from the inside out – in a consistent manner. “The innermost workings of the business
investigation services are a fantastic way to identify weaknesses in company policies and operating procedures,” states Condon. “If these policies are not ‘audited’, chances are that you may not ever know where the real issues lie. With a consistent presence, the investigator continues to protect the business in real-time, rather than reviewing what went wrong after the fact. This creates a proactive loss control strategy.”
? OR OR
In addition to risk mitigation, undercover investigations offer various advantages. From the development of accurate security budgets and strategies (including elements such as cameras, manpower, policies and procedures, employment processes, etc.), to the identification of wasted resources, or unethical employees – having an agent on its payroll gives the business access to essential security and operational information. Undercover investigation services should be introduced into the client’s workforce. Investigators are deployed as everyday workers or contractors, as would be the case for clients’ routine recruiting procedure. Within a short space of time, the right investigator would have integrated him/ herself amongst the rest of the employees.
? can be seen as the core of an onion. While the outer layers of security prevent threats from getting in, the investigator placed at the centre of the operations ensures that those already at the core are not putting the business at risk,” he continues. Undercover investigators are not only useful for theft or loss investigations but also offer valuable insights as deployed auditors. “Undercover
Condon provides four key tips for ensuring the undercover investigator remains impartial and effective: Rotate the investigator every six months. Place them in different sectors or departments to get a full view of the business’ operations. Place them strategically to combat crime, taking the guessing out of the game. Use the intel they provide to assist in creating accurate and impactful policies and procedures. While the undercover investigation services are in progress, information is passed on to the client directly. This should happen on a weekly basis. “The weekly reports enable the investigation firm to formulate graphs and provide analytics that will clearly show trends and patterns of the various associated risks,” concludes Condon. Supply Worx 2018
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The evolving role of the
ICT outsourcer As an increasing number of organisations become more ambitious with their Cloud migration strategies – in some cases moving hundreds or thousands of applications to hosted platforms – the traditional role of the ICT outsourcer is rapidly evolving.
“C
ontrary to what many in the industry are saying, ICT outsourcing is certainly not dead,” states Sonja Weber, Lead Delivery Solution Manager at T-Systems South Africa. “But technology players are being forced to add value in new ways, pushed to operate at a more strategic level.
While hyperscale Cloud OEMs provide many of the essential infrastructure and services that an organisation needs, local technology partners play a crucial role in guiding clients on everything from governance, compliance, security, and the management of costs. The accessibility of Public Cloud environments certainly creates phenomenal opportunities for
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digital transformation, but (if migration is not managed incorrectly) can also open up a number of risks and significantly inflate costs. “Consider for example, dozens of different departments or business areas procuring licenses, services and capacity from Cloud platforms, creating new company profiles, and using various credit cards to buy these services,” Weber notes. “It’s an administrative nightmare for CIOs, as they scramble to control the various Cloud services that a business has purchased, to understand potential security vulnerabilities, and get a grip on just how much is being spent. The problem often described as ‘shadow IT’ has become a huge, ugly monster in the Cloud era.”
‘Wild West’ scenario In the worst cases, this fragmentation of a firm’s Cloud services creates a wide range of problems, including the likes of: Information security risks; Inflated costs; Governance concerns and audit failures; Regulatory and compliance breaches; Loss of control and coordination of digitisation strategy; Business downtime and risks due to lack of support and business continuity plans; and Reputational damage – if services are insecure or unavailable. To help deal with this issue of reckless, ungoverned and fragmented Cloud subscriptions, the modern ICT outsourcer must evolve its role. It’s no longer a case of merely articulating the benefits of Cloud platforms and tactically helping to migrate applications, but rather about designing strategies – helping the client to manage, simplify and extract maximum business benefits from the Cloud. According to Weber, progressive outsourcing players are pivoting towards providing these kinds of executive consulting services that guide the organisation’s Cloud strategy, in the context of the overall business vision. In fact, this is especially relevant when we consider that many large firms are operating multiple Cloud environments, each one appropriate for different needs. The outsourcer should be orchestrating all of these Clouds, aligning each environment with a high-level strategy.” New areas of focus There are a number of other ways that ICT outsourcers should be evolving to help their clients capture the greatest Cloud advantages. Perhaps the most important of these is applying firm rigour and discipline to compliance matters – ensuring continued compliance with new incoming legislation like GDPR and POPI, addressing any data sovereignty issues, and anonymising and protecting sensitive data in the most secure manner.
With deep sector-specific knowledge, ICT outsourcers will be able to confidently guide and implement Cloud strategies that give clients strong levels of assurance, and then remain closely involved to ensure continued compliance in the future. “Unfortunately, too often an organisation will wait for a negative audit finding before truly addressing governance, risk and compliance requirements,” reveals Weber. “By bringing established discipline to the Cloud strategy, ICT partners can not only guide their clients on what to migrate (and when), but also help them to mature and reengineer their business processes for the Cloud era. They’ll be able to provide guidance on when additional bandwidth and other infrastructure is needed, and when additional systems and controls should be added to secure one’s data, for instance.” With every organisation having unique needs and walking its own, unique Cloud journey, it’s also important for outsourcers to play an active role in co-developing new services with Cloud providers, all within the ambit of clear standards and certifications. With all this being said, it’s worth noting the root cause of Shadow IT, of ungoverned Cloud subscriptions across the organisation. Generally, this is driven by a sense of urgency – as business heads want to quickly rush services to market, worried they will start lagging behind their peers. “Without some form of central coordination, this can pose huge risks,” Weber concludes. The onus is on CIOs and their technology partners to create compelling Cloud strategies that address (with speed and agility) the needs of all business stakeholders.” It’s time for local outsourcers to step-up and evolves from being a simple supplier or broker of services, towards a digital partner that truly understands their client’s business and brings a depth of experience to the table. Supply Worx 2018
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Putting Plastic
to good use
Owl Rescue Centre, a registered non-profit rehabilitation facility concerned with the well-being of all owl species in Southern Africa, has come up with a genius use for recycled plastic that benefits the birds as well as raises funds for a much needed cause.
T
he organisation’s founders, Brendan and Danelle Murray recently decided that, moving forward, all Owl Rescue Centre conservation products, including owl houses, bat houses and bee hives would be manufactured from recycled plastic instead of wood.
“This year we decided to implement a new and ground-breaking approach to environmental management, giving special attention and focus to plastic waste,” says Brendan.
for free and, when the bag is full, send a Whatsapp for free collection and a replacement bag. “Plastic waste affects all the world’s oceans and seas and very little effort is currently applied to this matter in South Africa,” says Danelle.” With a believed 8.8 million metric tons of plastic waste that is dumped in oceans each year, widespread harm is caused to the marine environment.”
“This project will extend to an ocean clean-up mission and the acquisition of a sea-going vessel is on the agenda. We aim to recycle six-hundred tons of plastic per year, making this a feasible environmental project.”
“This is our project - to try and reduce plastic waste and we hope the public will support us as it will not only go some way towards helping our precious environment but at the same time, it provides housing for our rehabilitated owls, Brenda concludes.
To this end the Murrays have started a scheme whereby members of the public can purchase a large plastic recycling bag for R199, delivered to your door
To purchase an Owl Rescue Centre Recycling Bag at 199 each, email info@owlrescuecentre.org.za or go to www.owlrescuecentre.org.za/Our-Projects/
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“Clean water?” “Clean water?”
“Infrastructure!” “Infrastructure!”
DeliveringDelivering sustainable sustainable infrastructure infrastructure that that improves improves our world.our world. “DOING GOOD “DOING WHILE GOOD WHILE DOING BUSINESS” DOING BUSINESS”
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