Edge Magazine May 2016

MAY 2016 Kshs. 300 / Ushs. 9000 Tshs. 6000 / RWF. 2200

INSIDE BIMAS IMPACTS LIVELIHOODS THROUGH RESPONSIBLE FINANCING SAY HELLO!!! AND ORDER YOUR FOOD ONLINE CHAMASOFT BY DIGITAL VISION EAST AFRICA EVA SLOOTWEG: TAKING BRIGHTERMONDAY TO GREATER HEIGHTS

LAWRENCE KAMANDA ADVANTA AFRICA CEO TALKS OF STARTING UP AN IT COMPANY, CREATING A BUSINESS NETWORKING FORUM AND OPTIMISM TO RUN A VIRTUAL MOBILE OPERATOR IN THE NEAR FUTURE

REDEFINING DIGITAL EXPERIENCE

Your Fi

rtner Pa

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s

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ial Serv ice nc

BIMAS

VISION “To be the leading microfinance institution in Kenya”

OUR PRODUCTS »Business loan »Micro-insurance Loan » Health Loans » Education Loans »Women Loans »Group Project Loan »Dairy Loan

»Investment loan »Group Loans »Tank Loans »Development Loans »Savings »Afya Bora » Maji Kilimo

MISSION

“BIMAS exists to offer innovative financial and non-financial services to rural economically productive poor for sustainable wealth creation”

»Consumer loan »Solar Loans »Youth Fund loans »Emergency loan »Agri- business Loan »Agribusiness

At BIMAS We’ve Got Your Back OUR BRANCHES Embu office Tel aviv plaza near urban primary school next to neema plaza 0720211623 Nairobi office Enkei center-ngara same building with KCB 0788410342 Nakuru office Uchumi house next to Tuskys supermarket 0721616273

Nyahururu office Mbaria plaza 0715576414

Nkubu office Kariigi plaza 0723793050

Kiambu office Geoma house opp Equity bank 0720738343

Masii office Peter Mulei building 0728390916

kitengela office Gate house next to gate petrol station 0714360403

Kerugoya office Opposite FEP 0727873985

Meru office BIMAS House Opp Barclays bank 0720738343

Emali office Next to post office 0727102359

Makueni office Double K Plaza 0723817142

Kiritiri office Jodi enterprises building 0723110989

Chuka office Nthiga plaza next to KPLC 0724229395

Tala office Fiona complex next to KWFT 072368855211.

Nyeri office Peak business centre 072816077818

Mikinduri office Mwimbi building 0721945955

Marimanti office Next to knut office 0722960709

Kitui office Fena house near mosque 0723418921

Mwea office Next to coop bank 0715576414

Maua office Next to forester fashion 0721623434

kibwezi office Tarabu house 0720046147

Thika office Biashara plaza opp Equity plaza 0775277978

Machakos office Kinyali building behind equity bank 072881215723.

Nanyuki office behind IBIS HOTEL. O725681446

Mwingi office Kasina house 0720382814

Matuu office Free market store 0714396224

Murang’a office Muguma building next to Barclays bank 0702716323

Laare office Opp Kampala house 0701623622 Kasarani- pivoli heights building .opp PCEA kasarani church Loitoktok-Next to metropolitan Sacco Limuru- Next to metropolitan Sacco Siakago-Muriuki building Opp peko petrol station

HEAD OFFICE Bimas plaza|off shell petrol station Manjego area,behind Chief Camp (Embu) Po Box 2299-60100 Embu | Tel: +254 068 31645 Wireless: +254 020 3570169| Fax: +254 068 31645 Email: info@bimaskenya.com Website: www.bimaskenya.com

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Content

20. ADVANTA AFRICA RIDES ON

TECHNOLOGY TO REDEFINE DIGITAL EXPERIENCE

EDGE FOCUS 14. TECHIE Digital Vision East Africa, a leading regional financial technology firm revolutionizes clients’ experience through its innovative services, key among them being Chamasoft.

16. YOUNG AND ENTERPRISING 20 year-old June Syowia is a true definition of an ambitious millennial. Her desire to make society a better place, and passion for entrepreneurship has seen her establish two companies and a charity organization

MANAGEMENT AND OPINION 18. EXECUTIVE TALK Eva Slootweg: Taking Brightermonday To Greater Heights

18.

EXECUTIVE TALK

MAIN STORY

4. HEAD START 6. QUOTABLE QUOTES 7. MAIL 8. BRIEFS 12.PICTORIAL

22. ADVANTA AFRICA RIDES ON TECHNOLOGY TO REDEFINE DIGITAL EXPERIENCE

Lawrence Kamanda, Advanta Africa CEO talks of starting up an IT company, creating a business networking forum and run a virtual mobile operator in the near future.

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Content

OPINION 26. MEDIA AND PUBLISHING Investing in knowledge will cure many of our ills.

28. CREATIVE SELLING

YOUNG AND ENTERPRISING 16.

Five lessons in selling from a hawker

30. CUSTOMER SERVICE

An organization is only as good as the people who work there. A culture of service excellence must be developed and entrenched to ensure customer loyalty.

32. ENTREPRENEURSHIP Some micro, small and medium enterprises do not live long enough to celebrate their first birthday

34. HUMAN RESOURCE The reason behind your decision will determine whether it will add value to your career and life in general

SME FINANCING 36. With a clear understanding of the overall SMEs credit market and the financing gap that needs to be addressed, Real People banks on its innovative product delivery to fuel the growth of small businesses.

44.

46. HOSPITALITY

ARTS & INDUSTRY

WOMEN OF POWER 38. Parinaz Firozi explains her

responsibilities at the leading online shopping platform and what accounts for its successes. dreams to reality.

HEALTHY LIVING 40. Reflecting on Wellness‌is there a formula to adoption of a healthy lifestyle?

ARTS & INDUSTRY 44. Seth sketches his way to success

HOSPITALITY 46. Say Hello!!! And order your food online

40 HEALTHY

LIVING

BOOK REVIEW 48. Ghana must go

BOOK REVIEW 48

Managing Editor Sylvester Okumu sylvester@edgemagazine.co.ke

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Business Development Manager Murrel Aluoch Marketing Executive Nelly Wambui Operations Washingtone Terry

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Head start

4

Head Start

Stories That Matter

H

ot from the Press, the current issue of Edge Magazine is professionally packaged with an array of incisive stories that will definitely whet your reading appetite. Our content creators, have not just put into perspective answers to the 5 Ws(Who, what, when, where and how), they have gone an extra mile to give fresh breath to stories.

For instance, Eva Slootweg, CEO extraordinaire of Brighter Monday shares the two sides of her story: professional journey and personal experience that have steered her to the helm of the prominent career portal. The executive, you will later learn, helped to establish Brighter Monday Career Centre that prepares their clients for the job market by nourishing them with career advice and tips from human resource experts.

Moving ahead, you will discover how Digital Vision East Africa, remains the regional king in the provision of web based solutions, content applications and technological innovations. The firm, betting on creativity and technology, has developed a revolutionary financial management solution, dubbed chamasoft, for investment groups(or chamas as they are popularly known in Kenya).

Lawrence Kamanda, Advanta Africa’s CEO and founding manager, gracing our cover story, takes us through his entrepreneurial journey, whose peak was the launch of an information technology company, which provides a range of digital solutions such as web designing, bulk SMS services and mobile application development.

Is there a formula to health living? Is there any need to set up wellness programmes for employees? What are the focal concerns in wellness living? Our columnist, Mary Njeri Wanjau, the founder and chief executive of Wanbeat Wellness centre Ltd has answers for these questions.

In our e commerce segment, we feature Jumia Kenya, an online shopping company that won the ‘New Retail Launch of the Year’ at the World Retail Congress in 2013. Parinaz Firozi, the firm’s CEO, explains her responsibilities at the online shopping platform and what accounts for its successes.

Art enthusiasts have not been left out, Seth Sketch− a celebrated self taught Kenyan cartoonist/illustrator/ graffiti artist shares the story of his life.

For these and many more exciting stories, turn the pages.

Ibrahim@edgemagazine.co.ke

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6

Quotable Quotes

Mbugua Njihia “I have always believed in the nascent creative capital that is to be found in Africa; I’m honoured to be part of the process of seeing Africa become a net producer of value.”

Mbugua is an entrepreneur with over 14 yrs experience in web and mobile industry. He’s been instrumental in the set up and operations of some of the regions inaugural and most visible value added services. He is an alumnus of the London School of Economics and Political Science. Mbugua sits at the helm of Symbiotic Media, his brainchild and a leading mobile value added service company in East Africa. He is a founding member of the Mobile Marketing Association (EA) and the founding chairman of Mobile Monday (Kenya).

He has held leading positions in Sure Telematics (his company), Wingu Technologies, MedAfricaand Safaricom Innovations Board.

Helen Njuguna

“Tenders Kenya offers a digital, cost effective and efficient channel where all entrepreneurs and more so the youth in Kenya, can access all procurement opportunities.”

Helen is the co-founder of Tenders Kenya, the country’s leading tender site. She holds graduate degrees in Economics from Moi University and a Masters in Population studies from the University of Nairobi. At a tender age of 26, she has extensive experience in nongovernmental organizations with regards to women economic empowerment, policy advocacy and lobbying. She is an ardent believer in promoting equality of education, especially among young girls as a tool for socio-economic prosperity. In 2015 she was recognised by Business Daily Africa for her role in procurement as one of the top 40 under 40 women in Kenya.

Jakson Biko

“I love music, food, travel, children, cars, gadgets, whiskey and watching someone hulahoop. There is something defeatist about that thing, like a dog trying to bite its own tail.

But more than loving all the aforementioned, I love to write about these things.”

Commonly known as Biko Zulu, he is one of the most popular Kenyan creative writers.

He writes for Business Daily, True Love, Yummy Magazine and The Saturday Nation.

He is also the editor-at-large of Safaricom Foundation’s Msingi Magazine and Msafiri magazine. He started blogging in 2009 and has been awarded Best Creative Blog in the annual BAKE awards for three years in a row. In 2015, he was feted among the top 40 under 40 men in Kenya by the Business Daily Africa for his writing skills.

Rachna Patel

“I love the kind of business we are in because we are able to impact large numbers of people by giving them access to renewable energy.”

Rachna is a trained lawyer and social entrepreneur. At 31, she is the managing director of Solar Kiosk−a social enterprise that sells solar-powered units in dukas/Kiosks in rural areas. The solar kiosks allow owners to operate their business a few extra hours into the night enabling them to generate more income for themselves and their families.

She has been recognised for her work in empowering communities and won the German Siemens Stiftung Innovation award. Currently, her firm has supplied about 18 Solar Kiosks in upcountry Kenya creating employment for the owners.

Letters Dr. Jennifer Riria; archetype of a visionary leader One of the key roles of leaders is inspiring their followers to greatness. That is the only way that not only brings change to the organizations they serve, but also to the people and the society at large. This is what differentiates visionary leaders from the rest. Anybody could agree that Dr. Riria’s leadership attributes are remarkable. Her commitment to serve, inspire and empower youths through education and women financially are what any leader in this twenty first century should emulate.

We need leaders who subscribe to ideal values in the society.

Clement Mwaura Nairobi.

Rewarding employees is valuable to your company Employees are one of the most important assets in a company. Researchers have evidenced that motivating employees results in increased productivity and profitability of a company. Motivated employees tend to do their best and complete their tasks with little or no supervision. However, it is worth noting that in addition to monetary rewards, engaging your staff, listening to them and providing

training are other ways employers should consider.

Ann Muraya, HR Officer, Mombasa.

Kenya a hotbed of innovation In the recent years, the rate of innovations in the country has grown tremendously. This was especially evidenced during the global entrepreneurship summit when thousands of entrepreneurs (particularly the young) had an opportunity to showcase their work to the public. Ovin Awitty and George Kilibwa move to create an App that tracks schools children whereabouts is just a drop in the ocean of the number of young innovators who are not only trying to help the society, but also create employment. I think the government should support such innovators, as that is the only way it can reduce youth unemployment in the country.

Patrick Ochieng Kisumu

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8

Briefs

L-R) Sabine Bauchau, (Marketing Director Africa Moneygram), Daniel Kivuva Dagoretti High School,Salome Karige The Kenya High School, Rosemary Githaiga (Company Sec. Co-op Bank).

MoneyGram and Co-op Bank Collaborate to Provide Education Scholarship to 350 students

A

mentorship program facilitated

by Co-operative Bank of Kenya Foundation and sponsored by the MoneyGram Foundation benefit 350 underprivileged high school students countrywide. The program was expected to boost the students’ academic performance, help them make better career choices, and give them the skills to succeed in university and beyond. The program was launched in countrywide workshops.

The mentorship program funded by MoneyGram Foundation through a grant of five million Kenya shillings was facilitated by Kenyan entrepreneurs, university students and social workers

in one week. The week-long workshops were held in seven regions around the country, and targeted form three students from each region. The 350 students were selected based on performance. They are the top performers in the current scholarship program run by the Co-op bank foundation.

“I would like to thank the Co-op Bank Foundation and MoneyGram Foundation for their generosity. Investing in future entrepreneurs, doctors, lawyers, journalists, marketers, captains of industry - and anything else that we endeavor to become - will go a long way in not only helping our families and communities, but also creating a more prosperous nation. We look forward to putting into practice all that we

will learn in these workshops.

We also promise to make you proud,” said Salome Kagumu, Kenya High School student.

Currently the Co-op Foundation has reached over 3000 students by paying school fees in secondary schools across Kenya.The Co-op Foundation has also reached an additional 140 students in various universities. The Co-operative Bank of Kenya has allocated over Ksh 600 million from the banks’ profits towards increasing access to good education for needy children since 2007. “(Inspiring minds and improving lives is the mission ofthe MoneyGram foundation) The MoneyGram Foundation believes that education is at the heart of better economic opportunities, healthier families, and individual freedom and empowerment.

That is why we are supporting the Co-operative Bank’s mentorship program. We

are proud and honored to help improve the quality of education for so manychildren across Kenya,” said Jacqueline Lowe, President of the MoneyGram Foundation.“We are inspired by our customers who aredriven to create new and better opportunities for themselves and their families” “At the Co-operativeBank Foundation, we believe that education is a potent catalyst that can change an individual, a society, a country and a generation. Education not only empowers the mind but it also gives you the key to unlock the golden door of freedom. Freedom to become whatever you wish to be, freedom to dream, freedom from poverty and the freedom to create opportunities for yourself and many others,” said Rosemary Githaiga, Company Secretary,Co-operative Bank of Kenya.

About Co-operative Bank Foundation Co-operative Bank Foundation was established in 2007 as a registered trust in recognition of the need to enhance the existing Corporate Social Responsibility (CSR) initiatives by the bank.

Co-op Bank Foundation has provided Scholarships for bright but needy students from all regions of Kenya. The sponsorship includes; fully paid secondary education, full fees for University education, Internships and career openings for beneficiaries.

Currently Co-op Foundation has reached over 3000 students with school fees in secondary schools across Kenya and an additional 140 students in various universities with over Ksh 600 million allocated for the purpose from the banks’ profits since 2007.

character in a manner that prepares students to contribute effectively in an increasingly technological world. The university’s vision is to be a premier institution of academic excellence with a global perspective. USIU-Africa’s programs are accredited by the WASC WASC Senior College and University Commission of United States and by the Commission for University Education (CUE). This dual accreditation guarantees quality global education and transferability of credits from USIU-Africa to any university in Kenya, USA and the rest of the world.

African Excellence Awards Jury member Kevin Welman presents the African Excellence Award in Science and Education to Jane Muriithi-Thomas, USIU-Africa Head of Marketing & Communications.

USIU-Africa recognized at the 2015 African Global Excellence Awards

U

nited States International University-Africa was recognized by the African Excellence Awards 2015 for their PR and Communication Strategies. USIU-Africa was awarded most outstanding in PR and communications in the Science and Technology category in Nairobi,.

The 2015 African Excellence Awards, held for the very first time in Africa is dedicated to recognizing and honoring outstanding achievements in the field of PR and communications. It recognizes organizations that have made extraordinary achievements in

the industry and the activities undertaken to promote and expand their PR and Communication strategies.

“The award is a source of great pride to our institution, it highlights our dedication to achieving global excellence in all aspects as we become the first University in Africa to win an African Excellence award in the PR and Communication category , ” said Jane MuriithiThomas, Head of Marketing and Communications.

The judging panel, which is made up of a selection of individuals highly regarded as experts in the field of communications and public

relations and received 2,600 applications around the globe.

The USIU-Africa campaign dubbed ‘Experience USIUAfrica’ stood out as one of the most strategic campaigns whose messages stood out clearly, over a sustained period and on a limited budget.

“Your project has been recognized by our distinguished Jury as one of the most outstanding PR and communications cases in your region over the last year,” said African Excellence Awards Communication Director, Rudolf Hetzel as he congratulated USIU-Africa Marketing and Communication team.

About USIU-Africa USIU-Africa’s mission is to promote the discovery and application of knowledge, the acquisition of skills, and the development of intellect and

About African Excellence Awards 2015 The European Excellence Awards have been celebrating the achievements of communication professionals for the past nine years and is a leading player in Europe. As these sectors have witnessed a rapid global development in recent years, we at Communication Director Magazine want to take the Excellence Awards to the global level, introducing the Excellence Awards in AsiaPacific, Latin America, Africa and North America at the same time.

The Excellence Awards are hosted by Communication Director, a magazine for global decision makers in corporate communications, PR and public affairs. Distributed around the world, Communication Director features articles by and interviews with the very top in the international communication profession as well as high-ranking academics and other established thoughtleaders.

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10

Pictorial

Lawrence Kamande and Peter Muraya during a Biznet Circles braekfast meeting.

Co-operative Bank MD & CEO, Dr. Gideon Muriuki (center), presents a token of recognition to Daniel Otieno (left), second best overall student among the 2013 Co-op Foundation students, during the foundation’s university and vocational internship program induction. Looking on is Mrs. Rosemary Githaiga (right), the Bank’s Company Secretary.

Carole Kariuki,ceo, KEPSA and Agatha Juma, head of public private dialogue at a media briefing.

Networking at Biznet Circles.

The Co-op Foundation team.

Victor Ogalo, head of reseach KEPSA, Carole Kariuki, ceo and Agatha Juma, head of public private dialogue addressing the media.

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12

The Techie

Chamasoft: A Financial Management System For Progressive Investment Groups/ Chamas Digital Vision East Africa, a leading regional financial technology firm revolutionizes clients’ experience through its innovative services, key among them being Chamasoft.

D

igital Vision East Africa is a regional leader in the provision of web based solutions, content applications and technological innovations. Based in Nairobi, the firm begun its operations in 2005, under the leadership of Martin Njuguna−a computer science graduate from the University of Nairobi.

Starting from a humble beginning, it has grown in leaps and bounds to establish a footprint in its line of business. Currently, the firm has amassed a wealth of experience in designing and developing business focused web solutions for a number of first-rate companies and institutions across the continent. It has further cut a comfortable niche as a customer-centric firm that seeks to assist organizations to leverage on ICT platforms in order to achieve their aspirations.

Wide clientele base The company has worked with various institutions, both private and public, assisting them in realising their business objectives. These include clients from diverse backgrounds such as finance, health, education, insurance, law and entrepreneurship among others.

Part of the team behind Chamasoft.

Njoroge attributes the firm’s overall success over the years to the core values that are instilled within the team, namely: innovation, customer excellence, visionary partnerships and shareholder value. “We believe that we exist to serve our customers and do it right all the time. We are also constantly improving our services and products,” he explains.

Chama Administrator Dashboard Chamasoft Demo Account.

He adds, “Between 2006 and 2013, we concentrated on providing customised web solutions for clients. We however restructured to focus on a new array of digital solutions such as financial technologies and other ranges of emerging clients’ needs.”

Chamasoft It is against this backdrop that Digital Vision East Africa developed a revolutionary financial management solution for investment groups, Dubbed Chamasoft, it assists members of investment groups to automate all their group operations including fund management, record management and event management. Chamasoft is available as a web application. Groups register themselves by visiting www.chamasoft. com , and are offered 30 days free trial.

“Chamasoft comes with a summarized dashboard for groups. From here you can get a feel of how your Chama group is doing. You get to see total bank summary, total contribution summary and total expenses. You also see visual representations of report summaries that include bar charts and pie charts of income,

expenses, deposits and withdrawals .The dashboard is insightful and simple to use. It has an attractive sidebar navigation to give you an easy access to various sections of the application,” says Njoroge.

Features Chamasoft has specialised features that enhance operations within an investment group. A financial management feature, which is the backdrop of the solution, helps in preparation of invoices, calculation of penalties and alerts of members pending payments as per the agreement/ constitution of the group.

There is also a communication tool via SMS and email notifications that is sent to all members within the group. Group owners can also create new events for their members through a short description, theme, time and occurrence. Each member will be notified through SMS/emails. As a cloud based system, it also allows members to store files and information that can be accessed at ease when need arises.

Njoroge also explains that all these activities can be tracked. “This is in terms of participation, member contribution, duration of membership and the responsiveness to group activity. The

system displays on request an overhaul of member’s participation and contribution.

The period of membership is also displayed below the member’s personal details.”

He further says that the product has been well-received since its inception. Currently, a third version of Chamasoft is under development.

“We target chamas or investment groups with young to middle-aged individuals who are tech-savvy. Our pricing are competitive as it costs about KShs 700 per month to use the product,” avers Njoroge.

Challenges Despite operating successfully, the executive points out a number of challenges that have stifled their growth, key among them being the exorbitant cost of developing robust IT solutions.

Outlook Chamasoft, reveals Mr. Njoroge, is committed to strengthening its footprint in Chamas and investment groups. “We strive to revolutionize the whole experience of digital solutions and are optimistic that the future will be welcoming,” he concludes.

You can access www.chamasoft.com

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14

Fintech

We Finance SMEs Without Collaterals Umati Capital, a specialist fintech provides supply chain solutions to SMEs

O

ne of the key hurdles that stifles SMEs growth during their formative years is lack of operational capital. They often run into financial hardships as most of their clients do not pay promptly for services rendered.

Umati Capital set out to rewrite this narrative by offering financial support to SMEs without need for collateral as mostly demanded by mainstream banks.

Umati Capital was founded in 2013 by Ivan Mbowa and MunyutuWaigi. The co founders believed there is a better way of funding SMEs by providing them with non-collateralized capital which unlocks cash to grow their businesses.

“I met Waigi in 2012 and thought we could combine our experience in finance and technology to help bridge the credit gap in Kenya, more so in the agricultural sector which was underserved,” recalls Mr. Mbowa.

Mr. Mbowa who had just left his job as the assistant vice president wealth management at Citi Bank said it was scary at first. “We were faced with introduction of a new concept that has never been tested before in the market. So we had to try and convince clients that it’s a viable concept and can work.”

Together, they contributed a seed capital of KShs 4 million. He says the money was used to lent out to customers and manage their operational expenses at the time. Ever since, the company has made key progress overcoming the prospects that were not welcoming.

Mbowa worked with Citi Bank for 8 years across Africa in Uganda, Kenya, South Africa, Nigeria and Ghana. Hehas a wealth of experience in credit risk management, investment and finance. Munyutu on the other hand is a tech-preneur. He cofounded internet start-up, Rupu, listed as one of Africa’s top tech start-ups by Forbes Africa in 2012.

Mr. Mbowa says they created a platform that leverages on technology where SMEs can access credit through an invoicefinancing model based on a tripartite agreement.

How does the system work?

The company enters into a three-party agreement with an SME (supplier) and a client (retailer) who buys their products/ services. Through the agreement, it advances credit to the supplier up to 80 per cent of the value of the shipment based on the contract with the retailer on condition that the retailer agrees to pay full amount of the invoice to Umati Capital’s account.

On the other end, Umati Capital can also advance credit to the retailers to pay suppliers on agreement that the retailer will pay back. Through this, it services both ends of the business needs.

Mr. Mbowa says the institution uses technology to provide credit in a faster, reliable and flexible way. For instance, it has both web-based and mobile applications that dispenses funds within 24 to 48 hours and issues digital receipts.

“We are pleased to have developed a model that helps stakeholders in the agribusiness access financing without worrying about collaterals.”

Since setting up shop three years ago, the institution has gained recognition for its revolutionary and efficient way of financing especially in the agriculture sector.

Underserved sector “We see a great opportunity in the agricultural sector which contributes USD 16.6 billion to GDP. However, the sector has a credit gap of USD 1.8 billion unserved by

Ivan Mbowa during a signing of a partnership with trade investments hub.

traditional financiers. We want to bridge this gap and increase the productivity of smallholder farmers,” offers Mr. Mbowa.

The institution’s successes in the dairy industry attests to this. It’s in partnership with Eldoville Dairies, which was among its first clients to pay off their suppliers. “They have a large pool of farmers who supply milk to them on a daily basis. We agreed to finance their suppliers as they await their payment, allowing them to access operational capital.”Umati Capital saw the need and extended its services beyond dairy farming to macadamia, cashew nuts and exported cash crops and vegetables such as French beans.

Mr. Mbowa is confident with the niche that the institution has cut in the market. “We are now faced with challenges of scaling up the business because we are a small team and most of our clients are spread out in the country. We want to strengthen our capacity here in Kenya before expanding to other countries,” he reveals.

Important facts • Umati Capital clients typically include agribusiness suppliers of large businesses who have to wait for months to receive their payments.

• For a trader to receive credit from the

firm, one needs to have a valid and current supply chain contract with retailers or manufacturers in Kenya and an invoice worth Ksh100,000.

• We loan our clients up to 80 per cent of the invoice amount at an interest rate of between 1.8-2.5 per cent per month. Once the retailer or large manufacturer pays the full amount to Umati, the company pays the SME’s their remaining 20 per cent.

• We process the loans within 24 hours of the supplier presenting their invoice to us.

• We use a suite of mobile and web technologies that help our clients automate their supply chain management and enables us to finance your suppliers. The mobile technologies record purchases for accepted produce and issue electronic receipts. Web applications are used to monitor collection, analyze quality and prepare supplier payments.

• African Trade Insurance Agency has insured Umati Capital risks hence enabling Umati to provide non-collateralized loans to their clients.

• 64, 000 end user farmers have benefitted from our financing.

• Umati Capital is headquartered in Nairobi and we employ a team of 12 individual full time employees and 2 consultants.

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16

Young And Enterprising

Young And Enterprising

Bold, Beautiful And Brainy!

20 year-old June Syowia is a true definition of an ambitious millennial. Her desire to make society a better place, and passion for entrepreneurship has seen her establish two companies and a charity organization. She shares her challenging but intriguing journey with Jenny Nyawira.

A

t 20 years, June Syowia is on top of her game. She is the chief executive officer of not one, but two fast rated companies - Beiless Digital and Syowaks limited. She is also the lead consultant to a charity organization in her home estate Dandora. The initiatives saw here feted in the Top 40 under 40 women in 2015 run by Business Daily Africa, the youngest among all nominees.

At her tender age, the enterprising lass has achieved what many of her peers can only dream of. While her peers are busy engaged with social life in campus, June is busy juggling between work and studies.

A third year economics student at the University of Nairobi, she says she spends an average of three hours on any given day in class, leaving her with ample time to focus on her enterprises.

Unquestionably, June is the model of a young girl who is not shy to rise above hurdles regardless of where one comes from. She overcame the stereotype of a ghetto child and rose above her peers in pursuit for greater success.

A resident of Dandora, which has the largest dumpsite in Kenya’s capital, the young executive says she has lived to witness high levels of insecurity, drug abuse, youth unemployment, pollution and all the social debacles within a ghetto lifestyle. “Such lifestyle has motivated me to change and create a positive impact in my community and the society at large,” reveals June.

Social good She met a friend in 2013 and decided to start a community based organization that would change the narrative of Dandora.

The idea was borrowed largely form

Kenya’s Nyumba Kumi initiative and socialism/Ujamaa village in Tanzania, where her friend had resided. “Our objective was to mobilize the youth for social good, cleaning the environment in return and create job opportunities for them.”

entrepreneurship nuggets into me.” Later in campus, at one time she sold mitumba clothes to her fellow students.

Although the initial services were offered free of charge, June says that there was need to raise funds to sustain the organization. Now dubbed Mustard Seeds, it started charging minimal fees. In 2015 the organization got a major boost from musician, Jaguar and William Ruto, Kenya’s deputy president who donated Kshs. 1 million each.

Ever since, Beiless Group has grown in leaps and bounds to cut a comfortable niche in the market.

The group started by cleaning one model court that comprised of between10 and15 houses. The activities included unblocking drainage systems, cleaning compounds by collecting garbage and landscaping. “We also put up gates for individual sub-estates and employed a security guard in every gate in order to boost security,” says June.

Over time, more youths volunteered, and residents started contributing Kshs. 100 for maintenance after acknowledging its positive impact.

The organization has achieved key milestones, among them, it won a competition for Best Place Maker under the Best Agenda category which was presented during a conference on urban solutions at UN-Habitat.

Today, it has over 500 young people involved.

Entrepreneurship journey June’s passion for entrepreneurship cannot be overlooked. “Since I was 10 years, I used to help my mother in running her shop. That was defining. It instilled

In the same year 2014, June started Beiless Group Limited, a creative advertising agency. It provides advertising solutions such as on transit media (matatus), content management and digital advertising. It helps SMEs and corporates build their brands and connect with their clients.

Her major breakthrough came about after she joined Google Kenya as an Ambassador.

She attended a training programme on digital marketing. Although initially she provided services to her friends’ companies for free, she later started charging fees for services rendered such as promoting client’s brands through Google ads among others.

June also runs Syowaks Limited, a contracting company that links casual labourers to construction companies. She says the success of Mustard Seed made her realize her passion in mobilizing youth and creating jobs for them. “So far, we have signed-up 500 labourers who have experience in constructions,” she observes.

The company saw the need to diversify and started supplying construction materials to clients such as cement, sand and ballast. She shares her optimism to grow her networks and work with even bigger clients in future.

Despite all this success, June reveals that age is something she has to contend with.

“Sometimes, I have to go an extra mile to prove my worth and the quality of the services as most clients think I am too young to handle their brands.”

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Executive Talk

Eva Slootweg: Taking BrighterMonday To Greater Heights The seasoned human resource executive banks on her experience in a multicultural environment to steer the prominent career portal to new heights.

Words Sylvester Okumu

With a vision to change the experience of human capital management, she set up a consultancy firm-Executive Africa, worked in Nigeria for one year before moving to BrighterMonday East Africa.

“I was fascinated by Africa and particularly Kenya when I moved here. I had accompanied my husband who was then the chief financial officer of AAR Healthcare. He is now the CEO of CarePay,” she says.

She states that she first took a course in executive coaching, with the aim of understanding the industry here in Kenya and Africa at large. It turned out extremely instrumental in helping her HR consultancy thrive.

E

va Slootweg grew up in the Netherlands and her work experience started in college. Nowinher early forties, the early start in working life exposed her to the intricacies of protocols and practices that have ultimately opened doors to a human resource career that spans over two decades. Eva has worked with blue-chip companies and multinationals across Europe and Africa, succeeding at every level.

Backed by both undergraduate and post-graduate degrees in Human Resource Management, and an understanding of human capital at corporates, Eva landed in Kenya in 2011.

We want to share market information and emerging trends to them. This will further build on our already established engagement

Her first interaction with BrighterMonday (BM) was interesting. She had been invited as a consultant to help recruit the firm’s new CEO. She happily embraced the offer.

In the course of recruitment process, the CEO of One Africa Media - the holding company of BrighterMonday, Cheki and BuyRent Kenya, had something else in mind. One Africa Media operates Africa’s largest portfolio of online marketplaces focused on jobs, cars, property and travel.

Eva was pleasantly surprised by the turn of events. “At first I was stunned and even thought that my recruitment contract had

been terminated only to ask me to take the new opportunity as the CEO of BM.”

“I took time, thought about the idea and accepted the offer. I knew BM was a brilliant brand and I would be happy to lead it. I resolved to use my experience and wealth of knowledge in the sector to scale the firm to new heights,” she observes.

“I took the position in September last year.”

She was fascinatedby the warm reception into the firm and quickly learnt that all staff are highly valued,“It is more like a close-knit family.”

“We have the biggest online job platform in the region with over1000 job listing and over 4000 new job seekers every month.

To engage this audience was key,” she observes.

BrighterMonday Career Centre She first introduced a career centre dubbed BrighterMonday Career Centre. It engages audience with career advice and tips from Human Resource experts thus empowering them with career knowledge that will get them ready for the job market and grow their careers.

According to Eva, the portal engages with job seekers who go through the education system offering training, mentorship and planning skills.

She further says that it is sad to note that a huge number of young graduates are missing on opportunities in the job market because they do not understand simple basic rules such as writing a resume.

Eva notes that if a resume does not provide the right information, especially on the first page, it is very easy for an employer to dismiss it during the recruitment process.

She also led the rebranding of the firm’s website to make it more attractive, interactive and resourceful. This, she says, will redefine clients’ experience online.

She explains that on the portal, employers constantly share some insights on what they expect from job seekers in the

market through addressing some common challenges in the workplace.

Engaging youth The high number of unemployed youth in Kenya worries Eva. She says, to combat this teething problem, there are structures which one can embrace to improve his employability chances. She notes: “Many employers value work experience. As such, internships and volunteeringwill give one a unique edge.”

The firm is also engaging the government and private sector to create more internship opportunities for young people.

She further advises the youth to value any work experience they possess, however minor it is. She says many top executives started out as volunteers and scaled their way to the top.

BrighterMonday has specialised services for each of its target market.For instance, apart from listing jobs for corporates, it also helps in recruiting qualified jobseekers. It has an automated system that rankstop qualifiers for a specific job. This, she says, simplifies the whole recruitment process for employers.

The firm also has a system in place that aids in recruitment of specialised jobs/ skills such as higher-rated or executive positions.

In a view to further improve its audience’s experience, plans are underway to launch an app which will improve efficiency and reach to a wider market. This will complement the portal’s services which are already accessed on simple internetenabled phones.

Backed by the phenomenal penetration of mobile phones and the internet in Kenya, the firm envisions to reach millions of Kenyans in addition to its half a million active users.

To ensure authenticity of their platform and help curb fraud, every job that is posted on the firm’s platform is verified thoroughly. As such, they delist a job if the

right candidate has been identified.

Further, the firm is on the verge of establishing a recruitment centre for employers. It will give employers insights on recruitment, remunerations, job specification and other industry practices.

“We want to share market information and emerging trends to them. This will further build on our already established engagement.”

The CEO points out that the diaspora market is also playing a key role in social and economic prosperity of this country.

She reveals that plans are underway to reach out to them too.

Evais confident that the future of BrighterMonday is being shaped by a team of talented human resource in the firm. “I have a great team. We are very energetic and enthusiastic in everything that we do.My responsibilities are mostly on leadership, guidance and strategic advisory.”

Having worked in a multicultural environment in Europe and Africa, she believes she has what it takes to lead the firm to new heights.

In her own words Family time is very important to me.

I like horse riding, which I do on Sundays with my son. He is nine years old.

I like to engage with friends and close associates and enjoy nyamachoma cuisine on weekends.

I live in a mixed neighbourhoodof different nationalities.

I love Kenya, its people, the culture and the weather.

I am open, direct and try to be gentle with people.

I’m Dutch, we highly believe in teamwork.

I am conscious to people’s unique talents and contributions.

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20

Microfinance

Patrcik Gathondu, BIMAS ceo unravels the firm’s successful journey and how it has been impacting livelihoods of the economicallyJenny Nyawira. poor in an interview with

BIMAS Impacts Livelihoods Through Responsible Financing

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ecently, the microfinance sector has seen tremendous growth. In fact, it has deepened Kenya’s financial inclusion. A couple of new players have joined the highly competitive industry to the benefit of clients who now have access to an array of innovative products to choose from in their pursuit to achieve financial success. One of the key milestones of microfinance institutions (MFIs) has been their ability to serve the rural people, especially the unbanked.

Headquartered in Embu County, BIMAS (Business Initiative and Management Assistance Services) is among the leading credit microfinance institutions that are committed to changing livelihoods of Kenyans. It started as a Plan International’s programme whose aim was to provide training and financing to small enterprises in Embu. However, there was need to create a fully-fledged organization, a company limited by guarantee whose mandate was to service the entire micro, small to medium enterprises.

Patrick Gathondu, the executive director of BIMAS.

“Our key mandate is to alleviate poverty that is widespread in rural areas through innovative financial provisions,” says Patrick Gathondu, the executive director of BIMAS. He adds: “We target people at the bottom of the pyramid, those who are poor but economically active. We help them grow their businesses to productive levels, and subsequently help them climb the social economic ladder. They mostly engage in agribusiness and related activities.”

Agriculture is the backbone of Kenya’s economy.

Besides providing food for the nation, it employs a number of people both directly and indirectly.

“More than 80 per cent of people in rural areas engage in agriculture and related activities, and they happen to be part of our larger clientele base,” observes Gathondu, adding that, “We have mandates of ensuring that such individuals engage in viable economic activities. We empower them through responsible financial provisions. As such, they are not only able to sustain their businesses, but also earn a livelihood−feed their families and school their children. We also encourage them to save for the future.”

A range of products BIMAS offers a range of innovative and customer-centric products. To begin with, is agricultural loans. He says, the institution finances individuals most of them who are involved in the entire agriculture value chain−from production, transportation, value addition to marketing. Thus far, it has assisted a number of dairy farmers in rural areas to purchase premium exotic cows to boost their dairy production. It has also worked with other farmers to purchase milk processing machines as well as transportation vehicles to enable them get their produce to the market among others.

In the same breadth, the institution offers Biashara Loans to growth oriented entrepreneurs and SMEs. Through the facility, they are able to purchase necessary products that would enhance their business operations and grow their enterprises. “We have seen most of these individuals growing from little known entrepreneurs to big enterprises. For instance, we have clients who started with loans as little as Kshs 5000 and are now servicing loans in excess of millions. For us, it is fulfilling to see financial provision transforming livelihoods.”

Others include education loans which are advanced to clients to help them school their children. There are also loans for women and youths which are aligned to encourage them engage in gainful economic activities. Msingi Loan on the other hand is designed to empower

business people who come together in a group and are willing to co-guarantee while investment loans are designed to encourage individuals to safeguard their future through viable investment options such as the Stock Exchange.

BIMAS has also nailed strategic partnerships with like-minded organizations to further its mandates. It partnered with MESPT and Jiko Okoa to provide its clients with energy saving jikos.

It also finances acquisition of lanterns and solar energy systems. “We are conscious on the importance of clean environment to sustain livelihoods. As such, we support our clients to acquire products that are cost-effective and friendlier to the environment.”

Moreover, the institution funds development of decent homes through its revolutionary Nyumba Poa product. “We help our clients build modest houses using bricks and this has proved to be popular in the eastern region,” says Gathondu. “We also help them furnish the houses and acquire necessary facilities such as TV set-up boxes to make their homes more habitable,” he adds.

Solid corporate governance BIMAS is mindful about the environment within which it works and enforces ethical conduct and compliance that protects interests of the wider community. These include, transparency in reporting and operations, enhancing policies that conserve environment eg planting trees and funding renewable energy initiatives.

BIMAS is governed by a board of directors which constitutes nine members. They are drawn from different areas of expertise and blend their diversity of skills and experience to form a synergy of ideas that propel the organization to greater heights. “We have experts in agriculture, education, information and communication technology, computer engineering, legal

experts, career trainers and financial analysts,” he underlines.

The board is divided into four committees.

To start with is the credit committee that is responsible for evaluating the credit aspect of the institution. It meets on a monthly basis. Secondly, is the audit and risk committee whose task is to assess the risk areas of the company and analyze reports which ensures accountability. Lastly, is the executive committee that deals with day to day issues within the organization.

The board meets on a quarterly basis while an AGM is held annually. Board members are responsible in helping the institution further its corporate interests. The board is further guided by a charter that subscribes to international standards.

Building capacity The current state of poverty in rural areas concerns him. He is of the opinion that people are poor due to lack of opportunities and access to information as well as responsible financing. Thus far, BIMAS builds clients capacity by providing training on financial literacy and business management skills. “Lending to these people without educating them on how to use the funds can cause more harm than good,” he observes.

Road ahead Established as a small entity, BIMAS has grown to be a force to reckon within the industry. “In line with its strategic plan (2013-2018), it aims to double its clientele base from the current 32,000 to 80,000.”

Besides Embu, it has regional offices in Nairobi, Nakuru, Machakos, Thika and Meru. Plans are underway to increase its branch network and have a nationwide footprint.

BIMAS is in its final stages of transforming into a micro finance bank. This will increase its capacity to service clients and offer them a wide range of banking services just like commercial banks.

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Main Story

ADVANTA AFRICA RIDES ON TECHNOLOGY TO REDEFINE DIGITAL EXPERIENCE Lawrence Kamanda, Advanta Africa CEO talks of starting up an IT company, creating a business networking forum and run a virtual mobile operator in the near future.

Words

Jenny Nyawira

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Main Story

clearly evident in vibrant micro, small and medium enterprises.

The oomph and relentless spirit of Lawrence Kamanda for success underlines the above. He is not your typical hustler, but a serial entrepreneur who has managed to build a range of enterprises succeeding at every level. An accountant by profession, his career saw him workfor regional companies like Brookside, Infocom and Foris Telecom in Uganda learning bits and pieces of entrepreneurship nuggets along the way. He says having worked for these companies, his entrepreneurial fate was defined and he had little options but to head the same direction.

Kamanda’s entrepreneurialjourney started in 2009 when he launched Advanta Africa limited.It is an information technology company that provides a range of digital solutions such as web designing and development, bulk SMS services and mobile application development among others.Before setting up shop, he says, the local internet space was opening up and every business wanted to explore digital solutions. So there was need for differentiated digital solutions that would help businesses improve their efficiencies, scale operations and ultimately benchmark with global competitors.

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ntrepreneurs are renowned to create paths where none exists. They are adept in identifying opportunities which answer a societal need while creating value and rewards in return.

They take risks and by being innovative,

IT and Mobile Value Added Services (MVAS) was a completely new field for the ambitious Kamanda. However, nothing could dampen his spirit. He moulded his newfound passion for IT and tried to learn by himself through the internet to getthe necessary knowledge and skills. This led him to start as a reseller. “Initially, we focused on reselling services of other big players in the industry and earned commission,” recalls Kamanda. they introduce new solutions which are more efficient and productive. Globally, individuals like Bill Gates and Richard Branson have built celebrated brands (Microsoft and Virgin Atlantic respectively) because of their entrepreneurial prowess.

In Kenya, this entrepreneurial fortitude is

From these humble beginnings, Advanta Africa has grown tremendously to cut a comfortable niche in the market. “We have grown from strength to strength building adynamic network in the region.”He attributes much of these growth to specialized and customer centric solutions.

Besides, he also points out to the key roles

Biznet Circles is a convention. It brings likeminded individuals to network, exchange business referrals and grow their businesses through a mobile app

played by digital marketing, attending exhibitions and local networking forums in fueling the company’s growth. Currently, he says the firm enjoys being a leader of web-based services and interacted mobile communication solutions in the region.

To sustain such growth, a company needs to employ a team of skilled and highly trained professionals. As such, the firm recruits qualified individuals and trains them. They are further encouraged to learn on their own and from the internet. “We have also embraced strategic partnerships with experts from India who support our services. They assist us to monitor feedbacks from clients and subsequently help us improve our overall customer experience,” explains the executive. He shares his optimism that the firm is on course to become the most sought after IT provider in the region.

The company, which is licensed by the Communications Authority of Kenya (CA), has nailed strategic partnerships with local mobile network operators like Safaricom, Airtel, Orange and Equitel.

Product offering There are ranges of products offered by the firm, key among them being bulk SMS. He explains that it is a type of product that enables a company to send one SMS to many people. The service is relevant for managing communications in small, medium to large enterprises such as banks, schools and Saccos among others.

Advanta Africa is also known for other supporting services such as short code

(a platform that is used for two way communication between sender and recipients) and USSD (Unstructured Supplementary Services Data). USSD is a technology used to send information between a mobile phone and an application on a mobile network.“The services are tailor made in order to meet clients’ needs,” offers Kamanda.

Despite the growth experienced over the years, Kamanda reveals that the business has become venerable to technological advances. “Some people are using new messaging platforms to communicate such as WhatsApp. In order to remain relevant and still offer customer-centric solutions, we have started developing mobile applications for businesses,” explains the executive.

He is ambitious and wants the firm to have a wider reach. He plans to set up offices at counties and grassroots levels to tap on agricultural and community based organizations. In addition, he is pursuing the opportunity to get an operational license for virtual mobile operator as he sees opportunity in that space. He further sees the company having a continental footprint living up to its brand ‘Advanta Africa’.

Biznet Circles In order to diversify and remain relevant in the market, Kamanda saw the need to create a platform where people can interact, socialize and network. This was born out of the need to tap on the gap left by leading social media platforms like WhatsApp groups, Facebook as well as Twitter. He realized that such groups lack contextual networking aspects, poor administration as well as solid connections.

Dubbed Biznet Circles, the platform leverages on technology to enhance the networking experience among individuals in business, management and entrepreneurship among other professions.“Biznet Circles is a convention.

It brings likeminded individuals to network, exchange business referrals and grow their businessesthrough a mobile app,” says Kamanda. Each circle is made up of 20 to 40 members.

“Biznet Circles app allows members to send referrals, track their progress as well as business done between members.

When one member sends a referral to another, the latter receives a text message and an email containing details about the referral. Members can subsequently make follow ups on their new clients.Kamanda acknowledges this as a game changer that offers new opportunities to entrepreneurs to create networks and grow their businesses.

Using the app is simple. Besides, members are trained on how to take full advantage of the platform. Kamanda views networking as an essential element of any business.

The essence is to facilitate a wholesome interaction between members.

Biznet Circles welcomes professionals from all sectors of the economy. Currently, it has two circles with a membership of approximately 80. Each circle contains unique membership from different professions. This allows members to enjoy maximum opportunities within their respective circle.

Membership fee is affordable. “Members pay a nominal fee of KShs 2000 monthly or KShs. 20,000 annually.” offers Kamanda.

Members are required to meet once a month where they can physically interact, share ideas, experiences and brainstorm on emerging networking trends.

BiznetAfrica.com Other than that, Kamanda also runs BiznetAfrica.com, an online platform that allows entrepreneurs to sell online.

It is one of the fastest growing platforms in Kenya that was created to provide an online marketplace for SMEs and corporates. Thousands of buyers and sellers meet online to make business deals with high guarantee of getting quality goods and services.

BiznetAfrica.com aims at shaping the infrastructure of E-commerce in Africa by connecting buyers with trusted and verified suppliers while generating leads for businesses.

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Knowledge Economy

Leveraging knowledge gives societies the power for social and economic transformation, setting them on a path of progress and increasing what is now called the gross national happiness.

Investing In Knowledge Will Cure Many Of Our Ills Words Mbugua Ng'ang'a

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enya is paying a steep price for failing to invest in the knowledge economy. The Economic Survey 2016, which was released early May, shows that real estate continues to experience the most robust growth. An earlier study on the property market indicated that in some parts of the capital, land costs as much as Sh1 billion an acre. That means an individual with 143 acres could have afforded to fund Kenya’s education budget for the current financial year.

This is very well for the creation of individual wealth. It means that the people who had the foresight to buy land when the cost was lower will reap handsome dividends.

The only problem, from a public good point of view, is that these type of transactions do not create jobs and the wealth generated remains concentrated in a few hands with no real value created in the economy.

Knowledge economy The danger with this trend is that for the rest of the economy – including the upwardly mobile middle class and for entrepreneurs – the cost of owning land as a factor of production becomes prohibitive. It also pushes up the cost of owning homes, even when such a home is a flat bought on mortgage in a leafy suburb.

The second danger in failing to invest in the knowledge economy became evident with the collapse of the storeyed

building in Huruma, Nairobi. The building, which housed more than 300 families, was built very close to a river. With the flooding of the city, the huge volumes of water began to eat away at the river banks. When a chunk of soil was washed away from near the ill-fated building, it tilted and eventually caved in. By the time of writing this, close to 100 people were yet to be accounted for and 36 had been confirmed dead.

Such tragedies are unlikely to occur in a knowledge economy, first, because the advice of professionals would be sought before such an investment is made and during the construction.

As such, professionals would have ensured that the building had a firm foundation and they would have taken measures to mitigate against any undesirable eventuality, such as

In his book, The Great Escape: Health, Wealth, and the Origins of Inequality, Deaton Angus says that in the 21st century many people in poor countries are dying from diseases that used to ravage Europe during the industrial revolution in the 18th century.

“We need to ask why people are still dying of things we know how to prevent,” says the scholar who won the Nobel Prize for Economics last year.

According to him, it is not right that thousands of children in poor countries die before their fifth birthdays because they contract diseases like pneumonia and malaria, yet these diseases have been wiped out in richer countries for over one hundred years.

flooding, considering that the building was constructed right next to a water way.

Because these investments in knowledge were not made, many families have lost their loved ones and their property.

Similarly, the two brothers who invested their money in the building have not only lost their investment but are now in court facing manslaughter charges.

Health and wealth Let us turn from property to health. In the last one year, more than 200 people have died of cholera in various parts of the country, including northern Kenya, the Coast and Nairobi. Did these people need to die?

The answer lies in the fact that these countries invested in knowledge. They studied the causes of the diseases and how to prevent and treat them. For cases such as cholera, their leaders took the actions needed to stop further deaths – like separating drinking water from sewage and for cases like bacterial infections, their scientists developed antibiotics, which with government intervention, became readily available to the public. No wonder such countries continue to enjoy better quality of life for their citizens who are living longer and have more wealth relative to their counterparts in poor countries.

This, in my view, is one of the reasons why people from poor countries are always seeking refuge in Europe and other well-off countries as Paul Collier has ably demonstrated in Exodus: How Migration is Changing the World, his book on the causes and effects of immigration. Those poor souls who perish off the coasts of Libya and Italy trying to make the perilous journey to Europe are doing so in the hope of living a better life, if not for themselves, at least for their children.

Two sides of the same coin Often, when people from poor countries travel to richer ones, they always come back with tales of how they were

impressed by systems that work. Hardly, however, do they make the connection between such systems and the knowledge economy, yet these are but two sides of the same coin.

In Europe, for instance, the obsession with land that is so prevalent in Kenya is virtually non-existent. As such, if a European country was to build a railway line in the same year and to cover the same distance as the Standard Gauge Railway in Kenya, it would cost them much less because there will be no “entrepreneurs”, civil servants and politicians buying land cheaply from peasants and inflating the price when reselling to the government. In a knowledge economy, the cost of public goods and services is moderated to benefit the highest number at the lowest price.

In an economy like ours, a few benefit sometimes by abusing the privilege to leverage information that is otherwise not in the public domain. Such private gain, of course, comes at a cost to the public.

Similarly, in a knowledge economy, those in position of power do not sub-divid land in water towers to their political allies as so often happened in the past because they would recognize that water towers are a public good meant to be shared by all; the rich and the poor, the urban worker and the rural farmer, man and beast alike.

Too often, however, when we say that knowledge is power, we fail to grasp the full import of this otherwise self-evident truth. Leveraging knowledge gives societies the power for social and economic transformation, setting them on a path of progress and increasing what is now called the gross national happiness. Of course, for knowledge to benefit societies, it must be coupled by the political will to make systems work, such as ensuring that citizens have access to the drugs and infrastructure that prevent 18th century diseases from afflicting them in the 21st and conserving the environment for present and future generations.

Mr Ng’ang’a Mbugua is a newspaper editor and an award-winning novelist.

Email: mbugua@bigbooks.co.ke

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28

Creative Selling

Five Lessons In Selling From A Hawker Words

S

omething interesting happened to me as I was fuelling recently.

A hawker walked up to me and politely asked if he could tell me something about my wipers.

Intrigued, I agreed.

He went on to show me how worn the

John Kageche

rubber part of the wiper was and the damage this would eventually do to the windscreen. He then led me to the rear window which he also pointed out was not the right size and would leave a mark every time it is swiped. He further invited me to spray both windows with water to see for myself what he was explaining. I did.

He was right on all counts: both my windscreens left a mark in the shape of an arc−a clear trajectory where the wipers had passed. It was evident that if this persisted, the arc would turn into a scar.

He then went on to show me the right size and type of wipers I should have and he, of course, was selling. He named the price, and offered to fix them.

Selling technique I was deeply fascinated by his sales technique at this point and was totally sold.

Being human, I raised an objection, “I don’t have the money on me.”

This did not deter him: “It’s ok, Sir. Because I don’t want your windscreen to be grazed, let me fix them. You can then send me the money via M-Pesa.”

This threw me off balance slightly but I quickly recovered. I said I didn’t have any money on my M-Pesa account and that I wouldn’t want to trouble him. Surely this would put him off, or so I thought. His next statement gave me a technical knockout— I never saw it coming.

“It’s ok, Sir. Because I know you need the wipers, let me just fix them. I know you will send me the money.”

I was speechless. He was willing to fix and sell the wipers on credit from a total stranger! That aside, his last two statements were loaded. The mention that “he doesn’t want my windscreen grazed” and that “he knows I need the wipers” was a subtle yet effective admonition. By the time I recovered from my speechlessness, he had fixed the wipers and was sharing his cell phone number with me.

Stretch your thinking For me, this episode got me thinking. What are the lessons to learn from it? Many, but I will limit myself to five.

First, the man’s approach was near text book in execution. Because it was professional, I didn’t feel intimidated; I welcomed it. How a salesperson approaches a prospect could determine if the sale will continue and in what tone it will. What kindergarten children call magic words i.e. Excuse me, Please, May I and Thank You, are truly magic for all selling eternity.

Second, understand your product well to be effective in selling. If the hawker did not understand what he was selling, how it works and most importantly, of what benefit it would be to me, I doubt that the conversation would have gone far; likewise,

if he had chosen to expound on the ‘whys’ and the ‘wherefores’ of the workings of a wiper and proceeded to demonstrate his knowledge of the tool with the sole view of impressing me, the sale wouldn’t have happened either.

Next, when selling a product (as opposed to a service) nothing beats a demonstration−it is difficult to argue with a demo. A written manual can be condensed into just a few minutes of explanation via a demonstration. In my case, the demonstration happened twice− to lay bare the urgent need for replacing my wipers and to exhibit the solution to a problem I didn’t even know I had. And he did both so successfully he got my full attention.

In addition, listen keenly and study the unspoken word. Here was a hawker, ready to replace a stranger’s wipers with new ones, and this is the lesson here, on credit!

Why? Because he trusted I would send him the money. I believe this is not something he does for everybody. He was able to tell that I could be trusted to honour my part of the bargain. Tell-tale signs of buying can be googled but even then what you read can only be appreciated at a conscious level. But the connection I’m talking about here is at a subconscious level. He must have sensed I was impressed by his presentation. Most importantly, he must have sensed that he could trust me.

This, I believe, could only have come from the many interactions he has had with prospects and learning from them. It is possible that he is not always 100 per cent right about his customers, but the small percentage that defaults pales in significance to the larger one that does not.

Such decisions can only be appreciated by one who has had many customer interactions. If one hasn’t, one tends to argue by the book. “The policy says this”; “we’re not allowed to do that”; “his loan appraisal doesn’t meet our threshold”.

Interestingly enough, even the model that lending institutions use to determine whether to lend or not starts with, “what is the character of the borrower?”

The final lesson is that a sale interview is a courtship. Doubts, disagreements and

differences are a normal process towards the marriage and in fact determine if the marriage will indeed occur. These reservations and fears manifest themselves in the sales process as objections.

Objections are not a personal affront to the salesperson as most salespeople who have hung their boots say; objections are a desire by the prospect to explore, dig deeper, feel comfortable, allay fears and experience a connection. Objections are not to be feared, only understood.

So prevalent are they that even after a successful demonstration, objections will still arise. Progressive sales people know this and in fact look forward to objections for two reasons. First, it assures them that the prospect is listening which means he is interested. Second, experience has taught them that these objections remain the same across prospects, and the core ones rarely get to eight. So they have gone ahead and sought suitable responses to all of them. It is unfortunate that most salespeople get stumped by objections to the point that they give in. It’s unfortunate, not only because a solution exists but also the converse would stump them. Imagine seeking and getting an appointment at first contact and presenting and closing without a single query in the next contact. Doubt would settle in. If it’s a cheque he paid with you will cast aspersions as to whether it’ll go through; if a distributor, you will wonder whether they will pay in the 30 days or ever. It’s unrealistic therefore to complain about objections; being part of human interaction we feel something is amiss if the interaction is without a hitch because that is unnatural. With this knowledge we must therefore anticipate objections because handling them moves us further along the sales cycle and not handling them, kills the process.

Such are the lessons in selling the hawker taught me. And in case you are still wondering, two hours after our encounter, I sent him the money.

Kageche is Lead Facilitator, Lend Me Your Ears; Email:lendmeyourears@ consultant.com; www.lendmeyourears. co.ke

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Customer Service

Customer Relationships That Bind

An organization is only as good as the people who work there. A culture of service excellence must be developed and entrenched to ensure customer loyalty.

Words Carolyne Gathuru

H

uman beings are emotional creatures – completely irrational, sensitive and responsive, in ways that are yet to be fathomed and yet to be fully understood. This very same way of being characterizes customer buying behaviour and the seeming obsession with

some brands. Customers are influenced by emotion and whether the positive emotion induced is vide perception or reality, what remains is that the more the emotive appeal of a brand the higher the customer loyalty. Technical, operational and functional aspects of a brand are very critical to its survival and ensure that

the foundations are in place to provide products or services; but what impacts customer behaviour more than anything else is how the brand appeals to them on the emotional front.

Brands have distinct personalities.

Attributes of being responsive, adaptive and receptive to customers, breeds more brand evangelists. Customers absolutely love to feel important and in the words of the great poet and memoirist Maya Angelou “People will forget what you said, people will forget what you did, but people will never forget how you made them feel.”

Brands that make customers feel special remain forever etched in their minds and forever close to their hearts.

Entrepreneurs and corporate moguls alike are often caught up in the technicalities of getting the product right or ensuring the service runs seamlessly. They fret about product specifications and standard operating procedures for service. Whereas these are very important cornerstones for brand success, an equal investment needs to be made in building customer relationships. One banking service may very well offer financial products and services that in essence are packaged differently, but are not in any way unique from the bank next door. What would then make customers flock to patronize one banking institution versus another? Developing emotional bonds with customers drives them to willingly be passionate about a brand, develop unshakable loyalty to it and become brand advocates par excellence.

Attachment to a brand What would it take therefore, to have customers attached to a brand and have sentimental value towards it? The answer to this question lies in the extent of the willingness of the very brand to date their customers and to invest in actualizing the romantic idea of occupying the customer’s mind. The deposits of emotional currency need to be high in the customer’s account and be built over time. Customers need to feel special and have as individualized attention as possible. Actively soliciting customer feedback and responding

People will forget what you said, people will forget what you did, but people will never forget how you made them feel appropriately based on their needs goes a long way to endear customers to the brand.

Product reviews and inputs from the customer perspective to ensure standards are maintained, or where necessary, adjustments are made, will go a long way towards eliciting brand stickiness. In the service industry, attention is the name of the game, with efforts to: know and understand the specific customer’s profile and preferences; personalize the service provided in as extensive a manner as is practically possible; deliberately create lasting friendships almost akin to family; and empathize with the customer where and when necessary, being the glue that binds. It is the small things that matter the most. A simple initiative like an automated system to create alerts and send out birthday wishes to customers can go a long way in eliciting warm responses.

Emotional deposits When the epicenter of customer emotions is high, it follows naturally that should there be an occurrence of service failure or a mishap from the brand that the loyalists will step forward to pledge allegiance and vouch for the brand’s credibility and reliability as experienced over time. The withdrawal of emotional deposits in a time of need, where a brand requires all the help it can get to survive an onslaught especially of highly public nature, can only be actualized if the emotional currency in the customer’s account exists and is sufficient. Customers will be willing to defend a brand and to have their word as a badge of honour in support of it, if the investment of time and effort over time has sufficiently converted them into happy brand ambassadors, willing to stand by their ‘friend’ in their time of need. To get customers to this level is not an overnight affair.

Organizations need to make the investment and truly place customer relationship building at the core of their operations at all levels. Even in what may be considered mundane and run of the mill transactions and processes, it is really important to wear the customer’s hat and literally walk through the journey from a customer’s view point, to ensure customers feel that the organization really cares for their comfort and success.

Just as with any relationship, it is important to have the entire team in the organization, embrace the power of yes. Saying yes to customers and deploying a winning and willing attitude to find solutions and to provide delightful experiences. This requires that emotional intelligence runs high in the workforce.

To pull off a culture of service delivery excellence, necessitates that both font office and back office support teams are high on empathy, solution orientedness, positivity, optimism and a can-do attitude.

MahamRiaz of Customer Service (AE) stresses that “Every CEO should focus on forming a team of emotionally intelligent people. It is important to hire people who are emotionally intelligent and sensitive with good communication skills to ensure a customer centric approach to business.”

Indeed an organization is only as good as the people who work there. A culture of service excellence must be developed and entrenched to ensure customer loyalty.

The business maxim that people do business with people they like and trust is a core principle for excellent customer service. Customers will be drawn to those who make them feel appreciated, rewardtheir loyalty and respond to their needs-three key ingredients to have a full blown love affair with your customers.

Carolyne Gathuru is an accomplished brand specialist, marketing strategist and founder of LifeSkills Consulting.

She is an ardent customer service practitioner with over 15 years experience. Email: cgathuru@life-skills. co.ke

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Entrepreneurship

Why Start-Ups Fail Some micro, small and medium enterprises do not live long enough to celebrate their first birthday Words

Jenny Nyawira

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esearch shows that most micro, small and medium enterprises (MSME’s) fail within the first three years after inception.

MSME’s form the backbone of the Kenyan economy; be it through wealth generation, employment creation, entrepreneurship development or

economic growth. The crucial role played

by MSME’s cannot be ignored.

According to an Economic Survey carried out in 2009, the MSME’s sector contributed to about 80 per cent of new jobs that year. It is common knowledge

that organizations, small or large struggle to develop in an external environment characterized by uncertainty and turbulence. But the first question that comes to everyone’s mind is why MSME’s collapse before they celebrate their first birthday? What are the maladies that have proved dire to the growth and development of this important sector of the economy?

Maladies hindering growth According to a report by the Kenya National Bureau of Statistics, three out of five businesses fail within their first three years. Why is this so? A number of challenges have been outlined that limit the growth of small enterprise in Kenya. They include lack of access to credit, infrastructure and communication and management skills among others.

Indeed, lack of managerial accounting and technical skills are as much an obstacle to developing a small business as is the inability to access credit. Studies have shown that small enterprises may be short of knowledge needed to innovate and compete successfully. While Kenyans were engrossed by the prospect of a new dawn after the passing of the new constitution, authorities in the past few years have been silent on the issues that have continued to kill these small enterprises.

While it would be wrong to undermine the influence of external factors, research show that internal malfunctions is to blame more for the collapse of these enterprises. Many of the problems faced by small businesses are inevitably centered on the founder.

There are two key factors that impact on the way most of these SMEs are managed.

First, decision making is concentrated on one or two people. Secondly, owners often work at both the operational and managerial levels and therefore acquire information about the market and the performance of their business through personal experience rather than relying on feedback mechanisms from their employees.

Some people may argue that acquiring information through personal experience would do these enterprises more good than harm, but research shows otherwise.

It has been found that where managers are directly involved in market survey the decisions they make are usually biased.

This is expected bearing in mind that no one starts a business to fail. Everyone wants to be successful, but when that goes overboard, they are predisposed to make conclusions based on a wrong premise. One of the key qualities of good entrepreneurs is optimism. The problem arises when they become too optimistic that they ignore the influence of other factors. Most tend to feel that they are operating in a world where failure is not an option and they are lone players. However, the real scenario is different; allowing others to give their point of view regarding various factors affecting the business may open our mind to the real situations and other aspects that may have passed without our notice. We are therefore able to make better and informed decision.

Besides, the approach which managers use to solve issues in a business is important as it shapes and guides the entire workforce.

If decisions are made recklessly based on whims rather than knowledge, the results may be disastrous. The key issue in managing a small enterprise is ensuring that the plans and programs implemented are well analyzed so that they may not spell doom to the business. A simple mistake in the operation department, for instance, targeting the wrong market may take the breath out of the firm. Achieving the right balance and being succinct, hitting the nail on the head is paramount, as every mistake counts and may cost the business dearly.

What can be done?

Despite the high rate of MSMEs failures, their contribution to the economy growth cannot be ignored. Therefore, in order to successfully establish and manage them, there are many crucial decisions that must be made. Many of these decisions relate to sourcing of capital and ensuring that it

is utilized in a manner that results in the optimal growth, success and profitability of the entity. To achieve that objective, it is necessary for the entity to have people with financial management and accounting skills. The fact that the failure rate of one in every three enterprises is evidence that interventions to reverse this scenario is needed.

Moreover, the government should create a favourable environment to allow easy access to credit. SMEs should also develop good relationships with financial institutions because lenders are their main source of finance. It is worth noting that the growth and expansion of micro lenders institutions in the country has helped revolutionize the financial sector.

Establishing adequate credit lines is another solution. Small enterprises should establish their credit lines in advance rather than waiting until need arises.

Formulating a strong cash management policy is paramount. Poor cash management is the most common reason for the failure of some enterprises. They should know about their daily cash positions by regularly checking their cash and bank balances. This means preparing regular cash flow statements and monitor cash inflows and outflows. Sufficient profit must be retained in the company to see it through difficult times and to be able to conquer perils that are inevitable.

This calls for financial discipline and aptitude in the management as a tool to prevent the firm from financial dilemma.

In a nutshell, the massive infrastructural development by the government should be able to propel MSMEs to greater heights. The new constitution acknowledges the important role played by small enterprise in our economy and that is why the law is streamlined to support such ventures. However, at the end of the day, it is how much that entrepreneurs are able to make use of available resources and entrepreneurial skills that determine how high they will ride.

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Employee Relations

Think Of Getting An MBA? The reason behind your decision will determine whether it will add value to your career and life in general By

Perminus Wainaina

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he MBA (Master of Business Administration) is one of the popular advanced degree courses in Kenya.

Each evening, we have hundreds of Kenyan professionals trooping back to class for this coveted qualification. They range from fresh graduates to experienced professionals. We have students who have taken loans and others go to an extent of using their savings.

The universities have taken note of the demand and virtually all of them have a town campus offering an MBA program. Some are offering on distance learning to take care of students who can’t commute.

As a recruiter, I met many Kenyans job searching and disappointed with the fact that they have an MBA and employers are not quick to hire them. Some have seen their careers stagnate despite being MBA graduates.

The reality is, pursuing an MBA is neither good nor bad by itself. It is the reason behind your decision that will determine whether an MBA will add value to your career and life in general. I’ll share some of the reasons why Kenyans pursue an MBA and why this tends to backfire if not well planned.

More often, MBA cannot single handedly guarantee you a job.

I often see this with fresh graduates where after one or two years of job hunting without success, the individual decides to go back to class to ‘kill time’ and be ‘competitive’. For entry level position you don’t need an MBA. Over 99 per cent of all recruitments we do at Corporate Staffing require only a degree

and a professional certification. Very few employers are looking for MBA holders.

And if they are, you’ll always see this ‘MBA is an added advantage’.

You are as valuable as the contribution you bring to the company. What you need to know is that you are as valuable as the contribution you bring to the company.

Having an MBA does not necessary mean that you will contribute more. Employers look at your output. Qualifications will get you in but ultimately it’s what you do between 8 and 5pm that will determine your take home. The exception is if you work for the government, I understand they’ll pay you more for an MBA certificate.

Employers look at the skills you posses.

There is an assumption that an MBA will make you competitive and that your CV will look good. If you know your worth and only have a diploma, employers will want to talk to you. As I have said before, employers will always consider candidates with better skills and fewer papers than one with advanced qualification and less skills. Instead of getting a loan and spending an evening in a class just to make your CV “competitive”, I’d advice that you become very good at what you do. Master your docket or profession and become the go to person and I can assure that you will always be in demand.

For your information, Bob CollyMore is a diploma holder and see where he is.

Successful leaders and managers seldom have an MBA.

Taking an MBA should be a well thought out decision. Don’t go back to class because 90 per cent of your age mates are. The decision to go for an MBA is not a simple one, and many factors should be carefully weighed to make sure it’s the right decision.

Perminus Wainaina is the Managing Partner & Head of Recruitment at Corporate Staffing Services Ltd. Email.

Perminus@corporatestaffing.co.ke

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SME Financing

With a clear understanding of the overall SMEs credit market and the financing gap that needs to be addressed, Real People banks on its innovative product delivery to fuel the growth of small businesses.

Words Sylvester Okumu

The Real People In SME Financing

K

enya has in the recent past seen tremendous growth in small and medium businesses as well as deepening of the financial sector. Vibrant and expanding small and medium-sized enterprises (SMEs) are vital for inclusive growth of Kenya’s economy. However, a recent report by FSD Kenya paints a bleak picture. It indicates thatSMEs have a difficult time accessing the necessary financial services to actualize their potential. Real People East Africais set to change this narrative in a major way. With a clear understanding of the overall credit market for SMEs and the financing gap that needs to be addressed to fuel their growth, the firm supports small businesses by delivering appropriate financial solutions.

Edge Magazine met Daniel Ohonde, the chief executive officer of Real People EA during a round-table discussion at Sarova Stanley Hotel in Nairobi to unravel the firm’s successful journey.

Daniel at a glance Profiled as a seasoned leader with extensive international experience in financial services, management consultancy and manufacturing among others, Danielassumed his responsibilities at the firm in 2012.

With a view to lead the institution to greater heights, he begun a

restructuring process that would later pay off in a foremost way.

He joined Real People East Africa in 2012 from the African Development Bank where he was chief operations officer.

He holds a Masters Degree in Finance from the University of London and an MBA in Strategic Management from the United States International University and a Bachelor of Science Degree in Mechanical Engineering from the University of Nairobi.

He is registered with the Engineers Registration Board of Kenya.

During his free time, he enjoys the company of family, likes reading alot and is passionate about playing and watching lawn tennis,basketball and cricket.

Has led multi-disciplinary and multinational human resources/ talent.

This includes working stints with The Coca-Cola Company and African Development Bank among others.

Real People Real People is a credit-only micro-finance institution. It is part of the larger Real People Group that was incorporated in 2001 in South Africa. It commenced operations in Kenya in 2006 originally focussing on payroll lending until 2009 when it restructured to offer credit to SMEs.

Sitting at the helm of the regional unit, Daniel oversees the firm’s operations in Kenya, Tanzania and Uganda. “We started with a team of ten people and steadily grew over the years to a staff of 240 and 16 branches across the region,” he reveals.

“Our operations are built on a focussed portfolio of businesses and services anchored on the provision of responsible finance solutions to entrepreneurs and small to medium businesses through business finance and asset finance loans,” he adds.

“Our fast growth can mainly be attributed to the fact that we have been very focused in providing responsible finance solutions to entrepreneurs and creating sustainable

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“

We provide value to clients. We are comfortable with the brand and believe we will grow because there is still huge and untapped potential, especially in the property sector which interests us, futures true to our vision “Sustainably Improving Lives” .The institution targets growth oriented small and medium enterprises (SMEs).

With the current state of the economy in the region concerning him, heis of the opinion that as much as the growth of SME’s in the country is commendable; there are still challenges such as barriers to accessing funds ,unpredictable interest rates and unpredictable micro-economic environment.

What’s there to know about the products?

Real Asset Loan offers an asset financing product which enables SMEs to acquire productive machinery which will be used to expand or grow the business.

In this spirit the institution offers innovative products and services tailor made to satisfy the customer’s needs, in the same breath last year Real People won the MFI Award for Innovation. The Real Flexi Facility is designed to give business people loans ranging from Ksh.100, 000 to Sh5 million.The facility allows one to take up an additional loan without having to apply for a new one and offers access to the facility at any time using a flexible repayment option.

Innovation Real People’s specialty in innovation and value addition has further strengthened its presence in the industry.“For instance, ourrelationship officers across the country, have tablets and client’s data is keyed in digitally. The data is subsequently accessed from a central location promptly. It has increased efficiency and revolutionised the whole customer experience,” he explains.

The processes are instant and loan

SME Financing disbursement is much faster compared to that of traditional banks.

He adds: “As a business, we are at a point where we have taken off. We made sure that we had enough funds for onward lending through apublic bonds issue of Kshs 1.6 billion in August 2015.”Daniel also expresses his optimism in the firm’s sustained growth that he attributes to theircommitted human resource.The institution runs an active loan book of Kshs. 3billion having lent out to a portfolio of around 40,000 customers.

However going forward Daniel reports, Real People is keen on maintaining a good quality book. Their main focus is on how to maintain low non-performing loans since business success is quantified on a healthy loan book.

“We understand our customers. Most of them have one or more businesses. We therefore analyse their financial records, cash flow as well as sales volume. It gives us an insight into their needs and channel relevant solutions at competitive rates,” he reveals.

Asked why the organization does not fund start-ups, Daniel points out to the need to fund clients who understand their business cycles. “We target businesses that have been in operation for at least two years.

We believe that such entrepreneurs can account for their work and are more likely to succeed.”

Uncertainty in the industry The recent volatility of the Kenyan shilling and high inflation rates affected the interest rates and subsequently dampened consumer’s ability to service a loan.It’s further worsened by multi-borrowing within the sector.He explains: “We have situations where people are borrowing from one lender to repay another creditor.

To mitigate this, Real People has embraced robust risk management structures to ensure that it funds genuine and worthy people. Its partnership with TransUnion and Metropol credit references bureaus has been helpful. The information obtained is used in assessing borrowing patterns of both existing and potential customers.

Lack of financial literacy among clients is also a concern. He says, in case of a loan facility, sometimes entrepreneurs lack proper financial and business management skills. It affects the way they spend credit facilities. However, Danielsays that this year the institution will embark on building the capacity of the entrepreneurs with relevant management and financial skills.

Being a credit-only institution, Danielcautions that it should not be misconstrued with deposit taking MFIs. Only MFIs which take deposits from the public are regulated by Central Bank of Kenya under the current Microfinance Act. However, plans are underway to develop a regulation through the Association of Microfinance Institutions-Kenya (AMFI) and the National Treasury.

Solid governance Daniel is confident that the institution has operated successfully since its inception ten years ago. When asked what the secret is, he quickly alludes to the robust governance and leadership structures.

It has a board chaired locally by Albert Ruturi. Mr. Ruturi is a seasoned banker with a career spanning over 30 years in finance, management and leadership. The board further comprises of Charl Hendrick Kocks, Neil Grobbelaar, Nthenya Mule, Daniel Ohonde (CEO) Yvonne Godo and Norman Ambuya, four of whom are nonexecutive directors.

The company subscribes to the highest standards of corporate governance with Grant Thornton appointed as its auditors in Kenya and Tanzania while KPMG auditsits operations in Uganda.

He explains it is in this view of a solid governance structure that the Central Markets Authority (CMA) approved its rights issue last year. To authorise a bond, he says, CMA does a rigorous check on governance and leadership.

“We provide value to clients. We are comfortable with the brand and believe we will grow because there is still huge and untapped potential, especially in the property sector which interests us,” he ends.

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Women Of Power

The Young Woman Steering Jumia Kenya To Success Parinaz Firozi explains her responsibilities at the leading online shopping platform and what accounts for its successes.

J

umia Kenya−an online shopping company− has undoubtedly shaped the region’s e-commerce landscape since its incorporation a few years ago. In 2013, Jumia won the ‘New Retail Launch of the Year’ at the World Retail Congress. In 2014, it increased sales by a massive 900 per cent. It further launched an online store, allowing thousands of merchants to make sales online, thereby bringing Black Friday to Kenya.It now prides itself as the first unicorn in Africa, a fete achieved in January 2016. Parinaz Firozi, the young executive at the helm of the firm unwraps what

Finance Department at Ernst and Young in Texas before joining JP Morgan as a Syndicated Leveraged Finance Analyst.

After holding this position for two years between 2007 and 2009 she transitioned into sales and trading by working as an Associate in Interest Rate Derivatives.

accounts for all these successes in an interview with Edge Magazine.

Administration She opens up about her responsibilities at the leadership of the company: “I manage administrative functions at Jumia Kenya to ensure smooth and efficient operations.”

During her stint at the firm, she has overseen major transformations, cutting a comfortable niche in the market.

In 2014, Jumia launched an online store that allows SME’s, local and international brands to sell on its platform, maximising their profits and reach whilst bridging the gap between offline and online retail.

“We also launched the affiliate marketing program that allows individuals to earn handsome commissions through promoting Jumia products on their social media sites and blogs which has been a major contributor to our success,” she notes.

Over time, she reveals, Jumia has built the biggest product catalogue online with the best prices in town and established the best distribution network in Kenya that allows the firm to deliver products anywhere in Kenya and customers can pay on delivery.

To make this a success, Jumia partnered with local courier service companies such as G4S, Posta Kenya, Aramex. Customers can order products online and pick them up from any of the said courier offices at their convenience.

Firozi comments the firm’s innovative service models and efficiency has enabled it to surge ahead of competitors: “We have a countrywide delivery network, cash on delivery policy and a 7 days return and exchange policy.”

Challenges Despite operating successfully in the industry, she admits they have faced a number of challenges.

The major challenge is poorinternet penetration in rural and remote areas in Kenya.Insecurity is alsoanother concern.

She explains, “We are not able to access some areas in Kenya such as Mandera, Garisa, Wajir among others and when we do so, the cost for delivery goes up significantly. To curb this problem we use courier escort services while making deliveries.”

“’There is also a huge digital divide which concentrates online shopping to a certain age group but this will be solved by time and government efforts,” she adds.

Emerging trends According to her, mobile application has taken over e-commerce in the region.

Going by the firm’s research data, over 55 per cent of online shoppers are making purchases via Jumia mobile application.

She explains that this online loyalty and affiliate program will continue to grow over time. Social media is also taking a big leap in real time customer engagement.

Impeccable record With this impeccable work track record, Firozi hopes to take Jumia to new heights as long as it takes. She holds an MBA from IESE Business School and London Business School.

Firozi’s professional experience spans back to 2006 when she worked in the Structured

While pursuing her MBA in Europe, she spent the 2013 summer in Kenya, working at both the International Finance Corporation (part of the World Bank) as well as Grassroots Business. In May 2014, she moved back to Kenya, a country she felt in love with. She took up a position as the Managing Director of Jumia Kenya.

She says her values have built her as a person and impacted her overall growth. “I believe in hard work and patience. When you combine the two you are bound to succeed.”

Insights into her work schedule She wakes up at 5 a.m, get to the office and doesn’t leave until late, sometimes as late as it gets.

What do you do to unwind?

I love exploring the natural beauty of Kenya either at the coast or the rift valley, a combination of relaxation and adventure or I am either catching up on work or with friends in the city. I love visiting Latin America especially Peru, Colombia, Ecuador you name it, and still have to make my way to see the little penguins at the south of Argentina but love the Latin love for life, their passion, food and language!

What’s in your bucket list?

Swim with the sharks

What’s next for Jumia?

The next months will be exciting for Jumia.

We shall continue with our journey to be Kenya’s one stop shopping destination and a launch pad for international brands seeking to enter the Kenyan market. Our partnerships with major international and local brands will ensure customers can shop from their favourite online store− Jumia.

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Healthy Living

Reflecting On Wellness. Is There A Formula To Adoption Of A Healthy Lifestyle?

T

his month, we shall focus on Self Efficacy.

As we ponder on that one of the critical factors that informs adoption of healthy lifestyles is Self Efficacy.

A person’s optimistic self- belief about being capable to resist temptations and to adopt a healthy lifestyle is called Health Specific self-efficacy.

Bandura (1992, 1997) indicates that perceived selfefficacy refers to personal action control. A person

who believes in being able to produce a desired action is seen to conduct a more active and self-determined life course. In Health Promotion programs, attention should be paid to individuals’ Self Efficacy and where required, spend time and effort building this up.

There is a call to set up Wellness programs that walk the employees through the complete behavior change cycle. According to Lazarus and Folkman (1987), as a person proceeds from considering precautions in general, to shaping a behavioral intention,

contemplating detailed action plans and actually performing a health behavior on a regular basis, that person begins to believe in their capability to initiate change. That is perceived self efficacy.

Focal Concerns in wellness Wellness is defined as the optimal state of health of individuals and groups. Health being, a complete state of physical, mental and social well-being, and not merely the absence of disease or infirmity (WHO, 1986). Further, World Health Organization (WHO) has expanded this definition to define health as ...a resource for everyday life.

The focal areas of the Wellness journey entail striving towards the realization of one’s fullest potential physically, psychologically, socially, spiritually and economically; and the fulfillment of the individual’s role expectations in the family, community, and place of worship, workplace and other settings continuous journey towards.

The individual is continually involved in prevention and early detection of ill health (physically, psychologically, socially, spiritually and economically). Seeking quality help promptly in response to early signs and symptoms of ill health and compliance to treatment and care prescribed in response to ill health experienced. This truly calls for adoption and maintenance of a Healthy lifestyle.

Research has shown that Health-specific self-efficacy is significantly related to the motivation to adopt or maintain corresponding health behaviors.

Assessing Self Efficacy levels One can continually assess one’s self efficacy towards specific health behavior.

For example towards healthy eating;

• Identify and list the barriers experienced or factors that hinder one from eating healthy meals consistently • Then to each barrier, assess how certain

you are that you could overcome the identified barriers you have listed.

• Make positive statements and continually assess yourself against each statement. For instance; I can manage to stick to healthful foods … even if I have to try it several times until it works… Even if I have to alter my daily routine…even when I am busy…even when I feel tired.

I am certain I can control myself to... reduce my alcohol consumption, reduce my salt intake.

Though reliable and valid measurement of self-efficacy is very challenging, these cognitive self-evaluations influence all manner of human experience, including the goals for which people strive, the amount of energy expended toward goal achievement, and likelihood of attaining particular levels of behavioral performance. Assessing individuals’ beliefs in their capacities to enact risk reducing behavior in the areas of psychological, social, physical, financial and Spiritual health is critical.

This assessment can be done at an individual level with high levels of confidentiality, allowing one to disclose information to the wellness teams at will.

Disclosures made by the individuals could be for purposes of just sharing, seeking peer accountability support towards behavior change or where one needs help towards achieving self efficacy. Remember that where a health behavior is socially stigmatized or where social norms suggest that one should engage in a certain health behavior, social desirability bias may cause one to inflate self efficacy scores.

The encouragement is to be real and true to self.

In your Wellness journey where you are seeking to improve your health outcome, when facing a difficulty, do you feel like you can rise up and accomplish your health goal or do you give up in defeat? Do you

doubt your own abilities to rise up and overcome the difficulties that life throws your way?

Do you approach difficult health related tasks (such as achieving work-life balance, physical activity and exercise, healthy eating, stress management, financial growth, among others) as challenges to be mastered rather than as threats to be avoided or tasks to be procrastinated?

Do you have a personal health care/ Wellness Action Plan? Do you set challenging goals and maintain strong commitment to them? Do you heighten and sustain your efforts in the face of failure and setbacks or do you quickly give up?

Do you slacken your efforts and give up quickly in the face of difficulties?

What shall you do differently from today?

Will you identify a wellness buddy to keep you accountable? Will you proactively, seek help and support in areas where you feel that you require support? Do not lose faith in your capabilities; let every day find you putting effort!

Mary Njeri Wanjau is the founder and chief executive, WanBeat Wellness Centre Ltd. www.wanbeatwellnes.com

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44

Seth Sketches His Way To Success

Arts And Industry

S

eth Sketcher, as he is commonly known reminisces his journey from an unknown figure to a celebrity artist and top of his game. Seth who has managed to cut a niche for himself in the market of pencil portraits, cartoons, graffiti and illustrations within a short time, says he has had to employ unorthodox means to the top.

Profiled as a self-taught artist and one of Kenya’s finest pencil art specialist, Edge Magazine takes you through the story of his life in bits and pieces.

The Q & A

Can you describe yourself?

I’m Seth Odiambo, a visual artist. But I’m commonly known as Seth Sketcher. I specialize in pencil drawings, cartoons and graffiti.

How has been your journey?

A rough tide. Nothing has come easy my way as an artist as I didn’t get the support when I needed it most. It has been a struggle but I never gave up.

What was your major breakthrough?

When I was featured in KBC’s Artitude in August 2015. After which I also exhibited at the Kenya Art Fair 2015.

Are you an early bird or a night owl?

(Laughs)… a night owl.

Who is your dream mentor?

Moses Njogu, an artist-come-photographer.

He is one of my inspirations.

Any gadget that you cannot live without?

I will be miserable without my phone. It connects me to the world…clients, friends, and family. It is also my entertainment gadget because I listen to music a lot, mostly underground hip-hop.

Who is your single best influence?

Arnold Juma, a creative arts lecturer. He encouraged me to stay positive about art.

At what age did you decide on your profession?

Immediately after my KCSE studies.

What is the single most vital trait for artistes?

At a certain point in life, most artists have a thing for nude art. They must draw or paint.

When did you venture into pencil drawing?

A lot of interest started in 2012 and it has immensely grown to date.

What is the best way to describe your job?

It’s worth it. Art has taken me to new heights which I did not envision before. As long as one is passionate about the craft, it will pay back.

Which is the best piece you’ve ever drawn?

A cartoon selfie. I would have picked a portrait but the cartoon defines me more than any other work I have ever done.

Tell us about the pencil drawing industry in Kenya?

The craft is growing fast in Kenya. Time is ripe for art and craft to be reincorporated back to the school curriculum. Many people want to venture into art. I am success story and going by the phone calls I get from parents and clients who want their children to be like me underlines this.

Going forward, what can we expect from you?

I’m adept at different styles. Besides pencils, I also draw cartoons, graffiti, portraits as well as illustrations among others. Expect surprises!

(For more of this artist’s works check his facebook page: Sketcher Arts, Instagram @sethsketcher and blog handle is sethsketcher.tumblr.com )

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46

Hospitality

Say Hello!!! And Order Your Food Online

H

ellofood is Kenya’s leading online food ordering portal, listing over 290 restaurants from which customers can order and have it delivered to their offices or homes across Nairobi.

Launched in 2012, it has immensely grown to become a one stop online retailer in the country.

In the following dialogue with Edge Magazine, Duncan Muchangi, the managing director of Hellofood, shares his insights on the firm’s journey in Kenya.

How has been your experience so far?

Selling food online in Kenya was a challenge at first but as time progresses the uptake of our services has been very impressive, Kenyans now order food online from their offices and homes in large numbers.

Balancing between delivery and time is the best adrenaline rush – the customer wants their food hot and on time a small delay in traffic could mess all that up for you but we always deliver.

Whom do you target?

The ordinary Kenyan with disposable income to spend and a tight work schedule – that’s where we come in – to offer convenience and variety

What are some of the leading products/services you offer?

Hellofood offers a platform from which thousands of customers can order for food online and have it delivered wherever they are in Nairobi and Mombasa. Besides that, we offer training to restaurant owners on how to list their menus online and maximise on sales.

Your competitive edge?

Convenience. Our customers are able to pay cash on delivery or via mobile money across Nairobi and we make sure we deliver on time. So far, we have strategic partnerships with different restaurants such as KFC and Ocean Basket among others.

Common challenges in this space?

Delivery logistics is a balance between cost, time and convenience. When a customer places an order for food, they

want it hot, on time and delicious if you miss any of this, you could easily lose a customer.

In your view, what should players in this industry and their regulator do to strengthen its performance?

Basing on the rising demand for online food ordering services, restaurants should invest in growing their menus since the growing demand

comes with new and emerging dishes.

What would you say is the role of e-commerce in shaping the future of Kenyan economy?

E-commerce is the future; most young people are and have been taking courses in digital marketing and digital space creating jobs for themselves thus contributing immensely to the country’s economy

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48

Book Review

BOOK REVIEW BOOK: GHANA MUST GO AUTHOR: TAIYE SELASI REVIEWER: ORONI TENDERA Ghana Must Go is Taiye Selasi’s debut novel. The novel revolves around two African immigrants, Kweku, a surgeon and his Nigerian-born wife, Fola (mother of their four children). Kweku falls victim of wrongful dismissal. As a result, he slumps into depression and self-pity. He attempts to hide his feeling, but it proves to be a herculean task. For that reason, he resolves to do the unthinkable. He abandons his family in Massachusetts and travels back to his native home in Accra, Ghana. Fola raises their four children−Olu, twins Kehinde and Taiwo, and Sadé−single-handedly.

Things fall apart when Kweku awakes up one early morning to take a walk in his Ghanaian garden. As he turns back to look at his house, he suffers cardiac arrest. He falls down, and takes in his last breath as he reminisces his past life as a committed family man. The news of Kweku’s death sends a ripple around the world, bringing together the family he abandoned years before. Ghana Must Go is their story.

They say realistic literature mimics real life. Ghana Must Go cautiously reflects the author’s personal life. Taiye Selasi (born in 1979) is a writer and photographer of Nigerian and Ghanaian origin. She describes herself as a “local” of Accra, Berlin New York and Rome. Like Kweku, her father is a surgeon and, like her family, they’re ‘Afropolitans’, a highly controversial word that Taiye coined in an essay about the migration of intellectual Africans. Ghana Must Go, despite the suggestion of its title, is really about the high stakes of staying, to face challenges and deconstruct some of those socital ideals of success, failure and family. Selasi, armed with delicate poetic prose, renders the journey with love and a true understanding of immigration, and makes it resonant whether the country is from Nigeria to USA, rich to poor, shame to pride, or hate to love.

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