October 2016 by Edge Magazine EA

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

INSIDE INFORPARTS: wOMEN IN TECH

RADAR LAUNCHES A COURIER DIVISION

JOSHUA OIGARA ON AGRICULTURE MKU @20 GETTING AROUND NAIROBI MADE EASIER HIRE AN INTERN 7 WONDERS OF KENYA

Leading security firm aims to offer unrivalled services through its newly launched courier

Andrew Solomon, founder and managing director, Radar Group Limited. OCTOBER 2016 i EDGEMAGAZINE.CO.KE

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Contents

22. RADAR GROUP LAUNCHES A COURIER DIVISION

EDGE FOCUS

14. MKU @ 20

14. MKU @ 20 MKU Digital Varsity Goes Global

16. PROJECT MANAGEMENT Construction Project Management - Can Mwanzoni Fix It?

18. THE TECHIE How former sales lady overcame the odds to establish thriving IT venture

20. MICROFIINANCE Uwezo Microfinance bank seeks to expand its operations to major towns around the country as it endeavors to provide sustainable solutions for wealth creation

5. HEAD START 6. QUOTABLE QUOTES 7. MAIL 8. BRIEFS

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COVER STORY 20. Radar Group launches a courier division

Contents

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26. SECUREX At Securex, it is not just about security, but creating freedom by making everyday life safer

OPINION 30. CUSTOMER SERVICE 32. URBAN PLANNING 34. HUMAN CAPITAL 36. AGRICULTURE 38. INFRASTRUCTURE 42. FINANCE AND BANKING 44. REAL ESTATE

18.

INFORPARTS LTD

46. THOUGHT LEADERSHIP

WOMAN OF POWER 50. Doreen Nkatha Mucheke, the founder and creative director of Linens and DÃ©cor, and Party Pegola has made a business for herself by creating and designing unique, elegant and natural products for garden and outdoor experiences

HOSPITALITY 52. Linda learned how to bake at the age of 12, and now envisions to build an empire using her passion.

ARTS & INDUSTRY 54. Meet Maina Njoroge, A Passionate Teacher and Self-taught Artist

TRAVEL & LEISURE 56. Seven wonders of Kenya

54.

ARTS & INDUSTRY

50.

WOMAN OF POWER

BOOK REVIEW 58. THE FOUNDERS MENTALITY

SONG REVIEW 60. SEND MY LOVE

52.

BOOK REVIEW

SIMBA CORPORATION

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Managing Editor Sylvester Okumu sylvester@edgemagazine.co.ke Editorial Oroni Tendera ibrahim@edgemagzine.co.ke Jenny Nyawira jenny@edgemagzine.co.ke

We Are Not Alligned To Any One Insurer. We Search The Market To Arrange The Best Solutions For You

Contributors Joshua Oigara Perminus Wainaina Carolyne Gathuru Edward Mugo Martin Dias Michael Obuya Edward Burbidge Gilbert Manirakiza

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

Creative Designer Felix Rurigi felix@edgemagazine.co.ke

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Published by Fine Edge Media Longonot Building, 3rd Floor, Apartment 2A, P. O. Box 74298-00200 Kijabe Street, Nairobi, Kenya. Tel: (+254) 20-2088776 Cell:(+254) 724 113 683/ (+254) 715 507 024/ (+254) 770 467 370 E-mail: info@edgemagazine.co.ke Website: www.edgemagazine.co.ke

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Head start

Courier Services Indispensable

one are the days when consumers had to wait for long hours and days to receive their packages. Today companies are increasingly relying on courier service providers in order to outsource their consignment delivery in a timely manner.

The demand of receiving packages and products by consumers within a day or two is now common in most globalised economies of the world, and continues to surge. As such the role of courier providers in enhancing business functions is quite essential. No matter how quickly you manufacture a product, if it does not reach the target customer at the right time, the rest of your efforts would be wasteful.

Radar Group Limited recently launched a courier division with a mission to be a one stop shop for courier and logistic solutions in the region. Flip through the pages and get to know their start-up story, value they give to customers and how businesses can leverage on their competency. Thank you for your continued support. info@edgemagazine.co.ke

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Quotable Quotes Elizabeth Nkukuu “When starting out it is normal to get sacred as you are unfamiliar with the territory, but I was never too hard on myself knowing that it is up to me to improve and do better.” The 36 year old is the chief investment officer and part of the founding team at Cytonn Investments. The investment firm which was launched in 2014 has hit Kenya’s investment scene by storm. Barely two years into the market, Cytonn turned heads when it recently announced an annual profit of Kshs 600 million.

Elizabeth has an undergraduate degree in actuarial science and MBA Finance option from the University of Nairobi. She is a certified financial analysts and credits her success to her formative years as an investment intern at Pine Bridge Investment where she had a supportive team and gained practical knowledge pretty quick. She had stints at Genesis Kenya and Britam Asset Managers. Elizabeth was recently feted as a Top 40 Under 40 2016 women in Kenya by the Business Daily for business and investment skills. She is committed to use here role at Cytonn to impact lives and help people make profitable investment decisions.

Mwangi Githaiga

“Banking Women in Business is of great interest to many and of immense relevance to the Industry.”

Mr. Mwangi Githaiga is the managing director of Kenya Women Finance Trust. He has served the institution for close to 2 decades rising through the ranks to sit at the helm of the financier. He holds a Masters of Business Administration degree in Strategic Management from Moi University. He is also a Certified Public Accountant and a member of the Institute of Certified Public Accountants. He has an exemplary track record having steered KWFT successful transformation to a deposit taking microfinance and is currently pursuing sustainable growth strategies with over 2,500 employees. He is a key champion of microfinance industry initiatives towards financial inclusion as a tool of poverty alleviation and livelihood improvement. Michelle Ntalami

“Business is not all about making money but being able to transform lives and creating an environment that brings people to appreciate and better themselves.”

The 32 year old is the CEO and founder of Marini Naturals, a start-up business that offers women natural haircare products, shielding them from natural diseases. She was born and raised in Nairobi, she acquired First Class Honours in Design Communication and was named a top student globally in chartered post-graduate diploma in marketing CIM 2007/2008. She says she has always had a competitive spirit and launched a design, marketing and public relation company in 2010, but her big break has been Marini Naturals. Admittedly, through Marini she aims to see women make better life choices, embrace their natural beauty and live healthier. Kenneth Kaniu

“Asset management is a key industry that has a lot of potential to impact the lives of many people from savings and investments to property development and wealth creation.”

EDGEMAGAZINE.CO.KE i OCTOBER 2016

He is the CEO of Britam Asset Managers (Kenya) Limited and holds BSc degree in Business Administration (USIU-Africa), and an MBA from Strathmore Business. Kenneth’s role at the firm is to provide leadership in executing the business strategy across its asset classes to ensure the company maintains market leadership. Prior to joining the firm, he had a stellar career experience spanning over 13 years in finance, investment and asset management. Kenneth is the immediate former chief financial officer at Stanlib East Africa where he spent ten years. He earlier had asset managerial stints in Germany before coming back to Africa.

Letters Farming and insurance The agricultural sector forms a major component of the country’s gross domestic product. Besides, a large percentage of people – especially those at the bottom of the pyramid- depend on agriculture as a main source of livelihood. However, the sector is too risky in terms of loss of produce and lack of market among others. In this regard, in order to save the sector, it is the high time insurance companies play a role by working together with other organizations such as WeFarm to protect farmers.

Alex Mwololo Lecturer, Nairobi

Reading a book can make a difference

President’s foreign trips beneficial

A few years ago when I was still in college, I realized that a number of students read in order to pass exams rather than to gain knowledge. The worrying culture has not only affected students but many other Kenyans in general. In a world where technology is growing rapidly, it is hard to see a person reading a book, a magazine or a news paper, rather most of them are regularly glued to their electronic gadgets. As Ng’ang’a Mbugua writes, people should embrace a culture of reading as that is the only way they can improve their confidence, social skills, command of language

A few months ago, the president’s foreign trips attracted heated debate from intellectuals and analysts across the media. While some have questioned the value of such trips to the common tax payer, we all know that is a way of selling Kenya abroad in order to create investment opportunities. Infrastructure has improved with the construction of the standard gauge railway which has created employment, agriculture, trade and energy sectors have also developed just to name a few. Kenya has also been in the limelight after hosting major conferences. I believe with time, the

Caroline Mugambi Lecturer, Nairobi

Andrew Wesonga Via mail, Mombasa

and knowledge as well.

tangible results of those trips will be felt.

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Briefs

Safaricom Introduces Real Time Network Reporting Tool

Chase Bank signs partnership with global college to ease fee payment

hase Bank (IR) on September 22nd partnered with Edulink International College to provide its students with an elaborate fee payment platform.

Network guarantee inforgraphic.

afaricom has announced updates to the Network Guarantee service which will see customers get refunds should they encounter call drops on the Network. This comes after gathering feedbacks from customers on the network for 90 days. Under the existing terms of service, the refunds will be provided cumulatively on a weekly basis.Customers will also benefit from a real time network-reporting tool that will allow them to instantly alert the company of any coverage issues by sending an SMS to 5555. “We are on a journey to build the best network for our customers. So far, the Safaricom Network Guarantee has given us valuable insights that we are using to fine tune our network to meet the needs of our customers more effectively – even as we prioritise our investment to where it matters to them the most,” said Bob Collymore, CEO, Safaricom.

Three months ago, the company launched the Safaricom Network Guarantee alongside a suite of products that aim to empower customers and provide the company with the responsibility of paying customers refunds when services disconnect on the network. EDGEMAGAZINE.CO.KE i OCTOBER 2016

The deal will see Chase Bank act as the banking partner for Edulink where students will enjoy 20 per cent discount for banking which Chase during the duration of the course.

Since the launch, the number of dropped calls on the network has registered at less than 1 percent of total calls.

This is part of Safaricom’s initiatives to improve call quality and increase capacity. As part of its Sh30 billion investment in the network this year, Safaricom intends to use dynamic feedback from its network, continuous customer feedback and proactive network monitoring to dictate the roll out of new sites in areas where services may not be optimal. At the same time, to eliminate the possibility of site interference, existing towers serving broad areas will be replaced with multiple sites closer to customers.

Safaricom has put up more than 170 new base stations in the last 90 days, many of them in areas where customers were experiencing call drops, bringing the total number of base stations to more than 4,000 with a population coverage exceeding 95 percent. The Safaricom Network Guarantee will continue to only apply for calls within the network.

Under the new permanent offer, customers will be refunded for any uncompleted calls once a week with the refunded airtime valid for seven days.

During the signing of the partnership, Chase Bank (IR) receiving manager Paul Russo emphasised that the bank is keen to give opportunities to institutions, parents, guardians and students through tailor made banking services and convenience. “It is our belief that empowering the youth through education is critical to the success of our country and the region as a whole,” he said adding that the partnership would allow youth to achieve what matters to them.

The move is part of Chase Bank (IR) and Edulink International College strategy to increase access to quality education in Kenya. This will be facilitated by empowering students to achieve their scholastic goals by locally offering quality UK Degrees from The University of Northampton. To achieve this, the bank is seeking avenues to improve the quality and relevance of the skills young people possess when entering the labour market in order to make them self-sufficient. Chase Bank (IR) recognizes that the next few years will be crucial in determining how Kenya fares as its working-age population grows. This partnership is sure to realise more opportunities in terms of affordability in fees payment, employability by closing the skills gap and also appreciating that good education can traverse boundaries and get to deserving students here at home,” said Edulink Campus Principal, Mr. GitongaM’Mbijjewe.

Kshs 20Bn Funding To Spur Growth In Film Industry

PRC Inks Deal To Boost Agribusiness In Kenya

he film industry is set for a major transformation with the expected injection of more funds to improve quality and quantity of productions in an effort to stimulate growth in film making across Africa.

The Pan African Federation of Filmmakers (FEPACI) is leading efforts in mobilizing USD 200 million (Ksh20 billion) from financiers over the next two years towards funding the continent’s nascent audiovisual and cinema sector.

The funding plan forms one of the key planks of the Ambika Afrika Safari Film Festival (AASFF) to be held from October 12th to 19th 2016.

Speaking at a media workshop ahead of the conference, FEPACI Executive Director Jane Murago-Munene revealed that African Development Bank (AfDB) will also be investing $100 million to establish five modern regional centres of excellence to unlock its potential. The centres will offer production and post-production facilities for filmmakers on the continent. The festival – themed “The Africa We Want: One Africa, One Vision, One Destiny” – will have a series of events including film screenings, the Africa Film Finance Summit and the Africa Film Forum. She said it will be attended by policy makers, content developers and investors to discuss growth of a sector that contributes USD 5 billion to the continent’s economy but with a potential of growing to USD 20 billion. “This will showcase the best in quality, impactful feature films and documentaries that advance the African story,” said Ms Murago-Munene. “The Film Finance Summit will be a platform for financial institutions, investors, entrepreneurs and filmmakers to learn from their experienced peers what it takes to finance the film sector.” Hon. Ndiritu Muriithi, FEPACI’s Advisor, said the sector can grow from USD 5 billion (Ksh500 billion) to USD 20 billion (Ksh2 trillion) and in turn create 20 million jobs from the current 5 million while increasing revenues.

Hon. Ndiritu Muriithi, FEPACI’s Advisor.

PRC CEO and Chairman, Mr. Brian Gacari (far right) and Agri Green Country Director, Mr. Ofri (second right), sign a partnership deal that is aimed at boosting agribusiness in the country. Looking on is Mrs. Caroli.

eading real estate firm Property Reality Company (PRC) on Wednesday 21, September signed a deal with Agri Green that will see it boost its agribusiness projects as it looks to boost Kenyans capacity to invest in farming as well as create employment opportunities.

In singing the deal Mr. Simon Gacari PRC’s chief executive and chairman said the partnership was recommended by Agri Green’s expertise in agribusiness. “We have pilot projects which have been successful. As such, Agri Green’s experience, knowledge and technical expertise makes them ideal partners for the projects and they will ensure that our clients make maximum use of their land for agriculture.” Through the partnership investors will not only own pieces of land but also became business owners, employers and urban farmers.

Speaking at the signing of the agreement, Green Arava’s Country Manager, Mr. Ofir expressed his delight at the unique opportunity that will see more and more Kenyans become farmers, through opportunities to invest in Greenhouses within the plots and have them fully managed on their behalf. The partnership will see Agri Green be responsible for farm management, selection of cash crops to be cultivated, boreholes and storage facilities among other roles. The two partners will also provide market linkages upon harvesting.

In his speech, PRC General Manager Mr. Abraham Muriithi said: “The demand for fresh produce in the country is increasing, therefore, it is crucial that we work with reputable experts in the field of agribusiness. Through this partnership, our clients can be guaranteed of the highest quality and maximized yield translating to profits for them and a good return on their investment. We are happy to be part of the Agribusiness success stories in Kenya and will continue to innovate around this and other areas to ensure success of all our clients and Kenyans at large” OCTOBER 2016 i EDGEMAGAZINE.CO.KE

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10 Around Africa

Zep-Re Launches Insurance Academy, Aims To Enhance Insurance Penetration

EP-RE, a leading reinsurance firm aims to enhance technical skills for insurance executive through its newly launched training academy.

The ZEP-RE Academy which was launched in Nairobi on September 2016 in collaboration with the College of Insurance is the first of its kind in Africa. It aims to train insurance executives on the technical aspects of reinsurance management. ZEP-RE CEO

ZEP-RE MD Rajni Varia and Commisioner of Insurance Sammy Makove

RajniVaria confirmed the institution’s bid to address the existing skills gap for industry practitioners in his speech during the launch. “The training programme has been designed to provide contemporary skills and technical know-how for practitioners. It will also play a key role in facilitating efforts to raise the local insurance penetration rates under the new Risk Based Supervision (RBS) regulatory regime,” Varia said.

Kilimall Spreads Its Footprint To Uganda And Nigeria

One of Kenya’s leading online shop Kilimall has opened subsidiary in Nigeria following its launch in Uganda May 2016 as part of its regional expansion strategy. Commenting on the strategy Kilimall’s International regional marketing director Larry said Ugandan shoppers have embraced online shopping as internet penetration deepens which has been boosted by increased use of smartphones. “Internet use in Uganda has become vast and many people are embracing it for business and shopping unlike in previous years where they used it for Facebook and other social sites.”

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Best Employers in East Africa feted

Global Career Company Employer of Choice Awards in Africa was held in Nairobi Kenya during a cocktail dinner at Radisson Blu Hotel on Thursday, September 8th 2016. Outstanding employers across the region were recognised for their performance in the first East African employer attractiveness report, with P&G picking up the coveted top award for as Careers in Africa East Africa Employer of Choice, ahead of Ethiopian Airlines, who were the winners in two other categories.

The brand supports recruiting excellence in Sub-Saharan Africa and the Awards received over 500 entries from high-calibre and professional brands across the region. Over 53 companies were nominated with half of them feted.

Around The World

Safaricom CEO Bob Collymore Bags Global Award

afaricom chief executive Bob Collymore has been named the 2016 International Business Leader at the ongoing 9th annual Africa Investors (Ai) CEO investment summit in New York.

Use Your Logbook To Get A Loan In

The award to Collymore celebrates Safaricom’s market innovations and their transformational, socio-economic impact on all segments of society.

Mr. Collymore in his acceptance speech reiterated his commitment to transformative changes saying business leaders have the unique opportunity to drive change that can transform not just economies, but whole communites. He emphasized that private players have the ability to accelerate inclusive growth and immensely drive sustainability.

SAHIC To Host The Very First Hospitality Investment Conference In Havana, Cuba

n an eventful conclusion to SAHIC in Ecuador, Arturo Garcia Rosa, President of SAHIC and Luis Miguel Diaz Sanchez, Vice Minister of Tourism of Cuba, announced on Thursday 29, September that the very first hospitality investment conference will be held in Havana, with the inaugural SAHIC Cuba. Scheduled for May 15-16, 2017 at the Melia Cohiba Hotel in the Vedadoneighborhood of Havana, SAHIC Cuba is anticipated to draw great interest from among the international hospitality community.

This is a first-of-its kind hospitality investment conference and an incredible opportunity for those with potential interests to learn how to work within the parameters of Cuba,” says Garcia Rosa. “This inaugural conference is intended to share with hotel and hospitality operators how the industry is practiced in Cuba today. With policies and regulations continuously evolving, this is also a way for attendees to understand if future projects are a good fit for the destination.”

Kenya Shines In World Energy Awards

enya outshone its peers emerging top with six awards out of seven slotted for the African category during the 39th World Energy Engineering Congress in Washington DC. The awards recognise individuals and corporates that have made significant contributions in the energy sector globally.

The awards are run by The Association of Energy Engineers, a global non-profit professional association represented in 98 countries, whose objective is to promote the scientific and educational interests in the energy industry and to foster action for sustainable development.

Kenya’s major strides in implementing energy sustainability initiatives saw it feted while the individuals and corporate awardees were honoured for their collective efforts in transforming the energy sector especially renewable energy.

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14 MKU @ 20

MKU Digital Varsity Goes Global MKU digital varsity is a collaborative partnership with Sakai Platform of USA

KU Digital Varsity started as an abstract in July 2010, motivated by the Mount Kenya University’s desire to expand access to higher education and to provide an alternative way of obtaining quality academic qualifications to those who could not attend the campus-based mode of learning. The university has invested in reliable ICT infrastructure, integrated students management and digital learning management systems to actualise digital learning. Like the proverbial long journey that starts with only one step, MKU Digital Varsity started as a small distance learning centre housed at the Main Campus in Thika, offering Bachelor of Business Management and Bachelor of Psychology. With just a population of around 50 students, the centre morphed into MKU’s Virtual Campus in July 2011, and later to Virtual Varsity in 2012. Currently, over 10,000 students are enrolled in various course programmes, with the number set to grow to over 50,000 students.

MKU Digital Varsity is a collaborative partnership with Sakai digital platform of USA. This is the platform of choice by over 350-plus world’s top-ranked universities, including Stanford and Oxford universities. The platform serves upwards of 1.25 million students in the US and 4 million students globally. This number includes more than 10,000 Mount Kenya university students. Within a single platform, the MKU Digital Varsity supports virtually any type of instructional approach, including elements of the educational experience that are unique to specific programmes.

EDGEMAGAZINE.CO.KE i OCTOBER 2016

MKU Founder Dr. Simon Nyutu Gicharu exchanging MoU with his China University Counterpart Dr Fengchi Luan.

Our exceptional team of technical support staff help students to navigate the platform. Students connect with the Student Support Team by phone, email, and online chat. Virtual access MKU Digital Varsity offers students the opportunity to study at Mount Kenya University wherever they are in the world. They enjoy access to innovative learning

resources, leading-edge curriculum and the experience of friendly and dedicated staff. The students are offered personalised support all along the way from enrolment to graduation. Students choose from a growing programme offered at Digital Varsity, including Master of Business Administration, Master of Public Health, Bachelors in Criminology and Security Management, among others.

The digital learning format include an introductory orientation week for students to meet fellow students and prepare themselves for 12 weeks of lecturerled independent study and discussion. Students are able to study “anytime, anywhere”, and contribute to ongoing lively discussions and debates with fellow students and their lecturer, each week. Active participation is expected and encouraged.

In the final week, students are scheduled to sit for end of trimester examinations at the nearest Digital Varsity examination centre. MKU Digital Varsity has a proud history of serving the education needs of the military, police service and other security agencies. Currently, the varsity offers diploma, undergraduate and postgraduate programmes in security studies. By providing broad access to quality higher education through distance learning, MKU Digital Varsity has become the choice of more than 2,250 men and women serving in various security agencies. Amidst the fast-changing and challenging role of Members of Parliament, 12 members of National Assembly and a member of Senate are currently pursuing programmes through the Digital Varsity. The Digital Varsity remains committed to making a positive and enduring impact in communities. This commitment is best expressed by the motto, “Scaling the Heights of Education”. When students succeed, countries prosper and societies benefit.

The Varsity offers a unique learning experience that combines web based supported learning, and strong student, technical and academic support through the use of interactive and feedback learning tools embedded in the Digital Learning Management system. The online lecturers and university professors provide the required academic support to students. Learning combines various digital instructions with e-tutorials through the learning system. The university has an elaborate students’ mentorship programme to ensure their

academic life is catered for from the time of enrolment to graduation. Today, MKU serves students from more than 21 countries including US, United Kingdom, Germany, Saudi Arabia, Nigeria, Cameroon, Seychelles, Angola, UAE and Oman.

The Digital Varsity has established networks with alumni who have acquired their qualifications through the online system. Furthermore, it is well equipped and has the necessary capacity to cater for the academic needs of both local, regional and international students at the global scene, thanks to information Communication Technology, powerful Enterprise Resource Planning System (ERP), Students Management information System (SMIS) integrated with a scalable learning management system (DLMS) and a capable human resource that ensures both the administrative and academic needs of students are promptly addressed. The customer relations system is embedded in the digital varsity call centre, which is managed by able customer care staff. This has upgraded the level of customer and online students support. Mount Kenya University has positioned itself as a centre of excellence and the preferred centre of choice in promoting educational opportunity by providing

The university’s digital learning management system has given virtual students and online lecturers and professors a new interactive and support framework. It enables the students to access their lecturers and resources, including CATs and assignments, and e-learning material and library online

quality higher education, training and professional development to meet the learning needs of the society.

Digital Learning is borne out of recognition that learning is moving out of the classroom and into the learner’s environment, hence virtual technology is central to this inevitable and indispensable transformation. It is embedded on the philosophy of education anywhere, anytime, at your own schedule and place. The Digital Varsity therefore seeks to provide learning opportunities to students who are unable to take up full-time on campus programmes.

The Digital school provides a wide range of quality programmes at certificate, Diploma, Undergraduate and Post-graduate levels. The convenience that the university offers learners is set for enhancement. The university plans to have Diaspora students take their exams online. This will be a huge improvement over the current arrangement, whereby Diaspora students sit for exams in Kenyan embassies abroad. There are also plans to make the call centre available 24 hours a day. For now though, Kenyans who live outside the country but desire to learn at MKU are assured of gaining access to education. They learn and do continuous assessment tests (CATs) online, but sit their exams at Kenyan embassies and high commissions, wherever they are. For their graduation, they have to travel back to the country. Everything else, including registration, is done from where they live.

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16 Project Management

Construction Project Management- Can Mwanzoni Fix It? The firm aims to be a market leader in the development and project management of real estate investments

he world is constantly changing and standing still can be a major fall-back. Just like any other industry, the property sector is continuously evolving. A real estate report in 2014 indicated that major towns in Kenya are experiencing an exponential growth due to rural-urban migration. As a result, the demand for both residential and commercial property has risen. Nonetheless, property developers are unable to satisfy this demand, which has been partly attributed to the absence of a proper finance mechanism, unavailability of loan capital, general low income levels, bottleneck in the supply of building materials, increasing cost of building materials and land acquisition problems.

“I studied construction management at the University of Nairobi and went to the United Kingdom for my Masters and Doctoral studies. Thereafter, I worked for major companies in the UK for 10 years before returning to Kenya in 2011,” opens up Dr. Lawrence Mbugua, chief executive at Mwanzoni Limited during an interview with Edge Magazine. According to him, construction project management is all about motivating the project professional team, client’s management team and the construction workforce in order to secure compliance with standards of performance and gaining their commitment to success. It also entails establishing a good working relationship, which will facilitate mutual trust and cooperation. Settling back in Kenya, Dr. Mbugua was amazed at the opportunities in the market.“There was a gap in project management and there were only a few firms servicing the market,’’he says.

That informed the establishment of the firm in 2013 with a vision to provide end-to-end services to clients, hence the name Mwanzoni – ‘from the start’. EDGEMAGAZINE.CO.KE i OCTOBER 2016

Dr. Lawrence Mbugua, chief executive, Mwanzoni Limited.

“We help our clients from the start to the end of a project. For instance, we engage from conceptualisation of an idea through development until it can be realised,” reveals the executive.

The firm’s ability to interface across the whole process of construction while giving a holistic experience gives it a cutting edge in its line of business. “We offer both local and international best practices from development, through construction to even sales and marketing support of the project,” he says. Services offered are categorised broadly into four groups.

“After completion of the project, we assist in sales and marketing and work with any reputable agent using the right processes, although we are not a property agent per se,”

Jumuia Huruma Hospital.

Investment strategy This is where a client has an idea and wants to come up with an investment strategy. “For instance, you can have a piece of land and you are undecided on want you want to invest in. One might also have an idea and is looking for land to invest in, we are trusted to provide relevant investment options,” he shares. Particularly, the firm guides clients in making sound investment decisions based on their goals by providing services in market study, feasibility study, building economics, development finance modelling and organising project finance.

Project management This follows after funding has been secured. It starts with design management where the firm engages professionals in coming up with the concept design and develop it. Mwanzoniprocures services from reputable architects, engineers, quantity surveyors and professional construction teams to develop the idea in line with the findings of the business case and feasibility studies. “It is always recommended that you employ reputable& registered professional services firms to get your job done,” he advises. He further says that most people may have an idea of what they want but fail to involve professional project manag-

Jumuia kaimosi hospital.

ers. “Some walk straight to architects and start the design and once it’s done they get stuck, wondering how their project can be funded and developed. It is usually a back and forth moment which is tiresome and endless. When development starts they realise that there is a lot of changesthat can be frustrating to both the client and teams involved.” Construction management Traditional project management has been focusing on construction project management, says the executive. At this stage, the firm procures the right contractor to undertake the project and supervises them to ensure they deliver on time, cost & quality.

Property and estate management Mwanzoni supports client to develop strategies for property and estate management, including advice on property leasing and management, facility management and estate management.

“After completion of the project, we assist in sales and marketing and work with any reputable agent using the right processes, although we are not a property agent per se,” adds Dr. Mbugua.

Training and capacity building Functional organisational development ensures efficient utilisation of resources, in- depth skill development and influences strategic decisions. This facilitates unity of direction with the management providing co-ordination and control of the project. Mwanzonisupports the industry in increasing capacity, working with international accredited institutions to offer a range of project management courses and certifications such as PRINCE2, PMP, Finance for Non – Finance Managers, Finance modelling with MS Excel etc.

Asked whether the experience has been fulfilling, he comments that it has been a big learning curve. “Being a new company, getting things done is always challenging. We have been trying to get people to understand what we are doing and appreciate our services,” he says. He adds that opportunities abound and Mwanzoni is quite fortunate to work with respected clients andrun major projects. “We target individuals, major developers and corporate clients.”

Currently the firm is managing the ongoing NCCK hospital projects across the country. The firm has also done quite a number of feasibility studies anddeveloped business cases for various projects. It envisions to launch a high end residential golf estate by the end of the year.

Going forward “We would like to solidify the markets and come up with more innovative projects in this industry.We are also planning to set up a project finance portal where clients who have projects and are looking for funding can be linked to investors and vice versa (http://mwanzoni.com/project-funding/). Mwanzoni has also been registered by the National Construction Authority – category 6 and intents to support our clients with interior & building construction services,” concludes the executive.

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18 The Techie

Gatwiri Kirimi, founder and MD at Inforparts Limited.

How Former Sales Lady Overcame The Odds To Establish Thriving IT Venture

enya is fast becoming a startup, tech and investment beacon for the rest of Africa to imitate. The wave of innovations witnessed across the local and global IT industries in the last few years have driven market leaders such as Microsoft, Google, Intel and IBM among several others to set up bustling regional hubs in the country. For shrewd tech-preneurs like Ms. Gatwiri Kirimi, such developments are welcomed with open arms. After a 10 year sales career at General Motors East Africa’s Nairobi headquarters, Gatwiri gave in to an offer to take up a similar role in an IT startup in mid-2010. 6 month’s into the new job, she opted

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out and decided she was better off on her own. Today at 39, she is the Managing Director of Inforparts Limited, a thriving ICT venture with a multi-national client portfolio straddling a diverse range of corporate, NGO and government institutions. “I had always wanted to start my own firm so when I finally found a partner who was IT savvy I knew I would readily have the technical support I needed and I just went for it,” reveals the mother of three. In the years that followed, Gatwiri relentlessly marshalled her team to build a steady customer base through consistency. From airlines and SME’s to parastatals and multi-national agencies, her roster of blue-chip patrons rely on Inforparts’ stream of products and services to quench their constantly evolving technology needs.

“Of course there are one or two who fail to pay,” she points out, “but if you establish a trusted relationship with clients they will support you.”

As certified agents, we only deal in genuine products from authorized dealers

Admittedly, working in a sales environment gave her invaluable experiences that have been instrumental in her entrepreneurial journey. Through her rich networks, she was able to gradually establish her business as a credible enterprise by leveraging on trust to establish and build relationships with clients and service providers. “As certified agents, we only deal in genuine products from authorized dealers. We also try as much as possible to deliver on time and provide after sales services and support to ensure our clients are always up to date with the latest trends in the market. That

Gatwiri and part of her women team at the service workshop.

Inforparts staff.

is how we have managed to maintain our relevance in this industry.”

involved in various personal and joint initiatives that are concerned with tackling the challenges facing Kenya’s vibrant ICT industry. She was part of a group of entrepreneurs who partnered with the Kenya Private Sector Alliance to implement a World Bank funded youth empowerment programme in 2015.

Like any entrepreneur worth the audacious title, Gatwiri’s ride has not been without its fair share of bumps and bruises. For all her triumphs, the mother of two cites a parallel struggle she had to navigate as she sought to nurture her dream into the present reality. “There are times I would go for a sales pitch and the client would look at me and ask, “where is your manager?” she reminisces. “I had to bring my male employees to all my meetings in the first few years just to secure that confidence.”

Besides the cultural barriers and initial cash flow challenges, she quickly realized the need to infuse seamless management practises to ease decision making processes and nurture independence among her co-workers. Gatwiri credits her open door management policy as an instrumental pillar for the survival and growth of any startup.

“For us to be able to grow from a tiny office with just a few clients to having partnerships with global brands we had to embrace a very dynamic approach in our operations. Part of that involves continuously empowering and training our sales and technical teams to efficiently play their roles in the business.” Perhaps premised against the backdrop of her own experiences, Gatwiri is actively

For us to be able to grow from a tiny office with just a few clients to having partnerships with global brands we had to embrace a very dynamic approach in our operations

“KEPSA realised that most graduates lack employability skills which I have found to be true in my attempts to provide training opportunities for young girls in IT. We came in to mentor them and instil relevant employability and entrepreneurship skills.” Despite her litany of personal and professional accomplishments, Gatwiri insists she is only just getting started on her mission to establish herself as an unwavering luminary in the sector. Her resolve is spurred by the consistent organic growth she has realized over the years against numerous storms and challenges. “Think of how Microsoft has successfully evolved within the realm of technology to remain a global force over the years. We are also innovating our products and services to suit the prevailing market needs,” she explains. “For instance, while our server business has decreased we are now able to provide very robust cloud computing solutions that meet the latest standards. Gradually, we hope to become a one-stop solution provider by enabling clients to keep up with the latest products and solutions at practical costs through long-term IT leasing models.”

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20 Microfinance

From A Community Organization to a Microfinance Bank Uwezo Microfinance bank seeks to expand its operations to major towns around the country as it endeavors to provide sustainable solutions for wealth creation Words

Jenny Nyawira

n the past few years, a number of major microfinance institutions (MFIs) have transformed into fully fledged banks. The Microfinance Act has also seen the transformation of key players in the industry into deposit taking microfinance (DTM) institutions.

Among them is Uwezo Microfinance Bank. Uwezo started as a community organization which means that its operations were restricted to specific administrative boundaries as prescribed by the law. “In 2016 however, we obtained a nationwide license that allows us to set shops and operate in any part of the country,” says Edward Mwathilii acting chief executive at Uwezo Microfinance Bank.

The fast growing MFI started in 2010 and is registered under the Microfinance Act and regulated by the Central Bank of Kenya (CBK). Uwezo is committed to become the leading microfinance bank by providing quality EDGEMAGAZINE.CO.KE i OCTOBER 2016

Edward Mwathilii acting chief executive at Uwezo Microfinance Bank.

and professional financial and savings solutions, products as well as investment services in the lower end of the financial markets. “Our mission is to provide sustainable financial solutions for wealth creation and improved livelihoods.”

The microfinance institution targets small and medium enterprises (SMEs), professionals, and investment groups. Today, it has a client base of 6,000 customers, up from 10 during the initial days. With presence in Githurai, Kikuyu and Ongata Rongai, the oganization’s main focus is to expand to other major towns across the country. “We have also managed to grow our loan book from Ksh. 5 million to Ksh.190 million,” he says. Product offering Uwezo has structured its products to meet the needs of its target customers. Some of the products offered by the institution include business support loans, asset financing, LPO (local purchase order) financing loans, development loans and investment loans for groups and chamas. “In LPO financing, we finance up to 100 percent,” observes Mwathilii.

“We are focusing to expand our product range to bid bonds and performance bonds before the end of the year,” he adds.

Each loan comes with attractive incentives and very competitive interest rates. For instance, the institution offers free financial advice to ensure that loan granted is used for the purpose it was borrowed for. Besides, the loans are flexible and responsive to customer needs.

Mobile banking The MFI has been able to build a brand through its digital platform. The Uwezo bank mobile banking service enables customers to access a range of banking, money transfers and payment services. They include making deposits, sending money to other account holders or Mpesa, transferring money to and from the account, paying for goods and services, and paying bills such as electricity and water bills. It is also used for loan repayments. In addition to that, the institution provides visa branded ATMS to its customers. Despite its successes, Mwathilii points out that the MFI has to contend with high default rates especially in asset financing, adding that high inflation has affected loan repayments. He is also quick to share his sentiments regarding the capping of interest rates saying that it will negatively affect microfinance banks while many people will be locked out from accessing credit facilities from MFIs.

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22 Main Story

Radar Group Launches A Courier Division Radar aims to offer unrivalled services to clients through its newly launched courier division

Andrew Solomon, founder and managing director, Radar Group Limited.

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Part of Radar Courier division.

hen Radar Group Limited opened its door to operations in Kenya in 1998, no one ever thought it would become one of the leading security companies in the region. With its headquarters in Nairobi Kenya along Argwing Kodhek road, the company has grown in leaps and bounds to have a countrywide footprint with thousands of workforce, servicing hundreds of clients within and outside the country. Radar now operates a group of companies under its name including Radar Security, Radar Alarms, Radar Systems and the newly formed Radar Courier. “The prevalent cases of insecurity and terrorism have led to increased need of reliable and trusted security providers in the region. We are happy to be the leading provider of qualified security personnel and related services,” comments Solomon

during an interview with Edge Magazine in his office.

The demand for VIP close protection, intruder alarm systems and sniffer dogs has also gone up exponentially. “When we introduced these services, we were only dealing with a handful of companies. Right now the demand is high and security services are fully utilized and we expect the demand to grow.” “If you are keen, you will note there is an increased presence of security personnel in towns, schools and even malls. Business owners want to ensure that their clients feel safe when visiting their premises.” The company has been exploring various avenues for growth. The onset of e-commerce and online shopping as well as demands for a well-trusted and reliable courier firm by individuals and businesses has led to increased opportunities in the market. Such informed Radar’s launch of the courier division.

“It is not just good for the industry but it also complements our operations as a group,” says Solomon adding that: “Our relationship with clients is important hence we offer a one stop solutions and best laid out services for them.”

Radar Courier Radar Courier is a leading regional provider of one stop shop for logistics solutions with a national and global reach.

Magaret Njenga, the head of Radar Courier Limited.

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24 Main Story

At your service.

Radar Courier fleet ready to serve.

“Whether you are a small business operating out of a single location or a multinational with a massisve footprint and require fast, secure and timely logistics solutions, we at Radar Courier have the resources, people and expertise to help manage and grow your business,” says Magaret Njenga, the head of Radar Courier Limited.

The firm provides services that are fully customizable to any enterpise−complete with industry experts and technology. “We have a big transportation fleet and a robust warehouse support structure,” she says adding that: “Our services are tailor made and customer centric. Thus, we give our customers the best services and experience that is unrivalled in the industry. We take time to understand their needs and address them effectively,” offers Margaret. Technology continues to reshape the retail world, argues Margaret. “As more consumers click to buy from e-commerce platforms, they want faster delivery and keep track of their shipment,” she says. It is in this spirit that the company invested in innovative tracking system which enables one to keep track of their shipment at the touch of a button regardless of where one is. The automatic proof of delivery

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We strive for quality in everything we do. Whether it is a speedy delivery or overnight shipment, we are trusted to meet ones’ needs

Our resources.

notification to a client further cements the company as an authority in its line of business.

“We strive for quality in everything we do. Whether it is a speedy delivery or overnight shipment, we are trusted to meet ones’ needs.” One can also keep track and progress of a shipment, and in case of a delay or any other upheaval, oneis notified

◆ Radar Rush Service ◆ Radar Same day, and overnight services

◆ International

documents and parcel deliveries ◆ Packaging and removals ◆ Warehousing services

Customs brokerage and excise clearing services Radar has an experienced and qualified team which assists importers and exporters in custom clearance. Its strong relationship with the Kenyan custom department ensures this is done in a timely manner.

and the firm makes sure it is resolved in time.

Products and service The courier offers professional services at very competitive rates. Its scope of services include: • Radar Rush Service • Radar Same day, and overnight services • International documents and parcel deliveries • Packaging and Removals • Warehousing services Radar Online shops Partners The firm offers tailor made services

First class customer experience.

specific to the needs of online shops allowing them to focus on their core business.

Service on the move.

Radar Local Cold chain supply This is uninterrupted series of storage and distribution activities which maintain a given temperature range, serving to guarantee longer shelf life of a product such as fresh agricultural produce, sea food, frozen food, photographic films, chemicals and pharmaceutical drugs , vaccines and serumamong others.

Air freight / Sea Freight “When courier or Express Cargo is not a viable option, Airfreight and sea freight is the best alternative. We contract through a network of strategically placed agents in Kenya and various parts of the world, who are able to offer our clients the most competitive Freight rates. We also offer reliable airline options which can move your airfreight from ex-works up to the final destination anywhere in the world,” says Margaret. International delivery The company has partnered with well-estbablished courier and logisticts services providers both locally and internationally. Through its network it has access to over 200 destinations loccally and over 3000 globally.

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26 Main Story

Securex: Guaranteeing Safety And Security For All At Securex it is not just about security, but creating freedom by making everyday life safer

stablished 46 years ago by Mr. Kishorilal Sahni, Securex Agencies Limited is one of the major security providers in the region. “We are a regional private security firm that provides technologically-inspired security solutions tailored to every client’s needs,” says Mr. Daniel Lemmer, chief operating officer, Securex. Mr. Lemmer further notes that the firm provides more than just security as it ensures clients enjoy the peace of mind that only comes with knowing that what they hold dear is safe in their hands. Simply put, we “empower success”. The security firm has a family of over 6,000 employees in the region that is bound by its purpose; “creating freedom by making everyday life safer” and it is committed to doing whatever it takes to live by this. Securex has been a beacon of excellence for 46 years now, growing from a small business in 1970 to a regional powerhouse today, forging fulfilling partnerships with clients along the way.

The firm has presence in Kenya, Uganda, Tanzania, South Sudan, Ethiopia and Somalia in the region, as well as the Democratic Republic of Congo and Senegal in Central and West Africa. Range of product and service offering Securex imports, assembles, installs and distributes equipment ranging from electric fences, turnstiles and bollards for one’s perimeter security, walk-through and hand-held metal detectors and baggage scanners for security screening, alarm transmitters, CCTV and access control systems. Services offered include guarding, with a guard force that is 5,000-strong in the region. Besides, protection and explosive detection dogs as well as risk consultancy and training services are also provided.

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Mr. Daniel Lemmer, chief operating officer, Securex.

we have partnered with world leaders in the global security industry to ensure we always remain ahead of the curve

“Being a technologically driven firm, we pride ourselves in providing top-notch security solutions inspired by technology,” says Mr. Lemmer, adding that “we have partnered with world leaders in the global security industry to ensure we always remain ahead of the curve.” Securex is an authorized distributor for garett (security screening-metal detection), astrophysics (baggage scanners) and honeywell (fire detection and suppression systems).

Everyone has a home at Securex. Client portfolio includes government and diplomatic assignments, embassies, hotels, hospitals, shopping malls and educational institutions. The firm has also secured

Securex alarm response team.

corporate clients, ranging from blue-chip companies to small and medium-sized enterprises as well as residences across the country. The wide range of products and services allows Securex to stretch its reach across the board.

Counter-terrorism measures The company has incorporated counter-terrorism strategy into its training curriculum for all the uniformed staff, including the guards and mobile response teams. “Our guards are in the first line of defence in the war on terror, protecting key assignments such as hotels and shopping malls that are often viewed as soft targets for insurgents,” notes Mr. Lemmer. Furthermore, Securex conducts refresher training courses for all the uniformed staff. Here, teams are kept up to date with current and emerging trends in crime and terrorism, ensuring they do not get caught off-guard. “We also use explosive detection equipment

from United States-based firm Implant Sciences and Astrophysics as part of our security screening measures.” Besides, explosive detection dogs and handlers play a critical role in the approach to counter-terrorism.

Securex contact centre.

Intelligence-sharing between the government, security industry and members of the public as well can further improve surveillance systems. Intelligence shared by citizens has led to the arrest of key terrorism suspects in the past, and this is a model that can work and needs to be fully exploited. It is also important that the government, through local administration, ensure all citizens are in “a state of amber alert”, meaning that everyone should be vigilant and quick to note and report suspicious activity. A proper, confidential reporting mechanism right from the grassroots level should be developed and implemented.

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28 Main Story

Key milestones Not only has Securex been providing service with excellence since 1970, but is has been a pioneer in every right. Some of its major achievements encompass: • A founding member of the Kenya Security Industry Association • First to introduce products such as the Under-Vehicle Surveillance System (U.V.S.S) and the Garett handheld metal detectors in the early 90’s as well. • The first security firm to be ISO-certified in 2004 (ISO 9001:2008) • The first security firm to receive OHSAS (Occupational Health and Safety management system) certification in 2015 (OHSAS 18001:2007) • A member of the prestigious “Club 101” as per K.P.M.G since 2012. • Created a defined career path for its uniformed section staff. Despite these achievements, Mr. Lemmer observes that they have come with their fair share of challenges. “One of the stumbling blocks that we have faced in our operation is the lack of regulation that had previously ailed our industry,” he reveals. The private security industry has grown rapidly over the last decade, and now offers employment for approximately 300,000 guards across the country. The Private Security Regulation Act signed into law by the President in June, when implemented, will address this challenge and streamline the sector. Additionally, as the situation currently stands, some companies do not provide adequate training for their personnel, and sell sub-standard equipment to unsuspecting civilians. Most importantly, such firms do not offer remuneration commensurate with the legally-prescribed minimum wage demands.

“We have also called for intelligencesharing between the private security industry and the Government in the past, as we have identified this as an opportunity to improve our surveillance and efficiency of our national security organs,” says the chief operating officer. “We hope that the Act has now established a platform on which this can be done, and by working together with the government, EDGEMAGAZINE.CO.KE i OCTOBER 2016

Securex heroes awards.

civilians will be able to feel the impact that our industry has on national security,” he adds. It is time for private security companies to shine and prove their worth to the government as well.

Securex will remain committed to serving customers and keeping them safe, as per their core purpose

Road ahead Securex looks forward to creating more employment opportunities for young, enterprising and innovative citizens. The firm is also quite excited about the newly enacted Private Security Regulation Act, and is looking forward to working closely with the government in ensuring implementation of the law. Beyond this, Securex will remain committed to serving customers and keeping them safe, as per their core purpose, “creating freedom by making everyday life safer.”

Mr. Kishorilal Sahni Securex Group founder and chairman

r. KishorilalSahni established Securex Agencies (K) LTD in 1970 after retiring from the police force, having served as a Superintendent. He was driven by passion for security, and saw the need to provide premium security and private investigation services to the public.

He founded the company with only two employees.The company has since grown in leaps and bounds, under the stewardship of Mr. Kishorilal. For instance, in 1996 he oversaw the firm’s expansion Mr. Tony Sahni Securex Group Managing Director Tony Sahni is a career professional in the security industry with more than 25 years’ experience at Securex Agencies Limited as the Group Managing Director. Under his tenure, Securex has grown steadily and now has branches spread throughout Kenya, Uganda, and Tanzania. Securex also maintains a presence in South Sudan, Ethiopia and Somalia in the region, as well as the Democratic Republic of Congo and Senegal in Central and West Africa.

Beyond this, the company now has a family of over 6,000 employees in the region. This success story was made possible through: ◆ People- Mr. Sahni believes in investing in his own. He is heavily involved in recruiting the core of supreme talent that Securex now boasts. ◆ Product-Through market research and product research development, Mr. Sahni has been able to keep Securex ahead of the competition. He places emphasis on innovation, and by embracing this approach Securex has revolutionized the local private security industry through the introduction of products such as the Garett

to the Securex place in Parklands, and recently to the 9 Riverside Building on Riverside drive.

Under his guidance, Securex has established branches in Nairobi’s Industrial Area and Mombasa, as well as ventured in Uganda and Tanzania.

Currently aged 83, Mr. KishorilalSahni is still motivated by his passion for security and business. His commitment to the cause has inspired many to have long, fruitful careers at Securex, and his contribution to the field of private security has cemented his place as an iconic figure in Kenya’s national security set-up. metal detectors and the Under-Vehicle Surveillance Systems.

◆ Passion-Mr. Sahni has great passion, devotion and commitment to business, and is driven by an ambition to increase Securex’ market share in the continent and turn it into a global brand.

A born leader, Mr. Sahni served two consecutive terms as the Chairman of the Kenya Security Industry Association (KSIA), where he agitated for the welfare of private security guards in the country.

In Securex, he has instituted several initiatives geared towards motivating the uniformed section, with particular focus on education, sports, labour welfare and youth empowerment. He has vested interest in mentoring the youth and bringing up the next generation of entrepreneurs. In this regard, he is currently a Board Member of the Entrepreneurship Organization-East Africa Chapter, an organization which educates, transforms, inspires and offers resources in the form of global events and leadership-development programs among other offerings designed for personal and professional growth.

He also led UNIACE Limited and Oceanbrook Limited in the United Kingdom prior to his time at Securex Agencies (K) LTD. OCTOBER 2016 i EDGEMAGAZINE.CO.KE

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By Carolyne Gathuru

30 Customer Service

Can Security Personnel Man Your Guest Relations? Corporate culture is not built in a day and to have a culture of service excellence requires sustained effort

he country has seen a common trend over the past few years, of front office operations being outsourced to security firms. Many receptions have security personnel in their company uniforms, handling guest and entry coordination functions. There has been a big debate in the customer experience circles if this is an appropriate move, and if it does add value to have outsourced staff being the â&#x20AC;&#x2DC;faceâ&#x20AC;&#x2122; of the organization. Whereas it is accepted as the norm to have security personnel handling gate entry procedures, there are different schools of thought about the extension of this service to guest relations.

BPO Business process outsourcing has over the years become a very smart move for organizations to make in order to offload non â&#x20AC;&#x201C; core functions to competent partners, and to focus on what they do best. Nowadays strategic decision making includes analyses of functions that would be best outsourced, with the pros and cons of in house operations verses partnerships for delivery, being debated in boardrooms. As such, the outsourcing of reception duties has seen such an increased uptake, to the extent that security firms currently offer front office training programmes for their recruits. They then use this as a marketing tool when pitching for assignments. Once upon a time though, receptionists who

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were viewed to represent the face of an institution were carefully selected to match the requirements of the brand. Some organizations still uphold this practice and prefer image over aptitude. What the proponents whether for or against this strategy must agree on, is that is imperative to ensure that service delivery is seamless, irrespective of if the holder of the role is a direct or indirect

employee of the organization. Starting right from the security personnel at the gate or manning the main door, to the reception desk; service standards that plug completely into the customer experience strategy of the organization must be upheld.

outsourced staff requires that they be part and parcel of the internal programmes implemented to drive change. The relevant budget holder in the organization needs to factor security personnel into the training budget irrespective of if the training is in house or outsourced. The expectation that excellent service will be delivered, without making the investment to plant and carefully nurture the seeds of service is an exercise in futility; and any CEO worth their salt will ensure that training programmes planned for in house teams are applied to outsourced third parties in equal measure. Success cannot be achieved any other way.

The service level agreements signed with the outsourced security firm need to incorporate customer experience targets and deliverables. Over and above the functional expectations of the outsourced partners, there should be an in-depth discussion on the organization’s service excellence standards,with clauses specifically outlining customer experience needs and how these will be applied and measured. The catch here though, is that most security firms already have systems in place to train their staff on customer service. The more discerning ones ensure that these programmes are conducted annually with refresher courses are held for older staff. The security staff are therefore deployedas already ‘trained’. Whereas this is excellent and empowers the incoming staff to be better armed at handling responsibilities, these training programmes are wired to the standards deemed appropriate by the supplier and may not completely align with the on ground expectations. Profound subject Given that customer experience covers the entire spectrum of the customer’s journey and interaction at all touch points, the role played by security personnel in an organization is critical. It is said that first impressions last and that the entry and exit points of any organization are the most sensitive. It is here that more often than not, security personnel will be found stationed .Who then is responsible for ensuring that the values upheld by the outsourced staff are congruent with the values of the main organization? Is it the responsibility of the talent management team to put in place systems and structures to ensure outsourced staff are as equally well trained as in house staff? If this be the case, whose budgetary allocation is it to deliver this objective? Should the company of origin or the company of destination foot the bill of the outsourced staff’s customer experience management training? For any organization to have standardized service delivery across divergent teams from far flung departments, the customer service strategy must have a comprehensive orientation programme and continuous training sessions organized on a regular basis. Corporate culture is not built in a day and to have a culture of service excellence requires sustained effort. To further have this outcome cascaded to

The outsourced teams must also be involved in joint initiatives and activities including: where representatives of different departments converge to deliberate over service delivery, the outsourced security team must stand up to be counted; where incentives and rewards are being applied to inspire improved service delivery, the security team needs to be included as an integral player; and where devolution of the corporate strategy for service excellence is planned for staff awareness, the outsourced team needs to be lined up right along the rest of the departments for receipt. The folly of many an organization is to ‘somehow’ expect excellent service from ‘outsiders’ without having made the requisite investment to nurture this outcome. This needs to be urgently readdressed to ensure that the firms seeking outsourced security and reception functions do so on the clear understanding that the customer service delivery of these teams is squarely their responsibility.

Given that customer experience covers the entire spectrum of the customer’s journey and interaction at all touch points, the role played by security personnel in an organization is critical.

That security and now reception services will continue to be outsourced is not in doubt. This model has seen efficiency and effective cost management successes reign in many businesses. What needs to be instituted as the next step is to focus on harmonizing the customer experience from inside out…or is it from outside in?

Caroline 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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32 Urban Planning

By Edward Mugo

How Architectural Design Of Buildings Affects Our Productivity And Health

tress is one of those phenomenon’s in life that do not come with a sign or a shout; it just creeps in slowly over time. Do you know that the environment you live in can contribute significantly towards that stress?

Some of the environmental characteristics with direct effect on mental health include housing, crowding, noise, indoor air quality, and light. These factors amongst other socio economic variables combine to affect us in a number of ways in various settings. A 2012 study by U.K.–based design firm IBI Nightingale conducted jointly with the University of Salford., found that the confluence of classroom design features, such as room orientation, acoustics, and furniture, can enhance or set back a student’s academic progress by up to 25 percent during the course of a year. Although there is near consensus on the relationship between housing quality and psychological distress,

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planners and property stakeholders have failed to address this problem in a holistic manner.

In many parts of Nairobi it may be already too late to change this very stressful urban fabric. This has forced many urban dwellers to reduce stress by over drinking, getting hooked on drugs, domestic violence and other deviant behaviour. We always realise when schools close how unfriendly our environment is and this is why there

Schools with leaking roofs, mouldy walls and dangling ceiling tiles, can cause significant levels of stress and therefore impact learning to the tune of 25% especially in the early years.

We are also witnessing high stress levels at the work place, with many employees suffering from anxiety or depression. Sitting on a desk the whole day can literally kill you! The World Health Organisation now lists inactivity as the fourth-biggest killer of adults, but what does our Architecture and space planning do to us? Does it heal or exacerbate the problem? Making an office work for your employees through natural light, proper aeration and temperature, good facilities, colour and greenery can boost the productivity at the work place.

Poor office lighting is a stress-inducing factor. Choosing the “right” light is extremely important when considering an individual’s well-being. For example, when we are exposed to areas which are either too harsh or too dimly lit, lack of creativity may arise and we could be prone to headaches and confusion.

has been a proliferation of holiday camps in, sports , religion, mentoring, cooking etc. We are scared of our kids running around our estates as it is no longer safe for them! Great teachers, stable families and a school’s location have long been said to be key to student success. New studies suggest that a school’s physical design can improve or worsen children’s academic performance by as much as 25 percent in early years.

Different lighting requirements might be appropriate for different work activities, job functions and individual requirements. It is important that your office designer or Architect gets the lighting levels correctly. Both natural daylight systems and indirect lighting systems not only reduce electrical energy consumption but also create a more pleasant office environment by providing glare free and natural lighting. Break out areas for staff should also be designed with more space and a variety of seating options. Being social areas, they should be designed with more colour and vitality.

The idea is to create indoor space that does not look like an office and is a fun place. It does not need to be expensive and can incorporate - flower vases, beanbags, creative partitions and simple paintwork.

It is time we worked to create a different, friendlier and healthier Architectural space for the benefit of our well-being. On paper, all these estates have part development plans that contain open play areas.

Unfortunately, many home spatial qualities have deteriorated to an alarming degree. This is witnessed throughout the various social classes, from: the congested flats in Eastlands ,Githurai , RongaiKilimani , Westands , and Kileleshwa, all with minimal urban open space to play and relax. On paper, all these estates have part development plans that contain open play areas. These strategic spaces have either been grabbed and user changed or overgrown with weeds, grass, garbage, or even converted to become the local garage or kiosk haven. The problem is in the policing of policy! Who ensures that developers provided sufficient play area in urban developments?

Can we think of partnering with companies that can develop commercial facilities, say members club, sports club on say 25 per cent of the land and that can commit to maintain the remaining 75 per cent of the open area for the community on a BOT (Build, Operate and Transfer) model?

It is time we worked to create a different, friendlier and healthier Architectural space for the benefit of our well-being. The writer is the CEO of EDG and Atelier, an architectural firm based in Nairobi. Email: edg@edgatelier.com

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34 Human Capital

By Perminus Wainaina

When Should You Hire an Intern?

ow much effort and care do you take when hiring interns for your organization? For most employers, hiring interns may seem as just another easy hiring process since all they need are extra hands to do the job. For others, it may take a complex process since they are investing on them to become future employees at the organization. So how do you ensure that hiring interns works in your favour and not against you? In this post I explain the good side of hiring interns, the disadvantages that come when the process is done wrong and how employers can ensure they benefit from hiring interns.

When Hiring Interns Looks Like a Great idea Bringing on interns in your business to help you on a project or reduce pressure on the work force may be a great move for your organization. This is because your business will stand to benefit from the new skills, fresh experience and new perspectives that these young bloods have to offer. It also becomes a less expensive venture for your business since you do not have to invest a lot of money into their salary like you would on new employees.

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At this point, hiring interns becomes the best idea in cases where you have a lot of work to be done but you are on a tight budget and hiring experienced employees would be a great risk for your business. So whether your interns are unpaid or paid, as an employer you are able to train them into the kind of employees you would want to work for you on a long term basis. This then ends up benefiting the intern who learns invaluable skills and your business in the long run. While this may sound easy and typical, hiring interns do not always bring out a positive result and could sometimes hurt a business beyond what can be quickly salvaged.

When Hiring Interns Becomes a Bad Idea In my experience in HR, I have come to value the

importance of hiring the best candidate at the very beginning and this is one thing most employers tend to overlook or are not able to accomplish when hiring interns. Sometimes employers want to only hire interns who appear great on paper, forgetting that you also need to consider how these people are going to fit into your company culture. For instance, high calibre graduates who feel that you should be paying them will only bring your business challenges as they have already built up resentment towards you and your company. They may not mention it, but if you focus on their actions, you will realize they will not be putting in much effort to their work. Despite you not losing money when they are unpaid, your business suffers in reputation once they leave the organization and you end up losing out on value that you would have gained if you hired the right candidate. Another instance when hiring interns becomes a bad idea is when they require a lot of time for training and managing but as an organization you cannot find good managers to selflessly offer their time. In such a scenario, interns end up being the errand boys and girls for the organization, without much learning in skills or experience. The outcome here is the same as when you hire the wrong intern and the reputation of your business suffers in turn. It may not have been your intention to end up with this negative outcome, but if there was a problem in managing that you did not follow up on and the interns fell into the common stereotype that interns are meant to run errands, there is no escaping the wrath. As you can see, hiring interns may not always add any value to your business, even when you believe you are saving money in the process. But whether hiring interns brings a positive or negative outcome is a situation that can be controlled during the hiring process, and this is how.

How you can ensure hiring interns works for your business 1. Identify and understand the type of interns your business needs

Employers take up interns for various reasons; some are usually looking for extra hands to live out the three or 6 months period, while some hire interns to train them into becoming permanent employees. Whichever you case is, to make hiring interns work for your organization, you need to first understand the role you want them to play. This will help you identify the type of interns to take up, looking beyond a good grade on paper and hiring depending on potential, attitude and motivation of individuals. It may be difficult to pick out the best candidate since there is not enough to match them to, but during an interview, you can already tell which of the candidates will fit well in your organization.

2. Make the interns love the idea of working for you Just hiring interns and letting the period they are on internship run its course without constant challenges along the way will not work well for you or the interns. As an employer, the best way to get value from your interns is by investing in their training and development and ensuring they also try to handle the difficult tasks. It may be easier to give interns the menial tasks like typing or constant photocopies, but treating your interns as permanent employees will help increase their motivation and they could surprise you with new ideas. They will also represent your business

Hiring interns will only work for a business when employers are ready to look at the idea on a different scale and with a different set of eyes

once they leave, so why not give them something good to praise you for? Whether you are taking up interns on short term or long term basis, always allow them to live out their potential.

3. Understand that hiring interns is not a one way street Most employers make the mistake of hiring interns because they want assistance or some extra hands to do the dirty work. That is very wrong. Organizations that have succeeded from hiring interns will attest to having taken the process as a mutually beneficial idea. You hire interns because your business could use the assistance without spending so much money, but you also remember that the interns are there to learn and pick up new skills. Once you operate under this mind set and focus on giving your interns opportunities to grow under your business, they feel motivated to work extra for you and the fact that they are unpaid will never become an issue.

The End Game The job market is filled with fresh graduates who went through internships but are still clueless about their profession, and when hired, they can hardly do the actual work. This only helps to provethe stereotype that most interns are tasked to run errands instead of being given opportunities to learn and grow. We are also blaming Universities for having half-baked graduates, yet as employers we also contribute to the lot whenever we do not offer the best during their industrial attachment. Hiring interns will only work for a business when employers are ready to look at the idea on a different scale and with a different set of eyes. There may come a time when you need to hire an intern on a long term basis but you will not find any if your organization has experienced a bad reputation from previous interns. And when you do, the ones you find will hardly add any value to your business. Perminus Wainaina is the Managing Partner & Head of Recruitment at Corporate Staffing Services Ltd. Email. Perminus@corporatestaffing.co.ke

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36 Agriculture

By joshua oigara

Agriculture in Africa will establish our motherland as the next frontier for investments and take us a step further in achieving our dreams

Underwriting Africa’s Future Through Agriculture

t is now widely recognized by experts and policy makers that agriculture will underwrite Africa’s promising growth prospects; that the dream of Africa rising can actually fly on the wings of the sector’s vast untapped potential across the continent. With 60% of the world’s uncultivated arable land and low crop yields, the prediction that Africa is ripe for a green revolution is no longer a far-fetched ambition.

Nonetheless, a litany of barriers hinder Africa’s agricultural production potential. From lack of advanced seeds and other inputs suited to the continent’s ecological conditions to underdeveloped infrastructure that make it difficult to transport crops to the market−the complexities of achieving a ‘green revolution’ are well known and documented.

An economic review of the agricultural sector by the Ministry of Agriculture, Livestock and Fisheries in Kenya reveals that in Africa today, 70% of the population derives their livelihood from Agriculture.

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Joshua Oigara, KCB Group CEO and MD speaking during the AGRF.

In Kenya, the agricultural sector contributes close to 26 per cent of the country’s GDP and employs about 75 per cent of the population. The sector is also a major source of revenue with agricultural produce exports accounting for nearly two thirds of total domestic export. Rallying support in this sector holds the key to securing the future of a majority of livelihoods in the country through improved living standards.

It is paramount that that we gear all efforts and resources to boost the agriculture sector, according it the high priority it deserves.

The Malabo Declarations that we committed to back in 2014 are aimed at pursuing a future of prosperity with agriculture at the forefront, by doubling agricultural productivity by 2025. Skeptics have been quick to throw cold water on these targets. But the numbers are achievable.

The Mckinsey Institute predicts that if Africa could overcome the barriers, agriculture output could increase from USD 280 billion per year today to as much as USD 880 billion by 2030. Achieving growth of this magnitude might sound ambitious yet this transformation has been witnessed in Asia and Brazil. The resulting impact across the Africaâ&#x20AC;&#x2122;s agricultural value chain would lead to an increased demand for upstream products such as fertilizers, seeds and pesticides, while spurring growth of downstream activities such as grain refining and biofuels. Collectively, Mckinsey estimates that the sector could be worth an additional USD 275 billion in revenue by 2030.

We are therefore at a crucial point in time where we need to move beyond words to the actual implementation of our big dreams and plans to see transformative change in this sector.

Government & Private Sector Recently in Kenya, the government committed to investing Kshs 2 billion in the next five years that will benefit young farmers and entrepreneurs in the agricultural sector. This outlay will allow them to access markets, enjoy the security of insurance, improve their access to modern agricultural technologies and increase value addition.

The significance of such government led initiatives cannot be underestimated. Yet at the same time, we should bear in mind that the government would be hard pressed to drive a green revolution while working in isolation. The private sector will have to stand and be counted.

Youth & Technology Our population today is dominated by the youth whose role in building our economy correlates with the optimal use of technology. Agriculture goes beyond working on the farm, planting seeds and harvesting when time is due.

Today, Agriculture exists in the realm of technology, more so on mobile platforms. The constituents of the agriculture value chain from the farmer to the consumer, play different significant roles all geared towards one main objective; a sustainable sector. Technology handily offers farmers access to information on the most efficient farm inputs, retailers receive information on where to purchase stock and consumers acquire information on what to buy and where to buy depending on their personalized preferences. With best practice in technology for farming, we can save on resources and ensure maximization of outputs. Mind Shift Regrettably, majority of the population still perceive agriculture as primarily subsistence farming. Education and

awareness will dispel this mentality from the minds of the population, opening their eyes to the great benefits that are made possible through the commercialization of the sector. We must play our role in helping the masses see agriculture as a source of job creation and most importantly wealth creation for individuals, the country and the African continent.

This mind renewal is our only hope in promoting the sustainable productivity and success of the agricultural sector, consequently offering dignity to the lives of the masses by elevating their quality of life. The just concluded African Green Revolution Forum (AGRF) which saw heads of state and other dignitaries gather together to discuss their achievements and plans for the future, is a great example of how agriculture in Africa will establish our motherland as the next frontier for investments and take us a step further in achieving our dreams. The writer is the KCB Group CEO and MD

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38 Infrastructure

By MARTIN DIAS

WORDS

MARTIN DIAS

GETTING AROUND

NAIROBI MADE EASIER ver time, Nairobi's population has grown exponentially, outstripping most of the social amenities including the road network. The rapid urbanization estimated at a 4.3 per cent annual

growth and a growing middle class eager to own a car and bid the public transport system adieu; has not helped the situation either.

Each day, Nairobi's road network creaks under the pressure of up to 10 new motor vehicles. Since it accounts for about two-thirds of the country's Kes. 41 trillion annual economic outputs, it is easy to understand why these ďż˝igures will not come down any time soon. A survey in 2011 ranked Nairobi's roads the world's fourth most congested. Since then the situation has only become worse. Statistics by the Ministry of transport showed that major roads in Nairobi such as Thika Road, Outer Ring Road, Uhuru Highway, Haile Selassie Avenue, Mbagathi Way, Langâ&#x20AC;&#x2122;ata Road and Waiyaki Way are used on average by 80,000 vehicles every day; which is way beyond their design capacity. EDGEMAGAZINE.CO.KE i OCTOBER 2016

This trend has been propelled by the growth of the middle income earners in the country. For the entire growth period, appetite for new multi-units housing has also been increasing immensely leading to approval of residential building plans to climb higher. The growth of the sector has attracted a horde of developers who have continued to boost investment in residential housing and office space. Despite the fact that financing for property development has for quite some time remained a hurdle in the country, the real estate sector continued to experience a boom with an increased demand in real estate developments. This significant demand in the sector has in the recent

According to the World Bank’s estimates, traf�ic jams cost the city's economy at least Kes. 50 million every day (or Kes. 20 billion each year) in wasted man-hours and slowed productivity, besides the psychological strain on city commuters.

It is therefore quite a relief to see the government, through the Kenya National Highways Authority (KenHA), make efforts to expand the transportation networks in ful�ilment of the vision 2030 economic development plan. These plans include the construction of the Nairobi bypasses, the JKIA-Rironi highway, Nairobi Metropolitan Mass Rapid Transport System (MRTS) among other projects in Mombasa, Nakuru and Eldoret; all meant to ease congestion. Nairobi bypasses

KenHA signed agreements with the China Road and Bridge Corporation (CRBC), to construct a system of ring roads around Nairobi city to disperse traf�ic away from the CBD and consequently decongest the city besides also boosting regional connectivity.

The Nairobi Northern and Eastern bypasses were the �irst to be completed in 2012 with the Southern bypass completed only a month ago. Feasibility studies and design work for the Western bypass is in progress as it has been identi�ied as the missing link necessary to complete the system of ring roads.

to allow for passage from the Mombasa road junction to Gitaru in Kikuyu with very little interference. Previously through traf�ic had to go via the Nyayo Stadium roundabout, CBD, Westlands and Kangemi together with traf�ic destined for those areas.

The road also crosses the Nairobi national park from the west and then goes through Lang’ata road; Ng’ong road Motoine River, Dagoreti road, Thogoto road over River Ondiri and a railway line that heads to Kikuyu town. Traf�ic cannot access the bypass except via any of the �ive interchanges. The Northern bypass starts from Ruaka trading centre along Limuru road, overpasses Banana road through Runda and Thome estates then proceeds to Kahawa west and Ruiru where it joins the Eastern bypass. On the other hand, the Eastern bypass starts on the Ruiru-Kiambu road then it crosses the Northern bypass and the Ruiru railway line into Thika road. It proceeds to Ruai where it passes through the Embakasi Garison and North airport road into Mombasa road.

This new four-lane highway will connect with the Northern bypass at Ruaka and with the Southern bypass at Gitaru. This system will see to it that there will be no reason to enter the city centre in order to cross Nairobi.

Some of the main features and facilities that have helped these bypasses serve their purpose include; full clover interchanges, slip roads and service roads, �lyovers and bridges, underpasses for pedestrian traf�ic and box culverts and standard pipe culverts for drainage purposes and access provisions. How bypasses have eased traf�ic

The main purpose of the Southern bypass is

Southern bypass These two bypasses have come into contact with the very busy Thika road and helped to ease and divert traf�ic from the superhighway. For instance travellers living in areas near the Eastern bypass can opt to use it to get to and from JKIA instead of using the traditional route of Mombasa road.

Getting around town and its immediate suburbs is now easier. To get to Karen, for example, one can follow Lang’ata road and the Southern bypass to Ng’ong road exit

Thika Super Highway then take Dagoreti road to Karen. Previously without the bypass, motorists would use Lang’ata road and Dagoreti road to get to Karen or alternatively would opt to follow Ng’ong road and Dagoreti road to get there.

Ultimately, these bypasses and their link roads have increased accessibility to these towns and helped ease the daily commute for residents living in these areas. Nairobi’s �irst elevated highway

KenHA has recently announced plans to construct the �irst double-decker highway that is bound to make travelling to and from JKIA that much easier for motorists. The World Bank and African Development Bank have committed to constructing the 30 to 40 km elevated expressway that will run from the airport to Rironi.

The highway will be constructed in three phases with the �irst one running from JKIA to the Likoni road turn off. Phase two will be implemented on the section between the Likoni Road turn off to the James Gichuru road junction on Waiyaki way in Westlands.

Preparations for the construction of the third phase that will run from Westlands to Nairobi-Nakuru highway in Rironi have already begun. However there is a catch, motorists using the express roads will be required to pay a toll fee. Those who will not have money to pay will have no choice but to use the old roads that are toll free.

Currently, to get to and from JKIA motorists either use Mombasa Road which OCTOBER 2016 i EDGEMAGAZINE.CO.KE

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40 Infrastructure

An impression of Outering Road connects them to the city centre, or the Eastern bypass, which connects them to Thika road. The airport is one of Africa’s largest international airports, the busiest in East and Central Africa, and the seventh busiest on the continent.

It is no wonder then that this route is sometimes heavy with traf�ic, therefore despite the toll-fee; I am glad I will soon have an option to escape the annoying traf�ic. Nairobi Metropolitan Mass Rapid Transit System (MRTS)

The JKIA-Rironi road is expected to complement another planned project known as the Nairobi Metropolitan Mass Rapid Transport System (MRTS) that will entail the construction of a 167km exclusive public road and rail transport grid. This system will link the city centre with key neighbouring towns and municipalities such as Kikuyu, Thika, Ruiru, Athi River, Kitengela, Machakos, Limuru and Kajiado. This is in an effort to ease the chaos that is Nairobi’s transport system and makes it a less stressful experience for commuters and motorists.

According to the project proposals, it would be implemented along nine road corridors namely; Nairobi Railway Station (NRS)-Ruiru-Thika, NRS-Juja Road-Kangundo, NRS-Jomo Kenyatta Airport-Athi River, NRS-Langata Road-Karen and NRS-Upper Hill-Ngong. EDGEMAGAZINE.CO.KE i OCTOBER 2016

Other corridors to be covered by the project will include NRS-Kabete-Kikuyu, NRS-Gigiri- Limuru and Outer Ring Roads in city’s Eastlands area.

The present Nairobi Railway station area, including the yards has been proposed for the construction of a 24-storey central hub terminal for the MRTS in that all the lines would originate or terminate at this point or traverse through it.

The Bus Rapid Transit (BRT) system with special feeder roads will mark the start of the �irst phase early next year. The special bus routes will run alongside the normal highways except within the CBD where it would be elevated. It will have �ive interconnected lines named after Kenya’s big �ive animals and will be used by buses to ferry passengers to all key city suburbs. In the second phase, work will be carried out on Outer Ring Road, Thika Road II, Waiyaki Way, Ngong Road II, Thika Road III and Lang’ata Road. On the part of rail transport, the entire network is proposed to be on an elevated platform with a total of 76 stations and �ive maintenance depots to service passenger needs. However, the bus transit system is currently being prioritized because it is easier to create; the bus transit routes will then determine the rail system. Outlook

Over the past two years Kenya has been making considerable head way on this

development agenda designed to strengthen the country’s position as a leading regional transport and logistics centre for the East Africa region. It is interesting to note that after the completion of the Nairobi Western bypass, it will be possible to literally drive around the city!

An artist’s impression of the elevated highway In my opinion, this improved access and mobility will cement Nairobi’s place in the region as the hub for investment, development and tourism. I feel that we are moving in the right direction by investing in these road networks in terms of realizing the city’s growth potential.

Despite delays on some projects, I feel encouraged by the progress and effort in modernizing the road network in Nairobi and excited by the prospects the future holds for the city and Kenya in general as a result of this.

The writer is the Group CEO - FAPCL Group.

Email: md@fapcl.com

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42 Finance & Banking

Kenyaâ&#x20AC;&#x2122;s Changing Banking Industry By Michael Obuya

enyan Banking industry has 43 licensed commercial banks regulated by the Central Bank Act, the Companiesâ&#x20AC;&#x2122; Act, and banking Act. The banking industry is experiencing a number of sweeping changes in the recent time that is already affecting various stakeholders in the banking industry including banks, borrowers and depositors.Some of the major changes includes;the interest capping law, Mobile banking, Credit referencing and minimum core capital.

Interest capping law: Parliament passed a bill on interest capping that was further signed into law by the president. The new law promises to protect borrowers and depositors by limiting the lending rates of commercial banks to 4 per cent above the Central bank rate and also setting a minimum interest rate for deposits in interest-earning accounts at 70 percent of the CBR. With the CBR currently at 10.5per cent, banks are expected to offer loans at a maximum lending rate of 14.5per centp.a. Banks have already complied with the law capping interest with some banks applying the law on ongoing loans while other choosing to apply it on new loans. Borrowers who took loans from banks that have applied the new law on ongoing loans are already reaping the benefits of reduced monthly payments. New borrowers are also expected to enjoy low rates on credit facilities. Itâ&#x20AC;&#x2122;s thus upon borrowers to come forward and take loan facilities to expand their business ventures as well as take personal loans for personal goals. However, the interest capping law may present a number of challenges for borrowers and small banks. Borrowers

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without sufficient collateral may not find it easy to access loans if banks begin rationing loans by applying stringent lending policies. Other challenges may include the increasing loan processing fees and an uprising of informal money lenders charging exorbitant rates. Small banks may also find it hard to attract enough deposits to finance loans so as to maintain their income levels. This if not watched carefully, may precipitate into mass failure by small banks. Mobile banking: Mobile banking also called m-banking refers to provision and availment of

banking and financial services through the help of mobile telecommunication devices like mobile phones. Mobile networks in Kenya offer mobile money services in the name of M-pesa by Safaricom, Orange money by Orange, Airtel money by Airtel and Equitel money by Equity bank. Currently, the mobile money has about 15 million users transferring over Kshs. 2 billion daily.

Mobile networks have also partnered with commercial banks such as I&M Bank, Kenya Commercial Bank, Barclays and Cooperative to offer mobile-based financial products that aim to reach the unbanked for instance Mshwari loan, KCB-Mpesa and Family Bank’s pesa pap.

Apart from the major known mobile money providers, there also exist micro lenders that offer credit facilities on short term basis over mobile applications like TALA and Branch. Mobile banking offer services including money transfer, loans, deposits, withdrawals, payment of bills, account balances, accounts statements, accounts. It is my opinion that Mobile users should take advantage of mobile banking facilities especially mobile loans to improve their lives and run their businesses smoothly. Some commercial banks have already accepted to offer mobile loans on the terms of the interest capping law where they are offering loans at 1.2 per cent interest rate per month. Credit referencing: Credit referencing is a system where the commercial banks and other lenders share credit information about borrowers with each other to identify borrowers who honor their debts obligations and those who don’t. We have made strides towards credit referencing as a country. Currently, Kenya has three credit reference bureaus licensed by the central bank to aid in credit information sharing. However, my attention is drawn on how commercial banks go about in seeking credit information about prospective borrowers and how they use this information. Banks usually asks the ‘no; or ‘yes’ questions where they ask whether or not a client has bad credit rating. Banks do not ask additional questions about borrowers past good credit standings to be fair

to borrowers. Banks also do not allow borrowers with good credit ratings to enjoy lower interest rates on loan facilities. Currently, borrowers who have been blacklisted at the credit reference bureau can have their names cleared by settling the loan they had defaulted on and then applying for clearance certificate from any of the three bureaus at a fee of about ksh.2000.

Islamic banking: Islamic banking is increasingly being accepted in Kenya as a customized product. Islamic banking can be defined as a system of conducting trade and banking activities in line with the principles of Islamic Shari’ah while avoiding all the prohibited activities such as interest or Riba, financing of haram trade and businesses. Islamic banking is a system of trade where goods and services are sold and capital is invested by taking the risk to earn halal profits. The concept involves the commercial bank and the customer jointly agreeing to pursue a business venture where the bank provides finances and the customer provides personal experience and time in running the business and the profits realized are shared between the bank and the customer in some pre-determined ratio. Islamic banking is not limited to customers who profess Muslim faith only.Non-Muslim customers should also come up and take advantage of the product to grow their business ventures. Minimum capital requirement: The CBK currently requires commercial banks to have a minimum core capital of Kshs. 5 billion from the previous requirement of Kshs.1 billion. This requirement is hoped to help transform small banks into more stable organizations that can overcome shocks as well as improve the competition in the banking sector . The implementation of this requirement, however, poses a challenge to some of the small banks as they may be forced to merge in order to comply. Michael OchiengObuya, a Consultant with Radiant Consulting and Event Management And A Lecturer of Finance and Economics at Mount Kenya Univesity

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44 Real Estate

Real Estate As A Stock Investment Opportunity In Kenya By Edward Burbidge

iven the popularity of real estate as an asset class around the world, it is perhaps surprising that there are very few pure real estate firms listed on the Nairobi Securities Exchange. On closer inspection however, there are a number of those firms listed on the NSE which offer indirect exposure to real estate through assets held on the balance sheet. There appears to be a further increase in listings in this sector, and Superior Homes (Kenya) Limited has become the latest pure real estate company to announce it’s intention to be listed on the NSE.

For investors, a stock exchange listing gives liquidity to a real estate investment, meaning they can put cash in and get it out to suit their own liquidity requirements and to suit their views on the market. It also offers higher levels of accountability and corporate governance so that investors can feel more secure.

For real estate companies, the listing offers tax incentives as well as the ability to tap vast pools of equity and debt capital, in particular from pension funds and international funds. This money can be used to further develop their projects and this financing generally comes in at a lower cost for a listed company than for a private company. The profile raised with a listing also offers a kind of “free marketing” that helps to drive sales and this becomes a win-win for existing and new shareholders. It is an exciting development that Superior Homes is coming to market. The company has a proven track record of sales and profitability, and conservative accounting policies. Sales are only booked in the firm’s accounts once the final payment EDGEMAGAZINE.CO.KE i OCTOBER 2016

from the buyer has been made. Last year Superior Homes made it to position six out of the Top 100 small and medium sized enterprises in Kenya.

Importantly it operates in the upper midlevel segment of the Kenyan residential real estate market where it is generally considered that growth will be fastest, due to increasing disposable income and more affordable mortgage financing in Kenya. Superior Homes’ flagship Greenpark Estate development, on Mombasa Road at Athi River, is well known to many in Nairobi. The development is in its advanced stages with 520 houses having been built and sold, and all infrastructure already set in place for the remaining 200 units that will be completed by 2020. Commenting on the intention to list, Ian Henderson, the owner of Superior Homes said ‘business is all about timing and now the time to list is right. Through the dedication and expertise of our senior

management team and the loyalty and sheer hard work and determination of all of our staff, we have arrived at a launch platform with the capability and the capacity to reach for the stars. By listing on the NSE we will be able to attract additional talent and secure the necessary finances to build quickly on our achievements and become the major force in Kenyan real estate. We are all very excited and much looking forward to the challenges ahead’.

If Henderson’s plans materialise there will be opportunities for the full spectrum of investors ranging from Superior Homes site staff with a few thousand shillings up to the largest pension funds with many millions and this listing could blaze a trail for other real estate developers in the years to come. (Edward Burbidge CFA is the Chief Executive Officer, Burbidge Capital Limited)

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By gilbert manirakiza

46 Thought Leadership

Of Plagiarism And A Whip-Wielding General Strongly-worded thought leadership− or the perception thereof− is expected of any leader for him/her to be (and remain) relevant to both internal and external audiences

one are the days when an African President could plagiarize another’s speech without being bothered about it, as president Buhari came to find out the hard way when he had to apologize last Saturday (Sept. 18th) for plagiarizing President Barack Obama’s 2008 victory speech. It is not only the plagiarism that has had tongues wagging, but the perceived moral contradiction of using stolen

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words in a speech that is used to launch a campaign aimed at enhancing integrity and honesty among Nigerians. “This serious oversight will be investigated thoroughly and appropriate sanction meted,” said Garba Shehu, Mr. Buhari’s spokesperson, in a statement on Friday. This is enough to send the culprit running for the hills, especially as it comes from the initiator of the “war against indiscipline” which was enforced by whip-wielding law enforcement officers. In all seriousness, this incident carries a number of lessons for all those who manage the reputations of senior officials. Authenticity is expected of leaders In the era of instant information, it is no

longer enough to “be” a leader by position to earn the world’s esteem and goodwill. These have to be “earned” through the symbolic actions and statements made by the leader who, ideally, should have his own authentic narrative.

President Obama has developed his own narrative, which is punctuated by many symbolic actions that are delivered using all the channels that are currently available. No one can pull off his narrative style quite as well as he can, perhaps because he is the only one who can authentically deliver it. As such, Pres. Buhari’s use of Pres. Obama’s words could not have gone unnoticed, nor would it have had the same effect. He may be genuinely committed to improve integrity and morality in his country, but Nigerians and the world expect (and perhaps deserve) to hear this through his own authentic voice and narrative. Thought leadership People are bombarded by thousands of messages every day through an evergrowing array of online and offline platforms, and will simply not pay attention to you unless you are “worthy” of their attention. It has become clear that leaders who proactively provide strong direction and views about major issues gain the attention of the world. Regardless of how controversial these issues may be.

Donald Trump is one such politician who has understood that having strong messages and views, be the illogical, controversial or even unconstitutional, is the best policy to gain “attention”, which may or may not translate into votes or admiration. He is however not the only one, with the likes of Marine Lepen in France and Philippine’s Duterte courting controversy through very strong messages geared at remaining visible to their target audiences. Although these individuals are controversial, they exemplify the fact that strongly-worded thought leadership (or the perception thereof) is expected of any leader for him/her to be and remain relevant to both internal and external audiences.

Internal and external audiences are increasingly linked President Buhari’s speech was intended for Nigerians. But instead, it made global headlines for all the wrong reasons.

Interestingly, your typical Nigerian might not be too concerned about the plagiarism aspect. However, a Head of State of a country whose economy is slipping into recession could do without such a global embarrassment at a time when he needs to woo investments and aid.

President Kenyatta is consistently ranked among the most popular leaders in Africa on Social Media. Images and videos of him having Nyama Choma and Kachumbari at Kenyatta Market or jigging to the tunes of a popular musician have a viral effect beyond Kenya and are likely to have an impact on political cultures in the region. Governments need to take nation branding seriously Human minds have a tendency to build and cling to stereotypes. For instance, what comes to mind when you hear Switzerland is different from how we consciously or subconsciously perceive Nigeria, China or Russia, and leaders of these countries play a big role in shaping these perceptions. In recent years, Africans have been denouncing the mischaracterization of our continent and countries by global mainstream media. The reality is that this media is often playing into the perceptions and stereotypes that have been built over many years. If this is to change, we must do more than complain, and rather encourage our governments to adopt comprehensive

In fact, being perceived as a producer of highquality products might chase away markets that are interested in affordability, and conversely being perceived as a low-cost producer might give rise to doubts as to the quality of the products and processes.

foreign policies that tackle the issue of nation branding and reputation building.

Consistency is the name of the game According to Nation Branding experts, changing the narrative and perception of a country and its’ leader requires giving the world a closer and more nuanced insight into what the country is about and what it contributes to humanity. Kenya is known by the west as a nation of great athletes and amazing safaris. If we are to convince the world that we also have great products and services to export, we will need to shift our narrative and consistently expose the world to what makes them worthy of consideration. A number of media articles have profiled the ongoing “scramble” for Africa by various global economies such as China, Japan, the US and Europe. What seems to evade most analysts however is how these countries deliberately position themselves and their brands to African decisionmakers and audiences. For instance, most Africans readily associate China with affordable and accessible products while associating Japan with more “durable” and “quality” products.

A double-edged sword The Chinese economy, which has thrived on its’ reputation as the world’s factory, is reported to be slowing down in the wake of rising competition from other countries. As such, creating a certain perception is not enough to guarantee sustained growth of various sectors. In fact, being perceived as a producer of high-quality products might chase away markets that are interested in affordability, and conversely being perceived as a low-cost producer might give rise to doubts as to the quality of the products and processes. Its’ hard to imagine that a simple case of plagiarism could generate so much noise, but when the culprit is the president of Africa’s largest and most populous economy, who also happens to be known for his strong stance against indiscipline, something has got to give.

The writer is a communication expert and the managing director of Newmark Group Limited www.newmark.co.ke

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Advertorial Feature

ACHIEVING UNIVERSAL HEALTHCARE WITH LOW EXPENDITURE

To many, out-of-pocket payments to access healthcare prevents them from seeking and receiving the needed services as many do not have enough resources. Some opt for alternative methods of accessing treatment such as traditional doctors while others die helplessly as the cost of health services is skyrocketting on a daily basis. Many countries are now working on ways to offer its population universal coverage of health services but one of the main questions facing these countries is how their financing system can maintain this. Universal healthcare or coverage means everyone is covered for basic healthcare services, and no one is denied care as long as they are legal residents of a country. While it takes years to achieve universal coverage, many countries are striving towards this goal. According to World

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Health Organization, Singapore is generally acknowledged as having one of the most successful healthcare systems in the world, in terms of both efficiency in financing and the results achieved in community health outcomes. The key to Singaporeâ&#x20AC;&#x2122;s success in offering universal coverage to its citizens is the emphasis on the individual to assume responsibility towards their own health. The use of compulsory deductions has also helped significantly in private funding for hospital expenses. According to Singapore Ministry of Health, the government has also ensured that overall health expenditure does not fall victim to the inflationary pressures by regulating the supply and prices of healthcare services. It is however important to note that while Singapore is tops in universal coverage,

their system runs concurrently with development of the country which is politically stable and the fact that it has a small population. It might not be as easy for other larger countries but definitely achievable. Kenya has also made strides with their system. The National Hospital Insurance Fund (NHIF) is the primary provider of health insurance in Kenya with a mandate to enable all Kenyans access quality and affordable health services. It offers a family based health insurance cover which is available to the contributor, spouse and children regardless of whether they are in the formal or informal sector.

Like Singapore, Kenyaâ&#x20AC;&#x2122;s system has been running concurrently with the development of the country allowing successive governments to introduce consistent measures relating to individual responsibility,

compulsory savings and regulatory control of healthcare services and costs.

Indeed NHIF has continuously improved its cover since its inception over 40 years ago. The NHIF health cover has been expanded to allow as many Kenyans as possible to benefit and has been achieved by opening membership to informal sector, with no age limit and no discrimination based on ailment.

However, while there has been increased awareness of importance of being insured against unforeseen situations like sickness in the country, there is still a gap in a large percentage of the population, especially the poor, vulnerable and pastoral communities who cannot access quality healthcare. Hence the increased emphasis in the capturing of the informal sector membership by NHIF as it strives to reach out to all these groups. Kenya’s NHIF covers dependents of the member automatically including spouse, children under the age of 18, students (even if over the age of 18 as long there is proof that they are attending school/ college or are disabled and are dependent on their parents for support. Other adult family members require separate premium contributions to be covered.

NHIF requires compulsory membership for all salaried employees with contributions automatically being deducted through payroll. These contributions are remitted by the employer on a graduated scale based on their gross income. The self- employed members and retirees contribute a standard amount of Kshs. 160 per month. NHIF has about 2 million contributors spread across 41,000 employers. Together with their dependants makes more than 10 million people who the Fund takes care of. Although a new proposed increase in premiums gazetted in June 2010 was met with bottlenecks, plans are still underway to revise the rates which have been in existence for at least the last two decades. According to a study conducted by PriceWaterHouse Coopers (PWC) and International Finance Corporation (IFC), there is need to revise the rates to go hand in hand with the ever increasing cost of living. The proposed

Further to improving on quality service to its members, the NHIF has already attained ISO 9001:2000 certification which will enable the organization to improve its responsiveness to customer requirements by putting in place Quality Management Systems (QMS). NHIF is certified in Occupational Health and Safety OHSAS 18001:2007 to ensure its premises meet the safety requirements for staff and customers alike. The organization was recently ranked second best nationally in the government performance evaluation for state corporations. This is a major achievement for NHIF as it is evidence of compliance with the government reforms introduced through performance contracts efficiency.

changes will also see other sectors of the government, non-governmental organizations and other well-wishers able to purchase NHIF cover for indigents.

Once the rates are increased, NHIF plans to introduce outpatient care. However, the proposed changes are currently under judicial review and have not yet been implemented.

NHIF members’ benefits package includes comprehensive inpatient cover and maternity cases. NHIF has put hospitals under: Category A which mainly includes government hospitals where members enjoy a full comprehensive cover including surgery. Category B includes non-profit private hospitals, faith-based hospitals, and private hospitals in rural areas or areas not adequately served by the public sector where members enjoy comprehensive benefits but in the case of surgery, the contributor may be required to chip in. Category C includes higher cost private hospitals where NHIF provides a rebate per day of hospitalization.

NHIF works with a wide network of over 600 accredited government, private and faith-based health providers spread across the country and repays hospital claims as per agreed contracts. Contract A and B providers are reimbursed through feefor-service provider payments. Contract C providers are reimbursed through a rebate system. Claims are submitted to the Fund by the hospitals or in some cases contributors after members have been discharged from the hospital. NHIF has computerized the claims processes and strives to pay within 14 days upon receipt of the claim. The organization has managed to stay on top partly due to visionary Board of management. The representative board comprise of persons from diverse specializations who therefore enrich the vision of the Board. Such stakeholders represented include the Ministries of Medical Services, Treasury and the Directorate of Personnel Management, Kenya Medical Association (KMA), Christian Health Association of Kenya (CHAK), Kenya National Union of Teachers (KNUT), Central Organization of Trade Unions (COTU), Federation of Kenya Employers (FKE), Non-governmental Organizations (NGO) and KNFU.

To enhance service delivery, NHIF has also put in place an efficient system of member identification in form of electronic photo cards which are designed to solve key concerns such as contribution compliance, identification and surveillance. NHIF has now embarked on a hospital connectivity exercise where most of its over 600 accredited hospitals are being equipped with a magnetic card reader. Linked hospitals can now connected directly to the NHIF database and access online information on the status of contributions and confirm the member’s declared dependents.

NHIF has a well-organized branch network spread across the country’s major towns and smaller offices in national, provincial and district hospitals. The branch offices are connected to the headquarters in Nairobi for effective and efficient service delivery to the customers. OCTOBER 2016 i EDGEMAGAZINE.CO.KE

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» Woman Of POWER Doreen Nkatha Mucheke, the founder and creative director of Linens and Décor, and Party Pegola has made a business for herself by creating and designing unique, elegant and natural products for garden and outdoor experiences Words

Sylvester Okumu

Mistress of All Things Decorative

am a creative and I knew I would thrive in such an industry if I give a go at it. I spent a lot of time with friends and colleagues attending weddings but wasn’t impressed with the décor and what planners did.Not one to sleep on an opportunity I realised that there was immense need for more unique wedding and planners professionals who would fuse creativity and art to come up with very elaborate designs that would wow clients and revolutionise the whole experience. I stumbled on this idea when I had just dropped out of University of Nairobi Law School and was pregnant with my first born. I got married, gave birth and I figured that I could try my hand at this line of business while still raising my kid.

Joining hands with my then husband, I registered the business and thereafter bought a few things including chairs, tables and tents. I began operations under my servant quarters unit.

Under the partnership I was the one who majorly ran the business. He only provided part of the capital and wasn’t involved in the day to day management of the entity. I ran the marketing front and also came upwith the creative designs and decors.

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Doreen Nkatha Mucheke, the founder and creative director of Linens and Décor and Party Pegola.

I did a few gigs and events here and there and the business grew steadily, mostly through referrals. In 2008, I decided to opt out of my SQ to get an office. By then the business had grown and I had a lot of stocks in terms of furniture and a few employees. I really needed a bigger space where I could operate with ease and professionalism.

No sooner had success came home than my marriage hit rock bottom. It had a huge impact on my business. I got divorced, winded up the business and hit my ambitions to a pulp. The end result was so devastating that it got me thinking what could I do next to realise my dreams?

shopping for a house and along the way I saw a pergola structure attached to one of the houses. Immediately the idea of using such a structure as a tent in events came to mind and I started to brainstorm on how I could make it mobile as well as water proof. With it I realised that I could offer natural, elegance and unique ambiences to clients for garden and outdoor structures. The commonness of equipment and decorative items available in the market makes it nearly impossible to really design something unique and outstanding, hence my creation of the Party Pergola.

Party Pergola Party Pergola is made from natural wood which is elegant, aesthetic, moveable, waterproof and reusable. My firm is the only manufacturer and provider of a (waterproof)moveable pergola globally. The demand for the pergola immensely grew to the extent that clients wanted us to install permanent structures in their homes. It further led to increased business opportunities.

The Party Pergola has become an indispensable shade solution for any elegant and luxury outdoor garden event. For the past 4years, together with my team we have tirelessly built the company into an exclusive, highly profitable and well respected brand.

Outdoor Party Pergola.

I took time off and figured how I could start over afresh. My failed marriage had crushed me to bits and I wanted to pick up the pieces and follow my dreams. I set up to be a business woman who is more sharp and focussed.

Linens and Décor Limited I registered a new company Linens and Décor Limited with a passion about creating unique designs that would offer memorable experiences to individuals and businesses. It was at this time that I stumbled upon another idea to start Party Pergola. I had gone with my mum to Karen

We are a bespoke brand that is very elaborate in the kind of engagement we have with clients. We are customer centric and treat every client as unique. Over time we have adapted the business model that works with what the client has. We are definite on what we can achieve and we do not push clients to work with a certain budget they can’t afford.

Despite achieving fulfilment, the business also has its own share of challenges. I used to wake up to no business at the start. There are ups and downs and sometimes it can really get tough. Under such circumstances you need support to get energised. Luckily, my belief in Christ has kept me going. My husband Amadou Chico Cissokois also a very supportive partner. He is my cheerleader and encourages me to keep going whenever I face challenges.

Having achieved success locally, I want to introduce the pergola to the world. I am further looking to be more innovative and come up with new and complementary products and services. Towards this end I would wish to advice other décor and event designers or planners or those who are aspiring to venture into the industry to be unique, and not copy an idea. Identify a problem and strive to offer a unique and relevant solution. Parting Shot: You have to believe in yourself first. Sometimes no one may believe in you and or your abilities or ideas until they see you succeed. So if you depend on outward validation to take action, you could miss out on creating your best work ever. OCTOBER 2016 i EDGEMAGAZINE.CO.KE

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52 Hospitality

Simba Corporation: Setting Standards In The Hospitality Industry The company has established a reputation with its international brands and is set to raise the bar in the industry

Nazir Khamisa, chief hospitality officer, Simba Corporation Hospitality Division.

Words

Jenny Nyawira

ourism is one of the most important industries in Kenya, contributing significantly to the country’s gross domestic product (GDP). With a range of attractions ranging from national parks, game reserves, beaches, and renowned scenery of the Great Rift Valley,Kenya is a preferred choice in the East African region.In 2015, the World Travel Awards (WTA) voted Kenya as The Best Safari Destination in the World, crediting it to the tourism sector. The country had earlier won the award in 2013.

Kenya benefits from both holiday and business tourism, and the latter has continued to expand due to the potential for business growth. In the recent years, it hosted major conferences including the Global Entrepreneurship Summit (GES), World Trade Organization 10th Ministerial conference, Tokyo International Conference on African Development (Ticad), African Green Revolution Forum, besides hosting US President Barack Obama and other renowned leaders.Kenya has also successfully hosted two major hospitality investment conferences.

“Despite the terror attack incidences that threatened the sector and the country at large in the past few years, the number of tourists visiting the country is gaining momentum, an indication that Kenya can once again become a destination of choice,” says Nazir Khamisa, chief hospitality officer at Simba Corporation Hospitality Division.

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Tourism is a major driver of the hotel industry. According to Khamisa, over 20 hotels being built in Nairobi today and a lot of them are branded properties. While the country is projected to experience increased rates of growth and development,many international brands are interested to invest in the hotel business in Kenya.

SimbaCorp entry into the hospitality industry “By entering into the hospitality industry, Simba not only wanted to diversify its portfolio, but also to raise the bar and provide customers value for their money,” observes Khamisa. He further says that while there were international hotel brands in the country, they failed to reflect the global promise of quality and superiority as compared to similar properties. There was a general lack of commitment in the whole industry to operate hotels to meet international standards.

Indeed, Simba has set a benchmark in the industry. So far, it has developed two properties, Villa Rosa Kempinski, a five star hotel with international standards. The hotel offers the perfect blend of European luxury and Kenyan hospitality. “We pride ourselves for hosting about 21 heads of state among them President Barack Obama and other prominent people,”states Khamisa. Olare Mara Kempinski a conservancy that sits on 33,000 acres of land and has only five camps, ONE OF WHICH IS OLARE MARA KEMPINSKI OWNED BY SIMBA which providea good experience for holiday makers. It is one of the best luxury tented camps in the country and the number one rated property for guest service in the whole Kempinski system globally. Both Villa Rosa and Mara are managed by Kempinski – Europe’s oldest luxury hotel group. Recently, Simba launched a Kenyan hotel brand named ‘Acacia’. Acacia Premier in Kisumu is already in operation and plans

are underway to establish Acacia Express in Naivasha. “We want to provide a home grown brand, run by Africans and owned by Africans,” says Khamisa, adding that it is a four star property with affordable services. While the company has established a reputation in the hospitality industry with its international brands, it envisions to extend the same philosophy in the Kenyan brand. Established forty years ago, Simba Corporation is an automobile company with twelve different international brands.

Growth strategy Khamisa notes that there is a huge untapped hospitality market and Simba Corp seeks to capitalize on the same. The establishment of county governments for instance provides an opportunity to expand into the regions. There is also a great opportunity for growth in local tourism as the new constitution supports governors to better the economic climate in their counties.

The country’s elite and the emerging middle class are contributing to the increasingdemand for accommodation and hotel services. People are also getting more health conscious and facilities like gym and swimming pools which lack in budget hotels are becoming important. Indeed the need for a good hotel in any town is vital. Khamisa says that even though there is heightened competition in the industry, Nairobi remains fully unexploited. Besides, he says that Kenya has a great opportunity of becoming a destination spot for MICE (meetings, incentives, conferences, and events). However, the chief hospitality officer recommends the government to build a convention centre that can house 10,000 people. “Currently, we only have the Kenyatta International Convention Centre (KICC), but better facilities are required to position Kenya as a world class conferencing destination,” he says.

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» ARTS & CULTURE Meet Maina Njoroge, A Passionate Teacher and Self-taught Artist

s art just a form of self-expression or is it a statement? Does art cause people to look a little closer at the social issues, at other people and their emotions, the environment that surround them, and the everyday objects ? Does the artist bring out that which cannot be seen or felt easily? Meet 26-year-old Maina Joseph Njoroge, a promising self-taught, freelance fine artist and teacher at Ituru High School. Maina has painted portraits for renowned public figures such as Professor Ngugi wa Thiong’o, Governor of Nairobi Evans Kidero, Mr Wilson Sossion among many others. His vibrant and naturalistic abstract as well as landscape paintings are products of passion and hardwork, as he reveals in the following one-on-one conversation that he had with Edge Magazine. Tell us about yourself and what you do? I am Maina Joseph Njoroge, 26, from Murang’a County. I did my KCSE in 2007 at Karega Sec. School and later joined University of Nairobi and pursued a Bachelor’s degree in Education. I am currently a teacher at Ituru High School in Kiambu. Besides teaching, I am a self-taught freelance fine artist mainly doing drawing and painting. I do portraits, landscape and abstract paintings.

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When did you start painting? I started painting as a small boy in primary school. What is the best thing about painting? Painting is so fulfilling to me. Art is my hobby. Furthermore, it’s inborn thus I do it passionately.

And the worst? The fact that not many people appreciate art. How many drawings do you have to do when preparing for a painting? I just need one drawing Highlight some of your successes I’ve had opportunities of painting high profile personalities like Prof. Ngugi wa Thiong’o, Hon. Evans Kidero, Mr Wilson Sossion among several others. I have

also worked with corporates including Automobile Association of Kenya, The TSC and several schools. I’ve also been featured in various local media platforms in Kenya.

I’ve had opportunities of painting high profile personalities like Prof. Ngugi wa Thiong’o, Hon. Evans Kidero, Mr Wilson Sossion among several others. I have also worked with corporates including Automobile Association of Kenya, The TSC and several schools. I’ve also been featured in various local media platforms in Kenya.

Do you consider yourself a good artist? Yes, I am the best version of me.

How do you advertise your works? I mainly depend on referrals and Internetsocial media and OLX. Who is your role model? The late Leonardo de Vinci and J Nyaga, cartoonist at NMG

What are your future prospects? To become one of the most inspiring fine artists in Kenya and worldwide

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» travel & leisure 7 Wonders Of Kenya From the majestic Mt. Kenya to the pearly white sandy beaches at the coast, Kenya is indeed a paradise for holidaymakers. Here below is a list of 7 wonders of the world’s number one safari destination. 1. Kituluni Hill(The Anti-gravity Hill) Kituluni hill, located 12 kilometres East of Machakos town, is the only place on earth where water flows uphill for 20 metres before changing its course at the peak of the hill. The same mysterious result has been reported on stationery vehicles whose engines have been switched off and parked at the side of the road, next to the hill. The vehicle moves up the hill at a speed of 5kph unaided for a distance of approximately 1 km. The tarmac road that leads to Kituluni is punctuated with sharp turns and bends. Midway round the hill, irrespective of the driving speed, cars are usually jerked forward and suddenly accelerate without any visible change on the speedometer. So far, no scientific study has been conducted to explain this rather bizarre phenomenon. 2. Saiwa Swamp National Park. Situated in Trans-nzoia county, 27 kilometres north of Kitale town, Saiwa swamp sits on 2.7 square kilometres of land, making it the smallest national park in Kenya.

Despite its size, the park is habitat to rare and endangered semi-aquatic sitatunga antelope, endangered debarazza monkey, bush bucks, giant forest squirrels,black and white colobus monkey, amphibians and reptiles. The park is also home to the grey

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crowned cranes and about 372 other bird species. The park’s vegetation is a combination of riverine forests, grasslands,acacia, bulrushes and sedges.

Saiwa Swamp National Park is open daily (inclusive of weekends and public holidays) from 6:00 am to 6:00pm. The park entry fees are: Citizen Adults Ksh 350, resident adults Ksh 600 while nonresidents are charged 25 USD for adults and 15 USD for children.

3. The Great Rift Valley It is the dream of every adventuroustraveler to view the Great Rift Valley, a mega fault-line that covers approximately one sixth of the earth’s circumference.The Great Rift Valley cutsacross Kenya from north to south. The valley’s floor is marked by lakes and volcanoes. A perfect place to have a breathtakingview of the Great Rift Valley is at the edge of the Nairobi-Nakuru highway, in Limuru.At this point, visitors will have a panorama view of the Great Rift Valley with its vast vegetation.

4. Mt Kenya Mt. Kenya is the highest mountain in Kenya and the second highest in Africa after Mt. Kilimanjaro. The three main summits of the mountain, are: Batian at 5199 metres above the sea level, Nelion at 5188 metres and point Lenana at 4985 metres. Mount Kenya has diverse vegetation from the base to the summit. Furthermore the mountain has 12 remnant glaciers that are receding rapidly. An area of 715 km2within the centre of the mountain is gazzetted National Park and as of 1997 it was listed as one of the UNESCO World Heritage Site. Mt. Kenya is 200km north of Nairobi and canbe accessed by road from Nairobi to its nearest towns-Nanyuki and Meru. Travellers with keen interest in trekking and hiking are highly recommended to explore this destination.

The East and West Shores of Turkana are separated by the wide Suguta valley. The east shore of the lake canbe accessed through Maralal and Marsabit to Loyangalani whereas the west shore can be reached via Kitale to Lodwar. Both shores have airstrips. Generally, it is a two day journey on road from Nairobi to either of the shores.

This is a scenic sight to behold that will definitely turn any traveler to a poet.

6. Diani Beach Diani beach is a composition of immaculate-white sands hugging the turquoise waters of the mighty Indian Ocean. Located 30 kilometres south of Mombasa in Kwale County, the beach is 10 kilometres long. The water is always shallow near the shore. Underwater sandbars near the surface easens wading. From the beach, visitors can have a clear view of the extensive palm trees that cover the coastal region. An airstrip is situated near the beach, off the Mombasa-Lungalunga road.

5. Lake Turkana Situated in Northen Kenya, on the floor of the Great Rift Valley, Lake Turkana is the world’s largest permanent desert lake as well as the world’s largest alkaline lake in terms of volume. It is also the fourth largest salty lake in the world. The lake is home to about 50 species of fish that includes 11 endangered species such as Barbus turkanae and chichlids. Lake Turkana also contains a sizeable population of Nile crocodiles and large water turtles. On the Eastern shore of the lake, lies Lake Turkana national park that is listed as a UNESCO world heritage site.

7. Kakamega Rain Forest Kakamega rain forest is Kenya’s only tropical forest. It sits in the heart of western Kenya in the counties of Kakamega and Kisumu.Kakamega forest is a paradise of birds. 367 species of birds have been spotted in the forest. Wildlife that live in

the park include the tree pangolin, bush pig, duikers, mongoose, giant African water shrew, squirrels, porcupine, and bushbuck among many others.The park’s Flora is diverse and includes indigenous African soft woods as well as hardwoods such as the Elgon teak, red and white stinkwood.

Visitors can access the forest through the Southern part at Isechano Forest station that is run by the Kenya Forest Service. There is a well-defined network of walking and hikingtrails inthe forest. The park entry fees are as follows: Non-citizens Ksh 600, residents Ksh400 while Kenya citizens pay Ksh200 per day. OCTOBER 2016 i EDGEMAGAZINE.CO.KE

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» book review TITLE: The Founders Mentality AUTHORS: Chris Zook & James Allen REVIEWER: Oroni Tendera

t is common knowledge that most new companies are usually fragile in their formative stages. However, as the new firm develops, growing beyond its tumultuous beginnings, it goes through three crises, assert Chris Zook and James Allen in The Founder’s Mentality. The first crisis is overload: the organization succumbs to internal dysfunction. Stall-out is the second crisis: organizational complexity and bureaucracy siphon the energy of the company’s youthful days. The last crisis is free fall: saddled with an outdated business model, the company’s market share deteriorates.

Chris Zook and James Allen’s research findings reveal that the reason why companies inevitably face these crises can be attributed to the loss of“the founder’s mentality.” This mentality has been defined by the authors as, “the front-line obsession,” which is an intense focus on customers and the front-line employees who serve them. Founders tend to obsess about every detail in the customer-company interface. These founder’s mentality traits give a company its competitive edge as well as its energy. However, over time, as the firm grows and becomes more hierarchical and more entrenched, as executives are further and further removed from the front lines, and as a dedicated bunch of committed “owners” becomes a large mass of employees, this edge and energy dissipate. The authors suggest that companies must maintain or restore the founder’s mentality in order to overcome the crises.

Overcoming the Crises of Growth Using often unique case studies, Zook and Allen walk their readers through a systematic process for using the founder’s mentality to respond to each of the three growth crises. For example, the driving mission of a company often disappears when a company hits overload. The best response is to engage the employees in defining, understanding and feeling connected to the company’s core purpose. Employees must be engaged so that they feel as invested in the mission as the company’s early employees once did. Founders have a front-line obsession, but when a company hits overload, strategic managers are more and more distant from the front lines. As a result, companies must make a special effort to embed a front-line obsession in their employees. Empowerment is important: If front-line employees are trusted to solve tactical problems on the spot, they will take more responsibility and accountability. Another issue with overload is increasing complacency. Leaders at the best companies avoid complacency, signaling to their employees that the company can always do better. In sum, they demand an owner’s mindset from their employees, reinforcing this demand through a culture of meritocracy and open feedback.

The Founder’s Mentality is a treasury of advice on how to develop a company with both the benefits of size the‘founder’s mentality.’

EDGEMAGAZINE.CO.KE i OCTOBER 2016

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» song review TITLE: Send My Love (To Your New Lover) ARTISTE: Adelle REVIEWER: Oroni Tendera

end My Love(to your New Lover) is Adele’s latest radio single from her third studio album, 25. Released on 16thMay, 2016 by XL Recordings, the song was cowritten and produced by Adele, Max Martin and Shellback. The music video for the song was filmed in London, by American director Patrick Daughters.A short teaser of the video was released on the singer’s Twitter handle on 16thMay, 2016. It premiered on 22 May at the 2016 Billboard Music Awards. The clip features the singer in front of a black backdrop.As the music video progresses, multiple semi-transparent shots of the singer dancing at the same time appear layered on top of one another in kaleidoscopic form. The camera focuses on her facial expressions throughout. In the video, Adele wears a floral long-sleeved gown.

According to Adelle, the song was inspired by an ex-boyfriend, and she describes it as a “happy you’re gone” song. In the beginning, Adelle grieves for the end of a past relationship and talks about the things her ex-lover wronged her during the relationship. However, as the song progresses, she forgives her partner, acknowledges that she will move on past him, seen in the lines “I’m giving you up / I’ve forgiven it all / You set me free, oh”.During the song’s chorus, she sends good wishes and blessings to his new relationship, “Send my love to your new lover / Treat her better / We gotta let go of all our ghosts / We both know we ain’t kids no more.’’ The song has elicited mixed reviews from critics.Rob Garratt of The National described the song as a “bouncy pop nugget” and opined that it “falls into that classic pop tradition of transforming a turn-down into a lover’s rebuke.”Business Insider’s Tony Manfred opined that the song strays from Adele’s previous work, writing “she wades into the waters of contemporary pop music like never before.”

EDGEMAGAZINE.CO.KE i OCTOBER 2016

OCTOBER 2016 i EDGEMAGAZINE.CO.KE

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EDGEMAGAZINE.CO.KE i OCTOBER 2016