Inversk January 2021 Issue

INVERSK MAGAZINE

CONTENTS - JANUARY 2021

| VOLUME 1 NUMBER 6

8 | Editor’s Note // Kimani Patrick

18

10 | theTopline - Business Headlines You Need to Know

COVER STORY 18

| DOING EVERYTHING WITH HONESTY & INTEGRITY TO SUCCEED IN BUSINESS. How Shahid Yakub Scaled His Family Business into a Multinational venture.

By CHRISTABEL AIRO

FOCUS 12

| MANAGING MENTAL HEALTH IN THE COVID19 WORLD The Mental Health Amendment Bill 2018 awaits the National Assembly for it to be passed. Is it the right time that parliament enacts this bill?

BY LUCY KIMEU

16

| RISK MANAGEMENT: IT IS NO LONGER A GOOD TO HAVE BUT A MUST HAVE Digitization of women-led businesses will help them modify existing processes, enable the businesses to reach more markets as well as enhance customer experience.

BY CAROLINE GATHII

13

18 | LEADERSHIP AND COOPERATION: HOW DO WE BUILD COOPERATIVE TEAMS? Instilling the value of having ‘one vision’ is another way that a leader can get maximum cooperation from his team.

BY SHALINI GADHIA

42

| HOW TO DOUBLE YOUR BUSINESS’ VALUE As long as you take action on what you know, you will definitely grow your business and more than double or triple it. Without action, you will be at the very same spot where you start off.

BY DERECK BBANGA

FEATURES 13

| EMMANUELLA ABOA IS THE 2020 BUSINESS TRAINING & COACHING ENTREPRENEUR OF THE MEA BUSINESS AWARDS Being named as a 2020 winner shows that her firm, Transolution Services Africa, is one of the best in business training and coaching services across Africa and Middle East.

BY MOMBO SACCO TEAM

14

14

| MOMBO SACCO: THE INNOVATION THAT GOT US THROUGH 2020 To cushion its members against the negative effects of the pandemic, the management committee of the SACCO ratified a number of measures, such as grace-periods for loans disbursed to the most vulnerable members, and interest-relief packages.

BY MOMBO SACCO TEAM

January-February 2021 I Inversk Magazine I 03

INVERSK MAGAZINE

CONTENTS - JANUARY 2021

| VOLUME 1 NUMBER 6

OPINION 28

| WHY MORE WOMEN SHOULD BE IN LEADERSHIP When it comes to advocating for issues, it gets even easier when women are at the helm of power or leadership. This is because women tend to prioritize the problems that affect the family set-up and quality of life.

BY MONICA CHEGE

30

| WHY MORE LEADERS NEED TO ADMIT THAT THEY’RE CLUELESS! Diverse perspectives open up new avenues for solutions in a world that is happier with the status quo yet facing bigger and bigger challenges politically, ecologically, technologically, and economically.

BY JORAM MWINAMO

36

| IS SME MARKET THE NEW FRONTIER FOR INSURANCE SECTOR? Insurance sector in Africa has not been as proactive in supporting SMEs.

BY NANCY AKETCH

36

| IS SME MARKET THE NEW FRONTIER FOR INSURANCE SECTOR? Insurance sector in Africa has not been as proactive in supporting SMEs.

BY NANCY AKETCH

OTHERS

40

26

| MARKETING: The World Of Tiktok And Marketing, What You Need To Know

BY ALICE NGATIA

34 | PERSONAL DEVELOPMENT: Soft Skills lead to Hard results, Why Self-awareness Matters

BY BY MICHAEL J. PADILLA

32

38 | INVESTOR RELATIONS: The How to Create a Lasting Impression during the First Meeting with an Investor

BY SHALINI GADHIA

40

| CULTURE: The Power of Reading: Shaping the Future

BY JEREMY THUKU

RISING STARS 32

| HOW NJOKI WAIGWA LEFT HER DREAM JOB TO START A THRIVING DELIVERY BUSINESS IN NAIROBI Whether you want to build a personal brand that brings you The niche she ventured in to was driven by necessity, true to the Greek philosopher Plato, who stated that necessity is the mother of invention.

BY INVERSK TEAM

04 I Inversk Magazine I January - February 2021

INVERSK MAGAZINE

CRISIS MANAGEMENT

May 2020 I INVERSK MAGAZINE I 05

INVERSK MAGAZINE

CONTENTS - JANUARY 2021

| VOLUME 1 NUMBER 6

Pg. 44 CONTENTS - JAN 2020

SUSTAINABILITY AS A BUSINESS STRATEGY There is a distinction between operational effectiveness and strategy. The strategy is “being different” by choosing unique and valuable position activities that are hard to match.

By Wahito Maigua

Now you can enjoy reading Inversk Magazine at:

06 I Inversk Magazine I January - February 2021

INVERSK MAGAZINE

FIRST WORD

The Planning Fallacy; What it is and How to Counter it

M

Kimani N. Patrick CEO & Publisher kp@carlstic.com +254710254524

ost often, we find ourselves racing to finish something at the last minute - it could be a project or getting to a meeting right on time. Often times it is over-budgeting or under-budgeting for something. If you are a victim like I am, it has little to do with you but more about the planning fallacy.

First proposed by Daniel Kahneman and Amos Tversky in 1979, the planning fallacy is when we make predictions about how much is needed to complete a future task display an optimism bias, and underestimate the time needed. This phenomenon sometimes occurs regardless of our knowledge that past projects of a similar nature have taken longer to complete than generally planned. As humans, it is a tendency we all have to overestimate our abilities and underestimate the time it will take us to complete something whilst knowing full well that similar tasks have taken longer in the past.

When it comes to time management, most of us are caught in the trap of our own planning fallacy which is what psychologists call our tendency to underestimate how long it will take to realistically complete a task – thereby making us give false promises and end up defaulting on our word. Other times it is underestimating a client’s project costs leading to losses or under-delivery.

Most often, we fall prey to the planning fallacy by fixing a deadline without any analysis, which makes our predictions unrealistically close to the best-case scenario. We assume that we and every other person involved in a project will perform at their optimal capacity - failing to take into account the possibility of unexpected problems and roadblocks.

Another reason we do this is by being

RATES FOR ANNUAL SUBSCRIPTION (6 PRINT COPIES) Kenya Uganda Tanzania Rwanda South Africa Rest of World

KES 3,060 UGX 109,003 TZS 51,660 RWF 66,782 ZAR 550 USD 29

overconfident and optimistic about our skills.

This one makes us think we might have the necessary talent, skills, and abilities, thereby making an illusion that some work will take a lesser time to complete than it is actually required.

While these two may not be the only reasons we fall victim to the planning fallacy, they are the main ones. Others include discomfort and fear of taking too long to complete a project which means incurring more expenses, a delayed launch, and a waiting period for revenue and miscalculating travel times to your destination thinking you will beat your app’s estimate to thinking you can leave a presentation to the last minute. These misjudgements convince us about finishing something in the shortest possible time to make us feel better.

To counter the planning fallacy, good time management is required. Once an objective estimate of the time it will take to complete a project is set, the next thing is to block time in our calendar, and make sure the resources needed are available. To do this, we need to break down big tasks into smaller, manageable chunks and ensure what needs to be done is done when it needs to be done by whoever is responsible.

Another important thing in countering the planning fallacy is defining priorities. It is easy to get excited about a new project and to add a thousand tasks to your to-do list. Projects that get finished on time need to be self-contained. Y ou won’t be able to evaluate how much work and how long the project will take if you have an ever-expanding list of tasks.

Use the Eisenhower matrix or prioritization to differentiate between tasks that are urgent and important, important but not urgent, urgent but not important, neither urgent nor important.

INVERSK CONTACTS Ads/Marketing Opportunities: Dennis Maingi dennis@inversk.co.ke | + 254 724 332 042

Editorial Features: Kabira Daisy content@inversk.co.ke | +254 701 789888

For subscriptions contact subs@inversk.co.ke

www.inversk.co.ke

Inversk Magazine is a publication of The Carlstic Group. Views expressed in this publication do not in any way express the views of the publisher.

08 I Inversk Magazine I January - February 2021

theTopline business headlines you need to know

Kenya Named the Best Golfing Destination in Africa Kenya was been acknowledged as Africa’s leading golf destination at the 7th Annual World Golf Awards.

The awards were founded in 2014 to celebrate sports, excellence in golf tourism, courses and golf destinations.

Kenya beat stiff competition from South Africa, Egypt and Morocco.

At the gala held in Dubai, Karen Country Club in Nairobi was named best golf course in Kenya. The Great Rift Valley Lodge and Golf Resort as well, was named as the best golf resort in Kenya.

Kenya Tourism Board (KTB) CEO, Dr. Betty Radier welcomed the news and announced plans to further develop the country as a leading golf tourism destination.

“It is encouraging that we have developed golf and now the entire world knows us as the best destination in Africa,” said Betty.

Global Economic Recovery From COVID-19 Remains Difficult, IMF The world’s economic recovery from the COVID-19 pandemic still remains difficult despite breakthroughs in vaccine development.

The IMF has projected the global GDP will contract by 4.4% in 2020 while growth will remain at 5.2% in 2021 as countries experience a “partial and uneven recovery”.

The outlook is worse for developing countries and the fallout from COVID- 19 is expected to leave global GDP at more than 6% below pre-pandemic projections for 2021.

In a blogpost, Kristalina urged governments to respond to the continued economic and public health uncertainty from the COVID- 19 crisis with strong, concerted policy action to keep the pandemic from leaving indelible economic scars.

She also called on cooperation from IMF members states on ending the coronavirus health crisis, shoring up the economic bridge to recovery and laying down the foundations for a more just and inclusive economy for the coming decade.

Flower Sector to Suffer with End of Covid Reliefs in January

Inside Kenya-UK Post-Bretix Trade Deal

The Kenya Flower Council (KFC) has warned that gains made in reviving the horticulture sector in the last couple of months could be wiped out.

Kenya and the United Kingdom on Tuesday December 08, 2020 signed a post-Bretix trade deal for a duty and quota-free market access, effective January 1, 2021.

This follows the move by the National Treasury to end Covid- 19 tax relief measures starting January 1, with corporate tax and Value Added Tax (VAT) set to return to the previous rates.

This brings to an end months of negotiations meant to safeguard business between the two countries as UK nears the December 31 exit from the European Union (EU).

This, the council says, spells doom for the second revenue earner that employs millions of workers directly and indirectly. Council Chief Executive Clement Tulezi said the VAT increase would have a direct impact on the sector that is still on its knees. “There were no consultations among top players and in two weeks, we will go back to the old tax regime and this will have a negative effect,” said Tulezi

Kenya’s trade Cabinet Secretary Betty Maina and UK’s International Trade Minister Ranil Jayawardena signed an Economic partnership Agreement (EPA) in London on Tuesday.

Tulezi further called on the Treasury to rethink the decision and suspend the directive for another year, noting that it would have a far- reaching impact on flower exports to the EU. 10 I Inversk Magazine I January - February 2021

The agreement will ensure that all companies including British businesses can continue to benefit from the duty- free access to the UK market. “This deal makes sure businesses have the certainty they need to continue trading as they do now, supporting jobs and livelihoods in both our countries,” said Jayawardena.

Kenyan exports will continue enjoying preferential market access previously covered under the EU- East African Community trade deal.

INVERSK MAGAZINE

theTopline Kenya Named Africa’s leading Tourist Destination

KRA to Collect Ksh 5B Digital tax by June 2021

Kenya was feted as Africa’s leading tourist destination, 2020 by the World Travel Awards (WTA) during the inaugural Africa Winners Day held on Monday, November 9, 2020.

Kenya Revenue Authority (KRA) estimates to collect Ksh. 5 billion from the digital economy in both local and foreign firms by the end of June 2021.

WTA is the global initiative to acknowledge and reward excellence in travel and tourism honoring the best from across the continent.

The collections are as a result of the Finance Act 2020 which introduced a 1.5% digital service tax for every online transaction, sale, and services which is to kick off from January 2021.

The Kenya Tourism Board (KTB) won Africa’s leading tourist Board, and Destination Kenya won Africa’s leading destination management company 2020.

KTB chairman Jim Kariuki took the win as big motivation to the tourism industry which had suffered adverse effects of the COVID-19 pandemic. “This is a big encouragement to everybody in the tourism sector and shows that even as we go through this difficult time, Kenya still remains the top destination in Africa.

We shall continue to improve our tourism products and to showcase our diverse offerings globally so that we remain ready for take- off once travel resumes fully,” said Kariuki.

KRA Sets iWhistle To Curb Tax Evasion

KRA in December launched iWhistle, a web- based system that will enable anonymous reporting of tax crimes in order to curb tax evasion.

The new platform will enable the public to report tax crimes anonymously by accessing the web link; https://iwhistle.kra.go.ke./ welcome/.

If there is credible information that leads to the collection of revenue tax fraud or tax evasion schemes, Commissioner General Mr. Gathii says there will be a cash reward of up to Ksh. 2 million as stipulated by the law (KRA Act cap 469 chapter 5A).

Some of the tax evasion schemes are tax fraud, failure by a taxpayer to submit tax returns by the due date, concealment, misdeclaration, smuggling of goods, Customs Duty, manufacturing of counterfeit goods amongst others which are to be reported.

This is not the first time KRA has been trying to inculcate tax- paying culture in taxpayers.

“Should we have the impression that they are not paying the right amount of taxes, we have devised mechanisms of obtaining independent information; We will go through the Mastercards and Visas, we will work with the Communication Authority of Kenya (CAK) and Central Bank of Kenya among other banks in order for us to get the information on the transactions,” said Commissioner general Githii Mburu.

The taxman had set a special unit to track digital revenues by the end of June 2020. Kenya Revenue Authority (KRA) estimates to collect Ksh. 5 billion from the digital economy in both local and foreign firms by the end of June 2021.

Total Kenya Switches to Solar Panel

Total Kenya has installed over 3,000 solar panels, making it one of the biggest firms to significantly reduce reliance to Kenya Power. The company has connected 107 service stations and is set to migrate an additional 41 service stations by next year.

Solar energy has enabled the service stations to power pumps, fridges, lights, air conditioning and other machinery reducing reliance on the grid. “Total remains committed to the global ambition to be CO2 emissions Net Zero by 2050. This is a step in the right direction as a broad energy major. And the solarisation of our network of stations is part of our contribution to this great objective,” the firm said.

United Nations Department of Economics and Social Affairs statistics indicate that modern renewable sources of energy accounted for 60% of all new generation capacity.

Various businesses and individuals have been switching to solar energy due to the unreliable power supply of KPLC and accruing energy cost.

January-February 2021 I Inversk Magazine I 11

INVERSK MAGAZINE

MENTAL HEALTH

Managing Mental Health in the Covid-19 World The Mental Health Amendment Bill 2018 awaits the National Assembly for it to be passed.

Is it the right time that parliament enacts this bill?

T

BY LUCY KIMEU

here is no health without mental health.

Good health in its totality encompasses the physical, emotional, psychological, and spiritual aspects of an individual; if one area is affected then one is not wholly healthy.

According to the World Health Organization, it is estimated that one in four people in the world is affected by mental illness and about two-thirds of them never seek help from a health practitioner.

Mental health is a state of wellbeing where one can realize his/her own abilities, be able to cope with the normal stresses of life, work productively, and make a contribution to the community.

Multiple social, psychological, and biological factors determine the level of mental health of an individual at a specific time.

Poor mental health is associated with rapid socio-economic changes, stressful life, and work conditions, discrimination, unhealthy lifestyles and pandemics.

When the first case of COVID-19 was reported on 13th, March 2020 there was uncertainty on how things would unravel in the country but as the time lapsed, anxiety levels increased 12 I Inversk Magazine I January - February 2021

proportionally as the cases increased. The economy took a hit affecting many businesses and organizations started to downsize. The sudden loss of employment is a big blow as it leaves one with so much distress on how to provide for families, pay bills among other responsibilities.

During this period, life has changed from being normal to abnormal as people were instructed to work from home, which meant spending a lot of time at home; this strained many relationships leading to increasing cases of domestic violence while others learned to be compassionate to one another.

The restriction of mov e me nt and c ounty lockdowns was overwhelming as well.

Cases of mental health issues have escalated during this pandemic period due to several issues: loss of income, disrupted school programs, business closure leaving many people hyper-vigilant. Depression, drug and substance abuse, suicide, and anxiety have increased as some people are seeking help while others have resulted in alcohol to numb the pain.

It is essential to understand depression- It is a mood disorder that affects the mood, thoughts, and behavior of an individual. The symptoms of depression include feelings of sadness, irritability, trouble falling or maintaining sleep, anger outburst, poor concentration, crying, loss of interest in activities one once enjoyed, poor or too much appetite, w ithdraw al, isolation, feelings of hope lessne ss/ helplessne ss, suicidal thoughts and poor grooming. There is a treatment for depression‌ one needs to reach out to a mental health practitioner who would assess and develop a treatment plan.

Counseling is essential as it deals with the underlying triggers of depression, through the process one gets to learn skills which would be helpful in building one’s psychological resilience.

Domestic violence has increased in homes due to high-stress levels and poor stress management skills. It not only affects women but also men are facing violence at home. The violence could be physical, emotional, and psychological; all these have effects on the well-being of an individual.

Domestic violence affects the children making them constantly scared, worried about their safety, and of the other parent and easily startled when there is a loud bang or an argument in the house. These affect the children having damaging personalities as they grow up; they can develop low self-esteem due to the trauma, they could be bullies or be bullied as they are timid.

Reaching out for help when faced with stressful life situations helps to work on the underlying issues and it is also a process of self-awareness. Counseling gives an individual a safe space to speak freely without any judgment; all discussed during the session are always confidential.

The psychological and emotional signs of stress include; constantly worrying, agitated, trouble falling sleep or maintaining sleep, feelings of fatigue, anger outburst, irritability, increased alcohol intake, poor decision making, poor concentration, and loss of interest in things one previously enjoyed.

Coping skills, when faced with stress, include; getting enough sleep, eating a healthy balanced diet, regular exercises, taking a break from work, get a hobby, reduce alcohol and coffee intake.

Reaching out for help is not a sign of weakness it takes a lot of courage to open up to a stranger but the counseling gives an individual opportunity to talk on all issues they are going through in a safe and confidential space.

Lucy is a Counseling Psychologist with Bachelor of Arts in Counseling from Kenya Methodist University, Masters of Arts in Counseling Psychology & pursuing PhD in Clinical Psychology from Daystar University.

Award Emmanuella Aboa is the 2020 Business Training & Coaching Entrepreneur of the MEA Business Awards

E

BY INVERSK TEAM

ntrepreneur Emmanuella Aboa, the CEO of the Kenyan based business training and coaching firm, Transolution Services Africa Ltd, was in November feted as the Business Training & Coaching Entrepreneur of the Y ear 2020 by the Middle East-Africa Markets Magazine.

Through the Middle East-Africa (MEA) Awards, the publication honours the enterprises and individuals behind innovations and aspirations that drive increasing growth and innovation within the continents.

The awards seek to reveal industry leaders from the varied industries, markets and sectors from across the continent of Africa and Middle East.

The Award is a validation of the incredible work Transolution Services has done over the years by the team and "we would like to thank all the people who took part in our journey. To our customers, sponsors, partners, suppliers, thank you!" said Emmanuella Aboa. “Special gratitude to the Almighty God for blessing our work and walking with us. We look forward to a more impactful 2021," she added.

Being named as a 2020 winner shows the firm is one of the best in business training and coaching services across Africa and Middle East.

Transolution Services is a learning and development organization with a proven track-record in exceeding customer expectations and delivering results for them. The multi-award-winning firm prides itself in being a champion of transforming lives, sharpening leadership management skills and challenging businesses to achieve their potentials.

The firm works with a variety of clienteles in 14 African countries ranging from government institutions, community -based organizations, young people and senior leadership among others.

The goal of the firm is to help clients maximize opportunities within their ecosystems.

Emmanuella Aboa, Transolution Services Africa Ltd

Transolution delights in understanding client's needs and exceeding those by delivering engaging and motivational learning programmes that support both individual and team development.

Whether it is a leadership team, an operational team or a team that is delivering strategic projects to enhance the organisation, Transolution work in partnership with you to develop and deliver learning programmes that make a long-term positive difference and therefore provide an excellent return on your investment.

January-February 2021 I Inversk Magazine I 13

INVERSK MAGAZINE

ADVERTISER’S FEATURE

MOMBO Sacco: The Innovation that got us Through 2020 To cushion its members against the negative effects of the pandemic, the management committee of the SACCO ratified a number of measures, such as grace-periods for loans disbursed to the most vulnerable members, and interest-relief packages

BY MOMBO SACCO TEAM 2020 will be remembered as the year where people depended on technology and innovation more than ever.

However, before the COVID-19 pandemic hit the world, MOMBO SACCO was already putting into use great innovative and technological solutions to not only help improve the customer experience, but to guard against risks and offer simple, convenient and secure financial solutions.

One of the most significant tool for the SACCO that was registered in 2015 and is regulated under the Co-operative Societies Act (CAP 490), is its customer interface platform, the MOMBO digital app.

Through this mobile application, members can view their savings balances in real time and borrow without the indignity of having to check with the SACCO’s management.

The COVID-19 pandemic resulted in dramatic changes in key industries and workplaces, forcing many to stay, and for those who could, work from home.

MOMBO SACCO’s place amongst a youthful and urban-oriented market segment meant that its consumer base (a majority of the SACCO’s members are below the age of 35) was already well prepared for an environment demanding smart solutions and innovation.

To cushion its members against the negative effects of the pandemic, the management committee of the SACCO ratified a number of measures, such as grace-periods for loans disbursed to the most vulne rable me mbe rs, and interest-relief packages.

The decision to continue lending during the pandemic was informed by the fact that the Kenyan economy is largely driven by the informal and small and medium enterprises (SME) sector.

With this, the SACCO supported an integral sector of the economy, in turn, helping to drive overall recovery. There was also an indiscriminate use of an internalized email platform to communicate with members, and constant messaging 14 I Inversk Magazine I January - February 2021

targeting the wider public that created awareness of the SACCO’s products via native content and social media.

MOMBO SACCO used the challenges of the pandemic as an opportunity and steered its available resources to new directions in order to survive. And it did. MOMBO SACCO increased its financing of individuals and SMEs, growing its loan book by 200%. Member savings grew more than 200% during the pandemic, demonstrating the resilience of the SACCO’s model.

The SACCO management also identified critical areas to help navigate risks and make better decisions and to rebuild growth. In this regard, the SACCO created the customized MOMBO app, M-Score, an advanced precision, data-analytic tool, which uses mac hine - le arning tec hnique s for credit-scoring. The M-Score is based on behavioral and transactional data obtained from the Credit Referencing Bureau, M-Pesa and/or Bank statements, and the member’s financial history with the SACCO. Due to this, MOMBO SACCO’s non-performing loan book was kept at less than 5%.

The SACCO’s innovative strategy of creating four savings channels – Bronze, Silver, Gold and Platinum – ensured that existing and new members pick a category of saving and borrowing that is best suited to their needs and financial ability.

A system of Customer Success Representatives also ensured that member needs were catered for in a more personalized manner, detecting, early enough, points of weakness and vulnerability requiring intervention, and encouraging the less vulnerable members to keep doing better.

To join MOMBO SACCO, simply download the MOMBO digital app, and follow the easy steps to enroll!

To contact MOMBO Sacco, visit their website, www.mombo.co.ke, or call + 254 715 872 332 Inversk Magazine provides content from MOMBO Sacco as a service to its readers but does not edit the articles it publishes.

Inversk Magazine is not responsible for the content provided by MOMBO Sacco.

September 2020 I Inversk Magazine I 15

Spotlight Risk Management: It is no Longer a Good to Have but a Must Have Digitization of women-led businesses will help them modify existing processes, enable the businesses to reach more markets as well as enhance customer experience.

BY CAROLINE GATHII

T “The dramatic spread of COVID19 has disrupted lives, livelihoods, communities and businesses worldwide.

All stakeholders, especially global business, must urgently come together to minimize its impact on public health and limit its potential for further disruption to lives and economies around the world. But the sum of many individual actions will not add up to a sufficient response. Only coordinated action by business, combined with global, multi stakeholder cooperation at exceptional scale and speed can potentially mitigate the risk and impact of this unprecedented crisis.” This was the statement made by the World Economic Forum during the height of the COVID pandemic.

It is no longer business as usual, risk management in all facets of business and in all organizations need to be enhanced with speed. The world is indeed a global village, we interact, we trade, we talk, we travel we depend on each other. We are interlinked with each other world over.

When the pandemic erupted in China at the end of 2019, it looked like a distant story that we read on the press and watch on 16 I Inversk Magazine I January - February 2021

the news. It took two short months to spread to the rest of the world and less than a month to disrupt the supply chains, grind to a halt international travel and create significant disruption to our lives and businesses. The supply chains were disrupted, we could not travel anymore, we started working in virtual office spaces, schooling was abruptly stopped (albeit physical schooling). We are intertwined, risks affecting any part of the globe has some potential to impact all of us in the rest of the world.

A good friend once joked at the beginning of the pandemic, “China sneezes and the rest of the world catches a cough” and now quite literally. Risks are interdependent on circumstances and occurrences; we cannot afford to lock ourselves in our offices and do risk analysis conclusively on our own.

The World Economic Forum Global Risk Report 2020 states that infectious diseases were rated as one of the top risks for the next ten years in regard to impact to the globe.

Other top risks in terms of impact to the globe include: biodiversity loss, climate action failure, water crisis, human-made environmental disasters, extreme weather, weapons of mass destruction, natural disasters, food crises and cybersecurity. Impact means the extent of loss that would occur if the risk actually materializes.

Most corporates have concentrated on cybersecurity since it is more internal and immediate to them. The interconnectivity of risk has not been one of the elements that has been given precedence.

The pandemic has exposed our interconnected and dependencies around the world. It is clear that interconnectedness and dependencies are inevitable; businesses will depend on input or output resources from other entities or persons.

In the risk profession the key analysis that we need to do is ask ourselves how do these dependencies affect our businesses; what if these dependences do not work or are compromised what solution do we have in

INVERSK MAGAZINE

RISK MANAGEMENT

place to ensure business continuity.

Organizations should therefore identify potential threats and their impacts to business operations.

The threats should be critically analyzed to understand their impact on business; after which a clear guideline on how to minimize business disruptions should established.

A collaborative effort of risk professionals is critical where professionals share insights and ideas on how to handle external risk; share success stories; brainstorm on dependencies and how to analyze them. A community of practice for risk professionals would be really helpful to address some of these critical external risks that affect organizations.

Risk professionals should be undertaking some critical reviews during this time to ensure that they provide guidance on the impact of the pandemic to their respective organizations.

An assessment of the impact COVID on the key objectives taking into account the new demands and changing priorities. They should make a critical analysis of any skills gap in performing the risk roles. It is critical to collaborate with other professionals including medical experts to provide much needed insights to the risk analysis process.

Crisis communications is critical during such pandemics and it is critical to establish proper communication protocols and processes to manage both employees and external stakeholders.

Supply chain risk management is another important perspective during this pandemic.

Supply chains have been disrupted and the situation is fairly dynamic. It is therefore paramount for professionals to keep abreast with the pandemic as well as changes that are taking place especially where organizations are dependent on supplies from other organizations in different regions and countries. They should also keep abreast to emerging risks like cyber-attacks, fraud, data security amongst others.

The employees are key in the success of any organization. The organization work place should be kept safe; employees should be provided with protective equipment to ensure that when they are in the workplace there is minimal possibility of infection. Organizations should ensure that they uphold the health and safety protocols issued by their respective government agencies.

In circumstances where employees are able to work from home, then the employer should provide necessary equipment to do so.

There should be enhanced controls for working from home while maintaining standards of data security.

Organizations will need to keep a greater visibility over their supply chains than ever before, in order to find areas of any challenges in order to improve efficiency, reduce the chances of disruption and stay competitive. They should consider conducting due diligence on their suppliers. The suppliers should have in place current and comprehensive business continuity plans. It would be prudent to seek alternative suppliers incase there are any interruptions.

A review of all contractual agreements taking into critical consideration of the force majeure provisions would be another important task.

The new normal has presented challenges that require re-thinking and working especially on the controls and procedures. The controls that majority of the organizations have in place are designed for the physical work environment or when there is actual physical interaction within an office space. The procedures will need to be reviewed with the current status of virtual working spaces in mind and where only essential staff are at the physical work place. There is need to ensure that risk assessment is conducted to evaluate the different scenarios.

There should be a process of designing relevant and appropriate procedures and controls based on the risk events, causes and current circumstances. The controls and processes should be implemented as soon as possible, this will enable

organizations to minimize losses and hence stabilize the them as risks will be within the risk appetite.

In winding up, risk management is no longer a good to have but a must have. It should be function that adds value to the organization by ensuring adequate preparation for the future business place as well as ensuring compliance to required regulation while creating value to the shareholders.

Caroline is an International Certified Risk Expert with FirstIdea Consulting Limited. Reach her on cgathii@ firstideaconsulti ng.co.ke

September 2020 I Inversk Magazine I 17

INVERSK MAGAZINE

LEADERSHIP

Leadership and Cooperation:

How do we build cooperative teams?

Instilling the value of having ‘one vision’ is another way that a leader can get maximum cooperation from his team.

BY SHALINI GADHIA

S

Success in leadership comes when there is cooperation in a team. Having team members who work together is one of the biggest achievements of a leader.

Looking at the constant changes taking place in the environment particularly in the context of finance, it becomes important to nurture your team so that they are all driven towards the same goals and objectives. With frequent layoffs, it is essential to lead your team that works together to reap maximum benefits.

A key way of getting your team aligned is keeping them constantly motivated. Despite the various challenges faced, a motivated team will always be solution focused. A team that feels like their contribution is valued will always strive to work together leading to maximum cooperation. Motivation can be in the form of monetary rewards, recognition, training and development.

Making your workplace a fun place to be also encourages cooperation within a team. After all, nobody likes spending time in a gloomy office! Fun can take the form of occasional team get togethers, music to lighten the mood or even simple things like sharing a few jokes here and there. A leader taking the lead here goes a long way in nurturing this culture.

Allowing team members to take regular breaks in between work schedules will also keep them more energized and make it fun for them to continue working together. Team building exercises play a crucial part in instilling cooperation as team members learn each other and bond better. This helps in identifying each other’s weaknesses which goes a long way in ensuring that the correct help is offered when required. Team building exercises allow us to get out of the normal work routines and let us interact in a different setting that permits us to get to know each 18 I Inversk Magazine I January - February 2021

other at a different level.

Regular training of the team also motivates staff as they feel like their knowledge is being updated and gives a feeling that the company cares. Training can also be made fun where new concepts are taught in a practical way rather than in the ordinary classroom context. In addition, it can be a two way exercise where team members should also get a chance to make suggestions on potential areas of improvement.

After all, they are the ones involved in the day to day task execution. This motivates them to work together as they feel more empowered.

Listening to your team solves half of the problems that most leaders face. Team members are humans after all. Listening to their problems, idea and opinions usually makes them feel valued hence they will strive to help other team members in exchange, therefore nurturing cooperation within the team. It does not stop at listening, implementing the ideas that team members leads to more cooperation as seeing an idea actualized goes a long in employee motivation.

Nurturing respect is a key element in attaining cooperation within a team. A team that does not have members that respect each other will never allow them to work together. As a leader, if you respect your members, and teach them to do the same with each other, you will be assured of having a team that is likely to work together. Respect applies to how you address each other on a daily basis, how conflict resolution is handled and how the leader-team relationship is developed with time.

Instilling the value of having ‘one vision’ is another way that a leader can get maximum cooperation from his team.

Avoid instilling a competitive culture and focus on a unified approach. This way team members will constantly be reminded that they are working towards a common goal which will allow them to cooperate and work together. The ‘one

vision’ approach however must also communicate what’s in it for an employee on a personal level. Communicate potential rewards both on a personal and team level. Potential for employee growth in an organization will also allow them to work together more as they understand that they have a chance of rising within the workplace if they perform better as a team. Rewards can also be tied directly to team work which will further nurture cooperation!

Maintaining a positive attitude at all times also allow teams to work better together. A positive attitude will allow everyone to come together in difficult times and figure out a solution no matter what the situation. This is highly dependent on the team leader as a team’s attitude is highly dependent on that of their leader. Motivation is key in nurturing positivity in a team.

Shalini Gadhia is a marketing professional who is focused on creating excellent customer experience and tailoring corporate communication for high impact.

September 2020 I Inversk Magazine I 19

INVERSK MAGAZINE

COVER STORY

Doing everything with Honesty & Integrity to succeed in business.

How Shahid Yakub Scaled His Family Business into a Multinational venture

BY CHRISTABEL AIRO

E

ntrepreneur Shahid Y akub is not only inputting superhuman hours in Moto Moto Africa Limited but a philanthropist at heart. He has repeatedly distributed foodstuffs to vulnerable members of the society and even helped in building of mosques. His outstanding work as a businessman led him to be the Founder of the year 2020.

Y akub started doing business a decade ago by selling phones and accessories while coupling up as a high school student. After completing studies in 2011, he got an attachment at First Community Bank, where he discovered that employment wasn't his niche...

“After that small attachment, I kept that in my mind that I’ll never do employment,” he told Inverk’s Kimani Patrick. “At a certain point in life, you’ll get to realize what your actual potential is.”

Shahid told Kimani that his father is his mentor and he shared his sentiments about being employed with him. “What I’m doing in the bank is a waste of my time,” Y akub said to his father. “I can do a lot more outside there when I’m independent and doing it for myself. Not being told what to do.”

At that moment, Y akub says, is when his father realized his son has just as much as an entrepreneurial mind as he did. Same year, 2011, his father fell ill to a point where they closed down one branch of the restaurant and was about to close the other. Before that, however, Y akub quickly thought on his feet and he decided he can take over the business. “Y our exit is going to make a loss, so give it to me because either way, it’s a loss.”

Y akub planned to cater to the restaurant’s expenses with his savings for 20 I Inversk Magazine I January - February 2021

W

2 to 3 months and after that is when he could decide whether or not the business will still run.

At this time, Y akub was 20 years old and that is when he says his business training officially began. Taking the restaurant from his father as the manager in 2012, he says he did not know whatsoever of running it.

Soon after taking over, he began with what he calls “minor transformations” such as incorporating food

deliveries to “re-attract” their customers.

At this point, Y akub also joined the University of Nairobi, Lower Kabete School of Business to pursue a Bachelor of Commerce degree. His days were torn between school and the restaurant, where he would retire at late hours of the night and wake up early in the morning. “My work was to come to open the restaurant then go to uni, come back, spend most the time here (at the restaurant).”

Y akub’s vision was that in the next

INVERSK MAGAZINE

COVER STORY

3 to 5 years of managing the restaurant, it would generate profit enough to expand it. By 2015, Moto Moto Fish and Chips, the family restaurant, had gathered enough profit to make a decision which was to transform it into a modern fast-food restaurant. Y akub also began investing in an IT company which started to pick up.

Despite studying business in school, Y akub said his interest had always been in safety and security as well as green energy solutions.

He looked for ways in which he could incorporate his younger brother who was interested in IT into the business and expand. In 2015, the two of them started Moto Moto Africa as an IT company. Y akub opted to retain the name Moto Moto to continue his father’s legacy that had been built for the past 25 years.

By 2017, they managed to expand the business to encompass safety and security as well. Later they got into a blue economy, green energy solutions and interior decor.

school. “What I learnt is how a business should be run theoretically, from a finance, accounting, sales and marketing perspective.” He is grateful for the fact that he had his own business where he could apply all the principles, he learned in school practically.

Later on, Y akub proves further that it is knowing how to run a business that matters when he expands the company to a modern fast-food restaurant, IT, Interior décor, blue economy and green energy solutions, all of these being industries he did not know about.

His knowledge of running a business is what enabled him to venture into other sectors. “For me, it’s not about knowing the business, it’s about running a business. I know how to run a business.”

2. Y our business strategy should be to find a niche, not be a cliché; When getting into business, you need to think about solving a problem that no one else is, or

solving a problem that another business is facing. This means that originality is key and Y akub stresses this. “If someone came to me today and told me they want to start an IT business of selling hardware, I’ll tell them you’re stupid,” he says. “If you take a walk-in town, every second to the third shop is selling the same thing.

So, what are you going to do that is unique?”

Y akub says instead of jumping into a business that is saturated, figure out what problems those businesses undergo and strive to solve them. That way, you would have discovered a niche you can specialize in.

3. Be prepared to make a loss, not a profit; To make high profits, you have to take high risks and the high risks come with big losses as well. According to Y akub, a true businessman or entrepreneur walks into a risk prepared to “take a hit” and not make a profit. “If you are mentally prepared to take a hit, you look

Philanthropy: Y akub’s philanthropy life started even before his business life. He involves himself in charity work partnering with others to assist those in need. During the Holy month of Ramadhan, it is routine for him to participate in “Feed a Family Program” whereby they distribute food hampers and on Eid al-Adha, they distribute meat to families. He is also actively involved in building mosques throughout the country.

These acts have led him to win I nte rnational ACF E outstanding achievement in community outreach and service award.

Y akub believes that by doing good, goodwill also comes his way, “I can speak personally that each time I have left for charity work, I may not have reached halfway and received a business deal.” He said.

He believes in aspiring to inspire others and means it. Getting into the business world at a young age, he shares some great lessons he learned with time.

He believes that these lessons will benefit anyone in business and upcoming entrepreneurs. Here are seven of them; 1. Knowing the business doesn’t matter, but how to run one that counts: Y akub says he got into the food business without knowing how it works when he took over the restaurant from his father. “I didn’t have the know-how of the food industry; I didn’t have the know-how of running a business.” He, however, added that he later got an idea of how to run a business from the knowledge he gathered in January-February 2021 I Inversk Magazine I 21

was taught to him at a tender age by his family, culture and religion. He believes that “in giving, is receiving.”

Often, apart from business, he engages in acts of charity such as building mosques, offering food relief and visiting orphanages. He further adds that the only way to appreciate what you have is to look at those who don’t have. “We have seen drought; floods and we have seen almost every situation that requires help. What we have seen has made us appreciate life,” said Y akub.

at the worst-case scenario together with how you’re going to recover,” he said.

He adds that when investors come to him, they are bothered more about the extent of the risk as opposed to the amount of profit they will make. He stresses that one has to assure the investors that there are ways they can recover from the loss for them to trust you. “If you can guarantee protection for the investors, they will invest in you.”

Y akub further adds that many youths go wrong in business by being too optimistic and later get heartbroken and discouraged when they incur losses they had not prepared for.

4. Focus on what you will save, not what you will make; If you spend more than what you make, you have not made a profit. To truly earn, you need to save, that is when you will see the difference.

Y akub says that one thing the food industry taught him was to not look at how much he makes, but at how much you save. “When that fryer is on and no chips are being fried, that is electricity paid for nothing. That’s wastage and where my

7. Do everything with honesty and sincerity; When Y akub’s grandfather passed on, those two words were what he left in his will; honesty and sincerity. From a very young age, these two words have been a principle in everything that Y akub does. He strongly believes that earning an honest living will make you content with everything you have, while a dishonest one will never satisfy you. “If you make Sh 10 profit, with honesty and sincerity, you will appreciate it, but if you take it illegally, it will never be appreciated.”

These lessons are what made Shahid Y akub the man he is today and what he attributes his success to. He also believes that consistency and persistency is the key motivation for any entrepreneur.

Lastly and most importantly, he adds that if you strengthen your relationship with God, your parents and your kin, nothing will stop you from excelling.

These business philosophies have enabled him to network and collaborate with different associations and branches profits are going down. If I save that, that of Government. Shahid Y akub is a global is where I’m making money,” says Y akub. player, making vital moves in networking According to him, the “crème” of profit is and linking various global companies with not in the margin, it is in the savings and local ones in order to establish growth. He therefore, one needs to avoid wastage as has been one of the frontrunners for revmuch as possible. olutionary transformation of the Safety and Security industry. In addition, he has 5. It’s not just about you, empower those played a key role in formation of innovaaround you; In 2015, when Y akub began tive policies for the regulation and proinvesting in IT, he decided to leverage his gression of the industry. This has been brother’s IT knowledge to get the made possible by being part of organizacompany running, thereby empowering tions and agencies like International Pohis brother as well. The idea here he says lice Association (IPA) and Protective and is about “partnering with like-minded Safety Association of Kenya (PROSAK), people and those who are masters in among others. “I don’t need to impress. those other industries. It is to start That is the mindset: “Aspire to Inspire.” something small and empower a person in an area they are good at.”

Y akub also admits that despite his success, he drives a salon car and not a Christabel is an Account Manager at Range Rover-like what most people Carlstic and Staff Writer at Inversk expect. “I’d rather invest that one Range Magazine. She formerly worked at into a business so three or four other Royal Media Services as a Radio people can get their saloon cars. That is a News Reporter. mindset that people don’t have.”

6. Y ou need to give to receive; Y akub is a strong advocate for charity work which January-February 2021 I Inversk Magazine I 23

INVERSK MAGAZINE

MARKETING

The world of TikTok and Marketing, What You Need to Know The app has quickly become another social media platform that brands use to promote their products or services..

BY ALICE NGATIA

F

From memes and goofy videos, to dance challenges, TikTok, the videosharing app owned by Chinese tech firm ByteDance, is slowly delving into marketing and advertising – challenging the already disrupted industry. The COVID-19 pandemic caused a downturn for marketing as brands and age ncie s suspe nde d campaigns and sponsorship deals. The industry, however, adapted well and like many others, it turned to social media as a marketing platform.

With social media usage increasing, engagement on sponsored posts during this time went up. According to research carried out by Shareablee, interactions with sponsored posts reached 57 million in July, almost five times the amount from March 2020.

TikTok has grown at a record rate during the lockdown, reaching almost two billion downloads by June 2020. A new pool of influencers emerged and as a result, new opportunities for brands opened up.

24 I Inversk Magazine I January - February 2021

The app has quickly become another social media platform that brands use to promote their products or services.

What happens on TikTok, doesn’t stay on TikTok. Content created for the online video-sharing platform is everywhere nowadays. Many viral TikTok videos have even crossed over into mainstream media, making the app a form of national and international communication.

Influencer Intelligence explains in its latest report, “The State of Influencer Marketing in Beauty”, that the growth of TikTok’s influence is due to its unique algorithm. This algorithm informs the content on the “For Y ou” page, which is personalized for every user based on how they interact with videos.

TikTok is also considered to be one of the best platforms to reach a mass audience. An influencer named Maria Nichol said to Influencer Intelligence, “TikTok has so much potential when it comes to brand collaboration. On platforms like Instagram for example, a majority of people who would see my sponsored content would be my followers.

On TikTok, your content has the potential to be seen by millions!”

Meme-inspired marketing has become more popular in an attempt to reach younger audiences and Generation Z consumers, who have growing spending power. With approximately 800 million users worldwide, through TikTok, brands participate in social conversations and demonstrate their target audience’s cultural relevance.

An average TikTok user spends 476 minutes per month on the app, second to Facebook. Audiences especially younger ones are accustomed to watching content with little or no advertising.

TikTok manages to sneak in a relatively robust advertising experience that doesn’t put off audiences.

TikTok ads show up in users’ feeds like regular TikTok videos, only that they are made by brands and not users. Fortunately, this distinction isn’t always

obvious. Brands are welcomed to use the platform for advertising as long as they are creative and authentic.

“2020 has been a year of tremendous evolution for brands’ advertising strategies on TikTok,” notes Stuart Flint, head of global business solutions for TikTok across Europe. “However, we see clearly that brands find success on our platform not because they have simply repurposed their TV commercials for mobile, had the glossiest ad or the biggest names in their campaign, but because of their ability to creatively engage and connect with users through feelings, actions and sounds.”

However, advertising rules and regulations that apply to social media platforms should also be adhered to on TikTok. All posts and content, whether paid or unpaid, when made by a brand ambassador must be clearly identifiable as an advert. Brands should ensure their influencers are aware of and fully compliant with the rules.

Moving into 2021, we are likely to see an increase in emphasis on social media marketing. TikTok community is throwing their support behind brands that engage with them on a genuine level.

As a marketing manager, it is important for your brand to get user attention now before the app adds an integrated commerce model that encourages users to spend on products.

“We are seeing a lot of marketers rethink media strategies this year and many believe the remaining months are an opportune time to start on TikTok,” said Sid Gormley, founder of digital agency Osaka Labs.

Alice has over 15 years' experience in Marketing, Communications and Product Development.

Reach her on alice.ngatia@ gmail.com

September 2020 I Inversk Magazine I 29

INVERSK MAGAZINE

FOCUS - WOMEN EMPOWERMENT

Why More Women Should be in Leadership When it comes to advocating for issues, it gets even easier when women are at the helm of power or leadership. This is because women tend to prioritize the problems that affect the family set-up and quality of life.

BY MONICA CHEGE second British female prime minister, elected in 2016, during the Brexit vote? How about the just-concluded US elections where it was history in the making when Kamala Harris become the first female vice president-elect and the first person of color earn such honor.

Arguably, women have been knocking the highest glass ceiling; we do not doubt that.

Europe leads the park with Angela Merkel Merkel becoming the first female Chancellor of Germany in 2005. Norway currently has its second woman Erna Solberg, Prime Minister of Norway, since 2013. Denmark, Poland, and Finland have had a fair share of female leaders running their countries.

Ever since the island nation of Sri Lanka shattering the political gender barrier over a half -century ago, over 70 countries have had women in top leadership posts; prime minister, president, or equivalent. This goes as far as Latin America, Europe, Asia-Pacific, and Africa.

Hillary Clinton made a huge statement in the previous US presidential elections in American history.

Getting back in Africa, women have scaled politically as peacemakers. Ellen Johnson Sirleaf, a Noble Peace Prize winner in 2011, ascended to the top post on the backdrop of her work in reconciling war-torn Liberia by her predecessor.

T 26 I Inversk Magazine I January - February 2021

The paradigm shift towards women empowerment is now more than ever rolling in a new direction.

According to the World and Regional Average (Statistical Archives), the rate of women representation in national parliaments globally in the last two decades has increased from 11.8 percent in 1998 to 23.5 percent in 2018. Nations worldwide have been celebrating International Women day for a couple of years as the number of female leaders continues soaring up high. Remember Theresa May, the

The Path to Political Power The acceleration of the political wheel towards women continues to pick momentum.

The new class of CEOs is making headlines in industry circles. Take Melinda Gates, who advocates for women and girls' rights and holds world leaders accountable in her capacity. Ginni Rometty, at IBM, a tech giant company, is spearheading policies that look after the welfare of women in the workforce at the tech giant IBM. This means the political path is set, and many women are now giving it a shot to the highest positions in the global arena.

When it comes to advocating for issues, it gets even easier when women are at the helm of power or leadership. This is because women tend to prioritize the problems that affect the family set-up and quality of life. The former first female prime minister of Denmark, Helle Thorning-Schmidt (after stepping down from

INVERSK MAGAZINE

FOCUS - WOMEN EMPOWERMENT

office), took up the Chief Executive role at Save the Children, an NGO that looks at the plight of children's rights in developing countries.

With impoverished situations, especially here in Africa, and the dire need for lasting solutions to societal issues, women highly respond to constituents' concerns that affect society. This is on the backdrop that women are directly affected whenever a community experiences social strife.

In the 21st century, the qualities needed to lead include collaborating, connecting, empathizing, and communicating. All these mentioned qualities tend to sway on the "female" nature that gives dynamism. Y ou can now imagine if these qualities are translated into government institutions or organizations that have embraced women in leadership to its entirety.

Additionally, women leadership brings transformational processes and perspectives that permit parity, resiliency, inclusivity, and sustainability. In the end, it drives change, breaks down the barriers, and liberates the constraint of choices available to women.

Based on the global statistic in 2019, women in senior management roles raised to 29 percent, the highest figures ever documented. Consequently, 87 percent of the world’s mid-market

“

between 15.7 percent to 17.4 percent.

Self-belief or self-confidence should be your driving force to getting you where you want.

Lessons that the Younger Generation can Learn and Emulate If you reflect on the entire narrative on women, power, and leadership, you get some sense of struggle, determination, and the strength of their vision. Y oung women now can stand on their shoulders and ride on the already laid out path. The lesson is that leadership will never be served on a silver plata, so hard work is inevitable.

Deep down in our thoughts, we should always remember who we are and organizations have at least one woman in not let anyone define who we are.

Self-belief or self-confidence should be a senior position in 2020.

Now, Africa governments such as your driving force to getting you where Kenya, Morocco, Malawi, Nigeria, and you want. As an aspiring future leader, South Africa, through the principle of always remember to seek out mentors as good governance, have integrated gender part of your support system-never be diversity in the private sector. The repre- afraid to take a step back to learn from an sentation of women on the boards of experience that will have a great deal on state-owned companies has created a great your career path. By staying true to your deal of momentum that has crossed beliefs and principles and investing in borderlines beyond Europe to India, your experiences, it will help you grow and feed your passion.

Hong Kong, and Brazil.

In winding up, let’s draw some According to the report by African Development Bank Group, of the 12 lessons from the just concluded US countries involved, Kenya has the highest elections; it is possible to be the FIRST, percentage of women board directors so do not be afraid to venture to the deep (19.8%), South Africa, Botswana, Zambia, unknown waters. The narrative of some roles being male-dominated has changed, follow with average percentages of and so should our mindset. The world is embracing the fact that leadership is not about whether you are male or female but about your ideologies as an individual. We have seen from Ellen Johnson, Margeret Thatcher, Angele Merkel, Sonni Gandhi, and Kamala Harris. This is to say that there is yet more to come as women take up their leadership positions.

”

Monica is a dynamic marketing and communications professional with over 10 years progressive experience in brand management and strategic corporate communications.

January-February 2021 I Inversk Magazine I 27

INVERSK MAGAZINE

FOCUS - LEADERSHIP

Why More Leaders need to Admit that they’re Clueless!

BY JORAM MWINAMO

I

t all started when I read the book the Trillion dollar coach about Silicon Valley's Bill Campbell in 2019 and I learned that most of the world's leading entrepreneurs and executives had coached many years after their companies became wildly successful. It hit me that their success had a lot to do with seeking help. I had always thought, albeit wrongly, that their success was a factor of their inherent genius. I realized that part of the genius is seeking help. I have progressively learned since then to proactively seek help for almost any situation that I encounter and think that I lack the right knowledge or perspective to resolve.

When I was younger I prided myself in knowing and being known as the guy who knows everything. Nowadays, I don't mind not knowing and I'm ok admitting that I don't know. And I find it very liberating. I embrace failure and mistakes as an entrepreneur because I know they are the tickets to valuable lessons that lead to success. What I try not to do is repeat the same mistakes I made earlier. I proactively seek out experts because I know they have spent time, lots of time, years in fact, gaining experience and perfecting that which I need to learn from them.

External expert views help me to get to the bottom of issues and give clarity on what's to be done a lot faster than if I tried to figure it out all by myself. I've also become a ruthless implementer without wasting time or second-guessing myself when it becomes even vaguely clear what direction I need to take. There's more to learn while implementing than when I spend time overthinking and perfecting 28 I Inversk Magazine I January - February 2021

something without executing it on the ground. This means that I implement a lot of half-baked ideas that are still cooking and I improve as I go along. This can unsettle those who are used to having all ducks in a row and expecting perfection.

In a world that frowns upon failures and mistakes, it feels like a sin to admit the above publicly. But maybe the world needs to change how it views progress and leadership. Of course, there are roles where mistakes are not tolerated or even encouraged. Mission-critical professions. This is why it takes a long time to be certified in those professions and there are very stringent regulations to protect lives. No one wants a COVID 19 vaccine that is half baked or a pilot to try out new maneuvers that they have never tried before up in the air with passengers on board. But to make progress in many other fields, to develop new products and services, new business models or disruptions, or ideas to grand challenges that have plagued us for years, a totally different mindset is required.

All the success I've had to date is based on what I knew and learned from others. The success I will have tomorrow is seated with others, in their minds and their networks. I have a Board, accountability friends and couples, advisors, coaches, leadership trainers amongst others. Diverse perspectives open up new avenues for solutions in a world that is happier with the status quo yet facing bigger and bigger challenges politically, ecologically, technologically, and economically. Maybe what's needed in this complex world is more humility across the board and less chest-thumping.

I see a lot of friends and people struggle because they fear or cannot work with complementary partners or advisers and prefer the comfort of their own ignorance. They would rather suffer than seek help, share their problems, or submit to the genius and experience of others. A culture of bravado, egoism, and heroism has killed and destroyed many people in situations that had simple answers if only one sought out the right experts, advisors, or mentors.

Part of the reason why its difficult to seek help is that the very traits that made us entrepreneurs or leaders in the first place, thinking independently, outside the box, and challenging the status quo, are the same traits that become liabilities when we are alone in our businesses or at the top and we can fall prey to thinking that we are brilliant and need no help. Or that admitting weakness and lack of knowledge makes us lose credibility.

Admittedly, my own success has been accelerated by my ability to seek help as soon as I sense that I need it or as soon as someone points it out. My reading list this year has been about entrepreneurs from all over the world from China to Nigeria and I'm learning a lot of lessons from their stories. Especially their mistakes. I've come to hate biographies that only seek to focus on glowing tributes or stories of entrepreneurs that play up their genius and not the battle scars garnered in the path to their success. I want to know the war stories and mistakes.

That's what adds value to me. No one learns much from the inherent genius of another entrepreneur unless they have unlimited access to them.

So in 2021 resolve to stop suffering. Be quick to seek help whether in business, career, marriage, your mental health, parenting, name it. The price you pay for getting help is much less than the damage that the situation causes to the quality of your life when your issues go unaddressed. Happy 2021!

Joram is the CEO of SNDBX www.sndbx.ke an innovative growth engine for Entrepreneurs.

September 2020 I Inversk Magazine I 31

INVERSK MAGAZINE

RISING STAR

How Njoki Waigwa Left her Dream Job to Start a Thriving Delivery Business in Nairobi The niche she ventured in to was driven by necessity, true to the Greek philosopher Plato, who stated that necessity is the mother of invention.

BY INVERSK TEAM

V

ince Lombardi famously said that “Winners never quit and quitters never win.” However, Njoki Waigwa, the founder of Haraka Delivery Services is boldly defying this sentiment, proving that a good cause is worth quitting for.

Njoki has had to quit well-paying jobs to venture into business, a risk that not many have the guts to take. While many would choose to remain employed citing the job security among other benefits, these allures were simply neither enough nor satisfying for Njoki. She opted to leave it all behind to chart her own path.

“I do not even make a fraction of what I was making as my net income, and if I send out my CV, I will get a very good offer,” Njoki told us in an interview.

Thanks to this sacrifice, Haraka Delivery Services turned one last December.

The finance, tax, and accounting professional is highly educated and posses’ rich experience from local and international companies which would land her a job anywhere in the world.

Njoki is an alumnus of the prestigious University of Nairobi, where she undertook her undergraduate and postgraduate courses. She holds a Bachelor of Commerce degree as well as a Masters in Business Administration (Strategic Management) from the university. To top it up, she is a Certified Public Accountant by the Kenya Accountants and Secretaries N a t io na l E x a mina t io ns B o a r d (KASNEB). In addition, she undertook a short course at Africa Tax Administration Forum (ATAF) & International Centre for Tax and Development (ICTD).

It was during her years at the campus at Kabete that the entrepreneur in her was born. As early as her first year, Njoki says s a friend and the business setting in Kabete fueled her passion for business. She would later venture into the business during her second year when she was 22. The niche she ventured into was driven by necessity, true to the Greek 30 I Inversk Magazine I September 2020

INVERSK MAGAZINE

RISING STAR

philosopher Plato, who stated that necessity is the mother of invention.

Having been born and raised in Nyeri County, Njoki had observed that women in the village were struggling to move to different places and in this, she saw a business venture. She used her savings, HELB student loan money, and the help of an uncle to purchase her first motorbike and employed a rider. The bike would provide her with pocket money as well as assisted her mother with utility money. A decade later, this experience with the motorbike would inspire the starting of Haraka Delivery Services.

Soon after she left campus in 2012, she got a job with the Klynveld Peat Marwick Goerdeler (KPMG), Kenya where she worked for three years. However, the entrepreneur in her kept calling, and she left to pursue her dream. She tried the distribution of snacks as a way of learning the logistics involved in the business.

Unfortunately, she stopped the distribution after five months when “things got tough, and she needed a job”.

Njoki got a job with Liquid Telecom as a financial accountant for the Kenya Office, where she stayed for almost three years. She later left and got a job as a Deal Operations Manager with a USA startup lending company Lendable Marketplace, where she worked for one year. Njoki quit the well-paying job in August 2019 in order to take a break and think about the next venture in her life as well as actualizing her bigger dream. “The dream I have is first is to break the cycle of poverty, and second to build a dynasty for myself and my lineage,” Njoki told Inversk..

It is said that motivation can come from anywhere, but ambition is only drawn from within. This is what pushed the 31 -year-old business lady to pursue her dream of building systems and processes that would work for her instead of just staying employed.

After quitting the job, she returned to wholesale distribution of snacks (crisps and ground nuts ‘njugu’) for the same reasons for learning the logistics in the business world. She would buy njugu from Syokimau and crisps from the Industrial Area and distribute them to various shops around Nairobi. “I have walked into every shop from Kangemi all the way to Reagan,” she said.

Later, Njoki went back to the University of Nairobi to pursue her master’s degree. It was during her coursework did a study on Alibaba which revived her passion to work with motorbikes to offer delivery services. She also noted that Kenyans were getting more receptive to online shopping hence her need o seek to bridge the logistics job.

Consequently, she registered he r Company name d P ata in partnership with two riders in April this year. However, she still had an office job which created a rift between her and the riders who thought she “benefited more from the venture since she was not on the road”. This lead to the failure of the venture.

The failure forced Njoki to go back to the drawing board, she quit her job in August and took a one- month break to reflect. She bought a motorbike in mid-Septe mber and registered her company in October 2019. That’s how Haraka Delivery Services was born, inspired by the meaning of the name ‘haraka’ which means fast and the mission was to provide fast and reliable services.

“Turning this idea into reality wasn’t easy. I consulted with a few professionals such as IT experts and designers, the main task lay in my hands. This was my baby and I had to endure the labor pangs on my own.”

Njoki had previously said when she was the main feature of Eve by The Standard.

She registered her rider with existing platforms such as Uber, Little, and Taxify as she looked for jobs.

One month to the business, she got her first twenty clients mainly through referrals. From here, Haraka has been growing overwhelmingly, bought two

more bikes to bring the total to three, doing a total of three to thirty deliveries within Nairobi CBD and its environs. Eleven months later, Njoki says that social media and personal referrals have helped her grow a personal brand she had no idea existed. “I didn’t realize I have a personal brand out there, so many people believe in me, tag me on Facebook posts and I get goodwill messages from people I don’t know,” She says.

The success has also led to several proposals from investors which Njoki is hesitant to accept because she seeks first to grow the business before getting a strategic partner with an understanding and passion for the industry.

The future of Haraka remains bright as it draws customers from individuals, professionals, and businesses. “Future plans for Haraka Deliveries is to shift from manual to tech as well as seek to address the numerous requests from our customers to deliver small packages that cannot be carried on motorbikes,” Njoki concluded.

Me a nw hile , N j oki re mains committed to mentor others about business as she grows. Since charity begins at home, the first person she has mentored was her brother, whom he introduced to business while he was still a student at Maseno University. He started by selling earrings in Kabete with his sister, and later dust coats at Maseno. Currently, he doubles up as a career man as well as a businessman employing more than 10 employees and 15 marketers.

For Njoki, to dare is to do.

January-February 2021 I Inversk Magazine I 31

INVERSK MAGAZINE

PERSONAL DEVELOPMENT

Soft Skills lead to Hard results, Why Self-awareness Matters When you're self-aware, you have an accurate and clear understanding of your personality, strengths, weaknesses, and beliefs. You know what makes you tick.

Self-awareness also includes an understanding of how others perceive you.

BY MICHAEL J. PADILLA

I

In life, we live by leaning on our past experiences to help others around us. For me, I tend to lean on my military experience, cultural background, and business experience and so one question is often asked, "What is the most important trait for a leader? Self-awareness, in my opinion, is the most important trait for anyone who wants to lead others or lead their own life to achieve their full potential.

Ancient Greek philosophers often preached to “Know Thyself,” a maxim engraved on the temple of Apollo at Delphi. Although this philosophy is centuries old, modern scientific evidence suggests leaders who know themselves and how others see them (a core component of emotional intelligence), are more effective in leadership positions with higher levels of job satisfaction and organizational commitment. Effective leaders learn who they are as an individual and build positive relationships with their subordinates.

For me, self-awareness is the Conscious knowledge of one's own character, feelings, motives, and desires. When you're self-aware, you have an accurate and clear understanding of your personality, strengths, weaknesses, and beliefs. Y ou know what makes you tick. Self-awareness also includes an understanding of how others perceive you. There are two classifications of self-awareness: 1. Internal self-awareness is the ability to see yourself clearly as an individual.

2. External self-awareness is the ability to understand how others see you.

Both components are critical to effective leadership and form a guiding principle for leaders to make meaning of the world around them.

At its core, self-awareness refers to 32 I Inversk Magazine I January - February 2021

a candid understanding of a person's needs, principles, thought patterns, goals, motivations, emotional reactions, ambitions, strengths, and limitations, and how these affect other people. Lacking self-awareness can lead to a very confusing and frustrating life, business, and in a relationship!

And so regardless of one's profession or career echelon, success depends on recognizing who you are as well as how you come across to others. This becomes more important the higher someone ascends in rank and stature.

Because of the positional power senior le ade rs pos se s s, those lac king self-awareness are significantly more likely to trigger angst throughout an

organization and cause derailment. I have witnessed that the delusion of misguided leaders often grows with rank and seniority because “early successes give way to an intoxicating pride that blinds them to truths they can and should be seeing.

Self-awareness is necessary for taking control of your life whether in your personal or Business life. The direction of your life is determined by your thoughts, beliefs, emotions, and reactions.

Self-awareness is the principal way of understanding and manipulating these things.

Self-awareness highlights faulty beliefs and emotional reactions that stand in your way and gives you the power to

INVERSK MAGAZINE

TECHNOLOGY - MARKETING AUTOMATION

make adjustments. It illuminates the real reasons for past failures and challenges.

We often dismiss our failures as bad luck or a lack of proper timing. It's much more likely that you failed to perceive the situation, others, and yourself accurately.

It's much easier to see the reason behind relationships, work, and other struggles when you can look at yourself.

Do you consistently struggle at work or in your relationships? It's only logical to conclude that you're doing something ineffectively. Those who lack self-awareness are puzzled by their negative outcomes or blame others exclusively. Self-awareness is a critical quality for leaders. I have noticed with my leadership team that having a high degree of self-awareness was the best judge of success.

Business leaders that have an understanding of their weaknesses can build a team composed of members that fill those weaknesses. A lack of self-awareness puts a limit on your leadership abilities.

Self-awareness is the foundation for personal progress. Without it, any personal development efforts will be severely hampered. Building greater self-awareness won't happen overnight, but it can be developed.

How to Develop Self-Awareness Build your self-awareness one step at a time: Y ou can write your philosophy.

Think about it and then document your views on life, your goals, and your intentions. Y ou might be surprised by what you write. This is a great first step for understanding yourself and your beliefs.

Make a list of your strengths and weaknesses. How do you know? Are you certain? Avoid jumping to conclusions.

Y ou may have always believed that you're a hard worker, but are you? To whom are you comparing yourself? Provide yourself with the proof before you make any decisions.

What would others say about you?

Consider how your partner, children, friends, family, co-workers, and boss would describe you. What would they suggest you improve about yourself? Then ask them and see how accurate you are.

Do you know how others perceive you?

Find out how perceptive you are.

Practice mindfulness. Mindfulness is all about developing a better awareness of the present moment and yourself.

Mindfulness is an ideal activity for enhancing self- awareness. P ractice mindfulness at least once each day; you can start with just a minute or two in the morning. Spend the rest of the day paying attention to yourself, others, and your

surroundings. Y ou can develop a higher degree of self-awareness by just paying attention.

Question yourself throughout the day. "What am I attempting to achieve?"

"What emotions am I currently feeling, and why?" "What are the people around me feeling?" Self-awareness is the c o r ne r s t o ne o f s uc c e s s a nd self- improvement. Without it, the knowledge you possess can't be applied effectively. It's necessary to understand your beliefs, habits, strengths, and weaknesses to make a personal change.

Avoid assuming that you're self-aware. Give it some time and thought. Too often, people take this skill for granted. Self-awareness is a skill, one that takes time and effort to make better.

Everyone thinks they are self-aware, so they don't have to work on it. Don't make this assumption.

Deepening the understanding of one's self and the influence they have on the world around them remains paramount to successful leadership. Therefore, to avoid the pitfalls of misguided leadership, self-awareness is a skill that must be practiced often. A self-aware leader not only empowers themselves, but the entire unit as they foster esprit de corps, collaboration, and organizational commitment.

Life is easier when you're self-aware.

Michael J. Padilla Pagan Payano is the founder and CEO of Al Thuraya Consultancy™, bringing a unique understanding of risk analysis and supporting his customers in understanding culture and traditions of countries to be better employers and investors.

January-February 2021 I Inversk Magazine I 33

INVERSK MAGAZINE

FOCUS - INSURANCE

Is SME Market

the new Frontier for Insurance Sector?

Insurance sector in Africa has not been as proactive in supporting SMEs.

The Unfortunate Truth of African SMEs

BY NANCY AKETCH

T

34 I Inversk Magazine I January - February 2021

SME is an acronym that stands for Small and Medium Enterprises, which are basically commercial entities categorized as such owing to the number of personnel and turnover being limited to a certain level. An SME can be described as being the exact opposite of a large corporate house, and strongly echoes the ethos of starting small.

Indeed a dig into the background of prominent corporate entities reveals the fact that most of them started as SMEs. It was over a period of time that they gradually grew to their present size courtesy a combination of favorable conditions. This, more than anything else, points to the important role that SMEs play in the commercial progress of society. Shouldn’t this, more than anything else, be reason enough for the insurance sector to support them and ensure survival?

For most part of the second decade of this new millennium, African SMEs have played a crucial role in boosting the economy by fostering development and generating employment.

Therefore, it is truly unfortunate that most of them are unable to survive till their first work anniversary.

What then could be the reason for the SMEs in Africa not being able to sustain beyond a certain point? In-depth analysis has revealed that the last six years have proved to be particularly dismal in context of SMEs in Africa. Many small businesses which had shown the promise of blooming into industrial entities closed down their shutters.

Reasons for trend have been diverse, ranging from natural calamities like wild fires and locust attack, to man-made issues, such as theft, political instability and violence. Due to these, small enterprises have either lost their assets or have suffered huge losses on the operational front. With daily sustenance having been difficult, these are unable to continue.

For example, the unprecedented locust attack towards the beginning of this year caused many farmers and agro based industries to default on their loans and bear heavy financial losses due to destruction of harvest. Likewise, a fire caused a factory to lose its assets and property, and eventually close its doors owing to an infrastructural breakdown.

On a more positive note, there is a proverbial silver lining in the black cloud, namely insurance.

Role of Insurance Sector in Supporting SMEs A peek down the past years has revealed that the insurance sector in Africa has not been as proactive in supporting SMEs. Although there have been products, policies and covers, most of them still cater to older systems and

circumstances. Because these have not evolved with time, they have proved ineffective in contemporary situations, most of which are not just unprecedented but also complex.

So, the onus is on Africa’s insurance sector to discard obsolete and defunct products, and replace them with new and innovative solutions that would cushion the SMEs against unprecedented emergencies. By doing so, the insurance sector can provide protection and ensure survival.

How Can the Insurance Sector Help SMEs? Discussed as follows are some ways in which Africa’s insurance sector can ease things out for the SMEs – • Offer customized packages, especially to cover unprecedented event, such as natural calamities and political gimmicks; • Break down the premium into monthly installments, which for small business owner, implies paying only a small portion of the premium every month without having to compromise on the coverage; •Minimize the financial burden on the entrepreneur by providing the much needed financial security, not to mention the assurance of being able to operate despite adverse circumstances; • Expand the range of products being offered to SMEs, so that there is plenty to choose from, rather than go for a one-size-fits-all approach; • Provide essential back-up services like online money transfer and high speed Internet connectivity that would quicken the pace of transactions; • Guide the SMEs towards making fruitful investments that would fetch lucrative returns in the long run;

All of this is sure to open up a huge window of opportunity for small businesses and enable them to create multiple sources of income rather than just depend on the local market. With the world at their doorstep, African SMEs would be in a position to capitalize on global growth and stand to profit regardless of the domestic scenario. Judicious investment of the additional revenue would also come in handy to tide over rough patches, which every venture is bound to hit at some point in time.

Final Thoughts Massive losses have been identified as factors that have led SMEs in Africa to shut down prematurely.

So, for the insurance sector, the priority should be to control and minimize these losses and extend the operating life of the business. Continuity is the key here, and the onus is on the insurance sector to ensure that SMEs continue to thrive and prosper, and in the process drive the economy towards positive growth.

Nancy has over 12 years of experience in the Kenyan insurance industry and is the Executive Director of ALX - School of Insurance.

September 2020 I Inversk Magazine I 37

INVERSK MAGAZINE

FINANCE - INVESTOR RELATIONS

How to Create a Lasting Impression during the First Meeting with an Investor The ability to negotiate for the benefit for both parties will ensure the investors that you are an entity that has an open eye for both sides. This will instill trust for any future transactions.

BY SHALINI GADHIA

F First impressions are essential in any context. However, more importantly, what matters is that you sustain these qualities and let them govern the continued relationship.

S ta rt - up bus ine s s e s usually need to raise capital from various stakeholders and need to stand by certain virtues that will permit the beginning of a ‘good 36 I Inversk Magazine I January - February 2021

money’ relationship. Needless to say, we are referring to entities who will be putting their money into your business to enable it to run and in exchange enjoy the returns.

So what are some things that an entrepreneur can do to create a good and productive impression during the first meeting with an investor?

The number one thing is passion. Prior to even pitching to an investor, you must ensure that you fully believe in the venture you are working on. Once you believe in it and are fully passionate about it, it will be easier to

convince an investor to put money into it. Passion gives a solid foundation for success. If for one reason or another if you are unable to convince the first few investors, there is a high chance that somebody else will get convinced.

Passion is obviously felt by businessmen and is key in driving the long term success of a business.

Focus follows passion. Once your investors are convinced that you are passionate about what you do, you must prove to them that you are focused on it. Focus means having a clear vision of the goal and having a straight-up plan of how this goal is going to be achieved.

Of course, this should also be flexible to allow the incorporation of new ideas as you go along, but having a clear goal followed by a plan shows your investors how committed you are to your cause and they are more likely to trust you with their finances. Nobody likes to work with someone who does not have a clear idea of where they are going.

INVERSK MAGAZINE

FINANCE - INVESTOR RELATIONS

Showing these investors that you would like them to get involved in your business will create a good impression as it communic ates that you are open-minded and flexible about getting new ideas. More often, it works out great when you ask one of them to be your mentor! This strikes a perfect balance between having them get involved and also maintaining a boundary. It allows trust to develop between you and the investor as you will be learning from their experiences and they will get a sense of security.

Keep a positive body language to create a great impression. Be upright, active, and cheerful. Don’t be excessively happy as this may show that you are not serious. However, do not be moody and rude as this will totally put them off. Be respectful and speak with confidence. This way they know their finances will be in the hands of the right person. Talk about your past successes and achievements and this will instill confidence in them.

An essential part of this is that you have to be realistic. Being positive is a plus, but being overly optimistic does not always pay off. As an entrepreneur, you have to ensure that as much as you talk about the pros and expected revenues of your business, you absolutely must acknowledge the factors that affect your business, for instance, competition. Y ou must also be very realistic about any projections (this may pertain to revenues, growth, etc.). This will let them know that you have full knowledge about the context of your business and are prepared for any uncertainties.

Negotiation is key when dealing with investors. This is not to say that you must fight for what only benefits the business. It should be a negotiation for mutual benefit. After all, both parties are in it for something! The ability to negotiate for the benefit of both parties will ensure the investors that you are an entity that has an open eye for both sides. This will instill trust for any future transactions.

The most important factor is integrity. Businesses that hold integrity as their base for operations are more likely to succeed in the long term. Those who incorporate shady deals have chances of failing in the short term. When an investor makes a lucrative offer but on shady grounds, NEVER accept it. After all, it may just be a test of your personal values!

Our personal values often reflect the way we run our business. Hence a rule is NEVER to sacrifice your strong held values in exchange for monetary benefits. Investors are strongly drawn to businesses that uphold their values, as this is proof that these businesses are likely to be run with strong values.

“

The ability to negotiate for the benefit of both parties will ensure the investors that you are an entity that has an open eye for both sides.

�

Also, do not forget that investors are people after all with inbuilt emotions.

Communicate in a way that acknowledges all their questions and concerns. Building a rapport with your investors goes a long way in determining your relationship with them in the future which in turn determines the success of your business. Be open to probing and addressing this with a positive attitude will take you a long way in establishing a positive business partnership with your investors.

Shalini Gadhia is a marketing professional who is focused on creating excellent customer experience and tailoring corporate communication for high impact.

September 2020 I Inversk Magazine I 39

The Power of Reading: Shaping the Future

BY JEREMY THUKU

T The culture of reading books is not well embraced in society. It does not augur well with the majority, and this has left many in a world of ignorance and ineptitude. Gaius Sallustius Crispus, popularly known as Sallust (86-34 B.C), quips that the renown which riches or beauty confer is frail and fleeting; mental excellence is a splendid and everlasting possession.

Making reading culture and habit appreciated by the public is not an easy thing. It is apparent that reading culture does not develop in a vacuum but demands passion and focus. One could focus on specific areas to increase 38 I Inversk Magazine I January - February 2021

knowledge on such as business, politics, religion, economics, medicine, literature, philosophy, science, sociology, and then wisely select books, articles, and journals to read from these areas. Both fiction and non-fiction would serve well depending on passion. Kenya enjoys one of the highest literacy levels in Africa, which can help reinforce a better culture of reading.

Many may question the necessity of reading books that are not part of course work. Access to knowledge should not be limited to coursework in schools.

Books help one explore the society, examine emergent issues, and act as a mirror to the current situations. Readers of books can separate fallacies from truth, propaganda, and half-truths from reality.

"Readers are leaders" is a phrase that has been used over time to encourage young readers to embrace the culture and habit of reading.

In the Robben Island, off Cape Town Coast, political prisoners such as Nelson Mandela, Ahmed Kathrada, Govan Mbeki, and Kgalema Motlanthe maintained a healthy reading culture even though they were not allowed access to

reading materials or visiting the prison library. Through reading, Mandela and his ilk were able to keep some sense of connection with the outside world, which enabled them to stay focused on their struggle against apartheid and African subjugation.

Surinarayan Kala Venkatrathnam would smuggle the Complete Works of Shakespeare into prison by outfoxing the correctional officers by disguising the book as a Hindu religious text. This book became the Robben Island Bible that prisoners such as Mandela read with much compulsion. It served well as it connected Mandela and other prisoners to their cause.

Mandela would sign and date-specific paragraphs in this book, with one of the most persuasive sections from the play Julius Caesar where the lines "Cowards die many times before their deaths; the valiant taste of death but once.

Of all the wonders that I yet have heard, it seems most strange that men should fear.

Seeing that death, a necessary end, will come when it comes" depicts Mandela's resilience and his decision to fight against the subjugation of African rights by the

INVERSK MAGAZINE

READING CULTURE

Apartheid government.

Reading books would be vital not only to political leaders but also to business leaders and any other leader.

Specific readings such as Blue Ocean Strategy by Chan Kim & RenÊe Mauborgne, Good to Great: Why Some Companies Make the Leap and Others Don’t by Jim Collins or A Random Walk Down Wall Street: The Time-Tested Strategy for Successful Investing by Burton G. Malkiel will be helpful to business leaders as they navigate through hard times.

Reading provides knowledge and gives hints about what one can do during a crisis, as the current one that many organizations are facing leads to a slump in their businesses. Gandhi's writing, Kings' writing, Mandela's writing such as Long Walk to Freedom, or Biko's writing may be critical to leaders who want some sense of solidarity. During tough times, leadership can be very isolating, and there is a need to hop across books to find leaders who faced adversity but rose against it. Reading expands the mind. It equips one with critical and creative thinking skills. Reading has been argued to keep the mind young, sharp, and healthy.

Some research studies have found that reading helps keep Alzheimer's diseases at bay.

In a study of 294 older men and women in their 80s, mentally stimulating tasks included writing and reading. The participants were also given thinking and memory tests annually in their last years to track progress. Once they had passed on at an average of 89 years, autopsies showed that those who actively engaged in reading developed a slower rate of memory loss than those who did not read at all. Therefore, reading helps build imagination and allows human beings to think and dream in ways that many have never been able to do before.

The study conducted by Rush University Medical Center in Chicago and appears in the Neurology, the American Academy of Neurology's medical journal, supports the cognitive reserve hypothesis of mental function. The theory underpins the importance of engaging the brain in challenging takes to maintain and build brain cells and the connections between the cells and brain. Sometimes later in life, such links would compensate for any damage to the brain that may have been caused by dementia or by Alzheimer which ultimately helps preserve thinking and memory skills.

General Jim Mattis, a legendary general who served as U.S Defense Secretary, has always boasted of having a personal library of more than 7,000 books.

This is quite encouraging. He is a prolific reader who always thirsts for reading. In 2013, in an email that went viral, General

Mattis wrote candidly about the importance of reading and the value of this habit, advising a colleague about the possible experiences in the Iraq war. General Mattis wrote, "Thanks to my reading, I have never been caught flat-footed by any situation, never at a loss for how any problem has been addressed (successfully or unsuccessfully) before. It doesn't give me all the answers, but it lights what is often a dark path ahead".

These words underscore that books have limitless advantages of teaching human beings if they are willing to pay some attention.

To this end, I argue that learning how one can read for wisdom is simple though not easy. The returns can be impossible. The more one reads the more one is likely to build on his or her repertoire. The knowledge one increases

to his or her stockpile would grow over time. This can be regarded as compounding. As such, when leaders are faced with new, perplexing, or challenging situations, they can draw on the rich inner repository. To embrace the culture of reading, one should set targets including the number of pages or number of books one would want to read in a day, week, or month, and slowly, a better culture of reading can be adopted.

Jeremy Thuku is an Economics Graduate, Certified Public Accountant (CPA-K) and Certified Investment and Financial Analyst (CIFA- K).

Reach him via jthukujeremy@ gmail.com

September 2020 I Inversk Magazine I 41

INVERSK MAGAZINE

GROWTH STRATEGIES

How to Double your Business’ Value As business owners our relationships and our ability to transmit that passion and commitment is the ultimate key to growing your business. But whatever it is, as long as you take action on what you know, you will definitely grow your business and more than double or triple it. Without action, you will be at the very same spot where you start off.

BY DERECK BBANGA

A All SME owners, I think, would say a resounding “yes” to the above if asked if that is what they want for their business.

Y et, despite desiring the expansion of their business, most SME’s will still struggle with their businesses over the next two years or so even after reading this article. Why is this so? A study conducted by Jim Collins in his book “From Good to Great: Why Some Companies Make the Leap… .and Other’s Don’t,” which he did over a period of 5 years, in which he examined about 1,435 40 I Inversk Magazine I January - February 2021

businesses to determine how companies can be great businesses and how SME owners can do it. Of these, only 14 companies achieved greatness as determined by their business growth throughout this period. So, it does seem that most companies just hobble along, dealing with every ad-hoc problem that arises in the course of conducting their business, earning enough to pay for their staff, cover their overheads, but without any significant breakthroughs.

Small businesses usually start with passion and at the back of the mind, is the idea that passion will lead to profit.

Indeed, the whole point of a business is about profit, getting an income and making more money so that you are free from the mundane chores of business life to focus on relationships that matter and a quality of life that is rewarding. However,

the realities of running a business set in when you actually start up your business.

Y ou realise very soon that all your dreams about your passion depend a lot on cash flow. Before your profit comes in, you need to spend money to generate the profits. If you did not make adequate plans for this, and quite surprisingly many small businesses do not, then you hit the first obstacle and that is inadequate financial resources. If you are still in business today, you are now past this obstacle. Cheers! Y ou are now an ongoing business.

The next step up the ladder is to be able to scale your business to greater heights. For an SME to expand, it has to grow and for many SME owners, to achieve that dream is a quantum leap. Of course, the different reasons why people feel that they are unable to achieve what

INVERSK MAGAZINE

GROWTH STRATEGIES they dream about are numerous, but I do think that ultimately, those several reasons center on these three key issues - a lack of skills, a lack of passion and a lack of direction. And not that business owners or partners are without ideas where these areas are concerned, but somehow, somewhere, something is preventing them from moving up the growth curve.

In 1997, Tiger Woods won the Golf Masters Tournament, and became the youngest and the first non-white professional golfer to do so. Up till then golf championships were dominated by older white male professional golfers. That Tiger was able to do it fired the dreams of many and open the floodgates to many who wanted to emulate him.

In 1998, another significant golf milestone was achieved. A 20-year-old South Korean lady golfer Se-Ri Pak won the LPGA Championship and become an instant celebrity. Women’s golf exploded in South Korea. After her a steady stream of lady golfers from South Korea entered the LPGA Tours. Today, LPGA tours are dominated

by Asian women. The above described breakthroughs were made possible in my opinion by a mindset change. Prior to the breakthrough of non-white youth or Asian women in golf, there was the myth that this was not possible or at least not many were pursuing it as an ideal.

Once the breakthrough was made, and the possibility was conclusively proven, the imaginations of many were fired up. I can do it as well. It is possible for me to do what someone else has done. The hard work, commitment and discipline of developing that skill began, and many began to consistently make breakthroughs after that. That is the mindset of “I can do it”.

For some, the challenge is to know how to start thinking strategically about their business.

For others, the challenge is further down the value chain of coming up with specific plans and implementing them. Sometimes the missing link may be certain skillsets that can be mastered and learned, but most of the time, the major hurdle is in the way we think about the challenges and the emotional responses we have towards those same

c halle nge s. E motional responses such as those of fear can cripple and handicap us from moving forward. I have interacted with quite a few SME ow ne rs about the ir business dreams, but for some they are just dreams because they believe it’s too difficult or they cannot make the cut. But an increasing number are confidently saying “I can do it” and with that mind-set they have gone ahead and done it. Indeed, I strongly believe that the key to business growth lies in the mind, the attitudes we have towards our b us ine s s and the be hav iours that are powered by our belief and emotions.

We can have all the skills we want to acquire and build all the structures and put all the systems in place, but business growth is powered, in the final analysis, by people. It is people who use the skills and utilize the systems and structure to bring about the perceived growth and increase. Y our discipline and commitment coupled with those of your team will usher in your business growth, whereas your effort to grow your business may be passively resisted or sabotaged by team members that are not disciplined or committed.

Hence, as business owners our relationships and our ability to transmit that passion and commitment is the ultimate key to growing your bus ine s s . B ut whatever it is, as long as you take action on what you know, you will definitely grow your business and more than double or triple it. Without action, you will be at the very same spot where you start off.

Derek Bbanga is a Regional Director with the Alpha Group committed to helping SME’s dominate their niche through peer to peer mastermind advisory boards Inversk Magazine I 41

INVERSK MAGAZINE

FOCUS - SUSTAINABILITY

Sustainability as a Business Strategy Companies that master the strategic, long-term planning that comes with sustainability practices will continue to report positive long-term impact along with better financial performance, investor attraction and market positioning.

BY WAHITO MAIGUA

R

Recently, a growing number of businesses have adopted and implemented sustainability practices in their business strategy. Considering the long-term impact of sustainability begs the question: “Do companies take sustainability practices as a form of strategic differentiation that leads to long term excellence in financial performance? Or is it a necessity to ensure corporate survival and not necessarily profitability?”

On one side of the coin, some argue that sustainability is spreading fast as a “common practice” and maybe a standard tool for survival but not sufficient to give a competitive edge. Take the example of businesses that adopt e nv ironme ntal, wate r, or w aste management systems to exploit their cost efficiency and improve their bottom line.

Although such is typically considered as the adoption of sustainability practices – and so included in the ESG ratings – arguably if any companies would expect to 42 I Inversk Magazine I January - February 2021

have a competitive edge by adopting such practices. Like philanthropy, sustainability is “at the margin” of what businesses do rather than at the center; therefore, are methods through which companies can achieve economic success. Y et, by adopting standard practices, a firm can benefit from being recognized as legitimate.

On the other hand, there are arguments that sustainability can be a strategy that generates competitive advantage and, therefore, “doing well by doing good.” Companies that adopt innovative circular economy- based business models or adopt practices that enhance equality at the workplace, engagement, and retention do so to stand out hence occupying an unexploited or underexploited position by choosing a unique and hard to copy strategy.’ But what is strategy? The Oxford dictionary describes strategy as, ‘a plan of action designed to achieve a long-term aim’.

From a commercial context, a strategy is a detailed plan for achieving success in one or all parts of a business. By this simple

definition, one can infer a sustainability strategy as, ‘the extent to which a business can achieve commercial success without compromising the ability of future generations to meet their own needs’.

There is a distinction between operational effectiveness and strategy. The strategy is “being different” by choosing unique and valuable position activities that are hard to match. Is the adoption of sustainability practices in business then a differentiating strategy or a practice expected to spread from one company to another through imitation and, thus, has limited potential to build the base of a competitive edge?

Sustainability practices have converged over time. As time passes, more companies have and continue to adopt an increasingly similar set of sustainability practices increasing the possibility of these practices being ‘common’ and thus less likely to become a strategic differentiator and more of a vital necessity. Those that have mastered strategic sustainability practices have witnessed positive results on both returns on capital and market valuation multiples, even after looking past their financial performance. In contrast, ‘common sustainability practices’ are not associated with return on capital but are positively related to other valuation multiples.

Can operational effectiveness be considered a strategy? It is clear that companies that master the strategic, long-term planning that comes with these sustainability practices, will continue to report positive long-term impact along with better financial performance, investor attraction, and market positioning.

One thing that stands out is that business as usual, will not get the job done anymore, and sustainability, as usual, will not suffice.

Wahito Maigua is an experienced ESG and sustainability consultant, researcher and writer.

She helps companies demonstrate social, economic and environmental impact