PeOPLe cuLture trAveL PrOPerty BuSIneSS wIne SPOrt entertAInMent
ISSue 28 r40.00
great! oscar the
Pistorius makes Olympics history
aon Zimbabwe
risky business?
GWM Sa
chinese motor company aims higher
amatola Water
new ceO spearheads turnaround strategy
beekman Super Canopies Beekman leaves the compeition trailing
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Commercial Banking
oSCAR THE GREAT! The last couple of weeks have been fantastic for South African sport. First of all the Proteas trounced England to win the First Test by an innings and 12 runs, while we drew a tense Second Test (but only because of rain!). Those results mean that if England can’t win the third and final Test at Lord’s on August 16, then South Africa becomes the number one Test team in the world! Unless you’ve been to the moon you’ll know we’ve also been enjoying Olympic success. We had our first ever gold rowing medal and Chad le Clos and Cameron van der Burgh have been absolute inspirations in the pool. But the biggest story of the games so far is that of Oscar Pistorius. The four-time Paralympic champion, 25, whose legs were amputated below the knee as a baby, made history by becoming the first amputee sprinter to compete at the Olympics. He finished second in his 400m heat in a time of 45.44 seconds to reach the semi-final. Unfortunately that’s where his individual Olympic dream ended (after failing to reach the final) but he was the undoubted star of the 400m event and we’re set to see him competing in the 4x400m relay. We were lucky enough to interview Oscar before the Games and you can read that on page 14. Away from sport, business is never far from the headlines (as you’ll see in our news pages). Business confidence has hit a 12-year low, which is a concern, while the euro crisis continues to wreak havoc in global markets. Also, Telkom was fined R449 million by South Africa’s Competition Tribunal for abusing its dominance in the market between 1999 and 2004. And, on top of all that, we’ve also had snow. Yes snow. In Johannesburg! It’s been an eventful few weeks. Inside you’ll find everything you’ve come to expect from one of South Africa’s leading business lifestyle titles, including a look at Aon Zimbabwe and an intimate chat with South African band MadLove. Enjoy the magazine!
Ian Armitage Editor
eDitOriAL editor – Ian Armitage sub editor – Marie toms editorial Assistant – clare Durrant writer – Susan Miller
Business
Advertising sales Manager – Andy williams researchers – elle watson Sandra Parr Stuart Platt tom Lloyd sales administrator – Daniel george
AccOunts
financial Administrator – Suzanne welsh
PrODuctiOn & DesiGn Magazine design – Optic Juice
Production manager - Jon cooke images: getty, thinkstock news: nZPA, AAP, SAPA
DiGitAL & it
Head of digital marketing & development – Syed Ahmad
tnt PuBLisHinG
ceO - Kevin ellis chairman - Ken hurst commercial - David Alstin Publisher - tnt Multimedia Ltd tnt Multimedia Limited, unit 209, 16 Brune Place, London e1 7nJ tntmagazine.com
enQuiries
telephone: +44 (0) 1603 343902 Fax: +44 (0) 1603 283602 andy.williams@tntmultimedia.com
suBscriPtiOns
call: +44 (0) 1603 343902 andy.williams@tntmultimedia.com
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Contents 06 14 18 22
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news all the latest news from South africa OLYMPic sPeciAL Interview: Oscar Pistorius Pierre de villiers interviews oscar Pistorius, a man who has made a big impression in London entertAinMent Introducing MadLove… Susan Miller meets MadLove, the five-piece band based in Joeys Business Dr Marko Saravanja South africa Magazine talks to the co-founder of Joburg’s regenesys business School fOcus InSurAnce Aon Zimbabwe Managing director Susan Mutangadura is keen to promote Zimbabwe ZSIC The sky’s the limit for Zambia State Insurance Corporation (ZSIC) fOcus heALth cAre SSEM Mthembu 25 years after setting up shop, SSeM is a company on the up and up fOcus MAnuFActurIng Guan’s Packaging Herman Krauze outlines ambitious plans to expand
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fOcus AutOMOtIve Beekman Super Canopies The name beekman is synonymous with high quality and reliable canopies Renault SA South africa plays a significant role in renault’s global plan for sustainable growth GWM SA Chinese motor company GWM has big plans for South africa fOcus utILItIeS Amatola Water New Interim Ceo Mzimkhulu Msiwa talks to South africa Magazine HCB Securing Mozambique’s energy future fOcus FOOD & AgrI Green Farms Nut Company Jill Whyte tells us more about macadamias, their health benefits and how they help local communities fOcus SecurIty Stallion Security South africa Magazine talks to Sim de Wet, a well-known personality in the security industry www.southafricamag.com
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All the latest news from South Africa Business
Business
Telkom given
confidence R449m fine hits 12-year
low in July
Business confidence in South Africa plunged to its lowest level in 12 years in July, according to a new index compiled by the South African Chamber of Commerce and Industry (Sacci). Sacci’s business confidence index (BCI) fell to 90.9 points from 94.9 in June, reflecting the negative influences of the domestic and international environments. “The latest move in the BCI indicates that business confidence remains highly fragile and unpredictable,” Sacci said. Sacci said it was concerned about the slowdown of economic growth on a global scale and the widespread downward revision of expected growth rates for South Africa. “This is especially concerning when the effect this will have on the trade and the current account of the balance of payments is considered,” it said. 6
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Fixed-line operator Telkom has been given an R449 million fine by South Africa’s Competition Tribunal for abusing its dominance in the market between 1999 and 2004. Telkom charged its competitors high prices for using its Internet services, while charging much lower fees to its subsidiaries and its customers. “Telkom’s conduct caused harm to both competitors and consumers alike and impeded competition and innovation,” the watchdog’s decision read. Half of Telkom’s R449 million fine is to be paid within six months, while the balance is payable within 12 months thereafter according to media reports. The Competition Tribunal had originally sought a fine of R3.5 billion in the case which Telkom said would be “catastrophic” and jeopardise its business.
Sport
Money
England Reserve Bank v South Africa:
Second Test cuts interest rates
drawn
Kevin Pietersen in fine form
The second Test between England and South Africa ended in a draw at the Headingley Cricket Ground with Kevin Pietersen enjoying rare success as a bowler. South Africa-born Pietersen took the first three wickets with his occasional off-spin bowling and Stuart Broad took five wickets in 37 balls as South Africa declared at 9-258, leaving England 253 to win in 39 overs. They made 4-130 before the players agreed to a draw with six overs remaining. The result means South Africa goes into the third and final Test at Lord’s on August 16 with a 1-0 lead, with England needing to win to prevent South Africa from taking over its place at the top of the test rankings.
The Reserve Bank’s monetary policy committee (MPC) has unexpectedly decided to drop the interest rate at which banks lend and borrow among each other and the Bank by 0,5 percent to a record low five percent. Reserve Bank governor Gill Marcus delivered the statement in Pretoria following the committee’s fourth three-day meeting of the year. The decision went against the expectations of most leading economists, most of which failed to predict a rate cut.
Germany, Italy vow ‘everything possible’
to protect
eurozone
German Chancellor Angela Merkel and Italian Prime Minister Mario Monti have pledged to do everything necessary to shield the debt-wracked eurozone from the ongoing debt crisis. They “agreed that Germany and Italy will do everything to protect the eurozone,” said a statement released in Berlin and Rome. The statement followed a similar pledge by the leaders of France and Germany and remarks by the head of the European Central Bank, Mario Draghi, in which he vowed to “do whatever it takes to preserve the euro”.
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Bolt defends
chad le clos
Jamaican sprinter Usain Bolt defended his men’s 100m title in stunning style at London 2012, winning the final in a time of 9.63 seconds – an olympic record. Fellow Jamaican Yohan Blake and American Justin Gatlin came second and third. “I was slightly worried about my start,” Bolt said. “It was not the best reaction in the world, but I stopped worrying about it and executed it and it worked.” Seven of the eight finalists ran under 10 seconds in what was the fastest Olympic 100m final in history.
South African swimmer Chad le Clos has won the London 2012 olympic gold medal for 200m men’s butterfly, beating iconic American swimmer Michael Phelps. Le Clos told the BBC immediately after his win: “I was dreaming about this since I was a little boy. Michael is my hero I just cannot believe it.” The 20 year-old won the race in one minute 52.96 seconds, 0.05secs ahead of Phelps with Japan’s Takeshi Matsuda third. Despite losing to le Clos, Phelps later went on to become the highest medal-winning athlete in Olympic history.
100m title
wins Butterfly gold
van der Burgh wins
first gold for sa Swimmer Cameron van der Burgh set a new world record as he won South Africa’s first medal at the London olympics in the men’s 100m breaststroke final. Van der Burgh finished in a time of 58.46, 0.12 seconds faster than the previous record held by Australian Brenton Rickard.
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“Tonight, as I came in, I said to myself, ‘a man can change his stars, you can write your own destiny tonight’. I had my chance and I took it,” he said adding, “I really don’t care about the world record. Once you become an Olympic champion you join the club, and they can’t take
it away from you. One day I can tell my kids, when they are watching the Olympic Games, that I won that.” Van der Burgh had qualified for the final in emphatic style when he won his semi-final by breaking the previous South African, African and Olympic records with a time of 58.95.
London 2012
first-ever
rowing
gold for south africa
South Africa has taken another olympic gold this time in the rowing following a nail-biting four-boat finale in the men’s lightweight rowing fours. It is the first time South Africa has won a rowing gold. The crew of James Thompson, Matthew Brittain, John Smith and Sizwe Ndlovu burst through from lane five to win a blanket finish in a time of 6 minutes, 02.84 seconds at Dorney Lake. Team GB just edged the Danes for silver, finishing 0.25 seconds behind South Africa. Denmark took the bronze a further 0.07 seconds back, having won gold in three of the four previous Olympic finals in the lightweight four. South Africa had only previously won an Olympic bronze in rowing.
oscar
pistorius makes olympic history oscar Pistorius made history by becoming the first amputee sprinter to compete at the olympics. The four-time Paralympic champion, 25, whose legs were amputated below the knee as a baby, finished second in his 400m heat in a time of 45.44 seconds to reach the semi-final. “I didn’t know if I should cry or be happy. It was such a mix of emotions,” Pistorius said.
niger rower lives
olympic dream Niger rower Hammadou Djibo Issaka won the hearts of olympics fans across the globe after struggling to the finishing line in his men’s single sculls repechage. Issaka eventually crossed the line, to massive applause, a minute and 39 seconds after Lithuanian winner Mindaugs Griskonis. Hammadou reportedly took up rowing just three months ago.
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Anglo guidance AngloGold’s Q2
production beats
AngloGold Ashanti improved on cost and production guidance for the second quarter and kept its four key growth projects on track and budget despite challenging operating conditions for the global gold sector which saw headline earnings in the three months to June 30 hit $253 million compared with $342 million a year previously. The expansion of the Cripple Creek & Victor mine in Colorado, as well as the development of the Kibali and Mongbwalu mines in the Democratic Republic of Congo and the new Tropicana mine in Western Australia all remain on track, the firm said in a release. “It was a strong operating quarter and we’ve kept our projects firmly on track,” AngloGold Ashanti Chief Executive Officer Mark Cutifani said. “We’ve been driving this business hard to sustainably deliver industry-leading returns and we’re continuing on that path.” To fund its projects and extend the maturity of its debt, AngloGold Ashanti refinanced its $1 billion revolving credit facility to now mature in 2017 and also completed the successful issue of a $750 million, 10-year investment-grade rated bond. The gold miner expects full year 2012 production of 4.3Moz-4.4Moz at a total cash cost of $780/oz -$805/oz. 10
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Platinum axes SA workers
Workers dealt a blow
Anglo American Platinum says it will lay off 275 workers at its South African operations after talks of redeployment failed. “We engaged all stakeholders to explore retrenchment avoidance, that is re-skilling and redeployment,” the company spokeswoman Mpumi Sithole told the Sapa news agency. “These options, as well as the offer of voluntary separation packages, have been declined.” The world’s largest platinum producer, which operates several mines in South Africa, said the layoffs would not affect the company’s productivity. Last month the firm announced it would temporarily halt production after low prices made operations unviable.
Business
Money
Anglo American
Standard set to Chartered control
De Beers
Mining giant Anglo American says it will raise its stake in De Beers to 85 percent after Botswana decided not to exercise pre-emptive rights. “Anglo American will acquire an incremental 40 percent interest in De Beers for a total cash consideration of $5.1 billion taking its total interest to 85 percent,” a statement said. Anglo American already owns 45 percent of De Beers, which is the world’s leading diamond company. In November Anglo said that it wanted to buy the additional holding from South Africa’s Oppenheimer family. But the mining group needed Botswana, which owns a 15 percent stake in De Beers, to forego its right to buy another 25 percent. South African authorities gave Anglo American a green light to pursue the equity increase in April, and the deal is now expected to be finalised by September, “unless an earlier date can be agreed,” the statement said.
share price dives
Investors react to laundering claim
Standard Chartered’s share price has dropped sharply as investors reacted to US charges that the bank was involved in laundering money for Iran. Shares were down nearly 20 percent at one point on the London Stock Exchange. The New York State Department of Financial Services alleges that Standard Chartered schemed with the Iranian government to launder $250 billion from 2001 to 2007, leaving the United States’ financial system “vulnerable to terrorists”. Standard Chartered said it “strongly rejects” the allegations. In a statementv, the bank said “well over 99.9 percent” of the questioned transactions with Iran complied with all regulations and the exceptions amounted to $14 million. The New York regulator ordered Standard Chartered representatives to appear in New York City on August 15 “to explain these apparent violations of law” and to demonstrate why its licence to operate in the State of New York “should not be revoked”.
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Business
ArcelorMittal SA
reports sharp
Topshop to open in
earnings decline
SA in November
Steelmaker ArcelorMittal SA has reported a sharp decline in earnings for the six months ended June 2012. No dividends were declared for the period. The steel giant said weaker than expected domestic steel demand together with higher input costs resulted in an 84 percent drop in first-half earnings. It said it expected a further reduction in the third quarter. “Third-quarter financial results are expected to extend the headline loss incurred in the second quarter on the back of lower steel prices and a further decline in domestic demand,” Africa’s biggest steel maker said.
South African retail group Edcon has announced that, together with The House of Busby, it has been granted local franchise rights for UK-based retail chains Topshop and Topman. Business Live reported that the first stores will open in Sandton City and Gateway shopping centres before the end of the year. “We are very pleased to be able to bring the iconic Topshop and Topman brands to the South African consumer,” it quoted Jürgen Schreiber, Edcon CEO and Veronique Shera, MD Busby Retail as saying. “The agreement leverages the strengths of our two organisations and is an exciting development in fashion retail.” According to the Topshop SA fan page, its launch in South Africa, which was originally scheduled for July last year, will coincide with the debut of Lady Gaga’s collaboration with the store. Lady Gaga’s SA tour follows in December.
Lifestyle
Vast African water source found A newly discovered water source in Namibia could last for centuries, scientists say. The new aquifer called Ohangwena II, which flows under the boundary between Angola and Namibia, could supply the north of the country for 400 years at current rates of consumption. Scientists say the water is up to 10,000 years old but is
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cleaner to drink than many modern sources. ”The amount of stored water would equal the current supply of this area in northern Namibia for 400 years, which has about 40 percent of the nation’s population,” said project manager Martin Quinger, from the German federal institute for geoscience and natural resources (BGR).
“What we are aiming at is a sustainable water supply so we only extract the amount of water that is being recharged.” Over the past decade the Namibian government has been trying to tackle the lack of a sustainable water supply in partnership with researchers from Germany and other EU countries. Namibia is the driest country in sub-Saharan Africa.
Lifestyle
Sport
Blind pupils given books Steven Pienaar
for the sighted returns to Pupils at a school for the blind in Limpopo have been given books meant for the sighted instead of Braille books, according to a report in The Sowetan newspaper. The blunder saw textbooks meant for the sighted delivered to Siloe School for the Blind.
The school, situated at Thokgwaneng village near Lebowakgomo, has 143 pupils and uses Braille books for lessons. Authorities at the school told the newspaper that they ordered Braille books and discovered that the packs delivered contained conventional books.
Everton South African midfielder Steven Pienaar has completed a £4.5 million move back to Everton, 18 months after joining Tottenham for a reported £3 million. Pienaar, 30, has signed a fouryear deal after rejoining the club on loan in January. “It took a few weeks to sort out but I am delighted to be back and excited to play for Everton,” Pienaar said.
Lifestyle
Joburg experiences heaviest snowfall since 1981 Snow in August? That is what many South Africans experienced as a cold front swept across the country. Snow fell heavily in Johannesburg where office workers flocked to the streets to see the whirling snowflakes. There had also been reports of snowfalls in Pretoria and Bethlehem and Clarens in the Free State. The South African Weather Service reported heavy snowfall in the Western Cape Mountains, the interior high ground of the Eastern Cape, Lesotho and the Drakensburg
mountains in KwaZulu-Natal. A number of national roads were closed as a result of the snow, including the N3 at Van Reenen’s Pass between Harrismith and the Tugela toll plaza, as well as passes in the Eastern Cape,
with the authorities urging motorists to drive with care. In Johannesburg, it was the city’s heaviest fall since September 1981. The snowfall and very cold weather is expected to continue.
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Inter view: Oscar
P is t o r i u s
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Oscar Pistorius interview
Pierre de villiers interviews Oscar Pistorius, a man who made a big impression in London.
By Pierre de villiers
oscar always has a smile
I
f ever there was any doubt that extraordinary South African athlete Oscar Pistorius has captured the imagination of people across the world, one need only travel to Kingsley St John’s Primary school in Cheshire. There, pupils have been so inspired by the first double amputee to compete at the Olympic Games, they have erected an effigy of the star runner – complete with blades – outside their classrooms. “I received a letter from the school last week who had made an Oscar ‘scarecrow’ – they sent me a picture, it was really good,” says Pistorius, who competed for South Africa at the Olympics alongside able-bodied athletes in the 400m and 4x400m. “It’s extremely humbling to get that kind of attention and I feel so blessed to receive such positivity from people. When I found out that I would represent Team South Africa at the Olympics, I had so many positive support messages that I was just overwhelmed.” While Pistorius faced much scrutiny leading up to the Games, it is nothing compared to tidal wave of hype that washed over him after he took to the track. Alongside Usain Bolt and Jessica Ennis, the South African was one of the stories of the London Olympics, with controversy still raging over whether the athlete’s carbon fibre blades give him an unfair advantage during a race. The fact that he continually has to defend himself is something that clearly frustrates and annoys the 25-year-old. “To me there is no controversy or debate,” he says. “It was proven www.southafricamag.com 15
A race for the ages: Pistorius v singleton Oscar Pistorius’s big year doesn’t end when the Olympics do. He’ll still have the Paralympics to complete, including seeing off a challenge from rival Jerome Singleton – a man who has described his rivalry with Pistorius as ‘Ali v Frazier’. The American sprinter, 25, beat Pistorius at last year’s World Championships in New Zealand and will kept the pressure on in London. “It is great to run against the likes of Jerome because that’s what you want in a race: good, challenging competitors, it’s four years ago by the best scientists in the world that there is no net advantage to me over 400m in the Ossur carbon fibre sprinting leg.” While the din of naysayers must be difficult to block out, Pistorius was determined to only concentrate of running fast times at the Olympics. “All of the athletes taking part in the Games face heightened attention and I think the main thing to do is stay true to yourself and remain focused. “I have always been a very targeted person, I don’t allow things to get to me. My main priority is to train, compete well and be the best athlete I can possible be.” Pistorius is used to being told he can’t do things. Born with a congenital absence of fibulas, both his legs were amputated below the knees at 11 months, 16
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what keeps you striving for perfection and gives you the hunger to win,” Pistorius says. “There are also four or five other guys who will be challenging for the medals and the 100m will be an incredibly competitive race. It won’t be easy.”
and doctors believed he would never walk. Pistorius proved them wrong, enjoying an extremely active childhood, quickly becoming mobile on prosthetic legs and tearing around his Johannesburg neighbourhood. Showing a fearless streak, he once jumped into a swimming pool with his prosthetics, causing his mother to leap in after him as he sank. “I did a lot of things, with or without my prosthetics and have always taken a humorous approach to when things did not quite go to plan,” he recalls. Enrolling in top school Pretoria Boys High really opened up the world of sport to Pistorius and he excelled at water polo, tennis and rugby. In June 2003 he shattered
his knee during a rugby game, an injury that would dramatically change his life. As part of his rehabilitation, Pistorius did athletics training under coach Ampie Louw and discovered he had a unique talent for sprinting. “I was disappointed when I suffered my rugby injury, but being at Pretoria Boys High shows that when one door closes another opens,” he says. “It is a very disciplined school with lots of opportunity and it’s as much the students that attend there as the teachers that make it so special.” In 2004, Pistorius ran his first competitive 100m for Pretoria Boys High in 11.72 seconds. The existing Paralympic record was 12.20s.
Oscar Pistorius interview
In June that same year, he trialed Ossur’s FlexFoot Cheetahs running blades for the first time, and in November he won Paralympic gold in the T44 200m, setting a new world record time of 21.97 seconds. His outstanding performance was the first of many at disability sports events with the man nicknamed ‘The Blade Runner’ also breaking the world record in the 100m and picking up three gold medals (100m, 200m and 400m) at the Paralympics in Beijing in 2008 – titles he is desperate to defend in London. However, it is Pistorius’ performance in the Olympics that has generated most column inches, especially given what he had to go through to compete against able-bodied athletes. After managing to get an IAAF ruling that banned him from competing against able-bodied runners in 2008 overturned, Pistorius has battled hard to make the qualifying time for London. Last year, he won silver at the World Championships in Daegu as part of South Africa’s 4x400m relay team and, even though in the leadup to the Games he failed twice to run inside the 400m ‘A’ standard qualifying time, he was still included in the SA Olympic squad. “I have a phenomenal team behind me who have
I have a phenomenal team behind me who have helped get me here
helped get me here,” he says. Pistorius has a torturous fitness regime and a diet that prohibits him from tucking into his favourite meal. “If I was going to have a naughty day, I would have a big steak, jacket potato and sour cream,” he says. “But, I’m a big believer of what you put in, you get out, so I will eat a lot of proteins, nuts and seeds. It can be tough but these sacrifices are what’s needed to be the best.” On the odd occasion Pistorius, who enjoys movies, fishing and architecture in his spare time, does venture out, his adoring fans are not too overbearing. “I’m very lucky that my supporters are all very respectful,” he says. “I don’t really get mobbed when I’m out and about.” Pistorius became the first man with no legs to compete at an Olympic Games, in front of an audience of billions. END www.southafricamag.com 17
Introducing
MadLove… Feeling a bit mad, love? Well, you’re not alone – meet MadLove, the five-piece band based in Joeys.
By Susan Miller 18
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MadLove Entertainment
T
These guys are mad for music
hey’ve been together for seven years now, playing alternative rock/pop mainly in the Gauteng area but have big plans in the pipeline and are edging towards completing their first studio album with Grammy awardwinning producer Darryl Torr (who used to be one half of indie band Dear Reader). So what did I find out about the band? That they’re a bunch of guys living their dream, still mad about the music. Who are they? Well, there’s Nikolai Viedge (lead guitar) who met brothers Shahir (lead vocals) and Shahan Chundra (rhythm guitar) while they were all working at a branch of Exclusive Books. Then there’s Anton Chetty (bassist) and the brothers’ childhood friend Shakti Satyapal who decided to buy a drum kit in order to be part of the band. He had never played drums before this. Anton, might be the newest addition to the band but it is he is responsible in some ways for MadLove existing. A uni friend of Shahir’s, he taught Shahir how to play the guitar about seven years ago. Shahir then taught his brother the same few songs he had learnt and moved away to London on a working holiday. When Shahir returned he still new those few songs whereas his brother had become a prodigy of sorts. The brothers met Nikolai while working at Exclusive Books in Hyde Park JHB, and the idea of starting a band was thrown about. Shakti Satyapal, a childhood friend of the brothers from Pietermaritzburg, watched the three play their first gig and decided he had to be a part of the action. He bought a set of drums and taught himself to play in three weeks and the band’s first ever-proper gig was at the global Battle of the Bands in Sep of 2006. And so madLove became the vehicle for five best friends to live out their dreams. And where did the name come from? At their first test gig their then bassist Nicholas www.southafricamag.com 19
‘Smithy’ Smit joined the band. The great name hunt commenced, and sms’s flew back and forth. It was a random sms from Nikolai to Shahir, detailing the perils of love, ending with the words MadLove that sealed the name of the band. A year later, Smithy emigrated to the UK and a huge bassist hunt began. Smithy was replaced by Grant Sissons, who was in turn replaced by Shahir’s old friend Anton. And while the band is kept pretty busy doing gigs and cutting the new album, they’ve all got pretty amazing sounding day careers too. Shahir works as a television director and freelance writer, Shahan is an investment analyst and trader, Shakti is a marketing Strategist,
Nikolai a professor and lecturer in Philosophy busy doing his Doctorate in Philosophy while Anton is a chartered accountant. So plenty to fall back on there… The band range in age from 28 to 34 years old – and as Shahir says: “We’re pretty old for a new band. But many of us only learnt our instruments in the first years of the inception of MadLove so we did get a later start than most but it also informs our music in a more mature way, we think.” Based in and around Greenside in Joburg, Shahir says the band’s sound is “definitely more rock, with some pop-rock thrown in…mind you it is a tough classification because we feed into a few genres.”
we want to tour the world and have our music reach as many people worldwide as possible. we are in this for the long haul!
Having a jam
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MadLove entertAInMent
Expect to see more of MadLove
The South African rock scene is still growing and the band is happy to acknowledge that there “is some great quality out there.” Influences included Shahir and Shahan’s dad who was into 70’s music in a big way and a whole range of bands across the board – U2, Red Hot Chili Peppers, Goo Goo Dolls, Nirvana, SoundGarden, Sting, and the list goes on. This eclectic mix of musical interests birthed a rock sound that is both dynamic and unique. Nikolai was also a kid of the grunge era, and Shahir says the band had a “varied musical listening history from R&B and hip hop and pop to harder stuff.” They write all their own songs with Shahir writing the melodies and lyrics and the band writing the music.
Shahir says they’re hoping that work on the album will be “done by September with a launch at the same time.” And they’ve got the dreams that all bands are supposed to have: “We want it all. We want to tour the world and have our music reach as many people worldwide as possible. We are in this for the long haul! Their much-loved stage show is energetic and exciting driven by the great chemistry, friendship and mutual love for music, the boys share. MadLove has become the vehicle for five best friends to live out their dreams. enD Check them out at Youtube: www.youtube.com/madloveband Facebook: www.facebook.com/madloveband www.southafricamag.com 21
INTervIeW: dr Marko
Saravanja South Africa Magazine talks to Dr Marko Saravanja co-founder of Joburg’s regenesys Business School. By Susan Miller
Dr. Saravanja 22
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Dr Marko saravanja BuSIneSS
d
reams can come true say the idealists. You make them come true say the doers. I have rarely spoken to more of a ‘doer’ than Dr Marko Saravanja, a founder member of Regenesys Business School in Johannesburg. Increasingly a global brand, the business is based on the guiding principles of entrepreneurship and risk taking and involves linking spiritual intelligence and ongoing personal growth to sound business practice. Dr Saravanja truly believes that people can turn their lives around – and bases this on his own remarkable life since coming to South Africa from Croatia as a monk in 1991. He said he had always been an ‘idealistic’ youngster and arrived in South Africa via Kenya and Malawi with just his Buddhist order’s orange robes– and settled in Orange Farm, then a rather notorious squatter camp just outside Johannesburg. “I was a man on a mission,” he says, explaining that quite a lot of people probably thought he was ‘crazy’, the only white man in the black township who didn’t even speak very good English then.
What did resonate with him was the growing realisation that it was education and skills that would lift people out of poverty so he left his order, not without ‘a sense of guilt’ and joined Wits University as an academic. “It was a huge shift and I felt very fearful taking that risk,” he says. Regenesys came about through his meeting with Penny Law, who became his wife, and later William Vivian and their belief in driving human development through education and his belief that the bureaucracy in academia took up too much time. Dr Saravanja envisaged courses that included incorporating all the needs of the student/ client and that would be more relevant to the needs of the people. “We don’t get Government subsidies, we are a business so we talk from experience about business practices and we also incorporate our beliefs into how we treat our students – as clientsand our staff – we ensure that love, compassion and ethical considerations are taken into account...” “We teach our staff and students to have a purpose, we don’t believe in poverty
we teach our staff and students to have a purpose, we don’t believe in poverty mentality and we make sure we pay our staff well too
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mentality and we make sure we pay our staff well too. “Our staff and students have access to the Wellness Centre – where they can enjoy yoga etc and we provide meditation space – in an effort to build up our intellectual and physical health,” he says. This is a man who embraces whatever he does with fervour – whether it’s life as a monk or a determination to become a millionaire, which he achieved five years after leaving his order. “We worked all the hours that we had. I had the idea and vision to build on – you have to put in the effort and knock on doors, keep building your business ...,” he says. And the business has grown from reaching 5,000 students to 60,000 and beyond with a growing global profile thanks to e-learning and another winning idea, which I’ll return to at the end. Given his background, I wonder if such a thing as ‘ethical capitalism’ is possible? “It’s one of our biggest challenges. If you make a lot of money you can make an enormous difference to others. It’s not the system that goes wrong but the people – you need capitalism for competition and the drive it encourages in people and you need it for taxing people so that they can support others. “Let’s not forget that some of the richest people in the world are givers – like Warren Buffet and Bill Gates. Of course then you get the other side of the coin like Bob Diamond. “It’s complicated definitely,” he says. Personally he is “at a crossroads” and is “completing my circle” with a 24
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Regenesys business school
Initially you have to learn about how the economy works and try and understand it all, you have to confront and break any fears you might have about losing all your money
Dr Marko saravanja BuSIneSS
growing longing for a more spiritual life again but is still thoroughly enjoying playing the Stock Market. So while meditation and a possible novel are on the cards, he’s not giving up the Stock Exchange any time soon. “I have lost a bit and won a lot more over the years and I find it a very good way to conquer my fears about money and the way it works. “What interests me most about the Stock Exchange is that it teaches people three steps. Initially you have to learn about how the economy works and try and understand it all, you have to confront and break any fears you might have about losing all your money and lastly, although not least, you can actually make a lot of money... “I’m not totally hooked though. I follow the Markets about twice a month really. He is the author of Secrets of Success, aside from co-founding Regenesys, which has received accreditation for over 100 courses with 10 accreditation authorities and has grown from its first training programme comprising of 20 participants delivered in a church in 1999, to educating over 65,000 local and international students. This believer in building skills and leadership in
South Africa is a realist too – acknowledging the problems facing South Africa and the world’s economies and the stark lack of ethical and skilled leadership the crises have exposed. However a desire to help out carries on – with a new (and rather hushhush) step to be taken by Regenesys – becoming the world’s first university to publish ALL its course materials for free online. As he says MIT and Harvard publish some papers freely. This will be all course materials so that businesspeople and budding entrepreneurs can follow courses without necessarily having to register for them or pay. Dr Saravanja’s shrewdness is at the fore again. “People can read and learn for free but if they want to gain a qualification they have to register with us – and we gain the business. If even a small number decided they wanted to qualify, we would rapidly become the biggest university in the world. “It is our gift to the world and South Africa. After all, look at SA where at least 300,000 of the matrics reaching the end of school every year are not going on to University and are battling to find jobs. Now they can study online for free.” enD www.southafricamag.com 25
risky
business? to the foreign investor, Zimbabwe is seen as a high-risk country so who better to help you dodge the potholes and manage risk than Aon?
By Ian Armitage
Susan Mutangadura 26
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Aon fOcus InSurAnce
I
nsurance giant Aon needs little introduction. Many of us instantly recognise it as the sponsor of soccer giants Manchester United. They’re very proud of that fact. But Aon is much more. In terms of risk management, insurance and reinsurance brokerage it is a global leader. It employs more than 61,000 people worldwide in over 120 countries and has been repeatedly named as the world’s best broker, best insurance intermediary, reinsurance intermediary, captives manager and best employee benefits consulting firm. Aon Zimbabwe maintains the position of number one risk advisor in Zimbabwe. It has three operating divisions: Aon Risk Solutions, Aon Consulting and Aon Benfield, and has operated in Zimbabwe for 65 years. Managing director Susan Mutangadura is keen promote the company’s strengths and attract new business. She talks exclusively to South Africa Magazine… Susan thanks for your time. Tell us more about the services Aon Zimbabwe provides? Our Aon Risk Solutions (ARS) division deals with short-term insurance. That is our largest division. Our
Aon Zimbabwe guests and colleagues at the 2011 golf day, during prize giving
second largest in terms of income is Aon Consulting. Globally Aon Consulting is now known as Aon Hewitt after the acquisition of Hewitt Associates. Hewitt had offices in more than 30 countries and employed approximately 23,000 associates. Prior to the merger, Aon was number one global reinsurance broker, number one global manager of captive insurance companies and number four global employee benefits firm. Following the merger, Aon became a global leader in all areas of business. Our third operating division is Aon Benfield. It is the world’s leading treaty and facultative broker and was
born out of Aon Re Global’s acquisition of Benfield Group International in 2009. At the time, Aon Re Global was the world’s premier reinsurance intermediary. Benfield was a leading independent reinsurance consultant and had an international network of more than 50 offices and leading presence in major insurance and reinsurance markets including the US, the UK, Continental Europe, Bermuda and Asia. As a business locally we provide services to 42 percent of the Zimbabwe Stock Exchange Listed companies in industries like banking, mining, retail and manufacturing. We also have a huge portfolio of the nonlisted entities on our books. www.southafricamag.com 27
Aon focus insurance
Continental Reinsurance
Colleagues pose for a photo with the Mayor of Harare, his Worship Muchadeyi Masunda at the Town House, just before the Global Service Day clean up
Fantastic. This is Aon’s 65th year in Zimbabwe. What does that longevity say? Our origins date way back to 1947 and J.H. Minet & Alfred Blackmore (now Aon Risk Solutions). In 2001 Aon Minet rebranded to Aon Zimbabwe, as we have been known since then. Our longevity tells that Aon Zimbabwe is here for “good”. We believe in the future prospects of this country. Establishing long-term relationships with stakeholders is key to our vision as a business. We want to ensure sustainability not only for ourselves but also for those we provide advice to, so, Aon Zimbabwe takes a long-term view in all our business planning. On 21 June 2012, we celebrated our 25th anniversary as a global brand, in what was called 28
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Global Service Day. Aon colleagues globally provided 25,000 hours of service in the communities that we conduct business. Aon Zimbabwe colleagues in Harare took time to clean the City Centre of Harare and to donate rubbish bins to the City. In Bulawayo, Aon colleagues took time to clean up King George VI, a home for the disabled. On the same day Aon also released its 2012 Global Citizenship Report, which presents the full scope of the firm’s ability to empower results for clients, colleagues and communities around the world. The report highlights Aon’s mission and social benefit, the work it performs on behalf of clients, its focus on ethics, governance and sustainability, and its global charitable contributions.
Continental Reinsurance, the leading pan-African reinsurance company listed on the Nigerian Stock Exchange (NSE), offers a full suite of non-life and life reinsurance services to African insurers across the Continent. It is through AON Re Zimbabwe that Continental Reinsurance writes both treaty and facultative business in Zimbabwe, Swaziland, Malawi and Mozambique, focusing particularly on reinsuring against mega risks in the southern Africa markets. AON Re Zimbabwe is one of Continental Reinsurance’s leading brokers in southern Africa. As part of a wider corporate focus on delivering specific and targeted products that are driven by the requirements of the markets in which it operates, Continental Reinsurance is working with AON Re Zimbabwe to develop innovative products such as agriculture, tour operators liability and directors and officers liability covers in response to the ever changing client needs in southern Africa. Continental Reinsurance’s prompt claims payment record and strong market differentiators coupled with AON Re Zimbabwe’s professional attitude have proven a great success with clients in the region. Continental Reinsurance is rated B+ (Good) by AM Best for financial strength and credited for robust riskadjusted capital. It recently announced its fully licensed subsidiary in Nairobi, Kenya and has business activities in 43 African countries.
Aon focus insurance
Zimbabwe is a challenging environment. How are you performing? Just like any business in Zimbabwe, Aon Zimbabwe was heavily affected by the economic meltdown that took place prior to 2009 when hyper inflation made business activities virtually impossible. Most company’s balance sheets were virtually reduced to zero and most companies had to recapitalise on introduction of the multi currency regime. Aon Zimbabwe’s success has to be seen in light of this fact. We had to recapitalise our operations and to date we have given a return to shareholders above market expectations. To that end we believe that Aon Zimbabwe has been successful. 2011 was a good year, however like most businesses in Zimbabwe, the performance was weighed down heavily by the structural market inefficiencies that resulted in modest growth in the economy. We were particularly pleased because we met our top line objective and we recorded significant new business growth especially in our consulting unit. However these accomplishments were affected by increases in cost especially wages which were pushed by aggressive negotiation by unions. Going forward the management of costs will be a significant strategy in retaining margins and profitability. The general economic environment has been significantly affected by lack of longterm credit facilities which are as a result of Zimbabwe’s inability to access significant lines of credit from multinational institutions. This inability to access long-term credit significantly impacts on industries’ capacity to recapitalise their operations. Foreign direct investment is limited and this restricts the growth of the firm. In spite of these negatives, our strategy has been to focus on areas where opportunities exist in spite of the broader challenges and this aggressive and innovative approach to business has been the basis of our phenomenal growth. We also pride ourselves with the way we have positioned the Aon brand locally. 30
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Aon Zimbabwe Managing Director, Susan Mutangadura hands a prize to Mr. Nyakudya , who is one of the long serving and respected insurance practitioners in Zimbabwe
Delight Kadzura, one of the recipients of the Aon Zimbabwe CSR programme which supports people living with albinism is given an opportunity to tell her story
12 Lanark Road Belgravia Mob: +263-773-420 635 Tel: +263-4-252675, 796157, 796171, 796572, 796578 Fax: +263-4-250800 Web: www.newhorizons.com Email: wellington.nheta@newhorizons.com
For the past 30 years our innovative, award-winning learning methods have revolutionized the way students learn, retain and apply new knowledge 2012 marks New Horizons delivering 30 years of computer training to more than 30 million students worldwide. Today, New Horizons is the world’s largest independent IT training company with 300 centers in 70 countries.
Now enrolling in: · Microsoft Certification, including 70-640: · TS · Windows Server 2008 Active Directory.
The reason for New Horizons’ 30-year success is simple—we are the best source for computer training and certification in the world. New Horizons offers an extensive selection of vendor-authorized training and certifications for top technology providers such as Microsoft, Cisco, CompTIA and VMware. In fact, we are Microsoft’s largest training provider, delivering more than 40% of all authorized Microsoft training worldwide; the largest Cisco-authorized training partner with courses available at 250 centers worldwide; and the largest authorized provider of CompTIA training and certification in the world. Being an authorized partner ensures that our students have the highest quality training materials and train on the latest products and technologies available. New Horizons offers the largest Guaranteed-to-Run course schedule in the world.
Other courses include: · 6425: Configuring Windows Server 2008 · Active Directory · Domain Services (5 days) · 6426: Configuring and troubleshooting identity and access management in Windows Server 2008 Active Directory We offer qualifications from the following companies: · Oracle, including Oracle 11g, Certified Associate & Professional · Cisco, including CCNA, CCNP & CCSP · Linux, including Redhat Certified Technician & Engineer · Comptia, including A+, Network+ and Security+ · Microsoft, including Windows 7, Office 2010 & Visual Studio
Aon focus insurance
EBSphere At EBSphere we nurture a very particular culture. Our principles of Innovation, Integrity, and Trust drive everything we do. Why do we do this? We believe these three words sum up the key attributes that will continue our success and best serve our customers.
Aon Zimbabwe colleagues busy cleaning the streets of Harare, during the Global Service Day
What sort of year is 2012 shaping up to be? This year has been challenging because of the micro economic environment, the persistent talk of elections has not helped the situation, as investors tend to adopt a cautious approach. However as Aon Zimbabwe we have recorded growth in the business brought about by the development of new products and organic growth. The most successful aspect of the business in the last 12 months has been the retention of clients, which is above 99 percent. The areas of improvement are cost management and optimisation of IT investments. We have 32
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also recorded a high talent retention ratio and therefore continue to reap the benefits of the investment that we have made in training and development and up skilling our employees. Are there lots of opportunities for the company? The current state of the industry is characterised by low rates and stiff competition; most observers believe that the insurance market in Zimbabwe is over-traded. Opportunities for Aon Zimbabwe exist in growing the current book and developing new products and positioning ourselves to capitalise on the sectors of the economy that are registering significant growth.
Innovation We are always thinking about how we can improve the customer experience. This is not just in terms of product innovation. We are open to new ideas and to exploring them constructively. The reputation of our people and systems is central to our business ethos. We ensure that the information provided by the system is of the highest quality and integrity. Integrity Keeping promises is vital in building trust and loyalty with our customers. Whether it’s as simple as telling someone you’ll do something and then doing it or providing reliable, quality products on time to the marketplace, integrity is central to maintaining our credibility. Trust We see all our clients as long term business partners. The implementation of the Everest System provides a scalable and customisable solution, that will ensure all the requirements of our clients will be catered for well into the future.
5th Floor, Building D Sunnyside Office Park 32 Princess of Wales Terrace, Parktown Johannesburg, 2196 Tel: +27 11 274 5418 Fax: +27 86 617 0258 Email: info@ebsphere.com
seamless
innovation EBSphere builds and manages IT solutions that enable companies to collaborate like market leaders.
EBSphere builds and manages IT solutions that enable companies to collaborate like market leaders. Our Company's unique combination of specialist skills means that we can provide the solutions our customers need to operate seamlessly.
8th Floor, Cabs Centre 2nd & J.Moyo Harare Email: sales@patchsolutions.co.zw Tel: 00263 4 703 780/0772395905 Patch Solutions (Pvt) Ltd is an ICT Company specializing in full system integration. Patch Solutions provides long-term commitment support to clients, helping them derive full benefits from their information technology investment. With the strategic partnership and alliances with other global information technology suppliers and the special links with Compaq Corporation, IBM, HP, EPSON, and 3Com, Patch Solutions provide clients with a wide range of software communication and hardware products.
DON’T RELY ON LUCK
WHEN IT COMES TO YOUR MOTOR INSURANCE Come to us and drive away…
TristarInsurance congratulates AON on their continued success. We are proud to be associated with them.
info@tristarinsurance.co.zw www.tristarinsurance.co.zw Call 04 777 915/8 Pearl House, First Floor, 61 Samora Machel Ave, First Street, Harare
PRODUCT RANGE AND SERVICES • Compaq – our flagship computer system product range stretching from notebooks through personal computers to the largest systems • IBM- a full range of internationally recognized computer kit stretching from notebooks to high powered servers • Hewlett Packard – Large server systems and a full range of office printers and cartridges • 3Com/Trend Net/D-Link – A full range of passive and active networking equipment from hubs to routers and switches • Media & Consumables – A variety of computer consumables, media tapes and accessories • After sales service and support – The success of an IT installation lies in the after sales support • Business consultancy • Networking
Aon focus insurance
RM Insurance RM Insurance is one of Zimbabwe’s biggest and most stable short term insurance companies. At RM Insurance, we offer a diverse range of insurance products and services. Our long history of business partnership with AON Zimbabwe, and the expertise from both companies reflect continued professionalism in discharging services to our mutual clients. We at RM Insurance value the broking and risk management services that AON Zimbabwe provides to the Zimbabwean market.
What are your future goals? Our future goal is to grow Aon Zimbabwe into a significant player in the Aon Africa family by contributing to the profitability of the group given the potential of the Zimbabwe economy and also its past history. Aon Zimbabwe is a natural leader in human capital development, which is a good platform for growth in our industry. Like every business must, we will focus on profitability and giving our shareholders a return on investment. We will also continue to invest in training so as to become the employer of choice with leadership in developing talent that will meet the unique needs of our clients. Aon Zimbabwe will continue to leverage on Aon global resources to introduce new innovations and new products into the Zimbabwe market. One area is in Aon Consulting and Aon Risk Solutions where we currently do not provide the full suite of services offered by Aon globally. We believe that Aon Zimbabwe has the ability to tap into our global resources so as to give 34
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our clients local solutions that will support the growth and development of our economy. The vision for Aon Zimbabwe cannot be divorced from the global vision, “Aon seeks to be universally recognized as the premier global risk and human capital advisory firm.� However there is need for customisation of that global vision to suit local conditions. In that regard, I see the vision of Aon Zimbabwe as being the undisputed leader in the fields of risk management and human capital consultancy. To do this the business will need to develop new competencies in line with the global brand. We see ourselves expanding to offer new services in areas, which hither to had not been associated with a corporate broker of our size. Opportunities exist in micro insurance. We recognise the role of small to medium enterprises in the growth of our economy and as Aon Zimbabwe we will respond with tailor made products for this segment of our economy. Our vision is to provide solutions that will support our clients to
Home
achieve their stated business and personal objectives. You have invested heavily in restructuring and adding new technology to your IT Systems? We have. Aon Zimbabwe believes that the investment in new technology is the way to go for a 21st century company. Indeed ICT is the enabler of innovation and brings about real efficiencies. To that end we have introduced new operating systems for our core business and have upgraded some existing ones. We have embarked on extensive training of the operators to ensure optimal use and to derive benefit from the investment in ICT. Aon does not believe that this is a cost per se but an investment in the future of the firm. As things stand, all operating units are either fully automated or are in the process of being automated.
Motor
Aon focus insurance
You’re a socially responsible business? It is our mantra globally to give back to the communities in which we operate and CSR to me personally is a very important component of good corporate governance. In 2009, Aon Zimbabwe launched its CSR programme that supports people living with albinism. We support people living with albinism by providing them with sunscreen lotions, lip balms, hats and protective clothing. Recognising that people living with albinism
usually have difficulty with their eyesight, we are also providing spectacles, especially to schoolchildren. We also give them access to a dermatologist who assists with looking after their skin. To date we have a total of 900 recipients in various parts of the country including Chitungwiza, Chinhoyi, Masvingo, Victoria Falls and Bulawayo. This is our major CSR programme although we have assisted in other areas of need, like during Global Service Day which I mentioned before.
FBC Reinsurance Limited FBC Reinsurance was formed in 1995 as Southern Africa Reinsurance Co. (SARE). In 2004, SARE merged with First Bank to form the FBC Group. Today, FBC Holdings has 7 Subsidiaries namely FBC Bank, FBC Building Society, FBC Reinsurance, FBC Securities, Eagle Insurance, Turnall and Micro Plan. FBC Reinsurance, a 100% subsidiary of financial powerhouse FBC Holdings, is one of the dominant players on Zimbabwe’s reinsurance landscape. The company’s financial position is sound, on account of a well-balanced asset base. The company stands out as the most liquid reinsurer in Zimbabwe with a claims coverage period of more than 44 months and is rated A- by GCR South Africa. FBC Re’s technical results speak volumes about the company’s technical capabilities and the depth and breadth in the underwriting skills. FBC Reinsurance, which pioneered the development of foreign currency denominated products in 2004/5 to tame hyperinflation in Zimbabwe, has once again shown its innovativeness by partnering Aon Benfield in coming up with new products in Zimbabwe. Aon continues to be a top drawer partner for FBC Re, currently broking a great deal of both facultative and treaty business. Aon is also an important broker on the company’s retrocession arrangements, and through this partnership, FBC Re has a financially strong and reputable set of securities backing its business. FBC Reinsurance 4th Floor, FBC Centre 45 Nelson Mandela Avenue Harare Zimbabwe
Aon Zimbabwe colleagues, spending time with the orphans of Nenyere Day Care Centre in Mbare.
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Underwiting: +263 4 706745/706647 General: +263 4 704462/704481/2 Fax: +263 4 772706
Zimbabwe is of course a neigbour to many fast growing sub-Saharan countries. Are you well placed to take advantage of the opportunities in Africa? Aon is represented in 15 African countries mainly in the English speaking countries. All these countries work in close collaboration to take advantage of the opportunities at a pan African level. The latest IMF report states that out of the 10 fastest growing countries in the world, nine are from Africa. We believe therefore that we are well placed to take advantage of the opportunities in Africa. Zimbabwe is in growth mode and considering its vast resource base the upside potential is huge. We will contribute to Africa’s growth by harnessing the opportunities in our territory.
What do you believe is the key to the Aon Zimbabwe’s success? The key to the company’s success is embedded in its ability to attract and retain top talent. Since we sell human capital consultancy it is imperative that we align our human resources strategy with the company’s broader strategy. The key to Aon Zimbabwe’s long-term success is the ability to manage and align our human resources to our company growth strategy. In simple terms, I have the privilege of working with a young, dynamic and energetic team. There is a strong desire to succeed within Aon Zimbabwe, and a culture of excellence, which is shared by the team. Steering a team with so much enthusiasm makes it very easy to succeed. Our ability to attract and retain www.southafricamag.com 37
Aon focus insurance
FMRE Property & Casualty – insuring the insurers FMRE Property and Casualty is a leading reinsurance firm in Southern Africa and offers traditional short term reinsurance products which are backed by a comprehensive range of risk management services and technical support. The company provides exceptional treaty and facultative reinsurance services and resources for clients to operate irrespective of their size and underwriting philosophy.
At the office with Manchester United legend, Gary Bailey
clients will also inform our growth and success. We know that each client is unique, and we provide tailor made solutions, all the time focusing on delivering distinctive client value. Susan, on a personal level, you are a female CEO. Is that in itself a challenge? I totally embrace my femininity and believe it gives me certain strengths and qualities that my male counterparts many not immediately identify with. I also accept that being a female CEO brings about many challenges. I know that I have to work that much harder to prove my capabilities. However that is an advantage in itself as it ensures that I never become complacent and must continuously invest in improving myself. I also recognise that I have become a role model and my performance must exemplary. It is my hope that I can encourage and inspire other women to have 38
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FMRE also offers a range of sophisticated advisory and consulting services which include alternative risk transfer support, technical training, reinsurance programme structuring, and portfolio run off administration. For more information, visit the website www.fmrepropertyandcasualty.co.zw or www.fmrepropertyandcasualty.co.bw
My femininity enables me to pay more attention to detail and brings about empathy in dealing with difficult situations
To find out about out great advertising rates, please contact Andy Williams at andy.williams@tntmultimedia.com or call +44 (0) 1603 343902.
Aon focus insurance
ZIMNAT LION INSURANCE COMPANY
is... #1
Global insurance broker
#1
Global manager of captive insurance companies
#1
US wholesale broker
#1
Global reinsurance broker
#2
US employee benefits consultancy
#2
Global employee benefits consultancy
450 of the Fortune 500 companies are our clients 7 of the top 10 Airlines are our clients 66 of the Top 100 Movies ever made were & are insured by Aon 1 in 3 chance that the petrol in your tank has been insured through us 10 of the top 20 Power companies are our clients
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Zimnat Lion boasts a rich heritage, being one of the largest and oldest short term insurance companies in Zimbabwe. With over 60 years of experience, its age brings with it unparalleled maturity and courage to enter the market with not only a wide range of products, but also very innovative solutions designed to meet your personal needs. With an entire risk management department dedicated to assisting the client and Zimnat in risk management and product definition. Service excellence is the hallmark of Zimnat and we continue to invest in solutions that improve our service to clients. As we continue to expand in distribution and clientele, we have recently invested in a new information system which will allow us real time service delivery. The year 2012 for Zimnat started on an exciting note, with a new management team, which we believe is more than capable to further steer the ship in this dynamic era. At Zimnat, we are thrilled to attend to every client we meet. We receive you with the highest level of service excellence. Many times, our relationships become lifelong partnerships, promising to walk with you throughout our journey, with our chief reputation being that of ‘we pay claims’. Having proven ourselves over and over again, by paying significantly large claims for some of the largest corporations in Zimbabwe, we can safely attest to our motto - We pay claims!
Managing Director : Livingstone Magorimbo Livingstone is a qualified actuary with extensive experience in the Southern African region and West Africa, recently coming from leading a large corporation in Nigeria. A young but mature leader, his reputation precedes him. He is not only known for management excellence, but also for his innovative and supreme business acumen.
the confidence to realise their full potential. I am particularly grateful for all that I have achieved and must quickly point out that I owe it all to God who has surrounded me with people that have encouraged and inspired me to reach the level that I have. I owe a lot to my parents who taught me from an early age to understand that whilst I would have to work extra hard to attain my goals, my gender should never be a hindrance to my progress. The important thing is to have a vision, set goals, and remain focused and work hard to achieve the set objectives.
Our future goal is to grow Aon Zimbabwe into a significant player in the Aon Africa family
Zimnat is proud to be associated with AON. With a great partnership that has survived decades and AON continuing to be our largest provider
Being a boss in a male dominated industry comes with huge challenges. However it brings about many opportunities on which I chose to focus. My femininity enables me to pay more attention to detail and brings about empathy in dealing with difficult situations and of course the most important resource in any organisation, the team. I enjoy what I do and continuously look for opportunities to improve my teammates, the organisation and myself. END
To learn more visit www.aon.com/zimbabwe www.southafricamag.com 41
sky’s the
the
FOr ZSIc
South Africa Magazine visits Zambia and looks at the growth potential for Zsic, one of the country’s leading insurance services providers.
By Ian Armitage 42
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Zsic fOcus InSurAnce
Z
SIC Limited, formerly Zambia State Insurance Corporation Limited, is one of Zambia’s leading insurance services providers. It was founded in 1971 following the nationalisation of the insurance market and is based in Lusaka. Until 1991 ZSIC was the only insurance company in the market and gained vast experience in transacting both short and long term insurance. In line with the provisions of the Insurance Act No. 27 of 1997 as amended by Act No. 26 of 2005, the ZSIC underwent a restructuring and compliance exercise. This saw the birth of three separate business entities: ZSIC Limited, the Holding Company, and ZSIC General Insurance Company Limited and ZSIC Life Limited as subsidiary companies. ZSIC, through those subsidiaries, offers various products under various insurance classes such as fire, marine, aviation, accident, motor vehicle, life insurance, as well as pension administration and pension fund management. In April this year it appointed a new CEO - George Silutongwe. He is an insurance veteran and has worked in the industry since 1980. He has in his career worked as Managing Director of Professional Insurance Corporation Zambia Ltd, Managing Director of Professional Life Assurance Limited, Deputy Director of Zambia Insurance Business College Trust and Assistant General Claims Manager at ZSIC. He is a Chartered Insurer who holds a Master of Business Administration Degree from University of Lincoln www.southafricamag.com 43
ZSIC focus INSURANCE
in UK and is also an Associate of the Chartered Insurance Institute, a member of the Institute of Risk Management, UK, and fellow of the Insurance Institute of Zambia. He is excited by the challenge of leading the ZSIC Group of Companies. “I was appointed in April,” Silutongwe tells South Africa Magazine. “ZSIC is an organisation with a great history and I’m excited to see what I can do in a company like this because it has almost unlimited potential. “ZSIC has served the people of Zambia for over 40 years. We have a fantastic heritage and we are geared to getting better with age.” ZSIC Limited is poised for phenomenal growth, he adds, believing insurance penetration in Zambia is very low and can only improve. “Our vision is to be Southern Africa’s leading provider of innovative fund management and investment solutions.
Our vision is to be Southern Africa’s leading provider of innovative fund management and investment solutions
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Ultimate Technology Ultimate Technology is a leading provider of customer-focused financial and business management solutions. As an Infor Channel Partner, we deliver SunSystems based solutions taking the advantage of enterprise-wide extended solutions available from Infor. Among the beneficiaries of our solutions is the ZSIC Group of Companies. Being in the insurance business, ZSIC faces challenges like: • Strategic objectives • Regulatory compliance • IT for strategic advantage • Risk management • Insurance brokers, intermediaries and general agencies. Our SunSystems solution responds to these challenges through its unified ledger concept and smart way of storing transactions that hold measurable parameters to provide ZSIC’s KPIs on its strategic goals.
“ZSIC is a major economic player that has supported and continues to support growth in Zambia’s capital market, money markets, and the property development market. “We help the Zambian economy to grow by putting together packages that help support enterprises, NGOs, Government Departments to operate with peace of mind as well packages for the development of small and medium sized enterprises (SMEs). We always look to improve and want to make the company as versatile as possible and improve all our processes so that we compete effectively in the market, which is growing every day. My idea is to make sure that we make this company as financially sound as possible and to generate employment as per mandate given to us by the Zambian Government,
P O Box 53432 Gaberone, Botswana Tel: +267 71414837 Fax: +267 3939611 Email: sales@insureen.com Web: www.insureen.com Insureen Holdings is a software company specialising in delivery of short-term insurance business solutions in Africa. Since 1993, we have made substantive investment in understanding the needs of our customers. We are committed to building long-term customer relationships, by collaborating with other technical partners to deliver tried and tested systems based on low-cost technologies which are highly adaptable and dynamic, suitable for the varied economies across Africa.
Insureen is the supporting partner of ZSIC – Using Odyssey Enterprise System, Insureen has provided business operational effciency resulting in sustainable growth of their business www.southafricamag.com since 2005. 45
which is also the main shareholder. We are an investment company and we’ll be looking to create some more subsidiaries so that we can contribute into the labour market, especially for young people.” The Zambian insurance market is growing all the time with new entrants coming in and making it a highly competitive field. The total insurance market is still small in absolute terms, but the sector is growing rapidly and the insurance game is changing. Just last month Hollard, South Africa’s biggest independent insurer, and ABSA Financial Services /Barclays announced the opening of a life insurance offices in Lusaka. “We’ve seen quite a sizeable amount of players (coming) in to the market in the last year and a half. The economy is growing and I guess everybody is looking to enter this market? It is a growth market and the opportunity is to grow the company really in terms of products and services. The number of investors is increasing as people are looking to invest into mining and mineral processing; the government is promoting agriculture and tourism as priority sub sectors of the economy. We want to make a big impact in the insurance market. There is a lot happening in the development of infrastructure. Roads are being built and in the energy sector we expect an increase refurbishment and development of electricity power generating plants. There is further growth in the SADC region especially in countries like Angola and the DRC. These are regional markets with huge potential that we can benefit from.” 46
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It is a growth market and the opportunity is to grow the company really in terms of products and services. The number of investors is increasing as people are looking to invest into mining and mineral processing
George Silutongwe -PICZ LTD, Zambia
ZSIC focus INSURANCE
Now is the time to polish the ZSIC group’s act, making sure it is at its best. “At the moment I see potential in the company. We have a huge asset base in both real estate and capital markets, as well as other investment vehicles. So, we are changing our people’s mindsets and reorganising our processes and procedures, whilst sourcing for more funding to improve certain areas such as IT in order to enhance our competitiveness.” Micro insurance is another priority. ZSIC already has some products in life that cater for low-income groups and it’s looking to create more. “We’re in the process of creating an asset management company so that we can deal with growing funds in a more focused way as well as operate for other private pension funds which are a potential market for us,” Silutongwe says.
“In terms of our future, the efficiency factor is an important one in us realising the potential. We already have a strong brand so it is about process improvements, efficiency, consistency and customer care. That is the key. “We are excited by the growth potential of Zambia’s insurance market as well as the wonderful opportunity to introduce a spectrum of innovative and affordable insurance solutions to consumers and business clients. Our investment will also contribute to promoting the relevance of insurance especially among uninsured consumers, and ultimately the sustainability of the Zambian insurance market and economy. “We have the experience and the strength.” END To learn more visit www.zsic.co.zm. www.southafricamag.com 47
Medical Marvel SSEM Mthembu Medical is a business on the up and up. 25 years after setting up shop, it is in a great position to capitalise on growth in South Africa’s medical industry says sales director Adam Kokus.
By Marie Toms 48
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SSEM Mthembu Medical focus healthcare
T
hey say time flies when you’re having fun and the last 25 years have certainly been very enjoyable for the team at SSEM Mthembu Medical (Pty), a leading distributor of electro-medical devices and medical consumables throughout Southern Africa. It provides devices for an extensive range of medical applications. “We specialise in specific fields and specialist technologies,” says sales director Adam Kokus, who has been with the firm for 20 of those 25 years and he is very proud of what the company has achieved. “From a growth point of view, we are eager to expand – there is a lot of potential in the industry – and we’ll do that either organically into new technologies and products, or we’ll look to acquisition. “Identifying new markets and technologies is the key to longevity.” SSEM Mthembu Medical meets the stringent expectations of specialist and very demanding customers and has a great reputation for customer service, he says. “We’d like to think we have a very good reputation - a comprehensive range of products, supported by continuous clinical and technical training. It really
does all comes down to hard work. It doesn’t happen easily and it certainly doesn’t happen on its own. We deal in a specialised market and you have to keep to your principles. I don’t personally think it is anything out of the box. There’s no magic component that people don’t know about. You need to know the product. This isn’t an industry where you can just accept an order and supply. You need to know the products and understand your client base. “Reputation, reliability and familiarity are important.” The company’s welldeveloped infrastructure and experienced team of clinical and technical specialists puts it at the forefront of the industry, while distribution agreements and partnerships with leading international medical manufacturers ensure local and international support. “I think those are our strengths,” Mr Kokus adds. The medical market that SSEM Mthembu Medical supports is divided into several segments: for instance - you have hospitals, which includes all state, academic and private clinics and hospitals, on one hand and medical practitioners on the other. “We have a number of markets that we look at. It’s not as simple as just hospitals and medical
The company’s well-developed infrastructure and experienced team of clinical and technical specialists puts it at the forefront of the industry
www.southafricamag.com 49
SSEM Mthembu Medical focus healthcare
practitioners. The State is the biggest market and makes up probably 50 percent of all the medical expenditure in South Africa. A lot of that goes to hospitals, which need specialised equipment for their different departments Then you have private hospital groups, the independent hospitals and then another big part of our market is private specialists - people who have their own practices such as cardiologists or neurologists. There are very specific target markets.” South Africa’s public health care sector is currently “over–burdened” Kokus says, while demand is increasing for “a better standard of service delivery coupled with affordability and accessibility for a larger part of the population.” “From a business point of view, we’re trying to get the majority of our population exposed to medical health care at the private hospital level,” he admits. “The only way to do that is to buy more equipment. Somebody has to buy that
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equipment. Obviously we’d like to get our fare share of it! “The one thing that does worry us a little bit is where are they going to get the medical practitioners to staff those hospitals? It’s all well and good having the equipment but we need people to be able to use it.” SSEM Mthembu faces another challenge in the form of Chinese manufacturers. “We’ve seen the Chinese wave come and part of it has stayed and part of it has gone,” Kokus says. “They tend to be very aggressive in Africa and it changes from country to country. We’re predominantly a distribution company so there’s very little that we manufacture ourselves. The majority is via a distribution agency that we have. That’s also limited from agency to agency. Private groups aren’t too keen on the Chinese products but they have penetrated government markets. What is important to note is that a lot of the companies bringing them in are not always reputable. What tends to happen is that there are cheap products coming in but then if it
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sseM Mthembu Medical fOcus heALthcAre
doesn’t have any back-up service it tends to fall flat. On the ground we’ve seen a lot of people saying that their product hasn’t worked from day one and they try to get hold of the company that supplied them but they don’t exist anymore or nobody even knows who they are. So in certain government markets have kind of gotten their fingers burnt and some of those clients are going back out to buy new equipment again. There are one or two reputable Chinese companies out there and they try hard. I get dozens of emails every day from Chinese manufacturers looking for distributors. “There are some Chinese companies that have been around for a while but there are also those Chinese companies that I believe aren’t going to be in our market for a particularly long period of time.” The future for SSEM is extremely promising. “We want to be around for a long time. We have been growing well and we’d like to have more commodity items in terms of consumables. “I think one of our bigger negatives is the global economy and by that I mean that you may have a fantastic agency today but tomorrow it could be bought by someone else who also thinks it’s fantastic. This has happened to us before. It affected us around six or seven years ago because it was quite a big percentage of our turnover. You work hard, you build something up and it can get taken away through no fault of your own because other big fish in the global market think it’s cheaper to grow through acquisition rather than to develop a product. That can put you at risk. The acquisitions are usually on a global level and we’re talking here about international companies that are bought by other bigger international companies so it affects distribution. They may have direct operations in South Africa, they might not; but even if they have a distributor here you have to play yourself against them. That can be challenging.” Kokus is a realist and is prepared for all eventualities. “You have to be able to see some of the potential pitfalls or some of the potential issues and plan for that. There are no guarantees in life. We work very hard to maintain our relationships with our clients and believe this is one of the most important aspects of our business.” 52
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Cardiac Science The European Resuscitation Council’s 2010 Guidelines emphasise the importance of providing “high-quality chest compressions” to victims of cardiac arrest. The New Powerheart G5 AED delivers real-time CPR feedback to help the rescuer adjust the compression rate and depth to perform in accordance with these standards. If the CPR Guidelines change in the future, you can easily adjust the Powerheart G5’s CPR feedback protocols to stay up-to-date. The Powerheart G5 delivers fast shock times, real-time CPR feedback and the most customisable protocols so you have precisely what you need to save lives. To learn more about the New Powerheart G5 AED, please visit www.PowerheartG5.com
SSEM Mthembu Medical (Pty) Ltd. distributes electro-medical devices and medical consumables throughout Southern Africa. The company was formerly known as Specialised Systems Electro Medical and changed its name to SSEM Mthembu Medical (Pty) Ltd. in May, 2006. The company was founded in 1987 and is based in Johannesburg. enD To learn more visit www.ssemmthembu.co.za.
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Easy to use for responders at all levels • Real-time CPR feedback gives rescuers specific guidance on compression depth and rate as recommended by the 2010 Resuscitation Guidelines • Fully automatic shock delivery eliminates user hesitation (Semi-automatic version also available) • Intuitive, interchangeable pad design simplifies placement • RescueCoach™ user-paced prompts guide users through each critical step of a rescue • Text prompts provide extra help in noisy and chaotic environments • Switch to an alternate language during a rescue with the push of a button to help more potential responders (available in select languages)
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www.ambu.com
Guan’s N a mi b i a n dream
Guan’s Packaging general manager Herman Krauze outlines ambitious plans to expand the business and create even more Namibian jobs.
By Ian Armitage
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Guan’s Packaging focus manufacturing
G
uan’s Packaging has been investing in Namibia since 2008 and the full service corrugated manufacturer has created several jobs in Walvis Bay. It has been a boost to the local economy. Not content, the firm is eager for further expansion. A new manufacturing plant is on the cards. “At the moment we are manufacturing secondary packaging only,” says general manager Herman Krauze. “We service all different industries, anything from mining through to agriculture, aquaculture, beverages and the fishing sectors. We now plan going into primary packaging for them. This will most probably be by the end of next year or early in 2014. So in the next 12 to 18 months we will commission an additional manufacturing factory and will most probably go into primary packaging.” He says more than 40 direct new Namibian jobs were created during “Phase A” which entailed the construction of a brand new +-9,000m2 corrugated production plant, as well as numerous indirect jobs created or secured within the local community through a dedicated group of local suppliers and contractors.
The installation of the corrugation plant was completed late in the December of 2009 and the first production run was commissioned early in January 2010 and has been a substantial investment into the Walvis Bay business community. “During this next phase, a very exciting phase, we will increase that capacity and effectively double the workforce. Those will be primarily be Namibian jobs. “The new plant will be on the same site with brand new new facilities,” Mr Krauze says. “We’ve only got two corrugation manufacturers in Namibia at the moment,” he adds. “The rest is all created in and imported from South Africa. If we operate to full capacity we cannot even
We service all different industries, anything from mining through to agriculture, aquaculture, beverages and the fishing sectors
www.southafricamag.com 55
Guan’s Packaging fOcus MAnuFActurIng
service the current market’s demand with our current capacity so it just makes sense to invest and to grow to increase our capacity. “In terms of primary packaging, there is only one local manufacturer. So there is a need in the market, where the demand outweighs the supply by at least three to one. “In our view you have to support local industry and Namibian manufacturers. We support Team Namibia to promote Namibia, Namibian product and jobs creation. We are trying to raise awareness in Namibia for Namibian products. We believe that local industries should support each other.” In terms of establishing the new plant, Krauze admits that some skills just aren’t available in Namibia yet, so they may have to go to neighbouring South Africa or elsewhere in the world to fill certain key positions. However, having already successfully established one manufacturing plant, skills have been built up and there is a lot of knowledge in the business now. There could
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Andjem Trading Andjem Trading is responsible for the visy sales in Africa and the Indian ocean Islands. We have offices in Durban, Cape Town and Johannesburg. We have supplied Guan’s Packaging with the majority of their paper requirements since start up. For all of your paper requirements contact us: Andrew Carr andrew@andjem.co.za +27 (0)31 572 4605 +27 (0)83 6273249 Mark Haarhoff mark@andjem.co.za +27 (0)21 789 2493 +27 (0) 83 3777096
When you’re thinking about smart solutions for packaging — think VISY.
For a better world
VISY is one of the largest privately owned packaging and recycling companies in the world. Our vision is to be the leading provider of recycling, paper & packaging products and services, fostering innovative, sustainable solutions for superior returns. At VISY, we’re especially proud of our Kraft & Recycled papers. Sustainability isn’t just a part of VISY, it’s fundamental to everything we do, therefore we offer papers that are: Sustainably sourced recycled content and Kraft papers. ISO accredited for Quality, Safety Systems and Environmental Management. Forest Stewardship Council (FSC-C008345) chain-of-custody certification for paper produced at our six Recycled Australian paper mill operations. Programme for the Endorsement of Forest Certification (SCS/PEFC/CoC-003987) for paper produced at our two Australian Kraft Liner Board operations. VISY is the packaging paper choice for everyone and only VISY has the size and strength to deliver like no other. VISY exports to the world, in major market sectors including: Fruit & Produce Beverage packaging Meat and poultry Seafood packaging Heavy duty and Shelf-ready packaging.
If your business is ready to get smart about paper used in packaging do the smart thing and get in touch with VISY.
You don’t have to wait for better paper. www.visy.com.au
Guan’s Packaging focus manufacturing
Raylin Engineering From its inception, Raylin Engineering has realized the importance of investing in the latest technology to meet the increasing production demands from the industry, but it also realizes this must be married with a flexible and friendly service to ensure the customer enjoys a satisfactory experience doing business with us.
Inside the factory
be training opportunities and also scope for promotion for current staff. “We’re committed to employing locally and training our own employees wherever we can, we promote from within and train new skills,” he says. “Also, in the Guan’s group, we are involved in all sorts of industries so there is a large pool of specialised skills available within the global group. We are fortunate to we have lots of different people with different skills available that we can draw from.” Guan’s Packaging is certainly a unique business and proudly Namibian. “Our philosophy is quite different,” says Krauze. “Our owner has provided all the start-up funding here and created a lot of local jobs. In our new phase we will be creating many more. My entire management team is Namibian, with the exclusion of one specialist from neighbouring South Africa. They are fairly young, dynamic, hungry for success, ambitious, determined and are all achievers. Our company has been set up so that there is a lot of room for young, willing and able people to develop within in the group. Our employees take ownership of the company. That’s a really great thing. Everyone do their bit, it proved to be a winning formula.” 58
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We support Team Namibia to promote Namibia, Namibian product and jobs creation
Born and bred in Walvis Bay, Krauze has a great understanding of the local industries their requirements and needs. “I was born and bred in Walvis Bay myself and I started in the financial world and then moved on to operational side of the fishing industry for just over 16 years, before joining the Guan’s Group early in 2010. It gave me an advantage coming from the consumer side. Other companies often don’t fully understand the product that they manufacture from a consumer perspective.” The company’s goal is to provide the highest quality products at the most competitive, yet reasonable prices, supported by superb customer service. “We want to supply the best quality and best service as only then can you build those essential
customer relationships that keep you in business. We see our customers as partners and we are in it for the long-term.” So, what’s the secret to the firm’s success? “It starts at the bottom and top of the pyramid, Mr Guan is a great, successful global business personality, add an active and able BOD, a willing, motivated and able group of employees in Namibia and you can’t fail. A solid foundation is key, while you dream big,” Krauze jokes. “Sitting in Namibia, we have to heavy rely on our suppliers to keep our supply chain running smoothly,” he adds, on a slighly more serious level. “Visy and West Coast Paper Traders, our main paper suppliers, are particularly significant.” enD To learn more visit www.guanspackaging.com. www.southafricamag.com 59
BeeKMAn SuPer cAnOPIeS LeAveS the cOMPetItIOn
For the past 39 years the name Beekman has been synonymous with the production of high quality and reliable canopies in South Africa.
By Marie toms
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Beekman super canopies fOcus AutOMOtIve
a
s one of the most trusted brands in the leisure market Beekman is “more than just a canopy,” says Kobus Stander, managing director, who describes the business as a lifestyle enhancer and family institution which “allows you to experience life with style”. It is an industry giant, one of three major canopy producers in South Africa. Beekman Super Canopies started modestly in 1972, as a family business in the Western Cape. It has grown steadily in the decades since. In 2008, the company was bought by Imperial Automotive Retail, a venture that has widened Beekman’s impact in the market by providing financial stability and ensuring longterm relationships. According to Chief Executive Officer of Imperial Automotive Retail, Philip Michaux, the company is “a good fit” in his portfolio of manufacturing operations which include 90 franchised motor dealerships supporting 27 brands. “Beekman offers one of the widest ranges of fiberglass canopies and accessories in the market, a total of more than 145 products,” says Mr Stander, adding that more than 21,600 canopies, including canopies for the older model bakkies, are sold annually. “With 50 agents and a number of fitment centres throughout South Africa in Namibia, Zimbabwe and Zambia , Beekman can cater to each client’s specific needs.” Most of the products are produced at Beekman’s plant in Stikland, near Cape Town and the facility can produce up to 2,000 units per month.
Middle: Kobus Stander Right : vanessa Lester Left : Michael Crocker
Beekman offers one of the widest ranges of fiberglass canopies and accessories in the market, a total of more than 145 products
www.southafricamag.com 61
Beekman Super Canopies focus automotive
GABRIEL SHOCK ABSORBER’S PROUD RELATIONSHIP WITH BEEKMAN Gabriel, a premium shock absorber brand of Control Instruments Automotive, is proud of its long-standing relationship with Beekman Canopies in supplying its Gabriel’s Gaslift range. Gabriel has supplied Beekman for over 25 years and looks forward to a continued and strong relationship. This year Gabriel celebrates its 77th year in South Africa and its 50th year of manufacturing shock absorbers in South Africa. Website: www.gabriel.co.za
“A new concept of in-house fitment centres is allowing customers an opportunity to have canopies fitted at the same time of a vehicle pre-delivery service, or when the model was booked in for a maintenance at a dealership,” says Stander. The Canopies are fitted by trained personnel. Among the in house fitment centres to have been established are, Malelane Toyota in Malelane, Imperial Ford in Kroonstad, Bates GM in Port Shepstone, Imperial GM innIsando.” Quality standards are particularly high and Beekman is registered and approved by major vehicle manufacturers and distributors. It uses state-ofthe-art computer systems 62
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Beekman are particularly proud of their subsidiary training, upskills and upliftment programmes
to design new products and among its recent development is an increased range of top quality executive fiberglass canopies. “We aim to remain at the leading edge of technology as we grow Beekman business,” says Vanessa Lester, the firm’s marketing manager. Beekman operates independently, with its own management and production team. There are currently about 450 employees in the various operations. The company places a high priority on training and development to ensure consistent levels of quality. “Beekman are particularly proud of their subsidiary training, upskills
787_SA Mag Ad (117,5X170)FA.indd 1
2012/08/03 and upliftment programmes. These include putting 20 unemployed people through Merseta-approved training courses at our facility in Stikland twice a year, with 70 present of them later being employed at our factories,” adds Stander. Beekman Super Canopies is a level five contributor and recently acquired ISO 9001 accreditation, emphasising the fact that all of its manufacturing processes and quality control meet internal standards. The company has received a supplier of the year award from General Motors South Africa and been awarded the “Best Customer Service Operation” by Ford Motor Company as well as 2012 Readers choice Gear Award from Getaway Magazine. Beekman Super Canopies was also awarded the Best Employer for 2011/2012 award. The future is challenging but the team at Beekman Super Canopies is positive about the prospects it holds. END
10:45 AM
To learn more visit www.beekman.co.za. www.southafricamag.com 63
succeed? Driven to
F
rench carmaker Renault’s profits plunged 39 percent in the first half of the year, driven in part by expenses related to changes in the product cycle. The company sold a record number of vehicles outside Europe from January to June, off-setting a sharp fall-off in its core
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market. Sales slipped one percent for the first half to 20.9 billion euros. Net profit was 746 million euros. The company said that it expects that trend to continue in the second half of the year. It predicted the French market will contract 10 to 11 percent and the rest of Europe will shrink six to seven percent.
Renault focus AUTOMOTIVE
South Africa plays a significant role in Renault’s global plan for sustainable growth and new product development. By Marie Toms
Global demand should rise five percent, it said. South Africa will likely play an increasingly important role. The auto giant returned to the country in 1996 with little fanfare, via a partnership with Imperial Holdings’ Imperial Car Imports division.
Back then the average South African had little knowledge of the brand. The older generation had some recall of the Renault 5 of the 1970s, but that was about it. It is all a far cry from what Renault South Africa is today. “Renault has once again established itself as a leading contender,” the former CEO of www.southafricamag.com 65
Renault focus AUTOMOTIVE
Renault SA, Xavier Gobille told South Africa Magazine when we interviewed him back in 2011. “The trendsetting Renault Scenic MPV, the Renault Mégane and the Clio have become familiar sights on our roads. “Renault has proven its presence in the South African Motor Industry by its phenomenal growth and quality improvements,” he said. “Today Renault is performing extremely well and has experienced a marked increase in sales volumes as a result of some great new product launches enabling the brand to break into and compete competitively in new segments.” Renault’s commitment to South Africa is
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unquestionable. “We are totally committed to Renault’s success in South Africa... South Africa plays a significant role in Renault’s global plan for sustainable growth and new product development. Our investment in local South African production is significant and just a part of our long-term commitment to this country,” he added. Mr Gobille was replaced by Susumu Uchikoshi as CEO of Renault SA on August 1. Uchikoshi comes to South Africa from Nissan Egypt, where he held the position of chairman and MD from August 2009. His move to South Africa is part of the RenaultNissan Alliance’s ongoing strategy of international
With such a team in place, I believe we are well positioned to further expand our business
cross-pollination between the two motoring manufacturers. Uchikoshi completed a Masters degree in physics at Keio University before joining Nissan Motor Company in 1991 as an engineer, working on semiconductor devices for the automotive sector. Uchikoshi said in a statement that he looks forward to his new role in South Africa. “A company’s most important assets are its people and I must congratulate Xavier Gobille on assembling such a young, talented and dynamic team, backed by a well-established network loyal to the brand. “With such a team in place, I believe we are well positioned to further expand our business. The introduction of new models will, of course, serve to underscore this growth.” The Renault reputation for quality of product, superior driving experience and quality of service has made it a sought-after franchise. South Africans certainly like it. The auto giant has big plans for SA and recently set up a dedicated fleet business. “If you are a government department and if you have a Vat number, we want to do business with you, whether it is one vehicle or ten vehicles,” Renault SA pre-owned, fleet and rental manager Brian Smith told Engineering News Online. According to the report, Renault’s 50-strong dealer network has, until now, largely been retail salesorientated and the launch of Renault Fleet will see this focus realigned to include fleet business and the long-term planning sales to the fleet sector entails. 68
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Renault focus AUTOMOTIVE
The Renault reputation for quality of product, superior driving experience and quality of service has made it a sought-after franchise
“We think we can do better in the fleet business and Renault Fleet is the vehicle we want to use to achieve this,” the report quoted Smith saying. According to Renault’s data, Renault SA has a five percent market share in government passenger car sales sector. The Department of Defence, the South African Police Service and the KwaZuluNatal Department of Health have all been Renault customers. Renault’s new fleet programme is backed by an online presence, at www.renaultfleet.co.za, providing an immediate contact point as well as information on products, parts pricing and so forth. It has also undertaken to deliver seven valueadded services that will come standard with every fleet vehicle sold – including a five-year/150 000 km factory warranty on all vehicles. END
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Great wall Motors fOcus AutOMOtIve
As South African consumers continue to embrace the red dragon we talk to tony Pinfold, chairperson of Great wall Motors South Africa.
By Ian Armitage
T
here are good years and there are great years. For Great Wall Motors South Africa (GWM SA) 2011 was a great one. Sales increased by around 40 percent over 2010 and it successfully launched a number of new vehicles in the local market. The company sold an impressive 7,688 vehicles in the 2011 financial year. The best month for GWM was January at 860 units. “Last year was great and the positive trend has continued into 2012,” says GWM SA chairperson Tony Pinfold, who believes there are several reasons for the growth. He says it is partly due to a change in strategy, which saw the firm focus more on sales and dealer support by pushing more people into the field in various regions. It is also partly down to the fact that the buying public has “begun to appreciate the quality of our products”. “Brand acceptance has been fantastic,” says Pinfold. “And this has helped us to expand our network. “In terms of putting more skilled people in place, we’ve done that both technically and from a sales point of view, regionally. “In terms of new dealerships we now have two to three people approaching us a week who are looking to open GWM dealerships. These are mostly companies who already own a number of other franchises.” GWM SA currently has 70 dealerships spread across South Africa, Namibia, Swaziland and Botswana. “We have more planned,” says Pinfold. Another reason for GWM’s growing sales is that it has a new-look pickup on the showroom floor, with the new Steed 5 and the H5 sports utility vehicle adding to the growth seen in 2011. “These products have good solid futures,” says Pinfold. “The petrol H5 was launched in 2011 and the Steed 5 2.2 in May this year. “To be honest the launch of the H5 hasn’t www.southafricamag.com 71
Great Wall Motors focus AUTOMOTIVE
gone quite as well as we’d have wished technically speaking. I’m not sure what the reason for that is. It has done very well but maybe I was a little bit too optimistic and thought we’d do higher numbers on that one. We’re now working on re-promoting so we’ll see what happens from there.” South Africa’s auto industry has shown solid growth so far this year – the industry is on track for around 10 percent growth during 2012. Great Wall is among the many success stories. “I think in terms of overall numbers, meaning everybody, the market has been surprising resilient,” says Pinfold. “I don’t know the exact numbers but from what I’ve seen, we seem to be way up on most people’s predictions. The predictions were for around the five to seven percent increase for this year and it looks like we’re well above that, maybe even twice above that. It’s interesting.” Pinfold expects H5 sales to make up a good percentage of the company’s sales going forward, with pick-ups being a major contributor and passenger cars now showing good growth. As for 2012, he hopes to increase sales by another 30 percent.
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In terms of new dealerships we now have two to three people approaching us a week who are looking to open GWM dealerships. These are mostly companies who already own a number of other franchises
Contacts: Garth Loudon Cell: 082 374 4659 Email: garth@access.co.za Kevin Loudon Cell: 083 255 2083 Email: kevin@access.co.za
Jeremy Carr Cell: 083 777 2430 Email: jeremy@access.co.za
CONGRATULATIONS GWM ON YOUR RECENT SUCCESS
Tel: +27 11 396 9040 Fax: +27 11 396 9050 46 Tulbagh Road, Pomona, Kempton Park 1620 www.onelogix.com
Great Wall Motors focus AUTOMOTIVE
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“I think that’s pretty achievable. We’ve got some good model introductions coming in the next month or so. The public has recognised that we are a very good brand that has good products.” The new C10, which will compete in the small-car segment and which will be priced below R135,000, is something Pinfold is hugely excited about. He believes it will encourage more people to visit GWM dealerships this year. “That vehicle will be launched on August 21. We’re pretty excited about it because it’s a great little car. There is lots of competition in this market but we’re pretty optimistic. We don’t make the last call, that’s up to the public, but yes we’re very excited and optimistic. It is a high-spec, fashionable, quality product.” South Africa is currently the thirdbiggest market for GWM outside China, following Russia and Australia. “GWM consults us on the research, development and design of products,” Pinfold says. 74
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Great Wall Motors focus AUTOMOTIVE
Despite the great progress there is still more to achieve. “Manufacturing is a dream of ours, but government should create a programme that will assist small-volume sellers to start manufacturing vehicles locally. “It is difficult for a completely built-up importer like us to compete with local assemblers, as government support programmes allow them to import vehicles at almost no duty.” GWM arrived in South Africa in February 2007, with 1,500 units reaching Durban ready for sale across the country.
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Manufacturing is a dream of ours, but government should create a programme that will assist small-volume sellers to start manufacturing vehicles locally
Great wall Motors fOcus AutOMOtIve
Oficina The oficina Dealer Management System offers a cost effective, customised solution for small, medium and large businesses in the Southern African motor industry. oficina enjoys market relationships with leading information and technology partners and suppliers within Southern Africa, one of our biggest being that between oficina and Great Wall Motors South Africa.
GWM pickups and multi-wagons accounted for most of the new arrivals. By March the first vehicles began selling. It has since sold well over 40,000 units in the country. “We act as GWM’s sole agent in South Africa,” says Pinfold. “Our products are reliable and well suited to local conditions and they have been trusted by local users.” GWM SA’s head office, as well as its logistics and central parts distribution warehouse, is based in Durban. Its main aim is to provide “honest, reliable and well equipped” vehicles to the broader South African market at exceptional prices and with outstanding service levels. The brand has grown consistently and so has the product range. Today its SUVs, hatchbacks, passenger cars and pick-ups are a regular feature on South African roads. enD 78
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oficina and GWM SA began their relationship in 2007, when GWM first entered the South African market. oficina’s ability to integrate with other suppliers and adapt our solution to the needs of our clients has led to the development of many modules that benefit GWM SA, the Dealers as well as other supplies such as SA Warranties. The integrated solution offers a centralised, cloud environment that allows dealers to order parts, submit warranty claims, send automatic vehicle registrations and view their service history, among other features, within the oficina system. oficina is committed to growing with their clients and ensuring that they are provided with the correct tools to ensure that the best quality of service is always delivered. oficina shares the GWM SA Dream and is confident in the growth of products and services in Southern Africa.
Motor Dealer Management & Accounting System oficina is a South African developed Dealer and Vehicle Importer Management system established in the mid 80’s and is recognised as a growing leader in the motor industry within Southern Africa
oficina software has been running on a “cloud” system enviroment for the past 5 years which has allowed us to support the entire GWM network amongst others in a centralised live data enviroment, with full intergration amoungst Head Office and Dealers together with third parties such as SA Warranties, South African Department of Transport, Mead & McGrouther & OEM Parts price updates. Some of our intergrated functions include: - eNatis Motor vehicle Licensing & Registration - Parts & Vehicle Ordering Online - Warranty - Fleet Maintenance Management System - Logistic Module - In-house live CSI
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water
BrIngIng tO
In July provincial water utility Amatola water appointed a new Interim ceO Mzimkhulu Msiwa. he talks to South Africa Magazine following his appointment and discusses a new “back to basics� turnaround plan. By Ian Armitage
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Amatola water fOcus utILItIeS
J
uly saw the start of an exciting new chapter for provincial water utility Amatola Water, which has experienced a significant decline in its cash reserves in the last two years, mainly as a result of unrecovered debts. Enter Mzimkhulu Msiwa, interim chief executive officer, the man tasked with turning things around. Over the next 12 months, he will spearhead the water utility’s comprehensive turnaround strategy aimed at improving the financial viability of the institution and to bring it in line with the Water Services Act. Craig Thompson and Xola Bomela had interchangeably held the position of Acting CEO since April 2012. They’re both excited by his appointment, with Thompson describing him as the man capable of “driving the utility’s turnaround strategy.” For Msiwa, restoring the financial viability of the organisation is about “better housekeeping”. Measures are already in place to cut operating costs, recover outstanding debts and tighten internal controls. “I’m just going back to the basics of getting the business to run,” he says. “The immediate focus is on collecting outstanding debt, addressing inefficiencies and to reduce operational costs. “This should improve the liquidity and ultimately the solvency of the business. The plan has the full support of the board and the Department of Water Affairs, as our executive authority.” Mr Msiwa adds: “The utility is operationally sound and our
Checking water quality
the utility is operationally sound and our customers will continue to benefit from high quality potable water and related services, which Amatola water is known for
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Amatola Water focus UTILITIES
Rural villages are benefiting
customers will continue to benefit from high quality potable water and related services, which Amatola Water is known for.” Msiwa has a wealth of experience in the water sector and famously served as CEO of Umgeni Water. Prior to joining Amatola Water he was involved in a six month turnaround strategy at Mkhanyakude District Municipality in KwaZulu-Natal, an appointment made by the MEC and Deputy Minister of Water Affairs in January 2012 to head rapid response interventions to the water crisis situation in the area. Amatola Waters turnaround plan is already bearing fruit. “I am confident that we are heading in the right direction. “I think we can turn the situation around within the next few months,” Msiwa says. Amatola Water operates in Eastern Cape Province, servicing municipalities who are 82
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water services authorities as well as both national and local government departments. Msiwa is passionate about improving the livelihood of rural communities in the Province. Born and bred in the former Transkei’s Qunu village, he is all but too familiar with the challenges those communities face. “I wish to use the skill that I have to make water run and flow to the common person that is sitting in the deep rural villages,” he says. “I will not rest until uMamhlongo can have an experience of a shower. It would be most rewarding if my grandmother can have that experience. Now she does not even have enough water to drink.” He says the need to have a more cohesive policy system and the development of adequate water resources to support both the social and economic development of rural communities are right at the heart and core of the water sector challenges in the Eastern Cape.
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“Currently we are only providing water for human consumption and hygiene use. We are not providing water for productive use such as small-scale horticultural programmes and we have not taken a livelihood approach to water supply issues in rural areas. We did not bring in sociologists and anthropologists in the planning and design processes of our water systems, so as to understand what drives the quality of life and what quantum of water is required for community sustainability. If we had done that we would then understand what drives the quality of life and in turn the water demands that would be appropriate. “In my view, 750 litres per household per day should be the minimum to provide for rural livelihoods. Our collateral responsibility as the water sector in the Province is not just the water in the tap, but that of a significant contribution to the public health of our communities and supporting their economic development and sustainability. “We need to improve on the viability and security of our infrastructure. We have to deal with the issue of the quality of water that consumers receive at the tap and ensure that the whole country receives Blue Drop certified water. If we can deal with these three things, in essence, we would have contributed to the improved public health of our communities.” 84
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FIVE PILLARS OF THE TURNAROUND PLAN Improvement in liquidity & solvency of organisation Collection of outstanding debt Improving processes and systems around the organisation’s Section 30 activities (secondary business) Managing and reducing production costs, particularly in chemical contracts Building stakeholder confidence
Amatola Water focus UTILITIES
Amatola Water recently retained its prestigious Blue Drop status by earning three coveted Blue Drop awards at the WISA Biennial Conference in Cape Town. It earned the awards for its management of the Nahoon, Laing and Sterkspruit water treatment works. It also partnered with Buffalo City Municipality in walking off with a Gold Award for the King William’s Town supply system, which supplies water to Bhisho, King William’s Town, Zwelitsha and Mdantsane. The utility has consistently achieved a rating above 99 percent for water quality compliance – well above the national benchmark of 96 percent. “Blue Drop status is awarded to plants with the highest standards of water quality compliance,” Thompson told South Africa Magazine via email. “The awards are important because they instil public
confidence in the quality of our drinking water and more so to the utility because they are testimony to Amatola Water’s true commitment to maintaining organisational efficiencies through continuous improvement strategies. The Blue Drop awards are a stamp of assurance to our customers that the quality of drinking water produced from the various Amatola Water plants is of a high standard and is safe for consumption.” Releasing the 2012 Blue Drop report on South Africa’s water supply quality in May, Water and Environmental Affairs Minister Edna Molewa said water quality in areas like the Sundays River Valley, OR Tambo, Ikwezi and Koukamma municipalities were of grave concern. END To learn more about Amatola Water visit www.amatolawater.co.za.
Coastal & Environmental Services www.cesnet.co.za
Coastal & Environmental Services (CES) has recently been assisting Amatola Water in securing the necessary environmental and water use authorizations for the multiple elements of the Ndlambe Bulk Water Supply Scheme, in the Eastern Cape Province of South Africa. This is an important water service delivery project for local communities. CES is one of South Africa’s leading independent specialist environmental consultancies and since 1990 has provided environmental impact and other related services throughout Africa to a wide range of private and public sector clients including international mining companies, international financing organizations and national governments. Many of our projects have been favourably benchmarked against international standards.
Grahamstown (Head office) 67 African street PO BOX 934 GRAHAMSTOWN 6140 Tel: 046-622 2364/7 Fax: 046-622 6564 info@cesnet.co.za East London 2 Marine Terrace EAST LONDON 5201 Tel: 043-742 3302 Fax: 043-742 3306 cesel@cesnet.co.za Port Elizabeth 13 Stanley Street Richmond Hill PORT ELIZABETH 6001 j.schmidt@cesnet.co.za Mozambique Av Julius Nyerere 3412 Maputo MOZAMBIQUE Tel: +258 21 243 507 mozambique@cesnet.co.za
Suppliers of: · Potable and industrial water treatment chemicals · Dosing equipment · Swimming pool chemicals
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energy SecurIng MOZAMBIQue’S
future
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HcB fOcus utILItIeS
South Africa Magazine profiles Mozambique-based electricity utility Hidroeléctrica de cahora Bassa, S.A. (hcB), a pioneer in hydro electricity.
By Marie toms
W
hen it gained independence in 1975 Mozambique was one of the world’s poorest countries. Socialist mismanagement and a brutal civil war from 1977 to 1992 made the situation worse. In 1987, the government embarked on a series of radical macroeconomic reforms designed to stabilise the economy. These steps combined with fiscal reforms, donor assistance and with political stability, led to dramatic improvements. However, Mozambique remained dependent upon foreign assistance, and many remain below the poverty line. At the end of 2007, and after years of negotiations, the government took over Portugal’s majority share of the Hidroeléctrica de Cahora Bassa, S.A. (HCB) company, a dam that was not transferred to Mozambique at independence because of the agreement had with the Portuguese Government. Mozambique paid 700 million euros for a 67 percent shareholding in HCB, which later increased to 85 percent, while Portugal held a 15 percent stake. The deal brought closure to a decades-old dispute between the two countries over the rights to the company. An agreement to sell the remaining 15 percent stake owned by the Portuguese state was signed in March 2010. However, the deal wasn’t completed until just last month.
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HCB focus UTILITIES
Under the agreement, the stake was split into two equal portions with Portugal’s REN – Redes Energéticas Nacionais, buying a 7.5 percent share. Portuguese Prime Minister Pedro Passos Coelho first revealed that deal in April during the visit to Maputo. REN, in a statement, said it would pay 38.4 million euros for its 7.5 percent, while the other 7.5 percent cost HCB 58.6 million euros. The deal, it said, was subject to the consent of a general meeting of HCB shareholders – consent that was easily obtained. REN also confirmed that it “intends to reposition itself in the Mozambican energy market, particularly 88
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More power stations are planned, including a second power station at Cahora Bassa, a new dam at Mepanda Nkua
in the energy transmission market” and it is believed to be considering taking part in the construction of CESUL, a new transmission line running from the Zambezi valley to Maputo. According to media reports, REN hopes to be a “technological partner and services provider” for the project, considered a backbone of the Mozambican electricity grid and will, in exchange for its participation in CESUL, gradually relinquish its holding in HCB. If the reports are to believed, the end result would be an effective swap deal, with REN acquiring shares in the EDM companies involved in CESUL in exchange for its HCB shares.
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HcB fOcus utILItIeS
Ingérop International Consultants Current projects undertaken for Hidroeléctrica de Cahora Bassa (HCB): · owner’s Engineer for Cahora Bassa Spillway Gates Refurbishment · Geotechnical Study and Assessment on Parameters for Civil Engineering Design of the Cahora Bassa Northern Bank Power Station · Disposal of Asbestos Waste at Cahora Bassa
Water rush!
HCB would then become 100 percent Mozambique-owned. So why is REN so keen to do this? Well, it is simple: CESUL is crucial to the future of energy supply in Mozambique and the country’s exports of electricity because the existing line from Cahora Bassa to the Apollo substation in South Africa cannot carry any more power. More power stations are planned, including a second power station at Cahora Bassa, a new dam at Mepanda Nkua, 60km downstream from Cahora Bassa, and coal-fired power stations that will use the lower-grade coal that mining companies do not export. This power can only reach its intended markets in central and southern Mozambique and in South Africa, if new transmission lines are built.
ABoUT HCB HCB’s customer base includes Eskom, Mozambique Electricity Utility (EDM), ZESA, Zimbabwean producer and distributor of electricity, and other SAPP countries. 90
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Its main suppliers include ABB, Siemens, LNEC, Areva, Alstom and EFACEC. It is a member of Southern African Power Pool (SAPP), International Council on Large Electric Systems (CIGRE), Electric Utility Cost Group (EUCG), International Commission of Large Dams (ICOLD) and International Hydro Power Association (IHA). The dam itself represents the largest in southern Africa and the Cahora Bassa Lake, at 270 km long and about 30 km wide, and covering a flooded area of 2,700sqkm, is the fourth largest artificial lake on the African continent. The project to build the Cahora Bassa hydropower scheme began in 1969 and took about seven years to complete, with HCB focusing on generating, transmitting and selling clean electricity. During the Mozambican Civil War, the DC transmission lines were regularly sabotaged to the extent that 1,895 towers needed to be replaced and 2,311 refurbished over a distance of 893 km on the Mozambican side of the line.
HEAD OFFICE St Louis Business Center, Cnr Desroches & St Louis Streets P.O Box 1130, Port Louis/Mauritius Tel: +27 11 808 3042 Fax: +27 11 808 3018 Email: ingerop.mau@ingerop.co.za
INGEROP INTERNATIONAL CONSULTANTS OFFICES: INGEROP PROJECTS +27 11 808 3052/ingeropp@ingerop.co.za INGEROP SOUTH AFRICA +27 11 808 3000/jhb@ingerop.co.za INGEROP MOZAMBIQUE +258 149 66 50/mpm@ingerop.co.mz INGEROP SENEGAL +221 33 824 9258/ingerop.senegal@orange.sn
Ingérop International Consultants is a wholly owned subsidiary of Ingérop Group (www.ingerop.com), a long established private and independent French Consulting engineering firm with 1,470 permanent staff including 850 engineers, a 165M€ annual turnover and is today a leading partner in the execution of all types of engineering projects, able to provide services which add value in a sustainable manner. Established in 1957, Ingérop International Consultants is a holding based in Mauritius operating in the whole sub-Saharan African continent and abroad with its main subsidiaries being: Ingérop South Africa, Ingérop Projects, Ingérop Mozambique, Ingérop Senegal, Ingérop Botswana and Democritus International. Ingérop International Consultants is a multidisciplinary consulting engineering firm, with its main sectors of activity being: Sectors of Activity Applications · Water and Energy · Mines · Infrastructures and Services · Urban Development · Built Environment · Municipal, Regional and National infrastructure · Industrial (Process & Utilities) · Public Works · Transport and Rail · Strategic Planning · Environment and Socio-Economic Studies The disciplines are Project Management, Architecture, Civil and Structural Engineering, Mechanical and Electrical Engineering, in-house Quantity Surveying and Specialist Studies. Our range of services include consulting and feasibility studies on any subject relevant to our disciplines, turnkey assistance to owners, design and construction supervision, as well as commissioning of works on major projects.
The dam’s original construction plan had involved South Africa in an agreement that decreed Portugal would build and operate a hydroelectric generating station at Cahora Bassa as well as a high-voltage direct current (HVDC) transmission system delivering electricity to the border of South Africa. As the civil war came to an end, HCB selected South African organisation Trans-Africa Projects (TAP) to carry out construction management, quality assurance and design support service for the rehabilitation of the project. Restoration work began in August 1995 but was hampered by the combination of difficult terrain and areas populated with live land mines, while heavy rainfalls also impacted the programme to restore power lines.
Today, the Hydropower scheme that HCB operates on the Zambezi River contains five 415-megawatt turbines, with most of the electricity generated at Cahora Bassa being sold to the South African Utility company Eskom. Since control of Cahora Bassa was handed over to the Mozambican state, the company has contributed almost $100 million to Mozambique’s state revenues. END www.southafricamag.com 91
The Nutcracker? SWeeT!
South Africa’s macadamia industry is a major world force. Jill whyte, co-founder of Green farms, tells us more about the nut, it’s health benefits and how it is helping local communities. By Ian Armitage
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Green farms fOcus FOOD & AgrIcuLture
M
acadamias are tricky to grow. You’re looking at five to seven years before a macadamia tree produces nuts and then, when they do fruit, the nuts are rock hard – damned near impossible to crack. They’re so hard that it will break domestic nutcrackers. Cracking them actually requires cracking factories. Alan and Jill Whyte recognised this opportunity. The Whytes’ are prodigious macadamia producers. They first started growing and exporting them in the early 70s. They also co-own three cracking factories, operating as Green Farms Nut Company. “Our factories are situated in Hazyview in Mpumalanga, Levubu near Louis Trichardt in the Limpopo Province and Ramsgate in KwaZulu-Natal. We also have an association with production facilities in Malawi and in Tzaneen,” says Jill Whyte. “Macadamia’s are challenging for a number of reasons. One obstacle is harvesting, which takes place in late autumn to spring. Harvesting is typically done by hand and pickers have to wait until ripe nuts fall to the floor. You can’t use mechanised shaking machines as the nuts mature on the tree and ripen at different rates. So first the macadamia nuts are husked and then air-dried in the shade for at least two weeks to reduce the moisture content and allow the natural oil to develop. Once the nuts are in the cracking factory, the challenge is getting them out whole. We careful dry them at 40C to further reduce the moisture content, making the shell brittle and easier to crack.” Macadamias were first introduced into South Africa in the 1960s and South Africa’s macadamia industry has since grown into a major world force, with production increasing fivefold in the last 10 years. Countrywide there are more than 1000 farmers involved in growing macadamia nuts that are supplied to 18 cracking factories, most
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Green farms fOcus FOOD & AgrIcuLture
A hard nut to crack
of which are HACCP and/or ISO 9001 accredited. The industry is export based with more than 95 percent of annual production shipped to international markets. Europe is presently the largest market, followed by the USA and Canada, Japan, Southeast Asia and the Middle East. Given the large number of young trees yet to come into production, the industry has tremendous growth and development potential. “Macadamia demand is ever increasing,” says Jill. “In Britain there is strong demand. We desperately would like to improve our offering in that market, first of all in the quality of packaging in the UK. 94
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Generally a lot of companies sell macadamias open. They have high oil content and they lose their crunch very quickly. They really do need to be treated differently from say almonds, which have a pretty hard skin - they have their own protection. “I would never ever suggest that macadamia nuts be bought in shell as you would never be able to open them and you would have to doubt the quality - if they were any good they’d be sent to a cracking factory! We have very strict protocol on intakes.” Alex Whyte, the marketing director of Green Farms and Jill’s son, supports the view, adding, “Users are
not educated as to how to treat the nut properly and packaging a nut that has a much higher oil content than other types of nuts is not a good idea.” World-renowned chef and a TV presenter Alan Coxon is one of a number of individuals that has been championing macadamias. “Studies have shown that macadamia nuts contain beneficial nutrients that cut risk of cancer and heart disease,” says Jill. “They may increase longevity and also help lower cholesterol. “Macadamias are rich in energy and have a good nutrient profile such as anti-oxidants, dietary fibre, vitamins, and minerals.”
CR CONSTRUCTION & MAINTENANCE SERVICES
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www.crconstruction.co.za CR Construction PO Box 883 Louis Trichardt 0920 E-Mail: craig@crcnet.co.za
We manufacture all types of factory machinery such as: · Drying Bins · Conveyors · Sorting Tables · Flotation Bath/Combo We also manufacture farm implements such as: · Mechanical Compost Spreader · Tandem Trailers · Grass Slashers Craig Rae Tel: 015 - 519 9562 015 - 519 9563 Cell: 072 - 262 4742 082 - 332 1315
Macadamias are sweet, creamy, crunchy, luxuriously delicious nuts and more often than not are thought of as a high-fat indulgence rather than a health food – but they are in fact healthier than you might think. Consumers take note! “There’s been a lot of negative talk about Macadamia nuts being fattening or bad for you – this simply isn’t the case.” Cereal manufacturers, she says, push the health benefits of carbohydrates to encourage us to ditch nuts and eggs (protein) in favour of their products. “It’s really all about big businesses.” China is another concern. “The big worry about China and the macadamia industry is that they want to buy nuts in shells and do the added value in China and that is a very negative thing in a sense and we could lose control of our product. They could come back and compete with us in our traditional markets like the US and Europe.” Keeping control of manufacturing is essential. Just ask the locals. Green Farms has done a lot for its communities and since 2008 has donated many thousands of rand to help local black farmers. It has also worked with Fairtrade to set up social and community initiatives for the workers on their farm such as a crèche, basic computer skills and dressmaking. “We’re very keen to help find ways of creating jobs and helping them to be a part of the industry,” Jill says. “This area has been earmarked as an ideal area for macadamia growing – why shouldn’t all farmers be a part? “The macadamia industry is still largely dominated by white farmers. 96
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When you have a macadamia orchard you have invested a lot of money to plant the trees and you have to wait seven years before you get a crop. Those kind farmers are in it for the long-term. They’re not giving up easily. That said we do have a lot of black farmers whom we have supported financially and helped finance their crops so that they can get their quality up to speed. We also have projects where we’re helping emerging farmers. We’re still helping those farmers and in the next couple of years their trees will actually start bearing the macadamias.” Whyte says the start up cost per Hectare in an orchard is around £10,000 (R120,000) – a huge amount. “It’s not an easy thing for farmers to be able to do at the drop of a hat. You’re in it for the long-term.” The future for macadamias and Green Farms Nut Company is bright. “I believe in the product because it’s got a great taste, it’s very healthy with all the positive healthy oils,” says Jill. “It’s got great premium product positioning.” Alex adds, “Generally the customers who have had the most success with macadamias are the ones that have recognised the premium image that macadamias can give their product. So the addition of macadamias as an
Green farms fOcus FOOD & AgrIcuLture
when you have a macadamia orchard you have invested a lot of money to plant the trees and you have to wait seven years before you get a crop
ingredient or as part of a mix can be used to leverage a premium image and charge a premium over and above the cost of the raw material. Despite the current high price, we have seen some customers actually increase their demand. “One of the current challenges in the industry is that there is severe excess capacity. 18 factories should be adequate for a volume twice the size of the current crop. The result is production is not nearly as efficient as it should be making current returns marginal and processing fees charged by the factories higher than they could be.” Macadamia oil presents another opportunity. “We believe that the oil is the best quality oil of all the oils,” Jill says. “It competes with olive oil in terms of health benefits and it has a fabulous taste. It can be drizzled over a salad and used any way. You can’t really fry an egg in olive oil as it leaves quite a bitter taste” enD To learn more visit www.gfnc.co.za.
Workers sorting nuts
A first choice partner in... • SANAS accredited microbiological and chemical laboratory testing services in food, feed, water and environmental samples (T0367) • Hygiene, food safety and quality services • Occupational health and safety services • Training services When you partner with us, you partner with a leading service provider in the establishment of safe and healthy living, working and recreational environments. Tel: +27 12 685 0800 l Fax: +27 12 685 0899 Email: santiee@aspirata.co.za Unit 2 Berkley Office Park, No. 8 Bauhinia Street CNR Witch Hazel Avenue Highveld Technopark Centurion, South Africa
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South Africa’s high crime rate offers opportunity for the huge number of security firms operating in the country. Don’t be fooled by the cheap rates. this is one thing you shouldn’t scrimp on. By Ian Armitage
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s the global economy tightens jobs will likely be lost in South Africa’s mining, steel and construction industries. This will potentially have a “negative impact” on crime levels. After all, “High unemployment in any society leads to an increase in crime because people need to live and feed families.” Those are the views of Sim de Wet, managing director of Stallion Security, a well-known personality and contributor in 98
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the security industry. Mr de Wet understands risk and knows that security is vital. His firm provides South Africans with top security services including guards and guarding, alarms and reaction, high-end electronic security solutions, personal protection and much more. It success has been based on two core principles: service excellence and a happy, motivated and disciplined work force.
Stallion Security focus security
“Security cannot replace short-term insurance and this must be carried over and above the presence of security in whatever form,” de Wet says. “In terms of the security industry today, there remains a big swing in the use of technology to reduce the reliance on manpower and in many instances to increase effectiveness of deployed manpower. The global economy has not yet had a direct adverse effect on crime levels but as jobs are lost in several sectors it will likely lead to an increase in crime. South Africans also live in a society in which the culture of entitlement is rife – we have an ‘I deserve’ culture. When this is not realised the temptation is to turn to crime in order to get what you want.” Johannesburg-based Stallion provides safety and security services to the likes of Sasol, First National Bank, Standard Bank and Anglo American. The last financial year was its best yet. “We’ve performed very well over the last few years with the 2011/12 financial year being our best to date since we were founded 14 years ago,” de Wet says. “As crime continues to be a problem we continue to grow. Unfortunately it means that our services are considered a grudge purchase and clients are forced to acquire them in order to secure their premises and let their space. If our police services, justice system and correctional services system were able to operate as they should, then the need for security would start to diminish. As it is, many criminals assess the risk versus return to weigh heavily in their favour. They think, what’s the chance of being caught? What will happen if I am caught? If I am prosecuted, what are the chances of a successful conviction? And then they think, if I am convicted what are the chances of getting a heavy sentence? So, in short, it is worth taking the chance of committing a crime. You have to remember though that prison is full of people who never thought they’d be caught!”
We strive for excellence, build good relationships with our clients, look after our staff
Sim De Wet
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stallion security fOcus SecurIty
The net result is that Stallion’s future is bright. “We strive for excellence, build good relationships with our clients, look after our staff, motivate them and give recognition wherever it is deserved,” de Wet says. “We have two wonderful quotes at the office: first, never look down on anyone, unless you are busy helping them up; second, respect is earned, honesty is appreciated, trust is gained and loyalty is returned.” The proliferation of security companies across the country is a concern, however. “Last count, there were 6,000 registered security companies in South Africa. Naturally all the newcomers want a bit of market share and the easiest way to do that is to commence a price war and undercut prices. I have no problem with good healthy competition as long as all the players play by all the rules and the playing field are level for all.
Altech Autopage Altech Autopage Cellular and Altech Technology Concepts have merged to form a dynamic new service provider in the Telecommunications & ICT sector, providing converged mobile and fixed line voice & data solutions to consumers, SMMEs and corporates. We are the largest independent service provider. Stallion Security is one of our valued clients. our relationship spans almost six years, in which we provide them with mobile voice and data lines, as well as Managed Network services such as APN’s (secure Access Point Network) and an MPLS (MultiProtocol Label Switching) set up. one of their challenges was that they have various branches and a head office, and they all needed to be connected. They required access to a number of systems at head office including a centralised exchange email server. Breakout to the internet and the management thereof was also required. Employees needed to be able to access office information remotely. Altech Autopage proposed the creation of a private MPLS network for Stallion Security, within our own network. The head office would be linked into this private network using a wireless circuit solution, with the branches connecting into the MPLS using ADSL links. This also included a Mail archiving solution, and a vPN solution to give employees remote access to company information. We are able help companies reduce costs and improve performance of inter-branch networking. The solution is to switch to a virtual private network (vPN) using our own network backbone. Cutting-edge technologies like MPLS help ensure a solution that is fast and secure. This service is available to any company no matter where their infrastructure is hosted. For more information, visit: www.autopage.co.za
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For a free analysis on your current communication solutions and costs, call (011) 650 8899 or email Business.Leads@Autopage.Altech.co.za and one of our key account managers will contact you.
stallion security fOcus SecurIty
SIM’S ToP SECURITY TIPS… 1. Security is always your concern. Don’t leave it to someone else 2. Be mindful of your surroundings, at all times 3. Become security conscious 4. Target hardening is a vital deterrent. Use whatever means you can 5. Use appropriate technology 6. Don’t think technology can replace manpower 7. When using security officers always weigh up quantity vs quality 8. Install suitable alarm systems and have them linked to armed response in the area 9. Confront strangers in your working environment 10. Report suspicious activities/persons to security 11. After hour lighting is a must especially perimeter lighting 12. Select your security company based on capability and not price!
“Sadly the playing field is not level. Besides bribery and corruption, which I wont embellish on, there is a lack of legal compliance by many of these companies. In this way they can afford to undercut those that are legally compliant. “However, these businesses all have limited lifespan as it is not commercially viable or sustainable to run operations of this nature for any extended period. The damage they do the industry however is immeasurable.” The industry is regulated by PSIRA. “One of the big challenges in our industry is the ability of PSIRA to properly police. This body is there to ensure that the industry conforms to and maintains certain prescribed standards and procedures. These amongst others relate to minimum wages and set working hours.” De Wet says security is both “perception and a reality.” “People want to see security and feel safe and that feeling is often just their perception. “Our vision is to become the preferred supplier of security services within the corporate and retail sectors because this is where we focus our energies, resources and attention. We realised that we cannot be all things to all people so we have specialised in these two spheres where we provide a very high level of service based on our understanding of these sectors. “What makes us different is our quality, our integrity, our transparency and our total honesty. We have a good reputation in the market in the way we run our business.” enD To learn more about Stallion visit www.stallion.co.za.
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