CEO Magazine Vol 15.2 by CEO Global Group

ceo

celebrating excellence in organisations Vol 15 No 2 - 2016

Loyalty A programme approach

HRDC Skills on tap Lifestyle

Mercedes-Benz SUVs

without BORDERS

Education Sharon Tshabalala, Executive Chair & CEO, Nano Solutions & Technologies

MUSIC SPEAKS TO MARKETS.

SOUTH AFRICA’S LEADING MUSIC MARKET DEVELOPMENT CONSULTANCY

sjn-agency.com info@sjn-agency.com

outh African Agricultur

The Organic industry is the fastest growing industry segment world-wide. World organic food sales jumped from $23 billion in 2002 to $52 billion in 2008.

current greatest limitation

WATER 638 00 people are formally employed by the agruculture sector in South Africa

South Africa

by is the word’s 13th largest

SUGAR producer and 9th largest

WINE producer

Important export groups are wine, citrus, maize, grapes, sugar, apples, pears and quinces. SA’s biggest export destination - Netherlands. SA’s largest source of agricultural imports - Argentina. SA is the world’s largest producer of Macadamia nuts and the second largest exporter of fruit in the world.

8.5 million people are directly/indirectly dependent

The population of 49 million in 2009 is expected to grow 82 million by the year 2035. Food production or imports must more than double to feed the expanding population.

SA’s population is growing at almost

on agriculture for their employment and income

2% per year

is the largest

agricultural sector in SA

South Africa’s current annual average beef consumption of about

Livestock

increased by about

6 million head

700 000t second

since the 1970’s and

now stand at near

after chicken consumption of about

1.7 million tons

SA cattle herd has

69% of SA land surface is suitable

for grazing and livestock

14 million

EDITORSNOTE

EDITOR’S note

Time to

Regroup

t has long been apparent that South Africa’s standing in the global arena is starting to wane. The reasons behind this are manifold; political ‘convulsions’ have become a regular feature of national politics and economic policy has become more rhetoric than action. The fact that the global economy is experiencing challenges whilst our major trading partners are having a re-think, regarding their own economic policies, means we have to make do with what we have. The problem is that we have not done enough to capitalise on the opportunities that the boost in the commodity cycle provided. There was too much swagger during the good years and too little effort at bringing South Africans operating on the margins of the economy into the mainstream. As the tide of economic opportunity starts to rapidly recede, it is becoming painfully obvious that many of our leaders are not able to able to cope with the challenges. There is little doubt that the time for a new perspective, where we break with current ideological approaches and take a fresh approach is now needed more than ever.

Valdi Pereira

There was too much swagger during the good years and too little effort at bringing South Africans operating on the margins of the economy into the mainstream.

CEO 2016 Vol 15.2

INSIGHTS

ThomasKonditi procures about R2bn from local suppliers. GE has a 30 person team dedicated to supporting suppliers; ranging from local production, technology, and supplier relations to finance.

“I’m a big aviation fan. Every year I attend a big air show in Wisconsin,” says Thomas Konditi, President and CEO, GE Transportation Africa and GE Africa. When he joined the company in 1993, he reckoned that the position he holds today would be awesome, but he’d try to make midway. His strengths prepare him for this role: resilience and being present in everything that he does. “Being part of the play,” he says. Thomas Konditi, President & CEO, GE Transportation Africa and GE South Africa

Innovation Brings Solutions to African Problems Innovation is everything in Konditi’s world. GE is providing African local solutions. “GE has provided innovative financing in a Kenyan hospital,” he says. “A typical project model would sell a device to a hospital. But public hospitals don’t have money. We took 100 hospitals in Kenya and concluded long-term service agreements. This includes employing local Kenyan engineers and technicians to install and maintain the equipment. Through this arrangement government pays 50% less.” Another solution involves locomotives. “We used to source everything from the US,” says Konditi. “GE is working with 26 local suppliers, with 2000 people benefitting, producing a world class product for Africans.” GE has developed a battery aptly named Durathon. “It provides ten times more power per cubic centimeter. Cell phones need a ton of power. Piloted in Kenya, a GE battery supplied tower was the only cell phone tower working during a 12 hour power outage.” On energy, Koniti shares: “GE has the biggest installed base of turbines, at 25% pre-Alstom*. After Alstom it is greater than 50%.” In Konditi’s view Africa has very sharp people, but they lack experience. “We marry GE to a talent that is super smart,” he says. Mining performance is a business area that excites Konditi. “Improving yield by 1% generates figures like 10 million dollars. We invest GE technology in the mine and it’s a winwin. With 60% of mines under rescue, it’s a great play.”

Doing the Loco-motion A merican born Konditi has high hopes for Africa. GE is among international manufacturers in a R50bn deal to provide locomotives for Transnet’s freight business. Under Konditi’s leadership GE is developing the rail industry as part of Transnet’s drive to revitalise the locomotive manufacturing industry in South Africa. “We have the same if not better quality components of product and we have lower costs to produce it – that’s the level of skill,” says Konditi. A deal of this magnitude requires attention to the small stuff. “Our transfer teams work with every supplier. More important is their role in developing suppliers to play in the world economy which is a thousand times bigger than the South African supply chain,” he shares. His bugbear is that BRICS has done ‘a ton of export’ while South Africa is waking up. Konditi confirms that GE

Focus on Thomas Konditi

“Our greatest social responsibility is building up communities,” says Konditi. In 2014 GE Launched its Kujenga Sustainability programme (kujenga means ‘build’ in Swahili) at the World Economic Forum. “GE will also launch a Customer Innovation Centre in June 2016. This will connect the big world of technology with the last mile in Africa, making it work for the village.” Konditi knows one thing for sure: ‘The universe is far too big for us to understand.’ At work his advice is this: “Know what you know and don’t know. Take the toughest jobs wherever they exist.” *

Effective 2 November 2015, GE acquired Alstom’s energy business.

CEO 2016 Vol 15.2

CONTEN STATEyourCASE 18 ATNS Executive’s presence is far reaching

FORD RANGER

20 HRDC MERCEDES BENZ SUV’S

10 THE LEADINGEDGE 08

Serial Entrepreneur, Sharon Tshabalala, shares her perspective on how technology can be used to provide opportunities for learning to all South Africans. She also gives us insight into the challenges that must be overcome and the mindset that must be employed in order to be a successful entrepreneur.

THE FLIP SIDE

Encouraging Signs of Progress in Skills Development

26 SJN Behind the Scenes with Chad Alexander

REGULARS 2 Your World Unravelled 3 Editor’s Note 5 Insights

A Trader at Heart South Africa generates almost 110 million tons of waste a year. At REDISA, this presents the type of opportunity they enjoy.

LIFE STYLE

64 40

14 On Point 40 Spotlight 42 What’s Hot or Not

SPOTLIGHT

14 ONPOINT Now that the benefits (and the fallout) of the quantitative easing approach is becoming more apparent to everyone, we take a closer look at the source of a significant inflection point in the history of finance and ponder its future impact.

8 Flip Side

80 In Conversation With

Focus on Excellence 76 Maureen Odoi Making a Stylish Impression

78 Edward Boateng

Inspired by Africa

WHAT’S HOT OR NOT

NTS LIFEstyle

GLOBAL Expand your business Horizon Publisher CEO Global (Pty) Ltd Tel: 0861 CEO MAG Fax: (012) 667 6624 Tel: 012 667 6623 info@ceomag.co.za www.ceomag.co.za Chief Executive Annelize Wepener annelizew@ceomag.co.za Director: Strategic Development & Editor in Chief Valdi Pereira valdip@ceomag.co.za Director: Corporate & Financial Services Carl Wepener carlw@ceomag.co.za

56 Angel’s Place Boutique Guest House

64 Township Travel

A heavenly experience

Out and about in Soweto

General Manager: Global Services George Wepener georgew@ceomag.co.za

58 One night in Bangkok

67 Mercedes-Benz SUVs

Thailand experience

n Excellence in the Namib Desert

General Manager: Global Media Services Channette Raath channetter@ceomag.co.za

60 The artist’s way

72 Ford Ranger

It’s hard work

Smart & not kind of tough, it is tough!

Continental Manager: Human Capital & Corporate Services Abrie van Aarde abriea@ceomag.co.za Manager: Business Development – SADC South Bruce Nimmerhoudt brucen@ceomag.co.za Manager: Office of the Chief Executive Nadine Aylward nadinea@ceomag.co.za

62 SJN Bongi Reflects on Becoming a Soul Sister

Team Leader: Continental Programmes Pule Mahodi pulem@ceomag.co.za Continental Project Administrators Sylvia Houinsou sylviah@ceomag.co.za

SUPPLYworks

Rumbi Chanda rumbic@ceomag.co.za Journalist Samantha Barnes samanthab@ceomag.co.za

28 Building a successful BI strategy BI must underpin business objectives

Manager: Corporate Support Raymond Mauelele raymondm@ceomag.co.za

30 Outsourcing versus insourcing, trust innovation to the experts

Client Development Administrators Winston Williams winstonw@ceomag.co.za

Weigh your options

Client Liaison Officer Cobus Kramer cobusk@ceomag.co.za

32 Five top recommendations for Agile Data Recovery Risks Structure follows form

34 Focus on external threats has turned the endpoint into a security blind spot

Receptionist Wilheminah Nchwe wilheminahn@ceomag.co.za Office Assistant Minah Mahlangu minahm@ceomag.co.za Security Guard George Mbana

Risks can be under your nose

36 SA loyalty programmes missing a trick Huge opportunities exist

38 SURVIVAL TIPS FOR MANAGERS keep moving forward

INtheKNOW

49 Hello! Hey There

44 Fashion House

52 What time is it now?

Fashion House is a force for change

46 Clover Outsmarting the competition

Want to shake my hand

* No article or part of an article may be reproduced or transmitted in any form without the prior written permission of the publisher. The information provided and opinions expressed in this publication are provided in good faith but do not necessarily represent the opinions of the publisher or editor. All reasonable efforts have been made to ensure the accuracy of the information contained in this publication. However, neither the publisher nor the editor can be held legally liable in any way for damages of any kind whatsoever arising directly or indirectly from any facts or information provided or omitted in these pages, or from any statements made in or withheld by this publication.

Decision time!

54 Nashua Orson Welles would be proud CEO 2016 Vol 15.2

FLIPSIDE

AIG reports that nearly 14% of deals covered by M&A insurance result in a claim. The source of disquiet appears to be financial statement misrepresentation 28%, tax errors 13% and discrepancies on contracts 11%. EMEA has the lowest claims rate but claims tend to be far more severe that in other regions. Clearly, the devil is in the details

Detail and yet more

Detail Go SA! According to the 2015 Africa Investment Report (published late last year), Foreign Direct Investment to Africa increased by 64% to US87 billion confirming the growth of multinationals and South African companies within the continent. In total, 464 companies invested in the region in 2014. South African companies were the top job creators for intra-African investment at 6964 jobs. Hopefully this will give Nigeria something to think aboutâ&#x20AC;Ś

Before you get too excited, this is in fact the re-emergence of the servant leader. Most companies now have as many as four generations working together in teams and according to certain business thinkers this is a clear indication that command-and-control leadership is out. High-performance teams are going to be built around those who look to enable the full potential of individuals.

The Return of the Servant 08

CEO 2016 Vol 15.2

FLIPSIDE

AppleWedgie? You simply can’t keep them out of the news. In our previous edition we reported on Apple’s smooth moves in China. In this edition, we report that something has clearly started to chafe. The tussle with the USA authorities over phone encryption and the news that iPhone sales were down 4.4% in the last quarter of 2015, clearly presents some challenges for the firm. It is hardly the beginning of the end though; our friends at Gartner point out that despite the slower last quarter growth, Apple has closed the market share gap on Samsung during 2015.

Another

Brick in the Wall

It was only a matter of time, the increased corporatisation (and let’s face it monetisation) of school education has finally created a situation where the Institute of Directors in Southern Africa and the Federation of Governing Bodies of South African Schools have drafted a school governance guide. Aimed at school governing bodies and designed to guide them in ethical conduct in their decision making the guide will be available at Juta. Interestingly, despite our view that privatisation of education is bringing with it unique governance situations (one only needs to look at some of the challenges in the USA) the guide appears squarely aimed at public schools. No doubt time will tell if it gets a pass mark.

CEO 2016 Vol 15.2

LEADINGEDGE - Nano Solutions and Technologies

Educat by Samantha Barnes

Sharon Tshabalala, Executive Chair & CEO, Nano Solutions & Technologies

LEADINGEDGE - Nano Solutions and Technologies

Sharon Tshabalala could be termed a revolutionary. Not in the sense of clenched fists and political slogans. Her company is a change agent within education and learning - whether we are talking about school children or people in the workplace - living in the cities or out in the sticks. Her target market is inclusive: covering different ages, occupations and social strata. The impact of her education and technology company’s E-learning and free Wi-Fi services are measurable and powerful: for many reasons.

erial entrepreneur, Sharon Tshabalala, is a formidable force in the best sense of the word. “I’m the type who takes risks,” she says. Her frustration over learners having unequal access to education 21 years after the advent of democracy is the impetus behind her latest venture, Nano Solutions and Technologies. The thinking behind it is combining the best of two worlds: technology and education. Marrying the Two Her starting point is Wi-Fi access. “Do we have the ability to make Wi-Fi accessible to every Tom, Dick and Sharon? In some cases Sharon may not be a middle class person, but the poorest of the poor. There should be a creative way of making Wi-Fi accessible without people having to even pop a cent for it,” says Tshabalala. Her second focus is on education. “Technology has advanced this much!” says Tshabalala, her enthusiasm indicating a large extent. “It does not make sense that education is not linked to technology. The Department of Education is spearheading the process of rolling out e-learning and tablets. We believe it is a stepping stone. So education is accessible to any child regardless of how remote their location.

The two have to talk to one another through WiFi. Our ICT comes with a bit of a twist. Undoubtedly as entrepreneurs we want to make money. But solving the bigger problem of access to information for most of our population is our priority.” A Dilemma and a Solution Tshabalala is a teacher by profession. Seeing her 18 year old nephew without access to things that limit him education - wise is a problem to her. “The teacher in me − even though I never taught − still has strong fire inside. It says the only way to correct the injustices and the inequalities that we are facing, is making sure that the masses − who have become burdensome to the fiscus − get access to something that brings them up to a certain level.” They need this access to information to help them make decisions which can turn their lives around. In her view “this is what has created economic imbalances: people do not have access to technology.” Tshabalala illustrates the challenge in practical terms. “My mother is a farmer. My husband and I get plants from her. The guy that works for my mother says, ‘You must not use this manure for this plant, rather use this other one’. “He does not realise that he is a horticulturist in waiting. He did not finish matric. What he sees is just a person who can do gardens for elderly ladies. He does not know that as he speaks right now, this is what institutions like the Union Building and others who care so much about their gardening image needs! That knowledge; so their flowers and plants flourish. Until people have access to information they will not realise their full potential.” Proving Detractors Wrong When Tshabalala started Nana Solutions and Technologies three years ago the same criticism was repeatedly levelled at her. ‘How do you know that the people you are targeting

tion Borders without

CEO 2016 Vol 15.2

LEADINGEDGE - Nano Solutions and Technologies

will catch up to the pace that you are wanting them to?’ Tshabalala set out to prove that Wi-Fi will work in rural communities and ran a pilot project in late 2014. “This was the focal point from the beginning, because my nephew lives in a village does not mean he is unaware of technological advances.” At the same time she needed to strike a balance, it being a business initiative. When Tshabalala was criticised for not starting with suburbia before rolling out to rural communities, she proved that rural communities were ready by asking herself a simple question. “What was critical was, if you look at any child, is how they get to Facebook? With the little data they have, they have figured out how to be on Facebook. But they have limited resources to exploit.” Reaching the Masses Nano Solutions and Technologies derives its name from Nano, which is short for a Tsonga name ‘Ntwanano’ meaning ‘unity’. The company’s e-learning service is rolled out via its subsidiary, Perfecting Educational Output, commonly referred to as PEO. The e-learning platform was launched at four public schools as a pilot. “Our strategy is to do the Shaka Zulu attack: go from the outside to the inside,” explains Tshabalala. “When you go to rural communities, you can’t go with an either or approach. You can just go in with Wi-Fi, but then you are falling behind. The essence of why we got into this technology is the information and education part.” PEO was born out of a business proposition from newly graduated software developers. “Two young, handsome young men Thomas Maseko and Rorisang Molukanele came up with

CEO 2016 Vol 15.2

this not so smart invention in the restaurant trade. I told them ‘if you give me a creative solution in education, safety and security or in health, we can start talking,” says Tshabalala. “They returned a week later with an unpolished idea to establish an e-learning platform. I said ‘Now you are talking my language! This is how I want it done’. It was exactly a stepping stone to what I knew I wanted. I funded it and gave it a name,” she recalls. Tshabalala didn’t want to outsource resources, she wanted them onsite. She told the aspiring developers to move into her office, giving them a 3 week deadline to come up with the goods. “I was beyond impressed!” says Tshabalala. “In essence here were these two hungry young black men. If somebody does not stretch themselves, extend their hand and say, ‘I will hold you, because you are that good, we would not be here.” Being an entrepreneur, Tshabalala admired their willingness to put themselves out there and create an opportunity for themselves rather than wait for an employment opportunity. “Until people know that these kinds of things can be done, they will get their qualifications, go back to their rural home and hope that some newspaper will come with 100 pages of jobs,” she explains. First in Africa Tshabalala could see the merits of providing free Wi-Fi to hospitals. Rather than approach a public hospital cap in hand, she took an entrepreneurial stance. She approached Steve Biko Academic Hospital and asked whether they would be interested being provided with free Wi-Fi service. The answer was a resounding yes.

LEADINGEDGE - Nano Solutions and Technologies

She established infrastructure, and secured finance before approaching advertisers to come on board. Steve Biko Academic Hospital became the first public hospital in Africa to offer a free Wi-Fi service. Nano Solutions and Technologies also provides free Wi-Fi services to Dr George Mukhari Academic Hospital and to Thembisa Hospital. The real power lies in the fact that content is measurable and relevant to the communities which the advertisers are targeting. “A doctor servicing three villages just wants to appeal to those communities,” says Tshabalala. “Most of the businesses that I started had technology as a common theme at the centre of them. I don’t know why I didn’t realise it before - it was a case of being in the right place at the right time.” Ironically the importance of technology in Tshabalala’s various business ventures dawned on her before she realised how advanced technology was starting to become. “My first initiative which I started in 2004, had technology at its centre, although it was in a totally different sector, being logistics. The differentiator was what today another entrepreneur launched as Uber. The centre was technology. I always say I was 10 years early.” Tshabalala launched the first professional meter taxi service. It was a joint venture between her company and The Automobile Association. Experiential Learning “E-learning takes away one of the biggest hurdles of the cost of education, which is transport costs,” says Tshabalala. The power and reach of e-learning is phenomenal. “A school may have 10 matriculants achieving A and B symbols for mathematics. But the same school cannot produce the same results among its learners for science, because they don’t have a teacher at that level of competency. Introduce an interactive e-learning platform like PEO and the learners have access to an excellent science teacher elsewhere.”

Tshabalala emphasises that the e-learning platform PEO will always take the simplest and longest route to explaining something. The reasoning behind this is that learners who grasp concepts more quickly or slower than each other will all ultimately understand the learning material. Assert Yourself Tshabalala recognises the value of time: both her own and others. When people came to her from all over the country with all sorts of proposals to link to her wifi hotspots, some of them entirely ill-suited to her business proposition, she was upfront. “I told them it wasn’t right and I would cut the meeting short. They don’t realise that you are respecting their time. The moment that you come to that realisation and are serious about your intentions you attract the right people who are a good match.” She comes from a family of teachers. Studying to become a teacher was non-negotiable. “After I got a teacher’s diploma, my mom said, ‘Okay now I have got money for you to go play’ so I completed a BCom through UNISA.” Her first job was in the finance division of Vodacom. Tshabalala enjoyed the stimulating environment and started reading a lot more. Excited by developments in the Public Investment Commission, now known as the Public Investment Corperation, she landed a position in a special purpose vehicle recovery unit within their finance division. “I hunted them down for this opportunity,” she recalls. “It was 2000. Women were starting own ventures for example WIPHOLD (Women’s Investment Portfolio Holdings) companies. I knew I wanted to be in that space.” Tshabalala completed a diploma in Investment Analysis and Portfolio Management to enhance her skills. Now with almost 100 Wi-Fi hotspots in organisations and in places where other people hadn’t seen the gap, Tshalabala is proof of the saying ‘Carpe Diem’ (Seize the day). She is wasting no time in her quest to provide equal access to education through technology.

CEO 2016 Vol 15.2

ONPOINT

Many of us find that our brains switch off the moment economists opens their mouths and release jargon into the atmosphere. Itâ&#x20AC;&#x2122;s only months later that we are surprised when suddenly the petrol price goes up or house prices fall. This guide should help you understand two scary-sounding concepts a little better.

Become a Dinner-table Expert on

Quantitative Easing

& Deflation by Leigh Schaller

CEO 2016 Vol 15.2

ONPOINT

Quantitative Easing (QE) Should really be called Creating money out of nothing at all. You have probably heard of it from A discussion or article about the United States (US) economy and what their Federal Reserve (more or less the equivalent of the South African Reserve Bank) is doing to expand their economy. How it works Ever wished you could (legally) print money and then buy whatever you want? Well that’s sort of what the US government has been doing. Except, in the digital age, it doesn’t need to actually print the money for it to exist, and, instead of buying cool stuff like a Porsche or an overseas holiday, it buys financial instruments like bonds. Or said more formally, QE happens when a central bank creates money and then uses that money to finance financial instruments, usually government bonds. What does this accomplish? Well, the idea is that people (or institutions) who owned the bonds now have money to spend elsewhere. If they actually spend the money, it will, as the economists so often say, ‘stimulate the economy’. In other words, more stuff will be sold and so businesses will have more money and will then pay their workers more and employ more people, who, in turn, will have more money to spend, thereby creating a virtuous circle. “It is called ‘quantitative’ easing since it uses the quantity of money to affect prices,” explains Rashad Cassim, head of the research department at the South African Reserve Bank. (Prices go up because there is the same amount of goods, but more demand for them.) “Conventionally, a central bank uses the overnight interest rate (repo rate in South Africa’s case) to stimulate the economy when demand slows down. But when this reaches zero, as we saw following the financial crisis, that tool becomes ineffective,” says Rashad. Why it’s controversial Well, some economists are worried that QE doesn’t work. What’s worse is that it could be dangerous. “Detractors argue that it didn’t achieve its main objective of providing credit to consumers or deal with the root cause

of the financial crisis. Rather, it just introduced an environment to breed the next major crisis by mispricing certain assets and risk; in others words, creating a bubble in the stock market,” Rashad explains. Stated otherwise, if the money that government has created to buy assets is used to buy shares instead of pay workers more or buy houses, it could mean that share prices will go up (thanks to more people wanting shares) even though companies haven’t been doing better. Bubbles like this tend to have really bad effects on the economy when they burst. On the upside, QE supporters argue that the masses of money that the US government has created has maintained spending in the economy and, while stuff hasn’t gotten more expensive, it hasn’t gotten cheaper (see deflation below) either. Why you should care “I’m sure you have heard the saying that, when the US sneezes, the world catches a cold. “In the integrated world we live in, it’s important that major economies do well, leading to more demand for African goods and services as well as investment in Africa. This means jobs for our people, rising income to improve our standards of living, and wealth creation to drive future investment. “The logic is that, if QE plays a role in improving global economic growth, this is good for the African continent, as we rely very heavily on global growth to stimulate domestic growth,” says Rashad. An upside for South Africa over the last few years has been that people and institutions in the US have used the money they received from the US, to invest in Africa (foreign direct investment). This helps to fund businesses and create jobs in Africa. The problem is that, as the US government has stopped using QE, there is less money to invest in Africa. This means that there is less need for Americans to buy African currencies like the rand. With less need for the rand, it becomes cheaper. That is partially why two years ago 1 USD bought you R9, but, in May 2015, 1 USD would get you only R12. A weaker rand means that South Africans have not been able to enjoy cheaper global oil prices, as petrol is still expensive to buy thanks to a weaker rand.

CEO 2016 Vol 15.2

Deflation Should really be called When goods get cheaper or money become more expensive. You have probably heard of it from A discussion about what is happening in Europe and Japan. How it works Chances are your parents or grandparents have told you that, when they were your age, R1 could buy them a dinner, movie tickets, chocolate and a can of Coke. The reason it no longer does is that we usually live in an inflationary world where stuff becomes more expensive. “If people keep on borrowing money, and banks keep on lending out money, the result of that is what we call an increase in the money supply of an economy,” explains Dawie Roodt, chief economist at the Efficient Group. “You and I and banks, together, create more money in the economy.” “If we keep on borrowing more and more money, and there is a lot of optimism in the economy, then we increase the money in circulation. Prices for stuff goes up – that’s inflation.” When deflation takes place, the complete opposite occurs. It is a bit like El Nino – it doesn’t happen often, but, when it does, it ‘stuffs everything up’. “When people don’t want to borrow money and there is a general negative feeling in the economy, then there is less money creation. When there is less money creation, the value of money won’t fall, it will go up. And that is what’s happening in certain European countries and Japan at the moment,” explains Dawie. Hang in there, this is where it gets tricky. There is a second reason why deflation occurs. “In an ideal world, the price of goods, whether it be of bread or cars, will only increase if the supply of those goods changes. (There is a bad harvest, therefore less bread, therefore bread is more expensive.) Unfortunately, this is not an ideal world we live in. We have the supply of and demand for motorcars changing, and, at the same time, the value of what we measure those things in, which we can call money, also goes up and down,” Dawie says. “That really complicates the whole thing. That really confuses just about everybody; it’s bad for the economy because it makes it difficult to determine if the price of cars actually went up, or if it is just because money went down in value.”

CEO 2016 Vol 15.2

Why it’s controversial “Money is not only the stuff we have in our pockets; it is also the stuff we owe to the bank. Now, in an inflationary environment (the way stuff usually works), what I owe to the bank becomes less valuable. But, if I owe money, and we are living in a deflationary environment, then the money I owe to the bank actually increases in value. And that is deflation, which is bad, because it pushes up debt.” Another reason given by economists as to why deflation is bad is that it causes people to stop spending. If you know that a car is going to cost less next month, you are going to delay buying one. But next month, you find that the car might be cheaper the month thereafter. This causes people to stop buying things, which leads to businesses not receiving money and then not having money to pay workers. However, Dawie notes that this is only true for some goods, as you are still going to buy goods like bread when you need it, regardless of tomorrow’s price. Some point out that we have been dealing with deflation for years without it becoming a catastrophe. Computers and cellphones have been getting cheaper for years, yet the sector still thrives. Why you should care “There is an impact on the everyday person in Africa. For example, if they experience deflation in Euroland, then the Euro’s value goes up as I explained. If the Euro’s value goes up, then the rand loses against the Euro. The rand becomes weaker against the Euro because we have inflation and they have deflation. “We are dependent on many things that we import from Europe. Specifically from Germany, we are dependent on certain machinery that we import and those things become more expensive for Africans, which will lead to even more inflationary pressures,” says Dawie. Africa is a huge place, and the effects could vary from country to country, depending on the amount of goods that they sell to Europe versus the amount of goods a country buys from Europe. Countries that export more to Europe than they import from Europe may receive more money because the Euro is stronger. And that, in a nutshell, is what QE and deflation are all about!

Contact Details Tel: 011 018 5500 Fax: 011 018 5587 Website: www.nda.org.za

STATEYOURCASE - ATNS

Executive’s presence

is far reaching by Samantha Barnes

Who would have guessed that a young technical whizz - newly appointed in 2001 from Durban to the Johannesburg office of a parastatal - would rise to lead the organisation into an income generating success story? Enter Thabani Mthiyane, chief executive officer, Air Traffic Navigational Services (ATNS). Fifteen years later, he is as passionate about working for ATNS as the day he started.

Thabani Mthiyane, Chief Executive Officer, ATNS

habani Mthiyane’s special brand of business acumen, phenomenal people skills and his ability to generate additional income streams has not gone unnoticed. ATNS has been turned around since his appointment as chief executive officer in 2013. In 2015 The Department of Transport conferred the honour of First Runner Up: Chief Executive Officer on Mthiyane. He has the attributes of an influential leader: unwavering determination to make a positive contribution, coupled with a higher than average dose of wisdom. Generating a New Income Stream ATNS’ total assets, as of 31 March 2015, stand at R1 123 068 217 (excluding cash on hand), as per audited Annual Financial Statements (AFS). “We are doing very well, but we need to do more to be sustainable,” says Mthiyane. “ATNS has grown from 300 people in 1993 to over 1100 and created 700 quality jobs.”

STATEYOURCASE - ATNS

“We borrow money and we go to the banks,” says Mthiyane. This is a rare achievement as a parastatal. ATNS has changed from being a parastatal entirely funded by the taxpayer, to an entity which is generating additional income steams through its own initiative. Mthiyane explains that 55% of the workload in terms of air traffic movement is generated from smaller aircraft (below 2500 kilograms). In terms of current aviation law these aircraft are not obliged to pay a levy towards ATNS. “This is an area of concern for ATNS - such aircraft are flying for free in our airspace. We are managing our airspace for all users. The user pays principle should apply,” explains Mthiyane. The situation is compounded by smaller aircraft owners refusing to equip their aircraft with more expensive transformers to enable communication with ATNS. This would be a negligible investment in the region of R10 000. “If they are not equipped, I can’t see them,” explains Mthiyane. ATNS is working with the aviation industry across the African continent to improve safety standards. “There is no surveillance in the Democratic Republic of Congo. Yet we have a number of aircraft travelling over that airspace to and from Europe. ATNS has an agreement with a US company Aireon whereby they will provide 72 satellites in the area. They will attach a receiver so that aircraft can talk to satellites in space instead of us going the traditional route of antennas on the ground,” explains Mthiyane. “We need to protect the route to and from Africa,” says Mthiyane. This includes countries falling within the SADC region as well as north east Africa. ATNS has agreements with International Air Transport Association (IATA) whereby it collects money before it goes to the state concerned. Meeting Global Expectations as a Global Business “We are a global business. Our customers have global expectations. A man from Heathrow Airport requires the same service from South Africa. With the world moving to automation how do we fulfill our mandate to government while meeting global expectations?” asks Mthiyane. In April 2016 ATNS is launching a subsidiary, ATNS International. “We are changing our focus beyond serving nine Airports Company of South Africa (ACSA) airports. They are regulated and represent a monopoly. We will achieve competitive advantage as a parastatal by serving 21 airports in South Africa.” Contracts were renegotiated with airports not falling under ACSA control, with only one airport falling by the wayside. ATNS also has contracts with Namibia and Lesotho as well as preferred suppliers.

ATNS is working with the aviation industry across the African continent to improve safety standards.

“In 2009 we decided to move into other markets,” says Mthiyane. “If we cannot grow the market and operational costs are going up, then we must expand our market,” says Mthiyane. Since then ATNS generates income from providing telephony services for aviation in north east Africa. Flagship Projects to Develop Maths and Science “Developing maths and science skills at a schools level, dovetails with our existing corporate social responsibility (CSI) project to partner with rural schools to supply full ICT infrastructure. Our ICT project includes an agreement with the Department of Basic Education. We are targeting those students who have achieved a specified mark in maths and science,” says Mthiyane. Among ATNS corporate social responsibility initiatives are paying for the salaries of maths and science teachers at rural schools that the ATNS is partnering with. Supporting the development of learners with maths and science potential creates a skills pool for ATNS. Meet and Greet Mthiyane takes the time to greet individual staff on a regular basis. “We are very conscious of the importance of maintaining staff morale. Of our 1000 plus staff about 650 works in air traffic and talk to clients on a daily basis. If we have an unhappy crew we have an unhappy client.” The ATNS executive team has each adopted an airport which they interact with. ATNS has invested in a video conference facility. “It promotes learning from each other,” says Mthiyane. This morning Mthiyane’s voice is taking strain. He has gone through his office building and greeted 200 staff individually. Many business leaders could learn from his approach: leading boldly while retaining the common touch.

CEO 2016 Vol 15.2

Skills on Tap STATEYOURCASE - HRDC

by Samantha Barnes

Dr Blade Nzimande, Minister of Higher Education and Training

CEO 2016 Vol 15.2

STATEYOURCASE - HRDC

“The key challenge is to begin to address the shortage of skills, scarce skills in artisans almost across all disciplines in the trades,” said Minister of Higher Education and Training, Dr Blade Nzimande, at the Human Resource Development Council (HRDC) Summit held in Johannesburg in March 2014. Today, almost two years later, this remains one of the biggest challenges facing South Africa’s development and the HRDC.

nother key challenge that Minister Nzimande is urging be addressed is training people for a specific skill. As head of the South African Communist Party he would support this as a priority in going some way to address the income gaps between labour and capital. The HRDC can go some way to addressing this. Established in March 2010, the HRDC focuses on South Africa’s human resource development needs and the implementation of the Human Resource Development Strategy. It draws its stakeholders from government, business, organised labour, academia and civil society.

Improving Our Lot According to Minister Nzimande the ultimate goal of the HRDC is to address bottlenecks in the development of human resources in South Africa. “The HRDC is of particular significance to our country as it seeks to contribute to some of our most stubborn social economic problems; poverty, inequality and unemployment,” says Minister Nzimande. “My Department, the Department of Higher Education and Training (DHET), is responsible for the HRDC Secretariat. “Since its inception in 2010, the HRDC has produced a Human Resource Development Strategy for South Africa, 2010 to 2030, in line with the National Development Plan,” says Minister Nzimande. The strategy emphasises the need for a national scarce skills list which is aligned to the country’s social and economic priority goals. Occupations in Demand In May 2014 Minister Nzimande gazetted the National Scarce Skills List: Top 100 Occupations in Demand, calling for comments from interested parties. Electrical engineers are listed first, followed by civil engineers and mechanical engineers. The strategy hopes to improve skills in every occupation. It will annually target 1.2 million workers for certified on-the-job skills improvement programmes. Speeding up Progress South Africa needs a focused effort by relevant stakeholders to improve access to training and to train for

scarce skills in greater numbers. “The HRDC has adopted a five point plan, aimed at ensuring and strengthening access to TVET colleges, foundational learning and worker education; at producing a skilled work force with specific reference to artisans; at producing academics; and at creating stronger industry partnerships,” says Minister Nzimande. The HRDC has established ten technical task teams whose job is to identify blockages where they exist. Robust debate is likely to be the order of the day. The task teams include Worker Education, TVET Colleges, Entrepreneurship and Artisan Development. The Council is also developing partnerships with different stakeholders to pursue human resource development. Minister Nzimande confirms that there are partnerships with the South African Maritime Safety Authority (SAMSA), the International Network on Innovative Apprenticeship, the Public Sector for Trainers’ Forum (PSTF), the National Skills Authority and the Department of Higher Education and Training (DHET).

Top 10 Scarce Skills in South Africa 1. Electrical Engineer 2. Civil Engineer 3. Mechanical Engineer 4. Quantity Surveyor 5. Programme or Project Manager 6. Finance Manager 7. Physical and Engineering Science Technicians 8. Industrial and Production Engineers 9. Electrician 10. Chemical Engineer

Financing Higher Education At the COSATU Annual Congress held in October 2015, Minister Nzimande urged - as head of the South African Communist Party – for a push for the private sector to finance higher education as part of its financial sector campaign. Nzimande has come under pressure from the #feesmustfall movement, which has accused him of failing to ensure that there is free education for all in South Africa. While the #feesmust fall movement is in its early stages, the HRDC is well established. This will hopefully give the stakeholders within the Council the wisdom needed to make well deliberated, all-inclusive decisions. These need to be sustainable and realistic, while improving the skills base in our country. Sources: www.dhet.gov.za; www.infrastructure.ws; www.mg.co.za

CEO 2016 Vol 15.2

STATEYOURCASE - HRDC

Development of

Nolitha Fakude doesn’t waste time on pleasantries. She declines the offer of tea from her personal assistant. By day she is executive director of Sasol Limited, a title she has held since 2005. Her career spans portfolios in human resource management, corporate affairs, transformation and empowerment. She has received several awards, among them: The 20 most Influential Businesswoman for 2004, an honour bestowed by the Financial Mail.

ot one to do things in half measures, Fakude has served on the board of the Human Resource Development Council since its inception in 2010. “I like feeling I’m part of a bigger picture,” she reasons. “The private and public sectors and the social partners each look at the situation – outside the box – in terms of a framework for human potential.” The board does not address one aspect, but the whole value chain of human development. Unlocking the Potential of the Country Fakude’s commitment to unlocking the human potential in South Africa and the economy is the reason behind her making the time to serve on the HRDC board. Priority areas are early childhood development, improving science and maths results, and the development of a green and maritime economy. “With education and a focus on the right skills, our economy will grow at the rate it needs to,” she says. “Education is the key to getting a job in areas where we are not currently skilled up. There needs to be partnerships between higher education and industry. It doesn’t help to develop a skill that industry doesn’t need and on the other hand, to have education feeling that industry doesn’t support them, especially when industry contributes a skills development levy. The HRDC is driving initiatives where industry partners with a faculty at a Technical Vocation Education Training (TVET) College. Sasolburg TVET College is working with industry to produce chemical engineers and welders. “Being a welder is a mobile skill that you can use everywhere and you can share the skill with other companies.” Internships Sparked Debate “The HRDC spent two years within Nedlac defining respective responsibilities for the graduate and for industry. We raised questions like can the intern be a member of a union? What should be the ratio between a supervisor and an intern? This is critical, for example where there are scarce skills you would need a ratio of 1:5.” Fakude maintains the view that any South African can contribute towards education whether it’s at primary school or

CEO 2016 Vol 15.2

Nolitha Fakude, Executive Director, Sasol Limited and on HRDC Board

Human Potential is her Vocation

higher education level. Industry can offer internships and in service training while parents can support parent teachers’ associations. Entrepreneurship has received attention. “The HRDC has motivated that entrepreneurship be part of the school curriculum from as early as grade 8,” says Fakude. Interventions by the HRDC The HRDC is driving various interventions within education. “The National Education Collaboration Trust is a typical example of an outcome which is focused on basic education delivering outcomes at line function level. We look at the different provinces and see where the challenges are. So in one province it may mean sorting out logistics so that school books are delivered on time. The Council is also looking at building the capacity of regional managers.” A holistic approach is taken. “The HRDC looked at education from the cradle to work and beyond work, as there is lifelong learning,” explains Fakude. “A child’s progress in life would be seen in context within that life cycle. This incorporates multiple issues. When we saw a child-headed household not eligible for a child care grant because they were 18 years, the eligibility age for the grant was extended. There is collaboration within and across parties and policy makers.” The HRDC is starting to see policies becoming aligned, which is translated into execution. “Collaboration between community colleges and the private sector is very important,” Fakude reflects. All those serving on the board of the HRDC commit their time and expertise voluntarily. We thank them for their commitment to improving South Africa’s skills base and increasing the opportunities to access skilled employment.

STATEYOURCASE - HRDC

Encouraging Signs of Progress in

Skills Development Brenda Ntombela, Head: HRDC Secretariat

The Human Resource Development Council (HRDC) was established by government six years ago. Its mandate is to address skills shortages across the value chain. This embraces challenges from preschool level right up to lifelong learning for adults well into their career. Brenda Ntombela heads up the secretariat of the HRDC and reports to the Minister of Higher Education and Training. Her job is ensuring that government, organised business and organised labour address South Africa’s skills challenge effectively. There are signs of encouraging progress.

n any discussion around skills development business acts as a barometer of the skills readily available or in short supply. Brenda Ntombela, head, of the HRDC secretariat shares the Council’s initial starting point. Worker education focuses on empowering workers, especially shop stewards. One of the Technical Task Teams of Council was handling the issue of Worker Education. The Task Team recommended three pillars, as a framework in the training of workers. One pillar is Vocational Training for Workers. The second pillar recommends that workers be educated at a degree level with regard to Industrial Relations (Industrial Psychology/Sociology). It is equally important that employees understand their rights in terms of legislation, this is the third and final pillar. ‘Following the recommendations from this Technical Task Team, Council has

established a Worker Education Committee. This committee is composed of the Federation of Unions of South Africa (Fedusa), the Congress of South African Trade Unions (Cosatu), the labour institute known as Ditsela and the National Council of Trade Unions (Nactu). “All these bodies are under one roof, deliberating on the issues of workers,” says Ntombela. Innovation at the Heart of Skills Development The Council logo recommends ‘Partnering to innovatively develop South Africa’s human potential.’ “Partnering is very close to the heart of the honorable Cyril Ramaphosa, the Deputy President of the country, who is also the Chairperson of Council,” says Ntombela. “He believes that whatever gets done to develop skills, should be done in partnerships between business and higher education institutions and colleges.” Innovation and thinking out the box are encouraged. “Instead of hierarchy and red tape we want to see business working hand in hand with a TVET college,” Ntombela explains. “Adopt a College concept encourages any business to adopt a college in order to improve the quality of outcomes or improve infrastructure for that college, for example. There are several models of adoption.” Higher levels of Educational Attainment South Africa does not have sufficient people who are educated at masters and doctoral levels. “The new generation academic programme will encourage honours students to do masters and doctoral degrees/programmes. By funding a student, the N-gap supports the production of academics.” Another Council initiative, through the Department of Science and Technology, encourages/creates and increases chairs of, for example, maths and science at higher education institutions. Centres of Entrepreneurship “The Departments of Small Business Development and Basic Education received recommendations from the Council’s Technical Task Team on enabling entrepreneurship. As a result three centres of entrepreneurship will be created in Mpumalanga, Ekurhuleni and the Western Cape”, says Ntombela. A national work portal called FinFind will provide information on accessing finance. The Department of Basic Education is considering introducing entrepreneurship in the curriculum. Teachers will be encouraged to become change agents. Overall the HRDC is focusing on producing academics and professionals, the provision of quality foundational learning, worker education and greater collaboration between businesses and the TVET colleges,” says Ntombela. The HRDC is planning its second summit this year under the theme ‘Partnership for skills – a call to action’. It sets the scene for all social partners to work together. South Africa can only benefit from such collaboration.

CEO 2016 Vol 15.2

STATEYOURCASE - SJN

Chad Alexander: Musician, Singer and Musical Director

Behind the

Being a perfectionist helps Alexander achieve a high production standard. He pushes his musical technicalities and precision to the limit. “If there are limits,” he adds. In Studio If you think being in studio recording is just a process where musicians and singers are prompted by a technical crew, review that thought. “The studio recording is actually the hardest and most challenging and utterly gruelling aspects for the contestants, because they are thrown into a world they have only dreamed of. In studio they actually realise how hard this dream actually is,” explains Alexander. He has learned to expect anything and everything with the different choirs’ arrangements. “My job is making sure that what they have musically will make sense with a band…I have to make sure I don’t lose their extravagance, but maintain some order in the craziness.” It takes focus to handle the dynamics of 18 choir members together in a room with the vocal coach Christine Ludwig or a choirmaster. “The amount of time we run through a song can either be with excitement or anxiety, this depends how well the choir is prepared, bearing in mind they only have 30 to 45 minutes to actually perform their hearts out in studio,” says Alexander.

Scenes with Chad Alexander by Samantha Barnes

Ever wondered what it takes to put a professional television production together? It takes dedication, many rehearsals and the ability to draw the best out of people whether they are the performers or the technical team. Musician and music director, Chad Alexander is the assistant musical director of television shows like Clash of the Choirs.

had Alexander counts himself blessed. He gets to do what he loves best every day. “What I love the most is the fact that I am able to do what I love and have that translate and resonate not only to the entire production team but to the entire nation. That is such an honour and a privilege…I often pinch myself just to check if I’m awake or dreaming or awake and dreaming,” he says.

Working with different personalities is a challenge, and one which he is mindful of. “I am extremely careful with what I say to inspire the contestants. There is a fine line between encouragement and demoralisation,” says Alexander. The technical rehearsal checks all technical aspects of the show so there are no surprises on the day, from choreography, the band, placing on stage, cameras and technical support. Going the Extra Mile Alexander keeps energised by working out and healthy eating. He values quiet time with family and friends. “My answer to a busy schedule is simply rest…rest from this busyness of life. “I have an amazing manager Sheree O’ Brien. She works so hard to market and develop my brand as a musician and a music director, so I never really know what awesome show I will be on next.” Alexander is working on a new show, Stripped Down Season 3, due for release this year. Watch this space!

programmes  Loyalty So much more than giving away points Data Recovery  Agile Moving into the realm of mission critical Intelligence Strategy  Business Remain focused on business goals

SUPPLYWORX

Building a Successful

BI Strategy Any BI initiative should have certain goals. These include helping the organisation to achieve its strategic, tactical, and operational goals. BI should also help to boost business performance, by empowering all decision makers, including staff, customers, and thirdparty parties to be able to play their roles effectively as a result of the BI implementation.

his is according to Rick Parry, CEO of Yellowfin South Africa, who adds that before embarking on a BI journey, a BI strategy that aligns with the business goals is needed. “This strategy must drive knowledge management by making the best possible use of data, and ensure that BI is entrenched in the business processes, to aid the enterprise with strategic, tactical, and operational decision-making.” Discussing how to build a BI strategy that brings together the various elements that drive business operations, Parry says people, processes, and technology are key. “To build a successful BI strategy, organisations need to grasp the factors that bear most influence on BI. More often than not, BI implementations fail because there is no transformation from insight to action, and because of this, the potential of BI is not realised.”

CEO 2016 Vol 15.2

It is a major challenge to design and implement a successful BI strategy, as a combination of the best technologies, processes and people is needed.

SUPPLYWORX

He says for many years now, BI has been on top of the CIO’s agenda. “We all know how BI can have a significant impact on business performance and efficiency, and can vastly improve a company’s ability to make better, information-driven business decisions at every level, from operations to strategy. However, organisations who are embarking on a BI journey but don’t know how go about it are not unusual. It is a major challenge to design and implement a successful BI strategy, as a combination of the best technologies, processes and people is needed.”

To build a successful BI strategy, organisations need to grasp the factors that bear most influence on BI. This is why any BI strategy must be driven by the business objectives, as this will empower stakeholders to make better decisions, to help the organisation realise its goals, he adds. “An alignment of business objectives, strategy, investments and BI is crucial. Companies who can do this become intelligent entities.” Parry says this requires an informed approach that draws from multiple resources to deliver a complete, consistent and reliable source of data to get the most from BI. “BI is less than useless if it is not driven by the enterprise objectives. Any BI implementation should help to advance business by harnessing the business information in a way that achieves actionable intelligence. “This may sound simple, but this goal is not often attained. Business objectives and requirements must drive the initiative, and a strategy needs to be established before bringing technology into the equation.” To do this, he says it is vital to understand the factors that influence BI, and design a solid BI strategy around them. “This will include working with all stakeholders to document all the business objectives. All stakeholders will have different objectives, so these need to be listed and prioritised to formulate an effective BI vision, and to ensure that the organisation builds its BI strategy with a solid foundation.” Parry adds that BI has a wide range of benefits, and businesses need to decide what they are looking for from their BI initiatives. “Ultimately it is about making the best possible use of the business data for operational and strategic requirements. Any BI strategy aims to help the organisation with long-term planning and resource management. It boosts tactical reporting, and helps with the day to day decisions that are needed to streamline operations and run a business successfully. At the end of the day, BI is about giving the business the information it needs to think ahead and operate effectively. It needs to give employees the information they need to do their jobs at peak effectiveness.”

CEO 2016 Vol 15.2

SUPPLYWORX

out VS

inSourcing

by Saurabh Kumar, Managing Director at In 2ITTechnologies South Africa

CEO 2016 Vol 15.2

trust innovation

to the experts

SUPPLYWORX

It’s that time of year again where key decision makers get together to scrutinise every aspect of their business model. As they prepare to execute on strategies for the next quarter they’ll be looking at how their service delivery models may need to adapt to meet the ever-changing business needs and customer requirements.

hile the topic of outsourcing versus insourcing has been the fuel for much debate, it’s time to recognise both methods of IT service provisioning for what they really are: the enabling force that drives business change, growth and development. Both outsourcing and insourcing have their respective benefits, and neither is superior to the other, except to the degree that it helps the business meet strategic goals and business objectives. A change in thinking is necessary Even though we have seen the emergence of bi-modal IT systems where the traditional approach to enterprise technology (one that emphasises efficiency, stability, accuracy and scalability) can coexist with a second approach that focuses on agility, speed and innovation, we’re still nevertheless fixed on thinking that the benefits are to the extent that outsourcing the ‘house-keeping’ component of IT will cut costs and free up resources so that innovation can be addressed in-house. Essentially multi-sourcing can provide an organisation with the freedom to focus on developing new products, applications and solutions, which is undoubtedly important in today’s highly competitive business environment. Being first to market is a significant differentiator, however, that doesn’t mean it’s best to keep this process in-house, as outsourcing the innovation might prove to be a smart move after all. It’s not about superiority, it’s about suitability Because there are many driving factors that might influence a company’s decision to outsource an asset or a service, arguing over which mode of delivery is better detracts from valuable time and effort that should be invested in innovation to engage with the business and its needs. At the end of the day, the debate shouldn’t be over which is better, but rather which is more suited to business needs, which are as unique as each organisation. Until recently, companies were generally inclined to look beyond their own IT departments in a number of scenarios - the first would be where the organisation would like to cut costs and have a competitive edge. In this situation significant business changes are taking place and the company needs to look for short-term experts to address these changing needs and they would insource that function and keep it in-house, while outsourcing the day-to-day IT activities.

The second scenario typically involves an organisation that has been around for a few decades with long-standing systems and policies already in place. By choosing a few key IT professionals to align with business, the rest of the work would be outsourced to a specialist service provider - tasks like managing infrastructure, applications and the like. This will enable the chosen key IT professionals to get on with the business of innovating. Given that technology is changing faster than ever before, the issue of whether to outsource the business transformation aspects of IT delivery becomes more and more relevant. The best justification for outsourcing is that a company might not have the availability of all the skills needed, or they might want to replicate something that has already been done elsewhere and then it becomes simply a matter of finding the right outsourcing partner for the job to take advantage of the many benefits of outsourcing. There is general consensus that the perks of outsourcing can be expressed as a cost-benefit. This is because it’s the outsourcing of a service that is already performed for other customers, which is where the scale and commercial advantage comes in. Companies get to make use of case studies and learn from the mistakes or successes in different usages, and get assistance in determining whether international IT trends have local relevance. There’s also the critical benefit of access to skills, which can be difficult to hire and retain internally. Most importantly, by outsourcing the innovative aspects to a specialist, an organisation can speed up their get-tomarket strategies, by looking at automation possibilities for large-scale innovation projects. In the same vein, smaller organisations can handover to outsourcing companies and in the process become more agile and responsive to market needs. In conclusion, regardless of whether an organisation chooses to outsource, insource or multisource, it’s important to bear in mind the goals and objectives of the business. While cost-cutting can be a benefit, it’s critical that this is not the sole deciding factor. Organisations need to choose whichever mode of IT delivery that will help them to deliver a more seamless customer experience once they’ve won that customer over with their first-to-market innovative products and solutions.

CEO 2016 Vol 15.2

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5 top

recommendations

for Agile

Data Recovery

by Johan Scheepers, SE Director MESAT for CommVault in South Africa

Remaining competitive in a fast-paced, global marketplace is increasingly challenging for many organisations, and the need for agility with regard to products, services and even underlying IT infrastructure has become apparent.

emaining competitive in a fast-paced, global marketplace is increasingly challenging for many organisations, and the need for agility with regard to products, services and even underlying IT infrastructure has become apparent. The cloud offers organisations numerous benefits for any application, including on-demand scalability, reduced capital investment and ready access from anywhere, anytime. This has made it an attractive option for organisations looking to augment their data storage and deal with the vast content explosion of the past several years. However, while migrating data storage into the cloud can be beneficial, the focus for many organisations is on getting the data into the cloud and not necessarily on ensuring that data can be easily recovered in the event of a disaster. In addition, a large number of organisations make use of a combination of on-premise private data centres and cloud-based third-party solutions, creating a hybrid environment that adds further complexity to data recovery initiatives. Disaster recovery is critical as it is basically an organisation’s insurance policy against the loss of information. Traditionally, simply having a single local backup of data was sufficient, however in today’s world where organisations need to grapple with vast volumes of information generated in real time from a variety of different directions, including the cloud, mobile platforms, social media, business to business transactions and more. This means that the complexity of data backup has become significant, and organisations need to look at a more flexible approach of implementing effective data protection strategy. The challenge here is that many organisations treat all information equally – from the canteen lunch menu to the CEO’s confidential emails – and there is no discrimination between different levels of importance

CEO 2016 Vol 15.2

and value. While organisations have embraced the evolution of the cloud, this has not delivered the ability to accurately categorise information, and in order to become more agile enterprises need to prioritise important information and declassify the less useful data. While this seems to be an insurmountable task, the answer lies in developing a greater understanding of the business and what is critical to function, important for continuity, and essential for everyday operations. Agile data recovery ultimately stems from knowing more about information, including where, when and how it is created, stored and accessed, and the value of that information at every point in its lifecycle. It is a move away from the traditional strategy of simply storing everything, toward a more intelligent approach where data is protected according to its business value. Fundamentally, agile data recovery means understanding the behavioural characteristics of how information is used, in order to ensure it can be protected and secured more effectively. Commvault recommends the top five ways to ensure agile data protection and recovery across cloud, onpremise and hybrid storage platforms and architectures.

1 Automate the recovery process from end-to-

end. Human error is the major issue with manual interventions, and it can be costly to organisations. Automation effectively removes human error, which is one of the leading causes of data loss. Automating data protection and recovery removes this risk element.

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2 The data backup and recovery solution

must be integrated across the entire IT environment. Given the complexity of the current data storage landscape, integration of data protection and recovery tools is essential. Without integration, organisations are often faced with multiple toolsets, each with their own reporting, analysis and infrastructure to connect. When it comes to managing complicated environments with multiple tools, the complexity increases exponentially. Integration enables simplicity, providing a single platform for the management of data protection, recovery, compliance, search, eDiscovery and more.

3 The entire environment must be managed via a single platform. This stems from the need for integration and improved simplicity. A single platform will help to create visibility across data whether it resides on mobile, in the cloud, or within an organisationâ&#x20AC;&#x2122;s private data centre. A single toolset and management platform spanning the entire information landscape is essential for enhanced management and visibility.

4 A variety of technologies must be available for moving data off-site. Data is created in a vast variety of different ways today, and information now flows in an omni-directional way both from and to organisations. Organisations no longer have complete control over the migration of information, and IT practitioners need put into place secure processes and technologies to manage this flow by policy and the importance of data before it leaves the organisation. Trusted services and platforms are necessary to handle this migration in a secure manner.

5 The solution must be vendor agnostic. Or as vendor agnostic as possible in todayâ&#x20AC;&#x2122;s world. The reality is that there is no such thing as a completely vendor agnostic solution, however data recovery needs to be able to work with a variety of different storage solutions in order to deliver the necessary levels of agility. The fewer solutions or platforms required to manage data the better.

Within data recovery, as with other aspects of technology, the key to agility lies in the cloud. However, simply migrating data to a cloud storage platform does not automatically provide agility. Organisations need to simplify their data management environment by classifying data according to importance, automating the data recovery process, and ensuring solutions can cover the entire environment, including cloud, on premise and hybrid solutions. Data protection and data recovery are critical elements of business continuity and sustainability, and solutions employed must keep pace with changing demands and IT environments in order to deliver accurate risk mitigation.

CEO 2016 Vol 15.2

external threats by Richard Broeke at Securicom

have turned the endpoint into a security blind spot With all the attention on protecting company networks and data against threats from the net, the endpoint is becoming the new security blind spot. Companies need to pay closer attention to the security status of the endpoints in their ecosystem and watch what their employees are doing on their computers warns Securicom, a managed IT security vendor in South Africa.

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“T

he focus is now on newer and what are considered the more ‘important’ threats, like those that can impact the network, so endpoint security isn’t being watched. In a lot of companies, there is nobody checking how these endpoints behave when they connect to wifi, or controlling what sort of peripheral devices are being plugged into them, and if these are secure. “The assumption is that with the basics like antivirus and the like are installed, the endpoint is secure. But, when was the last time anyone checked if the software is configured correctly; or if changes have been made that make the system vulnerable? “When endpoint security isn’t managed, companies have no idea how critical and sensitive business information is accessed, shared and manipulated on disparate computers across the organisation. Companies seem to have lost sight of the fact that every unwatched endpoint is a gateway for a host of security threats,” says Richard Broeke, an IT security specialist at Securicom. There are a few endpoint security essentials that companies should have to protect assets and information from abuse by employees, malware and other risks. Effective technologies should be in place to protect and monitor assets within the IT ecosystem, and the information that is stored on them. For instance every endpoint should have its own firewall to protect it against threats that don’t originate from the internet, such as those spread via email or infected discs. A desktop firewall will also stop unsolicited outbound traffic from infected computers, which could lead to infections and security breaches in other computers and external programmes. There should be controls in place to prevent employees from copying sensitive information onto moveable devices. If they are authorised to store or move sensitive data on a

portable device or memory stick, restrictions should be in place to protect information with encryption. Companies should also be able to get a view of the entire ecosystem, and the security status of each and every endpoint. Instead of purchasing and maintaining various point solutions, Broeke says companies should rather consider a centrally managed, cloud based system. “You don’t want to end up buying various point systems to tackle each issue or office separately. Appliance based security is more difficult to manage, especially if updates and configurations need to be done on individual systems,” says Broeke. With an effective, centrally managed endpoint security solution, security updates can be routinely applied, and authentication and access rules can be enforced. It also offers the ability to limit or prevent the use of peripheral devices on company computers, as well as implement mechanisms to control which applications and business information certain levels of employees are permitted to access. When rules are broken, company resources are abused, or security on a device is outdated, the administrator is alerted and can take action to remedy to problem. A centrally managed endpoint security system also assists with the effective, efficient and safe onboarding and decommissioning of company assets. According to Broeke, managed, cloud based security services, contrary to common perception, typically have a lower cost of ownership and ensure that IT security costs are predictable. Notably, this brings a holistic set of best-of-breed technologies within the reach of more modest budgets. He concludes saying that companies need to think beyond antivirus and perimeter security if they want to stop the endpoint from becoming a security blind spot. “A network firewall and unmanaged antivirus software are just not going to cut it.”

Companies seem to have lost sight of the fact that every unwatched endpoint is a gateway for a host of security threats

CEO 2016 Vol 15.2

SUPPLYWORX

SA loyalty

programmes missing a trick With 26% of economically active South Africans using customer loyalty programmes more than they were a year ago, our burgeoning appetite is clearly still on the rise. But are SA brands adequately differentiating their loyalty programmes to stand out in a highly competitive marketplace?

hile it’s estimated SA has more than 100 programmes on offer, the majority of these still lack focus in execution, communication and differentiation – leading to non-engagement. 33% of consumers don’t use loyalty These undeniable gaps in current offerings present massive opportunities for brands wanting to take their loyalty programmes to the next level. This is according to the 2016 Truth Loyalty Whitepaper, a comprehensive snapshot of the current state of loyalty in SA. Perhaps not surprisingly then, one-third of the economically active respondents surveyed do not use loyalty programmes at all. This represents a considerable, untapped pool of consumers that brands should be eyeing with interest. Data is gold – mine it properly Loyalty programmes enable brands to gather immense insights about customer behaviours, attitudes and preferences and brands that properly analyse customer data to understand how customer insights can drive their business strategy will undoubtedly have the upper hand. But launching a programme for the sake of doing so, or without a long-term strategic investment with the customer at the centre of your business strategy is a waste of time and money. Therefore, a loyalty programme alone does not create customer loyalty. However, when used to gather

CEO 2016 Vol 15.2

customer data, combined with powerful data analysis and innovative engagement strategies, it can become the key differentiating factor. Brands need to explore customer wants and needs and understand the many factors that influence loyalty programme usage. Only then will they capture their customers’ attention and build a long-lasting relationship with them beyond a once-off marketing campaign. “Business owners need to take into account how factors such as age, income and gender influence how they should be building their loyalty strategies. There are still countless exciting opportunities in the loyalty space and if harnessed correctly, can enable key differentiation in a competitive marketplace,” says Amanda Cromhout, CEO of Truth. Income critical to loyalty programme usage According to a US study conducted in 2014 by Blackhawk Engagement Solutions Inc., income is the biggest influencer of customer loyalty – even more than age, gender or geography. This trend is mirrored in South Africa. The highest users of programmes are customers who earn between R50,000 and R100,000 per month at 78%, indicating they use loyalty programmes the same or more compared to the previous year. Interestingly however, the Truth Whitepaper reveals that as the salary increases the loyalty “non-usage” goes up from 14% (in the R50,000 – R100,000 bracket) to 21% (in the R100,000 + bracket) and reversely for the lower income groups, “non-usage” increases from 24% (in the R20,000 – R50,000 bracket) to 39% (in the under R20,000 bracket). Cromhout explains, “The research shows that as salaries increase to over R100,000 per month, customers potentially don’t see any more value from loyalty programmes. Reversely, the lower income groups may not see enough benefit in participating in programmes as most of those offered in SA are based on a “spend and get” principle. With retail rewards as little as 1% of spend, your lower income customers simply won’t see any material benefits quickly enough.”

SUPPLYWORX

This kind of data is vital to tailoring programmes that count. For top-earners, brands have an ideal opportunity to create “money-can’t-buy” experiential rewards; meanwhile for lower income earners, brands should be looking for ways to enable faster points accumulation through activity that rewards customer activity beyond just transactional behaviour. It’s not just about spend South Africa appears to be slow in adopting strategies that reward non-transactional behaviour within loyalty programmes and Cromhout believes this may be due to a misconception that the process is too resource-intensive.

With a desperate need for differentiation within many SA programmes, rewarding for activities other than spend could be the answer for brands looking to innovate and potentially engage new customers. “SA brands need to give customers the chance to earn points in different ways by going beyond just earning for transactional behaviour. Globally, this has taken off but SA is still behind the curve. By rewarding customers for social media engagement, for updating their details, referring a friend or making bond repayments on time – brands have a great opportunity to get innovative and add some fun to their loyalty programme,” says Cromhout.

With retail rewards as little as 1% of spend, your lower income customers simply won’t see any material benefits quickly enough.

CEO 2016 Vol 15.2

Survival

Man gers tips for

by Mark Orpen, Chief Executive Officer and Chairman of the Institute of People Development (IPD)

A global survey of more than 1 300 CEOs revealed that the availability of key skills is the second-biggest threat to business growth, close behind the increasing tax burden. A report issued in Business Day showed that this comes as South Africaâ&#x20AC;&#x2122;s government cuts mandatory grants, or reimbursements, that are paid back to companies that engage in sector education and training from 50 percent of the one percent payroll levy, to 20 percent. With this pressure, the question arises; should we be investing in skills development and management training?

SUPPLYWORX

ahatma Ghandi is quoted as saying; “Man often becomes what he believes himself to be. If I keep on saying to myself that I cannot do a certain thing, it is possible that I may end by really becoming incapable of doing it. On the contrary, if I have the belief that I can do it, I shall surely acquire the capacity to do it even if I may not have it at the beginning.” When people realise their own potential, and the potential of the employees they manage, real growth begins to take place. Through skills development and management training, a company’s performance is exponentially and holistically enhanced. According to Jack Welch; “An organisation’s ability to learn, and translate that learning into action rapidly, is the ultimate competitive advantage.” Experience has shown that through effective skills development, employee commitment and responsibility are promoted. Each individual’s confidence, morale and motivation increases as managers become more skilled in reducing work environment demotivators, and people management efficiency improves. In addition to building the organisation’s overall performance, staff turnover usually reduces and the working environment is made more productive, efficient and effective. All while communication channels are improved between all levels in the organisation, a commitment to quality all round, and the desired organisation culture emerges. Unfortunately for many workplaces, this ideology remains a myth, enshrined in the pages of a management textbook, merely to inspire and create hope.

An organisation’s ability to learn, and translate that learning into action rapidly, is the ultimate competitive advantage. However, in skilling the workforce and reducing staff turnover, the knowledge base grows and an institutional memory is created, enabling it to make better, more strategic decisions, and achieve a greater understanding of the company’s objectives. By engaging in new and innovative people management strategies, companies often enjoy improved financial efficiencies, empowering them to compete successfully in a rocky, constantly changing economy. The challenge to employ and develop highly skilled people, proficient managers, foster high performance and create healthy margins is constantly rising and for businesses to not only survive, but also compete in even the toughest of economies, this ideology will have to become their reality. While this may be tough love in the midst of turmoil; in all development initiatives, it is essential to remember that we are ultimately skilling the Nation for the Nation; that which benefits the organisation also benefits the country and the economy.

CEO 2016 Vol 15.2

Spotlight

Waste Evolves by Samantha Barnes

into a

Money-spinner â&#x20AC;&#x153;A real New Yorker likes the sound of a garbage truck in the morning,â&#x20AC;? said American writer RL Stine. So it seems do South Africans. We throw away most of the stuff we consume.

SPOTLIGHT

et a load of this: South Africa generates almost 110 million tons of waste a year. Smart people at the Environmental Change Institute at the University of Oxford tell us that 1 million tons of landfill waste is enough to generate 1 MW of electricity for 10 years. There is a glimmer of hope, albeit it small. An organisation with a wordy title, Recycling and Economic Development Initiative of South Africa, and better known as REDISA, has created over 3 000 jobs in two years. It is supporting 200 small, medium and microenterprises (SMMEs). These opportunities stem from tyre waste that was previously thrown away. Compare this positive turnaround today with 2012 when only 4% of tyres were being recycled. A Model That Works REDISA is financed through a fee paid to it by tyre manufacturers or importers. They pay R2.30 for every kilogram of new tyres manufactured in South Africa or imported. REDISA is a registered public–private organisation which was granted a licence in 2012. Just two years later, REDISA collected 32% of the tyre waste generated. By 2017, REDISA aims to collect the entire waste stream. Convincing the Market It took much persuasion before the market grasped what REDISA aimed to achieve. “Changing paradigms always poses a challenge,” says Hermann Erdmann, CEO of REDISA. “The concept is very new to all stakeholders, namely the public, government and the private sector. Current paradigms around linear economies and ways of thinking are deeply rooted in both public and private sectors.” Going against the grain, REDISA, in collaboration with the Department of Environmental Affairs, has successfully implemented a circular economy within the tyre industry. “There are benefits not only for the country, but also for businesses,” says Erdmann. “REDISA will drive the resource evolution by profiling the benefit of circular economies in other industries.” Team Effort REDISA’s impressive track record is the result of concerted efforts by its staff. “We need to push boundaries together. In the corporate world, it is ‘them and us’, but, at REDISA, there is no ‘them and us’, it’s just us,” Erdmann explains. “As a CEO, I know that my success is dependent on all of our team members at different levels – I can’t collect all the tyres. I need the team of transporters and collectors and I need their willingness and commitment in order to achieve what we are doing.” Transforming Lives Johanna Baleng is among those people employed by the small businesses created through the initiative. She manages the REDISA depot in Mossel Bay. Baleng also manages the drop-off of collected

Hermann Erdmann, CEO of REDISA

waste tyres and sees that they are sent to recyclers for processing. Her life is much easier these days. She is a role model and is involved with community-upliftment projects. Stanley Mangoegape manages the Midrand REDISA depot. When he met the REDISA team in 2013, he was very ill and had no medical aid. “Working with REDISA has changed my circumstances and given me a new lease on life. They gave me an opportunity when no one else would,” he says. In terms of the depot operator mentorship initiative, “a suitable candidate is selected and mentored by a REDISA employee who has a number of years’ experience working within the tyre industry,” says Stacey Davidson, REDISA director. “REDISA is proud of the mentorship programme and we are especially proud of Stanley, who is a vital part of our team.” Get a Handle on Waste According to REDISA, approximately 44% of South African households don’t have access to waste-collection services. REDISA has drawn up a plan to manage general waste in South Africa’s underserviced regions and is tabling this with relevant government departments. Increase in Gross Domestic Product (GDP) Linked to Circular Economy REDISA was a key contributor to, and participant in, this year’s Ellen MacArthur Foundation, the McKinsey Center for Business and Environment, and SUN (Stiftungsfonds für Umweltökonomie und Nachhaltigkeit) circular economy ‘Growth Within’ report compilation. “Although the report looked at the European economy, there are learnings which South Africa should note. According to the report, the benefits of introducing a circulareconomy approach in Europe include an 11% increase in GDP, compared with 4% in the current development path by 2030,” Erdmann points out. With high unemployment a concern, many South Africans are discouraged. If findings are to be believed, we can take heart from the economic potential inherent in circular economies. Sources: @Liberty, the policy bulletin of the IRR; www.eci.ox.ac.uk

CEO 2016 Vol 15.2

As our a alw ys ld hou views s nder nu be take ent advisem

what’sHOTorNOT We share brief perspectives with you on items that we think are worthy of your consideration.

In Session

Wouldn’t it be great if your smartphone could heal itself from minor scrapes and scratches. Well, apparently that is not an unrealistic expectation anymore. Apparently graphene (a form of carbon sheet) is the answer. Researchers at Columbia University reckon not only has the material got some extraordinary self-healing properties. It also holds potential as a super long lasting battery for devices. The big boys (with apologies to the ladies) like Samsung and SanDisk are already looking into the role the material can play in future devices. Interesting times await.

Graphene

The Century City Conference Centre opened in February to much fanfare and interest. The boys and girls behind this mixed-use R1 – billion development reckon with a total capacity of 1900 in 20 venues and a 125 room hotel, they will be plugging a big gap in the market for conference space. It certainly looks swish enough and as we all know, looks is half the challenge.

Andy Warhol Scribbler Apparently the man himself once noted: “Being good in business is the most fascinating kind of art. Making money is art and working is art and good business is the best art.” To celebrate his at times off beat genius, Montblanc is, as part of their Great Characters range, producing an Andy Warhol Special Edition, fine writing instrument. As usual quality comes at a price and you shouldn’t expect anything off beat about the price.

Fatbikes By all accounts these are now the hot item in the cycling world. We can’t vouch for the fact that every local racing ace has one. However, we do know that manufacturers like Silverback are betting big on the format. So if you are looking to turnover a pedal or two, this could be a good place to start.

CEO 2016 Vol 15.2

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Bryan Ramkiliwan, CEO of the Cape Town Fashion Council (CTFC)

Fashion House by Samantha Barnes

The fashion industry is not all about waif-sized models, and about trends and styling. It requires discipline like any other profession. Talent is not enough. You need to follow through and be connected. Bryan Ramkiliwan has looked at fashion from every angle. He followed a conventional route initially: starting out as a graphic designer. After designing a dress, he realised he wanted to study fashion instead.

amkiliwan graduated from the Durban University of Technology in 1987 and later obtained a postgraduate qualification from the Cape Peninsula University of Technology. He completed a seven-year stint in menswear and womenswear, working for chain stores and doing knit work. He likes to learn and impart his knowledge, so he has taught fashion design at the Cape Peninsula University of Technology for 16 years. Being Awake to Inspiration Asked what inspires him, Ramkiliwan responds: “I am a designer. I design things. Inspiration is about being awake and

CEO 2016 Vol 15.2

is a

open to the things around you.” He is chief executive officer of the Cape Town Fashion Council (CTFC) and is on the curatorial panel of the Design Indaba Expo. The CTFC is a governmentfunded organisation that develops the fashion and related sectors. Under Ramkiliwan’s leadership, the council has grown the brand considerably since 2011. Its team has expanded with this growth: from just two people to 15 people. “Design is a process and not a product,” emphasises Ramkiliwan in a tone which suggests that this distinction is important. “There is too much focus on the end product.” A New Approach “There is a shift away from fashion shows to trade shows,” says Ramkiliwan. “The CTFC is on a huge export drive. A lot of designers are looking beyond South Africa to a huger market. All the products will be produced in South Africa.” The CTFC is looking at how South African designers can more readily access markets. There are challenges by the baleful. “Hopefully the government will start realising this,” says Ramkiliwan. “There are no mills that are producing fabric in South Africa. It is a huge challenge accessing raw materials, and, with an import duty of 22%, it makes us less competitive.”

INTHEKNOW

Ramkiliwan recently returned from leading a team of designers to Pure in London. This is considered the UK’s most dynamic fashion and footwear gathering where over 800 brands, emerging designers and market-leading labels converge. “The people that run and own the shows congratulated our South African designers on the quality of their design. Their product is very international,” he says. The CTFC is taking some designers to a mini pop-up space in New York this October. “We are really excited,” says Ramkiliwan. “We want to go to shows that offer more contact with consumers. This type of event is a dual-purpose space offering a retail environment and a showroom.” Membership across the Value Chain “We are the only fully operational fashion house on the continent,” says Ramkiliwan of the CTFC. Under his leadership, membership has grown 40% in four years to 1 600 members.

ideas and cultures has a huge influence on raising the bar for South African fashion. “Few designers are going to Zimbabwe. We want them to think outside of South Africa and establish a footprint on the African continent,” says Ramkiliwan. Relationships are also being fostered with Ghana. Supporting Local Design Many shoppers in South Africa succumb to buying clothing from China, based on its affordability. Ramkiliwan explains: “Until we become competitive as a country and make it possible for a shopper to buy a designer product for R400, this is going to happen. If we lose the 22% import duty on raw materials, then it becomes affordable to buy locally produced fashion.” Supporting local designers has a positive outcome for the economy. “We are not just supporting employment in the

FORCEfor CHANGE There has also been a remarkable growth in projects. In 2011, the CTFC assisted 66 designers, 30 of whom were BEE (black economic empowerment) designers. In 2014, the fashion house assisted 594 designers, 70 of whom came from historically disadvantaged backgrounds. Membership of the CTFC encompasses the entire value chain and includes designers, buyers, visual merchandisers, graduates and fashion PR people. There are plans to expand into the areas of hair and beauty. Ramkiliwan has a huge network locally and internationally. “The whole industry is based on the network,” he says. The CTFC has given South African designers a platform through Design for Africa and is establishing ‘really important connections’ with Hong Kong and New York. Expanding the African Brand The CTFC is counteracting the flood of Chinese imports. “We are expanding the African brand and product,” says Ramkiliwan. He recognises the strategic importance in developing what Zimbabwe, Mozambique and Botswana designers are trying to do. “Sub-Saharan Africa is going to have a larger working population.” The CTFC has a partnership with Zimbabwe Fashion Week and Mozambique Fashion Week. This exchange of

clothing industry, but creating downstream jobs, including that of the person that drives you to your office,” he explains. Multiple Projects Ramkiliwan describes himself as a ‘serial collaborator’. If he identifies a project that is feasible, the CTFC is able to grow it substantially. “We are very inclusive in the way we do things,” he explains. Projects are diverse and include working with cooperatives in disadvantaged communities. “In Langa, women are sewing in the morning and producing in the afternoon. They are working out of containers that we have managed to set up for them,” says Ramkiliwan. “We piloted the project and it works.” The CTFC is working closely with the Department of Social Development in Cape Town and has managed to source a private-sector partner. Ramkiliwan is a country winner in the Welfare and Civil Society sector for Titans. “We do a lot of social development through a train-the-trainee programme. We try to cover as much as we can. The grassroots stuff is essential,” he says. Whether in Cape Town, Hong Kong or New York, Ramkiliwan is creating, through the CTFC, a new way of thinking about the fashion industry. Hopefully, we will see African capitals becoming fashion powerhouses.

CEO 2016 Vol 15.2

INTHEKNOW

Today Clover is South Africaâ&#x20AC;&#x2122;s largest dairy company and one of the countryâ&#x20AC;&#x2122;s leading manufacturers and marketers of food products.

Outsmarting the

Competition by Samantha Barnes

Johann Vorster, Chief Executive Officer, Clover

CEO 2016 Vol 15.2

INTHEKNOW

Clover is a household name. But what sets it apart from the competition? The innovative strategies that Johann Vorster, chief executive officer of Clover and his executive team are implementing have resulted in increased market share in its chosen markets. Vorster confirms that energy generates ideas. Much of his thinking about the business is done during his morning run and after hours. Clover’s tag line sums up his team’s approach: Way Better.

ven goal driven executives don’t always get business propositions approved first time around. Some lessons are learned the hard way: by doing something repeatedly until breakthrough is achieved. Johann Vorster, chief executive officer of Clover, can recall the toughest lesson of his career with pinpoint accuracy: the gruelling months leading up to Clover’s prelisting. “I made 19 presentations to the Clover board before approval was signed off. I kept on going! When Clover was still a cooperative we had to convince former shareholders to remove the condition that only milk producers may hold ordinary shares and delink the ordinary shares from milk supply. The board farmers saw it as loss of control while the board saw it as imperative to take Clover forward.” Vorster’s tenacity paid off handsomely with the sale of shares in Danone Clover and capital restructuring. Clover Industries Limited listed on the JSE in December 2010 and the farmers made R1.5 billion out of the listing. “It was a proud moment,” says Vorster. “Usually when an ex cooperative is listed a new shareholder makes all the money. In this instance the original owners benefitted.” Bringing Out the Best in People Vorster looked to Bill Lynch, then top executive at Imperial, in terms of a leadership style worthy of emulating. “Lynch encouraged bringing out the best in people,” explains Vorster. Similarly, at Clover he encourages an entrepreneurial spirit. Vorster’s strong suit is putting teams together. “As a leader you must gain the trust of people. Let people make their own decisions in a controlled environment. If you try and run away from the pack, which is easy to do, this results in petty politics and bickering.” Clover is a Top Brand It takes considerable expertise to convert a cooperative to a public company. This process had already started in November 2003. Today Clover is South Africa’s largest dairy company and one of the country’s leading manufacturers and marketers of food products. “We have the biggest outbound Fast Moving Consumer Goods (FMCG) call centre in the country and is the second biggest merchandiser company in South Africa,” says Vorster. “In

2015 Clover was voted fifth in the Overall Favourite Brands in the country by the Sunday Times,” sharing top honours with brands like Koo and Coca –Cola. Strategic Thinking Vorster is a chartered accountant, but says:” Shuffling papers is not my forte,” His first job at Astrapak, a family business, provided opportunities to exercise his entrepreneurial thinking. Vorster was given the freedom to make decisions quickly. Having done a MBA through Wits before he joined Astrapak changed his life and his focus to a team centred approach. Strategic thinking transformed Clover into far more than a dairy-based manufacturing and distribution company. Clover boasts a product offering, ranging from everyday staples and cheese to ingredients for puddings and nutritious healthy products. There is no room for complacency. ”I rate each day out of ten: what I did, or lacked or improved upon,” says Vorster. Clover launched four new products in 2014. “Clover used to be exclusively dairy,” Vorster explains. “Margins were relatively low and cyclical. With the launch of these products the business became less cyclical and achieved higher margins last year.” Clover increased headline earnings by 70, 3% for the financial year ending June 2015. Venturing into new territory carries an element of risk, and the need for thorough investigation. Vorster recalls asking, “Why not investigate 10 potential deals and hope to pull off one, instead of 20?” His advisor responded, “Because out of 20 maybe two materialise, out of ten, none will materialise…” Clover is set to become more externally focused over the next four years due to spare capacity. The company recently added Dairybelle distribution to the business, launched Bliss, bought Frankie’s Soft Drinks and launched FutureLife. Outsmarting the Competition “We were fortunate or clever,” says Vorster of Clover’s rising market share. “We have invested a lot of money in new technologies and outspent our competition.” Clover milk stays fresh for up to 18 days instead of the usual eight to 12 days. The company is looking at stable shelf life in the lower LSM. Clover cut down on bulk products, bulk cheese and powders and introduced better packaging in UHT. Reward for Hard Work Vorster won the Ernst and Young Master Category World Entrepreneur Award 2015 for Southern Africa. “It was a career highlight,” Vorster acknowledges. “Your people don’t always tell you how you are doing. The award was an independent accolade. One thing that impressed the judges was the trust I had with business partners and the brand.” “There are lots of opportunities in South Africa. You see entrepreneurs on street corners, repairing shoes and selling. Many people get up very early for work. We are underestimating the ability of South Africans to be entrepreneurial.” CEO 2016 Vol 15.2

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INTHEKNOW

Hello! Hey There! by Samantha Barnes

Want to Shake My Hand?

CEO 2016 Vol 15.2

INTHEKNOW

So, in Europe, healthy debate would be encouraged ody language is undeniably important. The question is among all members of the group regardless of position or how to sift out the useful information from the sweeping status, while, in Africa, this would be frowned upon. In Europe, generalisations on this complex subject? What we actually silence in a social conversation would be perceived as ‘socially say remains important. Although many of us state that body inadequate’, while it could be perceived as respectful in language represents three-quarters of communication, it does African countries. not tell the whole story. Perhaps my use of formal language The following table indicates where various countries fall rather than slang was as much a detractor in not getting that first in respect of the high–low individualism dimension: job as my shyness was. Adrian Furnham maintains that language itself remains more African Time Is Not a Myth important than body language as a business tool. “Despite the A leading copier company ran an advertising campaign popular claims that 70% of all information is processed by means aimed at businesspeople that declared: “Time is money”. But of nonverbal unconscious channels, the ability to speak and time means different things to different people, depending interact in the language of your business partner is much more on where you are in the world. Business negotiations take impressive,” says Furnham in Body Language in Business, which time and, culturally speaking, you don’t want to be seen as he co-authored with Evgeniya Petrova. rushing things or as dragging your heels. Time is therefore Furnham concludes that some languages also seem better viewed differently across the world. “For some it is flexible, for certain functions. “Hence George III, who purportedly fluctuating and cyclical; others see it as rigid, constant and spoke to his horse in German, his cook in French and his lover linear,” says Furnham. in Italian.” The starting point is to choose your words with care, and depending on who you are High individualism Middle score Low individualism addressing and the circumstances! Asia & Australia, New Zealand Japan, Thailand, China, Navigating the Cultural Divide Oceania India Singapore, Korea, Communicating with a person Vietnam, Pakistan, from another culture can be Indonesia, Taiwan, potentially hazardous or helpful Malaysia (depending on how well you India, Portugal, Greece Europe UK, Ireland, Belgium, France, have done your homework). A Morocco the Netherlands, Germany, businessperson communicating with Switzerland, Sweden, Norway, their international business partner Finland, Spain needs to communicate in a way that Eastern Hungary, Poland, Czech Russia Romania, Slovenia, instils trust. “Body language definitely Europe Republic, Estonia Serbia, Croatia has a role to play here,” says Furnham. Middle East Israel Morocco West & East Africa, Arab “Given that we form opinions and countries make judgements in a split … second & Africa that are not only usually accurate but also pervasive and hard to change, USA, Canada Brazil, Guatemala, Ecuador, North & your gestures and body posture can Argentina Panama, Venezuela, South say more about you than your not very America Columbia, Costa Rica fluent local language.” Authors Hofstede and Hofstede proposed five useful “In the West, we are always short on time. Deadlines navigation tools with respect to cultural differences. These have to be met, delays are regarded as a sign of either lack of are: individualism–collectivism; high and low power distance; interest or abilities, both of which are good enough reasons femininity and masculinity; strong and weak uncertainty to turn the business down. However, Southern Europe such avoidance; and long- or short-term orientation. These as Spain, Italy and Portugal, and their former colonies in Africa dimensions enable a snapshot view into the values and drives and South America, have kept a different sense of time. It is of a particular society. Once you know where a country stands stretchable, non-pressurising, and adjustable to the needs of on these dimensions, you can deal with the members of the individuals. As such, decision making takes longer.” culture more successfully, anticipate their expectations, and So, in some cases, no news may indeed be good news. adjust your verbal and nonverbal behaviour in a timely and All your business partners are doing is making up their minds. appropriate manner. In many countries, individualism is the Adrian cautions: “Books on cultural communication are fraught norm, while West and East Africa encourage low individualism. with examples of how misunderstanding the attitudes to time in

CEO 2016 Vol 15.2

INTHEKNOW

another culture resulted in lost business opportunities, contracts and investments. Time differences also result in the degree of multitasking, such as how much concentration and attention is given to individual activities.” It’s All in a Handshake? Many of us have mistakenly believed ‘strong character, firm handshake’ and ‘overly strong handshake, proceed with caution’. But the way you shake hands depends on your culture. Guy Macleod in his book, Cultural Considerations in South African Business, says that the Western-style handshake is widely accepted, subject to certain conditions. “Greet the most senior or important person in the group first. Ensure that your grip is loose and soft rather than tight.” Exceptions are found in some African countries, for example the Ivory Coast and Kenya, where firm handshakes are made, says Macleod. In Arab countries like the United Arab Emirates, Yemen, Jordan, Saudi Arabia, Egypt, Algeria and Morocco, extremely soft (almost limp) handshakes are customary. Gestures Are Not the Same Everywhere “The lesson is often that one country’s good manners are another’s grand faux pas. Eating and drinking, greeting and the giving of gifts are all very culture bound. Gestures too do not travel: thumb joined to forefinger in a circle denotes Ok in the USA, zero in France, money in Japan and is an obscene gesture in Middle Europe,” says Furnham. It could be difficult undoing the bad impression that you have created from the wrong gesture. Imagine a scenario where your car breaks down at the side of the road. A helpful motorist in Europe lends you a helping hand to get you safely on your journey. As he drives away, you give him a friendly wave and an ‘Ok’ sign. Imagine his reaction! It is absolutely taboo in Arab and Asian countries to touch, pat or ruffle a person’s head (even a child’s). In these countries, a person’s head is considered sacred. Same-gender cheek kissing is customary practice.

Speaking frankly: Adrian Furnham, Professor of Psychology at University College London, is a sought after speaker who has written 57 books.

Anything to Anyone Anywhere: 5 Keys to Successful Cross Cultural Communication, recommends looking at some of the major differences in body language between cultures before travelling. When you want to show someone your approval, you can confidently make the thumbs-up gesture in the United States, the UK, Egypt, Israel, Iraq, Denmark and Australia. These cultures interpret it to mean agreement and positive affirmation. In Germany, Greece, Hungary, mainland Italy and China, you may not convey the same sentiment, but you’re unlikely to offend anyone. However, in Iran, Greece and Sardinia, the thumbs-up sign is comparable to giving the middle finger in the United States. People in many areas of South America and West Africa interpret this gesture to essentially mean, “Up yours!”. You want to create a favourable impression – you don’t want to A businessperson communicating with their international wind someone up! “As a rule of thumb (no business partner needs to communicate in a way that pun intended!), it is best to instils trust. avoid using any single finger as a gesture, unless you are absolutely sure it is appropriate for a particular culture or Arabs will sometimes touch your shoulder, arm, hand or country. Open-handed gestures, with all fingers generally knee during conversation, but never your head. Arabs indicate together, [are] usually considered the safest,” says Cotton. With disagreement or disapproval by raising their eyebrows or moving their head backwards. Residents in Saudi Arabia shake all these tips at your fingertips (quite literally), you should their head to say ‘Yes’. Don’t ask for directions unless you know hopefully be on your way to winning people over. the gestures in the country you are visiting! The thumbs-up sign is another gesture with different Sources: Body Language in Business; Cultural Considerations meanings from one culture to another. Gayle Cotton, in Say in South African Business; Say Anything to Anyone Anywhere

CEO 2016 Vol 15.2

INTHEKNOW

What

TIME

is it? It is Decision Time! by Quinton Doum

Strong leadership skills are widely acknowledged as vital tools in providing companies with a competitive edge in todayâ&#x20AC;&#x2122;s business environment.

CEO 2016 Vol 15.2

INTHEKNOW

he role of leadership, by definition, means that the weight of decisions falls onto your shoulders. Should your business purchase more stock despite a downturn in demand? Can you really afford to send your daughter on that school trip? Should you be making that particular amendment to this specific charter? The art of decision-making doesn’t have to be a continuous cycle of “what ifs”; when it comes down to the core of any matter, there are three questions that need to be answered before you can identify the wisest course of action:  What should start?  What should continue?  What should stop? The quality of your decisions as a leader is predicated by the quality of your diagnosis. The answers to these questions are what you need to put your time and effort into defining. Let’s use a small sales team as an example. The leader notices that the performance of the sales team is down, so she immediately schedules a team-building event and hires a motivational speaker, and then spends money on good food and a great DJ. The result? Everyone is happier than they were a day before, but the reality is that a lack of motivation wasn’t the true cause of the issue. Even though the short term morale will be significantly better, the problem of poor performance will probably not be solved. While some people in the sales team may need motivation, team building could work for them, while others may lack resources, or the knowledge or skill to perform at an optimum level. Some may be falling foul of a flawed sales process that has been systematically breaking down productivity over many years. From this example, we can see that, before making any decision, the first question should not be “what do we do?” but rather “what do we know?” In order to accurately define the problem and, therefore, the solutions, the leader must ask questions about the past, the present and the future. This may seem like an unnecessary effort, but without a good understanding of every lever, the quality of the decision will be compromised. Think about something as simplistic as going through a menu at a restaurant; the people who are clear about what they value and what their lifestyle goals are don’t spend much time looking at the menu because they have already made clear decisions and formulated values that dictate what they will or won’t allow into their bodies. For a leader who is making decisions on behalf of a big organisation, or on behalf of the shareholders who he is accountable to, or on behalf of a country that he serves (having a comprehensive decision-making framework is non-negotiable). Even in times of uncertainty, great leaders have to be decisive. By using the tools outlined above, they can become strong and resolute leaders by really delving into the heart of any issue, then using their own personal vision and values to lead them to the right path.

CEO 2016 Vol 15.2

INTHEKNOW

Orson Welles Would Be Proud by Samantha Barnes

Mark Taylor, Chief Executive, Nashua

CEO 2016 Vol 15.2

INTHEKNOW

A conversation about copiers isn’t likely to get a party started. Or on second thoughts, could it? Meeting Mark Taylor, chief executive of Nashua, shoots any prejudice out the window: that copier sales people are all flash and little substance. Taylor is smart. Nashua is edging out its competitors, in ways they couldn’t have foreseen with conventional thinking. “Mark is a visionary leader,” confides Nashua brand manager, Jessica Midlane. I have to agree: Nashua results prove it.

hirty years or so ago, Orson Welles, an American actor, writer and director - with a voice reminiscent of honeyed black coffee - was the voice behind the Nashua brand: Nashua. Saving You Time. Saving You Money. While the business has changed radically, the philosophy behind Nashua remains the same. In the mid ’80s much of the business revolved around printers and faxes. Today the focus is on managed document solutions, with specific software adding value to clients’ businesses. “Is the copier dead? No. Is the copier a commodity? Yes,” explains Taylor. He readily shares that lessons were learned along the way. “We tried to write our own software, but people use different platforms. Now we choose best of breed software with back office support to keep versions up to date.” Nashua has moved towards being an integrated business solutions provider spanning telephony, video, print, business process and document management, for SMEs, larger corporates and government. New Direction for Nashua Taylor was managing director of Nashua Mobile prior to heading up Nashua. He was involved in the merger of Nashua Cellular and Nedtel Cellular in July 2000. In October 2012 Taylor took over as chief executive of Nashua, as the company closed down its mobile arm known as Nashua Mobile. Some business decisions have been tougher to make than others: the closure of Nashua Mobile impacted many staff. “The tough part was the impact on 600 people,” says Taylor. “I personally visited the regions and spoke to all the staff.” In 2015 profits from the sale of the Vodacom and MTN subscribers for R2.26 billion were reinvested in Nashua. This was not an easy time by any stretch of the imagination. “Closing down products, because the business couldn’t support them meant a backlash from customers,” says Taylor. Within Nashua there needed to be a transition from being commodity based to providing customer value. Not all staff could adjust to this shift in thinking. “Henning Rudbech said, ‘Change the people or change the people’, recalls Taylor.

Adding Value to Customers “We as Nashua proactively manage some 60 000 devices,” says Taylor. “I can even tell you what the opposition’s machines are doing. This does not break security protocols. We don’t have access to content, just volume.” He shares the story of a chief executive who, prior to doing business with Nashua, thought his organisation was using eight printers, while in reality they had 32 printers. “Now with a cost centre code for each employee which they enter each time they print, he has a much better grip on toner cost and volumes in each department,” explains Taylor. Nashua is focusing on document management solutions, document management workflow optimisation, and expanded voice integration offers for its office automation franchisees. “We have team based selling now, which covers data and networked PC’s to workflow. So we are having entirely different conversations with our customers these days,” says Taylor. “The value to our customers is enormous.” Taylor’s project management background gives him “the discipline of follow through.” Under his leadership Nashua is delivering improvements in value add to customers. There has been a mind boggling uptake in using certain products. In 2015 alone Nashua billed 1 billion VOIP minutes. Nashua customers printed 4.8 billion copies. This equates to 154 prints every second. Billboard Magic Nashua is positioned under the banner of the Reunert Group which also includes ECN, PanSolutions (which includes Panasonic), and Quince Capital. “We have 100 referenced customers,” says Taylor. “We did an exercise to see how we as Nashua perceive ourselves: our internal culture and externally, we ran a ‘blue couch’ marketing campaign. We have stuck billboards across the country with different customers each sharing how Nashua has helped them.” One proud example is a medical specialist who was provided with the software to have a patient’s different records in one database, instead of umpteen filing cabinets. The software even automatically indexes the information into its relevant category through a barcode. Seaparo Pharo, chief information officer, Department of Arts and Culture, has put his face to the marketing campaign. Faced with the dual challenge of escalating printing costs and simplifying the management of devices across five sites, Nashua succeeded in reducing printing costs by 30% and reducing the fleet of devices from 450 to a fleet of 56. Nashua staff no longer interacts solely with the IT guy and the procurement manager. Team based selling is bringing enormous value to customers. “Saving customers time and money and putting them first is even more relevant today. It brings a lot more structure and focus,” says Taylor. “These are exciting times.”

CEO 2016 Vol 15.2

LIFESTYLE

Boutique Guest House by Samantha Barnes

offers

LIFESTYLE

Sublime Experience A sweet scent greets me as I step into the breakfast room of Angel’s Place Boutique Guest House in Pretoria. It is not the cloying smell of strong perfume. It reminds me of flowers, except that I am not in a garden. Rosemarie van Staden, homemaker extraordinaire/founder/ owner of Angel’s Place Boutique Guest House, leads the way to a patio. The chairs and couches are sprayed gold, reminiscent of ornate French period style furniture.

an Staden has none of the stuffiness that goes with that era. She has a flamboyant personality and a keen understanding of what guests require: being treated as if they were in heaven. Even interviewing her is a sublime experience. A warm hand towel is brought to me to ‘freshen up,’ before I indulge in Earl Grey tea, poured from a silver teapot into a dainty cup and saucer. It is easy to see why guests enjoy staying at Angel’s Place Boutique Guest House. The staff care. Van Staden is creative and ran a small clothing factory for many years prior to opening the boutique guest house five years ago, which is managed by her charming daughter, Martilize Claassens. Van Staden won the national lottery 13 years ago with a quick pick ticket. Her good fortune didn’t change her much. “I am an entrepreneur. I believe we need to work,” she confides. Of her interest in angels she says, “I am eccentric.” She is a respected leader in tourism and is the vice chair of the National Accommodation Association. “The important thing is the legacy which we leave behind,” says Van Staden. “Angel’s Place Boutique Guest House offers a unique experience.” One of her favourite past-times is gathering guests for dinner and visiting local restaurants in Pretoria to experience different types of cuisine. Breakfasts at Angel’s Place Boutique

Guest House are an occasion. The attentive staff wear white gloves and serve tea and coffee from a silver pot. The koi pond off The Breakfast Room is a flash of colour and a glorious way to greet the day. Special Touches Make Guests feel Pampered When guests check in they are asked, ‘What side of the bed do you sleep on?’ This prompts them to sleep on that side, providing a sense of familiarity. The high quality beds offer five-star comfort. Guest comments on Trip Advisor remark on a good night’s sleep and wish they could stay

longer. Angel’s Place Boutique Guest House attracts many regulars, mostly business people. All 12 bedrooms are decorated in an angel theme, each with a different arch angel mural. All guests - whether business people or holiday travellers - appreciate the niceties extended to them. These include a ‘sweet dreams’ turn down service, silk gown and complimentary slippers, silver tea sets in the bedrooms, complementary water and a sherry. “We are the only guesthouse in South Africa as far as I am aware that offers a prayer mat for Muslim guests,” says van Staden. When guests depart they are given an organza bag with rose quartz. All these little touches add up to something different. The guesthouse is conveniently located, with secure parking and conference facilities for up to 40 people. Intimate wedding parties are welcome. Consider treating yourself or a loved one to a stay at Angel’s Place Boutique Guest House. Experience the beauty and artistry of the angel murals which adorn the walls and ceiling throughout the hotel. There is no need to go on an art tour to Italy. The tranquil beauty of the surroundings is balm to the soul. Contact Martilize or Rosemarie on E-mail: info@ theangelsplace.com or www. theangelsplace.com

CEO 2016 Vol 15.2

LIFESTYLE

As the capital city of the Kingdom of Thailand, Bangkok has been recorded as the most visited city in the world. In context, the number of visitors far exceeds those visiting the fashionable cities of New York, London or even Paris. But what is it that draws millions of visitors every year and, most importantly, why should a transit visitor stop over for a short stay? What exactly is the essence of Bangkok?

One

Night in

Bangkok

LIFESTYLE

hailand, hailed as the “land of smiles” and known most for its picturesque islands and beaches, has much more to offer than Instagram opportunities. Bangkok itself is a concentrated cauldron of all that is Thai, offering every visitor, from the first-timer to the adventure seeker and even the discerning traveller, an experience that will forever change you. Being the portal of entry for millions of annual holiday makers seeking out Thailand’s famous beaches, it is not only easy to add on a stop-over but quite essential to round off your experience of the country as a whole. For a single day visit, overnight stopover, the city is a shopping mecca with a lively spread of malls, markets and street vendors offering everything from big brand shopping to an eclectic mix of Thai crafts and goods that will delight friends back home. It helps tremendously that the country is

who cook right in front of you, or even the up-market restaurants and sky bars overlooking the cities best views while serving carefully prepared, beautifully presented dishes. Gastronomes will find no end to the selection of eateries on offer and it is well worth sampling the Thai flavours at every opportunity. If you have an additional half-day, the perfect introduction to local life will come in the form of a bicycle tour with a reputable company such as Spice Roads. These small groups of guided tours have grown in popularity, despite the intimidating traffic in the city. Thai drivers are generally very respectful and aware of cyclists, because the city streets are literally teeming with motorcycles, bicycles, tuk-tuks and pedestrians. Pedalling through the streets is an exhilarating experience, affording the opportunity to explore

still an affordable destination, even for South Africans where the Rand goes far. Mobility is surprisingly easy, despite the obvious language barrier. Every person you meet is more than willing to help with directions and advice, and armed with a map, most visitors can get around using the incredibly simple BTS Sky Train, conventional taxis or the local tuk-tuk. A traveller’s tip for would-be shoppers: seek out a shopping guide ahead of time and try to pre-select the markets and malls you wish to visit. This will save you valuable shopping time when you arrive. The rate of exchange works in the traveller’s favour, as luxury hotels are available at very affordable prices. When selecting a hotel, you can consider The Ramada Plaza Menam which is located in the quiet riverside district, overlooking the meandering Chao Phraya River and within walking distance of the popular tourist night market, Asiatique. For the bolder visitor wanting to be in the hub of the city, the brand-new Moevenpick Sukhumvit 15, located in Bangkok’s bustling central district places their guests within walking distance of public transport and high end malls. Thai food is popular the world over and there is no better place to experience the flavours of the country, than in Bangkok which offers authentic street food vendors

the lesser known areas of the city, or even the chance to move faster than traffic around you as you take in temples, markets and city highlights. For a more serene, calming experience, away from the intense sensorial experience of the city, visitors can head out of the city for a day trip to Ayutthaya, the once capital of Thailand before it was razed in one of the country’s historical battles with neighbouring Myanmar. Ayutthaya is now a somewhat rural town offering a tour of the Royal Summer Palace, built by King Rama V, offering beautifully manicured gardens and peaceful meandering paths around the grounds. In addition to this, the nearby ruins of the temples built for the community nearly 300 years ago are a moving tribute to the ancient religion of Buddhism, and a different visual delight to the golden temples in the city itself. Bangkok is a perfectly-positioned cultural hub that will offer any visitor an intense and lively experience. With something to suit all tastes, from highly acclaimed golf courses, a thriving city jungle, nearby beaches and islands and even family friendly activities, Bangkok has many faces to reveal. Whether you are visiting for the first time or have been before, do use the opportunity to stop here for even just one night, and discover Thainess in the vibrant capital.

CEO 2016 Vol 15.2

Artistâ&#x20AC;&#x2122;s way

the

by Samantha Barnes

Edward Selematsela is a full time artist whose work is sought after by corporate and private collectors, locally and abroad. Yet looking at the challenges he faces to earn a decent living prompts the question: are talented South African artists receiving sufficient recognition? CEO 2016 Vol 15.2

dward Selematsela’s studio is located on the first floor of his maisonette in Windsor East, Johannesburg. His studio is filled with light, a requisite for every artist. The small room is converted into an artist’s den though the addition of plastic sheeting on the floor. Selematsela shares the space with Bheki Mtetwa, a rising talent whose work with mixed media is original and eye catching. Their easels stand side by side at right angles to the window as if waiting to be bidden to another place of fantasy, paint and colour. “Art is another world,” Selematsela shares. “When I‘m emotionally not okay, painting brings me joy. I take my frustration out on the painting. Everything is sorted out. It’s like sleeping.” His current project is propped up against a wall - a watercolour of a teenager walking in the street, dressed in the latest gear, an umbrella held jauntily in her hand. Her face is in profile, but her body language speaks volumes. Selematsela is preparing a series of paintings for an exhibition in Hyde Park later this year. Perspiration plus Inspiration Talent is not enough: the discipline of putting in a full day’s work is what puts food on the table. The artists each routinely work a 12 hour day. “I work the painting until I am satisfied. My wife complains that I am continually working. But if you miss one moment…” says Selematsela. There are dry spells. After an extended holiday Selematsela is doing his best to get back into work. “Even after a day’s break it is a struggle,” he says. “You can cry sometimes and think ‘what have I done?’ Other times it just clicks – it just flows.” Mtetwa understands. “If I don’t work for two days when I return, I have slowed down,” he says. “I need to always work. If I miss one day it is fine.” Giving Back The course of many people’s lives has been changed by Selematsela’s efforts to uplift the community. In 1995 Selematsela worked as a voluntary child and youth care giver at a shelter for street children in Marshalltown, Johannesburg. He was studying graphic design nearby. “Street children used to vandalise cars and steal. They were angry,” he reflects. Selematsela had a brain wave, ‘Why not teach them art? It will keep them busy and will be a way of helping their anger’. He started out with 20 children, painting in a basement. Today one of them is employed in IT and has an IT degree. Selematsela successfully applied on his behalf for a bursary. “It wasn’t easy starting Little Artist School,” says Selematsela. “The children wouldn’t understand what I was trying to say. I gave them crayons and the freedom to create. When I said ‘Wow that is great,’ they started loving it. Then Wits arts students started visiting to motivate them.” The Deutsche Bank supports Little Artist School as a corporate social investment project. In 2006 Deutsche Bank sent some

students to London to visit places like the Tate Art Gallery, AVA, the British Gallery, and Tate Modern Art. In 2015 pieces from the youth development project were shown at ‘Chefs Who Share - The Art of Giving’, which was held at the Mercedes Benz dealership in Century City, Cape Town. The Chefs Who Share initiative has generated income for senior students. Selematsela encourages them to buy their own materials, as they need to become self-sustaining. The Teacher is Also a Student Like his students, Selematsela has benefitted from the kindness and guidance of others. “The late Dulce Robinson nurtured my art and taught the children. Her husband, Peter, helped me understand the business side of art and to source exhibitions.” Dream Becomes a Reality Mtetwa’s encounter with a portrait artist in Durban captivated his interest. “I waited for him to finish and asked how I could become a portrait artist. He told me to practise.” Now based in Johannesburg, Mtetwa has received tuition from Selematsela for seven years. Selematsela says of his student: “Bheki learns easily. He was talented before. You just need to unearth what he has. At first he struggled with water colours. His collages are outstanding. I believe that within two years we are going to see a very good artist. Some people have started collecting his art.” Supporting Artists “Art is part of the economy,” says Selematsela. “If you look at how much paintings reach at Christies & Sotheby’s, we need to compete with the world as artists.” Many South Africans are uneducated about art and don’t understand that it is his occupation. “They ask me what I really do,” he confides. Mtetwa is shy, but he is outspoken about his decision to become an artist. “It was very hard, but I sacrificed until I started selling. I’m happy working with Edward. He is humble and patient. You can ask him anything.” Contact Edward Selematsela on edwardselematsela.com

CEO 2016 Vol 15.2

LIFESTYLE

Bongi Reflects on Becoming a

Soul Sister Among South African alternative soul singer Bongi Mvuyana’s earliest memories is her father playing records over the weekends. Her dad enjoyed a wide selection of musical genres. This may have subconsciously influenced her appetite for music from all over the world. Mvuyana is no dreamy eyed wannabe. Still in her twenties, her songs have been played on radio stations at home as well as in Nigeria and Ghana.

iscipline is at the core of Bongi Mvuyana’s success. Her five year plan is to release more music and to perform internationally. “I enjoy the stage so this will be a very big part of my career in the years to come,” she says. Her first album Dopamine was released in 2015 and is attracting good reviews. She regards this as the highlight of her career. “We spent almost three years creating this album. The journey was challenging but beautiful. I learned a lot about myself as an artist during this time, so it will always have a special place in my heart,” she says. The music and lyrics are authentic and a reflection of what is going on in her life. The theme of the album covers different aspects of love. Mvuyana writes much of her material. For anyone contemplating becoming a song writer, how to go about the creative process depends on who you ask. Rising talent Mvuyana usually works on a melody first, with the words inspired by that. Unlike some singers and songwriters she studied music at school. These days playing the piano takes second place to singing. “I used to play the piano fluently but not so much anymore. I focused heavily on being a vocalist and honing that part of my craft,” she says.

CEO 2016 Vol 15.2

Bongi Mvuyana, Singer and Songwriter

by Samantha Barnes

Life Inspires Song Writing Mvuyana is dedicated to improving her song writing skills and heeds the advice of rhythm and blues singer, Maxwell who allows himself to go through enough experiences to allow him to write about them. “It’s a great way of keeping your writing authentic,” she shares. Giving expression to her life experiences helps her connect with audiences. “People always connect to authenticity,” she says. No newcomer to live performance, Mvuyana joined a band called Stereo Night School in 2011. “It was an alternative rock and soul band. This interesting experience prepared me for my solo career and for musical collaboration.” The desire to create was always there. “Music has always been a passion and that passion drove my decision to become a singer,” says Mvuyana. Refining her singing ability is a never ending pursuit. Her vocal coach, Malie Kelly told her, “Never stop investing in your craft.” Every artist has a dream which they aspire to. Mvuyana’s ambition is to perform at Coachella Valley Music and Arts Festival in California. In the meantime Mvuyana is thankful to all the people who have contributed to her music, from managers and agents she has worked with, to all the bands she has played with, and vocal coaches and engineers. “There’s no one person who singlehandedly contributes to an artist’s career, says Mvuyana. “Every person plays an important role.”

LIFESTYLE

Siphiwe Khumalo tells it as it is. It’s an advantage to be made this way when you take people on tours through Soweto. Tourists and locals want to experience the real deal. Meet the people who live there. Visitors don’t want ‘here comes a bus loads of tourists’ codswallop about pretty people living perfect lives. Soweto is sprawling (with over 3 million residents) and world famous.

Soweto Out and About in

by Samantha Barnes

“I

started a football club when I was 13,” says Siphiwe Khumalo, manager of Township Travel, of his entrepreneurial mind-set. Khumalo and his schoolmates sourced their fledgling football gear from a rubbish dump in Soweto. “We collected these big bags of mealie meal, emptied them, and used the bags to makes ourselves football shirts,” he says, adding that they soaked the material in bleach before donning their kit. Happy to hear it! “I even had my players sign contracts,” he says, with a grin. “We would practise every day after school on a school ground. My friend James, who is now an attorney, wrote to surrounding teams asking if we could play against them in a match.” Khumalo managed his team for four years, before switching his focus elsewhere. Raised by his father, he experienced Ubuntu on the streets of Soweto. “Every parent was my parent,” he says with nostalgia. “They would say things like, ‘You don’t deserve to hang out with those guys. Focus on what you are doing’.” Although his family was involved with crime, Khumalo was told to lead another way of life. ‘You don’t have to use crime as a weapon,’ they said. “We can take disadvantage and make it an advantage,” he says with the spirit of one who is forging a positive path for themselves.

Helping Others Khumalo is thankful for the mentorship that he received from Joe Motogi, the owner of a tour company. Khumalo himself spotted an opportunity that could serve a dual purpose. He would train some tour guides. Their employment would uplift an impoverished community while reducing the incidence of crime committed by desperate opportunists. He assists residents living in informal settlements like Elias Motsaoledi, through the support of tourists. He had a vision. “We wanted to encourage their children to attend school. We wanted visitors to Soweto to help achieve this.” A businessman from Minnesota in the US brings out groups to Soweto several times a year. “He gives them a picture of South Africa. They also visit Kwazulu-Natal and are involved with projects to build classrooms.” Touching Shoulders with Causes and People Khumalo meets interesting people throughout his work as a tour guide. He met the crew of the Ophrey Winfrey show with the launch of the first 6664 concert which was held in Cape Town in 2002. He took them on a tour of Soweto. In 2006 he got to meet entrepreneurs vying for the title of best entrepreneur for a TV show hosted by businessman Tokyo Sexwale.

Feeling Good At the heart of Khumalo’s business Township The team at Township Travel is intent on attracting Travel is the philosophy that people go on tours more South African clients to experience the of Soweto mostly for the experience. They get to wonders of a Soweto township tour. see important historical sites, different lifestyles and cultures. “It’s all about the feeling, meeting people and having lunch with families,” Khumalo explains. Professor Carol Lee, who is a published author, visits from “Meeting the characters, like the uncle who is always telling the UK each year. She has personally assisted a family living in stories. Connecting with a family and eating traditional food an informal settlement. She extended their one room dwelling around a table.” to a three roomed home, and equipped it with comfortable furniture. Khumalo supports her in this initiative. He introduces visitors to customs such as ‘seven colours, the name given to a meal eaten on Sundays. “The lady of the Something for Everyone house will prepare a colourful meal which includes foods The team at Township Travel is intent on attracting more rarely eaten during the week,” says Khumalo. South African clients to experience the wonders of a Soweto Visitors are unprepared for what they see and experience. township tour. Sights include a visit to the 95 000 seater FNB “They are surprised by the wealth in parts of Soweto such Stadium which cost R3, 3 billion to build. The largest crowd it as Diepkloof Extension which locals refer to as Diepkloof has seen was 74 713 people when the All Blacks played the Expensive. The locals have names for cars like BMW’s: Be My Springboks in August 2010. Township Travel has been taking Wife, Bob Marley and the Wailers, and Black Man’s Wheels.” visitors on personalised tours of Soweto since 2002. Khumalo Khumalo also gives visitors a glimpse of developments in and his team offer various tours including four hour express Soweto, which include the rent to buy scheme known as tours of 10 people or more for R200 per person. Orlanda Ekhaya and the Soweto Waterfront. Visitors are interested to hear that successful people like Irvin Khoza Contact: www.sowetownshiptours.com or www.townshipchoose to live in Soweto because they call it home. travel.co. za

CEO 2016 Vol 15.2

Capturing the Light Browsing through a portfolio of professional photographer Brenda Biddulph’s work, makes me want to grab a camera and take a photo. Attempting to create a visual moment like the many she has created is not easy.

Brenda established her own photographic business four years after graduating from the National School of Photography in Pretoria. She had gained experience in advertising, corporate photography, weddings, school photography and publications. Today her business, Monsoon Photography, has a faithful following of diverse clients who entrust Brenda and her team with repeat business. Putting a person at ease is an accomplished skill. Even the most senior executive can be a reluctant subject when a camera is pointed in their direction. Monsoon Photography has become a popular name to call among organisations needing photos for annual reports and events. The Monsoon Photography team has the ability to charm a smile out of the most world-weary executive. “We ignite with a jovial professional approach,” says Brenda. Brenda’s special love is vibrant fusion photography and experimenting with her “fascination for light”. The recipe for success behind Monsoon Photography is simple. “Our enjoyment of the profession

and passion for people attract clients to call on our services again and again,” she says. Monsoon Photography works on site and in studio, depending on the client’s requirements. Their studio, situated in the eastern suburbs of Pretoria, is perfect for family portraits and for shooting music videos. The experienced studio and on-line photographers that comprise Monsoon Photography share two things in common: a fascination for light and an eye for detail. With clients as diverse as Deloitte, Sasol and The Land Bank, Monsoon Photography adds a creative and professional touch to whatever the occasion.

Contact 083 452 4530 www.monsoonphotography.co.za

LIFESTYLE

by Carl Wepener

Mercedes-Benz SUVs

Excellence in the Namib Desert The Namib Desert is renowned as being the oldest desert in the world and also as a very unforgiving place for the ill-informed and the unprepared. It has the most interesting of habitats, with hidden ‘jewels’ – no, not only diamonds, but also the fauna and flora that make it unique.

CEO 2016 Vol 15.2

LIFESTYLE

Bringing your prestige vehicles to a launch in order to be tested by journalists, most of whom have no desert-driving experience, is not only bordering on the insane, but also means that you either have complete trust in the quality, performance and capability of your vehicles or are totally certifiable.

ooking at the Mercedes-Benz SUVs or ‘G’ line-up, one has to say that it is well suited to the Namib. The first in the line-up, the G Class, which has been around since 1979, is as robust and as hard as the Namib itself. The second, the GLE (previously the ML), is as unique. It was the first SUV vehicle among all the brands and has been in existence since 1997. Again, it sets the benchmark for other manufacturers to follow, and, though it is very refined and not a true off-roader, it dealt with the Namib and its canyons with ease. The GLE looks like the pristine granite mountains set against the harsh sun and portrays its beauty from all sides. The third in the line-up is the GLC. This is totally new to South Africa and will compete directly with the likes of the BMW X3, the Audi Q5, and the Porsche Macan. It is a medium-sized SUV for Mercedes and will be very popular owing to its size and its capabilities both on- and off-road. The GLC floated over the gravel Namibian roads with elegance and comfort. Taking the GLC off-road through some daunting canyons and over rock-strewn tracks did make for some very worrying moments – and, yes, there were some ‘plastic parts’ that were damaged as a result of a really rough section. Wrong settings or just plain stupidity on the part of the drivers was to blame for most of this. The GLC really impresses with its overall capability and its comfort. It is by no means small and has a great heart – just like the desert we tested it in. We experienced a sandstorm and rain – the first rains in the area since 2013 – and so our journey back to Swakopmund

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in Cessna 210s was a bruising affair owing to the storm. Our flight was not nearly as comfortable as in the ‘Mercs’, and, whereas I never hit my head against the roof of any of the SUVs during our off-road section, I indeed hit my head in the Cessna because of the storm chasing us and the greater instability. That said, the Namib Desert scenery is amazing from 1 500 feet. Its beauty and impact are beyond comprehension. However, the low-level flight merely added another dimension to our experiences. The same can be said of all ‘the Gs’. I have driven them for thousands of kilometres in many different types of terrain, yet there was so much more to be explored in the desert, where other unique treats were on offer. We had the most amazing dinner in a riverbed – with the steep rocky banks covered in candles and stage lighting, and food to die for – but the conversation was all about the capabilities of, and the experiences with, ‘the Gs’. The next day, however, would see us making fools of ourselves amidst the Namib dunes. The following morning found us at the location where the latest Mad Max movie was filmed. We were also entertained regarding the sandstorm featured in the movie. The ecotourism fundi had the daunting task of getting us through the dunes, or, more correctly, over the ‘dune obstacles’. Driving over sandy dunes is a totally different story and, except for some – yes, only some – of the experienced dune drivers, most drivers got caught out and became stuck. There were even some tears and some sulking, as the guide did not suffer fools gladly and those who didn’t consider the fragile ecosystem. Knowing your vehicle is but one

LIFESTYLE

MODELS

aspect determining your success. Knowing the environment is the other major ingredient. Nevertheless, one can be lulled into a false sense of accomplishment when driving any of the Mercedes-Benz SUVs, as their technical excellence made everything look and feel much easier than what was being experienced. Experience of the terrain, common sense and listening to the instructor were the difference between success and getting stuck. Mercedes-Benz did not try to impress us with a great launch set at a great location – which it in fact was – but rather gave us an opportunity to see what their ‘G’ vehicles are capable of and how much they can be enjoyed. All Mercedes-Benz G-Class models now offer up to 16% more power. The range includes the G 350 d, with performance up from 155 kW to 180 kW, and the AMG G 63, also with improved performance up from 400 kW to 420 kW. A new suspension setup, together with more sensitive ESP® control, results in increased driving stability, safety and road comfort. The exterior and interior have also been given an upgrade. The exclusive AMG EDITION 463 is also being launched. A familiar feature of the AMG variant, the 7G-TRONIC PLUS automatic transmission in the G 350 d model now also features a manual transmission mode. The new GLE, previously known as the ‘M’, is a face-lifted model accentuating the newest trends G 350 d V6 in the Mercedes-Benz stable. The radiator grille, 2 987 cc, 180 kW @ 600 Nm, and reaching bumpers, headlamps, wings, and the bonnet with 100 km/h in 8.8 seconds. Price: R1 418 000. its two power domes, follow the current clear AMG G 63 design and look great. New headlamps with daytime V8, 5 461 cc, 420 kW @ 760 Nm, and reaching driving lights form the brand’s hallmark eyebrows. 100 km/h in 5.4 seconds. Price: R2 156 000. The tail end of the GLE is matched to the current design, with new LED tail-lamps. Also striking are the Edition 463 redesigned tailpipes integrated into the lower section of AMG G 63 the bumper. V8, 5 461 cc, 420 kW @ 760 Nm, and In the interior, the larger media display stands out and reaching 100 km/h in 5.4 seconds. emphasises the sophisticated design of the interior. The centre Price: R2 306 000. console houses the COMAND Controller. New safety features include the DYNAMIC SELECT Controller and the semi-integrated media info display on the dashboard. The revised multifunction steering wheel and the Audio 20 CD infotainment system with a 17.8 cm display and communications module are also standard features.

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As with all Mercedes-Benz passenger cars, the GLE range comes standard with the class-leading PremiumDrive maintenance plan.

GLE 250 d 4MATIC

R863 000

GLE 350 d 4MATIC

R964 000

GLE 400 4MATIC

R959 000

GLE 500 4MATIC

R1 166 000

(Pricing includes 14% VAT but excludes CO2 emissions tax)

market segment to offer the option of fitting the chassis with a full-support, multichamber air suspension system and electronically controlled, continuously adjustable damping. The AIR BODY CONTROL suspension combines excellent driving stability and sporty agility with optimum comfort and outstanding off-road capabilities. The GLC offers the DYNAMIC SELECT handling control system with five driving programs as standard. In addition to the ECO, COMFORT, SPORT, SPORT+ and INDIVIDUAL settings, the new all-rounder can be equipped with the Off-Road Engineering Package. This comprises up to five programs. Four off-road-specific driving modes apart from ‘Slippery’ are completely new: Off-road, Incline, Rocking with a ground clearance of up to 227 millimetres, in conjunction with AIR BODY CONTROL and a trailer. The magnificent nine-stage, 9G-TRONIC automatic transmission also comes as standard for the GLC 220 d 4MATIC, GLC 250 d 4MATIC and GLC 250 4MATIC. Depending on the mode selected for DYNAMIC SELECT dynamic handling control, the automatic transmission with a torque converter boasts great agility and responsiveness. Mercedes-Benz Intelligent Drive

Proposition

VALUE

The latest and newest model of the Mercedes-Benz SUV range is, of course, the GLC and it will soon take its rightful place in the SUV market. What stands out and impresses are the AIR BODY CONTROL multichamber air suspension that is without parallel in this segment, the extended range of DYNAMIC SELECT dynamic transmission modes, and the 4MATIC permanent all-wheel drive. These not only increase ride comfort, but also the vehicle’s sporty agility – whatever surface it is being driven on. The design philosophy behind the new GLC essentially favours sensual purity and modern aesthetics over the classic off-road look. The GLC represents a departure from its progenitor – the G-Class – only in terms of appearance. On a technical level, it sets new benchmarks in all areas, with the mid-size SUV’s off-road capabilities being outstanding. A superior and spacious interior awaits occupants and their luggage. A key aspect of the interior design is the dashboard and the centre console. A large, one-piece console panel performs an elegant sweep below the semi-integrated media display from the centre air vents to the armrest. The newly developed touch pad in the hand rest over the rotary pushbutton nestles ergonomically in the centre console. The new GLC features AGILITY CONTROL and a variable damping system as standard. It is the sole model in this

As part of the Intelligent Drive concept, these systems combine data from various sensor technologies to enhance comfort and safety substantially. COLLISION PREVENTION ASSIST PLUS, Crosswind Assist, Headlamp Assist and ATTENTION ASSIST are on board as standard.

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As with all Mercedes-Benz passenger cars, the GLC 4MATIC comes standard with the class-leading, sixyear/100 000 km Premium Drive maintenance plan. (Pricing includes 14% VAT, but excludes CO2 emissions tax) GLC 220 d R599 900 GLC 250 d R619 900 GLC 250 R604 900 GLC 300 R654 900 Although the ‘Gs’ are very well speced, optional extras are available to individualise the vehicles and can add up to R300 000 to the price.

Not only does the legend of the G Class, the GLE Class and the GLC Class live on, but efficiency, luxury and pure enjoyment form part of this encounter – an encounter that builds confidence and keeps you coming back for more.

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LIFESTYLE

by Carl Wepener

Ford Ranger

Smart & not kind of tough,

IT IS TOUGH!

The Ford Ranger’s bold new design oozes charm, confidence and, of course, aggressiveness. It looks good, is extremely comfortable, competitive and refined, and yet as tough as nails.

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t stands back for no one as far as technology and functionality are concerned. Driving the Ranger over all types of terrain really gave me a feeling for the vehicle’s capabilities. Not only is it refined and technologically advanced, but the new interior is also well crafted, stylish and modern, with a redesigned instrument panel for improved functionality. The dual TFT instrument cluster is informative at a glance and easily accessible. However, the digital rev counter on the Wildtrak is too small to be practical and looks ‘squeezed in’. Advanced features introduced as segment firsts include SYNC 2 and Lane Keeping Aid, which are essential as far as I am concerned. Adaptive Cruise Control is user-friendly and also something to consider as standard on vehicles. Other features are Driver Impairment Monitor, and Front and Rear Park Assist. The SYNC 2 vehicle connectivity system features a highresolution, eight-inch touch screen for easy control of entertainment and contact photos, while album cover art is displayed on-screen. (The features vary according to the model). Voice activation of the SYNC 2 system works well and the touch screen gives you all you need at your fingertips. The air conditioning is effective and well designed into the facia. Stylish and durable materials, especially in the Wildtrak and XLT, give the interior a car-like level of comfort while maintaining the practicality of a truck. Space at the back and front is good for five grown-ups to enjoy long drives.

Data at a Glance  The latest-generation Duratorq 3.2 l, five-cylinder TDCi provides 147 kW of power and 470 Nm of torque.  The Duratorq 2.2 l, four-cylinder diesel provides 118 kW of power and 385 Nm of torque – or opt for a high-efficiency 88 kW variant.  The Duratec 2.5 l, four-cylinder petrol engine provides 122 kW of power and 226 Nm of torque and is compatible with E20 fuel.  Electric Power Assisted Steering (EPAS) gives the new Ranger light and manageable steering for low-speed manoeuvring when parking and precise steering at higher speeds.

The exterior has a freshened front-end grille that looks aggressive with chiselled projector headlamps, features that make the Ranger one of the bestlooking vehicles in its class. With its big load box, the Ranger is very capable. However, a concern is the gap between the load box and the lid when the lid is down, as this could quite easily damage goods or injure animals that step into the gap. The Ranger has ample power owing to the latest-generation Duratorq TDCi engines and new Electric Power Assisted Steering (EPAS). What is more, the Ranger is up to 22% more fuelefficient. My fuel consumption on the 2.2 l Duratorq averaged 7.7 to 8.3 l per 100 km. A refreshed line-up of 33 models, spanning Single Cab, Super Cab, Double Cab and Wildtrak, is available to buyers. For the Single Cab, 12 models are offered, ranging from the Base 2.5 petrol Chassis Cab to the 3.2 XLS 4x4 with manual transmission. The Super Cab line-up has six variants, starting with the 88 kW, 2.2 Duratorq TDCi 4x2 and topping out with the all-new 3.2 4x4 automatic, which is offered in high-level XLT guise. A revised Double Cab range sees the addition of two new variants for a total of 15 models, featuring the new 118 kW, 2.2 Duratorq TDCi XL 4x4, as well as a luxury XLT-spec 2.2 TDCi 4x2 mated to a manual transmission. The 3.2 TDCi XLT is available in 4x2 and 4x4 versions, with the choice of manual and automatic transmissions. The popular, eye-catching Wildtrak can be specified in 3.2 TDCi 4x2 manual or automatic, or the range-topping 4x4 automatic. All models are sold with a four-year/120 000 km comprehensive warranty, a five-year/ 100 000 km service plan (excluding Base derivatives), three-year/unlimited-kilometre roadside assistance, and a five-year/unlimited-kilometre corrosion warranty. Service intervals are every 20 000km on both petrol and diesel modes. All 4x4 vehicles sold include a free 4x4 training course.

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Other Features The Ranger is packed with technology, with very few items being optional items. Driver Assist Technology includes Adaptive Cruise Control, which uses radar to slow the vehicle down when slow-moving vehicles are detected ahead, and then returns to the pre-set speed when the road clears ahead. Forward Alert with Collision Mitigation warns you of possible collisions by giving an audible and visual warning, and charges the brakes to ensure optimum braking performance. Trailer Sway Control gives stability by adjusting engine power and braking selectively to maintain trailer control. Front and Rear Park Assist also provides audible warnings when approaching obstructions at low speeds. A rear-view camera helps when reversing into a parking space or hitching up a trailer. And the Tire Pressure Monitoring System alerts you when tire pressure is too low. Lane Keeping Alert and Lane Keeping Aid prevent unintended lane departures. If Lane Keeping Aid detects that you are driving out of your lane, it gently steers you back on course. If you don’t take action, Lane Keeping Alert warns you by way of vibrations in the steering wheel. Electronic Stability Control and Rollover Mitigation keep you on track by reducing torque and selectively applying individual brakes to stabilise the Ranger when it detects a loss of control. The latest Ranger is an uncompromising blend of robust capability, craftsmanship and advanced technology and will again be a real competitor in its field. Says Tracey Delate, General Marketing Manager, Ford Motor Company sub-Saharan Africa Region: “The new Ford Ranger brings a new level of comfort and refinement to its segment without compromising on the rugged capability that our customers demand and have come to appreciate from the current model. It represents a smarter kind of tough, and will help our customers to achieve more in every type of application.” She further notes: “The current Ranger is one of the toughest, most capable pickups out there, and this is reflected in the exceptional sales of the Ranger to date.” The present Ranger, manufactured at Ford’s Silverton Assembly Plant, is being exported to 148 markets in Africa and Europe. The Duratorq TDCi engines are manufactured at the Struandale Engine Plant in Port Elizabeth. The new Ford Ranger remains one of the most capable pickups in its class. With an exceptional 800-mm, water-wading depth, and with 230 mm of ground clearance, it is designed and engineered to handle the most extreme of terrains with ease. Thanks to a 28-degree approach angle and 25-degree departure angle, you can feel confident when taking on steep obstacles. An electronically controlled transfer case allows 4x4 models to shift on the fly from 4x2 to 4x4 high. Drivers can also engage low-range 4x4 gearing, while an electronic locking rear differential helps to improve traction in difficult conditions. Off-road strengths are matched to a towing capability of up to 3 500-kg payload capacity. I really enjoyed the Ranger and it will definitely be a bestseller for Ford, especially if the prices are competitive. Although the prices were not available at the time of the launch, I believe that they will range from R189 900 to R558 900.

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The current Ranger is one of the toughest, most capable pickups out there, and this is reflected in the exceptional sales of the Ranger to date.

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M o s t

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WOMEN i n

B u s i n e s s

a n d

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Developing Potential by Valdi Pereira

Maureen Odoi Founder and Executive Director of the African Aurora Business Network

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2015/2016 Maureen Odoi, founder and executive director of the African Aurora Business Network (AABN) knows that business success does not come easily. Therefore she established AABN over a decade ago to help aspiring entrepreneurs to realise their full potential.

“T

hings can be really tough for female entrepreneurs in particular,” she reveals. Most often they are active in the small- and micro-enterprises arena. There are a couple that have made progress in the medium business sector, but there is a lot of room for improvement.” One of the key frustrations women experience in this sector is the inability to generate enough profits that allows them to employ people with the right skills sets to help them take their business forward. In her view there is also a need to encourage more young college level females in entrepreneurship to ensure there is a steady flow of female entrepreneurially minded individuals available in the market. The enterprise development work that AABN does addresses this and other challenges. The organisation has developed an enviable reputation for delivering high quality work. It provides

Tough Choices She believes that women often face very difficult challenges in balancing their domestic responsibilities with their desire to grow and develop their business or sometimes even their careers. “As an enterprise development specialist I know there is a lot we can do to develop the skills of women and the broader business environment. Whether it be through partnerships, capacity-building, creative products or advisory services. “However, there is an important ingredient in any business, one that is often critical for growth, and that is access to and the management of credit. The expansion of a business can often hinge on successfully accessing more money to facilitate growth.” Maureen is a keen supporter of collaborative approaches that stretch not only across Ghana and the continent, but also across the world. She is not afraid of partnering with other women’s organisations who are also pursuing economic empowerment of their members. “After all,” she shares, “our vision is about encouraging strategic partnerships and if this means we are creating future opportunities, it is important that we support each other.” In an effort to ensure the real challenges that entrepreneurs

One of the key frustrations women experience in this sector is the inability to generate enough profits that allows them to employ people with the right skills sets to help them take their business forward. mentorship and networking opportunities for the MBA Global Business and Sustainability - Social Entrepreneurship Track, run under the auspices of the Catholic Institute of Business and Technology of Accra and the Graduate School of Business and Society of the Catholic University of Milan. “It is inspiring and confidence building when organisations of this calibre entrust you with an important part of their work,” she says. “It spurs one on to do rethink the way you run your business and even to explore new strategies for the future.”

face on the continent are experienced first-hand by future decision makers, she also hosts a number of international interns on a yearly basis. “Raising awareness is one of the best ways to ensure that we build positive momentum, which will eventually lead to opportunities becoming easier to access for female entrepreneurs,” she concludes. Article based on interviews at www.myjoyonline.com and www.modernghana.com

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2015/16

The prime motivation behind building a business empire is often financial rewards. However, in the case of Edward Boateng, the Executive Chairman of Global Media Alliance, the ability to influence change and build for the next generation of Africans was a motivating force.

Edward Boateng, Executive Chairman of Global Media Alliance

Inspired

by Africa by Valdi Pereira

“L

ike any businessman I won’t put money into something if it is not profitable,” he admits. “One has to acknowledge though that many big global brands are not just about seeking profits. They also look at finding ways to make a positive impact in the lives of people and I think if one can achieve this then you have a winning formula. Making a difference is must.” Boateng spent the early part of his working career for a number of multi-national organisations. However, it was when he joined Cable News Network (CNN), the subsidiary of Turner Broadcasting System that he realised things were possibly not what they could be in terms of media exposure on the African continent.

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Journalist Awards Not only was the reporting somewhat skewed towards American or European perspectives, there was also very little encouragement for African journalists, who often had to do their work under difficult circumstances. As a result he approached his employers with a view to starting an African journalism award. The idea was not immediately seized upon by his employers and he notes that corporate social investment was not much in vogue at the time.

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The challenge form his perspective is that many African governments don’t fully appreciate the power of the media in contemporary society and are reluctant to work across borders with other countries to build strong regional stories.

“I also think that Africa did not feature in the plans of many large corporations as strongly as it does today.” Nonetheless his persistence eventually saw the awards come to fruition and it is known today as the CNN Multichoice African Journalist Awards. “To their credit, CNN has stuck with the awards all these years,” shares Boateng. “I think they have come to realise, as I believed when I first floated the idea of developing the awards, that Africa needs an authentic voice telling African stories that reflect the true reality on the ground.” While no longer directly involved with awards (he hasn’t been for many years) he still keeps an eye on developments from afar. While acknowledging that he is proud of the strong growth and evolution of the awards he believes that relinquishing involvement was the right thing to do. “One should view projects of this nature like your children. At some point they grow up and it is time to leave home. The awards are certainly able to stand on their own feet without me.” Working Together He believes that Africa is presently in a period that requires all of its governments to work with their citizens and media companies to tell the good stories that are taking place around the continent. “I think China is setting an example we can all learn from. Chinese companies are working themselves into competitive positions. They enjoy the support of their government who makes a point of telling the good news story around these companies. Are we doing enough of this as African people? Are we supporting our companies?” He doesn’t believe these questions can be answered in the affirmative. The challenge from his perspective is that many

African governments don’t fully appreciate the power of the media in contemporary society and are reluctant to work across borders with other countries to build strong regional stories. “ETV is collaboration between Global Media Alliance and ETV of South Africa. It is an opportunity for two African companies to work together so that we can build our brands. One does not see enough of this across the continent.” In his view Africa needs to start telling its own story very quickly or it will risk losing out on the potential that the diaspora holds to help develop the continent. He relates the story of a Nigerian man in America who had lost his job as a tax auditor and was unable to find work. The man rebuffed his suggestion that he should return to Nigeria. Boateng eventually offered to pay the man’s airline ticket to return home and find an employment opportunity. Paying heed to his counsel the man returned to Nigeria and later contacted Edward to thank him for advising him to return home. “From the moment I realised he was unemployed with such a strong skill set for which there is demand in Africa I encouraged him to return. He had left Nigeria some 15 years earlier and his perception of the country had been coloured by what the American media wanted to show. “This left him wary of going home, because he believed that in the time he had been away very little progress had been made. It was only once he returned home did he realise that things are changing and they are changing for the better. It is our responsibility to share this with the world,“ he concludes. Article based on interviews available at www. modernghana.com and www.sunnewsonline.com

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InConversationWith

JX JX

At just 28 years Jason Xenopoulos was then the youngest CEO of a JSE listed company. Years later, his proudest moment, professionally speaking, has not happened yet. Xenopoulos challenges himself as much as the status quo. In 2010 three of South Africa’s leading specialist digital agencies merged to form NATIVE VML, South Africa’s premiere full services digital marketing agency. As Chief Executive of NATIVE VML, Xenopoulos heads up what he describes as an integrated agency operating in a digital world. Its mission: to create purpose-driven work that lives in people’s lives.

Jason Xenopoulos

What do you love most about being an entrepreneur? That sense of exhilaration I feel in the moment when a new idea is born.

ache) but it numbs the senses and anaesthetises the spirit. Stimulating art and original ideas are entheogenic, they expand your mind and broaden your perceptions.

What has age taught you? One of the most important lessons I have learned is to spend my time wisely!

What makes you a born entrepreneur? Starting new businesses is something I keep doing despite my determination not to!

What do you find preferable about conversations over conference calls? Meaningful human connections rely on nuance and subtlety – details that are often lost when interactions are mediated by technology.

‘If the digital world is the new frontier for innovation’ what marks the next frontier? The next frontier will be defined by our quest to transcend the limitations of our biology – to achieve immortality.

You have said that boredom comes from a lack of meaning and not from a lack of activity. How do you determine whether your work is meaningful? If I am passionate about something, chances are that it is meaningful to me. You have said that in the last few centuries we’ve evolved from Beethoven to Bieber, from Caravagio to Cartoon Network, and from Citizen Cane to Big Brother. What activities would enable a return to original thinking? Shallow pop culture is a narcotic, like heroin. It may satisfy certain cravings (and provide an escape from existential

CEO 2016 Vol 15.2

What is fundamentally wrong about the world economy? Everything. Neoclassical economics has run its course. Our obsession with consumption is eating society from the inside out. It’s time to reverse the current. What motivated the decision to call your company Native? It is a reference to our digital roots and our African heritage. Most importantly, it is a nod to our common humanity. Who inspires you? My wife - she is an incredibly talented writer, a fantastic wife, and an awesome mother … but most importantly, she is a truly great human being.

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Dawid Mocke Four-time World Surf Ski Champion

Colour could save your life. Wear a life jacket and bright colours when out paddling.