Three SA companies included in World's Top 40 list

Three South African companies have made it onto a list of the World's 40 Best Companies.
MTN, Sasol and Bidvest are included on the Global Top 40 list compiled for US magazine BusinessWeek by management consulting firm A.T. Kearney.

The top 3 companies are Nintendo from Japan and Google and Apple from the United States.

MTN was named as the world's 7th best company, with Sasol at 24 and Bidvest at 37.

According to BusinessWeek, the two groups of companies that stood out were technology and telecommunications companies tapping into the continuing demand for mobile-phone service and new digital hardware and services, and heavy industry and engineering companies benefiting from higher infrastructure spending.

The top companies have strategies that include:

• • Commitment to innovation
• • Diversified portfolios
• • Aggressive expansion
• • Strong leadership
• • A clear vision for the future

The Top 40 companies were selected by the management consulting firm A.T. Kearney from 2 500 of the largest publicly listed companies around the world.
The companies were chosen by calculating the median value growth rate and sales growth rate of companies with sales greater than $10 billion in 2008, with at least a quarter of sales from outside their home region.

For more information, visit BusinessWeek.com.

Russians Look Abroad For Political News

In the Russian newspaper Moskovskii Komsomolets, Mikhail Rostovsky and Mikhail Zubov argue that Russians must now turn to foreign media to learn about politics in their own country:

Russian society learns about important political developments from foreign experts and foreign media outlets, these days. Consider the news that Medvedev and Putin will decide what to do about presidency in 2012 among themselves instead of letting the people make the decision. Who do we owe this knowledge to? Correct. To American political scientist Nikolai Zlobin. Who did ex-President Mikhail Gorbachev choose to inform that this was not how presidents were supposed to behave? He told it to BBC. Finally, who was Yurgens talking to when he made his startling discovery? He was talking to Reuters.

They are talking about Igor Yurgens, an advisor to Russian President Medvedev who, it seems, is not afraid to tell it like it is to the foreign media. He recently compared Putin to the tottering Brezhnev, and here’s what he told Newsweek last February when he was blaming the government for the economic crisis and the need for democratic reforms:

Freedom of speech is vital. It’s one of the reforms Russia needs most. Then the old institutions of power should be broken. Now is the time to develop real democracy. If the crisis grows tougher, the reputation of United Russia [the ruling party] will suffer gravely. At the moment we do not have any real political competition, and few dare to struggle against the ruling United Russia party. The government needs to strengthen democratic institutions now—it’s a matter of the basic principles of survival. Just as the state created its “vertical of power” by fiat, it now needs to dismantle reform by fiat—for the sake of rescuing itself.

I’d be interested to see if there is any data to back up the assertion that Russians prefer foreign news outlets for their political news. Our exploratory studies of the Russian blogosphere show that Russian Web native sources like gazeta.ru are popular with politically oriented bloggers, but foreign news outlets like BBC also do quite well. Even US supported Radio Free Europe does relatively well, especially with more opposition minded bloggers and when compared to Radio Sawa, Al Hurra and other misadventures in the Middle East. And apparently Medvedev is even looking to bloggers for ideas these days.

SA Consumer Inflation under control.

South Africa's targeted consumer inflation slowed in line with expectations to 6.4 percent year-on-year in August, official data showed on Tuesday, ahead of an interest rate decision expected to yield no change.

The South African Reserve Bank (SARB) is due to announce its interest rate decision today and is expected to leave the repo rate unchanged at 7.0 percent, after cutting rates by 500 basis points since December.

Statistics South Africa said annual headline CPI inflation slowed from 6.7 percent in July and braked to 0.3 percent on a monthly basis from 1.1 percent, also in line with forecasts.

"At 6.4 percent, it may prove difficult for the SARB to cut today," said Leon Myburgh, sub-Saharan Africa specialist at Citi.

The central bank also looks at inflation expectations when deliberating on interest rates.

Central bank Governor Tito Mboweni said last week consumer inflation should continue moderating but the pace of decline may be limited by high power price increases and wage settlements.

Electricity tariffs went up by over 31 percent in July and wage deals across sectors have mostly been above 10 percent as workers press for higher incomes to help them cope with the country's first recession since 1992.

Mboweni also said the bank's forecasts consistently showed inflation back inside the 3 to 6 percent target range over a "reasonable time horizon".

Investec economist Annabel Bishop said even if the central bank did not cut rates on Tuesday, there was a chance of a reduction before the end of the year.

"We continue to believe there is almost an equal chance of a decision to cut interest rates by 50 basis points or leave them flat at today's MPC meeting. However, if no cut occurs we expect there will then be one in October, as CPI inflation moves below 6.0 percent," she said.

Reuters

Craig List's Weird Ads

Ok, it is Friday. Time to close this week with a lighter note. Telegraph.co.uk presents us with this funny piece of some of the weirdest ads that have been published on the famous Craig List, an online ad service. Enjoy, Relax.

Ralph Nader chair. "Yes, that's right. Ralph Nader, perennial Green Party candidate for the U.S. presidency MAY have sat in this very chair! It was used in his Washington, DC campaign headquarters until I purchased it on Craiglist several months ago. It has a nice red, commie upholstery and a sleek black plastic backing. The wheels don't function well, but that is a small price to pay for state control of the means of production."

I want some orange juice. "I'll give you $2 + cost if you'll deliver me some orange juice with receipt. I'm too lazy to get it myself. I live right by University Drive in Elon. Thank you."

Seeking adult drunk clown for 30th birthday party. "We need an Adult Drunk Clown who is good at getting drunk and stupid. No need to do any clown tricks, just hang out and drink a sh*t load. We will be hopping around to different bars and want a clown to tag a long and drink heavely. He doesn't even need to socialize with anyone, just drink."

17 more at Telegraph.co.uk

How to Increase Your Profits Today

In business we are all striving to make as much of a profit as we can, this is a no brainer idea that we all have, more money is always great! Over time many business owners tend to lose sight of the best ways to increase their profits, they get stuck in a rut and forget that as times change so should their strategies.

Take a look at everything you do in your business today in order to reach your expected profit goal, make a list of all the aspects that are not working quite as well as they use to, if at all. Then discard of these aspects, if they are not making you money why continue to do them?

Get out there in the business world and see what your competitors are up to. Take a look at their set ups, their customer base, their products, and services. You just may find something they are using to increase their profits that you never would have thought of before for your own company.

Sit down and think about the overall meaningful goals that you would like your business to reach. Most businesses, even those that are successful, are not setting meaningful goals, instead they just go about their business on a day to day basis. This is working for them, but in the mean time if they had future goals set on what their expectations were for that business they may find it easier to work their business knowing what they want to accomplish ahead of time. It gives you something to strive for, something to look forward to in your future.

Every small business owner makes decisions about their business. For example, they decide where to market, how to market, how much money to spend on marketing and sales, what types of products and services to market and sell, etc. These decisions are important – but they are not strategy. These day-to-day decisions are like the moves we make in a game of chess. Knowing how to make a move lets you play the game. It takes strategy and execution to win.

Low Cost Startups

If you are launching a startup company, saving money early on in the process gives your business a better chance of survival. Especially in this economy, money is tight and startups can’t always count on outside venture funding or even a loan from a bank. Here are some money saving tips for startups:

• Rent don’t buy. Obviously renting your office space helps save money early on. However, also consider renting office supplies, equipment and furniture to save some dough.
• Hire with care. Nothing drains money like too many employees. Early on, it’s better to have too few employees than too many.
• Find your niche. Many startups waste money by painting with too large of a brush. Instead, find your niche and use your money to attack that specific niche.
• Limit travel. Business travel is fine once you have a business that is bringing in money. Early on, though, it’s best to avoid travel if at all possible.

Blogs For Big Companies

If you work for a big Company and think it is time to have an official blog, be sure to make it attractive and interesting for your readers. A blog is an excellent tool to keep users informed and updated, but it has to comply with the image an PR requisites of your other communication efforts. And yet, the content has to be dynamic and useful for your readers, not only a self-praise newspaper. Some ideas of what your blog team (or PR agency) should be posting:

1) Read, follow and listen - you probably won’t get much in the way of results from blogging until you know what and how to write. Hire talent to do it, an experienced blogger (could even be one of your employees who is already doing this), or an Agency. Let your highest corporate level be in charge of it, don't leave it in the Marketing Dept. hands. Review it constantly and have a monthly report the first semester, then a weekly less detailed one. And at the same time, you should have an RSS Reader such as Google Reader to keep track of it and of other places where you, your company and your products are mentioned.

2) Write what people search – If you’re one of those folks who’s resisted blogging because you don’t think anyone would read your company's blog, don’t worry, they probably won’t. Most blogs aren’t read like a magazine, or like you might view it, they are found. In other words post the answers to the questions, problems, and challenges that you know your market is asking and seeking and your blog content will become the single greatest online lead generation tool in your mix. Discover the exact phrases people in your market are using when they search, and write valuable content around that and people will find your blog before they know your competitors exist.

3) Ask for participation – Blogging is one of the first ways to build an engaged community. People talk about building community on twitter and other social sites, but few things can compare to the engagement that can surround healthy debates, reader generated content and suggestions in blog comments. Write your blog posts in ways that invite people to comment, ask for their ideas, and even ask them to give their opinions. Over time, you will build community participation and you may find that blogging is more fun when it becomes a conversation. And more, it gives YOU some information about your market base, loyal customers, and unhappy ones too.

Fresh Money for Startups in Down Times.

A lot of people have been saying lately that the worst is behind us. That the good and positive aspects of the recession are finally arriving. But Truth is that it is not impacting the majority of people as of yet. New business owners and young entrepreneurs are having problems to find the necessary funds for their ideas and businesses. Where to look for then?

• Friends and Family. If there is a family member or friend who has available and enough funds to lend, that may be the best place to go right now. However, be honest about the upside and downside to your startup idea. The risks and probabilities. Don’t ruin a relationship!
• A Bank. Although credit is still tight, some banks are being pressured to release their grip on money. Don’t shoot down this avenue before you give it a try.
• Government Agencies. Most local, state and national governments are desperate for jobs. And since small businesses create millions of jobs each year, now is a good time to unveil your startup idea to a government agency.
• Yourself. Perhaps the best idea is to rely on yourself. Find a way to bring more money in and turn around and pour that money into your startup.

A Business Partnership?

You will most likely spend more time with your business partners than with anyone else - even your family. And it will be a relationship that can be even more complicated to get out of than a marriage. Who you choose to be business partners with should be given as much consideration in a deal as what products you make or what markets you enter into.

Dysfunctional partnerships are a major source of business failure. They suck energy and time away from building the business. They can often lead to the break-up of perfectly good businesses.

That being said, I think that if I have to pick one element as the most important it would be that you and your partner(s) share the same values, aspirations, and vision for the new venture. This requires a careful and thoughtful discussion of critical business issues BEFORE the business is ever launched.

Work with your attorney to create a shareholder agreement before you officially incorporate. Just as marriages can fall apart on the honeymoon, business partnerships can fall apart before the first sale is ever made.

Here is just a sample of some of the issues you should discuss with potential business partners:

• Do you share the same vision for the business?
• Do you share the same aspirations for the business in terms of its size?
• Are you all going to make the same level of commitment of time to the business?
• What are your work habits and work ethic?
• How much time off to you plan to take each day, each week, each year?
• How much money will you put into the business? And how much do you expect to get out of it?
• Who will be the President of the company? What roles will the other partners play?
• How strong is everyone's credit rating? Can all partners help to guarantee a loan, if necessary?
• What if one of you gets married and the new spouse gets a job offer in another city? Would you move away?
• How will employees, customers, suppliers, etc. all be treated?

Business partnerships can be a successful experience for everyone involved. But it takes open and honest communication and careful planning.

Local Roots

Creating your Business Community Base.

An article by Lisa Barone got me to reevaluate the importance of good networking, good neighbouring and good community relationships. It is not just a matter of being nice, polite and well educated for the sake of others, this is more about taking the time to build your supporter base which will become your natural referals as time goes by. You need to become active, an important part of your community.

How do you do this? With 4 tips like the following ones I am listing, or several related that will start popping into your head as you read.

1. Teach a local class: For one year now, I am teaching Business 101 at the local campus of my Alma Mater College. This is not only because I love teaching, but also because it let's me

keep in contact with college students that will grow up and graduate and have me as a referral. I also teach another course (Negotiation Skills) at another college. In this way, I have an audience, they know I know. With some luck they will come back to me for an advise, or to seek my help in the future. Besides, I get lots of free training for myself from the institution.

2. Join the Local Chamber of Commerce. Ok, in Mexico this sounds plainly crazy, but believe me it is worth the effort. Even when we know that Chambers are good political training fields for wannabes, and that they fumble and may seem somehow disorganised. There are good points in favour of this advise. You get to know people, you learn early of some commercial events, you are "there". You see them, they see you.

3. Start a Meetup. And make them recurrent. Organising this kind of activities doesn't have to be forcefully business related. Create an environment in which you can get together with some of the “native population” and just hang around comfortably. It can be industry related, or a parents reunion, or a group for environment discussions, whatever. You can do it formal or informal. It's your choice. I used to get together with 2 or 3 of my students for “review” coffee on Tuesdays. Today, we are gathering 14 persons in 2 tables. And we not only discuss class lessons, but every other relevant business topic that we can think of. The coffee shop should thank me, i guess. Bonus tip: avoid alcohol.

4. Use Local Vendors. You are a local vendor and they are local vendors. From groceries to Real State, from Car dealers to handcrafts sellers. The idea is to prefer and consume local products and services when available, than those from other towns or from international distribution. In this way you are showing local businesses that you support them, and it is more probable that they will support you, or at least refer clients towards you. And also, while

consuming their products and services, you should be creating long term relationships, for future business transactions. Synergy is the word.

All this is true for those living in small towns or communities. Now, for those who live in medium or big cities, how do these tips apply? Well, exactly the same, you just have to find your scale and the organisations that are near you.

Now go out and do something for you neighbours. You can bet they will do something in return for you.

www.skillsa.com

Quality Value Service

An article published by Jaclyn on "business opportunities" blog made me think about this. Everything these days, every single business, organisation or company has Quality, Value and Service as the front words of their core messages to clients. Why they don't work?

Because, when everybody uses them as sales words for catchy phrases, then they work for NOBODY. They are uselss, they just don't work anymore.

Try to think about it. What is your unique sales proposal? Does it address the needs of customers. You must not promote Quality, Value and Service as your distinguishing charachteristics. Your clients today assume you have them, if you promote them it will look as if you have recently discovered these 3 concepts exist.

And truth is, you have included Quality, Value and Service in your products since you started business. Haven't you?

Juan E Sandoval

www.skillsa.com

What if Humans are not Responsible?

Proffessor William McKillop of University of South California declares that possible it is not the humans who are responsible for the global Warming. and he states:

Global Warming: It’s the Sun, Stupid
The main cause of global warming appears to be change in solar activity and change in the earth’s orbit and tilt. Recent reductions in sunspots on the solar surface suggest that we may be entering into a cooling period.
 Humans are responsible for only 2% to 5% of total carbon dioxide emissions and less than two-tenths of one percent (0.2%) of total greenhouse gases emitted into the atmosphere each year.
 Higher temperatures increase non-human emissions of carbon dioxide from plant-life and the sea.
 More than 17,000 scientists signed the Oregon Petition against the Kyoto Protocol because they saw “no compelling evidence that humans are causing discernible climate change.”
 The Kyoto Protocol would cost the U.S. economy $100 to $200 billion per year, as estimated by the Clinton Department of Energy.
 Kyoto would restrain temperature increases by less than one degree and delay global warming by only six years.
 Kyoto was rejected by the U.S. Senate 95-0.
 It is very likely that the so-called scientists on the IPCC assumed beforehand that global warming was due to CO2 and then, instead of treating it as a hypothesis, they estimated a simple, incomplete, relationship between temperature change and CO2. A bad model can always be used to provide a desired result.

Could he be right?

Networking Follow-up

You got invited, you got there, you met the people, you had a nice chat, you discussed common interests, you exchanged business cards.

So... why it isn't working?

One of the most common mistakes on Networking is failing to follow up. Yes, it would be nice to sit behind a desk and receive all the phone calls of potential customers, providers and colleagues, but let's face it: that is not going to happen. You have to do the follow up on your own. Constantly.

When you receive the business card, write down on the back of it your immediate impressions, so you will have something specific to remember about this present person. Call him next monday. And then again phone him one or two days later.  Be sure to know the birthdays of your contacts. But an e-mail is not enough. Send a card, or phone them on that special day.

Make yourself present, after a meeting send a handwritten note. It always pays back.

Reconstruir puede ser la mejor Idea

"There is good news, and then there is really good news, said George Hedley at his recent seminar to a large group of contractors in California. “The worst days of the recession are behind us,” said George enthusiastically. “Now we get to rebuild and start over!” Despite the chuckles from the attendees, that last bit was the really good news. It may sound like it’s not, but according to George, now is the time to take a hard look at every aspect of the business, make some tough decisions, and create a written blueprint for success which will guide and focus each business owner in building a much more profitable business.

“Make a resolution that 2009 will be mighty fine,” George said with a smile, “and that in 2010 you will not be a has-been.” It all begins with having a blueprint for success. That does not mean having an idea in your head of what you want to accomplish. It means having a written plan. Business owners who have a written business plan are twice as likely to succeed as those who don’t.

The Business Plan

I wont get tired of saying it. The Business Plan is not only a required tool by banks and investors, it is also your roadmap for starting a new business and for continuing an exisisting one. 

Few consultants say it, maybe they think it's a well kept secret: A company that keeps doing, reviewing and improving their annual or six-month Business Plan, has 50% of its Strategic Plan done.

So, don't think it is only a nice document with a glossy cover. It could save your semester's income. You already have one? Review it. 

You don't have one? Do it. NOW.

The Social Capital Investment Strategy

(Tomado de FastCompany.com, entrevista de Kermit Pattison.)

Fast Interview: Tech observer and former VC Eric Litman, who recently founded Medialets, an ad delivery platform for native mobile applications, discusses why a million friends can be more valuable than a million bucks.


Can't get that VC firm to return your calls? Don't despair! Startups can increasingly scale up by taking advantage of another type of capital -- social capital. Litman, a prominent entrepreneur, says it's easier than ever to leverage relationships into business success, and you have to spend social capital before you can profit from it. In fact, such networking helped him launch his new company in six weeks.

Why is social capital so valuable?

The one thing I've consistently seen entrepreneurs do that has significant measurable impact on everything they do -- more than any other factor -- is manage their relationships and manage their social capital. Folks that do that really well are bound to find some measure of success in some area of their life. It may not be the course they set initially, but there's invariably some positive that comes from it. So I've made it point throughout my own endeavors to continue to find ways to improve my own ability to manage and maintain relationships and to learn from others.

More importantly, to maximize the value that one gets from a relationship, one has to give a great deal. I spend a fair amount of my time making introductions, providing referrals, providing connections and generally engaging with the breadth of the community to benefit the business and personal lives of others. It's like an investment strategy: the more social capital that you spend, the more your network appreciates and the more social capital you ultimately have to spend in future endeavors.

Why is social capital becoming more of an alternative to traditional venture capital?

It has everything to do with the power of the communications networks at our disposal today -- the instantaneous nature of communications, the lack of barriers between people at different levels of career and industry, and the ease and rapidity with which messages can spread. I can go into the office in the morning, determine some new business or personal need and, almost invariably, within a matter of hours be directly connected to someone at the top of whatever related field and have a dialogue about how I'm going to solve that business need. I'm an enormous believer in the power of all the online social tools. And I use every one of them. On any given day, I find myself in utter amazement at just how transformative these tools have been to my business and personal life.

How do you leverage friends into a business that makes money?

Last week, I made a decision that I wanted to form five new significant relationships in the marketing and communications world. I sent out a message on Twitter -- I have 800 plus followers on Twitter. I received somewhere around 40 responses. I have significantly overstepped the goal and have some fabulous new relationships that are turning into business opportunities.

The odds of getting funding through the traditional VC route aren't great, are they?

It's a fairly grim picture. Depending on the year and economic conditions, there are somewhere between 3,500 and 4,000 venture capital professionals available to service deals in the USA. The opportunities for startups to get in front of those are exceptionally limited. A venture capitalist is typically going fund anywhere between one in a hundred or one in thousand deals. There's not a lot of room in there for startups to find access to capital.

(Lea el Resto de la Entrevista...
http://www.fastcompany.com/articles/2008/09/interview-eric-litman.html)

Effective Networking

We've all heard that people do business with those they know, like and trust. And it's true. That's why savvy small business owners regularly invest their time and money to attend live seminars and meetings.

But just showing up at a live events is not the secret that will automatically reward you with a boost to your bottom line!
Sure, it's great to get out of the office for a change of scenery, learn new information, and chat with colleagues and/or new business prospects. But the real magic of live events happens AFTER the event is over. That is, if you know the real secret to effective networking.

Let me give it to you in just one word: Follow-up!

I can't tell you how many times I've attended a live seminar or a local Chamber meeting where I had a productive conversation with someone who promised to stay in touch with me - never to be heard from again. Of course, I've been guilty of that same networking sin myself on occasion too.

So let's be clear on this. Just showing up with good intentions won't get you the results you want. To make networking profitable, you must be focused and proactive.

Over the past year or so I've attended several important seminars where I knew I could make strategic alliances that would turbo-charge my business in the direction of my goals. So I developed a few guidelines to follow whenever I find myself in a networking situation:

1. Before the event, I put myself in a friendly, outgoing frame of mind and envision all the great people who will be there. I also sometimes give myself an easy goal of how many contacts I want to make. By nature, I'm a bit on the shy side in crowds, so by focusing on who will be there and my specific goal, it keeps me busy looking for the people I want to meet (instead of being held back by my comfort zone).
2. At the event, I exchange business cards only with those whom I can see a mutually beneficial opportunity emerging. So it's not about gathering a stack of business cards, but about getting to know each person I meet. I'm always thinking, "How can we help each other?" and not, "How can I make money from you?" Your focus must be on them, not just on what you do or are selling. This is a small distinction that makes a BIG difference in the quality of the connections you'll make.
3. On the back of the cards I do collect, I immediately jot a note about our conversation and any specific actions I'll take as a result. Do not expect that you will remember each person / conversation later. You won't.
4. After the event, I follow up with each contact as soon as possible. Usually I do this by email, but this often leads to a phone appointment shortly thereafter. The key is to proactively take action as soon as possible after the event while your initial connection is fresh in yours and your contacts' minds.

By following just these four simple steps consistently, even when I happen to meet people in a non-business setting, has made a HUGE difference in a short period of time. I'm sure you'll be amazed at how quickly your network....and client base...will grow too.

By Gabrielle Fontaine
http://BookkeepingDirect.com

The Basics of Business Negotiating

Business owners wear many different hats in the course of running their companies. During a typical day at the office, you may need to deal with buying commodities and selling products, interviewing potential new employees and reviewing contracts. One of the main skills that you will want to develop as a business owner that applies to many areas of your business are negotiation skills. Understanding the basics of of this valuable tool will help your business to succeed. Although they are often relegated to professional lawyers and arbiters, in most ordinary business circumstances it is more cost effective to receive training through appropriate negotiation courses, and negotiate terms suitable for your company yourself.

Learning effective negotiation begins with an assessment of where your company's strengths and weaknesses lie in terms of negotiation skills and outcomes. The best types of negotiation training will take this type of information into account and create a specialized training seminar that is compatible with your company's business needs. A superior business negotiation skills trainer will also need to determine what level of expertise you wish to achieve from your training, and will suit the training to those requirements.

An effective training seminar should offer a hands-on approach for the learners. This is available when an experienced trainer has you work through scenarios you are likely to face in real-world negotiation situations, and gives you the tools and strategies you need to successfully negotiate an agreeable deal. These types of low-stress learning situations are especially helpful in learning sales negotiation skills, so that while you are getting up to speed on sales negotiation you are not hurting your company's bottom line.

As you can see, business negotiation is a process, and negotiation skills can be learned to improve the relationships you have with your clients and create an environment where your business deal will succeed. While you are working at acquiring new business skills, you will want to have contact with your trainer, who can answer questions, provide guidance and assist you in achieving a new level of negotiation acumen.

If there are several employees in your company who work in the area of negotiations, you may wish to have a negotiations consultant provide a group training session. This is valuable because employees can not only learn through personal experience, but can learn through the experiences of others, providing them with a multi-faceted educational environment, and a greater understanding of the skills being learned. For those who require specializing negotiations training, one-on-one coaching is often the most effective ways to rapidly learn new skills and achieve success in business negotiations. Business negotiation can be learned and skills improved with the guidance of expert negotiations consultants.


Por: Wayne Hemrick