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Business Needs to Find Joint Solutions to SA Issues

‘Working Together’ requires people-centred processes and institutions.

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Brian Ganson, Senior Researcher, Africa Centre for Dispute Settlement University of Stellenbosch Business School

President Zuma once again emphasized “social dialogue and cooperation between government, business and the community sector” in his State of the Nation address, says Brian Ganson, Senior Researcher, Africa Centre for Dispute Settlement University of Stellenbosch Business School.

“He reminded us that Government alone cannot solve the challenges faced by the country, but by working together, solutions are possible,” says Ganson.

“A colleague, Chris Spies, points out that we are not only at the mid-point between 1994 and the National Planning Commission targets for 2030, but also between the Soweto uprisings of 1976 and the centenary of apartheid legislation in 1948,” Ganson continues. “This seems an apt moment to reflect on the great progress that has been made ‘working together’ to bring South Africa so far, but also on what gaps we must bridge to realise President Zuma’s vision.”

Affecting real change

“South African experience is replete with stories of courageous actors who reach across divisions to form more inclusive coalitions and create new possibilities for action. The Makana Football Association, the ANC’s engagement with the Consultative Business Movement, the many steps leading to the National Peace Accord, and its implementation through the Peace Secretariat all have this thread running through them. So, too, do post-apartheid examples such as Johnny Jansen’s work to transform Pollsmoor Prison by engaging rather than dominating its inmates and wardens. South Africans clearly know what ‘working together’ means, and how it’s done,” he continues.

So why does it seem so hard today? “In my home country, some disappointed with the results of the first Obama administration observe that, after the election, his supporters went ‘from movement to movie’. People stopped ‘working together’, rather expecting to watch President Obama run the show on his own.

Dr Mamphela A Ramphele made the same point in her remarks to a group gathered at Mining Indaba to discuss sustainable development. She reflected that, in 1994, many active in the struggle went about their own business, expecting ‘Mandiba Magic’ to take care of remaining challenges. In both countries, Government may have contributed with the implicit message of, “thanks for electing us; we’ll take it from here.” And that’s just not good enough if we want to see real change.”

A shared platform

The National Planning Commission in its Diagnostic emphasises that ‘working together’ is fundamentally about people: starting with common recognition and shared analysis and building towards mutual trust and a will to transform.”What is perhaps missing from the NPC’s proposed Plan of Action – and the broader national conversation about ‘working together’ – is recognition of how critical people-centred processes and institutions are in moving large numbers of actors ‘from movie to movement’,” says Ganson.

The following are three approaches that Ganson believes might be incorporated into the NPC Plan of Action now being revised.

Create more space for public participation.  We can’t work together until we come together. The nation building Plan of Action might usefully establish the principle that all government policies and programmes implement strategies for building bridges and increasing inclusion.

The Constitutional mandate of public participation can be made much more real, whether through more inclusive deliberative processes (building common recognition and shared analysis), or programmes such as Teach SA that unite South Africans in new ways (building mutual trust and a will to transform). “Public Private Partnership” can no longer mean contracting out service delivery to private actors; the concept must be reclaimed for inclusive, collaborative planning and action.

A CODESA for employment.  Even where everybody agrees on a concept, sometimes you have to put everybody in the same room to pound out the details. Everybody recognizes the dignity and direct benefits of employment. Most also see that employment increases a sense of belonging, participation and recognition, making “working together” on everything else, from resolution of land claims to good governance, that much easier. A broadly inclusive national conversation on full employment should therefore be a first priority. Government appointment of a neutral facilitator can recognize both that Government is a central actor, and that Government action must be open to scrutiny and debate.

Build social infrastructure for the long haul.  Even a perfect plan remains to be implemented, and institutional capacity is needed to make it succeed. President Zuma’s infrastructure initiatives, along with the broader NPC Plan of Action and a host of local projects, will predictably require engagement, dialogue and conflict resolution through 2030 and beyond.

Across Africa, the South African Peace Secretariat provides inspiration to countries – including established democracies such as Ghana – as they build ‘infrastructures for peace’. Perhaps it is time for South Africa to reclaim its leadership, re-creating a ‘Peace, Justice and Development Secretariat’. Local, regional and national monitors and commissions can identify challenges, convene parties, facilitate dialogue, build collaborative skills, lead joint problem-solving, and monitor implementation wherever there are risks to unity or barriers to progress on the national development plan.

Wise policies, programmes and investments are critically important.  But so too are people ‘working together’. At quite modest cost, risks of failure can be greatly reduced through people-centred processes and institutions that promote ‘working together’ to build the nation.

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5 Things SME’s Need To Be Thinking About In 2018

In 2018, small-to-medium-sized enterprises (SME’s) will be looking for a glimpse of inspiration to chart a new growth path and scale their businesses. This is off the back of a tough 2017 and previous years which have inhibited the growth of local SMEs.

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In 2018, small-to-medium-sized enterprises (SME’s) will be looking for a glimpse of inspiration to chart a new growth path and scale their businesses. This is off the back of a tough 2017 and previous years which have inhibited the growth of local SMEs.

Jesse Weinberg, Head of the SME Customer Segment at FNB Business says “Small business success becomes a monumental task when there’s arguably very little to no real economic growth overall. However every challenge presents an opportunity, and in South Africa, not only are we fortunate to consistently have SME development as a key objective on the national government agenda, but most corporates are also  hungry to shift spend to smaller businesses as part of the procurement policies.”

Weinberg says as 2018 begins in earnest, there are some important insights that business owners should consider in order to grow their businesses.

The digital economy is in full swing

SME’s that are comfortably operating without adopting digital technology in their business will likely be outperformed by their competitors unless they adapt to the current reality. Across the globe, consumers and businesses are rapidly migrating services to digital channels for its sheer efficiency, convenience and scalability. This includes basic elements like digitising accounting processes with software, through to using social media to campaign to customers.

If you’re ever unsure where to start, start by observing your customers and listening carefully to how they expect to be dealing with a business like yours – you can’t go wrong by putting yourself in your customers’ shoes and then reflecting on your business through their eyes.

Related: 4 Unique Marketing Ideas For SMEs On A Budget

Expect little to no help from the economy

The Word Bank recently predicted that SA will grow at roughly 1.1% in 2018 and while this is not cast in stone, it’s a relatively firm indicator that SME’s will have to do the hard yards to engineer any form of business growth. The focus should thus mainly be on differentiating your business, products or services from your competitors through marketing or even innovation if possible.

Maximise your banking relationship

Banks are investing a lot of time to understand the needs of businesses and have some of the tools to help SME’s run efficiently. The relationship should not be only be limited to just banking. With the multitude of rewards and value-add services offering by most banks, with just a bit of time spent understanding the offerings, great value can be derived for you and your business. Examples of these offered by FNB include eBucks rewards, free Instant Accounting software and CIPC registration services.

‘Think Local, Act Global’

Your business may be based in South Africa but its potential to scale shouldn’t be hampered by your location. In other words, be open to the opportunity of growing your business beyond South African shores, especially if your service or product has universal appeal and relevance. With global marketplaces such as Alibaba and AirBnB, the world market has never been more accessible and easier to do business with.

Related: SchoemanLaw Shakes Up The Legal Industry To The Benefits Of SMEs

Avoid the race to the bottom

Market forces continue to show that consumers aren’t only focused on the cheapest product or service despite the tough economic conditions. These days offering great service will build trust and loyalty with customers and keep them coming back. If you combine this with good quality, accessible products and services you will generally have an edge over your competitors offering the same or similar products and services.

“Even though 2018 is unlikely to come with an SME development boom, a solid homegrown business can still grow sustainably. More than ever, business owners need to arm themselves with as much information and insights as they can to grow their businesses or even reduce the risk of total business failure. With South Africa’s level of unemployment showing little to no signs of reduction, we need to sustain the spotlight on growing our SME sector and offering as much support to it as possible. SME’s represent one of the most effective ways to create employment in local communities, especially if these businesses find ways to trade with customers beyond their normal operating territories.” says Weinberg.

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Surge In South Africans Swopping Their Cars For Bitcoin

The cryptocurrency Bitcoin has experienced a seemingly interminable rise. Early adopters have experience lottery-sized pay-outs on minor investments as the currency exploded in value in 2017.

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The cryptocurrency Bitcoin has experienced a seemingly interminable rise. Early adopters have experience lottery-sized pay-outs on minor investments as the currency exploded in value in 2017.

As South Africans are itching to get their hands on the digital currency, there’s been an increase in swops and bitcoin-only sales on Gumtree.co.za, says Claire Cobbledick, Head of Core at Gumtree. “This is particularly true for high-value items like cars, bikes and boats. Many sellers are willing to take a gamble with their assets in hopes of a large pay-out.”

This is on trend with other marketplaces. In the United States a McLaren 720S was put up for sale in exchange for 25 bitcoin, a theoretical value of $425,000.

Related: 11 Things You Need To Know About Bitcoin

While Gumtree does not allow for the sale of bitcoin miners or services, Cobbledick says that customers can exchange goods for bitcoin on the site, but should be fully aware of the risks. “Bitcoin is a volatile currency, so while you could easily see a 50% increase in your investment, you could just as easily end up with nothing. It’s up to the seller to decide if they are willing and able to take a gamble.”

Some cars currently up for sale in exchange for bitcoin includes a Land Rover Defender, BMW X5 and a rare 1970 Mercury Cougar V8.

“There are also a few other sellers accepting bitcoin in exchange for Kruger Rands,” says Cobbledick. “Perhaps proving that gold as a store of value is falling out of vogue.”

But the most unusual swop would have to go to an entrepreneurial seller who is offering carnivorous plants in exchange for the cryptocurrency.

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Zando Sold 80 Items A Minute During Black Friday – By Doing This

Black Friday has brought immense success for numerous local online retailers – reflecting the potential of e-commerce in South Africa. Why not learn from Zando’s success in 2017 to ensure your success during the 2018 Black Friday sales season?

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For South African e-retailers, Black Friday is a big sales event. But you need to ensure you’re prepared for the web traffic and that your e-commerce store can handle the logistics of thousands of orders.

zando-sascha-breussAccording to Zando, they experience 100% up-time during Black Friday and less than a week after the season sales event, 95% of customer orders have already been shipped.

To help fellow e-tailers perform better next year, Zando’s CEO, Sascha Breuss answers some key questions about the company’s preparations and learnings around Black Friday:

1. How did you encourage greater sales on Black Friday?

Over the last few years Black Friday has developed a following in South Africa, so we benefitted from the existing hype around it. We didn’t focus too much on upfront marketing, but put our energy into flawless execution and of course great deals for the customers.

Related: The Evolution Of Retail: From Corner Store To Artificial Intelligence

2. How much planning went into ensuring your store platform ran at optimum?

The real ‘hot phase’ started with the first day of November when our IT department went into a ‘feature freeze’ and we focused 100% on site-stability and scalability.

We went through some intense testing of our site with loads up to 15 times the average daily amount of visitors. So, when the actual day came, we were confident in our systems.

3. How were you able to successfully co-ordinate logistics during Black Friday?

Early preparation and experience from past years have been the key to success. We increased our head count in both Warehouse and Customer Service well in advance so that we could rely on well-trained and experienced colleagues come Black Friday.

4. How did you ensure a seamless experience between your website and your app?

We know that our customers are browsing Zando on all platforms, desktop, mobile and app so we implemented some handy features to make the transition between each platform easier. For example, shared baskets and wish lists are now a feature. Some of the deals however have been app-only and sometimes we reward our app users with early access to shop the best deals. So it is definitely worth it to download our app.

Related: How SA’s Online Retailers Can Cash In On Black Friday Fever

5. How did you scale your entire operation for a single event?

This is easy to summarise in one word – TEAMWORK. The Zando staff did an amazing job and were the backbone of our success. Not only did they put the required extra hours in and worked hard until the job was done, but they also showed real team-spirit. When you called our Customer Service during Black Friday it’s very possible that you spoke to someone in our HR, Social Media or Legal team who helped out answering calls.

6. How did your marketing campaign affect traffic on your platforms?

The most surprising element was probably the high volume of traffic that we saw during the night. Visits started to increase every minute before midnight and during the first two hours of the day we saw peaks that were higher than on our strongest week day. This traffic never dropped with a lot of orders being placed between 2am and 3am on Black Friday.

7. How did your technology systems handle the influx of shopper traffic?

In the build up to Black Friday we added additional server capacity and changed the way we handled the flow of traffic. This made us very flexible to switch on additional capacity wherever required. So it was a combination of intensive preparation, close monitoring and ultimately very little sleep for a couple of days to ensure we monitored our system health 24 hours a day.

8. What was your sales strategy?

For us everything that had a discount of 40%-80%, and was still a relevant and recent look, qualified for Black Friday 2017. Once these criteria were fulfilled we made sure that we had sufficient stock available – in some cases the demand was so high that we brought on additional stock from our suppliers during the Black Friday weekend.

Related: 5 Last-Minute Tips For Small Retailers To Boost Black Friday Sales

9. What were your biggest learnings?

We have been very successful in our approach to remain true to the idea of Black Friday – offering great deals on relevant product and not outdated clearance ranges. The customer is very educated and will identify a good deal, and we have seen consumers’ negative comments on stores who used Black Friday solely as a warehouse clearance opportunity.

10. What surprised you about Zando’s success during Black Friday?

Thanks to extensive preparation we have been able to achieve an uptime of 100% for the full month of November. We also kept the deliveries and returns 100% free regardless of discount or basket size. It seems like our customers appreciated this approach and we have actually seen very positive sales numbers after Black Friday while we expected a drop. I believe the full focus and investment on the Customer Experience has worked for us.

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