Business Tips – From Employee to Entrepreneur – Part 2

 Business Tips – From Employee to Entrepreneur – Part 2

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd 

Please note that this pertains to South African Legislation and Best Practice requirements.

Last time we looked at some of the basic differences between an employee and an entrepreneur.

Now let’s have a look at some of the issues that you will have to explore and questions that you will have to ask yourself and answer honestly as you travel on your path to becoming a successful entrepreneur.

1. Purpose

What is your purpose? I have no doubt that on some level we all understand that we are not only here on this planet called earth, merely to survive during our time here. We all have a purpose in life (whether we actually know what it is or not) and knowing what that purpose is and aligning it to what we want to do, will ensure that we achieve what we want to with a minimum amount of fuss and bother.

Understanding our purpose and aligning it to what we do will also ensure that we are able to live the best life that we can and become all that we are capable of being.

No one “life purpose” is better or worse than another and our own success will be attained by being all that we can be rather than all that others think we should be.

2. People

Like it or not we are all here to serve people.  Whether those people are our customers or our staff or our suppliers or our families, the fact of the matter is that we all need to serve and be served.

We are no better than those who serve us than we are less than those who we serve.  The more we serve, the greater our reward will be and the greater we will become as individuals.

I’ll say it again – we serve!  Get your head around it, get used to it, get good at it and get on with it.

3. Personal Footprint

Let’s face it – there are all kinds of characters in the world of business.  Some are grumpy, some are sunny, some are introverts and some are extroverts.  The point that I am trying to make is that your success, as an entrepreneur is not dependent upon that particular part of yourself.  Your success is dependent upon your credibility as an individual.  It’s dependent upon whether you can deliver and whether you are honest in your dealings with people.  It is dependent upon who you are intrinsically as a person.

Let me ask you this question (and please answer yourselves honestly) if you were in the market of looking for a mentor – someone you would look up to or aspire to be – would you look at yourself as being that person?  If your honest answer to that is “NO”, well I guess that you know what your personal footprint will be.

Next time we will have a look at some more of the issues that you as an entrepreneur should be looking at.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or http://www.viljoenconsulting.co.za 

<<

Part 1

http://www.viljoenconsulting.co.za/2012/02/business-tips-from-employee-to-entrepreneur-part-1/

>>

Part 3

http://www.viljoenconsulting.co.za/2012/05/business-tips-from-employee-to-entrepreneur-part-3/

Part 4

http://www.viljoenconsulting.co.za/2012/11/business-tips-from-employee-to-entrepreneur-part-4/

Part 5

http://www.viljoenconsulting.co.za/2012/11/business-tips-from-employee-to-entrepreneur-part-5/

Part 6

http://www.viljoenconsulting.co.za/2013/01/business-tips-from-employee-to-entrepreneur-part-6/

Part 7

http://www.viljoenconsulting.co.za/2013/02/business-tips-from-employee-to-entrepreneur-part-7/

Part 8

http://www.viljoenconsulting.co.za/2013/03/business-tips-from-employee-to-entrepreneur-part-8/

Part 9

http://www.viljoenconsulting.co.za/2013/04/business-tips-from-employee-to-entrepreneur-part-9/

Inspiration – Stuff Happens – Deal With It.

 Inspiration –  Stuff Happens – Deal With It.

By Nikki Viljoen of Viljoen Consulting (Pty) Ltd  

 Today’s quote comes from Aldous Huxley who says “Experience is not what happens to a man, it what a man does with what happens to him.”

Profound words I am sure you will agree and certainly ones that made me dig deep . . . really deep.

You see, of late, I have been really struggling with “my life’s purpose”.  For a while now, everything has been a mission – getting new clients, getting paid, getting people to my workshops, even getting the work done (its that time of the year when I battle with sinus and coughs and sore chest and this year I added earache to the mix as well). 

To make current matters worse (although in many ways it is also very exciting too), I have also been working on four different long term projects, that will certainly pay handsome dividends . . .  down the line, but at this point, they bring nothing in and cost a fortune in terms of time and energy.

Technology challenges with my website being hacked into, servers going down and a general disruption of my life has left me feeling more than a little cut off and a tad isolated.

“So what’s this all about?” I started to wonder “Why am I here and is it worth all of this effort?”  Isn’t it strange how at the first hint of things not going the way that we want them to, that this is generally the first thing that we think?  Well, I do!

This for me is where today’s quote and what it means, is so important.  Sure there are a number of options open to me.  Some are as simple as closing up shop and getting myself a job (not really an option I must say, as it would kill my spirit and make me even more grumpy than I usually am), some as scary and as deep as  . . .  ok, I’m not going there and a whole host more in-between.   Being a logical person though, I did have to look at ALL of my options, unemotionally and fairly and then made a decision.

I had to make a decision on the “what and how” I felt and the “where” of my life, based on what I felt as opposed to being guided through the whole process by my mentor, it was time to stand on my own two feet.  It was damn scary I can tell you!

Let’s just say that I had to think about things that I didn’t want to think about and go to places inside myself that I haven’t been to for a long time and that I would prefer not to have to visit again.  We all have a “dark” side, so I know that you know what I am talking about.

So I hear you asking – “what will you do?”

Well, I am feeling a lot better and I am sure that has a lot to do with it as I find being sick very exhausting.  A whole bunch of “new” opportunities have presented themselves and the “old” opportunities seem to have taken on a new life of their own.  I have completed as much as I can on some of the long term projects and now await the outcome, which I know is out of my hands and in the hands of the “Gods” (whomever you perceive them to be).

I look around me and have a deep sense of something about to happen, like the electricity in the air just before one of our infamous Highveld storms.

I know that whatever is going to happen, will happen whether I worry about it or not and it will happen when it should and not a moment before.

I know that I have a purpose and that I am going in the right direction, but that there are times when I am too impatient for my own good and I try and push to make things happen faster, when in fact I should be resting, so as to be ready, willing and able when they do happen.

I know that often I am the biggest “doubting Thomas” in my own life when I doubt my ability and my capability and then I am always gobsmacked when people tell me of the impact that I have had in their lives, and then I do a 180 degree turn around and become humbled by who I am and what I have achieved and how much more there is for me to achieve.

And then I see words like “experience is not what happens to a man, it is what man does with what happens to him”, and I know that I am fine and I know that “all is well” with my world.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or http://www.viljoenconsulting.co.za

HR 101 – What to do When . . . Your Staff Want To Take Family Responsibility Leave?

HR 101 – What to do When . . . Your Staff Want To Take Family Responsibility Leave?

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd 

Please note that this pertains to South African Labour Relations, Basic Conditions of Employment Act and Best Practice Requirements.

Welcome back to my protagonists.  Mike owns a small retail store and he has one employee – Jane.  Jane is married and is now pregnant – what is Mike’s responsibility.  

Well here is what the law says in terms of granting Family Responsibility Leave:

1. The law states that your employee is entitled to have 4 (four) months of maternity leave.  Granted you don’t have to pay her while she is on maternity leave, but she is entitled to take four months and furthermore, you will be obliged to take her back after those four months are up.

2. Should Jane’s now newborn child become ill, Jane is entitled to now take 3 (three) days Family Responsibility Leave per annum.  Jane is also entitled to take her own sick leave if her child is ill and should that also run out, she would be able to link her annual leave to this as well, and finally, when she runs out of annual leave, Mike will be requested to give her unpaid leave.  

Here’s there thing though, Jane will have to provide documentary evidence to prove that the child is ill.  The normal “sick” leave policy and rules still apply and Mike is entitled to ask for a doctor’s certificate.

3. During the time that Jane worked for Mike, her father passed away.  Mike is obliged, by law to allow Jane 3 (three) days of Family Responsibility Leave (provided that she has not already taken it for a sick baby – the law states 3 days per annum).  Jane will have to produce documentary evidence again, to prove that the person who died, was in fact her father or that they are a member of her immediate family.  The law states that an immediate family member is as follows:

a) Spouse or life partner;

b) Parents

c) Children.

Remember too though – the employee is only entitled to 3 (three) days Family Responsibility leave per annum.  It cannot be accumulated and it cannot be paid out.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or http://www.viljoenconsulting.co.za 

Customer Service 101 – Tips on Handling Difficult Customers – Part 1

 Customer Service 101 – Tips on Handling Difficult Customers – Part 1

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd – September 2019

Bad Customer Service is one of my pet peeves.  It makes me crazy, leaves me feeling irritated and disgruntled and although I have researched this topic in order to try and write this blog objectively, I am also going to write about my top 3 peeves.

I am often told that I am an extremely difficult customer! That said, I am also often told that I am an extremely easy customer.  The difference of course is perception.

Example 1 – Me the very difficult customer.

If I go into a store because I have seen an advert for, let’s say a pink golf shirt and this is exactly what I ask for and the sales assistant then brings me a lilac one because they have run out of pink ones and they are out of stock.  Rather tell me up-front, so that I can make an informed decision, don’t just assume that I will just accept whatever you have leftover in the store and that you cannot sell. It’s enough to make me curl my toes in annoyance.

Example 2 – Me the very difficult customer

I go to a restaurant or coffee shop and order and they ask me, “How do you like your . . . “ or “Hot or cold milk?” and then I respond and when the order comes it is with the opposite of everything that I answered.

Or (and this literally happened), I go to fill up with petrol and I tell you how much fuel to put in as well as the specific octane that I want and you put in more than I asked for of the incorrect fuel!  

Don’t ask the question if you are not prepared to listen to the answer.  There’s really no point is there?

Example 3 – Me the very difficult customer

I am already in a heightened state of agitation and irritability because you have repeatedly done the wrong thing and have not given me any kind of customer service and then you very sweetly say “I apologise. I’m sorry for the inconvenience”, whilst you continue to do the very thing that you are currently apologising for.

By its very nature, an apology implies that you will try and do better next time or you won’t do whatever it is again.

Seriously folks, just writing these down has taken me down several memory lanes that now have my blood pressure rising!

The reality of course, well certainly my reality is that I am not a difficult customer . . .  actually I am a “walk in the park”, as long as you give me exactly what I ask for and what I want.  I am known for being really clear about what it is that I was or need. Failure to meet my specific requirements, however, brings out the worst in me and if that is what makes me a difficult customer, I am really pretty happy to wear that particular hat.

Next time I’ll explore some of the other tips on “handling difficult customers”, that my research has come across.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or www.viljoenconsulting.co.za 

Networking 101 - The Value Add of Referrals

 Networking 101 - The Value Add of Referrals

By Nikki Viljoen of Viljoen Consulting (Pty) Ltd

At some point, you are going to need the contacts that you have met whilst networking.

Today is only Wednesday and I have already referred about 15 people this week, out of my database – all of whom I have met whilst networking.  

You see in some instances, many of my colleagues ask me to refer people because, well firstly, they know that I have met with and chatted, on a one on one, type basis, with every single person in my database. Secondly, I have listened to what it is that they do and asked questions about their businesses.

Can I guarantee their work or their commitment – no of course I can’t, but it is certainly a lot more trustworthy than picking someone out of the yellow pages!

So what does that mean for me – well firstly the person who has asked me for assistance, now on a subconscious level feels that they  “owe me”.  What this means is that the next time they hear of someone in need of the type of work that I do, they will be very quick to refer me because that will then even the score.  That means that work will be coming in.

Secondly, the person who has been referred – knows that I have referred them and now on a sub-conscious level they also “owe me”.  What this means is that the next time they hear of someone in need of the type of work that I do, they will be very quick to refer me because that will then even the score.  That means that work will be coming in.

There are some instances where people, who I refer, simply feel that they are not in a position to refer me to anyone – now here comes the fun part.  I have worked out a deal with these service providers – I get their time for free!  So now I have my own contractual attorney – I never sign anything without her having a look at it (for free).  I have my own Labour Attorney – I can give advice to clients and check my facts before I give the advice (for free).  I have my own Accountant, who does my books and looks after my tax issues (for free), and so on.

In fact, I am far better off than any Corporate Company – because I have specialists who are passionate about what they do and are committed to giving good service and value for money – where have you ever found a Corporate Company that can make that statement, with conviction and honesty?

The bottom line is that I have built a “Virtual Company” out of my networking.  I have opened myself up to recognize the potential value, to my business, of every single person that I have met.  I did that by meeting one person at a time, engaging in a conversation with that person, understanding what it is that they do and listening to what people want.

How strong is your “Virtual Company” – and do you actually have one?

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or www.viljoenconsulting.co.za 

Business Tips – From Employee to Entrepreneur – Part 1

 Business Tips – From Employee to Entrepreneur – Part 1

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd 

Please note that this pertains to South African compliance regulations and Best Practices.

I have, of late, been mentoring several young ladies who are currently employed, but who dream of owning their own businesses.  The more I talk to them, the more I become aware of the huge mind shift change that has to take place.  And this is how this particular series was born.

Firstly, I would like to explore some of the differences between an employee and an entrepreneur – just so that we can all understand the basic differences and understand what we are getting ourselves into.

1. An employee is paid to work, they are paid, often irrespective of whether they put in a full days’ work or not.  They are paid irrespective of whether they have given 100% effort or done “just enough to get by”.  An entrepreneur pays others to work and often works for free themselves.  Entrepreneurs pay their staff and the bills first and then if there is anything left over they get to pay themselves.  This is particularly true when they are starting out.  They are passionate about the product or service that they are providing and need to consistently give 100% (or more) effort into what they are doing in order to build the brand and the business.

2. Employees are managed.  They have someone that they report into, there is always someone else who is ultimately responsible for what they do (or don’t do as the case may be).  Entrepreneurs manage others and themselves.  That means that “the buck stops” with them and they are responsible for everything that happens at the end of the day.

3. Employees have a specified “end of day” time.  Irrespective of whether they have an employment contract or letter of employment, the number of hours that they work is governed by the BCEA (Basic Conditions of Employment Act) and they cannot be forced to work overtime unless they have agreed to do so in writing.  An entrepreneur has no specific closing time – they often work long gruelling hours and even through the night, to meet deadlines and get the workout.

4. Employees are only responsible for developing themselves, provided of course that they want to grow or improve themselves – many have no interest in this at all.  Entrepreneurs, on the other hand not only develop themselves (and that is an ongoing challenge), but they are also responsible for developing their staff.  Actually, if the truth is told, you will find that entrepreneurs try and develop everyone that they come into contact with.

I am sure that you can see from the few points that I have highlighted that the list could very well be endless.  The point that I am trying to make, however, is that the mindset is very different.  It has to be!

This of course means that if you are wanting to start your own business and do your own thing, you have to step up to the plate and stop thinking like an employee and start thinking like an entrepreneur.

Next time we will have a look at some of the issues that you have to look at, understand and more often than not, follow.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or http://www.viljoenconsulting.co.za 

>>

Part 2

http://www.viljoenconsulting.co.za/2012/03/business-tips-from-employee-to-entrepreneur-part-2/

Part 3

http://www.viljoenconsulting.co.za/2012/05/business-tips-from-employee-to-entrepreneur-part-3/

Part 4

http://www.viljoenconsulting.co.za/2012/11/business-tips-from-employee-to-entrepreneur-part-4/

Part 5

http://www.viljoenconsulting.co.za/2012/11/business-tips-from-employee-to-entrepreneur-part-5/

Part 6

http://www.viljoenconsulting.co.za/2013/01/business-tips-from-employee-to-entrepreneur-part-6/

Part 7

http://www.viljoenconsulting.co.za/2013/02/business-tips-from-employee-to-entrepreneur-part-7/

Part 8

http://www.viljoenconsulting.co.za/2013/03/business-tips-from-employee-to-entrepreneur-part-8/

Part 9

http://www.viljoenconsulting.co.za/2013/04/business-tips-from-employee-to-entrepreneur-part-9/

Inspiration – Taking Responsibility

 Inspiration –  Taking Responsibility

By Nikki Viljoen of Viljoen Consulting (Pty) Ltd 

Gita Bellin says “People fail many times, but they become failures only when they begin to blame someone else.  Experience is determined by yourself – not the circumstances of your life.”

Boy oh boy, does this resonate with me at the moment!  Over the last few years, December and January seem to be the time when I do the most disciplinaries.  For whatever reason, Companies want them done either to start the year with a clean page or to start the year by sending the right message.

For the first time ever though, I’ve had to postpone a disciplinary in the middle of a cross-exam of a witness and the case is postponed until May next year – the reason – well the defendant is pregnant and going on maternity leave – it’s a strange situation, to say the least.

What has really come out of the last few disciplinaries though, is really what I want to talk about and that is the defendants’ absolute inability to accept the fact that what they have done is wrong.  It’s like people refuse to accept responsibility for their own actions or inactions for that matter.  I’ve heard the strangest of excuses – like “the work was not completed correctly because I am having marital problems” or “I made a mistake, but it was a long day and. . .”.  

I’ve heard how an employee argued with the boss on “how” he wanted something done, I suppose because she thought she knew better, only to end up not performing the task at all because she “forgot”.  The fact that she “forgot” ended up costing the company an additional R6 000-00, but she is still indignant because he dared to question her.

I’ve heard how an employee refused to use a “checklist” to perform her tasks and as a result of that an invoice was raised incorrectly and because the invoice was raised incorrectly, customs impounded the goods and apart from the cost of the goods, just the cost of the courier fees (R40 000) has now had to be written off.  The employee is screaming “victimization” because the boss dared to call her into a meeting and chastise her.

Or what about the employee, who confirmed with her boss that the stock was in the hands of an event organizer, only for him to discover (when he arrived in the foreign country) that it had not been sent – but hey, she lodged a grievance against him because he complained!

What on earth has happened to the world?  What has happened to self-respect?  What has happened to taking pride in what it is that you do?  I don’t know hey – I think this new “X” or “Y” generation (whichever one it is) has no fundamental foundation and no backbone.  A few weeks ago, I was moaning about the school kids today who get everything handed to them – well I think that this inability to take responsibility for one’s actions is a direct result of this.  Well, you never did the work, so how can you take responsibility? Right!

I think in “sparing the rod” we have not only “spoilt the child” but we have created a generation of monsters.  On the one hand, they have the longest umbilical cords, because of their inability to do anything for themselves and on the other hand, because they don’t know how to do things for themselves – well how can anyone (including themselves) hold them responsible for their actions.

This, for me, is a really sad state of affairs – how will they grow as individuals?  How will they become productive, worthwhile members of the human race?  How will they cope, when all the “baby-boomers” have all passed on to greener pastures and there is no one left to do the work for them?

Can you imagine a world, where everybody did their own thing, because – well they know better, and then when the smelly brown stuff hits the fan and splatters, everyone blames everyone else?  How will anything get fixed?  When will the work get done (never mind how it gets done)?  How will success be measured – will it be by the number of people you blame for your inability to perform a function?

It’s mind-boggling and I cannot see “how” to fix it.  Actually, if the truth is told – I am not sure that it can be fixed.

What it does do though, is make me understand how important it is for me to continue doing what it is that I am doing because if just one person sees the light and understands the lesson, then I have succeeded in what I set out to do.

So I guess, “one person at a time” will continue to be my goal.  One person at a time!

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or http://www.viljoenconsulting.co.za

HR 101 – What to do When . . . You Want to Read Your Employee’s E-Mails

 HR 101 – What to do When . . . You Want to Read Your Employee’s E-Mails

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd 

Please note that this pertains to South African Labour Relations, Basic Conditions of Employment Act and Best Practice requirements.

It is said that we here in South Africa, have the most progressive and democratic constitution in the world.

One of the issues of the constitution is the right to privacy.  We as South Africans, as individuals have the right to keep our private stuff private.

But what about when your staff do private things during your business working time.  I mean – that’s really not cool!  You employ a staff member to work for you between the hours of x and y and you expect the work to be done, but said employee is playing on Facebook and sending out personal e-mails and even searching the internet for their own personal reasons.

Then, of course, you have the staff who may be selling your idea’s or your IP (in terms of the way that you do your business etc.) or even the list of your clients and their contact details.  What then?  Surely if the e-mails are being sent out in your time, using your infrastructure, your bandwidth, your electricity, your computer etc., you have a right to read whatever it is that they are writing or sending.

Well, the answer is both yes and no.

As the employer, you are not automatically entitled to read all of the e-mails.  On the other hand, if you obtain written permission from the employee to read the mails, then, of course, you can.

If you have very real grounds in that your employee is abusing the use of your e-mail (for example sending out child pornography), then you have grounds to read those emails.

If the mail has been sent in the course of your company’s business (as in a business mail to a colleague or client), then you also may read the mail.

Prevention is always better than cure, therefore, getting the permission upfront (whether you need it at the time or not), for me is always first prize.  So getting your permission as a clause in your contract of employment is a great way of getting permission before the time.

If you don’t have anything in place though, don’t stress or panic.  Simply give them written notification (and get them to sign that they have received the same) of the fact that you will be checking and reading e-mails.

Here’s the thing – you can always read the mails, more often than not they will have no idea that you have read the mail!  The problem is that if you try and discipline them for the contents of that mail, without their written consent, you will find yourself on the wrong side of the law, irrespective of what they have done.

It’s easier and less stressful to be proactive.  Get the proper clauses into your letters of appointment or contracts and get yourself protected.

 

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or http://www.viljoenconsulting.co.za 

Customer Service 101 - The Customer is Always Right

 Customer Service 101 - The Customer is Always Right

By Nikki Viljoen of Viljoen Consulting (Pty) Ltd

We’ve all heard the phrase “The customer is always right”.  The phrase was apparently first coined in 1909 by the founder of Selfridge’s Department Store in London.  It was used to instil a greater sense of awareness amongst the employees, of their attitude towards customers and how they interacted with them.  It is used today, rightly or wrongly, by businesses to indicate or give the impression of providing good service.

In many businesses today, particularly where there are call centres in place, this has become merely lip service.  Nowadays though, with the internet, e-mails and blogs, the networks and people who are linked with working networks, when a client chooses to complain, very few companies can afford not to listen.  With the introduction of industry ombudsmen, there are even more complaint channels available to people who wish to voice their complaints.

This makes consumer power bigger and better than it has ever been.  The question of course is do we, as consumers complain enough, or do we just put up with bad service, poor quality and indifferent salespeople for the sake of a quiet life?

If a client takes the time or the trouble to voice a complaint it should be seen as an opportunity, by the business, to right a wrong, or as a second chance.  The fact is that customers who complain give businesses the opportunity to improve their service and thereby retain the patronage of their clientele.

Ironically, the reality of the situation is that very few of us take the time and trouble to complain or express our dissatisfaction directly to a company usually because the perception is that it is not really worth the effort.  Many South Africans just tolerate bad service.  What we usually do is “vote with our feet” and of course our voices, when we tell all of our friends, family and colleagues or in fact anyone who will listen, about the bad experience that we had.  This does not help the situation at all, as we have not dealt with the root of the problem.

Human nature being what it is though means that we usually complain a lot more than we praise.  So when we moan and groan quite liberally to all and sundry we very rarely spread the news when service or quality is exceptional.  The result of this of course that we as consumers have the ability and potential to make or break a small business.

Clearly, it is of the utmost importance to deal with customer complaints effectively and efficiently.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or www.viljoenconsulting.co.za 

Networking 101 – Focus is Key

 Networking 101 – Focus is Key 

By Nikki Viljoen of Viljoen Consulting (Pty) Ltd

Don’t you just hate it when people are talking to you and they look everywhere except at you?

It’s like the guy who chats to the ladies whilst clearly focused on their cleavage!

Apart from the fact that it is really rude, it’s also very distracting.  It makes me feel like I’m missing something, which usually means that I also have to have a look at whatever the other person is looking at.  Usually, that means that I am doing the “rubbernecking” thing to look at whatever it is that they are looking at and often I really don’t “get it”.  The result of course is that I lose focus – they never really had any focus and frustration sets in!

So what’s the point of going to a networking event if you cannot focus on what you are doing?  In fact, what’s the point in talking to anyone, if you can’t focus on either what you are saying or what they are saying?

Be sure to focus on the person that you are speaking to – give them your full attention.  You are bound to reap the rewards in the long run.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or www.viljoenconsulting.co.za 

Business Tips – Social Media – What Gives?

 Business Tips – Social Media – What Gives?

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd 

Many of my clients seem to be tearing their hair out because of staff taking time away from their designated jobs to “play” on the social media sites or incessantly chat on their cell phones.

Twenty years ago Social Media was simply the radio or television and was relatively harmless to business – I mean it was quite easy to ensure that staff were not glued to the TV or the radio.  With the introduction of WWW (World Wide Web) and the internet, however, things have changed drastically and currently, employers are bearing the brunt of it.

Today we have all sorts of distractions such as (but not limited to) Facebook, Twitter, LinkedIn and don’t forget Instagram, TikTok and WhatsApp. According to an article written by Jan Du Toit entitled “Social Media: Guidelines on the policy for employees using social media for non-business purposes”, employees spend as much as 79% of their business day, playing on social networking and gaming sites. Never mind the work that doesn’t get done, there is also the cost of the resource that the company will ultimately be responsible for.  Just how long can any company, regardless of its’ size, continue doing business under these circumstances – my guess is not very long at all.

There have also been reported incidents where employees have been dismissed because of how they have disparaged bosses or colleagues or clients, publically – what kind of damage does that do to the reputation of the company as well as the individual?  Yes, technology has advanced us as a species into a wonderful world, where there is so much to explore and learn – sadly, it has also caused huge problems in terms of the way that it is being abused by individuals who have no control over their own actions and who are addicted to the games or the interaction.  Sadly many of us find that our lives are now governed by gadgets.

It is obvious, that in order for SME’s (small, medium enterprises) as well as big corporate companies, to survive the technical revolution, certain measures need to be implemented to ensure that staff spend their work time actually working and not playing in their personal capacities.  Enter the Social Media Policy.  This will set clear guidelines to ensure that the staff do not abuse company resources and provide clear definitions of what is and isn’t allowed.  

Here are some of the types of issues that would need to be addressed:

If the employee is using media sites for business purposes, they must be aware of and clear on (but not limited to):

- Which social media sites can be used and when.

- The legality of postings and whether they are ethical or disrespectful and disparaging.

- The company’s confidentiality policy should not be breached in any way, this should include the personal details of management, colleagues and even clients and suppliers.

- Company details and information should be correctly disclosed, and only the official company logo should be used.

- In terms of compliance or legislation, it is also a good idea to ensure that all copyright laws are adhered to.

- Media type statements and public postings should always first be cleared by the employer or their designate.

For employees using the internet, social media (including cell phones and IM {instant messages applications}), they should be (but not limited to).

- Company policy on the use of company equipment as well as what social sites can be used and when

- Company confidentiality policy must not be breached in any way, so company information must be kept safe

- The company code of conduct should be upheld 

- Employees should only post in their personal capacities and not on “behalf of” the company, their colleagues, clients or service providers and suppliers.

- Usage of cellphones should also be included here.

Furthermore, employees should be made aware of the consequences, should they fail to comply with the policy and a reminder that internet and e-mail and in the case of company cell phones, usage can and will be monitored.

It’s also a good idea to include this on the letter or contract of appointment, making sure that employees understand that when they sign their letters or contracts, they also give employers permission to monitor the internet/e-mail/cell phone usage of the employee.

Please contact Nikki, if you require assistance with this policy or any other policies/procedures/templates that you may require.

 

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or http://www.viljoenconsulting.co.za 

Inspiration – Starting the Change with You

 Inspiration – Starting the Change with You

By Nikki Viljoen of Viljoen Consulting (Pty) Ltd 

There is a story that goes something like . . . 

Once upon a time, there was a man who always felt insulted by people around him.  This man went to visit a very wise man and told the wise man all about this problem that he had.  

He told the wise man how easily he was insulted by the people around him and how it hurt him when people said bad things to him or about him.

The wise man then asked the man a question that went something along the lines of “if someone gives you a gift and you don’t accept the gift, who does the gift belong to?”

The man was thoroughly confused and conveyed this to the wise man.

The wise man tried again saying, “if someone gives you a gift and you accept the gift, who does it belong to? “ 

“Well it belongs to me”, said the man “if it was given to me, then it belongs to me.”

“So”, said the wise man, “if someone gives you a gift and you don’t accept that gift, who then does the gift belong to?”

“Then” the man replied, “the gift still belongs to the person who is giving it to me”.

“So there’s your answer”, said the wise man, “if someone insults you and you don’t accept the insult from the giver, then the insult still belongs to the giver.”

As usual, it’s about choice and how we choose to react to issues and other people’s stuff!

I am often amused at the reaction of people when I say that “other people’s opinion of me is none of my business”!  Believe me when I say it because it is something that I really believe and quite frankly I really don’t give a continental . . . well, I’m sure that you understand exactly what I mean.

That said, I still seem to get angry when people have disparaging remarks to say about the people that I love.  Clearly, that too is my choice and it is something that I will need to look at and process one way or another.

It’s also often about negativity.  I have spent most of the year listening to people moan and groan about the economy, the government, taxes, non-paying clients, the recession (insert anything you like to hear) and most of the time their comments have irritated me because of what I saw as “their” choice of actions and yet I am doing exactly the same thing when I get annoyed by other people’s remarks about those that I love.  Instead of rejecting their “gift” of insults or disparaging remarks, I buy into them and react negatively.  Clearly, that has to change.

Now it is much easier to say than it is actually to do, but that said change can only happen if it starts with me.  I cannot just sit here on my rear end and command that things change.  The change starts with me and in order for it to start, I have to be aware of what the choices are that I am making.  So for me, it is one of those times that I do the “note to self”  thing and this article is clearly, my “note to self”.

So starting from today – insults will no longer be accepted by me?  What about you?  Will you still be accepting the “gift” of insults?

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or http://www.viljoenconsulting.co.za

HR 101 – What to do When . . . Staff Make A Costly Mess

 HR 101 – What to do When . . . Staff Make A Costly Mess

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd 

Please note that this pertains to South African Labour Relations and Best Practice requirements.

Many of us have had costly machinery or equipment and even property, damaged by staff.  Apart from a sharp increase in our blood pressure and our stress levels, is there anything else that we can do?

So let’s have a look at the story.

Here are our usual protagonists.  Mike owns a furniture shop and he has several delivery vehicles.  George is the driver of one of the delivery vehicles.

George and his vehicle were stopped at a roadblock and Mike received a long list of things that were wrong with the vehicle.  Things like both indicators and both brake lights are not working, faulty brakes, no spare wheel, badly cracked windscreen and several other issues totalling thousands of rands.

Mike, understandably is absolutely furious, I mean – who wouldn’t be?  But is there anything that Mike can do about it?

Well, let’s have a look.  Firstly – are there any procedures in place?  Has George signed for and accepted the responsibility for his vehicle?  Are the vehicles booked in regularly for service?  Is there a daily checklist in place to ensure that the vehicle is fit to be on the roads?

If procedures are in place and George has not followed them, then clearly he is at fault and there is a consequence.

If however, no procedures are in place to ensure the wellbeing and maintenance of the vehicles – then, in my opinion, Mike must share the responsibility and accountability.

So what can Mike do about this?  Well in this case – Mike has policies and procedures in place.  All the drivers sign a document when they take delivery of the vehicle, stating that “where failure to adhere to laid down procedures results in damage to the vehicle the driver will be held responsible for the cost of the damage and said costs will be deducted from his salary”.  George has signed the document agreeing to this.

Mike checks George’s documentation and is both shocked and horrified at what he discovers.  George has signed off on documentation indicating that the vehicle has been serviced regularly – the reality is that has missed five service dates.  George’s daily documentation indicates that the brake and indicator lights were checked and found to be in good working order.  Tires were checked and found to be in good order.  In fact, the paperwork evidence that George’s vehicle is in tip-top condition.  The sad reality however paints an entirely different picture altogether.  The bodywork is badly scratched and dented in several places, the vehicle needs new tyres and most of the tools and equipment that is standard issue on the vehicles, are missing.

Clearly, George has been dishonest in his paperwork and he is now responsible.

What does the law say?

Well, since the damage to the vehicle was caused by George and the loss of the tools and equipment on the vehicle was George’s responsibility – George becomes financially liable for these.

Mike will have to follow the usual disciplinary procedures and George must be allowed to show why the deductions should not be made.

That said, George has signed in agreement to owning the responsibility and Mike can make deductions from his salary as long as:

• the total deductions from George’s salary cannot exceed the amount of the loss or damage.  In other words, you cannot charge him more than it cost you.

• The total deductions from George’s salary cannot exceed one-quarter of his monthly remuneration.

Here’s the thing though – if George decided to leave Mike’s company before the debt is fully paid, Mike would have to institute legal proceedings against George.

So the answer obviously is – yes! Yes, you can claim monies back from employees who damage your machinery, equipment and property.

It’s easier to claim such damages if you have proper procedures and policies in place. That said though, it’s all very well to have policies and procedures in place, but someone actually needs to check to see that they are being adhered to.  Don’t be a Mike and only discover that there is a problem when it becomes a real issue.  Spot checks to ensure that George was in fact doing what he was supposed to be doing could have prevented this whole mess from happening in the first place.

Remember though that you have to have the employee’s permission to deduct money from their salaries and you cannot deduct more than 25% of their monthly salaries.

The time has come to make people responsible for their own actions.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or http://www.viljoenconsulting.co.za 

Customer Service 101 - Sick of Poor Service

 Customer Service  101 - Sick of Poor Service

By Nikki Viljoen of Viljoen Consulting (Pty) Ltd

So why is it that many customers do not complain?  Well, one theory is that it is because of the physical reactions to their own bodies that make people reluctant to make the complaint in the first place.

According to Harris Interactive, 85% of the respondents in a survey said that they had “customer experiences so appalling that they have:

• Used foul language (29%)

• Developed a headache (21%)

• Felt chest pain (6%) and

• Cried (5%)

The most common frustrations are:

• Not being able to understand a customer service agent (44%)

• Being put on hold, listening to bad music or repetitive messages (45%)

• Spending a great deal of time on a website or automated phone system searching for important information and not finding it (39%).”

Actually, my pet hate is not even mentioned in this lot, although I am sure that I cannot be the only one to experience it.  It’s the customer service call centre person who will not put you through to a supervisor or a manager or anyone for that matter, despite the fact that they cannot or will not or do not have the grey matter to assist you.

Clearly, the reality of the situation in South Africa is that good customer service doesn’t seem to be on the agenda at all.

Part of the problem I suppose is that many customers, who want to complain often don’t know how to complain, where to go to complain or even what to complain about, strange as that may sound.  On the other hand, there are many companies who don’t have the necessary infrastructure in place to handle queries and complaints and the result is that you get passed on from one person to the next, obviously explaining the whole story each time you get passed onto another poor soul who has no clue how to help and so just passes you on again!

Talk about frustration!

The onus, I am afraid is on us, the consumer.  In order for Companies to actually do something about bad service, it is up to us to get the message through to them that things are wrong and that we want to change.

We, as consumers have the power to ensure that businesses give us better service, but we have to speak up, take action and get the ball rolling.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or www.viljoenconsulting.co.za

Networking 101 - Be Prepared to Listen

Networking 101 - Be Prepared to Listen

By Nikki Viljoen of Viljoen Consulting (Pty) Ltd

My late friend Geraldine Bunting always told me that one of the things that her mother  used to say is “There is a reason that God gave us two ears and one mouth!”

Frankly, I agree – we don’t listen enough.  We are so busy, thinking about a clever thing to say in response to something that someone has said, that we don’t listen to all of what the other person is trying to say and yet conversely we become offended if someone doesn’t listen to what we have to say.

I am always reminded of an incident that happened to me at the garage.  The petrol attendant asked me 3 times whether I wanted unleaded or leaded and each time, when I answered him, he was so busy talking to his mate that he didn’t listen – the result, of course, is that he put the wrong petrol into my car.  When I pointed this out to him, he immediately stopped the incorrect petrol pump and started putting the correct petrol into the tank.  When it came time to pay, I was presented with a bill for xx amount of litres of leaded petrol and yy amount of litres of unleaded petrol – I refused to pay for the leaded petrol.  The Manager entered the debate and tried to insist that I pay for the leaded petrol as “it was already in my tank” – I refused and invited him to remove it from the tank as I had neither asked for it and nor did I want it – in fact, I requested his name and contact details because if anything untoward happened to my car, as a result of the wrong fuel being put into the car, I would be holding him personally responsible.

In this instance, not only did the petrol attendant not listen to the instruction, but when the result of this could have cost the garage money – suddenly it became my problem!  How bizarre!  Anyone who knows me though knows that I did not pay for the leaded petrol – in my opinion, the petrol attendant and the garage owner needed to be responsible for their own shortcomings – but that is another story for another day.

The point that I am trying to make is that there is usually a consequence for not listening and when you are in a networking environment this is usually the loss of a lead, loss of a sale and invariably – loss of a client!

A bit harsh, you may think!  But think about it logically for a moment.  Let’s say you are telling someone who you are and what it is that you are doing – he on the other hand, whilst appearing to be very interested in what you are saying, is watching the nubile young waitress who is serving a table nearby and clearly by following his glance and the glazed look in his eyes, he is not paying attention.  He sells motor vehicles.  At the same meeting, there is another chap who also sells motor vehicles.  He on the other hand not only listens carefully to what you are saying but also takes notes and asks pertinent questions and really tries to understand what you are all about.

The very next day, your friend Geraldine Bunting is looking for a car, but wants to talk to someone who is not going to rip her off and who will tell her the truth – which of the two guys above are you going to refer her to – for me it’s a no brainer!

In my opinion, there is a consequence, each and every time that you do not listen – the question remains, however, whether you are prepared to bear that consequence or not.

It’s a conscious decision that only you can make!

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or www.viljoenconsulting.co.za

Business Tips – Managing Your Business – Part 5

Business Tips – Managing Your Business – Part 5

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd 

Irrespective of how “uncertain” times are and how difficult it is to get the business in or make the sale, or how much you have downscaled the expenses, the fact of the matter is that you have to keep your staff motivated if you want to still get the business in and the orders processed.  Clearly, I am not talking only of the sales staff here!

Here’s the thing, if you have cut back and trimmed away as much as you should have and tightened your belt as far as it can be tightened, then most if not all of your staff have taken over some (if not all) of the duties of the staff who have left and usually for no additional remuneration.  That means that you need to implement some sort of reward system to motivate them.  This is where you have to get creative, as you may not be able to reward them financially. There are many perks that don’t necessarily cost the company a lot of money but could have hugely beneficial implications for the staff.  Things like introducing flexitime, so that they spend less time in traffic and therefore have more quality family time or even if it can be done, allowing them to work from home.  This could result in you renting out your excess office space and your staff member spending less on fuel and toll fees – a win/win situation, I am sure you will agree.  Rather get rid of the “deadwood” and poor performers and reward those who have invested themselves in your company and who work effectively and efficiently. Poor performers and “deadwood” take up a huge amount of management time and ultimately increase costs in more ways than one.

One of the quickest ways to decrease costs and increase productivity is to ensure that your operational costs are kept to a minimum.  Machinery should be well and regularly maintained to optimise efficient use and processes implemented and properly managed to ensure that both quantity and quality of output.  This should also be measured to ensure that it is of the highest standard.  Regular review of processes and procedures to ensure that they are both effective and efficient and that they comply with legislation will also ensure that workflow output is optimised and constant and that fines or penalties are not levied against you for non-compliance.

Finally, “always keep your enemies close”.  Make sure that you know what your competition is doing to ensure that you are doing things better, more efficiently and more effectively.  Make sure that you always give value for money and that you operate from a place of integrity and honesty with your clients, your suppliers and your staff.

In your Business – honesty really is the best policy!

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or http://www.viljoenconsulting.co.za 

<<

Part 1

http://www.viljoenconsulting.co.za/2010/12/business-tips-managing-your-business-part-1/

Part 2

http://www.viljoenconsulting.co.za/2010/12/business-tips-managing-your-business-part-2/

Part 3

http://www.viljoenconsulting.co.za/2011/01/business-tips-managing-your-business-part-3/

Part 4

http://www.viljoenconsulting.co.za/2011/04/business-tips-managing-your-business-part-4/

Inspiration – Prepare the Way

Inspiration – Prepare the Way

By Nikki Viljoen of Viljoen Consulting (Pty) Ltd

This week quote comes from Ralph Marston.

 

"Prepare the way 

On its own, this day is filled with immense value. And in addition, this day gives you the opportunity to prepare for the days and the years to come.

Living this day with purpose, gratitude, love and integrity will provide you with a double reward. Not only do you make this day the most fulfilling it can be right now, you also prepare yourself in the best possible way for the days that follow.

Nothing is more frustrating than to have the opportunity of a lifetime come along when you are not prepared to seize its promise. You don't have to let that happen to you.

For each day is an opportunity to live fully and to prepare diligently. The two go hand in hand.

By making the most of every moment, you are putting yourself in a position to fulfil the best possibilities when they open up to you. Always keep in mind that what you do today sets the stage for your tomorrow.

Fill this day with positive purpose, focused effort and all the joy you can give. And you'll prepare the way for an even brighter future."

 

I am often told that it is important to live, not in the past and not in the future - but in the present.  This article just proves that by living in the present, the future will be prepared for!

Having said that, however, the fact of the matter is and remains that we still have to make things happen for ourselves.  So often we sit around on our backsides and wait . . . wait for God knows what, because all the waiting in the world will not make it happen. 

We have to do that for ourselves.

So on a daily basis, prepare what you need to do for the day (note that was not 'wait' for the day), do them and watch what happens in the future.

Hope you all have an awesome and inspired day.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or www.viljoenconsulting.co.za

                                                                

 

                                                                
 

 

HR 101 – What is Dereliction of Duty?

 HR 101 – What is Dereliction of Duty?

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd 

Please note that this pertains to South African Labour Relations and Best Practice requirements

The Collins Concise Dictionary defines ‘dereliction’ as “conscious or wilful neglect” (especially of duty), whilst the Dictionary of English Synonyms lists the synonyms as ‘abandonment’ and ‘desertion’.  The meaning, therefore, is very clear – it is when an employee intentionally or on purpose if you will, does not perform their tasks or duties.  There are no ‘accidents’ or ‘mistakes’ here – this is deliberate.

Many employers, when charging an employee for some misdemeanour or another, use the incorrect terminology and the term “Dereliction of Duties” has a great ominous and serious connotation to it.  This coupled with the fact that it is a dismissible offence, even for the first offence, often makes it a great tool for frightening the hell out of the staff.

Employers – you need to be careful here as charging for the incorrect offence (or even wording the charges incorrectly for that matter) will result in a "not guilty" verdict for the employee!

Let’s have a look at some examples of what can be termed as ‘Dereliction of Duties’.

- When an employee completely ignores the client they are supposed to be serving, in order to complete the cell phone discussion that they are having with a friend.

- When the security guard leaves his post to go home early (or any time for that matter), without a valid reason.

- When a staff member gives the keys to the safe or passwords of the alarms to an unauthorized colleague so that they can have an extended lunch or go home early.

- When an employee leaves the company truck, heavily laden with products, in a dodgy part of town whilst he takes his lady of the moment to the movies.

- When a machine operator switches off all the safety devices on all the machines that are operated by everyone other than him.

- When an employee downloads porn from a site that he knows is full of viruses.

Pretty standard stuff, I am sure you will agree although I am equally sure that you now understand the difference between not doing (or doing for that matter) something by accident and doing something that is planned, intended or deliberate.

Clearly then ‘dereliction of duties’ should not be used in instances that have arisen due to misunderstandings or miscommunication or because the staff member lacks adequate skills or if machinery is faulty or not correctly maintained.

The punishment has to fit the crime and the crime needs to be correctly identified.  Charges that are incorrect will usually be thrown out and the employee is found "not guilty".

Again clearly, it is in your own best interests as an employer to ensure that you get the correct outcome by keeping your emotions in check and dealing with, or presenting the facts calmly and confidently is always a good thing.

To ensure that everyone knows what is expected of them as well as what the consequences are, if the boundaries are breached, to ensure that you have proper policies and procedures in place and that your line managers (and of course yourself) are properly trained to ensure that discipline and controls are maintained.

Finally, make sure that all contraventions to laid down procedures are properly and calmly investigated and that the correct, legally applicable charges and therefore the correct wording is used to prevent additional losses to the company in the form of penalties levied against the employer.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or http://www.viljoenconsulting.co.za 

Customer Service 101 – Power to the People

 Customer Service 101 – Power to the People

By Nikki Viljoen of Viljoen Consulting (Pty) Ltd

It is said that collectively, we as consumers are incredibly powerful!  Strong words I am sure that you will agree!

You see, we vote for a company either with our wallets, our words or in fact our feet.  Every time we make a purchase for a service or a product, we are voting with our wallets and telling that particular company that we approve of their service or product.  On the other hand, every time we choose not to make a purchase or we use one of the competitors we are voting with our feet and in doing so we are actually telling that company that we no longer are choosing to purchase their services or products.  Then of course when we complain about a service or product we are voting with our words.

It is those words that can cause the most damage.  You see when we vote with our feet – it definitely has a negative impact on the bottom line, but when we vote with our words the negative impact on the bottom line is far greater because not only has that company lost our sales, but in all probability, it has also lost the sale of all the people that we have spoken to.

Fortunately or unfortunately, depending upon which way you look at the problem, statistics show that only 10% of the people who are not satisfied with a product or a particular service actually initiate any kind of action.  This, in real terms, gives the companies somewhat of a false sense of security in terms of the level of service and actually does us, consumers, an injustice.  Why you may ask – well if the truth is told, the perception is that the service is not as bad as it actually is.

It is for this very reason, that every single complaint should be viewed in the most serious of light.  Action must be taken as soon as the complaint is received and Companies should take all complaints extremely seriously.

As a service provider, you should be continuously trying to find ways in which to ‘up’ the level of your service.

You need to give the kind of service that you would like to receive.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or www.viljoenconsulting.co.za 

Networking 101 - No Longer Lonely in Business

Networking 101 - No Longer Lonely in Business

By Nikki Viljoen of Viljoen Consulting (Pty) Ltd

I once sat in a meeting where one of my colleagues stated that she had been in business for over 10 years as an entrepreneur and that networking for her meant that she was no longer “lonely” in business.

At the time I found this quite hard to understand as I am, by nature, a loner – not a lonely person you understand, but very definitely a loner.  So the concept of someone being “lonely” is hard for me to grasp and someone being “lonely” in business, is something that is very foreign to me.

You see on a business level, I meet people and with people on a daily basis.  There are of course the clients that I meet with when we discuss what needs to be done, how it will be done and in what priority it will be done, then, of course, are the prospective clients that I meet when I try and understand what their business is and whether they need my services or not and finally there are the people who I meet at Networking events and who I make appointments with to meet on a “one on one” in order to expand my “circle of influence” and my database, whilst adding value to them and they to me.  So the question begs to be answered – how can you be lonely in business.  I mean surely she would also be meeting clients and prospective clients and networking?

I have, over time, understood exactly what it is that she meant, not that I have experienced that feeling, but that is probably because I am a natural networker.  It is being able to use other networkers in order to bounce your ideas off them.  It is being able to sit in a room full of people who understand your frustration(s) because they too are entrepreneurs and they face the same challenges as what you do.  It is about seeing the same kind of passion on the faces of people, that you know shines off your face – because they are as passionate about what they do as you are about what you do.

Again, the question begs to be asked – why wouldn’t you want to be in the company of a group of people like this?

I certainly want to be – but then again, that is probably why I am!

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za. 

Business Tips – Managing Your Business – Part 4

 Business Tips – Managing Your Business – Part 4

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd 

We’ve looked at Managing your cash flow and making sure that your margins are where they should be, as well as ensuring that you are meeting your client’s needs.  Today we will have a look at “Managing your working capital” and Advertising.

First off, let’s have a look at your “Working Capital Management”. Ensuring that you manage your working capital correctly, will have quite an effect on your cash flow as it “releases” monies that would normally go towards expenses.  Let me explain – your clients pay you 30 days, but your suppliers want payment upfront. This means that you are carrying the whole thing financially on your own (it will also have an impact on your risk management too).  By negotiating better payment terms with your suppliers and your clients, you will decrease your risk and have a better cash flow situation and a stronger working capital, which could go towards growth and expansion.

Other critical areas to look at are (but not limited to), your debtor's list.  Make sure that you follow up on outstanding or overdue accounts on a regular basis and don’t be scared to put errant clients on hold or in extreme cases, even firing them.  Remember this is your business and you make the rules.  

Stock is also something that needs to be managed both effectively and efficiently as this is one of the first areas that you will experience losses when there is a downturn in the economy (ok, if the truth be told this is all the time, not only when things become a bit rough).  So stock needs to be properly controlled to ensure that the shrinkage is kept to a minimum and that stock levels are kept to acceptable levels.  Too much or too little stock on hand also has its own consequences.  Oh, and don’t forget to make sure that your stock is properly and adequately insured and that (particularly with perishables)  the FIFO (first in first out) method is used, that way you will not end up with stock that has expired.

One of the first things that seem to go for a ball of chalk when times are tough is your advertising.  This is not good at all.  Think about it logically and calmly for a moment. Taking your marketing out of the equation means that fewer and fewer customers are going to know about you and fewer and fewer customers are therefore going to buy from you! Crazy that - you are wanting to increase your sales, which means your marketing and advertising should increase.

By all means, modify the way that you market yourself.  Cut down on say, using the big PR agencies (or any agency for that matter) and try and do things for yourself.  Get an e-mail campaign going or use social networking sites and Twitter to drive people to your website.  Start a newsletter and give useful information to your clients. Make sure that you are still at the forefront of their minds and that they don’t forget you and go to your opposition or competitors as a result of this.

So change the way that your market yourself, if you must, but ensure that the amount of marketing increases rather than decreases.

Next time we will have a look at some of the other issues around what to do when your business is going through a tough time.

Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za or http://www.viljoenconsulting.co.za 

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Part 1

http://www.viljoenconsulting.co.za/2010/12/business-tips-managing-your-business-part-1/

Part 2

http://www.viljoenconsulting.co.za/2010/12/business-tips-managing-your-business-part-2/

Part 3

http://www.viljoenconsulting.co.za/2011/01/business-tips-managing-your-business-part-3/

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Part 5

http://www.viljoenconsulting.co.za/2011/04/business-tips-managing-your-business-part-5/