ENTREPRENEURSHIP NEWS

SMME advice from a successful SMME

18 JUL 2016 | SAVE | EMAIL | PRINT |  PDF    

Small, medium and micro-enterprises (SMMEs) around the world drive the economy, yet they often lack advice pertinent to their small business model. Dr Sibongiseni Tunzelana, a successful business owner, shares some of her experiences in starting and eventually operating a successful business to give aspirant owners of SMMEs local insights on getting started.

© Dmitriy Shironosov via 123RF

In 2011, Tunzelana, together with Matsepo Matloporo Africa, founded Flavalite Innovations, an ICT service provider, specialising in innovative ICT services and focusing specifically on digital innovation, digital analytics, cyber security, e-ticketing and e-commerce. 

Having proved its potential in the local ICT space, the company was welcomed into the Innovator Trust Enterprise Development Programme. 

Tunzelana says, “Since joining the Innovator Trust’s Enterprise Development Programme, the company has received guidance and mentorship which has been instrumental in improving the profile of the company. Through this process, we have improved our sales presentations, refined our sales pitches and been linked with corporate buyers. This has created valuable investor leads and business opportunities. In addition, the company has continued the development of skills and capabilities which have allowed us to streamline and optimise business operations.” 

Five planning tips for SMME business owners

1. How to choose a business incubator - “It’s a great advantage to your fledgling business to find a mentoring partner that fits the profile of your particular business. This results in more informed business decisions.”

• The Small Business Connect website lists a number of business incubators in South Africa. 
• Useful information about the South African business start-up ecosystem is available onVentureburn.
• The Innovator Trust also partners with Kulea, Shanduka Black Umbrellas, Raizcorp and GIBS, among others.

2. Do your research - SMME owners should be aware of the legal compliance requirements, which guide the operation of businesses in South Africa:

• Registration of companies, co-operatives and intellectual property rights (trade marks, patents, designs and copyright) and the required maintenance; 
• Compliance with relevant legislation; 
• Monitoring compliance;
• BBBEE Affidavits; and 
• Tax clearance certificates

Information sources for documentation, business processes and legislation affecting SMMEs include:

• The Department of Trade and Industry 
• SME toolkit 
• Understanding BEE 
• Labour Law 
• Companies and Intellectual Property Commission

3. Get the right partner on your side - The following companies and organisations offer support for SMMEs, from tailor made services and solutions to training and skills development.

• NSBC
• SEFA
• SEDA 
• NEF

4. Networking - “For small business owners in particular, the importance of networking cannot be emphasised enough. The following events, groups and forums suit the ICT business.”

• AfriCom 
• Innovation Summit 
• The Institute of Information Technology Professionals South Africa 
• Smart Procurement

5. Mobile presence and cyber attacks - A mobile presence is extremely important to small businesses, especially with increased mobile access to the internet in South Africa. With this, of course comes the increased risk of cyber attacks. “As businesses, big and small migrate data to the cloud; financial data, customer details, and other sensitive information becomes an opportunity for cyber criminals.” 

Poor security and a lack of awareness and training can leave SMMEs ill-prepared for attacks, making them "easy pickings" for cyber criminals. To avoid this:

• Secure your data – and don’t forget about your customers;
• Control access, but don't overdo it; and
• Stay up to date with current trends around connection, and safety issues.

“As an SMME, you need to engage with the right organisations and individuals, to help you steer towards the right direction. My experiences and views on the challenges and benefits of being an entrepreneur in the South African financial ecosystem, guide and inform every decision I make for my business. The rules of the ‘game’ are changing daily, and the successful SMMEs are not the most pedantic, they’re the ones who are willing to throw out the rule book and go against their theoretical knowledge when a new or a better way of doing something comes about,” she concludes. 

For more information, go to www.innovatortrust.co.za.

ENTREPRENEURSHIP NEWS

Company identity and your start-up: how to cultivate a winning culture

14 JUL 2016 | SAVE | EMAIL | PRINT |  PDF    BY: HARRY WELBY-COOKE

Culture - it can make or break an otherwise viable business. It's that personality that drives performance, that special something that draws people to want to be part of an organisation. And yet culture is something that's often overlooked at the start-up stage of a business.

How many entrepreneurs have set out to create their own businesses precisely because they’ve found themselves stifled by a smothering corporate culture? It’s an irony that many of today’s most creative entrepreneurs don’t give a thought to the culture they are cultivating in their own business.

©Dmitriy Shironosov via 123RF

According to a Bain & Company Survey, 81% believe that a company lacking a high-performance culture is doomed to mediocrity. And no one wants to work for an organisation with a grim future. 

For the dynamic, hungry workforces of today, it’s the seemingly softer stuff – culture and values – that really matters. Money might get them to sign on, but culture is what will motivate them to excel and take the business to the next level.

How can business owners build a cohesive culture that attracts and retains the best and brightest? Here are some tips to help infuse a charismatic corporate culture from the word go: 

Define what is important

This is where business owners need to decide what matters to them. A corporate culture will eventually rule the way people work, the way they interact with customers and the way the brand develops in the business sector. This means that it is crucial for owners to ensure that the company’s culture is synonymous with their own. If they’re passionate about innovative thinking, their workforce should be too.

Recruit people who compliment business goals

It might be tempting for owners to recruit people who are carbon copies of themselves, but this is a mistake. Start-ups need variety and hiring individuals who have diverse experiences and knowledge will ensure different cultures are accounted for from day one. 

Align business culture with the work environment

In this day and age, a great work environment is just as important as an empowering corporate culture. Owners should always try to find ways to improve the business workspace. After all, employees spend a huge amount of time there and need to be happy and comfortable. Consider things like pause areas, meeting rooms and creative spaces to encourage innovation. 

Marry marketing and HR efforts

Companies need to focus on ways to bring culture into every aspect of their operational systems. Getting the marketing and HR teams around a table to nail down the corporate culture and ensure that it is woven into the job descriptions for recruitment drives is crucial, for example. Interviews should focus on candidates’ values and passions to ensure they’re in line with those of the business. 

Work as a team to constantly evolve your culture

It’s extremely important to understand that cultivating a sustainable culture won’t happen overnight. Employees will not always agree with what that culture should be. Changes and exceptions will need to be made. Working together as owner and workforce is the best way to come up with a corporate culture that supports every aspect of a business. Being transparent and open to other opinions is something that a workforce will appreciate too.

Richard Branson once said, “There is no magic formula to a great company culture, the key is just to treat your staff how you would like to be treated.” Providing a well-rounded and empowering work environment that encourages personal and career growth will keep employees satisfied, productive, and committed to building a respected brand name.

HIGHER EDUCATION NEWS

Degrees-for-sale scam

15 JUL 2016 | SAVE | EMAIL | PRINT |  PDF    BY: MZILIKAZI WA AFRIKA

Senior government officials, as well as an SRC president, are under investigation after allegedly buying academic degrees from the University of Zululand.

© Matthew Benoit – 123RF.com

The university was first exposed in 1997 for selling degrees. This week, a former student, who now works at the institution, wrote to the public protector, revealing the latest scandal.

An investigating officer assigned to investigate the altering of marks by students eight years ago has been suspended along with an examination officer, pending a full investigation by the university.

The investigating officer was fingered in the letter to the public protector as the alleged kingpin who had had access to the university network since the 2008 investigation.

The investigating officer was allegedly charging R5000 per module and the money was being deposited into his daughter's bank account.

Sources at the university claim the official has close ties with KwaZulu-Natal political leaders, and allege that he sold fake degrees to senior employees at a local municipalities.

The investigating officer is accused of altering marks and adding outstanding modules to students' records, enabling them to graduate without actually completing all the required modules.

An SRC president is one of the people named in the letter to the public protector as having allegedly bought academic qualifications.

An LLB graduate at a local municipality, a public relations diploma graduate teaching at a school in Gauteng and a practising attorney in the province are also among those alleged to have bought qualifications.

Public protector spokesman Oupa Segalwe confirmed receipt of the complaint.

Neil Garrod, deputy vice-chancellor of institutional support, confirmed the university had suspended two officials. He said "irregular activities" had been found in a university probe.

The university is the alma mater of some of the country's top brass, including State Security Minister David Mahlobo. In 2009 SAA board chairman Dudu Myeni came under fire for claiming to have a BA degree from the university. She later clarified that she was studying towards the degree.

SA Qualifications Authority CEO Joe Samuels said that if these allegations were true, it was all the more reason for employers to verify qualifications of prospective and current employees against the SAQA database.

Source: The Times via I-Net Bridge