SME Advisor Middle East - Good advice for better business

presents

EXCLUSIVE TELECOM PARTNER

ADCB BUSINESSEDGE – Cutting edge financial solutions for Small and Medium Enterprises

ww

w.s

mea

dvi

sor.c

om

Is

sue

63

Fe

bru

ary

20

11

Two young cousins, who are not even old enough to get a bank loan,

are the force behind a really cool brand called Funtakino. Supported

by Dubai SME, they plan to take their fun sandals to the world.

SME draft lEgiSlation

Surviving officE politicS

SalES rEcruitMEntBaniSH dEBtHoW to gEt Your

cuStoMErS to Sin

PUBL

ICAT

ION

LIC

ENSE

D B

Y TH

E IN

TERN

ATIO

NAL

MED

IA P

ROD

UCTI

ON

ZO

NE,

DUB

AI T

ECHN

OLO

GY A

ND

MED

IA F

REE

ZON

E AU

THO

RITY

XEROX COMPETITIONSEE INSIDE FOR THIS MONTH’S

WINNERS Details on page 55

SME Advisor M_Name 270x207mm-E.indd 1 11/3/10 6:19 PM

chief Executive officer of Khalifa fund for Enterprise development, at the Second abu dhabi innovation forum.

32 tHE HuMan ElEMEnt: Samer ramez abu ltaif, general Manager, Microsoft gulf, takes time out to discuss why the human element still packs the punches with business.

Marketing 34 HoW to gEt Your cuStoMErS to

Sin: John lincoln, vice president – Enterprise Marketing, du, discusses how the seven deadly sins can be used to market products and services.

37 Branding WitH a diffErEncE: one critical aspect of your strategy must be to spend time creating and building your brand, says lawrence flude, Managing director, HKlM Middle East.

Trade 38 cultural SEnSitivitY: cultural

differences affect performance, explains dr. ashraf Mahate, Head of Export Market intelligence at dubai Exports, and vice chair of the Economic policy committee, dubai Economic department.

Sales 42 rEcruitMEnt: taking time and care

when recruiting sales people is one of the most important things you can do, says peter Heredia, Managing director of Max Sales Solutions.

Finance44 BaniSH dEBt: greg pogonowski,

independent financial advisor, explains how to spring clean your finances.

Legal 46 SME draft lEgiSalation: a proposed

federal law dealing with SMEs shall soon be presented to the uaE cabinet for approval. Yusuf Zaman of al tamimi & company discusses the current measures in place for SMEs and the impact of future incentives.

Management48 Surviving officE politicS: an

increasing numbers of employees rank workplace politics as a major thorn

Editorial board6 tHinK tanK: the SME advisor Editorial

Board is an honorary panel of experts, who play a major role in shaping the regional economy. this month they recommend the best way to chase payments.

Shoptalk10 trEndS and updatES: a quick look at

news and events that will impact SMEs in this region.

18 SHElf lifE: new toys and products for

you and your business. like you need an excuse!

Case study 20 funKY in toWn: We meet the two

young Emirati cousins behind Funtakino, a really cool sandals brand.

24 flYing HigH: adel Mardini, chief Executive officer, JetEx, explains how his company found triumph in adversity.

Business guru26 WordS froM tHE WiSE: We talk to Krishna

Murthy, cEo, al rostamani Exchange, about his desire to keep learning and why the business community must learn from previous poor management policies.

Abu Dhabi Innovation Forum 2011

28 StratEgiES for futurE groWtH: We bring you coverage from the innovation forum in abu dhabi.

30 KHalifa fund: Excerpts from the address by dr. ahmed Khalil al-Mutawa,

ConTEnTS

20

ISSUE: 63 FEBRUARY 2011

in their side. the first step to beating it is accepting it, says Hanan nagi, coach, speaker, founder and cEo of Hni training & coaching.

Technology for business50 cuStoMEr nEEdS: What constitutes a

successful contract, especially for SMEs seeking technology infrastructure and services, asks debbie nicol, principal consultant and owner of business en motion.

52 WiKilEaKS and tHE cloud: the recent Wikileaks controversy has hit the image of cloud computing with a disservice, says dr. Joseph reger, chief technology officer, fujitsu technology Solutions.

Xerox54 proJEct grEEn: to build a friendly global

economy the right projects must be selected and supported, says dan Smith, general Manager for integrated Marketing, Xerox, MEa (dMo).

55 COMPETITION: THIS MONTH XEROX REVEALS THE WINNERS FROM THEIR COMPETITION TO FIND INSPIRATION THROUGH COLOUR!

Industry watch56 prioritiES: getting organised is the

number one goal for people in the arab world this year, according to a new survey from Yahoo! Maktoob research.

58 officE Building: a survey from cB richard Ellis (cBrE), a commercial real estate services firm, shows that the tide of construction growth has switched from the West to asia.

Business growth 60 MarKEt coHErEncE: developing a strategy

game-plan usually starts at the wrong place – the market – according to Booz & company research, which discusses the lessons that can be learnt from key international players.

Sign off62 corporatE dining EtiQuEttE:

guillaume Mariole from ignite fitness & wellness takes us through the minefield that is business dining.

So said the businesses of yore. I make, you take. I sell,

you buy. I speak, you listen. I set the rules, you follow. What they didn’t add was, “And then I go bust.”

To be fair, that model did work in its heyday. Hey, it even worked till some time ago for real estate brokers in the UAE! But in this day and age of choices, social media, and a super involved and aware target audience, the playing field is fast being levelled, if not tilted in the customers’ favour. Here’s how it works...

However smug one might be tempted to feel, it can never be a seller’s market for eternity. The minute others see the gold mine and the chance to dictate lucrative terms, they jump in, destroy

EDIToRIAL

Ketaki Banga, Senior [email protected]

Me Tarzan, you Jane

PublisherDominic De Sousa

COONadeem Hood

Commercial DirectorRichard Judd

[email protected] +971 4 440 9126

CMOKimon Alexandrou


EDITORIAL

Dave [email protected] +971 4 440 9106

Senior EditorKetaki Banga


Sub EditorMike Byrne


ADVERTISING

Group Sales ManagerSandip Virk


CIO PROGRAMMES

CIO Programmes and Events LeadKavitha Rajasekhar


Strategic Marketing Services LeadSreejith Nambiar


CIRCULATION

Database and Circulation ManagerRajeesh M


PRODUCTION AND DESIGN

Production ManagerJames P Tharian


DesignerFroilan A. Cosgafa IV


DIGITALwww.cpilive.net

www.smeadvisor.comwww.cpidubai.com

WebmasterTristan Troy Maagma


Web DesignerJerus King Bation


Web DeveloperElizabeth Reyes

[email protected]

Published by

1013 Centre Road, New Castle County,Wilmington, Delaware, USA

Head OfficePO Box 13700

Dubai, UAE

Tel: +971 4 440 9100Fax: +971 4 447 2409

Printed byPrintwell Printing Press LLC

© Copyright 2011 CPIAll rights reserved

While the publishers have made every effort to ensure the accuracy of all information in this

magazine, they will not be held responsible for any errors therein.

the monopoly and provide customers the one weapon they have against dictatorial market manipulators – choice.

And these last few years have brought easier access to another powerful weapon – voice. Social media is a much used and abused term that everyone worth their MBA claims to champion these days. Yeah, it’s cool and all that, but it’s not really about the technology or medium. It’s about being social.

The tool is not the answer to your problem; it’s about having the right mindset and being open to dialogue, even when you sometimes get to hear stuff you could earlier ignore. But the fact of the matter is – you can’t afford to ignore the voices out there.

Dialogue is the key to success, humility and

a reality check are vital to survival, and it can no longer be about me, me, me.

Do you know who you are selling to? What do your customers really want? What do they think about you and your competitors? Are you trying to create needs for your products and services or are you addressing a real need in the market? Are you going about it in the best way possible?

Do your customers like you? Do they know you? Do you know them or are you relying purely on the safety net of spreadsheets to base your assumptions on?

Like in Disney’s Tarzan, Kala smugly told her son, “I’m your mother. I know everything. Now, where have you been?” and Tarzan cheekily replied, “I thought you knew everything.”

Well, we don’t! And that’s why we’re out there seeking your inputs. Connect with us.

Twitter: www.twitter.com/smeadvisorme, @SMEadvisorMEFacebook: www.facebook.com/SMEAdvisorLinkedIn group: SME Advisor

We’re all ears. Speak soon.

SME banking the smart waywith ADCB and du

Open an ADCB BusinessEdge Current Account and sign up for the latest Business Super Plan from du and get a new iPhone 4 for just AED 199.

ADCB BusinessEdge Current Account Terms and Conditions and du Terms and Conditions apply. ADCB is responsible for ADCB BusinessEdge Current Account offering only, and bears no responsibility for du's Business Super Plan and Apple iPhone. Offer valid till 31st March 2011, while stocks last.TM and © 2011 Apple Inc. All rights reserved.

For more information, sms ‘CURRENT’ to 2626 or visit www.adcb.com/current

C

M

Y

CM

MY

CY

CMY

K

11944_Du_iPhone_SME_Advisor_FP_270x207mm.ai 1/17/11 2:22:48 PM

ThInk TAnk

Ashish Panjabi COO, Jacky’s Group of Companies

Deepak J. BabaniCEO, Eros Group

Dr. Habib Al Mulla Founder and Executive Chairman of Habib Al Mulla & Co; member of the Board of Trustees, Dubai School of Government

Mishal Hamed KanooDeputy Chairman, The Kanoo Group

Rajesh Chandy Academic Director, London Business School’s

Institute for Innovation and Entrepreneurship; Professor of Marketing; and Tony and Maureen

Wheeler Chair in Entrepreneurship

Ronald Howes Regional Managing Director GCC, Memac Ogilvy

Dr. Ashraf Ali Mahate Head of Export Market Intelligence, Dubai

Export Development Corporation

John Lincoln Vice President - Enterprise

Marketing, du

Dr. Zeinab Karake-ShalhoubFormer Director of Research, DIFC

Advet BhambhaniCEO, Jebel Ali Hospital and Lifeline Healthcare

PAnELLISTS <<<

the SME advisor Editorial Board is an honorary advisory panel of experts, comprising organisations and individuals who want to help regional business. the idea is to evolve the magazine through such sharing of ideas with key regional influencers.

SME ADVISOREDITORIAL BOARD

>>

>>

>>

>>

>>

>>

>>

Dmitry Dmitriev Vice-President Corporate Relations and

Communications, AIESEC International Association

>>

>>

>>

>>

>>

>>

For detailed profiles, visit: www.smeadvisor.com

Amanda LineRegional Director, The Institute of Chartered Accountans in England and Wales Middle East (ICAEW)

Arnauld PaluChief Operating Officer, Majid Al Futtaim (MAF) Leisure

6 SME ADVISOR MIDDLE EAST fEBruarY 2011

Chasing payments is a key concern for our readers. How can the process be better streamlined?

To chase payments, the company needs to streamline the process of reminders that it sends to its debtors. The process starts with sending a Statement of Account, highlight the amount that is overdue, which will fall due in the next two weeks, in one month and so on, depending on the credit period which it allows.

This is to be followed with a gentle reminder on the overdue payment – if the payment still does not go through then the intensity of the seriousness of the default must then be escalated. If the payment becomes overdue by more than 60 days and the client is still unable to commit a date by which they can clear the payment, then notice of legal action can be initiated. General experience says that 95% customers tend to pay once a legal notice is served.

- deepak J. Babani, cEo, Eros group

Communication has always been the key to a good buyer-seller relationship but this often gets neglected when paying and collecting money. In an environment that has been especially challenging over the past 24 months, it has never been so important to maintain a regular dialogue between a buyer and seller, where things are discussed rationally. This ensures you’re on top of the list when payments can and will be made.

- ashish panjabi, coo, Jacky’s group of companies

This is an issue and an unfortunate reality in this region across sectors. Failure of one client/payer to make a timely payment can lead to a domino effect by causing a company to delay payments to its suppliers, which in turn can disrupt cash flows across the partner network of any particular company.

Furthermore, allocation of expensive company resources to chase payments substantially affects the bottom line. Binding contractual agreements with payments linked to key deliverables or milestones can improve efficiency. Agreements should stipulate interest charges for delayed payments. In addition, strictly enforcing payment terms through discontinuation of services might lead to a short-term loss but goes a long way in ensuring long-term compliance.

- advet Bhambhani, cEo, Jebel ali Hospital and lifeline Healthcare

Chasing payment is a key concern to every industry sector at the moment and it is not a new problem. In commercial transactions, suppliers of goods and services always face the question of when they will get paid. Do you demand payment up front and refuse credit or attempt to widen your market by offering credit terms?

There are, of course, legal options available to creditors but one always has to be pragmatic about such issues. Legally enforcing debt collection normally leads to a damaged relationship with that customer, however where a creditor has exhausted all other avenues, they are left with no option other than to pursue recovery of payment through legal means. Generally speaking, creditors should issue their demands directly with the debtor and where this is unsuccessful, follow up threatening legal action. Thereafter, a legal notice for payment should be issued with the last resort being litigation. It is difficult to streamline the process as to do so will often leave the creditor with a disgruntled customer.

The only solution is to agree to strict payment terms from the very outset, utilising the tools

The quesTion of The monTh

of the UAE legal system, which include advance payments, bank guarantees and post-dated cheques. The terms should also include a mechanism for dispute resolution. For example, if any invoices are not paid within an agreed term within the contract, representatives (with decision making powers) of both parties should meet to resolve the matter.

- dr Habib al Mulla, founder & Executive chairman of Habib al Mulla & co; member of the Board of trustees, dubai School of government

The best way to avoid having to chase payment is proper preparation. Ensure terms are clearly understood and agreed at the outset to avoid confusion and disagreements later on. Making sure you know exactly whom to invoice – and who authorises payment – is also important, likewise ensuring invoices are clear and contain all necessary detail.

Contacting debtors with a friendly reminder before payment is due is preferable to having to chase afterwards, so ensure your records of when payments fall due is kept up to date and set reminders to contact your debtors before the deadline. Record all communications – what was said, when and by whom – so you ensure nobody falls through the cracks even if somebody is out of the office. It might even be worth offering discounts for early payment as a way of avoiding chasing.

If you have to chase, be firm but friendly. Pick the phone up and follow up in writing.

- amanda line, regional director, the institute of chartered accountants in England and Wales Middle East (icaEW)

With the impact of the economic crisis still unfolding, businesses face the bitter reality. The question remains – should they elect to maintain their market share and accept the credit risk associated with it or downsize their operations, exercise extra vigilance in the selection of projects /commercial engagements and face the eventuality of going out of business? Either option appears to be difficult to pursue.

The key element that differentiates businesses and secures their continuity is their ability to collect trade receivables. Chasing payments has become a common concern for all companies, many of which have introduced a number of new techniques to reduce their DSO (days of sales outstanding). Since cash has become a rare commodity, companies have opted to hold onto their liquid assets for as long they possibly can; hence, delaying the release of monies owed to their suppliers and slowing down the economic cycle.

A common technique to reduce the burden of having to chase payments and face the risk of delayed collections is good planning. Planning means proactive engagement with customers, proper due diligence is in place and finally a healthy margin to offset potential delays.

- arnauld palu, coo, Majid al futtaim (Maf) leisure

fEBruarY 2011 SME ADVISOR MIDDLE EAST 7

SME Advisor MB DPS-DXB 270x414mm E.indd 1-2 11/3/10 6:07 PM

SME Advisor MB DPS-DXB 270x414mm E.indd 1-2 11/3/10 6:07 PM

TREnDS & UPDATES <<<

ShoPTALk

lipton has launched an initiative fostering dialogue between women. it aims to

create an interactive platform that brings together women representing different generations and creative groups in the Saudi society, who managed to overcome all sorts of social, economical and educational barriers, and presented significant achievements related to specific social and personal causes. the initiative will kick off from Jeddah, and reach out to several Saudi cities. the first monthly panel of the “inspirational dialogues” initiative, launched by unilever lipton as a

This includes discussing several important issues, like the percentage of women’s employment in private and public sectors, and their executive achievements and roles in decision making

new initiative aims to inspire Saudi women“Inspiration to set an example”, “achievement by understanding reality” and “ambition and understanding the future” among main topics covered

factors include the increasing rate of internet and modern communication technologies usage among women, and the growing role of media in discussing feminist issues, which played a vital role in raising awareness among women and encouraging them to explore their true potentials and take their own decisions.

on the other hand, the “ahievement by understanding reality” session focuses upon the participants’ experience regarding the growth of women’s capabilities, based on the changing social norms, the availability of educational programs, and the increasing margin of freedom that gave women new tools to excel and be more creative.

the third topic, “ambition and understanding the future”, is to be the main focus of the initiative. it discusses the future of Saudi women and their ambitions.

tawfeeq al akhras , Marketing director of food & beverages unilever KSa, said “We are very proud to launch this initiative, because it creates a stepping stone for young Saudi women to start exploring new paths for themselves that fulfil their personal ambitions and enhance their role in building a better future”.

the “creative dialogues” panel will be a brainstorming session to help women recognise their own potentials, through understanding relevant success stories, and benefiting from local development programs in this regard. this includes discussing several important issues, like the percentage of women’s employment in private and public sectors, and their executive achievements and roles in decision making. “creative dialogues” will also discuss the way society looks at working women, and the level of encouragement they receive from their families and surroundings.

part of its cSr programs in KSa, will be held with a host of leading Saudi women, to talk about their experiences on personal, professional and social levels. the panel includes an open discussion session entitled “your success is our inspiration”.

the “inspirational dialogues” initiative, launched for the first time in Saudi arabia by unilever lipton, offers an ideal platform for Saudi women of all ages to engage in constructive dialogues on three main topics, the first being “inspiration to set an example”, where the major participants discuss their achievements on personal and social levels, highlighting the

challenges they faced and the traditional stereotyping they had to change in order to raise awareness within their society about women’s capabilities and their right to prove themselves as active members in the society. the session will also discuss the development of Saudi women in recent years, especially with their increased access to better education and the series of educational initiatives launches by the Saudi government, to achieve social sustainability and strengthen women’s roles in developing all aspects of Saudi life. Some other

Lipton team in a preliminary work shop for Inspirational Dialogues


ShoPTALk

been very proactive in adopting this prepaid scheme and have all requested that these cards be made available for customers. loyalty schemes through prepaid cards is certainly one way of attracting not only new business but maintaining regular business for the owners of SMEs,” he said.

“up to 60% of payments globally will be driven by prepaid by 2015. the possibilities where prepaid can be introduced are vast and at the moment there are even incentives being developed whereby the prepaid card system can be used on your mobile phone to purchase something like coffee,” said Soliman.

gups Jatla, E-commerce and prepaid Manager, visa, Middle East, told SME advisor that the introduction of prepaid would cut down time and reduce the paperwork in the system. “Banks can issue these cards and then all future salary payments, expense costs for business travel and even allowance or pocket money for your child can be transferred electronically and updated immediately to one of these cards. for today’s society, especially where the youth are concerned, it’s all about speed and convenience and prepaid addresses both these needs.

“SMEs can keep bank costs low when it comes to bankroll when transferring their employees’ wages onto a prepaid card. So instead of cheques or waiting on bank transfers, employees can have their funds made available immediately and with the standard visa access. these prepaid cards will look and feel just like a visa electron credit card,” he said.

the prepaid Summit Middle East 2011 on March 22 and 23 will focus on emerging opportunities in the region such as prepaid cards by Sharia and the perspective of the broader asia pacific, including the indian subcontinent.

prepaid is the fastest growing payment mechanism worldwide, with the

uaE alone expected to exceed uS$18 billion from prepaid cards over the next five years, according to James ratcliff, Editor of cards international and spokesperson for prepaid Summit Middle East 2011, organised by vrl financial news in dubai, uaE.

He said that a similar prepaid growth rate is also predicted in Saudi arabia.

“the region’s prepaid opportunities will be fuelled by various factors including the high standard of living, the skilled expatriate population and the vast number of unbanked migrant workers,” he said.

the latest figures place the uaE’s per capita income at $43,000 per person (2008), with expatriates making up 85% of the skilled workforce in the Emirates and 40% in the Kingdom of Saudi arabia. Meanwhile, migrant workers comprise 39% of the uaE’s labour force, and 29% in KSa. ratcliff said that these factors are behind the region’s prepaid spending growth.

according to a recent report from the key sponsor of the summit, visa, growth in prepaid and debit transactions continues accounting for more than half of visa’s business.

“over the next five years, transactions by prepaid mechanisms will account for almost 60% of purchases globally,” said ratcliff. “With credit card expenditure down between 7% -10% this year banks need to look for new products

huge growth for prepaid cards


Over the next five years, transactions by prepaid mechanisms will account for almost 60% of purchases globally

for existing customers, as well as for new customers. prepaid can deliver both. it can allow a range of applications both for businesses and consumers – either as part of a broad card strategy, or as a stand-alone product.”

Speaking to SME advisor, Samer Soliman, vice president, network international, said that the SME sector has responded very well to the introduction of prepaid cards. “What we are seeing is the growing need to maintain customer loyalty and satisfaction of consumers. the retail arm of the SME sector has

SMEs can keep bank costs low when it comes to bankroll when transferring their employees’ wages onto a prepaid card. So instead of cheques or waiting on bank transfers, employees can have their funds made available immediately and with the standard Visa access


Courier: Discounts on courier services.

Dining: Special discounts atrestaurants perfect for doing business.

Consumables: Easy management of consumable payments.

Automotive: Rent-a-car services for yourself and your clients.

Travel: Hotel discounts and other travel deals for when you travel or host out-of-town guests.

Office & Technology: Discounts on shipping, stationery, company cell phones, and business electronics.

Effectively manage your day-to-day business expenses with the Visa Business Card.

Offer available to all Visa Business cardholders. For more information, contact your bank or visit www.visamiddleeast.com

Exclusive savings for Visa Business Card Holders:

ShoPTALk


consumer confidence appears to still be rising in the uaE, following last quarter’s

increase, according to the latest consumer confidence index (cci). the consumer confidence index, a quarterly survey conducted by the Middle East’s number one job site Bayt.com in conjunction with research specialists Yougov Siraj, found the uaE increased by 2.2 points since last September.

Meanwhile, Bahrain and Qatar saw impressive increases of 10.4 and 9.4 points respectively. However, lebanon recorded the largest decrease, moving down the index by an incredible 23.1 points. lebanon has had a particularly unstable year with extreme lows and highs recorded each quarter. in north africa, consumer confidence in Morocco and Egypt rose by 2.1 and 0.4 points respectively.

the consumer confidence index (cci) is a measure of consumer expectations and satisfaction of various elements of the economy including inflation, job opportunities and the cost of living.

as part of the cci, respondents are asked questions about their personal financial circumstances and how they compare to the same period last year. overall, 34% of the region’s respondents say their financial position is the same as last year and just over a quarter, 28%, say it has become better. in the uaE, 25% say they are better off than last year, 35% say they are in the same position as last year and 34% say they are in a worse position than last year.

among the countries surveyed, 31% of respondents in Qatar and

another contributor to the cci is the Employee confidence index (Eci), which measures the attitudes of respondents to the local job market, in terms of their satisfaction towards the availability of jobs and their satisfaction with their salary.

the uaE saw a rise of 3.4 index points versus the previous quarter on this measure. Showing the biggest decrease is once again lebanon, which moved down the index by 13.3points. the most impressive rise was recorded once again by Bahrain which moved up 9.3 points.

in terms of salaries and whether they have kept pace with the cost of living, as in the previous wave, the majority feel that they have not kept pace with the cost of living, with 63% agreeing that there is a disparity, while just 19% agree they have increased in line with the cost of living, and 5% say they have increased more than the cost of living.

“our quarterly consumer confidence survey provides a strong indication, each quarter, as to how people living in countries across the region view their current economic situation, and how they believe it will change in the future. By conducting this survey, we are really aiming to achieve an honest and representative overview of current sentiments and feelings about various elements of the economy, so these can be used proactively and for positive effect by organisations and Hr stakeholders around the Middle East,” concluded Zureikat.

data for the december 2010 consumer confidence index Survey was collected online between 15 november and 16 december 2010 with 10,468 respondents from the uaE, KSa, Qatar, oman, Kuwait, Bahrain, Syria, Jordan, lebanon, Egypt, Morocco, tunisia, algeria and pakistan. Males and females aged over 18 years old, of all nationalities, were included in the survey.

KSa say they are doing better than last year, followed by 30% in oman, 28% in Kuwait and 21% in Bahrain. However in Jordan, only 17% felt their financial position is better than last year.

“the region seems to be stabilising as we are seeing that countries seem to have the same figures each quarter with the exception of lebanon which has suffered political instability explaining the country’s highs and lows in terms of consumer confidence. this could mean that the worst of the crisis is indeed over for most of the Middle East,” commented amer Zureikat, vp Sales, Bayt.com.

in addition to financial position, consumer confidence is assessed by asking the respondents about their level of optimism towards the future, which forms the consumer Expectations index (cEi). the countries varied widely in terms of their consumer expectations.

the largest decrease was once again seen in lebanon, with a

drop of 24.7 index points since the last quarter. the uaE recorded an increase of 4.4 points since the last quarter with Bahrain reporting the biggest increase, moving up the index by 10.9 points.

on the whole, respondents are expecting to be in a better financial position next year. overall, 49% of respondents believe that their personal financial position will be better next year. By contrast, just 8% of the region’s respondents believe that their financial position will become worse. in the uaE, 50% of respondents believe that their personal finances will be better a year from now, compared to just 9% that believe they will become worse. Most optimistic that their personal financial position will be better in a year’s time are respondents in oman with 58% confirming this statement.

respondents also remain largely optimistic that their country’s economy will be better in a year’s time. respondents in oman are the most positive about the expected improvements in their country’s economy, with 59% stating things will be better. respondents in Egypt are most pessimistic about their country’s economy a year from now; 37% say that it will become worse. in the uaE, 47% of respondents believe that their country’s economy will be better in a year’s time, compared to just 14% that believe it will be worse.

“gauging consumer opinion is a powerful tool for revealing the current attitudes and sentiments about the business and economic conditions in a specific country and to see how these change overtime,” commented Sundip chahal, chief operating officer of Yougov Siraj.

Consumer sentiment helps gaugebusiness prospects in region

Respondents in Oman are the most positive about the expected improvements in their country’s economy, with 59% stating things will be better. Respondents in Egypt are most pessimistic about their country’s economy a year from now; 37% say that it will become worse


ShoPTALk


Takaful insurance is tipped to be one of the strongest growth areas in insurance across the region next year as both Muslims and non-Muslims look for more ethical personal finance products

nexus, one of the leading independent insurance brokers in the region, is

predicting double-digit growth in the coming year, on the back of rising sales of both general insurance and life and saving products throughout 2010 in the wake of the previous year’s

american business students would learn a great deal from dp World’s business

model. that’s the conclusion from a group of academics and scholars from some of america’s leading universities who visited dp World Head office on January 5 and toured the massive Jebel ali port facility.

the delegation plans to send students from their institutions to learn from the global port operator. they were received and accompanied by feras dahlan, government and Business relations Manager, dp World. the visitors presented a certificate in appreciation of dp World’s support for the 2011 Middle East north africa faculty development in international Business program, a two-week study tour as part of faculty development programs offered by the centres for international Business Education and research (ciBEr).the visiting delegation included representatives from the uS department of Education, Brigham Young university, temple university, university of colorado and university of South carolina.

Insurance industrykick-starts catch up

US universities to send students to study DP World business model

economic crisis.in 2010 nexus saw demand for

general insurance products rise by 45% while life and savings part of the business grew by 36% – a trend the company expects to continue in 2011.

“nexus has seen both its general and life insurance business grow substantially in the past year and we

expect this to continue in 2011,” said Mahmoud nodjoumi, owner and cEo of the nexus group.

“predicting another year of double-digit growth may sound ambitious but you have to remember that much of the region has low insurance penetration at present, and so we are still playing catch-up with the uS and Europe,” he added.

takaful insurance is tipped to be one of the strongest growth areas in insurance across the region next year as both Muslims and non-Muslims look for more ethical personal finance products.

The visiting delegates at DP World


Reseller ME BB Torch Ent 270x207-E.indd 1 11/8/10 5:12 PM

shelflifenew toys for you and your business.

like you need an excuse!built-in crM; compatibility with the latest operating and security software; security measures; remote connectivity; several third party add-ons; user-friendly design and provisions for organisational growth for small businesses. peachtree has set of modules such as general ledger (gl), accounts receivable (ar), accounts payable (ap), inventory Management and fixed asset Management essential to managing corporate finances and providing an edge over competitors. it also offers construction, manufacturing, distribution and auditing verticals that provide industry-specific features.

SIX STEP PRoTECTIon

PoRTABLE PoWER

PEAChTREE EMPoWERMEnT

Blue coat Systems, a provider of Web security and Wan optimisation solutions, have introduced the Blue

coat proxyone appliance. the proxyone appliance brings the same Web security used by 88% of the fortune global 500 to organisations that require a low-touch solution at an affordable price point. in 2010, 70% of small and medium-sized businesses were using social media tools. according to panda Security, 30% of those businesses reported malware infections spread via social networks. traditional network security solutions adopted by these businesses, such as firewalls and desktop anti-virus software, cannot keep pace with these increasingly sophisticated Web-based threats. instead, comprehensive protection requires a Web security defence to complement these traditional defences.

the Blue coat proxyone appliance integrates Web filtering, inline malware and anti-virus scanning and on-box reporting to enable safer use of Web 2.0 applications. to provide protection from the latest threats without requiring Web security expertise, proxyone appliances can be deployed and configured in six steps by an it generalist. they also include pre-configured policies and deliver automatic software upgrades and immediate security updates.

Blue coat proxyone appliances are now available. pricing for the first year starts at $8,999 (aEd 32,846) for 100 users.

Sanyo gulf, a subsidiary of Sanyo Electric company limited, a provider in rechargeable battery technology, has announced the release of the eneloop mobile booster (KBc-l2BS) – a lithium-ion battery with uSB power ports capable of supplying power to the latest gadgets, the ipad, a tablet pc and the iphone by apple as well as the Xperia, a smart phone by Sony Ericsson in addition to other mobile phones.

through its built-in uSB terminals, the KBS-l2BS is capable of supplying power to mobile phones, smart phones such as the iphone, portable audio players, portable game consoles, and various other mobile devices. common mobile phone chargers using dry-cell batteries may not be capable of effectively supplying power to some devices requiring large charging current. the KBS-l2BS controls charging current to a device and offers output current of 1a which is twice as high compared to the former model (KBc-l2aS), offering stable power to devices requiring large charging current, such as the ipad and Xperia. in

addition, an associated micro uSB attachment makes this product compatible with devices that take in power through a micro uSB terminal, such as the Xperia.

the KBS-l2BS, equipped with two uSB output terminals, is capable of simultaneously supplying power to two mobile devices when power output is 500ma. When using one uSB output terminal only with output power being 500ma, power can be supplied for up to about 4 hours (about 2 hours when output power is 1a). When using two uSB output terminals simultaneously, about 2 hours of power supply is possible from each terminal. the KBS-l2BS may be recharged through the associated ac adapter or a uSB terminal of a pc using an included uSB cable.

Sage Software, the global supplier of Enterprise resource planning (Erp) and customer relationship Management (crM) solutions to medium and large organisations, has announced a huge 50% discount on upgrades to its peachtree accounting software to allow more uaE-based businesses to benefit from the advanced financial management capabilities of the application.

the promotion is aimed at delivering the latest technologies, as outdated software can lead to various problems including limited access to technical support; data migration issues; incompatibility with critical applications and reduced user-friendliness especially for new employees. periodic changes in operating systems and configurations, security software, and hardware require equal updates to existing business management solutions. as such, Sage will offer customers and business partners the opportunity to undertake this for its peachtree product at the discounted rate for a limited time.

peachtree and other offerings from Sage combine to form business management solutions for the region’s enterprises. Sage peachtree in particular supports strong integration with Microsoft applications;

Mushahid Saify, Channel Manager - Small Business Division, Sage Software


HP Pro 3130 Performance meets expandabilityHigh performance and future expansion flexibility• Ample storage with hard drives up to 1 TB• Easily transfer files with a 22-in-1 Media Card Reader• Take transfer speeds with compatible devices to a new level• Dual monitor support• A PC equipped to make an impact• Enhance your disc storage potential with a Blu-ray Writer Drive

Windows®. Life without Walls™. HP recommends Windows 7.

with HP Probook

HP Probook 5320m & HP Pro 3130 Minitower PC

HP Probook 5320m Style Meets SubstanceUltra thin design with 23.5 mm thickness• 33.8 cm (13.3”) diagonal HD display• Pre-installed with genuine Windows 7 Professional• Intel® processor Core™ i3 and i5 processor• Quicklook and QuickWeb• Fingerprint reader (optional)• HP ProtectTools Security Manager• Base warranty 1 year• Sensor allows multiple methods of authentication• Work everywhere, always connected• Integrated WLAN allows convenient access to the internet and email in more places than ever

*Prices exclude VAT and Tax.©2010 Hewlett-Packard Development Company, L.P. All rights reserved. Microsoft and Windows are U.S. registered trademarks of Microsoft Corporation. Products subject to availability. This system may require upgraded and/or separately purchased hardware and/or a DVD drive to install the Windows 7 software and take full advantage of Windows 7 functionality. See http://www.microsoft.com/windows/windows-7/ for details.

Make it Big

For more information please contact the below resellers:• Lucky Star Computers L.L.C, U.A.E., Tel: 04 3514445 / 04 3554454, Fax: 04 3522245 • Ard Alghadeer Trading, U.A.E., Tel: 04 3937899, Fax: 04 3937998 • Apex Computers LLC, U.A.E., Tel: 04 3933233, Fax: 04 3931116 • Computer Care, U.A.E., Tel: 04 3595010, Fax: 04 3595020 • Gulf Computer Services, Bahrain, Tel: 00973 17293313 • Mars Information Technology, Bahrain, Tel: 00973 17296831 • Burgan Al Kuwait (Logics Technologies), Kuwait, Tel: 00965 22613499 • WB Technologies, Kuwait, Tel: 00965 (261) 5416 • Intertech, Oman, Tel: 00968 24783358 • Urich Computer Systems Co. LLC, Oman, Tel: 00968 24700365 • Al Dura Trading & Marketing Company, Qatar, Tel: 009744680684 • Al Rabban Computer Technology, Qatar, Tel: 009744373452 • Net Technology, Yemen, Tel: 00967 1 446000 • P C Sanaa, Yemen, Tel: 009671402716

At all of 20 years old, Saud and Nawaf are no ordinary young men, and the footwear they design and sell is definitely out of the ordinary. From heart-shaped sandals to those that look like a scorpion, watermelon, fish, butterfly, cat and more – the first reaction their designs evoke is “Woah! Can I buy them all please?”

The second is, “What’s with the name?”

They explain that they chose

Case study Business Pin-uP of The monTh

funKY in ToWn!

Meet cousins saud al ali and nawaf al ali. these two young Men are not even old

enough to be eligible for a bank loan, yet they’re the force behind a really cool sandals brand called funtakino. the

cousins are being supported by dubai sMe and they plan to take their funky sandals,

currently retailing at global village, to the world. ketaki banga talks to theM

about walking the walk in soMe crazy-funny flip flops.

Funtakino as a brand name as it’s a combination of certain words in English and Arabic. “‘Fun’ is from the fun in our designs and ‘funtak’ is slang for something unique and strange with a touch of fun fashion.”

The creative processThe cool cousins come up with the designs themselves. And what inspires their designs? “Sometimes it’s customer requests and sometimes it’s our own idea. We have more than 100 designs now,” they beam.

Do they have any formal training? “No, we just sketch the initial designs and then we work on them on Photoshop or Illustrator before we share the designs with the workshop. Sometimes the workers also give us inputs in terms of what may or may not work, so we’ve also been learning on the job as we go along. After that we get a working model made.

When you see how intricate and complicated some of the designs are, you find it hard to believe they are handmade. Saud and Nawaf agree: “People assume they are machine- made, but our suppliers work painstakingly on one layer at a time to make these by hand.”

The sandals are available in four sizes — extra small which sells for AED 50, small for AED 70, medium for AED 90, and large for AED 100. Some designs are a whopping extra large.

“We have these supersized slippers; people think it would be impossible to walk in them. But when they try them on they realise it’s very easy,” says Nawaf.

“When we work on the design, the shapes and curves are on the outside, not on the inside, so it doesn’t interfere with walking. We work with a rationale behind our designs; it’s not random,” explains Saud.

How did they start?The idea came to them one day at a mall when they saw these big shoes outside a shop. They wanted to purchase them but were told those were only for display. “From there we got the idea. We asked ourselves how to make shoes that were useful, comfortable, and also trendy and eye-catching,” says Saud.

“We made one sample design and decorated it with stickers at that stage and then we walked around in them to see everyone’s reaction. People were surprised. ‘What is this thing?’ So we thought, why not,” grins Nawaf.

Family and finance What was their family’s reaction to the idea? After all, “good Emirati boys” aren’t really expected to be selling flip flops, according to some people.

Some people said nobody can wear this. If it could have worked you would have seen millions of people try this before you


by Dubai SME (formerly known as the Mohammed Bin Rashid Establishment for Small and Medium Enterprise Development).

Under the patronage of H. H. Sheikh Hamdan Bin Mohammed Bin Rashid Al Maktoum, Crown Prince of Dubai and the Chairman of the Dubai Executive Council, Dubai SME launched YEC 2010 in its sixth Edition at the Dubai Mall. The four-day event brings together students from different private and public high schools, colleges and universities across the UAE. The competition aims to educate students on the basic principles of starting and operating a private business, and to inspire them to become entrepreneurs by creating a simple entrepreneurial environment.

“We approached the YEC when we had around 40 designs,” says Saud. “On the first day we didn’t have all the designs on display at the Dubai Mall. People said the sandals were very nice but when you have limited designs on show you can’t see the full range of reactions. But on the second day, when we had all the designs, a lot of people gathered around to see what we were selling and they were impressed. We sold maybe around 1,500 slippers in four days – and that was with minimal marketing.”

They started small with the YEC, but by the time they finished it was obvious that people liked what they saw. They got lots of feedback on how to improve their products and add to the designs. “Everybody around us at the YEC said they wanted us to launch our business. Even some famous people like His Highness Sheikh Hamdan told us it’s a nice idea and we should execute it,” says Saud with pride.

“We’d like to thank Dubai SME and the YEC. They sponsored us so we could launch Funtakino as a trade business, and we’ve had

They admit there was scepticism at first. Some of them were unsure about the idea because it was something new.

“We are 20 now, so we were just 17 when we started. That’s really young! In our family the most important thing in life is getting a good education. So they told us we needed to be older and we had to focus on our studies first,” says Saud, who is currently studying electronic engineering while Nawaf is studying business.

They had their share of outright discouragement too: “Some people said nobody can wear this. If it could have worked you would have seen millions of people try this before you. But we said no, we can do something new and different,” relates Nawaf.

How did they raise the initial capital?

“We are still under 21 and cannot get financing from banks. We started with zero dirhams and took AED 5,000 or so from our family, then we shopped around for a manufacturer. We had no experience doing this. Anyway, we found a potential supplier abroad. They also advised us on options for materials and a bit of technical feedback. It was like an adventure for us in a new land with no contacts and prior knowledge,” reveal the cousins.

Support from Dubai SMEThis was in 2008. In 2010 Nawaf and Saud took Funtakino to the Young Entrepreneur Competition (YEC) 2010, launched

Case study Business Pin-uP of The monTh

We got a great response from Emiratis. They know it’s for the beach, are comfortable with the concept, and are delighted to show their support for a local idea

(l to r) Nawaf Al Ali and Saud Al Ali with H. H. Sheikh Hamdan Bin Mohammed Bin Rashid Al Maktoum, Crown Prince of Dubai and the Chairman of the Dubai Executive Council


tremendous support and advice from them,” say the cousins.

Fielding the feedback“Every few months we improve the design and quality as we gain more experience and feedback. Earlier the slippers were thinner, this year we made them thicker. Now they have three layers; the top layer is soft to be more comfortable and the bottom layer is hard for support and durability,” explains Nawaf.

When the cousins conceptualised Funtakino, they didn’t think Emiratis would really buy their funky slippers; they assumed this would appeal more to expats and tourists. “But we got a great response from Emiratis. They know it’s for the beach, are comfortable with the concept, and are delighted to show their support for a local idea,” says Nawaf.

“Our designs are not just for the beach; people buy these to wear in the desert too. These slippers are big and you need an open space to be able to wear them,” explains Saud.

So what is their family’s reaction now? “They were happy for us, of course, when they saw people buying,” smiles Saud.

The cousins have also had their fair share of interesting customer reactions. “Some customers are really funny. We have our own private joke where we mark the funniest reaction as the ‘star of the day’,” grins Nawaf.

Adds Saud: “We see all kinds of people. One guy kept staring at the slippers displayed on the wall. After a while he looked up startled and exclaimed, ‘It’s a slipper!’ He thought they were wall hangings and he even went ahead and bought some as decoration.”

That’s quite a compliment if customers think their slippers are works of art!

With all the different, whacky designs they display, they must have a few favourites. So which ones do they like the most?

Turns out the guitar-shaped slippers and the scorpion are

their favourites. “The scorpion is massive!” reveals Nawaf. “It looks great on the beach.”

“You can’t always guess the slippers’ design by looking at just one foot. But this design is stand-alone and each slipper is shaped individually like a scorpion. It really gets people commenting and squealing on the beach!” explains Saud.

ChallengesConsidering Funtakino’s appeal, it’s surprising Saud and Nawaf haven’t been making more noise about it in the market. “Marketing is a challenge,” they admit. “At the moment we don’t have much time. We are at Global Village all day – we create the designs, we sell, we do everything for this business and we are also studying.”

Plagiarism is another problem. “We saw some school kids at Dubai Festival City who tried to copy our idea and they told everyone they were Funtakino. But their designs are not thought through. You can’t walk in them; they are not ergonomically designed at all. Ours have three layers, theirs have just one layer of a flimsy material that won’t even last, and they’ve just stuck some stickers on top!”

The cousins were approached by one lady who told them she bought from their store in Festival City. She paid for three pairs and was told they would be delivered later as they were out of stock, but she didn’t receive anything. “We told her it wasn’t us, but as someone had tried to pass off as us, we tried to make up for it by offering her our products for free,”

say the cousins. “We don’t want the money; we want the customer to be happy.”

Needless to say they have taken steps to protect their intellectual property now.

Parting shot“When we started, we didn’t have any money and people told us who will buy this stuff. All we had was the idea, passion, a dream, and the determination to do something of our own. If you’ve got ambition, don’t let anything stop you. Even if you start small, you can work your way up. Don’t get discouraged by what others say or their lack of belief. Believe in yourself,” advise the cousins.

Their long-term plan is to expand outside of the UAE in the next few years, but they’ll start with retailing at a better place. “Global village isn’t the most suitable location for us because we need a different, more mainstream customer base. But we have to start there to build our capital and showcase our idea before we move on to bigger locations,” admit the cousins.

They have been approached by investors since their idea took off, but they’ve turned down those offers: “We don’t want anyone else to have a stake in this as it’s our idea. Before we started, nobody wanted to partner with us or fund us. But after establishing our store, many have offered to fund us in exchange for a slice of the pie.”

And what’s up in the immediate future? “Look out for us at YEC 2011. We have some big surprises planned” they smile.

Case study

Before we started, nobody wanted to partner with us. But after establishing our store, many have offered to fund us in exchange for a slice of the pie

Business Pin-uP of The monTh


Want to grow your business? Al Tamimi can help.

Al Tamimi & Company knows what it means to be an SME because, like all businesses, we started out as one.

Established in 1989, we are the largest law firm in the Middle East region today. We employ more than 360 staff, with offices throughout the UAE in Dubai, Abu Dhabi and Sharjah as well as offices in Iraq, Jordan, Kuwait, The Kingdom of Saudi Arabia and Qatar.

With specialization in the areas of Banking & Finance, Construction & Engineering, Corporate Commercial, Dispute Resolution, Family Business & Private Client Practice, Information Technology, Intellectual Property, Maritime, Aviation & Insurance, Media, Property, and Telecommunications, we understand the challenges faced by SME’s today so if you need a lawyer who can give you the best legal and business advice to help your business grow, we can help.

For more information visit www.tamimi.com or contact our head office on +971 4 364 1641

www.tamimi.com

Abu Dhabi I Amman I Baghdad I Doha I Dubai I Kuwait I Riyadh I Sharjah

for ManY SMEs tHE currEnt EconoMic conditionS arE proving difficult in tErMS of SuStainaBilitY, WitH talKS of cut-BacKS in an Effort to rEducE coStS. HoWEvEr, tHErE arE

inStancES WHErE opportunitiES for EXpanSion arE BEing diScovErEd. adEl Mardini, cHiEf EXEcutivE officEr, JEtEX, EXplainS HoW HiS

coMpanY found triuMpH in advErSitY.

flYing high Small and medium enterprises (SMEs) are often called the engines of economic

growth. As part of an SME, there is something rewarding about being one of the drivers bringing the world out of the worst economic downturn since the late 1920s.

A typical reaction to this sullen economy is to cut expenses, downsize and save to endure the crisis. But then there are others who chose not to. These true entrepreneurs did not go into business simply to survive, but to grow and thrive. As an entrepreneur the most frequent question I am asked is what is the secret to your success?

My advice to smart and savvy decision makers is to seek triumph in adversity. Times of economic austerity are also times of opportunity for businesses looking to expand, provided they tread carefully with calculated steps and a long-term strategy.

When JetEx decided to expand outside of the GCC, we wanted to adopt a global business model and strategically position our brand to strengthen our role in the aviation service sector. It was important that we took bold decisions that would generate significant long-term returns. In October 2008, JetEx expanded into Western Europe and created its first luxury Fixed Based Operation (FBO) at Europe’s busiest private aviation airport, Le Bourget, in Paris.

This proved to be a turning point for JetEx. We entered Europe with modest expectations, but quickly found that the experience far outstripped our projection and we rapidly surpassed our fiscal goals in 2009. This was due to easy-to-follow rules and regulations, world class infrastructure, a skilful labour pool and a prime, well-trafficked, location.

Our successful expansion was made all the easier by the clear legal

procedures for businesses looking to expand within the country. French regulations are efficient and systematic meaning no surprises and a clean entry to a market, ensuring no capital wastage. Regardless of what your business or development strategy is, meticulous yet uncomplicated legal structures are in place to assist and encourage at every step. Thanks to this we were able to drive our project forward with a clear timeline.

Another crucial factor was the right human resources, not only to build our European presence, but also to be able to sustain growth. Our highly skilled services include providing air charter solutions, customising flight plans, facilitating urgent and stress-free flights and handling fragile cargo 24 hours a day. To be able to deliver clients’ requests meant that JetEx needed to invest in a workforce that understood the customers’ needs, perspectives, and expectations. In France we found a workforce that was both highly qualified and flexible in handling the demands of the industry.

To remain competitive, the quality and power of a digital infrastructure is crucial to the global aviation service industry and

France provided us with an effective and efficient communications network. This helped drive consumer responsiveness and improve employee productiveness ensuring increased satisfaction and loyalty for both customers and employees.

Set in the heart of Western Europe, France boasts an advantageous location on the global platform. It is also the world’s most visited country, attracting around 80 million visitors each year and Paris boasts one of the world’s busiest general aviation airports. We saw the European market as fertile grounds for diversifying globally and France was the ideal gateway to achieve our objectives. These factors have led us to consider opening another FBO in Nice Airport, in Southern France.

As a firm based in the GCC, starting a venture in France has been an educational experience for JetEx. In this period of austerity, France is wide open to investment. My advice to savvy decision makers is to take advantage of this recession and expand. Whilst competitors are looking to downsize and weather the financial storm, we see this as a time to embrace the entrepreneurial spirit.

My advice to smart and savvy decision makers is to seek triumph in adversity. Times of economic austerity are also times of opportunity for businesses looking to expand, provided they tread carefully with calculated steps and a long-term strategy

ABOUT:Adel Mardini is CEO of JetEx and one of the founding members of the Middle East Business Aviation Association. Based in Dubai, JetEx provides a comprehensive range of ground support services for commercial, business and private aircraft operators.

CASE STUDY

JeTex <<<


Masdar City, a highly innovative project in Abu Dhabi, aims to be one of the

world’s most sustainable urban developments. Masdar City uses KYOCERA’s

TASKalfa 500ci colour MFP to handle its document management. Offering

duplex colour copying, printing and scanning as standard, the TASKalfa 500ci

delivers high-quality, productive and reliable colour. And because it is based on

KYOCERA’s unique ECOSYS technology with long-life components, the TASKalfa

500ci enables Masdar City to optimize the power of colour while minimizing

waste. The TASKalfa 500ci – colour that doesn’t cost the earth.

EcologyEconomySystem solutions

Unique technology developed by KYOCERA

KYOCERA HELPS MASDAR CITYGO GREEN

SALES CONTACTS - MIDDLE EAST:ALL PRODUCTS:Bahrain: Bahrain Service and Maintenance Co. B.S.C. (c) • Tel. +973 17 727676 • Fax. +973 17 725404Kuwait: AL NAHAR • Tel. +965 2 482 3311 • Fax. +965 2 483 1941Oman: Mustafa Sultan Office Technology Co. LLC. • Tel. +968 246 36 818 • Fax. +968 246 36 801Saudi Arabia: Riyadh House Company • Tel. +966 14198000 • Fax. +966 14192042U.A.E. Gulf Commercial Group Dubai: Tel. +971-4-3439496 • Fax. +971-4-3436469

Abu Dhabi: Tel. +971-2-6456822 • Fax. +971-2-6456483

MFP DISTRIBUTORS:Qatar: Darwish & Company • Tel. +974 432 5761 / 431 3845 • Fax +974 431 3741U.A.E. Ahmed Kassem Darwish • Tel. +971 4 2690 588 • Fax. +971 4 2690 586

PRINTER DISTRIBUTORS:Oman: LOAY INTERNATIONAL LLC • Tel. +968 24794700 • Fax. +968 24708795U.A.E. Bin Salmeen Computer and Office Supplies Co. • Tel. +971 2 6422237 • Fax. +971 2 6422537

KYOCERA. COUNT ON US. KYOCERA MITA Middle East - www.kyoceramita.aeKYOCERA MITA Corporation – www.kyoceramita.com

KYOCERA MITA MIDDLE EAST:Office 157, Bldg. 17, Dubai Internet CityP.O. Box 500817 Dubai, United Arab EmiratesTel: +971 4 4330412Fax: +971 4 4231944www.kyoceramita.ae

TASKalfa500ci_product_ad_Masdar_City_207x270.indd 1 23-09-10 10:47

Krishna murThY <<<

Starting HiS profESSional carEEr aS an accountant in india, KriSHna MurtHY noW SitS aS tHE cHiEf EXEcutivE officEr of al roStaMani

EXcHangE. WitH ovEr 20 YEarS EXpEriEncE in invEStMEnt BanKing and tHE financE SEctor, HE BEliEvES in tHE iMportancE of tranSparEnt lEadErSHip. HE talKS to MiKE BYrnE aBout HiS

dESirE to KEEp lEarning and WHY tHE BuSinESS coMMunitY MuSt lEarn froM prEviouS poor

ManagEMEnt policiES.

Words from The Wise

Building the foundations“I started my education in India and graduated from the University of Delhi with economics, commerce and accountancy. Some years later I received my Certificate Public Accountant (CPA) from Colorado, USA and from here I returned to India and began work in the private sector with investment banking. I spent some time working in Bangalore and a few years in Chennai in the same sectors.

“A little over a decade ago I came to the Middle East and began my work here for the National Bank of Fujairah, heading their subsidiary capital markets. And then I moved to Al Rostamani Exchange, where I have been ever since.”

Education never stops“As one progresses in their career, I believe that one has to keep updating knowledge and skills

BUSInESS GURU

– it’s not just about getting the certificates. This is especially true for specialised areas like cost management or management accountancy or public accountancy.

“So I strongly believe that one has to have a continuous education going on. Although academic qualifications may not be 100% practical, theoretical knowledge does help you to reflect on whatever you are going through practically, especially during challenging times. So those management concepts do help you to dissect and analyse your problems!

“If you can apply even 20% of your learning in your practical life, you can make a difference to the organisation you are with and see results. That sincerity is required in bringing theoretical knowledge to the right area. And I am still open to acquiring further knowledge through any programmes available.

“Continuous learning and education inspires your entrepreneurial skills. I started off my career as an accountant and went on to become the internal auditor and then the management auditor and, from there, a financial controller. After this I stepped into investment management and operations management and, lastly, the role I am in today – the CEO of Al Rostamani Group.

“The entrepreneurial fire in the belly keeps one motivated and avoids complacency. There must be a future goal to aspire to; it’s a frame of mind one always has to carry to keep the spirit of entrepreneurship alive.”

Losing focus“Leaders have to engage people. If you take people along and look after them, they are all the more flexible and will go the extra mile for you. This flexibility drives productivity.

“During the last 12-15 years, I think people management has not been appreciated as much as it should have been. It has not been a major priority in many organisations. Business was booming and people thought they could get by without having to nurture talents.

“The success of any business can be attributed to the management’s engagement across the board – in different areas, at different levels. For example, at the grassroots level there are those who are working hard solely on commission. You cannot ignore these people – they are the backbone of any organisation’s success. You simply cannot afford to remain complacent and not concentrate on these people if you want that

Leaders have to engage people. If you take people along and look after them, they are all the more flexible and will go the extra mile for you. This flexibility drives productivity


BUSInESS GURU

strategic edge for the future. “It was a case where we

neglected the contribution and talent of these people, with the top earners concentrating more on bonuses and commissions – business was easy to procure and there was so much liquidity but the relevant upgrades in terms of standards and ethics was absent, as was the amount of aggression in taking care of talent.”

The way forward“There should be a short- and long-term strategy. For the long term, focus on investing in people, setting them some examples, sending them on excellence programmes, thus creating an asset for the organisation. In the short term, most of the focus should be on ROI. You cannot swim against the current alone. But at the same time marry it with aggressive selling strategies.

“Are your people being taken care of? Are they being kept motivated and committed to the business? It is understandable that salary rises may not always be feasible, however, there must still be recognition programmes and rewards for the staff who are meeting and exceeding goals for the business. The wisdom of building an organisation is taking the people along. It works both ways – employees can motivate a leader as well as the leader can inspire employees.

“Maslow’s theory of hierarchy is ingrained in my mind from my days at university. Human behavioural science is so important for building and maintaining an organisation. There is a pyramid system that exists within society but as a business leader you must be careful to firstly build and then maintain each level of this pyramid. And within this system a business cannot simply be evaluated in quantitative terms. There must, again, be a balance between the quantitative and qualitative aspects of evaluation.

“There is so much talk of the new generation of computerisation and technology integration to help business efficiency and innovation. But these things are not possible to integrate into corporate life unless the changes are carried out by an efficient chain management system. It’s not a top down approach – there has to be two-way communication. I firmly believe that the style of management should be one with no barriers, where there is transparency.

“With this said, a leader has to be able to appreciate the long-term policy, even where employees don’t. It’s human psychology that if people, if employees, are used to having things a certain way to a

certain standard, its difficult then to adjust to having less than what was previously expected. In the business sense, a leader must be able to carry out painful policies for the good of the company in the long term and to try and persuade workers that these tough measures are necessary for survival and eventual growth.

“I think for further business growth in the future, regulations will have to become tighter and more forward thinking, more fail-safe checks and balances. This recession is different from previous recessions in that people are really sitting up and paying attention this time. With such a connected global economy we must strive to make this recession the last of its kind.”

Human behavioural science is so important for building and maintaining an organisation. There is a pyramid system that exists within society but as a business leader you must be careful to firstly build and then maintain each level of this pyramid

Krishna Murthy, Chief Executive Officer, Al Rostamani Group


sTraTegies for fuTure groWTh

Keynote address Dr. Rashid Ahmad Muhammad Bin-Fahad, Minister of

Environment and Water, United Arab Emirates, talked of the need to have a strategic partnership with the international community in order to develop and nurture innovation.

“The government is keen to push with SMEs as they have been recognised as a gateway for a young international business community. The SME draft laws, which are in the process of being reviewed, clearly demonstrate the UAE’s commitment to implementing international criteria and standards for promoting innovation and knowledge through the SME sector,” he said.

Enabling innovation in the UAESpeaking about the potential innovative influence of the UAE within the region, His Excellency Mohammed Nasser Al Ghanim, Director General – Telecommunications Regulatory Authority (TRA), said that the UAE is considered the leading country in the area with current and future initiatives encouraging

ABU DhABI InnovATIon FoRUM 2011

tHE SEcond aBu dHaBi innovation foruM, WHicH Had SME adviSor ME aS tHE official

MEdia partnEr, BrougHt to tHE uaE capital a diStinguiSHEd linE-up of rEgional and

gloBal innovatorS to SHarE KnoWlEdgE and EXpErtiSE and, at tHE SaME tiME, EXaMinEd WaYS to furtHEr StrEngtHEn tHE countrY aS a rEgional cEntrE for innovation and

EntrEprEnEurSHip. MiKE BYrnE rEportS.

an environment for a unilaterally-framed knowledge network.

“Innovation is a special tool that has the ability to empower people to do what they want to do. All the sectors can communicate and work as one, letting people be creative and productive. The sharing of this knowledge and expertise can help people learn things they didn’t think they could learn before, and so in a sense it is all about potential,” he said.

Innovative ideas for a digital ecosystem Osman Sultan, Chief Executive Officer, du, noted that although the Middle East had missed the industrial revolution, the region now stood at the dome of a new age where there were golden opportunities to catch up and decrease the gap. With the Middle East having one of the highest percentages of a young population, this gap, he explained, could be lessened with educating the next generation.

“What leads to innovation? Necessity, exploration and serendipity. Sometimes it’s just a matter of chance. We must nurture a culture of experimentation and exploration, where an environment

for change will help drive innovation. The digital world today has led to a social and economic ecosystem that stimulates creativity and innovation. Inspired by this recent trend, we have come up with Anayou, a powerful digital platform specifically envisioned to meet the diverse digital needs of the Arab world in the 21st century in areas such as social networking,” said Osman Sultan.

Making the connection from innovation to economic development The link is clear – technological innovation protects economic development and central to this economic prosperity is innovation. That was the message from Dr. Ahmed Al Mutawa, Chief Executive Officer, Khalifa Fund for Enterprise Development.

“Khalifa Fund for Enterprise Development continually strives to develop and improve the SME sector for sustainable development in the UAE.

Dr. Al Mutawa stressed the need for risk taking and entrepreneurship to be injected into the education system, whereby incubators for the promotion of invention had to be established and maintained for the future. “60% of those unemployed in the UAE are first-time jobseekers. That’s an ideal environment to

“What leads to innovation? Necessity, exploration and serendipity. Sometimes it’s just a matter of chance. We must nurture a culture of experimentation and exploration, where an environment for change will help drive innovation. The digital world today has led to a social and economic ecosystem.”

- Osman Sultan, CEO, du

overvieW <<<

Osman Sultan, CEO, du


encourage entrepreneurship. Emirati participation through this innovation forum encourages local and regional businessmen to invest in innovation strategies which among others can help them thrive in the face of a tough economic climate,” he said.

Priceless strategies from an innovator: how to thrive in challenging times “Innovation is no longer optional – if you don’t innovate you will cease to exist,” said Alexander Blass, founder and inventor of person-to-person giving technology on the Internet. Introducing his axioms to attendees, he identified that no-one is born an innovator or entrepreneur – they are created through a range of elements including the need for a skilled team to carry through on a great innovative idea.

“All innovators need to put in what I call sweat equity but this itself won’t be enough – all of us have two toolboxes, personal and professional and it is essential for both to be in synch to maximise your innovation potential. Tell me one thing that you value in your life that came easy. All innovators know that regret is far worse than failure. If you don’t take the chance and do it then someone else will,” he said.

Delivering on innovation promisesMatt Kingdon, Chairman, Co-founder and Chief Enthusiast ?What If! The Innovation Company has specialised in sharing practical tools and advice aimed at driving innovation for global companies for over 18 years.

At the conference Matt emphasised the importance of a company’s employees when bringing about innovation. “The kinds of people you want to recruit to drive innovation aren’t afraid to admit mistakes, have small egos and big ambition,” he said.

One of the most important elements for Matt was to keep innovation alive and fluid – break downs, stalls and expirations of ideas were unproductive. “Momentum is what keeps innovation flowing – relentlessly refining, recycling and re-shaping ideas. Closing down one idea while simultaneously opening

up another is called navigating through innovation and moments of magic,” he said.

Facilitating innovation from a company-wide perspective Identifying the trends that are shaping the business landscape, Samer Abu Ltaif, General Manager, Microsoft Gulf, discussed the rising tide of social networking, interactions of businesses through online platforms and, in particular, the concept of cloud computing. “Computer storage will get smaller and smaller as the evolution of cloud computing begins to take hold. It is a cheaper means for storage and for SMEs this is proving a big help, especially now with the restraints on budgets,” he said.

With this, SMEs are perfectly positioned for innovation – it is their agility that best serves their innovative capabilities,” he said.

Media innovation: the shift towards open source news gathering Wilf Dinnick, CEO and Co-founder of OpenFile, was one of the attendees that perhaps demonstrated innovation in the most noticeable way. He tackled the struggling legacy newspaper model and through innovation created a totally new and feasible model for the news.

“Innovation is about taking risks – no major newspaper organisations were prepared to take the leap to user-suggested stories, but we did and with OpenFile this style brings up to three times more engagement time and builds loyalty online. Innovation is about finding genuine need, addressing it and creating a market – in our case we allow the community to play a role and actively shape the direction and content of a story,” he said.

Panel interaction This part of the conference provided an opportunity for the subject matter experts to be directly questioned on measuring innovation results from a regional context.

This session was dominated by discussion surrounding the need to educate the local populations, target future generations to nurture

innovation and drive this with the funding of local businesses. Dr. Abdalia Alnajjar, President of the Arab Science and Technology Foundation (ASTF), commented that: “SMEs can only help forward the future economy through promoting entrepreneurial spirit to the youth.”

There was much debate about protecting risk management and balancing the need to push ahead with new and innovative techniques to better business. “If you kick down some innovation too early for fear of risk then you might lose something potentially great,” said Jeremy Foster, Head of Government and Industry Relations, MENA, Ericsson.

On the issue of whether or not SMEs could afford to promote innovation at the expense of their risk management, Kamal Dimachkie, Managing Director of Leo Burnett Dubai, Kuwait and Lower Gulf, commented that: “SMEs must differentiate between pressure, panic and legitimate structured innovation.”

On behalf of the Khalifa Fund for Enterprise Development, Ibrahim Al Mansoori, the organisation’s Deputy CEO, reiterated their intent to help those businesses which showed true potential and determination. “The character of the entrepreneur is one of the most important factors we consider when evaluating a business proposal – the person must be full of drive and determination to make the idea materialise into a real business,” he said.

“60% of those unemployed in the UAE are first-time jobseekers. That’s an ideal environment to encourage entrepreneur-ship. Emirati participation through this innovation forum encourages local and regional businessmen to invest in innovation strategies.”

- Dr. Ahmed Al Mutawa, CEO of Khalifa Fund for Enterprise Development


Matt Kingdon, Chairman, Co-Founder & Chief Enthusiast,?What If! The Innovation Company


dr. aHMEd KHalil al-MutaWa iS tHE cHiEf EXEcutivE officEr of KHalifa fund for EntErpriSE dEvElopMEnt, tHE govErnMEnt

agEncY EStaBliSHEd in 2007 to foStEr EntrEprEnEurSHip and dEvElop tHriving and coMpEtitivE SMES in tHE uaE. WE carrY EXcErptS froM HiS addrESS at tHE SEcond aBu dHaBi

innovation foruM.

Khalifa fund <<<

ConneCTing innovaTion To eConomiC develoPmenT

Legend has it that Bill Gates once said if the automobile industry had been moving

at the same speed as the the IT industry, we’d be riding cars that cost next to nothing. Of course, that prompted General Motors to respond, in that case, every time we’d get in our cars we’d get a message “your system has encountered an internal error and will be shut down.” Now, whether one is right or the other, the link is clear; both talk about technological innovation and how it relates to productivity, which feeds into economic growth.

In fact Michael Porter said innovation is the central issue in economic prosperity, and I would like to begin first by explaining that everything for us begins with the vision of Abu Dhabi 2030 and the diversification of the economy and entrepreneurship is quite central to that vision. All that leads to the creation of the knowledge economy. Innovation is the central issue in a knowledge-based economy.


Questions that come to mindThere are three elements to innovation - How to enable, and this mostly related to the environment and infrastructure; how to empower, and this is mostly related to people; and how to invest, which is mostly related to connecting financial resources with all of that to produce innovation.

In terms of enablement we talk about commitment to research and development and we know that in the Arab world we have been talking about that for quite some time. We need to establish a regulatory framework and these regulations will govern how innovation will be protected and how an incubation system will create ideas and turn from invention to innovation and can be commercialised.

In terms of empowerment we talk about education. Are we encouraging people to take risks? Are we encouraging them to accept failure or are we just following the Japanese model of committing suicide once you fail? What about

critical thinking? Is it in our schools and curriculum? Do we encourage them, even at home, to think critically? Or is the father the master of the house and nobody else is allowed to question?

Is there enough content in the curriculum that can promote entrepreneurial thinking amongst students? In terms of financial resources, do we have the vehicles that can drive ideas from being

Dr. Ahmed Khalil Al-Mutawa, CEO, Khalifa Fund for Enterprise Development



ideas into the market? Do we have enough angel networks? Do we have enough VC funds? Do the governments have good institutions that are focussed on certain types of funding innovations? All these questions come to mind.

The question is how does the Khalifa Fund, an institution that is mainly focussed on two areas – entrepreneurship and SMEs – how do we come into play in the picture of innovation?

Let’s look at some facts. In 2005 Harvard University

published more research than 17 Arab countries put together and I am sure, if you compare the quality, you’ll find the difference would be staggering. Harvard would be much higher in terms of valuable information.

The UAE is ranked 42 among 134 countries in innovation. On whether we should take that with pride or care, I would like to mention that many people have found out that all these rankings change significantly with slight changes in data, so we should take it with a pinch of salt.

If we look at the number of articles published in scientific journals we’ll find that there is quite some growth in the UAE. However considering the UAE is the second largest economy in the Arab world after Saudi Arabia, I think the number needs to be increased and improved in terms of quality.

What about empowerment? We find that 60% of the unemployed nationals in the UAE are first-time job seekers. That creates a fertile environment in which entrepreneurship can be encouraged, and entrepreneurship cannot happen without innovation. This is a fertile age which can be really used and equipped with the right resources to become more productive in society.

Moving forward So what does the Khalifa fund do to build an enabling environment?

We have been trying over the last three years to build, what we call, the ecosystem

of entrepreneurship. And that ecosystem led us to have partnership with many universities, financial institutions, government bodies and private sector entities in the UAE.

In terms of research on policy dialogue, we have been working with GEM research in trying to understand where the UAE stands in terms of entrepreneurship among other countries. We have an upcoming event – Entrepreneurship Policy Lab in which we will try to find, with other institutions, how we can create the right environment and infrastructure in terms of regulatory framework to promote entrepreneurship. We also have an advocacy unit and the function is to support entrepreneurial activity, and there are also the incubators. The UAE lacks in terms of incubators but they are the only way in which innovations can come to a commercialisation stage. Partnerships with universities and public entities are part of our incubation activities. We are also setting up our Khalifa Fund incubator and are looking at an industrial district.

What about empowerment? What do we do at the Khalifa Fund to empower people to be entrepreneurs and innovators? We have this Innovation Forum in its second year and I think you are the best judges of its success.

We partnered with the Khalifa University to organise the Mobile Application Contest. Students from across UAE participated and displayed innovative projects in this field. We also have the Innovation Masterclass designed to enhance the innovation capacity of Emiratis. And the Khalifa Fund is a partner with Manchester Business School for the Manchester Innovation Award in the UAE, where we do finance the most successful ideas.

But if you don’t have the financial resources to support them these ideas will only remain on paper. And that’s where we play a major role in terms of bringing resources to entrepreneurs. We call

these basic financing programmes and they are open to many entrepreneurial activities; some of them might not be very innovative but they are entrepreneurial.

Recently we have created a new targeted financing scheme called Tasneea to stimulate innovative industrial projects in Abu Dhabi. We try to find the value chains in the emirate’s industrial development and the opportunities for entrepreneurs there. And then we have the direct investment fund or the venture capital fund.

Innovations can be good, innovations can be bad, but they are mostly productive for humankind when they are driven by the right minds with the right intentions.

To quote His Highness Sheikh Zayed Bin Sultan Al Nahyan: “We have to open horizons for their ambitions, remove obstacles from their paths, and accord them with the experience of generations and essence of thoughts.”

In 2005 Harvard University published more research than 17 Arab countries put together and I am sure, if you compare the quality, you’ll find the difference would be staggering ABOUT:

Dr. Ahmed Khalil Al-Mutawa is the Chief Executive Officer of Khalifa Fund for Enterprise Development, the Government agency established in 2007 to foster entrepreneurship and develop thriving and competitive SMEs in the UAE. In addition to his role with Khalifa Fund, Dr. Al-Mutawa holds the post of General Secretary of the Gulf Organization for Industrial Consulting. He is a member of the Board of Directors of Majid Al Futtaim Properties, a member of the Board of Trustees for Dubai University College, and also Strategic Development Advisor for Maritime and Mercantile International.

A distinguished academic, he has previously held the position of Chairman of the Economics Department at UAE University, assuming the post of Vice-Rector for Planning in 1997. During his career, Dr. Al-Mutawa has published a range of research studies and working papers. He has received various awards in recognition of his accomplishments, including the Sheikh Rashid Award for Academic Achievement in 1992, Al Owais Award for Best Economic Research in 1994, and the Industrial Personality of the Year by Datamax in 2005.

A UAE national, Dr. Al-Mutawa graduated with a Bachelor of Arts degree in Economics from the University of Cairo and a Master’s degree in Economics from the University of North Carolina in the US. In 1991, he received his Doctoral degree in Economics (Cum Laude) from Georgetown University in Washington, D.C.


The human elemenT

Microsoft is a huge multinational organisation that can initiate innovative

policies instantly, however, for many SMEs there are often obstacles like cost constraints. What would you say to these small and medium enterprises that want to innovate but find the necessary changes too expensive?Innovation is not only the result of large companies establishing very expensive and very sophisticated policies – it’s also about the human capital because that is at the centre of innovation and each individual is capable of making an impact. Take, for example, employees at a company who are able to come up with an idea to re-engineer a process to make the business more effective, more agile, more productive and more competitive.

What we see in the SME sector is the need for that differentiation, to look more at their own business and their own market. This human element is more powerful than any large cash budget in creating an atmosphere conducive to change and the ability to better service customers in an innovative way. If you do not consider the employee’s ability to drastically make change


Having WorKEd in tHE it fiEld for MorE tHan 20 YEarS, SaMEr raMEZ aBu ltaif, gEnEral

ManagEr, MicroSoft gulf, KnoWS a tHing or tWo aBout innovation and tHE tacticS a BuSinESS SHould EMploY to gEt aHEad. aftEr

giving a talK on tHE facilitation of innovation at tHE SEcond aBu dHaBi innovation foruM in

JanuarY, HE taKES tiME out to diScuSS WitH MiKE BYrnE WHY tHE HuMan ElEMEnt Still pacKS tHE

puncHES WitH BuSinESS.

inTervieW <<<

where it is needed to increase market share, then just changing processes can lead to your business becoming a replica of a competitor with the same policies, processes and talent, and, survival then becomes an issue.

Considering the current business environment, where survival is proving as important as growth, what do you think are the changes SMEs need to really push?Businesses need to start looking for the silver lining around the grey clouds – one person’s problem is another person’s opportunity and there needs to be closer attention paid to these opportunities rather than the challenges. In the crisis we have experienced companies who have ceased to exist because of the system of survival of the fittest. But there are companies that will emerge stronger from this. In the current market, not just here but all over the globe, customers are now seeking more for their money.

So, in this sense the ability to innovate by way of introducing ideas to better attract and help customers is another element. Changing the rules of the game to get the edge to compete and providing a platform for these businesses to do this on

a global scale will go a long way to changing the recessional tide.

Can you pinpoint one innovative tool which is both affordable and accessible to SMEs in the region that will go a long way to helping their growing needs?The transformation of business in the IT sector with the move towards cloud computing will undoubtedly provide a huge opportunity for all business – whether small, medium or large. Traditionally SMEs were struggling in terms of possessing an infrastructure which enabled them to sell cross-border and which enabled them to take their products across the Internet. They also had to consider the cost each time they required further storage capacity options.

With cloud computing the cost of scaling the business across the Net and storing vital data has reduced dramatically; the accessibility to sell can now be obtained at the click of a button. So, in effect, individuals have opportunities to compete with businesses and in turn SMEs have the platform to compete with the large multi-national companies. What we are seeing is yet another example of the playing field being levelled.

For the full interview, visit www.smeadvisor.com

Innovation is not only the result of large companies establishing very expensive and very sophisticated policies – it’s also about the human capital because that is at the centre of innovation and each individual is capable of making an impact

ABOUT:Samer joined Microsoft in April 2004 as General Manager of Microsoft North Gulf after working for NCR for over 14 years in sales, sales management, and GM roles. In October 2005, he took over as Regional Director for enterprise and partner group of MEA, where he built and drove Microsoft strategy for eight subsidiaries covering 79 countries in Middle East and Africa.

He has over 20 years of experience in multi-national IT corporations, managing sales, marketing, and professional services, with primary focus on general management and business development of technologies encompassing software, industry solutions, and IT services.

Samer Ramez Abu Ltaif, General Manager, Microsoft Gulf


Home UserPacks S.M.B. Packs Available

FREE+

Partners Inquires Are WelcomedContact: +971 55 543 04 75

i HavE Had SoME rESErvationS aBout Writing tHiS articlE. HoW can i BE rESponSiBlE for tHE actionS of pEoplE WHEn tHEY

Start applYing tHE SEvEn dEadlY SinS to MarKEt tHEir goodS and SErvicES, SaYS JoHn lincoln, vicE-prESidEnt-prESidEnt EntErpriSE MarKEting, du. But it’S not aS Evil aS it SoundS.

aPPlY The seven deadlY sins <<<

hoW do You TemPT Your CusTomers To sin?

MARkETInG

Almost all mere mortals succumb to these seven sins. Take advantage of human frailties and temptations. Check if your value propositions give your customers the opportunity to succumb and be tempted to commit these sins

To sin or not, that is the question. However, upon serious and due reflection, I feel

satisfied I am just framing a sales and marketing challenge to help businesses meet their customers vulnerabilities and needs. I am extremely proud of the significant contribution of small business marketers all over the globe who enable and generate billions of dollars of value creation, which in turn creates new opportunities and jobs for millions. In this context, I write this piece with a clear conscience.

So what are the seven deadly sins?No, I am not suggesting that you do anything illegal or ask anybody else to do anything illegal. Most of you have perhaps known or heard about the seven deadly sins also known as the “cardinal sins” or the “capital vices”. These have evolved over a period of time and have been translated from Greek to Latin and the modern marketing version as I know them today are:

1. Extravagance (and greed)2. Gluttony 3. Pride4. Lust5. Wrath6. Sloth7. Envy

As you develop the customer value proposition or even if you are in sales, keep these in mind. Almost all mere mortals succumb to these seven sins. Take advantage of human frailties’ and temptations. Check if your value propositions give your customers the opportunity to succumb and be tempted to commit these sins.


MARkETInG

the next time you see that credit card company’s messages or the designer goods ad or cell phone manufacturers urging you to be cool with a newer version of something new, which you already have, remember, they are all tapping into your sense of greed and extravagance.

Gluttony is not a secret vice – Orson Welles

If you are in the food or hospitality industry, this is an easy sin to tempt your customers with. We all know gluttons, but they do not necessarily have to be just overindulging or over consuming food to be gluttonous. You can consume anything to a point of waste to be a glutton.

Do you really need that iPhone when you already have a BlackBerry? How often can you use both? Isn’t it just a waste? Offering a fixed price buffet lunch is surely tempting the glutton in all of us. How about the wonderful buckets of minutes that your telecom provider offers? How about that two-for-one that your local supermarket or department store offers?

These are wonderful and great propositions from a marketer’s or a sales point of view as the incremental cost to offer the next or nth unit is marginal for the provider. If the actual cost is truly marginal or the opportunity cost is too high not to offer it, it behoves the marketer or the sales team to tempt gluttony in crafting the value propositions so that customers can be tempted to be gluttonous.

It is a beggar’s Pride that he is not a thief – Japanese proverb

In almost every list, pride is considered the original and most serious of the seven deadly sins, and the source of the others. It is identified as a desire to be more important or attractive than

others, failing to acknowledge the good work of others, and excessive love of self.

So my dear fellow marketers and sales professionals, this is an easy one. I am sure some of you have excelled in making your customers feel inferior if they are using your competitors’ services and products, or conversely making them feel superior by using your “well designed” propositions.

Pride and vanity is taken advantage of in almost all industries. Marketers name their services Platinum, Superior, Super, Exclusive, “you are special” and so forth. If you are marketing or selling designer apparel or accessories, then this is a no-brainer. However, tempting your customers to be proud can be applied to the hospitality industry, consulting, banking, politics, entertainment and lots more.

Lust’s passion will be served; it demands, it militates, it tyrannises – Marquis De Sade

Is any sin easier to sell than lust? Not really, I would imagine. My dear folks, have you seen “ugly” models in any communication that marketers put out? Even the ordinary testimonials from the supposedly ordinary people appear to be extraordinary.

No, I am not suggesting that you engage in vices of that sort. Just think of it, almost all marketers seem to be selling lust. I often wonder if they take a second and think about what their true intentions are by the models or spokespersons that they select for their communications to their customers.

Some industries and companies take it to an extreme. Just take a moment and look at the airlines industry (in some countries), the hospitality and restaurant industry (Hooters is a good example), the entertainment and fashion

Do you really need that iPhone when you already have a BlackBerry? Offering a fixed price buffet lunch is surely tempting the glutton in all of us. How about that two-for-one that your local supermarket or department store offers?

Extravagance is the luxury of the poor, penury is the luxury of the rich – Oscar Wilde. Three great forces rule the world: stupidity, fear and greed – Albert Einstein

Extravagance and greed are unrestrained excess. In whichever industry or business you are, it always pays to entice your customers to be extravagant, spend more, to buy that extra something that they will not use or fully use, treat their loved ones to a special gift of extravagance.

Check and recheck if your value propositions offer the opportunity for your customers to feel that they are being extravagant and that it is worth it. Ensuring that customers are extravagant in a value proposition ensures that the customers will buy something that they don’t necessarily need immediately, buy more than what they need, pay more than what they intended and so on.

Extravagance and greed is also often thought to apply to a very excessive or rapacious desire and pursuit of wealth, status and power. I am sure most of you have had exclusive invitations from credit card companies, airlines and other providers that seem to imply that you have a special status. Most luxury goods marketers thrive at bringing out the greed in all of us. Do we really need that $5,000 handbag? It is the divine duty of all marketers to poach you away from alternative propositions from the competition; therefore, betrayal for personal gain can also be considered greed.

As greed and extravagance are inordinate desires to acquire or possess more than what you need or deserve, especially with respect to material wealth, this is an easy one for marketers. Communicating subtle or direct aspirational messages often brings out greed in all of us. So


industry, and others. These folks seem to have mastered the art of marketing and selling lust more than others. And Wrath has left its scar, that fire of hell – William Cullen Bryant

Wrath, also known as anger or rage, may be described as inordinate and uncontrolled feelings of hatred. Anger, in its purest form, is presented with hate that may provoke antagonistic feelings towards someone.

This is one of the two sins I personally am comfortable in tempting my customers to commit. Imagine how easy this is, if I can get my customers’ wrath on to my competitors. How do I do that? Make the customer realise that I have a better deal, that I offer a better customer experience, and that considering others is not currently being made a choice for them. Irk your customer’s ire and wrath on to your competitors’ offerings.

Marketers and sales folk should remind their customers what you are offering, that your competitor is not offering or is unable to do. This is called differentiating yourself in the market. Make the customer feel mad that his or her existing provider is not doing what your company is able to do.

Conversely, remember that it is good business sense not to irk your customers’ wrath on to yourselves.

We excuse our sloth under the pretext of difficulty – Marcus Fabius Quintillan

Sloth is considered more a sin of omission rather than commission. We all have been lazy one time or another. In this digital and Internet age, we have a tremendous opportunity to make our customers lazy.

This is the other sin I am happy to tempt my customers with. Taking away customer difficulties is called offering conveniences that they appreciate. Saving time and money by tempting them with convenience makes good sense for the customer and your business. Any convenience that takes away customers’ difficulties makes obvious sense. It also makes good business sense for us as it can often mean more sales, less costs and more profits.

Envy aims very high – Ovid

Those who commit the sin of envy resent that another person has something they perceive themselves as lacking, and wish the other person to be deprived of it.

So what does this mean for your business? Well, get your competitors’ customers to feel envious of your customers. Let them join you in droves after realising the poor deal or the poor service or faulty proposition that they have been sold. Spend your money making them aware

of what they are missing or what they must have.

Let your potential customers know that they don’t have to be envious but that the proposition, product or service is available to them easily, affordably and conveniently through you.

But beware of having a taste of your own medicine; do not let your existing customers who have committed long term to you feel envious of your competitors’ customers. Imagine the frustration of someone who has signed a 60-month car lease or a long-term contract with penalty provisions for early cancellation.

If you slip up, please be assured that it is not only envy that you will elicit from this customer. You will also bear his or her full wrath. Hell hath no fury like a customer scorned!

Is any sin easier to sell than lust? Not really, I would imagine. Have you seen “ugly” models in any communication that marketers put out? Even the ordinary testimonials from the supposedly ordinary people appear to be extraordinary

ABOUT:

John Lincoln has over 20 years telecommunications experience in the USA, Japan, Europe, India, Dubai, Malaysia, Latin America and various other countries. He has extensive senior expertise in international telecommunications sales, marketing, business development and customer service delivery. John also has executive experience with general management, marketing, P&L, product development and revenue management responsibilities in both consumer and enterprise segments for both the fixed and mobile sectors. In addition John has an impressive operational and management portfolio of established proven expertise in incremental business value creation and management of large multi-cultural teams in Vodafone Global in the UK, Japan Telecom in Tokyo, AirTouch and Pacific Bell (now AT&T) in San Francisco and Tokyo, Airtel in Delhi and other telecom and technology companies. Additionally he has extensive large scale business development, M&A and operational project experience across the USA, Europe, Asia and Latin America. John has an MBA and MS in Telecommunications from the Golden Gate University in San Francisco, California, USA. You can find John’s personal blog at johnlincoln.blog.com.

John Lincoln, Vice-President-Enterprise Marketing, du,

MARkETInG


MARkETInG

sTand ouT from The CluTTer

aS a SMall BuSinESS oWnEr You HavE plEntY to KEEp You BuSY, froM SEcuring nEW contractS to Managing SuppliErS, training Your pEoplE

and KEEping a WatcHful EYE on Your caSH floW. WHilSt all of tHESE opErational aSpEctS

arE iMpErativE, onE critical aSpEct of Your StratEgY MuSt BE to SpEnd tiME crEating and

Building Your Brand, SaYS laWrEncE fludE, Managing dirEctor, HKlM MiddlE EaSt.

Don’t put off working on your brand until you have the time and the money. Great businesses

were once small entrepreneurial ventures like yours, strapped for cash and without enough hours in the day. Many of those that focused on their brands rose above the rest to become winners.

The key to successful branding is to start immediately. If you nurture your brand it will return substantial value to you over time.

So, what is a brand? Technically a brand is a name, term, sign, symbol and design (or combination thereof) intended to identify the goods or services of a seller and to differentiate them from their competitors. Simply put, a brand is a seller’s promise to deliver a specific set of features, benefits, advantages and services consistently to a buyer.

Why focus on building a strong brand?

1 Strong brands create competitive advantage. A

unique, differentiated brand attracts attention and it sparks interest. It stands out from the

clutter in the red ocean of bloody competition (reference a great book: Blue Ocean Strategy). Effective brands deliver true, sustainable competitive advantage for a business over time. Successes such as Facebook show how a simple, unique idea can become a powerhouse business and brand in a relatively short period of time.

2 Strong brands are recognisable; they build familiarity which

encourages repeat business. A great example of this is Apple – it has built a cult following of devotees that will purchase products and services in any category the company releases products to, whether it is hardware, software, mobile, accessories or music.

3 Strong brands often command a price premium. Enough said.

4 They create credibility for new products and services.

This results in faster take-up by buyers and therefore a quicker return on your investment. A strong brand immediately endorses your innovation. A brand such as Virgin is an excellent example of this.

5 Structured brand guidelines contain costs. Clear brand

and communication rules remove wasteful regeneration of marketing material. It is good practice to retain your corporate memory from a consistency and cost perspective. This is critical if you operate in multiple territories and in numerous languages – once your brand is organised it can be adapted to the requirements of new regions in a cost-effective way.

6 Strong brands are compelling; they connect with customers

and attract new ones. Branding initiatives give you the opportunity to stay relevant and remain top-of-mind. It is important to capture the hearts of employees and grab the attention of the market. Brands such as Nike, Coca-Cola and The Body Shop get this right.

7 It takes less time to implement marketing plans.

A strategic, considered and robust branding programme should adhere to the strategic direction of your business. You don’t have to re-debate and re-create new campaigns every time opportunity knocks. The door is already open and you can act quickly.

>>> Branding

ABOUT:Lawrence Flude is a Managing Director of HKLM Middle East. HKLM is an independent and integrated strategic branding group with offices in the United Arab Emirates, Kenya, Nigeria and South Africa.

Lawrence has specialised experience in delivering solutions in marketing, brand and communication strategy, corporate identity, packaging and brand activation. He has worked in numerous sectors including hospitality, financial services, IT and telecommunications, FMCG, industrial, sport and real estate with clients including SABMiller, InterContinental Hotels Group, Sun International, Emaar and International Cricket Council. He can be e-mailed at [email protected]


When in rome...

onE iMportant iSSuE tHat affEctS

pErforMancE in gloBal MarKEtS iS cultural diffErEncE, EXplainS

dr. aSHraf MaHatE, HEad of EXport MarKEt

intElligEncE at duBai EXportS, and vicE cHair of tHE EconoMic policY

coMMittEE, duBai EconoMic dEpartMEnt.

CulTural sensiTiviTY <<<

Culture is defined as a comprehensive system of behaviour patterns that tend to be learnt,

as opposed to being inherited. These patterns differentiate members of a particular society from another. The behaviour patterns can include a range of aspects such as customs, religion, language, material artefacts, to those of a psychological nature like attitudes and feelings.

Due to the integrated nature of culture it is not always easy to understand all its various aspects. Of course, one would not expect

a business owner or manager to be a master of all the cultures across the globe. Nevertheless, it is important to be aware of the key cultural aspects of a country that a company has selected as a potential export market.

Globalisation and an increased level of tourism have opened once closed countries, thereby making people more aware of different cultures. At the same time the Internet and media have tended to reduce cultural differences. Even though differences have been reduced they, nevertheless, exist and as a general rule exporters

TRADE


TRADE

should respect the culture and traditions of the country with which they wish to do business. The golden rule of business etiquette is to be open-minded, non-judgmental and flexible. While travelling abroad, exporters should keep the following points in mind:

Language All business issues, especially financial ones, are very much affected by language. At the basic level business negotiations include the price, delivery dates, shipping methods and method of payment. These can be misunderstood if one of the parties involved is not fluent in the other party’s language. Even if both parties speak a common language, misunderstanding can take place based on the general understanding of certain words. For example, English is spoken in the UK, USA, Australia, Canada, South Africa and New Zealand, among other countries. However, in each country there are small differences in usage or the interpretation of words. For instance, the Spanish word “mañana” from a literal context actually means “tomorrow” however in general business usage it tends to imply “not today.” In other cultures one tends not to use certain words in order to avoid embarrassment. For example, in many Asian countries one would not say “no” directly as it is considered to be rude. In these circumstances the exporter will need to be able to correctly interpret if a yes means maybe or even no. Therefore, in many cases it’s important to know and understand the nuances of a culture so as to correctly interpret the meaning.

PunctualityBeing punctual shows respect for a business associate’s time and

commitment. Even when it is culturally acceptable to be late, the exporter should always be on time for appointments.

Addressing individualsDifferent countries have different practices for addressing people. In some countries, using first names is acceptable immediately, in others, this would be seen as highly improper and interpreted as rude or insulting. An exporter should never use first names unless invited to do so. The correct pronunciation of the names of each business contact should also be practised beforehand in order to avoid embarrassment for both parties. Special rules about addressing women should always be adhered to.

Dress codesDress codes vary from country to country, in some it is formal and in others, informal or casual. Special note of dress conventions for women should be taken into consideration. Sometimes formal discussions are followed by informal dinners or get-togethers. Here again, customs differ on how to dress for those occasions.

GreetingsDifferent forms of greetings are used in different places. Shaking hands may be acceptable in one country but frowned upon in another, whereas bowing may be the formal greeting in some countries. Exporters should be sure that they know the right manner or practice for greeting women.

ConversationSome societies are serious by nature and are not in the habit of cracking jokes or narrating anecdotes during business discussions, while others would consider conversations dry and uninteresting otherwise. It is also

a good idea to be well informed about sensitive topics which need to be avoided (political situation, recent scandals and so on), and of topics to which it would be polite to refer (World Cup victory, national celebration and so on).

SocialisingIn some cultures, business people frequently invite clients to their homes and extend hospitality, while others keep the personal side of their lives away from all business transactions. It is important to be aware of the accepted practice to avoid accusations of attempted bribery.

If invited to a social affair, exporters should accept the invitation as a sign of respect. Many countries consider after-hours events a way of getting to know more about the exporter’s background. An exporter can contact embassies, or High Commissions for any country-specific information required on business etiquette.

Giving giftsMany countries practice this custom; the exporter must know whether a gift is expected or not, and to whom the gift should be offered (for example the host, the wife of the host, the family, the business contact, or the company head). A gift to a government official may appear to be a bribe, therefore it is important to make sure the gift is appropriate and will be well-received before giving it.

Negotiating stylesSome countries habitually enjoy negotiating and like to haggle over the terms of any transaction. Others prefer a firm and precise proposal which they can seriously evaluate and respond to. This is an important consideration, when preparing for a visit.

Some societies are serious by nature and are not in the habit of cracking jokes or narrating anecdotes during business discussions, while others would consider conversations dry and uninteresting otherwise. It is a good idea to be well informed about sensitive topics which need to be avoided


Business cardAn exporter should always carry business cards with information printed in the native language on the reverse side. In some countries, business cards are treated quite reverently, as a declaration of the status of that person. It is important not to bend, write on or put away the business card while in the company of the presenter of the card.

Religion In a number of countries business and religion are interrelated both in terms of holidays as well as the legal and commercial contracts. Religion also affects the manner in which business is carried out as well as the products that can be sold.

Corruption Generally speaking, corruption is defined as any form of financial or non-financial inducement offered by one person to another. The most common example of

corruption is bribery, which in some countries tends to be the normal order of activities while in others it is a punishable offence. There are two aspects to corruption — first, the company has to decide if it wishes to operate or export to a country with a high level of corruption. The level of corruption can be determined from

the Corruption Perceptions Index produced by Transparency International. Second, if the company decides to operate, then it needs to know how to conduct business in such an environment. Of primary importance here are the likely costs of making such “grease payments” as well as ensuring such payments can be made legally.

Government involvement and legal frameworkThe culture of a country also impacts on the involvement of the government in the corporate sector. It also determines the level of protection provided to foreign companies through its legal system. For example, in some countries the law is based on code law while in others it is common law. Similarly, the development of law differs whereby in some countries the laws are well established whilst in others they are being created almost daily.

Women in businessDiscrimination based on gender is, for the most part, no longer openly made when conducting business negotiations. Businesses around the world have lowered barriers to women who now occupy senior management positions. However, in some cultures, history, tradition and social norms may still deny women true equality in the international business world. Business practices based on gender differences may be more pronounced in the case of SMEs who usually conduct their business on a personal level. It is important to note that the treatment of women who are residents of a particular country does not necessarily indicate how foreign business women will be treated.

TRADE

The company has to decide if it wishes to operate or export to a country with a high level of corruption. Then it needs to know how to conduct business in such an environment

ABOUT:

Dr. Ashraf Mahate is the Head of Export Market Intelligence at Dubai Exports (formerly known as the Dubai Export Development Corporation), which is an agency of the Dubai Economic Department. Dr. Mahate is also the Vice Chair of the Economic Policy Committee with the Dubai Economic Department. He has written a number of journal articles, chapters in books and edited books in the areas of economics, finance and banking. He has also presented papers at major international conferences. Dr. Mahate has provided extensive consultancy services to various organisations in the areas of banking, economics and finance. He has been a director of a number of companies including a venture capital company and a private equity fund.

Dr. Mahate received his doctorate from Cass City University Business School in London (UK) which was ranked by the Financial Times newspaper as the 12th best university in the world for finance. He read Economics at University College London, followed by a Masters in International Economics and Banking at the University of Wales in Cardiff. Dr. Mahate is a professional educator and received his training at the Institute of Education (University of London). He is a member of the Chartered Institute of Managers (UK) and a Member of the Institute of Commercial Management (UK). He is also a member of the Association of Certified Anti-Money Laundering Specialists (ACAMS).

Dr. Ashraf Mahate, Head of Export Market Intelligence at Dubai Exports (formerly known as the Dubai Export Development Corporation), an agency of the Dubai Economic Department; and Vice Chair of the Economic Policy Committee, Dubai Economic Department


Trans Gulf Management Consultants was established in 1997 by a team of professionals in the United Arab Emirates long before any boom to supply professional services to its clients around the Gulf region, and survived the crisis to be nominated by the SME awards as finalist among 3500 other nominated companies for professional services. The one stop shop to:

• Advising and mentoring entrepreneurs on managing a healthy small company in the Gulf.

• Executive coaching by experienced coaches to communicate in the best way across cultures and be able to focus on your goals, release the tension and find the balance.

• Train your staff to be aware of the culture by our experts who are totally bilingual and bi-cultural.

• Meet all your needs for translation into and from various languages.

• Supply of qualified simultaneous interpreters in all languages needed and simultaneous interpretation equipment.

• Assist you in meeting all your needs of equipment and personnel to hold a successful event.

I’m sure there is no need to tell you that recruitment for any role is important.

However, in hiring sales staff it is especially important as they are the face of the company. The old clichés don’t help – having the gift of the gab or the ability to sell ice to an Eskimo is no indication of a successful sales person. There is so much more to sales and you cannot simply

SALES

hire Your WaY To suCCesstaKing tiME and carE WHEn rEcruiting SalES pEoplE iS onE

of tHE MoSt iMportant tHingS You can do for groWtH. Hiring tHE Wrong pEoplE nEgativElY iMpactS Your

organiSation in ManY WaYS — loSt opportunitiES, loSt cuStoMErS and WaStEd ManagEMEnt tiME.

categorise every sales position with similar behaviors and competencies. It all starts from establishing what you need from an individual to help achieve your company goals.

If you are on an aggressive market share push then you need a resilient new business door knocker as opposed to a strong consultative selling approach for developing existing clients. The variance of the type of person

you are looking for is huge. One size doesn’t fit all when selecting sales people.

Here are some situation-based interview questions that will uncover more about your job applicant:

reCruiTmenT <<<

1. Prepare a simple job description for the position that is tailored to achieving your selling goals. 2. The job description should include the most important competencies and behaviours for the job. 3. Use situation-based questions, scenario setting and role playing to uncover if a candidate really has what is required for the role.4. Always check references and ask referees to comment specifically about a candidate’s fit against key behaviours and competencies.

Nothing is ever foolproof, but following this process definitely increases your chances of making the right decision.

an effeCTive reCruiTmenT

ProCess


SALES

QUESTION: Please describe the last time you had difficulty understanding what a customer was explaining to you on a sales visit and how this impacted your progress. Why was this? How did you overcome the situation? Did you change anything in your approach to ensure that these situations are limited in the future?

OBJECTIVE: You are looking for a real life example that may demonstrate listening difficulties and if the issue has been addressed. The perfect answer really is that they have had problems but they have found ways to improve them since. If they highlight any communication issues, it is important that you ask how they overcame them or request another example. Just ask the questions as it is, and then sit back and let them think, don’t help them. If they don’t answer the second part of the question that really means they switched off as soon as they heard the first request, which is negative and demonstrates weakness in their ability to listen effectively.

QUESTION: Please think of the last occasion when you were extremely happy with the way you uncovered information from a potential customer. Can you provide me with the questions you asked during this sales call to understand more about the customers business? After you were clear on this information, what line of questioning did you follow next? Please provide examples.

OBJECTIVE: This will tell you the quality of questioning this candidate follows. The first part should be related to understanding the customers business, and the second part should be looking for opportunities to identify their

needs and requirements, even if they are not known before the questions begin. Ask a double barreled question if you would like to check their listening skills again. QUESTION: Please tell me about the last time you successfully gained the customer’s business when presenting a proposal. What did you do well? How did you convince them to buy?

OBJECTIVE: I would explain this situation and ask the questions

all in one go.

Then sit back and only respond if they ask you to repeat the question. There is enough information here for the candidate to give you a great live example. Also, at the end of the interview leave it very open and don’t communicate what the next steps are. See if they probe and try and get a commitment from you. Also gauge again the listening skills as in this case you will be asking for three pieces of information in one go.

QUESTION: Please tell me about a customer that you once

Hiring decisions made using behaviour based interviewing are 2-5 times more accurate than those based on traditional interviews

ABOUT:

Peter Heredia is the Managing Director of Max Sales Solutions. He has worked with sales teams around the globe for more than two decades and has worked in the Middle East for the last ten years. His passion is helping smaller businesses to significantly improve revenue performance by focussing on the productivity and efficiency of their sales teams.

For more information, please contact [email protected].

1. Accepts responsibility2. Recovers from rejection3. Persistent4. Competitive5. Energetic6. Assertive7. Driven to succeed8. Creative9. Reliable10. Confident

some KeY sales

Behaviours

didn’t get on with too well, but that you now have a good working relationship with. How

did you manage to turn this around? What

areas do you realise now were key to building this

relationship?

OBJECTIVE: Get them to think about the relationship first and describe the situation, then ask the questions. You are looking for key areas of reliability, fixing issues, and so on to gain a positive response to this question.

Peter Heredia, Managing Director of Max Sales Solutions


FInAnCE

sPring Clean Your finanCes

tHat’S WHat all SME oWnErS and tHEir EMploYEES SHould pErSonallY BE doing noW So tHEY’rE not

lEft Hanging out to drY, SaYS indEpEndEnt financial adviSor grEg pogonoWSKi.

deBT <<<

So that’s it, the holidays are long gone, the presents unwrapped and all

of that lovely food polished off. If you’ve spent a little too much money over the holiday period, now is a great time to get your finances back in check. Here are 11 top tips to help you banish your debt for good:

1 Get better at budgeting. First things first, if you’ve got

yourself into a bit of a financial pickle, you need to sit down and draw up a budget so you know exactly where all of your money is going. All you need to do is work out how much income you have and how much your outgoings are. You can then categorise your transactions so you know exactly what you’re spending where. If your outgoings are pretty extensive, you’ll need to make some cutbacks to reduce them and free up a bit of cash. A good idea is to set yourself a budget for various different categories (such as petrol and food, savings, and so on). Once you’ve done that, you can start throwing your spare cash towards your debt.

2 Keep records. If you’ve lost track of how much you owe and

have no idea how you ended up in debt, you’re probably overspending. Losing track of what you’re spending where is not a good idea, especially if you’re spending large amounts. It indicates you’ve really got no control over your finances.

3 Don’t be tempted by “consolidation loans”. If you’re

borrowing more to pay off your debts, then don’t. Borrowing more and getting further into debt to meet your other debt payments is a dangerous path to follow. Equally, if you’re taking money out on your credit cards just to cover monthly


FInAnCE

payments on other debts, you could find yourself in serious trouble in the future. Avoid this at all costs. If you have no idea what your budget is and you’re spending more than you earn each month, or you’re not sure whether your income is covering your expenses, you could be in serious trouble.

4 Pay more than the minimum. If you’ve got a lot of debt sitting

on a credit card, try and pay off more than the minimum monthly repayment each month. You can use all of the spare cash from tip 1 to do this! This is because the minimum payment on credit cards is usually set very low – often as low as 2% of your total card debt – and typically it will take more than 15 years on $1,000 of debt to pay off your balance! What’s more, if your credit card is charging you a hefty rate of interest at the same time, the amount of interest you’ll be forking out overall will be far greater too, as you will be paying interest on interest. Even just making an extra payment of $10 a month can significantly reduce the time it takes to pay off the debt in full as well as the amount of interest you’ll be paying overall. To ensure you avoid this trap, set up a standing order and pay a fixed amount on top of the minimum monthly repayment each month.

5 Learn how to snowball. We may have already seen a lot of snow

this winter in other countries but, actually, this next tip has nothing to do with building snowmen. Snowballing is a great technique to use if you’re struggling to get all of your credit card debts onto the best interest rate deals. All you need to do is work out which of your credit card debts is charging the most interest. This is the debt that will grow at the fastest rate so it’s also the one you need to focus on first. Keep paying the minimum monthly repayments on all of your other borrowings and put any spare cash towards the most expensive debt. Once you’ve

successfully paid off this debt, move onto the next most expensive debt and so on. Leave your lowest interest rate debt until last. This is a really effective way of tackling your debts and clearing them more quickly (as well as reducing the amount of interest you’ll have to pay).

6 Use cash. If you regularly use your credit cards to pay for

necessities such as food or petrol and can’t afford to clear the balance each month, your debts will continue to build up and put more strain on your finances. Try to stop using your cards and simply take cash out of your bank account; if you only spend what you have, you cannot go into debt. This may be hard to do at first, as you may “run out of money” before you get your next pay cheque, but the longer you can manage into each month the better. I have found if I only have so much left in my wallet, I tend not to spend it because I will have “nothing” left – see how you do.

7 Be punctual. If you regularly fail to make your bill payments on

time, your cheques get returned, or you overspend on your credit cards or overdraft, you’ll incur extra fees and charges from your bank. This will drive you further into debt and could also damage your credit rating. Take control – only you can do it.

8 Save! If you’re unable to put even a little money aside into a

savings account each month because your debts are too high, that’s not a good sign. Having said that, it is usually wise to pay off your debts before starting to save – so it’s the right strategy, but don’t be half hearted about it; it’s a sign that you are struggling. All too often people say “I’ll pay this off first and then save” – they never do. Start saving at the same time as you manage your debt. You should always “pay yourself first.”

9 Don’t neglect your retirement. Starting a pension early is a wise

move because your investments

have many more years in which to grow than they would do if you were making contributions close to your retirement. So if you’ve been putting off starting a pension, or you’ve not been paying into it quite as much as you should be, don’t neglect it any longer.

10 Don’t underinsure yourself. It can be very easy to

underestimate how much insurance you need. But if you do underestimate the full cost, your insurer will not pay the full amount. For example, if you insure your contents for, say, $20,000 and they cost $40,000 to replace, in the event of a claim your insurer will say you only insured for 50% of the value so we will only pay $10,000 (50% of the insured amount). Imagine how this could affect your business if you lost your stock? Similarly, make sure you don’t underestimate how much life cover you need, as you and your family, and your business should survive if you die or are disabled.

11 Don’t automatically renew your insurance policies. If you

have an insurance policy that’s about to run out, don’t simply renew it without checking to see what else is out there first. Insurers have a tendency to increase premiums for existing policyholders, so even if you think you’re still getting a good deal, you’re probably not.

In conclusion, if you want to save yourself a bit of cash this year, make sure you shop around for options before signing on the dotted line. Or seek the advice of a qualified adviser.

If you have an insurance policy, don’t simply renew it without checking to see what else is out there. Insurers have a tendency to increase premiums for existing policyholders, so even if you think you’re still getting a good deal, you’re probably not

ABOUT:Greg Pogonowski – DipPFS, MAQ, CertCII(MP), MDRT, is an independent financial advisor with over 26 years experience in the financial services profession and works with Pinnacle Asset & Wealth Management.

He can be contacted by email at: [email protected] or telephone: +971 (0) 50 876 9035.

Greg Pogonowski, Independent financial advisor


The proposed federal SME law is a very positive and timely development which

will go a long way in promoting the entrepreneurial skills of young and budding Emirati businessmen and women and help in further diversifying the UAE economy. This law is also expected to give a welcome shot in the arm to innovation, research and development among UAE businesses.

In the context of the proposed federal SME legislation, it is useful to take a look at the steps already taken in the Emirate of Dubai to boost the role of SME’s in the UAE economy. The cornerstone of the Government of Dubai’s commitment to the promotion of the SME sector was the enactment by H.H Sheikh Mohammed Bin Rashid

LEGAL

sme drafT legislaTion

tHE uaE MEdia HaS givEn WidE covEragE to a rEcEnt StatEMEnt BY H.E Sultan Bin SaEEd al

ManSouri, tHE uaE MiniStEr of EconoMY, in WHicH HE confirMEd tHat a draft fEdEral

laW dEaling WitH SMall and MEdiuM EntErpriSES (SMES) SHall Soon BE prESEntEd

to tHE uaE caBinEt for approval. YuSuf ZaMan of al taMiMi & coMpanY diScuSSES tHE currEnt MEaSurES in placE for SMES and tHE

iMpact of futurE incEntivES.

uae CommerCial laW <<<

Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, of Law No. (23) 2009 concerning Mohammed Bin Rashid Establishment for SME Development (the Dubai SME Law). MBRE (The SME Establishment) has been given the important responsibility of achieving the objectives of the Dubai SME Law.

Before discussing the goals of the SME Establishment, it is useful to take a brief look at the administrative set-up of this body.

SME EstablismentThe organisation is headed by an Executive Director who is appointed by the Chairman of the Dubai Executive Council. In turn, the Executive Director of the SME Establishment reports to the Director General of the Dubai Economic Department,

who has the right to approve the policies, regulations, action plans, balance sheets and other initiatives proposed by the Executive Director of the SME Establishment.

Although the SME Establishment is headquartered in Dubai, the Dubai SME Law envisages that it may have branches and offices inside and outside the Emirate of Dubai. This provision in the law for a presence of the SME Establishment outside the Emirate of Dubai is a testament to the importance attached by the Government of Dubai to the promotion of SMEs not only in its own Emirate but also across the length and breadth of the UAE.

In accordance with the Dubai SME Law, the key goals that the SME Establishment aims to achieve are the enhancement of the status of the Emirate of Dubai as a hub for business and enterprise and innovation, the encouragement of innovative skills among Emirati youth, the fostering of their ability to undertake productive economic activities and the development of programs and initiatives aimed at enterprise development.

One of the major achievements of the SME Establishment has been the adoption of a comprehensive definition for micro enterprises and SMEs. A reference manual published by the SME Establishment, a copy of which can

This reference manual is a very useful tool which can be relied upon by micro enterprises and SMEs to determine their eligibility for membership of the SME Establishment and for the grant of the various incentives contained in the Dubai SME Law


LEGAL

be accessed at the establishment’s website, www.sme.ae, not only provides the definition of micro enterprises and SMEs but also discusses the premises, features and industry-wise classification of such enterprises in the Emirate of Dubai. This reference manual is a very useful tool which can be relied upon by micro enterprises and SMEs to determine their eligibility for membership of the SME Establishment and for the grant of the various incentives contained in the Dubai SME Law.

Innovations for development of youthThe emphasis placed by the Dubai SME Law on Emirati youth as the pillars of SMEs is highlighted by the establishment of the Hamdan Bin Mohammed Bin Rashid Program for Young Business Leaders (the Program) within the SME Establishment. The key features of the Program are as follows:

Provision of financial and technical support to members of the SME Establishment (the members), including the making of loans, to enable the members to establish and possess enterprises, through a fund especially established for this purpose;

Imparting qualifications, training and preparation to members to

assist them in undertaking economic activities and business management;

Provision of consultations and studies on available opportunities and business; and

Raising youth awareness on the value of investment initiatives and utilisation of the opportunities and incentives that the Program makes available to the members.

Financial concessionsIn order not to impose a heavy burden on members by way of licensing fees and to encourage membership of the SME Establishment, the Dubai SME Law provides for a concession-based licensing regime. According to this regime, the only fees that can be levied under the Dubai SME Law on members for each of the first three years of their membership of the SME Establishment is the amount of AED 1,000. After the completion of

three years’ membership of the SME Establishment, the Members will make payment of the standard trade licence fees which are imposed by the Dubai Economic Department on businesses undertaking economic activities in the Emirate.

Another key feature of the Dubai SME Law is the requirement that government agencies, institutions, and companies owned by the Government of Dubai or in which the Government of Dubai subscribes to more than 50% of the share capital shall:1. Allocate 5% of their budget for goods and services to the purchase of goods and services to be provided by the members; and2. Give priority to members when making bids or auctions with any of them, where the proposal made by the Member is not 5% higher or lower than the best proposal made, in terms of quantity and price.

All of the above incentives contained in the Dubai SME Law are aimed at boosting the participation of SMEs in the Dubai economy and encouraging Emirati youth to participate in the private sector as an alternative to the traditional option of employment in the public sector. The only fees

that can be levied under the Dubai SME Law on members for each of the first three years of their membership of the SME Establishment is the amount of AED 1,000

ABOUT:

Yusuf Zaman is an associate in the Corporate and Commercial Department and based at the DIFC Head Office. Prior to joining Al Tamimi & Company in February 2008, Yusuf was the Corporate Counsel for Pakistan Tobacco Company, a full-owned subsidiary of British American Tobacco. Earlier, he practised as a barrister in Melbourne and he also has experience of having worked in a premier corporate law practice in Pakistan.

At Al-Tamimi & Company, Yusuf is dealing with general commercial and corporate advisory work, with a particular focus on commercial agencies, general commercial contracts, joint ventures and corporate governance matters.

Al Tamimi & Company Advocates and Legal Consultants, originally established in 1989, is today one of the leading law firms in the Arabian Gulf region. It is the largest local, non-affiliated law firm in the United Arab Emirates with offices in the Emirates of Dubai, Abu Dhabi and Sharjah, Riyadh (KSA) and associate offices on Doha, Baghdad and Riyadh. Visit www.tamimi.com for more information.

Yusuf Zaman, Associate, Al Tamimi & Company


MAnAGEMEnT

games PeoPle

PlaYaS if tHE StrESS of WorK WaSn’t EnougH,

an incrEaSing nuMBErS of EMploYEES ranK WorKplacE politicS aS a MaJor tHorn in tHEir SidE. WHEtHEr WE liKE it or not it alWaYS HaS BEEn and Will continuE to BE a fact of lifE

and tHE firSt StEp to BEating it iS accEpting it, SaYS Hanan nagi, coacH, SpEaKEr, foundEr and

cEo of Hni training & coacHing.

offiCe PoliTiCs <<<

Remember, these relationships must be built on mutual respect – avoid meaningless flattery otherwise you will eventually lose your self-respect. Be friendly with all employees and managers, no matter what their ranks. You are then protecting yourself with the love and respect of everyone

“It’s Mafia!” “She would not promote me because I am not a member of her

gang!” “He’s got the power and I am not sure whether to play or pass.” Any of this sound familiar?

Whenever I train or coach, dealing with office politics always comes as one of the top challenges people face at the workplace, whether they work in an office or not and regardless of their experience or rank in an organisation. The emotional response of the individual facing office politics is usually the same – a sense of confusion and frustration. Naturally, this would then affect the employee’s performance, level of productivity and consequently the overall business of the organisation. On the other hand, it may also affect the employee’s personal life, with the strain spilling over into relationships with family and friends.

Research also shows that HR professionals or administrators spend more than nine weeks out of the year resolving conflicts amongst employees caused by office politics (“Surviving office


MAnAGEMEnT

politics”, Talent Scout, April 16, 1998). Once again this translates into more time, energy and productivity, wasted.

So how can you deal with this effectively without having to become a member of any group? The idea here is that you become emotionally intelligent and not compromise your values nor make enemies of other opposing groups.

1 Accept the reality of itOver the centuries, humans have been going to wars driven by the need for power, the need to be right, defending their own passions, beliefs or the need for competing and winning. We are emotional beings but, remember, this can be used for positive ends as well as negative. Accepting office politics as a fact of business life will help you deal with it much more effectively. It exists everywhere – in small, medium and large organisations and within the public sector as well as the private.

2 Be an observer Detach yourself from the situation and take an observer’s seat. This will help you relax and look at the situation from a different perspective, helping you to see things more clearly. When objective and detached you will begin to uncover who is doing what, who is following who, and what each person is pursuing, whether it is promotion, flexibility, or just more control. Remember don’t judge – just observe.

3 Build your own social networkDo not avoid or get intimidated by politically powerful people in the organisation. On the contrary, make an effort to get to know them – they are human too and share many of the conflicting emotions which you go through at work on a day-to-day basis. Also, begin to build healthy relationships with those who possess the informal power, attempt to be comfortable

with just listening and you’ll be surprised how this one method can work miracles.

Remember, these relationships must be built on mutual respect – avoid meaningless flattery otherwise you will eventually lose your self-respect. Be friendly with all employees and managers, no matter what their ranks. You are then protecting yourself with the love and respect of everyone.

Build healthy relationships beyond work with people from multiple networks – you don’t need to become a member of any network but, instead, try to be the person that everyone likes and respects as well as a person whose opinions and contributions are valued.

4 Develop yourself Do not allow office politics to stunt your career growth or prevent you from developing clear career goals. Regardless of how you might feel or the lack of visible growth because of these office games, the best investment you can ever make is in your own abilities and knowledge. People come and go within organisations, with the office landscape changing accordingly. Your competence should outlast all of these transitions and this is where there is scope for career growth beyond the politics.

5 Seek opportunities and shineMake yourself visible, even if you are sure there is no

The best investment you can ever make is in your own abilities and knowledge. People come and go within organisations, with the office landscape changing accordingly. Your competence should out-last all of these transitions and this is where there is scope for career growth beyond the politics

immediate reward due to the office politics. You never know when the opportunity will come and knock on your door. Remember to also make your team and your boss look good. Give credit to others where credit is due.

6 Adopting successful practicesThrough observation you’ll learn what works in your organisation’s culture and what doesn’t. Watch other people at work and identify successful behaviours which you can model. There are also some general standards to observe that will stop negative politics from spreading.

7 Avoid office gossipRise above the daily whining sessions! Gossip and rumours will not do you any good and result in draining energy that’s better spent getting ahead with work. Also, be aware that almost nothing you say is guaranteed to remain secret and in most cases what you have discussed, whether positive or negative, will spread.

8 Maintain professionalism Always remain professional, even when those around you are not – and always uphold the company’s interests.

ABOUT:

Hanan Nagi is an international trainer, executive coach, personal development expert, writer and inspirational speaker. She is also the producer and presenter of the coaching and human development TV show “Develop your life” on DM.T.V. With more than 16 years experience in the corporate world in various industries, Nagi now helps organisations achieve their goals through their people, using custom coaching training programs.

She has been recognised by HH Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, for her contribution to excellence and achievement in the people’s development field when she won the Dubai Government Excellence Award. For more information visit www.hni.ae or contact [email protected].

Hanan Nagi, coach, speaker, founder and CEO of HNI Training & Coaching


CusTomer needs <<<

iT’s all aBouT me

TEChnoLoGY FoR BUSInESS

WHat conStitutES a SuccESSful contract, ESpEciallY for SMES SEEKing tEcHnologY

infraStructurE and SErvicES, aSKS dEBBiE nicol, principal conSultant and oWnEr of

BuSinESS En Motion.

An SME operator has many balls to juggle, many internal business infrastructures to

provide and many laws to comply with whilst also trying to build a client base and serve customers – all, at times, with little or no support. Software such as a simple yet efficient bookkeeping system can be purchased and measured by their ability to receive and produce data in the least amount of time. Social Media can be engaged with and measured by the analytics that are produced. Yet for

IT infrastructures and services – an essential contributor to an SME’s success – confusion still reigns!

For many, these are just too hard to become involved with, often likened to speaking another language. An SME will attempt to ask the right questions, describe needs using “tech terms” and take in seemingly massive amounts of new information, whilst holding on to any last glimmer of hope that any IT professional will: be able to translate their needs into

plain English,

be interested enough to inform the SME of basics that may not have been thought of, raise awareness of the consequences

of any decision or purchase.So what are the things an SME

could be looking for to base any IT partnership upon?

1. Flexibility with business termsFlexibility may not take precedence when the priority is to simply get operational and up and running. Often SMEs can defer thought on this critical component, taking short-term results to be the only vital ingredient for now. Caveat-emptor – let the buyer beware!

One day, some day, and very likely one day soon, the world will change again, and so too your needs. Customers may want more online access, you may wish to integrate the latest feature or a previously in-demand functionality or your technology has now outlived its use. Perhaps your financial situation has changed in an unexpected turn of economic recession. Flexibility is key to enable any response.

An SME must partner with those who can see an SME’s perspective of business. Beware of those operators who work only with large MNCs and operate on yearly contracts. These will probably not be able to provide a positive and timely responsiveness.

Take Squarespace.com, a fully hosted, completely managed environment for creating and maintaining a Website, blog or portfolio. Their site proudly confirms that all accounts are month to month. “We make it simple to start – and stop – your services at any time. There are no contracts – large or small. You decide when you wish to work with us, and for how long. The choice is yours!” How refreshing are those words to SMEs who may have found themselves staring down the tunnel of long-term costly contracts.

Flexibility with design is also

They place the customers at the centre of the interaction allowing them to customise the experience to their own needs. Any IT supplier who works differently these days stands to lose much custom



important to be explored, especially if the IT products or service an SME applies work within limitation? What message could an SME be sending to a customer inadvertently when the technology name is plastered everywhere?

Take Campaignmonitor.com, a service which creates and sends email campaigns, manages lists and subscribers and provides analytics, all services many SMEs wish to incorporate into their monthly business activities. Their site proudly states that “we don’t impose any design restrictions, and you won’t find any ugly ‘powered by’ logos or branding either.”

Both Campaign Monitor and Square Space understand the business landscape of today. They place the customers at the centre of the interaction allowing them to customise the experience to their own needs. Any IT supplier who works differently these days stands to lose much custom.

2. Within budgetary limitsAny business operator will understand the relevance of a positive cash flow to a balanced business life. Whilst loans may be a part of business, minimising these can be a smart thing to do.

Alongside flexibility as a key measure of any future IT partnership, so too should be the level of investment, especially if it does require you to enter a contract.

The IT 2.0 operators seem to becoming more aligned to customer needs. Some companies place so much flexibility that you may only pay when you spend or use. You can even determine your spend level. Some even dare to offer their services free of charge, such as Creativecommons.org inviting those users who see merit in the product to donate the amount they see relevant.

Those who effectively service the SME market understand that funds may be limited, and the offer of hourly rates may be more aligned than building support-on-call into a contract, which often equates to

payment for time not used.IT-enabled advertising, such as

seen on Facebook, allows the user to easily define exact areas of coverage, and even determine the exact demographic audience, giving an SME more bang for the invested buck. Savvy SMEs applaud this freedom to define and work within their own budget limitations.

3. Dependability and reliability SMEs knows the importance of trust. They will rely on trust for payments, for suppliers and for advice. Without a large internal support structure, SMEs will expect full transparency from those they partner with. An IT partner must understand that clients will probably not be able to anticipate consequences of IT choices, due to lack of product knowledge. How willing and capable are your vendors in taking the time to really place themselves in an SME’s shoes, explaining things from all angles and most likely over and over again?

The world of IT is changing, thankfully! Computing on demand is in “the clouds” (literally). Short-term rentals of infrastructures, platforms and software through Web access, on a user pays basis is something that an SME is sure to find appealing. The future appears to be based on the very KPIs we currently judge our systems by – flexibility, reliability and within our budget.

We’ve already seen some progress away from the antiquated methods of yesteryear (maybe a short two years ago)! Back then,

Advertising, such as on Facebook, allows the user to easily define exact areas of coverage, and even determine the exact demographic audience, giving an SME more bang for the invested buck. Savvy SMEs applaud this freedom to define and work within their own budget limitations


Ask yourself

change can be moving from nothing to something, or from something to something else. for your it needs, have you considered:• The business reasons for maintaining or changing your it partner?• the consequences of not changing your it partner?• Whatever it will take to ensure you can react to the changing world of customer demands?

an SME would have needed to have signed up for 12 month contracts, may even had to give post-dated cheques! They may have had companies registering their Websites under the provider’s ownership, may have had support work done offshore resulting in inconvenient time delays. When the time came to move on, perhaps the SME faced undue restrictions and then, when moving, found that not all the functionality was transferrable. Not that everything is ideal even today!

But is it time for SMEs to open minds to alternatives, change the way they practice and reap the benefits of change?

ABOUT:Debbie Nicol, aka “the enablist”, principal consultant and owner of business en motion, assists organisations and leaders to move ahead through change. She works with organisational development, change management, corporate cultures and learning strategies. For more information, visit www.businessenmotion.com



Newspapers, magazines, and television news and talk shows – at the

moment they are all talking about just one thing: the Wikileaks affair and how founder Julian Assange has become public enemy number one virtually overnight. This is amazing, especially as currently the world is otherwise not exactly undergoing a quiet news period.

And even more astonishing are the reactions of both politicians and the general public: the United States is desperately searching for a reason to bring Assange to justice. Amazon bans Wikileaks from its servers. Visa and MasterCard block the platform’s financial channels. And in the public debate, Assange is already judged as a criminal.

Is Assange really a criminal? He may well be. However, at the time of the Watergate affair, no one would have even considered accusing the two investigative journalists of being criminals – even though their research was also based on information leaked by the authorities and in the end led to a president’s head rolling. Instead, the song of investigative journalism was sung.


WiKileaKs and The Cloud <<<

Today, the assessment criteria seem to have changed. Assange is no journalist. He publishes documents without questioning, evaluating or putting them into context. One may criticise that. The same goes for the fact that he, in the light of the explosive contents of the documents he published, unquestionably acted irresponsibly. Still the question remains: is Assange really a criminal? He has only published the truth that others have created.

I think somebody else is to blame. The knee-jerk threatening gestures from the United States and the political pressure on Amazon are rather a distraction for an unease which ultimately is based on something entirely different – a certain sense of helplessness and a vague sense of unease that with the Internet, we have created technology that we cannot control.

In the information age, wars are being waged with information, not with tanks. This Janus-headed

character is a problem that cannot be solved. All ground-breaking technology that we have produced can be used for good or evil, and humankind has always taken both options. The fatal aspect is that technology has evolved faster than the ethical understanding of how to handle it, or of the sense of responsibility in society, and, of course, legislation. And so we are only left to make sure that the process is reversed this time and that ethics and law are faster than the wrong doing.

Amazon’s reaction in particular presents a big risk for the development of the IT market. The provider simply cut off cloud services for Wikileaks — that is, its server capacity, which made Wikileaks available on the Internet. Amazon’s reason – Wikileaks violated its terms and conditions. This is bad news for the new IT paradigm of cloud computing. If a provider can terminate its service that easily, based only on allegations of a contractual breach, then it is doing exactly what sceptics expect – putting the security and availability of cloud services into question.

Amazon may be able to prove its accusation — and with a bit of legal subtlety this is certainly possible, but it still leaves a bad taste. Where will this lead? Should providers of cloud services constantly review whether any of their customers are pursuing an unpopular or immoral activity and continually make value judgments as to whether they are willing to continue the service?

One need not be a supporter of Wikileaks to find this alarming. Many potential customers for cloud computing services will, I fear, have been paying attention and will now be forced to reconsider whether they can afford to make their IT that dependent on a third party. Cloud computing’s reputation has been damaged. For IT, this is the real tragedy.

Many potential customers for cloud computing services will, I fear, have been paying attention and will now be forced to reconsider whether they can afford to make their IT that dependent on a third party

darK sKies for Cloud ComPuTing?

aMaZon’S rEaction to WiKilEaKS rEvElationS WaS to cut off tHEir cloud SErvicES to tHE contEntiouS organiSation,

citing violationS of tErMS and conditionS. QuEStionS Surrounding tHE application’S SEcuritY and availaBilitY

arE noW ariSing. tHE incidEnt HaS angErEd tHoSE advocating tHE SErvicE and HaS Hit cloud coMputing

WitH a diSSErvicE, SaYS dr. JoSEpH rEgEr, cHiEf tEcHnologY officEr, fuJitSu tEcHnologY SolutionS.

Dr. Joseph Reger, Chief Technology Officer, Fujitsu Technology Solutions

Trends AnAlysis survey 2011

TAke pArT in The

sTAnd A chAnce To win An ipAd...

sponsored by

visit www.computernewsme.com/ictspendingtrends


Dan Smith, General Manager for Integrated Marketing, Xerox, MEA (DMO)

going greengivE crEdit WHErE crEdit iS duE - MorE and

MorE BuSinESSES arE trYing to do tHEir part in Building an EnvironMEntallY friEndlY

gloBal EconoMY. But to BE MoSt EffEctivE, tHE rigHt proJEctS MuSt BE SElEctEd, Support Built froM tHE outSEt and rESultS MEaSurEd,

SaYS dan SMitH, gEnEral ManagEr for intEgratEd MarKEting, XEroX, MEa (dMo).

Most chief executive officers believe that within a decade, sustainability initiatives

will be integrated with core business activities throughout their global supply chains making green practices the norm in most workplaces. The challenge to getting there is less about vision and strategy, as most already have those, and more about execution.

These are among the findings of a June 2010 survey of 766 chief executive officers around the globe conducted by global management consulting, technology services and outsourcing company, Accenture, and the United Nations Global Compact. The Compact is an initiative to encourage businesses worldwide to adopt sustainable and socially responsible policies.

According to the survey, the vast majority of CEOs (93%) report that sustainability will be critical to the future success of their companies. They are signing-on rapidly — 81% say sustainability is part of the company’s strategy and operations, up from 50% in 2007. And the global economic downturn not only has not dampened enthusiasm, but raised the importance of their sustainability commitment (80%).

Walking the talkExecuting these strategies won’t be easy. To integrate sustainability into global business processes,

But keep in mind that not all measures are quantitative. Brand equity, goodwill, the ability to attract and retain the best and brightest, access to key markets, the popularity of products and services in customers’ eyes, the hidden costs of compliance, the health, safety and comfort of workers, all can be improved through green initiatives.

Getting them all onboardWhen you carefully consider all these issues, you’ll be able to prioritise potential projects and recommend the best option to senior management and, hopefully, move forward with their support. They can help you focus company employees, partners and customers on a common set of goals, helping ensure their passions and creativity are applied to moving your project forward.

Establish a record of success, and you can begin addressing other worthy projects on your list and taking onboard greater challenges over time. Early projects will likely focus on doing current processes better, from a sustainability standpoint. However, to successfully integrate sustainability into the business and make it standard operating procedure, will require some disruptive changes to be made. By choosing projects wisely and executing them well, you can build the credibility you need to lead the transformation.

and make it the norm, will require monumental changes in regulation, technology, and investment and consumer behaviour. We believe it can only occur as a result of many discrete projects, executed well, within companies around the globe. A few simple guidelines can help managers achieve the excellence in the execution.

The first step is to pick the right project. Take a disciplined approach by applying the same level-headed analysis you would use in any other strategic business decision.

Keep an open mind when assessing projects. Don’t narrow the field before you start your research. Also, make the search a broad one that considers all the activities of your business, including interactions with suppliers and customers. Be sure to map out all the areas where projects can make a significant impact, then analyse and compare them.

The project you select should be achievable with the available financial and staff resources and within a reasonable amount of time. It should produce results that benefit both the business and the environment, including the strongest possible return on investment. Finding ways to measure where you are and what you hope to achieve are critical to tracking your progress and communicating credible results.

Keep an open mind when assessing projects. Don’t narrow the field before you start your research. Also, make the search a broad one that considers all the activities of your business, including interactions with suppliers and customers

susTainaBiliTY sTraTegies <<<


These last couple of months, Xerox decided to create a

little fun for SME Advisor readers while putting the right

tools in their hands to help them bounce back from the

slowdown stronger than ever!!

CALLING ALL SMEs

WIN PRIZES FROM XEROX AND BOOST YOUR BUSINESS!

>>> Your neW WorKPlaCe

These three lucky winners have won prizes including a monster

colour machine from Xerox – jam packed with the latest, modern print management software, as well as some very funky laptops

for their team!The new Xerox WorkCentre 7120 is a unique colour multifunctional printer that combines

affordable colour with high-productivity workflow tools. Replace that old printer of

yours with the new Xerox, and add efficiency and effectiveness to your workplace!

COMGUARDManish Dokania

Technical Consultant [email protected]

ARAB BUSINESS CLUBHamdan Mohamed

President and Chairman of the [email protected]

GENESIS INTERNATIONAL Sathya Prakkas M Menon

General [email protected]

Congratulations!!!

Last month Xerox made it even simpler to WIN great prizes!

Xerox wanted to know what your favour colour was! Green, blue, red, yellow, purple…Which colour made you smile in the morning? Which colour influenced your mood? Which

colour helped you work better?

As there were so many entries, Xerox decided to choose not just one winner, but three!

FOR TERMS AND CONDITIONS, AND MORE INFORMATION ON hOw XEROX BRINGS TO LIFE, vISIT www.CpIDUBAI.COM/EvENTS/XEROX

Your neW WorKPlaCe


The online survey, which polled 2,900 people from across the region, saw

being better organised as the top priority for a whopping 18% of regional respondents, with saving more money and getting out of debt both garnering 10% of the vote. Not forgetting to stay amused, nearly 15% of voters said that they were going to try to enjoy life more, followed by a desire to learn something new with 11% of the vote.

Quitting smoking and shedding kilos were the number one and two resolutions in other Yahoo!-sponsored polls in places like the United States, but came to a lowly 11th and 7th place respectively among respondents to the pan-Arab survey.

InDUSTRY WATCh

WhaT’s on Your mind?

gEtting organiSEd iS tHE nuMBEr onE prioritY for pEoplE in tHE araB World

according to a nEW SurvEY froM YaHoo! MaKtooB rESEarcH. intErEStinglY, long-tiME plEdgES SucH aS loSing WEigHt and Quitting SMoKing did not EvEn MaKE it

aMong tHE top fivE goalS tHiS YEar.

PrioriTies <<<

While opinions are varied, one of the most surprising results was that the respondents’ answers were generally uniform across age groups, genders and countries. Of the results that did stick out, a notably higher percentage of those in Morocco and Egypt wanted to be better organised.

“Having dedicated research to understand regional attitudes and preferences is always interesting. It also gives us very relevant information for our readers that fits within Yahoo! Maktoob’s aim to provide millions of internet users in the Arab world with personally relevant content,” said Tamara Deprez, Head of Yahoo! Maktoob Research.

A host of related opinion polls and surveys can be found through the Yahoo! Maktoob

research community Arab Eye (www.arab-eye.com), accessible online through the new Yahoo! Maktoob homepage for the Middle East (maktoob.yahoo.com) presented in both English and Arabic.

The online survey was carried out from December 19 – 31 of 2010 among 2,900 residents of GCC, Levant and North Africa countries. Questionnaires were distributed through Arab Eye, the Yahoo! Maktoob Research community, with email invitations in both Arabic.

Get organised - 18%Enjoy life more - 15%Learn something new - 11%Save more money - 10%Get out of debt - 10%I do not have a resolution - 6%Help others - 5%Lose weight - 4%Spend more time with family and friends - 4%Other - 4%Travel more often - 3%Get into a habit of being fit - 3%Quit smoking - 2%

The WishlisT

ABOUT:

Yahoo! is headquartered in Sunnyvale, California. For more information, visit http://maktoob.yahoo.com or the company’s blog, Yodel Anecdotal.

While opinions are varied, one of the most surprising results was that the respondents’ answers were generally uniform across age groups, genders and countries

34428-GTW Barter-Batch 01-SME Advisor ME.pdf 1 1/31/11 12:03 PM

According to new research from CB Richard Ellis (CBRE), Global Office Development

Cycle: Where are we now?, only Asia among the four major global regions — Asia, Western Europe, North America, and the Pacific — will witness significant growth in office completions in 2010 and 2011, before slowing to a still slightly higher-than-normal level in 2012. This high rate of office development reflects strong corporate and investor confidence in Asia, excluding Japan, which has encouraged developers in some of the region’s largest office markets to reactivate projects which had been delayed or halted during the downturn.

Of the 293.3 million square feet of office space expected to be completed in the leading global office markets between 2010 and 2012, some 65%, or 190.6 million square feet, is set to come on stream in Asia. About 24%, or 69.1 million square feet, is slated for completion in the business hubs of Western

InDUSTRY WATCh

asia Building PoWer reaChes

neW heighTsWitH tHE gloBal EconoMic doWnturn conStruction in ManY rEgionS caME to a grinding Halt. altHougH

dEvElopMEnt in tHE SEctor iS SloWlY BEginning to rESuME, a SurvEY froM cB ricHard ElliS (cBrE), a coMMErcial rEal EStatE SErvicES firM, SHoWS tHat tHE tidE of groWtH HaS

SWitcHEd froM tHE WESt to aSia.

offiCe develoPmenT <<<

Europe; whereas just 8%, or 23.1 million square feet will become available in North America and 4%, or 10.5 million square feet, is in the pipeline in the Pacific.

“Globally, office markets are strongly cyclical in nature,” said

Raymond Torto, Global Chief Economist, CBRE. “The long lead-in time for the construction of city

centre office buildings frequently means that peaks in construction completions coincide with downturns in demand.”

The fact that Asia’s leading economies, excluding Japan, are currently at a more advanced stage within their business cycle compared to their North American and Western European counterparts directly translates to higher rates of new construction relative to the norm established over the past decade. As manifested by office development completions 2010–2012 calculated as a percentage of year-end 2009 stock, Asian office development (27.9%) has by now fully resumed after slowing down briefly in the wake of the global economic downturn. Other regions, in contrast, are experiencing either slightly below normal completions, such as the Pacific (7.3%), or


InDUSTRY WATCh

relatively scant completions, such as Western Europe (3.7%) and North America (1.2%).

“Since the turn of the new millennium, the world’s advanced economies have begun to lose their pre-eminent position in the global financial markets and the power of the world’s emerging economies has soared,” commented Andrew Ness, Executive Director of CBRE, Research Asia. This shifting global axis has already begun to impact on how international companies position themselves, and how and where they place key personnel and resources. Within Asia, this has also spurred the growth of indigenous corporate giants, who themselves have growing requirements for office space. This shift in corporate

activity directly reflects the changing regional focus of office development, especially since the global economy has begun to emerge from the financial downturn.”

Analysed by region, the report forecasts that the office development cycle in Asia is likely to be markedly different than that which will be witnessed in the other three regions producing the equivalent of approximately 63.5 million square feet per annum. This surge in activity will push average completions during this period to a level about 50% higher than the

of new supply completing during 2011-12 is supportive of further rental growth and the prospects for pre-letting of new schemes. A key influence on the pace of activity will also be the availability of finance. Elsewhere in the region, there are isolated examples of renewed interest in development, but these mostly reflect building-specific circumstances rather than a general pick-up in market momentum.”

North America, arguably the epicentre of the global economic downturn, will see only 23.1 million square feet of office space completed within the 2010-2012 period, or less than eight million square feet per annum, a 70% drop compared with the average of 25.9 million square feet per annum recorded in 2001-2009. The Pacific, whose office development cycle is buoyed by its strong economic links with Asia, will see 10.5 million square feet, or about 3.5 million square feet per annum, the equivalent of a milder drop of about 15% from the average of 4.1 million square feet per annum recorded during 2001-2009.

average of 42.2 million square feet delivered annually over the past nine years.

A series of shocks over the past three years, including the outbreak of the sub-prime crisis in 2007, the global economic downturn in 2008/2009 and the Eurozone debt crisis in spring 2010 led to many office developments in Western Europe being mothballed, as evidenced by the declining trajectory of completions forecast for the 2010-2012 period. The region will witness the completion of just 69.1 million square feet of

new office supply within this timeframe, equivalent to 23.0 million square feet per annum, a 30% drop over the average of 32.9 million square feet per annum delivered over the past nine years.

Richard Holberton, Director, EMEA Research, added, “London is currently the only major Western European market where reviving interest in development looks likely to produce a significant upturn in new construction activity over the coming year. Prime rents in the city have rebounded strongly from their 2009 low and the scarcity

ABOUT:CB Richard Ellis Group, Inc. (NYSE:CBG), is a Fortune 500 and S&P 500 company headquartered in Los Angeles. The Company has approximately 29,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 300 offices (excluding affiliates) worldwide. CB Richard Ellis offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. For more information visit: www.cbre.com


Generally, strategy development follows a well-worn path from the market back to the

boardroom, focusing first on external positioning and opportunity, as opposed to internal capabilities. The results are often disappointing, argue Booz & Company’s Paul Leinwand and Cesare Mainardi in their upcoming Harvard Business Review article “The Coherence Premium” (June 2010).

“Companies succumb to intense pressure for top-line growth and chase business in markets where they don’t have the capabilities to sustain success. Their attempts at growth emanate not from the core but from the acquisition of ‘adjacencies’ and the exploration of market opportunities that don’t align properly with their central strengths,” said Leinwand, a partner in Booz & Company’s Chicago office.

Getting priorities rightMany of the world’s market leaders – from Procter & Gamble to Coca-Cola to Mars and its Wrigley

BUSInESS GRoWTh

sTraTegY <<<

division — wind up benefiting from a “coherence premium,” which is measurable and proven. “Stand-out performers start from the opposite direction when it comes to strategy. They figure out what they’re really good at and then develop those three to six capabilities, which can involve anything from knowledge to processes to tools, until they’re interlocking and best in class — and thus form a powerful capabilities system. From there, strategy becomes a matter of aligning the distinctive capabilities system with the right marketplace opportunities,” said Mainardi, managing director of Booz & Company’s North American business.

“It sounds simple, but it’s extremely hard to internalise. Yet the rewards for this discipline are huge,” said Leinwand. “Unfortunately, many companies don’t have a clear capability agenda at all. And those that do often pursue capabilities, or competencies, separately from the strategy itself. They then wind up with a long list of competing priorities – and aren’t able to support the business

with the right capabilities system that is required to win.”

“This phenomena is very common within many GCC companies and was particularly apparent in the last few years,” said Ahmed Youssef, a Partner in the Dubai’s office. “In pursuit of top line growth, many GCC companies have ventured into many different businesses that are not coherent with their traditional capabilities. They focused on entering new sectors instead of scaling the businesses where they have the right to win,” he added.

Leinwand and Mainardi discussed the power of coherence and a capabilities-driven strategy, what they consist of, how companies can attain them, and what can happen when leaders put the market before coherence and capabilities. They elaborate on:

Coherence in practice• Wal-Mart isn’t successful simply because of impressive logistics and an ability to get vendors to fall in line. Underlying Wal-Mart’s competitive advantage is a system

are You geTTing iT all Wrong?

StratEgY dEvElopMEnt uSuallY StartS at tHE Wrong placE – tHE MarKEt – according to BooZ & coMpanY rESEarcH,

WHicH diScuSSES tHE lESSonS tHat can BE lEarnt froM KEY intErnational plaYErS.


In pursuit of top line growth, many GCC companies have ventured into many different businesses that are not coherent with their traditional capabilities. Executives and shareholders of these companies were taken by the abundance of market opportunities. They focused on entering new sectors instead of scaling the businesses

and capabilities system?

The cost of incoherenceConAgra Foods created incoherence through an unfocused acquisition binge in the 1990s. By the mid-2000s, its portfolio spanned three segments that drew on distinctly different capability sets: prepared foods, which required superior merchandising and supply chain capabilities; snacks, which relied on strong product innovation; and staples, like flour and processed meat, which depended on efficient sourcing and production. As a result, the company suffered from sub-par performance between 2002 and 2007. (It has since begun moving toward coherence.)

Incoherent companies struggle to make the right capability choices. Because they need to support diverse strategies with diverse capability requirements, incoherent companies wind up investing in too many capabilities and lack the focus to do any of them well.

The journey to coherence“Given the natural tendency of organisations to devolve into incoherence, it takes extraordinary leadership to pursue a capabilities-driven strategy,” said Leinwand.

Added Mainardi, “Focusing on one way to compete and a system of differentiating, mutually reinforcing capabilities often requires hard choices, it also means resisting the temptation to leap into a hot new market where your capabilities system can’t help you or to pursue, in boom times, easy profits at the expense of strategic focus.”

There is no better time for GCC companies to assess the coherence of their business and focus their capital, human resources, and other assets on creating a more coherent business.

BUSInESS GRoWTh

of mutually reinforcing capabilities that lowers total value chain costs in a differentiated way. The retailer achieves maximum efficiency by integrating four capabilities: aggressive vendor management, expert point-of-sale data analytics, superior logistics and rigorous working-capital management. “Every Wal-Mart product and service fits with the company’s ‘way to play’ – its ‘everyday low prices’ – and capabilities system. It’s coherence at its finest,” said Mainardi.

What coherence and capabilities really are – and the payoff“A capability is something you do well that customers value and competitors can’t beat. It’s more than an activity or a function; it’s the interconnection of people, knowledge, IT, tools and processes that enable a company to out-execute rivals on some important measure,” said Mainardi. A company becomes coherent when its system of three to six capabilities is consciously chosen and implemented to support a focused strategic purpose and is aligned with the right product and service portfolio. Coherent companies have no problem answering these questions: How are we going to face the market? What capabilities do we need? What are we going to sell, and to whom?

Data shows that coherence correlates strongly with greater profitability, as measured by EBIT margin; coherence thus leads to the so-called coherence premium. (The Booz & Company approach to scoring coherence is similar across industries and involves: defining the segments each company servers, identifying the capabilities that drive value for the company in each segment, determining the number of common capabilities across all the segments the company serves.)

Coherent companies focus day in and day out on what they are best at,

and thus continually improve their capabilities. Companies make better organic growth decisions and pursue acquisitions that line up with their capabilities. Coherence also produces efficiencies of scale and creates alignment between strategic intent and day-to-day decision-making.

The coherence testTo determine how coherent or incoherent a company is, leaders should address these questions:• Are we clear about how we choose to create value in the marketplace?• Are we investing in the capabilities that really matter to our way to play?• Can we articulate the three to six capabilities that describe what we do uniquely better than anyone else? Have we defined how they work together in a system?• Do all our businesses draw on this superior capabilities system? Does our organisational structure and operating model support and exploit it? Does our performance management system reinforce it?• Have we specified our product and service “sweet spot”? Do we understand how to leverage the capabilities system in new or unexpected areas?• Do most of the products and services we sell fit with our capabilities system? Are new products and acquisitions evaluated on the basis of their fit with our way to play


In pursuit of top line growth, many GCC companies have ventured into many different businesses that are not coherent with their traditional capabilities. Executives and shareholders of these companies were taken by the abundance of market opportunities. They focused on entering new sectors instead of scaling the businesses

ABOUT:Booz & Company is a leading global management consulting firm, helping the world’s top businesses, governments, and organisations. For more information, visit www.booz.com.

Ahmed Youssef, a Partner in Booz & Company’s Dubai office


SIGn oFF

CorPoraTe lifesTYle <<<

in a citY liKE duBai, WHErE So ManY MEEtingS, intErviEWS and dEalS arE

SEalEd WHilE dining, You’vE got to BE a SMootH opErator. guillauME MariolE froM ignitE fitnESS & WEllnESS taKES

uS tHrougH tHE MinEfiEld tHat iS BuSinESS dining EtiQuEttE.

items or alcohol at business meals – this could cause embarrassment and may be offensive as it is illegal for Muslims to drink alcohol. Don’t talk when your mouth

is full. Don’t slurp soups or drinks or

make noises while chewing food. If dining with Muslims, never

eat or offer pork, even if it’s on the menu - this would be considered offensive. Smoking is much more socially

acceptable than in the West, although not during daylight hours over Ramadan. If you must smoke, quietly excuse yourself to an outdoor smoking area. Don’t ever use your left hand for

eating, drinking or shaking hands as it’s considered unclean. Good manners are just good business when it comes to dining etiquette in the UAE so take stock of all our tips and stay on the right track to succeed. And if, once the deal has been done and the plates have been cleared, you need to get in shape and lose some weight, be sure to give us a call.

with a handshake or a remark. Once all of the guests have left,

thank the wait staff.As for general dos and don’ts,

whether you are dining in the capacity of guest or host, here are our top tips to help you pocket the next deal.

Do’s Arrive on time – if you are going

to be late, make sure to inform your client or business partner. Dress conservatively; remember

you are in a Muslim country. After sitting down, quietly unfold

your napkin and place it on your lap. Fold it in half and place the folded half towards your waist. Before starting with the dinner,

wait for all your client or business partners to arrive. Turn off your mobile before

you arrive. Keep your elbows off the table. The knife and fork should be

placed in the centre of the plate in the five o clock position.

Don’ts Don’t be hasty in chasing up

clients who are running a little late – wait at least 15 minutes before calling up. Don’t put bags, briefcases and

other accessories on the table. Don’t order expensive menu

When dealing with business partners from a wide variety of cultures and

geographies, there are certain guidelines that can be adopted for all scenarios. Let’s start with hosting a business lunch or dinner.

When making the initial

invitation, be sure each guest is aware of the purpose of the gathering — be it a board meeting, a prospective partnership or a strategy discussion. Let people know what to expect. If utilising a set menu, be sure

to include a vegetarian dish as an option. Arrive early, as the host you want

to be the first person there. This will give you time to check the table before greeting any guests. Make sure there is adequate seating and introduce yourself to the waiter who will be serving you. If you are hosting business

clients, you will pay for the meal. This can be established before any guests arrive so the wait staff can avoid potentially embarrassing questions later. It’s best not to order anything to

eat or drink while you are waiting to greet all your guests. As they arrive, introduce them to one another and show them where

you would like them to sit. When all the guests are present,

call the meal to order. This can simply be a statement indicating that everyone is present and it is time to begin the meal and get down to business. The host sets the tone for

the meal. If, for example, you intend for guests to order appetisers, you must begin by ordering one yourself. The same is true for dessert. All good guests at a business or

social meal will wait for the host to begin before starting their own meals. Don’t keep them waiting. If it is a small gathering, wait until everyone has been served and then immediately begin eating. If you are not served near the beginning, just tell your guests to go ahead while their food is still hot. Take care of the cheque

discreetly. Gracious hosts do not call attention to the fact that they are paying the bill. Keep your napkin in your lap

until it is time to leave the table. At this point, place your napkin on the left side of your plate, or on the left side of your place if your plate has already been cleared. Thank each guest for attending

and acknowledge each one individually as he or she departs

ABOUT:Guillaume Mariole is the Managing Director of Ignite Fitness & Wellness. For more information visit www.ignite-wellness.com, call +971 (0) 4 305 0844 or email [email protected].

WhaT The forK?!?

THROUGHTO THE NEW

TO CONTACT YOUR NEAREST RESELLER: www.lenovo.com/ae +971 4 429 4300, 800 1 8000 (UAE TOLL-FREE)

TO CONTACT YOUR NEAREST RESELLER: www.lenovo.com/ae +971 4 429 4300 , 800 1 8000 (UAE TOLL-FREE)

TO CONTACT YOUR NEAREST RESELLER: www.lenovo.com/sa +966 12795249

TO CONTACT YOUR NEAREST RESELLER: www.lenovo.com/sa +966 12795249

TO CONTACT YOUR NEAREST RESELLER:

www.lenovo.com/ae+971 4 429 4300, 800 1 8000 (UAE TOLL-FREE)

dÓJü°É∫ HÉCbôÜ GŸƒRYÚ: 94259721 669+

dÓJü°É∫ HÉCbôÜ GŸƒRYÚ: 0034 924 4 179+, gÉJ∞ ›ÉÊ: 0008 1 008

www.lenovo.com/sa

dÓJü°É∫ HÉCbôÜ GŸƒRYÚ: 94259721 669+ www.lenovo.com/sa

www.lenovo.com/ae

dÓJü°É∫ HÉCbôÜ GŸƒRYÚ: 0034 924 4 179+, gÉJ∞ ›ÉÊ: 0008 1 008 www.lenovo.com/ae

TOP FEATURES ThinkVantage Active Protection System™

Thin and Light

Long Battery Life

ProTrade is ADCB’s new online trade finance platform, designed to enhance turnaround time and

improve productivity. Part of ADCB’s EasyTrade suite of products and services, this fast, efficient

and user-friendly finance tool will meet all your trade finance transactions requirements 24X7.

Key benefits:• Apply online for Import and Export Letters of Credit, Bank Guarantees, Collections and Trade Finance Services• Receive information on the status of transactions online or via email• Make real time enquiries via the Internet• 128 bit encryption which means all transactions are fully secure

For more information about ProTrade and how to make your trade finance transactions easier, please SMS ETRADE to 2626 or visit www.adcb.com

Terms & conditions apply.

Manage your trade from anywhere, anytime

C

M

Y

CM

MY

CY

CMY

K

11960_ADCB_ProTrade_SME_270x207mm.ai 12/14/10 12:17:00 PM

SME Advisor Middle East - Good advice for better business

Documents

dubai sme

abu dhabi innovation

dubai technology

sme advisor editorial

dubai exports

cool brand

business community

dubai economic department