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Thursday, October 31, 2019

Leadership 101 - The Role and Responsibility of Directors – Part 8

Leadership 101 - The Role and Responsibility of Directors – Part 8

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd

Please note that this pertains to South African Legislation, the King Requirements and Best Practice.

Today we are having a look at the requirements around the Solvency and Liquidity Tests.

The sad truth and reality that I find in most of the SMME clients that I assist, is that they have no idea whether or not they will be solvent next month, never mind for the next 12 months and I know for a fact, that many never even knew about this requirement, much less how to conduct it.

The fact of the matter is that these tests should be done on a regular basis to ensure that the company is in fact liquid and therefore in compliance with the New Company’s Act.  Remember failure to meet the requirements of the New Company’s Act essentially means that you, as the Director or the Business Owner can be held liable in your personal capacity.

Issues that need to be tested are (but not limited to) :-

- The Net-worth of the Company must be calculated and the assets (no inflated prices please, but rather a fair trade value), must be greater than the liabilities.  Obviously these should also include ”all reasonable foreseeable” (so your forecasts and budges would be included her too), contingent assets and liabilities.

Make sure that your figures are current as you will only have yourself to blame if your calculations are off.

- The Company must also be able to pay its debts as and when they fall due for at least 12 months.  These debts of course are the ones that are incurred in the normal day-to-day running of the business.

Here’s the kicker!  The following instances are when a Director can be held personally liable for loss, damage or costs sustained by the Company as a ‘direct or indirect’ consequence of their actions:-

When the Director is “present at the meeting where the resolution was considered or participated in the decision.”

Where the Director “failed to vote against the resolution, despite knowing that it was inconsistent with the requirements of the Act or the Company’s memorandum of incorporation or the Director did not responsibly consider its impact (this would include the instance where the Company undertook any of the above transactions when it was not in a position of solvency and/or liquidity.)”

So what are the questions that Directors should be asking to ensure that they do not put themselves or their reputations on the line.

1. Firstly, does the transaction that is being voted on require a liquidity and solvency test? Understand that these are not for the daily run of the mill type transactions.  These are the types of transactions where, for example, the Board is taking a decision to purchase their own building, or buy land in order to build their own premises, or buy a fleet of trucks to deliver the merchandise instead of outsourcing that function, type transactions.

2. Secondly, before the Directors can make an informed decision about point 1. Above, they will need to have the necessary (and sufficient) information to allow them to determine whether the Company will still be solvent, after the transaction has taken place.

3. The Directors also have to ensure that all the assets and liabilities of the Company have been fairly valued (not over-stated and certainly not just the “book” value that is recorded on the Asset Register.)

4. Finally the Directors have to ensure that the calculations also take into account all the contingent assets and liabilities.

Clearly this is not a quick “tick-box” type exercise and the information that the Directors need to both see and analyze must be accurate.  This is to ensure that they are able to reach an informed decision and that that decision is one that makes good business sense and that they will also be able to keep the Company healthy from both a growth and a sustainability perspective.

Next time we will have a look at specifically what those financial controls are and what is required.

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

Wednesday, October 30, 2019

Networking 101 - Be Selective

Networking 101 - Be Selective

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

When I first embarked on my Networking journey, around 2005, I was so hyped up by my very first meeting and all the wonderful opportunities that I could see opening up before me, that I rushed off to every single meeting that I could find.  In fact it became so bad that on some days I attended a breakfast meeting, a lunch meeting and a late afternoon meeting.

That wasn’t the worst of it either!  I would rush around frenetically after the meeting collecting as many business cards as I could possibly get hold of.  During the next couple of days I would frantically call every everyone and book appointments to meet with people and have a ‘one-on-one’ meeting to ascertain where I could be of assistance to them.  I knew instinctively that I had to meet with people individually to make the whole networking thing work – but I wasn’t satisfied until every single available spot in my diary was full.  Hell, I was busy and if I could have charged for every single hour that I was booked to meet with people I would have made an absolute fortune – if the truth be told, if I had charged for every single hour that people did not pitch I would have made a decent living!

I learnt very quickly though, that having a full diary does not mean that you will have a full bank account.

Having a full diary also means that there is no time to get on with the work that you have painfully secured for paying clients – it means that you have to pull all nighters and you have to work weekends and it also means that you mess with your ability to deliver!

Having a full diary, for an introvert is also really scary and not a good thing and pretty soon, I was absolutely frazzled.  I felt like the planet needed to be stopped and I needed to get off – for a very long time.

What needed to stop though, was me Networking for the sake of Networking.  I needed to plan things properly in order to give me time to get my work done for paying clients and also have enough time left over for  me to be quietly on my own in order for me to charge my own batteries.

Nowadays, my networking habits are a lot different.  Although I belong to many different Networking groups, I try not to attend more than one a week on average.  I don’t ask for cards unless the synergy is immediate and clearly apparent (not only for me to do business with them but also for me to connect them up with someone who may need their services).  If someone gives me a card, I will always accept it – after all, the Universe knows a lot more than what I do and there is always a reason for me to receive that card.

I now also only book one-on-one meetings one day a week.  I try and book them so that we meet in the same place.  This means that I am not running around in between meetings and I am now optimizing my time more effectively.  I schedule time for clients and I schedule time for me.

Make no mistake, my diary still looks full – the difference now is that it is a more ‘balanced’ full.

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

Tuesday, October 29, 2019

Business Tips – Why Twitter – Part 4

Business Tips – Why Twitter – Part 4

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd

As promised last time, here are some additional tips when tweeting.

Since it is all about giving to get, (and I believe this to be true irrespective of whether you own a business or not), don’t just tweet to drive the numbers to your website.  Engage in conversation, join in discussions and respond to those who send you a tweet.  Yes I know that it may seem a little awkward at first, they are strangers after all, but remember – you are in cyberspace and that makes you very safe unless of course you invite them into your reality!

The more you engage with people, the more involved you become and the more involved you become, the more friends you make and let’s face it, we can always do with a few more friends!  Actually if the truth be told, because of twitter and facebook, I have reconnected with old friends and acquaintances that I had lost contact with – some of whom I have not spoken to or seen in over 35 years.  They are both an incredible medium.

Despite the fact that this is cyberspace and as far as I am concerned, you are safe – there are some scary people out there and it is always better to be safe than sorry.  So, no-where is it written that you have to put personal details such as your home or physical address or contact details and certainly it would be wise to exercise caution in these particular areas.  I always look at the following as a guideline before following another tweeter:

1. If, when looking at their profiles, everything is written in a foreign language, then there is really no point in me following them as I cannot understand what they are on about and

2. If their tweets (and for goodness sake have a look at more than one or two, to be fair) don’t hold my attention or deal with anything that I find even remotely interesting, then quite frankly – what is the point?

Exercise reasonable caution and you will be fine.  Remember though you can always stop following someone – there is no law that says you have to engage with anyone.

Next time we will have a look at some additional tweeting tips.

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

Monday, October 28, 2019

Inspiration - Bravery

MOTIVATION – BRAVERY

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

The quote today comes from David Hackworth who says "Bravery is being the only one who knows you're afraid."

In my opinion, one of the bravest acts that I have ever performed is the one where I quit my relatively luscious job and in a ‘leap of faith’ and not much more, I started my own business.  That was in 2003.

I remember during the three months notice that I had given, people with whom I worked, coming up to me with looks of concern on their faces, because they thought I was either mad, had lost the plot, had fallen off the path and any other saying that anyone cares to substitute, can be inserted here.  I was absolutely steadfast in my reply which became a standard “I am stagnating here, this is my dream and I am going to do it.”

After a while the words just came out by themselves usually accompanied with a fixed smile on my face and eventually even I started believing what I was saying.

Inside though, was a completely different story!  I was sick to my stomach and as my body absorbed the additional stress, so it also reacted to it.  My hair started falling out, my stomach churned and often spurned whatever I had put in it, resulting in me rushing off to the loo to spew at length.  I, who had always had relatively low blood pressure (between  95 – 100/70 – 75), now had to contend with a reading that now soared to 150/100!  The noise in my ears sounded like the blood whooshing through my veins and I swear I could actually hear my heart beating.

Every morning when I jumped out of bed to start the new day, with smile firmly fixed in place, I wondered if I had indeed lost my mind along the way – I mean what was I actually thinking?

Yet at the end of every day, when I had survived being in the Business of Owning my own business, I realized that I was far stronger than I had ever given myself credit for.  I realised that, on the surface most people believed in me far more than I believed in myself, but that deep down below, somewhere in that space that we all have, where we instinctively know the truth when we hear it, that I was living my dream.  That I could achieve and would achieve anything that I put my mind to, simply by visualizing it and by going towards my goal – one step at a time.

So as I continue on this journey of mine, whenever I get scared of something, I remember the beginning of this particular chapter of my life and I know that I can do it.  I pat myself on the back for a job well done (even if it hasn’t been started yet) and start at the beginning, with my smile fixed firmly on my face and the words “this is my dream” on my lips and I know that I will succeed.

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

Friday, October 25, 2019

HR 101 - 24 Hour’s Notice

HR 101 - 24 Hour’s Notice

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

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

Let’s go back to my favourite protagonists – I haven’t used them for quite a while.

Mike is our SMME who owns a small store in a busy mall.  George is his right hand man, who is basically the shop assistant and who is employed full time.  George has worked for Mike for more than eight years.

George started working for Mike just after he left school and he had a basic standard 8 education and no work experience at all.  George now is computer literate and is proficient at selling and he looks after the shop with the help of a casual, when Mike takes the occasional day off.

George now also has a full matric that he earned by correspondence and that Mike ultimately paid for.

George has a proper Letter of Appointment that he has signed and that states that a month’s notice should be given at termination by either party.

Over the past few months the relationship between Mike and George has been different.  Not bad – just different you understand – but certainly different.

It all started when Mike did the annual increase and he gave George a 10% increase.  George did not appear to feel that the increase was sufficiently big enough.  Mike showed George all the increases that the business had to contend with, such as rent, utilities and so on and explained that due to the fact that sales were down and expenses were up, the store could not afford a bigger increase at that time.

Whilst George appeared to understand the predicament that Mike was in, he was not his usual self.  Mike tried to find out what the problem was, but could not get any feedback from George – Mike hoped that ‘time’ would sort the problem out.

Well time certainly did sort the problem out, but not in the way that Mike would have liked.  You see George came to work one day and stated that he was resigning with immediate effect and that this would be his last day and that he expected to be paid in full, including his leave pay etc., by the time he left that afternoon.

As I am sure you can understand, Mike was more than a little shocked!  What now? Apart from anything else, it was coming up for Christmas – easily the busiest time for the retail sector and apart from him having to find another person to replace George, there certainly wasn’t enough time to find someone and train them.  Mike was in for a very heavy two months.

Frustrated Mike stated that George had signed a contract stating that he would give a month’s notice.  George shrugged his shoulders and stated “I am not coming to work here tomorrow and if you have not paid me and my money is not in my account tomorrow morning, I will go to the Department of Labour.”

Well so much for gratitude!  So much for treating your staff well and fairly and for paying for their education . . . .  Well, no use crying over spilt milk.

Understandably, Mike was furious, but what sort of recourse did he have?

In a similar case “National Entitled Workers Union v Commission for Conciliation, Mediation & Arbitration & others (2007) 28 ILJ 1223 (LAC), the union employed a person who left them without giving notice and the labour court disagreed that this was unfair labour practice perpetrated against them.”

According to Advocate Estelle Botha, “the court confirmed that the one recourse for employers is to sue the employee under common law, for breach of contract”.  Yeah right!  Exactly what purpose would that serve, other than to incur more costs and waste more of the employers valuable time?

Advocate Botha agrees that employees who give 24 hours notice or who just walk out are most definitely in breach of contract and that what they are doing is totally illegal – but how does that help the average entrepreneur or employer?

Wait – help is here!  Advocate Botha has a solution for us and it goes like this.

Advocate Botha says “In order to protect themselves, employers must stipulate in the employment contract that should the employee terminate the employment contract without tendering the written contractual notice period, then the employer will deduct from the final payment to the employee, an amount equal to the period of notice not given.”

You see, if you include this clause in your Letter of Appointment or contract of employment, it becomes part of the agreement between the employer and the employee and when the employee signs the letter or contract of employment, it becomes a condition of their employment.

Then if the employee does ‘gap it’ or does only give 24 hours notice, you as the employer can deduct notice pay from whatever it is that you owe them.

How cool is that !

Remember though, unless you have that clause in place you cannot deduct the money. So for those who have letters and contracts of employment in place – don’t forget to ‘re-negotiate’ – whatever you do, don’t just change it.

I am off to include the clause in my contracts . . .

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


Thursday, October 24, 2019

Leadership 101 - The Role and Responsibility of Directors – Part 7

Leadership 101 - The Role and Responsibility of Directors – Part 7

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd

Please note that this pertains to South African Legislation, the King Requirements and Best Practice.

Today we are having a look at the Roles and Responsibility of Directors in terms of Internal Audit.

Now I understand that most of the SME arena do not have the financial capacity to have an Internal Audit Division as such, but that said there should still be someone looking after the risk aspect of things.

Some of the questions that should be asked by Directors are (but not limited to):-

- Is there an Internal Audit Strategy in place and if so does the plan focus on areas that are most likely to impact the business and therefore the stakeholders?

- Are the Internal Audits effective and frequent enough and is there sufficient frequent communication with the audit committee and the Board of Directors.

- Does the Internal Audit Department have the appropriate level of technical and analytical skills required to address all the different types of industry risk that pertain to the business and how often are they measured and assess to ensure that their abilities remain current and are adequate?

- Is technology adequately utilized in the Internal Audit processes (where applicable) and does it use the existing systems and data effectively in the performance of it work?

- Does the Internal Audit function compare favorably against its peers in benchmark studies and if not how will it be brought up to speed?

- What is the true absorbed cost of Internal Audit.  Are these costs evaluated on an annual basis?

- Does the Internal Audit function have all the necessary skills as well as diverse skills that are required to give confidence to the audit committee on internal financial control.

- Is an annual assessment conducted on the chief audit executives in order to ascertain if the key attributes that are relevant to the business are being me on an ongoing basis?

- Is there enough assurance of the Ethics and Risk Management programs?

- In terms of the most recent losses -  did Internal Audit provide any form of comfort that these would not re-occur in the future?

- Finally, does the Internal Audit function have all the necessary skills that they require in order to give the Audit Committee assurance on the internal financial controls as well as the operational, administrative and HR Controls in the Company?

Next time we will have a look at specifically what those financial controls are and what is required.

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

Wednesday, October 23, 2019

Networking 101 - My Unfair Advantage

Networking 101 - My Unfair Advantage

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

It is common knowledge that the most successful entrepreneurs network well.

We’ve all come across the “Old Boy’s Club” at one time or another and more often than not, we feel completely frustrated by the perception that we have been ‘locked out’ from an opportunity.

We’ve all also come across the statement “It’s not what you know, but who you know” and those of you who know me, know that I take that one step further and say that it’s also about ‘who you don’t know that know the people that you do know!”  Little wonder then that others are often quite resentful about what they consider as my ‘unfair advantage’, particularly if they think that their product or service is better or cheaper than mine.

For many others my ‘unfair advantage’ is often seen in a negative light.  Some think that I am receiving ‘backhanders’ or that I have a lack of ethics or integrity – the reality is that I am not engaged in anything sinister – I am however actively engaged in Networking and this means that I am doing business the ‘easy’ way and by me doing business the ‘easy’ way, means that someone else may not have the same opportunity of doing the business the ‘easy’ way and this is often a bitter pill to swallow.

Although the perception is that the concept of Networking is all the rage in business circles and that business decision makers and directors are meeting everywhere, the sad reality is that very few people actually network effectively.  The perception because of this is that Networking is a waste of time and I promise you, it isn’t.

In order to Network effectively, you need to make a commitment.  The commitment that you need to make is to your data base.  Your database needs to be built for mutual, profitable, long terms business relationships.

You need to know and understand what you want to achieve from each member of your data base.  In fact you are either a buyer or a seller or an information gatherer or a connector.

Listen out for opportunities – not only for yourself, but also for the members of your database.  Always, always, always add value to your database – you will be amazed at the value and the business that you will get out of it.

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

Tuesday, October 22, 2019

Business Tips – Why Twitter – Part 3

Business Tips – Why Twitter – Part 3

By Nikki Viljoen – N. Viljoen Consulting (Pty) Ltd

Twitter for me, as you no doubt have seen in the last two posts, is about communicating with a much larger audience.  Most sites that you get onto today have a link onto twitter – especially the social networking sites.  This of course means that your ‘tweets’ are reaching a much larger audience and this of course also means that you are driving more and more traffic to your own website.

Most of the professional social networking type websites such as (but not limited to) Facebook, have Twitter groups.  These are individuals who are passionate about their tweets and who love to grow their following and who love to interact and share information, knowledge, experience and generally just have good fun.  Write a little something about yourself – remember to keep it short and to the point – find these groups and let them know what you are about.  Generally speaking, people who are interested in what you have to say, will be interested enough to follow you, thereby exposing your blog or website to a whole different group as well.

One of the quickest ways to get people interested in following you or driving traffic to your blog or website is to post a question with a poll.  Yep, people are curious as to what other people think and love to see statistics on ‘who thinks what’ (actually how many people agree with what they think is more like it!).  If you make the topic of the poll something to do with what it is that you do, not only will it drive people to your website, it will in all probability keep them there too and get them coming back, time and time again.

When I started my whole Networking experience, I started asking questions – lots and lots of questions.  You see, I had come from a Corporate Environment and being on the road for almost three weeks of the month, I was pretty isolated from the rest of the Company.  From there I went straight into my business and met the real world – in great abundance.  There was so much new stuff that was happening that I was completely clueless about and so much that I needed to know.  So I traded.  For every question that I asked, I tried to ensure that I also ‘gave’ some useful information in return.  As I used the new information that I was given I, in turn shared it with others and so the blog was born. One of the most important things I discovered though is that generally speaking, people love to share their experiences and their knowledge.  Actually if the truth be told, generally speaking, people love to help others.

So don’t be scared to ask for help, but remember the ‘give to get’ thing.  Don’t always just take – give as well!  You’ll be amazed at just how good it will make you feel.

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

Monday, October 21, 2019

Inspiration – Don’t Ever Do . . . . Nothing

Inspiration – Don’t Ever Do . . . . Nothing

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

Theodore Roosevelt said “In any moment of decision, the best thing you can do is the right thing.  The worst thing that you can do is nothing.”

Wow! Ironically enough, my good friend and colleague Colleen Larsen of Business Engage (http://www.businessengage.co.za) and I were discussing this very issue earlier today.  Doing nothing about something never makes the problem go away – in fact it usually just makes it that much worse.

Obviously, in any given situation, it is always a good thing to do the ‘right’ thing.  That’s just a given and it always makes life just that much easier.

The dilemma comes along when there is indecision or when the decision comes packaged with a huge consequence – one that we are perhaps not so willing to subject ourselves to.

Here is where the danger lies. Here is where we meet the challenge . . . or not.  This is where we usually step back from the situation.  Oh and don’t misunderstand me for one moment – stepping back from a situation is within itself, not a bad thing if the reason we are stepping back is to take a breath and look at what is happening.  That is definitely not a bad thing.  But once you have stepped back you still need to action something.

Step back, but don’t come to a full stop.  Strategize, plan, engage and get going again.  Do something for goodness sake!

Doing nothing is quite detrimental to yourself.  Doing nothing means that nothing will happen.  Doing nothing will often created a negative situation or even a vacuum and it will result in  . . . nothing!

Remember that every action causes a (re) action.  So get busy, get moving, get actioned!

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

Friday, October 18, 2019

HR 101 – Is Cannabis Legal in the Workplace & Other Recipes.

HR 101 – Is Cannabis Legal in the Workplace & Other Recipes.

By Guest Writer Dyonne Modlin for Nikki Viljoen of Viljoen Consulting (Pty) Ltd

Please note that this applies to South African Labour and Best Practice Requirements

Dyonne Modlin is the Founder and Owner of Lateral Labour and she is both a colleague and a good friend.  I have known Dyonne for many years now and I have never met a more clued up person in terms of HR.  In fact, most of what I teach and write about, I have learnt from her.  So when she sent this out the other day, I immediately requested permission to send it out as one of my daily (or rather weekly HR) blogs.  Enjoy the different spin on what is usually a very serious subject.  Thank you Dyonne for graciously allowing me to reproduce your mail here.

Dear Clients, Friends and Colleagues,
I haven’t sent out one of these for many years, but have recently experienced such a thought-provoking melting pot of cases that I believe I should make the effort to update (your recipe books and share some of the recent ingredients that have come across my plate. I have organized these into dishes and recipes for those amongst you who have no appetite for reams of hard core law reading (sincere apologies to my colleagues in this group , I have listed the relevant citations at the bottom for your future reading pleasure)

DISH 1 - Smoke it up
The recent Prince judgement effectively legalized the personal use of cannabis and the Constitutional Court gave Parliament a 2 year period to align other legislature with this ruling. This controversial dish has many employers wandering what to do if their employees test positive for cannabis when the law no longer considers this ingredient to be illegal and as such, positive drug tests no longer result in workplace charges for the use of illegal substances. It is common sense for even the basic cook that the work environment does not amount to a personal one, however, the question that begs asking is whether it is still “safe” to dismiss an employee for the presence of cannabis in his or her system.
There are a number of ways to test for cannabis including urine, hair and blood analysis. Traces of cannabis can be detected for up to 10 days to six months after use and it follows that an employee that legally used cannabis on a Friday evening is likely to show traces of the drug if tested at work on a Monday, even though no longer under the influence, and unlikely to be impaired.

The Recipe

The short answer is that yes, employers can still safely dismiss for positive cannabis results on the basis that the employee willfully disregarded the Company safety rules, as long as they follow the recipe properly:

Step 1: Have a substance abuse policy in place with a zero tolerance clause (it also wouldn’t hurt to incorporate this clause into your contracts) that clearly spells out the dismissible nature of a positive result.
Step 2: Mix in consent for testing and consistent application of testing (non-discrimination).
Step 3: Swiftly add a disciplinary code that stipulates the severity of the offence and boil slowly with safety procedures that outline the same.
Step 4: Apply the usual procedural and substantive ingredients to the disciplinary hearing

NB: Don’t mix recipes – If the employee admits to a substance abuse problem, this is an incapacity recipe and is not the same as misconduct (a counselling recipe is required for incapacity)

DISH 2 - Spice it up, or don’t?

Most employers and many HR/IR practitioners have flopped the recipe on the correct charges on at least one (probably a costly one) occasion in the past, which is the reason that a recent Labour Court ruling (Xstrata and NUM) made for an exciting dish. In a review matter, the LC decided in summary that the arbitration award of a commissioner who based his decision on the fairness of the respondents’ dismissal on their charges and not on the reasons for their dismissal, leading the commissioner to reach an unreasonable decision that may be reviewed and set aside. This is good news for employers and HR practitioners because the back to basics approach allows for less legalistic allegations and hearings.

The Recipe
Step 1:            Make sure your disciplinary code is simple and user friendly so that the Line Manager seeking the correct charge does not need a degree in cooking (or rocket) science
Step 2:            Mix with a dose of Line Management that are adequately trained in the initiating and chairing of inquiries or ensure all charged are vetted by properly trained IR Practitioners.
Step 3:            The simplest recipes always turn out best, so keep the charges to the facts and leave the fancy word icing off this cake.

As a final cooking tip - If at first you don’t succeed, don’t try again…..

The Labour Court again confirmed (Opperman) what your HR Practitioner has been telling you for years now. The Chairperson of an Appeal Process cannot impose a harsher sanction than the original chairperson. In fact, if your Disciplinary Code still has an appeal procedure, consider removing it or applying special provisions like…only applicable where a hearing occurred in the absence of the employee.

Cases:

Mthembu and others / NCT Durban Wood Chips [2019] 4 BALR 369 CCMA
Opperman v CCMA and Others (C530/2014) [2016] ZALCCT 29; (2017) 38 ILJ 242 (LC) (17 August 2016)
Xstrata South Africa (Proprietary) Limited - Thorncliffe Mine v NUM obo Mphofelo and Others (JR1091/2011) [2018] ZALCJHB

Looking forward to sharing further exciting developments and, as usual, don’t hesitate to contact me if you have any questions (or would like to learn how to cook up different dishes😊)
Dyonne can be contacted on  083 327 3965 or her email address dyonne@laterallabour.co.za.

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


Thursday, October 17, 2019

Leadership 101 - The Role and Responsibility of Directors – Part 6

Leadership 101 - The Role and Responsibility of Directors – Part 6

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd

Please note that this pertains to South African Legislation, the King Requirements and Best Practice.

Today we are having a look at the compliance requirements with the various Laws, rules, Codes and Standards.

Let me just say from the beginning that whilst I understand that most people have a problem with the number of rules and regulations that we have to contend with, the reality is that there is no little office somewhere where people have been employed solely to make up and write laws to make life as difficult as possible for us.  The reality is that generally speaking the laws are written to right an actual transgression and that usually the transgressions come from the Corporate world. The reality is that often the laws were written to protect us from our own stupidity.

- Firstly of course, we need to identify the laws and the regulations and their relevant obligations that are applicable to your business. Please remember that there are also non-binding rules and standards that would also apply.

Non-binding rules and standards, although not legally binding are often based on ‘best practice’ requirements and are therefore really useful.

Clearly some research needs to be done to see what has to be done (not negotiable) and some that you can use if you want to (negotiable).

- It is necessary to ensure that not only do the members of the Board understand the requirements both for the legal requirements and the ‘non-bonding’ elements, but that they need to be advised on the changes as and when they are updated or when new laws are promulgated.

- The implementation of compliance policies and to ensure that there is regular monitoring with regard to the compliance of policy through regular updated governance structures must take place.  This item should also be included on the agenda for all general Board Meetings.

- The compliance risk should be properly and adequately managed through the risk management process that has been approved and adopted.

- It is important to ensure that the compliance is encapsulated into all the operations and processes as well as the culture and ethical conduct of the business and throughout the organization.

- Appointing a Compliance Officer or establishing a compliance type function (e.g. internal audit and risk departments) to ensure that there is management of risk and compliance where possible is beneficial.

- Having all of the above is fantastic! However that said, if there are no consequences and if there are fines or penalties imposed on repeat offenders then of course the effectiveness of the compliance will come into question.

I am pretty sure that you are now starting to become aware of the many factors and facets to becoming a Director.

Next time we will look at a few more.

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

Wednesday, October 16, 2019

Networking 101 - Take Time to Take it all in.

Networking 101 - Take Time to Take it all in.

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

I attended a workshop some time ago that was facilitated by Iain Johnston of Iain Johnston Consulting (http://www.ijc.co.za ) .  What an interesting time I had and I also got some great tips on all sorts of things from him too.

One of these tips was something along the lines of – when engaged in dialogue with someone, wait for 5 seconds after they have finished talking before you respond with your own comments.

There are several reasons for this, but one of the most important ones is that the other person really feels that, not have you heard everything that they have said, but that you are also really thoughtfully considering what they have said before you respond.  It’s like you are weighing up their words carefully.

It also makes them feel that you have taken a real interest in what they have to say rather than just waiting for them to pause for a breath before you jump right in with whatever you have to say.

In reality, what it actually does do, is give you a chance to formulate an intelligent response to what has just been said rather than you making a complete toss of yourself by firing off a response before you have even heard the end of the sentence.

I know that I am very guilty of this and always seem to be in a hurry to have my say.  Truth be told though, the other person also has the right to be heard and probably also has the same desire as I do, to be heard.

Jumping right off the mark like that may well mean that I get to ‘say my say’ really quickly, but it will not guarantee that my say is actually heard or even that if it is heard that it is understood and quite frankly what is the point of me having my say if it is not heard or understood.

So a huge big thank you to Iain for making me aware of this and in my new found awareness, my understanding of the fact that by slowing down and pausing before I jump right in, I will be Networking far more effectively.

By Networking more effectively, I will be building better and stronger relationships and better and stronger relationships will result in more and more sustainable business coming my way.

Bottom line, slow down – smell the roses, drink and savour the coffee.  Life was not meant to be lived at break neck speed.

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

Tuesday, October 15, 2019

Business Tips – Why Twitter – Part 2

Business Tips  – Why Twitter – Part 2

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd

Everyone is ‘twittering’ about twitter!  From what I have heard, it is often asked “what is twitter” or “how does it work?” and my personal favorite “What are you doing?”

Those of us who use social networking as a marketing tool, this last question is often seen on sites like Facebook, or MySpace or Linked in.  The fact of the matter is that people are interested in learning more about you – be that in your personal capacity or in your business capacity.  That’s just human nature – we are a curious species.

So for me it makes perfect sense to use Twitter as a marketing tool.  As individuals “follow me” on twitter, so they link into my website and my blogs.  If they like what they read, chances are that they will start looking out for my daily link and many of them don’t even wait to do that, they signup on the website to get the blogs sent to them on a daily basis.  How cool is that?

Now, I’m not saying that everyone who “follows me” will be interested in all of the articles that I write, but since (in my opinion) there is something for everyone, it stands to reason that as I link up to people who I follow and then they follow me – more and more traffic is driven to my website and we could all do with that, I am sure you will agree!

From a marketing point of view, those who “follow me” on twitter have found something in my articles that interest them – this of course means that they are my ‘target market’.  Here’s another cool thing – not only are these individuals looking at my information, but I am also looking at their information.  Not only am I making a difference in their lives, but they are also making a difference to and adding value to mine.

What an incredible way to collaborate!  What an incredible way to interact with and meet new people!

Man, I love technology – yes, I know that I always say that I am a technophobe (but that is because I don’t understand the technical terminology) and that I don’t always understand it, but I do know, a little bit about what it does and I sure do love it!

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

Monday, October 14, 2019

Inspiration – Creating Opportunities

Inspiration –  Creating Opportunities

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

Bruce Lee said “To hell with circumstances, I create opportunities!”

This statement really carries a punch for me!  To be quite honest, I am really fed up with a number of people at the moment.  I am seriously sick and tired of people with begging bowls who seem think that it is my ‘job’ to provide for them.  To hold their hands, or put money into their pockets or even to supply them with solutions to their problems because – well because they were previously disadvantaged – or their circumstances were not the same as mine (not that they have a cooking clue about my circumstances you understand).  It’s just expected.

I have just had a meeting with a young chap, let’s call him George – who read an article in a magazine, where I was interviewed.  Apparently, as I am given to understand it as I have not seen the article in question, I help people to start businesses – I suppose that’s a pretty fair (although very broad) statement of what I do.

So his opening request is “I want you to write a business proposal for me”.  Now, no-where on anything that I have ever written, have I offered writing business proposals for anyone, irrespective of whether I am being paid for the service or not.

To cut a very long, painful and frustrating conversation short – the story is as follows:

George used to work in a fish and chip shop – peeling potatoes for the chips, so he thinks that it might be a good idea to open up a fish and chip shop.  Nothing wrong with that dream, I hear you saying.  Here’s the problem, he has done no research, never managed anything, never employed any staff, never done any other kind of work in a ‘fast food’ type environment and he has no money to put down.  So clearly that turned out to not be such a good idea.

So his next plan was that he had worked as a volunteer in a clinic – he says, doing counseling, (but he has no education to speak of), around HIV and STD’s.  I suspect (and I say suspect, because getting any information was like pulling hen’s teeth or dancing between the raindrops), that he spoke about the use of condoms rather than actually counseling someone with HIV or aids or any of the STD’s.  George apparently worked there for 6 months, so now – how about he opens a clinic!  I mean for goodness sake!  The only research that he has done is to ascertain that the ‘government says that they will fund it’!

George registered an NGO 14 months ago and now he wants me to write a proposal to government because ‘they must fund it’!

Currently he is ‘working with fibre optics’ and when I asked the probing questions I discovered that what he is actually doing is laying cables in the trenches – well not today he wasn’t, today he was wasting my time and irritating me because that seems to be his right because his “circumstances” growing up were less than mine!  It’s his right because he was previously disadvantaged – although the fact that I am currently disadvantaged is not something that he wanted to talk about!

George’s parting comment as he prepared to leave was that “he can see that he needs to do some research, but eish, it’s hard and when I have done the research I will contact you so that you can tell me what to do next!”  My response “Sure okay, but my hourly rate is …….  And the next meeting you will have to pay for in advance.”

My circumstances – well they made me work harder, something that I still do to this day.  I started working after school and on the weekends at 13 and by the time I was 15, I went to court to have myself legally declared an emancipated minor.  I had my own flat that I paid for and that I worked for. Sure I’ve had help along the way, but it has always been help that I reciprocated.  I have made my own way, watched out for opportunities or made my own.  I’ve come really far but I can say with all honesty, I have paid to get here.

Perhaps I have done it the hard way around, perhaps I should have sat on my arse with my begging bowl extended and bemoaned my particular set of circumstances and demanded that my expectations be met off the backs and hard work of others.

The problem with that though is the fact that I would then never have been  . . . .  well me!

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

Friday, October 11, 2019

HR 101 - When You Want to Hire Staff – Part 3

HR 101 - When You Want to Hire Staff – Part 3

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

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

Last time we had a look at how to screen the applicants using the Job Description and today we will progress onto the actual interview.

So there I was left with 3 applicants for the job.  How to choose which one would be the most suitable for the position.

At this point it is not always about the qualifications and the number of years experience – what happens, as in my particular situation where you had 3 individuals who met all the requirements in the job description?  Well at least that is what they said. 

It is extremely important, when you interview someone to have a list of what it is that you want to ask – be sure to ask everyone the same question and have a ‘reason’ why you are asking that question.  For example, when you ask a candidate if they are married and have children – the question is not so that you can ask them out on a date, it is usually asked so that you can ascertain if they have other commitments (outside of the working environment) that will take up their time or asking them what sport they enjoy is not because I want to come and watch them playing their next game, its because I want to know if they play for the Provincial/National team, as that would take them ‘out of the office’ when they go away on tours and the like.

Remember questions like “Are you pregnant?” or “Do you have HIV/Aids?” should not be asked.  Actually, if the truth be told, you can ask any question you like, but if the applicant is of the opinion that they didn’t get the position because of  their answer to that particular question, then you could be in trouble with the Department of Labour as you cannot discriminate against  someone because they are pregnant and you cannot discriminate against someone because they are HIV/Aids positive.  So why bother asking those particular questions unless the position that they are applying for will adversely affect those in that particular position. For me, awarding a score to each answer that is positive for the Company, means that I can reduce their answers to numbers and then the applicant with the highest score would be the winner.  Don’t forget to take into account things like, whether they are able to work as part of a team, your first impression, how they presented themselves, how they spoke or articulated what they wanted to say – these are all very important factors that should also be scored upon.  What do you think of the individual and as a person?  Let’s be honest – if the hair on the back of your neck rises each time you look at them or talk to them, it is not a good idea to hire them, especially if you are going to be working closely with them.  Don’t ever disregard your ‘gut feel’ or your intuition – it may save you many a grey hair in the long run.

Then get them to do a little test – something that they would be expected to do as a matter of course.  If for example you are employing someone who will assist in putting together and running an event -  give them the brief on an event that you have run in the past (take out the clients name and any other confidential information or change the names etc) and get them to give you a list of what they need to do.  Someone who has actually done this before will have no trouble giving you something that makes sense, but someone who is taking a chance will in all probability leave out many of the most fundamental and basic steps.  Getting them to do a little test is one of the quickest ways to ensure that you actually have someone who knows what it is that they are doing as opposed to someone who thinks they know it all.

Finally, once you have made your choice, don’t forget to check those references.  Don’t just call the cell phone number of the person that they say they worked for – look up the Company’s phone number and ask to speak to that person – at least that way you know that they actually work there.  Another tip is to ask to speak to that person’s supervisor/manager.  Do you know how many people give the name and contact details of the person who sat at the desk next to them and not their supervisor or manager? Remember that if you cannot get hold of one or more of their references, there is usually a reason and I promise you it will not be in your favour.  I personally would not employ someone whose references I could not verify.

If you are needing certificates or diplomas – check with the university or learning establishment to make sure that they did in fact get that qualification – this always reminds me of the surgeon who is performing complicated operations who was thrown out of medical school before he qualified.  Don’t believe anything they tell you – check it out and make sure yourself.

Next time we will have a look at a completely new topic.

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


Thursday, October 10, 2019

Leadership 101 - The Role and Responsibility of Directors – Part 5

Leadership 101 - The Role and Responsibility of Directors – Part 5

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd

Please note that this pertains to South African Legislation, the King Requirements and Best Practice.

This time we look specifically at the issues around the Governance of Information Technology.

If we are to look at the PoPI Act (Protection of Personal Information) here in South Africa, we will notice just how important it is to ensure that our IT governance and issues around compliance are measured, monitored and met.

Let’s have a look at some of the questions that Directors should be asking.

1. Who is accountable for the IT decisions that are taken and do you understand how they are taken?  What generally happens is that the infamous “somebody” needs a very important “something” and without any discussion to see where and how the “something” would fit into what you’ve already got, the decision is made and the “Something” is purchased.  It soon becomes evident, however, that the “something: that you’ve purchased, usually at great cost, is not compatible with anything that you already have.

2. In view of the above example it is clearly a very good idea to have an IT governance framework in place.  This should define and support all of the decision models and ensure that there is proper and clear accountability as well as document all of the processes around the issue of governance.

3. Is there a budget for IT investment and do you understand how and where that investment is to be utilized?

4. Are you in compliance with the PoPI Act in terms of your client information?  Don’t forget that your own IP (Intellectual Property) also needs to be protected too.

5. Aside from PoPI, are all the other rules, standards, codes & compliance regulations adhered to as well.

6. Is your IT value measured and if so how?

7. Are the current IT risks and concerns regularly communicated to the Board?

8. Is there regular feedback on progress on all major IT projects or current challenges?

Again, as you can see there are a huge number of issues that need to be managed, measured and resolved and it is of the utmost importance that the compliance and the best practice methodology around your IT requirements are taken seriously and implemented.

Next time we will have a look at some of the Compliance requirements around Laws, rules, codes and standards

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

Wednesday, October 09, 2019

Networking 101 - Prepare your Elevator Speech

Networking 101 - Prepare your Elevator Speech

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

Dr. Renate Volpe, in her nugget cards entitled “Networking Tips” says:

“Prepare your elevator speech.  Who are you?  Where do you work?  What benefit is what you do to the person you are speaking with?”

There seems to a great deal of confusion as to what information should be included in an elevator pitch.  Before I go into more detail about what it is, let me just be clear about exactly what it isn’t.

It is NOT an opportunity for you to tell your life story, explain in minute detail how you got to the point in your life where you currently are.  It is not about your hopes, your dreams and your aspirations.

Now that I have gotten that off my chest – what it is, is a short one to two liner exactly as Renate lists it.

What is your name?
Who do you work for?
What do you do?
What is the benefit of your product or service?

It really is that simple – any more and your elevator speech becomes a lecture – any less and in all probability, no one will understand what it is that you are trying to get across.

Here’s the thing though – you really have to have something that sets you apart from the rest and you really have to practice it so that when you deliver it in front of a huge crowd of people, you sound like you know what you are talking about.

Imagine if you will, a room full of people and there are 5 bookkeepers.   What makes each one unique and believe me they are?  It might be that one specializes in tax or one deals mainly with payroll issues or one helps people to manage their own books.  Whatever sets you apart from the rest is “what is key” to your elevator pitch.  Whether it is something that is unique to your product or service or you or whether you make a statement that gets people thinking or makes them want to know more about you and what it is that you do – it’s about what makes you different.

Remember to keep it short – no more than 30 seconds or so.  Also, remember to keep it real – your integrity and credibility should never be in question or be brought into disrepute.

Now – where is that mirror to practice in front of?

For more information on Renate, please visit her website at http://www.drrenatevolpe.co.za

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

Tuesday, October 08, 2019

Business Tips – Why Twitter – Part 1

Business Tips – Why Twitter – Part 1

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd

For the last couple of years now, I have been listening to all the hype about “Twitter” and “Tweeting” and “Tweets” and “Twits” so on.  Actually, now that I think about it, my technophobia aside – I really do love technology, I love the world that it opens up to me.  The fact that I am not sure how the technical side of things work doesn’t really phase me at all.  I do know that “Twitter” is another form of international communication and what I really love about it is that it allows me to put a one-liner up which will drive a considerable number of people to my website.

For example, on a daily basis I tweet – Today’s blog (and then the title of the blog), add the URL address of my website and that’s it.  Looking at the statistics afterwards shows me exactly how many people come to visit my website and they usually stay for a while and look around.  How do I know this?  Well the stats show that the average time anyone spends on my website is in excess of 5 minutes.  See, my website is very content rich with loads of information that pertains mostly to SMME’s (small, medium, micro enterprise), Entrepreneurs and start ups but actually in general to everyone.  The information is presented in bite sized chunks, with my own brand of humour and I know that many have not only learnt something but have also enjoyed a chuckle whilst doing so – and that’s always a bonus.

I also know that when I started the whole ‘twitter’ scenario, I was addicted.  I couldn’t get enough of the site.  I found myself standing in a queue and instead of reading my book (which is what I used to do), I would be logging onto the site via my phone to see ‘who had posted what tweets’ – it was an exciting time of information overload.  Back at the office, I found myself logging onto the site at every opportunity and found myself going from one site to the other as I devoured all the information that others had so thoughtfully found and shared with me.

Reality hit me really hard one day, when I got up and it was still dark outside.  I did the daily things that are routine to me and immediately logged onto the site.  During the course of the day, I felt hungry and thirsty but every time I wanted to get up and get something to eat or drink, I found myself caught up in whatever it was that I was reading and thought ‘as soon as I finish this article I will go and get (insert food or drink here)’.  Of course I got so involved that getting something to eat or drink just never happened.  After what seemed like a couple of hours, not long at all, I suddenly realized that it had gone very dark and I thought it must be because there was going to be a Highveld storm.  One of those that we are famous for – you know when suddenly the thick black clouds come over and then the rain comes down in sheets for about 10 minutes and then the sun comes out to play again?  Sadly it wasn’t!  What it was, was the onset of night – in fact it was after 7pm.  I had sat in front of my computer playing on twitter and going from site to side from around 5.30am to after 7pm without eating or drinking anything.  Needless to say, no work had been done for the day either and I gave myself a helleva fright.

The solution to the problem of course was clear, I went out and bought myself one of those oven timer clocks and limited my use of twitter to 15 minutes a day.  When the clock alarm goes off, it doesn’t matter where I am and what I am reading, I have to close the site down!  Addictive it is and I am not the only one to say this either!

Over the next couple of weeks, I will be sharing some of the things that you can do with Twitter – I hope you will stick around and enjoy the journey with me.

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

Monday, October 07, 2019

Inspiration - Born an Original

Inspiration - Born an Original

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

Today’s quote comes from John Mason who says “You were born an original.   Don't die a copy.”

What a statement!  How succinctly stated!

Think about it for a moment.  As youngsters in school, we all want to dress the same and be the same as everyone around us.  Primarily to ‘fit in’ I suspect.  I am sure we have not only, not all heard the words, “but Jane’s mother bought her one” – but also uttered them at some stage in our lives.

Then come the teenage rebellion years and we all profess to ‘wanting to be different’, yet we are all the same.  Many of our actions are really confused in that we often pull what we want and/or need and/or desire towards us with one hand, whilst pushing it away with the other.  How many of us have yearned for the soft re-assurance of a touch or a spoken word from someone that we love and instead of making our feelings known we have lashed out to hurt them and push them away – sounds familiar doesn’t it?  Well it makes us just the same as everyone else. 

Then comes the work place – many of us paid our ‘school fees’ in the banking world. Yes it’s true, every second person that I speak to, at some point in their lives have worked in the bank.  Go figure!  So much for being different!

At some point in our lives, many of us take that huge leap of faith, have a mini crisis or whatever you would like to call it and . . .  wait for it . . . .  we started our own businesses!  How difficult was that!  So how different does that make us – not much from where I am looking right now.

Then comes the crunch – we actually succeed!  Yes, we do become a statistic – but it’s a statistic of the best kind.  You see against all odds, against all the numbers or perhaps I should say in spite of it all – we succeed!  Not only do we succeed, but we become rich beyond all expectation – now that certainly makes us different.  The question has got to be why?

You see, it doesn’t matter how strangely we dress, how strangely we behave we are all similar.  What makes us different is how we think of ourselves.  Those who dare to dream and visualize in the positive are different from the rest and those are the ones who will be different and who will succeed!

So tell me, are you an Original or are you a copy?

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

Friday, October 04, 2019

HR 101 - When You Want to Hire Staff – Part 2

HR 101 - When You Want to Hire Staff – Part 2

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

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

Last time we had a look at ascertaining whether we really did need to hire staff or not, as well as ‘how to’ ensure that we were hiring them for a specific purpose (being the right purpose) and not just because there was a body available and we felt sorry for them.  This time we look at the next steps to take.

Ok, so now you have set up the job spec and posted the information where - ever you can think of on the web, at your local supermarkets - just generally all over.  Suddenly, it’s as if the flood gates have opened and you are flooded with e-mails and CV’s.  Everyone is looking for a job (whether they are actually qualified to do it or not is something else altogether).  You will be able to tell at first glance (and I mean glance – don’t do more than that at this stage) who may be (and I stress MAY be) suitable and who definitely isn’t.  Here’s a true story:

I was looking for a Financial Administrator for one of my clients.  The job spec was really very clear, to the point that we stipulated that the applicant should be a qualified CA (chartered accountant) with a minimum of 5 years working experience in a Financial environment.  One of the applicants we got a CV from (and there were over 700 applicants for the position) was working as a Financial Planner in one of the banks – she didn’t even have basic bookkeeping as a subject at school.  Curious I contacted her and asked her why she even responded since she was clearly not at all qualified for the position.  Her response “well I work in a financial planning department in the bank, so how difficult can it be”?  Not too difficult I guess, if you have done the study for 3 or 4 years and qualified and done the year long stint as an ‘Article Clerk’ and then actually worked in a Financial department (and no Financial Planning is not a Financial Environment – it is an Insurance environment) for no less than the required period!

Once you have gotten rid of all the nonsense, it is time to take a more serious look at what is left (I was left with around 20 at this point).  I usually draw up a check list of sorts, of the requirements that are needed for the job and then as I work through the CV’s, I tick off what they have.  For me, the applicant needs to have at least 80% of the requirements before I even start interviewing and of those some are not even negotiable.  As in the above example – certainly the applicant having the required qualification, is not negotiable, but the applicant having say four years experience instead of the required five, would have been a point that I would have been happy to negotiate.  After performing this particular task, I was left with 3 people to interview.

Next time we will have a look at the next step.

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



Thursday, October 03, 2019

Leadership 101 - The Role and Responsibility of Directors – Part 4

Leadership 101 - The Role and Responsibility of Directors – Part 4

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd - 

Please note that this pertains to South African Legislation, the King Requirements and Best Practice.

Today we are looking specifically at the issues around the Governance of Risk

Now before we start getting into the detail and the specifics of this, the reality is that every business has risk!  Actually let me take that one step further – every aspect of business has its’ own risk! It makes no difference what type of business you are in or what industry you are in, every single aspect of the business will have an element of risk attached to it.

Part of the Directors leadership and responsibility role should be in the prevention and management of these risks and to be effective they would of course need to ensure that the activities around risk remain within the realities of the challenges of the company’s business.

Some of the questions that the directors should be asking are (but not limited to):-

1. Do we understand what the risk is?  Let’s face it, you can’t prevent or manage something that you don’t know about and the fact is that very few Directors are even aware of what the risks are, let alone how to either prevent them or manage them.  So clearly the research has to be done because ultimately whether or not they are aware of the risks, they will be held accountable for the consequences of those risks.

2. Then of course there are risks and there are RISKS!  Some are minor irritations, some have major consequences and the majority are usually somewhere in the middle between the two.  Understanding the risk means that you should understand the consequence and understanding the consequence means that you will be better able to set a ‘reasonable’ level of tolerance that can be applied to each risk.

3. Following on from the previous question - are the biggest risk exposures to the organization being managed and more importantly how do you know if they are being adequately managed?  Are there measurements in place to determine this?

4. How often are risk assessments performed and how often do directors participate in any way in these assessments? Remember business trends and markets are constantly changing and evolving and the risks need to be assessed regularly to ensure that they are being properly managed.

5. Are the same risk related issues repeated, raised and discussed in the various management, governance, committee and sub-committee meetings?  If so what steps are being taken to bring resolution to closure into the picture?

6. What about the ICT (Information, Communication and Technology) risk – is that also considered in the risk management process?

7. Is compliance risk covered and properly managed?

8. Are the risks prioritized and inserted into an action plan with realistic achievement dates?

9. Are all the risks that are “outside” of the Board’s tolerance levels focused on in order for solutions and interventions to be implemented and properly managed and effectively measured?

10. Is the planned and documented risk management plan in place and is this regularly updated and who manages this?

11. Is there a fraud risk plan in place to assess fraud prevention and exposure and who manages this?

12. Does your disclosure accurately reflect the actual position of your company?

As you can see these are very deep and detailed questions that require a fair amount of research and work, not only from the Directors themselves, but also from both internal and external resources.

Ensuing that you understand what it is that is required will go a long way to making sure that as a Director you contribute positively to a healthy, profitable and sustainable company.

Next time we will look specifically at the issues around the governance of Information Technology.

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

Wednesday, October 02, 2019

Networking 101 - First Impressions

Networking 101 - First Impressions

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

Dr. Renate Volpe, in her nugget cards entitled “Networking Tips” says:

“First impressions are important.  Make them work for you”.

I am often reminded by the various image consultants in my data base, of the fact that we have about 8 seconds or thereabouts to make an impression.

For me though, there are several ‘first’ impressions – visual, auditory and for me the most important of all – the impression you give overall, which is the one that I choose to use.

Think about it for a moment – the first time you actually meet someone you form some sort of impression.  Then if you chat with someone (without ever having met them), you form a completely different idea of the person – usually a visual image that ends up being completely different from the actual visual.

Finally there is an ‘overall’ impression and that can only be brought about over time and as the relationship builds and grows so the impression also changes and evolves (and often not for the better either).

In terms of the ‘visual’ impression – those who belong to the ‘body beautiful’ fraternity are often considered to have an unfair advantage – that said, if you have nothing of consequence to offer other than ‘the body beautiful’, the first impression that you created will not last very long.

By the same token if your ‘auditory’ first impression is also not supported by anything substantial – your relationship will not last.  Any and every impression that you make has to be supported by integrity, credibility and delivery.

Don’t think for a moment though that first impressions don’t mean anything – a good first impression will assist in getting the building of a relationship off to a great start.  Making a bad first impression does not necessarily mean that a relationship cannot be built – what it does mean however, is that the building of a relationship may get off to a very slow start.

Whatever works for you would be the most effective for you – remember though, your credibility, integrity and the fact that you deliver is what will support your ‘impression’ the most effectively.

For more information on Renate, please visit her website at http://www.drrenatevolpe.co.za

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

Tuesday, October 01, 2019

Business Tips – Five Mentoring Tips

Business Tips – Five Mentoring Tips

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd

As many of you may know I am currently working with the Cherie Blair Foundation as a mentor.  One of my fellow mentors, Jenny, shared five of her recommendations for mentors with us.

- “Get down and dirty – you can’t mentor from a distance, you have to get your hands dirty and understand the nitty gritty of what your mentee does”.

Well that sounds like pretty logical advice to me!  The Cherie Blair Foundation mentors and mentees are based literally all over the world and I have yet to come across a mentor mentoring a mentee in their own neck of the woods.  I was matched up to a young lady who originally comes from Kenya, but who now lives Rwanda.  Sure we can’t get ‘up close and personal’ to one another and we rely on SKYPE for our two weekly chats, but the point is that I know exactly what her business is about, what her ‘crisis’ areas are, what her challenges are and how she is or isn’t coping.  It’s all about communication and sharing – her sharing with me and me sharing with her.  I mean really, how could I possibly give someone business advice if I didn’t know the very basics about what business they are in.

- “Open doors – use your connections and your networks to open doors for your mentee.”

The whole idea behind mentoring is about sharing experience and advice and so for me, sharing connections (obviously where appropriate) is also what is called for.  Not only will it benefit your mentee but it will also add value to the person whose details you share.  Networking is a basic resource for any business.

- “Don’t let your mentee off the hook, keep them focused and on track to act.”

Oh thank goodness for this one! I have had several requests from clients as well as colleagues for me to mentor them.  They are really keen to get all the information and experience from me until I tell them that I want a written agenda at least 48 hours before the meeting, that they have to take minutes which must also be given to me prior to the next meeting and that all actions that they have agreed to must have a ‘due by’ date and that those deadlines have to be met.  Remember the whole ‘If you can’t measure it, you can’t manage it’ thing – clearly this applies to mentoring as well.

- “Meet regularly – weekly or bi-monthly to keep the momentum going, the sessions can be short and sweet”

You really cannot monitor what your mentee is doing or give them the correct guidance if you are not communicating on a regular basis.  I have found that 20 to 30 minutes every two weeks is more than sufficient once you get going.  The initial meeting(s) will be a bit longer but then that is because you are getting to know one another and to understand the needs of each other.

- “Be prepared to learn as much as your mentee does”.

This one quite honestly I was not prepared for and one that has had the most impact on my life.  Be prepared to listen, carefully – I did and I am so glad that I did.  I have learnt a huge lesson from my mentee and it’s not one that I will forget!

And a final word from me, give your mentee room to grow – don’t give them everything on a platter – steer them in the right direction, but make them think for themselves, often they will come up with their own solution.  This will strengthen their ability to problem solve and ensure that they do not become reliant on you for every decision that they need to make.

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