Business Tips – Bookkeepers & Financial Year End – Part 2

Business Tips – Bookkeepers & Financial Year End – Part 2

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd

I know that I continually harp on about getting the right bookkeeper/accountant in place – the reason for this is that having the wrong one can end up costing you an arm and a leg.

It is imperative that your bookkeeper/accountant advise you in advance of any changes that will affect you. Imagine the waste of money and resources if the Company owner only found out that the has to pay VAT monthly when he reaches the R35 million turnover per annum mark, 6 months after he has met that particular milestone?  The penalties and interest would be absolutely staggering!

The bookkeeper/accountant must also ensure that you are given monthly financial statements or management reports.  Here’s the thing though, if you are given reports or statements that you have no idea how to read, these reports/statements are actually not worth the paper that they are printed on!  So it is therefore incumbent upon the bookkeeper/accountant to make sure that you understand what it is that they are giving you.  There is no way that you can make an informed decision around the financial aspects of your business if you have no idea about what is going on.

In terms of the law, your Company is obliged to produce Annual Financial Statements.  This is to evidence to SARS (should they ask) what your financial status was during the course of the year and of course, so that the Company taxes can be correctly calculated. This must also be done timeously by your bookkeeper/accountant and they must be signed off correctly in terms of the law.

If, in terms of the law, your books must be audited, then it is the responsibility of the bookkeeper/accountant to assist the auditors with the auditing process and communicate and liaise with the auditors.

All of these issues should be done automatically and timeously by your bookkeeper/accountant, but that said, you – the business owner, remain accountable and responsible, so you need to manage your relationship with your bookkeeper/accountant to ensure that you are kept up to date.

As with most things in life, there are good bookkeeper/accountant’s and bad.  Make sure that whomever you choose is at the very least registered and properly qualified and remember that no matter how brilliant/qualified/professional they are – you are ultimately responsible, so ensure that you, at the very least, pick one that you can build a relationship with and not someone who is just a voice at the other end of the telephone and that you are not just another invoice that has to be raised every month.

Finally – understand that SARS will not accept “ignorance of the law” as a reason for you not doing or paying stuff.  Irrespective of whether or not you have a bookkeeper/accountant who did or didn’t do what needed to be done, it is your responsibility to ensure that things are done and you will be held accountable.

It’s your business at the end of the day and you need to keep your finger on the pulse.

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

Inspiration – Express – Don’t Impress

Inspiration – Express – Don’t Impress

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

Today’s quote comes from E James Rohn, who says “Learn to express rather than impress.  Expressing evokes a ‘me too’ attitude while impressing evokes a ‘so what’ attitude.”

Well this is one that I am very definitely guilty of!  In fact, my usual statement is “and that is my problem – how?” or “tell someone who cares?” and quite frankly at that point in time, that is exactly how it is.  It is not an attitude but rather an opinion.

I guess when you get to my age (now there’s a new one for the books, I never thought that I would say something like that!), you’ve kind of earned your stripes, your bumps and your bruises and there is no longer a need to ‘impress’.  Things just are what they are and for me ‘it just is what it is’.

I often see what happens with the youngsters, who still feel the need to impress and was quietly amused the other day whilst conducting my workshop with a young man (let’s call him Joe) from Cape Town. I conduct a workshop called “A Basic Practical Guide to Starting a Business”. It was a ‘one on one’ kind of training that had been requested and paid for by one of my colleagues who has just started to Franchise his business, and who having been around the block a few times, wanted to make the start up of the business as painless as possible.

As Joe sat down and we started getting into the whole exercise, Joe told me very ‘clearly’ that he had no use for my workshop as he had ‘started several businesses in his lifetime and knows what he is doing!’.  As he rambled on about how many businesses he had opened and run.  I wondered why he was actually sitting in front of me.  When I asked what it was that he actually did, he told me that both he and his wife were working for an employer and it was then that I realized that he had no clue about what he was doing – all of his so called businesses had failed and he was forced to go back to the world of being an employee.  His ego was definitely bruised, and in my opinion would continue to get bruised as he clearly hasn’t learnt the lesson.

My dilemma was therefore one of “do I tell him or don’t I?”  Well, I opted not to tell him.  You see Joe had ‘no use’ for anything that I had to tell him, because he ‘knew everything’ and he was so busy telling me how wonderful he was and how clever he was, that nothing I said would have made any difference at all.  He was very clearly in “impress’ mode.

His workshop was purchased and paid for by someone else though and as I continued my way through it, he interrupted several times, not to ask questions or get clarity, but to tell me how he had handled situations that were similar to the ones that I had raised.  In many of these instances, had he reacted as he said he had, he would have been in trouble with SARS or the Department of Labour.  As I pointed this out – he merely laughed and shrugged his shoulders, clearly very pleased with himself and how clever he had been.  The problem however, is that it was clear to me that as a direct result of his ‘cleverness’ he had lost all of his businesses – the lesson though was clearly ‘lost’ on him.  You see he was in ‘impress’ mode and by this time the only person he was impressing was himself.

Joe, in my opinion, will continue his life in “impress” mode, as that is his mindset – he has not learnt to express himself and at this point, I doubt that he ever will because of his need to impress, at all costs.

Joe, in my opinion, will close the doors to this new business opportunity too, and it will be everyone’s fault but his.  Until Joe realizes and understands that his mindset needs to change, that he cannot know everything that he thinks he knows and that he too needs guidance and help from time to time, he will never be successful at anything.  Until Joe has recognized the fact that he is full of insecurities that need to be dealt with and that he is not so different from the rest of us – he will not move forward in the journey of life.

Joe, will probably never say ‘me too’ to anything in life – he is too hell bent on ‘impressing’.

Is your name also Joe?

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

HR 101 – How to Report Work Related Incidents – Part 2

HR 101 – How to Report Work Related Incidents – Part 2

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

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

Last time we looked at some of the requirements of the Occupational Health and Safety Act (OHSA), in terms of the reporting of incidents that occur in the workplace.

We looked specifically at the reporting requirements around (but not limited to) incidents such as:

- When someone dies
- When someone becomes unconscious
- When someone suffers the loss of a limb or part of a limb
- When someone suffers a permanent physical defect or
- When someone is likely to be unable, for a period of at least 14 days to either work or continue with the activity for which he was employed or is usually employed.

Today we will have a look at some of the other reporting requirements.

In terms of the OHSA subsection (C), the following incidents endangering the health and safety of any person must also be reported to the inspector:-

- Where a dangerous substance was spilled,
- Where the uncontrolled release of any substance under pressure took place
- Where machinery or any part thereof fractured or failed resulting in flying, falling or uncontrolled moving objects or
- Where machinery ran out of control.

So let’s bring on the protagonists.

George owns a furniture manufacturing company. He is preparing for his year-end stock take and is having an ‘end of year’ sale to try and sell all the “older” lines before year end to get as much turnover through the books and also to make space in the warehouse for the new lines and stock that are to be manufactured in the new financial year.

Samuel is a fork lift driver.  He works specifically with the fork lift that has the ‘telescopic’ arms that reaches the highest shelves in the warehouse.

Some of the furniture cannot be palletised and this means that several employees need to be lifted up onto the top shelves to manually move and manover the furniture onto the “telescopic” arms of the fork lift.

John and Simon are at the top of the shelves moving an awkward six seater semi circular lounge suite couch onto the ‘telescopic’ arms of the fork lift. As John moves the couch onto the one arm, he slips and loses his grip on the couch.  To stop himself from falling, although he is secured in a safety harness, he grabs the nearest post and with legs flailing and kicking he manages to pull himself into a more comfortable and secure position.

Unfortunately as he was flailing and kicking he dislodged the couch even further as Samuel moved away from the shelves to give him more room.  The couch is now swinging wildly out of control.

Samuel, in an attempt to try and get John to some sort of safely, tries to move the forklift closer to the shelves, but unfortunately the forklift is long overdue for a service and the gears are slipping and instead of a ‘smooth’ forward slow motion towards the shelves the forklift jerks backwards and stalls snapping the harness that John is attached to and putting John in an even more precarious position as the unexpected forklift movement has dislodged him completely from his position on the shelving and he’s lost his balance.

The jerky movements of the forklift  has also caused the couch to not only swing from side to side, it is now also spinning and John grabs desperately at the legs of the couch in a last ditch attempt to grab onto something . . .  anything to break his fall.

John misses and the last thing he remembers is the terrified look on Simon’s face as he falls some 15 meters to the floor and lands with a sickening resounding thump!

As Simon is leaning over the edge of the shelf and watching his colleague fall to the floor he is not aware of the danger that he is in from the ‘out of control’ couch as it swings wildly.

Suddenly some instinct seems to warn him of danger and as he looks up the couch crashes into him, causing him to lose his balance and he loses his grip on the post and his footing and he also plunges down the same 15 odd meters to the floor.

Samuel, in his panic to control the forklift and the madly swinging and gyrating couch presses the wrong button and the forklift leaps forward driving over the now prone unconscious bodies of Simon and John.

Clearly this is now a very serious situation on multiple issues.

So what has to be reported here?

George obviously needs to take immediate action in terms of the requirements of his staff , the out of control swinging couch and the forklift.

Once the ambulance has arrived and taken care of his two employees,  there are obviously certain requirements in terms of the OHSA that have to be met as well as certain requirements in terms of the Workmen’s Compensation Fund that need to be dealt with in order for the claims to be approved and paid out.

In this instance, the OHSA requirements are that an incident has to be reported when:-

- A person dies or
- A person becomes unconscious or
- A person suffers the loss of a limb or part of a limb or
- A person is otherwise injured or becomes ill to such a degree that he is likely to die or:
• Suffer a permanent physical defect or
• Is likely to be unable to, for a period of at least 14 days, either to work for or continue with the activity for which he was employed or is usually employed.

Don’t forget though, that your report has to contain the following information:

a. The name of the injured person(s);
b. The address of the injured person(s);
c. The name of the user, employer or self-employed person(s);
d. The address of the user, employer or self-employed person(s);
e. The telephone number of the user, employer or self-employed person(s);
f. The name of the contact person
g. The details of the incident
h. What happened
i. Where it happened (place)
j. When it happened (date and time)
k. How it happened and
l. The names of the witnesses.

Also to contained in the report (because machinery was involved)

“Where the machinery ran out of control as a result of the failure of a control or safely equipment and could have caused an injury to a person who had been conveyed on or in such machinery or had been in the vicinity thereof.”

Getting the reports right and submitted correctly and on time will contribute to the effectively of the actions that need to be taken. 

Next time we will look at a 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

Marketing 101 - Making Time To Market – Part 4

Marketing  101 - Making Time To Market – Part 4

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd

As promised last time, here are the last of the ideas, in this particular series, on ‘making time’ to market yourself and your business.

Social Event

Some of my best and even biggest clients have come out of a chance meeting at a social even or when I least expected them.  Let me explain – some years ago now, I was at a club, spending time with friends, laughing and chatting with not a thought of business in mind.  A young chap, standing at the bar on his own, came over and introduced himself.  Turns out he owns two very successful businesses and he has been both client and friend from that day. Chances are that I would not have met him anywhere else as we mix in totally different circles.

Remember though if it is a social occasion, to keep it light.  No-one wants to talk business all the time.  Exchange contact details, exchange cards and then get back to them the next day or at a later stage.

Relax and make it happen

If you are anything like me, you will understand that it is extremely difficult to relax in the normal sense of the word.  For example it is very difficult for me to even contemplate sitting at the beach for a couple of hours or lying next to the pool, soaking up the sunshine – my mind would completely rebel at such inactivity.

For me this would be the ideal opportunity to update my data base or plan new marketing strategies or to re-evaluate plans or goals or even for me to  write a couple of articles for my blog.  Whilst my body does need to relax, my mind still feels the need to be active and it is something that I cannot just ‘shut down’.

As you can see there are many small, yet effective ways in which to include your marketing requirements in your everyday activities.

The secret is to be innovative, be creative and just do 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

Networking 101 - Always be respectful

Networking 101 - Always be respectful

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

One of the things that I always tell people when I Network, is that they need to treat people in the same manner that they themselves would like to be treated – it’s common courtesy and I promise you it will go a long way towards building good relationships.  Actually if the truth be told, it is essential to treat all relationships like this, not just your Networking relationships – so that means your referral sources (usually to be found when Networking), your prospective clients, your current clients, your suppliers (who knows – one day they may very well become your clients too) your partners and so on.

We all have our own way of doing things and we all have our own personalities and as much as we would like people to understand how and why we do the things in the way that we do them, so too should we try and understand why people do things the way that they do them.  Remember though that you are the one looking for the referral, so you are the one that has to make the most compromise and bend over backwards the furtherest.

Try and find out as much as you can about your prospect.  The internet is a great place to find as much information as there is available.  Knowing the likes and dislikes of your prospect will mean that you are in a far better position to answer questions and give the requested information, without alienating anyone.

The secret of turning a referral prospect into a current client is to find, develop and use all the tools that you can.  It may be as simple as finding the right venue for your first meeting to how you present yourself in your personal capacity and how professional you are in your work space.

Getting yourself connected to some local (in South Africa) Networking groups such as (but not limited to) Business Engage (http://www.businessengage.co.za) or the Real Entrepreneur (http://www.entrepreneur.co.za) or even the local chambers, and making sure that you attend the various functions, workshops and Networking events will ensure that you have a constant supply of referrals and also prospects.

Remember that you don’t have to just Network with like minded people, but that there are a number of diverse people out there that could possibly surprise you with who they are connected to.

Above all, remember to have fun!

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

Business Tips – Bookkeepers & Financial Year End – Part 1

Business Tips – Bookkeepers & Financial Year End – Part 1

By Nikki Viljoen – Viljoen Consulting (Pty)

I’m really getting to the point where I am beginning to feel like I am ‘sounding like a broken record’!  Problem is that many SME’s don’t seem to be listening and that is really sad.

Every day I meet people who haven’t listened and who are now paying the price and I mean “paying” in every sense of the word.  People who are trying to negotiate payment plans with SARS and people who are trying to hide from the Sherriff of the court, who has arrived to attach their possessions and even people who have had to liquidate their businesses and their stories are all the same – they didn’t understand or know how to do the finances of their businesses.

If only they had listened!

Sure a good bookkeeper/accountant will cost you money.  Sure there will be administration that you will need to do on a daily/weekly/monthly and annual basis, but look at what you have to gain from than – a business where you actually know what’s going on!  For me there’s actually nothing worse than not knowing where I am financially.

Here are some of the things that a good bookkeeper/accountant should be doing for you (so NO, it’s not just about the numbers, it’s also about delivering a good service and understanding your business too).

Your bookkeeper/accountant should ensure that you are properly registered – not only as a company but with all the different legislative bodies that you need to be registered with.  You don’t automatically have to be registered with all of them as some of them are industry specific.  For example if you run a pub or bar or restaurant, you would need to have  a liquor license but if you run a book store you wouldn’t.  If you have staff, you need to be registered as an employer both with SARS and the Department of Labour, and so on.  Your bookkeeper/accountant would need to ensure that you are properly registered and that your annual fees (where applicable) are paid and up to date.

The bookkeeper/accountant should also ensure that your books are maintained on a monthly basis and that they are accurate and calculated and recorded and documented in compliance with the GAAP (Generally accepted accounting principles) requirements.

It is the responsibility of the bookkeeper/accountant to ensure that the monthly/bi-monthly and annual statutory requirements are met on or before the deadlines.

As most of you know by now, there have been many changes to legislation over the last few months, but here’s the thing – legislation changes all the time.  Your bookkeeper/accountant needs to keep up to date with, not only all the changes that have taken place, but also the changes that are being proposed for the future.  The bookkeeper/accountant should be keeping you up to date with all of the changes, especially in terms of SARS (VAT and Tax).  Changes in these two elements could have a financial implication on your company if they are not correctly and timeously implemented.

Next time we will look at some additional issues that your bookkeeper/accountant should keep you informed about.

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

Inspiration - Education

Inspiration -  Education

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

Today’s quote comes from Oscar Wilde who said “Education is an admirable thing, but it is well to remember from time to time that nothing that is worth knowing can be taught.”

Well ain’t that the truth.  Most of the biggest lessons that we learn in life comes from experience.  Having said that, I am often astounded by the fact that some people feel that it’s necessary to ‘experience’ every single lesson that they think that they need to learn!  How sad!  It is written somewhere (I’m sure) that we are permitted to learn from the experiences of others from time to time.  Then of course there are some people who live life furiously and actually never even get the plot!  Shame, that must be very frustrating (depending of course if they understand that they have missed the boat completely!)

For me this is about being a mentee and a mentor.  It is really important for me to have someone in my life that I can learn some of life’s lessons from and it is equally important for me to be someone in someone else’s life to guide and help them learn life’s lessons.  It’s about giving back to the Universe.  We can’t always just be the taker’s, we also need to give back.

My mentor is a  lady by the name of Vanessa Paige, and she, in my opinion, is absolutely fantastic!  She tells it exactly like it is and although I often don’t really want to hear what she has to say, I absolutely need to hear it.  She doesn’t pull any punches and she has saved me years and years of living some of life’s hardest knocks.

Vanessa has also taught me how to take care of myself (and I don’t mean with my fists), teaching me about things like ‘self worth’ and ‘confidence in my own abilities’ and so on.  These are definitely things that you don’t learn in any book, but are intrinsically valuable to the human soul.

Some of these ‘life lessons’ are extremely hard for me to learn and as I struggle with my own personal demons, I am often aware that she is standing quietly in the wings, just waiting patiently for me to grasp and embrace the lesson.  I know that she is always there to help pick me up and dust me off, when I fall over, and without her this journey we call life would have been very different and way more difficult.  For that I will always be grateful and I can only hope that I am the kind of mentor to my mentee’s that she has been mentor to me!  What a challenge that is, and how self rewarding it will be when I get it right.

So to all of you out there I say, embrace life’s lessons and then ‘play it forward’ and teach it to others.

Live life, Love life and embrace your own uniqueness.

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

HR 101 – How to Report Work Related Incidents – Part 1

HR 101 – How to Report Work Related Incidents – Part 1

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

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

The Occupational Health and Safety Act (OHSA) has several requirements in terms of the reporting of incidents that occur in the workplace.

Let’s have a look at some of these through our protagonists.

Mike has a Postnet store in a busy mall.  He supplies certain stationary as well as services related to business operations such as (but not limited to):

- Photocopying of documents
- Binding of manuals
- Faxing
- E-mails and internet usage

Joe is one of the employees who works on the counter.

A client enters the store and wants 200 manuals copied and bound.  There are two items on each page so the pages therefore have to be cut in half before they are all bound.

Joe works quickly and efficiently for a while until, whilst he is busy with the guillotine cutting the pages in two he notices something lying on the floor.  Without thinking about what he is doing, he steps back to pick it up off the floor and the guillotine handle drops with a loud thud, cutting the back of his hand badly and severing his pinky finger.  There is blood everywhere and some of the female staff are screaming with fright.  Joe, shakily looks down at his damaged hand in disbelief and reacts to the sight of so much blood by promptly fainting!  As he falls down one of the female staff, Lizzy, tries to assist him but trips over a box of photocopy paper and falls down hitting her head on the corner of the Photostat machine.

There are now two unconscious individuals lying on the floor with blood everywhere!

So what has to be reported?

Clearly Mike needs to take immediate action in terms of the medical requirements of his staff.  Once the ambulance has arrived and taken care of the two staff, there are obviously certain requirements in terms of OHSA that have to be met as well as certain requirements in terms of the Workmen’s Compensation Fund that need to be dealt with in order for the claims to be approved and paid out.

OHSA states that an incident has to be reported when:

- A person dies or
- A person becomes unconscious or
- A person suffers the loss of a limb or part of a limb or
- A person is otherwise injured or becomes ill to such a degree that he is likely either to die or
• Suffer a permanent physical defect or
• Is likely to be unable for a period of at least 14 days either to work or continue with the activity for which he was employed or is usually employed.

Mike of course now has to provide two reports - one being for Joe who was unconscious and who may also lose part of a limb and one for Lizzy who was knocked unconscious.

Both Joe and Lizzy were at work performing  their normal work duties when the incident took place so therefore both are entitled to claim from the Workmen’s Compensation Fund but both incidents also need to be reported in terms of the OHSA requirements.

Next time we will look at some of the other reporting requirements.

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

Marketing 101 - Making Time To Market – Part 3

Marketing 101 - Making Time To Market – Part 3

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd

As promised last time, here are some more ideas on ‘making time’ to market yourself/your business.

Sharing some time over coffee or a meal.

I usually set aside, one day a week to do my networking – this means that I usually can be found on a Thursday having a ‘one-on-one’ meeting with several people that I have briefly met at a networking event or meeting.  Whilst I have my networking meeting and find out what it is that the other person does, I also take the opportunity to do some marketing as well.  On occasion there may be someone that I have already ‘earmarked’ within my data base to meet, or there is a particular person that I want to discuss issues with, or there may be two individuals who I want to introduce to each other and I will, on occasion also invite those people along too.  It gives me an opportunity to ‘catch up’ with a colleague as well as introduce two people, who in all probability should be doing business together.

Over exercise

Those who know me well, know that I am not too keen on the whole exercise thing.  Oh don’t get me wrong, I used to be a sports fanatic and I used to do the gym thing on a daily basis.  Then I started my own business and well, that’s where things went pear-shaped for me in terms of my daily routine – somehow the time just wasn’t there anymore.  That said, there are many of you who love to exercise at the gym or walk or even when you go and watch a game – how about inviting a colleague or someone that you would like to do business with to your exercise class or on your walk or to watch the game with you.  Think about how much business actually gets done on the golf course and use the same opportunity in whatever sport it is that you play or participate in.  You’d be amazed at the results that you can achieve.

More tips next time.

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

Networking 101 - Feeding the Hungry Beast that is Networking

Networking 101 - Feeding the Hungry Beast that is Networking

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

Networking for Entrepreneurs is vital and knowing how to network effectively is an essential skill that all Entrepreneurs and Business people should ensure that they get.

It is extremely important that as an Entrepreneur, you understand the basics.  Networking essentially is about building and maintaining relationships.  So many people that I have encountered along the way seem to be under the impression that Networking is about selling their product or service.  The reality of course, is that very few people go to a Networking event to ‘buy’.  The reality is that if everybody goes to a Networking event to ‘sell’ – there will be very little selling (or buying for that matter) happening.  The reality is that if there is no buying or selling going on – there should be a whole lot of relationship building going on – I mean what else is happening?

Relationship building is essential for and to any business owner.  It strengthens ties between individuals, it builds trust and once trust is established, referrals are made and the ‘loop tape’ starts to play!

One hand washes the other and before you know it, other ‘players’ enter the arena and the circle of influence grows, ever wider, ever bigger, until like myself,  all or most of your business comes out of the Networking environment.

Be warned though, it’s a hungry beast and to be effective, it needs to be fed on a regular basis.  Relationships need time to grow and to maintain them also takes time.  So even in the times of plenty, it is really important to Network constantly, to interact with your circle of influence and to maintain your relationships!

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

Business Tips - Being Your Own Boss – Part 12

Business Tips - Being Your Own Boss – Part 12

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd 

So here we are almost at the end of this particular journey.

Many of the institutions that you will engage with, will almost definitely ask you for your business plan.

By taking you on this particular journey in the manner that I have however, means that I have taught you how to create your own business action plan. How cool is that and not nearly as difficult as you thought it may be.

Although not quite the same as a business plan, your business action plan evidences the research that you have done, whilst explaining what your business is all about. It also gives you a step by step, logical chain of events that will ensure that you grow yourself a strong and sustainable business.

Now all that is left for you to do is to document everything you have learnt in this series and your business action plan will be ready to go.

Don’t forget to start off by defining exactly what your business is and what the main benefits are to your clients or target market.

Make sure that your plan is easy to read and understand by demarcating the various sections and keeping them separate from each other. For example, operational and administrative issues are very different and should be kept apart. Don’t forget to include all the legal/legislative requirements as well as your branding, marketing and sales requirements.

The financial aspects of your business are also extremely important and this should include your pricing module as well as cash flow predictions.

Each step of your business action plan should include the next action step that you intend to take in order for you to achieve your goals.

As your business grows, so too should your business action plan. It should evolve and monitor and even be used as a measurement tool to see what has worked, in order for you to continue to grow your business successfully.

Good luck and remember to always have fun!

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

Inspiration - Dream to Meet Your Goals

Inspiration -  Dream to Meet Your Goals

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

Like most people who own their own businesses, I am very "goal orientated" and again like most people who own their own businesses, those goals can and have changed on a daily basis.

The below advice to put the goals into some sort of order of priority is something that, quite frankly needs to be done!  The way that I find easier to do this type of thing is to have a 10 year, 5 year and then 1 year plan, and at this time I am referring specifically to the work arena. 

Looking forward into my life and into the future for me, makes what I do and how I achieve those goals very important.  So I take the most difficult of all and ask the question - what would I like to be doing in 10 years time.  Where would I like to be in terms of my business and what would I have liked to achieve.  For me these are the 3 most important questions and they are listed separately, with all the bits and pieces going on in rows beneath them.

Once that is complete, I tend to break it down and so here comes the 5 year plan.  Looking at the 10 year plan, many of them are automatically achievable if certain of the other goals are met and brought to fruition, those do not get transferred to the 5 year list, but remain on the 10 year list.  Again what is on the list is broken down into easier to achieve "bite size portions".

Again, once that is complete, I break things down and out of this the 1 year plan is born.  As with the 10 year plan, many of the points on the 5 year plan are automatically achievable if certain goals are met and brought to fruition, those do not get transferred to the 1 year list but remain on the 5 year list.

I now have a list that is 'doable', even if it is somewhat daunting!  Now for me, here comes the challenge.  There may still be goals that are automatically achievable if other goals are met - these are split out from the others and listed to one side.  The remainder of goals are then taken one at a time and what needs to be done to achieve each one is listed as a sub-heading under the goal to be achieved.  These are then given a 'due date' by which they are to be completed - those due dates are diarized, and also put down into my year planner so that they can be seen at a glance.  By checking my year planner on a weekly basis the task can be planned out into daily expectations and what I like to call "mini targets".

I now have a workable solution to something that at the beginning of the exercise, was a hugely daunting, frightening and quite frankly an overwhelming task.

On a daily basis, use your diary, or a journal to record what you have done and what you have achieved or have not achieved and why.  Apart from documenting your life, you are also cleansing your mind and settling emotions!

So what am I saying here . . . .  Well basically it is this - If you want to be a success in life or in business, you have to have a plan!  Issues need to be put into perspective.  You need to achieve your goals, one little step at a time - remember the statement (I forget now who wrote it, but it is very true) that the greatest of journey's begin with a single step.  Note it says step - not leap, or sprint or anything else that you may want to conjure up in your mind's eye.

At the end of the year, take your lists and look at what you have achieved.  Now is also not the time to beat yourself up over what hasn't been achieved!  I have no doubt that you have done this sufficiently during the course of the year.  Remember daily goals have changed to accommodate ever changing needs and there are goals that have been achieved that were not even recorded or considered.  Because of the changes there are also many goals that are now obsolete, so they now no longer feature. 

Adjust your goals for the coming year.  Take time out - I mean quality time with yourself, turnaround and have a look at where you were 12 months ago, what you have achieved and the journey that you have walked.  Pat yourself on the back and give yourself credit for what you have done!  Too often we are too busy bashing our own selves on the head because of what we haven't done, instead of congratulating ourselves and patting ourselves on the back for what we have achieved . . . more often than not with more tasks that had not been on the list than what were.

And remember . . .  focus on the goal that is in front of you - don't gaze into the future and try and complete the 10 year plan in the 1 year space.

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

Marketing 101 - Making Time To Market – Part 2

Marketing 101 - Making Time To Market – Part 2

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd

As promised last time, here are some more ideas on ‘making time’ to market yourself and your business.

Attending Networking Meetings, Workshops & Other Events

Going to events such as these, really gives you an opportunity to tell people who you are and what it is that you do.  Often all that is needed is for someone to start the ball rolling and that someone should be you.  Exchange business cards, listen to what others do and try and match them up with someone in your data base.  Before you know it the favour will be returned and referrals will be flying in  thick and fast.  Try and make it more interesting – take a colleague along with you, you double your value add and your colleague will also have an opportunity to do some marketing of their own.

Traveling

Whether you are on a business trip, and let’s face it we all do that from time to time, or whether you are on holiday – make time to meet a colleague or a client or even a prospective business referral.  Use times such as meal times – this is ideal for someone who is already on business and means that it is one less meal that you need to eat on your own.  If you are on holiday, you still have to eat at some point so it does not take anything away from your holiday time and it is also a great opportunity to find out more about the locals and get great tips on where to eat and what to visit. 

More tips next time.

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

Networking 101 – The Costs Involved

Networking 101 – The Costs Involved

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd - March 2010

Everybody is looking for the ‘good deal’, the great saving, the best discount! Not only in our personal lives, but also in our business lives, stretching the Rand as far as we can has become a way of life.

Yet somehow, there are so many of us who don’t understand the value and cost saving that we have when we Network. Let’s have a look at a ‘cost on cost’ type of situation (Please note that these calculations were done as at March 2010, when this article was originally written)..

Let’s suspend belief for a moment and say that I don’t Network at all, but rather do ‘cold calling’ – my looking for prospects would look something like this:
I would have to telephonically contact all my prospects either off a data base (ok let’s cut costs completely and say that I contact my prospects from the telephone directory). So each and every hour, I would need to contact say between 15 and 20 people. So in an 8 hour day that would mean between120 and 160 people. Of these, I would manage to get appointments with say 5% so that would be between 6 and 8 people. So now I have spent an entire day, which at my current hourly rate is R7 600 (never mind the cost of the telephone calls) and I have set up appointments with between 6 and 8 people who may or may not be interested in doing business with me. None of them have met me, there has not been any ‘engagement’ between us and I would usually have to meet them at their offices which would mean travelling time of say 30 minutes either way and then the hour for the meeting. So my 6 to 8 meetings then become 12 to 16 hours at a further cost of R11 400 and R15 200 (never mind the petrol or the toll fees). Add that o
nto the previous figure and the cost per meeting each person becomes R2 375.00 and R2 850.00, never mind the cost of the phone call and the petrol and at this point you still don’t know if you are going to get any business out of it.

One of the Networking events that I have great success with is Business Engage who have a monthly Hot Tables event (and believe me that this is not the only Networking that I do). In any event, the cost of the 3 course dinner is R265.00 and it takes from starter to end of pud in the region of say 4 hours (at my rate is another R3800.00 and remember I have had a 3 course meal as well which now totals R4 065.00). At each course I meet and engage with 9 different people, who give me their business cards, who have an idea of what it is that I do and who are like minded and keen to do business, that’s in total 27 people (in the space of four hours) and let’s (to keep the figures rounded) say I meet an additional 3 people during the breaks between courses when everybody Networks with everybody else. So now I have met with 30 people over a period of 4 hours at a cost of R4 065.00. The following day I get out the cards that I got the night before and I contact all 30 people (another 2 hours at R1 900.00) and arrange
to meet at a convenient coffee shop somewhere between the two of us. So far I have spent R5 965.00) and I have 30 appointments. My travelling time is now 15 minutes each way and because I have set it up at a coffee shop between us I can now schedule 8 meetings, back to back, at the same venue. So now my 8 meetings becomes R5 965.00 plus the R7 600.00 = R13 565.00 = R1 695.63 per person and this includes a 3 course meal or for the entire 30 people = R5 965.00 plus R22 368.75 = R28 333.75 = R944.46 per person, which is a whole lot better than R1 650.00 per person). The other difference of course is that it is no longer a ‘cold call’ but rather a ‘warm call’ and because the prospect has given me a card and because we have met at a Networking event, we both understand why it is that we are there and we get on with the business of business. Those 30 meetings usually are converted into 15 sales, if not with the person themselves, then certainly from referrals.

The most important thing though is that right from the very beginning I have started building a relationship with the individual who potentially has the ability to keep me in work for months (if not years) through their own data bases.

It makes you think . . . .

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

Business Tips - Being Your Own Boss – Part 11

Business Tips - Being Your Own Boss – Part 11

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd 

Putting structure and foundation into your business is extremely important.  It allows you to formulize your infrastructure and means that you work in a consistently ordered way rather than in chaos.

Creating ‘process’ and ‘administration’ sheets will clearly reveal the action that needs to be taken on things that need to be done on a day to day basis.  This enables you to create your operations and administration manuals.  These are the policies, procedures and templates that you would use to ‘run’ your business effectively and efficiently.

Writing your processes down shows people (and your staff and even yourself) how you will conduct your business.  Here are some of the steps that you can use to develop your own processes.

1. Name each process, for example – Client’s Quotes.

2. Make a list of the actions that are needed to complete the process.  Taking the above example – exactly step by step what is done when you receive a request for a client for a quote on your product or service.  For each action the name of the person (or the title of the office holder) who is responsible for performing that action, should be recorded.  In the above instance if you have stock in house, George the warehouse manager may have to check to see if there is sufficient stock available.  If there is insufficient stock then Jack who is in charge of procurement, may have to order some more in, or alternatively if it is a service, the availability of the person concerned may need to be taken into account.  The amount of time it takes (or should take) to complete each action should also be stipulated.  This will ensure that productivity can be measured too.

3. Once all of these are listed you will be able to define the process correctly.

4. The above steps need to be repeated for each process in your business.

Get your friends, family, colleagues to go through your processes carefully with you, to ensure that you haven’t left any important steps out and don’t forget to update them from time to time to ensure that the information is still relevant and correct.

Make sure that you keep it simple.  The simpler the process or procedure, the less the opportunity for employees to commit fraud or forget the steps and the easier it is to remember.

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

HR 101 – How to Manage Sick Leave Abuse – Part 2

HR 101 – How to Manage Sick Leave Abuse – Part 2

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

Last time we looked at some of the records that need to be kept in order to ascertain the trends of absenteeism.

This time we will look at what you need to do in order to try and get to the root of the problem.

You need to do an audit on your company to see if you can highlight the problem areas. 

Included in your audit should be the following (but not limited to):

- Is there a documented leave policy in place and do all of your staff know the possible consequences of abuse to absenteeism.

- Whether or not the line managers and supervisors (and indeed even you yourself) manage the absenteeism.  Do all the employees face the same consequences or do some employees get preferential treatment?

- Are the workspaces and working conditions comfortable, are your staff working in a safe environment, is there sufficient lighting and air circulation etc.

- Are there any other factors that could have any bearing on job satisfaction?  If so, these could be part of the absenteeism problem.

There are several ways in which to conduct this type of audit, and it doesn’t have to cost you a fortune and it can be done ‘in-house’ as long as the person conducting the assessment remains impartial and of course there cannot be any ramifications or consequences  for the answers that you get from your employees.

One of the most successful ways to conduct this type of audit is by interviewing the staff.  Ideally this would be done with the line managers and employee representatives.  Another way to do this is to get the staff to complete a questionnaire or survey on the important issues – this of course can be done anonymously.

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

- What work do you do?

- What are your responsibilities (as you understand them)

- What department do you work in

- Do any of the following impact on your work (work flow or quality of the work that is produced):

• Level of noise

• Attitude of fellow staff members and to fellow staff members

• Attitude of management and to management

• Availability of tools and equipment

• Training to use the tools and equipment (and include in here
computer and technical skills too)

• Physical layout and accessibility of the work areas in relation to the work flow

• Personal circumstances that may make coming to work difficult

• Personal health problems

• Any other factor that may make coming to work difficult

Don’t forget to include something where the staff can list some additional comments or expectations.

Once you have gathered all the information together, it might be time for you as the employer to make some changes.  Continue to monitor the absenteeism to see if those changes have made any difference.  If they have, well done – if they haven’t then probably it is just in the nature of the employees that you have and it is time to bring out the big guns and institute proceedings against them for the excessive absenteeism or “Incapacity” to give it the correct term. 

Remember though that it is a process and it’s a process that will have to be properly managed.  So every step along the way needs to be documented properly.  As the employer, you will have to ‘show’ that you have given them every opportunity to improve their attendance and assist them with their health care.

The bottom line however is simple – as much as the employees have all sorts of rights from the employer, the employer also has the right to expect the work to get done and therefore the employer has the right to expect the employee to be at work.

Don’t get emotional about it, just stick to the facts and if you are not sure what to do, then get a Labour Consultant to assist you.  It will be the cheaper option in the long run.

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

Marketing 101 - Making Time To Market – Part 1

Marketing 101 - Making Time To Market – Part 1

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd -  June 2009.

One of the most frequent lines that I hear from small business owners/entrepreneurs is “who has time to market”? I sure can understand that – hell, if I had my way, we would have 48 hour days and only need to sleep for 4 of these!

Now believe me when I tell you that I am no expert on marketing – I seriously am not!  That said, I know that it is of vital importance to get your product or service out there.  If you don’t, you will have a problem and it will affect your bottom line.

Here’s the thing though, you don’t have to spend a fortune to market yourself and it doesn’t have to take up hours and hours of your precious time, but you do have to make some time for it.  So book the time in your diary and have a plan.   Every day we take part in time consuming activities and integrating those activities with a marketing opportunity may just be the key to solving your problem.  Here are a few ideas to make marketing a tad easier for the small business owner who is always on the go.

Shopping ‘out and about’.

Whether we are conscious of it or not, we meet new people on a daily basis.  Think about it for a moment.  How many times have you found yourself frustrated, but still standing in the queue?  For me, the bank and the post office or even the annual trip to renew the motor vehicle license, are the most challenging!  How many times, in a moment of mutual frustration have you turned to a stranger in that queue and started a conversation?  I know I have, and although the conversation usually starts with a moan about how long the queue is or how slowly it is moving, it usually morphs into something else.  Remember to introduce yourself and tell them what you do, find out what they do – give them a business card (you see, I told you, you never know when you would need one) and then keep in touch.  You’ll be amazed at some of the business you will get out of this kind of encounter.

Reading an Article

By now it must be evident that I really enjoy reading . . .  a lot.  I understand that there are many people out there that perhaps, are not as passionate about reading as I am.  That said, as SMME’s, a certain amount of reading is kind of obligatory if you are to keep up. Whether it is a newspaper article or an article that is related to the industry that you are in or even an article that sparks your interest on a personal level.  Now take a minute to think of a few people who are in your network who may enjoy the contents of that particular article and send it to them.  Personalize it with a note saying something along the lines of ‘when I read this, I thought it might be something that you would like to read to’.  Doing this will just take a few moments out of your time, but the impression that it creates and the value that you add to the relationship that you have with that person(s) is priceless – every time they speak to someone who needs your service or product, they will think of you before anyone else.

Next time, I will share a few more of the types of ways that you can integrate some marketing in your daily life.

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

Networking 101 - Networking Effectively

Networking 101 - Networking Effectively

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

I’ve just read an article on Networking that says (and unfortunately I can’t see who it was written by) “For job seekers, networking is considered THE most important activity.”

In fact, in my opinion, every aspect of our lives is governed by networking of one sort or another and if we don’t work our networks properly or effectively, the bottom line is that we will not work effectively or optimally.  Quite a reality check, I’m sure you will agree.

Most of us use our networks to expand our business contacts or to get more work in.  On a personal level, I use my network for every aspect of my life.  I listen to the stories of ordinary people, both in their personal lives and in their businesses, which often add value to the articles I write.  I ‘remember’ what/who people are looking for and match them to people that need those things/services in their lives.  When I look for opportunities, I not only look for myself but also for the people in my Network

Whatever we need from our Networks, there are always a few ground rules or tips that apply across the board.  I know that I have covered them many times before, but from experience I know that often we don’t ‘hear’ things the first time that they are said. So here they are again.

When you attend a Networking meeting or event, be confident in your own ability, even if you’re not confident about yourself or have self esteem issues or even if you are shy, you have to come across as confident and that you know what you are doing. 

You need to be able to market yourself and your product/service.  This means of course that you need to prepare ahead of the Networking meeting/event.  You need to have an ‘elevator’ speech ready and practiced and your elevator speech should not be longer than 30 seconds.  It should be short, concise and of course contain the correct information.  Remember that you are not the only person who is going to talk and that you also need to listen, in fact you need to understand that you will be doing a lot of listening.

No-one likes someone who only takes and never gives anything back and this is also true of Networking and Networks.  In fact my motto is ‘give in order to receive’.  The more that you give to your Network, the more your Network will give back to you.  That doesn’t mean that you should be working for nothing though – we all need to make a living, but what it does mean is that you need to give referrals or hook people up.  You can also assist those who you can see have no idea how to Network.  Share your experiences and help them get started.

It doesn’t matter if you attend 1000 Networking meetings or events, if you do not follow up, very little will happen.  I hesitate to say ‘nothing’ will happen because sometimes things happen despite what we don’t do.  You need to engage with people, you need to communicate.  If you don’t, getting contact information may prove to be more difficult for you.

So . .  take a big breath, square your shoulders, put a big smile on your face and get yourself off to a Networking meeting. 

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

Business Tips - Being Your Own Boss – Part 10

Business Tips - Being Your Own Boss – Part 10

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd

One of the questions that I am asked on a regular basis is “How do I cost myself/product/service”?

To be quite honest, the first time I heard the question I was quite surprised until I understood the ‘why’ of the question that was asked.

You see there are several issues that need to be taken into account when working out your pricing in order to ensure that you are able to cover your overheads, productions, distribution, labour costs and marketing costs.  Don’t forget though, that you also want to make a profit too and this also needs to be factored into your calculations.

Your goals and how much you want to make also has a huge impact on the pricing strategy, so that is something else that you need to be really clear about.

As usual, research needs to be done.  You need to check out consumer demands which will also affect the end pricing.

Also, have a look at your competition.  What they are selling their product or services for.  Don’t go too low because people may think that your product or service is inferior and don’t go too high or you will price yourself right out of the market.  Rather make yourself competitive and make your service the deciding factor.

For many though, at first you will probably be guessing at what your costs will be – don’t let this deter you, but do try and be as realistic as possible.

As your business grows and stabilizes you will be able to ascertain what your exact or real costs are and will then be able to adjust your pricing accordingly.

Take care with your margins though as getting that particular formula wrong could have long lasting effects on your business.

Find the correct formula, document it and stick with it and you will be on the right road to success.

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

Inspiration - Going Through the Barriers

Inspiration - Going Through the Barriers

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

Today’s quote comes from Vincent Van Gogh who said:

“If you hear a voice within you say ‘you cannot paint,’ then by all means paint, and that voice will be silenced.”

Now we all know that Vincent Van Gogh was slightly mad!  Anyone who cuts their own ear off has got to have lost the plot at some point.  That said look at the beauty of his paintings, so somewhere along the line he had to have gotten it right.

Pause for a moment and think about what his words mean.  I know that people who play sport often ‘go through the pain’ and from what I understand it means that when whatever it is that you are doing is painful, you just keep on going and at some point it is no longer painful.

What makes business any different?  Why do those particular words just have to pertain to someone’s talent, be that of the artistic kind or the sports kind?  Surely that would also apply to ‘talent’ in the business sense of the word too?

There is not a single person who I know, who is in business today who has not at some point in time – just wanted to give up and throw the towel in.  There is not a single person who I know, who is in business today who has not thought ‘why does it have to be so hard’? 

Well the truth of the matter is that it does not have to be hard, it’s just that as mere humans we tend to loose our way and then we make decisions that have consequences and it’s living up to and with those consequences, that is what makes it hard sometimes.

So the next time you hear the little voice inside of you, it doesn’t necessarily mean that it is time to book your spot in the nearest mental institution, it could just be your intuition giving you a nudge to make a decision.

What decision will you make?

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

HR 101 – How to Manage Sick Leave Abuse

HR 101 – How to Manage Sick Leave Abuse

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd 

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

I can’t begin to tell you how many of my current clients are singing the same tune.  Actually if the truth be told it is much more of a lament.  Their staff are constantly off work “sick”.  Sadly for the employer this constant abuse of sick leave has far reaching and very damaging consequences and either the employee doesn’t understand this or they don’t give two hoots about the high risk factor to their employment that their irresponsible behaviour causes.

As the employer, you need to know exactly what the problem is and of course how big the problem is in terms of its financial implications.  Once this has been determined you will be in a far better position to take steps to address the situation.

Firstly you need to ascertain just how big your problem is and it is therefore time to look at the records to get all the numbers (now do you understand just how important it is to get the records done, up to date and properly maintained).

- You need to have a look at the amount of time taken for each absence, for each staff member.  Are they ‘one day’ absences or two days at a time or several days.  What about ‘which’ days are usually taken – are they usually before or after a weekend or public holiday?  Are there any kinds of consistencies, for example, your staff member has a child who is in the 1st team swim squad.  The team travels for meets all over the country.  The employee is absent mostly on Mondays and Tuesdays in the summer months, but very seldom in winter!

- What do these absences cost you?  Apart from the fact that you are paying the wages/salary of the employee (so their daily rate would apply) there is also the lack of productivity that needs to be factored in as obviously the deliverables are also affected.  So start there and work out a rough estimate.

- Get some sort of indication of the ‘type of illnesses’ that the staff claim to have.  For example you would expect people to be ‘down with the flu’ or coughs and colds, during the winter months, but not necessarily all the way through summer as well. Obviously there will be some instances where this information is not available, but where and when it is, it makes for interesting reading.

Once you have gathered and analysed all of this information you will be in a far better position to understand the impact that the absenteeism has on your company.

Next time we will have a look at trying to ascertain the causes of the absenteeism.

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

Marketing 101 - Losing the Plot

Marketing 101 - Losing the Plot

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd

I am sure that at one time or another we have all sat in front of the TV, having watched the same ad, for what seems like the 100th time in the same  hour and thought or even said “I’m sick to death of this Ad!”?

More often than not, the first time we saw the ad, it captured our imagination and if you are anything like me, you will have even, on occasion looked forward to, or even actively sought to watch it again and again – especially if it has had me in fits of laugher.  But pretty much like a song that I went from wanting to listen to over and over again, I soon got tired of it.

Does this mean that the ad must be pulled or taken off to be replaced by another?  Good heavens no!

The Company who owns that particular ad may have heaps of spare cash to indulge themselves in producing a new ad campaign, but the average small business owner does not and the old saying of “if it’s not broken don’t fix it” certainly applies here.  If the ad or the promotion or the marketing campaign is making you money – for heavens sake don’t stop it or swap it for something else – that’s just losing the plot!

Sure if it is not working anymore, then by all means step up to the plate, but if the money is still rolling in, then you being bored with the ad, or the promotion or the marketing campaign is not a good enough reason to switch to something else.

Remember that what is old and boring to you is still shiny and new to your untapped target market.  If it’s making you money, stick with it.  When the results show that the money is no longer coming in, then it is time to change, but don’t change before the results are in.

One way to appease your growing boredom is to test the market with a new promotion and then track these results.  That way when your ‘old’ promotion shows in the results that it is no longer working and it is time to make a change – you have a brand new promotion ready to take its place.

So be clear about why you want to swap a promotion, make sure that it is about the results and not just your boredom.

Make sure you don’t lose the plot!

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

Networking 101 - Taking Responsibility

Networking 101 - Taking Responsibility

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

In his article entitled “Not Getting The Referrals You Want . . . Then It’s All Your Fault”, Dr Ivan Misner, puts the blame squarely at your feet and quite honestly I agree with him.

To continue where we left off last time:

Logically speaking, you need to take responsibility if your Network is not referring you.  Have a look at what it is that you are doing incorrectly or not doing at all.  Look at things like – are you teaching them about who you are and what it is that you do?  Do you come across as passionate about what it is that you do or sell? 

Whilst many individuals are often very reluctant to accept responsibility, my Life Coach Vanessa Rothquel is adamant when she says “You are responsible for creating your own reality” and I agree with her totally.  I would even venture to take it one step further and say that you are also responsible for the actions that people around you, take on your behalf.  After all you are the one who ‘chooses’ to have those people around you, you are the one that interacts with them and you are the one that gives them the information that they convey to others, about your business.  Therefore it stands to reason that if something goes wrong or if you are not getting the referrals, it’s because of something that you yourself have overlooked.

It is said that one of the greatest strengths of a referral network is that ‘everyone becomes friends’ and on many levels this is true, but you also need to be aware of the fact that one of the biggest weaknesses of a referral network is that ‘everyone becomes friends’.  Taking responsibility for what your role is in the process and being accountable for what happens is the only way to ensure the success of the process

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

Marketing 101 - Is Your Business Idea Built On Market Research Or a Hunch?

Marketing  101 - Is Your Business Idea Built On Market Research Or a Hunch?

By Nikki Viljoen – N Viljoen Consulting (Pty) Ltd

I know that when I started thinking about ‘going on my own’ so to speak, the initial idea was born out of absolute frustration and boredom.

I had been working in the same Group for over 10 years and for the last 4 of those years, I had been doing exactly the same thing, day after day.  Seeing the same people day after day, and finding the same mistakes and theft and fraud and . .  yip, I was doing exactly what I do now (being an Internal Auditor), but my work life had reached a plateau.  There was no longer a challenge, I was as high up in the Company as I would ever be able to go and quite honestly I felt really burnt out.

There were two options available to me, to find another position at another Company or ‘go on my own’.

Moving to another Company
When I sat down and really thought about this option, it took all of about 30 seconds to dismiss it.  It wasn’t that I was unhappy with my current employers.  I was well paid, highly respected and highly regarded – it was, well quite honestly it was the lack of challenge.  How long would it take for me to reach this same “space”, if I took a job at another Company – I really didn’t think it would take too long at all.  So this option fell right off the table.

Going on my own
The first time I even dared to look at this option, I thought I was going to have a heart attack!  I mean for goodness sake, what on earth did I know about starting and running a business.  Sure as an Internal Auditor, I knew how to put the processes and procedures in place, but put them in place of ‘what kind of business’?  As head of the Department, I knew how to manage staff and I was also acutely aware of all the pitfalls associated with HR and the Labour Relations Act – I had certainly “Chaired” enough disciplinary hearings and dismissed enough staff over the years to understand the implications.  But even if I did have staff, what good would they be to me if I didn’t even know what kind of business I wanted.  So that idea also got shelved – for a while anyway, but it came ‘a-knocking’ from time to time.

The more I thought about what I wanted to do, the more frustrated I became.  I was literally ‘clueless’!  Time went by and slowly but surely this little idea started to germinate.  Why couldn’t I do exactly what I was doing now – but out there in the big wild world.  Why couldn’t I do “Internal Auditing” for little companies?

Now at this point, had I resigned and just done it, I can assure you that nothing would have come of it and this brilliant idea of mine would have gotten me nowhere.  Why, you may ask?  Simple really, I had no idea if there was a ‘need’ for my kind of service.  Just because I thought that it was a good idea, didn’t mean it was so!  I had a vague idea of who my target market should be, but because I thought that they may need my services, didn’t mean that my potential clients wanted my services.

So I did what I knew best how to do – I started investigating (also known as market research).  I spent many hours trawling the internet, looking to see if there was anyone else out there who was doing what I do – there wasn’t.  Now that could mean one of two things, either it was because there was no need for the service, or alternatively it was because no-one had thought of the idea before.

It was time to check my target market  - fortunately I have a great number of friends who are Entrepreneurs and as SMME’s they fall into exactly the market that I wanted to test.  The internet also provided me with a huge amount of material and information as to exactly what was available and what wasn’t.  The result was that there was a huge need of what I could provide and either no-one else had thought about it, or alternatively no-one else had the skills with which to do it.  All of this research and ‘investigating’ took over three years to accomplish and the result of this is that I have now been ‘on my own’ since 2003.

So what is the point of this story – it’s really quite simple, if your business idea is built solely upon a ‘hunch’ or ‘an idea’, in all probability you will fail.  This is because no matter how ‘in love’ you are with your product or service and no matter how passionate you feel about it, it doesn’t necessarily mean that the ‘real’ market out there will share your enthusiasm.

Look at what the statistics prove – hundreds of businesses start up every day – that’s not a bad thing at all, but hundreds of businesses close their doors and go out of business each day too and that is not a good thing.  Yes not all of them go out of business because they failed to do their market related research, but a great number of them never even get off the ground and huge amounts of money, blood, sweat and tears result in everything being lost.

You have to put in the research and also test the market.  I had 3 clients before I even resigned from my job.  Without the research being done, you will have no idea if your service, product or idea has any chance of  being sustainable.

Rather start out as you mean to continue – slowly, steadily and sustainably.

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

Networking 101 - Using Your Database Effectively

Networking 101 - Using Your Database Effectively

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

In his article entitled “Not Getting The Referrals You Want . . . Then It’s All Your Fault”, Dr Ivan Misner, puts the blame squarely at your feet and quite honestly I agree with him.

To continue where we left off last time:

Another reason that many people come up with when they don’t get the referrals that they want is “They just don’t have the contacts I need” says Dr Ivan Misner.  Let’s have a look at the issue there.  Many people don’t even use their own data bases effectively let alone “looked at the databases” of the people in their own data bases. 

Think of the infinite possibilities . . .

Sure you have to work at it.  Sure you have to follow up on every single lead that you are given.  Sure you have to do something with every single business card that you are given.  Sure it means getting up off your butt and doing something other than moaning about what you’re not getting.  The returns though are absolutely fantastic and those of us who work at their data bases can attest to this – I know that I can.

The internet makes the world a really small place.  I met an Australian chap on an International Virtual Networking group about 2 years ago now.  He was looking to set up distributions all over the world for the product that he is selling.  We corresponded now and then and the result was he came out to South Africa and he has set up a whole bunch of distributions both here in Gauteng and in Cape Town.  I met him fact to face last week and we greeted each other as if we had known each other for years.  His product is not something that I would sell or even use, but I have people in my database who would both purchase it or want to set up a distribution point for him.  Now he knows how to Network effectively and although I haven’t had anything from him directly, I have added value to my own database and I know for sure that somewhere down the line, I will make money out of my connection with him. 

His tale is even more amazing.  Around the time that he met me on the internet, he had just started with this particular product and was doing it ‘sort of part time’ as he was still running his own business that has been going for in excess of 25 years.  About a month ago, he handed the jewellery business to his wife and a manager and he is now working full time in the business of setting up distributers all over the world – he now has 285 distributors worldwide.  So I guess you could say that his Networking skills are incredible!

Next time we will continue to look at why not getting the referrals that you want, may in fact be all your own fault.

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

Business Tips - Being Your Own Boss – Part 9

Business Tips - Being Your Own Boss – Part 9

By Nikki Viljoen – Viljoen Consulting (Pty) Ltd

Most people think that marketing is about getting people to buy something that they don’t necessarily need or even want, by persuading them that they do actually need the item.  This is not correct.

Marketing is actually about telling the right people (in other words your target market) how your particular product or service will be of benefit to them in either their business or personal lives.

Here are some of the things you need to look at to create a marketing plan that will work for you.

1. Who is your customer? 
What is unique about your product or your service – who are the people who are most likely to benefit from what you have to offer and why? Make a list of all these groups of people.

2. Create a list of ideas.
Invite all of your friends, family, colleagues to a brainstorming session to find different ways for you to reach your customers.  This is known as ‘octopus marketing’ as different people will have different ideas and all of these ideas could reach out into all the different directions, but still all be a part of the same marketing plan.

3. The Best Idea
Take the best idea out of the whole lot – your favorite one, the one that you would love to do.  Usually if you pick the idea that appeals to you the most, chances are you will actually do it.

4. Test.
Always test the water, so test your idea and if it works, test it again and if it works again – well then you have a winning formula.  If your first idea doesn’t work however, don’t fret and panic – choose one of the other ideas and test that.  Sooner or later you will find an idea that actually does work.  The experts say that we should try at least three different marketing plans every month.

Remember to always have fun.  If you don’t have fun with what you are doing, chances are that you are in the wrong business.

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

Inspiration – Great Achievements

Inspiration – Great Achievements

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

Today’s quote comes from David J. Schwartz, who says :

"All great achievements require time."

I am pretty sure that we have all heard the saying ‘Stop. . . . .  and smell the coffee’.  For some of us though, and I am including myself here, time seems to run away!

It’s not that I am unproductive or that I squander my time, or even mismanage it – it’s just that there doesn’t seem to be enough of it ever!  I sometimes get the feeling that I am literally running against time!  There is always so much to do, so much that I still want to achieve, and never enough time in which to do it!

I am always impatient with people who waste my time, especially banks, post offices and the like. I am thoroughly irritated by people who meander through life, who seem to walk with no sense of purpose.  I am frustrated by people who can’t see the big picture or the finer details, and yes – you do need to see them both!

I am frustrated by people, who don’t seem to know what they want, let alone how they are going to achieve it, and don’t get me started on people who profess to know what it is that they want but then when you chat to them it is clearly evident that they are actually quite clueless!

You see, although I can ‘talk the talk’, I am essentially a doer, so once I have had the talk and thought it through, I want to get going.  Most of the time, I am frustrated by people, who still want to talk about it . . .  for another 6 weeks (by which time the opportunity has moved on), or people who want to think about it for another 6 weeks (again the opportunity has moved on) or by people who are just plain undecided!

I agree that ‘great achievements take time’, but my biggest challenge is taking the first step towards realizing that achievement!  If it is something that I can achieve myself, I am usually off to a flying start, however if I am doing something together with others . . . well, I think I have made my point already.

Make a decision and take the first step and for heaven’s sake just get going.  Achievements take time, so I would still like to be around to benefit and enjoy the fruits of my labour as and when the achievement is realized.

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

HR 101 – What is Dereliction of Duty?

HR 101 – What is Dereliction of Duty?

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

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

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

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

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

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

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

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

- When a staff member gives the keys to the safe or passwords of the alarms to an unauthorized colleague, so that they can have an extended lunch or go home early.
- When an employee leaves the company truck, heavily laden with product, in a dodgy part of town whilst he takes his lady of the moment to the movies.

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

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

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

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

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

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

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

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

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

Marketing 101 - Focus on Sales

Marketing 101 - Focus on Sales

By Nikki Viljoen – N Viljoen Consulting(Pty) Ltd

So how do you deal with your ‘Focus on Customers’? Do you focus more on getting new customers or do you focus on existing customers or what about ‘old’ or previous customers – do you ever revisit them?

Here’s the thing – it is always a good idea to bring in new business, it’s healthy for the Company to have new ‘blood’ from time to time. That said it takes time to build new relationships and it can be a costly exercise, although it must be done.

What is an alternative idea though, is to promote your business and new products/services to existing, current or even previous customers. The relationship is already built. Trust and credibility issues have already been dealt with and both you and the client know what to expect.

By reaching out to your existing data base, you will be able to significantly reduce your marketing costs whilst keeping your turnover on the up and up. These clients have ‘proved’ their willingness to purchase your products and services and you have them on hand, it’s not like you would have to prove yourself all over again.

I am sure that any marketing person anywhere, will tell you that one of the biggest assets that your company has is your data or customer base. So use it, all the time.

You need to understand that just because one sale has been finalized, it does not mean that the relationship is over – it’s just beginning. Remember that and your current customer base will forever be your ‘bread and butter’ whilst new customers will become the icing and the cherry on top of the cake.

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

Networking 101 - Ask For Referrals

Networking 101

Ask for referrals

By Nikki Viljoen of N Viljoen Consulting (Pty) Ltd

In his article entitled “Not Getting The Referrals You Want . . . Then It’s All Your Fault”, Dr Ivan Misner, puts the blame squarely at your feet and quite honestly I agree with him.

One of the first and most important things that you have to do when expecting people to refer you is . . . .  to ask them, and not just once either, keep on asking or make sure that people remember you or that you are the first person who comes to mind when they encounter or engage with someone who needs suppliers of your particular product and service.  Do this by meeting with them at any other Networking meeting that you may end up both attending, or keep in contact by means of a newsletter, or phone them, or refer someone to them, or meet them for coffee to catch up.  Doesn’t matter what you do, just ensure that they are reminded frequently, that you are still around and that you are ready to do business or add value to their ‘circle of influence’.

Make sure that people in your Network know that you take in an interest in their wellbeing and that you are not just interested in them for supplying referrals for your well being.  Pass on snippets of useful information or ideas or introduce them to people who may be able to assist them or do business with them,

Secondly, it’s no good asking people to refer business to you if they are not sure about what it is that you do.  They need to know what your business is all about, they need to understand, at the very least, the fundamentals of what you sell, be it product or service.  They need to understand how your business can make a difference in the lives of others.  Be careful not to give them too much ‘technical’ information at once but rather give out ‘bite’ sized bits of information that is easy to understand.  Don’t forget to let them know about any new or additional products or services that you add to your business, as you add them.  This will also help you to ‘keep in touch’ with them and keep them excited about what it is that you do.

Horror of horrors, if the person that has been referred to you has only used you once and then you have never heard from them again  . . . .  perhaps it is not because they are fickle, perhaps you should be looking inwards at yourself.  Did you close the sale properly?  Did you deliver and also important, did you deliver on time?

The time to make that call or send that mail is now.

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