Showing posts with label Business management. Show all posts
Showing posts with label Business management. Show all posts

Friday, September 12, 2014

Otieno, the Master Welder

When Mwalimu got his first job, he was living in his ancestral home at the outskirts of the city. You can imagine his shags is just a few minutes from the City. However, where he comes from there are some lazy young men who partake illicit brew and more than willing to harvest where they never planted. It is on this premise that he was invited by his old friend to live with him somewhere in Eastlands. And so he left with a bag of clothes and a big radio to the City in the sun.

While going to his abode in one of those estates with lots of traffic, he could not help but gaze at the amazing works of one particular welder (Otieno). Those Nigerian gates and well-designed windows and doors were a site to behold, amazing work of craftsmanship. In short, Otieno’s artistic work would speak for itself; after all, the compelling products on display were quite appealing to the eye.

Mwalimu eventually got blessed and bought a plot off Thika road before the road was upgraded to a superhighway. He never minded the jam; after all he was used to it. Nothing is as sweet as living in one’s house even if the so called house is a one roomed mabati shelter. You see that landlord I had in Eastlands was just like any other. Every now and then he’d drop that note saying: Due to the current economic situation, we have adjusted upwards our rent…blab la bla…and when I left his house he declined to refund my deposit. In fact he was claiming some cash from me after balancing my account. Funny guy. And he used to come all the way from Muran’ga and camp in Nairobi for two weeks to collect rent. Anyway, let’s leave this landlord alone.

Back to Otieno. When I was doing my residential house, I knew I’d definitely approach Otieno to make my windows and external doors. When I landed at his workshop, it was a beehive of activities and the impression I got is that Otieno was doing quite well. I had a chat with him over a cup of tea (Mwalimu loves tea). The discussion culminated into a quote for the works and I paid the deposit for the works to be done. Otieno went to work and promised to deliver in two weeks. Mwalimu keeps time and he does his best to keep his promises as well. He also expects others to do the same. Two weeks later, I went knocking at Otieno’s door only to be informed that my work is 90% done. I decided to inspect the said works and realized that in all honesty it was 50% done. I felt let down though the fellow promised to deliver in the next 1week. One week later, the work was not complete. The usually quiet and reserved Mwalimu decided to act tough. He really talked tough just to make sure that Otieno does deliver; after all Mwalimu had already given a two months’ notice to his landlord and he expected to finish his house in good time.

To cut the long story short, Otieno delivered the windows and doors to my site 5 weeks later. When the delivery was inspected, it was missing some windows, 1 door and the gate. You can imagine how angry Mwalimu was to the extent to almost slapping Otieno. How was I to move to my new house without doors and windows. How about that perimeter wall and without a gate? That is the day Mwalimu knew that in Jua kali, not all that glitters is gold.

The final delivery was done 15 days before the date I was to move in. And by the way, the gate was still missing. On the eve of my big day (the day when I’d finally kiss the landlord goodbye), I still did not have the gate. I called my good friend and informed him that I was on a small mission to pick a gate along Outering road and requested for his company. When we landed at Otieno’s workshop, I was shown a gate which was halfway done. You can imagine how I felt. Next to my incomplete gate was a very nicely done gate. I actually had assumed that that was my gate. I summoned all courage and informed my friend that we go look for a pick-up and some strong boys. When we came back to the workshop with a pick -up and strong men, Otieno must have sensed danger. We went ahead and loaded the nicely done gate and as we were about to depart, Otieno stood in front of the vehicle and I could see his desperation. You see, that gate I had forcefully picked was for some client from Kitisuru who was to come for it in a few minutes. I could hear none of that and off I went with the gate. That is how Mwalimu got his nice gate. When I look at it, it reminds me of Otieno.

Next post, I will analyse Otieno’s biggest weaknesses. Did his business survive???

Monday, July 1, 2013

Waigwa, you are fired!


I hate to deliver this message but you have been a complete let down. When I recruited you I was convinced that you are the type of guy I needed. After the rigorous interviews, I settled on you because you seemed to know what you wanted in life. You clearly communicated in a clear and concise manner the role you were to play in my company. Look at you now, two years down the line and you look like a shadow of the exuberant young man I hired. Take this letter, hand over all company’s assets, records and files in your possession. Just hit the road and don’t you come back no more.

I hired Waigwa and spent a lot of time inducting him. Heck, I even took him to Naivasha in some posh hotel together with a few others as I attempted to sell them my vision. I took them through the history of my firm, how it grew from scratch with lots of hard work, strategy and serious money invested in it. He seemed to be very keen to perform his role and I grew some liking for him. I could count on him to deal with keeping labour records and paying casuals, procuring materials from hardware and dealing with my clients to an extent; after all delegation is a good option to take for any good manager.

That trust made me drop my guards off. This guy from some remote village from Nyeri was my right hand man and in all honesty I thought he was assisting me get closer to my vision. Crafty Waigwa must have realized that his master had gone to sleep. He could add a few names in the labour schedule (ghost workers) and his master would just pay without verifying. He could collude with the hardware guy and receive part deliveries while his master paid for the full amounts on the invoices.

One day, the master’s sixth sense was aroused. He planted some moles on the site and to his shock he was losing quite some money on labour alone. The clever master once demanded to verify some deliveries and of course there was a big difference between delivery notes and invoices. In other words Waigwa had been busted!

Then the master was called by one of his clients and to his utter shock he realized that the client had some critical information given to him by none other than Waigwa. Information the client clearly used to his advantage to corner the master. That was the stroke that broke the camel’s back. Waigwa had to be fired. He has a family to take care of but his dishonesty and lack of integrity ensured the master no option but to send him back to the hole he came from.

I am one of the most patient fellows around but business has taught me that some ruthlessness is necessary. I sometimes exercise the powers to fire.

These employees who do not buy into your dream are a representation of little foxes that destroy the vines in the vineyard. No wonder the wise man in the Bible taught us in Songs of Songs 2:15: "Catch for us the foxes, the little foxes that ruin the vineyards, our vineyards that are in bloom".

Do you know what are the little foxes chewing into your dream? Better find out.

In the upcoming posts, we shall talk about some interesting business opportunities I have been seeing around. Kenya has serious opportunities.

Wednesday, June 26, 2013

Don't fall victim to your own Bullcrap


I am sure you have met those people who are all talk and no action. People with big plans but that always amount to building castles in the air. Dreaming grandiose dreams with no further actions.

Impress with actions not conversations. Endorse your business enthusiastically, yet tastefully. Avoid exaggerating truths and touting far reaching goals as certainties. In short, put up or shut up.

Felix Dennis once said “Once you believe that you are infallible, that success will automatically lead to more success, and that you have "got it made," reality will be sure to give you a rude wake-up call. Believing your own bullshit is always a perilous activity, but never more fatal than for the owner of a start-up venture.”

Quality, the guiding principle.

I respect Steve Jobs (RIP) for one major reason. He was so focused on product excellence as opposed to making money. He obviously made huge bucks in the end. It is extremely important in business to jealously protect the quality of your product or service and to always strive to improve it. What will you ever be known for if not for your quality product or service? Sunny Bindra once said and I totally concur with him that refined buyers spend a fortune looking for specialty coffees, rare wines, and advisers who offer a very personalized service. I know like men will stick to a specific Kinyozi for ages due to quality. I used to have one when I was staying in shags and you can imagine I only used to shave on those weekends that I found myself in shags till I identified one in town.

Know when to call it quits.

Contrary to popular belief, a smart captain does not go down with the ship. Don't go on a fool's errand for the sake of ego. Know when it's time to walk away. If your idea doesn't pan out, reflect on what went wrong and the mistakes that were made. Assess what you would have done differently. Determine how you will utilize these hard-learned lessons to better yourself and your future entrepreneurial endeavors. Failure is inevitable, but a true entrepreneur will prevail over adversity

This brings us to end of the lessons for start-ups. I hope somebody somewhere learnt something. More financial education on the way.

Thursday, May 30, 2013

Travel enthusiasts build multi-million shilling company from their hobby


By EDITH FORTUNATE efortunate@ke.nationmedia.com Posted Thursday, January 31, 2013 at 02:00

Source: Daily Nation, Money Feature http://www.nation.co.ke/Features/money/-/435440/1679382/-/xbnhy7z/-/index.html

Six years ago, a couple joined the social media craze, creating a network of friends, poking others, and even sharing pictures of the captivating places they had visited.

Being young, Simon Kabu and his wife Sarah took up sightseeing to quench their desire for adventure.

The couple’s travels got even more exciting in 2008 when they started inviting friends to join them on their excursions.

“Every time we organized something, it would turn out so well that our friends decided to leave the planning to us whenever there was an event or getaway,” Mr Kabu, 37, told Money.

Soon, their fascinating wild tours slated for holidays like Valentine’s Day, Easter, and Christmas attracted many friends.

In 2008, the group started sharing its experiences on the Kazi Afrika blog.

“Our passion for traveling enabled us get a lot of fans, many of whom opted to pay for our services and I remember sitting down with my wife and asking ourselves, why not? This seems to be a good business venture,” says the former marketing executive

They decided to promote domestic tourism through the blog, first because their services were cheap after the 2007/08 post-election violence and also as an effort to boost the country’s tourism industry, which had taken a dip following the troubles.

Their efforts gave birth to Bonfire Adventures and Events Limited, which is run by a team of 15 tourism professionals who are knowledgeable about the Kenyan tour and travel industry.

Mr Kabu says the team is committed to ensuring personalized and impeccable services to customers.

“We used social media to market ourselves and our pages on Facebook, Twitter, and Google+, where we had our first (virtual) office before getting space at a friend’s premises. Our start-up capital was less than Sh20,000,” says Mr Kabu.

The initial capital was used to buy a desk, a chair, and a telephone which was used for marketing on social media platforms.

“The advantage we had was that we went into an untapped market and were dealing with locals. Many people were surprised that they could actually enjoy sceneries in the country at an affordable rate.”

The couple’s aim at the time was to change the perception that only foreign tourists can tour the country and enjoy its beauty.

“But before we set up Bonfire, we had to experience every hotel and all the major tourist attraction sites in Kenya before selling them to our clients. We also visit at least five countries in one year to discover and experience new holiday destinations for our clients.

“Being strong believers of happy marriages, we are passionate about romantic getaways, honeymoon packages, wedding anniversaries, unique engagement proposals, and glamorous wedding destinations. We usually go out of our way to ensure that couples get experiences that are out of this world to spice up their marriages,” he says.

Mr Kabu says marriage packages are the most popular because of their uniqueness.

“What also helped us gain popularity were our clients’ referrals. They would tell their friends about their experiences and people came in droves. It is amazing that we have now grown to become a big corporate.”

He adds that it is rewarding to offer good services, especially when building a new business.

“We like bringing people from different cultures and backgrounds together because travel has the power to unite and improve people’s understanding of each other. It also has great potential to improve the economic welfare of the world’s poorest populations by providing new sources of income.”

The company ensures that Kenyans are on the move touring different areas and during low season, it gets an average of 550 clients a month. During high season, the numbers soar.

Bonfire employs a large staff and its monthly turnover ranges between Sh5 million and Sh10 million, depending on the season.

The company’s short-term goal, Mr Kabu says, is to ensure that it is the most preferred travel company.

“Making Kenyans appreciate Kenya as a tourism destination proved to be a challenge, but we won’t stop until domestic tourism has been appreciated.

“My long-term goal is that Bonfire opens office across the globe. I know my dream will come true because before we set up Bonfire, little was known about domestic tourism apart from the traditional destinations of Mombasa and Malindi,” he says.

The company, he says, strives to create a positive impact through the trips it organizes.

“We try to meet this goal by creating itineraries that allow clients to experience the local culture through sampling their food, festivals, activities, and cultural sites.”

The firm also facilitates tourists who want to help local communities.

Bonfire owns five tour vans and two Land Cruisers.

“When demand is high, we hire more vehicles, especially during the August and December holidays and also when people are getting married and the number of couples seeking honeymoon services is high.”

All the Bonfire Adventures employees are experienced travel professionals and ensure that customers get the best travel package at competitive rates.

“We check on our clients even when they are on holiday to ensure that everything is working out fine. This way, we are able to offer them a splendid service,” he says.

“Social media has helped a lot since most clients come back and upload photos of their adventure, share their experiences, and talk about our services. We want to retain this culture and improve to offer the best service,” says Mr Kabu.

Hope this Couple’s story challenges you to stir your entrepreneurial spirit. Some of the most successful businesses were started on simple ideas, led by passion and interest. Read more on start-ups in the next post.

Monday, May 6, 2013

Know what you do. Do what you know



Back then when I was doing my residential house, a gentleman approached me while I was animatedly talking to the foreman about some work which was not satisfactory. He introduced himself as Oduor, the landscaper. I requested him to wait till I was done with the foreman.

Oduor is a soft spoken fellow, almost swallowing his words. He tried to explain to me how good a landscaper he is and he has done the work for years. He wanted me to give him that job because I had a spacious compound. I did not want to dismiss him because over the years I have learnt that the very best don’t look like it. We agreed that at a later date, he’d take me to sites that he had already done and was maintaining so that I could appreciate his work.

Two weeks later, Oduor showed up and with him an album containing pictures of sites he had landscaped. Very organized fellow, I later found out. So we went round the estate knocking of people’s doors and almost everyone we found was all smiles on seeing Oduor. Many instructions came his way regarding maintenance of those gardens. What I noted about Oduor’s work, it was not only marvelous but eye catching. A very meticulous hand like that of my Kinyozi. Cutting hedges to right angles, mixing flowers with a lot of thoughts. I could see that he was a man with a lot of passion for his job, after all the fruits were all there for me to see.

And so I asked him how he ended up in that business. It was a long story but its long and short was that he did a diploma but failed to acquire a job. He however used to work in their garden as a hobby. One day some neighbor visited their home and he was amazed when he saw the work Oduor had done. He ended up insisting that Oduor had to replicate the same at his home at a small fee. And as they say, the rest is history. The good word spread across the estate of a young man who does some extra ordinary landscaping. He never even bothered looking for any other job despite his diploma. The other day I met him he told me that he will not manage to maintain my garden any longer because he has so many homes in Karen and its environs. He however had trained some guy who inherited his interest in our estate. He is doing quite well I must say.

What lessons can we learn from Oduor?

1. He ended up doing what he loves and had lots of passion for….and he succeeded big time.
2. He discovered his real talent albeit under unexpected circumstances. As proverbs 18:16 says, "a man's gift maketh room for him, and bringeth him before great men."

What is clear is that it is easier to succeed in a business that is in line with what one enjoys doing or has talent for.

More on start-ups in the next post.