Meet three incredible women entrepreneurs as we celebrate women this March.
This video was originally posted on the SME Response Clinic
Meet three incredible women entrepreneurs as we celebrate women this March.
This March, join us as we reflect on and celebrate the vital role women play in our communities and the tremendous contribution they make to our economy. The SME Response Clinic spoke to three women entrepreneurs to understand what women’s month means to them s, what motivated them to start their own businesses, and get their advice for aspiring women entrepreneurs.
Here is what they had to say!
Strategies that can help save your business and plan for the unexpected
A version of this article was originally posted on the Covid-19 Business Info Hub
Due to the pandemic, many businesses have experienced new and significant operational challenges such as inadequate cash flow, decreased demand, and supply chain disruptions resulting from lockdown restrictions. According to the Economic Policy Research Center (EPRC), 50% of businesses in Uganda had to close operations at least temporarily for an average of over three months. These challenges were unprecedented and have made it clear how disruptive a crisis can be. Most companies were unprepared and as a result, some have closed operations permanently. Others have struggled to get back on their feet.
Here is where a business continuity plan can be a critical tool enabling businesses not only to survive but potentially to thrive even during a crisis. A business continuity plan is a document that outlines how a business will continue operating during an unplanned disruption. It guides businesses on how to reassign resources and communicate effectively internally and externally, all key components to maintain operations even during challenging times.
Because developing a business continuity plan may be a new concept for small business owners, in September, the COVID-19 Business Information Hub focused on guiding entrepreneurs in their development. We had insightful discussions with stakeholders and businesses who implemented a variety of business continuity strategies during the pandemic, and here is what we learnt:
Conducting a risk assessment: The first thing that every business owner should do is assess the risk and vulnerability of their business. This can be easily done using a tool that the International Labor Organization (ILO) provides free of charge. The ILO also outlines a six-step process to develop the business continuity plan with a key focus on four main elements (People, Process, Profits, and Partnerships). We spoke with John Kakungulu Walugembe of Federation of Small and Medium-Sized Enterprises-Uganda (FSME), who explained in detail what the 4Ps stand for and how businesses can use the six-step plan to their advantage. (click here to access the special interview with John Walugumbe).
Determining critical activities: Business owners need to define critical activities needed to continue to operate during a crisis. Businesses should immediately identify actions to take based on the risk exposure. Lilian Katiso of Mau and More, a company that sells potted plants, recognized that watering plants was critical to mitigate the risk of losing her inventory due to withering. The business decided to purchase a motorcycle to facilitate one staff to do the watering during the lockdown.
Establishing an internal communication plan: A communication plan outlines how teams and employees may best communicate with each other to support the company’s objectives. It helps increase communication frequency and promotes the dissemination of information about what is happening within the company and the employees. Toddler’s Gold implemented a communications plan including regular meetings to discuss business targets and understand staff welfare. As a result, their sales grew during the lockdown.
Embracing technology and digital platforms: Technology helps to support business operations during challenging times. When regular work arrangements were disrupted, and we saw a shift to remote work, Rajab Mukasa, Director at Pique Nique Ltd, adopted mobile money and the use of agents to complete his banking activities. It allowed the company to order by phone and pay suppliers remotely instead of using cash.
The disruptions caused by COVID-19 have set a new preparedness benchmark and demonstrated that small businesses need to continuously adapt and evolve their strategies to better prepare for future risks. Joseph Walusimbi a national coach and trainer with the International Trade Center (ITC), an agency of the United Nations, encourages entrepreneurs to embrace business continuity plans to prepare for uncertainty. He also highlighted the potential need for external financing to implement specific activities. Businesses should seek financing options focusing on recovery, innovation, adaptation and sustainability, such as the Economic Enterprise Restart Fund available at Stanbic Bank Uganda or credit guarantee schemes that shift risk from the private to the public sector.
ConsumerCentriX best-in-class training to support financial institutions serving the SME segment goes virtual
ConsumerCentriX best-in-class training to support financial institutions serving the SME segment goes virtual
ConsumerCentriX has a long history of working to support financial institutions serving small- and medium-enterprises (SMEs).
SMEs face a tremendous financing gap, and many do not have access to the kinds of business development services that make them stronger potential borrowers with the skills to grow their businesses as usual or to manage disruptions like COVID-19. SMEs face unique challenges and have specific needs.
On the other hand, financial institutions have a hard time grappling with understanding the full financial picture of many businesses in this segment, and as a result, find it challenging to lend to SME entrepreneurs, whose recordkeeping varies and who may bank with multiple banks (or none at all).
The financial institutions that serve SMEs – both those who want to serve them for the first time and those who want to serve them better – need to consider implementing an approach that enables them to better understand their SME customers: a relationship management approach. This approach entails establishing and maintaining long-term relationship with customers centered around providing solutions that meet customer needs rather than just promoting one product or service. In turn, this ensures a greater share of wallet for the bank.
Effective relationship management in SME banking requires strong Relationship Managers with skills in connecting with customers and understanding how to analyze businesses in this unique segment as well as in monitoring post-disbursement to address potential issues before they arise or to identify additional needs customers may have. Earlier this year, ConsumerCentriX developed and launched a four-part virtual training program to support Relationship Managers in honing their skills to better serve the SME segment. The best-in-class curriculum centers around four key areas essential to serving SMEs:
Relationship Management
Provides trainees with foundational skills needed to build a relationship with customers and real-life examples to complement learnings
Gender Awareness
Identifies and addresses potential biases trainees may have in approaching or assessing women entrepreneurs
Business and Credit Analysis
Focuses on techniques to collect, cross-check, and analyze business information to conduct an efficient credit analysis using quantitative and qualitative information
Decision Formalization and Portfolio Management
Hones trainees’ technical skills in preparing credit proposals, including identifying potential risks and mitigation strategies that are monitored from loan origination throughout the repayment period.
ConsumerCentriX transformed these topics, normally covered in 8 days of in-person classroom training, into 4 online modules with 26 mini-sessions of between 20 and 45 minutes. The mini-sessions include animations, exercises, and videos that aim to bring life to self-paced virtual learning.
We recently piloted the training with Stanbic Bank Uganda Limited (SBU), one of the largest commercial banks in Uganda with a strong footprint among SMEs that aims to expand its reach and deepen its engagement in the sector.
What have we learned?
While the pilot is still underway, ConsumerCentriX is already seeing results and has been able to leverage preliminary learnings to make small tweaks to enhance the effectiveness of the virtual training.
Importantly, trainees are successfully learning the theoretical knowledge presented in the self-paced virtual sessions. While online learning has become frequent due to COVID-19, the sessions developed for this training are short and as interactive as possible to avoid some of the fatigue that has become common with participating in online events.
Pearl Akol, an Enterprise Direct Business Banker at SBU, shared that as a result of completing the relationship management component of the online training, she has “understood that you have to listen to the customer carefully and match a solution to the customer’s need” rather than to focus on selling a particular product. It transforms the way she approaches conversations with new and existing customers and is sure to have an impact on the bank’s bottom line. For Alex Insingoma, an Enterprise Direct Business Banker, the gender awareness module was eye-opening. “After going through this training, I was able to recognize the importance of women in business given their big numbers and their unique way of running businesses,” he said.
While theoretical knowledge can be effectively transmitted through self-paced virtual sessions, live online discussions and practice sessions best ensure information is internalized by trainees. Typically, ConsumerCentriX follows up our in-person SME training programs with hands-on coaching and mentoring done with trainees at their branches and in the field. This kind of approach can be difficult to replicate online, but other techniques can be used instead. We incorporated live virtual coaching sessions moderated by our expert SME team to smaller groups of 5-7 people for 1.5 hours at a time. They focus on addressing main challenges faced by participants on any of the content, provide a dedicated time for trainees to practice specific tools or skills acquired, and offer participants the opportunity to discuss real case studies from actual entrepreneurs.
Lastly, proper planning and oversight by the financial institution are critical to success. ConsumerCentriX usually conducts multiple planning meetings in advance of in-person training to outline the objectives, ensure staff availability, and to identify how outcomes will be tracked in close collaboration with the partner financial institution. These steps cannot be skipped for virtual learning.
- First, an institution needs to identify its goals – particularly the behavior changes and outcomes that it aims to see as a result of the training.
- Then, time needs to be set aside for staff to complete the training – this can be a number of hours per day or week within a certain period of time. This needs to be communicated to staff, and follow-ups should be conducted by managers to ensure staff are completing modules within designated deadlines.
- Finally, the institution needs to identify the key performance indicators it will track to understand outcomes – if a financial institution wants to see additional business generated as a result of the training, key performance indicators around new leads or a greater share of wallet should be clearly communicated at the start of training, monitored during training, and tracked over time once training is completed.
ConsumerCentriX looks forward to completing the pilot training with SBU over the next few months and partnering with other financial institutions across Sub-Saharan Africa and beyond to continue to serve SMEs despite challenging times. If you are interested in learning more or partnering with us, contact info@consumercentrix.ch.
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Stanbic Business Incubator Chief Executive Gives an Overview of the Opportunities for SMEs in the Oil and Gas Value Chain in Uganda
Stanbic Business Incubator Chief Executive gives an overview of the opportunities for SMEs in the Oil and Gas Value Chain in Uganda
Ernest Wasake: Good morning, Comrade Tony Otoa; I hope this finds you well. How have you been holding up during this period of the pandemic?
Tony Otoa: Thank you very much for hosting me. I have been great.
I have had a great time of learning, growing and understanding how to do things differently—and now we are getting used to doing different things to make things happen.
Ernest Wasake: Could you give us an overview of the Oil and Gas Value Chain in Uganda?
Tony Otoa: The Oil and Gas Value Chain is a very vast and intense one. It is a great value chain with many opportunities, especially in the local context.
The chain has upstream, midstream and downstream project segments. The upstream project is about the drilling, construction and civil works. In the midstream project, you have the oil pipeline of 1400-kilometre from Hoima in Uganda to the Tanga Port in Tanzania. The downstream, which is already evident in the country, is available for many local entities to deliver the final oil products to the consumers. There is less local participation in the upstream and the midstream projects because they are technical and capital intensive.
The Oil and Gas Value Chain in Uganda is an exciting opportunity for many local people. Opportunities include a wide range of jobs created plus the provision of services and goods in the downstream operations. With close to 15,000 workers to be employed directly, there will be a big need for food, accommodation, and health services, among others. When we talk about food, agriculture becomes a critical focus area, presenting many opportunities to benefit from.
Ernest Wasake: Great, please tell us about the Stanbic Business Incubator Limited’s role in the Oil and Gas Value Chain?
Tony Otoa: The Incubator’s role is very interesting and has been evident for quite some time.
We do not see ourselves as a stand-alone financial entity but as an entity supporting Oil and Gas Value Chain players. The Stanbic Business Incubator has concentrated on training and making Ugandan businesses astute over the last three years. When I speak about astute, I mean ensuring the visibility of demand, letting them know what opportunities are coming their way, and training them to become efficient, sustainable, and thrive.
There is no doubt that Ugandan businesses will seize the Oil and Gas sector opportunities with the Incubator’s support. For example, some companies that have come out of the incubator program are now huge players in the Oil and Gas space. One of the companies is Inspecta Africa, a company providing services to the Chinese National Offshore Oil Company (CNOOC) and has gone on to forge international partnerships with businesses across the region.
We also want to create stories that speak to employability for young people and steer financial rotation in the sector. We hope that as we support local businesses to become better, we can see many companies improving and actively participating in the industry. In the early times, not many Ugandan companies actively participated during the exploration and the appraisal phase. Many of them were sub, sub, sub, subcontractors. We want our companies to be contractors or subcontractors who are making real revenue and not breadcrumbs.
Ernest Wasake: Thank you for the excellent overview. What opportunities exist for SMEs in the Value Chain?
Tony Otoa: Enormous opportunities exist for SMEs in the Value Chain.
As you all know, the Government of Uganda has been very deliberate in ring-fencing some areas for local businesses. So Ugandan SMEs have priority when it comes to these opportunities. Some of these include civil work construction, transport logistics, catering, hospitality, security, manpower, etc. SMEs simply need to understand and prepare to apply for the opportunities.
As a business, you might have been in operation for a long time, but for as long as you have not gone the extra mile to make yourself known and active in the Oil and Gas space, it will be hard to participate. First, the Oil and Gas sector is capital intensive. Businesses need time to develop and become attractive to financing. That financing is now readily available.
Second, seek to understand the sector more by engaging with the different sector actors. We now see a trend of the Oil and Gas sector now coming back into the arena. Businesses need to seek partners to make this a reality through joint venture partnerships with local and international companies. If SMEs can do that, then we are doing well as a country because the sector proves that growth is possible.
Ernest Wasake: What policies exist to encourage SME participation in the Value Chain?
Tony Otoa: Uganda has done well in terms of policy and regulations for the Oil and Gas sector.
When we compare with countries like Nigeria, which has been producing oil for over 60 years, their local content regulations and laws came into play around 2010/2011. For Uganda, even before the Oil and Gas activities were fully operational, we created those laws, regulations and policies, which is a good step. We have policies that support the participation of local businesses in the Oil and Gas space under the local content policy. Some sector activities are ring-fenced for Ugandan companies, which is a great starting point.
These laws and policies are great, but if we do not have Ugandan SMEs who can manage to participate in that space, the law also allows foreign entities to take over the space. So it is upon us to take advantage of the policies and maximize the available opportunities.
Ernest Wasake: What would it take to increase SMEs’ level of participation in the Oil and Gas Value Chain?
Tony Otoa: We can do a lot to increase SMEs’ participation in the Value Chain.
I will share a story to answer the question. In 2018, I knew a company while I was at Total E&P as National Content Manager. This company wanted to do what the big players like Schlumberger, Halliburton, and Baker Hughes were doing. The company kept on bidding for those opportunities, but unfortunately, they kept falling off the grid. Why? They did not have what it took to participate in the sector. They had no policies in place. When we brought them on board at the Incubator, we trained them on a three-month program and coached them for close to nine months. During the same time, we supported them to get ISO certification and other certifications. As I speak today, the same company supports CNOOC in various operations and project work for an international logistics company. That shows you that it is possible in a short period for a small company to become a great participant in the Oil and Gas Value Chain, employ many people and create value in the country. This story speaks to the many businesses that still have the dream and hope of participating in the Oil and Gas sector.
Lastly now that the Final Investment Decision (FID) is soon, it is a signal to an excellent start for Ugandans participating in the Oil and Gas sector. But like the gun at a race, if you are not ready when the sound goes off, you are not prepared, and whoever is prepared will take on this whole race. Therefor SMEs need preparation to benefit from this value chain. As the Stanbic Business Incubator together with our partners we support SME preparation through training, information sharing and creating visibility over demand. We are positive that with these interventions we shall have more SMEs participating in the Oil and Gas value chain.
Managing Through Uncertain Times
Managing Through Uncertain Times
A version of this article was originally posted on the SME Response Clinic
The SME Response Clinic spoke with Ruzindana Gerald, a nutritionist from Amazon Nutrition Cabinet, a business supporting people with healthy nutritional practices to promote physical and mental wellness. Gerald shared some of the common challenges entrepreneurs have faced in recent months due to the pandemic and tips entrepreneurs can use to mitigate those challenges. These include:
- Disruption to normal routines for example lesser operating hours due to curfew. This may make it hard to meet deadlines, find time to efficiently and productively serve your clients or even take breaks for re-energizing.
- Rising anxiety and stress from situations you cannot control. For example, irrespective of the current situation, you still have to deal with expenses such as rent, salaries, and taxes.
- Lack of concentration or a sense of not knowing what to focus on next due to lesser interactions with clients and suppliers.
- Negative effects on our health or state of mind such as
- Loss or increase of appetite and craving
- Changes in our mood due to loneliness at the workplace or working remotely
- Inability to sleep arising from stress and anxiety
- Decrease in physical activity due to periodic lockdowns
To mitigate these challenges, Gerald suggested tips that would help entrepreneurs make better decisions, lead employees and make changes to survive the pandemic and ongoing lockdown. They include:
- Try to rise at the same time each day and organize your day including time for work, meals, light exercise, and family obligations. Try to go to sleep at the same time each night.
- Carve out time for exercise – even 20 minutes of light stretching, a short walk, or even dancing at home can help clear your mind.
- Make sure you make time for meals and try to eat healthy foods when you can. Some examples of healthy foods are vegetables and fruits. These can help boost your immunity, giving you more energy to run your business.
- Reach out to your networks. Send messages, make calls, or video chat when you can with your friends and family. Checking in with your clients, employees, and suppliers to see how they are doing will also go a long way! Share your own thoughts and experiences so that they feel connected, too.
These are just a few tips – different things work for different people, so try things out and see what works for you.
For more information contact: Tel: +250 784 465 520
Email: ruzindanagerald@gmail.com
5 ways to enhance employee experience
5 ways to enhance employee experience
During challenging times, many companies have a hard time ensuring good employee experience and morale, which can be especially harmful to business performance. In this video, we discuss five ways your company can improve employee experience and positively impact your bottom line. Get ready to reap the rewards of greater employee engagement!
Script
As a business owner, you are always on a constant journey with your employees. Employee experiences are crucial to your business – they influence employee attitudes and these attitudes in turn form behaviors that eventually drive outcomes. These are five ways you can improve employee experience:
- Exercise an open-door policy.
An open-door policy means that you are open to communication, discussion, and feedback from every employee. This means employees have the liberty to raise their concerns and suggestions outside their chain of command without worrying. With an open-door policy, business owners have a better chance to connect with employees, show their support, and understand employees personally. This arrangement fosters trust and loyalty and strengthens your work relationship with them.
- Check-in individually from time to time.
One-on-one meetings are essential and should help you understand current issues employees may be facing and offer the opportunity for you to provide feedback on employee progress. We know things get busy; therefore, it is crucial to dedicate some time to listen to employees while being supportive through providing positive and constructive feedback.
- Share the bigger picture.
With fewer complicated administrative procedures than a large corporation, consider sharing plans for your business with employees. This will make them feel more valued. It is easy for employees to be more engaged with their work if they better understand your vision for the future, and their contribution can help you achieve a particular goal.
- Exercise flexibility.
Flexible work arrangements are becoming the norm in many businesses across all sectors. Consider flexibility in your business to improve your employees’ work-life balance and quality of life. Being flexible means that you are open, allowing workers time-off, especially during emergencies s. Such arrangements can help to reduce absenteeism, increase productivity, and enhance loyalty.
- Provide employee benefits that are relevant to their needs.
Small businesses may have the idea that employee benefits are costly and unaffordable, and while this may be the case, implementing some benefits makes a massive difference in keeping workers happy, which in turn incentivizes higher productivity. An example of an affordable employee benefit would be to offer options or perks that coincide with the season. For example, introduce summer Fridays so that everyone starts their weekend a few hours early. Most businesses are resuming operation soon in Rwanda; consider implementing these tips to create a conducive environment where your employees have the opportunity to increase their productivity in their work.
How the Biashara Club transformed Patrick Malika’s network
How the Biashara Club transformed Patrick Malika’s network
In Kenya, it is difficult for potential landowners to purchase small plots of land. As a young entrepreneur interested in real estate, Patrick Malika recognized the gap in the market and started his own company that buys larger plots of lands and then divides that land into smaller plots for resell.
To buy larger parcels of land, he relies heavily on financing from KCB Bank. However as his business expanded, Patrick realized that he needed more than just financing to sustain growth. He needed a strong network. As a result, he joined KCB’s Biashara to club connect with other entrepreneurs. Last January, ConsumerCentriX spoke to Patrick to understand why networking was so important to his business’s success. .
How Samuel Njenga grew his school from 45 students to over 600 students
How Samuel Njenga grew his school from 45 students to over 600 students
Samuel Njenga is the executive director of the Saiwa Secondary School in Nairobi, Kenya. In 2009, he had just 45 students attending his school. By January 2020, the number of students had grown to 653. ConsumerCentriX spoke with Samuel to understand how Kenya Commercial Bank (KCB) ’s emphasis on relationship management and business training helped grow his school.
Fidele Nshimiiyimana, a Business Development Advisor, prepares entrepreneurs to overcome hardships and thrive
This video was originally posted on the SME Response Clinic. Fidele Nshimiiyimana, a Business Development Advisor, prepares entrepreneurs to overcome hardships and thrive.
