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6 practical tips from a serial Israeli entrepreneur

2 May 2014
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

Israel is often considered as the ideal “start up nation“. One of the characters that represents that picture is Bob Rosenschein. Originally from Pennsylvania, he founded his first software company in 1988, when Israel was still recovering from nearly a decade of hyperinflation and recession.

In his time, Bob has consulted to Microsoft and sold a company to Microsoft. Depending on how you count, he has launched at least three successful internet / software companies over the years. In 2009, he was named Entrepreneur of the Year by Ernst and Young. So what makes him tick?

This week Bob gave a beautiful yet sophisticated presentation to the Jerusalem Business Networking Forum. His gentle humour helped to illustrate 6 salient points to a packed auditorium.

NETWORKING: We are given opportunities to meet new people almost every day. Recognise them and use them. Understand why each person is unique and can potentially help you, today or tomorrow.

LOVE YOUR PRODUCT: It is a tough world out there with people throwing all kinds of stumbling blocks in your way. Know what you can do, and find a way that every different audience can appreciate its value.

FOCUS: Understand early on the true core activity of your product, and this means you should not be afraid to challenge the experts.

SELF PITY IS OUT: Never feel sorry for yourself. It is a path to nowhere.

SELF BELIEF: Whatever happens, remember that you can and will change the world

For me, the most useful point was something that emerged in the Q&A session towards the end of the event. It emerged that staff turnover at each company had been very low. Evidently, he paid well (most of the time). As expected, the environment were positive and creative.

However, what really made the difference for Bob was that anybody who was “mean” did not last long in his little empires. Effectively what he was saying was that this human fundamental took away the benefits from each of the five values listed above. To create a pun: It would appear that he was able to build mean teams that were not mean.

For the past three years, Bob Rosenschein’s efforts have been concentrated at Curiyo. “A browser app that brings you everything you need to know from top publishers, social networks and blogger” is clearly set to be his latest contribution to successful software enterprises in Jerusalem.

Do small organisations need a business mentor? Welcome the Jerusalem Syndrome

30 April 2014
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

Two commercial set ups, both employing fewer than 10 people.

Client number one tells me that he is too busy to see me, because he has to deal with a severe drop in sale in his shops. Client number two says he is too confused to meet me, as he wants to work out why his main customer will not pay him properly.

Hey guys! Remember my expertise? I am your business mentor and coach. I can show you how to look for the answers and how to handle them.

The above outlines refer to actual scenarios that I have faced recently. I was thinking about them, when talking today to my ‘mentoring guru’, a Jerusalem taxi driver. Portly to say the least and having exhausted his explanation of the delights of his new Mercedes, he asked me what I do for a living.

When I responded by describing that I meet with all kinds of clients in multiple sectors and at different stages of commercial development, he asked me how I knew about so many industries. I corrected him. My real ability lies in spotting strengths and weaknesses, ensuring that the person in charge then acts accordingly and thus moves forward towards their commercial dream.

In other words, business mentors and coaches help others create added value within their own business, no matter how early stage or developed they are, small or large. Here are three case studies from firms I have worked with in the Jerusalem area.

A) Some years ago, I was mentoring a young couple who had returned from a long stay abroad, intending to set up a service company. They were keen, smart, dedicated, skillful, but were the first to admit that they knew very little about running a business Equally, I knew nothing about their field, yet we diligently went through the motions of talking about budgets, cash flow, marketing, team building and more. The progress appeared slow and eventually we agreed to part ways.

We kept in touch and I was fascinated to hear I they referred back to techniques I had taught. Today, they have an office in the centre of the city, employing four additional members of staff.

B) Josh was looking to set up an art studio. A dream of his youth, he was prepared to put in his life savings to make the project succeed. Sites were examined, budgets prepared, and plans were designed. However, when faced with my probing questions how all this was to convert into revenue, the sums never added up.

Josh found himself rethinking, which allowed himself to curtail his financial exposure. He has developed an approach, which is smaller in scale, but allows more revenue much quicker.

C) David has a large shop, open for nearly a decade. Each year, he has progressed, against all odds. However, last year, without realizing it, he lost control of the cash flow, and thus he has been fighting banks ever since.

Initially skeptical and after careful joint evaluation, David invested heavily in advertising an end-of-season sale. Contrary to national trends, David’s shop recorded bumper results. The campaign is now being extended.

The conclusion? No doubt about it. These small business owners took a calculated risk. They were the ones to think things through. They did the work to ensure a smooth operation. And fortunately, they were supported by an experienced business coach.

‘Could have done better’ – from classroom to workplace

24 April 2014
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Categories: Afternoon Tea in Jerusalem, Business, Jerusalem

I would place a bet that 99% of us remember that dreaded phrase from schooldays: “Could have done better”.

At different times of my education, I was haunted by it, annoyed by it but eventually learned to laugh at it. As my eldest son would say to me: “Of course, I could, but why? I was enjoying doing other things”. Recently, I have begun to think about his response, which would probably upset most parents.

We need to do better at school because………..well, in order to obtain better marks and thus head off to a better university and thus be richer later on in life. Yes, there is something to that. However, there are also enough misfits in the statement to fill half a book.

Why else should students do better? To please their parents, who are funding the education? Possibly. To boast better ‘all-round’ abilities? Maybe.

I think there is something else. And I believe the true answer can only be discovered once an individual has started to develop a full career, often enveloped by a family. Life, specifically the workplace, throws up many challenges. Some are academic or intellectual, demanding that we apply skills learnt in the classroom. However, more important tasks force us to go beyond our usual efforts, physically and mentally.

Ii is in these very special circumstances that we are forced to give ‘our very best’. This Hollywood clip exudes what I mean in a glitzy manner. But in real life?

Almost every time that I come up against a new client, the conversation invariably comes down to “how can they make more sales?”. So, I set them a very simple assignment.

First, I ask what they intend to do, to which I usually receive a predictable set of responses. Then I ask them to imagine that they had one month to double revenues or face forced closure by the banks. What then? It is amazing how the client really wakes up.

To apply this approach practically: This month, a struggling Jerusalem client of mine raised sales over a holiday period by 50%. He had been forced, belatedly, to learn how to do better.

It is a shame that generations of teachers all over the world only barked cute phrases at their pupils, without showing them the hows and whys.

One cool trick to boost retail sales

16 April 2014
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Categories: Afternoon Tea in Jerusalem, Business, Jerusalem

Almost invariably, my clients ask me how they can boost sales, especially while they are suffering a squeeze on their cash flow.

There are many techniques and tactics. For example, I have noticed that too many people are prepared to forgo an advertising campaign, even when ( or just because?) they are strapped for cash. Equally, I urge shop owners and manufacturers not to hold on to dead stock, just in case………….well,just in case that a whole load of people want to buy the lot at the original high price. Yes, seriously, that is what they seem to hold out for.

Daniel Kaheneman, Nobel Prize Laureate and author of the best seller “Thinking, Fast and Slow“, offers a fascinating alternative insight. On page 126, he describes how all of us – suppliers, sellers, consumers – become ‘anchored” by an initial suggested price offering.

He recalls a special offer for canned soups, selling at a 10% discount. In parallel, an additional sign was placed near the goods. On some days, the customer was told that they could buy as much as they liked. On others, sales were limited to 12 cans per person.

The result? When the second sign was operative (which ‘restricted’ customers), sales reached an average of 7 per purchaser.  That was double the average for the other days!

I have a plan to take this concept one step further with one of my clients in Jerusalem. I will suggest that they will display prominently a leading product, reducing it by 10% to say 100 shekels. Next to it, they should place some old stock, heavily discounted at 33 shekels per unit, limited to 3 items per customer. It will be interesting to see the reaction.

Nothing to lose. Everything to gain in higher potential turnover, without increasing inventory.

2 practical time managment techniques for 2014

8 April 2014
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

In the past week, at least four of my customers in Jerusalem have turned round to me and complained: “I work very hard yet remain behind the ball game in completing my tasks”.

And how do they know that? Well, the ‘to do’ list piles up ever higher, as – more crucially – the bank reserves run down, because they are not able to complete deliverables on schedule.

Well, this is not a new subject. Moses wondered how he would get 600,000 Israelites out of Egypt on time. Today, there is plenty of on-line advice. Just take these two articles, posted this week: –

Good reads. As a business coach, I am looking to offer my clients a practical methodology. So I have come up with two methods.

First: Do not lie to yourself, because you cannot cheat the clock. There are only 24 hours in a day. In an average day, you cannot work more than about 10 hours. Beyond that, there may be one-off longer days, but they are not repeated constantly and certainly not with quality output.

And here is the clever part, be you a rising star in your organization, manager, or senior exec; all of us have to divide up our day between three or four different categories of work: admin, r&d, marketing and production. (And do not forget lunch breaks, which our bodily car engines need). Yes, each section applies to us and thus needs dedicated time.

So, if you take on a task, which seriously minimalises your time investment in one or more of the other groups, you are going to end up …just where you do now want to be. Why? Because you tried to invent hours that do not exist.

Second: Turn your phone off, twice a day, for one hour at a time, at least. If somebody calls you, when you are trying to concentrate on a task, that interruption – even if you just look to see who it is – puts you back in thought time and your ability to complete a task. I cannot think of one person in the world who needs to be on call 24/7, 365 days a year…… and that includes you and me.

So pls, work out what you intend to do with your next ten work hours, of which 20% of which does not involve your mobile phone. Have a productive work day!

Just how open is the Israeli economy?

7 April 2014
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

Israel’s economy is performing “realtively well” according to the Governor of the Bank of Israel, Mrs Karnit Flug. She noted how: “We should we remember that we’ve had a lot of experience with geopolitical shocks, and the Israeli economy has shown resilience to these shocks.” Encouraging.

Israel’s critics tend to refer to Israel as an Apartheid state. A politically-correct term, which often has more to do with crude denigration rather than fact, this position has faced three stern tests over the past few days.

Let’s start with Turkey, whose Prime Minister only today was accused by a co-student of reading Mein Kampf when at school. Ankara has spent much of the past decade reinforcing Muslim values, while doing its utmost to humiliate Israel, including President Shimon Peres. And yet:

the Turkish Statistics Institute documented an expansion of the Turkey-Israel trade balance, despite the brutal anti-Israel ideology of President Recep Tayyip Erdogan. The institute reports a 56 percent export increase, to Israel, during the first five months of 2013, compared with the same period in 2012, while imports from Israel increased by 22% during the same period. The Israel-Turkey trade balance was $3.4 billion in 2008, rising to $4 billion in 2012.

The next point refers back to Israel’s success as a start-up nation. According to the British Economist Intelligence Unit, “Israel’s cluster of high-tech companies, investors and incubators is enjoying a boom which has not been witnessed since the global tech bubble burst more than a decade ago.”

And Israel’s mandarins are channeling even more resources towards the peripheral sectors. I have already reported on the emerging success of high tech in the minority communities. This week, the Israeli’ government’s Office of the Chief Scientist will sponsor a conference on behalf of hundreds of entrepreneurs and technology executives from Israel’s Arab, Bedouin and Circassian Communities. I suppose this ties in neatly with the fact that a few days ago, a non-Jewish participant won the country’s reality TV show of ‘Master Chef’.

Third, few outside Israel are likely to have heard of a wonderful event held last week in the holy Old City of Jerusalem. A music festival, which reached out to all four Quarters and was located around the holy sites of all the major religions, it featured 11 stations where the folk music of Jerusalem could be heard. Jews, Muslim, Armenian, Ethiopian and others played and danced in front of an equally mixed set of audiences, boosted by Israel’s growing tourist population. The shops, bazaars and eateries of the Old City lapped up the extra commerce.

A closed, apartheid economy? The evidence on the ground seems to point in the very opposite direction.

If you are a CEO, then it is time to act as one

28 March 2014
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

 

A blog this week on the Harvard Business Review referred to how CEOs need to “own a crisis”. Using the recent scandal at GM as a case study, the writer noted how the CEO, Mary Barra, took full responsibility for an issue even though it had evolved before her time.

It could be argued that Satya Nadella’s performance as Microsoft’s new boss is in a similar vein. Many have argued this week that when he launched the Office version for Apple’s IPad, he was effectively admitting that Microsoft’s strategy for the past two years had been…wrong.

Interestingly, as a business mentor or coach, I see this phenomenon of accountability all the time. For example, I visited one company in Jerusalem last week, where a senior manager was refusing to become worked up about the threats of a large national supplier. After all, that supplier had behaved incorrectly and had not honoured their word.

Guess what? One week later and that same supplier has shown that they are not too interested in verbal discussions. They see the picture very differently and have taken the matter to court, which will keep everyone busy for a couple of years. My client has been caught out, lacking a strategy.

Much the same can be said of stock control. I constantly meet owners of retail businesses, who complain of cash flow problems. Almost invariably, an initial review will reveal high stock levels. And again, almost invariably, this is explained through unexpected changes in the market, which caused a downturn in sales.

Amazingly, the CEOs rarely admit that they had made a mistake. However, even new stock does not sell itself. In the past few months, I have seen middle aged men incorrectly purchasing merchandise for a shop that sells clothing to young women. I have seen gift shops piled high with too many irrelevant products such as books. In each case, the owner finds it difficult to say ‘mea culpa’ and make the necessary changes in policy.

The role of a CEO is to lead. When the chips are down, that does not allow you to blame others. The situation should force you to stand up and to be counted by clients, suppliers and colleagues alike.

Breaking the hightech mould – 3 amazing stories

21 March 2014
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

Another week zips past and yet more overseas money is invested in Israeli start ups. China’s e-commerce giant, Alibaba ploughed US280 million into Tango. Cyvera, a data protection company that has only been around for three years, is about to be acquired for US$200 million by Palo Alto Networks. And so the list goes on.

Also this week, I was invited to a networking event for Angel investors in Jerusalem. There were several start ups in the crowd, and some were given 15 minute presentation spots.

The key point is that what I was observing was the next set of Tangos and Cyveras. Here are the three that caught my eye:

CellBuddy recently won the coveted prize at the Barcelona 2014 Mobile fest for the most innovative company in the start up category. Led by Ofir Paz, a successful serial entrepreneur, Cell Buddy will empower mobile users to choose their own operator, whenever and wherever they are. When the company releases its first product during the summer of 2014, market calling prices are set to tumble.

Not by chance, Ofir pointed out that only 12 months previously, Israel’s Waze had been nominated as the best mobile app at Barcelona. By the summer, it had been purchased by Google for over 0ne billion dollars.

Doogma also benefits from the expertise of an experienced high-tech team. As the website says, the company offers an interactive approach for companies to sell their products on line. And a video demo shows just how practical the service is.

The company launched its first version in late 2013 and has already seen a healthy level of initial sales. Its global market is vast, an application that can used in the clothing market, furniture, jewelry and more.

Inpris offers hundreds of millions of visually impaired people the opportunity to use screen-based hardware just like everyone else. The technology does not rely on further ad-ons. Effectively, the company has found a way to adjust the equipment to the needs of the individual, which has secured for them several pilot projects. Steve Jobs would have been delighted with this approach.

In Israel, everyone know the phrase “Danger! Border ahead. Do not continue”. With some irony, Israel has acquired a healthy reputation in the field of hightech, And one reason for that is how entrepreneurs ignore the limits of the existing rules. Here’s to Barcelona 2015?

Don’t want to work with a client? Something else to consider

1 March 2014
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

Many a business blog focuses on how to recruit new clients and then to re tainthem. But what happens if that paying client turns out to be the biggest pain in a sensitive part of your anatomy? What do you do next?

We are all aware of such stories, from our own experiences or from friends. You just do not want to make the next appointment with ‘that person’. The reasons can vary – they waffle, they smell, they are rude, they do not listen, they do not respond, they talk about irrelevant issues, they complain, they…… and the list is seemingly endless.

You just want to finish the contract, immediately. But what can you do? If you are self-employed, you may harm your reputation. If you are part of a company, you may lose face with your boss.

Now, these thoughts have been whirling in my head for a while, since I took on one of my new clients in Jerusalem last month. Obviously, I do not want to go into detail here, suffice to say that I am not happy.

And just as I was formulating a ‘plan of attack’, I saw something today in my Synagogue that affirmed my line of thought. As the prayers proceeded, four guest congregants appeared; young males, all bitterly physically or mentally restricted. Unaware of the rules of decorum, they would call out or cry out in the middle, unexpectedly. They disturbed the unofficial status quo of normality.

The regulars did not flinch, at least not openly. I suppose we were all patting ourselves on the back, thinking how noble we had been to ‘put up with this’. And this made me think about the parents of these people. How do they cope, day-in and day-out? They cannot afford to give up. They do not have an option.

Now, the parents’ responsibility is far higher morally than my relationship with any client. Yet, I am sure these parents are far better off as individuals for having found a way to rise to these amazing challenges.

And that is my point. At least for now, I intend to carry with ‘that person’. It is my responsibility as a mentor to dig deep and to find a way to help him onwards towards success. Thus, hopefully, I too will benefit, which will impact on other clients downstream.

“Win-Win” – what does that actually mean for my business?

17 February 2014
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The impact of global branding has forced a lot of seemingly meaningless phrases into the everyday language of business. A classic example is how the word “challenges” has replaced the word “problems”. CEOs put out annual newsletters to employers, whose descriptive outline over pages can be summed up as “we had a lousy year, no pay rises next month and I am trying to hide it”.

One such glib output is “win-win”. Ever looked it up? You can get lost going into websites about a film, a political forum, a Hebrew ads column and more.

What prompted me to think about this was a blog posting by Naomi Elbinger, as she referred to another successful event at the Jerusalem Business Networking Forum (JBNF). Naomi played a 90 minute game of FreshBiz, invented by some Israelis that is promoted as “Changing the way you play business and life”.

Naomi wanted to win, ended up in a stalemate, having realized too late that the only way for her make-believe business to grow was by helping others along the way. Yes, win–win.

Take two other scenarios that I have encountered with differing Jerusalem businesses. One is having their professional website evaluated by an expert. Bottom line, the content is fine, but the message is all about what the site owner can provide. It does not talk about the needs of their own potential customers.

In other words, the feeling is too one-sided. And that may explain why not enough customers are drawn to signing up via the site for new orders.

In a separate discussion, I learned of two teams from the same company department that were given separate tasks in a training programme. Each was briefed independently, without knowing what was the mission of the other group. Actually, they were both given banal challenges – to insist on receiving a cake with their coffee at 11.00am on Fridays, and to have an extra 5 minute lunch break.

However, because an element of secrecy (and thus distrust) had been introduced, both teams upped their demands in order to ‘compromise’ at the level of original target; extra cakes or 10 minutes. The result was chaos, shouting, even lying; all this amongst colleagues. And what should have been the solution?

Just talk to each other and see how you can help, mutually. Lay out your issues openly. 99% of people genuinely wish to support others, without an expectation of remuneration. In turn, just look how you may benefit,….or should I say win?

3 case studies to show why you might need a business coach

12 February 2014
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Categories: Afternoon Tea in Jerusalem, Business, Jerusalem

I have had the good fortune to sit down with several new clients just recently. Some of them were skeptical as to why they should meet with a business coach, and that attitude still reflected on their faces in the opening sessions.

Their commercial environments varied considerably, including retail outlets, service providers, manufacturers and more. Only two obvious factors connects them all – they are located in / near Jerusalem and they are ‘stuck’. So, are they making the right decision in meeting with me, a mentor?

Let me introduce you to three case studies that may also reflect on your own businesses.

Client No’ 1 is very presentable and very able. They are able to answer a question before you have asked it. Theoretically, with their knowledge, they should be able to proceed by themselves. They listed their problems, as they saw them. What did I suggest?

Bad news. It is not the job of a coach to suggest anything. More often than not, a coach will not be an expert in the particular field of the client. It is up to the coach to encourage the client to use their talents in order to obtain the solution. In this case, we are talking about a client, who needs to be pushed out of their comfort zone.

Client No’ 2 is again no fool. Similarly, they expect me to roll up with a list of solutions. The difference is that they are not prepared to give the time to itemize the issues which need to be resolved. Their character has not allowed for this solid approach in the past, which has led to the current paralysis. Here, as I mentor, I will be looking to introduce a new style of management and strategy-setting.

Client No’ 3 has a young business that they are looking to take in to new and stronger direction. What structure should they set up? Again, they were calling on my advice.

And this is the point. I see that my task as a business coach or mentor is to encourage people to change and thus to allow their organization to prosper. I show people how this can be done, even if I am not familiar with a specific industry or technology. Usually, the process kicks off by verifying that they have a solid vision.

The question a potential client has to ask themselves is do they need to change their ways and are they prepared to do so?

How to choose the right candidate for a top job

3 February 2014
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

 

Two of my Jerusalem-based clients have recently been faced with the task of hiring employees for key positions. They were lumbered with a very difficult question; how do you know when a good candidate is the right candidate?

Imagine the thought process of the CEO. They have invested years in a previous employee. They can see a period of work flow being held up until somebody new comes on board. They have to invest their own time in training. What will happen to customers? etc etc. All this amounts to money flowing the wrong way for a period of time. So a bad decision regarding a human resource is the last thing required at this stage.

My main advice was to create a scenario where the candidate could tested be tested professionally and also in terms their character. In bland terms for example, a software engineer may be presented with a set up, where an irate customer has discovered a bug in the system and needs to be placated. Go solve.

However, some approaches can be more subtle. In one case, I created a response to a candidate, in which they realized that they were ‘almost’ being offered a job and not precisely on the terms requested. The primary and secondary reactions revealed to the CEO how he should choose.

I recall all this in light of an article posted on the BBC website:

Gone are the days where recruiters and hiring managers interview a promising job applicant, check their references and make a quick decision…..To cut through the canned responses, employers have increasingly embraced new and unusual hurdles. While larger firms may be more concerned with adhering to hiring protocols in a way smaller firms might not be, extra wacky steps are popping up at big companies, too.

The item highlights six seemingly bizarre methods developed by senior managers to test new potential recruits; how to handle zombies, meeting the wife (the real CEO) and speed quizzes to name but three.

My favourite story was Certpoint Systems, who take candidates through six hours of a hellish plane journey. This includes a labourious check-in to evaluate how people will react under stress and in unfavourable conditions. Let’s face it, we all know what they mean.

What’s the best test? A least judging from these unusual yet bold online stories, candidates tend to end up staying for a long periods of time, fitting in comfortably with the work ethic of their new employer.

5 (and more) great eateries in Jerusalem

10 January 2014
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

Global recession? Conflict? Tourism to Israel has hit another record high in 2013. And considering that the Pope is due on his way in May this year, the numbers look set to increase again.

Most of these travelers end up in the Holy City of Jerusalem, where you can literally walk on history. But where to eat? Here are my 5 favourite suggestions of the moment.

Looking for a hot yet satisfying coffee? In days gone by, I would have directed my guests to Atara’s, which also offered the best onion soup before the owner retired. Today, in the centre of town, I can recommend Bleekers’ Bakery with its quiet décor. However, if you are in the neighbourhoods, check out  ‘Katamon Hayeshena’. This is your typical quaint, friendly, homely coffee shop. Never gets too noisy, yet is warm and welcoming. You see a smiling chef. His food is light and healthy.

Now, if you are on the hunt for a good sandwich, I strongly urge you to find one of the branches of ‘Lehem Tomer’ (Tomer’s Bread). They proffer a simple yet excellent range. What makes their products stand out is that the sandwiches are full, yet the contents do not fall out. The bread is firm and healthy, several cuts – pardon the pun – above any competitor, and well worth the extra couple of shekels.

Back in the centre of Jerusalem, if you are looking for an unusual light meal, try Alice’s. Tucked away on Shammai Street, it has a lovely ambiance. Last time I was in there, there was a young couple, coupling up, a group of pensioners, some ultra-orthodox Jews, and my wife and I. All of us fitted in readily. As for a tasty tip, try the hot mushrooms meals.

Many of my overseas guests are determined to down a plate of humous, while visiting Jerusalem. Dear reader, do not miss out on a trip to ‘Steakiot Hatzot’ (Steak at Midnight), located near the thriving Machane Yehuda street market . Originally opened in 1970 and refurnished a couple of years back, this is the best place in town to take a large hunk of fresh pitta and whish it around in humous with olive oil. You will not leave hungry.

Finally, but not last, if you want a quality meat meal, oozing with the spices of the Middle East, make your way to Eucalyptus. Situated in an artists’ quarter and a stone’s throw away from the Old City, this is top of the range cuisine, from a chef who knows his business. As he explains to his diners, he often literally goes out to pick the herbs himself from nearby areas.

Tourism to Jerusalem is on the up and up. Everyone leaves with a very satisfied feeling in their heart, and stomach.

An obvious way to put some fun back into your biz life

9 January 2014
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

As a business mentor, I see clients from all backgrounds cope with stress; family hassles, friendships going wrong, too many tasks, cash flow disasters and much more. Enjoyment? That has been left long behind, as they struggle just to keep up with the basics.

A few years ago, I found a great, obvious, but often ignored antidote to this syndrome – physical exercise.

OK, nothing new there. We all see lots of people jogging and biking past us at seemingly humiliating speeds every day. So, it is not just a case of exercise, but a pattern of physical activity that suits you and will help you make a difference. What do I mean?

As a kid, I loved sports, but because I was not much good, I felt that I was not encouraged at school. Thus, I gave up trying, and so for years really did very little on that side of things. Around 12 years ago, I found a gym where nobody knew me. I built up my own routine. And I have moved on from there. Today, I can run at least 11 km on a good day outdoors, hate the hour on the road, but love the tingle of the after-effect.

And what does this have to do with work? It is that lingering glow of satisfaction. You have achieved something for yourself. I sometimes treat every extra distance as if I had to face a challenging work situation. If I can run that, then I can find a solution to my commercial problem.It may sound cute, but you are healthier on the inside and outside.

It is amazing the number of clients, who I talk to first about their health and their approach to life, before drilling in to their work environment. Almost at the commencement of our contract, I encourage them to deal with becoming physically motivated in order to take on other challenges. For some, it can as simple as speed walk for 15 minutes, four times a week, and that does the trick.

To quote a recent article from the Harvard Business Review by Russell Clayton:

“….we found exercise helping work-home integration via increased self-efficacy. The term refers to the sense that one is capable of taking things on and getting them done – and although self-efficacy is a matter of self-perception, it has real impact on reality. According to psychologist Albert Bandura, people with high self-efficacy are less likely to avoid difficult tasks or situations, and more likely to see them as challenges to be mastered. Our research suggests that people who exercise regularly enjoy greater self-efficacy..”

For the record, I have two favourite routes. One is running around the hills of northern Jerusalem and the spectacular views towards the Old City. The other is along the Thames towpath between Hammersmith and Mortlake. Leave your music behind. Let your own deep and private thoughts drive you on towards an improved work situation.

Change – the role of the business mentor

27 December 2013
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Categories: Afternoon Tea in Jerusalem, Business, Jerusalem

A recent blog on the Harvard Business Review pointed out 5 ways a client can detect if a business coach is failing in their work. The author, Robert Sutton, is an accepted expert in the field.

I believe he could have added one more item to his list. It’s that ‘change’ word. Do you see new things beginning to happen? As I said to a client just recently in Jerusalem: “If you don’t do anything to change, you remain where you are.”

Change is not a uniform process. Some rush for it. Others need to be guided slowly towards a new goal. In some businesses the problems are glaringly obvious from the start. For example, when a CEO is complaining that profits are kept low, as he maintains a ditheringly high level of stock in his shops, the mentor has a fair idea where to concentrate their efforts.

Often, the most interesting challenges for a mentor are when the commercial processes are sophisticated and just require the most delicate of tweaks. That demands considerable and subtle probing.

The flip side to all of this is when a client complains that the mentor is not doing their job. This is when the coach has to ask if something has changed or not (for the better). If yes, the onus remains with the client to justify themselves.

Otherwise, the mentor has to recognize what has not happened and why. It is all very well to direct the blame on to the client for not changing. There again, why has the mentor not implemented a technique to ensure that move ahead? Back to Mr Sutton.

 

Does it really snow in the Holy Land at Christmas time?

25 December 2013
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Categories: Afternoon Tea in Jerusalem, Blog, Israel, Jerusalem

There are many sides to Christmas. The retail trade is all about decorating the shops with fake snow and a cuddly Santa, even if you live in sunny California. The politicians in Bethlehem use the occasion to demonize the coldness of Israel, which is ironic as it is the one country in the Middle East where the Christians have grown in number over past decades.

But for all the imagery, does it really snow in the Holy Land in December? Typically, the freezing weather only arrives in mid January. And there are years that the area around Bethlehem, about a 5 minute drive away from south-east Jerusalem, can turn into a picturesque white postcard.

All that was true until December 12th 2013, when Israel was struck by a ferocious snow storm, which lasted for four days. A few flakes were even reported as far away as Cairo! Jerusalem simply shut down. There were some amazing descriptions of women giving birth in ambulances stuck in the snow. The website ‘The Real Jerusalem Streets’ has some glorious photos of how the capital was decorated in white.

From our home, it appeared as if we had been transported in to a magical TV camera shot. As the attached views demonstrate, we were experiencing a true beginning to a ‘White Christmas’.

snow at sunrise_Dec 2013

Snow at Samuel's Tomb

And if just about everything in this region leads back to politics, it was fantastic to see Israel’s coordinated response offered to varying Palestinians towns and cities, cut off without resources. There were even photo shots of the Chief of Staff conversing with Palestinians in the snow.

Today, it is the 25th December. The sun is out. The last few mounds of snow are melting away on the hilltops and on side roads. Is it really too much to hope for that the goodwill brought by the snow will not evaporate, but stick around for a while?

Intel, Israel: You and your tech

20 December 2013
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

One of the prime reasons that Israel is known as the Silicon Valley of the Middle East is the location of three Intel factories in the Holy Land.

The company has been operating since 1974 in Israel, the forerunner of Siemens, H@P and many more multinational r&d centres. As 2013 draws to a close, it employs around 9,300 people and impacts indirectly on tens of thousands of other jobs. The three existing facilities – in Haifa, Jerusalem and Kiryat Gat – were set up with a combined investment of US$8.61 billion, of which the Israeli government contributed around 16%.

To put those numbers in perspective, Intel exported around US$4.6 billion in 2012. That was approximately 10% of the total exports from Israel.

So, what is the big deal about what Intel is achieving in Israel and what does that mean for possessors of computer hardware in nearly 200 countries around the globe? The answer is best summed up on Intel’s website:

In 2011, we witnessed the unprecedented success of the Sandy Bridge processor. Developed in Haifa and Yakum, it quickly became the fastest selling product in Intel’s history. At the same time, we developed the Ivy Bridge processor, the world’s first processor with 22nm technology. We also led the development of Cloverview, Intel’s upcoming processor for tablets and smartphones. Moreover, we reached mass production of the Cedarview processors for the next generation of netbooks.

Intel intends to continue its expansion plans. In September 2013, it absorbed most of the workers from Micron, a local manufacture of memory chips that had run into financial difficulties. And the parent company is now considering whether to set up a fourth facility in Israel (or in Ireland), where projected investment costs are expected to reach US$10 billion.

A world without Intel or Intel’s presence in Israel? Earlier this year, the esteemed scientist, Stephen Hawkings, boycotted an Israeli-sponsored conference with Palestinians. Fortunately, he did not reject the technology that drives nearly every moment of his life along with countless others.

3 reasons why small businesses need to talk to their banks

29 November 2013
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

Many years ago, when I was setting up my business and struggling, my banker in Jerusalem gave me some invaluable advice.

The gist was: Talk to me, especially when you see yourself getting into trouble.  And he added: I cannot promise a great solution, but you being forthcoming will show me that I can trust you. Thus, I will see what I can do.

So true. And now consider that advice in the light of these three stories from business mentoring clients of mine, all of whom can be categorized as a small enterprise (SME). Each has suffered, financially and logistically, as a result of not ‘keeping in touch’ with the clerk, who was supposedly looking after their money.

Story no’ 1: My client had not doubted the integrity of his bank, who she had been using for over a decade. She had rarely needed their help. Everything appeared dandy. That is until she hit the painful area of poor cash flow and was seeking a loan. So, she fixed an appointment.

However, despite arriving on time, the clerk was busy with somebody else….for over 30 minutes. After all, my client was not a known commodity. Despite eventually being seen by somebody else, she started digging around and realized that she was paying exorbitant charges. To cut a long story short, she now speaks regularly with a different bank who had offered her a loan on much better terms.

Story no’ 2:  After much legal haggling, this client’s bank was forced to lift the restrictions that had been placed on their account. So that seemed fine and there would be no further ramifications, correct?

Years later, my client entered a different branch of the same bank, where is was considering opening up a new account. The conversation was stopped after 2 minutes. He had received a straight refusal. Why? The original branch had not completed “the paperwork”, and thus it appeared on the computer as if they had an existing account, which was still restricted. Again, my client had stopped liaising too early.

Story no’ 3: In this case, my client took over an existing business. In the change-over period, a couple of cheques bounced, even though there was sufficient reserves. Nevertheless, my client ignored the lines on his statements, as the cheques went through the following day.

that he had been (and therefore still was) a bad credit risk. He paid the price for not communicating as much as he could have done.

The lesson: Small and medium sized businesses have a tendency to run away from the banks. It is time-consuming and they are often seen as unfriendly if not simply inconsiderate to the requirements of SMEs. If you suffer like that, then move. My experience is that most bankers are looking look to provide their customers with practical solutions. T o learn about what is available, it is the responsibility of the business owner to talk regularly to his ‘supplier of financial services”.

Israel’s latest financial worry – too much money

13 November 2013
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

So what’s grabbing the news headlines in Israel? Will Iran go nuclear? The true cause of Arafat’s death? Why poor rainfall is not causing a drought?

None of these. The question of the day is why does Israel have billions of extra dollars in its treasury and what to do about it? Such are the problems of life!

Step back. Twelve months ago, as Israel entered a general election, it was generally agreed that around 15 billion shekels, say US$4.5 billion, of expenses had not been financed. By the summer, the Minister of Finance had managed to secure a package, which included raising VAT by 1% to 18% and cuts in various social security payments. Very painful.

Today, there is a very different picture to describe.

  • Targeting ‘trapped profits’ of large companies such as Teva, 4.4 billion shekels was secured, when only 3 billion had been hoped for.
  • Government spending is at least 6 billion shekels lower than predicted (up to October 2013).
  • On-going tax collection has resulted in an additional billion shekels beyond what was budgeted.

By my maths, that makes the country 11-12 billion shekels better off than had been foreseen even six months ago.

There are still large problems to overcome. The Defense Ministry is demanding a large slice of this extra cake. The government and port unions are probably on a collision path, which could impact on export revenues and more, maybe commencing next week. Politicians are demanding a retreat from the high level of VAT. etc etc.

In fact, the true test for Yair Lapid, the finance minister, is just about to begin. Introducing tough economic measures just after a general election was not easy, but he had a mandate. Kudos for his political courage. However, managing successfully the fruits of that policy will be even more difficult. Now for some real work.

Business Mentoring in Jerusalem – 3 quick case studies

12 November 2013
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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

People often ask me what is business mentoring about. Surely, it is another form of consultancy, they ask sarcastically and almost rhetorically, implying that I am trying to pose as an expert on everything in order to get a buck.

So, here are three quick case studies of what has happened to some of my clients in the past few weeks. While this may sound like showing off, together they represent a response to the critics above and show what a mentor or coach can offer most businesses, large or small. (For the sake of brevity, some of the stories have been slightly altered)

1) The Bank:

To cut a long story short, my client’s bank acted illegally. He was exposed to possible financial damage as well as embarrassment re suppliers and customers. The client, call him Adam, at his own initiative turned up to his next meeting with his banker, armed with a big smile and a lawyer’s letter. Adam calmly, no shouting, told them what he thought. He told them to go away and come up with a response.

At this stage, I was able to ask Adam what he wanted to obtain out of the process. I put forward various scenarios. Ironically, later that morning, the bank responded. Bottom line, Adam effected one of the options and walked out, not just very pleased but much better off.

2) The missing customers.

Many of my clients complain that their own customer basin has run dry. Things are not looking good. I generally react by encouraging people to look at their existing pool of commercial knowledge. Quite often, it is more extensive than we give it credit.

For example, not for the first time, I encouraged a client of mine (Bll) to actively engage some of their quieter customers. Although the initial feedback was friendly but dull in terms of revenue, the medium term results have been staggering. William is too busy to meet me – no exaggeration.

3) Formulating strategy

Most senior business execs know their territory and are constantly looking to challenge their own strategy. However, it is just as common that they do not have the means to think things through and / or to discuss the alternatives. This can be a result of the pressure of time management, a lack of people to confide in, or just old-fashioned fear.

Most of my meetings take place with people off-site, where they are able to move away from the ‘obvious’ thinking that familiarity breeds. In the past few weeks, I have had several encounters, where I would just ask a seemingly innocuous question about how to develop the organization, and the others present found that they could not stop talking. Suddenly they were creating a detailed map to move on to the next level of sales, production or whatever. Naturally, they did not leave the meeting without receiving some further homework from me.

In each of the case studies, it is my client who does the hands-on work in order to change. My role as mentor is enhance and fortify their achievements. A mentor does not have to be an expert in any given field, but they do have the ability to provide an extra perspective. This is what places significantly added value in to the business.

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