Afternoon Tea in Jerusalem Archives - Page 40 of 75 - Michael Horesh Business Coach and Mentor

20 August 2013

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Categories: Afternoon Tea in Jerusalem, Business, Israel

Last week, I wrote about the importance of coaching. Whether you are training on the sport’s field or grappling the intricacies of a commercial issue, it is often a coach that can show you the path through.

I referred to a session by coach Herb Brooks, who demanded that his team discover the meaning of the term ‘dig deep’ in order to beat a mightier opposition. Brooks was not only to achieve success with the American Ice Hockey team, who pulled in several accolades at league level.

Today I read about Noah Hertz, a seemingly innocuous ultra-orthodox Jew with eight children and a long grey beard. The article described how the former air force colonel was forced to bale out of his plane over the Golan Heights during the 1973 war. He broke his leg, received minimal treatment, was questioned, tortured, kept in solitary and………….well all the other things that most of us can only imagine through the help of Hollywood camera men.

As Noah relates, yes, he did pass to his capturers some info. However, it was basic details only. He discovered a mental and physical capability that he did not know that he possessed, even for all his exhaustive training to become a pilot.

Today, a man at peace with life, Noah views life just like a fighter pilot sees the landscape, as he flies precariously low to beat a radar trap. There are dips and troughs which zip pass the aircraft at great speed. What keeps you going – through danger and excitement – is the knowledge of a greater and specific final destiny. I guess that is what digging deep is all about.

For the record, the film about Brooks is called “The Miracle”. When you read Noah’s story fourty years on, you learn what a true miracle is.

16 August 2013

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Categories: Afternoon Tea in Jerusalem, Business, Israel

When trying to motivate my clients, I often refer to a clip from the film “The Titans“.

The film is the standard theme of school sport’s team not achieving the results it needs. Amidst girl troubles etc, the coach comes along and inspires them to great results. Very Hollywoody.

For all that, the link to a 6 minute clip is brilliant. When the coach demands “your level best”, he challenges all of us – on the field, in our office – to consider if that is really what we give every day. After all, what is ‘the best’? Can it be measured, and not just in goals or points?

I recalled this when an American client of my mine recently referred me to the film “The Miracle”. This is a true story of how the American ice hockey team overcame the brilliance of the Soviets at the 1980 Winter Olympics.

As a Brit and lover of cricket, I realised that I needed to educate myself, to delve into utube and to discover the relevant section. I was not disappointed. The speech of coach Herb Brooks is a ‘must-listen-to’ three minutes. He makes a whole squad realise what they are capable of and how they can seize the moment, whatever the obstacle.

Sports are not simple. Tiger Woods or Andy Murray, even the best have to train and practice. Similarly in business, success and profits rarely come without some sweat and a lot of worrying. Again, there is no guarantee of great results.

Yesterday, I visited a client in Jerusalem. After a steady beginning to the year, they are not having the best of months. If I could put into pictures my pep talk, it would not be far off the other message from Brooks in an earlier part of the film. Dig deep, but really deep, to remember who you are and why you want to succeed in your enterprise. Then you have a great chance of making a go of it.

15 August 2013

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Categories: Afternoon Tea in Jerusalem, Business, Israel

There has been much talk recently about Israeli high tech having reached a peak and is now faltering ….whatever that means.

After all, there are signs that VC funding is falling off. The continually high level of the shekel against other key currencies may be having an adverse effect on exports. Even the government admits that tax incentives introduced over the past few years have had a miserly effect.

Take a look again. All is not so gloom and doom. For example, Johnson and Johnson has just given its financial backing to a new biotech incubator.

The item that caught my eye was that “online translation company Babylon Ltd is in preliminary talks to merge with online and mobile app distributor ironSource Ltd.” I am talking about two Israeli minnows with barely a decade of commercial experience between them. And yet together, their sales cross the one billion dollar mark.

How have they done it? What will allow them to go for a full launch on NASDAQ? Will they seriously start to challenge parts of Google’s empire?

Recent articles in the Guardian and Business Insider highlight an important and unique element to Israel’s high tech industry. The key is the geeks who emerge / graduate/ are demobbed from the Israeli army’s 8200 Unit, the techy part of intelligence operations. In Hollywood terms, such anonymous heroes help the James Bonds of the Holy Land do their work.

As Matt Kalman wrote, these people:

have made the most of their expertise in cybersecurity, data storage, mobile communications and analytical algorithms to help transform the basis of Israel’s economy from orange groves to mobile-phone apps. Israeli inventions include instant messaging, the USB memory stick, the firewall and the secure data links that enable most of the world’s banking transactions and TV signal decoders.

Israeli tech firms Nice, Comverse and Check Point were all created by 8200 alumni.

Such companies are turning over billions, employing tens of thousands, and generating tax revenues of equally vast sums. Maybe there is a lesson for the Israeli government.

Go out and listen to what the new entrepreneurs are saying. Keep the incentives simple. Some of them just want cheap office space and no bureaucracy for a year in order to get started…..and maybe turn into another Babylon or Nice.

14 August 2013

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Categories: Afternoon Tea in Jerusalem, Israel, Jerusalem, Palestinian Society, Palestinians

I was in Tiberias this Saturday night, walking along the edge of the Sea of Galilee. As I strolled down to the sea front, past the Scottish Hotel, owned by the Church of Scotland, the crowds were deafening. Jews mixed with Druze, who mixed with Moslems, along with the foreign tourists. All were customers and waiters at the multitude of restaurants on the thriving promenade.

And while thousands of Israelis were partying, American Secretary of State, John Kerry, was on the warpath. He is pulling out all the stops to reignite peace talks – at least, talks about talks – between Israelis and Palestinians.

Depending on whose spin you believe: Either the Israelis are not serious, because they keep building or enlarging so-called settlements. Or the Palestinians have shown less than a minimalistic level of commitment by bombing tourists in Eilat. UN experts have shown revealed their position by criticising Israel for its supposed harassment of a Palestinian human rights’ activist.

All this comes on a day, when Israel released 26 Palestinian prisoners, as a gesture of good will. Judging from the record of the former inmates, Israel was forced into this move by Kerry. Tom Gross, an experienced journalist covering the region, has noted that:

Abu-Musa Salam Ali Atia of Fatah hacked to death Holocaust survivor, using an axe in broad daylight.
Ra’ai Ibrahim Salam Ali of Fatah killed a pensioner by axe blows to the head while he sat on a public bench reading a book.
Two of the prisoners, Abu Satta Ahmad Sa’id Aladdin and Abu Sita Talab Mahmad Ayman, were imprisoned in 1994 for the murder of David Dadi and Haim Weizman. They killed Dadi and Weizman as they slept in Weizman’s apartment, and then cut off their ears as trophies.

And so the list goes on. You have to ask. Why would Palestinian President Abbas want such people released into his society? Why give them a heroes welcome? And why has there been no reciprocal move to show to Israelis and the peace brokers how serious the Palestinians are about peace?

What the process is showing is that while Israel, and specifically her Prime Minister Netanyahu, are not liked by parts of the international diplomatic community, their complaints do not stand up to realities on the ground. It is not just that citizens of different religions mix freely on the streets in the Holy Land, Israel goes out of its way to help others. For example, dozens of Syrians have now been treated in Israeli hospitals as a result of fighting on their own soil.

In contrast, as Palestinian journalist Abu Toameh records, “while Palestinians are being slaughtered and forced out of their homes in Syria, the Lebanese government is preventing them from entering Lebanon.” And in Gaza, the planned executions of named traitors has even attracted the disgust of the British government, as well as the UN and Amnesty International.

There are no simple paths along the journey towards peace. This was best illustrated by a recent and amazingly frank appraisal by an outgoing member of the Spokesperson’s Unit of the Israeli army.

However, I would like to take one step further what the Wall Street Journal wrote. “What does it say about a prospective state of Palestine that among its heroes is Salah Ibrahim Ahmad Mugdad?“, who beat a 72 year old security guard to death with a steel rod. When Abbas and co are prepared to find a new type of hero, one that Israeli society can relate to, than Kerry’s efforts will have a far deeper meaning.

11 August 2013

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Categories: Afternoon Tea in Jerusalem, Business, Israel

To the outsider, Israel’s economy looks wobbly. After nearly a decade when the average annual GDP growth was well over 3%, there appears to be a feeling of uncertainty.

Take the issue of the new-found offshore gas reserves. Despite committees and Parliamentary debates, the government has yet to conclude how much is permitted to be exported to Cyprus and elsewhere. That is poor decision-making at the very top.

And there is the fiasco over choosing a new governor of the central bank. Jacob Frenkel, a man who possesses all the right professional credentials, was chosen. It has since emerged that he did not disclose an unfortunate private issue and thus was forced to chuck in the nomination. Next up was Leo Leiderman, a brilliant economist, but his nomination was brought down via rumour mongering. And it is said that an excellent female candidate is unlikely to be picked, because some years ago she wrote an analysis, which was not so friendly towards the current Prime Minister. All rather pathetic.

There has been some initial fear that all this uncertainty would lead to speculation against the Israeli shekel in the currency markets. That is a possibility. However, there is another side to the economy, which is far more positive and encouraging, and is being ignored.

First, the budget deficit finally seems to be under control. For over a year, it had been rising progressively from 3% to 4.6% of GDP. Now, “the treasury said higher-than-expected tax revenues over the last few months and lower-than-planned spending had reduced the 12-month-trailing budget deficit to just 3.79% of gross domestic product at the end of July.”

Almost at the same time, the Bank of Israel released information that the foreign currency reserves stood at an all time high. Not exactly the sign of an economy in trouble.

What next? Very simple. The people are clearly doing their bit to make sure that the economy is stable. It is time for the politicians to learn how to govern.

8 August 2013

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Categories: Afternoon Tea in Jerusalem, Business, Israel

Back to agriculture?

Israel is known as the Silicon Valley of the Middle East. Where it has led in telecomm technologies (internet, mobile, apps) etc, the successes have been followed in biotech, nanotech and cleantech.

Thus it may come as a bit of a surprise that one of the most important pieces of equity finance this month centres on a small moshav (farm) called Sharona. Host to genetic engineering seed company Kaiima Ltd. the final stages of a financing round is in completion stage. The talks involve “Asian investors, including Horizon Ventures of Hong Kong billionaire Li Ka-Shing and the chairman of Hutchison Whampoa Ltd. The World Bank has pledged up to $20 million out of the $50 million that Kaiima plans to raise.”

Let me explain what is so special about these farmers. Since 2006, they have been developing seeds, which have a capability to produce high quality crops and in quantity, but without any of the drawbacks of GMO. Just recently, the company was named as one of the world’s top 100 achievers in the field of cleantech.

Israel has always had a strong reputation in the field of agriculture. It was a pioneer in drip irrigation. The Negev desert produces vast quantities of crops throughout the year. Its expertise in diary farming is sought after in countries like Vietnam and elsewhere.

To understand fully the results of Kaiima’s work, the pictures on this link (Hebrew text) explain the differences achieved. That is how a small start up in the middle of nowhere can attract the attention of some of the world’s leading investors and thus record a book value of US$300 million.

5 August 2013

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Categories: Afternoon Tea in Jerusalem, Business

In an age of social media and globalisation, why do some companies still try to ‘con’ their customers?

In an amazing blog, Joyce Gioia describes how it took the innocence of an 18 year old German entrepreneur to reveal that many subscribers to a mobile plan were being offered unsuitable plans. Twitter was swamped with negative responses. Gioia also detailed how Hilton Hotels seemingly deliberately misled customers over their points system. It is what she calls ‘negative optimisation’. Short term gain providing a long-term branding disaster.

So what can be done to gain the trust of customers and, just as important, potential customers, in an age where scepticism rules?

One clever approach, which deliberately taps into the youthful aspects of social media, is to create a ‘fake ad’. One of the best (and absolutely hysterical) examples in this category is “The Roominator“, which has apparently generated a mass of new traffic to the site of Blue Jeans Network, which supplies on-line video conferencing tools.

The point is to create an image that may be funny but shows the product or service from a totally refreshing perspective. If you have some British roots, you may argue that it is like bringing Monty Python into the advertising world. Above all, you realise that for all the satire, you are being represented with a genuinely honest approach, which encourages people to effect a sale.

Back in school, our teachers taught us not to lie, and they scared the heck out of us if we did. Maybe they should have concentrated on teaching us the benefits of telling the truth.

2 August 2013

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Categories: Afternoon Tea in Jerusalem, Israel, Palestinian Society, Palestinians

Earlier this week I questioned if the potential of increased economic wealth for the Palestinians is a priority for their own leadership during the peace process, which has made a solid start.

The issue is not the scope and vast potential of the Palestinian economy. As one person remarked – only half in jest – that it is possible to predict how Hamas and Fatah will go to arms; not over the role of religion but over who will control the revenues from energy reserves off the Gaza coast.

“Where is the money” has always been a sensitive issue amongst the Palestinian elite. This issue of financial responsibility and transparency is barely discussed openly, if not censored. However with a large dose of ironical timing, Mohammed Dahlan, the former head of the Palestinian internal security services in Gaza, has just accused the Palestinian Authority of being a corrupt institution under Abbas’s thumb. And using an Israeli legal team, he is seeking to take his own President to an international tribunal.

Now Dahlan is no saint. Google long enough and you can discover how he rose to fame by controlling youth gangs in Gaza. Along the way, he secured for himself the rich cream off monopolies and perpetuated via the ‘tunnel economy’. Hamas ousted him from Gaza, and he left the West Bank two years ago in political disgrace, but wealthy.

What must be disappointing for the average Palestinian is that Dahlan is not alone in achieving financial security while his people endure 30% unemployment. Mrs Suha Arafat, wife of former Palestinian President, has probably visited every 6 Star hotel in Europe over the past few years, a lifestyle supported by some extra generous handouts. And as Al-Monitor reported:

The annual report for 2013 issued by the Coalition for Accountability and Integrity (AMAN) showed that corruption is still rampant inside public Palestinian institutions…….Examples were given of public-fund squandering in Palestinian municipalities of the West Bank, where the total accumulated debt of municipalities and water-works agencies owed to the PA amounted to 1 billion Israeli shekels [$280 million] in the period between 1996 until 2012. Official vehicles were still being misappropriated by employees while suspicions grew concerning the running of Palestinian Airlines and the building of a mausoleum for the late President Yasser Arafat in Ramallah.

For the patient reader, detailed reports of misappropriation, lack of transparency and low accountability from 1993 to 2010 can be found at the website of the Funding for Peace Coalition.

What is so disturbing? The world is looking to create a stable peace treaty. Unfortunately, the same Palestinian hierarchy that has a self-vested interest in perpetuating the poverty that has been ramped up since 1993 (when Arafat returned to Gaza) are the very people surrounding President Abbas…… and condemned for corruption by senior Palestinians themselves.

30 July 2013

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Categories: Afternoon Tea in Jerusalem, Israel, Palestinian Society, Palestinians

So the Palestinians and the Israelis are due to meet today in Washington to begin talks about talks.

One of the issues that always annoys me is the way the Palestinian economy is reported and analysed. The standard retort is that the economy is in a mess – eg unemployment at over 25% – because of Israeli restrictions on the freedom of movement.

Well that specific stat is agreed upon by most sources. And it cannot be denied that Israeli security measures by definition must inhibit economic development. However, there is a flip side. For example, before the violence of the Intifada and up to 1999, the World Bank has stated that Palestinian economy grew by 5.5% annually for over two decades. And what about the implications of the violence on the Israeli side, which demands that resources are directed towards defence rather than structural growth?

So,let’s try to move away from the spin and the meaningless of politically correct statements. I often like to hear what Palestinians are saying about their own economy.

Last week, the Palestinian Monetary Authority released the latest figures on the state of the business environment. “In general, the overall index indicates that recovery in economic activity that took place during the past months of 2013 was back on the track in July, as a result of improvement in some industrial sectors such as food industries (index increased from 0.37 to 1.97) and furniture (from 0.24 to 1.75).”

The figures were especially encouraging for the West Bank region. It can be no coincidence that the Swedish furniture multinational, IKEA, has confirmed that it is holding discussions to open a new outlet in Ramallah in the coming year.

Despite the hypocritical howls of the BDS movement, cooperation with Israeli authorities continues. One notable example is the annual seminar held for farmers from Gaza. This year, around 50 people attended. Last month, a new industrial complex was inaugurated in Jericho with the open support of Israel, Jordan and Japan. And there is increasing speculation that discoveries of energy resources in the Eastern Mediterranean and its forthcoming development will also bring the two sides together.

The down side at the moment for the Palestinian economy can be traced to events in Egypt. Seasoned Middle East observer Tom Gross cites a report from AP from 24th July. “Egypt’s new government has imposed the toughest border restrictions on the Hamas-run Gaza Strip in years, sealing smuggling tunnels, blocking most passenger traffic and causing millions of dollars in economic losses.”

This was not a one-off comment. Egypt controls around 70% of the power supply into Gaza. And Al-Monitor headlined that Gaza fishermen can no longer ship out into Egyptian waters, which will have a clear negative impact on a major local industry. Gross observes these are blatant restrictions of economic movement, but there is no international outcry. Why?

So what does this all this mean for Mr Kerry has he brings the two sides together over a very wide negotiating table?

As these pictures illustrate (even if I do no agree with the flavour of the website), there are many aspects of affluence in the Palestinian territories. However, the population as a whole deserves better. And here’s the catch.

Instead of blaming Israel for their poverty, Palestinians can do more to resolve their own issues. A simple but obvious start would be to divert their limited resources from activities which generate hatred against Israel. They can be moved towards fostering internal structural growth for the civilian population.

The question remains if this potential of increased economic wealth for the Palestinians is a priority for their own leadership during the peace process?

28 July 2013

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Categories: Business, Israel

A significant percentage of my clients come to me at a very early stage of their business development. Some are trying to start out for the first time. Others may have filed their registration forms, but have that awful heavy feeling hanging in their stomach. Another category boasts those people who simply want to try something new, abandoning past triumphs.

What prompted me to return to this theme? First, I was asked by a magazine to write an article on the problems in setting up a new business. In America, around 30% do not make it through their first year. In Israel, where I live, 70% of food enterprises close within 5 years. That is a lot of time and effort that can be invested for minimal reward.

On a different level, I was reading “Inc Your Dreams” by Rebecca Maddox. She reveals the horrible secret as early as the preface of her book: “No one really taught any of us how to make decisions”. And this is from a person who used to resonate ‘Ms Corporate America’.

The point is that while there is a lot of supposed glamour in setting out on your own and it can often seem that many around us are doing just that and so successfully, the truth is often different. Whether you are opening a shop or NGO or high tech start-up, the grime of reality – emotional strain mixed with financial strain – can be more than challenging.

There are many ways around the issue. And two come to mind immediately.

1) Never forget who you are and what your core values represent. Always remember just how good you are.

2) Understand that nobody succeeds by themselves. We are all dependent on others. And if you do not have a confidant to help you along, find a business coach who you can rely on.

21 July 2013

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Categories: Business, Israel

One topic that often comes up in mentoring sessions is when and how to call prospective clients.

It is staggering the number of people I meet, who tell me that they do not have enough work. Yet, at the same time, they are carrying around a list of people who they can contact and who may give them a contract. By not calling the potential source of work, my client clings to the hope that they are still needed, which psychologically appears to have more value than being rejected or even receiving a positive answer.

At this stage in the conversation, I find myself encouraging the client as strongly as possible to commence dialling immediately. Why let a hot or warm opportunity go cold?

However, while this is a rule of thumb, it is not etched in stone. Business is dynamic and we must be prepared to change and act differently when challenged.

For example, I know of a few cases recently, where the customers of my clients have been seeking – even demanding – more services, without completing previous payments. The background and reasons are different. In one case, the customer has been trying to change the terms of the contract.

Let me clarify. A customer may apply subtle or blatant emotional pressure. They may play on the fears of the supplier, who is desperate to obtain more work or create a larger contract. However, the general pattern of proffered advice is to wait it out, patiently. For all the talk and persuasion and posturing, more often than not, it is the customer who is more worried. They are the ones who are desperate to be serviced in order to move forward.

In Israel, there is an old phrase, which describes a good business deal like a meal of “hamin”. This is a stew, which is cooked overnight on a low flame. You can hurry it up, but then risk ruining the taste.

And this is what is happening here. Even though you might want the work, you have to make a judgement call and not to rush your responses. Let it come towards you, slowly and gradually. The tang of success is that much sweeter.

15 July 2013

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Categories: Afternoon Tea in Jerusalem, Business, Israel

The world banking system has been through a lot in the past 5 years of so. Israel, which depends so heavily on external finance to support its start-up economy, has had to dodge through the maze of collapses and constant retrenchments. The question remains, why has the banking system in the Holy Land not joined in the free fall?

A Hebrew interview in yesterday’s with Dudu Zaken, the outgoing inspector of banks, was revealing. As he put it: “We have run simulation models to see what would happen if one of the local tycoons went under, and no bank would collapse.” For me, that is significant.

The reasons for this strength are many and varied. Start with the fact that when the global credit crisis attacked world markets during 2008, Israel has been there and done that two decades earlier. The lessons had been learnt back then.

Equally importantly, Israel’s central bank has been run until recently by Professor Stanley Fischer, a heavyweight on the international banking scene. He rarely shirked from taking on the top leaders of the major local banks, particularly Bank Hapoalim, if he feared that there was room for poor management and conflicts of interest.

A third part of the picture is the desire of central regulators, both at the Parliamentary level and via the Finance Ministry, to make the world of banking more transparent. While the success here has been limited, progress has been made. For example, over the next few months the minimum for all banks will be clarified and lowered. The types of commissions or charges have been reduced from 300 to 70.

Not all is perfect. As Zaken observed, local banks need to cut their own costs, and his comments were directed at the high wages paid out to the top managers.

About 60 percent of operational expenses at Israeli banks stem from salaries, the most of any country in the Organization for Economic Cooperation and Development after Denmark and compared with an average of 47 percent, Bank of Israel data show. The efficiency ratio of Israeli banks, which measures the effect of operational expenses on revenue, is about 70 percent, the data show. The OECD average is 62 percent.

In addition, Zaken sounded a warning about the lack of opportunity for competition. Five banks dominate 94% of banking activity in Israel.

What next? The Israeli economy is due for some structural changes over the next few years. It would appear that these need to include a more open policy to encourage additional banking players, while not impinging on the successes achieved to date.

14 July 2013

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Categories: Business

Just another bloggers article about 4 lessons from great biz leaders?

We are told to:

Be confident in who we are
Think independently
Know when to move on

Nothing too original there. What caught my eye was the fourth point from Jay Z, rapper, entrepreneur and international success story. He hits the nail on the head:

So make it a point to pursue excellence, not fame. Excellence is who you are. Fame is who you once were.

I cannot recall the number of times I have sat down to a coaching session and the client has effectively moaned how they want to copy so-and-so. Sure, you can copy methodologies and tactics. That’s fine.

However, what makes the difference is when you apply all these things, attune them to your own environment and then ensure that you carry out the tasks as well as is possible.

Only yesterday, a friend had told me how they had wanted to execute something very specific and important to them. Unfortunately, they had become confused by the plethora of advice received. In trying to be like others, clear pathways ahead had been covered by heavy clouds filled with buzz words. Help!

The solution proffered was based on four practical elements:

a) Be yourself

b) Recall what is your full aim

c) Identify what policy is truly in tandem with that aim

d) And then carry out the methodology to the best of your ability.

There is a Hollywood clip that many business coaches refer to. In the script, a team of high school football players are so caught up with complaining amongst each other that they forget what their real target was – winning. Efforts were invested in verbal challenges rather than testing their physical skills on the field.

You can see the link here. I invite you to watch in full and then carry out a very simple test. Recall any one business or work problem and then answer the following question with full honesty: “Have you done your utmost to resolve the issue. If not, what will it take to perform to the top of your ability”?

5 July 2013

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Categories: Afternoon Tea in Jerusalem, Business, Israel

Last week, I described how a client of mine learnt why and how he had to tell his own customer that sometimes ‘the customer is not always right’. It may require courage. It may lead to a loss of follow-up business. However, it is a necessary skill to acquire in running a business.

The same thing happened this week. I was asked by another client how they should handle a disruptive customer that was creating a highly negative atmosphere, which in turn was impacting on other people. Simple, I replied. Ask them to behave or to leave with a refund.

Naturally, the client was stunned. “I will lose revenue,” they exclaimed. Of course, but they also ran the risk of losing many more irritated but stable customers. 24 hours later, the cause of the negativity had departed…and with full mutual understanding.

The point is that sometimes we are so anxious to win a contract and then please the customer that we often forget that customers have to be managed, just like suppliers. Just because customers may feel that they have the supreme right to demand whatever they want, that does not make them correct. It is your job to remember that and point that out when necessary.

For example, I was asked to partake in a meeting, where a client of mine was desperately seeking an extenuation of a contract with a leading customer. The problem was that my client had failed to appreciate that he had been maneuvered into selling his services at a loss. My role effectively turned out to show both parties that this was unacceptable and could not continue. Eventually, my client realized that they needed to walk away from the opportunity.

What makes us stoop so low? Why do we so willingly abandon our business model? Some would argue that it is fear.

I have just reread a brief article from an Australian Rabbi, Ralph Genende. He cited Tina Montalto, who wrote:

I think our biggest fear is living up to our potential. We are afraid of our greatness. We are afraid to venture beyond the norm, the expected, the usual. We are afraid to be different, to stand out, to be the unique beings we really are. So we fall into the trench of common, ordinary, and routine. Yes, a trench. A hole in the ground. Dug in times of war for protection. Dug in our consciousness to hide our true selves.

Manipulative clients will ensure that you do not have any freedom to operate, as they play their ‘trump card of fear’. Thus, they keep control, but do not move forward.

Genende’s concluded with some practical words of advice. While not sacrificing humility, sometimes, it is only when we step out of ourselves that we can truly appreciate just how much we have to offer. And it is that higher value what we want to supply to our clients, so that everyone benefits.

3 July 2013

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Categories: Afternoon Tea in Jerusalem, Business, Israel

This week, Reuters reported that Intel is considering a further US$10 billion investment in Israel.

The main impetus will be to upgrade an existing fab facility. This will add to the three sites that the chip multinational operates in the Holy Land and will thus double its current regional investment.

To illustrate the importance of Intel to Israel’s economy you need go no further than the listing of income for the largest private sector companies. Looking at 2012 figures, Intel is ranked third with 17.7 billion shekels – around US$5 billion.

But why Israel?

Bloomberg recently put together a video that explained the secret of the country. Nir Barkat, mayor of Jerusalem and former entrepreneur, summed it up a meeting of start-ups last night at the Jerusalem College of Technology.

The army or geopolitical necessities forces on Israel a cultural of “having to succeed”.
The local market is too small and so Israelis look to sell products overseas
An education system that for its faults encourages questioning

And to show how this converts into real numbers:

Over 250 multinationals have research and development centers in Israel, 80 of them Fortune 500 companies, with a majority (66%) belonging to US companies. During 2011, international tech companies bought out 83 Israeli start-ups (many of which were either converted into or merged into existing R&D centers), with the buyouts amounting to $5 billion; meanwhile, during the first half of 2012, there were 50 buyouts, at a total value of $3.5 billion (not including the purchase of NDS by Cisco). Between 2002 and 2009, productivity by MNC units in Israeli grew by 121%, an average of 12% annually. This accounted for 15% of all business activity in Israel.

Just think how many pieces of hardware, check out registers in shops, units of medical equipment and more are being generated by intellect that is located in a country that is half desert and surrounded by enemies!

1 July 2013

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Categories: Afternoon Tea in Jerusalem, Blog, Business

If you had to pick five qualities or characteristics that you would want to see in a tip-top employee, employer or just work colleague, what would they be?

Let’s cheat for a moment and consult with Dr Google. For example, an item last year posted on Forbespoints to professionalism, high-energy and confidence, along with self monitoring and intellectual curiosity. A more recent blog directed the reader to learning curves, teamwork, value proposition, communication skills and even personal enthusiasm.

All very true. I will let the organisational psychologists amongst you debate it out. However, I believe that there is a much more basic and practical formula.

I have just finished reading “80 Not Out” by Dickie Bird. This octogenarian gentleman is a legend in the game of cricket, a mediocre player who went on to become possibly the greatest umpire ever. Like his dad, he left school early and went to work in a coal mine. Some lucky breaks saw him make it into the world of sport. He has since earned global fame and even attained honorary degrees.

On page 150, he observed:

I am more convinced than ever that there are five qualities which are vital for an umpire to reach the top of his profession – honesty, concentration, application, dedication and confidence. It is also important to gain the respect of the players……

Mr Bird is no academic.He probably does not folow blogs or the Tom Peters of this world. For all that, he has hit the nail on the head. With delicate simplicity, he has just described what anybody should possess in order to reach the top of his niche in life: honesty, concentration, application, dedication and confidence, all wrapped with an understanding of mutual respect.

27 June 2013

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Categories: Afternoon Tea in Jerusalem, Business

My own customer, call him Bill and who may well read this, called me up yesterday. As a business coach, how can I help him handle his own client, who I will label as Ben.

The story is as follows. Bill was asked to deliver specific services at an agreed hourly rate. Unfortunately, something went wrong and the work took much longer than expected. When asked to pay up, Ben turned to Bill, my customer, and explained forcefully:’ I will pay, according to what I think the work deserves, and this will be the basis for all future services carried out. This is how I do business’. And apparently Ben can claim his fair shares of successes in commerce.

Bill asked me what he should do? After all, he feels responsible for any previous delays and wants to keep on with the contract.

I asked Bill if Ben had ever let any of his own customers pay according to how they had valued his own products and services deserved. The answer was clearly negative.

And that is the point. What Ben was trying to do was blame Bill for everything that had gone wrong, even though much of the responsibility probably lay elsewhere. He was then being not just aggressive, but also manipulative.

To be slightly sarcastic, what Bill could have done is to have offered to take Ben out for a meal, arriving by taxi, stating in advance that the event may not cost them a dime. After all, they would only pay for the taxi if the driver was to take the best route, whatever that meant. And they would only pay for the meal if it will end being tasty and satisfying, however that can be measured.

Bill also has to remember one final issue. He still wants to be paid in full. He also sees the lure of future work with Ben, and so does not want to alienate him. However, Bill must also be prepared to walk away from the Ben, if the situation appears irreconcilable. Difficult, but sometimes you need to find the right way to tell a customer that ‘he is wrong’.

26 June 2013

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Categories: Afternoon Tea in Jerusalem, Business, Israel, Jerusalem

Professor Stanley Fischer was a great catch for Israel. When he became head of the Bank of Israel eight years ago, he entered the job with a host of credentials from the world of international finance. And it is well-known that he has been a lecturer or teacher to the likes of Summers, Bernanke et al.

He saw Israel through the global credit collapse of 2008. Since then, growth has hit the 3-4% target levels. He took on and beat the heads of several local banks, specifically Bank Hapoalim. He has controlled inflation and helped to ensure that unemployment has remained reasonable, around 7%, despite the economic downturn.

No wonder Fischer has had enough. With some concerning irony, there are reports that he collapsed at his home last night with exhaustion.

Fischer is well aware that not all is well with Israel’s economy. He has been particularly concerned with the housing market bubble. Prices do not seem to stop rising. The month of May saw an additional 47% new mortgages compared to April 2013. Worrying.

And Fischer will be succeeded by Jacob Frankel, who has served in this position before and ahs already declared that he will need to find a method to support the government’s austerity measures. Unfortunately, he will not be allowed to meddle too much with interest rates.

Frenkel has his critics, and few financial leaders have not been tainted by mistakes over the past decade. That said, I was interested in the comments of Richard Quest, CNN’s lead economic anchor and a person who has visited Israel on several occasions.

Interviewed on Israel’s Channel 2 news programme last night, Quest pointed out that Fischer is a hard act to follow. However, Frenkel is also known in the international rooms of financial decision-making, such as the Bank of International Settlements and at JP Morgan. His words will carry a lot of weight when it counts.

And why is this good news for Israel? Given Jacob Frenkel’s wide knowledge, experience and global reputation, it be very difficult for local vested groups – the Prime Minister, the Treasury, unions, senior bankers or otherwise – to challenge his control and the thus independence of the central bank.

23 June 2013

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Categories: Afternoon Tea in Jerusalem, Jerusalem

Even the BBC could not fail to report how Formula 1 racing hit Jerusalem for the first time earlier this month. The municipality closed off streets around the walls of the ancient holy city, as cars whirled past. “All we have all the time is fighting, fighting and fighting, but everyone is here together and happy – Muslims, Christians and Orthodox Jews,” quoted one local resident. “There are no fights.”

And that really is the point. Reach for any mainstream international media and you cannot be blamed for thinking that Jerusalem is all about three conflicting religions. From being a city, which represents peace, the reports seem to imply that all sides are physically attacking each other and even within their own groupings – all day, every day.

Yes, maybe that happens at the fringes, sometimes. And we all know that bad news makes for excellent copy. If you just scratch that surface ever so gently, you will find a very different world.

At the same time that screeching cars could be seen from the rooftops of the Church of the Holy Sepulchre or the Dome of the Rock, Jerusalem was hosting a Festival of Light. Holograms of classical music, tango dancers, priests, flying fish and more were beamed onto the walls of historic buildings in the Old City. All four quarters, Muslim, Christian, Armenian and Jewish, were exposed to tens of thousands of local visitors and tourists every night. Phenomenal experience.

I could mention the annual Israel Arts Festival or the final of the European Under 21 football competition. Neil Tennant of pop band ‘Pet Shop Boys’ , which is due to play in Tel Aviv this week, summed it up when he wrote recently that “in Israel anyone who buys a ticket can attend a concert”.

For the record, my favourite event is the latest exhibition by my good friend Shoshana Meerkin. Aptly entitled “Touches of Transparency“, her ever- beautiful and delicate works can be seen at the Jerusalem Theatre for the next month. Open to all, free, easy access for physically impaired.

Now that is my Jerusalem 2013.

21 June 2013

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Categories: Afternoon Tea in Jerusalem, Business

Google the phrase “how to create a power point presentation” and you will receive a trillion links. So, if you are looking for a quick solution, that don’t help too much, does it?

I can chip in and recommend that you look at a wonderful article by Ian Sanders and also those that critique the techniques of the late Steve Jobs. In addition, there is an excellent review by the founder of TED, Chris Anderson, on how to give a killer presentation. He cites some brilliant examples from his conferences.

For all that, you still have to sit down, take a deep breath and put something to paper……or on to your screen. How? What to write? Some here is a quick and practical check list that I show my clients. It is designed to save you a lot of hours, redrafting slides that actually make no real sense. This 4-point approach should see you coming up with something “wowish”.

First: Think! Take some time to think. What are you actually selling? What is the key message that you want your audience to understand and then act upon?

Fast food chains are not providing foods but a fun social experience. Clothes shops are not offering a range of well-cut pieces of cotton and lace, but a ‘feel-good’ / ‘look-right’ feeling. Equally, a client of mine was asked recently what was his business model for a high-tech product still under development. Pushed and shoved into the depths of brain-storming sessions, the team suddenly realised that the core value addresses a large, new and eager market. That explanation will be seriously interesting and challenging for a listening audience.

Second: Know your audience – composition, how many, potential boredom factor. Above all, ask the yourself a very simple question. What is going to make them under your key message. For example, a forum of financial investors is unlikely to want to hear you spouting technical and long-winded phrases. And as a rule of thumb, slides should have few words, feature a use of consistent colours / fonts, and should support rather than detract from the words of the speaker.

Third: Be passionate – because if you are not, your audience will not care either. Many of us become nervous before delivering in front of others. If so, I suggest that you start off as if you are talking to a friend in a noisy coffee shop, when you have no inhibitions. And by the way, if a 12 year old Kenyan tribesboy can win over a TED audience, you too can get through to anyone. Do not be afraid to be yourself.

Fourth: Put the kettle on. It is time to stop procrastinating and to start thinking, with a hot drink by your side.

Pages

Sport’s coach – business coach: The Miracle

Sports’ coach – business coach

Why Israeli high tech is a success

Does Israeli society promote peace in the Middle East?

The real story of the Israeli economy

Israel’s next industrial revolution?

Gaining the trust of your customers – covering the basics

Peace talks and what Palestinians says about their own economy (2)

Peace talks in the Middle East? What Palestinians says about their own economy

So you want to start a new business, and……

A hidden secret of good business – timing

Israeli banking system – status report mid 2013

Rapping and business coaching – how to do your best

Why are we scared to admit that customers scare us?

Intel, Israel, incredible bucks

5 ‘Qualities’ that get you to the top

Learning to tell a customer ‘you are wrong’

The Bank of Israel is set to do well, again

Formula One, Rays of light and transparency – Jerusalem 2013

Help! I have to create a power point presentation

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