Afternoon Tea in Jerusalem Blog

In addition to my work as a business coach, one of my interests is blogging about life in Israel. This is a country full of contrasts – over eight million citizens living in an area the size of Wales. You can see snow and the lowest place on the globe in the same day. Although surrounded by geopolitical extremes, Israel has achieved a decade of high economic growth. My work brings me in contact with an array of new companies, exciting technologies and dynamic characters. Sitting back with a relaxing cup of strong tea (with milk), you realise just how much there is to appreciate in the Holyland. Large or small operations, private sector or non profit, my clients provide experiences from which others can learn and benefit.

The year 2010 is behind us. Despite downturns in Europe and a currency that has been revalued over 15% in 18 months, Israel has achieved 4% growth, yet again. And much of this is export derived. So what’s in store for 2011?

Many of Israel’s trade partners have entered January looking over the shoulder at the past. Greece, Portugal, Ireland and Spain are still in recovery mode. The UK retail sector as usual will spend weeks working out if the winter sales were successful. Germany and Australia are the rare exceptions to a non-too-optimistic OECD picture.

But in Israel……

Gas exploration will forge ahead. Many of the finds will not produce direct revenues for a few years and then they will be directed to overseas markets. However, the new resources will drive up the stock market and create jobs at primary and secondary sectors.

At a macro level, the government is slowly pushing ahead with tax reforms. Personnel tax brackets have been updated from the first of the month. Corporation tax has dropped another notch to 24%.

And the government is finally learning where it can make a difference to the lives of citizens without playing “big brother”. For example, Israeli society is dominated by the use of mobile phones. The service suppliers have churned out billions in profits with poor service in return – I write from experience. Fortunately, charges from landline calls have just been slashed. And licenses have been handed over to two extra competitors. There is hope.

What else? It is probable that a possible real estate has been burst. The stock market is breaking new highs. The one real fear is that trading partners will not perform as needed, thus acting as a break on further growth.

As for innovation, the trigger for much of this growth, I have 4 new start up clients due to commence work with me during January. Israel’s economy is on the move.

Over the past month, I have been asked to advise or help with several presentations.

I could easily have directed people to some wonderful help sights and told them to get on with it. One of my favourites is “slideshare“, and specifically the guide which encourages to steal the presentation. Worth the 5 minute browse.

If you want something more hands on, consider the critiques on Steve Jobs. These really tell you how to be simple but effective.

And of course there is the now ubiquitous 10/20/30 rule, as proposed by Guy Kawasaki.

Now, I am no tech wizard with microsoft tools. I am no genius with choosing new fonts of colours. I do encourage people to think differently before even drawing up the initial slide.

We all know the situation. You have to prepare something. And the first question is often along the lines of: “Right, what shall I tell them”.

For me, this is the wrong starting point. How about considering:-

  • Who is my audience?
  • What message do I want them to take away?
  • What action items do I want them to follow up on?

A little bit of thought beyond the immediacy of yourself will help you to generate a much more powerful creation. And here are some examples of what I mean, when this action is not taken.

How many start ups use multiple slides to describe their tech, when an investor simply wants to know what and when they are going to receive a return? Or consider the inventor who is so chuffed explaining his tech can do that he forgot to explain how it can be monetized?

And how many presentations have you seen when all the speaker does is effectively read from the slide, which is usually so full of text that the font is annoyingly small? Not much left for the audience to do but go to sleep.

 Bottom line: as YOU start planning YOUR presentation, think about OTHERS.

It’s almost Christmas time, the season of smiling at your fellowman…except if they are Israeli?

The year of 2010 was marked by an increase international campaign to delegitimize Israel. The musicians, Elvis Costello and the Pixies, cancelled a concert in Tel Aviv at the last moment. This week in Seattle, a series of adverts were placed on public buses, decrying so-called Israeli war crimes. In London, there are now regular demonstrations outside retailers stocking Israeli products. And so on, at great length.

Years ago, if you wanted to protest about Israel, you stopped buying Jaffa oranges. So what would happen today, if you were to ignore deliberately Israeli products?

Teva is considered the second largest manufacturer of generic drugs in the world with facilities in Europe and in the USA. Many of their products end up in the bodies of the poor on all continents. I suppose you could just avoid the company, and either suffer or hope that you could afford the alternatives.

What about Argo? Their equipment is helping thousands of people confined to wheelchairs to start walking again. One application was featured recently on Glee, the award-winning tv programme. Of course, paraplegics in Seattle may wish to remain immobile, but me thinks this unlikely.

And then we have fans of Lady Gaga, Bruce S or U-2. These artists and others depend on technical support from Waves Audio, based near Tel Aviv. Like the music or not:

Waves Audio … will be presented with a prestigious Technical GRAMMY® Award during the GRAMMY Week celebration in February 2011. ……With this presentation of the Technical GRAMMY®, Waves joins a prestigious list of previous recipients which includes such well-known names as Apple Computer, Inc., Sony/Philips, Shure Incorporated and Yamaha Corporation.

And we must not forget Intel. 95% of people reading this item will have a computer whose chip tech had been developed in the Holy Land. And the next generation is already in the planning stage. So, switch off your computers and stop listening to most modern music?

So what is the boycott all about?

The true hypocrisy of the boycott was exposed on a picture of the front page of the newspaper Yediot, this Christmas Eve. The reader saw a stream of illegal refugees from Sudan and other parts of central Africa hiking across the Negev desert into Israel.

You have to conclude that Israel is not that bad for these people to come here. And, assuming that they are persecuted in their home countries, why are those protesters against Israel not uttering a word of behalf of these poor souls. Anti-Israel or just old-fashioned hatred?

Coincidence?

Earlier this week, I was told of a report commissioned by a leading Israeli company, which wanted to track customer responses. The bottom line did not make pleasant reading. Complaints of arrogance, misleading pricing policies, poor products, and other comments nobody expected to read.

And yet this was a company doing well. Most key budget targets had been met over the outgoing year.

Meanwhile, my IIB colleague, Siu Ling, has directed me to “Misleading Indicators: how to reliably measure your business”. Her bottom line: not all key company indicators are measuring what you think they are.

The results can often be disastrous and confusion. What can be done? Remember, businesses live and thrive in a dynamic situation. Just remember why you cannot take anything for granted.

How do you know it is Christmas time?

The Europeans always complain that the amount of snow is wrong, whatever the quantity. The shopkeepers are never happy with either the pre or post festivity purchasing stats. And the “spinners” in the Israel-Palestinian conflict begin to bombard the gullible with slanted stats about life in Bethlehem.

Here’s what I mean:

In “New Christmas Story: Bethlehem under Occupation“, the reader is asked to believe that Israel has effectively banned Christianity from Manger Square. Published almost on the same day, Human Rights Watch (HRW) in New York called for a boycott of Israeli products manufactured in the West Bank, as the Jerusalem government must be seen as a brutal occupying force.

Israelis will reply that economic growth in the West Bank is bouncing along at about 8-9%, now that the Palestinian Authority is directing more resources towards proper government and away from violence. And the HRW report can only be described as a pathetic or dangerous whitewash, as “the manufactured allegations erase the context of a protracted and intense conflict, and ignore the legitimate security needs of Israel.”

So what is happening in Bethlehem, Christmas 2010?

The Catholic News Service has just reported that:

With five new hotels in the works, a handful of new souvenir shops opening recently and nearly 40 restaurants able to serve crowds from 100 to 1,000, the Bethlehem economy is showing signs of recovery following the desperate intifada years. For the first time in years, shop owners and tourist industry workers in the birthplace of Christ are optimistic and have confidence in the economy. For most, 2010 was the best year for business in a decade.

And it is an established fact that Israeli and Palestinian tour guides are cooperating, bring trade to each other under a new scheme. In fact, as Israel is completing a boom year in tourism and as around 2/3 of the visitors are Christians, it can be assumed that many have ended up visiting Bethlehem.

Start crawling the net and the evidence from non-partisan sources is that life ain’t too bad in Bethlehem these days. By the way, it should be emphasised that every since the municipal boundaries were reorganised by Chairman Arafat in 1996, the city has been predominantly Muslim.

Led on by the Palestinian PM, the Christmas preparations near their climax. Meanwhile, 15 miles away in Israel, two Christian tourists were attacked , probably by terrorists. One died of her wounds.

“Get the expectations clear up front to prevent your business partnership’s failure.” Jean Charles

I was sitting with a new client, listening to how they wanted to set up the business. Super qualified, experienced, dedicated, I heard the rich and thought out commercial philosophy in full. And now is the time to set up their own legal office. Fine. What were my thoughts?

Fine, I wanted to agree, but I had the suspicion that there was a “fly” disturbing our conversation.

So my experience as a business mentor told me that it was time to prod. And very quickly, we were not chatting about their own letterhead, but being associated with partnership. Their former boss in Jerusalem, who is much respected, wanted my person to set up in Tel Aviv. And this would be a partnership. Good.

Very good. They would be linked to a fine national team. They would not need to search for the first clients, ensuring an initial revenue stream. Groovy!

And one last question: Did this concept match their own philosophy and approach? Well, not exactly. And suddenly, I had the “fly” in my sights.

A few rapid questions later, and the truth began to eek out. No, there was nothing wrong professionally or personally with the boss of old, but he had rejected the initial suggestion of partnership. So what was their understanding of a “partnership”, I asked.

And suddenly, a chasm opened up. It appeared that assumptions had been made by both sides. The expectations of all had not been defined, and the road t confusion was wide open in front of them all.

In 1997, Don Miguel Ruiz wrote a short but brilliant book about the Four Agreements Of Life.  

Don’t Make Assumptions. Find the courage to ask questions and to express what you really want. Communicate with others as clearly as you can to avoid misunderstandings, sadness and drama.

I encourage my readers to find a copy of the book.

Yesterday, I received this joke about retirement

Question:  How many days in a week?  
Answer:
  6 Saturdays, 1 Sunday.
Question:  When is a retiree’s bedtime?  
Answer:
  Three hours after he falls asleep on the couch. 

Question:  How many retirees to change a light bulb?  
Answer:
  Only one, but it might take all day. 
Question:  What’s the biggest gripe of retirees?  
Answer:
  There is not enough time to get everything done.

Question:  Why do retirees count pennies?  
Answer:
  They are the only ones who have the time.  

Question:  What is the common term for someone who enjoys work and refuses to retire? 
Answer:
  NUTS!   

Question:  Why are retirees so slow to clean out the basement, attic or garage? 
Answer:
  They know that as soon as they do, one of their adult kids will want to store stuff there. 

Question:  What is the best way to describe retirement?  
Answer:
  The never ending Coffee Break. 

Question:  What’s the biggest advantage of going back to school as a retiree? 
Answer:
  If you cut classes, no one calls your parents. 
And, my very favorite…. 
QUESTION:
  What do you do all week?  
Answer:
  Monday through Friday, NOTHING….. Saturday & Sunday, I rest.

And that was the abbreviated version. But behind the joke is a more pertinent question. If retirement is so wonderful, how can we get there that bit quicker?

As a business mentor, I effectively ask that question almost every day of my clients. Whether as a start up or as an on-going concern, they come to me with great ideas and say “I’m stuck – Help me!”

All too often, we discover that two key ingredients are missing.

VISION – it is often incomplete. The concept of why you want to do something has not been fully thought through

TIMELINE – people tend to be so concerned with immediate tasks that they forget about longer term milestones. Perspectives become lost or muddled.

Yes, there are may solutions. They often relate to the issue of instituting building blocks or aids that will allow you to look beyond the present. For example, start working with a friend or mentor. 

That way, you might be able to retire that bit earlier and really start to do the things you want to do and deserve.

The annual Globes business conference in Tel Aviv is a great occasion for Israelis to reveal their economic capabilities. After all, Israelis never need to be given a second chance if asked to show off.

And there is much to shout about. At the macro level, GDP will have moved ahead by around 4% in 2010. Unemployment dropped to under 6%. Israeli scientists, who have created successful careers abroad, have begun to find jobs locally. etc etc.

I noticed this morning a series of press releases that show how well parts of the economy are performing.

NICE Systems Ltd. (Nasdaq: NICE), the worldwide leader of intent-based solutions that extract insight to impact business performance…..has been recognized as the worldwide leader in speech analytics implementations, with a 34% market share, …..by DMG Consulting LLC, a leading analyst firm.

That is very welcome praise indeed for this high tech outfit, based north of Tel Aviv in Ra’anana. And they are not alone amongst Israeli companies receiving glowing reports: –

 ClickSoftware Technologies Ltd. (Nasdaq: CKSW), the leading provider of automated workforce management and optimization solutions for the service industry… has been named as a winner in the ninth annual Mobile Star Awards™ program, hosted by mobile technology news portal MobileVillage.com.

A leading internet investor’s guide, INVESTORS.com,  summarised the issue very clearly.

If you’ve been sifting for top-rated stocks, you’ve probably noticed a gaggle of stock-market winners from Israel popping up on your screen recently. And a lot of these hail from high-tech industries.

Israel? Talk about a country with problems. But some basic features of its economy compare well with the U.S. and Europe, though not against emerging-market stars such as China, India and much of Latin America.

This week, I learnt of two actual stories, where accountants and economists tried to save money, but lost a fortune.

At a macro level, last week Israel needed international help to put out a raging forest fire. Nothing wrong in seeking assistance. However, the need to issue an SOS was sparked (pun intended) by over a decade of de-investment in the country’s fire services.

The Finance Ministry had refused to approve requests. The Ministry of Interior and others had refused to insist on budget approval. Meanwhile as lives and homes were literally burnt away in seconds, the tv cameras filmed fire engines that would not start. It has been exposed that the main training ground cannot run “real” exercises, because neighbours have complained of the danger! Staffing levels are way below international comparisons, and so the list of unbelievables goes on.

How much has been “saved” over the past few years through this false allocation of resources? The starting estimate is around 100m nis or about US$30m, and robbaly several times that amount.

And in today’s Hebrew newspapers, we read that Israel’s budget debt for 2010 will be 40% less than predicted. Whichever currency you choose, that is a saving of billions. In the words of Monty Python, “say no more…”

Shortsighted? Well, how about this one. A specific Israeli company has been gradually losing its dominance. A new marketing strategy is being devised. Great. This involves “getting the word out”. Great. And much focus is being placed on the main annual exhibition in the sector. Fine.

Fine, that is until the overseas head office of the multinational asked for a justification of the exhibition budget. How many deals will be concluded that want to know. To date, the budget request has been rejected by the foreign senior finance staff in their comfortable new offices.

Meanwhile, at a lower level, an economist is demanding that the Israeli subsidiary sends in the final sales expectations for 2011.

I must assume that the numerous members of the planning staff at head office have cut their on-line free subscription to the Harvard Business Review. This magazine published numerous articles during 2009 and 2010, explaining how great companies are born out of recessions, when they SPEND on marketing. 

Why is the obvious so unobvious to those who should know better?

According to a new survey released this week by the Australian Institute of Management, one third of bosses admit they’re underperforming. When asked if they could be putting more effort and input into their role, 34 per cent resoundingly said yes.

Well, they say that admission is the first stage towards solving the problem. And not surprisingly, there is a direct impact on more junior members of staff. They feel under appreciated if not misunderstood. One big recipe for disaster.

Well, there are lots of techniques for resolving these issues; group dynamics, bonus systems, away days, etc.

My experience increasingly points in another direction: appreciating your time and then managing it efficiently. Here’s what I mean.

Many managers often feel that they work hard, but just never get ahead of the “ball game”. When given a few moments to reflect, they often find that thy do not use their time properly. Here are just three reasons:

  • prioritising the wrong things
  • never getting around to subjects they enjoy
  • spending too much time on non-productive subjects

Result? Underformance, disillusionment, passing on unnecessary pressure to colleagues and staff, and thus our familar circle of departmental boredom and ineffciency kicks in.

The question is how to move forward. (See next blog)

Israel is coping with forest fires that any country would struggle to handle. Over 40 lives lost; 40,000 dunams of supreme woodlands ruined; an estimated billion shekels  (US$270 m) in various costs.

Exceptionally dry winter weather, some negligent kids and maybe a few arsonists have forced some heroic service staff to be even more heroic than normal. The Prime Minister has spent much of the past 3 days on site, directing operations. And yet……….

Let me clear. By all accounts these fires are extreme, even when compared to disasters in other countries. Again, firemen et al have been working for days with little rest. And yet……..

A country wants to feel safe. A country expects preparedness. A country wants to observe a government taking affirmative action. These fires have shown beyond all doubt just how much Israelis have been short-changed, for years, repeatedly.

First, it has  an established fact, going back to at least the 1998 Ginossar Commission, that the fire services have been poorly supervised at a political level; poor management and negligent budgets. Yup, that takes in several different ministers of alternative political persuasions. They took a chance that nothing serious would happen and ……….got it oh so woefully wrong.

Bottom line: Because nobody could argue for a few tens of millions of shekels every year, we now have a major humanitarian crisis on our hands. What comfort is it to know that the PM has just ordered the Finance Ministry to offer monetary aid without red tape. By the way, one bank has already said that it will delay mortgage repayments (on burnt down housing?)

And whilst the hoped-for fire engines and new equipment remained in the warehouses of manufacturers, how many interest groups received their extra does of expenditure; religious institutions, buildings for specific sectors, budgets for 30 government ministers when less than 20 are needed, etc etc:

Now more than ever we can say that Israel has a set of political leaders who have forgotten that power is not for the sake of power. They have to look after national interests and not just cater for their own private party affairs. This is a generation of talkers that has failed its electorate.

If one person demonstrates this sectorialism more than most, it is Eli Yishai. The Parliamentary leader of the ultraorthodox party, Shas, he is at his loudest when speaking on behalf of his constituency.  Officially, Yishai is in charge of the fire fighting services, as he is the Minister of Interior, a bureaucracy which has responsibility for many aspects of peoples’ daily life.

As the fires raged near Haifa, people were being evacuated from homes, and firemen were being treated for exhaustion, Eli Yishai spent the Sabbath at home in Jerusalem.

The IMF has just given the Israeli economy a cautious thumbs up. 

Israel passed through the global recession swiftly – the fruit of decisive policies – and strengthened macrofinancial policy frameworks. The challenge now is to sustain growth and low inflation while boosting medium-term prospects – in the context of continued global uncertainty, capital outflows from advanced countries, shekel appreciation and a housing market that is overheating.

So where to next? The “PIIGS fallout” does not help. Exports to these countries are down and there is a US$0.8 billion bank exposure to the region.

On the stats side, unemployment rose slightly this week for the first time in nearly 24 months. And the third quarter saw an unusually sharp fall in manufacturing output, particularly in the pharma sector.

The stock market remains one area of tranquility for investors. Over the past year, it has jumped close to 50%. The top leading 25 companies have seen their combined profits leap forward by 17%.

What does all this mean? The basic fundamentals are in place. However, as the IMF and the Bank of Israel’s continue to shout, this platform needs to be protected, constantly. Rule number one – no giving in to economic and politicl interest groups!

I have just attended a London meet up of hundreds of people, considering business opportunities in Israel. And one of the questions that popped up repeatedly in different forms was how is it possible to seek out decision makers in a foreign country, where English is only the second language.

One answer I threw back was to use a recognised local business mentor. But is that enough, especially if you are in a new environment?

This weekend, I read an article about networking your way to the top, avoiding the traps along the way.

  • Get to be known by being useful
  • Take charge of new situations, without dominating
  • Expand contacts book
  • Research who you are going to meet
  • Sit / stand opposite those you wish to influence

Simple enough if you are in a meeting scenario. But what happens when you are faced with an event of some kind?

  • Prepare some opening lines in advance
  • Avoid taking about yourself too much
  • Step outside your comfort zone and drag others into the conversation.
  • Try to show honest interest, even empathy, in what is being said to you.

If you let a strange language remain as your handicap, you will never move onwards.

“Business mentoring” is one of those newish fads that has creeped up on the commercial community in the past few years.

In Israel, the Ministry of Industry actively encourages small and medium businesses to use mentors. The cost is subsidised by up to 75% and the paperwork is relatively painless. In the UK, the new government has taken active steps along similar aims. Despite recent initial criticisms, the project is moving forward.

The question is when to turn to a business mentor. Recently, I held a preliminary meeting with a potential client, where I felt the need to be very frank. I asked them to demonstrate their level of future intent to the project discussed. There was a possibility that we would be wasting each other’s time, a precious resource in itself.

The Institute of Independent Business has over 5,000 associates in over 20 countries, many providing direct support for those in need of mentoring. A fellow associate is Bill Cunningham from Shepperton, London. Bill has drawn up a simple check list for mentors to ask before taking on a client.

Many of these issues can be turned on their head and used by the person considering such a service.

  1. Can you provide an agreed statement of requirements?
  2. Do you have a top priority?
  3. What is your timescale and why?
  4. What is your sincere and genuine commitment?

Bill’s longer discussion is worth reading in full.

I would add one other point: “Why are you here”? This seemingly innocuous question tends to prod people towards some very revealing answers.

Israel’s economy has just turned in its 6th successive quarter of growth. While slightly down from earlier stats, the Finance Ministry is looking towards achieving 4% for the year, with a similar target set for 2011.

So the comments of OECD Secretary General, Angel Gurria, will come of no surprise. During his visit to Jerusalem, the international financier noted that Israel’s economy is doing better than others. Earlier Gurria had observed that:

The Israeli economy had grown during a recession, and OECD countries can learn from that. Unemployment is also low than the group’s average.

A compliment indeed, and very encouraging. Gurria did not hide his concerns for the future. He feels that more can be done financially to help the Palestinians. And the minority and poorer sectors must not be ignored.

However, Israel’s economy still faces three key challenges. Fortunately, none are concerned directly with budget deficits.

  • It is faced by a continuing rise in the price of real estate, a rare issue for the rest of the OECD. The government is taking too long to release new land on to the market.
  • The shekel continues to remain strong despite the open and continuing efforts of the Bank of Israel to buy dollars. This is damaging the profitability of exports, a key part of the country’s economic success.
  • And major overseas markets are cramping up, forcing exporters to look for alternatives. Not so easy after a global recession.

Where to next? As the OECD struggles with the Irish crisis, Israel is already looking beyond to a different set of hazards.

As a mentor, I hear this scenario so often.

  • You ask the client what they are trying to achieve. That is often a clear and elaborate answer
  • You then question what is needed to progress. That question may well be greeted by a grunt, otherwise recognised as the “ouch factor”. 
  • You then analyse what they have done to move towards that vision. That is often a very brief discussion, at best.

So here’s the conundrum for the mentor. You are faced with a client who wants to succeed, but has effectively done by themselves. And that is all the more strange because the challenge on offer has been established by the client themselves. The territory is supposed to be within their on comfort zone.

I am no shrink, but time and again it turns out that many of us have been “programmed” either to consider success a dirty word or to understand that failure is no-go territory. We should be so perfect at what we do that failure is not on the table for discussion.

Click on utube and you will find speaker after speaker preaching the opposite. They will point to many mega examples of those who mucked up before succeeding. However, our “teachers” – at school or in the home – have ignored these stories. Maybe they wanted to cover up their own failures. Maybe they thought that preaching perfection while hiding reality was effective.

The bottom line is a large number of people are left wanting to succeed but to afraid of negative results. And where does that leave them? A lot of brain energy not being converted into a thriving commercial project.

Is there a solution? You bet. Get somebody to help you to shout back at those hidden voices and then go and do what you really want to do in life. Enjoy!

I was pleasantly surprised at the positive reaction to my previous two postings on what inspires different people. Maybe it is one of those themes that people are just waiting to be directed towards.

And he subject came up in conversation earlier this week. I was trying to establish with a client what motivates their agents. Within 60 seconds, several answers had been thrown around, yet nobody could be sure what was the definitive reason.

This morning, I was caught by an internet posting on what or who encourages London entrepreneurs. Apparently, women look for guidance from Harry Potter creator, Ms. J.K. Rowling. However, menfolk go in a totally different direction, preferring the gruff Mr. Alan Sugar.

Consider power point presentations – whose main aim is to convince or inspire people to carry out new actions. A business acquaintance, Siu Ling Hui, recently directed her twitter followers to a site with 33 brilliant  and dynamic slide shows. My own favourite is “steal the presentation“, but again each to their own.

One thing that these anecdotes show is that inspiration is very much a trait that is specific to the individual. Be it for academic or environmental or whatever reasons, each one of us responds in our own different way.

What is important is to find a way which allows you to believe in yourself and then allow that method to come through for you.

My latest client is a very decent sized manufacturing concern situated in the heart of an agricultural kibbutz. The members own 50%.

Yup – the remaining shares are in the hands of a private group. Long gone are the days when the kibbutz movement, now celebrating its 100th anniversary, was a bastion of socialism.

I have no intention of knocking kibbutz and what it stands for. Over the past two decades, the 273 communities have evolved. For most, debts have been paid off, the next generation has stopped leaving, European volunteers are returning; etc, etc. Good times are returning.

Commercially, success stories abound. In the past 12 months, there have been at least 3 major “exits”.

  • Materna, baby milk supplement from Kibbutz Ma’aborot, sold to Osem/Nestle for 268m shekels ($70m)
  • Shamir Optical from Kibbutz Shamir, sold to Essilor for 130m shekels ($35m)
  • Tivoll, soya based foods from Kibbutz Lohamei Hagetaot, sold to Osem / Nestle for 500m shekels ($135m) 

Only a few weeks ago, it was announced that the listing of the number of kibbutz owned firms on the Tel Aviv Stock Exchange is set to double. The movement may account for less than 2% of the overall population, but its 127,000 members drive over 8% of Israel’s GNP. Impressive.

And if you think that all I am talking about is a few large factories tagged on to a massive agricultural ego trip, you are wrong. Venture south towards Eilat, and stop off at Ketura. You will find some of the most sophisticated solar power units in the world. No surprise that Siemens has been investing heavily in the venture.

What next? Simple. Raise your glasses to the next 100 years of commercial success for these communities and then join in the boom.

About 5 years ago, in the midst of the Intifada and suicide bombings, some of the leaders of  main religions of Jerusalem came together for a  very unique press conference.

No, they did not call for peace. Nor did they offer a joint prayer for those who had been injured or killed. They could barely bring themselves to shake hands with each other.

The issue was the proposed march through the holy city by a group of homosexuals, lesbians and their supporters. The leading clerics – Muslim, Christian and Jew – were appalled and demanded the cancellation of the walk.

The calls fell on deaf ears. In fact, the walk has also taken place every year since then. And we all thought that we would not see such a sign of religious unity again, at least until after Israel had won the world cup.

Wrong!

This time, the rallying cry has not been to do with “settlement building”. Nor unsupervised excavations by the Wakf in the Old City. Not even the divisive management of the Church of the Holy Sepulchre. No – we are talking about rain, or rather the lack of it.

It is mid November, and barely a drop of water has fallen in Israel this month. In fact, a heatwave is predicted for the next few days. The Kinneret, a main water resource, is running dry. Desalinization will only become fully effective in about 3 years. The country has a major problem.

So, several religious leaders – Jew, Muslim and Christian – came together last Friday for a joint prayer session. It took place in an Arab village, just outside Jerusalem.

Will it work? Will it be more successful than the previous act of unity? It will take a brave person to predict the future.

However, the event itself can be seen as one small drop in helping to make the garden of coexistence grow, despite the terrible environment. Long may their efforts continue.

“How do I know it will work? Why should I take on the client?”

As a mentor, I am asked this question repeatedly under different guises, and it came up again twice this week going around Israel. An alternative version to the same problem: “Why should invest valuable resources on this client when I can be looking for others?”

The bland answer is nobody can predict the future. But that is not a response I can offer when faced by a very concerned CEO. Fortunately, there is help at hand with a growing academic literature on the subject.

For example, the latest posting at “Guerrilla Consultant” observes that in managing sales process, there are at least 5 perceived challenges:

  • Handling the perceived risk
  • Responding to new decision makers
  • Creating a persuasive “win theme”
  • Understanding how your clients operate
  • Not making a fool of yourself

The article is definitely worth reading in full. One point stood out for me:

Resist the urge to cover every base. Use your interviews and sales meetings to pinpoint your buyer’s perception of risk. Be candid about your views on the potential risks your buyer faces and, chances are, your buyer will reciprocate.

 Then, create a communication approach that provides compelling evidence for how you will address each specific risk.

That means you have to understand the buyer’s perception of risk, whether you think those views are valid or not.

The theory is great, but what about the practice? Are there any actual tools out there to help our CEOs?

For the past few months, I have been associated with Wyndarra Solutions, a small and growing Australian outfit. Applying knowledge learnt from clients, they have developed a web-based software, which offers practical support to senior decision makers.

The market for their technology is evident. Wyndarra has now extended its operations into Europe.  A press release explains why. 

Leading market research companies, including Gartner, Forrester and McKinsey all provide coverage of these new Risk Management tools and its International Standards and compliance methodologies.

Using Wyndarra or a similar application, management can now evaluate risk in a more secure manner.

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