Afternoon Tea in Jerusalem Archives - Page 55 of 75 - Michael Horesh Business Coach and Mentor

9 November 2010

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Categories: Business, Israel

What would you do if you woke up in the morning and saw that somebody was offering you US$16 billion – give or take a billion?

Well that is the estimated direct benefit to the Israeli economy years from new energy reserves – around 2 billion shekels per year for the next 25 or 30 years.

It has been established beyond doubt that just off Israel’s shores are commercial supplies of gas. There may even be some oil as well. The government appointed Sheshinski Committee on the future tax structure of these finds is about to report.

The politicians and the groups of vested interest will work out the final details – taxes, dividends and the rest. But the bottom line is lots of extra income for the Finance Ministry. And of course, there will be knock-on effects – new side industries, employment, exports, etc etc.

What to do with this extra cash? Some quick calculations in the newspaper Yediot point to several options:

0.5% reduction in VAT
3 new hospitals
A train line from Ashkelon to Beersheba

And what else was in today’s newspaper. 1.7 million citizens now officially live below the poverty line, roughly 23% of the population. Of these, about 50% are children.

Now let’s think again what to do with that money.

8 November 2010

2 Comments

Categories: Business

I received several off-line comments to my posting on inspiring links.

The truth is that most of us need to refer to a “pick-me-up” from time to time. None of us are immune. Different things appeal to different people. And without getting too deep, I am sure that the type of “spark” is also a function of where each of us are in our lives.

I just saw a facebook link to Steve Jobs and his address at Stanford in 2005. This is one of my favourites – he tells us how we can only “connect the dots” by looking back, absorbing what has happened, and then moving on. That’s not failure, but part of the road to success.

As Jobs says and somebody requoted on utube:

Your time is limited, so don’t waste it living someone else’s life. Don’t be trapped by dogma, which is living with the results of other people’s thinking. Don’t let the noise of others’ opinions drown out your own inner voice, heart and intuition. They somehow already know what you truly want to become. Everything else is secondary.

Have a great day.

5 November 2010

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Categories: Business, Israel

I am asked this repeatedly: “How can I get people to support my idea”?

If there was a magic answer to be found at the back of every text book, just think how many people would have to stop writing their management blog.

Is it luck? The way you speak or look? The potential market or the capability of the team involved? All these and more are relevant. However, I would like to focus on one theme, that I have heard stressed on three separate occasions in the past week alone.

It is a common “fault” of entrepreneurs I meet that as they focus on the wonder of their technology or the huge size of sales to be achieved in 5 years time, they forget to mention the USP.

For those who don’t know USP – unique selling point – is what sets you apart from the pack. Sometimes, there is nothing unique but a strong combination of factors, which makes your project “different”.

I was listening to one Jerusalem industrialist, who has set up 4 cleantech ventures in recent years, and he could not stress this point strongly enough. As soon as you can, in a presentation or in an executive summary, state why you are special. Immediately. that will make you interesting to a prospective investor.

No this is not an isolated thought. A Fox News interview with venture capitalist Randy Komisar of Kleiner Perkins Caufield illustrates the importance of this subject.

Bottom line: If your idea is that good and you are that enthused by it, you will find a way to describe its benefits succinctly in a 15 second elevator speech. If not, you leave yourself open to the accusation that there ain;’t anything too wonderous in what you are doing.

2 November 2010

2 Comments

Categories: Business

Sonya Davidson is an wonderfully energetic lady. A client, whose pace is double that of others, she sent me last week a video clip, which she described as “incredible”.

Briefly, in two and a half minutes of simple pictures and brilliant piano musac, you are told how you can believe in yourself. Yes, it’s a must view.

With some irony, Sunday was a “down” day for me. The silly things began to get to me. Even the proverbial bar of chocolate did not really help. I began to recall Sonya’s e-mail, and then I realised that there are groups of people, who have learnt to put aside “distractions”. They have taken their lives back.

I am not just talking about people on reality TV shows, supported by producers and the lure of financial prizes.

Take Mike Faibisch, a friend and former neighbour. In between a series of personal disasters, he contracted MS. So, Mike took up the challenge, decided to lose weight and prove that he could keep himself fit. Less than a decade later, this summer he completed a gruelling ride around Alpine peaks. This clip is ten minutes of pure joy, leaving you smiling at the end.

One of my “favourites” is the tragic story of Dr Randy Pausch, who contracted pancreatic cancer. His attitude, as viewed on Oprah, left me stunned – speachless – for minutes. You see a dying men doing push ups with ease, clearly forcing many to question our own life styles. In a much longer explanation to college students, Pausch described how your life can be used for so much good, if you could only but take control. Nothing, but nothing, should be stopping you.

So what is going to motivate us? For a quick animated cognitive approach, Dan Pink shows how it is not just about the reward. We just want to be treated nicely and then we respond. To develop this theme, I strongly recommend the monthly newsletters of Dr Robert Brooks.

And I just want to finish off with a quote from a powerpoint I received, attributed to Colin Powell, former USA military boss. He observes how less effective people endorse the sentiment, “If I haven’t explicitly been told ‘yes,’ I can’t do it,” whereas good ones believe, “If I haven’t explicitly been told ‘no,’ I can.” As Powell surmised:

You don’t know what you can get away with until you try.

31 October 2010

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Categories: Business, Israel

Wednesday afternoon and Colin Matthews, head of British Airports Authority slams “redundant” security measures at airports.

I am reasonably optimistic that we can make the passenger experience more comfortable while keeping safety as the principal concern.

That’s nice. But three days later, and it appears that bombs have been flying around the world undetected. Matthews and his supporters are shut up.

Ever since the days of the PLO and Baader-Meinhoff, security services have been trying to keep the bad guys away from the pasengers. You have the feeling that they are often chasing the enemy rather than dictating the terms of the game.

Unfortunately, there are too many people out there who value life very differently than most of us. And that value sinks even further (if possible), when they channel their hatred against a religious or political opponent. Terror – yes, murder – is then a very simple step away.

Are we Israelis too security conscious? Well, I will let the shrinks answer that. What can be stated is that for the past two decades or so, Israel has led the field in security products and services; hardware, software, and intelligence.

This week, Israel is hosting a Homeland Security and Technology Conference. Much of the emphasis will focus on airport security. For example, the container code registration system of HTS is but one tech to figure prominently. “It specializes in image processing and computer vision technologies, mechanisms critical for a wide variety of civilian and security applications,” and is clearly a leader in its field.

But here’s a thought: what if you could stop the 9/11 type people before they get anywhere near a plane? What if this could be done without even talking to them – even eliminating the need for ethnic profiling?

The Economist magazine recently commented on the new skills developed by WeCU, located north of Tel Aviv. Their technology “analyses how people react to images (photographs of known terrorists, say) which may provoke a detectable physiological response in miscreants”.

Now for me, that is really cool. OK – I am biased, as I have know these guys for some years. But WeCu’s solution will probably resolve a lot of the complaints dished up by BAA and other airport managers interested in their higher profits. It will help to move customers along through the terminals without impairing their safety, allowing them to keep their shoes on and retain their precious bottles of water.

Maybe the solution for Matthews et al is to channel some of their resources from publicity and into further technology testing.

29 October 2010

6 Comments

Categories: Business, Israel, Palestinian Society, Palestinians

Writing 2 weeks ago in the UK newspaper, The Mail on Sunday, Peter Hitchens summarised an extensive visit to Gaza, which he described as “world’s most misrepresented location“.

Hitchens coverage was the first amongst several similar stories in the international, all with a similar theme.

I don’t think it (Gaza) is a paradise, or remotely normal………..There are dispiriting slums that should have been cleared decades ago, people living on the edge of subsistence. There is danger. And most of the people cannot get out. But it is a lot more complicated, and a lot more interesting, than that………

But if you think Israel is the only problem, or that Israelis are the only oppressors hereabouts, think again. Realise, for a start, that Israel no longer rules Gaza. Its (former) settlements are ruins.

Even when, as in Gaza, there is no way out, morality patrols sweep through restaurants in search of illicit beer and women smoking in public, affronting the 14th Century values of Hamas.

Hitchens is going against a decade or so of politically correct wisdom. Two years ago, Time Magazine pleaded: “Please spare a thought for the starving Palestinians of Gaza. There are 1.5 million of them”. In parallel, and industry of NGOs has arisen, although they seem content to criticise Israel but never the excesses of Palestinian rule.

So what is the truth? was there ever hunger? Has Gaza suddenly discovered gold? Has it been wealthy all the time, but nobody really reported the facts? As Hitchens also commented, the truth in the Middle East is rarely what you see on the surface, so let’s dig a bit more.

Go to any IMF or World Bank report on the Palestinian economy – and Gaza in particular – and you will find a depressing set of economic statistics. Every since September 2000 when Yassir Arafat and the Palestinian Authority launched the Second Intifada, the economy has nose dived.

But if financial growth in Gaza went backwards, then previously it must have achieved a “higher” level from which to fall. And this is where the work of Sebastien Dessus for the World Bank is so valuable. Professionally, he has been tracking the Palestinian economy for over a decade. Note what he says about the period from the onset of Israeli rule to the start of the Intifada.

While real GDP grew by 5.5 percent on average in West Bank and Gaza from 1968 to 2000, it only grew by 4.2 percent in Israel. During the same time, population grew by 2.9 percent in WBG and 2.4 percent in Israel.

Does that put the Palestinians as one of the most successful economies in the last quarter of the twentieth century? Bring on the Intifada, suicide bombings and attacks from Gaza, and the Palestinian population suddenly found themselves without 125,000 jobs in Israel. And these were considered relatively well paid positions. Couple this with Israeli defensive measures – justified and / or repressive – and you have the recipe for a mega economic dip.

For the Palestinian leadership, the question was did the political uplift justify the financial turmoil, a debate I will not deal with. Certainly, key personalities did not suffer. Fatah strongman, Mohammed Dahlan amassed a personal fortune since his PA career began in the late 1980s, organising youth mobs in Gaza City. Hamas has collected a wealth of taxes from the smuggling industry, leading to “unprecedented social mobility” according to one local source.

And today? As Hitchens writes, life in Gaza is not a picnic, but neither is it a disaster. Further recent evidence?

The Financial Times has described the al-Deira luxury hotel, which has remained open despite Israeli measures and the repressive practices of the Hamas government.
Mai Yaghi, a local Gaza reporter has detailed how the old smuggling tunnels have a completely new and ironic purpose , because “lifting of restrictions (by Israel) in recent months has seen consumer goods pour into the Hamas-run territory through Israeli crossings, transforming the tunnels that once served as a lifeline for Gaza into its sole export channel.”
The EU’s representative to the West Bank, Gaza and UNRWA, Christian Berger, not considered a friend of Israel, has been quoted as saying that the area is “full of consumer goods”.
And if Berger feels that there is not enough ready cash and actual purchases, he should recall that the largest employer in Gaza is the civil service. The Palestinian Authority is still paying the salaries of these 67,000 people, even if many are paid up Hamas officials.

Is Gaza rich? No. It still needs the tons of daily aid, which Israel facilitates. On the other hand, a utube video from an unknown source shows beyond doubt just what multiple resources are available in wide parts of the territory.

And is there a lesson for the future? Look what is happening in the West Bank. Hatred of Israel may still predominate. But much of the violence has been laid to one side. As Time Magazine now observes.

Ramallah’s first five-star hotel, a Mövenpick, is opening this month. Across the West Bank, similar scenes are unfolding. Building cranes pierce the sky. Outside Nablus, new car dealerships sell everything from BMWs to Hyundais. Inside the ancient city, the first movie house to open in 20 years, Cinema City, is hugely popular. Last year the Hirbawi Home Center, a five-story shopping mall selling luxury items like plasma TVs, opened just outside Jenin.

Indeed, the IMF has reported that the Palestinian economy is on track to grow 8% in 2010.

So, the international media have confirmed that Gaza is not an economic prison. One question remains. As Tom Gross, a leading commentator, pondered; why does the BBC, possibly the world’s largest communicator, seem determined to ignore this story?

26 October 2010

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Categories: Business, Israel

“A short history of nearly everything” by Bill Bryson is not just another fun book by the American author. For scientific dummies like me, he somehow manages to explain most simply molecules and rocks and lasers and elements and much more.

For once in my life I have understood these words – all be it briefly, until Bryson starts to develop another new subject. And then I forget what I had just learnt.

But Bryson makes a very interesting point. Many scientists at the beginning of the previous millennium thought that chemistry and physics had reached its limits. One hundred years later – plus an extra atom bomb, moon landing and microelectronics industry later – we have begun to appreciate the meaning of progress.

The past 2 decades have seen amazing changes. Living in Israel, it is a pleasure to be part of the push to achieve more, particularly in communications technology. Just look at 2 “innocent” items in this morning’s economic press.

Provigent has been picked as Israel’s most promising start up in 2010. It provides best-of-breed system-on a-chip (SoC) solutions to vendors of broadband wireless equipment. Wireless products will be working quicker very shortly.
Modu is to launch the lightest yet mobile phone, which can be customized for personal use.

Go to a mobile conference and Hebrew will be one of the main languages heard.

But where is the next scientific revolution going to come from? Writing in the Harvard Business Review, Tony Hey talks of the “Fourth Paradigm”, following experiment, theory and computation:

….instead of developing programs based on known rules, scientists begin with the data. They direct programs to mine enormous databases looking for relationships and correlations, in essence using the programs to discover the rules. We consider big data part of the solution, not the problem. The fourth paradigm isn’t trying to replace scientists or the other three methodologies, but it does require a different set of skills. Without the ability to harness sophisticated computer tools that manipulate data, even the most highly trained expert would never manage to unearth the insights that are now starting to come into focus.

In the language of a layman, we are talking about predictive models. This can impact on all the sciences; if and when somebody will fall ill, changes in meteorological conditions, money movements, and more.

But there is another factor, which Hey only begins to hint at towards the end of his article. Collaboration; to get the most out of this new approach, the sciences will have to mix, a trend not always present in the twentieth century scientific history

With Google, Siemens, Intel and the like having major r&d centres in countries like Israel and India, that is a step in the right direction. They are looking for a broader (and cheaper) approaches to new issues. As Hey recognizes, sofware powerhouse Microsoft’s health group is another important element in the equation.

For Israel, the encouraging theme is the result of the start up competition mentioned above. The top 10 winners came from a range of new industries – right in to nanotech. This mixing approach – not concentrating on one sector – bodes good news for the future.

25 October 2010

1 Comment

Categories: Business, Israel

Last week, I wrote about “growing role of biologists in management”. Citing a senior marketing director, the question is what makes people tick? How do our genes or chemical composition affect the way we reach decisions, specifically in the work environment.

As somebody, who was trained as an economist, I have to feel somewhat “threatened”.

So my heart sank just a bit further when I began to read how about many leading firms in Israel have rethought their recruitment policies. It seems that students of philosophy and anthropology are highly sought after these days. They leave universities with an ability to observe across a broad spectrum. These are the people who are destined to become financial advisors for their employers.

What about some training in pricing policy or understanding accounting management? Well, it turns out that Microsoft, the mobile companies and others now provide in-house crash courses.

To quote a partner of McKinsey in Israel, Dr Jonathan Kolodny: “It does not matter if the candidate studied management or philosophy. We prefer students that have learnt how to think and how to look at situations differently.”

I can’t see too many economists or accountants emerging with such a skill.

Who is right and wrong? Yes, we all know that recruitment is prone to trends. I recall how much used to rest on your answer to the question “where do you see yourself in 5 years time”. Who the xxx knows?

But here is a thought for senior management in the companies mentioned above. If the youngsters are being asked to think, is there a mechanism to listen to, respect and possibly even to accept some of the conclusions of these new members of staff. Or will their thoughts just be rejected by the stuffy voices of experience, seeking to protect their positions in the hierachy?

Maybe the economists will have something to offer here.

21 October 2010

1 Comment

Categories: Business, Israel

The Israeli economy is continuing to move forward. Recent figures show that GDP will have risen by around 4% during 2010, one of the best performances within the OECD grouping.

These “good news” items have been matched in the past month by a string of reports, indicating how investor money is returning to the Holyland. Take a look at this short list of examples:

Soda Stream is turning to NASDAQ for US$95m. Similarly, specialist internet TV supplier PeerTV expects to raise between £4.6 million and £6.2 million on AIM in London.
The patient monitor developer, EarlySense Ltd., has raised $7 million in funding, led by a Chicago-based venture capital fund.
Oversi, a global leader in OTT Internet Video and P2P caching solutions, has secured US$4.9m in funding from several sources, including Cisco.
Axerra Networks, a provider of emulation services, has been picked up by DragonWave, Canada for roughly US$15.0m.

Even the socialists of the kibbutz movement are looking to find a total of US$3 billion in new capital.

Any surprise that the Tel Aviv Stock Exchange is looking towards new highs?

18 October 2010

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Categories: Business, Israel

Look closely, and you will find a very new set of Israeli exports floating over to her trading partners.

Sure: For many years, Israel was associated with great agricultural produce and photogenic politicians. Then came the era of hightech, as Intel’s chips are developed in the Holyland and Teva has become one of the globe’s largest generic drug manufacturers.

But the first decade of the new millennium has seen Israeli products become world leaders in many unexpected fields. Just look at the brief list below, based on news items collated over the past few days.

China’s home-electronics giant Haier Group will market Israeli water purification products. With 8,000 shops that should add up to a lot of Yuan changing hands.
MCO Industries in Rehovot has secured a US$50 million deal to sell solar water heaters in America.
And low tech does not get left off the list, as “Israeli falafel chain Falafel Ba’ribua (“square”) aims to follow in the footsteps of Max Brenner and Aroma cafés, and take New York City by storm”.
Staying with the food sector, Israeli startup MySupermarket, UK’s independent grocery shopping and comparison site, has completed a new round of investment of $7.4 million, led by Greylock and Pitango. British internet shoppers will be able to find out on the spot, which supermarket chain offers the best deals.
In Cleantech, Better Places is clearly one of the leading players in developing a non-fuel car.

Etc etc. A series of coincidences? Unlikely. At the end of this month, a large delegation from Korean companies will descend on Tel Aviv, looking for new technologies to purchase. Two of my clients expect to be there. The fields range from internet gaming to biomass.

Meanwhile, Korean steel giant POSCO has just become the 19th multinational to sign an R&D cooperation agreement with the Israeli government. So you could be purchasing something from Merck or Microsoft or Abbott or whoever, but its origins could have been in Jerusalem or Ariel or Eilat.

All amazing stuff. Time to calm down with a juicy piece of fruit….. from your local kibbutz of course.

17 October 2010

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Categories: Business

If genes “account for a substantial proportion of the differences between individuals“, why do managers tend to treat all people in a similar manner?

Thus posed the Economist magazine in a review of “Born entrepreneurs. How your genes affect your workplace.” The book makes a staggering observation:

Around 40% of the variation between people’s incomes is attributable to genetics.

Of course, there are also a series of environmental factors to take into account. Meanwhile, other studies have taken the argument further.

The influence of genes on leadership potential is weakest in boys brought up in rich, supportive families and strongest in those raised in harsher circumstances. The quip that the battle of Waterloo was won on the playing fields of Eton thus seems to have some truth.

On their own, these comments are fascinating. But a recent article in the Financial Times gave added emphasis to the growing roles of biologists in management. When considering marketing strategies, observed Simon Stewart, marketing director at Britvic, the beverages company:

Traditional research concentrated on the ‘what’. Now we are trying to establish the ‘why’. We are not asking what they think about products and ideas but focusing on what makes them tick.

Did I mention genes previously? Note how Ms Patricia Pineau speaks in her role as head of L’Oréal’s consumer insights team. She wants to “decode” how people make consumer decisions. It appears that the multinationals are increasingly turning to scientists to help them reach conclusions on branding. Bye bye marketing teams?

But less us not ignore the good old chemicals in our body. As I was preparing this blog, I caught my wife reading “Why love matters” by Sue Gerhardt. The author shows and examines how early pathways – determined by neuroscience and biochemistry – affect the way we respond to stress in adult life.

So the next time you look for a consultant on how to improve the running of your company, will you be calling in your traditional expert or a biologist? As evolutionists would say, times are a-changing.

11 October 2010

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Categories: Business, Israel

Today’s issue of a leading financial paper, Globes, says it all.

PMC-Sierra Inc. (Nasdaq: PMCS) is in talks to acquire Israeli fabless semiconductor company Wintegra Inc. for about $250 million.
NeuroDerm Ltd, which is developing trans-dermal patches for the treatment of neurological diseases,…..received $1 million from Hollywood actor’s Michael J. Fox Foundation.
Stem cell co CellCure raises $7.1m

Add in the overseas investment in property and the Tel Aviv stock market, and that is a lot of money heading towards the Holy Land.

Why? You cannot ignore the fact that Israel has a major short term economic distortion. The Bank of Israel is using the rate of interest to control a very bubbly (too bubbly) real estate market. (The real solution – more land for building – is not being supported by the government with sufficient force.) Thus, the shekel is seen as a strong bet, especially against the weak dollar. In charge the speculators.

As the shekel continues to fall, so do the profits of exporters. This threatens jobs and future growth. Difficult.

Most other signs are stable. The budget is solid. Unemployment is down to around 6.3%. The stock market is close to a record high. Many of the hopes are pinned on Stanley Fischer, the governor of the Bank, who has just picked up the award as the best Middle East central banker for 2010.

Kudos, but investors look for something more. They look for somebody to start the game off.

A true sign of confidence comes from the octogenarian Warren Buffet. Back in 2006, he sunk US$4 billion into purchasing Iscar. It is rumoured that the deal took a mere 10 days to conclude. And there was no turning back, when a war broke out shortly afterwards with Lebanon, whose border is close by.

In today’s Hebrew press, Buffet granted an interview. He observed that the intellectual capacity of the country gives it a clear economic advantage over competitors. “We are always looking for new investments in Israel”.

Who’s next?

10 October 2010

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Categories: Business, Israel

Yesterday, Jews around the world read Chapter 6 of Genesis, which describes Noah as a righteous man of his generation. He got the ark job done and saved the human race.

Many commentators probe deeper. When you think about his struggles with booze afterwards or compare him to Abraham, the man’s star is suddenly not so bright. He is not a shining example to others. is he?

I wonder how Noah would fare in today’s Western society. Consider how he took on board the warnings of doom, how he prepared as he was instructed and how he survived pretty well. That points to a lot of different skills as well as self motivation. Admirable characteristics in any leader.

And whilst reading about Noah in the Synagogue, I found myself thinking about Moshe Dayan. If anybody represents the early successes of Israel, it is this former chief of staff, Minister of Defence and Minister of Foreign Affairs. A hero figure, yes?

In the past few days, official documents have been released, which appear to show that in the run up to the 1973 Yom Kippur war, he and Prime Minister Golda Meir badly misjudged the intentions of the Arab countries, almost to the point of defeat.

We have to be careful. Not all the evidence is available, but it does seem he performed very poorly at the worst moment. There again, the military battle was eventually won, as he achieved on many previous occasions. He went on to prepare the peace treaty with Egypt, and without American prior knowledge. Was he really such a disappointment?

My point is this. In today’s immediate society, we are quick to condemn those that fail or do not perform up to expectations. We hack them down like wilted flowers. In politics that may be an unwritten rule of the game.

In business, that attitude can be disastrous. Experience is so important when trying to create a successful hierarchy of decision makers. Few will succeed all the time, especially when you have need to take unorthodox decisions in order to reach your vision.

In other words, it is easy to destroy business leaders. It is a rare skill that appreciates their talents for the long term.

7 October 2010

1 Comment

Categories: Business

There are millions of tips on the website about how to overcome the fear or inability to “cold call“.

Most relate to assumed inabilities on the part of the caller, who may not be focused or may not have the correct experience or does not trust their own ability.

I often come across a separate issue, which is rarely covered in the literature; when the caller is afraid that somebody will steal their idea. This week, I had a conversation with a client, which went something like this.

Client: I don’t mind calling people, but what happens if they steal my idea.
MH: What can they do with your idea?
Client: Don’t know
MH: Do you hold have unique info that will be difficult for others to source or to copy?
Client: Probably
MH: Has anybody thought of or been able to do this before, and successfully?
Client: Not that I know of.
MH: What happens if they do steal your idea, and set up?
Client: Well, they will help to pave the way for me.
MH: And otherwise?
Client: It will just encourage me to succeed quicker and to deliver a good service before others start to copy.
MH: So why haven’t you called up to now?
Client: silence

Yes, the conversation really was almost as brief as that. On reflection, the client was expounding a fear, although not the usual concern covered in many articles. And inevitably that distress had become an excuse to procrastinate. Thus the secret had been saved, but the business idea ultimately stayed in the box.

What my client forgot is one of the golden rules. He put all the emphasis on himself. Actually, he is trying to create a win-win scenario, where he is helping somebody. They have just as much to lose as himself, if they do not find a way to partner him.

5 October 2010

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Categories: Business, Israel

A few days ago, I came across an article titled: 7 Common Sales Mistakes, and How to Avoid Them.

While the article concentrates mainly on technical or procedural aspects facing a company, I decided to run a check on google. Amazing – similar titles brought up a whole library of articles. It would seem that the world over, experienced or clever or respected leaders of commerce are making basic and simple mistakes.

Well, this just happens to others, doesn’t it? No! Brain storming for 15 seconds, I wrote down 4 examples of “unbelievables” that I had come across just recently.

The wrong business card: Last night, I was shown a business card from an international company that specialises in creative products. They employ specialists to highlight special and wonderful features of their latest inventions. But their card….

The font and graphics were so jumbled that I could not read the name of the firm, with or without glasses. And the paper had been laminated, Thus you could not scribble initial notes on it. I wonder how many opportunities they will miss for not getting the basics correct.

How not to approach strategic partners: It has happened to me twice in recent weeks, once re exports contacts overseas and a second time re potential investors, who I had been asked to approach on behalf of young Israeli companies. “You speak English good. You tell them about us.”

And then came the reality check, as I explained that life ain’t that simple and explained: “Even if they like the concept, the potential target will want to see a basic website. You do not have one. They will want to see a sample or pilot project. Again, no evidence. So, what do you want me to say?”

After the silence, the response was” “You mean; we have to invest time and in preparing a serious package for a partner?” Er, yes!

Not following up: I have met two companies who have not followed up delivered quotes or sample requests. They have simply let the opportunities float on by. And then they wonder why revenues are in the dumps.

Unnecessary credit crunches: Even financial controllers are not blameless. How many of them fail to deal with bad debts or customers that fail to pay on time? The money wizards are prepared to increase the strain on company finances rather than be bothered to take affirmative action. Well, at least they have protected their comfort zone.

Are these stories funny or worrying? Either way, it just goes to show that no decision maker is immune to such silly actions and needs to find checks to prevent them happening.

4 October 2010

1 Comment

Categories: Business, Israel

Israel’s economic progress, despite a global recession, has been well documented and described. The economy is expected to grow at 4% in 2010 for all the hangover of the credit crunch and troubles in key European export markets.

And there will be exciting times ahead. The impact of revenues from new energy resources will be enormous. Infrastructure projects like the education, transportation and health budgets can expect a major boost over the forthcoming decade.

But, and there is always a but, nothing is perfect. Stanley Fischer, Governor of the Bank of Israel, has declared war on the housing market. With increasing noise over the past year, his team has let it be known that they are not prepared to see real estate prices rise and rise and rise.

To date, the preferred weapon of attack has been the rate of interest. They have just been raised to 2%, and further changes are in the pipeline.

The downside has been the effect of the shekel, which has strenthened significantly against the US dollar and other countries. All this means that exporters are suffering. Profits levels are under threat.

Fischer knows that the stakes are high. In parallel, he has publicly announced that he will continue to buy dollars on the open market. After all, exports make up 40% of Israel’s economic activity.

Anybody understand why the Israeli government cannot release land for new housing, which would quickly rectify the situation?

1 October 2010

1 Comment

Categories: Business, Israel, Jerusalem

The summer is drawing to an end. The Jewish New Year season is over. The tourism season is winding down.

A success? Well, the total number of visitors is expected to be close to the 3m figure. Yes, that will be an Israeli record with a particular boost coming from East European countries. And yet this is still small compared to most other travel spots. For comparison, the Czech republic draws in 6-7m each year.

So, once in the Holy Land, whatcan these people get up to. Let’s ignore for the moment the standard Jewish and historical sites like the Wailing Wall or the Yad Vashem Holocaust Museum. These appear in all the brochures.

In the past week, nearly 7,000 Christian pilgrims converged on Jerusalem for the annual celebration of the Feast of Tabernacles. From here, many spread out to excursions around the Sea of Galilee or to visit commercial opportunities.

For the young, Israel is seen as an opportunity to join the music tours. Mr Ozzy Osbourne was heard rocking in Tel Aviv this week. And if you had bought cleverly, you could have received double tickets for Elton John and Rod Stewart, who performed a few days after each other in June. With the list of other performers ranging from Neil Sedaka to Rihanna, the noise channels in the Middle East were not solely dominated by international politicans.

Another cool outlet was discovered by Aussies. Last week, hundreds of them emerged out of kibbutzim, the desert, beach dives, even offices – all congregating on a large Tel Aviv pub at 7.00am on a Saturday morning. The event was the Aussie rules football Grand Final, which was being shown live. Last year, even the ambassador attended. None wanted to miss out on a feast of bear and burgers so early in the day!?!?

I have a client setting up cool photography courses in Jerusalem for tourists. I know of people who come to the Holy Land for the unique bird watching opportunities. Clearly there is more to this country than a few old religious buildings and some military sites.

29 September 2010

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Categories: Business, Israel

Yesterday, the Bank of Israel released its revised predictions for 2010 as well as for 2011. The economy will leap forward by only 3.8% next year, and that “lowish” estimate even allows for a downturn in orders from Europe and America.

How many finance ministers and bank chiefs in the OECD would settle for even half of that?

The Israeli economy is doing well. For 2010: –

Exports will jump up 11% (compared to a 10.2% dip in 2009)
Unemployment will drop to 6.3% (7.6%)
Personal consumption has soared by over 5% (1.7%)
Commercial gas (and maybe oil) supplies have been confirmed
OECD membership has begun to generate new sources of investment

There are still headaches for the planners. As the economy moves ahead and the housing market is bubbling, the central bank is using interest rates to curb the demand. But a higher cost of money will pull the shekel stronger, and thus weakening the profitability of exports. An awkward balancing act.

In parallel, the economy is dependent on export markets overseas. Again, while America, the UK and others are moving in the right direction, the progress is fragile. A potential Portuguese or Irish financial crisis could knock many off balance. And Israel will catch some of that fall out.

Avi Temkin in “Globes” newspaper wrote an interesting into to a piece on the economy.

Next week when Governor of the Bank of Israel Prof. Stanley Fischer travels to Washington D.C. for the annual meeting of the International Monetary Fund, he will be envied by many of the other central bank chiefs. ………. Fischer can mingle among the other central bank heads with an imaginary tag around his neck saying “2% interest rate and still rising.”

…and still in control.

28 September 2010

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Categories: Business, Israel

Three separate and true incidents, yet one major lesson for how we run our private and professional lives.

1) My friend is retired from a life dedicated to academia. About a decade ago, he embarked on a private research project. His aim is to publish the work on the internet, where it will be available to all. Most chapters are complete. Some are already on the web. “But I am stuck. I cannot complete it,” he complained to me this week. This has been the situation for weeks, even months.

I quickly slipped in to my mentoring mode. “Did he have all the info” and other relevant questions. “Yes, yes”, he fobbed me off, dejectedly. And then rather impatiently, I prodded further. “What have you got lined up after this?” The blank, negative look told it all; a painful question, which he was not ready to face. Busy all his life, the what next factor had been ignored for too long. Why?

2) Moshe Feiglin is a well-known local politician n Israel, dedicated to one particular issue. He is not popular in all corners. However, his family received amazing support, when their 16 year old son was rendered unconscious 3 months ago as a result of a car crash. Last week, 15 minutes before the onset of the holy Day of Atonement, the lad woke up.

The Feiglins had spent hours by their son’s bed, reflecting on why they had ended up in this situation. In an interview in Hebrew, Moshe referred to the fact that at the age of 48, he now appreciates how he has spent too much time away form the family in the name of supposedly important subjects. And when handling those issues, he had ignored the individual at the expense of longer term aims.

In effect, Moshe was saying that both his own private progress and his work was being hindered by his own self-mindedness. Why had it taken his son’s distress to allow him to face the truth?

3) As I was finishing my morning workout earlier, it suddenly occurred to me. “That lecturing project” – the one I had not pushed through to conclusion – I do not like it. I do not want to do it. Why am I wasting my time and that of others? Why can’t I be honest with myself?

How often have we all seen people procrastinate, at home or in the work place? Maybe a better word for procrastinate is “cover up”. If we will allow ourselves to be more “genuine”, how much could we benefit?

27 September 2010

1 Comment

Categories: Business, Israel

All over the world, small – even medium sized – enterprises struggle to manage and forward themselves on minimal budgets and resources. Most are aware of the restrictions, while determined to seek the best future possible.

When it comes to sports management, somehow the laws of economics seem to adopt a new “elasticity”. And never was this more true than in Israel, September 2010. In today’s newspaper with a sports’ supplement of 11 pages, half were devoted to management fiascos, costing clubs – and the taxman – millions. For example: –

The owners of Hapoel Tel Aviv football club are fighting amongst themselves, whilst blaming the coach, who in turn has publicly lambasted his players. Yet tonight the team has an important challenge match against European opposition, worth multi bucks to one and all. Quelle surprise, but the training has been limited, as more important issues are tackled (sic!).
The leading Arab-owned football, Bnei Sachnin, has employed 5 coaches in 24 months, and wonders why nobody is tempted to take on the yet-again vacant position. The club is not bottom of the league, only because the one team below it has had points deducted.
Many of my Israeli friends have rarely regarded the national Olympic Committee as one portraying patriotism and determination. It is seen as a group of “jobs for the boys”. You feel that those few successes have been achieved despite the bureaucracy.

It has emerged that Yael Arad, a former medalist, is to stand for the position of Chairperson. She is being opposed by the vested interests of old. So, I suppose that if she were to lose, Israel’s Olympic standards will remain where they are. At least the “boys” will be happy.

The national swimming board is constantly refusing to pick Nimrod Shapira, one of the country’s realistic hopes for medals. Why? I don’t have the patience to follow the pathetic mismanagement of human relations. The Minister of Sport herself has been called in to sort out the children. Amazing!

Meanwhile, on the front page of the newspaper, I read how Prime Minister Netanyahu is concerned with trivial matters like peace negotiations and the safe future of the state. But if his cabinet cannot even supervise an Olympic committee or is prepared to interfere in the petty squabbles of swimmers, what chance……………..

Pages

Happy days for Israel’s economy

Inspiring links – take 2

What will make people invest in your idea?

5 inspiring, must watch, video clips

So what can be done about airport security?

The financial media discovers Gaza

The next scientific revolution, in the Holyland?

Management gurus – bye bye economists?

FDI and Israel

Israel’s new range of exports

Management gurus and the biologists

Why they keep on investing in Israel – the Buffet factor

Noah’s ark, Moshe Dayan and your typical business leader

Cold calling and stolen ideas

Those obvious mistakes in business

Protecting economic achievements – Israel 2010

What you do not hear about tourism in Israel

My economy will slow to under 4% growth! Help?

Management, procrastination, self reflection

Management, sports industry, & Middle East peace talks

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