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What I Do For Clients – From “IT That Runs” To “IT That TRANSFORMS” Organizations

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I run a Practice in Fasmicro Group through which we help clients redesign their organizations, via technology. My work helps clients make technology work for them, We ensure that IT not just run your organization, but also transforms it. I work, usually, at the level of senior IT leadership, Executive Management, and Board, on technology-driven strategy, in Africa, and beyond, across different sectors. Our clients include leading African banks, governments, insurers, and more. Below is a synthesis of some of the things we will help you handle.

  1. IT Strategy: Conduct a review of the Firm’s current IT strategy, and identify the current gaps considering the business needs  and market best practices  and make recommendations  to implement the strategic gaps with fit for purpose  solutions in line with Global Best practices and local realities
  2. IT Governance: Conduct a review of the current IT Governance practices in all areas in line with International and Local Regulatory standards like COBIT and identify the gaps in implementation/Compliance to standards. Recommend the necessary detailed steps to align with the International standards. Review the IT Organogram for HQ and at Country level and recommend an Effective Governance Framework to effectively manage the HQ and Country technology Organizations interface
  3. IT Skill CapabilitiesConduct an IT capability and competency mapping of key IT Tasks/roles against available skills in the Firm  and make recommendations where there are shortages or excess capacities. This should be done using acceptable frameworks like Skills Framework for the Information Age (SFIA). Establish how to appropriately deploy the human resources to have an agile IT Organization. Produce a framework that will help the Firm to develop and retain the core IT skills required by the Firm. Recommend a Robust Outsourcing strategy and in key areas to complement inhouse skills and a governance framework to manage the Outsourced Vendors.
  4.  IT Value Realisation: Conduct a detailed Benefits Realisation assessment of the Firm’s Key IT investments in Software and Hardware Projects. Make specific recommendations on how to measure Benefit/value realised from IT and identify and recommend the Key Levers for Value Realisation of the Existing IT investments. Develop a framework for the establishment of IT Value realisation practices for future projects and investments.
  5. IT Projects: Conduct an assessment of all IT Projects in the Firm during the last three years. Determine how many of them were delivered on time, how many are still ongoing, how many are failed, etc. Identify the Strategic reasons for their failures and recommendation for successful execution of projects. Make recommendations on how to better handle ongoing IT projects and develop an enterprise project management and governance framework for managing the Firm’s IT projects in a cost effective and timely manner.
  6. IT Process Documentation and Performance Management: Conduct a review of all IT and Cross Functional process in the Firm against available documentations and make recommendations. Identify the key gaps in the processes leading to failures in IT Operations service delivery. Assist to align the IT processes with specific business processes and produce a report showing the mappings of IT process against business processes. Create Standard templates for the creation of Standard Operating Procedures (SOP) for IT Processes. Identify the Key Vital Performance Metrics which IT operations should monitor to manage the service delivery and operations of IT.  Identify the Specific and Measurable Key Leading and Lagging Indicators KPIs for all the units in IT organization.
  7. IT Processes Documentation:Document the Firm’s IT processes to improve change/succession management, build IT knowledge base and institutionalize the Firm’s processes by making them individual-agnostic.
  8.  Center of Excellence: Assist the IT Organization to develop and implement a framework for the development of the Centre of Excellence (CoE) concept within the IT Organisation in the Key Domains consisting of best practices standards in Solution Delivery, Governance, Service Management, Project Management, Data Centre Practices, etc. Develop a CoE Maturity framework.  Assess the current state and identify the gaps and benchmarks required to move towards Journey of Excellence.
  9. Digital Products: Review the performance of the technology-enabled products against the uptake and value realized. Review the products/channels to recommend infrastructural and other changes needed to generate desired traffics for the products.
  10. IT Spend:  Review the IT spend for last 3 years and provide strategic assessment of the Firm’s IT cost structures compared to global and Local benchmarks. Recommend Value add IT cost reduction approach that provides a competitive edge to business while reducing overall costs.
  11. Data Consolidation: Develop data governance and framework for the Firm to enable efficient management of the Firm’s data and ensure data is robust, accurate and reliable. Design and execute the Firm’s data consolidation plan.

I lead my team and we handle engagements with absolute commitment to quality. Our clients receive the highest level of value. Our pricing is industry-competitive.

If you would like a conversation on our service, please drop a line to info@fasmicrogroup.com or nekekwe1@jhu.edu

Thank you.

 

[Consider this a sponsored post, from me].

Profiting With Carlos Slim And Franklin Templeton Investment Strategies In Nigeria

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I study two men – Franklin Templeton and Carlos Slim – for my family investment strategies. Templeton began a firm in 1947, against all odds, at the ruins of World War II. Mr Slim bought anything in his sight at one of the lowest points in Mexican history – the peso was down and markets in ruins. Templeton trusted the human race and bought “useless” stocks. Slim’s father told him that countries do not fail; they always come back. I read about these two.

At the lowest point in Nigerian stock market, I deployed Slim’s message. I loaded believing the Nigerian people. I trusted my fellow citizens will figure out Nigeria and no matter what, markets will rise again. With all the noise in Nigeria, some did not know in that last 18 – 24 months, one bank stock had returned 4X .

Becoming successful in life is not about being busy – it is understanding things and making sense of them, more meaningfully. There are acres of diamond in Nigeria today, across many areas. Look for them. If you do not believe in humans and nations, it is unlikely you can see opportunities in life.

Why Monetizing Digital Products is Challenging in Nigeria, Africa

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In this piece, I explain why it is very hard to monetize digital products in Nigeria and indeed Africa. The core reason is that in a perfect market, the marginal cost of producing digital product is zero. This implies that its pricing will inevitably go to zero. This is the heart of the freemium model where you get many things free, which is possible because of the aggregation construct, where companies provide those digital products and then create an ecosystem to sell adverts. They benefit more than the suppliers by providing the platforms. As noted in the plot, great companies deliver the $0 marginal price even at high value, making it challenging for anyone that carries a non-zero marginal cost to compete, exacerbated if the product is even not top-grade.

Why Uber And Lyft Will Merge

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In this piece, I explain why Uber and Lyft will merge. The trajectories both are following show that they will have challenges with Lyft gaining on Uber, but the overall industry cooling. As soon as that happens, their margins, if they have any, will collapse. Once that happens, they will begin to talk of merger, with each other.

Government will see their struggles, and will dismiss any antitrust concern. The result: it will bless their union. Uber is today’s Category-King, but its  past behaviors have slowed it down, offering a window for Lyft to catch-up. As they become peer-competitors and rivalries, they will destroy the sector. Similar rivalries have ended together:: Elance/Odesk (now UpWork),  Groupon / LivingSocial,  Sirius / XM and  Rover / DogVacay.

Please add DraftKings and FanDuel in the list; I predict they will merge also despite any FCC ruling, at the moment. They will struggle, owing to wounds they inflict on each other, in coming years, and will be saved via merger.

 

Tecno Mobile Should Buy iROKOtv

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Tecno Mobile is one of the fastest growing mobile device brands in Africa. It started business in 2006, in Hong Kong, and today operates as a subsidiary of Transsion Holdings. Tecno has won hearts with its balance on pricing and quality. It is a brand any mobile phone manufacturer that wants to sell in Africa must study. Today, the company competes for market share against Samsung in the smartphone mobile sub-sector. Apple is not necessarily in Africa to include it in any analysis. Blackberry is history!

The new age of mastering mobile device distribution in Africa cannot be discussed without the company that pioneered dual-sim, making it possible that one does not need to have two devices, to use more than one network, “simultaneously”. Tecno acts locally, but at the heart, it is thinking globally. The dual-sim was hugely successful because it saved people money while at the same time solved a major pain point – network quality varies across Nigeria, one telco could be good in Ikeja but when you get to Festac, another is doing better there. Using the dual-sim, a user can switch to the better alternative, at any point.

The vision of Tecno (Source: Tecno)

 

We estimate that Tecno commands more than 20% market in most African markets (excess of 12 of them) where it does business, today. Its products are really good and it has the local chemistry.  Its latest product, the new dual front Led flash device, Tecno Camon CX, is a great product for Africa, when you consider the price and the quality.

Mobile device market Africa, May 2015 (source: Tecno)

 

But beneath this achievement, Tecno has a real problem: It is nothing but a mobile device maker, which is nothing but operating at the center of a smiling curve where value is low. With no platform to enjoy, locking customers, it is vulnerable. A better executor will challenge it. ( Yes, I do acknowledge that customer service which Tecno delivers moves parts of its business to the edges of the smiling curve. This gives it a very huge opportunity, since through this service, it is not just a device maker, but a value-adder in the mobile device sector).

iROKOtv

iROKOtv is one of the most visible digital companies in Nigeria. In short, most of the excitements on internet business in Nigeria was unlocked by Jason Njoku, its founder. The vision was pioneering, attacking piracy at its source: take the product online where the piracy happens, but now, legally. You cannot write the history of digital business in Nigeria without iROKOtv.

irokotv is a web platform that provides paid-for Nigerian films on-demand. It is one of Africa’s first mainstream online movie steaming [sic] websites, giving instant access to over 5,000 Nollywood film titles. irokotv is a part of iROKO Partners which is one of Africa’s leading entertainment companies, housing brands such as iROKING, an online music platform and its YouTube website, Nollywoodlove. irokotv was launched on 1 December 2011. Its parent company, iROKO Partners, was founded by Jason Njoku and Bastian Gotter in December 2010, with its headquarters in London, United Kingdom. Dubbed the ‘Netflix’ of Africa, irokotv is the world’s largest legal digital distributor of African movies.

iROKO TV actress (source: irokotv)

 

iROKOtv is a company of the future. It has strategic assets with local contents which no foreign brand can displace immediately. It has learnt so many things on taste and culture and understands its customers. Yet, it will take a really long time for iROKOtv to attend huge profitability because its product is video – it costs money to enjoy video in Africa. That is not changing any day, at scale, in near future. The company has raised millions of dollars from leading global investors like Tiger Global. Specifically, iROKO Partners, the operator of iROKOtv has raised excess of $35 million. Today, iROKOtv products are distributed across continental Africa and it remains a key leader in legal video on demand, for Nigerian Nollywood, the largest in the continent.

Why Acquisition Makes Sense?

These two companies – Tecno and iROKOtv –  are at their growth phases. They are excellent. But as noted, they have some challenges: Tecno risk of not having a platform as defense and iROKOtv hoping for years for broadband penetration to reach massive profitability phase. Bringing both together will help Tecno close its defenses in Africa while giving iROKO Partners a good exit.

iROKTOtv products are very popular in most markets Tecno operates. So this provides a natural ecosystem to help it drive further growth and lock customers in the video ecosystem.

We propose for Tecno to buy iROKOtv and use the product to deepen its capabilities in Africa and beyond. Our core idea is that Tecno needs to open a unit to be dubbed Tecno TV. It will be one place for anyone in Africa to access television, delivering unified TV experience. This ecosystem will meet the needs for TV shows, movies and broadcasting contents, across the continent. It will be TV and movie content-ready. Through the iROKOtv brand, it will close partnerships with leading local content providers.

To execute this, all Tecno will come with iROKOtv apps, installed. (It could re-brand iROKOtv to Tecno TV) The pioneering brand equity of iROKOtv will rub on Tecno, as it transitions.  Tecno will offer premium iROKOtv exclusive to Tecno users in Africa. That will be huge and can help attract new customers who will prefer Tecno over say Samsung.

Make Tecno TV so that no one switches to another platform, in Africa. 

The partnership with Manchester City which Tecno sealed will have more value if it begins to build Tecno TV business across Africa. The opportunity is here and iROKOtv offers it.

Tecno is partnership with Manchester City [Source: Tecno]We do believe that if Tecno makes this deal and execute it, showing traction on customer growth, it will have leverage on many telcos in Africa. MTN, Glo, Airtel and 9Mobile (old Etisalat Nigeria) will surely like to consider Tecno as a special company since it will have customers that spend most on video and broadband. Possibly, the subsidization of Tecno devices for rights in Telco networks will come into play, from the telcos.

iROKOtv will give Tecno the strongest business model of the future which it can ride on to build a service business, via Tecno TV.

The Valuation and Deal

We value iROKOtv today at $100 million and Tecno can afford it.  It can raise money for the deal which likely will be all-cash based. Tecno generates a revenue of between $500 million and $1 billion. There is nothing on this deal that says that IROKOtv products cannot be available in other  devices, but they have to be built to show they are maximum-best on Tecno products.

 

Simply, Tecno has the capacity to finance such an acquisition and returning about 3X to iROKOtv investors will not be too bad.It is a deal that will make everyone a winner.

Rounding Up

Tecno will face real competitive challenges in coming years in Africa. Finding how to lock its present believers in a platform will be strategic. It has to do that as quickly as possible. iROTOtv provides a golden opportunity to make such “locks” happen. Tecno Mobile should buy iROKOtv and rebrand it Tecno TV, and rule the mobile device market in Africa, through service.

 

Editor’s Note: After this piece ran, someone noted that Tecno is working on Tecno TV. Great idea, but it needs to make it big with iROKOtv