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CHRONOMAT 44 FLYING FISH Thom Richard is one of the few pilots in the world to possess the talent, experience and courage required to compete in the fi nal of the famous Reno Air Races – the world’s fastest motorsport. Less than ten champions are capable of vying with each other at speeds of almost 500 mph, fl ying wing to wing at the risk of their lives, just a few feet off the ground. It is for these elite aviators that Breitling develops its chronographs: sturdy, functional and ultra high-performance instruments all equipped with movements chronometer-certifi ed by the COSC – the highest offi cial benchmark in terms of reliability and precision. Welcome to the Breitling world.

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.WORLD Letter from the editor

IF IT'S January, this must be Switzerland. In the words of Jim Morrison: Is everybody in? The World Economic Forum's annual meeting in Davos-Klosters, in the Swiss canton of Graubünden, is touted as the only annual gathering of global society leaders (though surely that can't be correct?). It's a mecca for the heads and members of more than 100 governments who converge on the mountain town to discuss global, regional and industry agendas. The ducks are in a row, and Klaus Schwab is once again the man keeping order with his bag of bread crusts. (That's him welcoming the pilgrims on the cover, as seen by our artist Alejandro.) There will be televised sessions and webcasts, as well as saturation coverage via social media. Davos captures more media attention than any other annual event — outside the world of sport. executives of 1,000 prominent global companies, With more at stake than any Cup Final or leaders of international organisations and NGOs, Heavyweight Championship, you would expect prominent figures of cultural, philosophical and Davos to have more spectators than it can handle. societal thought — and “the disruptive voices of And it may well have — although they are scattered, the Forum's Young Global Leaders, Global Shapers rather than gathered. and Technology Pioneers”. Because yes, Davos — this year addressing All these individuals flow together at the Globalisation 4.0: Shaping a Global Architecture beginning of each year to help define and shape in the Age of the Fourth Industrial Revolution industrial and financial policies around the — is still invitation-only. Participation is reserved globe. The WEF is rightly proud of its status as an for members of WEF communities, who, in co- independent, impartial organisation for public- operation with the Network Of Global Future private co-operation — and it is an organisation Councils, ensure solution-oriented goals. with a clear mission. After all the i-dotting, Open and inclusive or invitation-only? The t-crossing, amendments, arguments and uproar, summit has conflicting values: transparency and the noble objective is to have Improved The State public participation / we'll call you. Of The World. Public awareness of what is said, and left A tall order? Not at all. Look at the state we're in. unsaid, in Davos will come at one remove — via Making things worse would be the real challenge. international media. By rights, the BV Winter issue So be it. Let's stand on something and watch. you are now reading, neatly bound and lovingly There will probably be a few winners from Davos printed on Woodforce Gloss 115-gram paper, 2019 and, brighter yet, there should be no losers. should be available on the snowy streets of Davos- The BV team wishes all of you a happy and Klosters. prosperous New Year — and please keep your There in print and in spirit. Invitation-only, letters and suggestions coming in. We rely on you remember? But our ears are open. to keep us abreast of what's moving in your world. And the big knobs are there, or on their way, and no political, commercial or personal interests HAL WILLIAMS will be allowed to conflict with the WEF's goal. Editor World leaders and politicians will be joined by the [email protected]

Winter 2018-19 Issue • www.bv.world Business Vision

9 .WORLD Correspondence

Electric vehicles Your tech-guru Richard Thomas brings us a variety of interesting stories in BV, and manages to render complex subjects comprehensible, as well as entertaining. Thomas seems to be focusing, in his recent features, on electricity as the power source of future transport, from planes to cars. While this is logical on his part — that certainly is the way things are going, on a global scale — and the technology is interesting, I have some reservations about the way BV is jumping without question on this “clean and green” bandwagon. Is anyone sparing a thought as to the source of the electricity? Phasing-out gas guzzlers is one thing, but if the neat, silent, spiritless vehicles of the future (sorry, I'm a petrol-head) still have to plug into the grid to recharge, shouldn't the first priority be to ensure clean electricity generation? Add to that mountainous oversight the mining operations needed to source the precious metals used in battery technology, and this starts to look a bit smoke-and-mirrors. A conspiracy theorist might be inclined to see an evil plot to take away our individual autonomy by foisting less exciting, less efficient transport on us in the form of vehicles which could be centrally controlled and speed- and power-limited. The freedom of the open road is disappearing in the name of environmental friendliness, and I'm not sure anyone is seeing the whole picture. Malcolm Godfrey Hemel Hempstead UK Richard Thomas replies: Thank you for the glowing praise Malcolm, it's great to know I'm hitting the spot. You make a very good point about the source of the electricity for all these projects. As I mentioned in the planes story in the Autumn issue, an electric vehicle is only as green as the electricity used to charge it. That's great for Norway's aim to get all its domestic air traffic electric, as 98 percent of its electricity comes from hydropower. But as you point out, if energy generation is from coal and gas, then all you are doing is moving the pollution around. Clean electricity generation is an essential part of this technological revolution. Being a petrolhead you might not appreciate this, but do have a look at my article on Formula E motor racing on page 106. Not just electric cars, but an electric atmosphere — and they are implementing a top- down approach to sustainability. RT

No offence taken

Please don't be offended, but until last week I thought I didn't like your magazine very much. My partner brings home copies from her work sometimes, and she seems to enjoy reading it — but then she works in HR for an investment bank, so no surprises there. I am more of the hippy persuasion myself (opposites attract lol), and find stories about finance, business leaders and interest rates about as interesting as Bob Katter's world view. This letter is a sort-of apology for maybe having been too quick to judge, because my view has changed a bit. I picked up a copy of BV (I think it was the Autumn one) that my partner had left lying around (OK, it was in the loo). It was open to a page about Boomtown festival — which instantly caught my attention. The reporter concentrated on the financial side of the festival, naturally enough for you guys, but the photographs were great. I started paging through and found, a few pages away, a piece about nightclub legend Peter Stringfellow (RIP). Hm, I thought: two interesting stories. Then I found a travel report / Rotary Club thing, again with nice photographs. And an item on cannabis, which came as a total surprise. So you haven't won me over just yet, but I'll at least have a flip-through in future loo visits. Justin Malloy Sydney, Australia The editor replies: Nice, thanks Justin! Winning someone around from a negative standpoint is somehow even sweeter than impressing one of those already converted. I hope you enjoy this Winter issue. 10 HW Heathrow & TTP I noticed an interesting juxtaposition in the Autumn issue between an ad promoting the expansion of Heathrow, justified by the amount of goods exported through it, and an article on the UK's possible entry into the Trans- Pacific Partnership. Obviously, the closest member of that trade group to the UK is Canada, some 3,000 miles away, and so, as you mention at the end of the article, shipping firms might be the first to benefit from the arrangement — if it goes ahead. And by the placement of these two pages you are subtly pointing out that Heathrow itself could benefit. Hmm, I see now that this could be one of those “unintended consequences” that haunt so many government decisions. It will be interesting to see how this pans out and how it influences the debate over the expansion of Heathrow.

Susan Atkinson, East Grinstead, West Sussex, UK Editor Hal Williams

Assistant Editor Janet Newbury

Executive Editor Susan Shaw

Pictures Editor and layout Richard Thomas

Contributors Jason Agnew Heather Leah Smith Business Vision Nabil Abu El Ata .WORLDBob Craig Daniel Ryan Larry Tedesco Muthoni Kanyana Nigel Booth

Cover Art Alejandro Lampre Velázquez

Distribution Manager Thomas Terrell

Subscriptions Max Pragnell

Commercial Director Graham Church

Publisher David Eyres

Business Vision The Lansdowne Building 2 Lansdowne Rd Croydon CR9 2ER United Kingdom

Tel: +44 (0)203 745 7671 Fax: +44 (0)203 745 7674 Email: [email protected] Web: www.bv.world

.WORLD In this issue 16 16 | Davos 2019 16 18 | Litigation Finance

22 | KFIC: head of the pack 35 | World Bank climate action

26 | New technology 36 | Thai takeaway

30 | Mental health 38 | Getting it wrapped-up

32 | Women in business 40 | HR in Africa

42 | Gibraltar 26 44 | Glue-shoe syndrome 48 | Peru's Banco Ripley

51 | Poland climate summit

52 | Water waste warning

54 | The rise of femtech

56 | Saxo's Outrageous Predictions 14 32

68 1414 74

62 52

58 | Risky business?

61 | Book review: Flying Start

62 | Italy and populism

66 | Crypto to fall...?

68 | Jose feeds the hungry

72 | ‘Hyper-local' Britain Contents

74 | Power from waste

76 | Automation: friend or foe?

77 | Get digital with it

80 | IT security does not compute 81 | Apprentice acceleration 68XX 82 | Managing Africa's parks

85 | Have you got the gig? 82 Summer 2018 Issue • www.bv.world 88 | Europe: looking good

90 - 97 | BV Awards Business Vision

98 | Does the dole do you good?

103 - 110 | BV Motoring

108 15 .WORLD Problems? We got a ton. Davos takes on Goliaths of globalisation and tech

When the WEF meets in Davos, the world’s leading thinkers may be scratching their heads over some of the obstacles that need to be overcome

IN THE World Economic later in its statement: “In a Forum's own words, “shaping ‘...to build the world preoccupied by crisis the global, regional and industry management, at a moment of agendas at the beginning of transformative change, we will 2019 will take place in a context future in a use the spirit of Davos to build of unprecedented uncertainty, the future in a constructive, fragility and controversy”. constructive, collaborative way.” If there is the hint of a tremor That constructive, in the WEF's normally calm collaborative collaborative approach has served voice, it is easy to see why. The the WEF well since its foundation Fourth Industrial Revolution is way’ by Klaus Schwab in 1971. The here, and technology is set to German-born business professor change to the way we live our will be seeking ways to deal with first named the organisation the lives. Factor-in globalisation and those challenges in January at European Management Forum, climate change, and the scale of Davos-Klosters, Switzerland, at the but changed the title to the the problem emerges. Progress annual WEF meeting. World Economic Forum in 1987. and problems are set to engulf us, The WEF, initially wavering, It sought to broaden its scope to and the world's leading thinkers bolsters itself a sentence include a platform for resolving

The annual WEF meeting takes place in January at Davos-Klosters, Switzerland 16 Drop of Light / Shutterstock.com

Davos will unfold in a multi-conceptual world that is no longer underpinned by common values international conflict. we are facing,” Schwab notes Labour Statistics, found that The WEF is funded by its glumly on the WEF website. “We average hourly earnings have 1,000 members, typically global are still approaching issues of barely increased in 40 years. companies with more than $5bn globalisation with an outdated The WEF argues that present in turnover. These enterprises mindset. Tinkering with our structures must be reformed to rank as the top companies existing processes and institutions deal with tech-driven advances. within their sector / country. will not be enough. We need to The benefits of globalisation are Membership is stratified by the redesign them.” not universally accepted. The level of engagement with forum The World Economic Forum's neutral platform it provides to find activities Annual Meeting brings together common ground is invaluable, Globalisation is being redefined governments, international but the forum runs the risk of by major transformations, the organizations, business, civil distancing itself from the people organisation notes. Global society, media, foremost experts whose concerns will set the global economic leadership is no longer and the young generation from agenda. dominated by “plurilateralism”, all over the world in more than Two of the more interesting rather than multilateralism. The 400 working sessions. It engages of questions facing the WEF are global balance of power has shifted over 100 governments and how to sell the Fourth Industrial from unipolar to multipolar. 1,000 companies at the highest Revolution to a mistrustful The challenge is tougher yet, leadership levels. audience, and how to harness thanks to threats such as climate GLOBAL CO-OPERATION ultra-tech to further liberal values. change, and that unpredictable, Davos will unfold in a At the base of all discussions unstoppable, Fourth Industrial multi-conceptual world that is the necessity to meet basic Revolution. the WEF notes is no longer human needs. Inflexible societal Governance is seen as key underpinned by common values. systems that fail to take human to the success at corporate, The organisation will be trying diversity into account risk Winter 2018-19 Issue • www.bv.world government and international to bridge these increasingly breaking down or turning citizens levels, along with adaptability to conflicting standpoints, and into automatons, some observers adjust to new economic, political, build a framework for global co- have noted. Big data has many environmental and social operation. benevolent applications, which Business Vision contexts. Prior globalisation rounds must be explored and promoted. “We are just at the beginning have not been fully absorbed. Davos has, as always, a massive of Globalisation 4.0, and are Global inequality is here, In the task ahead of it. Collaborative, significantly underprepared US, the Pew Research Centre, co-operative — and creative — for the magnitude of change using data from the Bureau of efforts will be needed. 17 .WORLD Myth-busting litigation finance: what today's law departments need to know

Does using litigation funding encourage frivolous litigation, or does it level the playing field? The answer: It depends – as experts BOB CRAIG, DANIEL RYAN, and LARRY TEDESCO explain (in simple terms).

IF YOU'RE working in the on who you ask, on the form of from legal claims while holding corporate legal space, you've litigation funding, and on the down outside-counsel costs. probably encountered litigation facts of the matter. Funding can also provide funding. “Corporations don't need independent validation, enabling Many in-house teams have litigation finance” – true or false? the GC to file a claim that could seen cases against them funded It might have been true 20 years bring a big payoff, but would be by third parties, most legal ago, but a recent Thomson Reuters expensive to litigate and requires departments still aren't using it, survey shows that controlling buy-in from other executives. and many executives still aren't outside counsel costs has become Senior executives don't always sure what to make of it. a general counsel's top priority. grasp the risks and rewards in Does it change the way in- Many GCs are tasked with those scenarios, and they may house counsel think about legal turning their legal departments want assurances of success that the strategy, or does it help them into value-generation engines – GC can't provide. convert legal claims into value- and litigation funding can be a Obtaining funding suggests generating assets? It depends powerful means to extract revenue that an outside expert has

Many General Counsels are tasked with turning their legal departments into value-generation engines 18 Adding a financing partner helps shift the balance back toward lawyering positively assessed the claim and The cost of capital for makes more sense to defer the potential damages, which may litigation funding appears steep costs of litigation and shift some help persuade other key decision - if you don't consider the risk to of the risk, even with claims that makers. the funders. Most funding comes have obvious merit. Litigation finance can in the form of non-recourse There are more compelling generate more lawsuits by financing. The funder, and often reasons to use litigation finance. allowing companies to file claims the law firm, takes a large cut from Under the traditional “hourly where they might not otherwise rate format” – where the law have been able to, but those cases department chooses an external are not always frivolous. Because law firm – GCs have to spend funders shoulder significant levels Litigation hours quibbling over budgets of risk, they don't invest in cases during the litigation process. unless due diligence shows that funding Securing litigation funding the claims have merit. If anything, typically reduces many of those litigation funding leads to more spreads some burdens, allowing in-house teams high-quality litigation. to focus on collaborating with It also propagates litigation its law firm on legal strategies by resolving an issue bedevilling of the risk to a and tactics. Because the firm many law firms: the pressure isn't financing the case itself, to accept more contingency third party the external legal team is less arrangements. Corporate clients likely to cut corners or push for Winter 2018-19 Issue • www.bv.world increasingly want their outside premature settlements. Funding firms to share the risk of lawsuits, potential proceeds in exchange typically isn't unlimited, so costs but law firm balance sheets can for covering funded costs. If you must still be managed, but adding only handle so much of that lose, you owe the funder nothing. a financing partner helps shift the Business Vision risk. Litigation funding spreads Plenty of general counsel still balance back toward lawyering. some of the risk to a third party, prefer to finance their strongest Litigation funders bring a allowing law firms to revert to a claims themselves, rather than significant level of discipline fee arrangement that provides a give up a portion of the proceeds. and professionalism to damage regular income. But there are situations when it assessment, because their business 19 .WORLD

Litigation funding is a tool that can relieve potential tension between General Counsels and CFOs

depends on it. In this regard, by the funder's payout, amount to – and often outperforms them. litigation funding is analogous a bottom-line windfall. Even within a single funder's to the broader movement to Litigation funding provides portfolio, cases are uncorrelated – outsource non-core corporate an innovative tool that can an enticing attribute for investors. functions to specialised vendors The demand is giving rise for efficiency and agility. Using to more funding firms, which a litigation funder also adds an promises to create greater element of independent scrutiny, competition for meritorious lowering the risk of being led into More funders claims, and more attractive expensive (and inadvisable) legal pricing for the claimants. battles by overzealous managers also means More funders also means or law firms. more funding activity. In just five Under generally accepted more funding years, the share of law firms using accounting principles, litigation litigation finance has risen from costs must be recorded as seven percent to 36, according to operating expenses, charged to activity a 2017 survey by Burford Capital. selling, general and administrative That pace can't continue forever, (SG&A) costs. But proceeds from but there's still plenty of room to a successful outcome are usually grow – and plenty of reasons for treated as other income, not from help relieve potential tension in-house counsel to give litigation operations. As such, litigation can between GCs and CFOs. It allows funding a close look. reduce a company's cash balance, the legal department to pursue operating income and earnings in a meritorious claim without the short term. drawing resources away from the Bob Craig, Daniel Ryan Litigation finance can dull, core business. and Larry Tedesco or even nullify, the short-term While the legal world still shows are directors of financial hit. If the litigation apprehension about litigation Berkeley Research Group funder covers most of the litigation finance, investors are rushing costs, the company's financial in with abandon. Not just for www.thinkbrg.com statements are unaffected. the novelty, but also because it's 20 Resulting proceeds, while reduced uncorrelated to other asset classes Angela Merkel

10 PEOPLE

ANGELA Merkel has announced she will step down from her position of Chancellor of Germany in 2021. Merkel grew up in East Germany in Iron Curtain days, and has taken her now-united country to greater strengths. But she has never been universally popular, thanks to her staunch positions on touchy subjects such as Greek debt, refugees, and the environment. Merkel is recognised as one of Europe's most enduring and influential leaders, holding her position as chancellor since 2005, and leader of the centre-right Christian Democratic Union (CDU) from 2000. She has earned respect for her stable and pragmatic approach to World politics — as well as vilification from her political opponents. The German chancellor is a private person, and one who holds few cows sacred. When Helmut Kohl became entangled in a funding scandal, Merkel was quick to jettison him, in political terms, creating a lasting rift between herself and the Kohl family. She contributed to the end of Kohl's chancellorship — and set her own sights on the top job. Winter 2018-19 Issue • www.bv.world As chancellor, she has shown a restrained and sometimes inscrutable face, but usually one on the side of reason. In the face of dire news (Brexit and Donald Trump's election, for instance) Merkel set out on a mission for stability and co-operation. Again, she sought distance from decision-makers over unpalatable issues, warning that Europe Business Vision could not rely on “old alliances”. Merkel is expected to take a hand in shaping a post-Brexit EU (watch this space), and has been instrumental in brokering discussions on the Russia-Ukraine disputes. Her time at the helm will be remembered for the bold steps she took to ameliorate the refugee crisis — and for its sheer longevity. 21 .WORLD Admirable driving forces put KFIC at head of pack

KFIC was established in early practices, internal policies, 2000s as a Kuwaiti Shareholding Alignment systems and controls.” Company, primarily operating in The expectations of customers the financial services sector. around the world is constantly The company's driving forces to applicable changing, and those customers are its shareholders, management seek a company which understands team and employees — who regulatory changes in their needs, and in believe in the future of KFIC and market behaviour. KFIC provides who strive continuously to succeed requirements relevant solutions and investment in a challenging and evolving advice. “It is crucial that such business environment. “I believe support of our shareholders, who services are provided with utmost that they see us a force that will believed in the KFIC's future and care, transparency without bring change, exhibit core value potential.” obstructing any ethical barriers,” and corporate responsibility in KFIC's main operations are Al Bahar says. our approach,” said CEO Tareq run from the head office in Al “Our mission is to play a crucial Mishari Al Bahar. Arabia Tower in Kuwait City, with role in the provision of financing KFIC has established itself two branches in Al Rai Industrial solutions and investment services as a premier financial and Area and Qureen (west of the Abu in Kuwait and the GCC Countries, investment institution in a Fatira Area). to meet the exponential need of world still struggling after the When it comes to a business its growing customers.” 2008 economic meltdown. This vision, Al Bahar says the main aim Experience in the field and has been achieved through its is to ensure business conduct with in overcoming the hurdles of the robust business approach and the highest level of professionalism economic crisis has helped KFIC strategy, including an effective and ethical practices. “We work to stay ahead. “I can certainly say restructuring plan that paved way within a corporate governance that we have the knowledge and for its success. “We have been framework, aligning all our know-how that helps us think able to taste the glory, because of activities to applicable regulatory outside the box for solutions, and the immense strength our team requirements including corporate diversify and widen the horizon — and of course the continuous governance standards, best of our services to meet our

‘For KFIC, hiring people who wish to positively contribute to the society is key’ 22 Tareq Mishari Al Bahar, vice-chairman and CEO of Kuwait Finance and Investment Company, KFIC customers' expectations.” an official corporate governance portfolio management The company vision focuses structure with voluntary and custody services on building sustainable business compliance. for clients, as well as practice, which incorporates That is a reflection of management of mutual good governance and factors that the company's value system funds challenge the socio-economic and encompasses its culture, • Investment and Corporate environment. “We strongly believe policies, and relationships with Finance — investment this aspect adds value to our stakeholders, says Al Bahar. management, alternative stakeholders, and to ourselves as “Integrity and transparency are investment and advisory a ‘responsible entity'. That's why key to our corporate governance services we have incorporated them within practices and performance, and • Financial Brokerage our policies including HR policies ensure that we serve and protect and online trading for and product development.” That the interests of our stakeholders.” instruments, including includes the funding of the SME KFIC operates in the financial equities, FX, and sector, as well as across KFIC sector, with the focus on derivatives. operations, through customer providing end-to-end financial Mutadawil.com is KFIC's relations, the use of recyclable solutions, including investment leading trading service. It materials, energy saving and waste management and advisory services represents a one-stop-shop for reduction. that meet customer needs by investors and traders. For 10 Corporate governance leveraging local and international consecutive years, Mutadawil has practices are an integral part of experience — as well as through been building electronic access business activities. KFIC's board its efficient team and strong trading technology that delivers Winter 2018-19 Issue • www.bv.world of directors has set a conservative network. advantages to traders, investors policy that was transformed KFIC's services fall under four and institutions in the MENA into a governance system prior key segments: region. to the issuance of related laws • Financing — consumer KFIC has a licence to provide Business Vision and legislation. The executive and commercial loans in financial lending services, management implemented Kuwait and other GCC and to act as an investment this policy with great efficiency, countries in compliance company. “This has granted us an turning KFIC into one of the few with Sharia principles opportunity to widen our service Kuwaiti companies to develop • Asset management — horizon that can benefit our 23 clientele, a key strength for KFIC.” KFIC also runs an annual them with a forum to speak for The company is committed recycling programme and uses change. Our members of the .WORLD to achieving sustainable multifunction printers that board are constantly looking out development for society and the decreases its carbon footprint by for new changes.” economy in general, as well as using less energy, fewer supplies Profit-making is a goal, but for its employees. It has a policy and office space. The company only one of KFIC's ambitions. “We of social responsibility to ensure is in the aggregate industry for aim to make our investments in contribution to the achievement road construction; the company places that matter, giving a sense of sustainable economic and researched and fitted suitable air of responsibility, shared by our social development. filters to reduce air pollution. investors too. We receive several Hiring people who wish to One of the biggest challenges investment opportunities daily, positively contribute to the society KFIC faced was during the apart from our criteria related is key, says Al Bahar. One of KFIC's economic crisis in 2008. “We to financial matters, we assess aims is to have a core “Green became the first company that the nature of the investments Team” to encourage employees offered debt-to-equity swap. This and its impacts to the economy/ to contribute to, and implement, was possible thanks to the support environment, directly or sustainability initiatives. Initiatives of our lenders and shareholders, indirectly.” include recycling and engaging in and the core skill and experience KFIC intends to create a volunteer programmes. Some of of our management team.” fund to encourage budding these ideas come from employees. NEW PLAYERS entrepreneurs and innovators, The company's Green The market is growing, and an initiative that has a direct Building Initiative is geared to Kuwait has its vision set for 2030: correlation to the welfare of provide sustainable, resource- encouraging new players in the society, and one that would efficient buildings, concepts market, local or international. positively impact economic becoming popular in the GCC. Opening Kuwait's business growth. There are high risks “We are looking to move into one environment is great for the inherent in such investments, but such building, which will open in economy and will be a challenging “that is the risk we are willing to the near future,” said Al Bahar. encounter. “The change in take,” says Al Bahar. “Our success The green building saves energy market dynamics is foreseeable is a trophy that wouldn't have been by introducing open spaces that and will be one of our greatest possible without KFIC's board, reduce the use of lights. Training challenges,” the CEO says. shareholders and employees.” and induction programmes “We are prepared to be ahead KFIC embraces SDG goals emphasise the importance of of the game and so constantly proposed in the UN's 2030 saving energy. revisit our strategies to adapt and agenda, such as impact of The goal is to be completely respond to any changes in the investments, gender equality, a paperless office environment. market dynamics. By doing so we support for economic growth, “It's challenging of course, as we pave way for healthy competition clean energy and climate action. do have old-school clients who and encourage innovative “Small changes can make a big may need paper documents. To solutions.” difference. We can't resolve all reduce the impact, we have been People are a cornerstone of the problems, but we can at least using a ‘Document Management KFIC's success. “We encourage focus on what we can eliminate Software' that has significantly our team to bring their innovation in small fractions. This is what reduced internal use of paper.” to the table. This has provided everyone should aim at.”

Kuwait has its vision set for 2030: encouraging new players in the market, local or international 24 Expansion in Africa

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BV’s RICHARD THOMAS gazes into his (liquid) crystal ball and shares visions of coming technology, from fusion power to, well, flying cars…

FUSION power is, according to the game, and the technology is the experts, 30 years away. It has racing ahead of legislation. A few always been 30 years away. It was The early gains highly publicised accidents during 30 years away 30 years ago, when trials may delay the introduction I was studying for my physics have gone to of driverless cars on public roads, A-level. but testing continues. Uber had Most experts agree the magic Tesla, Google its own self-driving car scheme 30 figure still stands — although under development (suspended a couple of start-ups are hoping to and Apple after a fatal crash in March 2018), unveil something of practical and and in August it announced a commercial interest sooner than $500m investment from Toyota that. More on those developments in-hand with that of electric for a future joint-development later, but while we're waiting vehicles. The early gains and programme. for fusion, let's have a look publicity have gone to the likes of ELECTRIC PLANES at some other long-promised Tesla, Google and Apple, but the An article like this wouldn't technologies… tech giants have now been joined be complete without a mention DRIVERLESS CARS by VW, BMW, Ford, Mercedes and of electric aircraft. First, The development of Volvo. Just about every major car conventional electric planes. autonomous cars has gone hand- manufacturer has some skin in “Conventional” in this case means Grendelkhan / Wikimedia Commons

Google’s car division, now rebranded Waymo, has won approval for testing on public roads in the US 26 The Shanghai maglev system — currently the fastest electric train in the world that power stored in batteries 60 metres under its own steam. transport, don't forget maglev. is used to turn a propeller. BV The general concept is proven, In case you have forgotten, covered this fast-moving area in and the race is on to develop maglev is an abbreviation of the Autumn edition, and if the something more practical. magnetic levitation, a system that Norwegian aviation authority, Bye BATTERY TECH uses magnets to suspend a train Aerospace, easyJet and Wright The range of electric cars above the track, and to propel it Electric have anything to do with and duration of planes is limited forwards. it, big news will be rolling in over by the energy density of their The first maglev patent was the next 10 years. batteries and the speed at which granted in 1905, but it wasn't until NO MOVING PARTS those batteries can be recharged. 1979 that the first working train A scale-model of such a plane During charging, lithium ions to use the system was opened to has been developed by MIT inside a battery move from the the public in Hamburg. However, scientists, who recently published positively charged electrode, or this train was built for a transport their results in the scientific anode, towards the negatively exhibition, and only operated for journal Nature. The aircraft has charged cathode. The charging a few months. Further test systems no moving parts, flying courtesy time is limited by the speed were built in the-then USSR, of “ionic wind”. An array of high- the ions can move, and on the and the World's first commercial voltage (20,000-volt) electrodes material the battery is made of. maglev system linked the UK's at the front of aerofoils ionise Cambridge University Birmingham Airport with a nitrogen molecules in the air, researchers have discovered railway station. A railway station which are attracted from the that a group of materials, which was just 600m away. positive to the negative electrodes niobium tungsten oxides, greatly From its inauguration, in 1984, Winter 2018-19 Issue • www.bv.world (at the rear). increase the speed of ions, and it was very popular with passengers; On their way, said charged thus the speed of charging. prohibitive maintenance costs led molecules collide with their Any improvement in battery to its closure in 1995. uncharged counterparts, creating technology is good news, not just Still in the UK, a maglev Business Vision “wind” — which travels over the for electric cars and planes but train system was proposed in aerofoils, creating lift and thrust. also for grid power storage, for the early 2000s to link London Their prototype resembles a solar energy. and Scotland via Birmingham, model plane being launched from MAGLEV TRAINS Manchester, Leeds and Newcastle. a ramp, but has covered more than While we're on the subject of The proposal was rejected in 27 .WORLD

Facial recognition technology can now scan a crowd for known threats 2007, in favour of a conventional FACIAL RECOGNITION exists to replace all five digits. high-speed rail line, the HS2. Facial recognition is moving QUANTUM COMPUTING The German company that from film fantasy to real life, The idea was first proposed was behind the proposal rejected courtesy of US firm Facefirst, at a Physics Of Computation by the UK provided trains for whose technology is aimed at law conference in 1981, but the the Shanghai maglev system — enforcement, casinos, retail and practical implementation of currently the fastest electric train transport. The technology can quantum computing is still in the world. scan a crowd for known threats lagging. In a nutshell, the physics A new, eight-kilometre (terrorists or shoplifters, pick your of quantum mechanics will allow maglev system has been opened enemy) and can be used for access this new generation of computers in Beijing, and other Chinese to buildings, events or vehicles. to work faster with more data. A cities have similar projects under Facefirst claims to have 451 global working model will be faster than consideration. deployments across all sectors, classical supercomputers. Much In Japan, a maglev system is including law enforcement, retail faster. being constructed between Tokyo and military. Why do we need quantum and Osaka. It is expected to reach BIONIC LIMBS computers? For solving complex speeds of 500 km/h, shortening a Remember The Six Million mathematical problems, journey that takes four hours by Dollar Man? At the time, the modelling the structure and bullet train to just 40 minutes. opening sequence went: “We have behaviour of molecules in Elsewhere in Asia, maglev the technology: we can rebuild chemical reactions, improving systems have been proposed him.” Now there are companies artificial intelligence and in Bangalore, Hong Kong and developing hands that grip, and modelling financial markets. Taipei; South Korea's network has legs that run. Finding prime factors of an been in operation since 1993. The i-digits bionic hand from integer could break cryptography In the US, various intercity Touch Bionics can be controlled as we know it now, but quantum projects have been proposed by simple gestures, or via a mobile computers could also create new — but some have already phone app, and make fine muscle cryptographic methods that don't been abandoned. Still under movements such as operating a rely on factorisation. development is Elon Musk's camera. The company describes Modelling of chemical Hyperloop, a maglev train system its device as appropriate for partial reactions could lead to new 28 in a vacuum tube. hand-loss, but the technology molecules designed for medical use, and improve the Haber-Bosch car that flies, this is a plane that supply energy to the grid by 2030. process used for the production can be driven: it requires a sports- Canada's General Fusion is even of ammonia (a fertiliser for crops, pilot licence to fly from airport to more ambitious. Its technological if you were wondering). airport, but then it can be driven solution for dealing with the The first experimental versions out of the gate and on to the final huge temperatures and pressures of the quantum computer have destination by road. required for fusion is said to be been connected to the internet, The planned follow-up to the promising, with the company and toolkits released to allow the Transition is the TF-X. This is hoping for a demonstration public to write simple programmes planned to be more like the flying model on a commercial scale for them. car promised by 1960s animated within five years. Working prototypes are still series The Jetsons. It won't need The Canadian government years away, but as MIT professor to take off or land at an airport, is evidently convinced, having Isaac Chuang said, “It is no longer so owners will be able to fly door- granted the company C$50m from a physicist's dream — it is an to-door. its Strategic Innovation Fund. engineer's nightmare.” With the number of drivers FLYING CARS who seem to have trouble with left, One of the staples of 1950s right, forwards and backwards, NEXT BIG THING science fiction was the flying car. adding up and down may cause Most early predictions for the problems. Have we missed anything? year 2000 suggested we would be NUCLEAR FUSION Maybe you work on a doing our daily commute in three Ah, back to fusion. The idea of project that could be the dimensions, rather than two. But nuclear fusion as a source of energy basis for a future article, or 2000 came and went with no sign has been in the “promising-but- perhaps you run a business of the flying car; approaching more-research-needed” category developing the next giant 2020, and we might be closer. of technology for many years now. leap for mankind. If it isn't US company Moller has Well, 30, at least. veiled in secrecy, BV would been teasing the world with its But maybe that could change love to hear form you. Just Skycar for most of this century, soon. The UK's Tokomak Energy send an email to info@ but now the Transition, made by has been developing its own bv.world … Terrafugia, has gone on sale in compact fusion system, designed the States. Rather than being a for use in factories, and aims to Winter 2018-19 Issue • www.bv.world Business Vision

Quantum computing is no longer a physicist’s dream — it is an engineer’s nightmare 29 .WORLD Mental health remains a taboo topic for workers

WORKERS on lower salaries feel - £50,000, and one in ten for less comfortable talking to their ‘Presenteeism’ people earning £70,000 - £75,000. employer about mental health. A major cause of mental In a report entitled Why BWell, health problems in the workplace from Barnett Waddingham, a is when is stress. Across all salary brackets, research project surveying 3,000 more than a third of people British employees found that of employees go struggle to deal with workplace those earning £20,000 - £30,000 pressure. The same proportion of a year (the average UK salary), to work when workers don't feel able to switch just two in five would be willing to off outside of work hours. discuss mental health at work. not well Both factors may be leading to That figure rises to 50 percent a rise in “presenteeism” — when among workers earning £50,000 - employees go in to work when £60,000 a year — and 67 percent gap in perception between not well. A recent CIPD report for those on £70,000 - £75,000. business leaders and their staff. indicated that presenteeism had A lack of trust and training Another explanation for tripled in the past eight years, could be a barrier. Just one in employees on lower salaries not while Barnett Waddingham's four feel that their managers are wanting to talk about mental study found that almost half of equipped to support employees health is that they feel their the UK's workforce feels under with mental health issues. When company isn't interested in them pressure to go to work when the same question was put to as individuals. One in five workers feeling unwell. employers, 74 percent felt line on £20,000 - £30,0000 said that Laura Matthews, workplace managers were adequately their employer shows no interest wellbeing consultant at Barnett equipped for such conversations. in them as a person, but this drops Waddingham, said that while The findings reveal a worrying to 14 percent for those on £40,000 some employers are taking a lead

A major cause of mental health problems is stress, experts say 30 Across all salary brackets, more than a third of people struggle to deal with workplace pressure on mental health, it remains a UK economy £35billion last year, “Line managers and senior taboo subject for employees. “so it's in everyone's interest that management have a huge part to Especially those on lower salaries, companies create an environment play when it comes to addressing who are most vulnerable if they where problems can be discussed this, and it's crucial that they lose their income. “This isn't openly and honestly”. receive the right training, adopt good enough, if businesses are While some businesses offer effective management styles serious about supporting their gym memberships to encourage a and make conscious efforts to workforce,” Matthews said. physically healthy workforce, there communicate with employees on It's been estimated that mental is less emphasis on improving a personal level and keep morale health problems at work cost the mental health. high.”

GUIDANCE FOR MENTAL HEALTH IN THE WORKPLACE This information comes from www.mentalhealth.org.uk THE latest large-scale survey in Britain suggests that one in six people experience symptoms of a mental health problem in any given week. Different mental health problems affect people in different ways, and it's key to understand an individual's experience. Some people with schizophrenia, for example, live pretty much ordinary lives, while others with anxiety may be severely affected by their condition. As a rule, you should seek help from your GP if you have difficult feelings that are: • stopping you from getting on with life having a big impact on the people you live or work with

• Winter 2018-19 Issue • www.bv.world • affecting your mood over several weeks • causing you to have thoughts of suicide. At work, you might notice that you are more tired than usual, make uncharacteristic mistakes, find it hard to motivate yourself. Your timekeeping might slip, or you may become short-tempered. More obvious signs are outbursts of anger or emotion, and absences from work Business Vision A range of legal rights protects your mental health at work. An affected person is entitled to ask for reasonable adjustments to their job or workplace to accommodate their disability. This could entail a change in work patterns, working remotely on set days, and an excuse for not attending some work functions. 31 .WORLD

Woman-power makes sense, according to FSB's study

FEMALE-OWNED businesses there has been a reduction in table, whether it's pitching new contribute a £105bn to the the female-led contribution of business ideas or developing new UK economy, contributing 6.3 the manufacturing sector, which products. Reports (like this) show percent of the UK GVA (the is a high-profit sector. A larger how far we have to go to reach increase in the value of the proportion of women-owned true equality among the small economy due to the production businesses are in the care sector, business community.” of goods and services). which shows lower profits. Lina Bourdon, head of FSB's Despite this, Britain's female The estimates show that Women in Enterprise team, entrepreneurs remain a rare Wales (7.24 percent of GVA) and said development of women's and elusive species, a new study Northern Ireland (9.23 percent enterprise was critically important shows. The Federation of Small of GVA) lead the way in the for economic prosperity. Businesses (FSB) is a non-profit contribution from female-owned “The Government must now business-support group for the businesses. address this untapped potential UK's small businesses and self- The report was launched at with a range of suitable measures, employed workers. Research a Facebook's Community Boost such as career advice, role models, by the organisation shows a event late last year at London's and access to business support 40 percent increase in UK Millbank Tower. and finance,” she said. economic contribution, and a 26 Facebook spokesperson Nicola Carolyn Currie, CEO of percent increase in employment, Mendelsohn said the report shone Women's Enterprise Scotland, generated by businesses headed an encouraging light on the which compiled the report by women. increased contribution of women- for FSB, said the female-led The study also shows that owned or -led businesses to the momentum must continue. “With a quarter of private sector UK economy, and to employment. dedicated resources and support, employment is generated by “But it's unacceptable that our women-owned businesses have female-owned and -led businesses – culture is still hard-wired against the opportunity to harness the but the manufacturing and higher women in leadership roles,” she momentum already created, and growth sectors remain a challenge said. “We need more women continue to grow their economic for women entrepreneurs. starting and growing businesses, impact and value across all areas 32 The report findings show that and more women sitting at the of the UK and all sectors.” C

CMY

K .WORLD Cheikh Amadou Bamba

ONLY one photograph of Senegalese Sufi Cheikh Amadou PEOPLE Bamba is known to survive, and though he died in 1927 the holy man's image, and his legacy of entrepreneurial grit, can still be seen across Africa and on the streets of America and southern Europe. Amadou Bamba, born in Baol, Senegal, in 1853, led a peaceful struggle against French colonialism. The French government sentenced him to exile in Gabon, and later Mauritania. He was liberated in 1910, and in 1918 he was granted the French Legion of Honour for enlisting his followers in World War I. The famous Sufi founded the Mouride Brotherhood in 1883, a group which has the sanctity of work as one of its core beliefs and has won the respect of world figures including Ibrahima Fall, the African Union's Special Representative for the Great Lakes Region and Head of the AU Liaison Office in Burundi. Bamba championed an industrious, entrepreneurial branch of Sufi Islam, and many of his modern followers ply their wares in the resorts in France, Italy and Spain, selling sunglasses, souvenirs and handbags to tourists and holidaymakers. Impoverished migrants from Senegal go abroad to seek work and send money home to their families. Bamba's guidance to his followers on the benefits of honest labour led many of the Senegalese diaspora to join the ambulant workforce of salesmen. He urged his followers to get ahead in life, work hard, and help one another. The poet and mystic was renowned for his emphasis on hard work — and his modern disciples have earned respect in their adoptive homes for their industrious nature, courtesy and honesty. Mouridism preaches self-help, and the responsibility to look after others. One of Bamba's best-known followers, musician Youssou N'Dour, once told the BBC that Mouridism consisted of “two paths – one is the way to God, the other path is the doctrine of work and dignity, because if you don't work, you hold your hand out and lose your dignity”. While this inclusion in BV may not have a direct link to the cutting edge of business it is perhaps timely — in an increasingly xenophobic Europe struggling under the weight of uninvited, but desperate, migrants from Africa — to reflect on a growing movement with a 34 visible presence that shares an inspirational call to industry. World Bank boosts financial aid for countries pitching in to fight climate change battle

Ambitious plan includes better-adapted homes, schools and infrastructure, plus investment in “climate-smart” agriculture and water management

THE World Bank Group has forecasts, early warning systems announced a new set of climate and climate information services targets for 2021-2025, doubling The new targets to better prepare 250 million its current five-year investments people in 30 developing countries to $200 billion in support of build on the for climate risks. countries taking ambitious action. “There are literally trillions The plan boosts support for 2016 Climate of dollars of opportunities for adaptation, recognising climate the private sector to invest in change's mounting impacts on Change Action projects that will help save the lives and livelihoods. planet,” said IFC CEO Philippe “Climate change is an Le Houérou. “Our job is to go existential threat to the world's Plan out and proactively find those poorest and most vulnerable,” said opportunities.” group president Jim Yong Kim. total comes in direct finance from The new targets build on the “We are pushing ourselves to do the World Bank (IBRD/IDA), bank's 2016 Climate Change more and to go faster on climate the rest from combined direct Action Plan. In 2018, the World change, and we call on the global finance from the International Bank Group provided $20.5 community to do the same. Finance Corporation (IFC), billion in finance for climate “This is about putting the Multilateral Investment action, meeting its 2020 target two countries and communities in Guarantee Agency (MIGA) and years ahead of schedule. charge of building a safer, more private capital mobilised by the Key sectors will include climate-resilient future.” World Bank Group. energy improvement, assistance About $100 billion of the new A key priority will be increased for 100 cities to achieve low- support and recognition for carbon emissions, resilient urban millions of people facing the planning and transit-oriented consequences of extreme weather development. Food and integrated events. By ramping-up direct landscape management covering adaptation finance to reach up to 120 million hectares of around $50 billion over FY21-25, forests in 50 countries. the bank will – for the first time – give this an emphasis to equal emissions-reduction investments. World Bank CEO Kristalina Georgieva said the funding would be used to build better-adapted Winter 2018-19 Issue • www.bv.world homes, schools and infrastructure, and invest in “climate-smart” agriculture, water management and social safety nets. Business Vision Adaptation will be undertaken systematically, with a new rating system to track and incentivise global progress. Actions will Kristalina Georgieva Philippe Le Houérou include supporting higher-quality 35 .WORLD Thai takeaway... to India? It's more feasible than it sounds, — and bringing tasty rewards

India is famous for its own cuisine, but lateral thinking has worked out for this entrepreneur. JASON AGNEW reports.

RADHIKA Khanna's journey to the ability to speak a foreign Vikram Khanna becoming the leading Thai food language,” she says, “it also entrepreneur in South India has encouraged me to think outside called for grit and tenacity. the box and have the conviction After leaving school in Delhi, to carry things through.” Khanna had ambitions beyond She returned to India simply getting married and feeling “very independent and becoming a housewife (as was the empowered” and was determined norm for a young Indian woman to further her career, deferring in the 90s). marriage to her fiancé, Vikram, She managed to persuade her for another two years. parents to send her to Austria to After working for the study hotel management – on prestigious Taj Group, selling condition that the course lasted accommodation and banquet only a year. That year proved to be facilities, she found an altogether an eye-opening experience, and more hands-on position in the the catalyst for her future career. kitchens of the Cidade de Goa. “Not only did it give me There she was exposed to the exposure to the hospitality hectic atmosphere of a busy hotel business in another country and kitchen during high season – and Radhika Khanna

There was a gap in the market: there were no Thai restaurants in New Delhi 36 Almazoff / Shutterstock.com

Khanna found suitable premises in the trendy Hauz Khas district, flew toThailand and hired a chef a very unpleasant experience of her husband joined her in the finds Mumbai an amazing city to sexual harassment. That nasty business. work in. “I started my business incident was a real eye-opener, After seven profitable and close to 10 years ago – very late but only served to strengthen her enjoyable years, Radhika Khanna for me, at age 40 – but around resolve to start her own business became a mother and, as Vikram the time, a lot of young people and keep it running. wanted to relocate to Mumbai for started their businesses. They After marriage, Khanna's work, they decided to shut the have remained my vendors, and in-laws were supportive of her restaurant. now are even friends. business plans, coming from an “Apart from the business entrepreneurial background transactions with vendors, I have themselves. She missed become friends with hundreds of Radhika had developed a Mumbai ladies, who order food liking for Thai food in Austria, the excitement from me, and tell me about their and realised that there was a gap woes, kids, holidays. in the Indian restaurant market: “So it´s been a wonderful 10 there were no Thai eateries in of running a years establishing this business of New Delhi. Thai food in India.” She found suitable premises restaurant Khanna believes she has in the trendy Hauz Khas district, made some inroads into bringing then flew to Thailand, hired a But the entrepreneurial flame international cuisine to India. chef, purchased over 400 kilos burned on, and after the 2008 Her next plan is to franchise her Winter 2018-19 Issue • www.bv.world of foodstuffs – and opened her crash, Khanna decided to launch business, first in Mumbai and restaurant, Sukhotai. a Thai catering business. She then other Indian cities. It didn´t take long for Sukhotai missed the excitement of running Reflecting on her struggles to get a rave review, and then a restaurant, though – and opened as a woman breaking a cultural Business Vision it really took off, with punters Lotus Blossom in Goa during the mould, Khanna says: “People queueing on the stairwell to be tourist season. think differently now, and I can seated. As she puts it, “my catering see that in my daughter. I think Pretty soon, the restaurant business is our bread and butter, it's an exciting time to be a had become so successful that and this is the jam on top”. She businesswoman.” 37 .WORLD

Da wrapper's in da house! One company's drive to revive product packaging

PRODUCT packaging, if it's done space by offering cloud-powered well, should attract attention and product traceability and “speak” to the consumer. authentication services. This is something that Chung intends The company is a leader Containers Printers CEO Amy in Singapore's digital Chung understands only too well to extend the transformation initiative, and as a basic principle of marketing. has been nationally recognised Her Singapore-based company company’s for its approach to innovation looks to technology to provide and technological advances. The more product control for clients, digital company's global reach — and and value-added gains for potential to upscale — attracted shareholders. the attention of Singapore's Chung has been leading the capabilities Economic Development Board, product packaging company which tapped Containers Printers since 2014, and she has a clear to participate in a programme vision for its direction. “I want matching top global brands with to drive the company from what shop floors produce eye-catching local companies to forge profitable can be considered a conventional results. Packaging comes in two and productive partnerships. industry to something more materials (metal and flexible “This year we have been technological,” she said. “We laminates), both of which can be selected by our Economic are therefore upgrading our customised with unique textured Development Board for a special capabilities beyond conventional effects. programme,” said Chung, packaging solutions to be able to Containers Printers is in the “where they tie us to global do functional printing and smart process of further digitising its multinationals to gear us up in packaging.” operations. Chung intends to our capabilities, and to meet the The modern manufacturing extend the company's digital strict requirements of these global 38 machines lining the company capabilities into the clients' multinationals. We were able to perform to their satisfaction, so “I jumped immediately into tech advancements. Highlights with this programme we are now the Prime Minister's programme, for Chung included the being selected and shown to the which the government has been programme's lean-manufacturing Minister for the trading industry actively promoting in Singapore,” training courses, which detail in Singapore.” said Chung, whose company tech-enhanced manufacturing Chung is proud of Containers has been classified in the space processes to improve efficiency Printers' selection for the of small to medium enterprises and reduce redundancies. programme, in which it took (SMEs). According to Chung, the its first foray into the medical company's operations are aligned industry. The process was to the “Three Rs” principle demanding, with tight deadlines (Reduce, Reuse, and Recycle), and stiff benchmarks to meet, but A corporate and sustainability is built into its it was a success. corporate culture. Containers Chung and her company were philosophy Printers sources and selects benign praised for their performance. materials and employs solvent- “We took the challenge and in which free manufacturing processes rolled the dice,” Chung said. “We where possible. The company's were told that we were the most latest sustainability initiatives will successful partnership that came everyone starts be operable by early 2019, when out of this.” its two manufacturing plants will The company's success thinking about be topped with solar panels. “I garnered more local attention, think that's really working towards and Containers Printers was sustainability a corporate philosophy where selected to participate in a skill- everyone starts thinking about sets development programme, sustainability,” said Chung. overseen by the Singapore The programme aims to drive “We cannot enforce and Ministry of Manpower. Containers the industrial adoption of digital impose, but we can build up a Printers will be showcased in a transformation strategies. corporate culture and values, so session with the country's Prime Containers Printers was invited that slowly everyone practices Minister, Lee Hsien Loong, who to participate in the programme the three Rs as though it's just will visit the company to meet the for its proactive and innovative something that they do — it's team. implementation of the latest natural.” Winter 2018-19 Issue • www.bv.world Business Vision

The company’s packaging comes in two materials, metal and flexible laminates 39 .WORLD HR is the lever for change, and a key for sustainability

MUTHONI KANYANA, CEO of MK-Africa, reports on challenges facing the World – and how HR plays a vital role

THE Institute of Human Sustainability is the challenge Resource (HR) Management, of our lifetime. The statistics are the professional body for HR Becoming more daunting — we need 1.7 Earths to practitioners in Kenya, recently meet our needs (Global Footprint invited me to speak at its 22nd sustainable for Network), some 168 million annual national conference. children are engaged in child The HR professionals wanted labour (UNICEF), the amount to understand sustainability, people and of solid waste generated globally and how it affects their work. is approximately six million tons This presented an interesting organisations is per day (World Bank) and one in opportunity for me to get into nine people in the World today meaningful dialogue about the a necessity lack access to safe drinking water. “people” aspect of sustainability One statistic that caught our strategy with those who attention is that Kenya has been understand it best. environmental (planet), social ranked eighth among countries We began by simply (people), and economic (profit) with the largest number of people defining sustainability, and demands as part of the business living in extreme poverty (World distinguishing it from Corporate strategy. Poverty Clock). Yet, according to Social Responsibility (CSR). CSR is more concerned with a Business Daily report, Kenya Sustainability is the process of philanthropy and community also created 180 new dollar maintaining a balance between relations. millionaires in 2017.

Muthoni Kanyana, CEO of MK-Africa: ‘HR can improve company sustainability’ 40 This income inequality makes the social and economic BUCKING THE TREND framework of the country unsustainable. FOR BETTER RESULTS Becoming more sustainable for people and organisations HR and benefits consulting firm launches is a necessity. Our survival and BuckConnect to manage HR functions and prosperity depend on changing our current trajectory. And improve workplace relations business has the largest impact. But sustainability is important BUCKCONNECT aggregates a company's health, wealth, and career not just for multinational programmes and delivers them via mobile and web to maximise enterprises, but for all employee engagement. organisations, whatever their size. It claims to be a one-stop-shop for individuals and the Sustainability reporting helps to organisation, while the underlying administration services remain set targets, plan how to achieve “vendor-agnostic”. them, and monitor progress. Employees can use machine-learning support tools on the For HR this means reporting platform to access, transact, and manage the HR programmes. Users on issues relating to human receive individualised plan-support to help them achieve their goals. rights legislation, as it applies to “The HR industry is in the midst of an unprecedented shift practices of employment such in the employee experience,” said Scot Marcotte, Buck's CTO. as the Employee Act, labour “Technology exists to recast HR service delivery from a human- relations, employment equity, centred perspective, using natural language, artificial intelligence, skills development, occupational and robotic process automation.” health and safety, grievance Employers can also review custom dashboards and model procedures and affirmative action. scenarios to evaluate how well plans are working, relative to their Sustainability requires objectives. employers to conduct an analysis Terri Moore, senior benefits specialist at Daimler Trucks of employment policies, practices, (North America) said that enabling employees to access all of their procedures and the working benefits and compensation information, and engage them in their environment programmes, had been a challenge. “Buck consolidated five vendor HR professionals can play partners into a single experience for our employees,” she said. “With a significant role in promoting 67% of our population using the site regularly – a significant number sustainability in their companies of whom access it through their smartphones – we've seen marked by incorporating sustainability improvement in our employee engagement while streamlining some education in the employee of our processes.” training process, involving The platform incorporates Buck's proprietary modules, analytics, employees in workplace initiatives and industry expertise and helps employers offer a tailored user (recycling, energy efficiency and experience for behavioural change. reducing waste). The result, Buck claims, is higher employee satisfaction rates, as HR can also facilitate the well as a healthier employee population, and increased productivity. formation of committees to find ways to improve company sustainability. Volunteer initiatives like tree-planting and support for community-based initiatives can be encouraged (and measured) by HR. Within their own domain, HR professionals can eliminate paper from its talent-acquisition process Winter 2018-19 Issue • www.bv.world making the hiring process entirely electronic. The bottom line is that if sustainability is good business, Business Vision then the sustainability team is the change-maker – while the HR team is the lever needed to make the change. 41 .WORLD Let's talk about Gibraltar: tobacco, land-reclamation and environment on agenda for UK-Spain negotiations

BREXIT has induced the UK and unemployment and contraband were never applied due to trust Spain to talk, once again, about problems. issues between the parties.) Gibraltar. Four texts have reportedly In principle, the new accords The two nations will negotiate been signed by the Spanish will only function during the the largest bilateral agreement on Minister of Foreign Affairs, Josep transition period of the Brexit the Rock for the first time in more Borrell, and the British Minister — less than two years — and are than a decade. for the Cabinet Office, David unlikely to satisfy both parties. The Spanish and British Lidington. The agreements relate The new texts specify that nothing Governments have agreed on a to tobacco, the environment, “will entail a modification of new framework, consisting of four Customs, police co-operation and the respective legal positions of Memoranda of Understanding, the rights of cross-border workers. the Kingdom of Spain and the on the most controversial issues UNDERSTANDING United Kingdom with respect to that will come into force after the These have been hailed as the sovereignty and jurisdiction British-EU “divorce”. the first steps towards a viable of Gibraltar”. In other words, the The pact aims for a more understanding between Madrid Spanish government will not be balanced link between the Rock and London over a 300-year-old able to use this framework to talk and the Campo de Gibraltar, bone-in-the-throat issue. (The about co-sovereignty until 2021, at an Andalusian region battling 2006 “agreements” of Córdoba the earliest.

A Gibraltarian ape, with Spain in the background 42 trabantos / Shutterstock.com The rights of cross-border workers and a reduction in smuggling are two of the objectives

The texts focus on the need to reduce the tobacco price A BRIEF HISTORY OF GIBRALTAR differential between territories. SPAIN'S claim to the territory of Gibraltar is rooted in the early In Gibraltar, taxation is minimal 18th Century. King Charles II of Spain was childless. He bequeathed — which makes contraband an his crown to Philip (Felipe) of France, grandson of Louis XIV. The appealing prospect for smugglers. united monarchies of Spain and France threatened the balance of The differential, the agreement power in Europe, and 1701 saw the outbreak of war between France, states, should not exceed 32 Spain and Bavaria on one side, and Austria, England, the Dutch percent of the average tobacco Republic, Prussia, Portugal and some German states on the other. price in June 2020. That gap Although peace talks began in 1705, the war didn't come to an end stands at 48 percent at the time of until the signing of the Peace of Utrecht in 1715 — an agreement writing. which officially ceded Gibraltar and Menorca to Great Britain. After TAX HAVEN two more wars, the 1729 Treaty of Seville confirmed British rule. The other documents relate The seeds of hostility had been sown. mainly to the exchange of Spain protested the extension of Gibraltar's fortifications beyond information and the creation of its permitted limits, as well as harm to revenue because of smuggling joint committees to govern the — a parallel to today's concerns. British colony, considered by Spain had mixed fortunes in the 1783 Peace of Paris treaty, an Spain a tax haven. agreement that brought an end to the American Revolutionary War. A technical commission will Spain regained Menorca, but Britain retained Gibraltar. Britain exchange information on other refused to exchange Gib for Puerto Rico; the Rock's geographical controversial issues such as land position — at the entrance to the Mediterranean — meant reclamation — placing landfill in unhindered trade with the countries bordering the sea. Winter 2018-19 Issue • www.bv.world waters of disputed sovereignty to But Spain maintains a territorial claim to Gibraltar. The border expand Gibraltar's surface area. was closed in 1969 — under Franco's rule — and not re-opened until The rights of citizens, perhaps 1985. Since then, most of Britain's armed forces have left, and the the most sensitive issue on the territory's economy has been based on tourism, financial services, Business Vision agenda, are expected to conform shipping and gambling. to the provisions of that European Two referenda on the question of self-determination have come protocol. A joint commission will down on the side of British rule. But in 2016's Brexit referendum, 96 be created to pursue this part of percent of Gibraltarians voted to remain in the EU. the agreement. 43 .WORLD

Glue-shoe syndrome for Brexit: any steps forward… or are we going sideways?

An analysis of the latest Brexit developments shows that just beneath the surface of the mud… is more mud. BV’s JASON AGNEW reports.

THE Eagles' 1977 hit Hotel The deal was supposed to be California ends with the line, presented to the UK parliament “You can check out any time you for ratification on December like, but you can never leave.” The sovereignty 12, but the vote was postponed Fast-forward 41 years, and indefinitely by Theresa May once those words seem eerily apposite of Gibraltar will she realised that it was going to be to the situation that the United “rejected by a significant margin'.' Kingdom finds itself in regarding not change This triggered a vote of no the imbroglio commonly known confidence in the prime minister as Brexit. from her own party which she This unfortunate portmanteau managed to win but 117 MPs from refers to the United Kingdom inside the Customs Union in her own party voted against her. leaving the European Union, order to ensure a soft border with SLENDER MAJORITY a feat no country has hitherto Eire in the hope of avoiding a The Conservative Party's attempted. return to the years of conflict. “confidence and supply” On November 25, 2018, the Britain's colonial past appears agreement with the Democratic 28-member countries of the EU to be coming back to bite it on Unionist Party (DUP) in Northern (or 27 plus the decamping UK) the backside as the Northern Ireland, which has provided them agreed in Brussels on what they Ireland “backstop”: the British with the slenderest of majorities described as “the best and only territory will maintain regulatory in Westminster, is increasingly deal possible”, an interesting alignment with the EU, and the under threat. juxtaposition of adjectives given sovereignty of Gibraltar will not Across the Irish Sea, the ruling their incongruence. change. Scottish Nationalist Party objects The deal is that the UK will These are two factors that had to the status afforded Northern leave the EU on March 29, 2019 – threatened to scupper any deal. Ireland while Scotland – which but will play by the Union's rules European Commission voted 62 to 38 to remain – would until December 31, 2020. president, Jean-Claude Juncker be outside it. If no agreement on border noted that “this is no time to open Ironically, Scotland voted to control had been made by then, the champagne” and that “there remain part of the UK in 2014, 44 Northern Ireland would remain are no smooth divorces”. largely because the EU bluntly announced that if the country them a second referendum. Whatever happens next is were to leave Britain, it could not The Labour leader, Jeremy anybody's guess, whether there remain in the EU. Corbyn, has described the deal as will be a second referendum or a This is all so confusing that a “the worst of all worlds” and Tony no-deal Brexit. Plenty of pundits new acronym has been invented, Blair calls it a “dodo”. are ready with predictions. and Tory ministers are now Boris Johnson claims the But it may well be that the vote appealing to BOBs (those who are European Union will have Britain which was supposed to restore the Bored Of Brexit) to support the “exactly where they want us” as “a UK's sovereignty results instead in agreement – all the while denying vassal state”. its break-up. Kevin J. Frost / Shutterstock.com Winter 2018-19 Issue • www.bv.world Business Vision

It is feared that a hard border between Northern Ireland and Eire could precipitate a return to conflict 45 .WORLD Ryan (and toys) This is YouTube's top earner, says Forbes magazine

10 PEOPLE RYAN is eight, American, and unless you have a digital wheelbarrow full of Bitcoin, he has more money than you. Like, um, $22m (£17.3m). He didn't inherit it, or harvest and sell his parents' organs. He does what he does best: he plays with (and reviews) toys on YouTube. So free toys, millions of viewers and plenty of pocket money. Can't be bad. The young YouTuber's official place as top earner was recently announced by Forbes. At the time of writing, Ryan has 17 million subscribers and his videos have been watched 25 billion times. Yep, 25 billion, with a “b”. On his channel, Ryan ToysReview, this young entrepreneur gets a toy; viewers then watch him play with it. The next day it's ditched for something newer and shinier, but ‘twas ever thus for kids and toys. His surname is unpublished, but Mommy and Daddy take part in the videos, which first screened in 2015. The clips contain an educational element, packaged in a whee-whoopee- kids'-TV-show style, as well as reviews of the toy of the day. Ryan's reported earnings do not include agents' or lawyers' tax or fees, but hey, they have doubled over the previous year. Forbes says the $22m total is mostly generated by advertising, with the remainder coming from sponsored posts. Ryan, with typical eight-year-old modesty, describes himself as “entertaining and funny”. To the untrained eye, it looks like a kid playing with toys while Mommy and Daddy coo and gabble, but there are some serious business smarts to the venture; a good review from the kid, and a popular toy can sell out within hours. Retail giant Walmart knows a good thing when it sees one, and it now sells a range of Ryan's World toys and clothing. The resulting revenues from the deal should bump-up Ryan's earnings next year. Reports say 15 percent of Ryan's earnings are put into a bank account that he can access when he becomes a legal adult. In the meantime, here's another toy, Ryan. What do you 46 think…? Paul Polman Recently retired CEO of Unilever

World Economic Forum

10 PEOPLE

THE RECENTLY retired CEO of Unilever, Paul Polman, wanted to study medicine – but ended up with an MA in economics and an MBA in Finance and International Marketing. It has worked out well for him. After his studies came a 27-year career with multinational consumer goods corporation Proctor & Gamble, during which time Polman rose from his starting position as a cost analyst to group president for Europe. Polman also served as CFO for Nestle before being appointed CEO of Unilever. During his 10 years at the UK/Dutch consumer goods multinational, he introduced and championed the Unilever Sustainable Living Plan, which has three main goals: - To improve the health of more than a billion people by 2020 - To halve the environmental footprint of the business by 2030 - To enhance the livelihoods of millions of people by 2020 Polman said at a forum last year: “Business needs to be an active contributor to finding the solutions that have an impact on society. After all, if a business cannot show what positive impact it has, why should the citizens let this business be around?” The 62-year-old has been frequently honoured for his professionalism over the years, receiving such accolades as CEO Of The Year and European Business Leader Of The Year, as well as awards for conservation and responsible capitalism. Along Winter 2018-19 Issue • www.bv.world with these he has been granted an honorary doctorate and an honorary knighthood (although, being Dutch, he doesn't get the appellation “Sir”). Polman was named chair of the International Chamber of Commerce (ICC) in June 2018. On his appointment, he said he was looking forward helping businesses “to adapt Business Vision swiftly and responsibly to current and emerging global challenges”. He also pledged to drive the UN's Sustainable Development Goals. Polman is chair of B Team, an organisation founded in 2016 to promote a business model which is sustainable and not driven by profit alone. Other big names in the B Team venture include Richard Branson, Christiana Figueres, Arianna Huffington and Mary Robinson. 47 .WORLD New tech combines with old- school values in success story

PERU's Banco Ripley has been international foray with a store in spotting new developments in Peru, a process that continued – the digital world to boost the Peruvian with 34 stores at the end of 2016. group's strategy of introducing In 2008 Financiera Cordillera technological improvements in banking S.A. (Financor) became a financial operations to offer a bank, and by 2009 the General greater range of products and has solid Shareholders' Meeting modified services. the corporate name to Banco “We consider technology very foundations Ripley Perú SA. Banco Ripley important in the sector,” said has 20 agencies in Lima and 14 Ripley CEO René Emilio Jaime in the provinces, a total of 34 Farach. “We believe that, in the brothers Marcelo and Alberto nationwide. Banco Ripley in Chile future, technology will be at the Calderón in 1956, with the store has 92 branches, 46 standalone centre of all our bank operations, called Calderón Y Confecciones, banks and 46 located within to offer a greater number of a clothing and retail business for Ripley Stores, in addition to three communication channels to our men's clothing. mixed agencies. customers.” In 1964, the first Ripley The bank has a customer- The Peruvian banking industry store opened in the Centre of centric business approach, has solid foundations, and this has Santiago. Its brand was inspired based on the applied feedback been reflected in the sustained by a well-known North American of users, to drive improvement growth of Banco Ripley in recent brand dedicated to finding and of its processes and value offer, years, “which is why we are talking spreading fabulous elements of always with the goal of being a about a healthy economy to date”, the world. Towards 1976 the sale simple, local bank for the people. says Jaime. of products associated with a “Always having the customer as Despite the complex political semiautomatic credit was started the centre of our business,” says moment that took place during in each branch, which saw in Jaime, “from the area of digital 2017 and the first months of 2018, 1978 the rise of the company transformation, means the best Banco Ripley, an actor with a long- named Comercial ECCSA SA customer experience, with the term vision, focused on developing (Establecimientos Calderón focus on offering simple solutions the best business strategies, which Confecciones SA), which grouped through the digital environment, allowed it to act independently of all stores together; that remains to which is becoming easier than our the contingencies or moments of this day. Commercial activity was customers.” any economy. separated from production, which The bank works to a dominant Ripley Corp. is the holding still came under under Calderón and noble philosophy: “We company of several enterprises Confecciones. work to fulfill the dreams of the that group retail, financial and In 1993, Ripley opened its people.” Banco Ripley feels it real estate businesses, with a first store in a mall, initiating a outstrips its competitors with its significant presence in Chile new concept of service and brand pillars of simplicity, proximity, and Peru. It was created by the presence. In 1997, it began its and transparency.

The new logo of Banco Ripley Perú 48 Banco Ripley has a customer-centric business approach based on the applied feedback of users

A new Digital Transformation between the different work teams Area has been created, which and achieve good results, an area includes sub-areas such as Being a Banco Ripley is aware of. “Our digital marketing (aimed at flow of communication within performance), digital sales, digital Great Place the organisation is horizontal channels, alternative channels and close, allowing a direct and business intelligence; all with To Work relationship at all levels,” says the goal of digitalising the bank's Jaime. “We have communication processes, and generating new spaces specially implemented, business through digital media. means having aligned to our strategic actions. “The market grows and moves This allows team leaders to easily towards a more digital path,” says a unique and see business results, opportunities Jaime, “and banks must adapt for improvement and upcoming to face the new technological important challenges.” challenges of the market.” A GREAT TEAM RATING INCREASED space But it all comes down to staff In April of this year, having at Ripley. “I will always be grateful met all the deadlines required by to this great family,” says Jaime. the SBS and the Deposit Insurance a Great Place To Work means “We are a great team. The results Fund (FDS), Banco Ripley's having a unique and important obtained to date are thanks to rating was increased from B to space where the collaborator the passion and effort put into A- both for Class & Asociados SA, knows that he can develop himself, their work every day with the sole Winter 2018-19 Issue • www.bv.world as for Equilibrium Clasificadora with the support and confidence purpose of providing an excellent de Riesgo SA. Growth of the of a corporate model that looks service to our customers. Inter-annual portfolio 17/18 to after the business, the welfare of “Without a doubt, they inspire November was 2.29 percent. the people and the society itself. me and make me strive every Business Vision Being recognized for the third That is, with an organisational day to be a better person and consecutive year as one of the best culture aligned with the business professional. I am proud and companies to work for in Peru is strategy.” convinced that we will continue the reward for a constant effort Communication is to consolidate this growth path to to improve the workplace. “Being fundamental to generate synergy fulfil the dreams of the people.” 49 .WORLD Achieving a shared vision with a well-disciplined team

Q&A with Banco become the new consumers of Ripley CEO René financial products. Emilio Jaime Farach BV: What achievements are you most proud of in your time as BV: How do you evaluate CEO? What challenges have you Banco Ripley's performance in faced? banking? René Jaime: Having achieved René Jaime: Our bank is a team that works with discipline growing step-by-step at a steady and commitment. They are pace, maintaining the confidence responsible for the advances of of the investors and of our clients. the bank. I feel very proud to This has allowed us to improve be part of them. We have also the level of work environment achieved other achievements that satisfaction, maintaining our make us feel proud. Great Place to Work (GPTW) The renewal of the ranking in Peru. certification granted by the entity We have also improved the in charge of oversight of banking René Emilio Jaime Farach is recommendation index of our and insurance operations or SBS CEO of Banco Ripley in Peru clients, reaching our highest-ever (in Spanish) for an excellent level. We have achieved excellent answered within the first 30 days management of our Operational performance in risk management of its filing, we have achieved Risk is one. We're proud of and collections, and we finish this an average of eight days for the the beginning of the digital fiscal year with a portfolio growth, resolution/response. transformation process, that to due to the strong commercial For our collaborators, we have date has achieved almost 60,000 impulse of recent months. quarterly tests based on the GPTW downloads of our mobile app. In general, we have continued methodology, and a simple survey And we have been recognised by a to grow as an organisation, that allows our collaborators to British magazine of world prestige strengthening and enriching express themselves and helps as the Best Commercial Bank in our culture. All of this helps us us to learn what is best for our Peru to recognise that today we are working environment. These Likewise, we consider that a better bank than we were a surveys involve employees at innovation in social networks few years ago. Still, we remain all levels, allowing them to is a challenging task of great committed to move forward to be express themselves about their importance to which the bank the bank we want to be. reports, peers, collaborators and is committed. We visited the BV: How quickly and supervisors. Facebook and Google offices in easily do you respond to the BV: What changes have you San Francisco and Silicon Valley advice, suggestions or criticisms seen during your time as CEO? to continue acquiring knowledge from employees, clients or René Jaime: The young on innovation and digital trends. collaborators? millennials of today will be BV: What attributes and skills René Jaime: We have the most banked population do you bring to the table, as CEO, implemented a “Satisfaction in coming years. Banking and what attributes does the bank Survey” for all our clients, where through technological means is have as an entity? we communicate with them to a mandatory evolution, which in René Jaime: My greatest evaluate the service they have the next few years will enhance contribution is having achieved received. If the result is not financial inclusion. a shared vision of the future for satisfactory, we assign it to the It is important to highlight Banco Ripley with our team, agency's manager, and within that Peruvians still want to look having given them goals that 72 hours, the manager will you in the eye when they ask for challenge them and the freedom communicate with the client and a credit. But new entrants to the to demonstrate that they can provide a solution or respond world of financial consumption, overcome the challenges. to suggestions or criticism. such as young people, already They are the great heroes of 50 For claims that by law must be live digital experiences and will our success. Bernadetta Sarat / Shutterstock.com

The UN climate summit in Katowice was attended by both global investors and environmental activists Carbon cuts — or crash: investors' dire warning at Poland climate summit

UNLESS coal burning is phased resilience of our economy, society challenge had “met with a zombie- out and drastic cuts made to and the financial system to climate like response”. carbon emissions, the world faces risks.” The Global Investor Statement a financial crash that will dwarf Investors are incorporating calls for the phasing-out of coal- the 2008 crisis. climate change scenarios and fired power stations across the So say global investors – climate-risk management world. Poland, which relies heavily managing combined assets of strategies into their processes, on coal, and has huge reserves, $32tn — attending a UN climate and engaging with high-emitting is unlikely to heed that call. The summit being held in Katowice, companies. “We are concerned US Trump administration is Poland. that the implementation of the expected to promote “clean coal” Some of the world's biggest Paris Agreement is currently at the summit — and, as the talks pension funds, insurers and asset falling short of the agreed goal of are being held next to the Coal managers say it is time for fossil ‘holding the increase in the global History Museum in Katowice, that fuel subsidies to end. They have average temperature to well below message may be well received by called for the introduction of 2°C above preindustrial levels'… some. But “you don't create jobs harsher taxes on carbon. ECONOMIC IMPACTS for the 21st century by trying to A Global Investor Statement to “There is an ambition gap: whistle up jobs from the 19th governments on climate change the full implementation of century”, as Nicholas Stern, of the has been signed by 288 investors, current Nationally Determined London School of Economics, giving full support to the Paris Contributions (NDCs) would observed. Agreement and urging all lead to an unacceptably high BlackRock, the world's largest Winter 2018-19 Issue • www.bv.world governments to “implement the temperature increase that asset manager, with almost $5 actions that are needed to achieve would cause substantial negative trillion in assets, said that all the goals of the Agreement”. economic impacts.” investors need to factor climate “The global shift to clean Chris Newton, of IFM Investors change — and the costs of halting Business Vision energy is under way,” the — which manages $80bn and is it — into future risk assessments. statement reads, “but much more one of the groups to have signed Leaders at the summit will try needs to be done by governments the statement — was quoted to establish a set of guidelines to accelerate the low-carbon by The Guardian newspaper as to implement the Paris climate transition and to improve the saying the long-term nature of the agreement targets. 51 .WORLD It all flows together for Damon, White in win for water — and the World An actor/activist and a water crisis expert join forces to protect the most precious liquid of them all. HEATHER LEAH SMITH reports.

SOCIAL and environmental to combat the global water crisis, for water and sanitation for activism has long been a passion and merged their organisations to families across 12 countries. The of Matt Damon, and these days form Water.org. organisation seeks to remove the actor and humanitarian is It was founded on the financial barriers that prevent funnelling time and resources principle that water provides families from tapping into existing into his non-profit organisation, the key to breaking the cycle water infrastructure. Water.org. of poverty. Access to safe water After extensive research and “You cannot solve poverty reduces mortality rates, increases on-the-ground interviews with without solving water and opportunities for education, and locals, White reached a disturbing sanitation,” says Damon, who unlocks economic prosperity. realisation: the World's poorest co-founded the non-profit with Damon and White developed an families spend more than 20 entrepreneur and pre-eminent approach to the water crisis that percent of their income on water. water crisis expert Gary White. goes beyond charitable donations Millions of families are unable to Damon and White were to empower people with long- pay water vendors for a permanent running separate water term, sustainable solutions. supply. foundations in 2009 — H20 Africa Water.org has so far reached In an interview on The Daily Foundation and WaterPartners — more than 16 million people Show, Damon pointed out that when they decided to join forces and raised over $1.1 bn in loans in many countries the poorest

Hari Mahidhar / Shutterstock.com

Water.org has raised over $1.1 bn in loans for water and sanitation for families across 12 countries 52 Water.org MOST PRECIOUS RESOURCE Water availability is a major social and economic concern in the 21st Century. About a billion people around the world are forced by circumstances to routinely drink water not fit for human consumption. Poor water quality and bad sanitation are potentially fatal, and an estimated five million deaths each year are caused by polluted drinking water. The World Health Organisation believes that safe water could prevent 1.4 million annual child deaths. Water is not a finite resource; the problem lies in Matt Damon and Gary White joined forces to form Water.org the distribution of potable and irrigation water which is scarce, members of the population are approach,” said Damon, “not rather than the actual amount paying up to 15 times what the the classic paternalist kind of of it. In the developing world, middle class pays. The burden handout.” 90 percent of all wastewater is disproportionately falls on women The WaterCredit initiative pumped — untreated — into and girls, whose family duty is to has reached five million people local waterways. About a third “scavenge for water, day in and over the past decade, and has of the world's population, in day out”. exceeded its founders' hopes and some 50 countries, suffer from White added that women expectations. The loans boast a 97 medium-to-high water stress. spend up to 200 million hours percent repayment rate, despite Of those countries, 17 daily walking to collect water, the fact that more than half the extract more water than is and that children lose some 440 borrowers subsist on less than $2 recharged through natural million school days annually — a day. water cycles. Water shortages either from water-scavenging may be caused by climate responsibilities or water-related change, pollution, and illness. increased human demand. A “It holds families and water crisis is a situation where communities back from economic the available potable water is development and building a less than a region's demand. better life,” said White. “It is the Water stress, the difficulty of basic building block that people obtaining sources of fresh need to put in place if they're water, may result in further going to move forward.” depletion and deterioration of One way forward, according resources. to Damon and White, is through Water scarcity is being microfinancing. driven by increased freshwater Water.org provides affordable use and depletion of financing solutions through its freshwater resources. It can Winter 2018-19 Issue • www.bv.world WaterCredit initiative, which also have economic causes: connects lenders with the poor management of available people who most need them. water resources. Unlike traditional income- According to the UN Business Vision generating loans, White adapted Development Programme, microfinancing to the water crisis poor water management is one with income-enhancing loans — of the most common causes of which buy back someone's time. water scarcity. “Fundamentally it's a bottom-up 53 .WORLD Femtech finding a place in venture capitalists' hearts

Women comprise half the population, but account for less than five percent of CEOs running Fortune 500 companies. An indignant HEATHER LEAH SMITH reports.

IS THE future female? Perhaps — her to launch Clue, which now but the present isn't. Danish helps 10 million women in 190 Global annual averaged countries track their menstrual earning figures show that for every entrepreneur cycles, measure their fertility, and $100 a man earns, a woman earns manage their reproductive health. just $57. Women hold less than During the embryonic a quarter of senior management Ida Tin coined stage of the market, femtech roles worldwide, according entrepreneurs found investors and to women's rights non-profit the term venture capitalists unreceptive to organisation Catalyst. what was deemed a niche market. Research by market analyst “femtech” The struggle began to convince firm Frost and Sullivan shows the male-dominated boardrooms that working-age women spend health and wellbeing needs, and of Silicon Valley of the disruptive nearly 30 percent more per is credited with coining the term potential of period-tracking or capita on healthcare than their “femtech” in 2016 (although the pelvis-strengthening apps. male counterparts. Women are first start-ups appeared in 2013). A decade ago, the global the primary healthcare decision- Tin's eureka moment came femtech industry garnered a makers for many families, and key when she was trying to track her mere $23m in capital investment, influencers for society. fertility by manually taking her according to data from the Danish entrepreneur Ida Tin temperature and inputting the research firm PitchBook. Interest founded the start-up and app data into a spreadsheet. The remained lacklustre for a few Clue to address women's unmet cumbersome process inspired years but by 2013, investors began

helloclue.com Clue now helps 10 million women in 190 countries track their menstrual cycles 54 Haven’t got a Clue? The app is widely available and has met with enthusiasm. to recognise the potential – and patches to subscription services venture capital in the industry for feminine hygiene products ALL ABOUT IDA cracked $100m. and apps that remind users to The figure has continued to take their contraceptive pills. But rise, and investments for 2018 the term also covers “low-tech” are expected to top $400m (by innovations such as reusable October, they stood at $392m). menstrual cups, period-proof Catalyst estimates that women knickers, and organic hygiene control about $40tn of global products. consumer spending — and “I believe venture capitalists will entrepreneurs and investors have list femtech as one of their areas of BEFORE she founded Clue, Ida begun to take notice. interest,” she says. “Femtech will Tin was running a motorcycle CULTURAL REVOLUTION not be a term referring to ‘women tour company in Denmark. The result is “a technological in technology' but rather as an She was born and raised in revolution, alongside a cultural expanding category of technology Copenhagen, but travelled far revolution, allowing what was that serves the vast opportunities and wide on two wheels, visiting once taboo to emerge, liberated”, that exist.” Vietnam, the US, Cuba, Chile, according to Tin. The burgeoning market is and even Mongolia. She wrote She estimates that in 2016, expected to become a boom, a book about her experiences the market for feminine hygiene with the potential to reach $50bn called Direktøs which became products was worth around annually by 2025. a bestseller in her homeland. $30bn. Add to that an $18bn Women's reproductive health In 2013, Tin co-founded contraceptive market, a $14bn has been held hostage by the the Clue app with Hans fertility market, and a $4bn patriarchy for centuries, with Raffauf, Moritz von Buttlar, menopause market. male-majority legislatures passing and Mike LaVigne in Berlin. “All of those markets will be all laws governing the female The number of users quickly Winter 2018-19 Issue • www.bv.world altered and shaken by digital,” body. rose to include people from says Tin. “They will be linked and More countries and companies 190 countries. Tin worked with integrated through data with new are now striving to ensure women Apple to help the computer services delivered through APIs have equality in opportunity, company develop its own Business Vision from Apple HealthKit, Google Fit, wages, and healthcare. period-tracking software. Clue, and others.” The femtech revolution is She was named Female The term femtech has come helping to even the playing field Web Entrepreneur Of The to encompass everything from with technological solutions to Year at the Slush Conference. smart jewellery and temperature age-old problems. 55 .WORLD Outrageous predictions for 2019: a prod to think ‘outside the box', or just a bit of fun?

WILL this be the year when official market forecasts for 2019 of crisis. On the negative side, we Germany enters recession, Apple — but do represent a warning of could see considerable worsening “secures funding” for Tesla, a potential misallocation of risk of central bank independence, a Trump tells Powell “you're among investors who typically see credit crunch, and big losses in just a one percent likelihood to the asset where everyone is too these events materialising. long: real estate.” Chief Saxo economist Steen Jakobsen said the predictions had been made for more than a The Outrageous Predictions decade, and said it was more than for 2019 are: an out-of-season April Fool joke. Its aim, he said, was to encourage 1. EU announces a debt jubilee investors to think outside the box. 2. Apple “secures funding” for “This year's edition has a Tesla at $520/share fired” and Labour sweeps to a unifying theme of ‘enough is 3. Trump tells Powell “you're resounding victory and names enough',” he said. “A world fired” Jeremy Corbyn as prime minister running on empty will have 4. “Prime Minister” Jeremy — sending GBP/USD to parity? Corbyn sends GBP/USD to Saxo Bank, the Fintech parity specialist focused on multi-asset 5. Corporate credit crunch trading and investment, released pushes Netflix into GE's vortex its 10 Outrageous Predictions for 6. Australian central bank 2019 late last year. The predictions launches QE on housing bust focus on a series of unlikely events Down Under which — were they to occur — 7. Germany enters recession could send shockwaves across to wake up and start creating 8. X-Class solar flare creates financial markets. reforms, not because it wants to, chaos and inflicts damage Saxo is quick to point out but because it has to. worth $2tn that these tongue-in-cheek “If some of these outrageous 9. Global Transportation Tax predictions do not constitute its predictions see the light of day, (GTT) enacted as climate we might finally see a healthy panic spreads shift toward a less leveraged 10. IMF and World Bank society, with less focus on short- announce intent to stop term gains and growth, and a new measuring GDP, focus instead focus on productivity and new on productivity economic revolution back toward globalisation with a fairer playing field after the immediate moment

56 PR08577 KTX_Limassol_210x281 hi.pdf 1 04/10/16 12:59 .WORLD Time to re-invent how we manage risk — or die at the hand of disruption

NABIL ABU EL ATA has worked with global leaders to advance the science of risk management. He explains to BV readers how the latest technologies can be applied.

FROM artificial intelligence and limits of statistical models and robotics to nanotechnology and human experience will probably quantum computing, our world die out as more nimble start-ups is changing at an unprecedented Forward- redefine and win-over customers. pace and the associated business Since the introduction of risks are growing exponentially. looking risk risk-management, companies To thrive in the era of have worked hard to assess the disruptive innovation, businesses intelligence probability of a specific risk event need to create a wider domain of occurring, measure the resulting forward-looking risk intelligence. impact and plan accordingly to But traditional risk management manage that risk. Many popular practices are stuck in the past. and business models, nor will analytic methods promise users Tracking known patterns of they help businesses defend that the more data they have, risk will always be important, against competitive risks. As the the better conclusions they but these insights won't help speed of innovation continues will be able to draw. But the companies analyse the impacts to accelerate, businesses that are dynamic complexity and hyper of adopting new technologies unable to expand beyond the connectivity of modern systems

Companies have worked hard to assess the probability of a specific risk event occurring 58 Change is often a difficult choice when it introduces a degree of risk that cannot be quantified make it challenging to accurately With millions of internal support poor decisions. predict what will happen when and external dependencies Consider, for example, that new technologies or disruptive involved, intuition, experience in December 2007, the Fed's business models are introduced or even the most sophisticated main economic model saw a less- into existing ecosystems. statistical model can't even begin than five percent chance that the Compounding the problem is to anticipate when and how unemployment rate would be the fact that many corporations disruptive innovations, such as above six percent in two years. The are already fighting risks caused rate actually hit 10 percent. This by the obsolescence of cost was an event that the model would structures, outdated business have said was close to impossible platforms and practices, market Radically — meaning it was not considered evolution and pricing pressures as a plausible risk by policymakers. that demand some form of action. reshaping In turn many businesses were However, change is often a caught off-guard by the severity of difficult choice when it introduces the recession. a degree of risk that cannot be entire These errors suggest quantified. fundamental flaws in the way When the answers can't be industries forecasting models are built and found in historical data, risk can force businesses to adopt reactive only be managed by identifying management practices that any and all possible points of Bitcoin, robots or the Internet further accelerate risk and create failure across business ecosystems of Things, or external forces may unpredictable environments. As Winter 2018-19 Issue • www.bv.world — from the highest level down to radically reshape entire industries. the rate of change intensifies, the nuts and bolts of the system. In an age of hyper connectivity businesses will struggle to survive And here lies the problem. A and hyper risk, humans are forced if they cannot define and make global business is an amalgamation to make generalisations that ignore the right moves at the right time to Business Vision of millions of dynamic parts factors which may have profound achieve better economy, control and interdependencies, but the impacts. Statistical models make risk and support critical renewal. human brain is not wired to handle the same generalisations to arrive New mathematical emulation more than eight dependencies at at a predicted outcome, which and analytics technologies that one time. may vary greatly from reality and are capable of covering entire 59 .WORLD

Computers, and then robots, are likely to gain a seat in the boardroom as trusted risk advisors

ecosystems as wide and deeply models can be updated and simulation of the intelligence that as they spread can help business monitored for any changes that already exists? If we can set aside leaders realistically quantify the indicate a new risk is forming, our fear of robots taking over financial and operational impact or that the business may be the world, isn't our goal really of any changes that may occur — nearing a scenario which may to surpass the cognitive limits of including changes outside their cause a disruption. In this case, our species through the creation control, such as a sharp increase pre-approved risk management of the intelligence necessary to in unemployment, a trade war, or strategies can be enacted to achieve a better, more stable the introduction of revolutionary minimise any disruption — or at future and lifestyle, free from the technology. the very minimum, improve the current economic, environmental Cognitive algorithmic time to recovery. and geopolitical flaws? technologies used in physics and Cognitive and algorithmic chemistry are perfectly suited for decision making will provide the business applications, because rational and unbiased mechanisms they can reliably model the The Fourth to advance multi-stakeholder dynamic complexity of systems systems thinking in ways that influenced by internal and Industrial harness the opportunities of the external dependencies. Using Fourth Industrial Revolution. If these innovations, business Revolution we want to build a better world, leaders can learn what will break we must expand our domain of a system to achieve a wider and intelligence to cover the knowns more profound objective that Whether we want to and unknowns — and we must releases intelligence from the acknowledge it or not, the demand accountability from any confines of historical patterns. dynamics of our hyperconnected business, government, regulatory As these technologies world amplify the risks. Cycles of body or other organisation that progress, computers and then volatility will begin to accelerate does not take that path. robots are likely to gain a seat unless we advance the way we in the boardroom as trusted identify and treat risk. To survive Doctor Nabil Abu el Ata risk advisors, because — unlike and prosper, businesses will need is the author of Solving humans — they can exhaustively to reinvent how they approach The Dynamic Complexity explore any number of risks risk-management. Dilemma, The Tyranny Of and potential solutions without As computational power Uncertainty and Leading considering perceived probability. increases and technologies From Under The Sword Of Since businesses are dynamic, advance at exponential rates, why Damocles. 60 computerised mathematical should we limit ourselves to a All engine, no wheels: self- help tome struggles to convey central concepts with clarity

By NIGEL BOOTH in the opening pages. More CAROLE Gillespie's Flying Start, space could have been given to How To Make Your Own Luck At the importance of branding to Work, is a self-help book aimed at set the foundation for those four people entering the workforce. pillars, for a start. Taking the People who have ambition – and time and space to illustrate the difficulty in forming relationships. fundamental concepts that relate It begins with the basics: to the core values and beliefs creating a network of contacts that drive behaviour would have (it's who you know, not what you further supported the contention know, remember) and develops that it is the scale and quality of a its theme with a concept called network that influences personal The Relationship Code. The success. code is broken down into easily Gillespie's own story is a digested components. compelling one. She positions The main premise is that herself as coming from a relationships are built on four disadvantaged, but parentally pillars: the scale, and confidence and supportive, background. She • knowing and being known articulacy at the other. She writes uses her upbringing as grist, • trusting and being trusted for those struggling to build suggesting her circumstances • understanding and being relationships, with examples of were the blueprint for potential understood real-life situations. Gillespie gives failure, rather than the driver • valuing and being valued answers to specific questions that of ambition and desire for After exploring each of these have been raised by people she betterment. She could have made steps (in a rather limited way), has encountered in the course more of her personal story to Gillespie builds on them by of her work. These conversations communicate the essence of how describing six behaviour patterns are used to illustrate and support she has achieved success in her that she sees as fundamental. her assertions, and while useful chosen fields of writing, speaking, Being fair and consistent, for in positioning a concept, their and coaching business people in instance, and being honest effectiveness isn't demonstrated relationship development. and constructive. By effectively with examples to illustrate the Flying Start is a book of mastering the six behaviours, outcomes. Nor is there practical principles, and I have no Flying Start asserts, readers may guidance on how to reinforce and argument with the basic ideas. begin building those influential cement relationships. They just stand in isolation, rather networks. I found the book a little than forming a coherent whole. The behaviours Gillespie confusing, mixing concepts We have an engine, just not the focuses on are those that most and content sometimes hard to vehicle. As a practical guide, it people would recognise as knit together until I reached an lacks a framework for regular or essential to a strong interpersonal illustration – more than halfway daily activity. As a primer it may relationship; in this instance, the through the book – which neatly serve to set a reader on the path Winter 2018-19 Issue • www.bv.world traits are adapted to meet the encapsulates the idea. Overall, the to greater learning; as a complete needs of career development in a book lacks visual aspects to link work, it lacks depth and clarity. business environment. concepts to concrete examples * Flying Start: How To Make The book makes no attempt or inspire readers with some Your Own Luck At Work by Carole Business Vision to address the fundamental clarification of Gillespie's ideas. Gillespie is published by Clink personal-image issues that drive In the latter half of the book, Street. RRP £8.99 paperback, the way individuals interact the theme shifts back to branding, £3.99 e-book). It is available with others, such as shyness or a which had been given an almost online and can be ordered from lack of self-esteem at one end of dismissive, one-page introduction bookstores. 61 .WORLD Pondering the future of the boot-shaped country in 2019

Has the dolce vita turned sour for Italy? BV’s JASON AGNEW takes a look at populism and its implications.

AFTER the rise of populism that Northern League ( Lega Nord) has manifested itself in Brexit, and the post-fascist National Donald Trump and now Italy, it ‘Milanese Alliance (Alleanza Nazionale). might be timely to remember that Berlusconi managed to this is not a new, or even recent, magnate convince many Italians, both in the phenomenon. wealthy north and impoverished Play back to the boot-shaped Berlusconi south, that he could solve their country in the early 90s, when problems. His Freedom Alliance the old post-war order broke up. wasn’t done’ coalition won a landslide victory Operation Clean Hands led to on 28 March, 1994 — but only the four main political parties: managed to stay in power for nine Christian Democrats, Socialists, involved promising to run the months, falling when Umberto Liberal, and Social Democrats country like a company, and used Bossi's Northern League broke — all disintegrating and vacating his extensive media interests to the pact. the national scene, leaving the promote himself and showcase his The Milanese magnate was not path open for media mogul rise to the top. finished, however, and returned and football club owner Silvio His Pole Of Freedom & Pole Of in 2001 to form a government. Berlusconi. Good Government party formed He was in power for seven of the His brand of populism alliances with the separatist next 10 years, duly becoming the Davide Calabresi / Shutterstock.com

Five Star Movement, founded by Beppe Grillo, promised a universal basic income of €780 a month 62 LTRG / Shutterstock.com

Silvio Berlusconi was the longest-serving prime minister of Italy before his past caught up with him longest-serving prime minister of Bank, described the country´s five The partnership is one of unlikely the Italian Republic (3,340 days) southern regions as “the largest bedfellows in that Five Star did before his past caught up with him and most populous backward best in the south — with promises and he was barred from holding territory in the Eurozone” with of a universal basic income of public office. half the growth of Greece since €780 a month and a clampdown When Berlusconi wasn´t 2010. on immigration — whereas in power, Italy was governed the Northern League rose to by either weak centre-left prominence by advocating a administrations or technocrats The Northern regional breakaway from the rest until March 2018. In that month, of Italy, as they were fed up with the anti-establishment Five Star subsidising the south. (Cinque Stelle) movement took League called Where they do agree is on a third of the votes and managed immigration, rejecting the EU´s to cobble together a coalition with for break from budget constraints and scrapping the xenophobic League. compulsory vaccinations in Traditional parties were swept the rest of Italy schools. aside, the Democratic Party falling On October 23, 2018, the below 20 percent for the first time European Commission took the in its history. Youth unemployment was unprecedented step of requesting Even Berlusconi, the master peaking at over 50 percent in the Italian government to revise populist, was a victim with his some southern areas. There are its draft budget — something party, Forza Italia, which roughly people in their 30s who have never no member state had ever been Winter 2018-19 Issue • www.bv.world translates as “Come on, Italy”, had the opportunity to build a asked to do — giving it a deadline polling a paltry 14 percent, his career, “the lost generation”. All of November 13. worst-ever electoral result. of this makes fertile ground for The Italians ignored that Italy, the birthplace of fascism, politicians who promise yet more deadline, insisting that the Business Vision is a country with huge structural quick fixes. country had to maintain its deficit problems and enormous The new coalition pairs two target of 2.4 percent (rather than inequality between the north parties who are no fans of the the present 1.8 percent). It argued and south. Mario Draghi , Italian euro, and claim that Italy would that plans to sell off state-owned president of the European Central be better off reverting to the lira. property and other safeguard 63 Guillaume Louyot Onickz Artworks / Shutterstock.com

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France’s ‘Gilets Jaunes’: an example of the populace rejecting the status quo

clauses, plus the fact that Italians year when he closed all Italian family members, UKIP´s attack on are sick of austerity, should mean ports to ships carrying migrants or the European gravy train and the that the EU waive its rules in this refugees. Brexiteers' insistence on taking case. The third foe is that of back sovereignty. However, on December 12, corruption, which has reared its Catalonia´s independence Italian premier Giuseppe Conte movement, blaming Madrid for announced that the budget bleeding it dry, and the French had been revised downwards to The financial “yellow jackets” who have been 2.04% of GDP, having identified aiming to bring down president additional financial resources (he Emmanuel Macron, are examples did not specify what they were). crisis and of the populace rejecting the Maurizio Molinari, director of status quo. the daily newspaper La Stampa, the ensuing It is undeniable that the attributes the rise of populism to financial crisis and the ensuing three factors. austerity has austerity have fuelled anger. First is globalisation, which has Many working people have caused an increase in economic fuelled anger seen their wages frozen and inequality as businesses and jobs many young people cannot find have moved abroad and the employment — or are on zero- country as been flooded with ugly head again. People suffering hour contracts with few prospects cheap imports. large drops in their income saw for a better future. Second is the massive increase the elite carrying on as before. With so many sectors of society in immigration, as refugees and And it irked them. feeling disenfranchised, how migrants make the perilous The Guardian newspaper the future turns out is anybody´s journey across the Mediterranean says that “populists tend to frame guess. Whatever happens, it is in search of a better life. politics as a battle between the unlikely that Europe — or many The Italian Minister of the virtuous ordinary masses and a other places for that matter — Interior, Matteo Salvini — nefarious or corrupt elite”. will manage to emerge from this effectively the most powerful This can be seen in Trump´s situation as societies which would person in the coalition — caused “draining the swamp” rhetoric be recognisable to those of the 64 international outcry earlier this while giving jobs to unelected post-war consensus. Evelyn Berezin

10 PEOPLE THE CREATOR of the World's first word processor, Evelyn Berezin, has died aged 93. Berezin's “Data Secretary” device was launched in 1971 by the company she founded, Redactron. She was one of BusinessWeek magazine's Top Leaders by the time she sold the company in 1976. Berezin reportedly set out to develop an electronic cash register, but the project morphed into something grander; and ultimately led to the embryonic word processor. It may seem a bit tame in the days of 5-G and AI, but in the 1960s office workers had no access to anything more sophisticated than Dictaphones and typewriters – even the most advanced of which had only limited “playback” facilities. IBM's word processor used relay switches, not computer chips, and was aimed at manufacturers of military equipment. “We were committed to building a computer to run our system,” Berezin told the BBC in an interview, “and we knew that we had to use integrated circuits because it was the only way we could make it small enough, and cheap enough, and reliable enough, to sell.” Her machine – with keyboard, cassette drive, electronic controls, a printer and (later) a screen – allowed editing of what had been typed. Compared with correction fluid or yet another sheet of paper after a finger-tangle right at the end of a document, these were major advances for secretaries and other office workers under pressure. Berezin had problems with the supply of processors and Redactron had to design Winter 2018-19 Issue • www.bv.world in-house some of the chips required. There were teething troubles for Berezin's baby; it suffered from static electricity build-up in dry weather, which caused the sort of “Oh dear” glitch moments that would soon call for Control-Alt-Delete. Berezin's team once solved the problem by soaking office carpets with a bucket of water to raise humidity Business Vision levels. The first production machine was delivered in September 1971, but sales were slow: less than 800 in a year. Rental, in cash-strapped times, was a more popular option. Redactron was bought-out by business equipment-maker Burroughs Corporation in 1976. It was an unhappy union, and Berezin left the company in 1980. She died in December. 65 .WORLD Cryptocurrencies prices stagger — but it's still a buyers' market in 2019

VOLATILITY is back in the currencies are the future of money confidence and prices in the cryptocurrency market. and they will be capitalising on burgeoning market.” After a relatively long period the lower prices to build their The third factor is the of growth and/or calm, Bitcoin, portfolios and shore-up their infamous herd mentality of some the largest digital currency by positions.” investors. Put simply, some of market cap, has seen price falls There are three main drivers the cryptocurrencies are lower… of up to $1,400 in recent weeks, for the current bout of volatility, because they went lower. going below the $5,000 threshold Green says. “Prices might fall further, for the first time since October, UNCERTAINTY but we can expect a long-term 2017. The bearish sentiment is “First is the uncertainty upward trajectory for the crypto shadowed by a broader decline surrounding the Bitcoin Cash sector,” Green predicted. “Crypto- in overall cryptocurrency market ‘hard fork'.” A new version cynics are using this current capitalisation. of Bitcoin Cash was recently wave of volatility to knock digital But some investors will see the launched; Bitcoin Cash is now currencies. Whether it's Bitcoin slide as a buying opportunity, says known as Bitcoin ABC, and the or any of the current generation the CEO of one of the world's new fork is called Bitcoin SV. of coins, cryptocurrencies are largest independent financial These forks generate turbulence here to stay. advisory organisations. because investors have to choose “Financial traditionalists Nigel Green, the deVere a version. view cryptocurrencies the way Group's founder and CEO, says Second, Green says, is the traditional stores used to view that it isn't that long since crypto recent scrutiny of the SEC, the US online retailers. But they are traders were airing concerns financial regulator. “Regulation failing to see that cryptocurrencies about the lack of volatility in the of the digital currencies is now, have already changed forever the market. I believe, inevitable,” he says, way the world handles money, “Now volatility is back. Savvy “and will, in the longer term, give makes transactions, does business, investors understand that digital investors more protection, driving and manages assets.”

Cryptocurrencies have forever changed the way the world handles money 66 EVIDENCE HIGHLY INFORMED TRADERS ARE DRIVING CRYPTOCURRENCY PRICES

NEW research shows that “information asymmetry” between traders and investors is driving huge price swings in cryptocurrencies. Daniele Bianchi and Alexander Dickerson, of Warwick Business School, used intraday prices and volume data to investigate whether trading activity in cryptocurrency markets predominantly consists of investors speculating on information asymmetry, where one party has more, or better, information than the other. The researchers found that intraday, and daily, interaction between past volume and returns can predict future returns. This is consistent with existing theoretical models, which postulate that informed traders who speculate on their private information are key drivers of price changes. The research also has practical implications for cryptocurrency trading as a conditional reversal strategy. This is based on past returns and volume, and generated a risk-adjusted annual return (net of transaction costs) of 342 percent and a Sharpe ratio (a measure of the return of an investment compared to risk) of 2.4 – with almost zero correlation with Bitcoin-dollar returns. It outperformed conventional portfolio strategies such as momentum, even when transaction costs were included. CRYPTOCURRENCY IS A FRAGMENTED SYSTEM Bianchi said the cryptocurrency market was “the perfect environment to exploit asymmetric information”. “Its opaque nature and the fragmented system – where it mixes web-based brokers and peer-to-peer exchanges with regular major exchanges, which the small exchanges rely on for liquidity – means those who have the information can time the market, make money and drive the prices.” To test this theory, the researchers constructed a reversal trading strategy based on volume and past returns and found that it does not correlate with volatility, aggregate market returns, or strategies built on past performances, “so it is really volume that has the relevant information”. A similar market structure can be found in Foreign Exchange (FX) markets. However, with previous research showing that the dynamics of cryptocurrency returns and volume is neither bound by economic fundamentals, nor correlated with traditional asset classes – FX included – the findings show a need for caution: trading activity in cryptocurrency markets isn't like other asset classes. The authors tracked 26 cryptocurrencies over 150 exchanges from January 1, 2017, to May 10, 2018, when the cryptocurrency market experienced a huge boom during December 2017 and January 2018, a major collapse from February 2018 to April 2018, and then traded sideways. These major currencies cover more than 90 percent of the trading volume of coins using Bitcoin as the base currency. Bianchi believes the research also shows how Bitcoin-centric the Winter 2018-19 Issue • www.bv.world cryptocurrency market is, just as the US dollar dominates the FX market. “Unlike more mature, centralised markets – such as equity – trading in cryptocurrency is inherently generated by an opaque information flow. Cryptocurrency markets are made by a highly fragmented, multi-platform Business Vision structure which is populated by vastly different operators. “This means the interaction between trading volume and price changes can actually help shed some light on investors' trading motives, especially as there are no closing times in cryptocurrency markets.” 67 .WORLD Cooking up a storm takes on a new meaning for Spanish disaster-relief chef Andres

By HEATHER LEAH SMITH and creative solutions to bear COMBINING his skills as a chef on some of the big challenges and entrepreneur, Jose Andres is Feeding surrounding food, particularly on a mission to cook for the many, concerning hunger and poverty instead of the privileged few. displaced in emergency situations. The Spanish native was at a Andres has a history of working high-profile cooking event in people after with humanitarian causes, the Caribbean in 2010 when the including his early years with the earthquake hit Haiti, devastating earthquake Spanish navy where trips along the the island and killing 200,000 Ivory Coast impressed upon him people. The disaster provided the impact of extreme poverty the final impetus for Andres circumstances on the ground. Just and lack of food. His work with to establish the non-profit weeks after the disaster, Andres the navy eventually led Andres organisation, World Central had forged a partnership with to the US, where he decided Kitchen (WCK). a Spanish company to bring in to build his future, becoming a Looking at the problems in solar-powered stoves. Solutions naturalised US citizen. During his Haiti through an entrepreneur's like this helped to support the early years in the US, Andres met eyes, Andres realised that there camps of displaced people that Robert Egger, founder of the non- was often a disconnect between had formed around the island. profit organisation DC Central the solutions provided in a Andres created World Central Kitchen, and spent much of his disaster situation and the actual Kitchen to bring innovative ideas early career volunteering with

arindambanerjee / Shutterstock.com Haiti earthquake 2010: camps of displaced people formed around the island 68 Jose Andres speaking at the Feeding The Planet Summit in Washington in 2013

Egger — and learning from his funding, we don't rely on feels fortunate to have built such vision to solve some of the world's contracts or other things to be an incredible support network. problems through square meals. able to operate,” says Nate Mook, “We're very grateful and reliant on Humanitarian leanings had been WCK executive director, who our many private donors, and it's brewing throughout his career, and the Haiti earthquake sparked Andres to take on a more direct role. Andres now sits as the WCK chairman and founder, although he doesn't collect a paycheque. This is a labour of love for the charismatic chef, whose official business is his expansive network of culinary experiences in the US and beyond, ranging from food trucks to fine dining — and including a Michelin-starred minibar, a two-star Michelin restaurant, and four Bib Gourmands restaurants. The knowledge and expertise developed through his career has guided WCK's operational ethos, and the non-profit has received Winter 2018-19 Issue • www.bv.world widespread support from Andres' network of colleagues and fans. The organisation is funded almost entirely from private Business Vision donations, some from foundations or generous investors, but the bulk comes from its network of Tiia Monto / Wikimedia Commons grassroots support. Solar-powered stove like this one are a godsend “We don't rely on government 69 not just a handful of big funders. scale. That's the analogy that Jose There are lots of ways to get We have an incredible grassroots sees, that in times of crisis we can involved with World Central .WORLD support system, people donating activate and bring an incredible Kitchen, and you don't have to be $25 or $50, and that really goes a group of people together.” a Michelin-star chef to participate. long way to enabling us to do this “We welcome all skill sets, work and just enabled us to focus all ages, anybody that can make on the needs of the people that a sandwich or peel potatoes we're serving.” Nominated for is welcome to be part of the Since its launch, World kitchen,” says Mook. Central Kitchen has been feeding the 2019 Nobel “If we're in a disaster relief the hungry masses, but 2017 was scenario, we'll often set up a a record year. In the aftermath Peace Prize Facebook page for that specific of hurricane Maria, WCK served location and then invite people to over 3.6 million meals in Puerto join. Rico. World Central Kitchen took its “The best thing to do is just The success of the volunteer Food First Responders playbook reach out and contact us.” efforts led Andres to create a and scores of volunteers on the In addition to WCK's model for what he calls, Food First road in 2018, preparing fresh, emergency services — which Responders, which is designed to healthy, and nutritious food at prepared and served more than 4.5 reinvent the way people connect a massive scale in emergency million meals in the aftermath of and contribute in the aftermath of situations stateside, from forest natural disasters of 2018 — it also disasters. fires in California to hurricanes invests in long-term sustainable “If you have a medical in Florida and North Carolina solutions that empower emergency, who do you tend — and serving abroad in Brazil, impoverished communities to be to send in? Of course you send Cambodia, Cuba, Dominican part of the solution, with a focus doctors, that's a no-brainer,” Republic, Haiti, Nicaragua, and on health, education, jobs, and Mook reflects. Zambia. social enterprise. “And yet when it comes to “We work with an amazing These efforts to ease the world's food emergencies right now, group of volunteers from all suffering have brought Andres we're not sending in the people over, including local volunteers recognition. He was named 2018 who are the best in that, and that's everywhere that we operate and Humanitarian Of The Year by chefs: people in the industry, respond to,” says Mook. “Every the James Beard Foundation and people who know how to cook, place we go we continue to build has been nominated for the 2019 how to serve, and how to do it at and grow the team.” Nobel Peace Prize.

Hurricane Maria reaching Puerto Rico in 2017. In the aftermath, WCK served over 3.6 million meals. 70 Mike Cannon- Brookes

Atlassian

10 PEOPLE

TECH billionaire Mike Cannon-Brookes and his wife, Annie, lashed out and bought Australia's most expensive home, Lady Fairfax's Point Piper mansion Fairwater. Cannon-Brookes, the co-founder of software company Atlassian, is said to have paid $100m for the Sydney harbour estate, owned for more than a century by the Fairfax family. Atlassian was founded by Cannon-Brookes and Scott Farquhar in Australia in 2002, and was worth almost $30bn late last year. Cannon- Brookes and Farquhar are both graduates of the University of New South Wales. Cannon-Brookes said in a statement that he and his wife were “delighted with the purchase of Fairwater for our young family”. The couple have four children. Fairwater is the largest privately held property on the famous harbour, and has heritage status as a home of rare historic, aesthetic and scientific significance. It was built in 1882, and was the residence of the Fairfax publishing family since 1900. James Oswald Fairfax, grandson of the founder of the Sydney Morning Herald, John Winter 2018-19 Issue • www.bv.world Fairfax, was the first owner. Mary Fairfax lived there until her death in 2017. During her residence, many highly valuable artworks were installed, including paintings by Degas and a bronze sculpture by Rodin. There had been an expectation Business Vision that the property would be left to the state of New South Wales, but despite the price it was quickly sold. Cannon-Brookes is among the 10 richest Australians. Or was. That Top Ten standing may have taken a knock after the $100m for the house, plus estate agents' fees, moving costs and what-have-you… 71 .WORLD High street hopes trump high ambitions for UK's hyper-local SME community

UK BUSINESSES are “hyper-local” and the lack of international Europe, compared with 21 with few international aspirations, ambition was “worrying”. percent from North America a recent survey revealed. Please see the panel opposite and South America, 23 percent As Brexit draws closer, more for the main findings of the Going each from the Middle East and than half of those canvassed For Growth report. Asia Pacific, and 22 percent from believe their local market is the A surprising 47 percent of Australasia. most important for future growth, those surveyed see Brexit as a The difficulty of resourcing and over a third have no interest business opportunity, with 45 international expansion holds in international trade. percent saying their growth plans back 28 percent of businesses, The report by financial adviser have been positively affected by with a further 27 percent saying Kreston Reeves – Going For Brexit. lack of experience is the main Growth: UK Company Growth Just 24 percent perceive Brexit barrier. Strategies To 2021 – found that as an obstacle, and only 24 percent “The advice and support 18 percent of businesses generate think it has negatively affected businesses need to support 75-100 percent of their revenue growth plans. international expansion is locally. “It is surprising that so few quite straightforward,” said The survey was conducted over businesses scenario-plan and Griggs. “They want help in the summer of 2018 and surveyed prepare for future uncertainties,” identifying customers, partnering 530 privately owned businesses said Griggs, who believes the opportunities to spread risks and from across the UK, 80 percent greatest concern highlighted by better government support and of them with a turnover of below the report is the reliance on UK incentives. £25m. customers. “Accountants and other Kreston Reeves spokesman A quarter of businesses advisers need to play a greater Andrew Griggs said that the future surveyed generate up to 25 role in advising businesses on of business was increasingly global, percent of their revenues from international growth.”

More than half of those canvassed believe their local market is the most important for future growth 72 A third of businesses surveyed expect to see growth come from investment in new technology

GOING FOR GROWTH REPORT FINDINGS

More findings from the survey by Kreston Reeves:

• 60 percent of businesses have grown by more than 25 percent over past three years

• 58 percent of businesses remain positive that they will grow by more than 25 percent over next three years

• 34 percent expect to see growth come from investment in new technology

• 31 percent of businesses will finance growth through retained profit

• 21 percent believe business uncertainty to be the biggest barrier to growth

• 35 percent of businesses fail to prepare for eventualities Winter 2018-19 Issue • www.bv.world

• 35 percent of businesses have no international aspirations at all Business Vision • 28 percent say they are unable to resource international expansion

• 32 percent say they would like help in finding international customers

73 .WORLD Blockchain and biomass scheme brings a new opportunity to lessen energy industry's global footprint

THE ENERGY industry gets a everything he can to manifest that and Energy with the goal of bad rap for its excessive carbon vision in his lifetime. building a fully renewable micro- footprint, but with more countries Uhlig founded Entrade in grid capable of powering a small and companies looking to clean 2006, with the aim of converting village. Back then, the technology up their act, the balance is set to common waste into clean energy. hadn't yet caught up to Uhlig's tip towards a more sustainable “We believe that waste is one of vision. Power plants were large future. the major challenges of the 21st facilities then, expensive to run Ever-growing landfills and Century,” he says, “and it needs and difficult to manage. But greenhouse gas emissions innovative technology to convert thanks to years of research and threaten our future, but recent that waste into clean electricity, development — and over $100m technological advancements heating, and cooling right on- in fundraising thus far — all of have sparked a revolution in the site.” this has now changed. energy industry — and enabled And that's exactly what the Entrade's modular power savvy entrepreneurs to convert company delivers: high-tech, plants are housed in compact self- some of those challenges into mini-modular, off-grid power enclosed containers (up to four opportunities. generators fuelled by biomass units per container), which can Julien Uhlig, CEO of the green made from organic and inorganic be shipped worldwide using air tech start-up Entrade, has a vision waste. freight and installed in as little as of a world completely powered Ten years ago in Ethiopia, two hours. The durable containers by renewable, sustainable, zero- Uhlig was working with the protect the low-maintenance waste energy — and he's doing German Ministry of Economics machines from the elements and

A more conventional biomass power plant: Entrade has taken things to a smaller scale 74 Entrade’s power plants run on a diet of pellets made from processed waste, such as wood chips breakdowns. Each unit generates partnership with Schneider with renewable energy projects of 25 to 50 kWel, and can be scaled- Electric delivered software and high global impact. The platform up with additional Entrade units hardware innovations to enable links the management of the or other renewable energy sources full automation of the Entrade investment to the monitoring to create decentralised micro- system and its clusters on site. of the energy units created, grids of sustainable power. “The Internet of Things is the managed, and sold in real-time. Entrade's small-scale power foundation of our business model. The transparency and plants run on a diet of pellets So now I'm actually able to run security afforded by blockchain made from processed waste, an entire global utility from my technology allows users to such as wood chips, mixed with mobile phone,” says Uhlig, who monitor and monetise their shredded plastic waste. The units credits the remote management financial investments, as well as convert the biomass feedstock into of a global decentralised utility to their social and environmental a natural gas replacement that Schneider Electric's EcoStruxure impact. “Smart contract ledgers, can be used in most applications software products. free flow of capital, dedicated where natural gas, propane, or MAJOR ACHIEVEMENT token offerings for funding and butane is used. “Our major achievement in direct donations will revolutionise When Uhlig and the Entrade working with Schneider Electric the way small scale, high social team developed the first unit, it is finding a global partner that impact energy projects will be cost around $5m to complete. understands our vision, that funded in the future. Now they can produce the units shares our vision of bringing clean “The next step in our company for around $250,000. electricity, heating, and cooling as is to roll-out our products and As digitisation opened new efficiently as possible to millions services worldwide. We've already avenues of automation, Uhlig of people all over the globe.” built a completely decentralised decided to diversify Entrade from Uhlig views this as an utility I can run from a mobile the design and development of opportunity to turn waste into phone anywhere in the world. So clean energy tech to include the energy and to provide electricity now is our time to grow.” production, storage, and sale to those who previously had no Entrade has more than 210 of energy as well. Entrade now access. It also creates jobs, building units in its global IT infrastructure. operates – partly through its economies and improving “We've done 11 countries so far, Winter 2018-19 Issue • www.bv.world subsidiaries and partnerships – people's lives. on three continents, and our micro-grids of renewable energy “I believe that blockchain next step will be to really make plants across the world. is the missing piece to help us an impact and bring electricity The company has aligned bring our decentralised utility to some of the poorest people on Business Vision itself with partners which share its to all parts of the world,” writes Earth. dedication for sustainability — and Uhlig in introduction to his “When my daughter asks me which have the technological skills latest entrepreneurial endeavour, what I do at work, I'm really proud and creativity to help the company Entrade IO, an energy platform to say that we're striving to make reach its goals. Entrade's strategic connecting investors and donors millions of people's lives better.” 75 .WORLD Automation will cost some jobs — and create others

ONE IN five medium-sized can provide specialist skills. businesses in the UK believes Technology Centtrip CEO and founder that automation will help them Brian Jamieson said automation compete with larger rivals. represents “the onset of the digital Larger firms have so far been is seen as a revolution across sectors and quicker to adopt automation, industries”. and a report from the World threat and an “It is already transforming Economic Forum suggests that the way companies operate,” he while automation is likely to opportunity said, “boosting productivity and displace 75 million jobs, it will also innovation in the fields that long create 133 million new ones. decision-makers has also showed relied on old-fashioned and often Seen as a threat and as an that two in five medium-sized firms inefficient processes and systems.” opportunity, automation is having (42 percent) believe automation Initial costs could be offset a ripple effect across industries and would save time — and more than by the potential for smaller companies. According to research a third (37 percent) agree that it companies to catch up with larger from fintech firm Centtrip, one would allow staff to focus more on rivals. This will benefit customers, in three medium-size businesses strategy. Jamieson believes, “as they have believes new technologies will Almost a quarter of businesses more choice of and access to save money, and almost three- interviewed said they could better financial services”. quarters (74 percent) already use reduce their headcount as they Accounting and treasury automation in some or all areas of introduced automated services — management services stood their business. but they acknowledged that it may to benefit from automation, The survey of more than 500 be necessary to hire new staff who Jamieson added.

‘It is already transforming the way companies operate, boosting productivity and innovation’ 76 Digitalisation a boon for gig economy and contract staff

THREE-quarters of Chief implement automation software streamline operations, therefore Financial Officers (CFOs) believe and solutions. reducing the need for staff who digitalisation will have a positive A third also said that temporary simply input data and code. impact for temporary employees employees bring a broad range There was an indication in the finance department, a of in-demand skills to their of the increasing importance report shows. business — including those that of temporary staff to finance Research from recruitment will help with the ongoing digital departments, with more than specialist Robert Half UK has transformation. half of the canvassed CFOs saying found that as companies struggle FINANCE DEPARTMENTS that contractors were becoming a to adapt to the rapidly changing In 2018, CFOs were most key component of their staffing finance landscape, many are likely to budget for temporary strategy. hiring from the financial planning staff in financial management (32 CFOs are coming to recognise and analysis sector. percent), followed by accounting the strategic value of temporary To ensure a smooth (28 percent) and credit and contract staff, especially transition as they build in- management (27 percent). those who can help adapt to house capabilities, CFOs are Overall, CFOs believe that digitalisation and implement Winter 2018-19 Issue • www.bv.world hiring temporary workers with digitalisation will benefit the automated processes that will save previous experience of helping finance department. Just under time and money. firms with transformation — still half felt it had increased team By augmenting the finance maintaining financial control. spirit, while nearly two-thirds said department with temporary Business Vision More than a third of the CFOs it had improved team innovation. staff, the priorities of meeting canvassed agreed that temporary Digitalisation is also helping operation finance objectives can staff would be crucial to stay to drive efficiency within be maintained while allowing time ahead of industry automation, finance departments, with for upskilling in new processes as more organisations look to many implementing software to and systems. 77 .WORLD Antonio Banderas

10 PEOPLE ANTONIO Banderas' own story is not strictly one of entrepreneurship or finance, but he has other roles than cinematic ones. In Spain, Banderas is appreciated for his efforts to help small business gain a global market for their niche products, such as specialty wines and fragrances. He has partnered with premier brands to promote their products, careful to support only sustainable businesses that minimise their ecological footprint and adhere to socially sound policies. When he was born — 1960 — Spain was poor, isolated and traumatised by civil war. By the early 1980s, the countercultural movement La Movida Madrileña, swept aside the heritage left by the Franco dictatorship. Society and culture bloomed, along with the economy. Soon Spain was in the European Union, in the ranks of the world's most prosperous nations. Banderas built his career on the country's rising tide, and its openness and inclusiveness, and has been a UNDP goodwill ambassador since 2010. He regularly calls on his worldwide fanbase to support victims of violence, hunger, or natural disasters. “Poverty,” he says, “robs people of their potential and prevents them from being all they can be. This is why we need to mobilise all our efforts to end it.” Banderas has lent his instantly recognisable voice to a number of short movies and documentaries that seek to raise awareness of the United Nation's 17 Sustainable Development Goals (SDGs) which strive to end poverty. The SDGs are broad and interdependent, but with a separate list of targets to achieve. Achieving 17 goals means also achieving all 169 targets covering social and economic development issues including poverty, hunger, health, and global warming. Extreme goals call for extreme measures, and Banderas has been quick to put his shoulder to the wheel. On the business front, Banderas has recently teamed up with Amazon to produce the new series, Life Itself. The romantic drama is set in the US and Spain, and explores and celebrates the human condition. 78 Which is kind of what Banderas is doing himself. Thomas Piketty

10 PEOPLE Fronteiras do Pensamento FRENCH economist and author Thomas Piketty has a bold new plan for a fairer Europe. Piketty focuses on wealth and income inequality and is a professor at the School for Advanced Studies in Social Sciences (EHESS). His days must be pretty full, because he is also associate chair at the Paris School of Economics and Centennial professor at the International Inequalities Institute, which is part of the London School of Economics. Despite the workload, Piketty has managed to take a swing at right-wing populism, as well as a growing mood of disenchantment and enduring inequalities, in a new manifesto. The plan wasn't created by Piketty alone; more than 50 economists, historians and former politicians from six countries put their heads together. Proposals from the group include levies on multinationals, millionaires and carbon emissions. The nut of the manifesto is a call for a European assembly with a budget of €800bn a year, financed by taxing corporate profits, income and wealth, to tackle migration, poverty and climate change. . The Manifesto For The Democratisation Of Europe, as the plan has been labelled, blames EU institutions entrenched in a “technocratic impasse” that favours the well-heeled. “Following Brexit and the election of anti-European governments at the head of several member countries, it is no longer possible to continue as before,” the manifesto reads. Winter 2018-19 Issue • www.bv.world “We cannot simply wait for the next departures or further dismantling without making fundamental changes to present-day Europe.” In suddenly sharp focus is the growing divide between the UK and the EU, and the pragmatic attempts by pro-EU politicians to staunch the flow of votes to anti-European Business Vision populists come May's European elections. The manifesto criticises hardcore liberalism and right-wing movements “hunting down” foreigners and refugees. Italy's former prime minister Massimo D'Alema and Michael Jacobs – advisor the former UK prime minister Gordon Brown – are among the signatories. 79 .WORLD

‘Brainwashing' old work computers is a legal requirement for all companies Anthony Hall / Shutterstock.com Revealed: 30 percent of professional services providers don’t wipe the memory from redundant IT equipment. And that’s only part of the problem…

MOST UK businesses in the (62 percent), manufacturing (59 professional services sector fail percent), utilities (58 percent) to adhere to new rules on data- and retail (57 percent). wiping – and 81 percent have no ‘Sensitive Probrand marketing director official protocol for disposing of Matt Royle said that given the obsolete IT equipment. customer amount of publicity around A survey by Probrand.co.uk GDPR, “it is arguably impossible of more than a thousand British information is to be unaware” of what is required workers in full- or part-time for compliance. “This is especially employment found a third of handled all the startling to see from businesses businesses in the professional within the professional services services industry failed to wipe sector, where sensitive customer the data from redundant IT time’ information is handled all the equipment. Law and accountancy time.” firms were among those failing Fines involved in a GDPR to comply with General Data approach within their company in breach can potentially run into Protection Regulation (GDPR) order to correctly dispose of old the millions – and also at risk are law changes. or unusable equipment. reputational damage, customer Almost half of professional The top five “most guilty” trust and loyalty – things which services workers admit they industries were transportation Royle says will become “financially 80 wouldn't even know who to (72 percent), sales and marketing significant”. Merchant bankers pitch in to help funding for apprentices

THE NEXT generation of is contributing 50 per cent of the engineers — hopefully brimming ‘The scheme wages of the apprentices in the with energy and fresh ideas — is first year and 25 per cent in the taking steps down the education is making second year, as well as covering all path at Britain's AMRC Training training costs. Centre. “Apprenticeships are an The Close Brothers SME a genuine excellent way for UK SMEs to fill apprenticeship programme — skills gaps, develop their future supported by the AMRC Training difference’ workforce and improve their long- Centre and the Manufacturing term growth prospects,” Sainsbury Technologies Association — has and fully-trained apprentices said. “We believe the scheme is helped smaller businesses in the that can hit the ground running making a genuine difference to Sheffield City Region to take on is definitely the right way to go,” the participating SMEs.” 20 apprentices. she said, “not only to address James Selka, CEO of the The apprentices have now the glaring skills shortage Manufacturing Technologies started on programmes at the threatening the UK engineering Association, said it was a “fantastic training centre, part of the and manufacturing industries, but project to be involved with” University of Sheffield Advanced to create a diverse and dynamic and said the MTA would always Manufacturing Research Centre workforce.” champion future generations of Group. The trainees are being Close Brothers banking engineers. taught the skills they need to make division MD Adrian Sainsbury said Selka said the bank's support a contribution to a company — SMEs often needed assistance to and the centre's facilities from day one. take on apprentices. He says the dovetailed nicely for industry. Nikki Jones, the director of programme was designed with “The support of Close and great the training centre, has praised that issue in mind, and to help facilities at the AMRC make taking the scheme for supporting SMEs with other issues smaller firms on apprentices more affordable in the region. face. and effective for companies that “The recruitment of ambitious The merchant banking group might otherwise not be able to.” Winter 2018-19 Issue • www.bv.world Business Vision

The AMRC Training Centre is part of the University of Sheffield 81 .WORLD Call of the wild is heard, and acted upon, by parks group with a challenging mission

AFRICAN Parks is an organisation on a mission to reverse some of the damage caused by wildlife poaching and habitat destruction across the great continent. The non-profit's holistic view of the challenges, and its “business” approach to conservation, are producing promising results. Populations of once endangered species now roam in greater numbers over rehabilitated natural habitats, while living standards in surrounding remote communities has improved thanks to the resulting economic development of the regions. African Parks' mission is to rehabilitate each of the 15 national parks and protected areas under Tourism helps the parks contribute to local and national economies its management to make them partnerships with governments governing policies, and African sustainable: ecologically, socially, and local communities. In 2019, Parks is accountable to these and financially. it has under its care parks and ruling bodies. Mandates are African Parks was founded protected areas in nine African established which grant African in 2000, and operates under the countries, covering a total of Parks full responsibility of the Public-Private Partnership (PPP) 10.5m hectares. parks' operational management. business model. It has pioneered Through these partnerships, African Parks lays out the funding a model for the management governments retain ownership needed to run each park, typically of protected areas through of the land, and determine the between $1m to $3m annually. It establishes five-year business plans to optimise revenue and reinvest funds in the park, thereby reducing donor dependency over time. With funding in place, the organisation establishes local board-based entities to represent key stakeholders and establish a good governance structure. Once mandates, funding and management plans are confirmed, African Parks begins the long process of restoration and rehabilitation of the land, and the on-going protection of endemic wildlife species. To ensure long-term sustainability, the organisation focuses on a five- pillar approach. Bangweulu Park in Zambia is just of those managed by Africa Parks 82 The first of these pillars is the King of the beasts: but efforts are needed to stop the kingdom falling into ruin non-profit's law enforcement has the experience to know employing more than 400 people, division, which provides security what's required, from park generating around $550,000 and stability for people and housing and headquarters to annually in tourist revenue, and wildlife living in the parks and telecommunication systems and home to more than 500 elephants surrounding regions. Africa Parks road works. and 2,000 game animals. employs the largest counter- The organisation's In Zakouma National Park in poaching force of any non- conservation efforts have begun Chad, the tireless efforts of the government organisation (NGO) to bear fruit. The restoration of African Parks law enforcement in Africa. The second pillar is a the Majete Wildlife Reserve in operatives have allowed the focus on biodiversity conservation Malawi transformed the area — elephant population to flourish, through the active management once almost devoid of wildlife, and 527 individuals were of wildlife populations and their income, or staff — into a park confirmed living there in 2017. habitats, and the reintroduction of species into rehabilitated areas. To ensure the creatures within the parks' boundaries survive, and thrive, the organisation knows it must also ensure the protection and care of human populations living around them. This is the third pillar for Africa Parks, which works with local partners and communities to raise Winter 2018-19 Issue • www.bv.world conservation awareness and create opportunities for the social and economic benefit of stakeholders. Tourism is the fourth “pillar” Business Vision by which the parks can directly contribute to local and national economies — when properly managed. The final pillar is Poachers take a deadly toll on elephants and rhinos Infrastructure: Africa Parks 83 The park's Elephant Schools benefit local communities, .WORLD educating children and employing over 160 workers, making Zakouma one of the region's largest employers. The organisation also reintroduced the first six black rhinoceroses into the park in 2018 – after an absence of almost 50 years – and 14 more will soon be released there. Across its diverse portfolio of properties, Africa Parks is enjoying similar stories of shared success — private and public partnerships, at work for the long-term sustainable conservation. It's a vital step to protect Africa's natural riches. ‘Elephant Schools' benefit local communities by educating children

Stopping the sun from setting on Africa’s rich wildlife 84 Professional gig economy booming as the war for digital talent intensifies

MORE than a quarter of UK between permanent hires (32 businesses – 1.6 million of them percent). – plan to hire temporary or This recruitment strategy contract staff in the next year, Concerns over provides a short- to-medium-term as digitalisation and a lack of solution while business leaders talent creates skills gaps in the Brexit are set invest in internal training to workplace. upskill their current workforce According to the Robert Half to increase (17 percent plan to do so in the 2019 Salary Guide, technology is next year). reshaping businesses; two in five GROWTH AMBITIONS UK organisations (38 percent) The other option is to continue consider digitalisation to be growth of the professional “gig to look for new, permanent staff the main force evolving in the economy” – the use of temporary to help them achieve their growth modern workplace. or interim specialised staff, often ambitions. DEMAND working independently. These Access to an immediate pool This shift has created demand workers are usually employed on of specialist talent prevents for a new set of skills, such as a short-term basis to fill vacancies costly project delays and helps DevOps, data visualisation, data and skills gaps. businesses realise their potential management and analytics. While Almost 40 percent of UK and compete in an increasingly softer skills such as resilience, businesses say short-term digital world. adaptability and critical thinking employees are currently filling Flexible, strategic staffing remain key characteristics in skills gaps in their organisations. models with a mix of permanent potential employees, a third An additional 28 percent plan employees and highly-skilled of employers list candidates' to hire temporary or contract staff temporary professionals can technical skillset as their most in the next 12 months, with the top provide companies of all sizes with important consideration when benefits cited as supporting long- the ability to increase or decrease hiring. term staff absence (35 percent), the size of their workforce based More than half of the CEOs providing staffing flexibility (34 on workload demands and canvassed admitted to having percent) and to act as a stopgap confidence. concerns over the lack of digital skills in the UK talent market, as businesses come under pressure to adapt to AI, automation and digitisation. This is especially prevalent in the technology sector, which is estimated to have a 40,000-strong deficit in professionals with the technological qualifications needed to meet the demands of the UK economy. Winter 2018-19 Issue • www.bv.world These concerns are set to increase with uncertainty over Brexit, and the potential decrease to the skilled technology talent Business Vision pool. Businesses are forced to adopt flexible recruitment strategies, which is driving a boom in short- New strategies are driving a boom in the gig economy term hires and contributing to the 85 .WORLD Danièle Nouy

HOT on the heels of our BV Autumn story about Elvira Nabiullina, a woman getting tough on banks, comes one 10 about Danièle Nouy … a woman getting tough on banks. Nouy's job is to keep Europe's banks on the straight and narrow and remind their executives that honesty pays. PEOPLE In her four years as chair of the European Central Bank's (ECB) supervisory board, she made few friends in the financial world. As a matter of principle, she gave not an inch when faced with folly on the part of bankers, even when challenged by circumstance. Irish bankers recently found out that Nouy does not do tactful. She bluntly told them, on national television, that they did not deserve any bonuses until Ireland's banks have fully cleared up the debris of the financial crisis. She reminded the bankers that they have plenty of work to do on their balance sheets, and wondered aloud if this was the right time to discuss bonuses. In case anyone thought that was rhetorical, she added: “Definitely not, in my view.” Troubled banks are required to apply to the ECB for permission to top- up their executives' salaries or pay dividends to shareholders. Nouy comes down hard on banks that “sort-of” address their issues – only to quickly revert to their old ways. Nouy shows no mercy either to banks that fail to meet the tightened capital adequacy requirements. She has a reputation for toughness, particularly when it comes to dealing with financial institutions that keep non-performing loans (NPL) lingering on their balance sheets. Nouy has clashed with national regulators as she forced banks to disclose and address the full extent of bad loans. She also got her way in Italy, and convinced banks to reduce their NPL portfolios. Nouy has been inspecting banks for over 40 years, first at the Banque de France and later at the French Prudential Supervision and Resolution Authority, which she headed between 2010 and 2013, before being invited to join Mario Draghi's executive team at the ECB. Her five-year term is drawing to a close, and the race is on the find a worthy successor. The prime contender for the job is Sharon Donnery, deputy governor of the Central Bank of Ireland. 86 Andy P Mooney

10 PEOPLE SCOTSMAN Andy P Mooney, 63, is a man with a magic touch when it comes to combining business and pleasure. There's hardly a name he couldn't drop, but his own is barely known. CEO of Fender Musical Instruments Corporation is the sort of job title that has doors opening just about anywhere. And his link to one of the world's most revered musical instruments isn't the only string to his bow. Over the years, Mooney has had some classy business cards to pass around. He was Nike's UK chief financial officer, before moving to marketing and becoming chief marketing officer in the US. He headed the company's $3bn Global Apparel division, which is no small claim to fame. He also spent time in senior positions with the Australian sportswear manufacturer Quiksilver. A pretty good track record, then – and we haven't even mentioned Mooney's main claim to fame yet. Mooney also worked for the Walt Disney Company. He came into the organisation pretty high-up, starting out as president of Disney Consumer Products in 1999; he was made chairman in 2003. Perhaps most famously, he pioneered the $4bn franchise you're patiently waiting to hear about. A Disney On Ice show in Phoenix was the setting for Mooney's eureka moment; he saw girls in the crowd dressed as princesses, wearing handmade outfits. Disney didn't sell such dresses at the time, but by the end of 2001 it did: sales across the Disney Princess lines were knocking out merchandise worth $300m. Winter 2018-19 Issue • www.bv.world Today that figure is more than $6bn. The franchise does not include all princess characters of the Disney pantheon, but it has things pretty much covered with 11: Snow White, Cinderella, Aurora, Ariel, Belle, Jasmine, Pocahontas, Mulan, Tiana, Rapunzel, and Merida. The franchise has also released dolls, videos, apparel and beauty products. Business Vision Disney Princesses, under a single brand, has put costumes on more young shoulders than a herd of auditors could count – and made Mooney something of a king. Mooney resigned from Disney in 2011, but was recently profiled on the BBC's The Boss programme for that moment when he came up with a right royal idea. 87 .WORLD Upswings and roundabouts, but Europe is looking good

EUROPE'S continued strong as well as sluggish productivity. growth sees activity firming-up In addition, there are signs in many economies – and the Inflation and that wage Phillips curves are flat, forecast is that the trend will and that spill-overs from regional continue. wage growth labour market conditions and Real GDP increased by 2.8 slow wage-growth in some percent in 2017, up from 1.8 subdued in economies are contributing to percent in 2016. The expansion wage moderation. This holds back has been largely driven by some countries demand in other economies. It domestic demand. Credit growth could be some time before wage has picked up, helping Europe's growth picks up in advanced banks rebuild profitability. While to gather pace only gradually economies. leading indicators have begun because of slack labour markets. The favourable outlook is to ease, they remain high. The In central and eastern Europe, subject to risks over the medium forecast is for growth to stay where economies are cyclically term. The most immediate stem strong, though declining slightly. further ahead, wages are rising from rich valuations in financial Amid the good times, however, and inflation is expected to pick markets at the global level, fiscal adjustment and structural up. notably an exceptionally low-term reform efforts are not faring so The subdued wage dynamics premium and a growing tendency well. in some advanced economies toward inward-looking economic Inflation and wage growth reflect low inflation and inflation policies. remain subdued in most advanced expectations, high unemployment European markets have economies, and are projected — and underemployment rates — weathered the recent financial

European markets have weathered the recent financial turbulence well 88 Real GDP increased by 2.8 percent in 2017, up from 1.8 percent in 2016, driven by domestic demand turbulence well, with capital flows the moment to push forward with is a major challenge in many to emerging market economies reforms to boost growth potential. emerging European economies staying strong. In countries where inflation is which need to improve institutions Sustained declines in stock subdued, monetary policy should and governance. Countries with prices are often harbingers of continue to be supportive to enough fiscal space should use lower growth and inflation. With ensure a durable increase in it to promote higher potential many policy rates close to zero, inflation to targets. In countries growth. and certain banks still engaged where inflation is hitting targets, The recovery provides an in unorthodox policies, the it should gradually normalise. In opportunity to move faster scope for further, effective policy many economies, policymakers to deepen the Economic and easing in response to new shocks should try to bring fiscal deficits Monetary Union. More actions are is not great – all the more reason within range of balance over the needed to complete the Banking to create room for fiscal policy next few years. Union. Instituting a European manoeuvre. This way, automatic stabilisers Stability Mechanism to backstop How long this recovery can and fiscal stimuli can be deployed the Single Resolution Fund would run, even in the absence of again, should downside risks mark an important first step external shocks, is a big question. materialise. toward greater risk-sharing. Estimates for output gaps point Stabilising and bringing Then there is the strong to little slack in most economies, down public debt would help case for a central fiscal capacity. but unemployment rates— economies better cope with Access should be conditional especially when defined broadly— the pressures from growing on compliance with fiscal rules, still appear high. Whether the expenditure on pensions and and combined with mechanisms Winter 2018-19 Issue • www.bv.world recovery can endure depends on healthcare. Fiscal adjustment and to prevent permanent transfers the investment response, which easy monetary policy should also between countries. With the UK has been subdued. It remains in help the many economies that leaving the single market, there a weakened state after the global have rebuilt competitiveness since is a more urgent need to advance Business Vision crisis of 1991. the crisis continue to lower their the Capital Markets Union, Economic prospects continue net external liability positions. which requires steps to promote to improve in the short term, but Fiscal adjustment should be harmonisation of insolvency medium-term prospects are less driven by efforts to improve the regimes and better protection of bright. Policymakers should seize efficiency of government. This cross-border investor rights. 89 Source: IMF 2018 .WORLD

Awards

AN INVITATION TO VOTE Readers are cordially invited to vote in the Business Vision (BV) Awards 2018 Programme. BV seeks out candidates with outstanding corporate achievements but all eventual winners will have convinced the judging panel that they have the vision to maintain and build on their success well into the future.

Winter Visit our website www.bv.world/awards to place your vote or email us at [email protected] announcement We will send you a copy of the nomination form.

The information you provide will be highlights used by the BV judging panel but not shared with third parties. As a small token of our thanks you will be entered in a free draw for a one-year complimentary subscription.

No vote is wasted. Your recommendation will receive our full attention. African Parks — Outstanding Contribution to Conservation | South Africa 2018

AFRICAN Parks, the Johannesburg-based non-profit conservation organisation, protects natural landscapes and defends wildlife across the entire African continent. In partnership with local communities and governments, it assumes complete responsibility for the long-term sustainable management of 15 national parks and protected areas in nine countries — covering 10.5 million hectares. African Parks aims to stop catastrophic species loss and wilderness destruction by adopting a business approach to conservation. The non-profit secures 20-year contracts to assume absolute authority over park management, including the law enforcement component. This gives the organisation real teeth in the fight against increasingly militarised poaching networks, fuelled by an illegal wildlife market valued at $20bn a year. The BV judging panel recognises African Parks for its support of wildlife conservation and its role in the economic development of the continent and the communities in which it operates. African Parks has been granted the 2018 award for Outstanding Contribution to Conservation South Africa 2018.

AccessBank Tanzania — Best Social Development Bank | Tanzania 2018

ACCESSBANK Tanzania is more than a commercial bank — it's a catalyst for socio-economic development. AccessBank believes that fintech can serve as a social equaliser, driving the digital transformation of the country and empowering a more connected and tech-savvy population. The bank's integrated mobile banking platform offers a range of services, from 24-hour account access and Masterpass QR transactions to money transfers and mobile phone credit top-ups. AccessBank invests in education as a force for upward economic and social mobility, and organises annual conferences, seminars, forums, and training sessions. AccessBank, founded in 2007, offers finance services for micro, small and medium-sized enterprises (MSMEs), as well as socially responsible banking services for Tanzania's low- to middle-income earners. For its inclusive banking approach and entrepreneurial empowerment, the BV judging panel names AccessBank Tanzania the 2018 Best Social Development Bank (Tanzania) award winner.

Kuwait Finance and Investment Company (KFIC) — Best Sustainable Investment Partner | GCC 2018 KUWAIT Finance and Investment Company (KFIC) takes pride in the expansive financing services it offers, affording the institution the rare advantage of holding dual banking licenses. Among its shareholders are some of the most influential families in Kuwait, in addition to several local banks. The company has made great efforts to step-up its sustainability, establishing a dedicated “green team” to help reduce its Winter 2018-19 Issue • www.bv.world carbon footprint. Points of pride include a sponsored initiative to help coral reefs bounce back, and new energy-efficient office spaces. The company is committed to gender equality — with females representing three out of seven employees, leadership positions included — and it has Business Vision a zero-tolerance policy against racial discrimination. The BV judging panel salutes Kuwait Finance and Investment Company's corporate sustainability advancements, and pronounces it the 2018 winner of the Best Sustainable Investment Partner award (GCC). 91 Dubai Technologies — Most Innovative Fleet .WORLD Management Solutions | MENA 2018

A HIGHLY functioning, productive society owes a great deal to its ability to efficiently move product and passengers. Dubai Technologies is a leading expert in the transport and service industry in the MENA (Middle East and Northern Africa) region. Its talented team harnesses the latest technological advances to ensure the most innovative fleet management solutions. One example of this innovation is its proprietary 360 IT Cloud, which oversees the seamless running of vehicle fleets. The R&D department is a vital part of the company's success, with researchers constantly exploring ways in which technology can improve lives through the simplification of processes and high security standards. The BV judging panel is delighted to present Dubai Technologies with the 2018 award for Most Innovative Fleet Management Solutions (MENA).

Sancta Capital Group - Best Alternative Investment Fund Manager | MENA 2018

ALTERNATIVE investment firm Sancta Capital Group has carved a niche market for itself by focusing on distressed and deep-value investment opportunities in the Middle East and Africa (MENA) region. The Sancta team encourages healthy debate and process-driven research that fosters critical thinking and allows it to nimbly react to changes in the business environment. Sancta thrives best in a bear market, where it can fully leverage its research expertise and sourcing capabilities to prove its worth. Investing in neglected or misunderstood securities across the corporate capital structure, the Dubai-based firm's flagship fund has generated for its investors annual returns of 15 percent net of all fees since 2011. Sancta operates to the highest international standards of corporate governance, further sealing the deal for the BV judging panel, which congratulates Sancta Capital Group on its 2018 Best Alternative Investment Fund Manager (MENA) award win.

Satellogic — Most Innovative Infrastructure Monitoring Services | Latin America 2018

SATELLOGIC has launched a constellation of small, inexpensive nano-satellites into space to deliver high- resolution imagery and real-time data for public and private purchase back on Earth. Applications range from the monitoring of traffic flows and the tracking of natural disasters to optimising energy efficiency and increasing business intelligence. Several of the satellites are already in orbit, and Satellogic plans to launch another 60 by the end of 2018 – and another 300 within 10 years. The satellite network offers users customisable control over imagery targets, giving Satellogic a distinct advantage in the commercial satellite imaging market — which is expected to exceed $5bn in value. The BV judging panel congratulates Satellogic on its competitive market position, and on its win for the 2018 award for the Most Innovative Infrastructure 92 Monitoring Services (Latin America). Banco Ripley Peru — Best Commercial Bank | Peru 2018

THE commercial integration with the Ripley store and the orientation toward simplicity are the two basic elements of the business philosophy of Banco Ripley Peru. The bank has a client-centered business approach based on the applied feedback of users to drive the continuous improvement of their processes and their value offer, always building the goal of being a simple and familiar bank for the people. The bank performed a tech overhaul of its financial operations to offer a greater range of products and services. Users can use face-to-face channels in the Ripley retail stores to access financing for its products; cash loans and fixed deposits are among its most demanded products. Recently, Banco Ripley renewed its brand image upon the pillars of simplicity, closeness and transparency, attributes that identify the bank. This change responds to the substantial improvements in its external indicators such as reputation, profitability, market share and customer satisfaction. In the same way, obtaining the “Great Place to Work” qualification demonstrates a healthy work environment. The BV judging panel points to the bank's solid risk rating with credit rating agencies as an indicator of its financial strength, and gives Banco Ripley Peru the 2018 award as the Best Commercial Bank (Peru). eDreams ODIGEO — Best Company to Work For | Europe 2018

IT'S NO secret that eDreams ODIGEO — the parent company of leading travel brands Opodo, eDreams, Go Voyages, Travellink, and Liligo — is Europe's largest travel company and one of the largest e-commerce businesses. A good thing, then, that the company is also renowned for nurturing, and valuing, its workforce. eDreams ODIGEO has an excellent reputation as a global travel provider, serving more than 18.5 million customers annually in 43 markets — and the travel giant applies the same exacting standards of quality and service to its recruitment and retention strategies. New recruits enjoy a smooth onboarding process, and all staff can expect to be fully supported and well prepared as they carry out their duties. eDreams ODIGEO has modern offices and leisure facilities, with a flexible working schedule to encourage and facilitate a healthy work-life balance. The BV judging panel applauds the company's culture of collaboration and mutual respect, and — for the second consecutive year – names eDreams ODIGEO winner of the award for Best Company to Work For (Europe).

Intesa Sanpaolo Bank Albania — Best Digital Bank | Balkans 2018 Winter 2018-19 Issue • www.bv.world

INTESA Sanpaolo Bank Albania embraces the digital evolution of the financial industry, and has put connectivity at the heart of its strategic vision. The bank is a subsidiary of the Intesa Sanpaolo Group, one of the largest banking networks in the Eurozone. The Intesa Sanpaolo Group has prioritised digital transformation, and its 2018-2021 Business Plan aims to invest around €2.8 bn in the sector over the next Business Vision three years. The bank recently launched a multi-channel banking platform, with smartphones and fintech at its core. Biometric recognition technology simplifies and strengthens security, apps assist with investment management, and the mobile phone is replacing cash as king. Strict EU compliance and sustainable growth have pushed Intesa Sanpaolo Bank Albania to the top of the national market, and the BV judging panel declares it the winner of the 2018 award for the Best Digital Bank (Balkans). 93 TransferWise — Most Innovative Money Transfer .WORLD Services | Europe 2018

WITH a dream that money might one day flow freely across borders, two Estonian friends founded TransferWise in 2011. TransferWise executive founder Kristo Käärmann and founder and CEO Taavet Hinrikus capitalised on their combined experiences in London's financial district and Estonia's outstanding start-ups to develop a simple money transfer solution. The company has opened 11 offices across four continents and employs over 1,300 people, all working towards the same goal: to facilitate money transfers at a fair, low-cost exchange rate, in a stress-free and safe manner – and at the fastest speeds possible. Over four million users trust TransferWise, globally moving around £3 bn in transfers each month and saving an estimated £80m in hidden charges. The company's list of top-tier investors — including Richard Branson and PayPal founders Max Levchin and Peter Thiel — further convinced the BV judging panel that TransferWise deserves the 2018 Most Innovative Money Transfer Services (Europe) award.

Jabal Omar Development Company — Most Visionary Real Estate Developer | Saudi Arabia 2018

JABAL Omar Development is leading the first-class regeneration scheme of the holy city of Makkah Al-Mukarramah — and the results are a dazzling combination of “the sacredness of place and spirituality of time”. The Saudi Arabian real estate development company manages a diverse portfolio of properties, including four five-star hotels and various residential projects, all of which are marked by the company's distinctive design, luxurious atmosphere, and superb service. Residents and visitors are invited to enjoy the top quality accommodation, and make use of the religious, social, and commercial facilities provided. The two million square-meter complex, on completion, will accommodate up to 36,000 hotel guests each year — and over 100,000 visitors during the Hajj (pilgrimage) season. The project's blend of tradition and innovation swayed the BV judging panel, which named Jabal Omar Development the winner of the 2018 award for the Most Visionary Real Estate Developer (Saudi Arabia).

Cielo — Best Payment Processing Solutions | Latin America 2018

FOR merchants looking to enter the Latin American retail market, a strategic partnership with Cielo could deliver new business opportunities across the continent. Cielo was founded in 1995 as a joint-venture between Visa International and three leading Brazilian banks to provide a common framework for payment- processing in the region. The company claims the title — by revenue and market value — of the largest Brazilian credit and debit card processor and the biggest payment system company in Latin America. Cielo processes $6.8bn in transactions each year through its network of point-of-sale, electronic fund transfer, and e-commerce device transactions. The company invests in advanced analytics to provide consumers — some 1.7m active users — with real-time promotions and relevant offers. The BV judging panel presents Cielo with 94 the 2018 Best Payment Processing Solutions (Latin America) award. Hershey — Best Supply Chain Modernisation | United States 2018

CONFECTIONERY giant Hershey Company has been in an investment mindset over the past few years, diversifying its product line-up through multiple acquisitions and exploring the digital sales frontier. Now the Pennsylvania chocolatier has invested $150m to enhance its supply chain capacity, and has begun to implement a new SAP ERP to support its retail partners as well as facilitate individual consumer sales online. The company aims to provide a holistic shopping experience, from e-commerce to in-store sales, working with retail partners to ensure identical offerings online and on location. For online purchases, Hershey now offers in-store pick-up, home-delivery, and an innovative chilled shipping service for worry-free summer shipment. The BV judging panel congratulates Hershey on its sweet success, and names the company the 2018 winner of the Best Supply Chain Modernisation (United States) award.

Netflix — Most Innovative Media Streaming Services | Global 2018

LONG-forgotten are the DVD-by-mail days of Netflix. The entertainment company is now best known for its binge-worthy streaming services. Founded in 1997, Netflix once offered movie rental subscription services throughout the US by post or online — but now its reach encompasses more than 130 million subscribers in 190 countries. Although Netflix's subscription strategy has remained steadfast, its journey has been marked by continuous innovation. Netflix has transformed itself into a production powerhouse, garnering a cult following and award recognition for its original series — rivaling Hollywood studios for feature film production in 2018. The company believes in the power of analytics, enabling it to offer intuitive data-backed entertainment suggestions as well to create content catering for niche interests and audiences. The BV judging panel applauds the company's vanguard vision and world expansion, and congratulates Netflix on its 2018 award for the Most Innovative Media Streaming Services.

Agricultural Bank of China — Most Innovative Commercial Banking Services | China 2018 Winter 2018-19 Issue • www.bv.world

THE Agricultural Bank of China, founded in 2010 after one of the most successful IPOs in history, is one of the largest financial institutions in the world. The Chinese banking behemoth offers a wide range of professional services, including financial services, asset management, cross-border financial services, bespoke Business Vision financial advice and consultation, and private value-added services. In addition to its personal and corporate services, the bank provides a range of products to support China's agricultural communities, such as microfinancing, revolving credit lines, and farmers' benefit credit cards. The BV judging panel congratulates the Agricultural Bank of China on its 2018 award win for the Most Innovative Commercial Banking Services (China). 95 Hotel Du Cap Eden-Roc Antibes — Best Luxury Hotel .WORLD Experience | Europe 2018

THE Hotel Du Cap Eden-Roc Antibes encapsulates the perfect blend of old-world glamour and modern luxury in the heart of the French Riviera. For generations, the Grande Dame of the Côte d'Azur has been the secret sanctuary of dignified and discriminate guests who require exclusive elegance and discreet hospitality. Private limousine shuttle service transports guests to the hotel grounds, where 33 cabanas are nestled along the seafront gardens and a heated infinity pool of natural sea water overlooks the Mediterranean. The luxurious accommodation includes 117 guest rooms and two private villas, world-renowned restaurants, modern fitness facilities, and relaxing spa services. The sumptuous style of the palatial hotel swayed the BV judges, who named Hotel Du Cap Eden-Roc Antibes — once again, following its 2016 win — as the 2018 winner of the Best Luxury Hotel Experience (Europe) award.

Electricidade de Moçambique — Best Sustainable Distribution Strategy | Southern Africa 2018

THERE is at least one monopoly that protects public interests and remains open to private sector participation: Electricidade de Moçambique (EDM). The utility company leads the country's revolution for sustainable energy solutions and strategies and has been lauded for its transparent and ethical operations. EDM aims to reduce poverty by providing universal energy access by the year 2030. The company has mobilised more than $1.2 bn in funding since 2015 to develop the country's energy infrastructure network, and the benchmarks detailed in its 2030 implementation strategy provide a clear roadmap to a more sustainable future. The company's philosophy of “investing in hope” resonated with the BV judging panel, which congratulates Electricidade de Moçambique on its 2018 award win for Best Sustainable Distribution Strategy (Southern Africa).

Eskan Bank Realty Income Trust — Best Sharia- Compliant REIT | EMEA 2018

ATTRACTIVE returns, lower risk, diversified portfolio, and easy liquidity — these are the pillars that have kept Eskan Bank's Real Estate and Investment Trust (REIT) at the top of Islamic financial markets. REITs have been an emerging trend in the GCC (Gulf Cooperation Council) for the past decade, and Eskan Bank is one of the sector's pioneers in Bahrain. Eskan's REIT promises a steady, stable income for unit holders while keeping an eye on the long game. By pooling money to buy and manage real estate through the trust, investors can participate in large-scale commercial real estate development with limited initial capital. Eskan's REIT offers a low-risk solution with attractive dividends, as investment is spread over a diverse property portfolio of retail, residential and office space. Eskan is a Sharia-compliant REIT, fully respectful of Islamic laws. The BV 96 judging panel presents Eskan Bank with the 2018 award for Best Sharia-Compliant REIT (EMEA). Lloyds Bank — Best Personal Banking Services | UK 2018

LLOYDS Bank has operated for over 250 years with the goal of helping the UK and its residents prosper. Decades of successful mergers and acquisitions have helped Britain's Lloyds Bank grow from a single office in Birmingham to a national and international bank with more than 1,000 branches. The bank is a pioneer, launching the first ATM in the UK and contributing to the launch of one of the first UK credit cards. The bank pledges to go beyond business-as-usual to address the most pressing social and economic issues in Britain. In 2017, Lloyds Bank lent £13 bn to first-time home buyers, created 1,200 new apprenticeships, and supported more than 124,000 start-up businesses. It also raised £4.8m for Mental Health UK and supported more than 2,800 charities. The BV judging panel applauds the bank's history of strength, stability, and innovation, and congratulates Lloyds Bank on winning the 2018 award for Best Personal Banking Services (UK).

Cisco Systems — Best Digitalisation Acceleration Programme | Global 2018

TECHNOLOGY can transform a nation, and Cisco Systems has a blueprint to accelerate the process. Cisco — a world leader in digital networking and IoT innovation — is partnering with governments, industries, and academia to accelerate their national digitalisation agendas. Cisco has built its blueprint as interlocking pieces to a puzzle: the first step prioritises education and technology research, the second fosters innovation and entrepreneurship, while the third results in a knowledgable, competitive workforce. Cisco security battens down the country's new digital network, giving citizens secure access to services at the country, business, and personal level. Worldwide market penetration is well under way, and the programme is already active in 120 cities in 165 countries. The BV judging panel was impressed with Cisco Systems' visionary strategies, and congratulates the company on its 2018 award win for Best Digitalisation Acceleration Programme (Global). This is the second BV award for Cisco, which last year won Best IoT Connection Platform.

Yogi Tea — Outstanding Environmental Protection Global | 2018 Winter 2018-19 Issue • www.bv.world

NOTHING soothes the soul — or the planet — quite like a warm cup of Yogi Tea. These tea recipes are based on the Indian philosophy of Ayurveda, and designed to promote well-being through the harmonious balance of mind, body, and spirit. The Yogi Tea brand has a strict “be good, do good” philosophy: it's been using organic methods of farming, treatment, and storage since the 1980s. The company is dedicated Business Vision to minimising its carbon footprint, and powers its German and Italian facilities via renewable sources. Meanwhile, its new $21m US production facility is Leadership in Energy and Environmental Design (LEED) certified. The company's sustainability initiatives worldwide, particularly those focusing on environmental conservation and children's education, caught the attention of the BV judging panel, leading the judges to name Yogi Tea as winner of the 2018 Outstanding Environmental Protection (Global). 97 .WORLD Do dole payments really prolong unemployment? Google knows all, as researchers discover...

Most of us have come to rely on Google to answer… well, pretty much anything. Now economists are thanking Google for helping to answer a thorny policy question. SCOTT R. BAKER, an associate professor of finance at the Kellogg School, investigated.

FOR DECADES, policymakers actually making to search for search queries across regions and have debated whether jobs. And this activity has proven languages. By tracking the word unemployment insurance difficult to track. That's where “jobs”, they were able to create a provides a critical safety net Google's data on search traffic new system, which they dubbed during tough times, or prolongs came in. the Google Job Search Index joblessness by reducing people's Scott R. Baker and his (GJSI). incentive to find work. collaborator, Andrey Fradkin, “We realised we could look To answer this question, of Boston University, used data at people's job-search habits in a researchers need a clear measure from Google Trends, the free site way that traditional government of how much effort people are that analyses the popularity of datasets had a hard time doing,”

A critical safety net, or prolonging joblessness by reducing people’s incentive to find work? 98 Pulling job-search data out of Google Trends is not as simple as, well, Googling it.

Baker said. But pulling job-search of Labour. Though painstakingly queries — “marketing jobs”, for data out of Google Trends is not thorough, the survey — which instance — meant the researchers as simple as, well, Googling it. interviews about 26,400 could use it to study how people Since Google keeps the exact households via phone throughout are searching across sectors, volume of searches for any term the year — doesn't focus on out- regions, and employers. confidential, Google Trends of-work individuals. As a result, While other online platforms, results represent only the relative it often contains fewer than five such as CareerBuilder, offer frequency of Google searches, set unemployed respondents from proprietary data that can be on scale of 1 to 100. each state per month. useful, this information remains In order to estimate the raw more difficult to access and numbers of job-related searches smaller in volume than an open and ensure they were large data source like Google Trends. enough to use as the basis of their Big-data But the GJSI's attractive study, Baker and Fradkin tapped qualities would not matter if the other Google tools. oomph lets researchers could not prove the Google's online advertising index was a true reflection of the tool, Adwords, showed there policymakers volume of people looking for were 68 million monthly searches work. for the term “jobs” in the year “We have this measure of preceding April 2013, which was drill down how often people are searching when they started the project. for something containing the Having validated the heft of word ‘jobs', but does that actually Winter 2018-19 Issue • www.bv.world the dataset, the researchers started Google, meanwhile, provides say anything about how people analysing it. They knew that the real-time access to many millions are searching for jobs in the GJSI offered several advantages of searches that can be aggregated economy?” Baker asked. there. across geographies. This big-data To find out, the researchers Business Vision First, the most commonly used oomph lets policymakers drill compared results against those survey to track time spent job down to measure changes in local of several other data sources. hunting is the American Time labour market conditions. This included comScore, which Use Survey, a report released The search engine's ability to tracks the web-browsing habits of once a year by the US Department track searches for more specific 100,000 consenting Americans. 99 They found the GJSI to be a Commission, the researchers good proxy for overall online job- obtained detailed weekly records .WORLD search effort. There is a of the number of out-of-work Moreover, benchmarking Texans in each metropolitan area their results against those of moral hazard between 2005 and 2014, as well as the American Time Use Survey the number of weeks of benefits and other data, they found that story to be people had left. Google job searches fluctuated They then compared weekly in the same way as those reported told here GJSI results for each of these in the survey, and that a higher metropolitan areas against the unemployment rate corresponded percentage of unemployed to a higher GJSI. liquidity effect, which serves to residents at each level of benefit. “That showed us the GJSI is make the unemployed better off Their results reaffirmed earlier telling us something important by redistributing money to people research showing that people about the amount of time people at a time when they need it. The search more for jobs when they are spending searching for jobs,” other is moral hazard. It's the idea have fewer weeks of benefits Baker says. that the more you support these remaining. With its significance validated, programs, the more people will In areas where the average the GJSI could now be used to take advantage of them and not unemployed person had fewer address a fundamental economic find new work. than 10 weeks of unemployment question – one that was hotly “There is a moral hazard insurance remaining, the index debated in the wake of the Great story to be told here, but ... the revealed 66 percent more search Recession. aggregate effect seems to be activity than in nearby regions Do unemployment benefits relatively small.” where people averaged 10 to present a moral hazard? After the recession, most 20 weeks remaining — and a Economists have argued over states saw an increase in their whopping 108 percent more than this since its inception during the unemployment benefits, from in metro areas where unemployed Great Depression. a maximum of 26 weeks to a people had an average of 30 weeks “There's always a question in maximum of 99 weeks. Did these left. economic policy that boils down more generous benefits deter “This makes sense: if you're to the discussion of two competing people from working? getting close to the expiry of your forces,” Baker says. “One is the Through the Texas Workforce unemployment benefits, you'd

‘If you’re getting close to the expiry of your unemployment benefits, you’ll feel more pressure’ 100 feel more pressure to search for a job,” Baker says. The duo also crunched data across all American states, relying on the Current ‘NON-GEEK’ INTRODUCTION Population Survey, produced monthly by the Bureau of Labour TO GOOGLE TRENDS Statistics, to track the duration of residents' unemployment benefits By RICHARD THOMAS between 2008 and 2014. IN A NUTSHELL, Google Trends is a feature that shows how Then, by using the same frequently a given search term is entered into Google's search method they used in Texas, the engine, relative to other search terms or total search volume over a researchers found that every 10- given period of time. week extension reduced total The knowledge about what people are searching for, and how search activity — by employed and they are using Google — almost in real time — is largely of use to unemployed Googlers — by only internet marketers. If you know what people are searching for, you 1.5 to three percent. (After all, can make sure those terms are on your site. That's the basic thrust of people with jobs sometimes look Search Engine Optimisation (SEO). But it is also a useful indicator for a new one, too.) of public interest in topics and events, something that journalists AGGREGATE EFFECT can make good use of. Translated, the findings mean Often a news-worthy event will trigger a spike in popularity of “there is a moral hazard story to a search term. Consider the following graph of the popularity of be told here, but we also show that the search term “What is the EU” in the UK over the past five years. the aggregate effect seems to be relatively small”, Baker explains. “If you're looking to compare how much the overall increase in joblessness [during the Great Recession] could be driven by the increase in unemployment benefits, the answer is: very little.” In addition to shedding light on this economics question, Baker says the value of the GJSI extends well beyond job-search tracking. In fact, since the research was published, other academics have The highest peak is the week that the UK held its referendum on cited it “who aren't looking at job- whether to leave or remain in the EU, with popularity increasing in search data at all”. the weeks leading up to the vote. Rather worryingly, many were still Instead, they are looking to asking Google for an answer to that question during the two weeks use the same tool kit to develop following the referendum. other Google-based economic You might have seen the joke circulating about the PDF indices, including new ways to document being the world's fourth most-popular religion (type forecast consumer sentiment and “How to convert to ” into Google and the autocomplete suggestions economic uncertainty by tracking will almost certainly include both “Islam” and “PDF”, and possibly search terms such as “recession” Christianity and Judaism as well). and “bankruptcy”. Like pop charts, these things fluctuate over time. At the time of “This approach can be really writing, in December 2018, Christianity has fallen out of the chart useful for policymakers, because and PDF has leapt to second place – behind Islam. it can be much more local and granular,” Baker notes, “and they can access it without a six-month Winter 2018-19 Issue • www.bv.world or year-long lag.”

* This story first appeared Business Vision in Kellogg Insight.

101

Get on the road...

...with BV motoring .WORLD Make it quick: three letters are all you need to turn a Merc into a Ferrari-beater

ITALY is usually the first country had competition close to home to come up when conversation to inspire it to greater heights — turns to the provenance of The GLC63 heights which it has consistently high-performance cars — think hit. Maranello (Ferrari) and Bologna kicks out A 2019-model Mercedes (Lamborghini). AMG GLC63 S recently set a Stuttgart — where Mercedes- more than 500 Nürburgring lap record, the Benz parent company Daimler fastest SUV ever to blaze around AG has its corporate headquarters horsepower the 12.9-mile track. Mercedes- — is likely to come further AMG Development engineer down the list — unless the name Markus Hofbauer drove the car “Mercedes” includes the three at a blistering pace, trouncing magic letters AMG. the previous SUV record held the AMG has been providing Alfa Romeo Stelvio Quadrifoglio horsepower to the gentry since by more than two seconds. The the 1960s. Germany — with GLC63 is powered by a 4.0-liter such illustrious manufacturers twin-turbo V8, which kicks out as BMW, Porsche and Audi — more than 500 horsepower and is one of the world's luxury car gets power to all four wheels via a heavyweights. Mercedes-Benz has multi-clutch transmission.

Davocano / Wikimedia Commons

The first Mercedes to wear the AMG badge, the 1995 Mercedes C36 AMG 104 EurovisionNim / Wikimedia Commons

There’s nothing like owning a “sleeper” vehicle to bring the occasional wicked smile to a driver’s face

Still mentally stuck in Italy, AMG in 1990 signed a far- feature and fixture of Mercedes petrolheads? Hofbauer's lap in the reaching cooperation agreement Benz. GLC63 is quicker than times set with Daimler which allowed The ongoing benefit, for those by the Lamborghini Murcielago the company to have its cars sufficiently cashed-up, is a range and the Ferrari F430 (as well as serviced by, and its custom parts of outwardly “everyday” luxury Mercedes' own SL65 AMG Black distributed by, the Mercedes Benz roadsters that can carry families Series). dealer network. and even perform commuter AMG, a premier component of Four years later, Mercedes duties — yet blow futuristic, hip- the Mercedes Benz line-up, started debuted its own AMG-badged high supercars into the weeds. life as an engine tuning outfit set up car — the C36 AMG, with a 3.6L And there's nothing like owning in the small Baden-Württemberg straight six producing close to 270 a “sleeper” vehicle — an MMA village of Groẞapach. After the horsepower. Two years later, AMG fighter disguised as a librarian — company was taken over by was fully absorbed into Daimler to bring the occasional wicked Daimler in 1996, its centre stayed and massive speed became a smile to a driver's face. in Baden-Württemberg, moving to Affalterbach. With low compression ratios and over-engineered mechanical parts, Mercedes engines have been a long-time favourite of tinkerers — professional or otherwise. Tuning enthusiasts Hans Werner Aufrecht (A) and Erhard Melcher (M), from Groẞapach (G), started taking Mercedes Benz engines apart and reassembling them to blueprint spec and beyond to extract every last pony of power. Winter 2018-19 Issue • www.bv.world In 1965, racer Manfred Schiek agreed to give an AMG powerplant a spin — and won the next 10 races of the prestigious Deutsche Business Vision Tourenwagen Meisterschaft competition. The AMG founders got another big break when Mercedes put its monstrous 6.8L The Nürburgring, where dreams are made — or dashed V8 powerplant out to pasture. 105 .WORLD Petrolheads become E-heads as motor racing goes green

By RICHARD THOMAS such as the famous Monaco route “carbon free”. It all depends on IN RECENT years, the spectacle so beloved by F1 fans. For the first the source of the electricity used of 24 Formula One racing cars season, the cars were all identical, to charge the battery. But the real screaming around a circuit for two unlike F1, where each team advantage of an electric car is that hours, burning fuel and rubber designs and builds their own car, air pollution is moved from where in a howling haze of noise and and the engine is either built in- the car is to where the power is pollution, has become something house or bought-in. generated — poignant, given of an acquired taste. In the second FE season, that all the races are held in city The carbon footprint of there were several manufacturers centres. And if the power used moving the cars, equipment, offering motors and transmission comes from renewable sources drivers, mechanics, managers and systems, but the cars, the tyres and — solar, hydro or wind — then ancillary staff around the world the batteries were standardised the pollution has not just moved, every other week through the items. With the 2018-19 season it has been eliminated. Unlike FI season is attracting increased comes the introduction of a F1, the tyres last the whole FE criticism in environment- new “Gen2” car. Its top speed race — and they can be recycled conscious times. is 174mph — a significant afterwards. FE is working with Formula One (F1) is, and improvement on the 140mph battery manufacturers to find a always has been, the pinnacle reached by the original car. This solution to another question: what of four-wheeled motor sport. In is a way off the speeds of F1, but happens to the battery at the end 2011, Jean Todt, president of the it it's still impressive. The most of its life? They are repurposed FIA — the global governing body notable difference with the new where possible, recycled, or for motor sport — came up with car is down to battery capacity. safely disposed-of. All aspects of the idea of a single-seater motor In previous seasons drivers had the operation of the governing racing championship for electric to come in to the pits mid-race and body, the teams and their partner cars. He envisioned a parallel swap to a different car — batteries organisations are assessed, and category, to exist alongside F1, just couldn't go the distance. With a sustainability report published not replace it. the new set-up, that limitation has every season. September 2014 saw the been eliminated, along with a Perhaps the most unusual inaugural race of Formula E (FE slightly tedious aspect of electric measure, made possible by for the purposes of this feature). racing for the fans. the city-centre venues, is that Unlike F1, which usually takes In environmental terms, FE has spectators are encouraged to use place on racing circuits, all the FE lived up to its early promise. An public transport to get to events, races take place on street circuits, electric car in itself isn't necessarily with no public parking available.

FIA Formula E

The 2018-19 season has seen the introduction of the Gen2 car, with a top speed of 174mph 106 FIA Formula E

FE investor and ex-F1 World Champion Nico Rosberg was the first driver to test the Gen2 car in public

Those who have spent many hours marketing tool. The sight of your driving factor, if you will pardon the in traffic jams trying to enter (and company's logo televised flying pun, is the recent announcement leave) Silverstone or Montmeló across the finish line, or on the by the UK government of plans will find this one of the strangest overalls of the drivers spraying the to ban the sale of new petrol and characteristics of the new formula. champagne, is worth millions to diesel vehicles — at least non- As well as “green” initiatives, your sales figures. Secondly — and hybrid ones — by 2040. such as renewable power and more of a long-term investment Electric vehicles are, without reduction of waste, social benefitting the whole industry doubt, the way ahead. responsibility is central to the At FE's inception, diehard nascent sport. FE engages with racing fans greeted the new class the community in all its host Electric with incredulity, never believing cities, working with NGOs, that an electric car could replace schools, universities and local vehicles are, their beloved F1 chargers. Some institutions. In their own words pundits suggested that it would be they “especially believe in the akin to racing milk floats. But with importance of young people's without doubt, drivers like Brazilian F1 veteran education as key to empowering Felipe Massa going electric, are them, with solutions to choose the way ahead the two classes now heading for to live more sustainably in the equality? Massa joins other ex-F1 future”. They have also started to — many of the technological drivers lining up on the FE grid implement the UN's Sustainable advances in road-going cars have for this season — including some Development Goals. In July 2018, trickled down from motor sport. star names who should entice a FE was the first category in motor Clutchless manual transmissions, following of fans to the newer sport to earn the ISO 20121 ceramic brakes, advanced formula. As Massa recently told Winter 2018-19 Issue • www.bv.world certification, the international aerodynamics, materials like BBC Sport, “I think what makes standard for sustainable events. carbon-fibre bodies — even the things interesting in FE, and I And in October, the FIA renewed humble rear-view mirror — all really hope it happens with me, is FE's accreditation against its own came from motorsport. that many drivers are able to win Business Vision Environmental Certification Most major car manufacturers the race.” Framework. are now developing electric cars, No more domination of From the point of view of the and technology to improve them the sport by one driver, like manufacturers, F1 has always will probably spring from their Schumacher, Häkkinen or Vettel? had two purposes. Firstly, as a racing counterparts. Another Count us in! 107 .WORLD Crobba-crobba crotch rocket takes performance to new (possibly ridiculous) levels

By HAL WILLIAMS delivered through 56mm oval DUCATI, the Italian motorcycle throttle bodies. manufacturer known for its It conforms That V-4 powerplant is held raucous and racy V-twins, has in place by the same front taken a new tack with the Panigale to Euro 4 frame structure developed for V4 R, a 998cc, four-cylinder the Panigale V4 S, machined to machine that can flatten your emission reduce weight. The road-racer has eyeballs with the twist of the wrist. conventional Öhlins suspension: With a claimed 221 horsepower standards a gas-charged, titanium-nitride- and a weight of just under 190kg coated 43mm fork with fully — in street-legal spec — this adjustable separate functions for is a bike created to be a WSB generates 221 hp at 15,250 rpm each leg. At the back is an Öhlins contender — straight out of the — and yet it conforms to Euro 4 TTX 36 shock. Trimming the box. emission standards. flab, and easing the work in the The engine is a development Fit the optional Akrapovic bouncy-bouncy department, are of the unit that powers the Ducati exhaust system, and power climbs forged aluminium wheels. Desmosedici GP racer. The to an unreasonable but inspiring Ducati's electronic wizardry original Panigale V4 unit was 234 hp. In street-legal trim the includes cornering ABS EVO, de-stroked, keeping same bore. V4 R offers peak torque at 11,500 Ducati Traction Control (DTC) Titanium connecting rods are rpm, 3,750 rpm below peak power. EVO, Ducati Slide Control (DSC), used to keep everything together The red beastie inhales and Ducati Wheelie Control (DWC) in an engine that can be pushed exhales gas via 34mm titanium EVO, Ducati Power Launch to a heady 16,000 rpm. inlet valves and 27.5mm steel (DPL), Ducati Quick Shift (DQS) The Panigale V4 R unit exhaust valves, while fuelling is EVO, and Engine Brake Control

This is a bike created to be a WSB contender — straight out of the box 108 A stunner as well as a runner, the Duke’s muscular presence will ensure it’s noticed

(EBC) EVO. Make sure you hit cooling, with more air passing front wheel on the road — and the right button. through the radiator. Braking it sure is pretty. The fuel tank is Three pre-set ride modes are is handled by Brembo Stylema aluminium. And why not? Throw provided: Race, Sport, and Street. front radial-mounted four- the cat another canary: all the Instrumentation is the same as on piston calipers. An aero package stops have been pulled out on this the Panigale V4, with a few new features a taller windscreen and beauty. functions, including a new Pit downforce-producing winglets. We here at BV are betting that Limiter function and a Lap Timer Do we need to mention that even in Street mode this one is, er, GPS featuring segment time, rpm, it's beautiful? The fairing includes intimidating. speed, and lean and yaw angles. downforce-generating wings that Can we have one for a road- Redesigned side vents increase produce downforce to keep the test, please…? Winter 2018-19 Issue • www.bv.world Business Vision

Six letters that promise two-wheeled excitement: D-U-C-A-T-I 109 .WORLD Robotic back-seat driver bid meets opposition from Acea

A EUROPEAN Union safety The Guardian newspaper. technology proposal which could Amendments to proposals before theoretically save lives is being ‘Lives could be the EU are now being proposed fought by car industry lobbyists, by three MEPs. according to news reports. saved with the Industry observers have The European Automobile labelled the opposition move Manufacturers Association (Acea) tougher of the “worrying”, and say lives could be opposes a bid to bring in ISA saved with the tougher of the ISA (Intelligent Speed Assistance) ISA controls’ controls. technology that automatically Acea's website claims that “ISA reduces car speeds to road limits. technology holds promise for the Acea instead favours another the car through GPS technology future” but acknowledges that acronym – SLI (Speed Limit and navigation, and cross many motorists will not accept the Information) – which merely references a digital map with Big Brother intervention. sends drivers a dashboard warning speed limit information for ISA is already fitted to some that the limit has been exceeded. each road. The technology can Ford cars, according to the report, ISA can be fitted with a speed physically prevent the driver from but it can be manually over- limiting function, which requires exceeding the posted speed limit ridden. increased pressure on the by reducing the throttle signal ISA is one of 16 safety measures accelerator to exceed the posted going to the car's computer. in the EU general safety regulation speed limit – making it harder to Acea terms SLI an “effective aimed at cutting road deaths by accelerate. alternative” in its lobby material, 25,000 – one year's death toll at It determines the location of according to a report in Britain's present – over a 15-year period.

The technology can physically prevent the driver from exceeding the posted speed limit 110 Successful traders don't follow the pack, they time their trades perfectly and possess strong trading psychology.

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