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Disposable incomes at the lowest – 2011

Disposable incomes are at the lowest in 2011 rightly so because of the economic downturn. The world has experienced one of the most prolonged economic unrest of our generation right from 2009 to 2011; witnessed through street riots and civil unrest globally.

The unprecedented job cuts in all major world economies a testament of this; resulted into reduced government spending and conservative fiscal policy measures to counter act the escalating prices of commodities. For the first time in over a decade economists are unsure of any one solution to this problem. This has not been helped by the wide spread corruption claims and decay of the moral fabric of societies across the board.

Capitalistic tendencies have borne greed and selfish designs among populations without much care for the society and/or their environs. Today individuals live extravagant lifestyles. More than ever before society is engulfed in debt; household’s disposable incomes have reduced drastically and integrity is a thing of the past. Little care is given to the values that once guided our society or were the epitome of good livelihoods.

Yet we push our responsibility to world leaders and governments choosing to ignore the fact the governments are made by the general population without which there are no governments. Our choices are ours and not governments; our poor choices have led to undisciplined lifestyles. Disciplined lifestyles are normally a result of proper money management. Robert Kiyosaki in his book “The Conspiracy of the Rich” puts it clearly; the new money is knowledge about how money works.

It all starts with setting the right goals irrespective of the income levels; these goals determine the choices the individual makes on the lifestyles. Asking the right questions and seeking the right answers is key for example “Are you honest with you goals?” “Do you appreciate the sacrifices you have to make to achieve these goals?”

To turn around a bad situation one must first appreciate and acknowledge their current position and make a deliberate effort to transform for the better. It requires visualizing and working towards a better future notwithstanding acceptance of our part and responsibility in all our life’s choices.

Eventually, individuals will see the importance of turning those personal goals into corporate goals and action points if they will to improve their situations by scaling up assets over a determinable future. Economics have predicted that it will get worse before it gets better however in a market filled with speculators no one is willing to risk their life’s savings into believing what sales men are selling today at our door steps all around us.

Yet again who is not; we have to keep awake sieving everything around us. It is still the best time to increase your investments they say and grow your portfolios. The real question is can you trust anyone today with your money? Do we still have honest investment advisors today or do we have sales men willing to make a quick kill off our hard earned bucks? Who will you trust your guts or your investment advisor? I choose to pump additional funds into my portfolios because I accept and appreciate the choices of my decisions.

Invest wisely!

Arthur KALIISA

What I confess with my mind

The greatest manual of all time puts it very clearly, what you confess with your heart and mind will come to pass. At first this is very difficult to comprehend considering there is not much to relate to in our physical realm especially as it is got to do with the unseen aspect of the being.

In most of our work life the challenge has always been getting the balance between family, career aspirations and/or money management. So many times the talk is get another job paying more so we are able to maintain a favourable lifestyle but also set aside funds for the future. I know that many of us identify with this and also we know that the laws of life do not work like this.

In all my work life of more than five years I noticed this chronic failure to set aside funds and the excuse is universal to most that belong to this endowed State. The general feeling has been make more money to set aside more better still some feel that it is impossible to set aside funds now given the ever increasing and competing demands. It is also not hard to find some who feel that you need to save more than 20,000 and/or $9 to be effective.

Until recently, the idea of setting aside funds was very elusive with every excuse popping up why I couldn’t do this. Then it occurred to me that we can all do this if we appreciate the advantages over the long-term and this starts by making a deliberate effort to do it in small amounts.

Once the mind appreciates the eventual benefit the next step is the actual implementation which entails instructing your bankers to set aside funds UGX50, 000 or $20 monthly into an investment account. There is a lot of work involved before hand and researching available products is important.

Not all products in the market will give you a favourable return on investment although all are appealing. The Stanbic bank sure savings account has a return of 3% monthly and a lot many other products exist in the market. The catch here is that most of the savings accounts in the market have a 6% annual return which is overrun by the same margin in operating charges. The African Alliance unit trusts of more than 9% return on investment is by far the product with highest return but also a product with the minimal investment requirement of UGX50, 000 or $20.

Now I fully understand what the best manual in the world means by “if I can trust you with little then I can trust you with much!” All we need to do on our part is to manage the little in our reach. A story is told of a colleague who applied for a loan only to leave it lying on the account hoping that this will result in increased incomes in form of interest earned.

Remember the parable of the talents; we need to be careful not to leave our funds lying on some account not invested in anything. It is possible to set aside funds for the future no matter the income you are earning today and it starts with the mind. Change your thinking today and plan this over the long-term like say UGX80,000 for the next 53 months in a product that is apart from your usual operating account.

The results of your planning and deliberate effort will surprise you!

Arthur KALIISA

How did I get here?

The year 2010 has been a tough one of them all. It has been mostly challenging for the family in our walk with Christ. It is harder to trust the Lord when everything around and about you seems to be going out of control.
I kept asking the Lord where I went wrong in my money management. Equipped with all this knowledge on the subject yet very ignorant on its implementation, we kept moving from one financial whelm to another.
I actually felt the Lord depart from my life completely because I was empty. Most of relations seemed distant my fault entirely as I was overwhelmed with the domestic woes in the money management department.
I was losing control of my financial matters and was slowly drifting further away from his presence. Sadly this was taking a toll on the family as well. Was I still sane or was I already losing my mind?
I have learned more lessons in money management this year than any period my entire life. Not disregarding the fact that this is the same year I earned more income than any period my entire career. But debt has been an avid visitor with monies lost in bad business deals and unthought-of decisions.
There are three facets of money management which include me, money and the merchant. I can only manage me and these lessons came handy during this period.
Previously I postponed savings citing insufficient funds in the wallet and now the wallet was under attack and I felt helpless. Not even my vast experience in financial management would get me out of this hole I was falling into.
In managing me, my attitude, behavior and choices with money were brought to question. Our attitude with money determines our behavior and choices we eventually make in life. I lost my calm as the storms were great to ignore.
The behavior change starts with the small things. Doing away with impulse purchases and making a deliberate effort to pay off debt. In my dreams I cut debt by 50%, reduced impulse purchases by the same margin and completed construction of our castle by the end of the year. It is true what they say about dreams; they are like steps leading to a place of promise. We only need enough hope to have dreams.
Our dreams are our new year’s resolutions set at the beginning of the year and/or goals that we set at every birth date like one of my friend boasts. Thank God for these dreams, it doesn’t matter whether it comes at the beginning of the year or at every birth date. Dreamers help us find direction even the greatest manual of life mentions in Proverbs.
As the year comes to an end I have learnt my lessons and I thank God for those challenges. It is now time for us to start dreaming again. It is better to have dreams and fail to achieve than have none at all but achieve with great “measure” this path leads to nowhere.
No amount of knowledge will substitute God. An ungodly man and/or woman will lose direction as every path leads somewhere. During this time I made the most courageous decisions and I am confident I will profit from them. The bible is clear what will it benefit a man if he gains the whole world but lose his soul. I feel like I have both.
Everything in life is a choice to save or not to save. I have made a choice to dream and in my dream my income has increased by 150%. I see my savings increasing from 10% of gross income to more than 15% of gross income. I see myself as a finance manager of some big enterprise in Uganda or overseas I guess that is me I am a dreamer.
My ultimate dream is that the Lord will bless the works of your hands and his favour will follow you as you dream into 2011. Our best wishes for the New Year which is only 2 months away and happy dreaming!

AK

Motivating people to perform optimally requires more than a paycheque

Many managers attempt to motivate employees by using rewards as their motivational scheme but this can be complex because every reward has it is desired effect. Reward programs can go wrong and serve as punishment. Especially during reward ceremonies where a few are, honoured leaving those not acknowledged discouraged.

Managers should make sure that rewards are timely, are satisfying and tied to quantifiable results. As a result even small rewards can be used to aid employees overcome some of the most thoughtful and unrelenting problems.

The thought behind an incentive carries symbolic importance and taps into a variety of social forces that carry a lot of weight in the minds of the employees. Managers should reward small improvement in results. Employees would appreciate more praise.

Managers should set performance goals in the lagging areas of employees to reward improvements in vital areas along the way. Although the starting point of motivation in the work place is money, extensive studies have shown that money is only part of the motivation equation. Money is a poor motivator hence the limitations associated with most pay for performance schemes

Money still occupies a major place in the mix of motivators. The sharing of organisations profits gives incentive to employees to produce quality products, perform a quality service or improve the quality of a process within the organisation.

What benefits the organisation directly benefits the employee. Money is effective when directly tied to employees’ accomplishments. However, if not coupled with other non-monetary motivators its motivating effects are short-lived. It can also prove counterproductive if not made available to all members of the organisation.

Employees in occupations characterised with low pay such as cleaning and childcare tend to exhibit high levels of motivation, commitment and job satisfaction than other higher paid workers. The motivation of the cleaners and childcare employees lies in self – identity – how an individual sees expresses themselves and the values possessed.

Managers, who recognise the small wins of employees, promote participatory environments and treat employees with fairness and respect will lead to more highly motivated employees.

Motivation therefore involves self – management, as employees are motivated to engage in behaviours that support ideas that employees have of themselves. The goals and behaviours are strongly organisation related for those whose identity revolves around work.

Managers do not need expensive training programs or complex compensation plans to connect people to what really matters to them. Instead, they need to create a sense of oneness by sharing what they know about the organisations business plans.

It is important to know what motivates each employee. This can be determined by observing the level of enthusiasm and interest in various parts of the project and the desire to lead the team. The manager can then adapt the communication style and recognition system to each employee’s intrinsic motivation.

Once the manager understands each career anchor, they can determine the one that fits each employee on the team. People who work for the organisation must communicate what matters most to them and the manager must continually ask for this information.

The work related behaviours of the employees whose identity lies outside of the work; are more concerned with economic survival and pursuing work related goals. The cleaners and childcare employees have the motivation and effort aligned to the goals outside work such as family relationships.

Employees not always aligned to the interests of the organisation and therefore managers accept and should see motivation as something that is highly individual. People stay with organisations largely because of the quality of the managers.

When people see the purpose of what they do, they stay at the work that are intellectually stimulating and/or personally rewarding. The manager needs to challenge the people to meet the goals and exceed them.

This entails recognising the talents and strengths that employees have to offer and leveraging them to maximise their potential. The manager needs to identify skills, abilities and knowledge the employees need to do the job well and feel personally satisfied and develop those skills and abilities.

The manager should also allow employees to use their strength while they are learning to modify the skills needed to excel in performance. Managers should reward them for positive actions; support them through the learning. The manager should commit to the role of the leader with patient guidance, direction reinforced with positive regard.

Most employees interact with customers in some manner. The manager should recognise them in front of others and model recognition and praise so that the team members embrace using this skill with others.

Inspired enthusiasm spreads from employee to employee and to the customers and industry. The team members should know that they work for an organisation that allows them to be authentic.

The manager should enforce the success through verbal praise and recognition. Without recognition, the manager will drain the excitement, commitment and joy of the employees making the manager’s job harder.

Teams work together when they decide what good performance looks like and identify specific goals, actions, and measurement to access success. The manager should use their collective intelligence to allow them to make decisions that best serve the interests of the organisation.

The manager should use the abilities of team members to delegate, challenge and motivate the team. The manager should allow them to lead from where they are which will positively affect others and their performance will excel.

Good organisations set high standards for the employees and are flexible about how the people can meet them. Output of the work left to the discretion of the employees.
Managers should also be readily available this is what differentiates successful organisations from those that are not.

A worker should feel personally responsible for a meaningful portion of the work accomplished. An employee feels ownership of and connection with the work they perform. A successful effort fosters awareness in an individual that the contributions are important when accomplishing the tasks.

The outcome of the employees work must have value to them and others in the organisation. A constructive, believable critique of the work performed is crucial to a worker’s motivation to improve.

The most effective rewards such as letters of commendation and time off work enhanced personal fulfilment and self-respect. Over the long-term sincere praise and personal gestures are far more effective and more economical than awards of money alone. A program that combines monetary reward systems and satisfies intrinsic self-actualising needs may be the most effective employee motivator

It is my privilege to share my personal faith statement with you.

I believe in God the Father, the Son and the Holy Spirit as revealed in the Bible. I have experienced the grace of God in my own life which serves to strengthen my faith in my loving God. I believe that heaven and hell are real. I also believe that God is a just God and in his justice he must punish sin.
I believe that God gave his Son, Jesus Christ, into the world to redeem those who are lost. I believe that Jesus accomplished this redemption through his death for sin, resurrection from the dead and ascension into heaven as a guarantee that all will one day be raised from the dead and stand in the presence of God.

Managers can make people responsible for whole business processes

Employees are empowered with the knowledge of what it takes to run an organisation, how to analyse organisational data and make decisions, and given responsibility it helps organisation’s compete in today’s lively and unpredictable marketplace by getting everybody on the payroll thinking like business people, owners rather than like hired hands.

The practitioners tend to expand with strong beliefs about this management model believed to be the key to organisations competitive advantage in the marketplace. This credited with changing employee attitudes, building trust and even reducing stress.

People act in a different way and think in a different way because the link between employees and the organisation are fundamentally changed. If any employee makes a bad decision, the effects on the bottom line are right up where everybody can see them and react accordingly.

The workforce understand why they are being called upon to solve problems, cut costs, reduce defects, and give the customer better service and they have a reason to do so. Every employee sees and learns to understand the company’s financials, along with all other numbers that are critical to tracking the organisations performance.

Training courses and regular meetings teach every person what they mean. So employees know whether they are making money, how much and why.

Employees learn that, whatever else they do, part of the job is to move the numbers in the right direction. Sales people and/or otherwise are part of the organisation and are accountable to one another for the unit’s act.

Managers who motivate their employees to excel, their energy and creativity wave across the entire organisation. People feel fully engaged in the work and inspire others to focus on possibilities instead of problems.

People feel responsible for entire business processes not just the tasks. The manager clarifies the organisations fundamental objectives and demonstrates ways to measure a goals progress.

People challenged to identify opportunities to leverage existing knowledge and make sure they understand how all of the organisations contrasting parts work together. Employees have a direct stake in the organisation’s achievement.

If the business is profitable they get a cut of the action and if it is not they do not. People are educated to quit thinking of themselves as hired hands and to start realising that they are businesspeople.

The employee’s job security, the chances for advancement, the hopes for the future all depend on the organisation’s success in the marketplace and each employee’s contribution to it. Workers asked how to boost profits and they figure this out by themselves.

Employees turned into businesspeople experiencing the challenge and the sheer fun and excitement of matching intelligence with the marketplace, adding together, and sharing in the proceeds. As Bob Frey discovered, there is no better motivation.

However, Frey says he still needed a better product strategy and better marketing as well as better people management. No company can succeed without good leaders, adequate financial resources and the ability to deliver a combination of price and value that appeal to customers.

People should commit themselves to more than just the job

Employers and employees share three core performance expectations, which include being the best. This involves assessing the attributes of personal success that are determined by self awareness and the choices the people make in order to come to terms with the positions, what to offer and where to go in the work life.

This requires explorations of beliefs about work, the motivation to succeed, and how best to use the resourcefulness and perception and tap into the vigour and belief. Both employee and employer have to clarify the roles played at work, learn to adapt to change and create outcomes and lifestyles desired.

Some people seek to keep informed about what transpires in the organisation, assess the options, and take practical approach to be part of the change. To be the best simply means that the best way to cope with change is to foresee and move along the path so that the employee gets the better jobs.

Getting along with others is the behaviour and skill that enhances communication and relationship with people in terms of how behaviour is professed by both employees and employers.

Developing trust, enhancing listening and developing relationship when communicating, setting the stage for dealing with differences and conflicts are as important as presenting the employee and/or manager assertively when working with the team. This means to take advantage of unique opportunity to interact with a diverse people.

The workplace, on a daily basis, puts people in situations to work together and bargain with people with varied styles and competencies. People also confront the prejudices, biases, and resolve conflicts of communication and perception. This challenges people to maintain reliability while collaborating and teaming with others.

Contributing to the organisations success focuses on the organisational dynamics that create and support a productive work environment. People determine where they fit into the organisations big picture. People learn how to work in a team, understand how the organisation evaluates the bottom line and determine how to add value and develop an approach to being a leader.

The greatest workplace challenge is determining how to find meaning, value, and reward the work people play in the organisation. Unclear levels of authority and decision-making may create confusion regarding the contribution by the people.

It is essential for managers to clarify what people are supposed to do, need to learn and how results measured in order for people to work with knowing that they add value. They employer should also work towards helping employees learn how to deal with possible ambiguous and changing expectations.

When a manager give employees more responsibility and decision – making authority the ream of control increases over the tasks for which they are held responsible and better equips them to carry out the tasks. Feelings of frustration arising from being accountable for something employees do not have the resources to carry out diminish. Energy diverted from self –preservation to improved task accomplishment.

The power to create motivates employees and benefits the organisation in having a more flexible work force , using more wisely the experience of its employees, and increasing the exchange of ideas and information among employees. This creates an openness to change that can give an organisation the ability to respond quickly to market changes and sustain a first mover advantage in the marketplace.

Organisations motivate employees to achieve more by committing to perpetual enhancement of employee skills. Employees’ attitudes towards the client and the organisation improved while bolstering self- confidence. The body of the knowledge attained can be applied to the work to be accomplished this is worthwhile for both the employer and employee.

Through the exploration of these organisationally focused dynamics, people discover a deeper sense of individual purpose and meaning , for these ingredients comprise the dimensions of personal empowerment – the self-belief ,know-how, and dedication that promote within each of the people a sense of contentment and accomplishment in the work life.

Managers can help the people demonstrate personal qualities

Talent is meaningless if the manager cannot motivate people to produce their best work ever for the manager and the team now. Inspired people live up their full potential and organisations thrive. There is a positive shift in the work environment and the resulting culture boosts morale and productivity.

People come up with new ideas about how to solve the organisations most pressing problems. They get along well and collaborate in teams to create new ways of doing things that can transform the market place for the products and services.

Motivated people work with boundless energy, giving their time, enthusiasm and drive to forward the organisation mission. People will remain steadfast and loyal during challenging times because they take pride in their work and feel responsible for the organisation’s future.

Managers whose employees exhibit such behaviours where such energy is evident only great things can happen because this is the ideal work conditions. Many people today look to their supervisors to supply the inspiration for becoming fully engaged in the work they do.

Managers should be the ones to show the organisations how important work is for success. Managers should have meetings and seminars with the employees where they can ask questions, listen to seasoned professionals and look at actual graphs of the organisation’s growth.

Motivation sparked off when people know that they make a difference. Reminding employees constantly that quality work produces quality results helps them work harder.

Managers should stick to the goals and schedule made. They should keep a strong work ethic and the employees will notice the work that the manager does. The example will reflect in the work of the employees and the pride that they take in the quality of work they do for the manager.

Trust based working relationships are an important source of the managers’ sustainable competitive advantage for the organisation over its rivals. The level of trust a manager is able to earn from the employees is dependent upon the employee’s perceptions of the managers’ talent, goodwill and reliability.

People must strengthen flexibility and adaptation skills to become resilient. As people enhance the personal resilience, the ability to apply it to business situations also improves.

Highly effective managers are able to paint an optimistic and attainable view of the future of their followers; they help people see how things are done better. Optimism is one of the key things people need from their leaders’ in order to achieve positive results.

The workplace burnout has inertia. This is inevitable if the manager does not actively prepare for and prevent it. The only way for the manager to intervene is to invest energy and resources to stop or turn the inertia away from the workplace.

The manager should keep the work place satisfying and rewarding in order to keep the good people engaged and working hard which requires the manager to be an active participant in determining the course the work environment headed.

Exemplary leaders have unwarranted degree of optimism and that helps generate the energy and commitment necessary to achieve results. On the other hand, pessimistic individuals can have a negative impact on an organisations creativity and innovation. Innovative people are open to new ideas, wide open to seeing possibilities, willing to take risks and encourage others to take risks – willing to challenge the process to create new solutions or products or improve processes.

Who am I? What is the meaning of life?

The persons personality and purpose in life are defined when they can identify who they are and their purpose in life. Every New Year come new resolutions which never get fulfilled as goals and aspirations are in vain. It is no wonder that discouragement results as these dreams remain unfulfilled.

The endless soul searching, pursuance of knowledge and understanding only leads mankind to a path of destruction that feels the void created from the emptiness that results from achieving materialism and the ultimate prize presumed to come with knowledge. In deed there is a path that seems righteous to men but leads to destruction that explains why there is so much hate in the world.

For most of us the answer lies in the bottle, money and what it can buy, women, drugs and wherever we can find solace. For others it is in some divine being or god and for most religion has filled the void for centuries.

Why are there so many deaths? Mankind has been involved in the search for answers with all the hype of world peace among the most influential nations. The great manual of life states that there is a path of righteousness that leads to destruction. The answer is in the soul and we need no teacher but seek the great teacher’s guidance to bring us understanding and knowledge as we read this great manual of life. It is written in this great book that we need to seek first the kingdom of God and all others shall follow.

Great men have fallen because they have lacked knowledge and have sought demands of the flesh which are driven by aspirations and greed. Again the greatest teacher advised that what it would benefit a man to gain everything in the world yet loose his soul. Christ demonstrated that purity of the soul is revealed by our compassionate acts to those in need. He was not only a great orator but also taught with great passion that is lacking in today’s professional.

Today’s professional is compromising and hungry for wealth. They will do every thing to enrich the ego and grow the sphere of influence. We have sought to idolise money and all the evils that lead to the path of destruction only to protect our pride. There is a power that seeks to make all others needy and dependant and as they become more powerful.

Family has not been spared either; our inclination towards family if not balanced might lead to the same path of destruction. Jobs family asked him to denounce the name of God just to protect wealth. So what is the ultimate purpose of life? If only we could acknowledge God in all our ways because all others are in vain if he is not with us. Pursuance of selfish ambitions only fills the individual with exhaustion and frustration and an emptiness that can not be defined. No wonder people are prone to drunkenness and drug abuse when this occurs.

Our contribution in life is determined on how well we respond to the needs of those that are needier than us. It is what defines who we are and brings meaning to our life’s. Great battles are won by individuals who understand this concept as it starts with wisdom that only God can provide.

This battle of life is never ending because there will always be those that are needier than others and the void will always exist answers will be sought and that is the cycle of who we are.

Talent is meaningless if the manager cannot motivate people to produce their best work ever for the manager and the team now. Inspired people live up their full potential and organisations thrive. There is a positive shift in the work environment and the resulting culture boosts morale and productivity.

People come up with new ideas about how to solve the organisations most pressing problems. They get along well and collaborate in teams to create new ways of doing things that can transform the market place for the products and services.

Motivated people work with boundless energy, giving their time, enthusiasm and drive to forward the organisation mission. People will remain steadfast and loyal during challenging times because they take pride in their work and feel responsible for the organisation’s future.

Managers whose employees exhibit such behaviours where such energy is evident only great things can happen because this is the ideal work conditions. Many people today look to their supervisors to supply the inspiration for becoming fully engaged in the work they do.
Managers should be the ones to show the organisations how important work is for success.

Managers should have meetings and seminars with the employees where they can ask questions, listen to seasoned professionals and look at actual graphs of the organisation’s growth.
Motivation sparked off when people know that they make a difference. Reminding employees constantly that quality work produces quality results helps them work harder.

Managers should stick to the goals and schedule made. They should keep a strong work ethic and the employees will notice the work that the manager does. The example will reflect in the work of the employees and the pride that they take in the quality of work they do for the manager.

Trust based working relationships are an important source of the managers’ sustainable competitive advantage for the organisation over its rivals. The level of trust a manager is able to earn from the employees is dependent upon the employee’s perceptions of the managers’ talent, goodwill and reliability.

People must strengthen flexibility and adaptation skills to become resilient. As people enhance the personal resilience, the ability to apply it to business situations also improves.

Highly effective managers are able to paint an optimistic and attainable view of the future of their followers; they help people see how things are done better. Optimism is one of the key things people need from their leaders’ in order to achieve positive results.

The workplace burnout has inertia. This is inevitable if the manager does not actively prepare for and prevent it. The only way for the manager to intervene is to invest energy and resources to stop or turn the inertia away from the workplace.

The manager should keep the work place satisfying and rewarding in order to keep the good people engaged and working hard which requires the manager to be an active participant in determining the course the work environment headed.

Exemplary leaders have unwarranted degree of optimism and that helps generate the energy and commitment necessary to achieve results. On the other hand, pessimistic individuals can have a negative impact on an organisations creativity and innovation.

Innovative people are open to new ideas, wide open to seeing possibilities, willing to take risks and encourage others to take risks – willing to challenge the process to create new solutions or products or improve processes.

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