Before any of you jump to the wrong conclusion, allow me to use an analogy to illustrate the situation: I love coffee so much, I start my day with coffee and I typically have four cups throughout the day. Thus when I look for a place to stay on AirBNB I always make sure that there is a coffee machine. So you can imagine my delight when I walked into my AirBNB in Germany and saw not just a coffee machine, but a drawer full of coffee pods with different flavours. The small apartment was pretty ordinary but I still gave them a fantastic review because it was an all you can drink coffee buffet for me there. Now imagine if I was traveling with friends who don't drink coffee, then they wouldn't have been as impressed with that AirBNB place in Germany since they would have just ignored that coffee machine. So in this case, since the Chinese client speaks English fluently, that company probably didn't place any priority on my company offering them a Mandarin-speaking relationship manager to translate everything into Chinese for them. In fact this tends to happen a lot in the UK when I meet people from China, they almost always prefer to speak to me in English - maybe it is because they know Mandarin isn't my first language (and I am obviously more comfortable conversing in English) but also because they are proud of the fact that they have mastered English to a very high standard. So even if I said something to them in Mandarin like, "你读了这份报告吗?" They would reply, "sorry, not yet but I promise you I will read it this afternoon." Thus if the Chinese client is quite happily dealing with us entirely in English, then whom am I to barge in and say, no no no you must let me explain everything to the Chinese client in Mandarin instead of English - nah, I know when I am not needed.
There's also a part of me that doesn't want to do the obvious; it is boring to be obvious and predictable. Imagine if you're watching a movie from the UK or USA, there is a token Chinese character and you will roll your eyes if that Chinese character is Mr Chen who works at the local Chinese restaurant. When he speaks, he has a comically strong Chinese accent and then we meet his geeky daughter who wears thick glasses, she is a straight-A student who stayed at home to do her maths homework rather than go to the prom.Yeah, I cringe when I see such stereotypes of Chinese people when portrayed in Western media and of course, those stereotypes don't apply to me given how I am totally Westernized. When I am in the office, I don't like to take conference calls at my desk given how busy my office is; I often use this area in the building known as 'the study' - it is communal area with desks and chairs where people can work and I am often the only one in there doing my conference calls. So today, I saw this guy (let's call him Mr Red as he was in a red sweater) in the study, I've met him a few times before in the building. I told Mr Red that I had a Zoom call starting in five minutes and I was really struggling to find a quiet place to do the call, would he mind if I did my call in the study with him? He said it was fine, as long as I didn't mind him being in the room. That call was with two of my clients in Peru - so when I started speaking to them in Spanish, you should have seen the look on Mr Red's face when he heard me chatting to my clients in Spanish. He did a double take as it was not what he was expecting at all, so I looked at him and gave him a smile as if to say, "oh I bet you weren't expecting that, were you? I bet you were expecting me to speak in English or Mandarin, but not Spanish." I do like surprising people by not doing the obvious. It is way too boring to be so predictable.
Now you may be wondering, isn't it so much harder for someone like you to try to pitch a company in Peru or Benin instead of Singapore? Is this extra effort worth it just to make a point that you do not conform to stereotypes that people may have when they see your Chinese face? Actually I have tried pitching some Singaporean companies and there is a misconception that Singaporean companies would be more receptive to me and want to do business with me. I've written a blog post a while ago about how I blamed myself when a deal I had set up between a Singaporean company and a Belgian investor fell apart because I didn't manage the Singaporeans involved. Oh there was nothing wrong with the deal, the Belgians were ready to invest but wanted to get to know the Singaporeans involved a bit better through a Zoom call and the Singaporeans were paralyzed by fear at the prospect of having to be social with a bunch of Angmohs they had never spoken to before. It all fell apart when the Belgian investors thought that the Singaporeans had something to hide and were not forthcoming with information whilst I tried hard to explain that these Singaporeans did actually fit the stereotype of socially inept Asian geeks who were brilliant at maths but can't do small talk. The fact is I have no advantage when it comes to dealing with Singaporean companies for three reasons: the companies in Singapore don't care where I am from, they care about the quality of the product. Secondly, the language of business in Singapore is English which again, leaves me with no advantage as the polyglot. Finally, Singapore is a highly regulated, crowded market for my company's product and that makes it a tougher market to crack compared to other less crowded markets.
There is a also very practical reason why I don't want to target markets like Singapore or Hong Kong given that I have to achieve results quickly so I simply pick the lowest hanging fruit. However, in order to pick the fruit in Peru and Benin, one needs to speak Spanish and French. A long time ago, I received this rather bizarre question on my blog from a Singaporean guy who was asking the wrong question: this guy was a cook and he wanted to know if his ability to speak Mandarin would give him any advantage in the West when it came to working as a cook in a place like London? I had to tell him no - I'm not saying that Mandarin is a useless language to know, but you need to be in a customer facing role, dealing with Mandarin speaking people from places like China and Taiwan. A cook works in the kitchen, thus even if there are Chinese speaking customers, the cook doesn't leave the kitchen and speak to the customers in the dining hall. So no, given his job, his ability to speak Mandarin is not useful at all for him to get a work permit here in the UK. This scenario reminds me of a British TV programme called Antiques Roadshow - essentially a panel of antiques expert would show up at an event in a different town each week and the locals would bring an item to the panel to evaluate. "This vase belonged to my grandmother and she passed away last year. She used to live in France and brought that over with her when she married my grandfather after the war. So what is it worth?." The production team will make sure that at least some of the items on the episode are quite valuable whilst others are going to be worth very little. It can be very cruel but it can make good TV when we see the disappointment on their faces as they're told their item is actually worth very little.
So this cook in Singapore was like the woman who brought her late grandmother's vase to the panel in that episode of Antiques Roadshow, "please tell me I am sitting on a small fortune here and that what I have is extremely valuable as I could really do with the money now." I'm the expert on the panel who had to tell him that what he has is of little or no value, certainly not in the context of his job. Oh I can just imagine the antiques expert saying tactfully, "I'm sure this vase has a lot of sentimental value for you personally as it can connect you with your late grandmother and her journey that brought her to England because of her love for your grandfather, I think it is best that you keep it for your family and pass it down to your children and grandchildren, so you could continue to share that wonderful story but I wouldn't try to sell it today as it would fetch no more than a few pounds, the panel has examined it and it is not an antique - I'm afraid it is just a very ordinary vase." By the same token, a lot of Singaporean-Chinese people grossly overestimate just how much use their ability to speak Mandarin would be for them in the workplace and thus in this case, I choose not to overestimate the advantage my knowledge of Singapore would give me when it comes to doing business with Singaporean companies. Instead, I'm willing and able to study the market to identify which skills I need to deliver the results expected of me and if it means learning a new language like Spanish so I can deal with the Latin American market, then I will become fluent in Spanish and learn everything I need to know in order to become an expert in this market. Thus I'm not waiting in vain for that fine day, when the skills I've acquired from my childhood in Singapore to eventually become relevant to me at work.
So how did I establish my credibility with my clients in Latin America and Africa as an expert in their markets? Well, the first step is to craft a narrative and whilst I've been to Latin America three times and have visited Mexico, Dominican Republic, Puerto Rico, Uruguay, Argentina and Chile. In contrast, I have far less credentials for Africa given that I've only visited two African countries: Morocco and Tunisia and these two countries are Arab north African states with little in common with the countries I am dealing with in other parts of Africa. So I would tell the African client that I came from a very poor working class family in Singapore (100% true) and whilst my rich friends had nice toys, I had nothing but my library card; so I would go to the local library and read interesting books as a means of escapism. The library had a good geography section so I read every single book they had on Africa as it was this fascinating, beautiful, colourful continent that was radically different from the world around me in Singapore. That began a lifelong fascination and appreciation for the continent and I could back that up by the fact that I have an extremely good knowledge of many aspects of life in Africa (you can't fake that knowledge, you need to invest an insane number of hours studying about Africa which I did as part of my geography degree). I also speak some of the most spoken languages in Africa: I am totally fluent in French but then I also manage basic Afrikaans for my South African clients, my Portuguese is passable for the guys I deal with in Angola and Mozambique and I also manage some basic Arabic and Swahili, two of the most spoken languages in Africa.
Furthermore, I don't let on that I've not been to these parts of Africa: for example, most people would know the city of Johannesburg in South Africa but I pretend to be local by using the name for the region, Gauteng and pronouncing the G with strong Dutch-Afrikaans accent which turn it into more like a very guttural gurgled H that comes from the very back of the throat (that sound doesn't exist in English but it corresponds with the R in French or the CH in German and Welsh). It would be little details like that which gives them the impression that I know the area well because I've been there, but really, I have gained that knowledge off the internet and the fact that I speak Dutch helps me figure out the local Afrikaans accent. But of course, I choose to be honest sometimes - I recently spoke to a South African lady who grew up in rural KwaZulu-Natal province and she told me about her childhood on her grandfather's farm where they were miles from the nearest town but they had books. Thus she was able to relate to the way I turned to books to expand my mind when I had nothing else. Note that this is not about me going, "I've memorized the entire page on KwaZulu-Natal on Wikipedia, now you're going to reward me for my efforts for being such a hardworking student!" Let's not go there. Rather, it's about using that knowledge to establish rapport rather than making the mistake of trying to impress people with that knowledge. After all, I'm speaking to someone who is a local in KwaZulu-Natal province, she doesn't need me to teach her anything about the region where she has spent most of her life but she appreciates the fact that this boy from Singapore has spent so many hours reading about her part of the world when I was a child - this allowed us to form a connection very quickly.
So let's contrast that to a tourist who visits South Africa with little or no knowledge about the country, offending the locals with their ignorance. My South African client told me about how this American tourist she met in Cape Town had assumed that all the other white people in Cape Town were tourists as well and the American was shocked to learn that there are white South African people - where do I even begin? Or the American tourist who assumed that black African people spoke a language called 'African' which she then mistook as 'Afrikaans' - one of the languages spoken in South Africa ironically by white immigrants from the Netherlands and Belgium? You get the idea, there are a lot of idiotic people who are woefully ignorant about Africa and Africans get annoyed when dealing with those morons. When I mentioned that I may be going to Lagos for a business trip in July to a white British friend, he joked, "are you going to meet a Nigerian prince there who emailed you about sharing his fortune with you?" It was a pathetic attempt to be funny but that's an example of when very poor social skills spills over into racism and that is why Africans are very guarded when it comes to dealing with people like me. Thus the challenge I have is about establishing credibility as someone who knows enough about Africa to deal with them given that Africans get more than their fair share of bullshit from not just white people but Asian people as well. Hence I can understand why Africans would want people like me to earn their trust before they are willing to do business with me and I am very proud to say that I have managed to do just that even though it wasn't easy.
So what are some of the challenges I face when dealing with business development in Africa? Well, an important part of getting any new client onboard in Africa: they want a reference from another black African person in Africa who has done business with my company. Well fortunately for me, I can always turn to my client in Nairobi who ticks that box and he is always ready to tell his fellow Africans what a joy it is doing business with me. Thus I make sure I always keep my client in Nairobi so he will be willing to give me a good reference. The other challenge I can face is with communicating with my clients in French speaking Africa - now my French is totally fluent. I watched the debate between Macron and Le Pen without subtitles and had no problem understanding them. As part of my exams when I did French at university, we had to listen to a piece of news broadcast in French and then answer complex questions based on what we heard in that piece of news: it was the ultimate test of listening comprehension and I had no problems with that. With younger clients under the age of 30, they tend to speak a more standard form of French but the older the client, the stronger the local accent and that can make it really quite hard for me to understand them sometimes. Thankfully this is only a major problem when I am on a Zoom call but otherwise, when it comes to written communication, I find that a lot easier and I often chat to them on Whatsapp. And of course, I've some momentum now but goodness me, when I started from scratch, I knew no one in Africa and I was just sending out so many invitations to connect on Linkedin to banking professionals in Africa to try to start to build my network there. I started from nothing and created a network from scratch.
But there is a most difficult aspect of what I am doing: there is a somewhat politically incorrect aspect to what I do. You see, most companies would be talking about the growth of Africa, how it is offering the same kind of high growth opportunities that you might have found in China or India 30 years ago and how inward investment could improve the lives of some many in these African countries as they become the newest emerging markets. That's the narrative we're more used to hearing. Well, I'm doing none of that, quite the opposite in fact. I have a good product but I'm taking money from rich Africans who worry about investing in Africa because of the many problems we have come to associate with the African continent: endemic corruption, unstable governments, political unrest, coups, civil wars, the threat of terrorism, inflation, a weak local currency - need I go on? Now don't get me wrong, some African countries are a lot more stable and richer than others and there are plenty of exciting opportunities for you if you are interested in investing in Africa. However, the rich in Africa have always moved their wealth offshore, especially to financial capitals like London. Yes there is an element of neo-colonialism when capital flows from African investors to London and sure, whilst we're making our African investors even richer by giving them access to great investment opportunities not available locally for them in Africa. Furthermore, even if we didn't offer these rich Africans clients our service, they would probably be turning to other banks and financial institutions in places like Dubai, Geneva or Paris to get their wealth out of Africa. Thus this wealth was always destined to leave Africa anyway, one way or another,,whether or not I chose to get involved with that money.
Okay so that's it from me on this topic, I'd like to finish by pointing out that I've only really rebranded myself as a Latin America and Africa specialist in the last four months - this was a process that I had only started from the beginning of 2022. This is a long journey and I will keep you updated as to how far I can get despite not being totally fluent in Spanish and not having that much experience with the African market but I believe in finding solutions, not excuses. I have a lot to learn this year and I will be my own teacher in this journey. Please leave a comment below and many thanks for reading.
Hey Alex. How you infiltrated Africa sounds smooth af. Dealing with people from a foreign country can be a minefield, but like you said it isn't about trying to impress someone as it is about respect and appreciation for their culture which you don't have to know very well but have to show you made some effort. Btw, don't feel too bad about being politically incorrect. Any rich person from a 3rd world country would invest in their own country if they could, but unfortunately it's difficult to start new businesses because of corruption. In the country I grew up in my dad said he had to bribe a government official every time he wanted to change the official address of his business. With such friction no wonder overseas investments look way more appealing.
ReplyDeleteOK something weird happened there, I couldn't past the comment on the desktop version but could on the mobile version here as they changed the format. But I don't think I was that smooth, I was kissing a lot of frogs and trying a lot of different things. And as for Africans, they come in all shapes & sizes - some are super easy to work with whilst others are hard to get hold of, unresponsive etc. But you have got to feel for Africans in that they have to deal with so much prejudice when it comes to banking, so much racism and crap they have had to face at the hands of ignorant idiots who assume the worst of Africa. So it's letting them know just enough information that you are not an idiot, that you are one of those well-informed ones who know about African culture but still not going all out to do the Singaporean student thing by trying to impress them with your knowledge. So I just chatted with my guy in South Africa and I greeted him in his language (Tswana) - there are 11 official languages in South Africa along with plenty more that have no status, so you gotta know which language to pick and of course, I knew he spoke Tswana because I always make notes of all my clients. But oh yes, I have worked with wealth managers in Indonesia in my previous job and I helped them invest their Indonesian clients' money in Europe, Australia, Canada etc - anywhere but Indonesia.
DeleteSmooth as it could've been I suppose. Networking isn't all perfect. Remember one of your past posts about a 99% failure rate?
DeleteOh I totally get what you mean by prejudice. Many people in the West still think Africa is still just either nature reserves like the Lion King or villages stuck in the 1800s in terms of technology. Africa is not as widely covered in Hollywood and movies as Asia. I only know it's close to southeast Asia's level of development in some major cities because I grew up with some African students from Ghana, South Africa, and Mozambique.
Yeah, it's not the job of a banker, especially a foreign banker, to fix corruption problems in another country. Most of that money would've just gone into bribes if it was reinvested in the country anyway. It's sad but what can you do? The solutions aren't simple.
Oh yeah, so for example, I only need one representative in each country since the market isn't that huge there. So for a country like Togo, I would speak to 100 people or so to find that one representative there and that means a 99% failure rate but mission accomplished when I do get hat local agent in Togo representing our company in that market.
DeleteBtw I didn't think trust in business was that big of an issue because London is "the" city for banking. But considering the sums involved people do have to get a little personal over a typical retail transaction. Which makes me wonder, what if your firm loses money for the client? Is there investment insurance? Or does the client know the risks and is okay with it? I really don't know much about banking so if I'm getting any details wrong please say so haha.
DeleteI will answer your questions more generically rather than speaking specifically about what my company does as I think that narrows us down a bit too much. So what happens if a firm loses money for the client? It happens of course, when you invest in anything, there's always the terms & conditions (ie. 'read the small print'), there's always a lot of legal talk along the lines of 'the value of your investments can go up as well as down, I have read all the technical detail and I understand the risks I am getting myself into when I proceed with the investment'). This is completely standard as it is a very, very regulated industry of course. There are fixed income products out there, which means you have more certainty about what returns you're getting over the investment period and you don't have to worry if the value of your fund or shares will go up or down. But of course, fixed income products can go wrong as well and different products will have different kinds of safeguards for that scenario. That's when you have collateral for "asset backed securities" - so if you come to me and say, "Alex can I borrow $10,000? I have a diamond bracelet here worth $10,000, if I don't repay you the money, you can keep the diamond bracelet." The diamond bracelet is then kept in a safety deposit box during the period of the loan and if you don't pay me back, then yes I will have the right to seize your collateral. But if you do pay me back the loan + the interest as agreed, then you keep your diamond bracelet which served as collateral in this case. So imagine this on a much bigger scale, so the borrower is a company who issues a bond, they promise the investors say 8% return on all money invested in the bond and then the company puts up some factories, some land, expensive equipment as collateral so if they fail to pay the investors back, then there are legal contracts in place which can be enforced by a trustee to seize the collateral and repay the investors. It's all done with legal contracts written by the best lawyers in the business and it is very standard in the industry. So if you're not sure what you to invest in or whether it is secure or not, you will then pay for professional advice from a private bank, a wealth manager or a financial advisor who would have years of experience in analyzing different kinds of investment options and do a lot of background back (it's called due diligence) to make an informed decision whether or not it is a sound investment. So I typically work with these experts who earn their living giving good advice to companies & individuals with a lot of money to invest. So even if you're very rich and you don't know anything about the investment process, my advice is always to get professional advice. You don't try to bake your own cake if you don't know how to, you just get a professionally made one at the bakery. So the same principle applies to investments, if you don't know what you're doing, just pay a professional to do it on your behalf for your peace of mind.
DeleteOh wow I didn't know they had such safe options out there on the market for people who are terrified of losing their initial investment. That's a very good answer Alex! That explains why investment firms ask their customers beforehand how much risk they're comfortable with, because I suppose not all investments have insurance in case the value of the investment goes down, or the entire company goes down with it.
DeleteWell, in principle you can't have the best of both worlds: the most safe options have the lowest returns and the options which offer higher rewards will come with higher risks. A professional adviser will tell you to diversify your portfolio of investments so you might go for a 40-40-20 split: 40% in very low risk fixed income products, 40% in low to medium risk products which offer decent returns and 20% in more high risk more speculative projects that offer much higher returns but carry a lot more risk. So the worst case scenario would be if you lost that 20% then at least the returns from the other 80% will allow you to break even but that's really the WORST case scenario. Always seek professional advice rather than try to figure it out for yourself.
DeleteAs for insurance, it's not that simple: firstly, would an insurance company be willing to insure a very risky investment? It would do so only if it was able to make a profit out of it. So if I decide to start a new business and I wanna raise capital, I then offer my investors a great return if they invest in my business - then I go to an insurance company and ask them, "what would it cost to insure that all my investors get their money back if my business fails?" The insurance company would then demand a premium to be paid for the period of the insurance - if they deem my business very likely to be successful, then the premium will be low. If they deem my business to be risky, then the premium will be scarily high. If they think my business will definitely fail, then they wouldn't even touch the project at all.
Therein lies the irony with insurance! The "very likely to succeed" businesses don't need the insurance as they have a solid business model - yet they are the cheapest ones to insure. The "very risky" businesses are the ones who need the insurance the most, yet the insurance company will charge such a ridiculously high premium that the whole thing would just seem financially unsustainable. Remember, insurance companies need to make money, they wanna make a profit and how much they charge reflects that. Thus for the riskier investments that insist on using insurance, well that just makes zero sense financially. The super high premiums will increase the costs so much that having this CRAZY EXPENSIVE insurance actually makes it so much harder for the business to turn a profit and thus it is the insurance that condemns it to fail. You talk about insurance as if it is this miracle that can cure all problems when in this situation, it is the final nail in the coffin to condemn a risky business to certain death.
Now allow me to use a real life example to illustrate why insurance doesn't make sense in some circumstances. I already have two clients in Africa who told me that they are extremely interested in doing business in Kinshasa in the DRC. Now I am familiar with Kinshasa but for the wrong reasons: there has been a long civil war in the DRC with many internally displaced refugees flooding into Kinshasa and there is extreme poverty in this massive city of 17 million with large numbers of refugees living in slums. The crime rate there is very high. Even African people from richer African countries like South Africa, Kenya and Cote d'Ivoire would think, oh I'm not sure I would feel safe there. But it is a country also very rich in natural resources and there's quite a lot of wealth in the hands of a few there - so my two African clients want to see if they can take me there to do a deal or two in Kinshasa especially since I speak French. Kinshasa is the world's biggest French speaking city, it is 8 times the size of Paris. So even if the top 0.01% there are really rich, there's still plenty of business to be found there.
DeleteNow if I were to go there, there would need to be a LOT of insurance in case I get kidnapped as a rich foreign businessman. So the insurance company would say we would insure Alex on this trip IF and ONLY IF you agree that he is accompanied by two armed guards who never leave his side apart from when he is in the hotel and it has got to be the most expensive hotel in Kinshasa for security reasons. He has got to travel around in armoured vehicle to prevent kidnappings and if he is dumb enough to break the rules, say he decides to go for a walk on his own outside the hotel, then that nullifies the insurance. Now there are private security companies that specialize in such arrangements but they are crazy expensive to protect a VIP in a very dangerous city like Kinshasa. It can be done but it costs a LOT of money.
So it gets to the point where my directors will look at the ridiculously expensive bill for my security and insurance in Kinshasa, then they will say WOAH how much is this gonna cost us to send Alex there for one week?! So at that point, they will then evaluate if it is worth it. So if I am going there to close a deal that will make the company a lot more money, then yeah they'll agree to it. If it's merely a speculative mission to meet someone people to explore the possibility of doing a project together, then it would be no, it's not worth spending that much money when we're not sure if Alex will do any business there at all.
Hmm I suppose investing is akin to gambling in that there just is a high level of risk involved, and no insurance company insures gambling losses. Just have to know your investments well. Lol can you imagine if insurance companies insured against a college degree not being valuable? A lot of things in life are a gamble...
DeleteWow I knew that parts of Africa and the middle east were security risks, but I didn't think it would be that bad they were scared you'd be kidnapped if they sent you there to do business. Latin America sounds a lot safer by comparison to going to Kinshasa. My dad said that one of his friends who is an engineer working in the oil and gas industry was actually kidnapped once while working in Yemen in the early 2010s. While his company took ages to negotiate a ransom payment, my dad's friend escaped by himself Iron-Man style. Jeezus I really take safety for granted growing up in Asia.
The insurance companies are experts in evaluating risk - if you wanted to invest in a company that was a brand new start up and extremely high risk, it's a bunch of university students who have yet to graduate, they have no work experience and they're asking you for a million dollars. You go to the insurance company and say, "insure me against losing my million bucks." Now the insurers would say, "the chances of Amanda losing her investment is extremely high and the chances of her making a profit is negligible. Her best case scenario is that she loses about 90% of her money and keeps about 10% of her capital." Stay with me as I try to explore the mindset of the insurers, they will then either say no to you and end that conversation or say, "we can insure you for $990,000 which is practically the same as what you're investing less $10,000 because we're almost certain you're gonna lose all your money. By the way, our fees are $10,000, so effectively, you're handing over a million dollars to us for safekeeping and when you lose that other million, we just hand this million back to you less our fees, but you'll still one million poorer after having invested in that start up."
DeleteIn short, you can't expect an insurance company to enter into a bad deal and pick up your losses for a small fee, especially if you're entering a highly risky deal. Let's contrast that to travel insurance: if you're coming to London for a trip, you'll probably have some kind of travel insurance. The chances of something horrible (like a plane crash) happening is extremely low - like the worst case scenario is that you get delayed 8 hours because of bad weather. So the insurance company is counting on the fact that in all likelihood, you will have a peaceful, safe holiday and never have to make a claim - that's why they just take your money, nothing happens and they pocket it as profit. Now your holiday to London is considered 'low risk' hence they'll sell you a reasonably priced insurance policy in the knowledge that in all likelihood, you'll never make a claim. Contrast that to my trip to Kinshasa which is a lot higher risk, that's why they would charge my company a LOT more and set a lot more terms & conditions about what I must do to keep myself safe if I go there.
The bottom line is that insurance companies are there to make a profit, not keep you safe or protect you from bad investment decision - these companies make billions of dollars a year because they would never accept a bad deal. The insurance policies are always in their favour, so you ought not see insurance as some kind of safety net you can rely on.
PS. The African trip is going to be a lot more complex than I thought. Akan datang.
DeleteOh yes I forget that insurance is based on statistics and publicly available data. It's true 99% of startups fail, but real estate is considered a safe investment. I did date a guy who used to work as an actuary before moving into banking. He said his previous company was in the red one year because of a plane crash where they had to pay out compensation to the families of the victims.
DeleteCool! Looking forward to hearing about this business trip to Africa if it does happen. Btw security aside, have you considered visiting the DRC even on a vacation or is it too unsafe? I myself think of visiting Africa, but only in parts where I know there isn't an ongoing war, so places like Nigeria or South Africa. I heard Rwanda is pretty safe and developing quite fast, people say its the "Singapore of Africa" at the moment. They're even trying to push for advertising themselves as a tourist destination even buying sponsorships on the shirts of some European football teams.
Insurance companies will employ sector specific specialists to do a risk-analysis to see evaluate the likelihood of them having to do a payout. So if it's you going on a trip to London, you'll get a cheap quote because the likelihood of anything going wrong is extremely low - like at worse, the airline loses your bag and you have to make a claim for the loss of baggage. And even then, when was the last time an airline actually loss your bag altogether? But if I were to go to Kinshasa, then the list of things that could go wrong become a lot longer as I stand out as a rich foreigner in a place like that - so the insurance would go through the roof because the chances of me getting into trouble there is a lot higher.
DeleteThere are so many places in the world where I can visit and Africa has never been that high on the list, mainly because I know I can't visit every country in the world and it's simply me working down that list. I'm down to 4 countries in Europe I've yet to visit (Cyprus, Moldova, Belarus and Serbia) and I probably can do Cyprus and Serbia at some point even if the war continues. But after that, I've got more interest in the Middle East and Central Asia than Africa. I refer you to my comment below about this trip now evolving into a 'multi-destination' trip rather than simply going to one country. So I think what will happen is that after I get back from Panama, I will plan this big trip to Africa and hit 3 countries at least for work. Then when I come back, I think it might be time to go to Singapore. I've not been back in 4 years and I'm running out of excuses because they've practically removed all restrictions. I don't even need to test before getting on that plane to go to Singapore, I just need to show that I'm fully vaxxed and there's some paperwork but it's a far cry from 2 years ago.
Oh yeah, one last point about insurance: there's no free lunch. Imagine if you booked a flight through a website and they claim, "free travel insurance" or something to that effect, that means you get travel insurance included in the price you've paid. It's not 'free' of course, it means that if you had bought that same ticket without travel insurance, it would have probably been a lot cheaper. What the travel website did was simply obtained a travel insurance policy at a good price, added a small 10% profit onto the price and then attached it into your airline ticket price as a 'bundle' of perks and it so marketing it to manipulate you into thinking that you're getting a really good deal with free stuff thrown in. Likewise, I am so cynical about any kind of investment product where they claim they have any kind of insurance to protect the investor - guess what? That isn't for free, the investor is paying for it. So one way or another, the full cost of the insurance will come out of the investor's profit so it's not exactly a 'good deal' - it's no different from the travel agent who sells you a package which includes the travel insurance. It's a cynical marketing ploy to make you think you're getting a good deal when it is not really a good deal - nothing is for free.
DeleteLol I did buy some "concert insurance" recently in case I had to cancel going to a concert last minute. It cost me about 15% of the price of my ticket, but then again we're not in covid times so there is a low chance I will miss that concert.
DeleteOoh where are you thinking of visiting in the middle east and centra Asia? I heard Azerbaijan is promoting itself for tourism though I don't know what one could see there. 4 years is a long time to be away from Sg, but 2 of those years were the pandemic. I was thinking of visiting my old friends from Sg too, but I also haven't explored America or even Latin America yet so I kinda wanna travel domestically first.
Well I'm not thinking about a long holiday yet for the simple reason that I've got plenty of work travel coming up and then at some stage, yes I ought to go to Singapore given the fact that they have eased practically all restrictions to make Singapore more like the UK and US now. I spent the day with one of my big clients who are a Latin American company and they have a series of events in Colombia, Mexico and Peru and I'm looking at the schedule - I can't make the one in Peru as it is way too soon and clashes with my trip to Panama. Mexico is again a clash with my trip to Africa but Colombia is a possibility, which might mean that I will go to Colombia at the end of the year then continue onto Peru after that as I'm abiding by the principle of "if I travel, I will go more than 1 destination to see more than 1 client to give my employers value for money". I was nervous as heck before I met the clients but after an afternoon with them, I realized that they're really nice people and nobody is judging me if I speak Spanish with mistakes because I'm making a real effort to speak your language instead of forcing you to speak my language.
DeleteSo let's see, of course I wanna go to Central Asia at some point and take Azerbaijan for example. There are 3 main aspects to that trip: culture, nature and city. I wanna explore the rich historical legacy of Azeri culture and visit UNESCO World Heritage sites there, I wanna see nature at her finest by visiting the mountains and the shores of the Caspian see, then I wanna see Baku which is the capital city and it is a very bustling, cosmopolitan city with where you need a whole week to see all it has to offer. I'm not naming individual sites (that's what Google is for) but a trip to Azerbaijan should contain 33.3% culture, 33.3% nature and 23.3% city stuff and 10.4% relaxation (so it's not a punishing schedule where you feel like you need a holiday after that trip).
Hi Subhav, actually I would never ever say something like that to my white colleagues and it's an Asian thing. If I had any misgivings about my relationship with Mandarin (long story, my father is a Chinese teacher, I never got along with my father so I transferred my hatred of my father to the subject he taught) then I would go tell that to someone who would understand, like a close friend. I actually have quite a few close friends who are second generation British Chinese, ie. they were born here but their parents emigrated from East Asia and I find it quite easy to talk to them about this issue because they can relate to how I feel about feeling estranged from our parents' culture. But one thing you have to realize (and this is an important lesson here) is that you need to keep a guarded, formal distance from your colleagues and not spill your guts about anything and everything from your childhood to your fantasies to them - no no no, that's what friends are for and you can have such conversations with your friends but NEVER with your colleagues. Don't ever make that mistake. In any case, my team is not like that - you're suggesting that someone "ratted you out", oh please - we don't do that. We actually get along reasonably well here, there's nobody stabbing anyone in the back and it's a far simpler reason: if the Chinese client speaks English beautifully, perfectly and flawlessly, then my white colleagues treat them like any other white colleague and conduct business with them entirely in English. Credit to the Chinese client, they have a team who are fluent in English even if they are all from China. That's why my services/ability to speak Chinese with them aren't required in this instance, that's all. As for money laundry, there are two kinds of bankers: those who do things legally, by the book and don't break the law and then there are those who indulge in criminal, illegal activity and regularly break the law. People who are money launderers belong to the latter whilst I belong to the former, there's nothing that exciting about obediently following every single rule in the book. It's call compliance (ie. complying with every single rule) and it's one of the most boring and tedious aspects of my job.
ReplyDeleteI have worked in toxic environments where people do stab each other in the back but I am very thankful that this is not the case where I work at the moment. I certainly do not take that for granted and I am most grateful for this luxury.
ReplyDeleteOh in fact, years ago, when I was young and naive in my 20s, I once mistook this colleague to be a friend and I didn't like a certain task I was given. So I vented my frustrations about having to do that task - foolishly mistaking him to be someone who cared about my feelings. Instead, he took that complaint to the boss and twisted my words as if I was complaining about the boss treating me unfairly. It got ugly, I was accused of spreading rumours about the boss treating me unfairly and stirring up trouble amongst the colleagues. I was young and stupid then, I think I was only about 25 years old and very naive. I'm now 46, a lot older and wiser - that means I am very, very careful about what I say to my colleagues at work and yes, that means censoring yourself! And if I have to vent my anger and frustration, I make sure I go to a friend outside work, who has absolutely nothing to do with my company to talk about the matter. I learnt the hard way to keep work and personal life separate after that nasty incident when I was 25, never mistake your colleagues to be your friends, even if you think you are getting along well with them. Never ever bring your personal life into work, always maintain a formal corporate professional relationship with your colleagues. I would be hideously stupid if I didn't learn my lesson after that stupid mistake when I was 25. You can pay a very high price if you don't watch your words in the office.
ReplyDeleteHello Subhav, well it wasn't clear that you were joking and I take it that your intention was an attempt at humour, but I had no idea if you were joking or not. A comedian should always make sure that the audience is a) aware that he is telling a joke and hopefully b) find the joke funny. You were suggesting that my colleagues would deliberately do something awful to me and that's like me coming up to you and saying something awful like, "hey your sister was in a car accident, she is in the hospital now and is seriously injured". No, that would be in very bad taste and not funny at all, even if that was intended as a 'joke'. I hope you can see my point that suggesting something awful like "your colleagues hate you and sabotaged you" as a joke is not funny and it is on par with me telling you that your sister was run over by a bus as a "joke". It's not funny. Now if you wanted to craft a joke to make me laugh, it takes a lot more effort and it has got to be about something I can relate to rather than just, "everyone hates you and you suck, haha just joking".
ReplyDeleteIn any case, the Chinese clients really don't care how I feel about the Chinese language or my relationship with my cultural roots - I maintain a professional, corporate, formal relationship with them rather than consider them my personal friends. There is no 'Chinese cultural police' to punish Chinese people who shun their roots and don't like certain aspects of your culture. In any case, for the record, I don't hate Mandarin any more and as someone who speaks 25 languages, I have taught myself Chinese as an adult.
I don't hate the Chinese language, I really hated my awful father. But as a 7 year old child, I couldn't bring myself to say that as I was stuck with him. So I transferred that hatred to what he represented as a Chinese teacher. But now as an adult, I can say quite comfortably that I don't have a problem with the Chinese language today and I no longer have a relationship with my father - I can transfer that hatred back to my father rather than use Mandarin as a scapegoat. I no longer associate the Chinese language with him and I can now feel a lot more relaxed using my Chinese language ability today.
Your personal stories continue to inspire and encourage me to adapt and excel when faced with challenges. Thanks for sharing!
ReplyDeleteHi there, thanks so much for your comment. Oh I have challenges everyday, for example, my management said NO to the trip to Uganda because the client was ultimately a small company and they couldn't realistically invest that much with us. But I get along super well with the boss of that Ugandan company so I hatched a plan: I am instead planning a trip to see a big client in Nairobi which is 650 km from Kampala in Uganda, that's like Singapore to the northern tip of Perak state near Taiping. Then I can fly into Nairobi, do the meetings with the huge client in Nairobi, then a very short flight to Kampala which wouldn't cost the company that much and I'll stay there for just 3 days and fly back from Kampala. That way I'm not flying all the way to Uganda to see a small client, I'm stopping by there on the way back from my meeting in Nairobi with my big client. I could have just sulked when my management said no to the trip to Uganda, but now I think I can at least get a trip to Nairobi out of this and be in a much stronger position to negotiate 3 extra days in Kampala, Uganda.
DeleteIs there a time where you were fazed by the challenges at work, e.g. toxic environment, system and processes not in place, or simply wasn't worth your while to invest time and effort to turn things around? How do you assess when to cut short your losses and move on to the next task or job?
DeleteHi IA, I can tell that you're probably facing a challenging time at work and I'm sorry to hear that. It is a balancing act IMHO, you need to speak to people who are in a similar industry and in a similar position to see what they think. Let's take what you've just said about a toxic environment for example: now there are two ways to react to that. The first is to leave the toxic environment by changing jobs but there's no guarantee that your next work environment would be any less toxic (you could even jump out of the frying pan into the fire if it is worse). When you apply for a new job, it is hard to gauge just how toxic the work environment is as a lot of these things you wouldn't really realize until you're actually working there and unless you actually know someone working in that company, you won't get a good idea of what to expect. The other response is to try to resolve the problem about the work environment (that's something I talked about in my latest blog post which shall be published this weekend, akan datang). Is there an individual who is the most difficult person causing all the friction? How do I deal with this person? If I cannot become his friend, how do I neutralize or minimize the threat of trouble? I once had a reader who was a young lady in her 20s and she asked me for help when an older auntie in her 50s went out of her way to bully her at work for no reason - it was totally unprovoked and after I investigated, it seems like this older auntie was just this miserable old bag who was unloved, unfucked and ignored in much of her personal life so she resorted to bullying younger, more attractive females at work just to exert 'revenge' and externalize the inner self-hatred she felt. So the young reader had two options: she could go soft and try to win this auntie's heart over by being especially nice to her, this auntie wants friendship and respect well let's give her what she wants and neutralize that threat. Or the other option is to go hard, this auntie is clearly breaking every rule in the book, let's go to HR and teach her a lesson. I can't tell you which is the right answer but I always advise people to take the path of least resistance: work out what your ideal outcome is and pick the easiest way to achieve that objective.
DeleteIf you wish to share with me what is troubling you at work, then I'm more than happy to help you out by listening as a neutral 3rd party, evaluating what your options are and helping you work things out with all the empathy you need. I'm here for you.
Dear Alex,
ReplyDeleteFirst and foremost, I would like to thank you for taking notice, and offering your time and energy to a reader (me) who is miles away and wouldn’t cross paths otherwise.
A bit of context: After spending a good ten years with my previous company, I have recently (2 weeks ago) moved to a new organization with the lure of a team lead role in the same industry with an expanded scope of functions. It’s a small company so naturally I’m expected to cover more areas. This was made clear in the JD and to me during the job interview, so I was prepared (at least mentally) to take on this new role. I was also informed by the interview panel that my staff is new to her role but is willing to learn on the job. In fact, I had a 3-years stint at my previous company, leading a small team, with exposure to similar areas, so I was confident that while I will be faced with a steep learning curve at the new place, overtime I would improve, and my staff would also get better at her job. I did ask the panel for the reason why my predecessor left and was informed she accepted a better job offer.
After I accepted the offer, I have been liaising with their HR, and she was covering my role, which is unrelated to HR. Like you said, you will only know the real state after you joined the company and start interacting with your colleagues. It appears that the staff morale is low. I’ve already heard several staff wanting out, including the HR team lead that I’m now working closely with. Due to the small setup, many are overworked and covering beyond their official job scopes. Earlier in the year, “Townhall” sessions were organized by the management to manage the staff morale, but also to address concerns from the major re-org of the company in Jan 2021.
Within my department, bosses and colleagues are generally collegial, but the issue is with my team. I have two staff (let’s say Roy and Sarah) who report to me. Sarah is the one that is new to her job (six months), and Roy who is more experienced (6 years) returned to his current role after spending 1 year in HR. Sarah will be away on long medical leave, so it is very much a 2-man team for now. I have no issue with Roy so far but was warned by HR lead (Roy’s previous manager) that I need to monitor Roy closely as he has tendency to overlook deadlines. There were also stories regarding my predecessors, both did not make it past 2-year with the company. As for the one who left recently, she wasn’t well liked by the colleagues and had disagreements with Roy in terms of managing work for herself and the team.
I’m not working long OTs yet but there are many outstanding tasks before I joined, and now I’m trying to play catch up. Furthermore, work is ramping up, and likely to peak in 2023.
Perhaps I have overestimated myself or underestimated the situation at the new company. Am I overthinking? Obviously, my confidence has taken a blow, but am I clouded by fear so much that I am imagining the worse. Should I hold out to see if things improve (or if I can improve from within)? Or cut short my losses and move on?
Hope to hear from you soon. Again, thanks much.
Hi again IA and thanks for the long message. I am going to share with you some of my thoughts about what is going on in your situation and I hope that will give you food for thought. Firstly, staff morale is low for a reason: there is that saying, there's no smoke without fire (or if you prefer the Chinese version, wu feng bu qi lang). I've seen places where staff morale is low and most people there are just biding their time, accumulating enough work experience but the moment they get a better offer, they leave. I've also seen places which were okay in terms of morale but slowly and surely, the morale slips downhill and slides down a slippery slope because of bad decisions by the management. The thing is it is important to get out if you can foresee things getting worse but if you think that things will get better (or at least stay the same, ie. not get worse) then you can ride it out and try to make it work in the long run. Now I don't have enough information to tell you if things will get better or worse in your company - the good news is that it seems like a relatively small company, like your department only has 2 + 1 people in it, so the good thing about smaller companies is that they have more at stake. A big bank for example would be able to make a massive mistake and then sweep it under the carpet but a smaller company would not survive a similar mistake. Hence if the company is as small as you've described it to be, you're not going to encounter the 'civil servant' mentality and you're going to be working with people who would be a lot more dynamic and want to make the company succeed. I'm talking "in principle" of course - only you can tell me what the reality is in that company. The worst combination is to have colleagues with the 'civil servant' mentality in a small company, that's a recipe for disaster.
DeleteThe challenge for you though is that so much of the success of the company depends on others around you, you can be brilliant, you can work your butt off but it isn't a one-man band, you need to rely on others in your team and if they are simply doing the minimum whilst looking for a new job, then you're hardly in a conducive environment to strive for success. That's one thing you have to factor in: this isn't about you per se and it isn't your fault if you're placed in a situation where you're set up to fail when the others aren't interested in pulling their weight. It is called a no-win situation and I'm wondering how bad things are - are they making unrealistic expectations of you? Are they expecting you to swoop in and solve years of problems that they have neglected/ignored?
Hang on part 2 coming up below. Got word limit here lah for comments.
Part 2 cont'd: Here's one litmus test for you and it's from my personal experience: I work in business development and in my previous company, I was expected to use my smile and charm to convince people to do business with my company but they were so stingy with the budget. But now in this company, YES I have a budget. It's not a bottomless pot of money but at least I do have a budget to spend to make things happen. For example, I'm flying off to Spain tomorrow to attend a conference because one of my clients will be there and my boss said yeah sure, you speak Spanish, go do some networking there and have a good time. We'll arrange the flights and hotel for you, don't forget to keep receipts for all expenses claims. So yeah I'm gonna be in Spain from Tuesday to Friday in Valencia - in my old job, aiyoh, to go to an event outside London I gotta bargain for budget like, "if I go, I promise to only use budget airline". Contrast that to now in this job, I'm flying to Panama at the end of the month for another event and I am going business class.
DeleteThe bottom line is this: you can only succeed in your role if you are EMPOWERED to succeed. That means getting the help, support & budget for you to not just do your job, but thrive and succeed. Now that's something for you to base your decision upon: try asking them for something (a budget for a project, money to spend on something that will help you with your work etc) and see how they react. If you're expected to do magic and create fantastic results on a total budget of $0.00 - then tell them to go fly a kite lah. You wanna know that you're working with reasonable people who will support you, not unreasonable people who expect something for nothing and then blame you when you cannot produce fantastic results when you're not supported at all.
In short, it's not easy to make such a decision whether to cut your losses or try to make things work there - you need to find out why staff morale is so low and then decide if things are a) getting better, b) getting worse or c) staying the same. If it is b) getting worse, then you ought not stay or at least start looking for a new job. Likewise, you also need to find out how much support you're gonna get from your management in terms of producing the results expected of you. Can you get the help and support (such as $$$ budget) to achieve the results you want? Are they realistic what they expect you & Roy to do as a 2 man team? Or are you set up to fail by them? You need to find out - you're after all just 2 weeks into your new role and it may not be possible for you to give me a detailed answer on all of these complex questions yet.
DeleteThank much for your guidance. While I'm unable to decide now, you have provided me some indicators to base my decision on. The coming weeks/ month will be crucial to observe if things are getting better. For what is worth, I'm truly grateful.
ReplyDeleteOne more angle for you to consider: I had a problem at work this week and I'll spare you the details about what went wrong but my boss could have reacted in two ways. The first was to blame me, "Alex, how could you let something like that happen? Why haven't you fixed that problem yet?" The second was to try to help me solve the problem. My boss actually did the latter and it was actually thanks to him that I think the problem will be fixed. As an employee, you need to feel you are supported when you need help solving problems.
DeleteDo let me know how you're getting on and if there are other questions you may have, do let me know. I have a Singaporean friend who recently worked from 6 am to 2 am when he had an audit and I was just shaking my head like, how is that even possible? What effect is that having on his health?! Is he oblivious that there's something desperately wrong there?
DeleteI'm currently swamped with audit queries, and being new to the company, can be rather challenging without knowing the background and details of ongoing projects. My bosses will update and direct me to the relevant department and project lead. Btw, may I clarify what you mean by civil servant mentality in your earlier comments? Do you mean a culture of doing the minimum and guarding one's own turf? Are you back in London? How was your work trip?
ReplyDeleteOn the topic of civil servant mentality, let me give you an example so you understand what I mean: I'm sure you'll remember how I bitched about my nephew having the worst possible teachers in his JC. The problem stems from the fact that teachers who go out of their way to teach well and help the weaker students are simply NOT rewarded by the system, they are treated and paid exactly the same as all the very lazy teachers who do not lift a finger when students ask for help. So if lazy teachers are treated exactly the same as hardworking ones, there's zero incentive in the system for teachers to do their job well - thus even those who are motivated to teach end up becoming lazy and do the minimum after a few years in the job. So that's the civil servant mentality. Valencia was a stunning city and you can see my pics @passportalex on Instagram.
DeleteBTW, I'm off to Panama in 2 weeks!
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