Business Fleet Africa February 2023

This month we cover a variety of topics including all the news from Audi, Chery, Renergen, Volvo Trucks, Daimler Trucks and many more. Regular topics include business advice from Standard Bank and Brand Pretorius, a road safety update from Ashref Ismail and a deep dive into the Ctrack Transport and Freight Index.

Business Fleet Africa spoke to Brand Pretorius, doyen of the

Motor Industry in South Africa and author of In the Driving

Seat, to get practical steps on speeding-up efficiency in

organisations.

Global scientific research proves that organisations in all eco-

nomic sectors suffer from wasted effort. Precious resources are

not deployed optimally because of a lack of focus and synergy,

which undermines effectiveness because there is no alignment

between corporate and personal objectives. So how does a

business leader act to correct this?

Compliance versus commitment

Often, staff do not identify with their employers’ mission, strate-

gy or objectives and fail to see how their contributions affect the

overall vision. They work because of their financial needs, and

there is no commitment, only compliance.

How can effectiveness be accelerated?

Organisational effectiveness is a prerequisite for sustained

profitability, high employee and customer satisfaction levels,

and market share growth.

“During my business career spanning almost 50 years, I

experienced first-hand the positive impact of a high level of

organisational effectiveness. Two case studies come to mind.

Firstly, the significant increase in Toyota’s market share from

12% in 1975 to 30% in 1995. Simultaneously Toyota moved

from number seven in customer satisfaction to number

one. The second case study is McCarthy Retail. It was

declared technically insolvent in February 2001 and

successfully turned around over three years,” explains

Pretorius.

“In both cases, a critical success factor was a

substantial improvement in organisational effec-

tiveness. The methodology I developed over the

years is illustrated in Figure 1, titled The pyramid

of organisational effectiveness,” says Pretorius.

Eleven practical steps to make a giant leap

Pretorius explains the essence of these

leadership steps in organisational

effectiveness.

Step 1 – A unifying, compelling

and inspirational vision

“The following truth can be found in

the Bible: ‘Without vision, people

perish’. It also applies to organ-

isations. The best definition

of vision I have come across

is ‘seeing victory before it

exists’,” says Pretorius.

A prerequisite for a vision to inspire universal commitment is

that the realisation of the vision should deliver meaningful ben-

efits to the people who have to make it happen. He continues

to say that during the early eighties, the vision at Toyota SA was

market leadership through satisfaction for all.

“We knew that ‘best in class’ stakeholder satisfaction lev-

els would, over time, deliver market leadership. At McCarthy,

when we were staring bankruptcy in the face, our vision was

‘Save McCarthy’. Failure would have meant thousands of job

losses, leading virtually all 10 000 employees to embrace

the vision”.

The vision should be ambitious and inspirational. Steve Jobs,

the late founder of Apple, provided the world with an outstand-

ing example of such a vision: “We are going to make a dent in

the Universe!”

Subhead: Step 2 – A mission must create the context

that gives meaning, direction and coherence

“The mission should provide a platform for organisational

effectiveness and efficiency. It should give unity of purpose

and encourage team members to fly in the same direction and

in formation. It should prevent a lack of focus and fragmented

effort. In my experience, mission statements should be short

and straightforward so people can memorise and internalise

them,” elaborates Pretorius.

The value created in the different stakeholder categories

should be defined and explained to all staff. Mission ac-

complished will only happen should success be achieved

on a ‘balanced scorecard’ basis,” says Pretorius.

Step 3 – Inculcate shared values

Pretorius says that values determine behaviour and

lay the foundation and glue that keeps people

together. “Values that become ingrained shape

the organisation’s culture, and are far more

powerful than stacks of policies, rules and

regulations”.

“Examples of values I believe in are

honesty, sincerity, caring, respect for all

people, acceptance of responsibility,

teamwork and excellence in everything

you do. Organisational leaders should

personify these values. Their example

has to shine the light of value-based

behaviour as values are the soul of

an organisation. The right values

should seep into the organisa-

tion’s bloodstream and become

part of the organisation’s DNA.

Successful businesses are

vision-led and values-driven”.

BUSINESS FLEET AFRICA | February 2023

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BUSINESS

Turbocharging organisational effectiveness

The Pyramid of Organisational Effectiveness

Fair rewards

Results

Behaviour and Action

Performance Management

Policies, systems and processes

Aligned Personal Objectives

Corporate Objectives

Right Strategy

Shared Values

Mission

Vision

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