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Cash is king but jewellery looks nicer…

Before cash came along, people used to barter. Somebody who had grown vegetables would exchange potatoes they’d grown with a baker who’d baked bread. A farmer would exchange a cow with someone who had grown rice. And so on…

This was all very well if you had lots of vegetables or lots of cows but exchanging 1,000 kg of potatoes for the latest Xbox or taking a cow with you to pay for cinema tickets was never going to work.

As a result, along came cash.

The Lydians (now part of Turkey) are widely believed to be the first Western culture to make coins and their first coins came in to existence way back around the time of 700 BC.

Since then things have developed.

Bills of Exchange were introduced in Italy in the 12th century (Bills of Exchange are paper documents which enable traders to buy and sell goods without having to carry cash).

The Bank of England introduced printed cheques in 1717.

The first credit card in the UK was issued in 1966.

Online banking was launched in the late 1990s.

Through all of this cash has remained and there are now 180 currencies recognised as legal tender by the United Nations member states.

Things are changing though and Apple, Samsung and Google all have contactless payment systems whereby money is loaded onto an app on your phone and payment can be made by scanning your phone at a contactless terminal.

The company Ringly have taken things a step further though and have a partnership with MasterCard which enables you to pay for items with the tap of a ring.

The rings that Ringly sell (including the ring shown in the photo above) cost between $195 and $260 and use technology to link the ring to your phone to access the Ringly app. The app will then enable payment to be made. This is pretty impressive given that all the technology has to be fitted onto the surface of the ring.

The end result is that you will be able to purchase items via a contactless terminal by simply tapping your ring without getting your wallet or purse out.

So, is this a genuinely useful idea or just a “gimmick”? After all, you’ll still need your phone with you to make a payment.

Either way, it’s a nice excuse if you were thinking of buying a new ring.

Splash out on a new purchase

The Swedish furniture giant IKEA often comes up with innovative advertising ideas. One of those was when they ran a magazine advert that offered a discount on a baby’s crib to pregnant mothers.

Now, whilst in itself there’s nothing unusual about offering promotions to certain segments of the market, what is unusual is how the promotion is claimed.

The magazine advert ran in an issue of the Swedish lifestyle magazine Amelia, and the full-page advert read: “Peeing on this ad might change your life.”

Yes, there was a patch on the magazine which was an actual pregnancy test. If you peed on it and were pregnant then a discount code would be revealed which would provide you with a discount on the IKEA crib.

A couple of points spring to mind.

Making sure you’ve finished reading the magazine before trying to reveal the discount code is one of them and also an online order would probably be better than taking in the “code voucher” to your nearest IKEA store is the second.

Having said that you have to admire the ad agency behind the novel idea.

Akestam Holst were the ad agency that came up with the idea and they told adweek that “In order to make the interactive functions of this ad work in reality, we had to make several technical advancements. The pregnancy test strip was used as a starting point, which relies on antibodies that bind to the pregnancy hormone hCG, resulting in a color change. For scaling up of this technique and adopting it to the physical format of a printed ad, Mercene Labs has used their experience in development of surface active materials for microfluidics and medical diagnostics. Careful selection of materials, together with a controlled capillary flow have been crucial for the success of this project. Technical advancements made during the work with this campaign have the potential to improve medical diagnostics.”

So all in all, a very unusual advert and whilst some people thought it was a hoax, it is true and the pregnancy test (and discount code) both work.

In summary, it is true and it is not taking the ….

(Let’s just say it’s not taking the mick).

Does your corporate logo cover a continent?

112 years ago Theodor Tobler and Emil Baumann invented the chocolate bar Toblerone. The name is a play on the names “Tobler” and “Torrone”, the Italian word for honey and almond nougat.

It is one of the most recognizable brands in the world and anyone that has travelled through a major airport will almost certainly have seen the famous chocolate bar produced by Kraft Foods for sale in one of the duty free outlets.

One of the most important aspects of a successful brand is the logo.

The Toblerone logo is well known but do you see an animal hidden inside it?

Toblerone originated in Bern, Switzerland – a city whose name is rumored to mean, “City of bears”. Look at the logo again closely and you will find a bear facing to the right and stood on its hind legs.

Although I’m biased I love the ExP logo. According to the designers it is fresh, sharp, simple and easy to remember. Also, the “ExP Man” in the middle emphasises the people aspect of the business.

It’s great but there is another logo which I think is extremely clever.

If you look at the Yoga Australia Logo what do you see?

At first glance the logo may look like a simple picture of a woman doing her yoga exercise but if you look at it carefully the body posture is creating the Australia Map.

A great design and thankfully I didn’t pose for it as the map would have looked like a crumpled mess.

Some spicy people to follow…

There are over 300 million twitter accounts and more than 500 million tweets are sent per day. That’s an impressive figure that works out at over 5,000 tweets per second.

It can be a useful tool for companies. They can use it to engage with their customers and potential customers by way of branding and promotional activities. They can also use it as a form of a helpdesk or customer support. The Dutch airline KLM for example uses Twitter and Facebook to enable customers to contact them and get a reply within an hour.

Most companies will use Twitter to promote items or get their message out but Twitter user @edgette22 has identified a secret the fast food giant KFC has been keeping within their Twitter account.

KFC is the world’s second-largest restaurant chain (as measured by sales) after McDonald’s, with nearly 20,000 locations globally in over 100 countries.

They also have over a million Twitter followers.

But they only follow 11 people.

And the 11 people they follow are a strange mix.

KFC follows:

Geri Halliwell, Mel B, Emma Bunton, Mel C and Victoria Beckham (in other words the 5 ladies who made up the Spice Girls).

They also follow Herb Scribner, Herb J. Wesson Jr, Herb Waters, Herb Dean, Herb Sendek and Herb Alpert.

Or to put it another way, KFC follow five Spice Girls and 6 Herbs.

Five spices and six herbs?

That sounds familiar as the secret recipe for KFC chicken is 11 herbs and spices.

Either the social media department of KFC were having a quiet day and decided to play a few games or it was a deliberate move to get people talking about KFC when their followers were noticed.

Either way, congratulations are due to whoever was behind the idea.

Don’t worry, he’s ok…

A few years ago if a company wanted to advertise their products they mainly used the traditional media methods of TV, radio and print.

Nowadays the world is awash with viral marketing and social media promotion.

Although the main delivery methods used in advertising have no doubt faced rapid change I would argue that the basic technique of getting peoples attention and keeping it until the message is delivered in a memorable way is still key.

The “advert” below is in my opinion a great example of how advertising should be done.

It’s got the viral marketing angle to it as it’s great for viewing on phones and computers (and of course pausing and replaying it). It also works for the traditional TV ads.

What’s nice about it is that in less than one and half minutes it covers a range of human emotions. There are also no words spoken and the only text comes up at the end.

It also highlights the power of music in advertising. Three well known songs were used so there was no need to specially commission some song writing.

If you watch the advert without the music it has a far lower impact.

Have a look (and listen) and see what you think.

Oh and in case you get concerned mid way through don’t worry as it’s got a happy ending.

The interesting thing about this though is that it’s actually a fake advert. It was created by filmmaker John Nolan to showcase his animatronics skills.

John is clearly a creative genius when it comes to animatronics film making and I’m sure the big cheese companies would love to have somebody with his skills working for them.

Start walking…

Do you sit at a desk when you’re at work?

If you do, how long do you spend sat there before you get up to move around?

If you sit at your desk and work on your computer without moving around then I’ve for some unfortunate news for you because a sedentary lifestyle where you sit at your desk without moving around is bad for you.

Researchers at the University of Utah examined the health, exercise and nutrition records of over 3,000 Americans over a 3 year period and on average they spent 34 minutes sitting or lying down per hour whilst working.

Ignoring the question as to what were they doing lying down it will come as no surprise that the more time they spent on sedentary activities the more likely they were to die during the study.

Swapping sitting with standing up appeared to make no difference to the risk of death but what did make a difference was replacing 2 minutes sitting with 2 minutes of walking around

2 minutes of walking around per hour instead of sitting down reduced the risk of death by 33%.

So, the trick is to make sure you walk around for a couple of minutes an hour whilst at the office.

Of course, if those 2 minutes are spent walking to the vending machine to stock up on crisps and chocolate to eat at your desk there may not be that much of a benefit…

Does this help you concentrate?

The Journal of Consumer Research published the results of five experiments into how the level of background noise can impact on performance when someone is working on creative tasks.

The  results are interesting and in simple terms found that a moderate level of ambient noise is better for enhancing performance on creative tasks than both low levels and high levels of ambient noise.

Or put another way, people are more likely to be able to work creatively if there is a medium level of ambient noise compared to where there is silence or loud noise in the background.

So, what lessons can we learn from this if we’re studying?

Whilst the optimum situation and level of background noise is very much a personal preference the science behind it could indicate that we should head somewhere with a mid level background noise.

Now, where could we find such a place?

Well, the local pub around the corner has a great mid level background noise as far as I’m concerned but there are some liquid distractions that will harm studying.

What about a coffee shop or cafe? Again, there would be some great mid levels of background noise but you’ve got to get there and what happens if you don’t find a seat. All of this will dig into your valuable study time.

Well, up step the fantastic website coffitivity.com which enables you to play background coffeeshop noise on your computer whilst you’re studying.

You can’t order a Cafe Latte or Cappuccino but in my opinion it’s a great tool for those who like to study with a non intrusive background noise.

It’s also excellent for people who don’t have any friends to go to the coffee shop with.

Is this worth smiling for?

Are you happy when you spend money? I guess the answer depends on what you’re spending the money on but over in China, KFC have technology which enables a person to pay for their KFC meal with a smile.

Yes, a smile.

Nothing else is needed – no bank card, no phone app. Just a smile.

That’s a pretty advanced system and involves facial recognition technology.

Customers who want to get their dose of fast food at the KFC branch in Hangzhou can leave their cash and cards behind and instead smile at a scanner, press confirm and then hey presto you’ve paid for your meal without moving your hands and you will soon be tucking into your Kentucky Fried Chicken.

Payment is taken from a cash account which has been linked to the person’s face.

China has some of the most advanced facial scanning technology in the world. Collecting images of the public doesn’t need any consent in China and the technology is likely to spread.

For example, it’s been reported that students in several universities in China are now registering by scanning their faces and lecturers will soon be able to track the facial expressions of students to see how well they are following the lectures.

It may be advisable for these students to master the act of hiding those yawns during a boring lecture and instead start to practice for the KFC they’re planning to get after the lecture…

Would you do this with your job?

If a company outsources jobs, in some situations it can be seen as good business practice but if an individual outsources his own job then what is that seen as?

Outsourcing is where a company gets another organisation to undertake a job or business function that would have previously been completed in-house. This is often done for cost saving reasons and an illustration of outsourcing would for example be getting another organisation to maintain your payroll.

A while ago there was the first example I’d heard of an individual outsourcing his own job.

Verison is one of the leading telecoms companies in the US and their security team provided details of a case study where an employee by the name of “Bob” who was a top developer had actually outsourced his own job to China without his employers knowing about it.

In other words, he had received his salary from his employers but had personally paid for somebody else to do his job at a cheaper rate without his employer knowing about it!

He was paid in excess of USD 100,000 for his job and yet he was paying a Chinese consulting firm less than 20% of that to do the job for him.

According to Verison a typical day for Bob was:

9:00 a.m. – Arrive and surf Reddit for a couple of hours. Watch cat videos (!!)
11:30 a.m. – Take lunch
1:00 p.m. – Ebay time.
2:00 – ish p.m Facebook updates – LinkedIn
4:30 p.m. – End of day update e-mail to management.
5:00 p.m. – Go home

Despite not actually doing any of the work himself his performance reviews were excellent and he had been regarded as the best developer in the building.

So, in summary – he was paid a pretty good salary and all he did was play around on the internet.

All his real work was outsourced by him to a Chinese company. He paid them whilst his employer paid him 5 times the amount that he had paid the Chinese company.

Bob lost his job but it does raise an interesting debate as when a company outsources it’s seen as a clever move but when an individual outsources their own job they end up losing that job.

Anyway, whilst you’re thinking of that particular point I’d like to mention that the next blog article will be written by a Chinese company but please don’t tell my employer.

Meanwhile I’m off to watch some cat videos…

Don’t put your foot in it…

If you look at the finance side of running a bar then things should (in theory) be quite simple. Revenue is what your customers pay for the drinks they buy and the main expenses are the amount you pay to the brewery for the beer, staff wages and property costs.

Over in Belgium though some bars have faced a unique problem which is causing unwanted expenses but it looks though that they have come up with some ingenious solutions.

Belgium is famous for its beers. Monks from local Abbeys started brewing different types of beer in the 12th century and nowadays some of the bars in tourist areas in Brussels and Bruges stock several hundred different types of beers.

Each of these beers has their own particular glass which it is served in. These glasses come in all shapes and sizes and are nice looking objects.

Unfortunately for the bar owners they are also very collectable in the eyes of certain tourists. As a result, lots of these glasses go missing as tourists take them for a souvenir.

This can involve a significant number of glasses. Tens of thousands of glasses a year are stolen in Belgium and replacing these glasses represents a significant cost.

Some of the bars are coming up with innovative ideas to stop the thefts.

The Bruges Beerwall café had 4,000 glasses taken in one year and has now introduced security alarms which are attached to each glass. If a glass is taken past the scanner at the door an alarm sounds.

A slightly less hi-tech solution to the problem (but arguably as effective) can be found at the Dulle Griet bar in the Belgium town of Ghent.

The bar stocks over 500 different types of beers and has some very attractive glasses in which these are served. If you want to have a drink though you have to hand over some security to make sure you don’t steal the glass.

The security is a shoe.

And not just any shoe but one of the shoes you are wearing. You hand it over and it is put in a basket which is then pulled up to the ceiling so that you can have a drink knowing that your “security shoe” is safe in the basket.

A great idea by the bar to keep the thefts of their glasses to a minimum and it has proved so successful that it has now become a bit of a tourist attraction with people popping in to look at the basket and have a drink.

One thought does spring to mind though and with 500 tasty beers on the menu I wonder how many customers have had one too many drinks and woke up in the morning with different shoes on each foot….

Will auditors become more like Tom Cruise in the future?

Gone are the days when auditors were manually checking and ticking lots of pieces of paper. Today’s auditing techniques involve significant use of computers.

But how far can this computer use go? Will they be able to predict when accounting fraud is going to take place as opposed to tracking transactions that have already occurred?

The film Minority Report starring Tom Cruise was based around software that could predict when a crime was going to happen and the culprits would be arrested before they actually committed the crime. Although this film seemed well and truly within the realms of science fiction, IBM have worked in conjunction with the Memphis police department in America to develop a sophisticated computer software package which aims to predict where and when future crimes are likely to occur.

The software is known as Crush (Criminal Reduction Utilising Statistical History) and is used to identify potential crime hotspots based on a variety of data including crime reports, offender profiles and strangely enough even weather forecasts.

Once these upcoming crime hotspots have been identified then the police can allocate resources accordingly.

The rollout of this software reportedly resulted in a reduction of serious crime by 30%.

Back to auditing though and will the next step be predicting when a fraud is likely to occur using statistical analysis based on industry, profit movements, director’s personal life and spending habits (plus the weather of course)?

Given the reliability of some computers though, one thing for sure is that if you happen to live in a town called “Syntax Error” then you may have a surprise visit from a Tom Cruise lookalike with a briefcase and a calculator…

He won’t be scratching the surface on this one.

A good friend of mine collect labels from beer bottles. As he travels around the world on holiday or business he collect labels from bottles of the local beer.

I think it’s a nice idea as it is a unique souvenir of where he’s visited, it’s relatively cheap and perhaps most importantly it gives him a great excuse to try out some local beers.

Things may be about to become more difficult for him though as a number of beer producers seem to be changing their marketing mix to save money and (some would argue) make the bottles look more fashionable.

As a lot of readers will appreciate, the marketing mix is also known as the 4Ps (Product, Price, Place, Promotion). If you look at the product component of the mix then not only does it include the beer itself but it also includes the packaging. This packaging in turn includes bottles (both glass and plastic) as well as cans.

Drinking some bottles of beer during a recent evening out with friends at a restaurant got the accountant in me thinking about what it costs to create the bottle that holds the beer.

Well if you think about it the raw materials that go into the bottle are glass (for the bottle) and metal (for the top) together with paper and glue for the label.

How can you reduce the cost of the packaging?

Can you reduce the quantity or quality of the glass? This would be tricky as the bottle could break.

What about the top? Again, this is awkward as you don’t want the beer to suddenly start leaking from the top of the bottle.

That leaves the paper and glue for the label and what a number of manufacturers now appear to be doing is producing bottles without the main label on it but instead embossing the name of the beer on the bottle itself (no additional material costs) and having the only label as a small paper “collar” around the neck of the bottle. An example of such a bottle can be seen in the image above from the successful Fosters Beer adverts in the UK.

Reducing the label size seems to make sense for bottles of beer that are sold in restaurants. After all, the label on the bottle has little impact on the purchasing decision when a person is looking at the menu or asking the waiter or waitress what beer they have. They may even know what beer they want already or can’t see the bottle anyway so the bottle wouldn’t impact on their decision.

It seems a good idea therefore for the beer companies to save money by removing the labels. Even though the paper used by one label is quite small, if you multiply that by the thousands of bottles which are sold around the world every day it could turn into a very significant saving.

What is interesting though is that if you go into a shop or supermarket that is selling beer, you will see bottles which have larger more “attention grabbing” labels on them. As people are wandering through the supermarket aisles they haven’t necessarily made up their mind whether they want to purchase a bottle of beer or if they have, what particular beer they want so having a big label which will grab their attention is a good thing.

In summary then it appears that two out of three people are happy. The accountant in the beer company is happy as production costs have been reduced due to reducing the labelling on the restaurant bottles. The marketing person is happy as he or she can use their skills on the design and thought process behind the labelling for bottles that are sold in supermarkets.

As for my friend that collect the beer bottle labels well my guess is that he may soon be unhappy as instead of trying to peel off the labels from the bottles whilst sat at a restaurant table he’s having to try to do that at the supermarket…

The 3 person honeymoon and Belbin team roles…

Picture the scene. It’s the first night of your honeymoon. You’ve just married a beautiful Italian Signorina called Marianna. You’re Italian and Italian men have a reputation for being some of the most romantic men in the world.

Now, even though some may say this reputation has largely been self created, there are still certain things you should do on your honeymoon and certain things you should definitely not do on your honeymoon.

Due to Italian privacy laws the individuals concerned can only be identified by their Christian names but what did Stefano do on his honeymoon that led to his new wife divorcing him one month into their marriage?

From a project management point of view there are various tools and techniques that can be used to ensure a project runs smoothly. One of these is to ensure that the team is made up of the right type of person as well as the appropriate number of people.

A well known theory behind what makes a good team is Belbin’s team role models.

In simple terms, Belbin’s theory says that people are born with certain characteristics. Belbin gave names to the different types of people. For example, a “plant” is a person that likes to come up with ideas and is usually quite creative. A “Monitor Evaluator” is somebody with a logical eye who can make impartial judgements.

Back to the one month marriage though and Stefano decided that rather than the traditional 2 person project team that goes on the majority of honeymoons he would make his a 3 person team.

To his wife’s understandable annoyance, Stefano’s 3 person honeymoon team included himself, his new wife and his mother.

The project team first started showing signs of a split when the mother-in-law turned up at the airport for the flight to the honeymoon destination of Paris.

A honeymoon in Paris sounds great until you realise that your mother-in-law is staying in an adjoining room at the hotel you’re staying at and accompanying you to every meal and romantic boat trip along the Seine.

One month after the wedding and Marianna left the marriage home they shared in Rome and returned to her home town of Naples leaving the 39 year old Stefano without a wife.

Maybe Marianna is more of a Belbin’s “Completer Finisher” than Stefan and his mum may have thought.

Working from home?

Let’s be honest now – have you ever had a day off work when you really shouldn’t have? Have you ever called in sick when you were actually feeling ok?

Well, even if you have taken a day off work when you should have been in the office then you are nowhere near as bad as Mr Joaquin Garcia.

Mr Garcia was a Spanish civil servant who was paid €37,000 a year by a water company run by a local authority in the Spanish city of Cadiz.

He had worked for the organisation for so long that he became eligible for a long service award. The deputy mayor was due to award Mr Garcia a plaque for 20 years’ service but unfortunately Mr Garcia was not in the office.

Further investigation led to the discovery that despite being paid €37,000 a year the Spanish civil servant had failed to turn up for work for “at least” 6 years. Yes, he was employed and was being paid but hadn’t turned up for work for at least 6 years and nobody had noticed!

The water company thought that Mr Garcia was being supervised by the local authority whilst the local authority thought that the water company was supervising him. The end result was that Mr Garcia was not in the office, was not working but was receiving his full salary.

The local authority was understandably not that happy at paying somebody a full salary when that person was at home enjoying life and took Mr Garcia to court. The court found in favour of the local authority and ordered Mr Garcia to pay a fine.

Despite the local authority paying Mr Garcia for doing no work for at least 6 years, the maximum amount of fine that the company could legally reclaim was equivalent to one year’s salary.

Mr Garcia has since retired. No doubt to take it easy after all of his hard work over the last 6 years…

Would you do this for a bit of chocolate?

What’s one way of increasing the chances of getting hold of someone’s password?

Does it involve the use of the very latest supercomputer? Does it involve some clever IT geeks hacking into a computer for you?

Or does it involve chocolate?

A bit of research published in the journal Computers in Human Behaviour attempted to find out how people are obligated by the kindness of others. Or in other words, if someone does something nice for a person, how likely is it that the person will be nice back to them?

The researchers in Luxembourg conducted a survey of random people in the street asking them about internet security including questions about passwords.

Some of the people interviewed were given chocolate and some weren’t.

30% of those that were not given chocolate revealed their passwords which to me is a surprisingly high percentage and just goes to show that quite often human stupidity is the weakest link in internet security.

For the people who were given chocolate at the beginning of the interview the figure rose to 44% and if the chocolate was given just before the question on passwords was asked an incredible 48% gave their passwords! Yes, nearly half of the people asked their passwords as part of a survey told a complete stranger their password if they had been given chocolate.

Andre Melzer, the author of the study said that “when someone does something nice for us we automatically feel obliged to return the favour”.

So, in conclusion, if someone walks up to you in the office and offers you a piece of chocolate be careful what you say…

#problemswithreturns

It’s common knowledge that high street shops are struggling. A number of household names have gone (or are going!) out of business and one of the reasons for this is the rise of online shopping.

But the online stores haven’t got it easy and online clothing stores in particular are facing an emerging threat driven by social media.

A lot of people are reluctant to buy clothes online in case they don’t fit properly. To get around this a number of online stores offer free returns.

This has led an increasing number of people to take advantage of the free returns policy.

By take advantage I mean to order clothes that they have NO intention of keeping. Instead, they want to order the clothes so that they can have their photo taken wearing them and then post those photos on social media sites before returning them free of charge.

Whilst this enables individuals to look super trendy in front of their friends on sites such as Instagram and Facebook, it is proving to be a problem for retailers.

The giant credit / debit card provider Barclaycard, which sees nearly half of the UK’s credit and debit card transactions, recently undertook some research which showed the scale of the problem.

The research showed that 9% of online shoppers in the UK had bought clothes online with the aim of wearing them for a photo to post on social media and then returning them. The age group who were the largest culprits were 35 – 44 year olds where the percentage rose to a staggering 17%.

Perhaps surprisingly, men were more likely than women to “snap and send back” (12% of male shoppers compared to 7% of female shoppers).

It’s a major issue for online retailers.

George Allardice, Head of Strategy at Barclaycard Payment Solutions said “It’s interesting to see the social media trend further fuelling the returns culture. We know from our research that returns are having a big impact on retailers, with a huge figure of seven billion pounds a year in sales that they potentially can’t recognise”.

In summary, “snap and send back” equals #bigproblemswithreturns

Would you drink this coffee?

Anyone that has studied hard for their exams will almost certainly at one time or another utilised the services of a strong coffee.

Whilst desperately trying to cram that last bit of knowledge into your brain before the exams there is often a temptation to grab a strong coffee late in the night to keep your mind awake.

For years students around the world have been utilising the caffeine in coffee to help get that extra mark or two.

Coffee is said to originate from East Africa where legend has it that a 9th century Ethiopian goat herder by the name of Starbucks Kaldi noticed that after his goats had ate some coffee beans they started bouncing around like teenagers at the local disco.

This started the journey of coffee and associated caffeine hits so loved by students around the world.

Over in Thailand though a new type of coffee has just been put on sale which has, how can I put it, but a pretty unusual processing method.

The key staff involved in the processing function are also unusual as they have massive heads and bodies, weigh on average 4,000 kg and are grey in colour.

Yes, that’s right. The key team members involved in processing coffee are 20 Thai elephants.

The new brew of coffee is “processed” by getting the elephants to eat some coffee beans and then stepping back (in fact stepping way back) and letting the natural digestive juices in their stomachs do the job of “processing” the beans before they are deposited naturally on the ground a day later.

The beans are then handpicked out of the elephant dung by people who probably don’t bite their nails before being dried and then ground into coffee.

The finished coffee is said to have a slight pooey taste smooth flavour without the bitterness of normal coffee and is some of the most expensive coffee in the world selling for nearly £150 per kilo.

It’s certainly an unusual production technique but it’s also for a good cause as 8% of the sales revenue goes towards the Golden Triangle Asian Elephant Foundation, a refuge for rescued elephants in Thailand.

What’s the link between almonds, PESTEL and water?

It wasn’t long ago that you only saw almonds in health food shops but things are changing quickly.

The health benefits of almonds are extensive. They are a rich source of vitamin E, calcium, iron and zinc to name just a few items. They can be eaten raw, made into almond oil or almond milk. They are one of nature’s super foods.

If almonds have been around for a long time, why is there suddenly such an interest in them?

If you link it to the environmental analysis model PESTEL you could argue that one of the areas within the “Social” element of PESTEL that has changed recently is that people are more health aware (if you are tucking into your burger and chips whilst reading this I should stress that health awareness doesn’t necessarily mean everyone undertakes healthy eating!)

However, it does seem that people around the world are eating significantly more almonds. So much so that there is a rush to plant almond trees.

The world’s almond crop is estimated to be worth nearly $5 billion per year and the centre of almond production is California where 80% of the world’s almond crop is produced. During the last three years alone 150,000 acres of almond trees have been planted in California.

Whilst the ever increasing number of almond eaters around the world are no doubt happy about this, there are a number of people who are far from happy.

California farmers have been removing tomato, melons and other crops to replace them with almond crops. There is a problem though as the almond tree require significantly more water than the other crops.

To produce a single almond requires about 4.5 litres of water. Multiply that by the millions of almonds that will be produced on the land and you can see what an impact it will have on the local water supply.

California has been suffering droughts for a number of years and in the past there have been certain water restrictions in place for individuals. So far, the almond growers have escaped these water restrictions but a number of activist groups have been set up and this situation could soon change.

Will we see a lot of thirsty almond trees in California in the near future….

When is an ice cream not an ice cream?

It sounds like the start of a riddle but there’s an important underlying message. Namely, organisations should be monitoring the environment they are operating in to see if any changes could be impacting on their business.

A classic model for analysing the impact the external environment can have on an organisation is the PESTEL model. Those of you that are thinking of studying for your professional exams will possibly be thinking that it stands for Parties, Eating, Sleeping, Talking, Entertaining and Laughing but if you’ve passed your exams then you are probably more comfortable with the fact that it stands for Political, Economic, Social, Technological, Environmental and Legal.

Whilst all the components of this model can be important, one area which is particularly topical is the “social” component.

Within the social component one change which a lot of countries are currently seeing is people’s increased health awareness and the increase in demand for vegetarian (no meat) and vegan (no meat or dairy) food.

Ben & Jerry’s is one of the world’s leading ice cream companies and they no doubt have a very sophisticated approach to monitoring the environment. One of the more impressive things they’ve done over the last couple of years is to launch some new products which will appeal to the vegan market.

If you are a vegan, then you don’t eat meat or dairy products and whilst you are unlikely to find an ice cream made out of chicken you are extremely likely to find an ice cream made out of milk.

Ben & Jerry’s though have nicely got around this problem by launching a number of flavours of vegan ice cream.

“How can they be vegan if they are ice cream?” I hear you say.

Well, the vegan ice creams are made with almond milk as opposed to dairy milk. Now technically that means they are frozen desserts and not ice cream but I can’t see any vegan being particularly upset about that.

The non dairy range has recently expanded in the UK and Ben & Jerry’s have just launched their first coconut flavoured vegan ice cream.

It’s called “Coconutterly Caramel’d” and blends coconut-flavoured ice cream with ribbons of caramel, Fair Trade chocolate, and cookies.

“Coconut ice cream, caramel, chocolate and cookies” – I don’t know about you but just reading that description makes me feel peckish.

This is how not to do first aid in the office.

Having people trained in the office to undertake first aid is an important health and safety feature.

Organisations can send people to health and safety training or like the organisation in the video below, can get health and safety professionals to provide on site demonstrations.

Now, whilst most demos will be educational and very professional, as the video below shows, this particular demonstration was more like a slapstick comedy film.

A volunteer was asked to pretend that he was injured but unfortunately when the health and safety “professional” came into the demonstration he accidentally knocked over a shelf which then fell onto the “pretend victim” who suddenly became the “real victim”.

Luckily for all concerned nobody was seriously injured and if you want to see a fine slapstick comedy moment demonstration of health and safety then enjoy the video below.

OMG – will these hit the shelves?

Procter & Gamble, or P&G as it’s commonly known, is one of the world’s largest companies and has an incredible portfolio of products including Gillette, Head & Shoulders shampoo and Pampers nappies.

The business was set up in 1837 by two gentlemen called, yes you guessed it, Mr Procter and Mr Gamble.

Since then it has grown to become a huge organisation and is now quoted on the New York stock exchange. It has annual sales in excess of $15bn.

A recent trademark application in the US though could indicate that there may well be some new brand names joining their portfolio.

They have made applications for trademarks on household and personal care products for certain “text speak”. Or to be more precise they have filed an application for terms including “LOL” (Laugh Out Loud) and “NBD” (No Big Deal).

The move seems to be an attempt to target the tech savvy millennial generation who have grown up with this tech speak.

It’s not certain yet whether we will see cleaning products called LOL and NBD as the U.S. Patent and Trademark Office has sought clarifications from P&G and they have until January to respond.

One other interesting term which has been included in the application is “WTF”.

Could we soon be seeing “WTF Cleaner” on supermarket shelves?

Explaining what “WTF” stands for is a bit rude to print here so if you don’t know what it means then one of the quickest ways to find out is to say “WTF” when your boss next asks you to do something.

Put the kettle on (or maybe not?)

Tea and coffee have been around for a long, long time. Many a person has grabbed a strong coffee to keep them going over a long day in the office or a long night studying.

Coffee is said to originate from East Africa where legend has it that a 9th century Ethiopian goat herder by the name of Starbucks Kaldi noticed that after his goats had ate some coffee beans they started bouncing around like teenagers at the local disco.

This started the journey of coffee and associated caffeine hits so loved by students around the world.

Tea however is often seen as a healthier option but the tea industry is facing several challenges at the moment. In particular, the 16 to 34 age group in the UK are changing their drinking habits.

Only 1 in 6 people in this age group now drink 5 or more cups of tea a day.

People in the 55 to 64 age group on the other hand drink twice as much tea.

And the reason for the reduction in drinking tea amongst the younger population?

A number of reasons have been put forward. These include the fact that the younger generation feel that black tea could stain their teeth. It is also felt to be unhealthy given the amount of caffeine black tea contains.

It’s not all bad news for the tea industry though as the younger generation are drinking more green teas and fruit teas. Green tea is claimed to enhance brain function and sales are up by 39% over the last two years.

The increase in green tea sales though has failed to stop the fall in overall tea sales as the combined market in tea was down 5%.

Maybe the famous quote “Keep calm and drink tea” should be changed to say “Keep calm and drink green tea”…

Gentlemen, you’ve got 55 seconds to beat your best…

One of life’s great mysteries for men when they are at a bar or club is why women always seem to go to the ladies “powder room” in groups.

There could soon be an equally mysterious occurrence that women will puzzle over and that is why men will soon disappear to the “gents” together during a social evening out.

Well, it won’t be to adjust their makeup or to catch up on the local gossip.

No, if UK company Captive Media has anything to do with it the visits to the toilet by men could soon be a great marketing opportunity.

It’s been estimated that on a night out a man spends on average 55 seconds relieving himself each time he visits the urinals in the gents (if you ever saw a person with a clipboard and a stopwatch behind you at the urinals now you know why…)

In the eyes of Captive Media this represents a great advertising opportunity as rather than staring blankly at the wall in front of you (or telling the person with the clipboard and stopwatch to go away) they have developed a urinal-based games console which allows men to, how can we say it but aim and shoot at targets with their “stream”.

The games are mixed with adverts and include for example a downhill skiing game which is controlled by your “stream”.

It remains to be seen what products will be advertised in this way but one thing for sure ladies is that if your boyfriend or husband returns from the gents whilst you’re out together on a social evening and he says that he’s just beaten his personal best then you know what it refers to.

Missing faces at the World Cup.

The World Cup is well underway and whilst football fans around the world are enjoying a feast of top football there are a number of “missing faces”.

By “missing faces” I’m not referring to players who aren’t at the World Cup but instead I’m referring to some top global companies.

Johnson & Johnson, Sony, Continental and Castrol were leading sponsors of the World Cup but decided not to renew their contracts when the corruption scandal at FIFA (the governing body of the various football associations around the world and the body that organises the World Cup) hit the headlines a few years ago.

The money that FIFA gets from sponsorship is significant. It’s believed that a 4-year top tier sponsorship costs in the region of $150 million.

Previously, Johnson & Johnson, Sony, Continental and Castrol had no doubt spent that type of money in the expectation that it raised their profile and increased their sales

Their hope was that football fans around the world would be watching the games and then be exposed to, for example, the Sony brand and as a result somewhere down the line would end up buying a new Sony television or other electrical product from Sony.

The new sponsors for the current World Cup are a bit different though. They include major state backed companies such as Gazprom (Russia’s oil giant), Qatar Airways and Wanda (the Chinese conglomerate).

Wanda calls itself the world’s biggest property developer and Gazprom has a virtual monopoly.

It’s difficult to see how their sales would receive a boost from the World Cup exposure.

It’s not just sales though that are in the mind of sponsors. With the World Cup being held in Russia there’s an obvious link to sponsorship. Qatar are hosting the next finals in 2022 and the presence of Wanda will help increase the exposure of football in China where it’s been reported that President Xi has ambitions to make China a great footballing nation.

Either way, I’m sure the supporters of the team that ends up winning the World Cup won’t really care too much over who sponsors the World Cup – It’s the winning the tournament that counts as far as they are concerned…

Grab your goat and let’s go…

Creativity and innovation in any organisation should always be welcome and whilst technology is often at the forefront of innovation it is sometimes the really simple ideas that can create benefits.

Unfortunately, in this particular situation it didn’t quite go according to plan.

The initial idea was good. Officials in charge of the 1,200 acre Minto-Brown Island Park in Oregon in America were concerned that several invasive plants were taking over the park and killing off a number of the native flora including maple and hazelnut trees.

The solution put forward was to create a crack team of 75 goats who would eat the invasive plants such as the Armenian blackberry and the English Ivy which would then mean that the native flora would thrive.

75 goats were duly obtained from a company called Yoder Goat Rentals (as an interesting aside I wonder how many of you were aware that you could rent a team of goats. I certainly wasn’t.)

The goats got down to work but 6 weeks later the project was cancelled.

There were a number of issues.

Firstly, the goats were fairly relaxed about what they ate. In terms of the invasive Armenian blackberry for example they decided to eat the tasty blackberry leaves but left the prickly bramble. This resulted in the plant carrying on growing.

Secondly, they didn’t show any distinction between the (tasty) maple and hazelnut trees which they were supposed to be helping and the invasive plants.

Thirdly, the total cost of the 6-week pilot programme was $20,719 which was nearly 5 times the $4,245 cost for a normal parks maintenance man supported by a prison inmate work crew.

Finally, according to a report to the city council the goats “had a barnyard aroma”.

In summary, a nice try but it didn’t quite work. Still, as any successful business person will surely agree, you don’t progress unless you try. Better luck next time and at least the goats had a nice 6-week holiday in a lovely park…

This is shocking…

A lot of our readers are accountants or are training to be accountants. It should arguably follow therefore that you are good with figures. You are good with numbers and can manage your finances.

Not everyone though may be as good at managing their own personal finances and for any of you who may have problems controlling your spending, a new product will shortly be hitting the market which could be of interest to you.

A British company by the name of Intelligent Environments has developed a wristband that will deliver an electric shock to the wearer when they exceed pre-set spending limits.

The Pavlok wristband links to an individual’s online bank account and when a pre-set limit is exceeded a 255-volt electric charge is delivered to the wearer. The wristband is named after the Russian scientist Ivan Pavlov whose research showed that the behaviour of dogs could be altered by the prospect of reward or punishment.

Submitting yourself to an electric shock to stop yourself spending money does seem a bit extreme and with a cost of £120 then the buyer may well end up having an electric shock earlier than anticipated…

A clean start…

I guess a lot of us have been there – we stagger out of bed in the morning half asleep and get in the shower. Suddenly we start to have some great business ideas and wish we had a pen and piece of paper.

Now, if I’m entirely honest with you this has never happened to me and I doubt it ever will.

The thought usually going through my mind is more of wouldn’t it be nice to have a bit longer in bed rather than be in the shower getting ready for work.

It seems though that not everyone shares my lack of business enthusiasm in the shower.

Marriott hotels in the US undertook research which indicated that half of business travellers felt that their best ideas came whilst showering.

So why all this talk about showers and ideas?

Well, Marriott have turned some of their shower doors into digital notepads.

Yes, after the door steams up, guests can write their business ideas on it (or for that matter draw a rude picture of their boss if they wanted to) and then their completed creation will be emailed through to them.

In the words of Marriott, so that “their brilliance doesn’t wash away”.

I’m not convinced that I have too many moments of business brilliance in the shower but fair play to Marriott for coming up with a clever use of the shower door.

No need to buy a stamp.

It will hardly come as a surprise to you but people aren’t sending as many postcards from holidays as they used to.

Back in 1997 about 70% of people in the UK who went on holiday sent a postcard home to family or friends. That figure has now fallen to 28%.

There are two main reasons for the reduction.

The first is the impact of the selfie generation and the increase in social media. People are posting pictures of themselves on sites such as Facebook or Instagram instead of sending a postcard. After all, why send a postcard of a generic view of the place you’re visiting when you can post a nice selfie of you on holiday on social media.

The second reason for the reduction is the change in the holiday habits of a lot of people. The rise of low cost airlines such as easyJet and Ryan Air has meant that people are taking more shorter breaks rather than an annual 2-week holiday.

If you’re on a short break of a few days why bother sending a postcard from a short break as you’ll be home before the post card arrives.

Unsurprisingly there have been some corporate casualties as a result.

J Salmon is Britain’s oldest publisher of postcards.

Actually, I should rephrase that and say that J Salmon was Britain’s oldest publisher of postcards as it recently stopped producing postcards.

The company has been run by the same family since 1800 but recently stopped producing postcards due to lack of demand.

At the moment the company is still trading and is selling diaries and calendars.

I wish them well but when you think about it, people stopped sending postcards because they could take photos on their phone and post them on social media.

The question is how many people keep their diaries and calendars on their phone?

Will diaries and calendars go the same way as postcards?

Does this mean Way Too Fat?

January is one of the most popular months for people looking to lose weight. New Year resolutions often revolve around getting fit or dropping a kilogram or 2.

Losing weight can be big business for companies.

Weight Watchers is one of the largest and most successful companies involved in the business of losing weight. They were founded more than 50 years ago in the living room of entrepreneur Jean Nidetch in Queens, New York and since then have grown to a huge company.

They now have over 1 million active members who attend approximately 32,000 Weight Watchers meetings around the world.

That’s a big organisation and they have just signed up a big star to help with their promotions.

The American music producer DJ Khalad is big in a number of ways.

Firstly, he is one of the largest stars on social media (he has nearly 4 million Twitter followers).

Secondly, he is large in terms that he is overweight.

DJ Khaled isn’t alone in trying to lose weight in 2018 but what makes him different is that Weight Watchers have signed him up as a social media ambassador. He will be paid an undisclosed sum to follow the new Weight Watchers Freestyle programme and will document his progress on his social media accounts.

This is obviously good news for Weight Watchers because it will be great publicity if he loses weight (we’ll ignore for now what happens if he doesn’t lose weight…).

The market also thought it was good news as the shares in Weight Watchers shot up 8% on the New York stock exchange the day his appointment was announced.

Maybe it’s best not to go out for a big meal to celebrate though…

It will be a pleasure to go shopping with you…

It may be stating the obvious but if you’re a retailer in a shopping centre you’ve more chance of making a sale if people are in the shop.

Retailers in shopping centres face a number of threats. Some of these are a more recent phenomenon (e.g. the rise of internet shopping) whilst others have been around for a number of years.

One of these threats which has been around for a while is something which I’m sure a number of our male readers can sympathise with.

Let me ask the male readers out there who are married a question – have you ever gone shopping with your wife and at the start of the shopping trip things were going well but it soon descended into a long and windy journey through shops which to the male eye looked very similar but to the female eye were all different and offered new and exciting opportunities to try new items of clothes?

With the wife enjoying every moment but the husband getting more and more frustrated it is only a matter of time until stress levels rise, an argument ensues and the shopping trip is cut short.

A number of shops have chairs for the men to sit on and magazines to read but over in China, Shanghai’s largest shopping centre has come up with a novel way of keeping men occupied so that the wives are free to shop without the husbands getting bored.

Global Harbour shopping centre has introduced “Video Caves”. These are glass booths with a comfortable chair, a games console and a large screen. Men can be left to play computer games free of charge whilst their partners can shop to their heart’s content. The booths are soundproof so the computer games won’t disturb the other shoppers.

All in all, a great idea to keep the both the “lady shopper” and the “dragged behind man” happy but is there a potential problem?

After all, if you ask a lady how easy it is to get her other half off of a computer game when he’s nearly reached his top score, will we start to see women looking bored whilst waiting for the husband to finish his video game…

What was Roger Federer wearing?

Roger Federer became arguably the greatest ever male tennis player when he won a record 8th Wimbledon title by beating Marin Cilic but did you see what he was wearing?

Now, I’m not talking about his shoes, shorts or top but rather something less associated with the sport of tennis.

Sponsorship is big business for the top sports stars and as far as Mr Federer goes he’s doing pretty well when it comes to sponsorship. Forbes named him as the world’s highest paid tennis player last year when his prize winnings and sponsorship deals earned him over £50 million.

Winning Wimbledon was a good opportunity for Federer to add to his earnings (the prize money for winning Wimbledon was £2.2 million this year) but it was also a good opportunity for the sponsors to be associated with such a successful person (and of course hope that people will buy more of their products!)

Federer has a number of sponsors ranging from Nike to Credit Suisse but back to what he was wearing though and did you notice the watch that he wasn’t wearing during the match but was wearing when he was presented with the trophy?

Another of his sponsors is the Swiss Watch Manufacturer Rolex and after Federer won the match he quickly put his £6,000 Rolex Oyster Perpetual Datejust II onto his wrist before the presentation.

The end result was no doubt a very happy Rolex company whose watch was on the front pages of all the newspapers.

Some great publicity for the company.

Will we see this trend for tennis players putting designer watches on before they are presented with a trophy expand to other sports?

Will we see the captain of the winning team at next year’s football World Cup wearing a watch when he lifts the trophy??

I’ve got too much on my plate to start dieting…

According to the World Health Organisation, worldwide obesity has more than doubled since 1980 and more than 10% of the world’s population are now classified as obese.

In the UK, NHS obesity statistics suggest that nearly 60% of women and 70% of men are overweight.

The number of hospital admissions in the UK linked to obesity has increased 10 fold from 52,000 in 2006 to 520,000 in 2016.

Now whilst this obviously isn’t good news for the health of the individuals concerned it also raises challenges for businesses which are affected by this increase in weight.

Airlines for example will soon need to be looking at different sized seats or charging people over a certain weight for 2 seats.

Theatres and cinemas will also no doubt be reviewing seat sizes when the venues next come to be refurbished.

Clothing manufacturers will face higher average material costs and in the public sector, hospitals and ambulances will soon need to invest in stronger beds and stretchers to transport the larger patients.

According to recent reports for example, ambulance services in the UK are now having to purchase specialised ambulances costing significant amounts of money to transport the most obese patients. The London ambulance service has purchased 3 specialist bariatric ambulances and strechers which can take patients weighing up to 70 stone (444.5kg).

These ambulances aren’t cheap and can cost in excess of £100,000 each. Specialised heavy duty stretchers alone cost between £7,000 and £10,000 each.

These are some pretty significant costs and some people may argue that people should simply lose weight rather than rely on the National Health Service to fund these expenses.

Whether these people will get themselves down to the gym though is a different matter. Whilst there could clearly be an opportunity for businesses such as health clubs to try and target these individuals are they simply too busy to head to the gym and do they literally have too much on their plates to find the time?

A bit of a tpyo

We’ve all done it. Pressed the wrong key on the keyboard and before you know it you’ve sent an email or report with a typo in it.

Most of the time these are fairly harmless. This, together with spellcheck facilities means that normally it’s not a major problem if there’s the odd typo.

Unfortunately though, if you’re a software coder then a typo can have a major impact.

Cloud services are where companies store their data on remote servers held by companies such as Amazon, Google and Microsoft.

Last week, numerous websites which use Amazon’s cloud servers went down. These were major websites such as quora.com and soundcloud.com. Amazon subsequently revealed the problems were down to an employee who was trying to fix a software bug in a billing system but typed in the wrong string of characters.

Amazon said that “the command was intended to remove a small number of servers. Unfortunately, one of the inputs was entered incorrectly and a larger set of servers was removed than intended.”

Amazon quickly resolved the issue though and stated that they had “added safeguards to prevent capacity from being removed when it will take any subsystem below its minimum required capacity level. This will prevent an incorrect input from triggering a similar event in the future.”

There are lots of advantages of using cloud servers but as this illustration highlights there are also disadvantages.

Your new (waggy tailed) baby

It’s a busy time for new parents when a baby comes along. Lots of employers give maternity and paternity leave for the new mums and dads but what about when your “baby” has 4 legs and a waggy tail?

Artisan Brewers BrewDog are a Scottish beer company who are very successful and sell their craft beers around the world.

They are also pretty unusual. They have grown from having two staff and two investors in 2007 to a current global team of in excess of 500. It has broken crowdfunding records with more than 32,000 shareholders.

More recently though, they became the first major company to offer their employees a week off if they get a new puppy. This will enable the humans to bond with their new pets without worrying that their work will suffer.

Founders James Watt and Martin Dickie, who themselves founded the company with their dog Bracken, said in a company statement that ‘Yes, having dogs in our offices makes everyone else more chilled and relaxed – but we know only too well that having a new arrival – whether a mewling pup or unsettled rescue dog – can be stressful for human and hound both.

‘So we are becoming the first in our industry to give our staff help to settle a new furry family member into their home,’

If any employees are thinking of getting a new puppy, then they won’t be the first in the company with a dog.

As well as providing time off for new dog owners, BrewDog also allow their employees to take their pet dogs into the office and there are currently over 50 employees at their head office alone who take their dogs to the office every day.

Does this suit you?

What do you wear to work?

If I had asked that question 10 years ago the chances are that a large proportion of answers would have been “a suit”.

Things are different now though. Tastes are changing and so are a number of office dress codes. As a result, fewer people are now wearing suits to the office.

A number of major companies revised their dress codes this year. JP Morgan for example decided to allow their employees to wear business-casual attire on most occasions. PwC also switched to a more casual dress code where employees were allowed to wear jeans as long as there were no client meetings.

Whilst this relaxing of business wear rules can have benefits for individuals who prefer to work in more casual clothing, there are some organisations who will suffer.

Fashion brands focussing on tailored men’s suits are an obvious example of a business which could suffer due to the decline in demand for men’s suits.

Brioni, the Italian menswear fashion house owned by French holding company Kering was founded in Rome in 1945 and is renowned for its high-quality suits. It has had numerous famous faces as its customers including James Bond in the Bond films from Goldeneye to Casino Royale and more recently it was reported that Donald Trump has been wearing Brioni suits during his US presidential campaign.

But things aren’t going well for Brioni.

Earlier this year Bloomberg reported 400 job losses due to a fall in demand and recently Justin O’Shea, the creative director of Brioni who was brought in to modernise the luxury Italian brand, left abruptly after just six months in the job.

Mr O’Shea is well respected in the fashion industry and has a reputation for being a very straight talking person. He told Vogue that “First of all, I would change the shitty logo. I would change the campaign. I would change the clothes. In fact, I would change pretty much everything.”

When it comes to change though, one thing seems certain and that is that the fall in demand for men’s suits is unlikely to change given the relaxing of more and more office dress codes.

Is it you or your competitor?

Sometimes it’s not what you do that counts but what your competitor does.

Apple are without doubt a great company and one of the most successful organisations that has ever existed.

They released their iPhone 7 the other week and whilst the die hard Apple fans will say that it is a big step forward for the iPhone, a number of commentators were not overly impressed with it.

But, and it’s a big but – their share price has been performing phenomenally well over recent weeks.

Just over 3 months ago at the end of June the price of an Apple Share was $92.04.

Since then the share price has increased by nearly 28%. This increase is partly due to the introduction of the new iPhone but the problems of their biggest competitor have also played a major part in their share price increase.

Samsung’s Note 7 has been a disaster for the South Korean company. Reports of the newly introduced Note 7 catching fire and the subsequent withdrawal of the phone from the market have caused big problems for Samsung.

Not so for Apple though as the 28% increase in their share price driven by the new iPhone and the problems at Samsung has resulted in the company increasing its value by $138 billion in the 109 days from 27 June to 14 October. Yes, the market value of Apple increased by $138,000,000,000 in just over 100 days.

$138 billion in 109 days is equal to

$1.27 billion per day, or

$52.75 million per hour, or

$879,205 per minute, or

$14,653 per second.

That’s not too bad an increase is it?

A good excuse to buy another handbag?

How much do the Louis Vuitton handbags cost?

A lot is the simple answer but some recent research by Deloitte’s has shown that the price of luxury items varies significantly around the world and foreign exchange movements play a big part in that valuation.

According to Deloitte, in US dollar terms London is now the “cheapest” city to buy designer and luxury goods.

Since the Brexit vote in June, at the time of writing the pound has fallen by more than 17% against the dollar (i.e. you need 17% more pounds now to buy the same amount of dollars you would have received back in June).

According to the research, on 7 October a Speedy 30 handbag from Louis Vuitton costs £645 ($802) in London, €760 ($850) in Paris and $970 in New York. China was the most expensive place to buy it with the handbag costing 7,450 Yuan ($1,115).

Nick Pope, fashion and luxury lead at Deloitte, told the BBC that “the trend in luxury pricing in the UK is being driven mainly by the depression on the sterling – thus making the same item more affordable in the UK than in any other luxury market”.

Of course, if your income is in British pounds then the cost to buy the handbag in London remains the same. If however your income is in another currency such as US dollars then it is $313 cheaper to buy in London than in China for example. If you are stocking up on your luxury handbags should you be planning a trip to the UK?

It’s not just the ladies from outside the UK who are buying luxury handbags who could be benefiting from the exchange rate movement.

Any male readers may be interested to know that a Brunello Cucinelli cashmere V-neck sweater now “only” costs £650 ($843) in the UK compared with $942 in France and $995 in the US.

$843 for a sweater?

Please form an orderly queue as you rush to the shops to buy one. Or maybe two…

Sam Allardyce and José Mourinho

As England’s football manager there are certain things that you should do and certain things that you shouldn’t do.

Winning a major tournament is a thing that you should do for example whilst looking to receive large amounts of money to advise people how to get around football transfer rules is something you shouldn’t do.

Alas for Sam Allardyce he did the latter and not the former and is now no longer the England football manager.

There are plenty of ways that football managers can make money in a legitimate and ethical way and maybe Mr Allardyce should have followed the example of the current Manchester United boss Jose Mourinho.

In addition to the £12 million wages Mr Mourinho receives from Manchester United he also does pretty well from various other activities.

Hublot watches, Adidas, Jaguar, BT Sport, Lipton Tea and EA Sports all pay a significant amount of money to Mr Mourinho to endorse their products. They see him as an internationally recognised figure with global appeal.

The latest big name to sign him up is Heineken. They reportedly will pay him £4 million for a 2-year deal to be Heineken’s global football ambassador.

That’s a pretty nice sum of money to receive and it got the accountant in me thinking about the financials from Heineken’s point of view. How many additional litres of beer would Heineken need to sell to cover the cost of appointing José Mourinho?

Heineken’s latest set of published accounts show revenue of €20.5 billion with an operating profit of €3.4 billion. In 2015 they sold 18.8 billion litres of beer. Ignoring various accounting items such as contribution and fixed costs it follows that each litre of beer generates approximately €1.09 of revenue and €0.18 of operating profit.

To cover the £4 million (approximately €4.6 million) cost of José the company would need to sell an additional 26 million litres of Heineken!

This clearly shows the challenges involved when an organisation is deciding whether or not to undertake any form of sponsorship or increasing brand awareness as it is virtually impossible to accurately place a financial value to the benefits achieved. The marketing guys would argue that the value is more than purely an increase in immediate sales revenue.

The fact is that it is extremely difficult to directly link an appointment of a brand ambassador to an increase in sales. There are numerous other items which can impact on the sales of a product. For example, a sudden heatwave would increase the amount of cold beer that is drunk and not even Jose Mourinho could claim to be able to impact the weather.

Back to Mr Allardyce though and whilst I doubt that many companies will be approaching him to sign him up as a brand ambassador, at least he can claim to be the only England manager who won all of the games where he was in charge (even if it was only for one game…)

It’s a dog’s life…

Greece has had a bad time of it over the last couple of years in terms of their finances but a recent announcement by their Finance Ministry may result in animals coming to the rescue.

When I say animals, I should be more specific and say that dogs will be helping out and not just any dogs but dogs who can sniff out money.

Let me explain a bit.

It’s been well documented that Greece has had a few financial problems. There were fears that they would crash out of the euro. Capital controls followed and there was a new international bailout for the country.

As a result, a lot of the Greek population perhaps understandably didn’t feel that confident in trusting the banks to look after their cash and a significant amount of money is being held outside of banks.

From November 2014 to July 2015 over 50 billion euros was withdrawn from the banks and It’s been estimated that between 15 to 20 billion euros is still being held by Greeks outside of the banking system.

That’s a lot of mattresses to be storing cash under and people are looking at avoiding capital controls and instead take the money out of the country without the authorities knowing.

Taking a suitcase of cash out of the country is seen as a safe option for a lot of people.

So, where do the dogs come in?

Well, a recent posting on a government website said that a team would be put together to assess tenders for the provision of dogs whose job is to detect cash. The dogs would be in place to sniff out significant amounts of cash being taken out of the country at border points.

Given all the money problems in Greece, one big advantage of this plan is that the dogs won’t be paid in cash. Instead, they will be more than happy to be rewarded with a biscuit or two…

Would you do this for a bit of chocolate?

What’s one way of increasing the chances of getting hold of someone’s password?

Does it involve the use of the very latest supercomputer? Does it involve some clever IT geeks hacking into a computer for you?

Or does it involve chocolate?

A recent bit of research published in the journal Computers in Human Behaviour attempted to find out how people are obligated by the kindness of others. Or in other words, if someone does something nice for a person, how likely is it that the person will be nice back to them?

The researchers in Luxembourg conducted a survey of random people in the street asking them about internet security including questions about passwords.

Some of the people interviewed were given chocolate and some weren’t.

30% of those that were not given chocolate revealed their passwords which to me is a surprisingly high percentage and just goes to show that quite often human stupidity is the weakest link in internet security.

For the people who were given chocolate at the beginning of the interview the figure rose to 44% and if the chocolate was given just before the question on passwords was asked an incredible 48% gave their passwords! Yes, nearly half of the people asked their passwords as part of a survey told a complete stranger their password if they had been given chocolate.

Andre Melzer, the author of the study said that “when someone does something nice for us we automatically feel obliged to return the favour”.

So, in conclusion, if someone walks up to you in the office and offers you a piece of chocolate be careful what you say…

This is shocking…

A lot of our readers are accountants or are training to be accountants. It should arguably follow therefore that you are good with figures. You are good with numbers and can manage your finances.

Not everyone though may be as good at managing their own personal finances and for any of you who may have problems controlling your spending, a new product will shortly be hitting the market which could be of interest to you.

A British company by the name of Intelligent Environments has developed a wristband that will deliver an electric shock to the wearer when they exceed pre-set spending limits.

The Pavlok wristband links to an individual’s online bank account and when a pre-set limit is exceeded a 255-volt electric charge is delivered to the wearer. The wristband is named after the Russian scientist Ivan Pavlov whose research showed that the behaviour of dogs could be altered by the prospect of reward or punishment.

Submitting yourself to an electric shock to stop yourself spending money does seem a bit extreme and with a cost of £120 then the buyer may well end up having an electric shock earlier than anticipated…

High heels at PwC

Let me ask the men who are reading this a quick question – how would you feel if you had to wear uncomfortable high heels during a 9 hour working day?

My guess is that unless you have a pretty unusual job, as a man you wouldn’t feel too happy wearing high heel shoes. There would also probably be some fairly blunt discussions with your employer if they made it compulsory that you wore high heels.

If you’re a woman though, then it’s a different matter.

Nicola Thorp, a 27-year-old lady was temping at PwC’s office in central London as a receptionist. She turned up for her first day of work at PwC in flat shoes but she was told she had to wear shoes with a “2 inch to 4 inch heel” (5 cm to 10 cm).

According to the BBC, when she refused and complained that male colleagues were not asked to do the same, she was sent home without pay.

To be fair to PwC though, they had outsourced the reception duties at their London office to outsourcing firm Portico and the dress code was not a PwC policy. A PwC spokesman told the BBC that “PwC does not have specific dress guidelines for male or female employees.”

Portico said that Ms Thorp had signed the appearance guidelines but would now review them.

Ms Thorp however has taken the matter further. She has launched a petition on the UK Parliament website calling for it to be illegal for companies to demand that women wear high heels.

The UK Parliament website works in such a way that if a petition receives more than 100,000 signatures the matter will be considered for debate in parliament.

As at the time of writing, the petition has received over 140,000 signatures so it’s likely that the matter will be debated in Parliament.

My guess is that being debated in the UK parliament was the last thing on her mind as Ms Thorp put on her shoes to head into her first day of work at the offices of PwC in London…

Grab your goat and let’s go…

Creativity and innovation in any organisation should always be welcome and whilst technology is often at the forefront of innovation it is sometimes the really simple ideas that can create benefits.

Unfortunately, in this particular situation it didn’t quite go according to plan.

The initial idea was good. Officials in charge of the 1,200 acre Minto-Brown Island Park in Oregon in America were concerned that several invasive plants were taking over the park and killing off a number of the native flora including maple and hazelnut trees.

The solution put forward was to create a crack team of 75 goats who would eat the invasive plants such as the Armenian blackberry and the English Ivy which would then mean that the native flora would thrive.

75 goats were duly obtained from a company called Yoder Goat Rentals (as an interesting aside I wonder how many of you were aware that you could rent a team of goats. I certainly wasn’t.)

The goats got down to work but 6 weeks later the project was cancelled.

There were a number of issues.

Firstly, the goats were fairly relaxed about what they ate. In terms of the invasive Armenian blackberry for example they decided to eat the tasty blackberry leaves but left the prickly bramble. This resulted in the plant carrying on growing.

Secondly, they didn’t show any distinction between the (tasty) maple and hazelnut trees which they were supposed to be helping and the invasive plants.

Thirdly, the total cost of the 6-week pilot programme was $20,719 which was nearly 5 times the $4,245 cost for a normal parks maintenance man supported by a prison inmate work crew.

Finally, according to a report to the city council the goats “had a barnyard aroma”.

In summary, a nice try but it didn’t quite work. Still, as any successful business person will surely agree, you don’t progress unless you try. Better luck next time and at least the goats had a nice 6-week holiday in a lovely park…

What’s in a name?

The Indian car manufacturer Tata Motors, part of the Tata Group, one of India’s largest conglomerates recently skilfully averted what could have been a major international marketing mistake.

Tata motors, who also own the Land Rover and Jaguar brands, are about to launch a new small hatchback car. They debuted it at the recent 2016 Auto Expo as the Zica (short for Zippy Car) but following the rapidly spreading Zika virus which has infected over a million people in Latin America and which was declared an international health emergency, they decided to change the name to avoid any unwanted links between the two names.

The car will now be launched as the Tiago and the change was impressively dealt with by the company. They reacted quickly to the similarity and ran a competition via social media for the public to choose the new name. Over 30,000 names were put forward in the competition but Tiago was selected by the public as the winner.

However, if you look up the definition of Tiago in the Urban Dictionary the top two definitions are firstly, “Tiago is a great Portuguese king” and secondly “Tiago is a sex God who is…”.

I’m not sure the Tata marketing guys looked at the Urban Dictionary before agreeing to Tiago but in any case, if you see a man driving a Tiago then surely he’s either the Portuguese king or a sex God…

My Little Pony or My Little Font?

My Little Pony is a very successful entertainment brand developed by the giant US toy multinational company Hasbro. The My Little Pony range of products first started back in the early 1980s when a line of plastic pony toys was introduced.

Since then the toy line has been joined by a number of animated TV series as well as an animated full length feature film.

All in all, a great success but there’s now a potentially very serious issue concerning the font they use on their products.

Typeface company Font Brothers design fonts and last month filed a law suit against Hasbro claiming that My Little Pony uses one of their fonts without permission.

According to Font Brothers, Hasbro used their “Generation B” font for their My Little Pony products and website without obtaining the correct licence. In other words, they are claiming that My Little Pony is using a pirated font.

Now whilst some people may say that using a font is a minor issue, if the courts find that they have been using it without the proper licence then it could be a very serious matter.

The complaint filed at the New York federal court stated that “Defendant Hasbro has used or instructed others to use unauthorised copies of the Generation B Font in the creation of, but not limited to, all products, goods, merchandise, television and film properties, and advertising material connected with the ‘My Little Pony’ product line…”.

It went on to say that “Defendant Hasbro has created unauthorised and infringing copies of the Generation B Font software and impermissibly distributed the same to third parties.”

Some fonts are so similar that it is difficult to prove which font is being used but the style sheet on Hasbro’s website specifically mentioned the Generation B Font so it will be difficult for them to claim that they weren’t using the font!

It looks like Font Brothers tried to settle matters before it got to court as they wrote in their complaint that they had contacted Hasbro about the unauthorised use but the toy company refused to license the font for their products.

The matter is now in the hands of the court but seeing as the infringements cover such a significant product there is a chance that damages could amount to a significant figure.

It may well be that it wasn’t My Little Font but it was in fact Your Little Font.

Let’s not run this up the flag pole…

Most of us have been there. Sat in a meeting when somebody decides to use “management speak” or “corporate jargon” to make something sound more impressive than it is.

You’ve probably heard of the phrase “think outside the box” but what about “let’s not boil the ocean”?

Michael Sugden, chief executive of the advertising agency VCCP, recently put together a list of the most irritating metaphors used in the corporate world.

He wrote in Marketing Magazine that the increased use of corporate jargon in recent years has resulted in meetings degenerating “into a quagmire of nonsensical verbal piffle”.

He put together his top 10 of the most annoying phrases and in reverse order the results are shown below.

Oh and in case you’re “not singing off the same hymn sheet” I’ve translated the “management speak” into English in the italics below the phrase.

10. Think outside the box
– come up with new ideas…

9. I may have a window for you
– I can see you on…

8. Content is king
–  first used by Bill Gates in 1996 to indicate that content would drive the success of the internet. It now appears to be used for random purposes in meetings…

7. Let’s not boil the ocean
– let’s not make this too complicated…

6. Level playing field
– keep things equal…

5. Let’s workshop this
– let’s spend far too long talking about this in a meeting…

4. Shift the dial
– to be honest I’m not 100% sure but possibly means talk about something else. Either way it sounds very dramatic in a meeting…

3. Let’s socialise this
– let’s talk about this…

2. Fail forward
– when something doesn’t work but we try to learn from it (if we still have a job after the error of course…)

1. Growth hacking
– again, I don’t think anyone is 100% sure what it means but it does sound very impressive…

So, there you go. A list of 10 phrases to [impress / annoy – delete according to how you feel about the phrases] your colleagues at meetings.

It’s a horses what?!

Business is becoming very international nowadays and more and more people are spending time working as an expat in other countries.

If you do end up working abroad it can be a great opportunity to experience another culture. One thing that is highly recommended though is not to offend the locals when it comes to their traditions.

Michael Mcfeat, a British employee of Kyrgyzstan’s largest gold mine, learnt a valuable lesson recently about the dangers of commenting on local traditions.

Whilst at a New Year’s Eve party he posted on Facebook saying that his Kyrgyz colleagues were queueing up for their “special delicacy, the horse’s penis“.

Mr McFeat was joking about the national dish “chuchuk”.

Vegetarians and horses should look away now but chuchuk is a sausage made from horsemeat and horse intestines.

Now whilst a lot of people would have seen the joke that Mr McFeat was trying to make, it appears that not everyone shared his sense of humour.

Some of his colleagues who work at the Kumtor mine briefly went on strike and there were calls for him to be prosecuted as a number of people claimed his action of comparing one of their national dishes to a horse’s penis constituted “inciting hatred”. If he was found guilty of such a crime he could have faced between three and five years in prison.

It was good and bad news for Mr McFeat though.

Whilst he was detained by the state security service for questioning (bad news), he was released by them with only a warning (good news) but they found out that he didn’t have the correct work permit (bad news) and as a result he was deported from the country (bad news).

So, the end result is that he is now back home and no longer eating horse penis working as an expat.

Don’t upset your web developer.

Cash flow can be a real challenge for businesses. Smaller ones especially can find it very tough to get paid on time and bigger organisations can sometimes dominate the relationship.

After all, if for example you’re an individual freelancer and are negotiating with a large company for work you will find it tough to get short settlement terms. Also, if the big company is late in paying it’s very difficult for the smaller party to “force payment”. Going to court for payment of a relatively small amount of money isn’t cost effective as the legal fees would far outweigh the money owed.

Reddit user absando is a freelance web designer and recently posted a great illustration of how he dealt with things when a big company “forgot” to pay him.

He posted that ‘I used to do freelance translating work a few years ago and I finished a 1,200 word technical manual for an Indian client that had good reviews on their industry profile. Normally payment for freelance transitions can range between 30 to 60 days, and under my contract they had 60 days to pay the amount.’

Straight away we can see that absando has a tough time as 60 days isn’t a particularly short payment term.

Things got worse for him though.

He continued explaining ‘Fast forward to the 65th day since I delivered the project and I didn’t hear anything from them. After multiple phone calls, e-mails and Skype messages, I received no word from the client so I decided to give up, write a negative review and move on.’

Whilst a lot of people in that situation would have had to write off the debt, absando was lucky.

Six months later the same company got in touch with him and obviously forgot that they hadn’t paid him last time. This time the project was for some web design work and he played it really well as rather than ask for the money he was owed, he kept quiet about it and got on with the project.

In a stroke of genius though he completed the project on time but didn’t send it all in. Instead, he changed the lock screen to the fine piece of artwork shown above.

He continued: “Surely enough a couple of hours from the deadline the translation company was frantically trying to reach me, sending emails and even trying to call my American number. They were freaking out because the project was due for their client on the very same day, and if they didn’t get it they’d lose their business with them.

I gladly responded, saying: ‘Hey remember that freelancer you stood up 6 months ago, yeah that’s me. I have your project ready to go, but you need to pay me for my previous work PLUS interest.”

Needless to say the cash was deposited into his account within 30 minutes.

Nice work!

Adidas and Nike – who’s going to win this one?

What type of business would you say Adidas and Nike were in?

Are they sportswear brands, fashion brands or both?

I think it’s fair to say that they segment their markets pretty well and have both sports and fashion markets under control.

Last year Adidas spent more than 13% of their annual sales on marketing (the industry average is 10%) and they have just announced a “new signing” who is going to cost them a significant amount of money.

Kayne West, the world class sportsman renowned rapper will be the face of Adidas’s new Yeezy range of clothing and footwear.

Now, whilst you’re unlikely to see many top sportsmen wearing the Yeezy clothes and shoes whilst playing sport, Adidas are no doubt expecting to sell plenty of the Yeezy branded products to people who will be buying them for their cool factor (I appreciate that the definition of cool is a subjective matter and I’ll leave it up to you to decide whether or not you consider Kayne West to be cool…).

The amount that Mr West will receive has been kept confidential but it’s clearly not going to be an insignificant amount. He previously was an ambassador with Nike where according to sneakernews he was offered $4million per year to stay with them but he turned them down.

So, Adidas are using Kayne West to help promote their products to the “people who like Kayne West segment” but there’s another segment that is seeing some change.

The woman’s sportswear segment has to a certain extent been neglected by Adidas and Nike over recent years. Despite Adidas linking up with Stella McCartney (the famous designer and daughter of the Beatles singer Paul McCartney), competing brands such as Sweaty Betty and lululemon have experienced significant growth following their focus on the higher quality end of the ladies sportswear market.

To try to get a bigger share of the ladies sportswear market and to counter the threat that Sweaty Betty and lululemon are creating, Nike has announced a collaboration with Japanese fashion label Sacai (a brand I’m led to believe enjoys cult like status amongst certain fashion aficionados and as the images above from the Sacai Facebook page show, have very fashionable outfits).

Going back to Adidas and Nike, one thing is for sure and that is that both companies have changed beyond recognition from when they were set up.

In the 1920s in Germany, brothers Adolf and Rudolf Dassler set up a shoe making business but soon fell out with each other and went their separate ways.

Adolf (Adi) Dassler kept the original company but renamed it Adidas (named after his first name and part of his surname) whilst Rudolf left and set up the sportswear brand Puma.

Whilst Adidas and Puma were set up by brothers, Nike has an altogether different background.

Nike, was established in 1962 by Phil Knight, who incidentally was an accounting major, and is one of the best companies in the world in terms of getting its marketing just right.

That leads to my final observation and that is the fact that Nike do tend to get their marketing right. Will it necessarily be a bad thing for them that Kayne West has left them and is now with Adidas?

Does this winner only go out at night?

Imagine the scene. You want to go to a music Festival but the tickets are expensive.

What do you do?

I know. Why don’t you pay for the tickets with blood rather than money?

Now whilst this statement may sound a bit weird, some creative minds behind the Untold music festival in Romania have come up with an excellent idea which is a classic win – win situation.

In fact, rather than a win – win situation it’s more of a win – win – win situation.

So who are the three winners in this situation?

The organisers of the festival identified the fact that Romania has one of the lowest percentages of people who donate blood (Romania ranks second to last in Europe regarding the number of blood donors with only 1.7% of the population donating blood) and came up with a novel way of helping to increase the amount of blood donations.

They offered free tickets and discounts to people who donated blood.

It was reported that up to 500 people donated blood so all in all a very successful project.

The Blood Transfusion Service was a winner as it received more blood and importantly raised awareness of the need for more blood.

The organisers of the festival were winners as this was a very slick piece of PR for a first-time festival and despite having top DJs such as Avicii and David Guetta headlining the event it was great to have national and global publicity as a result of this.

The third winner were the individuals who gave blood and obtained free tickets.

Mysteriously though, was there a fourth winner?

It hasn’t gone unnoticed that the festival took place in Transylvania which is the home of Bram Stoker’s legendary Dracula.
Dracula survives by drinking fresh human blood.

Was this in fact a ploy to build up the stocks of blood for the mysterious Count Dracula…