GloriousGbola:


the same way politicians are buying court judgment is the way businessmen buy court judgment or they die the matter. zenith and otedola are settling out of court. the case between innoson and gtb involved forged bill of lading - nothing came out of it. volpi of intels has been in a fight with the mgt of oando for the past 10 years. he has won in court everywhere, but nigeria.

as you are talking, you have also seen the dorty business your own ogas have done

edit now i remembered how i and older hands left. we were bought over by a MULTINATIONAL. we were supposed to be on easy street. they even dropped a 1million usd bonus for buying us. the ogas at the top shared the money among themselves. then they hid 20billion in debt during the purchase. then they used the 20b operating capital the new owners dropped to pay off the debt. when the owners found out they could not say what the debt paid off was. that was when the owners decided to cut their losses and sell off the company. now the company is 101% nigerian owned in the worst way possible. we provide services as consultants and it is sad seeing how far things have regressed. but like i said, na nigerians wey do am



you can only move to gas if you are along a gas pipeline
not all large companies are sited along pipelines. lafarge is not along a pipeline. dangote is not along a pipeline either.

BlueRayDiick:


In my last post before the spambot ban, I mentioned that Lafarge actually has a 90MW power station that independently generates power for its cement production(They make use of 50MW and send the excess 40MW to the national grid). Dangote , BUA, Honeywell ,etc all have their respective independent power plants that generates power for them independent of the national grid.

A lot of heavy industry have moved away from diesel long time ago.

BlueRayDiick:


Treating one's employees well with good welfare package does not necessarily mean the company is wasteful like u are making it seem here. There's actually no big deal in a company providing lunch in the work place, dry ration and other added benefits to their staff.(Some Nigerian owned companies even do it in the financial services sector sef)

These companies make serious money from the businesses they do and it will be wickedness on their part to make that much money without making some provisions for their employees who helped make those monies.

Some of these things are not even luxury. For example , a multinational that owns plants where some chemicals and by products of petroleum products are made will provide cartons of milk for their staff on a monthly basis. When u see the staff of such company carrying Ghana-Must-Go bag of peak milk home, u will think the company is being wasteful . But in the actual sense he needs that milk due to health hazard he's exposed to in the work place.

Now if an Asian takes over such company and stops such dry ration, I know some Nigerians will see it as they bringing an end to wastefulness but they don't know they are only supporting an action against their brothers and sisters.

In the long run these Asians taking over Western owned businesses are not doing us any good. They don't even pay as much tax as their western counterparts because they know how to "cook books", the jobs they offer are low paying jobs,whatever they save while "cutting cost" ends up getting repatriated to their home countries etc.

Let government fix the economy and let businesses be able to thrive, not only Asians who offer less to the economy in the long run

Amoto94:
Oga Blueray no wan gree sey employees excesses contribute hugely to the collapse of many businesses, one I hope you don't come to the realization through lived experience. More than 20years ago I know some people who were working as truck drivers for a construction company who used to sell off the diesel and leave little or nothing inside the fuel tank, they do this virtually everyday pl

izzou:


Lafarge has 4 Cement plants in Nigeria; Gombe, Sagamu, Ewekoro and in Cross River

Is this 50MW power plant providing power for just one, or the four?

sleekdot:


Its not about being wasteful its about what increase your profitability. Indian manufacturer without those perks will be able to offer their goods in the market for cheaper than the Western option

At the end of the day, the western companies will either have to tow the line or fold, There is a reason Apple one of the biggest companies in US the best economy in the world is manufacturing its phones in China where there are no such perks even if its depriving Americans of jobs


If Michelin Dunlop and Jintao or Patel tyres are in the market where Michelin/Dunlop sells for 100k and Jintao/Patel sells for 30k which one will most Nigerians buy? Those are the decisions that make the companies fold

In my post that spamboot deleted, I said the same is happening in America, Many towns you see giant companies and infrastructures that used to serve the whole town in the 60s and 70s, the company has folded and moved to Asia. Is this because American economy is not fixed

Its a battle for who can capture the market.

sleekdot:


Its not about being wasteful its about what increase your profitability. Indian manufacturer without those perks will be able to offer their goods in the market for cheaper than the Western option

At the end of the day, the western companies will either have to tow the line or fold, There is a reason Apple one of the biggest companies in US the best economy in the world is manufacturing its phones in China where there are no such perks even if its depriving Americans of jobs


If Michelin Dunlop and Jintao or Patel tyres are in the market where Michelin/Dunlop sells for 100k and Jintao/Patel sells for 30k which one will most Nigerians buy? Those are the decisions that make the companies fold

In my post that spamboot deleted, I said the same is happening in America, Many towns you see giant companies and infrastructures that used to serve the whole town in the 60s and 70s, the company has folded and moved to Asia. Is this because American economy is not fixed

Its a battle for who can capture the market.

BlueRayDiick:


I don't know which of their plants they make use of the power plants but I know they are currently building another 220MW power plant to supplement the one on ground.

izzou:


Exactly.

While the constant factor is the bad economy, one group has learnt to stay afloat by paying lesser, cutting costs and doing anything and everything to profit.

Unilever may be paying a factory worker 50k per month, while one Chinese company would be paying 28k (1k per day) per month.

And both of them will produce detergents to sell. Who go fit survive inside a bad economy?

Guinness and NBPlc usually purchase brand new Mitsubishi Pick up for their Sales personnel. Tolaram go buy one Chinese smaller toy for theirs.

Na only Asians & Nigerians fit survive for this kind place

liveLongNprospa:


Please oo.. Have you tasted the shortbread manufactured in Nigeria?

izzou:


I tasted it once, and that was when i decided to always check address before buying it.

My favourite is Rich Tea. The day i saw "Made
in Nigeria by..:", was the day i stopped buying it

liveLongNprospa:


Do you think this affects revenue on the long run when people start abandoning it like you did?

BlueRayDiick:


Apple manufacturing in the Asian market is different from what we are discussing here o.

Here we are talking about two different companies sourcing for raw materials in Nigeria (and some abroad), having access to the same Nigerian labour force and having to operate under the same Nigerian regulatory framework.

1. The Western owned company will for example arrange for Life insurance for their staff as well as insurance against work related injury all in compliance with local laws. The Asian owned company will not take these insurances but rather bribe PENCOM and other government regulators when they come around to check their books.

2. The western owned company will pay competitive salaries in line with what obtains in saner climes. The Asian owned company will pay lesser salary, ban unionism and make sure staff welfare is at the discretion of the top management.

3. The western owned company always have its books opened and make it easy for the government to tax them as appropriate. The Asian owned company does a lot of staff to their books; the more u look , the less u see. They end up repatriating those monies they saved to Beirut, Mumbai, Hong Kong, etc.

Yes, the company is after its own profitability but where does that leave the people( our people) ?

BlueRayDiick:


Apple manufacturing in the Asian market is different from what we are discussing here o.

Here we are talking about two different companies sourcing for raw materials in Nigeria (and some abroad), having access to the same Nigerian labour force and having to operate under the same Nigerian regulatory framework.

1. The Western owned company will for example arrange for Life insurance for their staff as well as insurance against work related injury all in compliance with local laws. The Asian owned company will not take these insurances but rather bribe PENCOM and other government regulators when they come around to check their books.

2. The western owned company will pay competitive salaries in line with what obtains in saner climes. The Asian owned company will pay lesser salary, ban unionism and make sure staff welfare is at the discretion of the top management.

3. The western owned company always have its books opened and make it easy for the government to tax them as appropriate. The Asian owned company does a lot of staff to their books; the more u look , the less u see. They end up repatriating those monies they saved to Beirut, Mumbai, Hong Kong, etc.

Yes, the company is after its own profitability but where does that leave the people( our people) ?

izzou:


The reason why i asked was because Lafarge still handles its own distribution.
They have their trucks that carries cement

They also have Cement mixer trucks. Infact, they offer this as a service.

Because they have their power generation covered doesn't mean they won't need diesel.

I did my IT at Dangote Flour Mills at NPA Wharf. The mill is in the same compound with NASCON (owned by Dangote) and they have their own power plant. Yet, vendors supply diesel back to back in a month, because of their trucks.

izzou:


The reason why i asked was because Lafarge still handles its own distribution.
They have their trucks that carries cement

They also have Cement mixer trucks. Infact, they offer this as a service.

Because they have their power generation covered doesn't mean they won't need diesel.

I did my IT at Dangote Flour Mills at NPA Wharf. The mill is in the same compound with NASCON (owned by Dangote) and they have their own power plant. Yet, vendors supply diesel back to back in a month, because of their trucks.

izzou:


Yes

The same way Shortbread would be abandoned if it got to 4,000 per one.

izzou:
Why ban full this thread?

sleekdot:


Its not about being wasteful its about what increase your profitability. Indian manufacturer without those perks will be able to offer their goods in the market for cheaper than the Western option

At the end of the day, the western companies will either have to tow the line or fold, There is a reason Apple one of the biggest companies in US the best economy in the world is manufacturing its phones in China where there are no such perks even if its depriving Americans of jobs


If Michelin Dunlop and Jintao or Patel tyres are in the market where Michelin/Dunlop sells for 100k and Jintao/Patel sells for 30k which one will most Nigerians buy? Those are the decisions that make the companies fold

In my post that spamboot deleted, I said the same is happening in America, Many towns you see giant companies and infrastructures that used to serve the whole town in the 60s and 70s, the company has folded and moved to Asia. Is this because American economy is not fixed

Its a battle for who can capture the market.

liveLongNprospa:

Does lafarge own their trucks or they outsourced the logistics part while they handle the tracking and HSE aspect?

liveLongNprospa:


But it's almost 4k and terrible quality.

Ibime:
Sim done favour me as my cousin was made LGA Chairman

User09:


Easy to babble and posture on the internet when you've never run or interfaced with a Nigerian (owned) business before especially at management level.

Anything to deviate from the focus of accountability of Nigerians and blame the govt; or even politics - I mean, thats so much easy to do.

Maybe we should all remember at the end of the day, the core mandate of most businesses is shareholder wealth maximization.

Even in developed economies, a lot of the spoken ESG issues are still being met with cynicism. If at this point, we still do not realise that it is fundamentally we the Nigerian people that's the problem of the country, then maybe the continuous one-upping and natural greed has no end in sight.

the core mandate of most businesses is shareholder wealth maximization

Ibime:
Sim done favour me as my cousin was made LGA Chairman

BlueRayDiick:


I never siad they don't need diesel for fueling trucks na, obviously they will need either diesel or CNG to power trucks.

Check my response to Amoto, for multinationals that don't outsource distribution of their busines; some of them set up a whole new subsidiary for logistics . This subsidiary will have a functional management that will make sure the logistics arm of the business is a profit center like the rest of its subsidiaries and not just a cost center.

When the MD logistics has his KPI tied to the profitability of let's say BUA Logistics; won't he devised every means possible to reduce fuel theft to the barest minimum?

You are saying the same thing differently.

Because you outsource to your own subsidiary doesn't relieve you totally from it. Your subsidiary will still charge you like an outsider.

Diesel matter is complex oh. Some companies just add some litres for theft, because it is hard to crack.

So what they do is give the driver an extra 50 litres for the journey..At least thief small and let us rest

GloriousGbola:


the western company is by far the better place to work - but it is NIGERIANs who will use greed to fk it up. no be nigerians CEO wey mess up MTN? what about the guys in nestle or was it cadbury who cooked the books? the company i referenced [dayo na that guy whose ex- wife run to canada] had oyibo partners and they were living the good life to the max. the western companies give you a good life , a union, status and all they expect is that you are loyal to the company in return - but that is too much for most nigerians.

i mixed up lafarge because we were engaged by them to build a fuel dump in their facility. because those with responsibility for supplying diesel were running wayo. people in a great job by a french firm. but still let us rip the business.

GloriousGbola:




well . . .as a person who has worked in a nigerian company traded on the stock market - the mandate is evacuation of shareholder funds while paying dividends raised through asset auction. and the same can be said about several of our other publicly traded companies. the ibrus chopped shareholder money wella - awarding different contracts to themselves; which is another trait in publicly traded nigerian companies

izzou:


You are saying the same thing differently.

Because you outsource to your own subsidiary doesn't relieve you totally from it. Your subsidiary will still charge you like an outsider.

Diesel matter is complex oh. Some companies just add some litres for theft, because it is hard to crack.

So what they do is give the driver an extra 50 litres for the journey..At least thief small and let us rest