Miller's Grist April 2010

In this edition of Miller's Grist we get down to the business of discussing why ‘business unusual' really is the new ‘business as usual'...

In last month's column, I touched on the idea that the only constant in life and business is change. In particular with reference to global conditions fuelling the need for pressing local changes. (The example of rising fuel prices over the last two years is a great illustration of this). It confirms that the idea of change really is a constant. It was also a prominent theme at the National Chamber of Milling's annual general meeting last month.

Originally a world war 1 policy formulation of the British Government; ‘business as usual' has become a commonly used term around the world. The fundamental belief is that if one ‘carries on carrying on' regardless of prevailing circumstances, then a stable and functioning environment can be obtained. In other words, maintaining the ‘normal course of an activity, particularly within circumstances that are out of the ordinary'.

All of the presentations at the chamber's AGM touched in some way on the extraordinary circumstances that we currently find ourselves in. Dr. Anthony Turton, Vice President of the International Water Resources Association and founding member of the Geothermal Energy Association of Southern Africa, presented a hard-hitting account of the impact of water availability on food security.

The general gist of this presentation was that responses to South Africa's increasing water crisis can no longer maintain the ‘business as usual' approach. Food security, water security and energy security issues all directly impact one another and therefore need to be looked at in unison.

The MD of Buhler Grain Milling, Mr. Martin Schlauri, spoke of the need for process innovation from an international perspective, in order to sustain the success of local millers. Mr. Se Higgins, Director of African Micro Mills, spoke of the need for swift, localised changes in response to global pressures impacting negatively on Southern Africa's food security. Both industry leaders discussed tangible solutions, in the form of novel technology and approaches, to address the dilemma facing the changing face of milling in Southern Africa and globally.

Mr. Bruno Kistner, Director of the Nutritional Improvement Programme of DSM (Switzerland) gave a presentation on food fortification. As millers and bakers, we are all aware that in 2003 the South African Government made the fortification of maize and wheat flour mandatory. In a country where the vast majority of the population rely only on the nutrition received from basic foods, it is not difficult to see how the changing socio-economic climate pushed for out-of-the-box thinking with regards to basic provisions.

All of the speakers were united in recommending changing processes and thoughts for the rapidly altering paradigm shifts we face. A ‘business as usual' approach to policy formulation is by necessity simply no longer an option. On the other hand, in order to maintain crucial business ‘as usual', we need a new, proactive and sustainable policy approach.

‘Business unusual' is an approach that has a better fit with the times we are facing. It outlines a projects-based line of thought where a programme or series of programmes incorporate the need for present and future change rather than just managing crises as they arise. The important (though not unobtainable) element here is to effectively balance the investment opportunities with the unknown risks of a new advance.

Thabo Mbeki popularised the concept of ‘business unusual' in South Africa during his 2008 State of the Nation Address, where he made it clear that imaginative implementation of policies is crucial to improving the lives of South Africans.

The whole idea behind proactive ‘business unusual' concepts, such as the National Agricultural Marketing Council's 2009 Section 7 Committee investigation into the Wheat-to-Bread value chain, is to find innovative solutions to current and future problems. Particularly, when it is apparent that past resolutions are simply no longer feasible as future solutions.

How does all of this relate to you as bakers or millers? To use the example of the wheat-to bread value chain; many of the recommendations made by the committee went against the grain of the ‘business as usual' approach of the past, and into a practical ‘business unusual' domain.

Where South Africa has traditionally been known as a net importer of wheat, the committee suggested encouraging self sufficiency in local wheat supply.

South Africa has historically been considered an entrepreneurial paradise due to its developmental status and the opportunities this presents. However, little has existed in terms of customised support and incentive packages to the small new players in the downstream sectors of the value chain. The committee's ‘business unusual' approach was to suggest focused efforts in the removal of entry barriers and increased training by organisations such as the Department of Agriculture or the Department of Trade and Industry.

It's all very well to speak of the merits of the ‘business unusual' approach. Some of you may be forgiven for thinking that in regards to actual implementation I might as well be referring to a ‘politics as usual' approach! In response to that I would say that politics could only be considered as a whole new column (perhaps even a book)! In fact, I am happy to report that this new level of thinking is certainly visible and tangible around us; and can even be implemented by individual businesses such as yours.

I return to the quintessence of the Miller's Grist column; rising fuel costs and escalation of raw material prices mean that milling and baking operations of the past are just that. In addition, the demands of present and future customers can no longer be ignored in this increasingly consumer driven market place - with regards to the low-income sector lobbying for lower prices and increased nutritional value; or high-income segments requiring increased specialised niche market products.

The vast distances of Africa require localisation, as opposed to nationalisation, of staple foods production. In a majority low-skilled economy a commercially as opposed to technically-driven environment needs to be nurtured. Entrepreneurialism needs to be fostered through the appropriate skills and technology back up. Surely then, your business unusual approach for the present and the future could be as simple as finding a company practicing this, and who understands your requirements - in the present and the future.

As always, we look forward to hearing from you. If you have any comments or queries then please do get in touch with us at African Micro Mills through our website www.africanmicromills.com or via this column at millersgrist@africanmicromills.com

Archive
▼ 2010
► November
► October
► September
► July
► June
► May
▼ April
► March
► February
► January
► 2009