Loud Thinking

Archive for the ‘My Views’ Category

“Change the way you look at things and the things you look at change.”

— Wayne W. Dyer

“Accept responsibility for your life. Know that it is you who will get you where you want to go, no one else.”
—Les Brown
Motivational Speaker

THE MANAGEMENT TIP OF THE DAY: Harvard Business Review

April 13, 2015

Prove Yourself Worthy of the CEO’s Inner Circle

In many companies, a lot of the decision-making power resides with the CEO’s inner circle. If you want to break into this elite club, make yourself stand out with a few strategies:
Make your numbers. Your CEO wants to know that you can achieve the objectives set for you – and that you’re accountable. Don’t make excuses when you fail.
Don’t spring surprises. If bad news is about to hit, tell senior management before it materializes. You don’t want to run the risk of appearing incompetent or unsure of yourself when your boss finds out from a board member or the media.
Prove your loyalty. CEOs still feel vulnerable – they know that one or more of their direct reports want their job. If you want to show that you’re loyal, be wary of cozying up to board members or forming coalitions with peers.

Adapted from “How to Break into Your CEO’s Inner Circle” by Jacques Neatby.

Few important suggestions (for the benefit of the poorest of the poor) submitted to the PM Pakistan on May 31, 2014.

An urgent proposal to the Prime Minister..!

Dear Mr. Prime Minister,

AoA.

A Watt saved is a Watt produced and the cost of installing 1MW powerhouse is approximately PKR 1 billion. We can save a minimum of 1000 MW per day, if countrywide all markets and offices are very strictly closed at 6 PM, along-with all TV and Cable TV is also shut down at 9 PM.

Extraordinary problems needs extraordinary solutions.

The above proposal will also give peaceful load shedding free nights to the teeming millions during the long hot and humid summer season, who can’t afford UPS, generators or solar power systems.

Hope your government will swiftly act to implement (even if issuance of an ordinance is required) the above proposals in the larger public interest, without fearing any backlash of the vested interests.

With kind regards and best wishes,

Syed Nayyar Uddin Ahmad

Lahore.

Sent from my iPad3 4G LTE

Economic terrorism continues with Pakistan..!

The HBL Deal
Editorial of the daily “The Nation”.
April 13, 2015 SHARE :
Link:-
http://nation.com.pk/editorials/13-Apr-2015/the-hbl-deal

The government will bring in over $1 billion by selling its 609-million-share stake in Habib Bank Ltd (HBL), a deal that would surpass the equity capital market transactions of OGDCL ($813m) and PTCL ($898m). HBL is a sound bank, with the largest asset base, widest footprint and profitability ratios to be envious. The other option could have been the restructuring and revamping of the HBL business model, making it a viable institution, and thus bolster revenue streams in the long run. But that would have been a little farfetched for this government to pull off. The easier and more secure thing to do was to cut the strings. In anticipation of the deal, stock prices went up. Hopefully optimistic expectations will continue. Of all the shares, 75 percent have been offered to foreign investors and it will bring $746 million to add to the foreign exchange reserves. Expect Ishaq Dar to be boasting of another success pretty soon.
Now for the bad news. Selling ones best assets at hefty discounts is not a matter of pride. The government is now on its way to offload its entire 41.5 percent holding in HBL, at a floor price of Rs166/share. The floor price shows that it is a distress sell. There is hardly a problem to be found in HBL numbers – which is why such a low floor price is disappointing. One has to go back to March 2014 to find a lower market share price for HBL. The fair value estimates for HBL are at Rs200/share. The government has made the price so low so that the sale is a sure thing. It makes a large sale, and no body is the wiser, except anyone who knows their stocks from their bonds.
HBL is a constant dividend paying company, and earnings are expected to grow. The government of Pakistan could have easily made around Rs7-8 billion annually in dividends. The have let go of a revenue stream for a one-off gain, that too, which could have been at a higher asking price. Why? Because the government has not long term plans. They want to sell to finance the fiscal deficit and the next government can just handle the blame for the low revenue stream.