Finance

How New FIRS Training Strategy Will Save Billions In Few Years

Published

4 years ago

August 27, 2022

admin

By Kelechi Okoronkwo

For big and critical organisations such the Federal Inland Revenue Service (FIRS) which has a workforce of over 11,000 staff, the issue of human capacity development is a big deal. With the preponderance of technology in all facets of human endeavour, the world keeps evolving by the day; and the workforce of such organisations like the FIRS needs to evolve at a higher speed per day in order to stay ahead of evolving trends.

This is the rationale for the frequent subject-matter training which the FIRS schedules for all staff. To sharpen the skills of staff, the Management expects that all staff of the Service, including contract drivers, should be trained on their job functions at least once in two years- that is, as a worst-case scenario. In practice, staff could get training on their job functions at an average rate of three times in one year. To achieve the above schedule, it becomes inevitable that the Service has to spend a lot of money on training. Considering the high cost of training using consultants in Nigeria at the moment, the cost of achieving high quality training for all of FIRS workforce over a two-year period could run into billions of Naira; and since such trainings are a necessity, the Service would have no option other than to pay for its staff development.

Group Lead of FIRS General Services Group (GSG), Ahmed M. Muhammed, supervises Career and Skills Development Department.

Recently, in line with its policy of cost saving and obtaining value for money, the Service introduced a new training strategy—Train the Trainer Strategy. The Management called for applications from suitably qualified staff to serve as Subject Matter Experts and from the numerous applications, selected outstanding staff who have expert knowledge of the subject matter, deploying them to handle various programs based on their expertise. As a result, FIRS does not need to utilise training consultants for all capacity building programs; the Service needs only to outsource experts to handle trainings where internal capacity is not available.

The Service has deployed the above strategy for about six months now and it is working seamlessly so far. During the strategy assessment engagement recently, some of the trainees as well as the facilitators praised FIRS Management for thinking out of the box. A class of staff who were undergoing a training on Fundamentals of Taxation at the FIRS training school in Durumi, Area 1, Abuja, gave a standing ovation to one of their colleagues after handling the training.

Reacting to the development, one of the trainees said that he was happy that the FIRS Management is now using FIRS staff to train FIRS staff. He said: “This is a great initiative by the Management. You can see that everyone is happy. You are motivated because the person standing before you is also your colleague. You are freer to ask them questions, the class becomes more relaxed and interactive. You are also motivated to learn the subject matter so that one day, you can stand before other colleagues and lecture them. This is commendable and we want the Management to keep it up. Apart from making the class more relaxed, it also saves costs. Using this strategy, the Management does not need to always use training consultants. We can save the money and use it for other pressing needs of the Service. It also helps both the trainers and the trainees; the trainers would internalise the subject matter more if they keep teaching other staff; because you would not want to come here and mess up yourself, you would try to read the subject matter very well. By doing so, the trainers are equipping themselves more. For the trainees, you are challenged and motivated to do better”.
Responding to accolades, one of the trainers said “We will report back to the Management that you said that this strategy is good. We also believe that it is good. Thank you very much”, the trainer said.

Director of FIRS Career and Skills Development Department, Mrs. Angel Fadahunsi

The Director of Career and Skills Development Department of the FIRS, Mrs. Angel Fadahunsi, said that the Service is convinced that using competent staff to train other staff would be more productive.

“Yes, that is the way the Service is going. Why should we be paying consultants to come and train our staff when we have the capacity to train ourselves? There is no reason for that. This is one of my Department’s 2022 Key Performance Indicators (KPI) and we are working hard to achieve it. By next year, more training programs which were outsourced will be handled by staff. We are not outsourcing them any longer. You can see that both the trainers and the trainees are happy; and at the same time, the Management is saving money. We are using our competent staff to train other staff. This is the way the Service is going and it’s just one of many innovations that the ECFIRS has encouraged us to adopt; watch out for more” she said.

Kelechi Okoronkwo is a Technical Staff to FIRS Executive Chairman.

Finance

Personal Finance – ABC of Investing – FBNQuest Asset Management …………….. Continued from series 1

Published

2 years ago

September 14, 2024

admin

Ability to Take Risk

This is your financial capacity to take risks. It depends on factors such as your income, savings, financial obligations, and investment time horizon. For example, higher income and substantial savings can increase your ability to take risks, high debt levels or significant financial responsibilities (like supporting a family) can reduce your ability to take risks, the longer your investment time frame, the more risk you can typically afford to take, as you have more time to recover from potential losses.

Balancing Willingness and Ability

Effective financial planning involves balancing your willingness and ability to take risks. Here are a few steps to consider: Assess Your Risk Tolerance, Evaluate Your Financial Situation, Diversify Your Investments and Adjust Over Time. Understanding your willingness and ability to take risks helps you make informed investment decisions that align with your financial goals and comfort level.

Liquidity Needs

This refers to how quickly and easily an asset can be converted into cash without significantly affecting its value. Liquidity need is the requirement to have access to cash or easily convertible assets to meet short-term financial obligations or unexpected expenses. While liquid assets offer safety and flexibility, they typically yield lower returns compared to less liquid investments. Balancing your portfolio to meet both liquidity needs, and long-term growth goals is essential. Understanding your liquidity needs ensures you have the right mix of assets to meet both immediate and future financial goals.

The investment duration

This directly influences the investment objective. In essence, the longer the investment horizon, the greater the potential for risk and reward. However, it’s crucial to align the investment duration with the investment objective to achieve financial goals effectively.

Short-term objectives: Investors typically seek investments that offer liquidity and stability. Examples include money market funds, certificates of deposit (CDs), and short-term government bonds.

Medium-term objectives: These investors often balance growth and income. They may consider a mix of stocks, bonds, and mutual funds.

Long-term objectives: Investors with a long-term horizon can tolerate higher risk for potentially higher returns. They may invest in stocks, real estate, and other growth-oriented assets.

Example: A young investor aiming to accumulate wealth for retirement (long-term objective) might invest in stocks, which historically offer higher returns over the long run while an investor nearing retirement seeking steady income (short-term objective) might prefer bonds and dividend-paying stocks.

Understanding Various Investment Vehicle

An investment vehicle is a financial product or account that allows individuals and institutional investors to invest their money with the aim of generating profit or returns. These vehicles come in various forms, each carrying its own risks and rewards. The best investment vehicle for you will depend on your individual circumstances and financial goals. Consulting with a financial advisor can help you make informed decisions. Here are some of the most popular investment vehicles:

Stocks: A type of investment that gives you partial ownership of a publicly traded company. Such ownership entitles you to any dividends that may be paid, and you may experience gains or losses on your holdings over time. Potential for high returns but higher risk. E.g. shares of FBN holdings.
Bonds: A debt instrument, a bond is essentially a loan that you are giving to a governmental entity or a company in exchange for a pre-set interest rate. Typically, the bond pays periodic interest (coupon payments) during its term, and it matures on a specific date. Steady income but moderate risk.
Mutual Funds: An investment vehicle that allows you to invest your money in a professionally managed portfolio of assets that, depending on the specific fund, could contain a variety of stocks, bonds, or other investments. E.g. FBN Money Market Fund.
Exchange-Traded Funds (ETFs): Like mutual funds but traded on stock exchanges, offering more flexibility and potentially lower costs.
Real Estate: Investing in physical property, such as houses, apartments, or commercial buildings.
Derivatives: Financial contracts based on an underlying asset (e.g., options, futures). This is also a high-risk investment.
Commodities: Physical assets like gold, oil, or agricultural products.

Other consideration when choosing an investment vehicle

Diversification benefit Fees and expenses Reputation of the Financial Advisor

Stay Informed & Continuous learning (A way to take ownership of your finances)

Certainly, improving your financial literacy is a valuable endeavour that can empower you to make informed decisions and better manage your personal finances. Remember, continuous learning is key to improving your financial literacy. Here are some effective ways to enhance your financial knowledge:

Read Books and Magazines Visit Financial Websites
Attend Local Presentations/Webinar Seek Expert Advice

Common Investment Mistakes

Here we highlight the past mistakes people have made while making an investment decision. The aim is to prevent us from doing same and better equip ourselves to make better investment decisions. Investing is a journey, and learning from missteps can lead to better outcomes.

Not setting financial goals Not diversifying
Not learning from your mistakes Not doing your research

In conclusion, monitoring and reassessment are crucial components of successful personal finance management. It is not just enough to execute the actions above; it is important to imbibe the culture of discipline to achieve your financial objectives.

Remember, the journey to financial well-being is a marathon, not a sprint. Stay committed, stay informed, and your future self will thank you.

Finance

The Alternative Bank Debuts with Spectacular Multi-City Launch

Published

3 years ago

October 16, 2023

admin

L-R: Chairman, The Alternative Bank, MUHTAR BAKARE; Executive Chairman Stratevium Nigeria LTD, DR. PRISCA NDU; Head of Product Omnibiz, ZAINAB ARILESERE and CEO, The Alternative Bank:, HASSAN YUSUF during the launch of The Alternative Bank in Lagos recently.

The Alternative Bank, Nigeria’s newest entrant into the financial services sector, launched in spectacular fashion by holding simultaneous launch events in three major cities across the country – Lagos, Abuja, and Kano, making it the first synchronized multi-city brand launch in Nigeria’s history. The Alternative Bank is the ethical banking subsidiary of Sterling Financial Holdings.
Speaking from Lagos, Managing Director of The Alternative Bank, Hassan Yusuf, said, “We believe that banking should be a platform for shared prosperity, where everyone benefits. And this explains why we refer to our customers as partners, because we believe we are on a journey of wealth creation where profits are shared, and customers are provided with funds without incurring interest charges.”
Speaking at the launch event in Abuja, Executive Director of The Alternative Bank, Garba Mohammed, said “The Alternative Bank is here to create wealth-for-all in a sustainable way, by doing things differently and taking a different model to partnering with its customers.”
The launch events featured the presentation of digital products to attendees, designed to bring more people into the formal financial sector with an albeit unconventional approach to e-commerce, investments, assets financing, and renewable energy with solutions such as AltMall for e-commerce, AltInvest for ethical retail investments, AltPower for affordable renewable energy solutions, AltDrive for new and pre-owned vehicle financing, and WasteBanc for the monetization recyclable waste.
In recognition of the unique financial needs of individuals and businesses, The Alternative Bank offers personalized financial consultations, tailored solutions, and one-on-one guidance towards ensuring that customers achieve their financial goals. The zero-interest banking principle is dedicated to fostering sustainable practices, responsible investments and financial decisions that contribute to positive social and environmental impacts.
The Alternative Bank also recently launched an innovation in retail investments with the first AltCoin which affords investors the opportunity to preserve and grow their wealth by investing in gold.
The Alternative Bank started in 2014 as Sterling Alternative Finance, after the Central Bank of Nigeria licensed then Sterling Bank Plc to operate a non-interest banking business and has since grown to become one of the largest ethical banks in Nigeria’s non-interest banking sector.
With the recent completion of Sterling’s transition to a full-fledged financial holdings company, The Alternative Bank will operate as the non-interest banking subsidiary of the Group, while Sterling Bank Limited will continue to provide conventional banking services.

Finance

UBA To Empower KDs, SMEs On Wealth Management

Published

3 years ago

October 12, 2023

admin

Africa’s Global Bank, United Bank for Africa (UBA) Plc, is set to organise another edition of the UBA Business Series. This is in line with the bank’s commitment to support the growth of micro, small, and medium-scale enterprises by equipping them with the requisite tools to strengthen and sustain their businesses.

The UBA Business Series is a regular seminar/workshop organised by the bank as one of its capacity-building initiatives, where leading business leaders and professionals share well-researched insights on relevant topics and best practices for running successful businesses, especially in the face of difficult business challenges.

This edition, which is powered by the UBA Value Chain Banking, will look at the topic ‘Personal Finance: Wealth Management in Today’s Economy’ and is specifically targeted at key distributors and small and medium-sized business owners. It will be held on Thursday, October 12, 2023, from 12 p.m. at the Tony Elumelu Amphitheatre, UBA House, Marina, Lagos, whilst online participants can also access the session on Zoom via https://bit.ly/UBABIZSERIES

See also Jacky Hathiramani: The Brain Behind The Success of Dana Group
The CEO and Executive Editor, of Frontier Africa Reports and eminent television host, Boason Omofaye; Managing Director/CEO, of United Capital Asset Management Plc, Odiri Oginni CFA and Recording Artist and CEO/Founder of Mova Networks, Akitoye ‘Ajebutter22’ Balogun, will be on the ground to give helpful tips on wealth management in today’s economy to business leaders. They will also provide guides on the best ways to take businesses to the next level in challenging economic terrain.

UBA’s Head, SME Banking, Babatunde Ajayi said:

“The vast knowledge and experience of the panellists, will help business owners understand the importance of personal finance, wealth management, and most importantly how to navigate the frailties of the harsh economy to ensure business growth.”

“We know small businesses are the backbone of the economy in every country that is why at UBA, we constantly look for ways of ensuring that these business owners and operators are well-equipped to grow their businesses successfully.”

Recently, UBA announced an initiative aimed at providing robust and comprehensive financing solutions to support and boost the activities of SMEs across the African continent, where SMEs will have the opportunity to access financing in the key sectors of Agro-processing, Pharmaceuticals, Automotive, and Transport and Logistics.

The financing initiative is powered by UBA’s recent partnership with the African Continental Free Trade Area (AfCFTA) secretariat to provide financing for up to $6 billion over the next three years to eligible SMEs across Africa, an agreement which was signed on the sidelines of the 30th Afreximbank Annual Meeting (AAM) which was held in Accra, Ghana earlier in the year.

UBA is a leading pan-African financial institution, offering banking services to more than thirty-seven million customers across 1,000 business offices and customer touch points in 20 African countries.

With a presence in New York, London, Paris, the Cayman Islands, and now the UAE, UBA is connecting people and businesses across Africa through retail, commercial, and corporate banking, innovative cross-border payments and remittances, trade finance, and ancillary banking services.