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South African Journal of Industrial Engineering
On-line version ISSN 2224-7890
Print version ISSN 1012-277X
S. Afr. J. Ind. Eng. vol.25 n.2 Pretoria Aug. 2014
A strategic frameworrk to utilise venture capital funding to develop manufacturing SMEs in South Africa
H.A. SnymanI; D. KennonII; C.S.L. SchutteIII, *; K. von LeipzigIV
IAuthor was enrolled for a PhD (Industrial Engineering) degree in the Department of Industrial Engineering, University of Stellenbosch.Department of Industrial Engineering Stellenbosch University, South Africa. firstname.lastname@example.com
IIAuthor was enrolled for a PhD (Industrial Engineering) degree in the Department of Industrial Engineering, University of Stellenbosch.Department of Industrial Engineering Stellenbosch University, South Africa. email@example.com
IIIDepartment of Industrial Engineering Stellenbosch University, South Africa. email@example.com
IVDepartment of Industrial Engineering Stellenbosch University, South Africa. email@example.com
SMEs contribute considerably to the national GDP and to private sector employment, but they struggle to gain access to the funding needed to support business sustainability and growth. Venture capital provides the necessary funding, but SMEs lack understanding of the business value curve utilised by financiers to gauge the risk-reward characteristics of an investment. Strategies need to convey how the business model will evolve in order to deliver on the strategic intent. A framework is proposed through which SMEs can develop a strategy aligned with investor requirements. As a case study, the framework is applied to the local tooling sector.
SMEs dra betekenisvol by tot die nasionale BBP en werkskepping in die private sektor, maar SMEs sukkel om toegang te kry tot befondsing wat nodig is vir groei en volhoubaarheid. Waagkapitaal kan die nodige befondsing verskaf, maar SMEs benodig kennis van die besigheidswaarde kurwe, wat deur beleggers gebruik word om die risiko-opbrengs van 'n belegging te assesseer. Strategieë moet oordra hoe die besigheidsmodel die strategiese intensie gaan aflewer. 'n Raamwerk word voorgestel waardeur die SME 'n strategie kan ontwikkel wat belyn is met die vereistes van beleggers. As gevallestudie word die raamwerk toegepas op die plaaslike gereedskap sektor.
Strategy is a critical component of business growth and success [1]. Current strategic models, however, are biased towards larger corporations [2]. Many entrepreneurs are not opting to formulate formal strategies [3], as current models neglect to detail the processes involved to guide the entrepreneur in such an endeavour [1].
A wide body of evidence supports the fact that SMEs are responsible for a considerable proportion of employment, contribution to the gross domestic product (GDP), and poverty alleviation in both developing and developed economies [4]. However, about 75% of new SMEs (small- to medium-sized enterprises) in South Africa do not become established; in fact, it is less likely that a new SME in South Africa will survive beyond 42 months than in any other Global Entrepreneurship Monitor (GEM) sampled country [5].
Although a host of models have been proposed to aid strategic development, these models do not detail the processes needed to develop the required strategies, nor do they take into account the specific characteristics and limitations of SMEs [2]. But this differentiation is vital, as small businesses are not just smaller versions of big businesses [1]: unlike their larger counterparts, smaller businesses have less formal planning, fewer control functions, simpler organisational structures, and less-developed administrative systems [2].
This paper refines the framework presented at the 2013 SAIIE conference [6], with the addition of an illustrative case study, aimed at supporting SMEs in formulating a strategy. Unlike current strategic models, the framework presented here could act as a guide and detail the specific processes needed to arrive at an appropriate strategy that will enable SMEs to sustain their competitive advantage, and thus to grow.
2 SOUTH AFRICA: SMEs AND ECONOMIC GROWTH
2.1 Economic growth
Economic growth theories were developed to explain the obvious differences in the development of productive capacities in different countries around the world. As such, they have some notable similarities to theories of business development.
Whereas traditional models ( [7], [8], [9] & [10]) of economic development focused on increased output due to the accumulation of input factors (labour, capital, and natural resources) or efficiency gains (the result of education and technology), it is now widely accepted that entrepreneurship plays a critical role in long-term and sustained SME growth [9].
The Global Entrepreneurship Monitor (GEM) model, as proposed by Bosma et al. [11], classifies economic development into three stages according to the dominant drivers of increased economic output, along with the character of economic value-add. The model describes how economic development facilitates rising per capita income, and coincides with the migration of labour from the primary production and extractive services to manufacturing and later service industries, as illustrated in Figure 1. The model depicts the importance of the entrepreneur and ultimately the SME in each stage of these economies.
Factor-driven economies are concerned with increased economic output associated with the primary production sectors, with supporting policies promoting growth through increased utilisation of input variables such as labour and natural resources, and also promoting foreign investment. Less developed countries often have a large agricultural sector, with the economic development of natural resources and the extractive industry promoting the migration of excess labour to these specific regions of economic activity. The resulting oversupply of labour in these regions results in surplus workers becoming entrepreneurs in an effort to create self-employment and thus to survive.
Efficiency-driven economies promote economic growth through processes that add value to primary production, increasing the value of economic output by absorbing a greater portion of the product value chain. As the value-adding industrial sector develops, small and medium enterprises emerge to support further industrialisation as they supply institutions that pursue increased production efficiency through economies of scale. These small and medium support companies are often the result of entrepreneurial actions as economic agents try to fulfill an industry need that is often initially met by imports.
Innovation-driven economies are synonymous with the development and delivery of new products and services. As the economy develops, an increase in disposable income translates into a shift from industrial activity to an expanding service sector to meet the needs of an increasingly affluent population. Increasing access to education translates into the industrial sector's ability to evolve and produce a larger variety and sophistication of products. As knowledge-generating institutions gather momentum, there is an increase in research and development, with opportunity-seeking entrepreneurs delivering innovative products and services, and even whole new industries. Subsequently these entrepreneurial businesses emerge as significant contributors to economic growth and to wealth creation.
It is important to note that entrepreneurship is not limited to small businesses: individuals in larger businesses can also undertake entrepreneurial activities. Drucker highlighted that these agents, the 'intrapreneurs', and larger businesses cannot survive "unless they acquire entrepreneurial competence" [12]. A significant portion of the literature in economics has stressed the importance of entrepreneurship at the micro-level to achieve economic growth at the macro-level (e.g. [13], [14] & [15]). Consequently, Lumpkin and Dess [16] have touted the small business as an outstanding vehicle through which entrepreneurs can channel their entrepreneurial ambitions, as the business is seen as an extension of the individual who is in charge.
As Carlsson [17] noted, there is now a wealth of evidence that economic activity shifted from larger corporations to smaller businesses during the 1970s and 80s. The most often cited and most impressive example of this is the observation that the share of employment by the Fortune 500 companies dropped from 20 per cent in 1970 to 8.5 per cent in 1996.
Confronted with this evidence - as well as by rising concerns about unemployment, job creation, and economic growth - policy makers have responded by mandating and promoting new business creation and entrepreneurship [18].
2.2 The SME: Survival & growth
Since the 1990s, research has been preoccupied with the importance of high-growth SMEs, arguing that a small number of high growth businesses are responsible for the majority of new jobs and most of the increased GDP output [19]. Together with this, an aversion (or inability) to achieve growth has been identified as a principal reason for business decline and ultimate failure [20].
In order to retain the socio-economic benefits of SMEs, these businesses ultimately have to survive in order to maintain "the continuity of business" [1]. Storey [19] proposes that growth is synonymous with longevity; negative or stagnant growth rates indicate future problems for the SME. Other motives for growth, along with continuity of business, include the achievement of economies of scale, increased market share and subsequent profitability, exploiting new business opportunities, credibility in the market, and achieving a higher market value for the business [19].
More recent research has revealed that growth is a multidimensional phenomenon, the result of both internal and external factors. Wiklund [21] proposed an integrative model (as illustrated in Figure 2) that suggests how entrepreneurial activity, the business environment, business resources, owner attitude towards growth, and strategic fit combine to create a sustainable competitive advantage.
Entrepreneurial activity in Figure 2 refers to a business's attitude towards innovation and risk-taking in delivering new products and services to a market; that is, it refers to how a business operates rather than what it does [21]. Several studies have shown that companies with an entrepreneurial culture experience sustained high growth rates and outperform their peers [22].
The environment relates to external factors that can be exploited to deliver performance. The environment has aggregate benefits for all market participants in that the business growth rate is affected by the industry growth rate [21]. However, studies have found that high growth among SMEs is due to their ability to develop market niches [23].
According to Wiklund [21], businesses have three distinct resources - physical, human, and network - at their disposal to deploy their strategy. The idea is that these resources have to be combined and utilised in a manner that creates a sustainable competitive advantage [24].
Owner attitude refers to the business owners' motive for starting and operating their business. Studies have shown that people have a variety of reasons for doing so beyond financial incentives [19]. Wiklund [25] proposed that - even if growth is not an entrepreneur's initial goal - business owners may develop a more positive attitude towards growth, especially if they are favourably exposed to the new tasks that accompany business growth.
Strategic fit refers to the business's ability to find a balance between these various factors and effectively compete in its market. Should a business be unable to acquire the necessary resources, or should it be ineffective in combining them to exploit a market segment, it will be unable to sustain a competitive advantage and will fail [21].
Academic studies suggest that business performance and growth is predominantly a function of an effective match between the various internal and external factors [1]; business growth rarely occur by chance, but rather arise from management's choices and subsequent conscious decisions. Weinzimmer [26] proposes that strategy is the most important determinant of growth.
2.3 Strategy and growth
There are a number of definitions of 'strategy'. However, it can be accurately described as "an overall collection of business decisions and actions" [27] in order to gain and sustain a competitive advantage. Hrebiniak and Joyce [28] maintained that a successful strategy enables business performance and effectiveness - the result of an effective match between the business, its processes, and the external environment.
The field of strategic management has been a popular topic for many decades, with seminal work being done by many experts. As a consequence different frameworks have been popularised by various pioneers in an effort to help businesses to exploit their strengths and weaknesses in relation to the external environment (Table 1).
Whenever a business enterprise is established, it invariably employs a business model. Teece [38] described a business model as that which encapsulates the logic of how the company combines and utilises its resources to create and deliver value in order to deliver on its strategic objective.
Coupling competitive strategy analysis to business model design requires segmenting the market, creating a value proposition for each segment, and combining the resources to deliver value to the segment one is targeting. A good business model will provide considerable value to the customer and collect a viable portion of this in revenues. But developing a successful business model (no matter how novel) is not itself sufficient to assure a sustainable competitive advantage.
In order continually to deliver value to the customer and maintain a competitive advantage, the business has constantly to adapt the business model to the competitive environment by reviewing the combination of resources along with the structures for revenues and costs.
Once a business has established a competitive advantage, its growth strategy becomes critical for its survival and development [39]. Like economic development, businesses have the choice of being input factor driven (e.g. applying more capital, labour, and other resources to expand operations); efficiency driven (i.e. increasing output for the same input to grow market share); or innovation growth driven (e.g. launching new product or services). Companies can employ one or all of these strategies with varying degrees of success [40].
Integrating from above, businesses have three primary growth strategies at their disposal [40]: (1) a build strategy - i.e. vertical integration and absorbing more activities within the value chain; (2) an expand strategy - i.e. entering new markets or product segments; and (3) a maintain strategy - i.e. emphasis on market dominance through efficiency, innovation, and product differentiation within the current operating segment.
Within the expand and maintain strategies, Burns [41] proposes reviewing product/market strategies with options of (1) market penetration; (2) new product development; (3) new market development; and (4) moving into new markets with new products. Thompson [42] shows how these strategies can be realised through: (1) organic growth; (2) acquisition; (3) strategic alliance; and (4) joint venture. Given these available options, studies have produced mixed results, with theorists unable to agree on the best course of action to accelerate growth [1].
Nooteboom [43] argued that a successful growth strategy would take into account the business-specific characteristics related to the size of the business as well as the interacting internal and external factors. The different decisions and actions would thus follow and hold under different conditions, given a set of entrepreneurial characteristics that might be beneficial in one configuration or context and action might work adversely in another.
Although the strategic frameworks and growth strategies mentioned here have been widely accepted and successfully applied in industry, they do not take into account the specific characteristics of small businesses, and have been biased towards larger, more established corporations [1]. It is important to take into account the specific dimension of SMEs, as small businesses are not just smaller versions of big businesses (as discussed earlier).
Smaller businesses within an industry require distinctly different strategies than their larger counterparts. The critical requirement for small businesses in these industries is strategic flexibility [44]. These businesses have to be more flexible, have closer ties with their customers, and have the ability to translate their vision into action more efficiently [45].
Smaller companies, generally, are the result of an entrepreneur's initiatives with less formal planning and fewer control functions, together with a lack of organisational and administrative systems [1]. These small businesses also struggle with limited financial, technological and human resources, little market information, and necessary economies of scale [45].
Although small businesses have numerous advantages over their developed counterparts, their ability and will to develop a business strategy is influenced by entrepreneurial motivation and competency [2]. Unless business owners have a strong belief in their ability to formulate a successful strategy and to grow the business, they would not attempt formal strategy formulation but rather align their goals along a certain objective.
In an entrepreneurial organisation strategic intent, strategic ambitions, and concentration on the actions that achieve the business's objective [46] provide emotional and intellectual energy. Strategic intent is the antithesis of strategy focus, which attempts to search for a fit between existing resources and emerging opportunities, whereas strategic intent stipulates an aspirational outcome, recognises the misfit between resources and aspirations, and attempts to find a way to bridge the gap. It provides a sense of direction and purpose for each stakeholder in the organisation [47] & [25].
Interviews with the founders of 100 major companies in the USA showed that the entrepreneurs behind high-performing companies adopt strategic intent as a faster and cheaper method of strategy planning [48]. These entrepreneurs integrate action and analysis, and emphasise the need for strategic orientation in management and for knowledge about the market, customers and competitors in a global environment of increasing competition and shortening product and service life-cycles.
A study on the growth of small and medium manufacturing businesses showed that successful businesses exercised financial control and monitored key variables that related to the strategic objectives of the company [49].
2.4 Barriers to growth
Even with the recognition that SMEs are vital to stimulating entrepreneurship and thus economic growth, a number of obstacles inhibit them from realising their full potential: lack of access to managerial skills, finance, equipment, technology, and networks and international markets; and regulatory issues [50].
The regulatory environment plays a critical role in the establishment and operation of a small business [51].
- Regulations can both help and hinder entrepreneurs.
- Entrepreneurs need clear rules that are predictably enforced.
- Over-regulation can impose burdens on all businesses, and can thus be viewed as a prohibitive start-up cost.
Similarly, managerial competencies are fundamental to SME development. Martin and Staines [52] proposed that a lack of managerial competency is the main reason that new businesses fail. The lack of support services, or their relatively higher unit cost, was also found to hamper SMEs' efforts to improve their management capabilities. This is because consulting businesses are often not equipped with appropriate cost-effective management solutions for SMEs. This is supported by evidence [53] that, although numerous institutions provide training and advisory services, there is still a skills gap in the SME sector as a whole due to the inability of many entrepreneurs to afford such services.
Networking has also been established as critical to SME development, as this can both boost performance and increase access to finance, expertise, markets, and collaborative partners [54]. Shane and Cable [55] concluded that networking reduces information asymmetry in negotiations with creditor, debtors and other financiers. Ngoc et al. [56] point out that "in the absence of effective market institutions, networks play an important role in spreading knowledge about a business' existence and its practices".
Investment in up-to-date technology is increasingly important to all businesses, not only start-ups and SMEs. Technology supports entrepreneurs in the implementation of their strategy by maximising business opportunities [57]. However, the use of technology also involves costs; and where new or even established SMEs experience difficulty in purchasing the necessary technology, this may hamper their growth and sustainability [58].
Another important problem that SMEs often face is access to capital [59]; such a lack of access or availability can be a practical constraint on business growth [60]. Cook and Nixson [61] concluded that "notwithstanding the recognition of the role of SMEs in the development process in many developing countries, SME development is always constrained by the limited availability of financial resources to meet a variety of operational and investment needs".
Although a host of strategic models have been proposed to aid strategic development, these models do not detail the processes needed to develop the related strategies, nor do they take into account the specific characteristics and limitations of SMEs [1].
3 THE ROLE OF VENTURE CAPITAL IN SMEs
In his 2007 study, Thomas Dickinson [62] proposed that private equity can serve a useful role in addressing many of the shortcomings of SMEs. Private equity fills the gap between entrepreneurs financing the business themselves and conventional capital market activity in growing private enterprises.
Private equity can, through its investment in local businesses, play a catalytic role more efficiently than other forms of external investment, where non-financial contributions are not guaranteed. The impact that private equity has had on business development extends beyond the financial backing to the contribution of business expertise, training, networks, and skills transfer, all of which would raise the efficiency of the sector being entered [62].
3.1 Venture capital
Venture capital (VC) investments are private, non-exchange-traded equity investments in a business venture. Due to the higher risk of the investment, investors expect a higher rate of return compared with exchange-traded equities. The investments may be made at any point of the business cycle of the company, from the initial planning stages of a new venture to an established firm ready to go public [63].
How VC is defined differs between countries: some include 'angel financing' (an investor who provides funding for start-ups and entrepreneurs) in VC, while in other countries VC stretches to right before the maturity phase, as illustrated in Figure 3. The present authors assume that VC financing reaches into early stage expansion, with the rest of the private equity phases continuing from late stage expansion. Assuming this definition of VC does not change the functionality of other phases found in other areas of literature.
In South Africa, the value of private equity financing that flowed into SMEs in 2010 was less than R400 million (0.014% of SA's GDP) [66]; but this is expected to increase with the implementation of Regulation 28. Regulation 28's aim is to ensure that the savings that South Africans contribute toward their retirement are invested in a prudent manner - one that not only protects the retirement fund member, but is also channelled in ways that would achieve economic development and growth. The portfolio composition is required to comply with the asset limits of Regulation 28 [67]. The alternative investments limit, which increased to 15% of the portfolio's limit, includes hedge funds, private equity funds, and other assets, as shown in Table 2. The increase in this limit is expected to increase the amount of funds available to private equity and VC funds.
3.2 The Venture capital process
The success of an investment with a portfolio of investments for private equity (including VC) companies would be managed through the active management of this portfolio of companies and the timing and size of exits. This is accomplished through [64]:
1. Pooling capital in order to invest in private companies (this gives smaller investors access to private companies experiencing greater growth than their publicly-traded peers);
2. The delegation of investments through fund managers with the required experience and incentives to screen, evaluate, and select businesses with potential for high growth; and
3. The fund managers source exit opportunities and realise their gains by exiting businesses and subsequently realising a return from the portfolio of businesses for the private equity fund's investors.
In order for an investment to be exit-able, a suitable buyer needs to be found. This can be done in a number of ways, of which the main strategies include a private sale or an Initial Private Offering (IPO). The business would thus need to be driven up the J-curve towards a purchasable business or one that can be offered publicly (Figure 3). In order for this growth to happen, the business would need to pass through or skip various stages of business development in order to have grown. During initial assessments for investment, the business will be subjected to assessments that evaluate whether it will be able to survive through the various developmental phases to the point where it is exit-able.
The businesses in which VC companies normally invest generally have high growth potential [68], highly-educated and experienced managers [69], a good level of intellectual property, pursue high growth [70], and have either a higher innovative output [70] or a high level of research and development (R&D) spending and the presence of R&D employees.
VC is driven by innovation [68], but for smaller businesses innovation's scalability is not as quick as investors would like it to be. The risks in a business change as it moves from startup to expansion. The initial risk in a start-up is predominantly the product risk (whether a product/service will be adopted), which then shifts to whether the business is scalable or vertically integratable (able to acquire parts of the value chain to increase business value), collectively known as 'expandability risk'.
The common investor assessment stages found in early stage financing (Figure 4) describe how a business is initially evaluated based on tangible, objective criteria; but this changes to a less tangible, more subjective dimension that is more observable in the entrepreneur's presentation. Team size or experience is less important in the later assessment stages than the significance of the entrepreneurs' social skills, such as impression management, persuasiveness, ability to think on their feet, and to answer questions and advise over measurable factors [72].
In the end, the investor's view (whether or not it is influenced by the entrepreneur) determines investment readiness, based on the business's team, its operations, customer base, skills and competencies, and its potential to scale; and these are weighed against investment risks and returns and time to exit [73] & [74].
The most important differences in the perceptions of investment readiness can be summed up in the following points [72]:
- They must have some form of intellectual property;
- They require a fully formed management team with experience;
- They should have a product/service in the advanced stages of development; and
- They should have some established customer base.
These differences need to be addressed by the entrepreneur to ensure that the probability of success in applying for funding is increased.
3.3 The venture capital valuation process
The difficulty for venture capitalists is the complication in the valuation process in an entity where the price is not defined by a market, but through financial considerations that play only a small part alongside other considerations, such as the industry characteristics (structure, trends and markets) and the business's characteristics (development stage, competitiveness, etc) [75]. Mainstream finance theory measures the economic value of any investment through the present value of future cash flow; but this presents some difficulties when applied to businesses in the early stage of their development, as most information is not available to deliver on this calculation. This has often been the source of frustration between VCs and entrepreneurs; yet entrepreneurs can set up their businesses in a way which would result in higher valuations by VCs [75].
Research on VC valuation methods has highlighted the main factors that are taken into consideration when determining the value of a business [75]:
Top management and the entrepreneur (arguably the most important)
The business is valued significantly higher if top management has the relevant industry experience, and relevant managerial and start-up experience prior to playing a role in the current business. The spread of skills in top management also reduces the 'key man' dependency risk (risk of losing an individual who holds all the knowledge).
Differentiated industries
Businesses that operate in highly-differentiated industries with positive industry growth add to their pre-money valuation (value of business before it goes public).
There is a high correlation between the size of a network and the valuation made by the VC company. The role of alliances and innovation capability positively influences the business's performance and the VC company's perception of it. The quantity and quality of these networks are salient signals to the VC firm that positively correlate with the speed and valuation of an IPO.
The criteria that can be addressed to increase the value of the business are found to be negatively correlated with the business's risk; and this highlights a higher probability of success for the business. The probability of success is also increased by the non-financial contributions of VC companies to the businesses.
3.4 Non-financial venture capital contributions
Once the VC has selected a business as worthy of investment, it will provide the business with the funding and coaching it needs to develop its potential. VC companies that provide support for their investments see better performance and a more substantial return-on-investment [76] & [77].
VC companies' exposure to a large number of businesses builds the necessary experience, resulting in an in-depth knowledge of the elements required at each stage of business development [77]. This experience, together with an extensive network of contacts, is crucial when deciding on an investment and on the appropriate resources and configuration needed to grow the business.
A summary of the non-financial contributions from VC companies is given in Table 3.
A business's strategic readiness is one of the highlighted cogs that are assessed when it applies for financing. This preparedness of a business's people, systems and structure to deliver on its strategy is defined by the human, information and organisational capital - the intangible assets that are the foundation for strategic change, which most often involves new markets, products, or corporate transformation [79].
4 A PROPOSED STRATEGIC FRAMEWORK FOR DEVELOPING SMEs
Models are used to develop theories by isolating and studying a few key input and output variables under situation-specific conditions [80]. These models usually are rigorous and have limited complexity, with their relevance being a function of fit between their assumptions and reality. In strategy, no one model can embody all the relevant variables, and thus the applicability of any model's findings are almost inevitably restricted to a small group of businesses or industries whose characteristics fit the model's assumptions.
In contrast, a framework encompasses many variables and seeks to capture as much of the complexity of practical situations as possible. The framework provides the necessary variables and the questions users must answer in an attempt to guide them to develop conclusions that are tailored to an industry and/or an organisation [80]. The theory embodied in frameworks is contained in the choice of included variables, the way variables are organised, the interactions among the variables, and the way in which alternative patterns of variables and company choices affect outcomes.
A framework allows for the fact that not all the interactions among variables can be rigorously described. The framework seeks to help the analyst to analyse the problem better through understanding the business and its environment, and defining and selecting from among the strategic alternatives available, no matter the industry or starting position.
Based on this thought process, a framework is used to build on the variables that are generated and proven by more simplistic situation specific models.
4.1 Systems engineering approach to problem-solving
The systems engineering approach to solving complex problems is to deconstruct the problem into functional units, finding a solution for each problem, reviewing the interaction of the various solutions, and where necessary finding new solutions, so that the reconstructed holistic system may be the most efficient recombination of the various individual solutions [81].
Figure 5 illustrates this approach. A system problem might be complex as a whole (I), but it needs to be broken down into smaller sub-problems (II). It is in the second quadrant that a greater understanding of the source of the individual issues is unearthed. A large number of sub-solutions can be found for the sub-problems (III), which can then be pieced together to find a solution for the whole (IV).
An important part of a systems approach to problem-solving is to ensure that the desired objective of the system is reached. One way to ensure this is through built-in feedback systems. In the real world flow of problem-solving, this feedback system would be embedded between each of the quadrants.
4.2 Strategic venture architecture framework
The proposed strategic venture architecture (SVA) framework utilises the systems engineering approach to guide entrepreneurs through specific processes in order to formulate a tailored strategy and business model for their industry and environment.
Through the research on common growth barriers for SMEs, the role of VC, strategic formulation, and the system's engineering approach, the SVA framework guides the entrepreneur and SME management team to develop a successful value proposition, business model, and strategy in order to align the SME with the value curve and thus attain the necessary funding and VC expertise to grow the business.
The SVA framework (Figure 6) uses the same flow of information as detailed in Figure 2, and utilises proven tools and models to guide the entrepreneur or SME management to answer the relevant questions posed at each stage. The tools given in Figure 6 might be old or new, and are not the only tools available; but they have been used according to what the authors believe is applicable. These tools are given here to guide the entrepreneur to utilise them in a different way to reach the desired objectives per quadrant. The tools are not the only ones applicable to the task at hand: the framework is alive, and so no exact recipe should dictate how strategists reach the deliverables.
The 1st quadrant (Q1) begins where every endeavour should start, by analysing the external market conditions. The tools prescribed for the entrepreneur or SME management should provide them with insight into the following issues (possible applicable tool(s) provided in brackets):
- What are the future industry trends (PESTE)?
- What is the current industry structure (Porter's Five Forces)?
- How is the industry currently delivering value to the various market segments (Market Segmentation)?
The objective of the quadrant is to:
- Identify a displacement between segment needs and current offerings in the market (Blue Ocean Strategy).
The 2nd quadrant (Q2) applies functional analysis to deconstruct Porter's value chain and value system [80] to identify the critical system, technology and resource elements used to perform the business functions that drive a business up the J curve to deliver value to the customer segment. This is conducted along the various stages of the value curve, called here 'value curve mapping', in order for the entrepreneur or SME management to answer the question:
- How are industry participants currently combining the various elements within the business function to deliver value to the customer?
The 3rd quadrant (Q3) seeks to formulate a business model as a way for the business to fulfill its strategic intent to deliver true value to a displaced customers segment (question asked in Q1). Utilising the knowledge of the elements that are able to perform the various business functions, the business model should combine business elements that efficienctly and effectively deliver value to the customer together with various isolating mechanisms that would prevent the business strategy from being undermined by imitation by competitors or disintermediation by customers [38].
Deciding on a growth strategy to best deploy the business model, the 4th quadrant (Q4) aims to guide the entrepreneur to define how capital will be utilised to effect business growth through one or all of the following growth strategies: vertical integration, efficiency, or expansion by means of a financial roadmap. By using the E-PERA framework [82], the entrepreneur or SME management would have to define the systems and procedures to plan, co-ordinate and control the various business functions. By designing and implementing a visual management system, the business will have created a structured communication system and made knowledge more explicit and less tacit. The quadrant aims to address risk related to growth by providing the necessary structure and clarity on the way forward [45].
The role of feedback in Figure 6 can be found between each quadrant, highlighting the fact that, as Eric Sevareid (a well-known journalist in the USA) puts it: "The chief cause of problems is solutions". Every model, plan, mitigation strategy, etc. needs to be tested to ensure that it still fulfills its role without being the cause of larger problems. This framework will be notably less effective without feedback between all quadrants.
In an industry where local tool manufacturers were able to provide the necessary support for the local manufacturing industry, their inability or unwillingness to adopt the necessary systems, techniques and technology to remain current has resulted in the degradation of their market share from 90% in 1990 to less than 15% in 2012 [83].
The SVA framework was applied to the tooling industry to formulate a business model for the National Tooling Initiative (NTI), a national programme that trains young apprentices to become tool makers in an effort to improve the local tooling industry. The proposed business model would have to deliver value to the industry and address misconceptions regarding South Africa's ability to deliver effective quality tools.
5.1 Q1 - Market research
Applying the various tools prescribed in Q1 of the SVA framework, the market segmentation shown in Figure 7 below was revealed, along with particular insights into the market structure.
A common element in all the market segments was that local manufacturers' inability to adopt modern manufacturing and project management techniques meant that local suppliers had gained the reputation of not delivering the required goods on time, and thus forcing local customers to seek international suppliers.
Porter's Five Forces analysis revealed that the base segment was susceptible to new market entrants, with participants competing on price to deliver lower complexity tools with less stringent tolerance specifications. The mid-technology segment is more difficult to infiltrate as suppliers need to generate trust in delivering tools that can perform more complex functions along with after-sale maintenance services. The premium segment is the most difficult to supply, with participants competing with the ability to provide efficient tools with demanding tolerance specifications.
Numerous value displacements are evident within the industry. For the lower segment, Asian and East European imports often arrive and require modifications because of ineffective specification translations. Local companies are unable to provide the necessary after-sale services for the medium technology segment imports: they are unfamiliar with the tool function through lack of insight into the motives behind the design. With superior tool design capabilities, West European tool manufacturers face considerable barriers to entry; however, local customers have to pay significant fees to import large complex tools with associated shipping lead times, and to ship them back to the country of origin for maintenance and repairs.
5.2 Q2 - Functional analysis
Figure 8 illustrates the critical business functions employed to deliver value to the customer at the various stages of development.
With the insights provided above, a strategic intent was formulated that declared that a successful business should deliver tool design and manufacturing services to the middle and premium market segments, where the industry structure would provide shelter from competition, should the business model be able effectively to deliver value to the customer.
From the value curve, it was evident that smaller scale businesses would need to address the following mis-fits to drive them up the value curve:
- Design capability - South Africa's lack of experience within the medium and premium tooling segments means that local smaller businesses do not have design experience for those respective segments.
- Economies of scale - The size of lower value curve entrants results in lower utilisation of software and hardware resources, forcing businesses to utilise resources with limited manufacturing and design capability, and thus preventing them from servicing the middle and premium tech segments.
- Economies of scope - With the economics of the industry and business requiring high business infrastructure utilisation rates, smaller companies cannot conduct final tool testing, as the machine used for the manufacturing process of the final product would remain idle for long periods, owing to the lower throughput of smaller businesses.
- Financial resources - Even if a smaller company were able to deliver the required service to the middle or high tech income segments, the company's limited working capital would prohibit them from tendering the service, given the relatively higher cost of the product and the associated production lead time.
5.3 Q3 - Business model generation
A business model was designed by reconfiguring the elements within the various business functions, providing a central channel for design, importing and manufacturing services.
- The business model hinges on the company's ability to design medium and premium tooling. The value curve mis-fit was bridged by partnering with a German company to provide the initial concept design (a source of their technical expertise), allowing local designers to conduct the more detailed design with periodic internet-based design reviews.
- The company would fulfill a project management role, outsourcing the manufacturing process to local or international companies whose technological capability to produce the tooling was vetted to ensure that they employed the required management techniques to guarantee quality and timely delivery.
- The company would provide the necessary specification translations to ensure that the product conformed to the original design, and then contract the manufacturing service, taking into account cost and delivery lead times, including shipping.
- Breaking down the complete design, and contracting the manufacturing process of sub-components to various smaller companies with the technology to build the tool components, the businesses would not require a large amount of working capital.
- With a higher throughput of tools, the company would assemble the subcomponents into the final tool, and would be able to use the equipment needed in the final product manufacturing process to conduct the final tool test.
- With an in-depth understanding of tool design and construction, the company would be able to employ local technicians to conduct the necessary after-sales maintenance and repair services.
The dominant isolating mechanisms that would protect the business strategy from being undermined by imitation by competitors or disintermediation by customers include:
- Access to and relationship with the German design partners
- Supply of material at competitive prices
- Global network of qualified tool suppliers
- Small working capital capacity
- Relationship of trust developed with customers over time
5.4 Q4 - Growth and implementation
In order to convert the analysis and business model into action, the E-PERA tool has guided the business model to define, among other things, the necessary IT and visual management systems to facilitate communication and project management. A financial roadmap - which dictated how funds would be raised to increasingly absorb the outsourced functions and thus facilitate growth - was compiled with the first round of shareholder fundraising underway .
At the time of writing this paper, the customer had bought into the resulting business model on paper, and the implementation of the business model was in process.
As discussed in section 3.1, the major strategic models and frameworks have the ability to explain a company's competitive advantage at a single point in time. However, they neglect to detail the processes involved in developing the strategy and subsequently achieving success.
The SVA framework, as a live product that should constantly evolve, addresses the shortcomings of current strategic models in the context of SMEs, in that it:
- takes into account the specific characteristics of SMEs;
- guides the user through detailed processes to formulate a strategy and business model; and
- it is not specific to an industry or sector.
The framework allows SMEs to address their specific shortcomings through a combination of risk-mitigating factors or actions in order to align their strategic intent and business model with VC demands, allowing them to gain access to the necessary funding to grow their business and leverage off the non-financial resources of the VC companies. Ultimately the framework unites management and investors behind a unified vision, provides motivation in the form of strategic intent, and installs the necessary communication and project management infrastructure to ensure plans are translated into action.
Future research that might arise from this framework includes the use of specific tools in specific types of industries. The framework will ultimately be tested to see whether it would fall into the category of SMEs that are successful after the first two years.
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* Corresponding author


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Fitting a 1TB into a box measuring 5.31 x 3.22 x 1.57 inches isn't all that easy (most NAS boxes we've seen would crush a squirrel easily) but Buffalo seems to have not only accomplished this but shoved in a whole bunch of other features as well. The Mini's got a Gigabit Ethernet port, support for RAID 0 and 1, Active Directory Support, UPS support (to shut down in case of power failure), and best of all, runs an on-board TwonkyVision DLNA server.
PlayStation 3 owners who want to shove a bunch of DivX/XviD movies onto a server to stream to their consoles for HD movie action will be thrilled. Less thrilling is the price: $699 in May. Those features aren't cheap, nor are the smaller laptop drives they use to power it. Then again, for about $699 you could also get a Windows Home Server, which is quite full-featured but isn't nearly as compact. On the third hand, we're not sure why you would need a NAS to be all that compact unless you were living in a tiny apartment or wanted to sneak it through customs. [Buffalo]

subset: commoncrawl


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I wish I could remember some funny stories to tell you, but I was quite dazzled by my sheer proximity to Rob and also have the memory of a goldfish. Luckily the whole panel is on YouTube if you want to go check it out (sigh).
Make sure you check out Mrs. P's latest posts at Walk With Mrs. P and also her new Zazzle shop, MaggieMart!
TwiloveSue XOXO


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Six Nobel prizes are awarded each year in the areas of:
- Peace
- Chemistry
- Physics
- Medicine
- Literature
- Economics
The prizes are named after Alfred Nobel, the inventor of dynamite, who created the prizes in his will. He donated a good portion of his estate to fund the prizes, decided who would judge the winners of each award and also named the five prize categories (economics was added during the 1960s).
The Nobel Prizes are administered by the Nobel Foundation and are awarded in the fall after a rigorous selection process. The list of winners in the different categories (especially physics and chemistry) is like a Hall of Fame. For example, in physics the winners include Albert Einstein, Niels Bohr, Robert Millikan, Louis-Victor De Broglie, Werner Heisenberg and so on. It's a pretty prestigious list!
Today each prize is valued at over $1,000,000. The reason it is such a "big deal" is because of the size of the award and the fact that the award has been given since 1901-- long enough that everyone has heard about it.
Here are several interesting links:


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Unarmed Bobblehead
"When words fail, there's always fists." -- Unarmed +10
Rockopolis is a rather innocuous location that's nearly impossible to find if you don't know what you're looking for. Thankfully, there's a location nearby that you absolutely must visit during the main quest, so you'll have a good place from which to spring off from. Rockopolis on the far southwestern edge of the Capital Wasteland, due west of Smith Casey's Garage. The garage is where you'll undertake the main quest known as Tranquility Lane; thus, once you find this location, all you'll have to do is head westward to find your destination.
We recommend traveling at night when finding Rockopolis, since the light pulsating from behind some rocks will give away its otherwise completely obscured location. Once you enter the small hole in the mountain, you may be confused as to where the Unarmed Bobblehead specifically is located. Consider searching the far back end of the rocky room, and look on the ground (it's easier if you shut your weapon's light off). The Bobblehead should be sitting quietly on the ground. Crouch down and pick it up for a +10 for unarmed combat.
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Shopping can be good for your health.
The national obsession with fitness, healthy eating and battling obesity is altering the retail landscape of neighborhood shopping centers and strip malls: They are becoming suburban havens of healthy living.
Health clubs are increasingly anchoring outdoor shopping centers. Yoga studios, yogurt shops, vitamin and workout apparel stores, organic food markets and health foods restaurants quickly follow.
Health clubs — from large workout centers featuring indoor pools and row after row of equipment to small home-gym types of franchises — have undergone "a huge explosion over the last 10 years," says Tom Simmons, Mid-Atlantic president of Kimco Realty, owner and manager of neighborhood and community shopping centers. "The consumer is becoming more mindful of healthy living,"
Frozen-yogurt stores are replacing retailers of fattier ice cream, he says. Kimco had 13 yogurt stores in its portfolio five years ago. Today, it has 73. The square footage they occupy went from 16,000 to 108,000 during that time.
Restaurants with names such as Sweetgreen, Sweet Leaf and Energy Kitchen (slogan: "fast food, not fat food") are sprouting in strip malls across the country, catering to the national passion for all things "green."
GNC, seller of vitamins, supplements and herbal remedies, is opening 150 stores this year, Simmons says, and Smoothie King plans 1,000 more stores in five years.
Fitness International, owner of 665 LA Fitness and City Sports Club locations, opened 54 clubs last year — many in shuttered Circuit City and Borders stores, says Bill Horner, senior vice president/chief real estate officer.
"Typically, the health club member has higher educational attainment and disposable income," he says. "As a shopping center owner, if you think that's what's coming into your center two or three or four times a week, we've become a very viable anchor tenant to attract a pretty attractive customer."
Peak visits at health clubs are from 4 to 7 p.m. Monday through Thursday, Horner says. "We've taken the dinner prep time away from them," he says and that's where healthy prepared foods from restaurants such as Sweetgreen or produce from a Mom's Organic Market come in.
The shift is happening even in centers that don't have health clubs.
At one of Kimco's properties along Philadelphia's posh Main Line, Suburban Square in Ardmore, Pa., Macy's remains the anchor store, but the 63-year-old outdoor center's healthy makeover is striking:
— The old Pierre Deux Furnishings is a New Balance store, a favorite of runners and workout enthusiasts.
— The former Seidenburg Luggage shop is now a Lululemon Athletica, the popular and fast-growing Canadian purveyor of fashionable yoga wear and free in-store yoga instruction.
— Zinman Furs is gone and Sweetgreen has swooped in. A cafeteria line serves locally grown arugula and other fresh items for wraps and salads. Tables are made of reclaimed wood. The "responsibly sinful dessert" is fro-yo.
— Suburban Square also has City Sports, which sells athletic supplies from bike helmets to heart-rate monitors, and The Walking Co. (stylish but comfortable shoes). At one end is a food paradise: the Ardmore Farmers Market and a Trader Joe's.
"When we are looking at opportunities for new store locations, we look for areas that are considered the hub of health in the community," says Wynn Spencer, Lululemon vice president of store development. "Often, that means we are in close proximity to yoga studios, fitness centers, coffee shops and healthy eateries and grocers."
Rebecca Olsen, a sophomore at Elizabethtown College about 80 miles from Philadelphia, takes the train to visit home in Mullica Hill, N.J. Instead of going all the way to Philadelphia, she gets off at Ardmore and her mother, Nancy, picks her up and drives the hour home. One reason they meet there: the healthy restaurant fare.
"My mom and I would both agree that when they put in a restaurant, both of us would rather go to healthier ones than not," says Olsen, 20.
The two also pick up fresh food at the farmer's market. When Rebecca got home from spring break, her friends were "all excited" to tell her about the new place that just opened in a strip mall in her hometown: a make-your-own frozen-yogurt shop that offers a wide variety of fresh-fruit toppings.
"It's just a reflection of people being more in touch with their health and watching what they eat and their lifestyle," says Mark Bachus, general manager of Suburban Square. "It strengthens the brand and becomes a destination. The whole healthier lifestyle is not something that's going to go away. It's not a flash-in-the-pan trend."
Healthy life for sale? Retailers bet you'll buy it
Shopping can be good for your health.


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With Fletcher Martin's discharge from the Navy in San Francisco in 1926 the young man's growth, personally, artistically, and intellectually began in earnest. He married, found employment in a printshop where his boss recognized and nurtured his artistry, began voraciously reading books on science, mathematics, philosophy, sociology and literature and sought out art and artists so he might learn from experience what he had never had for lack of formal schooling.
Along the way he began winning important art competitions and receiving one-man shows. With his reputation as an important emerging artist coming to the attention of the Federal Arts Project, Martin received a commission to paint a mural in the auditorium of the North Hollywood High School (above). It was immediately acclaimed by both professional critics and the public and resulted in further mural commissions that took him from California to Texas to Idaho.
Along the way, Martin, who had never attended a professional art school, began teaching drawing classes at the Art Center School in L.A. and, in 1940, after a successful first one man show in New York City and the accompanying critical acclaim, Martin was offered the chance to replace Grant Wood as the artist-in-residence at the University of Iowa and then, a year later, he replaced Thomas Hart Benton at the Kansas City Art Institute.
In spite of the many teaching situations Martin found himself in over the course of his career, he always doubted the value of a formalized art education. Martin believed that his role as a teacher was to ensure that his students enthusiasm for teaching themselves was always maintained.
"It takes a certain natural skill, a creative attitude toward life and a profound, unswerving interest to become an artist. The rewards," said Martin, "are abundant but rarely material."
In 1943 Fletcher Martin had achieved a level of recognition that brought him to the attention of the editors of Life magazine. Along with several others, he was asked to travel overseas and document America's war effort. His first assignment took him to North Africa to Tunisia where his earlier experiences as an enlisted man in the Navy served him well. Martin executed over two hundred sketches like the one below, developing several into finished paintings (as can be seen in the two examples above).
After a brief return to the United States, Martin accepted a second assignment, this time to London, where he witnessed the horrific fighting in northern France and the destruction caused by the V-2 rocket bombardment of London. The high-profile exposure Martin's work received in the 1943 Christmas issue of Life (13 colour pages plus the cover) meant that millions of Americans now knew who Fletcher Martin was.
In that sense, Martin had bridged the divide between fine and commercial art.
* From the book "Fletcher Martin" © 1977 Harry N. Abrams Inc.
* All of today's images can be seen at full size in my Fletcher Martin Flickr set.
Celebrating illustration, design, cartoon and comic art of the mid-20th century.
Wednesday, June 06, 2007
Fletcher Martin: Self-Taught Teacher
3 comments:
I've been looking online for a copy of the Martin book... I want to see more of his stuff. I really love his work!@ReplyDelete
I hope you manage to find it, pulphope - its a spectacular volume with over 200 images of which approx 50 are in colour. Good luck! :-)ReplyDelete
Steven Stern, www.CaliforniaPaintings.com has several paintings for sale by Fletcher Martin.ReplyDelete
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Sabian Vault Custom Shop
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Call 1 800-817-2242 or e-mail [email protected]


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Joe Nichols is eyeing a strong 2013, now that he's signed to a newly-formed label, Red Bow Records. After signing the contract at a private party in Nashville, Nichols chatted with reporters about what fans can expect from the upcoming project.
"The risks are 'How country can you go?' rather than 'How rock can you take it?'" he says, when asked about the new music. "So the risk on our part was to go as country as possible while still keeping people engaged in the modern, fresh feel of what country sounds like today."
The new label is a joint venture between Broken Bow Records (an independent label that's home to Jason Aldean) and RED Distribution (a corporation that helps get albums on store shelves.) In addition, he is working with producer Tony Brown, known for a lengthy string of hits with George Strait and many others. Nichols says they've probably found the first single (unless they find one that can beat it) and will launch the project early next year.
"We're looking for smashes," Nichols noted, saying the tracks he's already recorded are the best vocals he's done since 2002's Man With a Memory and that many of the songs that he's already chosen would have fit well with that breakthrough project.
In the basement of the Hard Rock Café, Nichols answered a few questions about what lies ahead.
You've already started recording some songs. Can you tell us what's coming for the fans?
Nichols: With me, it's a tricky thing. I'm a traditional country singer, so we're always trying to find a way to make that a fresh and modern thing. That's the challenge, and it's always going to be the challenge for me. But I rekindled my relationship with Tony Brown and called him and said, "Man, let's make a record together. I want to go in and cut some things without any outside influence yet. Let's you and me find some songs and go cut some things and see if we can come together on this thing." …
We came out with some great stuff. I think we got a potential first single and what I like to call the "meat" of the record, which is the hard-core country stuff that people will come across unexpectedly. (laughs) The start we have is phenomenal. I couldn't be happier with that. I hope that radio gives us a great shot at it.
What made you decide to go on this new venture?
I wrapped up a relationship with a previous label [Show Dog Universal] earlier this year. I think it was great for both sides to go different ways and pursue other things. Sometimes you have to not take that personally and think, "What's best for me is probably not what's going to feel good right away." But in the long run, it's what needed to happen for my growth. That's why we left the previous deal in search of a new home and a family that we can be close with. …
Setting out and trying to find a new label, I had a few key things on my list. No. 1 was I wanted to feel like I could trust everybody. And I wanted motivation to be at an all-time high. For me, I wanted somebody that got me musically, that understood that I'm an artist and this is who I am. I'm not going to be like another artist on your label, probably — hopefully. I found all those things with the Broken Bow group.
When did you sign your first record deal?
My first record deal was an independent record deal back in 1995 or early 1996. We had a single and a video out called "Six of One, Half Dozen of the Other," then a song called "Wal-Mart Parking Lot." I was 18 at the time and didn't know crap. I didn't even know about the crap I didn't know about. So it was a fun experience for me to get into the music business. Of course, it was a painful one because I didn't do jack. (laughs) For quite a while — and it humbled me quite a bit.
Then I signed with Giant Records, aka the "artist protection program." I was kind of hidden for a while. Warner Bros. gave me a very good opportunity to go and find another home. Much like the deal I wrapped up with Show Dog, they gave me an opportunity to leave and be someplace I was more comfortable and more successful. Then I signed with Tim DuBois and Tony Brown at Universal South, and things shot off. We were No. 1 within the first few months of being released on the record label.
That was a good moment of validation for me, and I think we have the same kind of expectations for the new music. I want to see success right away. And I want to never give up, never stop. Always be in the studio, always writing, always playing live, always trying to figure out what's going to be the best thing for me over the next 16-18 months, just trying to reinvent myself.
Did you read the contract more closely this time around?
I thought the contract before was fine. The contract to me has always been a matter of who's worth their word. The contract is just a piece of paper. If you want to get in the middle of a fight with somebody, you could probably do that with any contract. I think the contract is a formality that puts numbers into place, but I think more importantly it's about the people you shake hands with. And I think the people I just signed with don't necessarily need contracts because their word is their bond. They're good people, and I trust them.


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White ADA Symbol Semi-Custom SignStarting From: $77.85
Blue ADA Symbol Semi-Custom SignStarting From: $77.85
Your parking lot says a lot about your place of business. Sure, it seems like an odd comparison, but the condition of your parking lot indicates your level of commitment to the individuals who use it on a daily basis.
If your signage is fading, cracked or missing altogether, your customers might be concerned what the inside of your business looks like. And some might even go as far as to downgrade the quality of your products or services.
Poorly maintained signs can cause confusion. A motorist without a handicap tag might accidentally park in a handicapped spot. This can lead to towed cars, big fines and seriously upset patrons.
Key benefits of parking lot signs available through Speed Bumps and Humps
At Speed Bumps and Humps, we offer a low price guarantee that beats any competitor's price on an identical item. Add in our generous warranty terms, and you have a recipe for a great customer experience. Contact us today at 1-866-734-0605 to begin shopping for your new parking lot signs!


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This website accompanies our Team App smartphone app available from the App Store or Google Play. Download Team App now and search for Manteca Raiders Youth Football and Cheer to enjoy our team app on the go.
To access all the features of this site you need to Log In or Sign Up.
Mon, 25 Mar
by Manteca Raiders Youth Football and Cheer
Posted: 6 months ago
Visible to: public
Time zone: Pacific Time (US & Canada)
Reminder: None
Straw Hat Pizza


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From Williams Sonoma
Make your own pizzeria-quality pizzas in the backyard or on the go with this portable, propane-fueled pizza oven. The Pizzeria Pronto safely replicates the superhigh temperatures of a wood-fired pizza oven, baking flawless pizzas with bubbly toppings and a crisp crust in just five minutes. Requiring no down time between pizzas, the oven is ideal for pizza parties, and it's light enough to take... Read more


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Quick Search: Choose Model and Year, then enter search topic.
Page: 153
The commands supported by the voice control system are divided into two categories:
Local commands
You can only say local commands within the respective main function. They are not listed here since they include all menu items shown on the display. The only exceptions are the and menus as well as the various SET menus. These are not voice controllable.
The voice control system for lists is different and is described in the section "Operating lists using voice control" on page 157.
Global commands
You can say global commands from any function.
They include:
– the main functions of your PCM,
– selected shortcuts (branching directly to a function without opening the respective main function beforehand) as well as
– the various help topics.
Global commands for the voice-controlled main functions:
– Tuner, Radio
– Disc, CD
– Phone, Telephone
– Info, Information
– Navi, Navigation
– Map,
Global commands for the non-voice-controlled main functions:
– Source, Sources
– Sound
– Trip, Trip computer
Global commands from the telephone area:
– call, dial
– call name, make call to name
– Dial number
Global commands from the navigation area:
– go to destination, go to destination ...*
– start route guidance
– stop route guidance
– input country
– input town
– input street
– input intersection
– go home
– go to office
– next ATM
– next hotel
– next restaurant
– next gas station
Global commands for the help function:
– help
– help voice control
– help devices
– help source
– help tuner
– help disc
– help phone
– help info
– help navi
– help map
– help option
Other global commands:
– stop, quit, terminate, end, and cancel
– back


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Contrary to reports out of London, the Royal Family "got a thrill" out of seeing Prince Harry naked in Las Vegas. They loved it so much that they decided to include it in their 2013 Christmas Card.
Here's a picture from the photo shoot:
Harry loves being naked now and wants to be naked in as many Royal Family pictures as he can.
Harry posed with some of his "friends" from Las Vegas as well:
Not to be outdone, Pippa Middleton decided to pose naked for her Christmas card:
The Royals are feeling frisky… and today they even celebrated Topless Day at Buckingham Palace!


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SemSorGrid4Env in a nutshell
The main objective of SemsorGrid4Env is to specify, design, implement, evaluate and deploy a service-oriented architecture and middleware which allows application developers to build open large-scale semantic-based sensor network applications for environmental management. Such architecture and middleware will enable the rapid development of thin applications (e.g., mashups) that require real-world real-time data coming from heterogeneous sensor networks, making it possible to use sensors for other environmental management purposes than those that they were originally expected to have (hence reducing sensor network deployment costs) and to combine their real-time data with historical data from other data sources, opening possibilities of improving current decision-making procedures in a variety of situations (emergencies, monitoring, etc.). Read more...


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Last week, I covered windwalker monks and how to fly around kicking butt like a kung fu master. This week, I'm delving into the "spirited" version, the brewmaster. One caveat, though: Because this is still beta, things will likely change somewhat between now and live. We'll have a full 101 guide that covers things like enchants, gems, and stats when Mists is released, but this will cover you until then.
What is a brewmaster monk?
Monks have three role options: damage, tanking, and healing, of which brewmaster is the tanking role.
How do brewmaster monks work?
Brewmaster monks have two primary resources, energy and chi. Energy replenishes at a constant rate and is used to power your basic moves and abilities. These attacks generate chi, which is then used to buff your survivability.
What is this "stagger" thing?
Stagger is a new mitigation mechanic that is exclusive to brewmaster tanks. For every physical attack taken, a percentage of the damage is not taken immediately but instead is turned into a damage over time effect that stacks. In and of itself, this does nothing except spread out the damage taken a bit. However, brewmasters also have Purifying Brew, which completely eliminates the Stagger DoT effect. Depending on the fight, you may have enough chi to use PB often, or you may need to let Stagger stack a bit. Many abilities buff Stagger, such as the Shuffle effect from Blackout Kick.


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THE SCOOP Electrical contractors can expect another year of healthy growth in most construction markets.
Most segments of the construction industry will enjoy slow to moderate growth at or near the peaks of one of the longest construction booms in recent history.
Robert Murray, vice president of economic affairs for McGraw-Hill's Construction Information Group, said higher interest rates will slow the construction industry's current nine-year expansion, but moderate growth will continue in 2001.
Murray's forecast was part of the F.W. Dodge Outlook 2001 Executive Conference from Oct. 17 to 18 at the Mayflower Hotel in Washington, D.C.
"The construction industry witnessed remarkably steady growth during the 1992-99 period, reaching new highs in both current and constant dollar terms," he said. "But no expansion goes on forever, and higher interest rates have begun to have some restraining impact this year and that trend should continue into 2001."
For 2000, Murray estimates that total construction activity will rise 3% to $462 billion. While not as large as the 10% increase reported for 1999, it still marks the ninth straight year of expansion, at least in current dollar terms. On a constant dollar basis, construction activity in 2000 will essentially match the previous year's robust amount.
He also believes there will still be a boost coming from expanding student populations and federal and state government spending. The rate of growth for total construction activity will recede, but the level of activity should be able to remain close to what was reported during 2000, with a slightly different mix.
The steady growth that construction economists see for 2001 is welcome news for electrical contractors, who had to be looking over their shoulders wondering if this would be the year when the party would end. From all signs, it looks like most markets will remain strong for at least another year. The following capsule summaries offer insight into the key markets for this industry.
Single-family housing. Single-family housing will continue to settle back from its torrid 1998-99 pace, with 2% slippage in dollar volume arising from a 5% decline for dwelling units. At a projected 1.125 million units, single-family housing next year will still be about 10% above the annual average for the 1990s.
Income properties. Income properties will post a slight 2% gain in dollar volume, although square footage will be down 1%. Multi-family housing should see greater activity, while tighter lending standards will exert a mild constraining effect on stores, hotels and offices.
Offices. Offices are a major component of this construction segment. Despite low vacancy rates in many major metropolitan areas, the McGraw-Hill Construction Information Group's forecast expects office construction to slide 4% in 2001 to 260 million square feet. A key reason for this decline is the lack of speculative building, which puts a lid on vacancy rates. This statistic has declined significantly over the past decade, according to the CMD Group's North American Construction Forecast. The cities with the lowest vacancy rates for the third quarter of 2000 according to the report were San Jose (1.2%), San Francisco (3.3%), New York (2.5%), Seattle (3.4%) and Boston (3.7%). Cities with above-average vacancy rates during that same time period were Los Angeles (12.4%), Phoenix (12.5%) and Dallas (15.3%). The average vacancy rate across the U.S. is now below 10%, compared to the 20% average vacancy rate during the early 1990s.
Stores. The construction of stores and shopping centers hit an all-time record of 310 million square feet in 1999, but slipped some in 2000. Economists expect construction in this segment to slip 5% to 295 million square feet in 2001. According to the 2000-2001 U.S. Markets Construction Overview published by FMI, Raleigh, N.C., total renovation work in stores will increase 5% to $14.6 billion.
Public works. Airport work will be strong, boosted by funding coming from the new federal aviation bill. During the past year, major airport projects were underway in Boston, Chicago, Detroit, Newark, N.J., Orlando and Philadelphia.
Utilities. Electric utility construction will essentially level off at the elevated volume achieved in 2000. About half the states have enacted deregulation plans, which in combination with capacity shortages, should keep power plant construction close to this year's robust amount.
Institutional properties. Institutional building should rise 3%, due to further growth for school construction, while religious building also remains strong. In contrast, health-care facilities will see more slippage for its clinic segment, while amusement-related projects (sports arenas, theaters and convention centers) will lose momentum in a more subdued business climate.
Because some solid demographic trends are still in place and are supporting high levels of school enrollment, school construction will expand 3% to 267 million square feet in 2001. According to the McGraw-Hill forecast, elementary school enrollment peaked in 2000 at 35.2 million students and is expected to drop slightly to 34.4 million students by 2006. The report said that the construction of secondary schools will rise from 17.8 million students in 2000 to 19 million students in 2006. Renovation work in the education market will increase 12% to $16.8 billion dollars, according to FMI's report.
Manufacturing buildings. Construction of manufacturing buildings is expected to rebound 6% to 132 million square feet in 2001 due to strengthening export markets, following the extended weakness of the 1998-2000 period.
Hospitals and health-care facilities. Industry observers do not expect construction in this market to expand much over the next few years because of continuing uncertainty over the transition of the health-care market. The McGraw-Hill report forecasts that construction of hospital clinics will decline sharply next year and that hospital construction will stabilize, resulting in a 6% drop overall in this segment to 87 million square feet. Renovation work in this market will 2% in 2001, leveling out at $11.7 billion, according to FMI.


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Subscribe To Enter CB's Halloween Costume Contest! Updates
I've already subscribed
Every year we try to come up with movie-related Halloween stuff to run, giving you advice on which costumes to wear and to avoid, and how to pick precisely the right horror movies to scare yourself to death on that spooky Saturday. But really, we know you guys are brilliant-- you read this site, don't you? So for this year's recommendations on the best movie costumes, we're taking it to you guys.
That's right-- we're having a costume contest. Send in your best photos of your best TV or movie-related costumes from years past, whether it's a storebought Indiana Jones whip and fedora or a completely hand-constructed to-scale model of R2D2 for your 4-year-old to wear around the neighborhood. Yes, since we're a TV site as well, TV characters count-- and you should know that your judge is particular to Lost and Dharma jumpsuits. We'll judge the best and post them next week, with the three best winning a Saw VI T-shirt, just in time to wear either to the theater to see the new movie, or on Halloween for extra scares.
How do you enter? Glad you asked. Either e-mail your photo (or your kid's, or your dog's) to [email protected], or Twitpic it and direct it to us on Twitter, by tweeting "@cinemablend Here's my Halloween Costume Contest entry." Any story that goes along with the entry is, of course, more than welcome. Please edit it down to under a MB, since we don't want to kill our server. Depending on how many entries we get, we may involve the Twitter masses to vote on the best ones. It's all up to you and how many awesome contests you have up your sleeve!
Entries must be received by Monday, October 25 at 11:59 p.m. (UPDATE: Due to popular demand, we've extended the submission deadline to Friday, October 30th at 5:59 p.m., to leave room for this year's costumes to make it in) Employees of CinemaBlend.com and their families are not eligible to win. Now get those photos sent!


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Higher cutting capacity
New engine design offers a wide usable RPM range for peak performance even under heavy loads. 12% higher cutting capacity (compared to previous models in the same cc-range) makes the saw ideal for productive operation – even when using long guide bars.
Excellent cooling capacity
Our new cooling system is optimised in every detail to give you a reliable chainsaw for any situation, and longer engine life.
AutoTune™ II
10 times quicker air/fuel mix adjustment with AutoTune™ II ensures a correctly tuned engine setting and optimised engine performance in all conditions. Automatically compensates for different fuels, altitudes, humidity, temperature and dirt in the air filter.
Heavy duty filtration system
572 XP® carries – as standard – a large surface heavy duty filter for longer and better filtration. The filter has a larger filtration area compared to previous generation. Providing a chainsaw with a healthier engine optimised for long working hours.
Air Injection™
Advanced centrifugal air cleaning system which removes the majority of dust and woodchips before it enters the air filter, resulting in smoother operation, longer intervals between filter cleans & reduced wear on the engine.
Ergonomic handle design
The rear handle is asymmetrically designed with a rubber inlay for a more stable and less tiring grip, while still allowing you flexibility while you work.
Soft cut-out system
The innovative system for engine control is designed for providing a long engine life. The system monitors the engine and assures that the engine always is protected from over-revving.
Better chip ejection
The clutch cover is designed to optimise rapid, safe saw chip ejection. Prevents clogging, even when cutting long bre wood.
|Engine specifications
|Cylinder displacement
|70.6 cc
|Cylinder bore
|48 mm / 1.89"
|Cylinder stroke
|39 mm / 1.54"
|Power output
|4.3 kW
|Maximum power speed
|9900 rpm
|Maximum recommended engine speed
|Zama C1M-140054D
|Fuel tank volume
|0.7 litre
|Fuel consumption
|Oil tank volume
|0.4 litre
|Oil pump type
|Adjustable flow
|Oil pump capacity
|5-22 ml/min
|Ignition system
|Ignition module air gap
|0.3 mm / 0.01"
|Idling speed
|2700 rpm
|Spark plug
|Husqvarna HQT-1
|Electrode gap
|0.5 mm / 0.02 "
|RPM limiter
|Torque, max.
|4.5 Nm @ 8200 rpm
|Air filter type
|Felt HD
|Husqvarna 2-stroke oil
|Chain / Bar
|Husqvarna Bar & Chain Oil
|Guide Bar Sprocket
|Husqvarna Bearing Grease
|Vibration & noise data
|Equivalent vibration level (ahv.eq) front / rear handle
|5.0 / 4.1 m/s²
|Sound Pressure level, dB(A)
|107 dB(A)
|Sound Power level (LWA), db(A)
|120 db(A)
|Cutting equipment
|Standard bar length
|Chain pitch
|Chain gauge
|Chain speed at 133% Max power speed
|29.3 m/s
|Overall dimensions
|Weight (excl. cutting equipment)
|Oil filter


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39 users online :: 39 Guests and 0 Registered
Records in this category
- Do you have a manual or guide for the software?
- What TCP/IP ports are used by CafeSuite?
- How to backup configuration and data files?
- How to restore data files from backup?
- What is the right way of upgrading CafeSuite?
- What are the development plans for CafeSuite?
- How to install CafeSuite?
- Is it possible to use older version of CafeSuite after using a newer one? Can I downgrade CafeSuite?
- where i can find and download the old version of cafesuite?
- How can I change the hour in the program?
- How can i renew my expired trial version for CafeSuite?
- How can I know check when my license expires? When my support period ends? Or what are my license details?
- What operating systems does CafeSuite support? Does CafeSuite work on Windows Vista/XP/2000/Me/9x? Mac? Linux?
- If I need to change server computer with CafeStation how will CafeSuite respond to new hardware and can I use same license on new machine?
- How to upgrade client program? When I upgrade CafeStation are the clients also updated?
- What are the most important recent changes in CafeSuite?
- How to change language of the software?
- How can I create, edit or update CafeSuite translation?
- How to create a new CafeSuite translation?
How to install CafeSuite?
Here are the basic steps necessary to install CafeSuite in your network:
- Download the latest version of CafeSuite from our website.
- Run downloaded installation package on the main (server) computer. By default the software will be installed to c:\Program Files\CafeSuite folder, but you can change it. Application data will normally be installed to another directory displayed during installation.
- Run CafeStation at the end of installation (or you'll find the shortcut in the CafeSuite group in Start menu).
When you will be asked to log in, select default boss user with empty password and press OK. This user has full permissions.
- Configure main CafeStation software through menu Program/Options.
- Configure client software through menu Program/Client setup. See: What should I do to configure client software?
- Install client software on the workstations. See: How to install client software on the workstations?
Tags: installation, setup
Related entries:
- Do you have a manual or guide for the software?
- What TCP/IP ports are used by CafeSuite?
- How to backup configuration and data files?
- How to restore data files from backup?
- CafeStation cannot connect with some of the workstations. What's wrong?
411064/100%Last update: 2011-05-11 12:38
Author: Administrator
Revision: 1.5
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