16 Met AIS Ja!

34 Gauging Insanity

54 Solving the Chinese Puzzle

64 Tropical Twilight

79 Speed and Glamour

82 The Fink

Official Mouthpiece of

AAMA Alert made its debut in November 2009 raising

the alarm on the invidious effects of a volatile Rand, and

a follow up article in December 2009 went into more

depth on currency challenges facing the automotive

aftermarket. AAMA Alert’s sibling column, the Perrie-Scope, dis-

cussed trend lines in the industry in our February 2010 issue,

while our March 2010 issue looked into the impending Consumer

Protection Act, with particular reference to retail behaviour and

responsibility. The serious issue of counterfeiting and an industry

call for a conscience was the subject of our April 2010 issue, whilst

our May and June issues focused on the critical aspect of training

and resources, and a nod to the proactive companies who are doing

something about what is an impending crisis. ABR has acknowl-

edged that the training question is of such importance that, as we

said last month, “it is both our duty and our privilege as South

Africa’s leading and most influential automotive aftermarket pub-

lication, to be at the forefront of publicising and promoting train-

ing and development”. Our country’s reputation, if not our indus-

try’s very existence, is on the line, so we will spare no effort in get-

ting this message across.

Thus, we can say with both pride and humility that we are hon-

oured to have been chosen this month by Equal Career Services to

be the publishing medium to announce their partnership with the

French training powerhouse GNFA. This winning partnership will

allow Equal Career Services to expand their current offering of non-

technical specialised training, by adding cutting edge technical

training. GNFA is Europe’s largest provider of automotive techni-

cal training, and thus the combination of Equal Career Service’s

proven success in management, business processes and procedures,

and developmental training; with GNFA’s comprehensive technical

courses, is a sure fire way of investing in the most valuable resource

our industry has – people. Our cover feature looks at this wonder-

ful initiative, so go to page 20 to be both inspired and renewed, and

for everyone involved in our vibrant industry, don’t forget to make

use of the wonderful opportunity afforded by ECS and GNFA .

It is indeed gratifying that the ABR AAMA Editorial Advisory

Board is spot on with its identification of the important issues, and

that we are being noticed for our important media role. The biggest

problem that we now face is that we are spoilt for choice when it

comes to identifying matters of interest and concern to the indus-

try. Apart from the aforesaid subjects, we have so many other issues

to cover. South Africa, as a developing country, has so many bases

to cover, and the automotive industry has its fair share of them -

supply chain issues, franchise concepts, the greening of the indus-

try, cost escalations from parastatals, road infrastructure, roadwor-

thiness and road safety, Eskom reliability, product education, mar-

ket information, and many more subjects are just begging to be

held up to the light of investigative journalism and analysis. Our

magazine does not have the resources, and our readers do not have

the attention span or the time, to tackle all these issues at once. If

we throw all these issues into the pot and do a little bit here and a

little bit there, we run the risk of minimising the importance of

each and every issue, and to do more harm than good. It is with this

in mind, that the editorial board has to tread carefully in choosing

what to cover next, and we also have to identify critical catalysts to

growth and sustainability. It is no use going on and on about road

infrastructure, or road safety, for example, when we can basically do

very little about it. We do give it a go, in our own inimitable way,

but we realise that the country’s hands are effectively tied by a fund-

ing backlog and a less than exemplary government. What we can do

in a far more effective way is to go for the initiatives and ideas that

can play a pivotal role in changing the situation. And what better

subject than entrepreneurship?

Entrepreneurship will be the key to unlocking our country’s poten-

tial, and thus this month’s AAMA Alert focuses on entrepreneur-

ship, and what it means to our industry and our country. This is

effectively the magic bullet which will solve many of our woes, from

unemployment (another issue) to ratcheting up our economic

growth (another issue), to solving our crime problems (another

issue!), and many other issues you may want to bring up. Coupled

to training, entrepreneurship is right up there as enabling actions

that can make a huge difference in our country, so ABR, as it is

doing with training articles, will devote space and effort on this

subject, for the foreseeable future. We are fortunate enough to have

Pavlo Phitidis of Aurik Investment Holdings on board, who will

provide regular articles on entrepreneurship. Go to our AAMA

Alert column on page 14 to get to grips with this fascinating theme,

and you can read Pavlo’s insights on page 32, the first of many

inspiring tomes from this dogged crusader.

Once again, ABR is proud to be at the forefront of relevant jour-

nalism, and to be a trailblazer in our publishing segment. We are

proud to give you WORDS IN ACTION, and to proclaim that We

Care, We Deliver and that We are Relevant. Anyone else out there?

T h e P h o e n i x

J u l y 2 0 1 02

w w w. a b r b u z z . c o . z a

The ABR AAMA Editorial Advisory Board sits every couple of months todecide on matters of concern to the industry, and to categorise these con-cerns in order of priority, as a guideline to ABR’s editorial direction, andto use the AAMA Alert column as the beachhead for this editorial thrust.

Spoilt for Choice

For the latest news on the AutomotiveIndustry, make sure to visit

Publishing EditorGraham ErasmusCell: 083 709 8184

Editors at LargeAlwyn ViljoenPaul Collings

Intelli-Driving EditorEugene Herbert

CorrespondentsBeeton, FrankBorlz, Baron ClaudeBurford, AdrianFoster, GavinGamble, Austin

Hogg, GilbertKeeg, HowardMcCleery, RogerPhitidis, PavloTwine, TonyWilde, Fingal

Published byTrilogy Publishing

Advertising SalesMarlene ErasmusCell: 082 837 2668E-mail: bigheart2@iafrica.comGraham Hudson-LambCell: 083 325 4146E-mail: bigheart3@iafrica.com

Editorial Office81 Alma Road, WendywoodTel: 27 11 656 2198Fax: 27 11 802 3979E-mail: bigheart@iafrica.comWebsite: www.abrbuzz.co.za

Subscriptions and DataManagementTrilogy Trading & PromotionP O Box 69Wendywood 2144Tel: 27 11 802 6020Fax: 27 11 802 3979E-mail: bigheart2@iafrica.com

Design and Reproductionj. Kraft Information Design ccTel: 012 997 6946 Fax: 012 997 6987E-mail: jackie@kraftinfo.co.za

PrintingBusiness Print Centre, Pretoria

C o n t e n t s

1414

3939 6363

2222 5656

4

Official Mouthpiece of

2 The Phoenix

6 What’s the Buzz

12 Personal Profile

14 AAMA Alert

16 Auto Topical

18 Frankly Speaking

20 A Winning Partnership

26 Life Goes on

28 The Chery Story

30 Tony’s Take

32 Entrepreneurship

34 Weighty Issues

36 Tyre Safety

38 Intelli-Driving

40 Diamond Dialogues

44 Customer C.A.R.E.

46 Launch Update

48 Consumer Protection Act

52 Tyre Talk

54 Capricorn Insights

56 Burford on Brands

58 Wilde things

60 Hyundai Kia Motors Update

64 Tropical Twilight

65 AIDC Quiz

68 The Golden Triangle

69 e-CAR

70 Vehicle Launch

72 Perspective

76 Corporate Conscience

78 Fast Wheels

79 Motorsport

80 Midas Sport

82 The Fink

76 The Last Writes

The publisher and contributors have done their best to ensure the accuracy of the articles and cannot accept responsibility for any loss orinconvenience sustained by any reader as a result of information or advice in Automotive Business Review. The information provided andopinions expressed in this publication are provided in good faith and do not necessaraly represent the opinion of the publisher. No article maybe reproduced in any form without the prior written permission from the publisher, except for the quotation of brief passages in reviews.

Photo Credits: Quickpics • Motorpics

W h a t ’ s t h e B u z z ?

J u l y 2 0 1 06

KenKen 7 x 7How to Play:

Like Sudoku, even though difficulty may vary from puzzle to puzzle, the rules for

playing KenKen are fairly simple:

For a 3 x 3 puzzle, fill in with the numbers 1-7.

• Do not repeat a number in any row or column.

• The numbers in each heavily outlined set of squares, called cages, must combine (in any

order) to produce the target number in the top corner of the cage using the mathematical

operation indicated.

• Cages with just one box should be filled in with the target number in the top corner.

• A number can be repeated within a cage as long as it is not in the same row or

column. Answer on page 84

A new era for AutoZoneJune 2010 marks the beginning of a new era in the AutoZone family. We are proud to announce that a consortium,

lead by RMB Corvest, a prominent Financial Investor in South Africa, Zico Capital, a prominent BEE Company andManagement Stakeholders have purchased 100% of AutoZone, South Africa’s No.1 retailer and distributer of automotivespares and accessories, from Super Group Limited for R435 million. This transaction was unconditionally approved by share-holders on Monday, 14th June 2010. Says Interim CEO for AutoZone, Derek Lappin, “This transaction is a momentousoccasion in the history of AutoZone. It provides us with the opportunity to determine our own destiny and realise the poten-tial that lies within AutoZone. Our ability to continue to grow this business is built on our commitment to our customersand suppliers. We remain focused on offering the best products to our customers.” AutoZone has for the past 13 years grownand improved our offering to the market and are looking to continue this long into the future. There are no changes to theAutoZone Management structure and we remain committed to our mission of being the best in the business of automotivespares and accessories.

SKF highlightsthe importanceof productinspection

SKF has launched an awareness campaign to highlight the impor-tance of inspecting the CV Joint when replacing the wheel bearingon a vehicle. As a precision parts manufacturer and supplier thatworks closely with its OE and aftermarket customers, SKF has dis-covered that too many vehicle technicians still don’t check the CVJoint for wear or critical damage after separating it from the wheelbearing hub during a repair. If the vehicle technician allows thevehicle back on to the road with a damaged or excessively worn CVJoint, it not only presents a considerable hazard, but it will also costthe customer more time and money as the vehicle will need to berepaired again. SKF also recommends that vehicle techniciansinspect the wheel bearing, CV boot and the driveshaft area whenchanging the CV Joint. To heighten awareness of these problems,SKF has launched the www.clickskf.com website and is also plac-ing awareness leaflets in relevant wheel bearing boxes. Thewww.clickskf.com website not only features a striking graphic thathighlights all parts associated with the driveline and wheel bearing,but also a range of useful statistics, case studies and sales tools thatprovides vehicle technicians with clear instructions. In addition,the website features links that vehicle technicians can use to receiveSKF newsletters and as well as ‘SKF Pole Position’ technical bul-letins. SKF’s Driveline Product Manager, Daniele Trossi said: “SKFis committed to enhancing standards of technical competence inthe aftermarket and we are great advocates of the importance ofcarrying out a complete repair first time round. “Informing vehicletechnicians of this new website and strategically positioning ourawareness leaflets will not only highlight the importance of inspect-ing associated components like CV Joints but it will also take peo-ple to the right information so they can do the best possible job fortheir customer,” concludes Trossi. SKF is proud to be known as aknowledge company and this is yet another effort on their part toimprove awareness and ultimately increase efficiency at workshoplevel. For general information about SKF’s ever-expanding range ofaftermarket products, please contact your local SKF representativeor visit www.vsm.skf.com

AUTOMOTIVE INDUSTRYCONFERENCE 2010 – SAVETHE DATE!

The AIDC's Automotive Industry Conference 2010 will be held on 3 and 4November 2010 at the Birchwood Hotel and OR Tambo Conference Centrein Gauteng. Since its inception, the conference has remained true to its origi-nal philosophy of being for industry, by industry. Barlow Manilal, AIDC CEO,comments: "Last year's AIC was attended by over 300 delegates and broughttogether industry, labour and key government institutions to map the way for-ward for an automotive industry in crisis. As the AIDC celebrates 10 years ofdelivery this year, we look forward to another insightful conference with plen-ty of opportunity for discussion and debate." Should you be interested inexhibition or sponsorship opportunities, please contact Asanda Gcoyi onagcoyi@aidc.co.za or 012 564 5270.

ECI confirms dates for Tyrexpo Africa 2012

Automotive aftermarket exhibition organiser ECI International has confirmedthat its popular tyre trade and garage equipment show, Tyrexpo Africa, willreturn to Johannesburg in March 2012. “2012 will be the fourth staging ofTyrexpoAfrica and we are confident that the show will continue to grow andestablish itself as the premier tyre and garage equipment trade event of its kindin southern Africa,” says ECI managing director Paul Farrant. “Over the pastsix years we have been successful in encouraging suppliers from all sectors ofthe aftermarket to get behind the show, but we remain frustrated by the reluc-tance of the big-name tyre manufacturers to support it. Many visitors haveexpressed the view that manufacturers are missing an important opportunity tocommunicate directly with their customers. In their absence, Chinese tyre sup-pliers had the floor to themselves at the last event in March 2010,” he added.The last exhibition at the Sandton Convention Centre in March of this yearreported a healthy five per cent increase in visitor numbers compared to 2008,as well as attracting a record number of 135 exhibitors from Africa and inter-national countries.

Show dates for 2012 will be Tuesday 6, Wednesday 7 andThursday 8 March at the Sandton Convention Centre,Johannesburg (SCC), South Africa.

News Flash

from AutoZone

W h a t ’ s t h e B u z z ?

8 J u l y 2 0 1 0

AUTOMOTIVE SECTOR TOLD

ENERGY CRISIS NOT OVER The automotive industry would have to significantly improve

its electricity management to remain competitive, delegates at

the “Lean to Green Workshop” hosted by the AIDC and

Eskom, heard in Port Elizabeth last month. Addressing close

to 100 manufacturers at the workshop, Automotive Industry

Development Centre Supplier Development Manager, Lance

Schultz said the probability was high that load shedding

would be re-introduced by Eskom in the late part of the year

as current projections indicated that energy supply would lag

demand. “Load shedding remains an ever present reality, if -

in the medium term - industry is not able to reduce its energy

demand,” Schultz said. “However, as pressing as the threat of

outages, is the rising cost of energy, which will render several

companies in the sector unviable if not effectively managed.”

NEW DIESEL FUEL PUMP BY FEDERAL MOGUL IMPROVES RELIABILITY

Poor reliability of engine mounted electrical diesel fuel lift pumps is a thing of the past thanks to an innovation by Federal Mogul.

The company has just introduced the market to patented, brushless diesel fuel lift pump technology that offers enhanced durability

for the life of the vehicle. “The one variable that continued to hinder reliability over the years despite many design changes has been

high engine vibration, which is transferred to the electrical diesel lift pump and causes internal motor component failure. Premature

wear of the carbon commutator and carbon brushes occurs within the traditional brush type direct current (DC) motor,” explains

Hedley Judd, Technical Services Manager, Federal Mogul Southern Africa. The new technology is available for diesel engines in a vari-

ety of industries, including on-highway, construction, heavy duty, off-road stationary, marine and agriculture equipment. “Thanks to

its universal design, the new brushless diesel fuel lift pump can be installed in many existing fuel pump packages with drop-in replace-

ment of existing brush-type diesel fuel lift pumps. We are pleased to offer our customers this new technology that will meet their prod-

uct reliability goals,” concludes Judd. Enquiries: Hedley Judd • Office: 011 630 3000 • Email: hedley.judd@federalmogul.com

A lifetime of family memories awaits youat the National Boat Show & Dive Expo

Are you in the market for a smooth new watersports ride, or simply curi-

ous to explore the options this fantastic lifestyle has to offer? Whatever the

case, the National Boat Show & Dive Expo will definitely float your boat.

This award-winning expo returns for the eighth year running, taking place

from 13 to 15 August 2010 at the Coca-Cola dome in Northriding,

Johannesburg. Row, row, row your way to the best deals in powerboats, sail-

boats, paddle boats, inflatable boats, big boats and small boats and all

watersports gear and equipment. In addition to checking out the latest

high-tech boating, angling, watersports and scuba diving equipment, you

can get free advice from a range of experts – and you can even win a boat,

a dive expedition and more. Watersport fanatics can get their kicks from

everything from the Wake Wars wakeboarding competition, the Rapala

Fishing for the Future workshops, an indoor “try dive” pool to scuba div-

ing workshops and sports bars. Bring the family for a fun outing – a day’s

visit will leave you with a lifetime of memories. Visit www.nationalboat-

show.co.za for more details, but diarise the dates and be sure not to miss

this feature-packed expo, where the great outdoors comes to you. If it has

to do with H2O, you’ll find it at the National Boat Show! Tickets cost R70

for adults; R40 for scholars, students and pensioners; and entrance is free

for children under 10. The expo will be open from 11am to 6pm on Friday,

13 August, from 9am to 6pm on Saturday, 14 August, and from 9am to

5pm on Sunday, 15 August.

W h a t ’ s t h e B u z z ?

J u l y 2 0 1 010

Ashley Hayden drivesoff in a new Volvo XC60During the recent Survivor charity event in Cape Town,

Ashley Hayden showed her softer side as she handed out

gifts to homeless children now residing in one of the

Homestead houses. Homestead is a 23-year-old NGO

that operates seven Cape Town-based projects for street

children. The Homestead focuses exclusively on boys (the

majority of street children are boys) while a sister shelter

called 'Ons Plek' attends to the girls. The Homestead was

Ashley's charity of choice during Survivor and helping

children in need is a cause that's extremely close to her

heart. After making it through Survivor, Ashley is no

doubt enjoying the return to her various business inter-

ests as well as her charity work. But one of this Survivor's

biggest treats will definitely be when she takes delivery of

her brand-new Volvo XC60.

NISSAN MARKS CHILD PROTEC-TION WEEK WITH PRIMASTAR‘TAXI’ FOR CHILDREN’S HOME

Nissan South Africa (Nissan SA) marked Child Protection Week with the

handover of a Nissan Primastar to the Leamogetswe Safety Home

in Saulsville. This followed a plea to the automotive manufacturer to sup-

plement funding of R100 000 from the Tshwane Department of Social

Development towards the cost of a vehicle for the home’s transport

requirements. Nissan SA also recently handed over a Nissan Bakkie to the

St John the Baptist Clinic in Winterveldt. The handovers form part of

Nissan SA’s corporate social responsibility programme which is involved in

a number of education, health and humanitarian initiatives both close to

the company’s Rosslyn-based manufacturing plant and further afield.

Nissan SA’s general manager of Corporate and General Affairs, Wonga Mesatywa, handing over keys toLeamogetswe Safety Home project director Matlakala Makhubela

Ford teams up with Bismarck du PlessisFord Motor Company of Southern Africa (FMCSA) recently

handed over a brand new Ford Ranger Double Cab 3.0TDCi

4x4 to rugby star Bismarck du Plessis. The sponsorship repre-

sents an expansion of Ford’s existing commitment to South

African Rugby. Ford is the proud vehicle sponsor of the South

African rugby team with a longstanding association with South

African rugby. “We’re delighted to have Bismarck representing

the Ford brand,” says Ben Pillay, Ford Marketing Manager. “He

is an integral part of the South African Rugby team and a hero

to many young South Africans.”

J u l y 2 0 1 012

IAN SCHOFIELD

SINCE YOUR INVOLVEMENT INFORMULA FORD RACING, THESERIES HAS GONE TO ANOTHERLEVEL?

Yes, I bought 15 Ford 1600 cc Duratecengines and some 2009 chassis’ fromEngland for competitors in South Africa touse. These cars, plus the current heavier 1.8Zetec engine cars gives us the only interna-tional road racing formula in the country.

SOME GOOD TALENT IS RACINGIN THE FORMULA AS WELL?

Well, to encourage some of the racing tal-ent we have in the country to join us I haveput up a prize for three years. The prize isto go to Brands Hatch in October for theFormula Ford Festival. This will be award-ed to the South African Champion whowill race for a top team in a 2010 car. I havealso sponsored a couple of the top driverswith cars and provided Rick Morris with arace car. Incidentally Rick beat AyrtonSenna in the ‘80s. He comes out from theUK to race at every race meeting in SouthAfrica.

WHAT GOT YOU INTO MOTORSPORT?I was never really interested in motor sportat school. In fact at boarding school, whichI hated, I played rugby and my ambitionwas to fix and sell cars.

DID YOU?After I left school at 16 I served my appren-

ticeship at a British Leyland Dealer inManchester. At 20 I went on my own sell-ing cars and was fairly successful.

STILL NO RACING?

I was given a gift voucher to attend theRichard Peacock Formula Ford RacingSchool at Aintree (a circuit still used formotor cycles only) in 1980 and I washooked. I also met my wife, Kay, there.After that I had a spell racing FormulaFords in the UK, which I couldn’t afford.

WHAT MADE YOU COME TOSOUTH AFRICA?

I came out on holiday in 1981 to get awayfrom the rain and then came back to settlein 1982. I worked for my father’s chemicalbusiness servicing his cars and trucks theneventually running his business. Then I gothold of a Hawke racing car with a 1600Kent engine and raced here during 1983,which I had to sell as well to help pay for ahouse

BUT YOU CAME BACK AGAIN TORACING?

Yes. Nino Venturi, who kept Formula Ford racing going for years and was Mr. Formula Ford in South Africa, had anold Merlyn, which I bought for R1700,which he helped me rebuild from scrap.Later in 1985 in the days of Basil Mann,Ian Hertz and Braam Smith. I bought aRory Byrne designed Royale RP21 fromNino.

He helped rebuild the car at night in hisworkshop in Wynberg (Jo’burg). I hadmixed success with these cars.

THEN YOU VANISHED FROM RAC-ING FOR A BIT?

Yes, my father sold his business here andback I went to Manchester in 1988 to runhis other company there.

CALL OF SOUTH AFRICA TOOMUCH?

Of course. Back I came in 1991 with a newReynard. From 1991 to 1993 I opened andran a motor racing school at MidvaalCircuit with Malcolm Barfoot, who wasvery successful and was also racing at thetime. Eventually the politics in racing wastoo much and the sport was not being par-ticularly well controlled. So I sold theReynard to Leon Williams from Botswanaand went back to running a garage businessin Manchester until 2000. I also did somecompetitive show jumping and breeding ofhorses in England. In 1999 I came out toSouth Africa for a holiday and saw friends,Nino Venturi and Trevor van Rooyen, whois probably the best preparer of FormulaFord cars and engines and also some busi-ness colleagues. They persuaded me tocome back to South Africa to startInvestchem. This is a business which pro-vides chemicals to the soap industry andhas done particularly well.

P e r s o n a l p r o f i l e

by Roger McCleery

Q & AMD of Investchem

Formula Ford Single Seater Motor Racing has been responsible for kick-starting the rac-ing careers of virtually every Formula One driver or World Champion. People like MichaelSchumacher, Kimi Raikkonen, Ayrton Senna, Jensen Button, Damon Hill, whose son, Joss,races these days, Mark Webber, James Hunt, Nigel Mansel, David Coulthard and our ownJody Scheckter, to name just a few. For 42 years this Formula Ford racing has been inexistence, the series has been kept alive in South Africa by Ford initially, who have nowabdicated their involvement, by sponsors like Midas and by individuals who have passionand enthusiasm for the sport. Such a person is go-getter and entrepreneur, Ian Schofield(50), the MD of Investchem, a company totally unrelated to motor sport. Ian has donewonders for Formula Ford racing lately, to bring it up to International standards.

Continued on page 75

J u l y 2 0 1 014

AAMA Salutes New Initiatives

A L E R T

During May 2010, ABR received some very interesting statistics from Pavlo Phitidis of AurikInvestment Holdings. These statistics relate tothe important role that small and mediumenterprises play in our economy, and mostimportantly, the role they play in employment.SME’s are the backbone of most successfuleconomies in the world, and thus this is a subject that deservesto be highlighted andto be identified in AAMA Alert.

SME’s equate to entrepreneurship. And

the more entrepreneurs you have, the more

employment and economic growth you have.

Bobby Darin had a hit in the sixties, where he sang

that “multiplication is the name of the game’. Entrepreneurship

is also the name of the game, and multiplication is sure to follow

in the right circumstances. This is what Pavlo Phitidis is preach-

ing, so we are delighted to have him on board as a regular corre-

spondent for ABR. As he says, on behalf of Aurik Investment

Holdings, “We do this because we want to support entrepreneur-

ship. We invest in developing articles that are relevant, practical,

inspiring and directly beneficial to anyone who is or is thinking of

becoming an entrepreneur. We do this because SA is in desperate

need of entrepreneurs.

Here are the facts about the country we all live in:

• SME's account for 42,8% of private sector jobs and are the

biggest proportionate job generators in SA

• An informal sme with an average turnover of R45 000 per

month in Gauteng employees an average of 8 people

• SME's in SA account for only 11% of the commercial supply

chain, the balance in the hands of large business

• We are going to enjoy global growth of 1% per annum for the

next 3 years and it is jobless growth

Crime, poor health, a collapse in the moral fabric of our society

are all poverty related outcomes. We all need to do our best to

support the most viable job generators in SA - current and future

entrepreneurs! Developing a culture of entrepreneurship is all

about getting entrepreneurial content and images into the minds

of all South Africans. Your publication and our stories are a small

contribution towards this end."

Pavlo continues, “as an editor, you are no doubt aware that South

Africa is a country in crisis. Unemployment is back up to record

levels as a result of almost a million people retrenched last year. In

addition, we have three years of forecasted jobless growth ahead of

us. Something needs to be done. Because some 42.8% of all pri-

vate sector employment vests with SMEs, that something is entre-

preneurship. More entrepreneurs mean more jobs, more innova-

tion and more of everything across the spectrum. The right kind

of content on the subject of entrepreneurship could encourage

owners of organisations to support entrepreneurial suppliers as

well as encouraging readers employed in organisations to consid-

er entrepreneurial endeavours of their own. To this end, we would

be happy to provide regular content that is not only relevant,

engaging and practical but also helps build entrepreneurial activ-

ity in your field. At one point in time, every single player in this

industry began as a result of an entrepreneurial endeavour. In a

nutshell, I believe that regular entrepreneurial content will help

encourage industry professionals to start their own businesses,

boosting the broader economy. Aurik is a business deeply com-

mitted to entrepreneurship having worked with over 200 entre-

preneurial businesses of which the insights, understanding and

experience we will inculcate into the content and hopefully will

strike an accord with any business”.

Entrepreneurship – the Name of the Game

A u t o T o p i c a l

J u l y 2 0 1 0

The new AIS rules effectively replace the Productive

Asset Allowance (PAA) previously contained within the

MIDP. The PAA ceased to be effective from the end of

2009, and several interim arrangements have clearly

been made between vehicle assemblers and the DTI ahead of the

official announcement and start date for the AIS, as were discussed

in this column in the May edition of this magazine.

According to the DTI statement, the objective of the AIS was

“to grow and develop the automotive sector through investment in

the manufacturing of new and replacement vehicle models, as well

as automotive components, also to increase plant production

volumes, sustain employment and strengthen the automotive

value chain within the local industry.”

In essence, the AIS will:

* Give vehicle manufacturers a taxable 20% grant, based on the

value of productive asset investment for the model.

* To qualify, the light vehicle producer must demonstrate that it

will reach annual production levels of 50 000 units per year

within a ramp-up period of three years.

The popular press have been a little vague regarding the separation

of qualifications for the 20% allowance when it comes to compo-

nent manufacturers, probably because their activities do not carry

the same glitz and glamour of shiny new motorcars. The basic

rules for component manufacturers are:

* A component manufacturer that can prove that a contract is in

place and/or a contract has been awarded and/or a letter of

intent has been received for the manufacture of components

to supply into the light motor vehicle manufacturer supply

chain locally and/or internationally; and

* A component manufacturer that can prove that after this

investment it will achieve at least 5% of total entity turnover

or R10m annually by the end of the first full year of commer-

cial production, as part of a light motor vehicle manufacturer

supply chain locally and/or internationally.

An additional allowance of 5% may be awarded if at least two out

of a list of five possible benefits are created by the investment proj-

ect. The five are defined under DTI heading of tooling creation,

research and development, employment creation and sustenance,

strengthening the automotive supply chain and value addition.

Once a producer has qualified for the first additional 5%

allowance from the list of five qualifications mentioned above, a

second (i.e. additional) 5% may be claimed if vehicle producers

qualify in terms of growth of unit production, while the criteria

for component manufacturers for this additional allowance is set

in terms of turnover growth.

Assets that qualify include buildings owned by the applicant used

directly to produce and administer production of the automotive

goods supporting the application, plant, equipment and tools,

jigs, dyes and moulds, in-plant logistics, material handling equip-

ment, production testing and design equipment and IT hardware

and software. Both new and previously owned assets may qualify,

and certain capitalised assets financed by financial (but not oper-

ating) leases may also qualify. Assets that are explicitly excluded

from the scheme include land, vehicles including prototypes, loose

implements/hand tools, training equipment, canteens and cater-

ing equipment, site services, maintenance and consumables, hous-

ing, warehousing and storage (outside of the qualifying buildings).

Costs like revaluating assets, VAT and finance charges and rates

and taxes are specifically excluded.

Productive investment projects by component manufacturers

must exceed R1m to qualify, and by vehicle manufacturers must

exceed R30m. The incentives are payable over a three year

period, no doubt to ensure the longer term qualification criteria.

Vehicle manufacturers must apply for approval 180 days

in advance of the initiation of the project, while component

suppliers must apply 90 days in advance of their project.

All applications are subject to scrutiny and approval in advance of

the projects by DTI, and valuations and opinions regarding

technological improvements will be confirmed by consulting

engineers appointed by the DTI. The announcement reserves the

right for the DTI to change their rules and regulations at any

point in the future.

The initial budget for the AIS, covering the three fiscal years

beginning in 2010/11 amounts to R2.7bn. Simple arithmetic

conversion of this to implied levels of investment to be supported

indicate R13.45bn if the lowest level of support at 20% is assumed

and R8.96bn if maximum support at an accumulated 30%

benefit is achieved.

* This article has highly compressed the layout of the DTIannouncement document, available on the DTI website:www.dti.org.za. The writer and publisher accept no responsi-bility for any possible misrepresentation of the DTI’s state-ments or intentions, or areas of commission or omission contained in this article. Readers are welcome to use it as anoverview and a departure point for thinking, but are advisedto read the entire announcement document available as setout above.

by Tony Twine

Met AIS Ja!Details regarding the Automotive Investment Scheme (AIS) weresigned off by Trade and Industry Minister, Rob Davies, and made public on 2nd June 2010. They form an important part of the automotive production and development plan (APDP), which will succeed the current motor industry development programme fromthe beginning of 2013.

16

Back in the 1980’s when I was working at General Motors in Port Elizabeth, managementgroup discussions often turned to the subject of branding. At that time, we were busyditching the earlier strategy where just about everything sold by GMSA was branded“Chevrolet”. Among others, we had seen Opels badged as Chev Rekords, Commodores andSenators, following on from a previous generation of best-selling Chev 2500/3800/4100sedans, the larger Holden-based Chev Caprice and Constantia, and the Opel Ascona-derived Chevair, while earlier there had been the Isuzu-derived Chev LUV pickup, and theVauxhall Viva-based “Little Chev” Firenza series. Many of us envied our cross-town rivalsat Ford Motor Company of South Africa, who sold all of their products with the “trueblue” Ford oval on the bonnet. That was not to imply that Ford did not have a wide vari-ety of product sources. The contemporary Escort, Cortina and Grenada passenger models came from a number of European countries, Ford’s D-Series trucks were built inthe United Kingdom, the Louisville “heavies” came from Kentucky, while the Cortina/Onetonner “bakkie” was an indigenous South African product. These were followed, in duecourse, by more unambiguously Ford offerings in the shape of Sierra and Sapphire cars,and the Cargo truck series.

J u l y 2 0 1 018

Ford’s “alternative” US brands Mercury and Lincoln never

enjoyed much of a profile in South Africa, while other

family badges such as Thames (UK-sourced trucks) and

Taunus (German cars) had been used for periods in the

local market. The absolute sovereignty of the blue oval as the core

brand had never been in question, confirming that Ford wanted

to keep it simple, and harking back to those halcyon days just

after World War I when one product – the Model T -accounted

for 90% of the global automobile population. However, much

was to change after the local Ford operation was absorbed into

Anglo American’s SAMCOR in 1985, and the distinction

between “genuine” Ford and badge-engineered Mazda products

began to blur somewhat. By that time, Ford had already taken a

substantial shareholding in the Japanese manufacturer, and some

products were being shared between the two brands in selected

international markets. Then, in 1987, Ford started a process of

putting together a global “family”, commencing with sports car

specialist Aston Martin, and leading to the establishment of the

Premier Automobile Group comprising Volvo, Jaguar, Land

Rover, Lincoln and Aston Martin, at the start of the 21st Century.

Many observers must have questioned the wisdom of this strate-

gy, given the well-recognised earlier strength of the Ford brand.

By 2007, however, the conglomerate had started to unravel, and

Ford sold off its majority shareholding in Aston Martin, followed

by the disposal of Jaguar and Land Rover to Indian manufacturer

Tata the following year. Even the long-standing one-third control-

ling shareholding in Mazda was scaled down to just 13%. A few

months back, the news broke that Volvo was to be sold to Chinese

manufacturer Geely, so the wheel has just about turned full circle.

Ford’s current strategy has been dubbed “One Ford”, refocusing

attention on the manufacturer’s core “blue oval” brand. This

process has been further advanced by the recent announcement

that the Mercury brand is to be discontinued, and that produc-

tion of its products will cease during the fourth quarter of 2010.

71 years ago, Henry Ford’s son Edsel introduced Mercury to fill a

perceived pricing niche slightly upmarket from mainstream Ford

products, and just below more luxurious Lincolns. Mercury cars

will be remembered by some South Africans as slightly larger,

restyled versions of the familiar contemporary North American

Fords of the early nineteen-fifties. Since then, Mercury’s position-

ing within the Ford stable has changed several times. In the 1980’s

it was used as a sporty Euro-fighter, but in the 1990’s it returned

to being a range of barely-differentiated Ford models.

Recently, there have been some visible efforts to widen the percep-

tion gap once more, by the use of distinctive Mercury materials

and trim, but this has not enjoyed any obvious measure of success.

In recent years, Mercury sales have experienced a steady decline,

with fewer than 100 000 units sold in the US during 2009, and

the perception gap between Mercury and Ford models in the

North American market has narrowed to the point where the

rationale supporting two separate brands has weakened. This has

understandably led to reduced investment in the brand, and a

steadily reducing number of discrete Mercury models in the fam-

ily line-up, which currently numbers only four. These presently

account for only 0,8 percentage points of Ford’s 16% US market

share, and there are no stand-alone Mercury dealerships in North

America. The costs and risks of eliminating the brand have, there-

fore, become manageable.

Meanwhile, down in Port Elizabeth, General Motors South Africa

has announced that Chevrolet, once again, is to become the main-

stream nameplate carried by its products. This time, however

many of them will come from the General Motors Daewoo oper-

ation in South Korea, which has already achieved considerable

international success with its value-for-money cars and sports util-

ities. Anyone for Braaivleis, Rugby or Sunny Skies?

What’s in a name?Going Full Circle!

F r a n k l y S p e a k i n g

by Frank Beeton

P r o d u c t N e w s

Surface FinishThe surface finish of cylinder head and engineblock has a decisive effect on the performancepotential of MLS cylinder-head gaskets.Principally: the better a surface is, the better willbe the sealing effect. However, it must be notedthat a component surface that is too smoothcan also result in leakage. An extremely smoothsurface offers no adherence points for the elas-tomer coating, so that adequate micro sealingcannot be ensured. For this reason, the surfaceroughness of cylinder head and engine blockshould lie between 7 and 20 µm.

• Practical TipBefore installing the cylinder-head gasket, checkthe surface finish and remove any dirt and for-eign particles with the Victor Reinz sealantremover RE-MOVE. Component unevenness anddistortion can be determined by means of astraightedge; waviness (deviations in parallelism)and roughness are detected with the help of a

sensing probe. Possible distortions of the compo-nent surfaces should be less than 0.1 mm over ameasured length of 1000 mm, or less than 0.03mm within a measured area of 100 x 100 mm.Stay within the specified values, andprocess/machine the surfaces according tomanufacturer specifications.

Cylinder-head BoltsThe choice of suitable cylinderhead bolts andthe correct torquing procedure have a lastingeffect on the surface pressure quality, and there-fore on the perfect compression of the cylinder-head gasket.

• Practical TipOnly so-called stretch bolts (waisted bolts) shouldbe used, which can be torqued beyond theirelastic limit into the plastic region. With thetorque-angle tightening method, the bolt is tight-ened further by a defined amount (prevailingangle or torque) after a certain torquing value

(pretorque) has been reached – re-torquing of the head bolts is nolonger necessary.

SealingCompoundsMLS cylinder-head gaskets are designed individually to suit specific engines. Beads, stoppers, elastomer coatings, and partially vulcanized or molded-on elements are adaptedprecisely down to the µm. Additional sealingmeasures are only required if they are specifiedexplicitly by the manufacturer.

• Practical TipWhen installing cylinder-head gaskets, no sealingcompounds, grease or oil should ever be used.Sealing compounds will cure and harden, whichchanges the coating thickness, and resultsin leaks. What’s more, they can flow into oil andcoolant channels, where they cause clogging.Sealing compounds applied in the combustionchamber area will burn out and impair thebead’s function.

Tips for a perfectedseal in MLS CHG

Agent in South Africa – INTRADE

Tel: 011-432-2667

Fax: 011-432-3005

E-Mail: intrade@iafrica.com

C o v e r F e a t u r e

J u l y 2 0 1 020

Equal Career Services & GNFAlaunch a winning partnershipSaturday 5 June 2010 was a red letter day for technical training in South Africa,with the launch of the Equal Career Services and GNFA automotive training partner-ship. The venue was appropriate - the Gauteng Motor Show at the Zwartkops Raceway.

Many dignitaries were on hand, from GNFA (Groupement National pour la Formation Automobile), local industry, to gov-

ernment officials and invited guests. This was indeed fitting, because the Equal Career Services GNFA partnership will

make a significant impact on the South African automotive industry. With 30 years of experience in the field of techni-

cal training, GNFA assists vehicle manufacturers and distributors across the world to identify their problem areas and

improve their skills through personalised, distinctive and innovative training. Equal Career Services, itself a leader in its field, is plan-

ning to share its expertise and knowledge with the South African market and the rest of southern Africa, and together with GNFA to

provide unparalleled training, combining international levels of excellence with local relevance.

Dr Raymond Patel, the CEO of merSETA (Manufacturing, Engineering & Related

Services Sector and Education Authority), opened his speech with a telling quote,

“Education is a companion which no future candepress, no crime can destroy, no enemy canalienate and no nepotism can enslave.”

He lauded the launch of the ECS/GNFA Agreement, as its alternative training programme

for the independent aftermarket dovetails perfectly with merSETA’s vision, being a

“convergence of goals and outlooks, as it ensures the stability of the automotive industry in

meeting the needs of the market”. He concluded by giving the assurance that as CEO

of merSETA he gives his “full and undivided support” to the venture.

Ms. Mary Metcalfe, Director General in the Department of Higher Education &

Training, highlighted five points of relevance in the ECS/GNFA partnership:

• The South African government’s priority is an inclusive economic growth path, and

IPAP2 is critical to this end, with the automotive industry a key component.

• Skills growth and the addressing of the skills shortage is an absolute imperative for

growth. The ECS/GNFA initiative feeds the cycle of growth and very importantly cre-

ates jobs and absorbs labour. A very important statistic in this regard is the fact that two

and a half million people in the 18 to 24 age group are unemployed.

• Public private partnership is very important, as government cannot do the job alone.

The correct balance is a strong public sector, and an unthreatened private sector.

Technical colleges tend to lag behind the technology curve, so cutting edge training

from industry is vital.

21J u l y 2 0 1 0

• The South African government recognises the role of international partners, and

sees France as a valuable resource of technical know-how, and is grateful to

GNFA for identifying South Africa as an important market.

• The big picture always comprises the gathering of small contributions. Each and

every initiative makes a huge difference, and the government is appreciative of

these efforts, and lauds the merSETA and ECS/GNFA collaboration.

C o v e r F e a t u r e

From left to right: Marc CABEZA (GNFA International Department), Guy HUBERT (CEO of GNFA), Patrice MARTIN (Head of GNFA International Department), Arnaud ZERKOWITZ (French Trade Attaché for Automotive sector),

Amanda FORSYTHE (GNFA Representative in SA), Dominique BOUTTER (French Trade Commissioner), Kowie BOTHA (CEO of ECS), Peter LE SUEUR (Director of ECS)

From left to right: Pierre Diepering (ECS, First GNFA accredited technical trainer in SA),

Guy HUBERT (CEO of GNFA), Amanda Forsythe (GNFARepresentative in SA)

Cover Feature

J u l y 2 0 1 022

C o v e r F e a t u r e

23J u l y 2 0 1 0

Cover Feature

J u l y 2 0 1 024

C o v e r F e a t u r e

25J u l y 2 0 1 0

L i f e G o e s O n

J u l y 2 0 1 026

I am indeed indebted to ABR for allowing me to leverage off all the excitinginvestments in the automotive industry, in my Life Goes on series, but for thisissue I will take a back seat and leave the floor to Prof. Dr. MartinWinterkorn, the Chairman of the Management Board of Volkswagen AG, whoopened the new Volkswagen Group South Africa R230 million P&A Distribution

Centre in Centurion, Gauteng, on the 17th June 2010. ABR is thrilled to bits about this,because this investment is purely aftermarket, which is the raison d’être for ABR’s existence.

At the ceremony, Winterkorn

reiterated Volkswagen Group

South Africa’s long history of

manufacturing vehicles in

South Africa, “2011 marks

60 years of manufacturing Volkswagens in

South Africa. To date we have manufac-

tured 2,7 million vehicles in our plant in

Uitenhage, for both the South African

market and markets around the world.

Throughout the past 59 years, the

Volkswagen Group has remained firmly

committed to developing a world class

manufacturing plant in Uitenhage. Over

the past four years we have invested R5bil-

lion in our South African operation.

These massive investments were made in

South Africa despite the global and

domestic market downturn during 2008

and 2009. We now have a renewed man-

ufacturing facility in Uitenhage, capable

of building even higher quality products,

more productively and more competitive-

ly for both the South Africa domestic and

global export markets. We have adopted

an aggressive local content strategy to

ensure that by the end of 2010, we will

have increased local content levels from an

historic 40% level to in excess of 70% on

both the new Polo and new Polo Vivo

platforms.”

Winterkorn then announced future

product and investment plans. “Blue

Motion is one of the most successful fuel

and environmentally efficient brands

worldwide. It represents the competence

the Volkswagen Group has in producing

efficient and economical drive trains. I’m

pleased to announce that BlueMotion will

be launched in South Africa in the fourth

quarter of 2010. This environmentally

friendly technology will be made available

in the Polo, Golf, Tiguan and new

Touareg ranges”. Winterkorn also reite-

rated Volkswagen Group South Africa’s

plan to introduce the all new 1-ton

Amarok Pick-Up to the South African

market in the fourth quarter of 2010. “We

anticipate the new Amarok will cause a

major stir in the highly competitive one

ton pickup market in South Africa. The

new Amarok will be a class leader in terms

of emissions and fuel efficiency.”

Accompanied by Deputy President

Kgalema Motlanthe and Minister Robert

Davies, Prof. Dr. Martin Winterkorn then

officially opened the new R230million, 26

000 square meter, P&A Distribution

Centre in Centurion. Winterkorn com-

mented that the new systems and process-

es will enable improved levels of customer

service to the Volkswagen, Audi and

Commercial Vehicles Dealer Networks in

South Africa. “Investment in the physical

P&A Distribution Centre together with

best in class systems and

processes and a major

upskilling of the two hun-

dred people employed at the

Centre, will enable a world

class P&A operation for

Volkswagen Group South

Africa. The Centre will be

fully operational before the

end of 2010. In addition,

VW will commence before

the end of 2010 the con-

struction of a new R60mil-

lion Dealer Training

Academy on the site adjoin-

ing the new Distribution

Centre. The clear objective

of this Dealer Training

Academy is to improve the

capabilities at the customer

retail level”.

by Austin Gamble

The Sum of all Parts

Having first tasted the J1 at its launch in October last year, and being suitablyimpressed with a brand spanking new vehicle meticulously prepared, it was with anticipation that I took delivery of a more well worn J1 1.3 TX in mid June 2010, fora one week vehicle evaluation. The vehicle had 7 000 km on the clock, and having doneduty as a media fleet vehicle I knew that this small vehicle had been put through itspaces in more ways than the normal motorist could even dream about. The averagemotoring journalist, when let loose on a media fleet vehicle without the fear of sanction, makes the demolition derby look like a sedate event, so I appreciated theimport of those 7000 km.

At the launch of the J1 last year, Brett Soso, Managing Director of Chery SA, had stated that “since the brand was first intro-

duced in South Africa in May 2008, it had changed expectations in the entry level segment of the market. The Chery J1 is set

to continue this trend and reinforce our commitment to provide value for money motoring to South African vehicle owners

moving into the next segment of the market up from a Chery QQ3”. Nine months later, in a J1 that had been put through

the wringer, I can confirm the veracity of Brett’s statement. I expected at least some rattles and squeaks, but impressively this car still

drives and rides like new, despite the best efforts of the petrol heads. The interior was impeccable and is testament to the quality of mate-

rials used, and the interior and exterior styling stays fresh, stylish and inviting, which is quite an achievement considering the recent

rapid introduction of truly stunning vehicles. The 1.3 engine also doesn’t disappoint, making city driving a walk in the park, and it is

definitely not a slouch on the open road, and handled four large adults with aplomb. All with extremely acceptable fuel consumption -

I achieved an average consumption of 6,5 l/100km in mostly urban driving and not sparing the horses. The end verdict is that this car

is a stayer, and provides comfort and class at a very reasonable price. The J1 TX comes with all the goodies, such as aircon, park driv-

ing assist, onboard computer, CD player audio system, electric windows, electric mirrors, remote central locking, and much more, all

for a mere R116 900.

As I pondered all these pluses while zipping around Johannesburg, and nimbly avoiding the GPs (Gauteng Potholes), I gave the J1 the

title “First Citizen of Johannesburg”, as it really feels at home in Jozi, and it is priced to put many of the citizens of Egoli on the road

in their own spanking new cars.

A series of articles on the rise of the Chery automobile

by Howard Keeg

J u l y 2 0 1 028

Jo’burg’s First Citizen

A thoroughly acceptable hatchback that is not out of place in its environment

A modern interior withsuitable appointments

Banana Kick – Anything that veers off

the straight and narrow. Clever in soccer

when intentional, usually disastrous in golf.

Bicycle Kick – A last resort in the Dutch

defensive driving manual

Bookings – What Sandton Soccer Dolls

make for dinner

Centre circle – The inner cabal of any

organisation e.g. the Cabinet

Centre-off – The start or re-start of a

game, not to be confused with off-centre

(like this article)

Channel 1 – Usually, the centre forward’s

slot, but locally, where you would expect to

find the most television coverage of the soc-

cer

Chip pass – selection of healthier carbohy-

drates like rice or baked potatoes

Corner – position much favoured by

Portuguese and Greek merchandisers

Cross – Emotional reaction of a coach to

overhead pass by a winger, if missed by the

central strikers - Not happy!

Cross bar – If you’re looking for trouble,

you’ve come to the right place!

Dribble – The last of the liquid refresh-

ment – do not confuse with sales forecasts,

which are drivel

Far Post – Alastair Cook’s letter from

America

FIFA – an organisation to be observed

from the comfort of your fofa

Foul – Not nice. Especially if it refers to

the bird committed to providing the

walkie- talkie (see Walkie Talkie)

Free kick – like the concept of a free

lunch, there is no such thing - you have to

have lost something to get one

Full-time – the beginning of a match,

referring to the state of one’s glass

Goal – if you are not in business for fun or

profit, what are you doing here?

Green Card – Not used in any form of

football, unless you are a foreigner wanting

to play for the Dallas Cowboys, Boston

Stranglers

Header – to strike with the head, not

always using the brain!

Left Wing – socialist mid-fielder

Long ball – Oval or elliptical, as used in

rugby

Long-range Shot – any forecast with a

time horizon longer than today...

Mid-field – the political centre where the

game really slows down

Officials – office bearers and occupiers

Off-side trap – one large truck overtaking

another even larger truck on a single lane

highway, both heading towards you – a test

of your resolve and decision making skills

On-side – the side of a vehicle closest to

the curb, much favoured for overtaking by

taxi’s

Own Goal – an extremely bad plan which

does more for the opposition than for your

own side

Passing – this happens very frequently,

especially when the object passed is “the

buck.”

Penalty – what could happen when some-

body blows the whistle. Mild if you were

speeding, disastrous if you have been

uncompetitive.

Red card – membership token of the

Communist party

Referee - often somebody who imagines

themselves to be the Marshal of Dodge

City, but the best ones are almost invisible.

Right Wing – Conservative or reactionary

mid-fielder, often with a penchant for

scoring. Notable examples have been

George Best, David Beckham and Eugene

Terreblance

Scoring – take it easy on this one. It is

Africa, after all.

Shoot-out – road rage after an on-side

manoeuvre, or the climax of a failed cash-

in-transit heist.

Striker – a player frequently used by both

left and right wingers to achieve their goals.

Strip – team and supporters uniforms

worn during games, as opposed to the dis-

carding of clothing at or after social events

following the game. In Africa, home strip is

safer than away strip.

Sweeper – the player who, according to

COSATU earns much less than the chief

executive

Tai-tai – fancy footwork, as used by politi-

cians when trapped off-side.

Throw-in – a deal sweetener

Walkie Talkie – a good-luck charm con-

sisting of the head and feet of a chicken,

especially popular in SA. It certainly wasn’t

good luck for the chicken!

Wall – a defensive line of players blocking

a free-kick, named after the apparent atti-

tudes of customers or superiors who are not

impressed by your ideas.

Whistle – recent experience shows that it is

safer to blow this in terms of competition

law than in terms of government contracts.

Woodwork – if you need the playing fields

levelled, or the goal posts moved, just call

the woodwork supremo and self styled cab-

inet maker, Julius.

VUVUZELA!!: A voluminous drinking

horn, very noisy when attached to oral

cavities of vacuous heads.

Yellow Card – an invitation to the

Neo-Colonialist ball from the Chinese

ambassador

T o n y ’ s T a k e

J u l y 2 0 1 030

by Tony Twine,Senior Economist,Director –Econometrix (Pty) Ltd

Soccer Shuffles and Diski DancesWith so much time likely to be absorbed by the excitement of the SoccerWorld Cup 2010, here is a list of possible alternative meanings forsome soccer terms that might help fill in expense accounts, contactreports, political and economic analysis, whilst staying in the spirit ofthe tournament.

E n t r e p r e n e u r s h i p

J u l y 2 0 1 032

Entrepreneurs Should Startwith the End in MindWhen last did you ask yourself why you chose to be self-employed? Reasons rangefrom to make money, to live the lifestyle of my choice, to pursue a great opportunityor to do what I love. However, an aspiration without a plan is, in our experience, fool-ish. It is just not enough.

Creating an asset of value in the

long term is a crucial compo-

nent of entrepreneurial success

and it is all about starting your

business with the end in mind. This means

that while launching a business venture to

‘make money’ is an admirable goal, the real

goal should to build up a valuable asset

that can be sold off later on to secure the

entrepreneur’s financial future.

Building an asset of value is important not

only for retirement reasons. This is because

you might wish to sell your business before

retirement age for a number of reasons

which could include the simple need to do

something different. Any number of

events could be the one that sees you sell-

ing out to the highest bidder and hoping

that you have done your best over the years

to boost the value of your most important

asset by putting proper systems in place so

that it became more than the classic ‘one

man band’ operation. The thinking

behind this is to reduce the firm’s tax bill in

order to boost the owner’s net income.

Unfortunately, this is detrimental to the

business in the long term for the simple

reason that it devalues the business because

any potential buyer will see past perform-

ance as an indicator of future success.

Valuing your business asset is generally a

stressful event as the prospective buyer is

going to place a value on it. The process is

cold and impersonal and wholly unsympa-

thetic to the many years that you have put

into the business.

Realising that the buyer is only interested

in the future cash flow is a harsh wake-up

call to the owners of many small and medi-

um-sized businesses who hardly gave a

thought to the day when they would be

evaluating offers on the table.

Let’s look at a quick example that will

bring the point above to life. Imagine the

entrepreneurial dream came through after

many years for a small to medium-sized

businessperson named Clive.

To make a long story short, he was offered

R23 million for his business based on his

accountant’s numbers.

A due diligence was performed by the list-

ed company interested in buying Clive’s

business. Clive was relieved as this was the

end of a gruelling process that had seen the

buyer demand all sorts of numbers, docu-

ments, tax clearances, contracts and even

interviews with staff. Everyone was on

edge and some staff members were becom-

ing restive. Clive was 59, had spent

25 years in the game and was tired. Finally,

the buyers arrived late on a Friday after-

noon.

It did not take the buyers too long to spec-

ify why the price had been revised to R10

million. It took even less time to qualify

the price with the condition that Clive

would be required to sign a 5 year employ-

ment contract with the listed company!

The reasons for the new offer were legiti-

mate. They ranged from Clive being indis-

pensible to the daily operations of the busi-

ness, management accounts that were

poorly presented and took forever to come

out, poorly structured staff and client con-

tracts and a number of other factors that

removed the certainty of future cash flow

streams. Is soon emerged that the business

was not an asset without Clive to lead it.

The deal collapsed. Besides the drop in

value, after working for himself for 25

years, the idea of reporting to a middle-

manager in a corporate located far from his

home and coming into a culture that he

did not identify with did not appeal.

Today, Clive is restructuring his business

to position it as an asset of value. A tough

task at his age but after 25 years, he needs

to walk out with something that can

become his pension plan.

Structuring a business to create a saleable

asset requires a deliberate strategy over

some years. Many entrepreneurs unwit-

tingly run their business with little fore-

thought about the day of valuation, the

day that circumstances changed in their

lives requiring them to sell their business.

This is understandable because it is easy to

get caught up in the day-to-day opera-

tional activities of the business without

taking the time to raise one’s head above

and the factory floor in order to peer into

the future.

Building your business into an asset of

value will pay dividends well beyond any

intentions that you have today. Adopting

this approach will not only dramatically

improve the saleability of the business but

will also improve the overall performance

of the business. A decision to build your

business as an asset of value will ensure

that your decisions are clear, that the

investment of resources is efficient and

that all productivity gains are identified

and captured. You will maximise the

return on your own time, energy and

thinking giving you a clear sense of pur-

pose and direction.

Ensuring that you have a tradable asset,

irrespective of whether you intend to sell

or not is prudent and wise. After all, we

live in a world of great uncertainty and full

of surprises.

Pavlo P

hitidis, CE

O at A

urik B

usin

ess Incu

bator

by Pavlo Phitidis

To those readers who were expecting this month’s column to cover truck-ing issues, let me immediately apologise, because the subject under discus-sion will be……trains! However, in view of the Department of Transport’soft-repeated intention to shift the freight modal split back in the direction

of rail transport, this matter should be of interest to trucking people, if only to keep awary eye on the mode that is being officially sanctioned to progressively diminish theirslice of the freight transport “cake”. However, it is important that I declare up front thatI am not anti-train. Nothing would give me more pleasure than to see South Africa with arational transport system, where each mode is allowed to bring its particular benefits to the table. Rail’s natural efficiencies lie in the long-distance line-haul transport ofbulk commodities and containerised goods, and an effective railway system would have the potential to take enormous pressure off our National Roads, by greatly reducing the impact of thousands of heavy vehicles moving daily between coastal ports and inlanddestinations.

w e i g h t y i s s u e s

J u l y 2 0 1 0

However, for rail to performthis task, it needs to be morecost-effective and service con-scious than the road transport

alternative. The fact that increasing vol-umes of cargo have moved away from railsince the progressive deregulation of roadtransportation commenced in the lateNineteen-Seventies, is proof enough thatSouth Africa’s rail system does not shapeup. Unfortunately, Transnet Freightrail’sprogenitor, the South African Railwaysand Harbours, took the form of a welfareorganisation for its countless thousands ofworkers, which also happened to operatetrains, while being protected from directcompetition by draconian legislation thatkept privately-owned trucks out of any-thing other than urban and peri-urban dis-tribution. Little wonder, then, that thephase-out of this legislation dramaticallyaltered the balance, despite efforts by theSAR&H’s successors, SA TransportServices and ultimately Transnet, to takeon a mantle of competitive participation inthe free market.

However, the inability of the rail networkto stem this defection of a previously cap-tive client base has got very little to dowith its geographic footprint, or any tech-nical inability to perform a substantiallogistic task. Along with most other coun-tries historically in the British sphere ofinfluence, South Africa inherited the lega-cy of a comprehensive and well-organisedrailway system. The main problems con-tributing to its subsequent decline lie in a lack of commercial orientation and customer-friendliness, two factors that stillappear to be prevalent, given the violentand disruptive nature of the recent

Transnet strike. This perception is furtherreinforced by frequent complaints issuingfrom the mining sector clients usingTransnet’s dedicated Sishen-Saldanha andRichards Bay single-product lines, both ofwhich are dream rail operating scenarios. Itis against this background that recentmedia reports relating to a strategic dis-agreement on future direction for thecountry’s railway infrastructure must beviewed. It seems that the Department ofTransport has identified the measured dis-tance between the rails on the vast majori-ty of the nation’s rail routes as the mainreason for the non-competitiveness of themode, and, as part of a R 750-billion infra-structure plan, would like to change itfrom the present dimension of 1 067 mmto the more universal 1 435 mm. Themain rationale behind this is, apparently,to enable trains to travel faster. Transnet’sresponse is that this would be a mammothand hugely expensive task, given the 23000 km of railway already in existence inthe country, and that the 40 km/h averagespeed possible on the current infrastruc-ture is consistent with internationalnorms.

Before commenting on this disagreement,it is important to record that the 1 067mmrail gauge, also known as “Cape Gauge”,was adopted in the second half of theNineteenth Century by independent railoperations in the erstwhile BritishColonies and Boer Republics for a numberof good reasons. The most important ofthese was that the tighter curve radii madepossible by the narrower gauge reduced thetotal route distance between coastal andinland termini, particularly in the moun-tainous areas inland from Cape Town, and

over the escarpment between Durban andthe Reef. Any change in gauge wouldnecessitate, over time, the following net-work modifications:

• Complete replacement of motivepower (locomotives) and rolling stock(carriages and wagons) with newequipment.

• Realignment of the right-of-way withcurves of increased radius.

• Replacement of embankments, cuttings, and tunnels.

• Replacement of railway station plat-forms to accommodate increased railvehicle clearance.

The practical implications may even beconsiderably more comprehensive than theabove list, but the potential for expendi-ture and disruption is, clearly, enormous!None of this will address Transnet’s lack ofbusiness culture discussed earlier! Surely, amore logical route would be to provide areliable, predictable and cost-competitiveservice level that seriously questions thedesirability of using vast fleets of road vehi-cles. In other words: “Fix it, don’t changeit!”, but supportive employee attitudes willbe key. More recently we have read aboutan initiative to privatise certain under-utilised rail branch lines, on the apparentassumption that the private sector will beable to find viability where Transnet couldnot. Before any response to this “interest-ing” proposition has even been received,Transnet’s organised labour has alreadyregistered its somewhat predictable oppo-sition to this development! This does notbode well for the broader private sectorparticipation initiatives which Transnetsees as its preferred route to increased competitiveness.

by Frank Beeton

34

GAUGING INSANITY

Tyre maintenance in any type of

vehicle fleet is one of the easiest

ways to save running costs. It is

also one of the easiest ways to

maintain safety and reliability in the fleet.

It is also the one major facet of transport

that is most often neglected, which should

not be so as tyres are commonly the third

highest constant cost factor in the indus-

try. In the past three months we know of

at least six major accidents which have

been caused through the condition of the

tyres fitted to the involved vehicles. Each

of these involved fatalities. Trucks, busses,

safari type tour vehicles, taxis and bakkies.

Over many years of accident investiga-

tions, we have found that the conditions of

tyres, not the tyre type or even the wrong

tyre for the job, but tyre condition is

responsible for the great majority of tyre

related accidents. And those running car

fleets must not think they are exempt from

tyre related accidents. Phone any insurance

company and check the stats. Car drivers,

and their company fleet operators are as

guilty of tyre neglect as any other fleet

owner/manager/controller.

We’re going to spend some time on good

tyre practice and how it affects safety, but

for the moment we want to look at the

influence the workshop has on tyres. And

for this issue we’re looking at light truck

and LDV fleets. One must always remem-

ber that the condition of the vehicles has

the most direct effect on the life of tyres

fitted to it. And this is where the workshop

comes into play. It is fairly common prac-

tice for local workshops to take shortcuts.

Service schedules exist for every make and

type vehicle but are often ignored and sec-

ond rate replacement parts are then used.

The results of this are vehicles running in

unacceptable states of roadworthy fitness,

and the tyres are the first components to

suffer. Considering that tyres are the only

components to physically keep the vehicles

on the road a pattern of catastrophe

emerges from the poor decisions made in

the workshop. These decisions sometimes

come about because of pressure from

above, with respect to budget constraints.

So there exists a situation where vehicles

cause severe tyre degradation due to many

factors; poor wheel alignment, worn sus-

pension components, badly maintained

braking systems and the list goes

on………….

Let’s look at how tyres are affected. Firstly

one of the most neglected aspects of a vehi-

cle from a workshops point of view is

wheel alignment. Very few workshops

place enough importance on regular wheel

alignment checks, where it is mainly left to

outside contractors to do the actual work.

Practically speaking this is a good idea.

The mobile wheel alignment operator has

the know-how, the equipment and is a spe-

cialist. In truth we believe most are, but we

have witnessed alignments being done in

impossibly short times. We have witnessed

alignments being done on vehicles with

worn suspension bushes, and also being

done without anything else on the vehicle

being checked to see if it’s worth doing the

alignment. And that’s the problem. It

should remain the workshop’s responsibil-

ity to ensure the wheel alignment is carried

out correctly and regularly. We surely don’t

have to go into what happens to tyres with

alignment problems.

Mechanical problems are the biggest cause

of accelerated and irregular wear on tyres

in this country by a huge margin, although

few fleet operators will agree to this fact.

So let’s look at what should be happening

to tyres in the workshop. What are the

basic practices that all workshops should

be following?

• All lower chassis components should

be maintained as safety critical.

Suspension components, brakes etc

• Only top quality replacement parts

should be used irrespective of price. In

the long term this will be the cheaper

way.

• Steering components must be meticu-

lously maintained.

• Wheel rims must be kept clean and

checked regularly for any balance con-

cerns or road damage deformities. Rim

flanges must be kept clean and free of

dirt, rust etc.

These are the minimal requirements that a

decent workshop should be paying atten-

tion to in order to carry their side of tyre

maintenance.

Next month we’ll look at the requirements

of the tyre staff, but until then keep in

mind that tyres are safety critical items that

need care.

www.bridgestone.co.za

36

and Their Contribution to Safety in Motoring Tyres

J u l y 2 0 1 0

Hopefully after the last two issues the message has got through about using tyreswithin their designed parameters. Not wanting to belabour the point, this month wewant discuss the importance of tyre maintenance.

Marcus Haw

J u l y 2 0 1 038

It’s a difficult task, taking into account the ingrainedhabits of South African motorists, but there are manyintelli-driving proponents who simply refuse to throw inthe towel. Getting the Message Across is their mantra,and they will keep on banging on, and using as manymeans as possible to achieve their objective, which is tomake South Africa’s roads safer.

One of these means is the Stay Alert Stay Alive initiative, and ABR

was present at the end of the 5th annual Road Safety

Economy Run, to give our readers some flavour of the

day. This year the run started in Port Elizabeth and ended

with great fanfare at the Wanderers Club, Illovo,

Johannesburg on Monday, 31st May 2010. Eugene Herbert, of Master

Drive, who led the triumphant procession into the parking area reserved for

the occasion, told ABR that “the economy run is a great way to promote the

concept of intelli-driving, in all its facets. From a road safety angle, we ensure

that we drive roadworthy cars, and at all times we obey the rules of the road.

And this being a long journey, we make certain that we have a good night’s rest

before we set off, and we meticulously apply the rule of having a rest every two

hours or every 200km. We also stop for meals and refreshments when necessary,

to keep our blood sugar levels at the optimum. From an eco-driving aspect, we

drive carefully and intelligently, and we observe the basic fuel saving tips: changing

gear at 2 000 rpm for diesel engines, or 2 400 rpm for petrol engines; ensuring that the

tyre pressures are to manufacturers’ specs; limiting the difference between outside and

inside temperatures to five degrees, and when stopping for more than a minute, switch-

ing off the engine”.

There many other aspects, which ABR hopes to cover in far greater detail in future.

For this run, Eugene was driving an Audi A4 2,0 TSi, and Wayne Duvenhage,

Managing Director of Avis, was behind the wheel of a Toyota Corolla 1,3 six speed.

Avis is a key sponsor of the Economy Run, so naturally these vehicles came from

their fleet, which consists of 20 000 vehicles, and all in pristine condition. Not that the cars

are the most important in Avis’ eyes. Their slogan is “We care more about people than cars”, a slogan

that says many things, with the key message being one of road safety, eco-driving, and primarily caring about our

generation and future generations. More on this in future editions of ABR.

Getting theMessage Across

Gary Ronald of the AA makes surethe kids learn about buckling up

Eugene Herbert arrives alert and alive

39J u l y 2 0 1 0

I n t e l l i - D r i v i n g

The youth are important, as this iswhere the message must start

The F1 in Schools Programme seeksout the engineers of the future

Lawrence Barit, the Coordinator of

Stay Alert, Stay Alive, wows the ladies

Alfred E. Neuman is alive and well

and living in Johannesburg

Dr. Lawrence Barit greets Wayne

Duvenhage, Managing Director of

Avis.

There is a lot of confusion in the marketplace around the quality of automotive partsand the correlation between good and bad quality and geographical source. This con-fusion is a result of a number of factors, nm. the proliferation of low quality prod-uct, previous (and current) bad practices, ingrained perceptions, tarring everyonewith the same brush, and badmouthing by vested interests. This unfair situation is par-ticularly relevant when it comes to automotive glass. However, over time the creamwill rise to the top, and perceptions can and do change. A good example of this iscited by Giel Steyn of Grandmark International, when he refers to “the realisationby the insurance industry that alternative suppliers of SABS approved glass are pro-viding product that is equal in quality to other SABS approved glass”.

It is with this ringing endorsement that Giel Steyn has provided ABR with a fact sheet, which spells it outclearly and transparently. We pass on the good news to our readers:

Wide Range to meet yourclients’ needsGrandmark Glass has one of the widest

ranges of automotive glass in southern

Africa. With over 2 000 types of laminated

and toughened glass, Grandmark has the

most popular items to meet your clients’

needs. The manufacturer of Grandmark

Glass carries over 26 000 different glasses

from which Grandmark can draw from.

Safety and Quality with everyglass productTried, tested, and approved –

Grandmark Glass has passed tough third

party tests to ensure its quality. Whether it

is Germany’s TÜV or South Africa’s SABS

certification process, Grandmark Glass has

met or exceeded the quality standards set

out by these and other regulatory bodies.

As a result, all Grandmark Glass has the

following product certifications: SABS

(South African Bureau of Standards certifi-

cation), E-mark (European certification),

ECE R43 (Economic Commission for

Europe Regulation 43), and DOT #563

(United States Department of

Transportation certification). The manu-

facturer of Grandmark Glass also holds the

following prestigious factory certifications:

ISO/TS 16949:2002 (International

Organisation for Standardisation

Technical Specification), ISO 14001:2004

(Environmental Compliance), CCC

(China Compulsory Certification) and

SABS.

Meets OEM standards – All Grandmark

windscreens meet or exceed original equip-

ment manufacturer (OEM) specifications

in terms of fit, form and performance.

When it comes to ensuring the motorists’

safety, no shortcuts are taken!

Quality Materials used – All

Grandmark windscreens and toughened

glass use the highest quality raw materials.

Recycled vinyl, which is used in cheaper

glass, can jeopardise your clients’ safety.

This is definitely not used in Grandmark

Glass. All Grandmark windscreens use pre-

mium virgin vinyl from DuPont in

America and Sekisui Chemical in Japan.

The Grandmark Commitment to Shatter

Proof Quality – Every single Grandmark

windscreen is shatter proof, with a strong

layer of virgin vinyl sandwiched between

two outer layers of high impact safety

glass. The lamination process ensures that

the windscreen resists shattering on impact

and prevents a flying object from penetrat-

ing the inner compartment. Finally,

Grandmark International stands behind its

quality with a US$10 million liability

insurance for each and every windscreen.

Peace of Mind with WorldClass ManufacturingPartnering with one of the largestglass factories in the world – With

over 10 000 employees and five plants

spread over three million square meters,

Grandmark Glass’ manufacturing partner

is one of the largest glass manufacturing

facilities in the world.

Giel Steyn

D i a m o n d D i a l o g u e s

EditorialPartnership

Automotive Glass – the Transparent Facts

J u l y 2 0 1 040

In this series of articles ABR discusses with Giel Steyn of Grandmark International the four significant factors that should be taken into

account when purchasing automotive parts - Technology, Quality, Safety and Value for Money. These four characteristics are inter-related, and

each cannot stand on their own, and together they become a motorist's best friend. Similarly, diamonds are also judged on four characteristics,

known as the “four c's” - carat, clarity, colour and cut; and of course, diamonds are a girl's best friend. Grandmark International, as a dis-

tributor of automotive parts, is keenly aware of the need to source only the best in Technology, Quality, Safety and Value for Money, and

therefore it is appropriate that this series of articles is titled Diamond Dialogues.

D i a m o n d D i a l o g u e s

41

The company is listed on the Hong Kong stock exchange and has a subsidiary

in Toronto, Canada. The forecasted turnover for 2010 is US$678 million.

Quality manufacturing using world class machinery –

Grandmark Glass is made using state of the art technology:

• Von Ardenne low-e coating lines from Germany

• Glass robots and Tamglass tempering furnaces from Finland

• Lisec cutting tables from Austria

Confidence through complete testing – Whether for extreme weather

conditions or safety reasons, Grandmark Glass undergoes many tests to

ensure its glass meets stringent performance standards:

Laminated Windscreen Tests: Light Stability Testing; Humidity Testing;

Impact Testing (Ball/Dart); Distortion and Deviation Testing; Luminous

Transmittance Testing; Abrasion Resistance Testing; Penetration Testing;

Temperature Testing; Radiation Testing; Optical Distortion Testing;

Secondary Image Separation Testing.

Tempered Glass Tests: Light Stability Testing; Luminous Transmittance

Testing; Impact Testing (Ball); Fracture Testing; Impact Testing (Shot Bag);

Abrasion Resistance Testing.

Approved all over the World

Sold Globally – With annual windscreen sales of 4,5 million units,

Grandmark Glass’ manufacturing partner recently ranked 1st in China as the

largest exporter of automotive aftermarket glass. In addition to southern

Africa, the manufacturer of Grandmark Glass exports glass to over 100 coun-

tries. The breakdown is: North America 41%, Europe 21%, Asia 16%, Africa

14%, Middle East/South America 8%. In the USA and Canada, unit volume

exceeds 2,1 million windscreen units each year. That’s about a 15% market

share of the North American glass replacement market – a stunning affirma-

tion of quality and value for money!

Join other world class customers – With prestigious customers such as the

Pilkington Group in the UK and OEM customers such as Ford, General

Motors and Volkswagen, anyone who fits a Grandmark Glass is in good com-

pany!

Serving southern Africa since 1996

Grandmark Glass has been serving the automotive glass industry for the past

14 years – distributing glass through its own fitment centres as well as 1 000

distributors in southern Africa. A trusted partner indeed.

J u l y 2 0 1 0

The end result of the staff meetings to decide the prime activities

of the company, was, IN ORDER OF IMPORTANCE:

KEY ACTIVITY # 1 TECHNICALKEY ACTIVITY # 2 LOGISTICSKEY ACTIVITY # 3 SALESKEY ACTIVITY # 4 FIELDWORKKEY ACTIVITY # 5 PERSONNEL (HR)KEY ACTIVITY # 6 ADMINISTRATIONKEY ACTIVITY # 7 MARKETING

The rationale behind this is very simple, and very logical. This

pretty much applies to all companies, with only slight variations:

TECHNICAL is no.1, because without a product to sell, you

don’t have a company.

LOGISTICS is no.2, because if you don’t have systems in place

to order the goods, get the goods to you, warehouses to store the

goods, distribution systems to get the goods to your customers,

etc., you will only have a company that has goods to sell, but no

means to sell them.

SALES is no.3, because now that you have a product to sell, and

the means to do all the good things that go with selling the prod-

uct, you now have to sell! Otherwise, you will sell, but only at a

liquidation sale.

FIELDWORK is no.4, because once you’ve sold the goods,

someone has to make sure that the people who’ve bought the

goods, know what to do with them, and that once they’ve used

them, they have the urge to use them again. And, on the rare

occasions that something does go wrong, they have our support.

They will also need our help in promoting the product, if they are

re-sellers.

PERSONNEL (HR) is no.5, because someone has to make sure

that you have the people to do all those technical, logistical, sales

and fieldwork things. Plus, you have to make sure that they get

paid, and are happy and contented, and get looked after on the

rare occasions when things go wrong.

ADMINISTRATION is no.6, because someone has to keep

score on how much it costs to develop the goods, and make the

goods, or buy the goods. You also need to know how much you

sold to your customers, and how much they owe you, and the cost

of selling these goods. You also need to present this info to those

nice people who lent you the money to do all these wonderful

things.

MARKETING is no.7, because once you’ve got the first six

things in place, you will have become a very smart company, and

you will need to tell everyone how smart you are.

THE RIDERThis is where the rider comes in. Once you’ve got your act togeth-

er, and I mean that you truly have got your act together, and that

all the key activities are functioning smoothly; then, and only

then,

KEY ACTIVITY # 7 becomes KEY ACTIVITY # 1.

The reason that this happens, is because now you have something

to sell, and you now have something to shout about - a good

product and good service. NOW, marketing becomes the most

important activity in your company, and a key element of the

marketing mix is, of course, CUSTOMER C.A.R.E. Sorry, not a

key element, THE MOST IMPORTANT element. We are talk-

ing about the lifeblood of your company, THE CUSTOMER.

Marketing is not just about attracting the customer. Even more

importantly, marketing is about KEEPING the customer. This is

where customer c.a.r.e. comes into its own. All the activities men-

tioned; technical, logistics, sales, fieldwork, personnel and admin-

istration; all have an important role to play in customer c.a.r.e.

Therefore, they all become part of the marketing effort. They

become part of the KEY ACTIVITY # 1: MARKETING.

– sponsored by Federal-Mogul

Customer C.A.R.E. Programme

Give examplesof how thevarious keyactivities canplay a role incustomerc.a.r.e.

J u n e 2 0 1 044

Module THIRTEEN – THE FORMALISATIONSTAGE continued

DISCUSSION POINTS

L a u n c h U p d a t e

J u l y 2 0 1 046

X-431 Master Hits a TonIn one of the most successful sales campaigns in Launch Technologies South Africa’shistory, the X-431 Master has proved to be a big winner. In less than three months,Launch Technologies SA (Pty) Ltd. has sold its entire stock of this remarkable prod-uct, the world’s most powerful diagnostic scan tool. Orders continue to stream in,as each shipment is gratefully snapped up by eager customers.

Hans Coetzee, Marketing Manager of Launch

Technologies, is over the moon, and ABR had the

chance to speak to him when he handed over the

100th X-431 Master to Richard Michelson of

Sparklite Gearboxes in Wynberg, Johannesburg. Hans attributes

the success of the programme to a superb product and an excel-

lent marketing campaign. He adds that the foundation was built

by the reputation of the X-431 Master’s predecessor, the X-431

Super Scanner. The Super Scanner proved to be a versatile,

reliable, and user friendly diagnostic machine, and thus the mar-

ket was ready for its impressive successor, capable of so much

more. An added ingredient is the back-up and service provided by

in-house after sales service teams, which has resulted in the

impressive statistic that of the workshops in South Africa using

Launch equipment, 70% of their requirements are met by Launch

Technologies. Hans’ only regret is that the X-431 Master has been

a victim of its own success, with Launch being unable to meet

local demand, caused by the massive global clamouring for this

innovative tool. The good news is that South Africa will soon

come off rations as production has been ramped up, and

improved supply is just round the corner. But Hans advises all

progressive workshops not to take chances, and to take advantage

of the extremely attractive upgrade offer for all existing owners of

the X-431 Scanner, ADC 20000 and Carlink products. Savings of

up to 60% can be achieved, depending on the age and condition

of the equipment. Contact Launch Technologies SA (Pty) Ltd at

one of the following contact points:

Phone no: 011 937 3072/3

Fax no: 011 397 6489

Hunter: 082 418 2257 / quiteaguy@163.com

Hans: 082 701 4203 / greglaunchsa@yahoo.com

For those wishing to upgrade the details required

are: model, serial no, physical address, contact

person, contact no and service agent.

Hans Coetzee hands over the 100th X-431 Master to Richard Michelson and Shlomi Maimon of Sparklite Gearboxes. Sparklite

have been Launch users since day one and in all this time have had no complaints. Richard says that he has done many compar-

isons over the years and that in his opinion the Launch equipment is unmatched in diagnosing problems, and that it is unrivalled

in flexibility. Sparklite Gearboxes are also loyal Capricorn members, as they have found that Capricorn has been good for their

business, enabling them to purchase from a variety of vendors under one account. This has improved productivity, and naturally the

purchase of the Launch X-431 shall be financed through Capricorn.

The new Consumer Protection Act puts you atrisk if you can answer yes to three or more of

the questions below:• Do you operate a customer loyalty

programme?

• Do you have any consumer fixed-term

contracts?

• Is your warranty period on all goods at least

six months?

• Do you market through any direct,

catalogue or mail marketing?

• Do you provide clients with vouchers, store credits and/or

allow prepayments?

• Do any of your legal contracts contain complicated legal

concepts or Latin wording?

• Do you clearly label all items which are reconditioned or grey

market goods as such?

• Do you sell bundled or packaged goods without such items

also being available individually?

• Are there sometimes discrepancies in respect of prices

displayed and prices which are charged to customers?

• Do you offer customers the option to repair, refund or

replace a defective item if it is returned within six months

of purchase?

The CPA has been described as a state-of-the-art law that gives SA buyers the latest pro-tection against unfair practices, and inthe free-for-all that characterised some

parts of the automotive after sales market, this isa welcome development. What happens, howev-er, when it is the buyer that is in the wrong…can the supplier provide himself with ANY formof protection? One solution which a practicalABR reader suggested, was to put up large posterswith terms and conditions of sale to protect himselfagainst ignorant buyers. Surely a good lawyer could makesuch T&Cs work in favour of the supplier?

Advocate Neville Melville, author of, “The Consumer ProtectionAct Made Easy” and former banking ombudsman, says the answer,in short, is “no”

The CPA will have far reaching impacts on the automotive aftermarket, beginning with frontline staff who must comply withthe stipulations of the Act in the information they pass onto consumers – or face penalties.

Melville advised that this will not absolve any supplier of specificnegligence by his frontline staff. “A supplier can, in theory, protecthimself against ordinary negligence, but only in a manner that isfair to the consumer,” said Neville. Any other discounts promised,expectations created or agreements made on behalf of the firm byeven a junior receptionist may as well have been cast in stone.

In some rural areas with low literacy rates, a good litigator wouldeven be able to negate any terms and conditions against ordinarynegligence on the grounds that they were not delivered fairlybecause the client could not read or it was not in the vernacular,or if it was in the vernacular, the translation had errors. Under thenew CPA, businesses can be held liable for defective products ona no-fault basis and be fined up to R1 million for contravening theprovisions of the Act.

The only solution is to train staff exactly on what they can not sellor say under the new CPA. Money-lenders and insurance compa-nies especially have a lot to lose through their traditionally finelyprinted contracts and hence were first to start such training. Thetraining provided by BANKSETA, a statutory body that trains thebanking and micro-finance industry on the implementation of theCPA, is also available to automotive dealers who provide loans.The wide-ranging training includes covering the CPA’s implica-tions, such as saving the consumers’ money; providing compara-tive information so that they can make informed choices aboutyour product, protecting them against possible health hazards inyour product and creating easy means of redress for consumers toavoid litigation.

C o n s u m e r P r o t e c t i o n A c t

J u l y 2 0 1 048

The client is always King…but not always right

ABR brings you a series of articles on the Consumer Protection Act.

by Alwyn Viljoen

“What happens if it is the buyer waswrong… does the supplier have

ANY protection?

“The only solution is to train staffexactly on what they can not sell or

say under the new CPA.”

The new Consumer Protection Act (CPA) is being phased in fromApril 2010 to October, during which time all franchise holdersand branch offices have to train their frontline staff NOT tocreate any expectations the organisation cannot meet.

Definition of a Supplier:A person or an entity who markets Goods and Services, irre-

spective of whether the supplier:

• Resides or has its principal office within or outside the

Republic

• Operates on a for-profit basis or otherwise

• Is an individual, company, close corporation, partnership,

trust, organ of state, an entity owned or directed by an organ

of state, a person contracted or licensed by an organ of state

… or is a public-private partnership

• Is required or licensed in terms of any public regulation to

make the supply of the particular goods or services available.

T y r e T a l k

J u l y 2 0 1 052

The pros and cons ofburning rubber

Government has to opt between different proposals in how to get rid

of old tyres in way that would be best for the environment.

The tyre industry’s “integrated plan” focuses on creating

jobs by recycling your tyres at the end of the lives – the

SA Tyre Recycling Programme, a Section 21 company,

proposes to save big industry some serious money by

burning it. Government now has the difficult task of supporting

either of these desirable outcomes and is – as always – turning to

the voters for their views.

Several groups representing the interests of South Africa’s youth

certainly prefer the job option and have given their full support to

tyre industry’s integrated waste tyre management plan.

These groups range from the socialist SA Communist Youth

League to the philanthropic National Youth Development

Association to the more capitalist Johannesburg Chamber of

Commerce and Industry.

Bafana Dube, spoke on behalf of these youth groups when he said

South Africa needed to create jobs above all else, and that the pro-

posal by the tyre industry’s associations met this directive the best.

“The problem that we have is that at the moment there are no

approved tyre producer management plans, therefore the tyre

dealer will be obliged to dispose of the waste tyres in terms of the

General Prohibitions of the WTR, regulation 4; This regulation

allows for waste tyres to be disposed of by recycling or energy

recovery if authorised by law or disposal at a landfill site. It is the

responsibility of the tyre dealer to verify the destination of waste

tyres collected from their businesses. Once the management plans

of the tyre producers are approved by Department of

Environmental Affairs and Tourism (DEAT), it will be Gazetted

and tyre dealers will be advised how to manage the waste tyres.

“Our integrated plan proposes a workable solution that will cre-

ate approximately 10 000 jobs in the first five year period,” says

Hermann Erdmann, spokesperson for the associations and

national chairperson of the Tyres Dealers and Fitment Association

The tyre industry’s integrated plan was submitted in terms of

regulation 9 of the waste tyre Regulations as gazette in February

2009, and promised to create at least 10,000 jobs,

“We have studied the integrated plan and prefer it over the model

proposed by the SA Tyre Recycling Programme, which will effec-

tively create only nine recycling centres and transport tenders in

each province, with the money benefiting established companies

as opposed to uplifting the small guy who are currently transport-

ing and often burning tyres,” said Dube.

Erdmann said there was a marked new awareness from all sectors

of government to actually benefit more people at grass roots

through tenders. “Our proposal enjoys the support of all the con-

stituent associations of the Retail Motor Industry Organisation

(“the RMI”), a non-profit organisation whose objectives include

maintaining ethical trading conditions in the motoring industry,”

The integrated industry waste management plan proposes to

manage all types of tyre that have reached the end of their useful

life, from the giant tyres used in open cast mines to aircraft tyres

– and all types of the levels in between.

He added that the average life of most tyres was five years, with

South Africa currently selling 12 million tyres annually which

number the industry expects to grow at 1m tyres per year.

He said the parties to the tyres industry’s plan can do three things

with tyres.

The first option is to re-use – mainly by retreading but also by

allowing a customer the choice to continue using a tyre with

sufficient tread on vehicles not used on public roads, including

donkey carts.

The second option is to recycle tyres, with farmers using them to

build dam walls or to create back-yard vegetable stacks, which is

ideal to grow and easily harvest potatoes. The third option is to

recover the energy in old tyres by burning it to generate power

either using steam or reticulated hot water.

“We can also export them to anyone that undertakes to do the

above”, said Erdmann. He prefers export to landfill, illegal dump-

ing and burning tyres. “It has the benefit that waste tyre volumes

in excess of recycling and other requirements are disposed of in a

more environmentally friendly manner than the previously men-

tioned dumping actions. The process of preparing waste for

export also entails job creation,”

Who will pay?The plan will be financed through a Statutory Fund to be estab-

lished specifically for the purpose of financing the entire oper-

ation from collection to recycling of wastetyres on a national

basis.

The Statutory Fund is initiated by Government as a statutory

body to undertake the determination, imposition, collection,

management administration of and disbursements from levies

paid into the fund by tyre producers and importers. The Fund

will also promote and support, and, to the extent that the pri-

vate sector is unable to assist, undertake the necessary actions to

ensure environmentally acceptable recycling of waste tyres.

If legislation for a Statutory Fund takes too long, the parties to

the Plan aim to create an alternate fund for the intended pur-

poses.

by Alwyn Viljoen

T y r e T a l k

53J u l y 2 0 1 0

Ways to convert waste tyresinto other useful materials

Crumbing renders tyre waste as suitable raw material

for many processes such as moulded rubber products, road

surface and many others. It also is the preferable form for

the cost effective export of crumb surplus to the local

requirement.

Crumbing is also a precursor for Reclaimed Rubber. The

latter is exportable and used in small quantities in many

rubber formulations for a variety of moulded and extrud-

ed products.

Pyrolysis extracts fuel oils, char/carbon black and steel

from waste tyres.

These value added products are saleable and a source of

sustainable income.

Energy recovery burns waste tyres as fuel or co-feed with

coal in electric power, steam and hot water generation. The

current South African power stations are designed around

sophisticated coal feeding mechanisms which is not

suitable for rubber co-feed. Energy recovery may become

an option when designing new power stations.

Either fund intends to levy a Green Fees on producers and importers of

tyres and retreadable casings of approximately R 1.50 per kg of manu-

factured and/or imported tyres and casings, which will escalate by about

6% per year in tandem with the average inflation rate until 2014.

The collection, from importers will be at the time of import clearance,

and for local manufacturers at the time of manufacture.

Green Fees must also be paid for scrap tyres produced and not sold by

manufacturers. The principal of the polluter pays will be applied to all

tyres. Importers will pay the levy through customs, which, in turn will,

transfer to the Statutory Fund.

Tyre manufacturers will pay their levies directly to the Fund electroni-

cally. The time frame for paying levies is the same as that for VAT.

The levy paid will become a cost to the manufacturer and/or importer

and is taken into consideration when determining their selling prices.

Market forces will ensure that the inclusion of the levy in the cost is not

abused. This system is the preferred one and obviates the need to make

special provision in invoicing systems for separate line item invoicing.

The cost of changing existing invoicing systems is high.

“It is imperative to note that, at this stage, accurate figures cannot be

provided, and the figures are based on estimates. Our integrated plan

does however make provision for attainment of accurate industry figures

and statistics,” said Erdmann.

J u l y 2 0 1 054

I n s i g h t s

Solving the Chinese Puzzle

Estimates vary, but reliable sources place the Chinese vehicle car parc inSouth Africa at close to 200 000 vehicles. A not insignificant number,whichever way you look at it, particularly from an aftermarket perspective.These vehicles have to be serviced and maintained, and the lot falls on theworkshop fraternity of South Africa.

The problem, or opportunity,

is that a good portion of

these vehicles entered the

country during the halcyon

days of 2005 to 2008, when

every Tom, Dick and Harry (or is that –

) rushed into the

country with a variety of Chinese vehicle

brands. The focus was on selling vehicles,

with scant attention placed on aftermarket

planning. Compounding this error was the

liquidation of many of these importers

during the recession from late 2008 to early

2010. South Africa may have excellent

homologation rules, but this counts for

nothing when those responsible for ensur-

ing that their brands have back-up, have

simply rolled over and died.

The situation could have been chaotic, and

could have descended into ugly anarchy.

The potential for predatory behaviour and

appalling price gouging on vital parts was

huge. However, cometh the hour, cometh

the man. The marines arrived in the form

of Marius Smal, proprietor of the fast

growing Mandarin Parts Distributors.

Marius launched his business in the eye of

the economic storm, on 1st May 2009.

When asked whether this was an act of

confidence or an act of bravado bordering

on insanity, Marius says that it was a bit of

both. Mandarin Parts Distributors spe-

cialises in parts for Chinese vehicles, and

this was, and is, a godsend for owners of

Asiawing, CAM, Chana, Changhe, Chery,

CMC, DFM, Fudi, Geely, Gonow, GWM,

Hafei, Inyathi, Polarsun, Soyat, Chinese

Taxi and Meiya vehicles. Prior to his busi-

ness venture Marius had been Group Parts

Manager of CMH for over 10 years, and

when CMH decided to disinvest from

their Chinese brand venture, Marius saw

the gap, having picked up valuable contacts

with Chinese OEMs. The agreement

between Marius and CMH served many

purposes. The name Mandarin came from

CMH, thus providing continuity for

CMH’s Chinese brand vehicle owners, and

Mandarin Parts Distributors assumed the

role as an OEM parts distributor for the

CMH brands and many others. The rest is

not yet history, but Marius is working

assiduously at creating a compelling story,

marketing his business via an innovative

and effective website, together with an effi-

cient word of mouth grapevine fed enthu-

siastically by a grateful customer base.

Marius is passionate and proud about his

role in keeping the Chinese car parc in

southern Africa mobile, and he states with

confidence that not one of these vehicles

have been kept off the road because of an

inability to provide parts. This passion goes

further – Marius gives the Capricorn

Society credit for being part of the business

solution. Marius has had a relationship

with Capricorn since 2003, having become

a Preferred Supplier when he was with

CMH, and taking this relationship further

with Mandarin Parts Distributors. Marius

lauds Capricorn for adding value, and giv-

ing a sense of security to the consumers. He

understands that small businesses are the

backbone of the industry and that

“Capricorn plays a huge role in keeping the

small guy on the go”. Marius is particular-

ly impressed with the fact that Capricorn’s

networking facilities gives him exposure to

the right people, and that as a supplier he

can count on payment within 30 days. “In

actual fact”, he continues, “I have never

lost one cent in bad debts from Capricorn

members, and this is worth gold to a sup-

plier”. There you have it – Capricorn and

Mandarin have joined forces to solve the

Chinese puzzle.

To join Capricorn Society Limited call André Changuionon 083 287 3498 or e-mail him at

andre.changuion@capricorn.coop or visit their website onwww.capricorn.com.au

Marius Smal is happy in his role as aPreferred Capricorn Supplier, and so are his

customers

Mighty MaoriMcLaren was a racing car manufacturer founded by New ZealanderBruce McLaren, who died in a car bearing his name in 1970. He was just32 and the company barely five years old when he plunged off theGoodwood circuit while testing a McLaren-Chevrolet Can-Am car on June 2, prematurely ending a stellar career.

Ironically, at the time of his death the team was toying with

the idea of a road car but a further two decades would pass

before that became a reality. If he was still around, he

would no doubt approve of what the company bearing his

name has become: the second most successful Formula

One team in the history of the sport, with 20 drivers’ and manu-

facturers’ world championships and 168 race wins – up to and

including the Lewis Hamilton/Jensen Button one-two in Canada

on June 13. And also a company on the brink of launching its sec-

ond supercar.

It was initially Teddy Mayer’s name which featured

prominently in the post-Bruce era, but intrinsi-

cally interwoven with the brand is Ron Dennis

– an Englishman who joined in September

1980 when McLaren International came

into being. He had been in Formula One

since 1966, starting out a mechanic, but

rose rapidly and soon gave McLaren the

polish for which it is now renowned. The

John Barnard/Dennis era from the early

1980s saw McLaren completely dominate F1

and that continued when Durban’s Gordon

Murray came on board and continued where his

predecessor left off. In the 10 years between 1984 and

1993 McLaren either won the constructors’ championship or fin-

ished as runner-up (six wins) and in the same period claim seven

drivers’ crowns.

Having an exceedingly fertile mind, Murray soon tired of creat-

ing dominant racing machines and turned his attention to build-

ing the company’s first road car: the McLaren F1. It was revolu-

tionary in a number of ways, not least of all thanks to its central

driving position with the two additional seats placed further back

in a vee formation. When launched, it rewrote the rulebook and

at the time was the fastest road car on the planet with a top speed

of 391 km/h.

It’s hard to believe it all happened nearly 20 years ago and it was

officially unveiled in Monaco (where else?) on May 28 1991. A

total of 106 were made up until 1998, including the GTR racers

and the five LM versions built to celebrate that car’s overall victo-

ry in the 1995 Le Mans 24-hour race. In fact, they also finished

third, fourth and fifth. Throughout its production life the power

plant remained unchanged: a 6,1-litre BMW V12 which gave the

standard car an astonishing power to weight ratio of just over 400

kW per tonne. To put that in perspective, today’s Ford Focus ST

– no slouch itself – has a power to weight ratio of 120 kW per

tonne...

The F1’s successor is the MP4-12C, another car which breaks

with convention. For example, the monocoque body –

dubbed a MonoCell -is a one-piece carbon fibre

affair, and both light and strong. The engine is a

3.8-litre twin-turbo V8 said to be exceptional-

ly powerful while still setting new standards

in terms of economy and emission levels.

The suspension is active, with three settings

which the driver can select. It also dispens-

es with conventional anti-roll bars and as a

result will be equally at home on the road

and on the track, say McLaren Automotive,

the division of McLaren Group responsible for

the road cars. And theoretically there’s no one

better equipped in terms of equipment and skill

and much of the research and development work was

done on the same driving simulator used for their Formula One

cars.

So how much will it cost, and when will it become available?

Seeing it is aimed squarely at ‘compact’ supercars of the ilk of the

Lamborghini Gallardo and Ferrari 430, we suspect that it’ll cost

around R2 500 000, with a likely local availability of mid-2011.

And where will you buy it? Well, on June 19 the Daytona Group

was confirmed as the local importer, laying to rest months of

speculation as to who would get to sell this sought-after product.

With a proven record in selling high-end machinery such as

Aston Martin and Rolls-Royce, they must be very excited about

adding another famous British brand (albeit named after a New

Zealander) to their stable.

by Adrian Burford

56

B u r f o r d o n B r a n d s

J u l y 2 0 1 0

J u l y 2 0 1 058

Johannesburg’sAfrican Class MayorIn the March and April 2010’s issues of ABR, I discussedJohannesburg’s pothole situation, with the hope that things wouldimprove. Alas, the situation seems to have deteriorated, despite thehype around the World Cup. What has brought us to this pass?

A Sunday Times interview a few months ago with the mayor of Johannesburg, AmosMasondo, appears to locate the smoking gun.

I give you a few excerpts from the interview where Chris Barron

has “So Many Questions”:

Is Joburg ready for the World Cup? I think we are.

What about the potholes? We are addressing the problem.

What about the trenches that are left open for months forpeople to fall into? Again, that’s one of the big problems.

What about the broken traffic lights? It’s being addressed in

an ongoing way.

What about the street lights that don’t work? You keep on

mentioning these things one by one. We are working on address-

ing the problems.

What about the missing street signs? The matter has been

raised with the mayoral committee.

What about the litter, the blocked storm water drains? Eish

They’re not being properly maintained? They’re not being

properly maintained.

You plug Johannesburg as a world class African city. Isn’tthis false advertising? No, it’s not false at all. That’s a goal we’re

working towards, that’s a vision.

There you have it, folks. Mea Culpa 101. And no shame, no

responsibility, and no culpability. And definitely no falling on

one’s sword. It’s the African way. Our esteemed mayor and his

cronies are allowing our once beautiful city to fall into ruin, and

all we get is words and promises, and more words about “prob-

lems” and “visions”. Ten years of Amos has brought us to the

brink of a truly African class city. Anywhere else in the civilised

world he would have been unemployed a long time ago.

Unfortunately, here on the southern tip of Africa, we have to do

with the ANC’s version of democracy.

I do not have to provide any evidence of our city carers’ malfea-

sance, because it is openly apparent to anyone walking or driving

through the city, but I thought that I would share this one with

our readers. It is a lulu. The corner of Witkoppen Road and

Bowling Ave in Sunninghill is extremely busy, but for ten days in

May 2010 the commuters had to run the gauntlet of a batch of

strategically placed potholes. I would hate to guess as to how

many tyres and rims were destroyed. No longer are single potholes

good enough for the JRA, now multi potholes are the vogue. They

did eventually fix it before the World Cup started, but I predict a

downhill curve after the last visitor has left our shores.

by Fingal Wilde

W i l d e T h i n g s

Just keeping on drawing thatsalary, Amos. And keep onattending those functions withthose lovely buffets. And keepon talking about problems andvisions. The good citizens ofJohannesburg will keep the citygoing in their own inimitableand indomitable way.

Did someone say that theJRA is just a figment ofour imaginations? No,they do exist, and areworking very hard at

reducing Johannesburg’sworld record number of

potholes.

U p d a t e

J u l y 2 0 1 060

Enhancing the FIFA World Cup™ Experience

Hyundai Trumpets its Successand KIA Has a Ball

Sponsorship is one thing. Leveraging offthis sponsorship is another. Two brandsthat understand the importance of this,and get the maximum mileage out of beingofficial partners of the 2010 FIFA WorldCup™ are Hyundai and Kia. Spectacularevents, trailblazing innovations, excitingand uplifting competitions were theorder of the day from these Korean sib-lings, spiced up with South Africanflavour and verve, before and duringthe 2010 World Cup. It was, and stillis, an international glad fest, andABR brings to our readers a visualcelebration of the World Cup, inter-spersed with images from the manyKia and Hyundai initiatives.

U p d a t e

61J u l y 2 0 1 0

Size does count, and Hyundai and Kia indulged in some friendly competi-tion in making this point. Hyundai made good use of Cape Town’s unfin-ished highway by erecting a 35 metre long and 5,5 metres wide Vuvuzela

above the traffic. The world’s biggest Vuvuzela has been making soundwaves and other waves in the mother city. Kia was not to be outdone, andunveiled the world’s biggest soccer ball at Emperors Palace, adjacent to theO.R. Tambo Airport in Gauteng. This ball towers above the casino com-plex, and even Ronaldo would have trouble getting this one into the net.

Zakumi is inex-orably tied to theKia brand, and hehas been travelling theworld. Here he iswelcomed atEmirate’s airlinehome base by anenthralled cabin

crew

The Hyundai

Goodwill Ball Road

Show was a stunning

success, and it all came

to an end in Sandton

on Saturday 5th June

with an epic street

parade, involving

more than 600 daz-

zling street performers

igniting football fever

and “gees” in the

South African public

and visitors to the city.

The Hyundai Fan Parks have been well attended,allowing fans to watch all the games.

J u l y 2 0 1 062

U p d a t e

63J u l y 2 0 1 0

U p d a t e

Roger McCleery asks the questionsSee how many of these 20 Questions you can answer.

by Roger McCleery

Answers on page 78

1. What was the biggest selling passenger car in South Africa in May?

2. Biggest selling bakkie in May?

3. Who won the Turkish F1 Grand Prix in May?

4. After the Turkish GP, who leads the World F1 Championship?

5. What country does he come from?

6. What engine does the Red Bull Formula 1 Team use?

7. On the side of a tyre, what does ‘R’ mean?

8. Who owns the L’Ormarins Motor Museum in Franschhoek?

9. What do the letters ‘DOHC’ mean when referring to a motor?

10. What does ‘BDA’ mean describing a Ford Engine?

11. How many road racing circuits are there in South Africa?

12. Who is the holder of the land speed record?

13. What does he do for a living?

14. What does 312 mean in Ferrari language?

15. Alfa Romeo is 100 years old this year. How old is Morgan?

16. What racing Island features three legs in its badge?

17. What was Ford’s answer to the Chev Corvette?

18. What town in Italy features canary yellow in its logo?

19. Name the South African competitor who raced in the 2010 Indy 500 in the USA?

20. What does the BMW badge symbolise?

A I D C Q u i z

65J u l y 2 0 1 0

A series of articles on the versatile FSA 720/740/754 series

R o b e r t B o s c h

The Golden Triangle – KTS, ESI[tronic], and FSA

J u l y 2 0 1 068

>>To Cap it All<<This is the third and final article on the problem solving routine followed by Carlodu Plessis of Cencar, Centurion. To recap, Carlo has been grappling with a 2004 VWGolf III 1600i that refuses to start. Carlo, being a fully trained Bosch technician,always relies on the Golden Triangle – the KTS Compact Control Unit DiagnosticTester, the ESI[tronic] Service Information System, and the FSA Engine ManagementSystem. With these three tools, coupled with Carlo’s technical training and analyti-cal skills, any problem can be solved.

This is what an oscilloscope reading wouldlook like if the windows and shutters,

together with the switch, are doing their job.

A distributor with its rotorand cap removed. The

windows and shutters at thetop of the distributor can be

clearly seen.The coil lead is the centre lead on the

distributor cap.

As discussed previously (see ABR’s May

and June 2010 issues), Carlo also knows

that there are just three things that are

required to make a petrol engine run: Fuel,

Compression and Spark. Fuel and

Compression were covered in the previous

articles, and now Carlo zeroes in on the

Spark. Using the FSA, he connects the

plug leads and proceeds to work back-

wards. With the plugs being relatively new,

he assumes that the plugs are okay. He

now checks for spark by cranking the

engine, and at the same time gets a reading

via the FSA on the secondary voltage. The

FSA can provide a print-out on the read-

ing, which is extremely useful as a docu-

ment which can be given to the customer.

There is also the old fashioned method for

checking spark at the plug lead by using a

screwdriver to short the works, but Carlo

advises strongly against this as there is a

safety risk with the high voltage, and a

back spike can also blow the ECU. The

other advantage of the FSA is that it gives

the secondary voltage on each plug.

Everything is fine, so the next step is to

open the distributor cap and to check for

cracks and to verify that the carbon pin is

okay. This pin plays the key role of receiv-

ing voltage from the coil, and transferring

this voltage to the leads through the rotor.

The rotor ‘s resistance on the carbon pin

side must also be checked, and the reading

is 2,1 ohms, so the distributor is now

replaced and we test the voltage from the

coil supply. No problems so far, so now

Carlo measures the electrical plug, which

plays the role of the traditional points and

condenser. He tests the positive and nega-

tive wires using the multi meter from the

FSA, and the readings of 12,5 volts indi-

cate no problem. Carlo now focuses on the

signal wire, using the back probe with

positive channel one, putting the negative

wire on the battery negative. He cranks the

vehicle, and gets no sign on the oscillo-

scope. We have now found the problem.

Carlo checks the windows and shutters

inside the distributor cap, and as there is

no physical damage, he identifies the prob-

lem as the switch inside the distributor.

Carlo now has two options – replace the

whole distributor, or strip down and

replace the switch. The difference in cost

would be about R500, so his decision

would be based on the general condition of

the distributor and the customer’s wishes.

Another problem solved, but hypothe-

tically the coil could have been the

problem, and in our next visit to the

Golden Triangle, Carlo wishes to discuss

the issues around the coil.

Anotable corporate resident is Vision Service Centre, located

on the busy Fourth Avenue in Geduld. Run by Marius van

der Westhuizen and a dynamic team, Vision’s e-CAR work-

shop was established in January 2010 to accommodate a growing

need for quality automotive repairs and service. Hennie du Preez,

founder of Vision Air Brake in 1990, which became a CBS branch

in 2003, had started a Motolek in June 2009, splitting CBS light

and heavy duty business, and it was soon clear that the light duty

customers needed something more. Hennie and Marius realised

that they needed a national workshop brand behind them, as a

strong support structure and product availability would be critical

to the success of this venture. They investigated the various

options and decided upon the e-CAR concept. The decision was

based on e-CAR’s professional approach and the intelligent way

they had set up the e-CAR package. Marius says that e-CAR’s

model requires minimal upfront costs and low monthly contribu-

tions, with significant support in terms of technical training and

back-up, a national corporate image, and very importantly, “there

is something special about e-CAR”. This something special

includes advice on diagnostic equipment (Marius says that the

Bosch KTS diagnostic equipment gives him everything he needs),

a Bosch technical support hot-line, up-to-date Bosch technical

training, e-CAR’s innovative regional and national advertising,

and extremely valuable business advice from DESAMARK/Diesel-

Electric, e-CAR’s corporate parent. Thus, Marius can strongly rec-

ommend the e-CAR concept for all workshops aspiring to be

something better. He puts it succinctly, “e-CAR is a risk free

investment!”

Six months down the line, Vision Service Centre is attracting cus-

tomers from all corners. Passing motorists on the busy 4th Avenue

are attracted by the visible and welcoming e-CAR signage, the

many used car dealers in the area rely on Vision’s value for money

and reliable service, and Vision’s local reputation as a good corpo-

rate citizen from its sponsorships of schools’ sports teams,

together with word of mouth advertising, keeps the business

streaming in. Marius, however, does not rest on his laurels. He

ensures that his three auto electricians and his automotive techni-

cian attend the latest training courses, and that the latest trends are

catered for. For example, he is gearing up to meet the increasing

demand for vehicle tracking fitment and fleet management

systems. There’s no doubt about it, Vision and e-CAR are the

source of comfort for Springs motorists.

The city of Springs, some 50km east of Johannesburg, now forms part of theEkurhuleni Metropolitan Municipality, but it has a rich history and contributionof its own, from agriculture to mining to industry, and more. Today it is one ofthe industrial and engineering centres of the Witwatersrand, and plays a keyrole in the economy of Gauteng. Springs has also had many notable residents; aneclectic group including Nobel Laureate Nadine Gordimer, Olympic GoldMedallist Penny Heyns, Springbok rugby player Lawrence Sephaka and FerdinandChauvier, the inventor of the Kreepy Krauly.

69J u l y 2 0 1 0

There is somethingabout e-CAR

To join the fastest growing workshop network in South Africa and to add a new dimension to your

business, contact Wilfried Langenbach at 086 000 3227 (086 000 ECAR)

The learner drivers in Springs can rest assured that their cars are roadworthy

Marius van der Westhuizen (second from left) and his dynamicteam. Some members were absent, having their skills upgraded

at a training course.

by Howard Keeg

J u l y 2 0 1 070

During the past few weeks I had the opportunity to savour both French flair andItalian chic, in the form of the Citroën DS3 and the Alfa Romeo MiTo MultiAir. Ihad the 1.6 litre 88kW DS3 Style for a week, and my acquaintance with the MiToMultiAir was only for a day, but the drive to Cullinan was enough to evaluatethe 1.4 100kW Progression and the 1.4 125kW Quadrifoglio Verde.

Not having had the pleasure of driving the Citroën

DS3 Sport, which pushes out 116kW, I will do

my comparison between the lower grunt versions.

Not that 100kW, or even 88kW, in small vehicles

can be described as lower grunt. The power that you get from

both the Citroën and the Alfa is perfectly acceptable. Enough

said. It is on this basis that I shall restrict my comments to the

handling, the comfort, the style, the interior, and all those so-

called softer issues. Suffice to say that in all areas these hot

hatches are oh so similar, and yet oh so different. We are in the

realm of subjectivity, and one man’s poison is another man’s

meat. And during the FIFA World Cup, national and cultural

differences do kick in and become exaggerated, despite the fact

that the French and the Italians are only separated by the Alps.

That last comment opens me to assault from both foie gras

and lasagne lovers.

HandlingA dead heat. I simply cannot fault either vehicle when it comesto handling. The cars are superb on the tarmac, and corneringat high speed does not raise the pulse rate. Sublime is a wordthat comes to mind, and this feeling of assurance and bravadocomes from the marvellous cocoon like driving position, thetop class build quality, and the stylish and welcoming interiorof both vehicles. The Alfa does have the much vaunted DNA,which I am sure has its benefits, but for me the N mode wasokay all the way.

V e h i c l e L a u n c h

French Flair vsItalian Chic

C a t e g o r y

71

Comfort, Styleand InteriorThis is where the Gallic flair and the Latin

chic kick seriously in. Centuries of renais-

sance credentials in Italy and that little con-

tretemps in France in the late 18th century

about liberté, égalité, and fraternité, have

given these guys a head start on the rest of

us. It may be a chromosome thing, it may be

subliminal osmosis, it may be the way their

mothers dress them, but whatever it is, the

comfort, styling and interior of French and

Italian cars just have that extra something.

Both the DS3 and the MultiAir handle our

unforgiving South African roads with a cer-

tain panache, and the ride does not seem as

harsh as you expect it to be. In my humble

and subjective opinion, when it comes to

styling, the Citroën wins hands down. That

floating roof, that aggressive B-pillar and

those exotic and distinctive LED lights make this car both beautiful and brassy, or as Peter Cheney would say, sexy and sassy. Not that

the Alfa is ugly, far from it. It is far more stylish than 90% of the vehicles on our roads, but it just falls a little short against the anti-

retro, modern marvel DS3. And the front, which I rate as powerfully distinctive and a brand statement of note, still gets a few dismis-

sive nods from the fellow journos. Not that I care, and I am sure the Milan Turin crowd also dismiss this with a smile and a stiletto.

The Big DifferenceThere is one big difference between these vehicles, and that is the revolutionary Fiat Group engine technology in the Alfa MultiAir,

known as, ahem, MultiAir. The same guys who came up with the common rail fuel injection technology have done it again. The only

difference from then and now is that the Fiat Group has patented the MultiAir technology, which means that other manufacturers will

have to pay for this, unlike the free ride they had with common rail. The technology is quite complicated for a non geek like me, but

to put it in a nutshell it is all about eliminating the compromises found in existing electro-mechanical variable valve timing systems, by

using an advanced electro-hydraulic actuation and control system that optimally adjusts valve timing and lift to exactly suit different

engine speeds and loads, ensuring strong low and mid range torque and vigorous top end power, combined with good economy and

low emissions. The explanation can get very complicated, but the bottom line is that the 1.4 TBi MultiAir 100kW, compared to the

1.4 TBi 88kW (not available in South Africa), makes the following difference:

• CO2 reduced by over 10%• Max power increased by 12,5%• Acceleration (0 to 100km/h) reduced by 0,4 seconds• Better throttle response, less turbo lag• Fuel consumption reduced by up to 10%

This is the technology of the future, and it is for this reason that I give a small nod to the Alfa. It may cost R227 900 vs. the R199 500for the Citroën DS3 Style, but with the MultiAir technology, the DNA system, and the Start and Stop feature, it is incredible value formoney. The Citroën is also an excellent deal, so all I have to say is that the difference comes down ultimately to your preferences – andlet the Mini beware!

J u l y 2 0 1 0

A Day in the LifeP e r s p e c t i v e

J u l y 2 0 1 072

Many people think that a motoring journalist leads the Life of Riley. All that we dois attend exotic vehicle launches in even more exotic locations, and expand our waist-lines as we dine sumptuously and drink merrily, and then write absolute drivel abouta vehicle that we cannot afford. Actually, this is true. The problem for me is that Iam of the other sort of motoring journalist, derisively known as an automotive indus-try journalist, who plies his/her trade in the less glamorous corridors of the realworld, aka the automotive aftermarket. I do get an invitation now and then for carlaunches, but I am grounded enough to know that invites to overseas launches willnot come my way. I deal in the currency of reality, so for my readers’ elucidation,here is a day in the life of an automotive industry journalist:

Saturday 5 June 201006h30: Arise and prepare for the day ahead

08h30: Arrive in the heart of Pretoria’s trading district,

to do a story on Mandarin Parts (see page 54 of this issue).

10h30: Rush off to the Zwartkops Raceway (rush is rather hyperbolic,

considering the volume of traffic going into Zwartkops) to cover

the launch of the ECS/GNFA partnership (see cover feature on

page 20) at the Gauteng Motor Show.

After the launch have a quick look round for ABR

advertisers.

15h00: Rattle back along the

third world R55 to Kyalami, to

cover another story (see page

79) and to suss out the action.

Friday 28 May 201005h30: Arise and prepare for the day ahead

07h00: Arrive to cover the “Not the State of the Nation Address” at the Hyatt Hotel, Rosebank. This charity breakfast event (ABR

does pay its way!) is held regularly to assist NOAH (Nurturing Orphans of AIDS for Humanity) in its noteworthy efforts in

empowering communities to care for their orphans.

In all these travels and the frenetic covering of events, amazing coincidences do occur, when you come across other

peripatetic companies/individuals. Take a look at this:

by Howard Keeg

73

David Bullard, Journalist & Celebrity Public Speaker; Lynette Finlay of Finlay &

Associates, representing NOAH; Bongani Bingwa, Carte Blanche presenter and MC

for the morning; Eusebius McKaiser, Political & Social Analyst; Michael Trapido,

Journalist & Political Commentator, were the panellists at the breakfast. This high

power group contributed insightfully in a funny/serious manner to a debate on the

state of our nation. Some of the more insightful quotes were:

“South Africa is like a Quality Street tin of sweets – as the sweets are surreptitiously

removed, we risk the danger of being left with a half filled tin of a bland collection “

“The ANC is a party for the intellectual elite (apart from JZ)”“Affirmative action is a moral imperative, but should not be a

platform for ANC patronage”“The paradox about having too much information is that we

now live in an age of uncertainty” The best quote of all – “South Africa is a lucky country”

Co-incidence #1: Attending the breakfast was Kelvin Naidoo, Group

Technical Executive of Powertech Batteries

10h30 Rush off to Centurion to cover the Bosch Charity Golf Day (see

article on page 76)

Co-incidence #2 Murray Long, Marketing Director of

Powertech Batteries, participated in this worthwhile

event

Monday 31 May 201009h30 Attend the Stay Alert Stay Alive function at the

Wanderers Club, Illovo (see page 38)

Co-incidence #3SABAT was there

as a sponsor

Tuesday 1 June 201014h00 Visit the Africa Rail Expo at the Sandton

Convention Centre

Co-incidence #4 Willard Batteries exhibit-

ed at this expo

J u l y 2 0 1 0

J u l y 2 0 1 074

DID YOU WANT TO RACE FORMULAFORDS AGAIN AT 40?

Sure did. I bought my Reynard back from LeonWilliams and got going again in 2001 when the for-mula was scratching for entries. It needed somethingelse and the Zetec engines were the way to go. Ibought some cars and ten engines to get the Zetec for-mula going and got Steve Morris out from England todrive one of the cars. I had bought the cars from hisfather, Rick, who still races with us.

YOUR WIFE HAS PUT UP WITH A LOT?

She has been behind all the moves. Two wonderfulkids. Jane, our daughter, is involved with FormulaFord racing, and Andrew is currently going for hiscommercial pilot’s licence at 19. He went to BeaulieuCollege near Kyalami and also Hilton down in Natal.

DID ANYBODY INFLUENCE YOUR THINK-ING?

In racing it must be Ayrton Senna, who I saw racingthe Kent engined Fords at Oulton Park. He remem-bered meeting me there in every detail when he cameout to race the McLaren at Kyalami in 1993.

CARS YOU HAVE LIKED AND OWNED?

My favourite has always been an Aston Martin or aV12 E-Type.

CURRENTLY?

Believe it or not, I have got a Ford Sierra XR8, whichwas a real muscle car when it first was launched inSouth Africa and have the latest Jaguar XKR’s, whichis magnificent.

J u l y 2 0 1 0

Q&A: IAN SCHOFIELD...Contined from page 12

C o r p o r t e C o n s c i e n c e

J u l y 2 0 1 076

All work and no play makes Jack a dullboy. All work and no play also makesJack a less than caring boy. This isunderstood by most corporations theworld over, and is the ethos behind Xmasfunctions, corporate outings, annual

conventions and team building exercises.

The annual corporate golf day has become the vehicle of choice for

charity auctions and good deeds. It provides an opportunity for the

busy executive to unwind, a great networking nineteenth hole, and

best of all, it allows for money to be collected for favourite charities, thus tick-

ing the boxes an all of the above. The Bosch Automotive Golf Day has become

an institution, and ABR was at the Centurion Country Club on Friday, 28 May

2010, to give our readers a taste of the 2010 do – a picture tells a thousand words,

so here is a book of charitable thoughts. And the great news is that on the day Bosch

raised over R60 000 for social responsibility projects.

Bosch AutomotiveGolf Day 2010

Street Circuits SaveFormula 1 So FarOf the eight F1 GP’s held so far in 2010, street circuits in Australia and Montrealhave provided the most exciting races. Both made good TV viewing.We also had theadded bonus of seeing the sheer speed of these cars, which is not normally the case.

by Roger McCleery

Answers From page 65

1. Polo

2. Toyota Hi-Lux

3. Lewis Hamilton

4. Mark Webber

5. Australia

6. Renault

7. Radial

8. Johann Rupert

9. Double Overhead

Cam Shaft

10. Belt Driven Assembly

11. Eight

12. Andy Green

13. Group Commander

in the RAF

14. 3-litre 12 Cylinder

15. 100 years

16. Isle of Man

17. Thunder Bird or T-Bird

18. Modena, the home of

Ferrari – hence its badge

19. Tomas Scheckter

20. Spinning propeller blades

Round 8 and the Canadian Grand Prix had all the elements ofwhat a F1 GP should be like. Lots of passing. Five differentleaders. Cars touching each other. A full house of spectators.Drama in the pits sorting out tyre choices as rubber

degraded. Cars crashing into walls with drivers getting away without ascratch. The biggest plus was that no safety car was deployed, whichthe British commentators wanted. Safety cars create a false race. Theuse of a safety car also makes the leading driver the hell-in after all thework and tension he has put into staying ahead of the pack.

Funny thing is that these street circuits are mostly roads that are useddaily and not like the purpose built tracks e.g. Bahrain, China and soon, with corners and chicanes engineered with radiused corners.

Tyre degradation was the decider as far as teams tactics went on aCircuit that hadn’t been used since 2008. Any motor racing circuit hasto be used constantly otherwise it becomes bumpy and loses grip.This degradation wasn’t predicted, particularly as the soft rubber onlylasted in some cases for something like a few laps.

In the end the big boys fought it out with the McLaren Team gettingtheir second one/two in a row. Alonso waiting for a new car at the nextround in Valencia, still completed the podium. In 4th and 5th wereRed Bull (Vettel and Webber). The Red Bull Team still slip up onsmall but vital things either in the car, amongst themselves or in thetactics decided by their pits.

Nico Rosberg brought the Mercedes Benz home next with Kubica inhis Renault a consistent 7th and a credit to his team. Next was Swiss,Seb Buemi, who stays in Bahrain and is quick and finished 8th. Thetwo Force India Mercedes Benz engined cars with Liuzzi and Sutil 9thand 10th were the final points scorers.

For 40 laps the Turkish Grand Prix in front of a relatively small crowd,(probably because the entrance fees are too high for the locals) wasprocessional until Vettel challenged the leader, Mark Webber, on thebrakes and Red Bull lost their lead in the Manufacturers title.Hamilton and Button, after a small skirmish amongst themselves,went on to record a one/two with Webber hanging on for 3rd.Schumacher was 4th ahead of Rosberg.

If you want to see the brilliance of a Grand Prix driver and their teamand what they can achieve, watch qualifying on Saturday afternoonand the excitement it can bring. The tension can almost be felt on TV.And to find out more about F1 racing, listen to the different commen-tators on Friday and Saturday during unofficial practice and hear allthe inside stories told without fear or favour.

With five winners in eight races and eleven GP’s still to be held in thenext five months, going through to November, anything can still happen. Nobody is going to run away with this World Championshipeasily.

J u l y 2 0 1 078

F a s t W h e e l s

M o t o r s p o r t

Speed and Glamour“Racing is life.......anything before or after is just waiting”. These are the words ofSteve McQueen, who would undoubtedly have approved of the Gatorback FordMustang, which goes from 0 – 100 km/h in 3,1 seconds, and reaches a top speed ofover 300 km/h.

Mr. McQueen would

also have heartily

approved of a fast lady

taming this 6000cc

beast, and taking the wheel behind

450 kW of power and 650Nm of

torque, and absorbing with style and

grace lateral G-Forces of 1.8g.

The lady in question, Clare Vale, par-

ticipates competitively in the nation-

al WesBank V8 Supercar Champion-

ship series. Clare shattered the glass

ceiling of racing in November 2007

when she became the first lady racer

in this premier series, and in March 2009 she went one step

further by taking her first pole position and leading the pack for

two full laps. No longer was there a glass ceiling to be shattered,

Clare had dismantled the entire roof and consigned it to history!

The boy racers can no longer take their place on the grid with

complacency.

Backing Clare all the way is a growing band of supporters and

fans. Chief financial backer and Clare’s main sponsor is RAM

Quality Belts & Hoses, the well-known automotive parts brand

belonging to Veyance Technologies. Colin Preddy, General

Manager of Distribution Products at the Automotive Division of

Veyance Technologies, is extremely happy with the exposure that

Goodyear RAM Quality Belts & Hoses is getting, and the mar-

keting space that the Gatorback belt is now occupying. Other

advertisers can only look on with awe and envy when Clare blasts

her way down the main straight, knowing full well that a niche

has been carved by the Goodyear Gatorback RAM Team boffins.

“RAM products, underpinned by the global Goodyear brand,

have always been synonymous with high quality and exceptional

performance,” says Preddy. “We believe that our partnership with

Clare Vale highlights our total commitment to top performance

service and products for the automotive industry.”

Clare can also take pride in her fan base, and two of her more

notable fans are Bienkie and Niek Naudé (Christina Storm and

David Rees) from South Africa’s favourite soapie Egoli, and

recently a hit movie which premiered in June 2010. Christina and

David are avid fans, who rarely miss the chance to watch the

“Rolling Thunder”, by which the fastest saloon car series in the

country is now popularly known. Christina Storm was emphatic

when ABR spoke to her. “I love racing, and I’m a huge fan of the

big American muscle cars; the Mustangs, the Corvettes; and of

course the V8 Supercar series is my favourite South African

formula. Naturally, I support Clare Vale, because to see a woman

her size handle these powerful vehicles, is truly wonderful and

inspiring. Clare introduced me to racing, and now I am a speed

freak. If you want to find me at the races, the best place to look

for me is the pits. And they don’t have to ask me twice to wave the

chequered flag!”

The Wesbank V8 Supercar Championship forms part of South

Africa’s premier national motorsport championship, the Wesbank

Super Series. “Our team is a perfect fit with RAM,” Clare says.

“We share the same dedication to excellence, and are constantly

seeking ways to improve and deliver our best performance.

Motorsport is the ideal arena in which to test and prove high

performance products, and needless to say, both our Mustang race

car and MAN Top Used horse are equipped only with Goodyear-

branded RAM belts and hoses.”

Clare Vale blasts pasts the finishing line, with the boys in tow.

David Rees says that a day at the races is an absolute ball and he

equates it to “drowning in adrenalin”

79J u l y 2 0 1 0

M i d a s S p o r t

J u l y 2 0 1 080

Turning the PaigePaige Lindenberg, at the ripe old age of 18, is already a racing veteran.Exceptional, but not surprising, when one considers that Paige is the daughter ofSouth Africa’s powerboat and motor racing legend, Peter Lindenberg.

Racing genes may be coursing through her veins, but it

is still a remarkable achievement to win the Junior

Powerboat World Championships at nine years of age,

which Paige did in 2001 in Cape Town, competing

against boys and girls nearly twice her age. Paige was brought up

on the banks of the Vaal River, which gives a clue to her aquatic

feats. She took to powerboat racing like a duck to water, and by

the age of seven she was already making a splash at local events,

before stunning the world at the Junior World Championships in

2001, and continuing to rule the waves till 2003. Paige then

became a landlubber, making the transition to go-kart racing in

2004/2005, before her father and mentor, Peter Lindenberg,

decided “as a father of a daughter, to give Paige an opportunity to

be a girl”, and gently eased her out of competitive racing.

However, Paige had a need for speed, and after a two year sabbat-

ical, Peter purchased an oval track car for her, to allow her to

indulge her passion, but events overtook them when Peter sold

the WesBank Raceway in 2008, delaying Paige’s return to racing.

The disappointment was short lived, and Paige was back on the

track in 2009 when Peter purchased Simon Moss’ VW Polo, and

now you will find Paige mixing it with the boys in the Super

Saloon Modified Production Cars series, making her mark in

Class B. Paige’s race number is the iconic 23, and whilst the series

has no weight limits, which counts against her heavier car, Paige

and her father are not that stressed about winning, but see this

series as a learning curve to better things.

The Polo Cup beckons, and negotiations are already underway

with one of the top race teams, to seal an exciting deal. Girl power

is on the rise in motorsport, and Ms. Lindenberg is turning the

paige of history! Intriguingly, Paige’s true love is not motorsport,

but something far more sedate. Paige loves to bring out the thes-

pian talents of her mates at St. Stithians Girls College, and

recently she took “You Strike the Woman, You Strike the Rock”

to the finals of the Crawford One Act Play Festival, in an

inspiring directorial debut.

Paige’s main sponsors are Midas and Gatorback, with Midas

having come on board this year with their re-entry into motor-

sport sponsorship. Stefan le Roux, Midas Franchise, Marketing

and Commercial Vehicle Director, says that “this sponsorship is in

line with the extensive but low key approach that Midas is adopt-

ing this year. Midas is the preferred distributor, value added

provider and franchisor to the automotive aftermarket in South

Africa, and we have identified sponsorship opportunities that

relate to our objectives in this regard. With over 265 franchised

outlets in southern Africa, and with the biggest franchise foot-

print across the region, we need to ensure that our motorsport

activities dovetail with this geographical reality. We are active in

Production Cars, the ProTour, Formula Ford, the Clubman series,

historics, oval track, motocross, regional rallying, modified

saloons, to name a few. We want to support up and coming rac-

ers, and Paige fits the bill perfectly, and Midas will be as proud as

punch if Paige goes on to make an impact in the Polo Cup series”.

A series of articles on Midas motorsport initiatives in 2010

A happy dad – Peter Lindenberg stands with his protégé Paige during the races at Midvaal on 19th June2010. Paige had just shown the boys a thing or two by moving up six places, to finish a credible sixth in theprevious heat. Peter says that Paige has been an excellent racing student. Having taught hundreds of kids to

race, he says that girls are far easier to teach, because they listen!

Editors CommentI am extremely grateful that the FINK and his judging panel have

chosen this letter. And thanks to Hans Coetzee for his kind

words, and the opportunity to proselytise. This letter is truly a

wonderful affirmation of what I have been preaching for a long

time, and it confirms the words of Baron Claude Borlz in his Last

Writes column in our previous issue. Let me repeat these pro-

found words, “The man who stops advertising to save money is

like the man who stops the clock to save time”. So true, but in the

case of ABR, it is even more insightful, because ABR does gen-

uinely offer its advertisers a unique offering of words in action,

over and above its advertising opportunities. If you will allow me

to elucidate:

Automotive Business Review was forged in the furnace of back-

stabbing, deceit, unbelievable bad faith, hidden agendas, and evil

intent. And those were the better characteristics of the people

involved! Not an auspicious start for a publication, but two years

after the culmination of some incredibly appalling machinations

from the underworld, in hindsight I have realised it was actually

a magnificent opportunity to create something unique, and that

fortunately the ABR team took this unintended gift with alacrity,

and we now find ourselves in a great place. I am also starting to

believe in the concept of yin and yang, in that the universe always

finds a balance between the positive and the negative. Enough of

the theological musings! And back to the amazing and unique

creation known as ABR, which is a refreshing, upbeat, and funky

trade publication, and which is presented in a clear, crisp and

anecdotal style. ABR never forgets its promise to its readers, a

promise that they will receive words in action and the real deal.

With the largest authenticated B2B automotive data base in the

automotive industry, ABR can also offer an unparalleled reach

into the maze of automotive businesses dotted around the length

and breadth of South Africa – this is an offer that no other

publication in our segment of the industry can offer – period.

In addition to its prized print copies, ABR’s issues can be viewed

on its website www.abrbuzz.co.za, together with the latest news

updated on a daily basis, acquiring some 70 000 hits per month,

and growing! This is impressive in itself, but does not make ABR

outstandingly unique in its chosen segment, so let us look at

recent research conducted on the three publications in ABR’s

segment of the publishing industry, and let the facts talk for

themselves. The analysis was between ABR (Automotive Business

Review), CMW (Car Magazine Wannabe) and PRD (Press

Release Digest). Space constraints preclude the full analysis, so I

will take just three slides from the presentation to make the point.

Slide One analyses the percentage of aftermarket articles in each

publication, with ABR standing head and shoulders above the

rest with 60%. More detailed analysis reinforces this by showing

that the other publications have less than 10% genuine automo-

tive aftermarket articles, and this comes through strongly for the

readers of the publications over a period of time. As Abraham

Lincoln said, you can fool some of the people all of the time, and

all of the people some of the time, but you cannot fool all of the

people all of the time. And need I remind you that these publica-

tions are all in the automotive aftermarket segment! Then we

come to the subject of effort, or conversely sloth. Slide Two shows

the ratio of own editorial (unique in-house) to sourced editorial.

A vast discrepancy! Research for articles also plays a role in the

effort versus sloth debate, and Slide Three confirms our worst

fears on ABR’s “competitors”. ABR’s uniquely researched

automotive aftermarket articles make up 40% of its editorial,

whereas the others hardly raise a sweat.

Now you know why ABR’s unique blend of editorial and adver-

tising gets results, while the also rans can merely posture.

Ol’ Abraham certainly knew his onions. The truly remarkable

thing is that ABR does not see itself as a “flying off the shelves”

magazine. I much prefer the role of building brands – this is the

true calling of ABR. We Care, We are Ethical, and We Deliver.

Most importantly, We are Relevant!

T H e F i n k

J u l y 2 0 1 082

Dear Sir,

I am writing to you in my personal capacity to express my thanks for the role your publication played in the success of the X-431 Master

marketing campaign. Our campaign was launched with e-mails and faxes to existing customers, and we followed this up with telephone

calls and visits. To support this, we placed ads in automotive aftermarket publications, of which ABR was one. We were very happy with

the response to our ads in your publication, and upon reflection I am sure that the secret to this response was the combination of a

powerful advertisement and well written editorial content. The direct reaction to this combination has been tremendous, no two ways

about it, and the X-431 has been literally flying off the shelves. Thank you to ABR and their committed editorial staff.

Yours sincerely,

Hans CoetzeeMarketing ManagerLaunch Technologies S.A. (Pty) Ltd.

Letters to the EditorThe inaugural winner of our “Letters to the Editor” competition, pouching himself ahandy R500 Midas Gift Voucher, is Hans Coetzee, Marketing Manager of LaunchTechnologies South Africa. Hans wrote an inspiring letter to the FINK. We proudlyprint this letter, with appropriate comment from the editor.

T H e F i n k

J u l y 2 0 1 0

Win a Midas VoucherThe FINK is looking for letters to the

Editor. The more the merrier, and the more

thought provoking of these shall find their

way into ABR. The best letter will win a

Midas voucher to the value of R500. So get

out those pens and write to:

The FinkP O Box 102

Wendywood, 2144Or Fax 0866 579 289

Or email:bigheart@iafrica.comThe judges decision, no matter how one

eyed they are,

will be final.

Final commentfrom the Fink

This is an impassioned plea to the

readers who intend to have a go at

winning that R500 Midas Gift

Voucher. Please do not give this

long winded editor another

opportunity to peddle his wares.

Let’s have letters debating

editorial comment, or the

reporting style, or the weather,

or whatever – just do not give this

guy a gap again.

I would really appreciate new

issues being brought up – who

knows, we may unearth some

interesting new subjects, or even a

budding Fingal Wilde? Go for it!

83

J u l y 2 0 1 084

T h e L a s t W r i t e s by Baron Claude Borlz

“For our more discerning readers .....”

Answer from page 6

I have it on good authority that there has been an alarming number of accidents this past monthinvolving soccer tourists, who have been having problems in adapting to South Africans’ drivingstyles. It may be a case of shutting the stable door after the horses, stable hands and milking maids have hoofed it,but as a belated public service for the last week of the tournament, we give the tourists who have managed to survive, and have a good supply of Valium, some tips on travelling our manic roads:

1. Never indicate – this will giveaway your next move. A realSouth African driver neveruses indicators.

2. Under no circumstancesshould you leave a safe dis-tance between yourself andthe car in front of you. Thisspace will be filled by at leasttwo taxis and a BMW in amicro second, putting you inan even more dangerous situ-ation.

3. The faster you drive through ared light, the smaller thechance you have of gettinghit.

4. Never ever come to a com-plete stop at a stop sign. No oneexpects it and it will only result in youbeing rear-ended. And note that only avery small segment of our populationenjoys being rear-ended.

5. Braking is to be done as hard and lateas possible to ensure that your ABSkicks in, giving you a nice relaxing footmassage as the brake pedal pulsates.For those of you without ABS, it’s achance to stretch your legs. The minor-ity of drivers who enjoy being rear-ended, have a particular fascinationwith a pulsating brake pedal.

6. Never pass on the right when you canpass on the left. It’s a good way tocheck if the people entering the high-way are awake.

7. Speed limits are arbitrary figures, givenonly as a very rough guideline. Theyare especially not applicable in SouthAfrica during rush hour. That is whyit’s called “rush hour” .... have a “bribe”(anything from R20 to R2 000) readyif you get caught. Note: during rushhour you may not be moving at all. Ifso, please ignore the previous advice,unless the gridlock is caused by a policeroadblock – then you will definitelyneed “bribe” money.

8. Just because you’re in the right lane andhave no room to speed up or move overdoesn’t mean that a South African driv-er flashing his beams behind you does-n’t think he can go faster in your spot.

9. Always slow down and rubberneckwhen you see an accident or evensomeone changing a tyre. Never stop tohelp – you will be mugged, or evenworse. Rubbernecking is one of SouthAfrica’s national sports, so please bearwith us.

10. Learn to swerve abruptly. South Africais the home of the high-speed slalomdriving manoeuvre thanks to ourimpressive government with a highlydeveloped sense of humour, which putspotholes in key locations to test drivers’reflexes and to keep them on their toes.A lot of people resent being kept ontheir toes, but the vast majority of theminority who enjoy being rear-endedactually look forward to being kept ontheir toes.

11. It is traditional to honk your horn atcars that don’t move the instant thelights turn green. This prevents storksfrom building nests on top of the traf-fic lights and birds from makingdeposits on top of your car.

12. Remember that the goal of every SouthAfrican driver is to get there first, bywhatever means necessary. Beware –there are no exceptions, and we simplytake no prisoners.

13. On average, at least three cars can stillgo through an intersection after thelights turn red. It is the silly people notadhering to this basic principle whocause the big traffic jams during rushhour.

14.You may also have come tothe opinion that most SouthAfrican drivers suffer from ear-ache, and that this is as a result oflong term exposure to theVuvuzela. This is not true – thedrivers’ are merely holdingmobile phones to their ears – thisalso explains their erratic driving.

15.And last, but definitely notleast - if you spy a flashing bluelight in your rear view mirror, donot hesitate. Get out of the wayimmediately. Even if there is nospace to get out of the way, find away. If you have to drive off theroad, or off a bridge, do it. Theconsequences will be less severe

than upsetting the blue light brigade.There are various punishments for thisoffence, ranging from the mild (pistolwhipping) to the severe (shot to death).And God forbid that you delay PresidentZuma rushing off to his next extramaritalliaison – when in the mood, he does nottolerate delay, and you could be premature-ly rear-ended.

And finally, some words of wisdom tothe many procrastinators out there:

The difference betweentomorrow and today is

one heartbeat.