You may well be aware that the Lagos State Government has banned commercial motorcycles and tricycles effective 1st February 2020. Whether this sits well with you or not, you will probably be impacted by it. It does not matter if you drive every day and you have many options among your cars to pick from, this will definitely impact your business because your employees, collaborators, suppliers, and vendors will most likely receive a hit. So, what are you supposed to do?

For people who run businesses in other parts of Nigeria, especially commercial cities, please do not rejoice yet that you are not based in Lagos. We know that most of what happens in Lagos finds its way to other states. This article is not to evaluate if this policy is right or wrong (I have very strong views on this), but I will endeavor to stay the course. From today, 1st February I will release a newsletter containing topical issues that affect businesses and how you can maneuver your way around it to achieve business success. 

Now that Okada is banned, what shall the righteous do?
There are reports this morning, being Saturday, that the bus stops are full of people who want to move but can’t. Now imagine how Monday morning will look like in Lagos. How long this will this trend continue, it is hard to tell.
 
THE IMPLICATIONS AND WHAT YOU CAN DO

SHORTAGE OF BUSES

There be a shortage of buses, in fact, there is already an acute shortage of buses.
What Can You Do?INVEST IN BUSES, TAXI HAILING SERVICES, ETC. You will need to be very careful to understand the business model before jumping in. Many people have been burned by investing in transport services, so you will have to be very careful. Be mindful of government future plans for transport.

The government has an active plan to eradicate yellow buses known as “danfo”. This is not to discourage you from investing in that. It’s just to encourage you to be strategic. Will it be a short-term cash-out business for you?

How will you dispose of the bus(es) when people will no longer need them and it might become cheaper? Do you have other businesses you can convert them to be used for (like pure water transport service, just saying)?

INCREASED TRAFFIC

No Lagos resident or commuter is oblivious to the fact that the traffic in Lagos, not caused primarily by the banned okadas, is already terrible. Imagine having an increased number of vehicles on the roads in addition to what is.

Many people in Lagos do not drive for fear of traffic and so resort to bikes, now they are compelled to do so. It will not be difficult to predict that Lagos traffic will go “gangster”!

What Can You Do?Have Remote Meetings: In these days and age, it is easier to have remote meetings than ever before. WhatsApp, Skype, Zoom are good highly cost-effective methods to have beautiful and effective meetings.

You do not have to sit in any reception or loitering at an eatery hoping the other party will show up. With online meetings, you can keep doing other meaningful activities if the other party is not ready.

However, there are people who insist on having physical meetings, even in these days of tech even for deals as low as N30,000 (less than $100). You need to start the process of coaching your clients or suppliers on the benefit of using remote meetings. You may now arrange physical meetings if you have to sign heavy duty contracts and so on, but, please reduce your Lagos waka by as much as you can.

HIKE IN FARESCommercial bus drivers are notorious for taking advantage of the high demand for their services.
The most predictable thing for Monday is that fares will double or quadruple as the “evil spirits” lead them.
 
What Can You Do?Factor in Your Costs: If you don’t drive and you or your employees have to move, it’s time to start factoring in your costs. You should not be too loud about this but you should not run at a loss.

Identify and Eliminate other sources of waste: To cushion the impact of increased spending, look into your business processes and begin to identify and eliminate the sources of waste so as to keep being competitive and a high bottom line. Use Joint Rides: If you have neighbors going your way every day, you can make arrangements to use joint rides.
 
LOWER EMPLOYEE EFFECTIVENESS

Many employees will begin to arrive at the office late because buses will be scarce. Some will try their best, others will take advantage of the situation to sleep an additional hour or two. “Afterall, Lagos was already stressful, now this”, abi?

Ok. But as bad as this attitude is, many people will exhibit it. Those good employees who conscientiously try to arrive early will arrive stressed. Businesses will lose money. What Can You Do? Adjust Resumption Time: The truth is an adjustment of resumption time will help reduce the mental stress from those who loathe arriving late.

It will help them work in the best frame of mind and achieve a lot more. You may also consider shortening work duration. Now you will have to put in measures to ensure everyone is working. For example, 

1. Personal mobile phones will be used only during the break. 2. Shortened break periods, etcYou will have to look into these to see what applies to your work. Remote Work: As an entrepreneur, if you don’t have to leave home every day, please don’t. Don’t be tied to this idea that you must leave home to appear effective.

No roaming hoping to jam your helper. Be more strategic with using lead magnets and creating the right funnel to make clients stream in. There are many courses and even companies or consultants that can help you with this. For those who have employees, evaluate each person’s job function.

For those whose job specification can accommodate remote work, encourage them to work from home a day or two every week. Encourage them. Let the scope of work be clearly spelled out and put measures in place to measure effectiveness.

Evaluate the results and create procedures out of these. Staff Buses: If you have staff coming from certain locations, evaluate if it will be worth it to get a staff bus or car to convey everyone to the office and back to their nearest bus stops.

I am sure some of these will help your business cope as an entrepreneur. If you are an employee, you may share this with your employer or manager and see what can be used.