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The Strategy and Strategic Management Plans for the Mawalla Group

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<strong>The</strong> <strong>Strategy</strong> <strong>and</strong> <strong>Strategic</strong><br />

<strong>Management</strong> <strong>Plans</strong> <strong>for</strong> <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong><br />

By:<br />

Irene Ngowi (LL.B, MBA), 2009.


Table of Contents<br />

Contents<br />

1.0 Introduction: .....................................................................................................................4<br />

1.1 Background of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>: .................................................................................5<br />

2.0 <strong>Strategy</strong>, <strong>Strategic</strong> Plan <strong>and</strong> <strong>Strategic</strong> <strong>Management</strong> defined: .......................................6<br />

2.1 <strong>The</strong> importance of <strong>Strategic</strong> Planning <strong>and</strong> <strong>Management</strong>: ..............................................9<br />

3.0 How <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> initiates, <strong>for</strong>mulates <strong>and</strong> implements its <strong>Strategic</strong> <strong>Plans</strong>: . 11<br />

3.1 How a <strong>Strategic</strong> Plan is initialed <strong>and</strong> agreed upon by <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>: ............... 11<br />

3.2 <strong>The</strong> <strong>Strategy</strong> Formulation or Production Process: ........................................................ 13<br />

3.3 Clarification of Organization M<strong>and</strong>ates: ........................................................................ 18<br />

3.4 <strong>The</strong> Vision <strong>and</strong> Mission of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>: ............................................................. 21<br />

3.5 Factors considered in <strong>Strategic</strong> Planning <strong>and</strong> <strong>Management</strong> by <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>: . 23<br />

3.5.1 Assessment of <strong>the</strong> Environment: ................................................................................ 23<br />

3.5.2 Focusing on <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> Objectives: .............................................................. 27<br />

3.5.3 Resource Audit: ............................................................................................................ 31<br />

3.5.4 Analysis of Cost <strong>and</strong> Profit: ......................................................................................... 31<br />

3.5.5 Benchmarking: ............................................................................................................. 31<br />

3.5.6 Value Chain Analysis: .................................................................................................. 32<br />

3.5.7 Focusing on core competencies: ................................................................................. 32<br />

3.5.8 Application of <strong>the</strong> Shareholder value analysis: ......................................................... 34<br />

3.5.9 Assessing Parenting Advantage: ................................................................................ 34<br />

3.5.10 Portfolio Analysis:...................................................................................................... 35<br />

3.6 How <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> analyzes its environment: ..................................................... 36<br />

3.7 Implementing <strong>the</strong> <strong>Strategic</strong> Plan: ................................................................................. 39<br />

3.8 Monitoring <strong>and</strong> Reviewing <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>: ...................... 40<br />

4.0 <strong>The</strong> type of <strong>Strategic</strong> Planning applied by <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>: ................................... 41<br />

5.0 Conclusions: .................................................................................................................... 42<br />

6.0 Recommendations: .......................................................................................................... 44<br />

7.0 References: ...................................................................................................................... 46<br />

8.0 Appendices: ..................................................................................................................... 47<br />

Page 2 of 47


‘Tomorrow always arrives. It is always different, <strong>and</strong> <strong>the</strong>n even <strong>the</strong><br />

mightiest company is in trouble if it has not worked on <strong>the</strong> future’<br />

- Drucker P.F<br />

Page 3 of 47


1.0 Introduction:<br />

In an ef<strong>for</strong>t to write <strong>the</strong> <strong>Strategy</strong>, <strong>Strategic</strong> <strong>and</strong> <strong>Management</strong> <strong>Plans</strong> of <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong>, research has been conducted applying <strong>the</strong> questionnaire <strong>and</strong><br />

interview data collection methodologies to obtain <strong>the</strong> said in<strong>for</strong>mation. <strong>The</strong><br />

following shall be addressed in this document vis a vis <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>:<br />

1.1 How <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> strategy is <strong>for</strong>mulated;<br />

1.2 How <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> are initialed <strong>and</strong> agreed upon by <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong>;<br />

1.3 <strong>The</strong> objectives of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>;<br />

1.4 What <strong>the</strong> organizational m<strong>and</strong>ates <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> are;<br />

1.5 What <strong>the</strong> vision <strong>and</strong> <strong>the</strong> mission of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> is;<br />

1.6 How <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> assesses its environment in crafting<br />

its <strong>Strategic</strong> <strong>Plans</strong>;<br />

1.7 How <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> are produced;<br />

1.8 How <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> are<br />

implemented;<br />

1.9 How <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> are reviewed.<br />

This document shall establish of <strong>the</strong> type of <strong>Strategy</strong>, <strong>the</strong> <strong>Strategic</strong> <strong>and</strong><br />

<strong>Management</strong> <strong>Plans</strong> in place <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> <strong>and</strong> shall present evidence<br />

<strong>for</strong> <strong>the</strong> same. Towards <strong>the</strong> end of this document, a critic of <strong>the</strong> <strong>Strategic</strong><br />

<strong>Management</strong> process shall be made, <strong>and</strong> recommendation(s) as to ways to<br />

improve <strong>the</strong> same shall be provided.<br />

Page 4 of 47


1.1 Background of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>:<br />

<strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> encompasses <strong>the</strong> group of companies that appears in<br />

Figure 1 as part <strong>the</strong> appendices of this document, basically comprising of<br />

<strong>Mawalla</strong> Advocates, <strong>Mawalla</strong> Trust Limited, <strong>Mawalla</strong> Corporate Centre (which<br />

comprises of <strong>Mawalla</strong> Corporate Services Limited, <strong>Mawalla</strong> Financial Services<br />

Limited, <strong>and</strong> <strong>Mawalla</strong> Holdings Limited). <strong>The</strong> core business of <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong> is Law Practice, which is operated through <strong>Mawalla</strong> Advocates, under<br />

<strong>the</strong> leadership of Mr. Nyaga <strong>Mawalla</strong> (hereinafter referred to as ‘Mr.<br />

<strong>Mawalla</strong>’).<br />

It was in 1998 that Mr. <strong>Mawalla</strong> began to <strong>for</strong>m <strong>the</strong> <strong>Strategy</strong> Map of <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong> as appearing under Figure 1 of this document; however, it<br />

was not until 2002 when <strong>the</strong> <strong>Strategy</strong> was set to motion. Mr. <strong>Mawalla</strong> left<br />

Kibo Chambers (a law office in Moshi belonging to his fa<strong>the</strong>r <strong>and</strong> mentor –<br />

Advocate Juma R.S. <strong>Mawalla</strong>) to move to Arusha, whereupon he established<br />

his own Law Firm called <strong>Mawalla</strong> Advocates (hereinafter cited as ‘<strong>the</strong><br />

Firm’), <strong>the</strong>n located at Moivaro, in <strong>the</strong> outskirts of Arusha.<br />

Mr. <strong>Mawalla</strong>, who is not only a brilliant man, but also an astute business<br />

man, strategically settled in Arusha, to build a prominent <strong>and</strong> dynamic Firm<br />

following his predecessor. Mr. <strong>Mawalla</strong>, after a thorough assessment of <strong>the</strong><br />

market needs of <strong>the</strong> people of Arusha, strategically made <strong>the</strong> decision of<br />

focusing on corporate governance, wildlife law, real estate, wealth<br />

structuring <strong>and</strong> management. He fur<strong>the</strong>r assembled a team of young<br />

motivated lawyers, offering specialized skills in <strong>the</strong> disciplines of corporate<br />

law, wildlife law, real estate law, trust law <strong>and</strong> l<strong>and</strong> law 1 .<br />

As <strong>the</strong> Firm’s business grew, its supporting infrastructure needed to exp<strong>and</strong>,<br />

hence in 2006 <strong>the</strong> Firm moved to a more permanent location, a private<br />

1 <strong>Mawalla</strong> Corporate Brochure; 2009; Page 9<br />

Page 5 of 47


estate in Arusha’s Burka suburb, now called <strong>the</strong> <strong>Mawalla</strong> Heritage Park.<br />

<strong>Mawalla</strong> Heritage Park houses <strong>the</strong> <strong>Mawalla</strong> Law Offices (including <strong>Mawalla</strong><br />

Advocates <strong>and</strong> <strong>Mawalla</strong> Trust Limited), <strong>the</strong> <strong>Mawalla</strong> Corporate Centre<br />

(including <strong>the</strong> <strong>Mawalla</strong> Corporate Services Limited, <strong>Mawalla</strong> Financial<br />

Services Limited <strong>and</strong> <strong>Mawalla</strong> Holdings Limited) as well as a private<br />

restaurant <strong>and</strong> eight st<strong>and</strong> alone residential units 2 .<br />

This infrastructure has been strategically developed to serve an elite<br />

clientele who seek services in Real Estate Law, Trust <strong>and</strong> <strong>Management</strong> Law,<br />

Corporate Law <strong>and</strong> Asset <strong>Management</strong>.<br />

2.0 <strong>Strategy</strong>, <strong>Strategic</strong> Plan <strong>and</strong> <strong>Strategic</strong> <strong>Management</strong> defined:<br />

<strong>Strategy</strong> in simple English has been defined as a plan that is intended to<br />

achieve a particular purpose 3 . <strong>Strategy</strong> is a goal directed business decision<br />

<strong>and</strong> action in which capabilities <strong>and</strong> resources are matched with <strong>the</strong><br />

opportunities <strong>and</strong> threats in its environment 4 .<br />

<strong>The</strong> term strategic planning is thought to have originated from <strong>the</strong> term<br />

‘Corporate Planning,’ which had almost taken over by <strong>the</strong> end of <strong>the</strong><br />

1960’s, partly because it was linked to both <strong>the</strong> long <strong>and</strong> short term plans,<br />

which enabled <strong>the</strong> management to set strategies that would take <strong>the</strong><br />

organization to a different <strong>and</strong> predetermined future 5 . Although operational<br />

planning <strong>and</strong> strategic planning are intertwined, it is <strong>the</strong> latter that is <strong>the</strong><br />

driver, <strong>and</strong> short term plans <strong>and</strong> systems are driven by <strong>the</strong> longer term<br />

perspectives, <strong>and</strong> it was because of this that ‘strategic planning’ took over<br />

2<br />

<strong>Mawalla</strong> Corporate Brochure; 2009; Page 10<br />

3 th<br />

Ox<strong>for</strong>d Advanced Learner’s Dictionary; 6 Edition; Ox<strong>for</strong>d University Press;2000<br />

4<br />

Research <strong>and</strong> Discussions, 2009<br />

5<br />

Hussey,D; <strong>Strategic</strong> <strong>Management</strong> <strong>for</strong> <strong>the</strong>ory to implementation; 4th edition; Butterworth Heinemann; 1998; Pg 7.<br />

Page 6 of 47


from ‘corporate planning’ 6 . <strong>Strategic</strong> planning places more concentration into<br />

strategy in relation to <strong>the</strong> business environment, markets <strong>and</strong> competitors,<br />

<strong>the</strong> most common process is based on <strong>the</strong> preparation of corporate wide<br />

plans, with submissions from <strong>the</strong> various business units being discussed<br />

with top management of <strong>the</strong> organization 7 . <strong>Strategic</strong> Planning focuses on<br />

<strong>Strategy</strong> Formulation <strong>and</strong> not <strong>Strategy</strong> Implementation. It involves <strong>the</strong><br />

identification of alternatives, <strong>the</strong> collection of in<strong>for</strong>mation, evaluation <strong>and</strong><br />

selection of alternatives <strong>and</strong> finally <strong>the</strong> strategic decisions <strong>the</strong>mselves 8 . A<br />

strategic plan consists of an organization’s mission <strong>and</strong> vision statements;<br />

<strong>the</strong> organizations near <strong>and</strong> long term per<strong>for</strong>mance targets; <strong>the</strong><br />

organization’s strategy. 9<br />

In <strong>Strategic</strong> <strong>Management</strong>, <strong>Strategic</strong> Planning is still important, but it is only<br />

a component. <strong>Strategic</strong> <strong>Management</strong> includes internal elements of <strong>the</strong><br />

organization such as style, structure <strong>and</strong> climate. It also includes<br />

implementation, control <strong>and</strong> consideration of <strong>the</strong> ‘soft’ elements of <strong>the</strong><br />

environment. It is about <strong>the</strong> management of <strong>the</strong> total organization, in order<br />

to create <strong>the</strong> future. <strong>Strategic</strong> <strong>Management</strong> has three main elements:<br />

1. <strong>Strategic</strong> analysis – in which <strong>the</strong> strategist(s) seeks to underst<strong>and</strong><br />

<strong>the</strong> strategic position of <strong>the</strong> organization;<br />

2. <strong>Strategic</strong> choice stage – in which <strong>the</strong> strategist(s) <strong>for</strong>mulates of<br />

possible courses of action, <strong>the</strong>ir evaluation, <strong>and</strong> <strong>the</strong> choice between<br />

<strong>the</strong>m;<br />

3. <strong>Strategic</strong> implementation – in <strong>the</strong> strategist(s) plans how <strong>the</strong> choice<br />

of strategy can be put into effect.<br />

6 Hussey,D; <strong>Strategic</strong> <strong>Management</strong> <strong>for</strong> <strong>the</strong>ory to implementation; 4th edition; Butterworth Heinemann; Pg 10<br />

7 Ibid; Pg 11<br />

8 Ibid; Pg 297-8<br />

9 Research <strong>and</strong> Discussions, 2009<br />

Page 7 of 47


<strong>The</strong> development of <strong>the</strong> concept of strategic management became thick in<br />

<strong>the</strong> 1980’s <strong>and</strong> a good example of <strong>the</strong> key main stream thinker was Michael<br />

Porter 10 . According to Porter, <strong>the</strong>re are three generic strategies available to<br />

all organizations: cost leadership, differentiation <strong>and</strong> focus. He argued<br />

fur<strong>the</strong>r that <strong>the</strong> frequent shifts in strategy would leave a company mediocre<br />

at everything 11 . Quinn 12 argued that strategy should evolve on internal<br />

decisions <strong>and</strong> external events that flow toge<strong>the</strong>r to create new, widely<br />

shared consensus <strong>for</strong> action among key members of <strong>the</strong> top management<br />

team. Hamel <strong>and</strong> Prahadal 13 later on emphasized on <strong>the</strong> internal<br />

capabilities of <strong>the</strong> firm, through <strong>the</strong> choosing <strong>and</strong> development of core<br />

competencies, which enable <strong>the</strong> firm to gain competitive success. <strong>The</strong>y<br />

emphasize on strategic intent <strong>and</strong> core competencies. Kay 14 also contributed<br />

by building on competency <strong>and</strong> value chain concepts. He sees strategic<br />

success as deriving from distinctive capability that an organization can use in<br />

selected markets to achieve a sustainable position, <strong>and</strong> give customers<br />

added value. Kay believes that firms that are successful in innovation are<br />

often able to do so because of <strong>the</strong> strengths <strong>the</strong>y have developed in <strong>the</strong>ir<br />

architecture, which enable <strong>the</strong>m to generate a continuous flow of<br />

innovations, or move more rapidly than o<strong>the</strong>rs to get an innovation to <strong>the</strong><br />

market 15 .<br />

With <strong>the</strong> turn of <strong>the</strong> millennium, came new contingency approaches to<br />

<strong>Strategic</strong> <strong>Management</strong>, which were advocated by thinkers such as Igor<br />

Ansoff, who focused on <strong>the</strong> external circumstances which organizations<br />

operated, <strong>and</strong> hence came up with <strong>the</strong> five turbulence <strong>the</strong>ory, with each of<br />

10 Hussey,D; Op cit; Pg 13<br />

11 Porter, M.E; Competitive <strong>Strategy</strong>; Free Press New York; 1980.<br />

12 Quinn, J.B; Strategies <strong>for</strong> Change: Logical Incrementalism: Irwin, Homewood, IL. 1980<br />

13 Hemel, G. <strong>and</strong> Prahadal, C. K; Competing <strong>for</strong> <strong>the</strong> future; Harvard Business school Press, Boston 1996<br />

14 Kay, J.; Foundations of Corporate Success: How Business Strategies Add Value; Ox<strong>for</strong>d University Press, Ox<strong>for</strong>d,<br />

1993.<br />

15 Hussey ,D.; Op cit: Pg 17<br />

Page 8 of 47


which was associated with an optimal way of strategic management 16 .<br />

D’Aveni 17 proposes a different strategic approach <strong>for</strong> firms which operate in<br />

conditions of hypercompetition, which is <strong>the</strong> condition of ever higher levels<br />

of uncertainty, turbulence, diversity of competitors <strong>and</strong> hostility. He argues<br />

that <strong>Strategic</strong> <strong>Management</strong> is no longer about creating long term<br />

competitive advantage, which is un-stainable, but is about continually<br />

changing <strong>the</strong> patterns of markets, seeking temporary advantages <strong>and</strong><br />

maintaining <strong>the</strong> momentum of change.<br />

Conclusively, <strong>the</strong> above review suggests that <strong>the</strong>re are five areas of critical<br />

importance in successful <strong>Strategic</strong> <strong>Management</strong>, of which none should be<br />

neglected 18 . <strong>The</strong>se are:<br />

1. <strong>The</strong> Capabilities of Decision Leaders;<br />

2. Analysis;<br />

3. Creative <strong>Strategic</strong> thinking;<br />

4. <strong>Strategic</strong> Decision Process; <strong>and</strong><br />

5. Implementation.<br />

2.1 <strong>The</strong> importance of <strong>Strategic</strong> Planning <strong>and</strong> <strong>Management</strong>:<br />

<strong>The</strong> justification <strong>for</strong> <strong>Strategic</strong> <strong>Management</strong> is that, it is believed that through<br />

it, <strong>the</strong> organization can have a successful future. Logical considerations lead<br />

to an expectation that planning procedures will bring more profits than <strong>the</strong>y<br />

cost 19 . Planning can be carried well or it can be done badly; however,<br />

whatever <strong>the</strong> method used, it is evident that since <strong>the</strong> 1970’s research has<br />

16 Hussey, D.; Opt cit; Pg 20<br />

17 D’Aveni, R.; Hyper-competition: Managing <strong>the</strong> Dynamics Of <strong>Strategic</strong> Maneuvering; Free Press, New York, 1994.<br />

18 Hussey, D.; Op cit; Pg 22<br />

19 Hussey, D.; Op cit; Pg 27<br />

Page 9 of 47


shown that strategic planning has become established in most organizations<br />

of any size. It is argued that strategic planning may:<br />

1. Help to produce clear objectives <strong>and</strong> logical evaluation of <strong>the</strong> plans;<br />

2. Lead to <strong>the</strong> assessment of strengths <strong>and</strong> weakness, which may in turn<br />

lead to immediate profit improvement opportunities;<br />

3. Coordinate ability of strategic planning may bring an immediate<br />

improvement in communication;<br />

4. Be a factor which leads to organizational change;<br />

5. Lead to results which can often be quantified <strong>and</strong> frequently<br />

impressive;<br />

6. In <strong>the</strong> long run lead to sustained growth <strong>and</strong> profitability;<br />

7. Lead to clarity of purpose of <strong>the</strong> organization;<br />

8. Lead to better identification of additional opportunities <strong>and</strong> better<br />

coordination;<br />

9. Lead to better decision making 20 .<br />

<strong>Strategic</strong> <strong>Management</strong> is in large part about setting corporate strategy in<br />

relation to <strong>the</strong> opportunities <strong>and</strong> threats of <strong>the</strong> market place <strong>and</strong> <strong>the</strong><br />

business environment. 21 So <strong>the</strong>re is every reason as to why organizations<br />

should commit to strategic management, however, <strong>the</strong>re are four areas of<br />

weakness which have been observed to contribute to poor strategic<br />

per<strong>for</strong>mance. <strong>The</strong>se are:<br />

1. Failure to analyze <strong>the</strong> situation be<strong>for</strong>e strategic decisions are made;<br />

2. Failure to implement strategic decisions, including failure to think<br />

through <strong>the</strong> implications of a new strategy;<br />

3. Problems with <strong>the</strong> process of planning itself;<br />

20 Research <strong>and</strong> Discussions, 2009<br />

21 Hussey, D.; Op cit; Pg 38<br />

Page 10 of 47


4. Incomplete underst<strong>and</strong>ing of many of <strong>the</strong> concepts by those claiming<br />

to apply <strong>the</strong>m.<br />

Having briefly looked at <strong>the</strong> historical development of strategic planning <strong>and</strong><br />

management <strong>and</strong> its importance, let us now address <strong>the</strong> root of <strong>the</strong> matter.<br />

3.0 How <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> initiates, <strong>for</strong>mulates <strong>and</strong> implements<br />

its <strong>Strategic</strong> <strong>Plans</strong>:<br />

3.1 How a <strong>Strategic</strong> Planning process is initialed <strong>and</strong> agreed upon<br />

by <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>:<br />

According to Mr. <strong>Mawalla</strong>, <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> has opted to use <strong>the</strong> Chief<br />

Architect Approach (whereby <strong>the</strong>re is only one major player, being Mr.<br />

<strong>Mawalla</strong>) as a <strong>Strategic</strong> Planning initiation <strong>and</strong> <strong>for</strong>mulation process as<br />

discussed below <strong>for</strong> <strong>the</strong> simple reason that <strong>the</strong> core business of <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong> is Law Practice. <strong>The</strong> <strong>Strategic</strong> <strong>Plans</strong> <strong>for</strong> <strong>the</strong> <strong>Group</strong> are initialed in <strong>the</strong><br />

following manner:<br />

3.1.1 Mr. <strong>Mawalla</strong> presents a <strong>Strategic</strong> Plan as an idea to <strong>the</strong> five main<br />

Associates at a meeting of <strong>the</strong> Associates of <strong>Mawalla</strong> Advocates.<br />

<strong>The</strong>re are instances in which anyone of <strong>the</strong> five main Associates<br />

may initial a <strong>Strategic</strong> Plan, <strong>and</strong> a meeting is held to discuss <strong>the</strong><br />

same. However, such situations are rare.<br />

3.1.2 <strong>The</strong> <strong>Strategic</strong> Plan is <strong>the</strong>n processed by deliberation, assessing<br />

<strong>the</strong> legal, financial, <strong>and</strong> sometimes ethical outcome <strong>for</strong> <strong>the</strong><br />

implementation of <strong>the</strong> strategy.<br />

3.1.3 <strong>The</strong> implementation process <strong>and</strong> <strong>the</strong> evaluation process of <strong>the</strong><br />

<strong>Strategic</strong> Plan are agreed upon.<br />

Page 11 of 47


3.1.4 Once <strong>the</strong> <strong>Strategic</strong> Plan has been introduced at <strong>the</strong> first meeting,<br />

Mr. <strong>Mawalla</strong> <strong>the</strong>n packages <strong>the</strong> <strong>Strategic</strong> Plan (by polishing <strong>the</strong><br />

idea(s) in consultation with relevant persons <strong>and</strong> organizations in<br />

Tanzania <strong>and</strong> abroad <strong>and</strong> also by reviewing <strong>the</strong> internal process<br />

of how <strong>the</strong> <strong>Strategic</strong> Plan shall be implemented to completion).<br />

3.1.5 Mr. <strong>Mawalla</strong> <strong>the</strong>reafter calls ano<strong>the</strong>r meeting in which <strong>the</strong><br />

<strong>Strategic</strong> Plan is once again deliberated, appraised <strong>and</strong> or<br />

criticized (if need be).<br />

3.1.6 Once <strong>the</strong> <strong>Strategic</strong> Plan is understood <strong>and</strong> <strong>the</strong> <strong>Strategic</strong><br />

implementation process is agreed upon, <strong>the</strong> implementation<br />

process is set to motion by <strong>the</strong> Heads of Departments <strong>and</strong> <strong>the</strong><br />

various staff beneath <strong>the</strong>m 22 .<br />

<strong>The</strong> advantages <strong>and</strong> disadvantages of <strong>the</strong> said <strong>Strategic</strong> Plan initiation <strong>and</strong><br />

<strong>for</strong>mulation process are as follows:<br />

A. Advantages of this <strong>Strategic</strong> Plan initiation <strong>and</strong> <strong>for</strong>mulation<br />

process:<br />

1) This approach ensures that <strong>the</strong>re are no variations in <strong>the</strong> Business<br />

<strong>Strategy</strong>, i.e. <strong>the</strong> Blue Ocean <strong>Strategy</strong> as discussed on page 41 of this<br />

document by <strong>the</strong> <strong>Group</strong> <strong>and</strong> or dissimilar interpretations in <strong>the</strong><br />

application of <strong>the</strong> law at <strong>Mawalla</strong> Advocates; hence creating a united<br />

<strong>Mawalla</strong> Way. This is reflected in <strong>the</strong> systems that are developed to<br />

ensure that <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> is run uni<strong>for</strong>mly <strong>and</strong> <strong>the</strong> clients are<br />

served accordingly.<br />

2) This approach also ensures that <strong>the</strong>re is one point of control <strong>and</strong> that<br />

<strong>the</strong> same rests with <strong>the</strong> Mr. <strong>Mawalla</strong>.<br />

22 Interview with Mr. <strong>Mawalla</strong>; 30 th of June 2009; Completed Questionnaire attached as an appendix herewith.<br />

Page 12 of 47


3) This approach ensures that <strong>Strategy</strong> <strong>and</strong> <strong>Strategic</strong> <strong>Plans</strong> are<br />

implemented as it is presented; not withst<strong>and</strong>ing <strong>the</strong> normal <strong>and</strong><br />

necessary adjustments that are made on parts of <strong>the</strong> <strong>Strategic</strong> Plan.<br />

B. Disadvantages of this <strong>Strategic</strong> Plan initiation <strong>and</strong> <strong>for</strong>mulation<br />

process:<br />

1) <strong>The</strong> down fall of this <strong>Strategic</strong> Plan initiation <strong>and</strong> <strong>for</strong>mulation process is<br />

that, <strong>the</strong> people involved in <strong>the</strong> implementation of <strong>the</strong> <strong>Strategic</strong> Plan<br />

need to be made to underst<strong>and</strong> fully <strong>the</strong> Business <strong>Strategy</strong> of <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong>, <strong>the</strong> <strong>Strategic</strong> Plan itself, envision <strong>the</strong> results <strong>and</strong><br />

pursue whole heartedly <strong>the</strong> objectives of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>. This<br />

sometimes tends to be a difficult task, <strong>and</strong> Mr. <strong>Mawalla</strong> may need to<br />

massively educate <strong>the</strong> implementers <strong>and</strong> sometimes <strong>the</strong> implementers<br />

of <strong>the</strong> <strong>Strategic</strong> Plan may not underst<strong>and</strong> or agree <strong>and</strong> hence fail to<br />

implement <strong>the</strong> <strong>Strategic</strong> Plan accordingly.<br />

2) This <strong>Strategic</strong> Plan initiation <strong>and</strong> <strong>for</strong>mulation process sometimes leads<br />

<strong>the</strong> implementers to believe that <strong>the</strong>y are merely implementing <strong>the</strong><br />

ideas of one visionary.<br />

3) When Mr. <strong>Mawalla</strong> is not available to make a final decision, <strong>the</strong><br />

implementers may be str<strong>and</strong>ed <strong>and</strong> left without a <strong>Strategic</strong> leader.<br />

3.2 <strong>The</strong> <strong>Strategy</strong> Formulation Process:<br />

<strong>Strategy</strong> <strong>for</strong>mulation involves doing a situation analysis internally <strong>and</strong><br />

externally at <strong>the</strong> micro <strong>and</strong> macro environmental levels. Concurrent with this<br />

assessment <strong>the</strong> objectives are set. It also involves <strong>the</strong> crafting of <strong>the</strong> vision<br />

statement, <strong>the</strong> mission statement, <strong>the</strong> role of <strong>the</strong> organization in <strong>the</strong> society,<br />

<strong>the</strong> overall corporate objectives (financial <strong>and</strong> strategic), <strong>the</strong> business unit<br />

Page 13 of 47


objectives (financial <strong>and</strong> strategic) <strong>and</strong> <strong>the</strong> tactical objectives. <strong>The</strong>se<br />

objectives should suggest a <strong>Strategic</strong> Plan <strong>and</strong> <strong>the</strong> plan should provide <strong>the</strong><br />

details as to how to achieve <strong>the</strong> objectives. This is sometimes referred to as<br />

determining where you are now, determining where you want to go,<br />

<strong>and</strong> <strong>the</strong>n determining how you want to get <strong>the</strong>re 23 .<br />

A good Company <strong>Strategy</strong> should consist of <strong>the</strong> following:<br />

1. Reaction <strong>and</strong> response to <strong>the</strong> external <strong>and</strong> internal environments;<br />

2. Actions to alter geographic coverage;<br />

3. Actions to merge with or acquire ano<strong>the</strong>r company;<br />

4. Actions to <strong>for</strong>m strategic alliances or partnerships;<br />

5. Actions to capitalize on new opportunities <strong>and</strong> defend against threats;<br />

6. Approaches to defining how <strong>the</strong> company manages key functional<br />

areas;<br />

7. Actions to streng<strong>the</strong>n company resource base <strong>and</strong> competitive<br />

capabilities;<br />

8. Actions to diversify revenue base <strong>and</strong> enter altoge<strong>the</strong>r new industries<br />

of businesses;<br />

9. Actions <strong>and</strong> initiatives to outcompete rivals.<br />

Following an interview with <strong>the</strong> CEO of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> 24 , <strong>the</strong>se are <strong>the</strong><br />

findings regarding <strong>the</strong> short, long strategic <strong>and</strong> management plans / targets<br />

of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>:<br />

A. <strong>The</strong> short term <strong>Strategic</strong> <strong>Plans</strong> <strong>for</strong> <strong>Mawalla</strong> <strong>Group</strong> consists of:<br />

1) Creating a product line to sell under <strong>the</strong> <strong>Mawalla</strong> Br<strong>and</strong>. This<br />

product line will comprise of services that are offered under<br />

23 Research <strong>and</strong> Discussions, 2009<br />

24 Interview with Mr. <strong>Mawalla</strong>; 30 th of June 2009; Completed Questionnaire attached as an appendix herewith.<br />

Page 14 of 47


<strong>Mawalla</strong> & Advocates; <strong>Mawalla</strong> Financial Services; <strong>Mawalla</strong><br />

Corporate Services <strong>and</strong> <strong>Mawalla</strong> Real Estate Services.<br />

2) Creating systems that will enable <strong>the</strong> use of <strong>the</strong> product line <strong>and</strong><br />

ensure that <strong>the</strong> products under <strong>the</strong> br<strong>and</strong> reach <strong>the</strong> desired target<br />

groups – i.e. individuals <strong>and</strong> corporations (public <strong>and</strong> private). <strong>The</strong><br />

following systems have been created already:<br />

2.1 <strong>The</strong> corporate data profile – a system to be utilized by<br />

<strong>Mawalla</strong> Corporate Services Limited;<br />

2.2 <strong>The</strong> property data profile – a system to be utilized by<br />

<strong>Mawalla</strong> Advocates under <strong>the</strong> Real Estate Services<br />

Department;<br />

2.3 <strong>The</strong> financial data profile – system to be utilized by<br />

<strong>Mawalla</strong> Financial Services Limited.<br />

3) Roll out <strong>the</strong> three systems to individuals <strong>and</strong> corporations (public<br />

<strong>and</strong> private) within <strong>the</strong> country <strong>for</strong> use. This is will involve a<br />

marketing strategy as <strong>the</strong> target group above cited will be at liberty<br />

to buy (at a nominal value) <strong>and</strong> use <strong>the</strong> systems. However, <strong>the</strong> said<br />

end users will not be at liberty to alter or change <strong>the</strong> systems<br />

without <strong>the</strong> authorization of <strong>Mawalla</strong>. Thus, <strong>Mawalla</strong> shall reserve all<br />

rights of <strong>the</strong> systems under <strong>the</strong> br<strong>and</strong> <strong>Mawalla</strong>.<br />

B) <strong>The</strong> Long term <strong>Strategic</strong> <strong>and</strong> <strong>Management</strong> <strong>Plans</strong> <strong>for</strong> <strong>the</strong> core<br />

business of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> (operating under <strong>Mawalla</strong><br />

Advocates) is wealth creation <strong>and</strong> management, which will be<br />

done through <strong>the</strong> provision of <strong>the</strong> following services:<br />

1) <strong>The</strong> Provision of Real Estate Services by implementing real estate<br />

legislation; planning <strong>and</strong> zoning; advising on real estate finance;<br />

Page 15 of 47


eal estate investment, real estate investment trusts, real estate<br />

litigation, real estate private equity, real estate securitization <strong>and</strong><br />

real estate tax.<br />

2) <strong>The</strong> Provision of Trust <strong>and</strong> <strong>Management</strong> services by establishing <strong>and</strong><br />

managing trusts, advising on asset protection schemes, preparing<br />

wills <strong>and</strong> administering deceased persons’ estates, acting as<br />

attorneys, providing independent trustees <strong>and</strong> corporate trustee<br />

services, setting up charitable trusts <strong>and</strong> companies <strong>and</strong> providing<br />

custodial or nominee management services.<br />

3) <strong>The</strong> Provision of corporate services by building, managing <strong>and</strong><br />

maintaining groups of companies on behalf of o<strong>the</strong>r corporations;<br />

per<strong>for</strong>ming complex mergers <strong>and</strong> acquisitions; overseeing private<br />

equity <strong>and</strong> private equity funds <strong>and</strong> advising on all aspects of<br />

corporate management <strong>and</strong> governance.<br />

4) <strong>The</strong> Provisions of Asset <strong>Management</strong> services by advising on asset<br />

management <strong>and</strong> investment, including outsourcing of <strong>the</strong> same to<br />

expert consultants in Tanzania <strong>and</strong> abroad.<br />

5) <strong>The</strong> creation <strong>and</strong> management an Institute of Chartered Secretaries<br />

(ICS) in Tanzania <strong>and</strong> <strong>the</strong> training of young lawyers on how to<br />

become chartered secretaries <strong>for</strong> companies in East Africa.<br />

6) <strong>The</strong> <strong>for</strong>mation of a partnership with Rooth Wessels Motla Conradie<br />

(Pretoria – Brooklyn, a law firm in <strong>the</strong> Republic of South Africa) <strong>and</strong><br />

or any o<strong>the</strong>r Law Firm anywhere else in <strong>the</strong> world, <strong>and</strong> ano<strong>the</strong>r<br />

partnership with <strong>the</strong> University of Free State in <strong>the</strong> Republic of<br />

South Africa <strong>and</strong> or any o<strong>the</strong>r University anywhere else in <strong>the</strong> world<br />

<strong>and</strong> work towards developing new product lines <strong>for</strong> use in both<br />

jurisdictions.<br />

Page 16 of 47


7) <strong>The</strong> management of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> in Partnership with <strong>the</strong> five<br />

main Associates of <strong>Mawalla</strong> Advocates, legal procedures are<br />

underway to make Lemmy Bartholomew a Partner in <strong>the</strong> Firm by<br />

means of a Limited Liability Partnership (LLP).<br />

8) <strong>The</strong> entering into a Public Private Partnership (PPP) with <strong>the</strong><br />

Business Registrations & Licensing Agency (BRELA) to provide<br />

corporate services to all 26 regions of Tanzania by opening an office<br />

in all regional capitals of Tanzania, starting with four (4) in <strong>the</strong> next<br />

five (5) years.<br />

9) <strong>The</strong> entering into a Public Private Partnership (PPP) with <strong>the</strong><br />

Tanzania Investment Center (TIC), as well as work with<br />

programmes such as Mpango wa Kurasimisha Rasilimali na Biashara<br />

za Wanyonge Tanzania ( MKURABITA) (<strong>the</strong> programe <strong>for</strong> <strong>the</strong> legal<br />

<strong>and</strong> economic empowerment of <strong>the</strong> poor in Tanzania); <strong>and</strong><br />

MKUKUTA (National <strong>Strategy</strong> <strong>for</strong> growth <strong>and</strong> Reduction of Poverty in<br />

Tanzania), in order to assist in poverty reduction by making access<br />

easier to business <strong>for</strong>malization in Tanzania by rolling out corporate<br />

services in all <strong>the</strong> regions of Tanzania.<br />

10) <strong>The</strong> provision of tax <strong>and</strong> financial advise through <strong>Mawalla</strong> Financial<br />

Services Limited to public <strong>and</strong> private corporations, hence assist <strong>the</strong><br />

Tanzania Revenue Authority (TRA) to collect taxes in <strong>the</strong>ir capacity<br />

as tax consultants.<br />

11) <strong>The</strong> provision of legal corporate securities services through <strong>Mawalla</strong><br />

Corporate Services Limited to Major Banks throughout <strong>the</strong><br />

Nor<strong>the</strong>rn Region of Tanzania.<br />

12) <strong>The</strong> setting up of a Research <strong>and</strong> Development (R&D) Department<br />

within <strong>Mawalla</strong> Advocates that shall provide legal opinions on<br />

Page 17 of 47


various legal issues to individuals <strong>and</strong> corporations (private <strong>and</strong><br />

public) on diverse legal issues.<br />

<strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> <strong>Strategy</strong> is periodically developed, <strong>for</strong> a term of five<br />

years each. <strong>The</strong> following are <strong>the</strong> <strong>Strategic</strong> Periods under which <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong> has been operating; <strong>the</strong>se shall be elaborated on page 24-27:<br />

• Phase One <strong>Strategy</strong>: From 1998 – 2003 – During this Period, <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Strategy</strong> was focused on <strong>the</strong> development of infrastructure,<br />

assessment of its competitors <strong>and</strong> <strong>the</strong> opportunities available.<br />

• Phase Two <strong>Strategy</strong>: From 2003 -2008 – During this Period <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Strategy</strong> was focused on <strong>the</strong> development of internal systems,<br />

creation of product lines, br<strong>and</strong>ing <strong>and</strong> marketing.<br />

• Phase Three <strong>Strategy</strong>: From 2008 – 2013 – During this Period, <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Strategy</strong> is focused on perfecting <strong>the</strong> legal skills of <strong>the</strong><br />

lawyers, assessing its resources, consolidating its businesses, directing<br />

its focus on its capabilities, strengths <strong>and</strong> pursuing its current<br />

<strong>Strategic</strong> <strong>Plans</strong> <strong>and</strong> <strong>Strategic</strong> <strong>Management</strong> module.<br />

3.3 Clarification of Organization M<strong>and</strong>ates:<br />

<strong>The</strong> m<strong>and</strong>ates of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> lay with <strong>the</strong> various officials of <strong>the</strong><br />

Companies under <strong>the</strong> <strong>Group</strong> as follows, beginning from <strong>the</strong> top:<br />

A. Mr. <strong>Mawalla</strong> (<strong>the</strong> Sole Proprietor of <strong>Mawalla</strong> Advocates):<br />

1) He is <strong>the</strong> ultimate boss, who makes all of <strong>the</strong> <strong>Strategic</strong> decisions.<br />

His decisions are final;<br />

2) He decides on <strong>the</strong> Business <strong>Strategy</strong> of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>,<br />

initiates <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong>, sees through <strong>the</strong> implementation of<br />

Page 18 of 47


<strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> <strong>and</strong> evaluates <strong>the</strong> outcome of <strong>the</strong> <strong>Strategic</strong><br />

<strong>Plans</strong>;<br />

3) He provides <strong>the</strong> <strong>Strategic</strong> Vision, <strong>the</strong> Objectives <strong>and</strong> <strong>the</strong> Values<br />

(Honor Code) <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>;<br />

4) He selects <strong>the</strong> clients, <strong>the</strong> projects, marks <strong>the</strong> time frames <strong>and</strong><br />

<strong>the</strong> financial investment to be injected into each project;<br />

5) He decides on <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> <strong>and</strong> <strong>Strategic</strong> <strong>Management</strong>;<br />

6) He decides on <strong>the</strong> operations of <strong>the</strong> Departments under <strong>Mawalla</strong><br />

Advocates <strong>and</strong> <strong>the</strong> budget <strong>and</strong> profit allocation to each<br />

Department;<br />

7) He is <strong>the</strong> pioneer developer of <strong>the</strong> various product lines <strong>and</strong> <strong>the</strong><br />

data base systems, he is also <strong>the</strong> sole owner of <strong>the</strong> copyrights to<br />

<strong>the</strong> systems developed under <strong>the</strong> <strong>Mawalla</strong> Br<strong>and</strong>;<br />

8) He is <strong>the</strong> backbone <strong>and</strong> think tank of <strong>the</strong> entire <strong>Mawalla</strong> <strong>Group</strong>.<br />

B. Senior Associates:<br />

<strong>The</strong>se include <strong>the</strong> five (5) main Associates of <strong>Mawalla</strong> Advocates:<br />

1) <strong>The</strong>se are responsible to <strong>the</strong>ir individual Departments <strong>and</strong> have<br />

<strong>the</strong> m<strong>and</strong>ate to decide matters within <strong>the</strong>ir Departments,<br />

provided <strong>the</strong> same are in line with <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> <strong>and</strong><br />

management of <strong>the</strong> entire <strong>Mawalla</strong> <strong>Group</strong>;<br />

2) Each Senior Associate or Head of Department is m<strong>and</strong>ated to<br />

operate an account set up <strong>for</strong> <strong>the</strong> specific Department <strong>and</strong> is<br />

responsible <strong>for</strong> <strong>the</strong> supervision of <strong>the</strong> tasks carried out by <strong>the</strong><br />

junior staff working within <strong>the</strong> Departments;<br />

Page 19 of 47


3) Senior Associates or Head of Departments are required to hold<br />

meetings with <strong>the</strong>ir assistants to direct, clarify <strong>and</strong> guide <strong>the</strong>m<br />

on <strong>the</strong> implementation of <strong>the</strong> <strong>Group</strong>’s <strong>Strategic</strong> <strong>Plans</strong>;<br />

4) Senior Associates are also responsible to ensure that clients’<br />

work done under <strong>the</strong>ir Departments is timely completed <strong>and</strong><br />

delivered;<br />

5) <strong>The</strong>se Heads of Departments are also Advocates. In this<br />

capacity, <strong>the</strong>y are directly responsible to clients of <strong>Mawalla</strong><br />

Advocates <strong>and</strong> or <strong>Mawalla</strong> Corporate Services Limited.<br />

C. Junior Associates:<br />

<strong>The</strong>se include legal officers, legal interns <strong>and</strong> trainees who work with<br />

<strong>Mawalla</strong> Advocates periodically. <strong>The</strong>ir m<strong>and</strong>ates are as follows:<br />

1) To research <strong>and</strong> present findings on various legal matters as<br />

<strong>the</strong>y shall be directed by Senior Associates;<br />

2) To implement <strong>the</strong> products developed under <strong>the</strong> <strong>Group</strong> of<br />

Companies;<br />

3) To put to test <strong>the</strong> systems that are created <strong>and</strong> criticize <strong>the</strong><br />

same where need be;<br />

4) To assist <strong>the</strong> Senior Associates in all matters as shall be directed<br />

by <strong>the</strong>m.<br />

D. Non Legal Staff:<br />

<strong>The</strong>se include an entire Department of accountants working with <strong>the</strong><br />

<strong>Mawalla</strong> Financial Services Limited, Consultants <strong>and</strong> <strong>the</strong> Support Staff;<br />

Page 20 of 47


1) <strong>The</strong> Accountants are responsible <strong>for</strong> <strong>the</strong> management of <strong>the</strong><br />

accounts of <strong>the</strong> entire <strong>Mawalla</strong> <strong>Group</strong>;<br />

2) Accountants are also m<strong>and</strong>ated to produce <strong>the</strong>ir own product line<br />

(under <strong>the</strong> <strong>Mawalla</strong> Br<strong>and</strong>) to sell to <strong>the</strong> clients of <strong>Mawalla</strong><br />

Advocates <strong>and</strong> <strong>Mawalla</strong> Corporate Services Limited;<br />

3) <strong>The</strong> Consultants are hired on a need basis <strong>and</strong> are m<strong>and</strong>ated to<br />

use <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> infrastructure to carry out <strong>the</strong>ir tasks in<br />

line with <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>;<br />

4) <strong>The</strong> Support Staff include <strong>the</strong> Office Administrators, <strong>the</strong> Drivers,<br />

<strong>the</strong> Cleaners <strong>and</strong> <strong>the</strong> Gardeners, Security <strong>and</strong> <strong>the</strong> Maintenance<br />

<strong>and</strong> Repair personnel, who are responsible <strong>for</strong> <strong>the</strong> various tasks<br />

that are allocated to <strong>the</strong>m accordingly by <strong>the</strong> Sole Proprietor, <strong>the</strong><br />

Heads of Departments, <strong>the</strong> Accountants <strong>and</strong> Consultants.<br />

3.4 Vision <strong>and</strong> Mission of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>:<br />

<strong>The</strong> <strong>Strategic</strong> Vision of an organization is a roadmap of an organization’s<br />

future. It provides specifics about <strong>the</strong> technology <strong>and</strong> customer focus, <strong>the</strong><br />

geographic <strong>and</strong> product markets to be pursued, <strong>the</strong> capabilities it plans to<br />

develop <strong>and</strong> <strong>the</strong> kind of organization management it is trying to create 25 .<br />

<strong>The</strong> <strong>Strategic</strong> Vision <strong>and</strong> <strong>the</strong> Mission Statement of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong><br />

constitutes of <strong>the</strong> following:<br />

A. <strong>Mawalla</strong> <strong>Group</strong> <strong>Strategic</strong> Vision:<br />

1) To craft <strong>and</strong> timely deliver solutions that are in accordance with <strong>the</strong><br />

most advanced technological systems which, are also legally based,<br />

but with a powerful business – friendly orientation in real estate<br />

25 Research <strong>and</strong> Discussions, 2009<br />

Page 21 of 47


services, trust management services, corporate services <strong>and</strong> asset<br />

management services.<br />

2) To create <strong>the</strong> blue ocean strategy focusing on capturing new dem<strong>and</strong>,<br />

breaking <strong>the</strong> value cost trade off, creating an uncontested market<br />

space, making competition irrelevant, <strong>and</strong> aligning <strong>the</strong> whole system<br />

of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>’s activities with its strategic choice of<br />

differentiation <strong>and</strong> low cost.<br />

3) To create <strong>and</strong> br<strong>and</strong> corporate, property <strong>and</strong> financial data profile<br />

systems that will be made available to all corporations (public <strong>and</strong><br />

private) in East Africa at a nominal price <strong>and</strong> to roll out or duplicate<br />

<strong>the</strong> <strong>Mawalla</strong> Corporate <strong>and</strong> Financial Services in Tanzania within a five<br />

year time frame.<br />

4) To <strong>for</strong>m partnerships with public institutions, o<strong>the</strong>r law firms in<br />

Tanzania <strong>and</strong> abroad, as well as to partner with a University(ies) in<br />

order to obtain better or more qualified human resource <strong>and</strong> train its<br />

legal associates under <strong>Mawalla</strong> Advocates.<br />

B. <strong>Mawalla</strong> <strong>Group</strong> Mission Statement:<br />

An ideal mission statement is typically focused on <strong>the</strong> present business<br />

scope. It describes <strong>the</strong> following:<br />

26 Research <strong>and</strong> Discussions, 2009<br />

1. An organization’s present capabilities;<br />

2. Customer focus;<br />

3. Activities of <strong>the</strong> organization; <strong>and</strong><br />

4. Business makeup of <strong>the</strong> organization 26 .<br />

Page 22 of 47


<strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> Mission Statement reads as follows:<br />

‘To manage <strong>the</strong> wealth of those who have it <strong>and</strong> to unlock value <strong>for</strong> those<br />

who don’t, <strong>the</strong>reby improving <strong>the</strong> plight of all.’<br />

<strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> slogan reads as follows:<br />

“Taking care of Business”.<br />

Additionally, <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> Motto reads as follows:<br />

“Heritage.Growth.Protection”<br />

3.5 Factors considered in <strong>Strategic</strong> Planning <strong>and</strong> <strong>Management</strong> by<br />

<strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>:<br />

3.5.1 Assessment of <strong>the</strong> Environment:<br />

In crafting its strategic plans, <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> assesses its environment<br />

by focusing on <strong>the</strong> following:<br />

1. <strong>The</strong> external circumstances such as assessing its competitors, <strong>the</strong><br />

industry, <strong>the</strong> threats, <strong>and</strong> <strong>the</strong> opportunities;<br />

2. <strong>The</strong> internal circumstances by assessing its resources, capabilities,<br />

competitiveness, strengths, <strong>and</strong> weakness;<br />

3. <strong>The</strong> strategic intent by <strong>for</strong>ming <strong>and</strong> pursuing relentlessly its objectives<br />

(as shall be discussed on pages 27-29 of this document) <strong>and</strong> or<br />

concentrating on its competitive advantage in achieving those<br />

objectives <strong>and</strong> <strong>the</strong>reby aligning its strategic choice(s) with <strong>the</strong> need to<br />

change its <strong>Strategic</strong> <strong>Plans</strong> to suit <strong>the</strong> management <strong>and</strong> implementation<br />

Page 23 of 47


process as shall be discussed briefly in <strong>the</strong> various strategic phases<br />

below.<br />

From <strong>the</strong> very beginning (in 1998) Mr. <strong>Mawalla</strong> focused on <strong>the</strong> external<br />

environment of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> by assessing its competitors, <strong>the</strong><br />

requirements in <strong>the</strong> legal industry, <strong>the</strong> threats <strong>and</strong> <strong>the</strong> opportunities that<br />

were available in Arusha <strong>and</strong> in Tanzania as a whole. He also had to create a<br />

<strong>Strategy</strong> Map in this regard <strong>and</strong> decide on what strategic choices to make in<br />

order to implement <strong>the</strong> plan. Mr. <strong>Mawalla</strong> has since inception of <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong> employed <strong>the</strong> strategy of making five year plans, which are adjusted<br />

during implementation when <strong>and</strong> where <strong>the</strong> need arises. Thus, this <strong>Strategy</strong><br />

choice has worked to create three <strong>Strategic</strong> Planning phases so far, being:<br />

Phase I from 1998 -2003; Phase II from 2003 -2008; <strong>and</strong> Phase III from<br />

2008 – 2013 as shall be discussed albeit briefly below.<br />

Phase I of <strong>the</strong> <strong>Strategic</strong> Planning from 1998 -2003:<br />

From 1998 to 2001 Mr. <strong>Mawalla</strong> interned at Kibo Chambers under <strong>the</strong><br />

Mentorship of Advocate J.S. <strong>Mawalla</strong>. In 2002 Mr. <strong>Mawalla</strong> moved <strong>the</strong> office<br />

base from Kibo Chambers in Moshi to <strong>Mawalla</strong> Advocates in Moivaro -<br />

Arusha. Being new in town <strong>and</strong> speculating on what products to offer <strong>the</strong><br />

Arusha market; Mr. <strong>Mawalla</strong> was <strong>for</strong>ced to look at <strong>the</strong> already existing law<br />

firms some being: Maro & Co. Advocates; Ngalo & Co. Advocates; Ojare<br />

Advocates <strong>and</strong> Mwale & Co. Advocates.<br />

Mr. <strong>Mawalla</strong> was aiming at creating new products, yet legally acceptable<br />

within <strong>the</strong> industry. Much research was conducted by him to identify <strong>the</strong><br />

threats <strong>and</strong> <strong>the</strong> opportunities that were available. Two factors massively<br />

favoured Mr. <strong>Mawalla</strong> during this time, firstly - <strong>the</strong> name “<strong>Mawalla</strong>” which he<br />

shares with his Fa<strong>the</strong>r, Advocate Juma R.S. <strong>Mawalla</strong> (who was renowned <strong>for</strong><br />

his acute legal skills in <strong>the</strong> Nor<strong>the</strong>rn Region of Tanzania since 1961) <strong>and</strong><br />

Page 24 of 47


secondly, <strong>the</strong> unsaturated market <strong>for</strong> not just any lawyer, but a good<br />

corporate, trust, real estate <strong>and</strong> wildlife law lawyer in Arusha.<br />

During this time, <strong>the</strong> opportunities which were available were as follows:<br />

1) That <strong>the</strong>re were very few corporate, trust, real estate <strong>and</strong> wildlife law<br />

lawyers in Arusha; a service that Mr. <strong>Mawalla</strong> was developing to sell to<br />

<strong>the</strong> market;<br />

2) That <strong>the</strong>re was an elite group of clientele (locals <strong>and</strong> <strong>for</strong>eigners) who<br />

massively required <strong>the</strong> corporate, trust, real estate <strong>and</strong> wildlife law<br />

services.<br />

3) That <strong>the</strong> trust <strong>and</strong> investment laws were under developed; services in<br />

<strong>the</strong>se legal areas were <strong>and</strong> still are greatly dem<strong>and</strong>ed <strong>for</strong> by investors.<br />

It was thus in this phase that Mr. <strong>Mawalla</strong> created <strong>the</strong> required office<br />

infrastructure at Moivaro, <strong>and</strong> also acquired massive tracts of l<strong>and</strong> at various<br />

parts of Arusha <strong>for</strong> both commercial <strong>and</strong> residential purposes. He created a<br />

niche <strong>for</strong> <strong>the</strong> Firm in <strong>the</strong> market by assessing <strong>the</strong> needs of <strong>the</strong> customers<br />

<strong>and</strong> tailoring legal products according to <strong>the</strong> customers’ needs <strong>and</strong> finally<br />

creating <strong>the</strong> environment that would serve <strong>the</strong> customers in <strong>the</strong> most<br />

efficient way.<br />

Phase II of <strong>the</strong> <strong>Strategic</strong> Planning from 2003 - 2008:<br />

Following <strong>the</strong> successful completion of <strong>the</strong> Phase I <strong>Strategic</strong> Planning - i.e.<br />

laying <strong>the</strong> foundation <strong>and</strong> creating a product line <strong>and</strong> identifying customers<br />

<strong>for</strong> <strong>the</strong> said products, Mr. <strong>Mawalla</strong> began Phase II <strong>Strategic</strong> Planning, which<br />

was implemented through 2003 -2008. In this phase, Mr. <strong>Mawalla</strong> again<br />

focused not only on assessing <strong>the</strong> environment externally as above<br />

discussed, but he also assessed <strong>the</strong> environment internally by assessing<br />

Page 25 of 47


<strong>Mawalla</strong> <strong>Group</strong> resources, capabilities, competitiveness, strength <strong>and</strong><br />

weaknesses, which have been discussed under Figure 3 of this report.<br />

During this Phase, Mr. <strong>Mawalla</strong> built ano<strong>the</strong>r office (which later became <strong>the</strong><br />

main office) in <strong>the</strong> outskirts of Arusha, an office which would accommodate<br />

<strong>the</strong> needs of <strong>the</strong> <strong>Group</strong>’s clients, <strong>and</strong> <strong>the</strong> entire <strong>Mawalla</strong> <strong>Group</strong> structure as<br />

appearing under Figure 1 of this document. <strong>The</strong> office is located within an<br />

Estate, containing both offices <strong>and</strong> residential units, which are used by some<br />

of <strong>the</strong> Senior Associates. Mr. <strong>Mawalla</strong> also focused on internal environmental<br />

assessment of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> by developing its resources, capabilities,<br />

competitiveness, <strong>and</strong> strengths. He has always focused on eliminating <strong>the</strong><br />

weaknesses of <strong>the</strong> said group, which is an on going venture.<br />

It is also at this time that Mr. <strong>Mawalla</strong> built up <strong>the</strong> human resource of <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong> i.e. a team of lawyers who would work with him. He ventured<br />

to look <strong>for</strong> young <strong>and</strong> fresh graduates from Universities to come <strong>and</strong> train<br />

under him. He also marketed massively <strong>the</strong> services of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> to<br />

an elite group of clientele who continue to pay appropriately <strong>for</strong> <strong>the</strong> same as<br />

per <strong>the</strong> Advocates' Remuneration <strong>and</strong> Taxation of Costs Rules made under<br />

<strong>the</strong> Advocates Act [Cap 341 of <strong>the</strong> R.E 2002] of <strong>the</strong> laws of <strong>the</strong> United<br />

Republic of Tanzania. Mr. <strong>Mawalla</strong> managed to build <strong>the</strong> cash reserves <strong>for</strong><br />

<strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> by saving massively, cutting off on non essential<br />

expenditures <strong>and</strong> having an efficient tax structure.<br />

Mr. <strong>Mawalla</strong> saw an opportunity to venture into unchartered territories<br />

<strong>the</strong>reby minimizing competition with <strong>the</strong> local lawyers <strong>and</strong> br<strong>and</strong>ing <strong>the</strong><br />

product line he created “<strong>Mawalla</strong>”, hence creating a product line <strong>and</strong><br />

services that are uniquely “<strong>Mawalla</strong>”, <strong>and</strong> offered in <strong>the</strong> <strong>Mawalla</strong> Way. He<br />

invested massively in best IT technology <strong>and</strong> consultants who would help<br />

create <strong>the</strong> administrative systems <strong>for</strong> <strong>the</strong> group, <strong>the</strong>reby enabling efficient<br />

turn around time <strong>for</strong> <strong>the</strong> delivery of <strong>the</strong> products under <strong>the</strong> br<strong>and</strong> name.<br />

Page 26 of 47


Phase III <strong>Strategic</strong> Planning from 2008 – 2013:<br />

In Phase III, Mr. <strong>Mawalla</strong> is focusing on internal analysis of <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong> as discussed above, <strong>and</strong> assessing <strong>the</strong> strategic intent by <strong>for</strong>ming <strong>and</strong><br />

pursuing relentlessly <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> objectives <strong>and</strong> or concentrating on<br />

its competitive advantage <strong>and</strong> energies in achieving those objectives, herein<br />

appearing on Figure 1 of this document. <strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> shall in this last<br />

phase focus on Research <strong>and</strong> Development (R&D) as well as <strong>the</strong> provision of<br />

opinions on various legal issues <strong>and</strong> provide <strong>the</strong>se services to various private<br />

<strong>and</strong> public corporation in line with <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong><br />

as mentioned on page 14-17 of this document.<br />

3.5.2 Focusing on <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> Objectives:<br />

<strong>The</strong> objectives of an organization are an organization’s per<strong>for</strong>mance targets,<br />

<strong>the</strong> results <strong>and</strong> <strong>the</strong> outcomes it wants to achieve. <strong>The</strong>y function as<br />

yardsticks <strong>for</strong> tracking an organization’s per<strong>for</strong>mance <strong>and</strong> progress. <strong>The</strong><br />

purpose of objectives is that <strong>the</strong>y represent <strong>the</strong> managerial commitment to<br />

achieve specific per<strong>for</strong>mance targets within a specified time frame. <strong>The</strong>y are<br />

also a call <strong>for</strong> results that connect directly to <strong>the</strong> company’s strategic vision<br />

<strong>and</strong> core values. As a general rule, objectives are supposed to be<br />

measurable or quantifiable; <strong>the</strong>y should contain a deadline <strong>for</strong> achievement<br />

<strong>and</strong> <strong>the</strong>y should also spell out how much of what per<strong>for</strong>mance <strong>and</strong> by when<br />

should be achieved. 27 Objectives may be financial (focusing on revenue) or<br />

strategic (focusing on ambitions, competitive actions, commitment to<br />

winning, etc).<br />

27 Research <strong>and</strong> Discussions, 2009<br />

Page 27 of 47


<strong>The</strong> <strong>Strategic</strong> Objectives of <strong>the</strong> <strong>Mawalla</strong> group are as follows:<br />

1. To go (within <strong>the</strong> next five years) into <strong>the</strong> 26 regions of Tanzania in a<br />

Public Private Partnership (PPP) with:<br />

a. <strong>The</strong> Business Registration & Licensing Agency (BRELA), to assist<br />

in maximizing <strong>the</strong> communication gap between BRELA <strong>and</strong> <strong>the</strong><br />

potential users of <strong>the</strong> BRELA services, <strong>the</strong>reby increase <strong>the</strong><br />

number of users, establishing new businesses <strong>and</strong> seeking<br />

protection of creative corporate works.<br />

b. <strong>The</strong> Tanzania National L<strong>and</strong> Use Plan Commission (NUPLC) to<br />

help create sustainable l<strong>and</strong> use management systems <strong>and</strong> avoid<br />

l<strong>and</strong> degradation, misuse <strong>and</strong> abusive use in order to maintain<br />

<strong>and</strong> enhance <strong>the</strong> l<strong>and</strong> quality in Tanzania <strong>and</strong> to promote<br />

prudent <strong>and</strong> sustainable l<strong>and</strong> use, to conserve l<strong>and</strong> natural<br />

resources in order to alleviate poverty <strong>and</strong> eradicate<br />

environmental problems afflicting <strong>the</strong> population.<br />

c. <strong>The</strong> Tanzania Investment Center (TIC) <strong>and</strong> assist in portraying<br />

Tanzania as Africa’s Premier Investment destination <strong>and</strong><br />

enhancing an environment conducive <strong>for</strong> business <strong>and</strong><br />

entrepreneurship growth.<br />

d. Programmes such as MKUKUTA (National <strong>Strategy</strong> <strong>for</strong> growth<br />

<strong>and</strong> Reduction of Poverty in Tanzania), <strong>and</strong> MKURABITA (<strong>the</strong><br />

programme <strong>for</strong> <strong>the</strong> legal <strong>and</strong> economic empowerment of <strong>the</strong><br />

poor in Tanzania) towards poverty reduction; improvement of<br />

quality of life <strong>and</strong> social well being <strong>and</strong> governance <strong>and</strong><br />

accountability.<br />

Page 28 of 47


2. To train young Tanzanian lawyers on how to become chartered<br />

secretaries <strong>for</strong> companies in East Africa through <strong>the</strong> Institute of<br />

Chartered Secretaries (ICS).<br />

3. To provide tax consulting services to Tanzanians <strong>and</strong> <strong>the</strong>reby work<br />

with <strong>the</strong> Tanzania Revenue Authority (TRA) to assist <strong>the</strong> Government<br />

in collecting taxes efficiently <strong>and</strong> promoting voluntary tax compliance<br />

<strong>and</strong> <strong>the</strong>reby assist TRA meet its Third Corporate Plan.<br />

4. To provide legal corporate securities services through <strong>Mawalla</strong><br />

Corporate Services Limited to Major Banks throughout <strong>the</strong> Nor<strong>the</strong>rn<br />

Region of Tanzania.<br />

5. To provide legal opinions on various legal issues to individuals <strong>and</strong><br />

corporations (public <strong>and</strong> private) on diverse legal issues.<br />

<strong>The</strong> Objectives of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> of companies are pursued in line with<br />

<strong>the</strong> following honor code (values):<br />

1. To be <strong>for</strong>thright from <strong>the</strong> first: this entails accuracy in <strong>the</strong><br />

identification of clients that <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> can assist in <strong>the</strong> least<br />

time possible.<br />

2. To be efficient with energy: this entails <strong>the</strong> achievement of optimal<br />

results <strong>for</strong> chosen clients in <strong>the</strong> safest, quickest <strong>and</strong> most economical<br />

way.<br />

3. To be realist: this entails to bear elements of legal <strong>and</strong> financial<br />

literacy (<strong>the</strong> ability to create <strong>and</strong> manage wealth) in such a way that<br />

<strong>the</strong> clients’ investment <strong>and</strong> business ideals are protected with<br />

diligence, care <strong>and</strong> excellence, without unnecessary complexity or<br />

gratuitous recourse to protracted <strong>and</strong> costly litigation.<br />

Page 29 of 47


4. Leave no stone unturned; this entails to be tenacious – whe<strong>the</strong>r in<br />

support of a client, in defence of <strong>the</strong> Courts or in <strong>the</strong> promotion of<br />

fairness, impartiality <strong>and</strong> integrity.<br />

5. Be an example; this entails <strong>the</strong> embodiment of high st<strong>and</strong>ards of<br />

reasoning, courtesy, independency <strong>and</strong> confidentiality.<br />

6. Be no body’s darling; this entails to st<strong>and</strong> alone <strong>for</strong> as long as it<br />

takes, risking popularity <strong>and</strong> favour, in a quest to do what must be<br />

done <strong>and</strong> say what must be said.<br />

<strong>The</strong>re<strong>for</strong>e in Phase III, Mr. <strong>Mawalla</strong> will not only be looking to implement its<br />

<strong>Strategic</strong> <strong>Plans</strong> as cited on page 14-17 of this document by assessing <strong>the</strong><br />

internal environment of <strong>the</strong> <strong>Group</strong>, but also he will also focus on <strong>the</strong><br />

strategic intent of <strong>the</strong> <strong>Group</strong> <strong>and</strong> delink vertical integration with parts of <strong>the</strong><br />

<strong>Group</strong> that are weak by focusing on <strong>the</strong> strategic objectives <strong>and</strong> vision of <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong>.<br />

It is <strong>the</strong> personal objective of Mr. <strong>Mawalla</strong> that with <strong>the</strong> end of Phase III, <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong> will sustain without him <strong>and</strong> <strong>the</strong> story of <strong>the</strong> <strong>Group</strong> will no<br />

longer be about him, but about <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>. It is evident that <strong>the</strong><br />

core values (honor code), <strong>the</strong> common vision, <strong>the</strong> mission statement, <strong>the</strong><br />

m<strong>and</strong>ates, <strong>the</strong> strategy <strong>and</strong> <strong>the</strong> product line of <strong>the</strong> <strong>Group</strong> has been<br />

established <strong>and</strong> <strong>the</strong> roll out plan <strong>for</strong> <strong>the</strong> services offered by <strong>the</strong> <strong>Group</strong> is<br />

underway <strong>for</strong> Dar es Salaam, Iringa, Babati, Mbeya <strong>and</strong> Mwanza, by way of<br />

a Public <strong>and</strong> Private Partnership with <strong>the</strong> Business Registrations Licensing<br />

Agency (BRELA).<br />

Page 30 of 47


3.5.3 Resource Audit:<br />

Resource Audit is being used in <strong>the</strong> Phase III <strong>Strategic</strong> Planning i.e. 2008 -<br />

2013, in which <strong>the</strong>re will be a roll out plan <strong>for</strong> <strong>the</strong> services <strong>and</strong> products that<br />

have been created in Phase I <strong>and</strong> Phase II. <strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> is richer,<br />

looking at protecting its assets <strong>and</strong> growing solidly. It is also looking at<br />

consolidating <strong>and</strong> protecting <strong>the</strong> product line <strong>and</strong> new sources.<br />

3.5.4 Analysis of Cost <strong>and</strong> Profit:<br />

Analysis of Cost <strong>and</strong> Profit were used in Phase I <strong>Strategic</strong> Planning from<br />

1998 – 2003, when <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> was smaller <strong>and</strong> looking at creating<br />

new products <strong>and</strong> profits.<br />

3.5.5 Benchmarking:<br />

Benchmarking has always been a factor considered in all <strong>the</strong> three phases of<br />

strategic planning by <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, hence <strong>the</strong> br<strong>and</strong>ing. <strong>The</strong> <strong>Mawalla</strong><br />

<strong>Group</strong> has always compared itself with <strong>the</strong> best in class geographically <strong>and</strong><br />

qualitatively. However, following <strong>the</strong> successful implementation of Phase I<br />

<strong>and</strong> Phase II of <strong>Strategic</strong> Planning, <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> has massively<br />

reduced competitors in Arusha. <strong>The</strong> current competitors of <strong>Mawalla</strong><br />

Advocates are IMMA Advocates, REX Attorneys, Mkono & Company<br />

Advocates, Ringo Tenga Law Associates <strong>and</strong> M.A Ismail & Co. Advocates, all<br />

of whom are based in Dar es Salaam. However, <strong>Mawalla</strong> still manages to<br />

thrive in this competitive atmosphere by providing services that are not only<br />

unique compared to those provided by its competitors, but also at a cheaper<br />

Page 31 of 47


cost, without compromising <strong>the</strong> end product. Over <strong>and</strong> above this, <strong>the</strong> br<strong>and</strong><br />

name “<strong>Mawalla</strong>” is now widely known <strong>and</strong> <strong>the</strong> current shift in <strong>the</strong><br />

philosophy of <strong>the</strong> law firm i.e. into Research <strong>and</strong> Development (R&D) <strong>and</strong><br />

<strong>the</strong> provision legal opinions on various legal issues shall be an added<br />

advantage.<br />

3.5.6 Value Chain Analysis:<br />

Both indications of <strong>the</strong> value chain analysis as indicated by primary activities<br />

<strong>and</strong> support activities have been used in <strong>the</strong> strategy <strong>for</strong>mulation process,<br />

but at different phases in <strong>the</strong> development of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>. For<br />

example, in Phase I <strong>and</strong> II of <strong>Strategic</strong> Planning, <strong>the</strong> value chain analysis<br />

was indicated by <strong>the</strong> focus on <strong>the</strong> support activities such as infrastructure,<br />

technology <strong>and</strong> strategic management; while in Phase III <strong>the</strong> value chain<br />

analysis will be indicated by <strong>the</strong> focus on <strong>the</strong> primary activities such as skills,<br />

core competence, management marketing, price, customer satisfaction <strong>and</strong><br />

human resource management.<br />

3.5.7 Focusing on core competencies:<br />

Mindset Personality Collective knowledge of <strong>the</strong> organization<br />

Interpersonal skills Staff Skills Embodied as core competencies product<br />

Services<br />

Task Skills Professional Knowledge<br />

Figure 4. (Adopted from Mahen Tampoe February 6, 1996)<br />

Page 32 of 47


<strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> (especially <strong>Mawalla</strong> Advocates) often hires fresh<br />

university graduates <strong>and</strong> trains <strong>the</strong>m massively to instill in <strong>the</strong>m <strong>the</strong> <strong>Mawalla</strong><br />

Way. Focus on <strong>the</strong> core competencies of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> began in <strong>the</strong><br />

Phase II <strong>and</strong> it intends to continue this throughout Phase III of <strong>the</strong> <strong>Strategic</strong><br />

Plan. It is under Phase III that Mr. <strong>Mawalla</strong> has <strong>for</strong>mulated a <strong>Strategic</strong> Plan<br />

of creating <strong>the</strong> Institute of Chartered Secretaries (ICS) via a Public Private<br />

Partnership with <strong>the</strong> Business Registrations <strong>and</strong> Licensing Agency (BRELA) in<br />

Tanzania. This partnership shall serve to create an elite group of lawyers<br />

who are trained to manage corporate entities in accordance with <strong>the</strong> laws of<br />

<strong>the</strong> country. <strong>Strategic</strong>ally, <strong>Mawalla</strong> Advocates st<strong>and</strong>s to be a benefactor of<br />

this partnership as it shall obtain highly trained Secretaries who shall run<br />

<strong>Mawalla</strong> Corporate Services Limited in <strong>the</strong> most efficient manner.<br />

It is also anticipated that with <strong>the</strong> introduction of Research <strong>and</strong> Development<br />

(R&D) <strong>and</strong> <strong>the</strong> provision of legal opinions on various legal issues at <strong>Mawalla</strong><br />

Advocates, Lawyers shall be benefit from <strong>the</strong> professional knowledge <strong>and</strong><br />

task skills. It is a known factor that <strong>Mawalla</strong> Advocates hires interpersonal<br />

skill as opposed to personal skills – hence <strong>the</strong> training. It is <strong>for</strong> this reason<br />

that with <strong>the</strong> start of Phase III, Mr. <strong>Mawalla</strong> has decided to launch induction<br />

manuals, which shall serve to train new lawyers on <strong>the</strong> mindset, <strong>the</strong><br />

personality <strong>and</strong> interpersonal skills that <strong>the</strong> lawyers working with <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong> shall be required to have. <strong>The</strong> induction manuals shall guide<br />

all young lawyers on financial literacy, <strong>the</strong> spiritual principles, <strong>and</strong> <strong>the</strong> basic<br />

concepts of <strong>the</strong> legal practice. <strong>The</strong>se induction manuals are expected to be<br />

launched later this year.<br />

With <strong>the</strong> aid of <strong>the</strong> training <strong>and</strong> <strong>the</strong> induction manuals, it is hoped that staff<br />

skills shall be developed to sustainably ensure that <strong>the</strong> core competencies of<br />

<strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> are applied best to serve <strong>the</strong> <strong>Group</strong>’s clients.<br />

Page 33 of 47


3.5.8 Application of <strong>the</strong> Shareholder value analysis:<br />

Corporate<br />

Objective<br />

Valuation<br />

Components<br />

Value<br />

Drivers<br />

<strong>Management</strong><br />

Decisions<br />

Duration of<br />

Value growth<br />

Cash from<br />

Operations<br />

Figure 5. (Adopted from Rappaport (1986)<br />

Like any o<strong>the</strong>r profit making business, <strong>the</strong> shareholder value analysis is of<br />

massive importance in determining shareholder returns from <strong>the</strong> businesses<br />

of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>. As a matter of principle, Mr. <strong>Mawalla</strong> has gone as far<br />

as to document <strong>the</strong> importance of this matter in <strong>the</strong> induction manuals –<br />

under financial literacy <strong>for</strong> lawyers.<br />

Creating Shareholder<br />

Value<br />

Discount<br />

Rate<br />

Sales Growth Op.<br />

Profit Margin<br />

3.5.9 Assessing Parenting Advantage:<br />

In <strong>for</strong>mulating its <strong>Strategic</strong> <strong>Plans</strong>, <strong>Mawalla</strong> Advocates, which is <strong>the</strong> core<br />

business of <strong>the</strong> group, assesses <strong>the</strong> parenting advantage of <strong>the</strong> <strong>Group</strong>.<br />

<strong>Mawalla</strong> Advocates is <strong>the</strong> parent of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>.<br />

1) <strong>The</strong> st<strong>and</strong> alone influence of <strong>the</strong> group is <strong>Mawalla</strong> Advocates.<br />

This is <strong>the</strong> core business of <strong>the</strong> <strong>Group</strong>.<br />

Debt<br />

Fixed & Working<br />

Capital Investments<br />

Shareholder Return<br />

Dividends Capital Growth<br />

Cost of<br />

Capital<br />

Operating Investment Financing<br />

Page 34 of 47


2) <strong>The</strong> linkage influence of <strong>the</strong> group as depicted under Figure 2<br />

above is very high. This is because <strong>the</strong> o<strong>the</strong>r companies have<br />

been created to serve <strong>the</strong> core business of <strong>the</strong> group – <strong>Mawalla</strong><br />

Advocates.<br />

3) <strong>The</strong> central function of <strong>the</strong> group is Wealth <strong>Management</strong> <strong>and</strong> <strong>the</strong><br />

provision of Corporate <strong>and</strong> Financial Services under <strong>Mawalla</strong><br />

Advocates, <strong>Mawalla</strong> Corporate Centre (including <strong>Mawalla</strong><br />

Corporate Services Limited <strong>and</strong> <strong>Mawalla</strong> Financial Services<br />

Limited) <strong>and</strong> <strong>Mawalla</strong> Trust Limited.<br />

4) <strong>The</strong> internal structure of <strong>the</strong> group is what is currently being<br />

addressed in Phase III; however, it is highly linked to <strong>the</strong><br />

<strong>Mawalla</strong> Br<strong>and</strong>.<br />

3.5.10 Portfolio Analysis:<br />

Market share rate<br />

Market growth rate<br />

High<br />

Low<br />

High Low<br />

Figure 6. (Adopted from <strong>the</strong> Boston Consulting <strong>Group</strong> – in wide use)<br />

This portfolio analysis is also used in <strong>the</strong> <strong>Strategic</strong> Planning <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong> of companies. <strong>The</strong> following are <strong>the</strong> results 28 :<br />

1) Among <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, <strong>the</strong> companies that have high market<br />

share rate <strong>and</strong> high market growth ( <strong>the</strong> Star Companies) are <strong>Mawalla</strong><br />

28 Interview with Mr. <strong>Mawalla</strong>; 30 th of June 2009; Questionnaire attached as an appendix herewith.<br />

Page 35 of 47


Advocates <strong>and</strong> <strong>Mawalla</strong> Trust Limited, because <strong>the</strong>se are <strong>the</strong> core<br />

businesses of <strong>the</strong> <strong>Group</strong> <strong>and</strong> <strong>the</strong>y are personally managed by <strong>the</strong> Mr.<br />

<strong>Mawalla</strong>;<br />

2) Among <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, <strong>the</strong> company that has high market share<br />

<strong>and</strong> low market growth rate (<strong>the</strong> Cow Company) is <strong>Mawalla</strong> Corporate<br />

Services Limited, because this company manages <strong>the</strong> corporate<br />

clientele of <strong>Mawalla</strong> Advocate. <strong>The</strong>se clients are however billed<br />

annually <strong>and</strong> some of <strong>the</strong> fees <strong>for</strong> <strong>the</strong> services offered by <strong>the</strong> company<br />

are statutorily provided <strong>for</strong>, hence <strong>the</strong> need <strong>for</strong> <strong>the</strong> company to comply<br />

with <strong>the</strong> said statutory fee structures. Moreover, <strong>the</strong> management<br />

team of this relatively new company has yet to learn to implement<br />

better business strategies to ensure that <strong>the</strong> systems (such as <strong>the</strong><br />

corporate data profile) which are in place, work towards a high market<br />

growth rate.<br />

3) Among <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, <strong>the</strong> company that has <strong>the</strong> low market<br />

share <strong>and</strong> low market growth rate (<strong>the</strong> Dog Company) is <strong>Mawalla</strong><br />

Financial Services Limited, because this company is relatively new <strong>and</strong><br />

<strong>the</strong> human resource set up is still incomplete. <strong>The</strong> present<br />

management team of this company has yet to train <strong>and</strong> or select<br />

better officials to carry out more than just works <strong>for</strong> <strong>the</strong> clients of<br />

<strong>Mawalla</strong> Advocates, hence improve its business strategies <strong>and</strong> ensure<br />

that it meets <strong>the</strong> set <strong>Mawalla</strong> <strong>Group</strong> objectives.<br />

3.6 How <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> analyzes its environment:<br />

Having <strong>the</strong> legal business as <strong>the</strong> core business of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, an<br />

analysis of <strong>the</strong> <strong>Group</strong>’s environment is sometimes carried out in <strong>the</strong><br />

following manner:<br />

Page 36 of 47


<strong>The</strong> a) SWOT analysis: See Figure 3 below:<br />

<strong>The</strong> Strengths:<br />

1. <strong>The</strong> Br<strong>and</strong> name ‘<strong>Mawalla</strong>’.<br />

2. <strong>The</strong> product range it offers, being: Real Estate<br />

Services, Trust <strong>and</strong> <strong>Management</strong> Services,<br />

Corporate Services, <strong>and</strong> Asset <strong>Management</strong><br />

Services.<br />

3. <strong>The</strong> energetic, youthful <strong>and</strong> knowledgeable<br />

human resource of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> who are<br />

being trained to attend in <strong>the</strong> most efficient way<br />

to <strong>the</strong> clients <strong>and</strong> ensure maximum client<br />

satisfaction.<br />

4. <strong>The</strong> IT technology <strong>and</strong> <strong>the</strong> administrative<br />

systems that are in place to serve <strong>the</strong> group <strong>and</strong><br />

<strong>the</strong> customers.<br />

5. <strong>The</strong> strategic choice <strong>and</strong> management of <strong>the</strong><br />

<strong>Mawalla</strong> group as spearheaded by Mr. <strong>Mawalla</strong>.<br />

6. <strong>The</strong> strategic location of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>,<br />

being in Burka – <strong>the</strong> outskirts of <strong>the</strong> town, which<br />

is an added advantage <strong>for</strong> <strong>the</strong> real estate<br />

business in which <strong>the</strong> <strong>Group</strong> is involved.<br />

7. <strong>The</strong> leadership of Mr. <strong>Mawalla</strong>, who is not only a<br />

visionary, but also a great teacher <strong>and</strong> business<br />

man.<br />

<strong>The</strong> Opportunities:<br />

1. <strong>The</strong> offer of new products which are highly in<br />

dem<strong>and</strong> such as mergers <strong>and</strong> acquisitions,<br />

derivative rights application under Corporate Law<br />

L<strong>and</strong> Law <strong>and</strong> Wildlife Law, Tourism Law <strong>and</strong><br />

Trust Law.<br />

2. <strong>The</strong> changing laws. With <strong>the</strong> change in<br />

legislation such as <strong>the</strong> Companies Act, <strong>the</strong><br />

Income Tax Act, <strong>the</strong> L<strong>and</strong> Act, <strong>the</strong> Unit Titles Act,<br />

<strong>and</strong> <strong>the</strong> general change in <strong>the</strong> business law is <strong>the</strong><br />

country creates massive opportunities <strong>for</strong><br />

<strong>Mawalla</strong> Advocates.<br />

3. Tanzania is still very much unexploited, hence<br />

opportunities in l<strong>and</strong> development <strong>and</strong> financing<br />

are <strong>the</strong> focus of <strong>Mawalla</strong> Advocates, <strong>and</strong> hence<br />

<strong>the</strong> opportunities are plenty.<br />

<strong>The</strong> Weaknesses:<br />

1. Being a sole proprietorship business, <strong>the</strong><br />

strategic plan, <strong>the</strong> management <strong>and</strong> financial<br />

decisions are made by Mr. <strong>Mawalla</strong>. This being<br />

<strong>the</strong> case, his absence from <strong>the</strong> office <strong>for</strong> any<br />

amount of time could mean that no serious<br />

decisions are made.<br />

2. Skill transfer: It goes without saying that<br />

skilled labour is <strong>the</strong> one of <strong>the</strong> biggest problems<br />

in Africa. It is against this background that Mr.<br />

<strong>Mawalla</strong> has tried massively to train his own<br />

team of lawyers. Where training has not been<br />

applicable, consultants with skill have been<br />

hired from as far as South Africa <strong>and</strong> India to<br />

cater <strong>for</strong> <strong>the</strong> dem<strong>and</strong>s, which is expensive <strong>and</strong><br />

unsustainable.<br />

3. <strong>The</strong> lack IT expertise is a problem that which<br />

hinders <strong>the</strong> proper application of <strong>the</strong> office<br />

administration systems, <strong>the</strong>reby limiting <strong>the</strong><br />

maximum turn around time.<br />

4. <strong>The</strong> group lacks proper <strong>and</strong> faithful accountants<br />

<strong>and</strong> financial advisors as well as copyrighters.<br />

5. <strong>The</strong> group faces an English language problem.<br />

Most employees do not have <strong>the</strong> level of<br />

English required to communicate effectively<br />

with <strong>the</strong> clients.<br />

6. Bad political background of Ujamaa/socialism.<br />

<strong>The</strong> <strong>Group</strong> is pro capitalism, but most of those<br />

who work with <strong>the</strong> <strong>Group</strong> have a socialist<br />

mentality.<br />

<strong>The</strong> Threats:<br />

1. Corruption; this is one of <strong>the</strong> threats to <strong>the</strong><br />

business as <strong>the</strong> legal system is somehow<br />

susceptible to corruption.<br />

Page 37 of 47


) PEST analysis:<br />

Politically, Economically & Socially With <strong>the</strong> development of law, <strong>the</strong><br />

core business of <strong>the</strong> <strong>Group</strong> is<br />

affected politically, socially <strong>and</strong><br />

economically. For example, <strong>the</strong><br />

coming into <strong>for</strong>ce of <strong>the</strong> Political<br />

Parties Act, [Cap 258 of <strong>the</strong><br />

Revised Laws of 2002] of <strong>the</strong><br />

Laws of <strong>the</strong> United Republic of<br />

Tanzania, <strong>the</strong> Banking <strong>and</strong><br />

Financial Institutions Act, [Cap<br />

342 of <strong>the</strong> Revised Laws of<br />

2002] of <strong>the</strong> Laws of <strong>the</strong> United<br />

Republic of Tanzania, <strong>and</strong> <strong>the</strong><br />

Gender policies have all positively<br />

affected <strong>the</strong> core business of <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong> in one way or<br />

ano<strong>the</strong>r.<br />

Technologically - <strong>The</strong> core business of <strong>the</strong> <strong>Group</strong> is affected as<br />

business transactions are done via advanced IT technology, i.e. via<br />

electronic mails. It is thus easier <strong>for</strong> fraud <strong>and</strong> breach of confidentially<br />

to occur <strong>and</strong> piracy is also easier with all <strong>the</strong> new technology. <strong>The</strong>re is<br />

thus, a need <strong>for</strong> <strong>the</strong> law in this area to be improved.<br />

Page 38 of 47


3.7 Implementing <strong>the</strong> <strong>Strategic</strong> Plan:<br />

In reference to <strong>the</strong> <strong>Group</strong> Structure appearing under Figure 1 above; however, <strong>the</strong><br />

simpler structure of <strong>the</strong> strategy implementation process is as appearing on Figure<br />

2 below;<br />

Figure 2.<br />

Key:<br />

Solid Line – means reporting to<br />

Broken Line – means associated with<br />

<strong>Mawalla</strong> Trust Limited<br />

<strong>Mawalla</strong> Corporate Services <strong>Mawalla</strong> Advocates<br />

<strong>Mawalla</strong> Financial Services<br />

Senior Associate Senior Associate Senior Associate Senior Associate Senior Associate<br />

Trust & Tax<br />

Consultancy<br />

Services<br />

Department<br />

Real Estate<br />

Services<br />

Department<br />

Research<br />

Development<br />

& Opinion<br />

Department<br />

Wealth<br />

<strong>Management</strong><br />

Services<br />

Department<br />

Specialized<br />

Litigation<br />

Services<br />

Department<br />

Page 39 of 47


From Figure 2 above, <strong>the</strong> Firm (<strong>Mawalla</strong> Advocates) is run by <strong>the</strong> five main<br />

Associates (also known as Senior Associates) who report to Mr. <strong>Mawalla</strong> <strong>and</strong><br />

likewise receive instructions from him. <strong>The</strong> five Associates are also <strong>the</strong> heads<br />

of <strong>the</strong> Departments as above indicated, <strong>and</strong> <strong>the</strong>y are responsible <strong>for</strong> <strong>the</strong><br />

implementation of specific strategies under each department. <strong>Mawalla</strong><br />

Advocates, being <strong>the</strong> core business of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, is headed by Mr.<br />

<strong>Mawalla</strong>. Legally, <strong>Mawalla</strong> Advocates is a Sole Proprietorship Business<br />

belonging to Mr. <strong>Mawalla</strong> trading as <strong>Mawalla</strong> Advocates. In an endeavor to<br />

make easy <strong>the</strong> strategy implementation process, each Department has a<br />

defined m<strong>and</strong>ates, <strong>and</strong> time frame within which to complete <strong>the</strong> tasks, <strong>and</strong> a<br />

budget within which to operate.<br />

<strong>The</strong> two main companies, being <strong>Mawalla</strong> Corporate Services Limited,<br />

<strong>Mawalla</strong> Financial Services Limited are run by Directors, under <strong>the</strong> umbrella<br />

of <strong>Mawalla</strong> Trust Limited. <strong>The</strong> <strong>Strategic</strong> <strong>Plans</strong> of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> are<br />

implemented under <strong>the</strong> Br<strong>and</strong> name <strong>Mawalla</strong> through <strong>the</strong> two main<br />

companies.<br />

<strong>Mawalla</strong> Trust Limited is a trust company. It operates through <strong>the</strong> three<br />

companies being, <strong>Mawalla</strong> Advocates, <strong>Mawalla</strong> Corporate Services Limited<br />

<strong>and</strong> <strong>Mawalla</strong> Financial Services Limited. <strong>Mawalla</strong> Trust Limited also has<br />

development rights <strong>for</strong> specific projects which are carried out directly under<br />

<strong>the</strong> trust company as depicted under Figure 1 of this document.<br />

3.8 Monitoring <strong>and</strong> Reviewing <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> of <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong>:<br />

<strong>Strategic</strong> <strong>Management</strong> by <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> is monitored by making<br />

adjustments that are normal <strong>and</strong> necessary on parts of <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong>.<br />

Page 40 of 47


This is because <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>’s core business is Law Practice, hence <strong>the</strong><br />

need to create <strong>Strategic</strong> <strong>Plans</strong> <strong>and</strong> strategically manage <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong><br />

by creating products <strong>and</strong> changing <strong>the</strong> product in accordance with <strong>the</strong> law.<br />

<strong>The</strong> need to make adjustments that are normal <strong>and</strong> necessary as part of <strong>the</strong><br />

strategic management is important so as to enable <strong>the</strong> creation of new<br />

products under <strong>the</strong> br<strong>and</strong> name ‘<strong>Mawalla</strong>’.<br />

It is not easy to monitor strategic planning by evaluation per<strong>for</strong>mance of<br />

lawyers due to <strong>the</strong> difference in <strong>the</strong> types of transactions carried by <strong>the</strong><br />

various Departments <strong>and</strong> or by reviewing <strong>the</strong> surrounding environment due<br />

to <strong>the</strong> changes that are brought about by <strong>the</strong> change of law.<br />

4.0 <strong>The</strong> type of strategic planning applied by <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong>:<br />

In Phase I <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> employed <strong>the</strong> Red Ocean <strong>Strategy</strong>, however,<br />

in Phase II <strong>and</strong> III <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> is employing <strong>the</strong> Blue Ocean<br />

<strong>Strategy</strong> 29 . It has created a range of services, hence an uncontested market<br />

space, making <strong>the</strong> competition irrelevant. It has captured new dem<strong>and</strong> <strong>and</strong><br />

broke <strong>the</strong> value cost trade off. It has also aligned <strong>the</strong> whole system of <strong>the</strong><br />

Firm’s activities with its strategic choice of differentiation <strong>and</strong> low cost.<br />

29 Chan Kim <strong>and</strong> Renee Moubougne (Harvard Business School Press, Boston; 2005).<br />

Page 41 of 47


5.0 Conclusions:<br />

<strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> certainly has an impressive strategic planning <strong>and</strong><br />

management process, closely related to D’Aveni’s 30 <strong>the</strong>ory of<br />

hypercompetition as a<strong>for</strong>ementioned; basically in <strong>the</strong> h<strong>and</strong>s of one man –<br />

Mr. <strong>Mawalla</strong>, <strong>the</strong> Sole Proprietor of <strong>the</strong> core business of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>.<br />

One important element in <strong>the</strong> whole strategic management process is <strong>the</strong><br />

development of a vision <strong>for</strong> <strong>the</strong> organization ei<strong>the</strong>r by top management or<br />

by one person. <strong>The</strong> vision is <strong>the</strong> view which goes beyond <strong>the</strong> life span of <strong>the</strong><br />

corporate plans, which identifies <strong>the</strong> future, nature <strong>and</strong> philosophy of <strong>the</strong><br />

organization. <strong>The</strong> quality of <strong>the</strong> vision is tied in directly to <strong>the</strong> quality of <strong>the</strong><br />

leadership, <strong>and</strong> of course, a good system of planning cannot compensate <strong>for</strong><br />

lack of leadership. It is thus obvious that <strong>the</strong> success of any organization is<br />

at least much related to <strong>the</strong> quality of leadership as it is to <strong>the</strong> <strong>for</strong>mation of<br />

a superior strategy. Success comes from adopting one’s leadership style to<br />

various situations. <strong>The</strong>re<strong>for</strong>e <strong>the</strong> successful implementation of a strategic<br />

plan (strategic management) is dependant on <strong>the</strong> EASIER approach, which<br />

st<strong>and</strong>s <strong>for</strong> Envisioning, Activating, Supporting, Installing, Ensuring, <strong>and</strong><br />

Recognizing as expounded below:<br />

Envisioning: <strong>the</strong> process of developing a coherent view of <strong>the</strong> future in<br />

order to <strong>for</strong>m an overarching objective <strong>for</strong> <strong>the</strong> organization. It blends <strong>the</strong><br />

leader’s view of external opportunities with <strong>the</strong> way internal competencies<br />

<strong>and</strong> recourses relate to <strong>the</strong>se opportunities.<br />

Activating: this is <strong>the</strong> task of ensuring that o<strong>the</strong>rs in <strong>the</strong> organization<br />

underst<strong>and</strong>, support <strong>and</strong> eventually share <strong>the</strong> vision.<br />

30 D’Aveni, R: Op cit.<br />

Page 42 of 47


Supporting: this is about motivating <strong>and</strong> inspiring people to achieve more<br />

than <strong>the</strong>y o<strong>the</strong>rwise might have believed possible by providing <strong>the</strong> necessary<br />

moral <strong>and</strong> practical help to enable this to happen.<br />

Installing: this is <strong>the</strong> process of developing detailed plans to enable <strong>the</strong><br />

strategy to be implemented <strong>and</strong> controlled.<br />

Ensuring: <strong>the</strong> plans, structures <strong>for</strong> implementation <strong>and</strong> policies may be<br />

<strong>for</strong>mulated <strong>and</strong> on paper <strong>and</strong> <strong>the</strong> organization may have covered everything.<br />

However this is not enough, consideration must be given to monitoring <strong>and</strong><br />

controlling processes that ensure actions are correctly undertaken <strong>and</strong><br />

results are as expected.<br />

Recognizing: this is giving recognition to those involved in <strong>the</strong> process.<br />

Recognition may be positive or negative <strong>and</strong> should be used to rein<strong>for</strong>ce <strong>the</strong><br />

change <strong>and</strong> to ensure that obstacles to progress are removed.<br />

Conclusively, it is <strong>the</strong> personal leadership that drives <strong>the</strong> organizational<br />

context, which is represented by <strong>the</strong> components of strategy, culture <strong>and</strong><br />

structure or systems. Mr. <strong>Mawalla</strong> has single h<strong>and</strong>ily managed to craft <strong>the</strong><br />

<strong>Strategic</strong> <strong>Plans</strong> <strong>and</strong> <strong>the</strong> <strong>Strategic</strong> <strong>Management</strong> process of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>.<br />

It is his vision <strong>and</strong> leadership (that is characterized by confidence building,<br />

motivation, trust, outer focus, per<strong>for</strong>mance orientation, political astuteness,<br />

persistence, determination, quick wits, creativity, self motivation <strong>and</strong><br />

convincing skills) that have sailed <strong>the</strong> ship.<br />

Although <strong>the</strong>re are some basic disadvantages with <strong>the</strong> Sole Proprietorship<br />

structure that Mr. <strong>Mawalla</strong> has set up, it may not be easy to find a person(s)<br />

with his vision <strong>and</strong> leadership skills to manage <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> as well as<br />

he has done over <strong>the</strong> years. Perhaps what would help is <strong>the</strong> partnership with<br />

<strong>the</strong> five main Associates <strong>and</strong> massive leadership education to be made<br />

available to <strong>the</strong> five Associates to ensure that this strategic management<br />

Page 43 of 47


process outlives its maker <strong>and</strong> <strong>the</strong> Firm always has creative strategic<br />

thinkers who can make strategic decisions collectively, implement <strong>the</strong>m <strong>and</strong><br />

review <strong>the</strong>m accordingly.<br />

6.0 Recommendations:<br />

It is my recommendation that in crafting of <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> <strong>for</strong> <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong>, <strong>the</strong> following principles are followed in order to make better<br />

<strong>the</strong> existing strategies:<br />

1. Given that <strong>the</strong> most important single factor impacting on <strong>the</strong><br />

per<strong>for</strong>mance of a business unit is quality relative to competitors, <strong>and</strong><br />

that superior quality often brought premium prices, <strong>and</strong> in addition<br />

could lead to market growth <strong>and</strong> <strong>the</strong> expansion of market share,<br />

strategy <strong>the</strong>re<strong>for</strong>e requires constant action, if <strong>the</strong> company is to stay<br />

in <strong>the</strong> lead.<br />

2. <strong>The</strong>re is a link between <strong>the</strong> market share <strong>and</strong> <strong>the</strong> profitability.<br />

Companies with <strong>the</strong> highest market shares such as <strong>Mawalla</strong> Advocates<br />

<strong>and</strong> <strong>Mawalla</strong> Trust Limited tend to have better profitability. High<br />

market share at any cost, however, is not necessarily a good strategy.<br />

3. High investment intensity acts as drag on profits. Profitability tends to<br />

be highest where <strong>the</strong> amount of investment is lowest. However, this<br />

does not mean that an organization should avoid reinvestment to gain<br />

competitive advantage, as this could result into total failure.<br />

4. Much of <strong>the</strong> conventional wisdom about ‘dogs’ <strong>and</strong> ‘cows’ is not borne<br />

out by evidence.<br />

5. Vertical integration is a profitable strategy in some cases, but not in<br />

o<strong>the</strong>rs. It decreases profitability in business with a low relative market<br />

Page 44 of 47


share. <strong>The</strong>re<strong>for</strong>e, avoid vertical integration if you have a low market<br />

share.<br />

6. Most of <strong>the</strong> strategic factors that boost return on investment will soon<br />

boost long term value. 31<br />

Fur<strong>the</strong>rmore, as <strong>the</strong> Firm is now embarking on Research <strong>and</strong> Development<br />

(R&D) <strong>and</strong> <strong>the</strong> provision of legal opinions on various legal issues in Phase III<br />

of its <strong>Strategic</strong> <strong>Management</strong> process; strategic planning should provide <strong>the</strong><br />

framework <strong>for</strong> <strong>the</strong> Research <strong>and</strong> Development (R&D), by:<br />

1. Specifying <strong>the</strong> products or business areas which is to be directed;<br />

2. Setting priorities <strong>for</strong> research <strong>and</strong> development projects;<br />

3. Assigning targets <strong>for</strong> <strong>the</strong> Research <strong>and</strong> Development (R&D);<br />

4. Setting <strong>the</strong> cost framework in terms of both revenue <strong>and</strong> capital<br />

requirements.<br />

Finally, one may add that in <strong>the</strong> <strong>for</strong>mulation of its <strong>Strategic</strong> <strong>Plans</strong>, <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong> should consider <strong>the</strong> following:<br />

1. <strong>The</strong> role of <strong>the</strong> <strong>Group</strong> to <strong>the</strong> Society;<br />

2. <strong>The</strong> overall corporate objectives of <strong>the</strong> <strong>Group</strong> which should be clearly<br />

be defined financially <strong>and</strong> or strategically;<br />

3. <strong>The</strong> strategic <strong>and</strong> business unit objectives of <strong>the</strong> <strong>Group</strong> should be<br />

defined both financially <strong>and</strong> or strategically;<br />

4. <strong>The</strong> tactical objectives of <strong>the</strong> group may need to be re-defined.<br />

5. Gender policies should also be defined <strong>and</strong> included in <strong>the</strong> overall<br />

strategies of <strong>the</strong> company to make <strong>the</strong> organization more gender<br />

sensitive.<br />

31 Hussey,D; Op Cit; Pg 378<br />

Page 45 of 47


7.0 References:<br />

1. David Hussey; <strong>Strategic</strong> <strong>Management</strong> <strong>for</strong> <strong>the</strong>ory to implementation;<br />

4 th edition; Butterworth Heinemann; 1998<br />

2. D’Aveni, R.; Hyper-competition: Managing <strong>the</strong> Dynamics of <strong>Strategic</strong><br />

Maneuvering; Free Press, New York, 1994.<br />

3. <strong>Mawalla</strong> Corporate Brochure; 2009.<br />

4. Ox<strong>for</strong>d Advanced Learner’s Dictionary; 6 th Edition; Ox<strong>for</strong>d University<br />

Press; 2000.<br />

5. Porter, M.E; Competitive <strong>Strategy</strong>; Free Press New York; 1980.<br />

6. Quinn, J.B; Strategies <strong>for</strong> Change: Logical Incrementalism: Irwin,<br />

Homewood, IL. 1980<br />

7. Hemel, G. <strong>and</strong> Prahadal, C. K; Competing <strong>for</strong> <strong>the</strong> future; Harvard<br />

Business school Press, Boston 1996<br />

8. Kay, J.; Foundations of Corporate Success: How Business Strategies Add<br />

Value; Ox<strong>for</strong>d University Press, Ox<strong>for</strong>d,<br />

1. <strong>Mawalla</strong> Advocates; http://www.mawalla.co.tz<br />

2. Research <strong>and</strong> Discussions.<br />

Page 46 of 47


8.0 Appendices:<br />

1. Figure 1 depicting <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> Structure;<br />

2. <strong>The</strong> <strong>Mawalla</strong> Brochure; 2009<br />

3. Competed Questionnaire by Mr. <strong>Mawalla</strong>.<br />

Page 47 of 47


Figure 1<br />

<strong>Mawalla</strong> <strong>Group</strong> Structure<br />

2009


<strong>The</strong> mawalla way<br />

heriTage - growTh - proTecTion<br />

2


With our roots firmly anchored in tradition,<br />

our branches reach towards <strong>the</strong> sun.


Two trees planted toge<strong>the</strong>r cannot avoid<br />

brushing against each o<strong>the</strong>r.


No.1<br />

‘nekewalawala’<br />

…sharing his knowledge<br />

<strong>and</strong> wealth with many


In every tree, a monkey. Under every rock, a spider.<br />

Indeed, making your way in Africa is all<br />

about choosing <strong>The</strong> Right Guide.<br />

Distinguished, pioneering <strong>and</strong> proudly indigenous, <strong>Mawalla</strong> Advocates<br />

is rooted on <strong>the</strong> fertile <strong>and</strong> gentle slopes of Mount Kilimanjaro in <strong>the</strong><br />

United Republic of Tanzania.<br />

<strong>The</strong> name <strong>Mawalla</strong> is derived from <strong>the</strong> Chagga word ‘nekewalawala’,<br />

<strong>and</strong> means ‘those who come from <strong>the</strong> one who shares his knowledge<br />

<strong>and</strong> wealth with many’.<br />

<strong>The</strong> name was first bestowed on a left-h<strong>and</strong>ed warrior from Rombo (a principality on <strong>the</strong> western side<br />

of Kilimanjaro) known as Sawaya, gr<strong>and</strong>fa<strong>the</strong>r to Juma Reginald Sawaya <strong>Mawalla</strong> <strong>and</strong> great gr<strong>and</strong>fa<strong>the</strong>r<br />

to Nyaga Paul <strong>Mawalla</strong>, both of whom have bravely <strong>and</strong> tirelessly crafted <strong>the</strong> legacy of <strong>the</strong> firm to this day.<br />

It is a legacy based on three unshakeable pillars.<br />

One, a unique distillation of several generations of invaluable experience gained navigating <strong>the</strong> intricacies<br />

of Tanzania’s three legal systems.<br />

Two, our mission to use this unique ability to manage <strong>the</strong> wealth of those who have, <strong>and</strong> to unlock value<br />

<strong>for</strong> those who don’t, creating wealth <strong>and</strong> improving <strong>the</strong> plight of all.<br />

<strong>The</strong> third pillar is <strong>the</strong> <strong>Mawalla</strong> Way, <strong>the</strong> honour code according to which we approach this task, comprising<br />

<strong>the</strong> rich values passed from one generation to <strong>the</strong> next.<br />

And so we help shape <strong>the</strong> future of this great l<strong>and</strong>, just as <strong>the</strong> h<strong>and</strong>s of those who came be<strong>for</strong>e us helped<br />

shape <strong>the</strong> past.<br />

Introduction<br />

3


No.2<br />

With our roots firmly<br />

anchored in tradition,<br />

our branches reach<br />

towards <strong>the</strong> sun.


Giant silk cotton trees grow<br />

out of very tiny seeds.<br />

In Africa, <strong>the</strong> tradition of paying tribute to one’s ancestors serves an<br />

end in itself; it’s an assurance of continued prosperity <strong>and</strong> good <strong>for</strong>tune<br />

<strong>for</strong> those who follow. But this story also tells of a proud legacy of power,<br />

influence <strong>and</strong> wealth creation.<br />

In 1850, Sawaya – <strong>the</strong> a<strong>for</strong>ementioned left-h<strong>and</strong>ed warrior – was found<br />

to be conspiring to overthrow <strong>the</strong> Chief of <strong>the</strong> Kilimanjaro principality<br />

of Rombo. Fearing <strong>for</strong> his life, he ga<strong>the</strong>red his wives, children <strong>and</strong> cattle<br />

<strong>and</strong> fled east, to where <strong>the</strong> trading town of Moshi now st<strong>and</strong>s.<br />

Once at a safe distance – <strong>and</strong> while seeking rights to traverse Marangu L<strong>and</strong> – he met Chief Marealle <strong>the</strong><br />

First. <strong>The</strong> Chief immediately recognised in Sawaya a shrewd negotiator, <strong>and</strong> invited him to settle on his l<strong>and</strong>s.<br />

As <strong>the</strong> family prospered, so <strong>the</strong>ir reputation as kingmakers <strong>and</strong> skilled negotiators grew. After <strong>the</strong> demise of<br />

Sawaya, his firstborn – also Sawaya <strong>Mawalla</strong> – became an elder of <strong>the</strong> tribe, a trusted advisor to Chief Marealle<br />

<strong>and</strong> husb<strong>and</strong> to one of his daughters. Not a decision was taken nor a dispute entered into without <strong>the</strong> wily<br />

Sawaya <strong>Mawalla</strong> at <strong>the</strong> chief’s side.<br />

Chapter 1<br />

From diplomatic relations with visiting Arab <strong>and</strong> European traders, to <strong>the</strong> orchestration of regional wars<br />

in Moshi <strong>and</strong> Kirua, Sawaya <strong>Mawalla</strong> – a wealthy <strong>and</strong> influential l<strong>and</strong>owner holding sway over some 100 square<br />

kilometres of family l<strong>and</strong> – was always in <strong>the</strong> thick of things.<br />

When his son, Juma Reginald Sawaya <strong>Mawalla</strong>, was born in 1934, travel <strong>and</strong> a superior education were<br />

deemed necessary to continue this tradition of excellence.<br />

5


No.3<br />

Juma R. S. <strong>Mawalla</strong><br />

- Founder of <strong>Mawalla</strong> Advocates -


And so – after attending Old Moshi Secondary School <strong>and</strong> Tabora Upper Secondary School, <strong>and</strong> receiving <strong>the</strong><br />

highest honour <strong>for</strong> bravery in <strong>the</strong> Boy Scouts from <strong>the</strong> Queen of Engl<strong>and</strong> – Juma R. S. <strong>Mawalla</strong> left <strong>for</strong> India.<br />

Under <strong>the</strong> watchful eye of Mrs. Indira Gh<strong>and</strong>i (later Prime Minister of India), he received a degree<br />

in Economics. <strong>The</strong>n to <strong>the</strong> University of London where he obtained a Degree of Bachelor of Laws. Back in<br />

Tanzania (<strong>the</strong>n still named Tanganyika), he became one of <strong>the</strong> first Tanganyikans ever to be made a Barrister.<br />

In 1960, while Julius Nyerere was still fighting <strong>for</strong> independence, Juma R S <strong>Mawalla</strong> decided to start his own<br />

law firm. Kibo Chambers was duly registered <strong>and</strong> a Certificate of Admission granted by Her Majesty’s High<br />

Court of Tanganyika. Advocate Juma R S <strong>Mawalla</strong> soon became a feared lawyer, a respected negotiator, <strong>and</strong> his<br />

firm <strong>the</strong> most prestigious in <strong>the</strong> country.<br />

A full life <strong>and</strong> a distinguished career included a long tenure as a director of East African Airways,<br />

representation on <strong>the</strong> East African University Council in Nairobi, establishment of <strong>the</strong> country’s first<br />

Legal Aid Clinic, membership of <strong>the</strong> International Commission of Jurists (ICJ) in 1982 (comprising just<br />

40 members from around <strong>the</strong> world), membership of <strong>The</strong> Pan African Union of Lawyers, <strong>The</strong> African Bar<br />

Association <strong>and</strong> <strong>the</strong> prestigious World Peace through Law Centre.<br />

It was at about this time that his son Nyaga Paul <strong>Mawalla</strong> was born. He first attended Arusha International<br />

School, <strong>and</strong> <strong>the</strong>n IIboru Special Secondary School, settling <strong>for</strong> nothing less than academic excellence.<br />

Torn between entering <strong>the</strong> priesthood <strong>and</strong> enrolling <strong>for</strong> a degree in Mechanical Engineering at Harvard,<br />

Yale or <strong>the</strong> Massachusetts Institute of Technology, Nyaga P <strong>Mawalla</strong> opted instead <strong>for</strong> a Law Degree at <strong>the</strong><br />

University of Dar Es Salaam, which he completed with honours in 1998, leaving behind guides to <strong>the</strong> study<br />

of law still used in that university to this day. Naturally, it wasn’t long be<strong>for</strong>e Nyaga P <strong>Mawalla</strong> became <strong>the</strong><br />

youngest advocate in Tanzania.<br />

Under <strong>the</strong> guidance of Juma R S <strong>Mawalla</strong>, Nyaga P <strong>Mawalla</strong> gained deep experience in all areas of <strong>the</strong><br />

law <strong>and</strong> business.<br />

In 2003, while looking <strong>for</strong> a new location <strong>for</strong> <strong>the</strong> renamed – <strong>and</strong> fast-growing – <strong>Mawalla</strong> Advocates,<br />

he acquired a semi-urban site in <strong>the</strong> outlying suburb of Moivaro Arusha, Nor<strong>the</strong>rn Tanzania’s main<br />

economic centre.<br />

<strong>The</strong> fact that <strong>the</strong> reasonable price of <strong>the</strong> l<strong>and</strong> was directly attributable to <strong>the</strong> lack of access in no way<br />

dissuaded <strong>the</strong> young pioneer. He purchased l<strong>and</strong> from each of his neighbours – a metre or two at a time –<br />

<strong>and</strong> tarred a road to his new front door.<br />

7


No.4<br />

Nyaga Paul <strong>Mawalla</strong><br />

- Pioneer -


<strong>Mawalla</strong> Advocates quickly became prominent as a dynamic, fast growing law firm following this visionary<br />

move to Arusha. Nyaga P <strong>Mawalla</strong> identified exceptional talent <strong>and</strong> assembled a team of motivated lawyers<br />

offering specialised skills in <strong>the</strong> disciplines of corporate, wildlife <strong>and</strong> l<strong>and</strong> law.<br />

Deciding that its future is not in being all things to all men, <strong>the</strong> strategic decision was taken to concen-<br />

trate <strong>Mawalla</strong> Advocate’s focus on corporate governance, wildlife law, real estate, wealth structuring <strong>and</strong><br />

management. Affiliate companies <strong>Mawalla</strong> Holdings Limited (<strong>for</strong>merly known as NPM Holdings limited)<br />

<strong>and</strong> <strong>Mawalla</strong> Trust Limited were incorporated to supplement <strong>the</strong> <strong>Mawalla</strong> group’s core service offerings.<br />

As <strong>the</strong> firm’s business grew, its supporting infrastructure needed to exp<strong>and</strong>. In 2006 <strong>the</strong> firm moved again,<br />

this time to a private estate in Arusha’s Burka suburb, now <strong>Mawalla</strong> Heritage Park.<br />

Inspired as much by a talent <strong>for</strong> wealth creation as a need <strong>for</strong> office space, <strong>Mawalla</strong> Heritage Park now houses<br />

<strong>the</strong> <strong>Mawalla</strong> Law Offices (including <strong>Mawalla</strong> Advocates <strong>and</strong> <strong>Mawalla</strong> Trust Limited), <strong>the</strong> <strong>Mawalla</strong> Corporate<br />

Centre (including <strong>Mawalla</strong> Corporate Services, <strong>Mawalla</strong> Financial Services <strong>and</strong> <strong>Mawalla</strong> Holdings), as well<br />

as a private restaurant <strong>and</strong> eight st<strong>and</strong>-alone residential units.<br />

Known as much <strong>for</strong> breaking new ground, building roads <strong>and</strong> planting trees (leading to <strong>the</strong> <strong>for</strong>mation of<br />

Plant-a-Tree Limited), Nyaga P <strong>Mawalla</strong> has harnessed <strong>the</strong> legendary acumen of <strong>the</strong> <strong>Mawalla</strong> bloodline<br />

<strong>and</strong> honed it through education <strong>and</strong> experience, to ensure that he enriches any project to which he turns<br />

his h<strong>and</strong>.<br />

9


No.5<br />

‘Msongoru’ is <strong>the</strong> Chagga word <strong>for</strong> lawyer.<br />

It means ‘<strong>the</strong> person who walks in front’


If you refuse to be made straight when you are green,<br />

you will not be made straight when you are dry.<br />

‘Msongoru’ is <strong>the</strong> Chagga word <strong>for</strong> lawyer. It means ‘<strong>the</strong> person who<br />

walks in front’. Describing a guide, a sage, a trusted advisor, this definition<br />

is at <strong>the</strong> heart of an honour code which channels our endeavours<br />

in a way that is both ethical <strong>and</strong> practical, both spiritual <strong>and</strong> functional,<br />

mindful of both our past <strong>and</strong> our future. We call it <strong>The</strong> <strong>Mawalla</strong> Way.<br />

Be <strong>for</strong>thright from <strong>the</strong> first; accurately identify those clients you can help <strong>and</strong> those you cannot, so not to<br />

waste <strong>the</strong>ir time or ours.<br />

Be efficient with your energy; achieve optimal results <strong>for</strong> our chosen clients in <strong>the</strong> safest, quickest <strong>and</strong> most<br />

economical way.<br />

Be realistic; bring to bear elements of legal <strong>and</strong> financial literacy (<strong>the</strong> ability to create <strong>and</strong> manage wealth) in<br />

such a way that our clients’ investments <strong>and</strong> business ideals are protected with diligence, care <strong>and</strong> excellence,<br />

without unnecessary complexity or gratuitous recourse to protracted <strong>and</strong> costly litigation.<br />

Leave no stone unturned; be tenacious – whe<strong>the</strong>r in support of a client, in defence of <strong>the</strong> courts or in<br />

<strong>the</strong> promotion of fairness, impartiality <strong>and</strong> integrity.<br />

Be an example to all; embody <strong>the</strong> highest st<strong>and</strong>ards of reasoning, courtesy, independence <strong>and</strong> confidentiality.<br />

Be nobody’s darling; st<strong>and</strong> alone <strong>for</strong> as long as it takes, risking popularity <strong>and</strong> favour, in a quest to do what<br />

must be done <strong>and</strong> say what must be said.<br />

Chapter 02<br />

11


No.6<br />

Mastery of three law systems<br />

- Islamic Law, Customary Law, English common law -


It is foolhardy to climb two trees at once<br />

just because one has two feet.<br />

Underst<strong>and</strong>ing <strong>the</strong> complexity of one legal system is hard enough.<br />

Underst<strong>and</strong>ing Three Systems of Law as <strong>the</strong>y apply within one country<br />

is near impossible.<br />

Tanzania’s legal system combines Islamic law, customary law <strong>and</strong><br />

a legacy of English common law, <strong>and</strong> requires a unique blend of skills<br />

<strong>and</strong> mastery of a dazzling array of precedents.<br />

In <strong>the</strong>mselves, <strong>the</strong> Judicature <strong>and</strong> Application of Laws Act <strong>and</strong> <strong>the</strong> Mode of Life Test (that toge<strong>the</strong>r deter-<br />

mine which legal system will apply <strong>and</strong> when) often prove to be beyond <strong>the</strong> grasp of all but <strong>the</strong> most astute<br />

legal minds.<br />

Chapter 03<br />

13


No.7<br />

Giving business a raised<br />

plat<strong>for</strong>m <strong>for</strong> flight


<strong>The</strong> prosperity of <strong>the</strong><br />

trees is <strong>the</strong> well being of <strong>the</strong> birds.<br />

Over <strong>the</strong> years, <strong>the</strong> pursuit of legally based yet business oriented solutions<br />

to <strong>the</strong> complicated issues facing business set-ups in Tanzania has<br />

led <strong>Mawalla</strong> Advocates to specialise in solutions ranging from real estate<br />

development, asset <strong>and</strong> property acquisition, to statutory compliance,<br />

corporate governance, investment <strong>and</strong> project financing. But it has also<br />

propelled us into <strong>the</strong> <strong>for</strong>efront of change, dem<strong>and</strong>ing that we blaze a trail<br />

as A Pioneering Force within our profession.<br />

<strong>The</strong> firm set up Tanzania’s first Legal Aid Clinic in <strong>the</strong> early 1980s to offer legal knowledge <strong>and</strong> access<br />

to justice <strong>for</strong> <strong>the</strong> less <strong>for</strong>tunate.<br />

Our Conveyancing Division has h<strong>and</strong>led over 50% of major conveyancing <strong>and</strong> merger & acquisition<br />

transactions in <strong>the</strong> Arusha <strong>and</strong> Kilimanjaro regions.<br />

Pioneered many aspects of Tanzania’s l<strong>and</strong>ed property law, including <strong>the</strong> creation of models <strong>for</strong> ease-<br />

ments to o<strong>the</strong>rwise inaccessible l<strong>and</strong>, planning highest <strong>and</strong> best use models <strong>for</strong> l<strong>and</strong> use, zoning <strong>for</strong> l<strong>and</strong> use<br />

<strong>and</strong> l<strong>and</strong> rent purposes, subdividing to enhance <strong>the</strong> value of l<strong>and</strong>, creation of titles <strong>for</strong> clients to have<br />

bankable documents, drawing up restrictive covenants <strong>for</strong> estates <strong>and</strong> enabling properly planned suburbs <strong>and</strong><br />

satellite towns.<br />

We set up <strong>the</strong> first, fully licensed Trust Division in Tanzania. This trust currently holds funds, equity <strong>and</strong> inter-<br />

ests exceeding USD 5,000,000 in trust <strong>for</strong> its clients.<br />

Chapter 04<br />

<strong>Mawalla</strong> Advocates was <strong>the</strong> first firm to <strong>for</strong>m a dedicated Corporate Services Division offering a full range<br />

of corporate management solutions to clients, including a comprehensive data <strong>and</strong> record keeping system<br />

<strong>for</strong> proper corporate governance <strong>and</strong> a l<strong>and</strong>ed property management system <strong>for</strong> managing company assets.<br />

Corporate Services currently manages over 100 companies.<br />

15


No.8<br />

Creating stars <strong>for</strong> o<strong>the</strong>rs to navigate <strong>the</strong>ir<br />

way in <strong>the</strong> world of business


We pioneered <strong>the</strong> establishment of a Financial Services Division to offer various financial services to <strong>Mawalla</strong><br />

group clients. Financial Services advises <strong>and</strong> provides financial services to clients to ensure <strong>the</strong>y comply with<br />

Tanzania’s Income Tax Act [No. 11 of 2004].<br />

We pioneered models to enable hunting companies to consolidate <strong>for</strong> efficiency.<br />

We were <strong>the</strong> first firm to set up a fund to conduct community conservation <strong>and</strong> block development<br />

in terms of Tanzania’s Hunting Regulations of 2000 (as amended).<br />

We pioneered Tanzania’s first Private Public Partnership (PPP) in wildlife management areas by facilitating<br />

<strong>and</strong> negotiating investment agreements, as well as creating models of how Wildlife <strong>Management</strong> Areas should<br />

be valued <strong>and</strong> how proceeds should be derived <strong>and</strong> distributed.<br />

We were Tanzania’s first training-orientated law firm offering clear training guidelines, a value system<br />

<strong>for</strong> interns <strong>and</strong> office <strong>and</strong> accommodation facilities of a high st<strong>and</strong>ard.<br />

<strong>The</strong> <strong>Mawalla</strong> group presently comprises 20 lawyers specialising in various disciplines, supported by<br />

70 employees, all of whom are instructed <strong>and</strong> expected to conduct <strong>the</strong>ir relationships with clients <strong>and</strong> each<br />

o<strong>the</strong>r in terms of <strong>The</strong> <strong>Mawalla</strong> Way.<br />

17


No.9<br />

Providing our clients with all <strong>the</strong> business channels<br />

- under one canopy -


<strong>The</strong> elephant eats from<br />

many trees.<br />

Effective protection of wealth dem<strong>and</strong>s proficiency in a number of key<br />

Wealth Creation <strong>and</strong> <strong>Management</strong> Services. Each one of <strong>the</strong>se specialised<br />

services stems from our time-honoured ability to craft solutions that<br />

are legally based but with a powerful business-friendly orientation. Each<br />

has been honed by our founding fa<strong>the</strong>rs <strong>and</strong> <strong>the</strong>ir associates over generations,<br />

<strong>and</strong> each is dedicated to one singleminded mission: to manage<br />

<strong>the</strong> wealth of those who have it, <strong>and</strong> to unlock value <strong>for</strong> those who don’t,<br />

<strong>the</strong>reby improving <strong>the</strong> plight of all.<br />

Real Estate Services<br />

With a long <strong>and</strong> proud history of ground-breaking projects, including <strong>the</strong> development of virgin l<strong>and</strong>, <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong> has long been at <strong>the</strong> <strong>for</strong>efront of implementing real estate legislation. <strong>The</strong> <strong>Group</strong> has consider-<br />

able experience in planning <strong>and</strong> zoning l<strong>and</strong>, <strong>and</strong> advising on real estate finance, real estate investment, real<br />

estate investment trusts, real estate litigation, real estate private equity, real estate securitisations <strong>and</strong> real<br />

estate tax.<br />

Trust <strong>and</strong> <strong>Management</strong> Services<br />

As a long-st<strong>and</strong>ing family business, ensuring that a legacy passes safely from one generation to <strong>the</strong> next<br />

is always close to <strong>the</strong> hearts of <strong>the</strong> <strong>Mawalla</strong> people. <strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> has pioneered <strong>the</strong> <strong>for</strong>mation of <strong>the</strong><br />

first duly licensed trust company dedicated to establishing <strong>and</strong> managing trusts, advising on asset protection<br />

schemes, preparing wills <strong>and</strong> administering deceased persons’ estates, acting as attorneys, providing inde-<br />

pendent trustees <strong>and</strong> corporate trustee services, setting up charitable trusts <strong>and</strong> companies, <strong>and</strong> providing<br />

custodial or nominee management services<br />

Chapter 05<br />

19


No.10<br />

<strong>Mawalla</strong> a place <strong>for</strong> all to learn, grow,<br />

protect <strong>and</strong> create wealth


Corporate Services<br />

<strong>The</strong> skills developed in building, managing <strong>and</strong> maintaining <strong>Mawalla</strong>’s own diversified group of companies<br />

are successfully applied on behalf of o<strong>the</strong>r corporations. <strong>The</strong>se competencies extend to per<strong>for</strong>ming complex<br />

mergers <strong>and</strong> acquisitions, overseeing private equity <strong>and</strong> private equity funds, <strong>and</strong> advising on all aspects of<br />

corporate management <strong>and</strong> governance.<br />

Asset <strong>Management</strong> Services<br />

<strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> has learned from its many clients that <strong>the</strong> only aspect of wealth more challenging<br />

than creating it, is <strong>the</strong> ability to keep it. As a result, <strong>Mawalla</strong> Asset <strong>Management</strong>’s skills extend to all manner<br />

of wealth <strong>and</strong> asset management, including asset management outsourcing.<br />

In summary, <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>’s Wealth Creation <strong>and</strong> <strong>Management</strong> divisions expertly consult, invest <strong>and</strong><br />

manage wealth <strong>and</strong> assets <strong>for</strong> our clients, always in accordance with <strong>The</strong> <strong>Mawalla</strong> Way.<br />

21


This tree <strong>and</strong> that, under which one will you sit?<br />

Here <strong>and</strong> <strong>the</strong>re a road, which one will you follow?<br />

-<br />

African Riddle Proverb


<strong>Mawalla</strong> Road <strong>Mawalla</strong> Heritage Park Plot No. 175/20 <strong>Mawalla</strong> Law Offices Arusha Tanzania P. O. Box 6101<br />

Telephone: +255 754 282 038 Telephone/Facsimile: +255 732 972 468 Electronic mail: law.reception@mawalla.co.tz<br />

Website: www.mawalla.co.tz<br />

1


<strong>Strategic</strong> Plan(s) <strong>and</strong> <strong>Management</strong> Questionnaire<br />

For Mr. Nyaga Paul <strong>Mawalla</strong><br />

Position: CEO of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong><br />

By:<br />

Irene Ngowi (LL.B, MBA), 2009


Q1. What is <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> <strong>Strategy</strong>?<br />

a) <strong>The</strong> short term plans – <strong>Strategic</strong> <strong>Plans</strong>?<br />

b) <strong>The</strong> long term plans – <strong>Strategic</strong> <strong>Plans</strong> <strong>and</strong> <strong>Management</strong> <strong>Plans</strong>?<br />

Answer:<br />

Q. A) <strong>The</strong> short term strategic plans <strong>for</strong> <strong>Mawalla</strong> <strong>Group</strong> consists of:<br />

1) Creating a product line to sell under <strong>the</strong> <strong>Mawalla</strong> Br<strong>and</strong>. This product line will comprise of<br />

services that are offered under:<br />

a) <strong>Mawalla</strong> & Advocates;<br />

b) <strong>Mawalla</strong> Financial Services;<br />

c) <strong>Mawalla</strong> Corporate Services;<br />

d) <strong>Mawalla</strong> Real Estate Services.<br />

2) Creating systems that will enable <strong>the</strong> use of <strong>the</strong> product line <strong>and</strong> ensure that <strong>the</strong> products under<br />

<strong>the</strong> br<strong>and</strong> reach <strong>the</strong> desired target groups – i.e. individuals, corporations (public <strong>and</strong> private).<br />

<strong>The</strong> following systems have been created already:<br />

a) <strong>The</strong> corporate data profile – a system to be utilized by <strong>Mawalla</strong> Corporate Services Limited;<br />

b) <strong>The</strong> property data profile – a system to be utilized by <strong>Mawalla</strong> Advocates under <strong>the</strong> <strong>Mawalla</strong><br />

Real Estate Services Department.<br />

c) A financial data profile – system to be utilized by <strong>Mawalla</strong> Financial Services Limited.<br />

3) Rolling out <strong>the</strong> three systems to corporations <strong>and</strong> o<strong>the</strong>r law firms within <strong>the</strong> country <strong>for</strong> use.<br />

This is will involve a marketing strategy as all corporations <strong>and</strong> law firms will be at liberty to buy<br />

(at a nominal value) <strong>and</strong> use <strong>the</strong> systems. However, <strong>the</strong> said end users will not be at liberty to<br />

alter or change <strong>the</strong> systems without <strong>the</strong> authorization of <strong>Mawalla</strong>. Thus, <strong>Mawalla</strong> shall reserve<br />

all rights of <strong>the</strong> systems under <strong>the</strong> br<strong>and</strong> <strong>Mawalla</strong>.<br />

4) Enter into a Public Private Partnership (PPP) with <strong>the</strong> Business Registrations & Licensing Agency<br />

(BRELA) to provide corporate services to all <strong>the</strong> 26 regions of Tanzania by opening an office in all<br />

regional capitals of Tanzania within five (5) years starting with four (4) in <strong>the</strong> next five years.<br />

Page 2 of 27


B) <strong>The</strong> Long term plan <strong>and</strong> strategic management plan <strong>for</strong> <strong>the</strong> core business of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> of<br />

Companies (operating under <strong>Mawalla</strong> Advocates) is wealth creation <strong>and</strong> management, which will be<br />

done through <strong>the</strong> provision of <strong>the</strong> following services:<br />

1) <strong>The</strong> Provision of Real Estate Services by implementing real estate legislation; planning <strong>and</strong><br />

zoning; advising on real estate finance; real estate investment, real estate investment trusts,<br />

real estate litigation, real estate private equity, real estate securitization <strong>and</strong> real estate tax.<br />

2) <strong>The</strong> Provision of Trust <strong>and</strong> <strong>Management</strong> services by establishing <strong>and</strong> managing trusts,<br />

advising on asset protection schemes, preparing wills <strong>and</strong> administering estates, acting as<br />

attorneys, providing independent trustees <strong>and</strong> corporate trustee services, setting up<br />

charitable trusts <strong>and</strong> companies <strong>and</strong> providing custodial or nominee management services.<br />

3) <strong>The</strong> Provision of Corporate Services by building, managing <strong>and</strong> maintaining groups of<br />

companies on behalf of o<strong>the</strong>r corporations; per<strong>for</strong>ming complex mergers <strong>and</strong> acquisitions;<br />

overseeing private equity <strong>and</strong> private equity funds <strong>and</strong> advising on all aspects of corporate<br />

management <strong>and</strong> governance.<br />

4) <strong>The</strong> Provisions of Asset <strong>Management</strong> Services by advising on asset management <strong>and</strong><br />

investment, including outsourcing of <strong>the</strong> same to expert consultants within <strong>and</strong> abroad.<br />

5) Helping to create <strong>and</strong> manage an Institute of Chartered Secretaries (ICS) in Tanzania <strong>and</strong><br />

training young lawyers on how to become chartered secretaries <strong>for</strong> companies in East Africa.<br />

6) <strong>The</strong> <strong>for</strong>ming of a partnership with Rooth Wessels Motla Conradie in (Pretoria – Brooklyn - a<br />

law firm in South Africa) <strong>and</strong> or any o<strong>the</strong>r Law Firm anywhere else in <strong>the</strong> world <strong>and</strong> <strong>the</strong><br />

University of Free State also in South Africa (<strong>and</strong> or any o<strong>the</strong>r University anywhere else in <strong>the</strong><br />

world), to work towards developing new product lines <strong>for</strong> use in both jurisdictions.<br />

7) <strong>The</strong> managent of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> in Partnership with <strong>the</strong> five main Associates of <strong>Mawalla</strong><br />

Advocates.<br />

8) <strong>The</strong> entering into a Public Private Partnership (PPP) with <strong>the</strong> Business Registrations &<br />

Licensing Agency (BRELA) <strong>and</strong> <strong>the</strong> Tanzania Investment Center (TIC), as well as work with<br />

programmes such as Mpango wa Kurasimisha Rasilimali na Biashara za Wanyonge Tanzania (<br />

MKURABITA) (<strong>the</strong> programe <strong>for</strong> <strong>the</strong> legal <strong>and</strong> economic empowerment of <strong>the</strong> poor in<br />

Tanzania); <strong>and</strong> MKUKUTA (National <strong>Strategy</strong> <strong>for</strong> growth <strong>and</strong> Reduction of Poverty in<br />

Tanzania), in order to assist in business <strong>for</strong>malization in Tanzania by rolling out corporate<br />

services in all <strong>the</strong> regions of Tanzania <strong>and</strong> <strong>the</strong>reby assist in poverty reduction.<br />

9) <strong>The</strong> provision of tax <strong>and</strong> financial advise through <strong>Mawalla</strong> Financial Services Ltd to public <strong>and</strong><br />

private companies, hence assist <strong>the</strong> Tanzania Revenue Authority (TRA) to collect taxes in<br />

<strong>the</strong>ir capacity as tax consultants.<br />

Page 3 of 27


10) <strong>The</strong> provision of legal corporate securities services through <strong>Mawalla</strong> Corporate Services<br />

Limited to Major Banks throughout <strong>the</strong> Nor<strong>the</strong>rn Region of Tanzania.<br />

11) <strong>The</strong> setting up of a Research <strong>and</strong> Development (R&D) Department within <strong>Mawalla</strong><br />

Advocates that shall provide legal opinions on various legal issues to individuals <strong>and</strong><br />

corporations (private <strong>and</strong> public) on diverse legal issues.<br />

Page 4 of 27


Q2. Which of <strong>the</strong> alternatives below best describes how is <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> <strong>Strategy</strong> is <strong>for</strong>mulated:<br />

Answer:<br />

a) By <strong>the</strong> Chief Architect Approach (where <strong>the</strong>re is one major player e.g. Dell <strong>and</strong> Microsoft)?<br />

b) <strong>The</strong> Delegation Approach (where <strong>the</strong> CEO gives <strong>the</strong> responsibilities to people closer to <strong>the</strong><br />

activities per<strong>for</strong>med by <strong>the</strong> organization)?<br />

c) <strong>The</strong> Collaborative/team Approach - (team composing different section of employees)?<br />

d) <strong>The</strong> Corporate/Entrepreneur Approach (which relies on middle or lower managers <strong>and</strong><br />

teams to spot new business opportunities e.g. Hewitt <strong>and</strong> Packard)?<br />

<strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> <strong>Strategy</strong> is <strong>for</strong>mulated by (a) <strong>The</strong> Chief Architect Approach where <strong>the</strong>re is one major<br />

player - being Mr. <strong>Mawalla</strong>.<br />

Mr. <strong>Mawalla</strong> is <strong>the</strong> Sole Proprietor of <strong>Mawalla</strong> Advocates, (procedures are underway to make <strong>Mawalla</strong><br />

Advocates a Limited Liability Partnership (LLP) under Mr. <strong>Mawalla</strong> <strong>and</strong> Mr. Lemmy Bartholomew) <strong>and</strong> up<br />

to now, it is through Mr. <strong>Mawalla</strong> that all <strong>the</strong> strategies are <strong>for</strong>mulated. Mr. <strong>Mawalla</strong>, who was inspired<br />

by his Fa<strong>the</strong>r, Mr. Juma R. S. <strong>Mawalla</strong>, is solely <strong>the</strong> mastermind behind <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> progressive<br />

strategy. According to him, <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> strategy is periodically developed, <strong>for</strong> a term of five<br />

years each. <strong>The</strong> following are <strong>the</strong> strategic periods under which <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> has been operating:<br />

1) Phase One <strong>Strategy</strong>: From 1998 – 2003 – During this Period, <strong>the</strong> <strong>Mawalla</strong> <strong>Strategy</strong> was focused<br />

on <strong>the</strong> development of infrastructure, assessment of its competitors <strong>and</strong> <strong>the</strong> opportunities<br />

available.<br />

2) Phase Two <strong>Strategy</strong>: From 2003 -2008 – During this Period <strong>the</strong> <strong>Mawalla</strong> <strong>Strategy</strong> was focused on<br />

<strong>the</strong> development of internal systems, creation of product lines, br<strong>and</strong>ing <strong>and</strong> marketing.<br />

3) Phase Three <strong>Strategy</strong>: From 2008 – 2013 – During this Period, <strong>the</strong> <strong>Mawalla</strong> <strong>Strategy</strong> is focused<br />

on perfecting <strong>the</strong> legal skills of <strong>the</strong> lawyers, assessing its resources, consolidating its businesses,<br />

directing its focus on its capabilities, strengths <strong>and</strong> pursuing its current strategic plans <strong>and</strong><br />

strategic management module.<br />

Page 5 of 27


Q3. Why has <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> chosen <strong>the</strong> specific <strong>Strategy</strong> Formulation process mentioned under Q2<br />

above?<br />

Answer:<br />

Mr. <strong>Mawalla</strong> has opted to use <strong>the</strong> Chief Architect Approach as a strategic plan <strong>for</strong>mulation process <strong>for</strong><br />

<strong>the</strong> simple reason that <strong>the</strong> core business of <strong>the</strong> <strong>Group</strong> is law practice.<br />

A. Advantages of this <strong>Strategy</strong> <strong>for</strong>mulation process:<br />

1) This approach ensures that <strong>the</strong>re are no variations in <strong>the</strong> Business <strong>Strategy</strong>, i.e. <strong>the</strong> Blue Ocean<br />

<strong>Strategy</strong> by <strong>the</strong> <strong>Group</strong> <strong>and</strong> or dissimilar interpretations in <strong>the</strong> application of <strong>the</strong> law at <strong>Mawalla</strong><br />

Advocates; hence creating a united <strong>Mawalla</strong> Way. This is reflected in <strong>the</strong> systems that are<br />

developed to ensure that <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> is run uni<strong>for</strong>mly <strong>and</strong> <strong>the</strong> clients are served<br />

accordingly.<br />

2) This approach also ensures that <strong>the</strong>re is one point of control <strong>and</strong> that <strong>the</strong> same rests with <strong>the</strong><br />

Mr. <strong>Mawalla</strong>.<br />

3) This approach ensures that <strong>Strategy</strong> <strong>and</strong> <strong>Strategic</strong> <strong>Plans</strong> are implemented as it is presented; not<br />

withst<strong>and</strong>ing <strong>the</strong> normal <strong>and</strong> necessary adjustments that are made on parts of <strong>the</strong> <strong>Strategic</strong><br />

Plan.<br />

B. Disadvantages of this <strong>Strategy</strong> <strong>for</strong>mulation process:<br />

1) <strong>The</strong> down fall of this <strong>Strategic</strong> Plan initiation <strong>and</strong> <strong>for</strong>mulation process is that, <strong>the</strong> people<br />

involved in <strong>the</strong> implementation of <strong>the</strong> <strong>Strategic</strong> Plan need to be made to underst<strong>and</strong> fully <strong>the</strong><br />

Business <strong>Strategy</strong> of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, <strong>the</strong> <strong>Strategic</strong> Plan itself, envision <strong>the</strong> results <strong>and</strong><br />

pursue whole heartedly <strong>the</strong> objectives of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>. This sometimes tends to be a<br />

difficult task, <strong>and</strong> Mr. <strong>Mawalla</strong> may need to massively educate <strong>the</strong> implementers <strong>and</strong><br />

sometimes <strong>the</strong> implementers of <strong>the</strong> <strong>Strategic</strong> Plan may not underst<strong>and</strong> or agree <strong>and</strong> hence fail<br />

to implement <strong>the</strong> <strong>Strategic</strong> Plan accordingly.<br />

2) This <strong>Strategic</strong> Plan initiation <strong>and</strong> <strong>for</strong>mulation process sometimes leads <strong>the</strong> implementers to<br />

believe that <strong>the</strong>y are merely implementing <strong>the</strong> ideas of one visionary.<br />

3) When Mr. <strong>Mawalla</strong> is not available to make a final decision, <strong>the</strong> implementers may be str<strong>and</strong>ed<br />

<strong>and</strong> left without a <strong>Strategic</strong> leader.<br />

Page 6 of 27


Q4. How are <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> <strong>Strategic</strong> <strong>Plans</strong> implemented? How are <strong>the</strong> CEO, <strong>the</strong> Senior Managers,<br />

<strong>and</strong> <strong>the</strong> Managers responsible <strong>for</strong> specific Functions or Departments <strong>and</strong> <strong>the</strong> Managers of Major<br />

Operating Units responsible <strong>for</strong> implementing <strong>the</strong> strategic plan?<br />

Answer:<br />

In reference to <strong>the</strong> <strong>Group</strong> Structure appearing under Figure 1 above; however, <strong>the</strong> simpler structure of<br />

<strong>the</strong> strategy implementation process is as appearing on Figure 2 below;<br />

<strong>Mawalla</strong> Corporate Services <strong>Mawalla</strong> Advocates<br />

<strong>Mawalla</strong> Financial Services<br />

Figure 2.<br />

Key:<br />

Trust & Tax<br />

Consultancy<br />

Services<br />

Department<br />

Solid Line – means reporting to<br />

Real Estate<br />

Services<br />

Department<br />

Broken Line – means associated with<br />

<strong>Mawalla</strong> Trust Limited<br />

Senior Associate Senior Associate Senior Associate Senior Associate Senior Associate<br />

Research<br />

Development<br />

& Opinion<br />

Department<br />

Wealth<br />

<strong>Management</strong><br />

Services<br />

Department<br />

Specialized<br />

Litigation<br />

Services<br />

Department<br />

Page 7 of 27


From Figure 2 above, <strong>the</strong> Law Firm (<strong>Mawalla</strong> Advocates) is run by <strong>the</strong> five main Associates (also known<br />

as Senior Associates) who report to Mr. <strong>Mawalla</strong> <strong>and</strong> likewise receive instructions from him. <strong>The</strong> five<br />

main Associates are also <strong>the</strong> Heads of <strong>the</strong> Departments as above indicated, <strong>and</strong> <strong>the</strong>y are responsible <strong>for</strong><br />

<strong>the</strong> implementation of specific strategies under each Department. <strong>Mawalla</strong> Advocates, being <strong>the</strong> core<br />

business of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, is headed by Mr. <strong>Mawalla</strong>. Legally, <strong>Mawalla</strong> Advocates is a Sole<br />

Proprietor Business belonging to <strong>Mawalla</strong> trading as <strong>Mawalla</strong> Advocates. In <strong>the</strong> process to make easy<br />

<strong>the</strong> strategy implementation process, each Department has a defined m<strong>and</strong>ate <strong>for</strong> operations, <strong>and</strong> time<br />

frame within which to complete <strong>the</strong> tasks, <strong>and</strong> a budget within which to operate.<br />

<strong>The</strong> two main companies, being <strong>Mawalla</strong> Corporate Services Limited <strong>and</strong> <strong>Mawalla</strong> Financial Services<br />

Limited, are run by Directors, under <strong>the</strong> umbrella of <strong>Mawalla</strong> Trust Limited. <strong>The</strong> <strong>Strategic</strong> <strong>Plans</strong> of <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong> are implemented under <strong>the</strong> Br<strong>and</strong> name <strong>Mawalla</strong> through <strong>the</strong> two main companies.<br />

<strong>Mawalla</strong> Trust Limited is a trust company. It operates through <strong>the</strong> three companies being, <strong>Mawalla</strong><br />

Advocates, <strong>Mawalla</strong> Corporate Services Limited <strong>and</strong> <strong>Mawalla</strong> Financial Services. <strong>Mawalla</strong> Trust Limited<br />

also has development rights <strong>for</strong> specific projects which are carried out directly under <strong>the</strong> trust company<br />

as depicted on Figure 1 of this document.<br />

Page 8 of 27


Q5. How is <strong>the</strong> <strong>Strategic</strong> process of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> initialed <strong>and</strong> agreed upon? What is <strong>the</strong> role of<br />

<strong>the</strong> Associates in <strong>the</strong> process?<br />

Answer:<br />

<strong>The</strong> <strong>Strategic</strong> process of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> is initialed by Mr. <strong>Mawalla</strong> in <strong>the</strong> following manner:<br />

1) Mr. <strong>Mawalla</strong> presents a strategic plan as an idea to <strong>the</strong> five main Associates at a meeting of <strong>the</strong><br />

Associates of <strong>Mawalla</strong> Advocates. <strong>The</strong>re are instances in which anyone of <strong>the</strong> five main<br />

associates may initial a strategy, <strong>and</strong> a meeting is held to discuss <strong>the</strong> same. However, such<br />

situations are rare.<br />

2) <strong>The</strong> <strong>Strategy</strong> is <strong>the</strong>n processed by deliberation, assessing <strong>the</strong> legal, financial, <strong>and</strong> sometimes<br />

ethical outcome <strong>for</strong> <strong>the</strong> implementation of <strong>the</strong> strategy.<br />

3) <strong>The</strong> implementation process <strong>and</strong> <strong>the</strong> evaluation process of <strong>the</strong> strategy are agreed upon.<br />

4) Once <strong>the</strong> strategy has been introduced at <strong>the</strong> first meeting, Mr. <strong>Mawalla</strong> <strong>the</strong>n packages <strong>the</strong><br />

strategy (by polishing <strong>the</strong> ideas in consultation with relevant persons <strong>and</strong> organizations in<br />

Tanzania <strong>and</strong> abroad, also by reviewing <strong>the</strong> internal process of how <strong>the</strong> strategy shall be<br />

implemented to completion).<br />

5) Mr. <strong>Mawalla</strong> <strong>the</strong>reafter calls ano<strong>the</strong>r meeting in which <strong>the</strong> strategy is once again deliberated,<br />

appraised <strong>and</strong> or criticized (if need be).<br />

6) Once <strong>the</strong> strategy is understood <strong>and</strong> <strong>the</strong> strategy implementation process is agreed upon, <strong>the</strong><br />

implementation process is set to motion by <strong>the</strong> heads of departments <strong>and</strong> <strong>the</strong> various staff<br />

beneath <strong>the</strong>m.<br />

Page 9 of 27


Q6. What are <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> m<strong>and</strong>ates?<br />

Answer:<br />

<strong>The</strong> m<strong>and</strong>ates of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> lay with <strong>the</strong> various officials of <strong>the</strong> Companies under <strong>the</strong> <strong>Group</strong> as<br />

follows beginning from <strong>the</strong> top:<br />

A. Mr. <strong>Mawalla</strong> (<strong>the</strong> Sole Proprietor):<br />

1) He is <strong>the</strong> ultimate boss, who makes all of <strong>the</strong> strategic decisions. His decisions are final;<br />

2) He initiates <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong>, sees through <strong>the</strong> implementation of <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong><br />

<strong>and</strong> evaluates <strong>the</strong> outcome of <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong>;<br />

3) He provides <strong>the</strong> strategic visions, <strong>the</strong> objectives <strong>and</strong> <strong>the</strong> values <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>;<br />

4) He selects <strong>the</strong> clients, <strong>the</strong> projects, marks <strong>the</strong> time frames <strong>and</strong> <strong>the</strong> financial investment<br />

to be injected into each project;<br />

5) He decides on <strong>the</strong> strategic plans <strong>and</strong> strategic management;<br />

6) He decides on <strong>the</strong> operations of <strong>the</strong> Departments <strong>and</strong> <strong>the</strong> budget <strong>and</strong> profit allocation<br />

to each Department;<br />

7) He is <strong>the</strong> pioneer developer of <strong>the</strong> various product lines <strong>and</strong> <strong>the</strong> data base system, he is<br />

also <strong>the</strong> sole owner of <strong>the</strong> copyrights to <strong>the</strong> systems;<br />

8) He is <strong>the</strong> backbone <strong>and</strong> think tank of <strong>the</strong> entire <strong>Group</strong> of Companies;<br />

B. Senior Associates: <strong>The</strong>se include <strong>the</strong> five (5) main associates of <strong>Mawalla</strong> Advocates:<br />

1) <strong>The</strong>se are responsible to <strong>the</strong>ir individual Departments <strong>and</strong> have <strong>the</strong> m<strong>and</strong>ate to decide<br />

<strong>the</strong> matters within <strong>the</strong>ir Departments, provided <strong>the</strong> same are in line with <strong>the</strong> strategic<br />

plans <strong>and</strong> management of <strong>the</strong> entire <strong>Mawalla</strong> <strong>Group</strong>;<br />

2) Each Senior Associates or <strong>the</strong> Head of <strong>the</strong> Department is m<strong>and</strong>ated to operate an<br />

account set up <strong>for</strong> <strong>the</strong> specific Department <strong>and</strong> are responsible <strong>for</strong> <strong>the</strong> supervision of<br />

<strong>the</strong> tasks carried out by <strong>the</strong> junior staff working within <strong>the</strong> departments;<br />

3) Senior Associates are required to hold meetings with <strong>the</strong>ir assistants to direct, clarify<br />

<strong>and</strong> guide <strong>the</strong>m on <strong>the</strong> implementation of <strong>the</strong> <strong>Group</strong>’s <strong>Strategic</strong> plans;<br />

4) Senior Associates are also responsible to ensure that clients’ work done under <strong>the</strong>ir<br />

Departments is timely completed;<br />

5) <strong>The</strong>se Heads of Departments are also Advocates. In this capacity, <strong>the</strong>y are directly<br />

responsible to clients of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>.<br />

Page 10 of 27


C. Junior Associates: <strong>The</strong>se include legal officers, legal interns <strong>and</strong> trainees who work with<br />

<strong>Mawalla</strong> Advocates periodically. <strong>The</strong>ir m<strong>and</strong>ates are as follows:<br />

1) To research <strong>and</strong> present findings on various legal matters as <strong>the</strong>y shall be directed by<br />

<strong>the</strong> Senior Associates;<br />

2) To implement <strong>the</strong> products developed under <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>;<br />

3) To put to test <strong>the</strong> systems that are created <strong>and</strong> criticize <strong>the</strong> same where need be;<br />

4) To assist <strong>the</strong> Senior Associates in all matters as shall be directed by <strong>the</strong>m.<br />

D. Non Legal Staff: <strong>The</strong>se include an entire department of accountants working with <strong>the</strong> <strong>Mawalla</strong><br />

Financial Services, Consultants <strong>and</strong> <strong>the</strong> Support staff;<br />

1) <strong>The</strong> Accountants are responsible <strong>for</strong> <strong>the</strong> management of <strong>the</strong> accounts of <strong>the</strong> entire<br />

<strong>Mawalla</strong> <strong>Group</strong>;<br />

2) Accountants are also m<strong>and</strong>ated to produce <strong>the</strong>ir own product line (under <strong>the</strong> Br<strong>and</strong>) to<br />

sell to <strong>the</strong> clients of <strong>Mawalla</strong> Advocates <strong>and</strong> <strong>Mawalla</strong> Corporate Services Limited;<br />

3) <strong>The</strong> Consultants are hired on a need basis <strong>and</strong> are m<strong>and</strong>ated to use <strong>the</strong> <strong>Group</strong>’s<br />

infrastructure to carry out <strong>the</strong>ir tasks in line with <strong>the</strong> strategic plans of <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong>;<br />

4) <strong>The</strong> Support Staff include <strong>the</strong> Officer Administrators, <strong>the</strong> Drivers, <strong>the</strong> Cleaners <strong>and</strong> <strong>the</strong><br />

Gardeners, Security <strong>and</strong> <strong>the</strong> Maintenance <strong>and</strong> Repair personnel, who are responsible <strong>for</strong><br />

<strong>the</strong> various tasks that are allocated to <strong>the</strong>m accordingly by <strong>the</strong> Sole Proprietor, <strong>the</strong><br />

Heads of Departments, <strong>the</strong> Accountants <strong>and</strong> Consultants.<br />

Page 11 of 27


Q7. What is <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> <strong>Strategic</strong> Vision? What is <strong>the</strong> <strong>Mawalla</strong> Mission Statement?<br />

Answer:<br />

A. <strong>Mawalla</strong> <strong>Group</strong> <strong>Strategic</strong> Vision consists of <strong>the</strong> following:<br />

1) To craft <strong>and</strong> timely deliver solutions that are in accordance with <strong>the</strong> most advanced<br />

technological systems which, are also legally based, but with a powerful business – friendly<br />

orientation in real estate services, trust management services, corporate services <strong>and</strong> asset<br />

management services.<br />

2) To create <strong>the</strong> blue ocean strategy focusing on capturing new dem<strong>and</strong>, breaking <strong>the</strong> value cost<br />

trade off, creating an uncontested market space, making competition irrelevant, <strong>and</strong> aligning<br />

<strong>the</strong> whole system of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>’s activities with its strategic choice of differentiation<br />

<strong>and</strong> low cost.<br />

3) To create <strong>and</strong> br<strong>and</strong> corporate, property <strong>and</strong> financial data profile systems that will be made<br />

available to all corporations (public <strong>and</strong> private) in East Africa at a nominal price <strong>and</strong> to roll out<br />

or duplicate <strong>the</strong> <strong>Mawalla</strong> Corporate <strong>and</strong> Financial Services in Tanzania within a five year time<br />

frame.<br />

4) To <strong>for</strong>m partnerships with public institutions, o<strong>the</strong>r law firms in Tanzania <strong>and</strong> abroad, as well as<br />

to partner with a University(ies) in order to obtain better or more qualified human resource <strong>and</strong><br />

train its legal associates under <strong>Mawalla</strong> Advocates.<br />

B. <strong>Mawalla</strong> <strong>Group</strong> Mission Statement:<br />

• ‘To manage <strong>the</strong> wealth of those who have it <strong>and</strong> to unlock value <strong>for</strong> those who don’t, <strong>the</strong>reby<br />

improving <strong>the</strong> plight of all.’<br />

• <strong>The</strong> Slogan <strong>for</strong> <strong>the</strong> <strong>Group</strong> reads: “Taking care of Business”.<br />

Page 12 of 27


Q8. From <strong>the</strong> alternatives below, which alternative best describes how <strong>Strategic</strong> Planning is Monitored<br />

at <strong>Mawalla</strong> <strong>and</strong> why?<br />

a) by evaluating per<strong>for</strong>mance,<br />

b) by reviewing changes in <strong>the</strong> surrounding environment,<br />

c) by making adjustments that are normal <strong>and</strong> necessary on parts of strategic management?<br />

Answer:<br />

<strong>Strategic</strong> Planning at <strong>Mawalla</strong> is monitored by (c) above mentioned i.e. by making adjustments that are<br />

normal <strong>and</strong> necessary on parts of strategic management.<br />

Reason:<br />

This is because <strong>the</strong> <strong>Mawalla</strong> core business is Law Practice, hence <strong>the</strong> need to create a strategic plan <strong>and</strong><br />

strategically manage <strong>the</strong> group of companies by creating products <strong>and</strong> changing <strong>the</strong> product in<br />

accordance with <strong>the</strong> law. <strong>The</strong> need to make adjustments that are normal <strong>and</strong> necessary as part of <strong>the</strong><br />

strategic management is important so as to enable <strong>the</strong> creation of new products under <strong>the</strong> br<strong>and</strong><br />

<strong>Mawalla</strong>.<br />

It is not easy to monitor strategic planning by evaluation per<strong>for</strong>mance of lawyers due to <strong>the</strong> difference<br />

in <strong>the</strong> type of transactions carried by <strong>the</strong> various Departments <strong>and</strong> or by reviewing <strong>the</strong> surrounding<br />

environment due to <strong>the</strong> changes that are brought about by <strong>the</strong> change of law.<br />

Page 13 of 27


Q9. Given <strong>the</strong> five elements of strategic planning below, elaborate briefly how <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong><br />

assesses its environment in creating its strategic plans?<br />

a) Externally – by assessing its competitors, <strong>the</strong> industry, <strong>the</strong> threats, <strong>and</strong> <strong>the</strong> opportunities?<br />

b) Internally – by assessing its resources, capabilities, competitiveness, strength, <strong>and</strong> weakness?<br />

c) <strong>Strategic</strong> intent – by <strong>for</strong>ming <strong>and</strong> pursuing relentlessly an ambition objective <strong>and</strong> or<br />

concentrating on its competitive actions <strong>and</strong> energies in achieving that objective?<br />

d) Operational results – by assessing its previous achievements?<br />

e) <strong>Strategic</strong> Choice – by assessing <strong>the</strong> need to change its strategic plan?<br />

Answer:<br />

<strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> assesses its environment in creating its strategic plans by using methods numbered<br />

(a), (b), (c) <strong>and</strong> (e) above in <strong>the</strong> following manner:<br />

In crafting its strategic plans, <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> assesses its environment by focusing on <strong>the</strong> following:<br />

1. <strong>The</strong> external circumstances such as assessing its competitors, <strong>the</strong> industry, <strong>the</strong> threats, <strong>and</strong> <strong>the</strong><br />

opportunities;<br />

2. <strong>The</strong> internal circumstances by assessing its resources, capabilities, competitiveness, strengths,<br />

<strong>and</strong> weakness;<br />

3. <strong>The</strong> strategic intent by <strong>for</strong>ming <strong>and</strong> pursuing relentlessly its objectives <strong>and</strong> or concentrating on<br />

its competitive advantage in achieving those objectives <strong>and</strong> <strong>the</strong>reby aligning its strategic<br />

choice(s) with <strong>the</strong> need to change its <strong>Strategic</strong> <strong>Plans</strong> to suit <strong>the</strong> management <strong>and</strong><br />

implementation process as shall be discussed briefly in <strong>the</strong> various strategic phases below.<br />

From <strong>the</strong> very beginning (in 1998) Mr. <strong>Mawalla</strong> focused on <strong>the</strong> external environment of <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong> by assessing its competitors, <strong>the</strong> requirements in <strong>the</strong> legal industry, <strong>the</strong> threats <strong>and</strong> <strong>the</strong><br />

opportunities that were available in Arusha <strong>and</strong> in Tanzania as a whole. He also had to create a <strong>Strategy</strong><br />

Map in this regard <strong>and</strong> decide on what strategic choices to make in order to implement <strong>the</strong> plan. Mr.<br />

<strong>Mawalla</strong> has since inception of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> employed <strong>the</strong> strategy of making five year plans,<br />

which are adjusted during implementation when <strong>and</strong> where <strong>the</strong> need arises. Thus, this <strong>Strategy</strong> choice<br />

has worked to create three <strong>Strategic</strong> Planning phases so far, being: Phase I from 1998 -2003; Phase II<br />

from 2003 -2008; <strong>and</strong> Phase III from 2008 – 2013 as shall be discussed albeit briefly below.<br />

Phase I of <strong>the</strong> <strong>Strategic</strong> Planning from 1998 -2003:<br />

From 1998 to 2001 Mr. <strong>Mawalla</strong> interned at Kibo Chambers under <strong>the</strong> Mentorship of Advocate J.S.<br />

<strong>Mawalla</strong>. In 2002 Mr. <strong>Mawalla</strong> moved <strong>the</strong> office base from Kibo Chambers in Moshi to <strong>Mawalla</strong><br />

Advocates in Moivaro - Arusha. Being new in town <strong>and</strong> speculating on what products to offer <strong>the</strong><br />

Page 14 of 27


Arusha market; Mr. <strong>Mawalla</strong> was <strong>for</strong>ced to look at <strong>the</strong> already existing law firms some being: Maro &<br />

Co. Advocates; Ngalo & Co. Advocates; Ojare Advocates <strong>and</strong> Mwale & Co. Advocates.<br />

Mr. <strong>Mawalla</strong> was aiming at creating new products, yet legally acceptable within <strong>the</strong> industry. Much<br />

research was conducted by him to identify <strong>the</strong> threats <strong>and</strong> <strong>the</strong> opportunities that were available. Two<br />

factors massively favoured Mr. <strong>Mawalla</strong> during this time, firstly - <strong>the</strong> name “<strong>Mawalla</strong>” which he shares<br />

with his Fa<strong>the</strong>r, Advocate Juma R.S. <strong>Mawalla</strong> (who was renowned <strong>for</strong> his acute legal skills in <strong>the</strong><br />

Nor<strong>the</strong>rn Region of Tanzania since 1961) <strong>and</strong> secondly, <strong>the</strong> unsaturated market <strong>for</strong> not just any lawyer,<br />

but a good corporate, trust, real estate <strong>and</strong> wildlife law lawyer in Arusha.<br />

During this time, <strong>the</strong> opportunities which were available were as follows:<br />

1) That <strong>the</strong>re were very few corporate, trust, real estate <strong>and</strong> wildlife law lawyers in Arusha; a<br />

service that Mr. <strong>Mawalla</strong> was developing to sell to <strong>the</strong> market;<br />

2) That <strong>the</strong>re was an elite group of clientele (locals <strong>and</strong> <strong>for</strong>eigners) who massively required <strong>the</strong><br />

corporate, trust, real estate <strong>and</strong> wildlife law services.<br />

3) That <strong>the</strong> trust <strong>and</strong> investment laws were under developed; services in <strong>the</strong>se legal areas were<br />

<strong>and</strong> still are greatly dem<strong>and</strong>ed <strong>for</strong> by investors.<br />

It was thus in this phase that Mr. <strong>Mawalla</strong> created <strong>the</strong> required office infrastructure at Moivaro, <strong>and</strong><br />

also acquired massive tracts of l<strong>and</strong> at various parts of Arusha <strong>for</strong> both commercial <strong>and</strong> residential<br />

purposes. He created a niche <strong>for</strong> <strong>the</strong> Firm in <strong>the</strong> market by assessing <strong>the</strong> needs of <strong>the</strong> customers <strong>and</strong><br />

tailoring legal products according to <strong>the</strong> customers’ needs <strong>and</strong> finally creating <strong>the</strong> environment that<br />

would serve <strong>the</strong> customers in <strong>the</strong> most efficient way.<br />

Phase II of <strong>the</strong> <strong>Strategic</strong> Planning from 2003 - 2008:<br />

Following <strong>the</strong> successful completion of <strong>the</strong> Phase I <strong>Strategic</strong> Planning - i.e. laying <strong>the</strong> foundation <strong>and</strong><br />

creating a product line <strong>and</strong> identifying customers <strong>for</strong> <strong>the</strong> said products, Mr. <strong>Mawalla</strong> began Phase II<br />

<strong>Strategic</strong> Planning, which was implemented through 2003 -2008. In this phase, Mr. <strong>Mawalla</strong> again<br />

focused not only on assessing <strong>the</strong> environment externally as above discussed, but he also assessed <strong>the</strong><br />

environment internally by assessing <strong>Mawalla</strong> <strong>Group</strong> resources, capabilities, competitiveness, strength<br />

<strong>and</strong> weaknesses.<br />

During this Phase, Mr. <strong>Mawalla</strong> built ano<strong>the</strong>r office (which later became <strong>the</strong> main office) in <strong>the</strong> outskirts<br />

of Arusha, an office which would accommodate <strong>the</strong> needs of <strong>the</strong> <strong>Group</strong>’s clients, <strong>and</strong> <strong>the</strong> entire <strong>Mawalla</strong><br />

<strong>Group</strong> structure as appearing under Figure 1 of this document. <strong>The</strong> office is located within an Estate,<br />

containing both offices <strong>and</strong> residential units, which are used by some of <strong>the</strong> Senior Associates. Mr.<br />

<strong>Mawalla</strong> also focused on internal environmental assessment of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> by developing its<br />

resources, capabilities, competitiveness, <strong>and</strong> strengths. He has always focused on eliminating <strong>the</strong><br />

weaknesses of <strong>the</strong> said group, which is an on going venture.<br />

Page 15 of 27


It is also at this time that Mr. <strong>Mawalla</strong> built up <strong>the</strong> human resource of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> i.e. a team of<br />

lawyers who would work with him. He ventured to look <strong>for</strong> young <strong>and</strong> fresh graduates from Universities<br />

to come <strong>and</strong> train under him. He also marketed massively <strong>the</strong> services of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> to an elite<br />

group of clientele who continue to pay appropriately <strong>for</strong> <strong>the</strong> same as per <strong>the</strong> Advocates' Remuneration<br />

<strong>and</strong> Taxation of Costs Rules made under <strong>the</strong> Advocates Act [Cap 341 of <strong>the</strong> R.E 2002] of <strong>the</strong> laws of <strong>the</strong><br />

United Republic of Tanzania. Mr. <strong>Mawalla</strong> managed to build <strong>the</strong> cash reserves <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> by<br />

saving massively, cutting off on non essential expenditures <strong>and</strong> having an efficient tax structure.<br />

Mr. <strong>Mawalla</strong> saw an opportunity to venture into unchartered territories <strong>the</strong>reby minimizing competition<br />

with <strong>the</strong> local lawyers <strong>and</strong> br<strong>and</strong>ing <strong>the</strong> product line he created “<strong>Mawalla</strong>”, hence creating a product<br />

line <strong>and</strong> services that are uniquely “<strong>Mawalla</strong>”, <strong>and</strong> offered in <strong>the</strong> <strong>Mawalla</strong> Way. He invested massively in<br />

best IT technology <strong>and</strong> consultants who would help create <strong>the</strong> administrative systems <strong>for</strong> <strong>the</strong> group,<br />

<strong>the</strong>reby enabling efficient turn around time <strong>for</strong> <strong>the</strong> delivery of <strong>the</strong> products under <strong>the</strong> br<strong>and</strong> name.<br />

Phase III <strong>Strategic</strong> Planning from 2008 – 2013:<br />

In Phase III, Mr. <strong>Mawalla</strong> is focusing on internal analysis of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> as discussed above, <strong>and</strong><br />

assessing <strong>the</strong> strategic intent by <strong>for</strong>ming <strong>and</strong> pursuing relentlessly <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> objectives <strong>and</strong> or<br />

concentrating on its competitive advantage <strong>and</strong> energies in achieving those objectives, herein appearing<br />

on Figure 1 of this document. <strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> shall in this last phase focus on Research <strong>and</strong><br />

Development (R&D) as well as <strong>the</strong> provision of opinions on various legal issues <strong>and</strong> provide <strong>the</strong>se<br />

services to various private <strong>and</strong> public corporation in line with <strong>the</strong> <strong>Strategic</strong> <strong>Plans</strong> <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>.<br />

<strong>The</strong> <strong>Strategic</strong> Objectives of <strong>the</strong> <strong>Mawalla</strong> group are as follows:<br />

1. To go (within <strong>the</strong> next five years) into <strong>the</strong> 26 regions of Tanzania in a Public Private Partnership<br />

(PPP) with:<br />

a. <strong>The</strong> Business Registration & Licensing Agency (BRELA), to assist in maximizing <strong>the</strong><br />

communication gap between BRELA <strong>and</strong> <strong>the</strong> potential users of <strong>the</strong> BRELA services,<br />

<strong>the</strong>reby increase <strong>the</strong> number of users, establishing new businesses <strong>and</strong> seeking<br />

protection of creative corporate works.<br />

b. <strong>The</strong> Tanzania National L<strong>and</strong> Use Plan Commission (NUPLC) to help create sustainable<br />

l<strong>and</strong> use management systems <strong>and</strong> avoid l<strong>and</strong> degradation, misuse <strong>and</strong> abusive use in<br />

order to maintain <strong>and</strong> enhance <strong>the</strong> l<strong>and</strong> quality in Tanzania <strong>and</strong> to promote prudent <strong>and</strong><br />

sustainable l<strong>and</strong> use, to conserve l<strong>and</strong> natural resources in order to alleviate poverty<br />

<strong>and</strong> eradicate environmental problems afflicting <strong>the</strong> population.<br />

c. <strong>The</strong> Tanzania Investment Center (TIC) <strong>and</strong> assist in portraying Tanzania as Africa’s<br />

Premier Investment destination <strong>and</strong> enhancing an environment conducive <strong>for</strong> business<br />

<strong>and</strong> entrepreneurship growth.<br />

Page 16 of 27


d. Programmes such as MKUKUTA (National <strong>Strategy</strong> <strong>for</strong> growth <strong>and</strong> Reduction of Poverty<br />

in Tanzania), <strong>and</strong> MKURABITA (<strong>the</strong> programme <strong>for</strong> <strong>the</strong> legal <strong>and</strong> economic<br />

empowerment of <strong>the</strong> poor in Tanzania) towards poverty reduction; improvement of<br />

quality of life <strong>and</strong> social well being <strong>and</strong> governance <strong>and</strong> accountability.<br />

2. To train young Tanzanian lawyers on how to become chartered secretaries <strong>for</strong> companies in East<br />

Africa through <strong>the</strong> Institute of Chartered Secretaries (ICS).<br />

3. To provide tax consulting services to Tanzanians <strong>and</strong> <strong>the</strong>reby work with <strong>the</strong> Tanzania Revenue<br />

Authority (TRA) to assist <strong>the</strong> Government in collecting taxes efficiently <strong>and</strong> promoting voluntary<br />

tax compliance <strong>and</strong> <strong>the</strong>reby assist TRA meet its Third Corporate Plan.<br />

4. To provide legal corporate securities services through <strong>Mawalla</strong> Corporate Services Limited to<br />

Major Banks throughout <strong>the</strong> Nor<strong>the</strong>rn Region of Tanzania.<br />

5. To provide legal opinions on various legal issues to individuals <strong>and</strong> corporations (public <strong>and</strong><br />

private) on diverse legal issues.<br />

<strong>The</strong> Objectives of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> of companies are pursued in line with <strong>the</strong> following honor code:<br />

1. To be <strong>for</strong>thright from <strong>the</strong> first: this entails accuracy in <strong>the</strong> identification of clients that <strong>the</strong><br />

<strong>Group</strong> of clients can assist in <strong>the</strong> least time possible.<br />

2. To be efficient with energy: this entails <strong>the</strong> achievement of optimal results <strong>for</strong> chosen clients in<br />

<strong>the</strong> safest, quickest <strong>and</strong> most economical way.<br />

3. To be realist: this entails to bear elements of legal <strong>and</strong> financial literacy (<strong>the</strong> ability to create <strong>and</strong><br />

manage wealth) in such a way that <strong>the</strong> clients’ investment <strong>and</strong> business ideals are protected<br />

with diligence, care <strong>and</strong> excellence, without unnecessary complexity or gratuitous recourse to<br />

protracted <strong>and</strong> costly litigation.<br />

4. Leave no stone unturned; this entails to be tenacious – whe<strong>the</strong>r in support of a client, in<br />

defence of <strong>the</strong> courts or in <strong>the</strong> promotion of fairness, impartiality <strong>and</strong> integrity.<br />

5. Be an example; this entails <strong>the</strong> embodiment of high st<strong>and</strong>ards of reasoning, courtesy,<br />

independency <strong>and</strong> confidentiality.<br />

6. Be no body’s darling; this entails to st<strong>and</strong> alone <strong>for</strong> as long as it takes, risking popularity <strong>and</strong><br />

favour, in a quest to do what must be done <strong>and</strong> way what must be said.<br />

<strong>The</strong>re<strong>for</strong>e in Phase III, Mr. <strong>Mawalla</strong> will not only be looking to implement its strategic plan by assessing<br />

<strong>the</strong> internal environment of <strong>the</strong> group, but also he will also focus on <strong>the</strong> strategic intent of <strong>the</strong> group<br />

<strong>and</strong> delink <strong>the</strong> parts of <strong>the</strong> group that are weak by focusing on <strong>the</strong> strategic objectives <strong>and</strong> vision of <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong>.<br />

Page 17 of 27


It is <strong>the</strong> personal objectives of Mr. <strong>Mawalla</strong> that with <strong>the</strong> end of Phase III, <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> will<br />

sustain without him <strong>and</strong> <strong>the</strong> story of <strong>the</strong> <strong>Group</strong> will no longer be about him, but about <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong>. It is evident that <strong>the</strong> core values, <strong>the</strong> common vision <strong>and</strong> <strong>the</strong> product line of <strong>the</strong> <strong>Group</strong> has been<br />

established <strong>and</strong> <strong>the</strong> roll out plan <strong>for</strong> <strong>the</strong> services offered by <strong>the</strong> <strong>Group</strong> is underway <strong>for</strong> Dar es Salaam,<br />

Iringa, Babati, Mbeya <strong>and</strong> Mwanza, by way of a Public Private Partnership (PPP) with <strong>the</strong> Business<br />

Registrations Licensing Agency (BRELA).<br />

Page 18 of 27


Q10. In analyzing its environment, which of <strong>the</strong> two methods below is used by <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>?<br />

Why?<br />

a) <strong>The</strong> SWOT analysis – Strength, Weaknesses, Opportunities <strong>and</strong> Threats Analysis?<br />

b) <strong>The</strong> PEST analysis – <strong>the</strong> Political, Economic, Social <strong>and</strong> Technological Analysis?<br />

Answer:<br />

Having <strong>the</strong> legal business as <strong>the</strong> core business of <strong>the</strong> group <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> in analyzing its<br />

environment uses both <strong>the</strong> methods cited above in <strong>the</strong> following manner:<br />

a) <strong>The</strong> SWOT analysis: See Figure 3 below:<br />

Figure 3.<br />

<strong>The</strong> Strengths:<br />

1. <strong>The</strong> Br<strong>and</strong> name ‘<strong>Mawalla</strong>’.<br />

2. <strong>The</strong> product range it offers, being: Real Estate Services, Trust <strong>and</strong><br />

<strong>Management</strong> Services, Corporate Services, <strong>and</strong> Asset <strong>Management</strong><br />

Services.<br />

3. <strong>The</strong> energetic, youthful <strong>and</strong> knowledgeable human resource of <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong> who are being trained to attend in <strong>the</strong> most efficient<br />

way to <strong>the</strong> clients <strong>and</strong> ensure maximum client satisfaction.<br />

4. <strong>The</strong> IT technology <strong>and</strong> <strong>the</strong> administrative systems that are in place to<br />

serve <strong>the</strong> group <strong>and</strong> <strong>the</strong> customers.<br />

5. <strong>The</strong> strategic choice <strong>and</strong> management of <strong>the</strong> <strong>Mawalla</strong> group as<br />

spearheaded by Mr. <strong>Mawalla</strong>.<br />

6. <strong>The</strong> strategic location of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, being in Burka – <strong>the</strong><br />

outskirts of <strong>the</strong> town, which is an added advantage <strong>for</strong> <strong>the</strong> real estate<br />

business in which <strong>the</strong> <strong>Group</strong> is involved.<br />

7. <strong>The</strong> leadership of Mr. <strong>Mawalla</strong>, who is not only a visionary, but also a<br />

great teacher <strong>and</strong> business man.<br />

<strong>The</strong> Opportunities:<br />

1. <strong>The</strong> offer of new products which are highly in dem<strong>and</strong> such as mergers<br />

<strong>and</strong> acquisitions, derivative rights application under Corporate Law<br />

L<strong>and</strong> Law <strong>and</strong> Wildlife Law, Tourism Law <strong>and</strong> Trust Law.<br />

2. <strong>The</strong> changing laws. With <strong>the</strong> change in legislation such as <strong>the</strong><br />

Companies Act, <strong>the</strong> Income Tax Act, <strong>the</strong> L<strong>and</strong> Act, <strong>the</strong> Unit Titles Act,<br />

<strong>and</strong> <strong>the</strong> general change in <strong>the</strong> business law is <strong>the</strong> country creates<br />

massive opportunities <strong>for</strong> <strong>Mawalla</strong> Advocates.<br />

3. Tanzania is still very much unexploited, hence opportunities in l<strong>and</strong><br />

development <strong>and</strong> financing are <strong>the</strong> focus of <strong>Mawalla</strong> Advocates, <strong>and</strong><br />

hence <strong>the</strong> opportunities are plenty.<br />

<strong>The</strong> Weaknesses:<br />

1. Being a sole proprietorship business, <strong>the</strong> strategic plan, <strong>the</strong><br />

management <strong>and</strong> financial decisions are made by Mr. <strong>Mawalla</strong>. This<br />

being <strong>the</strong> case, his absence from <strong>the</strong> office <strong>for</strong> any amount of time<br />

could mean that no serious decisions are made.<br />

2. Skill transfer: It goes without saying that skilled labour is <strong>the</strong> one of <strong>the</strong><br />

biggest problems in Africa. It is against this background that Mr.<br />

<strong>Mawalla</strong> has tried massively to train his own team of lawyers. Where<br />

training has not been applicable, consultants with skill have been hired<br />

from as far as South Africa <strong>and</strong> India to cater <strong>for</strong> <strong>the</strong> dem<strong>and</strong>s, which is<br />

expensive <strong>and</strong> unsustainable.<br />

3. <strong>The</strong> lack IT expertise is a problem that which hinders <strong>the</strong> proper<br />

application of <strong>the</strong> office administration systems, <strong>the</strong>reby limiting <strong>the</strong><br />

maximum turn around time.<br />

4. <strong>The</strong> group lacks proper <strong>and</strong> faithful accountants <strong>and</strong> financial advisors<br />

as well as copyrighters.<br />

5. <strong>The</strong> group faces an English language problem. Most employees do not<br />

have <strong>the</strong> level of English required to communicate effectively with <strong>the</strong><br />

clients.<br />

6. Bad political background of Ujamaa/socialism. <strong>The</strong> <strong>Group</strong> is pro<br />

capitalism, but most of those who work with <strong>the</strong> <strong>Group</strong> have a socialist<br />

mentality.<br />

<strong>The</strong> Threats:<br />

1. Corruption; this is one of <strong>the</strong> threats to <strong>the</strong> business as <strong>the</strong> legal<br />

system is somehow corrupted.<br />

Page 19 of 27


) PEST analysis:<br />

Politically, Economically & Socially With <strong>the</strong> change of Law, <strong>the</strong> core business of<br />

<strong>the</strong> <strong>Group</strong> is affected politically, socially <strong>and</strong><br />

economically. For example, <strong>the</strong> coming into<br />

<strong>for</strong>ce of <strong>the</strong> Political Parties Act [Cap 258 of <strong>the</strong><br />

Revised Laws of 2002] of <strong>the</strong> Laws of <strong>the</strong><br />

United Republic of Tanzania, <strong>the</strong> Banking <strong>and</strong><br />

Financial Institutions Act [Cap 342 of <strong>the</strong><br />

Revised Laws of 2002] of <strong>the</strong> Laws of <strong>the</strong><br />

United Republic of Tanzania, <strong>and</strong> <strong>the</strong> Women<br />

Empowerment policies have all positively<br />

affected <strong>the</strong> core business of <strong>the</strong> <strong>Group</strong> of<br />

companies in one way or ano<strong>the</strong>r.<br />

Technologically - <strong>The</strong> core business of <strong>the</strong> group is affected as transactions are done via <strong>the</strong><br />

advanced IT technology, i.e. via emails. It is thus easier <strong>for</strong> fraud <strong>and</strong> breach of confidentially to<br />

occur <strong>and</strong> piracy is also easier with all <strong>the</strong> new technology. <strong>The</strong>re is thus a need <strong>for</strong> <strong>the</strong> law in<br />

this area to be improved.<br />

Page 20 of 27


Q11. In <strong>for</strong>mulating a strategy <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, which of <strong>the</strong> following alternatives are <strong>the</strong> most<br />

important in <strong>the</strong> strategy <strong>for</strong>mulation?<br />

a) Resource Audit as indicated by:<br />

i. Resource analysis,<br />

ii. Quantity <strong>and</strong> Quality Analysis,<br />

iii. Unique Resources,<br />

iv. A good <strong>and</strong> initial analysis?<br />

Answer:<br />

This method of strategy <strong>for</strong>mulation is used in <strong>the</strong> Phase III from 2008 -2013, in which <strong>the</strong>re will<br />

be a roll out plan <strong>for</strong> <strong>the</strong> services <strong>and</strong> products that have been created in Phase I <strong>and</strong> Phase II.<br />

<strong>The</strong> <strong>Mawalla</strong> <strong>Group</strong> is richer, looking at protecting its assets <strong>and</strong> growing solidly. It is also<br />

looking at consolidating <strong>and</strong> protecting <strong>the</strong> product line <strong>and</strong> new sources.<br />

b) Analysis of cost <strong>and</strong> profit as indicated by:<br />

i. <strong>The</strong> current sources of profits <strong>and</strong> trends,<br />

ii. Recast st<strong>and</strong>ard reporting to give new insights,<br />

iii. Pragmatic approach to get value from time <strong>and</strong> ef<strong>for</strong>t spent,<br />

iv. A good initial analysis?<br />

Answer:<br />

This method of strategy <strong>for</strong>mulation was used in Phase I from 1998 – 2003, where <strong>the</strong> Firm was<br />

smaller, looking at creating new products <strong>and</strong> profits.<br />

c) Benchmarking which is achieved by comparing <strong>the</strong> best in class on <strong>the</strong> market with what <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Group</strong> is producing? Who are <strong>the</strong> <strong>Mawalla</strong> competitors?<br />

Answer:<br />

Benchmarking has always been employed in <strong>the</strong> strategic planning of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, hence<br />

<strong>the</strong> br<strong>and</strong>ing. However, following <strong>the</strong> successful implementation of Phase I <strong>and</strong> Phase II of <strong>the</strong><br />

<strong>Mawalla</strong> <strong>Strategic</strong> plans, <strong>Mawalla</strong> Advocates has eliminated competitors in Arusha. <strong>The</strong> current<br />

competitors of <strong>Mawalla</strong> Advocates are IMMA Advocates, REX Attorneys, Mkono & Company<br />

Advocates, Ringo Tenga Law Associates <strong>and</strong> M.A Ismail & Co. Advocates, all of whom are based<br />

in Dar es Salaam. However, <strong>Mawalla</strong> still manages to thrive in this competitive atmosphere by<br />

Page 21 of 27


providing services that are somehow unique to those provided by its competitors, but at a<br />

cheaper cost, without compromising <strong>the</strong> end product. Over <strong>and</strong> above this, <strong>the</strong> br<strong>and</strong> <strong>Mawalla</strong><br />

is now widely known <strong>and</strong> <strong>the</strong> current shift in <strong>the</strong> philosophy of <strong>the</strong> law firm i.e. into Research<br />

<strong>and</strong> Development (R&D) <strong>and</strong> <strong>the</strong> provision of legal opinions on various legal issues shall be an<br />

added advantage.<br />

d) Value chain analysis indicated by:<br />

i. Primary activities such as skills, core competence, management marketing,<br />

price, customer satisfaction <strong>and</strong> human resource management?<br />

ii. Support activities such as infrastructure, technology <strong>and</strong> strategic management?<br />

Answer:<br />

Both indications of <strong>the</strong> value chain analysis as cited under (i) <strong>and</strong> (ii) above have been used in<br />

<strong>the</strong> strategy <strong>for</strong>mulation process, but at different phases of <strong>the</strong> said development.<br />

For example, in Phase I <strong>and</strong> II of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> <strong>Strategic</strong> Planning process, <strong>the</strong> value chain<br />

analysis was indicated by <strong>the</strong> focus on <strong>the</strong> support activities such as infrastructure, technology<br />

<strong>and</strong> strategic management; while in Phase III <strong>the</strong> value chain analysis will be indicated by <strong>the</strong><br />

focus on <strong>the</strong> primary activities such as skills, core competence, management marketing, price,<br />

customer satisfaction <strong>and</strong> human resource management.<br />

e) Focusing on its core competencies as depicted below in figure 4 below?<br />

Answer:<br />

Mindset Personality Collective knowledge of <strong>the</strong> organization<br />

Interpersonal skills Staff Skills Embodied as core competencies product<br />

Services<br />

Task Skills Professional Knowledge<br />

Figure 4. (Adopted from Mahen Tampoe February 6, 1996)<br />

<strong>Mawalla</strong> Advocates often hires fresh university graduates <strong>and</strong> trains <strong>the</strong>m massively to instill in<br />

<strong>the</strong>m <strong>the</strong> <strong>Mawalla</strong> Way. <strong>Mawalla</strong> Advocates began to focus on <strong>the</strong> core competencies of <strong>the</strong><br />

Page 22 of 27


Law Firm in <strong>the</strong> Phase II as cited above <strong>and</strong> it intends to continue this through out Phase III of its<br />

strategic plan. It is under Phase II that Mr. <strong>Mawalla</strong> <strong>for</strong>mulated <strong>the</strong> strategic plan of creating <strong>the</strong><br />

Institute of Chartered Secretaries (ICS) with <strong>the</strong> Public Private Partnership (PPP) of Business<br />

Registrations <strong>and</strong> Licensing Agency (BRELA) in Tanzania, which it shall serve to create an elite<br />

group of lawyers who are trained to manage corporate entities in accordance with <strong>the</strong> laws of<br />

<strong>the</strong> country. <strong>Strategic</strong>ally, <strong>Mawalla</strong> Advocates st<strong>and</strong>s to be a benefactor of this entity as it shall<br />

obtain highly trained Secretaries who shall run <strong>Mawalla</strong> Corporate Services Limited in <strong>the</strong> most<br />

efficient manner.<br />

It is also anticipated that with <strong>the</strong> introduction of Research <strong>and</strong> Development (R&D) <strong>and</strong> <strong>the</strong><br />

provision of legal opinion on various legal issues by <strong>the</strong> Law Firm, Lawyers shall be benefit from<br />

<strong>the</strong> professional knowledge <strong>and</strong> task skills. It is a known factor that <strong>the</strong> Proprietor of <strong>the</strong> Law<br />

Firm hires interpersonal skill as opposed to personal skills – hence <strong>the</strong> training. It is <strong>for</strong> this<br />

reason that with <strong>the</strong> start of Phase III, <strong>the</strong> Mr. <strong>Mawalla</strong> has decided to launch induction<br />

manuals, which shall serve to help <strong>and</strong> train all new lawyers on <strong>the</strong> mindset, <strong>the</strong> personality <strong>and</strong><br />

interpersonal skills that <strong>the</strong> lawyers working with <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> shall be required to have.<br />

<strong>The</strong> induction manuals shall guide all young lawyers on financial literacy, <strong>the</strong> spiritual principles<br />

by which we should live, <strong>and</strong> <strong>the</strong> basic concepts of <strong>the</strong> legal practice. <strong>The</strong>se manuals are<br />

expected to be launched later this year.<br />

Putting toge<strong>the</strong>r <strong>the</strong> training <strong>and</strong> <strong>the</strong> induction manuals, it is hoped that staff skills shall be<br />

developed to sustainably ensure that <strong>the</strong> core competencies of <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> is delivered<br />

in <strong>the</strong> serving <strong>the</strong> clients.<br />

Page 23 of 27


f) Applying <strong>the</strong> shareholder value analysis as depicted below?<br />

Corporate<br />

Objective<br />

Valuation<br />

Components<br />

Value<br />

Drivers<br />

Answer:<br />

<strong>Management</strong><br />

Decisions<br />

Figure 5. (Adopted from Rappaport (1986)<br />

As with any o<strong>the</strong>r profit making business, <strong>the</strong> shareholder value analysis is of massive<br />

importance to determine shareholder returns from <strong>the</strong> business <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>. As a<br />

matter of principle, <strong>the</strong> Proprietor has gone as far as to document <strong>the</strong> importance of this matter<br />

in <strong>the</strong> induction manuals – under financial literacy <strong>for</strong> lawyers.<br />

g) Assessing parenting advantage:<br />

i. St<strong>and</strong> alone influence of MA?<br />

ii. Linkage influence of <strong>the</strong> entire group of companies?<br />

iii. Central functions of <strong>the</strong> <strong>Group</strong>?<br />

iv. Corporate development of <strong>the</strong> <strong>Group</strong>?<br />

Answer:<br />

Duration of<br />

Value growth<br />

Cash from<br />

Operations<br />

Creating Shareholder<br />

Value<br />

Discount<br />

Rate<br />

Sales Growth Op.<br />

Profit Margin<br />

Debt<br />

Fixed & Working<br />

Capital Investments<br />

Shareholder Return<br />

Dividends Capital Growth<br />

Cost of<br />

Capital<br />

Operating Investment Financing<br />

In <strong>for</strong>mulating its strategic plans, <strong>Mawalla</strong> Advocates, which is <strong>the</strong> core business of <strong>the</strong> group,<br />

assesses <strong>the</strong> parenting advantage of <strong>the</strong> <strong>Group</strong>. <strong>Mawalla</strong> Advocates is <strong>the</strong> parent of <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong>.<br />

Page 24 of 27


1) <strong>The</strong> st<strong>and</strong> alone influence of <strong>the</strong> group is <strong>Mawalla</strong> Advocates. This is <strong>the</strong> core business<br />

of <strong>the</strong> <strong>Group</strong>.<br />

2) <strong>The</strong> linkage influence of <strong>the</strong> group as depicted under Figure 2 above is very high. This is<br />

because <strong>the</strong> o<strong>the</strong>r companies have been created to serve <strong>the</strong> core business of <strong>the</strong> group<br />

– <strong>Mawalla</strong> Advocates.<br />

3) <strong>The</strong> central function of <strong>the</strong> group is Wealth <strong>Management</strong> <strong>and</strong> <strong>the</strong> provision of Corporate<br />

<strong>and</strong> Financial Services under <strong>Mawalla</strong> Advocates, <strong>Mawalla</strong> Corporate Centre (including<br />

<strong>Mawalla</strong> Corporate Services Limited <strong>and</strong> <strong>Mawalla</strong> Financial Services Limited) <strong>and</strong><br />

<strong>Mawalla</strong> Trust Limited.<br />

4) <strong>The</strong> internal structure of <strong>the</strong> group is what is currently being addressed in Phase III;<br />

however, it is highly linked to <strong>the</strong> <strong>Mawalla</strong> Br<strong>and</strong>.<br />

h) Portfolio analysis as indicated in <strong>the</strong> diagram below<br />

Market growth rate<br />

High<br />

Low<br />

Market share rate<br />

High Low<br />

Figure 6. (Adopted from <strong>the</strong> Boston Consulting <strong>Group</strong> – in wide use)<br />

Given <strong>the</strong> diagram above <strong>and</strong> <strong>the</strong> various businesses which <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong> is involved, which of<br />

<strong>the</strong> companies is or are:<br />

i. <strong>The</strong> star<br />

ii. <strong>The</strong> cash cow<br />

iii. <strong>The</strong> sleeping dog<br />

iv. <strong>The</strong> Question mark <strong>and</strong> why?<br />

Page 25 of 27


Answer:<br />

This portfolio analysis is also used in <strong>the</strong> strategic <strong>for</strong>mulation <strong>for</strong> <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>. <strong>The</strong><br />

following are <strong>the</strong> results as per Mr. <strong>Mawalla</strong>:<br />

1) Among <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, <strong>the</strong> companies that has <strong>the</strong> high market share rate <strong>and</strong> <strong>the</strong><br />

high market growth ( <strong>the</strong> Star Companies) are <strong>Mawalla</strong> Advocates <strong>and</strong> <strong>Mawalla</strong> Trust<br />

Limited, because <strong>the</strong>se are <strong>the</strong> core businesses of <strong>the</strong> <strong>Group</strong> <strong>and</strong> <strong>the</strong>y are personally<br />

managed by Mr. <strong>Mawalla</strong>;<br />

2) Among <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, <strong>the</strong> company that has <strong>the</strong> high market share <strong>and</strong> <strong>the</strong> low<br />

market growth rate (<strong>the</strong> Cow Company) is <strong>Mawalla</strong> Corporate Services Limited, because<br />

this company manages <strong>the</strong> corporate clientele of <strong>Mawalla</strong> Advocate Clients, however,<br />

<strong>the</strong>y are charged annually <strong>and</strong> some of <strong>the</strong> fees <strong>for</strong> <strong>the</strong> services offered by <strong>the</strong> company<br />

are statutorily provided <strong>for</strong>, hence <strong>the</strong> need <strong>for</strong> <strong>the</strong> company to comply with <strong>the</strong> said<br />

fee structures. More over, <strong>the</strong> company services are offered competitively by o<strong>the</strong>r Law<br />

Firms, <strong>and</strong> <strong>the</strong> management team of this relatively new company has yet to learn to<br />

implement better business strategies to ensure that <strong>the</strong> systems (such as <strong>the</strong> corporate<br />

data profile) that are in place work towards a high market growth rate.<br />

3) Among <strong>the</strong> <strong>Mawalla</strong> <strong>Group</strong>, <strong>the</strong> company that has <strong>the</strong> low market share <strong>and</strong> <strong>the</strong> low<br />

market growth rate (<strong>the</strong> Dog Company) is <strong>Mawalla</strong> Financial Services Limited, because<br />

this company is new <strong>and</strong> <strong>the</strong> human resource set up is still incomplete. <strong>The</strong> present<br />

management team of this company has yet to train <strong>and</strong> or select better officials to carry<br />

out more than just works <strong>for</strong> <strong>the</strong> clients of <strong>the</strong> Firm, hence improve its business<br />

strategies <strong>and</strong> ensure that it meets <strong>the</strong> set objectives.<br />

Q12. According to Chan Kim <strong>and</strong> Renee Maubougne (Harvard Business School Press, Boston; 2005) Red<br />

Ocean <strong>Strategy</strong> focuses on existing customers <strong>and</strong> has <strong>the</strong> following traits:<br />

a) Compete in existing market space;<br />

b) Beat <strong>the</strong> competition<br />

c) Exploit <strong>the</strong> existing dem<strong>and</strong><br />

d) Make <strong>the</strong> value cost trade off<br />

e) Align <strong>the</strong> whole system of a firm’s activities with its strategic choice of differentiation<br />

or low cost.<br />

Page 26 of 27


Blue Ocean <strong>Strategy</strong> on <strong>the</strong> o<strong>the</strong>r h<strong>and</strong> focuses on <strong>the</strong> non customers <strong>and</strong> demonstrates <strong>the</strong>se traits:<br />

a) Create an uncontested market space<br />

b) Make <strong>the</strong> competition irrelevant<br />

c) Create <strong>and</strong> capture new dem<strong>and</strong><br />

d) Break <strong>the</strong> value cost trade off<br />

e) Align <strong>the</strong> whole system of a firm’s activities with its strategic choice of differentiation<br />

<strong>and</strong> low cost.<br />

Given <strong>the</strong> explanation above, under which of <strong>the</strong> above (red or blue ocean strategy) does <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong> fall under? And why?<br />

Answer:<br />

In Phase I <strong>Group</strong> of companies used <strong>the</strong> Red Ocean <strong>Strategy</strong>, however, in Phase II <strong>and</strong> III <strong>the</strong> <strong>Mawalla</strong><br />

<strong>Group</strong> is using <strong>the</strong> Blue Ocean <strong>Strategy</strong>. It has created a range of services, hence an uncontested market<br />

space, making <strong>the</strong> competition irrelevant, captured new dem<strong>and</strong> <strong>and</strong> broke <strong>the</strong> value cost trade off. It<br />

has also aligned <strong>the</strong> whole system of <strong>the</strong> firm’s activities with its strategic choice of differentiation <strong>and</strong><br />

low cost.<br />

Page 27 of 27

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