By Timi Olubiyi, PhD

In your organizational or business, once you have more than just one employee, you run the risk of having politics in your workplace. Workplace politics often carries a negative connotation, but in reality, it is a natural and inevitable aspect of any organizational environment.

The workplace in itself is a setup where individuals from diverse backgrounds, different educational qualifications, and varied interests come together to work towards a common goal.

Therefore, workplace politics can promote or make individual obtain advantages beyond the usual legitimate authority. Simply put, workplace politics arises when employees tend to misuse their power to gain undue attention, influence, and popularity in the workplace. It mostly happens when staff places self-interests ahead of organizational interests.

Unarguably, with the multi-ethnicity nature of our country Nigeria, workplace politics exist in virtually all organizations and business places, be it public or in private corporations. Though politics may be positive (collaborative) if it aligns with the company’s objective or negative (destructive and competitive) if it is full of maligning but the fact is that no organization exists without politics.

Workplace politics can hurt a business and its employees when done excessively. Too much politicking can result in lower morale of staff, higher staff turnover, low job performance, thereby lowering the overall business productivity and profitability.

The negative effects of organizational politics are what this piece is looking at which can ultimately undermine the overall goals of any business. This politics reduces the productivity of staff and eventually, the business will be at a loss.

The common element of workplace politics is the disregard of company policies and procedure, which is usually organizational instruments to check it. Often workplace politics usually circumvent the formal organizational structure.

The motives for employees to engage in office politics in the workplace are things such as staff aspires to come into the limelight easily without much hard work, job insecurity amongst others. Staff also engage in office politics to reap financial, emotional, and even physical rewards.

Politics also arises when employees aspire to achieve something beyond their authority and control in a short period. Lack of supervision and control in the workplace could be another instance of workplace politics. Too much gossip at work can equally lead to politics.

Jealous colleagues can indulge in work politics simply to tarnish their colleague’s reputation to obtain advantages and come in the good books of their superiors. Workplace politics can naturally result from the competition employees have with one another and it’s a major part of everyone’s working life.

Favoritisms by business owners and subjective standards of performance can also lead to it. People often resort to organizational politics because they do not believe that the organization has an objective and fair way of judging their performance and suitability for promotion. Similarly, when business owners have no objective way of differentiating effective people from the less effective, they will resort to favoritism.

All the aforementioned political behaviors in the workplace have a lot of potential consequences on business outcomes and can affect company processes such as; decision making, promotion, rewards and among others either negatively.

To control politics, business leaders must be aware of its causes and methods. Because if it’s not well handled it can create morale issues and low job performance at the workplace. Hence it is necessary that business leaders, especially in Small Medium Enterprises (SMEs), become proficient in establishing and implementing a system of adequate management of this phenomenon.

Various managerial strategies can serve the purpose of diminishing workplace politics and are available to business owners. Some of these are: encouraging open communication in the workplace which can constrain the impact of political behavior.

When communication is open, it also makes it more difficult for some people to control information and pass along gossip as a political weapon. More so when business leaders are nonpolitical in their actions, they demonstrate in subtle ways that political behavior is not welcome in the business.

Most importantly business leaders and owners should be transparent and generally adopt performance-based criteria in the business. The success of any business relies heavily on the efforts of its employees; therefore, the performance-based criteria should be without bias or favoritism.

Remember, if it is political behaviors that are rewarded, staff will behave politically. Conversely, if it is performance behaviors that are rewarded, employees will perform and be productive. Other managerial strategies known to be effective in reducing business politics include involving employees in decision making, fostering teamwork, building trust and social support, publicly recognize and reward people who get real results, basing personnel and program decisions on objective criteria, demanding accountability from all members of staff and reprimanding political behavior.

The starting point of the implementation of these managerial strategies is to have a thorough business structure and institute policies to mitigate potential negative political behaviors in the workplace. Workplace politics is a huge challenge for business owners/managers in that it cannot be depoliticized but can be consistently addressed for business outcomes to be achieved and maximized. Good luck!

How may you obtain advice or further information on the article? 

Dr Timi Olubiyi is an Entrepreneurship & Business Management expert with a PhD in Business Administration from Babcock University, Nigeria. He is a prolific investment coach, adviser, author, columnist, seasoned scholar, member of the Institute of Directors, Chartered Member of the Chartered Institute for Securities & Investment (CISI), and Securities & Exchange Commission (SEC)-registered capital market operator. He can be reached on the Twitter handle @drtimiolubiyi and via email: [email protected], for any questions, reactions, and comments. The opinions expressed in this article are those of the author- Dr Timi Olubiyi and do not necessarily reflect the opinions of others.

The African stablecoins market is growing. In a region that suffers trade deficits and struggles with efficient foreign exchange remittance channels, the stablecoin boom is a welcome development.

Stablecoins are cryptocurrencies pegged to another variable. For the most part, they are pegged to the US dollar, commodities, and sometimes algorithms, giving the coin a 1:1 value. Most stablecoins are pegged to the US dollar. If stablecoins are pegged to the value of the dollar, which has almost zero volatility, why do people hold them? To have access to critical foreign exchange.

The world thrives on trade. Economic systems are based on the intricate balance between local production and trade with other nations. Since everyone has different comparative advantages, there will always be a need for trade, as each country focuses on its strengths. However, trading often faces limitations. For a region like Africa, foreign exchange is one of the greatest risk factors for efficient trading.

How Do Stablecoins Work?

Stablecoins maintain their pegs via four popular methods: Fiat collateralization, crypto collateralization, algorithmic collateralization, and hybrid collateralization.

Fiat-Collateralized Stablecoins are achieved by maintaining a reserve of fiat currency (like USD or EUR).

Each stablecoin issued is backed by an equivalent amount of the fiat currency held in reserve. Many times, stablecoin companies maintain over-collateralization to ensure maximum stability in case of increased volatility. Tether (USDT) is a good example of a fiat-collateralized stablecoin.

Crypto-Collateralized Stablecoins are stablecoins whose value is pegged to another cryptocurrency. The collateral usually exceeds the value of the stablecoins in circulation to account for crypto volatility.

The peg is maintained by automated systems. If the collateral’s value drops, the system automatically liquidates or requires more collateral to maintain the peg. If the price of the stablecoin rises above the peg, users might borrow against their collateral to buy and burn the stablecoin, reducing supply. Dai (DAI) is an example of a crypto-backed stablecoin that maintains its peg through a system of smart contracts within the MakerDAO protocol.

Algorithmic Stablecoins do not have “tangible” collateral but use algorithms to control supply. They maintain the peg by constantly adjusting the total supply of the stablecoin. When the stablecoin’s price is above the peg, new tokens are minted and sold, increasing supply. When below, tokens are bought back and burned, reducing supply. They are the riskiest type of stablecoin because their effectiveness relies on an algorithm, which could fail or be exploited. Terra Luna is an example of an algorithmic stablecoin. It, however, crashed in 2023, sending the crypto market into a free fall.

Commodity-Pegged Stablecoins are backed by the price of commodities. A good example is PAX Gold (PAXG), a stablecoin issued by Paxos and backed by physical gold.

Hybrid Stablecoins use a combination of the above to maintain the peg. These stablecoins are well-collateralized and also use algorithms to maintain the peg. TrueUSD is an example of a hybrid stablecoin.

How Stablecoins Can Help Ease Africa’s Cross-Border Challenges

If anything is critical in cross-border transactions, it’s speed. Speed is important when sourcing liquidity to meet user needs. A businessman might need to move money urgently to pay his suppliers in China, but delays associated with existing transfer methods might be a stumbling block. This is often a challenge with traditional foreign exchange methods, with many users having to wait hours, if not days, for money to reach their counterparties, sometimes missing deadlines.

Stablecoins, on the other hand, enable faster cross-border payments by eliminating intermediaries and facilitating instant value transfers across countries. For instance, remittance done via the Lightning Network takes seconds to reach the counterparty, while most other networks provide value within a few minutes.

Foreign exchange in Africa does not come cheap. The number of intermediaries required to facilitate a conventional money transfer from country A to B means higher charges. Stablecoins provide a low-cost alternative for remittances and trade by bypassing high transaction fees and costly currency conversions.

Stablecoin transfers mostly cost a few cents to $1 for any amount. This is because middlemen are eliminated, and the only payment made is the network fee. Stablecoins also reduce costs by storing transaction records on a single platform, which is replicated across multiple nodes, thereby streamlining processes. For example, sending $5,000 to a Nigerian account on Wise costs $33.56 in fees. Sending this same money from a Binance USDT wallet only costs $1. The disparity in stablecoin-enabled transfers is enormous.

Although financial inclusion in Africa has improved in countries like Nigeria, Kenya, South Africa, and Senegal in recent years, many African countries still have low financial inclusion levels. For these countries, stablecoins have proven to be an excellent tool for bridging the gap between the banked and the unbanked. Their popularity means people can access foreign exchange even in remote areas with little to no financial infrastructure.

No lengthy processes are needed to transfer money from one jurisdiction to another. This opens up financial integration and fosters economic growth. Businesses in these regions can now sell via exports, import needed raw materials and expertise to add value to goods and services, creating a positive spiral effect on economic development. Businesses like Ledig makes access to liquidity possible for companies with foreign exchange exposure to Africa.

Finally, one of the salient uses of foreign exchange, which is the tool used for cross-border remittances, is its use as an inflationary hedge. Many times, people open domiciliary accounts, not because they want to pay business partners abroad, receive money for imports, or carry out foreign exchange tasks, but because they want to protect their local currencies from inflation.

According to data, the Nigerian Naira was N899 against one dollar on 1st January 2024, but closed the year at N1,538, losing 71% of its value during the year. People often convert their local currencies to avoid these kinds of situations. Businesses, large organizations, and even individuals often convert local currencies to stable ones like the dollar to mitigate value erosion.

With stablecoins, this is not just accessible to those able to undergo the stringent rules for opening domiciliary accounts, but also accessible to everyone with basic means of ID and adulthood. Stablecoins have democratized foreign exchange access in Africa.

With Stablecoins businesses can now tap into the vast global market by curating services and offering them to businesses around the world, without challenges in processing payments. It simplifies cross-border trade for SMEs, freelancers, and businesses by enabling seamless trade settlements and access to global markets without traditional banking barriers.

By Philip Odiakose

As a public relations measurement and evaluation expert with more than a decade of experience advocating the integration of measurement and evaluation into communications and PR engagements, I have witnessed firsthand the knowledge gaps that exist in the field.

These gaps are particularly evident in how PR professionals and agencies approach measurement and evaluation. The reality is that the acceptance and best practices of PR measurement and evaluation must start from the classroom.

This is why I strongly believe that measurement and evaluation education must be integrated into the curriculum of Mass Communications, Public Relations, and Media departments in tertiary institutions. It is only through this structured education that we can begin to produce PR professionals who are future-ready, and equipped with the technical know-how to design, measure, and evaluate campaigns effectively.

The absence of measurement and evaluation in the traditional curriculum of many institutions has created a disconnect between the theoretical knowledge taught in schools and the practical realities of the PR profession. Most PR graduates enter the field with a strong understanding of communication strategies but little to no knowledge of how to measure the success of those strategies or how to leverage data for impactful decision-making.

Measurement and evaluation are not just add-ons; they are integral to ensuring accountability, transparency, and effectiveness in PR and communication efforts. Without a foundational understanding of how to measure impact, PR practitioners are left to rely on outdated metrics or superficial indicators that do not reflect true campaign performance.

In this regard, I must commend institutions that have made deliberate efforts to bring real-life and practical measurement experiences into the classroom. One standout example is Covenant University in Ota, Ogun State, Nigeria. Over the years, I have had the privilege of working with the Communications and Media Studies Department, thanks to Dr. Kehinde Oyesomi, who has consistently provided opportunities for her students to learn the basics of measurement and evaluation. This hands-on approach equips students with the analytical mindset required to thrive in the PR and communications industry. By exposing students to real-world applications of measurement, institutions like Covenant University are raising a generation of practitioners who will be better prepared to navigate the complexities of the industry.

Another commendable example is the initiative by the NIGERIAN INSTITUTE OF PUBLIC RELATIONS, LAGOS (Lagos NIPR), which integrated measurement and evaluation education into its curriculum in 2017. This forward-thinking move was driven by a partnership between P+ Measurement Services and the NIPR Lagos leadership at the time, under the chairmanship of Segun Mcmedal.

It is encouraging to see that this initiative has been sustained by the current chairperson, Madam Comfort Obot Nwankwo, reflecting a commitment to continuous learning and professional development. However, this effort must go beyond the Lagos chapter; it is my hope that the Nigerian Institute of Public Relations, under the leadership of Dr. Ike Neliaku, will recognize the importance of adopting measurement and evaluation as an integral part of the institute’s curriculum nationwide.

Education is the foundation of knowledge and practice. In the same vein, it is the starting point for the usage, integration, and acceptance of PR measurement and evaluation as a core function within the industry. Without education, we risk perpetuating the cycle of ignorance, where PR professionals fail to understand the value of data-driven insights and fall back on outdated or ineffective practices. To address this, the measurement community must actively champion education as a means to bridge the gap between theory and practice. This is why global initiatives like AMEC Measurement and Evaluation Education Hub under the leadership of Johna Burke are so vital.

As a founding member of #AMECLabInitiative, I am proud to be part of a mission that focuses on skill development, career progression, and knowledge sharing within the global measurement community. AMEC’s efforts to promote education in measurement and evaluation for public relations and communications are critical to ensuring that best practices are not only adopted but also sustained across the industry.

The value of measurement cannot be overstated. It is both the science and the art of public relations, providing a framework for accountability and a pathway to continuous improvement. However, to achieve this, we must first address the root of the problem: the lack of formal education in measurement and evaluation.

By integrating it into the curriculum of universities and professional bodies, we are not only equipping students with the skills they need to succeed but also ensuring that the industry as a whole evolves to meet the demands of a data-driven world. As I often say, “Education is the beginning, the middle, and the end of the acceptance and best practices of measurement.”

In conclusion, I call on tertiary institutions across Nigeria to embrace the integration of measurement and evaluation into their Mass Communications, PR, and Media curriculums. This is not just about equipping students with technical knowledge; it is about shaping the future of the PR profession. Measurement and evaluation are not static; they are dynamic, evolving with trends, tools, and technologies.

By embedding this education into the classroom, we are creating a pipeline of professionals who are not only skilled but also adaptable, innovative, and ready to lead. The future of PR measurement and evaluation lies in education, and it is up to us as practitioners, educators, and industry leaders to ensure that this foundation is built strong and sustained for generations to come.

Philip Odiakose is a leader and advocate of PR measurement, evaluation and media monitoring in Nigeria. He is also the Chief Media Analyst at P+ Measurement Services, a member of AMEC, NIPR and AMCRON