Aliko Dangote
The inspiring story of how Aliko Dangote, a man from the third world rose from a humble beginning to become the richest black man in the world.
Today, i am going to share some business lessons from one of my mentors and role model. This mentor of mine controls 60% of Nigeria’s sugar market and 42% of the country’s cement market. I am talking of a country with over 150 million citizens. I bring to you, Aliko Dangote, the richest black man in the world.
Aliko Dangote is a Nigerian business magnate, whose business acumen and aggressiveness send fear into the mind of competitors. This humble billionaire currently sits atop one of Africa’s largest conglomerate, the Dangote Group. But this was not to be so 25 years ago. Born on April 10, 1957 in Kano, state Nigeria, to the family of Muhammad Dangote and Hajiya Mariya Sanusi Dantata.
He had his primary and secondary education in Kano before he proceeded to Alazahar University, Cairo, Egypt to obtain a degree. If not for the degree, he would probably have been on my list of school drop out billionaires.
While Dangote was working under his uncle Sani Dantata, he discovered his passion and began developing his business skills.
After developing his business skills and building his confidence, he got a lot a loan of N500,000 (approximately $3,500 today) from his uncle in 1977 to start his own business. Dangote was also given a deadline of three years to repay the loan but he repaid the loan in three months.
Dangote started business by trading in commodities such as sugar, rice, salt, pasta, cotton, millet, vegetable oil, cocoa and textile. In the course of running his business, he developed strong business ethics and principles. One of Dangote’s business strategies for succeeding in the commodity market was to develop a strong distribution network and make the delivery of his goods faster.
After gaining a strong hold on the commodities market, Dangote decided to venture into manufacturing and producing the same commodities he was importing. In an interview granted to a journalist by this billionaire, he stated that leaping from importation to manufacturing was his greatest business move.
Since he moved into manufacturing, Dangote has never looked back. His company (Dangote Group) controls 13 other companies with most of them acquired through mergers and acquisitions. In celebration of his 50th birthday in 2007, he commissioned a one billion dollar factory (Obajana Cement Factory), which happens to be the largest cement factory in Africa.
Today, his group is made up of Dangote Sugar Refinery (the most capitalized stock on the Nigerian stock exchange), Dangote Flour Mills, Dangote sacks, Dansa Foods, Dangote transport, Obajana Cement (Africa’s largest cement factory), National Salt Company Of Nigeria (NASCON), the Bachita Sugar Company, Benue Cement Company Plc, the Bachita Sugar Company, Dangote Cement, Blue Star Shipping, Blue Star Investment and so on. Just recently, he boosted his philanthropic activities with the launch of his foundation (Dangote Foundation).
Dangote is also respected in the business circle for his ability to buy and revive moribund companies. He is also known for his strong believe. He strongly believes in Nigeria and he proved it by investing 100% in Nigeria. To him, Nigeria is the best place to invest your money.
In acknowledgement of his business acumen, Dangote has been showered with many awards and has been listed as one of the 20 most outstanding CEO’s in Corporate Nigeria. He was awarded the Most Respected CEO of the year, by Price Water House Coopers/Business Day in 2005 and Cross River Roll of Honours Award, Best Entrepreneur and Philanthropist of the year in 2002.
He was also conferred with the Officer of the Order of the Niger (OON) and Commander of the Order of the Niger (CON). Most recently, he was adjudged ThisDay Entrepreneur of the Year, 2006 and Best CEO of the Year also at the 11th Annual ThisDay Awards.
In 2008, Aliko Dangote emerged the richest black man in the world with a net worth of $3.3 billion dollars beating Oprah Winfrey; who is the richest black woman. This is with respect to Forbes ranking of world Billionaires.
Business Lessons From Dangote:
Aliko Dangote
In the course of studying the entrepreneurial lifestyle of this multi billionaire, i was able to grab some business lessons which i am going to share with you. Join me below as i share with you the business success secrets:
Determination and Passion: Dangote is known for being a man of determination. Anything he dreams, he set out to achieve. Just as he says “Passion is what drives me forward. Passion is what makes me go to bed at 2am and wake up at 6am. Without passion, forget about building a business.
The power of a strong mission: In course of understudying this role model of mine (Dangote), i came to discover that his overall success is all hinged on one factor; his mission. This mission is the fuel that drives his companies to dominate their market. Dangote was able to become a billionaire because he has a very strong mission statement and that mission is this; “To provide the basic need of over 150 million Nigerians”
I also learned from Dangote that the entrepreneurial spirit lies in the mission and if this mission is strong, it will continue to drive the entrepreneur’s companies to success even after his death.
A life purpose: Another lesson i picked from Dangote is the power of a life purpose. Now what is a life purpose? I will tell you later on. Dangote has a life purpose and i will quote exactly what he said in an interview he granted:
Aliko Dangote
“After my death, i want to be remembered as Africa’s greatest industrialist.” – Dangote
This statement propelled me to also ask myself the question; “what will i be remembered for after i exit this world? Now this question is the answer to what a life purpose is. To me, your life purpose is simply what you will be remembered for after your death. I also wrote an article on this, you can read it if you are interested in forging your own life purpose.
The power of strategy: While trading on commodities, Dangote developed a strategic plan that will set him apart from his competitors. The first strategy he implemented was to create a strong brand “Dangote Group.” A brand that signifies quality. The second was to develop a strong distribution network throughout the country, which in turn resulted in his ability to deliver his goods faster than his competitors. The third strategy was to sell his product nationwide at uniform price.
In conclusion, despite the fact that Dangote emerged the world richest black man in the world by 2008, it took him 30 years to get there. For 30 years, he was committed and persistent in the process of building a formidable business. That brings me to the last lesson i learned from this billionaire and that lesson is this; Rome was not built in a day. There is nothing like overnight, success requires hard work and persistence.
To join the league of successful entrepreneurs, you must pass through the entrepreneurial process and with this process comes difficult business challenges. But if you stick to the process, you will hit the pot of gold. At this stage, i leave you with this quote:
“The height attained by great men is not by sudden flight. For while their companions lay asleep, these men were toiling in the night.” – Anonymous
