2. General Overview
The previous year was turbulent, challenging, without many great achievements. Indications for 2012
are not much better. Without intention to display unrealistic optimism we wanted to change a bit the
way of thinking, to move forward and look forward. In line with that, we tried to steer this Survey
more towards what to do next, rather than analyzing how bad it is and how we do not see the light
at the end of a tunnel. We think it is very important to look ahead, how to change the existing situa-
tion and how each of us can contribute to that.
This time again we had both Serbian and foreign CEOs participating in the Survey, thus showing the
real picture and an overall opinion of the leading people in companies operating in our market.
The most of the CEOs have been in the leading position for over 5 years and the majority of them
come from Financial Services and Consumer Products. Slightly less than a half of the participants in
the Survey have worked in the same industry throughout their entire careers, whereas the rest have
changed their industries once or more, which gives us an additional value in the estimation of the
circumstances in the market.
The unanimous opinion of both local and foreign CEOs is that the Consumer Products Sector will have
the best prospects for development in the next couple of years. They do not share the same opinion
which sector is at the second place, local CEOs think it is Industry, and foreign say Logistics and
Transport. They all agree that Life Science and Healthcare will experience a stagnation period.
According to the local CEOs we can expect the biggest growth in IT Industry and Production, and the
foreign CEOs are of the similar opinion, but in the reverse order, and they also add Logistics and
Transport.
It is the shared opinion that the market potential and the geographical location represent the major
advantages of doing business in Serbia. It is interesting that the foreign CEOs place qualified staff at the
third position, while the local CEOs put it on the fourth place, in a considerably smaller percentage.
On the other hand the main obstacles to successful business in Serbia are unclear legislation and
insolvency of companies. Neither here do the opinions match entirely, because foreign CEOs find that
complicated administrative procedures and infrastructure largely influence obstacles in work, while
the local CEOs believe that social and political environment also have big influence.
Regarding the business in the past year, the general opinion is that it went well, but that it surely could
have been better. What was probably expected to be the most significant result and was pointed out
as the best achievement are cost reduction and retention of employees.
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3. The CEOs found giving up certain projects and reduction of business volumes to be most unsatisfactory. In
line with their opinion that the quality of staff is high, employees’ dismissal was also not easy for them.
Talking about optimism from the beginning of this overview, it is difficult to spread it, especially when
most of the CEOs expect the stagnation in this business year. If we want to watch this statistics from a
positive angle, somewhat smaller percentage expects further deepening of the crisis. This gives us
right to conclude that everyone will take necessary steps not to allow the pessimistic prognoses
influence us and that the battle for progress will be strong and entirely unavoidable.
Such opinion is based on the ideas of general managers in Serbia who plan to increase the business
volume in this year and it is absolute priority to everyone. Positive consequence of this is planning of
higher investments in employees’ development, as well as expansion in new markets. The following
comments confirm this:
- onsolidation of companies through introduction of new methodologies in business monitoring.
C
Bringing young talented staff, mostly from internal sources into newly formed managerial positions
and intensive work on their development in these positions.
- Cost optimization, better work organization and increase in employees’ satisfaction.
The perpetual question is in which direction Serbia should move on concerning its economy and
strategy. CEOs have no dilemma that it is investment in agriculture, but they also believe that a
simplified administrative procedures and infrastructure development must follow the economy. Here
is one comment:
- he state must adapt to companies and not vice versa, because the state and its citizens live from
T
companies – an investor’s friendly environment must be created.
This year saw bigger readiness of employees to change their jobs, either due to the instability in certain
companies or lay-offs. Despite that, the CEOs do not think that the supply in the labor market was of a
higher quality. This does not differ from previous years and it is obvious that great investments in staff
development are still needed, and it has been quoted as one of the priorities in the years to come.
Another difficult period is behind us. Let us finish it like we started. We hope that a larger part of planned
actions will be implemented and that the result will be a much better evaluation of this business year
than we are expecting right now. Finally, everyone should do their tasks, motivate the employees to
follow, inspire them for new ideas, we are sure it is the only possible way. The way forward.
Enjoy reading until the new Survey.
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4. Experience as a CEO
Most of the participants in the Survey have been CEOs for over five years.
1. How long have you been a CEO?
24,5%
63,3%
1 – 3 years (24,5%)
3 – 5 years (12,2%)
Over 5 years (63,3%)
12,2%
Industries
Most of the participants in the Survey come from the Consumer Products and Financial Services.
2. What industry do you work in?
28,6%
26,5%
Consumer Products (26,5%)
Technology (14,3%)
Logistics and Transport (2%)
14,3% Industry (12,3%)
12,3% 12,3%
Financial Services (28,6%)
Life Science and Healthcare (4%)
4% Professional Services (12,3%)
2%
Government Institutions and
Non-Profit Organizations (0%)
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5. Change of industry during a career
Most of the participants in the Survey have changed the industry they work in.
3. Have you changed the industry you work in during your career?
35,4%
45,8%
Yes, once (35,4%)
Yes, more than once (18,8%)
No (45,8%)
18,8%
Perspectives for growth and development
According to the opinion of CEOs in Serbia, the Consumer Products Section and Industry have the
best perspective for growth in the next couple of years, followed by Logistics and Transport and
Professional Services.
4. In your opinion, which industry in Serbia has best perspective for development
in the next couple of years? 37,5%
Consumer Products (37,5%)
Technology (16,7%)
16,7%
27,1% Logistics and Transport (27,1%)
35,4%
Industry (35,4%)
Financial Services (12,5%)
12,5%
Life Science and Healthcare (8,3%)
8,3%
22,9%
Professional Services (22,9%)
Government Institutions and
8,3% Non-Profit Organizations (8,3%)
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6. 5. Which sector do you think will have the biggest growth in the next period?
The Sectors with best prospects for growth, in the opinion of CEOs, are Information Technologies
and Production, along with Business Development.
42,5% 42,5% IT (42,5%)
Production (42,5%)
Supply chain/Logistics (12,8%)
23,4% Marketing/PR (4,3%)
Finance (8,5%)
12,8% 12,8%
Sales (12,8%)
8,5% 8,5%
4,3% Human Resources (8,5%)
Business Development (23,4%)
Advantages and obstacles for doing business in Serbia
The majority of participants in the Survey believe that the biggest advantage of doing business in
Serbia is market potential.
6. In your opinion, what are the major advantages of doing business in Serbia?
56,3%
Market potentials (56,3%)
20,8% Qualified staff (20,8%)
50% Professionalism in the work (4,2%)
4,2%
Geographical location (50%)
Developed IT infrastructure (0%)
27,1%
Flexibility in working with
different markets (27,1%)
10,4% Traditionally developed relationships
with most developed economies (10,4%)
Other comments
- erbia possesses excellent resources in agriculture, energetic, minerals, recycling, which are not
S
being used. A number various industries could be develop based on these resources and thus show
the real potential of Serbia.
- earing in mind a constant departure of qualified staff, invalid value system, the state which favors
B
10 tycoons and suffocates and destroys small and medium enterprises, the level of corruption plus
complicated/unclear/long procedures of getting permits – Serbia has a unique geographical position,
but it seems to be less and less important every day.
- great potential that has not yet been used.
A
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7. 7. What do you see as the main obstacles to successful business in Serbia?
On the other hand, the major obstacles for successful business in Serbia are insolvency of companies,
unclear legislation and complicated administrative procedures.
Lack of qualified staff (27,7%)
63,9% 63,9%
55,3% Insolvency of companies (63,9%)
46,8%
Unclear legislation (63,9%)
38,3%
27,7% Complicated administrative
procedures (55,3%)
Shortage of good ideas (6,4%)
6,4% Social and political environment (46,8%)
Poor infrastructure (38,3%)
Business results in the previous year
The majority of the participants in the Survey are mostly satisfied with the previous business year,
but at the same time almost the same number believes that it could have been better. Bearing in
mind what the previous year was like, there are a few of those who are satisfied, as expected.
8. How satisfied are you with doing business in the past year?
12,3%
4,1%
42,8%
Very satisfied (4,1%)
Mainly satisfied (42,8%)
It could have been better (40,8%)
Not satisfied (12,3%)
40,8%
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8. 9. Which of your achievements in the past year make you most proud?
CEOs are mostly proud of cost reduction, followed by employee’s retention and launching new projects.
12,3%
34,7%
10,2%
Launching a new business line/project (34,7%)
Cost reduction (42,9%)
22,5% Retention of employees (38,8%)
Keeping the existing level of salaries (22,5%)
Expanding in new market/s (10,2%)
Nothing in particular (12,3%)
42,9%
38,8%
10. Which situations did you personally find most unsatisfactory?
The majority of the participants found giving up certain projects and the reduction of business volume
personally most unsatisfactory
Dismissal of employees (20,4%)
38,8%
34,7%
Salary and benefit cuts (6,1%)
20,4% Giving up certain projects (38,8%)
12,3% 10,2% Departure of high-quality employees (12,3%)
6,1%
Reduction of business volume (34,7%)
Nothing in particular (10,2%)
View into the future
Unfortunately, the optimism is still scarce, because most of the
CEOs expect either stagnation or further deepening of the crises.
It is positive that majority of the CEOs plan to increase the 6,1%
volume of business in the following year and invest in employees’
development. Not many of them plan further borrowing or
closing down a part of the company.
11. What do you think the
following business year 34,7%
Progress (6,1%)
will bring us?
Stagnation (59,2%)
Deepening of the crisis (34,7%)
59,2%
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9. 12. What do you plan to do in the next year?
2,1%
8,3%
10,4% 2,1%
Increase the volume of business (52,1%)
6,3% 52,1%
Invest in employees’ development (37,5%)
Expand to new markets (35,4%)
12,5%
Introduce new technologies (14,6%)
Find a strategic partner (12,5%)
Dismiss employees (6,3%)
14,6% Reduce salaries and benefits (10,4%)
Reduce the volume of business (8,3%)
Borrow further (2,1%)
35,4%
Close down a part of the company (2,1%)
37,5%
Other comments
- aintain market share, rationalize cost structure.
M
- ationalisation of costs, better organization of work and improvement of employees’ satisfaction.
R
- onsolidation of companies with introduction of new tehnologies of business monitoring.
C
- ringing new young potentials, mostly from internal sources, into newly formed managerial positions
B
and intensive work in 2012 on their inauguration in these positions.
- ew strategic partner would bring a possibility of innovations of the existing products and services.
N
13. What do you think is the strategy for economic development in Serbia in the
next period?
Investment into agriculture is the best strategy for Serbia’s development. At the second place is
simplifying administrative procedures, which is understandable since the administration was seen
as one of the biggest hurdles for successful business in Serbia.
59,8% 78,7%
Investment in agriculture (78,7%)
Investment in renewable energy sources (42,6%)
Preventing the departure of qualified staff (34,1%)
Investment in new technologies (31,9%)
Development of infrastructure (55,3%)
55,3% 42,6%
Simplifying administrative procedures (59,8%)
34,1%
31,9%
Other comments
- . A brutal clash with the corruption at all levels, 2. The state must adapt to companies, and not vice
1
versa, because the state and the citizens live from companies - an investors’ friendly environment
must be created. If the things under 1. And 2. are done, all the above mentioned issues will start
getting solved naturally, by a domino effect.
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10. The perception of the supply in the labor market did not change from the last year, so that most of
the CEOs found it was not of a higher quality compared to previous years.
14. Do you think that 14,6%
the supply in the labor
market was of a higher
quality than the
previous years?
Yes (14,6%)
25%
No (60,4%)
I do not know (25%)
60,4%
15. Did you contact Executive Search companies concerning the selection of staff?
31,3%
68,7%
Yes (31,3%)
No (68,7%)
16. Did you more readily accept invitations from Executive Search companies to
change your job?
The number of those who more readily accepted invitations from Executive Search companies
regarding possible change of job increased.
37,8%
62,2%
Yes (37,8%)
No (62,2%)
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11. About Stanton Chase
Stanton Chase International is an internationally specialized Executive Search company, which by using
the expertise of its consultants, provides its clients with the best services of finding and assessing the
top managerial staff. What makes us different is our knowledge of international, regional and local
movements on the workforce market, as well as the accessibility to candidates from all over the
world. Stanton Chase International is a company which consists of 72 offices in 46 countries around
the world. According to the most recent research in this industry, the company is ranked one of the top
10 leading international Executive Search consulting firms in terms of size, speed of development and
reputation. Among its clients the company is especially valued for its exceptional quality of business,
above all for its successful work assessment in the complicated process of finding and choosing top
management staff.
Stanton Chase Belgrade office was founded in 2002 and provides a full spectre of services in the
area of Human Resources (HR) based on the multifaceted approach to the human resource needs
of our clients. Such a multifaceted approach includes not only different services, but above all our
ability to adapt to the needs of the client. Our complete activity during the selection of candidates or
consulting is adapted to the specific needs of every client and is based on the type of industry that the
client belongs to as well as their characteristic needs.
Today Stanton Chase Belgrade is placed among
the leading Executive Search companies in Serbia.
Our team constitutes of consultants and researchers specialized for certain branches of industry.
We particularly want to emphasise that our consultants have acquired their knowledge, skills
and experience in leadership positions in the industries that they are specialized in.
Our specialized fields
We offer industry specializations in nine dynamic fields:
Industrial
Technology (IT Telecom)
Consumer Products Services
Life Sciences Healthcare
Financial Services
Professional Services
Natural Resources Energy
Logistics Transportation
Government, Education Non Profit
Using the latest methodology for the assessment of competences and personality profiles (on-line
psychometric testing and strategic exercises in the form of business simulations) we provide a
successful and fast assessment of the best staff relevant for project work.
Blvd. Oslobodjenja 75, 11000 Belgrade
+381 11 3973676
www.stantonchase.com
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