ceo survey 2011

CEO Survey 2011Going Forward

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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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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:

- Consolidation of companies through introduction of new methodologies in business monitoring. 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:

- The state must adapt to companies and not vice versa, because the state and its citizens live from 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.


1 – 3 years (24,5%)

3 – 5 years (12,2%)

Over 5 years (63,3%)

Consumer Products (26,5%)

Technology (14,3%)

Logistics and Transport (2%)

Industry (12,3%)

Financial Services (28,6%)

Life Science and Healthcare (4%)

Professional Services (12,3%)

Government Institutions and Non-Profit Organizations (0%)

Experience as a CEOMost of the participants in the Survey have been CEOs for over five years.


IndustriesMost of the participants in the Survey come from the Consumer Products and Financial Services.

24,5%

63,3%

12,2%

26,5%

14,3%

4%2%

1. How long have you been a CEO?

2. What industry do you work in?

12,3%

28,6%

12,3%


Consumer Products (37,5%)

Technology (16,7%)

Logistics and Transport (27,1%)

Industry (35,4%)

Financial Services (12,5%)

Life Science and Healthcare (8,3%)

Professional Services (22,9%)

Government Institutions and Non-Profit Organizations (8,3%)

Yes, once (35,4%)

Yes, more than once (18,8%)

No (45,8%)

Change of industry during a career Most of the participants in the Survey have changed the industry they work in.

Perspectives for growth and developmentAccording 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.

45,8%

18,8%

35,4%

37,5%

12,5%

8,3% 22,9%

27,1%16,7%

3. Have you changed the industry you work in during your career?

4. In your opinion, which industry in Serbia has best perspective for development in the next couple of years?

35,4%

8,3%


Market potentials (56,3%)

Qualified staff (20,8%)

Professionalism in the work (4,2%)

Geographical location (50%)

Developed IT infrastructure (0%)

Flexibility in working with different markets (27,1%)Traditionally developed relationships with most developed economies (10,4%)

IT (42,5%)

Production (42,5%)

Supply chain/Logistics (12,8%)

Marketing/PR (4,3%)

Finance (8,5%)

Sales (12,8%)

Human Resources (8,5%)

Business Development (23,4%)


The Sectors with best prospects for growth, in the opinion of CEOs, are Information Technologies and Production, along with Business Development.

Advantages and obstacles for doing business in SerbiaThe majority of participants in the Survey believe that the biggest advantage of doing business in Serbia is market potential.

42,5%

12,8%

4,3%

12,8%

20,8%

50%4,2%

27,1%

56,3%

5. Which sector do you think will have the biggest growth in the next period?

6. In your opinion, what are the major advantages of doing business in Serbia?

42,5%

8,5% 8,5%

23,4%

10,4%

Other comments- Serbia possesses excellent resources in agriculture, energetic, minerals, recycling, which are not

being used. A number various industries could be develop based on these resources and thus show the real potential of Serbia.

- Bearing in mind a constant departure of qualified staff, invalid value system, the state which favors 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.

- A great potential that has not yet been used.


Very satisfied (4,1%)

Mainly satisfied (42,8%)

It could have been better (40,8%)

Not satisfied (12,3%)

Lack of qualified staff (27,7%)

Insolvency of companies (63,9%)

Unclear legislation (63,9%)

Complicated administrativeprocedures (55,3%) Shortage of good ideas (6,4%)

Social and political environment (46,8%)

Poor infrastructure (38,3%)

55,3%

27,7%

63,9%

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.

4,1%

42,8%

40,8%

7. What do you see as the main obstacles to successful business in Serbia?

8. How satisfied are you with doing business in the past year?

On the other hand, the major obstacles for successful business in Serbia are insolvency of companies, unclear legislation and complicated administrative procedures.

63,9%

6,4%

46,8%

38,3%

12,3%


Progress (6,1%)

Stagnation (59,2%)

Deepening of the crisis (34,7%)


CEOs are mostly proud of cost reduction, followed by employee’s retention and launching new projects.

Launching a new business line/project (34,7%)

Cost reduction (42,9%)

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%)

9. Which of your achievements in the past year make you most proud?

10. Which situations did you personally find most unsatisfactory?

Dismissal of employees (20,4%)

Salary and benefit cuts (6,1%)

Giving up certain projects (38,8%)

Departure of high-quality employees (12,3%)

Reduction of business volume (34,7%)

Nothing in particular (10,2%)

42,9%

34,7%

20,4%

12,3%

11. What do you think the following business year will bring us?

59,2%

34,7%

6,1%

38,8%

10,2%

6,1%

38,8%

22,5%

12,3%

10,2%

The majority of the participants found giving up certain projects and the reduction of business volume personally most unsatisfactory

34,7%

View into the futureUnfortunately, 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 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.


12. What do you plan to do in the next year?

37,5%

52,1%Increase the volume of business (52,1%)

Invest in employees’ development (37,5%)

Expand to new markets (35,4%)

Introduce new technologies (14,6%)

Find a strategic partner (12,5%)

Dismiss employees (6,3%)

Reduce salaries and benefits (10,4%)

Reduce the volume of business (8,3%)

Borrow further (2,1%)

Close down a part of the company (2,1%)

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.

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%)

Simplifying administrative procedures (59,8%)

8,3%

10,4%

6,3%

12,5%

14,6%

35,4%

2,1%

2,1%

78,7%

42,6%

34,1%31,9%

55,3%

59,8%

Other comments- Maintain market share, rationalize cost structure.- Rationalisation of costs, better organization of work and improvement of employees’ satisfaction.- Consolidation of companies with introduction of new tehnologies of business monitoring. - Bringing new young potentials, mostly from internal sources, into newly formed managerial positions

and intensive work in 2012 on their inauguration in these positions.- New strategic partner would bring a possibility of innovations of the existing products and services.

Other comments- 1. A brutal clash with the corruption at all levels, 2. The state must adapt to companies, and not vice

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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Yes (14,6%)

No (60,4%)

I do not know (25%)

14. Do you think that the supply in the labor market was of a higher quality than the previous years?

25%

14,6%

60,4%

15. Did you contact Executive Search companies concerning the selection of staff?

Yes (31,3%)

No (68,7%)

31,3%

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.

Yes (37,8%)

No (62,2%)

37,8%62,2%

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.


About Stanton ChaseStanton 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 fieldsWe 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.

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