Budapest Business Journal 3209

VOL. 32. NUMBER 9 | MAY 6 – MAY 16, 2024

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SPECIAL REPORT INSIDE THIS ISSUE

Telecoms and ICT

Rethinking Mobile: Rise of Refurbished Phones With the most recent Earth Day on April 22, refurbished mobile phones are emerging as a sustainable, economically savvy and eco-friendly option: cheap iPhones brought from a reliable source and that come with a warranty are now a trend.  14

Workforce not Getting Most From ICT Support ICT technology is not always deployed effectively, IT help desk staff can speak a different language to everyone else, and Excel is being used to cover a multitude of tasks, new research suggests.  17

SOCIALITE

Being ‘Larry:’ an interview with Actor Bennett Vilmányi

While “Larry” occasionally expects the viewer to suspend disbelief a little too much, it’s an intense movie powered by gritty performances.

When Bennett Vilmányi is onscreen, it’s impossible to take your eyes off him, writes David Holzer.  21

Research and the Data Goldmine

BUSINESS

Pharma firm MSD is all about R&D and working with the healthcare ecosystem to produce real-world data, Cyril Schiever, president of the Mid-Europe Region, tells us in an exclusive interview. Do it well, and the company can NEWS add value and help Hungary, Hungarian Economy he says. 11

no Longer Stagnating

The Q1 GDP data surprised analysts, and was the second best in the EU on a quarterly basis. As for the whole year, based on the better-than-expected figures, analysts now expect average growth of 2-3%; however, this is still fraught with uncertainty, mainly due to changes in external demand.  3

BUSINESS

Women at the Wheel: Girls’ Day at Bosch

For the 11th time, Bosch welcomed young women interested in science and technology to its annual Girls’ Day, held across four locations.

The event provides female students insights into automotive innovation and production.  12

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Budapest Business Journal | May 6 – May 16, 2024

IMPRESSUM

THE EDITOR SAYS

IN PRAISE OF GOLDMINES AND REFURBISHED PHONES

EDITOR-IN-CHIEF: Robin Marshall EDITORIAL CONTRIBUTORS: Luca Albert,

Balázs Barabás, Zsófia Czifra, Kester Eddy, Bence Gaál, Gergely Herpai, David Holzer, Gary J. Morrell, Maja Pénzes, Nicholas Pongratz, Gergő Rácz.

LISTS: BBJ Research (research@bbj.hu)

Sometimes, as we pull together an issue of the Budapest Business Journal, one story or theme dominates all others; in other editions, nothing much stands out. Two articles caught my eye in this paper, though for very different reasons.

The first is our lead story in this issue’s special report, which details a deceptively straightforward concept: refurbished mobile phones. In the same way that renovating an existing building will have less environmental impact than building a new one, refurbished phones are greener and cleaner than new models. As our story on page nine demonstrates, this isn’t just the personification of the circular economy.

It also addresses issues more closely connected with social integration. Those on lower incomes will struggle to afford the latest smartphone model (or, put another way, to justify the expense over all their other priorities, not least paying the bills and feeding the family).

But a refurbished phone might be within their range and still be a step up from what they currently carry in their pocket. Throw in the security of a two-year warranty, and you have baked in peace of mind.

What I found truly fascinating was the granular data behind the business. “One percent of the incoming [old] mobile phones are completely unusable and are dismantled and recycled,” Recommerce sales manager János Zilahi told us. “About 28-30% are not economically viable to refurbish due to being outdated or severely damaged. From these, usable components are salvaged, and the rest is recycled. Of the remaining 70% of smartphones, half are immediately marketable after data deletion and thorough cleaning and

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repackaging, while the others require minor repairs; these almost invariably involve screen or battery replacement.” What a great business model.

The other story represents something that has become a recurring theme. We have done several interviews with significant pharmaceutical players recently. On this occasion, we were lucky enough to sit down with Cyril Schiever, president of the Mid-Europe Region for MSD, one of the largest pharmaceutical companies in the world. And yet again, the centralized Hungarian healthcare system, or more specifically, a particular byproduct of it, was praised. We are so used to complaints about underfunded hospitals and long waiting times (a complaint you will probably find aired in most countries) that hearing anything positive about the healthcare ecosystem – beyond the quality of the people who work within it – is almost a surprise.

And yet, prominent pharma R&D actors keep pointing out that Hungary sits on a data goldmine. Because the information is centralized, and particularly because there is just one authority to deal with, it gives you a far more complete picture of Hungarian healthcare.

That’s great for analyzing historical data but also for tracking trials in real time. Naturally, concerns need to be addressed. That data must be protected, most obviously, but it must also be interrogated intelligently.

But as Cyril Schiever told us, it is an excellent foundation upon which to build, and one most other countries would dearly like to have.

Robin Marshall Editor-in-chief

Why Support the BBJ? • Independence. The BBJ’s journalism is dedicated to reporting fact, not politics, and isn’t reliant on advertising from the government of the day, whoever that might be.

• Community Building. Whether it is the Budapest Business Journal itself, the Expat CEO award, the Expat CEO gala, the Top Expat CEOs in Hungary publication, or the new Expat CEO Boardroom meeting, we are serious about doing our part to bind this community together.

• Crisis Management. We have all lived through a once-in-a-century pandemic. But we also face an existential threat through climate change and operate in a period where disruptive technologies offer threats and opportunities.

Now, more than ever, factual business reporting is vital to good decision-making.

For more information visit budapestbusinessjournal.com

Photo by Zoltán Máthé / MTI

• Value Creation. We have a nearly 30-year history of supporting the development of diversity and sustainability in Hungary’s economy. The fact that we have been a trusted business voice for so long, indeed we were the first English-language publication when we launched back on November 9, 1992, itself has value.

Photo by Katalin Tóth / Fortepan

THEN & NOW In the black-and-white photo dating to 1985 from the Fortepan public archive, participants of the International Meeting of Classic Cars drive past Flórián tér, near Árpád Bridge, en route to a rally event starting in the nearby town of Szentendre (22 km north of central Budapest by road).

Meanwhile, in the picture taken by state news agency MTI on May 1 this year, a meeting of veteran and classic vehicles marks the 125th anniversary of the Museum of Transport next to the Diesel Hall of the Northern Vehicle Repair Facility.

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Budapest Business Journal | May 6 – May 16, 2024

News

• macroscope

Hungarian Economy no Longer Stagnating

The first quarter GDP data surprised analysts, and was the second best in the European Union on a quarterly basis. As for the whole year, based on the betterthan-expected figures, analysts now expect average growth of 2-3%; however, this is still fraught with uncertainty, mainly due to changes in external demand.

Change in GDP in Hungary, 2010-2024 (Q1) Annual economic growth rate

Quarterly change in GDP, 2010-2024 (Q1)

Source:

losses of the past year and a half, will be resolved. As for the whole year, the experts expect economic growth of 2%.

Positive Contributions

“Although the KSH has not yet published detailed data on the first estimate, it can be guessed from the consumption side that both consumption and investments may have contributed positively to the expansion,” Gábor Regős, head analyst at fund management company Gránit Alapkezelő, says.

According to him, consumption was greatly helped by the fact that real earnings rose by

around

10%

in the months most relevant to consumption in the first quarter (between December and February), meaning there was more to consume, even if the motive of prudence and the high price level hindered this higher consumption.

“It is also worth adding that the purchasing power of pensions not only remained at the same level but also increased slightly. In order for consumption to increase, it was also necessary for inflation to normalize; this happened roughly in the first quarter,” Regős adds.

expand by

2.7%

this year as a whole.”

She thinks the main driving force behind this year’s growth is the replacement of delayed consumption, which is supported by the recovering real wages. The EUR 12.2 billion in EU funding released (representing roughly a third of the EU funds), which started gradually arriving from the beginning of this year, might also provide support, mainly through investments.

“It is also worth adding that the purchasing power of pensions not only remained at the same level but also increased slightly. In order for consumption to increase, it was also necessary for inflation to normalize; this happened roughly in the first quarter.”

ZSÓFIA CZIFRA

Hungary’s gross domestic product was 1.1% higher according to raw data and 1.7% higher according to seasonally- and calendaradjusted and reconciled data in the first quarter of 2024 than in the same period of the previous year.

Compared to Q4 of 2023, the economic performance was up by 0.8%, according to the seasonally- and calendaradjusted numbers, fresh information published by the Central Statistical Office (KSH) shows.

According to the report, the main contributors to the increase in the economic performance were market services. A decrease in the added value of industry, which represents a significant weight in the national economy as a whole, hampered economic growth.

The data suggests the economy regained its strength in the first quarter, and the recovery process that stalled at the end of last year has started again, Erste Bank analysts Orsolya Nyeste and János Nagy comment.

Although consumption might pick up as well as a result of lower inflation and higher real wages, the question is to what extent it will remain within the country’s borders and how much the motive of caution, which has intensified due to the welfare

Balogh-Béki writes in her commentary.

“We expect economic growth of more than 2% from the second quarter on a year-on-year basis. The economy may

He thinks the economy seems to be gradually returning to the growth path after the stagnation of the previous quarter. However, the contribution of exports is difficult to estimate, and the weak industrial data predicts an unfavorable performance.

The development of external demand is still not yet there to help the expansion of the economy.

According to Péter Virovácz, senior analyst at ING Bank, the Hungarian economy has continued to zig-zag, with stagnation and dynamic growth alternating in the past four quarters. He says that after the negative surprise of the previous quarter, we can now speak of a slight positive surprise.

Above Expectation

The senior analyst says the market expectation was an increase of 0.5% on a quarterly basis rather than the 0.8% the KSH recorded for the first quarter of this year. In addition to last year’s low base, the annual base growth has also improved significantly, Virovácz points out. It is also important to note that the seasonal effect was much stronger than usual, he adds.

“The latest data is in line with our forecast for 2024,” MBH Bank’s senior capital market analyst Márta

In a Facebook video, Minister of Finance Mihály Varga talked about how growth was helped by the fact that employment is at a record level, real wages are rising, consumption has started, and the construction industry and tourism are also performing better.

According to his expectations, the Hungarian economy may expand by 2.5% throughout 2024. Next year, according to the forecasts of the European Commission and the International Monetary Fund, it may be at the top of the EU growth ranking.

The Second Best The EU’s statistical office, Eurostat, has also published seasonally adjusted data for the member states. Compared to the previous quarter, Ireland achieved the best growth of 1.1%, followed by Lithuania, Latvia and Hungary: all three countries are at the top of the field with a growth rate of 0.8%. Spain closely follows, with a growth rate of 0.7%. Belgium maintains a stable growth rate of 0.3%, placing it sixth among the best performers. Sweden’s economy shrank by 0.1%, while Austria, Germany and France all expanded by 0.2% only. The EU and Eurozone growth averages both showed a 0.3% increase.

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Budapest Business Journal | May 6 – May 16, 2024

CEE-6 Investment Market Corrections to Continue in 2024

Real Estate Matters A biweekly look at real estate issues in Hungary and the region Budapest has current yields of 6.25% for office, 6.75% for industrial and 8% for shopping centers, according to Colliers. This provides a yield premium on Prague, which has the lowest yields in the region at 5.5% for office, 5.25% for industrial and 6% for shopping centers.

Investment volumes for the Central and Eastern European six (Bulgaria, the Czech Republic, Hungary, Poland, Romania, and Slovakia) hit a 10-year low falling by 52% year-on-year for 2023, according to the latest figures from Colliers.

Sector Yields Current Budapest Prague Sector Yields 6.25%

5.5%

Industrial

6.75%

5.25%

Shopping Centers

8%

6% Source: Colliers

GARY J. MORRELL

A period of “price discovery” will continue throughout this year at the same time as the imposition of ESG hits both buyers and sellers. Despite these issues, the CEE-6 still has investment potential, in the view of Colliers.

“Investor perception remains an issue from the outside, but companies within the CEE-6 enjoy robust results,” Kevin Turpin, head of CEE capital markets at Colliers, told the Sustainable Investment Breakfast by Colliers and Dentons at the W Budapest Hotel on April 11.

As a reflection of the central importance of environmental, social and governance concerns for all stakeholders, sellers are re-assessing their strategies and optimizing their portfolios in terms of letting capabilities regarding ESG compatibility.

“ESG compliance is becoming the market norm for investment

Office

Kevin Turpin, head of CEE capital markets at Colliers, explains the CEE-6 growth figures. transactions, reflecting a broader commitment to sustainability from all parties. However, given the current investment environment, the timing in terms of ESG costs is not ideal,” said Turpin.

He estimates a “good” CEE-6 market recovery would be between EUR 8 billion and EUR 10 bln and growing from there.

In 2022, the CEE-6 investment volume

Sustainable Investment Breakfast by Colliers and Dentons at the W Budapest.

was on par with the 10-year average at about EUR 10.7 bln. To put this into perspective, however, that figure is approximately 15-20% of the volumes for Germany for the same time frame.

In the current environment, Bence Vécsey, head of investment services at Colliers Hungary, estimates that the total investment volume for Hungary for 2023 could be around EUR 500 million. The country has generated about 10% of CEE-6 volumes from 2019 to 2023. According to Colliers figures, Poland, the leading CEE investment destination, recorded EUR 27 bln, the Czech Republic EUR 10.6 bln, Hungary EUR 5 bln and Romania EUR 4 bln.

Budapest has a total office stock of 4.4 million sqm with a vacancy rate of 13%.

Prime capital values for the office sector are significantly lower than in Poland and the Czech Republic. Industrial stock in Hungary stands at 5.1 million sqm, with a 7.6% vacancy rate. Capital values for Hungary are higher than those in Poland, although lower than those in the Czech Republic and Slovakia.

Regarding sources of capital from 2019 to 2023, the share of CEE-6 capital and international capital stands at 34% and 66%, respectively. However, the share of CEE capital in 2023 investment volumes reached approximately 56%. For Hungary, the amount of domestic capital in the investment market in 2023 was 62%, while for the Czech Republic, it stood at 46% and was a lowly 2% for Poland.

“ESG compliance is becoming the market norm for investment transactions, reflecting a broader commitment to sustainability from allparties. However, given the current Hungary Playing Catch-up investment environment, the timing in terms of Over this period, Hungary has traded on»average EUR 950 mln ESG costs is not ideal.” a year, the Czech Republic EUR 2.1 bln and Romania EUR 800 mln.

“Therefore, there is quite some catching up for Hungary to do with regard to the Czech Republic and, given the current perception of Hungary (partly from a political risk angle), this may take a while.

Romania is not far from Hungary by the investment average and could take the third spot,” commented Turpin.

The Hungarian and Czech markets have traditionally always had a strong representation from domestic investors, while, in Poland, their role has been limited. Analysts now divide the source of money in CEE between domestic national investors, domestic regional investors, and international investors.

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Budapest Business Journal | May 6 – May 16, 2024

News | 5

‘Not Our War’ PM Says as Talks Continue on Transcarpathia Minority Rights Crisis Roundup Ukraine

In the lead-up to the European Parliamentary elections on June 9, Prime Minister Viktor Orbán made clear that keeping Hungary out of the war in Ukraine would be one of the top priorities for the governing Fidesz and Christian Democratic People’s Party (KDNP) alliance at a campaign opening event in Budapest on April 19.

NICHOLAS PONGRATZ

“No migration, no gender, no war!” he declared, citing the alliance’s campaign slogan. Orbán pledged that Hungary would not involve itself with either side of the Russo-Ukrainian conflict as long as the Fidesz-KDNP alliance was in government, adding that had it not been, Hungary would already be “up to its neck” in the war.

Earlier that day, the PM made the same pledge during his weekly interview with Kossuth Rádió, explaining that the conflict was “not our war” and reiterating the need for a ceasefire and the start of peace negotiations.

Orbán recalled recently returning from a European Union summit in Brussels, where he said a “mood

to address the matter had made some progress over the past weeks.

However, he added that a lot of work remained to be done, which would require the working group to continue to meet the following week.

“In line with Hungary’s national priorities, we will not participate in cooperation that does not serve our national interests.”

Although Szijjártó again accepted there had been progress concerning Ukraine’s treatment of Hungarian minorities, on the sidelines of a meeting of his EU peers on Balázs Orbán, the Prime Minister’s Political Director (center), speaks alongside Heather Nauert, former Foreign Affairs Spokesperson of the U.S. Trump Administration (left) and Bertrand de La Chesnais, politician and retired French Lieutenant General (right) at the conference entitled “Towards a Stable Future: Adapting to a New World Order,” at the Ludovika Campus of the National University of Public Service in Budapest on April 22. Photo by Zsolt Szigetváry / MTI of war” had prevailed with the suggestion that soldiers could be sent to the conflict, escalating the war in Ukraine to a “second phase.”

Also in attendance at the EU summit was the PM’s political director, Balázs Orbán, who said that ensuring peace and security for Hungary remained the government’s top priority despite other European leaders continuing to take a “pro-war position.” He emphasized that Hungary would stand by its position of not participating in any preparations for war by refusing to deliver weapons and rejecting EU military support in any form.

“In line with Hungary’s national priorities, we will not participate in cooperation that does not serve our

April

22,

Meanwhile, Minister of Foreign Affairs and Trade Péter Szijjártó continued talks over the phone with Ukrainian President Volodymyr Zelensky’s chief of staff, Andriy Yermak, regarding the rights of the ethnic Hungarian population in Transcarpathia, in the west of Ukraine, according to a post on the foreign minister’s Facebook page on April 19.

Szijjártó acknowledged that the bilateral working group created

he said that the country continued to “discriminate” against Hungarian companies.

After recalling that OTP Bank, Hungary’s most significant commercial lender, had earlier been included on Ukraine’s “sponsors of war” list, he said that Kyiv now wanted to revoke the licenses of 14 products Hungarian pharmaceutical company Gedeon Richter sells in Ukraine.

Szijjártó made it clear that until the situation changed, Hungary would not agree to an initiative to allocate an additional EUR 1.5 billion from the European Peace Facility to fund weapons deliveries to Ukraine, on top of the EUR 500 million it had earlier blocked.

“The Hungarian position remains firm and clear,” he said. “As long as we do not get a guarantee from Kyiv that they are finished and won’t re-start the witch-hunt against Hungarian companies active in Ukraine, we won’t be able to contribute to such decisions.”

The next CEO Breakfast, brought to you

2023, spending on health in Hungary

by the German Hungarian Chamber of

is among the lowest in the EU, with

Industry and Commerce (DUIHK) and the

only Croatia, Slovakia, Poland, Bulgaria

Budapest Business Journal, will focus on

and Romania behind it. The numbers

a subject that affects us all, both personally

of doctors and nurses are below

and as employers, whether working

the EU average. Hungary spends

directly in the sector or not: healthcare.

less per capita than the EU average

national interests,” he added. The PM’s political director said that Hungary continues to advocate for peace, concluding there was “no military solution” to the war in Ukraine.

Transcarpathia Talks

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Hungarians are Wolfing Down Their Workplace Meals: Study

Health Matters A monthly look at health issues in Hungar y and the region with the post-COVID remote working trends, more than half of those surveyed (52%) say that their workplace gives them the opportunity to work from home, meaning they can manage their meals at home during the day.

The vast majority of Hungarians are aware that the way they eat during the day can significantly improve or worsen performance at work, yet in practice, most tend to forget about this and try to get through their workplace meal as quickly as possible, according to Colorful Bowls Research conducted by Eisberg via Opinio.

More Conscious Choices

Sadly, though, just under a third say that this gives them more time and makes them more conscious about what they eat. This means that the rise of the home office has not brought Hungarian workers any closer to healthy, balanced eating, the survey notes.

“Home-cooked food is not only cost-effective but can also be a more conscious choice, allowing us to keep a closer eye on what we are eating. This is harder to control when buying food from nearby restaurants, takeaways or the canteen at work.”

BENCE GAÁL

Approximately three-quarters of those surveyed in the representative study said they spent half an hour or less on lunch; about one-fifth said it took less than 15 minutes. The research also showed that the majority of Hungarian workers swear by home cooking; most eat food brought from home to get through the day, and many claim they rarely snack during the day.

Eisberg’s Colorful Bowls Survey, conducted for the first time this year to run alongside a new healthy lunch product line, has revealed some surprising trends in how people eat at work or home during the day.

Kinga Shenker-Horváth, a dietician at the Hungarian University of Physical Education and Sports Sciences.

“I was delighted to be involved in the development of Colorful Bowls because, in our fast-paced world, these complex salad bowls contribute to a balanced diet, providing valuable nutrients such as fibers, vitamins, minerals, antioxidants and complete proteins, as well as a delicious combination of flavors,” says Kinga Shenker-Horváth, a dietician at the Hungarian University of Physical Education and Sports Sciences and Eisberg brand ambassador.

“With this in mind, we wanted to investigate how conscious Hungarians are about nutrition and eating at work, how much it matters what they eat, and how much time they spend eating,” the expert explains.

The 15-minute Lunch

For many respondents, it is true that, in their daily rush, they eat lunch as quickly as possible to have more time for work and other activities.

According to the research, more than half (53%) of those surveyed spend only 15-30 minutes on their lunch break. Almost a quarter of respondents

(21%) spend even less time downing their lunch within 15 minutes.

The time factor is one thing, but what people have on their lunch plates is also an important consideration.

Although the majority of respondents (54%) still prefer an omnivorous diet, many people stick to the filling dishes of Hungarian cuisine (23%), and others follow a special diet, such as vegetarian or vegan.

The survey found that the majority of respondents,

at

59%,

eat food brought from home.

This trend is particularly prevalent among women (65%).

“Home-cooked food is not only cost-effective but can also be a more conscious choice, allowing us to keep a closer eye on what we are eating. This is harder to control when buying food from nearby restaurants, takeaways or the canteen at work,” Shenker-Horváth adds.

The absolute work-defining issue of recent years is the home office. In line

There are stressful days at work in every workplace. Relieving the pressure leads many Hungarians to snack during the day. However, the responses show that most of us can resist the temptation: nearly half of respondents (45%) said they rarely snack during working hours. Only a fifth of respondents say they often snack.

Bringing snacks from home and infrequent snacking at work implicitly suggests that most Hungarians are aware that well-chosen snacks have an impact on their energy levels and concentration. The research also specifically asked about the relationship between food and performance: nearly half of respondents,

some

45%,

said that eating healthily every day improves their overall performance at work.

Shenker-Horváth stresses that making the switch to mindful eating can make a difference to both our physical and mental health.

“Eisberg’s new Colorful Bowls are designed to offer a health-conscious alternative to quick lunches at work.

These bowls are not simple salad bowls but complete main meals, containing fresh vegetables, protein sources such as meat, fish, cheese or eggs, and grains (pasta or bulgur).

They are tasty, nutritious and provide a balanced nutritional intake for busy days,” the nutritionist adds.

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Budapest Business Journal | May 6 – May 16, 2024

News | 7

German Companies Want Predictability and the Euro Two significant business organizations, the Hungarian economic research institute GKI and the GermanHungarian Chamber of Industry and Commerce (DUIHK), have recently published data on the economic mood in Hungary.

Balance of Positive and Negative Answers Regarding the Current Situation of the Hungarian Economy

The business sentiment of Hungarian companies has been unable to recover from a significant fall in»2022, registering only minor ups and downs each month. This was again the case in the third and fourth months of the year: after a threepoint improvement in March, the business sentiment fell two points in April, according to GKI. The DUIHK Business Climate Survey, published twice a year, in spring and fall, gives a more detailed insight from German companies operating in Hungary.

To provide some context to the

spring

2024

report, which carries the subtitle “Weak Growth Prospects, Challenges in the Labor Market,” let us look briefly at the findings of the 2023 survey.

Last year, the situation of the Hungarian economy was described as “significantly worse” than in spring 2022, with the outlook for the next 12 months seen as relatively weak, according to the feedback provided by 250 executives of DUIHK member companies.

As for the quality of the investment environment, respondents were critical of the predictability of economic policy, which most likely reflects state interference in market mechanisms, such as administrative price regulations or intervention in foreign trade.

Overall, the share of companies with a positive outlook equaled those

Mid-table

Despite all these factors, Hungary is situated relatively well in regional comparison, ranked seventh among 15 countries, with Poland, Estonia and Lithuania leading the list. On the positive side, Hungary has a well-functioning state administration and infrastructure, and here, Hungary is placed among the five best-performing states in the region.

For years, a critical issue for companies has been the availability of a skilled workforce. Dirk Wölfer, the chamber’s head of communications and the survey’s author, pointed out that the labor shortage and the costs related to the labor force have long been significant challenges.

With slower economic growth, the absorption of the labor force lowered, which was somewhat helpful for companies. Still,

55% of

with negative expectations. The last time the ratio was this negative was 10 years ago, the 2023 survey reported.

Bottoming Out? BALÁZS BARABÁS

were the fight against corruption and transparency of public procurements.

The tone of this year’s study has not improved much. At the launch event, DUIHK President András Sávos said that after the “very pessimistic expectations” reflected in the fall 2023 report, the lowest point may have been reached, but a significant economic rebound cannot be expected as yet.

Only 14% of the respondents rated the situation of the Hungarian economy as “good,” while 41% saw it as “bad,” even worse than the 2023 report.

Although the balance between the positive and the negative answers has improved from -36 to -4, we are still far from what could be seen as signs of perceptible economic growth, Sávos said.

Not surprisingly, given this environment, barely more than a quarter (27%) of the respondents consider their current business situation as “good,” down from 39% last year.

In comparison, a majority of

59% described

it as “satisfactory” and 14% “bad.”

A quarter expect the situation to worsen this year, while 29% count on an improvement. On a regional comparison, the Hungarian results are average at best and, in most cases, weaker.

While the macroeconomic environment may be accepted as a given, the companies would expect at least the variables to show some improvement. However, the score for critical factors like economic policy and legal certainty remained low and even worsened compared to last year, when they were already indicated as problematic areas, Sávos said.

More than half (60%) of respondents were more or less unsatisfied with predictability, and 48% were unhappy with the level of legal certainty.

Such figures were last registered in 2017, the German chamber says.

The continuous “governing by decree” since 2020 does not contribute to efficient planning and predictability of business, Sávos noted.

Windfall taxes also do not indicate a healthy budget; generally speaking, interventions in economic processes always come with high risks, Sávos noted. For 10 years, between 2012 and 2022, satisfaction regarding the tax system was on an upward trend, but that started falling in 2023 and has continued in 2024. Other factors perceived as unsatisfactory in Hungary

the respondents were unhappy with labor force availability, although this percentage is not outstanding within the region. The most sought-after categories are physical workers for industrial production, IT specialists and research and development professionals.

As for the cost of labor, these are among the lowest in Europe, barely onethird of the German level. However, these costs are growing, and productivity cannot keep pace, which means that companies will have to raise retail prices.

This will have a negative impact on competitiveness, Wölfer warned.

Finally, the German chamber members were asked whether Hungary should join the euro, and an overwhelming majority, 73%, replied “Yes.” Such a high ratio has not been seen since 2011 and is related to the volatility of the HUF/EUR rate, Wölfer said.

Balance of Positive and Negative Answers Regarding Expectations for the Hungarian Economy.

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Budapest Business Journal | May 6 – May 16, 2024

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Prohuman Moves to Renewed Management Structure The board of directors of Prohuman Zrt., a group of companies operating across seven countries, has appointed Ágnes Tóth as CEO. Holding degrees in mathematics, computer science, and finance, as well as a doctorate in economics, Tóth brings her expertise from academia to the HR services sector. She held various management positions at Budapest Metropolitan University (METU) from 2009 to September 2023, culminating in her role as CEO and president of the institution from 2019 to 2023.

“As a company continuously evolves, it eventually reaches a critical size where its previous structure becomes inadequate. Celebrating its 20th anniversary, Prohuman has reached this juncture, serving over 1,000 clients and employing 25,000 people every day across seven Central European countries,” remarked Sándor Zakor, chairman of the board of Prohuman.

“We have reached a point where the founders, who have been managing the company thus far, can step back from day-to-day operations.

Consequently, we are transitioning to a renewed management structure while preserving our core values.”

Tóth stated, “Prohuman stands as a market leader in Hungary, boasting a team of top-tier professionals and solidifying its status as an indispensable service provider in the region. As a leader, I have always been committed to continuous improvement, refusing to rest on past successes.

Recognising Prohuman’s substantial potential for further expansion, I am delighted to collaborate with the owners in bringing their Ágnes Tóth vision to life and unlocking its growth potential.”

The new CEO emphasizes the importance of innovation, focusing primarily on the development of AI and its impact on education and the economy. She believes that state-of-theart technology provides professionals with new tools that are invaluable in HR, according to Prohuman.

“AI will fundamentally affect the future of the labor market, potentially transforming up to 50% of job-related skills and expertise within the next five years. At Prohuman, our goal

is to develop innovative solutions leveraging the potential of AI to serve our clients,” Tóth explained.

“The first 20 years of Prohuman’s history coincided with an overwhelming evolution of HR services and the role of service providers,” says Zakor.

“Twenty years ago, we embarked on our journey in an environment marked by prevalent unemployment.

Today, labor shortages are the new reality, emphasizing the importance of employees’ skills and competencies and the need to develop them.”

Prohuman generated revenues exceeding HUF 135 billion last year, the company said.

Central Europe Country Cluster Manager at UPS PUPS has announced that Marcin Gołębiewski has been appointed head of the company’s Central European Country Cluster, where he will oversee small package delivery operations, business development and strategic direction in this growing region for the company.

His area of operations includes his native Poland, the Czech Republic, Hungary, Slovakia, Romania, and Ukraine. Based in Warsaw, he will report to Kim Ruymbeke, who has accepted the position of president of the newly formed Eastern EMEA region.

“I am delighted to be returning to lead one of Europe’s most vibrant regions. My goal is to help businesses

of all sizes in the region to reach their customers with their products and to create new opportunities for them in local and international trade with my exceptional team,” said Gołębiewski.

Together, UPS’s Central European companies have more than 2,100 employees in modern logistics facilities designed to support the Central European market.

Marcin Gołębiewski According to eCommerce Europe’s latest report, the Czech Republic and Slovakia lead in the number of internet users buying goods and services online, with 85% and 84%, respectively.

In Hungary and Poland, the figures are 78% and 73%, respectively.

Previously CFO for Central Europe, Middle East, and Africa, Gołębiewski played a pivotal role in driving UPS’s commercial expansion and operational improvements to increase the company’s competitiveness.

Gołębiewski joined UPS in 2004 as an accounting associate. He subsequently held various finance roles in the region, Poland and Italy before working as finance director for the Western and CEMEA regions.

PRESENTED CONTENT

Budapest’s Chez Dodo Celebrates 10th Birthday in 2024 Chez Dodo, a little shop near St. Stephen’s Basilica that is considered a piece of Paris in downtown Budapest, celebrates its first decade this year.

BENCE GAÁL

2024 is the 10th anniversary of Dodo giving way to his passion and opening a shop where the finest ingredients from around the world come together to create fantastic desserts that make even gloomy Mondays seem a little better.

The anniversary, which Chez Dodo will celebrate throughout this year, is reflected in the pattern decorating its boxes, some cute mugs, and even scarves and tote bags made by the exclusive fashion brand Tomcsanyi.

The collection is available at the shop and online (chezdodo.hu, available in English and Hungarian).

Dodo has also dreamed up some sensual spring desserts, with the

Jardin des Sens (“Garden of Senses”) macaron and dessert collection now available at Chez Dodo.

“In my macarons, I’ve always played with ganache, the filling that hides between the two ‘hats,’ but this time, I’ve thought of a bold idea, and I’ve added exciting spices or textures to the hats, which is a cool addition to the taste experience inside the macaron,” Dodo says of the collection.

The Jardin des Sens collection features macarons with bold flavors,

such as “Aphrodite,” made with a combination of chili, lime and raspberry, and “Artémis,” crafted with a combination of Ceylon cinnamon, an intense pistachio cream, and a tart but spicy cherry compote.

Naturally, the fans of the sweet, more conventional macarons will also find plenty of treats to pick from, such as “Perséphone,” made with Valrhona cocoa, and a chocolatemarshmallow ganache enriched with toasted cocoa bean crumble

and a cream made with intense fresh passion fruit and Valrhona Inspiration Passion chocolate.

In addition, a giant macaroon is also available in a completely renewed form, with spring flowerlike looks. In this specialty, pink almond blossoms are studded with pistachio crémeux and soft vanilla chantilly drops and complemented in the middle with a delicious homemade pistachio praline and fresh raspberry compote.

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Business

Using Data and Research to Improve Hungarian Healthcare

“We, as a company, want to be sure that we [….] provide the highest support in those programs. Why? Because our company is extremely engaged both on the vaccines front, but also in a number of important disease areas, whether cardiovascular, oncology or others.”

Another area of success has been screening for breast, cervical and colorectal cancers “that compares very well to most European countries,” Schiever notes. For the past seven years, lung cancer, which has a high incidence and poor prognostics, has been a particular focus.

Significant Change

Talk to anyone involved in pharmaceuticals, and they will tell you that Hungary’s highly centralized healthcare system is sitting on a unique data goldmine that very few other countries possess. Learn how best to unlock that, and the results in terms of better patient health outcomes could be transformative.

ROBIN MARSHALL

Cyril Schiever, president of the MidEurope Region for MSD, one of the largest pharmaceutical companies in the world, was in Budapest in late April on a trip to meet staff, partners and policymakers.

He is as keen as anyone to unlock the potential of that data and see the relationship with Hungary continue to blossom.

“The key for us, and the conversation we’re having, is that we’re committed to Hungary,” Schiever tells the Budapest Business Journal in an exclusive interview. “We feel we’ve had an impact on patient health and public health in general over the last years; we’ve got strategic collaborations with several institutes; we do – and intend to continue doing – a lot of research.”

According to Schriever, MSD has “the largest clinical trial footprint of any company in Hungary.

We’re running close to 100 clinical studies with more than

1,100 patients

[.…]. Those trials represent the possibility of working with Hungarian investigators and scientific leaders to generate data critical to our research programs and for medicines and vaccines to make it, hopefully, towards registration.”

All of this underscores the importance of Hungary to MSD. “There are countries around Eastern Europe where we may have more employees, but when it comes to clinical research, Hungary has a very special place.”

In other words, MSD (which develops and produces human medicines, vaccines, biological therapies and, unusually, also animal health products) both draws from and contributes to that data bank. And because it has a vested interest, it isn’t afraid to make the occasional suggestion.

“Hungary was in the lead, in many aspects, in Eastern Europe for years.

We see that today is a pivotal time.

Do you truly want to remain in the lead?

And do you give yourself the means to be in the lead?” Schiever challenges.

Be Bold

“[In] the last 24 months, we’ve seen several countries be more ambitious. We believe Hungary has everything to [….] be as bold in healthcare as it is in a few other sectors. And that is what we’re

“Through the work done, including the early introduction and adoption of a new class of medicine that we call immunotherapy, they’ve doubled the survival [rate]. It was just a little bit over one in 10 patients would survive after three years with an advanced lung cancer [diagnosis]. Today, it’s more than three out of 10. [….] That is very significant.”

There are, Schiever says, any number of countries trying to build a data infrastructure like Hungary. Given the foundation it already has, the focus here is on “the ability to leverage even further such data.” Why? “Because the future is all about choices. The innovation available today, the innovation that is coming, is very exciting, honestly, and could profoundly impact healthcare and Hungary,” Schiever says.

“What is very positive is that there is a higher awareness among the policymakers [here] that the life Cyril Schiever expectancy is not where they would like it to be, that there are several challenges, including in the younger age population, passionately advocating for. Because the and that they want to see progress foundation is there to make it,” he insists. there,” the MSD leader outlines.

Schiever describes himself as an Like many countries, Hungary optimist, but it is also clear he is a realist struggles to finance its healthcare who understands that any spending needs. Therefore, what’s critical for decision a government (any government) governments is their ability to make makes is a trade-off against all the other decisions in two aspects. One is being choices it has to make. But that doesn’t more efficient. Because, however good, mean it isn’t worth asking the question. all systems have inefficiencies and waste.

“Yes, there are some constraints, some The second aspect is that decisions are financial. I know these are hard choices, data-, not price-driven. Often, if the but I believe they’re valuable choices,” data is lacking, healthcare authorities Schiever insists. Nor is he interested in take the cheapest option. simply going on the attack. He believes “The challenge with that approach the authorities recognize that “not is that you may not use the right everything is optimal” and that “within technology, the optimal medicines, the boundaries that they have,” they vaccines or other interventions are trying their best. because healthcare is usually “I want to commend them for what complex,” Schiever cautions. they have done, for example, over “I can – and we do this a lot – advocate the course of the last for increasing financing behind healthcare. And, honestly, they should.

Hungary has one of the lowest budgets, months as a percentage of GDP, going into as a result of some of the learnings from healthcare. But I must also acknowledge the pandemic, to have taken measures to the challenges and that this will take improve [the] remuneration of healthcare maybe 10 years,” he accepts. professionals [….]. That was a very “But over the course of those 10 years, important move from the authorities.” we can do so much by ensuring that Particular strengths of Hungarian every intervention has the highest healthcare (“the result of very determined outcome. And that’s what a company policy decisions over the years”) like ours stands for because we’re all include prevention through screening about research and data. And we’re and vaccination. Examples include all about working with the healthcare its childhood vaccination programs, ecosystem to help produce real-world based on a high level of adherence, data. And if we do those two things public confidence, infrastructure, well, we believe we can add value and the quality of the vaccines used. and help Hungary achieve its goals.”

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Lufthansa Technik Budapest Aims to Strengthen and Grow its Market Position The Budapest Business Journal talks with Thoralf Wagner, CEO of Lufthansa Technik Budapest, about the aircraft maintenance industry globally and the development of the business here in Hungary.

BBJ STAFF

BBJ: How do you see the current situation and prospects of the aircraft maintenance market? What are the challenges in the industry?

Thoralf Wagner: Market demand has, luckily, fully returned to its pre-pandemic levels, and we also anticipate a robust future market. Current challenges for airlines arise from the reduced aircraft availability due to issues with newgeneration engines and delays in the delivery of new aircraft, forcing operators to keep their older aircraft in operation longer than planned. Sustaining older aircraft generates additional demand for the aircraft overhaul sector, which is precisely the business our company performs here at Budapest Ferenc Liszt International Airport. The most significant challenges for the aircraft maintenance industry remain the provision of a skilled workforce and the still challenging situation in the supply chain.

BBJ: How did the Lufthansa Technik Group perform in 2023?

TW: Our mother company, Lufthansa Technik Group, returned to the precoronavirus record levels and achieved EUR 6.5 billion in revenue (up 18% compared with 2022) and a EUR 628 million profit

Thoralf Wagner, CEO of Lufthansa Technik Budapest (up 13% vs. 2022). Lufthansa Technik Group, therefore, significantly contributed to the overall Lufthansa Group 2023 result of EUR 2.7 billion, the third best in our history. Lufthansa Technik Group now services 4,600 aircraft and could increase its workforce to around 23,000.

BBJ: What ambitions do you have for the coming years?

TW: Due to significant changes in the aircraft maintenance market, the strategic value of the aircraft

maintenance business has grown considerably for the Lufthansa Group. In November of last year, the group decided not to sell part of Lufthansa Technik to external investors but rather emphasize organic development and launched our “Ambition 2030” growth program.

This aims to boost Lufthansa Technik’s revenue to EUR 10 bln-plus in 2030.

Growth and size will be decisive factors in remaining a key player in the aircraft maintenance market in the future.

BBJ: How is Lufthansa Technik Budapest developing at the moment?

TW: Lufthansa Technik Budapest has keenly felt the impact of strong market demand, with our hangars consistently at full capacity. In the past year, we completed maintenance on 67 aircraft.

According to the feedback from our clients, we excelled in delivering highquality maintenance and great flexibility for our clients. For example, we are already highly efficient, achieving the highest revenue within the group in proportion to our hangar area size.

However, the high inflation of the last two years posed a substantial challenge for Lufthansa Technik Budapest, significantly impacting the cost structure. Suppliers increased their prices, and we increased salaries five An aircraft engineer checks the exterior of an aircraft cockpit times. Overall, the budget for wages has window housing at Lufthansa Technik’s Budapest Airport facility. grown by around 50%. Nevertheless, we

believe these adjustments have been a good investment in our workforce because employees in the lower wage categories, in particular, have been strongly affected by inflation.

These measures have helped us retain our well-qualified employees.

To restore reasonable profit levels, we had to negotiate price increases with our clients on the one hand and increase our productivity further on the other hand. Therefore, we constantly work on two levers, process optimization and digitization, to reduce waste in our business model and make it leaner. Furthermore, we must keep an eye on our competitiveness within Central and Eastern Europe because our clients are fully flexible in where they will take their aircraft.

The second major challenge after inflation is finding enough skilled workers. Compared to the past, we are investing much more into our internal training school for aircraft technicians and running courses more often. We are doing more marketing and advertising externally to explain the advantages of the job, with constant development and career steps in the first five to six years, which lead to a high compensation level usually only achievable with a university degree. We improved our incentive schemes and provided more flexibility to our employees. They can tailor incentives to their personal needs from a budget per employee.

Through all these measures, we could significantly decrease our fluctuation levels, were able to increase our staff level again and have laid the basics for future growth. In Hungary, Lufthansa Technik currently employs 400 people in the aircraft overhaul unit and an additional 40 people in our engineering unit, which provides mainly digital services.

BBJ: What will the focus be for 2024?

TW: The full-year impact of salary increases and cost hikes will manifest this year, posing significant challenges for the company in maintaining reasonably profitable operations. We continue robust recruitment activities, place continued emphasis on employee retention, and organize additional aircraft mechanic training to enhance our performance both in the short and the long term.

In operations, productivity increases will be the main focus. We still see a lot of potential in implementing more digital solutions, which will improve process planning and work organization.

Product-wise, we continue to concentrate on the Boeing 737 and Airbus A320 families, holding all the necessary certifications for their older and innovative new-generation engine-equipped variants. We have no intention to increase complexity by adding additional aircraft types.

We believe in a lean organization with the highest productivity output and the lowest complexity.

As part of Lufthansa Technik Group’s long-term growth strategy in aircraft overhaul, Budapest stands as one of the possible locations. The company is committed to maintaining and developing its presence in Hungary.

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BUD 1st in Region to Achieve 4+ Airport Carbon Accreditation Even as final talks for a state takeover of Budapest Airport (BUD) continue (see below), the operator of Ferenc Liszt International continues to rack up accolades. It has now achieved the 4+ “Transition” level in the Airports Council International’s Airport Carbon Accreditation program.

BBJ STAFF

According to BUD, less than 10% (52) of the more than 550 airports participating in the assessment have achieved this level. Ferenc Liszt International is the first in the Central European region.

The ACI’s Airport Carbon Accreditation is the only global, institutionally approved program assessing the carbon emissions of the world’s airports, ranking them on a scale of one to five.

The 4+ “Transition” rating confirms that the airport fully offsets direct carbon emissions from its operations and is working with its partners to reduce indirect emissions.

BUD says it has set a long-term absolute emissions reduction target, developed a stakeholder partnership scheme and established a Carbon Management Plan in line with Paris Agreement targets, including a reduction pathway to achieving these targets.

The operator says it has added new elements to the measurement of indirect carbon emissions from the activities of companies operating at Budapest Airport, in addition to reducing its own emissions.

This includes taking into account information on the materials used

Business | 11

corporate protocols,” bringing the transaction to a close could take “some days, weeks or possibly months, but let’s hope it’s rather days or weeks,” Gulyás said. Hungary’s government has raised hundreds of millions of euros from the sale of state assets to finance the purchase of a controlling stake in Budapest Airport. The European Commission authorized the acquisition by state-owned Corvinus International Investment and France’s Vinci Airports in December.

Budapest Region’s Best-connected Airport to China, Szijjártó Says Three new flights will be launched between Hungary and China this summer, meaning seven major Chinese cities will be directly accessible from Budapest, Minister of Foreign Affairs and Trade Péter Szijjártó announced in Beijing on April 24, according to index. hu. The minister said the twicea-week flights land in Shenzhen, in the southern Guangdong Province.

“This means that, from June onwards, seven Chinese cities will be accessible by direct flights from Budapest Ferenc Liszt International Airport. Photo by BUD. Budapest, increasing the number of flights to 19 per week, which is one and a half times more than before COVID and much more than EV charging is also available for for de-icing aircraft, roads, taxiways, any other Central European airport passengers; there are already and aprons, the amount of fuel used or city,” the minister pointed out. by subcontractors during construction On April 23, Szijjártó announced and development works, and the charging points that Xi’an, which has a population routes and the treatment of waste in public car parks. From January of around 13 million and is the and wastewater.

2023, 100% of the airport’s total capital of the northwestern Shaanxi Measurements also include electricity consumption is covered Province, would also be directly the total amount of fuel supplied by renewable energy sources, and accessible from Budapest, according to airlines and mapping the work is underway to develop a to origo.hu. Direct Budapest flights commuting habits of airport staff.

7.5 MW solar farm and to prepare already operate to Beijing, Shanghai, The resulting comprehensive the development of a geothermal Chongqing and Ningbo, while a analysis will help Budapest Airport heating system for the airport. fifth connecting the capital with further reduce its environmental To date, the company says it has Guangzhou will also launch in June. impact, together with its partners, reduced its direct carbon emissions and achieve the net zero emissions by more than 70% over the last target set by ACI by 2035.

Strong Quarter for 10 years and has also performed Budapest Passenger Rapid Action Needed exceptionally well in waste management, and Cargo Traffic “As a responsible airport operator, recycling 73% of its municipal and In March, 1,296,509 passengers used we are convinced that rapid action is packaging waste in 2023, more than Budapest Ferenc Liszt International needed to protect the environment double the rate of the population.

Airport, 21.7% more than in the same and integrate sustainable practices The company also reduced its natural period last year and 10.5% more than in into our daily operations,” says Kam gas consumption by 22% in one year.

March 2019, operator Budapest Airport Jandu, CEO of Budapest Airport.

Olivier Jankovec, the director announced. The airport handled more “Achieving level 4+ “Transition” general of ACI Europe, emphasized: than 3.4 million passengers in Q1, confirms that, with a consistent “BUD is the first airport in Central exceeding the record year before the strategy, combined with a Europe to reach this level of carbon pandemic by 10.2%. The increase in passionate and knowledgeable management maturity, and […] the passenger numbers is slightly ahead team, the airport is able to fulfill airport is also clearly a leader in terms of the company’s forecast that total its essential operations in a more of climate action at a global level. annual passenger traffic will easily sustainable way. The next step will Hats off to the entire team for this surpass the previous record of 16.2 be to achieve ACI Airport Carbon significant achievement.” million by the end of 2024. The Accreditation level 5, which will airport also handled 23,720 tonnes mean attaining net zero emissions, Gulyás: Sides in ‘Full of air cargo in March, 40.7% more and we aim to realize this by 2035 Agreement’ on Budapest than in March 2023, exceeding at the latest,” Jandu adds.

Airport Transaction the strongest month ever for cargo, Budapest Airport says it is Gergely Gulyás, the head of the Prime November 2023, when 22,206 tonnes continuously expanding its fleet of Minister’s Office, said there was “full of cargo was processed. A total of electric vehicles and developing its agreement” among the parties involved 61,940 tonnes of cargo was handled e-charging infrastructure, encouraging in the state’s planned purchase of at Budapest Airport in the first quarter its partner companies to take up Budapest Airport, fielding questions of 2024, 39.6% more than in the same e-mobility. Some 96 charging points at a regular press briefing on April 25, period last year. The airport is are available for EVs, and more than according to state news agency MTI. forecast to handle up to 240,000 130 units of electric ground service As there are many players involved, tonnes of cargo by the end of the equipment are already performing as well as the matter of “complicated year, marking another record year. their tasks at the airport daily.

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Women at the Wheel: Girls’ Day at Bosch For the 11th time, Bosch welcomed young women interested in science and technology to its annual Girls’ Day, held across four locations. This event provides insights into automotive innovation and production, emphasizing Bosch’s ongoing attempts to promote female participation in these fields through targeted mentorship, training programs, and community engagement.

GERGELY HERPAI

The day also reflects broader market trends where value and reliability, such as those offered by warranted consumer electronics, remain highly sought after.

Bosch says the four venues that offered young women an in-depth look into automotive innovation and production were strategically chosen.

Notably, at Bosch’s Maklár facility (120 km northeast of Budapest by road), young women interested in the sciences and technologies were given the unique opportunity to explore the complexities of vehicle part manufacturing.

Bosch says this initiative highlights its strong commitment to fostering female talent, demonstrated through its investment in mentorship programs that connect seasoned professionals with emerging innovators, comprehensive training sessions to enhance skills and broaden knowledge, and the creation of dynamic community engagement opportunities that promote networking and professional growth.

Many young girls, despite having the necessary talent and an eagerness to explore research and development, information technology, or the automotive sector, frequently hesitate

Additionally, the young women saw firsthand the vital roles of product inspectors, metrologists, and materials testing professionals, who conduct various functional tests, 3D measurements, and diverse material testing processes, including advanced X-ray technology.

Complex Processes

Female students are given a guided tour around the Robert Bosch Automotive Steering Ltd. site in Maklár. Photo by Bosch. to pursue careers in these areas, which are perceived as predominantly maleoriented. This reluctance often stems from a significant lack of accessible information or the continued prevalence of outdated stereotypes.

Women in Science

The national Girls’ Day initiative, led by the proactive Women in Science Association, is a direct response to this challenge. It aims to capture the attention of middle and high school girls, steering them toward the considerable potential in the natural sciences, technology, engineering, and information technology, especially for those who may not have previously considered such professional paths.

In this year’s iteration, Bosch hosted participants at its Budapest Innovation Campus (at Robert Bosch utca 14 in Pest’s District X) and its Hatvan (57 km northeast of the capital) and Miskolc (188 km northeast) facilities, in addition to those in Maklár.

Attendees had the opportunity to gain a comprehensive understanding of the latest manufacturing processes,

showcasing the forefront of modern engineering and technological advancements. Additionally, they were presented with various female career paths within the industry, illustrating the opportunities available for women in these dynamic sectors.

Within the secure premises of the Robert Bosch Automotive Steering Ltd. site in Maklár, a group of young women with a keen interest in science and technology were given a detailed tour of the manufacturing processes for critical vehicle components, such as steering gears, steering columns, and steering shafts produced utilizing advanced digitalization and artificial intelligence technologies.

This year, the participants observed the detailed production and assembly of Servocom units— critical to commercial vehicle steering mechanisms—operated by highly automated machines finely tuned to function under the close supervision of human operators, ensuring an effective integration of technology and manual control.

Throughout the tour, Bosch’s staff at the Maklár site, including many women who have established successful careers in these traditionally maledominated fields, showcased the complex manufacturing processes with professionalism and dedication.

“Diversity is the engine of innovation: it introduces new perspectives, infuses fresh talent, and stimulates boundless creativity,” said Michael Zink, the Maklár plant manager for Robert Bosch Automotive Steering Ltd., during an address at the Girls’ Day event.

“A significant portion of our workforce,

exceeding

30%,

comprises women, and it is noteworthy that nearly a quarter of our leadership roles are occupied by women. I take immense pride in their influential contributions, which have been pivotal to our factory’s success over its more than two decades of operation,” he added. One of those leaders was also at hand to share her thoughts.

“We are committed to providing extensive support to women who are eager to advance their careers within our company,” commented Henrietta Bekényi, HR group leader at Robert Bosch Automotive Steering Ltd. “It’s crucial that we expose young people to the thrilling realm of innovation, research, and development from an early age. Our involvement in dual education programs, support for academic competitions at schools and universities, and opportunities for internships and summer jobs are all part of our initiative,” she explained.

“We are thrilled to participate in the Girls’ Day program, showcasing the attractive career opportunities within automotive development and encouraging young women to consider these paths,” Bekényi concluded.

Women@Bosch: Providing Support and Opportunities for Growth At the core of Bosch Group’s corporate strategy is a profound commitment to diversity, the company says. This goes beyond mere rhetoric and is supported by numerous studies showing that companies with a diverse leadership team of men and women tend to create more dynamic workplaces and achieve greater business success.

Research further supports that mixed-gender teams at all company levels are more innovative and tend to produce superior products and services, highlighting diversity’s vital role in enhancing problem-solving capabilities and fostering creativity.

Bosch has implemented specific programs like the Business Woman and Female Talent mentoring initiatives to strengthen the professional development of women within the company. These programs provide targeted training sessions, workshops, and ongoing learning opportunities to empower women to advance their careers.

These efforts are supported by Bosch’s commitment to a flexible and family-friendly work culture, which is crucial for supporting women through various career stages. The company says it has adopted policies and practices that accommodate unique life situations and help maintain a

balance between professional duties and personal life, with particular consideration for supporting mothers returning to work.

Furthermore, the globally and nationally active Women@Bosch network acts as a platform for promoting female career development. This self-organized community creates an environment where women can participate in presentations, discuss, and share personal experiences and insights.

The network plays a vital role not only in motivating women to advance in their careers but also in cultivating a culture of inclusivity and mutual support within the company.

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Marriott Launches LevelUp Program in Budapest: ‘Be Curious, Connected and Courageous.’

Some 25 young adults from all over Hungary applied for the first-ever staging of Marriott International’s LevelUp program, a three-month training scheme that aims to educate participants about the ins and outs of the culinary side of the hospitality industry.

LUCA ALBERT

Nine students have been accepted to participate in the pilot program, studying next to the head chefs of four of the various Marriottbranded hotels in Budapest.

“Youth is the DNA of the Marriott,” says Pankaj Birla, Marriott International’s area vice president for Germany, Austria and Switzerland, and Eastern Europe, at Marriott’s LevelUp press event on April 18.

Birla and Francisca Martinez, chief human resources officer, EMEA, emphasized Marriott’s devotion to youth development, one of the main reasons behind the launch of the LevelUp program.

They noted that, after the overall decline in the hospitality industry due to the COVID-19 pandemic, Marriott wanted to “partner with the youth” to preserve the “resiliency of the hospitality industry.”

Birla highlighted Marriott’s commitment to finding and managing new talent and providing the younger generation with more opportunities in hospitality.

At the same time, Martinez said she believed that everyone has the opportunity to lead in any position within the industry.

“Be curious, connected and courageous,” she advised the students.

Talking Points: from left, Francisca Martinez, chief human resources officer, EMEA, and Pankaj Birla, area vice president for DACH and Eastern Europe, both of Marriott International, Cameron McNeillie, general manager of the Dorothea Hotel, Ferenc Kovács, executive sous chef at the Budapest Marriott, and roundtable moderator Zsuzsanna Kiss, HR director for the Marriott Budapest Cluster.

The idea for the LevelUp project has been in the works for the past two years. The students will spend one day a week in the kitchen of the hotel they have been assigned to, focusing on attaining the practical knowledge needed for a culinary career. The rest of their time will be spent in the classroom, studying the theoretical aspects of gastronomy and hospitality.

Four luxury hotels across Budapest are welcoming the students taking part in the training program: Dorothea Hotel, The Ritz Carlton, Budapest Marriott Hotel, and W Budapest. The hotel’s head chefs will mentor the students assigned to their location.

Why Hungary?

With a focus on youth development and investment in the younger generation of workers, Birla explained that one of the reasons he had Hungary in mind for the location of the debut of Marriott’s LevelUp program was the amount of potential he saw in Hungarian youth.

“I come to Budapest, and I see a lot of young people in the streets,” he shared, adding, “Programs like [LevelUp] make the industry.”

Birla explained that the amount of hospitality platforms Marriott offers in Budapest also contributed to the decision.

“Marriott has nine hotels in Budapest, three in the pipeline.

There are a lot of places to choose from for beginners in the field,” he says.

Although the program’s launch has only just happened, the longterm goals within Hungary and the Central and Eastern European

region have already been determined.

Martinez and Birla agree that the main focus is showcasing and providing opportunities within the hospitality industry to the new generation of leaders.

“Marriott has nine hotels in Budapest, three in the pipeline. There are a lot of places to choose from for beginners in the field.”

Martinez added that the LevelUp program hopes to act as a “career investment” for the students involved.

Although they will inevitably center their training around the culinary aspect of hotel operations, they will also learn about general management within hospitality.

According to Martinez and Birla, the transferable skills the students will acquire will apply in many branches of the industry. Marriott says it also plans to run the program across various different hospitality departments, with varying lengths of training time, but there are no immediate plans to extend it beyond Hungary.

Localization Partners

When it finally came time to implement the LevelUp program in Budapest, Marriott International partnered with two Hungarian organizations to help localize the project.

Those partners are the Budapest Complex Vocational Training Center (BKSzC), an organization focusing on talent management and specialty education for students, and Civil Impact, which promotes collaboration between various sectors and provides partnership opportunities for businesses.

Civil Impact assisted in getting the LevelUp program well-known across Hungary and with the students’ application and selection process.

László Kozma, deputy director general of BKSzC, shared that its main priority through its sponsorship of the LevelUp program is the “replenishment of staff within the hospitality industry,” which otherwise might prove to be a “big challenge.”

According to Gyöngyvér Kiss, managing director at Civil Impact, its main point of concentration is the career opportunities of Gen-Z workers and the integration of sectors for future projects.

Marriott International also runs a management training program similar to LevelUp in more than 50 countries worldwide. The Voyage Program focuses on entry-level leadership and management training for young adults. Participants of this program immerse themselves in management tasks and departmental responsibilities, experiencing the world of hospitality through a year-long training program in any hospitality field they choose.

Representatives of Marriott International stated that, like LevelUp, Voyage is also an investment into the next generation of leaders and managers in the hospitality industry.

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Budapest Business Journal | May 6 – May 16, 2024

Special Report Telecoms and ICT

Rethinking Mobile: The Rise of Refurbished Phones With the most recent Earth Day on April 22, refurbished mobile phones are emerging as a sustainable, economically savvy and eco-friendly option. With growing awareness of electronic waste and the high environmental cost of new devices, some consumers are beginning to recycle: cheap iPhones brought from a reliable source and that come with a warranty are now a trend.

“During this period, they sold fivedigit numbers of such phones, which we consider a good start at the company, and interest is also quite high among the younger demographic,” Zilahi notes.

Magyar Telekom’s experts confirmed that the refurbished phones accounted for 2-3% of total mobile sales during this period, indicating room for growth.

Some

98%

of the refurbished mobiles were Apple iPhones.

Thus, these otherwise expensive status symbol devices are now affordable for customers who, due to their limited financial resources, From left, Norbert Kreisz, device management would previously have had to forego center of excellence lead for Magyar Telekom, the brand or would be forced to buy and Recommerce sales manager János Zilahi. from unverified sources. Another attraction of these pre-owned iPhones is the excellent software support: data deletion and thorough cleaning and such smartphones will be supported Telekom and Yettel are now assisting repackaging, while the others require minor by Apple for many years to come. in collecting these devices by offering a discount of repairs; these almost invariably involve screen or battery replacement,” he says.

“The biggest attraction of these “One percent of the on new Samsung models when you bring refurbished, tested, securely deleted in even non-working (but intact) old smartphones is their much lower incoming mobile phones devices. These devices are taken to a price compared to new ones, as well are completely unusable dismantling plant in Hungary via the as the two-year warranty offered by MoHu system, where each component Recommerce. According to a 2024 and are dismantled and is properly sorted and recycled. survey by [London-based global data recycled. About 28-30% Buying a used mobile phone can save consultancy] Kantar, the proportion of you a lot of money, but the risk is also such mobiles sold in Hungary is still are not economically only huge. This is true whether you buy from viable to refurbish due to a private individual or let yourself be GERGELY HERPAI persuaded in a small, unreliable shop being outdated or severely (the EU average is 5.5%), but the used to buy a device of unknown history. damaged. From these, On Earth Day, Magyar Telekom shared mobile market is 14%, which is outstanding These concerns do not arise when usable components are some fascinating details about its (the average is 10%),” Zilahi added. choosing a refurbished smartphone Green Magenta program, which offers The Kantar survey asked customers from a reliable, professional company. salvaged, and the rest is residential customers refurbished Recommerce, which has partnered with what they consider important in a resold recycled. Of the remaining devices. Mobile recycling is becoming smartphone. While 70% indicated the MTel in Hungary to make refurbished a hot topic as the e-waste from outdated lower price, 28% thought the warranty mobiles easily accessible to customers, 70% of smartphones, half are devices and the raw materials and and the ability to upgrade to a better is one such player. Recommerce, which energy required to produce new mobiles has sites in France and Romania, collects device than when choosing a new phone. immediately marketable after increasingly burden our environment.

A relatively large percentage (37%) large quantities of mobile phones from data deletion and thorough “This ecological footprint can be listed recycling as a significant aspect, multiple verified sources (including cleaning and repackaging, reduced in various ways, but it is not showing that environmental awareness online retailers, operators, buy-back enough if only the service providers and is not unknown among phone shoppers. programs, businesses, and so on) and while the others require device refurbishment companies take This is particularly important because, then subjects these phones to a thorough, minor repairs; these almost action; a change in users’ mindset is on average, the production of a new well-organized, 56-step process. also necessary, and this does not happen mobile phone uses 268 kg of raw invariably involve screen overnight, especially when the system has Economically Viable? materials and is associated with 66 kg or battery replacement.”

“One percent of the incoming mobile its shortcomings,” emphasized Norbert of CO2 emissions (the total CO2 load phones are completely unusable and are Kreisz, device management center of is 85-100 kg CO2 unit). The total CO2 dismantled and recycled. About 28-30% excellence lead for Magyar Telekom. emissions for refurbished smartphones are not economically viable to refurbish It is worth noting that if a part Electronic devices, particularly are 87% lower, and they require, on due to being outdated or severely damaged. average, 154 kg less raw material. replacement was necessary during mobile phones, contain numerous From these, usable components are the refurbishment, Recommerce environmentally harmful materials and salvaged, and the rest is recycled,” explains Market Testing is not certified to use authorized rare metals. The worst thing you can MTel launched its program in the fall of Recommerce sales manager János Zilahi.

Apple replacement parts. However, do is throw your old mobile in the trash, “Of the remaining 70% of smartphones, 2023 and has thus gained some experience it ensures the new component is fully but simply forgetting about it in the in the refurbished mobile market. compatible and identical to the original. back of a drawer is hardly optimal either. half are immediately marketable after

HUF 30,000

3%

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Budapest Business Journal | May 6 – May 16, 2024

Special Report | 15

Hungarian Tech Journalists Honored by Siemens The Hungarian leg of the Siemens Media Award 2024 rewarded the work of journalists and content creators who excel in technological topics on April 18.

It also undermined the commonly-held belief that the industry is male-dominated: four of the five winning submissions for Hungary were from women.

MAJA PÉNZES

Some 21 entries were evaluated for the Hungarian round of the regional competition by an independent local jury consisting of Ilona Kocsi (president of the National Association of Hungarian Journalists), Enikő Vass (a former Siemens Media Award winner) and Márk Arató (head of communications at Siemens Zrt.) Content published between April 1, 2023, and April 5, 2024, demonstrating how technologies can advance sustainability, the economy, or other

in Hungary, although there was a three-year period from 2019 when it wasn’t presented until the program was relaunched in 2023.

“As the leader in the field of innovation, we aim to promote those who create outstanding media content on the importance of technology in everyday life and to make understandable to the general population how the technology The Hungarian winners of the Siemens Media Award 2024, advancements help society, the from left: and István Sarusi, Brigitta Kocsis-M., Judit Kis, economy, and sustainability for Virág Zákányi, and Enikő Bohák. Photo by Siemens Zrt. the better,” Bakondi-Kiss tells the Budapest Business Journal.

The award has gained in popularity her article “Therapy in VR Glasses,” aspects of society, were eligible since it was relaunched. published on the GyártásTrend news In for submission. Areas taken into site in October 2023, and Brigitta consideration by the jury included the Kocsis-M., who was awarded for her relevance, novelty, style, and the added it was open to seven CEE states, which report “Minimally Invasive and Robotic value of the author to the topic. rose to nine this time.

Surgical Procedures,” aired on March In addition to Hungary, other regional “We plan to continue this tradition 18, 2024, in an episode of Novum countries competing for the Siemens and encourage more journalists Media Award 2024 are Austria, Bulgaria, TV. All three received a hotel stay to create meaningful pieces for two as part of their prize.

Croatia, Czech Republic, Poland, showcasing how digital technologies Serbia, Slovakia, and Slovenia, with Special Awards can transform everyday life for five winners selected in each nation.

Special awards were presented the better,” Bakondi-Kiss adds.

The theme of this year’s competition to Enikő Bohák for her editorial The five winning entries was “Technology with Purpose.” qualify for the Siemens regional The first place entry for Hungary went “How Food Waste is Recycled: Dutch Bread in Circulation” (in the Zöld round, where they will compete to Judit Kis for her article “They Don’t against the finalists from the Try, They Dive in and get it Done,” which Ipar Magazin news site in August eight other participating countries. discusses the innovation of refillable aerosol 2023) and István Sarusi for his article “Making the Invisible Visible,” An international jury will pick five deodorants. The piece appeared in the June published in March 2024 on the winners to contest the grand final, National Geographic’s online platform. hosted in Vienna. The champion Eszter Bakondi-Kiss, communications will be chosen at the Concordia issue of Forbes Hungary. expert at Siemens Zrt., explained Ball, with the prize including a trip The other two top contestants that the Siemens Media Award’s to the Salzburg Festival in Austria were Virág Zákányi, recognized for tradition goes back roughly 10 years for the winner and their partner.

2023,

2023

News in Brief Telecoms

Yettel Revenue up to EUR 615 mln in 2023

Revenue of telco Yettel Hungary rose in the double digits to EUR 615 million last year, CFO József Takács said on April 16. The after-tax profit fell “moderately” to EUR 6 mln, Takács noted. He added that the telco will publish its final results for the year in May. Public records show Yettel Hungary had a net revenue of HUF 217 billion in 2022. The telco is owned by the Czech Republic’s PPF Telecom Group. In unrelated news, Hungary’s government has signed a cooperation agreement with Yettel Hungary and infrastructure company Cetin Hungary Zrt., according to a press release. Under the agreement, which also affirms the government’s commitment to phase out the windfall profit tax for telcos from 2025, Yettel Hungary and Cetin Hungary have pledged to plow at least HUF 72 billion into network

developments by 2028, raising 5G coverage to 99% of residential areas by the end of the period.

Cetin Partnering With Pécs Uni The independent, integrated telecommunications infrastructure provider Cetin Hungary Zrt. and the Faculty of Technology and Informatics of the University of Pécs will cooperate in three priority areas in the future: the development of cyber security services, further raising the standard of research and development activities, and the increasingly widespread and well-known building information system in the construction industry, according to profitline.hu. The goal of Cetin Hungary is to contribute to the education of professionals with advanced technical knowledge through joint research programs and innovative projects in the field of telecommunications and, at the same time, to promote cooperation

between the architectural profession and telecom infrastructure developers.

The company says it wishes to participate in the high-quality training of the future workforce, especially in areas of priority regarding HR needs.

MTel Shareholders Approve HUF 41.6 bln Dividend Payout

The shareholders of Magyar Telekom approved payment of a HUF 41.6 billion dividend on last year’s earnings at an annual meeting on April 16, the telco announced on the Budapest Stock Exchange’s website. MTel had a standalone profit of HUF 74.4 bln in 2023. The AGM also voted to reduce share capital

by HUF 3.3 bln to HUF 93.9 bln.

FiberHome to Set up HUF 8 bln Plant in Hungary Chinese telecommunications equipment maker FiberHome will invest HUF 8 billion to set up an optical cable plant in Kisbér (107 km west of Budapest by road), Minister of Foreign Affairs and Trade Peter Szijjártó said on April 24 in Beijing.

A government grant will cover 15% of the investment cost, which

will create 150 jobs, the minister said after talks with company heads following a meeting of the ChineseHungarian Joint Economic Commission.

If capacity at the base, which will be FiberHome’s most extensive in Europe, needs to be expanded, the company will invest further in Hungary, he added.

Optiwella Inaugurates HUF 860 mln Capacity Expansion Hungarian telecommunications company Optiwella inaugurated a HUF 860 million development at its base in Szeged on April 9, according to news wire MTI. The government supported the investment with a HUF 500 mln grant from funds earmarked for the National Export Protection Program, Minister of Foreign Affairs and Trade Péter Szijjártó said at the ceremony.

Optiwella, which supplies premium quality refurbished Docsis cable modems and so-called cable modem termination systems, created new capacities with the investment to improve its international competitiveness.

The minister added that the government had supported 43 businesses with a total of HUF 64 bln, helping the companies invest a combined HUF 130 bln under the program.

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Special Report

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Budapest Business Journal | May 6 – May 16, 2024

Artificial Intelligence Cannot Beat Critical Thinking There are very few general economists or lawyers; these professions, and others, Occasionally, Hungarian are now much more segmented: a lawyer PM Viktor Orbán makes specializing in the labor market will not easily be able to deal with divorces. statements that fuel On the other hand, not all technology changes have induced dramatic changes heated discussions in in the labor market. At the dawn of the the public space. The industrial era, production shifted from steam-based to electrical machines. latest was presented on And during this process, we did not April 24 at the opening see droves of unemployed workers retraining as electrical engineers. event of the 17th Star of If we want to see the future the Technical Profession realistically, we need to consider the theory elaborated by futurist Roy Festival (Szakmasztár) Charles Amara, Vinnai says. His law in Budapest. About says: “We tend to overestimate the effect of a technology in the short run and 15-20 years ago, Orbán underestimate the effect in the long run.” recalled, it was generally A good example is the internet. When it started, few were using it, but lots accepted that university talked about it. Many were expecting the graduate professionals majority of retail to become digital within a couple of years. When this did not in intellectual jobs happen, disappointment followed, and the would shape the future dot.com bubble burst in 2001. Later, when Balázs Vinnai, president of the IT Association of Hungary (IVSz). Amazon became the largest store in the of Hungary. But today, world in 2010, nobody seemed to notice; the technical workers we all somehow took it for granted. capable of giving instant and coherently and the knowledge needed is simpler and craftspeople are phrased (if not always accurate) information and more accessible today, Vinnai noted. The Digital Divide the backbone of the Similarly, Vinnai says, there will be on any topic, fears are rising that AI will AI is not New changes wrought by AI, but not within soon be able to replace several professions.

Hungarian economy, the Returning to the “AI replaces jobs” theme, a one-to-three-year span, but in But the reality is much more complex prime minister insisted. we need to consider what AI is and what the much longer term, 10-30 years. than such narrow thinking allows for, Before AI kicks in, there is another issue says Balázs Vinnai, the president of the IT jobs are. Artificial intelligence has been around for much longer than many may that should be addressed, Vinnai adds.

Association of Hungary (IVSz). Speaking think: specialists at IBM have been The Hungarian society is experiencing a at a recent roundtable discussion, Vinnai BALÁZS BARABÁS researching the technology for 25-30 skill gap in terms of digital competencies. approached the issue of the future of Some have these, others do not. And the programming and the IT labor force market years. However (and despite inspiring He continued that, at the dawn of the a 2001 Steven Spielberg film: “A.I. differences are significant in incomes, from the point of view of digital skills. computer age, many feared that new Artificial Intelligence”), it has become resilience to market changes, and quality Even today, digital skills are linked in technologies would replace physical work. the public perception to programming. truly visible only relatively recently, of life. Narrowing this gap is a social, It turned out that they could not. But now, Those with digital skills are with the spectacular rise of ChatGPT. political and economic responsibility.

Orbán said, “office workers, lawyers, clerks automatically labeled as programmers So, has AI replaced any job in the last The situation is similar to where literacy and programmers are quaking in their boots.” and vice versa, only programmers need was after World War I. Back then, it was very The prime minister did not elaborate low, at around just 10% of the population of digital skills. These perceptions are years on the idea. Still, many interpreted his Europe. In 30 years, the rate had been raised rooted in the context of 25 years ago to the extent that we should worry that to words as suggesting that he considers when programming mathematicians it will happen now on a large scale? these professions to be becoming rapidly was a profession, Vinnai said.

No, albeit many processes in the global obsolete, unlike plumbers, masons, But, as with all professions, this has leading to a surge in productivity. What economy are now automated, and carpenters, or auto mechanics, who will changed, and today, programming was laid in that time was the foundation physical jobs are not so, well, physical always be needed in the Hungarian sits on an extremely broad spectrum. of the wealth of Europe as we know it anymore but are assisted by machines. economy or that of any other country.

Meanwhile, the skill threshold today. Something similar should be done It is also true that many professions Indeed, with the rise of ChatGPT, the necessary for entering the world of to broaden the development of digital have become much more specialized. artificial intelligence-based search tool programming has continuously lowered, skills today, Vinnai says.

Programming has undergone an enormous transformation. Most programmers today do not even work at tech companies. Banks like OTP employ many more IT professionals than most People With Basic or Above Digital Skills, 2023. tech companies in Hungary. Digitalization has swept across all areas of the economy, and all companies need programmers, albeit with different degrees of competence.

However, those who acquire digital skills will face the AI era much more resiliently than those who do not. Plus, there is still one area where AI cannot compete: soft skills. Communication, cooperation, and critical thinking will become ever more valuable. So-called “human thinking” cannot be replicated and will become increasingly valuable Source: Digitalization in Europe 2024 (Eurostat) in the labor market, Vinnai concluded.

25

40%,

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Budapest Business Journal | May 6 – May 16, 2024

Hungary’s Intellectual Workforce not Getting Most From ICT Support Hungary’s “intellectual workforce” increasingly works on a hybrid model, and while information and communications technology can give them the tools to do so, they are not always deployed effectively, despite the benefits offered for team management and bonding. IT help desk staff can speak a different language to everyone else, and Excel is used to cover a multitude of tasks, new research suggests.

GERGELY HERPAI

In a significant shift towards flexible work arrangements, Hungary’s first national representative productivity survey reveals extensive insights into the adaptation to hybrid working models by the “intellectual workforce,” alongside the prevalent use of conventional tools and communication barriers within corporate settings.

The work landscape is evolving rapidly across Hungary as more than a third of the country’s intellectual workers now operate from home for at least one or two days each week, according to the latest productivity survey. This shift towards hybrid working models is expected to continue long term.

Despite this progression, challenges remain, particularly in communication: a quarter of those surveyed report potential misunderstandings at corporate IT helpdesks due to a lack of a common language, even when sharing a mother tongue. Furthermore, a significant majority have not adopted a shared knowledge repository or collaboration tool, relying instead on traditional methods like Excel for task management.

The survey also introduces a Productivity Index, providing a quantitative measure of the efficiency of Hungarian white-collar workers.

Meta-INF, a leading provider of productivity apps, and implementation, consulting, training, and support

Special Report | 17 a quarter of those surveyed anticipate problems that are not resolved due to language barriers (26-29%).

Additionally, a similar proportion (24%) often feels they cannot understand their help desk colleagues, as if they speak a “different language.” This issue is reciprocated, with helpdesk staff frequently finding that they do not speak the same technical language (even if they share a mother tongue) as other staff,

at

15%,

or their clients (17%).

“Customer support, whether for internal or external customers, is not an unnecessary cost, but a strategic area of importance for companies striving for long-term business success,” said Attila Gáspár, co-CEO of Meta-INF.

“The fact that we solve everything we can From left, Tibor Hegyi and Attila Gáspár, with a spreadsheet is co-CEOs of Meta-INF. Photo by Gergely Herpai. a manifestation of the inexhaustible creativity services, and market research specialists respondents utilize an online knowledge of the Hungarian soul. repository at work to manage and edit NRC conducted the nationwide online information within the organization, and Today, however, we no survey to assess the effectiveness of Hungarian intellectual workers longer need to resort and the tools provided by their to kitchen tinkering if could not companies to address the challenges even answer whether such a repository exists. we want to follow the of teleworking, knowledge sharing, “This result surprised us, too. But the and customer service work. progress of a task or project knowledge of a ‘lone genius’ is no longer The findings highlight what the firms enough for a company to excel. The key say is a critical gap in collaboration. transparently. That’s what to success is teamwork, a diversity of Despite the complex nature of business online task management skills working together. Knowledgeprocesses and projects that require sharing tools play an important role in teamwork across various divisions, systems were invented for.”

15%

many companies are falling short in effective collaboration, placing them at a competitive disadvantage and leading to unnecessary costs. It is observed that larger companies tend to use collaboration platforms more frequently.

Variable Uptake

These tools, essential for allowing team members to work together and share information, are used by 40% of respondents. However, usage rates differ among business types, being higher among sole proprietors (33%) than small businesses with between 2 and 50 employees (26%). Adoption is lower in sectors such as health, education, public administration, legal professions, and food, while it is more common in science, technology, culture, infrastructure, and energy sectors.

The tools are primarily used for sharing work-related content and documents (74%) and for general internal communication (67%). They are less frequently used for modeling and automating company processes (39%).

“Collaboration tools are particularly important in the world of hybrid working. They are essential not only for managing the team but also for giving colleagues working from home the positive feedback that motivates them,” said Tibor Hegyi, co-CEO of Meta-INF. Despite the availability of technological solutions, only 34% of

unleashing the collective knowledge of an organization,” Hegyi added.

About half of the respondents (49%) “The satisfaction of internal who do not use a knowledge-sharing customers (i.e., colleagues) is crucial system believe they can perform their in boosting employee motivation and jobs without it, while a third think thus increasing company productivity. they could do so more effectively if And external customer satisfaction they had one. Using task management contributes to successful operations systems to delegate and track tasks and long-term growth by spreading helps avoid duplication and replaces a good reputation, in addition time-consuming administration with to strengthening engagement.” automation. Approximately half of the The survey culminated in creating respondents (48%) work in environments a productivity index for intellectual that utilize some form of software, workers, showing that only 21% of system, or platform for this purpose. the workforce uses at least three of The sectors most behind in adopting the four essential productivity tools: these systems are education (23%), collaboration platforms, knowledgehealthcare, and public administration, sharing systems, task management despite a significant majority (83%) systems, and IT software supporting believing these systems enhance work the helpdesk function. In light of these efficiency. Where such tools are not used, 73% resort to handing over tasks via email. findings, Meta-INF has announced plans to compile and regularly publish Hungarian Creativity this productivity index to monitor “For me, the fact that we solve changes and encourage the adoption of everything we can with a spreadsheet productivity tools across various sectors. is a manifestation of the inexhaustible This comprehensive survey creativity of the Hungarian soul. Today, highlights a significant shift towards however, we no longer need to resort to hybrid working environments among kitchen tinkering if we want to follow the Hungary’s intellectual workforce. progress of a task or project transparently. As companies continue to navigate That’s what online task management these changes, the increased adoption systems were invented for,” Hegyi noted. of advanced productivity tools will be Communication issues extend beyond crucial in overcoming the challenges internal workflows to interactions of teleworking and ensuring efficient between IT helpdesks and other collaboration and communication departments, where more than across all levels of an organization.

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Special Report

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Budapest Business Journal | May 6 – May 16, 2024

Bold Youth Innovations Take Centerstage in ‘Solutions for Tomorrow’ Finals by Samsung and EdisonKids What skills do today’s children need to thrive in the future workforce? While the question may seem abstract, the answer is concrete: emotional and social skills, along with independent thinking, are crucial, even more so than knowledge of artificial intelligence.

This is underscored

by Samsung and EdisonKids’ joint initiative, the “Solutions for Tomorrow” program, according to Rita Veres, co-founder of the Edisonplatform.

GERGELY HERPAI

The professional landscape is set to undergo radical changes in the coming years, affecting not only tech-dependent roles but also traditional jobs.

“Some surveys indicate that 65% of today’s preschoolers will work in jobs that don’t yet exist,” Veres stated in a press interview in February.

But how well is our educational system prepared to handle this challenge?

“Many from Generations X and Y were socialized in an educational system built on principles from the last century.

Since the industrial revolution, education has been governed by efficiency and standardization, which has led us to ‘box’ thinking,” Veres warns.

She argues that this old regime has been upended by ongoing changes in the work world, suggesting that the value of factual knowledge will decline, shifting the focus increasingly towards emotional and social competencies, including collaboration, creativity, and critical thinking abilities.

Mentors, teams and trainers came together on April 27 to kick-start the Samsung and EdisonKids’ “Solutions for Tomorrow” finals for the top eight teams Furthermore, there is a need to foster empathy in children, a sensitivity that helps understand others’ perspectives, and a trait that benefits adults as well.

Digital Nomads

What about the Alpha generation, those born after 2010? Research suggests they may have weaker emotional and social competencies. Some fear these “digital natives” might become isolated as social interactions increasingly move online. Veres does not believe the situation is hopeless but emphasizes the responsibility of both parents and schools.

“The generational topic is a doubleedged sword, given the prevalence of generalizations. I think the biggest challenge is strengthening concentration skills, the ability to focus and truly immerse in something. This skill aids not just in learning but also in relaxation.

Teaching this to an Alpha generation child is challenging, and the home environment doesn’t always help,” Veres notes.

For her work, she observes families where the digital world completely engulfs children. While it’s difficult to counteract these effects, it’s not impossible, and it’s a collective task involving parents, teachers, schools, and other institutions. This is why she considers the “Solutions for Tomorrow” program a brilliant initiative that heavily relies on participants’ collaboration skills.

In the program, students from

grades

7-12

form small teams to conceive, develop, and present ideas that could solve current problems across categories like sustainability, future education, and community. There are no strict content limitations within these categories, allowing a diverse array of entries each year. Younger participants need not worry about being disadvantaged: last year’s gold medal went to a team of 13-year-olds.

The organization phase of the “Solutions for Tomorrow” challenge has now reached a point where the top eight teams have been selected. These teams, committed to advancing education, sustainability, and community development, can begin preparing for the finals.

Prototype Creation

Over the next few weeks, they will create and test prototypes of their ideas with the help of mentors. The students are preparing for the final showdown at the end of May, where the top three teams will receive a total of HUF 6 million worth of Samsung devices to enhance their personal and school resources, according to the firm.

“I think the biggest challenge is strengthening concentration skills, the ability to focus and truly immerse in something. This skill aids not just in learning but also in relaxation. Teaching this to an Alpha generation child is challenging, and the home environment doesn’t always help.”

This year’s “Solutions for Tomorrow” challenge participants did not make the selection easy for the professional jury, presenting a range of ingenious ideas.

One team from each of Pécs (208 km south of Budapest by road) and Tótkomló (228 km southeast), and six from Budapest have made it to the finals, where they will present their concepts in the last round.

Those focusing on redefining the future of education emphasize using AI-based digital characters to promote learning and reading. Teams fighting for sustainability are developing solutions to replace harmful compound blocks and find innovative uses for Styrofoam.

Those focusing on community development are working on supporting the elderly and aligning student housing, digital inclusion for the visually impaired, educational efforts around menstruation, and promoting communal, game-based country exploration.

With another month of preparation left, competitors receive further help through instructional videos to refine their developing concepts.

The students’ progress is supported by presentation training and two mentors per team, who provide feedback and insights for the finals.

The top eight teams met in person with other competitors and their mentors on

April

27,

not only to celebrate their advancement but to participate in a communication and presentation training by the Momentán Association. With six weeks to go, they have the opportunity to realize their ideas in prototype form and package their visions in a creative, compelling manner.

At the May 31 final, the jury will evaluate presentations based on creativity, critical thinking, feasibility, prototype functionality, presentation skills, and team spirit. Teams can also gain additional points through the thoroughness of their research and the execution of their projects.

The top team will be able to select Samsung devices worth HUF 1.2 mln for themselves, HUF 1 mln for their school, and HUF 500,000 for their teacher, with similar but decreasing amounts allocated to the second and third-placed teams.

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Budapest Business Journal | May 6 – May 16, 2024

Special Report | 19

ERP Companies RANK

COMPANY WEBSITE

NET REVENUE FROM ERP SOFTWARE SALES IN 2023 (HUF MLN)

TOTAL NET REVENUE IN 2023 (HUF MLN)

SOFTWARE TYPES DISATRIBUTED IN 2023

YEAR ESTABLISHED NO. OF FULL-TIME EMPLOYEES ON APRIL 1, 2024

Ranked by net revenue from ERP software sales in 2023 (HUF mln)

OWNERSHIP (%) HUNGARIAN NON-HUNGARIAN

1

GRIFFSOFT INFORMATIKAI ZRT. www.griffsoft.hu https://smartbrickfms.hu/

4,408

4,408

Forrás integrated management system, SmartBrick property and facility management system

Magyar Államkincstár; Építési és Közlekedési Minisztérium; Néprajzi Múzeum; Sándor-palota; MTVA; Miskolc Holding Zrt.

2000 185

Other (59.51), Griff Investment Kft. (40.49) –

Benedek Szajbély István Bokor Krisztián Walter

1041 Budapest, Görgey Artúr utca 69–71.

(1) 450-2200 info@griffsoft.hu

2

TECHWAVE HUNGARY ZRT. www.techwave.hu

3,829 (2022)

3,829 (2022)

SAP

A

1999 77

– Techwave Consulting Inc. (100)

Péter Fárizs – –

1138 Budapest, Dunavirág utca 2–6.

(1) 237-1730 info@techwave.hu

3

KONTRON HUNGARY KFT. www.kontron.hu

3,410

40,391

SAP, Infor

A

1998 466

– Kontron AG (100)

Péter Szabó Sándor Kulcsár Tímea Soós

2040 Budaörs, Puskás Tivadar út 14.

(1) 371-8000 kontron@kontron.hu

4

R&R SOFTWARE ZRT. www.rrsoftware.hu

2,397

3,759

ERP, BSS, CRM, BA (BI-EPM-DWH), EDM, SFA, FFA, Big Data, AI, e-Gov, e-Court

Garantiqa Hitelgarancia Zrt., Prímaenergia Zrt., Magyar ExportImport Bank Zrt., Invitech ICT Services Kft., Porsche Lízing és Szolgáltató Kft., AutoWallis Nyrt.

1997 127

R&R Partners Holding Kft. AindividualsA –

Csaba Rozenberszki Judit Andráskó Zsolt Rozenberszki

1038 Budapest, Ráby Mátyás utca 7.

(1) 436-7850 info@rrsoftware.hu

5

LIBRA SZOFTVER ZRT. www.libra.hu

1,883

1,908

Libra3s, Libra11, LibraReportEngine, LibraMI

A

2006 63

Individuals (89), Volán Elektronika Zrt. (11) –

Kálmán Faur – –

1113 Budapest, Karolina út 65.

(1) 209-1111 info@libra.hu

6

PROGEN MÉRNÖKI FEJLESZTŐ ÉS SZOLGÁLTATÓ KFT. www.progen.hu

1,616

2,104

sERPa, Nagy Machinátor

Whiskeynet Kft., Chef Market Zrt., Foodnet Zrt., "TE-DI Trade" Kft., Vascular Venture Kft., Weinberg '93 Építő Kft.

1992 75

Progen Holding Zrt. (100) –

Sándor Komáromi Gizella Koncz Krisztina Kegye

1118 Budapest, Homonna utca 8/A (1) 481-9000 info@progen.hu

7

INFOCONSULTING HUNGARY KFT. www.infoconsulting.com/hu

1,055

IFS Cloud ERP/EAM/ESM system

BioTech USA Kft., Wellis Magyarország Zrt., ANY Biztonsági Nyomda Nyrt., VAJDA-PAPÍR Kft., Fémalk Zrt., Inno-Comp Kft.

2000 25

– InfoConsulting Group (100)

Imre Sturcz, Krisztina Terbe, Bálint Vrábel Cecília Léber –

1132 Budapest, Váci út 22–24.

(1) 236-3700 infohu@ infoconsulting.com

8

MULTISOFT KFT. www.multisoft.hu

906

1,072

Microsoft Dynamics 365 Business Central

Alfaseed Kft., Lajtamag Kft., Hungary Aliment Kft., Rédei Kertimag Zrt., Graphisoft Park Engineering & Management Kft., Broadcast Solutions Hungary Kft.

1991 53

Gábor Kelemen, Judit Gyenes Kelemenné (100) –

Gábor Kelemen – Tamás Varga

1115 Budapest, Bartók Béla út 105–113.

(20) 330-0220 sales@multisoft.hu

9

ISYS-ON INFORMATIKAI TANÁCSADÓ KFT. www.isys-on.hu

613

1,657

QAD Enterprise Applications, Qlik Sense

Bábolna Bio Zrt., Fastron Hungaria Kft., Goodwill Pharma Nyrt., ITK Holding Zrt., Magyar Piszke Papír Kft., Pannon Tools Kft.

2002 80

BeXt Kft. (50), QuNst Kft. (50) –

Lajos Beck, István Kucsera Zoltán Horváth Lajos Beck

1134 Budapest, Kassák Lajos utca 19–25.

(1) 555-7270 info@isys-on.hu

10

E-BEST TANÁCSADÓ KFT. www.ebest.hu

550

550

ORACLE, ORACLE JD Edward

Andritz, Gyermelyi, Fornetti, Arriva, Immergas, Zalaco

2002 18

(100) –

Imre Kereki – –

1148 Budapest, Nagy Lajos király útja 24.

(30) 927-7255 ebest@ebest.hu

NR

4IG NYRT. www.4ig.hu

A

70,379 (2022)

A

A

1995 1,233

(70.75) (29.25)

Péter Fekete Csaba Thurzó –

1013 Budapest, Krisztina körút 39.

(1) 270-7600 info@4ig.hu

Richard John Clark, Glenn Stephen Lambert, Marian Janci – –

1133 Budapest, Váci út 76.

(1) 452-7600 info.hungary@epicor.com

1,055

MAJOR CLIENTS IN 2023

TOP LOCAL EXECUTIVE CFO MARKETING DIRECTOR

ADDRESS PHONE EMAIL

EPICOR SOFTWARE NR HUNGARY KFT. www.epicor.com

A

1,004

A

A

1993 62

– Epicor Software Cyprus Ltd. (100)

NR

LLP HUNGARY KFT. www.llpgroup.com/hu

A

313 (2022)

Infor SunSystems, systems@work

A

1991 2

– LLP Praha s.r.o (100)

Jiri Stiller – –

1124 Budapest, Németvölgyi út 114.

(30) 966-9042 contact@hu.llpgroup.com

NR

MULTI INFORMATIKAI KFT. www.multi.hu

A

195 (2022)

Management programs, public utility systems, asset management

A

1991 6

György Marosi (50), Györgyné Marosi (50) –

György Marosi – –

1196 Budapest, Fő utca 116.

(1) 348-0576 info@multi.hu

– NTT DATA Business Solutions International Holding GmbH (100)

Zsuzsanna Szakács Földháziné – –

1117 Budapest, Neumann János utca 1.

(1) 452-3800 info-hu@itelligence.hu

NTT DATA BUSINESS NR SOLUTIONS KFT. www.itelligence.hu

A

3,694

A

A

1994 81

NR

ORACLE HUNGARY KFT. www.oracle.com

A

25,356

A

A

1993 227

– Oracle Nederland B.V. (100)

Titusz Csaba Puskár – –

1112 Budapest, Balatoni út 2.

(1) 224-1700 –

NR

REVOLUTION SOFTWARE KFT. www.revolution.hu

A

2,102

Microsoft Dynamics Business Central, deep.erp, deep.ügyvitel, REVOL Expressz, M-Files

AKH Abroncs Kereskedőház Kft., Kall Ingredients Kft., Balatoni Hajózási Zrt., RSM Hungary Zrt., TV2 csoport, Bergmann Könyvelő iroda Kft.

1992 67

Individuals (100) –

László Szalóki – Norbert Somkutas

1133 Budapest, Váci út 76.

(1) 461-8030 revol@revolution.hu

NR

SAP HUNGARY KFT. www.sap.hu

A

58,541 (2022)

SAP

A

1997 1,541

– SAP SE (100)

Szabolcs Pintér György Simon –

1031 Budapest, Záhony utca 7.

(1) 457-8333 –

A

83 (2022)

ERP systems, accounting and invoicing software

A

1996 6

Enaco Kft. (95), TAX-EBR Kft. (5) –

Gábor Nagy – –

1091 Budapest, Üllői út 119.

(1) 215-0256 adminisztracio@ szamado.hu

SZÁMADÓ KFT. NR www.szamado.hu

20 | 3

Special Report

www.bbj.hu

Budapest Business Journal | May 6 – May 16, 2024

Telecom Service Providers

MAGYAR TELEKOM NYRT. 1 www.telekom.hu

849,000 6,250,000 ✓ ✓ – ✓ ✓ ✓ ✓ –

– ✓

VODAFONE 2 MAGYARORSZÁG ZRT. www.vodafone.hu

295,263

YETTEL 3 MAGYARORSZÁG ZRT. www.yettel.hu

242,033 3,366,567 ✓ ✓ – ✓ – ✓ – ✓ –

DIGI TÁVKÖZLÉSI ÉS 4 SZOLGÁLTATÓ KFT. www.digi.hu

61,763 (2022)

5

ANTENNA HUNGÁRIA ZRT. www.ahrt.hu

46,891 (2022)

A

A

A

✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ –

–

✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓

✓ –

–

–

–

–

– ✓ –

–

31,748 (2022)

A

✓ – ✓ – ✓ –

TARR KFT. www.tarr.hu

12,563 (2022)

A

✓ ✓ – ✓ ✓ – ✓ ✓ ✓ –

8

HUNGARO DIGITEL KFT. www.hdt.hu

ACE TELECOM KFT. 9 www.acetelecom.hu

7,263

2,455

A

A

–

–

✓ –

–

–

–

–

–

–

–

–

–

–

–

✓

✓

COMPANY PACKAGES

QUADRUPLE PLAY (INTERNET, TV, LANDLINE PHONE, MOBILE)

PACKAGE TYPE SOLD TRIPLE PLAY (INTERNET, TV, LANDLINE PHONE)

OTHER

ISDN

ANALOG CABLE NETWORK

ANALOG WIRE NETWORK

OPTICAL CABLE NETWORK

MOBILE NETWORK

✓ ✓ – ✓ –

OWNERSHIP (%) HUNGARIAN NONHUNGARIAN

TOP LOCAL EXECUTIVE CFO MARKETING DIRECTOR

ADDRESS PHONE EMAIL

✓

1991 5,370

Free float (32.15), Tibor Rékasi own shares (4.30) Daria Dodonova Deutsche Zoltán Telekom Europe Pereszlényi B.V. (63.55)

1097 Budapest, Könyves Kálmán körút 36.

1414 sajto@telekom.hu

Antenna Hungária Bányai Tamás Zrt. (100) Csaba Thurzó – Hajnalka Mester

1112 Budapest, Boldizsár utca 2.

(70) 700-1270 sajto@ vodafone.com

–

✓ ✓ ✓ ✓ ✓

–

✓

✓

✓

1999 2,900

–

✓ –

–

✓

–

✓

1993 1,919

– PPF (100)

Igor Prerovsky József Takács Nemanja Zilovic

2045 Törökbálint, Pannon út 1.

(20) 930-4000 –

Antenna Hungária Zrt. (100) –

Tamás Tábori – –

1013 Budapest, Krisztina körút 39.

(1) 707-0707 ugyfelszolgalat@ digi.hu

–

Broadcasting, multimedia, WIFI services, ICT solutions, mindigTV, production

–

–

Satellite data transmission, satellite broadcasting, WiFi central infrastructure

–

–

Microwave

✓

✓

✓

2004 2,032

DVB-T, analogue terrestrial – radio, IP VPN, satellite, microwave

–

–

–

1992 359

4IG Nyrt. (100) –

Gyöngyvér Papp-Gerlei – –

1013 Budapest, Krisztina körút 39.

(1) 464-2464 antennah@ahrt.hu

–

–

–

✓

2016 666

Antenna Hungária Zrt. (100) –

László Marton Dániel Majubu –

1013 Budapest, Krisztina körút 39.

(1) 888-3888 vip@invitech.hu

–

✓

✓

✓

1990 336

Individuals (100) –

János Tarr – –

7100 Szekszárd, Kadarka utca 18.

(74) 416-000 info@tarr.hu

1990 41

Péter Krisztián Fekete, Portuguese 2310 Gyöngyvér TelecommuniSzigetszentmiklósPapp-Gerlei, cation Investment Lakihegy, István Sárhegyi, Kft. (75), Antenna Komp utca 2.

Gábor Hungária Zrt. (25) (1) 488-8500 Tomcsányi – sales@hdt.hu József Bencsik Sándor Molnár

✓ ✓ ✓ ✓ ✓

– ✓ –

Managed leased line data and internet, voice and sub-center, WIFI-based, – ✓ ✓ – data centre and – ✓ – cloud-based, IT security and other ICT services, broadcasting

INVITECH ICT 6 SERVICES KFT. www.invitech.hu

7

OTHER

INFRASTRUCTURE TYPES

SATELLITE TV

VOIP

LEASED LINE

CABLE TV

IPTV

CABLE INTERNET

MOBILE INTERNET

XDSL

MOBILE VOICE TRANSMISSION

LANDLINE TRANSMISSION

COMPANY WEBSITE

NO. OF ACTIVE SUBSCRIBERS

TOTAL NET REVENUE IN 2023 (HUF MLN)

RANK

SERVICES

YEAR ESTABLISHED NO. OF FULL-TIME EMPLOYEES ON APRIL 1, 2024

Ranked by total net revenue in 2023 (HUF mln)

–

– ✓

– ✓ ✓ –

–

–

–

Data center solutions, virtual – ✓ ✓ – – ✓ – and physical sub-centres

–

–

–

–

–

–

–

Satellite network

–

Microwave network

–

–

–

–

✓

✓

1997 A

Individuals (68), ThreeF Kft. (32) –

Attila Farmosi, Gábor Varga Gábor Varga Péter Németh

1037 Budapest, Zay utca 3.

(1) 999-1000 office@ acetelecom.hu

István Kun, 8900 László Zalaegerszeg, Mészáros, Nefeljcs utca 2/A Csaba Andrasek (1) 878-1800 – info@netfone.hu –

10

NETFONE TELECOM KFT. www.netfone.hu

2,065 (2022)

A

✓ ✓ ✓ ✓ ✓ –

– ✓ ✓ –

–

–

–

–

–

–

–

–

–

–

2012 67

(100) –

11

OPENNETWORKS KFT. www.opennet.hu

420

A

–

– ✓ ✓ –

Virtual subcenter, call center, Teams gateway

A

A

A

A

A

A

–

–

✓

2004 18

András Beliczay (100) –

András Beliczay – Judit Stark

✓

2002 3

– Levy Melnikov, Alexander Melnikov (100)

1114 Budapest, Alexander Kemenes utca 8.

Melnikov (1) 490-0999 Evgeny Dutov sales@ Liubov Martynova kompaas.tech

KOMPAAS.TECH KFT. 12 www.kompaas.hu

A = would not disclose,

NR = not ranked, NA = not appliacable

64

650

–

– ✓ –

–

–

–

–

–

–

–

–

Communication platform: – ✓ – automated calls, – ✓ – Chatbot, Contact Center AI

–

–

–

–

–

1125 Budapest, Kiss Áron utca 9.

(1) 999-6000 info@opennet.hu

This list was compiled from responses to questionnaires received by April 30, 2024, and publicly available data. To the best of the Budapest Business Journal’s knowledge, the information is accurate as of press time.

The list is based on companies’ voluntary data submissions. While every effort is made to ensure accuracy and thoroughness, omissions and typographical errors may occur. Additions or corrections to the list should be sent on letterhead to the research department, Budapest Business Journal, 1075 Budapest, Madách Imre út 13–14, or faxed to (1) 398-0345. The research department can be contacted at research@bbj.hu

4

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Budapest Business Journal | May 6 – May 16, 2024

Socialite

Being ‘Larry:’ an interview with Actor Bennett Vilmányi

I came across the Hungarian movie “Larry” when, tired of watching formulaic three-act Hollywood movies or clever-clever TV series on Netflix, I went in search of something a little different. Normally, I don’t watch Hungarian films at the cinema, for the simple reason that they’re rarely subtitled in English.

Netflix has a treasure trove of subtitled Hungarian movies.

DAVID HOLZER

Made in 2022, “Larry” was directed

by Szilárd Bernáth and stars Bennett Vilmányi as Ádám, a would-be rapper held back by a painful stutter. Bennett’s overbearing, recovering alcoholic and born-again Christian policeman of a father, Zoltán, is played by Szabolcs Thuróczy. Anna Szandtner is Zoltán’s

Vilmányi says his hero is Andy Kaufman, the wild American comedian best known for playing Latka in the U.S. TV series “Taxi” and the subject of the biopic “Man on the Moon,” in which Jim Carrey played him. Both Kaufman and Carrey are known for their total immersion in their characters, which gives you some idea of how seriously Vilmányi takes his craft.

Asked if he drew on any trauma in his own life to portray Ádám, Vilmányi replies, “I don’t believe I need trauma to be a good actor.”

Inverse Therapy

When I ask him how he learned to stutter, he says “I had special training called inverse therapy from a speech therapist.

They did the opposite of what they usually do. It was a challenge for both of us, but the result was very believable.”

Although this is undoubtedly true, Vilmányi points out that the film took some dramatic license with the stutter. “It was necessary for the story that Ádám stutters when he raps, but when you rap, you don’t stutter. Stuttering happens when people don’t breathe properly. It was very hard to breathe incorrectly when I was rapping.”

“It was necessary for the story that Ádám stutters when he raps, but when you rap, Bennett Vilmányi as Ádám/Larry. Photo by Mozinet you don’t stutter. Stuttering happens when people don’t girlfriend, Noémi, who has recently lost treatment from his father and his anger at breathe properly. It was very her job at a local factory and is moving the world and records him. Ádám becomes hard to breathe incorrectly in with Zoltán and Ádám.

“Larry.” Helped by the Roma hip-hop Unlike other hip-hop “a star is born” community, they make a video that goes when I was rapping.”

movies (Eminem’s “8 Mile” being a prime example), “Larry” doesn’t start out hustling on the mean streets. Ádám, who, for a reason I don’t think is ever explained, adopts the nom de rap “Larry,” works on a sheep farm in the wilds of Borsod County in the far northeast of Hungary on the border with Slovakia.

Zoltán became an alcoholic after the death of Ádám’s mother and beats the boy.

The film doesn’t suggest that this caused his stutter. Zoltán is putting pressure on Ádám to partner with him on their own sheep farm, but Ádám doesn’t want to commit.

When Ádám meets Roma rapper CsalaDo, played by László Onofer, CsalaDo is impressed by Ádám’s rap about his

Bennett Vilmányi as the rapper “Larry.” Photo by Mozinet

viral and is entered into the KozmoTalento online talent show which offers a first prize of EUR 30,000. “Larry” is selected As a non-Hungarian, “Larry” felt to as one of 10 finalists in a competition me like an authentic window into a part held at Budapest’s real-life A38 venue. of Hungary I’d never seen. For Vilmányi, Ádám’s problem is that whenever from a reasonably privileged background, he tries to perform live, he ends up the experience of filming in this part of stuttering. He’s reluctant to take part in the talent show in case he’s humiliated in Borsod County was also illuminating. “I knew this type of world existed,” he says, front of millions. But, after sleeping with Noémi and being beaten up by his father, “but to actually be in it was a shock.”

When it comes to helping people in who’s drinking again, Ádám performs this world, such as the Roma, Vilmányi in the talent contest with CsalaDo. says he believes this has to come from Surprisingly Intent within the community, not from above.

While “Larry” occasionally expects the Since “Larry” was released in viewer to suspend disbelief a little too 2022, Vilmányi has been part of two much, it’s a surprisingly intense movie international movie productions, one powered by gritty performances. It also of which was with Adrian Brody, whose does a good job of subverting what mother is Hungarian. I expected Vilmányi could have been a clichéd storyline. to see this as a big step up, but he was When Bennett Vilmányi is onscreen, it’s refreshingly honest, saying, “I don’t like impossible to take your eyes off him. the fact that my English is not so good.

Vilmányi, who calls himself “the first I’m much more confident in Hungarian.

Bennett in Hungary,” was born in 1994.

I can really project in my own language.”

He grew up in Érd near Budapest. His He is, however, thrilled that his work is mother is an entrepreneur, and his father reaching a far wider audience thanks to is a musician. As a child, Vilmányi had Netflix. Judging by his performance in wanted to be a professional footballer, “Larry” I’d say Vilmányi has what it takes to but after he was cast in a film aged 13, be an international movie star if he chooses. he decided he wanted to become an actor instead and studied acting in Budapest.

While Vilmányi was at university, he As well as Netflix, you can also appeared in several short films made watch “Larry” subtitled in English on by students for their final exam. Szilard www.filmio.hu, the unique streaming Bernáth saw Vilmányi in one of these, platform for Hungarian movies. and when the director was writing the part of Ádám, he had Vilmányi in mind.

22 | 4

Socialite

www.bbj.hu

Budapest Business Journal | May 6 – May 16, 2024

Hilton, Kisterem Gallery, and Lili Horváth Launch Contemporary Art Series The recently opened Hampton by Hilton Budapest City Center, together with Kisterem Gallery and art consultant Lili Horváth, have launched “Budapest Art Cosmos,” an initiative to support Hungarian artistic talent and offer visitors immersive cultural programs.

BBJ STAFF

The series debuted in the hotel at Dessewffy utca 7-11 in District VI with a solo exhibition by conceptual artist Judit Fischer entitled “Mundane Romance,” which opened free of charge to the public on April 18 and runs until the end of August.

The famously pet- and family-friendly Hampton by Hilton brand arrived in

Budapest in the fall of 2023, following openings in the region in Vienna, Warsaw and Târgu Mures, Romania.

The downtown hotel boasts 219 guest rooms and a lobby bar.

Hilton’s commitment to supporting the arts is nothing new. Its Hungarian hotels have regularly supported temporary exhibitions at the Museum of Fine Arts and the Hungarian National Gallery.

The company says this latest Budapest hotel initiative is unique in that it does not aim to purchase works of art from a single artist or a select group as permanent decoration but to create a living and constantly renewing long-term platform for young

News in Brief Culture

Cinema Ticket Sales Climbed 41% Last Year Hungarian cinema ticket sales climbed 41% to 14.3 million in 2023, according to data released by the Central Statistical Office (KSH) on April 19. The number of feature films released during the year rose 12% to 329, including 47 Hungarian films.

The number of screenings edged up 3% to 479,000. There were 150 cinemas with 417 screens in Hungary in 2023.

National Museum Consolidating, Rebranding The Hungarian National Museum will be renamed according to the official Magyar Közlöny [Hungarian Gazette].

“To develop the cultural, institutional system and fulfill cultural tasks at an outstanding level, the government agrees that the Hungarian National Museum will continue to operate

under the name of the Hungarian National Museum Public Collection Center,” the publication says. Behind the name change lies the organizational integration of public collections. As of July 1, several cultural facilities will be integrated into the Public Collections Center of the Hungarian National Museum. The merging institutions include the Museum of Applied Arts, the Hungarian Natural History Museum, the Hungarian Museum of Trade and Tourism, the Petőfi Literary Museum, and the National Széchenyi Library. They will continue to operate as member institutions of the Public Collections Center.

Ministry Signs Partnership With Times Higher Education Hungary’s Ministry of Culture and Innovation has signed a partnership agreement with Times Higher Education to strengthen, advance

Culture Matters A regular look at culture issues in Hungar y and the region

University of Fine Arts, is considered by the gallery to be one of the most original and unique artists of her generation, with a conceptual and media-varied practice ranging from watercolor and resin-based object painting to tapestry, sub-weaving and performative art actions, exploring the interrelations and interpenetrability between object and artifact, life and art.

In an exhibition of more than 20 of her works at “Budapest Art Cosmos,” a selection of her latest works on paper will be displayed in the hotel’s public spaces. Her watercolor paintings are portraits of everyday objects.

“Her still-life-like depictions invite A guest admiring some of the works the viewer to change focus and

by Judit Fischer at the official launch. perspective, which Judit has mastered with great awareness and years of consistent work, and turn our attention and mid-generation Hungarian from the exceptional to the every contemporary artists, both established day, from the grandiose to the small,” and emerging on the international scene. Horváth said in her opening speech.

The hotel commissioned art consultant Andrzej Lejman, general manager and curator Lili Horváth to develop of Hampton by Hilton Budapest, the concept. The first exhibition of the said, “We are delighted to launch series was realized with the professional our exciting collaboration, which and operational collaboration of aims not only to showcase a slice Kisterem, described by the hotel as one of Hungary’s rich cultural scene of the most influential contemporary to our guests but also to emphasize art galleries in the Central European our commitment to supporting region, and which has been operating local diversity and artistic talent.” for almost 20 years and represents He added, “I look forward to building more than 25 highly acclaimed artists on our meaningful partnership as at prestigious international fairs. we continue to operate in Hungary, Born in 1981, Judit Fischer, who enriching the experiences of both graduated as a painter from the our guests and local communities.”

and promote the country’s higher education sector, the ministry said in a release on its website on April 22.

Under the agreement, THE will conduct a detailed analysis of Hungary’s higher education system, gauging its performance and benchmarking it with global education hubs in THE’s World University Rankings. State Secretary for Higher Education Balázs Hankó said Hungary aimed to have at least one university in the world’s top 100 and three among Europe’s top 100 by 2030. Currently, 11 Hungarian universities are listed in THE’s World University Rankings.

Agriculture Ministry Committed to Sustainable Viticulture The Ministry of Agriculture is committed to ensuring that grape growing in Hungary has as little environmental impact as possible and that wines are produced as energyefficiently as possible, Minister of Agriculture István Nagy stated at the meeting organized on the occasion of the 100th anniversary of the International Organization of Viticulture and Oenology in Brescia, Italy on April 12. According

to agroinform.hu, the minister drew attention to the fact that environmental protection and sustainability have changed the habits of consumers, which has a significant impact on agriculture and the food industry. The ministry said that the vast majority of wine products consumed in Hungary are produced here, so the sectoral carbon footprint for this country is low.

Gastrotourism Alive and Well in Hungary Gastrotourism is alive and well in Hungary, as more people are coming to the country to get to know the masterpieces of Hungarian cuisine, the president of the Pannon Gastronomic Academy and the Hungarian Catering Industry Board Balázs Csapody said in a press release. Csapody noted that with the strengthening of gastrotourism, the number of Michelinstarred restaurants in Hungary could continue to increase. Currently, there are two 2-Michelin-starred and seven 1-Michelin-starred restaurants in the country, as well as six Bib Gourmand eateries. These restaurants offer high-quality cuisine, but where you can get high-quality food at a more moderate price, Csapody explained.

4

www.bbj.hu

Budapest Business Journal | May 6 – May 16, 2024

Chamber of Commerce Corner

Socialite | 23

This regular section of the Budapest Business Journal features news and events from various international business chambers. For further information and to register for specific events, visit the organizing chamber’s website. If you have information for inclusion on this page, send an email in English to Annamária Bálint at annamaria.balint@bbj.hu

Hungarian-Norwegian Chamber of Commerce (HNCC)

Belgian Business Club In Hungary (Belgabiz) Belgabiz will hold its yearly Belgian Dinner this year at the W Budapest Hotel. This prominent event celebrates BelgianHungarian relations and the EU leadership transition in a glamorous ambiance as we bid farewell to Belgium’s tenure and welcome Hungary to the helm of the Presidency of the Council of the European Union. Besides the fine social and gastronomic experience with a Belgian touch, the evening promises excellent fun in an international surrounding with a tombola. Company tables are available. • When: Friday, June 14, 6-11 p.m.

• Where: W Budapest Hotel, Andrássy út 25, Budapest 1061 • Fee: Members HUF 55,000; non-members HUF 65,000.

Hungarian-French Chamber of Commerce and Industry (CCIFH) The CCIFH invites guests to celebrate “La vie en Rose” in a very French way at its garden party on Buda Hill, surrounded by nature, lanterns and chansons. • When: Friday, June 14, 5-10 p.m. • Where: Normafa Síház, Eötvös út 59, Budapest 1121. • Fee: Members HUF 36,000 (+ VAT); non-members HUF 54,000 (+ VAT).

The CCIFH’s next hybrid Business Breakfast will take “ESG Requirements in the Hungarian Market” as its subject.

The speakers will be: Dániel Erdélyi, head of department at the Supervisory Authority for Regulated Activities; András Bagyura, head of sustainability services at Mazars; Andrea Belényi, partner at VJT & Partners law firm; and András Balásfalvi-Kiss, head of Kingfisher Digital Zrt. • When: Thursday, May 23, 9 a.m.1. p.m. • Where: Well Point Event Venue, Europa Design Plc., Törökvész út 71-75, Budapest 1025 • Fee: Members HUF 19,900 (+ VAT); nonmembers HUF 29.900 (+ VAT).

Adam Laska, a founder and still an active member of the HNCC, organized a “Taste of Hungary” event with the Embassy of Hungary in Oslo on Thursday, April 18. The program aimed at promoting and introducing Hungary to the residents and employees of the “Midtåsenhjemmet” elderly care facility. There was a substantial interest: more than 70 persons attended the show, which successfully presented various aspects of Hungarian culture (music, movies, folk dance, folklore, etc.), gastronomy, and viticulture. The participants had the opportunity to learn more about Hungarian traditions and history and taste authentic Hungarian cuisine, which they found interesting and delicious. The facility director expressed her gratitude for what she described as the most successful program of recent years.

British Chamber of Commerce in Hungary (BCCH) This year, the BCCH will be hosted for its annual meeting by one of its trusted long-term members, the Corinthia Hotel Budapest. The AGM will take place in the hotel’s Petőfi Room and, after the formal part, will feature the customary networking, including cocktail canapés and drinks on the main terrace. The dress code will be Smart evening wear/Cocktail dress.

• 3:30 p.m.: Registration opens • 4 p.m.: Welcome speech by Dóra Kulauzov, Honorary vice chairman of the BCCH • 4:10 p.m.: Chairman’s report presented by chairman Duncan Graham • 4:20 p.m.: Financial and Auditor’s Report detailing BCCH accounts for 2023 and the budget for 2024, presented by treasurer Douglas Arnott • 4:30 p.m.: Vote on accepting the Chairman’s, Financial and Auditor’s Reports; vote on approving the annual BCCH budget 2024.

• 4:35-4:55 p.m.: Fireside Chat with Gergely Kiss from Attrecto on “Generative AI Today.”

• 4:55-5 p.m.: The results are announced, and the moderator closes the official part of the AGM. • 5 p.m.: Reception begins BCCH members will receive all the documents uploaded to a Google Drive folder via email in early May you will receive, including the proxy form and all financial reports.

• When: Wednesday, May 16. • Where: Corinthia Hotel Budapest, Erzsébet krt. 43-49, Budapest 1073 • Fee: Members, free: non-members cannot attend the formal part of the evening, but the charge for the reception is HUF 20,000 (incl. VAT).

Swiss-Hungarian Chamber of Commerce (Swisscham) Swisscham Hungary will have two noteworthy events in May. Joint After-work Networking The next joint event with the NetherlandsHungarian Chamber of Commerce (Dutcham) and the Swedish Chamber of Commerce in Hungary will promote informal networking among the members and partners of the three chambers. Join the chambers for a drink and an accompanying meal while making valuable business and friendship connections in a pleasant atmosphere.

• When: Thursday, May 16, 6-9 p.m.

• Where: Zsiráf Buda, Millenáris, Kis Rókus utca 2-4, Budapest 1024. • Fee: Members HUF 15,000; non-members HUF 20,000.

Health 2024: Nordic Waking with a Professional Trainer Join Swisscham for a 2.5-hour Nordic walking tour with a trainer. All you need is a comfortable pair of shoes and determination. A qualified Nordic walking instructor will accompany guests on the walk, and poles will be provided. The route is easily walkable, and we will include several rest stops.

• When: Friday, May 24.

9:30-11:00 a.m.

• Where: Meeting point at 1025 Budapest, Törökvészi út 147 • Fee: Members free of charge; non-members HUF 10,000.

Canadian Chamber of Commerce in Hungary (CCCH) Don’t miss an authentic Canadian BBQ experience. Our upcoming traditional BBQ evening will be held on the 29th of May. Featuring bison and salmon at ÖbölHáz, Kopaszigát, this event is a memorable fusion of Canadian flavors and Hungarian hospitality, offering guests a taste of Canada’s culinary heritage in a picturesque outdoor setting.

Experience a great evening with live jazz music in the background and the opportunity to win exciting raffle prizes. Many prominent business leaders in Hungary attend the event from various sectors. Bring your friends and your colleagues.

• When: Wednesday, May 29, 6-11 p.m. • Where: ÖbölHáz, Kopaszi-gát 2, Budapest 1117

Italian Chamber of Commerce for Hungary (CCIU) From June 21 to 25, the CCIU will participate in the World Convention of the Italian Chambers of Commerce (CCIE) at the Brixia Forum, Italy. The event will see the participation of 200-plus delegates representing 86 Italian chambers from 63 countries, organized by the Brescia Chamber of Commerce in collaboration with its Special Agency Pro Brixia and Assocamerestero. Among the key topics of the Assocamerestero Convention are the bilateral meetings between the CCIE and local enterprises aimed at presenting services and business opportunities offered by the chambers of commerce in the international market, keeping in mind the growth objective of the Italian economy abroad through the network of international relations stably supported by the chamber organizations.

The CCIE’s strategic objective is to identify the actions that will allow Italian companies to reach the most profitable markets through an effective internationalization strategy.