FOCUS ON Business 11 July-August 2023

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focusonbusiness.eu No. 4 (11) | July–August 2023 PRICE EUR 8 (INCL. 8% VAT) ISSN 2720-3549 7 7 2 7 2 0 3 5 4 3 0 5 9 0 4 Ukrainian IT sector is gaining recognition as a significant player in the global market Interview with Konstantin Vasyuk, the IT Ukraine Association Executive Director | p. 44 The PRS in Poland –can apartments for lease be an alternative? | p. 14 AI-powered personalization: The future of customer experience | p. 36

2024 BPO&SSC Trends

SAVE THE DATE

24–25th October 2023

Monopolis, Łódź, Poland

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EDITOR-IN-CHIEF: Dymitr Doktór

| dymitr.doktor@proprogressio.pl

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Elwira Przybylska

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Dear Readers,

The first half of the business year is behind us. May and June are months that abounded in various business events not only in Poland, but also around the world. The business world is preparing for a summer break, but it is not slowing down.

In the July-August issue of FOCUS ON Business, we have curated a collection of articles that delve into topics that have recently sparked considerable attention. Furthermore, we explore the emerging realm of innovative solutions that are steadily gaining popularity in the dynamic business world. Our main interview of the issue is a conversation with Konstantin Vasyuk, the IT Ukraine Association Executive Director, who shares valuable perspective on how the Ukrainian IT sector has not only navigated challenges but also garnered international recognition and expanded its reach.

In the legal section of FOCUS ON Business, Baker McKenzie raises an important topic of apartments for rent, i.e. the increasingly popular PRS formula, while experts from Chudzik & Partners describe a new institution in the Polish Labor Code, which is so-called flexible work arrangements.

In our international section, curated by GBS.World, we bring you a captivating feature on personalization based on artificial intelligence. This thought-provoking subject explores the future possibilities for Customer Experience area.

I invite you to delve into FOCUS ON Business pages not only during your work engagements but also during your well-deserved holidays.

Selected photos come from stock.adobe.com.

An electronic version of the Magazine see the website www.focusonbusiness.eu.

All rights reserved. No copying, reproduction or photocopying allowed without written consent of the publisher. The views expressed in this publication as well as the content of the adverts are not necessarily those of the editor.

LEGAL SUPPORT: Chudzik i Wspólnicy

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CIRCULATION: 3000 copies

PLACE AND DATE OF ISSUE: Warsaw, 14.07.2023

AUTHORS:

Wiktor Doktór • Weronika Guerquin-Koryzma• Mateusz Cieślak • Dr. Iwona

Więckiewicz-Szabłowska • Michał

Mądry• Filip Czaboryk • Magdalena

Pawłowska • Agnieszka SadowskaJanik • Łukasz Maciak • Mark Angus

• Konstantin Vasyuk • Marek Łabaj •

Anna Celichowska • Rūta Kriščiūnaitė

• Dr. Eng. Jacek Paluszak • Anna

Ciosek • Radosław Młynarczyk • Anna Tymoshenko • Aleksandra DurzyńskaProchowska • Eliza De Campos Pegado

• Edyta Ruta • Patrycja Jankowska

3 FOCUS ON Business | July–August 2023 INTRODUCTION

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Discussions on attracting investors in Kielce

In early June 2023, a business breakfast was held in Kielce as part of The BSS Tour events series organized by Pro Progressio.

Glasgow – the capital of Customer Experience

For the past four years, the slogan of "Customer Experience" has resonated through the conferences organized by Peter Ryan, Mark Angus, and Traci Freeman.

Three IT events in Munich

The German Outsourcing Association recently concluded its highly anticipated annual IT Forum. The event shifted its location from Berlin to Munich for the first time in its history.

The PRS in Poland – can apartments for lease be an alternative?

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Flexible working arrangements – a new institution in the Labour Code

The April amendment to the Labour Code introduced several changes to employees' rights related to parenthood.

Transformation – How Leaders Effectively Transform Their Organizations?

We live in an era of rapid change and explosive technological development, which forces companies to constantly adapt to new conditions.

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Harnessing the untapped potential of data for business success

Ever wondered how some businesses manage to turn a seemingly endless stream of data into a treasure trove of insights?

The startup survival guide: Why resilience matters more than ever?

The business world is no stranger to metaphors, and one particularly apt description circulating in venture capital circles is the "VC Winter".

First class interpersonal skill in project management

Everyone who has ever tasted being involved in the project knows, that this work environment is the most variable and unpredictable.

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A Polish R&D based project is revolutionizing food industry

We talk to Łukasz Maciak, the founder and CEO of Bioponic Farm.

AI-powered personalization: The future of customer experience

To stay ahead and meet the rising demand for personalized customer experience (CX), businesses need to implement next-generation customer engagement strategies.

A sound approach to your office’s acoustics – how to do it well?

Noise distractions are the top complaint in many offices. And it can take 20 minutes to regain focus on a task once distracted.

MAIN INTERVIEW

The PRS, i.e. private rental sector, is a dynamically developing sector of the commercial real estate market in Poland. 14 44

Not only IT. Poland is also attracting industrial investors Interview with Marek Łabaj, Business Manager at Grafton Recruitment.

BUSINESS NEWS 6 INVESTMENT NEWS
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Ukrainian IT sector is gaining recognition as a significant player in the global market Interview with Konstantin Vasyuk, the IT Ukraine Association Executive Director. INDEX 4 FOCUS ON Business | July–August 2023

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Global companies are increasingly opening their headquarters in the regions Interview with Anna Celichowska, Board Member and Commercialization Director at Virako.

Lithuania’s business services – Persistence, Performance, Progress

Already in its 9th year, Lithuania’s Business Services Report has been through many iterations since its introduction.

Elbląg educates in the latest digital technologies

Interview with Jacek Paluszak, Ph.D., Eng., Director of the Krzysztof Brzeski Institute of Applied Informatics at the Academy of Applied Sciences in Elbląg.

King in the North – Tricity even closer to the North Nordic origin centres are the largest group of foreign investors in Pomerania – one-fourth of all service investments come from Northern European capital.

Responsible business in Poznań's backyard

More and more companies are acting in line with prevailing trends by conducting responsible business. However, this is not just an empty trend!

Kids at Polytechnics... in Częstochowa

Częstochowa has gained a reputation for its innovative approach to workforce education.

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Innovation and development drive the BSS market in Bydgoszcz

The local competences and attractive investment environment of the City make Bydgoszcz a convenient place for many entities to expand their activities with more advanced and innovative projects.

How to transform an intern into a valuable company asset: "Practise in Łódź –Holiday Internships" program and the "Youth in Łódź" initiative

Practical experience has always been viewed as an extremely important element on every CV.

Kielce: the capital of digital innovation in Eastern Poland

The capital of the Świętokrzyskie Voivodeship is the only center in Eastern Poland that received funding for the implementation of the Digital Innovation Hub.

86 Challenge in Katowice Part 2

The investors are asked to share their opinions on the city and observations about their lives in the region.

Wroclaw – the Polish capital of startups

According to the latest "Polish Startups" report, the largest number of young technology companies – 21% – operate in Lower Silesia, mainly in Wroclaw.

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Bielsko-Biała focuses on culture

Colorful history, location on the border, and rich cultural and natural heritage are the values that Bielsko-Biała has and which have awakened the city's appetite for candidacy for the title of European Capital of Culture.

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Can Artificial Intelligence replace the human factor in HR?

How to equalize opportunities on the IT job market?

There are approximately 1.3 billion people with disabilities in the world, which accounts for 16% of the population.

According to the World Economic Forum's Future of Jobs Report 2023, up to 60% of workers will require additional training or retraining by 2027. 98

STARTUP ELEVATOR
– PLAN BE ECO HR NEWS
PITCH
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5 FOCUS ON Business | July–August 2023

GLOBAL IN-APP PURCHASE SPENDING TO JUMP BY 28% AND HIT $296B BY 2027

Last year mobile phone users worldwide spent almost $205bn on in-app purchases, the highest value in the app market`s history. This figure is set to grow by around 12% year-over-year and hit $231bn in 2023 as millions of people continue spending more money on apps than ever. Still, that is nothing compared to the growth rates expected in the following years. According to data presented by SafeBettingSites.com, global in-app purchase spending is forecasted to jump by 28% in

the next four years and hit over $296bn by 2027.

Although in-app advertising has always been the largest revenue stream of the app market, in-app purchase revenues have also grown immensely over the years. According to a Statista survey, global IAP revenues grew by a massive 125% between 2018 and 2022, rising from $91.5bn to nearly $205bn. This year is expected to see a 12% growth, with people worldwide spending roughly

$231bn on in-app purchases. Statista expects global IAP revenues to grow by an average of $18.5bn per year and hit $296.8bn by 2027.

In comparison, in-app advertising, the largest revenue stream in the market, will see a much bigger growth rate in this period. Statista expects global in-app advertising revenues to jump by an impressive 47%, rising from $306bn in 2023 to roughly $451bn in 2027. Paid apps are expected to bring in close to $7.3bn in revenue by 2027, up from $5.8bn this year.

Analyzed by geography, statistics show that one-third of total IAP spending comes from China. Statista data show Chinese will spend over $71bn on in-app purchases in 2023, or $10bn more than a year ago. This figure will grow by 35% and hit $95.9bn by 2027. As the second-largest market globally, the United States will generate $62.3bn in in-app purchase revenue this year and more than $78bn by 2027.

Source: Safe Betting Sites

Artificial Intelligence (AI) continues to reshape industries across the globe. One of the sectors that have embraced it well is fintech. With its ability to enhance customer experiences and improve decision-making, AI has become a gamechanger for fintech. StockApps.com reports that the global AI in fintech market will reach $39 billion, a 350% increase expected between 2023 and 2032.

– By harnessing the power of AI, fintech companies can unlock new levels of efficiency. They could enjoy data-driven decision-making and customer-centricity, says Edith Reads from StockApps. To remain competitive and meet customers’ evolving needs, embracing AI is not just a strategic move. It is a need in today’s technology-driven financial landscape. Fintechs must seize the opportunity to leverage AI. This is how they position

themselves at the forefront of innovation and success.

One area where AI is making a significant impact in fintech is customer service. AI-powered chatbots have revolutionised the way financial institutions interact with their clients. These intelligent virtual assistants can handle a wide range of customer queries. Besides, they provide real-time support and even perform basic transactions. With AI, clients enjoy a seamless user experience.

Chatbots powered by AI make use of NLP. As a result, they can better comprehend and address client concerns in a human-like way. They can handle a significant number of queries at once by the chatbots. So, even during times of high demand, they ensure timely and effective customer service. Banks can boost client satisfaction, shorten response times, and spend less on overhead.

Security is very critical in the financial sector. And AI can be an effective tool for reducing fraud and boosting cybersecurity. Machine learning systems may instantly analyse massive amounts of financial data. This identifies trends and abnormalities that could show fraudulent activity.

The surge in the international use of AI and ML for fraud detection signals an era of rapid expansion. Almost 13% of organisations worldwide have embraced AI and ML to detect and prevent fraud. Also, an additional 25% intend to adopt these technologies within the next one to two years. This projected growth signifies the widespread recognition of the effectiveness of AI in combating fraud.

Source: StockApps

BUSINESS NEWS
GLOBAL AI IN FINTECH MARKET WILL SURGE BY 350% BETWEEN 2023-2032
6 FOCUS ON Business | July–August 2023

NEW CO-BRANDED SHOWROOM OF HUSHOFFICE, HAWORTH, AND MIKOMAX OPENS IN WARSAW

The doors of the first dedicated showroom for Hushoffice, Haworth, and Mikomax brands in Poland swung open on Burakowska Street within the Forest office campus in Warsaw. This expansive showroom serves also as a dynamic hub, offering architects, clients, and business partners a multifunctional space for meetings, presentations, training sessions, and various other activities.

Spanning 450 m2 exhibition space, visitors are invited to embark on an immersive journey through the innovative offerings of the 3 brands. The showroom proudly showcases the full range of Hushoffice's acoustic cabins, meticulously designed for individual work, extended video conferences, and team collaboration. Additionally, it features

an array of exquisite furniture products from the Haworth and Mikomax brands.

The carefully crafted interiors of the showroom artfully demonstrate the inherent advantages of flexible office spaces, effortlessly adapting to the evolving needs of today's users. Complementing the collection, the addition of solutions from Haworth Collection partners further expands the possibilities of utilizing these spaces, delivering unparalleled design and unrivaled functionality.

Heading the operations of the new showroom is Mateusz Siwiaszczyk, the Director of Domestic Sales at Mikomax.

The grand opening of the showroom took place in May 2023 and was jointly inaugurated by Henning Figge, President of Haworth International and

Mikomax, Maciej Mikołajczyk, Vice President of the Management Board of Mikomax, and Janusz Mikołajczyk, founder of Mikomax and current Member of the Supervisory Board. The event witnessed a gathering of over 100 guests, including representatives from prominent design studios, valued clients and partners of Mikomax, Hushoffice, and Haworth. Leading the event was Wiktor Doktór, the CEO of Pro Progressio. The highlight of the event was a captivating lecture delivered by Dr. Joanna Jurga, delving into the intricacies of employees' overstimulation and the profound impact it can have on their well-being and productivity.

Source: Mikomax Smart Office

META RECEIVED OVER 470K USER DATA REQUESTS FROM GOVERNMENTS IN 2022

In 2022, Meta received 476,802 user data requests from governments worldwide. A total of 827,927 user data records were requested by governments, marking a significant growth of 16% compared to 2021 and a whopping 971% rise since 2013.

The numbers are derived from the Meta transparency report, which features the government requests for user data since the year 2013, including both routine legal processes and emergency disclosure requests. The user data requests include two metrics: the number of requests a company receives from authorities and the number of accounts specified within those requests.

In the first half of 2022, governments worldwide filed 237,414 requests demanding data of 412,285 Meta users. In the year's second half, the number of data requests increased to 239,388, while the number of requested accounts rose to 415,642. Since 2013, Meta received a total

of 2,247,594 government requests concerning 3,629,299 user accounts.

In 2022, Meta received user data requests from governments in over 130 countries. However, the distribution of requests varied, with certain countries submitting more requests than others. The United States government leads the way in terms of both the number of requests and the volume of user data requested. In 2022, Meta received data requests from the US government concerning 236,928 platform users, representing a 10% increase compared to the previous year. That equates to approximately 70.04 requests per 100,000 people. In 2022 alone, the US government placed 133,511 user data requests to Meta, with the company at least partially complying with 88.07% of these requests.

Germany ranks second with 62.11 account requests per 100,000 people. The German government filed requests

for 51,783 Meta user accounts in 2022, placing the country in the fourth spot in terms of the total number of government requests. Meanwhile, Israel occupies the third spot on the list with 60.50 accounts requested per 100,000 people. Other countries in the top 10 include Brazil, with 56.24 accounts requested per 100,000 people, Singapore with 49.20, France with 46.66, Poland with 37.81, United Kingdom with 37.38, Taiwan with 34.04, and Belgium, with 31.45.

India also stands out regarding the sheer volume of account requests, as the country's government submitted a staggering 119,349 requests pertaining to 198,015 Meta user accounts in 2022 – a 32% rise from the previous year. However, the request count per 100,000 population amounts to a relatively lower figure of 13.97.

Source: Atlas VPN

Janusz Mikołajczyk, founder of Mikomax, member of the Supervisory Board (on the left side); Maciej Mikołajczyk, Vice President of the Management Board of Mikomax (on the right side).
7 FOCUS ON Business | July–August 2023

Discussions on attracting investors in Kielce

In early June 2023, a business breakfast was held in Kielce as part of The BSS Tour events series organized by Pro Progressio. The Strategic Partner of the meeting was the City of Kielce.

The event brought together industry experts from KPMG Poland, Transcom Poland and Corees, who generously shared their expertise on enticing BPO and IT investors to choose Polish cities for their investments.

With active participation from over 40 attendees, discussions centered around critical factors such as human resources, urban infrastructure, and office real estate. These factors play a vital role in decision-making processes when it comes to locating BPO and IT projects in Poland.

The event commenced with an opening speech by Bogdan Wenta, the Mayor of Kielce. Mayor Wenta elaborated on the city's favorable business climate, highlighting various initiatives aimed at fostering the growth of the BPO and IT sectors in the Świętokrzyskie Voivodeship's

Bogdan Wenta, the Mayor of Kielce (in the center). The BSS Tour Kielce participants.
8 FOCUS ON Business | July–August 2023
Wiktor Doktór, CEO of Pro Progressio.
BUSINESS

capital. – In Kielce, one can find a suitable balance between professional life and work. Polish branches of international BSS companies as well as domestic firms that are actively expanding into foreign markets by establishing overseas branches operate here. To facilitate their growth, these companies require competent personnel and adequate business climate. The conflict in Ukraine and the pandemic have demonstrated the evolving needs of both employers and employees. The role of the local government is to monitor these processes and ensure the provision of optimal conditions for the development of shared service centers. Such centers effectively address the challenges

of the modern economy while also catering to the needs of the local community by creating favorable employment opportunities – stated Mayor Bogdan Wenta.

The engaging discussion was moderated by Wiktor Doktór, Pro Progressio CEO, who shed light on the global advancements in modern business services and also addressed the dynamic development and regionalization of the BPO and IT sectors in Poland.

The meeting concluded with a productive networking session, underscoring the importance of such initiatives that bridge the realms of local governance, education, and business. These collaborative platforms offer invaluable

opportunities to exchange experiences and foster innovative ideas for the continued growth of the sector.

Since 2017, Pro Progressio has been successfully organizing the highly anticipated The BSS Tour meetings series. Stay tuned for updates on the website as the upcoming events planned for the autumn of 2023 are announced: bsstour.com/en.♦

Grzegorz Baran, Regional Manager Poland at Transcom. Marek Ciunowicz, CEO of Corees. Anita Lagierska, Deputy Director of the Department of Entrepreneurship and Social Communication of Kielce City Hall. Photo: Kielce City Hall.
9 FOCUS ON Business | July–August 2023
Justyna Wojdak, Manager at KPMG (in the center).

Glasgow – the capital of Customer Experience

It was in 1998 when I first set foot in Glasgow, embarking on a business visit to explore the Scottish call center market. Back then, the customer service industry in Scotland was already flourishing, while in Poland, we were just beginning to catch the winds of change. I vividly recall how many banks were reluctant to shift from in-person customer service to telephone support at that time.

Fast forward 25 years, and today, nearly every major organization in Poland boasts its own or outsourced call center. It is worth noting that over the past quarter-century, the term "call center" has undergone significant transformations. Around the early 2000s, it morphed into "call contact center" and is now increasingly associated with the realm of "Customer Experience". This "Customer Experience", or more accurately, "Customer Experience management," has become the driving force behind companies addressing customer queries via phone and digital channels.

For the past four years, the slogan of "Customer Experience" has resonated through the conferences organized by Peter Ryan, Mark Angus, and Traci Freeman. I have had the pleasure to attend these noteworthy events, known as CXO (Customer Experience Outsourcing) twice. The first took place in September 2022 in Las Vegas, and the second, this year's edition, unfolded in Glasgow.

CXO stands as a unique conference that gathers specialized outsourcing companies in CX, advisory firms, technology and software providers for CX enterprises, HR agencies, and representatives of

organizations engaged in direct foreign investments. The proportions among these groups are meticulously balanced, ensuring an equilibrium between the so-called "givers" and "takers."

The choice of Glasgow as this year's venue was not arbitrary. The city is home to numerous companies immersed in CX processes, earning it the well-deserved recognition as the global capital of Customer Experience. CXO2023 attracted over 100 participants from all corners of the globe, all converging upon Glasgow. A prominent theme of the conference was the discussion on current trends in

BUSINESS 10 FOCUS ON Business | July–August 2023

nearshoring and offshoring, which are rapidly emerging on the global outsourcing map or solidifying their established positions.

For me, three countries emerged as intriguing discoveries: Honduras, Barbados, and Uzbekistan. While the Caribbean region is no stranger to the BPO industry, deep Asia is a relatively new player. Nevertheless, it was truly captivating to learn about the enticing opportunities these countries present to potential investors, particularly those hailing from the United States.

Apart from exploring emerging business destinations, the conference delved deep into the realm of artificial intelligence (AI). AI's prominence is on

the rise in the CX industry, permeating numerous companies and processes. I am convinced that within a matter of months, not years, we will witness the widespread utilization of AI in the BPO CX domain.

To add the finishing touch, the topic of human resources took center stage, focusing on the challenges posed by the global job market, which is increasingly embracing remote and hybrid work models. This crucial topic held a special Polish connection at the Scottish event, as one of the speakers was Katarzyna Piotrowska, the Managing Director of Cpl Poland.

The organizers, Peter, Mark, and Traci, curated an engaging program filled with insightful content, ample networking

opportunities, and even a delightful tour on a red bus through the streets of Glasgow. Many of the themes discussed during the conference are further explored in the CX Files podcast, which I wholeheartedly recommend.

Las Vegas witnessed the first chapter, Glasgow followed suit, and now, the next destination awaits, shrouded in mystery. All shall soon be revealed, but it appears that one of the captivating cities in North America will play host to the next chapter of this extraordinary journey through the realm of Customer Experience.♦

11 FOCUS ON Business | July–August 2023

Three IT events in Munich

The German Outsourcing Association (Deutscher Outsourcing Verband, DOV) recently concluded its highly anticipated annual IT Forum. In a surprising move, the event shifted its location from Berlin to Munich for the first time in its history, captivating attendees with its fresh approach.

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Under the banner of the Outsourcing Forum, this year's gathering showcased not just one, but an impressive trio of distinct conferences: the ICT Sector Development Conference, the IT Creation & Operations Germany Forum, and the European IT Services Delivery Forum. This new concept was met with enthusiasm by the international community, drawing participants from around the globe. For several years, DOV's events have served as a vital platform for knowledge exchange and forging international business relationships. The association's close collaboration with numerous countries in Africa, Asia, and the CEE region has exposed Germany to the diverse and often unexpected outsourcing opportunities offered by these nations. At this year's Forum, delegates from Ghana, Rwanda,

Egypt, and Palestine passionately highlighted the advantages of outsourcing collaboration.

However, the Munich conference was not solely focused on geographical expansion. Attendees were treated to engaging discussions on cutting-edge topics such as blockchain, cybersecurity, and IT talent management. These subjects, irrespective of their geographic context, are currently challenging and form key aspects of development strategies for countless companies worldwide. Among the notable takeaways from the conference were the following insights:

• Africa stands out as one of the world's fastest-growing job markets in the ITO and BPO sectors.

• Acquiring and retaining specialized IT professionals continue to pose significant challenges for the majority of companies, necessitating the utilization of outsourcing services.

• German enterprises actively seek business partners in both European and African markets.

The conference also welcomed the presence of Polish companies, exemplifying the increasingly widespread adoption of near- and offshoring strategies. Our editorial team encountered Polish firms leveraging the support of outsourcing companies in Vietnam and Ghana, further solidifying the global reach of the event. As the industry continues to evolve, the success of this year's event sets the stage for future groundbreaking endeavors.♦

13 FOCUS ON Business | July–August 2023

The PRS in Poland – can apartments for lease be an alternative?

The PRS, i.e. private rental sector, is a dynamically developing sector of the commercial real estate market in Poland. In the PRS formula, the owner of a residential building or, in some situations, even a complex of buildings, is a professional entity which leases them to end users.

The PRS does not only encompass “standard” apartments for lease since student dormitories, which are acquired and integrated into portfolios of institutional real estate investors (and which used to be operated by universities), ma naged by such investors directly or, at their request, by other professional entities operating in the commercial real estate market, are becoming more and more popular. With the aging of the population combined with the simultaneous growth of prosperity, private nursing

homes providing care for older people in a more modern formula are gaining popularity and becoming an investment product attracting interest from institutional investors.

At this time of housing shortage in Poland – it is estimated that Poland lacks around two million apartments –it seems that the PRS may be a “grassroot” initiative, i.e., private response to housing needs of families and (above all) young people. This demand will only grow because with the enrichment of

the society and social changes, a growing number of people have higher requirements as to housing standards and we see a stronger influx of people from “regional Poland” to voivodeship cities, including in particular Warsaw. This is also associated with a growing mobility of the society, in particular young people and students who do not become attached to living in one place. In view of such problems and challenges, it is particularly important that the PRS in Poland could develop as dynamically and steadily as possible.

The PRS does not only encompass “standard” apartments for lease since student dormitories, which are acquired and integrated into portfolios of institutional real estate investors
BUSINESS 14 FOCUS ON Business | July–August 2023

ADVANTAGES OF INSTITUTIONAL LEASE

From the perspective of an “end user” of the PRS, i.e., a tenant, institutional lease has many advantages, including:

• the certainty of the lease relationship is significantly greater than in case of lease from individuals. As long as the tenant pays the rent and observes the apartment rules and regulations he is basically sure that the landlord will not terminate his lease agreement,

• usually very good location with good transit options and proximity to services,

• amenities for tenants (such as professional technical services for the building, monitoring and surveillance, professional manager),

• predictability on the side of the landlord (for example, certainty that the deposit will be returned after the expiry of the lease term),

• clear lease terms,

• no broker’s commission,

• flexibility in meeting housing needs,

• high apartment standard and the possibility to lease fully furnished apartments ready to move in.

From the perspective of an institutional real estate investor the PRS is also very attractive since its development potential is still very high. It also seems to be a market segment more resistant to external events such as e.g. pandemics, than the hotel or retail sectors. While it is easy to imagine a situation in which a family decides not to go on expensive vacation and stay in a hotel or to shop in a shopping mall or a company reduces its office space, it is difficult to imagine a situation in which a family which does not own an apartment chooses not to lease any.

purchases of apartments or the second and subsequent property tax),

• doubts concerning the classification (from the construction law and zoning perspective) of apartment for institutional lease as a service or typical housing,

• no legal regulations related to the PRS,

• concerns and risks related to the possibility to collect rents from tenants in EUR (i.e. in the currency of foreign investors) instead of PLN.

These are just some of the advantages. The concept of “subscription apartments”, i.e. treating the place of residence as a flexible service which, depending on the current demand, may be adjusted to the tenant’s needs on an ongoing basis, is also growing in popularity. Furthermore, for many families and young people the growing costs of mortgage loan and the requirement to have a high equity constitute factors that not only make it more difficult but also prevent people from buying their own apartments and make the PRS a necessary but also attractive alternative. More and more people, including in particular young people, are changing their priorities in life, and attach less importance to “own” and more to “use”, which may consequently lead to the situation in which leasing an apartment is no longer a hard “necessity” but an informed “choice”.

Additionally, from the owner’s point of view, owning a project with a large number of tenants constitutes, on the one hand, a project management challenge, but on the other hand such number of tenants constitutes a specific “diversification” of income increasing its stability and certainty. With the development of the PRS in Poland it may be expected that it will be more and more mature, stable and professional, becoming even more attractive for tenants and landlords (investors).

PRS MARKET CHALLENGES

As any market segment, the PRS is not free from challenges. The most important problems slowing down its development and affecting specifically the PRS include: • unclear taxation rules (including vague announcements of the government concerning the tax applicable to “batch”

Meanwhile, it is the support rather than prevention of the development of the PRS that may result in a decrease of lease rents and therefore an improvement of the tenant’s situation. Attempts to impose additional taxes on the PRS may only produce an opposite social effect than intended, this is an effective “shift” of such costs onto tenants in the form of the lease rent increase.

The PRS is also affected by factors concerning the entire real estate market in Poland, such as: increase in prices of construction materials and costs, disturbances in bank loan market, including in particular difficulties in obtaining

For many families and young people the PRS is a necessary but also attractive alternative.
With the development of the PRS in Poland it may be expected that it will be more and more mature, stable and professional.
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financing, increase in interest rates, PLN/ EUR exchange rate fluctuations, uncertainty of the legal system, rising inflation or uncertain economic situation in Poland and in the world (as well as the current geopolitical situation). On the other hand, the influx of refugees into Poland further increased the demand for new apartments (in particular – for lease), and thereby created additional opportunities for the PRS.

GOVERNMENT POLICY VS. THE PRS

The government’s current declarations and actions which are supposed to be the answer to a housing crisis seem to focus on forms of support provided by the government or public institutions, and not private investors. Subsidies to equity for mortgage loans, loans on preferential terms, municipal and social accommodation (i.e., apartments owned by the municipality and leased on preferential terms) are only examples of programs, actions or declarations of the public sector intended to improve the housing situation in Poland.

Unfortunately, such actions are highly insufficient to regulate the availability of housing in Poland. With respect to the PRS it seems that not only do the government policy and announcements not dynamize the PRS but also slow down its development (for example, by chaotic announcements concerning forms of taxation in the PRS or the lack of any legal regulations directly applicable to this market segment). Interestingly, for some investors the lack of specific regulations applicable to the institutional

lease is an additional opportunity and not an obstacle since it gives more flexibility in acquiring land for construction of such projects.

After more than thirty years from the political transformation it is becoming increasingly apparent that the public sector’s actions alone are not sufficient to fully satisfy housing needs in Poland.

The PRS is no competition for the central and local governments’ programs; on the contrary, it could be its excellent complement, especially if the newly created institutional lease resources combined with public support could be partially used to implement housing programs addressed to people with lower incomes and at risk of social exclusion, for which social accommodation has thus far been the only option.

Therefore, it seems that the synergy of the public and private sectors would be an optimal solution, in particular through the creation of optimal economic, fiscal and legal environment for the PRS enabling its steady and dynamic development and reaching full maturity.♦

After more than thirty years from the political transformation it is becoming increasingly apparent that the public sector’s actions alone are not sufficient to fully satisfy housing needs in Poland.
BUSINESS 16 FOCUS ON Business | July–August 2023

Flexible working arrangements –a new institution in the Labour Code

The April amendment to the Labour Code within the implementation of Directive 2019/1158 (the so-called 'work-life balance directive') introduced several changes to employees' rights related to parenthood. They aim to make combining work and childcare easier for these employees. One of these changes is the addition of a new institution of so-called flexible work arrangements to the Labour Code (Article 1881 of the Labour Code).

The new regulation is intended for employees upbringing a child up to the age of 8. The legislator uses the criterion of upbringing. Therefore, what matters is whether the employee has permanent custody of the child and not whether they are connected with the child by biological kinship. Flexible working arrangements can, therefore, also be used by an employee who is not the child’s parent, including an adoptive parent.

Flexible working arrangements include solutions already known from the Labour Code:

• remote working

• intermittent working time system (Article 139)

• the shortened working week system (Article 143)

• the weekend work system (Article 144)

• the flexible working time schedule (1401)

The new regulation is intended for employees upbringing a child up to the age of 8.

• the individual working time schedule (142)

• reduction of working time.

Thus, the term stands for a collective name for such forms of work organisation which, depending on the employee’s life circumstances, may allow them to better reconcile the professional life with the caring and educational role. It is worth adding that the catalogue included in Article 1881 of the Labour Code is closed.

BUSINESS 18 FOCUS ON Business | July–August 2023

That means that under a flexible work arrangement, an employee cannot request to be employed, for example, under a task-based working time system.

The Labour Code had previously provided for the option to request the introduction of the above forms of work arrangement for selected groups of employees who raise children (cf. Art. 6719 par. 6 and 7 of the Labour Code and Article 1421 of the Labour Code). So what makes the new regulation different from the previous ones – apart from the age criterion of the reared children?

Apart from technical issues (such as the deadline for filing and processing the application), the critical difference lies in the extent to which the employer is bound by the employee’s application. The regulations of Article 6719 of the Labour Code and Article 1421 of the Labour Code already referred to above state that the employer may refuse to grant the request only if, due to the form of labour organisation, the work cannot be performed in the manner proposed by the employee. Meanwhile, in the case of flexible work arrangements, the employer assessing the employee’s request may also consider their own needs and possibilities.

According to the discussed regulation, the employer, when deciding whether to grant an employee’s request for flexible work arrangements, is obliged to consider the following:

• the employee’s needs, including the timing and the reason for flexible working arrangements,

• the employer’s own needs and capabilities, including the necessity of ensuring the normal flow of work, its organisation or the type of work the employee performs.

While the employer is aware of their own needs and capabilities, the reasons for requesting a particular form of work organisation must be disclosed by the employee. Therefore, when applying for flexible working arrangements, the employee shall indicate not only the child’s details, the period requested and the form of work organisation they have chosen. They should also name the reason for flexible working arrangements, i.e. explain why, from their perspective, the requested form is necessary to reconcile professional activity and child-rearing.

The separateness of flexible work organisation from other similar regulations is particularly eminent as the added Article 1881 of the Labour Code accumulated legal grounds for requests for certain groups of employees. It is the employee’s choice which legal basis they shall use to apply for the specific work arrangement.

The employer must consider the employee’s request to introduce a flexible work organisation and present their decision within seven days of receiving the application. In doing so, they may indicate a possible date for applying flexible working arrangements different from the requested one.

In principle, the employee should return to their normal working arrangements after the requested flexible work period has expired. However, an employee under the flexible working arrangements may request the shortening

of this period at any time. The request should be made and reviewed per the same rules as for the introduction of flexible working arrangements. The employee must therefore state why they wish to return to their regular working scheme sooner, and the employer shall weigh the interests of the employee and their organisation when considering the request.

The employee’s request for flexible working arrangements can neither constitute a reason for the termination of the employment contract nor its termination without notice by the employer. It also must not be a reason to justify preparations for termination or actual termination of employment with or without notice. However, this does not mean that the employment relationship of the employee requesting flexible work arrangements is protected against termination by the employer. The employee’s contract may still be terminated under the general rules. In the event of a dispute, however, the employer shall have to prove that the employment contract termination was motivated by a reason other than the request for flexible working arrangements.

As a side note, it should be noted that a breach of the flexible work organisation provisions constitutes a new offence punishable by a fine.♦

CHUDZIK i WSPÓLNICY Law and Taxes
The employee’s request for flexible working arrangements can neither constitute a reason for the termination of the employment contract nor its termination without notice by the employer.
19 FOCUS ON Business | July–August 2023

Transformation – How Leaders Effectively Transform Their Organizations?

We live in an era of rapid change and explosive technological development, which forces companies to constantly adapt to new conditions. Nevertheless, research shows that even 70% of transformation projects do not yield the expected results.

FACTORS SUPPORTING TRANSFORMATION PROCESS

Many diverse economic and social factors influence transformation processes. Digitization and technological development have been, and still are, one of the main drivers of change for centuries. Currently, we are witnessing a huge revolution related to generative artificial intelligence, which has permanently affected our work methods, all within a matter of weeks. Now we are facing a new revolution, which concerns universal connectivity between people, machines, and data in real time. We are observing rapid development of modern cyber-physical technologies, integrating computer systems with material processes. Such systems form the basis for creating autonomous machines, robots, and production lines.

Advanced data analysis techniques allow companies to more effectively utilize the vast amounts of information generated by the aforementioned systems. Ubiquitous sensors enable constant communication between machines, people, and infrastructure. The unprecedented amount of data, combined with increased computing power, is crucial. Thanks to

KEY GROWTH FACTORS

technological progress, companies are able to analyze and utilize this data to streamline their operations, increase innovation, and optimize processes. However, technology is not the only engine of change. According to the Global Risk Report by the World Economic Forum1, climate change is affecting the business world faster and stronger than anticipated. The report states that as many as five out of the ten largest threats to businesses are related to environmental issues. Leaders around the world must act to minimize the impacts of climate change on their organizations and take measures aimed at reducing environmental impact. We too are changing. Beyond technological and environmental pressures, human demographics are constantly evolving. Indeed, it is humans who are the largest factor shaping our planet. Today, we live, work, and cooperate with each other differently than 15 years ago. The increase in transportation and digital communication capabilities means that the world is connected like never before, and we must confront challenges

1 Global Risks Report, World Economic Forum, 2023

related to social and gender equality. The COVID-19 pandemic has permanently changed the way we work, and future demographic challenges, both on the scale of Poland and the entire world, will act as catalysts for undertaking transformation.

TRANSFORMATION

Digitization, globalization, climate change, social and market changes are just some of the factors that require companies to undergo transformation. We have not even mentioned such key issues as the war in Ukraine, the energy crisis, or the current shocks in the banking sector.

To succeed in the current times, it is crucial for companies to undertake a transformation that will allow them to adapt to dynamically changing market, technological, and social conditions. Transformation involves an organization achieving lasting, significant improvement in results while simultaneously changing the mindset of its employees, and consequently, the organizational culture. However, transformation is a complicated and difficult process.

Maturing of
technologies (Al, 3D Printing, robotics) Data analytics driving efficiency and new business models Unprecedented amount of data and increased computing power Ubiquitous sensors and detectors
new cyberphysical
BUSINESS 20 FOCUS ON Business | July–August 2023

According to research conducted by EY and the University of Oxford, as many as 70% of transformational projects do not deliver the expected results2. BCG reports that at least 75% of such initiatives do not achieve their intended goals in terms of generated value3 . Forbes reports that even $900 billion per year could be wasted on improper transformation projects4

The most common problems include lack of employee engagement, insufficient support from management, poor cross-functional collaboration, or lack of accountability. What’s more, maintaining the impact of transformation usually requires a significant change in mindset and behaviors – something few leaders are able to achieve.

Commonly encountered problems include lack of employee engagement, insufficient support from management, poor inter-departmental collaboration, and lack of accountability. In addition, maintaining the effects of transformation typically requires a significant change in mindset and behaviors, something few leaders are able to achieve.

We note that the most pressing issues are a persistent traditional approach, challenges related to organizational culture, 2 www.ey.com/en_gl/webcasts/transformationleadership-human-centric-change/whyputting-humans-at-the-center-is-important-fortransformation-success 3 www.bcg.com/publications/2021/how-companiesimplement-successful-transformation 4 www.forbes.com/sites/ forbestechcouncil/2018/03/13/why-digitaltransformations-fail-closing-the-900-billion-holein-enterprise-strategy/#16b68d437b8b

inadequate consideration of the human aspect of change, lack of proper preparation for change, and weak leadership. Most of these areas relate to change management and leadership, which are key elements of effective transformations.

BEST PRACTICES

Transformations often fail because leaders impose conditions and methods of transformation, underestimating that it’s their team that drives their activity. In the past, companies treated transformation as a task for one of the directors, instead of involving the whole organization in the process.

Companies try to introduce new technologies, products or services, based on the existing structure and culture of the organization, leading to conflicts and low efficiency. Leaders must understand that transformation is a process encompassing the whole organization, requiring the engagement and cooperation of employees at various hierarchical levels. Effective transformation is associated with shaping a culture of openness, cooperation, and continuous learning,

where all team members are motivated to share knowledge, ideas, and experiences.

To succeed, leaders must be ready to initiate changes, listen to employees’ suggestions, and adjust strategies as the situation changes. Transformation is not a onetime event, but rather an ongoing process that allows the organization to continuously adapt to evolving market, technological, and social conditions.

A key element of facilitating and leading transformation initiatives is agility, which involves making decisions quickly. In the face of dynamic changes, one cannot wait for the perfect solution, but instead, we should encourage and shape systems of accountability and employee proactivity.

Agility requires a non-hierarchical organization structure. In traditional companies, decisions are made by top management, but this is no longer sufficient in today’s times. We must ensure that decisions are made at various levels of the organization, and employees have the freedom to decide.

Another key aspect is continuous learning. Organizations must be ready for constant improvement of their employees’ skills and knowledge. It’s important to develop talents and promote innovative ideas. Experimenting with different methodologies, practices, and technologies becomes essential.

Leaders must understand that technological changes bring new challenges and opportunities for business. Companies that don’t keep up with these changes may be pushed to the margins. It’s important to fully understand what new tools are available, how they work, and what benefits they bring, as well as the risks and potential consequences associated with their implementation. Leaders must also understand the impact of changes on their organization and culture. Knowing what skills will be needed in the future, what qualifications will be key for employees, and what processes need to be changed will allow the organization to achieve a competitive advantage.♦ Author

Transformation involves an organization achieving lasting, significant improvement in results while simultaneously changing the mindset of its employees, and consequently, the organizational culture.
21 FOCUS ON Business | July–August 2023

Harnessing the untapped potential of data for business success

Ever wondered how some businesses manage to turn a seemingly endless stream of data into a treasure trove of insights? The key lies in the hands of Power BI developers, who transform complex information into digestible, actionable knowledge.

In this article, we will discuss the role of Power BI developers in modern business and why they are critical in driving success. We will also explore the skills and responsibilities required of Power BI developers, the impact they have on business performance, and their potential for future growth.

With the increasing amount of data generated by businesses, there is a growing need for professionals who can process, analyze, and present that data in a meaningful way. The role of a Power BI developer is essential in this context, and the following sections will explore this further.

POWER BI: TURNING RAW DATA INTO A STRATEGIC ASSET

Power BI is a business analytics tool developed by Microsoft that enables businesses to transform their data into visually appealing reports and dashboards. Power BI developers, the creative minds behind these informative visuals, equip businesses with the insights they need to make informed decisions based on datadriven evidence.

THE CORE COMPETENCIES AND RESPONSIBILITIES OF POWER BI DEVELOPERS

Power BI developers possess a diverse array of skills and responsibilities, including:

• Profound understanding of data analysis concepts (data modeling, data mining, and data visualization)

• Expertise in deciphering large datasets to reveal trends, patterns, and insights

• Proficiency in the Power BI platform and related tools (DAX, SQL, and Microsoft Excel)

• Mastery of data warehousing concepts and programming languages (JavaScript, HTML, CSS, and scripting languages such as PowerShell)

• Outstanding communication skills to facilitate seamless collaboration with stakeholders (business analysts, data scientists, project managers).

• Troubleshooting challenges related to data, reports, and visualizations

• Cooperating with developers, data scientists, and analysts to maintain data consistency and accuracy

• Keeping pace with the latest developments in the Power BI platform and related tools.

In summary, Power BI developers play a critical role in enabling businesses to gain insights from their data and make informed decisions based on those insights. To be successful in this role, Power BI developers must possess a wide range of skills and have the ability to collaborate effectively with stakeholders.

POWER BI DEVELOPERS: CATALYSTS FOR BUSINESS PERFORMANCE

By developing visualizations and reports that can be easily understood by stakeholders, Power BI developers enable businesses to make data-driven decisions that can have a significant impact on the bottom line.

Their broad range of responsibilities encompasses:

• Crafting data models, reports, and dashboards using Power BI's capabilities

• Attuning to stakeholders' needs, gathering requirements, and understanding their objectives

• Refining data models and reports for performance and scalability

Power BI developers help businesses identify new opportunities for growth, improve operational efficiency, and reduce costs. By providing real-time insights into business performance, they enable stakeholders to make quick decisions that can have a significant impact on the business. Power BI developers can also help businesses identify potential risks and threats by analyzing large datasets and identifying patterns and trends that might otherwise go unnoticed. This enables businesses to take proactive

BUSINESS 22 FOCUS ON Business | July–August 2023
Power BI developers, the creative minds behind these informative visuals, equip businesses with the insights they need to make informed decisions based on data-driven evidence.

measures to mitigate these risks before they become a problem.

Moreover, Power BI developers enable businesses to be more agile and responsive to changes in the market. By providing real-time insights into business performance, they enable stakeholders to make quick decisions that can have a significant impact on the business. In addition, they can help businesses identify potential risks and threats by analyzing large datasets and identifying patterns and trends that might otherwise go unnoticed. This enables businesses to take proactive measures to mitigate these risks before they become a problem.

• Minimizing costs

• Delivering real-time insights for agile decision-making

• Identifying and mitigating potential risks and threats through extensive data analysis.

THE RISING DEMAND FOR POWER BI DEVELOPERS

HOW CAN WE HELP?

Having completed the theoretical part, I will now present example of my actions that helped in business. Once, when I was still at the beginning of my business intelligence journey, a colleague from the finance department asked me for help. It was about a report that they prepared for the company's management every month. It was the essence of sales data that showed the company's condition in black and white. For the finance department, it was a really time-consuming report that took my colleague the whole day to prepare. First, they extracted data by exporting it from various sessions of the ERP system. Then, data from many obtained tables were combined. Business logic, various types of data filtration, and calculations were added to it. Various pivot tables and charts were prepared from this prepared table. Approximately 10 visualizations that were required by the management. I would like to add that everything was done step by step in Excel.

Power BI developers play a pivotal role in shaping business performance by designing easily understandable visualizations and reports that enable datadriven decision-making, positively influencing a company's bottom line. Key business benefits include:

• Uncovering new opportunities for growth

• Boosting operational efficiency

As the volume of data generated by businesses continues to soar, the demand for professionals who can process, analyze, and present data in a meaningful way will only increase. Consequently, the role of Power BI developers becomes increasingly crucial in driving business success. The skills and responsibilities of Power BI developers are varied and require a wide range of technical and soft skills, including data analysis, technical and programming skills, and communication skills. They must collaborate effectively with stakeholders such as business analysts, data scientists, and project managers.

We started with a few joint meetings so that I could understand the business logic. Next, using Power Query, I connected to the database from which I could extract data and made all the necessary data transformations and table connections using this tool. Then, thanks to Power BI, I recreated all the visualizations in a slightly more eye-pleasing form. I prepared two versions of the report. The first was dedicated to the management, refreshing itself with the financial closing of the month and automatically saving to PDF format. The second refreshed itself daily to keep track of sales data in real-time.

It took me only 16 hours, twice as long as my colleague took to prepare it, but looking at the scale of the year, she now had an additional 12 days that she could spend on other activities. I also know that this report is still used today, and several years have passed. We can see here how business intelligence solutions translate into time savings and, consequently, cost savings.♦

Power BI developers enable businesses to be more agile and responsive to changes in the market.
23 FOCUS ON Business | July–August 2023
With the increasing amount of data generated by businesses, there is a growing need for professionals who can process, analyze, and present that data in a meaningful way.

The startup survival guide: Why resilience matters more than ever?

The business world is no stranger to metaphors, and one particularly apt description circulating in venture capital circles is the "VC Winter". This intriguing term, redolent of frosty landscapes and survivalist challenges, encapsulates a significant reality for startups seeking investment capital. But what exactly does it entail? Let's dive deeper into this chilly metaphor to understand its profound implications.

In the 2/2023 edition of FOCUS ON Business, the topic of identifying and properly utilizing the VC Winter phenomenon was raised. Continuing this thread, this article will focus on the subject of building resilience in startups.

In its essence, a “VC Winter” signifies a time when securing venture capital becomes akin to traversing a harsh, frozen tundra. Investment dollars become as scarce as food in winter, and the startup ecosystem transforms into a survivalist landscape. These ice ages in funding are not sporadic blips on the radar. They can be triggered by a variety of factors, such as sweeping economic downturns, industry-specific bubble bursts, or even paradigm-shifting regulatory changes. But this ice age is not an insurmountable curse. It’s a crucible, a forge that tests the mettle of each startup and tempers its strengths. It is during these frosty times that the necessity for resilience crystallizes, becoming as clear as the ice that encases the ecosystem. Resilience is the heat that melts the ice, the beacon that lights the path through the blizzard, the crucial trait that empowers startups to not only survive the VC Winter but to emerge from it stronger, leaner, and more formidable than before.

So, as we delve into this topic, remember: while the VC Winter may seem daunting, it is also a time of profound growth and evolution. The chill of adversity breeds resilience, and it is this resilience that will enable startups to weather the storm and welcome the eventual

thaw with renewed vigor and a sharper edge. With the stage set, let’s explore how startups can foster resilience in the face of an unyielding financial winter.

down to the chilling winds of financial droughts. It is this resilience that fuels the engine of innovation.

WHEN THE WELL RUNS DRY: THE REALITIES OF STARTUP LIFE IN A FUNDING DROUGHT

THE POWER OF PERSISTENCE: UNDERSTANDING RESILIENCE IN THE STARTUP CONTEXT

In the frosty conditions of a VC Winter, resilience isn’t just beneficial – it’s vital. It’s not simply about weathering a storm, but thriving amidst its powerful gusts. Within the startup domain, resilience equates to the capability to pivot strategically, adapt swiftly to market dynamics, and uphold a steadfast commitment to the core mission.

However, the concept of resilience goes beyond operational tenacity. It weaves into the cultural fabric of a startup, fostering an environment imbued with optimism and forward-thinking. In such an environment, failures are not viewed as roadblocks but as stepping stones, providing valuable lessons that shape the path to success. Resilience is the embodiment of that indomitable entrepreneurial spirit that refuses to bow

When a VC Winter hits, the harsh realities come into sharp focus. Startups find themselves faced with a profound paradox: just when they need funding most, it becomes hardest to find. The financial constraints can have far-reaching impacts – budget cuts may be enforced, valued employees may be let go, product development may be stalled, and in extreme scenarios, the company might face the prospect of closing its doors. In this climate, startups must steer away from a relentless pursuit of growth and instead shift their sights toward sustainability and survival. This requires placing a microscope on unit economics, bolstering revenue streams, and exercising stringent cash flow management. Navigating this frozen landscape necessitates resilience, strategic foresight, and an unflinching commitment to problem-solving and innovation.

RESILIENCE IN ACTION: PROVEN TACTICS FROM THE STARTUP BATTLEFIELD

Faced with the harsh environment of a VC Winter, resilience becomes a lifeline. But how can startups cultivate this invaluable trait? Here are some battle-tested strategies, born from the trenches of the startup world:

“VC Winter” signifies a time when securing venture capital becomes akin to traversing a harsh, frozen tundra.
BUSINESS 24 FOCUS ON Business | July–August 2023

1. Lean Operations: Startups should endeavor to trim the fat, creating a lean, efficient organization that can operate even under constrained resources. This could involve automation of repetitive tasks, outsourcing non-core activities, and adopting a frugal mindset without compromising the quality of output.

2. Embracing Agility: In an era of constant change, agility is crucial. It involves cultivating an organizational culture that can pivot quickly, embrace change, and continually learn and improve. From iterative product development to flexible work practices, agility helps startups navigate unexpected roadblocks and seize emerging opportunities.

3. Customer-Centricity: In times of economic stress, customer retention becomes vital. This can be achieved by relentlessly focusing on delivering exceptional value, understanding and addressing customer pain points, and fostering deep, meaningful relationships. This not only ensures a stable revenue stream but also builds a loyal customer base that can weather the storm alongside the startup.

4. Financial Prudence: A key survival tactic during a VC Winter is to maintain a firm grip on the financial reins. This involves establishing stringent financial controls, focusing on cash flow management, and emphasizing profitability over blind pursuit of growth. While this may require difficult decisions and sacrifices, such fiscal responsibility can make the difference between sinking and swimming when the financial seas turn rough.

5. Innovation: An innovative mindset is the lifeblood of a resilient startup. This means constantly looking for fresh solutions, whether they relate to product offerings, services, or business models. It’s about challenging conventional wisdom, testing new approaches, and staying ahead of the curve.

THROUGH THE FROST: REAL-WORLD EXAMPLES OF STARTUP RESILIENCE

Concrete examples of startups triumphing over the harsh conditions of a VC Winter provide inspiration and valuable insights.

Airbnb’s story is one of such resilience. When faced with the 2008 economic downturn, instead of surrendering

to adversity, they sold novelty cereal boxes to fund their operations. Today, Airbnb stands as a dominant player in the hospitality sector.

Salesforce, too, displayed impressive resilience during the dot-com crash. Instead of being paralyzed by the grim economic climate, they turned their focus towards customer-centricity. They meticulously honed their Software-as-a-Service model to deliver value that customers couldn’t ignore, ensuring their loyalty and the company’s survival.

Further, let’s consider the story of Slack. Originally a gaming company named Tiny Speck, faced a major setback when their flagship game didn’t gain traction. But rather than closing shop, the team pivoted and transformed their internal communication tool into Slack, which is now a leading platform for business communication, especially in tech companies.

Finally, there’s the inspiring example of SpaceX. In the midst of a financial crisis, Elon Musk’s space venture was on the brink of bankruptcy. But rather than conceding defeat, they dug their heels in and managed to successfully launch

the Falcon 1 rocket on their fourth attempt, securing a vital NASA contract and saving the company from the brink of collapse.

These compelling narratives showcase the transformative power of resilience. It’s not simply about weathering the storm – it’s about spotting the opportunities hidden within adversity and having the courage and resourcefulness to seize them.

NAVIGATING BEYOND THE COLD: RESILIENCE AS A ROADMAP FOR STARTUP GROWTH

As we traverse the ever-evolving landscape of the startup ecosystem, the roadmap to success is being continually redrawn. It’s no longer just about disruptive ideas, or an uncompromising focus on growth. It’s about demonstrating resilience when confronted with adversity, embracing uncertainty, and adapting to change with agility and grace.

So, as we navigate through the ice age of funding, remember: every winter eventually gives way to spring, but it is those who persist and adapt that will greet the thaw poised for growth, ready to flourish in the new season.♦

25 FOCUS ON Business | July–August 2023

First class interpersonal skill in project management

Everyone who has ever tasted being involved in the project knows, that this work environment is the most variable and unpredictable. In the world where the only thing you know for sure is a change, you must be adaptive, calm and use top-notch interpersonal skills.

What is absolutely required except from creativity, flexibility and teamwork?

Of course, communication skills. This competence needs to be on sincerely superb level as each project member is required to be both fast and direct when it comes to exchange critical information. You may ask, why exactly? The answer is quite simple. Fluent data flow minimizes stops in the project and helps group members to feel less frustrated in this variable environment. At the head of this information mess is the project manager, for whom the highly developed ability to communicate must be in blood.

CLEAN THE MESS

As in different companies, employees often use slightly different vocabulary and in extreme situations use the same words to name different processes/data/positions etc. It is valuable to start a project by getting to know the environment and create a kind of a glossary. Taking over the vocabulary (especially abbreviations) from our former employers is a natural process, so starting with creation of common communication platform is a must. As common examples you could hear about PM used as both project manager or product manager and PO used as product owner or

purchase order. After making sure there is common understanding among project stakeholders, there is a room for other communication interventions.

USE THE BROAD SPECTRUM OF COMMUNICATION CHANNELS

To make sure you are doing your best to gather all necessary data and feedback, and spread all crucial information among project members, do not limit yourself to calls and e-mails. You can choose from broad spectrum of communication channels. You are only limited by your imagination.

Face to face discussions E-mails Calls Summary sessions Discussion groups Presentations Brainstorming sessions Trainings Short notes Project millestone meeting Workshops Informal meeting during coffee break Newsletter BROAD SPECTRUM OF COMMUNICATION CHANNELS BUSINESS 26 FOCUS ON Business | July–August 2023

BECOME AN INFORMATION GATEKEEPER

Being a project manager equals dealing with continuous large amount of information avalanche. It is not necessarily only correct and relevant data flood. This is why the ability to filter out information before spreading it to project members is inevitable.

In the most common project structure, project manager is receiving input from steering committee, project director as well as all team members involved in the initiative. It is crucial to decide what data to spread to each level, what could be misleading and should be omitted, how to organize and edit it to be clearly understood by every stakeholder. It requires not only broad knowledge and helicopter view of processes and business relations, but also high-level organizational

EXAMPLE OF COMMUNICATION PROJECT FLOW

Project Director

Project member

Project member

Project member

Steering comitee

Project Manager

skills not to be sunken in the information ocean.

Remember to be flexible and use different platforms for communication, depending on the current need and situation. At the end, not only filtering out data and spreading it is principal. You

Project member

Project member

Project member

must not forget about ensuring yourself all parties understood information and knows what is required from them at the moment. To do so, always require feedback, for which you can choose from plenty of communication channels.

27 FOCUS ON Business | July–August 2023
Being a project manager equals dealing with continuous large amount of information avalanche. It is not necessarily only correct and relevant data flood.

GATHER THE FEEDBACK

As the proactivity is always appreciated, gather feedback using different platforms, such as surveys or feedback sessions (group/face to face). Remember to use as many open-ended questions as possible, to provoke sincere answers and build engagement in fulfilling the survey. Thinking about omitting this step as you have too many other tasks in project?

Look what you can lose…

ENHANCE THE ART OF CONVINCING

All projects bring a change to the organization. New tool, new structure, new process, new responsibilities, everything new… it can arouse both curiosity and fear. In the project reality, not all parties are at the beginning highly motivated to proceed with a change. They will go from denial stage, through doubt to finally reach acceptance phase. That is totally normal and the sooner we learn to recognize those patterns of behaviors and manage it, the more efficiently we will achieve our goals.

First, we need to make sure all stakeholders understand what we are trying to reach and why this change is important to the organization they work for. Understanding the project goal is a proper start to accomplish it. But what about

motivation? Setting clear goals is enough?

Unfortunately, it is not. Luckily, there are certain tricks you can use to motivate stakeholders to help us and work according project expectations. Following them all will bring you one step closer to reaching the desired goal.

A FEW WORDS AT THE END

If you identify an area which can be enhanced, there are plenty of trainings, articles and working groups on the market you can use. Working on communication is for everyone and is an endless adventure for sure. Invest in yourself and you will not regret it.♦

TRICKS TO MOTIVATE PROJECT MEMBERS

Start with building trust and engagement by getting to know each other

Be transparent and sincere

Set clear goals

Listen and react

Take into consideration all ideas

Appreciate every effort

Provide with necessary knowledge and tools

Author
ADVANTAGES OF GATHERING FEEDBACK DURING PROJECT New ideas Building engagement Different angle of undenstanding current issues Possibility to react and mitigate the upcoming risks
BUSINESS 28 FOCUS ON Business | July–August 2023

A Polish R&D based project is revolutionizing food industry

Fresh produce industry faces global challenges which make it harder to obtain good quality products. Can an innovative, science-based project provide solutions? We talk to Łukasz Maciak, the founder and CEO of Bioponic Farm, in order to learn about aquaponics – an innovative, no-soil and chemicalsfree cultivation technology that enables sustainable production of healthy food all year round.

Dymitr Doktór, FOCUS ON Business:

Scientists are ringing alarm bells –future generations will face food shortages. Food is becoming more and more expensive, something we experience in our shopping carts on a regular basis. You've been studying the market for many years. Do you think food shortages are a genuine concern?

Łukasz Maciak, Bioponic Farm (formerly PlantLab): I think we won’t run out of food – at least for the time being; it’s the quality that will drop quite dramatically. Globally, nearly one billion people are starving and it has been like that for years. Europe, however, may soon run out of... fresh produce. We’re talking vegetables and fruits produced on a monthly basis. During the growing season, they are supplied by domestic farmers.

directly affects the amount of fertilizer used by farmers. Some of them reduced fertilization by up to 50%. High fossil fuel prices prevented greenhouse farmers from starting production earlier. This meant that the final price you saw in the supermarket skyrocketed.

The other side of the same equation is that we turn to imports and bring in cheaper food from Spain or African countries, such as Morocco – retail chains stock their warehouses with goods coming in from that direction all year round.

At the same time, the COVID-19 pandemic exposed fragility of global supply chains and its immense impact on local prices as well as availability of food, especially fresh produce. We have closed borders, introduced controls, and quarantines. We experienced problems with timely delivery of food, issues surrounding its logistics, as well as maintaining its freshness. This experience can’t go to waste.

I want to highlight. A Polish potato of the highest quality costs 0,2-0,3 PLN when bought from a farmer. The retail cost is 10 times higher. So, in the end, we import products of inferior quality, which no one in the West would buy. Can we not spend our hard-earned any better?

spend our hard-earned any better?

And our best products are West-bound at the same time.

Poland is strongly dependent on seasonality, that’s a well-known fact. The season itself is short and weather plays a crucial part. 2022 showed a clear link between an increase in fuel and gas prices and its impact on production costs of nitrogen fertilizers. And that, in turn,

How do Polish businesses and entrepreneurs within the food sector approach these challenges? Is production of very expensive food – quite often unaffordable – the only solution they are left with?

The production itself is not as expensive as you may think it is. Let me focus on data covering the Polish market only. By the way, we waste nearly 5 million tons of food annually. The potato market is a good microcosm for what

That’s correct – Polish products end up abroad. The cycle is complete when fruits and vegetables no conscious customer in the West would buy end up in Poland. This is an issue we have faced for a long time.

But there is light at the end of the tunnel. We are safe because we have a lot of arable land and a large number many farmers. No large enterprises – we’re talking smaller farmers with diverse production. They’re also fairly dispersed. In terms of geography, however, Poland is far from Spain or Morocco. Thus, from an economic standpoint, large scale export is not a viable option.

Europe may soon run out of... fresh produce. We’re talking vegetables and fruits produced on a monthly basis.
BUSINESS 30 FOCUS ON Business | July–August 2023
In the end, Poland imports products of inferior quality, which no one in the West would buy. Can we not

I strongly recommend learning the story behind Almeria, a Spanish province which is the largest food producer in Europe. There’s a massive white patch of plastic covering the east end of the Iberian Peninsula which is actually visible from space. According to estimates, the enormous greenhouses located there farm up to 95% of fresh produce for Europe. Only a few of us know that water shortages happening mere 50 kilometers from its borders are so severe that it is necessary to deliver it by tank trucks. Regional authorities are struggling with a genuine hydrological problem. Demand for fresh water in this area is so high that Almeria will have to halt production in the next 5 to 10 years. This is predatory economy.

Let’s turn to local farming for a moment. In the event Spain can’t keep up its production levels, then Poland is equipped to cover its local market. It is Germany or the Scandinavian countries that I feel sorry for. Having said that, I’m aware of the way global markets operate so I know that rich countries will get by –at the expense of poorer countries, that is.

Bioponic Farm, previously known as PlantLab, was established in 2016.

What was the main goal you had in mind when launching this project?

My top priority was to produce healthy food. This is something I find very important as I suffer from a number of allergies. It is the dubious quality of fruits and vegetables caused by soil contamination (overfertilization, spraying, heavy metals, etc.) that contributed to making allergies a disease of civilization. It’s all really rather simple: by spraying plants (which protects them from pests, weeds or bacteria) the soil accumulates all the unhealthy elements. Then the plants absorb them and the cycle is complete.

At Bioponic Farm, the season is 12 months long. We produce the highest quality lettuce, which goes on sale 3 hours after picking.

Tell us a bit more about the production system. What is the technology behind it?

It’s called aquaponics. Bioponic Farm is the only company in Europe in the vertical aquaponics segment. Aquaponics is a type of soilless cultivation –not even an ounce of soil is used. I would like to highlight this as soil is the most unreliable element in the entire process.

From the business standpoint, I wanted to build a technology that focuses on repeatability and continuity when it comes to producing healthy food. This is how the idea of closed spaces came about. This, in turn, allows to return arable land to farmers, who can use it for grain farming.

That’s because plants absorb nutrients from soil during the growing season, and that fact depletes soil. In addition, soil accumulates various harmful components. Therefore, we managed to remove the most unstable element and focused on water which now carries minerals for plants and thus provides them with their most basic nutrient.

BUSINESS 32 FOCUS ON Business | July–August 2023
Bioponic Farm is the only company in Europe in the vertical aquaponics segment. Aquaponics is a type of soilless cultivation – not even an ounce of soil is used.

Hydroponic crops exist, too, and they are a lot more common. Most of the greenhouse-produced lettuces bought in Poland come from hydroponic crops. You could say that they were also floating in water. However, we went a few steps further.

First of all, we decided to use fish, and specifically the effects of fish metabolism (after nitrification), in order to obtain fertilizer in a natural way. That means we do not have to rely on any artificial fertilizers, and we do not use any chemical plant protection products because we have isolated crops from all external factors.

Another innovation is that we developed aquaponic vertical cultivation. In essence, we have increased the cultivation area many times over. Thanks to high-storage racks, we use as much as 11 m2 per 1 m2 of space.

Our water is in circulation for 365 days. It passes through the plants, then it returns to the fish in order to be saturated with minerals, and goes back again – it’s a closed cycle. Additionally, we have created a sophisticated microclimate maintenance system which condenses water from air, sterilizes it, and transfers the water to the main water circuit.

Let me illustrate this with an example –at least 250 liters of water are required to produce a single lettuce in normal field conditions. We require less than 0.5 liter to do the same.

We buy carbon dioxide which we treat as a natural booster. We feed the plants and generate no emissions, which genuinely solves outstanding issues. This installation can be built anywhere in the world; even in city centers and urban areas, where reducing carbon footprint is of particular importance.

the market, together with our partners –the Institute of Horticulture in Skierniewice and the Department of Ichthyobiology and Fisheries of the Polish Academy of Sciences in Gołysz – we have finally received a grant intended for the construction of a pilot installation. This is a laboratory installation, because we are constantly testing and studying different plant varieties that we’d like to produce. Among them are lettuce, chicory, arugula. We will be able to produce any type of food in such a venue in the future.

Bioponic Farm is a biotech company where collaborating with scientists is part of your modus operandi. How long did it take to implement this project?

It took us 8 years to properly prepare and keep improving the method. Naturally, this is an ongoing endeavor which continues to evolve. After years of trials and a number of unsuccessful attempts to introduce our technology to

That’s why I’m confident our company solves all the challenges we spoke about earlier.

Farming of the future – is that what’s happening here?

You’re right, this is farming of the future. It’s quite shocking that in order to produce healthy food we have to get away from nature. Producing healthy

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It’s quite shocking that in order to produce healthy food we have to get away from nature. Producing healthy food, with no chemical additives, now requires locking oneself inside a hall and isolating from nature.

food, with no chemical additives, now requires locking oneself inside a hall and isolating from nature.

It seems to be a technology-heavy and demanding business, but fairly profitable at the same time.

If you find your niche it can be very profitable. The fact Poland is importing so much food means prices are very high during the off-season. Also, they’re in transit for a few days before reaching the end customers, which means they are not as fresh anymore. Our produce can reach end customers located in a 150-kilometer radius within 2 to 3 hours, and we can deliver to every part of Poland within 6 to 10 hours. The lettuce we produce does not stop at warehuoses and our delivery trucks do not queue at border crossings.

Bioponic Farms can transform every large city in Poland and in the world into an independent entity, completely free of external supplies. I believe the future will prove it.

So, large food corporations – beware?

They should not be afraid of us because we’re not trying to compete with them. They will want to talk to us as soon as they understand what they get in return for working with us. Let’s not lose sight of capacity differences. Bioponic Farm is capable of producing 6 million lettuces per year as of today, whereas one of the retail giants sold approx. 170 million lettuces in 2022. It's a completely different ballpark.

Bioponic Farm is a pioneering idea, both in terms of the system as well as the business formula behind it. Research is a crucial part of your activities. Are you more of a scientist or a businessman on a daily basis?

Actually, I believe the term ‘visionary’ describes it best. I have a broad view of the entire operation, the company, the process we’re executing. Indeed, we have completed the installation but, in the meantime, we have modified many of its building blocks. And then there’s bureaucracy which – let’s be honest – really does not make life any easier for us. No one has farmed in such halls before so we have to pave the way.

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Only one real estate developer agreed to have our system installed in on their premises. As a result, they now have something completely new and, dare I say it – quite unprecedented. We utilized space in a high-storage warehouse in a totally different way to your run-of-the-mill storage of goods; and it turns out that we’re producing excellent lettuce. Speaking of quality, test results confirm that the lettuce we produce is the cleanest in the world. This is a testament to all the efforts and hard work we have put in. Despite introducing many modifications, we are constantly adding new ideas. Scientists working with us are proactively coming up with solutions to the problems we’re facing, always thinking of ways to improve the system. I know that we have fantastic potential, but I’m very aware of the fact that we do not have a readymade solution for every problem coming our way – it’s all a learning curve.

What about funding? Have you, like many Polish companies and startups, found it difficult to secure it?

Indeed, we’ve had significant funding problems in the past, but the external grant we have received finally put an end to this. We have found an investor who believed in us and in the project. And, suddenly, a trio of doom came along – the COVID-19 pandemic, rising inflation, and the war in Ukraine. All three had an impact on our financial standing, however we are definitely still in the game and carrying on. This project is our life.

Fingers crossed we’ll soon be able to unveil full-scale production capabilities. Our product is ready, it meets all requisite conditions. The feedback we’re getting is extremely encouraging as customers are delighted with our produce. They love its quality, tenderness, replicability, taste. I would even go as far as to say that it’s not even the technology but the lettuce that speaks volumes (laughs). Why not trying it for yourself!

Another hall in the future?

That’s the plan.

I keep my fingers crossed for you. Thank you very much for the conversation.♦

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AI-powered personalization: The future of customer experience

To stay ahead and meet the rising demand for personalized customer experience (CX), businesses need to implement next-generation customer engagement strategies. AI-based solutions in contact centers improve CX, employee performance, and overall operational efficiency. Recent AI developments – like automation, data analytics, sentiment analysis, and machine learning (ML) –enhance personalization without sacrificing time or resources.

This article explores AI’s functions that enable personalized CX in contact centers, the benefits of adopting this approach, current sector-specific examples, and potential future applications. It also discusses some limitations and potential solutions for business leaders to consider.

IMPROVED CALL MANAGEMENT AND CX

AI-enabled automation and personalization can strengthen both the customer and employee experience by reducing the burden of mundane and administrative tasks on human agents.

By minimizing the time agents spend on basic tasks, employees can focus on delivering value-added conversations that improve CX and foster loyalty. Additionally, data analytics can enable identification of pre-existing customers and their requests, providing historical data that enhances engagement and avoids unnecessary repetition.

Implementing sentiment analysis can further enhance CX by providing valuable, real-time insights into customer emotions and attitudes. Tone, language, and sentiment expressed during customer

Firstly, it prioritizes employee wellbeing by empowering call center agents with intelligent tools that analyze realtime customer data. This enables them to deliver tailored and empathetic CX, which boosts customer satisfaction while reducing stress and fatigue among agents. As a result, job satisfaction and overall wellbeing increase.

The use of AI analytics also helps identify patterns in customer behavior, enabling optimized service offerings. These operational efficiencies lead to reduced call-handling time and improved performance.

Similarly, sentiment analysis provides oversight of recurring issues in customer – agent interactions, empowering leaders to address and resolve common customer pain points.

One effective solution is the implementation of AI-enabled chatbots, which can handle routine inquiries and provide instant responses that decrease waiting times and increase customer satisfaction. With the help of ML algorithms, more complex situations can be escalated and/ or routed to the most appropriate agents based on their expertise, ensuring that customers receive the best possible assistance.

According to customer surveys, 77% felt that AI-enabled chatbots were helpful for resolving simple issues, and 76% agreed that they provided faster responses.1

1 Zendesk CX Trends 2022 report.

interactions can be recorded and analyzed by AI to swiftly identify dissatisfaction that needs addressing. Agents are also able to better gauge customers’ emotional states, which supports them to engage with more empathy, driving personalized and beneficial interactions.

BUSINESS DECISION-MAKING AND OPERATIONS

AI-powered personalization also brings significant advantages across employee wellbeing, business operations, and cost savings.

Lastly, AI-powered personalization generates substantial cost savings. Automation of repetitive tasks and increased agent productivity results in improved handling of higher call volumes, without requiring agents to work overtime or having to recruit additional staff. Additionally, AI chatbots and virtual assistants (VAs) operate 24/7, which reduces the need for round-the-clock human support.

Given the advantages to call management and overall customer experience, 91% of large organizations expect to increase their budgets for AI and data analytics to improve operations and customer care.2

2 NewVantage Data and AI Leadership Executive Survey 2022.

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According to customer surveys, 77% felt that AI-enabled chatbots were helpful for resolving simple issues, and 76% agreed that they provided faster responses.

CHALLENGES, LIMITATIONS & SOLUTIONS

AI-powered personalization is undoubtedly beneficial, but it also has its challenges. One significant limitation is the potential for over-reliance on AI algorithms, which can result in a loss of human touch and empathy in customer interactions. AI may struggle to fully understand and address nuanced emotional needs, leading to customer dissatisfaction.

while human agents manage complex and emotionally sensitive situations. Furthermore, call centers can implement processes to obtain customer feedback on their personalized experiences, which can be leveraged to improve the accuracy and adaptability of AI algorithms.

FUTURE OF AI-POWERED PERSONALIZATION

AI-powered personalization has already made significant strides across various sectors.

Moreover, ensuring the technology can adapt to rapidly changing customer preferences and behaviors poses challenges. AI relies on historical data to make predictions and recommendations, which may become outdated or irrelevant as time goes on.

To address these limitations, call centers can adopt an AI–human hybrid approach. AI can handle routine queries,

Another limitation is the risk of biased decision-making. AI algorithms learn from historical data that may contain human biases and prejudices and, if not carefully monitored and adjusted, these biases can be perpetuated in the personalization process, resulting in unfair treatment/exclusion of certain customer groups.3 Ongoing monitoring and comprehensive data quality controls are necessary to identify and mitigate bias in AI models, and striking the right balance between AI automation and human involvement is crucial.

Additionally, effective change management and data-quality maintenance are essential for successful AI implementation. Ongoing training programs can equip human agents with the skills to work alongside AI systems effectively.

3 What Do We Do About the Biases in AI?

In healthcare, chatbots understand patients’ symptoms, offer medical information, and schedule appointments. E-commerce companies use algorithms for personalized recommendations, enhancing CX and boosting sales. In finance, VAs can assist with financial planning and investment recommendations. These examples highlight how AI is already transforming customer experiences and will continue to do so.

In call centers, the adoption rate of AI-enabled chatbots for customer self-service is expected to reach 90% by 2024,4 with a substantial budget increase for AI implementation. Expected spending on AI is estimated to reach US$126 billion by 2025.5

Generative AI, such as ChatGPT, has undoubtedly had an influence on these budget increases, as it has established

4 Zendesk CX Trends 2022 report.

5 Artificial intelligence software market revenue worldwide 2018–2025.

In call centers, the adoption rate of AI-enabled chatbots for customer self-service is expected to reach 90% by 2024, with a substantial budget increase for AI implementation.
91% of large organizations expect to increase their budgets for AI and data analytics to improve operations and customer care.
37 FOCUS ON Business | July–August 2023

CHANNEL TRANSFORMATION THAT ORGANIZATIONS ANTICIPATE WITH REGARDS TO THEIR FUTURE CONTACT CENTER REQUIREMENTS:

Source: GBS.World Marketplace 2022 Buy-Side Demand Survey.

itself as a major contributor in the evolution of chatbots. The advancements this technology has introduced allows chatbots to constantly review and integrate real-time data points to craft customized, human-like responses to customer queries and commands.

Business leaders understand the inevitability of integrating AI technology into their CX strategies to ensure business transformation in contact centers 6

The most prominent channels that contact center executives are looking to transform include agent/voice telephone services (45.24%), robotic process automation (43.65%), and voice bots (42.06%). Other channels that organizations are looking to transform include intelligent assistants/agents (36.51%), email (34.13%), and interactive voice response (32.54%).

Natural language processing (NLP) will play a crucial role in AI development, enabling real-time analysis of customer inquiries.

6 GBS.World Marketplace 2022 Buy-Side Demand Survey.

Additionally, the continued development of AI algorithms means that 86% of business leaders are expecting to use the technology to minimize customer frustration.7

The possibilities of high levels of personalization will result in faster and more accurate issue resolution, leading to increased customer satisfaction and loyalty.

LOOKING TO THE FUTURE

AI-powered personalization is a key component in the future of CX. Integrating AI into CX strategies transforms call management, boosts efficiency, and empowers employees. Automation, data analytics, 7 MIT Technology Review Insights: Customer Experience and the Future of Work.

and sentiment analysis enable tailored interactions, proactive issue resolution, and improved sentiment. While challenges exist, a hybrid approach that combines AI and human agents addresses challenges like biases and preserves the human touch, and ongoing training and monitoring mitigate biases and ensure data quality.

Advancements in NLP and ML will further improve AI’s ability to anticipate customer needs. The future of CX is bright, and business leaders have the opportunity to leverage AI-powered personalization as a powerful ally for success.♦

Agent Voice/Telephone Services Robotic process automation (RPA) Voice Bots Mobile Smartphone Self Service Video Chat Web Chat Fax Intelligent Assistants/Agents Email Instant Messaging Interactive Voice Response (IVR) Website Post Outbound Campaign Dialers Social Media Speech Automated IVR SMS AI-Enabled Communications Chat Bots 45,24% 43,65% 42,06% 38,89% 38,89% 38,10% 36,51% 36,51% 34,13% 34,13% 32,54% 32,54% 31,75% 30,95% 30,95% 30,95% 30,95% 26,98% 23,81% Grow
BUSINESS 38 FOCUS ON Business | July–August 2023

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A sound approach to your office’s acoustics – how to do it well?

Noise distractions are the top complaint in many offices. And it can take 20 minutes to regain focus on a task once distracted. What’s more: today's employee experiences one distraction every half hour. And 42%1 of them even worry about slipping into “noise rage” if their colleagues are too loud.

An office space’s sound is its mood. It shapes employee comfort, attitude, and productive capacity. While a steady, relaxing soundscape promotes focus, a chaotic one hurts employee autonomy and can repeatedly break concentration. Excessive office noise can put the employee’s nervous system on high alert, always anticipating the next disruption. This is why chronic noise exposure is linked to increased levels of stress.

is soft and ambient, free of clatter, echo, and reverb. Employees have secluded spaces for deep work as well as communal, acoustically treated spaces for teamwork. Tranquility and productivity co-exist in this workplace.

Varying preferences and tasks make perfecting the office’s acoustics a challenging endeavor. A promising approach is to zone the floor, dividing it into separate areas, each with a unique acoustic quality. Acoustic pods are an important piece of this puzzle, as they are private, quiet work and meeting spaces for employees to depend on.

OPEN OFFICES – CHORUSES OF UNPREDICTABLE NOISE

Employee productivity can drop as much as 66%1 when hindered by nearby speaking. 71%2 of all workplace distractions are caused by noise. Other people’s voices are the most cited source of distraction in the office. 70% of employees say they would be more efficient if their workplace were quieter3. 55% of employees in noisy work environments have job stress5. An acoustically impeccable office space feels just right. Its sound

1 www.hrmagazine.co.uk/content/comment/ noise-in-the-office-distracting-employees-here-show-hr-can-help/

1 http://67aa6fee3b112cf7b085-a4daa72d047c

d5cf1107a27466ad39b3.r75.cf1.rackcdn.com/ Biamp_Sound_Affects_Book.pdf

2 www.acoustical-sound-masking.com/

3 www.hatchdesign.ca/wp-content/ uploads/2011/12/asid_productive_solutions.pdf

Rhythmic keyboard clicks flutter. Cell phone pings pierce. Conversations clash like discordant melody threads. The printer beeps in percussive accents. The HVAC system hums a bassline felt more than heard. And employees are merely audience members of this symphony of sounds.

The acoustic quality of an office is like the very air we breathe. It is a space’s mood. It defines occupant comfort and well-being. While a serene soundscape nurtures focus, a rowdy one shatters it. While acoustic bliss gives employees a sense of control, a chaotic one robs their autonomy.

5 www.semanticscholar.org/paper/Relationship-between-noise-and-job-stress-at-a-Mursali-Basuki/e3a9141300742c202c049f67a4d977d3e4bbd40b?p2df

– Sound has a profound psychological impact on us, affecting our attitude, attention span, and headspace. Pleasant soundscapes can uplift your spirits, promote relaxation, and aid immersion in your work. Harsh soundscapes can be downright stressful, upsetting your emotional equilibrium and derailing performance. The bottom line is in a hybrid, highly competitive world, the office must be perfectly tuned for focus and teamwork. Employees need to be able to deeply dive into tasks or complicated discussions for unbroken lengths of time – says Mateusz Barczyk, Senior Brand Manager, Hushoffice.

EMPLOYESS’ INNER BALANCE

Noise is uniquely annoying when it repeatedly sidetracks you. It can put the nervous system on high alert. Anyone who lives in constant anticipation of the next disturbance is likely to develop some anxiety. Hence, chronic noise exposure has been linked to increased levels of stress time and again.

– The academic research consistently supports the notion that noisy workplaces have detrimental effects on workers. The extent of this impact varies based on the types of sounds present and individual traits like introversion and neuroticism. Nevertheless, the scientific consensus remains unchanged — office noise interferes with the employee’s healthiness and, ultimately, their execution on the job – says Mateusz Barczyk.

Employee productivity can drop as much as 66% when hindered by nearby speaking. 71% of all workplace distractions are caused by noise.
BUSINESS 40 FOCUS ON Business | July–August 2023

Our minds have limited processing capacity. This is why the presence of multiple sounds in the office is so demanding. When a volume of inputs compete for one’s bandwidth, exhaustion and burnout result. Cognition declines, leading to errors and frustration as our brains struggle to filter through the array of information.

Sound influences the way we behave, too. Fast-paced music is often played in fast-food chains to create urgency. This encourages customers to eat quickly and move along, thus boosting turnover. Soothing music is often played in stores to create a laid-back atmosphere. This entices customers to linger, boosting sales.

The sporadic nature of speech, whether from nearby conversations or random halfologues, makes it terrific at pulling employees away from their focal points. Because unlike muddled noise, intermittent speech commands attention since our brain always seeks to comprehend spoken words.

An acoustically sound office feels just right. Its sound is soft and ambient, skillfully blended to mask noise. Wall and freestanding panels absorb echo and reverb. Soundproof workstations sit ready. Colleagues connect within acoustics pods.

Private video call booths ensure crystal-clear speech on hybrid calls. Tranquility and productivity co-exist.

CAREFUL ZONING

Diverse preferences and task requirements make mastering the office’s sound a tricky endeavor. Some like a peaceful hush, while others like a bustling buzz. Team activities often benefit from livelier acoustics that encourage interaction. Concentrative tasks often need library quiet. All this to say, a promising approach is to zone the floor, dividing it into distinct areas, each with a unique acoustic quality. Acoustic pods are a piece of the “office acoustics” puzzle. Pods provide a haven of quiet and privacy within the animated office. They are an isolated space where employees can retreat, escaping the hubbub and accessing solitude. They act as barriers, blocking out all activity, allowing for heightened concentration. Want to blend desirable aspects of the cubicle-style office with that of the open-plan? Want to bring more privacy and functional flow to the floor? Zone the office. It’s a good time to do it (or re-do it) since hybrid working has changed priorities, changing the workplace’s role through and through.

– By carving up one sprawling space into multiple focused sub-spaces, or zones, you make the office more orderly, more coordinated. A calmer, more productive overtone follows, with activities contained to individual zones rather than permeating the layout wildly. Done well, zoning also uses your square feet in the most balanced, most efficient way – Mateusz Barczyk comments.

EACH ZONE’S IDEAL ACOUSTIC PARAMETERS

If you’re creating a call zone, make note that speech privacy is essential. If it’s an informal work lounge, a little background hustle-and-bustle might be more apt. Knowing detailed parameters of each zone down to acoustics will make it easier to pick the right furniture solutions when you get to that step. It’ll make picking between sound dampening office room dividers, private phone booths, and mobile meeting pods a no-brainer, as you’ll know exactly what kind of environment you need. Once you come up with a tentative plan, run it by everyone.

Once you’ve identified your zones, piece them together like a jigsaw puzzle. This may seem like tedium, but it can actually be quite exciting since you’re

An acoustically sound office feels just right. Its sound is soft and ambient, skillfully blended to mask noise.
41 FOCUS ON Business | July–August 2023

effectively shaping the buzz of your workplace’s bee hive. Shaped well, you’ll engender an intangible yet undeniable harmony. The thing to make sure of here is that no zone compromises its neighboring zone. That instead, each zone contributes to the function of the zone beside it. I.e., the casual vibe of the cafe overflows into its next-door breakout space and vice versa. Both are permeated and enhanced by one another. Just like jigsaw puzzle piece tabs, your zones can fit into one another like this.

Pick flexible furniture solutions like mobile pods for ease and resilience long term. Rolling whiteboards. Portable booths. Adjustable room dividers. Such flexible furniture allows you to meet today’s needs while making the office more responsive to tomorrow’s. They make the workplace retool-able, making the task of zoning a natural, ongoing process rather than a stressful feat. Balancing space efficiency and employee comfort when zoning can be difficult, but prefab solutions like pods make it easier since each pod seats a specific number of people comfortably.

Think creatively as you delineate space to construct each zone. Dividers are quite popular. As are planters, benches, shelving, and utility cabinets. But zones can be demarcated in countless inventive ways that aren’t so physical, too. Just playing with the basics (color, texture, lighting, and fabrics) can set one zone apart from the next.

FINDING A WAY WITHOUT STRUGGLE

While chaotic spaces stress the employees out, coherent spaces soothe them, making the transition between tasks a breeze, as navigation between zones comes easy. And neurodivergent talents, let bloom, are a special competitive edge for any company. To optimize wayfinding, be sure each zone is sufficiently unique. Prioritize high-quality video call zones. This is one of the vital links between on-site and remote employees that makes hybrid work well. Video call zones should be private and quiet. They should be isolated from the open floor’s jungle.

Include negative space in the layout. Empty, undefined space keeps the office balanced — light and lovely

rather than heavy and cluttered. Call it necessary elbow room. Yet another big help to neurodivergent peers — say, a teammate with ADHD who is discombobulated by excess stimuli or prone to claustrophobia.

Undefined space does much more than make the office feel good. It allows you to accommodate the occupancy ebband-flow that’s inevitable in a hybrid mode. And it allows for growth, too.

KEEP IT SIMPLE

When it comes to design — from desks to decor — less is more. Start small. Opt for unbusy, neutral patterns and palettes. See how each zone is used. Survey your team. Then add to or alter the layout. Minimalism is a broadly appealing style, adopting it will result in the most inclusive space.♦

The article has been created in cooperation with

Prioritize high-quality video call zones. This is one of the vital links between on-site and remote employees that makes hybrid work well.
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UKRAINIAN IT SECTOR IS GAINING RECOGNITION AS A SIGNIFICANT PLAYER IN THE GLOBAL MARKET

Despite the challenges posed by the war, Ukraine's IT industry has displayed remarkable resilience, maintaining its operations and continuing growth.

Konstantin Vasyuk, the IT Ukraine Association Executive Director shares valuable perspective on how the sector has not only navigated these challenges but also garnered international recognition and expanded its reach.

45 FOCUS ON Business | July–August 2023

Wiktor Doktór, Pro Progressio: Ukraine's digital sector was one of Ukraine's greatest strengths prior to the war, with many experts dubbing the Ukrai nian ICT industry the “emerging tiger of Europe”. How did the sector manage to maintain its excellent prewar achievements as well as its levels of performance and efficiency? And what is its current condition?

Konstantin Vasyuk, IT Ukraine Association: That is true: before the fullscale invasion the Ukrainian IT industry grew by 25-30% annually, generated more than 4% of Ukraine's GDP and became one of the largest exporters of tech services in Europe. The reason for this is obvious – Ukraine offers a lot of high-quality education opportunities for a large number of people who want to start a career in IT. And, as all world has already recognised, the drive of Ukrainians is hard to stop: even with the war happening, thanks to the huge dedication and reactivity of the IT industry to face all upcoming challenges, last year the IT sector brought USD 7.4 billion in export revenue. This means that the Ukrainian IT sector grew by 10% compared to the last, pre-war year.

Results of Q1 2023 indicate that the situation is stable and is forecasted to remain as such for the time being. Ukrainian IT may be a discovery for some, but I’m not surprised by our resilience at all. This industry has always been prepared for different situations. Recent years, and particularly the COVID-19 pandemic, have taught us an important lesson: being ready for various scenarios and being able to adapt is crucial for success in the sector. Despite challenges, Ukrainian

IT businesses have shown their ability to thrive and embrace changes.

The war has forced the IT sector to seek opportunities for growth beyond the country's borders. Which countries currently host the largest number of IT companies and professionals originating from Ukraine?

The lives of Ukrainian citizens have been profoundly affected by the war in the country. At first, families sought refuge by relocating to various regions or neighbouring nations. In 2022, almost 71% of IT companies conducted an unplanned relocation. The list of Top 10 countries included Poland, Germany, USA, Portugal, Bulgaria, Czech Republic, Romania, Moldova, Spain, and Canada.

Nevertheless, as the situation has become more stable, a significant number of people have returned to their homes. Majority of Ukraine is now enjoying a relatively normal, everyday life; except for the frontline regions. 81.5% of IT companies that relocated still plan to return to Ukraine but only when martial law is lifted and there is a complete cessation of hostilities. The forced migration means something else though: the IT industry is now becoming an ambassador of Ukrainian business abroad. I’m confident that the connections we make now, not just in the countries listed above, will last for years. For instance, 8 Ukrainian companies – members of the IT Ukraine Association – joined forces, presented their services at a single, collective stand, and thus made their debut on the Irish market at the Dublin Tech Summit. Currently, IT Ukraine Association is working on the opening of our representative office

in the UK. Ukrainian companies are pretty well-known in that market, we have been partners with many organisations there and we thus believe it's the time is ripe we put ourselves on the official map over there. The geography of Ukrainian activities is expanding and that’s a clear sign our expertise is recognised.

It seems that the recognition and trust in the Ukrainian IT industry lead to success wherever it operates. What is your strategy for expanding the sector abroad? Based on what competencies/values/areas do you aim to establish long-term business relationships in the West?

Fundamentally, nothing has changed: representatives of Ukrainian IT have been working successfully with the Western partners. We are recognised for being not just professional, but extremely flexible and adaptable to any circumstances and conditions of operation as well. Last year Ukrainian IT did not lose partners and retained trust thanks to professional management and the ability to manage risks – isn’t that the best confirmation of our project implementation quality?

Currently, the IT Ukraine Association is actively developing an international direction of its effort in order to become an entry point to the Ukrainian market for companies from abroad on the one hand, and on the other hand –to help Ukrainian tech companies to properly present themselves and significantly expand their activities worldwide. This is the reason why support from our partners is vital. With the Ukrainian IT sector entering a new phase of development and gaining recognition

46 FOCUS ON Business | July–August 2023 MAIN INTERVIEW
Before the full-scale invasion the Ukrainian IT industry grew by 25-30% annually, generated more than 4% of Ukraine's GDP and became one of the largest exporters of tech services in Europe.

as a significant player in the global market, it is crucial to promote its expansion. We take a two-pronged approach to this matter, because said promotion entails, on the one hand, continued investment in and loyalty towards Ukrainian businesses; however, on the other hand, our work focuses on convincing new partners to start co-operating with Ukrainian service providers. In essence, collaborating with Ukrainian companies is of utmost importance as they have taken all necessary measures to ensure uninterrupted business operations. The support of the international community is now the key to sustaining the industry and ensuring its survival.

Let's return for a moment to the realities in which companies in Ukraine operate on a daily basis. Russian invasion has posed challenges to the digital sector, including the destruction of digital infrastructure, among others. How does a sector, whose operations rely on constant connectivity, cope in conditions marked by alarms, power outages, and Internet disruptions?

Ukrainian IT industry responded uniquely and coped with what can definitely be described as one of the hardest challenges ever – that is war-time operation. The sector has been doing everything possible to ensure maximum readiness, not only limited to what you have listed but also to forthcoming, currently unknown challenges. Being on

full alert 24/7, companies implemented extraordinary measures when it was urgent: the purchase of generators for the working spaces? Done. Usage of a diversified Internet providers network and Starlinks? Done. Transfer of the key systems to the cloud? Done. And we can’t do otherwise: the development of the industry continues and will continue under any conditions. So one step at a time and checking which way the wind is blowing, the companies are still constantly adapting their business continuity plans due to the day-to-day changing circumstances.

War had a profound impact on Ukraine’s IT industry and resulted in the relocation of some skilled workers to western countries in search of more stable opportunities. What steps has IT Ukraine taken to address the ensuing shortage of highly skilled IT workers in the country?

In fairness, few have left and only those who had reasons to do so. Most IT professionals stayed in the country, adapting to the difficult conditions of the war and working on implementation of the projects in companies as well as volunteering to support the country in the framework of information and cyber warfare. The Association is in constant dialogue with the authorities regarding the reserving of critically needed professionals (those who do not have specialties that are in short supply for the army).

We also work to ensure that IT specialists have the opportunity to go on short-term trips abroad to negotiate with partners and clients on current and planned projects. To ensure the single voice of the industry, last month the most influential IT clusters from 14 regions united with the IT Ukraine Association within the framework of a strategic partnership. This association will contribute to the development of information technologies in Ukraine, will help protect the common interests of Ukrainian IT companies in the discourse with state authorities, and will also promote our industry at the international level. In particular, the IT Ukraine Association will lead the joint work of the clusters on possible solutions regarding the granting of permits for temporary short-term trips of professionals abroad for the negotiations of the current and potential contracts, reserving critical IT specialists for the field of military service, payment of taxes, cooperation with state authorities, etc. We strongly believe that this decision will give all of us more power to influence the routes of development for the Ukrainian economy and will pay back very soon.

Let's pause for a moment to discuss the issue of cyber warfare. According to The Guardian, Ukraine experienced a threefold increase in cyber-attacks in 2022. We also frequently hear about numerous organisations

47 FOCUS ON Business | July–August 2023
Most IT professionals stayed in the country working on implementation of the projects in companies as well as volunteering to support the country in the framework of information and cyber warfare.

and government institutions in other countries being targeted by hackers, with evidence pointing to Russia as the origin of these threats. Can you discuss any successful strategies or best practices that have been employed to mitigate cyber threats in Ukraine? Are there any lessons learned that can be shared with other organisations or countries facing similar challenges?

Maintaining an effective cybersecurity system is a continuous task that demands constant focus and diligence. It is an ongoing process that needs unceasing attention to effectively counter the ever-changing threats in the digital realm. To ensure the protection of sensitive data and systems, it is crucial to adopt a proactive approach by regularly monitoring, updating, and adapting cybersecurity measures. Organisations must remain agile and proactive in their defences, continuously analysing and strengthening security protocols to address emerging vulnerabilities.

In April I had the great pleasure and honour to sign the Memorandum of Understanding between our organisations: IT Ukraine Association and Pro Progressio, next to your signature. What are your expectations regarding this initiative?

I’d like to highlight three main points. First of all, we expect the memorandum to provide us with a pool of experts that will contribute to the mutual development of our organisations. Secondly, we are very interested in the development model successfully implemented by Pro Progressio and would love to learn from it. On the other hand, IT Ukraine is experienced in flexible restructuring and operating in difficult and crisis conditions – we have a great deal of expertise in this area and we would love to share it. Last but not least, we strongly believe that creating a common platform puts us on a path to jointly develop many excellent projects in the future.

Thank you for the interview.♦

48 FOCUS ON Business | July–August 2023 MAIN INTERVIEW

We are very interested in the development model successfully implemented by Pro Progressio and would love to learn from it. On the other hand, IT Ukraine is experienced in flexible restructuring and operating in difficult and crisis conditions – we have a great deal of expertise in this area and we would love to share it.

INVESTMENT NEWS

POLAND FOURTH MOST DIFFICULT COUNTRY IN EUROPE TO DO BUSINESS

Poland has been ranked fourth in Europe among the least business-friendly countries for the third consecutive year, according to this year's report compiled by TMF Group. Globally, our country ranks 12th

The comprehensive report analyses 78 jurisdictions which account for 92% of the world’s total GDP and 95% of net global FDI flows. It compares 292 annually tracked indicators, offering data on key aspects of doing business, including incorporation timelines, payroll and benefits, rules, regulations, tax rates, and other compliance factors.

For the third time in a row, Poland has found itself in the group of four countries where it is most difficult to do business in Europe, where conditions for running a company are more difficult than

in Poland for entrepreneurs in France, Greece and Italy. At the same time, France won the title of the country in which it is the most difficult to do business in the world. In this position, it replaced Brazil, which fell to third place and had been 'leading' the list for the previous two years. The second most difficult country in the world to do business in is Greece.

Poland was ranked 12th in the global ranking, and Argentina pushed it out of the top ten most difficult countries in which to do business. Poland had held 10th position for the last two years.

Among the biggest obstacles for Poland to becoming a business-friendly country, TMF Group experts point out complex reporting standards, the high costs that companies must incur to adapt to regulatory changes that are

PRICE GAP BETWEEN TRADITIONAL OFFICES AND CO-WORKING SPACES NARROWEST IN SYDNEY AND SINGAPORE

Research by Savills has revealed that renting a co-working office space for 10 people in Sydney or Singapore is only 14% and 19% cheaper respectively than occupying a traditional office. In comparison, co-working space is 63% cheaper than traditional offices in Mumbai, and 60% cheaper in Hong Kong.

In its Impacts global research programme, the international real estate advisor examined the cost of renting a co-working arrangement relative to the net effective cost of renting a conventional prime office for a 10-person business in 16 cities around the world. The study found that a co-working space is 40 per cent cheaper than a traditional space, on average, although there is considerable variation between locations. Sydney, Singapore, Amsterdam and Paris have the smallest gaps between the cost of co-working space versus traditional offices, while Mumbai, Hong Kong, Los Angeles and Madrid have the cheapest coworking space relative to what a tenant could expect to pay for a traditional office in these cities.

On a purely cost basis, the lowest rents for co-working space can be found in Mumbai, Madrid, Shanghai, Amsterdam and Los Angeles, while New York and London are the most expensive, says Savills.

– Although co­working space can play many roles, it’s often viewed as an ‘affordable’ option for many SMEs and start-ups, enabling these businesses to invest in growth rather than rent, says Cal Lee, global head of Workthere, Savills flexible office specialist. – For any mature office market wanting a strong base of start-up and scale-up businesses, it’s imperative there’s a diverse range of price points available but our analysis shows that in some locations the cost gap between a co-working space and a traditional office is narrow. This will be challenging to some businesses and probably push them out to lower cost areas on these cities’ peripheries. It’s important to get the balance right as these SMEs are often the lifeblood of the wider business ecosystem, and ultimately their absence will affect long-term growth.

often introduced in a timeframe that is too short for business, and the high formal and legal requirements for investors compared to other countries.

The full Global Business Complexity Index 2023 report can be downloaded here:

Jarosław Pilch, head of tenant representation, Savills Poland, and Head of Workthere.pl, comments: In the Polish market, we also observe that building owners are increasingly accommodating the expectations of smaller tenants. We predict that in the upcoming years, having a flexible operator in modern office buildings will not only be desirable but necessary as well. This will allow for a restructuring of the leasing portfolio by consolidating smaller leases within a shared space, giving them time for development and freeing up space for larger organizations. Looking at the rental costs of flexible space in the center of Warsaw, it is comparable to entering into a 3-year traditional office lease agreement for an area of 300-400 square meters. This assumes that the tenant also had to make a financial contribution towards its arrangement, furnish conference rooms, provide office equipment and kitchen facilities, as well as hire someone to manage the reception.

Source: Savills

50 FOCUS ON Business | July–August 2023

The Wave building in Gdansk, developed by Skanska, was chosen by ISS as its third location in Poland. The global workplace experience and facility management company is opening a new office for ISS Finance Service Centre (FSC) specialists. Its current and future employees will enjoy an office space complete with ecofriendly, innovative solutions supporting an inclusive work culture. Experts from Colliers participated in the lease process.

The ISS Gdansk centre will initially employ financial specialists with the possibility of future growth, joining the 350,000+ employed by ISS worldwide.

– The launch of the ISS FSC in Gdansk is a massive undertaking. We plan to combine the competences of customer service and internal process experts and chose the Tricity because it has fantastic human resources potential. We need well-qualified specialists with varied skillsets, and we know that there will be no problem finding them in Pomerania – says Paweł Rowicki, Head of Shared Services Transformation, ISS.

– The Tricity attracts business with its broad talent base, attractive location and convenient connections with the rest of the country. We, on the other hand, provide work spaces of the highest quality, which help shape and develop our tenants' businesses and improve

the productivity of people working in the building while ensuring their well-being. This is exactly what Wave's new tenant, ISS, wanted – says Eliza Jamrozik, Leasing Manager at Skanska Office Unit, and adds: Wave spaces were created with inclusiveness in mind. They are to ensure safety, comfort and efficiency of work for people with various needs, which is confirmed by the WELL and Building without Barriers certificates. In accordance with the philosophy and the assumed climate goals, Skanska

has implemented solutions in Wave that are aimed at minimizing the impact of the investment on the natural environment. The building has obtained the LEED Core & Shell certificate at the highest level. The office building uses only energy produced in renewable sources and can use over 30% less electricity. Thanks to special fittings, with responsible management and conscious use of the facility by tenants, over 40% of water can be saved.

Source: Skanska

CAUTIOUS OPTIMISM IN THE RETAIL REAL ESTATE MARKET IN Q1 2023 IN POLAND

According to a new report by JLL, total retail space under construction in Poland totalled 387,000 sqm at the end of Q1, with 69 percent generated by retail parks. In addition, nearly 94,000 sqm of the first quarter’s total was attributable to shopping centers with the largest projects being the Sukcesja shopping center in Łódź (currently undergoing renovation), the Bawełnianka shopping center in Bełchatów (already opened in April), and Galeria Goplana located in Leszno. The convenience retail format had the sector’s smallest percentage share in space under construction.

Despite the challenging environment, 2022 ended with a relatively good result for new retail supply in Poland with total space delivered across all formats amounting to nearly 500,000 sqm, which exceeded the five-year average. Another 103,000 sqm was delivered to the market in Q1 2023.

In the first quarter of 2023, as in the previous three years, the most attractive segment was retail parks. The first three months of 2023 saw new supply in this format reach nearly 67,000 sqm, accounting for 65 percent of the retail sector’s total output during the period. At the beginning of this year, new retail parks were built both in small towns, medium-sized cities and the largest agglomerations across Poland. The focus of developers was on cities with a population of less than 50,000, where five projects delivered nearly 40,000 sqm of new retail space in Q1 2023. In total, more than 103,000 sqm was delivered in the first quarter across all segments in the domestic market.

– In the first quarter of 2023, the supply of shopping centers was boosted by two new openings in Warsaw – the 22,000 sqm (GLA) Fort Wola, which reopened extensive redevelopment and the expansion

of the Atrium Promenada – by additional 12,600 sqm GLA (in total, the facility offers 63,000 sqm GLA). On the other hand, we are also seeing projects withdrawn from the market, which illustrates the changes taking place in the sector. One recent example is Arkady Wroclawskie, which is scheduled to close by the end of 2024. In this case, the most likely scenario involves conversion into a residential or office building, summarizes Dagmara Filipiak, Retail Agency Lead JLL.

This year’s first quarter was relatively modest in terms of new convenience centers and freestanding retail openings, with total stock expanding by just 2,000 sqm. However, this is a temporary slowdown, as these segments had about 25,000 sqm GLA under construction.

Source: JLL

THE INTERNATIONAL COMPANY ISS IS INVESTING IN A NEW OFFICE IN GDANSK WAVE
51 FOCUS ON Business | July–August 2023

Not only IT. Poland is also attracting industrial investors

Despite geopolitical and economic uncertainties, Poland continues to attract foreign investors. Marek Łabaj, Business Manager at Grafton Recruitment, sheds light on Poland's stability, strategic location, skilled workforce, and support programs that make country a competitive market for investment.

Does Poland remain an attractive destination for foreigninvestors?

Marek Łabaj, Grafton Recruitment: It would seem that the uncertain geopolitical and economic situation, paired with the recent upheavals in the tax system will cause Poland to be perceived as a risky market. Yet investors appear to be interested in our country as an attractive business destination.

This is confirmed by the data of the Polish Investment and Trade Agency – 2021 saw 96 new investments, while 126 took place in 2022, indicating a growth of 30 investments year on year. This is a quite notable number, especially in light of the current situation. So many new investments in only two years prove the openness towards growth and innovation of the Polish market. It also confirms the high trust foreign entrepreneurs place in Poland as a promising country.

What are the key reasons behind foreign investors still choosing Poland?

What does it offer to the investors?

There are several factors making Poland an attractive investment market. Our market attracts due to its investment climate, economic growth, inclusivity and stability. However, it bears highlighting the relatively stable economic situation as a key factor for the investors.

The Central European location is another key advantage turning Poland into a potential strategic partner. This geographic location allows fluent communication and cooperation with both EU countries and other partners on the global market. It also bears mentioning that

Poland ensures comfortable transportation links and infrastructure. It is of key importance, especially for the European partners such as Germany. Poland is also attracting investors from outside Europe who highly value not only the logistical advantages, but also the comfortable business running conditions.

Yes. We have highly qualified cadres valued on the international market, which is of key importance to businesses seeking sustainable growth. They appreciate the potential of engineers and IT specialists across all sectors, as well as the skills of back-office employees in the business services sector. The investors

The multi-year presence of foreign investments is also confirming the maturity of the Polish market and its openness to cooperation. It’s also worth pointing out the various programs supporting investment in Poland, such as Poland Business Harbour carried out by the Polish Investment and Trade Agency (PAIH) hoping to support foreign investors interested in developing IT businesses in Poland. The program has been launched in 2017 and targets businesses planning investments or growing their operations in Poland. The primary goal of Poland Business Harbour is to make the investment process easier and faster by providing investors with support at various stages of operation.

Is Poland still competing with employee qualifications?

are also taking note of Poland’s high academic potential – according to the data of the Central Statistical Office (GUS), Polish universities taught 1,218,166 students in the 2021/2022 academic year.

Oftentimes, it is one of the foremost factors taken into account when crafting the company’s recruitment strategy and choosing the final investment destination. Quite importantly, Polish workers are not only well-educated, but also experienced in working in the international business environment – they are used to working with foreign companies. Moreover, many of them are fluent in foreign languages – and, oftentimes, several of them. As of writing, Poland ranks 11th in Europe and 13th globally in the EF English Proficiency Index, the oldest ranking of language competencies across the world. In this regard, we have outpaced Slovakia, Czechia and Switzerland.

INVESTMENTS 52 FOCUS ON Business | July–August 2023
Polish workers are not only well-educated, but also experienced in working in the international business environment – they are used to working with foreign companies. Moreover, many of them are fluent in foreign languages, oftentimes, several of them.
53 FOCUS ON Business | July–August 2023
Our market attracts due to its investment climate, economic growth, inclusivity and stability.

Somewhat paradoxically, Poland is attracting foreign investors due to its relatively low unemployment level. The entrepreneurs choosing Poland are seeking talent – highly qualified cadres, rather than people ready to take on jobs due to a lack of alternatives. That’s why ensuring such cadres and ensuring optimal conditions for cooperation are key to retaining our attractiveness. It also bears paying attention to the issue of salary competitiveness – our costs of labor are still relatively lower as compared to the Western countries.

industry, access to market data and ongoing cooperation with various partners such as consultancies specializing in real estate, tax, legal and labor code counseling. We offer comprehensive investor support, including labor market analysis, recruitment strategies and supporting client expansion to select markets. We are also constantly doing feasibility studies of the recruitment processes that our clients can carry out with us. We are also advising in the area of adjusting one’s employer branding to our local market.

What sectors are seeing the highest foreign investment indicators?

What markets are we competing with?

Poland isn’t competitive merely on a regional scale. Nevertheless, we are most often competing for investors against Slovakia, Czechia or Romania.

What kind of support do foreign investors need?

Entrepreneurs seeking the right destination are taking note of many more factors than just expenditures. The maturity and professionalism of the partners, their knowledge of the market and legal environment are also key to growing one’s operations in a given country. Grafton belongs to a number of companies acting primarily as consultants, rather than mere recruiters, to foreign investments. Our approach is based on investment counseling. We have combined our experience in the recruitment

The greatest investment expenditures have been observed in the production and industry sectors, which has been confirmed by our internal and external statistics and their comparison to earlier years. This industry saw the most new factories crop up, stimulating economic growth.

We have noticed that most of the new investors are seeking people with extensive IT experience in our market. They appreciate programmer expertise combined with operational or customer support skills, or a specialization in the areas of IoT, AI, Big Data, etc. Employers are valuing flexible workers, able to make decisions and take responsibility for the results. There is no shortage of such specialists in Poland, leading to a high investor interest in our market.

The former two countries are particularly challenging in the automotive sector – Slovakia has particularly long traditions in this area and can boast a strong presence in the automotive market. The country is also advantaged in terms of renewable energy sources and ecological factors, which are growing increasingly important for entrepreneur decision-making.

We are also competing with Romania. In this case, the key factor is low investment expenditures due to lower domestic salaries. However, it bears mentioning that this country is also seeing dynamic salary growth, especially in the IT sector. However, one must keep in mind that the market is not as stable as it could seem. Poland is definitely more competitive.

Thank you for the interview.♦

The interview has been conducted by Dorota Zawadzka.

Somewhat paradoxically, Poland is attracting foreign investors due to its relatively low unemployment level.
INVESTMENTS 54 FOCUS ON Business | July–August 2023
We have noticed that most of the new investors are seeking people with extensive IT experience in our market.

Infopulse Poland: End-to-End Digital Services and Technology Advisory for Polish Companies_

About Infopulse

Infopulse is an international vendor of IT services and digital consulting as a part of the leading Nordic digital services company Tietoevry. It helps companies grow and improve their business performance through technological advancements and custom software solutions.

The company is trusted by many established brands, including Allianz Bank, Bosch, BICS, Microsoft, OLX, Offshore Norge, Santander, Vodafone, Zeppelin Group, and others.

Expertise

Infopulse is an official partner of the leading global software and technology vendors, including Microsoft, AWS, Oracle, and others.

The company is constantly growing within these partnerships, unlocking new competencies. Recently, Infopulse achieved 5 out of 6 Microsoft Solutions Partner designations as part of the new Microsoft Cloud Partner Program.

The key areas of Infopulse expertise include: Banking & Financial Services: core banking, cash & treasury, omnichannel banking, blockchain & cryptocurrencies

Telecom: OSS/BSS software, network operations, capacity management, network security

Manufacturing: automation, IoT, SAP, infrastructure services, inventory management, advanced analytics

Industry Awards

Having begun operations in Poland, Infopulse quickly gained recognition among local and international organizations, confirming its growing expertise and ability to provide clients with the latest innovations and products.

Since the beginning of 2023, Infopulse Poland has received a range of valuable awards.

The Best Service-based Investor by the Polish Investment and Trade Agency (PAIH)

30+ years of experience in the IT industry Operates in Poland since 2018

Offices in Warsaw, Łódż, Gdańsk, and Bydgoszcz

3,500+ completed projects for clients from 40+ countries

16 offices across 7 countries

2,000+ IT experts

Agriculture: smart agriculture, intelligent automation, resource management, supply chain management, IoT

Software & Hi-Tech: intelligent business, cybersecurity, cloud transformation, DevOps

Solution engineering: custom software development, product modernization, low-code app development, cloud-native development, quality assurance

Managed services: cloud, cybersecurity, DevOps, IT infrastructure development, optimization, and modernization

Intelligent business services: SAP, ServiceNow, business automation, advanced data analytics, IoT development, blockchain, AI/ML, computer vision.

The Outsourcing Star in the “Best Software Developer” category at the 7th BSS Forum & 10th Outsourcing Stars Gala by Pro Progressio “Etyczha Firma” award in the “Large Enterprise” category by Puls Biznesu

Infopulse Global was recognized as one of the world’s top 100 outsourcing companies in 2023 by IAOP®.

Transparent cooperation, a case-by-case approach, full adherence to the EU regulations, and proven expertise in the provided services made Infopulse a trusted IT provider in the Polish market. Get a reliable partner to level up your business performance with the latest technologies.

In recent years, Infopulse has significantly expanded its presence in the European Union and has become a renowned digital services and advisory provider in Poland. Why is the company recognized among local leaders, and how does it help businesses thrive through technological advancements?
INVESTMENTS
In case of Monopolis’ tenants, final decision is largely impacted by these soft elements, by the general appeal of the place and its image.

Global companies are increasingly opening their headquarters in the regions

Anna Celichowska, Board Member and Commercialization Director at Virako, investor behind the Monopolis project, explains what determines the location of a company's headquarters, why some office spaces are less attractive than others, and what technological solutions are used by investors.

The common belief today is that the current crisis in the commercial real estate market is just temporary, and will last until the end of the year. Do you agree?

Anna Celichowska, Virako: Each market segment experiences economic cycles, and the real estate market is no different. Currently, developers’ activity throughout this market is noticeably reduced. But economic downturns are always followed by growth phases. Everyhing seems to indicate that recovery can be expected at the turn of the year. We see this process as natural, in line with overall economic situation.

Is office space leasing business affected by recent increases of energy costs, as well as double-digit inflation?

Price increases apply to all areas of our lives. They affect developers as well, and not just due to inflation or rising electricity costs, but also as a result of rising interest rates, which made investment financing far more expensive than it was in recent years. Currently, real estate investors have to weigh the cost of investment, which is the reason behind lower number of new constructions in the office space market. But in my opinion the considerations I've listed here do not affect tenants' decisions. Corporations have already had to recognize the increase in rental costs as part of their business operating expenses.

Why are some office spaces more attractive than others? In Lodz, for example, many office buildings are nearly empty, while others commercialize their offer easily, such as the Monopolis complex.

Before deciding to lease space for a new business, or to relocate an existing business, companies analyze in detail the market for available office space. These analyses primarily cover hard parameters, that is rental costs and location. No less important, however, are the soft parameters, such as image of the place, its attractiveness and the availability of ancillary services, namely lunch places, green areas, relax areas. And in case of Monopolis’ tenants, final decision is largely impacted by these soft elements, by the general appeal of the place and its image. These elements allow companies to build brand recognition, but also have a possibility to increase the employee’s level of satisfaction due to working in a modern place.

What are corporations and companies looking for today, when they need to rent office space or change their current office location? What is of importance for tenants: ecological solutions, technologies used, or maybe the location of the office building and additional services offered?

Nowadays, environmental aspects play an important part in the decision-

-making process of choosing an office location. Encompassing ESG policies is one of the parameters determining tenants’ decisions today. As I mentioned earlier, they are of no less importance than the attractiveness of the place and its image. Of course, developers are responding to these needs by supplying the market with office projects teeming with modern technologies that take into account increasingly higher regulatory requirements and user expectations.

However, speaking of environmental aspects, they apply not only to the building itself, but also to its surroundings. That's why it becomes so important to properly develop the space and avoid creating suffocating places full of concrete. Environmental awareness on the part of both sides of the rental process is a cause for optimism. And buildings equipped with modern technological solutions can more easily adapt to the increasingly high expectations of companies.

Speaking of environmental aspects, tenants apply not only to the building itself, but also to its surroundings.
57 FOCUS ON Business | July–August 2023

Warsaw is still the largest office leasing market in Poland. In 2022 alone, tenants in Poland leased 1,448,300 sqm of office space, out of which 860,000 sqm were located in Warsaw. Why are such disparities observed between the capital and other towns?

Throughout Europe, capitals are of particular importance and usually are the largest business centers in a given country. Poland is no exception, but rather confirms the general rule. It is good to see that the capital is developing in an impressive way, but we note equally impressive development in regional cities, whose role can in no way be diminished.

Total available modern office space in Poland at the end of 2022 amounted to 12.7 million sqm, of which Warsaw accounted for 6.2 million sqm. From these figures it is clear that more than half of the modern office space is available in the regions. Many companies, when deciding to operate in Poland, choose to locate their offices in Warsaw, but more and more often they are choosing other cities as well. Let me refer to Monopolis, which is where global companies such as Clariant and McCormick, located their Polish headquarters.

Office space is definitely more expensive in Warsaw than in the regions. Isn't office location also determined by economic factors?

Economic factors matter, of course, but a very important element when choosing the business location is the availability of skilled workforce to work with. And in this respect Lodz can be viewed as a leader, as according to the ABSL report for 2022, the city was ranked third in terms of locating new modern

business service centers. Only Warsaw and the Tri-City were ranked ahead of us. The availability of human resources and the attractiveness of the city are key factors in deciding where to locate such businesses. We need to remember that Lodz is a major academic center, and the city's infrastructure is steadily improving. This raises position of Lodz in the ranking of investment attractiveness of Polish cities.

show, there is a significant group of employees who are more likely to complete their tasks from home. There are probably areas that thrive from such a model of work, but there are also businesses where the efficiency of working at the office is much higher.

So what can be done to encourage these employees to return to their offices?

Employees are encouraged in various ways, for example by increasing the attractiveness of the office, of the workplace itself. Design of office spaces is handled by professional interior designers, adapting the areas to the employees’ needs and emphasizing the unique character of the company and its values. Modern office spaces are extremely welcoming, generally with dedicated communal dining areas to facilitate team integration. They offer relax areas, quiet rooms for specific work tasks or green spaces. This definitely improves the well-being of employees, who should feel comfortable in their workplace. There are many elements to choose from and each company develops its own model.

Let's move on to the priorities of employees who spend at least eight hours a day in these offices. Do they pay attention to the conditions they work in, or is remuneration a more important to factor for them?

For the past three years, we have observed a shift in the work model. Before the pandemic we all worked in offices, but during the pandemic a large part of us carried out our tasks from home. Now the hybrid work model is often in place – some days we work from home, some at the office. And in my opinion this model of work will stay with us for a long time, maybe even forever. Managers are looking for various forms of incentives to encourage their staff return to the office, but as research

Recent opinion is that offices offering tenants the flexibility to adapt the leased space to the needs of the company and its employees will become increasingly popular. We also observe a growing interest in technological solutions that reduce service charges and utility consumption. Do you agree?

It's hard to disagree. For example, Virako which I represent, offers office space to clients expecting the highest quality. We invest means and resources to create top places, providing their tenants with comfort for many years, as well as the ability to control and optimize operating costs. Modern solutions, implemented at the design and construction stage, are not cheap, but we always have long-term perspective in mind, such as the aforementioned wear of the building and its energy efficiency.

Thank you for the interview.♦

The interview has been conducted by Beata Sakowska – journalist, editor, creator of regional free newspapers and a local business-lifestyle magazine.

INVESTMENTS 58 FOCUS ON Business | July–August 2023
Total available modern office space in Poland at the end of 2022 amounted to 12.7 million sqm, of which Warsaw accounted for 6.2 million sqm.

Lithuania’s business services –Persistence, Performance, Progress

Already in its 9th year, Lithuania’s Business Services Report has been through many iterations since its introduction. Originally envisioned as a handy reference for companies and consultants looking for FDI opportunities, this insight-heavy report has come to mean so much more. Amongst the valuable insights, success stories, and statistics, a detailed and dynamic picture of the maturing sector emerges. It has also become a uniting force for the local business services sector, with more companies contributing every year.

In 2023, 70 companies representing 90% of the sector’s employee base participated in the survey. In this article, I’d like to share some of the most interesting findings with the readers of FOCUS ON Business and illustrate the proactive steps that our agency and government are taking to ensure the sector’s successful continued growth for many years to come.

A SECTOR DEFINED BY MATURITY AND ADVANCED FUNCTIONS

Concerning the distribution of functions across the sector, the picture remains stable, indicating a more pronounced level of maturity has set in. IT still leads, accounting for 31%, while Customer Service remains pronounced at 19%. Only a little behind is Finance and Account-

it is launching an ambitious new financial incentive for the development of RPA and AI solutions. Because innovation in this field is initiating a paradigm shift for IT provision, forward-thinking legislators have allocated €3M in support for companies looking to deliver innovative solutions in AI and RPA. Grants range from €25K to €200K and are available to existing business services centers that export more than 80% of their services and employ more than 100 specialists, or companies, who, at a group level have in excess of 250 employees, and generate €50M in turnover, or €43M in total balance.

2022 – A YEAR OF RESILIENCE AND GROWTH

In the wake of the inevitable early rebound following the end of the pandemic, a period of stability was expected. Unfortunately, geopolitical tensions arising from the invasion of Ukraine closed the doors to such hopes. Lithuania’s business services sector, however, has been able to withstand such destabilizing crosswinds. In fact, this year we hit a significant milestone, with our sector experiencing record growth of 15%, with the total workforce now numbering 26,631 experts, far outstripping our projected number of 25,000. And optimism about the future is showing no signs of waning, with 61% of centers reporting that they have plans to expand their operations or add additional functions in the nearest future.

ing, which comprise 16% of functions. Drilling into the IT field, we see that it is mainly composed of purely IT roles (which include development and system administration), with help desk and technical support roles only accounting for roughly 4% of the entire workforce. The sector's maturity is also illustrated by the fact that increasingly important and complex functions like Robotic/ Intelligent Process Automation (RPA/ IPA) are gaining dominance, alongside other advanced functions like Data Science and R&D.

FUTURE-FOCUSED IPA, BOOSTED BY STRONG GOVERNMENTAL SUPPORT

Indeed, this growth in RPA has attracted both the attention and support of the Lithuanian government. This year

This healthy dose of support will go some way to leveraging and accelerating the boom we are already seeing in IPA in general (RPA and AI combined). 51% of respondents reported that they are now in the process of, or have already implemented, IPA solutions of some form. Meanwhile, 69% of the centers surveyed that currently use IPA, developed their solutions in-house, demonstrating that expertise is already there on the ground. And, as an illustration of just how pronounced the presence of IPA is, Telia Global Business Services are currently deploying 500 bots! All of this development is also having a concrete impact on productivity and process optimization, with the average number of hours saved by the implementation of IPA solutions now reaching 31.8K.

INVESTMENTS 60 FOCUS ON Business | July–August 2023
This year we hit a significant milestone, with our sector experiencing record growth of 15%, with the total workforce now numbering 26,631 experts.

AN INCREASINGLY INTERNATIONAL WORKFORCE WITH INCREASED SUPPORT

Talent has always been the main driver of the sector’s growth. The education level remains very high, with 92% of the talent in the sector having tertiary qualifications. And this is a workforce that is not only educated but also multilingual, with 85% of all professionals in the sector proficient in English. For example, Western Union Lithuania provides services in 25 languages. Local talent has very much been the backbone of the sector’s growth, and this workforce is becoming increasingly international in complexion. Statistics from the country’s Registry Centre show that there are now in excess of 180K foreign nationals resident in the country, with 68K of those living in the country's capital.

What is driving this increase in expats seeking to propel their careers in Lithuania? We can start with the fact that Lithuanians are now in the Top 20 happiest people globally, according to the World Happiness Report. Looking at the business services sector, this year’s report shows that 12% of the sector’s experts now hail from abroad, with Lithuania proving popular with talent from Nigeria, Argentina, Brazil, India, and Georgia.

Unsurprisingly, the capital city is their most popular destination. Europe’s greenest capital not only offers an amazing work/life balance but, more importantly, career opportunities in Fortune 500 companies, tech unicorns, as well as a thriving scene of emerging EU and global disruptors across a range of industries.

And Vilnius and the Lithuanian government have been quick to acknowledge this rising level of interest among global professionals. Launched in November 2021, International House Vilnius supplies comprehensive advice and support to talent relocating to Vilnius, touching on everything from residency, to accommodation, to healthcare, all the way to settling in and building a social network. Indeed, the centre has proven so successful that other such centres are planned for the country’s other main cities and towns.

Meanwhile, the agency set up under the auspices of Invest Lithuania to help attract more foreign talent to Lithuania, Work in Lithuania, is to gain even more autonomy. It will also be growing its team with the strategic aim of scaling up the services and support it offers.

ONWARDS AND UPWARDS!

It is both fascinating and immensely heartening to see how the business services industry is developing. The community has never been as strong as it is now. With centre leaders that are now experts in their respective fields, it should come as no surprise that they are now in-demand speakers at some of the industry’s biggest gatherings. And this strong, galvanizing leadership reverberates through the talent they are inspiring to innovate, create and excel. At the end of the day, we see that although the business services landscape is changing in profound and exciting ways, talent remains at the heart of its success.♦

Rūta Kriščiūnaitė | Key Account Executive of Business Services & ICT, Invest Lithuania
Author
Download the report: 61 FOCUS ON Business | July–August 2023

Elbląg educates in the latest digital technologies

Interview with Jacek Paluszak, Ph.D., Eng., Director of the Krzysztof Brzeski Institute of Applied Informatics at the Academy of Applied Sciences in Elbląg.

FOCUS ON Business: Elbląg is steadily developing its potential as a location for investments in the modern business services sector. Recently, there has been a lot of news not only about the construction of Porta Mare, the first class A office building in Elbląg, which will house many companies from this sector, but also about numerous initiatives in the area of developing cutting-edge technologies. At the "Industry of the Future" conference organised at the Academy of Applied Sciences in May, the concept of Industry 5.0 was discussed, while only recently we have become familiar with the term Industry 4.0. In your opinion, does Elbląg have a chance to become a centre known for smart AI-, ML-based solutions and other state-of-the-art digital technologies?

Dr. Eng. Jacek Paluszak, Krzysztof Brzeski Institute of Applied Informatics at the Academy of Applied Sciences in Elbląg: Of course yes – the opportunity is always there, you just have to work on it properly. Please remember that opportunities are one thing, but without the right people involved, even the best opportunity has no real chance. At the university, we are strongly developing our facilities related to smart solutions. We are building new laboratories, buying servers and building our own cloud – a process platform and a platform demonstrating the possibilities of using artificial intelligence in industry. There is a great potential in our province because there is still little awareness of the application of

these technologies. Above all, we work in close consultations with the business environment and are slowly adapting our curriculum so that when our students go to work as graduates, they will spread the positive buzz of advanced technologies. This should be the task of academic centres.

the institute offer and which are the most popular among the candidates?

Unfortunately, the dialogue with the real needs of the market is not always successful – this needs to be changed if our educational system is to fulfil its purpose. The student's task should first and foremost be to raise community awareness of the possibilities of new technologies and how to use them to solve engineering problems. Together with our graduates and companies recognising the potential of our vision, we could build a centre that will be seen as a source of knowledge on the cutting edge of technology.

What role does your Institute play in providing and retaining educated IT staff in the city and region? What future-oriented specialisations does

The main objective of the Institute is to combine IT theory with practice and prepare students for work in various economy sectors. We are a very good provider of qualified engineers, but the market laws are merciless for our city. Larger cities are very successful in attracting the best specialists because they can offer the best jobs. But this is also, of course, a factor that increases the cost of living in large cities. And this is where the specific nature of the IT specialist's job brings us some hope. The pandemic has changed the face of our planet and we can now work remotely from virtually anywhere on earth. Our region is very enchanting and well connected. I hope that both companies and our students will appreciate the lower cost of living in our beautiful and peaceful city of Elbląg.

Yet, as for our educational offer, we have 3 specialisations in Computer Science: "database design and application software", "computer systems and networks administration" and "3D modelling

We are adapting our curriculum so that when our students go to work as graduates, they will spread the positive buzz of advanced technologies.
The main objective of the Institute is to combine IT theory with practice and prepare students for work in various economy sectors.
INVESTMENTS 62 FOCUS ON Business | July–August 2023

in medical applications, prototyping and interactive media". The latter is an evolution of the "computer graphics" specialisation into a more practical specialisation and related to the needs of the economic environment. The first one is the most popular, due to the greatest demand for this type of specialists. We are also thinking of evolving the specialisation "computer systems and networks administration" into the currently muchneeded "cyber security". At the moment, this is at the planning stage. Our main task

as an institute is the continuous evaluation of the curriculum and monitoring the needs of employers.

An educational institute training in such advanced technologies must have modern technical facilities, including laboratories, appropriate software, measurement apparatus, etc. What conditions have the Institute managed to create in this respect?

Here we definitely have something to boast about. We are in the process of

We are thinking of evolving the specialisation "computer systems and networks administration" into the currently much-needed "cyber security".
63 FOCUS ON Business | July–August 2023

building up a new storey to our main building, where several new laboratories will be created. The extension will comprise, among others, a 3D modelling laboratory with a real-object scanning laboratory, a drone construction, programming and testing laboratory, a robotics and mechatronics laboratory, an Internet of Things laboratory, a mobile device programming laboratory and a material experiments laboratory. Furthermore, a specialised laboratory for students’ social activities will be created, where students will acquire and deepen the so-called soft skills which are highly valued by employers.

Over the past two years, we have actually replaced several hundred computers at the Institute with completely new equipment. We have started building a computing cluster. We have purchased a lot of equipment for the prototyping lab: a CO2 laser, a 5-axis milling machine, 3D printers, etc. We have new equipment in the photographic studio, a professional recording studio equipped with a video mixer, an audio recording system, 3 professional cameras, a dozen new projectors, a system for automatic management of computer laboratories, an online training certification system, a training platform for students and secondary school pupils. I could go on and on.

You mentioned the start of building a computing cluster, which the Institute is undertaking in cooperation with the global giant, IBM. Could you please explain the idea behind this initiative?

The very successful cooperation between IBM and the Elbląg Academy of Applied Sciences will allow us to carry out research requiring high computing power and AI solutions. We want to cooperate with the best, so the Krzysztof Brzeski Institute of Applied Informatics has recently expanded its computing capacity by starting to build a computing cluster. Here we use the state-of-the-art IBM Power servers.

This is a solution designed for an era dominated by artificial intelligence technology. Above all, this investment will make it possible to promote the latest technological solutions to students and graduates. Our aim is to provide comprehensive training for students in the area of advanced technologies and their

INVESTMENTS 64 FOCUS ON Business | July–August 2023

practical applications. This will make it possible to provide courses showing the possibilities of using technology in business and the economy. Thanks to our cooperation with IBM, we will be able to show students how to create models for automating economic processes, what machine learning and artificial intelligence are.

We hope that in the near future the project will contribute to a wider use of similar technologies among companies operating in the Warmia and Mazury region. We plan to continuously expand the computing cluster, and we do not exclude the possibility of sharing our IT resources and technological solutions with external entities in the future.

How does the cooperation between your institution and the business sector unfold? To what extent are you able to continuously adapt the educational curriculum to the changing needs of companies in the IT sector?

Digitisation is now spreading into almost every aspect of our lives, and market demand for specialists in this field is still very high. This trend is constantly growing due to the progressive digitisation of processes and services in many economy branches. It is therefore very important to keep up with current and cutting-edge technologies in this field. We want our students to receive a sound and practical education that will allow them to easily find their jobs in their specialisations. The subjects we teach are therefore subject to continuous evaluation, and we adapt the teaching content in such a way that the student acquires the knowledge and skills used in modern IT plus the skills for further self-education and keeping up with the latest developments in IT sector.

The excellent academic background of our students can be proven by the fact that, in their seventh semester of studies,

when they have six-month internships in technologically leading companies and institutions which cooperate with our Institute, they often remain there but this time as employees with an employment contract. The additional trainings scheme offered to our students, dedicated to specialist industries, also helps to achieve this. These trainings are conducted in parallel to the standard curriculum.

What are the Institute's development plans for the coming years and what are the biggest challenges?

First and foremost, we are all looking forward to the opening of new laboratories and using the new equipment facilities we have purchased for this purpose. This will definitely raise the prestige of our Institute and open up new education and research opportunities. We want to attract young talents and create future engineers together. We will be looking for new funds for the development of the computing cluster and the expansion of the IT infrastructure. Of course, we will continuously evaluate the curriculum and keep an eye on technological trends.

The biggest challenge will be the demographic decline that most universities are facing now. However, we remain on the positive side. We still have a lot of people interested in studying at our Institute, and our expansion plans should attract new students. This is our mission. We must not forget that we are here to shape the new generations. We are here for them. We must remember that only well-educated society is the strongest.

Thank you for the interview.♦

Interview conducted by Elwira Przybylska

More information Promotion and Tourism Department | City Hall of Elbląg Stary Rynek 25 Street, Ratusz Staromiejski, IV floor, room 400, 82-300 Elbląg Phone: +48 55 239 32 90, 55 239 33 17 e-mail: invest@umelblag.pl www.inwestycje.elblag.eu
We want to attract young talents and create future engineers together. We will be looking for new funds for the development of the computing cluster and the expansion of the IT infrastructure.
65 FOCUS ON Business | July–August 2023

King in the North –Tricity even closer to the North

Nordic origin centres are the largest group of foreign investors in Pomerania – one-fourth of all service investments come from Northern European capital. Approximately six thousand people work overall in 40 IT, SSC, CoE, GBS, and BPO centres.

Among all Polish airports, Gdańsk Lech Wałęsa Airport stands out with the most extensive network of connections to Nordic countries. There are various regular flights to economically important cities such as Copenhagen, Oslo, Stockholm, Reykjavik, Stavanger, Gothenburg, Billund, Malmö, Bergen, Turku, Trondheim, and even as far as Tromso located beyond the Arctic Circle.

– The project teams at Schibsted Tech Polska are multinational, and their members work from multiple locations. We prioritize high integration and mutual understanding within the teams by creating a friendly atmosphere in the office

that supports creative work and by face­ to ­ face meetings – comments Filip Szczucki, Gdańsk Site Manager, Schibsted Tech Polska.

NOT SO FOREIGN LANGUAGES

One of the distinguishing factors, that significantly affects the shape of the sector, is the rich educational offer, especially when it comes to economic, financial and IT courses.

– Axbit Poland sp. z o.o. has been created as the extension of the programming team from Axbit in Norway. It is the answer to the “talent War”. In Norway, there are a total of approximately 300,000

WINNER OF 2022 OUTSOURCING STARS
Scandinavian studies have been among the most popular courses of study at the University of Gdańsk for many years. Each year, around 10 candidates compete for a single spot.
INVESTMENTS 66 FOCUS ON Business | July–August 2023

students, while in Poland, it is 1.2 million – these numbers speak for themselves. At the same time, the Tricity region is culturally close to Scandinavia, from such an aspect as connection to the sea, as well as openness, tolerance, and curiosity of the world – comments Marek Kiwilszo, Managing Director at Axbit Poland.

Another noteworthy aspect is the largest centre for Scandinavian studies in Poland, located at the University of Gdańsk. Students learn Norwegian, Swedish, Danish and Finnish. It is worth mentioning that Scandinavian studies have been among the most popular courses of study at the University of Gdańsk for many years. Each year, around 10 candidates compete for a single spot.

– Both the Tricity and the entire Pomeranian region is and will continue to be an attractive place for Scandinavian companies to locate investments and further develop. The strategic coastal location, proximity to Scandinavia, availability of staff and talent, as well as perspectives related to green transformation (such as the development of the offshore sector) mean that the modern business services sector sees huge potential in this region –emphasises Agnieszka Zielińska, Managing Director, Scandinavian-Polish Chamber of Commerce.

NORDIC RECIPE FOR HAPPINESS

Finland, Denmark, Iceland, Sweden and Norway are, according to the World Happiness Report 2022, the happiest countries in the world. They dominated the top ten of the ranking.

Overall happiness also includes satisfaction with the work, since we spend one-third of our day on. According to The Global Workforce Happiness Index from 2016, Nordic people exhibit the highest level of job satisfaction in the world. Additionally, according to Eurostat data from 2022, they remain professionally active for longer periods than other European residents. So, what is the reason behind this satisfaction? From a professional point of view, Nordic companies characterize in exceptional employee care, high work ethics standards, open communication, equality and flat organisational structures.

of trust, flexible working conditions and an open voice where everyone is encouraged to share their ideas. It is their dedication that drives our growth ambitions. Our development is primarily based on talented people – comments Klaas Venborg, Vice President of the Global Business Service Centre in Gdańsk.

The concept of work-life balance is not just a phrase repeated by many companies, that ceases to exist when a deadline approaches. The balance between work and personal life is crucial. Work is part of life, not the other way around. Nordics remain professionally active for a long time, but the average national weekly working hours do not exceed 38 hours (Eurostat data, 2022).

– The work culture at DNV is definitely “Scandinavian”. Acting in line with values is embedded in the company’s DNA. The letter ‘V’ in the name stands for “Veritas”, which can be translated as a commitment to providing truth and reliability –comments Dariusz Dąbrowski, Head of Department, Digital Solutions at DNV.

– We believe that our successes are primarily due to the Scandinavian organizational culture, high-quality work based on industry specialization and reliable knowledge, the maturity of our organization and providing customers with the opportunity to choose a convenient cooperation model – emphasizes Magdalena Hennig, Head of Gdańsk Branch at 7N, a company that specializes in providing IT consulting services.

– At LEO Pharma, we emphasize a flat approach to leadership, an atmosphere

In the Activity of Specialists and Managers in the Job Market (Antal, 2022) report, when asked about the reasons for changing employment, almost 25% of the respondents pointed out lack of work-life balance in their previous job. The Tricity provides excellent conditions, where professional and personal life can form a cohesive entirety. The workplace and place of residence are important factors influencing life satisfaction. So, perhaps it is worth trying the Scandinavian work model?

Nordics remain professionally active for a long time, but the average national weekly working hours do not exceed 38 hours.
67 FOCUS ON Business | July–August 2023

SOFTWARE PRODUCTION FOR THE ENERGY AND MARITIME INDUSTRY

Nordic companies in Pomerania not only offer an excellent work culture, but also provide career development opportunities through participation in interesting projects, often of crucial importance to global organizations and their clients. The products and services they develop have a real impact on improving the quality of health, life and the environment worldwide. What kind of projects are being developed by Nordic companies in Pomerania?

in Europe, Scandinavian work culture, the latest technologies, and demanding product domains – comments Michał Rynkiewicz, Country Director at Volue.

On the other hand, the Norwegian company DNV established itself in Gdynia in 2016, with divisions for SSC and IT. The developers in Gdynia are involved in software development and support as part of global business lines. They also participate in the construction of Veracity, a digital platform that includes services for analysing large datasets, as well as a market with applications and services for the maritime and energy industries.

MODERN SERVICES FOR CHEMISTRY AND PHARMACY INDUSTRIES

In addition to IT centres, several Nordic SSC/CoE/BPO centres operate in the Tricity, providing important support in areas such as finance, accounting, procurement processes, customer service in multiple languages, and legal services.

Similarly, the Danish company LEO Pharma also has a long history and is celebrating its 115th anniversary this year, while the Global Business Service Centre in Gdańsk marked its second anniversary in March. The company employs 130 people who provide services in finance, accounting, HR, procurement, IT, as well as ensuring the quality and safety of pharmacotherapy (Pharmacovigilance).

NORTHERN WINDS OF CHANGE

The development of local centres, new operations, and specialized services demonstrate how the BSS sector in the Tricity is evolving. Investors are turning their attention to northern Poland not only because of its convenient location and modern infrastructure but mainly due to access to experienced specialists. They can find specific competencies and qualifications here.

Volue, a company from Norway, is a provider of technology and a driver of green transformation. The Gdańsk office is one of the key development centres within the entire group. Their software, knowledge, and systems lead the European markets in transitioning to sustainable services that are crucial to society. Volue’s products enable the optimization of energy production, trading, distribution, and consumption.

– We are the owners of the products we develop and later sell to customers in a SaaS model. Job at Volue Gdańsk is characterized by several elements: longterm and stable cooperation thanks to delivering products for key energy markets

More information

Kemira is a global leader in sustainable chemical solutions for water-intensive industries. The company, headquartered in Helsinki, is over 100 years old. The Business Service Centre in Gdańsk employs 250 people from around the world and covers functions such as customer order management, finance and administration, IT, and procurement of goods and services.

– Kemira is a very egalitarian company that upholds its core values. We have launched two employee networks, KemPride for LGBTQIA+ and the Woman Network. Topics such as ethics, sustainable development, diversity, and integration are given the utmost attention – adds Marta Golubowicz, Senior Manager at Kemira Gdańsk.

Invest in Pomerania

– From my perspective of 20 years in the sector, I see a shift towards highly specialized processes. It’s no longer just basic financial and accounting operations or customer service but also the ones the need to develop engineering and technical competencies. I’m impressed that we’re able to outsource and source such competencies in the Tricity market – comments Anna Round, Global Service Centre Director at MacGregor Gdańsk.♦

Authors: Anna Ciosek; Radosław Młynarczyk, PR & Marketing Project Manager, Invest in Pomerania

Grunwaldzka 472 D alley, Olivia Business Centre – Olivia Six, 80-309 Gdańsk Phone: 58 32 33 256, e-mail: office@investinpomerania.pl www.investinpomerania.pl

In addition to IT centres, several Nordic SSC/CoE/BPO centres operate in the Tricity.
Investors are turning their attention to northern Poland not only because of its convenient location and modern infrastructure but mainly due to access to experienced specialists.
INVESTMENTS 68 FOCUS ON Business | July–August 2023

Responsible business in Poznań's backyard

More and more companies are acting in line with prevailing trends by conducting responsible business. However, this is not just an empty trend! As the example of Poznań shows, human well-being is often placed above image activities. Companies' initiatives support the local community, environmental protection and care for the well-being of employees. They not only feel a responsibility for society, but also believe that they can make a real influence on it.

For Poznań City Hall, activities in the area of social responsibility come from a natural desire to help. Employees are actively involved in charitable collections as part of campaigns such as "Tytka charytatywna" or "Szlachetna Paczka". They are also not indifferent to the fate of refugees. In the face of the ongoing war in Ukraine, citizens from all over Poland showed a beautiful gesture of solidarity. The Municipal Support Point was set up in support of the Ukrainians, with officials also volunteering.

struggling with autism and is a beneficiary of the "Zdążyć z pomocą" [Hurry with Help] children’s foundation. These types of initiatives have multifaceted benefits, building a sense of community, responsibility for others, and also mobilising people to be physically active, which has a beneficial effect on their health.

BETWEEN THE CITY AND BUSINESS

Poznań’s good CSR spirit also extends to companies. In the field of cooperation between the City and business, Investor Relations Department definitely stands out. Together with the Department of Education, it supported young people by initiating the project "Every computer is useful". Twenty companies took part, donating the necessary computer equipment for pupils.

Inclusive activities also respond to the problems of women who, despite the passage of years, still face difficulties resulting from attempts to reconcile career development and motherhood. Investor Relations Department together with FlexDev Academy and the Centre for Family Initiatives, organised an inspiring coaching meeting in the series "The Women’s Side of POZnań". It focused on the topic of mothers returning to the labour market and coping with the challenges of career changes.

Environmental care remains an important point in Poznań’s development strategy. Taking care of the city’s greenery and local parks, but also the everyday surroundings of the city is an ongoing contribution to sustainable development. The City Hall employees are keen to organise for example, spring clean-ups as part of World Earth Day and take care of an ecological approach.

In addition, officials are engaging with social issues. They took part in the #gaszynchallenge, as part of which they were invited to “pump" (squats, push-ups). Each participant contributed funds to the account of Tadzio, who is

Investor Relations Department is keen to get involved in projects that promote gender equality. One example is World Values Day, which included interesting lectures and meetings. The campaign was crowned by a flashmob in which participants formed the word TOGETHER.

For both the City and Investor Relations Department, environmental pollution issues are of extreme importance. This included support for the Association of Business Service Leaders ABSL’s "Green Walk Around the Block" campaign. It promoted the cleanup of local areas. Investor Relations Department team was also involved in the Shoe Box Project, initiated by Wunderman Thompson Technology. At the time, the most necessary toiletries were collected for single women, victims of domestic violence or people in crisis of homelessness. Dozens of women received support.

IN SOLIDARITY WITH UKRAINE

When talking about CSR actions, it is difficult not to include activities related to providing aid to Ukraine. The war in our neighbours has touched many people’s hearts. In addition to ongoing assistance, permanent measures were also taken to integrate the affected people

Officials are engaging with social issues and Poznań’s good CSR spirit also extends to companies.
Investor Relations Department is keen to get involved in projects that promote gender equality.
INVESTMENTS 70 FOCUS ON Business | July–August 2023

into the labour market. In solidarity with the Ukrainians, Investor Relations Department worked with FlexDev to support the activities of the Julia Woykowska Foundation in recruiting mentors for programming courses for Ukrainian refugees (reskilling project).

Other companies also joined to support. Wunderman Thompson Technology provided in-kind and psychological support to refugees hosted by employees. In addition, four webinars on emotional support in crisis were prepared.

Franklin Templeton held integration meetings for Ukrainian youth at its head office. The company also provided medical and financial care to refugees taken in by its employees. Volunteers, on the other hand, prepared sandwiches for the Aid Point on the grounds of the Poznań International Fair. Responding to

social needs, Franklin Templeton, which is involved in numerous campaigns related to the financial education of society and supports mothers in returning to work, even created a guide with recruitment tips translated into Ukrainian. Another form of aid to Ukraine was offered by SPOC. After the outbreak of the war, the company set up a so-called SPOC-car with which they collected donations from employees for the affected

people. ADM, meanwhile, prepared Christmas parcels for Ukrainian children.

THE MANY FACES OF RESPONSIBILITY

It is extremely gratifying to see companies’ involvement in social issues and responding to current problems of humanity. It is worth mentioning that it concerns not only war, but also natural disasters. SOFTSWISS donated USD 25 000 for the purchase of living containers for people who lost their homes during the earthquake in Turkey, as well as financial aid for the purchase of food and drinking water. Meanwhile, MKS, which runs the Competence Service Center in Poznań, has so far created dozens of internal auctions in which they have auctioned off private language lessons, training packages, and a joint trip to the opera, among other things. For them,

It is extremely gratifying to see companies' involvement in social issues and responding to current problems of humanity.
Taking care of the city's greenery and local parks, but also the everyday surroundings of the city is an ongoing contribution to sustainable development. The City Hall employees are keen to organise for example, spring clean-ups as part of World Earth Day and take care of an ecological approach.
71 FOCUS ON Business | July–August 2023

the common goal of helping out is a way to strengthen bonds within the employee team and an opportunity to demonstrate interests and creativity.

It is worth adding that companies feel socially responsible not only internationally, but also by acting locally. Franklin Templeton has a global employee volunteering programme Involved, which was established to encourage employees to contribute to their local communities through, for example, financial, time, communication, advisory support and a platform to manage volunteer projects. The "Green Walk Around the Block" project mentioned above was created on their initiative.

Particularly noteworthy was the aforementioned SPOC, which organised a Christmas Eve collection for the charges of Palium Hospice in Poznań (e.g. infusion pumps, cardiomonitors, nutridrinks). They also planted his own oak forest.

ADM, on the other hand, in cooperation with the CREO association, visited the Residential Care Home, where, together with its residents, employees created flower compositions, together stimulating creativity and building

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a sense of connection. In addition, it is the creator of the #lesswaste campaign, which consists of collecting typewritten pens for the Orchid Foundation, where they are given a second life by replacing the refills.

HAPPY EMPLOYEE, HAPPY COMPANY

As part of their CSR activities, the Poznań-based companies also care about the wellbeing of their employees. Miele encourages them to participate in many interesting initiatives, e.g. "Ideas over hierarchy". This is a form of integration, a meeting over coffee and breakfast, during which everyone can share their ideas, observations on various topics related to the company. This type of activity builds a sense of community, of having a real influence on the development of the company.

An example of a great initiative that raises health awareness among employees is "Movember", a campaign organised by Wunderman Thompson Technology in November. The month was not chosen by chance is a time to make people aware of the risk of cancer of the testicles and prostate. During this period, the company has made it possible

for employees to have free screenings in this area. Wunderman Thompson Technology’s activities also resemble organic work. As an IT company, it supports the patron classes at the Communications School Complex in Poznań, taking care of the education of future generations.

Referring to running a company that is socially responsible, it is difficult not to notice any business action aimed at equalizing social differences. At Capgemini Poland, the "IT Girls Revolution Academy" project – a training programme for female secondary school students – has been thriving for years. The company recognises the potential of women in the labour market and breaks the stereotypes of masculinisation of certain professions.

Rockwool, together with the "Wózkowicze" Foundation, is instead recognising the value of people with disabilities by organising a special job fair dedicated to them. This is a major step towards equal social opportunities. It shows that people with physical incapacities are also valuable employees.

These are just examples from a selection of companies, most of Poznań’s businesses are vigorously engaged in CSR activities. These initiatives are an integral part of their business model and reflect their commitment to building a socially responsible business. For more information on current campaigns in Poznań, please visit www.poznan.pl/mim/ inwestycje/en.♦

Investor Relations Department | City of Poznań

Za Bramką 1 Street, 61-842 Poznan Phone: +48 61 878 54 28, e-mail: inwestor@um.poznan.pl www.poznan.pl/invest

Investor Relations Department team was also involved in the Shoe Box Project, initiated by Wunderman Thompson Technology. At the time, the most necessary toiletries were collected for single women, victims of domestic violence or people in crisis of homelessness.
Referring to running a company that is socially responsible, it is difficult not to notice any business action aimed at equalizing social differences.
INVESTMENTS 72 FOCUS ON Business | July–August 2023

Kids at Polytechnics... in Częstochowa

Częstochowa has gained a reputation for its innovative approach to workforce education. The city, primarily known for its traditional industry, whose staff was largely absorbed by the automotive sector, exceptionally regretted the systemic changes in vocational and technical education. Therefore, earlier than other cities, it began to seek solutions to address this issue and fill the gap in the market. That is how the first tools of the program Better Job Now, the Professional Cooperation project, and even earlier Academic Częstochowa were created.

Even before it became common to mention business, science and local government in one sentence, we knew that it was impossible to develop the region without close cooperation in this area. In Częstochowa, apart from several private universities, there are two public universities: Jan Długosz University and the Częstochowa University of Technology. Universities today are aware of the need to be competitive, and without cooperation, it is difficult to achieve. Profiling education at the secondary level so a young person, when choosing a career path, has no need to escape from the city is a priority for every local government, university and business. Everyone plays for one goal.

The exemplary model, implemented in Częstochowa, was the establishment of a glass technology technician profile in one of the Częstochowa technical schools, along with financial support from the city to create the field of glass and ceramics technology at the Częstochowa University of Technology. Graduates from both programs, at both post-primary and higher levels, could find employment at Guardian Glass and Stoelzle Częstochowa, two industry giants present in the city, as well as at Press Glass, located in the vicinity.

CZĘSTOCHOWA UNIVERSITY OF YOUNG EXPLORERS

However, what to do to encourage such young people to choose a technical school? How can we convince a child that more years spent in school, more learning

and practice is an asset? There is no other way than to use the potential that has always been hidden in children, their curiosity and creativity. It is necessary to awaken and develop passions in children, hoping that one of them will help the future engineer grow up – but this must be done skillfully.

A unique action is certainly the Częstochowa University of Young Explorers, which has been educating hundreds of kids since 2017. In the last five years, eight editions of this interesting project have already taken place. Each subsequent one is usually the first opportunity for its very young participants to come into contact with the University of Technology – potentially it can also translate

into their later interest in technical studies in our city, which is what all interested parties count on: the city, the university and potential employers.

A university for kids, like any higher education institution, requires them to be diligent, pass consecutive subjects and have an Index. Each project is officially opened by the Rector of the Częstochowa University of Technology,

Częstochowa University of Young Explorers has been educating hundreds of kids since 2017.
INVESTMENTS 74 FOCUS ON Business | July–August 2023

prof. Norbert Sczygiol (called by children the king because of his toga), who is always accompanied by Krzysztof Matyjaszczyk – the Mayor of Częstochowa or one of his deputies. The Częstochowa Investor Assistance Center under its Invest In Częstochowa brand has been supporting CzUMO (Częstochowa University of Young Explorers in Polish: Częstochowski Uniwersytet Młodego Odkrywcy) for years from the very beginning – being in constant contact with entrepreneurs, they understand the need for such action quite well. As part of Academic Częstochowa, it supported three editions with a grant.

Does it work? Of course. This year’s Częstochowa University of Young Explorers turned out to be record-breaking in terms of the number of students participating in it, and the number of volunteers significantly exceeded the capacity of the project. This year, the Faculty of Mechanical Engineering and Computer Science of the Częstochowa University of Technology admitted 265 children from primary schools. In total, 1,590 students can boast of a graduate diploma. For years, children have been attracted by a friendly atmosphere, they are not yet aware that their lecturers are teaching staff consisting in the vast majority of doctors and professors who pass on their knowledge through play.

FROM MARS ROVER RESEARCH TO BIONICS CLASSES

This year, the fascinating world of science could be explored by examining the world with a Mars rover, 3D printing, drone flights, educational robots (Photon, Dash and Dot), the use of a thermal imaging camera to measure temperature, playing with energy, travel workshops and IPMA Kids and IPMA workshops teens. The basis, however, is fun math, i.e. logical games and activities, mechanics for the youngest and Robotics LEGO WeDo and LEGO MINDSTORMS.

The most popular classes are still those related to bionics, and although the name itself may sound somewhat unfamiliar, studying in the company of praying mantises or grasshoppers not only fascinates but also helps to understand the mechanisms of the modern world and the changes occurring within it. All CzUMO students also create prints on their clothes themselves using the screen printing method.

Let’s hope that among the graduates, there will be successors to the young constructors from the PCz Rover Team, who consistently rank among the top competitors in the University Rover Challenge – a prestigious international competition for Mars rovers built by students. The challenge takes place at the Mars Desert Research Station in the Utah desert, United States, in collaboration with scientists working in the space sector, including NASA. On May 25th, this year, the Częstochowa team has already embarked on their journey, and the city has also supported this project with a grant as part of the Academic Częstochowa program.♦

Author: Anna Tymoshenko, Head of the Investor Assistance Center, City Hall of Częstochowa

Translation: Magdalena Wytrzymała

More information Investor Assistance Center | City Hall of Częstochowa Waszyngtona 5 Street, 42-217 Częstochowa Phone: +48 34 3707 212, +48 34 3707 213 e-mail: coi@czestochowa.um.gov.pl, www.czestochowa.pl
In total, 1,590 students can boast of a graduate diploma. For years, children have been attracted by a friendly atmosphere.
75 FOCUS ON Business | July–August 2023

Innovation and development drive the BSS market in Bydgoszcz

Cities with more than one hundred thousand inhabitants are becoming more and more attractive to companies from the modern business services sector, which has been one of the most dynamically developing branches of the economy for years. Bydgoszcz benefits from this, which strengthens its position on the BSS map in Poland. The local competences and attractive investment environment of the City make Bydgoszcz a convenient place for many entities to expand their activities with more advanced and innovative projects.

BYDGOSZCZ AT THE FOREFRONT OF DEVELOPING CITIES

According to the data of the Association of Business Service Leaders (ABSL), there are already 47 business service centres in Bydgoszcz, 3 of which employ over 500 people. The main category of services provided are IT services, thus building a strong specialization of the City in the area of technology and innovation. At the end of the first half of 2022, approx. 11,500 people worked in the business services sector in Bydgoszcz. There was a very high increase in employment in the sector, amounting to 16.2%. This is the second place, after Warsaw (17%), with an overall increase in employment of 11.6%. Seeing the potential for the development of business services on the Bydgoszcz market, ABSL chose the City for the location of its eighth chapter. ABSL chapters are created in locations where business services play an important role for the economy of the region, operating on the basis of knowledge exchange and cooperation platforms between investors and city authorities, universities and the entire business ecosystem.

– We are pleased to join the prestigious group of locations where business service centres already employ over 10,000 people. What distinguishes the Bydgoszcz market is the dominant share of IT companies in the local structure of the sector.

Global technology companies which have their service centres here appreciate the local IT environment, qualified specialists – in particular programmers and data engineers, interesting office options, as well as the region's experience in supporting innovative activities – emphasizes Robert Wichłacz, Vice President, Managing Director of Atos GDC PL and leader of the ABSL Bydgoszcz chapter.

– Bydgoszcz consistently implements the concept of "a city open to outsourcing" – says Edyta Wiwatowska, President of the Management Board of the Bydgoszcz

Regional Development Agency. – The key role is played by a friendly climate for living and running a business, including support for investors from BARR. The unique IT specialization of the City as well as the quality and innovative character of the services provided draw the prospect of further expansion of the Bydgoszcz sector of modern services for business. The success stories and continuous development of the investors, combined with the successful addition of new entities, allow the City to compete for the most advanced projects – she adds.

At the end of the first half of 2022, approx. 11,500 people worked in the business services sector in Bydgoszcz. There was a very high increase in employment in the sector, amounting to 16.2%. This is the second place, after Warsaw (17%),

INVESTMENTS 76 FOCUS ON Business | July–August 2023

THE IT GIANT HAS BEEN BETTING ON BYDGOSZCZ FOR YEARS

Atos GDC Poland has been intensively developing its activity in Bydgoszcz for years. It has also become the largest entity from the BSS sector on the local market, and in 2019 it moved its headquarters here. Bydgoszcz specialists carry out strategic projects for global customers and participate in such important and prestigious projects as IT support for the Olympic Games (currently preparations for the Paris Games in 2024 are taking place) or the office of the Prime Minister of Belgium. Atos has also become the Official Technology Partner of UEFA National Team Football (UNTF). This new, groundbreaking partnership is meant to provide technological support to UNTF and the competition.

Atos GDC Poland develops R&D activities through partnering with Google or AWS, IOT projects and a wide range of automation activities. Moreover, in 2020 the investor decided to establish a new company focused on IT research and development – Atos Poland R&D. A separate R&D department was created as a response to the needs in the field of new technologies and innovations, as well as the implementation of end-to-end projects. Just a year after starting its operations, the company received the status of a Research and Development Centre from the Ministry of Development and Technology.

Atos is the birthplace of Eviden, a new company that brings together business lines related to digital technology, big data and security. In April 2023, it opened the Global Cloud Engineering Center in Bydgoszcz. It is the first centre in Poland and one of the three in the world offering comprehensive consulting and implementation services in the cloud area. It is a unique platform consolidating Eviden's global R&D activities and a tool to drive innovation in the cloud.

It is a business based on the new digital generation, occupying a leading position in the field of digital technologies, cloud, data, advanced processing and security. It provides services in public, private and hybrid cloud environments. Its goal is to modernize enterprise applications in terms of flexibility, mobility, security and driving of innovation. The Cloud Engineering Center

operating from Bydgoszcz supports customers all over the world at every stage of their development in the cloud – from migration, through accelerating innovation, to security.

AI IN THE SERVICE OF THE ENVIRONMENT Deepsense.ai operating on the Bydgoszcz market since 2018, can also boast innovative and technologically advanced projects. The company produces advanced information systems based on artificial intelligence and deep machine learning. In addition to implementing commercial projects, it actively participates in the scientific development of these fields, and deepsense.ai teams have been occupying leading positions in prestigious global competitions in the field of advanced data analysis for years.

One of the most interesting deepsense.ai projects was the system created for the National Oceanic and Atmospheric Administration – an American governmental institution that deals with protection of the oceanic fauna and flora. The aim of this project was to develop an automatic whale identification system based on the analysis of aerial photographs to track the migration of specific representatives of this endangered species and to develop protection over the entire population. Based on artificial intelligence and computer vision, the system successfully replaced longterm manual analyzes by researchers, reducing the process of identifying individual whales from three hours to just three minutes.

VR + AR = NEW GENERATION HR

KDR Solutions, created thanks to the combination of practical knowledge in the field of IT and HR, is among the companies focused on innovation and the use of the latest technologies and has been associated with Bydgoszcz since the beginning of its ten-year activity.

– Bydgoszcz is an IT hub in Poland. There are good technical universities and secondary schools with which we cooperate with in the area of internships. People with the greatest potential and skills find employment with us. There are also industrial and technological parks in the City

The Cloud Engineering Center operating from Bydgoszcz supports customers all over the world at every stage of their development in the cloud – from migration, through accelerating innovation, to security.
77 FOCUS ON Business | July–August 2023

and the surrounding area, with which we directly cooperate – explain the owners of KDR Solutions. By creating the VR Solutions brand, the company focuses on the use of technologically advanced solutions, designed in its own R&D laboratory, consisting in the use of virtual and augmented reality to comprehensively support HR processes in enterprises.

Virtual and augmented reality (VR/ AR) is used in many areas of life. In business, it is used, for example, in the medical, manufacturing, commercial, service (e.g. designers) or training industries. It allows to reflect the processes and real situations that an employee can face in everyday work. A safe, virtual environment is conducive to learning, forgives mistakes that are sometimes completely unacceptable in the real world. VR Solutions are dedicated VR/AR solutions for business, including systems that enable the examination of key competences from the point of view of the position held, as well as the virtualization of the working environment, which allows the assessment of the competences and skills of the employee. VR Solutions also supports recruitment, onboarding and employee

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development processes – it offers a virtual assistant in the form of an avatar, which can help, for example, to conduct initial training, OHS, GDPR, familiarize with the mission and values of the company or answer other questions, which in turn saves time of key people in the company and ensures standardization of processes.

– Depending on the client's needs, we virtualize key processes or positions in the company. Current technologies allow very real reflection of spaces and objects, e.g. company offices, production hall, machines. Thanks to this, the employee has a sense of presence in a real work

Bydgoszcz

DIRECTION – DEVELOPMENT

Bydgoszcz has a great potential for development – as does the modern business services sector, which is constantly growing, creating new, valuable jobs on the local market. The above-mentioned examples are only a fragment of innovative and developmental activities of companies from the BSS sector in Bydgoszcz. Prospects for further growth, especially in the IT industry, can currently be seen, among others, in the dynamic development of the e-commerce market, cloud tools, data security, 5G technology, industry 4.0 and smart city solutions, as well as in broadly understood automation or the possibilities of cooperation with various sectors and industries present in the City.

Therefore, companies located in Bydgoszcz are not slowing down – they develop innovative technologies, invest in R&D activities, develop innovative solutions and offer attractive jobs in international teams implementing projects on a global scale.♦

Regional Development Agency

4C Unii Lubelskiej Street, 85-059 Bydgoszcz

Phone: +48 52 585 88 23, e-mail: barr@barr.pl www.barr.pl

VR/AR is used in many areas of life. In business, it is used, for example, in the medical, manufacturing, commercial, service (e.g. designers) or training industries.
environment – explains Marlena Adamska, Director of Development in KDR Solutions.
INVESTMENTS 78 FOCUS ON Business | July–August 2023

How to transform an intern into a valuable company asset: "Practise in Łódź – Holiday Internships" program and the "Youth in Łódź" initiative

Practical experience has always been viewed as an extremely important element on every CV. Young people who focus their efforts on that particular aspect send a clear message to employers: I want to be ready for whatever comes my way at work. However, it is often challenging to reach the right company – one where internship provides invaluable experience in itself as well as translates to proper, full-time employment in the near future.

The City of Łódź has been delivering the “Practise in Łódź”, holiday internship program for over a decade. This initiative aims to effectively and meaning fully connect students and graduates of Łódź-based universities with employers based in the city. Internships taking place within the program’s 13th edition are in progress as we speak, which means “Practise in Łódź” 2023 entered its crucial stage. We believe this is the right moment to examine ideas forming the program’s backbone and discuss its achievements thus far.

Let’s start with some numbers. Latest edition of the FOCUS ON Łódź report indicates that Łódź welcomed as many as 8 new investments in the modern business services sector in 2022 alone. In total, nearly 150 BSS investors employing close to 40,000 people call Łódź their home in Poland. Growth remains impressive, despite the COVID-19 pandemic followed by war in Ukraine. Excellent results are in no small part due to the City of Łódź Office’s activities, where mutual trust and tailor-made services are the cornerstone of investor relations. All stakeholders are building the ‘Łódź brand’ together and showcasing the city as an attractive business location. “Practise in Łódź” is an excellent case in point.

The business-friendly climate resonates with employers as well as students, who are viewed and treated as future employees. Let the numbers speak for themselves once again. With 75,000 active

support on its journey from universities to offices. That exact task was the guiding principle set for the “Practise in Łódź” internship program – the largest internship project in the city, organized as part of the “Youth in Łódź” initiative.

With 75,000 active students and more than 17,000 graduates annually, including 1,500 IT graduates and 500 foreign language and literature graduates, Łódź boasts a rich talent pool it can be proud of.
students and more than 17,000 graduates annually, including 1,500 IT graduates and 500 foreign language and literature graduates, Łódź boasts a rich talent pool it can be proud of. While a talent pool it itself is superb it nevertheless requires INVESTMENTS 80 FOCUS ON Business | July–August 2023

The internship program, designed over a decade ago, is a response to one of the most pressing requirements faced by business worldwide, which is a constant search for young talents that would soon become committed company employees. Primary objective of the “Practise in Łódź” program is to promote holiday internships as an excellent solution to attract talent at an early stage in their career paths. Business stakeholders are keen to participate – 80 Łódź-based employers posted over 400 internship positions in 2023 alone.

and this internship program allows us to do just that.

The above is reflected in a certain broader trend. As many as 75% of students and graduates are offered fulltime positions after completing their internships – a truly outstanding result! Employers are often surprised by how well-prepared applicants are right from the get go, with some already boasting valuable professional experience, others

showing excellent command of foreign languages or having exceptional scientific achievements to their name. Interns are treated as full-time team members and are involved in specific projects and tasks. Emphasis is placed on integration into company life and making interns feel like real, contributing team members. Only that kind of experience will prove meaningful for both sides to this equation later on.

Companies from all corners of the business services industry – IT, R&D, BPO, and SSC – are represented and scouting for young, promising interns. Moreover, a host of companies participate annually because the program has proved extremely successful in the past and provided them with excellent talent. One such company is Clariant Services (Poland). Their global shared services center located in Łódź takes great pride in co-creating “Practise in Łódź”.

Zuzanna Glapińska from Clariant’s HR department: We consider the "Practise in Łódź – Holiday Internships" programan extremely valuable opportunity and that’s why we are always keen to get involved. Our interns get a chance to learn first-hand about real, process-based work we do on a daily basis as well as participate in all company activities. We make every effort to ensure that during their time with us they learn as much as possible and gain experience that will hopefully help them in their future professional endeavors. A great testament to that is the fact that quite a significant number of interns who joined us through the “Practise in Łódź” program decided to stay with Clariant for longer and are now growing with the company. We have a really fantastic and talented group of young people in Łódź – they deserve an opportunity

81 FOCUS ON Business | July–August 2023
Business stakeholders are keen to participate in program – 80 Łódź-based employers posted over 400 internship positions in 2023 alone.

It’s also worth pointing out that application procedure is very similar toareal-liferecruitmentprocess.Thereasoning behind it was that it can serve as a training exercise of sorts, aimed at improving applicants’ skills in this area. First, interns-to-be apply for up to ten internship offers posted by employers on a dedicated website (www.praktyki.lodz.pl).Nextistheapplicationselectionstage,whereemployers conductindividualjobinterviewswith selected candidates and decide who makesthefinalcut.Internshipsstartin JuneandlastuntilSeptember.Another keyfeatureoftheinternshipsofferedvia the“PractiseinŁódź”programisthatall positionsarepaid:startingfromaminimumofPLN3,600grossuptoPLN6,500 gross per month (on a full-time basis). This is certainly among the program’s pivotalfeatures.

Thepalpablesynergybetweenemployersandinternstranslatestoasteadily growing popularity of the “Practise in Łódź” program. Current edition set a new record for the total number of applications – nearly 6,000 people applied!Overall,the12projecteditions thusfarhavebroughtover600companies offering close to 2,200 internship positionsforstudentsandgraduatesof Łódź-baseduniversities.

Amongthatcovetedgroupofcompanies is Commerzbank AG. A regular program participant, the company recruitsstudentsforinternshipslasting full3months.Commerzbankisconstantly growing its technology center in Łódź, already boasting over 700 highly skilled employeesandplanningfurthergrowth inthecomingmonths.MartaPąperska fromthebank’srecruitmentdepartment remarks: We have been an active participant in the “Youth in Łódź” program for several years. It’s an opportunity

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to reach a very large group of students in the city and foster brand awareness. Every year, a dozen or so young talents joins us on our journey. The 3-month period they spend with us is designed so that their first steps in the IT world are meaningful and full of knowledge-sharing sessions by our experienced mentors. Additionally, this edition saw us host our first Open Day where Commerzbank’s

specialists offered recruitment tips and delivered lectures on problem-solving.

Knowledge sharing is another extremely valuable aspect of the “Practise in Łódź” program. We already spoke about the level of preparation and knowledge shown by interns, often leaving employers astonished; this, in turn, drives the companies to design even better internship programs as well as look after participants in a holistic way. The idea behind it is that excellent conditions are going to pay off in real work environment sooner rather than later.

One can even go as far as to say that “Youth in Łódź”, and in particular the “Practise in Łódź” program, is a winwin for all taking part in it. Finally, as the City of Łódź Office assures us, continuous efforts are made to ensure next editions are brimming with high-quality growth opportunities, both for interns and employers.♦

Business Development and International Relations Bureau

Another key feature of the internships offered via the "Practise in Łódź” program is that all positions are paid: starting from a minimum of PLN 3,600 gross up to PLN 6,500 gross per month (on a full-time basis).
Street,
+48 42 638 59 39, Fax: +48 42 638 59 40,
Piotrkowska 104a
90-926 Lodz Phone:
e-mail: boi@uml.lodz.pl www.lodz.pl, Linkedin: Invest in Lodz
INVESTMENTS 82 FOCUS ON Business | July–August 2023

we’ve got everyt ng except

for YOU

hipiotrkowska.pl

ul. Piotrkowska
157a, Łódź

Kielce: the capital of digital innovation in Eastern Poland

The capital of the Świętokrzyskie Voivodeship is the only center in Eastern Poland that received funding for the implementation of the Digital Innovation Hub. For Kielce, this is prestige and distinction, because by implementing the project we become a partner of the trans-European network European Digital Innovation Hubs, which is the basic tool of the European Commission to support and coordinate the digital transformation of the European Union economy.

The Kielce Technology Park (KTP) is an organizational unit of the city of Kielce, whose task is to create an attractive business space and good conditions for attracting investors, especially those that invest in technology. Every effort is made to ensure that companies choose this location for their headquarters. The KTP is a convenient place for business creation, has favorable conditions and offers support including experts and services that allow enterprises to develop successfully.

DIGITAL INNOVATION HUB

The KTP brings together almost 250 companies. These are technologically advanced companies that place great emphasis on the development of innovation. As part of the network of European Digital Innovation Hubs, the Kielce Technology Park has become the only regional hub in Eastern Poland, whose assistance and services will be used by regional entrepreneurs in their evolution and rather digital revolution.

The ways of functioning of companies and gaining competitive advantages on the market have changed a lot in recent years. This is the aftermath of the pandemic and the strong need to digitize processes. The introduction of the state of epidemic threat meant that many companies were on the verge of making a decision: change and digitize processes or disappear from the market.

The DIH is to help ensure a competitive advantage or at least equalize the chances in the race with the competition, thus – it assumes reducing costs, increasing the effectiveness and efficiency of the company's operations. The European Commission recognized the need to accelerate digital transformation processes by comparing European and more developed American and Chinese companies. Thanks to the selection in a competition, the Kielce Technology Park is in the elite club of entities that will design and implement digitization processes throughout Europe.

business partners is to ensure specific implementations. This is a signal to all potential customers that the Kielce Technology Park is the right place where you can get the right knowledge and specific service in the implementation of new technology or tools to help in the process of digitizing the company.

According to the assumptions of the project, the SME sector will be the main addressee of the Digital Innovation Hub, so there will probably be enterprises that will not only need an internal change in the organization, but will also create new digital products.

Thanks to the selection in a competition, the Kielce Technology Park is in the elite club of entities that will design and implement digitization processes throughout Europe.

Only 11 centers in Poland received the status of a European center, and in the entire European Union – over 100 entities. They will be a kind of one stop shop in terms of providing digitization services from A to Z for a given company.

SUPPORT FOR BUSINESS DIGITIZATION

In order to achieve the best results, specialists from the Kielce Technology Park will check readiness for digital maturity as part of the project, and then conduct in-depth analyses. Cooperation with

And if they create them, the result of such actions will often be the removal of a specific project from the organization and the establishment of a targeted start-up that will be able to create, develop and market these new solutions.

Change is the most difficult thing in any organization because there is a natural internal resistance associated with it. It should be remembered that some digitization processes may cause people to be replaced by machines and solutions that automate e.g. production.

INVESTMENTS 84 FOCUS ON Business | July–August 2023

These processes are not a threat, but a natural development process for their future. The discussion on this topic will take place as part of the DIH Digitization Academy during workshops, conferences and seminars with entrepreneurs.

The first tangible effects will be visible soon. The process of the so-called acceleration of companies from the first recruitment. People who wanted to provide solutions to the challenges posed by large Polish entrepreneurs came forward. Potential creators were selected together with them. Start-ups have recently started working on specific solutions for recipients. It is gratifying that the challenges posed by entrepreneurs are so interesting that more and more potential creators or start-ups want to join the platform.

NEW INVESTMENT SUPPORT INSTRUMENTS

The City of Kielce also cooperates with other institutions providing organizational, financial and expert support for companies developing in Kielce. Attractive

and "tailor-made" solutions are offered by Bank Gospodarstwa Krajowego, which supports the sustainable social and economic development of Poland. Its activities affect the creation of jobs, construction of housing, development of infrastructure and even improvement of air quality. At the end of April, BGK signed

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an agreement with the European Commission, thanks to which it became an executive partner of the InvestEU, authorized to offer directly, without intermediaries, an investment loan secured by a guarantee. The InvestEU is a new instrument to support companies' investments in the areas of green and digital transformation and innovation, which can be used not only by enterprises, but also

by private and public sector entities and mixed entities (e.g. PPP) based in Poland.

What future awaits Kielce and the Świętokrzyskie Region? It is important to further develop infrastructure with the best possible conditions for running a start-up business and for mature companies that introduce innovative products.

The second area is related to digitization and a strong market entry with a one stop shop, which is the Digital Innovation Hub. The third area is accelerated incubation. These are the business priorities of Kielce, which will certainly be developed thanks to the capabilities of the Kielce Technology Park.♦

Investor Assistance Centre | Kielce City Hall

Strycharska 6 Street, 25-659 Kielce Phone: +48 41 36 76 571, 41 36 76 557, e-mail: coi@um.kielce.pl www.invest.kielce.pl/en, www.mapa.invest.kielce.pl/en

It should be remembered that some digitization processes may cause people to be replaced by machines and solutions that automate e.g. production. These processes are not a threat, but a natural development process for their future.
85 FOCUS ON Business | July–August 2023

Challenge in Katowice Part 2

We present to you the second part of the material published in the previous edition of FOCUS ON Business (issue 3/2023), dedicated to a new project of the Katowice City Hall. The investors are asked to share their opinions on the city and observations about their lives in the region. This time, Eliza De Campos Pegado from Honeywell and Aleksandra Durzyńska-Prochowska from Fujitsu Technology Solutions GDC Poland talk about their experiences of Katowice.

We are curious how it is to live and work in Katowice?

Aleksandra Durzyńska-Prochowska: Previously, our city, industrial and mine-oriented, enjoyed the reputation of a behemoth. Every year, positive changes can be seen – both in the urban fabric, public transport, and in the development of the university. For 10 years, I have discovered many places where people want to spend time both on weekends and after work. You can live in a beautiful area without giving up the advantages of the city. We have great theaters, cinemas, parks, educational institutions, facilities recognizable throughout the country that host international events. In Katowice you can have all the amenities of a large metropolis, but on a friendly scale.

As for professional opportunities, there are plenty of them, of course I am thinking about international companies,

but I also observe careers in public service, in production and service companies. I am pleased with the growing percentage of micro-entrepreneurs. People find the right conditions to develop their own businesses and stay in the city for longer.

Is the glass ceiling still an obstacle to career development?

It probably depends on the organizational culture of a given company, but also on the social support for women's activity and the change of the fatherhood model to a participatory one. More and more often we plan our careers on our own terms. For most of us, professional activity and good earnings are important, but there is no pressure to sacrifice personal life so common 10-12 years ago. A smart employer understands and supports this. For most of us, the opportunity for professional development is an important part of our career.

The topic of equal treatment, equal opportunities and earnings is not a fad, but a fundamental right and should be enforced as such. For me, it is very important to say goodbye to the stereotypes about women: emotionally unstable, not technically savvy, I am such a blonde. Even if we think it's a joke – let's not do it to ourselves! This approach distorts reality, but fortunately it is incomprehensible in my 20-year-old daughter's generation. About each other – let's talk with respect, understanding, respect for differences. I am surrounded by wonderful, strong

and smart people. Even though we are very different, everyone brings something unique. I draw inspiration from them almost every day.

Is Katowice a friendly place where you can leave all day stress behind?

Sure! I am a big fan of Trzy Stawy (Three Ponds), Katowice Forest Park, I love Nikiszowiec, where my friends live and where the community cherishes the heritage of Upper Silesia. I really like looking at the culturezone with NOSPR (National Polish Radio Symphony Orchestra) and the Silesian Museum from the windows of our .KTW office building. We have a wonderful beech reserve on Ligota. There are plenty of places where you can get there quickly and discover a different world.

Does Katowice inspire?

Everyone who remembers Katowice from years ago is impressed – they are impressed with what idea the city has found for itself. I love the skilful incorporation of history into the present and how Katowice positively changed its image from an industrial city to a modern and people-friendly one. This is largely thanks to local communities and NGOs. Local initiatives, such as the business incubator or Katowice – City of Gardens, are of great importance. Of course, this also has its consequences – the prices of apartments in attractive areas are rising.

And the most important question –what is it like to live and work in Katowice for ambitious women?

Very good! I know the inhabitants of Katowice, but also many visitors who, like me, have deliberately chosen Katowice as a place to live. See you at Mariacka!

Aleksandra Durzyńska-Prochowska, Head of Fujitsu Technology Solutions GDC Poland
INVESTMENTS

What does the city look like from the perspective of someone managing a branch of a global corporation?

Eliza De Campos Pegado: Very little remains of the typical industrial, gray landscape that I remember from my childhood spent in Upper Silesia. Katowice has become a key city for modern business, including the sector of modern business services for many international companies, including the American giant, Honeywell.

At the office on Żelazna 4, I manage 400+ person Customer Experience hub that provides services for two business lines in the EMEA region: Safety and Productivity Solutions (SPS) and Honeywell Building Technologies (HBT). Together with Monika Hetmańczyk, Director of Customer Service at HBT, and above all, thanks to our talented teams straight from the heart of Upper Silesia, we handle the entire process from order to delivery, serving as a key element in the company's operations in Europe, Asia, and Africa.

Katowice is an extraordinary city for me and a true symbol of the transformation of Upper Silesia. It is a space where the past meets the future. A city where, with respect for the development that began in the 19th century with the discovery of coal deposits, a modern, dynamic, and work-friendly metropolis is emerging.

How did the American giant choose Katowice?

Thanks to its modernity, openness to investors, and excellent educational, transportation, and office infrastructure, Katowice helped us make the decision to

locate our centralized customer service unit here four years ago.

Today, we employ employees from 39 nationalities from around the world in Katowice, and our clearly defined career path provides equal opportunities for everyone. Our professional and dedicated team is the best proof that investing in Katowice was a great choice.

Women in the corporation. The glass ceiling, pay inequality, hindered promotion. How does the situation look from your point of view? Honeywell actively counteracts any limitations in the professional sphere – confirmation of this can be the fact that, among others, educated, ambitious women hold key positions in our organization, currently constituting over 70% of the management team, and many of them have been promoted to these positions within the hub's structures in recent years.

We make great efforts to ensure that everyone feels at home with us and... that they don't get bored after work. We hope they don't get bored?

The diversity in our hub, which I mentioned earlier, is also possible thanks to the city itself. It is the attractiveness of Katowice, not only professionally but also its rich recreational, cultural, and educational offerings that cause a large group of foreigners to decide to live in Katowice. The wide range of

cultural infrastructure, starting from facilities such as NOSPR (National Polish Radio Symphony Orchestra), the Silesian Museum, recreational areas close to nature like Trzy Stawy (Three Ponds), as well as the civic engagement of the residents, all contribute to Katowice maintaining its unique atmosphere.

The active KATOobywatel (KATOcitizen), with whom we had the pleasure of working during the cleaning campaign in the Wełnowiec-Józefowiec district, is very close to our environmental and broad sustainability activities.

Finally, modern architecture intertwined with the old, diverse gastronomic infrastructure, excellent access from surrounding towns, and the aforementioned modern, inclusive approach to investors, make Katowice a city that continues to inspire and stimulate the creativity of successive generations of residents and visitors.

We live in a place where technology befriends humans, and humans benefit from its blessings while surrounded by greenery and the singing of birds. We combine fire with water – and we excel at it. Katowice.♦

More information Investors Assistance Department Katowice City Hall www.invest.katowice.eu 87 FOCUS ON Business | July–August 2023

Wroclaw – the Polish capital of startups

According to the latest "Polish Startups" report, published in December 2022 by the Startup Poland Foundation, the largest number of young technology companies – 21% – operate in Lower Silesia, mainly in Wroclaw.

The capital of Lower Silesia is not only on the top of the podium when it comes to startup activity, but also ranked at the top of Polish cities in the category of rising stars of technology hubs according to “The next generation of tech ecosystems” report published late last year. The report was prepared by Dealroom, a global aggregator and provider of data on startups and technology ecosystems. Wroclaw was ranked in this category second in Europe and eighth in the world.

– Our city is a magnet for talented people from a wide range of disciplines –says Magdalena Okulowska, president of the Wroclaw Agglomeration Development Agency. – We are a strong economic region, not only in Poland, but also in Europe. This has long been proven not only by rankings, but mainly by innovations achieving international success and new companies becoming part of our ecosystem. This is due to scientists, innovators, employers, local government officials, but also business environment institutions. Because of the attractiveness of the university and the high quality of life, ambitious representatives of the technological and creative industries feel comfortable here. This is where they have extremely good chances for their dynamic development.

PEOPLE ARE BEHIND THE STARTUP SUCCESS OF WROCLAW

Representatives of Startup Wroclaw are sure that the first position of the capital of Lower Silesia in the ranking of startups is not a coincidence or a temporary reshuffle, but the result of the work of many people and institutions who have

put a lot of effort to make this city perfect for the development of startup business.

– The main reason for our success is, of course, the people – believes Paulina Muszyńska, head of Startup Wroclaw. –The startup community is growing all the time, resulting in new companies and events that help to establish new contacts and exchange experiences. Cooperation is another factor – including huge participation from the city, business environment institutions, universities, business and private entities. There is also a great support from the startup community, so that newly established projects can benefit from the mentoring and experience of others, with a better chance of getting off to a solid start and a good understanding of trends and opportunities for growth.

According to Paulina Muszyńska, human capital and cooperation on many levels result in the creation of important

structures that strengthen local entrepreneurship and have a positive impact on the entire startup ecosystem. Numerous associations and organizations are being established to activate the community through meetings, workshops, networking breakfasts or conferences.

WROCLAW ECOSYSTEM ATTRACTS INTERNATIONAL ATTENTION AND LOCAL TALENTS

Lower Silesia, with Wroclaw in the lead, is not slacking off. Not only does it constantly figure in lists of top places to invest for startups, but it has itself become one of the most important technology hubs in Poland.

For another year in a row, Wroclaw was the best in the ranking of “fDi’s Mid-Sized European Cities of the Future 2023” in the category of medium-sized cities, which evaluated the best conditions for

INVESTMENTS 88 FOCUS ON Business | July–August 2023

business. This ranking took into account, inter alia, the number of high-tech companies in the service and R&D sectors.

– Such awards are incredibly encouraging for the entire ecosystem, and we are sure that they will have a long­term impact on the market – says Mateusz Jarzombek, director of the Business Support Center at the Wroclaw Agglomeration Development Agency. – Taking into account our activities to date, the strong position and brand of Wroclaw and Lower Silesia, or the support and interest from partners –including international ones, I think we are able to keep our high place from 2022. Creativity, talent and technology are all doing very well in our region.

HOW ABOUT A DATE... A TECHNOLOGY DATE?

Meanwhile, the year 2022 has already shown the growth of Wroclaw in many fields. The local ecosystem has been strengthened with contacts with partners and mentors, and most importantly between startups themselves.

– We focused on meetings and connecting – says Paulina Muszyńska. – On top of that, we went abroad with our proposals and established contacts with Startup Wroclaw-like entities from Portugal, France, Czech Republic, Germany, Finland, Italy, USA, Kazakhstan, Romania, Moldova, United Arab Emirates and Singapore. This resulted with visits of official delegations to Wroclaw, which were attended also by founders and leaders of Wroclaw companies.

In addition, each element of the Wroclaw ecosystem adds a number of events from each other. These include technology dating, business and networking breakfasts, startup college or academies, various types of training and meetings with mentors.

– There are more and more of these opportunities – says the head of Startup Wroclaw. – We have initiated the StartupWROmeetup series ourselves. After the first meeting and a really big attendance, we see that the interest in such

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projects is huge, and not only among the startups we know. Lots of new faces show up at every single event like this. We also succeeded in what we were really aiming for – to mobilize entrepreneurial students. And there are really many of them in our city.

CONTINUOUS DEVELOPMENT AND AMBITIOUS PLANS

Since last year, Wroclaw has been a member of the Innovation Sector. It is creating an international Smart City Digital Twin project, and is active in a consortium of companies within the European Digital Innovation Hub (EDIH). It has also become a partner of EU Green and supports the activities of the university consortium Unite! (Univesity Network for Innovation, Technology and Engineering).

Business Support Centre | Wroclaw Agglomeration Development Agency

pl. Solny 14, 50-062 Wrocław

– These are just a few of our projects. However, let’s also consider how many entities our ecosystem counts., that’s more than 30 incubators and coworking offices, more than 50 labs, more than 100 R&D and IT centers, and more than 250 startups. Each of them works on his behalf, and at the same time is involved in additional projects. This gives us a lot of really interesting initiatives. In addition, this is not the end of our ambitious plans. The current year promises to be even more exciting than the previous ones.

I am convinced that the Wroclaw startup community will not only grow dynamically with new members, but also their joint activity and mutual inspiring relations will cause further development. And this is what we are all about – concludes Paulina Muszyńska.♦

Phone: +48 71 783 53 10, 41 36 76 557, e-mail: office@invest-in-wroclaw.pl www.araw.pl, www.invest-in-wroclaw.pl

89 FOCUS ON Business | July–August 2023

Bielsko-Biała focuses on culture

Colorful history, location on the border, and rich cultural and natural heritage are the values that Bielsko-Biała has and which have awakened the city's appetite for candidacy for the title of European Capital of Culture.

Already in September, Polish cities will submit applications and compete for the European Capital of Culture title in 2029. As the history of the competition and the cases of other places in Europe show, the decision to stand for candidacy is invigorating and initiates or accelerates the processes of change in the region. Preparing the application requires an in-depth look at the city, analyzing its strengths and weaknesses, expert consultations, surveying residents' opinions on their needs, and finally choosing a development path. The European Capital of Culture is an opportunity for the city that can be used already at the stage of preparing the application in accordance with awakened grassroots initiatives and a properly designed strategy.

Especially among visitors, you can hear about the potential of Bielsko-Biała. Tourists from Poland and abroad praise the activities offered by the city in the mountains (over a dozen mountain peaks within the city's administrative borders): hiking, a network of Enduro bike trails, skiing. Professionals appreciate training in specialized companies located within the city, where innovative ideas are regularly born not only on a national but also European scale.

PLENTY OF CULTURAL ATTRACTIONS

Culture lovers in the one breath, list the flagship events happening in the city: Orlen Jazz Festival – Bielska Zadymka Jazzowa, Tomasz Stańko Jazz Autumn, Foto Art Festival, International Puppetry Art Festival, Painting Biennale Bielska Jesień, Sacrum in Musica – International Festival of Sacred Music, Festival of Polish Composers, Week of Beskid Culture and

other cyclical events in the city, such as: May picnics, Night of Museums, Days of Bielsko-Biała, Ending of Summer or Christmas Market in the Old Town, this year also the celebration of the 50th anniversary of the iconic Fiat 126p.

In fact, there is something interesting for everyone. There are two theatres, two cinema multiplexes, seven art galleries, over a dozen cultural centers in the city and six museums, libraries, music, and concert halls, including the modern

one Cavatina Hall. The construction of the OKO Interactive Tale and Animation Center is underway, which will be a place of education and entertainment for the whole family, showing the process of creating an animated film with a reminder of the most important film characters and their creators.

CITY OF ENTREPRENEURIAL PEOPLE

The driving force of the city, however, is its residents – proud to be Bielsko-Biała

Galeria Bielska BWA. Photo: Krzysztof Morcinek.
INVESTMENTS 90 FOCUS ON Business | July–August 2023

citizens. Just take a look around the street to see someone in a sweatshirt with the inscription I LOVE BB or a sticker Bielsko-Biała 43300 (city’s postcode) on a car –these are the trademarks of the inhabitants. First of all, the potential of the region are educated and full of passion people. According to data from 2021, 26.6% of the city's inhabitants have higher education (the average for the Silesian Voivodeship is 21.4%, and 23.2% for the whole country). Bielsko-Biała is a city of entrepreneurial and hardworking people. This is evidenced by the very high share of micro and small enterprises in the total number of business entities registered here.

The city is already one of the main regional centers where the growing importance of the IT sector and modern business services (BSS) is clearly visible. Among the wide educational offer of the University of Bielsko-Biała, so the largest public university in the region (applying for the status of the university in a formal way), the most popular field of study is computer science. Automation and robotics, as well as production management and engineering, are also high in the ranking. In autumn, the first students of the branch of the Medical University of Silesia in Katowice will also start their studies in Bielsko-Biała. The city not only has high-class specialists, but the data also shows that professionals are happy to move here from other parts of the country because of good working conditions and an attractive place to live for their families.

In May 2022, the Development Strategy until 2030 was adopted by the City Council. The directions of local development in each of the six priority areas were defined as follows: People, Life, Governance, Mobility, Environment and Economy. The vision of winning the title of European Capital of Culture complements the strategy with an indispensable cultural component, thanks to which Bielsko-Biała is designing the future of a city that is good for living.

CULTURE AS THE REVITALIZING FORCE OF THE CITY

Today, culture may prove to be a decisive factor in the development of Bielsko-Biała. The surveys conducted among the inhabitants indicate the incredible

Photo: Point 11. Animated Film Studio. Photo: Mirosław Nizio. Animated Film Studio.
91 FOCUS ON Business | July–August 2023
Photo: New Amsterdam.

economic activity of individuals, with a strongly emphasized need for greater social cooperation for a common goal. Designing the future of the city can be such a unifying goal – thanks to its cultural potential, various spheres of urban reality come to life. Applying for the title of European Capital of Culture has as its basic assumption the inclusion of residents and the activation of local communities. Taking care of ourselves, we take care of others, we create a cultural offer in response to real local needs, and thus we become tourists in our city, we participate in events, we use the gastronomic

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base, and even better, functioning city's infrastructure. Through the form on the website www.bb2029.com, citizens of Bielsko-Biała presented their ideas for projects as part of the ECoC 2029. Implementation of grassroots initiatives results in a strengthening of ties at the local level, a co-responsibility for the future of the city, and a high expression of trust among the city authorities and institutions in the residents.

Making the decision about candidacy required the agreement of representatives of the local government, and then at the level of designing a strategy for

effective cooperation between the public, private, and non-governmental sectors, cultural institutions, artists, cultural animators, and residents. Local partnership in such a project is not enough, it goes further – the city is developing the current network of European cooperation. It is a process necessary for the exchange of experiences on such important topics as environmental protection and sustainable development or the need for extensive digitization, which are common to all European cities.

Bielsko-Biała uses the experience of partner cities and shares its good practices with others. Thanks to winning the title of Capital of Culture, it will be possible to become more open to tourists from Europe (not only from countries directly adjacent to the city), but also thanks to improving the language skills of the inhabitants.

The decision regarding Bielsko-Biała's candidacy for the title of European Capital of Culture seems justified from the perspective of the human potential of this region. The compactness of the city ensures its residents work-life balance, which is highly valued today, and the attractive cultural offer, including events at a high artistic level, taking into account the needs of various social groups, may ultimately determine the choice of the city as a place to live or even visit Bielsko-Biała as an interesting tourist destination. Regardless of the result achieved, qualifying for the second stage of the competition or ending the competition in the first stage, Bielsko-Biała and its inhabitants, thanks to their efforts to win the title, have already benefited from it. There are bold ideas for cultural projects that have a chance to be implemented in the coming years.♦

Author: Edyta Ruta.

Translation: Dorota Przewoźnik.

The text uses data from the report "Investment Potential of Bielsko-Biała" prepared by Grafton Recruitment at the request of the Municipal Office in Bielsko-Biała.

City Hall in Bielsko-Biała | Culture & Promotion Department

pl. Ratuszowy 1, 43-300 Bielsko-Biała

Phone: +48 33 4971 478, e-mail: kp@um.bielsko-biala.pl

www.bielsko-biala.pl

INVESTMENTS 92 FOCUS ON Business | July–August 2023
Days of Bielsko-Biała.

HR NEWS

A THIRD OF RESPONDENTS ARE LOOKING TO CHANGE JOBS AS THEY WANT A MORE LGBT+ INCLUSIVE EMPLOYER

The Deloitte Global 2023 LGBT+ Inclusion @ Work report explores the experiences of more than 5,400 non-Deloitte LGBT+ respondents who work in various sectors across 13 countries through the lens of both sexual orientation and gender identity. The report provides an in-depth view into the experiences of LGBT+ people in the workplace, including the steps their employers are taking to further LGBT+ inclusion and the impact this has on them, their levels of comfort in being out at work, and their experiences of non-inclusive behavior.

– The survey findings reinforce that when organizations foster diversity and demonstrate a commitment to LGBT+ inclusion, it can have a positive impact on the lives and experiences of all employees in the workplace, says Elizabeth Faber, Deloitte Global Chief People & Purpose Officer. – However, the survey also shows that organizations should do more to provide an environment in which LGBT+ employees feel able to be themselves at work.

Gen Z and millennial respondents are far more likely than their Gen X counterparts to place an emphasis on diversity and inclusion when seeking a new employer. Four in 10 Gen X respondents (43%) said they actively sought out information about an organization’s commitment to diversity and inclusion before applying to their current role, compared to nearly two-thirds of millennials (64%) and three-quarters of Gen Zs (72%). This generational difference can also be seen when it comes to how important they feel it is to be able to be out at work about their sexual orientation or gender identity, and how directly involved they want to be in diversity and inclusion initiatives.

The majority of respondents attach a high level of importance to being able to freely express their LGBT+ identity at work. Six in 10 respondents believe it is important to be able to freely express their sexual orientation at work, while 75% said the same for gender identity.

However, less than half feel comfortable being out with all of their colleagues, and another third of respondents say they are only comfortable being out at work with select colleagues. Many are more comfortable being out with close colleagues compared to being out with their direct managers and more senior leaders – just under 60% are open with their closest colleagues about their sexual orientation, and 54% about their gender identity. This compares to only 37% who are comfortable being out about either their sexual orientation or gender identity with their direct managers.

Comfort in being out at work increases with seniority, particularly when it comes to sexual orientation – more than half (51%) of those in senior roles are comfortable being out at work, compared to more than a third (37%) of junior employees. This trend holds true for gender identity, but the difference is less significant – 54% of those in senior roles are comfortable being out about their gender identity at work, compared to 46% of junior respondents.

Regardless of seniority, having allies at work plays a part when it comes to comfort in being out. Six in 10 respondents

say that allyship helps them be out at work about their sexual orientation, and almost seven in 10 say the same when it comes to gender identity. The survey findings also show that having LGBT+ role models at work strongly correlates with greater comfort being out at work. Four in 10 respondents (42%) have experienced non-inclusive behaviors in a work context, and just under half say they are certain they experienced them as a result of their sexual orientation or gender identity, with a further 37% saying they strongly suspect this to be the reason.

When it comes to escalating this behavior to their employer so that action can be taken, 43% of respondents did not report their experience to their employer. For these respondents, four in 10 didn’t think their complaint would be taken seriously, closely followed by a concern that reporting would make the situation worse, and around a third didn’t have confidence that action would be taken. Less than a third didn’t report because they were concerned about adverse career impact.

Source: Deloitte

94 FOCUS ON Business | July–August 2023

Sarah Ghosh, FCMA, CGMA, has been elected the 90th President of The Chartered Institute of Management Accountants (CIMA), the world’s largest professional body of management accountants and Co-Chair of the Association of International Certified Professional Accountants (the Association), which represents the combined membership of CIMA and the American Institute of CPAs (AICPA).

During her year in office, Sarah will help lead the organisation in driving innovation and transformation within the profession to ensure that it can keep up with the demands of a constantly changing business world. She will also put great emphasis on growing and promoting the role of finance professionals in creating value through ESG and sustainability and serving the public interest. Moreover, Sarah will dedicate herself to inspiring and empowering younger generations to become finance professionals. She is particularly keen to promote inclusion in the profession.

Sarah is the second successive woman President of CIMA and Co-Chair of the Association, and follows on from Melanie J. Kanaka FCMA, CGMA. She became a CIMA member in 1995 and obtained her fellowship in 2013. Over the past 15 years, she has held various leadership positions with an emphasis on member engagement and events planning.

Sarah served as a member of CIMA’s U.K. Regional Board, and as Chair of CIMA’s Central Southern Board and the U.K. Network Panel. In 2017, Sarah joined CIMA Council, and a year later became

a member of the Board of the Association of International Certified Professional Accountants, representing AICPA & CIMA. Sarah is a proven finance leader with expertise in digital transformation and experience gained in multinational organisations, SMEs, and start-ups. She currently works for the U.K. Civil Service, leading finance teams to enable the delivery of quality public services and support the Government Finance Function Strategy with a focus on sustainability and technology. Prior to this,

COMPETITIVE UKRAINIANS ARE PART OF THE LABOR MARKET

A year and a half after the outbreak of the Russian war, Ukrainians are looking for a job in Poland en masse – the biggest motivation is higher wages than in Ukraine, which is indicated by 39% of respondents, according to the latest survey by the Gremi Personal Analytical Center. At the same time, 1/3 of the respondents are aware that without work they are unable to function in society (34%), and 27% of the respondents indicated the lack of work in Ukraine as a motivation to look for a job in Poland.

A large number of refugees treat Poland as a transit route on their way to Germany, the Netherlands or further to Canada. According to the data of the Border Guard, over 12.844 million Ukrainian

citizens have crossed the border since the outbreak of the war, of which 10.997 million have returned to the country. But also a large part of them choose our country. To the question "Why did you choose Poland?" the largest number of respondents (24%) answered that they are geographically closer to Ukraine, and the fewest (6%) indicated the ease of obtaining documents. 1/5 of the respondents (20%) indicated that they had relatives and friends here. For 17% of Ukrainians, it is important that there are many Ukrainians in Poland, that Poles are mentally closer to Ukrainians, especially in comparison to Western European countries. For 13% of the respondents, a good level of remuneration is important, and

Sarah held leadership positions across the finance, IT, and operations sectors, improving service provision and transforming processes using data analytics and machine learning.

Earlier this year Sarah was named among the 2023 Top 50 Women in Accounting in recognition of her work to raise the profile of women in leadership and commitment to driving diversity, equality, and inclusion in accounting and finance.

Source: AICPA & CIMA

11% of the respondents indicated that living in Poland is cheaper than in other European countries.

When choosing a job, Ukrainians are guided primarily by: the amount of remuneration (36%), comfort at work (21%), geographical location of the workplace (15%) and living conditions (14%). Less important are convenient working hours (9%) and career development opportunities (8%).

The survey was conducted using an electronic questionnaire in April and May 2023 and covered 1,280 employed Ukrainians aged 18 to 60.

Source: Gremi Personal

SARAH GHOSH – THE 90TH PRESIDENT OF CIMA
95 FOCUS ON Business | July–August 2023

Can Artificial Intelligence replace the human factor in HR?

The pace of artificial intelligence development has never been so fast. According to the World Economic Forum's Future of Jobs Report 2023, up to 60% of workers will require additional training or retraining by 2027. This is largely due to the technological revolution in AI and automation. However, the gap in jobs displaced by technology is expected to overlap with the need for other skills. Does this also apply to the role of a recruiter?

HR IN THE AGE OF AI

Automation of HR processes is not a new phenomenon. Many organizations have long been implementing solutions to optimize operations, and this also applies to recruitment. At the same time, the value of the recruitment services market in Poland is growing. Data from the PFHR Report states that in 2016 the value was PLN 131 million, while in 2022 it will be as high as PLN 333 million (the amount of turnover in the sale of recruitment services obtained by member companies of the Polish HR Forum in 2022).

Organizations invariably face constant staffing needs, and consequently have extensive teams responsible for attracting new talent to the organization. A recruiter's job involves not only direct contact with potential candidates for an organization, but also a series of operational and administrative activities at each stage of the process. The implementation of new technologies that support and, in a way, "replace" the recruiter in such activities seems to be a natural progression. Especially in repetitive processes. Starting from the stage of search and selection of candidates, new technologies help publish ads and search for candidates. Artificial intelligence also has the potential to support organizations in the areas of diversity management (Diversity and Inclusion) and help eliminate biases in the recruitment process, such as by excluding factors such as age, gender or ethnicity in the candidate selection process.

HOW CAN AI IMPROVE CANDIDATE SELECTION?

Through machine learning and big data analysis, AI can predict which candidates are the best fit for a given position and select profiles that are most consistent with what is being sought, based on keywords, among other things. Such support from technology can significantly translate into shortening the entire recruitment process.

factors are those related to analyzing and interpreting pre-aggregated data. Professions that require human judgment and knowledge of the nuances of cultural contexts should not be at risk.

COLLABORATION BETWEEN ARTIFICIAL INTELLIGENCE AND HUMANS

In the recruitment process, tools that select offers according to the candidate's profile and preferences, reaching passive

On the other hand, the use of AI at this stage may prove to be too "rigid," closing the way to candidates with potential who do not fit into the sought-after algorithm. The human factor, mentioned earlier, could have positive consequences if it has the effect of including people in the recruitment process who, through technology selection, would not have had the chance to meet with the recruiter and present their experience in an interview. The recruiter himself may want to invest his time in such a meeting, even if, based on the application documents alone, he is not sure whether the candidate meets expectations.

The WEF indicates what kinds of skills will not soon be displaced by the generative AI revolution. The main

candidates, i.e., those who are not actively looking for a job, but are open to proposals consistent with their experience and expectations, are starting to become more desirable. Thanks to such solutions, information about interesting, and most importantly tailored, job offers reaches directly to candidates with the desired profile. Details about an open vacancy for a potentially interesting position are sent automatically.

From a candidate's perspective, this works in two ways: a less subjective approach that excludes the human factor, but also minimizes the likelihood of errors. At the same time, it closes the selection process within a rigid framework, leaving no room to discover people with potential that the algorithm would reject.

CAREER&DEVELOPMENT 96 FOCUS ON Business | July–August 2023
Through machine learning and big data analysis, AI can predict which candidates are the best fit for a given position and select profiles that are most consistent with what is being sought.

Automation often generalizes, while picking out exceptions can often be a key skill in working with people.

Another area that artificial intelligence successfully supports is administrative activities, such as inviting selected candidates to meetings, scheduling interviews, sending meeting invitations with an address or link to a video interview, or providing post-interview feedback. It is worth noting that on a 12-month basis we are talking about a large volume of candidates with whom the company is in contact. Assuming the size of the organization at 500 people and having an average turnover rate of 15%, assuming that the company is not growing but only filling vacancies, we have 75 open recruitment processes. Depending on the specifics of the industry and the position, it can be assumed that for each vacancy, a dozen to a few dozen candidates will be contacted, giving us a result of thousands of interactions at various stages of recruitment. Implementing tools to support these processes seems to be a natural step in terms of time and cost optimization. Thanks to technology, recruiters can organize meetings much faster, but also to provide feedback after each successive stage of the recruitment process to all candidates, whether it is a decision to invite them to the next stage or a thank you for participating in the recruitment process.

Many employers struggle with the challenge of providing feedback to candidates during the recruitment process, which ultimately has a significant negative impact on the perception of their brand. Technology and tools-based support can help reduce or eliminate such risks. Such support from technology can significantly translate into shortening the entire recruitment process.

TECHNOLOGY CAN HELP, BUT WILL NOT REPLACE RECRUITER

The recruitment process requires highly developed interpersonal skills, such as the ability to connect with candidates, the skill to ask pertinent questions during the interview and the ability to assess the skills and experience of candidates, and above all, the ability to listen to the needs and expectations of the candidate who is involved in the recruitment process. These skills require empathy, sensitivity and intuition that cannot be replaced by technology. Many

organizations aim to maintain a very good Candidate Experience in the recruitment process, that is, all the candidate's experiences throughout the recruitment process. The candidate's level of satisfaction with the process has a direct impact on trust in the company, but also on the positive perception of the employer brand in the market.

not change for a long time. The role of humans in HR will continue to be significant, although certainly different than before.

Technology effectively supports recruitment processes, but it cannot replace human skills in decision-making and human relationship analysis. With any change of this magnitude, the impact

It's hard to imagine a recruitment process that is 100 percent AI-led, since a recruiter's job is based on interpersonal skills, knowledge of cultural nuances and the ability to assess potential. We don't know what changes the technology of the future will bring us, while at this stage the role of the recruiter seems essential. Despite all the time-optimizing changes brought by artificial intelligence, all indications are that this will

of artificial intelligence on recruitment depends on how it is used and what its goals and scope will be. In this regard, it is important to use new technologies consciously, but not to forget that recruitment is a human-to-human relationship. It is a complex process of interaction in which a personalized approach, empathy and focus on the needs, not only of the business, but especially of the other person, is essential.♦

Author
97 FOCUS ON Business | July–August 2023
It's hard to imagine a recruitment process that is 100 percent AI-led, since a recruiter's job is based on interpersonal skills, knowledge of cultural nuances and the ability to assess potential.

How to equalize opportunities on the IT job market?

There are approximately 1.3 billion people with disabilities in the world, which accounts for 16% of the population. This means that 1 in 6 people lives with a disability. In Poland, this number is 4.7 million1. This group certainly includes people who would like to start a career in the IT sector and join companies facing a talent shortage. To make this possible, however, support is needed not only in the immediate surroundings, but also in the business environment. Therefore, the EmpowerU program run by SoftServe was created to encourage this group to start a career in IT.

According to official data, in 2017, there were 3.1 million people with disabilities in Poland who were over 16 and could take up work. However, only 28.9% of them were professionally active 1 Research shows that people with disabilities often perform office work (24%), most often as secretaries. Specialists in various fields account for 12% of this group. What’s more, the statistical declared remuneration of the respondents is definitely lower than that of other employees – it oscillates around the minimum wage2.

It seems, however, that the current situation on the labor market, with growing staff shortages, is a great opportunity for this group. Under such conditions, starting work in IT may turn out to be easier than before. Also, people with disabilities do not have to take up employment based only on the qualifications they already have. The latest trends related to the change of profession and the continuous development of skills and acquisition of new ones may turn out to be an excellent springboard for people who have so far been overlooked by employers.

1 Data acc. the National Population and Housing Census 2011, niepelnosprawni.gov.pl/index. php?c=page&id=78

1 www.gov.pl/web/rodzina/niepelnosprawni-narynku-pracy

2 www.pfron.org.pl/fileadmin/Badania_i_analizy/ Badanie_potrzeb_ON/Raport_koncowy_badanie_ potrzeb_ON.pdf?utm_campaign=pfron&utm_

source=df&utm_medium=download

RESKILLING AS A GATEWAY TO IT

The technology market, despite recent perturbations related to the economic situation, is still growing and remains open to new talents. It often happens that the recruitment needs of companies exceed the availability of specialists. Forecasts indicate that in the future this may happen in the field of quality assurance. The current boom for AI-based projects is likely to result in a large amount of code created by artificial intelligence. However, in such a model of working on new programs and applications, extremely

detailed testing will be required. To ensure the highest possible level of created products, it may be necessary to employ more people who specialize in this field.

– Taking into account recent years, previous experience in a given profession on the IT market is no longer a crucial factor considered during recruitment processes. Reskilling, i.e. changing professional qualifications by people who have been professionally active for years, no longer surprises anyone. The constantly accelerating technological revolution also contributes to this situation – it is

CASE STUDY – SOFTSERVE
The technology market, despite recent perturbations related to the economic situation, is still growing and remains open to new talents.
CAREER&DEVELOPMENT 98 FOCUS ON Business | July–August 2023

estimated that in the coming years about 50% of employees will have to change their professional qualifications in some way3 – says Agata Piórkowska, Talent Success Lead Team Manager at SoftServe.

Currently popular reskilling is also a chance for people with disabilities to gain new experience and the opportunity to work in an interesting and dynamic IT environment.

EMPOWERU – A NEW CAREER PATH

EmpowerU is an educational program carried out by SoftServe, the company which specializes in consulting services in the field of software and technology development. The aim of the project is to facilitate the opportunity for unhindered professional development for people who often struggle with exclusion and discrimination. The “Basics of QC testing” training was created for people with disabilities. The course is conducted online, and classes are held twice a week in the afternoon. Currently, the first group is taking part in the course, and registration for the next one is still ongoing.

– We are looking for people who are willing to learn and are able to find time for it. IT knowledge is not required. During the course, participants are guided by experienced mentors who introduce them 3 www.mckinsey.com/capabilities/people-andorganizational-performance/our-insights/theorganization-blog/piecing-together-the-talentpuzzle-when-to-redeploy-upskill-or-reskill

to the world of testing. In addition, after completing the course, our HR specialists will help participants to create a CV and tell them how to look for employment in the IT industry – says Michalina Gołąb, Senior Communication and CSR Specialist at SoftServe.

During the course, participants will learn to distinguish between types of software testing, analyze typical requests, find and describe the most common defects in software, create and execute test scenarios. They will have the chance to understand the general architecture of modern applications and databases and networks, as well as HTML. A part of the course is also creating queries to the database in SQL and getting to know the basic principles of data encryption and working with virtualization. In addition, participants will have a chance to develop their soft skills, such as communication.

INCLUSIVE WORK CULTURE

Despite the fact that in Poland there are a number of financial subsidies whose role is to encourage employers to employ people with disabilities, it seems to be insufficient to create a truly inclusive labor market. People with disabilities who are ready to take up work often encounter the so-called hidden discrimination. Employers, as well as recruiters, may be even unconsciously guided by

prejudices, stereotypes and even erroneous beliefs. A change of attitude is a key element in creating an organizational culture that will allow everyone willing to take up work in line with their qualifications.

– The organizational culture at SoftServe is focused on people and their needs. On a daily basis, we create a friendly environment, thanks to which people working with us can develop their creativity and creative thinking – this is what shapes the best conditions for creating innovations. In SoftServe, appearance, skin color, life situation or religion are not important. What counts are passion and willingness to learn – sums up Michalina Gołąb.

In accordance with the trends prevailing on the market, many companies emphasize their guiding values in their communication. Inclusivity and openness are very often put in the foreground. The key issue is the transition from the declarative to the practical sphere. Supporting people at risk of exclusion is a milestone in this direction.♦

Enrollment for the EmpowerU program:
99 FOCUS ON Business | July–August 2023
The article has been created in cooperation with

STARTUP ELEVATOR PITCH

Discover startups' offer for business

We are surrounded by innovative companies and people behind them. Many ideas are brought to life and quickly gain market interest from both customers and investors. On the FOCUS ON Business media, we share innovative solutions offered by startups. Join us for the Startup Elevator Pitch.

WE PRESENT: PLAN BE ECO – STARTUP OFFERING A TOOL THAT ENABLES ORGANIZATIONS TO CALCULATE AND REDUCE THEIR CARBON FOOTPRINT

MAIN PROJECT IDEA:

Plan Be Eco is a standards-compliant and simple carbon footprint reporting software. A growing number of customers expect sustainable products and services, employees want to work in sustainable companies, investors are increasingly paying attention to the ESG strategies of enterprises, and changing regulations oblige companies to take climate action. The Plan Be Eco meets the challenges in the era of the green revolution.

PROJECT DESCRIPTION:

Plan Be Eco is an ideal solution for entrepreneurs starting their journey with sustainable development – easy to use, time and cost-effective, automated, and compliant with standards.

Thanks to their methodology, a simple interface guides the user through reducing carbon emissions in 5 simple steps.

1. Calculation – Scope 1, 2, and 3 GHG emissions calculation across the supply chain.

2. Reporting – Automatic creation of a carbon footprint report following the GHG Protocol, ISO 14064-1, GRI, and TCFD.

3. Comparison – Each company can compare its performance with companies in its sector.

4. Reduction – Reduction first! Plan Be Eco provides efficient reduction plans to meet your sustainability goals.

5. Offset – What cannot be reduced can be compensated. The access to offset plans from verified partners only.

TARGET GROUP:

• Companies that are about to start calculating and reporting their carbon footprint

• Companies that are looking for an alternative to the current carbon footprint calculation and reporting processes

• Organizers of events and conferences

• Non-governmental organizations and municipal companies

PROJECT IMPLEMENTATION TIME:

The implementation takes 1 hour, and the time to calculate the annual carbon footprint varies from 2 to 8 weeks, depending on the organization's size.

BENEFITS FOR THE USER:

• Support in data collection and assistance in the calculation

• Automation of the process

• Training clients’ teams

• Expert consultations provided

PRODUCT/SERVICE COMPARED TO THE COMPETITION:

Pan Be Eco is the first company in Poland specializing in calculating the carbon footprint of organizations that do it for the first time.

SALES MODEL:

Free access to basic functionalities in the freemium model.

Three variants of a paid subscription, the price of which depends on the size of the organization and its needs.

MORE INFORMATION: www.planbe.eco

100 FOCUS ON Business | July–August 2023

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