Business Partners | July-August 2014

bponline.amcham.gr

JULY-AUGUST 2014 Vol. XIII | No. 73

Thought Leaders

The Education Paradox MARKETPLACE

DIMITRIOS MAMOUNIS OF GAIA S.A. MELETON ▼

ALBA BUSINESS REVIEW

THE OTHER SIDE OF ATTRACTING INVESTMENTS IN GREECE ▼

GRFORGROWTH—

PROMOTING GREECE IN THE USA @NYIF ▼

PLUS BIZ BUZZ VIEWPOINT TRAVEL USA

AMERICAN-HELLENIC CHAMBER OF COMMERCE www.amcham.gr

Shifting Mindsets: ACS Athens Stefanos Gialamas, Ph.D.

President of ACS Athens

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American-Hellenic Chamber of Commerce

AMCHAM

VOLUME XIII | NUMBER 73

CHAMBER.PRESS ISSN 1109-4990 CODE: 6526

CHAMBER.PRESS

CONTENTS

AMERICAN-HELLENIC CHAMBER OF COMMERCE BPONLINE.AMCHAM.GR

AMERICAN-HELLENIC CHAMBER OF COMMERCE

4 THE BOARD

6 CHAMBER NEWS

1 0 ALBA BUSINESS REVIEW

The Other Side of Attracting Investments in Greece

24

BY NIKIFOROS LAOPODIS

1 2 ECONOMICS—OUT OF THE BOX

Stefanos Gialamas, Ph.D., President of ACS Athens, on shifting mindsets in education

The Creation of Laws: A Public Good?

BY MANOLIS XANTHAKIS

1 4 NAMES & FACES IN THE NEWS 1 6 TRAVEL USA

Discover America—Montana

44

18

Dimitrios Mamounis, President and CEO of GAIA S.A. Meleton, explores the investment landscape for real estate development

BIZ BUZZ

2 2 BUSINESS MATTERS

Insights of a Pollster— An interview with David Paleologos

2 4 THE INTERVIEW

Stefanos Gialamas, Ph.D., President, ACS Athens

10

2 6 THOUGHT LEADERS The Education Paradox

Nikiforos Laopodis, Associate Professor of Finance at ALBA, discusses Greece’s investment challenges

3 8 EDUCATION 3.0

Transforming Broken Education Models

BY DR. JEFF D BORDEN

BUSI N ES S PART N ERS I S THE B IMON THLY MAGA ZIN E O F T HE A M ER I CA N - H EL L EN IC CHA MB ER OF COMMERCE DIRECTOR Elias Spirtounias e.spirtounias@amcham.gr

PUBLISHER & EDITOR Raymond Matera raymond@materamiller.com PLEASE RECYCLE

ADVERTISING Alexandra Loli alexandra@materamiller.com

OWNER American-Hellenic Chamber of Commerce Politia Business Center 109-111 Messoghion Avenue 115 26 Athens Tel: +30 210 699.3559 Fax: +30 210 698.5686-7 E-mail: info@amcham.gr

BRANCH OFFICE 47 Vassileos Irakleiou Street DESIGN 546 23 Thessaloniki snack• Tel: +30 2310 286.453, 239.337 Fax: +30 2310 225.162 PRINTING & BINDING Northern Greece Publishing S.A. E-mail: n.tsavdaroglou@amcham.gr

4 0 GREEK INVESTMENT FORUM Promoting Greece in the USA

4 4 MARKETPLACE

Safeguarding the Realization of an Investment

BY DIMITRIOS MAMOUNIS

4 6 THE WORLD OF WORK

Annual Randstad HR & Workplace Trends Survey

4 8 VIEWPOINT

The Reckoning, by Jacob Soll

JULY-AUGUST 2014 | BUSINESS PARTNERS | 1

DIRECTOR’S DESK

The latest numbers on exports and unemployment have raised some questions regarding the effectiveness of our development policies in important sectors of our economy.

In tourism, a key foundation of our economy, recent numbers of incoming tourists are encouraging and projections for 2014 look promising. However, these outcomes are not the result of a consistent and structured strategy. Rather, they are a result of cost-cutting policies, less expensive packages on offer, and political instability in certain countries of the Mediterranean.

Nevertheless, current developments are positive and something we all need to take advantage of to start implementing plans and actions for continuous growth and a sustainable tourism industry. Having said that, we must acknowledge that tourism is not only vacations to all-inclusive resorts and hotels or the short land excursions of cruise passengers. Tourism could significantly expand to many other areas, such as religion tourism, convention tourism, education tourism, spa tourism, agro tourism, and medical tourism to name a few, for which Greece has great potential. All these categories would extend the tourism period and attract tourists with higher disposable incomes. As a result, in addition to the increase of revenues, employees would be needed for the entire year—and not for 3 or 4 months.

What about exports? Impediments, such as lack of finance, high taxation, high cost of energy and transportation (have the closed professions actually opened?), bureaucratic and costly procedures, along with the lack of an effective promotion and marketing strategy, all contribute to the stagnation of exports at a time when our country has the potential to vastly increase its presence internationally and increase its GDP. Unfortunately, these impediments, and few more, are confronted with too much talk and not enough action. The taxation rate or the cost of labor are not obstacles. Long-term and sustainable investments require stability and infrastructure, not bureaucratic and monopolistic practices.

It is time to move beyond cost cutting and move to policies and strategies that will increase our GDP and confront unemployment. The sooner we realize that growth is not achieved with continuous austerity the faster we turn to a trajectory of growth.

ELIAS SPIRTOUNIAS Executive Director

The American-Hellenic Chamber of Commerce A DYNAMIC, PROACTIVE CHAMBER The American-Hellenic Chamber of Commerce was established in 1932 and is one of the largest, most active, and dynamic American Chambers in Europe. Virtually all American companies that do business in Greece and Greek companies that engage in trade with the United States are members of the Chamber.

The Chamber's membership is comprised of more than 1,000 proactive companies that seek to expand business horizons, create new business partnerships, and take advantage of trade and investment opportunities in today's global economy.

The American-Hellenic Chamber of Commerce is an active mem-

2 | BUSINESS PARTNERS | JULY-AUGUST 2014

ber of the U.S. Chamber of Commerce in Washington D.C. and the European Council of American Chambers of Commerce (ECACC).

MISSION STATEMENT

The American-Hellenic Chamber of Commerce strives for continuous improvement of American-Hellenic commercial and financial relations, through increased membership and through the organization of top-quality events, exhibitions, fora, seminars, and congresses on both sides of the Atlantic.

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American-Hellenic Chamber of Commerce EXECUTIVE COMMITTEE

COMMITTEES

Anastasopoulos Simos President | N. PETSIAVAS S.A.

AGROTECHNOLOGY COMMITTEE Members: Argiriou Notis, Bezergiannis Stella, Chriss Dimitrios, Efthymiadis Thymis, Karagiorgos Nikolaos, Katsaros Georgios, Kouides Antonis, Kouimtzis Athanasios, Koukakis Athanasios, Michailides Ekaterini, Nakas Ioannis, Vergos Evangelos | Coordinator: Nikos Tsavdaroglou

Bakatselos Nikolaos Vice President | PYRAMIS METALLOURGIA A.E. Karayannis Angelos Vice President | KARAYANNIS K. GROUP OF COMPANIES Panayotopoulos Litsa Secretary General | BOSTON HAMILTON LTD. Papadopoulos Thanos Treasurer | CHEVELLAS S.A. Canellopoulos Paul Counselor | AIG GREECE Kyriacou Marios Counselor | KPMG CERTIFIED AUDITORS Mamidaki Eleftheria Counselor | MAMIDOIL-JETOIL S.A. Saracakis John Counselor | SARACAKIS BROTHERS S.A. Spirtounias Elias Executive Director

BOARD OF DIRECTORS Alexopoulos George | HELLENIC PETROLEUM S.A. Antonakou Peggy | MICROSOFT HELLAS S.A.

AUDITORS COMMITTEE Members: Felonis Athanassios, Kerameas George, Sabatakakis Kyriacos | Coordinator: Andriana Chadjianagnostou

CORPORATE GOVERNANCE COMMITTEE Chair: Papacostopoulos Constantine | Members: Apsouris John, Charalambous Yiangos, Dimou Ioannis, Hadjisotiriou Paula, Iliadaki Sassa, Petalas Apostolos, Shiamishis Andreas, Theodoulidou Maria | Coordinator: Daphne Constantinidou

CORPORATE SOCIAL RESPONSIBILITY COMMITTEE Members: Alexiou Maria,

Constantelis George, Iliopoulou Sissy, Katsouli Katerina, Lolas Vassilis, Macheras Alexia, Menidiati Manina, Vrachatis Ioannis, Zevgoli Nafsika | Coordinator: Angela Boyatzis

ENERGY COMMITTEE Chair: Karayannis Angelos | Members: Alexopoulos George, Desypris John, Ekaterinari Rania, Peristeris George, Rigas Mathios, Stassis George | Coordinator: Angeliki Dikeoulia

GREEK ECONOMY CONFERENCE COMMITTEE Chair: Αnastasopoulos Simos | Members:

Antoniades Vassilis, Bacacos George, Mamidakis Eleftheria | Coordinator: Angeliki Dikeoulia

INFORMATION TECHNOLOGY & COMMUNICATIONS COMMITTEE Chair: Poulidas

Spyros | Members: Antonakou Peggy, Galani Agathi, Kolokotsas Dionisis, Monokrousos Antonis, Moraitis Andreas, Papadimitriou Pythagoras, Peppas Nikolaos, Sabatakakis Kyriakos, Tsiboukis Antonis | Coordinator: Georgia Mamali

INNOVATION, EDUCATION & ENTREPRENEURSHIP COMMITTEE Chair: Panayotopoulos

Litsa | Members: Darda Dimitra, Lelakis George, Makios Vassilios, Papadakis Georgios, Pateraki Evangelia, Persidis Andreas, Pilitsis Loukas, Printzos Michael, Raptopoulos Manos, Rizopoulos Yannis, Tsiboukis Antonis, Tsoukalis Alexandros | Coordinator: Katerina Tzagaroulaki

Apostolides Pascal | ABBVIE PHARMACEUTICALS S.A.

INSTITUTE ON ECONOMIC POLICY AND PUBLIC GOVERNANCE President: Yanos Gramatidis | Steering Committee: Kotsalos George, Koussia Venetia, Mina Zooullis, Nordkamp Erik, Van Pappelendam Robert | Executive Officer: Angeliki Dikeoulia

Bacacos George | P. BACACOS, CHEMICAL & PHARMACEUTICAL

INSURANCE, SOCIAL SECURITY & LABOUR MATTERS COMMITTEE Chair: Kremalis

Antoniades Vassilis | THE BOSTON CONSULTING GROUP

PRODUCTS CO. S.A. Costopoulos Alexandros | FORESIGHT STRATEGY & COMMUNICATIONS Coustas John | DANAOS SHIPPING CO. LTD Kafatos Vassilis | DELOITTE BUSINESS SOLUTIONS S.A. Kartsanis Georgia | CEO CLUBS GREECE Kokorotsikos Paris | EUROCONSULTANTS S.A Kosmatos Makis | JOHNSON & JOHNSON CONSUMER S.A. Kostas Stavros | Economist Kouidis Marilena | KOUIDES A.P.L. S.A. Koussia Venetia | MANPOWERGROUP S.A. Koutsoureli Eftychia | QUEST HOLDINGS S.A. Kyriakides John | KYRIAKIDES GEORGOPOULOS LAW FIRM Lazaridis Socrates | ATHENS EXCHANGE Lekkakos Stavros | PIRAEUS BANK S.A.

Konstantinos | Members: Abatzoglou Theodore, Andriopoulos Stavros, Apostolopoulos George, Berti Alberto, Canellopoulos Paul, Christidou Agni, Ioannou Christos, Kikilias Elias, Kollas John, Konstantinidis Theodore, Kouskouna Froly, Koussia Venetia (Dr.), Lisseos Panayotis, Lyssimachou Triantafyllos, Michos Stathis, Oikonomopoulou Antouaneta, Pelidis Manos, Perpinia Antigone, Poulias Alkiviadis, Prountzos Michael, Sarantopoulos Dimitris, Spyrakos Fotios, Spyropoulos Rovertos, Tompras Theodossis, Tzotzos Apostolos, Vafeiadis Ioannis, Vlassopoulos George | Coordinator: Voula Tseritzoglou

IPR COMMITTEE Members: Ailianou Andromahi, Economou Alexandra, Galanopoulou Katerina, Kargarotos Iakovos, Kyriakides John, Makris Antonis, Michos George, Paparrigopoulos Xenophon, Zachou Dora | Coordinator: Daphne Constantinidou

LEADERSHIP COMMITTEE Chair: Miropoulos Artemis | Members: Kalligeros John,

Katsivelis Pavlos, Kerastaris Antonis, Kofinas Kyriakos, Mamidakis Eleftheria, Mavropoulos Michael, Olympios Spyros, Panteliadis Aristotelis, Rabbat Vassilis, Raptopoulos Emmanuel, Roussos Michalis, Saracakis Alexandros, Vlachos George | Coordinator: Ritana Xidou

LEGISLATIVE REFORM COMMITTEE Chair: Kyriakides John | Members: Alexandris

Panos, Alexandris Spyros, Margaritis Evangelos, Scorinis George, Tsibanoulis Dimitris | Coordinator: Daphne Constantinidou

MEDICAL DEVICES & DIAGNOSTICS COMMITTEE Chair: Liakopoulos Theodore |

Members: Anagnostopoulos Stefanos, Anastassiou Yannis, Baracos Christos, Boulougouris George, Christopoulou Martha, Deligiannis Konstantinos, Derkos Kalogridis, HoffmanLuecke Manuela, Krinos Gregory, Maroutsis George, Nikas Dimitris, Politis George, Strouzos Anastasios | Coordinator: Voula Tseritzoglou

NORTHERN GREECE COMMITTEE Chair: Bakatselos Nikolas | Members: Alexopoulos

Manos Alexandros | PIRAEUS BANK S.A.

Charis A., Gigilinis Alexandros, Kafatos Vassilis, Kanelakis Ioannis, Katsaros Georgios, Kokorotsikos Paris, Kouides Antonis, Kouimtzis Athanasios, Koukountzos Konstantinos, Vlachos Panos | Coordinator: Nikos Tsavdaroglou

Mytilineou-Daskalaki Sophie | MYTILINEOS HOLDINGS S.A.

PHARMACEUTICAL COMMITTEE Chair: Pascal Apostolides | Vice Chairman: Filiotis

Nordkamp Erik | PFIZER HELLAS A.E. Papadimitriou Pythagoras | HEWLETT-PACKARD HELLAS E.P.E. Papalexopoulos Dimitri | TITAN CEMENT COMPANY S.A. Papazoglou Panagiotis | ERNST & YOUNG (HELLAS) S.A. Passaris Despina | PROCTER & GAMBLE HELLAS M.E.P.E. Stylianopoulos Andreas | NAVIGATOR TRAVEL & TOURIST SERVICES LTD. Thomas Athanasios | DOW HELLAS A.E. Tsamaz Michael | HELLENIC TELECOMMUNICATIONS ORGANIZATION S.A. (OTE) Tsiboukis Antonis | CISCO HELLAS S.A. Xenokostas Panagiotis | ONEX S.A. Zanias George | NATIONAL BANK OF GREECE S.A.

4 | BUSINESS PARTNERS | JULY-AUGUST 2014

Dionysios | Members: Ahmad Haseeb, Capone Carlo, Charalampidis Savas, Commissaris Jeroen, Dakas Christos, Filiotis Spyros, Frouzis Konstantinos, Gerassopoulos Marcos, Greco Roberto, Kefalas Nikos, Lakatos Matyas, Lorge Emmanuel, Nordkamp Hendrikus Hermannus (Erik), Pateraki Evangelia, Tarou Iphigenia | Coordinator: Voula Tseritzoglou

PUBLIC AFFAIRS COMMITTEE Members: Canellopoulos Paul, Kyriacou Marios, Papadopoulos Thanos, Saracakis John | Coordinator: Xidou Ritana

TAXATION COMMITTEE Chair: Stavros Costas | Members: Achilas Ioannis, Altiparmakis

Christos, Ampeliotis Evangelos, Anastasiadis Harris, Desipris Antonis, Doucas Spyros, Filippopoulos Dimitris, Gigantes Stavros, Govaris Vassilis, Kanellatou Athena, Kerameus George, Kyriakides Stelios, Laskaratos Panagiotis, Leventis Thomas, Lianopoulos Themis, Mitsios Stephanos, Nasiopoulou Maria, Panagiotidis George, Papadatos Eugene, Papandreou Cristina, Pothos Panagiotis, Samothrakis George, Savvaidou Katerina, Savvas Evangelos, Sfakakis Konstantinos, Spyriouni Litsa, Stavrides Vassilis, Stavropoulos Ioannis, Tapinos Grigoris, Trakadi Maria, Tsakonas Yannis, Yiannacou Sofoklis | Coordinator: Katerina Tzagaroulaki

TOURISM COMMITTEE Chair: Stylianopoulos Andreas | Members: Ananiadis Tim, Argiri Byron, Fokas Makis, Marriott Carol, Mavropoulos Michael, Panayotopoulos Panos, Van de Winkel Bart, Vrachatis Ioannis | Coordinator: Angeliki Dikeoulia

WOMEN IN BUSINESS (WIB) COMMITTEE Chair: Kartsanis Georgia | Members: Adamopoulou Efi, Anagnostopoulou Popi, Athanassoulas Elena, Dimou Maria, Katsou Nelly, Kazakopoulou Betty, Labrou Marica, Milona Martha, Panagopoulou Varvara, Tzimea Deppie, Velliotou Peggy | Coordinator: Angela Boyatzis

CHAMBER NEWS

Business Opportunities and the Future Development of Entrepreneurship The Chamber, in collaboration with its Leadership Committee, held on May 22, 2014 the third consecutive event of the series “Business Opportunities and the Future Development of Entrepreneurship” at the Sarakakis Brothers AEBME facilities in Thessaloniki, which sponsored the event.

More than 150 high school seniors, children of Chamber members, and students from universities in Thessaloniki had the opportunity to interact with top executives of the Leadership Committee about developments, challenges and opportunities regarding their future careers— and at the same time raise their concerns through a constructive dialogue.

The objective of this Chamber series is to facilitate today’s young people in planning their professional orientation while furthering them in entrepreneurship.

Speakers included Alexandros D. Sarakakis, CEO of Saracakis Brothers SA; Nikolaos Bakatselos, Vice President, American-Hellenic Chamber of Commerce; Michalis Roussos, Country Manager at ISS Facility Services SA; Antonios Kerastaris, Intralot Group Chief Financial Officer; and Kostas Axarloglou, Associate Professor of International Strategy, ALBA Graduate Business School. Artemis Miropoulos, Chairman of the Leadership Committee of the Chamber and CEO of Linkage Greece, coordinated the event.

NIKOLAOS BAKATSELOS

ALEXANDROS D. SARAKAKIS

ANNUAL GENERAL ASSEMBLY On June 30, the Chamber held its Annual General Assembly at the Hotel Grande Bretagne. Chamber President Simos Anastasopoulos presided over the proceedings. At the meeting, the entire Agenda was approved. The President provided an overview of activities and accomplishments for the year 2013 and Chamber Executive Director Ilias Spirtounias presented the Statement of Accounts. A new Auditors Committee was voted, whose members include Athanassios Felonis, George Kerameus, and Kyriacos Sabatakakis.

20 13 A N N UA L REVIEW amcham.gr

ALEXANDROS D. SARAKAKIS, MICHALIS ROUSSOS, NIKOLAOS BAKATSELOS, ARTEMIS MIROPOULOS, ANTONIOS KERASTARIS

The American-Hellenic Chamber of Commerce strives for continuous improvement of American-Hellenic commercial and financial relations, through increased membership and through the organization of top-quality events, exhibitions, fora, seminars, and congresses on both sides of the Atlantic.

AMERICAN-HELLENIC CHAMBER OF COMMERCE

NEW YORK INVESTMENT FORUM On June 11 & 12 the Chamber and Athens Exchanges hosted the 3rd Greek Investment Forum in New York. 25 of Greece’s largest listed companies participated.  See full coverage inside on pages 40-43.

6 | BUSINESS PARTNERS | JULY-AUGUST 2014

3rd Annual Agrotechnology Conference

CODIFICATION OF LEGISLATIVE ACTS

The Agrotechnology Committee of the Chamber successfully held its 3rd Annual Agrotechnology Conference: ‘Greek Agriculture 2014-2020; Agricultural Production – Manufacturing – Markets,’ on June 20, 2014 at the Perrotis College of the American Farm School.

The event focused on challenges faced by traditional crop farmers (vegetables, cotton, arboriculture), the manufacturing processes that add maximum value to related primary sector products, and the optimal ways to reach end consumers in domestic and foreign markets, with an emphasis on international market trends. The event also highlighted the crucial supporting role of financial tools such as contractual farming, credit insurance and EU subsidies, as well as the need to keep abreast of technological changes.

The Minister of Agricultural Development, Mr. Georgios Karasmanis was keynote speaker, and was attended by several hundred participants from the primary and secondary sectors, representatives of distribution channels, businesspeople, academics, scientists and students.

SIMOS ANASTASOPOULOS

DR. PANOS KANELLIS

GEORGIOS KARASMANIS

DIMITRIS IATRIDIS

The Chamber’s Institute on Economic Policy and Public Governance has compiled, for the first time, the Codification of Legislative Acts in Greece, 2010-2014.

Between 2010 and today Greece has introduced more than 1465 legislative acts.

With this valuable resource Chamber members, business organizations, lawyers, journalists, researchers, students and the government itself can track all legislative acts to understand how they affect Greece’s economy and key economic sectors.

The database of the Codification of Legislative Acts will allow enterprises to plan your business strategy based on today’s legal framework, not yesterday’s guesswork.

Find out how this new electronic data base, easy to use, affordable, and fully cross referenced by sector, ministry, and year, can put you in the know—and one step ahead of the competition.

The Codification of Legislative Acts is available by subscription on the website of the Chamber: http://www.amcham.gr

Chamber Calendar September 23-24 Athens, 13th HealthWorld Conference September Athens, 2nd MIW Competition Awards Ceremony

THANASIS KOUIMTZIS, SIMOS ANASTASOPOULOS, ROBERT SANDERS, NIKOLAOS BAKATSELOS

SIMOS ANASTASOPOULOS, GEORGIOS KARASMANIS, DIMITRIS IATRIDIS

October 13-15 Walter E. Washington Convention Center, Washington DC, AUSA 2014 Annual Meeting & Exposition, Greek Pavilion of Defense Industries in Greece October Athens, Data Protection Forum November 11-12 Athens, 4th Labor & Insurance Conference November 20 Athens, Athens Ledra Hotel, 12th CSR Conference November Thessaloniki, 6th Thessaloniki Tax Forum November Athens, Corporate Governance Conference

JULY-AUGUST 2014 | BUSINESS PARTNERS | 7

CHAMBER NEWS

Space: The Ultimate Leadership Challenge The Chamber provided its auspices for a major leadership event hosted by Linkage Greece—Space: The Ultimate Leadership Challenge. The event featured an interactive presentation by NASA astronaut Scott Parazynski, one of the most accomplishes explorers of our time. In addition to five space missions and seven space walks, Scott Parazynski has climbed Mt. Everest, scaled many of the world’s leading mountains, and is a physician who continues his work today engaged with the exploration and study of the Antarctic.

Dr. Parazynski addressed more than 600 participants at the auditorium of the Hellenic Cosmos, where he recounted many of the challenges he faced as an astronaut, athlete training for the Olympic Games luge competition, mountain climber and physician.

Linkage President Dimitris Papanikitopoulos, Linkage Managing Director Artemios Miropoulos and Chamber President Simos Anastasopoulos welcomed the guests.

KEY LEADERSHIP INSIGHTS–DR. SCOTT PARAZYNSKI

PREPARETRAIN COACHDEVELOP

COOPERATE

INNOVATE

PERSEVERELISTEN

REVIEWCORRECT 8 | BUSINESS PARTNERS | JULY-AUGUST 2014

“Education is the most powerful weapon which you can use to change the world” Nelson Mandela

Do you want to be tomorrow’s Leader with Ethos?

You need to have “Morfosis”

www.acs.gr/global-morfosis

ALBA BUSINESS REVIEW

BY NIKIFOROS LAOPODIS

Greece is still in a vicious circle of economic, political and social disarray that does not seem to break.

The Other Side of Attracting Investments in Greece

T

he government keeps announcing and implementing new measures to reduce unemployment, attract investments and spur economic growth but these measures are often incomplete or confusing. In this short article, I will not discuss the much-debated impediments to attracting investments in Greece such as taxation, regulation, bureaucracy, corruption and inadequate infrastructure but other, attitude-related dislocations that may seem unimportant yet disrupt the normal flow of every-day life and drive away existing businesses or deter new investments.

Take tourism, for example, Greece’s main industry. The country fell behind its main competitors, Spain and Turkey, and has not improved its position in the world ranking of tourist arrivals in the 2009-2012 period.1 What other reasons could have been responsible for this lag in tourism competitiveness?

Obviously, poor service, the frequent and unannounced dock blockades, and the closures of major archaeological sites, museums and hotels. To top it off, white- and blue-collar workers alike, led by hard-core union leaders, resorted to strikes and protests, often intentionally, thus politicizing their problems instead of looking at the problems from within. Who, in his right mind, would want to do business in a country whose unionized

10 | BUSINESS PARTNERS | JULY-AUGUST 2014

OUR COUNTRY HAS GIVEN US PLENTY BUT WE HAVE NEVER RETURNED THE FAVOR

workers spend vast amounts of human, financial and real resources just to stage such acts demonstrably without real solutions?

Prospective investors are routinely driven away simply because unions do not want others to mix with their business and end up compromising their hard-earned rights.

Needless to say that Greece sells abroad! The rest of the world yearns to come to Greece and taste its food, know its culture, touch a piece of its history and do business with its people. The country also offers unique seas, landscape, air, sun and much more all of which translate into an infinite number of investment opportunities! Yet, we do anything in our power to drive people away through our mindless acts including work stoppages, protests, traffic blockades, building sit-ins, riots and other innovative forms of confrontation with the government.

Every single day in Athens, any number of the above takes place. Athens was closed almost 500 times in 2010 and approximately 6000 protests were counted in 2011 alone!2

So, how can Greece attract more investors, tourists, students and other passersby that can help it jumpstart economic growth? The answer may be simpler than we think. If we change our mentality and realize that reforms are essential in a rapidly-changing world we can then begin viewing our country as special. A simple introspection would not hurt to understand we are all in this together and cannot always blame the government for our misfortunes. Every citizen should concentrate on his/her core competence and not on politics often with counter-productive results for all. What we need are new, innovative, investment-friendly ideas that can move the country forward. We should learn to appreciate our country’s position in the world and regard it as the meeting point for the rest of the world. We can then all work to making Greece a must-see country for tourists, core course for international students, and a hub for international investments.

I end this article with a passage from John F. Kennedy, a former United States president: Ask not what your country can do for you, but what you can do for your country. Our country has given us plenty but we have never returned the favor. The time is ripe to act.

ETE, ‘Greek Tourism: Facts & Figures’, various S editions.

2 KATHIMERINH (27/2/2011) and TA NEA (11/3/2012).

1

Anatolia Elementary School • Anatolia High School International Baccalaureate (IB) • American College of Thessaloniki - ACT 60 John Kennedy St., Pylea, Thessaloniki, Greece • Tel. +30 2310 398200 • www.anatolia.edu.gr

ECONOMICS— OUT-OF-THE-BOX

BY MANOLIS XANTHAKIS

Economics—Out of the Box is a Business Partners series by members of the Chamber’s Institute on Economic Policy and Public Governance.

The Creation of Laws: A Public Good?

R

ecently, Prime Minister Samaras ordered the creation of a mechanism to evaluate the huge amount of laws approved

by Parliament and to initiate an effort to simplify the legal framework of the land. Easier said than done.

There is no doubt that we have a highly complicated armor of laws accompanied by an appalling number of ministerial decisions and bureaucratic interpretations.

The majority of these laws live to eternity and only a small number is cancelled. The common practice, when a need arises, is to replace an article or a part of an article of a previous law with another article in a new law. Frequently we read an article in a law that replaces a number of several previous amendments approved in laws of the past.

We read an array of numbers referring to previous laws and articles that only attorneys and public servants can identify and understand. Other countries have introduced “a sunset approach.” Each law has a day of expiry, unless decided otherwise.

The numbers of this legal hyperactivity are impressive. The Institute of Economic Policy and Public Governance of Amcham prepared a commendable report for 201014. The log includes 193 laws, 68 presidential decrees, 484 ministerial decisions, 280 interministerial decisions, 76 other relevant decisions and 220 instructions.

If we retrieve older years, the numbers are equally formidable.

12 | BUSINESS PARTNERS | JULY-AUGUST 2014

This massive legislative activity makes politicians happy; they produce a quantifiable record during their career. Bureaucrats are also happy to construct drafts to become laws, in a complicated fashion, that makes them indispensable for the retrieval of the regulations and the interpretation of what legislators wanted to say. This expertise brings power and a strong bargaining position for promotions and increased employment in the public sector. We should

THE SIMPLIFICATION OF THE RULES OF THE GAME ... AND TRANSPARENT REGULATIONS WILL BRING HOPE TO ENTREPRENEURS AND TO CITIZENS

not underestimate, also, that this environment is excellent for corruption to thrive.

We have all experienced behaviors to this end in our dealings with the public services, from a porter of a ministry to high up the hierarchy.

In the last four years Greece has gone through a strong austerity program and an effort to modernize. The numbers of the improvement are impressive. But the big

question is whether the measures, which were effective for the economy to stabilize, are also enough to achieve sustainable growth. The obvious answer is that without a smaller public sector and more freedom for the private sector to invest and create jobs we cannot achieve significant rates of growth, exports and sustainability.

It is not possible to reconstruct the productive network of the economy without the private sector.

Entrepreneurship is a high-risk activity.

To contain some risk, it is important for firms to operate in a friendly or, at least, a neutral environment. In Greece a culture of suspicion faces the private sector. It will take considerable time for the many things needed for this behavior to change.

The simplification of the rules of the game (fewer laws in codes easily accessible, fewer procedures) and transparent regulations will bring hope to entrepreneurs and to citizens. The Prime Minister correctly identified the problem. But the solution is not easy at all. Some years back, in our capacity as regulators, we introduced repeatedly, in several approved laws, the codification of the legal framework of the capital market. Impressive work was done to this end by a competent committee of expert lawyers, but no proposed codification was produced. After trying in vain to understand the reasons, a member of the committee, in a moment of sincerity, told me “if we produce this code, half our income will be lost.”

NAMES & FACES

...in the news ▼ DOW SALES Dow Hellas, a subsidiary of Dow Chemical Group, reported a further increase in sales and a significant profitability in 2013. Dow Hellas said revenues totaled 67.20 million euros last year, from 61.8 million Euros in 2012, up 8.4%, helped by strong export activity. The Greek industry supplies large quantities of polysterene to other group subsidiaries in Italy, Portugal, Spain, Holland and Hungary, where Dow Chemical has shut down its industrial units. ▼ IBM-DOW COOPERATION Prime Minister Antonis Samaras met in June with the Chairman of Dow Chemical Company, Andrew Liveris and General Manager of IBM in Europe Rich Hume, to disucss the cooperation between the two companies to create an IT service center in Greece.

The services to Dow will be provided by the IBM headquarters in Athens.

“Greece was chosen because the Prime Minister and his team have created an environment friendly for investments in the country,” Mr Liveris said.

Rich Hume said that this partnership would strengthen the technological capabilities and the talent that exists in Greece. ▼ AEGEAN AWARDED Aegean Airlines received the Athens Chamber of Commerce and Industry (ACCI) 2014 Corporate Responsibility Award in the context of the 2014 ACCI Awards for enterprises and entrepreneurs.

Aegean, a Star Alliance member distinguished in 2013 as the best regional airline in Europe, was chosen for the award for systematically investing in the corporate social responsibility sector. ▼ BYRON COLLEGE PUPILS WIN 2014 INTERNATIONAL

COBIS AWARDS

Byron College, The British International School of Athens, has had another successful year in international competitions. As a member of COBIS, which has 181 schools from 60 different countries and over 100 000 pupils in its organization, Byron enters international competitions.

Mr M. Burfield, Head of School, was very proud to collect two prizes in the COBIS Young Scientists Film Award 2014. One was for overall winner in the KS1-2 category. The other was a truly international collaboration with Transylvania College.

SPEAKER’S CORNER 14 | BUSINESS PARTNERS | JULY-AUGUST 2014

CAUSE

EKATERINI SAVVAIDOU APPOINTED Ekaterini Savvaidou of PwC-Hellas, specialising in fiscal and taxation law, was appointed head of the Public Revenues General Secretariat following the recent resignation of Haris Theoharis and a committee review.

Mrs, Savvaidou is a lawyer with extensive exEKATERINI SAVVAIDOU perience in the private and public sector. She is a Supreme Court (Areios Pagos) lawyer and senior manager at the PwC-Hellas consulting company.

She was a member of the Taxation Committee of the American-Hellenic Chamber of Commerce.

She graduated from Athens University’s Law School and holds graduate and doctorate degrees from French universities and completed graduate training courses at Harvard University on comparative taxation policy.

EU-U.S. TALKS The strengthening of cooperation on issues of common interest in the sectors of justice and home affairs dominated talks at the EUUS Ministerial meeting on Justice and Home Affairs (JHA) held in Athens in June.

Discussion focused on the progress of negotiations on the data protection Umbrella ERIC HOLDER Agreement. Reform is aimed at reinforcing the rights of European citizens and businesses.

The meeting also focused on developing a creative framework of action against transnational organized crime, the findings of the EU-US Working Group on Cybersecurity and Cybercrime and the so-called “Global Alliance against Child Sexual Abuse Online”.

The meeting was chaired by Justice Minister Haralambos Athanassiou and and was attended by US Attorney General Eric Holder, US Deputy Secretary for Homeland Security Alejandro Mayorkas, EU Commissioner for Home Affairs Cecilia Malmstrom and Director-General for Justice at the European Commission Francoise Le Bail.

Shallow men believe in luck or in circumstance. Strong men believe in cause and effect.

—Ralph Waldo Emerson

EFFECT

I’m a greater believer in luck, and I find the harder I work the more I have of it.

—Thomas Jefferson

NIKI SIROPOULOU TEDXACADEMY FOUNDER

TedXAcademy: Human Potential What is the TedX Academy vision?

The TEDxAcademy vision is to bring perspective on the global trends affecting the world, to create a “meaningful” dialogue on challenges Greece is facing, and propose ideas to address them. From global to local.

And to delver mind-shifting ideas to unlock the human potential in Greece.

When is the next TedX Academy?

The next TEDxAcademy event is on Sept 27 at Megaron Concert Hall under the theme “The Future We Share,” with 15 International and local speakers. From James Robinson, co-author of “Why Nations Fail” to Greek philosopher Stelios Ramfos, and many more. Our program is at www.tedxcademy.com What impact does the event have on participants?

International speakers get a “hands on experience” about Greece and in most of the cases a very positive one. They become “Ambassadors of Greece.” Our local audience gets inspired of the human potential of Greece and their own potential as global citizens and citizens of Greece. We have seen people get inspired and start “doing” things. This is so refreshing. We have a local and an International audience who watch the talks live. And we also create a “library” of talks that has over a million views so far in Greece. This is a good start. And we are proud to be a part of Greece that looks forward.

CIRCUMSTANCE

Ability is of little account without opportunity.

—Napoleon

▼ FULBRIGHT SCHOLARS HONORED On June 12, U.S. Ambassador David D. Pearce honored Greek and American Fulbright Scholars and Fulbright donors, in the presence of Athanassios Kyriazis, Secretary General of the Ministry of Education and Religious Affairs and Fulbright Executive Director Artemis Zenetou. The Ambassador congratulated the 51 recipients of Fulbright scholarships for this year, who were chosen after rigorous review from a large pool of extremely qualified candidates. This year’s Fulbright scholars encompass a diverse range of academic interests, from oceanography and narrative medicine to geotechnical engineering and anthropology, visual arts and history to political sciences and gender and cultural studies, physics, computational design, photography, social entrepreneurship and law. ▼ ENDEAVOR GREECE SURVEY Greece will need 25 years to generate the necessary jobs, considering its current pace and the enterprises mix, according to a survey by Endeavor Greece. “To accomplish that in less than a decade, it would have to triple the efforts focused on value-added sectors and double their success rates.

Above all it would have to create the appropriate entrepreneurship ecosystem which will create, support and connect quality entrepreneur projects,” said the survey, which was presented in the 3rd International Conference of the Stavros Niarchos Foundation on Filanthropy (June 26-27).

Greece has lost 1,000,000 jobs in the last five years, according to the survey.

More than half come from three sectors—construction, retail/wholesale and manufacturing—while whole sectors such as real estate have practically vanished. Only three sectors managed to maintain or even increase their labour force: agriculture, food manufacturing and technology. ▼ ALLIANCE FOR JOBS The EU co-funded pilot program “Alliance for Jobs” aims to offer comprehensive support, training and jobs to unemployed graduates of the professional schools of the public Manpower Employment Organization (OAED). The program is part of PARES (Partnership between Employment Services), a European Commission initiative that encourages cooperation between the different employment services (public, private and non-profit) in EU member countries. The four project partners in “Alliance for Jobs” are OAED, ManpowerGroup, as a private provider of employment services, Praksis, as a non-governmental organization that will support the dissemination of the new program, and Menon Network, as an independent assessment body.

PERSPECTIVE

OINK

—Franklin D. Roosevelt

—Robert Jordan

I think we consider too much the luck of the early bird and not enough the bad luck of the early worm.

Even fools say something worthwhile now and again. Even a blind pig finds an acorn sometimes.

JULY-AUGUST 2014 | BUSINESS PARTNERS | 15

TRAVEL USA

On the occasion of Greece’s entry into the Visa Waiver Program, the U.S. Commercial Service of the American Embassy in Athens is showcasing all 50 states and five territories in Business Partners.

Discover America—Montana ★

B

egin with two of the world’s greatest treasures, the crown of the continent, Glacier National Park, where mountain goats pose in their home of unparalleled scenery, and Yellowstone National Park where primal geothermal forces gush out of the earth while bison graze. Next, fill the wide-open spaces between the parks with wilderness refuges, rodeos and festivals, soaring Rocky Mountains, vast prairies, rivers and lakes, art galleries, agricultural communities and modern cities, museums, elegant resorts and unpretentious ranches and abundant wildlife.

Beneath the vast blue sky, choose from a plethora of activities from whitewater rafting or river floating, downhill skiing, snowmobiling or snowshoeing, hiking, horse riding or mountain or road biking or world-class lake and fly fishing. In the evening, soak in a hot spring pool beneath our stars, sip local wines or microbrew while dining on bison or burgers or relax with lemonade on a country porch. Year-round, Montana’s communities serve as gateways to days of adventure and an evening of relaxation. Explore our past, but enjoy the present. Follow the Lewis and Clark Trail, see the site of Custer’s Last Stand at the Little Bighorn, explore the ghost towns and old mining camps, experience a Native American powwow or follow the Montana Dinosaur Trail.

GLACIER NATIONAL PARK

THE TREASURE STATE LAND AREA 147,138 square miles POPULATION 1 Million STATE CAPITAL Helena LARGEST CITY Billings LOCAL TIME MST – 9 hrs. behind Greece CLIMATE Warm, dry summer with cool evenings. Cold, snowy winters tempered with sunshine and very dry air. Weather in higher altitude areas, including National Parks, is variable with snow possible in mid-summer.

NATIONAL PARKS Glacier National Park, Yellowstone National Park, Little Bighorn National Battlefield, and three other sites under National Parks Service administration. There are two national parks and various other Park Service sites that include Battlefields, Monuments and Wildlife refuges.

 For more information: Montana Office of Tourism Tel: 00 1 406 841 2870 E-mail: travelcounselor@visitmt.com Website: www.visitmt.com

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The American College of Greece The largest American College in Europe

BIZ BUZZ

The 10 Social And Tech Trends That Could Shape The Next Decade Sarwant Singh, a contributor at Forbes, outlines the mega trends he sees shaping the next decade.

1

C onnectivity and Convergence By 2020, there will be over 5 billion Internet users, with over half of them accessing the Internet over handheld tablet devices and 80 billion connected devices worldwide.

2

“Bricks and Clicks” will become the retailing norm of the future, with every retailer expected to have an online identity as well as a brick and mortar presence by 2020.

3

Future of Mobility In the future, people and organizations will want personal mobility (not necessarily cars or trucks) to travel from A to B, as journeys will become integrated with intelligent and smart technologies, enabled by a single ticket or membership to provide seamless travel on multi-modal transport systems with the car becoming an integral part of a wider transport network.

4

Urbanization – City as a Customer We will see cities expanding to form mega cities, mega regions and even mega corridors, such as the Boston to Washington, DC (BosWash) corridor, which will have a population of 58.2 million and account for 20 percent of United States GDP in 2025.

5

Social Trends Changing Social trends in Generation-Y, rise of middle class, an aging population, reverse brain drain, Halal economy, a heterogeneous society, generational political change in nations like India, abolition of single child policy and hukou system in China, aging population and women’s empowerment will usher in some deep socioeconomic changes in our future society.

6 7

Health, Wellness and Well-being This is the next biggest mega cycle stretching all the way to the 2050 and beyond.

8 9 10

Innovating to Zero We will shift focus and develop products and technologies that “Innovate to Zero” —cars with zero emissions, zero accidents and zero fatalities and cities and buildings will want to be carbon neutral Smart is the New Green Smart products will be everywhere around us from smart clothing, watches, phones, to smart buildings and smart cities.

Value for Many The emergence of a global middle class of 4 billion people and a connected community on the internet of 5 billion will allow entrepreneurs and businesses to “make one, sell many,” Future of Energy The energy industry will converge with several related industries to develop efficient and environment friendly solutions.

R ead the full article at http://www.forbes.com/. The article is based off of a recently completed Frost & Sullivan analysis titled, “World’s Top Global Mega Trends To 2025 and Implications to Business, Society and Cultures (2014 Edition).”

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SELFIES—OR NOT Only 37 percent of workers in Europe prefer self-employment, while in the U.S. and China the equivalent figure exceeds 50 percent, accordong to Athens Chamber of Commerce and Industry (ACCI) president Constantine Michalos. According to the 2013 Global Entrepreneurship Monitor, early-stage entrepreneurs in countries such as Germany, France, Belgium, Greece and Spain are around 5 percent of the total adult population. The corresponding figure in the U.S. and China is close to 15 percent, while in Brazil is 17 percent.

“A culture has been created in Europe today which discourages creative entrepreneurship. The example of Greece is typical: the decades before the crisis, we managed to adopt a philosophy that is hostile to private initiative and we made the state intervene significantly in economic activity, thereby increasing bureaucracy and complexity. We did not try to develop entrepreneurial awareness among younger generations...That resulted in even more able young people averse to entrepreneurship,” he noted.

The problems are more or less similar throughout Europe but the human capital exists, he said and added: “We cannot afford to leave it unexploited, or to lead it outside Europe in search of better conditions.”

BIZ BUZZ

E IS THE WORD

NY Food Show

Vassilis Korkidis of the National Confederation of Hellenic Commerce called on Greek companies that want to differentiate themselves to collaborate and trust their online shopping presence to professionals so consumers can also trust them. “The factor of trust is key to the success of e-commerce,” he said at the 3rd Conference of e-business World 2014.

Mr. Korkidis said that e-commerce provides enormous opportunities to Greek enterprises and mobile channels open new markets for on-line business.

Based on the latest data, Greece is an important market for the growth of the “PayPal” payment method as online stores increase. The Internet is an opportunity for “start uppers and follow uppers” since it is estimated that more than 5,500 new Greek companies’ business models are based online. However, the Internet in Greece contributes only 1.2 percent to GDP, according to a recent survey of the Boston Consulting Group; the equivalent figure in Europe reaches 3.8 percent. European internet sales are forecast to have risen to 323 billion Euros by 2018. The European Union has created a new investment fund of 10.4 billion euros to help small and medium sized entreprises (SMEs) develop through the use of digital technologies.

More than 30 food companies from Greece and Cyprus participated in New York City’s largest summer food show June 29–July 1, 2014—that included more than 2,730 exhibitors from around the world.

Greek food manufacturers and distributors attracted major attention from media and attendees, proving that Greek food products are starting to receive their deserved attention in a nation that praises the Mediterranean diet, but is not yet familiar with many Greek food brands.

Greek and Cypriot companies that participated in the show included: Artemis, Charalampides Christis, Delta Brands Serano Nuts, Entopia Oil, Farmhouse, Georgoudis, Greektopia, Kanakis, Kriton Artos, Kyknos, Melissa, Mitsides, Nestos, Nera Kritis, Olive Vision, Pavlides, Panprod, Papouis, Phoenicia Specialty, Pittas Dairy, Real Greek Wines, Rodoula Pastries, Royal Tsatsoulis, Sevitel Oil, Siouras Olives, Soya Hellas, Stylis Olives, Tsatsakis Cretan Breads, Vianos Oil, and Zanae.

Funding for “Good Proposals” The European Investment Bank (EIB) will fund “good proposals”

by Greek business owners, Werner Hoyer (photo), president of the European Union’s bank, told Kathimerini. According to the newspaper, EIB “can provide the know-how so that the business plan is developed further.” He added that Greek business owners “are not ambitious with Greek investments. They prefer to invest in the United Kingdom, and that’s a big problem.”

EIB is prepared to do more to support research and innovation in Greece, he was quoted as saying, adding that well-trained Greek researchers, recognized globally, staff many scientific organisations.

Smoking Numbers 24/7 ONLINE LEGAL FILING Legal documents can be filed electronically on a 24-hour basis including weekends and holidays, the justice ministry announced.

The option is included in Law No 4267/2014 (article 19, paragraph 5) already published in the Government Gazette.

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Contraband cigarettes trade in Greece has increased, according to a study conducted

by KPMG in all European Union countries commissioned by British American Tobacco, Imperial Tobacco, Japan Tobacco International and Philip Morris International.

The main findings of study for Greece are that illicit trade of cigarettes was up 4.4 percentage points to 17.8 percent in 2013; the majority of contraband cigarettes are illicit whites (7 out of 10), which were up 63 percent in 2013 compared to 2012. According to KPMG’s 2013 SUN study, illicit whites are an emerging type of illegal branded cigarettes manufactured for the sole purpose of being smuggled. Lost taxes in 2013 amounted to 565 million euros. On a European level, one out of 10 cigarettes consumed were illegal, 33 percent of which were the so-called illicit whites. Overall, 58.6 billion illegal cigarettes were consumed in the EU; this is equivalent to the total legal cigarette markets of Spain and Portugal and represents a total tax revenue loss of 10.9 billion euros.

CAMPION SCHOOL Tomorrow Begins Today

Inspiring a love of learning www.campion.edu.gr

•

Facebook.com/Campion School

BUSINESS MATTERS

David Paleologos— Insights of a Pollster

efficiency are a given. What is accurate and what is ethical is another matter. So the ethos of the pollster is a major factor.

In this year’s European and local elections, exit polls gave the false impression with far more flattering results for Syriza, that were proved wrong. Pollsters explained that Syriza voters were more eager to answer to exit polls. What is your opinion?

They say that people had an uneven distribution of not talking to pollsters: this is an explanation but not the best. The law of averages says that no one party has a monopoly of refusals in a survey. However, there is bias with exit polling based on who does the exit poll, how does he/she look. That’s why I created a bellwether model, which is like an exit poll but it’s not done on the day of the election because of bias.

Another reason could be that humans generally don’t like confrontation and give socially desirable responses; not their honest opinion. How do you get around that?

We try not to personalize the question. A way to do that is instead of asking, “How do you feel about that?” they could ask, “How do you think your neighbors feel about that?”

In the future, will it be more difficult to make accurate predictions since we won’t have a few parties, but many? To minimize the error rate of the polls should we increase the sample? What happens when there is 5% error rate—we had such a case this year—and how could this influence the electorate?

As a general rule you should have an error rate lower than 5%. Increasing the sample is a solution although it costs. No interest group, individual or other party more directly affects the outcome of the elections

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Eva Adosoglou, a Fulbright Scholar from Greece pursuing her Masters at Boston University, continues her series of interviews with Greek Americans.

Usually each media puts on air the polls they agree with and thus the public cannot see the real picture. What could be a solution for that?

You could have a website where statisticians aggregate all the polls and find the arithmetic average. They should also have a look at the methodologies and give certain polls different weights. Polls that were repeatedly accurate will get a higher rate. Then they can provide the public with their best guess.

AS A RESULT, POLLS ARE MAKING OUR LEADERS MORE AND MORE UNWILLING TO TAKE RISKS AND FOLLOW INSTINCTS than a poll. What happens is that the media magnifies every small movement of the polls and then they blush out the messages.

This magnifies people who are undecided voters and where the undecided total is higher in a poll then it is multiplied. Any research project should follow five principles: accuracy, relevance, efficiency, timeliness and ethicality. For the purposes of a TV broadcast, relevance, timeliness and

Since we are still conducting political surveys the same way we did decades ago what are the chances that things will change when it comes to leadership?

If a survey has response categories and the respondent defines one then it is highly unlikely that if a respondent had a great idea for a new policy it would ever get recognized. As a result, polls are making our leaders more and more unwilling to take risks and follow instincts. We have created a deadly circle: pollsters feed media outlets, TV media produce news that is based on that polling data, TV news broadcasts public images to enhance or confirm the findings and then the voting public absorbs and digests its own opinions. So in the future there has to be another level of questions that captures the instincts of the voters.

David Paleologos, an expert on polling in the United States, is the director of the Suffolk University Political Research Center.

ΤO NYC EINAI ΠΙΣΤΟΠΟΙΗΜΕΝΟ KAI ΑΝΑΓΝΩΡΙΣΜΕΝΟ ΑΠΟ ΤΟ ΒΡΕΤΑΝΙΚΟ ΣΥΜΒΟΥΛΙΟ ΠΙΣΤΟΠΟΙΗΣΗΣ (BAC) ΩΣ ΙΔΡΥΜΑ ΠΟΥ ΠΑΡΕΧΕΙ ΑΝΩΤΑΤΗ ΕΚΠΑΙΔΕΥΣΗ

EUROPEAN & AMERICAN EDUCATION

EUROPEAN & AMERICAN ED

ΚΕΝΤΡΟ ΜΕΤΑΛΥΚΕΙΑΚΗΣ ΕΚΠΑΙ∆ΕΥΣΗΣ

ΚΕΝΤΡΟ ΜΕΤΑΛΥΚΕΙΑΚΗΣ ΕΚ

EUROPEAN & AMERICAN EDUCATION

EURO

ΚΕΝΤΡΟ ΜΕΤΑΛΥΚΕΙΑΚΗΣ ΕΚΠΑΙ∆ΕΥΣΗΣ

ΚΕΝΤΡ

THE INTERVIEW

SHIFTING MINDSETS ACS ATHENS

DR. STEFANOS GIALAMAS, PRESIDENT OF ACS ATHENS, DISCUSSES HOW ACS ATHENS PREPARES STUDENTS FOR THE FUTURE, AND WHY INNOVATION IS NEEDED FOR SUCCESS. Please tell us about ACS Athens.

ACS Athens is a non-profit K-12 academic institution established in 1946 with a bilateral agreement between the USA and Greece. Through excellence in teaching and diverse educational experiences, ACS Athens challenges all students to realize their unique potential: academically, intellectually, socially and ethically—to thrive as responsible global citizens. Today, more than 880 students from 52 nationalities are attending. ACS Athens is accredited by the Middle States Association of Colleges & Schools (MSA) and authorised to offer the American Diploma. In

24 | BUSINESS PARTNERS | JULY-AUGUST 2014

addition it is authorised by the College Board to offer Advanced Placement Courses (AP) and by the International Baccalaureate Organisation (IBO) to offer the International Baccalaureate Diploma Program (IBDP).

In what ways must schools adapt and evolve in Greece today? How is ACS Athens adapting?

If the goal of education is to successfully prepare students for the future, we cannot continue educating them in ways that address education and market needs of the past. The world has changed exponentially in ways that are not always easy to understand so as to accurately predict the future needs, and prepare students for them. Thus, an educational reform is not only necessary, but also critical in bringing about drastic changes in educational curricula as well as the way these are implemented.

Education should be approached as an integral part of shifting to a different level and trajectory of thinking and learning. Our focus should be how teaching and learning could be meaningful, relevant, and transformational for the learner; but also, how this thinking can utilize all the benefits of worldwide innovations for developing critical thinking and promoting creativity.

Please tell us about your Morfosis paradigm.

ACS Athens has developed an educational paradigm called Morfosis which is based on three fundamental principles guided by Ethos. These are: • Holistic, which means understanding and successfully combining the academic, emotional, physical, intellectual and ethical components to ensure a healthy, balanced individual; • Meaningful, which refers to being in line with one’s principles and values, with one’s personal and professional goals; • Harmonious, which refers to the idea that emotions, intelligence and intellect must be harmonically integrated.

One of the critical components driving and facilitating the effective implementation of Morfosis that ACS Athens has adopted is the i2Flex Program. The i2Flex Program aims at cultivating and expanding students’ 21st century skills, while empowering them to function as architects of their own learning where at the same time facilitating their successful preparation for their higher education studies, as well as their future roles both as professionals, and global citizens.

How is the flipped classroom altering the approach to teaching and learning?

Is the concept of the lecture altering in favor of a more interactive approach?

The flipped classroom moves the institution into the individual learning space thereby allowing more time for hands on, collaborative, higher order thinking activities, giving students opportunities to challenge themselves and have greater control. The ability of the flipped classroom to allow this goes hand in hand with the idea behind i2Flex and allowing students to really be the ones to design their own future. Learning with the help of technology and the Internet, becoming independent and flexible learners, will only build on the skills the students need to face a rapidly changing world to truly become architects of their own learning.

How are social issues--ethics, community involvement, personal responsibility— best addressed in a school setting?

Social awareness, social interest, social engagement, and social commitment are all integrated into the curriculum by teaching learners to serve humanity. Knowledge devoid of the awareness and skills toward the betterment of the human condition is incomplete education. Holistic education encourages the student to go beyond the self toward the common good.

Social awareness according to Goleman “refers to a spectrum that runs from instantaneously sensing another’s inner state, to understanding her feelings and thoughts, to “getting” complicated social situations.”

Social interest is an extension of the self into the community; a collective responsibility and striving for the betterment of the community and a condition which Adler strongly believed is a main criterion for positive social adjustment.

In addition, social engagement is the ability to put interest into practice. Becoming aware of a social condition is a first step, developing an interest toward improving the social condition is second and finding ways to engage in bettering the condition is a step further toward taking responsibility for part of the solution.

Finally, social commitment to a cause, a human condition, the betterment of a situation or the improvement of a person’s existence, becomes a way of life for students as they develop a positive mind set toward improving any aspect of society.

Does ACS Athens direct resources to financial literacy, an area of special concern especially in today’s environment?

We have developed a specific curriculum concept and have established programs addressing the special needs of today’s environment. We have invested in a sequence of courses in business economics and entrepreneurship.

Business Economics are courses offered to Academy grades 11 and 12. The courses’ objectives are for students to understand the purpose of business, to learn about the operation of a business and to be able to evaluate whether a business has the potential to become successful.

In an attempt to reward good work in business classes, we use a market reward approach; that being the financial capital that a business can raise from

Education should be approached as an integral part of shifting to a different level and trajectory of thinking and learning

outside investors. During the ‘Business Fair,” people have the opportunity to see the business plans of our young entrepreneurs as they present to a team of expert judges who act as potential investors. Visitors can view projects and watch as the class presents to our judges. The judges “invest” in the three plans they feel have the most innovation and viability. The expected learning outcome from this endeavor is not only for the students to experience business success, but also to try their hand at selling their ideas.

In closing, now more than ever, we need to prepare tomorrow’s leaders with ethical discipline to make the world a better place to live in for all global citizens.

JULY-AUGUST 2014 | BUSINESS PARTNERS | 25

THOUGHT LEADERS

THE EDUCATION PARADOX

LOW TECH, HIGH TECH, OR HYBRID? AT THE FOREFRONT OF THE EDUCATION DISCUSSION TODAY IS THE ROLE OF TECHNOLOGY—AND NEW APPROACHES—IN LEARNING. BUSINESS PARTNERS PRESENTS 10 THOUGHT LEADERS IN EDUCATION, WHO EXAMINE HOW EDUCATIONAL INSTITUTIONS AND PROGRAMS ARE RESPONDING TO NEW CHALLENGES. —Raymond Matera

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JULY-AUGUST 2014 | BUSINESS PARTNERS | 27

THOUGHT LEADERS

Higher Education and Sustainable Growth

G DIMITRIS ANDREOU PHD, VICE PRESIDENT OF ADMINISTRATION AND ENROLLMENT AT THE AMERICAN COLLEGE OF GREECE

Greece needs to adopt a new model of higher education, adapting hard-earned international experience and best practices to the country’s specific needs

reek businesses need an infusion of internationally-minded, well-trained young people, able to compete on an equal footing with their counterparts from any other country. Only they can make the Greek economy more competitive and export-oriented so it can achieve sustainable growth.

Greek higher education must revise its goals and practices as it seeks to educate such a generation: a. Universities must continuously adapt their curricula to respond to the needs of the economy.

Higher education is not all about jobs but, even in the best of times, providing youths with the tools to build good careers and contribute to economic growth is a priority. The reason so many companies have Deree graduates in key positions, is that the College has always practiced excellence in teaching a continuously evolving curriculum. b. Offering university students international experience is a must for most quality institutions in advanced or rapidly developing countries. Greece should follow suit. At Deree we are expanding programs that include: study abroad agreements with more than 40 institutions worldwide; simultaneous ‘real time’ classes with Greek and foreign university students experiencing the same class via distance technology; ‘co-registered classes’ in which foreign and Greek students are enrolled in a common syllabus course on their home institution, coming together in Greece at some point in the academic term; joint degree programs whose students gain graduation credentials from two institutions at the same time.

These experiences are capped by the opportunity for international internships in which Greek students gain professional experience abroad working for a multinational company. Along with on-campus work-study opportunities and thor-

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ough career guidance these programs help Deree graduates build a much better record at finding meaningful employment after graduation than is common in Greece or many European countries. Our current 6-month-after-graduation employment rate is 69%. c. Greek higher education must become more flexible, allowing students to change the direction of their studies, select courses that suit their interests, and shape their class schedule. Hundreds of high-achieving public university students take advantage of the flexibility of the American model by choosing to do parallel study at Deree. By doing so, they sharpen their talents and improve their career prospects. As part of its Recharging the Youth Initiative, The Stavros Niarchos Foundation, beginning this year, will offer scholarships to select parallel studies students who will become Stavros Niarchos Scholars at Deree. d. The entire Greek higher education model must be rethought and scarce resources allocated more wisely. Today’s model is deeply unfair and places extraordinary demands on students (educationally questionable one-size-fits-all admission exams; career plans subject to the whims of the admission system) and their families (expensive private tutoring, student relocation to other cities). As a non-profit private institution, Deree levels the playing field by offering financial aid according to need and rewarding academic achievement. Between 2012 and 2016, the College will award more than $20 million in such aid.

A quality educational system is the only solid basis for prosperity. Greece needs to adopt a new model of higher education, adapting hard-earned international experience and best practices to the country’s specific needs. I respectfully suggest that Deree, located right here in Athens, might serve as a good model.

Ready for the Future?

EDUCATION FOR DARING BUSINESS LEADERS IN POST-CRISIS GREECE

H

ow can business education make a difference in Greece today? To address this question, take a look at the key challenge of the business community today. With the first signs of a shy recovery, cost cutting and managing liquidity are grossly insufficient for carving our way out of the deep recession.

Unfortunately, most companies are still obsessed with lowering the break–even point, rationalizing production or simplifying procedures, which have been necessities in light of unprecedented liquidity problems and free fall in demand. No matter how pressing these needs may have been so far, they should not avert the attention from preparing a strategy for growth. Senior leaders charged with the growth imperative face two organizational challenges along the way: customer centricity and innovation. These two challenges should be the compass on how we should reform the management education and especially the Executive MBAs and Executive Education at business schools.

Take the customer centricity challenge first.

Most companies embark on ambitious plans and train their employees to put the customer first, track customer satisfaction and their brochures make vows of faith to customers. Still, the results of these plans are often disappointing for many reasons ranging from arrogance to being paralyzed with an avalanche of customer data. The underlying cause, however, is lack of powerful customer insights. Wal-Mart’s prowess seems self-evident today but we should not forget that its success was grounded on a fresh customer insight that challenged the retailers’ convention in 1960s. While rivals located their discount stores where shoppers lived, Sam Walton saw the traveling cost and time were dramatically reduced due to President Eisenhower’s Highway System. He then decided to locate large stores in small towns and attract far away shoppers with low prices.

Therefore, business education should prepare business leaders who will be capable of creating a firm capability for developing customer insights. Moreover, they should be able to align processes, HR policies, and information sys-

tems to convert insights into powerful customer value proposition.

On the innovation challenge, growth does not only stem from a novel product or service, but also from a novel business model. Most firms, however, have difficulty to think beyond existing demand and benchmarking competitors and create uncontested market space. Even if firms think out of the box, the biggest ideas won’t result in big profits unless they are embedded in a company culture that accepts risks and does not punish failure but rather treat it as an opportunity for learning. This echoes 3M’s unparalleled commitment to innovation premised on the belief that “you have to kiss many frogs to get one prince.” As a result, management education should help business leaders create the processes and nurture a culture that fosters the creation of new ideas and their conversion into new products, services, or processes.

DR. KYRIAKOS KYRIAKOPOULOS ASSOCIATE PROFESSOR OF STRATEGY AND MARKETING, ACADEMIC DIRECTOR OF EXECUTIVE MBA AND EUROBANK – ALBA MBA IN FINANCIAL SERVICES, ALBA GRADUATE BUSINESS SCHOOL AT THE AMERICAN COLLEGE OF GREECE

Management education should help business leaders create the processes and nurture a culture that fosters the creation of new ideas and their conversion into new products, services, or processes To sum up, as the business community takes stock of the painful transition over the last 5 years, the awareness of the growth imperative grows. And so does the need of reforming management education in our country. Toward this goal, the ALBA Executive MBA, consistent with its innovation pedigree, introduces a novel curriculum and pedagogic philosophy to address business leaders’ quest for leading growth and renewal at their organizations.

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THOUGHT LEADERS

Skills Challenge in the 21st Century

I PETROS KOKKALIS CHAIRMAN OF ATHENS TECH

t’s exciting to believe that we live in such revolutionary times that require new and different talents in order to be considered successful. And while success is an extremely personal issue, more and more business leaders, educators and policy makers today agree that students need “21st Century Skills” to make it in the marketplace. To make things more complicated, the convergence of media and technology in a global culture is changing the way we learn about the world and shaking the very foundations of education.

But are the skills needed in the 21st century really new? Teaching students how to think has

Today—more than ever—the business world demands both sharp technical skills and broad business insight been and continues to be the backbone of great educational systems everywhere. Yet, today a key factor in any excellent school is helping young people marry the old tricks with the new, taking advantage of new technologies, getting them outside their comfort zone and making them bold enough to go after their dreams and aspirations.

Stung by the economic crisis, the Greek environment has not been easy in the last few years.

The challenges facing the country and the region have grown more complex, greatly affecting the younger generation and its future. Education has become even more pivotal in its role of creating the leaders of tomorrow, helping them succeed and taking over from their parents.

Some of these creative thinkers and leaders are

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entrepreneurs. The startup mentality is beginning to ignite the imagination of young people across Greece offering an alternative to traditional and more mainstream career paths. However, the cultural mindset and the “bug” of entrepreneurship have only recently found their place in academia—and the marriage of courses and degrees that combine business, technology, computing and entrepreneurial (and personal) skills are highly sought after.

Today—more than ever—the business world demands both sharp technical skills and broad business insight. In the field of ICT, computing is continuously evolving, creating many entrepreneurial opportunities. Greece (and the world) needs graduates who are able to integrate their technical side with a good understanding of how high-tech businesses start and grow in a global economy, having the knowledge to move from idea to a product and to a small startup company. And most successful professionals are those who now combine a technology-centric background and pursue both economic and social value, creating a wealth of opportunities for others. The future of the country depends not only on our intellectual capital but also on our ability to exploit the commercial potential of this intellectual treasure.

ABOUT ATHENS TECH Athens Tech is the joint venture of Business College of Athens (BCA), and Athens Information Technology (AIT).

The synergistic approach of BCA as a leading business school and AIT as a technological institution will enhance and expand both business entrepreneurship and computer science education opportunities, and it will enrich the entrepreneurship and innovation ecosystem, while strengthening and increasing the impact of added value in the marketplace and the economy. The joint venture represents a logical blend of two very successful programs, catering to the needs of the next generation of young college-age adults with a better-defined set of program options.

AIT

Leading Education, Research And Innovation In Information Technologies

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n a time of financial crisis such as the one experienced over the last few years, the ability to remain relevant, adapt, innovate, generate new value, even change profession is more important than ever. For young people who are nearing their first undergrad degree, the need to be well tuned to the marketplace is crucial. For professionals who are already in some line of business, the ability to become flexible and take over new kinds of responsibility may be a necessity. For people who are out of a job (a trait that is unfortunately one of the most severe consequences of the crisis in Greece), thinking out of the box and teaming up with the right people to put forth a new company could be the best way out. For businesses, moving a step closer to primary value generation and introducing innovation to their offered products and services is what is needed for an economy that can be competitive at a global scale.

Education, research and innovation are in my view the key ingredients to answer these quests.

place; to participate actively in the generation of new knowledge; to assist in the transfer of new knowledge to the economy via innovative ventures.

It is precisely the above that constitute our focal areas of activity at Athens Information Technology (AIT). Over its 12 years of existence, AIT has made significant progress along all these areas, having established academic collaborations with Carnegie Mellon, Harvard and Aalborg University (AAU) in Denmark. On the research front, we are on the frontline of internationally recognized research, having attracted over 60 collaborative research grants, corresponding to a funding of well over 20M€. The quality of our research output is evidenced in the best paper awards, project awards, citation index, distinguished lectureships, and scientific society fellowships that our faculty and researchers have earned.

On the innovation front, AIT is a frontrunner both in teaching innovation and in proactive technology transfer: we are an active player in the Greek

CONSTANTINOS B. PAPADIAS DEAN, AIT

It is the role of a good research university to address successfully these three key components of the so-called “innovation cycle” Teaching young people how to make a difference is a grand challenge. Generating new knowledge that is marketable could make the difference between success and failure. Stimulating growth via innovative businesses is what will make for a strong economy.

It is the role of a good research university to address successfully these three key components of the so-called “innovation cycle:” to offer to its students an education that is built on solid ground, yet is highly relevant to the market-

startup ecosystem with various incubators/ accelerators and have incubated four start-up companies out of our own faculty.

As we enter our teenage years, we plan to further build on the solid track record set forth so far and we look forward to keep playing an increasingly important role in shaping young minds, coaching professionals, generating leaders and, finally, contributing to a more dynamic, added-value and innovation-driven economy, in Greece and beyond.

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THOUGHT LEADERS

Creating Sustainable Opportunities for Greece’s Younger Generations

T PANOS KANELLIS PH.D., PRESIDENT OF THE AMERICAN FARM SCHOOL & PERROTIS COLLEGE

he American Farm School has always focused on, along with theoretical and scientific knowledge, practical knowledge through hands-on education.

The educational farm on the campus of the American Farm School and Perrotis College is a living laboratory for students of all ages to apply what they have learned, and to conduct their research, under real life farming and food processing conditions.

Today, more than ever before in the institution’s history, we are dedicated to using the spirit of entrepreneurship to combat youth unemployment and to create sustainable new opportunities for Greece’s younger generations wherever they live—in cities or in the countryside. We do this in our historic high school; in the BSc (Hons) degree program and Contemporary Agricultural Practices course at Perrotis College of Agriculture, Environment and Life Sciences; and in our

We are dedicated to using the spirit of entrepreneurship to combat youth unemployment and to create sustainable new opportunities for Greece’s younger generations Center for Agricultural Innovation and Entrepreneurship, which is supported by the Stavros Niarchos Foundation.

We often use the terms “entrepreneur” and “entrepreneurship.” In essence, what we train for—

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and expect from—the young men and women we educate is for them to be able to identify opportunities; find profitable solutions to problems; learn to adapt to, and not to fear, change; and create a sustainable microenvironment for themselves and their families while also creating jobs for others.

Those who live in Greece know the American Farm School products such as premium milk, yogurt, Omega 3 eggs, turkeys and traditional Greek pasta products, each of which enjoys respected niche market status. Student trainees help to prepare these products for the market, while observing and learning how they can successfully operate a small- to medium-size enterprise of their own in the future. What counts is quality; what you select to product; how you differentiate your product; and how you introduce it to the market.

Operating in the large city of Thessaloniki, with the majority of our students at both high school and college level continuing to come from the countryside, the American Farm School remains close to the problems of Greek youth, both urban and rural. We understand and appreciate the magnitude of the employment challenges they face.

Going forward, we have been tapped by the Stavros Niarchos Foundation for a trilateral partnership between the American Farm School, Rutgers University and the Agricultural University of Athens to participate in the foundation’s $100 million “Recharging Greek Youth 2013-2015” initiative.

With Rutgers’ long experience and know-how in providing support to new farmers in the United States; and the understanding of the Greek agricultural landscape on the part of the Agricultural University of Athens and the American Farm School, we are hopeful that a significant number of Greek young people will truly be helped by the education and training measures this partnership will undertake.

Education, Lifelong Learning and Employability

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ccording to human capital theory, learning enhances the earning capacity of the individual learners involved. It follows that investment in education can be evaluated according to economic returns to the individual, such as higher income and better chances for employment; to the employer who benefits from a flexible and productive workforce; and to the state, which gains from increased taxation income and national economic growth. It is often claimed that investment in learning in the 21st century is the equivalent of investment in the machinery and technical innovation during the industrial revolution.

As a result of globalization, competition transcends national borders, and with the development of technology and communication, the developed countries cannot compete with the developing world in labor-intensive sectors in

Governments and enterprises in the liberal democratic states are not willing, and in certain cases are not able, to undertake the bulk of the cost for this transformation. Therefore, although the benefits are spread to all, individuals seem to be those who, guided by their own self-interest will seek to enhance their employment opportunities, and will be willing to pay the cost in anticipation of the increased benefits in the future. Individuals acting in an autonomous, self-interested and self-responsible manner are expected to keep acquiring and maintaining the currency of their knowledge, not only for their own welfare, but for the benefit of the society in general. The shift from the education to learning as a lifelong process empowers the individual who becomes the decision-maker, free to choose/consume what a demand-driven educational market offers.

The traditional role of the formal education in-

DR. ALEXANDRA KAONI DIRECTOR, ACADEMIC AFFAIRS, NEW YORK COLLEGE

Investment in learning in the 21st Century is the equivalent of investment in the machinery and technical innovation during the industrial revolution which developing countries, being labor-abundant, have a comparative advantage. Hence, they are required to produce higher added-value products and services, based on innovation and skilled labor. This shift puts pressure on education systems to constantly develop the output of a workforce with these higher-level skills. The need for lifelong learning becomes imperative.

Indeed, EU claims that lifelong learning increases people’s employment opportunities employability—the capacity to hold rewarding jobs over one’s working life—; and quality of jobs. In the most recent EC Communication ‘Europe 2020’ it is envisaged that “by 2020, 16 million more jobs will require high qualifications, while the demand for low skills will drop by 12 million jobs.”

stitutions as the sole providers of learning thus is diminished. State universities, in particular, lose their privileged status and are forced to compete along with an increasing number of other private quality providers. In taking charge of their learning and in setting the market of education, individuals also become active in support of their employment destinies.

Despite the fact that the discourse of lifelong learning and employability assume that participation in learning and employment is simply a corollary of individual choice and meritocracy, unmediated by race, class and gender, one cannot easily refuse that a continuous capitalisation of the self for the acquisition of learning and skills will prove advantageous in the labor market.

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THOUGHT LEADERS

Preparing for a World We Know Very Little About The first person to live to 200 years old has already been born.

Over the past 50 years the world’s population has more than doubled and will exceed 9 billion people by 2040.

MATTHEW BURFIELD HEAD OF SCHOOL, BYRON COLLEGE, THE BRITISH INTERNATIONAL SCHOOL

By 2050 40% of the world’s population will be under severe water stress (either too much or not enough).

By 2024 6.9 million children will be educated in British schools worldwide.

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We often talk about making a better world for our children.

We also believe that we need to make better children for our world.

hese statements may sound intimidating to some and certainly raise more questions than answers at this point in time. In one decade the first colonization process of Mars will begin. Mars One has already begun accepting applications for the first four people to travel to Mars. They will undergo eight years of training and evaluation before they set off for their journey. The science fiction which has kept me so engaged in the past is now becoming fact.

I often state in assemblies with our pupils that we cannot predict the future. A rather obvious statement but one which rings truer now than ever. When speaking with the 11-year old pupils at Byron College we can legitimately say that one in four of them will have a job which currently doesn’t even exist. This means that as schools we must prepare our young people for a world which we don’t even understand. A daunting task for many teachers who are often seen as the keepers of all knowledge and are used to answering thousands of questions a day. It takes a very brave teacher to admit that they don’t know something to their class. We are fortunate to have many brave teachers. Teachers who are comfortable to give this answer to children. It is very empowering for a child to hear this and our teachers then encourage the children to find the answer. In its

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very essence this is problem solving and critical thinking. Two key skills that all people in this world need and two key skills which can be lacking in many workplaces.

Our world is changing at an exponential rate.

Look again at the statements I started with; 9 billion people will exist in this world before our children joining Nursery this September even reach 30 years old. Before they are 40 years old, four in 10 of them will be under severe stress from one of our world’s most basic of resources, water. Finally, before they reach their first public examinations the amount of children being educated in British Schools will have doubled from the 3.5 million that exist today. We can understand from these simple statements that the world will become an increasingly more challenging and competitive place to live in. The parents who have wisely chosen a British School for their child’s education are doing everything they can to ensure the best possible outcome. I believe choosing Byron College not only ensures academic success but the chance for children to grow in a safe and nurturing environment. We help children develop to be ready for the challenges which inevitably will face them in the not-too-distant future. We often talk about making a better world for our children. We also believe that we need to make better children for our world.

A New Educational Landscape

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any rightly say that the way out of the present crisis is through good education, a field so much neglected in our country. Rather than looking at what is wrong with our system in secondary and higher education, let us look at what is happening internationally, where education is undergoing great changes in our times. The aim is to produce well-rounded responsible citizens, empowered with critical thinking and a world view. Not all changes are positive, however. Let us look with a critical eye at what is happening in the world of education today: 1) The future of Massive Open Online Courses in their pure form is uncertain. Those who actually complete MOOCs are much fewer than those who enroll in them. Perhaps counter incentives creep in, those who sign up are busy or undisciplined and, given the absence of group dynamics, drop out. MOOCs also act contrary to the purpose of the academic environment which is to allow students to project their thoughts and ideas onto diverse personalities. MOOCs cannot replace the traditional university. The university campus emanates an atmosphere; there are many other parallel cultural activities with educational value that take place on a campus, some times simultaneously: lectures, shows, concerts, panel discussions, creating the unique atmosphere of the university, and the educational value that the student derives from the sum of these activities is what finally produces an educated person. Although MOOCs will probably not go far, the hybrid class, partly based on technology that allows online as well as face to face instruction, will probably have a brighter future.

2) Technology plays, as it should, an important role in the educational process. A new concept is that of “flipping the classroom,” a very inventive way to alter and enhance the traditional education process for the benefit of the student. In it technology delivers the lecture in the students’ home. The student listens to the lecture and can pause and play it over and over until he understands it. His questions, trouble spots and further inquiries are brought to the school, where the regular classroom session is devoted to addressing them by the instructor. The instructor is there

to assist, solve problems and answer questions and not to deliver a live lecture. The lecture has been moved to the home by means of technology and the homework has been moved to the school with the participation of the teacher.

3) The emergence of a more liberal academic plan is evident in many institutions: Students are now encouraged to take less traditional, “in a classroom” courses, and to enrich their semester with other forms of educational exercise: inter-disciplinary courses, experiential exposure, service learning, internships, practicums, and study abroad away from their own country. All these options improve the educational experience but should not constitute more than a certain percentage of college level education. The majority of a student’s studies should be conducted at the home institution from where the student will finally get his degree.

4) Internationalization of the university, achieved by opening campuses in other countries, initiating faculty exchanges, forging international academic partnerships and encouraging study abroad is practiced extensively by U.S. institutions and by the Erasmus program in Europe. One must underline the great educational value of study abroad which is the area in which College Year in Athens is devoted.

College Year in Athens (CYA) is a study abroad program located in Athens, focused on the humanities and attracting students from North American colleges. CYA practices inter-disciplinarity in its courses, it offers service learning, internships, and archaeology practicums, and collaborates with very many universities and colleges abroad. Its programs hold up to the strictest quality assurance standards.

CYA serves a niche sector and exists because Greek public universities have failed to develop programs that meet the needs of this sector. Greece is uniquely situated to offer study abroad in a big way. Its history, present in its monuments, and its rich culture, offer great opportunities for development in this field of international education.

This is the new landscape in education, one that attempts to produce graduates who have acquired practical experience during their studies and the skills necessary to join the workforce.

ALEXIS PHYLACTOPOULOS PRESIDENT, COLLEGE YEAR IN ATHENS/DIKEMES

Not all changes are positive, however. Let us look with a critical eye at what is happening in the world of education today

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THOUGHT LEADERS

The Role of University Today

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KONSTANTINE GATSIOS RECTOR, ATHENS UNIVERSITY OF ECONOMICS AND BUSINESS

he world of learning is nowadays being severely transformed, reflecting a change not only in the learner’s and the society’s needs, but also the impact of various technological innovations. Learning now is flexible; it can happen anytime, anywhere and diverse platforms. Education institutions therefore, such as schools and universities, are faced with a great challenge.

We move more into the age, where knowledge capital becomes the most valuable asset. In this age, Higher Education Institutions (HEI) need on one hand to satisfy their learners’ need for lifelong learning and for just-in-time access to high quality programs and on the other hand to provide experiences that build their students’ expertise on a specific field and develop their creative, entrepreneurial, intercultural and self-management skills, skills that equip them for better lives and jobs. In Athens University of Economics and Business (AUEB) for example, a few years ago we included entrepreneurship in our curriculum and student support services and we already provide several workshops for our students’ personal development in topics such as career management, communication and interpersonal skills, teamwork and leadership development. Finally, through various programs we support our students to study, volunteer or work abroad, in Europe and beyond, stressing the importance and the impact that such experiences can have on their lives.

Learners and institutions will become co-creators and in this way provide value to their local and global community 36 | BUSINESS PARTNERS | JULY-AUGUST 2014

In such an industry, that of higher education, which grows from year to year, which expands towards the so-called Massive Open Online Courses (MOOCs) and the utilization of big data in analyzing student’s learning styles, in providing customized curricula and methods of studying and in keeping track of students’ performance recommending personalized improvement techniques, an industry that is valued currently at 1.7 trillion USD, universities around the globe are continuously mandated to play a large, central, and integrating role in society, despite the tighter budgets they operate with. The rapid expansion of student enrolment globally—projected to nearly double to 262 million in 2025—coupled with fierce competition, the slow but steady change of focus towards the East, the increasing importance of research and innovation and more recently, the impact of the Bologna process on European curricular reform, quality assurance and mobility have become key factors of change.

Given the huge economic and social value the industry has, it is therefore very important for universities to be clear about their strategy and strategic positioning. They must not only answer the strategic question concerning what kind of university they want to be and which vision they pursue, but also set appropriate goals and policies and continually monitor and adapt strategy in the light of weak performance. Our university recently launched its new visual identity, as part of our overall strategic repositioning, a change which marks our clear focus and direction towards excellence, innovation, internationalization and social impact.

To close, the world today and in the future makes it imperative for universities with their communities of experts, researchers, practitioners and students to become hubs of learning, innovation, creativity and entrepreneurship. In such an environment new knowledge will be created, challenged and tested and learners and institutions will become co-creators and in this way provide value to their local and global community.

Empowering Greece’s Youth

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olicy makers throughout Europe and the United States have responded to rising concerns about unemployment, jobs, growth and international competitiveness in global markets with a new mandate to promote the creation of innovative new businesses. Within this framework, there are new efforts to boost employment and job creation for young people. As a result, entrepreneurship is increasingly being accepted as an important means and a valuable additional strategy to create jobs and improve livelihoods.

Education plays a critical role in shaping attitudes, skills and culture in the direction of future entrepreneurship activity. According to recent studies, the earlier and more widespread the exposure to entrepreneurship, the more likely it is that students will consider becoming entrepreneurs in the future.

What role does Anatolia have in this new initiative? For Greece to become a leader in the smart and innovative world of business, educational institutions must train future business leaders in new ways. As a school rooted in its multicultural identity, Anatolia understands and values the importance of the global exchange of ideas, cross-cultural explorations and collaboration.

Anatolia’s founding mission and philosophy seeks to educate its students in a way that not only endows them with knowledge, but also nurtures their critical thinking skills and social awareness, enabling them to make a significant and positive contribution to the societies in which they live and help to shape.

Anatolia’s prowess as a leading and innovative educational institution was reaffirmed this year with its selection by Johns Hopkins University and The Stavros Niarchos Foundation to host and administer the Center for Talented Youth (CTY) Greece. CTY is a not-for-profit organiza-

tion focused on identifying academic talent in exceptional K-12 students and supporting their growth with summer and online courses, family programs, services, and resources specifically designed to meet their needs.

Another important development for Anatolia was the selection of its American accredited, tertiary educational division, ACT, to host the Venture Garden program in northern Greece for The Hellenic Initiative, an organization comprised of prominent Greek Diaspora and Philhellene communities to support economic renewal in Greece. This program is hosted by our Entrepreneurship Hub, a new program that will help build an aspiring generation of business leaders as well as nurture them to establish companies that will facilitate the construction of a new sustainable economy in Greece.

Both of these programs will play an instrumental role in instilling in our youth the cognitive and emotional skills to pursue new and innovative business solutions by building dynamic global companies.

Finally, one of Anatolia’s hallmark traditions— and one that is of critical social importance today—is its scholarship program. From its earliest days, Anatolia has sought to provide academically gifted students with limited financial means the opportunity to receive a first-rate education.

Social diversity is an important element of Anatolia’s mission. In the words of Economist Joseph Schumpter, “…the function of entrepreneurship is to reform or revolutionize…” We can all play a vital role by investing in our youth and preparing them to overcome social and economic barriers and integrate successfully in order to build new and exciting companies while striving to fulfill their hopes and dreams for the betterment of all Greece.

PANOS N. VLACHOS PH.D., PRESIDENT, ANATOLIA COLLEGE

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EDUCATION

BY DR. JEFF D BORDEN VP OF INSTRUCTION & ACADEMIC STRATEGY, DIRECTOR - CENTER FOR ONLINE LEARNING, PEARSON

EDUCATION 3.0 I RECENTLY SPENT A WEEK IN ATHENS. IT WAS A FANTASTIC EXPERIENCE, SPEAKING TO EDUCATORS ABOUT REFORMATION AND TRANSFORMATION OF TEACHING AND LEARNING. BUT IT WAS ALSO REMARKABLE TO SEE WHERE MUCH OF THE CIVILIZATION I KNOW BEGAN.

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live in Colorado, USA. The oldest, manmade thing I have ever seen in my state is from the 1800’s. While there were indigenous people there long before that, most of what they created or built is not something I was taught much about during my own school years. However, as I walked through the Acropolis museum, seeing statues and art from the Hellenistic period or possibly dating to the time of the Peloponnesian war, it was indeed remarkable. But one thing really stuck out to me.

I came across a drawing of a classroom. It was not exactly as we see today but it was very close. There was an elevated teacher and students at desks.

Why, after centuries, would our classrooms

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still look the same? Why would we still treat teaching and learning exactly the same today as our ancestors did, even though we know so much more about the brain, how we best learn, or what conditions should exist to solve problems? Why would we continue to talk at our students, for hours on end, assuming they can remember what we have said or what we have asked them to read, even though we know there are significantly better ways?

In my visits to over 30 countries in the past decade, I have found that almost everyone feels education is in crisis. The classrooms of yesterday exist everywhere today and yet most reasonable people agree that our students are not learning to solve problems,

think critically, or utilize creativity in a world that demands these things more than ever. Almost every society pushes learning on their students based on the notion that

Old ways of teaching and learning are perpetuated while new, better methods are ignored

memorizing facts will lead to the ability to solve problems, which can be seen via tests taken and scores received. Yet at the same time, almost every society seems to be left wanting more from their graduates who do not seem to have the capacity to think outside of the template or memorized formula to apply or relate their education to real life.

I recently returned from Asia where I witnessed students asleep on pillows in their classes because learning does not end when the school day is finished; instead the students are being tutored long into the night.

I have seen college classrooms in the Middle East where only a few students attend a lecture and hand out notes to the other students who memorize what they read to pass their exams. I watch in my own country as parents struggle with sending their children to private versus public schools, desperate to find a solution that does not destroy curiosity or a love of learning.

How can we fix these things?

No single article can tackle every aspect of reform. But let me share a few of the insights I shared during my time with Greek educators, specifically related to teaching and learning.

Do First. This should be the mantra of the 21st Century educator. So often in our schools we tell first, assuming that our students will care what we tell them to learn or understand. Instead, we should ask our students to do something. Find a problem, hypothesize a solution, or create an issue—these are the foundations for learning. Then, when the student needs to know how to accomplish the task, how to create the product, or how to fix the process, guess where they must go? They go to the instructor, to the text, to subject matter experts, or to research. The opportunities for teachable moments in this model are rich. In the old model of tell first, students have no need to be curious, weave learning from various subjects together, or utilize creativity. They only need to follow directions.

Stop Lecturing. Dr. Eric Mazur of Harvard placed a device that analyzed brain activity on his students for one week. The results were amazing. Students’ brain activity went all but dead during lectures.

In fact, the brain’s response to a lecture is identical to the brain’s response to a television program. Just a few weeks ago, an American Science journal reported that students who are primarily lectured at are not only bored however. Those students are at a significant disadvantage to students in an “active learning” style classroom. Students in an engaging education environment get higher grades on exams whereas students who are in lectures for the majority of their schooling will fail 1.5 times more often. The bottom line is clear—lectures are better for the teachers than for the students.

Give choices. Dr. Richard Light, also of Harvard, asked more than 1,600 students about their schooling experiences. The

they always tried to take a class that was interesting or “fun”—every semester. They took classes that they would enjoy all along the way. By exercising this choice, they seemed to have a very different outlook on their education than students who did not feel empowered by the ability to have some say in their educational path.

These three concepts all work together to promote a better teaching and learning framework than is typically used today.

While there are many more areas to tackle when trying to reform education, these can be proven via research. Just as many new models and concepts have backing through neuroscience or behavioral studies, these conceptual frameworks change education positively. They are not based in tradition

Why, after centuries, would our classrooms still look the same? Why would we still treat teaching and learning exactly the same today as our ancestors did first question related to an overall satisfaction score. Primarily there were two large clusters of satisfaction scores: 6-7 and 8-9.

However, it was the next question that provided an interesting finding. When these students were then asked how they decided what classes to take when they first began their degree, there were two important distinctions. Generally speaking, the students who reported less satisfaction (6-7) with their education said something similar.

They chose classes that were requirements or pre-requisites. They got the “bad” classes out of the way, so they could try to concentrate on the “fun” classes later. This advice seemed to come from many places such as advisors, professors, parents, or even siblings. However, the students who reported more satisfaction (8-9) with education gave a different answer. These students said that

or assumption, but in measurable success.

We can fix education. Many cultures have made major strides in transforming broken education models. While no system is perfect and no culture is ever satisfied with how they educate their children, there are some who do a better job than others. But generally speaking, most cultures seem to fall into one of two categories. They either have no meaningful education system or they have a broken education system.

Those in the latter category seem to rely less on research and science to fix their problems and more on politics or debate.

And so, old ways of teaching and learning are perpetuated while new, better methods are ignored.

So let us not ignore these solutions any longer. Let us be the generation to fix these problems. Our future depends on it.

JULY-AUGUST 2014 | BUSINESS PARTNERS | 39

GREEK INVESTMENT FORUM

GRforGROWTH—

PROMOTING GREECE IN THE USA THE ATHENS STOCK EXCHANGE AND THE AMERICAN-HELLENIC CHAMBER OF COMMERCE HOSTED THE 3RD GREEK INVESTMENT FORUM IN NEW YORK. VASILIKI LAZARAKOU, HANS HUMES, JOHN P. CALAMOS, CHRIS PAPACHRISTOPHOROU, TOM BUERKLE

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T

he Harmonie Club in New York City was the setting for the 3rd Greek Investment Forum, “GRforGRowth,” held June 11-12.

The Forum also included a road show. The strategically focused event attracted the participation of more than 200 investment, business, and finance professionals

The 3rd Greek Investment Forum in Numbers 600 one to one meetings, a record number for the New York Roadshows, between the management of Greek listed companies and representatives of U.S. Funds. Analysts numbered 120, representing about 75 of the biggest and well-known investment firms in the United States.

25 of Greece’s Greek Companies Present listed Companies present in New York include Aegean Airlines, Alpha Bank, Attica largest listed The Bank, the National Bank of Greece, Ellaktor, Eurobank, Eurobank Properties, Folli FolGEK, Terna, Hellenic Exchange, Hellenic Petroleum, Intralot, MIG, METKA, Motor Oil, companies lie, Mytilinaios, OPAP, Piraeus Bank, Thrace Plastics, Plaisio, Sarantis, Terna Energeiaki, participated in The Titan, Corinth Pipeworks and Lamda Development.

Athex Roadshow U.S. Funds Present from the United States, who learned about significant new investment opportunities that have emerged in Greece following structural reforms and ongoing efforts to recover from the severe effects of the economic crisis.

More than 160 fund managers, from Morgan Stanley, Black Rock, Templeton, Baupost, Lazard, Dupont, Highfieldw Capital, Ziff Brothers Investments. Columbia Wanger Asset Management, Contarian Capital Management, Discerene Value Advisors, Fintech Advisors, as well as the Federal Reserve Bank of New York, among others investors seeking access to Greek investment opportunities.

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GREEK INVESTMENT FORUM KEYNOTE SPEAKERS

The high-level participation demonstrated the interest in Greece’s recovery efforts and investment potential. Keynote speakers were George Zanias, Chairman of the Hellenic Bank Association, and Matthew Murray, Deputy Assistant Secretary for Europe, the Middle East and Africa at the U.S. Department of Commerce, International Trade.

Mr. Zanias presented a broad overview of Greece’s current environment and noted that the economy is fiscally stabilized, external imbalance have been fixed, econom-

The economic and investment climate in Greece has improved.

—MATTHEW MURRAY, DEPUTY ASSISTANT SECRETARY, U.S. DEPARTMENT OF COMMERCE

ic recession is turning into growth, public debt is unique and sustainable, potential growth is significant, the banking sector has restored strength, and remaining risks are contained.

Deputy Assistant Secretary Murray underlined the close cooperation between the USA and Greece within the investment framework and the creation of an entrepreneurial climate that will attract major American investment in Greece. The U.S. official referred to recent talks between the U.S, Secretary of Commerce Penny Pritzker and Prime Minister Antonis Samaras, who discussed issues of trade cooperation and investment interest.

Mr. Murray said, “The economic and investment climate in Greece has improved.”

He also referred to the “significant steps” taken in reforms and the need to continue being implemented so that the growth prospect is reinforced. Mr. Murray expressed the view that Greece is a “modernization model” of the economy and referred to the progress already achieved regarding the improvement of the investment climate, such as the new investment law.

ELIAS SPIRTOUNIAS, ANASTASIA XENIAS, MATTEW MURRAY, SIMOS ANASTASOPOULOS, YANOS GRAMATIDIS

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We are here to show investment groups and major enterprises’ officials the investment opportunities that our country offers today.

—SIMOS ANASTASOPOULOS, PRESIDENT, AMERICAN-HELLENIC CHAMBER OF COMMERCE

PANEL DISCUSSIONS

Panel participants included prominent U.S. and Greek business leaders, including Hans Humes, CEO of Greylock Capital; John P. Calamos, Chairman and CEO of Calamos Investments; Michal Houst, Executive BoD Member and CFO of OPAP; and Odysseas Athanassiou, CEO of Lamda Development.

The country’s most promising companies, representing key growth sectors, including real estate, energy, retail also participated in the roadshow.

SIMOS ANASTASOPOULOS

“After a period of great uncertainty, Greece’s business climate is improving rapidly, making this an opportune time to invest in the country,” said Simos Anastasopoulos, President of the American-Hellenic Chamber of Commerce. “Favorable pricing, new financial incentives and the implementation of extensive structural reforms have created a plethora of compelling investment opportunities, in both the private and public sectors, which we intend to showcase at the Forum.”

Four years after Greece received its first bailout package, the country is not only showing signs of an economic recovery, but undergoing what some consider an astonishing financial rebound. In recent weeks Greece returned to the markets with a $4.2

billion bond offering, at a yield of 4.95%, which drew orders exceeding $20 billion from private investors; the country recorded a primary surplus of €1.5 billion in 2013; and the Athens composite index is up more than 23% over the past 12 months.

SOCRATES LAZARIDIS

“These latest developments mirror the remarkable progress Greece has made thus far, turning the country into a solid destination for foreign investors. I believe we

I believe we now have a great opportunity to capitalize on positive market sentiment and give our economy the boost it deserves.

—SOCRATES LAZARIDIS, CHAIRMAN, ATHENS EXCHANGE

now have a great opportunity to capitalize on positive market sentiment and give our economy the boost it deserves,” said Socrates Lazaridis, Chairman of the Athens Exchange. “As part of our commitment to growth in the Greek markets, I am confident that both the Forum and the roadshow strengthen economic opportunities for Greek listed companies and entrepreneurs, as well as support the positive initiatives taken on a national level to attract foreign direct investment.”

Mr. Lazaridis referred to recent liquidity, which has kept growing year-by-year over 2007 levels, the value of transactions year to date, which has doubled this year compared with the same period last year and

SIMOS ANASTASOPOULOS

SOCRATES LAZARIDIS

stressed that the relatively newly created index of exporting enterprises, consisting of companies with significant export business, has the best performance of all Greek indices. He underlined the need to exploit the strong investment interest from abroad, particularly from the U.S.,to attract capital inflow through the Greek Stock Market to the listed companies.

sidelines of the Forum.

“Today, we are happy to talk about the second and hopefully last step. It has to do with development and Greece’s exit from the crisis,” Mr. Anastasopoulos said, noting that “we are here to show investment groups and major enterprises’ officials the investment opportunities that our country offers today.”

Mr. Lazaridis said that “this year, the conditions have improved interest-wise compared to last year. We can see that in the increased profits recorded by the Athens Stock Exchange and the higher participation of foreign investors.”

PRESS CONFERENCE

The heads of the Athens Stock Exchange Sokratis Lazaridis and the American-Hellenic Chamber of Commerce Simos Anastasopoulos gave a press conference on the

Media Coverage The media covered the Forum extensively, demonstrating the uptick in interest in Greece as an investment destination.

“U.S funds are interested in Greece’s tourism, real estate, energy, banks and logistics, based on the findings of the Hellenic Exchanges (HELEX) third international road show held in New York. According to the head of the American-Hellenic Chamber of Commerce Simos Anastasopoulos, U.S. investors have expressed interest in the acquisition of hotels as well as for investments in logistics.

Both Mr. Anastasopoulos and Socrates Lazaridis, HELEX CEO and chairman of the Athens Stock Exchange, estimated that fund inflows should be seen towards the end of the year, reflecting the increased interest of U.S. investors in Greece’s economy.

Some 61 funds and 160 analysts participated in this year’s road show, while 600 meetings with Greek listed companies’ representatives took place.”—Combined media reports

JULY-AUGUST 2014 | BUSINESS PARTNERS | 43

MARKETPLACE

SAFEGUARDING THE REALIZATION OF AN INVESTMENT

BY DIMITRIOS MAMOUNIS PRESIDENT AND CEO OF GAIA S.A. MELETON

AN ENGINEER’S PERSPECTIVE IN REAL ESTATE DEVELOPMENT

IN THE PREVIOUS YEAR THE GREEK ECONOMY SHOWED SIGNS OF RECOVERY AND THE COUNTRY EARNED AGAIN THE TRUST OF ITS EUROPEAN PARTNERS AND THE MARKETS.

T

aking into consideration that there are investing opportunities, there are investors who have weighed the political and macroeconomic risk and seem willing to implement the business plans they have developed. There are two major issues that the investors should deal with: a) Which is the suitable plot of land which fits the criteria for the realization of the investment b) Which is the authorization procedure in order to have the business activity operational within a reasonable time schedule

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The appropriate approach to the issues mentioned above, is the prerequisite for the success of any investment.

LEGAL STATUS AND TECHNICAL CHARACTERISTICS OF THE PLOT OF LAND

The first basic action that needs to be taken is related with locating the suitable plot of land in the location that has been foreseen in the business plan taking into consideration the desired area and building coefficients for the intended activity. In this process there are two basic challenges:

The first one has to do with the big segmentation of land in Greece which occurs in areas within the city and town boundaries as well in areas outside boundaries in the rural areas. Consequently there is a difficulty in locating unified properties with a large area that fit the requirements for the business activity. As a result there might be the need to start a legal process to unify numerous, smaller properties, a process which is time consuming since more negotiations with the owners should take place apart from the legal process that needs to be followed.

The second challenge is related with the

lag in the implementation of the National Cadastre mostly in the country’s rural areas. The lack of a unified record of the legal status and the technical characteristics (area, boundaries, etc.) of the properties means in practice that the investors are obliged to carry out a series of legal and technical investigations for all the alternative plots of land that have been located starting from scratch.

At the same time the Greek State itself does not have a record of its own properties and there are cases where properties of the Greek State cannot be further developed before a legal or technical maturity process takes place. Moreover the lack of Forest and Archaeology Cadastre and of definite boundaries for the coastlines makes the situation more complicated for properties that are located in the vicinity of forest areas or near the coastline.

Another aspect which hinders the location process is that geospatial information is not necessarily digitized and property boundaries cannot be physically tracked.

LAND USES AND ENVIRONMENTAL COMMITMENTS

The second basic action that needs to be taken in the framework of the roadmap is related to the land uses of a given plot of land and its scope is to define if a specific business activity can be positioned in this given plot.

The land uses in Greece are defined by urban plans (areas within city boundaries) or regional plans (areas outside city boundaries). There are also areas which do not have specific land uses because there are no such plans finalized.

Other commitments may arise if the plot of land is located in a forest area, if it is in the vicinity of archaeological sites or in areas that are environmentally protected (Natura areas, wildlife reserves etc.).

The challenge concerning the land uses has to do with the fact that they are outdated and they do not cover modern or mixed business activities and on the other hand the legislative framework is inelastic since it is very difficult to get permission for a

business activity if there is not a specific reference in the list of land uses. Moreover the geospatial information regarding the land uses is also not digitized and cannot be easily traced as it was mentioned above.

In order to surpass such obstacles the Greek State has voted several laws (L.3894/2010, L.3986/2011 and L.4062/2012) which create a special framework for positioning business activities either in public properties (ESXADA) or in private properties which are in the fast track process (ESXASY). The recent law that was voted for the Regional and Urban Planning Reformation (FEK 142/A/28-06-2014) intends to establish a new set of regulations in order to align the urban and regional plans with the objectives for the development of the Greek economy and create a framework that will be in favor of entrepreneurship.

AUTHORIZATION PROCEDURE

The authorization procedure of any business activity in Greece is a process that requires authorizations and permits from various authorities, the most important of which are the environmental assessment approval, the building permit and the permits from the Forest Agency and the Archaeological Agency.

Despite the fact that in recent years there have been a lot of reforms implemented in order to reduce the time needed to conclude the authorization procedure, the legal framework remains complex and with contradicting regulations and, in addition, there is not clear jurisdiction among the state agencies and they do not have binding time limits to issue the permits.

The positive features of the abovementioned reforms have to do with the environmental assessment procedure which has been improved considerably since the codification of all the regulations has created a clear and stable framework.

The building permit procedure has been also simplified and accelerated since the intermediate phases of approvals by the state authorities have been reduced.

In the meantime another project that is underway is the creation of electronic government platforms through which the en-

vironmental assessment and building permits procedure will take place, minimizing thus the interface between the investor and the state agencies and the required time.

The main challenge in the building permit procedure is related to the building coefficients which can be applied in a plot of land. The investors should try to develop their building plan at an early stage because in the case that the building coefficient is not sufficient to construct all the necessary buildings and infrastructure the deviation procedure to obtain a higher coefficient is very difficult. Moreover the situation is also very complex regarding mixed uses because there are not specific guidelines on how to implement the building coefficient for the separate uses.

CONCLUSION

Based on the abovementioned analysis the process to obtain land and secure the authorization procedure is a key element for the successful implementation of an investment and its critical path comprises many milestones which may incur minor or major delays in the time schedule. In order to control the whole process the investors should develop a tight plan. The most necessary actions for a secure and within-the-time schedule investment are mentioned below: 1. Define the Building Plan of the investment 2. Define the required area of the plot of land 3. Locate alternative plots of land 4. Control the legal status and technical aspects for each plot of land 5.

Control the compatibility of the land uses, building coefficient and the environmental and other restrictions of each plot of land 6. Compare the alternatives 7. Obtain the land 8. Set the plan for the authorization procedure 9. Realize the authorization procedure In any case the described process is demanding and requires constant vigilance, tight follow-up procedures, deep understanding of the associated legislation and the required procedures and the establishment of communication channels between all the stakeholders.

JULY-AUGUST 2014 | BUSINESS PARTNERS | 45

THE WORLD OF WORK

BY LIDA SGOURAKI DEPUTY BRANCH MANAGER, PROFESSIONALS, RANDSTAD

OPTIMISM FOR GREEK COMPANIES

ANNUAL RANDSTAD HR & WORKPLACE TRENDS SURVEY FOR THE THIRD CONSECUTIVE YEAR RANDSTAD CONDUCTED THE ANNUAL “HR & WORKPLACE TRENDS SURVEY” IN GREECE. TRENDS IN GREECE

The survey was conducted between December 2013 and March 2014, with 382 senior executives and HR managers participating across Greece, by means of either detailed face-to-face interviews or shortened online surveys. The aim of the report was to explore, among other issues, current trends related to the economy, the past and the

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future of recruitment, sustainability, trends and innovation in the workplace, and remuneration and benefits. The report's findings, as has been the case in previous years, are once again of special interest, as they provide important information on trends and developments currently affecting companies in Greece.

The report explores various trends and de-

velopments impacting businesses in Greece.

In order to reflect the general trends of the Greek reality, the survey sample consisted of senior executives from various industries such as life sciences, financial services, and FCMG’s with the majority of the participants being HR executives.

In the report for 2013, the majority of respondents (64%) emphasized that in the past three years existing jobs have been allocated with new and additional duties.

With regards to recruitment that took place in 2013, the survey captures the tendency for companies to recruit permanent employees (73%), compared with temporary employees (52%). Regarding temporary employees, the majority were employed in financial (33%) and marketing (24%) positions, while permanent employees also

joined finance departments (39%), as well as sales (52%), IT/technology (32%) and manufacturing (22%). On the other hand, most layoffs occurred in sales (25%), production (15%) and finance (14%). Also noteworthy is the fact that almost half of the businesses questioned (46%) stated that they did not proceed with layoffs in 2013.

With regards to the challenges the future holds, the report distinguishes three main areas as the most important, and which the companies surveyed consider a “high priority”: increasing efficiency and productivity, creating a good working environment, and maintaining top talent.

PRODUCTIVITY CHALLENGES 2014

When asked about the productivity challenges in 2014, 57% of respondents believe that the main challenge is the development of leadership skills for the next phase of growth. Special importance is given to the adaptability of managers to changing business demands. The survey respondents rate their managers’ and employees’ ability to effectively adapt to changing business demands as average (6.9 out of 10).

Given the fact that currently most of the companies have a workforce of up to three different generations, the strategic motivation of each generation, as confirmed by the findings of the survey, is completely different. The younger group, generation Y, is motivated by the possibility of career development opportunities and an international career path. For generation X, which is the intermediate generation of employees, incentives are career advancement and higher wages, while the older age group, the baby boomers, are motivated by the sense of security and flexible working hours.

tunity to negotiate better terms with both existing and new partners, the encouragement of their employees to think differently as well as the fostering of new partnerships.

ECONOMIC IMPACT

COMPENSATION

The survey findings relating to economic impact and prospects illustrate a sense of cautious optimism. Although the economic climate in Greece until now had a predominantly negative impact on the companies surveyed, several stated that a positive byproduct has also resulted, such as the oppor-

To read the complete HR Trends report: www.randstad.gr/hrtrends

As for compensation, 67% of the survey respondents reported that their company salaries have remained at the same level as last year. When comparing salaries in their organization to their competitors, more than half of respondents said they are almost the same.

PROGNOSIS: OPTIMISM

In closing, 1/3 of the survey respondents believe that Greece is currently being impacted by the changing economic situation.

Specifically, approximately 46% of respondents predict growth for their companies in 2014, 36% expect stability, while only a few organizations said they expect a recession in the coming year. Thus, unlike conclusions of similar surveys over the last three years, it seems that the main characteristic of the prognosis for the Greek economy in the near future is optimism.

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VIEWPOINT

The Reckoning

BY JACOB SOLL

A

nd yet, The Reckoning, by Jacob Soll, is the ideal summer read: engaging, riveting, and chock full of really new vignettes that focus on that driest of disciplines—accounting—in the juiciest way. Highly recommended.

Whether building a road or fighting a war, leaders from ancient Mesopotamia to the present have relied on financial accounting to track their state’s assets and guide its policies. Basic accounting tools such as auditing and double-entry bookkeeping form the basis of modern capitalism and the nation-state. Yet our appreciation for accounting and its formative role throughout history remains minimal at best—and we remain ignorant at our peril. The 2008 financial crisis is only the most recent example of how poor or risky practices can shake, and even bring down, entire societies.

In The Reckoning, historian and MacArthur “Genius” Award-winner Jacob Soll presents a sweeping history of accounting, drawing on a wealth of examples from over a millennia of human history to reveal how accounting has shaped kingdoms, empires, and entire civilizations. The Medici family of 15th century Florence used the double-entry method to win the loyalty of their clients, but eventually began to misrepre-

It’s summer—and time for a good read. Rarely would we think of a book on accounting to take to the beach chair.

sent their accounts, ultimately contributing to the economic decline of the Florentine state itself. In the 17th and 18th centuries, European rulers shunned honest accounting, understanding that accurate bookkeeping would constrain their spending and throw their legitimacy into question.

THE 2008 FINANCIAL CRISIS IS ONLY THE MOST RECENT EXAMPLE OF HOW POOR OR RISKY [ACCOUNTING] PRACTICES CAN SHAKE, AND EVEN BRING DOWN, ENTIRE SOCIETIES

And in fact, when King Louis XVI’s director of finances published the crown’s accounts in 1781, his revelations provoked a public outcry that helped to fuel the French Revolution. When transparent accounting finally took hold in the 19th Century, the practice helped England establish a global empire. But both inept and willfully misused accounting persist, as the catastrophic

Stock Market Crash of 1929 and the Great Recession of 2008 have made all too clear.

A masterwork of economic and political history, and a radically new perspective on the recent past, The Reckoning compels us to see how accounting is an essential instrument of great institutions and nations—and one that, in our increasingly transparent and interconnected world, has never been more vital.

THE AMERICAN-HELLENIC CHAMBER OF COMMERCE

Become a Member

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To become a member of the American-Hellenic Chamber of Commerce, one of Greece’s most preeminent and proactive business organizations, apply on the Chamber website at www.amcham.gr, send an e-mail to info@amcham.gr, call the Chamber at 210-699-3559, or fax the Chamber at 210-698-5687-7 and request an application form.

To subscribe to Business Partners, send an e-mail to info@amcham.gr, call the Chamber at 210-699-3559, or fax the Chamber at 210-698-5687-7.

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on

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