Top Expat
CEOS In Hungary 2021
The most influential expat CEOs in the Hungarian economy
Content CEO Survey
7
PwC: Hungarian CEOs Bullish on COVID rebound
8
PwC Looks Back and Ahead at CEO Survey Anniversary Foreign Investment Highlights Foreign Investment Highlights, 2021 Investment Insights Robot Revolution not yet Knocking Down the Door 5G Network Offers Hungary big ROI Top Expat CEO Biographies Joerg Bauer, Tungsram Group Zrt. Patrick Bontenakels, Fressnapf-Hungária Kft. Gwénael Cevaer, Arval Magyarország Járműparkkezelő Kft. Prabal Datta, Tata Consultancy Services Chris Dinsdale, Budapest Airport Zrt. Alfons Dintner, Audi Hungaria Motor Kft. Marc de Bastos Eckstein, Thyssenkrupp Components Technology Hungary Kft.
56
Jeroen Kirschbaum, ExxonMobil BSC Hungary Ltd.
Arne Klehn, Budapest Marriott Hotel
60
Robert Kubinsky, HB Reavis Construction Hungary Kft.
62
Christopher Mattheisen, Microsoft Magyarország Kft. Hubert Mühringer, Addval Kft. Reinhard Münster, Mercedes-Benz Hungária Kft. Florian Jens Naegele, Penny-Market Kereskedelmi Kft.
38 40 42 44
Stephan Interthal, Kempinski Hotel Budapest Zrt.
Yves Giacometti, Four Seasons Hotel
In Hungary 2021
26 30 33 34 36
Gerald Grace, Invitech ICT Services Kft.
Peter Gazik, Telenor Magyarország Zrt.
CEOS
11 15 16 25
46 48 50 52 54
Macie Galant, BMW Group Magyarország
Top Expat
Tammy Nagy-Stellini, Hays Hungary Kft. Thomas Narbeshuber, BASF Hungaria Kft. Emre Pasli, Matild Palace Hotel Huw Roberts, Graphisoft SE Erik Slooten, Deutsche Telekom IT Solutions Hungary Veronika Spanarova, Citi bank Noah M.Steinberg, Wing Ingatlanfejlesztő Zrt. Martin Strier, MAN Kamion és Busz Kereskedelmi Kft. Geert Swaanenburg, Heineken Angelo Lo Vecchio, Adecco Kft.
58
Christian Wolff, Mercedes- Benz
Top Expat CEOs in Hungary 2021 is a special publication of the Budapest Business Journal • EDITOR-IN-CHIEF: Robin Marshall • CONTRIBUTORS: Annamária Bálint, Bence Gaál, Gary J. Morrell, Bálint Szőnyi, Zsófia Végh • LISTS: BBJ Research (research@bbj.hu) • NEWS AND PRESS RELEASES: Should be submitted in English to news@bbj.hu • LAYOUT: Zsolt Pataki • PUBLISHER: Tamás Botka, Business Publishing Services Kft. • ADVERTISING: AMS Services Kft. • CEO: Balázs Román • SALES: sales@bbj.hu • CIRCULATION AND SUBSCRIPTIONS: circulation@bbj.hu • Address: Madách Trade Center, 1075 Budapest, Madách Imre út 13-14. • Telephone +36 (1) 398-0344, Fax +36 (1) 398-0345, www.budapestbusinessjournal.com • ISSN 2631-0937
3
64 66 68 70 72 74 76 78 80 82 84 86 88 90 92
H U F 5, 9 9 0 • E U R 18
Foreword self-explanatory) and live and work here. Why expats? Well, when we launched the magazine back in 2018, there were plenty of publications honoring Hungarian business leaders (and quite rightly so), but not foreigners, who we would argue have undoubtedly done great things for this country. They bring different mindsets, different skillsets, and different cultural backgrounds. Not necessarily better, but different. And we have always believed diversity is a good thing.
Welcome to our third annual Top Expat CEOs magazine, albeit slightly later than we would have wanted. Since its launch, the publication date has been tied to our Expat CEO of the Year Gala awards evening; by tradition that has been held in late January. This year, given the all too obvious and unwelcome intervention of the coronavirus pandemic and the resulting restrictions on public meetings, we were forced to postpone the gala until September 24, 2021, and hence this magazine too. Top Expat CEOs is a companion piece to the gala, though it is not directly linked. Most if not all of those featured in its pages will be at the gala. Combined, the magazine and the event form part of our commitment to the community of expats CEOs here in Hungary.
Beyond that, we look for the impact of the leader and their company on the economy, or at least their specific sector. Our selection of Top Expats is unashamedly subjective, but it is based on editorial judgment alone; it is not a paid-for listing. We believe that with 29 years of experience in producing the Budapest Business Journal and the Book of Lists (we will celebrate our 30th anniversary in November 2022), we have some credibility in that regard.
Hopefully, you will have noticed that we have expanded the stable of “Top” brand publications this year, adding Top Legal Executives, Top Healthcare Executives, and Top Real Estate Executives. With each of these titles, our aim is to introduce the people behind the position and add the human interest element. Who are these executives, what drew them to their profession, and how have they coped with the COVID-19 crisis?
Finally, I would like to thank the CEOs featured in these pages, and most especially their dedicated and hardworking personal assistants, for finding the time to answer our questions and contribute so much to the magazine. Believe me, we know how hectic your schedules are, and we do appreciate all the efforts made.
We believe this community of CEOs is more than worthy of appreciation for all it does (along with the companies they work for and their employees, of course), to improve Hungary’s economy, competitiveness, and living standards.
Robin Marshall, Editor-in-chief Budapest Business Journal
The two principal considerations for Top Expat CEOs are that our leaders be expats (which ought to be
5
TOP EXPAT CEOS
PwC: Hungarian CEOs Bullish on COVID rebound Despite the extraordinary challenges created by COVID, Hungary’s bosses have never been so optimistic about the rate of either global or Hungarian economic growth, PwC says in its 10th annual Hungarian CEO survey.
List of top potential economic, policy, social and environmental threats to organisation’s growth prospects (respondents who are concerned about the factor in question)
N=240
2020
2021
2021
82%
Pandemics and other health crises
91%
77%
Availability of key skills
72%
74%
Exchange rate volatility
58%
72%
Uncertain economic growth
83%
69%
Cyber threats
85%
67%
Over-regulation
80%
61%
Populism
69%
59%
Declining health and well-being of your workforce
61%
58%
Readiness to respond to a crisis
69%
57%
Protectionism
66%
56%
Trade conflicts
68%
56%
Misinformation
70%
Some 65% of the 240 respondents told PwC they expected the growth of both the global and Hungarian economies would accelerate. That is a new record and a massive turnaround from last year when just 9% of CEOs
N=1779
Global CEOs
Hungarian CEOs
By BBJ Staff
2020
Source: PwC
were confident about global economic growth and 16% about Hungarian economic growth.
2021. Over the next three years, as many as 62% of them expect to grow staffing levels.
Only one-third of the CEOs interviewed reported that they had been forced to reduce their headcount in 2020, while half expect an increase in staff in
The pandemic does seem to have deepened worries business leaders already had. While the percentage of CEOs concerned about a higher tax
8
Hungarian business leaders have three things on their agenda in 2021: “Sustainability and environmental consciousness; digital transformation and education and training; and cyber threats and other crisis contingencies.” Tamás Lőcsei
PwC Looks Both Back and Ahead at CEO Survey Anniversary Given the past couple of years we have all endured and the Hungarians’ reputation for pessimism, you might be excused for expecting local CEOs to have a negative outlook for this year. You would be mistaken.
By Robin Marshall In fact, consultancy PwC Hungary reported at the presentation of its 10th annual Hungarian CEO survey back in March that the country’s CEOs show record levels of optimism for the immediate future, although there are still some familiar concerns, a few of which have deepened.
With a decade of data sampling now behind the Hungarian survey, the 2021 results threw up several notable facts. For a start, going all the way back to that first survey, optimism about the rate of global and Hungarian economic growth has never been higher. Half of the respondents expect to increase headcount this year.
11
This was the first time the survey results had been presented in an entirely online format, an apt metaphor for business in the time of COVID, perhaps. The 2020 results had been aired in the hallowed surroundings of the Hungarian National Gallery, up in the Castle District, just weeks before Hungary went into its first lockdown. Partner Barbara Kuncz, who was the principal host for the 2021 two-hour
TOP EXPAT CEOS
Foreign Investment Highlights, 2021 SANGSIN TO SPEND HUF 10.5 BLN ON EXPANSION South Korea's Sangsin will spend HUF 10.5 billion to expand capacity at its battery parts plant in Jászberény (75 km east of Budapest), Minister of Foreign Affairs and Trade Péter Szijjártó said on January 7, according to origo.hu. The government is supporting the investment, which will create 150 jobs, with a HUF 3.15 bln grant, Szijjártó said. Sangsin Hungary managing director Cho Beomhee said he would recommend Hungary to other Korean companies for its well-trained labor force and favorable geographical position.
SK INNOVATION BUILDING 3RD PLANT IN HUNGARY South Korea's SK Innovation will build a USD 2.3 billion (about HUF 683 bln) electric vehicle battery plant in Hungary, its third in the country, Minister of Foreign Affairs and Trade Péter Szijjártó said at a press conference on January 29, according to hvg.hu. Construction of the plant, with a capacity of 30 GWh, will start in Q3 2021, Szijjártó said. Putting the scale of the investment in context, he noted that Tesla's “Gigafactory” in Nevada has a capacity of 35 GWh. Szijjártó said the government would provide support for the investment, the scale of which will be disclosed after the agreement with SK Innovation is finalized and the European Union is notified. The investment in Iváncsa (58 km southeast of Budapest) will create 2,500 jobs. According to a post on LinkedIn by Róbert Ésik, the CEO of the Hungarian Investment Promotion Agency, the project will be Hungary's largest greenfield development to date. The new factory, developed on 70 hectares, will be SK's largest in Europe, the post added.
JANUARY
FEBRUARY
LINDE GÁZ INVESTING HUF 14 BLN Linde Gáz Hungary has decided to boost its domestic capacity and is investing HUF 14 billion at its air separation plant in Kazincbarcika (180 km northeast of Budapest), Minister of Foreign Affairs and Trade Péter Szijjártó said at a press conference on January 15, according to piacesprofit.hu. The government is providing a HUF 1.9 bln grant for the project, which will preserve 430 jobs, the minister said. Linde Gáz is one of the leading suppliers of industrial, medical, and specialty gases in Hungary. It provides more than 80% of medical oxygen needed for coronavirus patients on ventilators, Szijjártó added. The investment will allow Linde Gáz to add liquid oxygen and liquid nitrogen to its product line. The products will be used domestically and for export, the minister said. Linde Gáz Hungary executive manager Andreas Müller said the attractive business environment and geographical location played a role in choosing Hungary as the site of the investment project.
16
FALCO INVESTING HUF 8.2 BLN IN HUNGARIAN BASE Austrian-owned wood-based panel manufacturer Falco is investing HUF 8.2 billion at its base of operations in Szombathely (222 km west of Budapest), Minister of Foreign Affairs and Trade Péter Szijjártó said on February 1, according to Világgazdaság (Global Economy). The government is supporting the investment, which will preserve more than 300 jobs, with a HUF 1.2 bln grant, Szijjártó said. Falco managing director Tibor Novák said the wood panel-making industry is a capital intensive one, and companies need to invest if they want to keep up with the competition. Since 2007, the firm has undertaken HUF 49 bln of investments supported by several billion forints of government support, he added.
TOP EXPAT CEOS
Robot Revolution not yet Knocking Down the Door There’s are visible signs of robotization in Hungary, but amid a fierce global automation race, it will take even more effort to keep up with the pace. By Bálint Szőnyi Pepper, once the world’s first halfhumanoid robot, works as a receptionist in Enjoy Budapest Café & Apartment Hotel, where waitress robot Amy helps serve coffee. The locally invented Robin is known for cleaning vast areas at Groupama Arena, Ferenc Liszt International Airport, and Honvédkórház, a flagship hospital in the capital. These collaborative robots are still the exception, however. As István Komlósi, principal developer at KUKA, a leading supplier on the Hungarian automation market, tells the Budapest Business Journal, the market uptake of collaborative robots lags far behind expectations from 10 years ago.
Automotive is responsible for the bulk of local robotization efforts, followed by the metal, rubber, and plastic industries. According to the World Robotics Report 2020, Hungary has some legwork to do to keep the pace in the global automation race. The average number of automated units per 10,000 employees jumped from 18 to 84 in Hungary from 2010 to 2018, but robot density still lags behind the world average of 113 in 2019, not to mention regional rivals such as Slovakia (169) and Slovenia (157). Poland and the Czech Republic both ranked among the top 15 largest markets globally in terms of annual installations in 2019.
Annual installations peaked in Hungary in 2017 at nearly 2,500 units, markedly higher than the years prior and since (see chart). The year 2017 sticks out with reason, as it was at the time record-breaking for Hungary in terms of FDI, hitting EUR 3.5 billion, where automation-driven automotive had a significant share. ENCOURAGING SIGNS An encouraging sign is that the country advanced from 32nd in 2016 to 23rd place in 2018 on the global robotization chart, and installations in manufacturing and automotive soared by 13% and 20%, respectively, from 2014 to 2019. As of today, the total number of robots installed has passed the 10,000 mark. Other factors hint at a growing trend. Key elements of Industry 4.0 such as the Internet of Things and cloud solutions are popping up on a near-continuous basis
An encouraging sign is that the country advanced from 32nd in 2016 to 23rd place in 2018 on the global robotization chart, and installations in manufacturing and automotive soared by 13% and 20%, respectively, from 2014 to 2019. As of today, the total number of robots installed has passed the 10,000 mark.
26
TOP EXPAT CEOS
5G Network Offers Hungary big ROI From self-driving automobiles to automation in manufacturing or agriculture to the widespread use of AI in industry: all rely on the fast and stable internet coverage that 5G promises.
The 5G mobile network is currently being rolled out across the country. It offers a leap forward in terms of speed and a significant reduction in response time over 4G. Overall, this allows many more devices to work together within the new industry standard. With the home office likely to stay (at least in part), a fast and stable internet connection and indoor coverage have become more crucial to people than before.
All three major providers are involved in 5G network development in Hungary. The most advanced data transmission technology is now available in Budapest and several large cities, including Debrecen, Kecskemét, Szeged, and certain parts of Szombathely, as well as at and around the ZalaZone automotive test track in Zalaegerszeg. Magyar Telekom (MTel) was the first Hungarian service provider to launch its 5G service and is also the first in Hungary to use Ericsson Spektrum Sharing technology in its live network. Thanks to this, it can offer significant
capacity expansion to customers using the 4G network, in addition to 5G coverage. (Multiple devices can connect without degrading service quality). As the data traffic is huge during the peak summer holiday period, MTel has also been deploying 5G networks around Lake Balaton. OUTDOOR SERVICE Although MTel introduced Hungary’s first operating 5G station, it was Vodafone that beat it to the gun and launched the initial outdoor service in
Photo by iQoncept / Shutterstock.com
By Zsófia Végh
30
Top Expat CEO Biographies
Photo by ImageFlow / Shutterstock.com