A deal for the new age

“What is of key significance for every task, even the smallest one, is the energy, motivation, a desire for change and improvement. I think that in our country, probably due to all the things that we have experienced, there is a lack of such energy, enthusiasm”, M. Petrović

The Serbian Association of Managers (SAM) was established in 2006 in Belgrade, as a non-profit, non-partisan and non-governmental organization. SAM was established in order to become a representative association, a credible social partner of the Government of Serbia in the process of the business environment improvement and acceleration of the economic development. At the same time, SAM’s mission is to be a legitimate representative of the community of managers of the Republic of Serbia, bilaterally, through establishing contacts with similar national associations in other countries, as well as before the institutions established at the European and global level.

SAM particularly fosters bilateral and multilateral cooperation with the related associations in the Western Balkans, Central Europe and EU regions. SAM supports cooperation with partners in the field of human resources improvement (business schools in the country and abroad), thus creating an opportunity for continuous professional training of its members and the development of management personnel in Serbia.

At the end of January this year, at the regular Assembly meeting of the Serbian Association of Managers, Milan Petrović, General Manager of Centro Štampa, was unanimously elected the new President.

Mr Milan Petrović, President of the Serbian Association of Managers and President of the Summit100 Management Board, General Manager of Centroštampa, speaks for magazine PROFIT.

Mr Petrović, you have recently been elected the new President of the Serbian Association of Managers (SAM), but it can be already said that your work is very remarkable. What are you plans for the upcoming period when it comes to SAM?

For years already, SAM has been a business association whose activities are highly appreciated and respected, both by businesspeople and managers, and by government representatives. The association comprises 270 managers accomplishing success in their companies on a daily basis. SAM’s membership is, at the same time, the biggest power and advantage of this association, and my task, both now and in the upcoming period, will be to maintain the existing reputation and standards, and improve them where possible. In this context, the ambition of this association, and my personal ambition as well, is to contribute to the development of regional cooperation, exchange of experience, better understanding and further improvement of the business environment.

Milan Petrović started his professional journey in mid 1990s, when he added to his CV the position of Sales Director of a company that imported “Heineken” beer for the market of then Yugoslavia. At that time, this company was the leader among the imported premium beer brands. When British company “Allied Domecq" appeared in our market, he joined them as Sales Director and managed a team that achieved impressive results and the leading position in the market of whiskeys and other alcoholic beverages including “Ballantines", “Teachers", “Courvoisier" and “Jack Daniels". In the period from 2002 to 2005, he managed the sales team of the Pepsi-Cola bottling plant, as Sales Director.

Having acquired enviable professional experience in companies that have grown into leaders in the soft drinks and alcoholic beverages market, in 2005 he was appointed Marketing and Sales Director in company “Strauss-Elite", which became the new owner of “Doncafe" brand. In 2007, he became General Manager of the same company, where until 2010 he was managing operations in the entire former Yugoslav region, with factories in Serbia, Bosnia and Herzegovina and Albania.

At the end of 2010, he continued his professional activities in Switzerland, where he was appointed International Director and was responsible for the development of concepts and products of espresso coffee capsules and machines, under “Zespresso café" brand. He was also responsible for the operations in 19 countries of Central and East Europe, where this product is represented in direct sales channels.

Upon completing an interesting project and acquiring international experience, with a lot of enthusiasm and new energy he accepted an invitation to return to his country, join the winning team and provide assistance in the realization of a big project entitled “Štampa and Futura".

In January 2013, he was elected President of the Serbian Association of Managers, with a 2-year mandate.

The Summit100 Business Leaders of the Region is an incentive launched by the Serbian Association of Managers (SAM), in cooperation with the Croatian Employers’ Association (HUP) and the Slovenian Association of Managers (ZM), and is based on an analysis of the current situation in the region. In what way do you, as a businessman, assess the current situation in the region?

It is true that the situation in the region is improving in terms of cooperation, as well as that the parameters are becoming better from one year to another. However, the market of each individual country in the region is too small to face the challenges of the global market economy, and additional improvement of cooperation and establishment of partnership relations will contribute to this situation. The key problems of individual countries are largely similar or identical; it is necessary to implement education and healthcare reforms and to undertake measures for resolving the unemployment issue, as well as to implement infrastructural improvement. The Summit100 Business Leaders is an excellent platform for an open and constructive discussion about the given and many other issues.

The objective of the Second Summit100 Business Leaders in the Region (23-24 May, Splendid Hotel, Bečići) is to jointly try to create a model of regional cooperation in the fields of agriculture and food industry, energy, ICT, construction and tourism. The regional cooperation will contribute to economic development of the region and an increase in competitiveness, and it will certainly have a positive effect on the stability as well as easier accession to the European Union. An increase in competitiveness of the region as a whole, as well as each individual country in this region, will inevitably imply easier attraction of foreign and regional direct investments, which will ensure boosting the export of products and services to the global market.

The topic of this year’s Summit100 Business Leaders of South-eastern Europe is “A Deal for the New Age”. What kind of “deal” can we expect?

The Summit will be attended by the most influential business leaders in the region and Prime Ministers of Montenegro, Serbia and Bosnia and Herzegovina, and we also expect participation of high political officials of Slovenia, Croatia and Macedonia. This year, the coorganizer of the Summit, besides SAM, is Atlas Foundation, with the support of HUP and the Slovenian Association of Managers, as well as Alkaloid from Macedonia and BBI Bank from Bosnia and Herzegovina.

The Summit participants will analyze opportunities to use the experience for business cooperation aiming at preparation of sustainable projects for joint appearance on third markets, as well as for cooperation in the region that would contribute to more competitive products and services and resolving the burning issue of unemployment.

The topic of the Summit is very up-to-date and I am confident that during the conference we will reach a model that will have a great utility value, which would be beneficial for all countries in the region, primarily the citizens. Our idea is to ensure an exchange of ideas on that occasion, ideas that will contribute to conclusion of new jobs such as the regional consortium of construction companies “Feniks“.

The project shows that we can be successful only if we work together, since “Feniks“ has been awarded the contract for facilities envisaged for the Olympic Games in Sochi, while individual companies from our countries would certainly not be able to achieve this due to the lack of capacities and fulfilment of tender terms. After this meeting we expect to reach joint appearance in other industries as well – food, energy or tourism. Our goal is to try to initiate projects that would influence a decrease of the unemployment affecting not only us but the EU member countries as well.

What other issues will be discussed during the two-day Summit?

During the two-day meeting, through panel discussion we will open a dialogue on the biggest problems in the region, such as unemployment and mobility of human capital as a possible step towards resolving the unemployment issue. The leaders of the region, together with the guests from international institutions, will also try to find an answer to the question how to keep good staff in the region and stop “the brain drain”. Representatives of Slovenia, Croatia, Serbia, B&H, Montenegro and Macedonia will also contribute to this year’s meeting.

How would you assess the dialogue of Serbian businesspeople with government representatives?

Creation of conditions for a constructive dialogue with the highest political officials of both Serbia and the region is one of the objectives of the Summit100. The state and its representatives have a key role in the creation of environment in which businesspeople perform their business operations. The dialogue is always necessary for both parties aiming at further development of the economy and the country, improvement of the citizens’ quality of life and raising the standard. I would say that Serbian businesspeople have good cooperation with government representatives in general; the political situation has stabilized after the elections, Serbia has also obtained positive signals from all over the world.

Good news such as the possibility of obtaining a date for the beginning of negotiations with the European Union will be a good “tail wind” for us, domestic businesspeople, as well as for foreign investors thinking of investing in our country. No-one should be afraid of the arrival of capital and the opportunity of new jobs, this can only be useful for all of us.

The Government of Serbia forecasts a growth of Serbian economy in the current year. In your opinion, what else should be done in order to achieve and then maintain such a growth?

It is clear that another economically difficult and challenging year is underway. The system manages to maintain itself, but I have a problem with continuously being “on the edge”.

I support the thesis that it is necessary to undertake tough measures, to have courage for them, since this is the only way to achieve a result for the future.

I have an impression that the economy is approached timidly, primarily due to the unstable political situation. Such an approach is not sustainable over a long term, and I sincerely hope that some changes will occur in this respect. As a country, we are currently in the situation to struggle with what we have, and the money is distributed in that way, while the key problem is the fact that we are not creating a new value. To create a new value we need strategic planning and a lot of patience, stability and discipline. I am personally always an optimist, which is also the case when it comes to the forecast growth of the Serbian economy.

What is new in the operations of Štampa system?

As the fellow citizens have already noticed, we are intensively working on modernization and unification of our retail network. Our desire is to improve the existing condition, and we have done our best to give contribution to more orderly Belgrade through a more innovative appearance of kiosks.

In April, in Aleksandra Karađorđevića Boulevard, we opened another "Moj kiosk Štampa", which attracts attention not only for its modern appearance but for its functionality as well. We have designed an original and modern kiosk in line with contemporary trends, which represents the beginning of a new direction and trend in the field of this type of retail facilities. NADJI SLIKU KIOSKA

Our intention is to build a modern, strong and recognizable brand and a place to which our consumers will always strive to return. By the attractive appearance and a series of improvements we want to offer our consumers a new, more comfortable and interesting experience of buying at a kiosk.

Our tradition of over 50 years and confidence of our consumers have encouraged our intention to show a vision of the future appearance of our facilities.

What are your plans for the development of operations and your employees?

Considering that last year we invested in two companies that were experiencing a difficult financial situation, we are trying to establish a long-term stable company and keep more than 4,000 jobs. We have invested in the economy of Serbia, regardless of the crisis and difficulties we are all facing in our business operations. We think that there is potential for development and overcoming the problems, and we are thus certain that we will manage to endure and reach the goal that we have set, through a clear vision.

For this we need the right people, as well as the awareness of each employee about the significance of his/her individual role on this path to success. We believe that our employees are the main carriers of development of a stable business system. Therefore, we are constantly investing in their education and development, especially due to the introduction of new technologies.

Considering the increasing competition, what are your governing principles in the market competition?

We want to set new standards in the market competition that will be fully in line with the global ones. Our priority is certainly the level of services we are offering to our consumers, as well as an optimal and innovative range of products. We pay the same attention to our business partners and successful long-term cooperation with them. Safe collection, joint planning and application of new technologies are preconditions for both good partnership relations and the improvement in business operations. In this respect, we are constantly searching for new models of cooperation with all business partners.

How can the business climate in Serbia be improved?

What is of key significance for every task, even the smallest one, is the energy, motivation, a desire for change and improvement. I think that our country, probably due to all things that we have experienced, misses such energy, enthusiasm.

For years already, we have been mostly exposed to negative messages, negative headlines in media, an atmosphere not providing a stimulus and hope for a better future is being created. However, I myself would like to believe that such tendencies are going to change, that the news around are going to become “brighter”, that we will start looking at things in another way and thus create a more positive atmosphere in which our living and working will be more pleasant.

Most things in Serbia are reduced to daily politics; it has entered all pores of our society and this is not a good thing. In this way we are not supporting creativity, but we are instead creating an impression that any issues and problems may be solved through the politics.

When we start waking up in the morning freed from any concerns such as politics and black chronicles, we will become more productive as the society and capable of creating a healthy business environment.

What do you expect from the business partners?

For me, a partner is a positive and reliable associate looking at work in the same way as I do. As an example I always point at the win-win model, which is of key significance for functioning of any form of partnership. It is necessary for both parties to recognize the benefits of cooperation, to invest equal efforts in the establishment of successful cooperation, which ultimately results in mutual satisfaction.

To what extent and why is corporate social responsibility significant nowadays?

Corporate social responsibility is a prerequisite for successful operations of a modern company and certainly one of the pillars of the Štampa System operations. Social responsibility is a part of the special efforts that we invest on a daily basis. In my opinion, it is necessary to show by your own example that corporate social responsibility is the right way for a company to give additional contribution to the society in which it operates and thus acquire confidence. In addition, this is one of the most effective ways for a company’s reputation to develop and gain a positive direction.

How would you describe a leader?

I have the pleasure to meet a lot of people every day, and among them certainly the most significant leaders of today. My former experience has taught me that a good leader is the one whose objectives are precisely defined in advance, a man ensuring that all the team members will remain focused on the right things. A true leader is a person who listens carefully, poses right questions, inspires everyone around, and faces challenges with a lot of courage. In addition to this, a leader must be able to see “a broader picture” in a bunch of information and to communicate clearly. However, I think that a key to success for a leader is a quality team of experts that constantly develop and specialize in specific fields of operations.

How do you feel about an increasing number of women holding management positions in Serbia?

I am very pleased with the data confirming those facts, and I have to admit that I myself am surrounded by a lot of successful and very enterprising women, who perform their duties impeccably. In our country, business is still perceived as a “male” activity, while things are changing in practice. The presence of women in business always gives a new meaning and different perspective. Ladies’ participation in serious business ventures is necessary and valuable for any company.

What is the secret of your personal success?

I would say that there are no secrets and that the perception of success is individual. For me, the biggest success is the wonderful family and the fact that I really enjoy my work, which is rare nowadays. It is also necessary to have a team of associates with whom it is a pleasure to work, and this is certainly something that I can boast about. Maybe a combination of all the foregoing would be an answer to your question.

As General Manager of Centroštampa, as well as President of the Serbian Association of Managers and President of the Summit100 Management Board, you don’t have a lot of free time. What resting methods do you use?

The years in business and stress, as an integral part of our lives, have taught me that it is most important to reach a balance in everything. It is important to plan both business and private activities. We live rapidly, and the very fact that due to mobile phones and computers we are available 24/7 does not give us a lot of time for being out of business. Personally, with the mental maturity I have acquired, I don’t miss any opportunities to spend time with my family.

Physical activity and sauna, which I use regularly, mean a lot to me as well. I also like to travel, and displacement from this environment is always a good chance for rest and recovery of the energy needed for efficient business system management.