RESTRUCTURING STUDY SERBIA 2012
Study presentation - Dr. Vladimir Preveden, Vidosava Džagić, Vice President of PKS and Dr. Ivan Šimek, Senior Advisor at Roland Berger
Too little focused effort for structural changes so far – lack of qualified people, flexibilization of costs, further cost cutting and assurance of financing as challenges
Roland Berger Strategy Consultants conducted its first manager survey in Serbia on restructuring. The research was done among managers and directors of over 30 Serbian companies from various industries and of different sizes. According to our study, Serbian managers did not expect their companies' revenues and profits to return to pre-crisis levels before the end of 2012. However, those who took restructuring measures clearly see improved competitiveness of their companies. Just like their CEE and SEE peers, Serbian managers are well aware of restructuring as a permanent task. Serbian managers stipulate exaggerated risk taking before insufficient supply of qualified workforce as the main obstacle for recovery and growth. A vast majority of the participants see potential for improving their financing in working capital optimization. Bank loans represent the second pillar for both refinancing and growth.
Dr. Vladimir Preveden, Managing Partner for South-East Europe, underlined that it is necessary for Serbian companies to take urgent restructuring measures. Among the key messages was the one that cutting costs cannot turn around a business on its own. Furthermore, the management needs to have a concept for restructuring, based on the company's focusing on its core business. The flexibilization of costs has also not yet been explored enough. Dr. Preveden concludes: "Serbian companies are lagging behind in their restructuring activities comparing to their CEE peers. With financing still being a challenge for many, Serbian companies still need to make a significant effort to overcome the crisis and achieve sustainable profitability."
Roland Berger Strategy Consultants conducted its first manager survey in Serbia on restructuring. The research was done among managers and directors of over 30 Serbian companies from various industries and of different sizes. According to our study, Serbian managers did not expect their companies' revenues and profits to return to pre-crisis levels before the end of 2012. However, those who took restructuring measures clearly see improved competitiveness of their companies. Just like their CEE and SEE peers, Serbian managers are well aware of restructuring as a permanent task. Serbian managers stipulate exaggerated risk taking before insufficient supply of qualified workforce as the main obstacle for recovery and growth. A vast majority of the participants see potential for improving their financing in working capital optimization. Bank loans represent the second pillar for both refinancing and growth.
Dr. Vladimir Preveden, Managing Partner for South-East Europe, underlined that it is necessary for Serbian companies to take urgent restructuring measures. Among the key messages was the one that cutting costs cannot turn around a business on its own. Furthermore, the management needs to have a concept for restructuring, based on the company's focusing on its core business. The flexibilization of costs has also not yet been explored enough. Dr. Preveden concludes: "Serbian companies are lagging behind in their restructuring activities comparing to their CEE peers. With financing still being a challenge for many, Serbian companies still need to make a significant effort to overcome the crisis and achieve sustainable profitability."
Here you can find our Restructuring study Croatia 2011:
Roland Berger restructuring study 2011
Here you can find more information about Serbian Chamber of Commerce:
Serbian Chamber of Commerce
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