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In an era of intense business disruption, CIOs play a key role in the growth and success of their organisations. To better understand the challenges you are facing, Deloitte is launching its third global CIO survey, exploring the experiences, attributes and attitudes of CIOs and other technology leaders.

What qualities determine success for technology leaders who want to deliver maximum impact? How do you measure up against your peers?

Click here to participate in the Deloitte CIO Survey 2015 and find out: CIO Survey 2015


Which CIO attributes matter most?
The survey explores key areas in which CIOs must operate to lead their organisations effectively and create lasting legacies.

  • Energy and focus: where CIOs need to spend their time and resources to deliver impact
  • Experience and skills: what competencies skills and attributes drive success
  • Relationships: what relationships matter and how can CIOs leverage them
  • Technologies: which technologies will significantly impact their businesses?

Exclusive participant benefits
This survey is about you as a CIO, your unique career aspirations and your personal goals.

By taking part, you'll gain access to the insights and attitudes of over 1,000 CIOs and IT leaders across the globe in Deloitte's CIO Survey 2015 report, published in the autumn. We'll also offer you a tailored, one-to-one review of how your IT priorities and challenges compare to your peers, by industry and region.

Get involved
Taking part is easy. Simply complete the online questionnaire which will take about 15 minutes to complete, or email us to request a personal interview.

Start the survey now.

Thank you in advance for your time and participation. We look forward to sharing these valuable insights with you.

International Dismissal Survey 2015

The Czech Republic is among the three European countries where the cost of dismissing an employee, with limited short-term experience, for organisational reasons is the highest. The cost of dismissing this category of employees is only higher in Lithuania and Belgium. Whereas compared to the European average, dismissing a senior employee with long-term experience is substantially cheaper in the Czech Republic. These findings were published in the latest survey conducted by the European network of Deloitte Legal firms, which examined the labour law-related conditions of dismissing employees in 29 European countries.

 

The study also reveals that generally in Western Europe the average cost of dismissal is higher than in Central European countries. Some countries have recently adapted their dismissal rules (e.g. Belgium, the Netherlands and Italy). The study takes into account the average cost that an employer has to pay to dismiss an employee and reach a final settlement on the dismissal file.

 

The entire study entitled International Dismissal Survey 2015, comparing dismissal conditions and costs in the individual European countries, is available at edu.deloitte.cz.

 

 

Property Index 2015

An average transaction price of a new residential property in the Czech Republic fluctuated around EUR 1,200 per square metre in 2014. The prices of new dwelling in the Czech Republic are 8% higher than in neighbouring Poland (EUR 1,110 per square metre) and even 20% higher than in Hungary or Russia (EUR 960). Although the prices of residential properties in the Czech Republic exceed the prices in other Central European countries, they rank among the most accessible in the region. While in the Czech Republic, it is necessary to save a 7.1 multiple of the average annual gross earnings to purchase a new apartment of 70 square metres, in Poland, you have to count on saving 7.2 annual salaries and even 7.8 salaries in Hungary. These are the results of the fourth annual Deloitte Property Index report, which analysed the development of real estate and residential market prices in 2014 in 15 European countries, Russia and Israel.

 

Funding Development Projects

In addition to real estate prices, the current Property Index focused on the funding of development projects. The lowest interest rates of loans for developers are in Belgium, Austria, Germany, France, Sweden and the Netherlands, due to the low-risk profile and strong real estate market in these countries

 

Pre-sales, which are necessary for gaining the funding of development projects, vary significantly among the surveyed countries, being the lowest in Portugal (10%), Poland and Spain (25%) and the highest in Hungary (55% and Italy (60%). The requirements of banks for investments of the developer’s equity are comparable in Europe. In general, banks request that developers utilise equity to fund no more than 40% of the value of the development project. The lowest value of equity is required in Denmark, Ireland and Russia (20%) and highest required values were recorded in Hungary and the Netherlands (40%).

 

Development of Residential Markets in Selected European Countries

Of the surveyed countries, the largest housing stock is found in the South European countries: Italy (580 apartments per 1,000 inhabitants in 2013), Portugal (565 apartments per 1,000 inhabitants in 2013) and Spain Portugal (549 apartments per 1,000 inhabitants in 2014). On the other hand, the lowest housing stock was recorded in Ireland (342 apartments per 1,000 inhabitants in 2014) and Poland (360 apartments per 1,000 inhabitants in 2013).

 

In 2014, the highest housing development intensity from all surveyed countries was recorded in Austria (5.4 started dwellings per 1,000 citizens in 3Q 2014) and in France (4.5). The lowest housing development intensity in 2014 was recorded in Portugal (0.7 started dwelling per 1,000 citizens) and Hungary (1 started dwelling per 1,000 citizens).

 

The entire Property Index report is available at www.deloitte.com/cz/property-index.

Deloitte’s 25th Anniversary

Deloitte has been operating in the Czech market for 25 years. What has life at Deloitte given to its employees? Watch our video to find out.

 

 

 

4th Deloitte SheXO Club

4th Deloitte SheXO Club took place at the unique Mucha Villa with guided tour given by the grandson of Alfons Mucha, John.

 

 

China’s Stock Market

David Marek, Chief Economits, Deloitte

The Greek economic drama seemingly overshadowed other global economic events, at least from the European perspective. One such case was the rapid rise and subsequent fall of the Chinese stock market. This course of events proves that stock markets were, are and will be susceptible to overshooting, bubble creation and subsequent correction. How is the Chinese market faring now? Has the correction come to an end or are the stock prices of Chinese companies still too high?

 

The sharp rise of the Chinese stock market began last summer. Early in July, the Shanghai Composite index was around 2,050. This year in June, it rose to 5,178 points, which is an increase of more than 150 percent. The growth of the stock prices of Chinese companies was aided mainly by demand from local investors. This was frequently accompanied by “margin purchases”, ie purchases made using borrowed funds. The volume of these loans reached 12 percent of the value of the entire Chinese stock market, which is globally, by all means, the highest figure in the history of stock markets. The way upward was sharp, but the downward drop was even sharper. It took less than a month for the Shanghai stock market index to fall by a third to 3,500 points. The fall could only be stopped by means of intervention by state-owned or -controlled investment funds, stock brokerage companies and other financial institutions (referred to as the “National Team”), and the decrease in interest rates brought about by the central bank.

 

The key question is what the price of Chinese shares should be given the financial results of local companies, or the condition of the Chinese economy. If we were to regard the entire Chinese market as a single company and used the traditional discount valuation models, the current “fair” value of the Shanghai Composite index would be approximately 3,000 points. While they were undervalued by 30 percent last summer, at their peak this year in June the Chinese shares were overvalued by 75 percent. Although the fall they saw in recent weeks decreased the level of overvaluation, it still reaches 20-30 percent.

 

Similar results can be seen in the cyclically adjusted ratio of the Chinese share index value and corporate profits (this indicator was made popular by the Nobel Prize laureate Robert J. Shiller, a professor at Yale University). The value of this indicator is usually between 15-20. Last year, before the Chinese stock market bubble started to grow, its value was 13. In the second quarter of this year, it rose to 25, which is significantly higher than the “regular” value.

 

The usual recommendations for China include finishing reforms to the capital market, opening up more to foreign investors, starting the process of initial public offerings, setting rules for purchasing shares on credit (margin) and others. All of this is certainly needed. In an article for the Financial Times, Henry Paulson, former US Secretary of Treasury, stated that no country became developed without a functional capital market (although the Czech Republic is aspiring to be an exception to the rule). Yet, adopting all the above reforms will not protect the Chinese market from irrational behaviour and significant fluctuations. The level of development and sophistication did not protect even the most developed of markets – the American one – from the dotcom bubble or the current overvaluation of American equities. After all, the cyclically adjusted ratio of share prices and corporate profits is further away from the long-term average in the USA when contrasted to China.

 

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