Incoming GIP Market Research

GST output

{CEE region}

Organisational Value

Market Value Individual Value

Our Value in the MarketLong-term leadership

pipeline and impact on the world

Competitive talent advantage for tomorrow

Short-term talent gap solution

Our Value for the EPs and Our Members

The Story of AIESEC in Spain

Organizational Value:A young person witnesses and contributes to

responsible and entrepreneurial

leadership overcoming the environment

Market Value:Entrepreneurs can sell

their products in international markets, survive, and support

Spain’s economy

Individual Value:A young member learns sales and delivery, and

learns how to contribute to society through market solutions

To grow our product and develop leadership in every experience we have

to raise TNs in meaningful industries where the EP has an impact on the

world.

How do we do that?

If you had 1000 AIESEC trainees coming to your country, in which industries would you want to place them?

Because their experience would develop leadership.

Because they would make an impact on society.

Because our members would see their contribution to society.

Relevant Market Segment

In what industry can you develop leaders who will have a positive impact on society?

Industry Talent Needs

What are the talent needs in that industry?

JD that Develops Leadership

What can the EP do that will develop leadership and serve the industry’s talent needs?

SupplyBO AlignmentDo we have

the EP supply to fill this need? Where are the EPs from, and how can we match with them?

How do we align our marketing and TC to sell and deliver these experiences on a major scale?

Market Segmentation Process

What was my market research process?

• CEE MC VPs perspective and opinions collection• Statistics and Good Cases practices check

Internal

• UN HLP report 2015, UN societies report in Europe & Central Asia, EU reports, World Bank, OECD reports

• 2020 country development strategy of Russia• UNICEF reports about edu systems in CEE

Reports Analysis

• CEE development organizations approach (CEEMan ex.)• Innovative Hubs and Venture CEE companies (InVentures

CEE, cee-startups

Organizations’ data

• Media: Forbes, Financial Times, Bloomberg etc• Companies’ researches: Google, Oracle, PwC etc

External overview

• Survey for CEE alumni (filled mostly by Russian & Ukrainian)

• Expertize about relevance of shortlisted segments: meetings and talks with 8 alumni in Russia

Alumni

• to companies, Universities & schools for final conclusions

Check calls

Recommended purposeful gip strategies{EDUCATION}

Bring interns to deliver better education in private and public sectors for local teachers to gain new methods and practices of teaching to continue improving the quality of education in their institutes.

{INNOVATIVE/SOCIAL ORIENTED STARTUPS}Bring interns to help issue oriented startups to optimize their processes, expand abroad and attract new investors to grow their purpose-driven businesses.

Industries: Public & private Institutions of higher education, government or independent kindergarten, primary and secondary schools public schools, private institutions offering different levels of language educationProduct: Teaching & Language Education

Industries: StartUps IT solutions for society needs digital healthcare, mobile education, smart cities; venture funds.Product: IT, Marketing, BA

Market product strategy 1

Traditional formats of education which don’t meet youth needs today can be improved with the help of AIESEC trainees. They will help to improve teachers’ qualifications to deliver relevant content of the subject in the right way. It’ll cover the lack of quality of education and mismatches between skills demanded by the labour market. English language teaching will help the population and especially youth to increase their mobility and access to the globalized world.

{EDUCATION}

Industries: Public & private Institutions of higher education, government or independent kindergarten, primary and secondary schools public schools, private

institutions offering different levels of language educationProduct: Teaching & Language Education

What entities would you recommend implementing this strategy?

The Caucasus – Azerbaijan, Armenia and Georgia Western CIS – Belarus, Republic of Moldova, Russia, Ukraine

Central and South-Eastern Europe – Bosnia and Herzegovina, Bulgaria, Croatia,

Macedonia, Montenegro, Serbia

Central Asia – Kazakhstan, Kyrgyzstan, Tajikistan And Turkey

The evidence for this strategy

Significant inequalities persist across and within countries in terms of access to education, learning outcomes, quality of education and mismatches between skills demanded by the labor market and those of jobseekers, especially young labour market entrants.

Over the past two decades, youth in the CEECIS (Central & Eastern Europe and the Commonwealth of Independent States) region have endured substantial political instability, and at times armed conflict, that have rocked their communities and families and shaped their education experiences.

Youth state that teachers need to be trained regularly to refresh their skills and improve the implementation of education reforms.

Historical consequences

REPORTS ANALYSIS

Inequality of education

Lack of professionalism

CEECIS governments need to adapt their education systems and policies to future needs and realities: bring more practical oriented education and balance in actual spending on it to get better outcome.

How much money does government spend on education development as percentage of GDP

One of the highest unemployment rate of the world in CIS demonstrates clear mismatch between skills demanded by the labor market and education’s quality

Government policy

Example:New government language policiesThe Russian government—both federal and local is making a concerted effort to boost the country’s English skills.President of Tatarstan Republic:“If teachers have excellent level of English, then their students will too. As for officials, they must speak English in the modern world”

Globalization of Russian universities as a criteria to be included in rankings.

There’s a general trend among post soviet countries’ government for globalization of the society.

AIESEC Russia2012 2013158% growth in RE teaching (33 85)

Market segment: private linguistic centers

Product:Language (English) education

Success | Experience

Access to an international talent pool of high-potential students or fresh graduates who have background of linguistic, foreign language teaching or necessary subject master degree and teaching experience, relevant to the educational institute.

School/College English Teachin

g

Other Languag

es Teaching

Subjects Teachin

g

Children Educatio

n

PRODUCT

Industry needs• People with the right accent, vocabulary, and grammatical knowledge• Ability to deal with & interact with specific age groups of students• People with the specific subject/laguage knowledge/degree • People with teaching expereince• Teachers available for shorter and/or longer working duration

Benefits to sell• New educational methods and initiatives developed by young specialist

together and for your teachers increasing the quality of education• Creation of international dynamic learning environment for students

faster and better learning • Competeive advantage on the market attraction of new customers• Specialists with diverse background and knowledge of specific languages

or subjects delivered in english• Affordable price, short or long term support of your projects from

AIESEC

Possible objections from the companyWe want to have native speaker as an english teacher from US or Uk, for example

• According to our practice non native speakers can teach english better, because they learned how to do it studying language as well

• Other countries send for teaching internships young teachers with experience and academic background who professionally knows how to do it while specialists from US/UK don’t usually have teaching background or experience

• All AIESEC trainees go through triple selection procedure and prove their competencies according to the working field they apply for

• We have several CVs (or video CVs) to demonstrate the candidates from other countries. Check it please If the intern doesn’t speak

our language at all how will he communicate with students?

Usually students start to speak english much faster with those who cant explain anything in native language. At the beginning it’s hard for them, but later gives better effect.

Supply from the NetworkTeaching sub-product

Country suppliers for Teaching & Language education

Poland Brazil India

Indonesia Romania Mexico

Russia Ukraine …

- Design the education course in advance (within the first week of internship or as a pre-assignment) instead of just delivering.(define objective, structure and key outcomes in this stage)

- Developing the course content completely after designing the structure.(Product full design concept) – (Sensing calls with some students, developing the right content)

- Delivery of course content (understanding of target audience profile, learning style and customizing to the same)

- Assessment tests and ensuring transfer of learning.(tests to ensure learning and implementing different methods of learning transfer)

- Preparation and delivery of classes/open spaces for teachers to share & discuss the methods and experience of teaching

- Feedback (from student to trainee, from supervisor/teachers to trainee and back)

Ideal Job Description

Leadership development of the traineeBy sharing own

teaching methods and experience

trainee influences to

change educational

process in school

Trainee contributes to

make long-term impact as the educational

process changer as well as short

term for students to learn

better now

Challenging environment

and JD of teaching without

local language knowledge

makes intern go through very

intensive outer & inner journey

During implementation be careful of

• Policy of public educational institutions about inviting foreign teachers• How to deliver right product value to stakeholders (interns are seeking

for professional development, support and supervision form the company and contributes to the goals’ of your organisation)

• Supply & Demand Management (Don’t promise native speakers – know how to work with this obstacles. Prepare Cy2Cy cooperations in advance)

• Don’t defocus on several industries at the same time if you don’t have enough capacity

• Check previous experience of work with educational institutions (maybe you were partnering in terms of iGCDP product. Define the value and benefits to sell them iGIP)

Market product strategy 2

Development of StartUps plays significant role in lots of CEE countries economies growth. Innovations and tech products have huge potential to improve their business processes, be expanded abroad with the help of AIESEC interns as well as to become more attractive for new investors. Many of them are based on unique scientific researches with idea to solve exact issue of the society.The increase in CEE venture investments in 2011 was driven predominantly by start-up stage investments, which grew year-on-year by 85% in amount and 76% in number of companies.

{INNOVATIVE/SOCIAL ORIENTED STARTUPS}

Industries: StartUps IT solutions for society needs digital healthcare, mobile education, smart cities; venture funds.Product: IT, Marketing, BA

What is?{INNOVATIVE STARTUP}

Its core business consists of innovative goods or services of high technological value

It shall not result from the merger, division or transfer of business from a going company

30% of its costs are related to R&D OR

at least one third of the team is made up of people who either hold a PhD or are PhD candidates or have conducted research for at least three year

OR it is the owner or the licensee of a patent.

{SOCIAL ORIENTED STARTUP}

same requirements that apply to ordinary startups

operates in some specific areas working on social issues (education, welfare, healthcare, protection of environment)

its key job must have a considerable social value

What entities would you recommend implementing this strategy?

BulgariaCroatiaCzech

RepublicEstoniaHungaryLithuania

PolandRomaniaRussiaSerbia

SlovakiaSloveniaTurkey

The evidence for this strategyREPORTS ANALYSIS|2012-2013

Local (in Central Eastern Europe and Turkey) SMEs have innovated and exported successfully. Several local SMEs have shown that successful innovation and export is possible, despite poor brand recognition abroad. Such firms may provide a standard for others to follow.

Innovation is essential for sustainable growth. The impact of innovation is shown to be particularly positive on growth for medium-income countries.

Most of the innovation in the CEE region in the past two decades has come not from locally owned firms, but from the investments of multinational companies (MNCs), on which local firms have come to rely for new ideas and technology.

The evidence for this strategyTable shows that in lots of CEE countries respective innovation performance (according

to Economist Intelligence Unit’s Innovation model) is higher than average in EU which demonstrates a high potential direction of its development in the nearest future

REPORTS ANALYSIS|2012-2013

Talent-related issues are a major concern. Finding the right staff has been made harder by the persistence of a “brain drain” from the region.

(responses by CEE companies)

We see that innovative companies are not satisfied with the quality of academic centers in their own country and most likely would experience work with foreign specialist

Slovenia is one of CEE countries with high potential of innovative start up growth. At the same time facing issues of being not well supported by government or local venture funds. It may be a point for AIESEC to propose a GIP for startups to attract or search for venture capitalists abroad.

A good example is the so called “Estonian mafia” that resulted from the acquisition of Skype by Microsoft. Founders and early employees of the company made a fortune, but re-invested their money in new startups that helped the tech community in Estonia to grow. Today there are hundreds of startups in Estonia, a country of 1.3 million, working to gain market traction.

The evidence for this strategy

Challenges of the region:• conservative mentality that is

adverse to risk• physical distance from main tech

hubs that offer high value-add resources (investors, clients, mentors, advisors)

Quality entrepreneurial events attract global thought leaders. “There are a lot of good initiatives facilitating the development of the entrepreneurial culture,” said Tschas. Examples include Pioneers Festival in Vienna, the Singularity University European Summit in Budapest, How to Web in Bucharest, the Shift Split in Croatia and the Kairos Society, a global student-run entrepreneurial organisation.

Global internship in a host organization, through which a high-motivated young person contributes to the goals of the organization, completes a job description requiring related expertise or skills, and receives supervision and evaluation on his or her professional development.

PRODUCT

Industry needs• People with entrepreneurial mindset, project management experience, goal oriented

(marketing, advertising, project management)• People with specific language and market knowledge to expand to the new country

(marketing experience preferred)• Specialist with exact background & experience to help with process optimization (IT

talents: website development/management, mobile applications, portals development, programming)

Benefits to sell• Support of the company in expanding its reach locally or internationally

with needed qualified talents easier and faster• Process optimization and international perspective from highly motivated

talents• Interns participation in long term or short term projects• Affordable price • International working environment and staff motivation

Possible objections/challenges from the company

Financial disability to participate in program Create special financial model for their participation, show the possible

impact of the expenses now, count potential profit and how much money it really costs to expand business internationally without AIESEC trainee help.

How can you guarantee that my business will be expanded to the new country market?

We cant guarantee you that as a final outcome, but we can select for you high motivated trainee from this country who will be able to provide you necessary information and make market research to be sure about necessity and all the risks for expanding there.

Supply from the Network

Marketing

Brazil 172Poland 144Mexico 121

Colombia 116Romania 97Tunisia 90India 84

Canada 82Spain 62

Ukraine 53

IT

Tunisia 158India 87Brazil 85

Colombia 82Mexico 58Poland 57

Morocco 50Romania 43Canada 32Turkey 30

Leadership development of the traineeIntensive and challenging

experience in startup

environment: often decision

making process and high level of

responsibility

Trainee might see fast direct

impact of his job to the company

and society because of the

purpose oriented business

Innovations, hard work and

persistence would move

intern out of his comfort zone

which will give him very

powerful inner and outer journey

Success | Experience

Being an intern I’d love to go for this internship, because I understand the purpose of the company and issue which company is solving is a crucial for young parents today. I want to contribute to this start up development

InVentures company: source for the startup scene in CEE

Where to get more information about CEE innovative start ups?

Check more CEE startups

Social franchising is slowly – but surely – gaining popularity in CEE: Barka Foundation for mutual help in Poland, Mania and FIXMIX in Bulgaria, Mano Guru in Lithuania, and B-Fit in Turkey are already implementing successful franchising concepts.

Where to get more information about CEE innovative start ups?

There’s a clear purpose of CEE startups in the medical and health sectors deals with the prospects for Digital Health – connect modern IT with the needs of society.

With aging societies and people increasingly willing to invest in their personal well-being, the sector is expected to experience even higher growth in the near future.

mySugr.com helps diabetes patients monitor their blood sugar level

Similar issuesmHealth: Saving lives and

money.mEducation: Equipping

people for a better future.mAutomotive: Making the roads safer and the world a

little less hungry.Smart Cities: Tomorrow’s

cities today

More Digital Health startups:1. Upcoming Croatian startup IDerma for communication between dermatologists

and patients suffering from skin conditions.2. MIRArehab from Romania develops video-games to provide a more effective

way for physiotherapists to treat their patients.3. CaverSoft s.r.o. from the Czech Republic has created CAVER, a software tool for

protein analysis and visualisation.4. mcule is a Hungarian startup founded in 2011 offering an integrated drug

discovery platform. They are the winners of the 2nd prize at the Hungarian InnovationTechshow 2012 and were featured at Startup Sauna Fall 2012.

Also 17 startups that help you stay active

During implementation be careful of

• Have a clear value proposition about exact market segment• Don’t defocus on several industries at the same time if you don’t

have enough capacity (research and approach health sector first, for example)

• Try to find warm contacts in the area (approach alumni), take additional expertize (check history)

• Small startups are not usually ready to invest money at the first stage of development think how to work with this obstacle or approach investors/supporters directly

Do we have to change everything??

No, don’t stop raising TNs

No, you don’t have to drop your current market – product strategy

No, we don’t have to raise with only non-profits, schools, and hospitals

Make specific

changes to what we’re doing now

Start doing new things to build a purposeful

GIP program

How to Change What You’re Doing Now Choose which of these market – product strategies you want to

implement in Q1

In the JDs your EPs are currently doing, add activities that develop leadership

Ensure TN-takers understand and want to co-deliver leadership experiences

Embed purpose into your sales member education, your marketing, and your sales process

Market – Product Process1. Research trends in business, education, government, social issues, IGOs,

NGOs, etc

2. Choose relevant needs of society and the industries that address these needs

3. Interview with industry leaders and experts, use research to understand talent needs and create hypothesis of sub-product solution for the industry

4. Test sub-product solutions and choose top market – product combinations

5. Make a targeting list of companies to sell these products to

6. Align marketing an talent capacity to be able to reach these markets, sell the right product, deliver it, and showcase it

Will This Solve All My Problems?

Still need to train people

Still need to market, sell, and deliver well

In Colombia sales members see the impact so clearly it’s difficult to move their focus to other sub-products

In Russia the sales members were so successful they didn’t feel as much pressure to perform anymore

What Will Be the Impact When We Do This?

More sales intensity because members understand the why

Better leadership experiences for EPs and members as they contribute to society’s needs

More TN raises with better customers for our purpose

BIG AIESEC

What Do We Do in Q1?Activity Tier 1 Tier 2 Tier 3

Choose what market segments you want to sell in based on “If you could bring 1000 EPs to your country . . .”

X X X

Message purpose of GIP to LCs in all channels X X XAdd purposeful elements to JDs of current market-product strategy

X X X

Share CoW of GIP with TN-takers and help them plan to co-deliver leadership experiences

X X X

Embed purpose of GIP in all marketing, talent capacity, and showcasing for iGIP

X X X

Integrate 1 new market segment from GST research X X

What Do We Do in Q1?Activity Tier 1 Tier 2 Tier 3

Create a new market – product strategy based on purposeful GIP X

Test new market – product strategy on national level X

Raises that create leaders

What are we trying

to achieve

?

Be the leader who confronts

the fundamental

problem

Make an organizatio

n whose purpose

and actions are aligned

Create purposeful leaders

Why Do This Now, and Not Next Year?