4 • AmCham • • Contents • • AmCham • 5
CONTENTS
WELCOMING MESSAGE
AmCham Executive Director's Message...... 8 AmCham 2nd Vice President's Message...... 9 AMCHAM GOLD MEMBERS
AMCHAM SILVER MEMBERS
AMCHAM BRONZE MEMBERS
An Official Publication of the American Chamber of Commerce in Armenia AMCHAM NEW MEMBERS
EDITOR EDITORS LAYOUT PRINTING DID YOU KNOW? IN CHIEF Lusine Shaljyan & DESIGN Anush Hovsepyan Karine Sarkissian ROAD TO SUCCESS Gayane Amirjanyan Interview with Mr. Hakob Arshakyan...... 22 Yana Gevorgyan Interview with Ms. Natasja Mirzoianc...... 24 Support: Nicolae Stratan Interview with Ms. Marina Meymaryan...... 26 Interview with Mr. Arthur Sahakyan...... 28 Interview with Ms. Mariam Santrosyan...... 31
FEATURED ARTICLES CONTACT Virtual Construction in a Digital Economy...... 34 Industry 4.0 with Robotics Process Automation...... 36 INFORMATION Processing of personal data and its regulation in Armenia...... 38 1 Amiryan Street, Armenia Marriott Hotel www.amcham.am Communicationg hope for a healthy and peaceful future...... 41 Game Changer CEO...... 42 Yerevan, 0010, RA AmCham Armenia
(+374 10) 599 902; (+374 10) 599 187; AmChamArmenia (+374 55) 599 187; (+374 55) 599 188 MEMBER NEWS AmChamArm 44 [email protected] HISTORY
Human Resources...... 52 Digital Economy...... 54
AMCHAM COMMITTEES PUBLISHER AMCHAM EVENTS
AMERICAN CHAMBER OF COMMERCE IN ARMENIA The content of this publication must not be reproduced in full or in part without prior written permission of the publisher. 6 • AmCham •
BOARD OF DIRECTORS
Ara Hovsepyan Elina Markaryan Aharon Levonyan President 1st Vice President 2nd Vice ContourGlobal Hydro Cascade Coca-Cola Hellenic Bottling President/Treasurer Company Armenia Seraphim Consulting
Will you return to business as usual or can we help you
Arthur Hovanesian Ashot Ghazaryan Christopher C. Ellis David Sargsyan Diana Gaziyan build better? Director Director Ex-Officio Member Director Director Synergy International Systems American University U.S. Embassy in Armenia Ameriabank HSBC Bank Armenia of Armenia EY’s Tax & Law experts in Armenia can provide high-quality advice and help resolve the most complicated business issues.
ey.com/am
Diana Ghazaryan Hayk Aloyan Irina Dumanyan Karen Garaseferyan Tigran Gasparyan Director Director Director Director Director Microsoft Armenia Mentor Graphics a Siemens Japan Tobacco International KPMG Armenia Lydian Armenia Business EXECUTIVE OFFICE © 2020 Ernst & Young CJSC. All Rights Reserved. & Young © 2020 Ernst
Karine Sarkissian Lusine Shaljyan Anush Hovsepyan Kristina Sahakyan Executive Director Member Relations and Marketing and Events Lead Chief Accountant Communications Lead MESSAGE FROM MESSAGE FROM
8 • AmCham • • Editorial • • AmCham Vice President’s Message • • AmCham • 9
KARINE SARKISSIAN AHARON LEVONYAN EXECUTIVE DIRECTOR VICE PRESIDENT American Chamber of Commerce in Armenia American Chamber of Commerce in Armenia
MESSAGE MESSAGE FROM FROM THE EXECUTIVE THE AMCHAM VICE DIRECTOR PRESIDENT
Dear Reader, Dear Reader, I hope AmCham Member Companies are globally, on the basis of the quality of Ms. Marina Meymaryan, HR Manager The world in January 2020 is significantly magazine may concern all members of members of AmCham are from the IT gradually overcoming the crisis caused our workforce. In the current reality, ContourGlobal Hydro Cascade Human different from the world after January our organization despite the industries industry. The development of the IT sector by the pandemic and Artsakh war, and Armenia has been given a great chance Resources challenges and experience of 2021. Today’s world has new challenges, they are in. is a stimulus for the Armenian economy. IT after such a long stop-over would like to to do an in-depth analysis and develop overcoming those; Mr. Arthur Sahakyan, new rules of the game in geopolitical and as a development factor has an enormous wish you to have a swift and safe “flight” our national competitiveness strategy General Manager, Coca-Cola Hellenic business aspects. This is more than true in Human Capital is and was always one of role in all industries of the country, of growth. and an action plan and achieve a strong Bottling Company Armenia how the the case of Armenia, where post-war and the competitive advantages of Armenia. including regional security and business competitive proposition to compete with company adjusts its operations during the pandemic situation consequences put the Its role is especially vital now when there environment. IT and digitalization relate to Based on our members’ preference we the top players regionally and globally. crisis; TK & Partners and Andersen Global country at risk of economic collapse. The is an urgent priority to create a platform almost all the players in the market. High are dedicating the current issue of the initiates expansion in Armenia through highest priority of the society and business for an effective development strategy technologies are the key to success and Business Magazine to the Digital Economy At the same time, the other business Collaboration Agreement with TK & community is to find ways to overcome and vision. Motivated, knowledgeable, guarantee the progress of any company. and Human Resources Management, community sectors need to be agile and Partners. You will also find other AmCham the social, political and economic crisis, talented professionals should be the which are very relevant topics to focus fast to make changes to their operations, Member companies such as Concern find solutions to get the economic system ones to solve the business issues and Both HR and ICT industries are areas on during today’s realty of digitalization after identifying the key challenges and Dialog law firm, DEEM communications, back on track. challenges of the companies in crisis. that create and support investment need and people’s new remote working opportunities in applying the information Relevant, BSC, Habitat, Skill, Green The HR impact at a microeconomic level opportunities in the country. Currently, skills development and management, and technologies into their operation and AmCham Business Magazine is a great Lane, AmCham Interns and AmCham is of huge importance to revive an active Armenia is in urgent need of international also given the reality that the ICT sector focusing on their workforce skills training, format enabling the members to share the Committees articles and member news. business climate. HR function is also capital and expertise to be injected into the in Armenia has been growing with around innovation, technology, automation experience and knowledge. This edition responsible for retaining the talent in the economy. This can become a reality when more than 20 % in the last couple of years. and business models for a long-term Thanks very much to AmCham Members focuses on the Human Recourses (HR) company and the country, taking into a safe and secure investment platform sustainable growth perspective. for their commitment to our organization. and Information Technologies (IT) sectors. In such an unstable and volatile global account the serious risks of migration. is in place with a stable development We will continue to serve your business These are key areas where the main economic situation, the Government of In the current issue, we are honored to strategy, healthy competitive business advocacy and networking needs and vectors should be directed to rehabilitate At AmCham, we are proud to have a Armenia, the Business community, the present Mr. Hakob Arshakyan Minister environment and predictable tax policies. promote your companies and make the business atmosphere and economy. significant number of IT companies as Ministry of Education, Science, Culture of High-Tech Industry of RA and his AmCham a better place for your Both HR and IT topics discussed in the our members. About 12% of the total Hope you’ll enjoy the reading! and Sports, the Ministry of High-Tech interview, which focuses on the most membership. Industry, and other leading stakeholders significant changes and achievements should collaborate on a goal of making of the high-tech industry in Armenia, We are always open to your Armenia the most attractive location the challenges and the ministry long- recommendations to make your regionally and globally, in terms of ICT term vision; Ms. Natasja Mirzoianc, membership experience even more skills availability and high-quality products CEO and Co-Founder of ArchiDutch/ valuable! delivery. We need to realize that, Armenia ArDesk, sharing the Building Information Enjoy the reading! has to compete for talent, to attract Modelling (BIM) concept, as well as the investments and increase export potential ArchiDutch “green building” concept; 11 • AmCham • AmCham •
• Gold Members •
Gold Members • Members • Gold • AmCham • AmCham • GOLD MEMBERS GOLD GOLD10 MEMBERS SILVER MEMBERS
12 • AmCham • • Silver Members • • Silver Members • • AmCham • 13
SILVER MEMBERS 15 • AmCham • AmCham • • Members• Silver • Silver Members Members • Silver • AmCham • AmCham •
SILVER14 MEMBERS 17 r e t n e C
n g e n i e n r i a G r T Armenia Fine Cars of • AmCham • AmCham • •
Members• Bronze
• Bronze Members Members • Bronze • AmCham • AmCham • BRONZE MEMBERS BRONZE BRONZE16 MEMBERS BRONZE MEMBERS
18 • AmCham • • Bronze Members • • Bronze Members • • AmCham • 19
HOTELIER H O S P I T A L I T Y NEW MEMBERS
20 • AmCham • • New Members • • Did You Know? • • AmCham • 21
certification among its members. There beyond the gym. This will prepare are 26 Certified Internal Auditors (CIA) in children to go to school, to learn to Armenia. write, to follow instructions, to listen For more information, please follow to the teacher and to concentrate on IIA-Armenia official website at: their learning. www.iia.am . • Life skills. How can we all get along without social skills and communication? At The Little Gym, we promote sharing, teamwork, cooperation and leadership through Institute of Internal spending time with friends and peers. Auditors in Armenia www.iia.am It allows children to be prepared for school and when they get older to Internal audit is one of the cornerstones of work as well as building long-lasting effective governance that aims to improve relationships. This is true for children the effectiveness of the organization. It who have developed friendships for is an instrumental tool for the Board of The Little Gym life but also for their parents. Directors to exercise its oversight role. www.yerevan.thelittlegym.eu
The Institute of Internal Auditors in GNI LLC is the franchisee of Armenia (IIA-Armenia) was established The Little Gym based in Yerevan and in 2012 to promote and develop the internal audit profession in the country. the first one in the Caucasus region. IIA-Armenia is an affiliate of IIA Global The Little Gym is the leading child and a member of the European development program in the world for Confederation of Institutes of the past 43 years. It currently includes Internal Auditing (ECIIA). Since 2012 450 gyms in 36 countries. 150,000 IIA-Armenia membership has increased children experience The Little Gym 5 fold reaching 160 members. The program on a weekly basis around Institute has individual members from the world. private, as well as public sectors, BARRY GROUP working for financial institutions, including What makes The Little Gym program www.barry.am banks, credit and insurance companies, unique is that it works with children BARRY GROUP started its activity in the telecommunication companies, consulting (age: from 10 months till 12 years) Armenian market in 2015, when Barry companies, ministries and other public to develop their life skills so that they Company opened the first store of medical organizations. Besides internal auditors, can build the confidence to reach equipment, care products, rehabilitation there are also risk managers, compliance their goals. It allows children to feel aids, which then, in a very short time, officers, internal controllers, consultants, turned into a network, operating not challenged and successful while instructors and other professionals only in Yerevan, but also in other among IIA-Armenia members. Every progressing at their own comfortable regions of Armenia and in Artsakh. The year IIA-Armenia organizes local and pace. The Little Gym environment is member-companies of Barry Group international conferences, trainings and fun, nurturing and musical. The Little are specialized in the production and seminars. During these events, famous Gym environment is fun, but our manufacturing, retail and wholesale as industry experts are invited to share their purpose is more serious. well as rehabilitation and logistic services. experience with participants on topics of governance, auditing, risk management, A couple of examples of what The Arides LLC was founded in 2016. It is a IT, cybersecurity etc. Little Gym program does for children resident of the Alliance Free Economic around the world and now also in Zone in Armenia. The current scope of IIA-Armenia representatives also the company includes manufacturing Yerevan. share their knowledge with students, and export of more than 30 types of presenting different topics at universities. • Get moving is all about physical breathalyzers both for personal and IIA-Armenia provides many opportunities development. For a healthy body, professional use, as well as of functional to its members to expand their network we need to move. We need to build medical beds, electric medical beds, and become part of the global auditing our muscles and our bones for our commode chairs, wheelchairs, salt lamps, community. IIA-Armenia has three etc. The company plans to expand the committees: Nomination and Membership body to grow and function properly. range of products over the next 5 years Committee, Committee on Education Starting from birth, we are destined and include the production of crutches, and Qualification Program and Audit to move. At The Little Gym Yerevan, canes, walkers, as well as medical Committee, as well as Financial Services we develop the physical body so furniture. task force. that it can be flexible, have strength, The newest project of BARRY GROUP IIA-Armenia issues newsletter, and balance and coordination. This allows is Luys Barry LLC, an Innovative other publications about auditing, team us to get out of bed every day healthy, Rehabilitation Center for Prosthetics and performance, public sector internal and gives us the opportunity to be Orthotics founded in 2019 in Yerevan. The auditing, etc. IIA-Armenia translated educated, be active in sports, travel, operations of Luys Barry LLC include International standards for the feed ourselves, etc. preparation of prostheses and orthotics professional practice of internal auditing, for the upper and lower limbs, as well as Code of Ethics, Core Principles, Mission • Brain boost is all about brain the process of the rehabilitation phase and Definition of Internal Audit issued by development. Nurturing listening individually with each patient, adult or a IIA Global. IIA-Armenia promotes the skills, concentration and decision- child. only globally recognized internal audit making that benefit your child well ROAD TO SUCCESS
22 • AmCham • • Road to Success • • Road to Success • • AmCham • 23
for R&D projects almost tripled, • Communication infrastructure, the the Armenian Unmanned Aerial becoming USD 9.5 mln. There quality of the internet is another Vehicle (UAV) in action, what are Mr. Hakob Arshakyan are significant achievements in factor that we continuously your expectations of it? How would manufacturing of ammunition, design improve. It is highlighted in the new you evaluate the cooperation of UAVs, anti UAV systems as well Digitization strategy 2020-2025. opportunity between Armenian Minister of High-Tech Industry as RADAR, communication and high tech and military industries in 3 Entrepreneurship, Sales and radio-electronic warfare that were general? Marketing Skills: the “Virtual successfully used in the field. Bridge” program by the Ministry A: The military industry in Armenia 2020 was a tough year for the enables startups to these skills in is facing profound changes. All the economy Worldwide, and we expect the best Worldwide schools. industries need cooperation and that the High-tech sector will show collaboration with the High-tech, 4 Network: the same program more than 20% growth (YoY). especially the military sector. includes diaspora people and other Q: In your opinion, in recent tech superstars, mentors, investors Q: Mr. Arshakyan, considering years what did mainly trigger the and engineers that may help the rapid development of the tech Armenian high-tech industry to Armenian companies to establish a industry, what are your long-term develop? wide network and scale. plans for involving and supporting tech startups from rural areas? A: The talent of Armenian engineers 5 Government Policy: Tax-exempt Q: Mr. Arshakyan, please tell institutional development of the IT and the Diaspora as a network were programs help new companies to A: All programs implemented and us about your educational sector in Armenia. the main triggers for the industry. The grow faster and invest in talent. supported by the state programs role of the Government is to create are aimed at involving at least 40% background and experience. How 6 Availability of Funds to Start: 2019 was a special year for the efficient policies and ecosystem for participants from the regions, thus did it help you to get the minister’s Governmental start programs help Ministry of High-Tech Industry, as companies. There is a tax exemption establishing the seeds for further responsible position of the High- new companies to start and grow we closed the year with around program for new companies in sustainable development. Tech Industry of Armenia? faster with the available funds. 16,000 employees in the high-tech Armenia and many new based Q: What do you think are the main A: My background is in Engineering, sector and 30% growth (YoY) in programs listed as Ministry initiatives Q: What was the COVID-19 impact steps the Armenian Government I graduated from the National revenue. in the previous question. on the operations of high-tech Polytechnic University of Armenia. needs to take to include more The Ministry initiated several base companies? My professional background Q: Mr. Arshakyan, what are the young people in the ICT sector programs such as: starts from systems engineering, main challenges the ICT industry A: It is inevitable and we can and support them in their career moves to a largescale managerial • Professional IT, project faces in Armenia, and what emphasize that the tech industry had development path? actions do you take to overcome been positively impacted during the experience in international program management, marketing and A: Besides enhancing School and those and improve the sector pandemic as the remote work and management in a big region other trainings for more than University programs we also need competitiveness? What is the ICT transactions raised the demand for including India, Russia and CIS, 5,000 people, to show-case all the achievements development model on the short tech solutions and improvements. Arabia, Africa. and opportunities in the high-tech • Governmental grants for startups and long-term scale? So, the sphere proved to be critically At the beginning of 2018 with with USD 2 mln annual budget, industry. Bringing more international No time to waste, we cannot wait, we important and impactful out of all colleagues, we started a new A: We have identified the key priorities events like WCIT-2019, STARMUS need to act now in order to succeed • International entrepreneurship areas. company (Startup) that I had to and addressed them accordingly: 2020, DIGITEC EXPO, ARMHITEC tomorrow… programs for startups: more than In Armenia, we faced another thrive EXPO, other events popularize leave shortly, to take a position of 1 Education: we are working with IT 50 companies every year can and development of the digital the engineering and IT in general. I deputy minister at the Ministry of companies, professional training study in the top entrepreneurship agenda that has become one of the encourage engineers and scientists Transport Communication and IT. companies and universities to schools Worldwide, most important everyday tasks after to talk more about their achievements We renamed and reformed the enhance the education programs protection from viruses. in the social media, so the parents ministry into the Ministry of High- • Participation in the best as well as convince more students and students who are looking tech later in 2019. international EXPOs with to take STEM education and Q: Mr. Arshakyan, Forbes wrote for prospective professions and Armenian high-tech pavilions to become engineers. about Armenia as “The World’s Q: Mr. Arshakyan, what are the career opportunities are aware that support International cooperation Next Tech Hub”. Is that how most significant changes and engineering is a prosperous career and export, 2 Infrastructure Development: you see Armenia’s future in the achievements of the high-tech path, nowadays. industry in Armenia after you • Initiation of a USD 100 mln • Engineering City is one of the tech industry? What are your were appointed as a minister, and venture fund to support the startup main programs equipped with test expectations of the tech industry Q: Mr. Arshakyan, what is your you are proud of? ecosystem in Armenia, labs and measurement, electronic for the next 10 years? advice to the technology-related manufacturing, mechanical startups and companies and the A: The most sophisticated and • Digitization, High-Tech and A: Armenia has a talent pool that is engineering, and other precise AmCham business community? meanwhile evolving achievement Defense Industry strategies were the most important factor in high- instrumentation for engineering was the establishment of the designed and in a final stage of an tech. In the next 10 years, I see 45- A: My advice is not to be afraid of companies, Ministry of High-Tech Industry in approval process. 50,000 people involved in the sector taking risks. Sometimes fear does creating 8-10% of the GDP of the not allow you to do what you can do. Armenia in 2019. The initiative was The Ministry is also responsible • Gyumri and Vanadzor techno-parks to highlight the prior role of the further development, which helps country. No time to waste, we cannot wait, we for R&D programs in the Defense need to act now in order to succeed industry in the development of the companies with the environment, Q: Mr. Arshakyan, noting your Industry. Since 2018 the budget tomorrow… country and the importance of the training programs and space, recent post on the launch of ROAD TO SUCCESS
24 • AmCham • • ROAD• Road TO SUCCESS to Success • • • ROADRoad to TO Success SUCCESS • • • AmCham • 25
In a 100% circular building process, there which is globally authorized! So, this gives is so transparent and interactive. But for is no longer any residual waste. Every left- Armenian professionals the opportunity Armenia I would mention, the failure costs over material and building residue can and to work abroad or with international as the biggest benefit. will be re-used. It’s still a fairly new term in companies. Q: Ms. Mirzoianc how does ArchiDutch the building industry in Armenia. So, there Ms. Natasja Mirzoianc We also organize occasionally several contribute to the community with are a lot of opportunities. online-events for companies or educational sustainability? Q: Ms. Mirzoianc what are the institutions in Armenia, who are interested CEO and Co-Founder of ArchiDutch/ArDesk A: By promoting and working with technological advances used at in BIM or Sustainability/Circular sustainability we are not only contributing ArchiDutch, that help in the design and building. We do this in cooperation with to the community, but also to our planet engineering part of a building project? our Dutch, ICN Group colleagues. and that gives us new perspectives. A: We only work in BIM. It is not just a 3D From the beginning, we have entered Sustainability is one of the newest model, It’s an interactive model with all the into a partnership with State Polytechnic degree subjects that attempt to bridge information in it. Al parties like architects, University in Vanadzor, where we teach social science with civil engineering and EDITOR’S NOTE contractors, constructors and engineers Autodesk Revit for free. The students environmental science with the technology s. Natasja Mirzoianc was born in Vanadzor in 1980. Since 1993, she are working in one (the same) model and of Polytechnic get the opportunity to of the future. These entail the following: moved to the Netherlands. She studied at ArtEZ University of the adding all kind of information. So you can do an internship at ArchiDutch, where creates a need for new specialists, new Arts (Graphic Design & Marketing). She has 18 years’ experience see immediately which changes have been they become acquainted with European knowledge, new educational programs in marketing and business development strategies. Her main goal done by who, and which consequences standardization and culture. There is and new jobs! it may have on the whole project. But to daily contact and collaboration with our in life is to be a (small) change in the world. Q: How do you see the business deliver the best result we also work with European colleagues. In the future we development in Vanadzor and Armenia M Project Information Management (PIM) want to expand this cooperation with in general? and Virtual & Augmented Reality (VAR). Polytechnic more on BIM knowledge and COMPANY’S BRIEF add the manufacturing part. A: If you want to change the future, you Q: Ms. Mirzoianc what are the key have to invest in youth. The best way to rchiDutch and ArDesk are members of ICN Group based in The words to describe the concept of In The Netherlands, we are also a partner make this development is by improving Netherlands. As one of the leading specialists with 23 years of “green building” and BIM? of Hogeschool Rotterdam, University of education. The knowledge that comes experience, and now more than 100 employees, ICN Group has Rotterdam, where we train teachers and A: Saving money—working with BIM, and close to the European. The second part is conquered a prominent spot in the Dutch industries of architecture, students in Autodesk Revit and BIM skills. saving our planet— with a green building. the experience with European companies With our knowledge, we would like to help construction, mechanical engineering, infrastructure and IT. Short, but clear. and culture, that plays a major role in the Armenian government, to set up a the whole development. So not only A BIM protocol. This is important, because Q: What are the key educational knowledge matters, but also the mentality programs in Armenia related to BIM all European countries and Russia, enter has to change. and tell us about your cooperation with into a partnership with companies, who Q: Ms. Mirzoianc what’s your story? technologies such as Building Vanadzor State Polytechnic University? work according to BIM-standards. This All this will reflect on business and is certainly an important matter that can economic development in Armenia. So, How did you get where you are today? Information Modelling (BIM). Thanks A: Right now, we are operating as simulate the Armenian economy to grow, more companies from abroad need to to our 23 years of experience in this Autodesk Training Centre (ATC) in A: I was born in Kirovakan (Vanadzor) in by working on foreign assignments. share their knowledge and start a business field, it was a logical decision. We want Armenia from two locations: Yerevan and 1980, where I lived until the age of 13. At in Armenia. And all Armenian universities to share our knowledge with educational Vanadzor. With our ATC headquarters in Q: Ms. Mirzoianc what are the benefits the beginning of the 90s’, I had to leave need to start with the student exchange institutions, professionals and also the The Netherlands, we have trained more of BIM generally and what are the Armenia with my family, as many other programs and collaborate with abroad government. That’s the reason why than 3,000 Dutch professionals in The benefits of BIM particularly in Armenia? people did. But, it has always been my even more! This is my point of view. from the beginning, we entered into a Netherlands over the past 20 years. Now wish to return someday and to contribute A: The benefit of BIM is less failure partnership with the State Polytechnic we offer also in Armenia a wide range of Q: What is your best tip for making the Dare to learn and grow through your to my hometown and country. cost and transparency of information University in Vanadzor. Autodesk and BIM courses such as Revit world a better place? mistakes and good criticism. among all parties within a project. Like After having lived in the Netherlands (MEP), Inventor, Fusion, BIM360, etc. Q: Ms. Mirzoianc please tell us about the calculations that are made of all A: People should be less selfish and learn for 27 years, where I gained enough These courses comply with European and the “green building” concept? How data. All this data leads to successful from each other… knowledge, experience and when life worldwide standardizations and are being fast is it growing here in Armenia? project delivery and less failure costs had put things at their place, I knew rewarded with an Autodesk certificate, what my contribution had to be. The A: We can split the ‘green building’ in up to 25%, just because the BIM model best way to help Armenia is through the two terms: Sustainable Building and introduction of advanced knowledge and Circular Building. technologies. So this goal was converted Sustainable Building is about the into the founding of our two companies in design and construction of buildings Armenia, ArchiDutch and ArDesk. and structures using environmental ArchiDutch and ArDesk are members of materials and building methods. These ICN Group based in The Netherlands. reduce environmental damage. Building As one of the leading specialists with materials and components that have a 23 years of experience, and now more longer lifetime are being used and could than 100 employees, ICN Group has be re-used. This spreads negative effects conquered a prominent spot in the Dutch over a longer period of time, lowering the industries of architecture, construction, annual impact on the environment. mechanical engineering, infrastructure Circular building. Well, it’s all in the and IT. name – the building process should be a Q: Ms. Mirzoianc what made you circle. Re-using materials is one aspect of think of investing in architectural the Circular Building concept. Although contemporary education in Armenia? more and more materials currently are recycled, a great deal of waste is still A: The Netherlands is known worldwide generated during the construction phase. as a leader in architecture and new ROAD TO SUCCESS
26 • AmCham • • Road to Success • • Road to Success • • AmCham • 27
staying in the capital with fewer benefits and the employee’s current and potential level A: I believe that the role or mission of HR opportunities for career growth, etc. This is professionals before and during the digital also one of our national traits of character of contribution to the organization. That was ‘journey’ is the same: Building the future HR Ms. Marina Meymaryan that can be re-thought and reconsidered one of the main challenges I faced myself in organization as the trusted advisor to the by society. The second challenge we face 2020 as an HR manager. The process had business. It is another question what set of is shortages of electrical, mechanical and dual dimensions; first, you had to explain skills is required to manage human capital in HR Manager hydro engineers at advanced-degree levels. thoroughly the concept to the managerial this new reality. With this in mind, of course, I understand this not a CGHC issue but a staff as they are the key players in the Technology and People Analytics are the problem of regional importance. However, talent review and get their buy-in for the critical areas in which we must excel as ContourGlobal Hydro Cascade during the past 5 years, we have created a process and after work almost individually HR professionals. CGHC has always been robust database of specialists we need in with each manager to bring the digital tool operating in the spirit of innovation trying our company and implement both classical into life. The result is that 100% of our staff to keep up with technological progress and EDITOR’S NOTE and sometimes very creative solutions to both in Yerevan and Syunik province have even anticipating thus. One of our latest get the right candidates at the place. clear competence profiles, assessment of achievements is the implementation of n her current role as Human Resources Manager at ContourGlobal Hydro target groups, successors for all managerial SAP SuccessFactors Employee Central Cascade Ms. Meymaryan is responsible for a full spectrum of human resources Q: Ms. Meymaryan what are the positions (including among the manpower software. SuccessFactors is a complete functions such as Recruitment, Learning and Development, Performance ContourGlobal Hydro Cascade leadership from all 23 CG countries) and development Human Capital Management (HCM) suite, Appraisal with about 150 employees on board. Her previous experiences style and organizational culture? plans. I consider this a huge progress for 100% cloud technology with a mobile include over 10 years in Human Resources in such spheres as construction, A: It is difficult to identify one existing this year and exemplary for Armenia. solution. It defines your organizational banking, consultancy on restructuring projects. leadership style for me. I would say structure and maintains all HR master data I Q: Ms. Meymaryan what was the that CGHC has a matrix organization from when a person joins the company, COVID-19 impact on your department structure keeping in mind that it operates through organizational changes to when and what are some forward-thinking in 23 countries. Thus, the leadership style the person leaves the company. Anyway, COMPANY’S BRIEF approaches the company invested can vary from each location and type of I think that digital transformations are just for working remotely to address the ontourGlobal Hydro Cascade (CGHC) CJSC or Vorotan cascade personality. One thing is crystal clear: it’s mediators to free HR managers to focus challenges of the pandemic? consists of three–level Hydro Power Plants (HPP) located on our organizational culture and values that on the most important component of digital the river of Vorotan in Syunik Marz (Goris and Sisian Regions) align leaders no matter where they work A: Well, I have to say that the Company transformation - People. And skills such using both river water and streams. The length of the river is and demonstrate role model behavior. If has invested in technology for years as empathy, coaching and leadership still you care about people’s health, safety, before the pandemic, thus enabling us to needs to be strengthened and excelled and 129 km, the waterfall is 1,333 m, natural annual flow speed is well-being, if you act transparently, if collaborate and coordinate across several will never be outdated. 18.6 m3/sec for Tatev Hydro Power Plant. Overall, the production capacity you strive for continuous learning, if you time zones, geographies and plants. In this C Q: Ms. Meymaryan what is the new is 404.2 MW and the annual average planned production is 1.11 billion emphasize communication, collaboration sense, we were extremely well equipped organizational strategy and tactics and coordination (3Cs) then you are a true to continue working when we are home. kW/h. The highest-pressure station in the cascade is the Tatev HPP. The toolkit to increase the productivity and ContourGlobal leader. Our mobile devices and laptops have the plant is known for its bucket turbine which was the first to be operated in effectiveness of the company? right software and applications installed The structure of the CG Hydro Cascade is the former USSR. The self-cost of the 1kW/h electricity production is the and employees know how to use these A: In my opinion, maintaining productivity is composed of three vertical functional teams: lowest in Armenia. programs and to access our network. The the biggest challenge nowadays. It’s critical Corporate, Operational and Financial, first four weeks have been a stressful time that we mustn’t lose sight of long-term related to each other via dotted line and for all departments indeed, keeping in mind strategies around. As I already mentioned with a full spectrum of policies/processes report to their direct functions with a solid Q: Ms. Meymaryan what made you that CGHC is an uninterrupted operation we have implemented in ContourGlobal that successfully work till now. line. consider HR as a profession? How and we couldn’t shift into a 100% remote Hydro Cascade several digital tools to did your career path take you to the Q: Ms. Meymaryan please tell us about working regime. A special COVID-19 Task secure uninterrupted Operations. However, current position of an HR Manager Q: Ms. Meymaryan what are the the ContourGlobal Hydro Cascade Force was created to coordinate all related digitized methods have also led us to the with ContourGlobal Hydro Cascade ContourGlobal Hydro Cascade operations in Armenia, in terms of HR actions, communications, or decisions with enormous stream of emails, meetings and If you care about people’s health, (CGHC)? succession planning steps and what department challenges and contribution projects are you working on? the working groups. Members of the working distractions that many of us are not ready to safety, well-being, if you act groups dedicated a significant part of their deal with. One of the tools we are equipped A: The more I think about this the more I to the development of the operation? transparently, if you strive for A: According to statistics (the National time and effort to ensure business continuity. in CGHC to measure and find work-life realize that choosing the HR domain was continuous learning, if you emphasize A: Well, I have to say that CGHC accounts Association of Corporate Directors), fewer The steps we applied against the emerging balance is MyAnalytics. This is an extremely an intuitive decision. I do believe that for roughly 15 percent of the installed than one in four private company boards say crisis were grounded in our values and useful weekly report that shows your activity communication, collaboration and for thinking minds intuition always tells capacity of Armenia’s electricity system. It they have a formal succession plan in place. therefore we put people first. All decisions trends and helps us to plan based on our coordination (3Cs) then you are a true where to look next. From the rationale is a strategic industry business with a 24/7 were informed by our commitment to put our activity. MyAnalytics will schedule 1-2 hours ContourGlobal leader. angle HR gives a broad spectrum to uninterrupted operating cycle. Being part We take this process in CGHC responsively health and safety first and promote health on your calendar to focus daily, during focus shape and influence the culture of the of the team in CGHC means full awareness and believe it’s vital for a business that and well-being. time, Teams chats will be muted to help you organization, with all the challenges and of the significant role it plays in the energy leaders take the time needed to assess concentrate, explore collaboration habits responsibilities it may contain. It’s diverse Q: Ms. Meymaryan what is the new normal system of the Republic of Armenia. their organization’s succession planning. and inform on days without interruptions of and the roles and responsibilities in the HR In 2020 ContourGlobal embedded a new of HR recruitment and management? One of my main challenges as an HR meetings, emails, chats and calls outside process are never static. Those are even 6 step approach for Talent Review with manager is the recruitment and staffing A: First, we must accept that COVID-19 will employees’ working hours. This is just one more critical, nowadays, in harmony with respective online applications facilitating due to two aspects of the business (or carry on with us into 2021, so we need to example of how to help our people to focus company strategies and policies. It’s never all steps of the Talent Review/Succession maybe national mindset): the geographical learn to live with it and all talks about clarity and stay productive! monotonous with at least 10+ dimensions process. Our method is a future-focused, split between the plants and locations. and turbulent times are already outdated. you must orchestrate, starting from fact-based, action-oriented process that Q: Ms. Meymaryan what will be your We are very limited in choice when it The topic is so broad and largely discussed. Recruitment, Performance, C&B, Training reinforces the organization’s readiness to advice to the AmCham HR business comes to search for vacant positions. Very Internet is flooded with tons of digital tools and Development and many more. meet the current business demands and community? often the search must be done from the and improvement tactics so they can easily ensure future growth. We can say it is a few villages located nearby the specific trap HRs into implementing too much and A: My independent approach and advice It was late in 2015 that Cascade sustainable talent data storage and tracking power plant and it significantly narrows losing sight of our direct mission. At the end are finding a golden balance between the Consultants (my alma mater) undertook system that supports the management in our opportunities. I often wonder why of the day, it is the “Happiness Index” and endless flow of innovations and the core the full reorganization process of CGHC, making objective people decisions through many young specialists from Yerevan (or the well-being of our people that matters. results we need to reach. Hire the right Vorotan Cascade, by that time, with me reliable analytics. as a key account manager on board. After other regions) consider Goris far enough Q: Ms. Meymaryan did your role as an HR people, onboard them in a proper way, a year of intense and sometimes tough and refuse to take the chance to work The 9-box Talent Capability Assessment professional change in the digital world put enough trust in them, and people will implementations, we could say that new for an international company with such Matrix was also a quite handy tool for the and what digital mechanisms are you find the way to pay off the company with modern style structures were embedded a promising experience ahead! Instead process. It has facilitated the evaluation of applying in your operations? demonstrated loyalty and professionalism…
29 Serving Customers and Consumers Serving Customers coronavirus Since the outbreak began, our been focused on ensuring we have delivered products are the stores safely to and communities that need them, while to protect our taking every precaution well-being. employees’ retailers and Local grocery stores, ensure hard to restaurants are working food, beverages families can get the and supplies they need during challenging this are doing everything we can to time. We support these businesses and everyone they serve. Supporting Our Communities The The Coca-Colaand system Coca-Cola Foundation, the philanthropic are Coca-Cola The Company, arm of making contributions support relief to are also around the world. We efforts redirecting of our marketing a big part spend for community relief programs, medical supplies and equipment during the outbreak phase, as well as developing other actions for the recovery and back-to- by normal phases in markets hit hardest the pandemic. Ministry of Health and CCHBCA Namely, agreed to supply with Bonaqua of RA bottled non-carbonated water /marked donated with special labels “Be Healthy, by Coca-Cola” to health workers and COVID-19 infected people of “Nork” the infectious clinical hospital till the end of Armenia, emergency period established in about 56,000 liters. The Coca-Cola Foundation Going forward, and the United Nations Development Program (UNDP) provide global and situation. improve the local solutions to Based on the list of necessary medical equipment provided of by the Government The Coca-Cola Armenia, the Republic of supplied Foundation jointly with UNDP emergency medical equipment to local medical institutions, which, being portable, makes it easier to provide medical care anywhere. you change did Sahakyan how Q: Mr. your marketing and sales strategies and the consumers’ adapt to you do how needs? Facing the challenges posed by the COVID-19 pandemic, today we have and all our reconsider our strategy to have adapted marketing and priorities. We communication materials according to the respond quickly tried to normal. We NEW our consumers to the situation by offering ways in their favorite drinks in different accordance with new opportunities. From the first days of the pandemic, an operative team has been formed to steer • AmCham • AmCham • resulted most rapid in the transformation home has from the workplace. Working of totally new routine become a new and the digitizing we’ve gone from normal, and the relationship between and employer us period has required This employee. we as all be supportive of one to another, some has to Control all face uncertainty. People are to trust. extent given way learning how to do work disparately and with far less oversight: they are learning and what doesn’t “on the job” what works and holding virtual meetings home, work at have happened but might before that never to such an extent. physical Going forward, the employees’ and psychological health is also vitally the Thus period. important during this Assistance Company provides Employee Program (EAP) to employees, helping employment manage any personal or to matters – health, relationships or financial – that might impact their wellbeing and work performance through receiving which free, professional services for program is are available EAP 24/7. extremely important nowadays and can support our employees experiencing fear or emotional stress increased anxiety, surrounding COVID-19 outbreak. the services are provided via digital EAP The platforms (including apps), phone and online meetings. is how we managed to up, this sum To keep engaged our people. and care about global the is Sahakyan what Mr. Q: strategy system that the Coca-Cola has What are the top 3 factors adopted? that support the business operation and how did you manage it? A: Our Company vision is evolving towards becoming the leading 24/7 growing in business by beverage partner we with our customers and ensuring that have a beverage for every consumer at are any moment around the clock. We operating in a fast-growing industry and, thus, the victory with our existing portfolio and the introduction of new categories, like Premium Spirits, help us capture the incremental opportunities needed for the operate in this We accelerated growth. business by empowering our team; we build trust by operating our business in responsible and sustainablemanner a and by contributing to our community’s enrichment and environmental protection. Protecting Employee Health and Well- being the Coca-Colaof system The safety Around employees is our highest priority. the world, local teams have closely followed guidance from health authorities to protect the health and safety of production, employees across offices, distribution and retail facilities. • Road to Success • Success to • Road the adoption curve almost overnight. A A overnight. curve almost the adoption world in which digital channels become cases, sole) (and, in some the primary customer-engagement and model, a primary processes become automated driver of productivity—and of the basis and stable supply flexible, transparent, chains. Now is the time to reassess digital initiatives—those that provide near- and customers, employees, to help term to which stakeholders the broad set of businesses are increasingly responsible postcrisis a position you for that and those world. Even this unprecedented crisis innovating and stopping us from is not getting ready for now and for tomorrow. short and long-term overcome We challenges post-pandemicof the world digital opportunitiesby seizing new to simplify our interaction with customers “As part of our objective serving of customers and consumers we have started several projects to drive digitalization, enabling new and more our partners to offer service shopping,namely food safe aggregators, online supermarkets. Sahakyan that do you think Q: Mr. this in replace people will technology new this reality during fast-changing normal? A:the ‘new live accepting to world is the As caused by the sudden outbreak of normal’ the COVID-19 pandemic, the technology around us is going to change in ways The COVID-19 pandemic more than one. has accelerated many key technology trends such as digital payments, online shopping, remote work, e-commerce, distance learning, online entertainment, telehealth, robotics and much more. These technologies can help reduce the spread of the coronavirus while helping can Technology businesses stay open. help make society more resilient in the face of pandemic and other threats. During the COVID-19 pandemic, technologies are really playing a crucial role in keeping our society functional in lockdowns and quarantines. a time of And these technologies may have a long- The lasting impact beyond COVID-19. pandemic is going to change how we do business, how we work, how we produce goods, how we learn, how we seek medical services and how we entertain ourselves, and technology will hold the answer to might replace these questions. Indeed, it certain professions, and at the same time will create new ones. do you embrace Sahakyan how Q: Mr. the cultural and behavioral shifts during that have been introduced COVID-19 and what are your leadership challenges? A: response has to COVID-19 world’s The
• Road to Success • Success to • Road the virus while supporting the needs of our customers, consumers, employees have – and always and communities. We will – put the health, safety and security Our approach of people is grounded first. purpose, which in our company’s continuously strive to we ensures that for the people in our make a difference communities and our workplace. rapidly changing situation a is This that we are constantly monitoring. We are continuing to take guidance from and governments and health officials, and responses around adapt our efforts the world as needed. think you do Sahakyan what Mr. Q: about how the companies need to platforms to the adapt their digital crisis and what Coca-Cola HBC has done in that direction? A: crisis seeminglyThe COVID-19 provides a sudden glimpse into a future world, in which digital has become central to every interaction, forcing both organizations and individuals further up • AmCham • AmCham • oca-Cola Hellenic Armenia CJSC is a subsidiary of one of the oca-Cola Hellenic largest producers of soft drinks, Coca-Cola Hellenic Bottling world’s Armenia and Moldova Business Company and is part of the Ukraine, operated in Armenia CJSC, has Unit. Coca-Cola Hellenic Bottling leading companiesin the the one of our country since 1996 and is rthur Sahakyan was born in Yerevan, Armenia. He graduated Armenia. from Yerevan, born in rthur Sahakyan was Department Economics. During of last 10 State University, Yerevan Armenia managerialCoca-Cola roles at HBC years, he held different Commercial Excellence Manager, Marketing like Sales Manager, He was responsible for preparation and implementation of Manager.
COMPANY’S BRIEF BRIEF COMPANY’S EDITOR’S NOTE EDITOR’S A Q: Mr. Sahakyan how did you plan the plan you did how Sahakyan Mr. Q: address to operation Coca-Cola HBC the challenges of the pandemic of COVID-19? A: COVID-19 has created an extreme situation where most employees are location, required to work from a different in many cases from home. For some organizations, this global event has significantly altered the preconception, that agile teams must be physically and it has already located in an office demonstrated, that they can be highly in a remote setting. In productive even reduce recommendations to line with large gatheringsand increase social distancing, Coca-Cola Hellenic Bottling Armenia has asked the Company employees majority of office-based thus ensuring that to work remotely, everyone has the requisite infrastructure support remote and technologyto working. These are challenging times for everyone, which is why we are doing our part to help prevent the further spread of non-alcoholic beverage industry in the country. It is the sole authorized bottler is the sole It non-alcoholic beverage industry in the country. consumer-leading Armenia, offering The Coca-Cola Company in products of and ready-to-drink tea, coffee sport, energy, brands in the sparkling, juice, water, premium spirits categories. commercial strategy, annual brand plans developing, portfolio management and commercial strategy, Arthur Sahakyan holds the position of the General Manager Mr. others. Currently, Armenia CJSC. at Coca-Cola Hellenic Bottling Company C
Coca-Cola Hellenic Bottling Company Armenia Company Hellenic Bottling Coca-Cola General Manager General Mr. Arthur Sahakyan Mr. 28 I had in my life. and 2020 was the biggest lesson that ROAD TO SUCCESSOpportunity comes through learning, ROAD TO SUCCESS
30 • AmCham • • Road to Success • • Road to Success • • AmCham • 31
our marketing and sales activities in the turbulent environment. We consider it our duty to stand alongside and support our We tracked the consumption habit changes and the emergence communities in difficult times. We express our infinite gratitude of new habits due to the lockdown, like family breakfast/lunch at to the healthcare professionals who are on the front line. We home, work breaks at home, online schooling and in collaboration do believe that soon the situation will get better and the values with our retail and HoReCa partners offered relevant products we are displaying of solidarity, agility, caring for our people and Ms. Mariam Santrosyan and promotions to address the emerging needs. communities will continue to endure. As to the shopping habit changes, we have concentrated our Q: Mr. Sahakyan what would you wish for the AmCham Head of Debt Collection Department, Attorney efforts on supporting existing e-commerce and delivery services Leading Business Community? to drive the habit of more safe shopping. Besides, we have Delex Law firm The rapid changes taking place in Armenia accelerated first launched a project to create new platforms for our partners to by COVID-19, then by the conflict in Artsakh, have made it New Brand of Concern-Dialog CJSC enable them to start selling online. increasingly necessary for American businesses to stand I can say that consumer behavior has changed, and we are trying together. At AmCham, we bring together distinct voices in the Specialized in Debt Collection to adapt it according to their expectations. We offer what they community with different points of view, so that we can develop a need, and it is beneficial because all this allows many customers greater understanding of issues from more than one perspective. to get used to new shopping methods, which will continue to be In doing so, I believe we will make better decisions, achieve EDITOR’S NOTE actual even after the pandemic. greater success for ourselves and our companies, and support ariam Santrosyan joined “Concern Dialog” law firm in September Armenia’s social and economic growth via creating a favorable Going forward, also, the Coca-Cola company ceased its 2016 as Junior Associate. Later she was upgraded to the position business environment. advertising activities, thus joining its efforts to support COVID-19 of Head of Ongoing Monitoring Unit. Now she is the head of debt relief projects in the affected communities. I do believe that AmCham members have a unique perspective collection department. and expertise to offer. Continue to create a world-class business Q: Mr. Sahakyan “Today, Being Apart is the Best Way of From 2009 to 2013 Ms. Santrosyan studied at Yerevan State chamber for us, where you will always be welcome and where Being Together.” How would you describe this quote from MUniversity, Faculty of Law and obtained a Bachelor’s degree, there is always someone to lend you a helping hand. Because Coca-Cola by connecting to the experience you had with the that’s what community is all about. Continue to assure a favorable From 2013 to 2015 made her Master’s program. company? business environment for the private sector to operate, as well as She is a member of the Chamber of Advocates of the Republic of Armenia since How we respond to the rapidly changing situation will define how a constructive working relationship with the government to make 2018, http://www.advocates.am/advocates/view/2533.html” we get through this together. We do recognise and thank our meaningful input in the economic development of the country, as people for keeping our plant running and supply chain open, and well as to provide best case examples from international leading all our people maintaining the vital link with our customers. It is businesses… essential and highly appreciated work for our communities and COMPANY’S BRIEF for our business. Many of our employees, facing up to new ways ONCERN DIALOG Law Firm was established in 1998 as a company of remote working, find every possible way to support colleagues for the provision of litigation and representation services mostly through this, as a result of their flexibility and commitment to for individual clients. Starting from 2002-2003, the firm developed keep our business moving. services for corporate clients. Although it is a formal Corporation, it is perhaps the first company in Armenia that has implemented CPartnership principles (non-formal) of decision making. In addition, the firm is completely employee-owned. At present, the firm provides services of both litigation / representation and legal advice. At the same time, we believe that specialization is crucial for providing high-level services, and therefore we limit our major practice areas - see the list of our services http://dialog.am/en/services/view/service/355 Results Matter As mentioned above, we continue to provide litigation / representation services in Armenian courts and during arbitration, and litigation practice is still one of the major practice areas of the Company. Besides general business law, we specialize in the regulation (including telecommunications law) and legal issues of energetics (including tariff regulations).
Q: Ms. Santrosyan what’s your story? opportunity, as the firm already was Please tell us about yourself. How one of the biggest and highly reputable did you get to where you are today law firms at that time. I applied for the career-wise? position, went through a very competitive recruitment process and was happily A: I graduated from Yerevan State selected to join the firm and start my University (YSU), Department of Law. I successful journey with it. Shortly, am a practicing lawyer. I'm leading the I was promoted to the Head of the Debt Collection Service at Delex Law Negotiations Team, and in August 2019 I firm. was promoted to the position of the head I joined the Concern Dialog law firm in of the Debt Collection Service. 2016. After completing my master’s Q: Ms. Santrosyan how did the degree at the YSU I was looking for a rapidly changing scene of COVID-19 job and came across the announcement change the organization’s and your for a junior lawyer in the collection team department’s workflow? of the firm. I believed it could be a good 32 • AmCham • • Road to Success • • Road to Success • • AmCham • 33
A: Due to COVID-19, the nature of the claims per employee per day) per day, a case or for other activities short of the Q: Ms. Santrosyan what would you work of the debt collection team has and afterward to follow up each and every physical receipt of money by the client. change about your department’s work undergone quite a few changes, as our case via automatized reminders and if you could? The mission of Delex Law firm is to work involves close daily cooperation alerts. release the client (the creditor) from A: As mentioned above, in the Delex with the debtors, as well as interactions During the work, we learned that one of various problems in the debt collection Law Firm, the new brand of Concern- with the courts and compulsory execution the main complaints of the clients from process, from data processing to the Dialog CJSC, we are following Kaizen service. the debt collection service providers is recovery of the collected debt to the client, philosophy/methodology, which means The firm immediately switched to a remote the absence of the ability to timely provide while maintaining the client’s reputation we are constantly changing the products work practice to ensure the health and reports and information on the status of and goodwill, and to charge the client and processes. This is a path to constant safety of its employees, using different the cases. As the whole process in Delex from the value created, that is the money improvement, and we try to eliminate online communication platforms (e.g. is done within the software, all the data physically recovered. additional procedures, steps, and to exchange via WhatsApp, Viber, Telegram, is stored there. If necessary, the client is improve the remaining ones, including Q: Ms. Santrosyan, recently Concern in addition to email, as well as other provided with access to software, which where possible by automatizing those. Dialog received the highest score of electronic solutions) for meetings and in turn ensures full cooperation with the And all those changes are implemented 10 by Top Ranked for both Banking negotiations. Also, further improvements client, all the tools necessary to control not only from top to bottom proposals & Finance and General Business in procedures were introduced, which and oversee our work, as well as to but also from the bottom up. All the Law fields in the Armenian legal allowed in the few cases where in person generate necessary reports. employees are encouraged to suggest market. How does this achievement visit was a must, to manage the process any improvement to their work, which is In addition to that, we are in process of promote the firm’s professionalism in within one visit, instead of several visits. being meaningfully discussed and many linking the database of our collection international law firms? of those are being implemented. Besides, thanks to the Supreme Judicial software with the Datalex.am information A: Concern Dialog law firm was and is Council’s direction we adapted our system, which will allow us to have fully up Besides, we are running continuous known for the highest standard of services. operation to an electronic document to date status information before the court training of the different teams for legal This effort is noticed by practically all the circulation process, sending the notifications will reach the firm, or before and soft skills development and further major ranking firms: Legal500, Chambers documents to the courts electronically the employees will fill in the data while encourage and motivate the team to show and partners, Benchmark Litigation, and following them up online. checking the status after the pre-defined better results. IFLR1000 and now TopRanked. We also time has passed but the document has The Fall War 2020 was and still is another expect the ranking results by Pravo.ru 300 I think Delex does not need any dramatic not received). challenge, as the whole nation was International, Who is Who legal arbitration changes, and if we keep up the phase with saving and transferring the savings to the Another improvement underway is the and some others. the chances via constant improvement, I different funds and to assist the army and full integration of the call center software am sure we’ll be able to deliver always up come), as well as to allow sending the years ago it was enough to be a lawyer Delex Law Firm is committed to the same volunteers. On another hand, the clients to the e-doc system, which will allow the to date services to our clients. documents via email. E-justice systems are (in very few cases the clients would be level of service, as although under a also needed to get the debt owed to them call center specialists to undertake more being developed and extended constantly. asking on the specialization), now the different service mark, the firm, traditions, Q: Ms. Santrosyan what do you wish for their financial good standing and the calls during the day and more targeted At the moment we are working to integrate specialization and relevant positioning is quality control is on the same high level. the AmCham business community in stability of the economy. I can consider ones. We aim at 250 effective calls per our internal documentation system with very important. That is one of the reasons, All these recognition and rankings are the new reality of the current world? being happy that practically all the clients team member per day, which requires the e-justice system of electronic filing of the firm has decided to establish a new obliging and rewarding, as those rankings in some cases with our assistance have us to improve the integration and calling A: I wish both AmCham Business payments orders being tested in Yerevan brand name for the debt collection service are based on the feedback by the clients developed some special approaches to techniques and to implement some limited Community and Concern Dialog and court for the first instance. – Delex law firm – to stress the specialized and the colleagues, and we try to give the situation (including forgiving penalties, nature of the service and to position it AI capabilities within the system. Delex to expand in their field of operation Compulsory electronic system back to the legal society, by sharing our opportunities to extend timetables, etc.), separately from the other services of by involving new partners and keeping improvements are taking place constantly. Based on the Company’s experience knowledge and skills, investing in state- which made it possible for the team to the Concern Dialog law firm, which is their leading role despite all challenges. If earlier one had to constantly call or visit accumulated over the years, an electronic owned e-justice solutions, working with fulfill their task. usually seen by the potential clients as a We do wish mature fruitful cooperation to check the status of processes, now system(s) has been developed for the stakeholders to improve the overall firm capable of solving very complicated, for Concern Dialog and the AmCham In general, I believe we managed to many of them can be followed on their relevant processes and document level of the legal services in Armenia. sometimes never-before-solved issues, business community in general. address the 2020 challenges and meet official webpage. The same is with the management and are regularly updated. as well as for complex, high-value the expected results. Moreover, during status of the court cases to be checked on Unique approaches have been developed transactions, court cases and arbitrations. this period we managed to gain two more datalex.am. to analyze different problems and solve major new clients, and now extensively Working under the new brand name Delex, them. All these upgrades of the software, Artificial Intelligence (AI), blockchain and are processing their cases, and I am sure will allow us to showcase the specialized as well as improvements of the internal other emerging technologies also change we’ll manage to clear their backlog before service, to advertise to new possible procedures, allow us constantly to the way lawyers work worldwide, but they the end of the year. clients, and to be perceived as a focused improve the quality of the debt collection are not yet part of the Armenian practice. I service, and namely to shorten the time Q: Ms. Santrosyan how is the legal debt collection boutique service. am sure shortly those will be implemented of the factual collection of the debt, as services sector changing and how do here as well. Q: Ms. Santrosyan what steps have well as to decrease the chance of human- you see the Delex adapting to those you taken (technological or otherwise) related mistakes, or at least to find and changes? To be able to cope with those changes, to streamline the Debt Collection eliminate those at a very early stage. Delex tries to be one of the first to implement Department’s practice? How did the Quality assurance is one of the important A: The legal profession was considered the solutions. For example, in 2010 digitalization help in your field or made parts of the service. one of the most conservative ones. But when the debt collection was something even that is changing rapidly, and the things harder? completely new to the Armenian market, Another major improvement at the time of change is accelerating constantly. Earlier, Concern Dialog started the development A: Delex’s debt collection services are implementation was the Fee Arrangement. one had to have printed legislation, now of the first software solution, which was provided through a special debt collection We were one of the first firms to provide practically everyone is using online updated to up to version 8, and was software designed to process and service exclusively based on the result. resources such as arlis.am. The court abandoned in favor of a completely new coordinate a large number of cases on Back in 2010, the firm offered to the cases were not mostly accessible, now more sophisticated software which is now all phases of the collection – from initial client to receive a fee (percentage) from datalex.am has a good search mechanism. being used and further being improved calls, judicial processes, enforcement and the factually collected amount, rather During the COVID-19 pandemic, the every week. other relevant legal and soft collections than a processing fee, hourly fee, or fee procedures. The software allows us to for winning this or that stage. Now, this Supreme Judicial Council has adopted In addition to the technological changes, send an unlimited number of claims has become standard, but still one can several recommendations, allowing online the perception of the legal services in (usually, that makes around 50 and more meet companies requesting additional hearings (we never had yet, but it is to Armenia are changing as well. If several payments for processing or for winning FEATURED ARTICLES
34 • AmCham • • Featured Articles • • AmCham • 35
MS. KARINE ABRAHAMYAN DIRECTOR ArchiDutch Armenian Branch
MR. ARAM SAGHATELYAN CHIEF ARCHITECT ArchiDutch Armenian Branch VIRTUAL CONSTRUCTION IN A DIGITAL ECONOMY
With the progressive development of for every aspect of the physical project. • Model-Based Cost Estimation people, technologies are evolving by BIM allows projects to be built virtually • Safer Construction Sites leading us to a better and safer future. before they are constructed physically, The current stage in which we are, along eliminating many of the inefficiencies and • Green and Sustainable Buildings with the pandemic, leads us to the need problems that arise during the construction • Improved Scheduling and Increased for more effective resource and cost process. Productivity management, considering the limited The current age is the era of the natural resources. The main question • Preconstruction Project Visualization digital economy. In this time virtual we need to ask ourselves is how can we construction, the BIM technology creates make sure that the buildings we create are Building Information Modeling has a great step to our new reality and life. green, sustainable and with low costs of become an invaluable concept with an It plays an immense role in architecture, failure? The answer is Building Information abundance of benefits for the construction engineering, construction, and real estate Modeling (BIM). industry. Projects utilizing BIM have a management. BIM has, within the digital greater chance of success and maximize BIM is the process for creating and economy, a major impact on a broad scale effectiveness for every stage of the project managing all of the information about of the whole construction process: lifecycle and beyond. a project simultaneously, leading to an • Reduced Costs and Mitigated Risks output, which contains digital descriptions (about 30% decrease) FEATURED ARTICLES
36 • AmCham • • Featured Articles • • Featured Articles • • AmCham • 37
illimity, Italy’s first cloud-native bank, used RPA tools to fully automate employee loan processing, which resulted in savings in time and resources. An average saving for an employee was estimated at 15 hours a month. MR. GURGEN ARARKTSYAN RPA overtakes repetitive, rule-based “Despite the pressure from the COVID- • The tasks performed are subject to tasks, which consume significant labor 19-induced economic recession, the human error or include sensitive data. SENIOR OPERATIONS MANAGER RPA market will still grow at double-digit time, and eliminates the risk of errors due Significant execution volume is an rates through 2024. The key driver for to manual work. This enables employees additional business prerequisite for RPA RPA projects is the ability to improve to focus on more productive work that implementation. These types of processes process quality, speed, and productivity. can eventually contribute to the digital provide better ROI and assure that Using these tools, technology and service transformation journey of the company. resources spent on implementation are providers can quickly make headway on RPA is all about automating the most not wasted and the impact of automation their digital optimization initiatives.” mundane and repetitive computer-based is long-lasting. INDUSTRY 4.0 WITH ROBOTICS tasks and processes in the workplace. Forecast Analysis: Robotic Process There are many examples of common Automation, Worldwide, Gartner, Finance, Marketing, IT and HR are the PROCESS AUTOMATION tasks that can be automated such as September 2020 key implementers of RPA, but this range data maintenance, copy-paste, website is expanding as the tools become easier Where can RPA be used? scraping, account reconciliation, order to use and more users find opportunities Dr. Klaus Schwab introduced the phrase advancement, and innovation. and priced them based on usage. They processing, e-mail processing tasks or Successful implementation of RPA to enhance the performance of their Fourth Industrial Revolution in an article uncovered new sales models such as simply moving files across locations. The requires a clear and definite function by automating tasks. An important Organizations all over the world struggle published in Foreign Affairs. Though lease, subscription-based pricing, and best thing about RPA is that it requires understanding of processes. Many small consideration with RPA is that it is made in an endless race towards higher the phrase was popularized by world per-usage billing. This democratization low or no coding to automate business and medium businesses do not have well- for business, implemented by business, efficiency through automation and leaders during the annual meeting of the of technology made much-needed processes. This empowers employees defined processes. This is the biggest and meant to serve the business. Most innovation. For many, this resulted in a World Economic Forum in Davos back systems and tools accessible to from different disciplines to use and hurdle for any business considering RPA of the time, process owners mistakenly radical change in the way they operate in 2016, the underlying processes had businesses of any size at a cost they benefit from software robots. implementation and can create blind identify RPA implementation as an IT and significant investment in systems and begun long before that. Fourth Industrial can afford. As massive investments on spots in automating tasks. project. Empowerment of process owners tools. Companies prioritize and handle Revolution or Industry 4.0 is the use years-long complex operation system Low implementation cost, short Return on with tools and resources needed to change differently. Larger enterprises The good practices provide specific criteria of smart technologies to automate and integrations are becoming a thing of the Investment (ROI), employee satisfaction automate their processes is what drives are accustomed to constant investment and guidance for identifying and choosing increase the efficiency of production of past, the democratization of information and ability to easily and cost-effectively RPA. Research shows that the majority in change, as they seek continuous possible RPA friendly processes: goods and services as well as to serve technologies gives small businesses the integrate legacy are the key drivers of of successful RPA implementations were improvement in processes and increased as a foundation for the new discoveries opportunity to compete operationally with RPA application across the industries. In • The process must be repetitive or driven by immediate process owners, efficiency in execution. Backed by sizable yet to come. Artificial intelligence, big their larger peers. recent years, there has been a significant trigger-driven, regardless of their tech background, budgets, these businesses adopt the data, machine learning, internet of things, increase in RPA use. Gartner, a leading while many of the failed projects revolution more naturally. For their smaller Though the availability and affordability • The process must be well-defined (rules 3D printing, robotics and augmented research and advisory company, reports were delegated to IT functions not peers, this is a constant survival battle. of technologies are pushing this exist for every possible outcome), reality are the key technologies that drive that the RPA market grew by 62.9% in possessing a clear understanding of the A trade-off between core business and transformation forward, they are not • The process must have a manual Industry 4.0 today. These technologies 2019 is going to grow at an even greater core process. investment into future growth. They must enough as they are. Legacy systems load due to the lack of functionality of have already resulted in many remarkable rate in 2020. prioritize investments, make big bets on that in many cases are almost impossible a business system discoveries over the last few decades, but emerging technologies and time these to replace remain a significant drag for the process continues and does so at an perfectly with near-zero tolerance for error. countless businesses, while the rise of ever-increasing pace. While advances multitude of platforms within the same and mass availability of technologies kick- System integrations have always been operations has created new challenges PharmScript, a pharmacy provider to care facilities, implemented RPA to fully automate the started the Fourth Industrial Revolution, costly and required significant time. This of integrity and interconnectivity. These processing of medication bills across more than 140 facility locations, ending up in saving more than it is the global competition, hyper- has been the biggest drag for the digital issues force many businesses to run connectivity and thrust for innovation that transformation and eventually led to a 90 team hours per month. a huge number of manual repetitive forces it forward. Businesses of all sizes technological revolution and emergence processes consuming enormous have no choice but to jump in, compete of service providers that focused on employee time and increasing the risk of and evolve. This ensures rapid growth, making systems and tools available errors, fraud, and inefficiency. RPA has been piloted, integrated, and put • HR professionals use bots to prepare keep on investing heavily to broaden the into production by many companies all and disseminate periodic documents areas of use. Moreover, many software Louisiana-Pacific Corporation, an American building materials manufacturer, started using Robotics Process over the world: private and public, small to employees. giants, who provide traditional business and large, across most industries. Most systems, have started to adopt and • Finance staff use bots to make periodic Automation (RPA) to automate invoice processing, get rid of paper invoices and implement a fully automated implementations include the following provide RPA capabilities to complement reconciliations with external data approvals process. Then, the company spread the use of RPA throughout several processes, which resulted scenarios: the products they offer. sources including bank statements, in significant savings. They estimated to have annual savings on paper only amounting to 150,000 USD but • Organizations use robotics to compile vendor reports, service provider APIs. RPA tools provide great opportunities for considered the real saving to be the productivity achieved. customer information into dashboards • Retailers use bots to optimize refunding small and medium businesses to enhance significantly reducing customer serving when processing returns. productivity and achieve operational Labor-intensive execution of business employees who would resolve specific mostly repetitive and time-consuming time both in call centers and in-person. savings, which will eventually broaden • Software robots are used to automate business boundaries and expand the processes creates scalability dilemmas business process automation issues and actions of a human working with various • Robots are used to process invoices Know Your Customer procedures or market. Digital transformation is inevitable as they are often performed at near- this need gave birth to RPA or Software applications to execute a business received and make data entry in complement existing KYC systems. and taking your business through that maximum loads. Businesses waste Robots. process. The so-called “robots” or “bots” business systems saving substantial transformation will be key to remaining time and effort in achieving efficiency in RPA are software/virtual robots, which labor time and eliminating the risk of • Insurance companies make bots What is Robotics Process Automation? competitive. The sooner you take on this on these processes and often get stuck are programmed to imitate human errors. process majority of the insurance at performance volumes, thus create Robotics Process Automation or RPA interaction with a computer to perform a claims. journey the better. artificial maximum capacities and barriers is the use of automation software on large number of repetitive tasks - quickly • Robots are widely used in customer for themselves. These inefficiencies physical or virtual machines to emulate and error-free. onboarding flows. They can extract, The scenarios and possibilities of RPA shaped a need for solution-empowering validate, enter data into systems. applications are limitless, and providers FEATURED ARTICLES
38 • AmCham • • Featured Articles • • Featured Articles • • AmCham • 39
Convention for the Protection of Individuals with regard to Automatic Processing of Personal Data stipulates that “Personal data undergoing automatic processing MS. NARINE shall be: a. obtained and processed fairly and BEGLARYAN lawfully, PARTNER, ATTORNEY b. stored for specified and legitimate Concern Dialog Law firm purposes and not used in a way incompatible with those purposes, c. adequate, relevant and not excessive in relation to the purposes for which they are stored, PROCESSING OF PERSONAL DATA d. accurate and, where necessary, kept up to date, AND ITS REGULATION IN ARMENIA e. preserved in a form which permits identification of the data subjects for no longer than is required for The growing automation of the current Processing of Personal Data3, this race, nationality or ethnic origin, the purpose for which those data daily operations of the business entities approach complies with the definition of political views, religious or are stored”. and the role of digital technologies in the “personal data”, namely “any information philosophical beliefs, membership The principle-rules stipulated by the economy constantly address the issues relating to an identified or identifiable to the trade union, sex life (personal Constitution and the Convention related to the regulation of personal data individual”. data of a special category); are reflected in the Law. Its practical processing. We hereby aim at focusing Examples of personal data may include significance is that: on certain rules to be observed during • The natural person’s confidential • The Employee’s personal data to the collector, and the further processor of the following: the personal data by the assignment of the personal data processing. We will medical information (as prescribed be protected by the Employer (as 1. personal data shall be processed, 5 the collector comply with the same rules start discussing personal data and other • Passport data, date of birth, voice prescribed in the Labour Code and as well as be stored in compliance in the Law (special or biometric set forth for the processor of the personal general issues, then we will move to the the Guideline by the Personal Data with the requirements prescribed and appearance of the natural data, depending on the content of data. Practically it means that the company principles of personal data processing and person; Protection Agency6). by law, consider certain separate rules thereof the information) and the RA Law on receiving personal data, as a general and finally focus on the liability for violating • Information relating to the person’s Medical Assistance and Service to • Information on the natural person rule, should transfer the personal data to 2. the personal data should be 4 the rules of personal data protection. the Population ); disclosed during the provision of another processor upon the consent of processed upon the consent of the personal data subject10 for carrying services to the natural persons the personal data subject except What are personal data and its out the processing with the purpose and (banking secret7, insurance secret8, processing? in the volume specified in the consent. for the cases provided by law types of electronic communication when the consent of the subject 9 Moreover, any subsequent processor to The concept of personal data, as well as service , etc.). for the personal data processing the concept of personal data processing whom the personal data was transferred, and other concepts, shall be defined in Personal data processing is a again as a general rule, should provide is not required. For instance, in Article 3 of the RA Law on Protection of considerably broad concept and the same level of personal protection and accordance with the RA Law on Personal Data1 (hereinafter referred to as irrespective of the form and mode guarantees as to the initial processor. State Registration of Legal Entities, includes all the operations related to the Law). It is important to know that for Separated Divisions of Legal “collection either stipulation or input processing the biometric and Entities, Enterprises and Individual Thus, when using “personal data”, or systematization or organization or special category personal data one Entrepreneurs, “the information we mean “any information relating to a storage or use or alteration or restoration should notify the Personal Data natural person, which allows or may allow or transfer or rectification or blocking or in the Unified State Register shall Protection Agency as well as provide for explicit or implicit identification of a destruction of personal data or to carrying be open for general information” or additional security rules prescribed person’s identity”. Obviously, we are going out other operations”. the information on the registration to discuss the processing of information for the processing of the mentioned of legal entities including personal To put it simply, any action taken to obtain information. pertaining to a natural person. However, data, shall be available to any personal data, as well as any further is it obvious what kind of information on Certain characteristics of the personal action is taken in regard thereto shall be person without the consent of the a natural person may be qualified as data processing data subject, “personal data”? The study of the advisory considered as personal data processing. 2 The RA Constitution (Article 34) enshrines decisions and guidelines of the Personal It is worthwhile to mention although 3. the personal data can be processed the right to the protection of personal Data Protection Agency allows us our legislation does not distinguish for the purpose it was collected. data stipulating that the personal data to specifically assert that the concept between the concepts of “controller” processing should be performed in good The purpose shall be stipulated “personal data” is used in a broad sense and “processor”, the used concept faith and for the purpose prescribed by by law or upon the consent of the including the whole information on the of “processor” includes the meaning of law, upon the person’s consent or without personal data subject, natural person’s private and family life “controller” as well. In the essence, one such consent in case there exists another in addition to the information basically can argue that in terms of the regulation, 4. the purpose of personal data legitimate ground prescribed by law. identifying the person. By the meaning the person receiving personal data; i.e. processing should be lawful. For of the Convention for the Protection of Individuals with regard to Automatic 5 https://www.arlis.am/DocumentView.aspx?docid=143703 6 http://www.justice.am/storage/uploads/002employee_guide-10.04.2017.pdf 7 https://www.arlis.am/documentview.aspx?docid=51416 1 https://www.arlis.am/DocumentView aspx?docid=98338 8 https://www.arlis.am/documentview.aspx?docid=51416 2 http://www.justice.am/page/609 9 https://www.arlis.am/documentview.aspx?docid=140773 3 https://www.arlis.am/DocumentView.aspx?DocID=80554 The Convention has been in force for Armenia since 01.09.2020 10 Without the consent of the personal data subject, the personal data may be transferred to the third parties except for the cases provided by law. For instance, by the Law 4 https://www.arlis.am/documentview.aspx?docID=104958 on Medical Assistance and Service to the Population, the medical secret can be transferred to the third parties prescribed by law and in cases as required by law. FEATURED ARTICLES
40 • AmCham • • Featured Articles • • Featured Articles • • AmCham • 41
MS. SONA TADEVOSYAN PR OFFICER Deem Communications
COMMUNICATING HOPE FOR A HEALTHY AND PEACEFUL FUTURE
2020 has been extremely tough for the staff task and priorities shifts. war on the global civilian population, world, but more for Armenia: already economy and environment, warning Even before we could grasp the reality of hit hard by a ravaging global pandemic, the international community against our new order, a devastating war broke the country got dragged into a deadly the imminent threats of the Turkish and out amid the fight against the invisible war in Nagorno-Karabakh. The ongoing Azerbaijani aggression. The campaign virus, once again calling for mobilization humanitarian crisis brought about grave also focuses on strengthening media in Artsakh, Armenia and across the globe. psychological and economic impacts, literacy to identify and counter fake news. While more tangible, the challenge is being prompting emergency measures across It promotes the key values of Artsakh and, instance, the personal data cannot shall not be limited to Armenia transferred to the clouds in the withstood on all ends, both locally and in the globe. At the same time, it spurred most importantly, the right of the people to be processed for preparing illegal and/or the users shall not be territory of another country. the Diaspora, with each and everyone the need to refocus our minds and efforts self-determination. act irrespective of the consent on limited to the citizens of Armenia. committed to having their contribution to Personal data protection and liability on countering these threats in a quick, processing given by the personal It will be necessary to observe the overcoming the disaster. One of the most creative series was In Armenia, the Personal Data Protection efficient and uniform manner. data subject, regulations of the countries which Like other sectors, communications the call to action to nations to stand Agency carries out administrative control The looming health risks challenged jurisdiction may apply to the given agencies swiftly shifted their resources with Armenia for peace, freedom, 5. the personal data should be over personal data protection. businesses to adopt new ways of processing of personal data, to increasing awareness of the large- prosperity and more. These visuals were collected, processed and stored to managing their teams. As a leading Article 189.17 of the Code of the scale war perpetuated by the Turkish- well received by the public as well as the extent necessary for pursuing 4. upon the consent of the personal 11 Creative and Strat-Comm Agency in Administrative Offences envisages Azerbaijani duo and urging for justice. In authorities in Armenia who shared and Armenia, Deem Communications was the objective of processing. data subject, transfer the personal liability for violating the requirements of response to the atrocities committed by commented on the positive spin on the quick enough to rework its annual Where the necessity of personal data to the third parties, for instance, the Law. Depending on the violation, the Azerbaijan, Deem Communications along communication of the war specifically in strategy, placing its team’s safety at the data processing, including the the company providing accounting liability may range between AMD 50,000 with other creative agencies launched the context of public diplomacy. Social core. DEEM opted to remote work as the established retention period, no services to the company or cloud and AMD 500,000. engaging Social Media campaigns to Media campaigns by other local agencies first cases of COVID-19 were reported longer exists the personal data computing service providers, spread the word. Entitled “Our Hearts feature distinct messages and visuals It is important to know that the in Armenia. The strategy also focused belong to Artsakh” the ongoing campaign discouraging the consumption of Turkish shall be deleted as of a general as well as have the appropriate Criminal Code of the Republic of on crisis communication tools aimed at 12 by DEEM is anchored around hope-based products that nurture expansionism and rule. contractual regulations with those Armenia criminalizes the illegal helping businesses tackle the new reality communication to spark optimism amid terrorism. third parties by regulating the collecting, keeping, use, or dissemination through spreading positive messages During the process of collecting and the turbulent times. It incorporates human obligations and liability in relation of the information pertaining to personal or for increased awareness of COVID-19 processing personal data, it is also stories, short informative videos shedding With 2020 already behind us, we hope family life (Article 144), divulging medical preventive behaviors. To keep the team important to: to the personal data processing, more light on the historical background of that the cataclysms of 2020 will remain in secret (Article 145), as well as illegal motivated and successful amid the Artsakh, an online magazine and other the past and Armenians across the globe 1. obtain the personal data subject’s 5. in the case of transferring the collection or disclosure of commercial, pandemic, professional HR consultants communication tools calling for urgent will unite to restore the pride and strength consent, including when the personal data to another country insurance or banking secret (Article were engaged to revamp the HR policies measures to stop the aggression against of this beautiful land and build a strong 199). For instance, the use of a person’s in accordance with the new normal. personal data subject is an make sure the personal data subject the land of Artsakh and its people and business community. information considered personal or family Individual consultations were held with employer and the company acts as has given his/her consent to that later for the recognition of Artsakh as a an employee, i.e. processor, and the given country is included secret without his/her consent, as well as employees to identify their concerns and the dissemination, collection, or storage Republic. in the list of the countries providing professional goals, bridge the differences 2. consider the necessity of having of such information unless provided for and create harmony within the workplace. An example of hope-based an adequate level of personal data a privacy policy and cookies policy by law through public speeches, publicly A three-tier approach was introduced. communication is the “I am Artsakh - protection and in case of not being where the services provided by displayed works or media are punished The first stage aimed at detecting Chronicles of War” human stories – short included obtain the consent of the the company imply direct with a fine for the amount of AMD 200,000- workplace problems through surveys and testimonials by the people of Artsakh, Personal Data Protection Agency 500,000 or with arrest for the term of 1-2 processing of confidential talks. In the second and third who fled the war but are hopeful for peace before such transfer. In practice, months. stages, problem-solving mechanisms in their motherland. Other communication 3. a considerable amount of personal those cases are considered were developed, with overarching tools tools include engaging mock-up covers of data, for instance, mobile banking. transfers to another country applied to boost the firm’s performance major foreign magazines such as Forbes, In this case, the mentioned policies when the third party receiving and culture. The approach proved Foreign Affairs, National Geographic, need to comply not only with the RA personal data is a foreign person particularly effective after major shifts in Time, The Guardian Weekly and others. the company’s business environment They feature compelling messages on Law where the company service or the personal data are de facto such as switching to an online mode or the projected devastating impacts of the
11 https://www.arlis.am/DocumentView.aspx?docid=73129 12 https://www.arlis.am/DocumentView.aspx?docid=145003 FEATURED ARTICLES
42 • AmCham • • Featured Articles • • Featured Articles • • AmCham • 43
or when the first signs of worsening are there, only then to start acting which may in many cases be belated and fatal for the business. On the other hand, those with ambition MR. SEVADA as a motivation, take actions even in the most favorable conditions. Such CEOs BAGHDYAN regularly aspire for more and never sit and CEO AND FOUNDER, RELEVANT LLC wait. For a game-changer, it is paramount Relevant to have ambition as a driving force so as innovation takes place systematically and regularly. -Process vs. result As a rule, some people are motivated by processes while others by end-results. In both cases it’s possible to yield positive Game Changer CEO results in the end – but the ways of 2. Cooperation with the team the role of a playmaker, as in the case reaching it are different. of a football game. They can help other Oftentimes, CEOs make major strategic team members to involve in the process A process-oriented CEO likes building decisions that later do not get fully of game-changing. detailed and efficient business processes integrated into the team work and acted that are oriented to get the result and upon by the team. Sometimes it’s not a 3. Relevant meta-program eventually he/she succeeds. In this matter of right or wrong decisions. In such case, the created processes and their cases, CEOs and the team are not “on To be Game Changer CEO, you need uninterrupted application is key for a CEO. the same page”: the decisions are not to have not only relevant knowledge executed efficiently and the team starts and skills but also a specific mindset On the other hand, a results-oriented interfering with the implementation of with enough inner energy to introduce CEO does not pay much attention to decisions rather than acting on them. innovation from time to time and to be creating detailed processes. Rather, he/ able to look at things and circumstances she has a very clear notion of the end This is where the greatest challenge from a different angle. result and tries to find the shortest way is, as Game Changer CEOs are often to reach it. Of course, in many cases the hard to be understood and accepted by To find such professionals, meta-programs result is easily destroyed as the processes especially large teams. They constantly have recently been widely used. Meta- behind it are not there. A Game Changer try to change the game while the team rograms are the peculiarities of a person’s CEO is in fact mostly a results-oriented members do not grasp the need for the mindset defining his/her behavior in person. changes. society. We’ve picked out 2 which are typical to Game Changer CEOs. As the game is being played on the It’s critical for business owners to have a clear understanding of what type of lower and mid-levels, CEOs should not - Flight or ambition as a motivation be detached from the team. They should CEOs they want in their company. In be actively in touch with all the levels to All of us have goals and inner strength to fact, not all businesses need a game- feel the team and formulate the problems realize them. A CEO who is driven by flight changer as CEO. Perhaps, you need accurately. The team must be burning as a motivation activates his/her inner a good crisis manager or a person with the new idea and act on it with great energy only in the worst situation or if who excels at introducing and leading enthusiasm. The team should see that it’s there are grounds to think the situation will production processes. In all cases, a place where the game is changing. soon aggravate. In this case, they find the you should always understand that the power in themselves to take new steps. future CEO should be relevant to your In this case, CEOs can benefit from The CEOs with this type of motivation business which will eventually bring mid–level professionals who can take up In nowadays’ dynamically changing and businesses while others, the so-called However, this doesn’t mean that CEOs wait until the worsening of the situation benefit to everyone in the company. developing world, CEOs should be able Game Changers, manage to take should replace their managerial activities not only to manage well and drive a revolutionary steps and abruptly raise the with technological tasks. A CEO just needs company toward success. The so-called growth curve in the company they lead. to have basic knowledge of technologies, Game Changer CEOs, those who are follow the trends and include technological ready to take revolutionary steps, are in In this regard, I’ve singled out a few innovation in the company development high demand. benchmarks which make Game Changer strategy. CEOs stand out. However, it is not easy to spot them on And, what’s more important is that the labor market. Standard methods and 1. Use of technologies and innovative technological solutions and innovation tools of selecting CEOs cannot fully help approaches should be applied across all the us in this case. Being an experienced departments of a company – not only IT professional with a successful career is Over the past 20 years, technology and digital marketing departments. All this not yet enough to be able to become a and innovation have played a key will help a company be more effective and Game Changer CEO. role in numerous companies’ losing a come up with out-of-box solutions and considerable market share or, vice versa, actions. Over 100 interviews of CEOs conducted making a quantum leap in a market by Relevant have shown that CEOs have segment. Nowadays, previously popular The most important function of a CEO various managerial skills. Some of them and strong technological companies such is his/her decisions, and to make the succeed in creating a good corporate as Nokia, Kodak and BlackBerry have lost right ones, CEOs have started using Big culture, introducing effective business their market share as they didn’t really Data which is in its turn impossible to get processes and building profitable keep up with the innovation. without technology. MEMBER NEWS
44 • AmCham • • Member News • • Member News • • AmCham • 45
TK & Partners BSC Business Andersen Global initiates expansion in Armenia through a Collaboration Agreement with TK & Partners, a full-service Support Center law firm based in Yerevan #BSC #NextToBusiness
K&Partners, founded in 2012, and capabilities, our collaboration industry knowledge, chemistry and he global pandemic caused a Tis led by Managing Partner Mr. with Andersen Global opens doors bandwidth, all of which will strengthen Tmajor economic crisis all over the Varoujan Avedikian and operates with to new growth opportunities as we our ability to seamlessly deliver the world; a number of businesses have five Partners and 17 professionals, will be able to provide our clients with highest quality solutions globally.” been negatively affected and many serving international and local clients. tax and legal services that are not enterprises went bankrupt. Another Andersen Global is an international The firm provides advisory and legal confined geographically.” major number of businesses fully went association of legally separate, services in the areas of corporate, digital. In other words, COVID-19 has “TK & Partners has grown independent member firms comprised banking and finance, antitrust and completely changed the way of doing tremendously and will continue to of tax and legal professionals around competition, intellectual property, real business, and to survive the enterprise expand its international presence the world. Established in 2013 by estate, bankruptcy, tax, energy and should adapt to the new reality. and capabilities,” Andersen Global U.S. member firm Andersen Tax LLC, labor. Chairman and Andersen CEO Mr. Andersen Global now has more than In this kind of force majeure situations, “Our firm’s success has been built on Mark Vorsatz said. “Varoujan and his 6,000 professionals worldwide and a the role of a professional business our commitment to stewardship and team have a proven track record for presence in over 213 locations through consultant or a consulting company our ambition of being the benchmark innovation and delivering best-in-class its member firms and collaborating can be crucial for the “destiny’’ of a organization for quality in the industry,” services to clients. Our collaboration firms. business. Mr. Avedikian said. “As we plan to was not a difficult decision as we were Starting from the very beginning of expand our international presence very impressed by their experience, the outbreak of the virus BSC has been #NextToBusiness by focusing its services on crisis management. BSC has helped its client to adapt to the challenging business environment and take the advantage of the circumstances caused by the pandemics as much as possible. BSC business consulting cases have included introducing new products or product lines of the partner company clients from the service sector, one of businesses into a new level. The key that will be demanded in the new the spheres that have been the most to successful crisis management for reality, slightly or even majorly affected by the pandemic; especially BSC is creativity, proactivity, business changing the profile of enterprise’s tour agencies, event management literacy and professionalism. companies, businesses that offer operations, transforming businesses BSC Business Support Center entertainment services, etc. BSC can to the digital platform, providing is glad to announce that has a proudly announce that succeeded to financial management services. continuous and huge impact on the heel the business wounds of these entrepreneurship life of Armenia for entrepreneurship and transform the During 2020, BSC has had several #GeneratingTheFuture. MEMBER NEWS
46 • AmCham • • Member News • • Member News • • AmCham • 47
Synopsys Making a Difference in Armenia for Armenia
s the world’s 15th largest software in Yerevan, and one in Gyumri, safe. At the same time, Synopsys plantings. “The benefits of our annual program, more than 450,000 USD Markosyan, the Head of PR & Acompany, Synopsys has a long Synopsys Armenia is also one of the Corporate Social Responsibility (CSR) tree planting are not only making was donated to All-Armenian Fund in Communications and the Community history of being a global leader in largest Synopsys sites outside the programs are changing people’s life by Yerevan greener and more beautiful the frame of “Combating Coronavirus” Involvement Programs Leader of Electronic Design Automation (EDA) U.S. making the world a better and happier but also seeding a CSR culture in and “We and our Borders” Donation Synopsys Armenia. “This year as a and semiconductor IP, and is also place to live. Synopsys Armenia Armenia, in the business community,” campaigns. Now SAED is ready to part of “Synopsys Corporate Green growing its leadership in software “Synopsys is committed to bringing cultivates a socially responsible says Synopsys Armenia Director deliver free classes for the soldiers Team” we formed the Armenia Green security and quality solutions. the best technology solutions to culture to inspire a new generation Hovik Musayelyan. who returned from the Artsakh Team and now we are even more Whether you’re a system-on-chip our customers. Synopsys Armenia of leaders through successful war and want to get advanced in excited to drive projects aimed at (SoC) designer creating advanced exemplifies how Synopsys’ business partnerships with industry, academia, 2020 was an exceptional year in microelectronics. raising awareness around every day semiconductors or a software practices throughout the world reflect government, and non-governmental many aspects and we could call it a actions to reduce consumption of developer writing applications that our company values of leadership, organizations. Synopsys Armenia year of giving back to the community. One of the core values Synopsys resources and inspiring employees require the highest security and customer success and integrity, employees are actively engaged in During this year Synopsys Armenia embodies is the leadership. We to take action and get involved in quality, Synopsys has the solutions as well as commitment to giving STEM, social, ecological, health, employees donated about 1,000 support humanitarian initiatives local sustainability efforts. We have needed to deliver innovative, high- back to community by investing in and other humanitarian initiatives by volunteering hours by delivering worldwide to make positive changes already started waste sorting projects quality, secure products. education and supporting a healthy sharing their time, passion, and talent free classes in microelectronics in the communities where our “Paper is not a garbage”, “Plastic environment,” says Yervant Zorian, to strengthen local communities. employees live and work. recycling” and we plan to begin “The Established in 2004, Synopsys in Synopsys Armenia Educational the President of Synopsys Armenia Examples of employee contributions plastic usage elimination” project in Armenia provides R&D and Department (SAED), planting trees, and Synopsys Fellow and Chief include gift drives for local orphanages, a near future. We do hope to see a product support for EDA, design for cleaning and beautifying parks, “2020 taught us how important is Architect. arranging disabled people's art-works behavioral change in Armenia for manufacturing, and semiconductor sharing their time and passion and caring about the environment and exhibition-sales and charitable crafts the better future of our country and IP solutions. It is one of the largest IT Synopsys technologies are changing volunteering to help people affected ecology. Our CSR initiatives are fairs of Synopsys Armenia employees’ the planet.՛՛ employers in Armenia with more than the way people live and work by by Artsakh-Azerbaijan conflict. With evolving and covering more aspects handmade items, as well as tree 850 employees. With two locations making everything smart, secure and the Synopsys Foundation Matching of going green,” says Gayane
MEMBER NEWS
48 • AmCham • • Member News • • Member News • • AmCham • 49 DEEM Delex Communication Concern-Dialog CJSC launches the Delex Law Firm brand Tackling Communication Challenges during COVID-19 Pandemic
lthough months of meticulous Aplanning and preparations are essential for effective event management, the COVID-19 pandemic proved the flexibility of a creative mind in finding new formats even during a lockdown. Since late 2019, specialists at Deem Communications Agency were busy preparing for large-scale public events as part of the Europe Day campaign to be implemented in May 2020. Little did we know that the COVID-19 pandemic would arrive in Armenia in March of 2020 with a nationwide lockdown to prevent the spread of the pandemic. However, even so, DEEM, as a full- service strategic communications agency, could not home-sit with hands crossed and embarked on developing a brand-new concept for the Europe Day 2020 campaign. A successful mingle of online and offline campaign components marked the celebration of Europe Day 2020, oncern-Dialog CJSC launches the are being continuously improved. amount, paid to the client’s bank which generated an increased CDelex Law Firm brand combining Implementation of technology allows account or otherwise collected. That engagement and coverage in its ten years of debt collection practice Delex Law Firm to process a large is, the payment is made only after the Armenia. Adapting to the restrictions of and accumulated knowledge and skills number of cases within a short time. At recovery of the actual amount. event management during quarantine under a new brand name. It launches the moment the firm can submit daily By launching a debt collection service and organizing a big online event in a new brand to have a separate, up to three to four hundred lawsuits to under a new Delex Law Firm brand a short span of time was extremely more in-depth presentation of debt courts, and if necessary, this capacity name, we strive to expand our debt challenging and here is where DEEM collection practice and developed can be increased. collection service further, as well as portrayed a flexible flow of creative work methods. The Law Firm has been Delex Law Firm has a team of thoroughly cover this area of operation thought and collaboration. providing debt collection services professional negotiators who discuss for a wide range of clients. The team carried out innovative to its clients engaged in financial settlement agreements with debtors solutions to transfer the event services, public services, and large- If your firm has debts of a similar and recurring payment solutions activities to the mainstream broadcast scale supply of goods since 2010. Ten nature, no matter the amount, Delex acceptable to clients. The Law media and social media platforms. years of experience and solutions are Law Firm will be happy to discuss the Firm also employs an experienced Besides interactive and animated and celebrities took place on social Garni, Goris and Gyumri. It invited presented under a new brand - Delex cooperation opportunities. Operational Department which SM posts to capture the audience, a media platforms, that also included people to a social media contest to Law Firm. ensures the discovery of property of Please contact us via phone: +374 TV broadcasted concert featuring a live interactive contests and awards win prizes by posting photos, tagging Delex Law Firm carries out both debtors and effective organization of 60 277888 or email: [email protected] selection of Armenian and European for audiences. The live event included the EU Delegation and using the soft collection processes, i.e. call auctions (in cooperation with and as favorites was quickly put together in an invitation to a virtual tour of Armenia campaign hashtag. and Europe where the audience was center, messaging, other information an enforcement to the Enforcement close collaboration with the media and Here is how Deem Communications warmly greeted by renowned singers solutions, as well as offers legal Service). artists broadcast on Shant TV channel withstood the challenges dictated solutions through litigation, arbitration and performers. Delex Law Firm applies a unique and shared on the official social media by the pandemic and concluded a and bankruptcy processes. Moreover, pages of the performing artists, the pricing mechanism – it offers a “No Finally, to ensure high visibility, the successful online campaign thanks the work is organized through TV station and the EU Delegation to collection - no Fee” pricing scheme. crown jewel of the event was the to the resilient staff and encouraging specially developed software The fee is charged only for the Armenia. Furthermore, a dynamic production of a branded air balloon partners at the EU Delegation. and technical solutions, which initially agreed part of the recovered live, online event, hosted by artists decorating the skyline of Yerevan, MEMBER NEWS
50 • AmCham • • Member News • • Member News • • AmCham • 51 Habitat for Humanity Armenia Skill New and Affordable Lending Mechanism for Renovation Let’s Create a Powerful Generation Together and Energy Upgrade of Residential Buildings
arlier this year, Habitat for his New Year we all have the EHumanity Armenia (Habitat Тsame dreams. We all strive to Armenia) and “Agroleasing Leasing build a strong and stable country, Credit Organization” LLC signed and focus everyone’s mind and work a partnership agreement which is towards it. From the very first days of aimed at establishing a mechanism the martial law, the Skill team initiated to facilitate the lending process for the “Powerful Generation” educational the renovation and energy efficiency project for children who found refuge improvement of at least 18 residential in Armenia because of the war in buildings in Armenia. In particular, the Artsakh. Within the Project, about purpose of the partnership is to support 100 children from Artsakh passed a the management bodies of residential professional orientation course and buildings to renovate and improve made their first steps towards building energy-efficient in their buildings, a strong future. including renovation of entrances, We have decided to expand the Project installation of energy efficient windows and continue its implementation in and doors, external thermal insulation 2021. The mission of the Project is of walls, modernization of lighting to reveal and develop the hidden systems, etc. abilities and potential of the children As an initial step in this process, of Armenia and Artsakh for the sake of Habitat Armenia has set up a $50,000 the implementation of renovation and The financial model which was a future powerful Homeland. guarantee fund. With the help of energy efficiency works. developed and introduced to the We will visit not only Artsakh, but this new and more affordable loan market by Habitat Armenia in 2011 The partnership is implemented within also the regions of the Republic of product energy efficiency measures and was systematically upgraded the “Residential Energy Efficiency for Armenia, border villages with a 12- his job and invests his full potential in All reports, information about the were implemented already in 17 to make it more sustainable and Low Income Households” (REELIH) hour course of professional orientation the development of the country. process and results of the Project, buildings in Yerevan. The loans are replicable, enabled homeowner project which is funded by USAID and discover the strengths of our you can find on the “Hzor Serund” targeted at the management bodies associations to do renovation and You can also join the realization of and co-funded and implemented by children and guide them in their future Facebook page. of residential buildings in Armenia, partial energy upgrades in more than a big dream of all of us by making Habitat Armenia. development. which are provided with technical 60 residential buildings, as a result of a donation for the Project. The We are sure that together we can assistance by Habitat Armenia for which around 3,400 families live in Through an individual approach and raised money will be invested in build a Powerful Generation. continuous educational programs, the administration expenses of the more comfortable buildings. Contacts: we will have our contribution to courses: transportation, printed ------the building of a powerful future materials, stationery, children’s break, [email protected], Residential Energy Efficiency for Homeland, where each person knows graduation certificates and guidelines. (+374 60) 707 570 Low-income Households project is one of the many assistance projects supported by the American people through the United States Agency for International Development (USAID). Since 1992, the American people through USAID have provided more than $1 billion in programs that support Armenia’s democratic institutions, social sector, and economic growth. 52 • AmCham • • History • • History • • AmCham • 53 HISTORY
Ms. Gayane Amirjanyan Student, American University of Armenia AmCham Intern
HUMAN RESOURCES he most valuable asset of the “human resources” was first mentioned performance and provide them with The second period was from 1920 to 1950. department has evolved tremendously. detailed applications exhaust people, Torganization is its human resources. by John R. Commons, an American the necessary knowledge and skills to Hopefully, companies began to recognize Telecommuting took on a larger dimension; hence only valuable questions should be With the rising demand for quality institutional economist, in his book “The perform their jobs. Moreover, they aimed that employees were not robots but people People started to take advantage of included. employees, the Human Resource (HR) Distribution of Wealth,” published in to build conditions that will energize, who have emotional and psychological digital technology and work remotely and • 70% of HR professionals highly value management became the key factor 1893. Later on, the term was used in the guide, and facilitate employees’ efforts needs. “Personnel departments” and outside of regular business hours. The performance feedback. They reported to success for any company. The HR 1910s to the 1930s to promote people’s toward meeting the organizational goals. “manpower development” raised their feedback became an essential part of that feedbacks help them during the is responsible for finding and hiring real value. During the early 1950s, the internal training efforts and worked HR departments. Instead of numbered Looking at the Human Recourses’ process of employee evaluation. employees, maintaining them engaged in expression intended people as a means with labor unions to develop more rankings, workers get real-time feedback evolution, we can divide it into four main jobs, and training them for growth through to an end. Scholars first used the term in substantial compensation packages. The without structured reviews. Moreover, the • 96% of employees believe that parts: pre-1900s, 1920-1950,1960- employee-benefit programs. Regardless 1958, when economist E. Wight Bakke fundamental human knowledge started idea of diversity and inclusion (D&I) in recognizing and showing sympathy 1980, and 1990-2010. The first period of the company’s size, HR is an essential used the “Human Resources” expression to be called “Human capital” that was the workplace was acknowledged. Today towards others’ emotions is vital to started from 1890 until the 1900s when part of it. They build strong and healthy in his report. affecting economic growth. In this period, gender, ethnic group, persons’ disabilities, the job. This means that workers feel the idea of a link between workers and relationships within employees, increase employees became more valuable after sexual orientation, and various other safe when the company identifies their According to an HR Magazine article, their productivity came out. With the the company’s productivity, and support gaining the opportunity to learn on the job demographics don’t prevent employees feelings and responds to them correctly. the National Cash Register (NCR) first association of scholars and politicians, its growth. A win-win situation is reached and get paid fairly for their hard work. from getting a job. founded a personnel management American businesspeople embraced • 67% of workers rated respect as “very through good HR management since both department. The NCR leader John H. “industrial betterment” and started Starting from 1960, the new stage began While talking about Human Resources, important,” while only 63% of them rated the company and its employees get a Patterson found a solution for employee working on stabilizing the labor force and lasted until 1980. In the early ‘60s, learning some statistics could be beneficial compensation as “very important.” chance to be developed through intense strikes, complaints, safety, and employee and encouraging employee loyalty. As a the US government started to constrain and fun. collaboration. The organizations that • 93% of employees define professional training by creating a personnel result, they created “industrial welfare” human resource departments to focus realized the HR importance now benefit • Because of having hard times while growth as a priority, meaning that every management department. In the post- and “scientific management,” and workers on agreement issues. They passed fairer from its advantages. completing the job application, 60% company should provide its workers with hire phase, the company adopted Human started to be treated as people, not just employment practices such as the Equal of the applicants quit it. Hard and too an opportunity to learn and grow. HR got through significant changes before Resources Management practices for resources for the companies. Pay Act of 1963 and the Civil Rights Act reaching today’s standards. Looking at efficiently managing its employees. These of 1964. Simultaneously, Herzberg’s the history of terminology, the phrase practices intended to advance employees’ “Two Factor Theory” and Deci and Ryan’s “Self-Determination Theory” began to motivate people and transform the workplace. With the help of organizational management and industrial psychology, HR began to concentrate more on employees’ needs for achievement, advancement, and the essence of psychological motivators, such as freedom, purpose, and mastery to grow in their work. Finally, the last stage of Human Resources evolution took place from 1990 to 2010. The development of technology changed the focus from personnel management and administrative tasks. They became responsible for employee engagement, managing them to improve their odds and make sure they will stick around with the company in the future. The workforce evolved from labor-based to services- focused, expecting Human Resources to turn from a process-centric function to a worker-centric process. Having in mind the businesses’ central needs, Human Resources seek to identify and hire the best candidates. Lastly, from 2010 till now, the HR 54 • AmCham • • History • • History • • AmCham • 55 HISTORY
poses the criteriа for individuаl countries’ аnd regions; enforcement of tаrgeted profit. digitаl security. They cаn hаve their stаte policies, structures of public policy, • Social Media is 12% of the share and own electronics industries, mаnufаcture аnd tools to ensure the successful it has 3% of the revenue and 5% of the microchips, servers, networking implementаtion of the DE. Yet the digitаl profit. equipment аnd consumer electronics. economy’s definition аnd metrics аre both minimаl аnd divergent, those actions plаy • Other sectors of the Digital Economy Ms. Yana Gevorgyan There аre three key benefits of the DE а key role in the implementаtion of digitаl take the remaining shares - Search Student, American University of Armenia paradigm thаt аre аpplicаble to every technology growth processes. (14%), Content (2%). Amcham Intern sector: The DE, especiаlly in developing Significаnt unevenness is behind this. To • enhаnced performаnce of existing countries, is growing fаst. The digitаl dаte, the globаl North hаs hаd а very big infrastructure, business is the center of the Digitаl shаre of the new economy, but growth • the аdvent of entirely new business Economy. The IT/ICT sector generаtes rаtes аre highest in the globаl South. models, fundаmentаl digitаl products аnd services. Potentiаl progress, though, mаybe much The аctuаl “Digitаl Economy” consists of higher. The bаrriers аnd impаcts of the DE DIGITAL • expаnded sаles or lower costs of existing the digitаl sector plus emerging digitаl аnd in developed countries аre being explored business models. plаtform services. Those are prescribed by the professionаls. ECONOMY А compаny’s digitаl transition extends wаy аs the portion of economic production In Eurasia, particularly in Armenia, beyond informаtion аnd communicаtion that is generаted solely or pаrtiаlly from he New Economy is fundаmentаlly а vаlue of informаtion аnd imаginаtion is Biotechnologies, Nаnotechnologies, a new progrаm to promote the DE wаs technologies. It impаcts the supply chаin digitаl technology within the business profound economic trаnsition, with the growing. Intellectuаl cаpitаl, technology RetаilTech, LegаlTech, InsurTech аnd unveiled by the EU on 15 Mаy 2019. T аs а big whole. model when it is usually focused on digitаl Digitаl Economy (DE) being globаl todаy. аnd intаngible production, rаther thаn the GovTech, а trаnsition to а new stаge of EU4Digitаl progrаm аlso includes other products or services. The аdаptаtion of highly innovаtive fields mаteriаl resources, аre the main pillars for growth for the country. Sometimes in аn uncertаin environment, Eаstern Neighbouring nаtions. The hаs been stressed by mаny developing performаnce. In addition to performаnce The Digitаl Economy аccounts for аbout On the whole, DE includes the digitаl the chain can be disturbed. The vаlue project wаs introduced in Аrmeniа in countries. The humanity who experienced аnd logic, mаrket management 5 % of globаl GDP аnd 3% of globаl trаnsition of аll spheres of existence, of trаnspаrency and sociаlizаtion, the close pаrtnership with the Ministry of three industrial revolutions considers the technologies аre getting more dynаmic employment. opening up new possibilities for the stаte, ingenuity of orgаnizаtionаl structures Trаnsport, Connectivity, Ministry of DIGITAL ECONOMY to represent the with the time. The sociаl digital networks culture аnd people. The digitаl division and individuаlity, аnd nonlineаrity of High-Tech Industry of RA. Аccording to fourth. hаve mаde it possible for compаnies, DE has a very fast-growing power within between sociаl groups аnd countries, on mаnаgement decisions might affect the the EU, the goаl of the progrаm is to set vendors, intermediаries, аnd clients to its sectors: The DE is often referred to as the Modern the one hаnd, mаy intensify the problem productivity of the company and the up а government interoperаbility portаl to unite аnd develop their internаl business Economy, applying to an economy in of different levels of countries’ growth. country as a whole. There are а rаnge • Device Systems and e-Commerce promote streаmlined аnd stаndаrdized relаtions in the countries. It resulted which commercial operation uses digital Globаlizаtion of the DE, on the other hаnd, of problems including the exаct effects are 72% of the big value of the Digital sаfe communicаtion between аll public in the digitаlizаtion and innovation in computing technology. In the middle of the DE on the productivity of countries Economy and it generates 80% of the аdministrаtion orgаnizаtions in Аrmeniа, of Japan’s recession of the 1990s, аs well аs to implement а one-stop-shop a Japanese professor and research solution for border crossing points in the economist first described the term “Digital region. Economy” in Japan. The concept was The current EU4Digitаl regionаl project followed in the West and was mentioned аims to further enhаnce EU-Аrmeniа in the 1995 book by Don Tapscott - The cooperation, building on previous New Economy: Opportunity and Peril in results, аnd focusing on Telecom Lаws, the Era of Networked Knowledge. Confidence аnd Stаbility, e-Trаde, ICT The global Economic Reforms were mostly Creаtivity, e-Heаlth, аnd e-Skills. The associated with the advent of the Internet positive results of this project will leаd in the 1990s, and this remains the basis to enhаnced online services аt better for the modern economy’s growth. Yet rаtes аnd with greаter choice, аttrаcting the succession of emerging Information investment, boosting trаde аnd jobs, аs and Communication Technology (ICTs) well аs improving cooperаtion within the has diffused and underpinned economic Eаstern Pаrtnership аnd with the EU transition since the 2000s and 2010s. Member Stаtes. The EU4Digitаl service This involves the incorporation into more is running since 2019 аnd will continue and more artifacts with linked sensors (the until 2022. It covers the six Eаstern Internet of Things) and new applications Neighbourhood countries including for end-users (mobile phones, computers, Аrmeniа, Аzerbаijаn, Belаrus, Georgiа, tablets, netbooks, notebooks, 3D printers), Moldova, аnd Ukrаine. Viа the initiаtive, the EU encourаges the eliminаtion of roаming new digital models (cloud computing, tаriffs in its Eаstern member countries, the digital networks, digital services) and data development of high-speed broаdbаnd to use intensity by big data dissemination, improve economies аnd the extension of data mining and algorithmic decision- e-services, the hаrmonizаtion of digitаl making and innovations for automation systems in society in fields rаnging from and robotics as per the Organisation for logistics to heаlth, the development of Economic Co-operation and Development dаtа security аnd the development of (OECD) 2015 report. The DE is derived technicаl skills. from those technologies. Those continuous improvements will give Generally, the Digitаlizаtion of the means to economic innovations both Economy is аn instrument for developing locally and globally. Hence, nowadays long-term competitive аdvаntаges in the integration into a modern environment market. High-tech аssets аre becoming а аnd аccess to emerging technologies is choice in the digitаl economy regardless the secret to humаn progress. of the аreа of development. Besides the sociаl mediа аnd networking, the 57 is chaired by Mr. Artashes Kalantaryan, DE Committee is chaired by Mr. The Key Focus Areas are: The Key Focus • and Privacy Data Protection, Data Sovereignty •Transparency Cyber Security and • Strengthening of regulatory environment and trust in digital • Policy development to facilitate the growth of the digital economy and businesses • Modern public and private governance the use of digital through technologies • Digital transformation & automation The AmCham Board representation The Armenia. Dom-Daniel CEO, is presented by is Ms. Diana Ghazaryan, Country Manager, Microsoft Armenia.
• AmCham • AmCham • FMCG Committee: DE Committee: is to influence the development of Digital Economy Committee addresses topics The following are the active members of the • Committees • • Committees AmCham practices, regulatory relevant to the underlying technology, the Digital Economy itself and its and policy affecting issues The Committee will look intersection with other economic sectors. at the benefits of the new economy in the form of competitiveness, growth, job creation, innovation and modern democracy. The goal of the DE Committee regulatory and business landscape and trusted secure friendly, a to facilitate the growth of the digital economy as well as the The public and private enterprises. digital transformation of DE Committee will engage the key public and private develop policiesand practices and will serve stakeholders to as a platform to facilitate discussions on the digital economy in knowledge will further increase the and awareness Armenia. It digital and digital transformation through the publication the of of opinions, legal opinions, good practices as well as organization of forums and sessions. The following are the active members of the members of are the active The following Digital Economy (DE) Committee • Committees • • Committees • Running awareness raising campaigns on sustainable waste community and wide management both among the business public • meetings with all Organizing FMCG Committee members’ interested parties and agencies to deliver/to support the position on waste management and concerns of the business community • the process of a Research Initiated Study to support the and Armenia, through identifying adoption of EPR system in proposing scenariosthe best-case - most suitable and financially Armenia, justified for the business community as well as for planned launch December 2020. AmCham held In order to engage potential partners for the project, business a series of meetings with scientific and communities American University during 2020. Several companies such as the Armenia, Armenia, Coca-Cola Group, Optym HBC, Jermuk of and AmCham both Mall, etc., Yerevan Carrefour, Ararat Brandy, non-AmCham already Members, expressed their commitment to support the above-mentioned project financially and conceptually. is working the FMCG Committee on a Sustainable Currently, Assessment Survey to get the offers Management Project Waste Territorial from the agencies, cooperation in with the Ministry of Environment, other Ministry of Administration and Infrastructure, Armenian British Business and chambers such as EBA, UMBA Chamber: • AmCham • AmCham • “To “To (part of the EU-Armenia is chaired by Ms. Elina Margaryan, Membership is open to companies that
coordinates its Members and the Armenian business Members and the coordinates its
Armenia’s obligations to introduce Extended Producer to introduce obligations Armenia’s FMCG Committee
operate in a “two-way street” model, AmCham Committees operate in a “two-way street” AMCHAM COMMITTEES AMCHAM Responsibility (EPR) system by 2023 raising through different initiatives such as: meet Armenia in 2017), and awareness signed between the EU and and sustainable post-consumer waste management system to Agreement (CEPA) Comprehensive and Enhanced Partnership efficient, community to join the efforts in establishing transparent, a efforts join the community to Task Force Task Sustainable Waste Management Waste Committee Sustainable AmCham FMCG The Acopian Center for the Environment. (AUA) Armenia’s of waste management”. American University Amirkhanyan, Director, Alen chaired by Mr. of a healthier environment contributing to a responsible of a healthier environment contributing Force is Management Task Cola HBC. The Sustainable Waste promote the interests of members and facilitate the creation Coca- and Communications Country Manager, Affairs Public Sustainable Waste Management Task Force objective is, Task Management Waste Sustainable and ideas for a discussion and resolution. FMCG Committee The regulatory issues and public advocacy. have the privilege of bringing up various policy papers, proposals responsibilities its which covers trade matters, spectrum of the approve a work plan for a period, but the AmCham members also approve a work plan for a period, but the trade organizationis functionally a in view of Committee FMCG where not only does the AmCham Executive Team decide and Team AmCham Executive where not only does the The FMCG Committee practices and other issues related to the sector. other related fields interested in responsible other related fields waste management The Committee (FMCG) Consumer Goods Fast Moving products and Tobacco are manufacturers of Food, Beverage and investments. establishment in Armenia and promote local and international establishment in private sectors’ dialogue for a favorable business environment private sectors’ AmCham mission and provide a favorable platform for public and platform for AmCham mission and provide a favorable Each of those Committees collectively facilitates to pursue of pursue of to those Committees collectively facilitates Each of • (IPR). Intellectual Property Rights • (TCuFP) customs and Fiscal Policy Tax, • Digital Economy (DE) •Goods (FMCG) Fast Moving Consumer 4 AmCham expert Committees: 4 The key AmCham Pillar is advocacy which is being practiced via key The COMMITTEES56
59 Director of Non-Proliferation Center (NPC) NGO, on the actual benefits of the adoption of the Internal Compliance System. international ICP Karen Gasparyan reflected on different Dr. main goals introduced the well as practices and experiences, as and objectives.
• AmCham • AmCham • Tax Incentives in the Capital Market: Incentives in the Capital Tax for the Businesses Workshop New Opportunities Committee organized a TCuFP February 2020 the In the Capital Market: Incentives in workshop on the Tax for a public-private for the Businesses New Opportunities Zakaryan, Executive Karen partnership in cooperation with Mr. Tax the who introduced to amendments the FINARM, Director, The and bonds. listed stocks privileges for tax Code on the Margaryan, Deputy Minister Naira Ms. meeting special guest commitment to state on the speech had a RA Economy of of CEO, Yeganyan, Hayk developing Mr. the capital markets. guidance Armenia Securities Exchange gave practical on how to get tax benefits from the amended legislation. Meeting with the AmCham FMCG Committee Virtual Government of Armenia virtual meeting on 9 committee members held a FMCG Administration Territorial The Ministry of September 2020 with of Environment and Ministry (MTAI) and Infrastructure of RA project on Sustainable Committee the introduction of the for (ME) of Reference on document Terms Management and the Waste Assessment, Management Armenia Marketplace Waste the was decided which was later reviewed and approved. It that the Committee will regular have update meetings with the and for valuable input. Government on the leads of the project Internal Compliance Program (ICP): Armenian Companies Meeting Benefits for US Embassy and Non-Proliferation cooperation with the In Center 9 September (NPC) NGO on 2020 an online meeting was organized on Internal Compliance Armenian Companies. Benefits for Program (ICP): Karen Gasparyan, the presentation was delivered by Dr. A AMCHAM EVENTS AMCHAM EVENTS • • Events • Committees • • Committees is chaired by Mr. Nerses Nersisyan, Nerses Mr. chaired by is Committee TCuFP General Prosecutor’s on the Confiscation of the Property office of Illegal Origin” law and implementation details. Working Group discussion with the Ministry of Justice and the • Working • Create a committee of active members that participate members that participate committee of active • Create a regularly members that and events and additional meetings in committee may participate informed of key less often but want to be kept events/meetings developments and upcoming of area key issues in the committee’s • Identify a few and Transparency responsibility as from among issues such Armenia Laws and Regulations, Regulatory Coherence with track and seek opportunities for consultation with thought Armenia on changes and leaders and government authorities in and regulations. implementation of laws of members and facilitate the creation • Promote the interests relevant communication with the atmosphere of healthier a of development of and influence the governmental authorities trusted regulatory business and landscape to facilitate growth and investment flows. The AmCham The Armenia. & Legal, KPMG Tax Head of Director, Aharon Levonyan, Mr. Board representation is presented by is CFO, Seraphim Consulting.
• AmCham • AmCham • TCuFP Committee: TCuFP
against the introduction the introduction from 2021 Progressive Taxation on Real Estate, with positive feedback on on Real Estate, Taxation Progressive • • Health Insurance 6% draft law introduction, with a position The TCuFP Committee has expressed its position on the following legislative areas: The TCuFP solutions to Tax and Customs administration Tax solutions to • Provide an open platform for members to debate and formulate in Armenia impact on Revenue Policy to improve the business environment improve the business impact on Revenue Policy to the general goal of easing tax and customs compliance and to and customs easing tax general goal of the the The following are the active members of their opinions and experience to external parties, in support of representation member companies of Committee to convey • Issue Position papers on Tax and Customs with a collective Tax • Issue Position papers on TCuFP Committe is to: TCuFP The objective of the part of and has commitments. international agreements and global systems which Armenia is international systems which agreements and global paper recommendations to be in line with law, best practice, paper recommendations be in line with law, to tax, customs and other mandatory payments via position other mandatory payments via position tax, customs and help improve the legal help improve the legal framework and implementation of the with the government of RA, international with the government organizations to internal information consultations activities, and and cooperation customs legislation, and improvement of fiscal policy in Armenia. customs legislation, and improvement of fiscal policy in opportunities provide networking, is to mission for TCuFP The companies that are interested in the development of tax, membership at AmCham. The membership is open to AmCham AmCham The membership is open to AmCham. membership at is a business and professionala business is Committee TCuFP AmCham Tax, customs and Fiscal Policy (TCuFP) Committee Policy (TCuFP) customs and Fiscal Tax, 58 EVENTS
60 • AmCham • • Events • • Events • • AmCham • 61
AmChams in Europe (ACE) 2020 Best Practice Conference
AmCham Executive Team participated in the ACE Best Practice The annual Conference is a great platform to exchange best online Conference, which was held from 14-16 October 2020 practices, to share knowledge and expand the networks, as well and was attended by more than 80 participants. It was originally as to discuss topics impacting AmChams and their members planned to be hosted by AmCham Bulgaria. However, due to the in Europe and not only. In the Conference within the traditional situation with COVID-19, it was run virtually. The participants’ Creative Network Award nomination, AmCham Ukraine discussions were on adapting to the new work realities after presented its ‘Leadership in Times of Crisis’ project and among 6 the COVID-19 outbreak and how did the management and the candidates won the 1st Special Prize. leading tendencies change. Brief project description – purpose and objective: During the conference, the ACE Executive Committee presented • 10-minute pre-recorded Zoom video with AmCham Executive the ACE benchmark survey as well as held the ACE Board 7th HARVEST FESTIVAL: Director interviewing member company CEO Meeting. The ACE Creative Network Award was voted for the AmCham Ukraine for its Leadership in Times of Crisis, CNN- • To give AmCham members a platform to communicate a) the RURAL LIFE AND TRADITIONS’ 2020 format online AmCham branded video interview with member new realities of work b) how to lead and manage c) how business companies’ CEOs. is impacted d) help local communities during COVID-19 • Video shared on Facebook, LinkedIn, Twitter, website & weekly mailout
• To inspire with stories and facts The 7th Harvest Festival: Rural Life and Traditions was held, Sarkissian, AmCham Executive Director along with Ms. Nune The project consists of short video interviews between the organized by an AmCham Member Green Lane NGO on 26- Sarukhanyan, the President of Green Training Center LTD and AmCham Executive Director and the CEOs of member 27 September 2020. The festival itself is an open-air event in Mr. Pascal Bokkers, the Team Leader of EU and ADA GAIA companies to discuss the new realities of work, the challenges a relaxing rural atmosphere where people can come with their project on green agriculture participated in an interview on the to leadership and management, and how to help local families and enjoy the natural/organic food directly from Armenian Aravot Luso Public TV show and reflected on the significance communities during the crisis. The project delivered a range of local farmers and producers. of green agriculture for Armenia’s sustainable development and called for participation in the upcoming Harvest Festival Event. inspiring stories and facts shared through social media, which Earlier before the festival, on 18 September Ms. Karine provided helpful tips, insights, and personal experiences to the broader public. The community also got the opportunity to get to know other The ACE Creative Network Award project was established in inspirational projects created by the AmChams EU, Germany, 2014 with the aim of incentivizing AmChams to share creative Israel, Kosovo, and Slovenia, which reached the ACE Creative initiatives and projects for the benefit of AmChams throughout Network Award 2020 finals. the ACE network as a best practice.
7th Harvest Festival Presentation on the Aravot Luso Public TV Show
7th Harvest Festival 62 • AmCham • • Events • • Events • • AmCham • 63
Fast Moving Consumer Goods - FMCG Committee Virtual Meeting
Mr. Babken Tunyan, Head of the RA NA Standing Committee on Economic Affairs meets with the SME Working Group for cooperation
Open Discussion on the RA Law on Confiscation of Property of FMCG Committee Virtual Meeting with the Ministry Mr. Babken Tunyan, Head of the RA NA Standing Committee on Economic Illegal Origin of Territorial Administration and Infrastructure of RA (MTAI) Affairs meets with the SME Working Group for cooperation
amcham_Opmaak 1 30-11-2020 15:47 Pagina 1
AmCham Membership Scheme
Gold Silver Bronze Nickel Benefits by Membership Levels Regular Member Associate member Individual member AMD 700,000 AMD 350,000 AMD 200,000 AMD 100,000 50% Discounts on advertising in the AmCham Business Magazine, Membership Directory, and the website Special recognition in the AmCham Business Magazine and Membership Directory Priority invitations to special international guest speakers and foreign trade missions Company logo displayed in AmCham website Gold Sponsors’ flash-banner No limitations on the number of participants at AmCham events Ability to post recent publications on ‘’Resources’’ section of AmCham website Ability to run for positions on the AmCham Board of Directors Frequent interactions with the U.S. Embassy, USAID, and relevant officials visiting Armenia Close ties with the U.S. Embassy in Armenia Participation in meetings with key government officials on major business issues Close cooperation with various U.S. Missions visiting Armenia Distribution of AmCham Business Magazine Distribution of AmCham Membership Directory Electronic distribution of AmCham Newsletter Invitations to AmCham member companies’ events Ability to suggest guest speakers for AmCham events Regular membership meetings with prominent leaders in business, government, and international financial organizations Round tables, workshops and conferences addressing relevant issues (priority is given to Gold members) Placement of company news free of charge in AmCham Business Magazine, website, and the social media Placement of company profile free of charge in AmCham website ‘’Member Companies’’ section Opportunity for email dissemination among AmCham growing network Possible connections with other AmChams Possible connections with the U.S. Chamber of Commerce and the AmChams in Europe Ability to raise company specific issues and concerns to AmCham and the membership