Katowice Agglomeration

Katowice Agglomeration Business Services Powerhouse This report has been prepared for Katowice City Hall by the Association of Business Service Leaders (ABSL) in cooperation with JLL and HAYS Poland

Project Coordinator: Janusz Górecki, Head of Research, ABSL e-mail: [email protected]

Graphic layout and typesetting: www.ponad.pl

Cover picture: Katowice City Hall

® ABSL 2014 ABSL owns all copyright to this paper. Unless otherwise defined by legal provisions, the use, access, processing, copying, adaptation, modification or retransmission of this work in part or in full in any form and without ABSL's written consent shall constitute a breach of copyright. Table of contents

1. Why Katowice? 4

Business service centres in Katowice 2. 10 and Katowice Agglomeration

3. Labour market 26

4. 1HƓEGOCTMGV 32

5. Companies tell their success stories 38

6. Quality of life 40

7. Support for investors 42

8. Poland – key information 46 4 Katowice Agglomeration. Business Services Powerhouse Why Katowice?

1 | Why Katowice?

Katowice is a dynamically developing city of more than 300,000 inhabitants, located in the southern part of Poland. Katowice is also the capital of the Katowice Agglomeration1 with a population of almost 2 million people and is an important educational, cultural and economic centre in Poland and in Central and Eastern Europe. Katowice regularly hosts the European Economic Congress, the biggest business event in this part of Europe. Thanks to suitable human TGUQWTEGUUEKGPVKƓECPFTGUGCTEJHCEKNKVKGUCPFVJGDGPGƓEKCNNQECVKQPCPF exceptional nature of this area, both Katowice and the Katowice Agglomeration are perfect places for the development of outsourcing centres (BPO/ITO), shared service centres (SSC) and research and development centres (R&D).

1QHLJKERXULQJFLWLHVLQFOXGH%\WRP&KRU]µZ'ÇEURZD*µUQLF]D*OLZLFH-DZRU]QR.DWRZLFH0\VĄRZLFH3LHNDU\ĜOÇVNLH 5XGDĜOÇVND6LHPLDQRZLFHĜOÇVNLH6RVQRZLHFĜZLÛWRFKĄRZLFH7\FK\DQG=DEU]H

Photo: Katowice City Hall Katowice Agglomeration. Business Services Powerhouse 5 Why Katowice?

KATOWICE KATOWICE AGGLOMERATION

2̪FHVSDFH(September 2014) 337,000 m2 440,000 m2

Population (2013) 304,000 1,904,000 16% of the population of Katowice Agglomeration nearly 5% of the population of Poland

Students (2013/2014) 58,000 107,000

Graduates (2012/2013) 18,000 32,000

Number of universities 15 26

Figure 1 Katowice and the Katowice Agglomeration in numbers Source: ABSL's proprietary analysis 6 Katowice Agglomeration. Business Services Powerhouse Why Katowice?

)FCɧUM

Szczecin

$KC[UVQM Bydgoszcz

Berlin A2 2Q\PCɧ Warsaw A2

ȡFʛ

A4 A1 / DK1 Lublin Dresden 9TQECY

Katowice

Prague A4 4\GU\ȡY Ostrava -TCMȡY Lviv

Brno

Kosice

Vienna Bratislava

Figure 2 Table 1 Location of Katowice and the Katowice Agglomeration Distance and estimated travel time to selected cities Source: ABSL's proprietary analysis Distance Travel time from Katowice By car By train By plane Location Warsaw 290 km 3h05min 3h00min 0h50min Katowice is located in the central part of Europe between Berlin and Kraków and between Warsaw and Vienna. Berlin 515 km 4h30min 8h03min 3h40min* 7KHFLW\KDVHDV\DFFHVVWRWKUHHLQWHUQDWLRQDODLUSRUWV that is: Katowice Airport (30 km from the city centre) as Vienna 385 km 3h50min 5h06min 4h00min* well as Kraków Airport and Ostrava Airport (both within Frankfurt NP 7KHURDG KLJKZD\ DQGUDLOZD\QHWZRUNLVYHU\ 901 km 8h15min 13h49min 1h30min DP0DLQ well developed. Source: Google Maps, Deutsche Bahn, Google Flights * indicates flight with a stopover Katowice Agglomeration. Business Services Powerhouse 7 Why Katowice?

Katowice Airport 78

DK1

94 2KGMCT[ɹNȰUMKG

86 &ȰDTQYC)ȡTPKE\C Bytom

Zabrze 5KGOKCPQYKEGɹNȰUMKG ɹYKɂVQEJQYKEG Gliwice &6ɹ %JQT\ȡY 94 Sosnowiec A4 4WFCɹNȰUMC &6ɹ

Katowice Jaworzno 78 44 /[UQYKEG

86 A1 A4

Tychy

44 DK1 Figure 3 Map of the Katowice Agglomeration Source: ABSL's proprietary analysis

Driving forces

The strengths of Katowice

Human capital Transportation Openess and support *RRGDYDLODELOLW\DQGTXDOLW\RIKXPDQ infrastructure Local authorities favour investors resources Developed transportation system Support for development of the business (highways, railway transportation) infrastructure Katowice Airport is the fourth largest .DWRZLFH6SHFLDO(FRQRPLF=RQH Investments airport in Poland in terms of the number of Dynamic growth in the number of passengers new investors in the business service 1HƓEGURCEG sector .DWRZLFHLVWKHͤIWKODUJHVWRͦFHPDUNHW %32,7266&5 'FHQWUHVWKDWUHQGHU Attractiveness in Poland with resources of services for many global corporations and and quality of life 2 large Polish enterprises 337,000 m International cultural and sport events, entertainment and recreational areas 8 Katowice Agglomeration. Business Services Powerhouse Why Katowice?

Research and development facilities (3.0 WKDWVHUYHVVPDOOHUEXVLQHVVDQGUHJLRQDO ͥLJKWV7ZRRWKHULQWHUQDWLRQDODLUSRUWV.UDNµZ 7KHUHDUHXQLYHUVLWLHVZLWKLQWKHERUGHUVRIWKH Airport and Ostrava Airport in the Czech Republic, Katowice Agglomeration, characterised by different are located approx. 100 km from Katowice. HGXFDWLRQDOSURͤOHV7KLVHQVXUHVDFFHVVWRJUDG- Katowice is located at the crossroads of two impor- XDWHVIURPYDULRXVVFLHQWLͤFGLVFLSOLQHVLQFOXGLQJ tant international transportation routes: from Berlin those essential for the development of the business *HUPDQ\ WR/YLY 8NUDLQH DQG*GDĆVN 3RODQG VHUYLFHVHFWRULHWKHHFRQRPLFͤQDQFLDOEDQNLQJ WR9LHQQD $XVWULD 7KHFLW\HQVXUHVFRQYHQLHQW DQGHQJLQHHULQJDQGWHFKQLFDOͤHOGV7KHPDMRU railway connections with other important centres: universities include the University of Silesia in :DUVDZ:URFĄDZ2SROH.UDNµZ*GDĆVNDQGWKH .DWRZLFHWKH6LOHVLDQ8QLYHUVLW\RI7HFKQRORJ\LQ capitals of Poland's neighbours: Berlin, Prague, *OLZLFHWKH8QLYHUVLW\RI(FRQRPLFVLQ.DWRZLFH Vienna, Bratislava and Kiev. Katowice's internal DQGWKH0HGLFDO8QLYHUVLW\RI6LOHVLDLQ.DWRZLFH transportation network is very well developed Nearly 10% of Polish research and development thanks to highways, major roads and railway trans- potential is located here, creating the second largest portation. Due to investments in the transportation research centre in Poland (after Warsaw), with more infrastructure, the city's transportation accessibility WKDQVFLHQWLͤFDQG5 'XQLWV is improving every year.

Transportation infrastructure Investment incentives

Katowice and the entire Katowice Agglomeration are .DWRZLFH6SHFLDO(FRQRPLF=RQH .6(= JLYHV VHUYHGE\.DWRZLFH$LUSRUW .7: ORFDWHGNPWR WKHLQYHVWRUVWKHSRVVLELOLW\WREHQHͤWIURPSXEOLF the north of the city centre. It is the fourth largest assistance in the form of tax exemptions (for large airport in Poland in terms of the number of passen- enterprises it is 25% of the costs of incurred), when gers (more than 2.5 million in 2013). Katowice Airport they make investment expenditures and create new JXDUDQWHHVTXLFNDFFHVVWRLPSRUWDQWWUDQVIHU jobs. By the end of 2013, 246 companies invested FHQWUHV HJ)UDQNIXUW0XQLFK'¾VVHOGRUI WKHUHE\ LQ.6(=LQFOXGLQJFRPSDQLHVIURPWKHEXVLQHVV enabling easy and fast travel, for instance to the US. service sector. 7KHUHLVDOVRDORFDODLUSRUW.DWRZLFH0XFKRZLHF

Katowice: space for success

Awards for Katowice

In 2014, during the 5th ABSL Excellence Award, Katowice was 7KHUDQNLQJOLVWRI7KH(XURSHDQ&LWLHVDQG5HJLRQVRIWKH SUHVHQWHGZLWKWKH$%6/([FHOOHQFH$ZDUGLQWKH&,7

Figure 4 Map of Katowice's airline connections Source: www.katowice-airport.com/pl/passengers/destinations-map

Katowice Airport 2,544,000 number of passengers served in 2013

Bergen Oslo Stockholm Stavanger

Glasgow

Belfast

Malmö Dublin &QPECUVGT5JGHƓGNF

Birmingham London Eindhoven

Dortmund Warsaw Maastricht Dˀsseldorf

Cologne / Bonn Frankfurt Katowice Kiev Frankfurt (Hahn) Paris

Kutaisi

Grenoble Milano

Burgas Barcelona

Roma

Alicante Naples

Tel Aviv

Crete / Chania 10 Katowice Agglomeration. Business Services Powerhouse Business service centres in Katowice and Katowice Agglomeration

2 | Business service centres in Katowice and Katowice Agglomeration

Katowice enhances its position as one of the leaders of business service centres in Poland. The dynamic growth of this sector in the Katowice Agglomeration is attracting the attention of global leading brands that have decided to locate their investments in the city. The high potential of the region also translates into the development of BPO, ITO, SSC, R&D and Contact Centres already operating in this market.

Photo: Katowice City Hall Katowice Agglomeration. Business Services Powerhouse 11 Business service centres in Katowice and Katowice Agglomeration

Growth of employment in the business service centres { 20% in Katowice and Katowice Agglomeration (09.2013-09.2014)

Katowice Katowice Agglomeration

¥ 10,000 ¥ 15,000 number of employees hired in number of employees hired in business service centres business service centres 9 40 9 57 number of investors with their own number of investors with their own business service centres business service centres 45 64 number of BPO, ITO, SSC, and R&D number of BPO, ITO, SSC, and R&D service centres and Contact Centres service centres and Contact Centres 35 47 number of BPO, ITO, SSC, and R&D number of BPO, ITO, SSC, and R&D service centres and Contact Centres service centres and Contact Centres with foreign capital with foreign capital 4 10 4 11 number of service centres that have number of service centres that have been created since 2012 been created since 2012 12,500 17,500 forecast employment in the sector as forecast employment in the sector as at the end of 2015 at the end of 2015

Figure 5 The business service sector in the Katowice Agglomeration: key information Source: ABSL's proprietary analysis 12 Katowice Agglomeration. Business Services Powerhouse Business service centres in Katowice and Katowice Agglomeration

7KH.DWRZLFH$JJORPHUDWLRQLVRQHRIWKHVL[PRVW in the Katowice Agglomeration includes 20 shared important centres of business services in Poland. VHUYLFHFHQWUHV 66& ̰,7RXWVRXUFLQJFHQWUHV ,72 64 service centres are located here, owned by 57 14 – customer contact centres (Contact Centres), LQYHVWRUVIURPFRXQWULHV7KHVHDUHPDLQO\FRPSD- ̰UHVHDUFKDQGGHYHORSPHQWFHQWUHV 5 ' DQG nies from the United States (15) and Polish enterprises 6 – business process outsourcing centres (BPO). (14), but also include corporations from the United .LQJGRP)UDQFHWKH1HWKHUODQGV*HUPDQ\6ZHGHQ 7DNLQJLQWRDFFRXQWFRUSRUDWHGHYHORSPHQWSODQVLW Finland, India and Canada. can be assumed that by the end of 2015, development in the sector will reach roughly 17,500 individuals, At present the service centres in Katowice and the which is twice the number of employees compared Katowice Agglomeration employ around 15,000 WR0RUHRYHUWKLVQXPEHUZLOOLQFUHDVHE\WKH SHRSOH7KHYDVWPDMRULW\RIWKHP ZRUNIRUHQWL- number of jobs generated by entities that have not yet ties that are partially owned by foreign capital. Polish DQQRXQFHGWKHLULQYHVWPHQWV7KHG\QDPLFGHYHORS- companies have created 34% of the jobs in the sector, ment of the business service sector in the Katowice followed by French – 21%, American – 17%, British Agglomeration is proven by the fact that the centres – 17% and 11% have been created by companies from which started their operations in 2012-2014 have other countries. already generated 15% of the total employment in the sector. We can assume that by the end of 2015 their 7KHYDVWPDMRULW\RIFHQWUHVLQWKH.DWRZLFH share will grow to approx. 20%. In general, the invest- Agglomeration are located in Katowice (45 out of 64), ments from years 2012-2014 will generate additional that gathers 2/3 of the total employment in the 1,000 new jobs by the end of 2015, the vast majority of GLVFXVVHGVHFWRU7KHWRWDOQXPEHURIVHUYLFHFHQWUHV which are to be located in Katowice.

About the report

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An important element related to the preparation of this paper was obtaining information on service centres operating in the .DWRZLFH$JJORPHUDWLRQGLUHFWO\IURPWKHLUUHSUHVHQWDWLYHV$TXHVWLRQQDLUHZDVFRPSOHWHGE\UHVSRQGHQWVUHSUHVHQWLQJ service centres that employ a total of 9,725 people in the Katowice Agglomeration, that is 65% of all employees in the sector within WKHDQDO\VHGDUHD7KHLQIRUPDWLRQJDWKHUHGIURPWKHTXHVWLRQQDLUHHQDEOHGDFROOHFWLYHVWDWLVWLFDODQDO\VLVRIWKHRSHUDWLRQVRI the entities under discussion to be run (thematic analyses).

,QWKHSDSHUZHDGRSWHGDEURDGGHͤQLWLRQRIWKHVHFWRULQFOXGLQJUHVHDUFKDQGGHYHORSPHQWDFWLYLWLHV&RQVLGHUDWLRQVUHJDUGLQJ the sector were based on the analysis of service centres with foreign and Polish capital: shared service centres (SSC), business SURFHVVRXWVRXUFLQJFHQWUHV %32 ,7RXWVRXUFLQJFHQWUHV ,72 UHVHDUFKDQGGHYHORSPHQWFHQWUHV 5 ' DQGFXVWRPHUFRQWDFW FHQWUHV FRQWDFWFHQWUHV 7KHFDWHJRU\RIRXWVRXUFLQJFHQWUHVLQWKHUHSRUWGRHVQRWLQFOXGH,7HQWLWLHVIRUZKLFKWKHRXWVRXUFLQJ of services does not account for the majority of revenue. It should be added that some centres render services for both their parent FRPSDQ\DQGH[WHUQDOFXVWRPHUV7KLVLVWKHVRFDOOHGK\EULGPRGHORIVHUYLFHV,QWKHUHSRUWPL[HG%3266&FHQWUHVZHUHQRW VHSDUDWHGEXWLQGLYLGXDOHQWLWLHVZHUHDVVLJQHGWRWKHEDVLFW\SHVRIFHQWUHV %32,7266&5 '&RQWDFW&HQWUHV RQWKHEDVLV RIWKHGRPLQDQWSURͤOHRIWKHLUDFWLYLWLHV

:HZRXOGOLNHWRWKDQNDOOUHSUHVHQWDWLYHVRIFRPSDQLHVDQGLQVWLWXWLRQVZKRWRRNWLPHWRFRPSOHWHWKHTXHVWLRQQDLUHRUSUHSDUHG the information used in this report. Katowice Agglomeration. Business Services Powerhouse 13 Business service centres in Katowice and Katowice Agglomeration

5,500 8,200 10,000 12,500 8,500 12,500 15,000 17,500

2012 2013 2014 2015*

Katowice Katowice Agglomeration * forecast for the end of 2015

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45 Katowice Jaworzno

/[UQYKEG

10,000 Tychy

1,500-2,000 1,000-1,500 up to 500 >65% 10-15% 5-10% 1-5% 0% 2

Number of employees Share of total employment in business service centres Number of service centres in business service centres of a city in the Katowice Agglomeration in a given city

Figure 6 The business service sector in the Katowice Agglomeration Source: ABSL's proprietary analysis 14 Katowice Agglomeration. Business Services Powerhouse Business service centres in Katowice and Katowice Agglomeration

Table 2 The business service sector in the Katowice Agglomeration Processes handled in a service centre

Service centre Country Location IT services (including software development) Finance and accounting services Project management Human resources management services Customer Records management transformation Business management Supply Research and development services (excluding software development) Other processes

4EverNET Poland Katowice

Aegon Netherlands Chorzów

Alan Systems Poland Katowice

ArcelorMittal United Kingdom 'ÇEURZD*µUQLF]D

Barona Finland Katowice

Bombardier Canada Katowice

Capgemini France Katowice

Cyclad France Katowice

DisplayLink USA Katowice

Eniro Sweden Katowice

Ericsson Sweden Katowice

Future Processing Poland *OLZLFH

Gallup Arteria Management Poland 5XGDĜOÇVND

General Motors USA *OLZLFH

Generali *HUPDQ\ Katowice

Goyello Netherlands *OLZLFH

Grant Thornton United Kingdom Katowice

Ľ\ZLHF*URXS Netherlands Katowice

HireRight USA Katowice

IBM USA Katowice

ING Services Poland Netherlands Katowice

ista United Kingdom *OLZLFH.DWRZLFH

Jcommerce (LGBS Group) Poland Katowice

.DWRZLFNL+ROGLQJ:ÛJORZ\ Poland Katowice

Kroll Ontrack USA Katowice

LGBS Poland Katowice

Maximum Poland Katowice

Mentor Graphics USA Katowice

Neubloc USA Katowice Katowice Agglomeration. Business Services Powerhouse 15 Business service centres in Katowice and Katowice Agglomeration

Processes handled in a service centre

NGA Human Resources United Kingdom Katowice

OEX (Archidoc) Poland Chorzów

Oracle USA Katowice

Orange Call Center France Katowice

Perform Media United Kingdom Katowice

Poczta Polska Poland Katowice

Pregis USA *OLZLFH

Proximetry USA Katowice

PwC United Kingdom Katowice

Rockwell Automation USA Katowice

Ruch USA Katowice

Saint-Gobain France 'ÇEURZD*µUQLF]D

Sales Concept Poland Bytom

Sii France Katowice

Sine Qua Non Poland Sosnowiec

SMS Metallurgy *HUPDQ\ Chorzów

SMT Software Poland *OLZLFH.DWRZLFH

Steria France Katowice

Tauron Poland *OLZLFH.DWRZLFH

TELE-FONIKA Kable Poland Katowice

Teleperformance France Katowice

Tenneco USA *OLZLFH

Timken USA Sosnowiec

Unilever United Kingdom Katowice

UPC USA Katowice

Warta *HUPDQ\ Katowice

Webanywhere United Kingdom Katowice

Wincor Nixdorf *HUPDQ\ Katowice

Wipro India 'ÇEURZD*µUQLF]D

Source: ABSL's proprietary analysis 16 Katowice Agglomeration. Business Services Powerhouse Business service centres in Katowice and Katowice Agglomeration

Other 5 ' countries Poland BPO SSC United 10% Contact 5% Kingdom Centre 8%

35% 32% 17% 24%

United 17% States 21% 31% France ,72

Figure 7 Figure 8 Employment structure of service centres in the Katowice Employment structure of service centres in the Katowice Agglomeration based on the location of the parent company's Agglomeration by centre type KHDGR̪FH Source: ABSL's proprietary analysis Source: ABSL's own analysis

Class of centre based on size <100 100-249 250-499 500-1,000 >1,000

Share of employment 7% 18% 24% 33% 18%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Figure 9 (PSOR\PHQWVWUXFWXUHRIVHUYLFHFHQWUHVLQWKH.DWRZLFH$JJORPHUDWLRQFODVVL̨HGE\VL]H Source: ABSL's proprietary analysis

Year of establishment before 20062006-2008 2009-2011 2012-2014

Share of the total number 22% 42% 19% 17% of centres

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Figure 10 Business service centres in the Katowice Agglomeration by year of establishment Source: ABSL's proprietary analysis Katowice Agglomeration. Business Services Powerhouse 17 Business service centres in Katowice and Katowice Agglomeration

Type and geographic scope of services rendered by the centres

21%

25% Central and Eastern Europe Poland

50%

USA 88%

Western 17% Europe

Asia, Australia and Oceania Service centres in the Katowice Agglomeration handle 13% business processes of companies located in many different parts of the world. Some of them operate on a global Middle East UECNGQPDGJCNHQHGPVKVKGUNQECVGFKPCNNURGEKƓGFCTGCU and Africa However, the vast majority focus on serving customers from Western Europe.

Figure 11 Geographic scope of services rendered by the centres located in the Katowice Agglomeration Source: ABSL's proprietary analysis based on a questionnaire sent to the service centres [N=24 companies]

,7VHUYLFHV1 32.5%

Customer services 25.6%

Finance and accounting services 12.0%

Project management 4.7%

Records management 3.6%

Business transformation 2.3%

Human resources management 2.2%

Other services2 17.1%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Figure 12 Employment structure in service centres by processes handled Source: ABSL's proprietary analysis based on a questionnaire sent to service centres [N=26 companies employing 9,725 persons] LQFOXGLQJVRIWZDUHGHYHORSPHQW LQFOXGLQJͧQDQFLDOVHUYLFHVDXGLWVXSSRUWVHUYLFHVGDWDYHULͧFDWLRQVHUYLFHVVXSSO\PDQDJHPHQWPDUNHWLQJ services, legal services. 18 Katowice Agglomeration. Business Services Powerhouse Business service centres in Katowice and Katowice Agglomeration

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0 10% 20% 30% 40% 50% ,7̰,76HUYLFH'HVN 42%

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,7̰3UREOHP0DQDJHPHQW 19% ,7̰$FFHVV0DQDJHPHQW 15% ,7̰,7,/0DQDJHPHQW 15%

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) $̰$FFRXQWV5HFHLYDEOH 31% ) $̰$FFRXQWV3D\DEOH 27%

) $̰*HQHUDO/HGJHU 5HSRUWLQJ 19%

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) $̰0DVWHU'DWD0DQDJHPHQW 12%

) $̰7UHDVXU\ 4%

3URMHFW0DQDJHPHQW 31% HR – Payroll 23%

+5̰+5$GPLQLVWUDWLRQ 5HSRUWLQJ 15% +5̰&RPSHQVDWLRQ %HQHͤWV 12%

HR – Recruitment 8%

+5̰7DOHQW0DQDJHPHQW 8% +5̰0RELOLW\ 4%

&XVWRPHU2SHUDWLRQV̰6DOHV $FFRXQW0JPW6XSSRUW 19%

Customer Operations – Customer Helpdesk 15%

&XVWRPHU2SHUDWLRQV̰)XOͤOOPHQW 4%

'RFXPHQW0DQDJHPHQW 12%

%XVLQHVV7UDQVIRUPDWLRQ̰3URFHVV7UDQVIRUPDWLRQ 12% 6XSSO\&KDLQ0DQDJHPHQW 3ODQWR'HOLYHU 4%

Procurement 4% 5HVHDUFK 'HYHORSPHQW RWKHUWKDQVRIWZDUHGHYHORSPHQW 4%

Other processes 39%

0 10% 20% 30% 40% 50%

Figure 13 Processes handled in service centres in the Katowice Agglomeration Source: ABSL's proprietary analysis based on a questionnaire sent to service centres [N=26 companies employing 9,725 persons] Katowice Agglomeration. Business Services Powerhouse 19 Business service centres in Katowice and Katowice Agglomeration

Other characteristics of sectors

Financial services (banking, insurance, investments) 65%

7HFKQRORJ\DQGWHOHFRPPXQLFDWLRQ 65%

Production of industrial and consumer goods 54%

Consumer services (including trading and distribution) 38%

3RZHUPXQLFLSDOVHUYLFHVUDZPDWHULDOVDQGVHPLͤQLVKHGSURGXFWV 27%

Public sector 27%

Healthcare services 15%

Other sectors 8%

0% 10% 20% 30% 40% 50% 60% 70%

Figure 14 Sector structure of companies (external and internal customers) supported by service centres based in the Katowice Agglomeration Source: ABSL's proprietary analysis on the basis of a questionnaire sent to service centres [N=26 companies employing 9,725 persons]

96% – percentage of centres that have 96% – percentage of centres, in which developed their scope of services during the last the level of rendered services has increased four years during the last four years

235 persons – average employment in service centres in the Katowice Agglomeration (median – 142 persons)

Fixed Price 64%

7LPH 0DWHULDO &RVW3OXV 50%

)7(EDVHG UDWHFDUG 36%

7UDQVDFWLRQEDVHG 18%

%HQHͤWEDVHG 5%

Revenue-based 5%

0% 10% 20% 30% 40% 50% 60% 70%

Figure 15 Settlement models in business service centres in the Katowice Agglomeration Source: ABSL's proprietary analysis based on a questionnaire sent to service centres [N=22 companies] 20 Katowice Agglomeration. Business Services Powerhouse Business service centres in Katowice and Katowice Agglomeration

Languages of services rendered by and Italian language (36%). A considerable percent- service centres age of centres use other European languages, such as Czech, Dutch, Russian or Spanish. In individual Service centres in Katowice and the Katowice cases the service centres use other languages, Agglomeration render business services in 24 VXFKDV%XOJDULDQ6HUELDQ6ORYHQLDQ7XUNLVK ODQJXDJHV7KHVHDUHPDLQO\(XURSHDQODQJXDJHV 0DFHGRQLDQ&KLQHVHRU+LQGL6OLJKWO\PRUHWKDQ 7KHYDVWPDMRULW\RIWKHFHQWUHVVXUYH\HG 1/4 of examined centres use seven and more foreign UHQGHUVHUYLFHVLQ(QJOLVK0DQ\FHQWUHVXVHLQWKHLU languages in their work. ZRUN3ROLVK *HUPDQ )UHQFK

100%

90%

80% 24 languages 70%

60%

50%

40%

30%

20%

10%

Polish Italian Czech Dutch English French Danish Slovak Finnish 7XUNLVK *HUPDQ Russian Spanish Swedish Serbian Hungarian Ukrainian Bulgarian Slovenian Portuguese Norwegian

Figure 16 other languages Languages used in service centres in Katowice and the Katowice Agglomeration Source: ABSL's proprietary analysis on the basis of the questionnaire sent to service centres [N=25 companies]

Development plans of service centres have no plans to develop their activities to other localisations, and 24% companies have not decided 7KHYDVWPDMRULW\RIFHQWUHVLQ.DWRZLFHDQGWKH about it. Katowice Agglomeration plan to introduce changes in the scope of their business during the next two Table 3 Plans of service centres concerning the expansion \HDUV7KH\ZDQWWRDGGPRUHRSHUDWLRQVDQGDFTXLUH of operations within one to two years QHZFXVWRPHUV RUDFTXLUHQHZFXVWRPHUV Expansion of operations without changing the scope of rendered services 64% – new operations, new customers (24%). Small percentage of companies (12%) want Expansion of operations to focus on stabilisation and optimisation of their 24% current activities. – the same operations, new customers Stabilisation and optimisation 12% 0RUHWKDQRIDQDO\VHGFRPSDQLHV KDYH of current activities

already precise plans concerning extension of their Source: ABSL's own analysis on the basis of the questionnaire activities to other locations. 40% of examined entities sent to the services centres [N=25 companies] Katowice Agglomeration. Business Services Powerhouse 21 Business service centres in Katowice and Katowice Agglomeration

'ORNQ[GGDGPGƓVUQHHGTGFD[UGTXKEG centres

All service centres analysed in Katowice and the /HVVSRSXODUHPSOR\HHEHQHͤWVDUHUHFUHDWLRQDO .DWRZLFH$JJORPHUDWLRQRIIHUEHQHͤWVWRWKHLUHPSOR\- trips or activities (24%), additional health insurance HHV7KHPRVWSRSXODUEHQHͤWVDUHPHGLFDOSDFNDJH (other than a medical package) (20%), purchase of and sport cards (84% each). A large amount of compa- shares on preferential conditions (12%) and pension nies have a possibility to co-fund language courses fund (8%). It should be added that 28% of companies DQGVSRUWDFWLYLWLHV 0RUHWKDQDKDOIRI XVHFDIHWHULDEHQHͤWSODQV,QVRPHFDVHVWKHULJKW companies offer life insurance (56%), or they offer to WRXVHVHOHFWHGHPSOR\HHEHQHͤWVGHSHQGVRQWKH co-fund university studies, postgraduate studies or any positions of the employees concerned. type of specialist courses (52%) to their employees.

100%

90% 84% 84%

80%

68% 70% 60% 56% 60% 52%

50%

40%

30% 24% 20%

20% 12% 8% 10%

Life fund 0HGLFDO Sporting Pension package Co-funding Activities Co-funding of shares %HQHͤW&DUG Insurance Leasure/ activities trips

Preferential purchase of language courses

Additional health insurance (or another card of this type) of studies and other courses

(other than the medical package)

Figure 17 (PSOR\HHEHQH̨WVRIIHUHGE\VHUYLFHFHQWUHVLQ.DWRZLFHDQGWKH.DWRZLFH$JJORPHUDWLRQ Source: ABSL's proprietary analysis based on a questionnaire sent to the service centres [N=25 companies] 22 Katowice Agglomeration. Business Services Powerhouse Business service centres in Katowice and Katowice Agglomeration

Evaluation of the location positively assessed the following: the availability of of the business activity KLJKO\TXDOLͤHGVWDII SRVLWLYHJUDGHVDYHUDJH JUDGH DYDLODELOLW\RIPRGHUQRͦFHVSDFH RI ,QDTXHVWLRQQDLUHEDVHGVWXG\UHSUHVHQWDWLYHVRI positive grades, average grade: 3.8) and cooperation service centres were asked for their opinions on the with local authorities (67% positive grades, average TXDOLWLHVRIWKH.DWRZLFH$JJORPHUDWLRQDVDEXVLQHVV grade: 3.8). According to the representatives of compa- ORFDWLRQ$OORIWKHDUHD VDQDO\VHGTXDOLWLHVZHUH QLHVWKHTXDOLW\RISXEOLFWUDQVSRUWDWLRQLQWKH.DWRZLFH DVVHVVHGSRVLWLYHO\7KHDYDLODELOLW\RIPHDQVRI Agglomeration may be assessed as above average transportation was rated highly: almost all respond- (68% of positive grades, average grade: 3.6), and the ents assessed it as good to very good (the average SHUFHSWLRQRIWKHUHJLRQE\LQYHVWRUVLVSURͤWDEOH grade was 4.3 on a 5-point scale). Respondents also (56% of positive grades, average grade: 3.6).

Availability of means of transportation (airports, railways) 32% 64% 4%

$YDLODELOLW\RIKLJKO\TXDOLͤHGVWDII 20% 60% 20%

$YDLODELOLW\RIPRGHUQRͦFHVSDFH 20% 52% 12% 16%

Cooperation with local authorities 21% 46% 21% 13%

Quality of public transport 8% 60% 24% 4% 4%

Image of the region in the opinions of investors 12% 44% 40% 4%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Figure 18 Opinions of the representatives of the Very good *RRG Neutral Bad Very bad centres on the selected qualities of their companies' locations Source: ABSL's proprietary analysis based on a questionnaire sent to service centres Availability of means of transportation (airports, railways) [N=25 companies] 4.3

Image Availability of the region 4.0 of highly in the TXDOLͤHGVWDII Representatives of the centres 3.6 opinions of assess that the competition investors among BPO, ITO, SSC, R&D and contact centres in the Katowice 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 Agglomeration is quite strong, and its average grade amounts to 7.13 (on a 1-10 scale). Quality 3.6 Availability of public 3.8 RIPRGHUQRͦFH transport space

Figure 19 Average grades given by the representatives of the centres on the 3.8 selected qualities of their companies' location (on a 1-5 scale) Source: ABSL's proprietary analysis based on a questionnaire sent to Cooperation with local service centres [N=25 companies] authorities Katowice Agglomeration. Business Services Powerhouse 23 Business service centres in Katowice and Katowice Agglomeration

Commuting to Katowice 7KHFRPPXWLQJ]RQHIRUVHUYLFHFHQWUHVORFDWHGLQ .DWRZLFHLVTXLWHH[WHQVLYH(PSOR\HHVFRPPXWHWR 7KHPDMRULW\RIHPSOR\HHVRIWKHVXUYH\HGVHUYLFH Katowice both from cities located in the Katowice centres in Katowice are commuters from other cities Agglomeration and from more distant centres, such as RQDYHUDJH 7KLVLVSURRIRIWKHKLJKVSDWLDO Rybnik or Kraków. mobility of the inhabitants of the region and also of the well-developed road network and municipal transpor- Centres located in other cities of the Katowice WDWLRQLQWKH.DWRZLFH$JJORPHUDWLRQ$WDVLJQLͤFDQW Agglomeration have smaller commuting areas majority of the surveyed centres, commuters to PRVWRIWHQFRYHULQJFLWLHV 7KH\XVXDOO\UHFHLYH Katowice from other cities in the region accounted commuters from adjacent cities. for 50% to 75% of the staff.

11% 2KGMCT[ɹNȰUMKG

37% &ȰDTQYC)ȡTPKE\C 53% Bytom

16% Zabrze 5KGOKCPQYKEGɹNȰUMKG 1% ɹYKɂVQEJQYKEG 16% 53% Gliwice 63% %JQT\ȡY 58% Sosnowiec 32% 4WFCɹNȰUMC

Katowice 5% Jaworzno

11% /[UQYKEG 12%

29% 37% Tychy 59%

>75% 50-75% <50%

Percentage of employees commuting <15% answers: Kraków, Rybnik and other cities to centres in Katowice from other cities outside the Katowice Agglomeration (N=17)

>50% 30-50% 15-29% <15%

Figure 20 3HUFHQWDJHRIDQVZHUVIURPVHUYLFHFHQWUHVORFDWHGLQ.DWRZLFHPHQWLRQLQJVSHFL̨FFLWLHVIURPZKLFKWKHLUHPSOR\HHVFRPPXWH Source: ABSL's proprietary analysis based on a questionnaire sent to service centres [N=19 companies] 24 Katowice Agglomeration. Business Services Powerhouse Business service centres in Katowice and Katowice Agglomeration

Relationships of service centres their students with different companies, including the with universities business service centres. For instance, the Silesian 8QLYHUVLW\RI7HFKQRORJ\KDVVLJQHGVXFKDJUHHPHQWV Business service centres operating in Katowice with the following companies, e.g. Future Processing, and the Katowice Agglomeration cooperate with *HQHUDO0RWRUV,1*-FRPPHUFH/*%66RIWZDUH XQLYHUVLWLHV7KH\RIIHULQWHUQVKLSVDQGYRFDWLRQDO 2PQLV6DLQW*REDLQ7HQQHFR7LPNHQ7KDQNVWR trainings for students, participate in work fairs, and this cooperation with companies, while still studying, organise information days and series of workshops VWXGHQWVFDQREWDLQͤUVWSURIHVVLRQDOH[SHULHQFHLQ DQGOHFWXUHV7KH\GHYHORSWKHNQRZOHGJHDQGVNLOOV the sector, and the service centres may attract future of university students, postgraduate students and employees. research staff, and they also look for future employ- HHV7KH\FRRSHUDWHZLWKXQLYHUVLW\RUJDQLVDWLRQV 7KLVFRRSHUDWLRQRIVHUYLFHFHQWUHVZLWKXQLYHUVL- VXFKDVVWXGHQWUHVHDUFKJURXSVDQGFDUHHURͦFHVDV ties takes various forms. First of all, companies try well as with organisations operating at the universities WRDWWUDFWIXWXUHHPSOR\HHV 7KH\FXOWLYDWH HJWKH,QQRYDWLRQDQG7HFKQRORJ\7UDQVIHU&HQWUH the development of their competencies and skills, RSHUDWLQJDWWKH6LOHVLDQ8QLYHUVLW\RI7HFKQRORJ\ organising conferences (33%), trainings and courses (29%), educational projects (29%), and studies (21%) 7KHXQLYHUVLWLHVEDVHGLQWKH.DWRZLFH$JJORPHUDWLRQ or conducting research projects in cooperation enter into cooperation agreements in respect to organ- with universities (8%). 1/4 of the surveyed service isation of vocational trainings and internships for centres do not cooperate with universities.

Recruitment of future employees 75%

Conferences 33%

7UDLQLQJVFRXUVHV 29%

Educational projects 29%

Joint studies 21%

Research projects 8%

7KHFRPSDQ\ VHUYLFHFHQWUH GRHVQRWFRRSHUDWH % with universities 25 0 20% 40% 60% 80% 100% Figure 21 Forms of cooperation between service centres and universities Source: ABSL's proprietary analysis based on a questionnaire sent to service centres [N=25 companies]

Photo: Katowice City Hall Katowice Agglomeration. Business Services Powerhouse 25 Business service centres in Katowice and Katowice Agglomeration

Company Examples of actions undertaken within the framework of cooperation with the universities in the Katowice Agglomeration

» &RRSHUDWLRQIRULQVWDQFHZLWKWKH8QLYHUVLW\RI6LOHVLDWKH6LOHVLDQ8QLYHUVLW\RI7HFKQRORJ\WKH8QLYHUVLW\RI(FRQRPLFV LQ.DWRZLFHWKH.DWRZLFH6FKRRORI(FRQRPLFVWKH6LOHVLDQ6FKRRORI0DQDJHPHQW » 7KHDPEDVVDGRUSURJUDPPPHIRUQGUGDQGWK\HDUVWXGHQWVRIWKH8QLYHUVLW\RI(FRQRPLFVLQ.DWRZLFHDQGWKH University of Silesia, which, for example, offers paid vocational placements in Capgemini as well as participation in training Capgemini FRXUVHV7KH&RPSDQ\ VDPEDVVDGRUWDNHVSDUWLQDSDLGSODFHPHQWIRUPRQWKV LQ.DWRZLFHLQWKHGHSDUWPHQWRI Business Process Outsourcing and Infrastructure Services), and then he/she cooperates with Capgemini for the next 10 months. » 2UJDQLVDWLRQRIWUDLQLQJFRXUVHVOHFWXUHVDQGLQGXVWU\HYHQWVHJ&DUHHU0HHWLQJVZLWK&DSJHPLQL6RIWZDUH6ROXWLRQV &HQWHUIRU,7VWXGHQWVDQGVWXGHQWVRIUHODWHGVXEMHFWVLQWHUHVWHGLQZRUNLQ,7VHFWRU

» &RRSHUDWLRQZLWKWKH6LOHVLDQ8QLYHUVLW\RI7HFKQRORJ\LQ*OLZLFHDQGZLWKWKH8QLYHUVLW\RI6LOHVLD » Funding two computer laboratories at these universities. » Vocational training, internships, seminars and training for students. Future » 2UJDQLVLQJDF\FOHRIZRUNVKRSVDQGOHFWXUHVHQWLWOHG*RRG3UDFWLFHVRI6RIWZDUH'HYHORSPHQWZLWKLQWKHIUDPHZRUNRI Processing WKH)3$FDGHP\$SURMHFWDGGUHVVHGWRWKHVWXGHQWVRIWKH6LOHVLDQ8QLYHUVLW\RI7HFKQRORJ\DQGWKH8QLYHUVLW\RI6LOHVLD » 3UHSDUDWLRQRIWKHSURJUDPPHDQGFRQGXFWLQJDFRXUVHHQWLWOHG'HYHORSPHQWRI6RIWZDUHLQ9DULDEOH%XVLQHVV (QYLURQPHQW̹ IRU,7VWXGHQWVRIWKH6LOHVLDQ8QLYHUVLW\RI7HFKQRORJ\ GHYRWHGWRVRIWZDUHGHYHORSPHQWDVDVROXWLRQ of a business problem.

» &RRSHUDWLRQIRULQVWDQFHZLWKWKH6LOHVLDQ8QLYHUVLW\RI7HFKQRORJ\LQ*OLZLFHWKH8QLYHUVLW\RI6LOHVLDWKH8QLYHUVLW\RI (FRQRPLFVLQ.DWRZLFHWKH.DWRZLFH6FKRRORI(FRQRPLFVWKH6LOHVLDQ%XVLQHVV6FKRROLQ'ÇEURZD*µUQLF]D » Workshops organised for the students of the University of Economics in Katowice about Big Data and business analytics XVLQJ,%0 VVWDWHRIWKHDUWWHFKQRORJ\DQGVRIWZDUH » Programmes of vocational placements for university students, postgraduate students and research staff, e.g. in the form RI&ORXGFRPSXWLQJ YLUWXDOWUDLQLQJWKHFORXG DQG,%0FHUWLͤFDWHVIRUWKHXQLYHUVLWLHV UHVHDUFKVWDII IBM » Providing the universities with access to software and didactic materials. » 6SHFLDOWHDFKLQJSURJUDPPHVIRUVWXGHQWV&RUSRUDWH5HDGLQHVV&HUWLͤFDWH7KLVLVDSURMHFWWKDWOLQNVWKHZRUOGRIEXVL- QHVVZLWKWKHZRUOGRIVFLHQFH7KHXQGHUWDNLQJZDVLQLWLDWHGE\WKUHHLPSRUWDQWFRPSDQLHVDWWKHPDUNHW,%03ROVND,1* 6HUYLFHV3ROVND,1*%DQNĜOÇVNLDQGWKH8QLYHUVLW\RI(FRQRPLFVLQ.DWRZLFH,QWKLVSURMHFWVWXGHQWVKDGWKHRSSRUWXQLW\ WRGHYHORSWKHLUNQRZOHGJHDQGREWDLQQHZSUDFWLFDOVNLOOVUHODWHGWR,7SURMHFWGHYHORSPHQWDQGPDQDJHPHQW7KHͤUVW edition of the project ended on 17 June 2014.

» Cooperation with the University of Silesia, the University of Economics in Katowice, and others. » ,QFRRSHUDWLRQZLWKWKH&DUHHU2ͦFHRIWKH8QLYHUVLW\RI6LOHVLDWKHLQWHUQHVKLSSURMHFWIRUSURJUDPPHUVHQWLWOHG&DUHHU 3URJUDPPLQJ̰6XSSRUWIRU

» Cooperation with the University of Economics in Katowice and other universities. » Educational activities (workshops, presentations, meetings with students). » Annual ambassador programme for students. » Offers of vocational training and internships for students and graduates. » PwC 2UJDQLVDWLRQRIDFRPSHWLWLRQHQWLWOHG*UDV]RVWDľ̹ :LQDWUDLQLQJ IRUVWXGHQWV,WLVDQDWLRQZLGHFRPSHWLWLRQLQZKLFK students may win paid content-related trainings in many companies, also from the sector of business services. » :(;YRFDWLRQDOWUDLQLQJSURJUDPPHIRUͤUVW\HDUVWXGHQWVLQWKHFRPSDQ\ VPDLQDQGORFDORͦFHV)LUVWSURIHVVLRQDOH[SHUL- HQFHWUDLQLQJ7KHEHVWWUDLQHHVKDYHWKHRSSRUWXQLW\WRSDUWLFLSDWHLQVKRUWHQHGUHFUXLWPHQWSURFHVVLQWKHFRPSDQ\ » $FRPSHWLWLRQHQWLWOHG([SHULHQFH3Z&IRUVWXGHQWVRIWKHODVW\HDUVDQGJUDGXDWHV̰2FWREHU1RYHPEHU $QQLYHUVDU\HGLWLRQ7KHFRPSHWLWLRQJLYHVWKHVWXGHQWDFKDQFHWRIDFHUHDOSUREOHPVHQFRXQWHUHGE\3Z& VHPSOR\HHV

Source: ABSL's proprietary analysis based on the websites of individual companies 26 Katowice Agglomeration. Business Services Powerhouse Labour market

3 | Labour market

Katowice is the city of young and educated people with very good knowledge of foreign languages who are ready to face challenges set for them by employers from the business service sector. More than 107 thousand students study at universities located in the Katowice #IINQOGTCVKQP%CVJQWUCPFITCFWCVGUYKVJCXCTKGV[QHƓTUVTCVG skills enter the labour market every year.

Photo: Katowice City Hall Katowice Agglomeration. Business Services Powerhouse 27 Labour market

LABOUR MARKET

Katowice Katowice Agglomeration

¥ 18,000 ¥ 32,000 number of university graduates number of university graduates in Katowice (2012/2013)1 in the Katowice Agglomeration (2012/2013)1

# 58,000 # 107,000 number of university students number of university students in Katowice (2013/2014)1 in the Katowice Agglomeration (2013/2014)1

Knowledge of foreign languages2

English 90.0% French 14.3% German 43.8% Spanish 11.6% Russian 27.5% Italian 11.9%

The sample consists of individuals with university education who have recently looked for a job. The result represents claimed knowledge of a foreign language at least basic level. (n = 15,500 persons)

Percentage of employees of the analysed service centres in Katowice commuting 61% from other cities3

Figure 22 The labour market in Katowice and the Katowice Agglomeration 6RXUFH GDWDRIWKH&HQWUDO6WDWLVWLFDO2IͧFHRI3RODQG GDWDRI+$<63RODQG $%6/GDWD 28 Katowice Agglomeration. Business Services Powerhouse Labour market

Human capital 25,000

In the Katowice Agglomeration students have a FKDQFHWRDFTXLUHNQRZOHGJHDQGGHYHORSWKHVNLOOV 20,000 QHFHVVDU\WREHFRPHTXDOLͤHGHPSOR\HHVLQWKH EXVLQHVVVHUYLFHVHFWRULQWKHIXWXUH7KH\VWXG\IRU LQVWDQFHHFRQRPLFDQGDGPLQLVWUDWLYHVXEMHFWV,7RU 15,000 engineering and technical subjects.

0DQ\VWXGHQWVFKRRVHFRXUVHVRIVWXG\FRQQHFWHG 10,000 with foreign languages. At the University of Silesia 6,251 students study at the Philological Faculty (02.2014), including (in academic year 2013/2014) 5,000 VWXG\LQJIRUHLJQSKLORORJ\7KHODUJHVWQXPEHU of students selected English philology. It should be noted that the second most popular language was 0 Economic Engineering- ,7 Russian. and administrative -technical

In Katowice there is an international school offering Katowice1 Katowice Agglomeration three levels of education: primary, lower secondary and upper secondary (ending with international exam) that gives residents an opportunity to learn languages Figure 23 and enhance their future attractiveness on the labour Number of students at economic and administrative, IT and engineering and technical faculties in the subregion PDUNHWDWHYHU\OHYHORIHGXFDWLRQ0RUHRYHUWKHUG of Katowice and the Katowice Agglomeration (2013/2014) Comprehensive Secondary School in Katowice teaches Source: ABSL's proprietary analysis based on data of the Central according to the International Baccalaureate Diploma 2IͧFHRI6WDWLVWLFV Programme. LQFOXGLQJ0\VĄRZLFH&KRU]µZ5XGDĜOÇVNDĜZLÛWRFKĄRZLFH DQG6LHPLDQRZLFHĜOÇVNLH

2,000 1,790 Almost every student in Katowice states that he/she knows English (96% students). Almost half of the students (45%) state that they speak German (BKL 2011, 2013, N=3,039). 1,500

1,000

496 500 389 297 291 224 211 174

0 English Russian *HUPDQ Romance Spanish Italian Slavic French

Figure 24 Number of foreign philology students at the University of Silesia in the academic year 2013/2014 6RXUFH$%6/ VSURSULHWDU\DQDO\VLVEDVHGRQGDWDRIWKH8QLYHUVLW\RI6LOHVLDUHSRUWRIWKH&HQWUDO6WDWLVWLFDO2IͧFHRI3RODQG DVRI Katowice Agglomeration. Business Services Powerhouse 29 Labour market

KATOWICE KATOWICE KATOWICE AGGLOMERATION KATOWICE AGGLOMERATION

Number of unemployed people with secondary Unemployment rate (08.2014) and post-secondary education 4.9% 11.3% 3,339 U 23,920 (average for the cities of the Katowice Agglomeration)

Number of unemployed with university degree Number of working-age population

1,576 + 8,618 192,198 z 1,219,856

Figure 25 Information on unemployment and the number of individuals of working age in Katowice and the Katowice Agglomeration 6RXUFH$%6/ VSURSULHWDU\DQDO\VLVEDVHGRQGDWDRIWKH&HQWUDO2IͧFHRI6WDWLVWLFV

Demand for employees who speak foreign languages

Service centres operating in Katowice and the foreign languages. Knowledge of English was Katowice Agglomeration published on the portal necessary in less than 1,100 cases. In almost 600 job Pracuj.pl (from 01.01.2014 to 24.09.2014) almost advertisements, employers expected knowledge of MREDGYHUWLVHPHQWVUHTXLULQJNQRZOHGJHRI other foreign languages.

160 English 140 120 1,089 100

Dutch Czech Italian French Danish Finnish Slovak 7XUNLVK *HUPDQ Spanish Swedish Flemish Hungarian Romanian Slovenian Norwegian Portuguese

other languages Figure 26 Number of job offers requiring knowledge of foreign languages 6RXUFH$%6/ VSURSULHWDU\DQDO\VLVEDVHGRQGDWDIURPWKHZHEVLWH3UDFXMSOIURP 30 Katowice Agglomeration. Business Services Powerhouse Labour market

Salaries at service centres

Table 4 Salaries at selected positions requiring knowledge of languages other than English [PLN]

German, French, Slavic and Baltic Dutch and Scandinavian Spanish, Italian languages languages

General Ledger Min Opt Max Min Opt Max Min Opt Max

Junior Accountant (up to 1 year of experience) 3,000 3,500 5,000 3,300 3,850 4,950 3,500 4,200 5,200

Accountant (1-3 years of experience) 4,000 5,000 6,600 4,400 5,500 6,600 4,600 5,750 6,900

Senior Accountant (more than 3 years of experience) 5,000 6,500 8,000 5,500 7,150 8,250 5,800 7,500 8,500

7HDP/HDGHU(a team of 5-15 persons) 7,000 8,000 10,000 7,700 8,800 10,450 8,000 9,200 1,000

3URFHVV0DQDJHU(a team of at least 20 persons) 12,000 15,000 20,000 13,200 16,500 19,800 14,000 17,000 21,000

Accounts Payable / Accounts Receivable Min Opt Max Min Opt Max Min Opt Max

Junior Associate (up to 1 year of experience) 2,800 3,000 4,000 3,100 3,300 4,000 3,200 3,500 4,200

Associate (1-3 years of experience) 3,500 4,000 5,000 3,800 4,400 5,000 4,000 4,600 5,200

Senior Associate (more than 3 years of experience) 4,500 5,000 6,600 5,000 5,500 6,600 5,200 5,800 7,000

7HDP/HDGHU(a team of 5-15 persons) 6,500 7,000 9,000 7,200 7,700 9,000 7,500 8,000 9,200

3URFHVV0DQDJHU(a team of at least 20 persons) 10,000 12,000 17,000 1,000 13,000 17,000 12,000 14,000 18,000

Customer Service Min Opt Max Min Opt Max Min Opt Max

Junior Specialist (without experience) 2,800 3,000 3,800 3,100 3,300 3,800 3,200 3,500 4,000

Specialist (more than a year of experience) 3,000 3,500 4,500 3,300 3,850 4,600 3,500 4,000 4,800

7HDP/HDGHU(a team of 5-15 persons) 5,500 6,500 8,200 6,000 7,200 8,200 6,300 7,500 8,600

3URFHVV0DQDJHU(a team of at least 20 persons) 10, 000 12,000 16,500 11,000 13,000 16,500 12,000 14,000 18,000

6RXUFH+$<63RODQG

Photo: Katowice City Hall Katowice Agglomeration. Business Services Powerhouse 31 Labour market

Table 5 Salaries at selected positions (with knowledge of English) at service centres in the Katowice Agglomeration [PLN]

General Ledger Min Opt Max Junior Accountant (up to 1 year of experience) 3,000 3,500 4,500 Accountant (1-3 years of experience) 4,000 5,000 6,000 Senior Accountant (more than 3 years of experience) 5,000 6,500 7,500 7HDP/HDGHU(a team of 5-15 persons) 7,000 8,000 9,500 3URFHVV0DQDJHU(a team of at least 20 persons) 12,000 15,000 18,000

Accounts Payable / Accounts Receivable Min Opt Max Junior Associate (up to 1 year of experience) 2,800 3,000 3,500 Associate (1-3 years of experience) 3,500 4,000 4,500 Senior Associate (more than 3 years of experience) 4,500 5,000 6,000 7HDP/HDGHU(a team of 5-15 persons) 6,500 7,000 8,000 3URFHVV0DQDJHU(a team of at least 20 persons) 10,000 12,000 15,000

Customer Service Min Opt Max Junior Specialist (without experience) 2,800 3,000 3,500 Specialist (more than a year of experience) 3,000 3,500 4,200 7HDP/HDGHU(a team of 5-15 persons) 5,500 6,500 7,500 3URFHVV0DQDJHU(a team of at least 20 persons) 10,000 12,000 15,000

IT / Technical Support Min Opt Max 1st Line Support (up to one year of experience) 2,800 3,000 3,500 2nd Line Support 4,000 5,000 6,000 7HDP/HDGHU(a team of 5-15 persons) 6,000 7,500 8,000 3URFHVV0DQDJHU(a team of at least 20 persons) 9,000 12,000 15,000

Procurement (Order Management) Min Opt Max Junior Specialist (up to 1 year of experience) 3,000 3,500 4,000 Specialist (1-3 years of experience) 4,500 5,000 6,000 Senior Specialist (more than 3 years of experience) 6,000 7,000 8,000 7HDP/HDGHU(a team of 5-15 persons) 7,500 8,000 9,000 3URFHVV0DQDJHU(a team of at least 20 persons) 12,000 15,000 18,000

HR Processes Min Opt Max Junior Specialist (up to 1 year of experience) 2,800 3,000 3,500 Specialist (1-2 years of experience) 3,500 4,000 4,500 Senior Specialist (more than 2 years of experience) 4,000 4,500 5,000 7HDP/HDGHU(a team of 5-15 persons) 6,000 6,500 8,000 3URFHVV0DQDJHU(a team of up to 50 persons) 12,000 15,000 18,000

6RXUFH+$<63RODQG 32 Katowice Agglomeration. Business Services Powerhouse 2ͦFHPDUNHW

4 | 1HƓEGOCTMGV

+PVJGNCUVVYQ[GCTUVJGFGXGNQROGPVQHVJGQHƓEGOCTMGVKP Katowice has sped up considerably, and the city has become even more recognisable on the map of outsourcing and shared service centres in Poland.

Silesia Business Park Katowice Agglomeration. Business Services Powerhouse 33 2ͦFHPDUNHW

1HƓEGOCTMGV KATOWICE in numbers 337,000 55% m2 total resources the increase in QHOQFGTPQHƒEG -CVQYKEG UQHƒEG space in Katowice resources over the last 5 years

32% 48 NGCUGFQHƒEGURCEGKP-CVQYKEG lease agreements signed occupied by the business service sector HQTQHƒEGDWKNFKPIUKP-CVQYKEG KPVJGƒTUVJCNHQH 34,500 54,300 gross volume [m2] m2QHQHƒEGURCEG under construction 43,600 m2QHQHƒEGURCEGTGCEJKPI the market in the second 12.50-13.75 half of 2014 rental rates in m² / month for the best SWCNKV[QHƒEGURCEGKP-CVQYKEG 23 QHƒEGDWKNFKPIU (commissioned during the 25,400 last 5 years) 2 m QHGZKUVKPIQHƒEGURCEG Figure 27 currently awaiting tenants 2̪FHPDUNHWLQQXPEHUV 6RXUFH-//VHFRQGTXDUWHU 34 Katowice Agglomeration. Business Services Powerhouse 2ͦFHPDUNHW

Undoubtedly, the introduction of new entities from Strzelców Bytomskich Street in Bytom (12,200 m2, the business service sector has had an impact on the PRGHUQLVHGLQWKHVHFRQGTXDUWHURI 6HYHUDO GHYHORSPHQWRIWKHRͦFHEXLOGLQJPDUNHW7KDQNV RͦFHSURMHFWVDUHXQGHUFRQVWUXFWLRQDQGLQWKH WRWKHPWKHGHPDQGIRUKLJKTXDOLW\RͦFHVSDFH planning phases of development. LQWKHFLW\KDVJURZQDQGPDQ\QHZRͦFHSURMHFWV have been completed. Here, we should primarily Development activity in Katowice PHQWLRQ,%0 QHZKHDGTXDUWHUVLQ$%XVLQHVV3DUN which has decided to open a new service centre in )RUWKHODVW\HDUVWKHPRGHUQRͦFHVWRFNLQ Katowice and PwC (in Silesia Business Park) which Katowice have grown by approx. 55%, which has expanded its operations. FRQͤUPVWKHLQWHQVLW\RIDFWLYLW\E\GHYHORSHUVLQ response to the demand generated by increasing 7KHWRWDOVXSSO\RIRͦFHVSDFHLQ.DWRZLFHLV number of tenants. approx. 337,000 m2PDNLQJLWWKHͤIWKODUJHVWRͦFH PDUNHWLQ3RODQGDIWHU:DUVDZ.UDNµZ:URFĄDZ 7KHODUJHVWSURMHFWVRSHQHGLQWKLVSHULRGLQFOXGH DQGWKH7UL&LW\$WWKHEHJLQQLQJRI.DWRZLFH )UDQFXVND2ͦFH&HQWHU$ %.DWRZLFH%XVLQHVV RYHUWRRN3R]QDĆLQWRWDOYROXPHRIRͦFHVWRFNDQG Point, Nowe Katowickie Centrum Biznesu, Reinhold FRQVWLWXWHVWKHPRVWLPSRUWDQWRͦFHFHQWUHLQWKH &HQWHU$ %*33%XVLQHVV3DUN, ,,DQG$ Katowice Agglomeration. Business Park phase I.

Katowice is not the only city in the Katowice Currently Katowice is well prepared to meet the $JJORPHUDWLRQZKHUHWKHPDUNHWIRUPRGHUQRͦFH UHTXLUHPHQWVRIWHQDQWVUHJDUGLQJWKHDYDLODELOLW\RI VSDFHKDVEHHQGHYHORSLQJ&KRU]µZ*OLZLFH%\WRP RͦFHVSDFH7KLVUHIHUVERWKWRFRPSDQLHVVWDUWLQJ RU6RVQRZLHFDUHWKHPDLQORFDWLRQVRIRͦFHVSDFH their operations in the city and to those already RXWVLGH.DWRZLFH7KHODUJHVWRͦFHSURMHFWDYDLODEOH established here which are looking for opportunities IRUOHDVHLQWKHVHFLWLHVLV6LOHVLD2ͦFH&HQWHULQ WROHDVHDGGLWLRQDORͦFHVSDFH Chorzów (13,500 m2 DQGWKHQHZRͦFHEXLOGLQJDW

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1 A4 Business Park I 14 *UHHQ3DUN,,,, 1 A4 Business Park II 2 Altus 15 )UDQFXVND2ͦFH&HQWHU$ % 2 *33%XVLQHVV3DUN,,, 3 Atal 16 ,1*%DQNĜOÇVNL, 3 6LOHVLD%XVLQHVV3DUN, ,, 4 Atrium 17 Katowice Business Point 4 Silesia Star I 5 Bank PKO BP 18 0LOOHQLXP3OD]D 6 BRE Bank 19 NBP Planned roads 7 Browar Factory Centrum 20 Nowe Katowickie Centrum Biznesu 8 Brynów Center I 21 2SDO*OLZLFND 9 ,1*%DQNĜOÇVNL,, 22 Opolska 22 (A, B, C, D, E, F) 10 CitiBank 23 Plus Centrum Figure 29 11 (QHUJRPRQWDľ 24 Polski Koks HQ 0DSRIR̪FH 12 Euro-Centrum I-VIII 25 5HLQKROG&HQWUH$ % space in Katowice 13 *33%XVLQHVV3DUN, ,, Source: JLL 36 Katowice Agglomeration. Business Services Powerhouse 2ͦFHPDUNHW

Currently approx. 54,000 m2RIPRGHUQRͦFHVSDFH cation of a tenant or launching of a tenant's business is being built, 80% of which will be available for use LQWKHFLW\7KHODUJHVWWUDQVDFWLRQVFRQFOXGHGLQWKH in 2014. For instance, the following buildings are ͤUVWKDOIRILQFOXGH83& H[WHQVLRQRIDOHDVH under active construction: Silesia Business Park agreement, 6,500 m2 $UWLIH[0XQGL QHZDJUHHPHQW , ,, P2), Silesia Star I (12,700 m2), A4 2,111 m 2), eSKY / World Express (extension of a lease Business Park II (9,100 m2 RU*33%XVLQHVV3DUN,,, agreement, 1,860 m2), Wincor Nixdorf (letter of intent, (7,500 m2). 1,790 m2) and Capgemini (new agreement, 1,500 m2).

0RUHRYHUWKHIROORZLQJRͦFHSURMHFWVDUHLQWKH Due to the growing accessibility of modern SODQQLQJVWDJH6LOHVLD%XVLQHVV3DUN,,, ,9 RͦFHVSDFHERWK.DWRZLFHLWVHOIDQGWKHHQWLUH ̮̮̮P2, developer – Skanska), Silesia Star II agglomeration are increasingly perceived as (12,700 m2, developer – LC Corp) and the next stage attractive locations for companies from the business of A4 Business Park (12,100 m2, developer – Echo VHUYLFHVHFWRU$WWKHHQGRIWKHͤUVWKDOIRI Investment). WKHFLW\RIIHUHGRͦFHPRGXOHVODUJHUWKDQ m2 in existing buildings and 6 in the projects under &GOCPFHQTQHƓEGURCEGKP-CVQYKEG FRQVWUXFWLRQ7KLVHQVXUHVH[FHOOHQWOHDVHRSWLRQV

7KHLQWHUHVWRIFRPSDQLHVLQ.DWRZLFHKDVEHHQ 7HQDQWVXVXDOO\FKRRVH.DWRZLFHDIWHUDQDO\VLQJ JURZLQJFRQVWDQWO\DQGGHPDQGIRUPRGHUQRͦFH VXFKIDFWRUVDVFRVWVRIOHDVLQJRͦFHVSDFH space is generated for instance by foreign investors, and labour, as well as the fact that the city offers who have decided to conduct business activity in the direct access to almost 2 million inhabitants of the .DWRZLFH6SHFLDO(FRQRPLF=RQHDQGE\FRPSDQLHV Katowice Agglomeration and has a strong position IURPEXVLQHVVVHUYLFHVHFWRU %32,7266&5 ' as an academic centre. Contact Centres). $WWKHHQGRIWKHVHFRQGTXDUWHURIWKHYDFDQF\ 7KHͤUVWKDOIRIZDVFKDUDFWHULVHGE\DUHODWLYH- rate in Katowice amounted to 7.5%, which translated ly high rate of activities by tenants which leased a into approx. 25,400 m2 of space available in existing total of approx. 34,500 m2RIRͦFHVSDFH DFFRXQWLQJ buildings. Another 40,500 m2 of modern space can IRURIWRWDOGHPDQGUHFRUGHGLQ 0RUHWKDQ EHOHDVHGLQRͦFHEXLOGLQJVWKDWDUHFXUUHQWO\XQGHU 58% of concluded agreements were new transactions construction. (including letters of intent) related mainly to the relo-

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A4 Business Park

.GXGNQHTGPVKPQHƓEGDWKNFKPIU Summary and forecasts

7KHSULPHKHDGOLQHUHQWVKDYHEHHQXQGHUGHFUHDVLQJ Due to a high level of supply in the second half of 2014 SUHVVXUHLQUHFHQW\HDUV+RZHYHULQWKHͤUVWKDOIRI (43,000 m2) and the forecasted stable level of demand 2014 we observed a slight increase in rents paid and IRURͦFHVSDFHWKHYDFDQF\UDWHLVHVWLPDWHGWRJURZ DWWKHHQGRIWKHVHFRQGTXDUWHURIWKH\UDQJHG by the end of 2014. from EUR 12.50 to 13.75 per m2/month. 0RUHRYHUWKHSLSHOLQHIRUDQGZLOOUHPDLQ Rental levels in Katowice are slightly lower than in the at the level of approx. 30,000-40,000 m2, which as a largest Polish cities. Obviously, this is advantageous result may exert upward pressure on vacancy rates IRUWHQDQWV7DNLQJLQWRDFFRXQWDOOWKHLQFHQWLYHV and ensure tenants even more attractive leasing offered, the effective rent is approx. 10-20% lower conditions. compared to base rent. We expect effective rates to remain stable in the second half of 2014.

GPP Business Park 38 Katowice Agglomeration. Business Services Powerhouse Companies tell their success stories

5 | Companies tell their success stories

Capgemini believed in Katowice's potential as early as 2006 and now employs nearly 1,500 URGEKCNKUVU6JGEQORCP[ U-CVQYKEGDTCPEJEQPUKUVUQHVYQRTGUVKIKQWUQHƓEGNQECVKQPU where we mainly deliver and develop modern services related to management of IT infrastructure belonging to our customers headquarted on continent. Our operations in Katowice started with basic support for end users, but today we offer complex solutions for IT support and improve and develop IT technologies based on the highest UVCPFCTFU1WTUKVGKP-CVQYKEGKUCUKIPKƓECPVNQECVKQPQPVJGOCRQHVJG)NQDCN0GVYQTMQH+65WRRQTV%GPVTGUCPFGPUWTGU the continuity of processes and the effective attainment of operational and business goals for our customers all over the world. Our competences also include an innovative approach to IT services management, where we take responsibility for the group of IT suppliers, merge a range of IT services and monitor the level and range of services rendered. We participate in the most complex projects implemented for companies in the public sector, power industry, pharmaceuti- ECNKPFWUVT[EJGOKECNKPFWUVT[ƓPCPEKCNUGEVQTYGUWRRQTVVJGKTDWUKPGUUPGGFUVJTQWIJQHHGTKPI+6U[UVGOUUGTXKEGUCVVJG highest possible level according to a model adjusted to customer needs.

The IBM Delivery Center Poland located in Katowice, began operation in August 2013. The centre renders a wide range of IT services, including the management of server operating systems, protection and safety of systems, services for end customers, which covers the maintenance and monitoring of IT equipment and software systems. "Katowice and the Silesian Region offer talented labour market resources, strong academic support and a friendly environ- OGPVHQTDWUKPGUUYJKEJKUPGEGUUCT[HQTQWTFGXGNQROGPVUCKF#NGʂ$CTVʐPɄM%QWPVT[)GPGTCN/CPCIGT+$/2QNCPFCPF $CNVKEU6JG%GPVTGNQQMUHQTGORNQ[GGUYKVJUKIPKƓECPVGZRGTKGPEGCPFHQTITCFWCVGUUVCTVKPIVJGKTRTQHGUUKQPCNECTGGTU IBM cooperates with local educational institutions in Upper Silesia in order to support the talents and professional skills of students.

PwC Service Delivery Center (SDC) in Katowice was established in 2009. Currently the centre employs approx. 600 employees and is constantly expanding the scope of its operations, both geographically and through developing the range of products offered. SDC focuses on supporting audit and tax teams operating within the PwC network. Services are rendered in eight different languages. The Centre in Katowice is a part of a larger INQDCNPGVYQTMVJGUQECNNGF5GTXKEG&GNKXGT[0GVYQTMYJKEJHQTOUCUKIPKƓECPVEQORQPGPVQH2Y% UDWUKPGUUUVTCVGI[CPF optimisation of services rendered to customers. SDC offers its employees opportunities for continuous development and for GPJCPEKPIVJGKTRTQHGUUKQPCNSWCNKƓECVKQPUKPCRTQHGUUKQPCNKPVGTPCVKQPCNGPXKTQPOGPV Katowice Agglomeration. Business Services Powerhouse 39 Companies tell their success stories

ING Services Polska Sp. z o.o. (ISP) is a shared service centre that provides innovative IT services to the companies from ING Group all over the world. The company is located entirely in Katowice. ISP was established in 2003 as the third strategic data processing centre in Europe. In 2005 it experienced dynamic international growth, which resulted in the creation of jobs for IT special- ists. In 2012 the company obtained EU funding amounting to more than PLN 12 million to develop the IT centre and create PGYLQDU0QY+52GORNQ[UKPFKXKFWCNUCPFUGTXGUEWUVQOGTUKPEQWPVTKGU6JGEWUVQOGTRQTVHQNKQTGƔGEVUVJG international nature of the company, which renders services for ING companies located in the largest European countries, as well as in the United States, Singapore and Australia. ISP is the company that regularly introduces innovative tech- PQNQIKECNUQNWVKQPUDCUGFQPCWVQOCVKQPQTXKTVWCNKUCVKQP1PGQHVJGOKUVJG2TKXCVG%NQWFVJGƓTUVUWEJUGTXKEGKPVJG banking sector in Poland. Dynamic development of new technologies is possible due to the establishment of the Solution CPF6GEJPQNQI[%GPVTG6JKUKUCPGPVKV[EQPUKUVKPIQHEGTVKƓGF+6CTEJKVGEVUYJQRTQXKFGNQPIVGTOFGXGNQROGPVUVTCVGIKGU for the architecture. We are able to change the IT world thanks to the extensive knowledge of the people employed there. ISP is the company with enormous potential, which has been shaping the IT labour market in Silesia for years and offers its employees many opportunities for professional development. Our aim is to train the future IT staff to ensure that our GORNQ[GGUEQPUVKVWVGVJGGNKVGKPVJGKTƓGNFU6JKUKUYJ[YGKPKVKCVGFEQQRGTCVKQPYKVJVJGDGUVVGEJPKECNWPKXGTUKVKGUKPVJG region, organising lectures for students in order to introduce them to the world of IT technologies.

The ABSL Regional Chapter in Katowice is a local action group composed of investors representing the business service sector. The priorities of the ABSL's branch in Katowice include supporting the members of the Association in their activities, exchanging knowledge and best practices for creation of a positive environment for investment and undertaking initiatives to promote the business service sector in this region. For this purpose the companies gathered at ABSL's branch in Katowice cooperate actively YKVJTGRTGUGPVCVKXGUQH-CVQYKEG%KV[*CNNVJG/CTUJCNN U1HƓEGVJG-CVQYKEG5RGEKCN'EQPQOKE

6 | Quality of life

Thanks to their vast green areas and numerous tourist, sport and recreational premises, Katowice and the Katowice Agglomeration are attractive places to spend free time. Almost 45% of Katowice's area is covered by green areas that have an impact on the quality of the city's natural environment and a higher quality of life for its population.

Photo: Katowice City Hall Katowice Agglomeration. Business Services Powerhouse 41 Quality of life

Every year Katowice hosts events attracting hundreds of thousands of attendees from various countries. 7KHVHDUHFXOWXUDODUWLVWLFDQGHQWHUWDLQPHQWHYHQWV 7KHIROORZLQJDUHWKHEHVWNQRZQIHVWLYDOV5DZD%OXHV 7DXURQ1RZD0X]\ND6LOHVLDQ-D]])HVWLYDO0D\GD\ OFF Festival.

0RUHRYHU.DWRZLFHKRVWVPDMRULQWHUQDWLRQDOVSRUW HYHQWVVXFKDV0HQ V:RUOG9ROOH\EDOO&KDPSLRQVKLS RU(XURSHDQ0HQ V+DQGEDOO&KDPSLRQVKLS (Spodek – Sport and Show Arena).

KATOWICE KATOWICE KATOWICE AGGLOMERATION KATOWICE AGGLOMERATION Cinemas Total number of hotels 8 20 16 104

Museums (including branches) 5 l 31 1 1 Theatres 13 32 6 12 Art galleries (CSO) 10 5 18 4 32 Premises with conference rooms (CSO) 16 g 66 5 26 Number of conference rooms (CSO) 70 169 i Figure 31 Quality of life in numbers Source: ABSL's proprietary analysis based on: Central Statistical 2IͧFHRI3RODQG%RRNLQJFRPHWHDWUSOQLPR]SOͧOPZHESO 42 Katowice Agglomeration. Business Services Powerhouse Support for investors

7 | Support for investors

Katowice ensures an effective local system of investment services, cooperating for instance with the Polish Information and Foreign Investment Agency, the Katowice Special Economic Zone, institutions from the DWUKPGUUGPXKTQPOGPVCPFEQPUWNVKPIƓTOU+PXGUVQTUCTGQHHGTGFUWRRQTV in implementing investment procedures, they also receive exhaustive information about the development of the business service sector in the Katowice Agglomeration. Investors can expect numerous forms of support that facilitate the launching and development of business operations. The investors' support system is operated by the Strategic Investors Assistance Department in Katowice (www.invest.katowice.eu).

Photo: Katowice City Hall Katowice Agglomeration. Business Services Powerhouse 43 Support for investors

Forms of assistance for investors

7KH.DWRZLFH6SHFLDO(FRQRPLF=RQHWKHODUJHVWVSHFLDO]RQHLQ3RODQGLQWHUPV Income tax of the volume of investments and employment, is the perfect solution for compa- exemption V QLHVWKDWZDQWWREHQHͤWIURPSXEOLFVXSSRUWLQIRUPRI&,7H[HPSWLRQVFDOFXODWHG on the basis of investment expenditures made or created new jobs.

Katowice City Hall offers real property tax exemptions within the scope of de PLQLPLVDVVLVWDQFH̰5HVROXWLRQRIWKH&LW\&RXQFLOQR/GDWHG0D\ 2014 on real estate tax exemptions within the framework of de minimis assistance. Real estate tax 0RUHRYHUWKH5HVROXWLRQQR/RIWKH.DWRZLFH&LW\&RXQFLOGDWHG exemptions 0D\JRYHUQVUHDOHVWDWHWD[H[HPSWLRQVIRUEXLOGLQJVDQGSDUWVWKHUHRIEXLOW before 1945 and located in the centre of Katowice, in which façades have been UHIXUELVKHG7KLVUHVROXWLRQLVGLUHFWHGWRZDUGVLQGLYLGXDOVDQGHQWLWLHVFRQGXFWLQJ business operations.

7KHIROORZLQJIRUPVRIVXSSRUWDUHRIIHUHGWRLQYHVWRUVZKRFUHDWHQHZMREV Services of the internship with employers, hiring of the unemployed, refunding of costs related to Poviat Labour 7 SURYLGLQJDGGLWLRQDOHTXLSPHQWIRUDZRUNSRVLWLRQLQGLYLGXDOWUDLQLQJ7KHFRVWV 1HƓEG DUHFRYHUHGE\WKH3RYLDW/DERXU2ͦFH

.DWRZLFHDORQJZLWKWKH3RYLDW/DERXU2ͦFHRIIHUVVXSSRUWZLWKWKHUHFUXLWPHQW of employees, for instance, in the form of work fairs. University Career Centres, in Recruitment of cooperation with the City Hall, can create dedicated websites and other places to employees publish job advertisements such as special notice board. Career Centres maintain GDWDEDVHVWKDWVLJQLͤFDQWO\VLPSOLI\VHDUFKHVIRUDSSURSULDWHFDQGLGDWHV

Katowice offers the organisation of marketing campaigns about investment in Marketing Katowice by means of advertisements, for example, outdoor, on-line, in social support ? media and in the press.

At the preparation stage of an investment, Katowice, along with the Poviat Labour 1HƓEGURCEG Z 2ͦFHPD\SURYLGHRͦFHVSDFHZKHUHDUHFUXLWPHQWWHDPFDQLQWHUYLHZFDQGL- dates or conduct intensive training.

Adaptation In Katowice it is possible to create additional bus stops (or additional bus connec- of public tions) for future employees of a strategic investor. transportation

Housing for the .DWRZLFHFDQRIIHUPRGHUQHTXLSSHGͥDWVDWWUDFWLYHO\ORFDWHGLQWKHFHQWUHIRU employees of an l WKHHPSOR\HHVRIVWUDWHJLFLQYHVWRUV2QHRIWKHEHQHͤWVRIWKLVW\SHRIVROXWLRQLV investor relatively low rent.

Government Employment grants and investment grants. grants + 44 Katowice Agglomeration. Business Services Powerhouse Support for investors

Contact information

Strategic Investors Assistance Department Silesian Investor and Exporter in Katowice Assistance Center

Range of tasks: Scope of activity: 1. 0DLQWDLQLQJDGDWDEDVHDERXWWKHLQYHVWPHQW 1. Providing business information about the region areas in Katowice and providing information on for investors; the terms and conditions of investments in the 2. 6HDUFKLQJIRUERWKJUHHQͤHOGDQGEURZQͤHOG city, offering consulting services for investors locations for investment; and help with locations of investments; 3. Investment support in direct contact with local 2. Services for Polish and foreign investors, includ- government entities; ing: negotiating with an investor, help with the 4. Cooperation with Katowice Special Economic preparation of necessary documents; monitoring =RQH of an investment project through successive stages, including follow-up services; Contact: 3. Preparing the city's investment offers and organising meetings of investors with representatives /CTUJCN1HƓEGQHVJG5KNGUKCP8QKXQFGUJKR of Katowice's authorities; Silesian Investor and Exporter Assistance Center 4. Cooperation in attracting investors to Katowice with: the Polish Information and Foreign ul. Ligonia 46, 40-037 Katowice ,QYHVWPHQW$JHQF\ 3$,L,= WKH.DWRZLFH6SHFLDO (FRQRPLF=RQHWKH6LOHVLDQ,QYHVWRUDQG([SRUWHU +48 32 77 40 978 Assistance Center, Polish– foreign chambers [email protected] of commerce and industry, consulting firms www.invest-in-silesia.pl and other institutions mediating the process of attracting investors; 5. Providing information about foreign investments in )ȡTPQɺNȰUMK2CTM2T\GO[UQY[5R\QQ Katowice and creating new forms of assistance for investors. Range of tasks: 7KHFRQVWUXFWLRQDQGUHQWDORIPRGHUQHQHUJ\ Contact: HͦFLHQWRͦFHVSDFHZLWKLQWKHIUDPHZRUNRIWKH *33%XVLQHVV3DUNFRPSOH[ZKLFKLQFOXGHVWKH /CVGWU\5MQYTQɧUMK *RHSSHUW0D\HUEXLOGLQJWKHRQO\RͦFHEXLOGLQJLQ Director of Strategic Investors Poland to have received the highest possible rating, Assistance Department 28767$1',1*ZLWKLQWKH8. V%5(($0V\VWHPRI FHUWLͤFDWLRQRIVXVWDLQDEOHEXLOGLQJV Katowice City Hall Contact: Rynek 1, 40-003 Katowice )ȡTPQɺNȰUMK2CTM2T\GO[UQY[5R\QQ +48 32 25 93 823 [email protected] ul. Konduktorska 39a, 40-155 Katowice www.invest.katowice.eu +48 32 78 12 000 +48 32 78 12 032 [email protected] www.gppkatowice.pl Katowice Agglomeration. Business Services Powerhouse 45 Support for investors

Upper Silesian Regional Development Agency (GARR) Science and Technological Park of Euro–Centrum Sp. z o.o. Range of tasks: Its main objective is to support regional development ul. Ligocka 103, 40-568 Katowice through cooperation with investors, government and ORFDODGPLQLVWUDWLRQDVZHOODVVFLHQWLͤFDQGHFRQRPLF +48 32 20 50 092 environments and the media, to implement EU +48 32 25 04 785 SURJUDPPHV0RUHRYHULWDOVRRIIHUVVHUYLFHVUHODWHG [email protected] to the handling and implementation of the national and foreign programmes and projects based on the FHUWLͤFDWLRQRIVWDQGDUGVRIVHUYLFHVREWDLQHGLQRUGHU to prepare effective applications for supporting funds.

Contact:

Upper Silesian Regional Development Agency (GARR)

XO3RZVWDĆFµZ.DWRZLFH

+48 32 72 85 800 +48 32 72 85 803 [email protected] www.garr.pl

Euro-Centrum Group

Range of tasks: 7KH(XUR&HQWUXP*URXSLQWKH(XUR&HQWUXP Industrial Park leases out modern space to companies that use of the potential of the business and VFLHQWLͤFHQYLURQPHQWFRQFHQWUDWHGKHUH,WDOVR conducts research, consulting, training and educational activities.

Contact: Photo: Katowice City Hall

Euro-Centrum S.A. ul. Ligocka 103, 40-568 Katowice

+48 32 25 17 478 +48 32 25 04 785 [email protected] www.euro-centrum.com.pl 46 Katowice Agglomeration. Business Services Powerhouse Poland – key information

8 | Poland – key information

USD 248.2 billion the cumulative value of foreign investments in Poland LEADER ON THE MAP OF (as per 31.12.2013) BUSINESS SERVICES EUR 82.5 billion funds for Poland within the framework of the EU 128,000 number of employees cohesion policy in 2014-2020 number of employees of BPO/ITO/SSC/R&D centres with foreign capital in Poland in 2014 (ABSL) Poland is a member of the European Union, NATO, OECD, WTO, Schengen Zone 470 number of BPO/ITO/SSC/R&D centres with foreign capital in Poland in 2014 (ABSL) 40% POSITIONS IN of employees of BPO/ITO/SSC/R&D centres with foreign RANKING LISTS capital in Central and Eastern Europe are employed in Poland (ABSL) The most attractive country in Central and Eastern Europe for new 20% investments (XURSH V,QYHVWPHQW$WWUDFWLYHQHVV(< average annual growth of employment in BPO/ITO/ SSC/R&D centres with foreign capital in Poland (ABSL) 1st 2QNCPFƒTUVKPVJG%GPVTCNCPF'CUVGTP'WTQRGCPF 150-170 thousand 3rd in the continent in terms of jobs created through estimated people employed at BPO/ITO/SSC/R&D centres direct foreign investments in 2013 (Europe's Investment with foreign capital in Poland as of the end of 2015 (ABSL) $WWUDFWLYHQHVV(< 1st most new investments in research and development in Central and Eastern Europe in 2013 (Europe's Investment $WWUDFWLYHQHVV(< Human capital The most attractive real estate market in Europe (European real estate assets 438 LQYHVWPHQWWUHQGLQGLFDWRU(< the number of universities in Poland &62 8th in the world 1.5 million in terms of knowledge of English (Education First: English the number of students in Poland &62 3URͧFLHQF\,QGH[ 10% Polish students account for 10% of total students in the EU (XURVWDW Figure 32 13.5 mln Poland – key information the number of Poles below the age of 30 &62 6RXUFH$%6/&,$:RUOG)DFWERRN(XURVWDW&HQWUDO6WDWLVWLFDO2IͧFHRI 3RODQG(<1%3ZZZHISOHSLZZZIXQGXV]HHXURSHMVNLHJRYSO www.invest.katowice.eu 48 The business service sector in the Katowice Agglomeration