Review

Full and varied program This year, too, the MCI Alumni & Friends Club marked the close of an intensive and interesting year of events with its traditional MCI Alumni Weekend, offering an exciting program as the rousing culmination of the academic year. The event began on the Friday afternoon with a get-together of MCI graduates including the jubilee years, who learnt about and discussed the MCI’s highly promising plans for the new campus, Ph.D study programs, and the new online study program in Business Administration, etc. {phocagallery view=category|categoryid=978}

Socializing & Networking was the order of the night: At the MCI Summer Clubbing in the Hofgarten, graduates, students and the MCI team, as well as friends and partners of the MCI gave themselves over to the clubbing sound and a delicious buffet until the early hours. {phocagallery view=categories|categoryid=983|imagecategoriessize=0}

Rudolf Hundstorfer, Austrian Minister of Labor, Social Affairs and Consumer Protection Minister Hundstorfer began his talk at MCI Alumni & Friends with a historical overview. He said the welfare state was still relatively young and the outcome of a long journey and could be seen as a net in support of the economy. For the future, he sees some major challenges, including longer life expectancy with resulting problems with financing pensions. He also considers it necessary to encourage people to seek to leave minimum benefit status behind them. According to the Minister, we are confronted with increasing social and economic change, as illustrated by digitalization, the smartphone culture and online shopping. He said that was creating challenges with regard to data protection and a changing working world. For Rudolf Hundstorfer, the basic principles of the welfare state include protection against risks, solidarity and equal opportunities, and it is his job to provide the necessary finance. But that, he said, was again dependent on the factor labor, which is the foundation of the welfare state, with everything based on the principle of insurance. The Minister then spoke about today’s process of structure change with regard to hours worked. Of some 3.5 million wage or salary earners, more than one million work part-time, he said. Fifty percent of them have no alternative to such employment, on the one hand because trade and industry are not offering enough full-time jobs and on the other hand because kindergarten opening hours are inadequate or family duties, such as care of the elderly, also have to be accommodated. One result of this development is a downturn in the wage share of national income, which is set to continue. Today’s changes in the working world are leading to more flexible working hours and non-standard forms of employment. Austria is the Vice European Champion in overtime working. Last year’s total was 270 million hours of overtime, which translates into an average working week of 42.5 hours. That shows the enormous potential in the country for additional jobs. The Minister accordingly called for some of the overtime to be converted into regular jobs. Just 10% of the total would be the equivalent of 8,400 full-time jobs. These developments are germane to the question of how to finance the welfare state. Hundstorfer pointed out that the welfare state was based on a regime of full-time employment and that full-time jobs were fundamental to the system of national health insurance. The continual increase in the share of part-time workers, he said, was stretching the principle of solidarity-based financing to its limits, and alternative forms of funding therefore had to be discussed. Demographic change resulting from the sinking birth rate means that there are now fewer young people in employment. As a result, the national bill for pensions can only be financed if people work longer. For the Minister, this means that the labor market offensive must be intensified, especially for the over-fifties, and also that the subject of life-long learning is becoming increasingly important. The speaker went on to point out that 50 percent of the unemployed have no qualifications. The biggest change in Austria, starting in autumn 2016, will accordingly be compulsory education or training up to the age of eighteen. All young people will be required to undergo further education or training after reaching the current age for the end of compulsory education. At present, about 5,000 young people leave school at the end of the period of compulsory education without enrolling for some form of further education or an apprenticeship, and that will no longer be possible when the new regulation comes into force. Finally, Minister Hundstorfer said that the welfare state was in good shape in Austria, but if that was to continue to be the case, the country needed a high rate of employment, a higher retirement age and the continued political will to finance the welfare state. He conceded that there would also have to be changes with regard to funding but said that privatization had never been good for the social fabric of society. He concluded with the declaration that he was happy to be living in a country where he had to consider “how the increases in life expectancy can be financed from year to year”. Oliver Stock, Editor in Chief of Handelsblatt Online, chaired the event, which closed with a lively discussion. Einladung_HBM_Hundstorfer2.pdf{phocagallery view=category|categoryid=976}

Reverend Jim Stewart, Church of Scotland, Minister of Letham St Mark’s Perth What is a priest doing at the Entrepreneurial School®? With these words, MCI Rector Andreas Altmann welcomed Reverend Jim Steward within the framework of the MCI Alumni & Friends lecture series and introduced the guest as “one of the most entrepreneurial people” he had ever met. In 1997 as Stewart took over the Minister of Letham St Mark’s, he was suddenly in charge of a parish that had been shattered and had lost contact to the community. Confronted with this problem, Stewart realized that the gap between the church’s vision and reality has widened, which potentially might have led to the collapse of his community. Similar to an enterprise, he faced the challenge to carefully develop a new vision with which his community could identify itself. In this period of upheaval, Reverend Steward demonstrated effective change management. He found that sometimes one had to give up long-established patterns to create new ones. Driven by this enlightenment, he demolished the old community house because it wasn’t functional anymore and liquidated the parish’s assets. Furthermore, the management structure of his parish was changed, as it had not been flexible and functional enough to keep up with the fast changing society. Although he admits that some people will always be resistant to change, he turned his vision into reality by being passionate about what he was doing: Stewart created a new church center for his community, where today everyone is welcome without being judged. With this example in mind, Reverend Steward encourages entrepreneurs to embrace changes and appeals to them to devote themselves to their visions, to make them happen, to struggle with them and to finally overcome their fears. “It takes an effort to create changes and they might cost us everything” he notes realistically. But it is worth taking the risk, if peoples’ life can be transformed for a betterment. Concluding his presentation, Stewart confesses to be proud of being a part of the “world’s biggest franchise system, with a branch not only in every city but in every town”, and is confident that the church will manage to develop a new vision and provide people with stability in the future. The event was chaired by MCI rector Andreas Altmann. Einladung_James_Stewart_MCI.pdf{phocagallery view=category|categoryid=975}

Dr. Michael Heinisch, CEO, Vinzenz Gruppe Krankenhausbeteiligungs- und Management GmbHWithin the framework of TGKK Akademie, which has been hosted by MCI Management Center Innsbruck in collaboration with the Tiroler Gebietskrankenkasse for some years now, Dr. Michael Heinisch, gave a talk on the subject “Cooperation for better quality and greater efficiency in the public health system” on 20th of May 2015. Vinzenz Gruppe Krankenhausbeteiligungs- und Management GmbH is a Vienna-based group of companies with a religious background that runs hospitals, non-profit health facilities and health-related services in Austria and has a total of 5,500 employees. This edition of the “Tiroler Gesundheitsimpulse” focuses on the question of how to achieve and maintain quality, innovation and efficiency in the Austrian health system in the face of limited finances, ongoing technological developments, the growing mobility and expectations of patients and other stakeholders, and changes to the relevant legislation. Information on TGKK Akademie: TGKK Akademie is a comprehensive further education and development program for employees of the Tiroler Gebietskrankenkasse (Tyrolean regional health insurance, TGKK), which is integrated into the strategy development project TGKK 2015 and is realized in collaboration with the Entrepreneurial School®, MCI Management Center Innsbruck. In line with the concept of TGKK Akademie, the individual courses and seminar modules are complemented by a series of lectures by health service executives, with the aim of communicating a comprehensive view of the health care system and discussing current developments and international challenges in a dialogue with major system partners.Gesundheitsimpuls_Heinisch.pdf{phocagallery view=category|categoryid=971}

Hep Monatzeder, City Councillor and former 3rd Mayor of MunichIn the framework of the MCI Alumni & Friends lecture series, the Entrepreneurial School® recently welcomed Hep Monatzeder, City Councillor and former 3rd Mayor of Munich. In his talk he considered whether free-trade agreements eroded the authority of the elected politicians and whether privatization measures endangered the provision of public services. Following an explanation of how he acquired the moniker Hep as a young man, he began with the “lecture by a practician” with over 25 years of political experience. According to Hep Monatzeder, the TTIP and CETA free-trade agreements constitute a massive encroachment on political authority leading to a situation in which the interests of investors will be placed above those of the people. In a free-trade zone with 800 million inhabitants, he said the power would shift to multinational corporations and politicians would be forced to take a back seat. The speaker also warned his audience against the market-based provision of public services with regard to transport, housing, energy and water. Monatzeder said that would lead to an increase in charges and rents and not secure the provision of essential services in the long term; the focus in the future would be on profits and dividends for investors. Finally, Hep Monatzeder explained why his enthusiasm for politics had increasingly been replaced by a sense of frustration. He said the world needed critical politicians who are willing to say unpopular things. But that, he continued, is becoming increasingly problematical in the digital age where a wrong word in the online media can mean the end of a career and politicians are therefore becoming more and more conformist. He also made a plea for a civil society that participates in political processes. The event was chaired by the MCI’s Rector Dr. Andreas Altmann and finished with a lively discussion.Einladungsflyer_Hep_Monatzeder_final.pdf{phocagallery view=category|categoryid=966}

Success strategies for the Austrian marketplace.Josef Pühringer, Governor of Upper Austria During his powerful speech delivered at MCI Management Center Innsbruck, the governor of Upper Austria, Josef Pühringer discussed ways for the Austrian economy to maintain its edge as a highly skilled and successful marketplace. In his introduction to Pühringer, MCI Rector Andreas Altmann remarked, “If you stop trying to be the best, you’ve already lost.” Governor Pühringer added in agreement that despite differing structures among the two states, the State [AE1]of Tyrol with its large degree of tourism and the State of Upper Austria with about 25 percent in industrial manufacturing shared the same success factors for competing internationally. According to Pühringer, Austria ranks above the EU average in terms of international competitiveness. He mainly attributes this to industrial manufacturing, which accounts for a large share of the Austrian economy. Countries with a strong industrial core like Germany, Denmark, Luxemburg or Austria have been able to manage the crisis better than the U.K. or the USA, whose economies are mainly centered on services with strong focus on the financial sector. The French economy, which had undergone deindustrialization efforts, today suffers from high levels of unemployment. Pühringer maintains that countries with a high share of industry generate a more consistent output, are perceived as technical pioneers and produce highly skilled labor. According to the governor, a clear commitment to the industrial sector is required. The federal government should foster international networks, support exports and attract international corporations to Austria by focusing on providing a business-friendly environment. Pühringer calls for politicians to reduce regulatory hurdles and cut red tape to create a more favorable investment climate. He also recognizes a need to revise and improve education and research policies. To compensate for its lack of abundant natural resources, Austria should invest in education and the innovative power. In a knowledge-based society, well-trained labor is a country’s greatest asset. Pühringer considers Austria to be on the right track as the country continues to successfully compete internationally. However, celebrating mediocrity should never be the aim of a forward-looking society. Austria should strive to get to the top and remain at the top. To do so, specific ambitious targets must be defined and awareness must be created for an economy’s need to always work hard to attract businesses. Establishing a reputation as a modern and attractive business location is a lasting process that will require continuous effort and improvement. Pühringer’s speech was followed by a lively discussion lead by MCI Chancellor Andreas Altmann.Einladung_Josef_Puehringer_1.pdf{phocagallery view=category|categoryid=956}

Ukraine, Europe’s Moral Dilemma HE Olexander Scherba, Ukrainian Ambassador to Austria As part of the “MCI Alumni & Friends” lecture series, His Excellency Ambassador Olexander Scherba discussed his views on the difficult situation facing Ukraine, caught as it is between Russia and Europe. It should be the supreme goal of every country, he said, to strive for peace, prosperity, and justice. This was something that Ukraine’s previous leadership had failed to do in his view, triggering a revolution and, ultimately, the downfall of the government. What the people wanted was freedom and democracy. He believed that Europe had misunderstood the situation if the US was seen to be behind the revolution. Europe was still talking in terms of a “crisis” or of “tensions” in Ukraine, he said. However, given that over 6,000 Ukrainians have died and more than two million people have been made refugees, Dr. Scherba felt that the region is actually in a state of war. He thought that the revolution marked a step toward extending the reach of democracy and freedom, which Russia saw as a threat. The Ukrainian ambassador said that the revolution had been peaceful and had been crushed for no reason in the most brutal way possible, with the identity of those who ordered its suppression still unknown. The ambassador also declared that parts of Ukraine had been virtually paralyzed. Russia’s annexation of Crimea had most certainly been neither voluntary nor free of bloodshed, he said. It would appear, he continued, that all the key roles during the Crimean takeover had been filled by men with Russian citizenship who had only recently left their jobs in their country’s secret service. The ambassador described this as a “covert operation” geared toward covering up any links of this kind. He said that the press was continually reporting lies, giving Russians a distorted picture of the Ukrainian people. The big question now, he added, was how to stop the shooting. He believed that the solution is in some respects easy but on others very difficult: The war had been born out of lies, which had fomented hatred. This had brought about death, which had led to more lies and more hatred. And these lies, he said, were emanating from Russian TV channels controlled by the Kremlin. The Russian media had to stop these lies if the Ukrainian conflict was to be resolved. Ambassador Scherba stressed once again that a state of war existed between Russia and Ukraine – a war that could open up a new chapter in the history of Europe that would be significantly less rosy and peaceful than the previous 20 years. The Russian government had been contemplating this war for many years, he believed. Dr. Scherba felt that the West was still too afraid of Russia, which was understandable. Although the country was undoubtedly an important partner, it was also one that scorned European values. Russia was spreading lies about Europe, he said, and many people were swallowing them. This was why the country wanted nothing to do with Europe. This made the situation in Ukraine a war of values, he concluded. What Russia wanted was a different kind of Europe with different ideals. There was now no way back to the Europe of old. Instead, there were political, economic, and moral choices that needed to be made as to how Europe should handle Ukraine, with the moral decision-making process set to go on for some time yet. The Ukrainian ambassador finished by calling on European leaders to consider carefully the decisions they would be making on his country’s future. The stimulating debate that followed, chaired by Prof. Dr. Siegfried Walch, ensured the event also ended on a successful note.Einladungsflyer_S.E._Botschafter_Scherba.pdf{phocagallery view=category|categoryid=954}

Veit V. Dengler, CEO of the NZZ Mediengruppe, Zuerich The MCI’s graduate club Alumni & Friends recently welcomed Veit V. Dengler, CEO of the Swiss NZZ Mediengruppe. A native of Austria, Veit V. Dengler has been running the old established daily “Neue Züricher Zeitung” since October 2013 and is responsible for developing a business model for the newspaper for the digital age. The CEO started off by saying that media companies are dammed to success in a new environment. Revenues from advertising in the print media, which is the main source of income for newspapers, is decreasing at an average rate of 5–10% a year, and that cannot be compensated by increasing online advertising revenues. Many publishing houses are responding to the situation with cost-cutting measures in the editorial offices, with negative effects on the quality of the news offering. So what can be done to reinvent the newspaper as a modern medium? To answer the question, Dengler first considered the question of how media define their function and he took a look into the past. He said that the original function of the newspaper, namely to disseminate news, had been taken over by new media like Twitter, which offer an innovative form of communication and interaction with the reader. The job of the journalist, therefore, must be less that of a communicator and more that of an analyst of news. The CEO of the NZZ Mediengruppe closed his presentation with a look at the way in which his company is responding to change in the media industry. He outlined the strategy adopted by the NZZ, which can be represented by four concentric circles, with “Become better”, i.e. learning and improving quality, at the center. In the outer circles, the media group is active in the development of new products for various target groups, geographic expansion (including Germany and Austria) and increased involvement in media-related business fields. With the group’s online medium NZZ Österreich, Dengler has been making a revolutionary contribution to quality journalism in Austria since the beginning of this year. Hans Herbert Holzamer, freelance journalist, author and lecturer at the MCI, chaired the lively discussion that followed Dengler’s fascinating presentation.{phocagallery view=category|categoryid=950}

Janina Kugel Head of Personnel Strategy & Executive Development and Chief Diversity Officer, Siemens AG, Munich As part of the “MCI Alumni & Friends” lecture series, the Entrepreneurial School® welcomed Janina Kugel, Head of Personnel Strategy & Executive Development at Siemens AG in Munich. Ms. Kugel’s lecture looked at what impact increasing digitalization is having on the world of work and what challenges this will pose to HR executives and managers in the future. She began by stressing how the emergence of “Industry 4.0” was changing the way HR executives were approaching their work, with most already using social media to recruit new staff. This method has proven particularly popular in Asia, where it is already standard practice in 90 percent of cases. The digitalization of the industry will require new skills and capabilities in future for which companies already need to start gearing themselves up. In her role as Chief Diversity Officer, she is calling for a rethink on immigration management and on integrating women into the world of work. However, it is not just the workplace that is evolving – the requirements being made of managers are changing too. Management styles based entirely on a hierarchical structure have already become outdated in the face of increased globalization. If you are to manage employees across the world, for instance, then you need to involve staff from various levels in a different way. An employee who decides to leave a company does so usually because of their working environment and, especially, their manager – rather than their work per se. Particularly in times when skilled staff are proving ever harder to come by, it is all the more important that they be retained. With this in mind, Ms. Kugel listed three golden rules for managing staff: Be honest, show respect, and have the courage of your convictions. The event was chaired by MCI Rector Dr. Andreas Altmann. A stimulating debate rounded off the lecture.2015_03_19_Vortrag_Management_Center_Innsbruck_Leadership__Cultural_Change_final.pdf{phocagallery view=category|categoryid=946}

...or is there a globalization crisis? Thomas Wieser, Eurogroup Coordinator and President of the Euro Working Group In the framework of the MCI Alumni & Friends lecture series, the Entrepreneurial School® recently had the pleasure of welcoming Thomas Wieser aka Mister Euro, who explained the background to the much discussed euro crisis in a impressive presentation. The President of the Euro Working Group began with the question of the causes of the euro crisis, which has impacts on national debt, the banking sector and the economy within the European Union. He sees globalization as the driving force. He said the entry of new and dynamic players on the international markets had confronted the EU member states with major challenges. Wieser takes a critical view of the reaction of the EU countries to these changes and sees that as the original cause of the euro crisis. The speaker said that the establishment of the European Banking Authority had ensured that crises could be met with a fast response in future. The Eurogroup Coordinator also called for more funds to be invested in education and research in order to ensure success in the face of international competition. The highly successful presentation was followed by a lively discussion, which was chaired by Oliver Stock, Editor in Chief of Handelsblatt Online.{phocagallery view=category|categoryid=944}

Václav Klaus, former Prime Minister and former President of the Czech Republic In the framework of the MCI Alumni & Friends lecture series, the Entrepreneurial School® recently had the pleasure of welcoming Václav Klaus, former Prime Minister and President of the Czech Republic, who took a critical look at the future of Europe. As his country’s former President, Václav Klaus was invited to speak at the MCI once before, namely in 2006, when he already criticized the European Union, considering it to be in a state of stagnation and to be paying too much attention to political correctness. In his recent speech, he said that these concepts had become even more relevant. Centralization at the European level in so many fields and the resulting loss of sovereignty for the EU member states is something that Klaus sees as an obstacle for a free economy and as a threat to democracy. Greater homogeneity between the member states, he said, is not something that can imposed by dictating structures but something that must come about through a process of evolution. The former Czech President conceded that many people found his interpretation of the situation in the European Union excessively critical, but he considers Europe to have come to a dead end from which it can only turn back. He said it was time for the Europeans to recognize that and to initiate a return to the fundamentals of a free economy and economic liberalization, something that required greater political courage. Professor Klaus Schredelseker chaired the subsequent lively discussion.Einladung_Vaclav_Klaus2.pdf{phocagallery view=category|categoryid=943}

Innsbruck’s universities and the MCI with Foreign Minister Sebastian Kurz in the heart of the Bavarian capital at the invitation of German Friends of the Universities in Innsbruck – “Integration through Achievement“ as a successful concept for coexistence – bridge building between Austria and Germany and promoting relations between the academic and business worlds and society “Universities Meet Friends - Let’s go Munich!” Under this appealing motto, the German Friends of the Universities in Innsbruck (DFK) and the Innsbruck universities and the MCI again took the Bavarian capital by storm this year with an exciting event held in Munich’s splendid Maximilianeum. Following such prominent keynote speakers in the last few years as Minister of Economic Affairs Reinhold Mitterlehner, Minister of Science Karlheinz Töchterle and Governor Günther Platter, who provided valuable inputs at a forum dedicated to good relations between the neighboring states of Tyrol and Bavaria and between Austria and Germany, this year’s star in an impressive event was Europe’s youngest foreign minister. In a speech packed with specific examples, personal experiences and witty bon-mots, Austrian Federal Minister Sebastian Kurz underscored the motto of the “Meeting Friends” series of events, which was launched four years ago, and explained to his illustrious audience the sociopolitical strategy of “Integration through Achievement”. Minister of Foreign Affairs and Integration Sebastian Kurz said that migrants should be measured, not according to their origins, but in terms of their performance at work, in the family and in society. Successful integration, he continued, is based on a knowledge of German and success in education and at the workplace, which is why his ministry is concentrating on these fields. He pointed out that government spending on language teaching in early childhood had been significantly increased and that an additional 60 million euros would be made available for kindergartens by 2018. He also mentioned that the government was working flat out on legislation to simplify recognition of qualifications obtained in other countries in the interest of equal opportunities on the job market. The Minister then went on to discuss the new Islam Law that was about to come into effect in Austria, which would clarify the rights and duties of Moslems living in Austria and create a framework for a European Islam without influence from abroad. Kurz said that, in an enlightened country based on the rule of law, there was no more room for a political Islam than for any other form of political instrumentalization of religion. Where religious feelings are offended, he added, it is the courts and not policy-makers who must take a decision. In addition to several other pillars, the Minister said he saw in the Islam Law now before Parliament an important step towards an active style of coexistence. There is no contradiction, according to Kurz, between being a convinced Moslem and a proud Austrian, but equally he said there could be no tabu on the withdrawal of state support in cases of a substantial refusal to integrate. Kurz added that an active approach was required to the challenges of migration and that the problems noted had to be debated and solved instead of simply assigning people who pointed to the problems to the extreme right wing. That is how the Foreign Minister sees the responsible policies needed to avoid a social schism. Respect for other cultures, he concluded, is fundamental and can be expected of both the host society and the incoming migrants. DFK Chairman Dr. Yorck Schmidt said he felt the German Friends of the Universities in Innsbruck had fulfilled their mission, namely to bring the University of Innsbruck, Innsbruck Medical University and Management Center Innsbruck into contact with leading public figures, companies and institutions in the worlds of science and business, to promote a dialog and encounter between neighbors and to help further develop Austro-German relations. The event was attended by President of the Bavarian State Parliament Barbara Stamm, long-serving Member of the Bavarian State Parliament and Chairman of the Bavarian Medical Council Dr. Thomas Zimmermann, President of the Jewish Religious Community in Munich and Upper Bavaria Charlotte Knobloch, the Austrian Ambassador Dr. Nikolaus Marschick and the Austrian Consul General in Munich Dr. Helmut Koller. The Tyrolean contingent included President of the Tyrolean State Parliament Dr. Herwig van Staa, Rectors Dr. Helga Fritsch (MUI) and Dr. Andreas Altmann (MCI), Vice-rector Dr. Sabine Schindler (LFU), Innsbruck City Councillor Franz X. Gruber, German Honorary Consul to the Tyrol Dr. Dietmar Czernich and over 200 top academics, business people and leading social figures. A lively and attractively chaired discussion and a successful conclusion to the event are further powerful evidence of the success of the attractive mission adopted by the German Friends of the Universities in Innsbruck with their "Universities Meet Friends“ and their bridge-building function between Austria and Germany and the scientific and business worlds and society.{phocagallery view=category|categoryid=934}

Hans Jörg Schelling, Federal Minister of Finance of the Republic of Austria During the Tyrolean Industry Talks (Tiroler Industriegespräche), Management Center Innsbruck’s MCI Alumni & Friends club and the Federation of Austrian Industries Tyrol welcomed the Austrian Minister of Finance, Hans Jörg Schelling. In an impressive speech, the finance minister explained the key elements of Austria’s current fiscal policy as well as the strategic course for the years to come. According to Schelling, geopolitical and sociopolitical factors as well as global economics need to be considered to assess Austria’s currrent fiscal state: Global economic growth has slowed. As a consequence we can no longer rely on solving fiscal problems through growth. In addition, terrorism, war and political unrest – as in Paris or the Ukraine – have shown to be massive setbacks for most European economies. However, the finance minister believes that playing the blame game and holding others responsible for the country’s financial misery would be utterly wrong. Like many other countries, Austria will have to do its fiscal homework, which is long overdue. Schelling underscores that Austria does not suffer from a lack of earnings but from overspending. The country’s 85 % debt ratio provides clear evidence of that. Since the founding of the Second Republic, Austria has only managed to reach a ‘zero deficit’ twice. According to Schelling, financial restructuring requires the definition of strategies and targets before structural changes can actually be addressed. For a long-term positive development it is essential to set the right course using courage and leadership. A number of challenges and implicit cost developments need to be considered: rising costs for pensions, a growing demand for care, annually increasing administration costs and a persisting lack of flexibility on the job market. Currently a five billion euro ($ 5.5 billion) tax cut is on its way, the biggest fiscal reform in the history of the Second Republic. It is based on the following pillars: ·         tax relief for citizens ·         ownership unbundling and reduction of bureaucracy ·         generation of growth and employment The reform will lower the starting rate of income and payroll tax from 36.5 % to 25 %; the highest tax rate will be changed to apply only for an income of over 80,000 – 100,000 euros (about $ 88,000 – 110,000). Citizens currently not paying income or payroll taxes will benefit from a reduction of social security contributions. According to Schelling, approximately 15 to 17 % of the tax reform will come at no cost and will be financed by a multiplier effect on consumer spending. A substantial portion of the tax reform will be financed by the federal government (67 %), the states (22 %) and the municipalities (11 %). Further approaches on how to pay for the reform are weeding out subsidies, abolishing tax exemptions, and introducing measures to combat tax evasion, benefit fraud and organized VAT fraud. On a federal level an administrative cost reduction initiative will be launched, which will aim to lower predicted 2016-2020 administrative costs from 2.9 % to 1.9 %. This cumulative effect alone will recoup at least three billion euros of lost tax revenues. Schelling’s speech was followed by a lively discussion with the audience headed by MCI Rector Andreas Altmann.Einladungsflyer_Bundesminister_Schelling.pdf{phocagallery view=category|categoryid=932}

Ralf Kalmbach, Global Head Automotive, A.T. Kearney In the framework of the MCI Alumni & Friends lecture series, the Entrepreneurial School® welcomed Ralf Kalmbach, designated Global Head Automotive at A.T. Kearney international management consults. In his presentation, Ralf Kalmbach, who studied mechanical engineering and business administration, described the challenges confronting the consulting industry today and stressed the need for specialized knowledge: “You have to be a specialist in your field in order to be a consultant. When analyzing change within an organization, consultants have to be on a par with their clients, and that is only possible if they have the necessary expertise in the subject involved. For Kalmbach, specialization is the key factor that enables consultants to perform as experts in their field and be successful in their work. According to Kalmbach, the focus in the past tended to be on the analysts, but today it is more the networkers and problem solvers. What is important is to offer clients a complete package, which is why experienced senior consultants are now in more demand than ever before. The presentation was followed by a lively discussion. The event was moderated by Professor Peter J. Mirski (Head of the Department of Management, Communication & IT).Einladung_Ralf_Kalmbach.pdf{phocagallery view=category|categoryid=912}

H.E. Sergey Nechayev, the Russian Federation’s Ambassador to AustriaIn a lively talk given at MCI Management Center Innsbruck, His Excellency Ambassador Sergej Nechayev explained the Russian position on Europe. In the last two decades, Euro-Atlantic relations with Russia have been put to the test; serious problems at the system level have accumulated in Russia’s relationship with Europe and also with the USA. No use was made of the opportunity presented by the fall of the Berlin Wall to follow the path to partnership without ideological barriers. The problems include the insistent efforts of the West to extend its geopolitical control to areas closer and closer to the Russian border, the failure of Russia’s proposal for a collective security agreement with Europe, and a war of words that generates disinformation, for example about the Olympic Games in Sochi, alleged submarine sightings off the coast of Sweden, and so on. These negative developments came to a head last year with the refusal of the Ukraine to sign a planned association agreement with the European Union, leading to the overthrow of the Ukrainian government. Most of the blame for those developments was assigned to Russia. For Ambassador Nechayev, the secession of the Crimea was the result of a free declaration of will of the predominantly ethnic Russian population and was in keeping with the principles of international law. He said that all the attempts made since the end of the Second World War to isolate Russia had had negative consequences, while the measures taken to integrate Russia had been a blessing for securing peace and economic development in Europe. On the other hand, the Ambassador said that, even though the North Atlantic Alliance was now using the language of war and extending its military presence to the borders of Europe, the Russian view was that one could not speak of a new Cold War. On no account, he continued, would Russia become involved in geopolitical conflict and was ready to enter into a dialog at all times. The Ambassador explained that it was necessary for the various actors to bundle their efforts, overcome their differences of opinion on the Ukraine conflict, refrain from taking unilateral measures and decisions, and observe the provisions of international law. He went on to warn that the more Europe focussed on sanctions against Russia in the hope of triggering change in Russia’s domestic or foreign policies, the stronger the process of consolidation within Russia would be. Finally, Ambassador Nechayev stressed the need to lay aside the geopolitical stereotypes of the past and seize the opportunity to resolve the conflicts. With regard to the relationship between Russia and Austria, Ambassador Nechayev said that it was very positive and effective and was based on mutual trust and understanding. The talk was followed by a lively discussion chaired by Professor Gerhard Mangott.Flyer_S.E._Sergej_Netschajew.pdf{phocagallery view=category|categoryid=908}

How media, communications and marketing are changing for ever. Gerhard Kürner, Director Corporate Communications, Voestalpine AG In the framework of the MCI Alumni & Friends lecture series, the Entrepreneurial School® welcomed Gerhard Kürner, head of Corporate Communications at Voestalpine AG. In his talk the communications expert summarized the key changes that have taken place in the media world in the last few years. He spoke of the crisis of journalism, which he sees as a triple crisis: an economic crisis, a structural crisis and an innovation crisis. That led the speaker to the question: “Do we still need the traditional media?” His answer is “yes”, especially with regard to independent media, but he is convinced that they must be capable of presenting the global picture. For Voestalpine, Gerhard Kürner proposes a communications policy focussed on content management – with a company magazine, an in-house newsletter, a corporate blog, an apprentice website and social media channels. For him the basic principle is “to think like a publishing house” in order to guarantee excellent employees, attractive investors and enough customers. The event was moderated by Professor Siegfried Walch, Program Director for Nonprofit, Social & Health Care Management and for International Health & Social Management. The talk was followed by a lively discussion.{phocagallery view=category|categoryid=898}

Hubert Schmalix, International artist from Austria On Wednesday, November 12, in the framework of the MCI Alumni & Friends lecture series, the Entrepreneurial School® welcomed the artist Hubert Schmalix, who gave his audience a fascinating insight into his life and art. Schmalix, who was born in Graz and now lives in Los Angeles, studied at the Vienna Academy of Fine Arts from 1971 to 1976 and was a professor there from 1999 to 2006. He also taught at the UCLA in Los Angeles as a visiting professor. The famous artist first attracted international attention at the beginning of the 1980s as an exponent of the "Neue Malerei" (New Painting). Schmalix also has a connection with Innsbruck, where he was commissioned – as one of the “Junge Wilde” (Wild Youth) – to produce a huge mural in the form of a brightly colored mosaic for the main corridor of the new lecture hall wing. “Everything I experience is important for my work,” says the international artist. Even so, he still has to find the daily motivation to paint. With regard to his works and motifs he says, “Many small steps lead to change that only becomes apparent at the end of the process.” The event, which closed with a lively discussion, was moderated by Professor Wolfgang Meixner, Vice-Rector of Innsbruck University.{phocagallery view=category|categoryid=895}