Summary

The keywords for Estonia in the year 2001 will be sustainability, openness and performance.

The government?s target for the next year is to reach a ten per cent growth in economy. Other key priorities are to implement administrative reform and to restructure the educational system and to increase public investment in information technology.

In ever-changing market conditions, accuracy of business projections is more important than of actual budgets.

Five key factors for 2001 are regionalisation (importance of Scandinavian markets), oil prices, technological progress (cross-border partnerships), money markets (rate rises) and government economic policy.

To survive in today?s cutthroat competition, software developers need to adopt flexible models for business and work organisation. To remain competitive, Helmes has adopted a highly unorthodox business model. The company has no job descriptions, does not regulate working time, operates as a decentralised network, has no centralised management and focuses on income.

Service companies should not forget the importance of tourism as a source of income. The need to specialise, be flexible and look for strategic partners is high. Make yor products and services clearly identifiable and focus on core business. Look for strategic alliances.

Keep a close eye on the market and competitors and have a viable business vision. Build your detailed business plans on long-term and short-term development plans. Think at least seven years ahead. Track changes in macroeconomic and industry-specific development. Know your export markets. Client relationship is a priority.

Do not be afraid to expand and look for new markets. Increase efficiency, consolidate and invest in new technology, add value by taking advantage of low labour costs, track market developments, exploit sources of raw materials, complete certification of forests, promote domestic use of wood.

Take calculated risks, work together with shareholders, hire qualified employees and keep employees motivated. The future belongs to small flexible teams. Construction will become cheaper as companies cut worforce to a minimum. Subcontract.

?Sell? business plans to your employees. Focus not on the plan, but on the planning process. See planning not as a cycle, but as an ongoing process. Involve staff in financial planning.