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Attila Dogudan
Chairman of the Management Board & CEO, DO & CO Aktiengesellschaft

CEM KOZLU ATILLA DOGUDAN

🎥 Jul 01, 2013 📺 RGB stüdyo ⏱ 32m 👁 6463 views
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About Attila Dogudan

Attila Dogudan, chairman and CEO of Do Aktiengesellschaft, has been interviewed on Austrian media regarding the COVID-19 pandemic's impact on his businesses. In February 2021, he expressed disappointment that restaurants would remain closed until after Easter, stating he had expected the decision but hoped for outdoor dining to be permitted. He said that without revenue, many businesses would struggle to survive, and he called for faster, more direct financial aid and a reduction in non-wage labor costs. In April 2021, he confirmed his restaurants would reopen on May 19 if allowed, noting that reservations were already filling up. He also mentioned that his event catering operations were resuming, including a 10-day event in Madrid with 2,000 guests per day. During the Euro 2020 football championship in June 2021, Dogudan, whose company provided catering at Wembley Stadium, described the atmosphere as "diametrically opposed" — with rising COVID-19 case numbers causing concern while fans in the stadium celebrated. He expressed pride in being an Austrian service provider at Wembley and hoped for an Austrian victory against Italy. In a 2013 interview, Dogudan discussed his career trajectory, including how he secured a contract with Formula One after being asked if he could deliver catering in 10 days, and stated that success is not about money but about belief, vision, and hard work.

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Transcript (37 segments)
I
Interviewer0:13
This is the heart of Vienna, St. Stephen's. The cathedral's bells were cast from cannons left by the retreating Ottoman armies. This Ottoman fear and suspicion towards Turks still affects Austrian psychology and society. I experienced this firsthand; I served here for six years. It's interesting that a Turk has managed to enter the top 10 richest people in Austria, establishing his restaurant and hotel right across from the cathedral, a stone's throw away. Now let's explore the formula for his success.
Good morning. Good morning. That roof behind you reminds me of the days we first met. When I was appointed as the group president of Coca-Cola in Vienna, I asked my assistants to make a list of the best restaurants. They said 'Tepee Do & Co, but you can't go there.' Why can't I go? Because they don't sell Coca-Cola products. They gave me some information; the owner is Turkish. I said, 'Okay, we'll go and convince them to sell Coca-Cola products.' Getting an appointment took about six months, and then negotiations lasted another seven or eight months. But in the end, behind us, on the roof of this building, the then CEO and president of Coca-Cola, and I signed an alliance agreement between Coca-Cola and Do & Co. Is that right? Yes. In our negotiations between the two companies, it wasn't about money; if I remember correctly, it was about brand alliance. What can Do & Co add to the Do & Co brand? What can Do & Co give to Coca-Cola?
Now, as we search for the formula of your success together, I want to start with the brand. Because my first impression is that you place great importance on the concept of brand and brand building. Perhaps it forms the first step in what you do. Is that correct? If so, could you elaborate a bit?
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Attila Dogudan4:19
Now, that's very true, but you only mention the six or seven months when you first came. You don't mention the previous ten years. We argued about this brand with Coca-Cola for ten years. The fact that you finished the deal in seven months after you arrived is already a great thing, because the first ten years passed like that. But of course, the issue of brand is very important. Coca-Cola is one of the biggest brands in the world. By looking at them and other big brands, we thought about how we could do something different. In the service sector, there aren't many big brands in the world, and our vision was to become number one in the service sector, just like Coca-Cola in its sector. What does that mean? There are things that a brand represents. What is our brand? Ultimately, it's quality and meticulous attention to detail, with a great focus on surprising and entertaining the customer or passenger in an unexpected way, and ultimately satisfying them. If we can do that, we become a brand.
In short, without upsetting anyone, by winning everyone's heart. If we can't do that, the brand will disappear in a short time.
I
Interviewer5:41
Okay, I want to go back to the days when you started the company. What was your goal? Was it to build a big company, to make a certain amount of profit, to become number one in certain areas? How did you define success for yourself at the first step of the journey?
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Attila Dogudan6:05
First of all, success is never about money. Just as an athlete wants to become European or world champion, it's a dream, as they say the American way. For me, or for us, the goal was to become number one in the world and build a brand. Now, how can we achieve this? People or a company, without losing customers, the important thing is this: I started with myself 25 years ago. Our only goal was that whoever comes should leave satisfied.
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Interviewer6:42
Okay, you said 25 years ago, we started with three people. If I'm not mistaken, 25 years ago, one of Vienna's most famous restaurants belonged to your family, to your late father. Kervansaray was a brand. But instead of staying in the established order, you broke away and took a different path. How did you make that decision? Wasn't it a very risky decision? On one hand, there was a comfortable, guaranteed, and successful business; on the other hand, there was setting out on a zero-kilometer road with a challenge.
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Attila Dogudan7:25
But it comes from a father-son conflict. My late father, I understand him much better now. He was always right, but I didn't see it that way then. But I was also right. Looking back 25 years later, he had created his own system. I wanted to create something of my own, and my vision was to do something on a global scale. But at that time, as I said, it was a dream; I was a student at university. He would tell me every day, 'It won't work, what are you doing?' and so on. I got tired of it. So I said, 'Let me start something on my own, let's see. If it doesn't work, I'm doomed to come back anyway.' He said okay, he lent me money, and he got back every last penny. Of course, he gave it back later, but in terms of education, being very strict and very honest was very good. That education cannot be bought with money today; it cannot be obtained at any university. So I have to thank him.
I
Interviewer8:33
I'm curious about the starting capital. How much was the loan you took? If we convert it to today's euros, it would be around 150,000 to 200,000 euros. But by capital, I mean furnishing, plates, chairs, things like that. No advertising money, nothing. There was a garage behind Kervansaray; in that garage, I made a small delicatessen and restaurant by myself. It was planned as a delicatessen, but no one came, zero. Then upstairs, my father had a fish restaurant on the first floor, but it was only in the evening. In the morning, I would bring the chairs and tables down because I had no money to buy them. In the evening, I would take them back because my place closed in the evening. He started charging me rent, saying, 'Why are you breaking my chairs and tables?' So an important element of success is the capital in your pocket, not cash. It has nothing to do with money. Even if someone gave a lot of money, it's impossible to create this culture. This business doesn't work with money; it works with belief, vision, and hard work. That's another thing.
I've been following you closely from time to time. You were running all over the world. And there are different sectors: the airline business is very routine, with fixed flight numbers and passenger counts. But on the other hand, there are events like the European Cup or the America's Cup that suddenly become very intense. On the other hand, there are hotels and restaurants like this one, which are different sectors. How do you divide your time?
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Attila Dogudan10:13
First of all, these departments are very beneficial to each other. When anyone does a job, they have to think about how to do it as a business case. In our business, I didn't want to do just the airline business, just the restaurant business, just the hotel business, or just the catering and organization business. I wanted to do all of them by connecting them. Why? First, we diversify risks; you don't put all your money on one table. Second, each department yields a benefit, and we use that benefit in another department. For example, on a plane, in 4 square meters, you learn how to serve good quality food to 250-300 people from a system perspective. There, in a 4-square-meter space, our restaurant kitchens are not 300 square meters. So we work more efficiently than others. Therefore, we use the knowledge we gain there in other areas.
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Interviewer11:08
Okay, now you have a big partnership with Turkish Airlines. Plus, of course, your base is in Austria. So you have large numbers of employees in both Austria and Turkey. Are there significant differences in work discipline, ethics, productivity, etc.?
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Attila Dogudan11:36
Of course there are, but not only between Turkey and Austria; there are differences between Austria and America, and between Asia and Turkey. The important thing is to respect each culture, understand it, and within that culture, create a good ambiance and convince people of the vision.
I
Interviewer11:54
Starting from that garage of Kervansaray behind us, climbing up to this point, did luck play an important role on the way to this seat? Is there an anecdote you can share with us about this?
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Attila Dogudan12:10
Luck is of course very important, but there is something I believe: the luck of a working person is sometimes more abundant. The luck of a persistent person is also more abundant. For example, I started in '81, and for 6 years I was unlucky, let's say. No luck came. Then I met Niki Lauda. At that time, he had two planes, a tiny charter company with about 15 pilots. He told me that he always wanted to sell something to Austrian Airlines, but they always said, 'You're not doing anything, you're nobody.' He came to me and said, 'Can you give me the same food you serve in your restaurant?' I said I can do it, because in service, you never say no; you always say yes, then you figure out how to do it. I said okay. He said he would start in about a year. Then he said, 'Can you start in two weeks?' I said, 'How about four?' He said no, three. So three weeks later, by putting tables together at night in the restaurant, we started airline catering for the first time. I had no idea, but we flew day and night, did the catering, got on the plane, saw how they do it, how they welcome passengers, whether they like it or not, and started training the flight attendants. Anyway, from two planes it became 25 planes. He grew, and we grew. That is luck, of course, a coincidence. Or in '92, Mr. Ecclestone, who runs Formula 1 and achieved great success, had a conflict with the catering company in Budapest, 300 km from Vienna. He asked who was in Vienna, and it came to us. I went there, and he said, 'Can you do this in 10 days?' At that time, customs, everything was closed; there was no open market. I said yes again. We took it with bags and nets, almost smuggled it by car, and we were chosen as the best catering that year. Then it became two, then four, and today we do this in 17 countries.
I
Interviewer14:26
We started with the brand, of course. Lauda is also interesting. Lauda is a famous racing driver, but the company he founded has changed shape. He had big struggles with competitors, but he still keeps his brand alive. Now, in your brand portfolio, there is a brand you recently added that is symbolically as important as the roof of that cathedral for Viennese people. Because Demel is the pastry shop of the Habsburg dynasty, of the Habsburg palace, and today it is Attila Dogudan's brand. If you could take us there and share its story and its place in your success model, I would be very happy.
Attila, we started our conversation today with Do & Co, a brand you created in 25 years. Now we are ending our conversation at Demel pastry shop, a brand over 200 years old, the palace's pastry shop. You bought it. One you created, one you bought. Why did you buy Demel? What do you expect from Demel? Because when I came to Vienna, I remember Demel as a dusty, gloomy place, perhaps not very attractive to young people. But now the atmosphere inside is different. But I'm sure this isn't the end. What is your plan?
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Attila Dogudan16:46
We bought it 5-6 years ago. As you said, it was very dusty, but it's a 200-year-old culture of quality, the pastry shop of sultans and emperors, their ice cream, etc. It's a very important brand. We are slowly polishing it. We are not doing everything at once; it's a model. Essentially, the vision is to become the world's best chocolate brand. The same story here: a big vision to make the world's best chocolate. Of course, with a 200-year-old brand, by slowly polishing it, hopefully we can continue this way.
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Interviewer17:24
Thank you very much. But we won't leave you here; we will be together to discuss the remaining key points.
This is the heart of your production, I suppose. This business is completely dependent on people. You have around 5,000 employees in 20 countries, if I'm not mistaken. How do you achieve quality in people?
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Attila Dogudan18:30
Now, the whole story is essentially about culture. There is no way to buy this with money. The culture lived within an institution or a company ultimately affects the product in a very important way. From the very first day, we determined that quality is the most important point, and every employee here knows this. It's a story from the heart. As I said, we cannot buy it with money. The only way to ensure the best quality is to live this culture together.
I
Interviewer19:06
Okay, how do you punish those who don't understand or live it? How do you select people who can fit this culture?
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Attila Dogudan19:12
It doesn't work with punishment, of course. It works with education, but the education also needs to be in a good atmosphere. Our good thing is that we have both an airline division, a restaurant division, and we work on big events like the Euro or Formula 1. Young people do this with pleasure and see that it's a great opportunity. Therefore, they believe in what we say and that this path is correct.
U
Unknown20:08
German, no. Vote German, no. Vote German, no. Vote German, no. Vote for Spain, champion.
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Interviewer20:46
The European Cup final will be held tonight at the Vienna stadium. From the heavy sound system to the tents, to the vases you see there, to the food arrangement, everything is organized and implemented by Do & Co. Now, after touring this area with Mr. Attila, we will go to the stadium and continue searching for the formula of success together.
Yes, Attila. We toured the tents and VIP lounges. Now we are at the stadium; there is little time left before the match starts and the excitement builds. Before these seats fill up, while we are alone, I have some special, perhaps difficult, questions for you. I'm very curious. When you talk to leaders, they always like to talk about their successes. But I wonder if some secrets of future successes lie in past failures. Looking at your life, have there been significant failures, injustices, or mistakes that guided you and affected you? Can you share?
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Attila Dogudan22:31
Of course, just like in sports, it's the same in business. Losing makes a person stronger and more attentive, let's say. When I started, for the first three years, I was on the verge of bankruptcy every day. Starting with a good idea doesn't mean immediate success. In such things, having a continuous vision is very important, and the vision must be clear. For me, I am condemned to provide the best quality, no matter what. I have to. Only in this way can I continue.
I
Interviewer23:05
You organized the America's Cup in Valencia, the sailing races. Today we are concluding the European Cup. Then, at the beginning of the week, we will go together to Aachen, to the world's most important equestrian cup. Let's continue our conversation there and conclude the formula of success at an equestrian cup where physical obstacles are also overcome.
We spent a day in Vienna with Attila Dogudan. Now I want to share some of my own observations about this day. First, the topic Attila emphasized most is quality. But this quality is not just the quality of the food; it's the quality of the entire operation and all its applications. The second topic Attila emphasized forms the important differences from his competitors. If you notice, he never mentioned his competitors; he always emphasized what he does differently and his own business model. The second important topic he underlined or returned to is people. In my own life, I have always seen that successful leaders who do not put people first, who do not care about the selection, education, and communication with their employees, are not successful, I can say. I also have some observations about him personally. He is deeply passionate about his work and can share this passion with his employees in a natural, organic way. When walking with him, the sparkle in the employees' eyes and the smiles on their faces truly impressed us and must certainly impress the customers as well. In a way, just through his behavior, the topics he cares about, and the questions he asks, he creates energy. I also observed that rather than giving instructions, he looks, examines, questions, and thus gives them clues. In this way, he almost manages indirectly, I can say. Tomorrow, we will continue our observations and conversation.
We closed the European Cup final in Vienna. From there, we came to the World Equestrian Championships in Aachen, Germany. We are waiting for Attila Dogudan here. He will join us shortly, and we will conclude the interview we started in Vienna and continue searching for the formula of success. The obstacles we see here, of course, remind us of the various obstacles that leaders, companies, and people face on the path to success. Let's see how Attila Dogudan overcomes important obstacles when he encounters them, where he finds the strength and strategy to overcome them, and how he creates them.
Now, due to the weather conditions, your landing was delayed. We spoke with some of your employees; indeed, all of them have smiles on their faces. They were full of great excitement and passion. Do these comings and goings play a role in their motivation? How?
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Attila Dogudan28:46
Now, for a young team, the European Championship, then Formula 1, then equestrian, then tennis, golf... Such opportunities are created that they enjoy it. Because working in such an ambiance is one thing, working in a closed factory is another. Of course, working in such an ambiance motivates them and broadens their horizons. They travel all over the world. After finishing university, some come to us and start entering management. There is a saying by the great actor Sir Laurence Olivier: he advises young actors to use it when they encounter it. I experienced an example of this once. In a play in London, a rather strange servant character gets up from the table and accidentally drops a large white napkin. Now all the viewers are wondering who will pick up the napkin from the floor. A slightly drunk man, in a way not in the script, tries to pick up the napkin with his foot. When he finished and picked it up from the floor, believe me, people stood up and applauded. That advice stuck with me. Now I'm curious, when you encounter a big obstacle, a wall blocking your path, how do you react? Do you recover quickly? How many times do you try? How do you give yourself energy and motivation? What are your reactions? What is your strategy to overcome a big obstacle?
The important thing when facing an unexpected obstacle is to immediately analyze it in management. What kind of obstacle is it? How long, big, high, low? You need to do that with a clear mind. Immediately bring the team together and have a preliminary discussion on how we will overcome this obstacle and solve the problem. We exchange ideas, reach a conclusion, and then implement that conclusion immediately.
Okay, sometimes I have experienced that some obstacles are such that you cannot share them with the team, or they are very personal. In that case, you have to analyze alone, take a risk in an entrepreneurial way, and make a decision. The important thing is to make a decision. Not making a decision is definitely bad, 10000%. When you make that decision, sometimes with a decision you feel, and from the past, how we overcame similar obstacles quickly. If analyzed quickly, I mean in a minute or two, there is no two-hour or three-hour thing. Make a decision immediately and set out.
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Interviewer31:58
The rain has stopped, the clouds are clearing a bit. Taking advantage of this opportunity, we'll put you back on the plane. Where are we sending you this time? Now to Istanbul. Safe travels. Thank you very much.
A
Attila Dogudan32:26
Thank you, ah.