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The Contribution of Technion Graduates to the Israeli Economy

David Cohen , Ilana Shalev
Cite As:
Cohen David , Shalev Ilana . The Contribution of Technion Graduates to the Israeli Economy Haifa Israel: Samuel Neaman Institute, 1998.
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This report shows the contribution of leading Technion graduates to Israel's economy.

The leaders are decision makers with influence on their organizations including chairmen of board of directors, presidents, CEO's, deputy CEO's etc.

The leaders' population was taken from a special list prepared by the Technion Alumni Liaison Office and includes 600 graduates. 2% of the total number of leading graduates are chairmen of boards of directors, 8% presidents, 51% CEO's, 18% deputy CEO's, 12% directors and 9% others.

Graduates lead in 465 companies, among them 50 presidents and about 310 CEO's. Of the above total number of companies Technion graduates lead in 90 of the leading companies in Israel (out of Dun's 100 list comprising leading companies in Israel). 61 of them are industrial companies, among them: Israel Aircraft Industry, Elron group, Teva, Motorola Israel, scitex, ECI, Makhteshim, Nesher, The Defense Industry, Telrad, etc. 17 are service companies among them: Bezeq, Zim, Supersal, Dor Energy, IBM Israel, etc. 12 are building and real estate companies among them: Ashtrom, Malibu, Danya Sibus, A. Dori, Dankner Investments, etc.

Total sales turnover of the 465 companies amounts to about 30 billion dollars which constituted 31% of the GDP (gross domestic product) in 1996. Exports of these companies totaled about 10 billion dollars which constituted 33% of Israel's total exports. These companies employ about 230,000 workers.

Of all the companies 61% are located in Israel's central area, 31% in the North, 4% in Jerusalem and environs, and 4% in the South.

20% of the companies were founded in the 1960's, 17% in the 1970's, 28% in the 1980's and 16% in the 1990's (this number is valid up to 1996, inclusive. One must take into account that on the average 300 new start-up companies are established each year).

50% of all companies are industrial . The proceeds of the industrial companies total about 19 billion dollars and constitute 37% of the total industrial turnover. Exports total about 9 billion dollars and constitute 70% of all industrial exports from Israel. Industrial companies in which Technion graduates lead employ 134,000 workers, 36% of the total number of employees in industrial companies in Israel. 48% of the industrial companies specialize in electronics, 18% in metals, 17% in chemical products (including rubber and plastics), 3% in transport, 2% in machinery and 12% in other industries.

37% of all companies supply services. The turnover of the service companies in which Technion graduates lead is about 8 billion dollars and exports amount to about $600 mullion. The number of employees in these companies is about 84,000. 30% of the companies supply engineering services, 21% computer services, 19% business services, 18% commercial services, and 12% provide other services including: higher education/learning, R&D, health services, transportation services, public services and others.

13% of the companies deal in building/real estate. The turnover of the companies in which Technion graduates lead amounts to about 2 billion dollars. The number of employees in these companies is about 12,000.

The report includes the following chapters:

1. Introduction: The overall contribution of the leaders in all branches of the economy.

2. Leaders in industrial companies

3. Leaders in service companies

4. Leaders in building/real estate companies

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