Digital Transformation is the talk of the town. It describes the process of catapulting existing business models into the digital age. This transformation does not merely entail digitalizing distribution channel, logistics, production or supply chain processes. At its core, it demands the establishment of new management methods and organizational structures. Both lead to new, scalable and repeatable business models, which can be used globally and, therefore, offer sufficient growth potential for the years to come.

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260 billion € per year

Quelle: Fact Sheets on the European Union
The fact sheet of the European Union shows a growth potential of 260 billion per year. This should be more than enough motivation to investigate these topics further.
The digital transformation will not just change companies, but has already started to change the society. Today, we communicate differently than 20 years ago. Today ́s speed of change is completely different than before.
We distinguish between digital transformation for corporate groups and medium-sized companies, because our research indicates different requirements for each.
ScS provides the prerequisites for success in the digital market, ranging from thorough understanding of economic considerations to technological implementation. You can rely on our comprehensive experience in business model development, case calculation, customer development, IT and funding.

Digital Transformation: Fit for the Future

Digital transformation has many aspects because it is no simple readjustment of corporate structures aimed at providing products or services over the web. Some even speak of a digital revolution because, similar to the Industrial Revolution, people, as well as their needs, have changed. This has a significant impact on society and changes, among other things, the demand, production and distribution of products, cooperation within companies, the market behavior of manufacturers and many more.
Thus, it is important to look at these issues from different perspectives. It is clear that the changes concern all areas and departments, regardless of company size. Success in the digital market, therefore, depends on the speed with which a company can adapt to these altered conditions.The success depends on the adaptation rate, which can be achieved by a company.

Digital Transformation in corporations

We have been working with and in corporations for over 20 years. Today, we encounter large, multi-national corporations, which excel in one discipline in particular: Selling large numbers of products and services to a large number of customers. The keywords are: productivity and scalability.

Switching barriers, once binding a customer to one seller, are now a thing of the past.

Initial situation

Over the years, corporations have steadily been pushing efficiency improvements towards the maximum. At the same time, costs have been optimized to generate higher profit margins in order to satisfy investors. All processes, from sales to procurement, are centralized and optimized to achieve the above efficiency.

Corporations have their own, particular culture that has to be taken into account throughout the transformation processes. This can present a herculean task for management.

Transformation

As described above, a transformation has different aspects. One of them is the fact that cooperation among employees changes as well. An example of this is the so-called shadow IT. Employees take advantage of their smartphones’ capabilities or other personal devices; some employers even encourage this (BYOD).

Another consideration should be that, along with the adoption of new production and distribution channels, it is necessary to adapt management and control processes as well.

Transformation is a top-down issue. In order to be successful, it requires top management’s full support and active coordination. The challenge lies in the fact that the transformation has to be carried out without interrupting daily operations. Essentially, this means running old and new processes and structures side-by-side throughout the transition period. This state may even be the desired end-result, depending on the transformation plan, which starting with the business model must take into account the suitability for the digital market of the company’s every feature.

Our own, patented analysis method helps to answer these questions in the shortest time possible. Additionally, methods, specifically targeted at corporations, ensure a fast implementation. This includes KPI systems, reportings, organizational structures, dynamic strategies, modern IT, IT structures, web analytics, sales, marketing and recruiting.

We offer you everything in one package.

Goal

The goal must be the transfer of existing business models, or parts thereof, to the digital market. This also requires structures, which competitors have already established. Learn more under Entrepreneurial Management.

New products are always developed for the mobile market first, but this must not take longer than four months. It is important to evaluate trends quickly and adjust the strategy on short notice. A dynamic organizational structure (keyword: virtual company) is essential for a short reaction time.

Digital Transformation for Medium-Sized Companies

We have been working with medium-sized companies for over 20. We noticed that these companies have taken up the challenge as well but by different methods. The digital market allows companies to operate globally at lower costs and to interact with customers constantly.

Starting Situation

The starting situation at medium-sized companies is different than at corporate groups. Mid-size companies are usually more flexible since they usually have shorter decision-making processes and no complicated board structures. They are well versed in individual production and specialization, but they are not able to achieve the same economies of scale as corporate groups. The exciting thing is, today it is possible to compensate these disadvantages. Since we also offer our Project Financing service, the aspect of financial strength is not a disadvantage.

Pragmatism and flexibility are a part of the culture and create a great basis. New trends are more lucrative for medium-sized companies than for corporate groups, generally due to the cost structures.

Transformation

For the transformation of medium-sized companies, we have developed something new. Here too, the transformation has to take place alongside day-to-day operations, creating an additional strain on the organization. External interference may even be perceived as a disruption in this context. Thus, we offer our clients the opportunity to designate an internal project leader to carry out the transformation. We will provide this digital leader with relevant training, project plans, checklists, work breakdown structures (WBS), templates for reporting and KPIs, etc. During the analysis phase, we use our patented analysis method, the data for which can be collected with or without our help. During the evaluation and planning phases, we will support your digital leader in tackling the various challenges before we let them carry out the implementation phase of the project independently.

Goal

Attracting new customers and the development of the same should be the main focus of companies in the digital market. The goal must be to transfer existing business models, or parts thereof, to the digital market. This also requires structures, which competitors have already established. Learn more under Entrepreneurial Management. 

New products are always developed for the mobile market first, but this should not take longer than four months. Intensive monitoring of new trends, testing the feasibility of products (keyword: virtual company) and agile organizational structures round off the picture.