Older employees: Endless talent

Many companies have made finding and retaining young talent a top priority. This has implications for the growing number of employees aged 50+. Generation-friendly talent management pays off - an exciting task for employers as well as employees.

Studies show that older employees are still curious, innovative and willing to experiment. (Source: Neustarter Foundation)

In the mid-1940s and in the peak year of 1963, when 109,993 babies saw the light of day, Switzerland recorded historically unparalleled highs in the birth rate. In the meantime, the baby boomers have clearly passed the age of 50 - with massive demographic change in tow. The average age in companies is rising; starting in 2020, many people will leave the workforce each year "due to age," and if things go on like this, very many (58%) will even do so before reaching the regular retirement age. At the same time, HR managers complain about the lack of younger professionals, recruiting and also maintaining long-term relationships are becoming increasingly difficult. But even for companies that still have plenty to draw on (thanks in part to immigration), it might be worth asking older employees: "Do you still have to or do you already want to (work) - and if so, for how long? "Perhaps in order to then devote more attention to the motivation and commitment of those who have been working for a long time. In our experience, it is not done with the conclusion: "There are enough old people, too few young talents, then I just have to change my attitude, upgrade a few competencies with the older ones and bang, opportunity seized." Especially not in companies where it has been considered "best for everyone" for years to retire at 60 and, at worst, to retire even earlier. I don't think that a company automatically becomes better if it relies more on older people - but inspiring those who are already there anew, if necessary, is certainly worthwhile.

Self-fulfilling prophecy

The negative images from the world of work create a negative reality; the self-fulfilling prophecy is reflected in behavior. If we think of ourselves as old and moderately useful, we act that way. A consistent downward spiral, as many older workers will attest. Instead of personal development, stagnation is often felt. This often happens in combination with experienced, constantly increasing pressure and a growing workload that can no longer be put away as easily as in younger years. There is no age-specific adaptation of performance management. So what to do? Find out which of your older employees are struggling through the daily routine for fear of unemployment, for example, and who still has the feeling of being needed and of being able to shape things. Ask early retirees under what circumstances they would have stayed longer, and many answer: "If they had needed me."

Speaking of mixed-age teams

A recent study by the Zurich University of Applied Sciences in cooperation with the Zürcher Kantonalbank and us (Neustarter-Stiftung, see box) deals with the integration of older people in the labor market and the question of the cultural change that is due. Among human resources staff, the statements regarding mixed-age teams range from "Age doesn't play a role for us" to "Conflicts are always generational conflicts for us." Fabiola Gerpott (University of Amsterdam) found in a field study, "The more diversity, the more it takes Psychological Safety to leverage team intelligence." That means individual team members need a good feeling about expressing their ideas and thoughts, in addition to the safety of being needed. By nature, this good feeling is more likely to be felt toward people of similar backgrounds (age, gender, origin, education level, etc.). Increasing age diversity thus requires even more sophisticated leadership that promotes security in various dimensions.

Working conditions in Switzerland

Surveys by the State Secretariat for Economic Affairs SECO on working conditions in Switzerland in 2005 and 2015 show that there is a general need for action in terms of job satisfaction: In 2005, around one-fifth of employees complained about "monotonous tasks"; ten years later, this figure had already risen to more than one-third. According to the responses, the opportunities to "learn new things" and "implement one's own ideas" declined by around 15 percent in each case from 2005 to 2015. These signals are clearly going in the wrong direction, insofar as the economy is threatening to decouple itself from the nature of the human being. But economic and human interests need not be contradictory. Among the clearest intersections are curiosity, the search for innovation and the joy of experimentation. Therefore: companies, allow and encourage experimentation! Develop different models of how to work in your companies and make them transparent - for all age groups.

Old and agile

Many older employees say, "Yes, I would like to work without a rigid age limit, but not as before." This fits well with new organizational forms and increasingly agile work environments. As an example, a credo of the agile development method Scrum is always to change things, even those that are supposedly going well, to discover new and better ways of working. Costs (leadership) time at first, brings self-responsibility, fun, motivation and in the end more innovation and outcome - right? "You sometimes have to teach an old elephant new tricks," Olmar Albers also says. He was desperately looking for a job at 55 when an internship among digital natives brought him back into the game.

More transparency

In addition, other entrenched factors play an important role in demographicsensitive HR work, such as pay. Is the pay structure, which in some places is still strongly geared to (service) age, really still appropriate and fair? If younger employees are fundamentally more favorable to a company than older ones, this further exacerbates the perceived gap between performance and recognition. In contrast, models such as an "arc career" (congratulations, whoever finds a better word!) with decreasing (often personnel) responsibility or part-time work with correspondingly decreasing pay are conceivable. Many older employees are open to discussions about this or explicitly seek them out and are willing to accept an average of about 10% in salary reductions. In general, greater transparency and fewer inequalities with regard to salaries appear to be desirable. This in turn fits with the logical development of thinking less in terms of job titles and more in terms of roles within different projects.

Older employees: Learning by doing works at any age

Much research has been done on the elderly, but the jungle of prejudices has not been cleared much. Research on the relationship between age and performance at least allows the rough conclusion that 55-year-olds do not lift less per se than 30-year-olds. Most deficits, such as longer reaction times, are compensated for - for example through practice and experience. Ultimately, it is not age but working conditions, living conditions, education and motivation that are decisive for performance. So it's more a matter of whether the task area suits the person or personality. The topic of digitization remains exciting. Which age group uses it and how? - Tools, information, communication and consumption will soon be available to 100% of the workforce in the relevant professions. But who is really networking in a meaningful way, designing, producing content and software? Generation-friendly talent management would say: Found startups in the companies. Learning by doing works at any age.

Talk is gold

The majority of older employees are often unaware of their skills and assets. And conversely, their superiors are not aware of their potential, or at best are very vague about it. It is therefore important to talk to people, to question activities, and to break down rigid structures. For example, in the form of honest employee appraisals in which deficits are openly addressed, by both sides. If it's not put on the table, we're left with vague hopes and fears. And then follow up the discussions with measures - from further training to a completely new area of responsibility, which the employees ideally help to shape themselves. Taking active responsibility, creatively exploiting one's own possibilities instead of being a cog in the wheel - that's motivating. However, this also requires a shared will to shape things, beyond internal company hierarchies. Ideally, generation-friendly talent management is defined in such a way that all those involved, i.e. employees, supervisors and the HR department, are joint designers of a transparent process. It would be great if, in the future, all age groups had the skills and motivation to help shape the world of work 4.0 and wanted to work without rigid age limits, perhaps in combination with family and volunteer work - depending on the phase of life.

About the author:

Since September 2016, Bernadette Höller (36), a qualified gerontologist (gerontology), has been the managing director of the Neustarter Foundation, bringing with her extensive entrepreneurial experience in addition to her specialist knowledge.

The non-profit Neustarter Foundation was established in 1999 as the Tertianum Foundation. Since 2017, it has pursued the goal of inspiring and encouraging people aged 49 and older to make a new start in their careers. Neustarter also supports companies facing demographic change and increasing digitalization at the same time, in order to inspire long-serving and older employees with suitable models and methods, e.g. design thinking, for future working worlds.

www.neustarter.com

CNO Panel 2018: Switzerland is still too much "back" for the future

The CNO Panel has been the Swiss platform for top management for 18 years, featuring keynote speeches, workshops and plenty of space for personal networking. It offers relevant statements from science, politics and practice in the relaxed atmosphere of a gala evening. On October 30, it was that time once again.

Is this how we look to the future? Internet entrepreneur Jörg Eugster spoke about important megatrends at the CNO Panel 2018. (Image: Lindholm Photography, www.lindholmfoto.ch)

"Back to the Future - Utopia or Reality?" was the theme of this year's series of events organized by sieber & partners. With this, the CNO Panel 2018 challenged the approximately 400 participants to ask themselves partly delicate but highly interesting questions, such as: "How will we move from Zurich to Ostermundigen?", "Will we be cared for by robots?", "Is it still necessary to learn languages?", "Who will do my job?", "What would happen if there were self-driving cars?" In workshops, presentations and meeting points, experts and participants jointly approached such acute future questions - and solutions.

Too much "organized" in place of open platforms

Pascal Sieber, founder and organizer of the CNO Panel, draws a rather mixed conclusion when asked how "future-proof" Switzerland is: "The state and state-related companies are lagging behind current developments. ten to twenty years behind. In the private sector, we are about average." In other words, "Back to the Future" seems to apply almost programmatically to our country. However, Pascal Sieber names a few Swiss companies that offer very advanced solutions for digitalization. "One example is Landis + Gyr, for example: the company is a leader in solutions for Energy-as-a-Service. But this is precisely what is currently not feasible in Switzerland, as many state-affiliated energy suppliers want to secure their sinecures," Sieber laments. Overall, he sees Switzerland as still too dominated by state-affiliated companies - in telecommunications, for example - and monopolies. Where open platforms are emerging in other countries, Switzerland is still too "organized" in many respects and prefers to rely on sluggish proprietary solutions.

Not just talking about digital business models, but acting on them

In his keynote address that evening, Jörg Eugster talked about what the digital future might actually look like. The successful internet entrepreneur and future missionary brought the digital megatrends closer in an informative and entertaining way at the CNO Panel 2018 by telling directly from his digital life. The subsequent roundtable discussion "Three Swiss in the Global Market" showed that there are many Swiss entrepreneurs who compete with their software in the international and even global market - even though the Swiss software scene is often referred to as the research and development scene. Three entrepreneurs gave insight into their experience: Dorian Selz, CEO and founder of Squirro, Jens Thuesen, VR president of BSI Software and Cristian Grossmann, CEO and co-founder of Beekeeper. This company has developed an employee app that allows blue-collar workers without their own PC workstation, for example, to better connect. This simplifies the exchange of information - software or IT "only" serves as a means to an end here. With solutions like these, digitization will increasingly permeate the working world of the future. Pascal Sieber hopes that events like the CNO Panel can become a kind of "melting point" where people not only talk about the possibilities of digital business models, but also actively act on them.

More information and impressions

What does 3D printing actually do?

Additive manufacturing (metallic 3D printing) is still a niche technology for many companies. The media hype seems to have faded somewhat at present. Nevertheless, research continues diligently. New technologies are to help 3D printing achieve a breakthrough.

New technologies are expected to help 3D printing make a breakthrough. (Image: jean song - Fotolia.com)

3D printing, or additive manufacturing, is an expensive process. It is mainly used to create prototypes, special components in aerospace or medical technology. New processes now promise significantly lower costs and thus the advance into mass production. In the study "Advancements in Metal 3D Printing," the consulting firm Roland Berger explains the innovation potential in the area of metal 3D printing. "Additive manufacturing is currently still not competitive compared to conventional manufacturing methods in mass production," explains Bernhard Langefeld, Partner at Roland Berger. "We can't expect major advances from established 3D printing technologies: the market is waiting for the next, big leap in innovation."

3D printing: Where does Switzerland stand?

"In Switzerland, some established and new players are sitting in the starting blocks to benefit from the additive manufacturing trend. But patience is still the order of the day, which is not always the case, especially for listed companies," says Sven Siepen, Senior Partner and industry expert at Roland Berger in Zurich.

The most widely used process at present is "Powder Bed Fusion by Laser" (PBF-L). For this, a 3D part is generated layer by layer using a fine powder as the printing medium. PBF-L is used, for example, for complex parts in the aerospace industry or prototypes. Prices for this technology have fallen in recent years and further efficiency increases in the double-digit percentage range are expected by 2020. Nevertheless, the costs are still 15 to 60 times higher compared to the classic construction of identical parts.

Many new technologies are in the starting blocks

In their study, the experts at Roland Berger focus primarily on new additive manufacturing methods such as direct energy deposition (DED), material jetting, material extrusion and binder jetting. With DED, three-dimensional components are created by buildup welding using wire or powder. DED is a common process for repairs, for example. "Material Jetting" creates metallic objects similar to an inkjet printer by applying liquid metal droplets. In the "Material Extrusion" process, metal powder is incorporated into binder material to create a rod or type of wire. This is heated in a nozzle and then deposited layer by layer. In the "binder jetting" process, binder is added to the top layer of the powder bed in each case, so that a component is formed via the layer structure. In the last two processes, a so-called "green compact" is produced in each case, which must be further processed.

Many of these new processes are still in the development phase, but will gradually become more relevant in the coming years and ensure market growth for additive manufacturing solutions, as they enable production with larger volumes, among other things. The resulting cost advantages over PBF-L can be a factor of ten, depending on the process. "At present, such innovative processes complement established 3D printing techniques, but in the long term they may also replace them," predicts Langefeld. "However, we do not assume that one technology will completely prevail and displace all other solutions. As we describe in the study, the future belongs to a mix of different processes, each addressing specific requirement profiles in terms of material properties, production volumes and costs."

The right strategies for the right technologies

The wide variety of innovative solutions provides manufacturing companies with new options, but also presents them with challenges. In order to analyze the full spectrum of possibilities and then make targeted use of them, the following project approach has proven successful:

  1. Develop understanding of solutions: Given the complex environment, companies should first build a detailed understanding of the technology landscape.
  2. Identify application areas: With this knowledge, companies can analyze their own product portfolio and see if they can benefit from 3D printing processes.
  3. Grouping individual fields of application: To obtain a systematic overview, the individual applications can be assigned to different groups. For each of these clusters, companies should subsequently develop specific scenarios.
  4. Institutionalize the process: The analysis described must not be a one-off exercise, but is designed as a cycle. Only in this way is it possible to incorporate technical improvements and innovations.

"The media hype surrounding the topic of 3D printing seems to have faded somewhat, but research and development are advancing rapidly. The new technologies in particular are further fuelling innovation competition among the various processes. Therefore, machine and plant manufacturers should put additive manufacturing at the top of their agenda," Bernhard Langefeld summarizes.

Source: www.rolandberger.com

Information management: All data and documents under control

Only companies that have all their data and documents under control can survive the digital transformation. Five reasons why comprehensive information management should be a central component of any digitization strategy.

Information management must be part of any digitization strategy.

163 zettabytes, that is 163 with 21 zeros: According to a recent study, this is the gigantic amount of data produced worldwide. IDC study by 2025. Companies that want to make the best possible use of this development for their business success must rethink their information management. This advice is now being given by the business software experts at godesysa German manufacturer of ERP solutions. Accordingly, digitization strategies urgently need to include the area of data management and analysis. godesys mentions the topics of business process management (BPM), mobility, omnichannel and information management in its campaign #digitalnormal the cornerstones of the digital transformation. The following five reasons speak for a more thoughtful, IT-supported handling of internal and external information.

Five reasons for comprehensive information management

  1. Data management helps save time: With the help of an information management strategy paired with data management systems (DMS), processing times can be reduced and sought-after documents such as orders, purchase orders, invoices, contracts, lists, e-mails, notes and more can be retrieved quickly and easily. By automating recurring filing processes, companies can free up their employees to focus on core business.
  2. Reduce costs: IT-supported information management reduces mountains of paper. Expensive storage space for folders and the like is also no longer necessary. In addition, digital document management increases productivity. Companies can invest the saved expenses in new business opportunities.
  3. Information management increases efficiency: Archiving and automation functions included in the document management tool make processes traceable and transparent. This enables companies to optimize collaboration. At the same time, processing quality increases.
  4. Data strategy strengthens security: Professional DMS tools create the best framework for audit-proof data management. Data can be reliably archived from capture to destruction. This significantly reduces the risk of data loss.
  5. Companies increase their productivity: With the help of information management, companies improve the overview of their documents and processes. Functions that ensure the seamless interaction of different systems and employees, as well as social features so that all employees are on the same level, are useful here.

ERP as a hub

Hans-Jürgen Zinn, COO of godesys AG, comments: "The requirements for efficient information management are increasingly changing and growing. On the one hand, front-end functions are becoming more and more specialized, and on the other hand, all internal, and in some cases also cross-company, areas are to be continuously interlinked. The ERP system is the hub here, which has to cope with increasingly complex tasks. In addition, the amount of information is getting larger and larger. That's why today it's no longer just a matter of managing and preparing this information in line with requirements, but also processing it in a target-oriented manner."

In this context, a modern DMS must go far beyond a virtual filing cabinet. The focus is on company-wide and cross-site processes. Information management must be powerful and reliable, understand relevant processes and know which document belongs where and what its significance or purpose is. This is the only way companies can maintain an overview, leverage competitive advantages through digitization, and also meet the constantly changing legal requirements.

More information: www.godesys.de

"The Swiss software industry is a job engine".

The current Swiss Software Industry Survey (SSIS) conducted by the University of Bern on behalf of ICTswitzerland shows that the Swiss software industry has mixed feelings about the future: The industry expects to create around 20,000 new jobs over 2018/19, although it anticipates rather moderate revenue growth of 5 %.

Swiss software industry: The cantons from which the most companies participated in the Swiss Software Industry Survey. (Graphic: ICTswitzerland)

As part of the CNO Panel 2018, the current Swiss Software Industry Survey (SSIS) was presented on October 30, which was conducted by the University of Bern and sieber&partners on behalf of the umbrella organization ICTswitzerland. The SSIS is the largest study of the Swiss software industry and also provides forward-looking statements on revenue and employee growth. The focus of this year's study was on the role of the Swiss software industry in a globalized economy. For the first time, the internationalization of the entire value chain from service creation to sales was examined.

The main results at a glance

  • Declining profitability and slower sales growth: Profitability in the Swiss software industry has fallen further from an already low prior-year level of 9.1 % and now stands at 6.7 %. Revenue expectations have also dimmed: Swiss software companies expect revenue growth of 5 % in 2019, which is 9 percentage points slower than in the previous year's survey.
  • Faster employee growth: Despite the gloomy expectations with regard to business development, Swiss software companies are planning to expand their workforce in Switzerland massively and at an increasing pace: in 2018, the workforce is to be expanded by 8.2 %, and in 2019 by as much as 13.6 %. This corresponds to around 20,000 additional jobs in the period 2018 to 2019.
  • Increasing export orientation: In 2017, the Swiss software industry generated around 25 % of its sales abroad. This is a significant increase in the export ratio of 10 percentage points compared with the previous year. Around 70 % of these exports go to Switzerland's four major neighboring countries, with Germany remaining by far the most important foreign market with an export share of 35 %. On the international markets, Swiss software companies impress above all with their reliability, innovative strength and precision. In terms of price, marketing and sales, Swiss software companies still need to catch up with international competitors.
  • Internationalization of service provision: Swiss software companies are not only increasingly selling software abroad, they are also increasingly producing it there. The companies are planning to expand the workforces of their foreign subsidiaries by 19.3 %. They are also increasingly working with external service providers from abroad; especially in the areas of implementation and testing.
  • High-revenue activities: The strongest revenue-generating branch of software companies is custom software development (26.8 %), followed by customization of standard software (Customization 18.3 %) and maintenance and support (12.5 %).

Internationally successful thanks to reliability

ICTswitzerland is particularly pleased that Swiss software companies are increasingly successful in international markets. The export quota, for example, grew by 10 percentage points compared to the previous year. The industry attributes this success to the high reliability, innovativeness and precision of Swiss software companies.

Andreas Kaelin, CEO of ICTswitzerland, concludes: "The Swiss software industry is and remains a job engine for Switzerland. This is remarkable against the backdrop of strong pressure on profit margins and moderate growth prospects".

www.ictswitzerland.ch

SME Day 2018: Think big and clear - decide with confidence

More than 1,200 guests found their way to St.Gallen on October 26 to attend the Swiss SME Day 2018. The theme was "SMEs and decisions - what (really) counts in everyday life". Six guest speakers approached the topic from different perspectives. The event was moderated by Bernard Thurnheer.

Tobi Wolf welcomed 1200 visitors at the SME Day 2018. (All pictures: Thomas Berner)

Tobi Wolf opened the SME Day 2018 as host. He also presented the SME Day study that was conducted on the conference topic. It shows that decisions today have to be made ever faster and without complete information. The aspect of intuition - gut feeling vs. ratio - has gained in importance, according to another conclusion of the survey among current and former SME Day participants. In general, SMEs were satisfied with the decision-making culture in their companies. However, some entrepreneurs might wish for something like a "video evidence" like in football, where a disputed scene can be re-evaluated and, if necessary, decided again. "Cultivating a culture of error is one approach," recommended Tobi Wolf in his opening address, and he urged people to have more courage to allow bad decisions to be made.

Also a topic at the SME Day 2018: Digitalization

Decisions, especially rational and fact-based ones, will be taken more and more by artificial intelligence in the future. Prof. Dr. Elgar Fleisch, Professor of Technology Management at the University of St.Gallen, spoke about this in his presentation "The Digital Gut". This title implied that machines might also be able to make emotional decisions one day. But there is no talk of that at present: Machines should primarily be able to perform certain activities better and more perfectly than humans. Elgar Fleisch cited image recognition as an example. This is a key technology, for example for the development of self-driving vehicles. But everywhere in digitization, there will be no future without humans. "Digital and physical are growing together to form hybrid solutions," said Elgar Fleisch. Humans continue to take over the "common sense" that a machine cannot have; regulations are needed as to what ethics a machine must have.

Digitization also plays a role for a traditional product like "Basler Läckerli". This became clear from the presentation by Miriam Baumann-Blocher, owner, Managing Director and Chairman of the Board of Läckerli Huus AG. In particular, sales are increasingly taking place via online channels, but traditional direct customer contact at the points of sale is still more important. New products, such as chocolate, are also intended to address new customer segments, as the speaker explained. "We opt for tradition and Innovation," said Miriam Baumann, who described herself as a "non-risk guy" in the subsequent conversation.

Do not demonize machines - do not exaggerate nature

Myriam Locher, founder and CEO of Bettermind, gave a real "wake-up call" to the audience, showing how artificial intelligence teaches us to think bigger. "The rhetoric around digital transformation is still too peaceful," she said right at the start. "I don't believe in the calm that is still here". After all, she said, artificial intelligence will provide a growth spurt worth 15.7 trillion (sic!) U.S. dollars by 2030. It is regrettable, however, that machines are still demonized too much, Myriam Locher explained. She did not gloss over the fact that automation and digitization will cost jobs. Farsightedness is therefore necessary in order to be prepared when the big push really comes. To the entrepreneurs who want to actively shape the digital transformation, she appealed: "Change is not a great thing. But hang in there until the breakthrough comes. Because if something works right at the beginning, then you may not have thought big enough."

Myriam Locher appealed to the audience to make even better use of the opportunities offered by artificial intelligence.

A counterpoint to this was the multivision lecture by Hansjörg Hinrichs. "How to decide in the South Seas?" was the topic of his presentation. He shared some of his experiences from his many trips to the primitive peoples of the Pacific region with the audience. The quintessence: Decisions are made among primitive peoples in conversation among the tribal elders. Decisions are thought about, but at some point an action has to be taken - in the sense of an intuition for the right moment. Hansjörg Hinrichs gave the audience the following advice: "If we manage to change our tempo into rhythm, then the measure is right again.

"Privilege to decide"

The last part of the presentation was given by book author Rolf Dobelli and former top referee Markus Merk. The former explained the "art of clear thinking" in a relaxed but lucid manner by exposing typical mistakes in everyday life. "If you don't analyze the mistakes in great detail, you will make them again and again," the successful author advised. Markus Merk, in turn, enthusiastically and with many examples from his international career, gave important advice on how to "make(er) up your mind" in companies as well. Analogous to his work as a referee, he said, it is important to be permanently in areas of tension, but to use leeway as opportunities. And ultimately, it is a privilege to be able to decide.

Panel discussion at SME Day 2018: Moderator Bernard Thurnheer (center) talks with Markus Merk (left) and Rolf Dobelli (right).

The current SME guidebook, which the organizers of the SME Day 2018 gave to the visitors, can also be understood in this sense: The authors Urs Fueglistaller, Roger Tinner, Walter Weber and Tobias Wolf provide concrete answers to 7 x 3 questions and pragmatic tips and advice on the "startup spirit in SMEs". The guidebook explores the question in which areas classic small and medium-sized enterprises can benefit from very young startups, their strategies and fundamentals. Handy and readable in small bites as bedtime or break reading. To order via info@kmu-tag.ch.

The next SME Day will be held on October 25, 2019. Further information: www.kmu-tag.ch

SME Monitor 2018: Under the spell of digitalization and Work 4.0

SMEs show a lot of optimism, describe themselves as digitally well positioned, but also see themselves confronted with changes in the world of work.

Once again this year, members of the management of SMEs or other people with management functions took part in a small online survey conducted by the trade magazine ORGANISATOR. They were asked about the economic outlook for the next twelve months. In this respect, 43 percent of the respondents are looking positively into the future, 48 percent assume that nothing will change in the current economic situation, and 9 percent assess the outlook as rather negative. Compared with the previous year, optimism has declined somewhat, although in 2017 58 percent of the SMEs surveyed still assessed the economic outlook as positive. It therefore appears that realism is spreading among companies. Nevertheless, the overall conclusion of the current SME Monitor is that the basis for 2018 is probably much better than last year.

This is how the SMEs surveyed assess their business prospects year-on-year. Optimistic realism prevails...

(Still) little interest in agile methods

In addition to questions around economic prospects, challenges and investment behavior, this year's survey also asked how changes in the world of work are reflected in work organization. Here, a differentiated picture emerges: In addition to the digitalization of work processes, which is primarily noticeable in operational terms, a greater need for flexible working hours and more demanding employee management are at the top of the responses. At the bottom are collaboration with freelancers and the introduction of new work methodologies such as Scrum, Lean Management or similar. Since it was primarily small companies that took part in the survey, this finding is hardly surprising - however, for small companies in particular, working with freelancers would be an opportunity to better focus on core processes.

How are the changes in the world of work reflected in your company's work organization (multiple answers possible)?

Digitization has arrived in the companies

How digitally positioned do the SMEs surveyed see themselves? The results show: Digitization has arrived in the companies. The majority of respondents see themselves as "solidly digitized," which means that a large proportion of support processes and even some core processes are digital. However, whether this is enough to be well positioned for the future is another question. At least a little more than one-fifth of the companies surveyed consider themselves to be "fully digital", i.e., they have their own digital business models or are, as it were, "children of digitization". The blessings of digitization - such as cost savings or efficiency gains - do not yet seem to have any influence on the workload of employees. Even if more and more machines or software take over the work: The majority of companies do not have less to do or more to pay.

How digitally positioned do you consider your company to be?

 

Information about the sample

The companies surveyed for this year's 2018 SME Monitor were 76.8 percent from the services and trade sector, 16 percent from industry and manufacturing, and the remainder from the commercial sector. The majority (64.3 percent) of companies surveyed have fewer than 50 employees, 7.1 percent are in the 50-100 employee range, 16 percent are in the 100-250 employee range, and 12.5 percent have more than 250 employees. Turnover is below CHF 5 million for 50 percent of respondents. Overall, the sample is not representative, but it largely reflects the reality that over 90 percent of all Swiss companies are SMEs with fewer than 20 employees.

The ORGANISATOR special publication "KMU-Monitor 2018" with further information, commentaries and interviews is available download here available.

Success Impulse: How your customers (and other people) will love you

Some have success, others have to fight for it. Another impulse for success from our columnist Volkmar Völzke.

How do we manage to systematically attract others and keep them coming (and buying) to us? Volkmar Völzke's Success Impulse provides answers. (Picture: Fotolia.com)

You're probably familiar with this: some people, teams and entire companies succeed over and over again, while others (perhaps including yourself) have to fight over and over again for every victory. The important difference is that the first group has created systems for success, while the second group is always starting over.

Systematically attract

One example: One of the very important systems for success is the principle that people - including your customers - want to deal with you again and again. In other words: If you can get other people to come to you because they love it, you'll have to worry less both about customers staying away. This (like most of the key insights) sounds simple in principle, but very few people apply it consistently. So the big question is: How do we manage to systematically attract others and keep them coming (and buying) to us?

Three tips for practice

Among many different ideas to accomplish this, there are three key human drives that you can harness. If you "feed" these drives, everyone will want to be involved with them.

  1. Security. This is an absolute basic need. If you provide your customers with true certainty, they will be much more likely to buy from you. Attention: Any need for a decision creates uncertainty for the customer. The same with unclear communication. In too many sales conversations, the prospect becomes confused and uncertain rather than knowing exactly what to do. Make every interaction simple and clear. The customer will feel confident - and buy.
  2. Affiliation. We all want to belong to groups. If you can create a "community" among your customers that they enjoy dealing with, your repeat business will go through the roof. Apple with its fan base sends its regards.
  3. Meaning. Few things people thirst for more than to be perceived as important. If you credibly increase people's importance in the world, they will want to be with you (and buy from you) again and again. Porsche can tell you a thing or two about it.

So then, if you want to sell more, starting tomorrow you give your customers more security, more belonging and make them more significant. The same for more engagement in your team. Quite simple really, isn't it? But as success coach Jim Rohn said: "What's easy to do is easy to do, not to do."

To the author:
Volkmar Völzke is a success maximizer. Book author. Consultant. Coach. Speaker. www.volkmarvoelzke.ch

topsoft trade fair 2019 new in the Umwelt Arena Spreitenbach

After eight years at Messe Zürich, the Swiss trade fair topsoft is taking an important step into the future. With the Umweltarena Spreitenbach as the future venue, new formats combine to strengthen the focus on "Idea. Project. Business" even better. The focus of the trade fair will be even more clearly on the practical shaping of digitalization, the organizers say.

The Umwelt Arena Spreitenbach is the new location for topsoft 2019. (Image: zVg/Umwelt Arena AG)

Switzerland is one of the most innovative and progressive countries in the world. Digital requirements are correspondingly high. As a marketplace for new technologies, topsoft has been the only Swiss IT trade fair to offer important guidance for more than 20 years. This will not change in the future, as Exhibition Director Cyrill Schmid states in a statement to the media. What will be new from 2019, however, is the venue and the trade fair formats on offer. With the Umwelt Arena in Spreitenbach, topsoft is moving to a location that will represent the digital networking of all areas of life and work like no other.

The Umwelt Arena as a new trade fair location

With its modern space and exhibition concept, the Umwelt Arena in Spreitenbach provides the ideal background for the topsoft trade fair. The combination of exhibition area, conference and event rooms as well as catering allows to combine both the new and the tried and tested. "We want to further develop the format of the topsoft trade fair. In doing so, we will continue to focus on expertise, market overview and networking. The Umwelt Arena offers us and the exhibitors flexible design freedom," says exhibition manager Cyrill Schmid, explaining the decision.

The focus on digital business remains

In the future, too, all relevant aspects of business IT will find a permanent place in the new trade show concept. However, visitors will also be able to find out about topics such as smart work, mobility, security, artificial intelligence and much more. It is clear that the business aspects of digital applications will be in the foreground. That is why, according to the organizers, topsoft will not be developed into a show event, but will offer entrepreneurs a high, undiluted benefit from their visit to the trade fair.

Space for innovative concepts and formats

The design of the new trade fair concept is currently being developed. The premises and infrastructure allow for various possibilities. In addition to the exhibition area, day conferences, workshops, but also evening events or separate theme parks are feasible. Interested exhibitors can already contribute their ideas to the design. Cyrill Schmid: "The idea behind this is to create a common platform with the suppliers in the Swiss ICT market. We want to successively transfer this principle of togetherness to all topsoft formats."

Starting shot for providers on January 16, 2019

At the kick-off on January 16, 2019, topsoft will provide detailed information on all details and innovations of the trade fair. Interested exhibitors are cordially invited to visit the Umwelt Arena Spreitenbach from 07:30 for coffee and croissants. The next topsoft trade fair will then take place on August 28/29, 2019.

www.topsoft.ch

Companies underestimate risks of digital transformation

Swiss companies have recognized the importance of digitization and its opportunities. But they still underestimate the risks of digital transformation projects. A positive aspect is the realization that not only technology risks are seen, but also risks from the strategic and cultural environment.

Digital transformation is a tightrope act - companies underestimate the risks, a study shows. (Image: Ecko / Pixelio.de)

Companies have identified the initial risks of digital transformation, but their comprehensive analysis and assessment is still in its infancy. This is the conclusion of a study conducted by the Institute of Financial Services Zug IFZ of the Lucerne University of Applied Sciences and Arts together with SwissERM. In the ERM Report 2018, the authors conducted an extensive practice survey to find out how Swiss companies assess digitalization drivers, how highly they rate digital transformation risks, and whether they are prepared to manage them. The results are based on the assessments of 238 executives. This enabled an in-depth analysis of the perception and assessment of digital transformation risks by company size and industry affiliation.

Figure 1: Digital Risk Framework of the cooperation partners IFZ and SwissERM.

Digital Risk Framework as an orientation framework

IFZ and its cooperation partner first developed the "Digital Risk Framework" (see Figure 1), which was reviewed by experts and members of SwissERM. It provides a tool to identify the risks of digital transformation by relating financial risks, operational risks, compliance risks, and customer risks (pillars) to digitalization drivers (left side) that may force companies to adapt to new realities. The framework includes risks such as deep profitability of the digitized business model, dependence on external (IT) service providers, theft of financial resources through cybercrime or loss of reputation on social media channels.

Majority affected, differentiated risk perception

More than three quarters of the participating companies expect their industry to change as a result of digitization in the next three years. Around 45 % expect their business model to change, accompanied by a transformation process (see Figure 2). However, only one in five companies expects digitization to give rise to new market players, primarily companies from the energy supply, financial services and technology sectors.

Figure 2: Change in industry and business model due to digitalization.

36 % of the companies assess the risks of digital transformation as high or very high. On the positive side, 56.3 % rate their own risk response as appropriate. Progressive risk management is particularly prevalent among companies with 1,000 or more employees (67.2 %). However, only one-third of the participants state that their employees are well or very well aware of their own company's goals with regard to digital transformation.

Barriers with significant risk potential

Barriers frequently arise in change processes, which can develop into significant risks depending on their severity. In the case of digital transformation, two barriers come to the fore, namely higher priorities/tasks (43.6 %) and a lack of digital culture (40.7 %), the causes of which lie in the strategic and cultural environment of a company. Obsolete IT systems were also cited comparatively frequently as a barrier by 38.2 % of the participants in the survey.

On the positive side, a lack of employee motivation (8.8 %) and a lack of willingness to take risks (14.7 %) are mentioned relatively rarely. On average, each company identifies four implementation barriers. In order to avoid negative consequences from the outset, it is advisable to initiate precautions against the frequently mentioned barriers. Formulating a digital strategy, appointing a digital officer, and involving and training employees comprehensively at an early stage can be important levers.

Operational transformation risks most relevant

In the practice survey, 32 digital transformation risks from the Digital Risk Framework were focused on and assessed by the participants. With the exception of the risk "failure of the (IT) operating infrastructure", all risks were assessed as having a financial impact of no more than "medium". Also in terms of risk occurrence in the next three years, no risk has a probability of "high" or "virtually certain". This result suggests that many companies have already initiated measures. The extent to which these risks can be controlled is assessed more differently, with around half of the risks being "partly" or "mostly" controllable.

Figure 3: Assessment of digital transformation risks by risk category.

The companies rate financial risks as the least relevant. Operational risks, on the other hand, have the highest relevance. Compliance risks and customer risks show a middle tendency (see Figure 3). This suggests that the consequences of the digital transformation are still complex and difficult to assess. Companies must therefore regularly analyze and monitor all risks and establish targeted measures.

Source: Lucerne University

 

 

Opacc Software AG: New building for 130 workstations opened in Rothenburg

Since October 1, the 130 employees of Opacc Software AG have been working in their new domicile in Rothenburg, Lucerne. This was preceded by an intensive search and planning phase and a 21-month construction period. The new building was constructed according to the most modern energy technology aspects and has more than just contemporary workplaces.

The new "glass palace" of Opacc Software AG in Rothenburg LU. (Image: Opacc)

"We spent ten years looking for a building site," recalls Beat Bussmann, owner and CEO of Opacc Software AG, of the lengthy planning period for a long-overdue new building. But now the time has come: The new building "on the green meadow at Wahligenpark 1 in Rothenburg could now be occupied. What was previously spread over five locations in the Kriens / Lucerne area could now be merged into one whole. Beat Bussmann is in a tidy mood: "With our own campus, a long-cherished wish has come true: here we can offer the various specialists an optimal collaborative and innovation-promoting working environment under one roof. And at the same time create optimal conditions for training and further education in the integrated Academy." With the new building, Opacc is giving itself probably the biggest and most beautiful gift for its 30th anniversary. The new Opacc campus, located in the immediate vicinity of the Rothenburg train station and the Rothenburg freeway exit, is designed for around 220 employees. This will be sufficient for the coming years, especially as there is potential for further expansion to accommodate another 400 employees on the company's own premises.

In the spirit of Work 4.0: Office and Leisure mixed together

Opacc Software AG is now known for offering its employees optimal conditions for a functioning work-life balance. The IT industry in particular is dependent on good specialists, and companies do well to ensure low staff turnover. Opacc seems to have fulfilled this requirement well so far, because - according to Beat Bussmann during a media tour of the new building - the fluctuation rate has been below 3 percent for years. The new premises are likely to provide an additional boost. On the one hand, this is due to the fact that the interior design focused on well thought-out functionality as well as comfort, clarity and modernity. "Bleisure", the blending of office and leisure, is the magic word here. Rooms for concentrated work as well as rooms for relaxation are part of it, a library with adjoining relaxation room, a bistro, a lounge for discussing and playing as well as retreat rooms and open CoffeeCorners on all floors provide for the daily feeling of well-being.

Beat Bussmann (center) shows media representatives the customer gallery. (Image: Thomas Berner)

Consistent promotion of young talent

On the other hand, there is a consistent focus on promoting young professionals. Eight apprenticeships are now being offered instead of the previous six. The main focus is on training media technicians - in conjunction with the vocational baccalaureate. And in order to get young people interested in IT professions as early as possible, digitalization must also find its way into the classroom. With this in mind, Opacc Software AG has decided to donate old, but still fully functional and state-of-the-art laptops to the Rothenburg school.

www.opacc.ch

Further increase in sales of fair trade products

The consumption of fair trade products in Switzerland increased once again in 2017. Spending on fair trade products increased by 11% and amounted to 768.4 million Swiss francs. At 91 francs per year, per capita consumption of Fair Trade products reached a new record.

Swiss consumers increasingly opted for fair trade products in 2017. (Image: Swiss Fair Trade)

Last year, sales of fair trade products in Switzerland increased once again. This is announced by the umbrella organization of fair trade organizations in Switzerland, in a recent communiqué. With a growth of 11%, Fair Trade sales rose to 768.4 million Swiss francs in 2017. In particular, the classic product area of Fair Trade, chocolate, or cocoa products, recorded a remarkable growth of 71% compared to the previous year. Overall, the fresh fruit category (bananas, pineapples, etc.) accounts for the largest share of sales with 23%. Swiss citizens spent 91 Swiss francs per person on Fair Trade products in 2017. This means that Switzerland remains the world champion in per capita consumption of fair trade products.

The umbrella organization Swiss Fair Trade collects the current figures on fair trade in Switzerland every year. The turnover of all products traded or certified by the members of the umbrella organization is taken into account. The association members share the same understanding of Fair Trade and are committed to common principles and standards. Fair Trade stands for long-term and fair trade relations, stable and transparent prices, fair working conditions and sustainable cultivation methods. Fair Trade enables people worldwide to earn a living wage through their work.

Members of Swiss Fair Trade include specialized trade organizations, specialty stores, labels that certify fair trade products, financial institutions that invest in the spirit of fair trade, and NGOs that work politically to strengthen fair trade.

More information: www.swissfairtrade.ch

 

get_footer();