… or the value of (lifelong) learning, networks and a willingness to change
While the digital transformation poses enormous challenges for businesses, it also offers unique opportunities. In a dynamic environment characterized by technological advances, demographic change and the skills shortage, companies must be ready to constantly adjust their strategies and tread new paths. Economic development initiatives like bwcon see their role as enablers and partners, accompanying and supporting businesses in Baden-Württemberg on this journey.
Digital technology is fundamentally transforming production processes, business models and the workplace. But while automation, artificial intelligence and networked systems improve efficiency, they also put pressure on existing labor structures. Businesses must adapt to the new circumstances as quickly as possible if they wish to remain globally competitive and leverage innovative market opportunities. It is vital to actively shape this transformation rather than simply reacting to it.
One of the key success factors is a willingness to challenge existing business processes, reimagine your own business models and harness specific new technologies to enable new models and processes. Companies can gain a competitive edge by being quick to develop and implement digital strategies. Yet this is easier said than done. It calls for investment in the evaluation of new technologies. But this must be accompanied by a systematic staff development strategy to ensure that the technology assessment translates into added value for the entrepreneur. The changes that this entails for the company will require targeted facilitation within the organization in order to make digitalization and digital transformation an integral part of its culture.
The skilled worker paradox: why the shortage when the potential is out there?
The next challenge is the skills shortage, which is being exacerbated by demographic change. While companies are desperately casting around for skilled professionals in some areas, the potential workforce available in other areas remains unused. This paradox can only be solved through targeted professional development and retraining. In other words, companies can no longer afford to merely pay lip service to lifelong learning – it has become a hard requirement. Accordingly, innovation systems must promote professional development to help businesses connect with the right talents. Sectors such as the automotive and manufacturing industries are facing profound structural change. Jobs are disappearing and there is growing demand for new skill sets. “Instead of resisting change, companies need to actively manage it using the relevant change management methods”, concludes Steinbeis expert and bwcon
Managing Director, Dr.-Ing. Jürgen Jähnert. Change always causes alarm among staff throughout the business. Innovative professional development measures and new training strategies are key to mitigating these concerns among employees and highlighting new prospects for them. They help both employees and the organization as a whole to be better prepared for the future.
In view of the above, employees’ (original) academic or vocational qualifications are no longer enough – continuing professional development (CPD) is becoming increasingly important for businesses and society in general. Companies must invest in training programs on digital technology and innovative business models for their skilled personnel. Targeted training can also unlock lateral entrants as a valuable labor market resource. Flexibility, lifelong learning and a culture of change across all organizations are becoming key success factors in an increasingly digital workplace.
New business models and agile structures
The digital revolution requires companies to adapt their business models as new technologies open up opportunities for innovative services and products. But you need to be quick off the mark – market share and long-term success depend on being faster than the competition. As well as upgrading their technology, businesses must also make their internal structures and processes more flexible and agile in order to meet the growing requirements. Digital technology can be used to optimize or to disrupt existing value creation. Experience has shown that the critical factor in a process like this isn’t how much individuals know or how powerful the technologies are. Rather, it is an organization’s willingness to change, how the change process is facilitated, and the proactive management of the resistance to change typically encountered in these scenarios. These are the keys to maintaining an organization’s long-term resilience and competitiveness. In short, cultural change must precede technological change so the workforce can actively shape and drive the transformation.
Agile methods originating from the software engineering industry are becoming increasingly popular in other sectors, too. They can help companies react faster to change and bring innovative products to market more quickly. Businesses can significantly improve their innovation performance by using iterative development processes and fostering close collaboration between different departments.
Economic development: a shield and enabler
The role of economic development is to act as a shield for businesses going through the digital transformation – not to save them from change, but to help them make the journey. CPD, promoting innovation, and strategic adaptation are the keys to tackling the challenges and unlocking new potential. “This is exactly what bwcon focuses on in order to sustainably strengthen business in Baden-Württemberg. The companies that embark on the right course now will be well placed not just to survive crises but to emerge stronger from them. The future belongs to those who see change as an opportunity and are prepared to stride boldly forward” says Jähnert.
Sustainable economic growth will require companies and economic development initiatives to jointly develop and implement digital transformation strategies. The role of economic development agencies is to actively support this structural change, providing companies with targeted assistance in the shape of the necessary resources, networks and funding programs. As well as strengthening businesses in Baden-Württemberg, these measures can also ensure the region’s long-term global competitiveness.
bwcon can help you successfully transform your business
bwcon supports businesses through networking, knowledge transfer and targeted funding programs. The bwcon innovation and digitalization platform offers companies practical ways of gearing up for future challenges. Cooperation with research institutions, startups and established enterprises builds up an ecosystem that actively drives the transformation. Particular emphasis is placed on interdisciplinary dialog with a view to enabling new initiatives and accelerating the practical implementation of innovative solutions.
In addition to consulting services, bwcon also offers targeted workshops and coaching programs that provide businesses with active support on their digital transformation journey. Networks are a key resource for innovation, and bwcon draws on them to help companies benefit from best practices and successful digital strategies in other industries. Startups are also actively included in the ecosystem in order to promote synergies between established enterprises and new, innovative initiatives. Networks provide a safe space for experimentation, far removed from sales-driven encounters. The participating organizations tackle challenges collectively, share tips and tricks and try out new ideas together, all in a spirit of trust. “The basic principle is that businesses can shape a better future together in a value network than they can on their own. This approach means they can look to the future from a stronger position and with a clear vision”, insists Jähnert.