Digitalization: IT departments must reinvent themselves

In "Digital Insights - Digitization: 7 Views from the Field," digitization professional, author and interim manager Mathias Hess explains how digitization can succeed when companies establish change management that involves and actively engages employees along the path of digital transformation so that the new technologies and collaboration models can deliver their full benefits.

Mathias Hess: "IT departments will have to reinvent themselves". (Image: Best Practice Verlag)

Data is the new gold - but IT will very soon no longer be the gold digger. As part of digitization, the demands on the IT department are changing as more and more processes in the company run automatically. Instead, complex networked, often external applications will dominate everyday operations. This means that the IT organization will have a fundamentally new role to play: away from being a problem-solving cost optimizer and toward becoming a creative business enabler.

Old-style IT departments cannot shape digitization

"We are experiencing a massive transformation in technologies, processes and ways of working. The opportunities are huge if we take everyone with us - especially the employees," emphasizes Mathias Hess. Mathias Hess is a digitization professional, interim manager and co-author of the book "Digital Insights - Digitization: 7 Views from the Field." "If you want to shape digitization, you have to overcome departmental boundaries and silo thinking," adds the interim manager, who has been on the move in the digital world for around a quarter of a century - in large national corporations, as CIO and IT director, and in responsible management positions at IT service providers. Overcoming silo thinking also means being open to cloud solutions and IT outsourcing and opening up one's own interfaces for customers or suppliers, for example. But the focus must also become more holistic internally. Only when every employee interacts and is involved and departmental boundaries cease to be communication boundaries can digitization succeed.

At present, many CEOs are still shying away from the step into a fully digitized future, the expert observes. Others would fail to implement due to a lack of analysis in advance and the absence of a coherent concept. "While the corporate IT department, faced with the sheer endless range of technical solutions, is faced with the question of which IT solutions best fit the new business model and offer the most benefits for operations and customers, the management is faced with the task of developing a company-wide digitization strategy that takes into account both customer needs and market requirements and thus becomes an essential part of the corporate strategy," says Hess.

Think less from the problem

What is needed are big concepts and visions; it is a matter of shaping all business relationships and processes with the involvement of customers and all participants in the value chain, not of making small repairs to the existing system. Anyone who takes digitization seriously has to think this way. Many IT departments reach their limits in this way of thinking. This is the job of the management. Digital transformation is about the future direction of the company. Here, the IT department can provide support in the form of expertise, but it should not become the decision-maker. "Many IT departments think too much in terms of the problem and not enough in terms of the solution," says Hess.

Digitalization requires targeted change management that involves employees and actively integrates them on the path to digital transformation. The fears of employees and other stakeholders regarding new business models would have to be taken seriously and proactively addressed. "Agile corporate management, open communication with employees and their early involvement in the digitization process, as well as a healthy culture of error are essential for this," Hess emphasizes.

Practical guide for SMEs

In "Digital Insights - Digitization: 7 Perspectives from the Field," seven successful interim managers report directly from the field. They shed light on megatrends and technical innovations, address entrepreneurial, process-related, ethical, social and global issues as well as the relationship between managers and employees. The seven authors come from a variety of industries and disciplines and bring together all their expertise in "Digital Insights," making it useful for small and medium-sized companies. The book is intended as a practical guide, providing valuable food for thought as well as tangible tips. The value of the work lies in the interdisciplinary composition of the authors and in the easy-to-understand communication of the messages. The book is not technological gobbledygook, but offers concrete support for the first steps in the company.

The authors Elmar M. Gorich (Business 2030: the business models of the future), Mathias Hess (From IT to change management - the human factor of digitization), Matthias Koppe (Digitization is networking), Eberhard Müller (Competitive through customer-focused value-added systems), Uwe Seidel (Anything but standard: Digitization needs a clear strategy), Bettina Vier (Juggling work: customer centricity in B2B relationships) and Ludger Wiedemeier (Governance and transformation) speak plainly and paint a realistic picture of the opportunities and possibilities, but also of the challenges and risks. They provide insights from the hard practice of dozens of projects in medium-sized companies and international corporations and look at the topic of digitization from very different angles. All authors are members of the "Digitalization and Industry 4.0 Working Group" of the umbrella organization German Interim Management (DDIM) and are among the most recognized experts in their respective fields.

"Digital Insights - Digitization: 7 Views from the Field" is published by Best Practice Verlag and costs 39.90 euros. More information

Seven theses to make the successful model of Switzerland fit for the future

PwC Switzerland has drawn up a thesis paper outlining the measures that can be taken to help Switzerland emerge strengthened from the current crisis as a model of success. According to PwC, this is intended to provide new impetus and steer the current discourse away from acute exit measures and toward long-term opportunities for Switzerland.

In a thesis paper, PwC Switzerland outlines ways in which Switzerland as a successful model can emerge stronger from the crisis. (Image: PwC / Editors)

Switzerland was able to act from a position of strength during the crisis due to its successful model, but at the same time some weaknesses have been revealed. The momentum can now be used to make the successful model of Switzerland fit for the future and thus to be solidly positioned also in future crises. Switzerland's political system, its pronounced federalism with its principle of subsidiarity, its liberal economic system, its strong diplomatic relations, its capacity for innovation and, last but not least, the entrepreneurial spirit of its citizens offer particularly favorable conditions that must now be exploited, writes PwC Switzerland.

Seven theses for the Swiss success model

The following seven theses (including highly abbreviated explanations) show which measures can help Switzerland as a state and economy to emerge stronger from the current crisis. The full thesis paper is available at here download.

1. take advantage of the digitization push and promote new working models and further development of administrative practice in the digital age.
The experience of the Corona crisis has made the need for digital transformation and new working models evident. The crisis has shown how vulnerable the Swiss administration is when it can no longer collaborate physically. The political institutions must use this momentum to further accelerate the digital transformation at all three levels of government - not only to be better prepared for the next crisis, but also to make the state as a whole more efficient, smarter, more innovative and more needs-oriented (e.g., further expansion of digital interfaces between companies and the administration in direct taxation, digital citizen accounts, digital participation opportunities).

2. promote international cooperation to solve common problems together.
The current crisis has exposed the vulnerability of international supply chains. As an exporting nation, Switzerland is particularly dependent on functioning trade routes and international cooperation. It has an excellent diplomatic network and strong relationships and trade agreements - Switzerland must leverage this position in interaction with the internationally oriented Swiss economy and its relationships to adapt international agreements and make supply chains more robust and redundant.

3. strengthen Switzerland as a center of innovation and extend its lead
The Swiss economy is characterized by an enormously high level of innovation. The costly measures to support national trade and production as well as social security will, over a long period of time, force European neighbors to limit their investments in research and development. This is a valuable opportunity for Switzerland to further extend its lead in key areas through targeted support using existing or even new instruments.

4. using sustainability as a success factor and driving forward the transformation of the economy
It is to be feared that states will relax their environmental regulations to boost the economy in the short term. In this environment, Switzerland - supported by the accelerated digitization and its innovative universities and companies - can position itself as a pioneer in the area of sustainable transformation of the economy and innovative work models, and thus gain in attractiveness as a high-quality place to work, live, do business and visit.

5. further strengthen the resilience of the critical infrastructure and evaluate the need for digital sovereignty.
Significant infrastructure failures in Switzerland have not occurred. It is important to ensure the strengthening of national cyber security efforts in order to combat attacks on a broad front. Likewise, it is time to launch the discourse between business, science and politics on an interpretation of "digital sovereignty" that makes sense for Switzerland. By consistently building up its own defensive capabilities and technological competence, the security of sensitive information and Switzerland's digital sovereignty can be guaranteed.

6. develop transparent planning scenarios for future crisis situations
A key means of adequately countering future crises is the continuous development of plan scenarios. The earlier concrete dangers and potentially problematic trends in the health or security sector can be identified, the sooner effective countermeasures can be initiated and thus the most serious consequences averted. The international security situation will not improve significantly in the foreseeable future in the political, economic and also health sectors. Switzerland must prepare itself for the security situation in various areas through coordinated scenarios for any crises and build up the appropriate structures.

7. reflecting on strengths and making the Swiss success model fit for the future
The crisis has shown that cooperation between the players can be improved in certain areas. If we work on the identified weaknesses and build on the proven strengths, future challenges can be mastered - be it our old-age provision, the energy transition, the financial viability of the healthcare system or relations with the European Union and the international community of states.

Source: PwC Switzerland

Hardship cases rarely apply for Covid 19 credits

A new survey conducted by the offer portal GRYPS shows new data on the situation of small and medium enterprises in the Corona month of April: 14.4 percent expect bankruptcy: nevertheless, especially hardship cases do not apply for Covid 19 loans.

Even if the bank would say yes: Not all SMEs take advantage of Covid 19 loans. (Image: Pixabay.com)

The Corona crisis poses existential challenges for SMEs in Switzerland. 33 percent of SMEs suffered a drop in sales of more than 75 percent in April 2020 and 14.4 percent expect to go bankrupt in the next 6 months due to Corona. This is shown by the second Survey of GRYPS offer portal on the economic impact of the Corona crisis on small and medium-sized enterprises in Switzerland. This was conducted online on May 5 and 6, 2020, with 140 SMEs participating. Of these, most are small companies with up to 50 employees.

Few Covid 19 loans by vulnerable SMEs.

Strikingly, 80 percent of SMEs surveyed that fear bankruptcy due to the current situation have not applied for a Covid 19 bridge loan. Most companies with bankruptcy fears fall into the 1-10 employee category and are in the service and hospitality industries. "It turns out that it's the smallest service and hospitality firms that don't feel they can repay a loan. Here, a massive wave of bankruptcies will roll towards us," says Gaby Stäheli, co-CEO of GRYPS Offertenportal.

Other results in the survey

Compared with the previous month, there was a slight reduction in layoffs. While 15 percent planned or already carried out layoffs in March, the figure fell to 12 percent in April. Overall, 35 percent of SMEs surveyed have applied for a loan. Of these, however, 12 percent have not yet taken advantage of the bridging loan. 65 percent of SMEs have not applied for a bridging loan at all to date. And in terms of rent reductions, 12.6% have been able to agree on a deferral or temporary reduction of rent, while 7.5% are still planning to do so. Interestingly, the data analysis revealed that SMEs with bankruptcy fears are not in these two categories.

At just over 55 percent, a majority of SMEs believe that the crisis will last until 2021 and then pick up. Just under 27 percent think a crisis lasting several years is likely. Only just over 18 percent think that with the opening, the economy will quickly grow to pre-Corona levels.

Home office experiences remain

21 percent of the SMEs surveyed have now introduced home office for the first time and intend to continue offering it to employees in the future. And a majority of the SMEs surveyed have introduced new forms of communication such as online collaboration and video conferencing. 8 percent have added to their product portfolio and 4 percent have expanded to e-commerce.

"Strengthening the inner power" at the Female Business Experience Day

This year, the continuing education company Female Business Seminars is organizing its fifth Female Business Experience Day, a workshop day for professionally engaged women that provides a holistic and inspiring continuing education experience and allows women from different professional backgrounds to exchange ideas.

This year's Female Business Experience Day will take place at the Badhof seminar hotel in Meggen - with a view of Lake Lucerne. (Image: zVg)

This year's Female Business Experience Day on June 19, 2020 carries the theme: Strengthening inner power - training emotional and mental muscles for more inner strength and self-fulfillment. On this day, the participants will be shown their own heart's goals in two different workshops, they will trace their essence and mobilize hidden forces. The event promises an unforgettable experience at the seminar hotel Badhof in Meggen, with a view of Lake Lucerne and the Central Swiss Alps!

Workshop by Nicole Brandes: "The four roles of a strong woman".

In the workshop by Taoism expert and executive coach Nicole Brandes, the four roles of a strong woman will be discussed and how she can bring them into harmony with her life goals. It is about finding ways out of the comfort zone and strengthening one's own energy matrix. Nicole Brandes is founder of "Achievers on Fire!", international management coach,
Best-selling author and sought-after keynote speaker worldwide. She held top positions in various multinational financial corporations and with Queen Silvia of Sweden for over 15 years. When she led on-site relief efforts in the Halifax plane crash, it changed her life: "If people's hearts aren't recognized and involved, all processes are for naught." She wrote her own team mission statements and won awards for her work at Bank Leu. Today, she works with business people to be not only more successful at work, but also more fulfilled in life.

The two workshop leaders at the Female Business Experience Day: Nicole Brandes (left) and Nadine Rass. (Image: zVg)

Workshop by Nadine Rass: "High performance thanks to active regeneration".

Nadine Rass's workshop will cover topics such as stress management and how to better deal with performance pressure. The former professional golfer and current business coach shows how to achieve high performance under pressure and how to deal with defeats. Her holistic methodology encompasses the training of mental and
emotional muscles to strengthen one's energy matrix. She talks about linear concentration, active regeneration and how to stay intrinsically motivated for longer periods of time. With integrated exercises from breathing therapy and Qi Gong. Optionally, a golf short workshop (9-12h) with Nadine Rass can be booked on the following day, June 20, 2020. The cost of CHF 150/person can be paid directly on site (max. 12 persons).

Nadine Rass, PGA golf professional and mental coach was herself an athlete and coach on the tour around the globe for many years. She is one of the top 100 business coaches and has been supporting numerous companies and personalities for 15 years now. Her innovative impulse coaching concept was nominated for the Austrian HR Award in the Vienna Hofburg last fall.

Female Business Experience Day: The most important facts in brief

Date: June 19, 2020
Location: Golf Meggen / Badhof Inn, Kreuzbuchweg 1, 6045 Meggen
Time: 09:00 till 18:00
Prices: CHF 420.- (regular) | CHF 350.- (for Female Business Club-Members)
Registration deadline: May 31, 2020
Registration: https://www.femalebusinessseminars.ch/veranstaltungen/fb-erlebnistag-2020

Swiss SMEs believe in return with new strength

More than two-thirds of Swiss SMEs are confident of returning to the post-Corona era with renewed strength. This is shown by a representative survey conducted by localsearch (Swisscom Directories AG).

This is how Swiss SMEs assess the Corona crisis. (Graphic: Localsearch)

Despite massive economic upheavals, Swiss SMEs do not believe in an economic Armageddon. In a survey conducted by localsearch (Swisscom Directories AG) survey of 200 SMEs in German-speaking Switzerland, 68 percent agree with the statement "My SME will find new strength after the Corona crisis. A minority of 11 percent doubt their own economic viability.

A quarter of Swiss SMEs expect a wave of bankruptcies

Swiss SMEs are not only rather optimistic about their own future in the post-Corona era, they are also not overly concerned about their industry. Almost half (46 percent) of those surveyed are convinced "In my industry, there will be few bankruptcies as a result of Corona." On the other hand, 27 percent of respondents expect a wave of bankruptcies among their competitors. However, it seems to be too early for many entrepreneurs to form a conclusive opinion on this question: Indeed, one in four survey participants (27 percent) say they are not yet able to assess the bankruptcy potential of the Corona crisis.

Crisis as an opportunity: one in five SMEs sees great potential for itself after Corona

One in five Swiss SMEs sees the crisis as an opportunity. "For my SME, the Corona crisis is an opportunity" - 21 percent of the SMEs surveyed agree with this statement, for 50 percent it does not apply and 29 percent do not want to commit themselves in their assessment. "I am very impressed by the mental strength and optimism of many Swiss SMEs. These are the best prerequisites for economic recovery," says Stefano Santinelli, CEO of localsearch (Swisscom Directories AG), commenting on the SMEs' assessment.

Corona accelerates digitization - many SMEs nevertheless remain unimpressed

Triggered by the Corona crisis, the population has strongly digitized its everyday life with online shopping, home office, food delivery, video chats and cashless payment. This trend leaves many SMEs cold. 55 percent of the companies surveyed say they are not more interested in digital offerings such as web stores, online appointment bookings, etc. than before because of the lockdown. Only a minority of 23 percent affirmed the statement "Digital marketing is more important for us today than before the crisis".

Stefano Santinelli is convinced that the discrepancy between consumers' growing digital demands and a lack of correspondence among many SMEs could become dangerous for these companies in the medium term: "Consumers are not guided by the provider. If he wants to order online, he orders where he can. The others go away empty-handed."

 

Charity wine as crisis aid for gastronomy

As a sign of partnership and solidarity, Schuler St. Jakobskellerei is launching its charity wine initiative "Help with a bottle.today", a fast-acting contribution to support Corona-crisis-stricken restaurateurs in Switzerland and Germany. Thanks to the closing of ranks and joint commitment with the wineries Maison Gilliard in Valais, Castello di Meleto in Tuscany as well as the Mallorcan winery Ses Talaioles, the traditional Swiss wine house was able to turn a spontaneous idea into a "great cause" for a good cause. The charity wine edition is limited to 30,000 bottles.

Charity wine for struggling restaurateurs: A first-class typical Tuscan and Mallorcan red wine each, as well as a fine drop from Valais, can now be ordered from Schuler St. Jakobskellerei. (Image: zVg / Schuler St. Jakobskellerei)

In keeping with the motto "Companies help companies", Schuler St. Jakobskellerei and the participating wineries jointly donate the sales generated from "Help with a bottle.today". The entire sales revenue flows into a gastronomy aid fund and is distributed in Switzerland via Jeunes RestaurateursGastroSuisse as well as GastroSchwyz and donated to the catering industry in Germany via equivalent organizations. Particular attention is being paid to young restaurateurs, as they are often particularly hard hit by the current situation. "As a retail, online and mail-order merchant, we are fortunately not as dramatically affected by the lockdown due to the Corona pandemic. The gastronomy, which is a very important partner for the wine trade, even more so. That is why we are supporting the gastronomy with this project. As a tradition-conscious and one of the oldest trading houses in Switzerland, this is a particular concern for us," comments Nikolas von Haugwitz, Chairman of the Management Board of Schuler St. Jakobskellerei. He thus underscores the company's partnership with the catering industry. The target is a total donation of around CHF 500,000.

Help and enjoy

The charity wine edition, consisting of one first-class typical Tuscan and Mallorcan red wine each, as well as a fine drop from the Valais, is limited to 30,000 bottles. Anyone who wants to "Help with a bottle.today" can order "their" charity wine in Switzerland and Germany via helpwithabottle.today. The retail price for an auxiliary package of six bottles is CHF 110 / € 99.

With a little help ...

The project also triggered a wave of helpfulness among the relevant implementation partners for design, print, marketing and communication. In keeping with the Beatles' song "With a little help from my friends," the respective companies provide their services free of charge or at a special charity discount.

This charity action was initiated just two weeks ago by Schuler St. Jakobskellerei and Ses Talaioles, two family businesses. This is no coincidence. While Schuler St. Jakobskellerei has been family-owned for over 325 years and in its 11th generation, Ses Talaioles is still a young family business. What both have in common is an entrepreneurship for which cohesion and solidarity have high value.

SMEs in the MEM sector hit right in the heart by Corona

SMEs in the MEM sector are suffering a severe slump in demand in the wake of the Corona crisis, which is already having a noticeable impact on the finances of one in three companies in the form of liquidity problems. This is reported by the industry association Swissmechanic.

The impact of the Corona crisis is hitting SMEs in the MEM sector hard, a company survey by Swissmechanic shows. (Image: Pixabay.com)

A recent survey by BAK Economics and the Swissmechanic association, in which more than 400 companies participated, shows how severely SMEs in the MEM sector have been affected by the Corona crisis. Despite some dramatic developments, however, most companies are confident that they will be able to successfully overcome the crisis.

SMEs in the MEM sector particularly hard hit

The Swiss MEM industry is one of those sectors that has been particularly hard hit by the negative consequences of the Corona pandemic. There was already a slowdown in growth in 2019. The inevitable cyclical downturn was exacerbated by an additional reluctance to invest caused by political uncertainties. The appreciation of the Swiss franc presented the MEM industries with further problems. The Corona crisis is therefore hitting the MEM industries in an already difficult phase.

A company survey conducted between April 6 and 24 by BAK Economics and Swissmechanic sheds light on the immediate impact of the Corona crisis on the SME sector in the MEM industries, as well as the measures that companies have taken in response to the crisis situation.

Corona pandemic hits SMEs on the supply and demand side

Throughout the first quarter, order intake and sales deteriorated again at the majority of companies. In the wake of the pandemic, order cancellations then occurred at almost one in two companies (45%). On the supply side, the Corona crisis is making itself felt at 42 percent of companies in the form of interruptions in the supply chain for the procurement of raw materials and semi-finished products. In addition, one in four companies reports staff absences due to illness, quarantine or care obligations.

SMEs in the MEM sector respond with cost savings

The financial impact of the crisis is already clear, according to the Swissmechanic survey. Around a third of companies (35%) reported liquidity problems. About one in three SMEs (34%) had applied for a state bridging loan, according to further survey results. The most important government support is short-time work compensation. Two out of three SMEs have registered for short-time work. For their part, companies are responding by cutting costs: 16 percent made layoffs, 72 percent imposed a hiring freeze, and 68 percent are responding by halting investments.

The order backlog of SMEs has deteriorated significantly

Capacity utilization at companies fell significantly in the first quarter, averaging 74 percent. The longer the economic crisis lasts, the thinner the air becomes for SMEs. At more than half of the companies (53%), the order backlog will not last a whole month. In January, the figure was still 41 percent. The average order backlog for all companies surveyed is currently 7.6 weeks, less than two months.

Order books of SMEs in the MEM sector. (Graphic: Swissmechanic)

Majority of companies also expect order losses in the second half of 2020

Only one in five companies (21%) expects the phase of pandemic-related demand shortfalls to be over after just three months. The majority expect the lean period to last longer than one quarter. Around 40 percent of SMEs expect demand shortfalls to last for 4-6 months. Nearly one-third of companies (31%) estimate it will last 7-12 months. One in eleven companies (9%) fear order losses for more than 1 year. On average, companies expect order losses to last until about the end of 2020 (7.5 months).

Majority of companies confident of overcoming the Corona crisis

The majority of SMEs in the MEM sector are confident of mastering the crisis. Only a minority of companies see their existence in acute danger. Thus, 6 percent of companies report a serious risk of bankruptcy, while 2 percent of all companies state that they are planning or have already completed a plant closure as a result of the Corona crisis.
Even if the crisis is overcome without a wave of bankruptcies, its effects will be felt for some time to come. Many SMEs will have to struggle even longer to pay off the increased debt burden. The financial scope for being able to make the necessary investments in digital transformation has become even narrower with the Corona crisis. This could have a negative impact on the growth potential of the industry in the long term.

Source and further information: Swissmechanic

Subdued optimism among large companies - insolvency fears among SMEs

While measures to contain the Corona pandemic are gradually being eased, it is becoming apparent how dramatic the consequences for SMEs actually are. One in five companies in Switzerland, Germany and Austria sees its existence threatened. In contrast, CFOs of larger companies express less concern about the consequences of Covid-19.

The shutdown due to the Corona pandemic is triggering insolvency fears among many SMEs. (Image: Pixabay.com)

In an online flash survey conducted by Visable, the operator of the B2B platform "Wer liefert Was" (Who Supplies What), 8.7 percent of the SMEs surveyed said that they would be insolvent if the lockdown lasted even longer, and another 12.6 percent do not know how long they will be able to maintain their business. In short: fears of insolvency are on the rise. After all, a quarter of businesses (26 %) are counting on government support and hope to be able to secure their existence by drawing on government funds. This contrasts with 40.1 percent of companies that believe they can get off lightly and continue to exist after the crisis.

Increased short-time work and production downtime

The new survey, which was conducted between April 21 and 26, makes it clear that the situation for SMEs in the DACH region has worsened since the beginning of March: The number of companies sending their employees on short-time work has more than doubled in comparison: 40.5 percent of respondents now say they are working short-time. At the beginning of March, this figure was still 20.7 percent of companies in Switzerland.

Here's how the Corona pandemic is hitting SMEs. (Source: Visable)

More than one in four companies (25.5 %) is also affected by the complete closure of operations due to official orders. Production comes to a standstill in around eight percent of the companies surveyed. More than two-thirds (37.6 %) suffer enormous losses in sales. In some companies, despite all this, the working day is still going on: 22.4 percent of the companies are working with respirators in normal operation. 28.9 percent work from a home office.

No fear of insolvency among CFOs of larger companies

By contrast, according to a survey conducted by PwC, Swiss CFOs are becoming less concerned about the impact of COVID-19. In the current wave of the survey, only 47% of respondents expressed great concern, compared with 58% and 75% in the two previous rounds of so-called CFO Pulse surveys, which the accounting firm has conducted every two weeks since the start of the Corona crisis, according to PwC. Swiss CFOs (along with their counterparts in Germany and Denmark) still seem less concerned about the COVID-19 crisis than their global counterparts. Only 47% of respondents in Switzerland now believe the outbreak has the potential to significantly impact their business, compared to 70% of respondents in all areas surveyed.

However, compared to the previous two waves of the survey, the number of CFOs in Switzerland expecting a recovery within three months has dropped significantly - from 90% in the first wave and 72% in the second to just 50% in the latest round. Interestingly, CFOs in Germany have a more optimistic expectation that the economy will "recover," with over 70% of respondents expecting a recovery within three months.

Various effects of the crisis

The Corona pandemic is having the effect of accelerating digitization, especially in procurement processes. Visable reports significantly higher access numbers to its platforms. "The current state of emergency is proof that purchasing, procurement, but also marketing and sales must completely reposition themselves in the long term and become more digital in order to be prepared for the future," says Peter F. Schmid, CEO of Visable.

However, SMEs threatened in their existence could find salvation in an acquisition by a larger company. CFOs surveyed by PwC, for example, report an "increasing appetite for M&A activity" (17 % in Switzerland versus 11 % of the global sample. Swiss CFOs also express one of the highest levels of confidence in the long-term stability of their M&A strategy across the sample. It remains to be seen whether a wave of takeovers will really follow, especially since many SMEs currently suffering the consequences of the Corona pandemic are active in sectors that are already under constant economic pressure - low margins, saturated markets.

Sources: Visible, PwC

Boss Info takes over Step Ahead

Boss Info AG will take over the 17-strong Step Ahead Switzerland team at the Ehrendingen AG site as of May 1, 2020 and become a Step Ahead Premium Partner. With this step, the ICT service provider strengthens its strategically important ERP business area.

United under one roof: Boss Info with CEO Simon Boss (right) takes over Step Ahead Switzerland. Thomas Frei subsequently becomes head of the new location in Ehrendingen. (Image: zVg)

Boss Info AG, now represented at eight locations in German-speaking Switzerland, is expanding further and will become the new Premium Gold Service Partner of the Step Ahead Group as of May 1, 2020. The ICT service provider will not only take over the team, but also the service responsibility for Step Ahead Switzerland's offerings. The location in Ehrendingen in the canton of Aargau is now under the management of Thomas Frei and his 17-strong well-established team. The company, which now has around 180 employees, is thus strengthening its strategically important ERP solutions division with an expanded range of solutions and experienced specialists. Boss Info AG has been offering ICT infrastructure and business management solutions based on Microsoft Dynamics since 1998.

Win-win situation for all involved

The conclusion of the contract enables the German Step Ahead GmbH to focus on its transformation into a software provider, which is why it is handing over customer support in Switzerland to Boss Info. As a growing Swiss SME, this ICT service provider has the optimal structures and resources as well as the expertise to meet the current and future high demands of its customers, according to the statement. The integration of the Step Ahead team into the Swiss company, which serves well over 1,000 customers from industry, the food sector, retail and the service sector, also means that product know-how can be retained. The new customers can be confident of being fully supported with state-of-the-art tools for all their business ICT challenges.

Grown Boss Info Stack with great innovative power

"Our customers are always our focus. We need the best solutions to be able to optimally accompany the companies in their challenges. In Boss Info, we have found a modern employer with great innovative strength. We find ourselves in their DNA in terms of spirit and lived values. The broad solution portfolio of Boss Info and the new partnership with Step Ahead offers customers the greatest IT business process optimization potential on the German-speaking Swiss market," says Thomas Frei, site manager Ehrendingen. Simon Boss, owner and CEO Boss Info AG adds: "As an ICT service provider with many years of experience and an extensive range of services and products, our customers benefit from a high level of expertise and professional services. My team and I look forward to delighting our Step Ahead Switzerland customers as well."

Source and further information

Immediate delivery of protective masks for SMEs

Many small and medium-sized businesses could reopen since April 27 if they did not lack the necessary protective clothing for this purpose. To support the entrepreneurs, the online platform DeinDeal.ch in cooperation with m3 Groupe is selling them three million protective masks at 70 centimes/piece with immediate effect. They will be delivered directly to the companies in specially marked delivery vans from Thursday, April 30, 2020.

Special vehicles are used to deliver the 3 million protective masks for SMEs throughout Switzerland. This is made possible by m3 Groupe with Abdallah Chatila (front center), the online retailer deindeal.ch with CEO Allen Krief (left), and the logistics partners Sieber Transport with CEO Christian Sieber (right) and Tilmann Schultz (2nd from left), CEO of dpd. (Image: Dein Deal AG / m3 Groupe)

Protective clothing such as masks, goggles and protective suits are still in short supply. Numerous small businesses such as hairdressing stores, nurseries, dentists, physiotherapies and many others could reopen since Monday, but many lack the necessary protective masks for staff and customers.

Protective masks for SMEs delivered quickly

To alleviate the emergency situation, the online platform Dein Deal and m3 Groupe have taken the initiative: Last Sunday, a special transport plane of SWISS Cargo from China landed in Zurich Kloten. On board were three million masks especially for SMEs in Switzerland. Allen Krief, CEO of Dein Deal AG: "We've pulled out all the stops to get these beleaguered small businesses back to work as quickly as possible." As of now, SMEs can access yourdeal.com three-layer protective masks at 70 centimes/piece incl. delivery and VAT. A maximum of 3'000 pieces can be ordered per company. The first deliveries will start from Thursday, April 30 directly to the customers. Thanks to the cooperation with the distribution partners dpd and Sieber, this is possible, as allen Krief further explains.

A logistical masterpiece

"We have ensured that since the beginning of the "airlift", during which we have been importing protective equipment, priority has been given to hospitals, emergency services and pharmacies, as well as companies and individuals. Companies need to protect their customers and employees so that a return to normalcy is possible." Abdallah Chatila, President of m3 GROUP, explains. He goes on to explain: "In our group of companies, 50 masks per person are available for all employees. With this, we want to do our part for the economic recovery".

Dein Deal AG and m3 Groupe work around the clock in the logistics center in Geneva to control and deliver the ordered protective equipment. Due to bottlenecks at the post office and other delivery services, a special distribution system was set up. This makes it possible to deliver the three million protective masks now flown in directly to SMEs throughout Switzerland in the same week as the order.

Other solidarity actions for SMEs

In addition, DeinDeal.ch has already been supporting Swiss companies for three weeks by selling vouchers for e.g. cosmetic treatments and medical massages, restaurant menus or hotel stays on its online portal. As a gesture of solidarity, Dein Deal AG offers its partner companies a cash advance on these sales and assumes the financial risk. To its end customers, the online retailer guarantees greater security by extending the validity period of the vouchers and the possibility of converting them into credit if they could not be used.

Source and further information: Your Deal AG

Joint successor magazine launched by ORGANISATOR, Nachfolgebus.ch and Companymarket.ch

On April 29, the first, digital edition of the succession magazine was published. This publication was launched jointly by the SME trade magazine ORGANISATOR, the Nachfolgebus.ch initiative and the Companymarket.ch company placement platform.

The new follow-up magazine - a joint publication of ORGANISATOR, Nachfolgebus.ch and Companymarket.ch

The topic of company succession is highly relevant despite - or perhaps because of - the current Corona crisis. According to a study by Bisnode B&D, more than 75,000 companies in Switzerland are currently facing an open succession issue. Accordingly, the need of the companies concerned for information and competent support in the succession process remains high.

Successor magazine to cover high demand for information

The topic of "succession planning" has always had a fixed place in the editorial section of the SME trade magazine ORGANISATOR. Since 2018, there has also been a media partnership with the Nachfolgebus.ch initiative: In the form of a roadshow, succession experts toured a total of 14 cities in German-speaking Switzerland in a vintage bus in 2018 and 2019. The team of experts was available for consultations with interested entrepreneurs.

In 2019, the idea matured to cover the high demand for information with an additional communication channel. In partnership, ORGANISATOR, Nachfolgebus.ch and Companymarket.ch subsequently developed the concept for the successor magazine. This is to be published annually in the future and is available immediately with its first issue - initially digitally as a PDF. The publication, which is jointly published by the aforementioned partners, conveys bundled know-how on all aspects of corporate succession. Checklists, practical cases and expert contributions provide an introduction to and in-depth knowledge of this complex topic. What's more, the topic of sharing adds a further aspect that shows SMEs various options for mastering crises and managing succession. The succession magazine is available until May 31, 2020 at preferential rates of CHF 15 for the complete issue and CHF 10 for the checklists (PDF & Word) and the expert directory from May 1. as PDF download available.

Succession is rethought: expert talks digital - Succession Day - Phoenix Award

The succession magazine is just one of various other innovations with which the Nachfolgebus.ch initiative will be back on the road from 2020. Sellers and buyers interested in succession can now conduct their personal expert discussion digitally via video call with one of the 15 succession experts and directly book via the website nachfolgebus.ch. It will start on May 7. The first Succession Day is also planned for September 17, 2020, with workshops, keynotes and panel discussions on the crucial stages of succession. And the Phoenix Award for Long-Term Swiss Entrepreneurship is intended to give a stage to SMEs that have already successfully mastered business successions several times and have managed to survive even major crises in the long term. The initial focus is on companies and organizations that have been entered in the commercial register for 100 years this year.

Digital collaboration: only one in two companies was ready before Corona

Digital collaboration is essential right now. Because many employees are now in their home offices. But they do not always have suitable tools at their disposal. The Swiss Social Collaboration Study has found that companies have made progress in recent years, but there is still room for improvement in the provision of modern tools.

Investment in digital collaboration is on the rise, but before Corona, only one in two Swiss companies was willing to do so. (Graphic: Campana & Schott)

Darmstadt University of Technology and the management and technology consultancy Campana & Schott have been conducting an annual social collaboration study since 2016, and also for Switzerland since 2017. This year, 1,079 employees from Switzerland, Austria and Germany were surveyed about their experiences with networked collaboration. More than a quarter (29%) of them work in direct customer contact or manufacturing and thus belong to the firstline workers.

Digital collaboration solutions as an advantage

One result of this year's study: At 53% of the companies in Switzerland, collaboration tools have already been introduced or such projects were already underway before the Corona crisis. "Companies in which digital collaboration was already established before the crisis are currently at an advantage. They were able to change their daily work routine very quickly and with less friction. All those who now have to find ways should learn from the experiences of others," explains Dr. Eric Schott, CEO of Campana & Schott. "In doing so, they can directly improve one thing in particular: the prudent and communicatively well-supported introduction of the tools, because this has often been poor up to now."

"Companies that already rely on social collaboration tools have a clear advantage in the current situation: on the one hand, their IT does not now have to frantically introduce basic services for remote work. On the other hand, their workforce has a higher level of digital fitness, which includes both functional tool usage and a corresponding mindset," says Boris Ovcak, Director Social Collaboration at Campana & Schott. "In addition to work capability and efficiency, social collaboration promotes a digital corporate culture. However, these positive aspects do not come about by themselves; rather, practical use cases and comprehensive change management based on them are the prerequisite."

Higher level of maturity, higher work efficiency

On a scale of 1 to 7, social collaboration maturity has increased almost every year since 2016 (2016: 3.48, 2017: 3.28, 2018: 3.96, 2019: 4.05, 2020: 4.08). A high maturity level means that current digital technologies are frequently used for information and communication, while a low maturity level means largely analog approaches or established technologies such as e-mails. For Switzerland, the social collaboration maturity level is 4.07 and thus just below the overall maturity level.

Just five years ago, social collaboration initiatives played no role at all in 43% of the companies. Even before COVID-19, this situation had changed significantly. At that time, only 29% of the respondents stated that their company was not yet planning or implementing any corresponding projects. Based on the data trend, the study proves that collaboration in companies is becoming increasingly digital. The promotion of a digital corporate culture, the increase in customer satisfaction, the improvement in innovative ability and increased efficiency are the central motives here.

"The correlation between social collaboration maturity and employee work efficiency proves that the introduction of social collaboration tools makes sense for companies," says Boris Ovcak, Director Social Collaboration at Campana & Schott. "A high maturity level is clearly associated with increased efficiency. This correlation has been consistently demonstrated over the past five years. So companies benefit very concretely when employees use social collaboration tools intensively."

Promoting a digital corporate culture, increasing customer satisfaction, improving the ability to innovate, and increasing efficiency are central motives for introducing social collaboration tools. (Graphic: Campana & Schott)

Firstline workers remain digital laggards

Currently, employees of companies in Switzerland with a high level of social collaboration maturity are 30% more efficient than employees of companies with a low level of maturity. For firstline workers, this is 23%. Although they would benefit more from social collaboration tools, firstline workers lag significantly behind information workers in terms of their maturity level (3.76) (4.2).

Accordingly, work efficiency in the DACH region is also lower for firstline workers (4.62) than for information workers (4.84). This is primarily due to a lack of equipment. For example, one in six firstline workers does not have a digital device to access social collaboration tools. This makes them around 26% less efficient than colleagues who can use such tools.

Among firstline workers, 30% use a shared computer and just under a quarter use a private device for social collaboration tools. It is therefore not surprising that only around 40% of firstline workers are satisfied with the digital equipment in their workplace. Some 60% see considerable need for improvement here. Among employees without access to social collaboration tools, as many as 86% are dissatisfied with the equipment.

Customer satisfaction and change management increasingly important

As in previous years, improving corporate culture remains the most important goal in the DACH region (16%). The focus here is primarily on interdisciplinary collaboration, innovation orientation, willingness to change, and affinity for technology. Among the goals for the introduction of social collaboration tools, customer satisfaction has reached second place for the first time (15%). This aspect has risen continuously in relevance since 2016, when it was still ranked 7th.

Employees need to accept and use social collaboration tools. Yet around 65% of all companies in Switzerland take no measures at all to achieve this. Those who do change management at all focus on support from company management (31%). Less focus is placed on the concrete requirements of employees (21%) and the time to deal with them (26%). For example, only around a quarter of employees are satisfied with the way the introduction process went. By contrast, companies with comprehensive change management measures achieve higher employee satisfaction and a significant increase in work efficiency.

Digital collaboration supports agile methods and AI

Social collaboration tools already support agile methods, especially Scrum, Kanban and Design Thinking, in almost two-thirds of companies. Almost 70% believe that this increases the efficiency of communication among employees and allows projects to be adapted more quickly.

Just over a quarter of respondents in Switzerland believe AI is still in its infancy. Yet despite the acknowledged high potential, almost three-quarters do not use any business intelligence or analytics tools at all to evaluate business-relevant data. IT security, data protection and the high complexity of the technology are seen as the biggest obstacles. However, this is set to change in the near future - companies see emerging usage scenarios above all in the area of chatbots, automatic image processing and machine translation. This means that they would rather have practical solutions that promise a high benefit with little effort.

Source and further information: Campana & Schott

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