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Our white paper "Sustainability: Integrate corporate sustainability into your organization" is a practical guide for companies.

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The AI Transformation and the Next Stage in the Evolution of Modern Work.

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The goal of this collaboration is to create a flexible platform. In the future, companies will be able to choose from a range of project management tools and methods and integrate them seamlessly into their strategic portfolio management.

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Campana & Schott is one of the top-ranked management consultancies. Germanys WirtschaftsWoche magazine recognizes Campana & Schott's project success with prestigious award.

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Why investing in employees pays off. Just as digitization is turning companies and industries inside out, it will also change our methods of learning. In a few years, students in different locations will work together to solve their group tasks using mixed reality glasses.

And: Employees must leave behind the boundaries of their own company to pick up new ideas. The interdisciplinary exchange with other employees helps to ensure that new ways of thinking are established more quickly and more effectively. Companies must recognize this and support their employees. The benefit? The new skills acquired by the employees become the new skills of the company. Digitization is sweeping over us like a wave, and it is changing the way we live: First, we radically changed the way we consume media, and then we started to digitize more and more aspects of our daily lives. Now, digitization is changing products, companies, industries, and it is also generating new business models. In my opinion, there is only one key success factor for keeping up with this wave: (Further) training.

 

Keeping up with the changes

The digitization of the work environment leads to new challenges, methods and codes of conduct. And it does not involve merely memorizing new facts. The new work environments require fresh ways of thinking, curiosity about technology and a willingness to change one's attitude and perspective into a new direction. This is a challenge particularly for experienced professionals. Those who are successful and established in their profession often find it hard to move out of their comfort zone. But how can executives and technical experts benefit from new ideas while also building up new knowledge?

 

Thinking outside of the box

New forms of collaboration and entirely new processes of a digitally changed work environment require a new way of thinking. If you want to change the way you think, you have to leave the boundaries of your company behind and start talking with other people. One the one hand, many attractive employers compete to recruit well-educated digital natives for their companies. On the other hand, the companies must also invest in the existing workforce. Many companies have recognized: Their employees also want to play an active role in shaping this transformation, and they want to get ready for the needs of tomorrow. These employees are ideally suited to inspire and promote other colleagues.

However, most companies still believe that professional development consists of conventional training and teacher-centered teaching. But lets be honest: With these methods, it only takes a few minutes before employees are already thinking about the next meeting or are checking their Smartphone. These practices are completely inappropriate and useless. New formats are needed. There has already been some experience with entirely new further training and courses that are directed at experienced or aspiring executives, and that can be completed concurrent with their job duties. One example is the Master of Digital Transformation Management at the Goethe Business School. This highly-interdisciplinary course of studies is offered at the University of Frankfurt. It is attended by employees from different companies/positions, and from different age groups and countries. One participant told me privately: The most important aspect for me is the diversity, combined with practical contents. This delivers valuable insights for my own work environment. This course of studies focuses on Business Transformation - from strategy to implementation. In particular, students learn how digital strategies are implemented in a manner that is both results- and target-oriented. Of course, these topics is tailor-made for someone like me: Since the company was founded, Campana & Schott has worked on implementing strategy projects - projects that frequently came about because of ground-breaking technologies. It is also the reason why the conceptualization and subsequent agile-programmatic implementation of the digital transformation is a subject close to my heart. This is also noticed by the students: Particularly the group tasks featuring an agile approach, under real conditions and under time pressure, are completely different than the face-to-face classes from university and the professional development courses, says another participant.

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How offices can be more than desk space. Franka loves the Frankfurt skyline. Depending on the vantage point, the configuration of the skyscrapers always changes. But the view is increasingly blocked by cranes and construction sites. It is a problem that many other cities know only too well: Everywhere you look, existing buildings are expanded, or new buildings are added. Metropolitan areas suffer from a shortage of office and residential space.

Franka had an idea: She wants to open up a co-working space that can be used for projects, freelancers and teams that need a creative alternative to their normal company offices. What she does not want: just another co-working space with stylish chairs, massive wood tables and extra-large lamps. Franka is thinking of a few more innovations primarily IoT solutions.

Office space and meeting rooms are hard to come by and are also a cost factor. They generate rental and operating costs, even if the rooms are not used. Smart Spaces provide sustainability effects for operators and convenient features for users.

Franka loves the Frankfurt skyline. Depending on the vantage point, the configuration of the skyscrapers always changes. But the view is increasingly blocked by cranes and construction sites. It is a problem that many other cities know only too well: Everywhere you look, existing buildings are expanded, or new buildings are added. Metropolitan areas suffer from a shortage of office and residential space.

Franka had an idea: She wants to open up a co-working space that can be used for projects, freelancers and teams that need a creative alternative to their normal company offices. What she does not want: just another co-working space with stylish chairs, massive wood tables and extra-large lamps. Franka is thinking of a few more innovations primarily IoT solutions.

Office space and meeting rooms are hard to come by and are also a cost factor. They generate rental and operating costs, even if the rooms are not used. Smart Spaces provide sustainability effects for operators and convenient features for users.

 

Our (work) locations for inspiration

Campana & Schott has had a positive experience with Smart Spaces. For example, our meeting rooms feature sensors. If a meeting room is not used, a chatbot automatically reports to release the room again. Touch screens outside of the rooms provide information about capacity utilization; they can also be used to book a room (click), report a lack of pens (voice entry), or ask for IT support. I was surprised how small things like that generate such a positive response. We have also observed that IoT solutions are particularly effective if they are deeply integrated into the user's digital workplace.

I used this as an inspiration and decided that I would no longer occupy a classic office from now on. I will move and my new office will become primarily an inspiring workplace while also functioning as a meeting room: When I am not there (my status will be visualized on the display), the room can also be used by others. Now, we are taking things a step further by working on an artificial intelligence solution that compares room availability against my calendar and that is supposed to detect without human intervention whether a scheduled date is associated with an outside meeting or a trip. In that case, my office will be displayed as available.

 

Easy switch to the Smart Office

The conversion from a classic office to a Smart Space can start with small steps. Sensor kits are not expensive, and they can also be installed after the fact without too much trouble. There are many Smart Space Solutions in the market, which can be used to start the first pilot projects. Cloud solutions ensure that the IoT connection remains simple and that new users can be activated quickly.

The advantages are clear - three examples:

Energy costs can be reduced since heating or air-conditioning systems are only activated when the room is occupied. Use of space is optimized and companies can learn more about actual capacity utilization and adjust future office space to real demand. Employees are notified when workplaces are not available. In that case, they can save themselves a trip and work in their home office.

 

From empty office space to IoT laboratory

Employees are supposed to feel comfortable, work with focus and also try out new things together. That is exactly the idea behind Frankas new co-working space. Users themselves can experiment with sensors and scripts. A nice side-effect for Franka was that her office space also became an IoT laboratory. In that way, the office space becomes a stimulating work location. Programmers, project planners and creatives work together on prototypes and new concepts for the Smart Spaces of tomorrow. Because sometimes the best ideas appear when you least expect them.

Campana & Schott has had a positive experience with Smart Spaces. For example, our meeting rooms feature sensors. If a meeting room is not used, a chatbot automatically reports to release the room again. Touch screens outside of the rooms provide information about capacity utilization; they can also be used to book a room (click), report a lack of pens (voice entry), or ask for IT support. I was surprised how small things like that generate such a positive response. We have also observed that IoT solutions are particularly effective if they are deeply integrated into the user's digital workplace.

I used this as an inspiration and decided that I would no longer occupy a classic office from now on. I will move and my new office will become primarily an inspiring workplace while also functioning as a meeting room: When I am not there (my status will be visualized on the display), the room can also be used by others. Now, we are taking things a step further by working on an artificial intelligence solution that compares room availability against my calendar and that is supposed to detect without human intervention whether a scheduled date is associated with an outside meeting or a trip. In that case, my office will be displayed as available.

 

Easy switch to the Smart Office

The conversion from a classic office to a Smart Space can start with small steps. Sensor kits are not expensive, and they can also be installed after the fact without too much trouble. There are many Smart Space Solutions in the market, which can be used to start the first pilot projects. Cloud solutions ensure that the IoT connection remains simple and that new users can be activated quickly.

The advantages are clear - three examples:

Energy costs can be reduced since heating or air-conditioning systems are only activated when the room is occupied. Use of space is optimized and companies can learn more about actual capacity utilization and adjust future office space to real demand. Employees are notified when workplaces are not available. In that case, they can save themselves a trip and work in their home office.

 

From empty office space to IoT laboratory

Employees are supposed to feel comfortable, work with focus and also try out new things together. That is exactly the idea behind Frankas new co-working space. Users themselves can experiment with sensors and scripts. A nice side-effect for Franka was that her office space also became an IoT laboratory. In that way, the office space becomes a stimulating work location. Programmers, project planners and creatives work together on prototypes and new concepts for the Smart Spaces of tomorrow. Because sometimes the best ideas appear when you least expect them.

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Why it can be worthwhile for companies to rethink the role of the IT department. Swabian Alps, 8:00 am, a rather nondescript office building: The Managing Director of a successful high-tech company enters the floor of the IT department. But except for empty cardboard boxes and a few flashing server cabinets, there is no one in sight. Where did the IT staff go?

Not long ago, the company chose a radical step: The core IT unit, which looks after setting up the servers and expanding the network, was completely transformed. Thanks to the consistent automation of IT processes, approximately 90 percent of the staff was able to take on new tasks. And where do they work now? They are now organized in interdisciplinary teams and look after what really matters, namely providing advice for solutions and conceptualizing new customer solutions. It was a courageous step for this high-tech company. But it was also a well-calculated step, because that is exactly what the Managing Director wanted. How did this happen?  

Robots as system administrators

IT professionals are already in short supply, and they are needed well beyond the existing resources. But as of today, most capacities are utilized for IT operation and routine tasks that are not critical to the business. Many companies recognized that they do not need their own computer center, and that outsourcing allows their IT staff to look after higher-quality tasks. Services are usually obtained from the Cloud and must not be stored locally. A current example: Artificial intelligence solutions for the automatic adjustment, expansion and automatic configuration of internal networks are already available today. Artificial intelligence identifies the need for new capacities, independently integrates new components and configures the network and it does this entirely on its own, without the need for human intervention. Say hello to your new admin colleague a robot.

 

From internal IT to business IT

What may sound threatening at first is a consequence of the companies internal digital transformation developments. This transformation has always been customer-centered hence it was directed to the outside. Now, the attention is increasingly turning inwards. This is the hour of IT. As a part of interdisciplinary teams, IT staff develops improved customer experiences, new apps and innovative business models. In other words: Core IT staff merges with Business IT.

 

Away from routine activities towards creating more customer added value

If the core of internal IT can do without staff in the future, it is only natural that people would start to become concerned about their own workplaces. This is where top management must come in: Communicating transparent objectives and processes, thereby highlighting that most employees are urgently needed in other areas an accelerated digitization process is not possible without these activities.

This is what happened to the Managing Director from the Swabian Alps. He recognized that competitiveness is not decided by the configuration of servers but rather by the most innovative and most customer-friendly solutions.

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Why change management can no longer be regarded as an independent element. Change management will become a key skill of companies in the future. There are three possible solutions for ensuring that change management truly becomes a part of the company's DNA:

Integrative approach: An integrative approach consisting of transformation management & change management makes it possible to implement changes successfully and rapidly, both in the classic and the agile corporate context. Interdisciplinary teams: The creation of interdisciplinary teams that combine experts from all specialist fields. These teams may consist of change managers, program managers, IT experts, agile coaches, and they ensure that change is included in each development step. Supporting tools: The agile or classic approach in combination with the right tools, such as ChatBots, the organizational anchors and methods such as Gamification offer the basis for successful game management.

The time of pure change management will end. And the focus shifts to continuous change and change readiness. Change is no longer a separate project. We realize that in the long term, constant change is necessary to remain competitive in the long term. Changes and the right change management process become a core competence. Small changes are not enough to help companies in the current market situation. They are under enormous competitive and innovative pressure, with only one way out: New business models have to be developed, and they must confront the reality of Digital Change. This realignment is a complex process that ties up a lot of employees while simultaneously affecting many levels in the company. How does one manage this change in a time of change?

 

Be ready to confront the mindset change!

Our experience: First, the decision-makers must confront the mindset change. It precedes all change projects, and it begins at the management level. One example I have observed: Many decision-makers only want to introduce an agile organization (initially). Managers have no problem investing in agile project methods, scrum teams or project sprints. But the actual problem lies elsewhere: It is about making big changes to their executive function. And this includes finding a new role and allowing a great amount of latitude. An agile mindset can only be established if I (as the manager) am ready to give up responsibility and let the teams decide on their own. In summary: Changing Things is preceded by Changing Thinking.

 

A real focus on employees

With large change projects, it is not enough to focus solely on time requirements, budgets and quality. For these types of projects, the focus must shift to the employees and their new way of work. Take the introduction of a new software solution, for example: The desired change can only happen if the new tools and processes are accepted and used by the employees. A focus on the actual users starts with two questions:

Which use cases and application types offer a benefit from the employee's point of view? What (maybe) small changes can be made to existing tools and processes that quickly allow employees to see the initial benefits for themselves?

After this first step, the higher-level change intention, the big plan, can and must be communicated and explained. On-going details about milestones and the roadmap, as well as background information on the initiative, which are accessible to all, pave the way for real transparency. This approach can also be enriched with gamification elements: Small competitions or collecting points activate the play instinct and promote acceptance.

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How companies can build core competencies for the digital transformation. Process automation is a key skill for the digital transformation. It works from inside to outside: Process automation begins with simple internal processes, then gradually covers more and more processes and finally transitions into the re-invention of customer processes. A journey that takes several years. But one that you should start today. It is optimized or better: entirely new business processes, that make up the digital transformation. Process automation plays a key role in this context. In my last blog post, I used the example of Campana & Schotts internal Chatbot to demonstrate a possible automation scenario. I would like to pick up on that example and outline a process for the successful automation of processes using bots.

 

1. Not flying blindly

Where do I start? To ensure the target-oriented automation of processes, you must first choose from many candidates. Simple and rather non-critical processes are particularly well suited for the initial phase. Small, isolated administration processes, such as room bookings or registrations, for example. If there is not enough know-how about the new bot technologies, you can organize a hackathon with internal employees and external partners. Typically, this process results in an initial prototype that is already in operation at the end of this phase. Once you have accumulated additional experience in the company, you can define the next key indicators to differentiate: Which processes are edited by how many users and how frequently? What are the processing times? How many manual steps are required for the relevant process at this time? These KPIs help to classify the processes that must now be gradually automated.

 

2. Orchestration through intelligent software

An investment in a suitable platform for Robotic Process Automation (RPA) makes sense in environments where a particularly large number around 50 or more of processes must be automated with bots. This platform supports the faster implementation, administration, management and monitoring of automated processes in one location. The relevant RPA platforms are evaluated and selected based on a sourcing project. If in doubt, concentrate on standard platforms such as Blue Prism or the new options offered by Microsoft.

 

3. A large number of processes requires a program structure

Many times, there are a multitude of processes that must be automated or transformed. This creates a need for a separate program structure. Wave Planning is the right solution for implementation purposes, as the various process automations are administered in so-called waves. In this way, complex objectives can be divided into manageable sub-sections. In the suggested agile implementation process, a well-maintained backlog that includes the processes that are to be transformed makes it possible to react to or re-prioritize new situations. It is especially required in cases where the implementation of a solution has hit a snag or the resources in a particular department have been stretched to the limit. Comprehensive discover phases, as are offered by the DARE model, deliver the corresponding input for the backlog. The backlog is thematically organized into areas such as Help systems for new IT applications, Support for finance processes or Bots for customer service processes.

 

4. Optimization and agile balancing with scarce resources 

Where resources have become tight, we recommend that processes are initially automated on an as is basis and are only optimized afterwards. The advantage: This approach requires fewer resources at the beginning, and employees who are in particularly high demand, such as process analysts, are not needed at this stage. Once the (old) processes have been automated or digitized, it becomes much easier to improve them later on.

 

5. Success factor Competence Center

Finally, some advice regarding the organizational structure: Our experience has shown that its worth to adapt rather small-scale responsibilities between business partner, architect and developer and combine them into e.g. a Competence Center for Business Process Automation. This Competence Center acts as the interface between IT and the business, supplies faster solutions and ensures the required environment for Strategy & Governance. The location of such a Competence Center in the company's overall structure is not of crucial importance in the beginning. At that stage, the Competence Center could even be staffed externally and then integrated into the organization subsequent.

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Bots and the virtually unnoticed moments in the digital transformation. The most important aspect of the implementation and robotization of new digital services is starting the process.  What matters is that the process gets underway do not wait for ideal processes or elaborate optimizations. Just do it! You can also automate sub-processes or poor processes initially. Once the automation and hence the standardization is complete, optimization can follow. This process will take years, but it cannot be stopped. Therefore we should all get ready now. Both technologically and socially. Paula and Scotty

Ten times a week, Paula is approached by employees asking where they can order more business cards. Because Paula always knows the answer. Even more frequently, people approach other colleagues at Campana & Schott before they are directed to Paula. Then Paula spends a lot of time telling them how to order new business cards, and where to enter the contact information. Of course, Paula could do much more useful things with her time. But for the past few weeks, Paula has received lots of help from Scotty. He explains the order process, even understands vague inquiries, and sends the required links right away. And he never loses his cool. Whats so special about Scotty: Scotty is a chatbot. In other words, a virtual Campana & Schott employee that is much appreciated by his colleagues. Because what was once conceived as an internal experiment already delivers direct benefits today. Nothing earthshattering, but valuable help nonetheless. And not just with business cards.

New business processes the core of the digital transformation

Ultimately, it is optimized or entirely new business processes that account for the digital transformation. In this context, there are two sides to the digital transformation. One involves internal optimization. Digitization is supposed to provide a solution for the efficiency and cost pressures in the companies ranging from large processes to the simplified ordering of business cards. The other side refers to the external environment: First and foremost, digitization is supposed to make the interface to the customer more comfortable, comprehensive and benefitoriented. The increasing personalization of the customer experience is an added factor. The automation of business processes takes on an entirely new significance on both sides. Because today, the most significant changes to processes come from new technologies. By automating business processes, we lead companies into a new age. Many already find it completely natural that robots or bots take over work steps for us.

Automating business processes with chatbot technologies a short overview

Rapid change has occurred in a very short time. Currently available technologies create entirely new and de facto groundbreaking possibilities for automating processes. This development is enabled by the competitively-priced availability of the new technologies and particularly the ability to combine these technologies.  Especially the ability to understand and speak independently is a real game changer. Furthermore, the independent selection and initiation of processes represents an added factor in this regard (Hello Scotty, are my business cards read yet?). This typically involves a combination of the following technologies:

Voice recognition and voice generation (conversations) have become quite sophisticated and ready to be put into practice Intelligent workflows that are data-driven, or that can be started automatically Artificial intelligence (AI) and machine learning help us to search through and combine existing data and documents, and analyze both structured and unstructured information. Robotic Process Automation (RPA) (robot-controlled process automation) is a particularly powerful technology in this context: For example, intelligent software can edit input fields, doing away with manual entry tasks.

This is where there is a lot of action at the moment. While integration projects were previously used to replace manual copy and paste functions (media disruptions between applications), this is now done with RPA, which is many times faster and also cheaper. In turn, RPA is a good fit for any situation in which a (native) system integration appears to be very cumbersome or risky / unpredictable. This means that the robot takes over the copy and paste functions between the applications at a fraction of the cost. Automation is replacing integration. What can companies do now? Customer Service Management is a good start

Larger companies in particular are not usually in a position to radically change their central processes; instead, they need a certain amount of lead time.  As a result, many companies first think about automating non-critical processes. Since they do not have a direct reference to the customer, it seems that internal processes are better suited (or less risky) for automation and robotization. But another interesting option from the viewpoint of Campana & Schott is the robotization of Customer Service Management processes. Service processes feature a reference to the customer, but they do not directly intervene in the value chain. At the same time, they can increase customer satisfaction as customer inquiries are answered quickly and waiting loops are avoided. Many companies have 50 to 100 processes in this area alone, which are well suited for automation the use of chatbots hence a good starting point overall.

New change management is required

Technology is just half of the story the other is new change management. The use of bots will be the first noticeable wave in which employees task areas are taken over by technologies as part of the digital transformation process. This transformation should not just be managed; rather, we must take an active part in shaping this transformation. Conventional objectives such as making sure employees are taken along on the journey or making sure those affected are notified earlier this time are not sufficient by a long shot. Internally, new questions must be answered: How are the employees integrated into the conversion process? What digital skills do employees have to acquire in this context? How should employees reduce their routine tasks and instead take on higher-quality tasks, e.g. tasks with a personal customer reference? The question for society: What type of work do these employees want to perform in the future? What type of work are they supposed to perform in the future? Paula at least is not concerned. She is happy that Scotty looks after so many routine tasks, allowing her to focus more on providing advice to her internal customers.

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