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Unleashing the Potential of IT Productivity: A Comprehensive Guide
2024-11-27
In today's fast-paced business world, the ability of an IT organization to deliver new tech capabilities and update existing ones quickly and cost-effectively holds the key to success. Our latest research sheds light on this crucial aspect and reveals some fascinating insights.

Discover How IT Productivity Transforms Your Bottom Line

Insight #1: Time-to-market - The Crucial Metric for IT Productivity

When evaluating IT productivity, time-to-market emerges as the most significant metric. It shows a strong correlation with higher profit margins, being three times stronger with revenue growth and seven times with employee satisfaction. High-performing IT organizations complete medium-size change requests in just 2-4 months, while less-advanced peers take up to a year. This highlights the importance of speed in delivering value. For example, a major e-commerce company that streamlined its change request process saw a 30% increase in revenue within six months. Such a rapid time-to-market allows them to stay ahead in the competitive market and meet customer demands promptly.Another factor closely aligned with better business performance is a higher share of IT investment relative to revenue and a higher frequency of production releases. High performers make monthly updates to core applications, while conventional peers update quarterly. This indicates that investing in technology and keeping it updated leads to better business outcomes.

Insight #2: Three Critical Delivery Capabilities for High Profit Margins

Cross-functional delivery plays a vital role. Teams composed of 20-40% business professionals and subject-matter experts have higher profit margins. For instance, a software development firm that restructured its teams to include more cross-functional members witnessed a 25% increase in profit margins within a year.Low vendor dependency is another key aspect. High performers rely on internal IT resources for over 90% of their applications, while conventional companies use vendors for 40% or more. This gives them more control and flexibility, reducing costs and improving efficiency.A high share of workloads on public cloud also contributes significantly. Leading companies have more than 30% of their workloads on public cloud infrastructure, enabling them to scale quickly and respond to market changes effectively. A global manufacturing company that shifted a significant portion of its operations to the cloud saw a 20% reduction in IT costs and a 15% increase in productivity.

Insight #3: Three Practices for Improving IT Productivity

Improving developer journeys and engineering practices can lead to substantial productivity gains. In one large financial institution, by removing manual processes and adopting CI/CD practices, the delivery capacity doubled in two years. This not only saved time but also improved the quality of products.Embracing a product and platform operating model empowers teams to work at scale. A leading retail company that adopted this model saw a 40% reduction in time-to-market for new capabilities and a 30% decrease in expenses related to legacy applications.Decoupling core-system capabilities is crucial for facilitating greater cloud adoption and operating model maturity. A bank that decoupled frequently changing capabilities into cloud-based microservices was able to increase the number of releases per year from 4 to over 10,000 and reduce time-to-market to just hours for small changes.

Insight #4: The Return on Investment in IT Productivity

Increased technology maturity can unlock almost 30% additional value through productivity gains. On average, organizations can expect a 24% reduction in total IT spend, with some industries like travel and logistics seeing up to 34% higher marginal returns. The real value lies in reinvesting these savings into further IT advancements, positioning companies for sustained growth. For example, a manufacturing firm that invested the savings from improved IT productivity into research and development came up with a new product that increased their market share by 20% in a year.In conclusion, understanding and implementing these insights can help IT organizations enhance their productivity and drive business success. Each organization needs to customize these strategies based on its unique context, but this research provides a valuable framework for evaluation and prioritization.
For sennder: Transforming European Road Freight Forwarding through Challenges
2024-11-27
In the dynamic world of European digital road freight forwarding, sennder stands out as a leader. Founded in 2015, this Berlin-based trucking company has revolutionized the industry by digitizing road logistics. Despite explosive growth, sennder has faced its fair share of hurdles. Yet, through a culture of learning, transparency, accountability, and team spirit, the company has turned setbacks into opportunities for expansion and success.

Key Insights Driving sennder's Success

Early Stages: The Power of Bond and Vision

In the early days, sennder's co-founders lived and worked together, creating a close-knit environment. This allowed for spontaneous problem-solving over breakfast or late-night strategy sessions. The blurring of personal and professional lives led to maturity as they navigated complexities together. The strong foundation laid during this time continues to underpin their success today.

For example, when faced with the challenge of quickly adapting to market changes, the team's ability to communicate openly and solve problems spontaneously was crucial. They could make decisions on the spot and adjust their strategies accordingly.

Setbacks as Catalysts for Growth

After signing the Series A financing round, sennder realized the need to professionalize its operations. Inefficiencies due to unclear roles led to delays in invoice payments. This realization forced the company to evolve and implement stronger corporate governance.

Each setback became a learning opportunity, enabling sennder to adapt quickly, streamline processes, and become more agile and resilient. For instance, when facing a supply chain disruption, they were able to quickly reallocate resources and minimize the impact on customers.

Bringing in New Talent for Growth

As sennder grew, it strategically expanded its leadership team with industry experts. This new talent brought more structure and processes, allowing the company to redefine roles and responsibilities.

During the acquisition of Uber Freight's European business, new leaders from the acquired team provided valuable perspectives. Their input helped refine operations and scale the business further.

Balancing Failure and Accountability

sennder's corporate ethos emphasizes learning from failure. Openly discussing mistakes creates a safe environment for innovation and calculated risk-taking.

However, there are limits. As the company grows, structured risk assessment processes are implemented to manage risks and prevent serious errors. This ensures that the entrepreneurial spirit is maintained while minimizing potential losses.

Strategic Communication for Agility

After acquiring Uber Freight's European business, sennder adopted Amazon-style memos. These concise yet comprehensive memos provide targeted preparation and lead to more productive discussions.

For example, when discussing a major expansion plan, the memo helped clarify the key points, and the subsequent conversation focused on specific actions and strategies. This approach enhanced clarity and efficiency in the company.

Looking Ahead: The Path to Leadership

sennder's focus is on becoming the leading FTL forwarder in Europe. With planned acquisitions and investments in technology and sustainability, the company aims to expand its network and digital capabilities.

By combining businesses and talents, sennder plans to accelerate its European expansion and create a greener, more efficient future for road freight. This purpose-driven approach is at the core of their growth strategy.

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Biospringer: A Pioneer in Yeast Extract Innovation
2024-11-27
In 1873, Biospringer was founded, and in 1958, it made history by becoming the first company to manufacture yeast extract for commercial use. Later, it was acquired by the Lesaffre Group. Today, Biospringer by Lesaffre operates ten manufacturing sites worldwide, with three strategically located across the Asia Pacific. This extensive network enables them to offer tailored solutions to local markets in a timely manner.

Our Mission: Partnering for Innovation

"Our mission is to collaborate with food producers to create innovative, natural ingredients through fermentation. These ingredients enhance flavor while being environmentally conscious," said Philippe L’Honneur, general manager of Biospringer Asia Pacific. This partnership approach emphasizes the significance of collaboration in facilitating the food industry's transition towards healthier formulations.

Milestones and Achievements

Recent years have witnessed significant milestones for Biospringer, demonstrating its dedication to innovation and collaboration. In 2017, the establishment of its Culinary Centre in Singapore was a standout achievement. This technical hub provides customers with the opportunity to work directly with Biospringer's R&D experts, ensuring that product development aligns closely with market needs."Our Culinary Centre has truly been a game-changer. It enables our customers to access our expertise in fermentation-based products," said Philippe.In addition, the acquisition of DSM-Firmenich's yeast extract ranges in October 2024 marked another crucial moment. Philippe emphasized the importance of this acquisition, stating, "This strategic move broadens our product offerings and enhances our fermentation expertise." This commitment to continuous improvement and innovation positions Biospringer as a leader in the industry.

The Evolving Role of Yeast

Over the years, the role of yeast in the food and beverage industry has undergone a remarkable transformation. Initially regarded as a simple flavor enhancer or MSG replacement, yeast extracts have now become essential ingredients for creating complex flavors."Yeast extracts are integral to flavor development. They possess properties that can add umami, create specific flavor notes, and mask off-notes," explained Lucie Oodoomansaib, sales manager for Biospringer in Australia & New Zealand. This transformation is in response to the increasing consumer demand for clean labels and health-oriented products, especially in terms of reducing salt and sugar content.With the rise of dietary preferences like veganism and the need for gluten-free options, the versatility of yeast extracts has become crucial for food manufacturers. "Selecting natural yeast-based ingredients is not just a trend; it's a long-term investment in healthier formulations," said Lucie.The food industry is currently facing several challenges as consumer demands for transparency and healthier options grow. Stringent regulations aimed at reducing sugar and salt levels are compelling manufacturers to produce clean-label products that are both nutritious and delicious. In this complex landscape, Biospringer is well-prepared to meet these challenges."Our expertise in fermentation allows us to provide multifunctional solutions that enhance flavor and promote health," said Lucie.Sustainability also presents a significant opportunity for Biospringer. The company is committed to minimizing its environmental impact by optimizing resource use and reducing carbon footprints. "We conduct regular audits of our manufacturing practices to ensure we meet the highest sustainability standards," said Philippe. This commitment resonates with an increasing number of consumers and food manufacturers who prioritize sustainable practices.Recent product launches, such as Springer Proteissimo 102, a clean-flavored vegan protein, demonstrate the company's forward-thinking approach to ingredient development.

Innovation at Biospringer

Innovation at Biospringer is driven by a robust R&D pipeline. Teams in France, the United States, and Singapore are focused on exploring new fermentation methods and product applications."Our focus on innovation is not only about creating new products; it's about addressing the evolving needs of our customers," said Lucie.At the core of Biospringer's strategy is a commitment to understanding and responding to customer needs. The company actively seeks feedback through initiatives like the Voice of Customers survey, which has resulted in high satisfaction ratings."We received a score of 9 out of 10 from our customers, reflecting our commitment to quality and support," said Philippe.This proactive approach to customer engagement helps Biospringer refine its offerings and better align with market demands. The company plans to enhance its services further by developing a customer portal, which will streamline communication and ensure that client feedback directly influences product innovation."Listening to our customers is crucial to our success," added Lucie.

Shaping the Future

As the demand for healthier, functional food products continues to rise, Biospringer is well-positioned to lead the way in yeast-based ingredient innovation. The company has ambitious plans to expand its product portfolio and explore new markets, aiming to solidify its status as the number one provider of fermentation-based ingredients."Our vision is not only to expand but to be at the forefront of ingredient innovation. We want to continuously develop products that exceed customer expectations, especially in the areas of health and sustainability," said Lucie.Consumer preferences are constantly evolving, and Lucie noted that today's consumers are more inclined towards healthier and more nutritious solutions. "However, they also don't want to sacrifice taste," she said. This dual focus on health and flavor highlights the relevance of yeast extracts in modern food formulations.With the introduction of products like Springer ® Proteissimo, which offers a natural yeast protein option, Biospringer is directly responding to consumer demand for clean-label, high-quality ingredients."We see our yeast proteins as a solution for food manufacturers seeking alternative protein sources," said Lucie.Looking ahead, Biospringer has set clear goals and projects for the coming years. One of the primary focuses is the integration of the DSM-Firmenich yeast extracts into its offerings."This acquisition will enable us to leverage our combined expertise in fermentation and develop new, innovative products," said Philippe.Additionally, the company is preparing for several product launches in 2025."We're excited about the potential for innovation sessions with our customers, which will help us continue to promote new food concepts using yeast extracts," said Philippe.This collaborative approach will be essential as they explore the endless possibilities that fermentation offers.As the demand for clean-label, functional food products continues to grow, the future of yeast-based ingredients in the food and beverage industry appears promising.Philippe noted that fermentation has been used for centuries, and with continuous innovation, "We are just beginning to scratch the surface of what yeast extracts can do in food applications worldwide. Consumers are becoming more demanding about product transparency, seeking clean labels and natural ingredients. Yeast extracts meet all these requirements."As Biospringer looks to the future, it is not only about maintaining its leadership in yeast extracts but also about shaping the future of food. The company aims to remain at the forefront of innovation, ensuring that its ingredients not only meet current market trends but also anticipate the needs of tomorrow's consumers."Choosing our yeast extracts means choosing a healthier, tastier future," said Philippe.In a world increasingly focused on health and sustainability, Biospringer by Lesaffre presents an excellent opportunity to capitalize on the changes in market demand.If you want to learn more about the impact of Biospringer's ingredients, please contact Lucie Oodoomansaib at l.oodoomansaib@biospringer.lesaffre.com.
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