A new year, a new buzzword – you wouldn’t be blamed for thinking that entire dictionaries will soon need to be rewritten. But one thing is quite clear: companies are faced with all kinds of challenges. Most notably the mother of all buzzwords: sustainability. Such challenges often cause people to take action far too quickly, throwing away major opportunities and valuable capital.
Nowadays, people like to follow every new trend almost blindly – but they usually don’t think about it, or only do so when it’s too late. Consequently, high costs are incurred, long-term, sustainable success fails to materialize and people become frustrated. The problem is that, in a world of buzzword chaos, something that everyone is actually already familiar with is being lost. So hysteria is unnecessary.
Sustainability and environmental trends have been the basis of successful action and business for a long time. Scarce resources are the basic principle of economics, and every entrepreneur and manager – indeed, basically every human being – should use them carefully and considerately.
Legendary entrepreneur Michael Otto and his company Otto Group have already shown that this can be a key driver for corporate success. His visionary and innovative actions laid the foundation for the company’s current success over 30 years ago. Even back then, he kept up with the environmental trends and introduced packaging made of recycled materials, and in doing so cut costs while protecting the environment.
It’s a successful transformation story on many levels. But in today’s highly interconnected and fast-paced world, it has become difficult to keep track of things and make good decisions.
To do this, you need transparency for mutual effects. Particularly in large companies and structures, communicating such effects is often difficult, which in turn frequently makes it hard to convey meaning and importance. To achieve this, I have developed the
RoOT KPI – RoOT stands for “Return on Organizational Transformation”.
