Papilium is a management consulting firm. We challenge clients’ business models, operating models and performance models to grow value, substantially. We craft business strategies and underpin them with facts, mining big data and emotions, pushing insights to higher performance. We master the delivery of complex business transformations, meeting committed objectives.
The key question is: how will my business be impacted given “any product, process, service or business infrastructure that could benefit from being digitized will be digital in the near future”?
Industry 4.0 is all about adapting your business model, your operating model and your performance model because of the disruption the digitization is about to bring. This digitization (known in modern buzz words such as big data, internet of things, drones, social media, cloud computing, …) will redefine cost/benefit structures and will determine where in the ecosystem margins will be captured.
Visioning your future based on facts is essential, so we spend quite some time understanding the impact of every word of the opening line of this article on your business. Once this becomes clear, it is a matter of nailing the speed, scale and scope of the transformation to remain leapfrogging the ecosystem in motion.
Visioning goes nowhere without execution, so Papilium gradually, factually and firmly engages all stakeholders (convincing them of the goal, ability, itinerary and need to transform) until substantial value is created, fact based.
As Moore has stated in 1996, the boundaries of firms get blurred as we see actors stepping into loosely coupled interconnected networks to serve markets.
Indeed, Papilium consultants face key questions where companies, despite their superior offerings, no longer grow as planned. They lose grip on the many actors influencing the (customers of) direct customers. It seems sustainable competitive advantage is no longer dominantly defined by distinct capabilities within the boundaries of a company.
Instead the determining value creator is the firm’s potential to add value to the overall processes and resources of the network it operates in. Hence we like to bring the voice of stakeholders into the firm’s organisation and to change the way performance is defined (collective health of the system) and measured (combining EBITDA and NPS).
In most of our consulting missions, this leads to the rethinking of team structures. We blend internal and external resources, regroup and align activities to achieve mass customisation (combining both scale and intimacy).
Key in transforming our clients’ organisations is to start with rethinking the offerings. These offerings should fit the ecosystem and bring value and loyalty to its actors. Correct redistribution of activities in the organisation should be done to allow teams to respond to the voice of their ecosystem, to reduce the indirect versus direct cost, to avoid hand-overs during delivery.
This recipe leads us to create self-managing teams able to tighten the grip on the ecosystem, and leading to substantial value creation, fact based.
Papilium argues that due to bad operating of client capabilities, the potential of data is only partially exploited (people work in silo’s, not having access to all data).
By downloading and analyzing masses of data from ERP/CRM systems, we experience double digit growth in bottom-line (EBITDA) or top-line (Revenues). Provided you use your “business insight”, you can derive very useful information from these loads of data, typically explaining “what has happened”.
This insight helps Papilium to adjust your firms’ boundaries (e.g. buy a distributor), capabilities (e.g. slow down a train because of network congestion to save on energy costs) and/or value proposition (e.g. understand where you really make money) and generate up to 5 percentage points of extra EBITDA. When applying our big data analytics on both transactional and operational data, we experience up to 5 percentage points extra on top of the previous gain in EBITDA.
We even go one step further in generating value, by exploring “predictive analytics”, typically answering the question “what could happen” instead of “what has happened”. We build a simplified model of the business underpinned with data, extracting patterns that allow us to predict outcomes and trends. This leads to substantial value creation, fact based.
– Peter Veldeman –