TFF #35: From problem to solution: Why purpose is (also) the key to successful digitalization

This week I observed the same pattern again and again in four different places with four different groups: Many organizations jump to the solution far too quickly without really understanding the problem. You ask: "Which tool do I need? What structure do we need?" But the right question is: "Why are we doing this at all?" We were able to overcome this misunderstanding in our workshops thanks to Design Thinking and the Double-Diamond model for example, in the project management GPT, where the problem was first clearly defined before we built the prototype.

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Digitalization: purpose - strategy - process - the compass

In the Digitization guide for SMEswhich we at mmind.ai developed together with the KMU-HSG, this principle is anchored as a seven-step path - and it starts with purpose. At the Swiss Impact Forum in Bern, this idea was also central, as the new version of the B Corp standards places a strong emphasis on purpose: Every certified company must now have a clearly defined public purpose statement and establish governance structures that take social and environmental impacts and stakeholder concerns into account. These "Purpose & Stakeholder Governance" requirements (PSG1-PSG6) oblige companies to anchor the corporate purpose in the strategy, to include the impact on stakeholders in decisions and to create transparency about their progress.

Purpose & Stakeholder Governance (PSG) from B Lab

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For me, this innovation was the most important insight from the Swiss Impact Forum - a Purpose revivalthat leads us back to the starting point: Without meaning there is no structure.

1 - Clarify purpose - Why?

At the Swiss Impact Forum, the company spoke L'Occitane about how they fulfill their public purpose "We regenerate nature with empowerment" and integrated them into the overall corporate strategy. The fruit juice manufacturer also reported Opaline Factory of its mission to establish reusable bottles in French-speaking Switzerland. In Valais, the company has set up a reuse platform with drinks retailers and a local bottle washing plant. The initiators emphasized that such collaborations only work if everyone involved shares the same purpose and is willing to work together to solve challenges such as logistics.

These voices show how the new "Purpose & Stakeholder Governance" is implemented in practice: About a public purpose statementwhich becomes the strategic guiding star, and clear governance structures that monitor the purpose.

The step from the guide

In the guide, we recommend clarifying the purpose of digitization. Before you start a project, answer in writing:

  • Why? What problem do you want to solve? (e.g. shortage of skilled workers, conservation of resources, new business models).

  • For whom? Who are the affected parties and contributors (employees, customers, suppliers)?

  • What happens if nothing is done?

These questions also helped in the Project management course in Schaan on Thursday: After the intensive, AI-supported examination of the "Why?", participants realized that their project needed a completely different direction than initially assumed.

2 - Recording the current situation - understanding the status quo

During the panel discussion at the Swiss Impact Forum, small companies reported how difficult it is to involve stakeholders in decisions. One entrepreneur said: "We ask questions, but hardly get any feedback." The recommendation: Make processes visible and focus on small steps - e.g. interviews with individual stakeholders, specific agenda items for needs and impacts at every meeting.

We also took precisely this step in the Digital responsibility" module at the University of Liechtenstein. One participant felt that AI was unreliable and uncontrollable. It was only after a detailed analysis of the functioning and risks of AI models that it became clear where the gaps were. Without this assessment, the project would not have started. The guide advises visualizing your own processes and identifying bottlenecks.

3 - Finding potential - recognizing bottlenecks

In the forum, a working group discussed human rights in supply chains. They pointed out that seasonal workers can also be affected by discrimination in Switzerland. Only those who are on the ground and know the true conditions can discover potential for improvement.

We also identified "annoying factors" in the project management course - tasks that were done twice manually. The participants in the university module recognized that an AI governance coach can save time and reduce errors. The guidelines recommend systematically identifying precisely these bottlenecks. This is where the potential comes in.

4 - Getting inspired - thinking outside the box

The stories of Opaline and L'Occitane inspired other participants to be bolder in their own projects. On Thursday we compared Custom GPTs, Google Gems and Claude Projects for a project management coach and let the AI bubble up ideas. The result: AI can not only research, but also generate fundamentally new ideas in thinking mode (synthesis). This also includes personal exchanges between companies: The guide advises getting inspiration from other companies and using their experiences.

5 - Define target state - vision without blinkers

Opaline envisioned a future where reusable glass bottles are the norm - not just for their company, but for the industry as a whole. L'Occitane defined a vision of a nature-positive supply chain. These guiding principles enabled them to identify obstacles and design solutions. The guideline calls for designing the ideal, lean process - without technological blinkers. And in the project management course, we used AI to put ourselves directly in the future and generated a "Future Press Release" for each of the participants' individual projects, presented in a real small press conference.

6 - Derive measures - Select technologies

The appropriate technologies are only selected once the purpose, current status, potential and target status have been clarified. Opaline, for example, uses a regional bottle washing system and digital tracking to make bottles recyclable. In the "Digital Responsibility" module, we chose a ChatGPT-based solution and showed a prototype for sustainability reporting based on Google AI Studio after defining requirements such as data security, verified sources and dialog form. The guidelines emphasize that you should only choose the technology once you know what it is to be used for.

7 - Anchoring - living change

L'Occitane reported on how they have built up a network of "B-Corp champions" that involves employees worldwide and carries the purpose into everyday working life. Without training and the involvement of management, they would not have been able to implement the new standards. Opalin mentioned that building reusable initiatives is hard because you have to bring together competitors, NGOs and politicians - but only through long-term collaboration can you embed behavioral change.

Digitalization guide from mmind.ai and KMU-HSG

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Conclusion: Purpose → Strategy → Processes → Structure

The stories of L'Occitane, Opalin and the participants in our workshops show: The order determines the success. Those who start with structure or technology get lost in tools and frameworks. If you start with purpose, you will find the right path. This principle is also reflected in the new B-Lab standards: purpose and stakeholder governance are minimum requirements, and management bodies must monitor social and environmental goals.

Companies that invest in strategic sustainability initiatives increase their market value; according to research by Imperial College's Leonardo Centre, the increase in value over twelve years is around 30 % (about 2 % per year). Purpose is therefore not only a moral imperative, but also a business imperative. 

Your next step: moving from knowledge to action

If you would like to delve deeper into these topics and implement them directly, I would like to invite you to our next AI Café on December 10 in Schaan. There we will receive an impulse on the topic of Microsoft Cloud & Data Protection and familiarize ourselves with the Microsoft Copilot:

➡️ Click here to register

P.S. To conclude - Purpose: The key to digitalization:

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We are glad you asked! Schedule an appointment with us directly to begin this important first step of the innovation process - the needs analysis. We look forward to working with you to overcome the challenges and drive digital innovation in your business.

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