Dietmar Focke, previously Chief Operations Officer at Lufthansa Cargo, made the move into the digital world on November 1, 2024. In this interview, the new Managing Director at Lufthansa Industry Solutions (LHIND) discusses the opportunities of digitalization, the need for bold investment and how modern technologies can bolster companies in global crises. He highlights artificial intelligence and data-based collaboration as key to securing companies’ future viability and forging competitive advantages.
“Companies often need precisely the IT solutions we offer”
Instead of pallets, containers and cargo airplanes, you’ll be dealing with software, IT platforms and AI applications in the future. What attracted you to your new role of Managing Director at LHIND?
Above all, I was impressed by the high relevance of LHIND and its diverse portfolio. Every day, people in the Lufthansa Group and beyond rely on a whole host of processes and applications without any idea that they were provided by LHIND. We’ve come to use mobile devices, desktop computers and laptops to such an extent that the central role played by digital technologies often remains in the background. I’m particularly fascinated by the innovative capacity of LHIND, which our tech-savvy, future-focused and exceptionally agile employees demonstrate every single day. The combination of agility, diversity and international IT expertise means there is vast potential to continue expanding LHIND’s presence in the business world and consolidate its position with lasting effect.
In the context of global crises and upheaval, economic growth in Germany has slowed down considerably. What does this mean for an IT consultancy like LHIND?
Despite the strained circumstances, there is still significant demand for support with digitalization projects. Difficult times are also a source of opportunities. Companies that are currently grappling with productivity problems, and which operate on a global scale, often need precisely the solutions we offer. I’m convinced that, in the midst of the current challenges, there’s enormous potential for us to grow.
I think this time of technological change creates a clear need for companies to make bolder, more strategic investments. Making short-term cuts in every department might well be attractive during times of crisis. However, central innovation and training budgets often fall victim to this “lawnmower approach” – and these areas are essential to a company’s future viability. Cutting them limits a company’s ability to invest in technologies that can provide a decisive competitive advantage, such as artificial intelligence (AI). Companies that invest in promising fields and employee training today will have an edge over the long term.
What trends have you noticed in the IT industry?
In digitalization and IT, there’s a clear trend toward increased AI-powered automation and efficiency. Smart systems simplify processes, thereby saving time and resources. They also assist with comprehensive compliance requirements, such as those imposed by the EU Corporate Sustainability Reporting Directive (CSRD).
Given the growing complexity in the business world, companies are having to integrate more specialists and more departments in order to fulfill regulatory requirements. In the past, three people could coordinate and execute a project. Today, it takes ten people or more to deliver exactly the same product. In many cases, this increased complexity has a massive impact on efficiency.
One solution is data-based platforms with the capability to consolidate data from different source with the help of AI, almost in real time, to facilitate decision-making. The key to productivity increases therefore lies in the combination of technological support and close, data-based collaboration. Companies that ignore this evolution risk falling behind.
Such changes also present challenges for cohesion and cooperation within companies. What does successful management look like during times of change?
It’s vital that companies focus on their employees. Employees will only be able to realize their full potential and perform well if they feel comfortable, both at home and at work. With this in mind, creating the best possible working conditions and fostering a company culture that supports performance is a central task for managers. This ensures that all employees not only feel comfortable but can also apply their abilities as effectively as possible.
In addition, it’s important that employees can express themselves openly on topics they consider relevant – whatever their position within a company. Employees can often feel overawed by their roles. That’s why I always strive to make the person behind the role visible. This is often only possible by engaging on a personal level; it means I have to work consciously on how I present myself and build trust. I hope that my employees don’t just see my role as Managing Director at LHIND but also the person behind it, so that we can immerse ourselves fully in designing products and developing LHIND.
Lufthansa Industry Solutions is a service provider for IT consulting and system integration. This Lufthansa subsidiary helps its clients with the digital transformation of their companies. Its customer base includes companies both within and outside the Lufthansa Group, as well as more than 300 companies in various lines of business. The company is based in Norderstedt and employs more than 2,600 members of staff at several branch offices in Germany, Albania, Switzerland and the USA.