SAP CEO Christian Klein is urging European companies and governments to embrace change in order to revive the economy. Speaking at the World Economic Forum, Klein highlighted the importance of companies adopting artificial intelligence (AI) and investing in change management and employee development. He emphasized that AI will have an impact on various functions within organizations, such as coding, sales content, HR hiring, and accounting contract checks.
Klein also stressed the need for European integration, calling for a true digital union in Europe. He pointed out that building separate products for different countries hampers innovation and growth, particularly for startups. Klein advocated for greater empowerment within the European Union to facilitate a unified approach and maintain independence, particularly in the face of disruptions from non-European companies.
In terms of Germany, Europe’s largest economy, Klein recognized the need for reforms. He expressed concerns about the fragmented decision-making process and conservative tendencies, calling for a fundamental rethink of the constitution and the establishment of a digital ministry with more decision-making power.
Klein also highlighted the interplay between democracy and capitalism, emphasizing the importance of sustaining economic success within a democratic framework. He expressed hope that people would appreciate this balance and work together to overcome challenges.
Klein’s expertise in change management was evident when he took over as CEO of SAP. Recognizing the need for a fully cloud-based company, he had to navigate short-term challenges, including a drop in revenue and job cuts. However, he emphasized the importance of courage and focusing on the medium- and long-term goals.
The article also highlights the challenges faced by other companies in Europe. BASF, a German chemical giant, experienced a significant drop in income due to slumping demand and higher energy costs. The company plans to shrink its plant in Germany and pivot towards its China operations.
In other news, the British Library is still recovering from a ransomware attack that affected its computer systems three months ago. The head of the museum, Roly Keating, refused to pay the ransom and now expects to pay a significantly higher amount to fully restore digital services.
Meta, the parent company of Facebook and Instagram, has announced that it will start prompting European users to delink their accounts ahead of Europe’s new antitrust law, the Digital Markets Act. The move aligns with Meta’s support for the promotion of fairness and contestability in digital markets.
Overall, Christian Klein’s call for change resonates throughout the article, emphasizing the need for companies, governments, and the European Union to adapt in order to revive the economy and maintain competitiveness in the global market.
