Turning a Successful Business Model on Its Head (Spanish version)

Description

"Hilti developed many very innovative and successful products over the years, but they paled in comparison with the fleet management business model, which was the most important innovation in Hilti's history." All told, Hilti, which had about 22,000 employees and made about 4.5 billion Swiss Francs (or $4.589 billion USD) in sales in 2015, managed 1.5 million tools under fleet management contracts in 40 countries, resulting in a contract value of more than 1.2 billion Swiss Francs (approximately $1.4 billion USD). Case A describes the strategic decision-making process regarding the introduction of fleet management in its early planning stages. Case B (separate) tackles the implementation and scaling process of fleet management over the years and explores current challenges facing the BMI. This case is accompanied by a Video Short that can be shown in class or included in a digital coursepack. Instructors should consider the timing of making the video available to students, as it may reveal key case details.

Keywords

Business model innovation Business Models Customer relationship management Decision making Focusing on customers Innovation Inventions Leadership transitions Leasing Personal transformations Profitability Project implementation Project management Restructuring Strategy Succession planning Transformations Value chains