We are producing more than ever – yet losing value along the way

A year ago, a large Danish company invested millions in developing a new digital tool for its customers. The project was delivered on time. The budget was met. The board was satisfied.

Six months later, fewer than 20 per cent of customers were actively using the solution.

The technology worked. The organisation skipped the crucial question: what specific problem are we solving – and for whom?

Activity creates a false sense of security

Companies are investing heavily in digital development and new initiatives. The pace is increasing. The number of deliverables continues to grow.

Yet many executive teams have a sense of growing doubt. They deliver more than ever before. But the effect on the bottom line and actual impact do not always follow.

Organisations still measure success by whether projects are completed. Far fewer measure whether the solutions are actually used, create value and solve real problems.

Launches are celebrated. Adoption receives far less attention.

Responsibility stops too early

In many companies, responsibility ends once a project is handed over. The organisation then moves on.

The real test only begins afterwards:

• Do customers and employees use the solution?
• Does it create the intended impact?
• Does leadership adjust course if reality looks different from the plan?

When no one owns the value after launch, a vacuum emerges. It is filled with new projects, not necessarily with better results.

This applies to both customer-facing solutions and internal systems. A new tool, an onboarding process or a billing flow functions in practice as a product. It has users. It must solve a specific problem. It must create measurable impact.

If leaders fail to follow up on usage and impact, value gradually disappears.

The debate about productivity often centres on speed. But the biggest challenge lies elsewhere.

Companies waste resources when they invest in solutions no one has asked for.

The companies that improve profitability and grow faster consistently ask three questions:

• Who is this for?
• What problem are we solving?
• Does it work in practice?

It takes leadership discipline to hold on to those questions.

Because it is far easier to produce something new than to ensure it genuinely creates value.

Read the article in Finans in Danish.