#SHIFTHAPPENS2025: The truth about cost cutting, declining sales, and a lack of vision
Why companies are stuck in cost-cutting mode and how real transformation can be achieved.
Economic conditions are changing faster than ever before – yet many companies are responding in the same way they did ten years ago: by cutting costs. This is precisely what Christian Underwood discusses in the latest episode of "Hope is not a strategy" with Dr. Jonas Steeger, managing director of Nordantech Solutions GmbH and author of the study #SHIFTHAPPENS2025. The two take a clear look at an economy that has settled into a permanent state of cost cutting, even though it is precisely this reflex that is leading many organizations into a strategic dead end.
When cost reduction becomes the only strategy.
The study paints a clear picture: cost reductions are currently the dominant measure in almost all industries. Even companies that previously invested heavily in investment projects, technology, or portfolio development are now focusing almost exclusively on cost-cutting programs. Dr. Jonas Steeger describes how this development is closely linked to declining sales and a lack of market momentum – but also to the hope that the situation will "eventually stabilize again." It is precisely this attitude that proves problematic, as it replaces strategic decisions with a persistence in the status quo.
Lack of transparency as a strategic obstacle to growth.
One particularly alarming finding of the study is the lack of sound transparency. Many companies do not know exactly how they are actually making money today, which customers are truly profitable, or how their portfolio is composed in business terms. Decisions are often based on historical assumptions or individual perspectives rather than clear data. This deficit not only blocks the development of new business models, but also makes it difficult to identify the right areas for future growth. Dr. Jonas Steeger emphasizes that without these fundamentals, it is virtually impossible to remain capable of acting in a dynamic market situation.
Dual transformation: Costs down and future up.
The discussion centers on the idea of a dual transformation. Companies must review their cost structures and specifically develop new areas for the future. In practice, however, only the first part usually happens. Many organizations focus so strongly on short-term stabilization that they lack the imagination, courage, or time to deal with the markets of tomorrow. This lack of strategic imagination is particularly noticeable in industries that have long relied on stable business models. The result is a dangerous gap between necessary change and actual action.
Why implementation determines success or failure.
Dr. Jonas Steeger impressively describes how the quality of a strategy is not the decisive factor that distinguishes successful companies from less successful ones. The decisive factor is the ability to implement strategies consistently. Many organizations formulate ambitious programs, develop comprehensive presentations, and hold large kick-off events—but they lack the routines, responsibilities, and a functioning rhythm to actually drive these programs forward. Without regular reporting, clear priorities, and a culture that allows for transparency, many initiatives peter out after a short time.
Who will enjoy this episode.
This podcast episode is aimed at female entrepreneurs, managing directors, executives, and anyone who is responsible for strategy or transformation in their company. It is particularly valuable for organizations that feel their programs are not having the desired effect or that are faced with the question of how to combine cost management and future planning. The episode offers a candid look at structural challenges—and at the same time provides clear ideas on how companies can regain clarity, consistency, and the ability to act.
👉 Listen now and discover what #SHIFTHAPPENS2025 reveals about the true state of our companies—and how real transformation can succeed.
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SHOWNOTES
Dr. Jonas Steeger https://www.linkedin.com/in/dr-jonas-steeger-54a54b35/
Christian Underwood https://www.linkedin.com/in/christianunderwood/
Study “#SHIFTHAPPENS2025” https://www.nordantech.com/de/shifthappens2025
StrategySummit 2026 https://www.strategyframe.ai/strategysummit2026
All links https://linktr.ee/strategyframe