Time for growth
In 2016, YIT was nearing the end of its three-year strategy period. It overlapped with times of change in YIT’s industry as digitalization and innovative business models disrupted the market. Instead of perceiving this as a challenge, YIT approached the situation as an opportunity to renew its current business and seek further growth.
“The market landscape had changed dramatically over this period. New competitors were achieving fast growth through novel business models that disrupted old ones. Digitalization also continued to automate processes at an accelerating rate, and digital services for living and business premises were growing in importance. Without reassessing our traditionally successful business models, our future profitability and growth opportunities could have been in jeopardy”, says Juhani Nummi, Senior Vice President, Business Development at YIT.
YIT had previously conducted its strategy processes without external facilitation. This time the company and its top management needed a new approach.
“We wanted a consultancy partner that thoroughly understood our business already and at the same time brought new thinking onboard. Previously, YIT’s strategy process was heavily focused on specific business units. This time, we wanted to pursue a common purpose and goal, starting with the customer. In many ways, this was to be the first truly group-wide strategy for YIT”, Nummi notes.
More Life in Sustainable Cities
The strategy process started in the spring of 2016. Management interviews, content clinics, strategy workshops and steering group meetings were conducted. Their aim was to ensure high ambition levels and a common understanding of strategic priorities.
YIT’s renewed strategy was announced in September 2016 with the purpose of enhancing life in sustainable cities. The engine for growth and profitability would be urban development involving partners. The company prepared to utilize customer care, visionary urban development, passionate execution and inspiring leadership as a means of differentiating itself. Three strategic development programmes were also launched to ensure strategy execution. Cultural renewal would be supported by new ways of working underlining agility, entrepreneurship and empowerment.
The renewed strategy was praised by YIT’s top management for being clear and easy to communicate. This assessment has been supported by positive responses from capital markets, stakeholders and YIT employees. Additionally, communication activities for the strategy were handled by Marketing Clinic Engage.
“Marketing Clinic challenged our top management in a constructive and inspirational way — sometimes even making us go back to the drawing board to create more ambitious goals. Together with Marketing Clinic, our top management worked in true collaboration with an inspiring and forward-leaning attitude. Also, the dialogue between Marketing Clinic and YIT was effortless. In an age of fast-moving operational environments and disruptive businesses, it is extremely important to have a clear, company-wide vision to pursue. Our renewed strategy gives us both the tools and goals to achieve this while having a bigger, far-reaching and more inspirational transformational purpose. We are continuing our cooperation with Marketing Clinic in various strategic initiatives”, Juhani Nummi concludes.
Get to know YIT’s renewed strategy in their strategy video below.