A case study based on the 7-Key Model Business Model Canvas
Background of the entrepreneur
How to find a business idea? What is the motivation to start your own business and why becoming an entrepreneur?
The founder of Itegrity GmbH, Philipp Emmenegger is 36 years old, married, and has two toddlers. He is currently the CEO of Itegrity GmbH. He completed his apprenticeship at the Neue Aargauer Bank and gained different insights of the banking world. After the apprenticeship, he continued working for the NAB as a pension planner and later as a mortgage consultant. Overall Philipp Emmenegger was working for the Swiss Bank for more than 10 years. During his time at the NAB he started his studies in business administration with a focus on auditing in 2005 at the University of Applied Sciences and successfully graduated in 2008. After his time working for the Swiss Bank, he then decided to make a new step and started working as a SME accountant at Kalt AG. He did this job for two years and then started his career at coresystems. He knew that advising customers is his strength and that he is talented in this field. Therefore, he first worked as an ERP consultant, in charge of consulting of subsidiaries (of large enterprises) concerning SAP B1 implementation or integration of field service management (FSM) solutions. After about six years executing this job, he met the challenge and started working as a sales manager for the same company. In 2014 he reached the peak of his career at coresystems by becoming the CEO of the company. However, he was not really satisfied there, and he wanted to experience new challenges. He then decided to leave coresystems to start his own business. In October 2017 he then founded Itegrity GmbH.
According to Philipp, the key to be successful is the “why” we are setting for ourselves. By “why,” he means a reason which motivates us to achieve our goals, and if this reason doesn’t make us cry, then it is not the right “why.” In Philipp’s case, the “why” was and still is his family.
The core of a successful business model
Itegrity GmbH targets medium-sized companies in the Swiss market. With Itegrity, he now helps his clients to increase efficiency, create new revenue streams, reduce costs, or even test new business models. For internationally oriented clients Itegrity provides further consultations on how to expand their international business.
Products & Services
service management software allows technicians to access ERP data on their
mobile devices and follow detailed instructions when maintaining or repairing a
machine. This could include entering measurements, pictures of broken parts,
materials used, and time spent on the job. Cloud-based solutions also ensure
that data entered will sync back to the ERP system even when engineers are
SAP Business One (B1)
SAP B1 is a cost-effective, easy-to-implement solution designed specifically for medium-sized businesses. It helps companies to grow, operate, and automate business processes. The solution combines all core functions and supports, among others, the areas of administration, financial accounting, banking, sales, purchasing, customer relationship management, inventory control, manufacturing, internal accounting, and reporting. Managers and employees can process information more effectively and make better business decisions. Divisional managers and managers have access to accurate, consistent, and up-to-the-minute critical business information — all from one system to the entire enterprise.
Swiss Payment is an extension for the standard software SAP B1. It provides simplified record options for payment slips and orders. The already existing in- and outgoing invoices in the system can be processed and entered with an assistant. The creation of the DTA, EZAG, LSV + and DebitDirect files are done at the push of a button. The ESR files provided by the bank are recorded by the assistant and aligned with the invoices in the system. A few months ago the new version of Swiss Payment 2.0 has emerged with support of the new ISO20027. Itegrity provides the installation and support of this software.
All about the revenue model and revenue streams, the financial plan and the financial goals
Compared to other startups, which start with just a small amount of money and depend on investors, Philipp Emmenegger had a more favourable situation. Most of the money put into Itegrity was his own. Furthermore, because he started the company with the six customers he already had a guaranteed revenue stream and, therefore, less risk.
The marketing plan of the startup
The global ERP market has been growing rapidly in recent years and will become more and more important. Increasing operational complexity and rapid changes in business models are some of the major challenges faced by present day businesses. To overcome these challenges, business organizations are rapidly adopting ERP software. According to Philipp, more SME identify the necessity of an ERP and start implementing it. The demand for ERP is rising globally and therefore also in Switzerland.
Since ERP has become a lucrative business, the competition in that market has also increased. Today it has become a very competitive and saturated market. Therefore, Itegrity stands for ERP and more, and Philipp sees the future of his company in the “more.” Only selling ERP solutions will be hard for his business. Because of that, Itegrity differentiates itself from the competition by advising his customers and offering help on their projects. If a customer, for example, wants to expand to a new country, then Itegrity not only takes care of the ERP but also gives consultations and assists in the expansion. This is how Itegrity has a competitive advantage over the counterpart.
IT competencies are the most obvious resources at Itegrity. But probably the most crucial resource, which led Philipp to found his company, was his knowledge. Furthermore, to build up his company there were also financial resources needed, most of it provided by Philipp himself. Currently, the company has five employees, allocated in their office in Brugg at the Technopark High Tech Center.
Philipp’s main reason to quit his job as CEO of a successful company and become an independent entrepreneur was because the previous job wasn’t “himself,” or at least “not enough of him.” Although he was very successful as CEO of coresystems and also satisfied with the working conditions, he decided to take the risk by starting his own business and not thinking about his own paycheck.
Philipp Emmenegger highlighted that responsibility must come with decision power. He has had the experience, that a person with responsibility but without decision power won’t take his job as seriously as somebody with both. As a manager, it is important to devolve power to the employees having responsibilities. According to Philipp, it is the key to employee engagement, as it makes them feel that they are a valued part of the company, and they have a stronger bond to their responsibility.
Founder: Philipp Emmenegger
Thanks to the authors from FHNW: F. Berchtold, J. Hostettler
This article was edited from the original
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