The pandemic has contributed to the ongoing impetus of digital pioneers – adding pressure on the Top500 to innovate. We have seen slower-than-expected economic growth in the past two years in Germany. The geopolitical tensions in 2020/2021, supply chain shortages, demographic changes, and inflation have also left their mark on businesses. Today, running a sustainable business is no longer optional. So what can companies do to ensure their success?

Accenture's Top500 study looks at the most successful German companies, analyzes their business models, and summarizes best practices and recommendations. The findings are very relevant to today's unprecedented developments in Ukraine and will remain pertinent as the factors mentioned will most likely get worse.

How organizations will manage to accelerate their multidimensional transformation remains to be seen.

In 2020, the German Top500 recorded revenue losses of 3.9%. Large-scale companies coped better than the overall German economy, whose national gross domestic product (GDP) decreased by 4.6%.

Nevertheless, they were affected more by the pandemic than by the global economy (global GDP dropped by only 3.4%.) There is no denying that transformation will have a significant impact on competition. Successful start-ups, dynamic SMEs, and large companies driving transformation will prevail through innovative business models. As a result, those that remain stagnant will struggle.

In recent years, the conditions for positive revenue growth for the Top500 groups have changed drastically – and it is all thanks to one major external factor: digital transformation. Society's change in values demands more sustainable action – and the same applies to the shortage of skilled workers. On the other hand, companies are facing geopolitical tensions and government regulation in times of crisis. Among other things, these challenges lead to disruptions in supply chains and thus to bottlenecks in production. These developments are causing companies to recognize that it is time to adapt quickly.

The Top500 are under pressure to speed up transformation in a highly competitive environment. As a result, many executives are changing their mindset and realizing the urgent need to take action, but they still remain unsure which path to follow out of the crisis.

In the years to come, the Top500 companies will need to focus heavily on their multidimensional transformation.

To develop future-ready business models, the Top500 companies need to invest in hardware and software to generate, analyze, and use data.

Cloud technologies are emerging to become the backbone for how businesses should operate, enabling enterprise-wide business models. As the world becomes more complex, companies will be less able to provide the critical technology mix for breakthrough new products and services.

Cloud-based solutions play a crucial role in creating new customer experience – a key differentiator in the market.

Companies that have integrated sustainability management into their processes generate an EBITDA margin that is 21-percent higher than the average. Now, more executives recognize sustainability as a competitive advantage and an innovation driver. Measuring sustainability goals and reporting on its progress need to be in focus.

To seize future opportunities, you need the right people. Companies need to attract enough skilled workers with the right qualifications despite the demographic changes. In today's hybrid work landscape, organizations also need to customize work models, decentralize teams, and build a new culture driven by innovation. Lastly, they also need to become attractive in global talent networks and incorporate outsourcing strategies.