11th October 2024

Strengthening the profitability and competitiveness of companies in Luxembourg

In an increasingly competitive economic environment, improving corporate profitability remains a major challenge, not only for companies themselves but also for all stakeholders and, more broadly, for the Luxembourg economy. We interviewed Laura Schauss, Senior Manager at Resultance, to find out more about their approach for companies.

How can Luxembourg companies improve their profitability in an increasingly competitive economic environment?

Improving profitability remains the number one issue for many companies today.

Improving margins enables them to invest in resources, innovate, find the means to prepare for future challenges and carry out the necessary transformations.

At Resultance, in SMEs in particular, we often see that there is still significant potential for optimising internal operations and processes. Through digitalisation, but also by questioning the practices “that we have always done”. More broadly, we offer a comprehensive 360° analysis approach to identify and promote all the levers that enable companies to increase their profitability. Another frequent example where there is often significant potential is the sales function and pricing policies in particular.

This approach requires “acceptance” on the part of the manager of having an external viewpoint, as well as an analysis by a third party, for the company that he knows so well.

What impact does this have on Luxembourg as an economic nation?

There is a close link between the profitability of companies and the competitiveness of the country.

By strengthening their profitability and competitiveness, companies are not just consolidating their own position. They are also contributing to the competitiveness and resilience of the Luxembourg economy as a whole, for example by investing more in innovation but also in developing employment and skills. For Luxembourg, which positions itself as a dynamic economic hub, this is a major strategic advantage.

What levers can companies use to achieve these profitability and competitiveness objectives?

Companies must be able to rely on solid partners to accelerate their transformation. Resultance offers pragmatic, results-oriented support, drawing on programmes developed in partnership with the Ministry of the Economy and Luxinnovation, such as Fit 4 Innovation and Fit 4 Digital, which offer assistance to facilitate these transitions. These programmes allow companies to benefit from co-financed diagnostics or subsidies covering part of the costs related to implementing recommendations, whether for performance improvement, digitalisation, integration of AI or ecological transition.

What financing options are there for companies wishing to improve their performance?

Under the Fit 4 Sustainability programme, companies benefit from attractive subsidies: 50% for large companies, 60% for medium-sized companies and 70% for small companies. This assistance is available to all business sectors.

For SMEs, Luxinnovation’s Fit 4 Innovation programme still applies. As a reminder, the objective of this programme is to help SMEs optimise their operations in order to free up resources (human and financial) by using external experts. In this context, 50% of the cost of consultants is covered (during the diagnostic phase and the project phase).

Also, for SMEs, the Fit 4 Digital programme allows companies to diagnose their digital maturity (including AI). The cost of the diagnosis is fixed at a flat rate of EUR 5.000 and is fully covered by a matching grant. If the company decides to implement the recommendations set out in the action plan, the investments made and the fees of any consultants may be eligible for investment aid and consultancy aid of up to 50% of the eligible costs, if the eligibility conditions for this aid are met.

Lastly, companies implementing a digital transformation project can also benefit from a tax rebate of 18% on investments and operating expenses (with the exception of tangible depreciable investments).  This tax rebate is available to companies of all sizes.

In the world of consulting firms, Resultance clearly occupies a special place. The firm has a unique identity and positioning, combined with methodologies that are marked by their pragmatism. Can you tell us more?

At Resultance, we have been supporting companies in their strategic, organisational, digital and ecological transformation for more than 20 years. Founded in 2002 in Luxembourg, Resultance is now present in four countries, with more than 200 employees and eight offices across Europe. With 500 client references to its name, the firm stands out for its model of commitment to results and its ability to combine functional and digital expertise (business intelligence, data analytics and integration of ERP systems, particularly the Walloon unicorn ODOO, of which we are a Gold Partner integrator). Resultance also supports companies in their ecological transition, including carbon footprint and adaptation to CSRD regulations. Based in Luxembourg, the firm supports SMEs as well as major European and global groups, while remaining true to its pragmatic values and its hands-on approach to change management. 

How does Resultance’s support differ from other consulting companies?

First of all, the company’s success is due to a unique model: a commitment to results. The principle is simple and involves two phases: an initial “diagnostic” phase, followed by a second “implementation” phase. In concrete terms, over a period of 6 to 8 weeks, we conduct an analysis of the company’s operations on the ground to establish an in-depth diagnosis and identify quantifiable levers for improvement. We then define clear improvement targets, to which we commit, notably financially, through variable fees.

We believe that our remuneration should be linked to the tangible benefits provided to the company. To achieve this, we work closely with our clients and their employees to implement the changes that need to be made. This pragmatic, results-oriented approach sets us apart from other consultancies.

Which companies are your services aimed at?

We target all companies seeking to improve their performance and efficiency, whether they are large multinationals or SMEs, organisations seeking strategic, organisational or digital transformation, or companies engaged in an ecological transition. With expertise across a range of business sectors, Resultance offers solutions tailored to meet the specific challenges of each company. 

 

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