Claudia Wintersteiger: How do current economic and political conditions – the policies of the new governments in Austria, President Trump, the war in Ukraine, for example – affect your work?
Thomas Truttmann, Felchlin: We export a large portion of our products, with the USA being a significant market. Our customers fear the impact of tariffs. We, in turn, experience uncertainty among our employees – culturally, we Swiss do not like uncertainty. Additionally, our partners at the origin of cocoa produce in poor countries. They are most affected by global destabilizations. For us, this means investing in all partnerships along the value chain – they must endure and provide security.
Oliver Holle, Speedinvest: The USA is the beacon of the venture scene – but suddenly there is a shift in Europe, both privately and publicly: There is a push to invest more in Europe, there is an atmosphere of change, of excitement for new beginnings. This is partly due to issues like climate change or the defense of Europe, but also to the desire for emancipation in the venture scene. No one currently wants to go to the USA. That’s actually really cool, because we need this positive energy in Europe. In the last five years, we have lost far too many top founders.
Marie Ringler, Ashoka: We operate in 99 countries, many of which are in the so-called Global South. For them, the ability to cope with uncertainty and resilience are imperative, and we can learn a lot from that. And yes, the cuts from USAID are a heavy blow for NGOs worldwide. But at its core, their work is always associated with uncertainty. Our community is best positioned to deal with it.
For example, Dixon Chibanda from Zimbabwe: He is one of five psychiatrists in a country with 17 million people. Those five people cannot possibly care for all the traumatized people in the country, which is why he founded the organization Friendship Bench. Highly respected people – in Zimbabwe, these are the grandmothers – are trained to accompany people in psychological crises on a bench in public spaces. This is what social entrepreneurs can do: Be creative and mobilize invisible resources when there is no money.
Wintersteiger: Given all these conditions, many leaders experience areas of conflicting interests. What is right from one perspective can be completely wrong from another. For example, what is demanded of managers in the company (e.g. growth) is hardly justifiable at the dinner table with the children (where it turns to mean exploitation of the environment at the expense of the next generation). Where do you encounter such ambivalence, and how do you deal with it?
Holle: The last two to three years have been very tough, because of the turnaround in interest rates. The years before, start-ups were on a growth trajectory and were given (too) much capital. Then they were suddenly told: “Sorry, it’s all about profit now.” Hence the start-ups became profitable, but many are no longer growing at the pace requested. And a start-up that does not double every two years is considered a failure. It is no longer functioning according to the logic of shareholder value. It is no longer a start-up but an SME. This is the hardest thing for founders, because it drastically changes the logic in the organization.
Wintersteiger: Yes, this is a major change of pattern in many of the start-ups I advise. Until recently, start-ups primarily had to credibly explain their business case – and above all their scalability – to investors in order to get money – and suddenly they were required to earn “their own money” in the market, i.e., focus on sales. This called for completely different behaviours on the part of all players, with little notice.
Ringler: For us, these areas of conflict are not so dramatic because we work as entrepreneurs for entrepreneurs. We are used to facing challenges. Our fellows see a problem and want to solve it immediately. This became very apparent during the COVID crisis: The Ashoka community was quicker to provide help. An example from Spain: Fran Díaz enables children to design prostheses that meet their needs, such as playing on the swings at the playground, which gives them power over their own lives. During COVID, within two days he converted his lab to 3D-print medical instruments. This requires a different mindset than the “normal” economy, this means asking: What can I do for society with my resources? I think it is possible that the crises we are currently experiencing are also an opportunity to solve some of the world’s problems. Even if it doesn’t feel like it right now.
Wintersteiger: I even think it’s likely. But it sounds like there are very different ambivalences that your industries have to deal with. Thomas, what differences and areas of tension do you see in the management of start-ups, NGOs, SMEs, and large companies?
Truttmann: After gaining a lot of experience in large corporations, I now run an SME. And I have never worked in a company where I struggled so little with conflicting aims – between my personal values and business logic. This is typical for a family business. In large companies, “Hey! Poland is 1.3 percent behind budget – please deliver that” is quickly said. At Max Felchlin, we have abolished excruciating budget processes; they are a waste of resources. For us, it is about making the right decisions in the long term and not chasing a budget that is no longer relevant.
Wintersteiger: I have clients for whom budgeting seems to be an year-round theme. It is always budget phase. To abolish budgeting – many will surely envy you for that. Would you recommend this to other companies?
Truttmann: I would not presume to recommend this to publicly traded companies. We work on a rolling twelve-month forecast. I think it is important to empower people on the front lines and invest in long-term partnerships. Investments have to pay off, but not in the short term. Of course, we also have to make a profit. Our shareholders are not unaspiring.
Wintersteiger: What role do digital technologies and AI play in your areas? And how do you view related regulations?
Holle: There is no other topic than AI – it is the next big wave. We undertake about 40 new investments every year, 30 to 35 of which are related to AI! Moreover, I have never seen such a leap in efficiency – the productivity gains are enormous and massively underestimated. Some companies have already automated their entire marketing cycle with agents!
Who wins the race is still up in the air. In the US, a lot was invested, much of which is now outdated because of fast technology changes. Existing start-ups have to reinvent themselves completely. In Europe, we are not going to win in the area of fundamental AI models. But the question is whether this is even necessary. There is probably very little money to be made in this area. European players like Mistral, on the other hand, can very well offer added value through specific applications – that is the opportunity in Europe! Unfortunately, we have far too much regulation – I say this as a long-time Green sympathizer – we need to move faster and be prepared to compromise. And that is not so easy – I know both sides. We need less regulation, less bureaucracy, but we also need data and climate protection.
Truttmann: We are developing use cases regarding efficiency gains in administration, marketing, communication, and finance. In manufacturing, AI has not yet made an impact. Of course, we are considering using it for analytics. With this, it is imperative to manage ultra-new and 100-year-old machines side by side and record data in a structured manner.
A thought on Europe: Overregulation is probably one reason why Switzerland is not part of the EU. Europe must reinvent itself and build structures that are – simply put – faster and closer to people. It is about the principle of the most decentralized decision possible.
Ringler: AI is part of our everyday life. We have an internal AI lab and use it for efficiency increases, benchmarking, and selecting social entrepreneurs. But the more interesting question is: How, for whom, and with whom do we shape this new world? This is not a question of regulation but of attitude and values. Is it about the personal profit of an individual, or do we conduct business for the common good? Take the example of a Canadian social entrepreneur from the paper industry, Nicole Rycroft: She has managed to get 950 companies on board to change their packaging materials. The goal of the initiative is to protect forests – not to get rich, but to reduce resource consumption. Of course, this also requires a common will. We live in a world where it is okay to be greedy. Which is why, we need examples that show that greed is not okay, not even for economic success. It is about working on attitudes.
Wintersteiger: Are attitude and economic success a contradiction?
Holle: That is an interesting area of tension. Start-ups have to grow to be successful. That is in a way greedy and unromantic, but also very impressive. We have a unicorn in Nigeria. It helps taxi drivers own their own taxis – there are now more than 150,000 entrepreneurs. The positive impact is enormous.
The founders, two elite kids, want to go public in two years – in a line of business that is tough as stone. In such cases, you can see that social entrepreneurship and impact are increasingly coming together. And that the assessment of “good” or “bad” is too simplistic – it’s the impact that counts. And regarding attitudes: These are not always good people, they simply want to be successful.
Ringler: We need to talk about how we define success as a society. Today it is “Power, Position, Profit,” instead of contributing to a good life for all.
Wintersteiger: I would not have thought last year that we need to reassess the issue of armament. Conflicting goals need to be addressed and different perspectives weighed.
Ringler: That is why the European Forum Alpbach is necessary. This year, defense plays a central role, but climate protection remains an essential issue, because climate change does not pause for wars. For climate transition, we need all societal actors, and especially the dialogue between generations.
Truttmann: It is about climate as well as defense – not one or the other; and about discussing priorities, what issues are emphasised within a state budget.
Holle: Next-generation drones are a good example of innovation – they are very successful in Ukraine, but also have many civilian applications. The example of climate policy has shown that an EU motivated purely by regulation has not been helpful. There are hard lines of conflict, some of which we will not acknowledge. I spend a lot of time in Dubai, where they say: “The Problem of Europe is Europe.”
Wintersteiger: If the four of us – as representatives of different perspectives – develop an idea today that makes a sustainable difference tomorrow, what would it be?
Holle: It needs exactly this kind of dialogue, in concentric circles, starting with a core of trusted people, which then expands further. My job is to select founders – I look for action-orientation and the ability to listen. Founders who just broadcast – that won’t work! Good successful entrepreneurs can listen.
Truttmann: It is about listening in the immediate environment; understanding the point, the situation, the attitude of the other.
Ringler: It needs “Changemaker Companies” that bring together business and contribution to society. Both sides benefit from this. It is important to bring together people with different perspectives and then get them to act. We all have incredible potential, but also the obligation to do something good.
Wintersteiger: I agree with you: Dialogue is the beginning of all good solutions. My daughter is currently studying debate at school. Certainly important – but I look at it closely and hope that asking questions and dialogue will soon be part of the curriculum. So that next generations can have equally beautiful dialogues with different perspectives, as we did today.
The Conversation Partners
Marie Ringler – Member of the Global Leadership Group and Europe Head, Ashoka
Marie Ringler leads the European network of Ashoka, the world’s largest organization for promoting social entrepreneurs. Her focus is on systemic change, social innovation, and the question of how business and society can shape transformation together. She is also Vice President of the Forum Alpbach.
Thomas Truttmann – CEO Max Felchlin AG
Thomas Truttmann leads the management-run family business Max Felchlin AG, a globally active company for high-quality chocolate couvertures and sustainable cocoa supply chains. He accompanies the calm transformation of the company by combining tradition and innovation and advocating for sustainable economic models. The company has 196 employees.
Oliver Holle – Founder & Managing Partner Speedinvest
As one of the most influential investors in the European tech ecosystem, Oliver Holle has helped hundreds of start-ups grow with Speedinvest. He brings his perspective on transformation as an investor – from disruptive technologies to sustainable business models.
Claudia Wintersteiger – Transformation Expert & Partner at Trainconsulting
Claudia Wintersteiger accompanies companies in profound change processes, with a focus on the interaction between strategy, structure, and culture. As a systemic organizational consultant, she supports leaders in understanding transformation not only as a necessity but as an opportunity for shaping the future.
This article was developed in collaboration with BUSINESSART – Austria’s magazine for sustainable business and future-oriented leadership. The English version is available as an e-paper here. Our shared goal: to show how dialogue, diversity of perspective, and a sense of responsibility can shape the future – especially in times of uncertainty.
