HR Report 2010/2011 - Deutsche Telekom AG

As a “partner in business,” Telekom’s HR department supports the Group’s core businesses as well as its strategic growth areas and the Group strategy.

7 Competitive workforceHR Big 4 and Group strategy Service culture Talent agenda HR@2012 Deutsche Telekom’s business challenges – drivers of our HR work. Our networks represent the nervous system of both our economy and our society. For future worldwide growth, however, we rely not only on tra- ditional revenue drivers but also put our business on a new footing. It is the duty of HR to provide optimal support for new business models and deve- lopments on the basis of sustainable personnel planning. With the right em- ployees, sustainable know-how and innovative offers, we can guarantee our customers best-in-class communications tailored to their individual needs. “From telco to telco plus” – Telekom’s strategic growth areas. We have identified a total of five strategic growth areas in which we see our greatest opportunities. Our aim is to virtually double our revenue in these growth areas by the year 2015, raising them from today’s EUR 15 billion to EUR 29 billion. ƒ At the top of the list is the mobile Internet. We were one of the first to opt for this segment, which is now a booming market with excellent growth prospects. Of all segments this is the one in which we expect the biggest growth. We now generate around EUR 4 billion per year in reve- nue from mobile data and we intend to more than double this figure by 2015 to around EUR 10 billion. ƒ The second growth area is what we call the connected home. It ini- tially includes the broadband Internet link. Increasingly, this is accompa- nied by our Internet-based TV offer (IPTV). We want to win around five million Internet TV customers by 2015 with our Entertain product and position ourselves as the pay-TV market leader even before this. Our cus- tomers will also have online access to their home systems and installa- tions. This means that they will be able to monitor and control heating, lighting, window shutters and alarm systems when on the move. Overall, we intend to increase connected home revenue from EUR 5 billion at present to around EUR 7 billion by 2015. ƒ The third growth area relates to our own Internet services. We already have a strong foothold in this segment, for example with the Scout24 group. AutoScout24 alone is used by more than 11 million people across Germany. AutoScout is now available in 13 European countries, with more due to be added. ImmobilienScout24 is also a leading, highly innovative portal worldwide. Another example is the “Load” family, fea- turing Musicload, Gamesload and Softwareload. Here again, we are set to extend our international commitment. Today, we already generate se- veral hundred million euros in revenue with these and other Internet ser- vices. We intend to improve on this considerably, reaching the EUR 2 to 3 billion mark by 2015, and are reinforcing our position in this segment through acquisitions. ƒ Our fourth growth area is the systems business, primarily with our corporate customers. T-Systems plans to increase its external reve- nues by EUR 2 billion to EUR 8 billion by the year 2015. One of the areas in which we see the greatest opportunities is cloud computing. We are going with the “cloud,” shifting computing capacity, memory, applica- tions, databases, intelligent control and services for customers onto the Net. ƒ The fifth growth area is based on a long-term concept and is gaining importance. It consists of intelligent networks for the energy, health- care, media and automotive industries. We provide end-to-end support for these sectors as they go digital. Overall, we expect to earn around EUR 1 billion in additional revenue from development and operation of specific networking solutions such as smart grids and in-vehicle Internet solutions by the year 2015. Areas of action in the strategic program: Fix – Transform – Innovate. In order to succeed in the strategic growth areas named above as well as in our traditional core business, we have focused our strategic program on five action areas in which we are set to “Fix – Transform – Innovate”: ƒ Fix: Firstly, we are optimizing our performance in mobile communica- tions, for example by maximizing network speeds and coverage. In the United Kingdom, we have already successfully closed a joint venture agreement. ƒ Transform: Secondly, we are increasing our edge in integrated markets, offering specific bundles of fixed and mobile communications services. Thirdly, we are investing billions of euros in the future network infrastruc- ture and continue to improve our customer service. ƒ Innovate: In our fourth area of action, “Connected work,” and in the fifth, “Connected life,” our innovative services, devices and solutions ensure that our customers get a top-quality “life is for sharing” experience, namely with seamless communications, information and entertainment, now and in the future.