2017 Integrated Report – Departure into a new era

Implementation of strategy DB2020+

The orientation associated with our strategy DB2020+ sets the right priorities to make DB Group fit for the future. This is also reflected in the economic results. We are wor­k­­ing on the right issues that will help us to both optimize our core business and take advantage of international growth opportunities.

In the first phase, in 2016, we were able to eliminate major annoyances in the integrated rail system for our customers and significantly improve the quality of our services within the Railway of the Future program. This applies, among other things, to punctuality, passenger information and to the cleanliness of stations. In the second phase, since the year under review, the focus has been on stabilization through the creation of suitable general structural framework and technological innovations. This is how we intend to convince our customers of our services in the long term. Following the weak development in the year under review, a special focus in 2018 will be on improving punctuality. #PUNCTUALITY We have also made significant progress in digitalization. The appointment of the Chief Digital Officer (CDO) and the further development of the Competence Center Digitalization created the structural framework for the digital transformation of DB Group. In our digitalization strategy, we have used technology trends to devel­­­­op areas of action (for ex­­ample Smart Mobility, Smart Logistics and Smart Assets) for our digital activities and road­maps for their implementation.

    New thinking

    At the NOAH 2017 Conference in Berlin, DB Group Management Board Chairman Dr. Richard Lutz described how a 180-year-old company is setting forth on its journey into the future. With the courage to change and the willingness to enter into new cooperative arrangements. The NOAH conference is dedicated to the digital transformation of the economy.

    In order to create a digital ecosystem, we are fo­cusing on cooperation with start-ups and industrial partners as well as the entrepreneurial spirit in DB Group. We are well positioned here with the minDBox, BEYOND1435 and DB Digital Ven­­tures.

    With new and further developed Group programs, we are working on topics that will take the company another step into the future.

    The focus now is on the vigorous implementation of these topics. In the integrated rail system, we need to work more forcefully, especially in our three strategic areas of action: quality, digital expertise and performance capability.

    • We want to offer products and services that convince our customers: reliable, high quality and safe – always and everywhere. The basis for this is operational excellence in all our processes.
    • We want to generate enthusiasm through digital services, the highest level of performance in automated rail operations and a tailor-made portfolio for our custom­­ers – based on mobility and logistics platforms.
    • In order to reach our targets, we need a high-performan­­ce foundation. To this end, we are working on a culture and leadership that motivates our employees to achieve the highest levels of performance, while at the same time building up competencies in the organization, especially in the direction of digitalization and process excellence.

    We will also improve the control logic of DB Group in order to work more forcefully. This includes, in particular, increasing the responsibility of the Competence Centers (CC) Operational Excellence (OPEX) and Digitalization as well as the Executive Center (EC) Transformationwhich have been set up at functional level.

    In addition to the further development of the integrated rail system, we are focusing on taking advantage of growth opportunities in our international business:

    • At DB Schenker, we plan to scale globally – with the help of digital platforms – and profit even more from international growth opportunities.
    • At DB Arriva, we intend to further expand our European presence and further develop the bus business in the UK.