Change or die - New business models - Efficiency - Decentralization.

Interview with Frank Salzgeber, Head of Technology, European Space Agency (esa)

Mr. Salzgeber, in your opinion, what are the three most important future trends in the energy sector? Frank Salzgeber: New business models - Efficiency - Decentralization. All three topics also concern us space travelers: The oxygen pump of the Ariane 5 has a power of 3.65 megawatts, and in satellite construction, we are dealing with milliwatts. Efficiency is our daily bread, and this also includes energy storage. Fuel cell development and storage techniques for hydrogen have been significantly advanced by space exploration. It will still be a long time before a truck is driven from Berlin to Istanbul powered by a battery. Decentralization with increasing digitalization has already shaken up the market today, and this trend will continue. In space exploration, new business models and startups are conquering the markets. Prices have dropped by up to a factor of 10. I think these changes sound familiar to you. Digitalization is the technical tool here. In your view, what business models have the greatest potential for success in the next five to ten years? Frank Salzgeber: Decentralization, alongside technology, has the greatest impact. The end customer has now also become a supplier. However, some market participants still ignore this fact. Startups find it easier to act and fill the many gaps. For example, "My municipal utilities" have no problem losing long-term customers; they don't even receive a call to retain them. If the customer is not willing to pay for added value, then they will not receive it. In contrast, I would like to sell my solar power to the highest bidder myself. However, the situation regarding technology is not much better. Analog meters are still being installed, and people pay a monthly advance payment. This model fits better in the year 1920 but not in this millennium. In a bar, I only pay for what I am currently drinking, and I can choose a different bar every day. What management skills characterize a good board member in times of digital transformation? It's simpler than it looks. One must be open to change and invite it into the company. This way, the company is more protected from a crisis and does not just follow its competitors. Acting with a long-term perspective helps because innovation bears fruit in the future, not in the next quarter. One of our customers is the Catholic Church with the Vatican Library. These gentlemen truly think long-term. Lastly, one should also beware of their own success. Bill Gates once said, "Success is a lousy teacher, as it seduces smart people into thinking they can't lose." So, stay skeptical when things are going smoothly and maybe already on autopilot. That's why it's good to collaborate with startups. They, like our children, question everything, and that's a good thing. What are three clichés related to digitalization that you can no longer stand to hear? Frank Salzgeber: "We have to digitize everything!" - "AI will take away all our jobs." - "Facebook and Google will do everything in the future!" Are Digital Natives given enough attention in (energy) companies? I like to compare it to evolution. It's either evolve or become extinct. If a species is not viable in the long term and cannot adapt, it will die out. When something becomes extinct, it makes room for something new. Even if some governments and associations refuse to accept it: there is nothing in between, and that's good, healthy, and consistent. I'm not sad that Kodak no longer exists because they had their chance. The same goes for your industry and mine. In your opinion, what characterizes a "digital mindset"? Frank Salzgeber: Changing processes to make sense, not just because it's in a manual. Disruption in many industries comes from individuals who previously worked in another sector. They approach the solution differently and are therefore successful. That's why I recommend every entrepreneur to have at least one such "alien" in the team. At ESA, I am the alien, and I can tell you it's a lot of fun! For more information on digitalization, visit Mr. Salzgeber's profile: https://www.excellente-unternehmer.de/redner/frank-m-salzgeber.html