T-Systems’ strategic focus has evolved over the years, shifting from its automotive-dominant IT capabilities to a network-centric ICT service player covering various industry sectors. In its latest move it has transferred small and medium-sized clients to another unit within Deutsche Telekom Group, so it can focus entirely on the needs of larger clients, which have been the main source of IT service revenues. CEO Reinhard Clemens is also continuing an earlier push to expand the company’s international business, with a view to reduce dependence on the German market. T-Systems will have to reconsider its strategy on its systems integration capabilities since they are a core requirement for its business model. Furthermore, it will have to continue improving its profitability in order to fulfil the requirements laid down in the parent company’s ‘Save for Service’ agenda.
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