Service Leadership and Transformation – In Conversation with Juergen Abraham

Dr. Juergen Abraham is a seasoned expert in innovation and digital transformation with a strong foundation in chemistry and materials science. After completing his doctorate in nano-reinforced plastics at the University of Erlangen-Nuremberg and Loughborough University, Dr. Abraham joined Voith Group in 2006. Over the years, he has held a series of leadership roles, including Vice President New Business & Research, Senior Vice President Development Fabric & Roll Systems, and Member of the Fabric & Roll Systems Management Team.

Since 2019, Dr Abraham has been a Member of the Board of Management of Voith Paper, where he serves as Digital Business Officer, driving internal digitalisation, e-commerce, and digital product initiatives. In his current role as President of the Products & Services Division, he oversees the division’s global strategy while continuing to lead Voith Paper’s Digitalisation efforts.

Introduction

In today’s rapidly evolving industrial landscape, the transition to a service and customer-focused business model has become a critical driver of growth and sustainability. Companies are increasingly recognising that success isn’t solely about the products they offer, but about the value they deliver for customers through tailored services, innovation, and long-term partnerships.

This transformation, however, is not without challenges. It requires a fundamental shift in mindset, processes, and leadership approaches. We sat down with Juergen Abraham, a seasoned leader who has spearheaded the shift toward service excellence within his organisation to explore these topics and understand more about the future of service leadership.

The primary aim of the conversation was to uncover insights and provide actionable advice for other leaders navigating the complexities of this journey. Juergen shares his personal experiences, the strategies that have driven change, and the lessons he’s learned along the way, providing valuable perspectives for leaders across industries looking to embark on or refine their own service transformations.

Can you share your career path and what led you to service leadership?

My career began in R&D, where I focused primarily on technology. I soon realised, however, that to grow and develop I needed more exposure to wider business strategy. This realisation led me to the aftermarket business about ten years ago. Initially, it was a significant shift—moving from developing new equipment in R&D to focusing on processes, customer offerings, and commercial relationships in aftermarket services.

Five years ago, after a focus on digital and automation, I took ownership of our aftermarket business in addition. I find this area particularly fascinating, as it’s not only our fastest growing and most profitable business segment but also the most dynamic. With immense potential for growth and innovation, it truly excites me.

What do you see as the biggest opportunities and challenges in shifting to a more service- and customer-focused business?

The challenges we face are primarily people-related. Finding the right talent with the right mindset is crucial – we currently see a need to drive cultural transformation within our existing workforce of 3,500 employees.

Digital transformation presents another critical challenge, but it also offers tremendous opportunity. Customers no longer just expect basic maintenance; they want us to help optimise their operations and improve their profitability. This shift requires us to integrate digital tools and data-driven insights into our services. For example, we’re moving from simply repairing machines to proactively helping customers maximise equipment performance. This means becoming a strategic partner that contributes to their success, marking a significant leap from traditional service models.

What qualities do you think are essential in building a strong service-focused business?

To thrive in a service-oriented environment, employees must embody three core qualities:

1. Ownership: Employees must take full responsibility for their work and the outcomes they deliver. This sense of accountability drives excellence and builds trust with customers.
2. Collaboration: Service is a team effort, and success hinges on the ability to share knowledge, engage others and work seamlessly across departments.
3. Entrepreneurship: Employees should look beyond immediate tasks to identify opportunities and create added value for customers. It’s about understanding the customer’s business challenges and proactively finding ways to address them.

If we’re to achieve our goal of continued growing turnover by 50% over the next five to seven years, we need employees who think strategically, act decisively, and seize opportunities to amplify our impact.

How are you driving a mindset shift within the organisation to instil these qualities?

Changing mindsets goes beyond training programs—it demands visible leadership and systemic change. To drive this transformation, we’ve launched a cultural initiative aimed at promoting agility and customer focus throughout the company.

In addition, we’ve shifted from a top-down approach to strategy development to a more collaborative, bottom-up model. This means involving employees at all levels in shaping our future strategy. For example, as we transition from Strategy 2025 to Strategy 2030, we’ve actively invited contributions from across the organisation. This inclusive approach fosters ownership and ensures alignment with our collective goals.

The adoption of Objectives and Key Results (OKR) has also been a game-changer. By breaking down annual goals into quarterly sprints, we’ve accelerated decision-making and execution. OKRs have also enhanced transparency, enabling employees to see how their work contributes to broader organisational objectives.

How have you implemented these changes within your team, and what leadership qualities are most important?

I expect my leaders to embody the same values I expect from all employees: ownership, collaboration, and entrepreneurship. Over the past five years, I’ve made significant changes to my leadership team,  to ensure alignment with these principles.

Collaboration has been a particular focus. Leaders must not only work effectively with their peers but also engage deeply with the organisation. In a matrix structure like ours, success depends on breaking down silos and fostering open communication. Leaders who cling to hierarchical, command-and-control approaches simply don’t align with this model.

What has been the biggest impact of shifting to a service- and customer-focused model?

The results speak for themselves. In just five years, our aftermarket business has grown from the smallest unit in the company to the largest. Today, we’re the biggest profit contributor, and this success has reshaped perceptions both internally and externally.

When I first transitioned into service, it was viewed as a step down—a less prestigious area of the business. Now, it’s recognised as the company’s growth engine. This shift in perception has not only attracted top talent but also helped secure the resources we need, creating a reinforcing cycle of success.

 What leadership strategies have been most effective in this transformation?

The introduction of OKRs has been a pivotal change. This management approach shifts the focus from task execution to achieving clear, measurable objectives. As a result, we’ve seen improved alignment, accountability, and motivation across the organisation.

Another key strategy as been fostering transparency and collaboration. By forming cross-functional teams to address strategic initiatives, we’ve broken down silos and ensured everyone is working toward shared goals. These teams operate with full visibility, so everyone in the organisation understands what we’re working on and why.

 How have you addressed the challenge of aligning different departments in this shift?

Siloed thinking is a challenge for any organisation. To overcome this, we’ve formed cross-functional teams to tackle key initiatives. Our OKR approach promotes transparency, providing all employees with visibility into strategic priorities and progress. This alignment encourages collaboration and ensures everyone is working toward the same objectives.

What trends in customer expectations and service innovation are shaping your strategy moving forward?

One major trend we’re seeing is the talent shortage among our customers. Historically, their workforce was stable, with employees staying for decades and accumulating deep knowledge of their equipment. Today, high turnover and difficulty attracting young talent are pushing customers to rely more on partners like us.

This shift has profound implications. We’re developing expertise in operating equipment 24/7 and exploring new business models to support customers more effectively. By stepping into this role, we’re not just maintaining equipment—we’re helping customers navigate their challenges and ensuring long-term success.

What has this transformation taught you?

This transformation is an ongoing journey, but it’s exciting to see how we’ve evolved and adapted. By prioritising collaboration, ownership, and customer-centric innovation, we are building a KPI driven service organisation that delivers value for both our company and our customers.

If you would like to discuss any of the topics raised in this piece or if you need support with your leadership resourcing strategy, please get in touch with Alex Catana on: alex.catana@beaumontbailey.com.