Munich / Berlin, June 12, 2025: phiyond GmbH and valantic GmbH have released a comprehensive new study on the topic of Twin Transformation (available in German only), providing an overview of how companies in the DACH region are approaching the dual challenge of digital and sustainable transformation. Based on an online survey of 109 executives, 11 expert interviews, and 13 case studies, the analysis provides practical insights into the challenges and opportunities of the so-called twin transformation in real-world corporate practice.
The results reveal that while many companies are already using digital tools, their application is largely limited to automating administrative tasks such as reporting and communication. Only a few are systematically leveraging digital technologies to enhance sustainability performance, for example, through the strategic management of supply chains, product development, or resource utilization. As a result, significant potential remains untapped—potential that could not only help companies fulfill regulatory demands but also strengthen their long-term competitiveness.
For most companies, sustainability efforts are primarily driven by external pressures, such as regulatory requirements and customer expectations. Internally motivated, strategic, or innovation-led approaches remain the exception rather than the rule. This often prevents companies from embedding sustainability as a core element of the business model. Research shows, however, that—when prudently integrated—ESG initiatives can do more than enhance a company’s image: they can also drive revenue growth and improve return on capital.
While many companies now collect relevant ESG data, especially on emissions, supply chains, and energy consumption, this information often remains fragmented across different tools and systems. An end-to-end, strategic approach to data management is still rare, with just 1% of companies reporting the implementation of a fully automated ESG data architecture. Without a consolidated and integrated data foundation, managing sustainability goals remains inefficient and resource- and cost-intensive.
Based on the study results, phiyond and valantic have developed a maturity model that categorizes companies according to their twin transformation progress. Most organizations fall into the “emerging” stage, where initial initiatives are in place, but a cohesive, company-wide strategy is still missing. Notably, the study identified a classic transformation gap indicator: most companies perceive the broader market as ahead of their own.
“Twin transformation is no longer a distant vision—it has become a business imperative,” emphasize study authors Nikolas Bradford (phiyond), Marco Fuhr, and Dr. Jens Lehnen (valantic). Companies that systematically integrate digitalization and sustainability not only enhance their resilience and ensure regulatory compliance but also unlock lasting economic value.
