How does a global industrial group consistently manage to stay ‘one step ahead’? In this interview, Markus Schaal, CIO of the international steel and technology group voestalpine, explains why he believes that digital excellence stems from a combination of stable IT, innovative technologies, and clear business benefits. He discusses the art of combining centralised structures with decentralised entrepreneurship, why data governance is often underestimated in the AI hype, and how the group systematically prioritises digital initiatives according to their measurable value contribution. A conversation about pragmatism, real value creation – and a digital strategy that is a tool, not a vision.
When it comes to digitalization, voestalpine describes itself not only as “state of the art,” but also as “one step ahead.” How would you rate the level of digital maturity in your company? :
SCHAAL At voestalpine, the claim to be “one step ahead” applies to the entire value chain, from purchasing and production to customer relations. The aim of digitalization and IT is to provide the best possible support for our operating business. We are on track to consistently develop and improve this further. Our focus for the coming years is on strengthening and securing our digital foundation and more closely integrating existing technological capabilities with business requirements in order to generate real added value.
What roles do digitalization strategy and successful implementation play in achieving corporate goals? :
SCHAAL For us, the digitalization strategy is not an isolated concept, but an integral part of our overarching corporate and business strategy. It follows the principle of decentralized entrepreneurship that characterizes the Group and is supported by a flexible, scalable IT architecture. Digitalization serves specifically to effectively support the strategic goals of the individual business areas, and not vice versa.
In your opinion, what is particularly important when developing and adjusting a digitalization strategy? What’s inevitable to include? :
SCHAAL A key success factor is the clear positioning of the digitalization strategy between traditional IT and new digital topics. It is crucial not to view these two worlds separately, but to consciously bring them together. Only when operational IT stability and innovative digitalization topics are considered as a single entity, sustainable digital value can be created.
What criteria are used to prioritize the digitization projects undertaken by the group? :
SCHAAL Prioritization follows a clear three-step approach: First, it is important to ensure reliability in ongoing operations (“keep the lights on”). At the same time, digital initiatives must safeguard the future viability of the company (“safeguard the future”). In addition, priority is given to projects that measurably optimize existing processes and structures and thus make a real contribution to value creation.
Automation and AI are undoubtedly important areas of activity in digitalization. Is there a risk that other digitalization topics will fall behind as a result? :
SCHAAL In fact, there is a risk that key fundamentals of digitalization will receive too little attention in the context of AI. Data governance and clear ownership structures for data, in particular, are often underestimated. Without clear responsibilities and high-quality data, neither automation nor AI can be used in a sustainable and value-adding way. It is also important not to disrupt existing processes and structures in digitalization with new areas of technology, but rather to integrate them in a way that adds value. Priorities should be set based on benefits rather than the use of specific technologies.
What are the biggest challenges in the digital transformation of manufacturing industries, and specifically at voestalpine? :
SCHAAL One of the biggest challenges lies not so much in the lack of technology but in their value-based use. Many digital solutions are already available but are not being used consistently to their full potential. The key lever therefore lies in aligning existing technologies in a targeted and synergistic manner with specific business goals, making their benefits measurable, and continuously developing them further.
Are your digitalization projects driven centrally or decentrally? How does the interaction work? :
SCHAAL At voestalpine, digitalization follows a clear interplay of centralized orchestration and decentralized implementation. Technological standards, platforms, and architecture are controlled centrally, while the specific design and application take place close to the business. This principle - “discipline at the core, flexibility at the edge” - ensures that scalability and entrepreneurial freedom are equally guaranteed.
How do you measure the success of digitalization measures? Do you have a specific example that has demonstrated the benefits of digital transformation in your company? :
SCHAAL The success of digitalization initiatives is consistently measured based on use cases and value cases. The focus is not on the technology itself, but rather on the specific contribution to the business - for example, in the form of efficiency gains, quality improvements, or risk reduction. This ensures that digital measures deliver real added value. We have practical examples in numerous use cases in production (digitalization and overall AI – not just LLMs) as well as across the board through a common technology and platform strategy, where the benefits are quantifiable in monetary terms but also demonstrable or obvious in terms of effectiveness and quality.
Looking at voestalpine's latest digitalization, what are you personally most proud of? :
SCHAAL I am particularly proud of the culture and pragmatic approach we take to digitalization within the organization. Instead of theoretical concepts or large-scale visions, we focus on practical benefits. This pragmatic focus helps us to synergistically link digital initiatives and IT transformation, implement them effectively, and anchor them sustainably within the company. We no longer distinguish between digitalization and IT.
About Markus Schaal
Markus Schaal began his career at Daimler in international IT and management positions, including SAP implementation and responsibility for treasury and controlling in Mexico. After holding CIO positions at Xella and Marquard & Bahls, he is now CIO of voestalpine AG, where he is responsible for the IT and digital strategy for around 1,500 experts. His focus is on IT governance, process standardization, and increased IT security.
voestalpine is a leading global steel and technology group with around 500 group companies and locations in more than 50 countries. In the 2024/25 fiscal year, the group employed around 49,700 people worldwide.
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