What are they key STRATEGIC ISSUES Architect Systems are facing from the situation depicted below?

$$Architect Systems powers a path towards value creation$$

Architect Systems is a small$-$medium$-$sized enterprise $($SME$)$ within Ireland that

manufactures premium commercial wind and solar power equipment for the European

market. The newly appointed Chief Executive Officer $($CEO$),$ who takes over from the

family founder, has promised to focus on organizational modernization and to push for

global growth over the next five years. The new CEO, Tom Boland, has worked within a

number of industries, with a particular interest in digitalising traditional businesses. In

a recent interview with the $$Sunday Business Post$,$ Boland noted the critical importance

of understanding the organization and its capabilities prior to implementing any digital

transformation. Businesses, he felt, could get $$caught up in the $$bright lights$$ of digital

technology, hooked by vendor promises, without actually realizing any business

benefits or return on investment$.$ He noted, therefore, that the leadership team

needed an in$-$depth understanding of the business, $$its legacy and history, its flaws and

wounds, and the processes that could be reimagined to yield new value creating

opportunities$.$

Architect Systems has three key ambitions to achieve over the next five years. Firstly, it

is seeking to develop a global strategy. The continued growth in its sales within the EU

has opened the conversation about expansion. Global decarbonisation targets have

increased markets for sustainable$-$centric products. In particular, commercial energy

suppliers, challenged by a lack of industry expertise in manufacturing large$-$scale wind

and power equipment solutions, are offering lucrative medium$-$term contracts. A

second ambition for Architect Systems is to focus on the digitalization of its business.

As Boland recently noted, $$our business is becoming less about parts and more about

data$.$ Continued innovation has increased the usage of software and sensors in its

product manufacturing, resulting in new service$-$centric opportunities. As Boland

reveals, $$within the forthcoming decade there is every likelihood that we will think

more like a software company than as a manufacturer today$.$ Finally, its third ambition

is to develop a more professional culture within the organization. Since its foundation

Architect Systems has excelled at an entrepreneurial pace. Many of its recent product

lines have been developed out of gaps in the marketplace. Its entrepreneurial spirit has

kept the business flexible and reactive to emerging trends. The objective now is to

balance entrepreneurial flair with managerial accountability.

As Boland reflects on these ambitions, a number of prospective challenges come to

mind. Whilst global opportunities abound within this industry, navigating a route that

would protect patent copyrights will be critical. Equally, understanding the

macro$-$environment and competitive landscape will be vital to ensure effective strategic

positioning. Digitalisation has become a ubiquitous term, as Boland notes $$depending

on who you are talking to $[$digital$]$ means so many things to so many people$.$ Plotting a

digital strategy that makes sense for the business will be a key priority. Finally, Boland is

only too aware of the demands in curtailing the entrepreneurial spirit within a

family$-$run business. Previous experience has taught him that this $$entrepreneurial

spirit$$ can be a term used for $$chasing after every opportunity$.$ As CEO, he will need to

balance $$opportunities$$ with organizational capabilities and strategic value.