Learning to transform your SME for the digital environment

In a digital world where competition is tougher than ever, it is becoming increasingly important for businesses of all sizes to develop the digital skills and processes needed to remain competitive. However, for small business owners, the challenge may seem insurmountable.

Small and medium-sized enterprises (SMEs) represent 99% of all businesses in the European Economic Area and employ two thirds of the European workforce. However, SMEs are struggling to access the digital resources they need to compete in today's marketplace. This difficulty is due in part to the limited financial and human resources available to them.

If you are a small business owner and are wondering how to transform your business or organization into a leading player in the digital environment, this is the article for you. We deal with the challenges of the digital transition and the tools essential to carry it out successfully. Get ready to give your business the competitive edge it needs!

What is digital transformation?

A company's digital transformation takes place when it integrates digital technologies into its business processes. Addressing this challenge is essential to improve the customer experience and increase the efficiency of your activities.

The use of digital solutions will in particular make it possible to simplify certain processes, solve business problems and create new business opportunities. However, the field covered by the term digital transformation can differ greatly depending on the company, its problems and its sector of activity. The associated technologies are also varied. In particular, we can mention artificial intelligence, cloud solutions, Big Data or even the Internet of Things (IoT).

What are the effects of the digital transition?

At the societal level, the effects of digital transformation have been very significant. The latter has in fact directly or indirectly impacted the way we get information, the way we travel and of course the way we do business.

In general, the digital transition has in some way accelerated society as a whole. As a result, traditional processes have been automated. Faster and more effective, they have sometimes changed in nature. At the same time, data analysis and task automation have changed or even eliminated many jobs.

In the business sector, the impact of transformation has been very significant. Numerous opportunities have emerged from this digitization. In particular, access to qualitative and large quantities of data has made it possible to better understand user behavior and market trends. Businesses taking full advantage of digital technologies therefore have an easier time managing their activities and creating competitive advantages over the competition.

Why is digital transformation important for SMEs?

If undertaking a digital transformation is essential, it is because it allows SMEs to play on an equal footing with the largest companies. Digital communication via social networks, for example, is ideal for significantly improving the visibility of a small or medium-sized company. Likewise, the use of a website and natural or paid referencing is an effective way to attract prospects locally or nationally. All of this is important without making a digital transition in your business.

In general, businesses that implement a digital transformation strategy are more efficient, more productive and more profitable. Let's add that in the Digital Workplace Barometer by Julhiet Sterwen and IFOP, 80% of employees believed that digital transformation offered considerable time savings. In addition, 72% of them also said that this transformation brought them more efficiency and autonomy.

Impacting both strategic and operational levels, a digital transformation also allows access to more efficient workflows, to achieve cost savings, to increase sales volume and to enrich the customer experience.

What are the strategies for a successful digital transformation?

To support this digital revolution and ultimately become a digital business, your company must develop different strategies. The latter are of two types.

The first will make it possible to successfully complete your transformation itself:

• Establishing an action plan and define your goals;
• Leveraging digital solutions in the cloud;
• Define roles and responsibilities of each;
• Adapt your processes to the challenges of digital technology.

It is in order to fulfill this fourth objective that it is necessary to put in place appropriate strategies:

• Use new technology to deliver your products;
• Update internal systems of the company;
• Evaluate customer data and their quantity;
• Deploy a marketing strategy online.

Becoming a digital company therefore means first and foremost preparing for this digital evolution. Secondly, to complete this transition, your company must necessarily use new skills and develop new services. It is by renewing itself, by questioning its achievements and methods, that a traditional company is in a position to transform itself into a digital company.

What are the essential tools for a successful digital transition?

While the impact of digital transformation on your business can be very significant, in order to achieve your goals, you must use digital tools. These are essential because they allow you to speed up processes, optimize workflows and gain agility

The software that will allow you to meet the challenge of these new digital uses must include a set of functionalities:

• Dashboards to visualize data;
• Some customer relationship tools;
• Some analysis tools;
• Various cloud services;
• Automation tools;
• Online communication tools;

In other words, your business needs to be able to collect data, analyze it, and make sense of it. In addition, it is essential to have collaborative tools. These will allow your employees to easily exchange information and gain efficiency. All these elements promote fluidity and flexibility, specific to agile and specific approaches in the digital age.

It is indeed a global strategy that alone allows the digital transformation of a company.

European Parliament, Small and medium businesses, 2022

Salesforce, why should you start the digital transformation of your business? , 2021

CIEFA, The impact of digital transformation on tomorrow's management, site consulted in March 2023