Why do 70% of SMEs lack confidence in their digital transformation?
Posted: Sun Dec 15, 2024 5:56 am
70% of SMEs have insufficient confidence in their digitalisation.
Most problems have a technological and organizational solution.
Post content
Lack of coherence between channels
Absence of digitalization plans
Lack of investment
Difficulties in digital transformation related to control
The cultural barrier
The fear of internationalization
The digital lag
An international study by Amazon indicates that more than 70% of SMEs lack the confidence to grow their online business . It is clear that many of them are facing serious difficulties in digital transformation.
This is not surprising, as digitalisation is a difficult but meaningful task . There are tools to deal with it and the results can be the basis for the growth and specialisation of a huge number of small and medium-sized businesses. In reality, for each of the difficulties in digital transformation there is a difficult path, but one that can improve business.
A Guide for Executives on Digital Transformation
GET YOUR FREE GUIDE AND YOU WILL LEARN:
How to take collaboration and business efficiency to the next level.
How to create strategies to make your company competitive.
I want my FREE guide!
Sage
1) Lack of coherence between channels
Omnichannel is very appealing but also challenging. Many businesses instead opt for a multichannel approach that is not sufficiently coordinated. They strive to target very specific segments on each channel, but do not know how to enable customers to switch between them as they choose. They also do not know how to use data within the company to organize service processes that may involve several channels.
The first step in the solution is to study the data processes in detail . It is necessary to analyse how to share them between the different channels and how to make the performance of all of them coherent.
2) Absence of digitalization plans
This is common in companies with very traditional approaches engineering email list that do not know how to adapt. Their managers often avoid putting concrete plans in writing so as not to expose organizational shortcomings . The more delayed the digitalization is, the more profound the necessary changes will be and the greater the internal resistance.
Of course, the point of arrival to solve this difficulty in digital transformation is the development and presentation of digitalization plans . However, to reach that stage it is necessary to address the incentives of the entire workforce to get involved in the change. The organization must be configured in such a way that the best response for all employees is to collaborate in this process.
Digitalisation is a mixed technological and organisational process in which the incentives of all parties involved cannot be neglected.
3) Lack of investment
Digital transformation is a cross-cutting project . It affects every department and reality of the company. Therefore, forecasts about its impact on cash flows are not easy. Many SMEs underestimate the overall effect by only considering specific benefits in limited aspects of digitalisation. For example, this is the case of those that only think about how a website can help sales, but do not analyse how digitalisation rationalises costs.
Most problems have a technological and organizational solution.
Post content
Lack of coherence between channels
Absence of digitalization plans
Lack of investment
Difficulties in digital transformation related to control
The cultural barrier
The fear of internationalization
The digital lag
An international study by Amazon indicates that more than 70% of SMEs lack the confidence to grow their online business . It is clear that many of them are facing serious difficulties in digital transformation.
This is not surprising, as digitalisation is a difficult but meaningful task . There are tools to deal with it and the results can be the basis for the growth and specialisation of a huge number of small and medium-sized businesses. In reality, for each of the difficulties in digital transformation there is a difficult path, but one that can improve business.
A Guide for Executives on Digital Transformation
GET YOUR FREE GUIDE AND YOU WILL LEARN:
How to take collaboration and business efficiency to the next level.
How to create strategies to make your company competitive.
I want my FREE guide!
Sage
1) Lack of coherence between channels
Omnichannel is very appealing but also challenging. Many businesses instead opt for a multichannel approach that is not sufficiently coordinated. They strive to target very specific segments on each channel, but do not know how to enable customers to switch between them as they choose. They also do not know how to use data within the company to organize service processes that may involve several channels.
The first step in the solution is to study the data processes in detail . It is necessary to analyse how to share them between the different channels and how to make the performance of all of them coherent.
2) Absence of digitalization plans
This is common in companies with very traditional approaches engineering email list that do not know how to adapt. Their managers often avoid putting concrete plans in writing so as not to expose organizational shortcomings . The more delayed the digitalization is, the more profound the necessary changes will be and the greater the internal resistance.
Of course, the point of arrival to solve this difficulty in digital transformation is the development and presentation of digitalization plans . However, to reach that stage it is necessary to address the incentives of the entire workforce to get involved in the change. The organization must be configured in such a way that the best response for all employees is to collaborate in this process.
Digitalisation is a mixed technological and organisational process in which the incentives of all parties involved cannot be neglected.
3) Lack of investment
Digital transformation is a cross-cutting project . It affects every department and reality of the company. Therefore, forecasts about its impact on cash flows are not easy. Many SMEs underestimate the overall effect by only considering specific benefits in limited aspects of digitalisation. For example, this is the case of those that only think about how a website can help sales, but do not analyse how digitalisation rationalises costs.