Although digital transformation is no longer a new trend, it continues to represent a challenge for many small and medium-sized companies (SMEs). Ultimately, it requires great effort to fundamentally change structures and processes that have grown over the years. There is also often a lack of the necessary openness to new technologies. These are particularly essential in order to work efficiently and ensure competitiveness.
The two online portals HR WORKS and Montagsbuero give tips that can help medium-sized companies to successfully advance digitalization. We have put together the most important ones.
1. Develop a digitalization strategy
If you want to successfully implement goals, you first need a concrete roadmap. Every digitization project should therefore be planned through a concrete digitization strategy. The companies develop a concept that is tailored precisely to their own specific requirements. The first step is to analyze the current status: from the organizational structure to the existing processes and the data stock to the technology used. On this basis, the most suitable measures for implementing digitalization can be derived.
This is then followed by concrete implementation, for example through the introduction of HR software or the implementation of the e-signature in the company. A crucial factor here is to involve employees in the change process at an early stage. This not only promotes acceptance, but also ensures that employees acquire the necessary skills to use the new digital solutions.
2. Invest in the right technology
Choosing the right technology is a central success factor for digitalization in medium-sized companies. Companies should select technologies (such as AI systems or blockchain technologies) that are precisely tailored to their specific needs and deliver measurable added value. Instead of just following the latest trend without thinking, a thorough analysis of your own business processes is crucial. Investments in suitable technologies are only successful if they meet the actual needs of your company and clearly show the intended benefits.
3. Take advantage of funding opportunities
Speaking of investing: The state has recognized the digitalization deficits in the German economy and is therefore offering in particular Numerous funding opportunities for SMEs to. For example, there is the nationwide funding program “Digital Now”. Anyone who meets the requirements for funding will receive up to 50,000 euros for investments in digital technologies or further training of employees on digitalization topics. In addition to the funding opportunities at the federal level, the individual federal states also offer various programs to support local SMEs.
4. Make HR efficient through digitalization
The digital transformation of HR processes is now one of the most pressing tasks for human resources departments. This is not surprising, because modern human resource management includes numerous, often labor-intensive activities that place a lot of strain on human resources teams. The good news: Many of these tasks can be automated with suitable HR software. This can significantly increase efficiency and minimize recurring, time-consuming activities. Areas that will particularly benefit include:
- Human resources management: Digital personnel files, software-protected applicant management or optimized onboarding
- Payroll accounting: Digital payslips
- Time management: Management of absences and vacation times through digital time tracking tools
- Travel expense reporting: Travel expense software for receipts for business trips, restaurant bills or overnight stays
Conclusion: Digitalization within SMEs is essential – and feasible. With a correct digitalization strategy, government funding and the targeted use of appropriate technologies, the comprehensive digitalization of SMEs can be successful.
Anna Lena Hartmann
Anna Lena Hartmann (alh, born in 1997) has been a working student at sales management since August 2023. Having grown up in the green heart of Germany, she now lives in Leipzig because of her German studies. Previously, she spent several years at the law faculty of the Friedrich Schiller University in Jena. Her broad range of knowledge and interests covers topics such as sport, business and health.
