Digital transformation journey for SMEs

Project Information

DigiJourney

Grant agreement ID: 870625

DOI

10.3030/870625

Project closed

EC signature date 6 September 2019

Start date 1 October 2019

End date 30 June 2020

Funded under

• INDUSTRIAL LEADERSHIP - Innovation In SMEs

Total cost

€ 50 000,00

EU contribution

€ 50 000,00

Coordinated by

FUNDACION FUNDECYT - PARQUE CIENTIFICO Y TECNOLOGICO DE EXTREMADURA
Spain

Periodic Reporting for period 1 - DigiJourney (Digital transformation journey for SMEs)

Reporting period: 2019-10-01 to 2020-06-30

Summary of the context and overall objectives of the project

The digital transformation of EU business and society presents enormous growth potential for Europe. It is estimated that digital technologies, such as Big Data Analytics, Artificial Intelligence (AI) or the Internet of Things (IoT), have the potential to add 1.5 million jobs to the EU’s digital economy, and that SMEs can grow two to three times faster when they integrate digital technologies into their business models. European industry can build on its strengths in advanced digital technologies and its strong presence in traditional sectors to seize the range of opportunities that technologies like IoT, big data, advanced manufacturing, robotics, 3D printing, blockchain technologies and AI offer. This will enable the European industry to capture a share in the emerging markets for the products and services of the future. For SMEs in particular, digital technologies provide an unmissable opportunity to enter the market with specialised, differentiated and smart products and services.

Nevertheless, EU businesses are not currently taking full advantage of these advanced technologies or the innovative business models offered by the collaborative economy. Even though SMEs are highly sensitized for the importance and the potential of digitalisation for their business, they usually lack orientation, know-how and hands-on solutions in line with their current business. In addition, digitalisation services in too many occasions do not take into account the rapid changing innovation ecosystem and the emerging of new technologies. This change requires a modernisation effort to ensure that Europe’s industry is well equipped to overcome the challenges it faces and to stay competitive in global markets. These challenges include the need to develop a truly digital entrepreneurial culture and to stimulate investments in new technologies.

In order to cope with this new environment, it becomes necessary to set the stage for advanced and tailor-made digitalisation services to be provided by innovation agencies for approaching clients with better value propositions that address their actual needs in terms of digital transformation. For that purpose, a digital transformation journey, as part of the company's overall journey to growth, will empower them to better face the challenges of the Single Market. In particular, needs assessment tools should be in place in order to recognise the client’s digitalisation potential and to be able to offer them special advisory services.

The objective of DigiJourney is to enable the participating innovation agencies to exchange knowledge, know-how, and good practices on advanced methodologies and tools for digitalisation assessment to SMEs and provision of customised support services. In particular, the project aims to cover peer learning activities for three advanced digitalisation approaches, which are based on initiatives and tools for an in-depth and contextual assessment of client needs, and the design of a digitalisation journey for SMEs with better value propositions that address their actual needs in terms of digital transformation and allows them to increase their competitiveness thanks to a tailor-made digitalisation support based on digital solutions in line with their current business.

Work performed from the beginning of the project to the end of the period covered by the report and main results achieved so far

The Innovation Agencies participating in the project put forward three advanced digitalisation methodologies, which they apply to SMEs to assess their digitalisation needs and capacities, as well as their potential to adopt digital technologies in order to remain competitive:
- A programme to enhance SMEs’ capacity to go international and innovate through the connection of SMEs with digital enablers that provide them with support for their digital optimisation or their digital transformation, DigitaliseSME. The programme is being conducted by FUNDECYT-PCTEX since June 2018.
- A programme to support SMEs in the process to get the right digital tools for their business, which is composed of two phases: a diagnosis which goal is to generate a digitalisation roadmap for the SME and an implementation phase, Fit 4 Digital. The initiative is being implemented by LXI since January 2018.
- A programme to assess the company's actual performance in digital innovation, compared to the benchmarks provided by companies across the world on a voluntary base, Digital Innovation Quotient. This IMP3rove proprietary tool has been utilised by IPA-SA since October 2017, once the staff was trained on its use by the IMP3rove Academy.

The result of the peer learning activity has resulted in bringing in new added-value service offerings to all organisations. Moreover, a Design Options Paper has been prepared in order to serve as a guideline for other agencies wishing to implement effective digitalisation support services for SMEs.

Progress beyond the state of the art and expected potential impact (including the socio-economic impact and the wider societal implications of the project so far)

DigiJourney has contributed to the following impacts:
1. The number of innovation agencies engage in peer learning activities significantly increases, improving their support services.
Partners engaged in peer learning activities. Each innovation agency had a lack of training and experience in the digitalisation assessment initiatives used by the other two partners. Each partner identified the need to be trained in the use of the other digitalisation services for SMEs in order to bring in new tools and added-value to its own organisation, and to be able provide a bouquet of advanced digitalisation services to its clients.
All three partners are tightly connected to regional and local authorities and participate in main national and European networks gathering innovation support organisations. Therefore, results and best practices acquired within the project were easily shared and diffused within partners’ respective regional, national and EU networks.
2. The results of the peer learning are taken up by EU, national and regional innovation support agencies.
The results of the peer learning exercise were taken up by the participating agencies for improving their techniques in assessing SMEs in the field of digitalisation, and shared with other innovation agencies and business support networks, which will improve client intake digitalisation techniques and related support services. The DOP is a self-standing document made available through different communication channels to all identified target groups.
3. The level of satisfaction of clients increases thanks to a more complete digitalisation approach.
The “Twinning Advance” experience has enabled partners to design a digitalisation journey for SMEs with better value propositions that address their actual needs in terms of digital transformation. This advanced and tailor-made digitalisation support will improve the service quality and the client satisfaction thanks to the increase of competitiveness through digital solutions in line with their current business.

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