What are the points for SMEs to work on DX? Introducing three successful examples!

What kind of precautions should be taken when working on DX in small and medium-sized enterprises?

Also, what are the benefits of DX initiatives for SMEs? This time, we will also introduce examples of small and medium-sized enterprises that have actually worked on DX. Please try to work on DX with reference to DX success stories of small and medium-sized enterprises.

Reasons why SMEs should work on DX

DX is an abbreviation for “digital transformation” and refers to making a company better by utilizing data and technology . Simply put, by working on DX, you can reduce work and reduce costs such as personnel expenses.

Therefore, working on DX can improve the working environment. And if you can improve the efficiency of your business, the profits of the company as a whole will also increase. For these reasons, more and more companies are working on DX.

 4 Benefits of SMEs Working on DX

So, what are the benefits of small and medium-sized enterprises working on DX? Here are four benefits.

1. Operational efficiency
2. Improving work comfort by promoting telework
3. Resolving the shortage of human resources
4. Improve customer satisfaction

I will explain each.

(1) Operational efficiency

First of all, you can streamline your work by working on DX . The use of technology can reduce the amount of work done by humans. If you can allocate that amount of human resources and costs to other tasks, you can do your work more efficiently.

(2) Improving work comfort by promoting telework

By digitizing the documents that have been exchanged so far, you can work with one PC. Therefore, the number of times you come to work can be reduced, you can freely choose your working hours, and your work will be easier.

Improving work efficiency will improve employee satisfaction. By working on DX, you can build a better work system.

(3) Eliminate shortage of human resources

By working on DX and promoting telework, we can recruit human resources from all over the country. Since it is possible to secure human resources that could not be secured due to the convenience of the work place, it will lead to a solution to the shortage of human resources.

By working on DX, I think it will lead to the growth of the company.

④Improve customer satisfaction

Through DX efforts, we can collect a large amount of more detailed customer data. By working out marketing strategies based on the collected data, it is possible to develop products that customers need .

If you can deliver exactly what your customers want, your satisfaction will increase for each customer. Better use of data will create opportunities to attract more customers.

How to work on DX in small and medium-sized enterprises

Here are four steps on how to approach DX.

1. Setting goals for DX initiatives
2. Visualization of the current situation
3. Digitalization of operations
4. Evaluate and review initiatives

(1) Goal setting for DX initiatives

First of all, it is necessary to organize the point of “why are you working on DX?” Don’t just work on DX, clarify your purpose and work systematically.

(2) Visualization of the current situation

Once you’ve defined your goals, it’s time to figure out where your company stands today. It is necessary to review the existing system and clarify points to be improved. By clarifying the current situation and goals, you will be able to see the items that should be prioritized .

(3) Digitalization of operations

Digitize what is currently analog. By promoting digitalization, you can reduce the time you spend on each task. You can also reduce costs by reducing the use of paper media .

④Evaluation and review of initiatives

Once you start working on DX, evaluate your efforts regularly. For better DX operation, it is essential to understand the current situation and make appropriate improvements .

3 Successful Cases of DX Initiatives in SMEs

Now, let’s take a look at some examples of small and medium-sized enterprises that have successfully implemented DX. The following three cases are introduced here.

1. Hisano Co., Ltd.
2. Smart Camp Co., Ltd.
3. TATAMISER Co., Ltd.

① Hisano Co., Ltd.

Hisano Co., Ltd. is working on DX with the motto “Working leads to happiness”. Specifically, we use digital technology to make full use of “people, vehicles, warehouses, and data” to realize better logistics.

In addition, by analyzing the data obtained through the digitization of operations, we are promoting cooperation with partner companies, improvement of internal business processes, improvement of drivers’ abilities, and work style reform of employees.

The items that Hisano Co., Ltd. is focusing on and the target values ​​for the next three years are as follows. It can be said that the key to the success of DX is to set specific goals and work on them.

② Smart Camp Co., Ltd.

Smart Camp Co., Ltd. is working to improve the productivity of each individual. In particular, we provide multiple services to support small and medium-sized enterprises that complain that they do not have the IT personnel to tackle DX.

Specifically, we provide attendance management systems, chatbots, and expense settlement systems. There are many systems devised from the perspective of small and medium-sized enterprises, and we regularly hold seminars on DX.

③TATAMISER Co., Ltd.

TATAMISER Co., Ltd. has significantly increased its overseas sales while many tatami traders are struggling. TATAMISER Co., Ltd. is working on application development to process orders from customers more efficiently.

On the app, you can calculate the size of the tatami by entering the area of ​​the room where the tatami will be laid, reducing the time required for layout and quotation creation. We also have a system that can automatically convert the content of emails sent to customers into English based on a template outsourced to a translation company.

By developing and modifying the app in this way, we are able to carry out our work efficiently.

4 issues that SMEs tend to face

What kind of challenges do SMEs face when working on DX? Here, we will discuss the following four issues.

1. budget problem
2. Shortage of human resources
3. Delay in digitization
4. Lack of understanding of digitalization

(1) Budget problem

The first thing that comes to mind is the budget issue. For small and medium-sized enterprises, investing a huge amount of money in a short period of time involves risks. In order to work on DX within a limited budget, it is necessary to do only the necessary efforts .

(2) Shortage of human resources

Another factor is the lack of human resources. Many companies say that they cannot secure human resources who can handle IT. Looking at society as a whole, there are not many human resources who can handle IT, so even if you want to work on DX, it is also true that you will not be able to secure human resources immediately.

(3) Delay in digitization

In addition, many companies have not been able to digitize most of their operations. It takes time and effort to digitize work that has been done analog for a long time.

④ Lack of understanding of digitalization

In addition, there may be a lack of understanding of digitization from upper management. Building a new system requires the entire company to work together.

Solutions in the face of challenges

So, how should we respond to the four challenges I introduced earlier?

(1) Budget problem

In order to work on DX within a limited budget, there is a way to introduce a DX service that can be used with a low budget.

For example, Shinka Co., Ltd.’s “Kaikura” is a service for converting conversations with customers into text and sharing customer information among employees. It can be used with a relatively low budget and can improve the efficiency of customer management.

(2) Shortage of human resources

If there is a shortage of human resources who can handle IT, you can aim for a sufficient effect even by starting with a small digitization. For example, introducing a chatbot on the homepage, and exchanging materials as much as possible with data.

(3) Delay in digitization

As for the parts that have not yet been digitized, it is necessary to take action as soon as possible. Convert documents that are exchanged in paper form into data as much as possible and use IT tools more actively.

④ Lack of understanding of digitalization

When a company works on DX, it is required to change the mindset of the entire company. Therefore, let’s collaborate with other departments and share data instead of working on only one department.

In addition, the understanding of upper management is essential for the introduction of a new system. When presenting the introduction of DX, specifically present the current situation of the company and the purpose of working on DX.

Subsidies for DX initiatives

Many companies give up on introducing DX due to budget and personnel shortages. However, countries and regions have prepared several subsidy systems to solve such problems.

This time, we will introduce two of ” IT introduction subsidy 2021 ” and ” SME digitalization support team project “.

①IT introduction subsidy 2021

The IT introduction subsidy is a subsidy to support the operational efficiency of small and medium-sized enterprises and small businesses. This is a system to support the introduction of IT tools that meet the purpose of the company.

Eligibility for subsidies
SMEs and small businesses There
are conditions set for capital and number of employees for each industry.

Category of subsidy amount
Normal frame (A / B type)
Low infection risk business frame (Special frame: C / D type) Working to reduce
face-to-face contact in order to shift to a business model that responds to the post-corona situation
companies in

(2) SME digitalization support team project

The small and medium-sized enterprise digitalization support team partially supports the introduction expenses of IT experts in order to support the digitalization of small and medium-sized enterprises.

Target of subsidy
Small and medium-sized enterprises / small businesses

summary

This time, we introduced DX approach methods, success cases, and challenges in small and medium-sized enterprises. For companies that want to work on DX but are worried about costs and human resources, try using subsidies or starting with small things.

Let’s use DX that suits your company and connect it to the big development of your company.