Digital Revolution is taking the industrial segment by storm. After the second industrial revolution in the 20th century, the digital revolution now is causing a paradigm shift in which industries work. Both the services and manufacturing segments have been affected by this. The key activities that we see in today's change are IoT, Robotics, Bots etc. which are reducing the manpower requirements in companies but at the same time increasing productivity. SME's need to embrace Digital quickly. Manufacturing industries will need to identify their requirements for automation. It can be about implementing automated robots in their manufacturing line or embracing digital to improve their marketing. Often it is seen that factories are not to keen to adopt new technology because they feel that it can disturb their normal activities. However, this can be disastrous and competitors can move ahead quickly.
SME owners if they are not too confident of taking-up these challenges can work with business transformation consulting providers who have knowledge in automation. They can help them with an assessment of their operations by conducting a feasibility study consulting assignment and then based upon the results of the study, appropriate actions can be taken.
The scenario is almost the same for the services sector. If we consider the IT service providers, their traditional model of Time and Material (T&M) is passe. Clients are not ready to bill them on the number of resources working on the project. On the other hand clients are will to pay a higher margin for helping them adopt Digital Technologies. One of simplest examples of digital revolution is the adoption of chat bots for answering common queries of customers. The large customer support teams of banks will be significantly reduced in size to handle only Level 2 and Level 3 support queries. Small companies also need to adopt digital for functions such as marketing, HR solutions and project management solutions that are available on cloud.
The high cost of ownership is no longer applicable today because customers can buy solutions on a pay-per-use basis. Organization's need to start small, iterate and then move ahead with the plan.
With so much said, it depends on the roadmap that companies are ready to adopt towards their digital journey. SME’s need to create their Business Plan and shape-up their plan for the next 3 to 5 years horizon. A Digital focused Business Plan will help SME's to remain ahead of the curve and scale-up their operations. Digital revolution is still in early stages but progressing rapidly and many companies are moving quickly to adopt the same. However, industries need to take a structured approach in their Digital adoption. The staff needs to be trained to work in the new environment. This block or fragmented approach will reduce one time investments and create unnecessary doubts in the minds of workers. The option should always be there to integrate the different fragments so that at the end of the day we have a holistic Digital organization that runs on high efficiency.