Digital Transformation

Digital Transformation


The 78% of SMEs consider digitalization as “very relevant”, but only 22% commit a minimum of investment


We are living a revolution. The digital transformation makes many companies more profitable and competitive, allowing them to lead their respective sectors and facilitating their global implementation. This transformation, in industries, is already known as Industry 4.0.


Unfortunately, in many cases the revolution is only theoretical, since the incorporation of companies is very unequal. Especially in the segment of small and medium-sized enterprises (SMEs), among which are between 10 and 100 employees.


There are multiple reasons that lead these companies not to address these projects and to continually delay their digital transformation, making the gap grow respect to their competitors. Among the reasons analyzed is the lack of investment capacity, the fear of failure, lack of training, not knowing where to start, shortage of qualified personnel, dependence on other companies, the general economic situation or the priority of other tasks day to day.


There is a quote commonly attributed to Einstein that says madness “doing the same thing over and over again, but expecting different results.” We know that the recipe for success goes through innovation, but the business world has not yet taken the reins in this way. This is shown by the data: according to a survey conducted this 2019 by the international consultancy Price Waterhouse Coopers among more than 2,400 medium-sized companies in the EU, 78% of Spanish entrepreneurs consider digitization very relevant, but only 22% of these companies in the coming years, it plans to allocate more than 5% of its total investments to digital transformation.


It’s like seeing the ears of the wolf, but deciding to camp in the open field. On top of that, the commercial tensions between the big enterprises make competition more difficult for medium and small companies, thus innovation is more relevant in this situations.


It seems that, eeven so, the change will come precisely with the smaller companies, since the investment can be minimal, comparable to something as simple as putting water machine dispensers. It is fertile ground for change: today, the success rate of these projects, when they are made with the right provider, is around 99%.


Part of the strategy starts with training. There are companies that hire engineering services to digitally transform a line, being autonomous to replicate this change to the rest, thus getting the investment to be minimal. It is the well-known “do-it-yourself” (DIY), but with the continuous support of expert staff when they get stuck or the workload stops their advances. The benefits of this type of digital transformation are enormous: much lower transformation costs, greater autonomy of the company’s team and therefore greater adoption of these technologies and methodologies, which ultimately is the biggest challenge of digital transformation.


The road is also smoothed by obtaining results in small phases. The return on investment in small projects allows financing the expansion to other lines, so the financial impact is really eliminated, beyond the initial pilot.


In any case, we must be aware that digitization is no longer a simple challenge. Technology is available to every company, including SMEs, which provides greater flexibility to compete regardless of its size or geographical position.


About edinn


Founded in 2004, edinn is becoming one of the world’s most popular Industry 4.0 Platform as it is used by thousands of customers around the world.

edinn is the base platform for any Industry 4.0 project, because it includes the necessary “core” elements and, on them, using the favorite development environment, it allows to solve any need through its standard API. It incorporates standard tools for Production Control (Manufacturing Execution System, MES), Production Optimization  using Operational Intelligence, Big Data and Machine Learning.

edinn produces the platform and relies on the associated companies (Partners) for the implementation, thus providing double guarantee and greater service. Partner companies have a complete back-end to develop and manage their Industry 4.0 business line.


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