Digital Transformation Framework for SME
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The document discusses the challenges and needs of Taiwanese SMEs regarding digital transformation, highlighting their low cloud adoption and lack of resources and IT knowledge. It proposes a digital transformation framework tailored for Taiwan, focusing on improving key areas such as customer experience, organization, and technology. The conclusion emphasizes the importance of frameworks in aiding SMEs, noting that they must still take active steps towards their digitalization goals.
Digital Transformation Framework for SME
- 1. Digital Transformation Framework for SME: The Case of Taiwan Tony Lin (CHING-HUNG,LIN) Researcher Industry, Science and Technology International Strategy (ISTI), Industrial Technology Research Institute (ITRI), Taiwan 20210702
- 2. OUTLINES • Challenges and Needs of Taiwan SME • Digital Transformation Frameworks • Proposal for Taiwan • Conclusion
- 3. Challenges and Needs of Taiwan SME
- 4. Taiwanese SMEs are still far from “clouds” Source: IDC. (2020). U.S. Small and Medium-Sized Business: The State of Cloud Adoption. Cisco & IDC. (2020). 2020 APAC SMB Digital Maturity Study. 61% 15% 13% 未上雲 Taiwan U.S. APAC Average Cloud Adaption No plan for Cloud The State of Cloud Adoption in SMEs Challenges
- 5. The challenges of SMEs Source: Cisco & IDC. (2020). 2020 APAC SMB Digital Maturity Study. Income growth is the priority! Income growth is the priority! No money for Digitalization! Need more STEM talents Challenges
- 6. The needs of SMEs Source: ITRI/ISTI Research Usefulness The SMEs need a solution that can benefit their business immediately. Resource The SMEs usually have a tight budget and cannot afford “trial and error”. Knowledge The SMEs usually have no IT-specific knowledge. Challenges
- 7. A Good Framework Can Help Source: ITRI/ISTI Research Usefulness A good framework can help SMEs find their own business goal and set the priority. Resource A good framework can help SMEs spend money on the truly effective solutions. Knowledge A good framework can narrow down the problems of SMEs and solve them step by step. Challenges
- 9. Singapore: Industry Digital Plans Framework Accountancy Food Services Retail Sea Transport Hotel Construction Early Childhood Land Transport Security Training and Adult Education Wholesale Trade Logistics Environmental Services Media Food Manufacturing Source: Infocomm Media Development Authority, Singapore
- 10. Framework Source: Infocomm Media Development Authority, Singapore
- 11. Japan: IT Strategy for SME Framework Strategy Operation Action IT Solution Version & Core Value Turnover Growth Productivity Improvement Business Efficiency CRM SPA SEM SNS Online Training Scheduling System ERP RPA New Customers Organization Improvement Supply Chain Improvement Customer Data Analysis Demand Forecast Online Commerce Brand Awareness Employee Capability HR Managing Purchase, Sales, Inventory Automation Source: IT戦略ナビ
- 12. Japan: SME Digitization Support Team Framework • Uses case study to help SMEs understand how to digitalize • The “support team” will be sent to SMEs to help Source: IT戦略ナビ
- 13. Frameworks for Different Purposes • Singapore: focus on the different capabilities in a long term planning • Japan: focus on the support team service, helping SMEs find their own need. Framework
- 15. Digital transformation frameworks from big consulting firms Proposal Source: ITRI/ISTI Research
- 16. The New Digital Transformation Framework for Taiwan SMEs 16 Five Key Areas & Three Steps Strategy Customer Experience Organization & Culture Operation & Process Technology Digitalization Digital Optimization Digital Transformation 構 面 Improve! Proposal Source: ITRI/ISTI Research
- 17. Conclusion • Digital transformation frameworks can benefit the SMEs which usually lack of resource, time, and capabilities. • Different frameworks serve different purposes. • A framework is like a diagnosis certificate. You still need to see a doctor and take some medicine by yourself.
- 18. Thanks! For more information or discussion, Pease find: ebsinnccu@gmail.com