Strategic transformation: SMEs leave much potential untapped
The new study "Strategy Development in the Digital Age" by the School of Business at the University of Applied Sciences Northwestern Switzerland FHNW, Strategylab and other project partners shows that many SMEs make too little use of potential for strategic transformation. Based on the results of the study, a practical guide with many checklists and strategy templates for the own digital transformation was therefore developed.
The study "Strategy development in the digital age" - already the third Swiss study on digital transformation published by the FHNW - shows with over 1,800 participants that only half of SMEs (but more large companies) have a digital strategy. Many SMEs lack a formulated strategy that sets out the digital direction for the next few years. According to the head of the study, Prof. Dr. Marc K. Peter, this value is too low - especially in a highly competitive, global environment driven by new technologies.
The need for strategic transformation
The study further shows that only half of Swiss SMEs conduct a market analysis at least once a year, and a quarter never do so. More than half of the SMEs assume that the corporate strategy will have to be adapted in the next two to three years due to the ongoing digital transformation. One-third of SMEs assume that competitors' digital strategies threaten their own business. This is also a high proportion of companies that feel threatened; and too small a proportion of companies that have a digital strategy.
According to the authors, these study results demonstrate the need for strategic discussions, ideas and plans in Swiss companies. This is also indicated by the fact that just under half of Swiss SMEs have already modified their market or marketing positioning, at least in part, in the last two years.
Key insights into strategy work in Swiss SMEs
- 24% of SMEs never conduct market analysis, 24% do so every 2-3 years or less frequently, and 52% do so at least once a year.
- 50% of SMEs have a digital strategy (7% separately, 43% as part of corporate or IT strategies).
- 56% of SMEs need to further adapt their business strategies due to the digital transformation.
- In 45% of SMEs, the Corona crisis has an impact on business strategy.
- 34% of SMEs feel threatened by competitors' digital strategies.
- 44% had to partially or completely adjust their market/marketing positioning.
- 44% of SMEs are not satisfied with their digitization progress.
Practical guide for strategic transformation
Based on the results, the project team has developed a available free of charge Practical guide with a strategy process and a strategy check (can be carried out on www.digital-strategy-check.ch) for the digital age was developed. The basis for this is the ACT method (Analyze, Create, Transform), which the Strategylab supplemented with many case studies, checklists, a workshop canvas and templates for strategy work in companies.
The research project was supported by various partners (Bank WIR, Mobiliar, AECS Swisscard, Lenovo, Rahn+Bodmer, Swiss Export, KMU Next, digitalswitzerland and the Gewerbezeitung) and authors.
