Running a business can feel like playing Whac-A-Mole. You spend your day tackling a series of tasks, only to wake up the next day to find more have sprung up. As the to-do list gets longer with each passing day, small business owners are in need of some help. Thankfully technology is here to pick up the slack.
Digitization is the process of introducing new technologies and tools to streamline operations and boost efficiency. It aims to replace many of the tedious, repetitive manual tasks needed to run a business with a digital alternative that saves time and money.
What if:
- Instead of searching through stacks of documentation, you had everything stored digitally in a simple and secure online store?
- Instead of checking your inventory daily, you had an automated piece of software tracking your usage and deliveries to provide real-time updates, letting you know when to place new orders?
- Instead of finding an invoice and writing out a physical check to send to your vendor, you could manage everything through online accounts payable software, paying your bills electronically with reminders to ensure you never get charged late fees again?
Embracing digitization has the potential to transform virtually every part of running a company. As a small business, you may not have the same resources or in-house expertise as the bigger operations. But what you lack in size can be made up by flexibility and agility. Like the proverbial tanker vs. speed boat, it is much easier for a small team to change course and adopt new practices.
So how can you digitize your business?
Set specific goals
With so much enterprise technology on the market, it can be easy to get lost, spending hours researching different solutions and possibilities. Digitization works best when it follows a clear strategy, targeting specific organizational pain points. Start by ranking your worst time sinks, repetitive tasks taking up large chunks of your week that are ripe for a digital replacement. With well-defined goals, you can focus your research phase on solutions that will have the greatest impact.
Get the team onboard and involved
To be successful, digital transformation projects need organizational buy-in. This can be challenging, especially for established businesses with long-term employees who are used to doing things a certain way. Focus on the benefits the new digital tools will bring and ask for input from key stakeholders. Ensure they know digitization is about complimenting existing employees rather than replacing them.
Identify the right solutions
Every vendor presents their technology as the perfect solution. But to get a true understanding, you need to get beyond the glossy marketing material to understand what it’s really like. Ask friends or former colleagues who might have experience using business tools, search for independent reviews, contact vendors with a “request for information” to get any specific information you need, and make use of demos or free trials to get a feel for the user experience. Other factors to consider are your budget, functionality and features you need, vendor reputation, and security.
Consider cloud-based solutions
As a small business, you will likely not have the time and resources to develop the in-house IT infrastructure for on-prem solutions. Therefore, you should only consider cloud-based software that covers those costs for you. The cloud also allows you to access the software from anywhere with an internet connection.
Getting started with digitization
Number one on your digitization to-do list should be eliminating paper documentation. To utilize the array of digital tools on offer, you will need to replace physical copies with digital files and records. Whether it’s employee documentation, contracts, purchase orders, invoices, or internal policies, all of it should be stored digitally, ideally using an electronic document management system (EDMS).
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These solutions provide a secure, accessible, centralized data store for all of your documentation. This is the starting point you can build on top of when introducing other digital tools.
With EDMS or an equivalent online store, you can:
- Improve collaboration by easily sharing documents with relevant parties.
- Give employees different levels of access to maintain security while improving operations.
- Organize files based on the structure and internal processes of your business.
- Search documentation to quickly find what you are looking for.
- Save time with everything you need in a single, easy-to-access, secure location.
Digital tools to consider
So, what tools should you consider after you have a digital store of documents? Listed below are some ideas for small businesses just starting their digitalization journey.
Payment software
You no longer have to physically hand over cash or a check to pay your bills. You also no longer need to navigate your bank’s software to send money where it needs to go. Accounts payable software offers a simple and streamlined solution to B2B payments, allowing businesses to automate much of the workflow while also providing bill reminders. With modern solutions, you can manage who gets to approve payments, quickly upload invoices and extract important information, and even send money using a credit card even if the vendor doesn’t accept them.
Document signing
New employees need to sign a contract during onboarding, businesses offering services need to sign work orders, suppliers need to sign contracts agreeing to the terms and conditions of the transaction, and the list goes on. Rather than sending physical copies back and forth, businesses can improve the whole process using safe e-signature solutions. These digital signatures are simple to use and significantly faster than physical alternatives while keeping your documentation safe and secure.
Inventory management
Keeping track of your inventory using paper is a significantly time-consuming task. What if, instead of physically recording every sale and delivery, you had a simple platform capable of tracking goods as they move through the supply chain? With digital inventory management solutions, you can reduce errors, set up reminders when resources drop below a certain level, and gain visibility over your whole operation.
Reaping the benefits of modern operations
No one runs a business to spend hours manually checking purchase orders and invoices, performing time-consuming stock checks, or wasting time posting checks or contracts in the mail.
With digitization, you can transform your business and reap a range of benefits. Leave the repetitive tasks behind you, and improve efficiency and productivity to boost your profit margins. Not every digital tool out there will be the right fit for your business, but there are certainly some that can make a real impact.
