How the Digital Context Transforms Leadership in SMEs

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jrineakter01
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Joined: Sun Dec 22, 2024 6:37 am

How the Digital Context Transforms Leadership in SMEs

Post by jrineakter01 »

How can an SME manager leverage digital skills to lead his or her company?
The digital age is transforming every aspect of our lives, and business leadership is no exception. The changes that this era is bringing about and the opportunities it is opening up are providing SMEs with new capabilities. It allows them to be more agile and adapt more quickly than large companies.

However, they are also faced with situations that require an innovative and flexible approach. And it is at this point that I find one of the biggest barriers: the mentality or rather the lack of it.

Last week I was at an event where the speaker was talking about spectacular innovation projects. I couldn't stop thinking that this kind of thing was only possible in big companies and usa phone numbers list
with big budgets. I had fallen into that limiting mindset!

Great innovations do not only depend on budget. Of course, it is always a limiting factor, but innovation is a way of thinking, it is a way of being.

The same goes for everything else. If we start with a self-limiting mindset, we become our own worst enemy. Let's see if I can convey this idea to you, taking it to the leadership of managers or general directors of SMEs. For more articles of this type, you can access my page on marketing for SMEs .

Are there differences between digital and traditional leadership?
When I asked ChatGPT about this, he made the typical approach that breaks with what came before. As if the digital leader were something different from the traditional one (reading the content, he spoke to me about trivialities). I don't think so! A leader is a leader. Now and 100 years ago. What has changed is the context and the tools at our disposal.

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Digital transformation has changed the way SMEs are managed, and this is both a problem and a challenge for SME managers.

If you run an SME, we need to talk to you about the skills that would be good for you to have and/or develop.

While the foundations of leadership remain the same, the context and tools available to leaders have evolved significantly.

What skills should an SME manager have to lead his company towards growth?
Changing mindset: adaptability and flexibility.
This is the first one. I see it frequently with my clients. In a world (that of SMEs), where many things are done “because we have been doing them that way all our lives”, the manager who has an open mind to better ways of doing things and knows how to recognize his limitations (very different, almost the opposite of self-limitation. It is not the same to say: “that is for large companies”, than “I don’t know how to do such a thing, but I will find a way to do it”), is the one who is able to adapt and take advantage of the digital context to make his company grow.

I am lucky enough to work with such a manager almost every day, and it is wonderful to see how intelligent he is, openly recognizing his limitations and knowing how to look for other paths and/or help to find them.

This is difficult in a large company, where it seems that managers must be capable of anything (they must know how to do everything, whether they actually know how to do it or not).

Leveraging technology to increase productivity
Sometimes the famous digital gap between digital natives and immigrants, as overused as the topic may be, is an obstacle that is difficult to overcome (unless you have the right mindset that has nothing to do with your digital skills).

But what seems clear is that technology improves productivity.

Basic technology skills : You don’t need to be a technology expert, but it is essential to understand digital tools and how they can be applied in business. This includes everything from using collaboration platforms to analyzing data to make informed decisions.
Focus on innovation and creativity : fostering an environment where new ideas are welcomed and experimentation is encouraged. Google is an example of this with its 20% time off policy, which allows employees to dedicate 20% of their work time to personal projects, thus encouraging innovation.
If you improve communication and encourage collaboration, you will increase productivity.
To do this, you can rely on tools that make it easier. It is important to use the tool that your employees will be able to use best or are most accustomed to using, and not impose one on them that forces them to create new habits and requires training. The more fluid it is, the better.

Platforms for Communication and Team Management : Communication is faster and can be more effective using digital tools. Platforms like Slack and Microsoft Teams make collaboration easier and keep the team aligned, no matter where they are physically located.
Virtual meetings : Video conferencing has become an integral part of daily work, allowing teams to stay connected and collaborate in real time, regardless of their location. Tools like Zoom and Google Meet are essential for holding effective meetings remotely.
Keeping your team united and motivated is one of the keys to improving results
As I mentioned when talking about creating a positive work environment , the motivation and unity of work teams eliminates friction and improves results. As a note to what has been said in this article we can add:

Regular meetings and constant feedback : It is crucial to hold regular meetings (without going overboard!), to ensure that all team members are aligned and can give and receive continuous feedback. This not only improves productivity, but also helps to identify and resolve problems quickly.
Using surveys and feedback tools : Implement surveys to collect feedback and improve team management. Tools like SurveyMonkey and Typeform are very useful for achieving this anonymously.
Assume that remote work is a fact
The pandemic has changed the way we work. We were able to see that the company could function (more or less well) with everyone working remotely, and now it has become a requirement. We have to adapt. I think this works for people with a certain level of commitment and professionalism, but giving some flexibility in this regard is good for motivation.
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