When implementing digital transformation, it is crucial to understand its foundations and define clear goals that will bring lasting results. Before we enter the world of digitalization, it is therefore important to touch on some questions that will better clarify the process of digitization and digital transformation itself, as well as the potential obstacles that may lie in wait for us on the way to success.
We discussed these topics in an interesting interview with our sales consultant, Leon Fabčič Flis.
What are the most common pain points that lead potential customers to you, i.e. to sales?
In most cases, it is the case that companies grow beyond a certain "magical limit" and directors or owners can no longer be present in all processes. Of course, they want the processes to continue running smoothly, or to have insight into their operation. Many directors have told me that after the workday is over, they spend another 4 hours or more every day just on administration. This is something they don't want or cannot afford. That's when most of them reach out to us - when they are overwhelmed with too many activities. We help them establish more streamlined and simplified processes. Digitalization significantly reduces administrative work, minimizes errors, and makes all data accessible in real-time from anywhere they choose.
What are the biggest obstacles for companies in terms of digitalizing their operations in the Slovenian market? How do these obstacles differ from other markets, such as Croatia?
In Slovenia, we often encounter concerns that employees will strongly resist digitalization. At this point, we must assure customers that we understand their concerns but emphasize the desire for better results, tracking all documents digitally, and establishing material traceability. These are advantages that bring significant benefits to every business, as they enable growth and further development. In Croatian market, I would highlight that companies are more cautious and need more time to trust us. Perhaps it's because they are a few years behind Slovenia in this area and are encountering a similar digitalization project for the first time.
When is the right time to start with digital transformation? Is there an "optimal time"?
Ideally, a company should start its digital transformation before it reaches that "magic threshold" where processes can no longer be managed mentally or on paper. That is the right time for a company to digitalize and move on to the next phase of digital transformation that suits their needs.
What advice would you give to those who are still hesitant about giving digital transformation a chance?
I can provide a specific example. Before using Tom PIT, our average customer has about 45 % efficiency. Our research has shown that in the first 12 months after production digitalization, we can increase their efficiency by 3.67 % (which effectively amounts to 8.1 %). For a company with ten million euros in revenue, this means an annual increase of €81,000.00, or €810,000.00 over ten years. This is just considering the digitalization of production; we haven't even addressed maintenance, planning, logistics, quality, and other processes yet.
How does the sales process work at Tom PIT?
Every customer is unique, and we are well aware of that. It's important to meet in person, discuss their wishes and needs, and show them the aspects that interest them. We take pride in providing a DEMO presentation based on a sample production order. Our goal is for customers to clearly envision the user experience and how our platform can streamline their processes.
Before commencing work, each customer commits to our Terms of Service (ToS) agreement. Based on the agreement, we "reserve" available resources (e.g., a UX designer, project manager, developer, and so on) for each customer, and we start working the following month. The initial phase of digitalization typically concludes in 2-3 months. After this phase, Tom PIT is integrated into the company and its processes.
Many directors and business owners are interested in what they gain from digitalization and digital transformation.
From my experience, most directors are interested in:
- Understanding the minimal cost of production.
- Assessing the efficiency of employees and job positions.
- How they can access data in real-time from anywhere (e.g., even when not at the workplace).
- Tracking the material flow with a single click.
- Gaining better visibility into the company's processes.
Finally, how would you explain that the right "mindset" is a prerequisite for digitalization and digital transformation? How does this manifest in customers?
Tom PIT completes nearly 70 digitalization projects every year. We are present in almost every industry in six different countries. We see and hear a lot. Customers who are open-minded and willing to learn from best practices elsewhere tend to complete their projects more quickly and with better results. We've noticed that decisive directors and managers are the most receptive. Those who understand why they're entering digitalization and trust experts during project execution, namely us. We take pride in saying that a clear customer vision and the uncompromising competence of the Tom PIT team are the recipe for success in digitalization and digital transformation.
