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Why AI is no longer science fiction for SMEs


On October 16th, 4Manager released a very interesting report on the digital landscape and AI adoption by Italian companies.

It took me some time to read it all: it’s packed with useful data and reflections for anyone leading an organization in the age of AI. I recommend downloading it and reading it in full.

In this post, I’ll share some interesting points I found, along with my personal reflections, because, I must say, it really sparked more than a few ideas for me.


(Note for international readers: data are about Italy but... it's almost the same all over the world!)


Midjourney che si impegna a interpretare i titoli dei miei post

The Report in a Nutshell (at the usual risk of oversimplification)

Artificial Intelligence (AI) is no longer just a privilege of large companies, but a technology that even small and medium-sized enterprises (SMEs) in Italy can concretely leverage.

According to the 2024 4Manager report, AI is emerging as an accessible growth tool, despite the challenges that come with adoption.

The report highlights that, if adopted strategically, AI can become a true competitive advantage for SMEs, which, thanks to their greater agility and less complex structures, have the potential to integrate AI solutions faster than larger companies.

However... here are some significant figures from the report:

  • Only 4.4% of Italian SMEs are already using AI solutions, highlighting a vast untapped growth potential.

  • A lack of internal technical skills is one of the main obstacles, with 55.1% of SMEs reporting this issue.

  • High costs are a barrier for nearly half of the companies, accounting for 49.6%.

Challenge

Percentage

Lack of skills

55.1%

High costs

49.6%

Quality and availability of data

45.5%

Incompatibility with existing systems

40.4%

Regulatory uncertainty

40.1%

The challenges for AI adoption in Italian SMEs are not few. Here are the main barriers reported in the study.


Tools and Strategies to Start with AI

These are the points I think emerge from the report (but if you disagree, let me know).

1. Start with a Pilot Project

The 4Manager report suggests that SMEs should start with pilot projects, such as introducing chatbots for customer support or marketing automation tools.

I'm not entirely on board with this point. The pilot project, or better yet the MVP (Minimum Viable Product, meaning a prototype that includes only the essential features to test an idea with real production data—different from a PoC or Proof of Concept, which is mainly to demonstrate the technical feasibility of an idea), should come after understanding better what AI can do. Read what I wrote on AI-PLUG: here and provocatively here, then, as I always say, ask the AI first.

2. Invest in AI Skills

Summarizing, the report says: "For many SMEs, investing in staff training is essential for AI adoption, reducing dependence on external providers and increasing autonomy in project management. Collaborating with Digital Innovation Hubs can offer SMEs the technical and training support needed to develop these skills."

That makes sense. But generative AI, with the revolution of prompts, has lowered barriers. Just ask an AI what it can do for you. For example, you can use ChatGPT to explore how AI can support you in various aspects of your work and start brainstorming. Here is a GPT that I have fine-tuned over time, and it might give you some inspiration.

The necessary skills will come later, once you have a clearer understanding of the landscape.

3. Take Advantage of Incentives

"The report also highlights that tax incentives, similar to those of Industry 4.0, are crucial for supporting SMEs in AI adoption. These incentives help reduce initial implementation costs, lowering one of the major economic barriers. And now we also have the PNRR."

This… let's not forget it. But getting started doesn't require huge investments 🙂


Why is AI a Unique Opportunity for SMEs?

As noted in the report, SMEs—and in Italy, if we extend the definition to companies with 3 to 50 employees, we're talking over a million—I believe there is unanimous agreement on the following points. We just sometimes forget it 🙂

1. Agility and Speed of Implementation

SMEs, thanks to their leaner organizational structures, can adopt and customize AI solutions faster than large companies.

The lack of bureaucracy allows SMEs to experiment with new solutions and adjust implementations in response to immediate changes or needs.

(Let me be more direct: with the speed and readiness for change that SMEs have, changing processes and adopting AI can be done at a pace unimaginable for a larger company. And how many opportunities can this bring?)

2. Access to Ready-to-Use AI Solutions

Through AI-as-a-Service (AIaaS) platforms, SMEs can adopt ready-made AI solutions without the need for complex infrastructure or high initial investments.

Simply put: There are tons of ready-to-use solutions that allow you to start with simple implementations and use AI as a 'super intern' who can assist you in everyday life.

Starting to use AI daily, even generalist tools like ChatGPT & co, is not a big cost. And you’ll soon realize how much work you can delegate to it.

3. Flexibility and Innovation in Niche Markets

SMEs operating in niche sectors can customize their products or services using AI in a targeted way. Often SMEs have great subject matter experts: discovering what they can do with AI, on their own, could lead to process improvements or, even better than large companies, provide highly personalized services and added value, often with results that were previously unthinkable.

Always keeping in mind the ethical implications and the trouble that can come with these tools.

So, quicker and better!


Are We Going to Stay the 'Tail-End' Again?

Just saying that we have tools at our disposal (concrete, accessible, disruptive tools that, even though they come with some challenges) used by only a very few companies (mainly due to a lack of technical skills and high costs) implies an invitation to 'play defeated'.

I’m a bit tired of statistics pointing out that Italy, or certain sectors, are lagging behind. What bothers me isn’t the data itself—it’s an indisputable fact—but the whining that usually follows.

Why don’t we try to react positively instead of falling into resignation and self-pity?

These figures highlight a complex situation, but one full of opportunities.

In the report, I read about tons of specific advantages that SMEs can gain from AI adoption, with tools available today that we couldn’t even conceive of two years ago.


So what?

The potential of AI for Italian SMEs is enormous, and the data from the report shows that with the right approach, even small companies can access this technology to achieve real competitive advantages. From reducing operational costs to increasing productivity and competitiveness, AI offers SMEs concrete tools to become more innovative and resilient. It’s time for Italian SMEs to seriously consider adopting AI and discovering how this technology can bring added value and sustainable growth in the long term.

The first recipe? Roll up your sleeves and start.

Ask an AI like ChatGPT, Claude, or Gemini to teach you something, participate in meetings or workshops about it, read blog posts or even books (I’ll stop before I self-promote 🙂), and form your own opinion.

Use AI for 15 minutes a day to do new things. Ask it to ask you questions or to teach you something specific, like the fundamentals of digital marketing. Or, give it an email you’re writing and ask it to help make it clearer and more persuasive. Show it one of your proposals and ask it to pretend to be the client and evaluate it. Summarize the most critical points of that funding notice that’s been in your mailbox for a month and is about to expire. Explain what you have in mind to your collaborators with a presentation, or a video, made with the help of AI. Have it analyze product reviews you found on social media and suggest how to respond to the most critical ones. Ask it to help you put down in writing the things you need to teach new hires, using their language and more advanced tools. Ask it in which other sales channels it would see your products distributed, with what costs and what benefits. I’ll stop—explain who you are and what you do to this GPT and get ideas from it too.

AI is no longer science fiction for SMEs—start, please! (so next year the report will talk about a surge in AI usage by SMEs!)

Do you agree?

Max

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