Morocco has made considerable progress in digital infrastructure and connectivity, but companies are struggling to fully integrate digital technologies into their operations. According to Badr Ben Laswad, Managing Partner of Yealead, the next challenge is not technological but organizational, requiring companies to integrate digital tools into their processes, skills, and management. With the acceleration of artificial intelligence, this issue has become increasingly pressing for small and medium-sized enterprises.
Despite being widely connected, Moroccan companies are not fully leveraging digital technologies. Data from the Haut Commissariat au Plan (HCP) shows that in 2019, 81% of small enterprises, 97.9% of medium-sized enterprises, and 99.5% of large enterprises had internet access. However, only 59% of companies reported using specialized professional software. This disparity highlights the difference between being connected and being digitally transformed.
Ben Laswad emphasizes that having internet access and using digital tools daily does not necessarily mean a company is digitalized. Many companies have equipped themselves with digital tools but have not integrated them sufficiently into their operations to realize expected productivity gains. The expert notes that the next step is to shift from an equipment-focused approach to a performance-driven one, measuring the concrete impact of digital technologies on companies.
Several factors contribute to companies' struggles to overcome this hurdle, including investment, skills, management, data, return on investment, and cybersecurity. The cost of digital solutions is a significant concern, particularly for small and medium-sized enterprises. However, Ben Laswad stresses that the total cost of ownership goes beyond the initial software purchase, including integration, data migration, employee training, maintenance, and cybersecurity.
The lack of skilled personnel is another significant obstacle. Companies need employees who can understand both the business and technology, master processes, exploit data, and accompany teams through digital transformation. Ben Laswad emphasizes that digital transformation requires hybrid profiles, which can be difficult to find.
Changing management practices and organizational habits is also a challenge. Digitalization often involves formalizing informal processes, centralizing information, introducing performance indicators, and increasing transparency. This can be unsettling for companies built around individual experience and knowledge held by a few people.
Finally, measuring the return on investment in digital technologies can be difficult, as the benefits may not be immediately apparent in revenue. Companies need to set measurable objectives for digital transformation, such as time saved, errors reduced, or improved inventory management. By doing so, they can better assess the impact of digital technologies on their operations.
Key points
- Only 1 in 5 Moroccan companies fully utilize advanced digital technologies.
- The main challenges to digital transformation are organizational, not technological.
- Companies need to shift from an equipment-focused approach to a performance-driven one to realize productivity gains from digital technologies.
