Small and medium-sized manufacturers are under increasing pressure to adopt digital technologies, improve sustainability, and protect their operations from growing cyber risks. Yet for many, the challenge is not awareness – it’s knowing where to start.
With limited time, resources, and in-house expertise, many SMEs struggle to move beyond early-stage digital initiatives. Disconnected systems, poor data visibility, and uncertainty around investment decisions continue to slow progress, while cybersecurity risks increase as operations become more connected.
As part of the TRANSFORM project – a European initiative led by AIM Centre (Ireland), in partnership with ESTIA Institute of Technology (France) and IESE Business School (Spain), and funded by the European Union – a series of industry-led webinars has highlighted a clear and practical way forward for SMEs navigating these challenges.
Three-stage approach to digital transformation
The sessions point to a simple three-stage approach to digital transformation.
The first stage focuses on purpose – identifying where technologies such as artificial intelligence can deliver real business value. This includes practical applications such as improving energy efficiency, reducing waste, and supporting sustainability targets.
The second stage focuses on implementation. A key barrier for many SMEs is not technology itself, but integration. By connecting data and systems across the production lifecycle – often referred to as the digital thread – organisations can improve visibility, enable real-time decision-making, and unlock value from existing infrastructure.
The final stage focuses on trust. As businesses adopt more connected systems, cybersecurity and governance become critical. Embedding security from the outset helps reduce risk and ensures that digital transformation can scale safely and sustainably.
Together, these insights provide SMEs with a clear starting point: focus on high-impact use cases, connect existing systems rather than replace them, and build security into every stage of the journey.
National AI Studio
Through its work with industry, AIM Centre continues to support SMEs in taking these practical steps, including through the National AI Studio, which provides access to expertise and infrastructure to help organisations explore and implement AI in real-world settings. The centre is currently engaging with industry through its membership offering, with organisations now beginning to come on board and visit the studio as part of this process.
Importantly, the findings reflect AIM Centre’s approach in practice: digital transformation does not need to be overwhelming or require significant upfront investment. Instead, organisations can make steady progress by taking practical, incremental steps that deliver measurable results.
David Bermingham, director of AI from AIM Centre, said: “The key message for SMEs is that digital transformation doesn’t have to be complex to begin with. By focusing on real business challenges and building from what already exists, organisations can take meaningful steps towards becoming more efficient, resilient, and competitive.”
The full webinars are now available to watch back on AIM Centre’s YouTube channel, providing SMEs with ongoing access to practical insights and guidance.
Looking ahead, AIM’s ambition is to build on this work by continuing to support SMEs through accessible learning resources, stronger collaboration between industry and education, and the development of practical tools that help organisations navigate digital transformation with confidence.
