Digitalisation levels of innovation management practices – pilot study of service SMEs in Poland

Abstract

For many SMEs innovation is essential to survive in a dynamically changing environment. Technological progress, including in particular the more intense use of digital technologies, increasingly pushes companies to take a fresh look at innovation and also indicates the need for changes in approach in the strategy adopted in order to become and stay innovative and competitive. New management approaches, flexibility of operations as well as product- and service-related innovativeness determines SMEs survival and development. As service SMEs start to compete more openly, rather than locally, their owners and managers have to stay alert and ready for changes. As digitization is beginning the factor which strongly influence how innovation processes are or can be implemented, also service SMEs should be actively aware of how digital transformation affects their environment. Emerging digital tools that aim to support the innovation process also influence its possible modifications, bringing a number of possible benefits and optimisations. The main objective of this paper is to expand the understanding of innovation process digitalization level and intensity in service SMEs, based on the pilot study conducted at the end of 2021 in Poland. The analysis was performed in relation to innovation process model, that included its six general stages. The results summarise the digitalisation score of the sample of 350 companies representing various service sector, and present the overview of innovating digitally practices in reference to general engagement in innovation process. The conclusions are drawn in regards to type and scope of digital tools used to facilitate respective activities included in the innovation management.