The skilled trades industry doesn't have a reputation as a digital pioneer. However, a Bitkom study shows that a good half of all German skilled trades businesses already use new technologies as a matter of course.
The majority of the 502 craft businesses surveyed by Bitkom (53 percent) use digital applications and technologies. This compares to 45 percent last year. The use of digital applications has thus increased by 18 percent year-on-year.
Cloud computing (27 percent) is used most frequently, followed by smart software (13 percent), which, for example, automatically allocates working hours according to project status, and tracking systems for machines or equipment (12 percent). One in ten companies uses predictive maintenance using sensors and data analysis. Further down the list are 3D technologies (7 percent), drones (5 percent), and robots (5 percent). Bitkom Managing Director Niklas Veltkamp says:
"Digital technologies can make everyday work easier, save time, and simplify processes within companies enormously. The opportunities are enormous—everyone should seize them and leverage the potential of digitalization for their company."
Only one in eight sees digitalization as a risk
The majority of skilled trades businesses have a positive attitude toward technological developments. Two-thirds see digitalization as an opportunity in principle. More than half believe that digitalization contributes to securing their company's survival.
In contrast, more than half also say they see digitalization as a challenge. 36 percent report problems with the digital transition, and 13 percent even view digitalization as a risk. Karl-Sebastian Schulte, Managing Director of the Central Association of German Skilled Crafts, says:
"It is important that all businesses address the topic of digitalization in order to remain competitive in the market in the future. We must and will provide even greater support to our craft businesses in implementing digitalization measures."
Craft businesses demand state support for further training
German skilled trades businesses plan to spend an average of €2,110 on digital hardware, software, and services this year. A good three-quarters of respondents consider high costs to be the biggest obstacle to digitalization. Almost half of businesses say they cannot afford many digital applications.
Other issues concerning craft businesses regarding digitalization include concerns about IT and data security (74 percent), a lack of digital skills among employees (65 percent), and inadequate internet access (53 percent). One in four craft businesses therefore believes that digital skills in training and continuing education should receive greater government support.
