Dutch SMEs Must Embrace AI to Boost Productivity

A recent report, Status of the small and medium enterprises (SME) (Staat van het MKB), published by the Dutch Comité voor Ondernemerschap and featured in the Financieele Dagblad, highlights a pressing issue: Dutch SMEs are falling behind in innovation, which is limiting their productivity growth and widening the gap with larger corporations.

In the past decade, SME labor productivity grew by only 3%, compared to 11% for large companies. This gap is not only a national problem but also an international one, as Dutch SMEs are losing ground to competitors in countries like Germany and Denmark.

This lack of innovation is a critical issue. According to the report, the solution lies in embracing technological advancements, especially artificial intelligence (AI). Despite growing awareness of AI’s potential, many SMEs perceive it as complex, risky, and difficult to implement. This perception needs to change. Stakeholders such as the Dutch government (through the Nederlandse AI Coalitie), VNO-NCW, investors, and the tech industry must take action to actively promote AI adoption among SMEs.

As an entrepreneur, AI strategist, and chairman of LexGenius AI with extensive experience in the SME market, I regularly engage with these stakeholders. While there is clear interest in adopting AI, the "how-to" remains a significant hurdle. To address this, it is essential to showcase the tangible benefits of AI. Companies like LexGenius AI and other innovators are demonstrating successful applications of AI across various sectors, highlighting the significant advantages and long-term rewards.

It’s time for SMEs to adopt the mindset: "Think big, start small, and scale fast." Experimentation will be key to success. The tech industry stands ready to support SMEs in this journey, helping them innovate, improve productivity, and reclaim their competitive edge on the global stage.