Business Digitization: Where to Start [Complete Guide 2025]

"We need to digitize" - you hear this in almost every company. But what does it actually mean? And most importantly: Where do you start when everything seems important?

This guide gives you a pragmatic roadmap for digitization - without buzzwords, without overwhelm, with concrete first steps.

What Does Business Digitization Mean?

Digitization is more than "moving everything to the cloud." It's about making business processes more efficient, faster, and error-free using digital technologies.

The Three Levels of Digitization:

Document Digitization: Paper becomes digital (invoices, contracts, files)
Process Digitization: Workflows become automated (approvals, orders, reporting)
Digital Business Models: New products and services emerge (self-service portals, digital products)

Most companies start at level 1 - and that's perfectly fine.

The 5 Biggest Digitization Mistakes

Before we get to the "how," here are the most common pitfalls:

Mistake 1: Wanting Everything at Once

"We're implementing a new ERP, CRM, DMS, and project management tool - simultaneously." The result: Overwhelm, resistance, chaos.

Better: One project at a time. Only when that works, move to the next.

Mistake 2: Technology Before Process

A new tool doesn't fix bad processes. It just makes them faster-bad. First understand and optimize the process, then digitize.

Better: Clean up processes before you digitize.

Mistake 3: IT Decides Alone

IT chooses the tool, the department should use it. That rarely works. Users know their requirements best.

Better: Involve departments, IT supports.

Mistake 4: No Quick Wins

Two years of project duration, then the big go-live. By then, motivation is gone and requirements have changed.

Better: Small successes in 4-8 weeks, then expand iteratively.

Mistake 5: Forgetting Change Management

The best tool is useless if nobody uses it. People need time, training, and support.

Better: Bring employees along from the start.

Where to Start? The Digitization Compass

Not every process is equally suited for digitization. Use this matrix:

High Priority (start immediately):

Frequency: Runs daily or weekly
Pain: Massively annoys employees
Effort: Easy to implement
Impact: Saves a lot of time/money

Medium Priority (next):

Runs monthly
Is inefficient but bearable
Needs some preparation
Brings noticeable benefits

Low Priority (later):

Runs rarely
Works reasonably well
Is complex to implement
Benefit is unclear

Top 10 Digitization Projects to Start With

Based on our experience - here are the projects with the best effort-benefit ratio:

1. Digital Invoice Processing

Current State: Invoices by mail/email, manual data entry, paper folders, long approval chains.

Target State: Automatic capture, digital approval, direct booking.

Tools: SAP Concur, Tipalti, Bill.com

Time Savings: 5-10 minutes per invoice

2. Digital Personnel Files

Current State: Paper files in cabinets, no overview, compliance risk.

Target State: Central digital storage, access rights, automatic archiving.

Tools: BambooHR, Personio, Workday

Benefit: Compliance, quick access, less space

3. Digital Contract Storage

Current State: Contracts in various folders, no deadline warnings, difficult search.

Target State: Central storage, automatic reminders, full-text search.

Tools: ContractWorks, PandaDoc, Ironclad

Benefit: Never miss deadlines again

4. Digital Time Tracking

Current State: Excel lists, timesheets, manual transfer.

Target State: Digital capture, automatic analysis, project times.

Tools: Toggl, Harvest, Clockify

Benefit: Accurate project costs, less effort

5. Digital Leave Requests

Current State: Paper forms, signature runs, Excel calendars.

Target State: Online application, automatic approval, calendar integration.

Tools: BambooHR, Gusto, Zenefits

Benefit: Minutes instead of days for approval

6. Digital Onboarding

Current State: Paper checklists, forgotten access, chaotic first day.

Target State: Automatic workflows, all access ready, structured training.

Tools: BambooHR, Workday, custom workflows

Benefit: Better first impression, faster productivity

7. Digital Forms

Current State: Word forms, manual filling, email sending.

Target State: Online forms, automatic routing, data storage.

Tools: Microsoft Forms, Typeform, JotForm

Benefit: Fewer errors, faster processing

8. Digital Approval Processes

Current State: Signature folders, waiting queues, no transparency.

Target State: Digital approval, escalation on delay, full tracking.

Tools: DocuSign, Adobe Sign, custom workflows

Benefit: Days become hours

9. Digital Customer Communication

Current State: Emails in personal inboxes, no overview, lost history.

Target State: Shared inbox, tickets, automatic assignment.

Tools: Zendesk, Freshdesk, HubSpot Service Hub

Benefit: Faster response, no information loss

10. Digital Knowledge Management

Current State: Knowledge in heads, on local drives, hidden in emails.

Target State: Central knowledge base, easily searchable, kept current.

Tools: Notion, Confluence, Guru

Benefit: Fewer questions, faster onboarding

The 90-Day Digitization Plan

A concrete roadmap for your start:

Week 1-2: Analysis

Collect pain points (What annoys the most?)
List processes that could be digitized
Identify quick wins
Inform stakeholders

Week 3-4: Prioritization

Evaluate projects by effort/benefit
Select first project
Define requirements
Evaluate tools

Week 5-8: Pilot Project

Set up tool
Train pilot group
Collect feedback
Make adjustments

Week 9-12: Rollout

Expand to all users
Conduct training
Shut down old process
Measure and communicate success

Digitization Costs

A realistic estimate for typical projects:

Project	Tool Cost/Month	Implementation	Payback
Invoice Processing	$50-200	2-4 weeks	3-6 months
Digital Personnel Files	$3-8/employee	4-8 weeks	6-12 months
Time Tracking	$5-10/employee	1-2 weeks	1-3 months
Leave Requests	$2-5/employee	1-2 weeks	1-2 months
Knowledge Management	$8-15/user	4-8 weeks	3-6 months

Change Management: Bringing Employees Along

The best technology fails without acceptance. Here's how to bring your team along:

1. Communicate Early

Don't surprise on go-live day. Inform during the planning phase.

2. Explain the Benefit

Not "we need to digitize," but "you'll spend less time on annoying filing."

3. Take Fears Seriously

"Will we be replaced?" - This concern is real. Address it directly.

4. Identify Champions

Every team has tech-savvy people. Make them multipliers.

5. Offer Training

Don't expect everyone to understand immediately. Give time and support.

6. Build in Feedback

Users know best what works and what doesn't.

Checklist: Are You Ready for Digitization?

If you can check at least 5 points, you're ready to start.

Conclusion

Digitization doesn't have to be overwhelming. The key lies in:

Start small - one project, one quick win
Process before tool - clean up first, then digitize
Bring people along - change management is not optional
Proceed iteratively - after each success, the next project

Not sure where to start? We analyze your processes and show you the quick wins with the best ROI - pragmatic and without overhead.