Partnerships are becoming increasingly important, particularly for small and medium-sized enterprises, but also for large corporations. This is because an increasingly globalised world, with ever-larger players, is putting small businesses under significant pressure in the market. However, through partnerships, SMEs too can grow to become major players. Our guest, Matthias Glahn, CEO of the software manufacturer BMD GmbH, believes in the power of cooperation. In conversation with Martin from hsp, he explains the benefits of genuine partnerships – and the role that digitalisation plays in this.

Matthias Glahn is the managing director of the BMD GmbH, the German subsidiary of the Austrian software manufacturer BMD SYSTEMHAUS GesmbH. BMD’s portfolio is divided into two main areas: tax consultancy and small and medium-sized enterprises. To complement its own range of services, BMD has entered into an OEM partnership with hsp. The collaboration began several years ago when BMD realised that it could not develop everything in-house. There is now a great deal of trust between the two companies. For example, BMD and hsp will be exhibiting together at upcoming trade fairs. Matthias sees many reasons for this, such as shared target groups and synergy effects.

The two software manufacturers deal with many of the same issues. At present, this concerns property tax. But documentation also plays a major role, particularly given the many radical changes in the economy brought about by the pandemic. Matthias notes that many siloed solutions have emerged over the past two years. It will take several years to sort it all out and get things back on track. Another area is further training. The topic of Digitalisation consultancy is becoming increasingly important. From the BMD’s perspective, it makes sense to make use of the hsp Academy’s programmes in this regard.

From technical discussions to cooperation

But it is not just hsp and BMD that are working together. A number of organisations that share the same target groups meet monthly in the digital discussion group „TaxTech-Runde“. Time and again, there is an overlap in topics and interests. Over the years, this has given rise to numerous collaborations between them, from which everyone benefits. Closer collaboration between different specialists also helps to combat „pseudo-digitalisation“, as Matthias calls it. Printing out a file, sending the printout by post so that it can be scanned at its destination, is not digitalisation, but simply daft.

What is Matthias’s view on sustainability reporting? Matthias replies that some large clients are already addressing the issue. However, he also says that small and medium-sized enterprises are currently not paying any attention to it. The changes would affect the company directly, which is why the issue is incorrectly categorised under tax consultancy. For his own company, he is actively considering specific measures to minimise its carbon footprint. In the digital sphere, the main focus is on electricity consumption, which can be addressed, for example, by installing a photovoltaic system on the roof. Measures with a slightly broader scope include building new, sustainable and energy-efficient premises, introducing remote working, organising car-sharing schemes and much more.

Digitalisation as an ongoing mission

But what is it about digitalisation that fascinates Matthias so much that he has been working on it for a quarter of a century? Back then, Matthias was already working in the tax consultancy sector. Both in law firms and in businesses, he began to scrutinise and optimise processes. This started with retailers’ invoices, followed by stock levels and suppliers. Essentially, it has always been – and continues to be – about the transition from analogue to digital to automated. In law firms, Matthias still sees many processes that could be digitised. At present, there is a shortage of everything there, particularly staff. Digital solutions could help to remedy this. The first step would be to bring in an external digitalisation consultancy that is thoroughly familiar with the legal sector.

Even though the word Digitalisation Although many people are already fed up with hearing about it, Matthias believes the topic will be with us for quite some time yet. This is because circumstances – such as regulatory requirements or market demands – will continue to drive digital development ever further. No one can be forced to prepare for the future. However, Matthias also sees BMD’s clients as partners. The collaboration simply works well, says the experienced expert. As a result, the clients reciprocate this feeling and go along with it.

Question rather than tick off

What has really happened over the past two years? Matthias has observed that, for many law firms, the topic of digitalisation has been mentally ticked off the list. They have implemented a number of measures, such as setting up a cloud server for documents, digitising the sending of client information and introducing digital tools here and there. Despite this general fatigue, the expert recommends taking a closer look at the processes and seriously positioning the firm for the future. He also makes a strong case for process documentation, which can serve as a roadmap for progress. After all, reality is not reflected in a feeling, but in documentation – in black and white.