Bonaria's digital transformation journey with Fit 4 Digital
The Luxembourg-based construction company found its management tools increasingly inadequate, prompting a move towards digitalisation. This transformation was made possible through Luxinnovation's Fit 4 Digital programme.
Jean-Michel Gaudron
Established in 1954, Bonaria & Frères is now a leading construction and civil engineering firm in southern Luxembourg. Located in Esch-sur-Alzette, the company employs approximately 150 staff and undertakes around 350 projects annually. Their services range from building and renovation to public works, civil engineering, infrastructure projects, roadworks, a 24-hour emergency service, and the maintenance of parks and forests.
When Gérard Thein assumed leadership of the company in 2019, he inherited a robust enterprise with a strong reputation in Luxembourg's construction sector. However, he recognised the need to address outdated management tools that no longer matched the company's daily operational realities.
The needs of Bonaria & Frères
Like many traditional family-run businesses in the construction industry, Bonaria & Frères relied on methods passed down through generations. These methods, while effective in the past, no longer sufficed for a company with 150 employees managing numerous simultaneous projects.
The issue was not merely operational but also structural. In civil engineering and construction, information is vital to every project. Bills of quantities, price quotes, stock management, and site monitoring all depend on the ability to gather, centralise, and share reliable data.
Yet, in an environment where staff retire, change roles, or leave, knowledge stored in their minds or on loose paper vanishes with them. "Everything must be documented. When a worker leaves, if nothing is recorded, all their knowledge goes with them. It's a real loss for the company."
The objective was clear: modernise Bonaria & Frères by 2025 and beyond. With this aim, the company joined Luxinnovation's the Fit 4 Digital programme.
Fit 4 Digital: structuring the digital transformation of Luxembourg SMEs
Fit 4 Digital is designed specifically for Luxembourg SMEs wishing to accelerate their digital transformation without navigating the complex and often opaque IT solutions market alone.
The programme is based on three key steps:
- A digital maturity assessment conducted by an external consultant approved by Luxinnovation, identifying the company's specific needs and opportunities for improvement.
- The creation of a personalised roadmap with a detailed and costed action plan, incorporating solutions best suited to the business.
- Financial support through a grant of €5,000 covering 100% of consultancy costs related to the diagnosis and roadmap phase.
For an SME like Bonaria & Frères, with limited internal resources for digital transformation, this structured support offers a tangible advantage both methodologically and financially.
How did the Fit 4 Digital programme unfold at Bonaria & Frères?
The process was not straightforward. Mr Thein admits that finding the right IT service provider required perseverance. "From a list of fifteen consultants recommended by Luxinnovation, I made several contacts before finally choosing Traxxion. That was the right choice for us."
Changing long-standing habits isn't instantaneous. Gérard Thein, Bonaria & Frères
This selection process highlights one of the programme's concrete benefits: access to a network of pre-qualified service providers whose sector-specific expertise can be invaluable in a field as unique as artisanal construction.
The particularity of Bonaria & Frères lies in its field-based focus. Its teams consist of seasoned workers accustomed to traditional methods. Introducing an ERP (Enterprise Resource Planning) integrated management software in this context cannot be decreed overnight. "You can't change habits instantly. We are field people. We needed a company that could adapt to our business, not the other way around. Traxxion understood that."
The deployment was also delayed by the Covid-19 health crisis, which began shortly after the project's launch, postponing certain implementation phases.
Concrete results: business ERP, structured documentation, and field tools
Implementing the ERP was foundational to Bonaria & Frères' digital transformation. However, beyond the software, it involved a comprehensive restructuring of information management.
Several projects were undertaken concurrently:
- Management of quantities and price offers, central to the construction sector, was integrated into the ERP, with reference libraries created to standardise and expedite quotation preparation.
- Inventory management was streamlined with a dedicated library, reducing waste and redundancies.
- Field documentation tools were introduced: technicians can now input information directly from construction sites, including photos integrated into the ERP.
- The issue of employee departure was partially addressed by introducing traceability for site phases, preserving the company's operational memory.
The programme continues to evolve. On-site measurement digitalisation is currently in development, with ongoing adjustments to best reflect industry realities.
"We are still in the process. And that's normal. Deploying such a tool in a craft construction company takes time. The key is to move in the right direction."
Gérard Thein also acknowledges a common challenge in digital transformation: resistance to change. Even the best-organised employees may continue using their Excel spreadsheets alongside the new tool, effectively duplicating their work. Changing habits takes as much time as it does education.
The relationship with Luxinnovation: support and areas for improvement
Mr Thein was familiar with Luxinnovation before embarking on the Fit 4 Digital programme. He had engaged with the agency through previous aid, particularly the Nei Start scheme, Luxembourg's post-Covid economic recovery plan introduced in spring 2020 to support businesses with investment, innovation, and sustainable transition aid.
However, it was during this digitalisation process that the relationship with the national innovation agency truly solidified. "Beyond the quality of the system and access to the consultant network, our contact with Luxinnovation was frequent at the start of our project, then less so. It might have been beneficial to have more regular follow-ups, ideally on-site, to better define how to proceed once the diagnosis was completed."
I can attest that SMEs are well-supported too! Gérard Thein, Bonaria & Frères
Discussions with the consultant were also highly productive, and Gérard Thein commends the quality of long-term support, as a digital transformation process is lengthy and does not end with the roadmap delivery. "I also note that many companies are unaware of the availability of such support for innovation and digitalisation, as it is often perceived as reserved for larger structures. It's true that managers often juggle multiple roles: company leader, HR manager, buyer, and sometimes even psychologist. They often simply don't have the time to consider it. But I can attest that SMEs are well-supported too!"
Next steps: AI, sustainability, and cybersecurity
Bonaria & Frères' digital transformation is only halfway complete. Thein has already identified the next steps, starting with artificial intelligence. The company is considering leveraging Luxinnovation's Fit 4 AI programme to integrate AI tools directly into its existing IT environment.
Sustainability is also a priority, with a keen interest in the Fit 4 Sustainability programme, aligning with the construction sector's environmental transition challenges.
While logistics management, fleet mobility, and energy efficiency are on the company's "to-do" list, Gérard Thein is also looking forward to the imminent launch of the cybersecurity programme, a concern that became more pressing following a cyberattack on the company. This incident forced the teams to revert to pencil and paper for quantity surveys for an entire week.
He also advocates for better collective learning from feedback. In an ecosystem where many SMEs frequently start from scratch without benefiting from the experiences of others, Luxinnovation could play a unifying role by collecting and sharing feedback from the field.
"Each person only has eight hours of work per day. But with the right tools and support, we can always do better, optimise this working time, and thus focus on what truly matters to us: the field, the teams, the construction sites."
Embark on your digital projects with Luxinnovation
Like Bonaria & Frères, would you like an external perspective on your organisation and digital tools? Fit 4 Digital can help your company initiate or deepen its digital transformation.
Luxinnovation supports Luxembourg's small and medium-sized enterprises throughout their journey, from the initial diagnosis to the implementation phase.
Find out more about the Fit 4 Digital programme and contact our team to assess your potential eligibility.