Skills development is one of the key success factors for the future of micro small and medium-sized enterprises (MSMEs). At a time when digitalisation, skills shortages and new market requirements are triggering profound changes, continuous learning is not a luxury but a necessity. According to the OECD (2023), 77% of European MSMEs consider the shortage of skilled workers to be one of the greatest risks to their competitiveness. A lack of skills not only leads to lower productivity, but also hinders innovation, adaptation and growth.

Small businesses in particular depend on committed, versatile employees. They thrive on personal responsibility, craftsmanship and close cooperation. But these strengths can only be effective if knowledge and skills are regularly expanded. Skills development creates security, trust and motivation – it enables employees to actively shape change rather than just react to it.

For owners and managers, this means creating a culture that promotes learning: continuing education is then seen not as an "additional task" but as a natural part of everyday work. It promotes innovation, strengthens competitiveness and increases resilience – i.e. the ability to survive crises and recognise opportunities in new developments.

Since around 90% of all European companies are MSMEs, skills development in this area is of enormous macroeconomic importance. Investments in knowledge and learning have an impact far beyond the individual company: they contribute to the economic stability of entire regions and help to secure employment.

Skills shortage: 77% of European MSMEs see a lack of skills as the biggest risk.

 Adaptability: Micro, small and medium-sized enterprises are flexible, but they need to continuously acquire new skills.

Securing the future: Further training increases innovation and competitiveness.

90% of European businesses are micro, small and medium-sized enterprises

Severe shortage of skilled workers → risk to competitiveness

 MSMEs score points with quick decisions and flexibility

  Employee skills = key to innovation and growth

In small businesses, leadership often takes place "on the fly". Many owners see themselves more as specialists than as leaders. Decisions are made spontaneously and tasks are assigned as they arise. However, this informal style of leadership carries risks: a lack of structure can lead to misunderstandings, overload or the feeling that no one really has an overview of the situation.

According to the OECD (2023) and Cedefop (2023), leadership roles in MSMEs differ significantly from those in large organisations. While clear hierarchies and formalised processes dominate in corporations, leadership in small businesses is strongly personalised. Proximity to employees is a major advantage – it enables rapid communication and flexible solutions. At the same time, however, responsibility is concentrated: owners often combine three roles in one person – specialist, manager and organiser.

Leadership in MSMEs is often only consciously perceived when problems arise – for example, in the event of conflicts, increasing stress or a lack of motivation. Clear, appreciative and structured leadership can counteract this. It ensures transparency, reliability and orientation. Studies show that employees who receive clear feedback, understand their role and feel taken seriously are more motivated and remain loyal to the company for longer.

Leadership in everyday life is therefore not about controlling as much as possible, but about consciously shaping things. It is about setting priorities, communicating, sharing responsibility and building trust.

• Leadership in small businesses is often informal ("incidental")

• Owners combine specialist, leadership and organisational roles in one person

• Leadership often only becomes apparent when problems arise (e.g. conflicts, overload)

• Clear leadership increases motivation, loyalty and efficiency

• Good leadership has a direct impact on employee satisfaction and business success

What does leadership mean in MSMEs?

Leadership in MSMEs means taking responsibility – not only for economic results, but also for people, processes and learning culture. According to Fraunhofer IAO (2023), leadership in small businesses is particularly complex because it is always operationally integrated: Managers are involved in the work themselves and are also responsible for planning, motivation and development.

Essentially, good leadership in MSMEs encompasses four dimensions:

1. Providing orientation – through clear communication, realistic goals and comprehensible decisions.
2. Creating motivation – by taking employees seriously, involving them and promoting their strengths.
3. Recognising and exploiting opportunities – promoting entrepreneurial thinking, initiating innovation and making optimal use of resources.
4. Weighing up risks – balancing security and the courage to change.

An effective leader recognises that their role is not to do everything themselves, but to create an environment in which others can take responsibility. This also means placing trust in others and seeing mistakes as learning opportunities.

In this sense, leadership is a learning process – it develops through experience, reflection and a willingness to develop oneself. Leaders in MSMEs therefore need not only specialist knowledge, but also emotional intelligence, strong communication skills and the ability to learn on a daily basis.

• Taking responsibility for people and processes

• Providing guidance→ through clear communication and priorities

• Creating motivation→ Involving and empowering employees

• Recognising opportunities and exploiting them entrepreneurially→ even small improvements count

• Weighing up risks→ Finding a balance between security and innovation

Competence profile of a manager in MSMEs

Managers in micro small and medium-sized enterprises need a special skills profile that differs significantly from that in larger organisations. While management functions are often clearly separated in corporations, owners and senior employees in MSMEs combine several roles in one person: they are simultaneously specialists, organisers, coaches, networkers and often also strategic decision-makers. This complexity requires a combination of technical, social and entrepreneurial skills.

The key characteristics include, above all, decision-making ability, resilience, empathy, strong communication skills, innovation orientation, a sense of responsibility and a willingness to learn.

• Decisiveness means remaining capable of acting even when information is incomplete and taking responsibility for the decisions made. In micro small and medium-sized enterprises (MSMEs) in particular, decisions often have to be made quickly and pragmatically – they require courage and sound judgement.
• Resilience refers to the ability to deal with stress, uncertainty and setbacks. Managers must be able to radiate stability, even when conditions change at short notice.
• Empathy and strong communication skills are essential for building trust, resolving conflicts constructively and motivating employees. In small teams, direct contact is the most important basis for cooperation.
• Innovation orientation encompasses the willingness to embrace new ideas and actively shape change. Small businesses benefit particularly when their managers are open to experimentation and further development.
• A sense of responsibility refers to an awareness of operational, social and ethical responsibility. Leadership in MSMEs always means being a role model.
• Finally, willingness to learn is the basis for sustainable development – it ensures adaptability to new technologies, markets and forms of cooperation.

The competency profile of a good manager in MSMEs is therefore not static, but dynamic. It grows with experience and changes with operational requirements. The development process is never complete; rather, leadership emerges through the interplay of knowledge, attitude and behaviour. A reflective, learning-oriented manager not only strengthens the performance of their own business, but also contributes to the learning culture of the entire organisation.

• Decision-making ability → quick decisions despite uncertainty

• Sense of responsibility → for the company and employees

• Innovation orientation → actively promoting new ideas

• Resilience → withstanding stress and responding flexibly

• Willingness to learn → open to new methods and technologies

• Empathy & communication → building trust

Entrepreneurial thinking

Entrepreneurial thinking is a key competence in MSMEs – both for owners and for senior employees. It describes the ability to recognise opportunities, weigh up risks and develop creative solutions to operational challenges. This is not exclusively about classic business management or business administration knowledge, but rather a mindset characterised by initiative, responsibility and creativity.

Managers with entrepreneurial thinking observe market trends, recognise customer needs at an early stage and actively seek opportunities to create value. They act proactively rather than reactively and see challenges as opportunities to learn. In small businesses in particular, entrepreneurial thinking often means finding innovative ways to work with limited resources – for example, through cooperation, flexible structures or new business models.

The European Commission (2023) emphasises that entrepreneurial thinking is crucial for the resilience of MSMEs. It combines economic goal orientation with social responsibility. This includes both calculating risks and exploiting creative scope. Entrepreneurial managers know that sustainable success is not achieved through short-term profits, but through long-term relationships, continuous innovation and responsible action.

Entrepreneurial thinking in MSMEs therefore also means involving the entire team in the development process. Employees are encouraged to contribute ideas, make suggestions and take responsibility for specific areas. This creates a culture of co-creation that promotes both innovation and identification.

In summary, entrepreneurial thinking means

• Recognising opportunities, even small ones.
• Using resources creatively instead of seeing scarcity as an obstacle.
• Understanding customer perspectives and using them as a guideline.
• Consciously managing risks and learning from them.
• Thinking long-term to future-proof the business.

This attitude is not an innate talent, but the result of conscious development and constant reflection. Managers who promote it create a basis for innovation, competitiveness and sustainable growth.

• Recognising opportunities → Observing market trends
• Calculate risks → Weigh up costs and benefits
• Be creative when dealing with scarce resources
• Adopting the customer perspective

Leadership skills do not come from titles, but from continuous learning, reflection and application in everyday life. Especially in MSMEs, where structures are often flexible and processes informal, choosing the right methods is crucial for developing leadership systematically.

Among the most effective tools are practical, workplace-oriented approaches that combine learning with action. Cedefop (2023) refers to such methods as work-based learning approaches – they enable managers to learn directly in a professional context, reflect on decisions and review their impact.

Mini-coachings, for example, are a simple but very effective tool. Instead of immediately providing employees with solutions, managers ask specific questions that encourage self-reflection and problem-solving. This method strengthens both personal responsibility and team competence.

Peer learning – i.e. exchange among peers – has proven particularly effective in networks of small businesses. Regular dialogue with other managers opens up new perspectives, enables the sharing of best practices and helps identify one's own development potential.

Journaling, i.e. the daily written reflection on decisions, experiences and observations, is also an effective tool. It promotes self-awareness and learning consciousness. Just a few minutes a day are enough to recognise patterns in one's own actions and learn from them in a targeted manner.

Feedback sessions are another key tool. Regular feedback – both from employees and colleagues – creates transparency, improves communication and strengthens trust. It is important to maintain an appreciative attitude: feedback should not be used to evaluate, but to develop.

Finally, case studies play an important role in leadership development. Analysing real-life business situations reveals complex interrelationships and teaches managers to reflect on decisions systematically.

These methods are particularly suitable for MSMEs because they can be implemented with few resources but still have a lasting effect. They make leadership learnable – in everyday life, in dialogue and through experience. This means that leadership does not become an abstract theory, but a living practice that is constantly evolving.

Exercise: "Self-reflection on leadership"

Task: Self-reflection on your own leadership behaviour (individual work, approx. 10 minutes)

Answer the following questions in writing to analyse your current leadership behaviour:
– How do I currently make decisions?
– Do I delegate responsibility or do I do too much myself?
– How do I react to mistakes or unexpected problems?
– Which three characteristics best describe my leadership style?

The aim of this exercise is to consciously examine your own leadership behaviour, recognise personal patterns and identify areas for development. The answers can serve as a basis for later feedback discussions or personal learning goals.

Typical pitfalls in leadership

Leadership in small businesses is characterised by dynamism, pragmatism and personal proximity – qualities that bring many advantages, but also harbour specific risks. One of the most common pitfalls is the mixing of technical and leadership tasks. Many owners and managers act primarily as experts in their field and take on management tasks "on the side". This creates a structural imbalance: operational urgency takes precedence over long-term development.

Another common problem is a lack of delegation. In small businesses, it is common for key decisions to depend on one person. This increases the workload, reduces employees' confidence in their own effectiveness and complicates succession processes. Leadership then becomes a bottleneck rather than an enabler.

A lack of communication is also one of the main stumbling blocks. Decisions that are not clearly communicated or justified quickly lead to uncertainty and frustration within the team. This is often exacerbated by time pressure or habit. The result is misunderstandings, mistakes or declining motivation.

Another critical issue is excessive demands due to a lack of prioritisation. Many MSMEs work under high pressure to perform and have to keep an eye on customers, finances, personnel and organisation at the same time. When everything seems important at once, leadership loses clarity and direction.

According to Fraunhofer IAO (2023), unclear role allocations are one of the most common reasons for tension in small businesses. Responsibilities are often defined implicitly rather than explicitly. Employees then do not know exactly who is responsible for what, and important tasks remain undone.

Finally, there is a risk that leadership will be understood as a purely administrative function rather than relationship building. Good leadership requires emotional presence, listening and trust. If these aspects are neglected, distance and demotivation quickly arise, even in small teams with a family atmosphere.

Professional leadership in MSMEs therefore means being aware of these typical pitfalls and actively counteracting them: through clear roles, transparent communication, realistic delegation and a conscious separation between operational activities and leadership tasks.

Opportunities through good leadership

Good leadership is one of the strongest factors influencing the success, innovative strength and crisis resilience of micro, small and medium-sized enterprises. It provides orientation, enables participation and forms the framework for joint learning. Studies by the OECD (2023) and the European Commission (2023) show that leadership skills are directly related to employee satisfaction, productivity and economic stability.

In well-managed companies, there is clarity about goals, tasks and expectations. Employees know where they stand, feel involved and experience appreciation. This has a direct impact on motivation, loyalty and willingness to perform. A positive leadership and communication culture has been shown to lead to lower staff turnover and fewer absences due to illness.

Furthermore, good leadership promotes innovation. In an environment based on trust, open communication and a willingness to learn, new ideas are accepted and implemented more quickly. Employees feel confident in making suggestions or expressing criticism because they know that their contribution is taken seriously. This increases collective problem-solving skills – a decisive competitive advantage for small businesses.

Another aspect is increased efficiency through structured processes. Good leadership ensures clear responsibilities and communication channels. Decisions become more transparent and processes more comprehensible. This reduces friction losses and facilitates cooperation, especially in times of high stress.

Good leadership also strengthens a company's resilience to crises. In difficult situations – such as economic downturns, staff shortages or restructuring – guidance and trust are crucial. Managers who communicate transparently, act calmly and develop solutions together with the team can cushion uncertainties and create stability.

Last but not least, good leadership contributes to a sustainable organisational culture. It promotes personal responsibility, a willingness to learn and mutual respect. When employees feel that their opinions matter and that development is encouraged, a culture of commitment and identification emerges.

Good leadership is therefore much more than a personal skill – it is a strategic success factor. It acts as an amplifier for all other resources within a company: expertise, technology, networks and market knowledge only reach their full potential in an environment characterised by clear, appreciative and competent leadership.

Change in leadership does not begin with big concepts, but with small, consistent steps. Especially in MSMEs, where time and resources are scarce, it is clear that continuous micro-steps have a more lasting effect than rare, extensive measures. Good leadership develops in everyday life – in short conversations, conscious decisions and lived appreciation.

The following steps can help you to improve your own leadership skills in a targeted manner and establish a routine of reflection:

1. Incorporate five minutes of self-reflection every day.
   A short pause for thought at the end of the working day – e.g. with the question: What did I do well in my leadership role today? Where could I have acted differently? – creates awareness of your own behaviour and strengthens learning processes.
2. Consciously delegate a task.
   Leadership means trust. Assigning a small but clearly defined task to an employee promotes personal responsibility and at the same time relieves the burden on management. It is important not only to transfer responsibility, but also to relinquish it.
3. Hold a short feedback meeting.
   An open, honest five-minute conversation can clear up misunderstandings and strengthen trust. Employees should feel that their opinion counts and their contribution is recognised.
4. Communicate decisions clearly.
   Transparency reduces uncertainty. When decisions are explained in a comprehensible manner, acceptance increases – even for less popular measures.
5. Celebrate a small success together.
   Recognition has a stronger effect than criticism. Small rituals – e.g. having a coffee together, a quick thank you in a team meeting – promote motivation and cohesion.
6. Conduct a mini reflection session with the team once a month.
   Regular, short discussions on questions such as "What is going well? What can we improve?" promote openness and continuous learning within the team.

These steps are easy to implement, require no additional resources and yet have a profound effect. In its recommendations on skills development in MSMEs, the European Commission (2023) emphasises that "continuous small learning steps generate more sustainable change than one-off training measures".

Practical example from an MSME: 

A bakery with 12 employees introduced weekly brief meetings.

→ Result: clearer distribution of tasks, fewer mistakes, higher motivation.

Leadership in the everyday life of MSMEs

In a craft business, the introduction of weekly team meetings led to fewer misunderstandings and greater adherence to deadlines.

What does leadership mean in MSMEs?

A small retail business developed a new weekly schedule based on a clear distribution of roles, which resulted in better customer service.

Competence profile of a manager in MSMEs

In a family business, the conscious delegation of tasks led to a reduction in the owner's workload and a stronger team.

Methods & tools for leadership

A bakery introduced monthly feedback sessions, which led to more initiative among trainees.

Typical pitfalls in leadership

A hairdressing salon lost an employee because feedback meetings were not held.

Opportunities through good leadership

In a small carpentry workshop, the introduction of a clear division of roles led to a 15% increase in productivity.

Why teams are important

Teams form the supporting structure of every micro small medium-sized enterprise. In MSMEs, where work processes are closely interlinked and communication channels are short, successful collaboration is a decisive factor for success. According to the OECD (2023), teamwork and cooperation skills are among the most important future skills in European MSMEs.

A well-functioning team has a direct impact on productivity, motivation and innovation. Where trust and openness prevail, ideas emerge more quickly, conflicts are resolved constructively, and employees take responsibility for common goals. Teams create stability in times of change and promote mutual support – especially in small businesses where the variety of tasks is great and individual absences are quickly felt.

Teamwork in MSMEs therefore means more than just cooperation. It is an expression of an attitude: taking responsibility together, sharing knowledge and achieving results together. A stable team culture ensures resilience, cohesion and lasting learning ability – it is the foundation on which businesses remain successful in the long term.

The basics of successful teamwork

Successful teamwork is based on clear structures, mutual trust and appreciative communication. These three elements are central to every business, regardless of size or industry. Trust forms the basis: only those who can rely on others are willing to take responsibility and communicate openly. According to Fraunhofer IAO (2023), trust is the strongest predictor of team performance and job satisfaction.

Clear roles and responsibilities are equally important. When everyone knows who is responsible for what, there are fewer misunderstandings and tasks are carried out more efficiently. In MSMEs, a simple overview of responsibilities is often sufficient to create transparency and orientation.

Another key factor is appreciation. Teams function well when achievements are made visible and contributions are recognised. Small gestures – a thank you, praise or conscious involvement in decisions – strengthen belonging and commitment.

Finally, common goals and transparent communication are essential. Teams that regularly exchange information and keep their goals in mind develop a high level of self-motivation. This creates cohesion, clarity and reliability – the foundations of a sustainable team culture.

Key competencies for good teams

Strong teams are characterised by a combination of technical, social and emotional skills. While technical knowledge forms the basis for performing tasks, social skills are crucial for the quality of collaboration. According to Cedefop (2023), teamwork, communication skills and conflict resolution skills are the skills that are most prominent in successful MSMEs.

The most important key competencies include communication skills, empathy, reliability, willingness to cooperate and conflict management skills. Good communication means actively listening, openly sharing information and clarifying misunderstandings at an early stage. Empathy promotes mutual understanding and creates trust – a central prerequisite for making decisions together.

Conflict management, on the other hand, means addressing differences of opinion without jeopardising relationships. Especially in small teams, the balance between objectivity and personal respect is crucial. Willingness to cooperate is demonstrated by sharing responsibility, coordinating tasks and finding solutions together.

In MSMEs, these skills lead to greater stability, flexibility and creativity. Teams that learn together instead of working side by side respond more quickly to new challenges and develop solutions based on experience and mutual trust.

Communication skills→ Listening, giving feedback

Empathy→ Respond to others, accept differences

Willingness to cooperate→ working together instead of against each other

Conflict resolution skills→ Identifying and solving problems early on

Goal orientation→ Shared focus

Methods & tools for teamwork

Effective teamwork is created through structures that promote exchange, transparency and shared responsibility. In MSMEs, even simple methods and tools can have a big impact. Proven approaches include regular team check-ins, where tasks and progress are reviewed in short meetings (e.g. 10–15 minutes per week). These provide an overview and ensure continuity.

It is also helpful to establish a feedback culture in which praise, criticism and suggestions for improvement can be expressed openly. Constructive feedback increases trust and willingness to learn.
Knowledge management tools – whether analogue via a whiteboard or digital via applications such as Trello, MS Teams or Slack – support transparency in everyday work. All team members can see at a glance what is being worked on and where support is needed.

Cooperation-oriented forms of learning, such as small joint projects, promote a sense of responsibility and strengthen identification with goals. The European Commission (2023) and EAEA (2023) emphasise that participatory learning methods, in which all participants are actively involved, significantly improve the quality of cooperation. It is not the tool itself that is decisive, but its consistent use: methods only work if they are regularly maintained and are part of the daily team routine.

1. Regular team check-ins (e.g. 15 minutes per week)
2. Establish a feedback culture → Express praise and criticism in a structured manner
3. Knowledge management → Whiteboard or digital tool for open information
4. Collaboration tools → Trello, MS Teams, Slack (also usable for small businesses)
5. Team development through small projects → everyone takes responsibility

Practical steps for team development

Team development is an ongoing process that requires planning, communication and trust. Especially in MSMEs, where changes often have to be implemented immediately, clear, structured steps help to strengthen collaboration in a targeted manner.

A first step is to clearly define roles and responsibilities. All team members should know what tasks they are responsible for and where there are interfaces. Equally important is the joint clarification of goals: goals must be clear, realistic and understandable for everyone.

This is followed by establishing communication channels – whether through short daily coordination meetings, messenger groups or weekly meetings. Transparency creates security and promotes accountability. Regular moments of reflection, in which team members talk openly about successes, difficulties or ideas for improvement, support the learning process.

Team development also means making successes visible. Celebrating progress together, whether big or small, promotes motivation and cohesion. This turns a working group into a real team that sees itself as a unit and achieves goals together.

Exercise: "Team reflection"

Reflection is an effective tool for making team processes visible and identifying potential for development. It supports open exchange, strengthens mutual understanding and helps to improve working methods in a targeted manner. Especially in MSMEs with small teams, short, regular team reflection sessions can contribute to noticeably better communication and greater personal responsibility.

Task: Team reflection (approx. 15 minutes)

The entire team meets for a structured reflection session. Each person answers three key questions in turn:

1. What is going well in our collaboration?
2. Where are there obstacles or points of friction?
3. What specific changes can we make to work together more effectively and enjoyably?

The results are collected on a flipchart or whiteboard. The team then selects a specific measure to be implemented over the next four weeks (e.g. introduction of a fixed weekly meeting, clearer distribution of tasks or feedback session).

Opportunities for MSMEs through strong teams

Strong teams are a key success factor for micro small and medium-sized enterprises. They combine individual skills with shared responsibility and create an atmosphere in which learning, trust and motivation can grow. According to the OECD (2023) and McKinsey (2022), companies with stable, cooperative teams achieve higher productivity, lower staff turnover and faster adaptation to market changes.

This strength is particularly evident in MSMEs: small teams have short decision-making processes and can respond flexibly to new requirements. When employees are allowed to take responsibility, support each other and contribute ideas, a culture of joint creation emerges. This not only increases efficiency, but also employee satisfaction and loyalty.

Good teamwork also promotes innovation. Open exchange leads to creative solutions and the continuous transfer of knowledge. In an environment characterised by mutual appreciation, employees dare to try new things and contribute their own suggestions. This creates a dynamic, resilient team culture that strengthens the long-term competitiveness of MSMEs.

Challenges in small businesses

Despite many advantages, small businesses face particular challenges when it comes to teamwork. One key problem is limited staffing levels: when only a few employees are available, the absence of individual members of staff quickly leads to overload. This increases the pressure on the team and on managers to distribute tasks flexibly.

Another critical issue is the multiple roles of many employees. In micro, small and medium-sized enterprises, employees often perform different functions at the same time – for example, customer contact, organisation and production. Although this versatility promotes learning processes, it can also lead to role conflicts if responsibilities are unclear.

Communication also plays a central role. In small teams, it is usually informal, which has advantages in terms of speed but also carries risks: important information can be lost or misunderstood. A lack of coordination can easily lead to misunderstandings and tensions.

Hierarchies and personal relationships can also be challenging. When the team leader is also a colleague in day-to-day business, it is difficult to balance closeness and authority. Finally, time and resource pressures are constant companions of small businesses, which often means that structural team development is put on hold in favour of short-term tasks.

In the long term, however, MSMEs benefit from addressing these challenges openly. A clear distribution of roles, structured communication and conscious reflection help to leverage the strengths of small teams and avoid overload.

Sustainable team development is based on clear routines and recurring communication processes. It does not have to be a complex programme – the key is to embed certain principles in everyday life. The following checklist summarises key points that have proven particularly effective in MSMEs:

1. Clear roles and responsibilities: Everyone knows what tasks they are responsible for. Overlaps and gaps are checked regularly.
2. Common goals: The team pursues a common understanding of priorities and results.
3. Regular communication: Short coordination meetings, weekly check-ins or digital tools ensure the flow of information and transparency.
4. Feedback culture: Praise and criticism are expressed openly, appreciatively and promptly.
5. Knowledge sharing: Experience and expertise are shared, e.g. through short learning sessions within the team.
6. Shared moments of success: Even small steps forward are made visible and appreciated.
7. Conflict resolution: Tensions are addressed early on in order to maintain trust.

These simple but effective routines contribute significantly to the stability and motivation of a team. The European Commission (2023) emphasises that small, continuous steps have the greatest effect on the quality of collaboration – especially in micro small and medium-sized enterprises, where learning processes are closely linked to everyday work.

The practical examples illustrate how successful teamwork in small businesses is achieved through trust, clear roles and regular exchange formats. They show that structured communication and common goal setting are crucial for motivation, productivity and cohesion.

Why teams are important

At a car repair shop, a new 10-minute "morning meeting" led to less duplication of work and clearer responsibilities.

Fundamentals of successful teamwork

A café team defined clear responsibilities for service, kitchen and cash register → less stress and satisfied guests.

Key competencies for good teams

In a start-up, conflicts were defused by a short feedback session every Friday.

Methods & tools for teamwork

A 5-person architecture firm used an online tool for task distribution → less duplication of work.

Practical steps for team development (part 2)

A craft business introduced a monthly "learning breakfast" where employees shared new information.

Team reflection exercise

In a metalworking company, this exercise helped to reveal tensions between trainees and skilled workers.

Opportunities for MSMEs through strong teams

An IT start-up reduced its resignation rate by 25% after systematically promoting teamwork.

Challenges in small businesses

In a small bookshop, the lack of team meetings led to chaos when it came to holiday cover.

Why upskilling is crucial

In micro small and medium-sized enterprises, the world of work is changing rapidly – digitalisation, skills shortages and increasing customer demands require continuous development. Upskilling, i.e. the targeted expansion of existing skills, is thus becoming a key success factor. According to the OECD (2023), over 70% of MSMEs consider continuing education to be a necessary prerequisite for their competitiveness.

In micro small and medium-sized enterprises, employees often take on multiple tasks. This versatility requires a willingness to learn and a flexible mindset. Individual learning and development plans help to structure continuing education processes and adapt them to real operational needs. Learning thus becomes a strategic part of everyday work – not just a reaction to problems, but a means of actively shaping the future.

Digitalisation, skills shortages and new customer requirements → constant need for learning

In MSMEs, employees often take on multiple roles → Versatility is a must

Individual development plans help to structure learning processes

Learning = strategic success factor, not just a "stopgap solution"

What does upskilling mean?

Upskilling means expanding and deepening existing skills. It is not exclusively about learning new things, but about specifically updating existing knowledge and adapting it to changing requirements. The practical relevance is crucial: learning should take place directly in the work context in order to ensure motivation and transfer.

A successful upskilling process combines formal learning – such as seminars, online courses or workshops – with informal learning in everyday work. Methods such as learning by doing, mentoring or peer feedback strengthen self-efficacy and a culture of learning. Upskilling thus not only increases individual competence, but also the future security of the entire company.

Expanding and deepening skills → not only learning new things, but also strengthening existing skills

Designing practical learning → directly applicable in everyday work

Combination of formal learning (courses, seminars) and informal learning (learning by doing)

Upskilling increases the future security of companies

Process for designing learning plans

A structured learning plan ensures that development measures remain targeted, realistic and verifiable. The process comprises five key steps:

1. Needs analysis: Which skills are currently lacking in the company or will be needed in the future? A brief skills gap analysis helps to set priorities.
2. Goal definition: Learning goals must be specific, measurable, achievable, relevant and time-bound (SMART).
3. Planning measures: Selecting suitable forms of learning – face-to-face, digital, peer learning or micro-learning – depending on time and resources.
4. Implementation: Learning should be integrated into everyday work in a step-by-step manner, for example through short learning units or accompanied practical tasks.
5. Evaluation: Progress and learning outcomes are regularly reviewed and documented in order to optimise learning processes.

This process makes learning development transparent and motivating – for learners and managers alike.

Skills gap analysis → Which skills are currently lacking?

Set learning goals → Formulate them clearly and SMART

Plan measures → Select suitable learning methods

Implement → small steps (micro-learning)

Evaluation→ Regularly check progress

The selection of suitable methods determines the success of individual learning plans. Micro-learning, job rotation, learning partnerships and mentoring are particularly effective in MSMEs.

Micro-learning enables learning in short units (5–10 minutes), ideal for everyday work. Job rotation allows employees to temporarily move to other areas to gain an understanding of how things fit together. Learning partnerships promote collegial learning: two people accompany each other in their development process. Mentoring, on the other hand, combines experiential knowledge with targeted support – a method that works particularly well in small businesses.

Digital platforms such as Moodle, LinkedIn Learning and Coursera can provide additional structure to learning processes, but only offer added value if they are supplemented by real-life practical experience. Learning remains most effective when it is directly anchored in the work context.

Micro-learning: 5–10 minute learning units every day

Job rotation: Employees temporarily switch departments

Digital learning platforms: Moodle, LinkedIn Learning, Coursera

Learning partnerships: employees exchange knowledge in tandem

Mentoring: experienced employees accompany new ones

Practical tips for MSMEs

Further training in small businesses must be simple, feasible and results-oriented. The following principles have proven successful:

• Keep learning goals small and specific to make progress visible.
• Plan learning times realistically – ten to fifteen minutes per week can be sufficient.
• Consider the strengths and interests of employees to promote motivation.
• Link learning closely to everyday work – new knowledge should be immediately applicable.
• Make learning successes visible, for example through short team updates or a learning journal.

Small steps ensure sustainability. The EAEA (2023) emphasises that forms of learning integrated into everyday life lead to lasting skills development, especially in small businesses.

Practical tips for MSMEs

Formulate learning objectives in small steps.

Allow 10–15 minutes of learning time per week.

Take strengths and interests into account.

Closely link learning to everyday work.

Make progress visible (e.g. learning diary).

Advantages for MSMEs

Targeted skills development brings measurable benefits to both employees and the company. Individual learning plans allow skills to be developed according to need, employees feel supported and stay with the company longer. This creates skilled worker development "from within" – reducing dependence on external recruitment.

In addition, continuous learning increases the company's adaptability. MSMEs that systematically embed learning processes respond more quickly to market changes and secure their competitiveness. At the same time, their capacity for innovation grows: employees contribute new ideas, think in a more networked way and take on more responsibility for quality and processes.

Skills are developed in a targeted manner and in line with requirements

Skilled worker development "from within" → less external dependency

Employees are more motivated and stay with the company longer

Companies become more adaptable and future-proof

Exercise: "My next learning step"

Learning development is successful when it becomes concrete. A simple but effective method is to consciously set your next personal learning goal.

Task: "My next learning step" (individual work, approx. 10 minutes)

Each person formulates for themselves:

1. Which skill would I like to improve in the next three months?
2. Why is this skill important for my work?
3. What three concrete steps will I take to achieve this?

The results can then be discussed in a team or at the next employee appraisal meeting to secure support and feedback.

Practical tips for learning plans in MSMEs

To ensure that learning plans do not fail due to a lack of time in everyday life, they should be streamlined and flexible. Small, realistic steps help to make progress visible. Learning times can be integrated into breaks, before the start of work or as part of short team meetings.

Simple visualisation methods – e.g. a whiteboard with individual learning goals or a digital learning diary – also increase transparency and motivation. Peer support, for example through learning partners or tandems, ensures that learning remains continuous. External offerings such as short seminars or specialist events can be used to supplement learning on an ad hoc basis, but should be chosen carefully and with clear objectives in mind.

Plan small, realistic steps

Integrate learning into everyday life (e.g. 10 minutes a day)

Make learning progress visible (e.g. learning journal, whiteboard)

Utilise collegial support

Supplement external offerings in a targeted manner

Challenges in implementation

Despite all the advantages, implementing individual learning plans in small businesses is associated with challenges. Lack of time is the most common obstacle: day-to-day business often leaves little room for further training. Financial resources or a lack of suitable learning opportunities can also complicate the process.

In addition, there is a risk of overload – too many or overly ambitious learning goals quickly lead to frustration. Successful learning requires realistic planning and regular monitoring of progress. Managers should take care to support learning processes and highlight small successes in order to maintain motivation.

Lack of time → Learning is often pushed aside in everyday life

Limited budget for external training

Difficulty finding suitable courses

Risk: Overwhelmed by too many learning objectives

Exercise: "My next learning step"

A clearly structured learning path helps to maintain an overview and steer learning processes in a targeted manner. The following checklist can serve as a template:

1. Identify your own strengths and learning needs.
2. Formulate a concrete, realistic learning goal.
3. Select appropriate learning methods and resources.
4. Set aside time for learning in your daily routine.
5. Regularly document and reflect on your progress.
6. Actively seek feedback and support.

Those who consistently follow these steps will establish learning as an integral part of their corporate culture – regardless of size and industry.

Identify your own strengths and learning needs

Formulate a specific learning goal

Select a suitable learning method

Set aside time in your daily routine

Document and reflect on progress

The practical examples illustrate how learning processes can be implemented in MSMEs in a way that is relevant to everyday life. Through simple, individually tailored learning plans and regular reflection, companies promote personal responsibility, skills development and long-term employee retention.

Why upskilling is crucial

A craft business introduced an internal "learning journal" for employees to make small learning progress visible

What does upskilling mean?

In a small IT company, an employee was trained as a data protection officer instead of hiring external consultants

Process for designing learning plans

A care company developed individual training plans for trainees → more self-confidence and better exam results

Methods & tools for learning plans

An automotive company trained apprentices through job rotation → better understanding of overall processes

Benefits for MSMEs

A hotel business trained reception staff in social media marketing → Attracting new guest groups

Exercise: "My next learning step"

In a small IT team, everyone formulated learning goals → motivation through mutual support

Practical tips for learning plans in MSMEs

A small painting company set aside 10 minutes of learning time per day → increased knowledge of digital tools

Challenges in implementation

A small bakery was only able to incorporate learning time early in the morning so as not to disrupt daily business

• Leadership, teamwork and learning are the three central pillars of successful competence development in MSMEs.

• Strong leadership promotes motivation, trust and innovation within the company.

• Well-functioning teams increase productivity and resilience – through clear roles and open communication.

• Targeted learning and development plans ensure future viability and retain employees in the long term.