It is evident that the COVID-19 pandemic has disrupted the global economy unilaterally across sectors, with many key challenges arising in the Technology Sector.
This has inadvertently affected the dynamics of how SMBs and start-ups have operated over the decades. With work shifting from traditional to remote and unconventional models, many SMBs has or will have to rapidly adapt to the changing scenarios to sustain their business model.
With large tech giants such as Apple, Facebook, and Google reeling in the unprecedented effects of the global pandemic, it is only apparent that SMBs and start-ups will struggle for the coming quarters, as they brace themselves for arduous hindrances in maintaining business continuity, during these times.
Moreover, with various restrictions on mobility being imposed upon the modern consumer, E-commerce and online shopping is booming. Many businesses will have to completely reinvent their traditional brick & mortar oriented business operation models and transition to building an online brand presence, to compete with established online enterprises and giants like Amazon or E-Bay.
The impediments faced in the procurement and goods value chain have also adversely affected smaller scale SMBs suppliers, with many of their services and products proportionately relying on the smooth functioning of end-to-end chains. With this security vanishing, many SMBs and start-ups have been forced to halt business, with challenges such as reduced workforce, unavailability of competitive supplier options and logistic obstructions adding to the outbound delays, SMBs are already bracing for. Supply chain constraints may also manifest as delays in fulfilling contractual obligations as well as a declining customer affability for many SMBs and start-ups.
However, as supply-chain flow redirects from raw material behemoths such as China and The USA, many organizations have also been looking to innovate and localize demand and analyzing inherent supply-chain risks more efficiently and pragmatically. Small and localized enterprises may find many lucrative opportunities in building brand relationships with global players, as the pandemic fosters a boost in de-centralized communication.
There have been opportunities to thrive for SMBs, through re-discovering new models of delivery in remote working. Besides the obvious benefits of investing, more thoroughly, in their human capital and resources, SMBs and even start-ups, have the illustrious opportunity to embrace, and enter the fold of a large and more globally connected network, through optimized cloud networks, cloud telephony and other interactive tools to achieve heightened visibility and connectivity.
Small to medium scale enterprises may leverage the emerging boom in cloud-based technology and cloud web communications to ensure seamless transfer of intellectual capital – be it ideas or documents.
Similarly, security and encryption-based data protection service providers will complement this large transfer of data traversing through cloud telephony. With a majority of operating workforce communicating remotely, breaches in cybersecurity and malware attacks are also proving to be an emerging threat to small scale companies. To combat this, organizations must consider investing in strong and iron-clad firewall systems.
Industry experts suggest that for start-ups and SMBs to truly absorb critical forward-thinking during crises, it is integral for them to empower their workforce and reorient themselves toward new and innovative models of development, which hinge towards creative remote learning strategies. It is equally essential to harbour conducive and ethical work environments that promote, instead of retard, productivity.
Investing in good business development practices is the need of the hour for organizations in general, especially SMBs. Creative, out-of-the-box and innovative strategic resolutions will ensure business growth and sustainability for SMBs in the future.
The way forward
While the current scenario may seem bleak for the technology sector, it is far from the current reality for SMBs and other small businesses that rely on them. Historically, technological innovations have thrived during crises. New and unique start-ups and SMBs will certainly prove to be disrupters and game-changers in how we perceive anything from- healthcare, to social distancing to employing virtual reality for everyday use, all facilitated due to the innovations in the IT industry. Not only a post COVID economy but if tapped efficiently, the current technological advances holds the high promise of constant and dynamic inventive creativity and renovation.
While the current scenario may seem bleak for the technology sector, it is far from the current reality for SMBs and other small businesses that rely on them. Historically, technological innovations have thrived during crises. New and unique start-ups and SMBs will certainly prove to be disrupters and game-changers in how we perceive anything from- healthcare, to social distancing to employing virtual reality for everyday use, all facilitated due to the innovations in the IT industry. Not only a post COVID economy but if tapped efficiently, the current technological advances holds the high promise of constant and dynamic inventive creativity and renovation.
Because as we globally grapple with the aftermath of COVID, tech has been employed unprecedentedly to manage social distancing as well as reduce human error issues, through AI, robotics and machine learning.
SMBs can tap into these innovations to not only re-organize their business strategy but also envision their future through them.