VSE / Small and Medium Enterprises: The Tech Revolution Has Arrived

Most companies are actually small businesses. In France, SMEs account for 99.8% of the structures. In the United States and the United Kingdom the rate is 99.9%. In total, this means that about half of the employees worldwide work for an organization of less than 250 people.

But behind these numbers hides great diversity: From the family business that has been built for years and is resistant to change, to the recently launched startup that has a one in five chance of failing within its first year, there is a world in which it is all about technology. Among these millions of companies, some are obsessed with acquiring the latest technology, while others will slowly and reluctantly adopt it.

However, it is clear that the past two years have given prominence to technology, which has become an unexpected priority for a growing number of small and medium businesses.

Change started by the epidemic

Many of them have been forced to rethink their working methods, as remote work is quickly becoming a top priority. Others have had to rethink their ways to market, for example by increasing their use of e-commerce. Others still have to rethink their supply chains as the global economic turmoil continues.

It’s no surprise, then, that a recent Verizon study found that more than two-thirds of companies see technology as a key ally in helping them tackle many challenges: improving sales, acquiring new talent, combating inflation and supply chain issues, etc. .

A similar percentage says revenue generated from digital operations is higher today than it was before the pandemic.

Small and medium companies are able to compete with large companies

Companies that have seen the impact of technology on their businesses (for example, some report a 50% increase in e-commerce) are unlikely to return to their old ways of doing business. Because even if they wanted to, their employees and customers would have evolved.

Among the technology trends, small and medium-sized businesses are increasingly using cloud computing. This is what allows them to more and more be able to compete with the largest structures. In fact, high-end enterprise systems that were previously only available to companies willing to spend months and years implementing them (and who can afford the huge initial cost and teams of engineers for constant maintenance) are now available to the smallest startup in the form of SaaS (Software as a Service). These innovations, in turn, increase the demand for other technologies, such as using digital marketing to increase sales.

Facing organizational challenges today

But it is not just about maximizing revenue; Cloud-based technologies, in particular, can help small businesses address organizational challenges by supporting the transition to hybrid work.

Cloud computing also allows small and medium businesses to be more flexible in terms of where and when their employees work, facilitating the hiring process – a major problem these days.

For large organizations, technology has always been a way to make systems and processes less complex and burdensome; Small businesses can benefit too, and maybe more.

Be aware of the risks

Of course, technology comes with risks. Small and medium businesses often do not have the skills and budget to protect themselves as well as large businesses, which is precisely why cybercriminals target small and medium businesses.

But even without a huge dedicated team, knowing and implementing the basics of cybersecurity is often enough to fend off cyberattacks — at least the least sophisticated.

Technology, hitherto reserved for large enterprises, has in fact become a priority for small and medium-sized businesses.

Source: ZDNet.com

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