Customized Tech Led Solutions: The Need of the Hour in Unlocking Growth Potential of Small Businesses
Customized Tech Led Solutions: The Need of the Hour in Unlocking Growth Potential of Small Businesses

The MSMEs serve as the foundation of our economy and account for 30 percent of India's GDP and jobs. 56 million+ MSMEs cater to the unique demands of the country. In addition to supplying consumer demands, small industries play an important role in job creation and boosting innovation, which is crucial for development in any economy.

In a survey by the India SME Forum of over 1,00,000 MSMEs, it was discovered that roughly 50 percent of MSMEs are aware of the advantages of using digital technologies; however, a startling 70 percent of MSMEs lack knowledge and comprehension of digital tools. The biggest barrier mentioned was the lack of awareness which prevented the larger acceptance of technology.

That said, for many MSMEs across sectors, the pandemic marked the beginning of a transformation. With the help of awareness programs, training, and workshops to aid these enterprises to expand their businesses through challenging times, India is making significant efforts to narrow the gaps in digital transformation.

Challenges Faced by Small Industries and Overcoming Them with Digital Solutions

MSMEs frequently struggle with a shortage of capital as a result of poor access to financing. As a result, there is a weak technological foundation, leading to poor output quality. In this loop, small businesses tend to avoid learning about digital technologies. Even if an entrepreneur has great ideas, they may not be able to implement them effectively without tech knowledge or exceptional talent. The majority of issues MSMEs experience may be boiled down to limited funds and technological know-how.

These elements make it difficult for MSMEs to reach their full potential and grow. Additionally, people who distrust technology due to limited awareness, and those hesitant to invest in effective but expensive digital equipment end up not reaping its advantages. This gap can be reduced with access to knowledge of tech solutions, and further customizing them for one’s business needs.

To boot a business in the digital realm, it is vital to make sure that one stays up to date with online tools and trends. Innovation is essential for businesses to stand out in an otherwise cluttered space. Small businesses can benefit greatly from technologies like AI/ML, IoT, and data intelligence, which can help provide a superior experience to customers and establish a strong online presence. Digital technologies are evening the playing field for small businesses to compete with tycoons in their industry. In this regard, data insights help comprehend the market environment while making crucial business decisions. Therefore, concentrating on data insights has the potential to grow businesses.

In addition to knowing digital tools and technologies, it is important for MSMEs to know how to utilize them to their fullest potential. For this, research and accessing and learning government and industry resources will prove beneficial. For businesses, digital tools provide several advantages. Digitalization lowers transaction costs and improves engagement across various levels. The possibility for trade is expanded across geographies. It improves access to resources. Additionally, it encourages innovation and inspires businesses to push their creative boundaries.

Tech-Based Solutions to Unleash the Growth Potential of Small Businesses

For a nation to foster inclusive economic growth and development, small industries must have a healthy competitive spirit. SMEs encounter difficulties at various stages including gaining access to markets, and financing, as well as technology and digital solutions in a globalized economy. If done right, custom digital solutions are highly scalable as businesses grow, they will be cost-effective over time given the increase in business it can bring, increases support for the customer as well as the overall business, and most importantly provides secure and organized data management. In this regard, here are some advantages of technologically-led solutions that can aid the growth of small businesses in India.

1. Artificial Intelligence – Among the many applications of AI, the programme can train salespeople to sharpen communication skills and help with performance evaluation. By using automated chat systems, small industries may increase customer engagement and experience while freeing up workers for other critical client interactions.

2. Machine Learning – Machine learning provides predictive insights to start-ups and expanding businesses. Additionally, machine learning employs its predictive algorithms to help businesses make decisions by sifting through large amounts of data.

3. Augmented reality (AR) - AR aids marketing teams in promoting items and small industries in boosting sales. Humans may depict items that are more realistic due to AR technology. For businesses involved in design, construction, the arts, the textiles industry, and other fields, this will be more helpful.

4. Internet of Things (IoT) - IoT devices or solutions can automate and expedite time-consuming, repetitive operations including delegation, scheduling, reporting, and more. IoT provides intelligent metering and lighting options that can save utility costs by simplifying energy use and enabling remote monitoring.

5. Data analytics aids businesses in developing a data-centric business strategy. By removing the need to base decisions solely on speculation and the actions of others, data analytics enables businesses to behave in a way that best serves their customers and their business.

6. Information technology – Information technology is crucial in boosting an organization's profitability. Additionally, it encourages competition among Small and Medium-Sized Enterprises (SMEs), forcing them to consider both the availability of cutting-edge technology and ongoing research and development.

It is clear that the development and implementation of digital tools and platforms have been essential for small firms in raising productivity, reducing expenses, and extending their market reach. Tailored tech-driven solutions, customized to each business’s needs an immediate requirement to unleash the growth potential of micro-enterprises. All aspects of life are significantly impacted by digital technology, which is also revolutionizing business globally. It can aid MSMEs in extending their domestic and global market reach and positively transform businesses quickly and effectively. The right digital techniques and high-quality products will ensure business success, irrespective of size and scale.

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