| | MAY 20218HOW TECHNOLOGY CAN ACT AS A CATALYST FOR MSMES' GROWTHWith the advancement of technology, the world is witnessing various kinds of changes. It may be in the form of the development of an industry, or in the terms of simplification of a certain work in an organization, but the primary purposes of these advances are to make our lives easier. Technology has a great impact on all sizes of enterprises, large or small. Numerous reports have highlighted the importance of adopting critical technologies to achieve business growth. The advent of low-cost, high-speed internet, along with affordable mobile connected devices, have changed the way the world does business. However, for medium, small and micro enterprises (MSMEs), adopting technologies for business growth has been witnessed as a challenge. Cost concerns aside, with so many different solutions on offer, it is often difficult for MSMEs to identify the right technology that suits their business needs. But to be true, adoption of proper technologies can actually be a game-changer for MSMEs. Usually, such organizations focus mainly on improving revenue growth, increasing employee productivity, and acquiring more customers. All of these can actually be addressed by leveraging technology.Why MSMEs?Medium, small, and micro-enterprises are the backbone of every developing economy. For instance, let's consider the Indian MSME community, which contributes about 30 percent of the country's GDP. Also, the sector contributes as much as between 40 and 50 percent of India's total export. The sector is also responsible for 40 percent of the total employment in the country. The aforementioned facts clearly indicate why it is important for MSMEs to get the best out of technology. Though it may seem like a daunting task, when most of the best available technologies are developed for larger organizations, it is not actually unnerving, as a lot of the available solutions can easily be scaled according to business needs. Let's have a look at a few technology trends that can help in shaping MSMEs.Technologies that MSMEs can EmbraceOne such advancement is the introduction of digitalization to the business world of MSMEs. Digitalization implies an enhancement of business activities with the support of information technology to simplify communication systems. It helps firms identify best partner companies and collaborate with them. The business landscape in India has undergone a major change, and the key driver of that change is digitalization. For MSMEs, digitalization can act as a catalyst in generating new opportunities for growth. It can help in capturing and retaining customers and potential customers directly. It is important for organizations to adopt digitalization in their businesses in order to gain a competitive edge and keep pace with competitors. Digitalization is growing and is being accepted across industries. With the world rapidly shifting from offline to an online model of business, digitalization is now a strategic imperative for organizations across domains.With the introduction of digitalization, the term cashless payment is always attached. With every passing day, India, as a nation have taken significant steps towards becoming a less-paper, less-cash society; IN FOCUSBy Avinash Roy, Content Writer
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