Purchasing technologies to increase productivity

Purchasing technologies to increase productivity

SMBs making investments in technology to increase productivity

The COVID-19 epidemic caused a mentality shift in organisations, leading to a greater than ever use of technology. This trend is still going strong as companies increasingly turn to hardware and software solutions to meet a variety of objectives, such as reduced expenses, enhanced productivity, and better teamwork.

Despite facing difficult economic times, small and medium-sized enterprises (SMBs) are persistently making investments in technology solutions. They are taking these actions to maintain their flexibility and competitiveness, as well as to streamline their daily operations and boost efficiency, innovation, and new business prospects.

seeking improved business results

Remote collaboration tools like Teams and Zoom became essential when the lockdowns began and companies were forced to modify their operations to allow employees to work from home. They fundamentally altered the way we operate. Organisations are now looking to use technology to revolutionise other company sectors, including finance, marketing, or human resources, after experiencing this transition and the benefits that followed.

Furthermore, many organisations’ budgets are not as ringfenced now as they were before the outbreak. The IT department is no longer the only entity with access to the technology budget. Rather, as evidenced by current purchasing patterns, technology and IT requirements emerge across all business domains. Additionally, teams from various departments and roles are searching for those solutions that may truly make an impact, much to how collaboration platforms have grown in popularity.

These applications and solutions don’t always need to be complicated: Almost every aspect of business has room for development. Technology, for instance, can automate tedious and labor-intensive manual processes like diary management, expenditure reconciliation, and paperwork. These easily accessible web-based technologies can liberate significant time for teams with limited resources.

On the other hand, SMBs are beginning to think about investing in enterprise resource planning (ERP) systems like SAP Business One. These solutions are gradually taking the place of more conventional SMB accounting platforms like Sage because of their flexibility in adapting to specific business needs.

Companies are outsourcing more of their work.

SMBs are paying more on consulting fees in addition to investing in new technology because a growing number of them work with managed service providers (MSPs) to help them identify and accomplish their digital transformation objectives. They want professional assistance to adapt and put new solutions into practise as well as to figure out how to get most out of the tools they already have. A significant portion of a software solution’s functionalities are often underutilised, therefore SMBs can significantly enhance work processes by fully grasping and leveraging the potential of their current solutions.

Cloud infrastructure-as-a-service and software-as-a-service have been rising at a rate of thirty to forty percent per quarter, and businesses are spending money on the management and consulting costs that accompany these technological investments. Nearly one-third of SMBs currently outsource all or part of their IT, and this figure is expected to rise as the trend towards digitization continues.

Putting money into security
Another area where SMBs are investing more money is cyber security as a result of increased awareness of the constantly shifting cyberthreats. In 2023, the worldwide SMB market is expected to spend US$77 billion on security solutions, according to Analysys Mason’s prediction.

A small business can suffer a great deal from a security breach, and Kaseya’s research earlier this year showed how concerned companies are about it. More than half of the almost 3,000 SMBs questioned for the State of Ransomware Report stated that a successful assault would have a significant impact on their company, and some even expressed concern that it might be catastrophic.

Consistent with this, 40% of the participants indicated that their company is presently augmenting their cybersecurity allocation. A large number of SMBs are receiving outside assistance: one in four contract with a managed security service provider (MSSP) and one in six with an MSP for security. Additionally, they are spending money on security awareness training, penetration testing, dark web monitoring, two-factor authentication, and other increased security services. In the last 12 months, there has been increase in each of these areas.

A chance for managed service providers to expand

MSPs have growth prospects as a result of small enterprises’ current technological needs. To draw in new SMB clients, managed service providers are increasing their workforce and spending more on marketing and sales, but more importantly, they are paying attention to the needs of their existing clientele.

Furthermore, they are also utilising technology to increase productivity by automating routine processes like handling help desk tickets and orienting new customers. The ability of MSPs to better integrate their core technologies has streamlined operations and improved service delivery, which is crucial for success because a provider’s ability to accurately and quickly handle a client’s problem sets them apart in a crowded market.

Throughout the pandemic, the MSP sector has grown steadily, meeting the technological needs of its small- and medium-sized clientele. The market has a bright future despite the current unsettling times: SMBs can use MSP partners to deploy technological solutions where they have a real impact, get ready for upcoming obstacles, and eventually grow their organisation.

 

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