INDIAN SME SECTOR COMES OF AGE – BETS BIG ON CRM
New generation IT delivery models like Software as a Service (SaaS), Infrastructure as a Service (IaaS), and Platform as a Service (PaaS) came just in time to make technology affordable for smaller businesses which were otherwise limited by resource const
T– here is no denying that economic growth across countries is largely dependent on the success of small and medium enterprises (SMEs). Particularly in India, the SME sector has been a key driver for industrial growth and a major source of employment generation at low capital costs. In the past couple of years, the Indian SME sector has undergone a major shift from manufacturing simple goods to more innovative and technologically advanced products like electronic devices, software, medical equipment etc. At the same time globalization opened the doors to international markets for these businesses, allowing them to fully leverage the cost advantage that they had over competitors based in other parts of the world.
Digital technologies played a pivotal role in making this shift happen. Further, new generation IT delivery models like Software as a Service (SaaS), Infrastructure as a Service (IaaS), and Platform as a Service (PaaS) came just in time to make technology affordable for smaller businesses which were otherwise limited by resource constraints. However, as SMEs continue to fuel the country’s economy, the growth of the SME sector itself is largely dependent on its ability to adapt to the pace of the digital transformation that the industry is undergoing.
What lies ahead – challenges &opportunities
What needs to be acknowledged is that technological changes are driven by none other than the consumers and their continuously evolving expectations. In such a scenario, today’s innovation becomes ‘normal’ tomorrow and passé sooner than ever. To remain competitive SMEs need to focus on exceeding customers’ expectations time and again. This is easier said than accomplished. While most SMEs use newer technologies to improve their operational effectiveness and process efficiencies in manufacturing and product development, they generally