Techblog
National Day Rally 2016: 4 ways SMEs can embrace change
SMEs should not fear disruption to current business models, PM Lee Hsien Loong said at Singapore’s National Day Rally speech last month. He encouraged SMEs to embrace change and innovate and adapt with the help of government agencies.
SMEs may be concerned with their business amid the slow economic growth and constant tech disruption. But Singapore’s Prime Minister Lee Hsien Loong stressed that only by using technology to their advantage will they prosper. Here are four important tips from the National Day Rally that will be useful for SMEs.
- Unlock new opportunities with technology
Instead of shying away from new technology, SMEs should use it to their advantage and unlock potential opportunities. If you find your business’ growth has been affected by a new app or technology, it is not all doom and gloom.
For example, bricks and mortar businesses here have been facing stiff competition from online businesses. But these SMEs can also consider going into eCommerce. eCommerce gives SMEs a much bigger market to sell their products and services. That doesn’t mean it is easy to reach out to your target audience. SMEs will have to utilise data analytics to make better decisions on how to reach out to their target audience. Digital marketing can also help SMEs stand out and make more people aware of your brand.
- Anticipate changes amid disruption
Traditional businesses are often affected by disruptions in business models. To come out on top, business should anticipate changes instead and change their business models accordingly. Mr Lee said that Singapore is a major transport and financial hub and SMEs can take advantage of this especially as e-commerce continues to grow. As goods ship through Singapore, Mr Lee said that businesses can be major players in “this new logistics chain”.
- Dare to try something new
Entrepreneurship is crucial to the success of an SME. Entrepreneurs should dare to try something new and venture into previously unchartered territories, Mr Lee said.
There are many programmes here to encourage entrepreneurship such as Blk 71, a factory building in Ayer Rajah where there are co-working spaces offered to entrepreneurs of startup companies. It allows them to interact with other startups and investors, and is close to other technology hubs.
Various government agencies such as SPRING Singapore or IE Singapore also offer co-funding under schemes like the Global Company Partnership grant. It is important that SMEs seek assistance from these agencies that can help the businesses get on their feet. One example is IE Singapore’s initiative which helps SMEs partner up with big firms to enter global markets.
- Keep your workforce up to date
Employees whose skills are constantly updated will remain relevant and this will greatly contribute to a business’ growth. To ensure strong growth, it is essential that employees continue to improve and upgrade their skills. SkillsFuture is just one initiative that can equip employees with skills. Courses available via Work Development Agency include a digital marketing course where employees can learn about Google Adwords.
In summary, while business models are always getting disrupted, SMEs can be in a position to take advantage of this and unlock new opportunities with the help of government agencies here.
- Take advantage of Singapore’s advanced connectivity and find opportunities in digital
- Don’t fear disruption and instead, embrace change and adapt.
- Look out for helpful initiatives from government agencies like IE Singapore and SPRING
- Develop new capabilities by upgrading skills of employees.