5 easy tech wins to improve SME productivity

The Importance of Technology in Boosting Small Business Productivity

Nobel Prize winning economist Paul Krugman once stated that “while productivity isn’t everything, in the long run, it is almost everything”. This holds true for small businesses as well, where poor productivity remains a significant challenge.

According to Close Brothers, the UK lags behind G7 productivity by 16 per cent, highlighting the urgent need for improvement. Small businesses, which make up 99.9 per cent of UK businesses, have a crucial role to play in boosting productivity and enhancing the country’s economic output.

Research shows that technology can be a game-changer for small businesses. Nearly half of UK SMEs believe that new technology can increase overall productivity, improve staff efficiency, and help in upskilling employees. Despite this awareness, only 45 per cent of SMEs have recently invested in new technology, with three out of four having no plans to do so.

However, the benefits of technology in improving business productivity and profitability are substantial. Conrad Ford, CEO of Funding Options, advises small businesses not to shy away from investing in new technologies, as they have the potential to transform SMEs into major players in the market.

Digitize Your Customer Relationship Management (CRM)

Modern businesses rely on CRM systems to thrive and grow. A digitized CRM system allows businesses to track the entire customer journey, streamline interactions, and provide better service. By centralizing customer data, digital CRM enhances communication, collaboration, and automation, leading to improved efficiency and productivity.

Mobile and cloud-based CRM solutions further facilitate collaboration and agility across marketing, sales, and customer service departments, enabling businesses to stay competitive and customer-centric.

Online Bookkeeping for Efficiency

As the UK government implements Making Tax Digital, small businesses are transitioning to online accounting platforms for managing finances. These platforms offer tools for invoicing, payments, expenses, and payroll, leading to better cash flow management and time savings.

According to Intuit QuickBooks, digitizing VAT returns can result in a significant boost in productivity for the UK economy. Once comfortable with online accounting, SMEs can explore other digital tools like marketing automation and machine learning to further enhance productivity.

Workflow Management for Project Efficiency

Work management software helps businesses track project elements, deadlines, and resource allocation, ensuring efficient project management and client satisfaction. Platforms like Basecamp, Trello, and Workfront enable task management, collaboration, and file sharing for improved productivity.

Cloud-Based Document Sharing for Collaboration

Storing documents in the cloud enhances collaboration and productivity by enabling real-time editing, version control, and remote access. Cloud platforms like Dropbox and Google Drive streamline document sharing, communication, and file management, reducing email clutter and ensuring data security.

Marketing Automation for Enhanced Outreach

Automated marketing tools streamline digital campaigns, lead generation, and customer engagement, enabling businesses to scale marketing efforts and drive sales. Integrating marketing automation with CRM platforms allows for targeted customer profiling, personalized campaigns, and improved lead management.

Embracing technology is essential for small businesses looking to improve productivity, streamline operations, and drive growth. By investing in digital solutions for CRM, accounting, workflow management, document sharing, and marketing automation, SMEs can enhance their competitive edge and contribute to the overall economic productivity of the UK.

For more information on business technology solutions, visit Dell Small Business.