Think Small, Dream Bigger: Empowering the SME (Small Medium Enterprise) - Written by: John P. Combalicer ( jcombalicer ) June 19, 2009

Think Small, Dream Bigger: Empowering the SME (Small Medium Enterprise)
- Written by: John P. Combalicer ( jcombalicer ) June 19, 2009

Part 1

In these times of economic uncertainty, we are facing great challenges to weather the crisis. Most often the case, some Large Enterprises (LE) fold up because of burgeoning debt. But most SME survived and became more resilient.

The world economies comprised 93% of Small Medium Enterprise (SME).

Most of Information Technology (IT) solutions being provided to the SMEs are not actually made for them. Those IT solutions are made for the LE yet we try to consolidate to make it fit for the SME. The SME ends up paying high acquisition and maintenance cost.

There is also a so-called SME solution, tailored and custom made for SMEs. But this solution comes with high licensing option and high administration cost. Most SMEs don’t have enough resources to cope up with the high cost of licensing and administration; much more on the technical knowhow on its implementation and administration.

The end result of these solutions is often hazy, vague and disastrous.

IT Solution - Business Organization - IT Provider PYRAMID

Now in this time of crisis when we try to cut cost and improve productivity, the IT industry are having difficulties convincing the SMEs to spend more on IT solutions. The SMEs that makes up the world economy . The IT solutions that promise to improve productivity while cutting down cost, in reality, never materializes.

The reasons for this are, most the solution being provided are half baked solutions. The IT industry tried so hard for the SMEs to willingly accept.

The IT sector never made a full attempt to fully understand the needs of the SMEs. What are the real needs of the SMEs? What are the real needs of people who had just started their own businesses? SMEs must not see the technology as additional cost for their business and as a burden to them. The IT sector must be able to differentiate the needs from wants of the SMEs.
IT is the solution. The one that will help modern businesses grow.

If the trend on the IT sector continues to bank on the Large ticket solution for the LARGE Enterprises then the world we know would face slow growth and hasten the collapse of LARGE Enterprises. These businesses are interconnected, yet we tend to forget the supporting platform beneath the LARGE Enterprise. The SMEs support the LARGE ones. They are the consumers, suppliers and the backbone of the Large ticket industry, within which the IT sector tried so hard to sell their products and services.

The IT sector focuses all their resources on providing different solutions to LEs. The IT industry even tend to come up with ridiculous solutions, and brand them, divide them and create a very complex licensing scheme.

That’s where the money is.

This is the right time that we shift our attention to the SMEs.

We must start looking for the right solutions that will fit the SME sector. Solutions that are small and simple, yet powerful enough to move the ship forward and leap a greater distance.


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