Leading SMEs of India 2022

9 A) Digital Transformation Digital revolution is the biggest reality of the present business world. There are no two ways about digitalisation and new-age technology being the key to success, be it large players or small and mid-sized businesses. With most SMEs and MSMEs being dependent on labour intensive and inefficient processes and systems, there lies tremendous scope for digital intervention for scaling up operations and weeding out inefficiencies across the entire value chain. A well-connected and integrated digital system is crucial to improve efficiency and enhance productivity as well as to build networks across domestic and overseasmarkets and to innovate and transform the entire business process. Next-gen technologies such as AI, ML, IoT, block chain, data analytics, quantum computing, etc are helping businesses deliver enhanced, hyper-customized, and enriched customer experiences. This, in turn, is helping businesses build unique brand identities by connecting with end-users in almost real-time and throughmultiple, simple, and intuitive channels. Small businesses ought to harness these tools to take their operations a notch higher. Based on their current digital maturity level and their respective goals, small businesses should chalk out appropriate digitalisation strategies and make investments in this direction. By leveraging advanced technologies, small businesses can transform into innovative hubs and improve their positioning not only in India but also across international markets. B) Credit Facilities Traditionally, banks and other financial institutions have been reluctant to lend to small andmid-sized businesses. This has been due to lack of data insights into the sector and its players, that would help lenders take better decisions. However, of late, Fintechs and similar financial institutions leveraging the power of data analytics, have been able to build databases on the financial habits and risk profiles of borrowers. Not only has this been helpful in taking more informed decisions about business needs of small businessmen, but it has also resulted in improved risk management through better fraud detection and prevention tools. The time for loan processing and disbursal has also reduced considerably with the adoption of advanced technological tools. Going forward, as more financial institutions turn to innovative interventions, the credit crunch in the SME segment is likely to ease, reducing the incidence of fraud in the industry. C) Global Market Access Small businesses can explore a myriad of tools available today tomarket their products and services in overseas markets. With the help of digital marketing and social media platforms such asWhatsApp, Facebook, and Instagram, small andmid-sized players are already penetrating unexplored domestic markets. Reseller opportunities are helping home-based and small entrepreneurs expand their clientele. Taking a cue from this, SMEs can also explore digital marketing tools to pitch to customers in global markets and penetrate unexplored territories. But one needs to ensure that they have a proper strategy in place before exploring these tools, and more importantly, ensure that they have the resources tomatch customer expectations as to the product/service standards, delivery process, returns and cancellations, etc. Dun & Bradstreet