Article

Why SMEs Should Embrace Digital Transformation: Building a Stronger Future Together for Myanmar

27 Jun,2024 - Yangon | 4 mins read

Author: Rituraj Kalita, Chief Business Officer at ATOM

As we mark International Micro-, Small, and Medium-sized Enterprises (MSME) Day on 27 June, and this year's theme of "Building a Stronger Future Together," I want to focus on a critical factor for Myanmar's MSMEs: digital transformation. I believe digital transformation is essential for MSMEs in the country over the next 10 years because it will equip them with the tools and capabilities they need to compete effectively in a rapidly evolving digital marketplace.

Here in Myanmar, where over 90% of businesses are SMEs and contribute a massive 70% of employment, their potential for growth is vital to the country's economic well-being. Digital transformation is the key to unlocking that potential. But what is digital transformation, really?

It is about strategically integrating technology throughout an MSME's operations, not just acquiring the latest gadgets. It focuses on using technology to streamline processes, improve communication, and strengthen customer engagement. For example, automation can reduce manual errors and expedite tasks like invoicing and order processing.

In addition, digital tools can optimise inventory management and provide data-driven insights for better decision-making, ultimately boosting productivity. Communication also benefits as cloud-based solutions unify email, instant messaging, video conferencing, and project management tools. This enables seamless communication and real-time information sharing among employees, leading to improved efficiency and decision-making.

Also, a strong online presence through social media, e-commerce platforms, and targeted marketing allows SMEs, particularly those in retail or F&B, to connect with a wider audience, personalise customer experiences, and build brand loyalty, resulting in increased sales and revenue growth.

Digital Transformation Challenges for MSMEs

The road to digital transformation isn't without its hurdles. Limited digital infrastructure, with a lack of local platforms and limited options for localised Software-as-a-Service (SaaS) solutions, can hinder progress. Access to global platforms can also be restricted by payment and financial challenges. On top of that, many small business owners and employees lack the necessary digital skills to effectively use modern technologies. Securing funding for digital transformation can also be difficult due to limited access to financial services and credit.

But there's more to the challenge. With increased digitisation comes a higher risk of cyber threats and financial frauds, which can be overwhelming for unprepared SMEs. The digital era also brings global competition to local markets, making it challenging for SMEs to compete with larger, more established companies. Finally, navigating the regulatory landscape can be complex, especially with frequent changes in digital and business regulations.

How MSMEs Should Approach Digital Transformation

If you are an entrepreneur, MSME owner or business executive, here are some ways you can approach and start you digital transformation journey. First, it is important to develop a comprehensive digital strategy, one that aligns with your business goals, identifies key digital tools and platforms, and allocates resources effectively. Seek external support if needed when developing your digital strategy.

Collaboration is key too. Partnering with other businesses in your industry allows you to explore digital solutions together and gain better negotiating power for local and international service providers. Forming partnerships with technology providers, such as ATOM, and educational institutions bridges resource and skill gaps, and empowers your workforce.

The most important focus, however, should be the customer. Digital tools can help you gather valuable customer insights and tailor your offerings to their specific needs. Building strong customer relationships through social media engagement, surveys, and feedback mechanisms is crucial. After all, a loyal customer base is the bedrock of any thriving business. Consider exploring loyalty programmes to manage customer lifecycle value and reward their continued support.

ATOM as Your Digital Transformation Partner

Here at ATOM, we understand the challenges faced by MSMEs and our teams are on hand to support you on your digital transformation journey. We act as a bridge, connecting you with beyond better digital service providers and facilitating opportunities for learning and training.

We offer our own digital tools to support your business needs, from Business Connectivity solutions (mobile and fixed) for better customer engagement to Cloud & IoT Services (Cloud PBX, Cloud Call Centre, Fleet Management) to improve operational efficiency.  Additionally, we offer customisable digital transformation packages that include cloud services, business management software, and digital marketing tools.

Our affordable connectivity solutions ensure consistent and cost-effective internet access, while regular training workshops equip your team with the necessary digital literacy. Our dedicated customer support team and 24/7 helpline services ensure you have the resources to navigate any technical hurdles that may arise.

We're also invested in your future with initiatives like the ATOM SME Acceleration Programme. From June to November 2024, we will be conducting a series of free digital skills training webinars which will be broadcasted on our ATOM Business Facebook page. Topics covered will range from financial management strategies to effective marketing techniques, all designed to empower you with the knowledge needed to thrive in the digital age.

Together, by embracing digital transformation and collaborating effectively, we can unlock the full potential of Myanmar's MSMEs. ATOM stands ready to be your partner in building a stronger future for the country's economy.

For more information, visit our website: https://www.atom.com.mm/my/business  or reach out to our business support team at +95 9 780 008080 / business.support@atom.com.mm.

- END -