Information Technology in Small Businesses – Challenges and Ways to Overcome

Sneha Hull | December 16, 2021 | 195 views

Information Technology in Small Businesses
As 2021 draws to a close with global immunization campaigns against the pandemic, the future appears to be much more uncertain and chaotic, primarily related to information technology in small businesses. Nevertheless, numerous small- to medium-sized companies (SMBs) are prepared to resume operations despite innumerable obstacles from every sector of the company operation. There are various tech challenges for small business that they encounter in daily operations.

Businesses that fall behind the information technology (IT) curve will find it much more challenging to compete against firms that make prudent IT investments at the right moment. However, with the shifting and changing nature of challenges and woes brought about by technological progress, handling IT for small businesses is not an easy undertaking requiring a great deal of labor and effort.

While today's business operations provide various IT challenges for small businesses, this blog will highlight the most prevalent and time-consuming IT challenges enterprises to face. It also discusses how to overcome those obstacles through technical maintenance and upgrades. The sooner you identify them, the better equipped you will be to deal with them when they inevitably appear.

Keep up with Digital Transformation

The COVID-19 emphasized the critical significance of digitization in small business operations. In addition, the pandemic made digital transformation a significant focus. In the following days, the tech challenges for small businesses, and indeed in the coming years, are numerous and unpredictable.

While there is no doubt that digitization is a time-consuming process, it is equally imperative that it offers value to your consumers over the internet.

"Responses to COVID-19 have speeded the adoption of digital technologies by several years — and many of these changes could be here for the long haul."

- Research by McKinsey & Company

Levi Strauss, a prominent apparel company with over a century in the business, reacted rapidly and effortlessly to the greatest digitization before the pandemic struck. Earlier to the pandemic, investments in digital technology, including artificial intelligence and predictive analytics, enabled Levi's to respond swiftly and decisively as consumers flocked to e-commerce platforms in droves. In addition, Levi's created their mobile app prior to the advent of COVID-19, allowing the brand to engage with consumers in novel ways throughout the pandemic.

Making Remote Working Easier  

Businesses are also gradually returning to normal as we near the conclusion of 2021. However, many employees are averse about returning to their offices anytime soon. Given the present situation, many small businesses are considering incorporating hybrid work cultures into their workplace rules.

As remote work and hybrid work settings continue to be preferred by employees, organizations focus on remote hiring, onboarding, and team culture. Organizations should consider cloud-based monitoring tools and cloud-based solutions such as SaaS, PaaS, and IaaS products to support this system. For example, by implementing CloudDesk productivity monitoring software, a business may establish productivity and pleasure as key performance metrics.

IT Cost Control 

IT spending on small firms is currently high and will continue to rise in 2022. Information technology in small businesses play a crucial role, however their IT budgets are limited. As a result, they are always looking for IT solutions that enable them to achieve long-term growth without incurring high costs.

Maintaining control of IT costs is not simple. Still, the good news is that there are various methods to do it while maintaining a high degree of cyber security and preserving important data.

Cyber Security for Small Businesses

As digital technology advances, cybersecurity has become one of the most significant issues for small organizations. Even in 2022, the cyber danger will be front and center.

Often, small business owners believe they are not a target of a cyber-attack. But it is not true; small firms are more vulnerable to cyber assaults since their networks are less secure. Additionally, a lack of competence for appropriate security, insufficient resources, a lack of awareness of the danger, insufficient staff training, and a failure to update security procedures are also risk factors.

As reported by Packet Labs, the worldwide information security industry is expected to reach $170.4 billion in 2022 to keep pace with the projected increase in cybercrime.

As stated by Cyberint, 95% of cybersecurity breaches are caused by human mistakes.

However, there are ways to prevent cyberattacks by implementing the following:
  • Conduct background checks on third-party vendors
  • Educate and train your workers on cybersecurity best practices
  • Provide firewall software and support for your internet connection
  • Protect your business by installing anti-malware and antivirus software
  • Enforce a Bring Your Own Device (BYOD) policy that prioritizes security safeguards
  • Enable multi-factor authentication on your devices

Winding Up:  

There are several alternatives available to upgrade your existing IT department. However, it is a pressing need to stay up to date on technology and look for expert skills that manage IT services with solutions that meet a wide range of needs. We help you identify the IT challenges for small businesses and help you to overcome them with a comprehensive solution.

Frequently Asked Questions: 


What are the challenges of information technology in business?  

Information technology plays a critical role. However, many organizations encounter IT-related problems (IT). Information technology is a source of competitiveness and growth, not just for businesses and sectors but also for society. The following are a few of the IT challenges:
  • Digitalization and digital up-gradation
  • Information security
  • Cost reduction
  • Keeping up with remote work culture

How is information technology used in small businesses?  

Small companies benefit from information technology by keeping data in databases. In addition, global communication of information is enabled by information technology, as is global retrieval of information from databases and websites regardless of geographical location.

What technology do small businesses need?    

Below are few technologies that are a must for small businesses:
  • Cloud computing
  • Data security
  • HR software
  • Chatbots
  • Website Implementation and Enhancement Tools
  • Customer Relationship Management (CRM)

Spotlight

OJO Labs

OJO is a powerful technology being built by some of the world's finest engineers and data scientists. We plan to change the world, but give us a little time to get the lights turned on first.

OTHER ARTICLES
TECHNOLOGY

5 Tax-Related Resolutions for Smarter Small Business Accounting in 2020

Article | May 16, 2022

Accountants working with small businesses often play the role of business advisors, especially when it comes to educating their clients about tax regulations and reducing their tax bill by taking all legitimate factors into account. We’ve gathered four tips that accounting professionals can use as a check-list to give to their small and mid-size business owner clients looking to make better financial decisions this year.

Read More
TECHNOLOGY

7 BIGGEST ENTREPRENEURIAL MISTAKES

Article | May 6, 2022

This is the first post in a seven-part-series detailing the biggest entrepreneurial mistakes business owners make. The series will run over the next few weeks so check back to learn more. These are the 7 Biggest Mistakes I have seen entrepreneurs and companies make that can devalue their Intellectual Property (“IP”) portfolio, damage their brand, or sink a deal. If you are considering turning your idea into a business, read this carefully first. There are other mistakes you can make, but these are the deal-breakers. Any one of these can cost you big bucks, credibility in the eyes of investors and potential partners, and ultimately lead to evaporation of the value of your idea.

Read More
TECHNOLOGY, SMALL BUSINESS ADVICE

How to Report Revenue on a Small-Business Credit Card Application

Article | June 30, 2022

When filling out the “revenue” portion of a small-business credit card application, you want to make your small business or side hustle look its very best without stretching the truth. But revenue can swing dramatically from year to year, and credit card applications often don’t spell out what you should or shouldn’t include when reporting it. So what counts as an honest, just-the-facts answer? Generally, in credit card applications, issuers want to know your verifiable gross revenue from the previous year.

Read More

Simple Security for Every Small Business

Article | February 10, 2020

If you’re a business owner you really have your hands full, every day, with the minutiae of running your business, balancing your books, orders, employees, scheduling, inventory, servicing customers, payroll, taxes well, you get the idea as you’re living it every day. You might read that and think that I’m crazy, and that you do take security into account, and your office and systems are secure. Frequently, it’s not in the day to day operation of your business which is why we have statistics like this: In the first 6 months of 2019 alone, over 3,800 data breaches were reported, with over 4 billion records being exposed as a result. If you broke it down evenly, that would be over 20 million records stolen every single day this year.

Read More

Spotlight

OJO Labs

OJO is a powerful technology being built by some of the world's finest engineers and data scientists. We plan to change the world, but give us a little time to get the lights turned on first.

Related News

TECHNOLOGY, SMALL BUSINESS TRENDS

HG Insights Adds Small and Midsize Businesses to Flagship Platform

HG Insights | February 24, 2023

On February 23, 2023, HG Insights®, a global leader in Technology Intelligence, announced the enhancement of its flagship platform by introducing the Small Business Data Set, enabling users to gain a broader perspective of their target markets, including both large businesses and small and midsize businesses. This update will help companies to develop comprehensive targeting strategies. Following Platform 2.0 in July 2022, HG's clients have been empowered to gain valuable insights, make informed decisions regarding their markets, and develop effective organizational strategies with increased accuracy and certainty. HG Insights' inclusion of the Small Business Data Set in its platform without any additional charges to customers is a key component of the firm's plan to leverage its offline insights to enable GTM teams to identify new business prospects and facilitate decision-making across various departments within an organization. Some benefits of integrating the Small Business Data Set are: Curated for small business coverage: HG Platform's inclusion of small and midsize businesses is ensured by carefully selecting data from billions of records. Doubling the records: The existing data set on the HG Platform has been updated with 780,000 new small and midsize business records. Additional coverage: The data set comprises information from over 200 countries, 7.4 million global product installations, and 1.1 billion contextual intent signals. Quality data-driven insights: This data has been filtered to remove irrelevant information, enabling customers to develop effective sales strategies for their small and midsize business markets. CTO of HG Insights, Robert Fox, said, "We continue to expand HG Insights' market-leading Technology Intelligence through the most recent addition of our small and midsize business data set." He added, "Building on the value provided through the HG Platform experience, we continue to expand insights for small and midsize companies and unlock value throughout these markets. I am pleased to bring this additional value to our customers as we continue to deliver Technology Intelligence that fuels customer growth." (Source – Businesswire) By integrating the Small Business Data Set, customers can use the HG Platform to identify market opportunities in small and midsize businesses and maximize potential revenue streams. About HG Insights® HG Insights® is a technology intelligence company that provides organizations with data-driven insights to make informed business decisions. It specializes in providing market intelligence and competitive analysis to technology companies to help them identify and target potential customers and optimize their sales and marketing efforts. The company uses advanced data analytics and machine learning technologies to gather and analyze data from various sources, including social media, news articles, and public databases. Its products and services include market intelligence, predictive analytics, technographic data, and consulting services. Headquartered in Santa Barbara, California, HG Insights serves clients from various industries, including IT, healthcare, finance, and manufacturing.

Read More

SMALL BUSINESS TRENDS

BILL Extends Its Commitment to SVB-affected SMBs

BILL | March 15, 2023

On March 14, 2023, BILL, a leading financial automation solutions provider for small and midsize businesses (SMBs), announced new offerings for businesses impacted by the recent events involving Silicon Valley Bank (SVB). These new programs are aimed at helping SMBs remain fully operational during this challenging time. BILL's new offerings include programs to enable business continuity for existing customers who are also SVB customers. The first program is BILL balance, a secure and convenient way for customers to store and move funds in order to make quicker payments to vendors to any bank in the US with no additional fees. The second program is pre-approval for a Divvy line of credit, which allows small businesses to quickly pay bills using an existing or new Divvy corporate card. The third program is the ability to connect SVB debit cards to BILL Pay By Card, allowing customers to access their funds immediately and use them to pay vendors. For the next 30 days beginning March 14, BILL will reimburse all pay-by-card transaction fees made with SVB debit cards. In addition to the above three programs, BILL is also offering a new three-month free trial of the BILL platform for any businesses looking to improve control, efficiency and visibility of their financial operations. BILL's core products and services can also assist SMBs in streamlining financial processes, improving financial controls and visibility, and providing users with access to capital. On the BILL platform, SMBs can automate payables and receivables workflows, manage cash in and out with an array of quick and safe payment offerings, and access business credit and control expenses with Divvy's Spend and Expense Management Platform. All of these offerings are part of BILL's ongoing commitment to automating the future of finance so that businesses can thrive, particularly during challenging times like those facing SVB customers. About BILL BILL is a financial automation software company that provides solutions to small and midsize businesses (SMBs) to streamline their financial operations. The company's mission is to automate the future of finance, so businesses can thrive by providing a platform that simplifies and automates financial processes.It offers a suite of products and services that enable SMBs to automate payables and receivables workflows, manage cash in and out, access business credit and control expenses. These services include ACH, card, and international transfers, as well as the ability to store and move funds securely and conveniently using BILL balance. In addition, it integrates with popular accounting software like QuickBooks, Xero, and NetSuite, making it easy for businesses to manage their financial operations in one place.

Read More

MANAGEMENT

Innoveo Launches Accelerator for Small Commercial Insurance

Innoveo | March 16, 2023

On March 15, 2023, Innoveo, a leading provider of no-code technology for insurance enterprises, announced the release of its accelerator for the small commercial insurance space. The accelerator aims to empower insurers to quickly launch and offer personalized insurance to the booming small and medium enterprises (SME) market. To improve penetration in this flourishing market, the accelerator offers customizable insurance products that allow small businesses to adjust their coverage to their specific needs. The user-friendly digital interface simplifies the insurance purchasing process. At the same time, automated underwriting and real-time data analysis enable enterprises to analyze their risks and make informed decisions about their coverage. By using this accelerator, innovative insurers can swiftly develop in this burgeoning yet underserved market, increase customer loyalty, and drive informed cross- and up-sell opportunities. Innoveo's Small Commercial Insurance Solution also provides many benefits to small business owners, including streamlined processes, cost savings and improved customer experience. Small business insurance provides vital financial protection against a wide range of risks, giving business owners peace of mind. A BOP combines commercial liability insurance, commercial property insurance, business interruption insurance, commercial auto insurance, professional liability insurance and worker's compensation insurance. The Small Business insurance accelerator adds to the leading Innoveo Skye platform, which includes ready-made accelerators and products that can be adjusted and configured to insurer needs. In addition, Innoveo's integrated development environment automates a substantial percentage of the application development process, resulting in 5-10x productivity improvements with up to 75% fewer technical resources. About Innoveo Founded in 2007, Innoveo is a leading provider of no-code technology for the insurance industry. The company is headquartered in Zurich, Switzerland, and has offices in New York, Hong Kong, Budapest, and Valencia. Its mission is to empower insurers to rapidly develop and deploy innovative products and services to meet the evolving needs of their customers. Innoveo's no-code platform, Innoveo Skye, allows insurers to quickly build and customize insurance products without extensive coding or technical resources. This enables insurers to quickly bring new products to market and respond to changing market demands. Its solutions have been widely adopted by some of the world's leading insurers, including AIG, Zurich, and Generali. The company has also won numerous awards for its innovative technology and commitment to customer success.

Read More

TECHNOLOGY, SMALL BUSINESS TRENDS

HG Insights Adds Small and Midsize Businesses to Flagship Platform

HG Insights | February 24, 2023

On February 23, 2023, HG Insights®, a global leader in Technology Intelligence, announced the enhancement of its flagship platform by introducing the Small Business Data Set, enabling users to gain a broader perspective of their target markets, including both large businesses and small and midsize businesses. This update will help companies to develop comprehensive targeting strategies. Following Platform 2.0 in July 2022, HG's clients have been empowered to gain valuable insights, make informed decisions regarding their markets, and develop effective organizational strategies with increased accuracy and certainty. HG Insights' inclusion of the Small Business Data Set in its platform without any additional charges to customers is a key component of the firm's plan to leverage its offline insights to enable GTM teams to identify new business prospects and facilitate decision-making across various departments within an organization. Some benefits of integrating the Small Business Data Set are: Curated for small business coverage: HG Platform's inclusion of small and midsize businesses is ensured by carefully selecting data from billions of records. Doubling the records: The existing data set on the HG Platform has been updated with 780,000 new small and midsize business records. Additional coverage: The data set comprises information from over 200 countries, 7.4 million global product installations, and 1.1 billion contextual intent signals. Quality data-driven insights: This data has been filtered to remove irrelevant information, enabling customers to develop effective sales strategies for their small and midsize business markets. CTO of HG Insights, Robert Fox, said, "We continue to expand HG Insights' market-leading Technology Intelligence through the most recent addition of our small and midsize business data set." He added, "Building on the value provided through the HG Platform experience, we continue to expand insights for small and midsize companies and unlock value throughout these markets. I am pleased to bring this additional value to our customers as we continue to deliver Technology Intelligence that fuels customer growth." (Source – Businesswire) By integrating the Small Business Data Set, customers can use the HG Platform to identify market opportunities in small and midsize businesses and maximize potential revenue streams. About HG Insights® HG Insights® is a technology intelligence company that provides organizations with data-driven insights to make informed business decisions. It specializes in providing market intelligence and competitive analysis to technology companies to help them identify and target potential customers and optimize their sales and marketing efforts. The company uses advanced data analytics and machine learning technologies to gather and analyze data from various sources, including social media, news articles, and public databases. Its products and services include market intelligence, predictive analytics, technographic data, and consulting services. Headquartered in Santa Barbara, California, HG Insights serves clients from various industries, including IT, healthcare, finance, and manufacturing.

Read More

SMALL BUSINESS TRENDS

BILL Extends Its Commitment to SVB-affected SMBs

BILL | March 15, 2023

On March 14, 2023, BILL, a leading financial automation solutions provider for small and midsize businesses (SMBs), announced new offerings for businesses impacted by the recent events involving Silicon Valley Bank (SVB). These new programs are aimed at helping SMBs remain fully operational during this challenging time. BILL's new offerings include programs to enable business continuity for existing customers who are also SVB customers. The first program is BILL balance, a secure and convenient way for customers to store and move funds in order to make quicker payments to vendors to any bank in the US with no additional fees. The second program is pre-approval for a Divvy line of credit, which allows small businesses to quickly pay bills using an existing or new Divvy corporate card. The third program is the ability to connect SVB debit cards to BILL Pay By Card, allowing customers to access their funds immediately and use them to pay vendors. For the next 30 days beginning March 14, BILL will reimburse all pay-by-card transaction fees made with SVB debit cards. In addition to the above three programs, BILL is also offering a new three-month free trial of the BILL platform for any businesses looking to improve control, efficiency and visibility of their financial operations. BILL's core products and services can also assist SMBs in streamlining financial processes, improving financial controls and visibility, and providing users with access to capital. On the BILL platform, SMBs can automate payables and receivables workflows, manage cash in and out with an array of quick and safe payment offerings, and access business credit and control expenses with Divvy's Spend and Expense Management Platform. All of these offerings are part of BILL's ongoing commitment to automating the future of finance so that businesses can thrive, particularly during challenging times like those facing SVB customers. About BILL BILL is a financial automation software company that provides solutions to small and midsize businesses (SMBs) to streamline their financial operations. The company's mission is to automate the future of finance, so businesses can thrive by providing a platform that simplifies and automates financial processes.It offers a suite of products and services that enable SMBs to automate payables and receivables workflows, manage cash in and out, access business credit and control expenses. These services include ACH, card, and international transfers, as well as the ability to store and move funds securely and conveniently using BILL balance. In addition, it integrates with popular accounting software like QuickBooks, Xero, and NetSuite, making it easy for businesses to manage their financial operations in one place.

Read More

MANAGEMENT

Innoveo Launches Accelerator for Small Commercial Insurance

Innoveo | March 16, 2023

On March 15, 2023, Innoveo, a leading provider of no-code technology for insurance enterprises, announced the release of its accelerator for the small commercial insurance space. The accelerator aims to empower insurers to quickly launch and offer personalized insurance to the booming small and medium enterprises (SME) market. To improve penetration in this flourishing market, the accelerator offers customizable insurance products that allow small businesses to adjust their coverage to their specific needs. The user-friendly digital interface simplifies the insurance purchasing process. At the same time, automated underwriting and real-time data analysis enable enterprises to analyze their risks and make informed decisions about their coverage. By using this accelerator, innovative insurers can swiftly develop in this burgeoning yet underserved market, increase customer loyalty, and drive informed cross- and up-sell opportunities. Innoveo's Small Commercial Insurance Solution also provides many benefits to small business owners, including streamlined processes, cost savings and improved customer experience. Small business insurance provides vital financial protection against a wide range of risks, giving business owners peace of mind. A BOP combines commercial liability insurance, commercial property insurance, business interruption insurance, commercial auto insurance, professional liability insurance and worker's compensation insurance. The Small Business insurance accelerator adds to the leading Innoveo Skye platform, which includes ready-made accelerators and products that can be adjusted and configured to insurer needs. In addition, Innoveo's integrated development environment automates a substantial percentage of the application development process, resulting in 5-10x productivity improvements with up to 75% fewer technical resources. About Innoveo Founded in 2007, Innoveo is a leading provider of no-code technology for the insurance industry. The company is headquartered in Zurich, Switzerland, and has offices in New York, Hong Kong, Budapest, and Valencia. Its mission is to empower insurers to rapidly develop and deploy innovative products and services to meet the evolving needs of their customers. Innoveo's no-code platform, Innoveo Skye, allows insurers to quickly build and customize insurance products without extensive coding or technical resources. This enables insurers to quickly bring new products to market and respond to changing market demands. Its solutions have been widely adopted by some of the world's leading insurers, including AIG, Zurich, and Generali. The company has also won numerous awards for its innovative technology and commitment to customer success.

Read More

Events