{"id":1162,"date":"2022-04-07T19:45:00","date_gmt":"2023-06-06T19:45:46","guid":{"rendered":"https:\/\/www.salesforce.com\/?p=1162"},"modified":"2023-08-01T05:41:54","modified_gmt":"2023-08-01T05:41:54","slug":"challenges-opportunities-singapore-smes","status":"publish","type":"post","link":"https:\/\/www.salesforce.com\/ap\/blog\/challenges-opportunities-singapore-smes\/","title":{"rendered":"What Are the Challenges and Opportunities Ahead for Singapore SMEs?"},"content":{"rendered":"\n

Each year, the Singapore Business Federation (SBF)<\/a> publishes their National Business Survey<\/a>. This survey is sent to more than a thousand businesses across Singapore. It covers many aspects of business: sentiment, priorities and challenges, transformation and innovation, and internationalisation.<\/p>\n\n\n\n

After a tumultuous couple of years, the results of the 2021\/2022 report give small and medium-sized enterprises (SMEs) reasons to feel confident about the year ahead. The report shows how businesses are bouncing back, how their priorities have changed, and the challenges that they are still facing today.<\/p>\n\n\n\n

It also explains how technology will have an important role to play in SMEs\u2019 success.<\/p>\n\n\n\n

Salesforce will be hosting an interactive live session<\/a> with SBF, and leading tech association SGTech<\/a>. The webinar will give SMEs tips on how to embrace digital transformation more effectively.<\/p>\n\n\n\n

Challenges and opportunities for SMEs in Singapore<\/b><\/h2>\n\n\n\n

Nearly half of the businesses surveyed think that the economy will improve in the next year, compared to only 31% from the year before. Additionally, fewer businesses reported that they have been negatively impacted by the pandemic \u2014 only 32% this year, compared to more than 60% last year.<\/p>\n\n\n\n

Businesses are more confident about the wider economy too. Satisfaction levels with the local, regional, and global economic climates are all up compared to last year.<\/p>\n\n\n\n

There are still challenges ahead. For example, organisations are worried about manpower. Both the cost and availability of a qualified workforce feature on the list of concerns.<\/p>\n\n\n\n

Evolving business priorities<\/b><\/h3>\n\n\n\n

Commercial priorities dominate the focus of many SMEs in Singapore. Growing revenue and ensuring a positive cashflow remain the top two priorities for businesses.<\/p>\n\n\n\n

However, there have been some changes. Attracting and retaining talent has become a much stronger focus, rising to become the third-highest priority this year.<\/p>\n\n\n\n

Here\u2019s how the top business priorities compare, from 2020-2021 to 2021-2022:<\/p>\n\n\n\n

<\/th>2021\u20132022<\/th>2020\u20132021<\/th><\/tr>
1<\/th> Growing revenue<\/td> Growing revenue<\/td><\/tr>
2<\/th> Ensuring positive cashflow<\/td> Ensuring positive cashflow<\/td><\/tr>
3<\/th> Attracting\/retaining talent<\/td> Reducing costs<\/td><\/tr>
4<\/th> Reducing costs<\/td> Maintaining revenue<\/td><\/tr>
5<\/th> Growing market share<\/td> Growing market share<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

The power of technology<\/b><\/h3>\n\n\n\n

According to the report, the importance of digital transformation has been understood for some time. Sixty-five percent of SMEs surveyed said that business transformation is very important, while 29% said that it is somewhat important.<\/p>\n\n\n\n

However, businesses that are interested in digital transformation face some road blocks. According to the SMEs surveyed, the top three key challenges to implementing technology were:<\/p>\n\n\n\n