INDEPENDENT NEWS

Outsourcing IT Key For SME Growth

Published: Sat 14 May 2022 05:44 AM
Small-to-medium enterprises (or SMEs) are the backbone of the nation’s economy, employing just over 40% of the NZ workforce. Regardless of the industry in which they operate, the more SMEs can ensure their longevity and ability to scale into larger companies, the better they can contribute to innovation, job creation, and local and national economic growth.
Despite their key role in economic development, however, the vast majority of SMEs have limited resources, especially when starting out. These limitations often extend beyond purely the financial to include limited knowledge, labour, and access to market. As it takes time to grow internal resource capacity, many SMEs use outsourcing as a way to bridge the gap.
For any new SME, it is imperative that weaknesses are promptly outsourced, as attempting to offer services or run certain aspects of the business internally when there isn’t the capacity or knowledge to do so effectively can significantly impede growth and productivity. So, if an SME doesn’t have the means by which to hire a permanent in-house accountant, for example, the best option would be to outsource that particular function – at least until such time as it becomes viable to set up an internal accounting department.
There are many services and business functions that can be outsourced, including human resource management, content creation, marketing, and online customer care. Thanks to the rapid growth of IT in Dunedin, especially, an increasing number of SMEs also have access to local world-class companies that can assist them with all their specific tech requirements.
Since an internal IT department can be particularly expensive to run for fledgling companies, outsourcing IT to qualified and knowledgeable companies that can assist in anything from hardware and software acquisition, Cloud computing solutions, and general maintenance to upgrades and business futureproofing is a sure-fire way of ensuring SME longevity.

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