Digital transformation of Hong Kong SME's 25th aug2020
- 1. Digital Transformation of Hong Kong SME's Prof. Joshua Chukwuere Dept. of Information Systems North-West University, South Africa
- 2. Introduction Digital transformation impacts every sector of the economy including SME business. Digital transformation benefits from modern technologies such as cloud computing, big data, artificial intelligent (AI), machine learning, mobile (smartphone), social media and many more. To proceed, remember the 4 W’s & H What – Digital transformation, and SMEs. Who – Entrepreneur - SMEs. Where – Digital - Online. How – Transformation - Change. Why – Importance (Modern). Digitalisation is here with us, and rethinking our business process in this modern age is called – Digital Transformation.
- 3. What – Digital transformation, and SMEs. Digital transformation Is the application of modern, fast, reliable and changing digital technology to provide solutions. It transforms existing business, cultural processes and experiences to current business changes and market expectations. For example, cloud computing. Types of digital transformation: business process, business model, domain, and cultural/organizational What – Digital transformation, and SMEs.
- 4. What –SMEs. Small and medium-sized enterprises (SME’s) or small and medium- sized businesses are businesses whose number of employees are few or limited. SME’s are formal businesses managed by an entrepreneur with the purpose of creating employment and profit. Globally, SME’s generate high number of employments and contribute to Gross Domestic Product (GDP). For example in India, between 2016- 2017, 28.9%, and employment in Hong Kong – (over 23%). Digitalisation can make SME’s competitive in working and tracking suppliers and engaging with customers. What?
- 5. Overview of SMEs Hong Kong. Source: Support and Consultation Centre for Small and Medium Enterprises (SUCCESS) Industry SME’s Employment Manufacturing 8 287 47 604 Mining & Quarrying; Electricity & Gas Supply, and Waste Management; and Construction 1661 15 737 Import/Export Trade and Wholesale 106 397 390 757 Retail 43 987 135 374 Transportation, Storage, Postal and Courier Services 8 432 45 269 Accommodation and Food Services 14 005 118 947 Information and Communications 15 534 50 435 Financing and Insurance 30 322 67 262 Real Estate 16 683 36 048 Professional and Business Services 52 273 164 816 Social and Personal Services 44 518 173 479 Total 342 099 1 245 728
- 6. Who – Entrepreneur - SMEs. SME’s are entrepreneurs who employ millions of people across Asia. Nevertheless, challenges exist: Inadequate capital availability, Low technology adoption, Skills, Infrastructure and many more.
- 7. Where – Digital - Online. ERP and digital transformation for SME’s Benefits (mobile and cloud-based solutions): accounting, inventory, finance and resource management. Social media and digital transformation for SME’s. “These pillars should be present in each SME in every country: social media, digital marketing, cloud, and mobility.” – Antonis Rouseliotakis, Social Handlers Why SME’s on social media? Social media is a powerful tool for growth. Marketing strategy Boost brand Customer engagement Online dialogue Grow sales
- 8. How – Transformation - Change. Digital transformation drives change from old to new. To drive the change SME’s must rethink and change their perception of technology. Every SME’s is already in the world of digital transformation, but your attitude, decision-making skills and ability to change matters.
- 9. Why – Importance (Modern). Industry 4.0 (Fourth Industrial Revolution 4IR) is here and others. Empowerment and competitive Digital economy Increased efficiency (operation) Increase in profit.
- 10. Digital transformation in action Already digitally transforming Source: IDC
- 11. How businesses (SME’s) can stay current? Must have: Website – customer can order, and buy product and services. Social media presence – Facebook, Twitter, YouTube and others. Third-party online sites – Alibaba, Amazon and others. Others.
- 14. Email: [email protected] [email protected] Twitter: @donsimajosh Website: www.afriquetech.co.za Twitter: @afriquetech1