South Africa’s 2.5-million small and medium-sized enterprises (SMEs) are bearing the brunt of the Covid-19 pandemic and the subsequent restrictive economic measures taken to limit its spread.

An additional 1 600 SME insolvencies are expected this year, as the global outbreak comes with a huge economic price tag, says telecommunications group MTN SME-Enterprise Business Unit acting GM Songezo Masiso.

“To survive and prosper in this new world order, SMEs will have to review their business model and integrate smart solutions in order to become more agile and to improve efficiencies,” he says.

While many emerging businesses are still reeling from the impact of the Covid-19 mitigation measures, with spending on information and communication technology (ICT) likely having been scaled down as cash-sensitive SMEs try to stay afloat, many fledgling enterprises will realise that adoption of smart ICT solutions is a critical success factor for survival.

Earlier this year, and before the outbreak, the International Data Corporation predicted that the total ICT market in South Africa would reach $26.4-billion in 2020, growing by 2.5%, despite sluggish economic growth.

“The extent to which SMEs manage to integrate smart ICT solutions into their operations will determine their success or failure post the Covid-19 lockdown,” he says, noting that agility and ruthless efficiency will be the buzzwords that define the SMEs of the future in a sector that is yet to unlock its full potential.

The development and implementation of decision-making protocols to respond swiftly, with minimum involvement, are key, considering the ever-changing nature of the current crisis and the SMEs’ limited available resources.

The national lockdown has already accelerated the adoption of virtual solutions and online solutions in the fields of commerce, education and the public sector.

“We expect this momentum to continue as SMEs start to reap the rewards of adopting new ways of working and using virtual platforms to operate,” Masiso points out.

The adoption of smart solutions can help SMEs to cost-effectively improve brand exposure, enable remote working and virtual collaboration, enhance customer communication, reduce operational costs, improve security and streamline project management.

“Customised solutions will become some of the tools needed to help with business continuity,” he says.

In the postlockdown era, cloud-based services, including security, storage and backup solutions, will be the key solutions that will help SMEs navigate through the storm.

“Digital gadgets that avail remote working, telecommuting and enable all internal and external communications, such as MTN Business Hosted PBX, provide great examples of long-term investments that will help to safeguard businesses from any turbulence that may come,” he says.