A panel discussion at Xcelerate 2024 in Kolkata delved deep into the challenges and strategies of digital transformation for Small and Medium Enterprises (SMEs). Industry leaders from diverse sectors shared their insights, challenges, and triumphs in harnessing technology to drive business success.

The panel, comprising Indrajit Dhar, Associate VP – Accounting & Taxation Cum Company Secretary at Albert David Ltd; Anirban Dey Sarkar, Sr. Manager, IT Applications Head at Gainwell Commosales Private Limited; Srimanto Chatterjee, AGM Corporate IT Head at Green Valliey; and Nitish Dhawan, DGM – Sales, Schneider Electric, offered a comprehensive view of the digital landscape for SMEs.

Overcoming the Digital Divide

The panelists underscored the importance of a holistic approach to digital transformation. “Digital innovation should be thought about totally at a digital level,” asserted Dhar, emphasizing the need to integrate technology across all business functions. Sarkar echoed this sentiment, highlighting the importance of customer-centricity. “We create solutions so that customers don’t have to call us. We reach the customers at the time that they need,” he stated.

The pharmaceutical industry, often seen as a traditional sector, is also undergoing a digital overhaul. “We have now introduced e-reporting. That all the field ports have to report about their attendance, their doctor visit, their sample distribution, their product input distribution. All these things are digitalized,” explained Dhawan. This shift towards digital operations is crucial for improving efficiency and compliance in a highly regulated industry.

Navigating Challenges and Finding Solutions

However, the path to digital transformation is fraught with challenges. Chatterjee, from the manufacturing sector, shared the common hurdle of budgetary constraints. “When I went back to my boardroom asking my directors that this is what the price is asking, I always used to get a reply, see, can you get something else?” he recounted. This highlights the need for SMEs to demonstrate the tangible business benefits of digital initiatives to secure necessary investments.

Innovative solutions are often the key to overcoming such challenges. Chatterjee’s company, for instance, developed an in-house app to enhance maintenance processes without incurring significant costs. “We introduced a simple NFC enabled chip over there. And we in-house developed an app which would force him to reach that place, tap his NFC enabled mobile on that particular, then the checklist opens, he fills up the checklist data, he captures live photographs of it,” he explained. This example underscores the power of creativity and resourcefulness in driving digital transformation.

Evaluating Technology Adoption: A Multifaceted Approach

The panel also delved into the factors that SMEs should consider when evaluating new technologies. Sarkar emphasized the importance of understanding the business context and the role of technology partners. “The partner who is implementing the solution may not understand our business goals, because every industry has its own way of operating,” he cautioned.

Chatterjee highlighted the significance of scalability and flexibility. “Technology is changing very fast. In next 2-3 years, we don’t know what we are getting. So at least keep in your mind, think what next may be included in it, keep that in,” he advised.

Dhar added that financial considerations and user experience are crucial factors. “We have to give the return part in terms of services or in terms of revenue enhancement or in terms of cost reduction,” he explained.

The Role of a Strong IT Backbone

The discussion then shifted to the importance of a robust IT infrastructure to support digital transformation. Dhawan emphasized the energy consumption of data centers and the need for efficient cooling solutions. “Even for a 1% or 2% of that, if you save, you will save huge,” he said.

Audience Engagement and Future Outlook

The panel concluded with a Q&A session, where attendees raised questions about data security, customer experience, and specific technology solutions. The experts provided insights into these areas, further emphasizing the importance of a strategic approach to digital transformation.

The panel discussion at Xcelerate 2024 offered valuable insights into the challenges and opportunities facing SMEs in their digital journeys. By sharing their experiences and best practices, the panelists inspired the audience to embrace technology as a catalyst for growth and innovation.