Are you a small business owner looking to incorporate technology into your small business? If yes, then there are pros and cons you should know about:
Pros of Technology in Small Business Startups
1. Sharing and Collaboration
Small businesses usually work closely with their customers to offer them services and products that increase their quality of life. Being able to convert an idea into a finished good or service needs owners of small businesses to collaborate with their employees and vendors. Through instant messenger tools and E-mail, small companies can engage in online collaboration and sharing. Businesses can instantly connect, share data, and get immediate feedback.
2. Flexible Work Environments
Through technology, owners of small businesses and their staff can work in the office from the road, from across the nation, and from home. This offers small businesses the chance to acquire talent from all over the globe. This offers small businesses a competitive edge in the business world.
3. Immediate Connection with Clients
Owners of small businesses no longer require mailing surveys to clients and waiting for days for replies. Also, they do not need to call clients for feedback. Technology provides small businesses the opportunity to connect with their clients through forums, social networks, e-mail, and blogs. A small business owner can leverage this instant connection by receiving immediate feedback and applying corrective measures where applicable.
4. Online Stores
Technology offers painters, accessories and clothing designers, and crafters the opportunity to create online stores instead of investing in expensive storefronts. Online shopping has become popular with consumers moving to the internet to shop for goods like gifts, clothes, groceries, devices, and more. Small business owners with storefronts can set up online stores to increase their visibility and reach potential customers away from their location.
Cons of Technology in Small Business Startups
It is not possible to invest in technology as a one-off expense. You will require to make regular updates and have IT professionals make regular maintenance. Additionally, with advancement in technology, you will need to upgrade your technology. You will also require to incur additional expenses like Internet and electricity.
2. Lost Productivity
In case there is system downtime, and work cannot continue because the business relies on the system to continue, there will be unproductive employees. With technology, a small business owner needs to hire employees who are personally responsible when it comes to handling technology so that they can manage personal time and maximize productivity.
3. Enhanced Security Concerns
Accessing proprietary information has become a lot easier with technology. Email and instant messenger systems have increased the speed of communication but have also opened up room for Trojan horses, viruses, worms, and other forms of attack.
Technology has led to the creation of staff that relies heavily on it to accomplish their tasks. As a result, employees can effectively accomplish their tasks without human interaction since technology removes the room for interpersonal relationships. Therefore it leads to employees who lack personal interactions. Sometimes mobile devices lead to working during personal hours.
Technology has enhanced the establishment of a flexible office, sharing and collaboration, the creation of online stores, and instant connection with customers. While owners of small businesses can leverage on these benefits, they also face drawbacks such as employees with poor interpersonal skills, susceptibility to attacks, increased costs, and lost productivity in case of downtime.