Right technology solutions can be a game changer for MSMEs states Tally Solutions
CXOToday has engaged in an exclusive interview with Mr. Mukesh Khanna, Head – Strategy and Key Initiatives, Tally Solutions.
Can you give a perspective on the kind of digitization that is happening in the MSME space?
Digitization amongst MSMEs is not a new subject. Till recently triggers like sentiments to modernize the workflow, ease of adhering to compliance requirements like GST and sometime even the push from technology solutions like on-line marketplaces were the factors that drove the adoption of digitization. However, in a way, the pandemic accelerated the digital adoption by organizations, big and small. The business continuity of MSMEs was especially affected making them realize the importance of investing in digitization. They got a first-hand experience and understood how digitization can ensure continuity even during testing times like COVID and fast tracked the adoption of digitization.
Some of the key business areas that MSMEs are digitizing for better productivity and growth include automating bookkeeping, inventory management, data analysis to make informed and insightful business decisions, staying complaint especially with the advent of GST and e-invoicing.
In your view which are the areas that digitization can help MSMEs
There are several areas which can be improved with the help of digitization to ensure business continuity and improve productivity. MSMEs spend a substantial amount of time and resources towards repetitive tasks which can be easily taken up by automation. Technology adoption can provide real time data which can not only help in taking timely decisions but also improve efficiency and enhance vendor and customer management experience. Staying compliant is another area that digitization can help MSMEs with. Using the right technology product can aid MSMEs keep track of all the compliance requirements and file them on time. Breaking the geographical barrier and increasing sales that too with limited human intervention is another a critical advantage that MSMEs can reap by adopting digitization.
We speak about customer managements and all businesses including MSMEs are increasingly becoming cognizant of its importance. CRM is definitely another area that automation helps in.
What are the challenges that they are facing when it come digitization?
The rate of digitization has drastically increased in the last few years, especially during and post the pandemic. However, there are still several challenges grappling the sector when it comes to a seamless adoption. One of the biggest challenges that is slowing this adoption is limited availability of appropriate guidance or advice when it comes to the kind of technology intervention needed in the business. While there are several options available, it is imperative that business owners understand which software is made for them, a software that adopts to their requirements and not the other way round. Another challenge is the lack of availability of productized solutions to allow businesses to digitize their key area of operations at a reasonable cost.
Which are the areas that Tally Solution supports MSMEs?
We have been continuously investing and innovating in bringing out software products that can improve the efficiency and productivity of small and medium businesses across the globe. For instance, our flagship product TallyPrime is designed to enhance the efficiency of MSMEs in managing several important areas of their business like sales, purchase management, receivables and payables management, inventory management, compliance related to indirect taxes. The product also provides several insightful reports for efficient and timely decision making.
Apart from offering entrepreneurs with an effective and comprehensive business management software solution we also invest our energy and time in educating MSMEs about the changing compliance landscape. This includes conducting extensive educative campaigns at regular intervals across the country. The most recent one being the awareness around phase wise implementation of e-invoicing.
Your views on how connected technologies can be a game changer for MSMEs.
Connected technologies will ease some of the major hurdles that MSMEs are facing today. One of the finest examples of how connected technology can help is the Account Aggregator. It can ease access to credit, which is the biggest challenge that Indian MSMEs face. Having said that, the concept of connected technology as a concept is not fool proof. Often customers today need to compromise on control over privacy and security when they move to the cloud. Further, the expenses that they bear to get the benefit of anytime, anywhere access is still quite high. Removing these bottlenecks through innovation would be critical so MSMEs can garner significant benefits at zero or little compromises.
