Small business ahead in e-biz race

Research conducted by Big Five firm KPMG and the CBI found that medium-sized businesses are in danger of falling behind in developing their websites, improving administration and developing IT solutions tailored for their business.

According to Andy Tinlin, a consulting director at KPMG, small companies realise the opportunities to be had by investing in e-business solutions as they have a short-term decision making process.

Furthermore, the costs of the IT industry fit in well with the way small business operates.

Tinlin said: ‘In the past businesses were compelled to make a huge upfront investment in technology. But nowadays, the costs can be incurred in a more gradual way.’

Larger companies, in contrast, may take longer to make decisions about setting up something like a new inventory systems, and will spend more time on performing a cost-benefit analysis before implementing new IT solutions.

But, Tinlin warned small businesses could become ‘trapped’ if their systems advance beyond those of customers and suppliers.


SMEs urged to use supply chain services

Ebusiness page

Related reading