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The Power of Resilience: Ensuring Continuity for MSMEs

The Power of Resilience: Ensuring Continuity for MSMEs

Micro, Small, and Medium-Sized Enterprises (MSMEs) are considered modern-day heroes who play a crucial role in the Philippine economy. They account for more than 99.59% of registered businesses in the country, according to the Philippine Statistics Authority (PSA), and contribute significantly to job generation and overall economic growth.


However, they're also among the hardest hit by disasters or technology disruptions. In today's rapidly evolving business landscape, MSMEs must adapt and embrace technology to remain competitive and protect their business from such disruptions.


Today, with technological advancements transforming businesses' operations, MSMEs must level up their game to stay competitive. Undoubtedly, technology has become a major driving force in today's world. As such, MSMEs must embrace technology to build sustainability and continuity in their business operations.


This article will provide valuable insights and practical strategies for business owners to enhance their long-term viability and ensure survival in the face of various challenges.


Importance of Business Continuity and Sustainability


Because of limited resources and a lack of comprehensive risk management strategies, MSMEs are more vulnerable to disasters, leading to closures, loss of assets and jobs, financial setbacks, and even bankruptcy. 


Aside from natural calamities, MSMEs face other challenges, such as technological disruptions, changing consumer behavior, market competition, and economic instability. These factors can significantly affect the operations and sustainability of businesses. Therefore, MSMEs must adopt a proactive approach and cultivate a sustainable and adaptive mindset to navigate the challenges of the digital age effectively.


One of the main goals of MSMEs should be to ensure that they can continue their operations despite the different challenges they face every day. To make it possible, business owners must create a Business Continuity Plan (BCP) to build sustainability and business continuity.


The concept of BCP holds immense significance for MSMEs, emphasizing the need for preparedness and strategic resilience. A business continuity plan is a proactive way to address and mitigate risks that could harm the business. It outlines procedures and strategies to ensure business continuity during and after disasters or disruptions.


Additionally, the Department of Trade and Industry (DTI) launched a self-assessment tool for MSMEs, allowing business owners to evaluate the degree to which they are ready to embark on digital transformation.


The Need for Digitalization


The change in consumer behavior saw increased growth in e-commerce in the country. According to the report "e-Conomy SEA 2023" by Google, e-commerce predominantly drives the digital economy of the Philippines, with a projected Gross Merchandise Value (GMV) of $35 billion by 2025.


Despite this promising potential, only 6% of MSMEs in the Philippines have implemented advanced digital tools for their businesses, while 23% are yet to adopt any digital solutions, as reported by DTI.


The primary barriers include:

  • Lack of knowledge and skills
  • Limited access to technology
  • Concerns about the initial costs of implementation


Digital tools play a crucial role in ensuring uninterrupted business operations and growth. Hence, embracing digital adoption becomes a key catalyst for achieving business success.


MSMEs can overcome these barriers through seamless stakeholder collaboration, various programs and initiatives that provide them with the necessary resources and training, and talking to the right partners to support them in making a smooth transition to digitalization.


Through digitalization, businesses can leverage efficient and effective ways to streamline operations, optimize process automation, improve data security, broaden customer reach, and enhance customer engagement.


In the last 2nd Asian Innovation Forum (AIF) held at the Bellevue Hotel in Muntinlupa City, Globe's senior director Anne David said, "We know that digitization efforts pose additional burdens on some MSMEs. But, indeed, the power of technology is an automatic return on investment."


How to Digitize Your BCP


Integrating digital solutions in your BCP is a crucial step toward building sustainability and continuity in your business. Here are some practical strategies to help MSMEs embrace technology for their BCP:


Leverage Advanced Connectivity Solutions


High-speed internet and wide coverage are fundamental for maintaining communication channels, cloud service accessibility, and operational efficiency during routine activities and crucial when disaster strikes.


Globe Business provides a range of connectivity solutions designed to meet the diverse needs of MSMEs. By utilizing services such as leased lines for dedicated internet access and broadband plans for flexible, cost-effective connections, businesses can ensure they have the optimal setup to remain resilient in the face of any contingency.


Foster a Collaborative Remote Work Setting


With the rise of remote work arrangements, business owners can leverage cloud-based productivity solutions to stay connected with their employees and ensure uninterrupted operations, regardless of geographical location or potential disruptions.


Globe Cloud Solutions has made this easier with its suite of cloud-based solutions that enable businesses to collaborate, communicate, and access essential data remotely—anytime, anywhere.


Safeguard Data From Cyber Attacks


Data breaches and cyber-attacks are real business threats, and MSMEs aren't exempt from them. According to the recently published report, "2023 State of Cybersecurity ASEAN" by Palo Alto Networks, 29% of local organizations in the Philippines saw an increase of 50% or more in disruptive cyber incidents during the past year.


To prevent such incidents from happening, Globe Business provides end-to-end cybersecurity solutions that help businesses identify, protect, detect, respond, and recover from cyber threats. These measures are vital for mitigating the business's potential financial and reputational harm.


No Better Time Than Now


In a world filled with uncertainties and unpredictable events, implementing a robust business continuity plan isn't merely an option but a necessity for MSMEs. It empowers businesses to promptly respond to incidents and mitigate any further disruptions to operations. Moreover, a well-executed BCP aids in minimizing financial loss and ensuring the maintenance of critical functions and services at an acceptable level for customers and stakeholders.


Globe Business is committed to providing MSMEs the tools they need to thrive in an ever-evolving business landscape. Our comprehensive end-to-end solutions, such as connectivity, cybersecurity, and cloud solutions, can help enhance your operations and strengthen your business resilience.


Get in touch with your Globe Business Account Manager or contact us today.