Mobile technology. A deal breaker in sustaining SME growth

It is fast becoming well-known that SMEs contribute significantly to the economic growth of developing nations, including Ghana.

Statistics from the Registrar General’s Department indicate that more than 90 per cent of companies registered are micro, small and medium enterprises and these companies have been identified as major sources of income and employment for Ghanaians. However, many struggle to sustain productivity, and scale up to the point where they can successfully compete with other regional and international players.  

A 2015 GSM Association Report on the impact of mobile telephony on economic growth found a direct link between mobile connectivity and productivity of businesses.

According to the report, mobile penetration leads to economic growth, hence growth in mobile data consumption has the potential of transforming the way in which businesses and consumers operate and communicate, and as such, increase economic growth through increased productivity.

Latest figures released by the National Communications Authority (NCA) show that Ghana's mobile phone penetration has risen to 127.63 per cent as of December 2015, while the number of mobile data subscribers is at an access rate of 65.74 per cent.

According to the acting Director for tiGO Business and Director for Customer Operations, Mr Stephen Essien, these figures are indicative that a large number of the country’s population have access to either basic or advanced forms of mobile technology; a situation which tiGO Business is capitalising on to help small businesses grow.

“Businesses today want higher productivity, greater efficiency and more control. With a focus on enabling growth, tiGO Business has developed tailored, cost-effective, innovative and reliable communication solutions for SMEs and corporate entities within the country,” he said.

Through the years, tiGO Business has supported a lot of companies, which began as sole proprietors and Small and Medium Enterprises (SMEs), to experience significant growth.

“Mobile technology as a catalyst to spur growth is something we are very enthusiastic about, and extremely keen on using to help our customers move forward. As part of our evolution at tiGO Business, we have dedicated account management teams for various industries such as finance, education, mining, manufacturing, retail and more. The teams have deep knowledge and understanding of the numerous challenges of businesses operating in these areas,” Mr Essien said.

“Based on this, each product and service we have developed is crafted to assist businesses overcome these difficulties by staying focused, increasing their productivity, and effectively monitoring their input, output and overall progress,” he added. 

The GSM Association Report further indicates that a country’s GDP is increased through the better utilisation of capital and labour inputs of its citizens. Thus, countries with 10 per cent higher mobile penetration will experience an increase in its annual GDP growth of an estimated 4.2 percentage points.

“We understand that higher investments in the mobile sector which results in wider access to mobile telecommunications will generate employment in the form of mobile-related economic activities, and wider growth in the economy. This will in turn reduce transaction costs, promote organisational efficiency and allow for faster information flow and dissemination.” 

Mr Essien expressed the hope that SMEs could become more competitive and resilient by taking advantage of connectivity and communication tools such as those offered by tiGO Business solutions, namely fixed portfolio, mobile and advanced services (dedicated internet, leased line, WAN packages, ISDN/ SIP trunking, VPN over mobile and cloud computing). By doing so, limited resources invested into business operations can reap the needed benefits.