Steve Ballmer cites the advantages of small and midsize companies compared with larger competitors. Plus what technologies SMBs care about most, and whether small companies will lead us out of recession.
Ripping a page from the bMighty Manifesto, Microsoft CEO Steve Ballmer heads up the company's recent SMB survey by noting that these days, smaller companies actually have an advantage compared with their larger competitors.
As bMighty's Ben Tomkins pointed out last week, the 2009 Microsoft SMB Insight Report contains some useful insights into what other small and midsize companies are thinking and doing. And the study also contends that small businesses are more recession resistant than larger companies. I'll have some additional comments on those points in a minute. But I was thunderstruck by the Ballmer quote on the cover page:
"Because they can respond so quickly as business conditions change, small and midsize companies have an advantage in a volatile and uncertain economic climate. The right information technology tools and solutions lets them build on this advantage by helping them cut costs and improve productivity today, while enabling them to stay focused on innovation so they will be poised for growth when the economy begins to turn around."
Wow.
That's pretty much exactly what we've been saying since we launched bMighty.com way back in August 2007. It was true then, and it's even truer now.
Don't Miss: The bMighty Manifesto: Small Is The New Large
Of course, Microsoft isn't the first mainstream organization to sip the bMighty Kool-Aid. Earlier this month, the Huffington Post proclaimed Big Is No Longer Best, as if it had made up the idea itself. Don't get me wrong, though. Small Is The New Large is a concept with room for everyone. I just wonder who's gonna be next?
What Are SMBs Doing About IT In 2009?
While we're waiting, let's take a look at Microsoft's inaugural study of SMBs -- which it conducted not by talking to actual small and midsize businesses, but by surveying its partners, who sell to SMBs in the United States, Canada, the United Kingdom, France, and Brazil. About half the survey is about their opportunities, but we'll leave that to our friends who cover the channel. We're more interested in what we can learn about SMBs themselves.
Download the 2009 Microsoft SMB Insight Report in MS Word document format.
Four of the five key trends identified in the report are worth repeating here, along with some bMighty commentary:
- Strategic IT Investments Bolster the Bottom Line. bMighty couldn't agree more. Technology is often the key to SMB competitiveness.
- Lower Budgets Mean Less Has to Be More. True enough. Revenue and budgets may be threatened, but the challenges are bigger than ever.
- Service and Responsiveness Are Key to Customer Retention. Microsoft says technologies like collaboration, mobility, and business intelligence can help. We say technology is part of the solution, but so is staying close to customers and prospects, and paying attention to their needs.
- Smaller Companies Will Increasingly Adopt Cloud Computing. Microsoft says smaller businesses will remain cautious, about the security, reliability, and interoperability of cloud-based offerings, and will look for hybrid solutions. bMighty says cost pressures will push startups and smaller companies toward the cloud, and traditional hardware and software vendors will find themselves increasingly competing against hosted alternatives.
Next Page: What It Means In The Real World
