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ÆITWEB INFORMATICA
Section editor:
Phuti S. Mosomane
Fri, 12 March 2010
 
ICT for SME 2008 in the news
a GSM replaces the office for SMEs [Jacob Nthoiwa]
a Local SMEs face unique challenges [Vicky Burger]
a Open source sets sights on SMEs [Jacob Nthoiwa]
a ICT for SMEs conference arrives [Vicky Burger]

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GSM replaces the office for SMEs
By Jacob Nthoiwa,

[ Johannesburg, 21 May 2008 ] - Most small and medium enterprises (SMEs) no longer need to work from offices, thanks to the potential of GSM technology, says telecommunications consultant Maite Nathaniel Sebolai.

He argues that SMEs “do not need offices nowadays because they can use GSM technology to work anywhere at anytime and improve their business performance without the need for expensive office space”.

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Sebolai, who will present a case study on GSM and SMEs at the ITWeb ICT for SME conference, says “vital business tools, like Web sites, can be managed from anywhere when a company uses GSM technology”.

He points out that even though SMEs are the real backbone of the South African economy, there is one remaining drawback to SMEs' greater use of technology in SA – GSM coverage.

He also points out that some of the locations in SA where SMEs are most important still have no GSM coverage, or have spotty or unreliable coverage. In addition, he adds, 3G features such as Internet access are “still a mystery” in many parts of SA outside the main urban areas.

An SME “can also choose to host its e-mail with companies like MWeb and get 10 e-mail accounts as well as space to store e-mail online", Sebolai adds. E-mail can then be accessed from anywhere, and so SMEs “do not have to worry about office-based servers when they want to access their e-mail accounts".

Increasingly, a business can even be linked to the banks via GSM and can manage the day-to-day financials of the business using cellphones. The payroll and other financial systems can be accessed from anywhere, and employees or creditors can be paid on time even when the person who controls the accounts needs to be on the move.

As for getting paid itself, a business can equally manage its accounts receivable over the GSM network. Even small companies that normally use credit and debit cards to get paid can simply carry their mobile swipe machine with them for on-the-spot transactions anywhere. He adds that there is also a huge potential for SMEs in up-and-coming social networking tools such as Facebook, Skype and Mixit.

Sebolai says cellphones are particularly cost-effective for SMEs when it comes to selling products. "A small vendor can run with very few people using GSM. For example, the company can send out promotional SMSes, which are cheaper than hiring a lot of sales people."

According to Sebolai, GSM is a cost-effective alternative for SMEs and not at all as expensive as many people still believe, especially when compared to the many different costs of running a full-scale office operation.

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Local SMEs face unique challenges
By Vicky Burger

[ Johannesburg, 16 May 2008 ] - The inability to scale bandwidth at a reasonable cost is keeping Third World SMEs from fully harnessing the power of IT to grow their businesses and gain a competitive advantage, says Paul Mulder, specialist technology group manager at Microsoft SA.

The dual First and Third World nature of the South African economy has resulted in a dichotomy between customers in the formal and informal sectors, he notes.

This poses an additional challenge to the local SME, as dealing with customers in the formal economy requires a significantly different approach and strategy to dealing with those in the informal sector, Mulder continues.

The levels of sophistication and geographical distribution of consumers, coupled with bandwidth complexity, means South African SMEs must continually innovate to retain and win market share, he explains.

“The good news for SMEs is the growing trend for vendors to provide small businesses with easy, fast and affordable business solutions.”

Established SME vendors like Microsoft are investing in making their solutions more accessible and simpler to use, he states. Even vendors from the large enterprise space are releasing solutions designed for companies without any IT staff, Mulder adds.

ICT for SMEs

More information about ITWeb's ICT for SMEs conference, which takes place on 27 May at Gallagher Estate in Midrand, is available online here.
Mulder will speak at ITWeb's ICT for SMEs conference, on 27 May at Gallagher Estate in Midrand.

His presentation will compare and contrast the South African experience with common global SME trends and the implications for ICT providers. It will look at the key purchasing audiences and trends such as mobility, CRM, software-as-a-service, IT maturity and virtualisation.

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Open source sets sights on SMEs
By Jacob Nthoiwa

[ Johannesburg, 16 May 2008 ] - Open source companies are increasingly targeting small and medium enterprises (SMEs) in a bid to transform the “old model” of telecommunications provision in SA, says open source guru Rob Lith.

Lith, who is director of open source vendor Connection Telecom, will speak at ITWeb's ICT for SMEs conference later this month.

The advantages of using open source solutions for SMEs are clear: better quality, higher reliability, more flexibility, lower cost and an end to predatory vendor lock-in, says Lith.

He notes that price is usually not the deciding factor as South African SMEs join the global trend towards open source adoption.

Although open source solutions are usually more cost-effective than proprietary systems, Lith says flexibility is the main reason SMEs choose open source.

In a recent Connection Telecom study on the reasons for the growing popularity of open source in SA, SMEs identified four main advantages: flexibility, ownership of the system, control and pricing.

In the past, notes Lith, SMEs had to go to one telecommunications provider, but nowadays, “open standards” give SMEs the flexibility to shop around. For example, they can choose whatever handsets from whatever vendor they want, according to their budget or other factors. They can mix and match and build the precise system they want, knowing that the open standards of open source won't “lock them in”.

ICT for SMEs

More information about ITWeb's ICT for SMEs conference, which takes place on 27 May at Gallagher Estate in Midrand, is available online here.
The result, says Lith, is a complete transformation of “the old model”. The vendor “lock-in” becomes a thing of the past.

Connection Telecom's Asterisk is a free open source telecoms solution developed by Mark Spencer in 2002 and 2003. Spencer was a Linux vendor looking for an open source PABX system. Shocked by the high prices of existing proprietary solutions, Spencer sat down and wrote Asterisk, which by answering the need for a cost-effective alternative, became an immediate global success story.

However, Lith points out that even though Asterisk and other open source solutions are challenging traditional telephony, open source still faces challenges among SMEs in SA. Some SMEs are still not too sure about the stability and quality of open source compared to the established proprietary products.

The solution, says Lith, has to come from “demonstration for adoption”: once SMEs see how well open source products like Asterisk actually work, he argues, they will join the bandwagon because the advantages are so compelling.

Lith's presentation at ITWeb's ICT for SMEs conference on 27 May will focus on open source as a viable alternative in SMEs and a transformation of the status quo.

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ICT for SMEs conference arrives
By Vicky Burger

[ Johannesburg, 5 May 2008 ] - Small and medium enterprises (SMEs) are at a disadvantage when it comes to buying and maintaining technology that suits their environment, says Phuti Mosomane, deputy programme director, ITWeb Events.

These businesses do not have the disposable cash to buy large business servers that can be in place for when it needs to grow. In addition, finding the HR budget to hire IT staff has also been a problem for SMEs, he explains.

Many of the larger vendors are looking at SMEs' business requirements and starting to introduce products that are affordable and scalable for their needs, states Mosomane. However, some are “dumbed down” versions of enterprise offerings that could cost more than they are worth, he continues.

Mosomane says SME owners and managers, especially those looking for technology solutions that are easy to install and maintain while at the same time are capable of growing profitable businesses by offering quick returns on investment, need to diarise 27 May.

“The 2008 ICT for SMEs is a one-day event that provides SME owners and managers the opportunity to understand exactly what technology will be suited to their environments. The event will showcase presentations by experts on the role of technology in SMEs and takes place at Gallagher Estate in Midrand,” he states.

ICT for SMEs

More information about ITWeb's ICT for SMEs conference, which takes place on 27 May at Gallagher Estate in Midrand, is available online here.
The day features presentations from, among others, the Department of Communications, Independent Communications Authority of SA, Small Enterprise Development Agency, Innovation Hub, Enablis Africa, Cape IT Initiative and World Wide Worx Strategy, Mosomane continues.

The event also promises to provide insight into global technology trends relating to SMEs, as well as how major IT players are addressing these trends.

“The event aims to contribute to the sustainable development of SMEs by providing information on and raising awareness of available and upcoming IT technology and solutions. It also hopes to provide a forum where representatives from the SME community can meet and network,” concludes Mosomane.

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The speaker presentations are now available for delegates to download on ITWeb's vCards. 

vCards are virtual networking tools, which offer delegates, speakers and sponsors an interactive communications platform to engage, interact and exchange information.

To get started click on the link below:
http://www.itweb.co.za/events/vcards/

To view the ICT for SME's conference vCards simply enter the username, and password which was sent to you via email.

Should you need any additional information regarding the use of your vCard, contact Maggie on maggie@itweb.co.za or (011) 807-3294.

 

HEADLINE SPONSOR

MTN Business is committed to maximising its customers’ productivity and efficiency by delivering communication solutions to suit their needs. By working with our customers and understanding their requirements, we unlock value for their businesses.

MTN Business offers Small and Medium Enterprise (SME) customers cost-effective business services; from mobile office solutions to specific business packages. Visit www.mtnbusiness.co.za for more details.

ENDORSED BY

Small Enterprise Development Agency; seek to develop, support and promote small enterprises to ensure their growth and sustainability

 

Enablis is a membership based small business development organization that focuses on entrepreneur with and without businesses. Enablis provides networking, capacity building and financing to member entrepreneurs. Enablis currently operates in 5 provinces in South Africa

BRONZE SPONSOR

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