eBusiness Weekly
Joseline Sithole
I have decided to come out of my “hibernation” and semi – retirement and write on my favourite SME issues.
The pictures of COVID 19 deaths across the globe and lately of my fellow Zimbabweans who are working in the United Kingdom, have been surreal and tragic and had me all curled up in a retrospective and sad mood.
On the social media, the barrage of information on my WhatsApp groups also seem to be diminishing. I have made all the various concoctions I have received with gusto and with a dedication that I think is unmatched by any of my readers.
My sister, an overenthusiastic purveyor and sender of Covid 19 information, was sadly removed from some groups; some of them church groups. She remains unrepentant up to this day and proudly declares her social media humanitarian efforts, as a contribution to save humanity.
On my side the pandemic has brought some positive outcomes to my otherwise not so exciting existence. Let me explain myself. These last three weeks have been an eye opener and when your mortality is now defined by a “sneeze” and “washing of hands” you know you have got to change. I daresay, I now have a new respect for Lifebuoy soap and Dettol.
Cleaning has taken a whole new meaning and it seems every day I have to fight with this virus through ensuring that I clean as much as possible.
Though every business in the world has had to learn to keep hygienic conditions, COVID 19 has forced people to realise the inevitability of change; in attitude, in the way we conduct our businesses and above all in the way we treat each other.
According to Amit Ray when commenting on Covid 19 Pandemic; “The Centre of your heart is the center which radiate positive vibration for the wellbeing of the humanity.” Here are some of the lessons we are learning from this pandemic.
Being Human versus Business
Kiran Mazumdar-Shaw an Indian billionaire and chairperson and managing director of Biocon Limited, a biotechnology company based in Bangalore India, has this to say about the pandemic. She notes that “Ultimately the greatest lesson that COVID 19 can teach humanity is that we are in all this together” SMEs should recognise the fact that, they need each other for them to thrive and survive.
However, Zimbabwean SMEs are notoriously individualistic in their thinking and the way they conduct their businesses. This is not the time to be hoarding Mealie Meal, and selling at exorbitant prices but to be thinking about your fellow countryman.
Where possible giving your time and resources to other SMEs is also a laudable gesture. According to Sandra Kawodza, managing consultant of Eclipse Executive Selection Private Limited, SMEs should develop a habit of “giving freely” in time, resources or expertise to other enterprises. She argues that having such a philosophy will also reap benefits in the future.
The Internet, Technology and Social Media are good for business
Traditionally, SMES, have used social media to their advantage in terms of marketing their products. According the Small Business Trends website, 77.6 percent of SMEs report, using social media as a means of marketing their businesses.
But the Covid 19 pandemic has shown that the use of internet is now not optional but a necessity, especially among women led SMEs who are traditionally known to be technophobic.
The financial landscape is one such example of an industry where transacting on the internet is now a necessity. BancABC has launched a virtual branch called Branch X.
According to Dr Lance Mambondiyani the chief executive officer of Banc ABC, Branch X is a virtual branch that allows “Our customers to do all their banking service without setting foot in one.”
The CEO goes on to note that “Branch X, is that ultimate combination of people technology to deliver banking differently. In conclusion, Sandra Kawodza points out that you got to have some “digital footprint of some sort”
Make a Habit of Futuristic Planning
I found the request from the Ministry of Women and Small and Medium Enterprises for SMEs to submit names of business enterprises in distress, quite interesting and eye opening. That SMEs have been affected by the current pandemic is an understatement.
Various countries including, Zimbabwe have thus made arrangements for SME packages to cushion them against the negative impact of the pandemic. Various empirical studies have shown that strategic planning is a precursor to successful growth of an enterprise.
However, according to, Talk Business website; a UK based blog site, 1 in 4 SMEs in the UK don’t bother to use a business Plan leaving them in danger of losing direction.
To this end, Farai Mashingaidze, the owner of Oasis Cars advises SMEs to always have enough float to carry them through for at least 3-6 months. He also notes that “Businesses have not cared enough for their employees” who unfortunately have borne the brunt of the negative effects of the pandemic.
The Rise and Rise of Artificial Intelligence
Robots are changing the way we do business especially in emerging countries. Though we have not seen a lot of robotic activity within the SME realm, there is no doubt that robots are here to stay.
According to the Manufacturer website, 16% of SME manufacturers are already using robots. This has led to increased efficiency and better quality of products.
Basically speaking the human factor is slowly dissipating from the workforce. According to Small Business Insider, research suggests that by 2021, there will be over 4 million robots doing office, administrative sales and related jobs.
For example, SMEs within the landscaping business will find that they might need to reduce their workforce as there are now robotic lawnmowers.
Some sectors are perennial.
My brother, Desire Sithole, a former forester had his very first vegetable commercial crop in 2019 on our one-hectare farm. Indeed as a family from these humble beginnings we have realised that agriculture is indeed a lucrative industry.
Desire Jongwe a youth entrepreneur based in Mutare has successfully transformed from being a programmer to successfully growing vegetables and producing chickens.
The bottom line is people will always need to eat. Predictably, for those employees who have already lost their jobs due to the pandemic the agricultural sector is a good place to embark on a business startup.
New Businesses Opportunities
In the same breadth we have seen an upsurge of health related businesses. The SME community woke up ill prepared to massive untapped business opportunities in the health sector, an industry which is traditionally a purview of large industries.
As we move onwards, the need to be healthy and hygienic will be permanently etched in the Zimbabwean psyche.
Progressive SMEs and startups will thus start investing in infrastructure and the requisite quality standards to meet demand. According to Minister Stembiso Nyoni, SMEs should take advantage of the Covid 19 pandemic to explore this uncharted business territory.
However, Farai Mutambanengwe the Founder of Small Medium Enterprises Association of Zimbabwe (SMEAZ) has warned against producing sub-standard goods.
The need for Strong SME Institutions
Zimbabwe has more than 16 SME Associations, which invariably represent a plethora of business interests to their members. These interests range from collective bargaining, fulfilling individual needs and others. Lately I have received 4 links which needed my input on how Covid 19 has affected businesses.
I had also concluded my own research on the same. Unfortunately these researches were not synergized and I am not sure whether the results will be made public. SME institutions need to synchronize data sharing in order to inform the country on everything SME related.
Family is important after all
Sadly there has been an onslaught of and upsurge of domestic violence this Covid 19 pandemic. While writing this article I am listening to Power FM.
The topic of the day; “How has Lock down affected relationships.” Sadly 90% of listeners who have participated have expressed their derision with the lockdown with the most famous saying being “Pakaipa, Chakachaya” (meaning things are bad.) In my article entitled “Mental Health and SMEs” I wrote about how SMEs are infamous for overworking and not spending time with their families.
This time of forced enclosure is a time for reflection. Having your child asking, ”Daddy when are you going back to work” is a sad reflection of a relationship gone completely awry.
In conclusion Covid 19 Pandemic is teaching humanity a lot of lessons and the SME business fraternity needs to “gird its loins” and adapt to these changes. One observer noted, “Dealing with uncertainty and flat growth is the new business normal.”
Joseline Sithole is an SME Consultant and founder of Southern Africa Development Consultants (SODECO). For comments write to her on [email protected] or whatsapp +263773634062
