Lack Of Digital Confidence Harming Small Firms

It can be difficult for small firms to think of everything or make sure that they are covered for every area of the business world. There is definitely a need for small firms to make do as best they can at times and this will often lead to staff members doing roles that they current don’t have the skills for or have access to the best equipment. This can be a challenge but as a small to medium sized firm, there is often not a lot that you can do but just get on with things. However, in a study undertaken by the Federation of Small Businesses, the FSB, it appears that a lack of digital skills is having a negative impact on productivity in the United Kingdom.

The study found that 26% of business owners in England didn’t have confidence in their basic digital skills. There was also a return of 22% which suggests that a lack of basic digital skills is actually holding small to medium sized companies back in the present day. The FSB has called upon the National Retraining Scheme, which was announced in the most recent budget as a way of boosting digital capability in the country, to be developed with these firms in mind.

Mike Cherry is the National Chairman for the FSB and he said; “Productivity is being hampered by nagging skills shortages, which are making recruitment a nightmare for small firms. As the UK moves towards Brexit, a technical skills black hole threatens the economy.Small firms also tell us that technical skills are crucial to the future growth of their businesses. The clock is ticking to tackle the ever-widening skills gap.”

It has been revealed that 30% of small businesses across England who have tried to recruit in the year since the European Union Referendum vote have encountered difficulties in bring employees in. This is because there is an acute skills shortage in the country but it is not just the act of finding new employees that is an issue for firms. It has been found that many small business bosses or owners lack a formal budget or training plan. There is a need for companies to develop a more strategic approach in their activities and this is something that should be tackled nationwide. It is understandable that many small firms don’t have the time to undertake a lot of training but without it, there can be problems.

The importance of recruitment has never been stronger for small firms and it is vital that companies know what gaps they have and how they can best fill these gaps. Companies have to be able to spot their own weaknesses in order to move forward and it is through intelligent recruitment that small firms can grow and prosper. It isn’t always easy to find the help a small business needs but it can be achieved with a good level of forward planning and consideration.