PwC MSME Survey 2020
Case study: DO.II Designs Limited (1/2)
DO.Il
Designs Ltd.
Issues / Problems
Production: Access to regular supply of good quality raw materials;
Full maximization of the supply-chain; Standardization and seamless
flow of operations; Providing low-cost power for the operation of the
entire company.
Finance: Very high interest rates, and very stringent requirements
make the access to funding needed to acquire modern machines, as
well as the technology required to build capacity necessary for growth,
quite difficult.
The Economy: The unease of doing business in an uncertain and
unpredictable environment; Lack of support from regulatory bodies,
insecurity and instability of the exchange rate; Unpredictable
government policies.
Regulations: The issue of multiple government agencies performing
similar roles, yet not providing the necessary support we require.
Taxes and other fees/charges: Multiple taxation and lack of empathy
on the part of government officials in enforcing the tax laws.
Talent: High labour turnover; Inappropriately trained and inadequately
qualified staff who do not really want to work; Difficulty in acquiring
suitable talent for the various roles, which in turn contributes to
difficulty in talent management and retention.
Technology: We need to fully automate all our processes, especially
production.
What has been your responses, or the actions taken to surmount these
challenges?
1) Use of facilities and partnering with friendly financial institution for the
acquisition of the new showroom and the development of a new modern factory
2) Creating new products, a constant review of bill of materials to eliminate
wastages, and constant improvement of quality
3) Adoption of practicable marketing strategies to drive revenue and growth,
constant review of selling prices and effective capital budgeting approach
4) Adhering to regulations, constant monitoring and enforcement of Quality
Control and Internal Control processes
5) Prompt payment and filing of all taxes
6) Ensuring effective talent acquisition, training and retraining of staff, regular
performance and salary review, employee benefits, compensation and
commendations, annual retreats and team bonding exercises.
7) Investment in automatic machines and the deployment of an ERP solution and
CRM software.
As an SME business owner, what solutions or recommendations could you
provide to overcome the peculiar challenges of operating in this
environment?
Be proactive. Be knowledgeable about the business and markets. Enhance
networking. Be smarter and more creative. Be professional. Provide unique quality
products and services. Provide efficient customer service and after sales services.
Be innovative. Ensure staff management and retention.
PwC MSME Survey 2020
PwC
June 2020
40View entire presentation