Kingston Smith launches report into the key triggers for success amongst UK SMEs
Success in challenging times: Key lessons for UK SMEs Success in Challenging Times: Key Lessons for SMEs Success in Challenging Times: Key Lessons for SMEs We are delighted to share the results of our report ‘Success in Challenging Times: Key Lessons for UK SMEs’ identifying the triggers for success amongst Small and Medium Size Enterprises.
The report was launched by Michael Fallon MP, Minister of State for Business and Enterprise at Google Campus on 11th October 2012 in front of a packed audience of SME business owners.
The research conducted by Professor Mark Saunders, Professor David Gray and Harshita Goregaokar of the University of Surrey is based on the views of over 1,000 business leaders in the UK and delves into the key triggers for success.
The key findings cover a wide range of areas including finance, social media, networking, exporting, access to advice and leadership.
There are approximately 4.5 million businesses employing fewer than 250 people in the UK, providing a total of 13.7 million jobs, equating to half the private sector workforce in 2011. However, while such Small and Medium Enterprises (SMEs) are of importance, it is their durability that can be considered of greater significance. The precarious nature of SME existence has been well documented. Only about 65% of small businesses are still trading after the first three years of initial start-up. After five years, fewer than 45% of businesses will have survived. Put simply, small firms are more likely to die than larger firms. Indeed, other than size per se, the higher likelihood of death is what distinguishes small from large firms. However, multiple failures can be experienced as the springboard for later success (provided learning takes place). Much of the research into small firms has focused on their failure. The danger of this approach is that it identifies what has gone wrong, but may fail to discover what they need to get right. The approach of the current study, then, is to focus on the triggers that lead to SME success, as a way of highlighting more effective strategy decisions for firms themselves, and to inform better policy decisions for government. A return of over 1,000 survey questionnaires completed by SME owners/directors or senior managers, 20 in depth interviews and 13 focus groups, makes this one of the largest surveys ever into the strategic management of SMEs in the UK.
Please click here to access the summary report.