SMBs make up 99% of organizations worldwide. They are the main source of job creation and play a vital role both socially and economically. With such impact, SMBs need the capacity to keep innovating and thriving in a digital economy.

During the pandemic, we became aware of the importance of digital transformation, and those companies that embraced it performed better than those that did not. Many even managed to grow thanks to that technological focus during a very challenging time.

A study conducted by Microsoft with more than 3,000 SMBs worldwide provides data to back up this widespread belief that adopting digital technology contributes to faster growth.

Seventy percent of companies see growth as their main driver, and early adopters of technology experience it more significantly and at a faster pace. These SMBs are also four times more likely to achieve future business success.

The changes brought by the pandemic are still evident. Fifty-one percent of surveyed companies remain concerned about its consequences. Eighty percent expect to have a hybrid workforce for at least the next two years. For reasons like these, technology that reliably and securely supports new work models is essential. As a result, more than two-thirds of SMBs plan to increase their information and communications technology budgets:

• 33% aim to boost operational efficiency.
• 32% want to drive sales and marketing operations.
• 31% focus on improving customer retention.

Although most SMBs acknowledge the importance of technology in achieving their goals, 16% consider it essential. However, many businesses need trusted partners to align the right technology with their business strategy. Nearly half choose technology partners, expecting them to proactively recommend new solutions that accelerate progress toward their objectives.

The millennial workforce takes this even further. These workers are more likely to view technology as important—or even essential—to business success. Nearly one-third identify as tech enthusiasts in their personal lives, a fact that reflects in how they operate in the workplace.

This shift in the workforce has consequences beyond technology. Two-thirds of SMBs, for instance, have ESG assessment and monitoring frameworks, often driven by younger employees. They want to reduce environmental impact (37%), improve diversity (30%), and create jobs (30%).

The study highlights a striking figure—not surprising in meaning, but in scale: 99% of SMBs worldwide are actively seeking solutions to tackle current challenges and generate new opportunities. This community, which has such a powerful impact on the economy and on so many lives, is not only striving to become more resilient and survive; it is also working to thrive, bring innovation to their industries, and deliver value to their customers.