Majority of Singapore SMEs plan to invest in GenAI solutions: DBS survey
More than 70% of respondents intend to make capital investment, upskill employees to adopt the technology
MORE than seven in 10 Singapore small and medium-sized enterprises (SMEs) are investing in generative artificial intelligence (GenAI) solutions to stay competitive amid macroeconomic uncertainty, DBS’ latest Business Pulse Check Survey showed.
The annual survey, released on Monday (Feb 3), engaged some 110 SMEs across different industries.
It found that 73 per cent of respondents planned to inject capital into GenAI-powered solutions, while 72 per cent intended to upskill their employees and strengthen their readiness to adopt such technologies.
Meanwhile, 32 per cent were already using GenAI tools in areas such as marketing and communications.
Asked what would be most helpful in their transformation, survey respondents cited government grants; access to affordable digital solutions; and practical advice on the most appropriate tools for specific business needs.
SMEs were also keen to go abroad, with 70 per cent intending to allocate capital towards regionalisation.
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More than 60 per cent had a “go-to-market strategy” targeting Asean and other high-growth regions.
To help their internationalisation, the top resources cited by respondents were market insights; guidance on trade laws and compliance; and access to reliable suppliers and distributors.
Sustainability, however, was less popular. Only 36 per cent of respondents began or were continuing sustainability efforts.
Some barriers cited were limited resources, navigating complex regulations and managing transition costs. This highlighted “the importance of continued capacity building and access to financial support”, said DBS in its media release on the survey.
The bank’s group head of corporate and SME banking, Koh Kar Siong, said that SMEs are taking “bold steps” to future-proof their businesses, whether by investing in generative AI to boost productivity or expanding into high-growth markets to capture new opportunities.
“Their adaptability and commitment to transformation are essential for staying competitive in an increasingly uncertain landscape,” he said.
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