The future of small to medium enterprises (SMEs) in digital transformation: a case of food and beverage (FoodBev) SMEs in South Africa

This study examines the obstacles and possibilities faced by small and medium-sized businesses in South Africa's food and beverage manufacturing industry, with a specific focus on their shift towards digitalization. It emphasizes the daunting task of maintaining a business in the constantly changing green economy and the need for SMEs to stay up to date with emerging trends. These difficulties were compounded during the COVID-19 pandemic, where unexpected disruptions such as global supply chain interruptions further challenged SME resilience. SMEs in this industry face a variety of challenges, including competition with larger businesses, financial limitations, limited access to technology, credit difficulties, skill shortages, policy restrictions, and infrastructure inadequacies. However, the Fourth Industrial Revolution (4IR) provides a glimmer of hope, offering chances for improved manufacturing, financial management, and environmental sustainability through digitalization. In partnership with the University of Johannesburg (UJ), the Food and Beverage Sector Education Training Authority (FoodBev SETA) aimed to support SMEs in their digital transformation journey through workshops and customized solutions. This study highlights the importance of SMEs successfully embracing digital transformation to ensure their sustainability, expansion, and competitiveness in South Africa's ever-changing food and beverage sector.