Mapping and Analysing the Scottish SME Landscape to Support Change Management Initiatives

Abstract

Small and Medium-sized Enterprises (SMEs) are recognised as key drivers of economic growth. Despite their significant contributions, Scottish SMEs face many challenges and barriers when transitioning from a start-up to scale-up, including, for example, adapting to organisational structures, securing funding, and having limited time to develop innovation strategies. This study aims to understand the change management needs of Scottish SMEs in the scale-up phase and map the current business support landscape while exploring how these needs are perceived by support consultants. The paper begins by setting the context of the SME landscape across Scotland before describing how the data was gathered through semi-structured interviews with business support and change management consultants to determine the strategic barriers that SMEs face. The technique of empathy mapping was used to initially visualise and document SME needs, followed by a Thematic Analysis (TA) to uncover deeper research themes and insights. The findings reveal specific challenges related to mindset, leadership, and cultural factors that impact growth and change management for SMEs. The research also highlights the importance of business community engagement, the necessity of open-mindedness and receptiveness to external advice in enabling SME founders to grow and change. The paper concludes by discussing trends and gaps in the SME support landscape and emergent opportunities for intervention, laying the groundwork for a broader conversation on the systemic conditions shaping SME success in Scotland and underscoring the need for further research into how support for SMEs is designed and implemented in an ever-evolving landscape of small business growth.