Pandemic triggers 'wave of innovation' as Scottish firms pivot to survive - survey

The pandemic has prompted a “wave of innovation” as Scottish firms refocus their operations to survive, according to a new survey.

Almost half (48 per cent) of businesses said the health emergency had forced them to be more creative and innovative in finding new areas of growth, the findings of the Bank of Scotland study reveal.

Just under half (49 per cent) have made changes to their business since the start of the pandemic, such as making changes to their operations (24 per cent) and expanding their online offering (19 per cent).

A significant number of businesses are benefiting from “pivoting” with more than a third (37 per cent) saying that they will keep their changes in the long term. And it is already paying dividends for some firms, with about one in eight (13 per cent) saying that their operational changes have boosted revenues and profits.

While many firms have been able to adapt and refocus their offering, others have been forced out of business as a result of the fallout from lockdowns.

John Garriock, managing director of Shetland-based Bolts Car Hire, said: “Tourism to Shetland had been on the rise for years, but the pandemic saw visitor numbers virtually stop overnight leaving our fleet of rental cars and taxis at a standstill.

“We saw an opportunity to diversify our operations and supply construction firms on the island with commercial vehicles for their work.”

Fraser Sime, regional director for Scotland at Bank of Scotland, added: “The past 18 months have caused unprecedented disruption for firms across Scotland.

“Many businesses have transformed their operations, targeted new markets or manufactured new products to meet changing demands. This quick thinking has enabled many to come through the pandemic on surer footing that may have been expected.”

A message from the Editor:

Thank you for reading this article. We’re more reliant on your support than ever as the shift in consumer habits brought about by coronavirus impacts our advertisers. If you haven’t already, please consider supporting our trusted, fact-checked journalism by taking out a digital subscription: www.scotsman.com/subscriptions