Kelly Turner, President and CEO of Civitas Strategiesdelivers innovative, scalable and inclusive solutions for small businesses nationwide.
Without technology, the child care industry will collapse, as will the economy.
Last I heard, no one wants that. Fortunately, organizations across the country are working to bring technology to child care businesses in a variety of ways. But here’s something we’re noticing: Even the smallest steps toward technology adoption, like learning to use a simple spreadsheet or basic communications app, can transform operations, save time, and strengthen trust.
At Civitas Strategies, we see first-hand that some technology is better than nothing. And it’s no secret: technology helps businesses thrive. The United States Chamber of Commerce highlights the transformative impact of technology on small businesses in their 2023 Report:
• Revenue growth: Small businesses that integrate multiple technology platforms are more likely to experience an increase in sales.
• Profitability: Using more technology tools correlates with higher profit margins for small businesses.
• Employment expansion: The adoption of multiple technology platforms contributes to workforce growth within small businesses.
• Operational efficiency: Technology streamlines processes, helping small businesses operate more efficiently.
Nationally, we are also seeing that small steps toward technology adoption can have big benefits. We’re seeing technology and digital literacy change the game among the most resilient childcare businesses. Even simple communication, recording and financial management tools streamline operations and improve efficiency. What’s more, when combined with digital literacy and business training, these tools don’t just improve everyday tasks: they also help establish long-term sustainability.
For those who don’t fall into the ‘most resilient childcare business’ category, we found technology adoption varied, with some providers hesitant due to concerns about staff training and complexity systems. However, even in small steps, incremental changes lead to tangible impacts and lay the foundation for adopting more comprehensive systems over time.
At Civitas Strategies, we take a dosage-based approach to ensuring child care business resilience. Just like medicine, the right solution must be tailored to the individual and their unique needs, targeting the right problem with the right tools in the right quantity. Technology is no different.
Take my dad, for example, who asks how to hook up YouTube TV to the set-top box, versus my 8-year-old who codes Minecraft “mods” in his free time. The starting points couldn’t be more different.
Imagine asking them both to set up an Apple TV, wired to the Internet, with access to three specific streaming apps. My dad wouldn’t even know what I’m asking, while my kid would probably start recommending newer streaming apps with a better user experience. This is where help is essential. Consider Best Buy’s Geek Squad: Need tech help? They’re just a phone call away.
Childcare companies need their own “Geek Squad” to effectively integrate technology into their operations. But technical support alone is not enough.
Now imagine asking my father and son to use comprehensive accounting software to project cash flow. My father, a successful small business owner for many decades, knows how to create a cash flow forecast. But how to use sophisticated software? Not so much. My 8 year old could probably teach me a thing or two about fancy software, but he has no idea how to do a cash flow forecast. Without sufficient business acumen, technology is useless.
This is no different than what we see in child care: you can’t use technology to effectively manage your cash flow if you don’t understand cash flow first. And given the wide range of business acumen found in an industry driven by a passion for children rather than a passion for cash flow, we see different “mixtures” of support needed in both areas.
That’s exactly what we’ve done with the most recent implementations of our coaching model: a combined approach that:
1. Meet providers where they are: Understand their starting point with both technological and business knowledge.
2. Provides support with technological solutions: Presenting the tools in manageable and practical steps.
3. Combines technology and business coaching: Ensure tools are used effectively to support broader business objectives.
The results are promising. Many providers we worked with were hesitant to adopt the technology due to its perceived complexity and cost, particularly smaller, older operators. However, with the support of coaching, incremental steps such as digitizing registrations and moving to automated billing systems are proving transformational for these businesses and, in our experience, more effective than those that take a one-size-fits-all approach. technological solutions.
By aligning technology with business practices, providers gain the confidence and ability to make meaningful, lasting change, regardless of their business acumen and technology skills.
Taking small steps toward technology integration paves the way for larger transformations in the future. These early efforts build momentum, allowing companies to increase their technological capability over time.
Starting small reduces the intimidation factor, making adoption manageable and achievable, allowing business owners to scale at their own pace. Knowing that technology will only become more complex and that there are many incredible solutions available in a more comprehensive form, investing in these small steps keeps small businesses moving in the right direction.
The real success of supporting the industry lies in creating flexible, scalable and inclusive pathways. Technology is a vital lifeline for small businesses, but its true impact depends on accessibility and thoughtful support.
Given how high the stakes are in building a sustainable child care infrastructure, we cannot afford to lose even the smallest child care businesses along the way. Offering a range of tools, combined with technology and business coaching, enables businesses across the spectrum, from simple start-up options to advanced, modular systems.
No business should be left behind simply because complex solutions seem insurmountable or because no one is there to guide them. Helping businesses take those first small steps toward integrating technology isn’t just inclusive – it’s essential – and some technology is better than none.
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