Innovation and Creativity an Important Ingredient in the Future Growth and Sustainability of SMEs

SMEs are the lifeblood that is essential to any country or nation. SMEs throughout the world add to a country’s GDP, stimulate a country’s economy, and contribute to its prosperity and future sustainability. The importance of SMEs can never be undervalued by a country’s government and leadership as they form the backbone in providing a steady stream of employment to many people in the community. However, like all evolving environments, SMEs’ is part of a complex macro-environment that is dynamic and constantly changing. SMEs must keep abreast of the changes in technology to grow and remain sustainable. In times of the COVID-19 pandemic, an important lesson for SMEs is that they needed to move to digital platforms to be sustainable. Since, information technology improved psychological empowerment as well as organizational performance, this can assist organizations in increasing psychological well-being among employees while also increasing organizational efficiency, allowing them to achieve greater levels of success in their respective fields of endeavor. The results of this study corroborated previous research that has pointed to the potential benefits of digital transformation in terms of enhancing organizational outcomes. In contrast, innovation possibilities failed to have any effect on the performance of the companies in question in the study. A plausible cause might be the kind, nature, and sector of the inquiry, which would urge that further tests be performed before the findings can be generalized. Notably, in Bahrain's SMEs, innovation prospects were found to be promising in terms of organizational performance and psychological empowerment of workers, among other things.