The development and integration of Small and Medium Enterprises (SMEs) do not take place in isolation, but forms part of the overall economic programme. The globalization and liberalization of trade and investment regimes, however, have compelled nations to renew policy focus on SMEs owing to their limitations such as weak entrepreneurial culture; insufficient management know-how and professionalism; shortage of professional and technical manpower; insufficient use of technology; outmoded, unproductive methods of operation; limited ability to tap economies of scale; and small domestic market.
As part of the good governance for SMEs, national governments need to create an environment for SMEs to operate and grow without any hindrance, including bureaucratic hassles, and in creating a synergy between and among various policy and promotional instruments. Though national governments have initiated several measures to prop up their SMEs, many of them lack an integrated approach and that is why the support programmes could not yield desired results. The focus of the governments was primarily on access to credit, whereas SMEs need support beyond credit and there is a need for continuous policy support to improve the overall business climate. National Governments especially that of the developing countries have to put in considered efforts towards empowering their SMEs.
To ensure that various programmes reach a wider section of enterprises & entrepreneurs, and also the same are properly utilized by the beneficiaries, all most all countries have put in place procedures or rules and regulations for availing them. But unfortunately, SMEs, often, construed these as hindrances in the way of availing the benefits of programmes, partly owing to ignorance. Such ignorance, often, compels them to find out ways and means to circumvent these rules and regulations. Many countries, however, are now simplifying rules governing SMEs as part of their liberalization programmes.
Owing to governments’ limitations, the role of non-government organizations (NGOs) in the overall governance has increased in past three decades. As part of public-private sector participation, and also cost-effectively reach to the targeted audience, many countries are now increasingly involving NGOs and industry and trade associations in these programmes to SMEs.
ISSME is a unique international organization that have worldwide network by having presence in many countries. Through its wide network, ISSME is aware of the development practices taking place in each part of the world. It places great emphasis on best practices as they play an important role in improving business through increasing productivity, reducing production costs, addressing markets and enhancing overall competitiveness. It works closely with many national governments in terms of providing inputs for formulation of appropriate policies and programmes for their respective SMEs, undertaking research projects for them and organizing joint programmes on issues that are crucial for SME development. With a view to further the growth of SMEs, ISSME is poised to help countries, particularly the developing ones, in devising a holistic policy framework for their SMEs. We are always ready to help the national governments in their endeavor to strengthen their SMEs. One of our important member constituents is the ministries and government departments that are responsible for the growth of SMEs.