scholarly journals A Research on the Opportunities Available for SMEs in Tamil Nadu in Procuring Funds for their Business Operations

2019 ◽  
Vol 9 (1) ◽  
pp. 3291-3294
Keyword(s):  
Tamil Nadu ◽  
Small Firms ◽  
Manufacturing Sector ◽  
Equity Capital ◽  
Employment Opportunities ◽  
Equal Distribution ◽  
Indian Economy ◽  
Medium Scale ◽  
Manufacturing Enterprises ◽  
Business Operations

SME, synonym for the Small & Medium Scale Industries, considered as backbone for our Country for the simple reason that it contributes to the tune of 40% of the overall industrial production and of course 34% of national exports, to the Indian economy. The Indian Economy’s annual rate shall grow up to 7.8% in 2019 and 8 % in 2020. SMEs play an important and dynamic role in developing the Indian Economy. As per MSMED Act 2006, SMEs are classified as Manufacturing Enterprises according to their investments in plant as well as machinery and service enterprises according to their investments in equipment respectively. Any enterprise engaged in manufacturing of goods by employing plant and machinery comes under manufacturing enterprises category whereas enterprise which is engaged in rendering services comes under service enterprise. Manufacturing enterprises are categorized as micro firms, small firms and medium scale enterprises according to their investments in plant as well as machinery. Similarly, service enterprises are also classified as above based on investments in equipment. Since 2007, registered units under SME have risen to 217981 from 27209 units in Tamil Nadu offering employment opportunities to 1378544 as against 242855 during 2006-07. The SME industries are enjoying various subsidy schemes namely Generator subsidy, Capital subsidy, LT power tariff subsidy, back ended interest subsidy, etc. As per the Govt. of Tamil Nadu notification, there is a credit flow of 46.57% exclusively to MSME industries out of the total disbursements by the banks during the period between April 2017 and December 2017. Their role in Indian Economy is very vital as they provide huge employment opportunities. In fact, India is a country facing unemployment problems for which SME industries have become a great boon as they provide 9 times of employment opportunities in comparison to large industries. SMEs have all merits on their side like adding significant GDP in the manufacturing sector, mitigating imbalance in balance of payment problem in case of exports, increasing the capable entrepreneurs, helping equal distribution of income and wealth etc., However, on the other side, lack of adequate finance is a major issue for SMEs for various reasons attributed like lack of cash flow consistency, inadequate collaterals, non-availability of timely and sufficient credit, huge credit costs, restricted access to equity Capital etc. This article is trying to analyze the blockage of getting adequate finance for SMEs since its inception.

scholarly journals Corporate Strategy for Medium Scale Manufacturing Enterprises in Kenya

2019 ◽  
Vol 14 (1) ◽  
pp. 2019-2028
Author(s):  
Evans T Mwasiaji
Keyword(s):  
Business Strategy ◽  
Corporate Strategy ◽  
Manufacturing Sector ◽  
Force Model ◽  
Business Unit ◽  
Bottom Line ◽  
Medium Scale ◽  
Manufacturing Enterprises ◽  
Vision 2030 ◽  
The Impact

Sustainable Development Goals and Africa Agenda 2063 acknowledges Small and Medium Enterprises as critical in promoting sustainable global economic development. However, most studies on corporate strategy in Kenya have mainly examined micro, small and large enterprises creating a missing middle with inadequate empirical data on medium scale enterprises, including those in the manufacturing sector. Moreover, Kenya’s big four agenda proposes support to the manufacturing sector so as to raise its GDP share to 15 percent by 2022 in support of the realization of Vision 2030. Unfortunately, growth in the manufacturing sector has stagnated at about USD 5 billion for over a decade and continues to lose market share and competitiveness internationally. This study therefore investigated corporate strategy and competitiveness of medium scale manufacturing enterprises in Kenya. Data was collected from 56 senior management staff.  Mean responses received in a Likert scale of 1 – 5 for each of the tested item was calculated by summing up all the codes and getting the average of the 56 respondents. This study established MSMEs which are within the SME sector are on average performing below par on issues to do with business strategy. The results show that in 56.1% of the MSMEs, there is a clearly written business unit mission statement (mean response of 4.3). In 54.5% of the firms, the business unit strategy is not adequate in light of competitive pressure (mean response 2.5) and the business unit strategy is not appropriate for exploiting opportunities in the future. In 48.5% of the firms, the business unit strategy is not formulated carefully by all levels of management (mean response 2.7) and there is no clearly developed long term business unit strategy (mean response 2.9). In 39.4% of these firms, the business unit strategy does not adequately reflect the strengths of the business unit (mean response 2.8). The study concluded that lack of an effective business strategy to direct the efforts of human resources in the desired direction would result in inability to realize the set organizational objectives. This means these MSMEs are struggling to operate, manage and improve their businesses efficiency and effectiveness in order to deliver quality products and services consistently and on time. This has a negative effect on MSMEs performance as it implies internal inefficiencies, ineffectiveness and negative bottom line, reduced job opportunities and low contribution to the gross domestic product (GDP) in Kenya. The study recommended that the MSMEs should organise strategic focus workshops and use a combination of Porter’s five force model components to plan, organise and formulate their business strategy mechanism after a comprehensive SWOT analysis. The MSMEs should periodically review their strategy in line with the prevailing competitive pressures using the following criteria to identify crucial strategic issues: (a) The impact they could have on their enterprises, (b) the likelihood that the identified issues would materialize, and (c) the time frame over which they could develop. The number of these issues needs to be limited to a manageable number (three to nine) to enhance the chances of securing the commitment and resources necessary to effectively act on them. The expected study output would be enhanced competitiveness of MSME and realization of Kenya’s vision 2030.

scholarly journals Make in India Campaign: An Assessment of its Likely Economic Impact

2018 ◽  
Vol 4 (02) ◽  
Author(s):  
Amit Kumar Singh ◽  
Annu Aggarwal ◽  
Rohit Kumar Shrivastav
Keyword(s):  
Growth Performance ◽  
Economic Impact ◽  
Service Sector ◽  
Manufacturing Sector ◽  
Young Population ◽  
Growth Opportunities ◽  
Employment Opportunities ◽  
Services Sector ◽  
Indian Economy

India’s growth performance has been diverse yet fascinating over a period of time. While agriculture and manufacturing were the dominant sectors during the pre-industrialisation and industrialisation period respectively, more recently, the services sector has emerged as the most important sector in terms of its contribution to GDP. The growing demands of service sector and its importance in the economy has led to a concern about the situation of India’s manufacturing sector. This study analyses the ‘Make in India’ initiative of the present government launched in September 2014, with the twin objectives of developing India as hub of business and manufacturing and generating massive employment opportunities for India’s teeming young population. The analysis indicates that Indian economy is gaining momentum slowly, and growth estimates are in line with projections made. India also has the best prospects for the growth opportunities in coming decade. Since this concept is new, it will take some years before analysts can effectively measure the success of this campaign.

Role of Entrepreneurship in Networked Indian Economy

2015 ◽  
pp. 36-59 ◽  
Author(s):  
Neeta Baporikar
Keyword(s):  
Urban Areas ◽  
Small Firms ◽  
Knowledge Networks ◽  
Entrepreneurial Activity ◽  
Competitive Environment ◽  
Network Operator ◽  
Indian Economy ◽  
Networked Economy ◽  
The City

Historically, all societies may have a constant supply of entrepreneurial activity, but that activity is distributed unevenly. Urban areas are favourable for innovative entrepreneurship, as a result of economies of density and the opportunities created by the city as a nucleus of a broader network. Thus, a modem entrepreneur tends to become increasingly a network operator and manager. The purpose of this chapter is to contribute to our understanding on entrepreneurship in networked economy of India; thereto the literature is summarized from the perspective of geographical seedbed conditions and network constellations. It focuses on the role played by small firms and entrepreneurship. The constraints are identified, and the areas that need action are highlighted. It is also suggested that in the age of liberalization and globalization, any attempt at creation of a competitive environment in the country would need to explicitly note the emerging global production and knowledge networks.

Sustainability Strategies for Developing SMEs and Entrepreneurship

2021 ◽  
pp. 527-547
Author(s):  
Monish P. ◽  
M. Dhanabhakyam
Keyword(s):  
Environmental Impact ◽  
Lower Cost ◽  
Economic Sustainability ◽  
Employment Opportunities ◽  
Indian Economy ◽  
Regional Conflicts ◽  
Long Run ◽  
Sustainability Strategies ◽  
Equal Importance ◽  
Distribution Of Income

Increasing concern about the environment and sustainability has forced industries to introduce innovations and reduce the environmental impact. SMEs provide large employment opportunities at lower cost apart from enabling industrialization of rural backward areas, thereby reducing regional conflicts and imbalances in the distribution of income and wealth. Globalization brings many new opportunities. The SME sector has emerged as a highly vibrant sector in the Indian economy over the last six decades. We know that in the long run all the aspects of sustainability should be given equal importance. We should consider environmental, social, and economic sustainability. All these three components help create a good value for the firm.

scholarly journals The Logic behind the Internal Governance of Sweden’s Largest Agricultural Cooperatives

2020 ◽  
Vol 12 (21) ◽  
pp. 9073
Author(s):  
Karin Hakelius ◽  
Jerker Nilsson
Keyword(s):  
Boards Of Directors ◽  
Governance Structure ◽  
Equity Capital ◽  
Agricultural Cooperatives ◽  
Governance System ◽  
Internal Governance ◽  
Market Rate ◽  
Business Operations ◽  
Tentative Explanation ◽  
The Individual

This study comprises a qualitative analysis of the governance structures within the two largest agricultural cooperatives in Sweden, both of which have large and heterogeneous memberships, as well as sizeable and complex business operations. Interviews were conducted with district council members and representatives from the boards of directors. The data from both case cooperatives indicate a genuinely traditional democratic member governance structure. There is a great deal of social capital in the governance system. A tentative explanation of the member involvement is that the cooperatives’ equity capital is owned by the individual members, and the members are free to sell and buy their shares at a market rate. The members are satisfied with the return on the capital they have invested in the cooperatives. They receive bonus shares and dividends above what most members would get in other investments. A conclusion is that very large cooperatives may succeed well with a member-democratic governance system of the traditional cooperative type, which in this case is probably due to the members’ satisfaction with the individualized ownership of the cooperatives.

Informality and structural change: evidences from microenterprises in India's unorganised manufacturing sector

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shromona Ganguly
Keyword(s):  
Structural Change ◽  
Small Firm ◽  
Small Firms ◽  
Structural Changes ◽  
Manufacturing Sector ◽  
Labour Productivity ◽  
Capital Intensity ◽  
World Market ◽  
Productivity Analysis ◽  
Content Type

PurposeThis article analyses the structural change in microenterprises located at India's unorganised manufacturing sector in terms of output mix, choice of technique and productivity during the last few decades.Design/methodology/approachBased on data collected from a quinquennial survey of unorganised firms, this study attempts productivity analysis by using the growth accounting technique.FindingsThe paper finds that there is a significant structural change which has occurred in the small firm sector in Indian manufacturing. The share of capital-intensive industries has increased substantially in recent years. Further, though small firms are more labour intensive, the labour productivity and total productivity of these firms are very low. The falling labour productivity and rising capital intensity indicates replacement of labour with capital in Indian small firm sector.Practical implicationsLow productivity of the sector is a cause for concern and this needs to be addressed by making the sector more competitive in the world market. To achieve this, policies should be designed so that small firms reach the efficient scale of production.Originality/valueThis is the first paper which examines structural changes in the Indian MSME sector. The findings have strong implications for creation of a viable ecosystem of entrepreneurship in the country.

Six Sigma DMAIC Methodology: A Powerful Tool for Improving Business Operations

2012 ◽  
Vol 488-489 ◽  
pp. 1147-1150 ◽  
Author(s):  
Awadhesh Kumar ◽  
Narottam Sharma
Keyword(s):  
Six Sigma ◽  
Manufacturing Sector ◽  
Business Sector ◽  
Statistical Tools ◽  
Popular Approach ◽  
Business Operations ◽  
Electronics Sector

Six Sigma is a popular approach to drive out variability from processes using powerful statistical tools and technique. Six Sigma permits only 3.4 defects per million opportunities. Six Sigma follows basics methodology to improve existing process, i.e. DMAIC. Define, Measure, Analyze, Improve, Control. It is , scientific, systematic and fact based approach. This paper also includes various applications of DMAIC methodology in different business sector like Electronics sector, Chemical and Agriculture manufacturing sector etc.

Linkage between business sustainability and tacit knowledge management in MSMEs

2019 ◽  
Vol 50 (3) ◽  
pp. 477-494
Author(s):  
Parijat Upadhyay ◽  
Amit Kundu
Keyword(s):  
Knowledge Management ◽  
Business Processes ◽  
Developing Economies ◽  
Data Set ◽  
Content Type ◽  
Business Sustainability ◽  
Medium Scale ◽  
Study Approach ◽  
Business Operations ◽  
Medium Enterprise

Purpose The purpose of this study is to report the apparent linkage between knowledge management (KM) practices in a semi-structured sector and business sustainability. Micro, small and medium scale enterprises in developing economies are constrained by accessibility to resources and have not been able to reap the benefits of structured KM practices to fine-tune their business processes. Insights derived from business operations of such enterprises can be formalized into relevant knowledge creation. An effective KM can help in revival strategies for many traditional organizations like handloom that operate as a co-operative. Such business has come under immense challenges from new-age organizations in that particular sector. This study reports the brand revival and business sustainability journey of a handloom co-operative through effective knowledge assimilation and dissemination. Design/methodology/approach In this paper, the authors have assessed the governance of small co-operative units in handloom and their supervision, which pose serious challenges for business sustainability. Their business data pertaining to productivity, sales and income for the period from 1997-1998 to 2015-2016 have been analyzed for business sustainability. A time-series analysis has been done on the above data set to track business sustainability of the handloom co-operative. The findings have been analyzed through a case-based study approach. Findings Over a period of one and half-decade, the handloom co-operative has been able to improve its product offering, which, in turn, led to the revival of the brand. Such transformation has resulted in revival of decades old brand through effective knowledge sharing, which is mainly tacit in nature. This case study based paper showcases that despite their inherent constraints, micro, small and medium enterprise organizations (many of which are semi-structured or unstructured in nature) can reap huge benefits by making efforts to put in place an effective KM mechanism. Originality/value There are very few reported studies, which have explored the linkage between tacit KM practices and business sustainability. Studies in context to a semi-structured small- and medium-scale enterprises are not available in published literature.

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