MSME programme to train entrepreneurs

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Out of a target of 200 programmes this year, MSME-DI Okhla unit has so far conducted only 16 programmes

It is now widely accepted that a key element in promoting micro and small enterprises (MSEs), particularly in relation to first generation startups, is the need to develop entrepreneurship skills. Hence, the Ministry of Micro, Small and Medium Enterprises (MSME) had introduced an entrepreneurship development programme in 2008.

This programme which includes several sub-programmes, trains new talents in various aspects of industrial activities, and are designed to upgrade the skills of prospective entrepreneurs and the existing workforce. Expert faculty members from institutes like the Directorate General of Foreign Trade, Industrial Training Institutes, etc, are hired to impart training, and the courses and training format are prepared by experts from MSME in consultation with various agencies dealing in export promotion and business development.

MSME-Development Institute (DI), the government body assigned to carry out the MSME training programmes, has been entrusted with the responsibility of conducting these training programmes.

Achievement vs target

“Every unit of MSME-DI is given an annual target to organise such programmes. This year, the MSME-DI Okhla unit alone has a target of about 150-200 programmes,” conducting informs RP Vaishya, director, MSME Testing Centre, an arm of MSME-DI that provides technical training.

However, of these 200 programmes, MSME-DI Okhla has so far conducted only 13 programmes under the Entrepreneurship Skill Development Programme (ESDP), two programmes under the Entrepreneurship Development Programme (EDP) and one under export management.

Each programme has a separate budget allocated—ESPD has a budget of Rs 60,000 per programme, while EDP and Management Development Programmes (MDPs) are assigned Rs 20,000 each. Although these programmes are quite popular as is evident by the large number of registrations that MSME gets, so far only 16 programmes have been executed.

Selection criteria

Each programme has a different duration and training fee, which is a meagre amount (see Box). MSME-DI committees select the candidates, taking into consideration their qualifications, past experience and suitability. The minimum age of the candidate is 18 years and there is no upper age limit.

Some programmes like EDP require specific qualifications. Some of these programmes also offer a stipend. A certificate is given to all the candidates after they have satisfactorily concluded the training programme. “These programmes help in providing basic as well as higher levels of training, but since these programmes are of a short duration, we cannot expect to churn out experts. Our main objective is to give the candidates a good idea

about the industry and the market. But among candidates who have prior professional knowledge, we hope that after attaining the high level training from us, about 5-10 per cent of them will be able to start their own enterprises,” shares RP Vaishya.

One month prior to any programme, MSME markets the programmes through newspaper advertisements and its website. As soon as it gets 20 candidates, it starts its session as per the schedule.

Anybody interested in the training programme can contact MSME-DI or visit http://dcmsme.gov.in/Enterprise&killDevelopment.htm.

Types of training programmes
EDPs target those who already have some professional training or have a degree in a professional course. Through this programme, participants come to know about the industrial scenario, financial patterns, agencies that help in preparing project reports, and how to analyse market surveys. This two-week programme has a nominal fee of Rs 100.
ESDPs are six week basic training programmes, which include factory visits for first hand training. The fee for this programme is Rs 200.
Management development programmes (MDPs) impart knowledge about export promotion, market analysis, personality development, etc. With a timetable that covers 40 hours a week, the training charges are Rs 400.

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