SMIDEC

Support for SMEs - SME Development Programmes - Incentives & Financial Assistance Programmes OUTLINE OF PRESENTATION

Support for SMEs

- SME Development Programmes

- Incentives & Financial Assistance Programmes

SME Development Programmes Financial Assistance Programmes SUPPORT FOR SMEs

SME DEVELOPMENT PROGRAMMES INDUSTRIAL LINKAGE PROGRAMME 2. SKILLS UPGRADING PROGRAMME 3. OUTREACH PROGRAMMES 4. SME COMPETITIVE RATING FOR ENHANCEMENT (SCORE) 5. BUMIPUTRA ENTREPRENEUR ENHANCEMENT PROGRAMME ( BEEP) 6. SME – UNIVERSITY INTERNSHIP PROGRAMME 7. SME EXPERT ADVISORY PANEL (SEAP)

INDUSTRIAL LINKAGE PROGRAMME

INDUSTRIAL LINKAGE PROGRAMME Integrating SMEs into the supply chain of the MNCs/Large Companies Promoting competitive and capable SMEs to become suppliers to MNCs/Large Companies MNCs/LSIs SMEs Global Supplier Programme SMIDEC

Integrating SMEs into the supply chain of the MNCs/Large Companies

Promoting competitive and capable SMEs to become suppliers to MNCs/Large Companies

Status (as at April 2009) : 33,789 employees trained (RM32.24 million) 40 SKILLS DEVELOPMENT CENTRES & PROFESSIONAL TRAINING PROVIDERS APPOINTED: 80% training grant on the course fee Enhancing Marketing Skills Skills Upgrading Programme SKILLS UPGRADING PROGRAMME

Sales performance Training Professional Certified Sale Professional(CSP); Professional Certified Sales Manager (CSM); and Professional Certified Account Manager (CAM). Customer Services Training Professional Certified Customer Service Practitioner (CCSP); Skill Certificate in Customer Care; and Skill Certificate in Customer Relationship Management (CRM). Marketing Strategic Brand Building; Analyzing Market Opportunities through Market Research; Developing an Effective Marketing Plan; Maximizing Marketing Communication; and Developing the Market Driven Organization 19 Professional Training Providers Enhancing Marketing Skills SKILLS UPGRADING PROGRAMME

SME BUSINESS CENTRE (19 th FLOOR) OUTREACH CHANNELS Business Advisory Services (BAS) Virtual SME Information Centre : info@smidec.gov.my / www.smidec.gov.my InfoLine : 1-300-88-1801

Visit & SCORE As a basis to identify : Weaknesses of SMEs as more focused approach and provide integrated, hand-holding assistance to SMEs; Facilitating linkages of potential SMEs with large companies/ MNCs / retailers ; and To facilitate and identify suitable financial assistance for the development of SMEs SME SME COMPETITIVE RATING FOR ENHANCEMENT (SCORE) As a tool to evaluate and track SME’s capabilities and performance in management, operation management, technology adoption, certification initiatives, financial capability and marketing capability. SMIDEC

As a basis to identify :

Weaknesses of SMEs as more focused approach and provide integrated, hand-holding assistance to SMEs;

Facilitating linkages of potential SMEs with large companies/ MNCs / retailers ; and

To facilitate and identify suitable financial assistance for the development of SMEs

As a tool to evaluate and track SME’s capabilities and performance in management, operation management, technology adoption, certification initiatives, financial capability and marketing capability.

Annual Sales Export Sales Business growth and expansion Customer Satisfaction & Awards Customer Management Knowledge Management Paid Up Capital Current Assets & Liabilities Profitability Qualification and Staffing Standard Operating Procedure (SOP) Project Management Implementation Methodology After Sales Service IPR Product & Process Activity R&D Culture of Innovation Awards Channels of Marketing Allocation for Marketing Activities Channels of Marketing Customer Profiling Marketing Strategy Brand Strategy Staff Recruitment Staff Retention Training Knowledge Management Retention Vision & Mission Management Team Reward System Strategy Training Risk Management Management Capability Financial Capability Innovation Marketing Capability Business Performance Talent Development Operation Management

Annual Sales

Export Sales

Business growth and expansion

Customer Satisfaction & Awards

Customer Management

Knowledge Management

Paid Up Capital

Current Assets & Liabilities

Profitability

Qualification and Staffing

Standard Operating Procedure (SOP)

Project Management

Implementation Methodology

After Sales Service

IPR

Product & Process Activity

R&D

Culture of Innovation

Awards

Channels of Marketing

Allocation for Marketing

Activities

Channels of Marketing

Customer Profiling

Marketing Strategy

Brand Strategy

Staff Recruitment

Staff Retention

Training

Knowledge

Management Retention

Vision & Mission

Management Team

Reward System

Strategy

Training

Risk Management

Current Situation Recommendation Action Plan Company is semi automated, testing level at 23 bar. Result Bottleneck at the end of production. Product & Process Improvement Enhance automation with conveyor. Improve testing through purchase of new water bath tester to 16 bar level. Assistance under Terengganu Enhancement Programme through Matching Grant for Product and Process Improvement. Company has no clear vision & mission. Company need to improve on management skills to acquire better knowledge in management. To take up courses under Skills Upgrading Programme under SMIDEC. Send SEAP expert. Company lack sufficient skilled staff such as QA, Maintenance Engineer, and OSH Officer. Company has to send their staff for courses or recruit. To take up courses under Skills Upgrading Programme under SMIDEC. Company has no basic quality management system. To obtain at least ISO 9001:2000 certification. Company has to obtain OSH certification. Assistance under Terengganu Enhancement Programme through Matching Grant for Certification and Quality Management Systems.

Company is semi automated, testing level at 23 bar.

Result

Bottleneck at the end of production.

Product & Process Improvement

Enhance automation with conveyor.

Improve testing through purchase of new water bath tester to 16 bar level.

Assistance under Terengganu Enhancement Programme through Matching Grant for Product and Process Improvement.

Company has no clear vision & mission.

Company need to improve on management skills to acquire better knowledge in management.

To take up courses under Skills Upgrading Programme

under SMIDEC.

Send SEAP expert.

Company lack sufficient skilled staff such as QA, Maintenance Engineer,

and OSH Officer.

Company has to send their staff for courses or recruit.

To take up courses under Skills Upgrading Programme

under SMIDEC.

Company has no basic quality management system.

To obtain at least ISO 9001:2000 certification.

Company has to obtain OSH certification.

Assistance under Terengganu Enhancement Programme through Matching Grant for Certification and Quality Management Systems.

Visit & SCORE CAPACITY BUILDING Compliance to Quality Standards Technical Assistance Packaging & Labeling Improvement Management Capabilities Improvement Financial Assistance SMEs Recommendations SMIDEC BUMIPUTERA ENTERPRISE ENHANCEMENT PROGRAMME (BEEP)

CAPACITY BUILDING

Compliance to Quality Standards

Technical Assistance

Packaging & Labeling Improvement

Management Capabilities Improvement

Financial Assistance

Benefits to SMEs: exposure to the latest development of business practices and applications of technology; and - improved ways of doing business. Benefits to students: industry exposure and practical applications of their studies as well as enhance self confidence in doing business; and - inculcate the spirit of entrepreneurship. Local SMEs S tudents University Education Linking SMEs to Universities to upgrade the capability of SMEs Local & International Networking STATUS UIAM & UMK - will start by July 2009 UKM - will start by June 2009 UMS - Discussion initiated SME – UNIVERSITY INTERNSHIP PROGRAMME

Benefits to SMEs:

exposure to the latest development of business practices and applications of technology; and

- improved ways of doing business.

Benefits to students:

industry exposure and practical applications of their studies as well as enhance self confidence in doing business; and

- inculcate the spirit of entrepreneurship.

STATUS

UIAM & UMK - will start by July 2009

UKM - will start by June 2009

UMS - Discussion initiated

73 Industry Experts Visit , Diagnose & Recommend I mprovements Packaging & Labeling Production capabilities Compliance to Standards/ Certificatio n Lean Production System Management & Financial Advisory SME SME EXPERT ADVISORY PANEL (SEAP) SME EXPERT ADVISORY PANEL (SEAP)

I mprovements

Packaging & Labeling

Production capabilities

Compliance to Standards/ Certificatio n

Lean Production System

Management & Financial Advisory

FINANCIAL ASSISTANCE PROGRAMMES

Matching Grant for Business Start-Up Matching Grant for Product and Process Improvement Matching Grant for Certification and Quality Management Systems Matching Grant for Market Development Matching Grant for Development and Promotion of Halal Products Matching Grant for Enhancing Product Packaging Grant for RosettaNet Standard Implementation RM100,000 RM500,000 RM100,000 RM200,000 RM250,000 RM100,000 RM150,000 MATCHING GRANTS FOR THE MANUFACTURING SECTOR

Manufacturing Manufacturing Related Services Services (Except Insurance and Financial Services) QUALIFYING CRITERIA SECTOR COVERAGE Companies incorporated under the Companies Act 1965 OR enterprises incorporated under the Registration of Business Act 1956 OR Certificate of Practice by Professional Body Fulfill definition of SMEs At least 60% equity held by Malaysian Possess valid premise license

Manufacturing

Manufacturing Related Services

Services (Except Insurance and Financial Services)

Companies incorporated under the Companies Act 1965 OR enterprises incorporated under the Registration of Business Act 1956 OR Certificate of Practice by Professional Body

Fulfill definition of SMEs

At least 60% equity held by Malaysian

Possess valid premise license

Provides grant to assist SMEs and Enterprises ( less than 12 months of operation). Eligible expenses : Preparation of Business Plan Preparation of Marketing Plan Market Feasibility Studies Rental of business premises and related equipment up to 24 months Development of prototype (for Construction and related activities only) One year broadband subscription fee Purchase of machinery or office equipment MATCHING GRANT FOR BUSINESS START-UPS

Provides grant to assist SMEs and Enterprises ( less than 12 months of operation).

Eligible expenses :

Preparation of Business Plan

Preparation of Marketing Plan

Market Feasibility Studies

Rental of business premises and related equipment up to 24 months

Development of prototype (for Construction and related activities only)

One year broadband subscription fee

Purchase of machinery or office equipment

Provides grant to SMEs for Product Development and Product & Process Improvement. Eligible expenses : Technology Feasibility Studies Fees for technology transfer Development of prototypes and system design Product testing & registration Marking and labeling Machine & equipment for testing and calibration Development & designing of equipment and machinery Purchase of machinery and equipment Initial patent registration/patent search/IP Protection Specific Project Mission Cleaner Production and Waste Treatment Project MATCHING GRANT FOR PRODUCT AND PROCESS IMPROVEMENT

Provides grant to SMEs for Product Development and Product & Process Improvement.

Eligible expenses :

Technology Feasibility Studies

Fees for technology transfer

Development of prototypes and system design

Product testing & registration

Marking and labeling

Machine & equipment for testing and calibration

Development & designing of equipment and machinery

Purchase of machinery and equipment

Initial patent registration/patent search/IP Protection

Specific Project Mission

Cleaner Production and Waste Treatment Project

Provides grant to assist SMEs in obtaining quality and product certification such as: ISO 9001:2000, ISO 13485 (Medical Devices), ISO 14000 (Environment), ISO 22000 (Food Safety & Hygiene),TS 16949 (Automotive) Product certification Hazard Analysis Critical and Control Point (HACCP) Halal certification & MS1500:2004 Quality Improvement Practices e.g. 5S, Six Sigma and Productivity Audit Good Manufacturing Practice (GMP) Occupational, Safety and Health Management System (OSHA) Restriction of Hazardous Substance (RoHS) MATCHING GRANT FOR CERTIFICATION AND QUALITY MANAGEMENT SYSTEM

Provides grant to assist SMEs in obtaining quality and product certification such as:

ISO 9001:2000, ISO 13485 (Medical Devices), ISO 14000 (Environment), ISO 22000 (Food Safety & Hygiene),TS 16949 (Automotive)

Product certification

Hazard Analysis Critical and Control Point (HACCP)

Halal certification & MS1500:2004

Quality Improvement Practices e.g. 5S, Six Sigma and Productivity Audit

Good Manufacturing Practice (GMP)

Occupational, Safety and Health Management System (OSHA)

Restriction of Hazardous Substance (RoHS)

Good Agriculture Practice (GAP) Good Hygiene Practice (GHP) Regulatory Impact Assessment (RIA) British Retailers’ Consortium (BRC) Globally Harmonised System (GHS) Safety Data Sheet (SDS) Eligible Expenses : Cost of information, training, testing, calibration and acquiring equipment for product testing Renovation expenditure for compliance to certification requirement Other related costs required for certification and quality management system MATCHING GRANT FOR CERTIFICATION AND QUALITY MANAGEMENT SYSTEM …cont’d

Good Agriculture Practice (GAP)

Good Hygiene Practice (GHP)

Regulatory Impact Assessment (RIA)

British Retailers’ Consortium (BRC)

Globally Harmonised System (GHS)

Safety Data Sheet (SDS)

Eligible Expenses :

Cost of information, training, testing, calibration and acquiring equipment for product testing

Renovation expenditure for compliance to certification requirement

Other related costs required for certification and quality management system

Designing and improving product packaging and labeling through appropriate packaging technology Eligible Expenses : Related costs and services for designing, packaging, marking and labeling Trade mark and patent registration Purchase of related machinery and equipment MATCHING GRANT FOR ENHANCING PRODUCT PACKAGING

Designing and improving product packaging and labeling through appropriate packaging technology

Eligible Expenses :

Related costs and services for designing, packaging, marking and labeling

Trade mark and patent registration

Purchase of related machinery and equipment

Provides grant to assist SMEs in undertaking activities for the development of export markets. The activities include : Participation in : Trade and Investment Missions Marketing Mission In-Store Promotion Overseas Industry and Professional Related International Conferences Overseas Local and international trade fairs Meetings related to negotiations on Mutual Recognition Agreements (MRA), Free Trade Agreement (FTA), ASEAN, World Trade Organization (WTO) and other market access negotiations by representatives of Trade and Industry and Professional Services Associations MATCHING GRANT FOR MARKET DEVELOPMENT

Provides grant to assist SMEs in undertaking activities for the development of export markets. The activities include :

Participation in :

Trade and Investment Missions

Marketing Mission

In-Store Promotion Overseas

Industry and Professional Related International Conferences Overseas

Local and international trade fairs

Meetings related to negotiations on Mutual Recognition Agreements (MRA), Free Trade Agreement (FTA), ASEAN, World Trade Organization (WTO) and other market access negotiations by representatives of Trade and Industry and Professional Services Associations

Implementing Agency MATRADE Preparation of promotional items Setting up of sales promotion office overseas For women-owned enterprises : Participation in Malaysia Export Exhibition Centre (MEEC) at MATRADE Participation in export training seminars and workshops held locally MATCHING GRANT FOR MARKET DEVELOPMENT … cont’d

Preparation of promotional items

Setting up of sales promotion office overseas

For women-owned enterprises :

Participation in Malaysia Export Exhibition Centre (MEEC) at MATRADE

Participation in export training seminars and workshops held locally

Business Start-up Improving and Upgrading of Existing Services and Processes Certification and Quality Management Systems Advertisement and Promotion RM100,000 RM500,000 RM50,000 RM250,000 FINANCIAL ASSISTANCE SCHEME FOR SMEs IN THE SERVICES SECTOR

FINANCIAL ASSISTANCE SCHEME FOR SMEs IN THE SERVICES SECTORS Services sectors coverage are : • Distributive Trade ; • Business and Professional Services ; • Information and Communication Technology (ICT) ; • Tourism ; • Logistics ; • Healthcare ; • Education ; and • Construction .

Provides grant to assist SMEs and Enterprises (less than 12 months operation) in starting up a business. Eligible expenses : Preparation of Business Plan Preparation of Marketing Plan Market Feasibility Studies Rental of business premises and related equipment up to 24 months Development of prototype (for Construction and related activities only) One year broadband subscription fee Purchase of machinery or office equipment BUSINESS START-UPS

Provides grant to assist SMEs and Enterprises (less than 12 months operation) in starting up a business.

Eligible expenses :

Preparation of Business Plan

Preparation of Marketing Plan

Market Feasibility Studies

Rental of business premises and related equipment up to 24 months

Development of prototype (for Construction and related activities only)

One year broadband subscription fee

Purchase of machinery or office equipment

Provides grant to assist SMEs to upgrade existing services and processes (for ICT, healthcare and construction sectors only). Eligible expenses : Undertake technology feasibility studies Fees for technology transfer Development of prototype/s Initial Intellectual Property (IP) registration IMPROVEMENT AND UPGRADING OF EXISTING SERVICES AND PROCESS

Provides grant to assist SMEs to upgrade existing services and processes (for ICT, healthcare and construction sectors only).

Eligible expenses :

Undertake technology feasibility studies

Fees for technology transfer

Development of prototype/s

Initial Intellectual Property (IP) registration

Provides grant to assist SMEs in obtaining quality certification. Eligible expenses : ISO 9000 Series Acquisition of certifications and quality management systems for related services sectors Halal certification/s and related expenditure in compliance to the certification requirements. Regulatory Impact Assessment (RIA) British Retailers’ Consortium (BRC) Safety Data Sheet (SDS) CERTIFICATION AND QUALITY MANAGEMENT SYSTEM

Provides grant to assist SMEs in obtaining quality certification.

Eligible expenses :

ISO 9000 Series

Acquisition of certifications and quality management systems for related services sectors

Halal certification/s and related expenditure in compliance to the certification requirements.

Regulatory Impact Assessment (RIA)

British Retailers’ Consortium (BRC)

Safety Data Sheet (SDS)

Provides grant to assist SMEs in obtaining electronic or printed media advertisement. Eligible expenses: Production of marketing and promotional materials such as brochures, catalogues, flyers, banners, posters and CD-ROMs. Electronic media advertisement Printed media advertisement Development of an interactive website for e-commerce activities ADVERTISEMENT AND PROMOTION

Provides grant to assist SMEs in obtaining electronic or printed media advertisement.

Eligible expenses:

Production of marketing and promotional materials such as brochures, catalogues, flyers, banners, posters and CD-ROMs.

Electronic media advertisement

Printed media advertisement

Development of an interactive website for e-commerce activities

Interest Rate: 2% Max Loan: RM3 million Payment Period: 15 years Interest Rate: 2% Max Loan: RM3 million Payment Period: 15 years Interest Rate: 2% Max Loan: RM500,000 Payment Period: 5 ½ years

Interest Rate: 2%

Max Loan: RM3 million

Payment Period: 15 years

Interest Rate: 2%

Max Loan: RM3 million

Payment Period: 15 years

Interest Rate: 2%

Max Loan: RM500,000

Payment Period: 5 ½ years

Assist existing and new start-up companies in : Project Financing Fixed Asset Financing Working Capital Financing Assistance to SMEs including graduates of incubators to open/relocate/expand their business through acquisition of factory/business premises. SOFT LOAN FOR SMEs (SLSME) SOFT LOAN FOR FACTORY RELOCATION

Assist existing and new start-up companies in :

Project Financing

Fixed Asset Financing

Working Capital Financing

Assistance to SMEs including graduates of incubators to open/relocate/expand their business through acquisition of factory/business premises.

1. Upgrading Engineering Design Capabilities Purchase of design software or subscription fee/license fee for on-line engineering design services Purchase of computer hardware and related equipment Training cost 2. Purchase of software, business process and related hardware plus training SOFT LOAN FOR ICT ADOPTION (SLICT)

1. Upgrading Engineering Design Capabilities

Purchase of design software or subscription fee/license fee for on-line engineering design services

Purchase of computer hardware and related equipment

Training cost

2. Purchase of software, business process and related hardware plus training

CHECK GRANT APPLICATION STATUS VIA SMS

SMALL AND MEDIUM INDUSTRIES DEVELOPMENT CORPORATION Level 20, West Wing, Menara MATRADE Jalan Khidmat Usaha, Off Jalan Duta 50480 Kuala Lumpur Info Line : 1-300-88-1801 Tel : 03-6207 6000 Fax : 03-6201 6564 www.smidec.gov.my www.smeinfo.com.my CONTACT US