institutionalsupporttosmallandmediumenterprises

1. INSTITUTIONAL SUPPORT TO
MICRO, SMALL AND MEDIUM
ENTERPRISES
Presented by: PRASAD RAJESHWAR LABHSHETWAR
Semester IV (M. COM.)
Roll No – 20
School Of Commerce & Management Science
Swami Ramanand Tirth Marathwad University, Nanded

2. Institutional support system is necessary at
three stages enterprise development:
• Inception or Promotion
• Day-to-day management
• Expansion and Diversification

3. Three dimensions of institutional support
system are:
• Central Government
• State Government
• Non-government Support System

4. CENTRAL GOVERNMENT
INSTITUTES

5. SMALL SCALE INDUSTRIES BOARD (SSIB)
Established in 1954
It consists of the following members:
• Union Industry Minister
• State Industry Minister
• Selected members of Parliament
• Secretaries of department concerned

6. NATIONAL BANK FOR AGRICULTURE AND
RURAL DEVELOPMENT (NABARD)
Established in 1982
Services offered by NABARD:
• Attracting youth to rural non-farm sector.
• District Industries Rural Project (DRIP).
• Rural Entrepreneurship Development
Programme (REDP).

7. SMALL INDUSTRIES DEVELOPMENT
ORGANISATION (SIDO)
Constituted in 1954 to develop support
services for promotion of SSS.
Main objectives of SIDO are:
• To formulate policy for promotion of SSI
• Provide coordination of policies of state
government
• To collect and disseminate information

8. • To provide wide range of extension services
through allied institutions
• To promote facilities for technology
upgradation
• To offer consultancy services

9. Services Rendered by SIDO:
• Entrepreneurship development and
Management training.
• Efforts for skill development.
• Preparation of feasibility reports for different
products.
• Provision of testing services.
• Availability of tool room facilities.

10. NATIONAL SMALL INDUSTRIES CORPORATION
(NSIC)
Set up by government of India in 1955.
Main functions are:
❑Supply of machinery and equipment.
❑Provision of financial assistance.
❑Assistance for arrangement of raw materials.
❑Establishment of technology transfer centers.
❑Arrangement of marketing assistance.
❑Priority in government purchase programme

11. SMALL INDUSTRIES DEVELOPMENT BANK OF
INDIA (SIDBI)
Established in 1990
Subsidiary of IDBI, setup as an act of
parliament.
Provides assistance for:
• Setting up of new SSI units, small hotels,
hospitals and so on.
• Technological upgradation and modernization,
expansion and diversification.

12. • Quality upgradation.
• Development of markets.
• Development of infrastructure.
• Discounting of bills of manufacturer-seller in
selling either equipments or components.

13. STATE GOVERNMENT
INSTITUTES

14. STATE FINANCIAL CORPORATIONS (SFC)
Objectives:
• Provide term loans
• Promotion of self-employment.
• Encourage women entrepreneurs.
• Expansion of industry.
• Provide seed capital assistance.

15. STATE SMALL INDUSTRIES DEVELOPMENT
CORPORATION (SSIDC)
Important functions performed are:
• Procurement and distribution of raw
materials.
• Supply of machine on hire-purchase basis.
• Construction of industrial estates.
• Providing assistance for marketing of products
of SSI.

16. TECHNICAL CONSULTANCY
ORGANISATON
Services of TCOs include:
• Preparation of project profiles.
• Undertaking industrial potential surveys.
• Identification of potential entrepreneurs.
• Undertaking market research.
• Project supervision and rendering technical
and administrative assistance.
• Conducting EDPs.

17. KHADI AND VILLAGE INDUSTRIES COMMISION
(KVIC)
It is engaged in the development of khadi and
village industries in rural areas.
Main objectives of KVIC are:
• Providing employment in rural areas.
• Skill improvement.
• Rural industrialization.
• Transfer of technology.

18. NON-GOVERNMENT
INSTITUTES

19. INDIAN COUNCIL OF SMALL INDUSTRIES (ICSI)
It was established in 1979.
Main functions are:
• Information dissemination.
• Entrepreneurship development.
• Consultancy and managerial support.
• Training and research.

20. LAGHU UDYOG BHARTI (LUB)
It was founded in 1995.
It is responsible to undertake:
• Entrepreneurial training.
• Technology upgradation.
• Marketing services.

21. THANK YOU