The economic slowdown has affected many industries, especially micro and small enterprises, across sectors, and reports of layoffs, dipping order books, unsold inventory, and fall in productivity has further unnerved the industry. Many entrepreneurs are staring at the real prospect of a shutdown and don’t know where to find the answers to all sort of questions in their minds. In brief: Is there a Cope Book to survive the slowdown?
KASSIA has reached out to such aggrieved small scale entrepreneurs with a solution that aims to answer their prayers, viz. an Industry Health Check (IHC) that will make a holistic study of the present situation of a company, diagnose its real problems, and suggest concrete strategies not only to tide over the slowdown but also to sustain and scale their growth in the long run.
At a workshop on the challenges faced by entrepreneurs amidst an economic slowdown held at KASSIA Auditorium on Friday, KASSIA President, R. Raju announced the launch of the new Industry Health Check (IHC) service to avail which, interested businesses may email their Expression of Interest (EoI) to firstname.lastname@example.org. In response to the email, the businesses will receive a response with a non-disclosure agreement (NDA) to take care of their privacy concerns, and a questionnaire which they will have to fill up and sign and mail it back to KASSIA.
After this, the CEO/MD of the company will be called in for a one-on-one meeting with an expert panel at KASSIA and after a comprehensive diagnosis of the company’s present status, a detailed report will be presented by the panel to the company on the steps to be taken to overcome the slowdown/recession in the market. The respondent company may take a second opinion on the report and decide to take the corrective steps suggested in the report.
The convenor of the workshop, V. Sudarshan, chairman, QMS(ISO) panel, delivered a detailed presentation on the industry health check service and urged the MSMEs grappling with the slowdown to benefit from it.
H.M. Srinivasa, Additional Director, Directorate of MSME & Member-Secretary, MSEFC suggested that KASSIA also make a comparative study of the status of the MSME sector 10 years before and now, which could deliver useful insights to the industry, on how to face such crises.
P. Ravikumar, chief general manager, NSIC drew a parallel between the new Industry Health Check service launched by KASSIA and the earlier Performance Credit Rating Scheme (PCRA) which was in vogue long back. While the latter did not get the desired results since it did not essentially focus on the MSMEs, he expressed the hope that KASSIA’s industry health check service will prove to be very useful for stressed small enterprises.
On delayed payments further adding to the woes of the small industry, Chandra Mouli, DGM, SIDBI urged the entrepreneurs to maximize their use of the Trade Receivable Discounting System (TReDS), the electronic platform that facilitates the finance of trade receivables of MSMEs from big corporates, PSUs and large companies. The TReDS had been announced as part of improving the ease of doing business (EODB) for MSMEs, he added.