More support for SMEs to transform themselves

Businesses, including small and medium-sized enterprises (SMEs), will have more support to take the next leap in their transformation journey with a slew of initiatives outlined by Senior Minister of State for Trade and Industry Chee Hong Tat in Parliament yesterday.

Chief among them is the SkillsFuture Enterprise Credit, which provides each eligible employer $10,000 in credits, valid for three years from April 1 this year, to cover up to 90 per cent of out-of-pocket expenses for enterprise and workforce transformation programmes.

Companies can use the credits for transformation projects, to redesign jobs and redeploy workers to more productive roles, as well as to send workers for approved training courses, said Mr Chee during the debate on his ministry's budget.

This will benefit more than 35,000 enterprises, which hire more than 1.5 million local workers.

Besides funding, firms can also get more assistance from the enhanced SME Centres.

A two-year pilot will see SME Centres take on the role of growth partners for promising micro and small enterprises. Business advisers at the centre can provide help such as business coaching and the implementation of growth initiatives.

Promising SME leaders will also be groomed in a new three-year pilot programme called Enterprise Leadership for Transformation.

It will start in the third quarter of this year and includes practical-focused modular training, business coaching, networking activities and support for the implementation of business growth plans.

Enterprise Singapore aims to involve 900 SME business leaders over the next three years.

Participating local enterprises can receive up to 90 per cent co-funding support from Enterprise Singapore and SkillsFuture Singapore.

Specific sectors will also get a boost. The GoBusiness Licensing portal, which provides a fast way for food service businesses to apply for licences, will be further developed to include sectors such as retail.

An e-adviser will be introduced to recommend suitable schemes based on a company's needs.

Number of enterprises that will benefit from the SkillsFuture Enterprise Credit.

Mr Chee said: "It is not just about using information technology, but... to re-engineer our rules and procedures, make them more efficient, more pro-business, and save businesses time and money."

He was replying to Mr Charles Chong (Punggol East), who asked how SMEs can be made more aware of the schemes available.

The design industry can also get a pipeline of talent through a new Design Education Advisory Committee that will be formed on April 1.

The committee will strengthen education and industry links in order to develop manpower with the relevant design skills needed by the design industry and wider economy.

Mr Chee said: "We believe enterprise transformation must start with what the business wants to achieve, what problems it wants to solve, and what capabilities it needs to build to reach its goals. The assistance to companies must be enterprise-centric and transformation-focused, based on their needs."

Enterprise Singapore supported more than 13,000 projects from over 11,000 enterprises last year.

These will generate $17.3 billion in value-add and create 21,700 new professional, managerial, executive and technician jobs.

Mr Chee added: "Productivity improvement, innovation and internationalisation remain important pillars of our economy; we must press on with these efforts.

"We are also committed to support businesses at different stages of growth to transform and prepare for the future, so that our companies and workers will emerge stronger."