Strategic Planning for SME Development

1. DTI –SMED Group… Strategic Planning for SME Development U/Merly M Cruz 26 October 2010

2. Vision, Mission and Objective

3. GOAL To contribute to the over-all goal of poverty reduction and income generation with focus on the development of the productive sectors to be able… a) to generate sustainable employment through enterprise development and strong private sector partnership; and, b) to create competitive business environment.

4. DTI-RODG LOGFRAME PAPs PAPs PAPs PAPs Societal Goals ECONOMIC GROWTH AND POVERTY REDUCTION Sectoral Goals JOBS GENERATED GLOBAL COMPETITIVENESS LEVEL 1 Organ’l Outcomes EXPORT OF GOODS & SERVICES INCRESDED INVESTMENTS INCREASED COMPETITIVENESS OF MSMEs INCREASED CONSUMER WELFARE ENSURED MFOs MFO 1 Trade Dev & Promo MFO 2 Industry Dev’t & Investment Promo MFO 3 SME Development MFO 4 Consumer Welfare & Protection MFO 5 Good Governance BDS: Market Dev & Promotions BDS: Ind Devt, Inv promo & facilitation, biz reg’n BDS: (minus MFO 1) Financing, Productivity Consumer Welfare, FTL, Biz regulation Systems improvment, Policy Advocacy, HRD, Special projs 110 Improved Product 210 Reduced Processing Time 410 Empowered Consumers 310 Improved Access to Financing 510 Improved Mngt Systems LEVEL 2 Outputs 120 Improved Market Access* 220 Increased inflow of investment 320 Improved Productivity 420 Improved Compliance 520 Improved Competency * Includes Mkt Promo & Trade Facilitation 430 Improved Response Time 230 Improved Access to relevant info 330 Strengthened Org. & Policy Advocacy 530 Improved FAD systems LEVEL 3 PAPs PAPs

5. MSME Development Strategy and Approach MSME

6. FOUR (4) PILLAR PROGRAMS 1 Export Pathways 2 NERBAC 3 OTOP SME and Regional Operations Group 4 SME Stars

7. 2010 PILLAR PROGRAMS • MFO 1 • Continued implementation of the EPP-RIPPLES as a strategy to increase the number of SMEs enrolled and simplifying the stages required to complete the cycle.

8. MFO 2 – Industry Development and Investment Promotion Source: NERBACs

9. 2010 PILLAR PROGRAMS, CONT… • MFO 2 • An additional of 40 Provincial NERBACs were established as of August 31, 2010 bringing to 53 (15 Regional NERBACs) the total no. of NERBACs established nationwide. • An average turn-around time of 10 minutes for the approval of a business name with complete documentary requirements and using a unified application form for BNR. • Investment generated is Php33,430.12M • Jobs created is 360,100 • No. of BNs approved is 199,578

10. 2010 PILLAR PROGRAMS, CONT… OTOP • MFO 3

11. MFO 3 – SME Development & Promotion * This figure comes from the financing program of RuMEPP

12. 2010 PILLAR PROGRAMS, CONT… • SME STARS Awards System • 3-LEVEL Award System based on the SME Development Framework: • Presidential Award • Elite SME STARS Award • SME STARS Award

13. “SME STARS” FRAMEWORK STAGES SUPPORTMEASURES & INTERVENTIONS Presidential Awardees OUTCOME: Expanded Market Share Elite SME STARS Awardees OUTCOME: Market Penetrated and Sustained Presence • Dom. Supply Base Subcont • Productivity Enhancement • Intl Trade Shows • Border Issues Resolutions • Updates on Results • of Multi-/Bilateral Negotiations & FTAs • Market Intelligence • Trade Missions • Regulatory Reforms • Border Issues Resolutions OUTCOME” Expanded/Sustained Dom Mkt Presence & Exports Entry Preparedness • Expnd Dom Mkt Base • Export Clinics • Export Mentoring • Design & Market Trends • Market Referrals • Export Opportunities • Mkt Facilitation Sem. • Dynamics of Nego Trng • On-line Marketing • Prod Dev Clinics • NTF/Sourcing Fair • Credit Brokering “SME STARS” Awardees OUTCOME: Biz Registered Client & Domestic Market Ready • Seminars/Trainings on • Business Opportunities • Market Awareness • How to Join Trade Fairs • Market Information • Financing Awareness • Advoc. for Entrep’ship • Ebiz/NERBAC • Start-up Biz Seminar • Consultancy

14. “SME STARS” FRAMEWORK OUTCOME: Market Penetrated and Sustained Presence Where the first digit is the Level, cap letter represents the training provider and the third digit is the training/intervention

15. UPDATES ON PRIORITY PROGRAMS FOR SME DEVELOPMENT (MFO 3) SME and Regional Operations Group

16. OTOP, cont… Flagship Projects • Bamboo Industry Development • Crafting of the IRR of E.O 897 is completed for presentation to PBIDC; • MOA to operationalize the tripartite partnership between DTI, DepED and DENR is being finalized; • Establishing a partnership with the International Bamboo Network (INBAR) - a round table discussion with the INBAR Director General CoosjeHoogendoorn and the Philippine Bamboo Industry Core Group was conducted last Sept. 3, 2010; and • CSW for the first PBIDC Meeting is on-going.

17. OTOP, cont… Flagship Projects • Supporting Industries to Tourism • Crafting of the Framework and the DTI-DOT Action Plan (Sept-Dec 2010) completed; and • MOA to operationalize the partnership between DTI and DOT is being finalized;

18. 2010 PILLAR PROGRAMS, CONT… • MFO 3, cont… 4. SME DEVELOPMENT PLAN (2011-2016) Draft is now with PIDS for final packaging 5. SME Summit 2010 Will be held in November and highlighted by: 5.1 Dialogue of SMEs with Economic Leaders; 5.2 Launch of the SMED PLAN 2011-2016; and 5.3 Launch of the SME Stars and Presidential Awards for outstanding SMEs.

19. 2010 PILLAR PROGRAMS, CONT… • MFO 3, cont… 6. COCONUT INDUSTRY SUMMIT Stock taking of stakeholders and development initiatives in order to harness the export potentials of the industry, e.g., coco peat as high value export, etc. 7. SME STARS & PRESIDENTIAL AWARDS SYSTEM Drafted program framework and organized a consultative meeting last September 21, 2010 to get inputs from the government and private sector representatives.