Capacity building programmes for Small and Medium Enterprises.ppt

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    Management of Sustainable ChangCapacity Building and IndustrialModernization Programmes

    Presentation

    Applying UNIDO methodology and Pharosenterprise benchmarking software for improvingcapacity for Trade, Exports, competitiveness andsustainable development

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    Business owner and his employees (1895)

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    Making stogies Pittsburgh cigar factory (1900s)

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    Workers on the first moving assembly line (1913)

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    Assembly line at Chinese company (2000s)

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    You cant do todays job with

    yesterdays methods and be inbusiness tomorrow"

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    8/56Who should attend?

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    The one on his way tothe top.

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    The one not onlydriving but also thinkingwhich way to choose.

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    The one feeling that something is wrong

    should try to improve it.

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    12/56The one looking for new opportunities in busines

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    Who should attend: The business owners, entrepreneurs Senior management and specialists

    supporting strategic, financial andproduction management

    Assistants to senior management,

    Business consultants Vocational Training and ExecutiveEducation professionals

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    What are the benefits?

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    Valuable knowledge capital

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    UNIDO Pharos software package had been applied toseveral industrial modernizations and capacity buildingprogrammes in several countries including Colombia,

    India, Egypt, Bahrain, Lebanon, Zambia, Uganda,Kenya, Indonesia, Russia, Slovakia, United Kingdom

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    Training materials

    Best practices

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    Follow-up assistance by the ELCIM consultants

    Real life event

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    UNIDO Certificates

    Business Excellence in Enterprise Performance Management

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    Problems addressed

    Enterprise level

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    1. Mistakes in making business decisionsby management based on inadequateassumptions, information,

    2. Financial mismanagement andineffective use of own or borrowedfinancial resources

    65%

    Major reasons of SME mortality*

    *10,9 million enterprises, data SEBRAE, BRAZIL

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    Initial position

    Business Target

    (Promised Land)

    Sailing to target destination

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    Where is navigation? What are their chances?

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    Initial position

    Business Target

    (Promised Land)

    Sailing without navigation

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    Ideal path

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    Initial position

    Business Target

    (Promised Land)

    Sailing with navigation

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    Sailing with navigation.

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    We cannot change the direction of thewind, but can adjust my sails toalways reach my destination.

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    Awarenessworkshops

    UNIDO Capacity Building and Upgrading Programmes withEnterprise Business Performance Management, Measurement

    and Benchmarking components

    TrainingWorkshops

    IT Tools for businessperformance

    measurement andbenchmarking

    Consulting &Coaching on-site

    Certification inBusiness

    Excellence Achivements

    Industrialcenters in

    country

    UNIDO,Vienna

    Improving results:Industrial engineering

    methods

    Measuringbusiness results

    Developingbest practices

    Pharos -BusinessNavigator

    FinancialImprovementToolkit - FIT

    Produce Plus EnterpriseCertificates

    Benchmarks

    ManagerialCertificates

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    Objectives (1) Introducing best practices of systematic

    measuring of results, its maximizing,planning, eliminating inefficiencies

    Implementing effective productivity &industrial engineering methods withsimple and inexpensive personalperformance management tools.

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    Objectives (2) Combining methodology, best practices

    and software for improving productivity,competitiveness, quality for sustainablegrowth.

    SMEs becoming more transparent andprepared for national and internationalinvestments, have improved capacity fortrade and exports.

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    Objectives 3 Improving entrepreneurs capacity for

    managing investments, innovations, newtechnologies Management of Change.

    Facilitating business developments,managerial potential, implementation ofISO 9001.

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    Strategic Planning

    and Implementation

    Measuring and benchmarkingstrategic and financial results with

    UNIDO Pharos and FIT softwareMeasuring and benchmarking

    manufacturing results with

    Produce Plus software

    ProgrammeModules

    On-site enterprise consultingand coaching

    1

    2

    3

    4

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    Module 1:

    Strategic Planning at Industrial SMDevelopment strategies shall include

    adapting to changing businessenvironment potential risks

    maximizing competitiveness. different attitude and approach of the

    enterprises, especially that of the owner

    and / or management

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    Module 1:Strategic Planning and Implementati

    Key competencies and skills of ChangeLeaders

    Methodologies of Strategic Planning

    How to develop and implement a strategicplan? (Measure and Planning based onrealities, simulating the decision options)

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    Module 1:

    Implementing Strategic Plan Targets and Milestones Timetable Organigram Organizational Culture

    Monitoring and Benchmarking of KeyPerformance Indicators Comparing assumptions vs. realities

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    Module 2: Improving Performance with ICTPharos Enterprise Benchmarking

    Integrated enterprise platform for unified measurementmonitoring and management of business performance,innovative, powerful yet easy to use

    Introducing business intelligence concepts at eachorganizational level

    Improving business culture of stakeholders for sustainadevelopment

    Simplicity in learning and self-training facilitating exchof best practices, benchmarking and transfer of knowlebetween stakeholder groups

    Special focus to personnel of private and public enterpr

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    Module 2: Pharos Enterprise Benchmarking

    Methods and tools for easy setting and assessment ofgoals (organization, departments, individuals)

    Comparisons between organizations as well as traceabiof change using real-time benchmarks

    Scalable support of organizations in their growth path fsmall to large (5 => 1000 employees)

    Integrating features of Pharos-Business Navigator, FIT,Produce Plus and BEST

    Transparency of business results for prospective investoand modernization programmes

    Compliance to BASEL II (minimization of credit risks) Customizable benchmarking indicators and reports

    SME Level Application

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    SME Level ApplicationPharos Package

    Laptop

    Owner

    EnterpriseData Base Update

    Calculation of IndicatorsBusiness Profile

    Benchmarking Reports And Graphs

    Manager

    d l f

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    Developing best practices: problems andhow to address them, Managerial

    dedication, Value of unmeasured, Staffattitude, training and stimulation: who isreally interested in the measurementresults? Making the measurement,management and benchmarking thecomponent of a business culture,Expected results and realities in practice

    Module 2: Improving PerformanceBusiness benchmarking & reportin

    d l f

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    Where we are compared to others? Self-assessment and positioning of

    enterprise achievements against theothers by industry, region, country; obtaining the vision of our own progress

    and its relevance to overall industrialtrends

    Module 2: Improving PerformanceBusiness benchmarking & reportin

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    Module 3:Participants learn and practice:

    Introduction to Performance Measurement

    in manufacturing Relation between lean manufacturing andproduction performance measurement,diagnostics and benchmarking, value addestream mapping

    Application of Pharos to productionperformance management

    M d l 4

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    Module 4:On-site enterprise consulting

    and coaching On-site implementation:

    developing knowledgecapital, setting bestcontinuous improvemenpractices (up to 12

    months, consultantassisting and supportingeach enterprise).

    M d l 4

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    Module 4:On-site enterprise consulting

    and coaching Training and certification of national

    consulting and support teams Benchmarking and certification of eachparticipating enterprise

    Final results evaluation, reporting,conference of stakeholders

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    The Programme Modules Integrate concepts, methodology,

    training and reference materials, practical exercises, lecturing,

    action learning, team work/group work, case studies, simulations,

    games and computer-based training

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    Expected Results (1) Best practices in business improvement Improvement of Key Performance

    Indicators (KPI) up to 300%, includingGross Profits, Productivity (Added Valueper Employee), etc.

    Benchmarking & diagnostics reports foreach enterprise

    Benchmarking data for evaluation ofsectoral performance

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    Expected Results (2) Documented results of the Programmeimplementation Investment facilitation due to increased

    transparency of businesses UNIDO Certificates of Achievements in

    Business Performance Excellence Improved culture in Management of

    business, innovations, competitiveness,productivity, quality and sustainability Installation of Pharos benchmarking

    software in participating enterprises

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    We really appreciate PHAROS - as a concept and asa Business Performance tool and the way of presentationof its output Indicators". S.D.Sardesai, General Manager

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    Case study: Shoe Factory, Colombia

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    Return of Investment into Programme participatioCase study: Shoe Factory (Bogota, Columbia 2002

    Average annual sales, USD -$632 000 Net Profit average % (leather & shoe

    production) -5% Increase of net profits, post programme

    in % -24%

    Increase of net profits, post programmein USD -$7,584 Participation costs per annum

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    Expected Results of Capacity Building Programm Management of Change:

    Margen de Utilidad Operacional: + 53.7% Incremento de Ventas: + 37.9% ndice de Servicio al cliente: + 99.28% Estructura de la Organizacin: + 26.09% Gestin de Mercadeo: + 26.19% Eficiencia en la Gestin de la Produccin: 66.32 Maneo del Recurso Humano: +34.71% Administracin Econmico-Financiera: + 60.93% Estrategia Empresarial: + 77.37%

    *Source: UNDO Integrated Programme for Colombia 2002-2004, Component II, Pharos

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    Conclusions:The National Entrepreneurship Capacity

    Building and Industrial ModernizationProgrammes provide unique answer

    Management of Sustainable Change Investments Innovations New technologies

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    Questions please?

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    Thank you!

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    Contacts:

    Serge GolovanovPh.D., Dipl. Eng., Director,

    Enterprise Performance Improvement CenterGOLEM IMS GMBH, Vienna, AustriaUNIDO International Consultant

    e-mail:[email protected]

    References

    mailto:[email protected]:[email protected]
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    References

    NYPL Digital Gallery,http://digitalgallery.nypl.org/nypldigital/index.cfm

    Nationals Archives and Record Administration,http://www.archives.gov/exhibits/twww/ Dongguan Digi-in Digital Technology Co.,Ltd,http://www.digi-in.com.cn/en/index.asp http://www.istockphoto.com

    Source materials by

    Industrial upgrading programme overview and relevant documentshttp://win2biz.com/unido_sw/eng/SME-Prog-intro.htm

    Pharos enterprise benchmarking software:http://win2biz.com/unido_sw/eng/peb.htm http://win2biz.com/unido_sw/eng/faq.htm http://win2biz.com/eng/Interview2.htm

    http://digitalgallery.nypl.org/nypldigital/index.cfmhttp://www.archives.gov/exhibits/twww/http://www.digi-in.com.cn/en/index.asphttp://www.istockphoto.com/http://win2biz.com/unido_sw/eng/SME-Prog-intro.htmhttp://win2biz.com/unido_sw/eng/peb.htmhttp://win2biz.com/unido_sw/eng/faq.htmhttp://win2biz.com/eng/Interview2.htmhttp://win2biz.com/eng/Interview2.htmhttp://win2biz.com/unido_sw/eng/faq.htmhttp://win2biz.com/unido_sw/eng/peb.htmhttp://win2biz.com/unido_sw/eng/SME-Prog-intro.htmhttp://win2biz.com/unido_sw/eng/SME-Prog-intro.htmhttp://win2biz.com/unido_sw/eng/SME-Prog-intro.htmhttp://win2biz.com/unido_sw/eng/SME-Prog-intro.htmhttp://win2biz.com/unido_sw/eng/SME-Prog-intro.htmhttp://www.istockphoto.com/http://www.istockphoto.com/http://www.digi-in.com.cn/en/index.asphttp://www.digi-in.com.cn/en/index.asphttp://www.digi-in.com.cn/en/index.asphttp://www.archives.gov/exhibits/twww/http://digitalgallery.nypl.org/nypldigital/index.cfm