The document discusses entrepreneurship development in India. It covers various approaches to entrepreneurship development like human resource development and entrepreneurship development programs. It describes the objectives and need for entrepreneurship development programs. Some common misconceptions about such programs are also mentioned. Various methods, phases and aspects of structuring entrepreneurship development programs are outlined. Finally, the roles of different institutions in promoting entrepreneurship development in India like NIESBUD, SISI, SIDO, NSIC and EDII are briefly discussed.
3. EDP
EDP means programme designed to help a
person in strengthening his entrepreneurial
motive and in acquiring skills and capabilities
necessary for playing his entrepreneurial role
effectively
Prof. SVK
4. The Need for EDP
Speed the process of activating the factors of
production
Leading to higher rate of economic growth
Dispersal of economic activities
Development of backward and tribal areas
Creation of employment opportunities
Involvement of all sections of the society
Prof. SVK
5. Misconception about EDP
EDP is solution for all problems
EDP means only training
Higher the number, better the EDP
EDP success is the sole responsibility of
Trainer- motivators
Combined course may help
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7. Objectives of the Programme
To promote and development of SME that
would encourage self employment
Stimulate new venture and expansion of
existing activities of SME in rural areas.
Upgrade managerial skills of existing
entrepreneurs and develop potential
capabilities for potential entrepreneurs
Prof. SVK
8. ED Training should focus on
developing
Entrepreneurial behaviors
Taking initiative, grasping opportunity, Managing
autonomously, solving problems creatively, Netwoking Etc
Entrepreneurial attributes
Achievement orientation, self confidence, self esteem, high
internal locus of control, hard working, determination
Entrepreneurial skills
Creative problem solving, negotiating, selling, strategic
thinking, intuitive decision making under uncertainty
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9. Importance of
Training/development
Ensures availability of skilled manpower at all management levels
Enhancing abilities, potential among entrepreneurs
Increase efficiency
Maintain and enhance product quality
Minimize wastages in production process
Minimize accidents on the job
Reduce fatigue and increase speed of work
Standardization in industry and internal processes
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10. Methods of Training
Individual instruction
Group instruction
Lecture method
Demonstration method
Written instruction method
Conference
Meetings
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11. Structuring EDP
Survey of entrepreneurial opportunities
Selection of entrepreneurs
Experiences in EDP abroad
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12. Pre requisites of EDP
Selection of entrepreneurs
Inputs for EDP
Support system
Follow up
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13. Phases of EDP
Select area from existing government policy guidelines/socio-
economic reports
Techno-economic survey of the selected area; feasibility study
Identify potential and existing entrepreneurs interested in starting
new business/expansion/diversification
Training
Follow up and consultancy services
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14. Selection of entrepreneurs for EDP
The programme is well publicized and promoted to attract maximum
applications for screening
Selection of top 25 to 30 applicants only
Applications screened for:
Demographics and socio cultural data – age, education, work exp,
financial resources, type of business etc
Motivation factors – pull factors, source of encouragement, credibility,
endurance, concreteness of plans
Psychological test results- traits like risk taking, need for
achievement
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15. Features of EDP
Identification and careful selection of entrepreneurs for
training
Developing the entrepreneurial capabilities of the
trainee
Equipping the trainee with the basic managerial
understanding and strategies.
Ensuring a viable industrial project for each potential
entrepreneur.
Helping him to secure the necessary financial,
infrastructural and related assistance; and
Training cost is highly subsidised and only token fee is
charged.
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16. Issues in EDP
Structure and Composition of EDP
Areas of operation
Fixing Priorities
Lack of specialists’ support
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17. The operational problems
Inherent inability
Diverse opinions
Poor strategy
Lack of institutional commitment
Lack of local support
Non availability of inputs
Poor follow-up
Inadequate research facilities
Ill planned training methodology
Lack of creativity and commitment
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19. National Institute for entrepreneurship and Small
Business Development (NIESBUD),New Delhi
Established by Government of India in 1983
An apex body for coordination and supervison on activities of
various institutes engaged in entrepreneurial development
Helps evolution of EDP, model syllabi, effective training
strategies, methodology, manuals and tools
Activities undertaken:
Organise and conduct training programmes
Coordinate training activities of various agencies/institutes
Provide affiliation to such institutes
Hold examinations and confer certificates to trainers and trainees
20. Small Industries Service
Institutes (SISI)
Three months part time evening courses in management
4-6 weeks part time courses in intensive training in functional
areas (marketing, finance)
Special courses in quality control, HR, production planning,
product development etc
Mobile workshops imparting training on correct usage of tools
and equipment
Helps with preparation of plant layouts
Helps individual firms on specific problems faced
21. Small Industries Development
Organisation (SIDO)
Runs EDP in collaboration with financial
institutes, directorate of industries
Gives on the job training on shop floor
(carpentry, electrical devices)
Sends its officials/trainers to organisations to
update their knowledge
22. National Small Industries
Corporation (NSIC)
Provides apprenticeship for 2 years
Training supervisory staff of SSI up to 2 years
Training to engineers up to 2 years
Training workmen for 12 months
Training to set up own venture
Advice on machinery and components
Production of technologically advanced machines
23. Entrepreneurship Development Institute
of India (EDII),Ahmedabad.
Develops programmes for entrepreneurial training and
development
Develops innovative training techniques for trainers
Focused attention on women entrepreneurs with first such
EDP in 1988
EDP for rural entrepreneurship development in U.P and
Orissa
Famous for organising camps on entrepreneurship
Condusted EDP in Sri Lanka, Nepal, Ghana, Kenya etc
24. National Alliance of Young
Entrepreneurs (NAYE)
Contribution in encouraging women entrepreneurship
Set up women’s wing in 1975
This wing assists women in:
Getting better access to resources, infrastructure, markets
Identify investment opportunities
Attending to problems of individual industries
Sponsor participation in trade fairs, exhibitions, conferences
Organise seminars, training programmes, workshops
25. MANAGEMENT
DEVELOPMENT INSTITUTE
(MDI)
Objectives of the Centre for entrepreneurship
To provide a variety of services, on a non-profit basis, to
encourage, plan for, and link up entrepreneurs, firms,
and organizations in India and abroad
To offer facilities and networking to entrepreneurs under
an Outreach Program
To train students aspiring to be entrepreneurs
To render services and training that may facilitate
entrepreneurs to operate in emerging areas
To serve as a platform for various national international
centers
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26. Institute of Entrepreneurship Development
IED Odisha was established in the year 1987 with an aim to inculcate the value of
entrepreneurship to the educated unemployed youth in the state and to motivate
them to enter into the field of self employment.
Since its inception the institute has trained more than one lakh entrepreneurs in
various fields with success rate about 30%.
Presently the institute is focusing on skill based training for the youth.
mission is to promote micro, small and medium enterprises through innovative and
need based entrepreneurship trainings.
The institute has to act as a national pace setter in the field of entrepreneurship
education, consultancy, research study, training and development.
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27. National Science & Technology
Entrepreneurship Park (STEP)
The Science Parks and similar initiatives help in
creating an atmosphere for innovation and
entrepreneurship; for active interaction between
academic institutions and industries for sharing
ideas, knowledge, experience and facilities for the
development of new technologies and their rapid
transfer to the end user.
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28. Objectives
To forge a close linkage between universities, academic
and R&D institutions on one hand and industry on the
other.
To promote entrepreneurship among Science and
Technology persons, many of whom were otherwise
seeking jobs soon after their graduation.
To provide R&D support to the small-scale industry
mostly through interaction with research institutions.
To promote innovation based enterprises.
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29. Centre for Entrepreneurship
Development(CED)
Objectives of CED:
To promote self-employment and Entrepreneurship
culture .
To enhance employability of educated youth through
industry specific skill training
Women empowerment
NGO Capacity building for mass employment generation
in the rural areas.
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30. Activities of CED
To conduct Entrepreneurship Awareness Camps in the colleges
To conduct Sector Specific Entrepreneurship Development
Programme
To conduct Faculty Development Programme in Entrepreneurship
To conduct Bankers / Development Officials Sensitization Programme
on Small Industry
To conduct Women Entrepreneurship Development Programme
To conduct Skill Development Courses in Catering Technology,
Fashion Technology and Information Technology.
To conduct NGO Capacity Building Programme
To undertake Industry consultancy services
To undertake research assignments
To collaborate with other agencies / organizations for mutually
beneficial activities Prof. SVK
35. Entrepreneurship is the result of the
interaction and assimilation of different social
and environmental factors
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36. Entrepreneurial Environment
Entrepreneurial Environment is a combination of
factors that play a role in the development of
entrepreneurship.
First, it refers to the overall economic, socio-
cultural, and political factors that influence
people’s willingness and ability to undertake
entrepreneurial activities.
Second, it refers to the availability of assistance
and support services that facilitate the start-up
process.
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37. The available literature on entrepreneurial
environments can be grouped into three broad
streams:
general environmental conditions for entrepreneurship;
environmental conditions of a particular country or
region; and
the role of public policy in shaping the entrepreneurial
environments.
Prof. SVK
38. General Environmental
Conditions
General environmental conditions that may
influence entrepreneurship include:
legal and institutional frameworks for efficient
functioning of private enterprises
presence of experienced entrepreneurs and skilled
labor force
accessibility of suppliers and customers or new
markets
high degree of competition among firms
favorable government policies
provision of training and support services
supportive infrastructure
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39. In addition, the literature suggests that the
characteristics of people, their skills, experience, and
motivation, play important roles in new venture
creation
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40. Country/Region Specific Environmental
Conditions
Countries that keep rules and regulations at a minimum,
offer tax and other incentives, and provide training and
counseling services to start-up entrepreneurs increase
the likelihood of new venture start-ups.
Furthermore, factors such as availability of financial
resources, large size urban areas, and presence of
universities for training and research are found to be
very important to increase the rate of new venture
creation
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41. Studies also show that entrepreneurs face several
obstacles, such as lack of financial assistance, lack
of information on various aspects of business,
excessive taxation, and high rate of inflation.
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42. Role of Public Policy
Scholars that focused on the role of public policy suggest
several policy options for developing entrepreneurship.
These policy options include provision of
venture capital funds
tax-based incentives, and government procurement
programs
protection of proprietary ideas and innovations
investment in education and research
explicit recognition of, and support for, entrepreneurship by
government agencies
fostering of entrepreneurship by educational institutions
and minimization of entry barriers.
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46. Internal factors
Family background
Education background
Training and work experience
Desire for achievement
Desire to head a unit
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47. External Factors
Availability of inputs or raw materials
Demand of the product and large profits
Availability of infrastructure and finances
Availability of technology
Short supply of the product
Government initiative and assistance
Ready availability of sick units
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49. Prof. SVK
The basic infrastructure at the place of the
project help in
speedy implementation of the project
Reduce costs
Increase profitability
50. Prof. SVK
Better or rapidly improving infrastructure in a
particular area may attract more
entrepreneurs and see enhanced
entrepreneurial activities
51. Basic infrastructure requirements
Certain infrastructural elements seem to make
substantial impact on the entrepreneurial
environment.
modern transport and communication facilities that
provide easy access to suppliers and customers
Road Network
Connected to Rail
Ports
Airport
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52. Prof. SVK
location decisions of based on the community’s
ability to supply trained and capable workers and
on the proximity to research and development
institutions
53. Prof. SVK
existence of universities and research and
development programs
a well-educated and technically skilled labor
force.
55. Role of Infrastructural Network
Most commercial operations such as venture
capital firms and commercial banks tend to
exhibit greater interest in concentrated, urban
areas that usually have a well-developed
infrastructure and concentrated demand for
funds
They also favour areas where businesses are
easier to supervise and monitor and the cost
of supervising and monitoring loans is
relatively low
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56. The basic infrastructure at the place of the
project help in
speedy implementation of the project
Reduce costs
Increase profitability
Prof. SVK
57. Better or rapidly improving infrastructure in a
particular area may attract more
entrepreneurs and see enhanced
entrepreneurial activities
Prof. SVK