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INDEX
1. Introduction
2. Emergence of MSME
3. Overview of types
4. Types of MSME (micro , small & medium)
5. Characteristics
6. Role of MSME
7. Problems
8. Suggestions
9. Contributions
10. Bar chart and pie chart
11. MSME clips from all over India
INTRODUCTION
• Small & medium Enterprises are
the back bone of Industrial
Development.
• Ministry of Micro Small &
Medium Enterprises Contributes
Nearly 8% in GDP, 40% in
Manufacturing output & 45% in
Exports.
• They provides the largest share
of employment after agriculture
• They have emerged as a
dynamic and vibrant sector of
economy.
INTRODUCTION
• They are widely dispersed
across the country and
produces a diverse range of
product and service.
• It helps in the growth of a
country
• They are the nursery for
entrepreneurship and
innovation
EMERGENCE OF MSME
• Based on Ghandhi model
• Encouraged by MSME act 2006
• During pre liberalization before
1991 India adopted Industrial policy
resolution 1948 that defined the role
of state in industrial development
for the first time
• At that time India accorded high
priority to small and medium
enterprises
• Despite numerous protection and
policy measures MSME has
remained mostly small &
technologically backward
• The scenario of small scale sector
changed with industrial policy
establishment in 1991
• Liberalization came into existence
• It was the post liberalization era
(1991 to 2006)
• This reflected the growth of SSI’s
• In 1991 the growth rate of SSI was
almost 3 times of the total
industrial sector from 1992 to 1995
• However in 1995 the growth rate
was slightly lower but again it
increased in 1996
OVERVIEW OF TYPES
MANUFACTURING ENTERPRISES
MICRO ENTERPRISE
• Micro enterprise generally refers to a small
business employing 10 people or less
• It is an enterprise in which investments in
plant and machinery is between 5lakh to 25
lakh.
• These enterprises works and operates not by
choice but out of necessity
SMALL ENTERPRISE
• Small enterprise generally refers to a
business employing 50 persons or less
• It is an enterprise in which investments in
plant and machinery is between 25 lakh
to 5 crores.
• These enterprise works and operates to
earn a small amount of profit.
MEDIUM ENTERPRISE
• Medium enterprise refers to a business
employing maximum to 250 employees
• It is an enterprise in which investment in
plant and machinery is between 5 crores to
10 crores
• These enterprises works and operates to
earn a fair amount of profits to increase their
standard of living.
SERVICE ENTERPRISES
MICRO ENTERPRISE
• An enterprise in which investment in plant
and machinery is up to 10 lakhs
SMALL ENTERPRISE
• An enterprise in which investment in plant
and machinery is from 10 lakhs to 2 crores
MEDIUM ENTERPRISE
• An enterprise in which investment in plant
and machinery is from 2crores to 5 crores.
CHARACTERISTICS OF MSME’S
• Low cost of
production
• High capacity to
innovate exports
• High employment
generation
• Reduction of regional
imbalance
• Greater flexibility
ROLE OF MSME’S IN INDIA
• EMPLOYMENT GENERATION
• PRODUCTION
• EXPORT CONTRIBUTION
• UTILISING RESOURCE OPTIMALLY
• INCREASE GDP
PROBLEMS OF MSME’s
• Financial Problem- Credit
facility only up to 30%
• Raw material improper
• Technological problem –
Less Advertisement
• Managerial problem of
MSME
SUGGESTIONS FOR IMPROVEMENT
•Supply of technology
•Conduct of survey
•Awareness creation
•Involvement of stakeholders
•Venture capital
Interaction with research and
development sector
•Incrimination vehicle
CONTRIBUTION & PERFORMANCE OF MSME’s
31 Million
Employment
13 Million MSME’s
producing more
than 8000 Products
10 % Exports
45 % Industrial
production MSME’s
Leading banks providing loans to MSME’s
EMPLOYMENT IN MSME’s SECTOR
0
100
200
300
400
500
600
700
800
2009-10 2010-11 2011-12 2012-13 2013-14
EMPLOYMENT
number in
lakh person
595.66
626.34
695.38
695.40
732.24
YEAR
NUMBER OF EMPLYOMENT GENERATION IN
MSME
7%
69%
24%
2009-10
MEDIUM MICRO SMALL
SECTOR OF MSME
This chart shows the percentage of types of MSME enterprises
13% enterprises are engaged in service sector and 87 % enterprises are
engaged in manufacturing sector
SERVICE
MANUFACTURING
13%
87%
MSME’s CLIPS…..
Manipur handicraft factory…..
RUGS FACTORY- JAIPUR
BANGELS FACTORY……
Paper Mache small enterprise

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ppt on micro small and medium enterprises

  • 1. INDEX 1. Introduction 2. Emergence of MSME 3. Overview of types 4. Types of MSME (micro , small & medium) 5. Characteristics 6. Role of MSME 7. Problems 8. Suggestions 9. Contributions 10. Bar chart and pie chart 11. MSME clips from all over India
  • 2. INTRODUCTION • Small & medium Enterprises are the back bone of Industrial Development. • Ministry of Micro Small & Medium Enterprises Contributes Nearly 8% in GDP, 40% in Manufacturing output & 45% in Exports. • They provides the largest share of employment after agriculture • They have emerged as a dynamic and vibrant sector of economy.
  • 3. INTRODUCTION • They are widely dispersed across the country and produces a diverse range of product and service. • It helps in the growth of a country • They are the nursery for entrepreneurship and innovation
  • 4. EMERGENCE OF MSME • Based on Ghandhi model • Encouraged by MSME act 2006 • During pre liberalization before 1991 India adopted Industrial policy resolution 1948 that defined the role of state in industrial development for the first time • At that time India accorded high priority to small and medium enterprises • Despite numerous protection and policy measures MSME has remained mostly small & technologically backward
  • 5. • The scenario of small scale sector changed with industrial policy establishment in 1991 • Liberalization came into existence • It was the post liberalization era (1991 to 2006) • This reflected the growth of SSI’s • In 1991 the growth rate of SSI was almost 3 times of the total industrial sector from 1992 to 1995 • However in 1995 the growth rate was slightly lower but again it increased in 1996
  • 7. MANUFACTURING ENTERPRISES MICRO ENTERPRISE • Micro enterprise generally refers to a small business employing 10 people or less • It is an enterprise in which investments in plant and machinery is between 5lakh to 25 lakh. • These enterprises works and operates not by choice but out of necessity
  • 8. SMALL ENTERPRISE • Small enterprise generally refers to a business employing 50 persons or less • It is an enterprise in which investments in plant and machinery is between 25 lakh to 5 crores. • These enterprise works and operates to earn a small amount of profit.
  • 9. MEDIUM ENTERPRISE • Medium enterprise refers to a business employing maximum to 250 employees • It is an enterprise in which investment in plant and machinery is between 5 crores to 10 crores • These enterprises works and operates to earn a fair amount of profits to increase their standard of living.
  • 10. SERVICE ENTERPRISES MICRO ENTERPRISE • An enterprise in which investment in plant and machinery is up to 10 lakhs SMALL ENTERPRISE • An enterprise in which investment in plant and machinery is from 10 lakhs to 2 crores MEDIUM ENTERPRISE • An enterprise in which investment in plant and machinery is from 2crores to 5 crores.
  • 11. CHARACTERISTICS OF MSME’S • Low cost of production • High capacity to innovate exports • High employment generation • Reduction of regional imbalance • Greater flexibility
  • 12. ROLE OF MSME’S IN INDIA • EMPLOYMENT GENERATION • PRODUCTION • EXPORT CONTRIBUTION • UTILISING RESOURCE OPTIMALLY • INCREASE GDP
  • 13. PROBLEMS OF MSME’s • Financial Problem- Credit facility only up to 30% • Raw material improper • Technological problem – Less Advertisement • Managerial problem of MSME
  • 14. SUGGESTIONS FOR IMPROVEMENT •Supply of technology •Conduct of survey •Awareness creation •Involvement of stakeholders •Venture capital Interaction with research and development sector •Incrimination vehicle
  • 15. CONTRIBUTION & PERFORMANCE OF MSME’s 31 Million Employment 13 Million MSME’s producing more than 8000 Products 10 % Exports 45 % Industrial production MSME’s
  • 16. Leading banks providing loans to MSME’s
  • 17. EMPLOYMENT IN MSME’s SECTOR 0 100 200 300 400 500 600 700 800 2009-10 2010-11 2011-12 2012-13 2013-14 EMPLOYMENT number in lakh person 595.66 626.34 695.38 695.40 732.24 YEAR
  • 18. NUMBER OF EMPLYOMENT GENERATION IN MSME 7% 69% 24% 2009-10 MEDIUM MICRO SMALL
  • 19. SECTOR OF MSME This chart shows the percentage of types of MSME enterprises 13% enterprises are engaged in service sector and 87 % enterprises are engaged in manufacturing sector SERVICE MANUFACTURING 13% 87%
  • 24. Paper Mache small enterprise