Regional Workshop on SME Development and Regional Economic Integration
Post-event Statement
Thirty six government officials who are involved in small and medium enterprises (SMEs) and technical and vocational education and training (TVET) policies from across the Asia-Pacific region participated in the "Regional Workshop on SMEs Development and Regional Economic Integration", jointly organized by the Colombo Plan Staff College for Technician Education and the Asian Development Bank Institute (ADBI) at ADBI in Tokyo on 22-26 September 2008. During the five-day workshop, a wide range of SMEs and TVET issues and their policy implications related to SMEs development, regional economic integration and building SMEs capacity through TVET were extensively deliberated. Participants also shared country experiences, lessons learned, and best practices on SME and TVET development as well as how to promote SME development through TVET. In particular, the workshop discussed - trends in regional economic cooperation and integration in the Asia-Pacific region and their impact on SMEs in terms of resulting entrepreneurial opportunities,
- emerging entrepreneurial opportunities in two clusters of information and communication technology (ICT) and automobile sectors,
- best practices on SMEs development and management in the Asia- Pacific region, and
- country action plans to promote effective growth of SMEs sector via TVET.
One notable trend observed in the increasingly integrated Asia is the development of a regional production and distribution network, which represents a good opportunity for SMEs to participate as suppliers of products and/or services to and/or through this network. Amid this trend, five sectors that provide substantial opportunities for SMEs were identified. These are information technology (IT), tourism, textiles, food processing, and auto parts and components. Within ASEAN, 12 priority sectors were also identified to be fast- tracked for integration. To take advantage of these emerging business opportunities, SMEs need to acquire the capacity, knowledge, technology, and skills that are essential for supplying quality products and services. TVET institutes can effectively provide the needed knowledge and skills to SMEs by fostering closer linkage with the private sector or industries which they are serving so that the right skills can be identified and supplied through well-targeted and properly designed TVET curricula. To further promote SME development, entrepreneurship management also needs to be integrated into vocational education. |
Purpose
The workshop aims to strengthen Small and Medium Enterprises' (SMEs) capacity to better take part in the development of regional production and distribution networks, particularly through Technical and Vocational Education and Training (TVET).
Background
A healthy SME sector is considered to be the backbone of any developed economy. Over the past decades the role of SME entrepreneurs has been considered of great importance in accelerating economic growth and development. Developing economies like India, People's Republic of China, Pakistan, Sri Lanka, Malaysia, Philippines and many other countries in Asia and the Pacific region have always considered the SME sector as an important sector in their economies. Because of their unique economic and organizational characteristics, SMEs play important economic, social, and political roles in employment creation, resource utilization, and income generation and in helping to promote change in gradual and peaceful manner.
Entrepreneurship is a significant factor in the development of the SME sector. Technical and Vocational Education and Training (TVET) systems in most of the countries of Asia and the Pacific region have, however, not given due consideration to training of potential entrepreneurs, resulting in inadequate growth as well as improper management of the SME sector. Integrating entrepreneurship into the TVET sector and adopting it as a specific training discipline has still to gain ground. Fragmented efforts for entrepreneurship development need integration and a holistic approach to produce effective and tangible results.
Increasing regionalism, particularly in ASEAN, East Asia, and South Asia, has led to closer economic cooperation and integration while contributing to further development of regional production and distribution networks in many sectors. To allow SMEs to take better advantage of this trend, it is important to identify sectors where there are significant opportunities for SMEs to take part (for example, as suppliers of parts and components) in their development and the roles of TVET in preparing (training) entrepreneurs for these opportunities.
Objectives
The workshop will provide participants with an opportunity to discuss: - the trend in regional economic cooperation and integration in the Asia Pacific Region and their impact on SMEs in terms of resulting entrepreneurial opportunities,
- emerging entrepreneurial opportunities in two clusters of information and communication technology (ICT) and automobile sector, as a demo for identifying entrepreneurial opportunities in other sectors,
- best practices on SME development and management in Asia Pacific Region, and
- country action plans to promote effective growth of SME sector via TVET.
Outputs
- Better understanding of regional economic integration and its impact including opportunities for SMEs
- Wider adoption of best practices in SME development and management
- Closer linkages and better harmonization of TVET and SMEs development policies
- List of sectors where there are entrepreneurial opportunities as a result of closer economic cooperation and integration
- List of entrepreneurial opportunities in information and communication technology (ICT) and automobile sectors
- Country specific action plans to promote growth of SME sector through TVET
- 4 theme papers on
- Management of SMEs as Blue Ocean Strategy for Economic Growth
- Role of TVET in Enhancing SME Capacities
- Effect of Asia Pacific Regional Economic Integration on SMEs and Emerging Entrepreneurial Opportunities
- Emerging Trends in Asia Pacific Region and their Impact on SMEs
- Workshop Proceedings (Joint ADBI/CPSC Publication)
Participants
About 45-50 mid-senior level government officials in charge of TVET and SME development in 24 countries: - (ASEAN) Brunei Darussalam; Cambodia; Indonesia; Lao People’s Democratic Republic; Malaysia; Myanmar; Philippines; Singapore; Thailand; and Viet Nam,
- (SAARC) Bangladesh; Bhutan; India; Maldives; Nepal; Pakistan; and Sri Lanka,
- PRC; Japan; and Republic of Korea, and
- Afghanistan, Fiji, Mongolia and Papua New Guinea (CPSC members)
Partners
Colombo Plan Staff College for Technician Education (CPSC)
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