Development P: sent programme has been framed by a combination of + Meaning of Entrepreneu! The word entrepreneurial developn: three words: + The first “Entrepreneurship” means the general tendency or desite among societ establish new enterprises. * The second word ‘Development? means such a continuing process which is followed to get entrepreneurs too much ahead, by several innovations and changes, * The third word ‘Programme’ implies the determination of sequence for the accomplishment of various activities. In other words, entrepreneurial development programmes (EDP) mean all those efforts individuals, groups, state governments, and the central government, which encourage the development of entrepreneurs and the enterprising persons to establish new Enterprises. gramme to > Meaning: As the term itself denotes, EDP is a programme meant to develop entrepreneurial abilities among the people. In other words, it refers to inculcation, development, and polishing of enueprencurial skills into a person needed to establish and successfully run his her enterprise. Thus, the concept of entrepreneurship development programme involves equipping a person with the required skills and knowledge needed for starting and running the enterprise. > Role and Relevance of Entrepreneurial Development Programme in India = EDP is essential for first generation entrepreneurs because they may not become successful unless a proper training is received, It is a continuous process of motivating the entrepreneur. The potential entrepreneurs can solve many of their problems provided proper training is given to them. On the basis of above discussion, it can be concluded that EDP is becoming increasing popular and it can help the country in the following way: iiminates poverty and unemployment: The basis problems of most of the developing countries like India are poverty and unemployment. Entrepreneurship development programmes can help the unemployed people to opt for self-employment and entrepreneurial as a career, Several programmes like National Rural Employment Programme (NREP), Integrated Rural Development Programme (IRDP) ete. are in operation in india to help the potential entrepreneurs, All.these special schemes intend to eliminate the poverty and solve the problem of unemployment. Scanned with CamScannergional development: Suceessfial Entreprencurial development programm help in foster the industialization and reduces the concentration of economic power. It iz because the small-scale entrepreneurs can set-up their units in remote areas with little financial resources whieh can help in achieving balanced regional development ‘The medium and large enterprises do not help in redueing the disparities in income ancl wealth of the people. Thus, Entrepreneurial development programmes help in balanced regional development by spreading industrial units in each, and every part of the country, 3. Prevents industrial shuns: ‘The urban cities are highly congested and leading to industrial s!-ms. Decentralization of industries is very much required by relocating the industries. Entrepreneurial development programmes help in removal of industrial slums os the entrepreneurs are provided with various schemes, incentives, subsidies and infrastructural facilities to set up their own enterprises in all the non-industrialized areas. This will control the industrial slums and also reduce the pollution. traffic congestion, overcrowding in cities ete. 4 4, Harnessing locally available resources: Since abundant 1esources are available locally, proper use of these resources will help to carve out a health base for sound economic and rapid industrialization. The entrepreneurial development programmes can help in hamessing these resources by training and educating the entrepreneurs. 5. Defuses social tension: Every young person feels frustrated if he does not get employment alter completing his education. The talent of the youth must be diverted to self-employment careers to help the fusing social tension and unrest among youth which is possible by country in del entrepreneurial development programmes. 6. Capital formation: The various development banks like ICICI, IDBI, IFCI, SFC, SIDC and SIDBI tke trepreneurship through assistance to various agencies involved initiative in promoting in EDP and by providing financial help to ne entrepreneurs, [tis impossible to start a new enterprise without sulficrent funds, Scanned with CamScannerLnueprenews are the organizers of factors of their own and ey tor setting up of new v fosmation, 7, Economie independence: Entrepreneurs develop and produce substituted products of imported goods and prevent the over-dependence on other countries “They also enable the country to produce different variety of better quality goods and service at competitive prices of imported goods which help in promoting the economic independence of the country. 8, Improvement in per eapita income: Entrepreneurs always explore and exploit the new opportunities which lead to productive use of factors of production for more output, employment and generation of wealth. ‘The overall increase in productivit EDPs play a significant role in setting up of more industrial units to generate more and income help in improvement in per capita income. employment opportunity and to seoure improved per capital income, 9, Facilitating overall developer Entrepreneurs act as agents of proper use of various limited resources such as men, money, material, machines etc. which leads to overall development of an area, an industry. “The successful entrepreneurs set a motivating example for others to adopt entrepreneurship as a career, Thus entrepreneurs create a motivating environment for economic development of a country. > Role of Government in promoting Entrepreneurship Government plays a very important role in developing entrepreneurship. Government develop industries in rural and backward areas by giving various facilities with the objective of balances regional development. The government set programmes to help entrepreneurs in he field of technique,financemarket and entrepreneurial development so that they help to accelerate and adopt the changes in industrial development, Various institutions were set up by the central and state governments in order to fulfill this objective. A. Institutions set up by Central Government 1, Small industries development organization (SIDO) SUDO was established in October 1973 now under Ministry of Trade, Industry and Marketing. SIDO is an apex body at Central level for formulating policy for the development of Small Scale industries in the country,headed by the Additional Secretary & Development Commissioner(Small Scale Industriesjunder Ministry of Small Scale Industries Govt. of Scanned with CamScannera — ~ Te for strengthening this vital sector” a Tein, SIDO is playin» sey sonsteactivg Fale Ov ihe coutly. SIDO Proved ta be one of the strong pillars of Wie UO on of ral entrepreucussti.” extended support throwh Comprehensive pla for prome 2. Management development Institute(MDI) blished in 1973 and is sponsoreg , MDI is located at GurysontHaryana).lt was estal eee a deciamving ata Industrial Finanee Corporation OF Indiawith objecti ‘ 4 ograms in varie.” \ effectiveness in the industry It conducts management Se eae i NGC eee : fields.In also includes the programmes for the officers of IAS,IES, . ny other leading PSU's, 3. Entrepreneurship development institute of India (EDD) for, Entrepreneurship Development tnstitute of India, (EDI), an autonomous Se institute, set up in 1983. is sponsored by apex financial institutions - the [D} sank Ltd., IFCI Ltd., ICICI Bank Ltd. and the State Bank of India (SBI). EDI has helped set up twelve state-level exclusive enuepreneurship development centres and institutes. One of the satisfying achievements, however, was taking entrepreneurship to a large number of schools, colleges, science and technology institutions and management schools in several states by including entepreneurship inputs in their curricula. In the international arena, efforts to develop entrepreneurship by way of sharing resources and organizing training programmes, have helped EDI eam accolades and support from the World Bank, Commonwealth Secretariat, UNIDO. ILO. British Council, Ford Foundation, European Union, ASEAN. Secretariat and several other renowned agencies. EDI has also set up Entrepreneurship Development Centre at Cambodia, Lao PDR, Myanmar and Vietnam and is in the process of setting up such centres at Uzbekistan and five African countries, 4, All India Small Scale Industries Bonrd(AISSIB) The Small Scale Indusities Board (SSI Board) is the apex advisory body constituted to render advise to the Government on all issues pertaining to the small seal le sector.It determines the Minister as its president and the representatives of various GovemmentState Government National Small Industties Corporations State Financial Corporstion.Reserve Bank of India State Bank of India,indian Small Industries Board.Non Bovemment members such as Public Service Commission, Trade and Industries Members organization i.e. Central S. National Institution of Entrepreneurship and Small Devclopment(NIESBUD),New Delhi {t was established in 1983 by the Government of Indiat is an apex body to supervise the activities of various agencies in the entrepreneurial development programmes.It a society under Government of India Society Act of 1860.The major activites of institute arc Business i) To make effective strategies and methods 4i) To standardize model syllabus for training iff) To develop training aids.tools and manuals iv) To conduet workshop: ’s.seminars and conferences. ¥) To evaluate the benetits of EDPs and promote the process of Entrepreneurial Development. Scanned with CamScannerjopnent vii) To undertake research and development in the field of EDPs. 6, National Institute of Small industries Extension Training Jt was established in 1960 with its headquarters at Hyderabad. The main objectives of national Institute of Small Industries Extension Training are’ i) Directing and Coordinating syllabi for training of small entrepreneurs. ii) Advising managerial and technical aspects. iii) Organizing seminars for small entrepreneurs and managers. iv) Providing services regarding research and documentation. 7, National Small Industries Corporation Ltd. (NSIC) The NSIC was established in 1995 by the Central Government with the objective of assisting the small industries in the Government purchase programs. The corporation provides a vast- market for the products of small industries through its marketing network. It also assists the small units in exporting their products in foreign counties. > Stages/Phases of EDP It is said that an economy is an effect for which entrepreneurship is a cause. Entrepreneurship development has, therefore, become a matter of great concem in all developed and developing countries all over the world. But the real problem is how to develop entreprencurship. Entrepreneurship development programme (EDP) is deemed to offer the solution of this problem. EDP passes through following three stages: Phase of HDP Initial or Pre-training Phase ~ | Training or Developmental Phase Post Training or Follow up Phase Scanned with CamScannerV. Touning or Development ph UL Post training or follow-up 1. Pre-Training Pre-training phase consists of all Pre-training phase of EDP consist vities and preparation to launch training programme, s of the following activities : 1 Designing course-currienlum for training Cis essential for any EDP that whatever material for study or training is designed should fulfil the needs or purpose of the FIDP The main objectives to be kept in mind while designing the course curriculum are as follows: a) To provide knowledge and information rej economic development and available £ perspective entrepreneurs. garding entrepreneurship, role of entrepreneur in facilities tegarding establishment of enterprise to b) To provide motivation training to the prospective entrepreneurs in order to develop right + approach and behaviour towards business, ¢) To provide and arrang. for necessary course material important for management and technical information 4) To collect and provide information regarding g Various agencies engaged in providing assistance to entreprenewrs to establish and rur n the enterprises, €) To provide various project reports so that they can study and anal lyse the feasibility of various projects with regard to marketing,technieal and financial ag pects. f) Arranging plant visits so that they may become familiar with real life situations. This will help in inculcating the right behaviour and thoughts and in developing a strong personality. 2. Selection of faculty The success of an EDP depends upott able or well qualified experienced faculty or resource bersons. Thus selection of the proper faculty is an important part of pre-training phase. For this teacher from various universities, professional institutes, banks, research and development fields are inv ited. 3. Advertisement ‘ ' Next important task is giving advertisement for EDP to be conducted, So that maximum number of candidates can participate. Advertisement can be given in local newspaper,educational institutes or employment exchange. 4, Selection of potential or perspective Entrepreneurs: For the success an EDP it is essential that only those participants take part who really have qualities to be potential entrepreneurs, The selection of prospective entrepreneurs can be made on following basis i. On the basis of information available from application form. si. On the basis of written examination to check the aptitude. ii On the basis of personal imteryview of the candidate Scanned with CamScannerexon. He Training phase jective sirable chaige in the bebuyiwue of the Haines ent Le motivation o develop “need lor achieve! should see the following cb ng U yes ni the behaviour of tainees, + Ishe or she attitudinally tuned very much towards his ur her proposed project idea’? into entrepreneurial career and beer risks involved + Is the trainee motivated to plunge init? + How should he or she behave like an entrepreneur? + What kinds of entrepreneurial traits the trainee Jacks the most? + Does the trainees possess the required skill in selecting the viable project, mobilizing the required resources at the right time? ‘There are number of methods to provide Training: 1. Lecture method In this method the instructor directly communicates with the participant with regard to theory and practice to be followed. The advantage of this method is that queries or doubts in the mind of candidates are cleared on the spol 2. Written instructions method ‘Under this method written material is provided to the participants for their use.Al important factors or elements required for setting up and running an enterprise are provided in written fom 3. Demonstration or practical method For better understanding of the candidates everything related to entrepreneurship is aught by demonstrations. Every minute detail is explained by giving demonstrations for the practical performance of the work. 4. Conferences Under conference method, experts in various fields are invited to share their ideas with the participants. The aim is to provide knowledge to trainees for improving their effectiveness. 5. Meetings ‘Meetings provide opportunities to candidates to discuss various problems faced by them.They discuss exchange ideas on various issues at fism conclusion 6. Individual training Under these circumstances where one person is to be given information or knowledge on a particular aspect,then individual training is imparted. 7.Group training This method of training is best suited where group of individuals has to do similar type of work and where similar type of instructions are to be given to all of them. IIL, Post-training phase The ultimate objective of the entrepreneurship development programme is to prepare the participants to start their enterprise. The success of the EDP can be judged from the objectives it has achieved, that is how many participants actually started their own enterprise after getting training. This phase involves assessment to judge how far the objectives of the program have been achieved. This is called Follow-up. In follow up following three things wome. + Was the programme conducted as per plans? +f not what were the deviations, loopholes in the plan? + Taking Corrective action to improve the weaknesses aller identifying them? Scanned with CamScannerible for low level of ous the tion and ever! DPs are narrated as blems come from the traine’s, 1 the supporting organisa ent Some of the important problems faced by success of the pr tion es the gavernn cneutship put oa halt due to the antithetic attitude of the supporting agencies like banks. financial institutions and other supporting ag in the absence of a policy at the national level Majority of institutions engaged in EDP are themselves not convinced and certain about the task they are supposed to perform and objectives to achieve. They are conducting EDP ‘because they have to conduct the iti, No clear eut couse of action. ‘The course contents are not standardized and the hot very clear about the course of action they are accountabi agencies engaged in EDPs are themselves supposed to follow. There is no ty and feed back system for further improvement, ADVERTISEME® iv, Poor follow-up: Institutions providing FDPs do not show much concem for objective identification and selection of entrepreneurs, No follow-up actions follow EDPs after training. V. Non-availability of Infrastructural facilities : EDPs are not successful due to none availability of adequate infrastructural facilities required for the conduct of EDPs. Rural and backward areas are lacking in proper class rooms, guest speakers. boarding and lodging etc. for suecessfil conduct of EDPs, - Lack of commitment and involvement by the Corporate Sector: ADVERTISEMENTS: Corporate sector shows less concem for the Successful conduct of EDPs. They lack of commitment and involvement in EDPs, Ther fe seems to be low institutional support entrepreneurs. vii. Non-availability of competent faculn Scanned with CamScannerSBoQrwe 372 Using ta pre eur Even af coi euehiers available, the y We ni lo Serve nd b ward a1 smooth conduct of EDPs vit Non conducive environment: ADVERTISEMENTS: Non-conducive environment and constraints in the backward regions has become a major problem for the conduct of EDPs. [t makes the trainer-motivator's tole ineffective. ix. Selection of wrong trainees: cedure adopted by various agencies and institutions conducting EDPs There is no uniform proc i 9 ection of wrong trainees which leads to low for the selection of trainees. This results in the sel success raic of EDPs. Scanned with CamScanner