Human resource support for SMEs

Source from (Business Times): http://www.btimes.com.my/Current_News/BTIMES/articles/20120728005748/Article/

Published: July 28, 2012

TALENT SEARCH: Centre helps small and medium enterprises boost their manpower capability

IT IS fierce, tough and ruthless. That is the nature of the ongoing war for talent among businesses worldwide.

It is harsher in Asia as the developing economies are in a race to outdo each other by leveraging on the region’s robust growth.

The global economic outlook is not pretty, especially in the European Union and the US, while massive job cuts are seen in some global corporate giants. Yet, majority of companies are still looking for talent and willing to spend more on staff development.

Surveys by consulting firms found that people remain one of CEOs’ top priorities, and with the current economic uncertainties, companies are more determined to get the best talent to lead their business and overcome difficult and complex challenges.

In the battle to attract the best talent, smaller businesses may be pushed to the side by larger rivals who have greater resources to win over high performers.

Small and medium enterprises (SMEs), which have to channel any financial resources available to grow their markets and expand their product reach, may have to settle for mediocre talent.

However, it’s not all gloom and doom for some 600,000 SMEs in Malaysia, which employ some 3.5 million workers.

The government has established the National Human Resources Centre (NHRC) within Pembangunan Sumber Manusia Bhd to provide strategic and operational human resources (HR) support as well as advice to all SMEs.

The centre, which became fully operational in January this year, acts as an effective HR department for SMEs to help them manage their workforce well.

Basically, the services provided by NHRC cover all HR needs of an organisation, which can assist SMEs to boost manpower capability to achieve business success. The services include HR regulatory matters, recruitment and selection, compensation and benefits, employee development and relations, as well as HR leadership development.

The consultative and advisory services are provided by NHRC through walked-in customers, phone calls, interactive forum and online chat on its portal.

At the same time, SME Corp Malaysia is doing all it can to develop competitive, innovative and resilient SMEs through effective coordination and provision of business support.

SME Corp, the secretariat to the National SME Development Council, has come out with an innovative Competitiveness Rating for Enhancement (Score) diagnostic tool. The tool allows the agency to evaluate and develop SMEs to achieve high Score ratings, which can help them penetrate export markets.

Meanwhile, Teraju or Bumiputera Agenda Driving Unit is currently identifying Bumiputera SMEs under its Teras programme to help accelerate their growth and enable them to compete in the open market.

SME Bank Bhd, which was set up to cater for the needs of SMEs, has also contributed by not only providing financing to the companies, but also playing a developmental role to nurture them.

In fact, quite a number of the bank’s customers are already under Teras, which aims to develop high-performing Bumiputera SMEs into world-class players.

To complete the picture, the SME Masterplan was recently launched by Prime Minister Datuk Seri Najib Razak.

The eight-year plan, which defines the direction of the SMEs, will see the implementation of 32 initiatives, including six high-impact projects.

Describing the master plan as a “game changer” for the SME sector, Najib said it would push SMEs to greater heights through higher productivity, innovation and growth.

With concerted efforts by the government and the private sector, it is a matter of time before local SMEs scale greater success beyond Malaysia’s borders and become global giants.