SUPPORTING SMEs IN A TIME OF CRISIS: HOW TO CHOOSE THE RIGHT ACTIONS

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1 Organisatin fr Ecnmic C-peratin and Develpment Lcal Ecnmic and Emplyment Develpment Prgramme SUPPORTING SMEs IN A TIME OF CRISIS: HOW TO CHOOSE THE RIGHT ACTIONS A Capacity Building Seminar fr Plicy Makers and Lcal Develpment Practitiners Octber 2009, Trent, Italy Organised by: The OECD LEED Trent Centre fr Lcal Develpment and The Internatinal Cperatin Training Centre f the Autnmus Prvince f Trent (Italy)

2 1. Backgrund: Small and medium-sized enterprises are key surces f dynamism, innvatin, and flexibility. In OECD cuntries they accunt fr ver 95 percent f enterprises, generate tw-thirds f emplyment and are ne f the main surces f new jbs. Gvernments play an imprtant rle in stimulating mre and strnger business start-ups, and in enabling cmpanies t mdernise and grw. They set the envirnment and plicy framewrk in which new and small firms perate. In develping and transitin ecnmies, SMEs are key ecnmic actrs in resurce allcatin and industrial restructuring prcesses. They prvide ecnmic benefits, such as experimentatin and adaptability t ecnmic change and the grwth f human capital. Gvernments have a three-fld rle in turning initial stages f entrepreneurship develpment int emplyment and ecnmic grwth. This invlves i) enhancing the cnversin f infrmal entrepreneurship int frmal businesses; ii) prviding grwth and innvatin supprt fr cmpanies and startups; and iii) addressing skills bttlenecks. T implement an entrepreneurship agenda, natinal gvernments will need t partner with lcal gvernments, the private sectr, and civil sciety rganisatins. In finding ut what wrks best and where the likely pitfalls are, much can be learned frm OECD cuntries, Latin America and transitin ecnmies. 2. Organisers: The OECD LEED Trent Centre: The missin f the OECD LEED Trent Centre is t build capacity fr lcal develpment amng natinal and lcal stakehlders in OECD member and nnmember ecnmies. The Trent Centre builds n the OECD Lcal Ecnmic and Emplyment Develpment (LEED) Prgramme s lngstanding cmmitment t prviding assistance in the design, implementatin and assessment f lcal develpment strategies and its expertise n entrepreneurship and small business develpment, emplyment and skills, lcal gvernance, scial inclusin and evaluatin. The Trent Centre supprts exchanges between member and nnmember ecnmies, between natinal and lcal rganisatins, and between the OECD and sub-natinal bdies. The Trent Centre prvides capacity-building seminars, issues pedaggical materials, delivers cuntry reviews and rganises seminars and cnferences. The Internatinal Cperatin Training Centre: The Internatinal Cperatin Training Centre (ICTC) is a newbrn rganisatin fr educatin, research, and training f high-qualified human resurces engaged in scial, institutinal and ecnmic cperatin, as well as lcal develpment prmtin wrldwide. A partnership fcused and bttm-up riented apprach, cnceived in its different scial, plitical, and ecnmical dimensins, is the main attentin f the Centre. The Centre wrks n the capacity develpment f rganisatins and institutins bth in the public and private sectr, aiming at reinfrcing prjects, prgrammes and develpment plicies, managing skills, prviding curses as well as training, research and debate pprtunities amng different stakehlders and in different theme-based areas. In relatin t the Inclusin, Markets, and Scial Equity field, the ICTC aims t strengthen enterprise develpment by training innvatin managers and experts. Central attentin is paid t netwrk features, strengths and weaknesses f lcal systems, actrs attitudes t jint actins, and develping trends in the building f 2

3 partnerships amng public institutins, private ecnmic actrs, and the academic field. The perspective in which the Internatinal Cperatin Training Centre implements its actin is that f an innvative and challenging apprach t lcal develpment based n lcal, reginal, and transnatinal partnerships. 3. Target Cuntries: Central East and Suth East Eurpe: Bulgaria, Cratia, Frmer Yugslav Republic f Macednia, Hungary, Rmania, Serbia, Slvenia. Latin America: Argentina, Brazil, Chile, Clmbia, Ecuadr, Mexic, Peru. 4. Participants Prfile: In rder t ensure a dialgue between natinal and sub-natinal stakehlders in the entrepreneurship field, tw participants will be selected in each cuntry between representatives f: Natinal, reginal and lcal gvernments; Business frums, e.g. chambers f cmmerce, trade federatins, SME agents; The educatin and training sectr; Lcal and reginal develpment agencies. 5. Seminar Cntents: The Seminar will build yur knwledge n: 1. Supprting SMEs in a time f crisis: hw t chse the right actins. Open sessin fr plicy makers and practitiners t review the impact f the crisis n SMEs and t discuss the emerging plicy slutins. It will include disseminatin and discussin f the results f wrk f the OECD LEED Prgramme n hw lcal develpment plicy can respnd t the crisis and n hw gvernments are respnding t the crisis f SME and entrepreneurship financing (the Turin Rund Table). 2. SME needs and plicy respnses: a selectin f business supprt instruments, the prblems they address, and hw they are delivered: a. New start-ups: fstering entrepreneurial activities The lcal determinants f enterprise creatin Building entrepreneurial and entrepreneurship capacities. Which appraches? Start-up prmtin. What rle fr universities, lcal gvernments and develpment agencies and the public sectr? Accmpanying entrepreneurs frm start-up: Tls and mechanisms (business incubatrs, business supprt agencies, etc) b. Addressing the SME finance gap and the rle f c-perative banking SME access t finance and the nature f finance gap Instruments that help: venture capital, business angels, mutual guarantee schemes, lan guarantees, micr-finance instruments SME finance in rural areas C-perative banking and micr-credits Remittances as a lever fr ecnmic develpment c. Supprting SME grwth, prductivity and innvatin Stimulating innvatin and internatinalisatin: lcal appraches t mdernise and diversify SMEs 3

4 Business netwrks and cluster develpment Creating a lcal skills base that meets business needs (lcal appraches t dvetail curricula develpment t lcal business needs) Building Capacity (r Training and Skills Develpment) in SMEs thrugh Knwledge Intensive Service Activities (KISA) 3. Supprting scial enterprises and lcal cmmunities The rle f scial enterprises Wrking with the cmmunity (trust) 4. Creating entrepreneurship and SME strategies Setting bjectives and pririties Integrating actins Invlving stakehlders Creating an evidence base 6. Seminar structure: The capacity building seminar will last fr 3.5 days and will be based n a mix f shrt presentatins by OECD and internatinal experts fllwed by discussin, grup wrk arund practical case studies develped by participants and trainers prir t the seminar, and grup wrk exercises. 7. Study visit t Trentin: The prgramme includes study visits t Trentin entrepreneurship and SME develpment initiatives t view instruments used in the Prvince f Trent and cnsidered as gd practices by the OECD. This will enable participants t develp a greater understanding f applied plicies and tls. In the past Trentin has been an area f emigratin (abve all twards Latin America). Hwever it is nw ne f the wealthier regins in Eurpe, with a high standard f living and wellbeing, and, in its turn, is attracting immigratin frm bth inside and utside the Eurpean Unin. The regin hsts well perfrming industrial activities, craft industries, and ne f the mst large and develped systems f c-peratives in Italy (including the credit, cnsumer r services sectr). An additinal day (Friday 16 Octber) will be devted t the rganisatin f bilateral meetings fr delegates and Trentin institutins and initiatives t facilitate the exchange f experiences between plicy makers and practitiners. A full list f institutins will be made available at a secnd stage. 8. Wrking Language: The wrking language f the seminar will be English and it is essential that all participants have a gd understanding f English. 9. Cst f Participatin: The fllwing csts f participatin are cvered by the rganisers: Tuitin and training materials. Accmmdatin and lunches. Study visits t relevant rganisatins in the Autnmus Prvince f Trent. The rganisers cannt cver csts f travel between the participant s hme cuntry and Trent, r medical care and insurance during the stay in Italy. 10. Applicatins: Natinal/reginal plicy-makers will be nminated t the rganisers by the cmpetent ministry/gvernment agency by Mnday 13 July Nminees shuld send their curriculum vitae t r by fax ( ) n later than Friday 17 July Prgramme leaders (SME/business assciatins, reginal develpment agencies, 4

5 chambers f cmmerce, public financing schemes, inter-firms netwrks and clusters, business incubatrs, etc.) selectin will be cmpetitive, based n their applicatin. This shuld include: a duly cmpleted Case Study Frm; curriculum vitae. Applicatins shuld be sent by t r by fax ( ) n later than Friday 17 July Applicants will be ntified within the fllwing tw weeks. 11. Cntact Details: Fr further infrmatin, please cntact: Ms. Alessandra Prt Plicy Analyst OECD Organisatin fr Ecnmic C-peratin and Develpment OECD LEED Trent Centre fr Lcal Develpment 1, Vicl San Marc Trent - Italy Phne: r 602 (ext.) Fax: Mr. Crrad Gentilini Internatinal Cperatin Training Centre 1, Vicl San Marc Trent - Italy Phne: Fax:

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