Office of Small and Medium Enterprises Promotion 1

Office of Small and Medium Enterprises Promotion 1

Contents I. Background of OSMEP II. Roles and Duties of OSMEP III. Thailand’s SMEs Promotion Plan (2007 -2011) 2

I. Background Office of Small and Medium Enterprises Promotion (OSMEP) was established under the Small and Medium Enterprises Promotion Act 2000 (Publicized in the Royal Gazette on February 17, 2000) as a juristic entity and a governmental office, not an official agency or state enterprise. 3

Board of SMEs Promotion v Chairman of the Board of Small and Medium Enterprises (SMEs) Promotion = Deputy Prime Minister, The House of Representatives Dr. Trairong Suwankiri Role: formulating policies and plans for SMEs promotion 4

Vision of OSMEP “To be leading organization in formulating policy and strategy on SMEs promotion and to take role as focal point in coordinating the working systems of the public and private sectors in order to propel SMEs to grow with strength and sustainability. ” 5

Director General Organizational Strategy and Budget Administration Department Director General Affairs Department Internal Audit Division Deputy. Director Deputy Director Strategy Development and Promotion Cluster Specialist and Advisor Team SMEs Promotion Action Plan Coordination Cluster General Services and Supporting Cluster SMEs Macro Strategies Department Venture Capital Fund Management Department Central Administration Department SMEs Regional/Sector Strategies Department SMEs Coordination and Services Department Center of Information System and Technology Micro Enterprises Strategies Department SMEs Promotional Scheme Development Department Legal Affairs and SMEs Advocacy Development Department International Cooperation and Policy Support Department Government Policy Promotion Department Business Promotion and Development for Regional SMEs Department 6

II. Roles & Duties 1. Formulating SMEs Master and Action Plan and SMEs related laws and regulations 2. Taking charge of SMEs promotional activities that have yet to be implemented by other offices 3. Establishing international network and serving as SMEs advocacy in both local and international arena 4. Providing support facilities for SMEs such as financial support, innovation and technology support, mentoring, incubation, etc… 5. Managing and monitoring special SMEs promotional projects under the government’s policies i. e. OTOP 7

SMEs Promotional Agencies Ø To formulate SMEs Promotion strategies Ø To create target sector & definition for SMEs Ø To cooperate and coordinate with various SME Promotional Agencies Ø To establish SMEs Information Center & business enabling factor OSMEP Policy Regional MOTS Implement MOF MOAC MOL MOC MOST MOC MOI SME BANK SICGC Support • Support credit to SMEs • Credit Guarantee OPDC • To develop resources to SMEs IEAT • To establish Industrial Estate MOPH OSMEP SME BANK SMEs VC • VC SPECIALIZED DIP INSTITUE • To promote • To develop industries & technology & entrepreneur employees ISMED FTPI • Training & develop labour force TISI ISO BOI • To create investment • Standard to SME & Policy for SMEs International Standard • Benefit for. SMEs DIW FTI , TCC SMEs Entrepreneur Association • To support & promote Private sector to promote 8 environment& community • SMEs

III. Thailand’s SMEs Promotion Plan (2007 -2011) Office of Small and Medium Enterprises (OSMEP), Thailand 9

SMEs Definition Sectors Manufacturing Wholesales Retails Services Employment (persons) ≤ 50 ≤ 25 ≤ 15 ≤ 50 Fixed Asset (mln. baht) ≤ 50 ≤ 30 ≤ 50 Employment (persons) 51 - 200 26 - 50 16 - 30 51 - 200 Enterprise Size SE ME Fixed Asset (mln. baht) Over 50 ≤ 200 Over 50 ≤ 100 Over 30 ≤ 60 Over 50 ≤ 200 Exchange Rate at 33. 00 Baht : 1 US Dollar

Direction and Target of SMEs Promotion Direction of SMEs Promotion KPI of SMEs Promotion Target of 2007 -2011 • Strengthening entrepreneurs 1. GDP share of SMEs 1. Expansion in GDP of to use skill, productivity, is 42% in 2011 SMEs innovation and knowledge as growth mechanism. 2. Labour productivity and • Restructuring SMEs sectors 2. Growth of labor TFP in target sectors from low-end to medium productivity and total increase no less than and high-end products & factor productivity of 5 percent/yr. services ; from OEM to SMEs ODM and OBM 3. SMEs export growth is • Creating of business ethic 3. Growth of SMEs export at the same rate as with CSR • Facilitating common total export growth infrastructures for innovation and productivity upgrading 11

Strategies of SMEs Promotion Plan 2 (2007 -2011) Vision: SMEs to Grow with Sustainability, Strength and Balance Intellectual Infrastructure Strategy 1: Create new Strategy 4: Promote the entrepreneur and develop Capability on Value Creation the capability of existing in Services Sector entrepreneurs Productivity Strategy 2: Upgrade Manufacturing SMEs Strategy 5: Promote SMEs in Regional and Local Areas Network & Alliance Strategy 3: Increase the Strategy 6 : Create efficiency and reduce business environment impediment in trading and enabling factors sectors Competitiveness 12

Summary of OSMEP’s SME Promotion Infrastructure Skills & Competency building ■Incubation ■ Mentorship ■Consultancy ■Business Coaching & Training ■SME University ■i. SMEs Capacity Building Financing ■ Machine Fund ■ Venture Capital Fund Market Accessibility ■Business Matching ■Internationaliza tion Fund ■Intellectual Property Fund ■Consultancy Fund 13

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