Chawla opted to fight with the challenges and is aggressively converting the challenges of the SMEs into success. This organization has truly justified its vision and tagline ‘Proud to say I am SME of India.’
In an exclusive interaction with SupportBiz, Chawla emphasized on how his organization IamSME of India is helping the entrepreneurs to excel.
Why credit availability has become an issue among the SMEs?
There is no doubt that accessing credit has become a very tough job for the SMEs in India. There are multiple reasons behind this. Aspects like global economic uncertainties, start-up funding, financial literacy of entrepreneurs etc. are contributing to the gap between availability and demand for credit. There is a need of systematic approach to address this issue. I would like to point out here that, neither the system, nor the entrepreneurs are wrong completely. Both must understand each other’s domain in order to establish a bridge. It is very important to establish a strong start-up funding culture in India. For this both the parties have to come closer.
Other than accessing capital, acquiring quality human resources is also a major issue that the SMEs face today. How do you look at this situation? Do you have any plan of action to address this?
Entrepreneurs are living in a dilemma towards their hiring strategy. It is mainly because of the fact that, some of them have already burned their figures. Especially in case of hiring engineers, this often becomes a challenge when the expectations are not met even after offering expensive salaries.
Moreover, when we hire fresh engineers, they are often found to be not perfectly fit for the actual on ground requirements of specific industries. It is mainly because they come out straight from the college, where they study outdated curriculum without any industry floor experience. This becomes a major roadblock in the hiring strategy of the SMEs.
IamSME of India came together as a group of industries and made a collective effort to nurture talent based on the actual industry needs. We hired engineers whom we have trained while they were still in college.
An engineering college from Kolkata came all the way to Delhi to adopt this model. We tied-up with this college and trained over 90 students in their campus.
We sent a team of trainers from the industries to Kolkata for two full months. We have trained 90 engineering students at their campus. These students gained huge skills and confidence, as we certified their additional skills.
We are happy to immediately place 57 students in a single day. Others are likely to be placed soon.
This is a model solution for a universal problem. How are you likely to expand this?
The same college has further given us a batch of 300 engineering students for this year. This time we will train them for over a period of nine months, starting July 2013 and next year, we will place them in the respective industries.
We promise that this batch will be much more skilled than any other comparable batch from a similar college. Needless to say, they will not only be immediately placed, but shall be placed at much better packages than their counterparts.
We will adopt about 1000 such engineering students across India and facilitate their placement. We have developed a curriculum based on the actual requirements of the industry. We will train these students for 2-3 hours daily in addition to their regular curriculum, give them real industry projects and shop-floor experience.