Vision &Mission of Small Scale

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VISION &MISSION OF SMALL SCALE

INDUSTRIES

Presented by :JAGJIT SINGH

GURPREET SINGH

Harpreet singh

ANKUSHAMRINDERJIT SINGH


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WHAT IS VISION??

Vision is what the firm or the individual

would ultimately like to become.

It is the mental perception of the kind

of environment an individual, or an

organization, aspires to create within abroad time horizon .


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Benefits of having a Good Vision

Good visions are inspiring

Help in the creation of a common identity

and a shared sense of purposeGood visions are competitive, original and

unique and practical

promote risk taking and experimentation

long term thinking

Good visions represent integrity, are truly

genuine and can be used for the betterment

of people.


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What is a Mission?

It is a grand design of the firms future.

Mission is the essential purpose of theorganization, concerning particularly why it is

in existence, the nature of the business it is

in, and the customers it seeks to serve and

satisfy.


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WHAT IS SMALL SCALE INDUSTRIES..


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Defining small-scale industry is a difficult taskbecause the definition of small-scale industry variesfrom country to country .

Every country has set its own parameters in defining small-

scale sector. Generally, small-scale sector is defined in

terms of investment ceilings on the original value of the

installed plant and machinery.

The Fiscal Commission, Government of India, New Delhi, 1950

, for the first time defined a small-scale industry as,one which is operated mainly with hired labour usually 10 to 50hands.


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The Small Scale Industries Board in 1955 defined,"Small-scale industry as a unit employing less than 50 employeesif using power and less than 100 employees if not using powerand with a capital asset not exceeding Rs. 5 lakhs".

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The initial capital investment of Rs.5 lakh has beenchanged to Rs. 10 lakhs for small industries and

Rs. 15 lakhs for ancillaries. In 1975. Again thisfixed capital investment limit was raised to Rs. 15 lakhsfor small units and Rs. 20 lakhs for ancillary unitsin 1980. The Government of India in 1985, has

further increased the investment limit to Rs. 35 lakhsfor small-scale units and 45 lakhs for ancillary units.


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The new Policy Initiatives in 1999-2000 defined small-scaleindustry as a unit engage in manufacturing, repairing,processing and preservation of goods having investment

in plant and machinery at an original cost not exceedingRs. 100 lakhs.

In case of tiny units, the cost limitation is up to Rs. 5 lakhs.

Again, the Government of India in its budget for 2007-08 hasraised the investment limit in plant and machinery of small-

scale industries to 1.5 corers..


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SSI CONTRIBUTES TOWARDS :

1.PRODUCTION

2.EMPLOYEMENT

3.EXPORTS


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Production..

The small-scale industries sector plays a vital role inthe growth of the country. It contributes almost 40%of the gross industrial value added in the Indianeconomy.

It has been estimated that a million Rs. ofinvestment in fixed assets in the small scale sectorproduces 4.62 million worth of goods or serviceswith an approximate value addition of tenpercentage points.

The small-scale sector has grown rapidly over theyears. The growth rates during the various planperiods have been very impressive. The number ofsmall-scale units has increased from an estimated

0.87 million units in the year 1980-81 to over 3million in the year 2000.


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EMPLOYEMENT..

SSI Sector in India creates largest employment opportunities for the Indianpopulace, next only to Agriculture. It has been estimated that 100,000 rupeesof investment in fixed assets in the small-scale sector generates employmentfor four persons.

Food products industry has ranked first in generating employment, providing

employment to 0.48 million persons (13.1%). The next two industry groupswere Non-metallic mineral products with employment of 0.45 million persons(12.2%) and Metal products with 0.37 million persons (10.2%).

In Chemicals & chemical products, Machinery parts except Electrical parts,Wood products, Basic Metal Industries, Paper products & printing, Hosiery &

garments, Repair services and Rubber & plastic products, the contributionranged from 9% to 5%, the total contribution by these eight industry groupsbeing 49%.

In all other industries the contribution was less than 5%.


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EXPORTS..

SSI Sector plays a major role in India's present export performance. 45%-50%

of the Indian Exports is contributed by SSI Sector. Direct exports from the SSI

Sector account for nearly 35% of total exports. Besides direct exports, it is

estimated that small-scale industrial units contribute around 15% to exports

indirectly. This takes place through merchant exporters, trading houses and

export houses. They may also be in the form of export orders from large unitsor the production of parts and components for use for finished exportable

goods.

It would surprise many to know that non-traditional products account for more

than 95% of the SSI exports.

The exports from SSI sector have been clocking excellent growth rates in this

decade. It has been mostly fuelled by the performance of garments, leather and

gems and jewellery units from this sector.


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OPPORTUINTIES..

Less Capital Intensive

Extensive Promotion & Support by Government

Funding - Finance & Subsidies

Machinery Procurement

Raw Material Procurement

Manpower Training

Technical & Managerial skills Tooling & Testing support

Export Promotion


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MAJOR PROBLEMS FACED BY SSI

1.MANAGERIAL PROBLEM

2.FIANANCE RELATED PROBLEM

3.PROBLEM RELATED TO QUALITY OF RAW MATERIA

4.PROBLEM RELATED TO MARKETING

5.INFRASTRUCTURE RELATED PROBLEM


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CONCLUSION

Small scale enterprises are generally more labour intensive thanlarger organisations. As a matter of fact, small scale sector has now

emerged as a dynamic and vibrant sector for the Indian economy in

recent years. It has attracted so much attention SSI sector has made

significant contributions toemployment generation and also to rural industrialisation. This sector is

ideally suited to build on the strengths of our traditional skills and

knowledge, by infusion of technologies, capital and innovative marketin

practices. So this is the opportune time to set up projects in the small

scale sector. It may be said that the outlook is positivee of the Indian

industry and the demand structures. / technologies / processes.

There will be flourishing and well grounded

markets for the same product..


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Vision &Mission of Small Scale