Why Is Training Imperative To Shape Up MSME?
India’s MSMEs sector employs 11.1 million workers and accounts for 27% of the GDP in what remains a meticulous support to the country’s economy. According to the central government, these enterprises are the driving force of industrialization in the fast-growing nation. Globalization and technological advancements are now playing a crucial role in the consistent growth and development of this industry. Also, in a knowledge-based economy, the skillfulness of the workforce is critical for businesses to have a competitive edge. It is the key to retaining innovation, productivity and profit in enterprises. While MSMEs remain vital to the country’s economic growth, not all possess the organizational learning needed to overcome modern-day challenges. That’s exactly why training the workforce remains integral to the growth and subsequent success of an MSME, especially in the ever-competitive world where upskilling and reskilling is no longer a luxury but a necessity to stay relevant.
Requirement of training in MSMEs
As the MSMEs are readily adopting technology to thrive in the competitive markets, there has been an elevation in the demand for skilful talent. However, most businesses fail to reap the benefits of the technology due to the lack of expertise and awareness. Therefore, full-fledged training of the current employees must be done in order to fulfil the digital skills gap. The MSMEs lag behind their international counterparts due to their reliance on low-wage informal workers who often lack vocational training. Hence, such enterprises are limited to a modestly experienced workforce that struggles to realize its full potential and, in turn, hampers the growth trajectory. Also, to get a significant amount of returns on their investments, MSMEs need to recognize the importance of training their employees on a regular basis.
Enterprises with a culture of constant training and learning are more agile, productive and ahead of the curve. Effective on-the-job training (OJT) can not only make the employee feel motivated but also valued. A well-trained operative is often credited with effective and efficient work-rate, and minimizing the margin of error which can significantly reduce physical and material damages arising from lack of knowledge and training. On the other hand, a trained workforce also requires limited supervision which can help save a lot of time, cost and effort. With constant upskilling and reskilling, employees can get better opportunities internally while consistently bolstering their own abilities. Furthermore, MSMEs can manage things in a much better manner with trained professionals at the helm of affairs, especially with better clarity on their KRAs that can boost performance, enhance better resource allocation and facilitate knowledge sharing. With efficient training programs in place, MSMEs can accelerate their growth process while keeping their employees updated with the current market trends.
Some methods used to instigate training for the workforce in MSMEs
Due to the size of the MSMEs, sometimes, it is not possible to create internal L&D departments which can take care of the employee training and skilling process. The solution to this problem is to outsource the L&D teams that can better understand the structure and current skillset of the employees while devising training programs in sync with the changing dynamics of the industry. They can also ensure that the training is conducted according to the current business standards. MSMEs incorporate learning platforms with relevant upskilling content. The content has a personalized feature to facilitate self-paced learning and flexibility. In addition, talent transformation is also done via induction training, process training, audits, surveys, interactive live sessions, and LXP (Learning experience platforms). Micro-learning in the OJT can enable bite-size learning sessions for low-skilled employees to have a better process understanding. Furthermore, training effectiveness is being measured by content analytics to ensure the workforce is trained well and is adding value to the organization.
All things considered
Proper training of the workforce can have a direct impact on the sustainability, growth and the subsequent success of the organization. Trained employees, with better accountability and responsibility, bring out desirable results in their respective tasks while aiding the enterprises in achieving the collective goals.
At the behest of training, upskilling and reskilling, MSMEs can keep their employees well-prepared to meet the ever-changing demands of the market. MSMEs consistently strive to develop a talent pool as they remain a vital cog in accelerating modernization, fiscal excellence, eradication of poverty, and the empowerment of women, among other things. As a result, effective training of current and new recruits is critical for MSMEs to maintain their market presence in the long run.
Disclaimer: The views expressed in the article above are those of the authors' and do not necessarily represent or reflect the views of this publishing house. Unless otherwise noted, the author is writing in his/her personal capacity. They are not intended and should not be thought to represent official ideas, attitudes, or policies of any agency or institution.
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