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Entrepreneurship Development Programme in India- Role of DST

Dr.S.Balamurugan,Ph.D

Head and Associate Professor,

PG and Research Department of Commerce,

C.P.A College, Bodinyakanur

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What is Entrepreneurship �Development Programme (EDP)?

Entrepreneurship Development Programme (EDP) is a programme which helps in developing the entrepreneurial abilities. The skills that are required to run a business successfully is developed among the people through this programme. Sometimes, people may have skills but it requires polishing and incubation. This programme is perfect for them.

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cont..

This programme consists of a structured training process to develop an individual as an entrepreneur. It helps the person to acquire skills and necessary capabilities to play the role of an entrepreneur effectively.

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An EDP is an effort of converting a person to an entrepreneur by passing him through a thoroughly structured training. An entrepreneur is required to respond appropriately to the market and he/she is also required to understand the business needs. The skills needed are varied and they need to be taken care in the best possible way

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EDP is not just a training programme but it is a complete process to make the possible transformation of an individual into an entrepreneur. This programme also guides the individuals on how to start the business and effective ways to sustain it successfully.

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EDP

  • Designed with an aim of encouraging self employment
  • Imparts training and motivates potential and existing entrepreneurs to start new business or diversify and expand the existing one
  • Helps employment and wealth creation among educated unemployed youth
  • Well equipped to face risks and challenges as an entrepreneur
  • Government needs considerable human and material resource, importance to detailed planning & implementation

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Phases of EDP

  • Select area from existing government policy guidelines/socio-economic reports.
  • Techno-economic survey of the selected area; feasibility study.
  • Identify potential and existing entrepreneurs interested in starting new business/expansion/diversification.
  • Training.
  • Follow up and consultancy services

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Objectives of EDP

The objective of this programme is to motivate an individual to choose the entrepreneurship as a career and to prepare the person to exploit the market opportunities for own business successfully. These objectives can be set both in the short-term and long-term basis.

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Short-term objectives

These objectives can be achieved immediately. In the short-term, the individuals are trained to be an entrepreneur and made competent enough to scan existing market situation and environment. The person, who would be the future entrepreneur, should first set the goal as an entrepreneur. The information related to the existing rules and regulations is essential at this stage.

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Long-term objectives

The ultimate objective is that the trained individuals successfully establish their own business and they should be equipped with all the required skills to run their business smoothly.

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The overall objectives of EDP are mainly to help in rapid industrialisation by supplying skilled entrepreneurs. At the same time, it also industrialises underdeveloped areas. The performance of small and medium scale industries are expected to improve by this and therefore providing a huge scope of employment generation in these sectors. This programme primarily aims at providing self-employment to the young generation.

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An Entrepreneurship Development Programme primarily plays four roles to help an individual to become an entrepreneur. They are:

Stimulatory Role: It aims at influencing people in large number to be the entrepreneur. This includes:

  • Developing managerial, technical, financial, and marketing skill.
  • Inculcating personality traits.
  • Promotes and reforms entrepreneurial behaviour and values.
  • Identifying potential entrepreneur applying scientific methods.
  • Motivational training and building proper attitude.
  • Strengthening the motive of a person and giving recognition.
  • The valuable know-how of the local products and the processes help in selection of products, preparation of project reports.

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Supportive Role: It helps in the following ways:

  • Registration of the business.
  • Procurement of fund.
  • Arrangement of land, power, water, shed etc.
  • Support in purchase of right kind of machinery and equipment.
  • Supply of raw materials and common facilities.
  • Providing tax relief, subsidy etc.
  • Guidance in product marketing.
  • Support for management consultancy.

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Sustaining Role: It aims at providing an effective safeguard to businesses to sustain against the cut-throat market competition. This includes:

  • Help in modernisation, expansion, and diversification.
  • Additional financing for further development.
  • Deferring interest payment.
  • Creating new marketing processes.
  • Helping access to improved services and facility centres.

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Socio-economic Role: It aims at upgrading the socio-economic status of the public and includes:

  • Identifying entrepreneurial qualities in practicality
  • Creating employment opportunities in micro, small, and medium industries on an immediate basis
  • Arresting concentration of industries by supporting regional development in a balanced manner
  • Focusing on the equal distribution of income and wealth of the nation
  • Channelizing the latent resources for building an enterprise

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The Govt. of India has established specialized institutions to boost up the rate of entrepreneurial development in India like NIESBUD in Noida, MSME-DI for small scale industries, NIMSME in Yousufguda, Hyderabad, EDI, NSTEDB, IED and CED in different states.

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Selection of entrepreneurs for EDP

The programme is well publicised and promoted to attract maximum applications for screening

  • Selection of top 25 to 30 applicants only
  • Applications screened for:
  • Demographics and socio cultural data – age, education, work exp, financial resources, type of business etc
  • Motivation factors – pull factors, source of encouragement, credibility, endurance, concreteness of plans
  • Psychological test results- traits like risk taking, need for achievement

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Training – Course contents

  • Introduction to entrepreneurship
  • Motivation training
  • Essentials of management
  • Fundamentals of project feasibility study
  • Organising the business
  • Plant visit

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Role of DST

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 Department of Science and Technology(DST)

The National Science & Technology Entrepreneurship Development Board (NSTEDB), established in 1982 by the Government of India under the aegis of Department of Science & Technology, is an institutional mechanism to help promote knowledge driven and technology intensive enterprises. The Board, having representations from socio-economic and scientific Ministries/Departments, aims to convert "job-seekers" into "job-generators" through Science & Technology (S&T) interventions.

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Major Objectives �

  • To promote and develop high-end entrepreneurship for S&T manpower as well as self-employment by utilising S&T infrastructure and by using S&T methods.
  • To facilitate and conduct various informational services relating to promotion of entrepreneurship.
  • To network agencies of the support system, academic institutions and Research & Development (R&D) organisations to foster entrepreneurship and self-employing using S&T with special focus on backward areas as well.
  • To act as a policy advisory body with regard to entrepreneurship.

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The programmes are broadly classified into the following areas:

Training programmes-

  • Entrepreneurship Awareness Camp (EAC)
  • Entrepreneurship Development Programmes (EDPS)
  • Faculty Development Programmes (FDPS)
  • Technology Based EDP

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Institutional mechanisms for Entrepreneurship Development-

  • NewGen Innovation and Entrepreneurship Development Centre (NewGen IEDC)
  • Science & Technology Entrepreneurship Development (STED) Project
  • Innovation - Science and Technology based Entrepreneurship Development (i-STED)
  • Science & Technology Entrepreneurship Park (STEP) 
  • Technology Business Incubators(TBI)

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Entrepreneurship Awareness Camp (EAC)

With a view to expose students as well as faculty of academic institutions, offering degree/diploma courses in S&T, to entrepreneurship as an alternative career, Entrepreneurship Awareness Camps (EACs) are conducted by nodal agencies in each State/Union Territory of the country. The implementing agency is usually either an educational institution or a professional body specialising in entrepreneurship development.

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Programme Objective

To create awareness among faculty and students of Engineering and Science courses about various facets of entrepreneurship as an alternative career option as also to highlight the merits of pursuing such an option.

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Entrepreneurship Development Programme (EDP)

An Entrepreneurship Development Programme (EDP), of 6-8 weeks duration, aims at training the S&T graduates and the diploma holders in the essentials of conceiving, planning, initiating and launching an economic activity or an enterprise successfully.

Special EDPs are being conducted with more emphasis on linkages with R&D institutions to take up projects based on indigenous technologies and services, in the area of high technology, such as leather, plastics, bio-medical equipment, high speed data communication and other emerging areas of  technology.  

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Faculty Development Programme (FDP)

A Faculty Development Programme (FDP) is designed to train and develop professionals in entrepreneurship development so that they can act as resource persons in guiding and motivating young S&T persons to take up entrepreneurship as a career. The FDPs provide inputs on process and practice of entrepreneurship development, communication and inter-personal skills, creativity, problem solving, achievement motivation training, inputs on resource and knowledge industries. The training methodology includes case studies, group discussion, games and simulation exercise, field visits and classroom lectures. 

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Technology Based Entrepreneurship Development Programme (TEDP)

A Technology Based EDP primarily focuses on training and development need of S&T entrepreneurs in a specific technology area (for example, Leather, Plastic, Electronics & Communication, Fragrance & Flavour, Instrumentation, Sports Goods, Bio-technology, IT Computer Hardware, Food Processing, Bio-medical Equipment, Glass & Ceramics, Jute Products, Sustainable Building Materials, Herbs & Medical Plants Processing, etc.). The participants are provided with hands-on training in indigenous technologies developed by R&D institutions that are available for commercial exploitation.

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NewGen Innovation and Entrepreneurship Development Centre (NewGen IEDC)

The NewGen Innovation and Entrepreneurship Development Centre (NewGen IEDC) is being promoted in educational institutions to develop institutional mechanism to create entrepreneurial culture in S&T academic institutions and to foster techno-entrepreneurship for generation of wealth and employment by S&T persons. The NewGen IEDCs are established in academic institutions (science colleges, engineering colleges, universities, management institutes) having requisite expertise and infrastructure.  

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Science & Technology Entrepreneurship Development (STED) Project

Science & Technology Entrepreneurship Development Scheme (STEDS) was launched in 1985 when NSTEDB prepared a scheme to map the available material resources in industrially backward regions and prepare a basket of technically feasible and economically viable project profiles of enterprises that could be promoted by local S & T entrepreneurs and thus tapping hitherto un-utilised / under-utilised resources. Later the scheme was re-christened as "Science & Technology Entrepreneurship Development Scheme (STEDS)".

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Innovation - Science and Technology based Entrepreneurship Development (i-STED)

The i-STED   Program is a focused effort to bring about an inclusive socio-economic development by addressing the challenges associated with a specific region/industry/cluster by connecting interventions of Science and Technology and innovative solutions with entrepreneurial opportunities. The existing challenges may be in some of the priority areas i.e energy, water, affordable health, affordable housing, waste management and any specific industry sector/cluster. Some of the innovative solutions/technologies identified and taken up under the program should be translated into economic gain and wealth creation.

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Science & Technology Entrepreneurship Park (STEP) 

The Science & Technology Entrepreneurs Park (STEP) programme was initiated to provide a re-orientation in the approach to innovation and entrepreneurship involving education, training, research, finance, management and the government. A STEP creates the necessary climate for innovation, information exchange, sharing of experience and facilities and opening new avenues for students, teachers, researchers and industrial managers to grow in a trans-disciplinary culture, each understanding and depending on the other's inputs for starting a successful economic venture.

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Technology Business Incubators(TBI)

The need for instruments such as TBI has been recognised the world over for initiating technology led and knowledge driven enterprises. Studies also show that such mechanisms help not only in the growth of technology based new enterprises but also in improving their survival rate substantially (from 30 per cent to over 70 per cent). TBIs also facilitate speedy commercialisation of research outputs. 

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In addition, DST has also partnered with Department of Higher Education, MHRD to establish Research Parks and Startup Centres in National Institutions of Importance. To support some other missing links of innovation value chain, variety of other new programs including a fellowship program for Entrepreneurs i.e EIR- Entrepreneurs in Residence, scaling of startups through accelerator program has also been formulated.

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DST is playing a critical and pioneering role in building up the institutional framework of innovation ecosystem. The National Science & Technology Entrepreneurship Development Board (NSTEDB)is the nodal body under the aegis of Department of Science & Technology to help promote technology based entrepreneurship and also facilitate nurturing of knowledge-driven and technology intensive startup enterprises.

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In addition, the Department has set up an autonomous body as its financing arm to provide financial assistance through soft loans and equity to Indian companies and technology startups to commercialise indigenous technologies and also for adoption of foreign technologies.

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Thank you