Nam dinh small and medium sized enterprise association

Nam Dinh Small and Medium-sized Enterprise Association Nam Dinh Small and Medium-sized Enterprise Association Bởi: The Online Management Training Company Nam Dinh Small and Medium-sized Enterprise Association Incorporating to serve members Background Nam Dinh is an agricultural province in the south of the Red River Delta It has a population of about million Currently, there are about 2,000 enterprises in operation Some are large ‘equitized’ state firms but most are small and medium-sized enterprises in agricultural production, small scale metalwork, handicrafts, garments and textiles Nam Dinh was once centre of the textile industry during the subsidy era, but when subsidies ended the province suffered serious unemployment and the social problems that come with it From 2001 to 2004 GDP was 7.3%, much lower than the average in the Delta (10.5%), and Nam Dinh ranked second lowest (above Thai Binh) It was also near the bottom of GDP, at VND 4.47 million per year Yet despite this, private enterprise has grown 27.9% on average since 2001 while state sector growth has been just 14.2% In 2001, local enterprises partnered with the Nam Dinh Urban Development Project and the Swiss Agency for Development and Cooperation (SDC) to found the Nam Dinh Private Enterprise Association Just 58 businesses joined at first and growth remained sluggish due to limited resources; members repeatedly cited a need for greater coordination So on April 24th, 2006, the Nam Dinh Small and Medium Enterprise Association (NADISME) was established as a result of non-stop lobbying and encouraging of businesses and local authorities The Association fosters cooperation networking and mutual support It also improves efficiency, protects the legal rights of members, connects SMEs with government 1/4 Nam Dinh Small and Medium-sized Enterprise Association authorities, improves business policy and fosters deeper integration into the international economy Member services NADISME offers support and consulting services for SMEs With support from SDC/ Nam Dinh Urban Development Project, the Association has conducted a number of trainings on business law, preparation for WTO membership, production management, marketing and best practices It has also bridged the public and private sector In 2006, NADISME brought together the provincial Department of Planning and Investment, Department of Taxation, Department of Natural Resources and Environment, as well as other agencies to meet with the business community The dialogue provided a platform for free and direct communication with policymakers Corporate responsibility is another of the Association’s strong points and members have organized trainings for disabled entrepreneurs to exchange information and raise awareness of government policy And with the support of the Nam Dinh Urban Development Project, NADISME also posts vital information on www.nadisme.org.vn, although the site is yet to be finished But while trade promotion and business linkage are core elements in the group’s charter, members have yet to implement them formally Currently, these issues are addressed mostly by the entrepreneurs themselves without any active support from the Association Fact Sheet Name of association: Nam Dinh Small and Medium-sized Enterprise Association Year of establishment June 24, 2006 Number of members Over 325 businesses2 district branches Type of organization General Business Association Term of General Meeting years Organization and staffing: Executive Board: Chairman, Vice Chairmen, 13 commissioners 2/4 Nam Dinh Small and Medium-sized Enterprise Association Services Provided - Protection of the legal interests of its members.- Proposal and recommendation for policies.- Dialogue between businesses and local authorities.- Training on business management topics.Business consultancy on business establishment and restructuring Services and Facilities Business Development Consulting Company Line Membership Vietnam SME Association Representative Mr Tran Manh Luu, Chairman Contact Address: No 172 Han Thuyen St, Nam Dinh CityTel: 0350.647890 Fax: 0350.647890 Webstie: http://www.namdinhsme.org.vn Turning points At its inception, NADISME found that it needed an operating budget But member dues were insufficient, so it established a business consulting company This was a jointstock company offering consultancy, training, and health services for businesses In the future it will focus on health care, offering medical check-ups and health insurance It will also open a clinic for member staff and monitor their health This sort of onsite service has proven to be more affordable and convenient, and it meets WTO requirements on corporate responsibility The Association also provides the other following services: • Supports establishment of new businesses (drafts company charter, business registration, tax registration, and official stamp) • Trainings on selected management topics as requested by clients • Health care services for workers in factories, regular health check-ups, health insurance, emergency • To date, the company has been successful There are more clients seeking services This helps build trust in the Association while guaranteeing an income to finance operations Human resources and local government support are the strongest points for NADISME A former governor of the State Bank (now chairman of the Vietnam Association of Businesspeople) has endorsed it The group has also won favor with the Alliance of Cooperatives, the Department of Taxation, the Department of Natural Resources and Environment, and especially the Department of Planning and Investment It has now established sub-associations in three districts and one member has been honored 3/4 Nam Dinh Small and Medium-sized Enterprise Association among 100 typical enterprises receiving the Thanh Giong Cup And at the lower level, NADISME has helped members explore more efficient use of materials, helping enterprises in Hai Hau District re-process waste materials from the production of mushrooms for cooking and medicinal purposes Lessons learned • Public relations are still weak for NADISME and the group has just established a website to promote itself, although the site is yet to be completed Members have cited a need for more interesting articles and enhanced advertising The Association also needs to cultivate a deeper relationship with newspapers • Membership meanwhile, is, at 325, modest for a provincial level organization in an area with more than 2,000 businesses Most current members are situated in the city or around district townships and efforts to reach remote and isolated areas containing more enterprises could be stepped up Within the first six months of 2007, the Association enrolled only 20 members due almost entirely to personal encouragement by the chairman • With the support of the government and donor projects and with earnings from services, the Association can maintain and expand its programs, but human capacity and strategic development remain questions 4/4