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East Java SMEs get corporate boost to help expand business
In a bid to help small and medium enterprises (SMEs) in East Java stay in business, three major corporations have established a business development board in Waru, Sidoarjo, to supervise the SMEs
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n a bid to help small and medium enterprises (SMEs) in East Java stay in business, three major corporations have established a business development board in Waru, Sidoarjo, to supervise the SMEs.
The three companies - state-owned oil and gas company PT Pertamina, PT Astra International Tbk and PT Bank Central Asia (BCA) Tbk. - officially launched the board Wednesday.
"The board is aimed at strengthening the SMEs' business management and strategies," Alex Wijaya, from the Dharma Bhakti Astra Foundation, said at the launch event.
He added the board would provide courses and supervision, market facilitation, finance and business information for more than 300 SMEs across East Java.
Alex also said the establishment of the board had actually been devised since July, but could only be officially launched this month.
The board, Alex went on, would be in place for three years, while similar boards are planned for other regions, including Bukittinggi (West Sumatra), Palembang (South Sumatra), Balikpapan (East Kalimantan) and Makassar (South Sulawesi).
Separately, Syamsul Hudi, head of the East Java Trade and Industry Agency's industrial, transportation, electronics and IT division, said SMEs were in need of support from third parties, including the government and the private sector, to ensure their survival.
He added that despite the global economic crisis, SMEs in East Java had for the most part persevered, as shown by their continued ability to stay in business amid tighter competition.
"Such support is important to encourage small- and medium-scale entrepreneurs to keep struggling and expanding their business," Syamsul said.
Bambang Budiarto, an owner of an SME in Sidoarjo, expressed gratitude that the board had been established in his region. He added he hoped it would help the SMEs in the region develop their business and achieve their goals.
He pointed out small- and medium-scale entrepreneurs often faced difficulties in expanding their business, mostly due to the lack of creative and professional workers. As a result, he went on, they were frequently forced to work harder and cope with problems by themselves.
Bambang also expressed confidence that the establishment of the board would also help SMEs become better informed and provide greater opportunities for expansion.
Joni Handrianto, the head of BCA's Region 3 branch, which oversees the region, said was confident the board would help SMEs develop more professionally and expand into new markets, both domestic and international.
Syamsul Hudi shared Joni's opinion, saying small and medium entrepreneurs in the province had long expected the establishment of such a board. He added entrepreneurs were confident that the board would help them raise their quality through the consultation and courses it would offer.
Syamsul also expressed hope that the board would help the entrepreneurs master the technology they needed to expand their business.
"When the SMEs develop, public welfare will improve proportionally, no matter how small that is," he said.
He pointed out 60 percent of all SMEs in East Java had not yet mastered the technology they needed to develop and expand their business.
