The Micro, Small and Medium Enterprises (MSMEs) are a vital part of the Indian economy contributing to over 45% of Industrial production and around 40% of the total exports. MSMEs are the largest contributor in terms of employment generation in the manufacturing sector. MSMEs are present as part of the value chain in almost all distinguished industry sectors like automotive industry, garments and textile industry, leather industry etc.
As global competitiveness become intensive, MSMEs are transitioning to a new business environment with emergence of global supply chains. MSMEs form an integral part of almost every value chain and there is a symbiotic relationship between the large corporations and relatively small sized suppliers.
Recognizing the importance of overall economic growth of a country and the need for enhancing its productivity, competitiveness and employment generation, many countries have initiated institutional mechanism for a national approach on manufacturing.
The Development Commissioner, Ministry of Micro, Small and Medium Enterprises (DC-MSME), Govt. of India is implementing the Lean Manufacturing Scheme for the benefit of Micro, Small and Medium Enterprises.
The objective of the scheme is to enhance the manufacturing competitiveness of MSMEs through the application of various Lean Manufacturing (LM) Techniques. The general approach involves engagement of Lean Manufacturing Consultant (LMC) to work with selected MSMEs in the chosen clusters with financial support by the Government.
Under the scheme, clusters are being formed comprising of 6 -10 units, wherein Lean consultants implements various Lean Tools and Techniques depending on the need and requirement of Industry for a period of 18 months. Fees of lean Consultant is being subsidized in the scheme. 80% fees of Lean Consultant is being borne by Government of India while 20% cost of lean consultants needs to be borne by Industry.