Author: Dr. Jürgen Henke – Team Leader 10th International SME Congress “Public Policy Measures and Promotion of Innovation for SMEs” 26 November, 2010 1/16/2019 Author: Dr. Jürgen Henke – Team Leader

Subjects of the Presentation I. Introduction of the Project II. Business Support Model for SMEs III. Raising Awareness in SMEs for Innovation IV. Women in Small Businesses 1/16/2019 Improved SME Competitiveness and Innovation Project

I. ICIP Project Brief technical data: Donor Project Partners The Consultant Commencement date Duration Resources Project Manager – Operations National Project Director The Project is funded by the European Union Ministry of Economy and Regional Development of the Republic of Serbia (main partner) National Agency for Regional Development GFA Consulting Group GmbH, Germany 24th May 2010 30 months, till 23rd November 2012 About 2.83 mill Euro, including 5 long-term experts Mr. Dejan M. Šuvakov, EU Delegation to the Republic of Serbia Ms. Ranka Miljenovic, Ministry of Economy and Regional Development 1/16/2019

Target Groups & Main Stakeholders Ministries / Councils Ministry of Economy and Regional Development (MoERD) Ministry of Science and Technological Development (MoSTD) Ministry of Finance (MoF) National Competitiveness Council Inter-Ministerial Council for SME Development National Agencies / Public Institutions National Agency for Regional Development (NARD) Serbian Investment and Export Promotion Agency (SIEPA) Universities and Research Institutes Private Sector Serbian private sector SMEs and entrepreneurs Social partners, including Chamber of Commerce, employers’ associations and trade unions Business associations (e.g. UPKS), clusters and incubators Business and innovation support organisations 1/16/2019 Improved SME Competitiveness and Innovation Project

Improved SME Competitiveness and Innovation Project Main Objectives Objectives: • Contribute to the development of Serbian SME sector and improve SMEs’ competitiveness through innovation Purposes: • Develop a new model of business support with improved quality standards and revised set of services (Component I) • Enhance capacities of business and innovation support organizations to foster innovation capacities in enterprises (Component II) 1/16/2019 Improved SME Competitiveness and Innovation Project

II. Business Support Model Aim: To improve quality, range, and availability of business support services (BSS) for enterprises To be in line with EU Charter / Small Business Act for Europe To reflect the Serbian Governments “Strategy for Development of Competitive and Innovative SMEs” The following Chart illustrates the national frame for the Business Support Model 1/16/2019 Improved SME Competitiveness and Innovation Project

Improved SME Competitiveness and Innovation Project 1/16/2019 Improved SME Competitiveness and Innovation Project

Improved SME Competitiveness and Innovation Project Awailability of BSS Basic business support services are available nationwide with concentration in major cities. Between 3 to 17 areas of business support services are provided. 1/16/2019 Improved SME Competitiveness and Innovation Project 8

Improved SME Competitiveness and Innovation Project Next Tasks of ICIP To assure the quality, range and availability of Business Support Services the Project undertakes the following activities: Assess needs of SMEs for Business Support Services Create standardised set of services Produce a Manual of Business Support Services Provide training to Business Support Organisations Establish quality standards for Business Service Providers 1/16/2019 Improved SME Competitiveness and Innovation Project

Improved SME Competitiveness and Innovation Project III. Innovation in SMEs The Aim is: To promote competitiveness and innovation in SMEs - government institutions will be assisted to develop actions; Nationals instruments should be aligned with EU rules an state aid. The following Chart illustrates the Innovation Support Structure for Enterprises in Serbia 1/16/2019 Improved SME Competitiveness and Innovation Project

Innovation Support Programmes 1/16/2019 Improved SME Competitiveness and Innovation Project

Awareness Raising on Innovation It has been recognised that is difficult for SMEs to participate in EU funded innovation support programmes. Improved communication between S&T institutes and enterprises is an issue. Awareness raising shall be addressed to MoERD, NARD Programme Managers of innovation support programmes Regional SME and Development Agencies Business Innovation Service Providers BISO (universities and faculties, R&D institutes, associations, private sector providers) 1/16/2019 Improved SME Competitiveness and Innovation Project

Improved SME Competitiveness and Innovation Project Next Tasks of ICIP To increase Awareness on Innovation in SMEs the Project undertakes the following activities: Align National Programmes with EU rules on state aid Training of innovation support service providers Improve system to monitor innovation performance in EU regions (‘Innovation Watch’ style) Enhance communication between R&T institutes with SMEs for applied innovation 1/16/2019 Improved SME Competitiveness and Innovation Project

Improved SME Competitiveness and Innovation Project Next Tasks of ICIP Awareness on Innovation in SMEs (continuing): Provide training in innovation diagnostic tool Hold awareness raising events in regions Innovation scanning of enterprises for improved measures to apply innovation in SMEs 1/16/2019 Improved SME Competitiveness and Innovation Project

Improved SME Competitiveness and Innovation Project Women in Business As cross sectoral task ICIP supports Women in small business To improve the influence of women in business is a widely discussed topic in the world and often not indisputable; also a lot of controversial recommendations have been made. Women's entrepreneurship has risen up the EU policy agenda in recent years. Key action 5 of the Lisbon Action Plan focussed on tailor-made support for women and ethnic minority entrepreneurs. 1/16/2019 Improved SME Competitiveness and Innovation Project

Improved SME Competitiveness and Innovation Project Women in Business Percentage of women entrepreneurs and women in managerial positions: In USA about 32-35 percent of entrepreneurs or managerial workforce are female In Europe this rate is between 20-25 percent In Serbia about 20 % women are in managerial positions, and about 36 % women are entrepreneurs (next chart) 1/16/2019 Improved SME Competitiveness and Innovation Project 16

Serbia: Women in Business ECA - Europe and Central Asia Source: Country Profiles Enterprise Surveys: SERBIA -2009 3 http://www.enterprisesurveys.org

Women in Small Business What is specific on women entrepreneurship? Does business support service need to recognise particularities? Studies in different countries identified the following: • Women start-ups and small company entrepreneurs take fewer risks when applying for a credit. • Women are stronger in networking. • Women often establish a new business with the aim to contribute to the income of the family. • Motivation of women: wish of social emancipation. 1/16/2019 Improved SME Competitiveness and Innovation Project

Improved SME Competitiveness and Innovation Project Women in Management Why is “Women in Management” strongly on the agenda of European medium and large enterprises? In Europe the percentage of women in top positions of enterprises is only about 3 %. Studies in different countries identified the following: • The percentage of female students in higher education organisations is about 40 % - in top positions of enterprises it is only about 3 % . • At company level qualified expertise is actually needed and the demand of specialists will further increase. 1/16/2019 Improved SME Competitiveness and Innovation Project 19

Improved SME Competitiveness and Innovation Project Women in Management Studies in different countries identified the following: (continuing) • Business climate in enterprising is changing when group of women are active in the board: stile of communication; motivation of employees; customer relationship; cooperation with suppliers. • European and US companies (e.g. IBM, Alcatel, Swisscom) reported that with strong presence of women in management the profit of the company is above the average (about 3 percent). 1/16/2019 Improved SME Competitiveness and Innovation Project 20

Improved SME Competitiveness and Innovation Project Next Tasks of ICIP To support Women in SME and Business the Project Offers assistance to Association of Business Women in Serbia Promotes awareness of potential women entrepreneurs for start-ups Undertakes jointly visibility events 1/16/2019 Improved SME Competitiveness and Innovation Project

Improved SME Competitiveness and Innovation Project Thank you for your kind attention! Please, visit also our website www.icip-serbia.org 1/16/2019 Improved SME Competitiveness and Innovation Project