1. Sao Paulo, 28 May 2015 International workshop on standardization and small business

2. AGENDA About Danish Standards in figures SMEs and standardization in Denmark The DS SME project The future for SMEs in standardization in Denmark Standardization and SMEs - the experience of Danish Standards

3. About Susan Redder Bruun NOW: Senior consultant at DS since 2013 Responsible for SME activities Responsible for training activities Consulting in ISO 9001 BEFORE: Owner of a training company with 30 employees for more than 20 years Business development in both non- profit and for profit companies Executive MBA from Henley Business School, UK

4. Danish Standards Established in 1926 Structured as a non-profit commercial foundation 150 employees 3 business units – Standardization – Publishing and selling standards – Consulting and training

5. Danish Standards in figures Annual turnover: BRL 64 million / Euro 21 million Performance contract: BRL 10 million / Euro 3 million

6. Why is the focus on SMEs and standardization? Less than 1% of private companies employs more than 250 people

7. The majority is micro companies

8. Activities dedicated to SMEs DS University – Free courses on ”Introduction to standardization”, “The rules for European/International Standardization”, ”CE-marking for SMEs and entrepreneurs” Translations and standards starter packs Implementation handbooks aimed at SMEs Consulting on strategic use of standards – free of charge Micro companies (less than 10 employees) get 50% discount on the fee in national mirror commitees

9. And we create partnerships with… Regional business development centers The Confederation of Danish Industries The Danish Construction Association Trade organisations Job centers

10. SME – activities in the 2015 performance contract 1.Easier and less expensive for SMEs to use international standards – BRL 3,5 million / EURO 1 million 2.Increased export and productivity for SMEs through international standards – BRL 975.000 / EURO 280.000 3.Increased competition and efficient market surveillance through international standards – BRL 1,1 million / EURO 327.000 4.Increased Danish influence on international standards – BRL 6.5 million / EURO 2 million

11. Center of Economic and Business Research Impact assessment of businesses use of standards

12. Through the use of standards businesses have 40-50 % more export

13. Through the use of standards businesses have 20-25 % more added value

14. Through the use of standards businesses are 10-15 % more productive

15. Through the use of standards businesses have 25-30 % more employees

16. ”SMEs create growth through standards” Financed by the Danish Ministry of Business and Growth as part of the performance contract for 2013. Segments visited and number of businesses visited Trends and tendencies Drivers and barriers The SME project ….face-to-face consulting

17. www.ds.dk/SMV

18. 130 face-to-face meetings Including 34 industrial companies, 10 from the energy- and climate industry, 14 electronic companies, 12 from the food industry, 27 health- and welfare companies and 33 mixed companies

19. ALMOST NONE! Which aspects do SMEs have in common?

20. Industrial companies – the most standard savvy Machines – with and without automation 34 meetings – by and large all B2B Both small and large numbers of employees Process equipment with semi- automatic and fully automatic equipment. Very standard proficient B2B = 7 are ISO 9001 and 2 are also ISO 14000 certified Many specific customer standards/requirements

21. Health and welfare Cosmetics private label Mobility aids Dental 27 meetings – predominantly smaller companies up to 20 employees 4 = B2C, 11 = B2B, 12 = B2P B2C og B2P = no or little interest in standards B2B = 4 were either ISO 9001 or ISO 13485 certified

22. Food Food for retail Machines / parts for food production 12 meetings – predominantly smaller companies up to 20 employees 6 = B2B(retail), 6 = B2B(industry) B2B (retail) characterized by BSC, IFS, Global GAP and 2 are ISO 22000 B2B (industry) 1 is both ISO 9001, 14001 and 55000 certified

23. Additional points…. In 51 out of 130 companies, ISO 9001 was mentioned. 22 were certified and 20 were seriously considering certification. Most frequent combination was ISO 9001 and ISO 14001. 27 companies thought participation in national mirror committees seemed interesting, but didn’t know much about it In industries where business is made with public and private customers, they meet no demand for standards 1 company thought DS should be closed and replaced with a branch of DIN in DK!

24. 5 general conclusions on the SME project Competencies Compliance Knowledge Resources Strategy

25. A little more about competencies Standards are cumbersome and academic reading – far from the everyday live of an SME For employees in certain industries (in particular industrial companies) standards are impossible to read Need tools that make it easier to read and understand standards Need help to identify relevant directives and standards

26. A little more about compliance Driven by the market more than by legislation Businesses who are in compliance with the law, complain that there is a lack of regulatory control within their industry If regulatory control is carried out, the persons performing the control have inadequate competencies– too many white collar workers Public procurement has no demand for standards Public procurement doesn’t control the CE-marking of products

27. A little more about knowledge No or little knowledge of national mirror committees. Very little knowledge of management standards and their value Difficulties in identifying and translating relevant legislation in their area Very little knowledge of CE-marking

28. A little more about ressources Implementation of standards is too expensive Lack resources to hire external help ROI isn’t clear – especially with regard to management standards Profits are not proportionate to the investments Lack resources to be first-movers Standards must provide an economic yield very fast

29. A little more about strategy Strategy is not at the top of the agenda of SMEs Mostly SMEs act re-actively with regard to standards – they don’t see them as a strategic tool

30. Drivers and barriers to standards Customer demands License to operate Increased earnings or fear of loosing Legislation – especially if pointed out by customers Drivers Ressources Time and economy Competencies Don’t know how Value is not obvious Bad business case Barriers

31. The future for SMEs and standardization in Denmark

32. ”Growth through increased use of international standards” Danish governments’ newly launched strategy for standardization

33. The ambition of the strategy 6000 more companies!