Entrepreneurial Development Programme (EDP)

Entrepreneurial Development Programme (EDP)

Success of an entrepreneurship depends on the foresight, knowledge, optimum hard work, persistence and efficient management. The knowledge about various aspects of business can be acquired from the entrepreneurial development programme. The government plays a positive role in the emergence and development of entrepreneurship by providing training, incentives and concessions.

Entrepreneurial development programme may be defined as “a programme designed to help an individual in strengthening his or her entrepreneurial motive and in acquiring skills and capabilities necessary for playing the entrepreneurial role effectively”.

The objective of entrepreneurial development programme is presented in the figure 13.5

Need for Entrepreneurial Development Programme

Entrepreneurial Development Programme is needed for the following reasons;

Eliminate Poverty and Unemployment

Most of the under developed countries are facing the problem of unemployment. The EDP can help in creating self-employment for the unemployed. The programmes initiated by the government for managing the problem of unemployment are as follows

·               NREP (National Rural Employment Programme)

·               IRDP (Integrated Rural Development Programme)

Prevents Industrial Slums

EDPs help in removal of those slums as the entrepreneurs are provided with various schemes, incentives, subsidies and other infrastructural facilities. It helps in controlling overcrowding in the developed areas.

Balances Regional Development

Successful entrepreneurial development programme helps in accelerating the industrialization which results in reducing the concentration of economic power. It aims at promoting Small Scale Units which are useful for balanced regional development.

Use of Locally Available Resources

The entrepreneurial development programme helps in controlling and utilizing the locally available resources through training and educating them. EDPs also help in minimizing excessive scraps and wastage in the production process.

Ease Social Tension

Entrepreneurial development programmes help in channelizing the talents and energies of unemployed youth. It helps and teaches the entrepreneurs to create self-employment thereby easing social tension amongst youth.

Phases of Entrepreneurial Development Programme

There are three broad phases of Entrepreneurial Development Programme. They are as follows;

Pre-Training Phase

The success of EDP depends on the training carried out by the training organization. Various activities undertaken by an organization are

·               designing of course curriculum

·               selection of faculty

·               insertion of advertisement and

·               selection of potential entrepreneurs.

Training Phase

During this phase, the participants are motivated and required skills are developed in them. They are also given practical exposures in the areas like market surveys, project preparation, report feasibility and marketing of products and services. This training is imparted by methods such as individual training, group training, and lecture method, written instruction method, demonstration method, conference method and meetings.

Post Training or Follow up Phase

This phase aims at developing the right type of ability and motivation amongst potential entrepreneurs so as to enable them to set up their own enterprises. Through follow- up, the weakness and problems may be remedied in the future. Appraisal helps in understanding the extent of which the entrepreneurs have selected suitable jobs. It guides them to identify right type of project. It also aims in promoting the entrepreneurial talents.

Role of government in developing entrepreneurship

Government has taken so many efforts in developing entrepreneurial programme through various agencies and institutions. They are as follows;

Institutions at National Level

·               National Institute for Entrepreneurial and Small Business Development (NIESBUD)

·               Entrepreneurial Development, Institute of India (EDI)

·               Technical Consultancy Organisation (TCO)

·               Indian Investment Centre (IIC)

·               Small Industries Development Corporation (SIDC)

·               Industrial Development Bank of India (IDBI)

·               Industrial Finance Corporate India (IFCI)

·               Industrial Credit and Investment Corporation of India (ICICI)

·               National Small Scale Industrial Development Corporation (NSSIDC)

·               Small Industrial Development Bank of India (SIDBI)

·               Khadi and Village Industrial Centre (KVIC)

·               National Bank of Agencies and Rural Development (NABARD)

·               National Institute of Small Industries Extension Training (NISIET)

·               Science and Technology Entrepreneur Part (STEP).

Institutions at State Level

·               Small Industries Service institute (SISI)

·               District Industries Centre (DIC)

·               State Finance Corporation (SFC)

·               State Small Industrial Corporation (SSIC)

·               State Industrial Promotion Corporation (SIPC)