We engage with SMEs in promoting BSR and inculcate the responsible business culture. SMEs play very crucial role in nation’s economic growth and significantly in supply chains, yet they occupy bottom of the business pyramid, in large proportion. About 38% of India’s GDP, 40% of exports and 45% of manufacturing output is from SMEs. In spite of this, most of the SMEs struggle with many issues such as, business continuity, limited resources, financial crunch, system inefficiencies, environmental regulations, product quality, technological inaccessibility, manpower, lack of policy support and so on.
On the bright side, SMEs work closely in the vicinity of local communities and less bureaucratic. This interesting combination makes SMEs right candidates to approach for revolutionary change in the way businesses function. Considering their vast presence and unique positioning, it is important to embed BSR in SMEs to synchronize their businesses interests with communities, create a progressive society and ensure all round development.
BVIC launched BSR program with focus on SMEs, in order understand, assess their current practices and offer support in integrating the BSR practices in to their core processes. With high potential to engage in socially and environmentally best practices, wooing to their number, the success of SME-BSR program can create a path breaking revolution in SME sector in India.
We approach this through multiple strategies, by connecting directly with involved stakeholders, including SMEs, industrial associations, think tanks, governments, funding agencies, academia, research & policy making institutes. The integration of these stakeholders’ concerns and consensus enables building of strong processes/systems for successful and seamless implementation of BSR program.
As a first step in this direction, BVIC carried out an extensive study on SMEs and their BSR practices, in order to understand their current position, challenges, risks and opportunities in this domain.
BSR study in SMEs
The study was initiated with a survey, conducted for a period of two months in nine industrial clusters covering about 90+ SMEs on their current BSR practices. In parallel, additional emphasis was given to document the perception of the neighboring community of the industries surveyed.
The study outcome and our experience with SMEs have been encapsulated in the form of a publication titled ‘SMEs & Business Social Responsibility: The New Era of Business’ would be available for public access at free of cost, post its official release. A seminar is being planned with eminent sector personalities, experts, like-minded institutes, corporates, academia and SME founders for the formal release of the publication and disseminate the study findings, which we trust will initiate a serious dialogue on Responsible business practices in the SME sector. Reputed institutes, industrial associations, academia and close to 100 SMEs have offered their support for successful completion of this publication.
The publication offers insights on the opportunities and challenges associated with BSR practices in SMEs. Also, the publication sheds light on global and local trends, multi-disciplinary nature of the concept, deployment of BSR as a shared value concept and as an attractive business case, inspiring case studies and BVIC proposed intervention & recommendations. The comprehensive document makes a serious effort in driving the BSR spirit among SMEs and promoting inclusive growth.
We continue to engage with SMEs and put forth our efforts in this direction through a variety of activities, including sector research, BSR implementation, capacity building, publications and develop thought leadership. Please download the publication Here