The India Affiliate of Institute of Risk Management (IRM) and the National Institute of Micro, Small and Medium Enterprises (ni-msme) have signed an MoU to support the Indian MSME sector in a bid to strengthen its defences against COVID-19 threats.
Hersh Shah, CEO of India affiliate of IRM UK, said the World Bank, World Trade Organization (WTO) and other organizations have acknowledged the grave risk that MSMEs have been confronted with globally and have highlighted the urgent need for sweeping reforms to help them steer safely through these difficult times. Shah observed that the substantial impact of the pandemic on domestic MSMEs further corroborates the need to pivot from the sector’s current approach towards an enterprise risk-driven one, which has proven helpful for many organizations across the world, especially in developed economies. We are committed to supporting ni-msme’s strategic vision for the progress of MSMEs in India and recognize ni-msme’s research and education in the field of entrepreneurship, he said.
IRM aims to develop a blueprint that will help India’s 6.33 crore MSMEs apply globally-recognized enterprise risk management frameworks and practices to navigate successfully through the current crisis, as well as safeguard themselves against future uncertain events beyond just financial risks. The organization highlights the fact that COVID-19 has severely impacted the ability of Indian MSMEs to compete in the global market, making it imperative to create and environment that will nurture them and provide a robust policy roadmap to help them regain their global advantage.
Glory Swarupa, Director General ni-msme, said they have always been conceiving specialized need-based initiatives in tune with the changing policy and economic situation. Swarupa said ni-msme is not a mere world-class training institute, but a comprehensive hand holding institution for the MSMEs and entrepreneurial youth in India and the developing world. Moreover, ni-msme has embraced pertinent concepts and technologies in its functions to keep pace with the tenor of the times. And the current pandemic has called for a serious understanding of enterprise-wide risk assessment and a culture that shapes risk-based decisions in organizations irrespective of their size.
IRM India and ni-msme collaboration will reorient Indian start-ups and MSMEs towards risk awareness and strategic mitigation planning. They will also tie up on various initiatives to advance risk management expertise in the sector through research, consultation and training events.