Small Enterprises, Big Impact: Celebrating MSME's Contributions

With the world's largest economy, it's easy to see the appeal of business titans - tech companies, multinational conglomerates and large corporations. However, the MSM is at the heart of the economy, empowered by these giant corporations. These successful companies with few resources are heroes of innovation, jobs and economic stability. They have strengths and weaknesses.

The Backbone of the Economy:

While SMEs play an important role in economic growth, they often face unique challenges when it comes to implementing corporate social responsibility (CSR) strategies, limited budgets and resources can severely limit their reach in developing and implementing effective CSR strategies. In addition, many SMEs lack the skills and knowledge to effectively develop and implement these strategies.

The driving force of the economy are small and medium-sized enterprises. According to the World Bank, they account for almost 50% of global employment and about 90% of companies. Formal SMEs can contribute up to 40% of GDP in developing countries. These numbers are noticeably higher when informal SMEs are taken into account.

The introduction of the Companies Act, 2013 by the Ministry of Corporate Affairs, Government of India, marked a significant shift in global CSR practices by making CSR a statutory obligation for specific categories of companies. This move set India apart in its regulatory approach to corporate social responsibility. However, the complexity of these CSR regulations presents additional challenges for SMEs. The need to prioritize immediate business requirements often forces SMEs into a short-term focus, which can obscure the long-term benefits of investing in CSR.

On the occasion of World MSME Day, we have compiled a collection of quotes from notable individuals who have made significant contributions to the growth and development of Micro, Small, and Medium Enterprises.

Rahul Garg, CEO & Founder- Moglix

"India's MSMEs are the backbone of our economy. Micro-enterprises lead the charge, accounting for nearly 98% of Udyam Portal registrations.

These are the engines of job creation and technological innovation, fostering incremental growth. They are essential for economic development, providing vital employment opportunities. Presently, limited access to financing and complex regulations is a challenge to MSMEs, hence, there is a need for nuanced government framework that acknowledges the sector's unique needs. Expanding the MSME definition can be a positive step. MSMEs' adaptability, due to their human-centric nature, allows them to embrace circular economy models. Well-researched government programs, focused on geographically clustered  MSMEs, could facilitate this. Moving forward, aligning state and national MSME laws is crucial. Alongside promoting new businesses, initiatives should ensure existing MSMEs thrive. Regulators should look to consider non-financial support beyond tax breaks subsidies" 

Manish Chasta, Co-founder & CTO of Eventus Security

"On World MSME Day, we at Eventus Security celebrate the invaluable contributions of Micro, Small, and Medium Enterprises to the global economy. In an increasingly digital world, the cybersecurity challenges faced by MSMEs are significant. Eventus is dedicated to empowering enterprises with state-of-the-art cybersecurity services, ensuring they thrive securely. By providing a wide range of managed services like SOC as a Service(SOCaaS), Managed XDR(MXDR) , Red Teaming, Threat Intelligence, etc., we help MSMEs build robust cyber resilience. Our commitment is to protect their innovations, and application, network, data, enabling them to focus on growth and success. Together, we can create a safer digital landscape for all businesses of all sizes."

Uday Sharma, Chief Commercial Officer, Allcargo Gati Limited

"The logistics sector is currently undergoing significant reforms to tackle infrastructure and technology challenges. The logistics and supply chain industry serves as a critical lifeline for the MSME sector, enabling these businesses to deliver their products efficiently to the market. Given the constraints in capital and resources that MSMEs often face, they rely significantly on the seamless operations of their third-party logistics providers to enhance their market competitiveness and profitability.

Our aim is to cultivate an ecosystem where MSMEs can thrive, supported by robust logistics infrastructure and sustainable practices. Our commitment extends beyond providing logistical solutions; we actively engage in initiatives that enhance the operational efficiency and competitiveness of MSMEs. Through various programs, including capacity-building workshops and digital transformation initiatives, we support the growth and sustainability of MSMEs.

Our express distribution business, under Allcargo Gati Limited, offers last-mile delivery services tailored to the specific needs of MSMEs, ensuring their products reach all corners of the country. By connecting SME clusters with efficient logistics solutions, we help streamline their operations and unlock new market opportunities.”

Furthermore, Allcargo Gati Limited is dedicated to green and sustainable logistics practices. We leverage cutting-edge technology to optimize supply chain efficiency, reduce carbon footprints, and promote eco-friendly transportation solutions. Our sustainable initiatives ensure that SMEs not only benefit from efficient logistics but also contribute to a greener environment. By fostering a collaborative approach, we can create a resilient and future-ready logistics network that empowers India's MSMEs to achieve lasting success." 

Smitha Shetty, Regional Director, APAC, Achilles Information Limited

On this MSME Day, we celebrate the entrepreneurial spirit and unwavering resilience that fuel the backbone of our economy. At Achilles, we are committed to empowering MSMEs through comprehensive training, immersive workshops and direct engagement opportunities with key buying organizations. We understand that navigating complex regulatory landscapes and meeting the compliance expectations of larger organizations can be daunting. Our managed solutions help simplify these challenges and empower MSMEs to demonstrate their commitment to compliance. Our freemium subscription model has proven instrumental in driving compliance and robust corporate governance within the MSME community. By enabling MSMEs to meet and exceed industry standards, we unlock a world of potential investment, fueling their growth and contributing to a sustainable and innovation-driven MSME ecosystem. We remain steadfast in our mission to create an environment where small businesses can flourish, driving economic prosperity and resilience for future generations. 

Harjit Singh – MD, Tata Teleservices

MSMEs have been instrumental in driving economic and social growth by providing employment opportunities, fostering entrepreneurship and contributing significantly to GDP.

The evolving digital market landscape requires MSMEs to embrace a ‘digital first’ ecosystem for long-term sustainability and growth. By harnessing technology effectively, these enterprises can enhance their competitive edge and build resilience against market fluctuations and business uncertainties. As the country continues its growth trajectory, MSMEs will undoubtedly remain vital, powered by the transformative potential of technology.

Pravir Dahiya- CTO, Tata Teleservices

In today’s digital world, technology has been playing a vital role in shaping the growth journey of MSMEs. With the aid of digital solutions, enterprises have been elevating their overall performance, staying at the forefront of innovation, and earning a competitive advantage. This MSME day, let’s celebrate the role of micro, small, and medium-sized enterprises in driving progress as they continue to harness the power of technology and unlock new potential.  At TTBS, we are committed to providing robust digital infrastructure to empower MSMEs to compete on a global scale.

Arun Kumar Nayyar, MD & CEO, NeoGrowth Credit

"At NeoGrowth, we are proud to witness the transformative power of technology in empowering India’s MSME sector. Small and medium businesses are increasingly choosing technology-driven financial services for faster loan processing. Our commitment to our customers has inspired us to create tailored financial solutions by seamlessly integrating technology into every facet of our operations. Through our digital lending approach, we have simplified access to credit, enabling MSMEs to grow. This has enhanced risk management and operational efficiency, allowing us to deliver unparalleled customer experiences. NeoGrowth’s data-driven approach, powered by AI/ML algorithms and seamless integration of public digital infrastructure, ensures faster loan processing and customized solutions. We remain dedicated to supporting the backbone of India’s economy by leveraging technology to drive financial inclusion and prosperity." 

Ayush Wadhwa, Founder of OWLED Media

"On MSME Day, OWLED Media celebrates the vibrant creativity and entrepreneurial spirit that drive micro, small, and medium enterprises worldwide. As an MSME ourselves, we understand the pivotal role that MSMEs play in the economy. These businesses are the heart of innovation, constantly pushing the boundaries of creativity and making a significant impact in their respective fields. said Ayush Wadhwa, Founder of OWLED Media

At OWLED Media, we are passionate about partnering with MSMEs to help them unleash their full creative potential. We believe in the power of storytelling and effective advertising to amplify their voices and connect with their audiences. Therefore, today we give a shout out to MSMEs and those supporting them to grow rapidly in the country."

Sriram Kanuri, CEO and Founder of Arteria Technologies

"On this MSME Day, Arteria Technologies celebrates the unwavering spirit of entrepreneurship that drives MSMEs worldwide. As pioneers in the B2B SaaS industry, we take pride in championing their journey by offering innovative solutions that revolutionize supply chain operations and elevate business efficiencies. Our commitment extends beyond mere support; it's about forging meaningful partnerships and walking alongside MSMEs every step of the way. We understand the challenges they face, and our mission is to empower them with tailored solutions that not only meet their needs but also exceed their expectations. Today we celebrate their strength, resilience and their openness to always learn." 

Suyash Sinha, CEO and Cofounder, Exly

"On MSME Day, Exly celebrates the resilience and innovation of micro, small, and medium enterprises worldwide. We recognize the invaluable contributions of MSMEs in our industry and beyond. We believe that knowledge is the currency of the future, and every entrepreneur, educator, and creator has the potential to make a significant impact.

Through our platform, we aim to nurture and support these aspiring entrepreneurs by providing transformative digital solutions that enable them to scale their businesses and reach new heights of success. We are committed to fostering a community of entrepreneurship and innovation, where ideas flourish and dreams are realized. Together, we can build a brighter future for MSMEs, empowering them to thrive in a rapidly growing digital economy."

Kanishk Maheshwari, Co-Founder and Managing Director, Primus Partners

We all know about the importance of the Micro, Small, and Medium enterprises as a powerful multiplier for economic growth through innovation, diversification, and substantial job creation. However, the biggest challenge with MSMEs is also the biggest opportunity i.e. digitalisation. Without MSMEs leveraging digital technology, their ability to compete in the market is adversely affected. Tech in particular AI and IoT though still relatively expensive, offers opportunity for product development customer engagement at scale at a lower cost and therefore efforts need to be made for tech enablement of MSMEs. Initiatives aimed at empowering MSMEs can propel India's journey towards a truly Viksit Bharat by 2047, a vibrant and self-reliant nation at the forefront of global innovation. The RAMP initiative of the govt of India, aimed at improving productivity of MSMEs through digitalisation was a key step in this direction and needs to be further amplified.

Shivam Singla, Founder and CEO, Leegality

"On this MSME Day, let's acknowledge and celebrate the crucial role played by micro, small, and medium-sized enterprises in our economy. Representing over 90% of global businesses, MSMEs are key drivers of economic growth, job creation, and community empowerment. Therefore we as a country must do our best to ensure that MSMEs don't just survive, but thrive.

At Leegality we are committed to help MSMEs by making access to credit easier and faster for them. By digitising MSME loan paperwork, we help Banks and NBFCs to expand their geographical coverage, helping them reach more and more MSMEs in need of financial support. Not only can they reach more MSMEs, but they can disburse loans within minutes instead of days or weeks, enabling MSMEs to receive the financial support they need, as and when they need it.

Together, let's acknowledge, support and nurture MSMEs' role in advancing the UN's 2030 Agenda and helping this world achieve its Sustainable Development Goals." 

Celebrating MSMEs

As we celebrate the contributions of MSMEs, it is essential to recognize and support their vital role in the global economy. Their resilience, innovation, and commitment to inclusivity and sustainability make them key players in shaping a more prosperous and equitable future. By championing MSMEs, we not only boost economic growth but also create a more diverse, dynamic, and inclusive world.

In conclusion, MSMEs are more than just small enterprises; they are powerful engines of growth and agents of change. Their big impact on the economy, society, and the environment deserves recognition and celebration. As we look to the future, supporting and empowering these businesses will be crucial in building a resilient and thriving global economy.

As we celebrate the contributions of MSMEs, it is imperative to recognize and support their vital role in the global economy. Their flexibility, innovation and commitment to inclusion and sustainability make them key actors in building a prosperous and fair future. By supporting small and medium-sized businesses, we not only promote economic growth, but also create a more diverse, dynamic and inclusive world.

As a result, SMEs are more than just small businesses. They are powerful engines of growth and agents of change. Its great impact on the economy, society and the environment deserves recognition and celebration. As we look to the future, supporting and empowering these companies will be critical to creating a resilient and prosperous global economy.