Being more vulnerable to external shocks, most small and medium enterprises (SMEs) in Indonesia have been finding it difficult to sustain operations due to the global financial crisis, new ASEAN China free trade area agreement and the quality of their jobs is being compromised in the process. The large majority of employment for both women and men is found in SMEs and the key to sustainable economic development that leads to effective poverty reduction lies in competitive and growing SMEs. Current research is showing that innovations in work organization, continuous workplace learning, good labour-management relations, and respect for workers’ rights are important ways of raising productivity while also promoting decent work.
The broad problem that this project will address is how to minimize the impact of the financial crisis and tight market competition by fostering responsible and thus sustainable workplace practices – economic, social and environmental – in SMEs in order to improve their productivity and competitiveness in a manner that contributes to sustainable economic development.The development objective of SCORE is that Indonesia’s SMEs are more sustainable through being cleaner, more productive and competitive and provide more sustainable and decent employment.
The project is funded by SECO, the Swiss State Secretariat for Economic Affairs. In the first year, SCORE Indonesia will implement initial pilot activities in minimum one sub sector, the Auto Parts sub sector and at least two clusters targeting 5-10 enterprises in each cluster. SCORE aims is to help Small and Medium Enterprises (SMEs) through the compact methodology and module, effective and easily implemented, so that SMEs are more productive, more competitive and cleaner, and can provide more jobs and decent work for their employees.
As part of the follow up of the SCORE module 1 workshop that has been successfully conducted on 22-23 March 2010 as well as the first factory visit on 14, 19, 21 October 2010, the second factory visit on 9-12 November 2010 and the third factory visit on 6, 8, 9 December 2010, ILO together with the implementing partner, Ministry of Manpower and Transmigration (MoMT), will conduct the final result presentation/workshop, to follow up the implementation progress and provide the achievement, lesson learned of each enterprise to SCORE Stake holder.
The Final result workshop with all participating SCORE module 1 enterprises, will share to SCORE stake holder the benefits of the programme and achievement from each enterprise. Lesson learned to increase the effectiveness of the programme could be collected from the participating enterprises.
The five participating enterprises are as follows:
- PT Tjokro Bersaudara, Pulogadung (Automotive parts)
- PT Trijaya Teknik, Karawang Timur (Automotive parts)
- PT Lestari Dini Tunggul, Depok (Medical Garment)
- PT Inprintama Asri, Cengkareng (Printing)
- PT Tesena Inovindo (Medical equipment)
- Implementation of 5S in each enterprise
- Increase of productivity due to:
- Better working condition.
- 5 S Implementation.
- Better communication between management and workers.
- Decrease of rework, reject number and absenteeism.