PROGRAMS-POLICIES ON

ENTERPRISE
DEVELOPMENT
 WHAT IS A PROGRAM?

• Programs are short-term interventions that create temporary improvements in the wake
challenges.

• Policies are covenants we collectively choose to live by, as articulated in legislation and
regulation. They inform our socially accepted mores and ethics.
 ENTERPRISE, ENTREPRENEUR &
ENTREPRENEURSHIP
• An Enterprise is a business organization that is formed and which provides goods and services,
creates jobs, contributes to national income, imports, exports, and above all, sustainable
economic development. In a more concise or synthetic way, is a business venture.

• Entrepreneur is nothing else that the person starts an enterprise. Entrepreneurship is the creation
or extraction of value.
 SCALE OF ENTERPRISE

• Microenterprise- is a small business that sells goods and/or services to a local market. (fewer
than 10 employees)
• Small enterprise or more simply a small business is one marked by a limited number of
employees and a limited number of employees and a limited flow of finances (10-49 employees)
• Medium-sized enterprise defined as enterprise which employ fewer than 250 people
• Large enterprise is a large business category with ana above-average business size, has large
operations, and high economies of scale (250 or more people)
 3 DIFFERENT STAGES OF PROGRAMS AND
POLICIES

1. Development of achievement motivation, and sharpening entrepreneurial traits

and behavior;

2. There are planning and development of a venture; and

3. The guidance provided on enterprise opportunities, incentives and facilities, rules

and regulations, and the development of administrative and operational capabilities.
 THE FEATURES OF AN ENTREPRENEUR
ARE AS FOLLOWS:
• Advancements in any walks of life has always hinged on individual makings of
entrepreneurship. A study of the human past shows sufficient evidence of individuals’ role in the
process of development.
• Individual enterprise are the starting point of Industrial Development in almost all countries.
• Multinational and Transnational corporations have mostly received their inspiration from a
certain or a few individuals.
• In small industries, the venture is centering around a single individual.
• Certain or a few individuals initiated, managed and developed small enterprises.
• Significant resources in the promotion of any enterprise establish the qualities of
entrepreneurship.
• An entrepreneur, by suggestion, ventures out, desires change as a means of growth and is
prepared to take calculated risks.
• In taking a risk, the entrepreneur is aware of the possibilities of success and the consequences of
failure.
• An entrepreneur analyzes the pros and cons carefully before making decisions.
• An entrepreneur is involved in the planning activities, both before and after deciding to start the
enterprise.
• An entrepreneur is motivated by an impulse to make success of the project.
• An entrepreneur proceeds to challenge situation.

• An entrepreneur equips with all the necessary gears.

• An entrepreneur is tenacious and is full of perseverance for making a success.

 ELEMENTS OF A SUCCESSFUL
ENTREPRENEUR
1. Innovation
is a key element that enables creative thinking, adaptability and long-term strategic vision.

2. Calculated Risk
NO RISK, NO REWARD. Any business decision shouldn’t be taken based on emotions alone.
Justify your ideas with data, do your diligence, speak to advisors or experts in the domain. Invest
time studying the numbers so that it all adds up.
Before starting any venture, it is important to ask the following questions:

• If a new idea loses money, how will it impact the business?

• If a partnership fails, what will be the course of action?

• If you can’t meet the release date, how will it impact the bottom line?
3. Foresight and vision
Foresight and long term vision help the business move forward with clear and well-defined
roadmap.

4. Leadership
Entrepreneurial leadership is not just for start-ups but for business of any size. There are multiple
leadership styles and no one particular is the best. However some skills are indispensable to navigate the
dynamic shifts in the current business climate. Contrary to popular belief, many of these skills can be
cultivated if you are eager and willing:
• Active Listening Flexibility
• Time Management Industry Expertise
• Strategic Thinking Management and Communication skills
• Project Planning and business storytelling
5. Monitoring Cash flow
according to a score study, 82% of small businesses fail to due to cash flow problems. If a
business always spends more than what it earns, it leads to a cash flow problem. Entrepreneurs
need to stay on top of their bookkeeping to ensure a heathy cash flow.
Additionally, they can use the following tips to improve cash flow:

• Attain an optimal capital structure with the right mix of debt and equity.

• Budget cash flow statement in advance and compare it to actual cash flow statements.

• Speed up accounts receivables.

• Tighten credit requirements.

• Reinvest excess cash flow for expanding existing operations.

 PHILIPPINES SMES: AN OVERVIEW

• The small and medium enterprises (SMEs) comprise an exceedingly large

portion of business establishments in the Philippines. In 2012, the SME sector
employed 61% of the total workforce.
 Table 2.1: SME Categories by Asset Size and Number of Employees
Category Total Assets No. of Employees

Micro Enterprise 3,000,000 or less 1-9

Small Enterprise 3,000,001-15,000,000 10-99

Medium Enterprise 15,000,001-100,000,000 100-199

Enterprises with assets of more than one hundred million pesos or employees
numbering more than 199 are classified as large enterprises, which comprise
around 0.3% of business establishments in the Philippines.