NEED AND IMPORTANCE OF ENTREPRENEURIAL

DEVELOPMENT TRAINING PROGRAMME

The traditional school of thought had been thinking that entrepreneurs are born and
not made. The modern observation has been that some entrepreneurs may be born but
a large number of them can be educated, trained and made. Learning by trial and error
method is altogether ruled out. It is necessary to encourage more people to take up this
field, to help them to equip themselves with training.

Need and importance of entrepreneurial development training

programme?
The entrepreneurs play an important role in the economic development of any
country. Entrepreneurs make use of the factors of production to the fullest advantage of
the society, generate employment, create innovation, improve standard of living,
develop backward areas, etc. all these leads to higher economic growth. So
entrepreneurial development is very essential for the economic development of a
country.
The entrepreneurship development programmes has an important role to play in
solving the unemployment problem. Unemployment is demoralizing. It is the major
source of waste in our present economic system.
The most alarming form of unemployment today is educated unemployment.
India is facing a chronic problem of unemployment. Due to this frustration and
discontent increases, the rate of crime also increases. Instead of going after a
government job, people should make an effort to get themselves by starting their own
business.
Under these circumstances entrepreneurship development programme assumes
much importance.
Importance of training:

1. It increases the potential abilities and thus improves performance to the

maximum attainable level.
2. It improves overall efficiency.
3. New techniques could be easily adopted through training.
4. Standardization can be adopted in a factory where trained employees are
available.
5. Training reduces fatigue.
Objectives of training:
1. To impart knowledge of the marketing of goods.
2. To broaden the vision of entrepreneurs by providing them suitable opportunities
for an interchange of experience within and outside an industry.
3. To expose the entrepreneurs to the latest development which directly or
indirectly affect them.
4. To build necessary skills of new entrepreneurs and workers.
5. To impact customer education.
6. To impart basic knowledge about the industry product and production methods.
Methods of training:
1. Lecture method: Under this method the instructor communicates in the theory
the practice to be followed by the learner. The doubts under this method are
clarified on the spot.
2. Demonstration method: This method is used where the performance of work
to e shown practically is for better understanding. The demonstration method is
more concerned with the practical rather than the theoretical aspect.
3. Individual institution: Under this method a single individual is selected for
training. This method of training is undertaken where a complicated skill is to be
taught to an individual.
4. Group instruction: this method of training is suitable for a group of
individuals with a similar type of work and where general instruction are
applicable to all are to be given.
5. Meetings: it is a method in which a group of people who come together and
discuss the various problems confronting them. They exchange ideas and views
and later on come to a final decision.

6. Conference: When new ideas and techniques to increase production are to be

introduced this method of training is used.

Entrepreneurial Development Programme (EDP):

It may be defined as a programme designed to help an individual in
strengthening his entrepreneurial motive and in acquiring skills and capabilities
necessary for playing his entrepreneurial role effectively. It is necessary to promote this
understanding of motives and their impact on entrepreneurial values and behaviour for
this purpose.
Objectives of EDP:
1. To analyse environment relating to small industry and small business.
2. To select project.
3. To formulate project.
4. To understand the process and procedure of setting up of small enterprise.
5. To know the support needed for launching enterprise.
6. To acquire basic management skills.
7. To know the pros and cons of being an entrepreneur.
8. To look into faster industrial development.
9. Create employment opportunities by increasing medium and small scale
industries.
10. Focus on entrepreneurship.
11. Industrialization of rural and village sector.
12. Creating self employment opportunities of educated unemployment youth.
Target group of EDP:
1. Society.
2. Specific technology.
3. Entrepreneurs in the field of science and technology.
4. Schedule caste and schedule tribe.
5. Woman entrepreneurs.
6. Ex-military service entrepreneurs.
7. Rural entrepreneurs.

8. Artisans.
9. Educated unemployed.
10. Physically handicapped.
11. Adivasi entrepreneurs.
Strategy for entrepreneurship development:
The following strategies of entrepreneurship development may be suggested in India:
1. Dynamic role of public entrepreneurship.
2. Development of industrial culture.
3. Development of management education and training.
4. Development of backward areas.
5. Adequate measures for mobilizing talent.
6. Better economic administration.
7. Adequate and timely credit.
8. Special categories of entrepreneurs.
Types of programmes for education and training entrepreneurs:
The various programmes available for educating and training entrepreneurs are
classified as under:
(A)

Short term training courses: such courses are provided by Bombay

Management Association, Productivity Councils, Indian Merchant Chambers,

Bankers training College, LIC,etc. The duration can be two to three days or
weeks.

(B)

Format courses: these courses are in the form of entrepreneurial

management or similar title offered by universities at the post graduate level. The
University of Mumbai offers this subject at the Master Degree programme in
administrative management. In the year 1977, the Sydenham College of
Commerce and economics, Mumbai started a full time 15 months programme
leading to a diploma in Entrepreneurial Management of the Government of
Maharashtra.