On September the 8th, FILPAL have the privileges of being one of the speaker in the American Malaysian Chamber of Commerce (AMCHAM) annual dialogue. Due to the past pandemic, the dialogue was not done for the past 2 years.
This year, with over 280 present in E&O Hotel, Penang, AMCHAM restarted this dialogue. The event was graced by guests of honors such as Dato’ Sri Norazman Ayob, deputy secretary-general (industry) of Ministry of International Trade and Industry (MITI), H.E. Brian McFeeters, the U.S. ambassador to Malaysia and Y.A.B. Tuan Chow Kon Yeow, the chief minister of Penang. The topic this year is “ A Stronger Malaysian Ecosystem “ and FILPAL is being invited as the speaker representing the Small Medium Enterprises (SMEs) of Malaysia.
Here’s a rough transcript of how the talk goes for me:
The Talk
Question 1: Given past 2 years and the influence of technology, what would be your biggest learning in regards to your organization, and also how it impacts your talent strategies?
Answer: Our organization develops RF software and hardware. We started off with few core members and a team of freelancers before pandemic. We managed our projects through online collaborative platform GitLab and google hangout for meetings. The pandemic didn’t really impact our organization operation. In fact we took the chance to launch our RF software application tool and published on google and Microsoft store during MCO, April 2020. To our surprise, the outcome was very encouraging as the download users shot up during lockdown period. The reason is simply because many RF engineers had to work from home and they need to find an application tool to support their daily work. As of today we had gained 4000+ users worldwide and mostly from Silicon Valley. For our hardware development, yes it does have an impact due to the manufacturing lockdown. As such we learned that the supply chain issue has become a great challenge and we see this as a great opportunity. We quickly worked with local manufacturing and plating house to develop the local eco-system since last year. As a result of the localization, we helped the MNCs to solve their supply chain issues by providing local products with shorter lead time and cheaper cost. In terms of the talent strategies, we learned to work with university lecturers and students through their FYP and staff attachment program, and at same time adopting our digital platform. We successfully absorbed talents once projects are completed.
Question 2: How has the SME industry adapted to the needs of the new workforce, and where do you feel more needs to be done?
Answer: Talent shortage has been a great challenge. Salary packages offered by MNCs has caused the SMEs to be even harder to recruit talents. I would like to propose to MNCs that they may reconsider their hiring strategy and recruitment policy. Instead of hunting the very limited pool of talents from the market, MNCs may consider working with existing SMEs. This is where the opportunities arise for the SMEs and at the same time, MNCs would be able to fulfill their headcount.
In the meantime, the SMEs should play a proactive role. I can give an example. I was searching on the LinkedIn job posting to look for the right opportunities where my company can add value. I contacted the recruitment agencies or managers to offer our company services. Surprisingly it was the SMEs which open the door for us but not the MNCs.
SMEs has to accept the new working method through the adoption of technology platform where lean operation is possible.
Question 3: What do you feel are the real issues stopping SMEs from adapting/growing, and potentially not be seen as a great option for talent.
Answer: It is time for the SMEs to redefine their value-add by focusing more on design & development/high value activities which can attract talents. This will also help the SMEs to move up to higher value chain industry.
MNCs has always been seen as a greater working place for talents due to the platform advantage and salary packages. However SMEs can provide certain advantages in terms of better sense of cohesiveness, accomplishment and team dynamics. The SMEs shall position themselves as a strong partner of MNCs where talent resources can be shared.
Question 4: In order to develop the right ecosystem to grow the SME industry further, what do the panelists feel needs to be included or expanded further?
Answer: Government, NGOs, MNCs, and SMEs all must work together to develop the ecosystem. Resources matching is the key. MNCs has the market access to global, funding resources and technologies. SMEs has the human capital and technologies. Somehow the needs and opportunity gaps are not fully addressed between the two. An open platform for resources matching can be considered.
MNCs may consider engaging the local SMEs at all levels of value chain starting from design and development, till the outsourced manufacturing and OSAT to strengthen the eco-system. Government and NGOs can also play a role in facilitating the mechanism to achieve a more collaborative environment.
Key Takeaways
Being one of the speaker also makes me realize some nuggets of wisdom related with growing the company. SMEs should learn to be agile and adaptive at all times. Being SMEs, we are in a better position to fast transform and adapt to changes due to smaller scale. Therefore, I would encourage SMEs to work closely with MNCs to stay relevant as this is the greatest source to get better insight about the market and product trends.
Originally published at http://filpal.wordpress.com on September 18, 2022.
