Lack of access to advisory services to enhance business operations has been identified as one of the important factors that has been inhibiting the performance of the small and medium enterprises (SMEs). According to Entrepreneur and Cooperative Development Minister, Datuk Seri Mohamed Khaled Nordin, another crucial area often neglected by the SMEs was the advice on information and communications technology (ICT), finance and branding.

Mohamed Khaled said SMEs required guidance on marketing, business administration and management to be on par with global players. "Under the Ninth Malaysian Plan, the government has introduced a special Services Sector Development Fund to enhance SME product awareness, assist the potential and current entrepreneurs to upgrade their technical skills and help build market share.The inability of the SMEs to keep up with the technological changes has resulted in them being involved in less competitive activities thus affecting their ability to compete in the global market," he said.

He said the government, realising that the ICT was the key determinant in the advancement of SMEs in the global environment, has allocated RM12 billion for ICT programmes and projects. According to a Bank Negara Malaysia report, only five percent of SMEs have fully automated operations while 48 percent report a low usage of computer at work.

Source: http://www.bernama.com.my