MSME Competitive (LEAN) Scheme

March 13, 2023

Minister for MSME launched the Scheme to enhance Domestic and Global Competitiveness of MSMEs through the application of various Lean Techniques.
Scheme is to create awareness about LEAN Manufacturing practices and incentivize MSME to attain LEAN levels. The Scheme is a business initiative to reduce “waste” in manufacturing.
It provides for building awareness of lean manufacturing practices in MSME clusters as well as cost sharing of consultant’s fees with MSME units who opt for such interventions.
Under the scheme, the Centre’s contribution will be 90 per cent of the implementation cost for handholding and consultancy fees as against 80 per cent previously.
Lean Manufacturing Techniques are adopted with the objective of
- reducing waste,
- increasing productivity,
- introducing innovative practices for improving overall competitiveness,
- inculcating good management systems and imbibing a culture of continuous improvement.
Under the scheme, MSMEs will implement LEAN manufacturing tools like 5S, Kaizen, KANBAN, Poka Yoka
Nodal Agency: National Productivity Council (NPC)
- National Productivity Council of India, established in the year 1958, is an autonomous organization under Department for Promotion of Industry & Internal Trade, Ministry of Commerce and Industry.
Eligibility: The Scheme is open to Micro, Small or Medium as per the definition of the MSME Act. (The Micro, Small and Medium Enterprises Development Act, 2006.)
- The units are required to form a Mini Cluster of 10 or so units.
- All MSMEs registered with the UDYAM registration portal will be eligible to participate.
- Also open to SFURTI and Cluster Development Program Schemes.