Friday, 20 March 2026

SMEs called to shift towards an outcome-driven development

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Members of the SME Association of Sarawak during the AGM.

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KUCHING: The SME Association of Sarawak is calling for a shift towards outcome-driven development of small and medium enterprises (SMEs), emphasising that success should be measured by tangible business growth rather than participation rates or funding disbursement.

Its president, Jordan Ong, said while financial support and programmes remain important, greater focus must be placed on whether SMEs are expanding, entering export markets, and strengthening their positions within supply chains.

Citing insights from the Institute for Democracy and Economic Affairs (IDEAS), he stressed the need to move away from input-based metrics, such as the number of initiatives carried out, towards evaluating real outcomes achieved by businesses.

“SMEs currently make up 96.1 per cent of businesses in Malaysia, with about 70,000 micro, small and medium enterprises (MSMEs) registered in Sarawak, representing approximately 6.3 per cent of the national total.

“Of these, 75 per cent are micro enterprises, 22.7 per cent small enterprises, and only 2.3 per cent medium-sized businesses,” he said.

Speaking at the association’s Annual General Meeting (AGM), Ong also urged members to take a more proactive role in leveraging available platforms, including seminars, forums and networking sessions, to build collaborations and unlock new opportunities.

“The association serves as a platform for members to exchange ideas, explore partnerships and support one another, and active participation would enhance the overall value created within the SME community,” he added.

At the same time, Ong stated the association announced several governance and integrity measures aimed at strengthening its institutional framework.

“These include formalising its authority to conduct background checks on individuals and entities engaging with the association, as well as verifying credentials, affiliations and honours.

“It will also recognise only verified titles, awards and honours, while reserving the right to disregard unverified claims.

“The council has also been empowered to exercise discretion in collaborations, including declining or discontinuing engagements that do not meet its standards of integrity and professionalism,” he stated.

In terms of leadership recognition, he said a new provision has been introduced for the title of ‘Honorary Life President’, to be accorded to former presidents who have completed a full tenure of six years and retired from active office, subject to approval by the incoming council.

“A key milestone from the AGM was the approval to establish an SME Association Centre.

“Members have supported the acquisition of a property to serve as a dedicated hub where MSMEs can access guidance, consultation and support in starting, sustaining and scaling their businesses.

“To support the initiative, a fundraising effort will be undertaken for the acquisition and renovation of the proposed centre.

“Members have also been invited to propose suitable property units, with an Extraordinary General Meeting (EGM) to be convened to shortlist and decide on the final selection,” he said.

Meanwhile, Ong emphasised that the association also reaffirmed its commitment to nurturing future entrepreneurs through mentorship and knowledge-sharing, while encouraging continuous feedback from members to improve its effectiveness.

Looking ahead, it will host its first Installation Night Gala and SME Handbook Launch on April 18, marking a milestone in its leadership renewal and institutional strengthening.

Ong also emphasised the importance of unity and collaboration within the SME community, expressing appreciation to members for their continued support.

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