Hurdles faced by MSME owners in India

Recruiting talent is a crucial aspect of any business, and MSMEs in India face several challenges in this regard. According to a study by IOSR Journals, some of the hurdles faced by MSME owners in India while recruiting talent include lack of proper infrastructural facilities, difficult access to credit, stiff competition, and recruitment of skilled managerial and technical personnel1.

In addition to these challenges, a report by the Association of Chartered Certified Accountants (ACCA) highlights that escalating costs, workforce and talent management, and the evolving ESG (Environmental, Social, and Governance) reporting agenda are the top three hurdles for SMEs entering 2024 2. The report also notes that utility prices have surged by over 20% for 25% of the surveyed businesses, while for an additional 27% of respondents, the price hikes ranged from 11% to 20% 2.

To overcome these challenges, MSME owners can take several steps. One approach is to invest in employee training and development. This can help to bridge the skills gap and ensure that employees have the necessary skills to perform their jobs effectively. Another strategy is to leverage digital platforms to reach a wider pool of candidates and streamline the recruitment process.

MSME owners can also partner with educational institutions to identify and recruit talented graduates. This can help to ensure that the business has access to a pool of skilled candidates who are up-to-date with the latest industry trends and technologies. Additionally, MSME owners can offer competitive salaries and benefits to attract and retain top talent.

In conclusion, MSME owners in India face several hurdles when it comes to recruiting talent. However, by investing in employee training and development, leveraging digital platforms, partnering with educational institutions, and offering competitive salaries and benefits, MSME owners can overcome these challenges and build a talented and motivated workforce.