Mandate: Resolution of the Council approved at its 1435th Session held on 26 November 2021 [C(2021)153, Annex, and C/M(2021)22, item 258]

 

Resolution of the Council [C(2021)153, Annex]

DRAFT RESOLUTION OF THE COUNCIL RENEWING AND REVISING THE MANDATE OF THE COMMITTEE ON SMES AND ENTREPRENEURSHIP (CSMEE)

 

THE COUNCIL,

HAVING REGARD to the Convention on the Organisation for Economic Co-operation and Development of 14 December 1960;

HAVING REGARD to the Rules of Procedure of the Organisation;

HAVING REGARD to the Revised Resolution of the Council on Partnerships in OECD Bodies [C(2012)100/REV1/FINAL];

HAVING REGARD to the creation of the Working Party on Small and Medium Enterprises (SMEs) in 1993 by the Industry Committee [DSTI/IND(93)6], renamed in 2002 the Working Party on SMEs and Entrepreneurship (WPSMEE) [DSTI/IND(2002)9] and the increased importance of SME and entrepreneurship issues which led the Council to elevate in 2021 the WPSMEE to a level 1 committee [C(2021)64];

CONSIDERING the importance of SMEs and entrepreneurship in the economy and society, accounting for more than half of formal employment globally and contributing on average between 50% and 60% of business value added in OECD Member countries;

CONSIDERING their contributions to sustainable, resilient and inclusive growth, productivity, innovation, social cohesion and the integration of diverse populations into the economy;

CONSIDERING the diversity of SMEs in terms of age, size, business model, performance, and the profile and aspirations of entrepreneurs, and how these differences, including across sectors, regions and countries, affect their contributions to innovation, productivity, quality job creation and growth, as well as the implications of firm heterogeneity for the design of policies across countries and for different types of businesses;

CONSIDERING imperfections and failures in product, capital and labour markets that affect SMEs and entrepreneurs disproportionately, calling for appropriate policy responses to level the playing field;

CONSIDERING the cross-cutting nature of SME and entrepreneurship policies and the usefulness of a cross-cutting approach that fosters synergies across different ministries and government agencies and different levels of government, while ensuring consultation with stakeholders, including representatives of the business and financial sectors, trade unions, education and research institutions and other civil society organisations;

CONSIDERING the role of the Committee in the development of OECD standards on SMEs and entrepreneurship;

HAVING REGARD to the proposed revision of the mandate of the Committee on SMEs and Entrepreneurship [C(2021)153];

 

DECIDES:

A.   The Committee on Small and Medium-sized Enterprises (SMEs) and Entrepreneurship (hereinafter “CSMEE”) is renewed with the following revised mandate:

I. OBJECTIVES

The objectives of the CSMEE are to:

1.support the design and implementation of evidence-based SME and entrepreneurship policies, as well as the development of a conducive business climate, that contribute to sustainable, resilient and inclusive growth, by fostering SMEs’ and entrepreneurs’ engagement in the transition to business practices and models in line with sustainable development objectives; by preparing them to face future shocks and downturns; and by enabling their contributions to growth, employment and social cohesion.

2.identify the framework conditions, policies and targeted measures that foster entrepreneurship in all of its forms and enable start-ups to grow, develop into viable SMEs and scale up.

3.foster the development of inclusive entrepreneurship policies that enable women, youth and other groups to participate in entrepreneurship, support quality self-employment, and the creation of businesses that help address social, environmental and economic challenges.

4.contribute to fostering the competitiveness of SMEs and entrepreneurs through conducive business environments and entrepreneurial ecosystems in diverse settings and regions, including: institutional, regulatory and insolvency frameworks; internationalisation, trade, investment, competition and industrial policies; infrastructure development; access to resources, including intellectual, human and social capital; and access to public and private markets.

5.identify and support the design and implementation of policies that enable SMEs and entrepreneurs to adapt to and benefit from major trends such as globalisation, digitalisation, the environmental transition, demographic changes and other fundamental shifts in the knowledge economy.

6.identify and support the design and implementation of policies that enable SMEs and entrepreneurs to drive innovation and productivity performance, including through digital and technological developments, effective innovation management practices, training and active participation in innovation ecosystems and knowledge networks; and as well as through participation in domestic and global value and supply chains.

7.address the particular challenges SMEs and entrepreneurs face in obtaining finance through a range of diverse traditional and non-traditional financing instruments and sources, including information gaps and misconceptions which discourage SMEs and entrepreneurs from seeking finance.

8.foster the acquisition by SMEs and entrepreneurs of skills and training needed to adapt and thrive in changing business conditions.

9.contribute to the effective governance of SME and entrepreneurship policies at different levels of government, and to the mainstreaming of SME and entrepreneurship considerations across all areas of policy making.

10.foster a culture of evidence-based policy-making by strengthening the monitoring and evaluation (ex ante and ex post) of SME and entrepreneurship policies and programmes.

11.promote mutual understanding in the area of SME and entrepreneurship policy and the advancement of international co-operation in this area, in particular among government agencies dedicated to SME and entrepreneurship policies.

II. WORKING METHODS

To achieve these objectives, the Committee shall:

1.develop high-profile, influential standards, policy analysis, evaluations and peer reviews at national, sub-national and thematic levels to promote the effective implementation of best practices and integrated approaches ensuring linkages and coherence with related policies;

2.identify innovative approaches, trade-offs and synergies, and linkages between various policy perspectives in order to improve SME and entrepreneurship policies;

3.drive the development and dissemination of robust, comparable and timely statistical and policy data and indicators, and analytical tools and knowledge infrastructure, to support evidence-based analysis and policy effectiveness, including more disaggregated evidence on SMEs and entrepreneurship that takes into account the heterogeneity of SMEs’ and entrepreneurs’ profiles, performance and growth trajectories at different stages of the firm life cycle;

4.provide a forum for open dialogue, benchmarking and knowledge-sharing on SME and entrepreneurship policies and programmes, and exchange ideas, experiences, evaluation results and best practices on SME and entrepreneurship issues, policies and programmes.

5.enhance its visibility and impact, and develop user-friendly content and targeted communications utilising a variety of tools, including publications, policy briefs, OECD Papers, the OECD website, social media channels, events and webinars to better disseminate to relevant stakeholders.

III. COORDINATION ARRANGEMENTS

In order to achieve these objectives, the CSMEE shall:

1.maintain close working relationships with other relevant bodies of the Organisation with a view to complementing and supporting analysis and achieving synergies, discussing particular cross-cutting aspects, and, where appropriate, undertaking joint projects, in particular with the Committee on Digital Economy Policy; the Environmental Policy Committee; the Committee on Financial Markets; the Committee on Fiscal Affairs; the Committee for Industry, Innovation and Entrepreneurship; the Investment Committee; the Regional Development Policy Committee; the Regulatory Policy Committee; the Committee on Statistics and Statistical Policy; the Tourism Committee; the Co-operative Action Programme on Local Employment and Economic Development Directing Committee.

2.co-operate with other international organisations (including regional) and groupings active in relevant policy fields, including collaborative work on topics of mutual interest.

3.engage with representatives of public, private and non-profit organisations and institutions involved in the development of SMEs and entrepreneurship, including associations of SMEs and entrepreneurs, financial institutions, trade unions, academia and public interest groups and dedicated networks.

 

B.   The mandate of the CSMEE shall remain in force until 31 December 2026.