Rapid Disbursement of Disaster Relief Funds for Small Business Owners... Dissemination to Other Ministries

Ministry of SMEs and Startups First to Announce Among 28 Ministries for Proactive Administration... Receives Highest Grade for Two Consecutive Years

The Ministry of SMEs and Startups has collaborated with Samsung Electronics to establish a mass production system for low dead space (LDS) vaccine syringes.
[Graphic=Ministry of SMEs and Startups]

[Asia Economy Reporter Kim Jong-hwa] The reason why disaster relief funds for small business owners were rapidly distributed to more than 2 million people in just four days was that the Ministry of SMEs and Startups (MSS) collaborated with the National Tax Service to pre-establish a database (DB) of eligible recipients. MSS’s proactive administration enabled urgent small business owners to receive disaster relief funds immediately with simple identity verification, without submitting separate documents, and this approach is being adopted by other ministries as well.

Kang Sung-chun, Vice Minister of MSS, announced these proactive administrative best practices and policies at the '2021 Proactive Administration Relay Presentation (33rd Vice Minister Meeting)' held on the 26th.

MSS is a model ministry for proactive administration, having received the highest rating for two consecutive years since 2019 in the comprehensive evaluation of the '2021 Proactive Administration Relay Presentation.' A total of 28 ministries will present their best cases and policies in nine rounds by October 28, and Vice Minister Kang Sung-chun was the first to present four outstanding cases, including the rapid execution of disaster relief funds for small business owners affected by COVID-19.

Rapid Execution of Disaster Relief Funds for Small Business Owners Affected by COVID-19

MSS collaborated with the National Tax Service and others to pre-build a recipient DB and proactively sent pre-application guidance text messages to confirmed small business owners. Additionally, through the Proactive Administration Committee, MSS pursued exemption from liability for errors that could occur during document verification, reducing the burden on staff. As a result, disaster relief funds could be immediately paid with simple identity verification without submitting separate documents. All three rounds of disaster relief funds?New Hope Fund (2.51 million people), Steadfast Fund (3.01 million people), and Steadfast Fund Plus (2.91 million people)?were rapidly distributed with over 2 million cases processed within four days.

Support for Establishing Mass Production System of Low Dead Space (LDS) Vaccine Syringes

When Poonglim Pharmatech faced difficulties in mass-producing vaccine syringes due to lack of production experience, MSS and Samsung Electronics activated a collaborative system. Samsung Electronics deployed technical mentors, and MSS supported equipment funding through the Smart Factory Fast Track program (reducing the process from 3 months to 3 days). As a result, vaccine syringes are being mass-produced at over 20 million units per month, with exports of 30 million units to Japan, and millions of units each to the U.S. and India, while supplying approximately 6.65 million units domestically. MSS also contributed to the rapid supply of vaccine syringes by supporting three additional vaccine syringe companies?Korea Vaccine, Shinamed, and Shinayanghaeng?using the Smart Factory model.

Support for Meal Kit Product Development of Baeknyeon Gaegae Vulnerable to Online Product Development and Sales

MSS selected a meal kit specialized startup (Fresh Easy) and distribution companies (E-Mart, Market Kurly) as voluntary win-win cooperation companies (Ja-sang-han companies) that share corporate capital and know-how strengths, to support the productization and sales of meal kits based on Baeknyeon Gaegae menus. Three Baeknyeon Gaegae stores selected as pilots sold 50,000 meal kits in the first quarter of 2021, achieving sales exceeding 400 million KRW over two weeks during the Market Kurly Baeknyeon Gaegae special exhibition.

Hosting the Korea Together Sale

MSS hosted the 'Korea Together Sale,' a large and small business win-win event involving all economic actors such as traditional markets, large retail stores, and online shopping malls, to help small and medium enterprises and small business owners struggling due to COVID-19, achieving total sales of 118 billion KRW.

In addition to the announced best cases, MSS is striving to spread an innovative and proactive organizational culture through incentives and organizational culture innovation to activate proactive administration. Since July last year, the Vice Minister-led Disaster Relief Fund and Loss Compensation Task Force (TF) has been held weekly to promptly decide and handle issues such as eligibility and criteria. As a result of TF operations, the Hope Recovery Fund was distributed about two weeks ahead of schedule, and preparations for subordinate legislation, system design, and system construction are proceeding smoothly to ensure rapid loss compensation in October.

Moreover, MSS provides incentives such as special promotions and performance bonuses for outstanding proactive public officials, operates 'Chilseung Cider Meetings' where the minister directly communicates with employees, and runs the 'MSS Academy' where department heads serve as instructors to communicate with staff.

Vice Minister Kang said, "According to the recent organizational culture diagnosis, it is positive that members evaluate the MSS organizational culture as proactive and free from power abuse culture," adding, "We will strive to promote proactive administration that the public can feel, in addition to organizational culture innovation."

This content was produced with the assistance of AI translation services.