Launch of 'Structural Innovation Center' to Support SMEs Entering New Businesses through Business Structure Innovation

[Asia Economy Reporter Choi Dong-hyun] On the 16th, the Ministry of SMEs and Startups announced that it will declare the launch of the 'SME Structural Innovation Support Center' and hold an opening ceremony in Suwon, Gyeonggi Province.

Global large corporations are rapidly responding to recent changes in the business environment, such as digitalization and carbon neutrality, by developing low-carbon innovative products or entering digital and platform businesses. In contrast, SMEs, which relatively lack resources and manpower, recognize the need to transition to new businesses but have not been able to actively respond to changes in the industrial environment.

According to a survey on business structural transformation conducted last November targeting SMEs, 85.4% of respondent companies answered that business structural transformation is necessary to respond to crises after COVID-19. However, only 26.9% of companies responded that they are currently undergoing business structural transformation.

The Structural Innovation Support Center was established against this backdrop. The Ministry of SMEs and Startups, the Ministry of Employment and Labor, and other government departments plan to cooperate so that SMEs can proactively respond to environmental changes and support workers' growth and employment stability.

The Structural Innovation Support Center serves as a dedicated agency for cross-government business structural innovation projects, providing integrated support for business transformation, digital transformation, and related job upskilling and job transitions. It also offers one-stop support throughout the entire process, from discovering SMEs' transformation demands to diagnosis, consulting, and linking to financial and fiscal support projects. It plans to closely cooperate with related organizations such as the Korea Federation of SMEs, industry-specific associations, Technoparks (TP), and financial institutions.

An official from the Ministry of SMEs and Startups stated, "We plan to quickly respond to changes in the market environment by discovering demand companies and policy-making based on field opinions," adding, "This year, we plan to establish 10 Structural Innovation Support Centers nationwide."

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