Abstract :
India is a growing service economy too and thus provides an opportunity for SMEs growth
and achieves balanced growth. SMEs can in fact become the major engines that sustain
growth for long term development of India. When growth becomes stronger, SMEs gradually
assume a key aspect in industrial development and restructuring. They can satisfy the
increasing local demand for services, which in return allows increasing specialization, and
furthermore support larger enterprises with services and inputs. In India, the historical role
of SMEs have vie a very important role for making ample opportunities for employment of
millions however has come back to occupy secondary standing within the competition to
confirm external orientation, achieving producing fight and to emerge as
notable international player.
But complications in such problems as employment creation and neglect of
the huge section of little and little unit’s operative among a ‘low-road’ syndrome can be a
significant roadblock to the arena. What is more important that it was to gain selfemployment
by implementing the innovative ideas & to exploit market opportunities in
which entrepreneurs have set-up their firms. Indian SME are struggling to attract and retain
talents. Most of the perspective employees consider brand name as a key factor in their
decision whether to apply or not for a job in an SME. It is in those lakhs of Small and
Medium Businesses (SMBs) across the country that we constantly rely on because they are
the backbone of the Indian economy. However, the country's SMEs across different sectors
are finding it hard to attract and retain talents many surveys has revealed this truth.
The objective of this paper is to study and review the effective retention strategies adopted
by the companies and to find out most favourable practices towards their employees of the
companies studied.
Source of data collection would be a primary data. A pilot study has been carried out at
Mumbai through a questionnaire survey involving 50 respondents who are working in the
Volume-4, Issue-11, April-2018 ISSN No: 2349-5677
11
small scale industries in order to understand the policies implemented by the employers for
its workers.
Favourable factors for the retention of employees would be measured and analysis would be
done by using statistical tools. The research would enable us to find out that which are the
most preferable and effective policies for the employees.
Keyword :
Survival, retention, small scale industries, Business environment