Ministry of SMEs and Startups to Use Data-Driven Approach for Crisis Assessment and Proactive Response in Small and Medium Enterprises

Dashboard Display for At-a-Glance Understanding of Economic Indicators
KoDATA Develops 'Early Warning Index' for Crisis Prediction

Jo Joo-hyun, Vice Minister of the Ministry of SMEs and Startups [Image source=Yonhap News]

[Asia Economy Reporter Kim Bo-kyung] The Ministry of SMEs and Startups is integrating SME statistical indicators scattered across ministries and monitoring risks to proactively respond to complex crises such as the triple high (high inflation, high interest rates, and high exchange rates).

On the 7th, Cho Joo-hyun, Vice Minister of the Ministry of SMEs and Startups, held the "8th Meeting of the Corporate Risk Response Task Force" at the KoDATA auditorium in Yeouido, Seoul.

Amid a global complex crisis situation including high inflation and high interest rates, concerns and a sense of crisis about economic recession remain. Accordingly, in June, the Ministry of SMEs and Startups established the Corporate Risk Response Task Force in cooperation with related organizations to review risks by sector and discuss response directions.

At the meeting, the Korea Institute for SMEs and Startups demonstrated a dashboard of rapid statistical indicators for SMEs, and KoDATA presented on the necessity of predicting industrial crises through the Early Warning Index.

Participants agreed on the importance of rapid statistical indicators related to SME trends and risks, and discussed the effectiveness and policy utilization potential of the Early Warning Index developed by KoDATA.

The Ministry of SMEs and Startups announced a corporate risk response strategy to prepare for complex crises. This strategy aims to promptly identify policy demands from SMEs and small business owners affected by the complex crisis and to manage risks through crisis identification → diagnosis and evaluation → response and management → monitoring.

Going forward, the Ministry plans to continuously elaborate the corporate risk response strategy through ten major policies. It will implement proactive inspections and diagnoses in the SME and small business sectors and provide tailored support for on-site difficulties.

Vice Minister Cho emphasized, "To enable companies to conduct stable business activities, the Ministry of SMEs and Startups and related organizations must maintain heightened awareness and tension and devote all efforts to risk management in the SME, venture, and small business sectors."

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