5S Training Prepared SMEs for the International Market
September 11, 2023
Small and Medium-sized Enterprises (SMEs) are significant drivers of Cambodia’s economic growth. However, this sector has faced many challenges in internationalizing its products and services. The ASEAN SME Policy Index 2018 mentioned that SMEs in Cambodia are lagging in the areas of export, promotion, and the integration of e-commerce into business. On top of that, quality standard is one of the main barriers to conducting business internationally.
USAID’s WE Act project supported the Federation of Associations For Small and Medium Enterprises of Cambodia (FASMEC) to improve and assist SMEs owner in Cambodia to reach the quality stand of the “5S” standard by providing one-on-one training and coaching to 10 local enterprises.
The 5S certification is a management approach with a well-executed system and focuses on quality improvement within the company, ensuring that standards are in place to eliminate workplace waste.
Mrs. Sok Hung Chang is the owner of Yang Li Yi Tofu since 2012. Yang Li Yi Tofu was started in 2012 and employs 20 staff nowadays. According to Mrs. Hung Chang, the operation of her Tofu enterprise in the first place was not on the right track. The problem occurred as the in-house arrangement, for example, the arrangement of the equipment, clutter, and the production shift. The production chain management, policies and structures, cash flow management, and sanitation were the area of improvement of this enterprise.
In 2020, Yang Li Yi Tofu became a member of FASMEC due to problems related to food production. By mid-2021, Yang Li Yi Tofu was selected as one of 10 enterprises for training 5S.
During the training, all participants were introduced to the concept of applying 5S in business. The 5S includes Sort, Set in Order, Shine, Standardize and Sustain which the business can apply to create a clean, well-ordered, and disciplined production environment.
After completing the training and receiving direct consultation from the trainer, Yang Li Yi Tofu has made remarkable progress in production structuring, policy divisions, inventory management, and sanitation. This enterprise moved from non-standard management to an enterprise that is in line with S5 standards and standards of the Ministry of Industry, Science, Technology, and Innovation.
After passing three-time audits, this enterprise is certified for the 5S certification. Mrs. Sok Hung Chang said that “Enterprise growth and market penetration depend on product standards. After enrolling in S5 training, my enterprise dares to sell to a wider market and dare to receive visitors to study and understand”.
Receiving the 5S certification means that the enterprise is prepared to receive the HACCP standard which is the bridge for the enterprise to get ISO that has a huge potential in getting recognized by other countries.
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