One of the key factors driving Singapore's strong economic growth is the country's increasing number of small and medium enterprises (SMEs) that contribute 46% of the total value added in the economy. Whilst 27% of these SMEs experience turnover growth of more than 10% annually, one of the major challenges that SMEs face relates to manpower issues. The SME Development survey 2007 confirmed that the sector continues to experience difficulties in attracting, retaining and developing the right people.

SPRING Singapore (SPRING), in collaboration with Singapore Workforce Development Agency (WDA), embarked on a project that addresses the human resource capability gaps to boost SMEs' competitiveness. By effectively managing and developing its greatest resource, its people, SPRING and WDA hope that the SMEs use this capability as a strategic leverage to sustain their business growth.

This HR Capability Package provides the framework to develop the capability of the SMEs to systematically manage six key HR areas. An appreciation of the "big picture" to manage the interrelated HR areas is presented whilst practical guidelines, tools and templates are provided for the use of HR practitioners. Aligned to the HR Workforce Skills Qualifications (HR WSQ) framework, the package aims to facilitate smooth adoption of good HR practices.

SPRING and WDA hope that you will find this package informative and useful in preparing your organisation to achieve its potential and confidently move your business forward.