Background
The Scheme provides assistance to Small and Medium Enterprise ( SMEs ) to use information and Communication Technology (ICT) to improve competitiveness , efficiency and productivity .

Funding

• 50% matching grant with the remainder of the costs to be borne by the applicant
  
• Maximum grant per company is RM500,000.00

Eligibility Criteria

• Companies incorporated under the Companies Act 1965.
  
• Manufacturing companies or companies providing manufacturing related services* with an annual sales turnover of not exceeding RM 25 million and with fulltime employees of not exceeding 150.
  
• At least 60% equity held by Malaysians.
  
• Companies must be operating in an approved premise** ( with business license issued by local authority ) .

Priority

• Manufacture products or involve in activities or services promoted under the Promotion of Investments Act (PIA) 1986; or
  
• Participate in the Industrial Linkage Programme (ILP )

• Manufacturing-Related services
  
  • Engineering support services such as calibration, electroplating, machining, heat treatment, metal casting, metal forging;
    
  • Specialised service such as warehousing, bulk breaking, international procurement center, haulage;
    
  • Maintenance and repair of factory machinery and equipment;
    
  • Software development such as Computer Aided Design (CAD), Computer Aided Manufacturing (CAM), Computer Aided Engineering (CAE), Enterprise Resource Planning (ERP), Computer Integrated Manufacturing (CIM), Supply Chain Management(SCM) and Customer Relations Management(CRM);
    
  • Automation of production line;
    
  • Design houses;
    
  • Packaging services.

Eligible Expenses

• Purchase of Enterprise Resource Planning (ERP) software or subscribe to online ERP system.
  
• Implementation Charges including system study, customisation and training.
  
• Purchase of related networking equipment and server.
  
• Purchase of other software such as Computer Integrated Manufacturing (CIM), Enterprise Resource Management (ERM), Materials Resource Planning (MRP), Supply Chain Management (SCM) and Customer Relations Management (CRM) can also be considered based on SMEs' capabilities.
  

Disbursement Guidelines

• 30% of approved grant will be given up-front upon the company returning an acceptance form provided by SMIDEC together with an irrevocable acceptable agreement/letter of acceptance or similar document with the supplier of services, equipment, parts/components or software.
  
• The balance 70% will be reimbursed in not more than 2 payments upon receiving claim, based on original receipts together with relevant invoices. Certified copies of invoices and receipts by external company secretary or external auditors may be accepted.
  
  The mode of payment for the balance 70%:
  
  • 30% will be given upon installation of ERP software and related networking equipment and server;
    
  • 40% will be given upon testing, commissioning and training.
    SMIDEC officers or processing officers will visit applicant's factory to verify the actual implementation of project before processing any claim for payment.

Application Procedure

• Applicant is required to submit completed forms with supporting documents:
  (i) E-manufacturing Grant Application Form ( Part 1);
  (ii) Project Proposal Paper (Part 2)