The Productivity Solutions Grant (PSG) is a government scheme in Singapore that helps businesses adopt digital solutions and equipment to improve productivity. This scheme provides funding support for pre-scoped IT solutions and equipment that are listed under the PSG.
In this article, we will provide an overview of Singapore PSG, including its eligibility criteria, the types of solutions and equipment covered, the funding support available, and the application process. We will also discuss how PSG projects are monitored and evaluated, and provide examples of successful PSG projects.
Overview of Singapore PSG
The PSG was launched in 2018 to encourage Singaporean businesses to adopt digital solutions and equipment to improve productivity. PSG funding is available to businesses across various sectors, including manufacturing, retail, food and beverage, logistics, and healthcare.
This funding is part of the broader suite of support that the Singaporean government provides to help businesses grow and succeed. PSG funding is administered by Enterprise Singapore, a government agency that supports the growth of Singaporean enterprises.
Eligibility for Singapore PSG
To be eligible for PSG funding, businesses must meet the following criteria:
- Be registered and operating in Singapore
- Have a minimum of 30% local shareholding
- Have a group annual sales turnover of less than S$100 million or group employment size of fewer than 200 employees
- Types of Solutions and Equipment Covered Under Singapore PSG
The PSG covers a wide range of solutions and equipment, including:
- Accounting and HR solutions
- Inventory and order management systems
- Customer management systems
- Equipment and machinery for automation and productivity
- Digital marketing solutions
- Cybersecurity solutions
Examples of PSG solutions and equipment in different industries include:
- Food and beverage: Point-of-sale systems, inventory management systems, and digital menu boards
- Retail: E-commerce platforms, inventory management systems, and customer management systems
- Healthcare: Electronic medical records systems, telemedicine solutions, and healthcare analytics solutions
Funding Support Available Under Singapore PSG
The PSG provides funding support of up to 80% of the qualifying costs for PSG solutions and equipment. The maximum funding amount is S$30,000 per applicant per project.
Businesses can receive PSG funding for up to three projects in each solution category. For example, a business can receive PSG funding for three different inventory management systems, but not for a fourth inventory management system.
Application Process for Singapore PSG
To apply for PSG funding, businesses need to follow these steps:
- Identify the relevant PSG solutions and equipment for your business needs.
- Get a quotation from a PSG pre-approved vendor.
- Submit an online application on the Enterprise Singapore website.
- Await approval from Enterprise Singapore.
- Purchase and implement the PSG solution or equipment.
- Submit claims for reimbursement of qualifying costs.
The application process typically takes four to six weeks, but it may take longer depending on the complexity of the project and the volume of applications received.
Monitoring and Evaluation of PSG Projects
PSG projects are monitored and evaluated to ensure that they meet the desired outcomes of improving productivity and competitiveness. The vendors are required to report on the outcomes of the PSG projects they undertake. Businesses that receive PSG funding may be required to participate in surveys to evaluate the effectiveness of the PSG program.
Examples of Successful PSG Projects
The Productivity Solutions Grant (PSG) in Singapore has proven to be a valuable resource for businesses looking to improve their productivity through the adoption of digital solutions and equipment.
Here are some examples of successful PSG projects that have been implemented in various industries.
- A café in Singapore received PSG funding to implement a point-of-sale system, which helped to streamline its operations and increase efficiency. With the new system in place, the café was able to improve order accuracy, reduce waiting times, and track its inventory more effectively. The PSG funding provided a significant boost to the café’s business operations. Allowing it to expand its services and enhance its customer experience.
- A logistics company also received PSG funding to implement an inventory management system that helped to reduce errors and improve customer satisfaction. With the new system in place, the company was able to track its inventory in real-time, which reduced the time and resources required to manage stock levels. This led to faster turnaround times for orders, improved delivery times, and greater customer satisfaction.
- Another successful PSG project was implemented by a manufacturer that received PSG funding to purchase a new CNC (computer numerical control) machine. The new machine allowed the company to automate its production processes and increase its output capacity. With the PSG funding, the manufacturer was able to invest in the new equipment and improve its production efficiency, resulting in increased revenue and profitability.
The PSG program in Singapore has been successful in supporting businesses across various industries in adopting digital solutions and equipment to improve productivity. PSG funding has enabled businesses to invest in new technologies and equipment, leading to greater efficiencies, improved customer satisfaction, and increased revenue. With the continued support of the PSG program, businesses in Singapore can continue to innovate and grow, helping to drive the country’s economic development.