Abstract: Although the importance of small and medium-size enterprises (SMEs) to local development is globally recognized, less attention is given to their design, development and promotion particularly in developing countries. The main focus of this paper is to examine the process of designing, developing and promoting SMEs in developing countries. Results of a study conducted in a SMEs’ enclave in Kumasi (Ghana) are presented and discussed. Results show that although SMEs in developing countries remain a major source of livelihood for many individuals, their potential contribution to local development can be enhanced and sustained through the creation of common geographical enclaves for related SMEs. Findings indicated that the concentration of SMEs involved in wood processing in one location in Kumasi has reduced the cost of production (e.g., transportation), and resulted in marginal increase in sales for many SMEs, despite the widespread challenges of lack of access to credit and low promotion of products.
Abstract: This paper explain about prototype of a business directory for micro-scale businesses, small and medium enterprises (SMEs), the third phase of the research. The third phase is the phase of software development based on the model of SME business directory that had been developed, to create prototype software SME business directory. In the fourth phase, namely the implementation, these units have been developed are tested to obtain input from potential users. The fifth phase is the testing phase to determine the strengths and weaknesses of software has been developed. The result of this phase is the software in the form of on-line (web based) and multimedia-based. Business Directory, if implemented will facilitate and optimize the access of SMEs to ease supplier access to marketing. Business Directory will be equipped with the power of geocoding, so each location can be easily viewed SMEs on the map. The map will be constructed by using the functionality of a web-based Google Maps API. The information presented in the form of multimedia that can be more interesting and interactive. Methodology used to achieve the goal: observation, interviews, modeling and classifying business directory for SMEs.
Abstract: This paper explain about analysis and design a business directory for micro-scale businesses, small and medium enterprises (SMEs). Business Directory, if implemented will facilitate and optimize the access of SMEs to ease suppliers access to marketing. Business Directory will be equipped with the power of geocoding, so each location can be easily viewed SMEs on the map. The map will be constructed by using the functionality of a webbased Google Maps API. The information presented in the form of multimedia that can be more interesting and interactive. The method used to achieve the goal are: observation; interviews; modeling and classifying business directory for SMEs.
Abstract: Development of a Robust Supply Chain for Dynamic
Operating Environment as we move further into the twenty first
century, organisations are under increasing pressure to deliver a high
product variation at a reasonable cost without compromise in quality.
In a number of cases this will take the form of a customised or high
variety low volume manufacturing system that requires prudent
management of resources, among a number of functions, to achieve
competitive advantage. Purchasing and Supply Chain management is
one of such function and due to the substantial interaction with
external elements needs to be strategically managed. This requires a
number of primary and supporting tools that will enable the
appropriate decisions to be made rapidly. This capability is
especially vital in a dynamic environment as it provides a pivotal role
in increasing the profit margin of the product. The management of
this function can be challenging by itself and even more for Small
and Medium Enterprises (SMEs) due to the limited resources and
expertise available at their disposal.
This paper discusses the development of tools and concepts
towards effectively managing the purchasing and supply chain
function. The developed tools and concepts will provide a cost
effective way of managing this function within SMEs. The paper
further shows the use of these tools within Contechs, a manufacturer
of luxury boat interiors, and the associated benefits achieved as a
result of this implementation. Finally a generic framework towards
use in such environments is presented.
Abstract: One of the biggest problems of SMEs is their tendencies to financial distress because of insufficient finance background. In this study, an Early Warning System (EWS) model based on data mining for financial risk detection is presented. CHAID algorithm has been used for development of the EWS. Developed EWS can be served like a tailor made financial advisor in decision making process of the firms with its automated nature to the ones who have inadequate financial background. Besides, an application of the model implemented which covered 7,853 SMEs based on Turkish Central Bank (TCB) 2007 data. By using EWS model, 31 risk profiles, 15 risk indicators, 2 early warning signals, and 4 financial road maps has been determined for financial risk mitigation.
Abstract: Under the difficult access to finance of SMEs, they expect that its relationship with the banks shall constitute a real help to access appropriate financing, at reasonable costs and requirements, given the possibility of mutually beneficial and long lasting relation. The literature, but also the research we have carried on, is centered on such determinants as concentration and the length of the relationship, but at the same time, there is little certainty that banks are responding positively to them. Furthermore, although the trust is considered as being a fundamental element of bank relationship – see the case house bank – SMEs find that the banks finance them looking rather on collaterals and covenants than to trust. Moreover, a positive behavior, such as prompt or advance repayments of loans, doesn-t generate any positive feedback from the banks side. All these show a deep un-satisfaction of the SMEs concerning their relationship banking.
Abstract: The availability of broadband internet and increased
access to computers has been instrumental in the rise of internet
literacy in Malaysia. This development has led to the adoption of
online shopping by many Malaysians. On another note, the
Government has supported the development and production of local
herbal products. This has resulted in an increase in the production and
diversity of products by SMEs. The purpose of this study is to
evaluate the influence of the Malaysian demographic factors and
selected attitudinal characteristics in relation to the online purchasing
of herbal products. In total, 1054 internet users were interviewed
online and Chi-square analysis was used to determine the relationship
between demographic variables and different aspects of online
shopping for herbal products. The overall results show that the
demographic variables such as age, gender, education level, income
and ethnicity were significant when considering the online shopping
antecedents of trust, quality of herbal products, perceived risks and
perceived benefits.
Abstract: The success of IT-projects concerning the
implementation of business application Software is strongly
depending upon the application of an efficient requirements
management, to understand the business requirements and to realize
them in the IT. But in fact, the Potentials of the requirements
management are not fully exhausted by small and medium sized
enterprises (SME) of the IT sector. To work out recommendations for
action and furthermore a possible solution, allowing a better exhaust
of potentials, it shall be examined in a scientific research project,
which problems occur out of which causes. In the same place, the
storage of knowledge from the requirements management, and its
later reuse are important, to achieve sustainable improvements of the
competitive of the IT-SMEs. Requirements Engineering is one of the
most important topics in Product Management for Software to
achieve the goal of optimizing the success of the software product.
Abstract: In this paper, a data mining model to SMEs for detecting financial and operational risk indicators by data mining is presenting. The identification of the risk factors by clarifying the relationship between the variables defines the discovery of knowledge from the financial and operational variables. Automatic and estimation oriented information discovery process coincides the definition of data mining. During the formation of model; an easy to understand, easy to interpret and easy to apply utilitarian model that is far from the requirement of theoretical background is targeted by the discovery of the implicit relationships between the data and the identification of effect level of every factor. In addition, this paper is based on a project which was funded by The Scientific and Technological Research Council of Turkey (TUBITAK).
Abstract: There is limited evidence from various countries
about the possible impact of various criteria to be used to determine
the scope of the IFRS for SMEs issued in 2009 and, research is
needed in this area. We provide evidence from Romania, an
emerging economy member of the European Union. The aim of this
paper is to analyze in a local setting if size is a relevant factor for
deciding between local and global standards for SMEs. Our results
indicate that size is a moderate indicator of the existence of possible
users interested in financial statements and that there is a difference
between the scopes of the standard determined on various criteria..
Also, we suggest that the international exposure is quite reduced in
the case of SMEs, but is sufficient to suggest that at least some SMEs
would benefit from international comparability of financial
statements
Abstract: The IFRS for Small and Medium-sized Entities
(SMEs) was issued in July 2009 and currently regulators are
considering various implementation strategies of this standard.
Romania is a member of the European Union since 2007, thus
accounting regulations were issued in order to ensure compliance
with the European Accounting Directives. As the European
Commission rejected recently the mandatory use of IFRS for SMEs,
regulatory bodies from the Member States have to decide if the
standard will affect or not the accounting practices of SMEs from
their countries. Recently IASB invited stakeholders to discuss the
revision of IFRS for SMEs. Empirical studies on the differences and
similarities between national standards and IFRS for SMEs could
inform decision makers on the actual level of convergence in
different countries. The purpose of this paper is to provide empirical
evidences on the convergence of the Romanian regulations with IFRS
for SMEs analyzing the results in the context of the last revisions
proposed to the EU Accounting Directives.
Abstract: Small and Medium Sized Enterprises (SMEs) play an important role in many economies. In New Zealand, for example, 97% of all manufacturing companies employ less than 100 staff, and generate the predominant part of this industry sector-s economic output. Manufacturing SMEs as a group also have a significant impact on the environment. This situation is similar in many developed economies, including the European Union. Sustainable economic development therefore needs to strongly consider the role of manufacturing SMEs, who generally find it challenging to move towards more environmentally friendly business practices. This paper presents a systems thinking approach to modelling and understanding the factors which have an influence on the successful uptake of environmental practices in small and medium sized manufacturing companies. It presents a number of causal loop diagrams which have been developed based on primary action research, and a thorough understanding of the literature in this area. The systems thinking model provides the basis for further development of a strategic framework for the successful uptake of environmental innovation in manufacturing SMEs.
Abstract: In the current economy of increasing global
competition, many organizations are attempting to use knowledge as
one of the means to gain sustainable competitive advantage. Besides
large organizations, the success of SMEs can be linked to how well
they manage their knowledge. Despite the profusion of research
about knowledge management within large organizations, fewer
studies tried to analyze KM in SMEs.
This research proposes a new framework showing the determinant
role of organizational dimensions onto KM approaches. The paper
and its propositions are based on a literature review and analysis.
In this research, personalization versus codification,
individualization versus institutionalization and IT-based versus non
IT-based are highlighted as three distinct dimensions of knowledge
management approaches.
The study contributes to research by providing a more nuanced
classification of KM approaches and provides guidance to managers
about the types of KM approaches that should be adopted based on
the size, geographical dispersion and task nature of SMEs.
To the author-s knowledge, the paper is the first of its kind to
examine if there are suitable configurations of KM approaches for
SMEs with different dimensions. It gives valuable information, which
hopefully will help SME sector to accomplish KM.
Abstract: The objectives of this research paper were to study the
influencing factors that contributed to the success of electronic
commerce (e-commerce) and to study the approach to enhance the
standard of e-commerce for small and medium enterprises (SME).
The research paper focused the study on only sole proprietorship
SMEs in Bangkok, Thailand. The factors contributed to the success
of SME included business management, learning in the organization,
business collaboration, and the quality of website. A quantitative and
qualitative mixed research methodology was used. In terms of
quantitative method, a questionnaire was used to collect data from
251 sole proprietorships. The System Equation Model (SEM) was
utilized as the tool for data analysis. In terms of qualitative method,
an in-depth interview, a dialogue with experts in the field of ecommerce
for SMEs, and content analysis were used.
By using the adjusted causal relationship structure model, it was
revealed that the factors affecting the success of e-commerce for
SMEs were found to be congruent with the empirical data. The
hypothesis testing indicated that business management influenced the
learning in the organization, the learning in the organization
influenced business collaboration and the quality of the website, and
these factors, in turn, influenced the success of SMEs. Moreover, the
approach to enhance the standard of SMEs revealed that the majority
of respondents wanted to enhance the standard of SMEs to a high
level in the category of safety of e-commerce system, basic structure
of e-commerce, development of staff potentials, assistance of budget
and tax reduction, and law improvement regarding the e-commerce
respectively.
Abstract: The use of e-business in small and medium-sized
enterprises (SMEs) has been recently received an enormous attention
in information systems research by both academic and practitioners.
With the adoption of new and efficient technologies to enhance
businesses, Thai SMEs should be able to compete worldwide.
Unfortunately, most of the owners are not used to new technologies.
It is clear that most Thai SMEs prefer to work manually rather than
electronically. This paper aims to provide a fundamental conceptual
framework for E-business adoption by Thai SMEs. Rooted in
Knowledge transfer model, several factors are identified, which drive
and enable e-business adoption. By overlooking the benefits
associated with implementing new technologies, it is difficult for
Thai SMEs to perform well enough to compete globally. The paper
also helps Thai SMEs to understand factors related to E-business
adoption.
Abstract: The company-s ability to draw on a range of external
sources to meet their needs for innovation, has been termed 'open
innovation' (OI). Very few empirical analyses have been conducted
on Small and Medium Enterprises (SMEs) to the extent that they
describe and understand the characteristics and implications of this
new paradigm.
The study's objective is to identify and characterize different
modes of OI, (considering innovation process phases and the variety
and breadth of the collaboration), determinants, barriers and
motivations in SMEs. Therefore a survey was carried out among
Italian manufacturing firms and a database of 105 companies was
obtained. With regard to data elaboration, a factorial and cluster
analysis has been conducted and three different OI modes have
emerged: selective low open, unselective open upstream, and mid-
partners integrated open. The different behaviours of the three
clusters in terms of determinants factors, performance, firm-s
technology intensity, barriers and motivations have been analyzed
and discussed.
Abstract: The use of Electronic Commerce (EC)
technologies enables Small Medium Enterprises (SMEs) to improve their efficiency and competitive position. Much of the literature proposes an extensive set of benefits for
organizations that choose to adopt and implement ECommerce
systems. Factors of Business –to-business (B2B)
E-Commerce adoption and implementation have been
extensively investigated. Despite enormous attention given to encourage Small Medium Enterprises (SMEs) to adopt and
implement E-Commerce, little research has been carried out in identifying the factors of Business-to-Consumer ECommerce adoption and implementation for SMEs. To conduct the study, Tornatsky and Fleischer model was adopted
and tested in four SMEs located in Christchurch, New
Zealand. This paper explores the factors that impact the
decision and method of adoption and implementation of ECommerce
systems in automobile industry. Automobile
industry was chosen because the product they deal with i.e.
cars are not a common commodity to be sold online, despite this fact the eCommerce penetration in automobile industry is
high. The factors that promote adoption and implementation of
E-Commerce technologies are discussed, together with the
barriers. This study will help SME owners to effectively
handle the adoption and implementation process and will also
improve the chance of successful E-Commerce
implementation. The implications of the findings for
managers, consultants, and government organizations engaged in promoting E-Commerce adoption and implementation in
small businesses and future research are discussed.
Abstract: This paper presents the research agenda that has been proposed to develop an integrated model to explain technology adoption of SMEs in Malaysia. SMEs form over 90% of all business entities in Malaysia and they have been contributing to the development of the nation. Technology adoption has been a thorn issue among SMEs as they require big outlay which might not be available to the SMEs. Although resource has been an issue among SMEs they cannot lie low and ignore the technological advancements that are taking place at a rapid pace. With that in mind this paper proposes a model to explain the technology adoption issue among SMEs.
Abstract: The area of knowledge management has been in the
highlight for enterprises over the past three decades. Many
enterprises would like to have knowledge management and work hard
to achieve it, however they are often confused about which direction
to take to be successful and this point is especially true for Small and
Medium Enterprises (SMEs) in developing countries. Many large
companies have realized that knowledge is one of the richest
resources which an organization possesses and knowledge
management is a part of the foundation for a sustainable competitive
advantage. Much work has been done in the area of knowledge
management, but most of it has served large enterprises. This
research provides a Model of knowledge management strategy for
SMEs. It is based on analysis, insights and recommendations and it is
presented so that SMEs in developing countries can easily understand
and implement this model.
Abstract: The goal of this research is discovering the
determinants of the success or failure of external cooperation in small
and medium enterprises (SMEs). For this, a survey was given to 190
SMEs that experienced external cooperation within the last 3 years. A
logistic regression model was used to derive organizational or strategic
characteristics that significantly influence whether external
collaboration of domestic SMEs is successful or not. Results suggest
that research and development (R&D) features in general
characteristics (both idea creation and discovering market
opportunities) that focused on and emphasized indirected-market
stakeholders (such as complementary companies and affiliates) and
strategies in innovative strategic characteristics raise the probability of
successful external cooperation. This can be used meaningfully to
build a policy or strategy for inducing successful external cooperation
or to understand the innovation of SMEs.