Adoption of Imitation Modeling Tools in Industrial Small and Medium Enterprises: Value Creation and Competitive Advantage

Abstract

Currently, value creation is considered as a major part of strategic planning and a source of competitive advantage. Competition increases and customers ask for higher service level, but resources are always limited. Small and medium enterprises (SMEs) often face the enlarged requirements of rapid changes created by the modern economic tendencies. Therefore, businesses should react promptly and without spending excessive resources (otherwise SMEs may simply stop existing). On this issue, imitation modeling tools give a considerable advantage to SMEs: almost any decisions of strategic or operational management levels can be tested before implementing real business processes. The research question arises at the point of defining the conceptual framework for testing, adopting and implementing new practices (such as digital technologies and projects) with imitation modeling tools. Currently, business excellence often depends on how and at what extent digital solutions transform the traditional way of managing operations. This study is focused on considering many factors influencing logistics business processes in SMEs. The adjusted three-zone model is suggested for achieving operational excellence in industrial SMEs with imitation modeling tools. The suggested approach is based upon the triple bottom line concept, and creates value from several perspectives: economic, social and environmental.