Abstract
The hasty pace of globalization depicted by fundamental changes in the production technologies is utterly altering international trade. Furthermore, the rapid technological transformation requires organizations to refer to quality improvement while introducing innovative services and products. The following study scrutinizes the role of quality improvement in the innovation within the SMEs operating throughout Latvia. The nature of the study is quantitative and the views of SMEs representatives were captured via an online survey. SMEs operating in the field of manufacturing and retail in Latvia were selected for the participation in the study. As the research results reveal, quality improvement is considered as an important factor upon which innovative activities are implemented. Besides, in the rapidly changing consumer needs, product quality improvement is seen as a process of modifying and redesigning the products and services to satisfy well swiftly fluctuating demands for SMEs. In addition, our research discloses that the major sectors in Latvia within which quality management systems certification was requested were: construction, transportation, communication, wholesale and retail trade. Furthermore, research findings show that financing of productive capacity is central to any development strategy, but access to finances still remains a major obstacle for SMEs.
Highlights
In this rapidly changing world, customer demands evolve and proposing innovative products and services tend to be pivotal for organizations
The research conducted by Vasilevska and Rivza identified that problems related to the operation of quality management systems in SMEs were: financial expenditures necessary for staff training and certifications, as well as long term implementation of the system and sustaining and maintaining the system in place [16]
In order to examine the quality management system, it is advisable to scrutinize the results of the Survey for 2019 which shows an estimation of the number of valid certificates issued by the International Organization for Standardization (ISO)
Summary
In this rapidly changing world, customer demands evolve and proposing innovative products and services tend to be pivotal for organizations. Innovation management implies that a firm’s structure, norms and practices might evolve for the purpose of establishing technological and innovative base upon which competitive advantage is gained [2]. Continuous improvement relies on the enhancement of existing products and services. SMEs, known as a heterogeneous population of firms have an impact upon process of innovation and to economies. The SMEs that are present in high technological industries rely on science based knowledge to practice innovation. The role of SMEs is meaningful in job creation and in economic development. They account for more than 90% of businesses and above 50% of employment globally. Putting emphasis on the area of cross-border, e-commerce and focusing on productivity, growth and export tend to be fundamental to the development of Latvian economy [10]
Sign-in/Register to view highlights & summary Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
