Terms Of Business Performance Research Articles

Achieving Effective Sustainable Management: A Small‐Medium Enterprise Case Study

ABSTRACTIn order to have a greater understanding of corporate social responsibility (CSR) within small to medium‐sized enterprises (SMEs), this paper investigates continual learning that has occurred in an exemplary SME. This qualitative case study used interviews, observations, and memorandums to investigate an SME that has achieved national recognition in sustainable management practices. Reflective and cyclical learning within a participative environment allowed for the internalisation of values, behaviours, beliefs, and actions required for the positive uptake of CSR and sustainable management practice. Measurable results were identified in terms of business performance that can be directly attributed to the SME's greater social and environmental engagement. This initial investigation highlights the relationship between learning, the development of organisational values that underpin CSR and improved business performance within an SME setting. Copyright © 2012 John Wiley & Sons, Ltd and ERP Environment.

Antecedents and Consequences of Green Innovation in the Wine Industry: The Role of Channel Structure

In this study, we place green innovation in a broader technology development, commercialization and distribution context to test hypotheses in three areas: (1) the internal versus external drivers of green innovation; (2) the effect of green innovation on business performance; and (3) the role of channel structures (the degree to which producers sell directly to consumers or businesses) in making green innovation more productive in terms of business performance. To test our hypotheses, data from an international survey among 123 wineries is used. Our results suggest that internal drivers, i.e. environmental management and quality management in particular, play a greater role than external drivers (e.g., government and regulatory pressures) on the adoption of green innovation strategies. Producing and using organic products and processes and recycling activities are found to have a significant direct positive impact on business performance. Our results also confirm the moderating effect of channel structures: the benefits of green innovation in terms of business performance are larger when firms use more direct sales channels (selling wine directly from the wine cellar to consumers and businesses).

The Relationship Between Learning Orientation And Business Performance And The Moderating Effect Of Competitive Advantage: A Service Organization Perspective

This study examines the influence of learning orientation on business performance (the achievement of sales and profit objectives) in the context of pure service. The conceptual framework used in this research has been drawn from marketing, finance, and organizational behavior theory. Specifically, relationships related to learning orientation, sources of competitive advantage, and business performance have been identified. This research develops and tests a framework about learning orientation and its consequences in an organization. Specifically, this study focused on several research questions, including: 1)Is there a relationship between learning orientation and business performance in terms of the achievement of sales and profit objectives in pure service and service-reliantorganizations?, 2) Is there a relationship between learning orientation and competitive advantage in pure service and service-reliant organizations?, and 3) Does competitive advantage moderate the relationship between learning orientation and business performance in pure service and service-reliant organizations?A survey-based research methodology is used to explore these research questions and pertinent findings reported in the light of previous studies (Martinette, 2006, Martinette and Obenchain-Leeson, 2010).The findings of this study suggested that competitive advantage moderates the relationship between learning orientation and business performance in pure service and service-reliant organizations.

A level playing field: social inclusion in public leisure

PurposeThe transfer to partnership in public sector management has created significantly new modes of service delivery, and is suggested to be the best means of ensuring that disadvantaged groups are socially included. The purpose of this paper is to examine New Leisure Trust (NLT) structures in public leisure provision relative to direct, in‐house managed facilities and privately run Leisure Management Contractor (LMC) facilities. In particular, NLTs receive significant government funds and subsidies through tax breaks that are not forthcoming to rivals, which raises questions as to whether NLTs deserve such aid for delivering upon the social inclusion agenda of the government.Design/methodology/approachThe research involved a national survey questionnaire to 1,060 public leisure service providers in England. Empirical testing through multiple analysis of variance and regression analysis was applied to the dataset.FindingsThe authors find that NLTs do not follow social orientation strategies to any significantly greater degree than rivals, nor seem to create social inclusion to any greater degree. Further, NLTs have the least to gain in terms of business performance from creating social inclusion, whilst in‐house (in particular) and LMC facilities stand to gain the most.Practical implicationsThough each approach to provision examined places a considerable strategic emphasis on being socially oriented, they are not effective at increasing the social inclusion of recreationally disadvantaged groups.Originality/valueThis paper calls for the current public leisure management playing field to be levelled in a rebalance of opportunity and investment through the removal of anti‐competitive measures.

IMPACT OF CROSS-BORDER M&AS ON FIRM EMPLOYMENT THE CASE OF CROATIA

Some of the most important aspects of globalization refer to free capital flows and internationalization of firm ownership. This paper reports on some preliminary observations considering two important phenomena that will influence future Croatian economic development: cross-border M&As and employment. So far, in the case of Croatia, cross-border M&As had attracted interest primarily as a source of fresh capital that would nurture future investments in technology, products and markets. Considering the shortage of capital and the slow rate of restructuring underwent by Croatian companies in the nineties, it was only natural that macroeconomic issues relating to capital flows (FDI), gross fixed capital formation and employment would dominate discussion. The issue of relinquishing control that comes along the acquisition of ownership stakes of Croatian companies by foreign owners has come under criticism only more recently. Without providing any final conclusion on the net benefits of cross- border M&As we tried to raise some evidence on the behavior of foreign owners as compared to domicile owners. In this paper we focus on employment, first because we believe employment may serve as an indicator of “broad” social impact of cross- border M&As and second, because of methodological reasons. We analyzed company data provided by the Croatian Securities Exchange (now HANFA). We found that it is not so much the type (nationality) of owners that affects labor practices, but first and utmost, business performance in terms of profits and losses.

Strategic Alliances In Public Accounting Firms

<p class="MsoBodyText2" style="margin: 0in 0.5in 0pt;"><span style="font-family: Times New Roman;"><span style="font-size: 10pt; mso-bidi-font-style: italic;" lang="EN">The decade of the 1990s saw the emergence of the concept of the strategic alliance and its significant growth in both numbers and diversity of alliance areas as well as its impact on business performance in terms of new service or product introductions and/or increases in revenue, profit, volume or market share.<span style="mso-spacerun: yes;">  </span>Public accounting (CPA) firms have participated in such alliances especially during times of staffing shortages and seasonal peak periods, but their participation has not been well reported in the literature.<span style="mso-spacerun: yes;">  </span>This study examines the state of strategic alliances in public accounting firms.<span style="mso-spacerun: yes;">  </span>The topic is particularly relevant now in light of the greater responsibilities placed on management since the passage of the Sarbanes-Oxley Act, and the issuance recently of two Statements of Financial Accounting Standards (SFAS No. 157 in 2006 and SFAS No. 159 in 2007) which give companies the option to report certain financial assets and liabilities at fair value.<span style="mso-spacerun: yes;">  </span>These additional responsibilities may include the restructuring and restatement of financial reports to more accurately reflect the financial position and results of operations of a business.<span style="mso-spacerun: yes;">  </span>This has resulted in a greater demand for accounting services which some CPA firms were not able to provide.<span style="mso-spacerun: yes;">  </span>The findings reveal that participation in</span><span style="font-size: 10pt; mso-ansi-language: EN-US; mso-bidi-font-style: italic;"> strategic alliances enables accounting firms to pool their resources, increase revenues, build a larger knowledge support system to serve a wider clientele, and compete with larger firms both nationally and on a global basis.</span></span></p>

A perusal of extant literature on market orientation – concern for its implementation

Market orientation has been defined distinctly from a marketing perspective but has been repeatedly discussed as the implementation of the marketing concept and the majority of the literature on market orientation has figured in the Journals of Marketing. Further, in a majority of writings on market orientation, the entire focus is on external market, viz., consumers and competitors, thereby ignoring internal customers’ satisfaction. While no unanimity has been reached with regard to the market orientation construct, Kohli and Jaworski, and Narver and Slater have developed two dominant measures, which have been considered incomplete on account of one or other loophole. The relationship between market orientation and business performance in terms of objective measures could not be strengthened. Moreover, the implementation of market orientation has not been addressed satisfactorily and concretely. At the end, knowledge management has been suggested as a mean for effective generation and dissemination of the market intelligence. Further, a scientific approach has also been proposed for the implementation of market orientation.

A socio-technical approach to business process simulation

This paper describes a socio-technical approach to business process redesign through the investigation of complex interactions and dependencies among humans and IT systems of organisations. The focus is on the need to assess business process performance early in the redesign process, to prevent organisational failures. The method is based on human performance quantification and is supported by a tool that enables scenario-based evaluation of prospective organisational processes through simulation. The approach combines probabilistic and subjective measures of tasks and communication acts in business processes to quantify business performance in terms of cycle time. The approach models business processes as a set of scenarios of sequential activities where the dependencies between actors, IT systems and tasks are explicitly defined. Business process performance assessment is achieved through a systematic walkthrough of the process model using these scenarios. Human performance constitutes an important parameter to business process performance and is modelled based on Human Performance Shaping Factors (PSF) and assessed using Bayesian Belief Networks (BBN). Process cycle time is calculated using aggregates of task and communication completion times, and calibrated using performance estimates of each of the agents in the scenario. The method enables trade-off analysis among candidate process models and identification of performance bottlenecks early in the design phase. A radiology process improvement case study is presented that demonstrates the use of the method and the tool.

Applying Six Sigma Techniques to Training Programs

Six Sigma has been a popular business concept since Bill Smith of Motorola popularized it in the mid-1980s and Jack Welch of GE made it a household name in the 1990s. A recent search on Amazon.com yielded 561 books with Six Sigma in the title published since 1980. Basically, Six Sigma is a process for quantifying business performance in terms of the variability of product, process, or service quality. The goal of this approach is to reduce the overall number of defects as defined by stakeholder (customer or organizational) expectations. Although Six Sigma has been popular in many areas of business, Kaliym A. Islam argues in Developing and Measuring Training the Six Sigma Way: A Developing and Measuring Training the Six Sigma

Exploring the potential of high performance work systems in SMEs

PurposeAims to explore aspects of employee relations in firms included withinThe Sunday Timeslist of the UK's “Best Small Companies to Work For”, focusing in particular on the use of high performance work systems (HPWS), and the way they impact upon performance in these businesses.Design/methodology/approachThe research is based upon a postal survey supplemented by detailed face‐to‐face interviews with CEOs in 60 per cent of the ranked firms.FindingsThe SMEs studied are found to be highly successful in terms of sales and employment growth. Our analysis suggests that the common explanation for enhanced business performance in terms of HPWS (coherent bundles of human resource management practices that function synergistically and thus have more effect than might be expected from the sum of the parts) is a valid but partial. The bundles employed in these businesses are synergetic, but the enhanced outcomes produced need to be understood in terms of the system as a whole, not just the more concrete practices that are normally considered.Research implications/limitationsWhile there is a need to explore further some of the findings through larger scale qualitative research, we contend that the deeper understanding of HPWS emerging from this approach is important to the formation of effective policy in relation to the small business sector.Originality/valueIt is suggested that the cultures, values and norms established within the businesses are necessarily part of the system and that they play a fundamental role in shaping, empowering and reproducing the practices used.

The relationships between quality, innovation and business performance: an empirical study

This paper examines the relationship between product quality, product innovation and process innovation, and the relationship between these three operational performance measures and business performance in terms of sales, profitability and market share. The impetus for this study was driven by an argument that propounds quality and innovation are two elements that compete with each other, and that firms need to make a trade-off decision between them. In conjunction with this, another argument suggests that quality is increasingly being 'downgraded' into an order qualifier criteria and innovation is taking over as the order winner. Using empirical data drawn from 194 managers in Australian firms, the results indicate that there are strong and positive relationships between product quality and process innovation. Similar relationships also occur between product innovation and process innovation. However, the relationship between product quality and product innovation appears to be relatively weak, especially with respect to specific elements. Further to this, the results indicate that process innovation shows strongest relationship with business performance, followed by product innovation and product quality. At the surface level, this finding provides support for the above argument that quality is relatively inferior in its impact on business performance compared to innovation.

Illegal entrepreneurship experience: Does it make a difference for business performance and motivation?

Existing studies show a positive relationship between entrepreneurs' business performance and their conventional human capital as measured by previous business experience and formal education. In this paper, we explore whether illegal entrepreneurship experience (IEE), an unconventional form of human capital, is related to the performance and motivation of entrepreneurs operating legal businesses in a transition context. Using regression techniques on a sample of 399 private business owners in Lithuania, we find that, in general, IEE is significantly and positively associated with subjective measures of business motivation. Moreover, younger entrepreneurs benefit from their IEE in terms of business performance, indicating that they have been more successful than older entrepreneurs in transferring their IEE to a market oriented setting. In addition, IEE and business performance are positively related for entrepreneurs who started completely new legal businesses. Thus, our research partially supports the notion that prior experience in the black or gray market may signal and provide valuable human capital for legal enterprising.

Linking financial performance to strategic orientation and operational priorities

PurposeAims to investigates the relationship of strategic choices of pure cost‐, pure differentiation‐, or a combination‐strategy on a composite measure of financial performance for third‐party logistics (3PL) providers in Hong Kong. In addition, it seeks to identify the importance of operations priorities underlying the respective adopted strategy, as well as the importance given to future competitive challenges for each strategy.Design/methodology/approachUses cluster analysis, ANOVA.FindingsLogistics service providers classified to follow different strategies report different financial performance, with companies adhering to the combined strategy of cost and differentiation performing best, followed by pure differentiation companies, which in turn outperform pure cost‐, commodity driven‐companies.Research limitations/implicationsFuture research may be widened to include customer, and not solely competitor, perceptions. Further studies could elaborate on technology adoption, information sharing, strategy formulation, operations practices, and benchmarking. Other studies could focus on the differences between high and low performers in terms of business performance, and the processes that enable low performers to become high performers; as well as comparing logistics strategies and practices between different countries.Practical implicationsThird‐party logistics providers, solely competing on cost and offering basic services only, need to differentiate to gain improved financial performance. Logistics companies can improve along multiple operational dimensions to achieve competitive advantage in the marketplace. Research identifies operational areas to be emphasized to drive strategy according to strategic orientation, as well as generic factors that will drive future logistics management in Hong Kong.Originality/valueLinking perceived financial performance to strategic choices of pure cost‐, pure differentiation‐, or a combination‐strategy for 3PL providers in Hong Kong.

Illegal Entrepreneurship Experience

Existing studies show a positive relationship between entrepreneurs’ business performance and their conventional human capital as measured by previous business experience and formal education. In this paper, we explore whether illegal entrepreneurship experience (IEE), an unconventional form of human capital, is related to the performance and motivation of ntrepreneurs operating legal businesses in a transition context. Using regression techniques on a sample of 399 private business owners in Lithuania, we find that, in general, IEE is significantly and positively associated with subjective measures of business motivation. Moreover, younger entrepreneurs benefit from their IEE in terms of business performance, indicating that they have been more successful than older entrepreneurs in transferring their IEE to a market oriented setting. In addition, IEE and business performance are positively related for entrepreneurs who started completely new legal businesses. Thus, our research partially supports the notion that prior experience in the black or gray market may signal and provide valuable human capital for legal enterprising.

Developing a business case for knowledge management: the IMPaKT approach

There is a wealth of literature on the role of knowledge management (KM) in business improvement. Those with responsibility for implementing KM in organizations are often required to demonstrate its benefits. The need to convince senior management and other stakeholders about the business benefits is increasingly recognized as crucial in justifying a KM strategy and the resources to support its implementation. A three-stage approach (the IMPaKT framework) - underpinned by an industry survey and case study findings - is presented for developing a business case for KM. The framework facilitates: (1) an understanding of the strategic context of business problems and their knowledge management implications; (2) the planning and alignment of KM strategy to address business problems or objectives; and (3) an evaluation of the impact of KM on business performance in terms of effectiveness and efficiency. Key findings based on industrial application and further development of the framework are discussed. Evaluation shows that the framework could significantly facilitate the implementation of a KM strategy in construction organizations.

Access all areas [Internet access

Easy accessibility to electronically delivered services and information is now a key requirement in UK law. Are our Web sites and Web services closed to users with disabilities? When it comes to the Internet it can seem to many users as if discrimination is still as widespread as ever, and even something as common as poor eyesight can render some Web sites unusable. As more organisations turn to the Web as a key way of deploying services and their reducing their dependence on front-line staff in physical offices, the issue of accessibility becomes not just important in terms of ethics but in terms of business performance and legal requirements. The relevant piece of legislation is Section III of the Disability Discrimination Act 1995 and its associated Code of Practice. Organisations are, with very few exceptions, required to make "reasonable adjustments" to any practices, policies or procedures that would make it difficult or impossible for a person with a disability to use a service, although there is no definition of "reasonable" in the Act.

Relationship between total productive maintenance and performance

Increased global competition has augmented the importance of total productive maintenance (TPM) in obtaining and maintaining a competitive advantage. More and more organizations are seeking proactive tools such as TPM to enhance their competitive position. The paper focuses on gaining insights into the impact of TPM on the performance of the organization. There is support for a positive correlation between TPM and business performance. There is also a positive correlation between TPM and business performance shown by all the six general constructs of corporate planning, top management leadership, human resource focus, process focus, total quality management focus and information system focus, and the three specific constructs of TPM strategies, TPM teams and TPM process focus. Clearly, this indicates the need for TPM to be an integrated effort for the entire organization. In addition, experienced and large TPM firms fare better in terms of business performance while there are no differences in the performance of manufacturing and services.

Using an HRM pattern approach to examine the productivity of manufacturing firms – an empirical study

Manufacturing firms are always faced with the problem of promoting operational performance and labor‐force management. The utilization of human resources is closely correlated with operations and production performance. This study investigates the correlation between human resource management (HRM) and business performance of large‐scale manufacturing firms in Taiwan. First, 16 subjects of HRM are designed to survey the importance level and achievement level of HRM by the sample firms. Productivity indices are also defined to measure business performance. Based on the survey, four critical HRM factors including 12 subjects are extracted by factor analysis. The difference between importance level and achievement level of subjects contained in each factor is examined. Furthermore, considering importance and achievement levels of HRM as features, fuzzy clustering analysis is employed to categorize the firms into four patterns. With various HRM characteristics, each pattern has different business performance in terms of productivity. Using a pattern approach, these findings can aid the firms in each pattern to improve their productivity by improving their HRM strategies.

The analysis of the apparel supply chain systems with specific reference to the Korean apparel organisations of the overseas and domestic brand products

Case studies of apparel organisations, in two broadly distinguishable market groups in South Korea have been conducted for this research. One of the case study organisations,company A, sells high fashion knit wear products manufactured by a foreign supplier and the other,company B, deals fashionable ladies wear supplied by 8 to 10 domestic apparel manufacturers. The study identifies common issues and differences between these dissimilar apparel companies in their respective supply chain systems. The selected apparel systems were analysed and categorised into four sectors, i.e.: production management, product distribution management, customer buying behaviour analysis and the evaluation of business performance in terms of both quantity and quality. The analysis was conducted as a pre-cursor to simulation studies to investigate the effects of apparel supply chain control parameters on the relevant business performance. The predominant costs are the product cost and the outlet rent, both of which reflect the product volumes ordered. The forecast errors are high for both apparel companies. Therefore, improving the forecasting techniques should significantly reduce the costs and improve the profits. The data derived from the case studies can contribute new information on the globalised supply chain study area, especially the approach to compare the international to domestic apparel entrepreneurs’ activities/finances will be a useful guideline to compare relevant supply chain systems in other countries as well as in Korea.

Factors influencing adoption of NVQs in small hospitality businesses

Against a background of the potential suitability, yet limited adoption, of National Vocational Qualifications (NVQs) in small hospitality businesses, reports the findings and conclusions of a study of five small businesses in the hospitality industry which had adopted NVQs. Discusses the preconditions, processes, outcomes, problems and issues associated with NVQ adoption and implementation. Suggests that success is more likely where there is an existing training culture and infrastructure; where on‐job training is positive, supportive and monitored; and there is a senior management NVQ “champion” and an enthusiastic team of in‐house trainers and potential assessors. Shows NVQs to give a sharper focus to training activity; improve candidates’ perceived job satisfaction, morale and career prospects; enhance work flexibility and performance; and to have a perceived, if difficult to measure, pay‐off in terms of business performance. Proposes that the potential contribution of NVQs to training and human resource management in small hospitality businesses is considerable.