Employees Of SMEs Research Articles

The effect of digital procurement and supply chain innovation on SMEs performance

Technological changes accompanied by rapid market changes have made it increasingly difficult for SMEs to develop their business in the future. Today, many organizations are shifting to e-procurement as an integrated supply chain support function to achieve strategic business goals. E-procurement or electronic procurement and supply chain Innovation have allowed for more flexibility in responding to market changes and improving the performance of the company's supply chain. The purpose of this study was to determine the impact of the implementation of e-procurement and supply chain innovation on the supply chain performance of SMEs in Indonesia. The method used in this study is a quantitative survey method using structural equation modeling (SEM) and partial least squares (PLS) with data processing tools, namely SmartPLS 3.0 software. Respondents in this study were 390 employees of SMEs in Indonesia determined by the simple random sampling method. The research data was obtained through an online questionnaire distributed through social media. From the results of the analysis, it can be concluded that the implementation of e-procurement has a significant effect on supply chain performance. Supply Chain Innovation has also a significant influence on SMEs supply chain performance.

Perception Level of Small Medium Enterprises Employees and Their Environmental Corporate Social Responsibility Practices

Purpose: The current study examines the perception level of environmental-oriented CSR practices among the employees of small-medium enterprises in the Coimbatore district of Tamil Nadu, India. Approach/Methodology/Design: It is a cross-sectional field study of environment CSR practices among SMEs employees of Coimbatore district, the western part of Tamil Nadu, India. A multistage random sampling technique is adopted. Sixty-one firms were approached to study the employees’ perception of CSR and environmental impact on CSR. The sample included 369 participants out of the total population of 9027 employees. This study follows the research methodology based on the Eco-labeling principles, designed by the European Commission 2005 Descriptive analysis, Chi-square test, Bartlett sphericity statistical tests, and Structural Equation Modeling in AMOS version 23 were used.. Findings: The results indicate the significance of SMEs employees’ perception level according to their age, gender and experience. The results reveal that CSR practices towards environments are related to employee perception level. CSR practices play a very predominant role in changing the mindset of the employees working in small-medium enterprises. Practical Implications: This study also paves a way to diverse thoughts in the exploration of the multimodal dimensions of the internal aspects and external CSR practices. Originality/value: The analysis presents the main directions of pro-environmental initiatives undertaken by enterprises and the perception of employees to understand environmental CSR. The results also indicate the differences in the most frequent pro-environmental activities of enterprises operating in the Coimbatore district of Tamil Nadu, India.

IMPROVING THE COMPETITIVENESS OF THE SMALL AND MEDIUM ENTERPRISES (SME) OF TROSO WEAVING CRAFT IN JEPARA REGENCY USING CAPITAL INTELLECTUAL ANALYSIS

The aim of the research was to analyze the management of the SMEs of Troso Weaving Craft in Jepara Regency in relation to the human resources. In order that the SMEs can compete with today’s industry, the SMEs are required to be able to run their businesses professionally and to innovate, as well as to implement new breakthroughs. Therefore, the management of the SMEs needs to develop their intellectual ability and competitive advantage for their products. Intellectual capital is the intangible resource that can be used as the source of sustainable competitive advantage. The measurement of IC associated with competitive advantage was made against the elements of human capital, structural capital and costumer capital. Hence,this research discussed a model that relates the intellectual capital of the SMEs to the competitive advantage of the SMEs of Troso Weaving Craft in Jepara Regency. For the development of the model and hypothesis, the research used the Structural Equation Modelling (SEM), by taking the samples of 157 SMEs of Troso Weaving Craft selected in simple random sampling. The analysis results show that human capital, structural capital, and customer capital have the effect on competitive advantage. It means that the improvement of the competitive advantage for Troso Weaving Craft requires trainings in the managements of production, distribution, marketing and finance for all individuals and employees of the SMEs.

How is the role of Digital Leadership and Knowledge Sharing on Performance? An Empirical Study on SMEs in Bandung West Java

The purpose of this study was to analyze the effect of Digital Leadership on the performance of SMEs and the effect of Knowledge Sharing on the Performance of SMEs in Bandung West Java. The research was conducted using a quantitative approach through a survey. The population of this study were all SMEs employees in Bandung, while the number of samples in this study was 400 people who were selected using simple random sampling. Testing the hypothesis in this study using SEM (Structural Equation Modeling) with the PLS program. The research data was obtained through the distribution of online questionnaires through social media. The results of this study are that Digital Leadership has a positive and significant effect on the performance of SMEs and the variable Knowledge Sharing has a positive and significant effect on Performance SMEs in Bandung West Java.

The Impact of Internal Control through Computerized Accounting System among Small and Medium Enterprises in Oman

Purpose: The aims of the study were to identify and evaluate the internal controls used in a computerized accounting system of the SMEs, to identify and evaluate the merits and demerits of the internal controls used in the companies, and to identify the challenges in the implementation of internal control systems in the computerized accounting system of the SMEs. Design/methodology/approach: The population of the study was the employees of the SME’s registered with Ministry of Commerce and Industry (MOCI) in Muscat, Oman. Samples were selected from this population on a random sampling basis. One-member employee from the SMEs representing the enterprise filled the questionnaire. The survey was conducted through a questionnaire using a Google form. 220 samples were collected from the population. The data collected was analyzed using data processing methods and Microsoft excel. Findings: The study found that SMEs were using computers to perform their daily transactions and the accounting software used by SMEs were cheap, of low quality and not proficient enough. One of the components of internal control system, i.e. monitoring was implemented by most of the SMEs and they also stated that they rarely hired an external auditor for auditing because of the expensive auditing fees. It was also stated that the security mechanisms were not properly implemented in the SMEs because of the expensive cost. Research limitations/implications: The study suggested that the Government should emphasize the SMEs to implement a good internal control system. This can reduce the errors and also increase the efficiency of operations. SOX in Omani context should be strictly implemented making it statutory and mandatory for all the SMEs in Oman and such statutory laws will help the auditors to abide by the rules and regulations to be followed. Social Implications : Government should support SMEs through providing education on the importance of internal control systems as most of the employees of SMEs are poorly educated/illiterates. The Government should set a price ceiling to the external auditors on the auditing fees exclusively for SMEs so that they can afford. Originality / Value: No study was carried before in relates to the impact of the internal control system through the computerized accounting system among the SMEs in Muscat, Oman. This study will through light on the statutory laws required for the sake of internal control measures required for the SMEs.

The relationship between social interactions, trust, business network, external knowledge access and performance: a study of SMEs in Ghana

PurposeThe purpose of this paper is to examine the role of social interaction ties, trust and business networks in the acquisition of foreign business knowledge and foreign institutional knowledge. It also assesses the effect of these types of knowledge on small and medium enterprises’ (SME) export performance. Furthermore, this study determines the moderating role of absorptive capacity in the relationship between foreign business knowledge, foreign institutional knowledge and export performance.Design/methodology/approachThis study used a survey research design using data from nontraditional SME exporters in Ghana. There were 257 respondents who were employees (managers/owners) of SMEs in Ghana. The model was analyzed using structural equation modeling.FindingsSocial interaction ties, trust and business networks have a significant effect on the acquisition of foreign business knowledge and foreign institutional knowledge. Furthermore, foreign business knowledge and foreign institutional knowledge have a significant positive effect on export performance. The path between foreign business knowledge and export performance is also moderated by absorptive capacity. However, the moderating role of absorptive capacity in the relationship between foreign institutional knowledge and export performance is not significant.OriginalityThis study uses social capital to explain how SMEs acquire foreign business knowledge and foreign institutional knowledge, and how both affect SMEs’ export performance. Furthermore, it tests the moderating role of absorptive capacity in the relationship between foreign business knowledge, foreign institutional knowledge and export performance.

The Behavioral Intention’s Role:Facilitating Condition and Use of E-Government Services among SMEs in Saudi Arabia

Saudi government plan to digitize all governmental services, but that may encounter several issues such as the familiarity of citizens with electronic version of services.This study was conducted to identify the factors that influence the use behavior of e-government service among employees of SMEs in Saudi Arabia.This article addresses the effect of behavioral intention as a mediation factor between facilitating condition and the use of e-government services among SMEs in Saudi Arabia. The data were collected from SMEs operating in Riyadh region and SEM-AMOS software was used for data analysis.It was found that the behavioral intention mediates the relationship between Facilitating condition and the use behaviorThe results provide the importance of facilitating condition which linked with the output of the use behavior.

Case study concerning successful Romanian SMEs development by students education and entrepreneurial training

The European Commission has published in 2020 the SMEs Strategy for a Sustainable and Digital Europe that aims to increase the number of SMEs engaged in sustainable business practices, as well as the SMEs number that use digital technologies. Important opportunities for SMEs can be provided by digitization, to improve the production processes efficiency and the ability to innovate products and business models, by using advanced disruptive technologies. Good management is needed for a successful SME, education and entrepreneurship training have the role of consolidating business knowledge and skills. Educational activities and skills upgrading are essential for all SMEs managers and employees. Romania is on the last place in EU, regarding SMEs number and it ranks 11th place out of 28, in terms of connectivity. Regarding the digital maturity of Romanian SMEs, the White Papers on Romanian SMEs presents their main working elements: computer, e-mail applications, internet, intranet, social networks, the company's own website, online sales / purchases transactions. The objectives of the Bachelor's degree specialization of Economic Engineering in Mechanical field and Industrial Entrepreneurship Master are students training and education, in order to be able to sustain digitization and sustainable technologies. The university curriculum and the educational disciplines offered by the Economic Engineering in Mechanical field specialization and Industrial Entrepreneurship Master is connected to the society requirements and must follow the economic trend, by educating, training and getting good specialists. Keywords: SMEs development, education, entrepreneurship

SMEs Employee, Person-Organization Fit, and Organizational Citizenship Behaviour

SMEs will get the maximum production when their employee get work satisfaction. They will work efficient when their workplace is comfortable. So the objective of this research is to analyze the influence of the workplace and Person-Organization Fit to Organizational Citizenship Behaviour (OCB) through employee satisfaction as a variable intervening at the Indonesia SMEs. This study using a random sampling of employees of Indonesia SMEs with the number 250 employees of SMEs. Instruments that are used in this research is a questionnaire to obtain the primary data needed. The research method is quantitative analysis, the data obtained is based on the answers from respondents on the questionnaire, analyzed by statistical techniques of multiple linear regression analysis, the regression model is tested with classical assumptions to meet the requirements and is suitable to be used to predict the effect of independent variables on the dependent variable. The results of the regression calculations were tested using the t-test and the coefficient of determination. The research finding have shown that variable Workplace and person-organization Fit influential to Organizational Citizenship Behaviour through employee satisfaction on the employees of Indonesia SMEs. In research, it is known that the Workplace is a variable independent that influences the most substantial of the Organizational Citizenship Behaviour of employees compared to variable independent else.

The influence of personality traits on sustainability-oriented entrepreneurial intentions: the moderating role of servant leadership

Economic, environmental, and social imperatives make sustainability-oriented entrepreneurship an indispensable phenomenon of the day, yet only sparse research exists uncovering the sustainability-oriented entrepreneurial intentions in Asian countries. This study attempts to close the gap by considering the “big five” individual personality traits—neuroticism, extraversion, openness to experience, agreeableness, and conscientiousness—to investigate individuals’ sustainability-oriented entrepreneurial intentions in a developing Asian country, specifically Pakistan. Moreover, the study tests the moderating effects of servant leadership to know whether servant leadership impacts the relationship between personality traits and sustainability-oriented entrepreneurial intentions. Relying on quantitative methods, data were collected from employees of SMEs in the capital territory of Pakistan. The valid responses from 450 individuals were analyzed using SPSS version 23 and PROCESS V3.2. Our results confirm that those five factors significantly impact sustainability-oriented entrepreneurial intentions, and servant leadership moderates the relationships of intention with extraversion, agreeableness, and neuroticism. The study equips academicians, practitioners, and governments to devise strategies to promote sustainable entrepreneurship.

The Effect of Ethical Leadership and Leadership Effectiveness on Employee’s Turnover Intention in SMEs: The Mediating Role of Work Engagement

Purpose: The purpose of the present study is to examine the impact of ethical leadership and leadership effectiveness on employee’s turnover intention in SMEs, with an emphasis on the mediating role of work engagement. Design/Methodology/Approach: A quantitative approach was used. In particular, a research model has been empirically tested, using primary data collected from SMEs employees in two different countries. Findings: Ethical leadership and leadership effectiveness play an important role in predicting turnover intention. Moreover, work engagement mediates the relationship between ethical leadership, leadership effectiveness and turnover intention. Practical Implications: Α leadership approach which is both ethical and effective at the same time is more likely to create a productive, ethical and trusting work climate, conducive to the work engagement of employees and, therefore, reduce turnover. Originality/value: The role of ethical leadership and leadership effectiveness as well as work engagement on employee turnover in SMEs is currently under-researched.

Analysis of business process management capability and information technology in small and medium enterprises in the garment industry (multiple case studies in East Java, Indonesia)

AbstractThis research explores the interrelationships between internal and external factors, business process management (BPM) capability of garment‐based SMEs, and the IT that matches this capability. Multiple case studies are conducted in three SMEs in East Java, Indonesia. The data is collected using in‐depth interviews with the owners and employees of SMEs. A grounded theory approach is used to analyze the findings. Analysis of the three cases found two main factors that affect the BPM in the garment SMEs. The first is the owner's business aptitude and expertise, and the second is the connection between external factors, business context and business strategy. Business strategy is closely related to the way SMEs define their business process, organize their employees, and develop culture. The BPM capabilities needed by SMEs in Indonesia include business process documentation and business process improvement. The business process and business process capability determine the IT needs of garment SMEs. IT is used to support sales, marketing, and payment processes in the three case companies. SMEs are very careful about their IT investment decisions due to resource constraints. SMEs will choose IT systems requiring minimal investment which are less risky to implement, such as social media and the e‐marketplace.

Trust in Management and Work Satisfaction as Predictor of Workplace Deviance in SMEs of Malaysia

Deviant workplace behavior has become a most costly phenomenon as it includes a wide range of negative acts performed by the employees to harm the organization and its members. The workplace is a forum where employees are seen behaving in different productive manners in order to achieve a common goal. In this research employee deviant has been conceptualized as destructive. While deviant behavior may be harmful, employee deviance can be constructive and functional as well. Employees who engage in constructive deviance, such as innovative behaviors, can provide organizations with necessary creativity. Past researchers have consistently found correlations between deviant behaviors and employees’ evaluations of the quality of their work environment. This study explains the impact of trust in management and work Satisfaction a predictor of workplace deviance. To analyze this preference, the questionnaires were distributed randomly to the employees from different industries in SMEs of Malaysia. From the 150 online questionnaires, 115 responses were received. The result of this study helps the managers and supervisors in monitoring the employees to find any dissatisfaction and precaution against unfairness among labors. This research gives an insight of the type of trust in organization that is salient for each construct and allows the management of organizations to take appropriate actions to improve conditions at the workplace and prevent deviance in the organization, the management must create environment that employee perceive enough care and support. Some organizations need to change the work environment and educate workers on how to adapt and cope better to the workplace. The scope of this study is more concerned about deviance in the workplace and most of the questionnaires were filled by employees of SMEs in Malaysia. The respondents include all employees who work in Malaysia. This research have several funding such as trust in management have positive effects on work Satisfaction and negative effect on workplace deviance, and work satisfaction performed as a mediating role to relationship between trust in management and workplace deviance. Keywords : workplace deviance, trust in management, work satisfaction DOI: 10.7176/EJBM/12-21-20 Publication date: July 31 st 2020

Job satisfaction among SMEs employees in Fibres & Textiles of the CEE countries

Job satisfaction among SMEs employees in Fibres & Textiles of the CEE countries

Moderation effect of competence of knowledge and innovation: case of Bali

PurposeThis paper examines how market orientation and competence of knowledge reinforce the innovation and in turn improve the business performance.Design/methodology/approachThis research applied research design with quantitative approach based on positivism philosophy, that is, research aimed to test the theory and data which is general to produce findings that are special through hypothesis test. This study was supplemented by field studies as a necessary source of data in the form of trends, attitudes, opinions, perceptions of owners, managers or senior employees of SMEs in the textile industry in Bali, related to the variables used in this study.Findings(1) Market orientation influences business performance, (2) competence of knowledge moderates the influence of market orientation on business performance, (3) innovation moderates the influence of market orientation on business performance.Originality/value(1) Novelty of this research is developing the concept of competence of knowledge associated with business performance in which this relationship has not yet been expressed. (2) Building the concept of innovation development of small-scale industry based on the market orientation. (3) Developing the concept of innovative development of small and medium enterprises of textile industry based on competence of knowledge. (4) Investigating the concept of market orientation and competence of knowledge in an integrated and holistic way to strengthen the innovation and business performance of SMEs of the textile industry in Bali.

ANALISIS PENGARUH BUDAYA ORGANISASI, GAYA KEPEMIMPINAN TERHADAP KINERJA KARYAWAN UMKM DENGAN MOTIVASI KERJA SEBAGAI VARIABEL INTERVENING

This study aimed to analyze and prove the influence of organizational culture, leadership style on the SMEs employee performance with work motivation as an intervening variable. This research was conducted in the Kampung Logam Area, Ngingas Village, Sidoarjo Regency, East Java Province with sample of 85 SMEs employees. The sampling method uses purposive sampling. The results of hypothesis testing stated that organizational culture had a positive but not significant effect on the performance of SMEs employees. Leadership style had a positive and significant effect on SMEs employee performance. Organizational culture had a positive and significant effect on work motivation. Leadership style had a positive and significant influence on work motivation. Work motivation had a positive but not significant effect on SMEs employee performance. Organizational culture had a positive but not significant effect on SMEs employee performance through work motivation. Leadership style had a positive but not significant effect on SMEs employee performance through work motivation.

Perception towards Regulatory Burden on Small and Medium Enterprises Performance: A Case Study in Shashemene Town, West Arsi Zone, Ethiopia

The study focuses on “perception towards regulatory burden on small and medium enterprise performance” in Shashemene town, west Arsi zone, Oromia regional state, Ethiopia. The study adopted a qualitative research approach to address broad objective through answering research questions developed by a researchers. Specifically, this study used questionnaire to collect data from SMEs business owners, managers and employees and in-depth interview conducted. Data was analyzed by using descriptive statistics. The information obtained from a samples of the 140 small and medium enterprise and through face-to-face interview of 10 owners of SMEs business. The respondents were selected using stratified sampling techniques. The result of the study show that small and medium enterprise challenges from different factors as they perceived from the challenges of regulatory burden and identifies mechanisms used to mitigate problems from regulatory burden and how much the regulators have smooth contact with them and to what extent regulators made inspections. Moreover, the result indicated the perception of SMEs businesses towards regulatory burden. As a whole, the study suggests a series of measures should be taken by government policy, makers and regulators for SMEs performance. Researchers’ conclude and recommend that government bodies, Small and medium enterprise business owners, managers, employees and policy makers should focus on regulation to reduce regulatory burden on small and medium enterprises.

Cybervetting prospective employees of SMEs

Cybervetting prospective employees of SMEs

The impact of organisation work environment on job satisfaction, affective commitment, work-family conflict and intention to leave: a study of SMEs in India

Faced by global competition and working in a challenging and competitive business environment, small and medium enterprises are also making attempts at making themselves adept at meeting these challenges. The study takes a look into the work environment in some of the SMEs operating in India and the impact of the work environment on the job-related attitudes of the employees. A sample of 345 employees working in 14 SMEs was drawn for the purpose of the study based on convenience sampling technique. The various work domain factors which directly affect the psychological perceptions of the employees about their work-place are tested in the study and the results confirm the strong and significant role played by work-place social support and role overload in affecting work behaviours like job satisfaction, affective commitment, turnover intentions and also in affecting work-family conflict faced by the employees of SMEs.

Determinants of SMEs employees’ creativity and their impact on innovation at workplac

Determinants of SMEs employees’ creativity and their impact on innovation at workplac