Medium-sized Companies Research Articles

Determination of Subcontractor Selection Criteria from the View of Occupational Health and Safety in the Construction Industry

Construction industry is characterized by labor-intensive workforces, subcontractor-based production, diverse activities, and related hazards. Given the commonality of contingent forms of contracting, the majority of construction work is carried out by subcontractors. Unlike main contractors, subcontractors are typically smaller or medium-sized companies. Their awareness, practice, and compliance with health and safety legislation can be problematic. Furthermore, establishing and implementing a safety management system for a specific project requires coordination and management of multiple subcontractors. In this paper, a model has been created for selecting the most suitable subcontractor through an evaluation of their occupational health and safety (OHS) management implementation. The selection criteria have been determined based on a literature review focused on OHS, followed by the development of a questionnaire that assesses the importance of the criteria with the support of five occupational safety experts. Three shopping mall projects were chosen for implementation based on expert evaluations using scores calculated through the Analytical Hierarchy Process. Importance rates for each criterion were calculated, allowing for the identification of the most significant subcontractor selection criteria. Fifteen on-site subcontractors were evaluated using the proposed method. The research suggests that in the absence of qualification-based selection criteria for subcontractors, unskilled personnel could be selected. Consequently, this could impede the safety oversight mechanism, the execution of OHS measures, as well as the mitigation and/or prevention of potential risks, while jeopardizing compliance with the applicable legislation throughout the project. Therefore, it is imperative to choose only competent subcontractors to guarantee the welfare of workers.

Artificial-intelligence-enabled dynamic demand response system for maximizing the use of renewable electricity in production processes

AbstractThe transition towards renewable electricity provides opportunities for manufacturing companies to save electricity costs through participating in demand response programs. End-to-end implementation of demand response systems focusing on manufacturing power consumers is still challenging due to multiple stakeholders and subsystems that generate a heterogeneous and large amount of data. This work develops an approach utilizing artificial intelligence for a demand response system that optimizes industrial consumers’ and prosumers’ production-related electricity costs according to time-variable electricity tariffs. It also proposes a semantic middleware architecture that utilizes an ontology as the semantic integration model for handling heterogeneous data models between the system’s modules. This paper reports on developing and evaluating multiple machine learning models for power generation forecasting and load prediction, and also mixed-integer linear programming as well as reinforcement learning for production optimization considering dynamic electricity pricing represented as Green Electricity Index (GEI). The experiments show that the hybrid auto-regressive long-short-term-memory model performs best for solar and convolutional neural networks for wind power generation forecasting. Random forest, k-nearest neighbors, ridge, and gradient-boosting regression models perform best in load prediction in the considered use cases. Furthermore, this research found that the reinforcement-learning-based approach can provide generic and scalable solutions for complex and dynamic production environments. Additionally, this paper presents the validation of the developed system in the German industrial environment, involving a utility company and two small to medium-sized manufacturing companies. It shows that the developed system benefits the manufacturing company that implements fine-grained process scheduling most due to its flexible rescheduling capacities.

Barriers and Strategies for Digital Marketing and Smart Delivery in Urban Courier Companies in Developing Countries

AbstractThis study aims to analyze the impact of digital marketing on urban courier companies in the municipality of Valledupar, Colombia. It also aims to propose strategies for smart delivery in urban courier companies in developing countries and identify barriers to be overcome in these activities. A quantitative approach with a descriptive research design is used. Given the nested nature of the data, a correlation analysis was performed to gather information on the relationship between the variables studied and the strength and direction of those relationships. A correlation analysis was conducted to identify the correlation coefficient between two specific variables. The ordinary least squares (OLS) regression method examined the relationship between the dependent and independent variables. The results indicate that the use of social media has a significant positive impact on the dependent variable. In contrast, the use of email and websites does not show statistical significance. The proposed strategies include real-time tracking of shipments, personalized notifications, scheduled delivery, integration of augmented reality, use of smart lockers, and geolocation technology. As barriers to be overcome in urban courier activities in developing countries, the following are identified infrastructure limitations, limited access to technology, costs associated with technology adoption, digital divide and skills, and resistance to change. The study was conducted in small and medium-sized courier companies in developing countries, so the implications of the results should be generalized to only some companies worldwide. The research highlights the importance of developing digital marketing skills and addressing barriers to implementing smart delivery strategies. Strategies such as real-time tracking of shipments, personalized notifications, scheduled delivery, augmented reality integration, smart lockers, and geolocation technology are proposed. It is concluded that digital marketing can enhance urban courier services and provide competitive advantages to companies that adopt it. This study provides valuable insights to develop specific strategies and solutions that help improve the operational efficiency of urban courier companies, including website optimization, effective use of social media, and email, and increased visibility in search engines. It enhances service quality, providing a more satisfying customer experience and fostering customer loyalty. Additionally, it emphasizes the importance of developing engaging and relevant content and establishing effective communication with customers through digital channels.

Technology isn't enough for Industry 4.0: on SMEs and hindrances to digital transformation

Despite a general lack of examples showcasing seamless implementation of industry 4.0, talks of a human-centric, resilient, and sustainable industry 5.0 have already begun. But are the managers and workers of manufacturing enterprises today even ready for that? Digital transformation is still slow-going, especially within small- and medium-sized companies. Supported by an existing framework and interpretive structural model for digitalisation, we argue that a big part of digital transformation depends on the workers' competencies. Guided by the research question: How can the approach to competence development in SMEs explain patterns of slow digital transformation?, we investigate 30 manufacturing SMEs pursuing digitalisation. While manufacturing companies are aware of the need for additional competencies, few are actively working towards obtaining them. We expand on a theoretical model for smart manufacturing determinants and argue how a scaffold is needed to support SMEs in the early stages of digitalisation to increase understanding of core concepts, i.e. Industry 4.0 concepts and available technologies, data handling, integration capability, upskilling and training, and strategic management capabilities. We propose that a scaffolding approach to competence development can enable knowledge acquisition and the formation of digital transformation strategies.

Analisis Faktor Eksternal dan Faktor Internal yang Mempengaruhi Marketing Reach pada Perkembangan UMKM: Studi Kasus pada UMKM di Kabupaten Serdang Bedagai

Micro, Small and Medium Enterprises have the ability to create jobs at minimum cost. Small and medium-sized companies are pioneers in the world of innovation and have high flexibility that allows businesses to meet customer needs. The type of research used is quantitative. The population in this research is MSME owners in Serdang Begadai district, based on data from the Serdang Begadai District Government until 2023 who come from the fields of agriculture, trade, services and small industry. Until now, not many MSMEs have implemented go digital (Serdang Begadai Regency Government, 2024), the sampling method used in this research is Probability Sampling (Random Sample), the type used is Cluster Sampling. Before testing the hypothesis, a prerequisite test for proving the hypothesis is carried out. In this study, the model used by the researcher is multiple linear regression. Based on the research results, it can be concluded that in general the role and existence of external and internal factors are recognized as factors and figures of interest through government, social and economic policies as well as the role of related institutions in running a business because business actors cannot run alone to carry out and develop business. External and internal factors that are indicated to have a positive influence are the capital aspect, that basically most business actors when running their business tend to prefer to use their own capital rather than taking out loans because they feel more at ease using their own capital

Behavioral intentions in embracing cloud-based accounting information systems

In facing the digital era and a more competitive environment, every organization is required to increasingly implement information systems that can facilitate various organizational needs. Cloud Based Accounting Information Systems (CBAIS), as part of information systems (IS), have also gained attention of organizations. This research was conducted to obtain empirical evidence of the interest in using CBAIS in various medium-sized companies in Indonesia measured using Institutional Theory. The data analysis tool used was SEM- PLS. The respondents in this study were accounting and finance departments employees working for logistics companies that still use conventional accounting information systems (non-cloud-based). A total of 89 responses were collected from 5 logistics companies in Indonesia. The research results indicated that mimetic pressure positively influenced the interest in using CBAIS, coercive pressure does not positively influence the interest in using CBAIS, and normative pressure positively influenced the interest in using CBAIS. An interesting aspect of this study is the absence of regulation or even demand in Indonesia that obligates the use of CBAIS. Hence, the use of CBAIS has not become a commonly adopted best practice in logistics companies.

Green Tech and Human Dynamics: Transforming Indonesia’s Waste Industry with VR, AR, and Renewable Energy Innovations

The objective of this study is to assess the impact of implementing virtual reality technology, augmented reality, renewable energy, and green leadership on industrial sustainability in waste management in Indonesia. Additionally, this study aims to examine the role of HR attitudes as a moderating variable in this context. The study focuses on leaders of large and medium-sized companies in Indonesia in 2022. The study examines several variables, including virtual reality, augmented reality, the application of renewable energy, and the application of green leadership. The study also considers exogenous variables such as industrial sustainability in waste management in Indonesia, and moderating variables such as HR behaviour. The data analysis employs SEM analysis using SMART PLS 3.0 software. The study methodology employed entails a quantitative descriptive approach utilising data analysis through the structural equation model (SEM) method. The data processing using the SEM method is conducted with the PLS application. Based on the findings of previous studies, it can be inferred that virtual reality, augmented reality, renewable energy, and green leadership have a partial impact on the sustainability of industrial businesses involved in waste treatment in Indonesia. Additionally, these variables also influence the behaviour of HR in responding to technological changes and the adoption of renewable energy in waste management companies in Indonesia. The variables of virtual reality, augmented reality, renewable energy, and green leadership have a simultaneous impact on the sustainability of industrial businesses involved in waste treatment in Indonesia. This impact is mediated by the HR behaviour in response to changes in technology adoption and the use of renewable energy in waste management companies in Indonesia. By implementing virtual reality and augmented reality technologies, as well as embracing the latest energy solutions and fostering a green leadership mind-set, companies can drive changes in human resource behaviour. This will enable employees to continuously adapt to technological advancements, particularly in smartphone applications, and leverage them to enhance existing businesses and ensure their sustainability. Moreover, the promotion of green energy will induce a shift in human resource practices towards consistently utilising eco-friendly energy sources and embracing sustainable leadership models within each organisation. This will ensure the long-term survival of the organisations and mitigate environmental harm caused by global warming.

Technological and corporate innovation in Spanish specialised metallurgy: the case of Rivière (1860–1924)

Metallurgy is, along with textiles, the leading industry of the first industrial revolution in Spain, a feature highlighted in the literature from very early on. One of its sub-sectors, that of metal transformation, has received very special attention from researchers. However, certain gaps still persist in some branches, particularly those relating to various factors of the production system at the factory level, such as capital (equipment and energy), labour, and corporate structure. Herein lies the main motivation for this research, which addresses the reasons behind the success of medium-sized companies in specialised metallurgy in the late 19th and early 20th centuries, using a case study methodology, primary sources, a long-term perspective and a comparative procedure. The text comprises three main sections, covering the formation of the Rivière company, the production system of this company, and its organisational innovations.

The Impact of External Pressure on Companies’ Responses to Sanctions – an International Comparative Study

What explains the strategies firms adopt in response to economic sanctions? Our study argues that different types of external pressure, such as public shaming, the nature of companies’ business relationships, and national-level legal-regulatory environments affects how firms respond to the sanctions imposed against Russia after its 2022 invasion of Ukraine. We develop a suite of hypotheses about how external pressure affects firms’ compliance behaviors and whether firms adopt reactive and/or proactive strategic responses. We test our hypotheses by analyzing results from a survey of 610 medium-sized companies operating in Germany, Poland, and the United States. Using structural equation modeling (SEM), we find that external pressure is associated with higher levels of compliance and overcompliance with sanctions but is also associated with undercompliant behavior. We also find that compliance with sanctions is associated with a high degree of proactive response, which suggests compliant firms may often seek out legal means of circumventing sanctions. We further observed variation in the effects of external pressure, compliance behavior, and strategic responses on US firms compared to those in European Union members Germany and Poland.

Educational strategies applied to the logistics system of transport, treatment and final disposal of used lubricating oils in Colombia

In Colombia, one of the problems that is evident and that is gaining strength is related to the inadequate management of dangerous resources such as used lubricating oils (ALU) from automobiles and motorcycles, where it is observed that there is no adequate pedagogical strategy on logistics systems or logistics processes that allow optimal final disposal, thus avoiding contamination and alteration in the environment. The methodology that was used for this investigation is of a mixed type, with a descriptive investigation, where the ignorance of the conditions for the adequate handling, treatment and disposal of used lubricating oils can be identified, emphasizing small and medium-sized mechanical companies. Mechanical workshops mainly in neighborhoods located in the city of Bogotá and mostly in locations that do not have the latest technology to provide such service. As results of the investigation, it was found that there is no educational model of socialization of a structured logistics system for establishments that provide mechanical services, in addition to the lack of training and awareness on the part of companies and entities dedicated to the use of this type of substances, denoting the importance of providing learning tools from the proposed educational strategy.

Cross-promotion: features, causes of success and types of popular mechanics

Cross-promo is becoming more and more popular among companies in the Russian market. Both representatives of large businesses and medium-sized companies resort to this marketing mechanics. The article discusses in detail the theoretical aspects and reasons for the growing popularity of cross-promo, analyzes the important nuances that companies face when conducting this type of activity, and the main mechanics of this type of partner campaigns, and also provides recommendations for organizing an effective cross-promo. The subject of the study is cross-promo, and the object is the growing popularity of this mechanics among companies in the Russian market. The purpose of the work is to systematize the varieties of cross-promo. The result of this study is a detailed description of various types of cross-promos and the formulation of recommendations for the successful conduct of promotions. Cross-promo formats such as sampling, organization of joint events, joint advertising campaigns, organization of recommendation cross-promo, joint promotions and contests, implementation of partner programs and loyalty programs, joint creation of products are considered in detail. The uniqueness of the article consists in identifying the factors that determine the achievement of the planned indicators for this type of promotions. Recommendations are given on the choice of partners for cross-promo and the formation of promotional offers attractive to the target audience.

The role of conflict and opportunism on the duality of satisfaction in B2B sales relationships

PurposeThis study aims to explore the direct and indirect effects of sales opportunism and sales conflict as well as of non-economic and economic satisfaction in business-to-business (B2B) sales relationships. This understanding offers B2B buyers enhanced knowledge of sales business expectations towards sustainable business relationships in the future.Design/methodology/approachThrough self-administered questionnaires, data were obtained from 237 sales or marketing managers/directors of small- and medium-sized companies across industries in Spain, who were randomly contacted via LinkedIn. The multivariate analysis of measurement and structural models was based on IBM SPSS Amos 27.FindingsThe study confirms that sales opportunism positively affects sales conflict. Moreover, sales opportunism is negatively associated with non-economic sales satisfaction, whereas non-economic sales satisfaction is positively associated with economic sales satisfaction. Consequently, if all associates are pleased with the relationship and the gains it can provide, a long-standing orientation can be achieved.Research limitations/implicationsThe study expands existing theory on seller–buyer relationships in a B2B context. It contextualises direct and indirect relationships between two antecedents (sales opportunism and sales conflict) and two postcedents (economic sales satisfaction and non-economic sales satisfaction) in sales business–buyer settings.Practical implicationsThe study guides buyers in B2B relationships towards an improved understanding of how sales businesses perceive opportunism and conflict (as negative precursors) to impact non-economic satisfaction and how it can influence economic satisfaction.Originality/valueMost studies explore B2B relationship building from the perspective of the buyer, thereby creating a shortfall in developing an understanding of all partner expectations in B2B relational intent. Moreover, the measurement of satisfaction as a multidimensional construct secured the integration of non-economic satisfaction and economic satisfaction within a single model allowing the constructs measured in this study to be holistically assessed.

An Assortment–Quantity Optimization Problem in Printing Industry Using Simulation Modelling

This paper presents a method for assortment–quantity production scheduling in a printing company. The company uses specialized machinery to make prints on clothing. The method is based on a study of the company’s practical operations and the production technologies used. It involves the construction of simulation and optimization models of the process. The simulation models reflect the technical aspects of the production process and the business requirements. Optimization models provide solutions that balance product sales revenue with appropriate production schedules. On this basis, managers can make resource-balanced decisions on the implementation of selected production plans, taking into account the current economic conditions of the company. The experiments used the FlexSim simulation program (by FlexSim Software Products, Inc., Orem, UT 84097 USA; v. 20.1.3.1) and the OptQuest optimization package (embedded in FlexSim), resulting in a cost-effective solution in a short time. The proposed method, thanks to the optimization of the production program, provides savings in the use of materials for production, as well as water and energy savings in the production process. Thanks to the possibility of analyzing the process without interfering with it, provided by simulation modelling, the method practically eliminates the costs and time needed to prepare the execution of new production orders. This contributes to the sustainable development of the company and provides an opportunity to assess the impact of potential business decisions in the company prior to their implementation. The method has been directly applied in a company to improve its performance. The method is scalable and can be applied to problems of varying complexity and production systems of different types and sizes. This is especially true for small- and medium-sized companies that use discrete manufacturing in the textile, metal, and furniture industries.

Machine Learning-Based Risk Management of Credit Sales in Small and Midsize Business

Sustaining and expanding the finances of small and midsize companies (SMBs) depends on efficient credit risk management. This study redefines credit risk assessment for SMBs via the use of machine learning (ML), hence introducing a disruptive methodology. The all-inclusive approach includes feature selection, preprocessing, data collecting, and the use of ML models, with an emphasis on behavioral insights integration and real-world applicability. The results imply that Random Forests and other machine learning models are superior at predicting credit risk, which may lead to a sea shift in the way SMBs handle credit risk. Improving the research's practical implications involves applying models to actual credit risk management systems and incorporating insights from behavioral economics. Possible future research directions include studying how models adapt dynamically, using different types of data, enhancing explain ability via XAI, and fostering collaborative efforts to develop industry-specific best practices. By outlining the ins and outs of credit sales, this research helps small and medium-sized companies (SMBs) adjust and remain resilient in the face of changing market conditions.

Applying the agglomerative method in hierarchical clustering for the medium-sized companies listed on the Warsaw Stock Exchange

The purpose of this article is to use a hierarchical algorithm to reduce the number of companies in stock exchange portfolios, together with the identification of the most and least profitable groups of the companies. To prepare the research, the author decided to use a hierarchical clustering method to segment mWIG40 index entities. The conducted research contributed to the knowledge of the segments appearing on mWIG40 index and the profitability of the obtained clusters in the analyzed period. It was concluded that the hierarchical clustering method can divide the entities from mWIG40 index into six segments. The obtained groups differed from each other in terms of the analyzed features. Moreover, it was found that it was possible to identify more and less profitable segments in terms of the rate of return. What is more, only one segment was characterized by a higher rate of return than the benchmark. The findings can help investors to make better decisions during their investing process. In addition, the results can help companies to map their business in the market.

Determining cost-efficient controls of electrical energy storages using dynamic programming

Volatile electrical energy prices are a challenge and an opportunity for small and medium-sized companies in energy-intensive industries. By using electrical energy storage and/or an adaptation of production processes, companies can significantly profit from time-depending energy prices and reduce their energy costs.We consider a time-discrete optimal control problem to reach a desired final state of the energy storage at a certain time step. Thereby, the energy input is discrete since only multiples of 100 kWh can be purchased at the EPEX SPOT market. We use available price estimates to minimize the total energy cost by a rounding based dynamic programming approach. With our model non-linear energy loss functions of the storage can be considered and we obtain a significant speed-up compared to the integer (linear) programming formulation.

Digital and Sustainable (Twin) Transformations: A Case of SMEs in the European Union

In the European Digital Decade 2030 Policy Program, the following guidelines for European digital transformation are named, which means that more than 90% of small- and medium-sized companies reach at least a basic level of digital intensity. In addition to that, the European Commission pays a lot of attention to implementing the “Green Deal” in order to achieve less environmental impact. ICT SMEs already play a key role in Europe’s green and digital transformation, creating technologies that promote sustainability and strengthen Europe’s position. The limited and fragmented application of today’s digital and sustainable technologies in SMEs is observed at the EU level. The bibliometric literature analytical results show that the number of papers on the digital direction is five times higher than on the sustainable direction topic. The paper seeks to identify directions that could help SMEs to speed up this twin transformation in each EU country. The authors proposed a two-stage methodology, which is used for researching twin transformations in SMEs. According to the methodology, first, the authors analysed the indicators of EU-27 SMEs, representing their activity towards the twin transformation, comparing them among other size classes. The results show that the SME’s numbers in the 16 indicators area are worse than the numbers characterizing EU-27 enterprises, having more than ten employees. In addition, a multi-criteria decision making-based assessment framework was constructed to show the progress towards the twin transition. The provided research shows which areas require more attention from SMEs and policy makers responding to the twin transformation objectives.

Statistical Analysis of Lean Construction Barriers to Optimize Its Implementation Using PLS-SEM and PCA

The construction industry performs many tasks scheduled and related to other activities. Companies must optimize their operations, increase efficiency, eliminate waste, and deliver better products to their customers. As a result, this study aims to identify the main challenges associated with the implementation of the Lean Construction model in small and medium-sized construction companies and optimize the implementation of this process using statistically-focused mathematical models. This study was conducted using the partial least squares (PLS-SEM) method and also carried out the principal component analysis to optimize Lean barriers so that they can be properly implemented in the construction industry. The most important obstacles are displayed, as well as the relationships with other factors. Significant relationships have been discovered between the barriers to Lean construction adoption, especially with regard to corporate culture, communication, training, leadership, and the influence of mentality on business and employee adaptability. Construction executives and managers can make well-informed policy and strategic decisions by having a thorough understanding of the main barriers to Lean implementation. This information enables them to focus on the implementation of Lean technologies in projects, to increase market competitiveness, reduce waste and enhance overall work efficiency.

Financing and profitability of commercial enterprises in La Libertad, 2022

Financing is very important for the operation of commercial enterprises, its proper management through loans allows resources to be invested for the expansion of business; therefore, the resources obtained from different sources of financing must be managed properly with the intention to ensure a profitability of considered levels. The purpose of this article is to determine how financing affects the profitability of commercial enterprises in the canton of La Libertad, through the analysis of each of the indicators of the variables of study, therefore a descriptive research was used through the desegregation of variables, and situational analysis of the object of study, applying the techniques of interviews and direct observation, in addition correlational research was used to determine the critical factors associated with financing and profitability, through surveys of the companies that were part of the study. The results obtained show that the accounting that the companies are doing is empirical and not very technical, which has caused them to grow slowly compared to medium-sized companies of the same type, which through adequate financial management has favored their sustainable growth and decision making.

Model Lean Manufacturing With The VSM Method to Reduce Waste In The Production Process Box Electrical Panel at PT.DMI

DMI is a medium-sized company that produces electrical panel boxes. Make To Order (MTO) is a reference as the start of the production process. The production process includes plate cutting, bending, welding, grinding, powder coating and part-by-part assembly processes. Lean Manufacturing started in Japanese manufacturing, to eliminate all waste from the process while pursuing quality improvement in producing finished products. Value stream mapping is an important step in the lean transformation process before entering the waste elimination stage. which can lead to a decrease in the productivity of the company. One of the biggest problems was the lack of bending machines and not having our own powder coating machine.