Small Medium Industries Research Articles

Lean production system: compatible with Malaysian culture?

Theoretical basis An instructor could link the case to lean production principles and Kurt Lewin’s change management model, key reading materials on these theories are, namely, Lewin, K (1947) Frontiers in group dynamics: concept, method and reality in social science; equilibrium and social change. Human Relations 1(1): 5–41 Stewart, J. (2012). The Toyota Kaizen continuum: a practical guide to implementing lean. Boca Raton, FL: CRC Press. Wickramasinghe, V. and Wickramasinghe, G. L. D. (2020). Effects of human resource management practices, lean production practices and lean duration on performance. The International Journal of Human Resource Management, 31(11), 1467–1512. Research methodology This case was developed from both primary and secondary sources. The primary source included three face to face meetings with Mr CK in University Putra Malaysia (two meetings) and WSAE factory (Rawang, Malaysia – one meeting), respectively. Interviewed three workers at Rawang factory. The secondary source was taken from the company website and company reports. Case overview/synopsis Dr Wan, the Chief Executive Officer of WSA Engineering Sdn Bhd (WSAE) accepted the invitation from Small Medium Industries Development Corporation to participate in a Malaysian-Japanese Industry Cooperation program that focused on Lean Production System (LPS). Dr Wan was worried about Malaysia’s culture incompatible with Japanese-originated LPS. The case shares how the organization and behavioral change took place, for LPS buy-in. Successes and challenges WSAE faced in the 10-year journey of implementing LPS were elaborated. Complexity academic level This case was written for use in an operations management course, on the topic of lean production. It can also be used as a training material targeting the operation managers of a manufacturing company aiming to implement lean production or any change management process.

Peran Teknologi Di Dalam Memoderasi Pengaruh Internal Networking Terhadap Kinerja Usaha Industri Kecil dan Menengah Pada Saat Pendemi Covid-19

The purpose of this research is to analyse the Effect of Technology as moderator variable Throught the relationship of Internal Networking (production and distribution) with SME’s business performance. This study have been done in Covid-19 Pendemy at Medan City. The unit of analysis of this research is Small Medium Industry (IKM) company, where those company located in one area (cluster Small Medium Industry ). The population of this research are 103 IKM and the sample are 103 IKM (census).Data collection was used questionnaire, where the respondent are the owner of the IKM company. The questionnaire response was high where 3 owner rejected to made responsed (rejeccted), thus this research have 100 questionnaires reponses. The analysis method was using Hierarchi Regression and process analysis was used SPPS. The results of the research showed that the production and distribution have positive and significant effect with IKM performance. The effect of technology as moderator effect was found that negative and significant influence the relationship production and distribution with IKM performance. Thus, the effect of technology as moderator variable in pendemic Covid-19 was not dominant, because of the IKM compay faced decreased demand and indeed influence of Sales Margin.

The Effect of Business Knowledge, Business Skill, Self Confidence and Innovation on Business Performance of Small and Medium Industry in the City of Bukittinggi

Small and Medium Industry (IKM) in economic development in Indonesia is a sector that plays an important role. This sector supports the family economy because most of Indonesian can only access low level of education and operate small business activities. This condition illustrates that the performance of Small and Medium Enterprises has a very important role in improving the country’s economy. This study aims to identify the effect of Business Knowledge, Business Skills, Confidence and Innovation on the Performance of Small and Medium Industrial Business (IKM) in the City of Bukittinggi. The type of research is associative research (relationship) with quantitative analysis methods (data in the form of numbers) using SEM (Structural Equation Modeling) data analysis techniques based on Smart PLS variance. The results of this study indicate innovation, business skill, business knowledge and self confidence have positive effect on business performance of small medium industry in Bukittinggi. The Business knowledge has greater value among other variables which means more effort, guidance, facility should be emphasized on Small Medium Industry by the local authority and related parties to allow them to be able to be more competitive and sustainable. This study also recommends better progam and support to improve the self confidence of small medium industry’s owner.

The Role of Customer Knowledge Management on The SMEs Business Performance

This study examines Customer Knowledge Management (CKM) on innovation capability and business performance in Micro, Small, and Medium Enterprises (UMKM) in Malang. CKM emerged as an important dan effective system to improve innovation capabilities and company performance. However, the role of CKM in innovation and company performance is not recognized well by the company. The research method used is a quantitative explanatory approach. Data collection was collected through a questionnaire distributed to owners or managers of small dan medium industries, especially in the culinary sector, the variety of processed chips, which is the main domain of UMKM Malang City. The data analysis technique used is Partial Least Square (PLS). This study shows that customer knowledge management has a significant effect on innovation capability dan business performance.

POLA KONSENTRASI SPASIAL INDUSTRI KECIL MENENGAH DI PROVINSI NUSA TENGGARA BARAT

Location Theory gives systematic analysis framework of selecting location of economic adn social activities. Chosing of the right location thrifts reduce the transportation and production cost that drives efficient in production and marketing. The impact of efficiency is the higest profit and concentration of economic activities. There are many factor afecting the concentration of economic activities, such as wages, man power sources and productivity. Based on Concentration Ratio analysis that Small-medium industries cosentrated in Mataram City and Central Lombok distric. Based on concentration Index of Man power shows that the concentration of man power are in Sumbawa district, North Lombok, Central Lombok, Bima City, Bima district and West Lombok district. Based on those result that concentration spatial of Small-Medium Industries in each district of West Nusa Tenggara are not equal . Based on Regresioan analysis with Randomeffect Model that concentration of small-medium industries in West Nusa Tenggara siginificanly corelated with amount of man power and productivity, neither than wages.

MARKETING SRATEGY AT MANGO DAY BY USING SWOT ANALYSIS METHOD

Mango Day is small medium industry that echoes a healthy lifestyle as one of their visions with fruit strip as their product made from dried mangoes. The purpose of this research is to get the best marketing strategy for the Mango Day business. This research is a qualitative research with data collection techniques for instance, interviews, observations, and documentation with analytic descriptive results. The SWOT analysis technique is used to process data to obtain alternative strategies. There are four alternative strategies that can be used by companies as the company’s latest marketing strategy. SO strategy: maintaining product quality and creating new product variants, ST strategy: intensifying marketing on social media and other E-commerce is inserted with knowledge of products to be affordable to all groups and to expand the spread of products offline. WO Strategy: improve the quality of packaging and WT strategy: improve production processes to industrial scale

Rancang Bangun Mobile Commerce di Lamandau Store Berbasis Android berdasarkan User Centered Design (UCD)

Lamandau Store is a place for marketing and selling products that produced by Micro, Small and Medium Entrepreneurs named Usaha Mikro Kecil Menengah (UMKM) and Small Medium Industry products or Industri Kecil Menengah (IKM) in Lamandau Regency. The marketing and sales system at Lamandau Store has been manual which is costumers come to the store. This has not attracted enough consumers, resulting in lower levels of marketing and sales. This study aims to produce an Android-based mobile commerce application that can be used to support the marketing and sales process at the Lamandau Store. The research was conducted in several stages, namely the Data Collection Stage, the System Design Stage and the Report Writing Stage. The system design stage was developed based on the User Centered Design (UCD) method. The results show that a mobile commerce application is in accordance with user needs and has been presented as a new innovation at the Lamandau Store.

Identification of Enhancing Factors for Increasing The Power Competitiveness of Small Medium Industry of Batik in Sidoarjo District With Integration of Green Innovation Approach and ISM

This research was conducted at the Small and Medium Industry (IKM) of batik in the district of Sidoarjo, which is one of 15 districts in East Java who chose One Village One Product (OVOP) as strategies increase the power of competitiveness. There are many problems with SME batik ranging from resources, production processes to product sales, which affect the chosen competitiveness strategy. The respondents were entrepreneurs, the office of SMEs, the Ministry of Industry and Trade, the sub-district, and the village. This research aims to identify the inhibiting factors of increasing competitiveness in the small and medium batik industry in the district of Sidoarjo. The data collection process uses a questionnaire compiled with the Green Innovation approach with five main variables, Green Resource, Green Process, Green Product, Green Innovation, and Competitive Advantage. Green Innovation is a process of continuous innovation that considers the integration of the environment, finance, social systems in the company from the stage of ideas through research and development and commercialization that affect new products, services, technology, business, and organizational models. Determination of alternatives and strategy analysis using the Interpretative Structural Modeling (ISM) approach is a method that uses the opinions of experts on the questionnaire that has been distributed. Based on the analysis results, 14 inhibiting factors and six priority levels were obtained, with the highest value of the power driver in the training and outreach factor (10) as the main inhibiting factor in increasing competitiveness. Therefore, it requires the involvement of all parties related to the batik SMEs to improve their competitiveness and the strategies they choose.

The Synergy between Academic Support, Government Regulation, Business Sector, and Civil Society to Enhancing Innovation Ecosystem Indonesian SMEs

The aims of this research is to empirically testing the role of quadruple helix, consisting of government, academic, business sector, and civil society on developing Small Medium Industry (SMEs) through developing innovation ecosystem. This qualitative study employs a case study design. The samples are small industry in Kudus Regency, Indonesia. The result of this study shows that implementing quadruple helix’s role may present innovation to solve some problems in small industry. This role implementation depicts the existence of innovation ecosystem in attempt to develop small industry. This study recommends the necessity to improve synergy and collaboration between of government regulation, academic support, business sector, and civil society through intense communication.

Human Resources Management Practices, Creativity and Innovation at Wood Craft Small Medium Industries in Gianyar Regency, Bali

Human Resources Management Practices, Creativity and Innovation at Wood Craft Small Medium Industries in Gianyar Regency, Bali

Integrated Framework of Sales and Design Process for the Elevator Small-Medium Industry

Integrated Framework of Sales and Design Process for the Elevator Small-Medium Industry

An investigation of the link between indirect tax, oil receipt, debt on foreign reserves in Nigeria

The main objective of the study was to investigate the influence of indirect tax, direct tax, oil revenue, total debt on foreign reserves in Nigeria from 1980 to 2019. Ex post factor research design was adopted in this research and data was analyzed with the aid of Ordinary Least Square multi linear regression technique. The study found out that, there is a negative and statistically significant influence of indirect tax and direct tax on foreign reserves in Nigeria. Similarly, it was discovered that oil revenue and total debt has positive and non-statistical significant influence on foreign reserves. The study concluded that there is an influence of oil revenue and total debt on foreign reserves, as well as no influence of indirect tax and direct tax on foreign reserves. In addition, the lack of influence of indirect tax and direct tax shows that government has not being taking advantage of its taxation to generate enough revenue to meet its expenditures, as well as boost foreign reserves. And suggested that government should not depend mainly on oil revenue to meet expenditure and sustain its foreign reserves, but should try as much as possible to diversify the economy towards the creation, encouragement and sustenance of small scale and medium industries, and the development and extraction of non-oil mineral resources for export to boost its foreign reserves. Lastly, government should enhance its revenue generation in taxes to meet its expenditures to give room for the revenue generated through crude oil to increase foreign reserves.

Performance Effectiveness of Cassava Flour Processing Machine for Small-Medium Industries

Performance Effectiveness of Cassava Flour Processing Machine for Small-Medium Industries

MUSHROOM TEA PRODUCTION TRAINING PACKAGE IN CAPACITY BUILDING PROGRAM TO INCREASE SMALL MEDIUM INDUSTRY (SME) ENTREPRENEURS IN RURAL AREA

Volvariella tea is an innovative beverage of Malaysian Nuclear Agency that produced using Volvariella volvacea mushrooms with the unique taste, aroma and has certain properties for health. This tea can be taken by everyone regardless of age and can be added to other beverages as a source of nutrients, vitamins, and others to improve health. Currently, there have been efforts to grow mushrooms including Volvariella volvacea mushrooms based on the demand for diversity in dishes and awareness of the nutrients by taking mushrooms in daily meals. These mushrooms have a short shelf life after harvesting time and need to be sold in fresh state and cannot be stored in the chiller for a longer time. Due to the vast volume of mushrooms obtained after harvest time, new products such as Volvariella tea is needed to be produced from these mushrooms to avoid any loss because of rotten mushrooms. Malaysian Nuclear Agency has collaborated with Malaysian Innovation Foundation (Yayasan Inovasi Malaysia) and PUSPANITA Nuclear Malaysia (The Association of Wives and Women Civil Servants Malaysia – Malaysian Nuclear Agency) to carry out the project - MSI 17110: Mushroom Tea Production Training Package in Capacity Building Program to Increase Small Medium Industry (SME) Entrepreneurs in Rural Area using MOSTI Social Innovation Fund (MSI). This project was carried out for 6 months in 2018 by transferring the production technology of Volvariella Tea to the community in the village of Rembang Panas, Juasseh, Kuala Pilah, Negeri Sembilan. A total of 25 participants consisted of farmers and rubber tappers were attended series of training on Volvariella volvacea mushrooms cultivation using selected strain seedling produced by Malaysian Nuclear Agency, intensive practical training on production of Volvariella tea and online marketing. Volvariella tea was processed via the drying technique, packed in individual sachet and irradiated for the decontamination process. The participants have managed to set up a company named as Syarikat Rembang Panas Jaya Outlet to carry out the production of Volvariella Tea, other downstream products and conducted the business of the Volvariella Tea products. A total of 125 people has benefited as the impact of the project. With these efforts, the product introduced can be used by the community to generate additional income by mass-producing and selling activities through online marketing.

Maturity of lean practices in Brazilian manufacturing companies

Using the instrument proposed by Bento and Tontini 2018. Developing an instrument to measure lean manufacturing maturity and its relationship with operational performance. Total Quality Management & Business Excellence, (in press)], the present paper examines lean maturity in the Brazilian manufacturing industry, verifying the relationship between lean maturity and the size of the company. The instrument evaluates companies’ maturity on 38 lean practices, divided into eight dimensions. The perceptions of professionals from 90 manufacturing companies are used to examine lean maturity levels, according to five degrees of maturity, ranging from ‘1 – Not implemented or implemented informally.’ to ‘5 – Implemented, controlled, and continuously improving.’ In general, application of lean practices is non-existent or informal in the surveyed companies. Problem-Solving and Supplier Integration are the dimensions with the lowest level of maturity. On the other hand, Customer Focus presents the highest maturity of the research, ranging between 4 and 5, where the practices can already be considered implemented, showing sustainable results. There was no statistically significant difference between small and medium companies. However, there is a statistically significant difference between small and large and medium and large industries. The use of this instrument in different segments of industry can help to demonstrate that it is reliable for practical application. It also can be used for benchmarking purposes. The paper contributes to the expansion of scientific studies of lean manufacturing and maturity of Brazilian organisations. Moreover, the study of differences between small, medium and large companies can help managers to understand which tools to prioritise when adopting lean, according to each company size.

Environmental Burden Optimization in Distribution Pathways for Fruit Juice Product of Small Medium Enterprises Industry

Fruit Juice products from Small Medium Enterprises (SMEs) Industry should be distributed immediately due to the life time the product less than 30 days. The purposes of this research in to minimize environmental burden during delivery of fruit juice product produced by SMEs to their customer. The customers of SMEs Fruit Juice Industry mainly are Hotel, Restaurant, and customer pack. One of Fruit Juice SMEs Industry located in Jabotabek area, provide service for at least 143 Hotel with 25671 rooms, distributed in 9 Zone in Jakarta, Banten and West Java. Total demand of fresh fruit juice of Hotels for all zones is 43,250 kg weekly. Optimization of fruit juice products distribution calculated by using truck with 1.5 ton capacity. Numbers of truck that recommend operating are 32 units with total route distance ideally only 3,112.20 Km/week. But normally in consideration to heavy traffics, the route distance are 4,081.45 Km/week. The optimal diesel fuels consumption ideally are 414,96 liter/week and normally including traffic jam will consume diesel fuels are 544,19 liter/week. The Environmental Burden of fruit juice distribution process, represent by CO2 emission from fuels combustion ideally are 1.22-1.32 Ton/week. However, the normally condition with consideration to traffic jam, CO2 emission from fuels combustion are 1.60-1.73 Ton/week.

Quality Improvement Practices and Compliance Performance of Selected Malaysian SMIs: Recommendations for the Trainers

The study investigated the Quality Improvement Practices (QIP) of selected small medium industries (SMIs hereafter) namely the E&E manufacturers in Malaysia. The objectives of this study are to investigate the influence of the quality improvement practices (QIP) among Malaysian E&E manufacturers on their compliance performance. The quality improvement level of twelve QIP; seven soft factors and five hard factors, were determined in the study. Later, the improvement level of the QIP was compared according to the manufacturers’ size, ownership, length of operation, and ISO status. A quantitative research method, which involved the distribution of a set of questionnaires, was used in the study. Another important aspect of the research is to identify relevant soft and hard factors that need emphasis in future trainings by the QIP trainers. As the sole assessor of Product Certification compliance for the manufacturers in Malaysia, SIRIM QAS has the data on the Malaysian manufacturers’ compliance performances. Based on the data, it can be concluded that Malaysian SMIs are still struggling in implementing quality improvement practices. The data has yielded interesting findings related to the identified soft and hard factors that need further emphasis in future trainings. The findings provided recommendations for future trainers of QIP.

DESAIN DAN IMPLEMENTASI PEMODELAN DATABASE INDUSTRI KECIL MENENGAH KOTA PALEMBANG

The focus of this research is to design and implement a small medium industry database for the Palembang City Government . The database needs of small and medium industries due to the unavailability of data quickly and accurately when it requires information by the Department of Industry in policy making. The design and implementation of the IKM database has stages carried out starting from the needs analysis, database formation, information modeling, dashboard manufacturing, to testing. The resulting dashboard can provide data in the form of graphs and tables relating to small and medium industries either through the criteria of the region or type of industry. The layout and presentation of the data has been validated using a heuristic evaluation approach involving three experts. The validation results show that all experts agree that the results of the design and implementation of small medium industry databases do not have usability problems as evidenced by the results of the average expert testing giving a value of 0. Keywords — Database, heuristic evaluation, industry, IKM

Digital Modification Techniques Application On Footwear Upper Decorative Design Process

The speed of creation in the consumer products industry is demanded to be able to offset the speed of its market demand. The needs for novelty of design and features that are part of the value component of the performance of a product have become a vital need in winning market competition. Thus, in the era of industrial digitalization as of now, the role of creativity and technology cannot be separated. Therefore, by referring to the development of this phenomenon, the involvement of digital technology in small industries in Indonesia is very important to increase its role, especially if associated with the declaration of Indonesia to enter the era of the Indonesian Industrial Revolution 4.0. But among Indonesia's small-medium industries (IKM , industri kecil-menengah ), the existence of digital technology is still not used effectively in its design and production activities so that the novelty and excellence of design that is expected to be the main initiator in market competition is difficult to find in their products. Referring to the problem, the creative development activities through digital modification techniques (DMT) developed from stylization techniques will show that footwear IKM industrialists have the opportunity to improve their creative abilities to produce more quality products. Through participatory experimental activities on footwear IKM business groups located in Cibaduyut, they show mapping and their potential in adopting this creative method so that it is expected that the work develops in the form of decorative designs on the footwear upper products they produce.

Competitive Advantages of Small Medium Industry on the Islands in Indonesian Context

Competitive Advantages of Small Medium Industry on the Islands in Indonesian Context