• Title/Summary/Keyword: Small and Medium Enterprises(SMEs)

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Transformational Leadership and Financial Performance: The Mediating Roles of Learning Orientation and Firm Innovativeness

  • KITTIKUNCHOTIWUT, Ploychompoo
    • The Journal of Asian Finance, Economics and Business
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    • v.7 no.10
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    • pp.769-781
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    • 2020
  • This study attempts to examine the relationships between transformational leadership, learning orientation, firm innovativeness, and financial performance. Specifically, the moderating effect of learning orientation and firm innovativeness. The data collected from 606 SMEs in Thailand were evaluated using the structural equation modeling, typifying that quantitative research. The results revealed that transformational leadership had a positive effect on learning orientation. Similarly, transformational leadership had a positive effect on firm innovativeness. Further, the study found that transformational leadership had a positive indirect effect on financial performance through the mediation of learning orientation. The results of the study found that transformational leadership had a positive indirect effect on financial performance through the mediation of firm innovativeness. Transformational leadership and learning orientation to improve innovation within the organization, including organizations and leaders among themselves. Especially, innovative firms inculcate ideals of promise to learning, open-mindedness, and shared vision. Furthermore, practitioners can use the findings of this study when they perform their role of leaders to challenge creativity and innovation among followers. Finally, those developments would influence a procedure of evidence procurement, evidence distribution and shared explanation that escalations equally individual and administrative effectiveness owing to its influence going on products.

Situational Causal Model Between LMX, Empowerment and Innovation Behavior (LMX, 임파워먼트 그리고 혁신행동 간의 상황적 인과모형: 내국인과 외국인 근로자의 비교분석을 중심으로)

  • Yu, Byung-Nam
    • Journal of the Korea Safety Management & Science
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    • v.23 no.4
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    • pp.121-133
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    • 2021
  • The composition of human resources in industrial sites is becoming global. In Korea, too, the proportion of foreign members in all industrial fields and production sites is increasing. This is the reason why an approach that reflects this reality is needed in the basic unit of competitive sources. Competitiveness starts with value creation, and this progresses through field innovation. Through empirical analysis of this study, it was analyzed that South Korea members showed active actions and attitudes in developing, promoting, and realizing ideas when they strongly recognized the real meaning of empowerment given by leaders. On the other hand, it was found that foreign members do not know the meaning of empowerment itself, so they are often unable to play an active role in the development, promotion, and realization of ideas. In fact, it was analyzed that foreign members generally did not experience positive interactions with LMX and were exposed to simple tasks and controls. In other words, they are being discriminated against in terms of communication problems, compensation system, and work environment. In particular, this phenomenon is exacerbated in the case of small and medium-sized enterprises (SMEs). Situational response to foreign workers through improvement of LMX and empowerment should be evaluated as a key management task in a situation where productivity improvement and job unit innovation are urgently needed.

Factor Analysis on the Effect of Win-win Smart Factory Education on Job Satisfaction of Medium and Small-sized Enterprises (상생형 스마트팩토리 교육이 중소기업 직무만족에 미치는 요인분석)

  • Seo, Hongeil;Kim, Taesung
    • Journal of the Korea Safety Management & Science
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    • v.23 no.3
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    • pp.47-55
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    • 2021
  • Developed countries that have experienced decline in productivity due to the economic crisis in the past have come to recognize the smart factory as an important means to strengthen the competitiveness of the manufacturing industry due to the increase in labor costs, the avoidance of the manufacturing industry, and the resolution of the shortage of skilled manpower. The necessity of nurturing manpower for self-maintenance was felt through identifying factors for successful smart factory introduction by companies and providing smart factory education. Therefore, the effects of educational satisfaction and operational competency on self-efficacy as a parameter and self-efficacy as a parameter were analyzed using research models and hypotheses to determine whether there was an effect between job satisfaction as a dependent variable. As a result of the analysis, it was found that the mediating effect of self-efficacy and self-efficacy on job satisfaction was found to have significant effects on operational competency and self-efficacy as parameters, as well as educational satisfaction and operational competency. The implication of this study is that continuous education and innovation activities are important in order to increase the business performance of companies, and through this, the manufacturing competitiveness of SMEs can be improved.

The Role of Corporate Social Responsibility on the Relationship of Competitive Pressure and Business Performance of Batik Industry in Central Java, Indonesia

  • SOEWARNO, Noorlailie;TJAHJADI, Bambang;FITRIYAH, Mawar
    • The Journal of Asian Finance, Economics and Business
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    • v.8 no.1
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    • pp.863-871
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    • 2021
  • This study aims to document empirically the mediating role of corporate social responsibility (CSR) on the influence of competitive pressure toward business performance on the batik industry in Central Java, Indonesia. This study also examined the effect of competitive pressure and CSR on business performance of small- and medium-sized enterprises (SMEs) in the batik industry in Central Java. This study used an explanatory quantitative approach. Samples of 254 MSEs in the batik industry have been successfully collected. Hypothesis testing uses SEM-PLS. The results of this study indicate that competitive pressure has a positive and significant effect on the batik MSEs business performance in Central Java. Competitive pressure also has positive direct effect on corporate social responsibility, and CSR has a significant and positive direct effect on business performance. The results of this study have successfully documented empirically that CSR has a mediating role on the relationship of competitive pressure toward business performance in the batik MSEs in Central Java, Indonesia. This study provides a comprehensive understanding of the owners of the batik MSMEs in coping with competitive pressure by using CSR as a strategy to create uniqueness that is difficult to imitate and can create an organizational reputation that eventually can increase business performance.

The Effect of Branding Capability on Business Performance: An Empirical Study in Indonesia

  • HANDINI, Yuslinda Dwi;NOTOSUBROTO, Suharyono;SUNARTI, Sunarti;PANGESTUTI, Edriana
    • The Journal of Asian Finance, Economics and Business
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    • v.8 no.7
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    • pp.591-601
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    • 2021
  • This study examined the effect of branding capability on business performance moderated by learning capability. This study was conducted with small- and medium-sized enterprises (SMEs) of coffee cafes in the ex-Besuki region, East Java, Indonesia, covering four regencies located around coffee-producing areas with geographical indication (GI) certification. 150 managers of coffee cafe were sampled using the census technique. Data were collected by questionnaires distributed to the coffee cafe managers. The data were then analyzed by using simple regression analysis, Moderation Regression Analysis (MRA) and Moderated MultiGroup Analysis (MMA). The results showed that learning capability positively and significantly affect business performance, and learning capability moderated/enhanced the effect of branding capability on business performance. The findings of this study suggest that branding capability and learning capability play a crucial role in the performance of coffee cafe business especially in the dynamic environment. Coffee cafe managers need to take concrete steps to improve their branding capability and learning capability and they also need to improve their ability to interact with their environment and be committed in managing the coffee cafe. Therefore, it is imperative that the role of branding capability and learning capability be optimized in order to improve the business performance of the coffee cafe.

An Empirical Analysis of Influence of Corporate Entrepreneurship on Business Performance from the Viewpoint of SMEs' Growth (중소기업의 성장 관점에서 사내 기업가정신이 경영성과에 미치는 영향 실증분석)

  • Kim, Ki Woong;Kim, Moon Sun
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
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    • v.12 no.5
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    • pp.13-28
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    • 2017
  • Entrepreneurship is an important factor not only for start-ups, but also for scale-up of businesses. In other words, the two aspects of establishment and growth of businesses must be balanced through entrepreneurship. However, it is true that entrepreneurship has been biased toward the former in previous researches and government policies. Here in this research, the causal relationships between the entrepreneurial characteristics of Korean firms and the performance of the company, which is measured by proposal, activity, and business performance are examined as a growth perspective. Based on these relationships, a model describing the operating mechanism of corporate entrepreneurship is derived and policy implications are provided. In conducting research, the hypotheses on the interrelationship of variables are builded using '2016 Entrepreneurship Situation Survey(Corporate)' data from Korea Entrepreneurship Foundation and analyzed by structural equation modeling. In addition, the moderating effect according to the firm size and the mediating effect between entrepreneurship and business performance are analyzed. As a result of this research, the fact that entrepreneurship affects business performance is identified and it is necessary to prioritize corporate vision and strategy for enhancement of entrepreneurship. In particular, necessity of operating system for SMEs is confirmed considering SMEs' entrepreneurship level. The implications of this research are expected to be applied by the government in establishing policy direction to enhance corporate entrepreneurship of SMEs in the future.

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The Impact of Value Inclination of SME Members on Organizational Citizenship Behavior: Focusing on the Role of Job Satisfaction and Perceived Organizational Support

  • KIM, Hee-Sung;HONG, In-Gi;YANG, Hoe-Chang
    • The Journal of Industrial Distribution & Business
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    • v.10 no.7
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    • pp.29-37
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    • 2019
  • Purpose - The purpose of this paper is to find out a range of cues that trigger employees to willingly make efforts for corporate development in small and medium enterprises. This was determined by assessing the effects of employees' value inclination on their job satisfaction and organizational citizenship behavior as well as how they perceived their organizational support. Research design, data, and methodology - A total of 126 valid questionnaire sheets collected from SME employees were analyzed with SPSS 24.0 and AMOS 24.0 involving simple regression analysis, multiple regression analysis, hierarchical moderated regression analysis and 3-step mediated regression analysis. Results - The analyses highlighted employees' personal value inclination had positive effects on their job satisfaction, which in turn enhanced their organizational citizenship behavior. Meanwhile, individualist and collectivist inclination exerted greater effects on job satisfaction and organizational citizenship behavior, respectively. The study also revealed that perceived organizational support moderated the relationship between job satisfaction and organizational citizenship behavior. Conclusion - Hence, CEOs in SMEs should avert any dichotomous analysis of their employees' value inclination, respect their personal value inclinations and also apply factors that could raise their job satisfaction. Likewise, it was shown that SME employees need to make personal efforts for organizational development.

The Effect of Inter-firm Cooperation and Knowledge Sharing on Firm Competitiveness of SMEs: Moderating Effects of Environmental Factors (중소기업의 협력활동과 지식공유가 기업경쟁력에 미치는 영향: 기업환경요인의 조절효과)

  • Choi, Suk Bong;Park, Jongchan
    • Knowledge Management Research
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    • v.13 no.5
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    • pp.65-89
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    • 2012
  • Recognizing the significance of inter-firm cooperation for firm's sustainable competitive advantage in today's business environment, this study investigates the effects of inter-firm cooperation and knowledge sharing on firm competitiveness based on 327 Korean small and medium sized enterprises. We also examines a mediating effects of knowledge sharing on the relationship between inter-firm cooperation and firm competitiveness and moderating effects of environmental factors on this relationship. The environmental factors are conceptualized by intensity of market competition and technological change. The main findings of the study are as follows: First, the paper found that inter-firm cooperation was positively associated with firm competitiveness while there was also a positive relationship between knowledge sharing and firm competitiveness. Second, it also shows that knowledge sharing partially mediated the relationship of inter-firm cooperation and firm competitiveness. Third, we also found that technological change had negative moderating effects on the relationship between inter-firm cooperation and firm competitiveness. This study suggests that understanding of inter-firm cooperation with consideration of environmental characteristics are required for better firm competitiveness.

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Development of the Freight Forwarder Information System adopting RIA

  • Choi, Hyung-Rim;Lee, Hyun-Chul;Choe, Hong-Seok
    • 한국경영정보학회:학술대회논문집
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    • 2007.06a
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    • pp.997-1002
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    • 2007
  • In the case of international trade, the role of 3PL (third-party logistics) providers, in recent years, has drawn more attention. At the same time, computers have become faster, cheaper, and more widely available. Thus. information systems have become commonplace to freight forwarders and the increased efficiencies to be gained in improving logistics has pushed managers to explorer a number of new ideas, technologies and methods of information management and automation. However, many companies are encountering difficulties to choose an information system flexible and satisfying all needs carrying on business. In this study RIA (rich internet application) technology based on Java Swing was introduced to the .freight forwarder information systems to provide richer user interfaces and a flexible web-based application. Also considered giving stakeholders in charge of logistics especially in SMEs (Small and Medium Enterprises) cost-effective and performance-effective solutions with good accessibility of internet for smooth operations of their businesses.

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The Future of Cleaner Production Technologies and Regional Eco-Innovation Strategy (청정생산기술 방향과 지역에코혁신 추진 전략)

  • Kim, Jae Youn;Kim, Namkyu
    • Clean Technology
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    • v.22 no.4
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    • pp.316-325
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    • 2016
  • Ever since the concept of clean production technology was introduced to the Korea industry communities, 16 years has passed, but there is still some confusion regarding to the definition and the meaning. It ascribes that SMEs do not widely accepted the concept and therefore the dissemination is still not widen. This study has explored the definition and the categories of clean production technologies as well as compared the relationship between the environment technology and green technology.In addition, as a policy plan to disseminate cleaner production technologies to small and medium enterprises, several policies are suggested hoe to improve and expand eco- innovation projects that are currently supported by the government.