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

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A Study on the Human Resource Practices and Turnover Intention of IT Professionals : Software Developers in Small and Medium IT Enterprises (인적자원관리 프랙티스와 IT인력의 이직의도에 관한 연구 : 중소 IT기업의 소프트웨어 개발인력을 중심으로)

  • Woo, Hang-Joon;Hwang, Kyung-Tae
    • Journal of Information Technology Applications and Management
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    • v.17 no.2
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    • pp.47-69
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    • 2010
  • Small and Medium Enterprises(SMEs) represent quite a large proportion of the Information Technology (IT) industry as a whole in terms of the sales revenue and the number of employees. And their role has been constantly growing. However, they have suffered from the shortage and turnover of skilled IT personnel. Under the background, this study focuses on how to effectively retain IT personnel in SMEs. Job embeddedness is the newly emerging concept in the turnover research. It is known that job embeddedness predicts turnover better than the traditional attitude variables such as job satisfaction and it can be developed by human resource practices. So, this study empirically investigates the relationship among human resource practices, job embeddedness and turnover intention. The survey results of 193 IT personnel reveal that compensation, technical competency development, recognition and work-life balance practice have statistically significant effects on job embeddedness, and that job embeddedness has a negative influence on turnover intention of IT personnel. Based on these results, the implications for managing turnover issues in IT SMEs are suggested.

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The Urgency of Business Agility During COVID-19 Pandemic: Distribution of Small and Medium Business Products and Services

  • BONGSO, Gromyko;HARTOYO, Rachmat
    • Journal of Distribution Science
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    • v.20 no.6
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    • pp.57-66
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    • 2022
  • Purpose: Business agility is an important key to survival for SMEs in Indonesia, especially during the COVID-19 pandemic. Indonesian local product distribution and service distribution are mostly served by SMEs. Agile businesses will be able to assist them in the proper distribution of products and services. This research examines how the direct and indirect influence of IT capabilities on business agility through organizational learning and business intelligence for small and medium enterprises in the distribution of Indonesian products and services. Research design, data and methodology: This research uses SEM method with SmartPLS tool. The sample of this research was conducted on small and medium enterprises in the distribution of Indonesian products and services. The sample obtained in this study was 202 SME owners or managers (strategic level). Results: Business intelligence plays a key role in improving business agility. The results of IT capability can directly and indirectly affect business agility through organizational learning. Conclusions: Business intelligence has the biggest role in increasing business agility in SMEs in Indonesia. IT capability has an indirect effect on business agility through organizational learning. The findings of this study prove that IT capabilities do not indirectly affect business agility through business intelligence.

Analyzing Complementarity Structures of KM Strategies and Testing Their Impact on Firm Performance in Small and Medium Enterprises (중소기업에 있어 지식경영 소싱 전략 간 상호보완 구조의 분석 및 기업 성과에 미치는 영향 검정)

  • Choi, Byounggu;Lee, Jae-Nam
    • Knowledge Management Research
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    • v.12 no.4
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    • pp.55-75
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    • 2011
  • Scant attention has been given to analyzing how knowledge sourcing strategies affect firm performance in SMEs and what are the differences between SMEs and large firms in the patterns of knowledge sourcing strategies adoption. This study attempts to advance the current literature by examining the impact of knowledge sourcing strategies on SMEs performance. The empirical segment of our work is based on data on knowledge sourcing strategies of SMEs and organizational performance from a sample of 166 Korean firms. Our results indicate knowledge sourcing adoption patterns of SMEs are different from large firms. In addition, the results confirm that substitutability between internal- and external-oriented, person- and external-oriented sourcing strategies. This study sheds new light on knowledge management (KM) research by identifying the relationship between knowledge sourcing strategies and SMEs performance.

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The Impact of Social Media Functionality and Strategy Alignment to Small and Medium Enterprises (SMEs) Performance: A Case Study in Garment SME in East Java

  • Mahendrawathi ER;Nanda Kurnia Wardati
    • Asia pacific journal of information systems
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    • v.30 no.3
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    • pp.568-589
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    • 2020
  • Recently, Social media has become a concern for businesses, including Small and Medium Enterprises (SMEs). SMEs began to adopt social media to support their performance. To benefit from the application of social media, SMEs must implement the right strategy. This study aims to analyze the factors that influence the use of social media in SMEs. Furthermore, alignment between social media functionalities and strategies and their effect on SME's performance are investigated. A case study is conducted in Gymi, a garment SMEs in East Java, Indonesia. The data collection includes interviews with the owner of SMEs, observations, and document analysis. Data analysis is performed by pattern matching, which matches the patterns from the literature with data from the case study. The results of this study show that cost-effectiveness, interactivity, and compatibility are factors that influence the use of social media in Gymi. The social media used by Gymi are Instagram, Facebook, YouTube, WhatsApp, and LINE. However, the main social media used to support Gymi's functions is Instagram. Gymi has a relatively good social media strategy as it has defined a specific goal, target audience, and channel selection for social media (Instagram). It also has specific resources and policies to handle social media. Gymi monitors and evaluates their social media content activities. These strategies are aligned with the Instagram feature used to support Gymi's function, particularly marketing, sales, customer service, and to some extent, internal operation. The alignment contributes to Gymi's performance measured by the increase in reputation (number of Instagram followers) and sales.

The Role of Safety Silence Motives to Safety Communication and Safety Participation in Different Sectors of Small and Medium Enterprises Investigation Results on Two Kinds of Industries in Indonesia

  • Ansori, Nachnul;Widyanti, Ari;Yassierli, Yassierli
    • Safety and Health at Work
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    • v.12 no.2
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    • pp.192-200
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    • 2021
  • Background: A number of accidents have occurred in small and medium enterprises (SMEs). Efforts in reducing accidents have been undertaken through the implementation of safety behaviors. Unfortunately, few studies have examined motives behind unsafe behaviors, such as safety silence motives. This study aimed to observe the motives underlying safety behaviors, namely safety silence motive (SSM) (SSM-relation, SSM-climate, SSM-issue, and SSM-job) and to evaluate the effect of SSM and safety communication on safety participation in different industrial sectors and scales. Materials and Methods: Eighty workers from two industrial sectors and scales of SMEs were involved. They were instructed to fill out a set of questionnaires. A five-Likert scale was used to respond. An independent t test was applied to find any significant differences. The partial least square-structural equation modeling for multigroup was used to develop a model on relations among the variables. Results: The results showed that SSM scores were high in SMEs, and the scores were different across industrial sectors and scales. SSM had a negative influence on safety communication, and safety communication positively influenced safety participation. Conclusion: The study of SSM, safety communication, and safety participation in different sectors and scales should be separated in SMEs.

A Journey of Digital Transformation of Small and Medium-Sized Enterprises in Vietnam: Insights from Multiple Cases

  • BUI, Minh Le
    • The Journal of Asian Finance, Economics and Business
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    • v.8 no.10
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    • pp.77-85
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    • 2021
  • This study aims to investigate the status quo and identify the challenges and benefits of the digital transformation in the context of small and medium-sized enterprises (SMEs) in Vietnam. The six participating SMEs were purposely contacted, and they were either nominated for, or received the Vietnam Digital Awards in 2018, 2019 and 2020, which were held by the Vietnam Digital Communication Association (http://en.vdca.org.vn/). A qualitative research method is adopted, using a semi-structured interview method and a theoretical triangulation of legitimacy, stakeholder and stewardship theories to facilitate the investigation. This research tries to identify the current challenges and benefits for digital transformation of SMEs in Vietnam, based on perception and experience from business leaders and managers from six SMEs in Vietnam. The findings of this study reveal that besides the recent challenges for digital transformation, participants also experienced and shared their perspectives regarding the benefits received from the digital transformation journey of their organization, which varied from (i) improve operational as well as business functions; (ii) liberate staffs and managers from daily work and allows them to focus on decision-making tasks; (iii) enable solutions to deal with consequences from the COVID-19 pandemic; (iv) enhance value creation process; and (v) help firms to align with the global business standards.

The Impact of Technological Regulation on the Technological Innovation and Performance of Small and Medium Enterprises (SMEs): Evidence from a Survey Data of Korean SMEs (기술규제와 중소기업 성과의 관계 탐색: 기술혁신의 매개효과를 중심으로)

  • An, Seung-Gu;Kim, Gwon-Sik;Lee, Gwang-Hun
    • Journal of Regulation Studies
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    • v.27 no.1
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    • pp.63-91
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    • 2018
  • This paper attempts to explore the impact of technological regulation on technological innovation and performance of Small and Medium Enterprises(SMEs) by analysing a survey data of 286 Korean SMEs. The 3-step mediated regression analysis results reveal that the perceived regulatory burden is negatively associated with SMEs' R&D investment and innovation of product and process. Moreover, the level of regulatory burden may affect the objective and subjective performance of SMEs. The results suggest that regulatory policies for reducing regulatory burden need to be designed and implemented in order to enhance technological innovation and performance of SMEs.

Factors Influencing the Choices of Accounting Policies in Small and Medium Enterprises in Vietnam

  • PHAM, Cuong Duc;PHI, Trong Van
    • The Journal of Asian Finance, Economics and Business
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    • v.7 no.10
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    • pp.687-696
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    • 2020
  • Accounting policies are principles and practices by which an entity uses to recognize, measure and report economic transactions. Improper application of accounting policies can lead to misrepresentation of firms' financial position and performance which consequently results in incorrect accounting information to the users. This paper aims to investigate the factors influencing the choices of accounting policies in small and medium enterprises (SMEs) in Vietnam by reviewing relevant literature to build a research model. The research model comprises of one dependent variable that is income-decreasing accounting procedures and six independent variables namely the firm size, financial leverage, incentives, auditor, accountants, and tax policies. After this, the authors collected primary data from more than 200 questionnaires sent to directors and chief accountants of the SMEs for the period 2018 to 2019. We then used Ordinary Least Squares regression method (OLS) to analyze the data. The results showed that four factors influenced selection of accounting policies in which auditors are associated with income-increasing accounting policies; and there are three factors associated with income-decreasing accounting policies which are, company size, tax and accountant. Especially, the research results indicate that company size has a significant influence on the selection of accounting policies in the SMEs. Based on the results, we propose instructive suggestions for regulators and lawmakers improve choices of accounting policies in the SMEs.

The Effect of competitive strategy on Firms' Export Performance : Focusing on the Moderating Effect of Entrepreneurial Orientation (중국 중소기업의 경쟁전략이 수출성과에 미치는 영향 : 기업가 지향성의 조절 효과를 중심으로)

  • Sangyun Han;Hongchao Liu
    • Korea Trade Review
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    • v.47 no.4
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    • pp.103-124
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    • 2022
  • For venturing into international markets, small and medium enterprises (SMEs) have not only emphasized internal resources but entrepreneurial orientation has also become the need of the day due to its significant role in increasing firm's competitive capabilities. Although research indicates that the competitive strategies can significantly impact export performance, minor attention is given to the relationship between entrepreneurial orientation, business competitive strategy and export performance of small and medium enterprises (SMEs). This study scrutinizes the effect of each dimension of entrepreneurial orientation (i.e., innovativeness, risk-taking, and proactiveness) and each of generic competitive strategies (i.e., cost leadership and differentiation) on the export performance of Chinese SMEs. And we investigated the moderating effect of entrepreneurial orientation on the relationship between the competitive strategies and export performance. We surveyed 217 Chinese SMEs through a structured questionnaire. For the data analysis and hypotheses testing, we used AMOS. 27. The findings display that differentiation and cost leadership strategies significantly improve export performance. The innovativeness, risk-taking and proactiveness also spur Chinese SME's export performance. Further we find that adding entrepreneurial orientation significantly improves our model of the relationship between the competitive strategies and export performance. Thus, our study extends the entrepreneurial orientation literature and provides interesting new insights into how entrepreneurial orientation helps firms create more successful export operations.

Determinants for the Adoption of Electronic Commerce by Small and Medium-Sized Enterprises: An Empirical Study in Indonesia

  • ASWAR, Khoirul;ERMAWATI, Ermawati;WIRMAN, Wirman;WIGUNA, Meilda;HARIYANI, Eka
    • The Journal of Asian Finance, Economics and Business
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    • v.8 no.7
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    • pp.333-339
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    • 2021
  • The study seeks to identify the determinants of the adoption of e-commerce by small and medium-sized enterprises (SMEs) in developing countries, in our case, in Indonesia. The aim of this study is to examine the factors influencing e-commerce adoption. This study uses the method of quantitative data collection based on a questionnaire survey of SMEs in Indonesia. The research relies on Regional Project stipulations regarding Business Development in Indonesia, to capture businesses with a range of 5 to 100 employees that are classified as SMEs. This study randomly chose 100 SMEs in Indonesia from the IndoNetwork database. Partial least square (PLS) structural model data processing was used for path coefficients analysis. Structural equation modeling is applied in this study to analyze the determinant factors on the e-commerce adoption. The study findings reveal that four factors, namely, perceived benefits, compatibility, technology readiness, and government support, significantly influence the adoption of e-commerce, whereas customer/supplier pressure does not have influence. So, this study concludes that perceived benefits, compatibility, technology readiness, and government support had a significant and positive relationship with e-commerce adoption. Meanwhile, customer/supplier pressure had no effect on the e-commerce adoption of by Indonesia SMEs.