USE OF ICT IN SMES MANAGEMENT WITHIN THE SECTOR OF SERVICES

This study investigates how the use of ICT could contribute to the success of small and medium enterprises (SMEs) within the sector of services. Within the knowledge-based economy, SMEs are facing both opportunities and challenges due to the information and communication technologies development. We consider that ICT should be used in small business management within the sector of services because ICT are key tools in management processes and could improve managerial practices. The study is based on evidence provided by articles and research reports. The research question was answered by analysing published sources and interpreting evidence. Another way of approaching this question could be collecting and analysing empirical data from the SMEs within the sector of services and comparing the results with the findings of this study.information and communication technologies, small and medium enterprises, management, services, knowledge-based economy

SMEs: ERP or virtual collaboration teams

Small firms are indeed the engines of global economic growth. Small and Medium Enterprises (SMEs) play an important role to promote economic development. SMEs in the beginning of implementing new technologies always face capital shortage and need technological assistance. Available ERP systems do not fulfil the specific requirements of Small firms. SMEs has scarce resources and manpower therefore many SMEs don?t have the possessions to buy and operate an ERP System. On the other hand competition and competitiveness of SMEs have to be strengthened. This paper briefly reviews the existing perspectives on virtual teams and their effect on SMEs management. It also discusses the main characteristics of virtual teams and clarifies the differences aspects of virtual team application in SMEs. After outlining some of the main advantages and pitfall of such teams, it concentrates on comparing of ERP and virtual collaborative teams in SMEs. Finally, it provides evidence for the need of ?Software as a Service (SaaS)? where an application is hosted as a service provided to customers across the web for SMEs as an alternative of ERP. It has been widely argued that ERP disadvantage in SMEs such as administrative expenditure and cost, isolated structure, severe lack of software flexibility, insufficient support of SMEs business and high operating cost, lead SMEs to use virtual collaborative team which is net work base solution

Virtual teams: a new opportunity to develop a business

Virtual teams give many advantages to organizations, including increased knowledge sharing and improve organizational performance. Virtual teams have altered the expectations and boundaries of knowledge worker?s interactions and make a new opportunity to develop the business. In this paper, we present summary results of an online survey. The online questionnaire was emailed by using a simple random sampling method to 356 Malaysian manufacturing small and medium ?sized Enterprises (SMEs). The findings of this study show that SMEs in Malaysia are gaining to use virtual teams, and it can be concluded that virtual teams provide a new platform for developing the business in SMEs. Based on the study, we suggest avenues for future research that are important to advancing our understanding of virtual team effects on business growth

Role ambiguity and job performance of employees in the service sector SMEs in Malaysia

Small and medium size enterprises (SMEs) play a crucial role in the economic development of Malaysia, of which the majority are in the service sector.Employees of the service sector SMEs have often been associated with low level of job performance and past research has shown that there are many factors that can contribute to employee poor performance such as role ambiguity.Thus the aim of this study was to examine the relationship between role ambiguity and job performance of employees in the service sector SMEs in Malaysia.1500 questionnaires were distributed and 300 were returned resulting in a 20% response rate.The result revealed that there was a significant relationship between role ambiguity and job performance of employees

The influence of technology, environment and user acceptance on the effectiveness of information system project selection using SEM

The selection of the present information system project is difficult because of the many factors that influence it. Information system project should pay attention to the user acceptance, technology and the environment in terms of their influence on the information system project selection.The purpose of this paper is to determine how much influence user acceptance, technology and the environment have on the information system project selection.This research uses data obtained from several ministries and analyzed using SEM (Structural Equation Models).The results found that the technology and the environment affects user acceptance. Moreover, technology and environment affect the effectiveness of the information systems project selection through the mediating effect of user acceptance. User acceptance, tested by the incorporation of usefulness and ease of use, the results are more modest and in line with previous theories. Furthermore, the external environment highly impacts the information system project selection

Virtual Collaborative R&D Teams in Malaysia Manufacturing SMEs

This paper presents the results of empirical research conducted during March to September 2009. The study focused on the influence of virtual research and development (R&D) teams within Malaysian manufacturing small and medium sized enterprises (SMEs). The specific objective of the study is better understanding of the application of collaborative technologies in business, to find the effective factors to assist SMEs to remain competitive in the future. The paper stresses to find an answer for a question “Is there any relationship between company size, Internet connection facility and virtuality?”. The survey data shows SMEs are now technologically capable of performing the virtual collaborative team, but the infrastructure usage is less. SMEs now have the necessary technology to begin the implementation process of collaboration tools to reduce research and development (R&D) time, costs and increase productivity. So, the manager of R&D should take the potentials of virtual teams into account

Determinants of SMEs' Performance: The Case of Kyaing Tong, Eastern Shan State, Myanmar.

This research aims to investigate the correlation between entrepreneurial competencies, external factors, firm characteristics, location, market orientation and the performance of SMEs in the Kyaing Tong area, Myanmar. The target population is SME owners from that area who run their firms with less than 50 workers. 331 participants returned completed and usable questionnaires. A Pearson Correlation Coefficient analysis tool was employed to test the hypotheses. In this study, the researcher has found supports for most of the research hypotheses. The results indicate that organizing competencies, strategic competencies, commitment competencies, external factors, nature of firm, firm knowledge, location, customer orientation, competitor orientation, and inter-functional orientation play have a positive impact on the performance of these SMEs. No association, however, was found between opportunity competencies, relationship competencies, conceptual competencies, and size of firm and SMEs’ performances

Virtual R & D teams in small and medium enterprises: A literature review

Small and medium enterprises (SMEs) are the driving engine behind economic growth. While SMEs play a critical role in generating employment and supporting trade, they face numerous challenges, the prominent among them are the need to respond to fasting time-to-market, low-cost and rapid solutions to complex organizational problems. Towards that end, research and development (R & D) aspect deserves particular attention to promote and facilitate the operations of SMEs. Virtual R & D team could be a viable option. However, literature shows that virtual R & D teaming in SMEs is still at its infancy. This article provides a comprehensive literature review on different aspects of virtual R & D teams collected from the reputed publications. The purpose of the state-of-the-art literature review is to provide an overview on the structure and dynamics of R & D collaboration in SMEs. Specifying the foundation and importance of virtual teams, the relationship between virtual R & D team and SMEs has been examined. It concludes with the identification of the gaps in the existing literature's and calls for future research. It is argued that setting-up an infrastructure for virtual R & D team in SMEs still requires a large amount of engineering efforts and deserves consideration at top level management.Virtual teams, small and medium enterprises, literature review

ROLE OF ENTREPRENEUR’S COMPETENCE ON GROWTH OF SMALL AND MEDIUM ENTERPRISES

The study endeavored to determine the role of entrepreneur’s competence on growth of small and medium enterprises. The specific objectives of the study were to; establish entrepreneur’s competence small and medium enterprises in Bungoma County, examine the growth of small and medium enterprises in Bungoma county and to determine the relationship between entrepreneur’s competence and growth of small and medium enterprises. The study used a combination of descriptive, cross-sectional and correlation research designs and data was gathered using a self-administered questionnaire on 201 SMEs. Data was analyzed using descriptive and inferential statistics. The resource-based theory was used to guide this research. The study findings indicated that the grand mean for entrepreneur’s competence was low with a mean of 2.23 with a SD of 0.50. The implications of the findings is that SMEs operators in Bungoma county lack the prerequisite entrepreneurial skills and knowledge  affecting their growth save for resource mobilization. It was also found that the grand mean for growth of SMEs was low with a mean of 1.96 and SD of 0.58. The implication of the findings was that SMEs  were performing dismally  affecting their graduation/transition  to the next higher level. The study results also found that there was a significant relationship between entrepreneur’s competence and growth of SMEs with p. value 0.000. The study concluded that SMEs should embrace relevant competence skills to enable them operated growth oriented enterprises which can graduate to higher levels thereby contributing to improved social and economic life of the operators and the nation at large. The study recommended that owner managers of SMEs to attend trainings on resource mobilization and innovation so as to acquire adequate resource mobilization and innovation skills and differentiate themselves in the market place to grow their enterprises. The study further recommended that government to put in place entrepreneurship policy to nurture business startups through mentorship, motivation and attitude change as they walk through entrepreneurship journey. Keywords: Entrepreneur’s Competence, Growth, Small and Medium Enterprise

Orientasi pasaran: kompetensi keusahawanan dan prestasi PKS di Malaysia

The contribution of the small and medium enterprises (SMEs) in economic and social growth and promoting competitiveness among most nations has been well researched. However, the inconsistencies of findings reported in the literature triggered the need to further research on the factors affecting SME performance. Therefore, this study was designed to examine the direct effect of market orientation, entrepreneurial competencies and entrepreneurial orientation on SME performance in Malaysia. The study also aimed to determine the mediating role of entrepreneurial orientation on the relationship between market orientation and performance, and between entrepreneurial competencies and performance. A quantitative survey design was adopted, and data were collected from the SMEs registered with the SME Corp. The study also employed a systematic random sampling technique. Statistical analysis has been carried out to test the study hypotheses using Statistical Package for the Social Sciences. The findings indicated that significant and positive relationship exists between market orientation and performance, entrepreneurial competencies and performance, and between entrepreneurial orientation and performance. On the mediation relationship, the findings also revealed that entrepreneurial orientation mediate the relationships between market orientation and performance, and between entrepreneurial competencies and performance. This study contributes mainly to the current literature on how entrepreneurial orientation mediate both market orientation and entrepreneurial competencies and SME performance relationships especially in the Malaysian context where similar studies are generally scarce. Moreover the study specifies a strategy on how to improve the performance of the SMEs. The study concluded with a discussion of the theoretical and managerial implications, the limitations as well as suggestions for future research