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Article
Publication date: 15 November 2023

Sheila Namagembe and Musa Mbago

The study examined the influence of small and medium enterprise (SME) owner-managers' managerial competencies on supply chain performance, the mediation role of information…

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Abstract

Purpose

The study examined the influence of small and medium enterprise (SME) owner-managers' managerial competencies on supply chain performance, the mediation role of information quality on the SME owner-managers' managerial competencies and supply chain performance relationship, the mediating role of information quality on the information sharing and supply chain performance relationship and the mediating role of both information sharing and information quality on SME owner-managers' managerial competences and supply chain performance relationship.

Design/methodology/approach

Data were collected from SME agro-processing firms. The determined sample size for the agro-processing firms was 200, while an effective sample size of 177 was obtained. The Covariance Structural Equation Modelling software was used to obtain results on the influence of SME owner-managers' managerial competencies on supply chain performance, the mediation role of information quality on the SME owner-managers' managerial competencies and supply chain performance relationship, the mediating role of information quality on the information sharing and supply chain performance relationship and the mediating role of both information sharing and information quality on SME owner-managers' managerial competences and supply chain performance relationship.

Findings

Findings indicated that a positive significant influence of SME owner-managers' managerial competencies on supply chain performance and the presence of partial mediation effects when the mediating role of information quality in the SME owner-managers' managerial competencies and supply chain performance relationship and the information sharing and supply chain performance relationship is tested. Also, a partial mediating role of information sharing and information quality is obtained in the SME owner-managers' managerial competencies and supply chain performance relationship.

Research limitations/implications

The study mainly focused on SME agro-processing firms eliminating other SME manufacturing firms. Also, the research employed a wholistic approach when studying the SME agro-processing firms without focusing on how SME owner-managers' managerial competencies would affect information sharing, information quality and supply chain performance based on the market type (local or foreign) and the source of raw materials (local or foreign) and the impact of information sharing on information quality hasn't been given significant attention in the existing literature.

Originality/value

The research focused on the mediation role of quality of information shared by SME owner-managers in the relationship between information sharing and supply chain performance, the mediating role of information quality in the SME owner-managers' managerial competencies and supply chain performance and the mediating role of both SME owner-manager's information sharing and quality of information shared in the relationship between SME owner-managers' managerial competences and supply chain performance. These mediation effects haven't been given significant attention in previous research. Further, while information sharing and information quality have been studied, they have been studied at a supply chain level, not at a managerial level.

Details

Modern Supply Chain Research and Applications, vol. 5 no. 4
Type: Research Article
ISSN: 2631-3871

Keywords

Article
Publication date: 13 November 2023

Chongryol Park, Ronald McQuaid and Suzanne Mawson

This paper explores key factors influencing high-performing, sustained growth, high-tech small- and medium-sized enterprises (SMEs) in South Korea.

Abstract

Purpose

This paper explores key factors influencing high-performing, sustained growth, high-tech small- and medium-sized enterprises (SMEs) in South Korea.

Design/methodology/approach

A qualitative study is adopted to explore seventeen founder owner-managers of high-tech SMEs who sustained consistent employment growth, greater than the industry average, for seven years. Within the sample, those with higher (10% or over) employment compound annual growth rates (CAGRs) over this period are also compared to those with lower rates.

Findings

The study suggests that proactive approaches, such as flexible organization, risk management, fast decision-making and international market entry, are seen as important contributing factors to sustained growth. These findings contribute to a better theoretical and empirical understanding of sustained high-tech SME growth, in a country with a strong entrepreneurial and internationally competitive information technology sector. Also, collaboration across the SME was perceived as making an important contribution to staff development and growth, consistent with stewardship theory.

Research limitations/implications

The sample is based on successful high-tech SMEs, so there are limitations in extrapolating results to other types of firms, sectors or countries.

Practical implications

Key factors identified in this study can be considered by entrepreneurs seeking to achieve sustainable business. These also provide improved understanding for policymakers into the complexity of factors related to sustained and high growth of technology-based SMEs, which many countries are keen to foster to aid national economic growth.

Originality/value

The research provides new evidence exploring the diverse perspectives of founder owner-managers, on the sustained growth and failure in South Korean high-tech SMEs, and how these have changed since the inception of their business.

Details

International Journal of Entrepreneurial Behavior & Research, vol. 29 no. 9/10
Type: Research Article
ISSN: 1355-2554

Keywords

Content available
Article
Publication date: 18 May 2023

Charles Hanu, Albert T. Agbenyegah, Gifty Kumadey, Robert Amankwaa and Samuel Ofosu-Appiah

Grounded on trait activation and social learning theories, this study aims to examine the effects of bottom-line mentality (BLM) and perceived abusive supervisory behaviour on…

Abstract

Purpose

Grounded on trait activation and social learning theories, this study aims to examine the effects of bottom-line mentality (BLM) and perceived abusive supervisory behaviour on proactive employee work behaviour and employee bottom-line mentality (EBLM) in micro-, small- and medium-sized enterprises (MSMEs) in Ghana. The moderating effects of relational attachment on how abusive supervisory behaviour relates to employee proactive work behaviour (PWB) and BLM were examined.

Design/methodology/approach

The study was based on a quantitative approach. An online questionnaire was used in a cross-sectional survey to elicit data from 643 conveniently sampled employees. Structural equation modelling was used to analyse the data.

Findings

The results support the proposition that owner-manager bottom-line mentality (OMBLM) positively and significantly predicts abusive supervision. The findings also revealed that owner-manager abusive supervisory behaviour significantly predicts employee PWB and EBLM. While the moderating effect of relational attachment on the relationship between perceived owner-manager abusive supervisory behaviour and EBLM is positive and significant, its effect on perceived owner-manager abusive supervisory and proactive employee work behaviour relationship was positive but insignificant.

Originality/value

The authors studied owner-manager abusive supervisory behaviour to understand how OMBLM relates to proactive employee work behaviour and EBLM among MSMEs in Ghana. The study sets the tone to investigate further the impact of OMBLM and the functional effect of owner-manager abusive supervisory behaviour on manager–employee relationships and outcomes among MSMEs in emerging economies.

Details

Journal of Entrepreneurship in Emerging Economies, vol. 16 no. 5
Type: Research Article
ISSN: 2053-4604

Keywords

Article
Publication date: 26 December 2023

Bochra Idris, George Saridakis, Yannis Georgellis, Yanqing Lai and Stewart Johnstone

This paper examines how soft skills training for owner-managers affects the financial performance of exporting small and medium-sized enterprises (SMEs). Furthermore, the authors…

Abstract

Purpose

This paper examines how soft skills training for owner-managers affects the financial performance of exporting small and medium-sized enterprises (SMEs). Furthermore, the authors examine the differential influence of specific owner-manager skills, such as “team working skills”, “technical skills” and “leadership skills”, on performance.

Design/methodology/approach

The paper utilises the Longitudinal Small Business Survey, which is a nationally representative employer dataset of UK SMEs with up to 249 employees, including those with no employees. The dataset contains information on firms' turnover, export status of goods or services and training provision for employees or owner-managers.

Findings

The results suggest that owner-manager's training has a positive effect on turnover in non-exporting firms. Moreover, a combination of soft and hard skills is associated with higher turnover in exporting firms. Amongst the specific skills of owner-managers, training on “team working” has the most significant impact on exporting SMEs' performance.

Practical implications

The authors' findings imply that managerial training to develop soft skills such as leadership, decision-making and communication is a worthwhile investment. The knowledge that owner-managers acquire through soft and hard skills training enables them to develop essential internationalisation competencies. Moreover, the authors demonstrate that teamwork is a significant predictor of performance.

Originality/value

The authors contribute to the literature by examining the role of owner-managers' training in shaping internal systems, structure, processes and internationalisation strategies, thus affecting SMEs performance. The authors' also provide a nuanced analysis of how various types of soft and hard skills underpin the successful implementation of internationalisation initiatives.

Details

International Journal of Manpower, vol. 45 no. 5
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 16 December 2022

Elias Kurta, Nadine H. Kammerlander and Christopher Khoury

This study aims to extend the research in the field of external investments in family firms. It contributes to the literature by analyzing the drivers of the family firm…

Abstract

Purpose

This study aims to extend the research in the field of external investments in family firms. It contributes to the literature by analyzing the drivers of the family firm owner-managers selling a minority stake to a strategic investor. This type of external investment might be of great interest to family firms because the family firm owner-managers can secure control over the firm and preserve socioemotional wealth while simultaneously generating additional financing and gaining strategic and managerial know-how. Likewise, minority investments in family firms might also be of high interest to strategic investors, thus enabling close collaborations (e.g. in R&D, purchasing and sales) with minor equity investments.

Design/methodology/approach

This study tests the hypotheses using a vignette study leveraging 327 observations from family firm owner-managers.

Findings

Based on the socioemotional wealth perspective, this study hypothesizes that the degree of family prominence, the degree of employee orientation and pure family management influence the willingness to sell. In addition, this study hypothesizes that the moderating effect of a below-average financial performance weakens the abovementioned direct effects. This study finds support for most hypotheses.

Originality/value

This study extends the research in the field of external investments in family firms. It contributes to the literature by analyzing the drivers of the family firm owner-managers selling a minority stake to a strategic investor.

Details

Journal of Family Business Management, vol. 13 no. 4
Type: Research Article
ISSN: 2043-6238

Keywords

Article
Publication date: 13 December 2021

Md Sahnewaz Sanu and Shabana Anjum

The purpose of the research is to identify the major constraints to the growth of micro, small and medium enterprises (MSMEs) in a less-developed region of an emerging economy and…

Abstract

Purpose

The purpose of the research is to identify the major constraints to the growth of micro, small and medium enterprises (MSMEs) in a less-developed region of an emerging economy and how these constraints are affected by owner/manager's attributes and firm-specific characteristics.

Design/methodology/approach

To fulfill the objectives, a structured questionnaire is used to gather data from 200 randomly selected MSMEs located in Cachar district of Assam, India. The study applies factor analysis to categorize various perceived constraints into resolute sets of problem variables or factors. Then, the summated scales are regressed on the predictors related to owner-manager's attributes and firm characteristics to validate the hypotheses.

Findings

The results demonstrate that the broad factors constraining the development of MSMEs in Cachar district are as follows: (1) financial issues, (2) infrastructure problems, (3) labor and management issues, (4) market problems and (5) input problems. Furthermore, the findings confirm that firm growth, size, age, sector, location, innovation activity, owner-manager's gender, age and level of education significantly affect the identified constraints.

Research limitations/implications

Although the research is limited to the Cachar district of India, the findings are relevant for other similar districts of India and less-developed regions of emerging economies. However, the study needs to be replicated in other regions of India as well as in other emerging economies for cross-validation and to determine the generalizability of the results.

Originality/value

To the authors' knowledge, no studies linking the constraints faced by MSMEs to owner/manager's attributes and firm-specific characteristics are carried out in the north-eastern region of India. The study also extends the limited researches on the influence of owner-manager's attributes and firm characteristics on the constraints to the growth of MSMEs by incorporating additional predictors.

Details

Journal of Economic and Administrative Sciences, vol. 39 no. 4
Type: Research Article
ISSN: 2054-6238

Keywords

Article
Publication date: 15 February 2024

Ashish Malik, Jaya Gupta, Ritika Gugnani, Amit Shankar and Pawan Budhwar

This paper aims to explore the relationship between owner-manager or leader’s ambidextrous leadership style and its effect on human resource management (HRM) practices, contextual…

525

Abstract

Purpose

This paper aims to explore the relationship between owner-manager or leader’s ambidextrous leadership style and its effect on human resource management (HRM) practices, contextual ambidexterity and knowledge-intensive small- and medium-enterprises (SMEs) strategic agility.

Design/methodology/approach

This study presents an in-depth qualitative case study analysis of two knowledge-intensive SMEs from India’s information technology and health-care products industry serving a range of global clients. Using the theoretical lenses of empowerment-focused HRM practices, ambidextrous leaders, contextual ambidexterity and strategic agility, semi-structured interview data of leaders, managers and employees of the case organizations were analysed. Through a two-staged analytical process, we abductively developed a novel conceptual framework at the intersection of the above theoretical lenses.

Findings

The findings suggest that the knowledge-intensive SME’s strategic agility, ambidexterity and empowerment-focussed HRM approach was influenced by the owner-manager or leader’s ambidextrous leadership style and their philosophy towards managing people and had a positive impact in creating a culture of trust, participation, risk-taking and openness, and led to delivering innovative products and services as well as several positive employee-level outcomes.

Originality/value

Recent literature reviews on HRM In SMEs highlight several gaps, including the impact of owner-manager or leader’s philosophy of managing people in shaping HRM practices and employee outcomes. This paper thus adds to the existing literature on HRM and knowledge-intensive SMEs.

Details

Journal of Knowledge Management, vol. 28 no. 5
Type: Research Article
ISSN: 1367-3270

Keywords

Article
Publication date: 1 December 2023

Fuangfa Panya

This study focuses on owner-managers’ paternalism and its effects on human resource management (HRM) in micro, small and medium enterprises (MSMEs) during COVID-19 pandemic. It…

Abstract

Purpose

This study focuses on owner-managers’ paternalism and its effects on human resource management (HRM) in micro, small and medium enterprises (MSMEs) during COVID-19 pandemic. It aims to describe and discuss how owner-managers paternalism enhanced the sustainability of exemplary MSMEs.

Design/methodology/approach

A qualitative approach employing Heideggerian interpretive phenomenological methodology was used. Data were collected from 30 exemplary MSME restaurants using non-participant observation, document analysis and in-depth interviews with a purposive sample of 75 key informants: 30 owner-managers and 45 of their employees in 10 Thai tourist provinces over three time periods. Verbatim transcripts were coded using template analysis to generate distilled data summaries.

Findings

Four HRM themes were identified: (1) staffing, (2) development, (3) performance management and (4) compensation. A proposed model was suggested to understand how owner-managers’ paternalism affects four HRM practices. Owner-managers use their authority, combined with high levels of benevolence and morality, through supportiveness and kindness for employees to meet both their work and personal needs. Specifically, their employees repay them through performance and loyalty. This reciprocal relationship positively impacts employers, employees and MSMEs.

Research limitations/implications

The generalization of the study's outcomes is limited by the sample size and study methodology. The findings propose alternative HRM practices for Thai restaurants, therefore, generalization to all types of MSMEs and all areas of the world is not possible. In future research, it would be useful to consider a mixed-methods approach using large samples of MSMEs across the country or in other countries. Some small HR issues that were noted in this study, such as using the horoscope, astrology and zodiac as hiring tools, could be studied further. Future studies should explore the main thrust and relationship established between owner-managers and employees to drive MSMEs' performance.

Practical implications

The findings may be used as guidelines for creating a deep bond between employers and employees to strengthen MSMEs and foster sustainability.

Social implications

Important for instilling HRM practices in MSMEs. This paper provides policy implications for governments, relevant public agencies and other developing countries. They need to put forward for consideration of new strategies for migrant policy, in order to solve the shortage of labor in MSMEs. A well-considered policy could increase employee well-being during crises by bringing supportive strategies together.

Originality/value

This study expands knowledge of the effects of paternalism on HRM practices in shaping employer and employee relationships through social exchange theory (SET).

Details

Employee Relations: The International Journal, vol. 46 no. 1
Type: Research Article
ISSN: 0142-5455

Keywords

Article
Publication date: 15 April 2024

Ali Mahdi, Dave Crick, James M. Crick, Wadid Lamine and Martine Spence

Although earlier research suggests a positive relationship exists between engaging in entrepreneurial marketing activities and firm performance, there may be contingent issues…

Abstract

Purpose

Although earlier research suggests a positive relationship exists between engaging in entrepreneurial marketing activities and firm performance, there may be contingent issues that impact the association. This investigation unpacks the relationship between entrepreneurial marketing behaviour and firm performance under the moderating role of coopetition, in an immediate post-COVID-19 period.

Design/methodology/approach

A resource-based theoretical lens, alongside an outside-in perspective, underpins this study. Following 20 field interviews, survey responses via an online survey were obtained from 306 small, passive exporting wine producers with a domestic market focus in the United States. The data passed all major robustness checks.

Findings

The statistical findings indicated that entrepreneurial marketing activities positively and significantly influenced firm performance, while coopetition provided a non-significant moderation effect. Field interviews suggested that entrepreneurs’ attemps to scale up from passive to more active export activities in an immediate post-pandemic period helped explain the findings. Owner-managers rejoined trustworthy and complementary pre-pandemic coopetition partners in the immediate aftermath of coronavirus disease 2019 (COVID-19) for domestic market activities. In contrast, they had to minimise risks from dark-side/opportunistic behaviour when joining coopetition networks with partners while attempting to scale up export market activities.

Originality/value

Unique insights emerge to unpack the entrepreneurial marketing–performance relationship via the moderation effect of coopetition, namely, with the temporal setting of an immediate post-COVID-19 period. Firstly, new support arises regarding the likely performance-enhancing impact of owner-managers’ engagement in entrepreneurial marketing practices. Secondly, novel findings emerge in respect of the contrasting role of coopetition in both domestic and export market activities. Thirdly, new evidence arises in relation to a resource-based theoretical lens alongside an outside-in perspective, whereby, strategic flexibility in pivoting facets of a firm’s business model needs effective management following a crisis.

Details

International Journal of Entrepreneurial Behavior & Research, vol. 30 no. 6
Type: Research Article
ISSN: 1355-2554

Keywords

Article
Publication date: 2 May 2023

Tsukasa Matsuura and Tomohiko Noda

This study aims to investigate the nature of employee associations (EAs) and whether the EAs function as a collective voice similar to enterprise unions in Japanese small- and…

Abstract

Purpose

This study aims to investigate the nature of employee associations (EAs) and whether the EAs function as a collective voice similar to enterprise unions in Japanese small- and medium-sized enterprises by clarifying the differences in the determinants and effects between EAs and unions.

Design/methodology/approach

The authors analyze 2,440 Japanese small- and medium-sized firms for determinants of unions and EAs. Using the bivariate probit model, the authors examine whether EAs complement (a way station to unionization) or substitute for (dampening the desire for unionization) traditional unionization. Furthermore, the effects of EAs and unions on voluntary employee turnover rates are compared.

Findings

The authors' findings regarding EAs are as follows: (1) although owner-managers are averse to both unions and EAs, owner-managers are not as averse to EAs as to unions; (2) EAs reduce the turnover rate to the same extent as unions do and (3) EAs are voice institutions that are less affected by the influence of unions.

Research limitations/implications

The limitations of this study are as follows: (1) the dataset is slightly outdated; (2) due to the absence of panel data, the authors could not capture unobserved time-invariant factors that are the primary sources of endogeneity and (3) to overcome this vulnerability, the authors were able to control for the characteristics of management but not for the characteristics of employees because of a lack of information.

Originality/value

This study clarifies that non-union employee representation (NER) has the unique feature of being neither complementary nor substitutive to unions in Japan's industrial relations. EAs are organized not for union avoidance by employers, but voluntarily by employees without the aim of unionization. The associations have the same function as unions in reducing the turnover rate by resolving employees' grievances as entities independent from management.

Details

International Journal of Manpower, vol. 44 no. 7
Type: Research Article
ISSN: 0143-7720

Keywords

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